Amends TCA Title 49, Chapter 1; Title 49, Chapter 2; Title 49, Chapter 3 and Title 67, Chapter 6.

This bill creates a Tennessee rapid growth school district fund (the "fund") to provide moneys through capital improvement grants to LEAs with a minimum average growth of 2 percent in average daily membership (ADM) over the five fiscal years immediately preceding fiscal year 2021-2022. This bill requires the treasurer to deposit in the fund all moneys, not to exceed $30 million, appropriated in the 2021-2022 general appropriations act. Moneys from the fund must be used for public school-related debt service or public school-related capital improvements. This bill requires the department of education to administer the fund and the capital improvement grants awarded from the fund. The grants will be awarded to Tennessee rapid growth school districts that apply for a grant based on the following: (1) No grant may be awarded to an LEA with less than 2 percent ADM growth; (2) Consideration of the number and condition of the buildings in an LEA may be considered, along with other factors that the commissioner of education finds relevant; (3) No grant may exceed $7 million; (4) As a condition of grant eligibility, an LEA must have adopted a formal school capital improvement plan for fiscal year 2021-2022 that specifies the manner by which moneys from a capital improvement grant are to be incorporated into the funding of the capital improvement plan and the plan must be adopted by the body responsible for approving indebtedness for the LEA; and (5) Any unawarded funds remaining in the fund at the end of fiscal year 2021-2022 will revert to the general fund.