Henry County - Subject to local approval, levies a severance tax on clay, titanium, and any other substance commonly recognized as a mineral not already taxed by this state; requires revenue from such tax to be used exclusively for the construction, maintenance, and repair of the county road system. -

SB 2701 would allow Henry County to impose a severance tax on the extraction of clay, titanium, and other commonly recognized minerals within its borders. The tax rate would match Tennessee’s maximum per-ton rate for similar minerals, automatically adjusting if state law changes. All revenue collected - after administrative costs - must be used exclusively for county road construction, maintenance, and repairs. The tax applies only to minerals not already taxed under existing state law and requires Henry County’s legislative body to approve it by a two-thirds vote.