Senator Joey Hensley, MD

The 113th General Assembly has adjourned for 2024, and it was a very successful year. We have taken measures for Tennessee to be a better place to live, work and to raise a family. This is some of the legislation that was passed during this session.

Tax Cuts / Jobs / Commerce

Simplifying franchise tax and returning money to taxpayers - This year, lawmakers cut taxes by simplifying the state’s franchise tax – a business tax on net worth. This adjustment will offer relief to taxpayers, modernize the way the tax is calculated and manage newly discovered legal risks. It removes the property measure of the franchise tax and authorizes the Department of Revenue to issue refunds to taxpayers who have paid the franchise tax based on property located in the state. Previously, the franchise tax was an alternative minimum tax on property used in Tennessee. This measure disincentivized investment in the state and created additional legal challenges. Tennessee’s new franchise tax also matches surrounding states’.

Prohibiting a state property tax - A resolution passed seeking to change Tennessee’s Constitution to ensure a state property tax can never be implemented by a future General Assembly. Tennessee has not had a state property tax since 1949. This constitutional amendment would protect Tennessee taxpayers by entirely eliminating the option for a state property tax to ever be imposed on Tennesseans again. This constitutional amendment has passed its first of two required passages by the General Assembly.

In order to ratify the constitution, a constitutional amendment must pass the general assembly twice. The first time it must pass with a simple majority voting in favor. The second time it must pass the next General Assembly by a two-thirds majority. Finally, the amendment would become part of the state constitution if the number of yes votes are equal to a majority of the total votes in the following gubernatorial election.

Tennessee addresses AI Impact on music industry - This year, Tennessee led the nation in addressing the impact Artificial Intelligence (AI) has had on the music industry. The Ensuring Likeness Voice and Image Security (ELVIS) Act protects music artists’ voices from the misuse of AI. The new law updates Tennessee’s Protection of Personal Rights law to include protections for songwriters, performers, and music industry professionals’ voices. Our music industry supports more than 61,617 jobs across the state, contributes $5.8 billion to the state’s GDP, and fills over 4,500 music venues. Tennessee’s previous law protected name, image and likeness, but not new, personalized generative AI cloning models and services that enable human impersonation. While the rapid advancement of artificial intelligence is exciting in many ways it also presents new challenges -- especially for singers, songwriters and other music professionals. It is crucial our laws protect music artists from AI-generated synthetic media which threatens their unique voices and creative content.

Leveling the playing field for college athletes to maximize NIL value - A new law updates the state’s current Name, Image and Likeness (NIL) law to provide more opportunities for student-athletes to maximize their value. It protects the ability of current and prospective athletes to assess their NIL value freely by performing “diligence.” This means that in the recruitment process, a prospective athlete can better explore their NIL value at different institutions prior to committing, allowing them to make more informed decisions about their financial future.

Restricting vehicle booting - A new law prohibits unlicensed individuals from booting vehicles in Tennessee and caps the fee to remove a boot at $75. This law ensures vehicles are not unfairly immobilized by overzealous parking attendants. It generally prohibits booting vehicles in Tennessee, with exceptions for individuals licensed through a local government. Local governments that choose to allow booting must be responsible for licensing and enforcement compliant with minimum standards set in the law. It also ensures that vehicle owners are properly notified if their vehicle is being towed, sold or demolished by a towing company.

Protecting Tennesseans from debanking - Debanking for political and religious reasons has been on the rise and a new law passed this year addresses and prevents discriminatory banking practices. Under this law, financial institutions and insurers are prohibited from denying or canceling services to individuals due to political opinions, religious beliefs, social credit scores, and other factors. The law makes debanking by financial institutions with over $100 billion in assets an unfair or deceptive practice under the Tennessee Consumer Protection Act of 1977, carrying Class B misdemeanor offenses. No individual should face the loss of banking services or access to their accounts due to their values or beliefs.

Safeguarding Tennessee against digital currency - To protect Tennesseans against the risks of a centralized digital currency, lawmakers passed legislation that prevents a centralized digital bank from incorporating a deposit account. Lawmakers also passed a law that will exclude the term “money” from the definition of “central bank digital currency.”

Artificial Intelligence Advisory Council - The Tennessee General Assembly passed a law to create the Artificial Intelligence Advisory Council. This council will develop a framework for leveraging artificial intelligence safely and effectively. The Council is responsible for understanding, navigating and building a structure for the use of artificial intelligence in Tennessee.

Increasing workforce participation - This session, legislators passed a law that enables individuals with specific criminal offenses on their record to secure employment opportunities. The law allows licensing authorities to evaluate candidates’ criminal histories on a case-by-case basis when determining approval or denial of certain occupational licenses.

Ensuring compensation for workers - To help protect workers against unreasonable refusal for compensation, lawmakers passed a law that will ensure workers are compensated for all hours worked. The law requires causes of action for all compensation owed to employees within three years. These actions include: breach of contract, unjust enrichment/quantum merit for unpaid wages for hours worked, overtime, minimum wage, salary, bonuses, commissions, and other compensation.

Protecting victims of cybercrimes from litigation - Cybersecurity is an increasingly large issue hurting businesses and consumers. To help protect businesses from class action lawsuits caused by predatory cybersecurity attacks, lawmakers passed a law that ensures businesses that are victims of cyberattacks are not held civilly liable. The law does not cover cases of willful or gross negligence on the part of the private entity.

Contact Senator Hensley at

425 5th Avenue North, Suite 746

Nashville TN 37243

615-741-3100

Toll Free 1-800-449-8366

ext. 13100

Fax 615-253-0231

855 Summertown Highway

Hohenwald TN 38462

Phone 931-796-2018

Cell Phone 931-212-8823

E-mail:

[email protected]