Starting Today! - July 1, 2023
Get ready, Tennessee! A new set of laws are set to take effect TODAY - July 1st, 2023. These laws have been passed by the General Assembly during the most recent legislative session. It's important to stay informed about these changes as they may impact various aspects of our lives. From criminal justice reforms to healthcare regulations, these laws shape the legal landscape of our state. With more than 170 new laws passed by the General Assembly this year that go into effect today, we've highlighted a breakdown of the key laws that might be of relevance or directly impact you.
**Please note that this summary provides a condensed overview of each bill. For the full text and precise details, it is recommended to refer to the official documentation.
HEALTHCARE
Study on the Implementation of the Federal ‘No Surprises Act’
Sponsors: Watson (SB 1345) / Vaughan (HB 1503)
Summary
This bill addresses the payment and coverage of emergency medical services by insurers. It mandates that insurers must provide benefits for emergency medical services to covered persons without requiring prior authorization or retrospectively denying payment for medically necessary services. These requirements apply regardless of whether the healthcare provider or facility is a participating provider.
If a covered person receives emergency medical services from a nonparticipating provider, the provider can only collect the person's deductible, coinsurance, copayment, or other cost-sharing amount specified in their policy. The insurer, in accordance with the bill, is obligated to directly pay the provider the greater of a variable amount.
Extending the Ground Ambulance Service Provider Assessment Act
Sponsors: Yager (SB 0984) / Reedy (HB 0893)
Summary
Legislation passed this year to extend the Ground Ambulance Service Provider Assessment for one year to June 30, 2024. Ambulance providers in Tennessee impose a fee on themselves that’s administered by the Bureau of TennCare, and the fee is then leveraged into additional federal dollars that are distributed to participating ambulance services based on the number of ground transports.
Extending the Ground Ambulance Service Provider Assessment Act
Sponsors: Yager (SB 0984) / Reedy (HB 0893)
Summary
Legislation passed this year to extend the Ground Ambulance Service Provider Assessment for one year to June 30, 2024. Ambulance providers in Tennessee impose a fee on themselves that’s administered by the Bureau of TennCare, and the fee is then leveraged into additional federal dollars that are distributed to participating ambulance services based on the number of ground transports.
Hospital Assessment Act
Sponsors: Haile (SB 0289) / Hazlewood (HB 0152)
Summary
The bill includes provisions for the allocation of funds within the TennCare program, such as maintaining graduate medical education payments, reimbursement for non-emergent care to children, offsetting the elimination of certain provisions in TennCare managed care contracts for hospitals, and providing funding for stipends to healthcare providers in medically underserved areas. Additionally, the act allows for the development of programs and initiatives, in collaboration with the Tennessee Hospital Association, to offset costs and financial consequences related to providing services to TennCare enrollees and addressing public health emergencies. These programs can also leverage federal matching funds to raise additional revenue.
Medical Laboratory Access and Equality
Sponsors: Briggs (SB 1275) / Lafferty (HB 0874)
Summary
This bill prevents health insurance companies from denying licensed medical laboratories the right to participate in policies or plans on equal terms. It also ensures individuals can choose their preferred laboratory as long as it meets the same requirements as others. An amendment was placed to remove the provision for restricting an abusive or heavy utilizer of medical laboratory services to a single medical laboratory for non-emergency services. The law tackles a problem that emerged during the COVID-19 pandemic, wherein lab testing was in high demand. It specifically focuses on insurers' practice of mandating COVID-19 tests to be sent to labs located outside the state, resulting in avoidable delays instead of utilizing faster in-state labs.
Strengthening Right to Shop Act
Sponsors: McNally (SB 1392) / Sexton (HB 1213)
Summary
The General Assembly built on its efforts to lower health care costs by improving competition in the marketplace. A new law strengthens the Right to Shop Act by creating a viable avenue to negotiate fair prices with out-of-network providers in non-emergency situations. Under the new law, if a patient negotiates a lower price with an out-of-network provider, then the patient can submit paperwork to their insurance company and have their out-of-pocket cost applied to their deductible.
Family Medicine Student Loan Repayment Grant
Sponsor: Holsclaw (HB 1281) / Crowe (SB 0781)
Summary
This bill establishes a family medicine student loan repayment grant program aimed at incentivizing physicians in residency training to provide medical health services in health resource shortage areas after completing their training. Eligible individuals must have graduated from an accredited medical school, be enrolled in a Tennessee family medicine residency training program, and apply for a grant during their residency. They must also enter into a contract with the Department of Health to provide medical services in a Tennessee health resource shortage area for at least five years following residency training. The Department will issue grants to cover the principal, interest, and related expenses of the physician's medical school loans, up to the total student loan indebtedness. The grants can amount to a maximum of $40,000 per year for up to five years, and funding from private donations, grants, federal, and state monies may be used to support the program.
TAX CUTS
Notably, the budget provides $407 million in tax cuts, the largest in Tennessee’s history. These cuts aim to lower the tax burden on businesses, boost Tennessee’s economic competitiveness, promote entrepreneurship and small businesses. It provides targeted relief to families with a three-month-long tax break on groceries from Aug. 1-Oct. 31.
Tennessee Works Tax Reform Act of 2023
Sponsors: Johnson (SB 0275) / Lamberth (HB 0323)
Summary
Republican lawmakers this year approved the single largest tax cut in state history, to provide more than $400 million in savings for Tennessee families and businesses while supporting future economic growth. The 2023 tax cuts will boost Tennessee’s economic competitiveness, promote entrepreneurship and small business formation, and provide targeted relief to families.
The legislation includes $273 million for a one-time, three-month grocery tax holiday from August 1 through October 31. On average it will result in over $100 of savings per Tennessee family. is intended to provide direct relief to Tennesseans to help offset the costs of rising inflation and allow citizens to keep more of their hard-earned money.
The measure provides more than $150 million in annual small business tax relief, including raising the exemption threshold for the business tax, exempting the first $50,000 of net income from excise tax and protecting the first $500,000 in property investment from the franchise tax.
It allocates $64 million to simplify tax administration and conform with the federal bonus depreciation provisions of 2017 Tax Cuts & Jobs Act, allowing businesses to more quickly recover costs and further incentivize investment in Tennessee production.
It also provides a foundation for supporting Tennessee’s continued economic growth, aligning Tennessee with more than 30 states by adopting “single sales factor” apportionment for franchise and excise tax. For years, out of state businesses have been benefiting from TN’s current property and payroll factors by receiving up to a 40% discount on their F&E liability. This bill changes the way the franchise and excise taxes are calculated to favor businesses with a higher percentage of their properties and jobs located in Tennessee than in other states. This new SSF tax change incentivizes businesses to hire Tennesseans and headquarter in Tennessee.
CRIMINAL
Sponsors: Powers (HB 1242) / Reeves (SB 1398)
Summary
Legislation establishes penalties for offenses related to xylazine possession, with it being classified as a Class A misdemeanor. Knowingly manufacturing, delivering, or selling xylazine or possessing it with intent to do so is deemed a Class C felony. However, veterinarians are exempt from these provisions, allowing them to possess and use xylazine for legitimate veterinary practices.
Streamlining Treatment for Alcohol Abuse for DUI Offenders
Sponsors: Haile (SB 0328) / Lamberth (HB 0144)
Summary
The amended bill reduces the required period of incarceration for a second DUI conviction from 25 days to 17 days and mandates the use of a transdermal alcohol monitoring device for a minimum of 90 days upon release on probation for a third or subsequent DUI conviction involving alcohol. The bill also clarifies that individuals charged with vehicular assault, vehicular homicide, or aggravated vehicular homicide with a prior alcohol-related conviction must use a transdermal monitoring device as a condition of their bail agreement, and it requires the use of such a device for individuals charged with a third or subsequent DUI offense involving alcohol, unless their case is resolved before the completion of the 90-day monitoring period. Additionally, the bill includes amendments to address typographical errors and specifies that individuals convicted of a third or subsequent DUI are responsible for all costs associated with monitoring devices and are ineligible for assistance from the electronic monitoring indigency fund, regardless of their financial status.
One Pill Will Kill Act
Sponsor: Doggett (HB 0702) / Lundberg (SB 0193)
Summary
This law strengthens the punishment for those who sell dangerous and illegal drugs such as fentanyl in Tennessee. It increases the punishment for the sale, manufacture and delivery of fentanyl and its derivatives from a Class C felony to a Class B felony for amounts between 0.5 grams and 15 grams. According to theTennessee Department of Health, there were 2,734 fentanyl overdose deaths statewide in 2021 – a 446% increase since 2017. Tougher penalties for dealing fentanyl is one of the most effective ways to prevent fentanyl poisoning.
Increasing Penalties for Aggravated Kidnapping and Rape
Sponsors: Taylor (SB 0018) / Gillespie (HB 0005)
Summary
This law enhances the punishment for aggravated kidnapping, aggravated rape and rape convictions. It requires the sentences for those crimes to be no less than those imposed for a Range II offender. For aggravated kidnapping and aggravated rape, which are both Class A felonies, the punishment would be between 25 and 40 years in prison. For rape, which is a Class B felony, the punishment would be 12 to 20 years in prison. The bill includes an amendment that eliminates the sections that broaden the obligation to register as a sex offender to all individuals convicted of a kidnapping crime, regardless of whether it involved a minor victim.
Stiffening Penalties for Rape and Incest of a Minor
Sponsors: White (SB 1219) / Littleton (HB 1400)
Summary
This law ensures criminals convicted of rape of a minor will be punished no less than a Range II, or repeat, offender for the Class B felony. Additionally, the legislation raises the penalty for incest with a minor from a Class C to a Class B felony and also requires the criminal to be punished no less than a Range II offender. A Range II offense for a Class B felony is punishable by 12 to 20 years in prison. Comparatively, a Range I offense for a Class B felony is punishable by eight to 12 years in prison.
Restitution for Injury or Damage by Dog
Sponsors: Bailey (SB 1320) / Sherrell (HB 1126)
Summary
A new law requires dog owners to pay restitution if their dog damages another person’s property or attacks a person. The law changes the requirement that only judges could fine a dog owner. With the change, all dog owners are required by law, without a court order by a judge, to pay restitution for all damages their dog causes.
Dillard’s Law
Sponsors: Lowe (SB 0442) / Cochran (HB 0535)
Summary
In the event a parent of a minor child is killed by an intoxicated driver, current law requires the convicted offender to pay restitution in the form of child maintenance of the victim’s children until each child reaches 18 years of age and has graduated from high school or the class of which the child is a member has graduated. The General Assembly improved upon that law this year by passing legislation to allow a family member of the victim’s children to convert the criminal restitution, which would be paid at the end of a defendant’s sentence, to a civil judgment so the children will be compensated sooner rather than later.
Protecting Citizens from Stalking
Sponsors: White (SB 1223) / Grills (HB 1008)
Summary
This law strengthens Tennessee’s anti-stalking laws by expanding the meaning of stalking to include use of an electronic tracking or Global Positioning System (GPS) device to secretly monitor the location of an individual and/or their property without their consent. State law currently requires at least two separate noncontinuous acts to occur before someone could be charged with the offense. Law enforcement agencies across the nation have warned citizens about the growing problem of stalking with electronic tracking devices being secretly used by criminals to follow vehicles they intend to steal or worse.
Protecting Senior Citizens from Stalkers
Sponsors: Jackson (SB 1129) / Keisling (HB 1280)
Summary
This new law expands aggravated stalking offenses to include anyone who stalks a person 65 years of age or older and is at least 15 years younger than the victim. The change increases the punishment from a Class A misdemeanor to a Class E felony, punishable by up to six years in prison and a $3,000 fine.
REGULATIONS
Sponsors: Briggs (SB 0378) / Lamberth (HB 0403)
Summary
The General Assembly approved new multi-agency regulations to ensure consistency and safety in manufacturing of Delta-8 products as well as place age-restrictions on purchasing the products. Delta-8 is a hemp-derived product that can cause impairment and has similar effects to marijuana. Because Delta-8 is a hemp-related product, there is no regulation on the product and a consumer cannot be sure the potency of what they are buying is. This new law requires the Department of Agriculture and Department of Revenue to control the manufacturing and packaging of Delta-8 products. The Department of Agriculture will require the product to be tested at a certified lab to ensure the exact contents of the product. And the Department of Revenue will ensure the packaging correctly advertises how many milligrams of hemp are in the product.
Do-Not-Text Law
Sponsors: Reeves (SB 0868) / Lamberth (HB 0805)
Summary
The General Assembly passed legislation to allow Tennessee consumers to block unwanted text messages. The law merges text message solicitations to the state’s Do Not Call Registry, and extends the same prohibitions, requirements, and penalties that apply to telephone solicitations to unwanted text messages. It also prescribes a maximum penalty of $2,000 dollars for each violation of a text solicitation to a person on the registry. The Tennessee Public Utility Commission (TPUC) would continue to oversee the registry, which includes landlines and cell phone numbers of Tennessee telephone subscribers who have elected not to receive solicitations. The new amendment also revised the definition of a "text message solicitation" to mean a communication over a telephone originating within this state or elsewhere, not only those originating within this state. Businesses may not be included on the list. There are some exemptions to the law which include invitations to be called by the person being called and solicitations on behalf of a not-for-profit organization.
FISCAL
Protecting Teachers’ Paychecks from Automatic Union Collections
Sponsors: Johnson (SB 0281) / Lamberth (HB 0329)
Summary
To continue the General Assembly’s efforts to support teachers, lawmakers approved legislation this year that ensures union membership dues will not be collected by local school districts. The law also provides teachers with pay increases each year starting with a base salary at $42,000 for the 2023-2024 school year until salaries reach $50,000 in the 2026-2027 school year. The law gives teachers control of their paycheck and stops taxpayer resources in K-12 education from being used to support giving free benefits to any organization, political or otherwise. The law does nothing to restrict a teacher’s choice to join and fund any activity, rather it simply ends the practice of using taxpayer resources to fund the collection of dues for the union’s benefit.
Employee Free Choice and Privacy Act
Sponsors: Johnson (SB 0650) / Sexton (HB 1342)
Summary
The General Assembly continued its efforts to ensure Tennessee protects the rights of workers. A new law passed this year to prevent coercion in union-organizing elections and secures workers’ rights to secret ballot union elections. The bill also imposes restrictions on employers seeking economic development incentives. It prohibits employers from granting recognition rights solely based on union authorization cards, disclosing employee contact information without consent, and requiring subcontractors to engage in prohibited activities. The amendment establishes remedies for violations and requires a separate agreement between the Department of economic and community development and the incentive recipient to recover disbursed funds in case of non-compliance. It applies to contracts executed or modified after the bill's effective date.
Reducing Fees for Charitable Organizations
Sponsors: Gardenhire (SB 0170) / Holsclaw (HB 0145)
Summary
A new law extends fee reductions for charitable organizations through fiscal year 2024. The law lowers the registration fee for charitable organizations to $10 which will save charitable organizations in Tennessee over $2 million per year. It also sets a $300 maximum for late registration fees in a calendar year. Furthermore, if a charitable organization raises $25,000 for disaster relief and does not use all of the funds, the organization must report their plans to use the funds to the Secretary of State’s office.
Garrison-Jordan Survivor Benefits Act
Sponsors: Walley (SB 0097) / Gant (HB 0396)
Summary
This bill aims to increase the death benefits in workers' compensation claims. It raises the death benefit from 66 2/3 percent to 75 percent of the deceased employee's Average Weekly Wage (AWW), up to 100 percent of the state's AWW. Specific changes include eliminating the termination of benefits upon remarriage of a surviving spouse without dependent children, increasing benefits for surviving spouses and dependent orphans, and extending benefits to dependent children attending recognized educational institutions up to age 22. The bill also allows periodic requests for information to determine continued eligibility for dependent benefits and establishes penalties for providing false or misleading information.
SECOND AMENDMENT
Ensuring Off-Duty Law Enforcement Can Carry Handguns on Higher Ed Campuses
Sponsors: Lundberg (SB 0515) / Hulsey (HB 0723)
Summary
A new law allows retired law enforcement officers employed on a part-time basis by a higher education institution to carry a handgun on the property. The person must have retired in good standing and have served for at least twenty years to be legally allowed to carry on higher education property. This law is an effort to help deter and protect against violent crime on campuses by increasing the number of trained law-abiding citizens who can carry handguns on the property.
PUBLIC SAFETY
Tennessee Businesses Against Trafficking Program
Sponsors: White (SB 1212) / Moody (HB 0115)
Summary
A new law establishes the Tennessee Businesses Against Trafficking program to engage corporations and other private entities in voluntary efforts to identify, prevent, and combat human trafficking. The law requires the Secretary of State to establish a program that includes participating in training, public awareness campaigns, and other measures. The Secretary of State will work collaboratively with other state agencies and advisory councils to promote the program.
EDUCATION
Deaf Mentor and Parent Advisor Program
Sponsors: Massey (SB 0004) / White (HB 0435)
Summary
This bill establishes a program called the Deaf Mentor and Parent Advisor Program, which will be run by the Tennessee School for the Deaf and the West Tennessee School for the Deaf. The program aims to assist families with young children who are deaf, hard of hearing, or deaf-blind in implementing bilingual and bicultural home-based programming. It will be available at specific campuses of the Tennessee School for the Deaf, focusing on preventing language gaps, supporting social and emotional development, ensuring equal access to learning opportunities, and utilizing deaf mentors and parent advisors who will regularly visit the homes of these children, interact with them and their families using American Sign Language and spoken English, demonstrate language techniques, and provide support and understanding regarding deafness and deaf culture.
Expanding Eligibility for the Tennessee HOPE Scholarship
Sponsors: Watson (SB 0074) / Lamberth (HB 0027)
Summary
This law seeks to recruit, retain and reward eligible Tennessee HOPE scholarship students by allowing them to receive the HOPE scholarship until they have earned an advanced degree or for up to five years after initial enrollment - whichever is first. It allows courses leading to an advanced degree to be eligible for the program, sets the criteria for full-time and part-time student status for both undergraduate and graduate students, revises the requirements for nontraditional students to qualify for HOPE scholarships, and clarifies the rules for repayment of HOPE grants if a student withdraws from courses. The HOPE scholarship is funded by the state lottery and is awarded to freshmen who are enrolled at an eligible postsecondary institution within 16 months after graduating from a Tennessee-eligible high school.
TRANSPORTATION AND INFRASTRUCTURE
Lawmakers this session made key investments in transportation and infrastructure by providing $3.3 billion to support economic growth and development by alleviating urban traffic congestion and improving rural roads.
Jabari Bailey Highway Safety Act
Sponsors: Taylor (SB 0201) / Gillespie (HB 0092)
Summary
This new law requires citizens to move over for any stopped vehicle whose hazard lights are on, building on existing law that requires citizens to move over for a stopped emergency vehicle. The bill is named after Jabari Bailey of Memphis who lost his leg in a life-altering accident after stopping to help a car on the side of the road.
IN THE NEWS
These new laws are going into effect in Tennessee on July 1
Tennessee is about to get a new set of laws going into effect on July 1. These laws were passed by the General Assembly during the latest legislative session.
WSMV - June 27, 2023
Here are 18 new laws that take effect July 1 in Tennessee
More than 170 laws passed this year by the Tennessee General Assembly are set to become effective Saturday. Here's what to know about a few of them.
The Tennessean - June 30, 2023
$412M tax cut headlines Tennessee bills that become law July 1
Many of the laws passed during the recent Tennessee Legislative session will go into place July 1, the beginning of the new fiscal year, including a $412 million tax cut.
The Center Square - June 29, 2023
Amendment strengthens requirements for ‘Move Over Law’ in TN
The Jabari Bailey Highway Safety Act will add more requirements to Tennessee‘s “Move Over Law” starting on Saturday.
WATE - June 28, 2023
New state laws enter into force July 1
A raft of new laws — concerning issues such as guns, drugs, gender and traffic safety — enters into force in Tennessee Saturday, July 1.
WREG - June 26, 2023
New Tennessee drunk driving laws going into effect in July
“The Silas Gable Flatt Law” and “Dillard’s Law” are two laws named after victims whose lives were taken by drunk drivers. These two laws will go into effect in Tennessee on July 1.
WJHL - June 28, 2023
‘Do not text’: New TN law that takes effect July 1 aims to end unwanted texts
In the modern age, text messages have become a new way for telemarketers to try to get around laws banning them from reaching out to people with unsolicited sales pitches.
WKRN - June 28, 2023