EZ Policies for Tennessee
The EZ Policy Inventory is searchable by technology, policy type, and other fields with the EZ Policy Search Form.
Review process tips and editing help are here. Updates, additions and corrections are welcome!
To see federal policies go to the Federal Policies page.
|Policy||Place||Policy Type||Active||Implementing Sector||Summary|
|Acquisition Of Land (Tennessee)||Tennessee||Siting and Permitting||Yes||State/Province||Every corporation organized under the laws of any state of the United States and authorized to construct, own, and operate gas or electric plants or both for the purpose of furnishing gas or electricity or both to persons in this state or in this state and elsewhere, or authorized to engage in the business of reducing, generating, and furnishing light, heat, electricity and electrical and mechanical power generated or produced from steam power or water power obtained by a dam or dams across any stream or streams of water, or authorized to store, transport or distribute natural or artificial gas or oil to be used in producing light, heat or mechanical power, for sale to the public generally or to utility corporations for resale to the public generally, and, for any or all of such purposes, authorized to construct and maintain pipelines, is empowered to condemn and take upon paying or securing payment thereof, to purchase or otherwise acquire, such lands and interests in and by whomsoever owned as may be necessary or advisable in the construction, maintenance, and operation of either its gas or electric plants or both, and likewise to acquire the right to use, employ, and divert such water flowing in and running into any stream or watercourse as may be necessary or advisable in the exercise of its charter powers, such lands and interests in lands as may be necessary or advisable for establishing and maintaining its power houses, canals, flumes, conduits, pipelines, reservoirs, ponds, dams, transmission lines and other works, the rights-of-way for lines of poles, towers, wires, and transmission lines through any and all lands between its reservoirs, ponds, dams, power houses and other works and the cities and towns and other points at which its light, heat, water, electricity and electrical and mechanical or gas power may be transmitted, consumed or disposed of, such lands and interests in lands as may be necessary or advisable to place its electric wire, conductors, conduits, ditches, canals, flumes, pipelines, and transmission lines either above or underground; and every such corporation may at any time enter thereon and repair same or when deemed necessary or advisable may place additional equipment, appliances or appurtenances; provided, that such electric wires, conductors, conduits, ditches, canals, flumes, pipelines and transmission lines shall be placed in such manner as to do as little injury to the property of private persons as possible; and provided further, that every such corporation shall make compensation to the owners of the real estate condemned or taken through which its electric wires, conductors, conduits, ditches, canals, flumes, pipelines and transmission lines may be placed. If the owner and the corporation cannot agree upon the amount of compensation which should be paid, the taking shall proceed and the damages or compensation to be paid shall be assessed in the manner provided by title 29, chapter 16.|
|Atomic Energy and Nuclear Materials Program (Tennesse)||Tennessee||Environmental Regulations|
Siting and Permitting
|Yes||State/Province||The Atomic Energy and Nuclear Materials section of the Tennessee Code covers all of the regulations, licenses, permits, siting requirements, and practices relevant to a nuclear energy development. In addition to the Tennessee Code the Department of Environment and Conservation has a rule pertaining to the licensing and registration of sources of radiation. The Department's rules state that any contractor or subcontractor of the U.S. Department of Energy (DOE) or the U.S. Nuclear Regulatory Commission is exempt from the Department's rules to the extent that such contractor or subcontractor under his contract receives, possesses, uses and transfers or acquires sources of radiation. Thus, due to the DOE's heavy involvement in the licensing, permitting and compliance of nuclear power plants, any project being considered is most likely to be exempt from the Department’s rule. The licenses required are pursuant to the Atomic Energy Act of 1954 compiled at (42 U.S.C. § 2011).
Every person receiving ownership or possession of one (1) or more radiation machines shall register with the radiological health service within ten (10) days of such receipt on forms to be provided for this purpose.
Any change in ownership, location, or use of any radiation machine, or any extension, modification, alteration or termination of such machine for any person required to register under this part, constitutes a revocation of such existing registration. Such person will then be required to register with the radiological health service.These rules and regulations give the Director of the Department he power to change any of the rules if necessary. It also requires that all forms submitted to the DOE or Nuclear Regulatory Commission be submitted to the Department as well.
|Clean Tennessee Energy Grant Program (Tennessee)||Tennessee||Grant Program||Yes||State/Province||The purpose of the Clean Tennessee Energy Grant Program is to select and fund projects that best result in a reduction of emissions and pollutants identified below. The Clean Tennessee Energy Program provides financial assistance to municipal government, county government, utility districts, and other entities created by statute (e.g. airport authority) in Tennessee to purchase, install, and construct energy projects that fit into one of the following eligible project categories: Cleaner Alternative Energy, Energy Conservation, Air Quality Improvement.|
|Climate Action Plan (Tennessee)||Tennessee||Climate Policies||No||State/Province||The State of Tennessee currently does not have a climate action plan in place or in progress.|
|Community Development Block Grant/Economic Development Infrastructure Financing (United States)||United States||Grant Program|
|Yes||Federal||Community Development Block Grant/Economic Development Infrastructure Financing (CDBG/EDIF) provides public infrastructure financing to help communities grow jobs, enable new business startups and expansions for existing businesses. State programs help achieve the national objective of CDBG by funding projects in which at least 51 percent of the new jobs created are made available to low and moderate income individuals. The maximum amounts awarded under the program are $1 million for new businesses locating to the state and $500,000 for existing businesses expanding in the state.|
|Contracts For Services (Tennessee)||Tennessee||Industry Recruitment/Support||Yes||State/Province||A corporation may contract with cities, towns, and villages, and with persons, for supplying them with water, light, heat, electricity, electrical and mechanical powers, and any other article or thing which it may produce or handle.|
|Forestry Policies (Tennessee)||Tennessee||Environmental Regulations||Yes||State/Province||Tennessee's forests are managed by the Department of Agriculture, Forestry Division. In 2010 the Division issued its Statewide Forest Action Plan, which includes a section detailing the bio-energy and biofuels potential and goals for the state, and quantifies among other things the potential energy from forest biomass:
The document also specifies the goal of expanding markets for biomass forest products, to address several different issues including decline in oak species, reducing pest issues, sustainable forestry, landscape maintenance, owner compensation, and overall industry growth.
