SB 1154 - HB 1236
FISCAL NOTE
Fiscal Review Committee
Tennessee General Assembly
February 15, 2025
Fiscal Analyst: Christine Drescher | Email: christine.drescher@capitol.tn.gov | Phone: 615-741-2564
SB 1154 - HB 1236
SUMMARY OF BILL: Enacts the Tennessee Health SNAP Act, which requires the
Department of Human Services (DHS) to submit a request for a federal waiver to the United States
Department of Agriculture’s Food and Nutrition Service to seek authorization to prohibit the
purchase of candy and soft drinks with Supplemental Nutrition Assistance Program (SNAP)
benefits. Requires DHS to implement the prohibition within six months of receiving federal
authorization. Requires DHS to submit an annual report to certain officials regarding the status of
the waiver request, SNAP spending pattern data, and any challenges or recommendations for further
policy action.
FISCAL IMPACT:
NOT SIGNIFICANT
Assumptions:
• Pursuant to 7 CFR § 272.2, “eligible foods” as it relates to what is allowed to be purchased
with SNAP benefits is defined as any food or food product intended for human
consumption except alcoholic beverages, tobacco, and hot foods and hot food products
prepared for immediate consumption, except in certain situations.
• The proposed legislation specifies that it uses the same definitions of “candy” and “soft
drinks” as the federal government. However, there is currently no separate definition for
these terms by the federal government.
• Tennessee Code Annotated § 67-6-102(9) defines “candy” as a preparation of sugar, honey,
or other natural or artificial sweeteners in combination with chocolate, fruits, nuts, or other
ingredients or flavorings in the form of bars, drops, or pieces, and that candies do not
include any preparation containing flour and do not require refrigeration.
• According to the National Library of Medicine, several other states define “soft drinks” as
nonalcoholic beverages that contain natural or artificial sweeteners, but do not contain milk
or milk products, soy, rice or similar milk substitutes, or greater than 50 percent of
vegetable or fruit juice by volume.
• Due to there being no established federal definition of “candy” and “soft drinks”, under
federal statue these are considered food under SNAP guidelines, and would require an Act
of the U.S. Congress to alter this definition.
• Additionally, according to information provided by DHS, there is currently no mechanism
by which a waiver may be requested to make this change, nor is there authority or
discretion for the Secretary of Agriculture to accept and grant such a waiver.
SB 1154 - HB 1236 2
• In FY23-24, DHS received $1,713,933,870 in federal SNAP funding, which served 702,427
Tennesseans.
• The proposed legislation does not change any eligibility requirements to receive SNAP
benefits; there will not be a significant change in the number of individuals receiving
benefits, or the funds required to provide such benefits as a result of the proposed
legislation.
• DHS cab submit the required report utilizing existing personnel and resources.
• Therefore, the proposed legislation will not result in any significant fiscal impact to state
government; however, the prohibition of certain food items using SNAP benefits is
dependent upon action by the federal government.
CERTIFICATION:
The information contained herein is true and correct to the best of my knowledge.
Bojan Savic, Executive Director