Utility Districts

All utility districts must file their annual operating budgets with the Office of State and Local Finance, pursuant to TCA § 4-3-305(b)(2). Annual budgets must be balanced and districts must generate sufficient revenues to be self-sufficient and to meet other statutory requirements. A district’s board must take official action to adopt its annual budget. We recommend adoption of a resolution as the board’s action.

Any utility district that has issued debt under the authority of Title 7, Chapter 82, Part 5 of the Tennessee Code Annotated must adopt a balanced annual operating budget prior to the beginning of its fiscal year that identifies all anticipated revenues by source and all anticipated expenses by type of expense, including debt service. The budget must be submitted to this Office immediately upon adoption for review.

The following information must be included in the submission:

  • Cover letter on the Utility District's letterhead (complete contact information should be included);
  • The Board’s resolution adopting the budget or the approved minutes of the meeting at which the Board adopted the budget;
  • The budget document adopted by the Board that identifies all anticipated revenues by source and all anticipated expenses by type of expense, including debt service; and
  • A current schedule of outstanding debt including principal and interest payments for the budgeted year.

The budget will be reviewed to ensure that revenues are sufficient to cover cash expenses. If the budget is balanced, the district will receive a report of the budget review for publication.

The report must be published once in a newspaper of general circulation in the county of the principal office of the utility district, and any other counties that it serves, during the week following the date the report was received. Please send a copy of the published report to this office.

Budget Resources

Checklist for Budget Submission – Utility Districts

Model Budget Resolution – Utility Districts

Guidance for Political Subdivisions with a Defined Benefit Pension Plan that do not participate in the Tennessee Consolidated Retirement System (TCRS)


Office of State and Local Finance Contact Information

Utility Districts: A-F
Lori Barnard, Financial Analyst
615-747-5347 Lori.Barnard@cot.tn.gov
Utility Districts: G-N
Steve Osborne, Senior Financial Analyst
615-747-5343 Steve.Osborne@cot.tn.gov
Utility Districts: O-Z
Ron Queen, Senior Financial Analyst
615-401-7862 Ron.Queen@cot.tn.gov

Tennessee Laws, Rules and Regulations

Tennessee Code Annotated
Tennessee Public and Private Acts
Tennessee Rules and Regulations