Tennessee House Bill HB0812

Tennessee 2025-2026 Regular Session

• Introduced: 2/4/25
• Refer: 2/6/25

Caption

AN ACT to amend Tennessee Code Annotated, Title 4; Title 49; Title 58; Title 68 and Title 71, relative to veterans.

Summary

HB0812 amends Tennessee law governing the distribution of privilege tax revenue collected under Tennessee Code Annotated § 4-49-104. The bill changes the allocation of those funds so that 4% continues to go to the Department of Mental Health and Substance Abuse Services, while 1% is newly directed to the Department of Veterans Services. The veterans-services share is to be used to support veterans services in Tennessee. The measure is a targeted fiscal and administrative change rather than a broad policy overhaul. It creates a dedicated revenue stream for veterans services by diverting a small portion of the existing privilege tax distribution, with an effective date of July 1, 2025.

Impact

The bill amends Title 4 of the Tennessee Code Annotated by revising the statutory distribution formula for privilege tax receipts under § 4-49-104(e). Its practical effect is to earmark 1% of those collections for the Department of Veterans Services, while preserving the 4% allocation for mental health and substance abuse services. The change affects state revenue allocation and the agencies that receive and administer these funds, but does not create a new tax or alter the underlying privilege tax itself.

Sentiment

Based on the bill text and available context, the measure appears generally supportive of veterans and likely noncontroversial in intent. No committee transcripts or recorded votes were provided, so there is no direct evidence of debate, opposition, or amendments. The bill’s narrow scope and dedicated funding purpose suggest a favorable reception centered on expanding support for veterans services.

Contention

The main potential point of contention is fiscal: the bill redirects a portion of existing privilege tax revenue, which could prompt questions about whether the new veterans-services allocation competes with other state priorities or whether the remaining funding is sufficient for mental health and substance abuse services. However, no specific objections, amendments, or opposing arguments are available in the provided materials. The bill’s supporters are implied to be those advocating for veterans services, while any concerns would likely come from budget-focused stakeholders or agencies affected by revenue distribution.