Image Credit: Canva
The Tennessee Conservative [By Paula Gomes] –
A bill sponsored by Republican leadership that allows legislators to have veto power over federal grants was passed by lawmakers on the last day of the 114th Tennessee General Assembly.
Sponsored by House Speaker Cameron Sexton (R-Crossville-District 25) and Senate Finance Chair Bo Watson, the legislation seeks to strengthen oversight of the federal grant process in Tennessee.
According to Representative Bud Hulsey (R-Kingsport-District 2), who carried the bill in the House on behalf of Sexton, the legislation sheds more light on the process and “helps protect Tennessee’s financial independence” by keeping lawmakers informed and in control of how federal dollars impact state budgets.
“This bill ensures that when Tennessee state departments want to accept federal money that they follow a clear and consistent process. It requires departments to notify and sometimes get approval from the legislature before accepting large amounts of federal aid,” stated Hulsey in his introduction of the legislation on the House floor on April 22nd, 2025. “It also ensures that all federal aid is used the way the state intends, not just how federal agencies suggest.”
Present law allows the governor of Tennessee to accept federal aid on behalf of the state whether that is a grant, or a loan – subject to the approval of the funding board – due to an executive order of the president or by any act of congress.
During discussion, Representative John Ray Clemmons (D-Nashville-District 55) said that the bill was “rife with separation of power issues” and also stated that it “oversteps tremendously” on the executive branch in Tennessee.
“If the governor were to sue us, we’d lose,” said Clemmons.
House Minority Leader Karen Camper (D-Memphis-District 87) had concerns that the legislation would affect the budget that the Tennessee General Assembly recently passed.
Hulsey deferred to Representative Gary Hicks to address whether the proposed law would have any impact on appropriations. Hicks said that he could “see no conflicts” with the legislation.
The bill passed in the House along party lines 69 to 23, and subsequently in the Senate, 26 to 5 with only Democrats voting against it.
About the Author: Paula Gomes is a Tennessee resident and reporter for The Tennessee Conservative. You can reach Paula at paula@tennesseeconservativenews.com.
