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Bill would require municipalities to adopt annual budgets or face limits; committee places measure behind budget
Summary
Chairman Moon explained House Bill 15‑16 would extend county-style budget requirements to municipalities, set an Aug. 30 budget deadline, allow limited extensions, and remove a statutory carryover provision; the committee placed the bill behind the budget pending fiscal review.
Chairman Moon presented House Bill 15‑16 to require municipalities to adopt an annual budget by Aug. 30 and described limited extensions for the comptroller. He told the subcommittee that 12 municipalities are currently operating without an annual budget and that the measure mirrors an existing county framework. Chairman Moon said the bill would trigger a 3% automatic school budget increase only after three consecutive years without agreement in municipalities that include LEAs.
The committee went out of session to hear legal counsel Joel Hayes, who explained that section 3 of the bill deletes Tennessee Code Annotated section 6‑56‑210 — the statute that authorizes municipalities to carry over the previous year's appropriations into the next fiscal year when a new budget is not adopted. Members asked for additional details and names of the 12 municipalities; Chairman Moon agreed to provide them to Chairman Hicks' office. The chair placed HB 15‑16 behind the budget for further fiscal analysis.
