Constitutional Amendment: HJR0081
- Continued from 2023 legislation session, HJR81’s companion now heads to the Senate for consideration. As proposed, this constitutional amendment would prohibit the state of Tennessee from ever collecting a statewide property tax. This tax, which has not been collected since the 1940s, is separate from local government property taxes. 2024 would complete the first of three hurdles, as it must pass the Senate with a simple majority this year before being brought back for consideration in the 114th General Assembly, where it must pass each chamber with a 2/3 vote. From there, it would head to the 2026 Gubernatorial ballot where half of those voting for Governor must support the amendment for it to be codified in the state’s Constitution.
Farmland Conservation: SB2099/HB1890
Tennessee continues to lose crucial farmland to growth and sprawl. Tennessee Farm Bureau has worked with both the University of Tennessee Institute of Agriculture and the Tennessee Department of Agriculture to find potential solutions to slow the loss of farmland, as well as provide resources for smart growth and expansion. As introduced, this bill allows the Department of Agriculture to promulgate rules to develop a farmland preservation fund as well as subsequent programming. This legislation is a part of Governor Lee’s administrative package.
Governor Lee Introduces Legislation to Mitigate Farmland Loss in Tennessee
Since 2017, Tennessee has lost almost 500,000 acres of farmland across the state, and continues to move in the wrong direction when it comes to the ranking of farmland loss nationwide – coming in 3rd in recent years according to the American Farmland Trust. With the amount of growth our state is experiencing, Governor Lee unveiled a tool to add to the tool belt for Tennesseans. The proposed legislation would allow for the Tennessee Department of Agriculture to establish an agricultural easement program where landowners can enroll their farm into a program to secure it for years to come. Although the details of the specific program are not yet determined, here’s what we know:
Establishes a program which allows the Tennessee Department of Agriculture to acquire and administer the above-mentioned easements. Also allows TDA the administration of grants for the purpose of preserving farm or forestland.
Creates the Farmland Preservation Fund – which is subject to annual appropriation (meaning the legislature can determine the amount at which they fund it each year). Also states any unused funds from year-to-year stay within the fund for future use and investment. It is unknown at this time how much funding this program will receive in its first year. However, we anticipate more information in Governor Lee’s State of the State address. See below for more information on how to watch.
The minimum time which a property can be entered into an easement is set at 15 years or longer. This could allow for flexibility to customize the time frame for the needs of a farm family.
Allows for the Department of Agriculture to promulgate rules for this program. This allows TDA the flexibility to make changes as the program grows and expands in order to best meet the needs of Tennessee’s agricultural industry.
If passed, the legislation takes effect July 1, 2024.
Solar TACIR Student Implementation: TBD
As suggested in the completed TACIR study, the proposal equips and directs the Tennessee Department of Environment and Conservation’s Office of Energy Programs (TDEC OEP) to maintain resources for landowners, local governments, and solar development companies. Suggested language also includes solar development in the new brownfield development law, requires grid disconnection when the project reaches its end of life, lowers the megawatt threshold for a required decommissioning plan, as well as suggests the decommissioning plan be submitted to TDEC’s OEP with notification sent to relative local governments about the plans’ filing.
Greenbelt Acreage Increase: SB1659/HB2054
Increases the maximum land eligible for Greenbelt by individual property owners to 5,000 acres. Currently the acreage ceiling sits at 1,500 acres.
Tennessee Agricultural Enhancement Program
- More than $246 million has been invested in 80,860 producer projects from 2005 to 2022. Each TAEP dollar awarded to an eligible farmer generates $6.55 in local economies.
- New application materials are available mid-August. The annual application period is October 1st-7th. The application is taking steps to move toward a fully online application process but will still accept paper applications this year.
- Approval notifications are scheduled to be mailed mid-December. Program purchases can be made starting October 1st and must be completed by the program’s final reimbursement request deadline.
Agricultural Enterprise Fund
- The Agricultural Enterprise Fund (AEF) is an incentive program which awards grants to those starting or growing their agricultural, food, and forestry enterprises. Businesses, nonprofits, local governments, or other entities in the Tennessee are considered. For every dollar the state awards to an eligible business, $17.55 is generated in the local economy.
- Applicants must demonstrate a strong potential for an impact on local farm income, access to markets, increased capacity, or agricultural innovation within the state of Tennessee. Priority is given to those located in at-risk counties, distressed counties, and counties near those at-risk or distressed.
- The application is due in the month of July every year.