Senate Bill 2195 amends Tennessee Code Annotated, Title 49, by establishing a new part that allows the Department of Education to participate in the federal scholarship tax credit program as outlined in Section 70411 of Pub. L. No. 119-21. This participation is aimed at individuals who make qualified contributions to scholarship granting organizations. The bill mandates that the Department of Education must compile and submit an annual list of eligible scholarship granting organizations to the United States Secretary of the Treasury, ensuring compliance with federal requirements to maintain the state's eligibility for the program starting in taxable years after December 31, 2026.

Additionally, the bill specifies that no state department, agency, or board has the authority to create rules to implement this section, thereby streamlining the process and limiting regulatory oversight. The act is set to take effect upon becoming law, emphasizing its importance for public welfare. The headings included in the act are for reference only and do not form part of the enacted law.