HB2583 • 2026

Local Government, General

AN ACT to amend Tennessee Code Annotated, Title 68 and Title 70, relative to the "Tennessee Outdoor Stewardship Trust Fund."

Budget Taxes

Active

The official status still shows this bill as active or still awaiting another formal step.

Sponsor: Chism, Rose
Last action: 2026-02-05
Official status: Assigned to s/c Agriculture & Natural Resources Subcommittee
Effective date: Not listed

Plain English Breakdown

The exact details on how applications are reviewed and prioritized by the board were not fully detailed in the provided sources.

Tennessee Outdoor Stewardship Trust Fund Act

This act establishes a special fund to provide grants and loans for outdoor recreation and conservation projects in Tennessee.

What This Bill Does

Establishes the Tennessee Outdoor Stewardship Trust Fund, which will receive money from various sources including appropriations by the general assembly.
Creates a board of trustees responsible for managing the fund and deciding how to use its money.
Allows the fund to give grants for improving parks, trails, wildlife areas, agricultural lands, water resources, wetlands, native forests, grasslands, and other unique habitats.
Permits loans to local governments and nonprofits to help pay for these projects.
Requires that any unused funds over $20 million at the end of a fiscal year go back to the state's general fund.

Who It Names or Affects

Counties, municipalities, state agencies, and nongovernmental entities can apply for grants or loans from the fund.

Terms To Know

Trust Fund: A special account where money is kept to be used for a specific purpose.
Board of Trustees: The group responsible for managing the fund and making decisions about how it is used.

Limits and Unknowns

Projects must be completed within two years or else unused funds need to be accounted for.
The exact amount of funding available each year depends on what the state decides to allocate.

Bill History

2026-03-11 Tennessee General Assembly
Assigned to General Subcommittee of Senate Government Operations Committee
2026-03-04 Tennessee General Assembly
Placed on Senate Government Operations Committee calendar for 3/11/2026
2026-02-25 Tennessee General Assembly
Action deferred in Senate Government Operations Committee to 3/11/2026
2026-02-18 Tennessee General Assembly
Placed on Senate Government Operations Committee calendar for 2/25/2026
2026-02-05 Tennessee General Assembly
Assigned to s/c Agriculture & Natural Resources Subcommittee
2026-02-05 Tennessee General Assembly
P2C, ref. to Agriculture & Natural Resources Committee - Government Operations for Review
2026-02-05 Tennessee General Assembly
Passed on Second Consideration, refer to Senate Government Operations Committee
2026-02-04 Tennessee General Assembly
Intro., P1C.
2026-02-03 Tennessee General Assembly
Filed for introduction
2026-02-02 Tennessee General Assembly
Introduced, Passed on First Consideration
2026-02-02 Tennessee General Assembly
Filed for introduction

Official Summary Text

This bill
establishes
the Tennessee Outdoor Stewardship Trust Fund
("the fund")
, which is a special fund designated by the state treasury for grants and loans to counties, municipalities, state agencies, and nongovernmental entities for improvement and restoration projects
. This bill
creates
a
board of trustees for the fund.

APPROPRIATIONS

This bill provides that t
he fund consists of funds appropriated or otherwise made available by the general assembly in any manner and funds from any other source designated for deposit into
the
fund.

This bill requires funds to be accounted for as unobligated funds or obligated funds. Unexpended amounts remaining in the fund at the end of a fiscal year do not lapse into the state general fund, and any investment earnings or interest earned on amount
s in the fund must be deposited to the credit of the fund
.

H
owever, any unobligated monies in excess of
$
20 million remaining in the fund at the end of a fiscal year that have not been appropriated must revert to the general fund.

HOW FUNDS MAY BE USED

This bill
authorizes
monies in the fund to be used by the department of finance and administration, upon appropriation by the general assembly, based upon the recommendation of the board of trustees of the
f
und for the purposes of providing assistance to counties, municipalities, state agencies, and nongovernmental entities.
However, t
he board must not use more than 1% of monies in the fund to defray the expenses of the board in carrying out its duties
, and

t
he department of finance and administration mus
t not use more than 3% of monies in the fund to defray the expenses of the board in carrying out its duties.

This bill authorizes m
onies in the fund
to
be used and expended by the board to provide funds for grants to counties, municipalities, state agencies, and nongovernmental entities for the following projects
:



Improvement of state park outdoor recreation features and trails.


Restoration or enhancement on privately

owned working agricultural lands and forests that support conservation of soil, water, habitat of fish, and wildlife resources.


