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Conference committee adopts report to create state oversight board for struggling school districts
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Summary
A joint conference committee adopted a revised conference report authorizing nine-member oversight boards for LEAs that meet multiple academic and audit-based criteria; the panel approved amendments clarifying contracting authority, meeting procedures and appointment language before voting to adopt the report.
A joint conference committee on SB 662 and HB 714 voted to adopt a conference report that would create a state-appointed educational oversight board for a local education agency (LEA) that meets a specified set of performance and audit criteria.
The committee motion, offered by Representative Mark White and seconded, carried in both chambers after amendments clarifying the board’s authorities were added. Committee members debated thresholds and local control before the final roll-call votes. The house roll call recorded four ayes and one nay; the senate recorded five ayes and one nay. The committee then adjourned.
The adopted conference report authorizes an oversight board when an LEA meets four of six criteria, which include: a TCAP proficiency metric showing 50% or more of students not proficient in mathematics and English language arts; 25% or more of the LEA’s schools receiving D or F letter grades; 25% or more of students being chronically absent; repeated priority-school designations; audit findings from a Comptroller-initiated audit showing deficiencies in management or financial controls; or instability from having more than two interim directors of schools during the prior four years. The oversight board would have nine members: five appointed by the governor, two by the speaker of the house, and two by the speaker of the senate.
Casey Washburn of the Office of Legal Services told the panel the board could veto the LEA’s proposed contracts and budget items above $50,000, require submission of proposed budgets and amendments for approval before they reach the local legislative body, conduct comprehensive needs assessments, develop annual transformation plans, and hire up to three staff members or reassign LEA central-office staff to support the board. Washburn said the board may also form an executive committee and hold meetings electronically.
Committee members pressed for clarifying amendments on three points that were added to the conference report: explicit authorization for the oversight board to contract for needs assessments and turnaround plans; express authority to set policies and timelines for submission of contracts (parallel to the budget submission provisions); and language clarifying appointment of the oversight board chair. The committee approved those clarifying changes by voice votes in the house and senate panels.
Another amendment that the committee adopted permits one of the two appointees the house speaker makes to the oversight board to reside outside the LEA’s county (but within Tennessee), allowing the appointing authority discretion to select a needed expert. Opponents argued the oversight board should be composed solely of residents of the affected LEA.
Supporters, including Representative White, said the package is aimed at restoring both academic and fiduciary accountability in districts with sustained and systemic deficiencies. Opponents warned the measure could remove meaningful local control and urged alternative, less intrusive interventions.
The committee’s adoption means the conference report will be returned to its originating chambers under whatever procedural steps follow in the legislative process. The committee adjourned after completing its work.

