HB 297 - SB 247
FISCAL NOTE
Fiscal Review Committee
Tennessee General Assembly
February 6, 2025
Fiscal Analyst: Justin Billingsley | Email: justin.billingsley@capitol.tn.gov | Phone: 615-741-2564
HB 297 - SB 247
SUMMARY OF BILL: Clarifies that Greenbelt property, owned by two individuals, and
held under the title, tenancy by entireties, or the title, joint tenancy, is deemed to have unchanged
ownership upon the death or divorce of an owner if the property is retained by the other owner
through a right of survivorship.
FISCAL IMPACT:
NOT SIGNIFICANT
Assumptions:
• Pursuant to the Agricultural, Forest and Open Space Land Act of 1976, an owner of land that
meets certain eligibility requirements may apply with the assessor of property for
classification of such land as Greenbelt property.
• For property tax purposes, a Greenbelt property is assessed at its present use (the value
based on its current use and assuming there is no possibility of the land being used for
another purpose) rather than its market value. This results in lower property taxes for such
properties.
• Greenbelt property owners are not required to reapply for this classification as long as there
is no change in ownership of the property.
• The proposed legislation clarifies that if Greenbelt property is owned by two individuals,
and held under the title, tenancy by the entireties, or the title, joint tenancy, it is deemed to
have unchanged ownership upon the death or divorce of an owner if the property is
retained by the other owner through a right of survivorship. Therefore, the survivor would
not be required to reapply to maintain Greenbelt classification.
• The State Board of Equalization (SBE) is responsible for approving the forms used to apply for
agricultural, forest or open space classification, including for changes of ownership. Any impact to
the SBE as a result of this legislation is estimated to be not significant.
• A decrease in Greenbelt applications may result in a corresponding loss of recording fees or
late filing fees; however, any decrease in the number of applications and local revenue is
estimated to be minimal.
• Any impact to state and local government is estimated to be not significant.
HB 297 - SB 247 2
CERTIFICATION:
The information contained herein is true and correct to the best of my knowledge.
Bojan Savic, Executive Director