Mefo Bills: A Historical Embodiment of Modern Monetary Theory Principles

Abstract

Mefo bills, a financial instrument employed by Nazi Germany from 1934 to 1938, have traditionally been understood as a clandestine mechanism for deficit spending to fund rearmament while evading Reichsbank lending limits, which were capped at 100 million Reichsmarks, and Versailles Treaty scrutiny. By April 1938, approximately 12 billion Reichsmarks were outstanding, rivaling the 19 billion in official bonds. These bills expanded the money supply through a state-guaranteed, interest-bearing (4%) quasi-currency that circulated among firms and was unconditionally rediscounted at the Reichsbank. Viewed through the lens of Modern Monetary Theory, Mefo bills reveal structural parallels: sovereign credit creation funding priorities beyond taxes, constrained by real resources rather than solvency concerns. This paper delineates their mechanics, highlights their functional equivalence to MMT principles, and discusses the economic implications of off-books credit expansion.

1. Introduction

Modern Monetary Theory posits that currency-issuing sovereigns face no financial constraint in funding government priorities. Spending creates money ex nihilo, while taxes primarily function to control inflation and shape demand. Deficits expand net private assets if productive resources are available. Mefo bills, devised by Reichsbank President Hjalmar Schacht, mirror this logic. A shell company, Metallurgische Forschungsgesellschaft m.b.H. (MEFO), capitalized at 1 million Reichsmarks by arms manufacturers such as Krupp, issued promissory notes to pay government contractors. These notes were backed by the Reich and rediscountable at the Reichsbank, effectively bypassing legal restrictions on direct government borrowing. By 1938, approximately 12 billion Reichsmarks in Mefo bills had been issued, representing a peak deficit impulse of roughly 20-25 percent of GDP. This policy drove unemployment from 25 percent to near-zero by 1938, without immediate consumer inflation due to strong output growth and price controls. Although not legal tender, Mefo bills were functionally monetary, as firms frequently discounted them for wages and supplier payments, injecting Reichsmarks into the broader economy.

2. Mefo Bills: Structure and Function

Armaments firms received six-month Mefo bills, extendable up to five years, for Reich orders. MEFO, a shell company, accepted the bills and paid 4 percent interest. Holders could trade the bills among firms, discount them at commercial banks for cash, or redeem them at the Reichsbank, which provided unconditional rediscounting. Key structural features included:

• State-backed claims functioning as money: Mefo bills were negotiable like commercial paper, yet backed by the Reich, allowing them to circulate as quasi-currency in the industrial sector.

• Financing beyond revenue: The 12 billion Reichsmarks issued between 1934 and 1938 vastly exceeded the 100 million Reichsmark legal lending limit. New bills could pay off maturing ones, effectively allowing indefinite rollovers.

• Concealment: Mefo bills were off-books, hidden from public view and international scrutiny, until 1938. This allowed rapid rearmament without immediate inflationary effects.

• Liquidity injection: Approximately half of the bills were discounted for wages and supplier payments, spreading purchasing power into the broader economy while delaying inflationary pressure.

The limitations on Mefo bills—sectoral focus and termination in 1938—were administrative and political decisions, not structural constraints.

3. Modern Monetary Theory: Conceptual Framework

Modern Monetary Theory argues that a sovereign government issuing its own currency is unconstrained by revenue. Spending occurs first, creating money; taxes follow to manage inflation and redistribute resources. Deficits expand private net financial assets when productive resources are available. Rollovers of obligations can be perpetual, provided the real economy absorbs spending. MMT highlights the role of inflation and real resource limits as the true constraints, rather than solvency.

4. Structural Equivalence of Mefo Bills and MMT

The functional parallels between Mefo bills and MMT principles are clear:

Feature	Mefo Bills	MMT (Sovereign Fiat)
Mechanism	State-backed promissory notes, Reichsbank-monetized	State-issued fiat currency (reserves, keystrokes)
Purpose	Fund government priorities (rearmament) beyond revenue	Fund government priorities beyond revenue
Duration	Rolled 6 months → 5 years; indefinite structurally	Perpetual rollovers possible via issuance or central bank operations
Constraints	Real resources, output capacity, political tolerance	Real resources, inflation; taxes control excess demand
Political leverage	Bypassed budget scrutiny and lending bans	Budgets serve as policy instruments; no solvency constraint

Addressing Critiques

• Deferred, conditional claims: Mefo bills were functionally monetary as they circulated in business networks and were redeemable at the Reichsbank.

• Closed industrial network: While initially limited, discounting and wage payments injected funds broadly, indirectly reaching consumers.

• Reichsbank dependence: Monetization through the Reichsbank ensured that the bills functioned as state-backed credit, effectively equivalent to central bank financing in MMT terms. Differences, such as opacity and sectoral focus, reflect historical contingency rather than structural limitation.

5. Implications

Viewing Mefo bills through an MMT lens demonstrates:

1. Governments can operate beyond revenue constraints if sovereign credit is available.

2. Technocratic decisions about capacity, as exemplified by Schacht’s administration, shape the real limits of such systems.

3. Inflation serves as the primary economic check, rather than legal or political limits.

4. Off-books, state-backed credit can sustain significant economic mobilization, with output and price stability maintained until real capacity is reached.

Mefo bills, if continued indefinitely, could have financed governance and militarization beyond traditional budgetary limits, constrained primarily by real resources and output.

6. Conclusion

Mefo bills embody the principles now formalized as Modern Monetary Theory. Though historically temporary, sector-specific, and politically constrained, they structurally demonstrate how state-issued credit can fund government priorities independently of taxation. Recognizing their equivalence to MMT enriches our understanding of economic history and highlights the enduring power of sovereign credit mechanics.

References (Selected)

Alesina, A., & Ardagna, S. (2010). Large Changes in Fiscal Policy. Tax Policy and the Economy.

Blanchard, O. (2019). Public Debt and Low Interest Rates. American Economic Review.

Borio, C. (2014). The Financial Cycle and Macroeconomics. BIS Quarterly Review.

Hein, E., & Truger, A. (2010). Modern Monetary Theory and Its Implications. Journal of Post-Keynesian Economics, 32(2), 301–328.

Jordà, Ò., Schularick, M., & Taylor, A. (2015). Leveraged Bubbles. Journal of Monetary Economics.

Kelton, S. (2020). The Deficit Myth. PublicAffairs.

North, D. (1990). Institutions, Institutional Change, and Economic Performance. Cambridge University Press.

Peacock, A., & Wiseman, J. (1961). The Growth of Public Expenditure. Princeton University Press.

Tooze, A. (2006). The Wages of Destruction: The Making and Breaking of the Nazi Economy. Penguin.

Wikipedia. “Mefo bills / MEFO” (citing primary sources, Nuremberg EC-436).

Haas, et al. (2024). “The Mefo Operation.” SSRN. 

Sovereign Credit, Affordability, And The Crisis Ratchet

 Abstract

This paper examines the institutional consequences of sovereign credit systems operating under conditions of broad discretionary authority. While often justified as tools of macroeconomic stabilization, sovereign credit mechanisms increasingly function as structural substitutes for explicit taxation, reshaping fiscal discipline, monetary credibility, and democratic accountability. Drawing on insights from Austrian economics, public choice theory, institutional economics, and related traditions, the paper argues that unconstrained sovereign credit generates predictable governance pathologies independent of ideological intent. Historical evidence and contemporary cases illustrate how crisis-driven expansions of fiscal and monetary discretion tend to persist beyond their originating emergencies, producing a ratchet effect that normalizes opacity and weakens constitutional constraints. The convergence of concerns across diverse economic schools suggests that the challenge posed by sovereign credit is not technical but institutional, rooted in the incentives created by discretionary power rather than in specific policy errors or partisan choices.

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I. Introduction

Modern states increasingly rely on sovereign credit as a primary mechanism for financing public activity. Although often framed as a temporary response to extraordinary conditions, the use of discretionary fiscal and monetary expansion has become a normalized feature of governance in advanced economies. Official rhetoric frequently emphasizes restraint, sustainability, or eventual normalization, yet institutional practice reflects persistent expansion and consolidation of discretionary authority.

This paper argues that sovereign credit has evolved from an episodic policy tool into a structural feature of modern political economy. Its operation produces predictable effects on asset prices, affordability, inequality, and political incentives. These outcomes are not aberrations but the logical consequences of discretionary finance operating within democratic systems that face continual pressure to respond to perceived crises.

The analysis proceeds without attributing malign intent. Instead, it examines how institutional incentives, information asymmetries, and crisis dynamics interact to produce durable expansions of state capacity that are difficult to reverse.

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II. Sovereign Credit as an Institutional Mechanism

Sovereign credit refers to the capacity of the state to mobilize resources through borrowing and monetary expansion without immediate taxation. In contemporary systems, this capacity is mediated through central banks, treasury issuance, and financial markets that treat sovereign obligations as foundational collateral.

Low interest rates and deep capital markets create the appearance of fiscal space, encouraging policymakers to treat credit expansion as a low-cost alternative to taxation. Research by Blanchard and Borio has shown that this environment weakens traditional debt constraints, particularly when monetary authorities implicitly or explicitly support government borrowing.

This pattern echoes earlier episodes, including wartime finance and the departures from gold convertibility in the 1930s. What distinguishes the post-1971 environment is the permanence of full discretion. Credit expansion no longer requires formal suspension of rules. It is embedded within the routine operations of the state.

Sovereign credit does not operate in isolation. It magnifies preexisting structural constraints by capitalizing them into asset prices. However, its effects are systemic, nationwide, and often international, particularly within a global financial system anchored to the United States dollar and reinforced by parallel practices among other major currency blocs, with variations in institutional design.

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III. Affordability, Asset Inflation, and Distributional Effects

A central consequence of sustained sovereign credit expansion is the inflation of asset prices relative to incomes. Extensive empirical literature links prolonged credit growth to rising valuations in housing, equities, and other assets. Jordà, Schularick, and Taylor demonstrate that credit-driven expansions disproportionately inflate asset markets, increasing financial fragility and inequality.

These dynamics contribute directly to affordability crises. Housing, education, and healthcare costs rise faster than wages, particularly for non-asset-holding households. The affordability crisis is primarily caused by market distortions resulting from economic intervention by government. Sovereign credit amplifies these distortions by lowering discount rates and increasing demand for scarce assets.

The resulting distributional effects align with the Cantillon effect identified by Austrian economists but are also recognized across multiple schools. Early recipients of newly created credit benefit disproportionately, while later recipients face higher prices without commensurate income gains. These outcomes persist regardless of stated policy goals.

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IV. Crisis, Discretion, and the Ratchet Effect

Crises play a central role in legitimizing discretionary expansion. Few modern crises are organic or spontaneous. Most emerge from prior interventions that generate instability, fragility, or misallocation. When crises materialize, they are treated as exogenous shocks requiring immediate action.

