Bracken’s Law: Tax Relief for Tennessee’s Monthly Newspapers

A change in Tennessee law brought monthly newspapers the same production tax exemption already available to more frequent publications such as the Tennessean newspaper.

Local newspapers help communities keep up with the people, decisions and events that shape daily life. Yet many small publications face tight budgets and limited staff—and the loss of a newspaper can leave a community with fewer ways to follow local affairs.

A 2018 report from the University of North Carolina’s Center for Innovation and Sustainability in Local Media found that the country had lost nearly 1,800 local newspapers since 2004. More than 500 rural newspapers had closed or merged, while many surviving papers had reduced their ability to cover their communities. Rural areas can be especially difficult for digital startups to serve. 

Tennessee took a step to support smaller publications in 2019 with House Bill 899, known as Bracken’s Law. Sponsored by Rep. Mike Sparks, with Sen. Bo Watson carrying the Senate companion bill, the measure expanded a state sales-tax exemption for certain periodicals printed on newsprint or bond paper.

Before the change, the exemption applied to qualifying publications distributed at least twice a month. Bracken’s Law extended it to publications issued at least monthly, giving monthly newspapers the same treatment. Gov. Bill Lee signed the bill on May 24, 2019, and it took effect July 1, 2019. 

For a small, family-owned newspaper, every production cost matters. The change addressed a tax difference that had affected monthly publications when they paid to print each edition. It also recognized the value of local outlets that serve their readers on a monthly schedule.

“A big thank-you to Rep. Mike Sparks, Sen. Bo Watson, Gov. Bill Lee, and the Tennessee General Assembly for supporting small businesses and free expression through Bracken’s Law,” said Bracken Mayo, publisher of the Murfreesboro Pulse.

The law is one way to help monthly publications, but strong local journalism also depends on readers and communities. Support local newspapers by subscribing, sharing their reporting and encouraging local businesses to advertise. If you want to see lawmakers continue supporting community publications, contact your state legislators and tell them why local newspapers matter to you.

Small “mom-and-pop” newspapers often cannot afford to hire lobbyists. Community members can help make sure their voices—and the needs of the places they serve—are heard.