Tennessee Code Title 11. Natural Areas and Recreation § 11-11-204

(a) A local governing body may, by a two-thirds ( 2/3 ) vote authorize the creation of a district within the boundaries of such governing body as an adventure tourism district by developing an adventure tourism district plan. Alternatively, one (1) or more counties or one (1) or more municipalities may enter into an intergovernmental agreement pursuant to the Interlocal Cooperation Act, compiled in title 12, chapter 9, to designate jointly an adventure tourism district that contains area within the boundaries of more than one (1) local government.

(b) Adventure tourism professionals may petition local governing bodies to authorize the creation of an adventure tourism district. Such petition shall be accompanied by specific business plans based on quantifiable data demonstrating that the creation of an adventure tourism district would enhance sustainable economic development in the area.

(c) Upon a local governing body or bodies authorizing the creation of an adventure tourism district, the adventure tourism district plan shall be submitted to the department of tourist development and the department of revenue for joint approval as an adventure tourism district. Such approval shall be granted if the commissioner of tourist development and the commissioner of revenue determine that the allocation of franchise and excise tax credits are in the best interests of the state.

(d) Following the approval of the department of tourist development and the department of revenue for an adventure tourism district pursuant to subsection (c), a local governing body may submit the adventure tourism district plan to: