Tennessee Senate Bill SB2199

Tennessee 2025-2026 Regular Session

• Introduced: 2/2/26

Caption

AN ACT to amend Tennessee Code Annotated, Title 4, Chapter 5, relative to administrative rules.

Impact

The bill significantly modifies Tennessee Code Annotated, particularly in Title 4, Chapter 5, by placing greater emphasis on public involvement and the fiscal implications of regulatory changes. Supporters of the bill argue that these changes will protect businesses by ensuring they are well-informed of the costs associated with new regulations, potentially avoiding unforeseen financial burdens. Moreover, by requiring the inclusion of feedback from affected parties, SB2199 seeks to cultivate a more inclusive and responsive legislative process.

Summary

Senate Bill 2199, known as the 'Regulatory Freedom Act of 2026,' aims to amend Tennessee's administrative rule-making process by instituting requirements for fiscal impact statements and public engagement prior to the implementation of new or amended rules. This legislation mandates that any agency proposing rules anticipated to have a negative fiscal effect on the regulated community must generate a detailed fiscal impact statement, which evaluates the actual costs of compliance alongside the feedback from relevant industry stakeholders. The intent behind this legislation is to enhance transparency and accountability in the state’s regulatory framework.

Contention

Despite its advantages, the bill has sparked a debate among lawmakers and interest groups. Critics express concern that the new requirements may lead to bureaucratic delays and impede the timely implementation of necessary regulations. Additionally, there are fears that the emphasis on fiscal impacts could discourage agencies from pursuing regulations that are crucial for public welfare but might carry an initial financial burden. This contention reflects a broader tension between regulatory oversight and the interests of the business community, with a focus on finding a balance that serves both economic and public health goals.