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Bill would allow utility districts to use federal lead-replacement funds and replace lines to buildings with homeowner consent

House Agriculture and Natural Resources Committee · March 24, 2026
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Summary

HB 12-59 would let utility districts replace water lines up to buildings (with homeowner consent) so districts can qualify for federal lead-replacement grants; sponsor said utility districts can qualify for up to $202,000,000 in funds through 2027. Committee advanced the bill (15-0).

Representative Caplan told the committee that federal funding to replace lead service lines requires utility districts to replace lines all the way to buildings, while many Tennessee districts currently service only to the meter box. "This federal grant requires the districts to replace the water line all the way up to the building," he said; the bill would permit districts to do so with homeowner consent so the state can access available federal funds.

Caplan cited that Tennessee utility districts can qualify for up to $202,000,000 of these funds through 2027; members asked how applicants would work with local utility districts and whether the change would impose costs on districts that do not receive grants. Sponsor said the change is limited to homes and will require homeowner consent; committee voted 15-0 to send the bill to Calendar and Rules.