Tennessee House Bill HB1068

Tennessee 2025-2026 Regular Session

• Introduced: 2/5/25
• Refer: 2/10/25

Caption

AN ACT to amend Tennessee Code Annotated, Title 4; Title 9; Title 67 and Title 71, relative to community-based organizations.

Summary

HB1068 creates a new state grant program for eligible community-based organizations and establishes a dedicated community-based organization grant fund in the state general fund. Eligible organizations are 501(c)(3) nonprofits that have served communities for at least five years in areas such as economic or workforce development, education, poverty, health, housing, or social services. The bill contemplates grants of $10,000 to $100,000, with priority for community-driven, partnership-based, and sustainable projects, and for organizations led by people from the communities they serve. The bill also creates a nine-member community grant advisory board within the Department of Human Services to administer the program. The board would include state officials, local government representatives, and nonprofit/community-based organization representatives, and would be responsible for setting application guidelines, awarding grants, monitoring recipients, and reporting annually to legislative budget committees. The bill states legislative intent for an initial $1 million appropriation in fiscal year 2025-2026, and allows unused funds to carry forward rather than revert to the general fund.

Impact

HB1068 would add new provisions to Tennessee Code Annotated Title 71 and make a conforming amendment to Title 4 by placing the new community grant advisory board among state entities. It would create a new grant fund, authorize the Department of Human Services and the advisory board to administer grants, and require rules, reporting, and oversight procedures. The bill would directly affect eligible nonprofit community organizations by creating a new source of state funding and would also impose administrative and compliance responsibilities on the department and grant recipients.

Sentiment

No committee transcripts or vote records were provided, so there is no direct evidence of debate, support, or opposition in the available materials. Based on the bill text alone, the measure appears designed as a supportive funding initiative for nonprofits and community service providers, with an emphasis on capacity-building and local impact. The structure of the program suggests a generally positive policy intent toward community-based organizations.

Contention

The bill’s likely points of contention would be fiscal and administrative rather than ideological in the text itself. The most notable issue is the proposed $1 million initial appropriation and the creation of a continuing grant fund, which could raise budget concerns. Another possible area of discussion is board composition and appointment authority, since the board includes gubernatorial and legislative appointees as well as nonprofit and local government representatives, which may prompt questions about balance, accountability, and control over grant decisions. The eligibility criteria and priority preferences could also be scrutinized for how broadly they reach organizations and how grants are distributed.