The political response to crisis tends to follow a consistent pattern. Emergency measures are adopted, discretionary authority expands, and institutional boundaries blur. Once the crisis subsides, the expanded powers rarely fully retract. Peacock and Wiseman identified this ratchet effect in public expenditure, a phenomenon later extended by Higgs to broader institutional growth.

The 2020 to 2022 pandemic response provided a vivid illustration. Coordinated fiscal and monetary expansion on an unprecedented scale stabilized incomes and financial markets. It also contributed to subsequent asset and consumer price inflation and established new precedents for direct transfers and expansive lender-of-last-resort operations. These precedents now form part of the baseline expectations for future crises.

Retrenchment remains possible, but historically contingent and politically costly. Its rarity reflects institutional incentives rather than technical impossibility.

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V. Converging Warnings Across Economic Traditions

Concerns regarding sovereign credit are not confined to any single school of thought.

Austrian economists emphasize malinvestment, distorted price signals, and intertemporal miscoordination arising from artificial credit conditions.

Chicago School economists focus on time inconsistency, credibility, and the erosion of policy rules under discretionary regimes.

Public choice theorists highlight incentive misalignment, rent-seeking, and the tendency for policymakers to externalize costs through inflation and debt.

Institutional economists emphasize path dependence, opacity, and the difficulty of reversing established practices once embedded in governance structures.

Post-Keynesian and Modern Monetary Theory scholars accurately describe the operational realities of sovereign finance, but often understate the political and distributive risks inherent in discretionary calibration.

The convergence of concerns across these traditions does not imply agreement on remedies, only on the risks inherent in unconstrained discretion.

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VI. Opacity, Denial, and Democratic Tension

A defining feature of sovereign credit systems is opacity. The complexity of modern finance obscures the true incidence of costs, allowing policymakers to deny or minimize the consequences of credit expansion. Public statements frequently reject the existence of monetary financing or distributional effects, even as empirical evidence accumulates.

Opacity serves a stabilizing function by limiting immediate political backlash. It also undermines democratic accountability by preventing informed consent. Describing this stabilizing role is not a defense of it, but an acknowledgment of an unresolved contradiction within modern democratic governance.

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VII. Political Alignment and the Paradox of Advocacy

A central paradox emerges from the political economy of sovereign credit. The constituencies most harmed by affordability crises and inequality often support political movements that favor expanded public provisioning. When explicit taxation proves insufficient or politically infeasible, sovereign credit becomes the residual funding mechanism.

This dynamic contributes to political instability. As affordability worsens, public demand for intervention intensifies. Each intervention reinforces reliance on discretionary finance, deepening the underlying structural pressures. The result is a self-reinforcing cycle rather than a corrective process.

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VIII. Crisis as Opportunity Rather Than Necessity

Crises do not inherently demand intervention. They create opportunities for intervention. The repeated pattern of predictable outcomes challenges the claim that negative consequences are unintended. While motives need not be imputed, public choice analysis provides a framework for understanding why discretionary responses persist despite prior failures.

Past performance is a strong indicator of future performance. The recurrence of crisis-driven expansion suggests that sovereign credit is not merely a response to instability but a contributor to its reproduction.

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IX. Conclusion

Sovereign credit has become the de facto funding mechanism of modern governance. Its persistence reflects institutional incentives, political pressures, and the difficulty of maintaining constraints under discretionary regimes. The system is effective in mobilizing resources and stabilizing markets in the short term. It is also corrosive to affordability, distributional equity, and constitutional accountability over time.

The central challenge identified in this paper is institutional rather than technical. The normalization of discretion, reinforced by crisis dynamics and opacity, weakens the credibility of commitments and the transparency required for democratic legitimacy. Collapse is not inevitable, but correction requires confronting the structural incentives that sustain the current equilibrium.

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References (Selected)

Alesina, A., and Ardagna, S. Large Changes in Fiscal Policy. Tax Policy and the Economy, 2010.

Blanchard, O. Public Debt and Low Interest Rates. American Economic Review, 2019.

Borio, C. The Financial Cycle and Ma

Abolish The FBI

On July 24, 2024, former FBI Director Christopher Wray testified before the Judiciary Committee of the US House of Representatives. Some of the key themes of his testimony include the following:

1. Threat Environment

   • Wray emphasized that the threat level is “elevated,” particularly from lone actors motivated by domestic ideologies or foreign influence.

   • He raised concerns about threats to public officials, law enforcement, and infrastructure.

2. Political Violence

   • Stressed the FBI’s commitment to investigating and preventing acts of political violence from any ideological spectrum.

   • Highlighted domestic violent extremists (DVEs) as a growing concern.

3. Election Security

   • Wray described ongoing work to counter foreign election interference and protect critical election infrastructure.

   • FBI is working with CISA, state officials, and social media companies.

4. January 6 & Domestic Extremism

   • Defended the FBI’s investigations into January 6 participants as law-based and nonpartisan.

   • Rejected characterizations that the Bureau unfairly targets conservatives.

5. FISA Abuse & Reform

   • Acknowledged past misuses of FISA (esp. in Crossfire Hurricane).

   • Claimed the Bureau has implemented over 40 corrective reforms.

6. Weaponization Allegations

   • Denied that the FBI is "weaponized" against political opponents.

   • Argued it follows the law and does not open investigations based on political beliefs.

7. Churches and Catholics

   • Responded to concerns over an FBI memo labeling some Catholics as potential extremist risks, calling it an isolated case from one field office.

8. Social Media and Censorship

   • Claimed the FBI does not direct platforms to censor content, but rather flags foreign disinformation as part of national security duties.
     
     

Here is his complete testimony

There are notable discrepancies between Director Wray’s July 2024 testimony and public documentary evidence and watchdog reports. Here's a breakdown of key areas where tensions arise:

1. FISA Compliance & “Reforms”

• What Wray said: He emphasized that the FBI has implemented over 40 corrective reforms since the Crossfire Hurricane FISA abuse, stressing improved compliance and discipline on Section 702 misuse. Rev+9Department of Justice+9YouTube+9Rev+8Federal Bureau of Investigation+8Default+8

• Watcher evidence:

  • The DOJ Inspector General (IG) found 17 “basic and fundamental” errors or omissions in FISA applications, including misrepresentations regarding Carter Page’s status with the CIA — issues happening before Wray’s tenure, though the results were ongoing. Wikipedia+1Wikipedia+1

  • In a follow‑up DOJ self-review, they admitted one material error and over 200 non‑material ones across a sample of 29 applications. Though the DOJ claimed these didn't invalidate the warrants, the volume of mistakes raises concerns. Default

👁️ The discrepancy: Wray portrays broad corrective action, but oversight reports indicate deep-rooted systemic issues and continued errors—even if mostly minor.

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2. Use of Informants on January 6

• What Wray claimed: He stated emphatically that “we found no evidence” of FBI sources “stoking” the January 6 attack, and had not orchestrated events. Rev+2Congress.gov+2New York Post+2

• What watchdogs reported:

  • The DOJ IG confirmed at least 26 FBI informants were present that day; some engaged in illegal acts like entering the Capitol, though none directed violence.

  • The IG also noted inaccurate reporting to Congress: no “canvassing” was done ahead of Jan. 6 despite claims to the contrary. New York Post

👁️ The nuance: Wray’s denial focuses on “orchestrated” wrongdoing, but it doesn't fully confront the fact that FBI informants were physically inside Capitol spaces and that internal coordination with Congress was misrepresented.

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3. Political Neutrality & Censorship Claims

• What Wray emphasized: He firmly denied that the FBI is “weaponized” or targets political opponents, describing investigations like January 6 as legally and ideologically neutral.

• Counterpoints from whistleblowers:

  • Internal complaints—such as one memo calling pro-life Catholics “extremists”—suggest potential bias at local field offices. Wray described that as an isolated incident, though more whistleblowers allege broader politicization. New York PostRev

• FISA politicization:

  • The IG’s Crossfire Hurricane findings detailed oversight failures and poor FISA practices, many fearing these errors tracked along ideological lines even if direct political intent wasn't proven. Office of the Inspector General+11America First Policy Institute+11Wikipedia+11

👁️ The tension: While Wray presents a clear narrative of neutrality and reform, oversight findings and whistleblower complaints suggest internal culture and systems may still be vulnerable to political influence.

___________________________________________________________________________________

Bottom Line

Director Wray conveyed a strong message of reform, neutrality, and professionalism. Yet IG reports and internal evidence highlight persistent compliance gaps, inconsistent fact-reporting, and potential ideological infiltration at the field level. While Wray’s statements are largely accurate, they can gloss over ongoing operational and cultural challenges within the FBI’s internal systems.

___________________________________________________________________________________

Director Wray, politicians and other defenders of the FBI have made arguments for the necessity of maintaining the FBI. Their primary arguments include the following:

National Security & Counterterrorism

• The FBI is essential for preventing terrorist attacks (domestic and foreign).
• It has unique tools for disrupting plots via surveillance, informants, and FISA.

Cybercrime & Counterintelligence

• FBI claims to be the lead agency defending against foreign influence (China, Russia, Iran) and major cyber intrusions (e.g., ransomware, infrastructure hacks).

Public Corruption & Civil Rights

• The Bureau often highlights its role in rooting out public corruption, hate crimes, and civil rights abuses (e.g., bad cops, voting interference, human trafficking).

Coordination Hub

• It acts as a bridge between federal, state, and local law enforcement — especially through Joint Terrorism Task Forces (JTTFs), fusion centers, and training programs.

___________________________________________________________________________________

Introduction

Most Americans rarely question the necessity of the Federal Bureau of Investigation. Yet the FBI’s history, documented extensively by investigative journalists such as James Bovard, reveals a pattern of abuse, politicization, and systemic failure. Remarkably, even the Bureau’s own defenders, like former Director Christopher Wray, inadvertently make the case against it. Wray’s July 2024 testimony before Congress, meant to reassure Americans of the FBI’s integrity and effectiveness, instead underscores why the Bureau is beyond reform. His own words provide a compelling foundation for abolition.

I. The Elevated Threat Environment: Failure, Not Justification

Wray emphasized that the threat environment is elevated, citing domestic extremism and foreign influence. Yet time and again, the FBI has failed to prevent the very attacks it was created to stop: 9/11, the Boston Marathon bombing, the Pulse nightclub shooting, and the Parkland school massacre, among others. In each case, the FBI had prior knowledge or warning signs but failed to act. An agency that demands deference because of threats it consistently fails to stop has no claim to necessity. Its failures are systemic, not incidental.

