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Indiana House Bill HB1181

Indiana 2022 Regular Session

Indiana House Bill HB1181 Compare Versions

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1+*HB1181.1*
2+January 20, 2022
3+HOUSE BILL No. 1181
4+_____
5+DIGEST OF HB 1181 (Updated January 19, 2022 3:50 pm - DI 131)
6+Citations Affected: IC 11-8; IC 11-14; IC 24-5.
7+Synopsis: Youth offender boot camps and inmate calling services.
8+Provides that juvenile offenders may not be placed in department of
9+correction boot camps beginning July 1, 2022. Provides, for purposes
10+of juvenile offenders who are already participating in the boot camp
11+program on July 1, 2022, that the boot camp program expires
12+December 31, 2023. Provides that a rate for intrastate: (1) collect
13+calling; (2) debit calling; (3) prepaid calling; or (4) prepaid collect
14+calling; in connection with inmate calling services shall not exceed the
15+rate cap for the comparable interstate service, as set by the Federal
16+Communications Commission (FCC) and in effect at the time the call
17+is initiated. Provides that this intrastate rate cap is subject to any
18+distinctions in the comparable interstate rate cap set by the FCC that
19+are based on: (1) the type or size of the correctional facility from which
20+the inmate calling services call is placed; and (2) whether any site
21+commission is sought to be recovered through the intrastate rate.
22+Specifies that a provider that has been granted a waiver by the FCC
23+from the interstate rate caps with respect to a particular: (1)
24+correctional facility; or (2) contract for the provision of inmate calling
25+services; is not subject to the intrastate rate caps for the comparable
26+intrastate services provided to the same correctional facility or under
27+the same contract. Prohibits a provider from charging an ancillary
28+service charge for an intrastate inmate calling services call, other than
29+those ancillary service charges permitted by the FCC for interstate or
30+international inmate calling services calls at the time the call is
31+initiated. Provides that a rate for a permitted ancillary service charge
32+(Continued next page)
33+Effective: July 1, 2022.
34+DeVon, McNamara, Jackson
35+January 6, 2022, read first time and referred to Committee on Courts and Criminal Code.
36+January 20, 2022, amended, reported — Do Pass.
37+HB 1181—LS 6917/DI 119 Digest Continued
38+for an intrastate inmate calling services call shall not exceed the rate
39+for the comparable ancillary service charge permitted by the FCC for
40+interstate or international inmate calling services calls at the time the
41+call is initiated. Specifies that a provider that has been granted a waiver
42+by the FCC from the ancillary service charge caps for interstate or
43+international inmate calling services calls with respect to a particular:
44+(1) correctional facility; or (2) contract for the provision of inmate
45+calling services; is not subject to the intrastate caps for the comparable
46+intrastate ancillary services provided to the same correctional facility
47+or under the same contract. Prohibits a provider of inmate calling
48+services from impeding the completion of, or otherwise degrading,
49+intrastate collect calling based on the lack of a billing relationship with
50+the called party's communications service provider. Prohibits a provider
51+from charging any taxes or fees in connection with intrastate inmate
52+calling services calls, except for: (1) authorized fees; and (2)
53+mandatory taxes and fees. Provides that: (1) authorized fees; and (2)
54+mandatory taxes and fees; may not include a markup, unless the
55+markup is specifically authorized by a federal, state, or local statute,
56+rule, or regulation. Prohibits a provider from: (1) imposing a per call or
57+per connection charge for any intrastate inmate calling services call; or
58+(2) offering flat rate calling for intrastate inmate calling services.
59+Provides that after June 30, 2022, a provider shall not enter into or
60+renew a contract for the provision of inmate calling services at a
61+correctional facility in Indiana unless the terms of the contract comply
62+with these provisions. Provides that any term, condition, or provision
63+that: (1) is included in such a contract; and (2) violates these
64+provisions; is void. Provides that a provider that violates these
65+provisions: (1) commits a deceptive act that is actionable by the
66+attorney general or by a consumer under the deceptive consumer sales
67+act (act); and (2) is subject to the remedies and penalties under the act.
68+HB 1181—LS 6917/DI 119HB 1181—LS 6917/DI 119 January 20, 2022
169 Second Regular Session of the 122nd General Assembly (2022)
270 PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
371 Constitution) is being amended, the text of the existing provision will appear in this style type,
472 additions will appear in this style type, and deletions will appear in this style type.
573 Additions: Whenever a new statutory provision is being enacted (or a new constitutional
674 provision adopted), the text of the new provision will appear in this style type. Also, the
775 word NEW will appear in that style type in the introductory clause of each SECTION that adds
876 a new provision to the Indiana Code or the Indiana Constitution.
977 Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
1078 between statutes enacted by the 2021 Regular Session of the General Assembly.
11-HOUSE ENROLLED ACT No. 1181
12-AN ACT to amend the Indiana Code concerning corrections.
79+HOUSE BILL No. 1181
80+A BILL FOR AN ACT to amend the Indiana Code concerning
81+corrections.
1382 Be it enacted by the General Assembly of the State of Indiana:
14-SECTION 1. IC 11-8-3-1 IS AMENDED TO READ AS FOLLOWS
15-[EFFECTIVE JULY 1, 2022]: Sec. 1. (a) The department may contract
16-with any city, county, state, or federal authority, or with other public or
17-private organizations, for:
83+1 SECTION 1. IC 11-8-3-1 IS AMENDED TO READ AS FOLLOWS
84+2 [EFFECTIVE JULY 1, 2022]: Sec. 1. (a) The department may contract
85+3 with any city, county, state, or federal authority, or with other public or
86+4 private organizations, for:
87+5 (1) the custody, care, confinement, or treatment of committed
88+6 persons; or
89+7 (2) subject to subsection (e), the provision of other correctional
90+8 or related services to committed persons.
91+9 (b) Before transferring a committed person to the custody, care, or
92+10 control of an agency or organization under such a contract, the
93+11 department must approve the receiving facility or program as suitable
94+12 for the supervision and care of the person.
95+13 (c) The department may contract with individuals for the provision
96+14 of services to the department.
97+15 (d) To fund contracts under this section the department may use:
98+16 (1) its regular budgeted monies; and
99+17 (2) if applicable, monies deducted from the person's earnings
100+HB 1181—LS 6917/DI 119 2
101+1 under IC 11-10-7-5 or IC 11-10-8-6.
102+2 (e) After June 30, 2022, the department may not enter into or
103+3 renew a contract with a provider of inmate calling services for the
104+4 provision of inmate calling services at a correctional facility unless
105+5 the terms of the contract comply with IC 24-5-27. Any term,
106+6 condition, or provision that:
107+7 (1) is included in a contract that is entered into or renewed
108+8 after June 30, 2022, for the provision of inmate calling
109+9 services at a correctional facility; and
110+10 (2) violates IC 24-5-27;
111+11 is void.
112+12 (f) After June 30, 2022, a county owning or operating a
113+13 correctional facility may not enter into or renew a contract with a
114+14 provider of inmate calling services for the provision of inmate
115+15 calling services at the correctional facility unless the terms of the
116+16 contract comply with IC 24-5-27. Any term, condition, or provision
117+17 that:
118+18 (1) is included in a contract that is entered into or renewed
119+19 after June 30, 2022, for the provision of inmate calling
120+20 services at the correctional facility; and
121+21 (2) violates IC 24-5-27;
122+22 is void.
123+23 SECTION 2. IC 11-14-3-1 IS REPEALED [EFFECTIVE JULY 1,
124+24 2022]. Sec. 1. When sentencing a youthful offender, the sentencing
125+25 court may recommend to the department that the youthful offender be
126+26 placed in boot camp.
127+27 SECTION 3. IC 11-14-3-2 IS REPEALED [EFFECTIVE JULY 1,
128+28 2022]. Sec. 2. When a youthful offender is committed to the
129+29 department, the department shall determine whether the youthful
130+30 offender is eligible to participate in boot camp and whether the
131+31 youthful offender wishes to participate in boot camp. This
132+32 determination must be made when the youthful offender is evaluated
133+33 at the department's reception and diagnostic center.
134+34 SECTION 4. IC 11-14-3-3 IS REPEALED [EFFECTIVE JULY 1,
135+35 2022]. Sec. 3. If the department determines that a youthful offender is
136+36 eligible to participate in boot camp, space is available in boot camp,
137+37 and the youthful offender desires to participate, the department shall
138+38 place the youthful offender in boot camp.
