Committee advances amended bill to fund live-music venues with small resale assessment

The Finance, Ways and Means subcommittee moved House Bill 21 35, as amended, to the full Finance Committee after a 9–3 vote. Sponsor Chairman Terry said the bill creates a dedicated revenue source for a fund to support small and independent live-music venues by assessing a portion of the resale price on secondary-ticket sales and banning speculative ticketing.

"The assessment... that's on this would be 5%... so think of a ticket being sold on the secondary market for $300... that would be $15 would come out of the 300," Chairman Terry said, illustrating how the measure would capture a small portion of resale revenue without creating a new sales tax. He also told the committee the amendment prohibits speculative ticketing — the practice of selling tickets that the seller does not yet possess — to help curb artificial demand and high end-price spikes.

Proponents told the committee the fund would operate similar to existing assessments that support hospitals and nursing homes, using a narrowly targeted revenue stream to help preserve venues that form part of Tennessee's music ecosystem. Leader Cochran asked technical questions about when the fee would be assessed and how market dynamics might respond; Terry said studies suggest eliminating speculative ticketing could reduce some secondary-market prices by 10–30%, partially offsetting the assessment.

The committee adopted an amendment before voting to advance the bill to full finance. The next step is consideration by the full Finance, Ways and Means Committee, where members may further amend, approve, or postpone the legislation.