The University of Tennessee's Biofuels Initiative provides a variety of industry support, including information with regard to forest biomass harvesting:https://utextension.tennessee.edu/publications/Documents/SP702-B.pdf
|Gas Companies Program (Tennessee)||Tennessee||Environmental Regulations|
Siting and Permitting
|Yes||State/Province||The Gas Companies program is a set of rules that encourage the development of the natural gas industry in Tennessee. They empower gas companies to lay piped and extend conductors through the streets, lanes and alleys, of any town, city or village, as to produce the least possible inconvenience and to take up pavements and sidewalks provided that they shall repair the same as soon as possible. Corporations must obtain the consent of municipal authorities and an ordinance must be passed prescribing the terms of the development.
The corporation is authorized to charge a reasonable price for gas, not higher than the price by existing charters to gas companies in Tennessee. The corporation shall never charge more than 1 cent per every cubic foot of gas used, as may be indicated by the gas meter or computed by the ordinary rules.
The works and operations of the company shall be so constructed and managed that no annoyance shall accrue therefrom to the health and comfort of the inhabitants of the town; and nothing in these rules shall be so construed as to absolve the company, its officers or agents, from any legal proceedings to restrain or abate any nuisance arising from such works or operations.The corporation shall have the power of condemnation as granted to electric companies in Tenn. Code 65-22-101.
|Green Energy Property Tax Assessment (Tennessee)||Tennessee||Property Tax Incentive||Yes||State/Territory||Tennessee offers a special ad valorem property tax assessment for certified green energy production facilities. Tennessee Code Annotated § 67-5-601 (e)-(f) defines the sound, intrinsic and immediate value of alternative green source properties when they are initially appraised. SB 1000 stipulated that the assessed property value of all certified green energy production facilities (as defined in Tenn. Code § 67-4-2007) may not exceed 1/3 of total installed costs; however, there are differences in the valuation percentages of the various sources of green energy.
TDEC defines and certifies facilities based upon production of electricity using clean energy technology for use and consumption off the premises. Clean energy technology is defined as technology used to generate energy from geothermal, hydrogen, solar, and wind sources. The effective date of the property valuation provided is January 1st of the year for which the valuation is claimed. A copy of the facility certification must be provided by the property owner to the comptroller's office by March 1st of the same year. The comptroller must advise the assessor of the locations of any certified green energy property and must advise the assessor as to whether the property should be assessed locally or centrally.
|Interstate Mining Compact Commission (multi-state)||Alabama|
|Safety and Operational Guidelines|
Siting and Permitting
|Yes||State/Province||The Interstate Mining Compact is a multi-state governmental agency / organization that represents the natural resource and related environmental protection interests of its member states. Currently, 23 states are members to the compact, and 6 additional states are associate members. The compact is administered by the Interstate Mining Compact Commission, which does not possess regulatory powers but “provides a forum for interstate action and communication on issues of concern to the member states” and thus aids the development of effective regulatory programs and environmental protection initiatives. The Commission exercises several powers on behalf of the states, all of which are of a study, recommendatory or consultative nature. The Commission does not possess regulatory powers, as some Compacts do. The Commission provides a forum for interstate action and communication on issues of concern to the member states. It is the potential to stimulate the development and production of each state's mineral wealth through effective regulatory programs that draws many of the states together in the prosecution of the Commission's work. Given the environmental sensitivities associated with this objective, a significant portion of the Commission's work is dedicated to the environmental protection issues naturally associated with this mineral development. It is the significant value and clout that comes from "compacting" together and speaking with a strong, united voice that can make a difference in each state's efforts to implement effective regulatory programs that will conserve natural resources and secure a vibrant state (and thus national) mineral economy.|
|Job Tax Credit and Super Credit (Tennessee)||Tennessee||Corporate Tax Incentive|
Personal Tax Incentives
|Yes||State/Province||The Job Tax Credit Program is a tax credit program for companies investing at least $500,000 and creating 25 new jobs in a 12-month period. The company creating these jobs can claim a Job Tax Credit of $4,500 per job to offset up to 50% of the combined F&E tax. Any unused Job Tax Credit may be carried forward for up to 15 years. The approval process for the Job Tax Credit requires a Job Tax Credit Business Plan be filed with the Department of Revenue prior to taking the credit.
A qualified business locating or expanding in a Tier 2 county may take 3 years to create 25 jobs, and business locating or expanding in a Tier 3 county may take 5 years to create 25 jobs. The credit may not be taken until the year the 25 job threshold is met unless the business has requested and received a waiver from the Commissioner of Economic and Community Development and Commissioner of Revenue.
