TBA Law Blog


Posted by: Azya Thornton on Apr 8, 2026

Tennessee lawmakers on Tuesday approved a $100 million state disaster fund intended to provide assistance to local governments and individuals when Federal Emergency Management Agency (FEMA) aid falls short, Fox 43, reports. The bill, SB2232/HB2543, now heads to Gov. Bill Lee’s desk. The measure would establish the Governor’s Response and Recovery Fund. The fund, administered by the Tennessee Emergency Management Agency, would provide grants and low- or no-interest loans for eligible recovery costs. Bill sponsor Rep. Tim Hicks, R-Gray, said the fund is intended to address smaller-scale disasters that do not meet Federal Emergency Management Agency thresholds. The legislation also outlines eligibility requirements for local governments and individuals, including proof of need and residency. Lawmakers raised questions about whether the funding will be sufficient and debated provisions such as the lawful residency requirement for aid, but the bill ultimately passed with broad support in both chambers. The governor proposed the fund in March.