HB 793 - SB 836 FISCAL NOTE Fiscal Review Committee Tennessee General Assembly February 28, 2025 Fiscal Analyst: Alan Hampton | Email: alan.hampton@capitol.tn.gov | Phone: 615-741-2564 HB 793 - SB 836 SUMMARY OF BILL: Authorizes a local education agency (LEA) or public charter school to enroll, or refuse to enroll, a student who is unlawfully present in the United States. FISCAL IMPACT: OTHER FISCAL IMPACT The proposed legislation may jeopardize federal funding to the state and to local governments. However, due to multiple unknown factors, the extent and timing of any decrease in federal funding cannot be determined with certainty. Assumptions: • It is unknown how many students are unlawfully present in the United States and who may enroll in Tennessee public schools. It is further unknown how many schools may refuse to enroll such students. • Any decrease in enrollment as a result of the proposed legislation will be reflected in the TISA funding formula in the following school year. It is assumed that any decrease in TISA funding will be offset with savings associated from not having to educate the student. • Title VI of the Civil Rights Act of 1964 prohibits discrimination based on race, color, or national origin in programs or activities that receive federal financial assistance. • According to the United States Department of Justice, Civil Rights Division, the discrimination protections in Title VI apply to undocumented individuals in the United States. • As a condition of receiving federal funds, the Department of Education (DOE) must sign assurances that it will comply with federal civil rights laws such as Title VI. Violations of federal civil rights laws may place this funding at risk, however, the specific amount at risk is undetermined. • The DOE receives $1,105,785,800 in federal education funding as follows: o $408,042,600 for the Every Student Succeeds Act; o $255,559,500 for the Individuals with Disabilities Act; o $28,511,100 for the Carl Perkins Act; and o $413,672,600 for School Nutrition. HB 793 - SB 836 2 • The proposed legislation may also jeopardize federal funding received by LEAs and public charter schools. Due to multiple unknown factors, the extent and timing of any such decrease cannot be determined with certainty. CERTIFICATION: The information contained herein is true and correct to the best of my knowledge. Bojan Savic, Executive Director