SB 322 – HB 915 FISCAL NOTE Fiscal Review Committee Tennessee General Assembly March 8, 2025 Fiscal Analyst: Rebecca Chandler | Email: rebecca.chandler@capitol.tn.gov | Phone: 615-741-2564 SB 322 – HB 915 SUMMARY OF BILL: Expands paid leave benefits for state employees by granting six workweeks of paid leave for caring for a family member with a serious health condition. Allow employees to take leave intermittently or on a reduced schedule instead of requiring it to be taken consecutively. Broadens the definition of "family member" to include grandparents, siblings, and individuals with close associations equivalent to family. Defines “serious health condition” to include inpatient care in a hospital, hospice, or residential facility, along with conditions requiring ongoing medical treatment. Maintains the 6-week limit within a 12-month period, regardless of the number of qualifying events. FISCAL IMPACT: OTHER FISCAL IMPACT Due to multiple unknown variables, the timing and extent of the increase in state fiscal liability cannot be reasonably calculated. Assumptions: • The proposed legislation expands the definition of family member to include a broader range of relationships, such as grandparents, siblings, stepparents, domestic partners, and individuals with a close association equivalent to family. • The proposed legislation establishes a definition for serious health condition, encompassing inpatient care in a hospital, hospice, or residential facility, along with conditions requiring ongoing medical treatment. • The number of employees who will take leave for a sick family member is unknown. • The need for leave will vary based on personal circumstances, including medical emergencies, chronic conditions, and caregiving responsibilities. • Not all employees will require leave in a given year, but the expanded definition of "family member" increases the number of eligible individuals. • Any accumulated annual leave at the time of an employee’s termination from state government is paid-out based on the employee’s hourly rate at the time. While this will not result in a direct annual fiscal impact, it could create a fiscal liability for the state. • Due to multiple unknown variables, such as the number of expected state employees who are estimated to annually experience the death of a child or stepchild, such employee’s paid sick, annual, and compensatory balances, and termination dates, the timing and extent of such increase in fiscal liability is currently unknown. SB 322 – HB 915 2 CERTIFICATION: The information contained herein is true and correct to the best of my knowledge. Bojan Savic, Executive Director