139+39 SECTION 5. IC 11-14-3-6 IS REPEALED [EFFECTIVE JULY 1,
140+40 2022]. Sec. 6. If the department:
141+41 (1) receives a recommendation for boot camp placement under
142+42 section 1 of this chapter; and
143+HB 1181—LS 6917/DI 119 3
144+1 (2) determines that the youthful offender is not eligible to
145+2 participate in boot camp;
146+3 the department shall notify the sentencing court of the determination
147+4 of noneligibility.
148+5 SECTION 6. IC 11-14-5 IS ADDED TO THE INDIANA CODE AS
149+6 A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE JULY
150+7 1, 2022]:
151+8 Chapter 5. Expiration
152+9 Sec. 1. This article expires December 31, 2023.
153+10 SECTION 7. IC 24-5-0.5-3, AS AMENDED BY P.L.156-2020,
154+11 SECTION 87, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
155+12 JULY 1, 2022]: Sec. 3. (a) A supplier may not commit an unfair,
156+13 abusive, or deceptive act, omission, or practice in connection with a
157+14 consumer transaction. Such an act, omission, or practice by a supplier
158+15 is a violation of this chapter whether it occurs before, during, or after
159+16 the transaction. An act, omission, or practice prohibited by this section
160+17 includes both implicit and explicit misrepresentations.
161+18 (b) Without limiting the scope of subsection (a), the following acts,
162+19 and the following representations as to the subject matter of a
163+20 consumer transaction, made orally, in writing, or by electronic
164+21 communication, by a supplier, are deceptive acts:
165+22 (1) That such subject of a consumer transaction has sponsorship,
166+23 approval, performance, characteristics, accessories, uses, or
167+24 benefits it does not have which the supplier knows or should
168+25 reasonably know it does not have.
169+26 (2) That such subject of a consumer transaction is of a particular
170+27 standard, quality, grade, style, or model, if it is not and if the
171+28 supplier knows or should reasonably know that it is not.
172+29 (3) That such subject of a consumer transaction is new or unused,
173+30 if it is not and if the supplier knows or should reasonably know
174+31 that it is not.
175+32 (4) That such subject of a consumer transaction will be supplied
176+33 to the public in greater quantity than the supplier intends or
177+34 reasonably expects.
178+35 (5) That replacement or repair constituting the subject of a
179+36 consumer transaction is needed, if it is not and if the supplier
180+37 knows or should reasonably know that it is not.
181+38 (6) That a specific price advantage exists as to such subject of a
182+39 consumer transaction, if it does not and if the supplier knows or
183+40 should reasonably know that it does not.
184+41 (7) That the supplier has a sponsorship, approval, or affiliation in
185+42 such consumer transaction the supplier does not have, and which
186+HB 1181—LS 6917/DI 119 4
187+1 the supplier knows or should reasonably know that the supplier
188+2 does not have.
189+3 (8) That such consumer transaction involves or does not involve
190+4 a warranty, a disclaimer of warranties, or other rights, remedies,
191+5 or obligations, if the representation is false and if the supplier
192+6 knows or should reasonably know that the representation is false.
193+7 (9) That the consumer will receive a rebate, discount, or other
194+8 benefit as an inducement for entering into a sale or lease in return
195+9 for giving the supplier the names of prospective consumers or
196+10 otherwise helping the supplier to enter into other consumer
197+11 transactions, if earning the benefit, rebate, or discount is
198+12 contingent upon the occurrence of an event subsequent to the time
199+13 the consumer agrees to the purchase or lease.
200+14 (10) That the supplier is able to deliver or complete the subject of
201+15 the consumer transaction within a stated period of time, when the
202+16 supplier knows or should reasonably know the supplier could not.
203+17 If no time period has been stated by the supplier, there is a
204+18 presumption that the supplier has represented that the supplier
205+19 will deliver or complete the subject of the consumer transaction
206+20 within a reasonable time, according to the course of dealing or the
207+21 usage of the trade.
208+22 (11) That the consumer will be able to purchase the subject of the
209+23 consumer transaction as advertised by the supplier, if the supplier
210+24 does not intend to sell it.
211+25 (12) That the replacement or repair constituting the subject of a
212+26 consumer transaction can be made by the supplier for the estimate
213+27 the supplier gives a customer for the replacement or repair, if the
214+28 specified work is completed and:
215+29 (A) the cost exceeds the estimate by an amount equal to or
216+30 greater than ten percent (10%) of the estimate;
217+31 (B) the supplier did not obtain written permission from the
218+32 customer to authorize the supplier to complete the work even
219+33 if the cost would exceed the amounts specified in clause (A);
220+34 (C) the total cost for services and parts for a single transaction
221+35 is more than seven hundred fifty dollars ($750); and
222+36 (D) the supplier knew or reasonably should have known that
223+37 the cost would exceed the estimate in the amounts specified in
224+38 clause (A).
225+39 (13) That the replacement or repair constituting the subject of a
226+40 consumer transaction is needed, and that the supplier disposes of
227+41 the part repaired or replaced earlier than seventy-two (72) hours
228+42 after both:
229+HB 1181—LS 6917/DI 119 5
230+1 (A) the customer has been notified that the work has been
231+2 completed; and
232+3 (B) the part repaired or replaced has been made available for
233+4 examination upon the request of the customer.
234+5 (14) Engaging in the replacement or repair of the subject of a
235+6 consumer transaction if the consumer has not authorized the
236+7 replacement or repair, and if the supplier knows or should
237+8 reasonably know that it is not authorized.
238+9 (15) The act of misrepresenting the geographic location of the
239+10 supplier by listing an alternate business name or an assumed
240+11 business name (as described in IC 23-0.5-3-4) in a local telephone
241+12 directory if:
242+13 (A) the name misrepresents the supplier's geographic location;
243+14 (B) the listing fails to identify the locality and state of the
244+15 supplier's business;
245+16 (C) calls to the local telephone number are routinely forwarded
246+17 or otherwise transferred to a supplier's business location that
247+18 is outside the calling area covered by the local telephone
248+19 directory; and
249+20 (D) the supplier's business location is located in a county that
250+21 is not contiguous to a county in the calling area covered by the
251+22 local telephone directory.
252+23 (16) The act of listing an alternate business name or assumed
253+24 business name (as described in IC 23-0.5-3-4) in a directory
254+25 assistance data base if:
255+26 (A) the name misrepresents the supplier's geographic location;
256+27 (B) calls to the local telephone number are routinely forwarded
257+28 or otherwise transferred to a supplier's business location that
258+29 is outside the local calling area; and
259+30 (C) the supplier's business location is located in a county that
260+31 is not contiguous to a county in the local calling area.
261+32 (17) The violation by a supplier of IC 24-3-4 concerning
262+33 cigarettes for import or export.
263+34 (18) The act of a supplier in knowingly selling or reselling a
264+35 product to a consumer if the product has been recalled, whether
265+36 by the order of a court or a regulatory body, or voluntarily by the
266+37 manufacturer, distributor, or retailer, unless the product has been
267+38 repaired or modified to correct the defect that was the subject of
268+39 the recall.
269+40 (19) The violation by a supplier of 47 U.S.C. 227, including any
270+41 rules or regulations issued under 47 U.S.C. 227.
271+42 (20) The violation by a supplier of the federal Fair Debt
272+HB 1181—LS 6917/DI 119 6
273+1 Collection Practices Act (15 U.S.C. 1692 et seq.), including any
274+2 rules or regulations issued under the federal Fair Debt Collection
275+3 Practices Act (15 U.S.C. 1692 et seq.).
276+4 (21) A violation of IC 24-5-7 (concerning health spa services), as
277+5 set forth in IC 24-5-7-17.
278+6 (22) A violation of IC 24-5-8 (concerning business opportunity
279+7 transactions), as set forth in IC 24-5-8-20.
280+8 (23) A violation of IC 24-5-10 (concerning home consumer
281+9 transactions), as set forth in IC 24-5-10-18.
282+10 (24) A violation of IC 24-5-11 (concerning real property
283+11 improvement contracts), as set forth in IC 24-5-11-14.
284+12 (25) A violation of IC 24-5-12 (concerning telephone
285+13 solicitations), as set forth in IC 24-5-12-23.
286+14 (26) A violation of IC 24-5-13.5 (concerning buyback motor
287+15 vehicles), as set forth in IC 24-5-13.5-14.
288+16 (27) A violation of IC 24-5-14 (concerning automatic
289+17 dialing-announcing devices), as set forth in IC 24-5-14-13.
