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SB0109 • 2026

Municipal Government

AN ACT to amend Tennessee Code Annotated, Title 6, Chapter 56, Part 4, relative to contracted certified municipal finance officers.

Active

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

Sponsor
Seal, Jones R
Last action
2025-03-28
Official status
Effective date(s) 03/20/2025
Effective date
Not listed

Plain English Breakdown

The bill summary and text do not provide details on what happens if a municipality does not get approval from the comptroller, or how often municipalities will request this permission.

Changes to Certified Municipal Finance Officers

This bill allows municipalities in Tennessee to contract with certified municipal finance officers (CMFOs) who work less than 16 hours per month if they get approval from the comptroller of the treasury.

What This Bill Does

  • Allows a municipality to ask the comptroller of the treasury for permission if it wants its CMFO to work fewer than 16 hours monthly on financial duties.
  • Requires municipalities to request new approval each year if their contracted CMFO works less than 16 hours per month.

Who It Names or Affects

  • Municipalities in Tennessee
  • Certified municipal finance officers (CMFOs) who are contracted with municipalities

Terms To Know

certified municipal finance officer (CMFO)
A person certified to handle financial oversight for a municipality.
comptroller of the treasury
An official who manages public funds and accounts in Tennessee.

Limits and Unknowns

  • The bill does not specify what happens if a municipality fails to get approval from the comptroller.
  • It is unclear how often municipalities will request this permission or how many might choose to do so.

Bill History

  1. 2025-03-28 Tennessee General Assembly

    Effective date(s) 03/20/2025

  2. 2025-03-28 Tennessee General Assembly

    Pub. Ch. 44

  3. 2025-03-28 Tennessee General Assembly

    Comp. became Pub. Ch. 44

  4. 2025-03-20 Tennessee General Assembly

    Signed by Governor.

  5. 2025-03-12 Tennessee General Assembly

    Transmitted to Governor for action.

  6. 2025-03-11 Tennessee General Assembly

    Signed by H. Speaker

  7. 2025-03-10 Tennessee General Assembly

    Signed by Senate Speaker

  8. 2025-03-07 Tennessee General Assembly

    Enrolled and ready for signatures

  9. 2025-03-06 Tennessee General Assembly

    Passed H., Ayes 92, Nays 0, PNV 0

  10. 2025-03-03 Tennessee General Assembly

    H. Placed on Regular Calendar for 3/6/2025

  11. 2025-03-03 Tennessee General Assembly

    Motion to reconsider adopted.

  12. 2025-03-03 Tennessee General Assembly

    Motion to lift from table adopted.

  13. 2025-03-03 Tennessee General Assembly

    Passed H., Ayes 90, Nays 0, PNV 0

  14. 2025-03-03 Tennessee General Assembly

    Subst. for comp. HB.

  15. 2025-03-03 Tennessee General Assembly

    Rcvd. from S., held on H. desk.

  16. 2025-03-03 Tennessee General Assembly

    Comp. SB subst.

  17. 2025-03-03 Tennessee General Assembly

    Sponsor(s) Added.

  18. 2025-02-27 Tennessee General Assembly

    Engrossed; ready for transmission to House

  19. 2025-02-27 Tennessee General Assembly

    Passed Senate, Ayes 32, Nays 0

  20. 2025-02-27 Tennessee General Assembly

    Motion to reconsider adopted.

  21. 2025-02-27 Tennessee General Assembly

    Passed Senate, Ayes 32, Nays 0

  22. 2025-02-27 Tennessee General Assembly

    H. Placed on Consent Calendar for 3/3/2025

  23. 2025-02-26 Tennessee General Assembly

    Placed on cal. Calendar & Rules Committee for 2/27/2025

  24. 2025-02-25 Tennessee General Assembly

    Placed on Senate Regular Calendar for 2/27/2025

  25. 2025-02-25 Tennessee General Assembly

    Recommended for passage, refer to Senate Calendar Committee

  26. 2025-02-19 Tennessee General Assembly

    Rec. for pass; ref to Calendar & Rules Committee

  27. 2025-02-18 Tennessee General Assembly

    Placed on Senate State and Local Government Committee calendar for 2/25/2025

  28. 2025-02-12 Tennessee General Assembly

    Placed on cal. State & Local Government Committee for 2/19/2025

  29. 2025-02-12 Tennessee General Assembly

    Rec. for pass by s/c ref. to State & Local Government Committee

  30. 2025-02-05 Tennessee General Assembly

    Placed on s/c cal Cities & Counties Subcommittee for 2/12/2025

  31. 2025-01-28 Tennessee General Assembly

    Assigned to s/c Cities & Counties Subcommittee

  32. 2025-01-27 Tennessee General Assembly

    P2C, ref. to State & Local Government Committee

  33. 2025-01-16 Tennessee General Assembly

    Intro., P1C.

  34. 2025-01-15 Tennessee General Assembly

    Passed on Second Consideration, refer to Senate State and Local Government Committee

  35. 2025-01-15 Tennessee General Assembly

    Filed for introduction

  36. 2025-01-14 Tennessee General Assembly

    Introduced, Passed on First Consideration

  37. 2025-01-09 Tennessee General Assembly

    Filed for introduction

Official Summary Text

To ensure competence in the handling of municipal funds and the protection of public moneys, present law requires each municipality to have in it
s employ at least one certified municipal finance officer (CMFO) or an exempt individual as recorder, city clerk, director of finance, or other official or employee who has oversight responsibilities regarding the municipality's financial operations. Pre
s
ent law authorizes a municipality to contract with a certified public accountant to perform the duties of a CMFO.

Present law requires a contracted CMFO to devote a minimum of 16 hours per month to financial oversight on behalf of the municipality. Th
is bill revises this provision to not apply if the municipality has sought and received written approval from the comptroller of the treasury for its contracted CMFO to devote less than 16 hours per month. Such approvals are valid for one year, and munic
i
palities must request a new approval from the comptroller of the treasury each year.

ON MARCH 3, 2025, THE HOUSE LIFTED THE TABLING MOTION, RECONSIDERED ITS ACTION IN PASSING SENATE BILL 109, AND RESET SENATE BILL 109.

Current Bill Text

Read the full stored bill text 
HOUSE BILL 185
By Jones R

SENATE BILL 109
By Seal

SB0109
000681
- 1 -

AN ACT to amend Tennessee Code Annotated, Title 6,
Chapter 56, Part 4, relative to contracted certified
municipal finance officers.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF TENNESSEE:
SECTION 1. Tennessee Code Annotated, Section 6-56-406(d), is amended by deleting
the subsection and substituting instead:
(d) Notwithstanding this section, a municipality may contract with a certified
public accountant to perform the duties of a CMFO. The contracted CMFO shall devote
a minimum of sixteen (16) hours per month to financial oversight on behalf of the
municipality, unless the municipality has sought and received written approval from the
comptroller of the treasury for its contracted CMFO to devote less than sixteen (16)
hours per month to financial oversight on behalf of the municipality. Such approvals are
valid for one (1) year. Municipalities must request a new approval from the comptroller
of the treasury each year.
SECTION 2. This act takes effect upon becoming a law, the public welfare requiring it.