Human Services, Dept. of

Plain English Breakdown

Checked against official source text during the last sync.

Guaranteed Basic Income Act

This bill creates a program that requires the Department of Human Services to award eligible Tennessee residents an annual grant of $3,000 starting in 2026.

What This Bill Does

• Creates the Guaranteed Basic Income Act to give money to certain people who live in Tennessee.
• Requires the Department of Human Services to make rules for how to apply and get the grants.
• Sets up a special fund with money from the government and other sources to pay for the grants.
• Makes sure that eligible residents can receive $3,000 per year as a grant starting in 2026.

Who It Names or Affects

• Tennessee residents who meet certain requirements like being over 18 years old and having lived in Tennessee for at least one full year.
• The Department of Human Services which will manage the program.

Terms To Know

Eligible resident

A person who is at least 18, has a valid Tennessee ID or driver's license, and has lived in Tennessee for one full year.

Guaranteed Basic Income Fund

A special account that holds money to pay out the annual grants to eligible residents.

Limits and Unknowns

• The exact cost of administering the program is not known because guidelines for how it will be run have not been set yet.
• This bill has not become a law and needs more steps before it can take effect.

Official Summary Text

This bill enacts
the "Guaranteed Basic Income Act" or the "Protection Against Automation Act
,
"
which requires the
department of human services
to
develop and implement a program in which
eligible residents are awarded an annual guaranteed basic income grant beginning in 2026.
As used in this bill, an
"eligible resident" means an individual who

(
i
)
i
s at least 18;

(
ii
)
p
ossesses a valid Tennessee driver license or photo identification lic
ense; (
iii
)
i
s a full-time resident of this state; and

(
iv
)
w
as a full-time resident of this state in the immediately preceding year.

DISTRIBUTION OF GRANTS

This bill requires t
he department
to
establish and publish guidelines for applications, includin
g eligibility and the award of grants.

The department
must
distribute guaranteed basic income grants in the amount of $3,000 per year, which may be paid as a monthly or semi-monthly stipend, to each eligible resident who submits a completed application an
d any supporting documents required by the department. An eligible resident must reapply to receive a grant in a subsequent year.

GUARANTEED BASIC INCOME FUND

This bill establishes

t
he guaranteed basic income fund as a separate account in the general f
und
to be
composed of moneys appropriated by the general assembly for the fund, and gifts, grants, and other donations received by the department for the fund. Pursuant to action by the general assembly, the fund may receive deposits allocated from
privil
ege and excise
taxes
.

RULEMAKING
–
FORMS

This bill requires the
department
to
promulgate forms and rules necessary to effectuate this
bill
and
to
make
such
forms available on the department's website.

Current Bill Text

HOUSE BILL 1396
By Pearson

SENATE BILL 1355
By Akbari

SB1355
003054
- 1 -

AN ACT to amend Tennessee Code Annotated, Title 4;
Title 9; Title 67, Chapter 4 and Title 71, relative to
financial assistance.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF TENNESSEE:
SECTION 1. Tennessee Code Annotated, Title 71, Chapter 5, is amended by adding
the following as a new part:
71-5-2701. Short title.
This part is known and may be cited as the "Guaranteed Basic Income Act" or
the "Protection Against Automation Act."
71-5-2702. Part definitions.
As used in this part, "eligible resident" means an individual who:
(1) Is at least eighteen (18) years of age;
(2) Possesses a valid Tennessee driver license or photo identification
license;
(3) Is a full-time resident of this state; and
(4) Was a full-time resident of this state in the immediately preceding
year.
71-5-2703. Guaranteed basic income grants.
(a) The department of human services shall develop and implement a program
in which eligible residents are awarded an annual guaranteed basic income grant
beginning in 2026. The department shall establish and publish guidelines for
applications, including eligibility and the award of grants.

- 2 - 003054

(b) The department of human services shall distribute guaranteed basic income
grants in the amount of three thousand dollars ($3,000) per year, which may be paid as
a monthly or semi-monthly stipend, to each eligible resident who submits a completed
application and any supporting documents required by the department. An eligible
resident must reapply to receive a grant in a subsequent year.
71-5-2704. Forms and rules.
The department shall promulgate forms and rules necessary to effectuate this
part. Rules must be promulgated in accordance with the Uniform Administrative
Procedures Act, compiled in title 4, chapter 5, and the department shall make forms
available on the department's website.
71-5-2705. Guaranteed basic income fund.
(a) The guaranteed basic income program established pursuant to this part is
funded through the guaranteed basic income fund established as a separate account in
the general fund.
(b) The fund is composed of moneys appropriated by the general assembly for
the fund, and gifts, grants, and other donations received by the department for the fund.
Pursuant to action by the general assembly, the fund may receive deposits allocated
from taxes levied under title 67, chapter 4.
(c) The state treasurer shall invest moneys in the fund for the benefit of the fund
in accordance with § 9-4-603. Interest accruing on investments and deposits of the fund
must be credited to and remain part of the fund. Any unencumbered moneys and any
unexpended balance of the fund remaining at the end of a fiscal year do not revert to the
general fund, but must be carried forward until expended in accordance with this part.

- 3 - 003054

SECTION 2. The headings in this act are for reference purposes only and do not
constitute a part of the law enacted by this act. However, the code commission is requested to
include the headings in any compilation or publication containing this act.
SECTION 3. This act takes effect upon becoming a law, the public welfare requiring it.