Tennessee § 7-52-402 - Subsidies — Municipal costs.
Full text of Tennessee Tennessee Code Annotated § 7-52-402 — Subsidies — Municipal costs., with citation guidance and answers to common questions.
§ 7-52-402. Subsidies — Municipal costs.
A municipality providing any of the services authorized by § 7-52-401 shall not provide subsidies for such services. Notwithstanding that limitation, a municipality providing such services shall be authorized to: Dedicate a reasonable portion of the electric plant to the provision of such services, the costs of which shall be allocated to such services for regulatory purposes; and Lend funds, at a rate of interest not less than the highest rate then earned by the municipality on invested electric plant funds, to acquire, construct, and provide working capital for the system, plant, and equipment necessary to provide any of the services authorized under § 7-52-401; provided, that such interest costs shall be allocated to the cost of such services for regulatory purposes. Any loan of funds made pursuant to this section shall be approved in advance by the comptroller of the treasury or the comptroller's designee and shall contain such provisions as are required by the comptroller of the treasury or the comptroller's designee. Acts 1997, ch. 531, § 3; 2010, ch. 868, § 19. Attorney General Opinions. Authority of municipal electric boards to provide telecommunications services. OAG 12-34, 2012 Tenn. AG LEXIS 34 (3/12/12).
Source: official Tennessee text · Last verified 2026-08-27
Frequently Asked Questions About Tennessee § 7-52-402
What does Tennessee Code Annotated § 7-52-402 cover?
Section 7-52-402 ("Subsidies — Municipal costs.") is part of the Tennessee Code Annotated, the codified statutory law of Tennessee. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Tennessee § 7-52-402?
A common citation format is "Tennessee Code Annotated § 7-52-402" (Tennessee). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Tennessee law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Tennessee official source linked on this page or consult a licensed Tennessee attorney.
How does Tennessee § 7-52-402 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Tennessee can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Tennessee.