290+18 (28) A violation of IC 24-5-15 (concerning credit services
291+19 organizations), as set forth in IC 24-5-15-11.
292+20 (29) A violation of IC 24-5-16 (concerning unlawful motor
293+21 vehicle subleasing), as set forth in IC 24-5-16-18.
294+22 (30) A violation of IC 24-5-17 (concerning environmental
295+23 marketing claims), as set forth in IC 24-5-17-14.
296+24 (31) A violation of IC 24-5-19 (concerning deceptive commercial
297+25 solicitation), as set forth in IC 24-5-19-11.
298+26 (32) A violation of IC 24-5-21 (concerning prescription drug
299+27 discount cards), as set forth in IC 24-5-21-7.
300+28 (33) A violation of IC 24-5-23.5-7 (concerning real estate
301+29 appraisals), as set forth in IC 24-5-23.5-9.
302+30 (34) A violation of IC 24-5-26 (concerning identity theft), as set
303+31 forth in IC 24-5-26-3.
304+32 (35) A violation of IC 24-5.5 (concerning mortgage rescue fraud),
305+33 as set forth in IC 24-5.5-6-1.
306+34 (36) A violation of IC 24-8 (concerning promotional gifts and
307+35 contests), as set forth in IC 24-8-6-3.
308+36 (37) A violation of IC 21-18.5-6 (concerning representations
309+37 made by a postsecondary credit bearing proprietary educational
310+38 institution), as set forth in IC 21-18.5-6-22.5.
311+39 (38) A violation of IC 24-5-15.5 (concerning collection actions of
312+40 a plaintiff debt buyer), as set forth in IC 24-5-15.5-6.
313+41 (39) A violation of IC 24-14 (concerning towing services), as set
314+42 forth in IC 24-14-10-1.
315+HB 1181—LS 6917/DI 119 7
316+1 (40) A violation of IC 24-5-14.5 (concerning misleading or
317+2 inaccurate caller identification information), as set forth in
318+3 IC 24-5-14.5-12.
319+4 (41) A violation of IC 24-5-27 (concerning intrastate inmate
320+5 calling services), as set forth in IC 24-5-27-27.
321+6 (c) Any representations on or within a product or its packaging or
322+7 in advertising or promotional materials which would constitute a
323+8 deceptive act shall be the deceptive act both of the supplier who places
324+9 such representation thereon or therein, or who authored such materials,
325+10 and such other suppliers who shall state orally or in writing that such
326+11 representation is true if such other supplier shall know or have reason
327+12 to know that such representation was false.
328+13 (d) If a supplier shows by a preponderance of the evidence that an
329+14 act resulted from a bona fide error notwithstanding the maintenance of
330+15 procedures reasonably adopted to avoid the error, such act shall not be
331+16 deceptive within the meaning of this chapter.
332+17 (e) It shall be a defense to any action brought under this chapter that
333+18 the representation constituting an alleged deceptive act was one made
334+19 in good faith by the supplier without knowledge of its falsity and in
335+20 reliance upon the oral or written representations of the manufacturer,
336+21 the person from whom the supplier acquired the product, any testing
337+22 organization, or any other person provided that the source thereof is
338+23 disclosed to the consumer.
339+24 (f) For purposes of subsection (b)(12), a supplier that provides
340+25 estimates before performing repair or replacement work for a customer
341+26 shall give the customer a written estimate itemizing as closely as
342+27 possible the price for labor and parts necessary for the specific job
343+28 before commencing the work.
344+29 (g) For purposes of subsection (b)(15) and (b)(16), a telephone
345+30 company or other provider of a telephone directory or directory
346+31 assistance service or its officer or agent is immune from liability for
347+32 publishing the listing of an alternate business name or assumed
348+33 business name of a supplier in its directory or directory assistance data
349+34 base unless the telephone company or other provider of a telephone
350+35 directory or directory assistance service is the same person as the
351+36 supplier who has committed the deceptive act.
352+37 (h) For purposes of subsection (b)(18), it is an affirmative defense
353+38 to any action brought under this chapter that the product has been
354+39 altered by a person other than the defendant to render the product
355+40 completely incapable of serving its original purpose.
356+41 SECTION 8. IC 24-5-27 IS ADDED TO THE INDIANA CODE AS
357+42 A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE JULY
358+HB 1181—LS 6917/DI 119 8
359+1 1, 2022]:
360+2 Chapter 27. Intrastate Inmate Calling Services
361+3 Sec. 1. (a) Except as provided in subsections (b) and (c), sections
362+4 19 through 25 of this chapter apply to the following:
363+5 (1) An inmate calling services call that is initiated after June
364+6 30, 2022.
365+7 (2) A contract described in section 26 of this chapter that is
366+8 entered into or renewed after June 30, 2022, for the provision
367+9 of inmate calling services at a correctional facility.
368+10 (b) Sections 19 through 25 of this chapter do not apply to an
369+11 inmate calling services call that is:
370+12 (1) initiated after June 30, 2022; and
371+13 (2) made in connection with a contract described in section 26
372+14 of this chapter that is:
373+15 (A) entered into or renewed before July 1, 2022; and
374+16 (B) in effect at the time the inmate calling services call is
375+17 initiated.
376+18 (c) Sections 19 through 25 of this chapter do not apply with
377+19 respect to a contract described in section 26 of this chapter that is:
378+20 (1) entered into or renewed before July 1, 2022; and
379+21 (2) for the provision of inmate calling services at a
380+22 correctional facility.
381+23 The exemption from sections 19 through 25 of this chapter
382+24 provided by this subsection terminates when the contract or the
383+25 renewal of the contract either expires by its terms or is terminated
384+26 by any party to the contract.
385+27 Sec. 2. As used in this chapter, "ancillary service charge" means
386+28 any charge that:
387+29 (1) consumers may be assessed for, or in connection with, the
388+30 intrastate use of inmate calling services (including any
389+31 intrastate inmate calling services call that includes
390+32 jurisdictionally mixed charges); and
391+33 (2) is not included in the per minute charges assessed for
392+34 individual calls.
393+35 Sec. 3. As used in this chapter, "authorized fee" means a
394+36 government authorized, but discretionary, fee:
395+37 (1) that a provider must remit to a federal, state, or local
396+38 government; and
397+39 (2) with respect to which a provider is permitted, but not
398+40 required, to pass through to consumers;
399+41 for, or in connection with, intrastate inmate calling services.
400+42 Sec. 4. As used in this chapter, "collect calling" means an
401+HB 1181—LS 6917/DI 119 9
402+1 arrangement in which the called party takes affirmative action
403+2 clearly indicating that the party will pay the charges associated
404+3 with a call originating from an inmate telephone.
405+4 Sec. 5. (a) As used in this chapter, "consumer" means an
406+5 individual who pays, or is responsible for paying, a provider for
407+6 intrastate inmate calling services.
408+7 (b) The term includes an inmate who pays, or is responsible for
409+8 paying, a provider for intrastate inmate calling services.
410+9 Sec. 6. As used in this chapter, "correctional facility" means:
411+10 (1) a state penal institution;
412+11 (2) a county jail; or
413+12 (3) a secure juvenile facility;
414+13 in Indiana.
415+14 Sec. 7. As used in this chapter, "debit calling" means a
416+15 presubscription or comparable service that allows an inmate, or
417+16 someone acting on an inmate's behalf, to fund an account that:
418+17 (1) is set up through a provider; and
419+18 (2) can be used to pay for inmate calling services calls
420+19 originated by the inmate.
421+20 Sec. 8. As used in this chapter, "flat rate calling" means a
422+21 calling plan under which a provider charges a single fee for an
423+22 inmate calling services call, regardless of the duration of the call.
424+23 Sec. 9. As used in this chapter, "inmate" means an individual
425+24 detained at a correctional facility, regardless of the duration of the
426+25 detention.
427+26 Sec. 10. As used in this chapter, "inmate calling service" means
428+27 a service that allows inmates to make calls to individuals outside
429+28 the correctional facility where the inmate is being held, regardless
430+29 of the technology used to deliver the service.
431+30 Sec. 11. As used in this chapter, "inmate telephone" means a
432+31 telephone instrument, or other device capable of initiating calls, set
433+32 aside by authorities of a correctional facility for use by inmates.
434+33 Sec. 12. As used in this chapter, "intrastate call" means a call
435+34 that originates and terminates in Indiana.
