Tennessee Home Daycare Zoning Rules

Zoning used to be the most unpredictable part of opening a home daycare in Tennessee. One city might require a special use permit, another might ban daycares on certain blocks, and a third might restrict operating hours. The 2025 zoning law and the 2026 Child Care Red Tape Reduction Act changed the landscape.

What the 2025 Zoning Law Does

The 2025 zoning law, House Bill 1175/Senate Bill 1379 (Public Chapter 276), took effect July 1, 2025 and established state-level preemption over local zoning for family child care homes. Under T.C.A. § 13-7-303, local municipal and county authorities must treat a licensed family child care home in an occupied residential dwelling as a standard residential property.

The Tennessee Child Care Red Tape Reduction Act, House Bill 2413/Senate Bill 2509 (Public Chapter 980), applies to applications submitted on or after July 1, 2026 and adds expedited permitting and fire-inspection rules.

That means local jurisdictions cannot impose:

• Special use permits or conditional use permits
• Restrictive zoning variances
• Sanitation regulations beyond what applies to a standard single-family residence
• Additional local conditions not imposed on other residential properties

The preemption applies specifically to family child care homes — those licensed for 5 to 7 unrelated children. Group child care homes (8 to 12 children) remain subject to local zoning processes, neighbor notification, and municipal overlays.

HOA Protections

Separate legislation prohibits homeowners' associations from enforcing covenants that ban licensed family or group child care operations. These restrictions are now legally void and unenforceable.

Landlords are similarly prohibited from refusing tenancy or evicting a tenant solely because they operate a licensed home child care facility. However, landlords can require:

• Written notice that you plan to operate
• Proof of liability insurance naming them as additional insured
• Restrictions on unapproved structural modifications

How This Plays Out in Major Cities

Nashville (Davidson County): The county's local codes historically required "In Home" daycares (1–7 children) to submit site and floor plans to the Zoning Examiner, restrict operations to 6 AM–6 PM Monday through Friday, ban swimming pools and dogs, and limit daycares to one per block. For family child care homes, HB 1175 preempts these local restrictions — you cannot be denied based on block saturation, pet ownership, or hours that exceed what applies to a standard residence. You still need a local business license ($15/year).

Memphis (Shelby County): The Memphis/Shelby County Unified Development Code previously allowed family day care (5–7 children) as a "by-right" residential use, but the county proposed reclassifying all operations of 5+ children under "Group Day Care" — requiring a Special Use Permit and neighbor notification. HB 1175 preempts this reclassification for family homes. You need a Privilege License from the Memphis Finance Division or Shelby County Clerk ($15/year).

Knoxville (Knox County): Local zoning ordinances explicitly prohibited home-based child care for more than 6 non-resident children. HB 1175 preempts this limit for state-licensed family homes (which can serve up to 7 unrelated children). Business license through the Knox County Clerk. Fire clearances through the Knoxville Fire Department (city) or Rural Metro Fire (unincorporated county).

Chattanooga (Hamilton County): Recent zoning amendments added "Children's Homes" as a permitted principal use in RN-1-7.5 and RN-1-5 residential zones, providing a streamlined path even before the state preemption took effect. You still need a zoning clearance letter from the Chattanooga Department of Development Resources.

You Still Need a Zoning Clearance Letter

The state preemption does not eliminate the paperwork step. Step 7 of the TDHS licensing process requires a codes and zoning clearance letter from your municipality. The preemption protects you from being denied or conditioned, but you still need to request and receive the letter.

Processing time varies: days in some jurisdictions, weeks in others, and historically up to 90 days in understaffed codes departments.

Group Homes and the Preemption Gap

If you plan to care for 8 or more unrelated children, you need a group child care home license — and HB 1175's blanket preemption does not apply. Group homes remain subject to local zoning review, neighbor notification, and municipal conditions. In Nashville, group homes require an approval process through the codes office and a neighborhood meeting with the area's Metro Council representative.

The Tennessee Home Daycare Licensing Guide walks through the zoning clearance process for each major city and includes template language for communicating your HB 1175 protections to local codes officials.

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