LEGISLATIVE SERVICES AGENCY
OFFICE OF FISCAL AND MANAGEMENT ANALYSIS
200 W. Washington St., Suite 301
Indianapolis, IN 46204
(317) 233-0696
iga.in.gov
FISCAL IMPACT STATEMENT
LS 6652 NOTE PREPARED: Dec 22, 2021
BILL NUMBER: HB 1149 BILL AMENDED:
SUBJECT: Home Based Vendors.
FIRST AUTHOR: Rep. Lehe BILL STATUS: As Introduced
FIRST SPONSOR:
FUNDS AFFECTED:XGENERAL IMPACT: State & Local
XDEDICATED
FEDERAL
Summary of Legislation: This bill specifies the requirements for the preparation and sale of food products
as a home based vendor. The bill also reorganizes provisions concerning the sale of certain food products
by an individual vendor at a farmers' market or roadside stand. It requires an individual who sells rabbits at
a farmers' market or roadside stand to comply with certain requirements. It makes conforming changes.
Effective Date: July 1, 2022.
Explanation of State Expenditures: The bill amends provisions under current statute that grant farmers
markets and roadside stands exemptions from being regulated as food establishments. The bill expands these
exemptions to apply to all “home-based vendors” and adds specifications for food products sold by home-
based vendors in order to qualify for the exemptions. These provisions may result in an increase in workload
for the Department of Health (IDOH) to adopt rules and perform inspections of products sold by home based
vendors. Actual increases in workload will depend on administrative decisions and the volume of consumer
complaints relating to food products sold by home-based vendors. Any additional workload is expected to
be completed within existing resources. [IDOH administrative expenditures are currently paid from
appropriations to a dedicated agency fund.]
Explanation of State Revenues: Summary - The bill provides that the IDOH may impose civil penalties of
up to $1,000 against vendors who violate requirements of the bill or IDOH rules adopted to implement the
bill. Revenue collected from civil penalties would be deposited in the General Fund. Additionally, the bill
may have an indeterminable impact on the number of individuals cited with violating food safety regulations
under existing law. Violators of sanitary requirements for food establishments are currently subject to a Class
B misdemeanor. If a food product sold by a home-based vendor is found to be misbranded, the vendor could
HB 1149 1 be charged with a Class B misdemeanor, and revenue from fines and court fees could be collected. However,
to the extent that more food vendors qualify for exemption from regulations as a result of the bill, the total
number of violations could decrease. The bill’s overall impact on state revenues is expected to be minor.
Additional Information - If additional court cases occur and fines are collected, revenue to both the Common
School Fund (from fines) and the state General Fund (from court fees) would increase. The maximum fine
for a Class B misdemeanor is $1,000.
Explanation of Local Expenditures: Local Health Departments - This bill may result in a minor increase
in workload for local health departments to provide oversight of the products sold by home-based vendors.
Penalty Provision - A Class B misdemeanor is punishable by up to 180 days in jail.
Explanation of Local Revenues: Penalty Provision - If additional court actions occur and a guilty verdict
is entered, local governments would receive revenue from court fees. However, any change in revenue would
likely be small.
State Agencies Affected: Department of Health.
Local Agencies Affected: Local health departments, trial courts, local law enforcement agencies.
Information Sources: IC 16-42-5; IC 16-42-11.
Fiscal Analyst: Adam White, 317-234-1360.
HB 1149 2