Senate Bill 207 aims to establish a Farmland Preservation Fund within the Tennessee Code Annotated, specifically in Title 43, Chapter 1, Part 1. The bill emphasizes the importance of preserving farmland and forestland in Tennessee while allowing farmers and foresters to utilize their properties for agricultural purposes. It establishes a special agency account known as the Farmland Preservation Fund, which will be allocated to the Department of Agriculture for the development and implementation of programs that support farmland and forestland preservation. The bill also stipulates that any unencumbered funds remaining at the end of a fiscal year will not revert to the general fund but will be carried forward for future use.

Additionally, the bill outlines a grant program within the Farmland Preservation Fund that allows farmland and forestland owners to enroll their land in permanent conservation easements held by qualified easement holders, defined as 501(c)(3) nonprofit organizations. The Department of Agriculture is tasked with administering this grant program, which includes specific application requirements and prohibits qualified easement holders from selling or transferring the conservation easements acquired through the program. The commissioner of agriculture is authorized to create rules to implement this section, with the act taking effect upon becoming law for rule promulgation purposes and on July 1, 2025, for all other provisions.