Summary of Bill: Tennessee Fair Chance Housing Act (SB 2506 / HB 2235)
Session: 114 | Jurisdiction: Tennessee | Title: Human Rights
Purpose
- Enacts the Tennessee Fair Chance Housing Act to prohibit discrimination in housing based on an individual’s criminal history, with structured allowances for case-by-case assessments and specific notice and enforcement provisions.
Key Provisions
1) Definitions (new sections 4-21-608 to 4-21-614)
- Establishes terms critical to enforcement, including:
- Conviction, criminal history, felony/misdemeanor conviction
- Housing provider: includes landlords, property managers, real estate agents acting for providers, and housing authorities
- Individualized assessment: written evaluation weighing factors such as nature/severity of offense, time elapsed since offense or completion of sentence, applicant age at offense, evidence of rehabilitation, relationship to safety/welfare, and mitigating circumstances
- Look-back period: start from conviction or release/completion of sentence to date of application
- Protected status for housing purposes: criminal history beyond look-back period or not linked to safety
- Sex offense conviction: defined and given special handling
2) Prohibited discrimination in housing (4-21-609)
- It is discriminatory for housing providers to:
- Deny housing based solely on criminal history
- Discriminate in terms, conditions, or services based on criminal history
- Publish ads or statements that discriminate based on criminal history
- Represent a dwelling as not available due to criminal history when it is available
- Include questions about arrests that did not result in conviction
- Consider arrests or diversions that did not result in conviction
- Caveat: Criminal history information allowed under 4-21-610 may be considered if permitted.
3) Permitted consideration of criminal history (4-21-610)
- Misdemeanor convictions may be considered only if occurring within 3 years of the housing application (from conviction or release/completion).
- Felony convictions may be considered only if occurring within 10 years of the housing application (from conviction or release/completion).
- Sex offense convictions may be considered regardless of look-back in certain circumstances:
- An individualized assessment is conducted
- Denial is based on a direct relationship to safety/welfare or compliance with sex-offender restrictions
- Written notice of denial provided
- Mandatory individualized assessment for any denial based on criminal history within the look-back period.
- Housing providers bear the burden of justification for denial based on criminal history.
- No blanket disqualification policies allowed without completing an individualized assessment.
4) Notice requirements (4-21-611)
- If denial or adverse action occurs based on criminal history, providers must give written notice within 7 business days.
- Notice must include:
- Basis in criminal history
- Details of each considered conviction (nature, date, jurisdiction)
- Summary of the individualized assessment
- Right to submit additional information within 14 days
- Right to file a complaint or pursue remedies
- Contact information for the commission
- Application must stay open for 14 days after denial to allow submission of additional information; final decision within 7 business days after receipt of timely information.
- Records related to denial and assessments must be kept for at least 3 years.
5) Department of Correction education and outreach (4-21-612)
- DOC must create a comprehensive education/outreach program for individuals with criminal histories, including:
- Educational materials about rights and complaint processes
- Pre-release training re housing, rental process, and reentry resources
- Hotline and online portal for reporting discrimination and obtaining referrals
- Partnerships with community organizations and housing authorities
- Annual reports to the General Assembly on services, complaints, and recommendations
- DOC must coordinate with the Tennessee Human Rights Commission to ensure consistent messaging and enforcement
- Upon release, DOC must provide written materials summarizing rights and resources
6) Enforcement and remedies (4-21-613)
- Tennessee Human Rights Commission (or its successor agency) has jurisdiction to receive, investigate, and adjudicate complaints alleging violations.
- Individuals aggrieved may file civil actions under existing remedies in the chapter.
- The Commission may pursue investigations or enforcement for patterns/practices of violations.
7) Relationship to other laws (4-21-614)
- Provisions do not preempt stricter local protections.
- Provisions do not require violating federal/state laws (e.g., sex offender restrictions near sensitive locations).
Effective Date
- Rulemaking and education/outreach provisions take effect upon becoming law.
- For all other purposes, the act takes effect on January 1, 2027.
Additional context from fiscal notes
- DOC would need five new positions and funding for education/outreach, materials, and related operations.
- Estimated state General Fund impact: roughly $545,681 in FY 2026-27 and $532,181 in subsequent years (recurring), plus one-time setup and printing costs.
- The Tennessee General Assembly’s Office notes a non-significant overall impact on commerce.
- Existence of a prior dissolved Human Rights Commission is acknowledged; current implementation may be assumed by existing AG or other resources.
Who is Affected
- Housing providers (landlords, property managers, landlords’ agents, and housing authorities) and applicants seeking housing.
- Individuals with criminal convictions, including specifics on sex offenses where individualized assessments apply.
- The Department of Correction (DOC) for outreach/education programs.
- The Tennessee Human Rights Commission for enforcement and adjudication of complaints.
- General public through potential increased protections against discriminatory housing practices.
Timeline and Process Highlights
- Application of look-back periods and requirement for individualized assessments (where denial is based on criminal history).
- Specific timelines for notices (7 business days for adverse action notice; 14 days to submit additional information; 7 more days to finalize after information is received).
- Education/outreach program to be developed and implemented prior to or concurrent with broader enforcement.
- Effective date contingent on provisions: education provisions immediately upon law; full effectiveness January 1, 2027 for other provisions.