Tennessee legislation · 114th General Assembly
Tennessee HB2541: AN ACT to amend Tennessee Code Annotated, Title 12, Chapter 4, Part 4, relative to the prevailing wage rate.
Status: Chaptered, May 27, 2026
Fiscal Summary OTHER FISCAL IMPACT Because the state prevailing wages are higher than the federal prevailing wages, a local government with a qualifying current or future contract for a public highway construction project will experience a mandatory increase in local expenditures. However, due to multiple unknown factors, a precise fiscal impact cannot be reasonably determined. Article II, Section 24 of the Tennessee Constitution provides that: no law of general application shall impose increased expenditure requirements on cities or counties unless the General Assembly shall provide that the state share in the cost. Bill Summary Present law requires any highway contractor entering into a state contract for performance of work on state highway construction projects to pay not less than the prevailing wage rate for all types and classifications of work. As used in the prior sentence, a “state contract” means any contractual agreement, written or oral, entered into by any person, firm, or corporation with this state for performance of work on a state highway construction project. Under the provisions of this bill, a “state contract” means any contractual written agreement entered into by any person, firm, or corporation with this state for performance of work on a state highway construction project. This bill e the prevailing wage rate to be paid to workers on (i) all state highway construction projects and (ii) all non-state contract construction projects on public highways that are funded in whole or in part with federal or state highway funds. PREVAILING WAGE COMMISSION Present law creates the prevailing wage commission ("commission") and provides that the commission is composed of five members, including the commissioner of labor and workforce development, who serves as chair, the state architect, and the commissione
What the bill says
An act to amend Tennessee Code Annotated, Title 12, Chapter 4, Part 4, relative to the prevailing wage rate.
From the introduced text:
AN ACT to amend Tennessee Code Annotated, Title 12, Chapter 4, Part 4, relative to the prevailing wage rate. SECTION 1. Tennessee Code Annotated, Section 12-4-402, is amended by deleting subdivision (5) and substituting: (5) "State contract" means any contractual written agreement entered into by any person, firm, or corporation with this state for the performance of work on a state highway construction project; and SECTION 2. Tennessee Code Annotated, Section 12-4-403, is amended by deleting subsection (a) and substituting: (a) It is hereby declared to be the policy of this state that the prevailing wage rate be determined by the defined standards and that such rate be paid to workers on all state highway construction projects and all non-state contract construction projects on public highways that are funded in whole or in part with federal or state highway funds. SECTION 3. Tennessee Code Annotated, Section 12-4-404(a), is amended by adding "or the commissioner's designee" after "development". SECTION 4. This act takes effect upon becoming a law, the public welfare requiring it, and applies to contracts entered into, amended, or renewed on or after such date. HB2541
Sponsors
- Lamberth, William (R, 44) · primary sponsor
- Howell, Dan (R, 22)
- Sherrell, Paul (R, 43)
- Alexander, Rebecca K. (R, 7)
- Pearson, Justin J. (D, 86)
Latest actions
- : Effective date(s) 05/21/2026
- : Pub. Ch. 1042
- : Signed by Governor.
- : Transmitted to Governor for his action.
- : Signed by Senate Speaker
- : Signed by H. Speaker
- : Enrolled; ready for sig. of H. Speaker.
- : Passed Senate, Ayes 32, Nays 0
- : Senate substituted House Bill for companion Senate Bill.
- : Received from House, Passed on First Consideration
Votes
- FLOOR VOTE: Motion to Adopt (April 22, 2026): 32 yea, 0 nay, passed
- SENATE FINANCE, WAYS AND MEANS COMMITTEE: Recommended for passage, refer to Senate Calendar Committee (April 20, 2026): 11 yea, 0 nay, passed
- FLOOR VOTE: CONSENT CALENDAR PASSAGE ON THIRD CONSIDERATION (April 20, 2026): 96 yea, 0 nay, passed
- HOUSE FINANCE, WAYS, AND MEANS SUBCOMMITTEE: Rec. for pass by s/c ref. to Finance, Ways, and Means Committee (April 17, 2026): 13 yea, 0 nay, passed
- HOUSE FINANCE, WAYS, AND MEANS COMMITTEE: Rec. for pass; ref to Finance, Ways, and Means Committee (April 17, 2026): 26 yea, 0 nay, passed
- SENATE STATE & LOCAL GOVERNMENT COMMITTEE: Recommended for passage, refer to Senate Finance, Ways & Means Committee (March 24, 2026): 9 yea, 0 nay, passed
Subjects: Archives, Publications, My Bills
Common questions
- What is HB2541?
- HB2541 is a bill in the Tennessee Legislature (114th General Assembly): AN ACT to amend Tennessee Code Annotated, Title 12, Chapter 4, Part 4, relative to the prevailing wage rate.
- What does HB2541 do?
- In its own words: An act to amend Tennessee Code Annotated, Title 12, Chapter 4, Part 4, relative to the prevailing wage rate.
- What is the status of HB2541?
- Chaptered as of May 27, 2026. Latest action: Effective date(s) 05/21/2026 (May 27, 2026).
- Who sponsored HB2541?
- Lamberth, William (R, 44), with 4 co-sponsors.
- Where is the official record for HB2541?
- On the Tennessee Legislature website: https://wapp.capitol.tn.gov/apps/BillInfo/Default?BillNumber=HB2541&GA=114
Source: official Tennessee record. Tracked by Delilah, AI for legislation across all 50 states and Congress.