Tennessee House Bill HB6003

Tennessee 2025-2026 Regular Session

• Introduced: 1/22/25
• Refer: 1/28/25
• Chaptered: 2/25/25
• Passed: 2/25/25

Caption

AN ACT to amend Tennessee Code Annotated, Title 9, Chapter 4, Part 2, relative to disaster relief funds.

Impact

The bill introduces a structured approach to managing funds related to disaster recovery, ensuring that resources are readily available to local government entities for a period of up to three years. Local governments situated in counties that experienced federal disaster declarations related to Hurricane Helene will benefit directly from this financial support. The allocation of funds must adhere to stipulated interest limits, which ensures prudent spending of taxpayer money while enhancing the fiscal resilience of affected local governments.

Summary

House Bill 6003 proposes significant amendments to the Tennessee Code Annotated concerning disaster relief funds. Specifically, it establishes the Hurricane Helene interest payment fund, designed to aid local governments in covering interest costs on loans borrowed to manage eligible disaster recovery expenses linked to Hurricane Helene. This fund will enable local governments to alleviate the financial burden of these interest payments, which could be crucial for communities severely impacted by natural disasters.

Contention

While the bill's intent focuses on supporting disaster recovery, discussions surrounding its implementation may raise various concerns. Stakeholders might debate the adequacy of the interest payment coverage or the eligibility criteria for local governments. Additionally, there are potential worries regarding the sustainability of these funds and whether they might impact other areas of state budgeting. Lawmakers could also scrutinize the bill's provisions regarding the governance of the funds and the oversight of how local governments utilize them.