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SB2474 • 2026

Motor Vehicles

AN ACT to amend Tennessee Code Annotated, Section 7-51-1008, relative to entertainment transportation.

Active

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

Sponsor
Bailey, Hawk
Last action
2026-02-05
Official status
Passed on Second Consideration, refer to Senate State and Local Government Committee
Effective date
Not listed

Plain English Breakdown

The bill does not address vehicle requirements beyond traffic studies and enclosure, which are only mentioned in the context of removing specific conditions.

Rules for Entertainment Transportation in Tennessee

This bill changes how government entities regulate entertainment transportation by setting rules on permit renewals, transfers, partnerships, noise ordinances, and traffic studies.

What This Bill Does

  • Changes the rule that a governmental entity must not refuse to renew a permit issued initially for providing entertainment transportation services.
  • Prevents governmental entities from refusing to transfer permits or other regulatory credentials between businesses if the receiving business can show they meet state and local requirements and notify the permitting authority.
  • Prohibits government entities from stopping a holder of entertainment transportation permits from partnering with another business if all parties follow state and local rules and inform the permitting authority.
  • Does not allow governmental entities to create noise ordinances that treat entertainment transportation vehicles differently than other commercial properties in tourism areas.
  • Removes the requirement for applicants to submit traffic studies as part of their permit application process.

Who It Names or Affects

  • Businesses providing entertainment transportation services
  • Governmental entities regulating entertainment transportation

Terms To Know

entertainment transportation
Services like amusement rides, tour buses, and other vehicles used for fun or sightseeing activities.
permit
A document given by a government entity that allows businesses to operate certain services within specific rules.

Limits and Unknowns

  • The bill does not specify what happens if a business fails to meet state or local requirements after receiving a permit.
  • It is unclear how the changes will affect existing permits and regulations in place before this act.
  • The exact impact on tourism areas with noise ordinances remains uncertain.

Bill History

  1. 2026-02-09 Tennessee General Assembly

    Withdrawn.

  2. 2026-02-05 Tennessee General Assembly

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

  3. 2026-02-05 Tennessee General Assembly

    Assigned to s/c Transportation Subcommittee

  4. 2026-02-05 Tennessee General Assembly

    P2C, ref. to Transportation Committee

  5. 2026-02-04 Tennessee General Assembly

    Intro., P1C.

  6. 2026-02-02 Tennessee General Assembly

    Introduced, Passed on First Consideration

  7. 2026-02-02 Tennessee General Assembly

    Filed for introduction

  8. 2026-02-02 Tennessee General Assembly

    Filed for introduction

Official Summary Text

Present law prohibits a governmental entity that regulates entertainment transportation from refusing to renew a permit to a business that provides entertainment transportation if the governmental entity issued the permit to the business prior to May 1,
2024. This bill revises this prohibition by, instead, applying it if
the governmental entity issued the initial permit to a business to provide entertainment transportation
.

This bill also prohibits a governmental entity that regulates entertainment transportation from taking any of the following actions:



Denying
the transfer of a permit or any other regulatory credentials issued by the governmental entity for purposes of operating an entertainment transportation vehicle from one business that provides entertainment transportation to another
(i) if the business
receiving the permit or regulatory credentials demonstrates the ability to operate an entertainment transportation vehicle that is qualified under state law or local ordinance, resolution, rule, or regulation to operate in the jurisdiction of the governmental entity for which it was issued
; and (ii) if
notice of the transfer is provided to the permitting authority designated by the governmental entity
.



Prohibiting
the holder of a permit or any other regulatory credentials issued by a governmental entity for the purposes of operating an entertainment transportation vehicle from entering into a partnership with another business
if (i)
all parties are otherwise qualified under state law or local ordinance, resolution, rule, or regulation to operate in the jurisdiction of the governmental entity for which it was issued
; and (ii)
notice of the partnership is provided to the permitting authority designated by the governmental entity
.



Establishing
noise ordinances for entertainment transportation vehicles that create different maximum allowable decibel limits from other commercial property within a commercial zoning area designed for tourism activity
.



Requiring
entertainment transportation vehicles to be enclosed if all other safety requirements established by state law or local ordinance, resolution, rule, or regulation are met.

Current Bill Text

Read the full stored bill text
HOUSE BILL 2362
By Hawk

SENATE BILL 2474
By Bailey
SB2474
012310
- 1 -

AN ACT to amend Tennessee Code Annotated, Section 7-
51-1008, relative to entertainment transportation.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF TENNESSEE:
SECTION 1. Tennessee Code Annotated, Section 7-51-1008, is amended by deleting
the section and substituting:
(a) Notwithstanding this part to the contrary, a governmental entity that regulates
entertainment transportation pursuant to this part shall not:
(1) Refuse to renew a permit to a business that provides entertainment
transportation if the governmental entity issued the initial permit to a business to
provide entertainment transportation;
(2) Revoke a permit issued to a business that provides entertainment
transportation except for good cause shown in an administrative hearing;
(3) Deny the transfer of a permit or any other regulatory credentials
issued by the governmental entity for purposes of operating an entertainment
transportation vehicle from one business that provides entertainment
transportation to another:
(A) If the business receiving the permit or regulatory credentials
demonstrates the ability to operate an entertainment transportation
vehicle that is qualified under state law or local ordinance, resolution, rule,
or regulation to operate in the jurisdiction of the governmental entity for
which it was issued; and
(B) If notice of the transfer is provided to the permitting authority
designated by the governmental entity;

- 2 - 012310

(4) Prohibit the holder of a permit or any other regulatory credentials
issued by a governmental entity for the purposes of operating an entertainment
transportation vehicle from entering into a partnership with another business:
(A) If all parties are otherwise qualified under state law or local
ordinance, resolution, rule, or regulation to operate in the jurisdiction of
the governmental entity for which it was issued; and
(B) If notice of the partnership is provided to the permitting
authority designated by the governmental entity;
(5) Establish noise ordinances for entertainment transportation vehicles
that create different maximum allowable decibel limits from other commercial
property within a commercial zoning area designed for tourism activity;
(6) Require an applicant for permit or other regulatory credentials to
submit a traffic study as a condition of approval; or
(7) Require entertainment transportation vehicles to be enclosed if all
other safety requirements established by state law or local ordinance, resolution,
rule, or regulation are met.
(b) As used in this section, "good cause":
(1) Means a repeated, material violation of a state law or a local
ordinance, resolution, rule, or regulation governing the permit, which may be
demonstrated by a knowing failure or refusal to comply with such law, ordinance,
resolution, rule, or regulation; and
(2) Includes the disuse or dormancy of a permit for a period of six (6)
months or longer prior to the governmental entity taking action to revoke the
permit; provided, that the start date for calculating a six-month period of disuse or
dormancy begins on or after May 1, 2024.

- 3 - 012310

SECTION 2. This act takes effect upon becoming a law, the public welfare requiring it.