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2026 Budget Priorities + Legislative Hotlist

Each year upon the convening of the Tennessee General Assembly, TQEE reviews the Governor’s budget and 1000+ bills filed by legislators. We determine which items are both aligned to our policy blueprint and can have a meaningful impact. Then we add those alongside the bills we’re already championing and lean in with advocacy. Check out our list below and join us over the next couple of months to help get these enacted!

First: The 2026-27 Budget

Governor Bill Lee presented his annual budget on Monday, February 2. Highlights included a number of items we’re applauding, and we’re still digging through it to find other jewels aligned with our policy blueprint.

The Governor Amended Budget was presented on 3/24. 

Early Care and Learning

  • $339 million to strengthen education in Tennessee’s public schools, including further investment in the Tennessee Investment in Student Achievement (TISA) formula funding, summer learning camps, and raising starting teacher pay to $50,000

Child and Family Health and Mental Health

  • $3 million to expand the school-based behavioral health liaison program, giving students across Tennessee schools important resources and mental health support
  • $230 million to TennCare to cover increasing costs associated with medical inflation, including higher prescription drug prices and Medicare payments, and increased utilization and services
  • $24.2 million to continue a Department of Health Dental Pilot Program to address unmet dental service needs and increase the number of dentists in Tennessee

Bills Filed by Legislators: Our “Hotlist

Now to legislation. The deadline for bill filing for the Tennessee General Assembly was Thursday, February 3rd. After reviewing over 1000 bills across our core three domains, we have identified the following high-priority bills that we will support this session. Additionally, there are a number of caption (placeholder) bills on our radar that might be amended to be of interest – so the list below could grow. 

Early Learning Settings Birth-to-3rd Grade  

Expanding access to affordable, quality child care and early learning programs

SB 1921 / HB 2358 (Massey / Hawk) Directs the Department of Human Services to use TANF rainy day funds to restore access to the Smart Steps child care assistance program.

  • Update 4/23- Amended to require TDHS to provide annual public reports on TANF, CCDF, and Smart Steps. Funding to lift the waitlist was not included in the final version. Passed House and Senate and sent to the Governor for Signature.

SB 2062 / HB 1979 (Watson / White) Creates a dedicated Promising Futures Fund using state revenues from hemp- and vapor-derived products to address child care affordability and supply, and workforce shortages. Funds support three targeted initiatives: free child care for child care workers, employer-supported CareShare Tennessee, and Smart Steps Plus for middle-income families.

  • Update 4/23- House and Senate Passed. Sent to Governor for Signature

SB2426 / HB2048 (Crowe / McCalmon) As amended, Expands Voluntary Pre-K eligibility to include children of LEA employees.

  • Update 4/23-  Passed House and Senate. Sent to Governor for Signature.

Developing the early educator workforce

SB 2404 / HB 2426 (White / White) Early Educator Workforce Development Act (Caption Bill, pending amendment) Creates a temporary task force to inventory and strengthen alignment of workforce development resources and to identify gaps. Expands apprenticeship pathways by allowing child care and preschool settings as approved clinical practice sites for educator prep programs operating within a registered apprenticeship program.

  • Updated 4/23- House and Senate Passed. Sent to Governor for Signature

SB 2525 (HB 2398) Hatcher / Stinnett – Allows high school students ages 16–18 to work in child care centers through approved work programs.

  • Update 4/23- House and Senate Passed. Sent to Governor for Signature

Removing Regulatory Barriers

SB1683 / HB1965 (Haile / Farmer) Establishes a narrow civil liability safe harbor for employers and community organizations that host licensed child care providers without operating them. Preserves all safety and licensing standards while unlocking underused space to expand child care capacity quickly and responsibly.

  • Update 4/23-  Signed into law

(SB 2282) HB 2306   Briggs / Carringer – Prohibits HOA bans on family or group child care homes

  • Update 4/23- No longer moving forward.

SB 2509 (HB 2413) Oliver / Love – Creates the Tennessee Child Care Red Tape Reduction Act to expedite child care permit approvals, eliminate redundant fire safety inspections and streamline rules.  

  • Updated 4/23-  House and Senate Passed. Sent to Governor for Signature.

Rightsizing TISA Formula Funding

SB 2385 (HB 2485) Hensley / Haston – Updates the definition of “economically disadvantaged” used in the TISA funding formula and the state’s ESSA plan and requires the department of education to offset funding losses for affected school districts.

  • Updated on 4/23- Amended to instruct TISA Review Committee to make recommendations related to how to define and count economically disadvantage students in a November report. House and Senate Passed. Sent to Governor for Signature.

Health and Development on Track From Birth

SB2153 / HB2313 (Walley/Hawk) Directs the department to establish and administer a voluntary, evidence-based, home visiting program designed to support early childhood mental health, advance developmental outcomes, and strengthen family stability for children ages birth to five.

  • Update 4/23- Governor signed into law on 4/21

SB 44 (HB 295)  Lamar / Love – Adds certified doula services as a covered benefit under TennCare and directs the Department of Health to establish certification verification standards.

  • Updated 4/23-  No longer moving forward.

SB 1605 (HB 2083) Haile / Littleton – Extends Zero to Three “Safe Baby” Courts to children up to age five, prioritizing those under three.

  • Update 4/23- Governor signed into law on 3/25

Supported Families

Paid Family Leave

SB 938 (HB 957)  Rose / Slater -Grants eligible state employees paid leave for fostering a minor child. 

  • Updated 4/23- Signed into Law. Public Chapter 621

Free and Reduced-Price School Lunch

SB 740 (HB 1153) Harshbarger / LynnRequires school districts to provide free breakfast and lunch to all students, with the state reimbursing districts for costs not covered by federal funds.

  • Updated 4/23-Not funded. 

SNAP and Summer EBT

SB 2132 / HB 2043 A new state rule would establish SNAP Broad Based Categorical Eligibility, with eligibility for SNAP benefits extended to families with gross monthly income at or below 200% of the federal poverty level and a net monthly income at or below 100% of the federal poverty level.

  • Update 4/23- Passed House and Senate. Sent to Governor for Signature.

SB 1911 / HB 1835 Bailey / Hale – Directs TDHS to participate in the federal Summer EBT program to provide summer nutrition benefits to eligible children using available federal funds.

  • Update 4/23- No longer moving forward, but funded through an alternative approach.

SB 1853 / HB 1806 Yarbro / Shaw – Directs TDHS to apply for federal Summer EBT funding by January 1, 2027, to support summer nutrition for eligible children.

  • Update 4/23- No longer moving forward

Food Tax Exemption

SB 1829 / HB 1767 Yarbro / Clemmons – Exempts food purchases from sales and use tax for income-eligible families with qualified dependents.

  • Updated 4/23- Not funded.

SB 1837 / HB 1792 Hensley / Fritts – Exempts WIC-eligible food and food ingredients from state sales and use tax.

  •  Update 4/23- Not funded.

What can you do now? Take Action!

Head over to our Take Action page where you can find your legislators and choose from a bunch of options to be a Loud Voice for Little Kids on these bills.

Become a Loud Voice for Little Kids

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