II. FISA Reforms: A Record of Recidivism

Wray touted 40+ reforms to the FBI’s FISA process, following repeated abuses in surveillance of American citizens. But this only proves how deeply flawed the Bureau is. The Department of Justice Inspector General found dozens of material errors and omissions, even after previous "reforms." The FBI's misuse of FISA against Carter Page wasn't an anomaly; it was emblematic of a bureaucracy that views legal boundaries as optional. How many rounds of reform are required before we admit the institution is unreformable?

III. Political Neutrality: Rhetoric vs. Reality

Wray claimed the Bureau investigates threats "without regard to ideology." Yet whistleblowers, internal memos, and investigative journalism reveal disproportionate scrutiny of political dissent on the right, including labeling Catholic traditionalists as potential extremists and targeting parents at school board meetings. The FBI’s selective enforcement of the law betrays its political tilt. Even if unintended, the structure of the Bureau makes ideological abuse inevitable.

IV. Historical Patterns of Abuse

James Bovard and others have documented the FBI’s long record of abuses, from COINTELPRO and the surveillance of Martin Luther King Jr., to the entrapment of dissidents, manipulation of media, and false prosecutions like those of Richard Jewell and Steven Hatfill. These are not anomalies; they are features of an agency with secret courts, unchecked surveillance powers, and a culture of impunity. Each decade promises reform. Each decade repeats the same crimes.

V. Bureaucratic Evasion and Arrogance

Wray’s testimony also reflects the FBI’s culture of insulation. When confronted with criticism, the Bureau deflects: accusations are conspiratorial, oversight is politicized, reform is always just around the corner. This bureaucratic arrogance is not incidental. It is the product of secrecy, lack of accountability, and legal exceptionalism.

VI. Decentralization, Not Consolidation

Defenders of the FBI argue it coordinates law enforcement and combats cyber threats. But these tasks can be handled by specialized or localized agencies without federal political entanglement. The U.S. Marshals, DHS, state and local law enforcement, and even private cybersecurity firms already fill these roles. Centralization has created unaccountable power. Decentralization restores transparency, responsiveness, and constitutional balance.

Conclusion

Director Wray’s testimony was meant to defend the Bureau. But if this is the best case the FBI can make for itself—a record of failure, politicization, and permanent reform cycles—then the problem is not who runs it. The problem is that it exists at all. Abolishing the FBI is not a partisan cause. It is a constitutional imperative rooted in history, prudence, and the preservation of liberty.

Problems with the FBI documented by James Bovard

Revision of The Constitution of the State of Tennessee

Preamble 

We, the Delegates and Representatives of the people of the State of Tennessee, duly elected, and in Convention assembled, in pursuance of said Act of Assembly, have ordained and established the following Constitution and form of government for this State, which we recommend to the people of Tennessee for their ratification: That is to say

  

ARTICLE I.

Declaration of Rights. 

Section 1.              That all power is inherent in the people, and all free governments are founded on their authority, and instituted for their peace, safety, and happiness; for the advancement of those ends they have at all times, an unalienable and indefeasible right to alter, reform, or abolish the government in such manner as they may think proper. 

Section 2.              That government being instituted for the common benefit, the doctrine of nonresistance against arbitrary power and oppression is absurd, slavish, and destructive of the good and happiness of mankind. 

Section 3.              That all men have a natural and indefeasible right to worship according to the dictates of their own conscience; that no man can of right be compelled to attend, erect, or support any place of worship, or to maintain any minister against his consent; that no human authority can, in any case whatever, control or interfere with the rights of conscience; and that no preference shall ever be given, by law, to any religious establishment or mode of worship. 

Section 4.              That no political or religious test, other than an oath to support the Constitution of the United States and of this State, shall ever be required as a qualification to any office or public trust under this State. 

Section 5.              The elections shall be free and equal, and the franchise of voting, as hereinafter declared, shall never be denied to any person entitled thereto, except upon a conviction by a jury of some felony crime, previously ascertained and declared by law, and judgment thereon by court of competent jurisdiction or due to a mental incapacity previously ascertained by a court of competent jurisdiction. 

Section 6.              That the right of trial by jury shall remain inviolate, and no religious or political test shall ever be required as a qualification for jurors. 

Section 7.              That the people shall be secure in their persons, houses, papers and possessions, from unreasonable searches and seizures; and that general warrants, whereby an officer may be commanded to search suspected places, without evidence of the fact committed, or to seize any person or persons not named, whose offences are not particularly described and supported by evidence, are dangerous to liberty, and shall not to be granted. 

Section 8.              That no man shall be taken or imprisoned, or disseized of his freehold, liberties or privileges, or outlawed, or exiled, or in any manner destroyed or deprived of his liberty or property, but by the judgment of his peers and the law of the land. 

Section 9.              That in all criminal prosecutions, the accused hath the right to be heard by himself and his counsel; to demand the nature and cause of the accusation against him, and to have a copy thereof, to meet the witnesses face to face, to have compulsory process for obtaining witnesses in his favor, and in prosecutions by indictment or presentment, a speedy public trial, by an impartial jury of the County in which the crime shall have been committed, and shall not be compelled to give evidence against himself. 

Section 10.          That no person shall, for the same offence, be twice put in jeopardy of life or limb. 

Section 11.          That laws made for the punishment of acts committed previous to the existence of such laws, and by them only declared criminal, are contrary to the principles of a free Government; wherefore no Ex post facto law shall be made. 

Section 12.          That no conviction shall work corruption of blood or forfeiture of estate. The estate of such persons as shall destroy their own lives shall descend or vest as in case of natural death. If any person be killed by casualty, there shall be no forfeiture in consequence thereof. 

Section 13.          That no person arrested and confined in jail shall be treated with unnecessary rigor. 

Section 14.          That no person shall be put to answer any criminal charge but by presentment, indictment or impeachment. 

Section 15.          That no person shall be convicted of a criminal offense unless both a voluntary act or omission and a culpable mental state, defined as criminal intent, knowledge, or recklessness, have been proven beyond a reasonable doubt. No criminal law shall be enacted unless it includes one of these levels of culpability as an essential element of the offense. 

Section 16.          That all prisoners shall be bailable by sufficient sureties, unless for capital offences, when the proof is evident, or the presumption great. And the privilege of the writ of Habeas Corpus shall not be suspended. 

Section 17.          That excessive bail shall not be required, nor excessive fines imposed, nor cruel and unusual punishments inflicted. 

Section 18.          That all courts shall be open; and every man, for an injury done him in his lands, goods, person or reputation, shall have remedy by due course of law, and right and justice administered without sale, denial, or delay. Suits may be brought against the State in such manner and in such courts as the General Assembly may by law direct. 

Section 19.          The General Assembly shall pass no law authorizing imprisonment for debt in civil cases. 

Section 20.          That the press shall be free to every person to examine the proceedings of the General Assembly; or of any branch or officer of the government, and no law shall ever be made to restrain the right thereof. The free communication of thoughts and opinions, is one of the invaluable rights of man and every citizen may freely speak, write, and print on any subject, being responsible for the abuse of that liberty. But in prosecutions for the publication of papers investigating the official conduct of officers, or men in public capacity, the truth thereof may be given in evidence; and in all indictments for libel, the jury shall have a right to determine the law and the facts, under the direction of the court, as in other criminal cases. 

Section 21.          That no retrospective law, or law impairing the obligations of contracts, shall be made. 

Section 22.          That the property of no man shall be taken, or applied to public use, without the consent of his representatives and without just compensation being made therefore. Public use shall not include either private use or benefit, or the indirect public benefits resulting from private economic development and private commercial enterprise, including increased tax revenue and increased employment opportunity. 

Section 23.          That perpetuities and monopolies are contrary to the genius of a free State, and shall not be allowed. 

Section 24.          That the citizens have a right, in a peaceable manner, to assemble together for their common good, to instruct their representatives, and to apply to those invested with the powers of government for redress of grievances, or other proper purposes, by address or remonstrance. 

Section 25.          That the sure and certain defense of a free people, is a well-regulated militia; and, as standing armies in time of peace are dangerous to freedom, they ought to be avoided as far as the circumstances and safety of the community will admit; and that in all cases the military shall be kept in strict subordination to the civil authority.

Section 26.          That no citizen of this State, except such as are employed in the army of the United States, or militia in actual service, shall be subjected to punishment under the martial or military law. That martial law, in the sense of the unrestricted power of military officers, or others, to dispose of the persons, liberties or property of the citizen, is inconsistent with the principles of free government, and is not confided to any department of the government of this State. 

Section 27.          That the citizens of this State have a right to keep and to bear arms except in consequence of a conviction for violent crimes committed against persons or upon an adjudication of incapacity. 

Section 28.          That no soldier shall, in time of peace, be quartered in any house without the consent of the owner. 

Section 29.          That no citizen of this State shall be compelled to bear arms. 

Section 30.          That an equal participation in the free navigation of the Mississippi, is one of the inherent rights of the citizens of this State; it cannot, therefore, be conceded to any prince, potentate, power, person or persons whatever. 

Section 31.          That no hereditary emoluments, privileges, or honors, shall ever be granted or conferred in this State. 

Section 32.          That the limits and boundaries of this State be ascertained, it is declared they are as hereafter mentioned, that is to say: Beginning on the extreme height of the Stone Mountain, at the place where the line of Virginia intersects it, in latitude thirty-six degrees and thirty minutes north; running thence along the extreme height of the said mountain, to the place where Watauga river breaks through it; thence a direct course to the top of the Yellow Mountain, where Bright’s road crosses the same; thence along the ridge of said mountain, between the waters of Doe river and the waters of Rock creek, to the place where the road crosses the Iron Mountain; from thence along the extreme height of said mountain, to the place where Nolichucky river runs through the same; thence to the top of the Bald Mountain; thence along the extreme height of said mountain to the Painted Rock on French Broad river; thence along the highest ridge of said mountain, to the place where it is called the Great Iron or Smoky Mountain; thence along the extreme height of said mountain to the place where it is called Unicoi or Unaka Mountain, between the Indian towns of Cowee and Old Chota; thence along the main ridge of the said mountain to the southern boundary of this state, as described in the act of cession of North Carolina to the United States of America; and that all the territory, lands and waters lying west of said line, as before mentioned, and contained within the chartered limits of the state of North Carolina, are within the boundaries and limits of this state, over which the people have the right of exercising sovereignty, and the right of soil, so far as is consistent with the Constitution of the United States, recognizing the Articles of Confederation, the Bill of Rights and Constitution of North Carolina, the cession act of the said State, and the ordinance of Congress for the government of the territory north west of Ohio; Provided, nothing herein contained shall extend to affect the claim or claims of individuals to any part of the soil which is recognized to them by the aforesaid cession act; And provided also, that the limits and jurisdiction of this State shall extend to any other land and territory now acquired, or that may hereafter be acquired, by compact or agreement with other States, or otherwise, although such land and territory are not included within the boundaries herein before designated. 

