Recreational Areas

Plain English Breakdown

The bill was withdrawn, so its future implementation is uncertain.

Ocoee River Recreation and Economic Development Act

This bill changes how funds from the Ocoee River recreation and economic development fund can be used for tourism promotion, infrastructure upgrades, and other expenses, and limits the number of commercial operation permits issued.

What This Bill Does

• Allows the commissioner and board to use fund money for hiring people to coordinate community and outdoor events on the river and contributing funds to nonprofit organizations' events.
• Requires that any spending for infrastructure or other necessary costs must be approved by a majority vote of the board members.
• Changes one member of the Ocoee River recreation and economic development fund board from being the park manager to the director of state parks, effective July 1, 2026.
• Limits the number of commercial operation permits issued after July 1, 2026, reducing them to a maximum of twelve if any are revoked or not renewed.

Who It Names or Affects

• The commissioner of environment and conservation
• The Ocoee River recreation and economic development fund board members
• Businesses operating commercial activities on the river

Terms To Know

Ocoee River management zone

A specific area along the Ocoee River where certain regulations apply.

Immediate family

Includes a spouse, child, step-child, brother, sister, son-in-law, daughter-in-law, parent, or grandparent.

Limits and Unknowns

• The bill was withdrawn and its current status is unclear.
• Details about the specific events that can be funded are not provided in the summary text.

Official Summary Text

Present law authorizes the
commissioner of environment and conservation and the Ocoee River recreation and economic development fund board
("board") to use funds from the Ocoee River recreation and economic development fund ("fund") for i
nfrastructure upgrades to
the Ocoee River management zone ("zone")
;
t
ourism promotion and economic development activities that benefit the zone; and
o
ther reasonable expenses
if there are sufficient funds available after necessary expenditures.

This bill outlines ways in which the commissioner and the board may use the fund for t
ourism promotion and economic development activities that benefit the zone, including
h
iring pe
ople
to coordinate community and outdoor events on the Ocoee River; and
c
ontributing funds to events operated on the Ocoee River for the benefit of a nonprofit organization
. Further, the commissioner and board may use the fund
for professional services, if necessary, to conduct the business of the board
under other reasonable e
xpenses. However, this bill requires that a
ny expenditures made by the board
for infrastructure upgrades to the zone and other reasonable expenses to
first be approved by a simple majority vote of the board.

OCOEE RIVER RECREATION AND ECONOMIC DEVELOPMENT FUND
BOARD

Present law provides that t
he board consist
s
of nine voting members
, including the
manager of the Hiwassee/Ocoee Scenic River State Park
. This bill replaces the
manager
with t
he director of the division of state parks in the department of environment and conservation who, effective July 1, 2026,
will
complete the remaining term of the manager and serve in such position as a member of the board thereafter
.

PERMITS FOR COMMERCIAL OPERATION WITHIN THE ZONE

Present law prohibits the department of environment and conservation from issuing more than 24 permits for commercial operation. Any p
erson
who is
issued and
is
possessing a permit as of June 30, 2024, may transfer the permit with prior written approval of the commissioner
t
o a member of the person's immediate family
p
ursuant to a purchase and sale agreement
,
or
a
s authorized by department rule.
Present law defines

"i
mmediate family
"

as
a spouse, child, step-child, brother, sister, son-in-law, daughter-i
n-law, parent, or grandparent.

This bill allows a
ny person who is issued and possessing a permit as of June 30, 2024,
to
transfer the permit with prior written approval of the commissioner to a member of the person's immediate family pursuant to a purchase and sale agreement, or as authorized by department rule
. However, on or after July 1, 2026, t
he department
cannot
issue more than 24 permits
for commercial operation
, and, as permits are revoked or otherwise not renewed, the department
must
reduce the maximum number of permits issued to 12
.

If a permit that was previously issued as of June 30, 2024, is revoked or if
a permittee operating a commercial operation conducting business within the zone goes out of business, then the person whose permit is revoked or whose commercial operation goes out of business may not apply for a subsequent permit
. Further, a new
permit must not be issued, except to
p
urchasers of businesses conducting such business within the zone on or after the date of revocation or date the businesses closed, as applicable; a
nd
i
mmediate family members to whom ownership of such businesses is transferred on or after the date of revocation or date the businesses closed.

Current Bill Text

SENATE BILL 1846
By Hatcher

HOUSE BILL 1749
By Howell
HB1749
010812
- 1 -

a*4-3-10,11-8
AN ACT to amend Tennessee Code Annotated, Title 4,
Chapter 3, Part 10 and Title 11, Chapter 8, relative
to the Ocoee River.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF TENNESSEE:
SECTION 1. Tennessee Code Annotated, Section 11-8-103(e), is amended by deleting
the subsection and substituting:
(e)
(1) Subject to availability of sufficient moneys in the development fund
beyond those needed for expenditures for the purposes stated in subsection (d),
the commissioner and the board may use the development fund for expenditures
for the following purposes:
(A) Infrastructure upgrades to the Ocoee River management
zone;
(B)
(i) Tourism promotion and economic development
activities that benefit the Ocoee River management zone,
including, but not limited to:
(a) Hiring persons to coordinate community and
outdoor events on the Ocoee River; and
(b) Contributing funds to events operated on the
Ocoee River for the benefit of a nonprofit organization,
including such organizations other than those created or
established by the board under § 11-8-105(a)(3); and

- 2 - 010812

(C) Other reasonable expenses as determined by the
commissioner or the board to be necessary to carry out the intent of this
chapter, including expenses for professional services, if necessary, to
conduct the business of the board.
(2) Any expenditures made by the board under subdivisions (e)(1)(A) and
(C) must first be approved by a simple majority vote of the board.
SECTION 2. Tennessee Code Annotated, Section 11-8-104(b)(1)(A), is amended by
deleting the subdivision and substituting:
(A) The director of the division of state parks in the department of environment
and conservation who, effective July 1, 2026, shall complete the remaining term of the
manager of the Hiwassee/Ocoee Scenic River State Park and serve in such position as
a member of the board thereafter;
SECTION 3. Tennessee Code Annotated, Section 11-8-107(e), is amended by deleting
the subsection and substituting:
(e)
(1) Persons issued and possessing a permit as of June 30, 2024, may
transfer the permit with prior written approval of the commissioner:
(A) To a member of the person's immediate family;
(B) Pursuant to a purchase and sale agreement; or
(C) As authorized by department rule.
(2) On or after July 1, 2026:
(A) The department shall not issue more than twenty-four (24)
permits pursuant to this section, and, as permits are revoked or otherwise
not renewed after such date, the department shall reduce the maximum
number of permits issued to twelve (12); and

- 3 - 010812

(B)
(i) If a permit issued pursuant to subdivision (e)(1)(A) is
revoked or if a permittee operating a commercial operation
conducting business within the Ocoee River management zone
goes out of business, then the person whose permit is revoked or
whose commercial operation goes out of business may not apply
for a subsequent permit to conduct business within the
management zone; and
(ii) A permit to operate a commercial operation conducting
business within the Ocoee River management zone must not be
issued, except to:
(a) Purchasers of businesses conducting such
business within the management zone on or after the date
of revocation or date the businesses closed, as applicable;
and
(b) Immediate family members to whom ownership
of such businesses is transferred on or after the date of
revocation or date the businesses closed, as applicable.
(3) As used in this section, "immediate family" means a spouse, child,
stepchild, brother, sister, son-in-law, daughter-in-law, parent, or grandparent.
SECTION 4. This act takes effect July 1, 2026, the public welfare requiring it.