Washington (CNN)Tennessee's General Assembly on Tuesday passed legislation aimed at protecting religious freedoms for private child-placing agencies, but critics fear it will allow discrimination against LGBTQ and religious minority families.

The bill, which the state's Republican governor will reportedly sign, would prohibit requiring any private child-placing agency in the state to place children for foster care or adoption if doing so would "violate the agency's written religious or moral convictions." The legislation would also prevent the state from denying an agency's license or government grant if it refuses a placement on those grounds and protect against civil action for such objections.

Republican sponsors of the bill argue that the measure would codify existing protections in the state and protect the religious freedoms of agencies from being sued, discriminated against and driven out of business. Critics, however, warn that the measure would allow child welfare agencies to deny LGBTQ and religious minority applicants as adoptive or foster parents -- ultimately to the detriment of children who need homes -- while still receiving taxpayer funds.

The bill now heads to Republican Gov. Bill Lee, who has 10 days after receiving the bill to sign or veto it. CNN has reached out to Lee's office, which told The Tennessean that the governor will sign the bill as soon as it reaches his desk.