Bill > HB0136

This bill amends Tennessee's debt reporting requirements by expanding disclosure obligations for state and local government entities. The bill introduces new definitions for "covenant violation" (noncompliance with lending document terms) and "credit rating downgrade" (reduction of credit rating by a nationally recognized rating organization). Under the new provisions, public entities must submit detailed financial transaction information to their governing body and the state comptroller within 45 days of issuing, reissuing, or assuming a financial transaction. Additionally, the bill requires public entities to timely comply with continuing disclosure obligations, disclose financial obligations and defaults on the Electronic Municipal Market Access (EMMA) website, and report any event of default, covenant violation, or credit rating downgrade to the comptroller within 10 business days. These changes aim to increase transparency and provide more timely financial reporting by Tennessee government entities, ensuring that key stakeholders are promptly informed about significant financial developments and potential risks.

Government Affairs

https://wapp.capitol.tn.gov/apps/Billinfo/default.aspx?BillNumber=HB0136&ga=114