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SB 1395

Budget Procedures - As introduced, authorizes grant payments under the grant assistance program for nursing home care to be made either monthly or quarterly. - Amends TCA Title 3; Title 4; Title 5; Title 6; Title 7; Title 8; Title 9; Title 10; Title 11; Title 12; Title 13; Title 16; Title 17; Title 18; Title 29; Title 33; Title 36; Title 37; Title 38; Title 39; Title 40; Title 41; Title 42; Title 43; Title 44; Title 45; Title 47; Title 48; Title 49; Title 50; Title 53; Title 54; Title 55; Title 56; Title 57; Title 58; Title 59; Title 60; Title 61; Title 62; Title 63; Title 64; Title 65; Title 66; Title 67; Title 68; Title 69; Title 70 and Title 71.

114th Regular Session (2025-2026) Introduced by Bo Watson

The bill lets grant payments for Nursing Home Care be issued quarterly (instead of monthly) to the recipient or their authorized representative, not to the nursing home.

Action deferred in Senate Finance, Ways and Means Committee to next calendar
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Bill Summary · SB 1395

Summary of Bill: SB 1395 (Session 114) – Tennessee

Purpose and Intent

  • The bill authorizes a change in the schedule for grant payments under the Grant Assistance Program for Nursing Home Care.
  • Specifically, it allows grant payments to eligible individuals to be made on a quarterly basis, rather than the current monthly schedule.
  • The change is framed as a statutory revision required for implementation of the annual appropriations act.

Key Provisions

  • Amendment of Grant Payment Schedule (Section 1):

    • Replaces the existing language in Tenn. Code Ann. § 71-5-1305 with a provision that grant payments under this part are due monthly or quarterly, and must be forwarded to the recipient at the individual’s residence.
    • Payments are nonassignable and payable only to the individual or the individual’s legally authorized representative (the representative cannot be the nursing home).

  • Effective Date (Section 2):

    • The act takes effect on July 1, 2025, contingent on public welfare requirements.

Who Is Affected

  • Grant recipients: Eligible individuals receiving benefits under the Grant Assistance Program for Nursing Home Care.
  • Legally authorized representatives: Entities or individuals who may receive payments on behalf of the eligible recipient (not the nursing home itself).
  • Nursing homes and facilities: Indirectly affected insofar as they previously may have been named as payees; under this bill, payments are not assignable to nursing homes.

Procedural and Timeline Aspects

  • Timing: If enacted, the change would apply to payments made under the grant program beginning July 1, 2025.
  • Fiscal Impact: The fiscal note indicates a “NOT SIGNIFICANT” impact. Changing payment frequency from monthly to quarterly does not alter the total amount of program payments and is not expected to meaningfully change state expenditures.
  • Legislative History (highlights):
    • Introduced in 2025; co-sponsored by Bo Watson.
    • Passed the House and moved through Senate committees in 2025; subsequent action in 2026 indicates continued consideration by the Senate Finance, Ways and Means Committee with timeline adjustments.

Summary of Effects

  • The primary effect is to provide flexibility in payment timing for grant benefits, moving from mandatory monthly disbursements to the option of quarterly disbursements.
  • This change could simplify administrative processing and align payments with fiscal cycles, without changing the total funding amount or the recipient’s rights.
  • The payment recipient structure remains intact: payments go to the individual or their legally authorized representative and cannot be assigned to the nursing home.

If you’d like, I can provide a quick comparison table of monthly vs. quarterly payment implications for recipients and administrators.

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

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