Acquisition
and improv
ement

of
parks and trails under the control and within the jurisdiction of such counties and municipalities.


Restoration or enhancement projects to create or improve access to public waters and lands for public outdoor recreation, conservation education, use or safe enjoyment of permanently protected conservation land.


Restoration or enhancement of wetlands, native forests, native grasslands, and other unique habitats important for this state's fish and wildlife.


Acquisition of
critical areas for the provision or protection of clean water, wildlife, hunting or fishing, for military installation buffering, or for natural resource-based outdoor recreation.

However, this bill provides that r
eal property m
ust
only be acquired under the following circumstances:



Where the property is, at the time of acquisition, being leased by the state as a wildlife management area.


Where the property adjoins or is in close proximity to state or federal wildlife management areas, state parks, or would provide better public access to such areas.


Lands identified in any wildlife action plan developed by a state agency.


Riparian lands so as to protect any drinking water supply
.


Lands surrounding any military base or military installation.


Acquisition of land
by means other than
the exercise of any power of eminent domain or condemnation proceeding.

This bill also authorizes m
onies in the fund
to
be used and expended by the board to provide funds for loans to municipalities, counties, nongovernmental entities, and state agencies to defray the costs of the projects described above.

Unless otherwise authorized by the board,
this bill requires
a county, municipality, state agency, or nongovernmental entity that receives funds for a project
to
expend the funds for the project within two years after receipt of the funds in order to be eligible to apply for additional funds for the project. If a county, municipality, state agency, or nongovernmental entity does not expend
such
funds within
such
two
-
year
period
, then the county, municipality, state agency, or nongovernmental entity must p
rovide an accounting of such unused funds and the reason for
the
failure to expend the funds.

This bill clarifies that m
onies in the fund must not be used, expended, or transferred for any other purpose other than
as
authorized under this bill.

APPLICATIONS

This bill requires a
county, municipality, state agency, or nongovernmental entity seeking assistance
to
submit a complete application to the board. The application must include a description of the purpose for which assistance is requested, the type and amount of assistance requested, and any other information required by the board.

This bill requires t
he board
to
review an application for assistance and determine whether the applicant is eligible for assistance and whether the applicant should receive assistance. In reviewing applications, the board must give increased priority to projects
that meet the following criteria:



That leverage or match other nonfederal or federal funds that are available for similar purposes.


That support and promote hunting, fishing, and provision for recreation in the form of archery, boating, hiking, camping, fishing, hunting, running, jogging, biking, walking, shooting facilities, or similar outdoor activities.


That contribute to improving the quality and quantity of surface water and ground water.


That contribute to the conservation of soil, water, and fish and wildlife resources on privately owned working agricultural lands or forests.


That contribute to achieving the goals and objectives of local, state, regional, and national conservation or outdoor recreational plans.

If the board determines that an applicant should receive assistance, then
this bill requires
the board
to
prepare a recommendation for assistance, which would state the purpose for which the assistance is to be provided, the type of assistance to be provided, the amount of assistance to be provided, and any other information determined necessary by the board
. The board must provide its recommendation for assistance to the department of finance and administration, and the department must use funds from the
fund
to provide the assistance.

BOARD OF TRUSTEES

This bill establishes the board of trustees of the
fund, which
must consist of the following 12 members:



The state forester, who is an ex officio nonvoting member.


The executive director of the Tennessee soil and water conservation commission, who is an ex officio nonvoting member.


The director of the division of parks and recreation, who is an ex officio nonvoting member.


The commissioner of agriculture, who is an ex officio nonvoting member


Three members appointed by the governor.


Two members appointed by the speaker of the senate.


Two members appointed by the speaker of the house of representatives.

This bill prohibits the board from approving any funding to a county, municipality, state agency, or nongovernmental entity in which a voting member of the board is an executive, other employee, or is a voting member of a governing board with such county
, municipality, state agency, or nongovernmental entity.

This bill requires t
he members of the board appointed
to
be appointed from the private sectors
of
forestry, conservation, agriculture, marine resources, hunting, or fishing. Such members must be residents of this state during their tenure on the board and must possess a demonstrated knowledge of and commitment to land conservation and outdoor recrea
tion.
A
fter
staggered
initial terms, all appointments to the board expire on June 30 and begin on July 1, for four
-
year terms.