The Jobs Tax Super Credit is designed to incentivize larger, more capital-intensive investments. Tennessee has created a Super Credit that applies to those qualified businesses investing capital of $100 million or more and creating a minimum of 100 jobs paying at least 100% of Tennessee's average occupational wage or investing $10 million in a qualified headquarters facility with the creation of at least 100 new headquarters jobs paying 150% of the average occupational wage. The average occupational wage for 2010 is $36,542, and the average occupational wage for 2011 is $37,360.These credits can be used to offset up to 100% of the company's F&E (franchise and excise) tax liability each year for 3 to 20 years starting the first tax year after the job creation and capital investment thresholds have been met
|Job Training Assistance Programs (Tennessee)||Tennessee||Training/Technical Assistance||Yes||State/Province||The Job Training Assistance Programs in Tennessee are a combination of three programs: The FastTrack Job Training Assistance Program (FJTAP), The Tennessee Job Skills Program (TJS), and The Job Based Training Reimbursement Program (JBT).
The FJTAP is available to both new and expanding industries and begins with a company developing a training plan including the number of people to be hired, types of skills required and types of training needed. The plan is developed in conjunction with the FastTrack staff and is designed to be customizable and flexible. Reimbursements include classroom instruction, on-the-job training, development and coordination of instruction materials, and travel related to training.
The TJS is Similar to FJTAP, but with a focus on employers and industries that create high-skill, high-wage jobs in emerging, high-demand and technology focused sectors of the economy. Training staff will work with companies to develop a unique, flexible, comprehensive training plan that meets the company's initial training needs and will then follow up to insure each phase of the program meets the company's needs. Companies track costs and apply to the State for reimbursement. Reimbursement rates depend on the level of training and the types of instructors utilized.The JBT is a potentially faster program for reimbursement of training costs, companies may seek reimbursement from the state of Tennessee once a job creation commitment and cost per job is established. Once agreed upon with Department of Economic and Community Development, companies can seek reimbursement of 50% of the cost per job within the first 90 days after the job is created and maintained, while the remaining 50% can be claimed 180 days after the job is created and maintained.
|Mineral Test Hole Regulatory Act (Tennessee)||Tennessee||Environmental Regulations|
Siting and Permitting
|Yes||State/Province||The Mineral Hole Regulatory Act is applicable to any person (individual, corporation, company, association, joint venture, partnership, receiver, trustee, guardian, executor, administrator, personal representative or private organization of any kind) who wishes to drill a mineral test hole (any hole in excess of one hundred (100) feet drilled during the exploration for minerals but shall exclude auger drilling in surficial or otherwise unconsolidated material, drilling in conjunction with mining or quarrying operations, and drill holes for the exploration of oil and/or gas, water, structural foundations, and seismic surveys) must obtain a permit from the supervisor of the Geology division of the Department of Environment and Conservation (#CN-0695). The purpose of the Mineral Test Hole Regulatory Act is to regulate the drilling of mineral test holes in order to prevent the pollution of potable water resources, both surface and subsurface, as the result of the introduction of undesirable substances, including natural brines, oil, gas, or mineralized waters through the process of the drilling of mineral test holes and provide basic geologic data to the state relating to oil, gas and water occurrences.|
|Oil and Gas Program (Tennessee)||Tennessee||Environmental Regulations|
Siting and Permitting
|Yes||State/Province||The Oil and Gas section of the Tennessee Code, found in Title 60, covers all regulations, licenses, permits, and laws related to the production of natural gas. The laws create the Oil and Gas Board, composed of the commissioner of environment and conservation or the commissioner's designee, who shall act as chair, the designee of the commissioner of economic and community development, the chair of the conservation commission, a member from the oil and gas industry appointed by the governor, an owner of oil or gas property appointed by the governor, and a member from the mineral industry appointed by the governor. The member from the oil and gas industry, the oil or gas property owner and the member from the mineral industry shall each serve four-year terms. In the absence of the commissioner of environment and conservation, the board shall elect one (1) of its members to serve as chair. In October 2012 the Board adopted new rules in order to deal with the expansion of the natural gas industry due to the use of hydraulic fracturing. These new rules are based on findings from the Water Pollution Control Division. These new rules require wells using 200,000 gallons of water or more to make public notice. Another change is that companies may temporarily abandon wells for up to five years, with another two years to then cap the well. Regulations governing groundwater protection standards that are no less stringent than those adopted by the American Petroleum Institute in Guidance Document HF1, First Edition, Hydraulic Fracturing Operations - Well Construction and Integrity Guidelines, October 2009 or any later revision.|
|PJM Interconnection (Multiple States)||Delaware|
District of Columbia
|Interconnection||Yes||Non-Profit||PJM (originally Pennsylvania, Jersey, Maryland) Interconnection is a Regional Transmission Organization (RTO) that coordinates the movement of wholesale electricity in all or parts of Delaware, Illinois, Indiana, Kentucky, Maryland, Michigan, New Jersey, North Carolina, Ohio, Pennsylvania, Tennessee, Virginia, West Virginia and the District of Columbia. The PJM region has an area of 214,000 square miles, a population of about 60 million and a peak demand of 163,848 megawatts.|
