Tennessee Senate Bill SB2158

Tennessee 2025-2026 Regular Session

• Introduced: 2/2/26
• Engrossed: 3/30/26
• Enrolled: 4/8/26
• Passed: 4/23/26
• Chaptered: 5/1/26

Caption

AN ACT to amend Tennessee Code Annotated, Section 4-4-116 and Chapter 512 of the Public Acts of 2025, relative to the joint committee on ways and means.

Summary

SB2158 revises Tennessee’s procedures for legislative review of federal aid applications and acceptances by state agencies and other executive-branch recipients. The bill amends Tennessee Code Annotated § 4-4-116 to redefine “recipient,” clarify when notice must be given to the Joint Committee on Ways and Means, and adjust the timing and scope of committee review for federal aid under and over $25 million. It also allows the committee to hold a hearing on smaller awards if the chairs agree, and it preserves a separate approval process for federal aid that is structured as a loan or other indebtedness requiring repayment by the state. The bill also changes how recurring or multi-year federal funding is handled. Annual awards paid in installments generally require notice and review only before the first installment each year, while multi-year programs awarded or disbursed annually must be reported and reviewed each year. Transportation formula grant funds, including federal highway program money, are expressly exempted from certain notice and approval requirements. The bill also moves a reporting deadline from February 1 to February 15 and takes effect July 1, 2026.

Impact

SB2158 narrows and clarifies the statutory framework governing executive-branch acceptance of federal aid, shifting some oversight details to the Joint Committee on Ways and Means while preserving exemptions for certain categories of funding. It affects state agencies, the administrative office of the courts, the comptroller, and the departments of state and treasury, as well as any other executive-branch bodies that seek federal funds. The bill amends TCA § 4-4-116 and related provisions in Chapter 512 of the Public Acts of 2025, changing notice, hearing, approval, exemption, and reporting rules for federal grants, aid, and loans.

Sentiment

The available voting history suggests broad support and little opposition. The Senate Finance, Ways and Means Committee recommended passage unanimously, and the floor vote to adopt passed 33-0. No committee transcript excerpts were provided, so there is no recorded debate in the supplied materials indicating significant controversy.

Contention

The main policy issue is the balance between legislative oversight and administrative flexibility in accepting federal funds. The bill preserves committee review for larger awards and for state-repayable loans, but it also streamlines smaller awards, recurring grants, and certain transportation funds by limiting or exempting review requirements. Any contention would likely center on whether the Joint Committee on Ways and Means should have broader authority to review federal aid before acceptance, versus allowing agencies to move more quickly to secure funding without delay.