On January 29, 2025, the Tennessee State Legislature introduced Senate Bill 480, officially titled the "Tennessee Property Rights Protection Act." This legislation aims to redefine the concept of "blighted areas" within the state, a term that has significant implications for property rights and local governance.

The primary purpose of Senate Bill 480 is to narrow the definition of "blighted property," which is crucial for determining when local housing authorities can exercise their power of eminent domain. Under the proposed amendments, "blighted property" is specifically defined as real property that has been inspected and cited for multiple enforceable housing, maintenance, or building code violations that pose safety risks to occupants or the public. The bill outlines specific structural and safety criteria that must be met for a property to be classified as blighted, including issues related to roofs, foundations, fire protection, and internal utilities. Furthermore, properties must remain non-compliant after two notices to cure the violations before they can be deemed blighted.

The introduction of this bill has sparked notable discussions among lawmakers and stakeholders. Proponents argue that the legislation will protect property owners from unjust seizures by local authorities, ensuring that only properties with serious, unaddressed safety violations can be classified as blighted. Critics, however, express concerns that the new definition may hinder local governments' ability to address deteriorating neighborhoods effectively, potentially leading to increased urban decay.

The economic implications of Senate Bill 480 are significant, as it could affect property values and the ability of municipalities to revitalize struggling areas. By limiting the circumstances under which properties can be condemned, the bill may also influence local development strategies and funding allocations for housing improvements.

As the bill progresses through the legislative process, experts anticipate further debates regarding its potential impact on community development and property rights. The outcome of Senate Bill 480 could set a precedent for how blight is defined and managed in Tennessee, shaping the future of urban planning and property rights in the state.