|Petroleum Products and Alternative Fuels Tax Law (Tennessee)||Tennessee||Fees|
Siting and Permitting
|Yes||State/Province||The Petroleum Products and Alternative Fuels Tax Law is relevant to all natural gas and/or biofuel projects. Compressed Natural Gas CNG, petroleum product and/or alternative dealers must apply for and obtain a permit from the Tennessee Department of Revenue. The permit authorizes the dealer to collect and remit taxes on CNG delivered to motor vehicles by means of a dispenser with meter capability. This permit will remain valid as long as the dealer provides timely reports and remits taxes when due, or until surrendered or cancelled. All CNG meters and dispensers are subject to inspection and verification by the Tennessee Department of Agriculture's Weights and Measures enforcement provisions. The Tennessee Department of Revenue administers the biodiesel manufacturers' incentive fund, which provides Tennessee biodiesel producers with payments for biodiesel fuel produced and sold to Tennessee distributors. Each manufacturer may receive incentives for up to 10 million gallons of biodiesel produced annually. This incentive is available through June 30, 2013, and funding must be appropriated each year.|
|Pipline Safety Rule (Tennessee)||Tennessee||Safety and Operational Guidelines|
Siting and Permitting
|Yes||State/Province||The Pipeline Safety Rule simply states, "The Minimum Federal Safety Standards for the transportation of natural and other gas by pipeline (Title 49, Chapter 1, Part 192) as published in the Federal Register Vol. 35, number 161 shall be the standard for use by gas transmission and distribution within the state of Tennessee." It also states "the present American Standard Code for Pressure Piping, Gas Transmission and Distribution Piping System (ASA- B 31.8), and all supplements and amendments thereto, shall be used to supplement this rule insofar as the same does not conflict with part 192."|
|Purchased Gas Adjustment Rules (Tennessee)||Tennessee||Generating Facility Rate-Making|
|Yes||State/Province||The Purchased Gas Adjustment Rules are implemented by the Tennessee Regulatory Authority (Authority). Purchased Gas Adjustment (PGA) Rules are intended to permit the company/LDC (local gas distribution company regulated by the Authority) to recover, in timely fashion, the total cost of gas purchased for delivery to its customers and to assure that the Company does not over-collect or under-collect Gas Costs from its customers.
These Rules are intended to apply to all Gas Costs incurred in connection with the purchase, transportation and/or storage of gas purchased for general system supply, including, but not limited to, natural gas purchased from interstate pipeline transmission companies, producers, brokers, marketers, associations, intrastate pipeline transmission companies, joint ventures, providers of liquefied natural gas (LNG), liquefied petroleum gas (LPG), substitute, supplemental or synthetic natural gas (SNG), and other hydrocarbons used as feed-stock, other distribution companies and end-users, whether or not the Gas Costs are regulated by the Federal Energy Regulatory Commission and whether or not the provider of the gas, transportation or storage is affiliated with the Company.
The rates for gas service set forth in all of the Rate Schedules of the Company shall be adjusted pursuant to the terms of the PGA, or any specified portion of the PGA as determined by individual Rate Schedule(s). The PGA shall consist of three major components: (a) the Gas Charge Adjustment; (b) the Refund Adjustment and (c) the Actual Cost Adjustment (ACA).No provisions of these rules shall supersede any provision of a special contract approved by the Authority.
|Qualifying RPS State Export Markets (Tennessee)||Tennessee||Renewables Portfolio Standards and Goals||Yes||State/Province||This entry lists the states with Renewable Portfolio Standard (RPS) policies that accept generation located in Tennessee as eligible sources towards their RPS targets or goals. For specific information with regard to eligible technologies or other restrictions which may vary by state, see the RPS policy entries for the individual states, shown below in the Authority listings. Typically energy must be delivered to an in-state utility or Load Serving Entity, and often only a portion of compliance targets may be met by out-of-state generation. In addition to geographic and energy delivery requirements, ownership, registry, and other requirements may apply, such as resource eligibility, generator vintage and capacity limitations, as well as limits on Renewable Energy Certificate (REC) vintage. The listing applies to RPS Main Tiers only, and excludes solar or distributed generation that may require interconnection only within the RPS state. This assessment is based on energy delivery requirements and reasonable transmission availability. Acceptance of unbundled RECs varies. There may be additional sales opportunities in RPS states outside the Eastern Interconnection. REC prices in markets with voluntary goals (North Dakota, South Dakota) may be lower.|
|Regulations For Electric Companies (Tennessee)||Tennessee||Generating Facility Rate-Making|
