Senate Bill 1470 amends Tennessee law to establish specific liability protections for nonprofit organizations that contract with the Department of Children's Services to provide community-based care or child welfare services. The bill defines an "entity" as such a nonprofit organization and stipulates that these entities cannot be held liable for damages resulting from the actions of their employees, volunteers, or caregivers, provided they have conducted timely criminal background checks, confirmed the absence of abuse or neglect records, reported known allegations of misconduct, taken appropriate administrative actions, and required relevant training for their personnel.

However, the bill allows for vicarious liability if a claimant can demonstrate that the entity was not in substantial compliance with the outlined requirements at the time of the incident, that the requirement was intended to prevent the specific harm alleged, and that the entity's noncompliance contributed to the harm. Additionally, the bill clarifies that it does not limit the liability of an entity for gross negligence or for claims authorized by state or federal law, nor does it restrict governmental entities from taking regulatory or prosecutorial actions against the nonprofit organizations. The provisions of this act are set to take effect on July 1, 2026.