Tennessee House Bill HB2106

Tennessee 2025-2026 Regular Session

• Introduced: 2/2/26
• Refer: 2/5/26
• Refer: 3/4/26
• Refer: 3/10/26
• Refer: 4/15/26

Caption

AN ACT to amend Tennessee Code Annotated, Section 49-4-708, relative to the Tennessee Promise scholarship endowment fund.

Impact

The amendment proposed in HB2106 has implications for how education funding is managed within the state. By stipulating a transfer of excess lottery funds to the scholarship reserve account, the bill seeks to ensure that resources are consistently available for the Promise program. This is expected to provide a more stable financial foundation for the scholarship and potentially expand its capacity to assist a greater number of students seeking postsecondary education. As such, the bill reflects a commitment to improving educational access for Tennessee students and addresses the funding challenges that have historically affected such programs.

Summary

House Bill 2106 amends Tennessee Code Annotated, Section 49-4-708, in relation to the Tennessee Promise scholarship endowment fund. The legislation establishes provisions for the allocation of funds from the lottery for education account. Beginning in the fiscal year 2025-2026, any excess funds beyond a specified reserve amount will be redirected to the Tennessee Promise scholarship special reserve account. This measure aims to enhance the funding available for the Tennessee Promise program, which supports students in their pursuit of higher education by covering the cost of tuition and mandatory fees at community colleges and eligible postsecondary institutions.

Contention

While the bill aims to secure additional funding for educational scholarships, it does raise questions regarding the reliance on lottery revenues for funding educational initiatives. Critics may argue that this approach ties educational funding too closely to gambling revenues, which could be seen as unreliable or ethically questionable. Furthermore, discussions surrounding the bill may also involve stakeholders concerned with ensuring equitable access to education for all students, particularly those from disadvantaged backgrounds who may depend significantly on scholarship programs like the Tennessee Promise.