|Yes||State/Province||The Regulations for Electric Companies are under the Authority of the Tennessee Regulatory Authority, which is the public service branch of the state government. These regulations establish the records electricity providers are required to keep and submit. It requires that all electricity sold by a utility shall be on the basis provided in the required filed rates. All sales of electricity shall be on the basis of meter measurement except when other basis is provided in the filed rates or when the nature of the usage is such that the consumption may be readily computed. Each dwelling unit and commercial unit in a multi unit residential building, mobile home park or commercial building shall have a separate electric meter unless otherwise specified. These regulations outline the relationship between the customer and utilities and set forth the rules for billing and terminating service. Each utility shall develop a plan, acceptable to the Authority, for extensions of facilities, where they are in excess of those included in the regular rates for service and for which the customer shall be required to pay all or part of the cost. This plan must be related to the investment that prudently can be made for the probable revenue. The electric plant of a utility shall be constructed, installed, maintained and operated in accordance with accepted good engineering practice in the electric industry (National Electrical Safety Code, National Electric Code, American Standard Code for Electricity Meters ASA C-12.1, American Standard Requirements, Terminology and Test Code for Instrument Transformers ASA C57.13; all latest editions). Every meter and/or associated device shall be inspected and tested in accordance with the standards contained in American National Standards for Electric Meters - ANSI C.12.1, before being placed in service, and the accuracy of each meter shall be certified to be within the tolerances permitted by rule 1220-4-4.38. Post installation service tests are to be performed within 60 days of installation. These regulations also outline the voltage limits, standard frequency and the recording requirements/testing standards for these. These regulations also cover the Public Utility Regulatory Policy Act of 1978 (PURPA), which allow an eligible intervener to submit an application to the Authority. An intervener who wishes to eligible under PURPA must submit the following to the Authority: consumer interest represented by the intervention, outline the general nature of the consumer's expected participation and anticipated budget, an affidavit stating that, but for an award of fees and costs, participation will be a significant financial hardship to the consumer and be served on all affected utility companies and other known parties and interveners to the proceeding. The Authority will determine eligibility and reimbursement payment plans.|
|Regulations For Gas Companies (Tennessee)||Tennessee||Environmental Regulations|
Safety and Operational Guidelines
|Yes||State/Province||The Regulations for Gas Companies, implemented by the Tennessee Regulatory Authority (Authority) outline the standards for metering, distribution and electricity generation for utilities using gas. They follow the same equipment, metering reporting and customer relations standards as the Regulations for Electric Companies. In addition to these requirements these regulations outline purity requirements, pressure limits, piping requirements, odorization requirements, welder requirements, leak reporting requirements/maintenance procedures. The Natural Gas Pipeline Safety Act of 1968 (49 U.S.C. 1671) and the Hazardous Liquid Pipeline Safety Act of 1979 (49 U.S.C. 2001) are the basis of piping regulations for these rules. The current American National Standards Institute, Gas Transmission and Distribution Pumping System (ANSI-B 31.8) are also applicable but the federal laws take priority.|
|Rule of Tennessee Department of Conservation Division of Surface Mining (Tennessee)||Tennessee||Environmental Regulations|
Siting and Permitting
|Yes||State/Province||The Division of Surface Mining, under the authority of the Department of Environment and Conservation, has established rules specific to the mining of coal. All coal mining operations must first obtain a National Pollution Discharge Elimination System Permit (NPEDS) from the Division of Water Pollution Control (WPC). In addition they must obtain a state mining Surface Mining Permit from the Division of Water Pollution Control, Mining Section (form #CN-1097). The operator of the mine is responsible for submitting an annual report to the WPC.
The following regulations are specific to coal mining operations: All toxic or acid-producing materials shall be properly handled and segregated within the pit. After removal of the coal, the faces of coal seams, the bottom of the pit, and all toxic materials, waste coal, metal, lumber, and other mining refuse shall be covered with spoil to a compacted depth of at least four (4) feet. However, the coal seam may, instead, be covered by a permanent water impoundment if the impoundment is part of the mining and reclamation plan approved by the Commissioner; Any breakthrough to an underground mine must be reported. If any water drains from the underground mine, the Water Quality Control Division of the Department of Public Health and the Knoxville Office of the Surface Mining Division or the Inspector shall be notified as soon as possible, but at least within twenty-four (24) hours, and temporary corrective measures started immediately. No mining, placement of spoil, or associated activity will be permitted within one hundred (100) feet horizontal distance of any stream, except that roads may be constructed within one hundred (100) feet of a stream where such roads are part of the approved mining and reclamation plan and in special circumstances, such as where head-of-hollow fill plans have been approved by the Commissioner; The water flow from the mine area and haul roads shall be controlled to minimize soil erosion, damage to other lands, and pollution of streams or other waters. This may include construction of checks, impoundments, silt-trap dams, and water bars in conjunction with other control measures as required. All sediment control structures shall be constructed according to criteria contained in the Drainage Handbook for Surface Mining provided by the Department of Conservation; The Tennessee Water Quality Control Act of 1970, TCA 70-324 et seq., requires that all runoff or pumped discharges must be covered by a discharge permit from the Division of Water Quality Control if the quality of the water is or may be altered in any way. All discharges or runoff must meet the water quality standards promulgated by the Water Quality Control Division.Coal operators are allowed to blow up to 1000 vertical feet of fully forested mountaintops as long as they agree to replace them with piles of rock and rubble and sediment ponds. The decision to attempt to grow trees on reclaimed sites in Tennessee is left up to the Federal Office of Surface Mining, on a permit-by-permit basis.
