Governor Phil Bredesen unveiled his $27.88 billion dollar “back to basics” budget Monday before the Tennessee General Assembly. It would provide spending for kindergarten –12th grade and pre-kindergarten programs. The proposed budget would expand lottery-funded scholarship opportunities for another 16,500 students but provide few new dollars for higher education.
The Governor pledged to also support a one-time spending for a jobs creation initiative, to provide pay raises of 3.3 percent for teachers and 2 percent for state employees and spend 12 million to expand alternatives for nursing home.
All this comes with a projected revenue shortfall of about $180 million in the current fiscal year, He also laid out plans to trim $201 million in the current year from departmental spending and unspent TennCare and Cover Tennessee funds. He also is putting an additional $35 million into the state’s rainy day fund and opposes any use of those monies to offset revenue shortfalls.
The bill filing cut off date was Thursday, January 31st, and over 4,000 were filed in each house, setting a new record on bill filings. Committees continue to be slow in scheduling bills, and budget hearings take up much of the Finance committees’ time.
To help with the “terminology” of the status of bills in our reports, I have included in this report a synopsis on how a bill becomes law. It also included definitions on frequently used terms in our reports that will help explain the status of the bills.
Please call if you have questions.
In Tennessee, the state legislature operates on a ninety-day legislative session. This spans over a two-year period and runs from mid-January to usually May. This means any bill introduced in the first half of session will still be active in the second half of session the following year. In addition, more bills can be filed in the second half of the legislative session. We are currently in the second half of the legislative session.
In the Tennessee State Legislature, a bill must go through a process of three considerations. The respective floor leaders recommend the bills filed pass first and second consideration and after passage of second consideration, a bill is referred to the appropriate standing committee. (The bill’s issue/content decides what committee will hear it.) A legislator advises the chair of the committee that he/she wishes to “calendar” his/her bill. Once a bill is scheduled, the committee chairman places the bill on the calendar and the committee meets to hear the bill and discuss its merits.
A motion must be made to vote on the bill; this simply means a legislator recommends the bill move ahead. If a legislator fails to make a motion or fails to make a second on the motion to proceed, the bill is essentially “dead.” A legislator may also inform the chairman of the committee he/she wishes to take the bill off notice or general sub the bill. These terms mean the bill will not be heard by a committee and that the bill is “dead”; however, the bill can continue through the process if the sponsor asks the committee to reconsider the bill.
If a bill successfully moves from a committee or a subcommittee it will continue to proceed until it is voted on by the whole house and senate. The bill may have amendments which alter the language of the bill or it can pass in its original form. The bill has to receive a majority of votes in both houses in order for it to be sent to the Governor. The Governor then has 10 days to sign the bill or let it become law without his signature.
Tennessee Legislation Service (c) 2008 M. Lee Smith Publishers
Friday, February 1, 2008 |
ALCOHOLIC BEVERAGES |
SB 0634*
HB 1750
(Full Text) |
Allows sale of alcohol on Sundays that are certain holidays. Allows retailers to sell alcoholic beverages on Sundays between the hours of noon and eleven p.m. and on Labor Day, the Fourth of July, and New Year's Day. (S: Marrero; H: Jones U.)
Senate Status: Failed in Senate State & Local Government 03/13/2007 for lack of a second.
House Status: Referred to House Local Government Subcommittee. |
SB 0680*
HB 0787
(Full Text) |
Cannot sell beer or alcohol near drug treatment facility. Authorizes counties and cities to adopt ordinance or resolution that prohibits sale of beer and alcoholic beverages within 2,000 feet of a drug or alcohol treatment facility. (S: Bunch; H: Campfield)
Senate Status: Referred to Senate State & Local Government.
House Status: Referred to House Local Government Subcommittee. |
SB 0795*
HB 1324
(Full Text) |
ID tags on beer kegs. Requires retailers to place identification tag on kegs containing beer that identifies the seller. Requires purchaser to pay a minimum deposit of $75 and to sign a registration form. Directs department of revenue to prescribe and supply forms for keg identification so that buyers and sellers can be held accountable for unlawful purchases. Violation is a Class C misdemeanor. (S: Burchett; H: Briley)
Senate Status: Referred to Senate State & Local Government.
House Status: Taken off notice in House Local Government Subcommittee 04/18/2007. |
SB 1221*
HB 1194
(Full Text)
Public Chapter (PDF) |
Special occasion license for certain events. Allows charitable, nonprofit, or political organization to obtain special occasion license for event in political subdivision that has approved sale of alcoholic beverages for consumption on the premises. Clarifies current law that specifies approval only of the sale of alcoholic beverages at retail on the premises. (S: Cooper J.; H: Harmon)
Senate Co-Sponsor: Haynes House amendment 1 rewrites the bill to authorize the Swiss Colony in Gruetli-Lager to give samples of homemade wine at its annual festival.
Senate Status: Senate passed 05/07/2007.
House Status: House 04/09/2007 passed with amendment 1.
