House Bill 1438 amends Chapter 403 of the Private Acts of 1951, which governs the City of Erin, Tennessee, by updating definitions and qualifications for city officials. The bill deletes certain subdivisions in Article I, Section 1.02, clarifying the definition of "Elector" to require that an elector must either reside within the city or own at least a 50% fee simple interest in property within the city. It also modifies the qualifications for the offices of Mayor and Alderman, mandating that candidates must be qualified voters and residents of the city for at least 24 months prior to their election. Additionally, the bill restructures sections related to the roles of city officials, including the appointment of a city recorder, treasurer, and judge, who will serve at the pleasure of the Board of Mayor and Aldermen.

The bill further addresses property tax levies and penalties for late payments, establishing that the Board of Mayor and Aldermen must set a tax levy as a fixed rate per one hundred dollars of assessed valuation, with the previous year's rate continuing if no new levy is made within ninety days before the tax due date. It specifies a penalty of three percent for each month of late payment and increases the threshold for unbudgeted expenditures from $2,500 to $5,000. The Board is also granted the authority to select official depositories for city funds and require collateral security as necessary. The enactment of this bill requires a two-thirds vote from the legislative body of the City of Erin and will take effect immediately upon approval, with other provisions taking effect as specified in the voting outcome.