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SB 1014

Local Education Agencies - As introduced, requires an LEA in which a child care facility operates to submit a comprehensive list of all underutilized or vacant property to the department of human services and the comptroller of the treasury and to make the list available to each child care facility operating in the LEA; grants certain owners of a child care facility that operates in an LEA a first or second right of refusal to lease or purchase underutilized or vacant property listed by the LEA. - Amends TCA Title 49 and Title 71.

114th Regular Session (2025-2026) Introduced by Charlane Oliver

LEAs must list underutilized property and give child care facility owners a first/second right to lease or buy, with maintenance rules and state audits.

Re-refer to S. Cal Comm
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Bill Summary · SB 1014

Summary of SB 1014 (Session 114) – Tennessee

Overview

SB 1014, as amended, would require local education agencies (LEAs) in which a child care facility operates to compile and share information about underutilized or vacant properties. The bill establishes a set of rights for certain owners of child care facilities to lease or purchase such properties, along with related maintenance obligations and oversight provisions. It also directs state entities to coordinate access to property listings and, upon request, enables audits of the listings.

  • Jurisdiction: Tennessee
  • Title: Local Education Agencies – As introduced, requires an LEA in which a child care facility operates to submit a comprehensive list of all underutilized or vacant property to the department of human services and the comptroller of the treasury and to make the list available to each child care facility operating in the LEA; grants certain owners of a child care facility operating in an LEA a first or second right of refusal to lease or purchase listed property.
  • Amends: TCA Title 49 and Title 71

Main Purpose and Intent

  • Create a transparent process for identifying and utilizing LEA-owned underutilized or vacant properties.
  • Give specific rights to owners of child care facilities (and public charter school sponsors in some circumstances) to lease or purchase such properties at or below fair market value.
  • Improve access to appropriate spaces for child care facilities within school district boundaries while establishing conditions for maintenance and use.

Key Provisions and Changes

  1. Property Listing Requirement

    • LEAs must submit a comprehensive list of all underutilized or vacant property to:
      • Department of Human Services (DHS)
      • Comptroller of the Treasury (COT)
    • DHS must make the list available to every child care facility operating in the LEA.

  2. Right of First/Second Refusal for Property

    • Owners or operators of child care facilities may obtain:
      • First right of refusal to purchase vacant property or lease vacant/underutilized property (if the LEA has no public charter schools operating within its geographic boundaries).
      • Second right of refusal (if the LEA does have one or more public charter schools operating there).
    • These rights apply to properties listed by the LEA and are constrained by certain conditions (see below).

  3. Conditions for Maintenance and Repair

    • Establishes responsibilities for maintenance and repair of a child care facility leased from an LEA.

  4. Audit and Oversight

    • An owner or operator of a child care facility may petition the COT for an audit of the LEA’s listing of underutilized or vacant property.
    • LEAs must include in their annual report to DHS and COT planned uses for underutilized or vacant properties they own or operate.

  5. Exceptions Related to Charter Sponsorship

    • If a prospective charter school sponsor or pending sponsor has notified the local board of education of interest in leasing or purchasing listed property, the owner of the child care facility would not have a right of first or second refusal for that property.
    • If a prospective sponsor’s application is denied or no sponsor applies, the owner regains the right of first or second refusal.

  6. Fiscal Implications

    • First-order impact: Not significant.
    • Any potential decrease in local revenue from properties being leased/sold to child care facilities is expected to be not significant.
    • DHS and COT are anticipated to operate within existing resources for processing listings and audits.

Who Would Be Affected

  • Local Education Agencies (LEAs) that own or control underutilized or vacant properties within their boundaries.
  • Child care facilities operating within LEAs (owners/operators may exercise first or second refusal rights).
  • Prospective or current public charter school sponsors within LEAs (affects the scope of refusal rights).
  • Department of Human Services (DHS) and the Comptroller of the Treasury (COT) for listing distribution and audits.

Timeline and Procedural Notes

  • The bill includes reporting requirements in LEAs’ annual reports to DHS and COT.
  • The amendment defines terms and refines the right-of-refusal framework.
  • Action history shows progression through Senate Education Committee and related calendar actions in 2025, with amendments and re-referrals as part of standard legislative drafting.

Summary of Amendments (Scope)

  • Defines key terms: “child care facility,” “underutilized property,” “vacant property.”
  • Deletes prior subsection (a) in Section 2 and inserts clarified definitions and related provisions as described above.

Practical Takeaways

  • If enacted, LEAs would publicly catalog property that is not in active use and share it with DHS, COT, and local child care operators.
  • Some child care facility owners would gain prioritized access to such properties, potentially enabling expansion or relocation of services within school districts.
  • The bill emphasizes oversight (audits) and accountability through annual reporting and potential state-level review.

Note: This summary reflects the amended form of SB 1014 as presented in the fiscal notes and amendment texts.

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

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