Senate Bill 2385 amends the definition of "economically disadvantaged" students in Tennessee law to align with the federal Every Student Succeeds Act (ESSA). The new definition includes students who are homeless, foster, runaway, or migrant, as well as those eligible for free or reduced-price school meals through direct certification. Additionally, it specifies that students who are Medicaid beneficiaries or from households receiving benefits from programs like SNAP or TANF are also considered economically disadvantaged if they qualify for free school meals through direct certification.

The bill also introduces a provision for local education agencies (LEAs) regarding their TISA allocations starting in the 2027-2028 school year. If an LEA experiences a reduction in its TISA allocation due to a decrease in the number of economically disadvantaged students, the state will provide additional funds to ensure the LEA's current allocation matches that of the previous year. This funding must be state-funded and takes precedence over other funding calculations. The provision is set to expire on July 1, 2030. Furthermore, the Department of Education is tasked with requesting an amendment to the state's ESSA plan to broaden the definition of economically disadvantaged students to include those directly certified for free lunch without a household application.

Statutes affected:
Introduced: 49-3-104(10), 49-3-104, 49-3-108