HB 749 - SB 1086 FISCAL NOTE Fiscal Review Committee Tennessee General Assembly March 14, 2025 Fiscal Analyst: Natalie Dusek | Email: natalie.dusek@capitol.tn.gov | Phone: 615-741-2564 HB 749 - SB 1086 SUMMARY OF BILL: Designates out-of-state driver licenses issued exclusively to illegal aliens as invalid driver licenses in this state. Requires the Department of Safety (DOS) to develop, publish, and maintain on its website a list of out-of-state classes of driver licenses that are invalid in this state by December 1, 2025. Creates the Class B misdemeanor offense of operating a motor vehicle in this state with such an invalid driver license. Effective January 1, 2026. FISCAL IMPACT: NOT SIGNIFICANT Assumptions: • The proposed legislation designates classes of driver licenses issued by another state exclusively to illegal aliens as invalid in this state. Such classes of driver licenses include licenses issued exclusively to illegal aliens that are designed to be easily distinguishable from those issued to residents of that state who are United States Citizens, lawful permanent residents, or have temporary legal presence. • Pursuant to Tenn. Code Ann. § 55-50-304(3) and (4), a nonresident who is at least 16 years of age who possesses a valid driver license issued in the person’s home state or country may operate a motor vehicle in this state only as a Class D driver. A nonresident who is at least 21 years of age who possesses a valid license equivalent to a Tennessee class license issued in the person’s home state or country may operate a motor vehicle of a comparable class in this state. • It is assumed that such allowances will not apply if the nonresident’s license is deemed invalid under the proposed legislation. • There are approximately 19 states that issue driver licenses to illegal aliens; however, it is unknown how many illegal aliens who have been issued such licenses operate motor vehicles within this state at any given time. • Pursuant to the proposed legislation, operation of a motor vehicle with such a license will be a Class B misdemeanor offense. • The number of Class B misdemeanor conviction resulting from this legislation each year is unknown. However, it is reasonably assumed that any increase in incarceration costs for local governments will 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 of fines in criminal cases is insignificant; therefore, any increase in local revenue from fines is estimated to be not significant. HB 749 - SB 1086 2 • The DOS can develop and publish on their website a list of out-of-state classes of driver licenses issued to illegal aliens, and update the list as necessary within existing resources. • Based on information provided by the DOS, any impact is estimated to be not significant. CERTIFICATION: The information contained herein is true and correct to the best of my knowledge. Bojan Savic, Executive Director