House Bill 1889, also known as Senate Bill 1978, amends various sections of the Tennessee Code Annotated to establish and regulate education freedom scholarships. The bill introduces new sections that require audits of the scholarship program by the comptroller of the treasury, ensuring compliance with state and federal student privacy laws. Private schools enrolling scholarship recipients must also undergo audits, which they are responsible for funding. Additionally, the bill mandates that these schools comply with open meetings and records laws, provide regular progress reports to parents, and disclose various operational metrics on their websites.

The bill further modifies eligibility criteria for scholarship recipients, stipulating that households must not exceed an annual income of three hundred percent of the threshold for free or reduced-price lunch. It also requires scholarship recipients to take standardized tests comparable to those administered to public school students. The legislation includes provisions for annual reporting by the department on the program's outcomes and mandates audits of private schools to ensure transparency in financial dealings. The act is set to take effect on July 1, 2026.

Statutes affected:
Introduced: 49-6-3504, 49-6-3507(a)(1), 49-6-3507, 49-6-3507(a)(2), 49-6-3508, 49-6-5101(a), 49-6-5101, 49-6-5101(c)