Merit Institute Merit

The Tennessee Merit-Based Education & Workforce Reform Act (TN-MEWRA)

Tennessee state companion to MEWRA. Builds on the statewide Education Freedom Scholarship ESA (Tenn. Code Ann. Title 49 Ch. 6 Part 26, 2024), the Tennessee charter-school framework, and the THEC outcomes-based funding formula.

THE TENNESSEE MERIT-BASED EDUCATION & WORKFORCE REFORM ACT (TN-MEWRA)

Vehicle: State passage. Tennessee General Assembly, regular session. Primary referral to House Education Administration / K-12 Subcommittee and Senate Education Committee; higher-education provisions to House / Senate Higher Education; fiscal to House Finance, Ways and Means and Senate Finance, Ways and Means.

Relationship to federal MEWRA: Tennessee companion creating a Tennessee Outcome-Based School Authorizer pathway and tying the statewide Education Freedom Scholarship ESA and TDLWD Individual Training Accounts to outcome-published providers.

SECTION 1. SHORT TITLE

This Act may be cited as the “Tennessee Merit-Based Education & Workforce Reform Act (TN-MEWRA).”

SECTION 2. LEGISLATIVE FINDINGS AND INTENT

The General Assembly finds that Tennessee enacted the statewide Education Freedom Scholarship Act under Tenn. Code Ann. Title 49 Ch. 6 Part 26 (2024); that Tennessee’s charter-school framework operates under Tenn. Code Ann. Title 49 Ch. 13; that the Tennessee Public Charter School Commission serves as a statewide authorizer under Ch. 13 Part 1; that THEC operates the nation’s first comprehensive postsecondary Outcomes-Based Funding Formula under Tenn. Code Ann. Sec. 49-7-202 and the Complete College Tennessee Act of 2010; that TDLWD administers Individual Training Accounts through 9 Local Workforce Development Areas under Tenn. Code Ann. Title 50 Ch. 7; and that the Tennessee Department of Education publishes school performance under the Tennessee Comprehensive Assessment Program framework and school-letter-grade system under Tenn. Code Ann. Sec. 49-1-228. This Act extends these frameworks.

TITLE I — DEFINITIONS & COORDINATION WITH TENNESSEE LAW

Sec. 101. Definitions

  1. (a) “Tennessee outcome-based school” means a provisional school authorized under Title II by the Tennessee Outcome-Based School Authorizer (“TN-OBSA”).
  2. (b) “EFS” means the Education Freedom Scholarship Program established under Tenn. Code Ann. Title 49 Ch. 6 Part 26.
  3. (c) “TDLWD ITA” means an Individual Training Account issued under Tenn. Code Ann. Title 50 Ch. 7.
  4. (d) “Federal NLMF” means the National Labor-Market Feedback registry under Title III of the federal MEWRA.

Sec. 102. Coordination with Existing Tennessee Law

  1. (a) This Act shall be construed consistently with:
  • Tenn. Code Ann. Title 49 Ch. 6 Part 26 (Education Freedom Scholarship).
  • Tenn. Code Ann. Title 49 Ch. 13 (charter schools).
  • Tenn. Code Ann. Sec. 49-7-202 (THEC outcomes-based funding).
  • Tenn. Code Ann. Title 49 Ch. 4 (Tennessee Promise; Tennessee Reconnect).
  • Tenn. Code Ann. Title 50 Ch. 7 (TDLWD; workforce services).
  • Tenn. Code Ann. Sec. 49-1-228 (school letter grades).

TITLE II — TENNESSEE OUTCOME-BASED SCHOOL AUTHORIZER

Sec. 201. Establishment of TN-OBSA

  1. (a) The Commissioner of Education shall designate, within the Department of Education, a Tennessee Outcome-Based School Authorizer (“TN-OBSA”) operating alongside the Tennessee Public Charter School Commission.
  2. (b) TN-OBSA shall authorize provisional schools without requiring accreditation by any regional accrediting body, provided the standard in Sec. 202 is met.

Sec. 202. Outcome-Based Authorization Standard

  1. (a) Authorization requires publication of the outcome metrics required by Sec. 401 in machine-readable form.
  2. (b) Schools shall satisfy the facilities, safety, and background-check standards applicable under Tenn. Code Ann. Title 49 Ch. 13.
  3. (c) Authorization shall be for an initial term of four years, renewable based on outcome thresholds published by TN-OBSA.

TITLE III — EDUCATION-FUND PORTABILITY

Sec. 301. Education Freedom Scholarship Extension

  1. (a) A Tennessee outcome-based school authorized under Title II is eligible as a Category 1 or Category 2 participating school under the Education Freedom Scholarship Program under Tenn. Code Ann. Title 49 Ch. 6 Part 26, provided it meets the Program’s other participating-school requirements.
  2. (b) The Department of Education, as EFS administrator, shall treat Title II-authorized schools on the same footing as other participating schools for administrative purposes.

Sec. 302. TDLWD Individual Training Accounts

  1. (a) TDLWD shall ensure that, not later than 24 months after the effective date of this Act, at least 50 percent of Individual Training Account disbursements flow to providers that publish outcome data in the TN-OBSA Registry under Sec. 401 or the Federal NLMF.
  2. (b) Implementation shall occur through the Tennessee Eligible Training Provider List under 29 U.S.C. Sec. 3152 and Tenn. Code Ann. Title 50 Ch. 7.

TITLE IV — PUBLISHED OUTCOME METRICS

Sec. 401. Tennessee Outcome-Metrics Registry

  1. (a) TN-OBSA shall publish a Tennessee Outcome-Metrics Registry reporting, for each authorized provisional school: completion rate; one-year and three-year post-completion earnings medians; post-completion licensure, TNRMC, or Federal FRAC attainment.
  2. (b) Data sources shall include the Tennessee Longitudinal Data System under Tenn. Code Ann. Sec. 49-1-701 et seq., and TDLWD wage-record data to the extent permitted by Tennessee and federal law.

Sec. 402. Coordination with the Federal NLMF

  1. (a) The Registry shall be crosswalked to the Federal NLMF.
  2. (b) Nothing in this Title authorizes disclosure of personally identifiable student data except as permitted by Tenn. Code Ann. Sec. 10-7-504 and 20 U.S.C. Sec. 1232g (FERPA).

TITLE V — ENFORCEMENT & REMEDIES

Sec. 501. Non-Compliant Provider Remedies

  1. (a) A provisional school failing to publish required outcome metrics, or publishing materially false metrics, shall be subject to:
  • Suspension of EFS participating-school eligibility.
  • Suspension from the TN-OBSA Registry.
  • Administrative penalty not to exceed $500,000 per willful violation, consistent with schedule applicable to charter-school enforcement under Tenn. Code Ann. Title 49 Ch. 13.
  1. (b) This Section does not create a private right of action.

TITLE VI — IMPLEMENTATION & GENERAL PROVISIONS

Sec. 601. Severability

If any provision of this Act is held invalid, the invalidity shall not affect the remainder.

Sec. 602. Effective Date

This Act shall take effect July 1 of the year following enactment.

Canonical federal version: MEWRA. Other Tennessee bills: TN-ACSA, TN-GT&P, TN-AI-Workforce.