SB 477 - HB 592
FISCAL NOTE
Fiscal Review Committee
Tennessee General Assembly
February 27, 2025
Fiscal Analyst: Elizabeth Bransford | Email: elizabeth.bransford@capitol.tn.gov | Phone: 615-741-2564
SB 477 - HB 592
SUMMARY OF BILL: Authorizes the Department of Treasury (Treasury) Board of Claims
to hear claims for persons whose sentences were vacated and their charges subsequently dismissed.
Expands the amount of time a deceased claimant’s children, in the event of the surviving spouse’s
death or remarriage, receives the claimant’s portion.
FISCAL IMPACT:
STATE GOVERNMENT
EXPENDITURES Risk Management Fund
FY25-26 & Subsequent Years $1,000,000
Assumptions:
• Pursuant to Tenn. Code Ann. § 9-8-108, the Board of Claims (Board) must hear claims for
compensation by persons wrongfully imprisoned and exonerated. Any award made by the
Board to such individuals must:
o Be determined by the Board considering all factors the Board considers relevant;
o Not exceed the maximum aggregate total of $1,000,000; and
o Be payable in equal monthly installments until paid in full, unless the person dies
prior to receipt of the full amount.
• In the event the claimant becomes deceased:
o The payments must cease if the claimant did not leave a surviving spouse or
surviving minor children;
o Any remaining monthly installments must be paid to the surviving spouse and
surviving children in equal amounts until the surviving spouse’s death or remarriage;
o If the surviving spouse dies or remarries, the amount must be divided equally
among the claimant’s surviving minor children; and
o Each child receives their share until reaching majority status or death.
• The proposed legislation expands the claims the Board may hear to include claims by
persons whose sentences are vacated and the charges subsequently dismissed, and allows
the claimant’s surviving spouse or children to file a claim if the person eligible to file a claim
dies prior to filing said claim.
• Additionally, the proposed legislation authorizes the claimant’s surviving children, in the
event of the surviving spouse’s death or remarriage, to receive their portion of the
compensation for their respective lifetimes instead of receiving payments until they reach
the age of majority.
SB 477 - HB 592 2
• According to the Treasury, all payment for such claims is paid from the Risk Management
Fund.
• The number of individuals who have had their sentences vacated and charges dismissed in
Tennessee is unknown. However, it can be reasonably assumed that at least one additional
claimant will qualify to file a claim with the Board and will receive a maximum award of
$1,000,000 as a result of the proposed legislation.
• Therefore, the increase in state expenditures from the Risk Management Fund is estimated
to be $1,000,000 in FY25-26 and subsequent years.
• The Risk Management Fund is supported by premiums paid by each state department,
agency, and institution; required funding is based upon an actuarial study which reflects the
risk assessment and estimated losses.
• As of June 30, 2024, the Risk Management Fund had an obligated balance of $31,687,816.
• The Board will absorb any increase in administrative duties utilizing existing staff and
resources, without an increase in state expenditures.
CERTIFICATION:
The information contained herein is true and correct to the best of my knowledge.
Bojan Savic, Executive Director