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Bill

SB 2026

Agriculture, Dept. of - As introduced, bases indemnity payments for an animal that is destroyed to prevent the spread of disease on the fair market value of the animal, subject to available funds. - Amends TCA Title 44.

114th Regular Session (2025-2026) Introduced by Adam Lowe

SB 2026 ties Tennessee livestock disease-destruction indemnity payments to fair market value but makes them contingent on state budget availability.

Rcvd. from S., held on H. desk.
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Bill Summary · SB 2026

Legislative bill overview

SB 2026 modifies Tennessee's indemnity payment system for livestock destroyed due to disease prevention. The bill establishes that compensation payments will be based on fair market value of the animal, contingent upon available state funding. This amends the Tennessee Code Annotated Title 44, which governs agricultural matters.

Why is this important

Disease outbreaks in livestock can spread rapidly and devastate agricultural operations and food supply chains. Indemnity programs compensate farmers for losses when animals are culled for disease control, which is critical for encouraging rapid reporting and cooperation with disease prevention efforts. The fair market value standard affects how much financial protection farmers receive when facing mandatory animal destruction.

Potential points of contention

  • Funding uncertainty: The "subject to available funds" language means payments may be reduced or delayed if state budget constraints exist, potentially leaving farmers with incomplete compensation
  • Fair market value definition: Disputes could arise over how "fair market value" is determined (breed, age, productivity, market conditions), which directly impacts payment amounts
  • Adequacy of compensation: Farmers may argue that fair market value doesn't fully cover losses (opportunity costs, breeding value, operational disruption), while budget hawks may see it as generous given funding limits

Compiled from official sources — confirm details with the bill’s official record.

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