436+35 Sec. 13. As used in this chapter, "jurisdictionally mixed charge"
437+36 means any charge that:
438+37 (1) consumers may be assessed for use of inmate calling
439+38 services;
440+39 (2) is not included in the per minute charges assessed for
441+40 individual calls; and
442+41 (3) is assessed for, or in connection with, the use of inmate
443+42 calling services to make calls that have:
444+HB 1181—LS 6917/DI 119 10
445+1 (A) interstate or international components; and
446+2 (B) intrastate components;
447+3 that are not able to be segregated at the time the charge is
448+4 incurred.
449+5 Sec. 14. As used in this chapter, "mandatory tax or fee" means
450+6 a tax or fee that a provider is required to:
451+7 (1) collect directly from consumers; and
452+8 (2) remit to federal, state, or local governments;
453+9 for, or in connection with, intrastate inmate calling services.
454+10 Sec. 15. As used in this chapter, "per call or per connection
455+11 charge" means a one (1) time fee charged to a consumer at call
456+12 initiation.
457+13 Sec. 16. As used in this chapter, "prepaid calling" means a
458+14 presubscription or comparable service in which:
459+15 (1) a consumer, other than an inmate, funds an account set up
460+16 through a provider; and
461+17 (2) funds from the account can then be used to pay for inmate
462+18 calling services, including calls that originate with an inmate.
463+19 Sec. 17. As used in this chapter, "prepaid collect calling" means
464+20 a calling arrangement that:
465+21 (1) allows an inmate to initiate an inmate calling services call
466+22 without having a preestablished billing arrangement; and
467+23 (2) provides a means, within that call, for the called party to
468+24 establish an arrangement with a provider for the party to be
469+25 billed directly by the provider for future calls from the same
470+26 inmate.
471+27 Sec. 18. As used in this chapter, "provider of inmate calling
472+28 services", or "provider", means any communications service
473+29 provider that provides inmate calling services, regardless of the
474+30 technology used to provide the services.
475+31 Sec. 19. (a) As used in this section, "site commission" means any
476+32 form of monetary payment, in kind payment, gift, exchange of
477+33 services or goods, fee, technology allowance, or product that a
478+34 provider of inmate calling services pays, gives, donates, or
479+35 otherwise provides to:
480+36 (1) an entity that operates a correctional facility;
481+37 (2) an entity with which the provider of inmate calling
482+38 services enters into an agreement to provide inmate calling
483+39 services;
484+40 (3) a governmental agency that oversees a correctional
485+41 facility;
486+42 (4) the city, county, or state in which a correctional facility is
487+HB 1181—LS 6917/DI 119 11
488+1 located; or
489+2 (5) an agent of a correctional facility.
490+3 (b) Subject to subsections (c) and (d), the rate for intrastate:
491+4 (1) collect calling;
492+5 (2) debit calling;
493+6 (3) prepaid calling; or
494+7 (4) prepaid collect calling;
495+8 in connection with inmate calling services may not exceed the rate
496+9 cap for the comparable interstate service in connection with inmate
497+10 calling services, as set by the Federal Communications Commission
498+11 and in effect at the time the call is initiated, including any interim
499+12 rate cap that is set by the Federal Communications Commission
500+13 and in effect at the time the call is initiated.
501+14 (c) An intrastate rate cap under subsection (b) is subject to any
502+15 distinctions in the comparable interstate rate cap set by the Federal
503+16 Communications Commission that are based on:
504+17 (1) the type or size of the correctional facility from which the
505+18 inmate calling services call is placed, including:
506+19 (A) whether the correctional facility is a jail or a prison, as
507+20 those terms may be defined by the Federal
508+21 Communications Commission at the time the call is
509+22 initiated; and
510+23 (B) the average daily population of the correctional
511+24 facility, as that term may be defined by the Federal
512+25 Communications Commission at the time the call is
513+26 initiated; and
514+27 (2) whether any site commission is sought to be recovered
515+28 through the intrastate rate for a service, including any
516+29 distinctions in the facility-related rate component, as that
517+30 term may be defined by the Federal Communications
518+31 Commission at the time the call is initiated, that are based on
519+32 whether the site commission is legally mandated or
520+33 contractually prescribed.
521+34 (d) A provider that has been granted a waiver by the Federal
522+35 Communications Commission from the interstate rate caps for the
523+36 inmate calling services described in subsection (b) with respect to
524+37 a particular:
525+38 (1) correctional facility; or
526+39 (2) contract for the provision of inmate calling services;
527+40 is not subject to the intrastate rate caps under subsection (b) for
528+41 the comparable intrastate services provided to the same
529+42 correctional facility or under the same contract. The exemption
530+HB 1181—LS 6917/DI 119 12
531+1 from the intrastate rate caps provided under this subsection runs
532+2 concurrently with the term of the exemption from the
533+3 corresponding interstate rate caps, as determined by the Federal
534+4 Communications Commission.
535+5 Sec. 20. (a) The following definitions apply throughout this
536+6 section:
537+7 (1) "Automated payment fee" means:
538+8 (A) a credit card payment fee;
539+9 (B) a debit card payment fee; or
540+10 (C) a bill processing fee.
541+11 The term includes fees for payments made by interactive voice
542+12 response, the Internet, or kiosk.
543+13 (2) "Fee for single call and related services" means a billing
544+14 arrangement in which:
545+15 (A) an inmate's collect calls are billed through a third
546+16 party on a per call basis; and
547+17 (B) the called party:
548+18 (i) does not have an account with the provider of inmate
549+19 calling services; or
550+20 (ii) does not want to establish an account with the
551+21 provider of inmate calling services.
552+22 (3) "Live agent fee" means a fee associated with the optional
553+23 use of a live operator to complete inmate calling services
554+24 transactions.
555+25 (4) "Paper bill or statement fee" means a fee associated with
556+26 providing a customer of inmate calling services an optional
557+27 paper billing statement.
558+28 (5) "Third party financial transaction fee" means the exact
559+29 fee, with no markup, that a provider of inmate calling services
560+30 is charged by a third party to transfer money or process
561+31 financial transactions to facilitate a consumer's ability to
562+32 make account payments through the third party.
563+33 (b) A provider may not charge an ancillary service charge for,
564+34 or in connection with, an intrastate inmate calling services call,
565+35 other than those ancillary service charges permitted by the Federal
566+36 Communications Commission for, or in connection with, interstate
567+37 or international inmate calling services calls at the time the call is
568+38 initiated.
569+39 (c) Subject to subsection (d), a rate for an ancillary service
570+40 charge permitted under subsection (b) for, or in connection with,
571+41 an intrastate inmate calling services call shall not exceed the rate
572+42 for the comparable ancillary service charge permitted by the
573+HB 1181—LS 6917/DI 119 13
574+1 Federal Communications Commission for, or in connection with,
575+2 interstate or international inmate calling services calls at the time
576+3 the call is initiated. Subject to subsection (b), ancillary service
577+4 charges subject to the rate cap set forth in this subsection include
578+5 the following:
579+6 (1) Automated payment fees.
580+7 (2) Fees for single call and related services.
581+8 (3) Live agent fees.
582+9 (4) Paper bill or statement fees.
583+10 (5) Third party financial transaction fees.
584+11 (d) A provider that has been granted a waiver by the Federal
585+12 Communications Commission from the ancillary service charge
586+13 caps for interstate or international inmate calling services calls
587+14 with respect to a particular:
588+15 (1) correctional facility; or
589+16 (2) contract for the provision of inmate calling services;
590+17 is not subject to the intrastate caps under subsection (c) for the
591+18 comparable intrastate ancillary services provided to the same
592+19 correctional facility or under the same contract. The exemption
593+20 from the intrastate ancillary service charge caps provided under
594+21 this subsection runs concurrently with the term of the exemption
595+22 from the corresponding interstate or international ancillary service
596+23 charge caps, as determined by the Federal Communications
597+24 Commission.
598+25 Sec. 21. (a) Except as provided in subsection (b), a provider shall
599+26 not:
600+27 (1) prohibit or prevent completion of an intrastate collect
601+28 calling call made in connection with an inmate calling service;
602+29 or
603+30 (2) decline to establish or otherwise degrade intrastate collect
604+31 calling made in connection with inmate calling services;
605+32 solely for the reason that the provider lacks a billing relationship
606+33 with the called party's communications service provider.
607+34 (b) The prohibitions set forth in subsection (a) do not apply if a
608+35 provider offers debit calling, prepaid calling, or prepaid collect
609+36 calling for intrastate inmate calling services calls.
