Tennessee Senate Bill SB2694

Tennessee 2025-2026 Regular Session

• Introduced: 2/10/26
• Chaptered: 5/1/26
• Passed: 5/1/26

Caption

AN ACT to amend Chapter 62 of the Private Acts of 2016; as amended by Chapter 40 of the Private Acts of 2020; and any other acts amendatory thereto, relative to the Shelbyville Power, Water and Sewerage System.

Summary

SB2694 is a local/private act affecting the Shelbyville Power, Water and Sewerage System. It revises the composition and appointment rules for the system’s board of directors, keeping the board at seven members but specifying that five must be citizen members and two must be city council members. The bill also restates the qualifications for citizen members, including residency in Bedford County, status as a freeholder or householder, two years as a ratepayer, minimum age of 30, and U.S. citizenship, while clarifying who counts as a “ratepayer” for appointment purposes. The bill further provides that citizen member compensation is set by city ordinance, while city council members serving on the board receive no additional compensation. It includes a savings clause preserving current officeholders and states that the act will only take effect if approved by a two-thirds vote of the Shelbyville city legislative body, making it a local option measure rather than a statewide change. The act was passed on the House floor by a 31-0 vote, indicating unanimous support in that chamber.

Impact

The bill amends a private act governing the Shelbyville utility system’s board structure and eligibility rules, but it does not change general state law beyond the local/private act framework. Its practical effect is to update governance of the Shelbyville Power, Water and Sewerage System by defining board membership, appointment timing, qualifications, compensation, and vacancy procedures. Because it requires approval by the Shelbyville city legislative body, the bill’s legal effect depends on local ratification before it can fully operate.

Sentiment

The available voting record suggests strong support for the bill, with a unanimous 31-0 floor vote. No committee transcripts are available, so there is no recorded debate to indicate broader disagreement or concern. Overall, the bill appears to have been treated as a routine local governance measure rather than a controversial policy proposal.

Contention

The main potential point of contention is the board’s composition and appointment structure, especially the balance between citizen members and city council members and the qualifications required for citizen appointees. The bill also preserves a relatively specific eligibility framework tied to Bedford County residency, property or household status, and utility ratepayer status, which could be viewed as restrictive or exclusionary by some observers. However, no recorded opposition or debate is available in the provided materials.