House Bill 1438 amends Chapter 403 of the Private Acts of 1951, which governs the City of Erin, Tennessee, by updating the language regarding the roles and qualifications of city officials, including the Mayor and Aldermen. The bill deletes specific subdivisions related to definitions and qualifications, such as subdivisions (a)(1), (a)(5), (a)(9), and (a)(7), replacing them with a more comprehensive definition of "Elector." It also modifies the qualifications for holding office, emphasizing residency requirements and disqualifications for certain offenses. Additionally, the appointment processes for key city officials, including the city recorder, treasurer, city attorney, and city judge, are clarified to ensure they are appointed by the Board of Mayor and Aldermen.

The bill further addresses property tax levies and penalties for late payments, establishing that the Board must set a tax levy as a fixed rate per one hundred dollars of assessed valuation, with provisions for maintaining the previous year's rate if no new levy is made within ninety days of the tax due date. It also revises the penalty structure for late payments by specifying that penalties will be applied "per month" after the initial three percent penalty. Other amendments include increasing the threshold for unbudgeted expenditures from $2,500 to $5,000 and updating the selection process for official depositories for city funds. The bill will take effect only if approved by a two-thirds vote of the City of Erin's legislative body, with the presiding officer responsible for certifying the outcome to the secretary of state.