House Bill 2094, also known as Senate Bill 2180, amends Tennessee Code Annotated to establish new guidelines for the allocation of federal and state funds to transportation planning organizations. The bill introduces a new section in Title 54, Chapter 1, Part 1, defining key terms such as "Metropolitan planning organization" (MPO), "Nonmetropolitan area," "Rural planning organization" (RPO), and "Urbanized area," all of which align with existing federal definitions.

The primary focus of the bill is to ensure that the allocation of funds to rural planning organizations (RPOs) for transportation planning in nonmetropolitan areas is maintained at a level that is equal to the funding provided to metropolitan planning organizations (MPOs) for urbanized areas. This parity in funding is intended to support equitable transportation planning across different regions of the state. The act is set to take effect on July 1, 2026, and will apply to federal or state funds applied for or accepted after that date.