Section 33.          That the erection of safe prisons, the inspection of prisons, and the humane treatment of prisoners, shall be provided for. 

Section 34.          Slavery shall not exist in the State of Tennessee and the General Assembly shall make no law recognizing the right of property in man. 

Section 35.          To preserve and protect the rights of victims of crime to justice and due process, victims shall be entitled to the following basic rights:

(a). The right to confer with the prosecution.

(b). The right to be free from intimidation, harassment and abuse throughout the criminal justice system.

(c). The right to be present at all proceedings where the defendant has the right to be present.

(d). The right to be heard, when relevant, at all critical stages of the criminal justice process as defined by the General Assembly.

(e). The right to be informed of all proceedings, and of the release, transfer or escape of the accused or convicted person.

(f). The right to a speedy trial or disposition and a prompt and final conclusion of the case after the conviction or sentence.

(g). The right to restitution from the offender.

(h). The right to be informed of each of the rights established for victims. The General Assembly has the authority to enact substantive and procedural laws to define, implement, preserve and protect the rights guaranteed to victims by this section. 

Section 36.          Nothing in this Constitution secures or protects a right to abortion or requires the funding of an abortion. The people retain the right through their elected representatives in the General Assembly to enact, amend, or repeal statutes regarding abortion, including, but not limited to, circumstances of pregnancy resulting from rape or incest or when necessary to save the life of the mother. 

Section 37.          That no person shall be deprived of their right to life as punishment for any criminal act. 

 

ARTICLE II.

Legislative Department. 

Section 1.              The Legislative authority of this State shall be vested in a General Assembly, which shall consist of a Senate and House of Representatives. Representatives shall hold office for three years and Senators for nine years from the day of the general election, except that the Speaker of the Senate and the Speaker of the House of Representatives, each shall hold their office as Speaker for three years or until their successor is elected and qualified. 

Section 2.              The Senate shall be composed of thirty-three members. The Senators shall be elected for terms of nine years from single-member districts established by law. The Senate districts shall be divided into three classes, each class consisting of one district from each representative district, so arranged that one Senator from each representative district shall be elected every third year. Senators shall be elected by the qualified voters of their respective districts at the general election, using a single-round voting system, whether ranked or scored, that provides for the selection of a majority-supported candidate through an instant runoff or equivalent method, in such manner as shall be prescribed by law. 

Section 3.              After each decennial census made by the Bureau of the Census of the United States is available, the General Assembly shall have the boundaries of the thirty-three Senate districts established and revised. Such districts shall be contiguous and compact and shall contain, as nearly as practicable, substantially equal numbers of inhabitants, and shall be drawn without the purpose of favoring or disfavoring any political group or candidate. The eleven representative districts shall be formed by grouping three contiguous Senate districts, and no separate apportionment or redistricting of representative districts shall be required. 

Section 4.              The House of Representatives shall consist of ninety-nine members, with nine members elected from each of the eleven representative districts according to the principles of proportional representation. 

Section 5.              Elections for the House of Representatives shall be conducted using a proportional voting method that allocates the nine seats in each district in a manner that reflects the distribution of voter preferences, so that distinct groups of voters receive representation in proportion to their share of the vote; does not rely on plurality, winner-take-all, or block voting systems that prevent proportional outcomes; and is designed to minimize wasted votes and to promote fair and effective representation for the electorate. 

Section 6.              At each triennial general election, held on the first Tuesday after the first Monday in November, all Representatives shall be elected by the qualified voters. On the same day, the Senators from those districts whose terms expire shall be elected by the qualified voters of their respective districts in the manner prescribed in this Article. All such elections shall be conducted and concluded on the day of the election in such manner as may be prescribed by law. 

Section 7.              Legislative Sessions—The General Assembly shall meet in organizational session on the second Tuesday in January next succeeding the election of the members of the House of Representatives. The General Assembly shall remain in session for organizational purposes not longer than fifteen consecutive calendar days, during which session no legislation shall be passed on third and final consideration. Thereafter, the General Assembly shall meet on the first Tuesday next following the conclusion of the organizational session unless the General Assembly by joint resolution of both houses sets an earlier date. The General Assembly may by joint resolution recess or adjourn until such time or times as it shall determine. It shall be convened at other times by the Governor as provided in Article III, Section 12, or by the Speakers of both Houses at the written request of two-thirds of the members of each House. 

Section 8.              No person shall be a Representative unless the person shall be a citizen of the United States, of the age of twenty-one years, and shall have been a citizen of this State for three years, and a resident in the district the person represents one year, immediately preceding the election. 

Section 9.              No person shall be a Senator unless the person shall be a citizen of the United States, of the age of thirty years, and shall have resided three years in this State, and shall have resided one year in the district the person represents immediately preceding the election. No Senator or Representative shall, during the time for which the person was elected, be eligible to any office or place of trust, the appointment to which is vested in the Executive or the General Assembly; provided, that notwithstanding any other provision of this Constitution, a member of the House of Representatives may be appointed to and serve as a principal officer of the Government, and may retain his or her seat in the House during continuance in such office. 

Section 10.          The Senate and House of Representatives, when assembled, shall each choose a speaker and its other officers; be judges of the qualifications and election of its members, and sit upon its own adjournments from day to day. Not less than a majority of all the members to which each house shall be entitled shall constitute a quorum to do business; but a smaller number may adjourn from day to day, and may be authorized, by law, to compel the attendance of absent members. 

Section 11.          Each House may determine the rules of its proceedings, punish its members for disorderly behavior, and, with the concurrence of two-thirds, expel a member, but not a second time for the same offence; and shall have all other powers necessary for a branch of the legislature of a free State. 

Section 12.          Senators and representatives shall, in all cases, except treason, felony, or breach of the peace, be privileged from arrest during the session of the General Assembly, and in going to and returning from the same; and for any speech or debate in either House, they shall not be questioned in any other place. 

Section 13.          Each House may punish, by imprisonment, during its session, any person not a member, who shall be guilty of disrespect to the House, by any disorderly or any contemptuous behavior in its presence. 

Section 14.          When the seat of any member of the Senate becomes vacant, such vacancy shall be filled by a special election for the remainder of the unexpired term. The election shall be held using the same ranked or scored voting system with instant runoff or equivalent method prescribed for the election of Senators. The General Assembly shall provide by law for the prompt calling and holding of such special elections, consistent with the prompt restoration of representation. 

Section 15.          House Vacancies.

When the seat of any member of the House becomes vacant, the vacancy shall be filled as follows: 

(a) A successor shall be chosen in a manner that preserves, to the extent practicable, the proportional representation of voters in the district as determined at the most recent general election. The method of filling vacancies shall be prescribed by general law and shall be consistent with the proportional voting method established under Section 5. 

(b) The method prescribed by law may include the recounting or reallocation of ballots from the most recent election, the designation of unelected candidates in order of continuing preference or list position, or such other procedures as are necessary to maintain proportionality. 

(c) A special election may be held only if no lawful method exists by which the vacancy may be filled while maintaining, to a substantial degree, the proportional representation of the district as determined at the most recent general election. 

(d)   Only a qualified voter of the district represented shall be eligible to succeed to the vacant seat. 

Section 16.          Neither House shall, during its session, adjourn without the consent of the other for more than three days, nor to any other place than that in which the two Houses shall be sitting. 

Section 17.          The Senate may convene in special session for the sole purpose of considering nominations requiring its advice and consent under this Constitution. 

During such session, no bill, joint resolution, or measure having the force of law shall be introduced, considered, or acted upon.

The authority to convene such session shall rest exclusively with the Senate, in such manner as it may provide by rule. 

No other business shall be conducted during a session convened pursuant to this Section.

A session convened pursuant to this Section may proceed concurrently with any session convened by the Governor pursuant to Article III, Section 12, and the business of each such session shall remain separate and distinct. 

Section 18.          Bills may originate in either House; but may be amended, altered or rejected by the other. No bill shall become a law which embraces more than one subject, that subject to be expressed in the title. All acts which repeal, revive or amend former laws, shall recite in their caption, or otherwise, the title or substance of the law repealed, revived or amended. 

Section 19.          Bills may also originate by an initiative of the people whenever proposed by an application containing the bill to be initiated. The application shall be signed by not less than one hundred qualified voters as sponsors, and shall be filed with the Secretary of State. If he finds it in proper form he shall so certify. Denial of certification shall be subject to judicial review. 

After certification of the application, a petition containing a summary of the subject matter shall be prepared by the Secretary of State for circulation by the sponsors. If signed by qualified and registered voters who are equal in number to at least three per cent (3%) of those who voted in the preceding general election, one-third of whom shall be from each of the three grand divisions of the state, it shall be considered by each House of the General Assembly but may be amended, altered or rejected by either. No bill initiated by petition shall become a law which embraces more than one subject, that subject to be expressed in the title. All acts which repeal, revive or amend former laws, shall recite in their caption, or otherwise, the title or substance of the law repealed, revived or amended. 

Section 20.          No bill shall become law unless it has been considered and passed on three different days in each House and on third and final consideration has received the assent of a majority of all the members to which each House is entitled under this Constitution, the respective speakers have signed the bill with the date of such signing appearing in the Journal, and the bill has been approved by the Governor, or has become law by reason of the Governor's failure to act within the time prescribed by Article III, Section 18 of this Constitution. 

Section 21.          After a bill has been rejected, no bill containing the same substance shall be passed into a law during the same session. 

Section 22.          When a bill passed by the House of Representatives is rejected by the Senate, or is not acted upon before the end of the session in which it was received, and the same bill, certified by the Secretary of State to be identical to the bill previously rejected or not acted upon, is passed again by the House in a subsequent session and is again rejected by the Senate or not acted upon before the end of that session, the House of Representatives may thereafter pass such bill by the affirmative vote of two-thirds of all the members to which it is entitled, whereupon the bill shall be presented to the Governor as though passed by both Houses. 

Section 23.          The style of the laws of this state shall be, “Be it enacted by the General Assembly of the State of Tennessee.” No law of a general nature shall take effect until forty days after its passage unless the same or the caption thereof shall state that the public welfare requires that it should take effect sooner. 

Section 24.          Each House shall keep a journal of its proceedings, and publish it, except such parts as the welfare of the state may require to be kept secret; the ayes and noes shall be taken in each House upon the final passage of every bill of a general character, and bills making appropriations of public moneys; and the ayes and noes of the members on any question, shall, at the request of any five of them, be entered on the journal. 

Section 25.          The doors of each House and of committees of the whole shall be kept open, unless when the business shall be such as ought to be kept secret. 