|Rules Governing Water and Wastewater Operator Certification (Tennessee)||Tennessee||Environmental Regulations|
Siting and Permitting
|Yes||State/Province||The Rules Governing Water and Wastewater Operator Certification are applicable to all projects that will require a water treatment site. Everyone who plans to operate a wastewater or water treatment facility must be certified by the state, and must pass an exam administered by the Board of Water and Wastewater.|
|Rural Small Business and Entrepreneurship Loan Fund (Tennessee)||Tennessee||Loan Program||Yes||State/Province||Applicants must meet the following criteria to eligible for a loan:
Existing and Start-up Business in Tennessee (including part-time and home-based businesses) Business has fewer than 10 employees including the owners Located in rural Tennessee (as defined by the USDA) To determine if your business is located in an eligible rural area, visit USDA Eligibility. Click "Accept" on the property eligibility disclaimer and enter your personal and business address. Intended Use of Loans - Our loans can be used for the following: .Business expansion .Equipment and machinery .Inventory or working capital .Tenant improvements - remodeling, painting, signage, etc..Commercial business vehicle
|Safe Dams Act of 1972 (Tennessee)||Tennessee||Environmental Regulations|
Siting and Permitting
|Yes||State/Province||The Safe Dams Act of 1973 (SDA) gives the Commissioner of the Department of Environment and Conservation the power to issue certificates authorizing the construction, alteration, or operation of a dam. A dam is defined as any artificial barrier, together with appurtenant works, which does or may impound or divert water, and which either (1) is or will be twenty (20) feet or more in height from the natural bed of the stream or watercourse at the downstream toe of the barrier, as determined by the Commissioner, or (2) has or will have an impounding capacity at maximum water storage elevation of thirty (30) acre-feet or more. Provided, however, that any such barrier which is or will be less than six (6) feet in height, regardless of storage capacity, or which has or will have a maximum storage capacity not in excess of fifteen (15) acre-feet, regardless of height, shall not be considered a dam, nor shall any barrier, regardless of size, be considered a dam, if, in the judgment of the Commissioner, such barrier creates an impoundment used only as a farm pond. Certificates to construct, alter, and/or operate a dam are required for each activity. Certifications for construction and alteration are only valid for a single construction event or one year after issuance; operating and alteration certificates will not be valid for more than 5 years. New dams must following design standards outlined in the Act. Engineering requirements must also be met. Dams are categorized based on size (small, intermediate, large) and hazard potential (category 1, category 2, category 3).|
|Sales Tax Credit for Clean Energy Technology (Tennessee)||Tennessee||Sales Tax Incentive||Yes||State/Territory||Tenn. Code Ann. Section 67-6-346 allows a taxpayer to take a credit, to apply for a refund of taxes paid, or to apply for authority to make tax-exempt purchases of machinery and equipment used to produce electricity in a certified green energy production facility. A certified green energy production facility is a facility certified by the Department of Environment and Conservation as producing electricity for use and consumption off the premises using clean energy technology. Clean energy technology is technology used to generate electricity from geothermal, hydrogen, solar, or wind sources.
A contractor who is installing pollution control or green energy machinery and equipment must file an application with the department and must attach a copy of the contract to its application. The taxpayer who hires a contractor must also file an application with the department. If both applications are approved, authority to purchase tax exempt will be extended to the contractor for the certified green energy production facility project described in the application. If taxes have been paid, the approved application will be used to support a refund or credit directly to the taxpayer.
|Sales and Use Tax Credit for Emerging Clean Energy Industry (Tennessee)||Tennessee||Industry Recruitment/Support||Yes||State/Territory||In June 2009, Tennessee enacted the Tennessee Clean Energy Future Act of 2009 and expanded its Sales and Use Tax Credit for Emerging Industries to manufacturers of clean energy technologies on the sale or use of qualified tangible personal property. The Sales and Use Tax is reduced to 0.5% for clean energy technology manufacturers. Clean energy technologies are defined as those that result in energy efficiency and technologies that use biomass, geothermal, hydrogen, hydropower, landfill, solar, and wind to generate energy. Qualifying manufacturers must make a minimum $100 million investment, create and maintain 50 full-time jobs for 10 years that pay 150% above the Tennessee occupational average wage, and the taxpayer must be subject to the franchise and excise taxes.|
The taxpayer must submit an application to the Department of Revenue to be certified as a qualified facility. Both the Department of Revenue and Department of Economic and Community Development must determine that the allowance of the credit is in the best interests of the state. Once approved as a qualified facility, the taxpayer must submit a claim for credit and documentation that the sales and use tax has been paid on qualified tangible property. Qualified property includes building materials, machinery, and equipment used in the qualified facility and purchased (or leased) during the investment period. The Department of Revenue will then provide a determination to the taxpayer on the amount and how to take the credit.
|Solid Waste Disposal, Hazardous Waste Managemen Act, Underground Storage Actl (Tennessee)||Tennessee||Environmental Regulations|
Siting and Permitting
|Yes||State/Province||The Solid Waste Disposal Laws and Regulations are found in Tenn. Code 68-211. These rules are enforced and subject to change by the Public Waste Board (PWB), which is established by the Division of Solid and Hazardous Waste Management. Any person wishing to operate a solid waste processing or disposal facility must obtain a permit from the Commissioner of the Department.
The Solid Waste Management Act of 1991 is the overall authority. The Act delegates the power enforce actions with the purpose of achieving goals to local govern to local governments, who elect representatives to sit on the board.If a facility or person generates more than 100 KG (220 pounds) of hazardous waste or more than 1 KG (2.2 pounds) of acutely hazardous waste in any calendar month they must notify the State of Tennessee using the Hazardous Waste Notification Form (#HN-H - CN909). Persons who wish to dispose of special waste in a permitted landfill or have the special waste processed in a permitted processing facility require a special waste approval from the Tennessee Division of Solid Waste Management (SWM) using Special Waste Evaluation Application (#CN-1051). Examples of special wastes are sludges, metal finishing particles, incinerator ash, process filters, medical wastes, sandblast grind media and paint chips. Persons who have stored petroleum in an Underground Storage Tank after January 1, 1974, or who bring a new underground storage tank system into use must notify the Tennessee Division of Underground Storage Tanks (UST) using the Notification for Underground Storage Tanks (CN-0911). Any information received from the EPA regarding permitting including ID #s must be submitted to the Department.
