The state Senate passed a bill in a 22-8 vote Tuesday afternoon affecting four Memphis-Shelby County Schools, including Germantown’s namesake campuses, and which district should operate the schools.

The approval of the Senate version came after senators adopted a flurry of last-minute changes Monday evening.

All six Democratic senators across the state voted against the amended bill, including the three from Memphis — senators Raumesh Akbari, London Lamar and Sara Kyle.

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“I would prefer these school districts work this issue out themselves,” Akbari said.

Sen. Kerry Roberts, R-Springfield, and Sen. Frank Niceley, R-Strawberry Plains, both expressed hesitancy during the floor discussion before ultimately voting no. The two were the only Republicans against the measure.

The proposed law affects Germantown Elementary, Germantown Middle and Germantown High School as well as Lucy Elementary in Millington. At the state level, conversations revolved around the Germantown schools — often called the 3Gs.

Sen. Brian Kelsey, R-Germantown, sponsored the bill and said the legislation addresses unexpected and unanswered questions that emerged after the municipal schools were formed.

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“I think it’s a bill that could create a solution to an issue in our community that has been front and center for a number of years,” Germantown Mayor Mike Palazzolo said after the vote.

The proposed law codifies an attorney general opinion stating one district cannot open and operate schools within the boundaries of another school system — in this case the county district having schools in Germantown and Millington. The bill asks the school boards to work together to form a four-year agreement. At the end of four years they may renew it once for up to eight years. 

If no agreement is met, each respective municipal school district owns their schools, Kelsey said.

If Germantown and Millington were to take ownership of the schools in their limits, they must pay 25% of the appraised value up front. Both the municipal school district and county district would hire someone to appraise the buildings and property and the average of the two amounts is what the municipal district would pay. If the suburbs allowed MSCS to lease space, they cannot charge rent in the first four years. They may under a second eight-year agreement if both parties consent.

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“We don’t have to pass a bill about every dang thing that comes up here,” Sen. Jeff Yarbro, D-Nashville, said before ultimately voting no.

While the House passed the bill last week, representatives must review the bill again due to amendments senators adopted Monday night. An April 4 vote in the House was nearly among party lines. If they don’t agree with the amendments, members of the House and Senate would meet in a conference committee.

When the House reviewed the bill, Rep. John Ray Clemons, D-Nashville, cautioned legislators that passing the bill could have legal ramifications. He specifically raised the issue of a 2013 settlement forming GMSD. Any controversy related to the amendment is supposed to be settled in federal court, and that settlement is a contract, per the state’s general counsel. According to the Tennessee Constitution, lawmakers are not supposed to interfere with a contract. The City of Germantown’s lobbyist John Farris argues that the settlement is not relevant to the law.

“We are upsetting that contract,” Yarbro said during Tuesday’s discussion on the Senate floor.

Kelsey — in response to a question of Roberts — said courts will look to state law.

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Palazzolo and MSCS leaders met more than a dozen times over the last year in hopes of reaching an agreement. He said much common ground was resolved, and he is hopeful of a compromise that best suits the city, GMSD and MSCS.

“We are very much attuned to wanting to do the right thing for our students in GMSD and students in Memphis-Shelby County Schools,” the mayor said.

GMSD was never invited to meetings between Palazzolo and MSCS leaders, and it won’t say much beyond a statement.

“The Germantown Municipal School District has always been open to working with Memphis-Shelby County Schools, the city of Germantown and our legislators in acquiring the three legacy Germantown Schools.”

MSCS in statement said it was weighing its legal options. Tony Thompson, the county system’s lobbyist told legislators to expect litigation.

Akbari also expects the issue to end in court.

“May the best party win,” she said.