Tennessee 2025 2025-2026 Regular Session

Tennessee House Bill HB0632 Introduced / Fiscal Note

Filed 02/20/2025

                    HB 632 - SB 808 
FISCAL NOTE 
 
 
 
Fiscal Review Committee 
Tennessee General Assembly 
 
February 20, 2025 
Fiscal Analyst: Rebecca Chandler | Email: rebecca.chandler@capitol.tn.gov | Phone: 615-741-2564 
 
HB 632 - SB 808 
 
SUMMARY OF BILL:    Establishes a paid volunteer leave policy for eligible Tennessee state 
employees. Grants 15 hours of paid volunteer leave per year to full-time employees working more 
than 1,600 hours annually after completing one full year of service. Excludes part-time, temporary, 
seasonal, and emergency employees in the preferred service from eligibility. 
 
Specifies that volunteer leave is non-cumulative and must be used within the year. Limits usage to 
non-state Tennessee community commitments, including nonprofit work, schools, and community 
initiatives. Prohibits leave from being deducted from sick, annual, or other accrued leave. Maintains 
employee positions, benefits, pay, and healthcare coverage during leave, with employees responsible 
for their share of healthcare costs. 
 
Protects employees from retaliation, discipline, or discrimination for using volunteer leave. Requires 
the Department of Human Resources (DHR) to set policies for executive branch agencies, while 
non-executive agencies oversee their own implementation. 
 
 
FISCAL IMPACT: 
 
NOT SIGNIFICANT     
  
 Assumptions: 
 
• Based on information provided by DHR, state employee salaries are fully budgeted; 
therefore, there are no additional payroll costs associated with employees taking volunteer 
leave. Since salaries are allocated regardless of leave usage, this policy does not require extra 
funding. 
• The 15-hour annual volunteer leave allowance is unlikely to create a need for hiring 
additional staff or paying overtime. Agencies are expected to manage employee absences 
without significant disruption. 
• Existing leave management systems are assumed to be sufficient for tracking and approving 
volunteer leave without the need for new software, additional personnel, or other 
administrative costs. 
• Employee benefits, including health insurance and retirement contributions, remain 
unaffected since employees continue to be on payroll during their leave. No additional 
benefit costs are anticipated. 
• Volunteer leave functions similarly to other leave policies and is not expected to create a 
new financial burden. The policy aligns with existing leave structures without requiring new 
resources or funding allocations.   
 	HB 632 - SB 808  	2 
CERTIFICATION: 
 
 The information contained herein is true and correct to the best of my knowledge. 
   
Bojan Savic, Executive Director