Other Status: Enacted as Public Chapter 0203 (effective 05/22/2007). |
SB 1223*
HB 1529
(Full Text)
Public Chapter (PDF) |
Special occasion license for charitable organization. Permits alcoholic beverage commission to issue a special occasion license to certain 501(c)(3) organizations for selling wine in closed containers for consumption on or off premises. Allows any resident of Tennessee to donate wine to such organizations. (S: Cooper J.; H: Odom)
Senate Co-Sponsors: Haynes; Kyle; Norris; Marrero Senate amendment 1 requires organization to have $1,000,000 annual budget. Also requires donated bottles of wine to be properly registered with the department of revenue.
Senate Status: Senate 05/07/2007 passed with amendment 1.
House Status: House passed 05/24/2007.
Other Status: Enacted as Public Chapter 0342 (effective 06/05/2007). |
SB 1224*
HB 1755
(Full Text) |
Retail license holder may offer free samples of wine. Permits entities holding a retail license or a winery license to provide free samples of wine to consumers on the premises under certain circumstances. Subjects those who violate specified requirements while providing samples to suspension of license or a fine of up to $3,000. (S: Cooper J.; H: Jones U.)
Senate Co-Sponsor: Haynes
House Co-Sponsor: Tindell
Senate Status: Taken off notice in Senate State & Local Government 05/01/2007.
House Status: Taken off notice in House Local Government Subcommittee 05/09/2007. |
SB 1807*
HB 2120
(Full Text)
Public Chapter (PDF) |
Any wine made from 50 percent TN fruit - unlimited sale. Allows any winery selling wine made from 50 percent of any Tennessee fruit to sell it on premises without restriction on number of gallons sold where grapes were previously the only fruit under this provision. (S: Ketron; H: Litz) Senate amendment 1 allows any winery selling wine made from 50 percent of any Tennessee agricultural product to sell it on premises without restriction on number of gallons sold. Clarifies that bill's provision apply to Tennessee fruit only. House amendment 1 substitutes the word "grapes" for "agricultural products" and provides that gift, tourism, or wine related items may be sold on the premises of a licensed winery.
Senate Status: Senate 06/06/2007 concurred in House amendment 1.
House Status: House 05/29/2007 passed with amendment 1.
Other Status: Enacted as Public Chapter 0433 (effective 06/18/2007). |
SB 1821*
HB 1658
(Full Text) |
Registration period for beer manufacturers, distributors. Increases time period from 20 to 25 days for manufacturer or distributor of beer to register at the office of the commissioner of revenue. Broadly captioned. (S: Bunch; H: Mumpower)
Senate Status: Referred to Senate State & Local Government.
House Status: Caption bill held on House clerk's desk. |
SB 1879
HB 1119
(Full Text) |
Beer distributors' registration. Increases time period during which beer distributors must register with commissioner of revenue from 20 to 25 days. (S: Jackson; H: Buck)
Senate Status: Referred to Senate State & Local Government.
House Status: Caption bill held on House clerk's desk. |
SB 1977*
HB 1850
(Full Text) |
Wine direct shipper license. Creates wine direct shipper license to be issued through the alcoholic beverage commission that would allow an in-state or out-of-state entity to ship wine directly to consumers age 21 years or older in this state for personal use. (S: Stanley; H: Todd)
Senate Status: Senate State & Local Government deferred to 2008.
House Status: Set for House Local Government Subcommittee 02/06/2008. |
SB 2072
HB 1899*
(Full Text) |
Sales of wine by certain retail food stores. Prescribes the creation of an additional class of licenses allowing the sale of wine at retail food stores. (S: Marrero; H: Kernell)
Senate Status: Failed in Senate State & Local Government 03/13/2007 for lack of a motion.
House Status: Referred to House Local Government Subcommittee. |
SB 2289
HB 1825*
(Full Text) |
Wholesaler's license expansion. Allows wholesaler's licenses to be granted in any municipality that has approved the sale of alcoholic beverages rather than only those with a minimum population of 100,000. (S: Burchett; H: Lundberg)
Senate Status: Referred to Senate State & Local Government.
House Status: House Local Government Subcommittee deferred to July 2008 after amendment 1 fails. |
SB 2686*
HB 2824
(Full Text) |
Allows direct shipment of wine for personal consumption. Authorizes the direct shipment of wine for personal consumption to residents of Tennessee who are 21 years of age or older. Requires wine manufacturer, producer, supplier, importer, wholesaler, distributor or retailer to obtain a wine direct shipper license prior to sending any shipments to residents. Specifies that a licensee cannot ship more than two 9-liter cases of wine annually to any person for that person's personal use. Specifies other requirements for licensee. (S: Jackson; H: Shepard)
Senate Status: Referred to Senate State & Local Government.
House Status: Referred to House Government Operations. |
SB 2814
HB 2730*
(Full Text) |
Direct shipment of wine to consumers. Authorizes the direct shipment of wine for personal consumption to residents of Tennessee who are 21 years of age or older. Requires wine manufacturer, producer, supplier, importer, wholesaler, distributor or retailer to obtain a wine direct shipper license prior to sending any shipments to residents. Specifies that a licensee cannot ship more than two 9-liter cases of wine annually to any person for that person's personal use. Gives authority to the alcoholic beverage commission and the department of revenue to promulgate rules and regulations for the creation of a direct shipper license. (S: Roller; H: Fraley)
Senate Status: Referred to Senate State & Local Government.