610+37 Sec. 22. (a) A provider may not charge any taxes or fees to users
611+38 of inmate calling services for, or in connection with, intrastate
612+39 calls, except for the following:
613+40 (1) Authorized fees.
614+41 (2) Mandatory taxes and fees.
615+42 (b) Any:
616+HB 1181—LS 6917/DI 119 14
617+1 (1) authorized fee; or
618+2 (2) mandatory tax or fee;
619+3 passed through to consumers for, or in connection with, intrastate
620+4 inmate calling services may not include a markup, unless the
621+5 markup is specifically authorized by a federal, state, or local
622+6 statute, rule, or regulation.
623+7 Sec. 23. A provider may not impose a per call or per connection
624+8 charge on a consumer for any intrastate inmate calling services
625+9 call.
626+10 Sec. 24. A provider may not offer flat rate calling for intrastate
627+11 inmate calling services.
628+12 Sec. 25. (a) A provider may not institute a minimum balance
629+13 requirement for a consumer to use:
630+14 (1) debit calling; or
631+15 (2) prepaid calling;
632+16 for intrastate inmate calling services calls.
633+17 (b) A provider may not prohibit a consumer from depositing at
634+18 least fifty dollars ($50) per transaction to fund a:
635+19 (1) debit calling; or
636+20 (2) prepaid calling;
637+21 account that can be used for intrastate inmate calling services calls.
638+22 Sec. 26. (a) After June 30, 2022, a provider shall not enter into
639+23 or renew a contract with:
640+24 (1) the department of correction; or
641+25 (2) any:
642+26 (A) county;
643+27 (B) city; or
644+28 (C) public or private agency or organization;
645+29 that operates a correctional facility in Indiana;
646+30 for the provision of inmate calling services at a correctional facility
647+31 unless the terms of the contract comply with this chapter.
648+32 (b) Any term, condition, or provision that:
649+33 (1) is included in a contract that is entered into or renewed
650+34 after June 30, 2022, for the provision of inmate calling
651+35 services at a correctional facility; and
652+36 (2) violates this chapter;
653+37 is void.
654+38 Sec. 27. A provider that violates this chapter:
655+39 (1) commits a deceptive act that is actionable by the attorney
656+40 general or by a consumer under IC 24-5-0.5-4; and
657+41 (2) is subject to the remedies and penalties under IC 24-5-0.5.
658+HB 1181—LS 6917/DI 119 15
659+COMMITTEE REPORT
660+Mr. Speaker: Your Committee on Courts and Criminal Code, to
661+which was referred House Bill 1181, has had the same under
662+consideration and begs leave to report the same back to the House with
663+the recommendation that said bill be amended as follows:
664+Page 1, between the enacting clause and line 1, begin a new
665+paragraph and insert:
666+"SECTION 1. IC 11-8-3-1 IS AMENDED TO READ AS
667+FOLLOWS [EFFECTIVE JULY 1, 2022]: Sec. 1. (a) The department
668+may contract with any city, county, state, or federal authority, or with
669+other public or private organizations, for:
18670 (1) the custody, care, confinement, or treatment of committed
19671 persons; or
20672 (2) subject to subsection (e), the provision of other correctional
21673 or related services to committed persons.
22674 (b) Before transferring a committed person to the custody, care, or
23675 control of an agency or organization under such a contract, the
24676 department must approve the receiving facility or program as suitable
25677 for the supervision and care of the person.
26678 (c) The department may contract with individuals for the provision
27679 of services to the department.
28680 (d) To fund contracts under this section the department may use:
29681 (1) its regular budgeted monies; and
30682 (2) if applicable, monies deducted from the person's earnings
31683 under IC 11-10-7-5 or IC 11-10-8-6.
32684 (e) After June 30, 2022, the department may not enter into or
33685 renew a contract with a provider of inmate calling services for the
34686 provision of inmate calling services at a correctional facility unless
35687 the terms of the contract comply with IC 24-5-27. Any term,
36-HEA 1181 2
37688 condition, or provision that:
38689 (1) is included in a contract that is entered into or renewed
39690 after June 30, 2022, for the provision of inmate calling
40691 services at a correctional facility; and
41692 (2) violates IC 24-5-27;
42693 is void.
43694 (f) After June 30, 2022, a county owning or operating a
44695 correctional facility may not enter into or renew a contract with a
45696 provider of inmate calling services for the provision of inmate
46697 calling services at the correctional facility unless the terms of the
47698 contract comply with IC 24-5-27. Any term, condition, or provision
48699 that:
49700 (1) is included in a contract that is entered into or renewed
701+HB 1181—LS 6917/DI 119 16
50702 after June 30, 2022, for the provision of inmate calling
51703 services at the correctional facility; and
52704 (2) violates IC 24-5-27;
53-is void.
54-SECTION 2. IC 11-14-3-1 IS REPEALED [EFFECTIVE JULY 1,
55-2022]. Sec. 1. When sentencing a youthful offender, the sentencing
56-court may recommend to the department that the youthful offender be
57-placed in boot camp.
58-SECTION 3. IC 11-14-3-2 IS REPEALED [EFFECTIVE JULY 1,
59-2022]. Sec. 2. When a youthful offender is committed to the
60-department, the department shall determine whether the youthful
61-offender is eligible to participate in boot camp and whether the
62-youthful offender wishes to participate in boot camp. This
63-determination must be made when the youthful offender is evaluated
64-at the department's reception and diagnostic center.
65-SECTION 4. IC 11-14-3-3 IS REPEALED [EFFECTIVE JULY 1,
66-2022]. Sec. 3. If the department determines that a youthful offender is
67-eligible to participate in boot camp, space is available in boot camp,
68-and the youthful offender desires to participate, the department shall
69-place the youthful offender in boot camp.
70-SECTION 5. IC 11-14-3-6 IS REPEALED [EFFECTIVE JULY 1,
71-2022]. Sec. 6. If the department:
72-(1) receives a recommendation for boot camp placement under
73-section 1 of this chapter; and
74-(2) determines that the youthful offender is not eligible to
75-participate in boot camp;
76-the department shall notify the sentencing court of the determination
77-of noneligibility.
78-SECTION 6. IC 11-14-5 IS ADDED TO THE INDIANA CODE AS
79-HEA 1181 3
80-A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE JULY
81-1, 2022]:
82-Chapter 5. Expiration
83-Sec. 1. This article expires December 31, 2023.
84-SECTION 7. IC 24-5-0.5-3, AS AMENDED BY P.L.156-2020,
705+is void.".
706+Page 2, after line 12, begin a new paragraph and insert:
707+"SECTION 7. IC 24-5-0.5-3, AS AMENDED BY P.L.156-2020,
85708 SECTION 87, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
86709 JULY 1, 2022]: Sec. 3. (a) A supplier may not commit an unfair,
87710 abusive, or deceptive act, omission, or practice in connection with a
88711 consumer transaction. Such an act, omission, or practice by a supplier
89712 is a violation of this chapter whether it occurs before, during, or after
90713 the transaction. An act, omission, or practice prohibited by this section
91714 includes both implicit and explicit misrepresentations.
92715 (b) Without limiting the scope of subsection (a), the following acts,
93716 and the following representations as to the subject matter of a
94717 consumer transaction, made orally, in writing, or by electronic
95718 communication, by a supplier, are deceptive acts:
96719 (1) That such subject of a consumer transaction has sponsorship,
97720 approval, performance, characteristics, accessories, uses, or
98721 benefits it does not have which the supplier knows or should
99722 reasonably know it does not have.
100723 (2) That such subject of a consumer transaction is of a particular
101724 standard, quality, grade, style, or model, if it is not and if the
102725 supplier knows or should reasonably know that it is not.
103726 (3) That such subject of a consumer transaction is new or unused,
104727 if it is not and if the supplier knows or should reasonably know
105728 that it is not.
106729 (4) That such subject of a consumer transaction will be supplied
107730 to the public in greater quantity than the supplier intends or
108731 reasonably expects.
109732 (5) That replacement or repair constituting the subject of a
110733 consumer transaction is needed, if it is not and if the supplier
111734 knows or should reasonably know that it is not.
112735 (6) That a specific price advantage exists as to such subject of a
113736 consumer transaction, if it does not and if the supplier knows or
114737 should reasonably know that it does not.
115738 (7) That the supplier has a sponsorship, approval, or affiliation in
116739 such consumer transaction the supplier does not have, and which
117740 the supplier knows or should reasonably know that the supplier
118741 does not have.
