HB 225 - SB 364
FISCAL NOTE
Fiscal Review Committee
Tennessee General Assembly
February 22, 2025
Fiscal Analyst: Alan Hampton | Email: alan.hampton@capitol.tn.gov | Phone: 615-741-2564
HB 225 - SB 364
SUMMARY OF BILL: Repeals the Tennessee Community Schools Act and enacts the Tennessee
Full-Service Community Schools Act. Authorizes and encourages each local board of education to form a
full-service community school. Creates a full-service community school grant program to be
administered by the University of Tennessee (UT) to promote the establishment and sustainability of
full-service community schools throughout the state. Requires grants to be made available to local
boards of education by January 1, 2026. Establishes a grant application and approval process.
Requires a local board of education that receives a grant to undertake certain assessment, record-
keeping, and reporting duties. Requires the UT to provide continuous evaluation and support to
grant recipients and to evaluate the full-service community school's progress. Authorizes the UT to
collaborate with at least one statewide coalition to establish best practices on the administration of
full-community schools and is required to publish the best practices on the UT’s website.
FISCAL IMPACT:
STATE GOVERNMENT
EXPENDITURES UT System
FY25-26 $234,200
FY26-27 $228,200
FY27-28 & Subsequent Years $224,200
Total Positions Required: 4
OTHER FISCAL IMPACT
The amount of funding available for the grant program is unknown. Therefore, the extent and
timing of any increase to state expenditures and local revenue cannot be reasonably determined.
Assumptions:
• The proposed legislation enacts the Tennessee Full-Service Community Schools Act and requires
the UT to administer grants to local boards of education in order to promote the
establishment and sustainability of full-service community schools throughout the state.
• A “full-service community school” is defined as a school for which at least one local board
of education partners with at least one community partner to develop and implement an
operational model that includes a plan for coordinating and integrating educational,
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developmental, family, health, and other comprehensive services through a community
partner and for providing access to such services through the school to students, families,
and the community.
• If the number of applicants exceeds the number of full-service community school grants
available in a fiscal year, then the UT is required to award grants in the following order:
o An LEA that demonstrates the technical and financial capacity to sustain the full-
service community school beyond the initial grant period, the LEA's readiness to
implement the school's operational model, and the strength of the qualifications of
the community partnerships formed by the LEA's board of education, in the order
in which the UT receives the completed grant applications; and
o An LEA that is expanding its full-service community school.
• In order for a local board of education to receive a second or subsequent full-service
community school grant, the board must secure matching funds through established
community partnerships.
• There are approximately 102 full-service community schools that would be eligible across
Tennessee.
• The amount of funding available for the grant program is currently unknown and cannot be
reasonably determined.
• The UT will require additional staffing and job reclassification for two current positions,
along with travel and administration funding in order to administer the grant program. UT
will also incur indirect costs estimated at 15 percent of the total grant funding to the full-
service community schools, which is consistent with other grant agreements with state
agencies.
• The UT will require four additional positions beginning in FY25-26:
Title Salary Benefits # Positions Total
Administrative Support $60,000 $21,120 1 $81,120
1/2 FTE Data Analyst $32,500 $11,440 1 $43,940
Re-classified Data Manager $25,500 $8,976 1 $34,496
Re-classified Director $36,000 $12,672 1 $48,672
Total: $208,208
• The UT will also incur the following expenses for administrative costs and supplies:
o $6,000 for laptops in FY25-26;
o $8,000 for external grant reviewers and an advisory board in FY25-26 and FY26-27;
o $4,000 for external grant reviewers in FY27-28 and subsequent years; and
o $12,000 for travel in FY25-26 and subsequent years.
• The total increase in state expenditures is as follows:
o $234,208 ($208,208 + $6,000 + $8,000 + $12,000) in FY25-26;
o $228,208 ($208,208 + $8,000 + $12,000) in FY26-27; and
o $224,208 ($208,208 + $4,000 + $12,000) in FY27-28 and subsequent years.
• The UT will be able to collaborate with a statewide coalition to identify best practices and
publish the best practices on the UT’s website within existing resources.
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CERTIFICATION:
The information contained herein is true and correct to the best of my knowledge.
Bojan Savic, Executive Director