Section 26.          Each member of the General Assembly shall receive an annual salary as may be provided by law, payable in equal monthly installments from the date of his election, and in addition, such other allowances for expenses in attending sessions or committee meetings as may be provided by law. The Senators, when sitting as a Court of Impeachment, shall receive the same allowances for expenses as have been provided by law for the members of the General Assembly. The compensation and expenses of the members of the General Assembly may from time to time be reduced or increased by laws enacted by the General Assembly; however, no increase or decrease in the amount thereof shall take effect until the next general election for Representatives to the General Assembly. Provided, further, that the first General Assembly meeting after adoption of this constitution shall be allowed to set its own expenses. However, no member shall be paid expenses, nor travel allowances for more than one hundred thirty-five Legislative days of a regular session, excluding the organization session, nor for more than thirty Legislative days of any extraordinary session. 

Section 27.          No public money shall be expended except pursuant to appropriations made by law. Expenditures for any fiscal year shall not exceed the state’s revenues and reserves, including the proceeds of any debt obligation, for that year. No debt obligation, except as shall be repaid within the fiscal year of issuance, shall be authorized for the current operation of any state service or program, nor shall the proceeds of any debt obligation be expended for a purpose other than that for which it was authorized. In no year shall the rate of growth of appropriations from state tax revenues exceed the estimated rate of growth of the state’s economy as determined by law. No appropriation in excess of this limitation shall be made unless the General Assembly shall, by law containing no other subject matter, set forth the dollar amount and the rate by which the limit will be exceeded. Any law requiring the expenditure of state funds shall be null and void unless, during the session in which the act receives final passage, an appropriation is made for the estimated first year’s funding. No law of general application shall impose increased expenditure requirements on cities or counties unless the General Assembly shall provide that the state share in the cost. An accurate financial statement of the state’s fiscal condition shall be published annually. 

Section 28.          No person who heretofore hath been, or may hereafter be, a collector or holder of Public Moneys, shall have a seat in either House of the General Assembly, or hold any other office under the State Government, until such person shall have accounted for, and paid into the Treasury, all sums for which he may be accountable or liable. 

Section 29.          No Judge of any Court of law or equity, Secretary of State, Attorney General, Register, Clerk of any court of Record, or person holding any office under the authority of the United States, shall have a seat in the General Assembly; nor shall any person in this State hold more than one lucrative office at the same time; provided, that no appointment in the Militia, or to the Office of Justice of the Peace, shall be considered a lucrative office, or operative as a disqualification to a seat in either House of the General Assembly. This section shall not apply with regard to the Speaker of the Senate or the Speaker of the House of Representatives temporarily discharging the powers and duties of the office of Governor as Acting Governor under Article III, Section 13, nor with regard to a member of the House of Representatives appointed to and serving as a principal officer of the Government as provided in Article II, Section 9; provided that no such member shall simultaneously hold any office under the authority of the United States. 

Section 30.          Any member of either House of the General Assembly shall have liberty to dissent from and protest against, any act or resolve which he may think injurious to the Public or to any individual, and to have the reasons for his dissent entered on the journals. 

 

ARTICLE III.

Executive Department. 

Section 1.              The Supreme Executive power of this State shall be vested in a Governor. 

Section 2.              The Governor shall have the duty to preserve, protect, and defend the Constitution of this State. The Governor shall ensure that no law enacted, nor any action taken by the institutions of this State, shall violate the provisions of this Constitution. The Governor may call public attention to any act or measure that, in the judgement of the Governor, is inconsistent with the Constitution and may recommend its reconsideration. 

Section 3.              The Governor shall be chosen by a two-thirds majority of the Grand Council of the State. The Grand Council shall consist of all members of the General Assembly and the chief executive of every county of the State. 

The Grand Council shall meet and vote by ballot for Governor. The person receiving the votes of two-thirds of the whole number of members of the Grand Council shall be chosen Governor. If no person receives such majority, then from the persons having the highest numbers not exceeding three on the list of those voted for, the Grand Council shall choose immediately, by ballot, the Governor, a three-fifths majority of the whole number of members being necessary to a choice. If no person receives such majority, the Grand Council shall proceed forthwith to a further ballot between the two persons having the highest numbers on the preceding ballot, and a majority of the whole number of members of the Grand Council shall be necessary to a choice. The Grand Council shall continue in session without adjournment until a Governor shall be chosen. 

Section 4.              The Governor shall be at least thirty years of age, shall be a citizen of the United States, and shall have been a citizen of this State seven years next before his election. He shall not be a member of the General Assembly nor shall he hold any other office of profit or trust of the United States or State of Tennessee for a period of seven years before his election. 

Section 5.              The Governor shall be elected to hold office for one term of ten years and until a successor is elected. 

Section 6.              Before entering upon the duties of office, the Governor shall take the following oath or affirmation before a Justice of the Supreme Court, or such other person as may be authorized by law to administer oaths: 

“I do solemnly swear (or affirm) that I will support the Constitution of the United States and the Constitution of the State of Tennessee, and that I will faithfully discharge the duties of the office of Governor to the best of my ability.” 

The Governor shall be sworn: 

(1)   Before the expiration of the term of the incumbent Governor; or

(2)   In the case of a vacancy, within five days following election by the Grand Council. 

The term of office shall commence immediately upon the taking of the oath.

An Acting Governor shall exercise the powers of the office only until a successor is duly sworn. 

Section 7.              The Governor shall bear the title of commander-in-chief of the Army and Navy of this state, and of the Militia, except when they shall be called into the service of the United States; but the Militia shall not be called into service except in case of rebellion or invasion, and then only when the General Assembly shall declare, by law, that the public safety requires it. The command of the Army, Navy, and Militia of this state shall be exercised by the Premier. 

Section 8.              The Governor shall, with the consent of the Senate, appoint the Judges of the Supreme Court, appellate courts and inferior courts. 

Section 9.              The Governor may request, and the Premier shall provide, reports or recommendations regarding the condition of the State, the conduct of public administration, or any matter affecting constitutional compliance. 

Section 10.          The Governor shall have power to grant reprieves and pardons, after conviction, except in cases of impeachment. 

Section 11.          The Governor shall, at stated times, receive a compensation for his services, which shall not be increased or diminished during the period for which he shall have been elected. 

Section 12.          The Governor may, on the advice of the Premier, convene the General Assembly on extraordinary occasions by proclamation, in which he shall state specifically the purposes for which they are to convene; but they shall enter on no legislative business except that for which they were specifically called together. 

Section 13.          In case of the removal of the Governor from office, or of his death, or resignation, the powers and duties of the office shall devolve on the Speaker of the Senate as Acting Governor, until a new governor is chosen. 

Whenever the Governor transmits to the Premier, the Secretary of State, and the Speaker of the Senate a written, signed declaration that the Governor is unable to discharge the powers and duties of the office, the powers and duties of the office of Governor shall be temporarily discharged by the Speaker of the Senate as Acting Governor, until the Governor transmits to the same officials a written, signed declaration that the Governor is able to discharge the powers and duties of the office. 

Whenever the Speaker is temporarily discharging the powers and duties of the office of Governor as Acting Governor, such Speaker shall not be required to resign the Speaker's position as the Speaker or to resign as a member of the general assembly and shall retain the Speaker's salary and not receive the Governor's salary, but such Speaker shall not preside as Speaker or vote as a member of the general assembly during the time the Speaker is Acting Governor. 

Section 14.          No member of Congress, or person holding any office under the United States, or this State, shall execute the office of Governor except as provided in Article III, Section 13 with regard to the Speaker of the Senate temporarily discharging the powers and duties of the office of Governor as Acting Governor. 

Section 15.          When any officer, the right of whose appointment is by this Constitution vested in the General Assembly, shall, during the recess, die, or the office, by the expiration of the term, or by other means, become vacant, the Governor shall, on the advice of the Premier, fill such vacancy by granting a temporary commission, which shall expire at the end of the next session of the General Assembly. 

Section 16.          There shall be a Seal of this State, which shall be kept by the Governor, and used by him officially, and shall be called the Great Seal of the State of Tennessee. 

Section 17.          All grants and commissions shall be in the name and by the authority of the State of Tennessee, be sealed with the State Seal, and signed by the Governor. 

Section 18.          Every bill, or joint resolution having the force of law, which shall have passed both Houses of the General Assembly shall, before it becomes law, be presented to the Governor. 

Within ten calendar days (Sundays excepted) after presentment, the Governor shall either: 

1.     Sign the measure, whereupon it shall become law; or

2.     Refer the measure to the Supreme Court of Tennessee for review upon a determination that it was not enacted in conformity with the procedural requirements of this Constitution, or that it is inconsistent with the Constitution of the United States or this Constitution. Such referral shall be accompanied by a written statement specifying the constitutional or procedural grounds for review. 

If the Governor fails to sign or refer a measure within ten calendar days (Sundays excepted) after presentment, it shall become law without the Governor’s signature. 

Upon referral, the measure shall not become law unless and until the Supreme Court determines it was duly enacted and is consistent with the Constitution of the United States and this Constitution. The Court shall give such matters priority on its docket and render a decision within sixty days from the date of referral. 

If the Supreme Court so determines, the Governor shall sign the measure within five calendar days after entry of the decision, whereupon it shall become law. If the Supreme Court determines the measure was not duly enacted or is inconsistent with the Constitution of the United States or this Constitution, it shall not become law. 

No item or part of an item in any appropriations bill may be separately reduced, disapproved, or referred. 

This Section shall not apply to resolutions of adjournment or proposals of specific amendments to this Constitution. 

Any determination by the Supreme Court upon referral pursuant to this Section shall be advisory in character and shall not constitute binding precedent in any judicial proceeding, nor shall it limit the authority of any court to consider the constitutional validity of the measure in a case or controversy properly before it. 

 

ARTICLE IV.

Judicial Department. 

Section 1.              The judicial power of this State shall be vested in one Supreme Court and in such inferior Courts as the General Assembly shall from time to time, ordain and establish. The General Assembly may also vest such jurisdiction in Corporation Courts as may be deemed necessary. Courts to be holden by Justices of the Peace may also be established. 

Section 2.              The judicial power shall extend to all cases and controversies arising under this Constitution, and the laws enacted pursuant thereto. 

Section 3.              The Supreme Court shall consist of five Judges, of whom not more than two shall reside in any one of the grand divisions of the State. The Judges shall designate one of their own number who shall preside as Chief Justice. The concurrence of three of the Judges shall in every case be necessary to a decision. The jurisdiction of this Court shall be appellate only, under such restrictions and regulations as may from time to time be prescribed by law; but it may possess such other jurisdiction as is now conferred by law on the present Supreme Court. Said Court shall be held at Knoxville, Nashville and Jackson. 