119742 (8) That such consumer transaction involves or does not involve
120743 a warranty, a disclaimer of warranties, or other rights, remedies,
744+HB 1181—LS 6917/DI 119 17
121745 or obligations, if the representation is false and if the supplier
122-HEA 1181 4
123746 knows or should reasonably know that the representation is false.
124747 (9) That the consumer will receive a rebate, discount, or other
125748 benefit as an inducement for entering into a sale or lease in return
126749 for giving the supplier the names of prospective consumers or
127750 otherwise helping the supplier to enter into other consumer
128751 transactions, if earning the benefit, rebate, or discount is
129752 contingent upon the occurrence of an event subsequent to the time
130753 the consumer agrees to the purchase or lease.
131754 (10) That the supplier is able to deliver or complete the subject of
132755 the consumer transaction within a stated period of time, when the
133756 supplier knows or should reasonably know the supplier could not.
134757 If no time period has been stated by the supplier, there is a
135758 presumption that the supplier has represented that the supplier
136759 will deliver or complete the subject of the consumer transaction
137760 within a reasonable time, according to the course of dealing or the
138761 usage of the trade.
139762 (11) That the consumer will be able to purchase the subject of the
140763 consumer transaction as advertised by the supplier, if the supplier
141764 does not intend to sell it.
142765 (12) That the replacement or repair constituting the subject of a
143766 consumer transaction can be made by the supplier for the estimate
144767 the supplier gives a customer for the replacement or repair, if the
145768 specified work is completed and:
146769 (A) the cost exceeds the estimate by an amount equal to or
147770 greater than ten percent (10%) of the estimate;
148771 (B) the supplier did not obtain written permission from the
149772 customer to authorize the supplier to complete the work even
150773 if the cost would exceed the amounts specified in clause (A);
151774 (C) the total cost for services and parts for a single transaction
152775 is more than seven hundred fifty dollars ($750); and
153776 (D) the supplier knew or reasonably should have known that
154777 the cost would exceed the estimate in the amounts specified in
155778 clause (A).
156779 (13) That the replacement or repair constituting the subject of a
157780 consumer transaction is needed, and that the supplier disposes of
158781 the part repaired or replaced earlier than seventy-two (72) hours
159782 after both:
160783 (A) the customer has been notified that the work has been
161784 completed; and
162785 (B) the part repaired or replaced has been made available for
163786 examination upon the request of the customer.
787+HB 1181—LS 6917/DI 119 18
164788 (14) Engaging in the replacement or repair of the subject of a
165-HEA 1181 5
166789 consumer transaction if the consumer has not authorized the
167790 replacement or repair, and if the supplier knows or should
168791 reasonably know that it is not authorized.
169792 (15) The act of misrepresenting the geographic location of the
170793 supplier by listing an alternate business name or an assumed
171794 business name (as described in IC 23-0.5-3-4) in a local telephone
172795 directory if:
173796 (A) the name misrepresents the supplier's geographic location;
174797 (B) the listing fails to identify the locality and state of the
175798 supplier's business;
176799 (C) calls to the local telephone number are routinely forwarded
177800 or otherwise transferred to a supplier's business location that
178801 is outside the calling area covered by the local telephone
179802 directory; and
180803 (D) the supplier's business location is located in a county that
181804 is not contiguous to a county in the calling area covered by the
182805 local telephone directory.
183806 (16) The act of listing an alternate business name or assumed
184807 business name (as described in IC 23-0.5-3-4) in a directory
185808 assistance data base if:
186809 (A) the name misrepresents the supplier's geographic location;
187810 (B) calls to the local telephone number are routinely forwarded
188811 or otherwise transferred to a supplier's business location that
189812 is outside the local calling area; and
190813 (C) the supplier's business location is located in a county that
191814 is not contiguous to a county in the local calling area.
192815 (17) The violation by a supplier of IC 24-3-4 concerning
193816 cigarettes for import or export.
194817 (18) The act of a supplier in knowingly selling or reselling a
195818 product to a consumer if the product has been recalled, whether
196819 by the order of a court or a regulatory body, or voluntarily by the
197820 manufacturer, distributor, or retailer, unless the product has been
198821 repaired or modified to correct the defect that was the subject of
199822 the recall.
200823 (19) The violation by a supplier of 47 U.S.C. 227, including any
201824 rules or regulations issued under 47 U.S.C. 227.
202825 (20) The violation by a supplier of the federal Fair Debt
203826 Collection Practices Act (15 U.S.C. 1692 et seq.), including any
204827 rules or regulations issued under the federal Fair Debt Collection
205828 Practices Act (15 U.S.C. 1692 et seq.).
206829 (21) A violation of IC 24-5-7 (concerning health spa services), as
830+HB 1181—LS 6917/DI 119 19
207831 set forth in IC 24-5-7-17.
208-HEA 1181 6
209832 (22) A violation of IC 24-5-8 (concerning business opportunity
210833 transactions), as set forth in IC 24-5-8-20.
211834 (23) A violation of IC 24-5-10 (concerning home consumer
212835 transactions), as set forth in IC 24-5-10-18.
213836 (24) A violation of IC 24-5-11 (concerning real property
214837 improvement contracts), as set forth in IC 24-5-11-14.
215838 (25) A violation of IC 24-5-12 (concerning telephone
216839 solicitations), as set forth in IC 24-5-12-23.
217840 (26) A violation of IC 24-5-13.5 (concerning buyback motor
218841 vehicles), as set forth in IC 24-5-13.5-14.
219842 (27) A violation of IC 24-5-14 (concerning automatic
220843 dialing-announcing devices), as set forth in IC 24-5-14-13.
221844 (28) A violation of IC 24-5-15 (concerning credit services
222845 organizations), as set forth in IC 24-5-15-11.
223846 (29) A violation of IC 24-5-16 (concerning unlawful motor
224847 vehicle subleasing), as set forth in IC 24-5-16-18.
225848 (30) A violation of IC 24-5-17 (concerning environmental
226849 marketing claims), as set forth in IC 24-5-17-14.
227850 (31) A violation of IC 24-5-19 (concerning deceptive commercial
228851 solicitation), as set forth in IC 24-5-19-11.
229852 (32) A violation of IC 24-5-21 (concerning prescription drug
230853 discount cards), as set forth in IC 24-5-21-7.
231854 (33) A violation of IC 24-5-23.5-7 (concerning real estate
232855 appraisals), as set forth in IC 24-5-23.5-9.
233856 (34) A violation of IC 24-5-26 (concerning identity theft), as set
234857 forth in IC 24-5-26-3.
235858 (35) A violation of IC 24-5.5 (concerning mortgage rescue fraud),
236859 as set forth in IC 24-5.5-6-1.
237860 (36) A violation of IC 24-8 (concerning promotional gifts and
238861 contests), as set forth in IC 24-8-6-3.
239862 (37) A violation of IC 21-18.5-6 (concerning representations
240863 made by a postsecondary credit bearing proprietary educational
241864 institution), as set forth in IC 21-18.5-6-22.5.
242865 (38) A violation of IC 24-5-15.5 (concerning collection actions of
243866 a plaintiff debt buyer), as set forth in IC 24-5-15.5-6.
244867 (39) A violation of IC 24-14 (concerning towing services), as set
245868 forth in IC 24-14-10-1.
246869 (40) A violation of IC 24-5-14.5 (concerning misleading or
247870 inaccurate caller identification information), as set forth in
248871 IC 24-5-14.5-12.
249872 (41) A violation of IC 24-5-27 (concerning intrastate inmate
873+HB 1181—LS 6917/DI 119 20
250874 calling services), as set forth in IC 24-5-27-27.
251-HEA 1181 7
252875 (c) Any representations on or within a product or its packaging or
253876 in advertising or promotional materials which would constitute a
254877 deceptive act shall be the deceptive act both of the supplier who places
255878 such representation thereon or therein, or who authored such materials,
256879 and such other suppliers who shall state orally or in writing that such
257880 representation is true if such other supplier shall know or have reason
258881 to know that such representation was false.
259882 (d) If a supplier shows by a preponderance of the evidence that an
260883 act resulted from a bona fide error notwithstanding the maintenance of
261884 procedures reasonably adopted to avoid the error, such act shall not be
262885 deceptive within the meaning of this chapter.
