Tennessee Lawmakers Approve Key Measures for 2025

State lawmakers have passed several measures aimed at improving transportation, public safety, and everyday life for Tennesseans.

One of the largest changes redirects sales tax from new and used tire sales to the TDOT Highway Fund, generating an estimated $80 to $85 million annually for road projects. Lawmakers also gave counties new authority to gradually raise mineral severance taxes to boost local road funding.

The legislature approved the use of digital driver’s licenses as a valid form of identification, except for voting, and passed the Safer Tennessee Electronic Registration (LESTER) Act, allowing drivers to show electronic proof of vehicle registration during traffic stops.

Other measures include easing penalties for driving on a suspended license, creating a study committee on license reinstatement programs, and establishing a uniform statewide framework for utility terrain vehicles (UTVs) to operate on certain public roads.

Officials said these steps reflect an ongoing effort to expand infrastructure funding, modernize state identification systems, and make Tennessee’s roadways safer and more accessible.