Section 4.              Judges of the Supreme Court, intermediate appellate courts, and inferior courts shall be appointed by the Governor for a single term of twenty-five years and shall be confirmed by the Senate. Judges shall not be eligible for reappointment to the same office after completing a full term. Confirmation by default occurs if the Senate fails to reject an appointee within sixty calendar days of either the date of appointment, if made during the regular legislative session, or the convening date of the next annual legislative session, if made out of session. The General Assembly is authorized to prescribe such provisions as may be necessary to carry out Sections two and three of this article. Every judge of the Supreme Court and appellate courts shall have attained to the age of thirty-five years, and shall, prior to appointment, have been a resident of the state for five years. Judges of inferior courts shall have attained to the age of twenty-five and shall, before his election, have been a resident of the state for two years. 

Section 5.              An Attorney General and Reporter for the State, shall be appointed by the Judges of the Supreme Court and confirmed by the Senate and shall hold office for a term of twelve years. An Attorney for the State for any circuit or district for which a Judge having criminal jurisdiction shall have been provided by law, shall be appointed by the Attorney General and confirmed by the Senate, and shall hold his office for a term of eight years, eligible to succeed in office for two additional terms, and shall have been a resident of the State five years, and of the circuit or district one year. In all cases where the Attorney for any district fails or refuses to attend and prosecute according to law, the Court shall have power to appoint an Attorney pro tempore. 

Section 6.              Judges and Attorneys for the State may be removed from office by a concurrent vote of both Houses of the General Assembly, each House voting separately; but two-thirds of the members to which each House may be entitled must concur in such vote. The vote shall be determined by ayes and noes, and the names of the members voting for or against the Judge or Attorney for the State together with the cause or causes of removal, shall be entered on the Journals of each House respectively. The Judge or Attorney for the State, against whom the General Assembly may be about to proceed, shall receive notice thereof accompanied with a copy of the causes alleged for his removal, at least ten days before the day on which either House of the General Assembly shall act thereupon. 

Section 7.              The Judges of the Supreme or Inferior Courts, shall, at stated times, receive a compensation for their services, to be ascertained by law, which shall not be diminished during the time for which they are appointed. They shall not be allowed any fees or perquisites of office nor hold any other office of trust or profit under this State or the United States. 

Section 8.              The jurisdiction of Courts, shall be as now established by law, until changed by the General Assembly. 

Section 9.              The Judges shall not charge juries with respect to matters of fact, but may state the testimony and declare the law. 

Section 10.          The Judges or Justices of the Inferior Courts shall have power in all civil cases to issue writs of certiorari to remove any cause or the transcript of the record thereof, from any inferior jurisdiction, into such court of law, on sufficient cause, supported by oath or affirmation. 

Section 11.          No Judge of the Supreme or Inferior Courts shall preside on the trial of any cause in the event of which he may be interested, or where either of the parties shall be connected with him by affinity of consanguinity, within such degrees as may be prescribed by law, or in which he may have been of counsel, or in which he may have presided in any inferior Court, except by consent of all the parties. In case all or any of the Judges of the Supreme Court shall thus be disqualified from presiding on the trial of any cause or causes, the Court, or the Judges thereof, shall certify the same to the Governor of the State, and he shall forthwith specially commission the requisite number of men, of law knowledge, for the trial and determination thereof. The General Assembly may by general laws make provision that special Judges may be appointed, to hold any Courts the Judge of which shall be unable or fail to attend or sit; or to hear any cause in which the Judge may be incompetent. 

Section 12.          All writs and other process shall run in the name of the State of Tennessee and bear test and be signed by the respective clerks. Indictments shall conclude, “against the peace and dignity of the State.” 

Section 13.          Judges of those courts within each district or circuit shall appoint their clerks. Any Clerk may be removed from office at the discretion of the appointing court and with the concurrence of a majority of the judges of those courts within the district or circuit served by the clerk. 

Section 14.          No fine shall be laid on any citizen of this State that shall exceed fifty dollars, unless it shall be assessed by a jury of his peers, who shall assess the fine at the time they find the fact, if they think the fine should be more than fifty dollars. 

 

ARTICLE V.

The Premier. 

Section 1.              The Governor shall designate as Premier the individual who has been elected by a majority of the members of the House of Representatives, and shall commission that individual to execute the laws of the State. 

Section 2.              Officers of the executive departments shall be appointed and dismissed by the Governor upon the proposal of the Premier. 

Section 3.              The Premier may require information in writing, from the officers of the executive departments, upon any subject relating to the duties of their respective offices. 

Section 4.              The Premier shall take care that the laws be faithfully executed. 

Section 5.              The Premier shall, from time to time, give to the General Assembly information of the state of the government, and recommend for their consideration such measures as he shall judge expedient. 

Section 6.              The House of Representatives may express its lack of confidence in the Premier only by electing a successor by the vote of a majority of its members and requesting the Governor to dismiss the Premier. Within three days, the Governor shall appoint the person elected. 

 

ARTICLE VI.

Taxation and Revenue. 

Section 1.              The General Assembly shall have power to levy a tax upon the net business receipts derived from business activity conducted within this State by persons or entities engaged in such activity. 

For purposes of this Section, “net business receipts” shall mean the gross receipts derived from business activity within this State, less: 

1.     Amounts paid to other persons or entities for goods, services, or other inputs acquired for use in the production of income;

2.     Compensation paid to employees, including wages, salaries, benefits, and payroll taxes; and

3.     Such adjustments as may be necessary to prevent the multiple taxation of the same economic activity. 

The General Assembly shall by general law define business activity within this State and shall provide uniform rules of apportionment, administration, and enforcement consistent with this Section. 

The rate of such tax shall not exceed two percent (2%), which shall be the maximum rate permissible under this Constitution. Rates below two percent (2%) may be increased or decreased from time to time, but no single increase shall exceed one-tenth of one percent (0.1%) in any regular session of the General Assembly, and no increase shall take effect without the assent of three-fifths of all the members elected to each House. 

No tax measured by income, net earnings, gross receipts, net business receipts, business activity, or value added shall be levied by the State, nor by any county, city, town, or other political subdivision of this State, except as authorized in this Section or in Section 2 of this Article. Any existing tax of such character inconsistent with this Section shall be repealed or conformed thereto as provided by law.

Section 2.              The General Assembly may authorize counties to levy a tax on net business receipts derived from business activity conducted within their respective jurisdictions, and may authorize incorporated municipalities to levy such tax as provided by general law.

Such tax shall be applied uniformly throughout the jurisdiction imposing the tax, levied, collected, and administered by the State on behalf of the authorizing jurisdiction, using the same tax base and the same rules of apportionment, deduction, administration, and enforcement applicable to the tax authorized by Section 1 of this Article.

The rate of any such local tax shall not exceed one percent (1%), which shall be the maximum rate permissible under this Constitution. Rates below one percent (1%) may be increased or decreased from time to time, but no single increase shall exceed one-tenth of one percent (0.1%), and no increase shall take effect except in the manner prescribed in this Section. A decrease in the rate may be adopted by a majority vote of the local legislative body.

No ordinance imposing or increasing a local net business receipts tax shall take effect unless adopted:

(a) By the assent of three-fifths of all the members elected to the local legislative body, within six months preceding a regular election for such body; or

(b) By approval of a majority of the qualified voters voting thereon at an election for members of the legislative body of the county or incorporated municipality.

The combined rate of all local net business receipts taxes applicable within any county shall not exceed one percent (1%). The General Assembly shall provide by general law for the coordination, priority, and adjustment of county and municipal rates so that the aggregate local rate within each county does not exceed such maximum.

Section 3.              The General Assembly shall have power to levy a tax on the sale and use of goods and services at the point of final consumption. Such tax shall be uniform throughout the State and shall apply equally to all goods and services. 

The General Assembly shall define by general law the point of final consumption and shall provide mechanisms to prevent multiple taxation of the same transaction and exclude transactions constituting business inputs, resale, or intermediate production from taxation. 

The rate of such tax shall not exceed five percent (5%), which shall be the maximum rate permissible under this Constitution. Rates below five percent (5%) may be increased or decreased from time to time, but no single increase shall exceed one-eighth of one percent (0.125%) in any regular session of the General Assembly, and no increase shall take effect without the assent of three-fifths of all the members elected to each House. 

Section 4.              The General Assembly may authorize counties to levy a tax on the sale and use of goods and services at the point of final consumption within their respective jurisdictions, and may authorize incorporated municipalities to levy such tax as provided by general law.

Such tax shall be applied uniformly throughout the jurisdiction imposing the tax, levied, collected, and administered by the State on behalf of the authorizing jurisdiction in the same manner as the tax authorized by Section 3 of this Article, and shall apply equally to all goods and services, subject only to exclusions necessary to prevent the taxation of business inputs or multiple taxation.

The rate of any such local tax shall not exceed two percent (2%), which shall be the maximum rate permissible under this Constitution. Rates below two percent (2%) may be increased or decreased from time to time, but no single increase shall exceed one-eighth of one percent (0.125%), and no increase shall take effect except in the manner prescribed in this Section. A decrease in the rate may be adopted by a majority vote of the local legislative body.

No ordinance imposing or increasing a local sales and use tax shall take effect unless adopted: 

(a)   By the assent of three-fifths of all the members elected to the local legislative body, within six months preceding a regular election for such body; or

(b)   By approval of a majority of the qualified voters voting thereon at an election for members of the legislative body of the county or incorporated municipality. 

The combined rate of all local sales and use taxes applicable within any county shall not exceed two percent (2%). The General Assembly shall provide by general law for the coordination, priority, and adjustment of county and municipal rates so that the aggregate local rate within each county does not exceed such maximum. 

Section 5.              The General Assembly shall provide by general law for the levy of an ad valorem tax by counties upon the assessed value of land only. No ad valorem tax shall be levied upon improvements to land. 

The assessed value of land shall be determined in a uniform and equal manner throughout the State, exclusive of improvements, and shall be classified and assessed at the following percentages of its appraised value: 

• Public utility property: fifty-five percent (55%)
• Industrial and commercial property: forty percent (40%)
• Residential property: twenty-five percent (25%)
• Agricultural and forest property: twenty-five percent (25%)

These classifications and assessment ratios shall not be altered except by amendment to this Constitution.

The General Assembly may authorize incorporated municipalities to levy a land value tax within their jurisdictions; provided, however, that municipal authority shall be subordinate to that of the county, and the coordination and combined rates of county and municipal land value taxation within any county shall be regulated by general law. 

No county or incorporated municipality shall impose a rate of land value taxation that results in total revenue growth exceeding a limitation prescribed by general law, unless such excess is approved by a majority of the qualified voters voting thereon at an election for members of the legislative body of the county or incorporated municipality. 

The limitations provided pursuant to this Section shall not apply to taxes levied or pledged to pay or secure the payment of principal and interest on bonded indebtedness. 

