Bill > HB1344

This bill establishes a new process for public four-year colleges and universities in Tennessee to request redirection of capital outlay funds (uncommitted money originally appropriated for specific capital projects) for alternative purposes. Institutions must submit a detailed request to the commissioner of finance and administration demonstrating that the proposed expenditure is essential to their mission and that no alternative funding sources exist. If approved, the comptroller and commissioner will enter into a memorandum of understanding with the institution that outlines specific requirements, benchmarks, and responsibilities for using the redirected funds. The process requires careful oversight, including joint quarterly reports to legislative leaders detailing each institution's request and progress. Before funds can be disbursed, the chairs of the Senate and House finance committees must acknowledge receipt of the redirection notice, and during legislative sessions, they must first hold a hearing on the proposed disbursement. The bill provides a structured approach to allowing institutions more flexibility in using capital funds while maintaining strict accountability and legislative oversight to ensure funds are used appropriately and aligned with state higher education goals.

Budget and Finance, Education

https://wapp.capitol.tn.gov/apps/Billinfo/default.aspx?BillNumber=HB1344&ga=114