|Southeast Interstate Low-Level Radioactive Waste Management Compact (Multiple States)||Alabama|
|Environmental Regulations||Yes||State/Province||The Southeast Interstate Low-Level Radioactive Waste Management Compact is administered by the Compact Commission. The Compact provides for rotating responsibility for the region's low-level radioactive waste, and the Commission can set rules for waste disposal in the region.|
|Southern States Energy Compact (Multiple States)||Alabama|
United States Virgin Islands
|Yes||State/Province||The Southern States Energy Compact provides for the proper employment and conservation of energy, and for the employment of energy-related facilities, materials, and products, within the context of a responsible regard for the environment, among the Southeastern states, Puerto Rico, and the U.S. Virgin Islands. The Southern States Energy Board is responsible for administering the Compact and may adopt bylaws, rules, and regulations in conjunction with state agencies. The Board also encourages the development, conservation, and responsible use of energy and energy-related facilities, installations, and products as part of a balanced economy and a healthy environment.|
|TVA - Green Power Providers (Tennessee)||Tennessee||Performance-Based Incentive||Yes||Utility||Tennessee Valley Authority (TVA) and participating power distributors of TVA power offer a performance-based incentive program to homeowners and businesses for the installation of renewable generation systems from the following qualifying resources: PV, wind, hydropower, and biomass. The long term Green Power Providers program replaces the Generation Partners* pilot program. The energy generated from these renewable generation systems will count towards TVA's green power pricing program, Green Power Switch.
**Prices reflect Premium Rates for 2014 Calendar Year and are applicable for agreements executed and dated by TVA on or after January 1, 2014 but on or prior to December 31, 2014.
|TVA - Mid-Sized Renewable Standard Offer Program (Tennessee)||Tennessee||Performance-Based Incentive||Yes||Utility||NOTE: TVA has issued additional 100 MW of capacity for Renewable Standard Offer (RSO) program for 2015. Applications for new projects will open starting January 2, 2015.
Before approval, the seller must provide TVA with project financing arrangements, interconnection agreements between the seller and either TVA or a Distributor, and TVA metering installation plans at an environmentally acceptable location. The participating power producer is responsible for interconnection, performance assurance, and application costs. TVA, or an approved third party, will also perform an environmental review at the seller’s cost.
|Tennessee Air Quality Act (Tennessee)||Tennessee||Environmental Regulations|
Siting and Permitting
|Yes||State/Province||The Tennessee Air Quality Act (AQA) delegates the power to maintain air quality in the State to the Department of Environment and Conservation. Under the Department of the Environment and Conservation the Division of Air Pollution Control is directed to maintain the purity of the air resources of the State of Tennessee consistent with the protection of normal health, general welfare, and physical property of the people while preserving maximum employment and enhancing the industrial development of the State. The AQA is a comprehensive set of permitting requirements, environmental regulations, siting criteria, pollution standards and air quality standards that have an effect on all new energy activities. The AQA establishes the Division of Air Pollution Control as the authority to issue permits required under this act. The following permits are required for any project: Construction Permit (#CN-0730 - APC 20), New Construction Operating Permit if emitting less than 10 tons per year (#CN-0730 - APC 20), Title V operating Permit (CN-1007). In addition Fuel Burning Source Description Forms (#CN-0741 - APC 21) and Emission Point Description Forms (Form #CN-9742 - APC 22) are required for most projects.|
|Tennessee Small Business Investment Company Credit Act (Tennessee)||Tennessee||Corporate Tax Incentive|
Sales Tax Incentive
|Yes||State/Province||The Tennessee Small Business Company Credit Act offers $120 million in gross premiums tax credits to insurance companies that invest in companies certified by the State of Tennessee as TNInvestcos. Utilizing standardized criteria, Tennessee Department of Economic and Community Development (ECD) and the Tennessee Department of Revenue, in conjunction with the Tennessee Technology Development Corporation, will begin to award the credits to eligible companies in $20 million credit allocations no later than December 31, 2009.|
|Tennessee Water Resources Information Act (Tennessee)||Tennessee||Environmental Regulations||Yes||State/Province||The Tennessee Water Resources Information Act is designed to prevent the lowering of the ground water table by requiring that adequate information is obtained to document current demand for water and to project growth in that demand. No person shall withdraw 10,000 or more gallons of water per day from surface water or a groundwater source unless the withdrawal is registered and approved by the Commissioner of the Department of Environment and Conservation. The Water Withdrawal Registration Act is a part of the Tennessee Water Resources Information Act.|
|The Emerging Industry Sales and Use Tax Credit||Tennessee||Personal Tax Incentives|
Sales Tax Incentive
|Yes||State/Province||The Emerging Industry Sales and Use Tax Credit allows a taxpayer to take a credit, to apply for a refund of taxes paid, or to apply for authority to make tax-exempt purchases of machinery and equipment used to produce electricity in a certified green energy production facility. A certified green energy production facility is a facility certified by the Department of Environment and Conservation as producing electricity for use and consumption off the premises using clean energy technology. Clean energy technology is technology used to generate electricity from geothermal, hydrogen, solar, or wind sources. The credit is equal to 6.5% of the 7% state sales and use tax paid to Tennessee on the sale or use of qualified tangible personal property. To be eligible a facility must invest a minimum of $100 million of capital in the emerging industry project, and create at least 50 new full-time jobs paying 150% of Tennessee’s average occupational wage. A contractor who is installing pollution control or green energy machinery and equipment must file an application with the department and must attach a copy of the contract to its application. The taxpayer who hires a contractor must also file an application with the department. If both applications are approved, authority to purchase tax exempt will be extended to the contractor for the certified green energy production facility project described in the application. If taxes have been paid, the approved application will be used to support a refund or credit directly to the taxpayer.|