Section 6.              The General Assembly shall have power to assess a mileage-based user fee on the operation of motor vehicles upon the public roads of this state, the proceeds of which shall be used exclusively for transportation purposes. 

Section 7.              The General Assembly may impose, and may authorize counties and incorporated municipalities to impose, reasonable fees, assessments, and charges in the exercise of governmental, regulatory, or police powers. 

Any such fee, assessment, or charge shall:

1.     Be imposed in exchange for a particular governmental service, regulatory activity, franchise, permit, license, inspection, or special benefit conferred;

2.     Bear a reasonable relationship to the cost of the service provided, the regulatory activity conducted, or the special benefit conferred; and

3.     Not be imposed for the primary purpose of raising general revenue.

No fee, assessment, or charge authorized by this Section shall be measured by income, net earnings, gross receipts, or general business activity, except as expressly authorized elsewhere in this Constitution.

The General Assembly may authorize compensation under franchise agreements for the use of public rights-of-way or other public property, provided such compensation bears a reasonable relationship to the value of the privilege granted.

The General Assembly may authorize impact fees or development fees to defray the reasonably attributable costs of public infrastructure, facilities, or services necessitated by new development, as provided by general law. 

Section 8.              The General Assembly shall have power to levy, and may authorize counties and incorporated municipalities to levy, taxes upon specific transactions, activities, or privileges, including but not limited to taxes imposed upon the occupancy of lodging, the admission to places of amusement, the rental of vehicles, or other defined activities, provided that such taxes:

1.     Are limited to a specifically defined activity, transaction, class of transactions, or geographic district;

2.     Are not imposed generally upon all persons or businesses within the jurisdiction;

3.     Are not measured by income, net earnings, gross receipts, net business receipts, general business activity, or the ownership of property, except as expressly authorized elsewhere in this Constitution; and

4.     Are dedicated exclusively to the public purpose for which they are authorized by general law.

No tax authorized under this Section shall be recharacterized or administered in a manner that circumvents the limitations of this Constitution.

Nothing in this Section shall be construed to authorize the State to levy any ad valorem tax on real property, improvements thereto, or personal property. The authority to levy ad valorem taxes on land is reserved exclusively to counties and, as authorized by general law, incorporated municipalities within their respective jurisdictions.

Taxes lawfully imposed and dedicated under general law prior to the adoption of this Constitution may continue, subject to the limitations of this Article. 

Section 9.              The credit of no County, City or Town shall be given or loaned to or in aid of any person, company, association or corporation, except upon an election to be first held by the qualified voters of such County, City or Town, and the assent of three-fourths of the votes cast at said election. Nor shall any County, City or Town become a stockholder with others in any company, association or corporation except upon a like election, and the assent of a like majority. 

Section 10.          No article, manufactured of the produce of this State, shall be taxed otherwise than to pay inspection fees and no other forms of taxation shall be authorized or levied by the General Assembly or any county, city or town than those enumerated by the Sections of this Article. All other forms of taxation are permanently prohibited and all conflicting provisions of this Constitution are hereby repealed. 

Section 11.          The General Assembly shall not authorize any municipality to tax incomes, estates, or inheritances, or to impose any other tax not authorized by the Sections of this Article. Nothing herein shall be construed as invalidating the provisions of any municipal charter in existence at the time of the adoption of this Constitution except to the extent inconsistent with Section 10 of this Article. 

 

ARTICLE VII.

Elections. 

Section 1.              Every person, being eighteen years of age, being a citizen of the United States, being a resident of the State for a period of time as prescribed by the General Assembly, and being duly registered in the county of residence for a period of time prior to the day of any election as prescribed by the General Assembly, shall be entitled to vote in all federal, state, and local elections held in the county or district in which such person resides. All such requirements shall be equal and uniform across the state, and there shall be no other qualification attached to the voting franchise. The General Assembly shall have power to enact laws requiring voters to vote in the election precincts in which they may reside, and laws to secure the freedom of elections and the purity of the ballot box. 

Section 2.              Laws may be passed excluding from the voting franchise persons who may be convicted of felony crimes or determined by courts of competent jurisdiction to have a mental incapacity. 

Section 3.              Electors shall, in all cases, except treason, felony, or breach of the peace, be privileged from arrest or summons, during their attendance at elections, and in going to and returning from them. 

Section 4.              In all elections to be made by the General Assembly, the members thereof shall vote viva voce, and their votes shall be entered on the journal. All other elections shall be by ballot. 

 

ARTICLE VIII.

Impeachments. 

Section 1.              The House of Representatives shall have the sole power of impeachment. 

Section 2.              All impeachments shall be tried by the Senate. When sitting for that purpose the Senators shall be upon oath or affirmation, and the Chief Justice of the Supreme Court, or if he be on trial, the Senior Associate Judge, shall preside over them. No person shall be convicted without the concurrence of twenty-two Senators. All Senators shall be sworn to try the officer impeached. 

Section 3.              The House of Representatives shall elect from their own body three members, whose duty it shall be to prosecute impeachments. No impeachment shall be tried until the General Assembly shall have adjourned sine die, when the Senate shall proceed to try such impeachment. 

Section 4.              The Governor, Judges of the Supreme Court, Judges of the Inferior Courts, Attorney General, Attorneys for the State, Treasurer, Comptroller, and Secretary of State, shall be liable to impeachment, whenever they may, in the opinion of the House of Representatives, commit any crime in their official capacity which may require disqualification; but judgment shall only extend to removal from office, and disqualification to fill any office thereafter. The party shall, nevertheless, be liable to indictment, trial, judgment and punishment according to law. The General Assembly now has, and shall continue to have, power to relieve from the penalties imposed, any person disqualified from holding office by the judgment of a Court of Impeachment. 

Section 5.              Justices of the Peace, and other civil officers, not hereinbefore mentioned, for crimes or misdemeanors in office, shall be liable to indictment in such courts as the General Assembly may direct; and upon conviction, shall be removed from office by said court, as if found guilty on impeachment; and shall be subject to such other punishment as may be prescribed by law. 

 

ARTICLE IX.

State and County Officers. 

Section 1.              The qualified voters of each county shall elect for terms of four years a legislative body, and a Sheriff. Their qualifications and duties shall be prescribed by the General Assembly. Any officer shall be removed for malfeasance or neglect of duty as prescribed by the General Assembly. 

The legislative body shall be composed of representatives from districts in the county as drawn by the county legislative body pursuant to statutes enacted by the General Assembly. Districts shall be reapportioned at least every ten years based upon the most recent federal census. The legislative body shall not exceed twenty-five members, and no less than five representatives shall be elected from a district. Any county organized under the consolidated government provisions of Article XI, Section 7, of this Constitution shall be exempt from having a county executive and a county legislative body as described in this paragraph. 

The General Assembly may provide alternate forms of county government including the right to charter and the manner by which a referendum may be called. The new form of government shall replace the existing form if approved by a majority of the voters in the referendum. No officeholder’s current term shall be diminished by the ratification of this article. 

Section 2.              Vacancies in county offices shall be filled by the county legislative body, and any person so appointed shall serve until a successor is elected at the next election occurring after the vacancy and is qualified. 

Section 3.              There shall be a Treasurer and a Comptroller of the Treasury appointed for the State, by the joint vote of both houses of the General Assembly, who shall hold their offices for three years. 

Section 4.              A Secretary of State shall be appointed by joint vote of the General Assembly, and commissioned during the term of six years; he shall keep a fair register of all the official acts and proceedings of the Governor; and shall, when required lay the same, and all papers, minutes and vouchers relative thereto, before the General Assembly; and shall perform such other duties as shall be enjoined by law. 

Section 5.              The election of all officers, and the filling of all vacancies not otherwise directed or provided by this Constitution, shall be made in such manner as the General Assembly shall direct. 

Section 6.              Elections for other civil officers shall be held forever on the first Thursday in August next preceding the expiration of their respective terms of service. The term of each officer so elected shall be computed from the first day of September next succeeding his election. No appointment or election to fill a vacancy shall be made for a period extending beyond the unexpired term. Every officer shall hold his office until his successor is elected or appointed, and qualified. No special election shall be held to fill a vacancy in the office of Judge, but at the time herein fixed for the triennial election of civil officers, and such vacancy shall be filled at the next Triennial election recurring more than thirty days after the vacancy occurs. 

 

ARTICLE X.

Oaths, Bribery of Electors, New Counties. 

Section 1.              Every person who shall be chosen or appointed to any office of trust or profit under this Constitution, or any law made in pursuance thereof, shall, before entering on the duties thereof, take an oath to support the Constitution of this State, and of the United States, and an oath of office. 

Section 2.              Each member of the Senate and House of Representatives, shall before they proceed to business take an oath or affirmation to support the Constitution of this State, and of the United States and also the following oath: I _____________ do solemnly swear (or affirm) that as a member of this General Assembly, I will, in all appointments, vote without favor, affection, partiality, or prejudice; and that I will not propose or assent to any bill, vote or resolution, which shall appear to me injurious to the people, or consent to any act or thing, whatever, that shall have a tendency to lessen or abridge their rights and privileges, as declared by the Constitution of this State. 

Section 3.              Any elector who shall receive any gift or reward for his vote, in meat, drink, money or otherwise, shall suffer such punishment as the laws shall direct. And any person who shall directly or indirectly give, promise or bestow any such reward to be elected, shall thereby be rendered incapable, for six years, to serve in the office for which he was elected, and be subject to such further punishment as the General Assembly shall direct. 

Section 4.              New Counties may be established by the General Assembly to consist of not less than two hundred and seventy-five square miles, and which shall contain a population of seven hundred qualified voters; no line of such County shall approach the Court House of any old County from which it may be taken nearer than eleven miles, nor shall such old County be reduced to less than five hundred square miles. 

No part of a County shall be taken off to form a new County or a part thereof without the consent of two-thirds of the qualified voters in such part taken off; and where an old County is reduced for the purpose of forming a new one, the Seat of Justice in said old County shall not be removed without the concurrence of two-thirds in both branches of the General Assembly, nor shall the seat of Justice of any County be removed without the concurrence of two-thirds of the qualified voters of the County. The fractions taken from old Counties to form new Counties or taken from one County and added to another shall continue liable for their pro rata of all debts contracted by their respective Counties prior to the separation, and be entitled to their proportion of any stocks or credits belonging to such old Counties. 

Section 5.              The citizens who may be included in any new County shall vote with the County or Counties from which they may have been stricken off, for members of Congress, for Governor and for members of the General Assembly until the next apportionment of members to the General Assembly after the establishment of such new County. 

 

ARTICLE XI.

Miscellaneous Provisions. 

Section 1.              All laws and ordinances now in force and use in this State, not inconsistent with this Constitution, shall continue in force and use until they shall expire, be altered or repealed by the General Assembly; but ordinances contained in any former Constitution or schedule thereto are hereby abrogated. 

