Bill > SB0988

This bill requires local government departments, agencies, or officials in Tennessee (including counties, municipalities, and metropolitan governments) to document and justify any fee related to development that exceeds $250. Specifically, the bill mandates that such documentation must explain the cost basis of the fee, demonstrating how the fee reasonably relates to the government's actual costs. The documentation must be produced only once for each existing, new, or modified fee and must be kept on file as a public record that can be inspected upon request. These documents will be subject to an annual audit by the comptroller of the treasury, who may incorporate this audit into other routine financial audits. The bill defines "development" as construction, building, or infrastructure improvements that enable new structures, and "cost basis" as the rationale for fee charges with a clear connection to government expenses. The bill includes an exception for utility connection costs, which will be documented according to a separate section of Tennessee code. The legislation will take effect on July 1, 2026, and applies to fees across county, municipal, and metropolitan government levels, aimed at increasing transparency and accountability in local government fee structures.

Government Affairs

https://wapp.capitol.tn.gov/apps/Billinfo/default.aspx?BillNumber=SB0988&ga=114