BOARD
MEETINGS AND STAFF
–
MEMBER COMPENSATION AND PROHIBITIONS

This bill provides
that
a majority of the voting members of the board constitutes a quorum for the conduct of meetings, and all actions of the board require a majority vote of the voting members of the board. The board must annually elect one member to serve as chair and one m
ember to serve as vice chair.

This bill provides that t
he ex officio
members and the members appointed by the governor serve without compensation but are eligible for reimbursement of travel expenses incurred. All reimbursement for travel expenses must be in conformity with the comprehensive state travel regulations as pr
omulgated by the commissioner of finance and administration and approved by the attorney general. The members appointed by the speaker of the senate and the speaker of the house of representatives are eligible for reimbursement of travel expenses incurre
d
in conformity with present law, and may expend funds.

This bill prohibits a member of the board from using the member's official position to obtain, or attempt to obtain,
a
pecuniary benefit for the member other than that compensation provided for by law, or to obtain, or attempt to obtain,
a
pecuniary benefit for any relative or any business with which the member is associated.

This bill requires t
he department of finance and administration to provide the office space, staff, and other support necessary for the board to perform its duties.

REPORTING

Following the close of each state fiscal year,
this bill requires
the board
to
submit an annual report of its activities for the preceding state fiscal year to the governor; the speaker of the senate; the speaker of the house of representatives; the chair of the finance, ways and means committee of the senate; and the chair of the
committee of the house of representatives having jurisdiction over matters relating to the establishment of funds to finance state projects and activities.

RULEMAKING

This bill authorizes the department of revenue, in consultation with the board, to promulgate rules to establish allocations of revenue or other proceeds received under this bill and to effectuate this bill.

Current Bill Text

Read the full stored bill text

SENATE BILL 2572
By Rose

HOUSE BILL 2583
By Chism
HB2583
011095
- 1 -

AN ACT to amend Tennessee Code Annotated, Title 68
and Title 70, relative to the "Tennessee Outdoor
Stewardship Trust Fund."

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF TENNESSEE:
SECTION 1. Tennessee Code Annotated, Title 70, is amended by adding the following
as a new chapter:
70-10-101.
As used in this chapter, unless the context otherwise requires:
(1) "Board" means the board of trustees of the "Tennessee Outdoor
Stewardship Trust Fund";
(2) "Conservation land" means land and water, or interests therein, that
are in their undeveloped, natural states or that have been developed only to the
extent consistent with, or are restored to be consistent with, at least one (1) of
the following environmental values or conservation benefits:
(A) Water quality protection for wetlands, rivers, streams, or
lakes;
(B) Protection of wildlife habitat;
(C) Protection of cultural sites and archeological and historic
resources;
(D) Protection of land around this state's military installations to
ensure that missions are compatible with surrounding communities and
that encroachment on military installations does not impair future
missions;

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(E) Support of economic development through conservation
projects;
(F) Provision for recreation in the form of archery, boating, hiking,
camping, fishing, hunting, running, jogging, biking, walking, shooting
facilities, and similar outdoor activities; or
(G) Recruiting or retention of recreation in the form of archery,
boating, hiking, camping, fishing, hunting, running, jogging, biking,
walking, shooting facilities, or similar outdoor activities;
(3) "Nongovernmental entity" means a nonprofit organization primarily
concerned with the protection and conservation of land and natural resources, as
evidenced by its organizational documents;
(4) "Permanently protected conservation areas" means those resources:
(A) Owned by the federal government and dedicated for
recreation or conservation or as a natural resource;
(B) Owned by the state of Tennessee and dedicated for
recreation or conservation or as a natural resource;
(C) Owned by a state, county, or municipal unit of government or
authority and subject to:
(i) A conservation easement ensuring that the property will
be maintained in a manner consistent with conservation land;
(ii) Contractual arrangements ensuring that if the protected
status is discontinued on a parcel, such property will be replaced
by other conservation land which at the time of such replacement
is of equal or greater monetary and resource protection value; or