Section 2.              Nothing contained in this Constitution shall impair the validity of any debts or contracts, or affect any rights of property or any suits, actions, rights of action or other proceedings in Courts of Justice. 

Section 3.              Any amendment or amendments to this Constitution may be proposed in the Senate or House of Representatives, and if the same shall be agreed to by a majority of all the members elected to each of the two Houses, such proposed amendment or amendments shall be entered on their Journals with the yeas and nays thereon, and referred to the General Assembly then next to be chosen, and shall be published for such period and in such manner as shall be prescribed by law prior to the election. If, in the General Assembly then next chosen, such proposed amendment or amendments shall be agreed to by two-thirds of all the members elected to each House, it shall be the duty of the General Assembly to submit the same to the people at a general election in which members of the House of Representatives are to be chosen. An amendment shall become a part of this Constitution if approved by three-fifths of the votes cast thereon, as provided by law. 

The General Assembly shall have the right by law to submit to the people, at any general election, the question of calling a convention to alter, reform, or abolish this Constitution, or to alter, reform or abolish any specified part or parts of it; and when, upon such submission, a majority of all the voters voting upon the proposal submitted shall approve the proposal to call a convention, the delegates to such convention shall be chosen at the next general election in which members of the House of Representatives are to be chosen and the convention shall assemble for the consideration of such proposals as shall have received a favorable vote in said election, in such mode and manner as shall be prescribed. No change in, or amendment to, this Constitution proposed by such convention shall become effective, unless within the limitations of the call of the convention, and unless approved and ratified by three-fifths of all the citizens of the State who cast a ballot at the election fixed by the convention, voting separately in their favor on such change or amendment. No such convention shall be held oftener than once in six years. 

Amendments to this Constitution may also be proposed by the legislative bodies of the counties of this State. If resolutions proposing the same amendment or amendments shall be adopted by a majority vote of the legislative body of three-fourths of the counties, and if not less than one-fourth of the adopting counties are from each of the three Grand Divisions of the State, such proposed amendment or amendments shall be certified by the Secretary of State and referred to the General Assembly. The General Assembly shall consider any such proposed amendment or amendments in the same manner as amendments proposed by the General Assembly; provided, however, that it shall not materially alter the substance thereof, but may amend the form for clarity, consistency, constitutional harmony, or the correction of grammatical or technical errors, or may reject the proposal in whole. Any amendment proposed pursuant to this paragraph, if approved by the General Assembly as herein provided, shall be submitted to the people for ratification in the manner prescribed for amendments proposed by the General Assembly. 

Section 4.              The General Assembly shall have no power to grant divorces; but may authorize the Courts of Justice to grant them for such causes as may be specified by law; but such laws shall be general and uniform in their operation throughout the State. 

Section 5.              The General Assembly shall have no power to change the names of persons, or to pass acts adopting or legitimatizing persons; but shall, by general laws, confer this power on the Courts. 

Section 6.              The General Assembly shall have no power to suspend any general law for the benefit of any particular individual, nor to pass any law for the benefit of individuals inconsistent with the general laws of the land; nor to pass any law granting to any individual or individuals, rights, privileges, immunities or exemptions other than such as may be, by the same law extended to any member of the community, who may be able to bring himself within the provisions of such law. No corporation shall be created or its powers increased or diminished by special laws but the General Assembly shall provide by general laws for the organization of all corporations, hereafter created, which laws may, at any time, be altered or repealed, and no such alteration or repeal shall interfere with or divest rights which have become vested. 

Section 7.              The General Assembly shall have the right to vest such powers in the Courts of Justice, with regard to private and local affairs, as may be expedient. 

The General Assembly shall have no power to pass a special, local or private act having the effect of removing the incumbent from any municipal or county office or abridging the term or altering the salary prior to the end of the term for which such public officer was selected, and any act of the General Assembly private or local in form or effect applicable to a particular county or municipality either in its governmental or its proprietary capacity shall be void and of no effect unless the act by its terms either requires the approval of a two-thirds vote of the local legislative body of the municipality or county, or requires approval in an election by a majority of those voting in said election in the municipality or county affected. 

Any municipality may by ordinance submit to its qualified voters in a general or special election the question: “Shall this municipality adopt home rule?” 

In the event of an affirmative vote by a majority of the qualified voters voting thereon, and until the repeal thereof by the same procedure, such municipality shall be a home rule municipality, and the General Assembly shall act with respect to such home rule municipality only by laws which are general in terms and effect. 

Any municipality after adopting home rule may continue to operate under its existing charter, or amend the same, or adopt and thereafter amend a new charter to provide for its governmental and proprietary powers, duties and functions, and for the form, structure, personnel and organization of its government, provided that no charter provision except with respect to compensation of municipal personnel shall be effective if inconsistent with any general act of the General Assembly and provided further that the power of taxation of such municipality shall not be enlarged or increased except by general act of the General Assembly. The General Assembly shall by general law provide the exclusive methods by which municipalities may be created, merged, consolidated and dissolved and by which municipal boundaries may be altered. 

A charter or amendment may be proposed by ordinance of any home rule municipality, by a charter commission provided for by act of the General Assembly and elected by the qualified voters of a home rule municipality voting thereon or, in the absence of such act of the General Assembly, by a charter commission of seven (7) members, chosen at large not more often than once in two (2) years, in a municipal election pursuant to petition for such election signed by qualified voters of a home rule municipality not less in number than ten (10%) percent of those voting in the then most recent general municipal election. 

It shall be the duty of the legislative body of such municipality to publish any proposal so made and to submit the same to its qualified voters at the first general state election which shall be held at least sixty (60) days after such publication and such proposal shall become effective sixty (60) days after approval by a majority of the qualified voters voting thereon. 

The General Assembly may provide for the consolidation of any or all of the governmental and corporate functions now or hereafter vested in municipal corporations with the governmental and corporate functions now or hereafter vested in the counties in which such municipal corporations are located; provided, such consolidations shall not become effective until submitted to the qualified voters residing within the municipal corporation and in the county outside thereof, and approved by a majority of those voting within the municipal corporation and by a majority of those voting in the county outside the municipal corporation. 

Section 8.              There shall be a homestead exemption from execution in an amount of five thousand dollars or such greater amount as the General Assembly may establish. The General Assembly shall also establish personal property exemptions. The definition and application of the homestead and personal property exemptions and the manner in which they may be waived shall be as prescribed by law. 

Section 9.              The General Assembly shall have power to enact laws for the protection and preservation of game and fish, within the state, and such laws may be enacted for and applied and enforced in particular counties or geographical districts, designated by the General Assembly. The citizens of this state shall have the personal right to hunt and fish, subject to reasonable regulations and restrictions prescribed by law. The recognition of this right does not abrogate any private or public property rights, nor does it limit the state’s power to regulate commercial activity. Traditional manners and means may be used to take non-threatened species. 

Section 10.          No person shall in time of peace be required to perform any service to the public on any day set apart by his religion as a day of rest. 

Section 11.          The declaration of rights hereto prefixed is declared to be a part of the Constitution of this State, and shall never be violated on any pretense whatever. And to guard against transgression of the high powers we have delegated, we declare that everything in the bill of rights contained, is excepted out of the General powers of government, and shall forever remain inviolate. 

Section 12.          No county office created by the General Assembly shall be filled otherwise than by the people or the County Legislature. 

Section 13.          It is unlawful for any person, corporation, association, or this state or its political subdivisions to deny or attempt to deny employment to any person by reason of the person's membership in, affiliation with, resignation from, or refusal to join or affiliate with any labor union or employee organization. 

Section 14.          The credit of this state shall not be hereafter loaned or given to or in aid of any person, association, company, corporation or municipality: nor shall the State become the owner in whole or in part of any bank or a stockholder with others in any association, company, corporation or municipality. 

Section 15.          No Convention or General Assembly of this State shall act upon any amendment of the Constitution of the United States proposed by Congress to the several States; unless such Convention or General Assembly shall have been elected after such amendment is submitted. 

Section 16.          The General Assembly shall pass no law for the licensing of any occupation, except where necessary to protect public safety, property, or fiduciary interests. 

Section 17.          This Constitution, and the laws of the State of Tennessee which shall be made in pursuance thereof; shall adhere to and be interpreted as the organization of the natural right of lawful defense. It is the substitution of a common force for individual forces and this common force is to do only what the individual forces have a natural and lawful right to do: to protect persons, liberties, and properties; to maintain the right of each. 

Section 18.          The State of Tennessee is a sovereign State and the people of this State and the other states of the United States have never delegated to the federal government the power to regulate matters reserved to the States by the Constitution of the United States.

The General Assembly shall have the power, by resolution passed by a majority of both Houses, to declare any federal act, law, executive order or agency rule to be unauthorized by the Constitution of the United States and therefore null and void within this State. Such declaration shall prohibit the use of state resources or personnel to enforce the measure declared void. 

Nothing in this section shall be construed to subject any officer, employee, or agent of the United States to criminal liability under the laws of this State for any act performed pursuant to federal law, regulation, or lawful order of a federal authority. 

Section 19.          The General Assembly shall have no authority to abridge the freedom of production, voluntary exchange, or the free transfer of goods, services, labor, or property. 

Section 20.          The General Assembly shall have no authority to regulate, restrict, or prescribe the terms of any voluntary economic transaction, contractual agreement, or productive economic activity among persons in the State of Tennessee, nor to compel any person to participate in any economic or commercial arrangement as a condition of engaging in economic or commercial activity. 

Section 21.          The General Assembly shall have no authority to create, operate, subsidize, or hold any ownership interest in any business, professional, commercial, financial, or industrial enterprise, except where such activity is expressly authorized by an enumerated power in this Constitution and is indispensable to executing that power. 

 

Schedule. 

Section 1.              That no inconvenience may arise from a change of the Constitution, it is declared that the current Governor of the State, the members of the General Assembly and all officers shall hold their offices for the terms prescribed in the previous Constitution. 

Officers appointed by the courts shall be filled by appointment, to be made and to take effect during the first term of the court held by Judges elected under this Constitution. 

All other officers shall vacate their places thirty days after the day fixed for the election of their successors under this Constitution. 

The Secretary of State, Comptroller and Treasurer shall hold their offices until the first session of the present General Assembly occurring after the ratification of this Constitution and until their successors are elected and qualified. 

Section 2.              The Attorney General and Reporter for the State shall be appointed after the confirmation of the Judges of the Supreme Court herein provided for. 

Section 3.              Every Judge and every officer of the executive department of this State, and every Sheriff holding over under this Constitution, shall, within twenty days after the ratification of this Constitution is proclaimed, take an oath to support the same, and the failure of any officer to take such oath shall vacate his office.