263886 (e) It shall be a defense to any action brought under this chapter that
264887 the representation constituting an alleged deceptive act was one made
265888 in good faith by the supplier without knowledge of its falsity and in
266889 reliance upon the oral or written representations of the manufacturer,
267890 the person from whom the supplier acquired the product, any testing
268891 organization, or any other person provided that the source thereof is
269892 disclosed to the consumer.
270893 (f) For purposes of subsection (b)(12), a supplier that provides
271894 estimates before performing repair or replacement work for a customer
272895 shall give the customer a written estimate itemizing as closely as
273896 possible the price for labor and parts necessary for the specific job
274897 before commencing the work.
275898 (g) For purposes of subsection (b)(15) and (b)(16), a telephone
276899 company or other provider of a telephone directory or directory
277900 assistance service or its officer or agent is immune from liability for
278901 publishing the listing of an alternate business name or assumed
279902 business name of a supplier in its directory or directory assistance data
280903 base unless the telephone company or other provider of a telephone
281904 directory or directory assistance service is the same person as the
282905 supplier who has committed the deceptive act.
283906 (h) For purposes of subsection (b)(18), it is an affirmative defense
284907 to any action brought under this chapter that the product has been
285908 altered by a person other than the defendant to render the product
286909 completely incapable of serving its original purpose.
287910 SECTION 8. IC 24-5-27 IS ADDED TO THE INDIANA CODE AS
288911 A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE JULY
289912 1, 2022]:
290913 Chapter 27. Intrastate Inmate Calling Services
291914 Sec. 1. (a) Except as provided in subsections (b) and (c), sections
292915 19 through 25 of this chapter apply to the following:
916+HB 1181—LS 6917/DI 119 21
293917 (1) An inmate calling services call that is initiated after June
294-HEA 1181 8
295918 30, 2022.
296919 (2) A contract described in section 26 of this chapter that is
297920 entered into or renewed after June 30, 2022, for the provision
298921 of inmate calling services at a correctional facility.
299922 (b) Sections 19 through 25 of this chapter do not apply to an
300923 inmate calling services call that is:
301924 (1) initiated after June 30, 2022; and
302925 (2) made in connection with a contract described in section 26
303926 of this chapter that is:
304927 (A) entered into or renewed before July 1, 2022; and
305928 (B) in effect at the time the inmate calling services call is
306929 initiated.
307930 (c) Sections 19 through 25 of this chapter do not apply with
308931 respect to a contract described in section 26 of this chapter that is:
309932 (1) entered into or renewed before July 1, 2022; and
310933 (2) for the provision of inmate calling services at a
311934 correctional facility.
312935 The exemption from sections 19 through 25 of this chapter
313936 provided by this subsection terminates when the contract or the
314937 renewal of the contract either expires by its terms or is terminated
315938 by any party to the contract.
316939 Sec. 2. As used in this chapter, "ancillary service charge" means
317940 any charge that:
318941 (1) consumers may be assessed for, or in connection with, the
319942 intrastate use of inmate calling services (including any
320943 intrastate inmate calling services call that includes
321944 jurisdictionally mixed charges); and
322945 (2) is not included in the per minute charges assessed for
323946 individual calls.
324947 Sec. 3. As used in this chapter, "authorized fee" means a
325948 government authorized, but discretionary, fee:
326949 (1) that a provider must remit to a federal, state, or local
327950 government; and
328951 (2) with respect to which a provider is permitted, but not
329952 required, to pass through to consumers;
330953 for, or in connection with, intrastate inmate calling services.
331954 Sec. 4. As used in this chapter, "collect calling" means an
332955 arrangement in which the called party takes affirmative action
333956 clearly indicating that the party will pay the charges associated
334957 with a call originating from an inmate telephone.
335958 Sec. 5. (a) As used in this chapter, "consumer" means an
959+HB 1181—LS 6917/DI 119 22
336960 individual who pays, or is responsible for paying, a provider for
337-HEA 1181 9
338961 intrastate inmate calling services.
339962 (b) The term includes an inmate who pays, or is responsible for
340963 paying, a provider for intrastate inmate calling services.
341964 Sec. 6. As used in this chapter, "correctional facility" means:
342965 (1) a state penal institution;
343966 (2) a county jail; or
344967 (3) a secure juvenile facility;
345968 in Indiana.
346969 Sec. 7. As used in this chapter, "debit calling" means a
347970 presubscription or comparable service that allows an inmate, or
348971 someone acting on an inmate's behalf, to fund an account that:
349972 (1) is set up through a provider; and
350973 (2) can be used to pay for inmate calling services calls
351974 originated by the inmate.
352975 Sec. 8. As used in this chapter, "flat rate calling" means a
353976 calling plan under which a provider charges a single fee for an
354977 inmate calling services call, regardless of the duration of the call.
355978 Sec. 9. As used in this chapter, "inmate" means an individual
356979 detained at a correctional facility, regardless of the duration of the
357980 detention.
358981 Sec. 10. As used in this chapter, "inmate calling service" means
359982 a service that allows inmates to make calls to individuals outside
360983 the correctional facility where the inmate is being held, regardless
361984 of the technology used to deliver the service.
362985 Sec. 11. As used in this chapter, "inmate telephone" means a
363986 telephone instrument, or other device capable of initiating calls, set
364987 aside by authorities of a correctional facility for use by inmates.
365988 Sec. 12. As used in this chapter, "intrastate call" means a call
366989 that originates and terminates in Indiana.
367990 Sec. 13. As used in this chapter, "jurisdictionally mixed charge"
368991 means any charge that:
369992 (1) consumers may be assessed for use of inmate calling
370993 services;
371994 (2) is not included in the per minute charges assessed for
372995 individual calls; and
373996 (3) is assessed for, or in connection with, the use of inmate
374997 calling services to make calls that have:
375998 (A) interstate or international components; and
376999 (B) intrastate components;
3771000 that are not able to be segregated at the time the charge is
3781001 incurred.
1002+HB 1181—LS 6917/DI 119 23
3791003 Sec. 14. As used in this chapter, "mandatory tax or fee" means
380-HEA 1181 10
3811004 a tax or fee that a provider is required to:
3821005 (1) collect directly from consumers; and
3831006 (2) remit to federal, state, or local governments;
3841007 for, or in connection with, intrastate inmate calling services.
3851008 Sec. 15. As used in this chapter, "per call or per connection
3861009 charge" means a one (1) time fee charged to a consumer at call
3871010 initiation.
3881011 Sec. 16. As used in this chapter, "prepaid calling" means a
3891012 presubscription or comparable service in which:
3901013 (1) a consumer, other than an inmate, funds an account set up
3911014 through a provider; and
3921015 (2) funds from the account can then be used to pay for inmate
3931016 calling services, including calls that originate with an inmate.
3941017 Sec. 17. As used in this chapter, "prepaid collect calling" means
3951018 a calling arrangement that:
3961019 (1) allows an inmate to initiate an inmate calling services call
3971020 without having a preestablished billing arrangement; and
3981021 (2) provides a means, within that call, for the called party to
3991022 establish an arrangement with a provider for the party to be
4001023 billed directly by the provider for future calls from the same
4011024 inmate.
4021025 Sec. 18. As used in this chapter, "provider of inmate calling
4031026 services", or "provider", means any communications service
4041027 provider that provides inmate calling services, regardless of the
4051028 technology used to provide the services.
4061029 Sec. 19. (a) As used in this section, "site commission" means any
4071030 form of monetary payment, in kind payment, gift, exchange of
4081031 services or goods, fee, technology allowance, or product that a
4091032 provider of inmate calling services pays, gives, donates, or
4101033 otherwise provides to:
4111034 (1) an entity that operates a correctional facility;
4121035 (2) an entity with which the provider of inmate calling
4131036 services enters into an agreement to provide inmate calling
4141037 services;
4151038 (3) a governmental agency that oversees a correctional
4161039 facility;
4171040 (4) the city, county, or state in which a correctional facility is
4181041 located; or
4191042 (5) an agent of a correctional facility.
4201043 (b) Subject to subsections (c) and (d), the rate for intrastate:
4211044 (1) collect calling;
1045+HB 1181—LS 6917/DI 119 24
4221046 (2) debit calling;
423-HEA 1181 11
4241047 (3) prepaid calling; or
4251048 (4) prepaid collect calling;
4261049 in connection with inmate calling services may not exceed the rate
4271050 cap for the comparable interstate service in connection with inmate
4281051 calling services, as set by the Federal Communications Commission
4291052 and in effect at the time the call is initiated, including any interim
4301053 rate cap that is set by the Federal Communications Commission
4311054 and in effect at the time the call is initiated.
