Environmental Preservation

Plain English Breakdown

The official source material does not provide specific details on how much additional funding will be accepted by the department for the fund beyond appropriations made by the general appropriations act.

Urban Green Space and Air Quality Improvement Act

This bill creates a grant program to fund green space projects in urban areas and establishes incentives for community-led air quality improvement initiatives.

What This Bill Does

• Creates an Urban Green Space Development Fund to provide grants for purchasing or protecting land with natural features, scenic beauty, or historical significance in urban areas.
• Requires private nonprofit organizations seeking grant funding to match state funds from non-state sources as determined by the Department of Environment and Conservation.
• Specifies that eligible costs include acquiring land and permanent protective interests like conservation easements.
• Establishes guidelines for awarding grants based on factors such as financial capacity, administrative capability, and public interest considerations.
• Allows the department to accept additional funds from public or private sources for the fund.
• Adds a new power to the air pollution control board's technical secretary to establish programs that encourage community-led projects to improve air quality.

Who It Names or Affects

• Local government entities and private nonprofit organizations in Tennessee
• The Department of Environment and Conservation
• Residents and communities benefiting from improved green spaces and air quality

Terms To Know

Green space

Areas of land with natural or historical features, scenic beauty, or recreational value dedicated for public use.

Matching funds

Non-state financial contributions required from grant applicants to receive state funding.

Limits and Unknowns

• The bill does not specify the initial amount of money allocated to the Urban Green Space Development Fund.
• It is unclear how much additional funding, if any, will be accepted by the department for the fund beyond appropriations made by the general appropriations act.
• Details on the specific guidelines and criteria for awarding grants are left to future rulemaking.

Official Summary Text

As of January 1, 2026, this bill
create
s
a special account in the state treasury to be known as the Urban Green Space Development fund
("fund")
. Moneys in the fund must be used exclusively by the depart
ment of environment and conservation
("department")
to provide grants to local government entities and private nonprofit organizations

solely for the fee simple purchase of, or purchase of protective interests in, green space located in urban areas.
As us
ed in this bill, "green space" means
areas of land, which by reason of having natural and historic features, scenic beauty, or location, possess natural or potential physical, aesthetic, scientific, creative, social, or other recreational values, and are d
edicated to and reserved and administered by a local government entity or private nonprofit organization for the recreational and cultural use and enjoyment of the public; and
i
ncludes community gardens
. The
department
must
establish, administer, manage,
and make expenditures and allocations from the fund.

MATCHING FUNDS

This bill requires a
private nonprofit organization seeking grant funding
to
provide matching funds from nonstate sources on a basis established by the department in rule
. As used in t
his bill,
"matching funds" means both cash and the value of any noncash contribution due to a bargain sale or the donation of land or interest therein made by the landowner as part of a proposed project.
However, s
tate funds must not be included in determ
ining the amount of the match.

ELIGIBLE COSTS

This bill provides that eligible
costs for which moneys from the fund may be allocated include
the a
cquisition of land and any improvements thereon; and

permanent protective interests.

Grants from the fund
may be awarded for prospective purchases or for acquisitions for which the applicant has closed
as long as,
for closed acquisitions, the applicant
demonstrates
that
(i) t
he closing occurred no more than
12
months prior to the date of application for the gr
ant; and

(
ii
)
a
n identifiable threat to the future availability of the resource existed at the time of the purchase.

EASEMENTS AND TRANSFERS

This bill requires a
private nonprofit organization making an acquisition of land or interest therein
to
grant t
o the local government where such land is located a perpetual easement placing restrictions on the use or development of the land for a purpose other than green space.
However, this bill
does not prevent the subsequent transfer of property acquired pursua
nt to this
bill
to the state.

AWARDS OF GRANTS

This bill requires the
department
to
establish guidelines for applications, prioritization, and award of grants from the development fund in consultation with appropriate stakeholders. Consideration
must
b
e given
to
the financial and administrative capacity of the applicant to complete the project and to maintain and manage the property consistent with the public investment and public interests, such as education, recreation, research, tourism promotion, or
orderly community development.
Additionally, a
ll grant recipients are subject to audit by the comptroller of the treasury as to the funds received pursuant to this
bill
.

GIFTS AND GRANTS TO THE FUND

In addition to appropriations made to the fund,
this bill authorizes
the department
to
accept other funds, public or private, by way of gift or grant to the fund.

COMMUNITY-LED PROJECTS TO IMPROVE AIR QUALITY

Present law establishes an air pollution control board composed of
the commissioner of envir
onment and conservation, the commissioner of economic and community development, and
12
other members who
are
appointed by the governor
.
The director of the air pollution control division or service of the department
serves as the
technical secretary of t
he board.
Present law delineates the powers of the technical secretary. As of January 1, 2026, this bill adds to such powers the power to e
stablish a program to incentivize community-led projects that improve air quality.

