HB 556 – SB 1373
FISCAL NOTE
Fiscal Review Committee
Tennessee General Assembly
March 9, 2025
Fiscal Analyst: Natalie Dusek | Email: natalie.dusek@capitol.tn.gov | Phone: 615-741-2564
HB 556 – SB 1373
SUMMARY OF BILL: Requires all written examinations for a driver license or intermediate
driver license to be in English only. Prohibits an applicant from using a translation dictionary,
electronic device, or interpreter to assist with the administration of the examination.
FISCAL IMPACT:
STATE GOVERNMENT
REVENUE Driver Services
FY25-26 & Subsequent Years >($58,100)
EXPENDITURES Driver Services
FY25-26 & Subsequent Years ($5,000)
LOCAL GOVERNMENT
REVENUE Mandatory
FY25-26 & Subsequent Years ($1,300)
Assumptions:
• According to information previously provided by the Department of Safety (DOS), the
department currently offers written examinations in German, Japanese, Korean, and
Spanish.
• Between 2019-2022, there was an average of 12,494 written exams provided in one of the
available foreign languages each year, which includes a 100 percent increase of Spanish
language exams in 2023 from the previous peak in that language.
• In addition, the DOS began offering the written portion online in 2022. The only available
languages for taking the exam online are Spanish and English.
• There has been an average of 12,011 Spanish language exams issued in the driver service
centers of a total of 349,872 exams in all languages in the previous five years, making up 3.4
percent of all written exams (12,011 / 349,872) administered in driver service centers.
• Since the exam has been offered online, the department has issued an average of 70,538
online exams each year. It is not known exactly how many of these were issued in Spanish.
It is assumed to be 3.4 percent, or 2,398 (70,538 x 3.4%) online Spanish exams each year.
• Pursuant to the proposed legislation, applicants will also be prohibited from using a
translation dictionary, electronic device, or interpreter to assist with the administration of
the exam.
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• Currently, an interpreter is only allowed to assist in filling out the application, but is not
allowed to assist the applicant in taking the actual written exam. The applicant is, however,
currently allowed to use a translation dictionary.
• The use of a translation dictionary is not captured in the data regarding exams taken in a
foreign language. It is not known how many additional exams this cohort represents that
would now be prohibited.
• It is not known how many of the relevant exams are for driver licenses and how many are
for intermediate driver licenses. The fee for a standard Class D driver license is $26, not
including a $2.00 application fee. This analysis assumes that each otherwise successful
applicant that fails the exam due to the English-only requirement represents a loss in
revenue to the DOS of at least $26.
• Taken together, it is assumed that at least 14,892 written driver license examinations (12,494
average foreign language exams + 2,398 online Spanish exams + an unknown number of
additional exams taken with the assistance of a translation dictionary) would be prohibited
each year under the proposed legislation.
• Pursuant to Tenn. Code Ann. § 55-50-321(a)(1), every application for a driver license,
instruction permit, intermediate driver license, and photo identification card shall be
accompanied by a nonrefundable fee of $2.00.
• It is not known many of these applicants would forego attempting the exam altogether.
Given the importance of being able to drive, it is assumed that the vast majority will still
attempt to take the exam. For the purposes of this analysis, any decrease in state revenue
related to these fees is assumed to be not significant.
• The total number of these applicants that would be unable to successfully complete the
exam in English is unknown. It is assumed to be at least 15 percent or 2,234 applicants
(14,892 exams x 15%).
• The decrease in state revenue to the Driver Services division of the DOS related to lost
license revenue is therefore estimated to be $58,084 (2,234 exams x $26) in FY25-26 and
subsequent years.
• The department would realize an additional unknown decrease in revenue related to
renewals and duplicates for these licenses.
• The decrease in state revenue to Driver Services is therefore estimated to exceed $58,084 in
FY25-26 and subsequent years.
• The cost to print a license is $1.36 per card.
• Therefore, the decrease in expenditures to Driver Services related to card-printing is
estimated to be $4,982 (2,234 cards x $2.23) in FY25-26 and subsequent years.
• The DOS is not expected to realize a decrease in workload sufficient to require a decrease
in positions.
• The DOS already has the materials in place to issue all of the exams in English; therefore,
any fiscal impact related to administration or forms is estimated to be not significant.
• Pursuant to Tenn. Code Ann. § 55-50-331(a), the DOS is authorized to contract for the
provision of any service related to the issuance, examination, and renewal of driver licenses
subject to applicable contracting statutes and regulations. Any entity so contracting with the
department is authorized to charge an additional fee of $4.00, which shall be retained by the
entity for administrative costs.
• The DOS does partner with county clerks’ offices for this purpose.
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• Because this analysis assumes no significant decrease in the number of written examinations
attempted, any decrease in local revenue related to fees assessed upon examination is
estimated to be not significant.
• It is assumed county clerks’ offices will realize a decrease in revenue related to such fees
assessed upon license issuance.
• It is assumed that there will be a 15 percent decrease in license issuance will be realized at
county clerks’ offices.
• The decrease in local revenue is estimated to be $1,340 [(2,234 licenses x 15%) x $4.00] in
FY25-26 and subsequent years.
CERTIFICATION:
The information contained herein is true and correct to the best of my knowledge.
Bojan Savic, Executive Director