4321055 (c) An intrastate rate cap under subsection (b) is subject to any
4331056 distinctions in the comparable interstate rate cap set by the Federal
4341057 Communications Commission that are based on:
4351058 (1) the type or size of the correctional facility from which the
4361059 inmate calling services call is placed, including:
4371060 (A) whether the correctional facility is a jail or a prison, as
4381061 those terms may be defined by the Federal
4391062 Communications Commission at the time the call is
4401063 initiated; and
4411064 (B) the average daily population of the correctional
4421065 facility, as that term may be defined by the Federal
4431066 Communications Commission at the time the call is
4441067 initiated; and
4451068 (2) whether any site commission is sought to be recovered
4461069 through the intrastate rate for a service, including any
4471070 distinctions in the facility-related rate component, as that
4481071 term may be defined by the Federal Communications
4491072 Commission at the time the call is initiated, that are based on
4501073 whether the site commission is legally mandated or
4511074 contractually prescribed.
4521075 (d) A provider that has been granted a waiver by the Federal
4531076 Communications Commission from the interstate rate caps for the
4541077 inmate calling services described in subsection (b) with respect to
4551078 a particular:
4561079 (1) correctional facility; or
4571080 (2) contract for the provision of inmate calling services;
4581081 is not subject to the intrastate rate caps under subsection (b) for
4591082 the comparable intrastate services provided to the same
4601083 correctional facility or under the same contract. The exemption
4611084 from the intrastate rate caps provided under this subsection runs
4621085 concurrently with the term of the exemption from the
4631086 corresponding interstate rate caps, as determined by the Federal
4641087 Communications Commission.
1088+HB 1181—LS 6917/DI 119 25
4651089 Sec. 20. (a) The following definitions apply throughout this
466-HEA 1181 12
4671090 section:
4681091 (1) "Automated payment fee" means:
4691092 (A) a credit card payment fee;
4701093 (B) a debit card payment fee; or
4711094 (C) a bill processing fee.
4721095 The term includes fees for payments made by interactive voice
4731096 response, the Internet, or kiosk.
4741097 (2) "Fee for single call and related services" means a billing
4751098 arrangement in which:
4761099 (A) an inmate's collect calls are billed through a third
4771100 party on a per call basis; and
4781101 (B) the called party:
4791102 (i) does not have an account with the provider of inmate
4801103 calling services; or
4811104 (ii) does not want to establish an account with the
4821105 provider of inmate calling services.
4831106 (3) "Live agent fee" means a fee associated with the optional
4841107 use of a live operator to complete inmate calling services
4851108 transactions.
4861109 (4) "Paper bill or statement fee" means a fee associated with
4871110 providing a customer of inmate calling services an optional
4881111 paper billing statement.
4891112 (5) "Third party financial transaction fee" means the exact
4901113 fee, with no markup, that a provider of inmate calling services
4911114 is charged by a third party to transfer money or process
4921115 financial transactions to facilitate a consumer's ability to
4931116 make account payments through the third party.
4941117 (b) A provider may not charge an ancillary service charge for,
4951118 or in connection with, an intrastate inmate calling services call,
4961119 other than those ancillary service charges permitted by the Federal
4971120 Communications Commission for, or in connection with, interstate
4981121 or international inmate calling services calls at the time the call is
4991122 initiated.
5001123 (c) Subject to subsection (d), a rate for an ancillary service
5011124 charge permitted under subsection (b) for, or in connection with,
5021125 an intrastate inmate calling services call shall not exceed the rate
5031126 for the comparable ancillary service charge permitted by the
5041127 Federal Communications Commission for, or in connection with,
5051128 interstate or international inmate calling services calls at the time
5061129 the call is initiated. Subject to subsection (b), ancillary service
5071130 charges subject to the rate cap set forth in this subsection include
1131+HB 1181—LS 6917/DI 119 26
5081132 the following:
509-HEA 1181 13
5101133 (1) Automated payment fees.
5111134 (2) Fees for single call and related services.
5121135 (3) Live agent fees.
5131136 (4) Paper bill or statement fees.
5141137 (5) Third party financial transaction fees.
5151138 (d) A provider that has been granted a waiver by the Federal
5161139 Communications Commission from the ancillary service charge
5171140 caps for interstate or international inmate calling services calls
5181141 with respect to a particular:
5191142 (1) correctional facility; or
5201143 (2) contract for the provision of inmate calling services;
5211144 is not subject to the intrastate caps under subsection (c) for the
5221145 comparable intrastate ancillary services provided to the same
5231146 correctional facility or under the same contract. The exemption
5241147 from the intrastate ancillary service charge caps provided under
5251148 this subsection runs concurrently with the term of the exemption
5261149 from the corresponding interstate or international ancillary service
5271150 charge caps, as determined by the Federal Communications
5281151 Commission.
5291152 Sec. 21. (a) Except as provided in subsection (b), a provider shall
5301153 not:
5311154 (1) prohibit or prevent completion of an intrastate collect
5321155 calling call made in connection with an inmate calling service;
5331156 or
5341157 (2) decline to establish or otherwise degrade intrastate collect
5351158 calling made in connection with inmate calling services;
5361159 solely for the reason that the provider lacks a billing relationship
5371160 with the called party's communications service provider.
5381161 (b) The prohibitions set forth in subsection (a) do not apply if a
5391162 provider offers debit calling, prepaid calling, or prepaid collect
5401163 calling for intrastate inmate calling services calls.
5411164 Sec. 22. (a) A provider may not charge any taxes or fees to users
5421165 of inmate calling services for, or in connection with, intrastate
5431166 calls, except for the following:
5441167 (1) Authorized fees.
5451168 (2) Mandatory taxes and fees.
5461169 (b) Any:
5471170 (1) authorized fee; or
5481171 (2) mandatory tax or fee;
5491172 passed through to consumers for, or in connection with, intrastate
5501173 inmate calling services may not include a markup, unless the
1174+HB 1181—LS 6917/DI 119 27
5511175 markup is specifically authorized by a federal, state, or local
552-HEA 1181 14
5531176 statute, rule, or regulation.
5541177 Sec. 23. A provider may not impose a per call or per connection
5551178 charge on a consumer for any intrastate inmate calling services
5561179 call.
5571180 Sec. 24. A provider may not offer flat rate calling for intrastate
5581181 inmate calling services.
5591182 Sec. 25. (a) A provider may not institute a minimum balance
5601183 requirement for a consumer to use:
5611184 (1) debit calling; or
5621185 (2) prepaid calling;
5631186 for intrastate inmate calling services calls.
5641187 (b) A provider may not prohibit a consumer from depositing at
5651188 least fifty dollars ($50) per transaction to fund a:
5661189 (1) debit calling; or
5671190 (2) prepaid calling;
5681191 account that can be used for intrastate inmate calling services calls.
5691192 Sec. 26. (a) After June 30, 2022, a provider shall not enter into
5701193 or renew a contract with:
5711194 (1) the department of correction; or
5721195 (2) any:
5731196 (A) county;
5741197 (B) city; or
5751198 (C) public or private agency or organization;
5761199 that operates a correctional facility in Indiana;
5771200 for the provision of inmate calling services at a correctional facility
5781201 unless the terms of the contract comply with this chapter.
5791202 (b) Any term, condition, or provision that:
5801203 (1) is included in a contract that is entered into or renewed
5811204 after June 30, 2022, for the provision of inmate calling
5821205 services at a correctional facility; and
5831206 (2) violates this chapter;
5841207 is void.
5851208 Sec. 27. A provider that violates this chapter:
5861209 (1) commits a deceptive act that is actionable by the attorney
5871210 general or by a consumer under IC 24-5-0.5-4; and
588-(2) is subject to the remedies and penalties under IC 24-5-0.5.
589-HEA 1181 Speaker of the House of Representatives
590-President of the Senate
591-President Pro Tempore
592-Governor of the State of Indiana
593-Date: Time:
594-HEA 1181
1211+(2) is subject to the remedies and penalties under
1212+IC 24-5-0.5.".
1213+Renumber all SECTIONS consecutively.
1214+and when so amended that said bill do pass.
1215+HB 1181—LS 6917/DI 119 28
1216+(Reference is to HB 1181 as introduced.)
1217+SCHAIBLEY
1218+Committee Vote: yeas 11, nays 0.
1219+HB 1181—LS 6917/DI 119