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HB 1054

Local Government, General - As introduced, authorizes a local government having a population of 100,000 or more and having centralized purchasing with a full-time purchasing agent to use any project delivery method that the local government determines most effectively meets the needs of the local government for the construction of local projects or additions to existing buildings. - Amends TCA Title 12, Chapter 3, Part 12.

114th Regular Session (2025-2026) Introduced by Sam McKenzie

HB 1054 permits Tennessee cities over 100,000 people with professional purchasing staff to select any construction delivery method without state-mandated restrictions.

Assigned to s/c Cities & Counties Subcommittee
#general #localgovernment
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Bill Summary · HB 1054

Legislative bill overview

HB 1054 allows larger Tennessee municipalities (100,000+ population) with centralized purchasing departments to select any construction project delivery method they deem appropriate for local building projects. Previously, these governments likely faced statutory restrictions limiting their choices to specific delivery methods. The bill essentially grants procurement flexibility to larger, well-staffed local governments.

Why is this important

Construction delivery methods—such as design-bid-build, design-build, or construction management at-risk—significantly affect project timelines, costs, and risk allocation. Allowing local governments to match delivery methods to specific project needs could reduce inefficiencies and improve outcomes. Conversely, this flexibility could also enable less rigorous procurement practices if oversight mechanisms are inadequate.

Potential points of contention

  • Accountability concerns: Broader discretion without clear performance metrics or transparency requirements may reduce competitive bidding and public oversight of project selection decisions
  • Equity implications: Benefits apply only to larger cities (100,000+), potentially creating a two-tiered system where smaller municipalities lack similar flexibility
  • Risk management: Removing statutory guardrails could expose local governments to poorly-chosen delivery methods if procurement expertise is insufficient, despite the full-time agent requirement

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

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