Current Bill Text

SENATE BILL 1206
By Yarbro

HOUSE BILL 950
By Brooks

HB0950
001150
- 1 -

AN ACT to amend Tennessee Code Annotated, Title 4,
Chapter 3, Part 5; Title 5; Title 6; Title 7; Title 11;
Title 43, Chapter 24 and Title 68, Chapter 201,
relative to environmental protection.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF TENNESSEE:
SECTION 1. Tennessee Code Annotated, Title 4, Chapter 3, Part 5, is amended by
adding the following as a new section:
(a) As used in this section:
(1) "Department" means the department of environment and
conservation;
(2) "Development fund" means the urban green space development fund,
created by subsection (b);
(3) "Green space":
(A) Means areas of land, which by reason of having natural and
historic features, scenic beauty, or location, possess natural or potential
physical, aesthetic, scientific, creative, social, or other recreational values,
and are dedicated to and reserved and administered by a local
government entity or private nonprofit organization for the recreational
and cultural use and enjoyment of the public; and
(B) Includes community gardens, as defined in § 43-24-102; and
(4) "Urban area" means a geographic area that is defined as an urban
area by the United States census bureau.

- 2 - 001150

(b) There is created a special account in the state treasury to be known as the
Urban Green Space Development fund.
(c)
(1) Moneys in the development fund must be used exclusively by the
department to provide grants to local government entities and private nonprofit
organizations. All such grants must be made solely for the fee simple purchase
of, or purchase of protective interests in, green space located in urban areas.
(2) The department shall establish, administer, manage, and make
expenditures and allocations from the development fund.
(3)
(A) A private nonprofit organization seeking grant funding from
the development fund must provide matching funds from any nonstate
sources on a basis established by the department in a rule promulgated
pursuant to the Uniform Administrative Procedures Act, compiled in title 4,
chapter 5.
(B) For the purposes of this subdivision (c)(3), "matching funds"
means both cash and the value of any noncash contribution due to a
bargain sale or the donation of land or interest therein made by the
landowner as part of a proposed project.
(C) State funds must not be included in determining the amount
of the match.
(4) Eligible costs for which moneys from the development fund may be
allocated include:
(A) Acquisition of land and any improvements thereon; and

- 3 - 001150

(B) Acquisition of permanent protective interests, including, but
not limited to, conservation easements and costs associated with such
acquisitions, including, but not limited to, the cost of appraisals,
environmental reports, surveys, title searches and title insurance, and
other closing costs.
(5) Grants from the development fund may be awarded for prospective
purchases or for acquisitions for which the applicant has closed; provided, that
for closed acquisitions, the applicant shall demonstrate that:
(A) The closing occurred no more than twelve (12) months prior
to the date of application for the grant; and
(B) An identifiable threat to the future availability of the resource
existed at the time of the purchase.
(6) Any private nonprofit organization making an acquisition of land or
interest therein pursuant to this section shall grant to the local government where
such land is located a perpetual easement placing restrictions on the use or
development of the land for a purpose other than green space.
(7) This section does not prevent the subsequent transfer of property
acquired pursuant to this section to the state.
(8) The department shall establish guidelines for applications,
prioritization, and award of grants from the development fund in consultation with
appropriate stakeholders. Consideration shall be given, but not limited to, the
financial and administrative capacity of the applicant to complete the project and
to maintain and manage the property consistent with the public investment and
public interests, such as education, recreation, research, tourism promotion, or
orderly community development.

- 4 - 001150

(9) All grant recipients are subject to audit by the comptroller of the
treasury as to the funds received pursuant to this section.
(d)
(1) In addition to appropriations made to the development fund, the
department may accept other funds, public or private, by way of gift or grant to
the development fund. Any such gift or grant shall be deposited into the
development fund to be distributed in accordance with this section.
(2) Moneys in the development fund may be invested by the state
treasurer in accordance with § 9-4-602.
(3) Interest accruing on investments and deposits of the development
fund shall be credited to the development fund, shall not revert to the general
fund, and shall be carried forward into the subsequent fiscal year.
(4) Any balance remaining unexpended at the end of a fiscal year in the
development fund shall not revert to the general fund but shall be carried forward
into the subsequent fiscal year.
SECTION 2. Tennessee Code Annotated, Section 68-201-107, is amended by adding
the following as a new subdivision:
( ) Establish a program to incentivize community-led projects that improve air
quality.
SECTION 3. This act is not an appropriation of funds, and funds must not be obligated
or expended pursuant to this act unless the funds are specifically appropriated by the general
appropriations act.
SECTION 4. For the purpose of promulgating rules, this act takes effect upon becoming
a law, the public welfare requiring it. For all other purposes, this act takes effect January 1,
2026, the public welfare requiring it.