HB 322 - SB 392
FISCAL NOTE
Fiscal Review Committee
Tennessee General Assembly
February 13, 2025
Fiscal Analyst: Arielle Woodmore | Email: arielle.woodmore@capitol.tn.gov | Phone: 615-741-2564
HB 322 - SB 392
SUMMARY OF BILL: Creates a Class E felony offense of human smuggling.
Expands the offense of human trafficking to include promoting the prostitution of a minor and
human smuggling. Expands the offense of aggravated human trafficking to include human
smuggling, if the victim is under 13 years of age.
Authorizes the Attorney General and Reporter (AG) to bring an action in state court against a
person or organization that is committing, has committed, or is about to commit a human
trafficking offense or aggravated human trafficking offense.
Creates a Class A misdemeanor offense for harboring, hiding, or assisting another person in
harboring or hiding an individual who has illegally entered or remained in the United States,
punishable only by a fine of $1,000 for each person hidden or harbored.
FISCAL IMPACT:
STATE GOVERNMENT
EXPENDITURES Incarceration
$4,000
Assumptions:
New Class E Felony Offense
• The proposed legislation creates the Class E felony offense of human smuggling.
• Per the proposed legislation, a person commits the offense of human smuggling who
knowingly:
o Transports 10 or more persons 18 years of age or older or 5 or more minors for the
purpose of commercial advantage or private financial gain, with the intent to
conceal the individuals from a law enforcement officer or federal immigration
officer, while knowing the persons 18 years of age or older or minors have illegally
entered or remained in the United States, as determined by the Bureau of
Immigration and Customs Enforcement of the United States Department of
Homeland Security; or
o Encourages or induces 10 or more persons 18 years of age or older or 5 or more
minors to enter or remain in this state in violation of federal law, as determined by
the Bureau of Immigration and Customs Enforcement of the United States
Department of Homeland Security, by concealing, harboring, or shielding those
persons from detection.
HB 322 - SB 392 2
• The proposed legislation will result in one admission every three years for the Class E
felony offense of human smuggling.
• The average time served for a Class E felony offense is 0.56 years.
• Based on population data from the U.S. Census Bureau, population growth in Tennessee
averaged 1.24 percent per year (from 2021 to 2024).
• The weighted average operational costs per inmate per day are estimated to be $62.02 for
inmates housed at state facilities and $50.51 for inmates housed at local facilities.
• The estimated increase in incarceration costs is estimated to be the following over the next
three-year period:
Increase in State Expenditures
Amount Fiscal Year
$ 4,000 FY25-26
$ 4,000 FY26-27
$ 4,000 FY27-28
• Pursuant to Public Chapter 1007 of 2022, recurring costs increases are to be estimated on
the highest of the next three fiscal years; therefore, the recurring increase in incarceration
costs will be $4,000.
Expansion of Human Trafficking
• Pursuant to Tenn. Code Ann. § 39-13-314, “human trafficking offense” means the
commission of any act that constitutes the criminal offense of:
o Involuntary labor servitude;
o Trafficking persons for forced labor or services;
o Trafficking for commercial sex act;
o Patronizing prostitution; or
o Promoting prostitution.
• The proposed legislation expands the offense of human trafficking to include promoting
the prostitution of a minor and human smuggling.
• According to information provided by the Department of Correction, there have been zero
admissions for the offense of promoting the prostitution of a minor in the last 10 years.
• There will not be a sufficient change in the number of prosecutions for state or local
government to experience any significant change in revenue or expenditures.
• Pursuant to Tenn. Code Ann. § 39-13-314(b)(1), a trafficked person may bring a civil action
for actual damages, compensatory damages, punitive damages, injunctive relief, any
combination of those or any other appropriate relief.
• Any impacts resulting from actions brought by private individuals will be realized by those
private parties.
Attorney General Actions
• The AG can prosecute such cases or bring appropriate actions as the Attorney General
deems necessary within existing resources.
• Any additional workload on the courts can be accommodated within existing resources.
HB 322 - SB 392 3
Expansion of Aggravated Human Trafficking
• Pursuant to Tenn. Code Ann. §39-13-316(a), aggravated human trafficking is the
commission of an act that constitutes any of the following criminal offenses, if the victim of
the criminal offense is under 13 years of age:
o Involuntary labor servitude;
o Trafficking persons for forced labor or services;
o Trafficking for commercial sex act;
o Patronizing prostitution; or
o Promoting prostitution.
• Pursuant to Tenn. Code Ann. § 39-13-316(b), aggravated human trafficking is a Class A
felony, and a person convicted of the offense shall be punished as a Range II offender.
• The proposed legislation expands the offense of aggravated human trafficking to include
human smuggling.
• There will not be a sufficient change in the number of prosecutions for state or local
government to experience any significant change in revenue or expenditures.
New Class A Misdemeanor Offense
• The proposed legislation creates a Class A misdemeanor offense for harboring, hiding, or
assisting another person in harboring or hiding an individual who has illegally entered or
remained in the United States, punishable only by a fine of $1,000 for each person hidden
or harbored
• Based on the Fiscal Review Committee’s 2008 study and the Administrative Office of the
Courts’ 2012 study on collection of court costs, fees, and fines, collection in criminal cases
is insignificant. The proposed legislation will not significantly change state or local revenue.
• The estimated fiscal impact of the proposed legislation does not consider the availability of
beds in state and local facilities, but is based solely on the current operating costs of state
facilities and the reimbursement rates for local facilities as is required by Tenn. Code Ann. §
9-4-210.
• All calculations used in completion of this fiscal note are available upon request.
CERTIFICATION:
The information contained herein is true and correct to the best of my knowledge.
Bojan Savic, Executive Director