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(iii) A permanent restrictive covenant as provided in state
law; or
(D) Owned by any person or entity and subject to a conservation
easement ensuring that the property will be maintained in a manner
consistent with conservation land;
(5) "Project proposal" means any application seeking monies from the
Tennessee Outdoor Stewardship Trust Fund; and
(6) "State agency" means any agency, department, commission, or
institution of this state.
70-10-102.
(a)
(1) There is created in the state treasury a special fund to be designated
as the "Tennessee Outdoor Stewardship Trust Fund." The special fund consists
of funds appropriated or otherwise made available by the general assembly in
any manner and funds from any other source designated for deposit into such
fund. Funds must be accounted for as unobligated funds or obligated funds.
Unexpended amounts remaining in the fund at the end of a fiscal year do not
lapse into the state general fund, and any investment earnings or interest earned
on amounts in the fund must be deposited to the credit of the fund; however, any
unobligated monies in excess of twenty million dollars ($20,000,000) remaining in
the fund at the end of a fiscal year that have not been appropriated shall revert to
the general fund. Monies in the fund may be used by the department of finance
and administration, upon appropriation by the general assembly, based upon the
recommendation of the board of trustees of the Tennessee Outdoor Stewardship
Trust Fund for the purposes of providing assistance to counties, municipalities,

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state agencies, and nongovernmental entities, as provided in this chapter. The
board shall not use more than one percent (1%) of monies in the special fund to
defray the expenses of the board in carrying out its duties under this chapter.
The department of finance and administration shall not use more than three
percent (3%) of monies in the special fund to defray the expenses of the board in
carrying out its duties under this chapter.
(2) Subject to subdivision (a)(1), monies in the fund may be used and
expended by the board to provide funds for:
(A) Grants to counties, municipalities, state agencies, and
nongovernmental entities for:
(i) Improvement of state park outdoor recreation features
and trails;
(ii) Restoration or enhancement on privately owned
working agricultural lands and forests that support conservation of
soil, water, habitat of fish, and wildlife resources;
(iii) Providing funds to counties and municipalities to
acquire and improve parks and trails under the control and within
the jurisdiction of such counties and municipalities;
(iv) Restoration or enhancement projects to create or
improve access to public waters and lands for public outdoor
recreation, conservation education, use or safe enjoyment of
permanently protected conservation land;
(v) Restoration or enhancement of wetlands, native
forests, native grasslands, and other unique habitats important for
this state's fish and wildlife; and

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(vi) To acquire critical areas for the provision or protection
of clean water, wildlife, hunting or fishing, for military installation
buffering, or for natural resource-based outdoor recreation. Real
property may only be acquired under this subdivision (a)(2)(A)(vi)
under the following circumstances:
(a) Where the property is, at the time of
acquisition, being leased by the state as a wildlife
management area;
(b) Where the property adjoins or is in close
proximity to state or federal wildlife management areas,
state parks, or would provide better public access to such
areas;
(c) Lands identified in any wildlife action plan
developed by a state agency;
(d) Riparian lands so as to protect any drinking
water supply;
(e) Lands surrounding any military base or military
installation; and
(f) Acquisition of land may not be made through
the exercise of any power of eminent domain or
condemnation proceeding; and
(B) Loans to municipalities, counties, nongovernmental entities,
and state agencies to defray the costs of the projects described in
subdivision (a)(2)(A).

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(3) Unless otherwise authorized by the board, a county, municipality,
state agency, or nongovernmental entity that receives funds for a project under
this section must expend the funds for the project within two (2) years after
receipt of the funds in order to be eligible to apply for additional funds for the
project under this section. If a county, municipality, state agency, or
nongovernmental entity receiving funds for a project does not expend the funds
within two (2) years after receipt of the funds, then the county, municipality, state
agency, or nongovernmental entity must provide an accounting of such unused
funds and the reason for failure to expend the funds.
(4) A county, municipality, or state agency receiving funds under this
section may use the funds for purposes for which the funds were provided to the
county, municipality, or state agency.
(5) Monies in the special fund must not be used, expended, or
transferred for any other purpose other than authorized under this chapter.
(b)
(1) The board shall accept applications from counties, municipalities,
state agencies, and nongovernmental entities for project proposals eligible for
funding under this section. The board shall evaluate the proposals received in
accordance with this section and pursuant to priorities established by the board.
(2)
(A) A county, municipality, state agency, or nongovernmental
entity seeking assistance under this section must submit a complete
application to the board. The application must include a description of the
purpose for which assistance is requested, the type and amount of
assistance requested, and any other information required by the board.

