HB 596 – SB 642 FISCAL NOTE Fiscal Review Committee Tennessee General Assembly March 21, 2025 Fiscal Analyst: Natalie Dusek | Email: natalie.dusek@capitol.tn.gov | Phone: 615-741-2564 HB 596 – SB 642 SUMMARY OF BILL: Enacts the Tennessee Voluntary Do Not Sell Firearms Act. Establishes a process whereby a person may file a voluntary waiver of firearm rights, either in person or electronically, with the clerk of the circuit court that has the effect of prohibiting the person executing the form from possessing or receiving a firearm while the waiver is in effect. Requires, by the end of the business day on which the form was received, the clerk to transmit the form to the Tennessee Bureau of Investigation (TBI). Requires, within one business day of receiving the form, the circuit court clerk to electronically deliver the form to the TBI. Requires, within 24 hours of receiving the form, the TBI to enter the information into the National Instant Criminal Background Check System (NICS), and other state and federal databases used by law enforcement to identify persons prohibited from purchasing firearms. Requires the TBI to provide the Department of Safety (DOS) with a copy of the form within 48 hours of receiving it. Requires the DOS to revoke any handgun permits issued to the enrollee. Establishes a process by which a person may revoke their enrollment. Requires the TBI to remove the person’s enrollment from the NICS and other databases in which the person’s enrollment was entered after 21 days have passed since receiving a valid revocation form. Requires the TBI to transmit the revocation form to the DOS, and the DOS to reinstate the person’s handgun carry permits. Requires, in cases involving a person’s revocation of enrollment, all parties to destroy the records related to the person’s enrollment. Establishes that a person who knowingly makes a false statement regarding the person’s identity on a waiver of firearm rights form or revocation form commits the offense of perjury. Requires the TBI to notify licensed gun dealers of a person’s execution of a waiver of firearm rights as part of the criminal background check process related to firearm purchases. Creates a Class A misdemeanor offense for a person to sell or transfer a firearm to a person knowing that the person has executed a waiver of firearm rights form. Creates a civil offense, punishable only by a fine of $100 or a requirement that the person complete four hours of community service, for a person to knowingly receive or possess a firearm when the person has executed a waiver form that has not been revoked. Requires the TBI to develop all of the necessary forms, distribute them to all circuit court clerks, and to make them available to the public on the TBI’s website. Requires the Administrative Office of the Courts (AOC) to make the forms available on its website, and circuit court clerks to make the forms available on the clerks’ websites. Authorizes the TBI to promulgate rules to effectuate the legislation. Effective for the purposes of developing forms and promulgating rules upon becoming a law. Effective for all other purposes on January 1, 2026. HB 596 – SB 642 2 FISCAL IMPACT: STATE GOVERNMENT EXPENDITURES General Fund FY25-26 $50,000 Assumptions: • It is assumed that clerks of circuit courts can accept and transmit such forms within existing resources. Any fiscal impact to the circuit courts is estimated to be not significant. • The NICS system is a national database that facilitates records checks on persons who may be disqualified from receiving firearms. It is operated by the Federal Bureau of Investigation and subjects the authorities that have access to enter information into it, such as the TBI, to strict rules and regulations. • The TBI contracts with a vendor for operation and maintenance of its FlexCheck system, which is an online resource that allows law enforcement agencies, court clerks, attorneys and the public to submit different types of data and reports electronically. The TBI would contract further with the FlexCheck vendor to be able to accept, store, and transmit waiver information to the NICS indices. • In addition, the TBI will need to contract with a separate vendor to establish a new message key that would allow local law enforcement officers to query the system. • The increase in state expenditures to the TBI to update the FlexCheck system and develop a new message key, as provided by the vendors and the TBI, is estimated to be $50,000 in FY25-26. • The TBI can absorb the additional workload and responsibilities, including training, developing of forms, making forms available, and promulgating rules, within existing resources. • The DOS can accept the forms and execute any revocations or reinstatement of handgun permits within existing resources. Any fiscal impact related to such permit revocations or reinstatements is estimated to be not significant. • According to DOS, any fiscal impact to the Department is estimated to be not significant. • The AOC can make the forms available on its website within existing resources. • It is assumed that licensed firearm dealers will comply with the prohibition on selling or transferring a firearm to an individual who has executed a waiver of such rights. • Perjury is a Class A misdemeanor offense. • There is not estimated to be a significant number of additional Class A misdemeanor convictions for perjury or violations of the legislation’s requirements and prohibitions. Any increase in expenditures to local governments related to incarceration is estimated to be not significant. • 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; therefore, any increase in local revenue from fines is estimated to be not significant. HB 596 – SB 642 3 CERTIFICATION: The information contained herein is true and correct to the best of my knowledge. Bojan Savic, Executive Director