|The Industrial Machinery Tax Credit (Tennessee)||Tennessee||Corporate Tax Incentive||Yes||State/Province||The Industrial Machinery Tax Credit provides tax savings from equipment investments dependent upon the size investment made during the period. To qualify for this credit, companies are not required to create new jobs. This incentive may be used to offset up to 50% of the company’s F&E tax liability. Any unused Industrial Machinery Tax Credit may be carried forward for up to 15 years. For capital investments less than $100,000,000 the % of credit is 1%, for $100,000,000-$250,000,000 it is 3%, for $250,000,000-500,000,000 it is 5% for $500,000,000-$1,000,000,000 it is 7%, for $1,000,000,000+ it is 10%. The investment period for the Industrial Machinery Credit is 3 years, but may be expanded to 5 years for businesses investing less than $1 billion and to 7 years for businesses investing $1 billion or more.|
|The Rural Opportunity Initiative Enhanced Job Tax Credit (Tennessee)||Tennessee||Corporate Tax Incentive|
Personal Tax Incentives
|Yes||State/Province||The Rural Opportunity Initiative Enhanced Job Tax Credit program provides enhanced job tax credits to businesses locating or expanding in certain Tennessee counties considered Tier 2 or Tier 3 Enhancement Counties, which are rural areas targeted for economic development. If a qualified business enterprise locates or expands in a Tier 2 or Tier 3 Enhancement County, the company will be eligible for an annual Enhanced Job Tax Credit of $4,500 for each qualified job, provided that the job remains filled during the year in which the credit is being taken. The annual credit may be used to offset up to 100% of the company's total franchise and excise (F&E) tax liability each year for a three-year period in Tier 2 counties and a five-year period in Tier 3 counties.|
|Water Quality Control Act (Tennessee)||Tennessee||Environmental Regulations|
Siting and Permitting
|Yes||State/Province||The Water Quality Control Act (WQCA) establishes the water pollution control program. The WQCA identifies the responsibilities and extent of authority for the Commissioner of the Water Quality Control Board. The WQCA establishes the concept of clean water goals and water quality planning and assessment. The WQCA provides for a permitting program for discharges to, or alterations of, water of the state. The Act also has an antidegredation statement protecting high quality surface waters.
Every person who is planning to conduct an activity that may result in the discharging of any chemical or substance regulated under the federal Clean Water Act must have a valid permit from the Water Quality Control Board (WQCB). Permits are valid for a maximum of 5 years. Permittee must comply with monitoring, recording, reporting and inspection requirements. Under the Water Quality Control Act you must obtain the following permits (more may be applicable): Aquatic Resource Alteration Permit (ARAP)/Section 401 certification, NPDES (national pollutant discharge elimination system) and State Operating Permits, Stormwater General Permit, Surface Mining Permit. The ARAP permit is required for any projects that will physically alter the surface waters of the state. A valid ARAP has the appropriate language to be used as a 401 certification.
For coal the following permitting rules apply: No permit shall be issued that would allow removal of coal from the earth from its original location by surface mining methods or surface access points to underground mining within one hundred feet of the ordinary high water mark of any stream or allow overburden or waste materials from removal of coal from the earth by surface mining of coal to be disposed of within one hundred feet of the ordinary high water mark of a stream; provided, however, that a permit may be issued or renewed for stream crossings, including, but not limited to, rail crossings, utilities crossings, pipeline crossings, minor road crossings, for operations to improve the quality of stream segments previously disturbed by mining and for activities related to and incidental to the removal of coal from its original location, such as transportation, storage, coal preparation and processing, loading and shipping operations within one hundred feet of the ordinary high water mark of a stream if necessary due to site-specific conditions that do not cause the loss of stream function and do not cause a discharge of pollutants in violation of water quality criteria; Without limiting the applicability of this section, if the commissioner determines that surface coal mining at a particular site will violate water quality standards because acid mine drainage from the site will not be amenable to treatment with proven technology both during the permit period or subsequent to completion of mining activities, the permit shall be denied.
Any individual who discharges hydrostatic test water to the waters of Tennessee must file for coverage under the Division of Water Pollution Control General NPDES Permit for Discharges of Hydrostatic Test Water (#CN-1262). This includes discharges from new, unused facilities or operating facilities including, but not limited to, boilers, pipelines, flowlines, storage tanks used for the transportation or storage of natural gas, crude oil, or liquid or gaseous petroleum hydrocarbons.Operators of construction sites involving clearing, grading or excavation that result in an area of disturbance of one or more acres, and activities that result in the disturbance of less than one acre if it is part of a larger common plan of development or sale must obtain an NPDES stormwater construction permit (#CN-1173) and complete and submit a notice of intent (#CN-0940).
|Wind Energy Systems Exemption (Tennessee)||Tennessee||Property Tax Incentive||No||State/Territory||Tennessee House Bill 809, enacted into law in Public Chapter 377, Acts of 2003 and codified under Title 67, Chapter 5, states that wind energy systems operated by public utilities, businesses or industrial facilities shall not be taxed at more than one-third of their total installed cost. This law applies to the initial appraisal and subsequent appraisals of wind energy systems, based on a reduced generation capacity of 2/3 due to intermittent production. Assessors and the comptroller takes the 1/3 capacity factor findings into account when assigning value when the property is appraised or reappraised.|