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(B) The board shall review an application for assistance and
determine whether the applicant is eligible for assistance under this
section and whether the applicant should receive assistance under this
section. In reviewing applications, the board shall give increased priority
to projects:
(i) That leverage or match other nonfederal or federal
funds that are available for similar purposes;
(ii) That support and promote hunting, fishing, and
provision for recreation in the form of archery, boating, hiking,
camping, fishing, hunting, running, jogging, biking, walking,
shooting facilities, or similar outdoor activities;
(iii) That contribute to improving the quality and quantity of
surface water and ground water;
(iv) That contribute to the conservation of soil, water, and
fish and wildlife resources on privately owned working agricultural
lands or forests; and
(v) That contribute to achieving the goals and objectives of
local, state, regional, and national conservation or outdoor
recreational plans.
(3) If the board determines that an applicant should receive assistance,
then the board must prepare a recommendation for assistance, which must state
the purpose for which the assistance is to be provided, the type of assistance to
be provided, the amount of assistance to be provided, and any other information
determined necessary by the board. The board shall provide its recommendation
for assistance to the department of finance and administration, and the

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department shall use funds from the Tennessee Outdoor Stewardship Trust Fund
to provide the assistance.
70-10-103.
(a)
(1) There is established the board of trustees of the Tennessee Outdoor
Stewardship Trust Fund that consists of twelve (12) members as follows:
(A) The state forester, who is an ex officio nonvoting member;
(B) The executive director of the Tennessee soil and water
conservation commission, who is an ex officio nonvoting member;
(C) The director of the division of parks and recreation, who is an
ex officio nonvoting member;
(D) The commissioner of agriculture, who is an ex officio
nonvoting member
(E) Three (3) members appointed by the governor;
(F) Two (2) members appointed by the speaker of the senate;
and
(G) Two (2) members appointed by the speaker of the house of
representatives.
(2) The board shall not approve any funding to a county, municipality,
state agency, or nongovernmental entity in which a voting member of the board
is an executive, other employee, or is a voting member of a governing board with
such county, municipality, state agency, or nongovernmental entity.
(3) The members of the board appointed under subdivisions (a)(1)(E)-(G)
must be appointed from the following private sectors: forestry, conservation,
agriculture, marine resources, hunting, or fishing. Such members must be

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residents of this state during their tenure on the board and must possess a
demonstrated knowledge of and commitment to land conservation and outdoor
recreation.
(4)
(A)
(i) Two (2) persons initially appointed by the governor and
two (2) persons initially appointed by the speaker of the senate
shall each serve for a term ending June 30, 2029; and
(ii) One (1) person initially appointed by the governor and
two (2) persons initially appointed by the speaker of the house of
representatives shall each serve for a term ending June 30, 2030.
(B) Upon the expiration of the initial terms under subdivision
(4)(A), all appointments to the board expire on June 30 and begin on July
1, every four (4) years thereafter.
(5) A majority of the voting members of the board constitutes a quorum
for the conduct of meetings, and all actions of the board require a majority vote of
the voting members of the board.
(6) The board shall annually elect one (1) member to serve as chair and
one (1) member to serve as vice chair. The vice chair shall act as chair in the
absence of or upon the disability of the chair or if there is a vacancy in the office
of the chair.
(b)
(1) The ex officio members and the members appointed by the governor
serve without compensation but are eligible for reimbursement of travel expenses
incurred. All reimbursement for travel expenses must be in conformity with the

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comprehensive state travel regulations as promulgated by the commissioner of
finance and administration and approved by the attorney general and reporter.
(2) The members appointed by the speaker of the senate and the
speaker of the house of representatives are eligible for reimbursement of travel
expenses incurred in conformity with § 3-1-106, and may expend funds pursuant
to § 2-10-114(f).
(c) A member of the board shall not use the member's official position to obtain,
or attempt to obtain, pecuniary benefit for the member other than that compensation
provided for by law, or to obtain, or attempt to obtain, pecuniary benefit for any relative
or any business with which the member is associated.
(d) The department of finance and administration shall provide the office space,
staff, and other support necessary for the board to perform its duties.
(e) Following the close of each state fiscal year, the board shall submit an
annual report of its activities for the preceding state fiscal year pursuant to this chapter to
the governor; the speaker of the senate; the speaker of the house of representatives; the
chair of the finance, ways and means committee of the senate; and the chair of the
committee of the house of representatives having jurisdiction over matters relating to the
establishment of funds to finance state projects and activities.
70-10-104.
The department of revenue:
(1) In consultation with the board, shall promulgate rules to implement
and administer this chapter in accordance with the Uniform Administrative
Procedures Law, compiled in title 4, chapter 5; and
(2) May promulgate rules to establish allocations of revenue or other
proceeds received under this chapter.

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SECTION 2. For the purpose of appointing members to the board, this act takes effect
upon becoming a law, the public welfare requiring it. For all other purposes, this act takes effect
July 1, 2026, the public welfare requiring it.