SB 573 - HB 1107 FISCAL NOTE Fiscal Review Committee Tennessee General Assembly March 8, 2025 Fiscal Analyst: Alan Hampton | Email: alan.hampton@capitol.tn.gov | Phone: 615-741-2564 SB 573 - HB 1107 SUMMARY OF BILL: Requires, as opposed to authorizes, local education agencies (LEAs) and public charter schools to provide feminine hygiene products, at no charge, in all women's and girl's bathrooms and locker rooms regularly used by students in grades four through twelve (4-12) in an eligible school building. Requires the state to reimburse each LEA and public charter school that provides feminine hygiene products in an amount equal to the cost of the products paid by the LEA or public charter school. Requires the Department of Health (DOH) to collaborate with the State Board of Education (SBE) and other state agencies to create a public health campaign dedicated to encouraging individuals and nonprofit organizations to contribute or drop off feminine hygiene products to eligible schools. FISCAL IMPACT: STATE GOVERNMENT EXPENDITURES General Fund FY25-26 $10,898,700 FY26-27 & Subsequent Years $10,888,700 LOCAL GOVERNMENT REVENUE Mandatory FY25-26 & Subsequent Years $10,888,700 EXPENDITURES Mandatory FY25-26 & Subsequent Years $10,888,700 Article II, Section 24 of the Tennessee Constitution provides that: no law of general application shall impose increased expenditure requirements on cities or counties unless the General Assembly shall provide that the state share in the cost. OTHER FISCAL IMPACT To the extent that the Department of Health’s public health campaign requires costs to print materials, contract with a vendor, or advertise on television, radio, and social media, an increase in state expenditures will occur. However, due to multiple unknown factors, the extent and timing of any such increase cannot be reasonably determined. SB 573 - HB 1107 2 Assumptions: • The proposed legislation requires each LEA and public charter school to provide feminine hygiene products, at no charge, in all women's and girl's bathrooms and locker rooms regularly used by students in grades 4-12 in an eligible school building. • In 2023-24, there were 320,257 female students in grades 4-12 enrolled in public schools, including public charter schools. For the purposes of this analysis, this figure is assumed to remain constant into perpetuity. • Female students have one cycle per month and the average cost of feminine hygiene products per cycle is $15.00. • Public schools are required to provide 180 days of instruction. • Due to the limited hours and days of the week that students are in school and the variation in menstrual hygiene product preferences and usage amounts among students, it is estimated that the average cost per student will be $34 per year. • The cost to provide feminine hygiene products in all women's and girl's bathrooms and locker rooms regularly used by students in grades 4-12 in an eligible school building is estimated to increase local expenditures by $10,888,738 (320,257 x $34) in FY25-26 and subsequent years. • The proposed legislation requires the state to reimburse each LEA and public charter school that provides feminine hygiene products in an amount equal to the cost of the products. Therefore, the increase in state expenditures and corresponding increase in local revenue is estimated to be $10,888,738 in FY25-26 and subsequent years. • The DOE will be required to add a new grant to ePlan. The one-time cost of setting up a new grant in ePlan is estimated to be $10,000. • The total increase in state expenditures is estimated to be $10,898,738 ($10,888,738 + $10,000) in FY25-26 and $10,888,738 in FY26-27 and subsequent years. • The proposed legislation requires the DOH to collaborate with the SBE and other state agencies to create a public health campaign dedicated to encouraging individuals and nonprofit organizations to contribute or drop off feminine hygiene products to eligible schools. • To the extent that a public health campaign requires costs to print materials, contract with a vendor, or advertise on television, radio, and social media, an increase in state expenditures will occur. However, due to multiple unknown factors, the extent and timing of any such increase cannot be reasonably determined. CERTIFICATION: The information contained herein is true and correct to the best of my knowledge. Bojan Savic, Executive Director