Tennessee House Bill HB0021

Tennessee 2023-2024 Regular Session

• Introduced: 1/3/23
• Refer: 1/12/23

Caption

AN ACT to amend Tennessee Code Annotated, Title 4; Title 7; Title 9; Title 10; Title 13; Title 45 and Title 67, relative to economic development.

Impact

If enacted, this bill would significantly enhance resources available to micro-businesses in Tennessee, promoting job creation and economic development. It creates a structured approach for lending organizations to evaluate applications, ensuring that funds are directed toward projects with credible potential for business growth. Additionally, the act emphasizes support for minority-owned and women-owned businesses, highlighting a commitment to inclusivity in economic opportunity.

Summary

House Bill 0021, known as the Support Micro-Businesses Act, aims to facilitate economic growth in Tennessee by providing funding opportunities for micro-businesses. The act establishes a micro-business revolving loan fund program designed specifically for businesses that are independently owned, employ five or fewer individuals, and are based in the state. By allowing community development financial institutions and other lending organizations to access low-interest loans, the bill seeks to bridge funding gaps for these small enterprises that struggle to obtain traditional credit.

Contention

A notable point of contention surrounding HB0021 could involve the criteria for loan distribution and eligibility. While the bill aims to empower underrepresented business owners, some stakeholders may argue about the adequacy of oversight and the processes involved in selecting lending organizations. There may also be discussions regarding the broader economic implications—whether support for micro-businesses can effectively stimulate the economy at large, especially in a state with varied economic tiers.