House Status: Referred to House State Government Subcommittee. |
SB 2959*
HB 3516
(Full Text) |
Direct shipper license for wine shipments to TN residents. Creates direct shipper license to be issued through the alcoholic beverage commission. The license will allow an in-state or out-of-state entity to ship wine directly to consumers age 21 years or older in this state for personal use. Sets out specific requirements for licensing including a $300 licensing fee. Limits the amount of wine that can be shipped annually to each purchaser. (S: Ketron; H: Jones U.)
Senate Status: Referred to Senate State & Local Government.
House Status: Referred to House State & Local Government. |
SB 3121*
HB 3035
(Full Text) |
Fees collected by alcoholic beverage commission. Requires the alcoholic beverage commission to deposit all taxes and fees that the commission collects with the state treasury for the general fund. (S: Burchett; H: Tindell)
Senate Status: Referred to Senate State & Local Government.
House Status: Referred to House Local Government Subcommittee. |
SB 3139*
HB 3451
(Full Text) |
Sales of wine by certain retail food stores. Creates an additional class of licenses allowing the sale of wine at certain retail food stores. Specifies that these licenses are to be known as "wine at food store licenses" and are to be issued by the alcoholic beverage commission. Limits issuance of such licenses to retail food stores located in a county or municipality that has authorized the sale of alcoholic beverages by local option election. (S: Ketron; H: Rinks)
Senate Status: Referred to Senate State & Local Government.
House Status: Referred to House State & Local Government. |
SB 3661
HB 3118*
(Full Text) |
Advertising of alcohol's harmful effects. Requires advertising for alcoholic beverages to mention dangers of alcoholism, effects of alcohol on liver and mind, and increased incidence of domestic violence involving use of alcoholic beverages. (S: Finney R.; H: DuBois)
Senate Status: Referred to Senate State & Local Government.
House Status: Referred to House Local Government Subcommittee. |
COMMERCIAL LAW |
SB 0850*
HB 1019
(Full Text) |
Processing fees charged for use of debit or credit card. Prohibits card issuer from charging a processing fee to retail merchants for the use of credit or debit cards that is more than seventy-five hundredths of one percent (0.75 percent) per transaction for all processing fees involving the use of a credit or debit card. (S: Kilby; H: Ferguson)
Senate Status: Senate Commerce, Labor & Agriculture deferred to 05/01/2007.
House Status: Taken off notice in House Utilities, Banking & Small Business Subcommittee 04/10/2007. |
TAXES BUSINESS |
SB 1394*
HB 1193
(Full Text) |
Increased tax on cigarettes and wine. Increases tax on spirits from $4.40 per gallon to $4.50 per gallon. Also increases tax on wine from $1.21 per gallon to $1.31 per gallon. Increases tax on cigarettes from 10 mills per cigarette to 1.5 cents per cigarette. (S: Crutchfield; H: Harmon)
Senate Status: Taken off notice in Senate Finance Tax Subcommittee 03/20/2007.
House Status: Referred to House Finance Budget Subcommittee. |
SB 2659*
HB 3100
(Full Text) |
Tax credits for small business providing health benefits. Provides a tax credit for small business employers that provide health benefits to employees. Defines "small business" as a taxpayer that employs no more than 25 eligible employees throughout the taxable year. (S: Black; H: Curtiss)
Senate Co-Sponsor: Herron
Senate Status: Referred to Senate Finance, Ways & Means.
House Status: Introduced 1/23/2008 |
TAXES SALES |
SB 1802*
HB 1296
(Full Text) |
Exemptions for certain licensed wholesalers and retailers. Exempts certain sales of tangible personal property and services made by licensed wholesalers and retailers from a central warehouse or distribution point other than its principal place of business from sales and use tax. (S: Ketron; H: Sargent)
Senate Status: Referred to Senate Finance, Ways & Means.
House Status: Referred to House Finance Budget Subcommittee. |
SB 1974*
HB 2158
(Full Text) |
Alcoholic beverages sold for consumption on premises. Specifies that the burden of proving that a taxpayer's records are inaccurate for the purpose of projecting taxpayer sales of alcoholic beverages for on-premises consumption from the taxpayer's wholesale purchases shall be on the department of revenue, (S: Haynes; H: Briley)
Senate Status: Senate Finance, Ways & Means 06/11/2007 recommended. Sent to Calendar Committee. Set for Senate consent calendar 06/11/2007. Senate passed 06/11/2007.
House Status: Set for House Finance Budget Subcommittee 06/11/2007. Taken off notice in House Finance Budget Subcommittee 06/11/2007. |
TRANSPORTATION GENERAL |
SB 2571*
HB 2590
(Full Text) |
Parking for disabled. Requires businesses to provide disabled parking. Specifies if at least four disabled parking spots are provided, one parking space should be van accessible. Requires van accessible parking spaces to be at least nine feet wide and to have an adjacent access aisle that is at least eight feet wide. (S: Marrero; H: Richardson)
Senate Status: Referred to Senate Transportation.
House Status: Referred to House Transportation. |
