SB 1249 - HB 1214
FISCAL NOTE
Fiscal Review Committee
Tennessee General Assembly
March 13, 2025
Fiscal Analyst: Alan Hampton | Email: alan.hampton@capitol.tn.gov | Phone: 615-741-2564
SB 1249 - HB 1214
SUMMARY OF BILL: Increases the required assessments of students participating in the
Education Savings Account (ESA) or the Individualized Education Account (IEA) program to
include all Tennessee Comprehensive Assessment Program (TCAP) tests, Tennessee universal
reading screeners or universal reading screeners approved by the State Board of Education (SBE),
and the assessment administered to public school students in grade 11 that assesses student
readiness for postsecondary education. Exempts students with disabilities who would have
participated in the alternate assessments, as determined on the student's Individualized Education
Program, from such requirements.
Requires private schools that participate in the ESA program or the IEA program to publish various
items on the school’s website. Requires that private schools that participate in either program to
ensure educators hold a valid teaching license.
FISCAL IMPACT:
STATE GOVERNMENT
EXPENDITURES General Fund
FY25-26 & Subsequent Years $33,600
Assumptions:
• The DOE contracts with NCS Pearson, Inc. for the administration of Tennessee
Comprehensive Assessment Program (TCAP) testing. However, the contracts are expiring
in 2025, and the DOE is currently soliciting a request for proposals for a new contract
covering both development and administration of state assessments.
• TCAP testing for students in grades six through eight (6-8) and end-of-course (EOC)
assessments for students in grades nine through twelve (9-12) are currently administered
online.
• The proposed legislation increases the required assessments of students participating in the
ESA or the IEA programs and will require the DOE to modify the existing vendor contract
for test administration by adding the following:
o TCAP Science (grades 3-8, Biology);
o TCAP Social Studies (grades 6-8, U.S. History); and
o Grade 11 ACT.
• Pursuant to Tenn. Code Ann. § 49-6-2604(c)(1)-(5), enrollment in the ESA program is
limited as follows:
o 5,000 students in year 1;
SB 1249 - HB 1214 2
o 7,500 students in year 2;
o 10,000 students in year 3;
o 12,500 students in year 4; and
o 15,000 students in year 5 and subsequent years.
• In the 2024-25 school year there are 3,723 students participating in the ESA program and
572 students participating in the IEA program.
• The additional TCAP administration costs are estimated as follows:
Item
Student
Group Cost
Adding paper-based test administration for TCAP
Science Grades 3-8; Social Studies Grades 6-8;
Biology; and U.S. History
2,557 ESA
Students $8,903
Adding computer-based test administration for
TCAP Science, Social Studies, Biology, and U.S.
History Grades 6-8
845 ESA
Students $5,070
Adding paper-based test administration for TCAP
Science Grades 3-8; Social Studies Grades 6-8;
Biology; and U.S. History
191 IEA
Students $827
Adding computer-based test administration for
TCAP Science, Social Studies, Biology, and U.S.
History Grades 6-8
104 IEA
Students $624
Adding ACT Grade 11 Spring Administration
98 ESA
Students $3,724
Adding ACT Grade 11 Spring Administration
30 IEA
Students $1,215
Total $20,363
• The proposed legislation requires the Tennessee universal reading screeners, or universal
reading screeners approved by the SBE, to be administered to students in the ESA and IEA
programs.
• The Tennessee universal reading screener provided by Pearson costs $7.50 per student.
There are currently 1,767 students (1,610 ESA students + 157 IEA students) in grades
kindergarten through three who will need to be administered a reading screener.
• The increase in expenditures is estimated to be $13,253 ($7.50 x 1,767) in FY25-26 and
subsequent years.
• The total increase in state expenditures is estimated to be $33,616 ($20,363 + $13,253) in
FY25-26 and subsequent years.
• Requiring private schools that participate in the ESA or IEA programs to post certain
information to their websites and to ensure that educators hold a valid teaching license will
have no impact to state or local government.
SB 1249 - HB 1214 3
CERTIFICATION:
The information contained herein is true and correct to the best of my knowledge.
Bojan Savic, Executive Director