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 6169 NOTE PREPARED: Jan 18, 2022
BILL NUMBER: HB 1205 BILL AMENDED:
SUBJECT: Uniform Trust Decanting Act and Trustee Duties.
FIRST AUTHOR: Rep. Young J BILL STATUS: 2
nd
Reading - 1
st
House
FIRST SPONSOR:
FUNDS AFFECTED: GENERAL IMPACT: No Fiscal Impact
DEDICATED
FEDERAL
Summary of Legislation: The bill allows a trustee of an irrevocable trust to appoint a successor trustee or
multiple trustees. It provides that a trustee's power to appoint a successor trustee includes the power to
allocate trustee powers to one or more trustees. It enacts the uniform trust decanting act. It creates a
definition of the decanting power to include a power by a trustee to make limited modifications to an
irrevocable trust, including an asset transfer to a new trust. It requires that a modification be consistent with
a settlor's or charitable organization's intent. It permits the trustee of an existing trust to make modifications
to or distributions from an existing trust for the benefit of a disabled beneficiary. It prohibits a trustee from
being required to decant. It also requires advanced notice to all qualified beneficiaries. (The introduced
version of this bill was prepared by the Probate Code Commission.)
Effective Date: July 1, 2022.
Explanation of State Expenditures:
Explanation of State Revenues:
Explanation of Local Expenditures:
Explanation of Local Revenues:
State Agencies Affected:
Local Agencies Affected:
HB 1205 1 Information Sources:
Fiscal Analyst: Corrin Harvey, 317-234-9438.
HB 1205 2