House Bill 712 aims to enhance family caregiving provisions in Tennessee by establishing guidelines for service providers regarding the hiring of qualified family members as caregivers for individuals with disabilities. The bill mandates that the commissioner develop and disseminate these guidelines annually to Medicaid-participating service provider agencies and publish them on the department's website. It prohibits service providers from denying employment to qualified family caregivers based on various factors, including familial relationships, place of residence, age of the individual receiving services, and guardianship status, unless explicitly stated in legal documents. Additionally, the bill ensures that family caregivers cannot be compensated for care exceeding the designated long-term supports and services.

Furthermore, the bill extends similar provisions to the Bureau of TennCare, requiring the director to create guidelines for hiring family caregivers and ensuring that provider agencies do not discriminate against family members based on the same criteria. The legislation also emphasizes that benefits for individuals with disabilities cannot be reduced based on the familial status of the caregiver without following a person-centered planning process. The act will take effect upon becoming law for rule promulgation purposes, while other provisions will be effective from July 1, 2025.