Tennessee legislation · 114th General Assembly
Tennessee HB2538: AN ACT to amend Tennessee Code Annotated, Title 64, Chapter 9, relative to the Megasite Authority of West Tennessee.
Status: Chaptered, May 5, 2026
Fiscal Summary NOT SIGNIFICANT Bill Summary ON MARCH 23, 2026, THE SENATE ADOPTED AMENDMENT #1 AND PASSED SENATE BILL 2226, AS AMENDED. AMENDMENT #1 rewrites the bill to, instead, authorize the Megasite Authority of West Tennessee ("authority") to issue bonds for the sole purpose of financing, in whole or in part, the cost of acquisition, purchase, construction, reconstruction, improvement, betterment, or extension of the water system or wastewater system operated by the authority. Further, the board of directors of the authority, in determining the cost, may include all costs and estimated costs of the issuance of the bonds, all engineering inspection, fiscal and legal expenses, if related to the issuance of bonds, and interest that is estimated to accrue during the construction period and six months thereafter on money borrowed or that is estimated to be borrowed. However, the state is not liable on bonds of the authority, the bonds are not a debt of this state, and the bonds must contain on the face of the bonds a statement to that effect. The issuance of bonds by the authority is subject to the approval of the state funding board.
What the bill says
From the amended text:
House State & Local Government 1 Amendment No. 1 to HB2538 Crawford Signature of Sponsor AMEND S e n ate Bill No. 2226* House Bill No. 2538 by deleting all language after the enacting clause and substituting: SECTION 1. Tennessee Code Annotated, Section 64-9-104(a), is amended by adding the following as a new subdivision: ( ) Issue bonds in the manner provided by title 7, chapter 53 for the sole purpose of financing, in whole or in part, the cost of the acquisition, purchase, construction, reconstruction, improvement, betterment, or extension of the water system or wastewater system operated by the authority. The board, in determining the cost, may include all costs and estimated costs of the issuance of the bonds, all engineering, inspection, fiscal and legal expenses, if related to the issuance of the bonds, and interest that is estimated to accrue during the construction period and six (6) months thereafter on money borrowed or that is estimated to be borrowed pursuant to this chapter. The state is not liable on bonds of the authority, the bonds are not a debt of this state, and the bonds must contain on the face of the bonds a statement to that effect. In addition to approval by the board, the issuance of bonds for purposes under this subdivision (a)( ) is subject …