| 7 | 7 | | Synopsis: Distribution of revenue for public safety purposes. Provides |
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| 8 | 8 | | that, subject to the approval of a county adopting body, a fire protection |
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| 9 | 9 | | district or a qualified fire protection territory may apply for |
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| 10 | 10 | | distributions of tax revenue. Provides that a township that provides fire |
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| 11 | 11 | | protection or emergency medical services (other than a township in |
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| 12 | 12 | | Marion County) may apply to a county adopting body for a distribution |
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| 13 | 13 | | of tax revenue for public safety purposes. Requires the adopting body |
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| 14 | 14 | | to conduct a public hearing to review and approve the application. |
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| 15 | 15 | | Specifies the method for determining the amount of the distribution to |
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| 16 | 16 | | the qualified township. |
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| 17 | 17 | | Effective: July 1, 2023. |
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| 18 | 18 | | Niemeyer |
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| 19 | 19 | | January 4, 2022, read first time and referred to Committee on Tax and Fiscal Policy. |
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| 22 | 21 | | Second Regular Session of the 122nd General Assembly (2022) |
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| 23 | 22 | | PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana |
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| 24 | 23 | | Constitution) is being amended, the text of the existing provision will appear in this style type, |
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| 25 | 24 | | additions will appear in this style type, and deletions will appear in this style type. |
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| 26 | 25 | | Additions: Whenever a new statutory provision is being enacted (or a new constitutional |
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| 27 | 26 | | provision adopted), the text of the new provision will appear in this style type. Also, the |
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| 28 | 27 | | word NEW will appear in that style type in the introductory clause of each SECTION that adds |
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| 29 | 28 | | a new provision to the Indiana Code or the Indiana Constitution. |
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| 30 | 29 | | Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts |
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| 31 | 30 | | between statutes enacted by the 2021 Regular Session of the General Assembly. |
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| 32 | 31 | | SENATE BILL No. 120 |
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| 33 | 32 | | A BILL FOR AN ACT to amend the Indiana Code concerning |
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| 34 | 33 | | taxation. |
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| 35 | 34 | | Be it enacted by the General Assembly of the State of Indiana: |
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| 36 | 35 | | 1 SECTION 1. IC 6-3.6-6-8, AS AMENDED BY P.L.247-2017, |
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| 37 | 36 | | 2 SECTION 16, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE |
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| 38 | 37 | | 3 JULY 1, 2023]: Sec. 8. (a) This section applies to the allocation of |
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| 39 | 38 | | 4 additional revenue from a tax under this chapter to public safety |
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| 40 | 39 | | 5 purposes. Funding dedicated for a PSAP under a former tax continues |
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| 41 | 40 | | 6 to apply under this chapter until it is rescinded or modified. If funding |
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| 42 | 41 | | 7 was not dedicated for a PSAP under a former tax, the adopting body |
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| 43 | 42 | | 8 may adopt a resolution providing that all or part of the additional |
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| 44 | 43 | | 9 revenue allocated to public safety is to be dedicated for a PSAP. The |
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| 45 | 44 | | 10 resolution first applies in the following year and then thereafter until it |
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| 46 | 45 | | 11 is rescinded or modified. Funding dedicated for a PSAP shall be |
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| 47 | 46 | | 12 allocated and distributed as provided in IC 6-3.6-11-4. |
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| 48 | 47 | | 13 (b) As used in this section, "fire protection district" means a fire |
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| 49 | 48 | | 14 protection district established under IC 36-8-11. |
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| 50 | 49 | | 15 (c) As used in this section, "qualified fire protection territory" |
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| 51 | 50 | | 16 means a fire protection territory established under IC 36-8-19-5 |
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| 52 | 51 | | 17 that is: |
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| 54 | 53 | | 1 (1) entirely contained within a single county other than |
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| 55 | 54 | | 2 Marion County; or |
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| 56 | 55 | | 3 (2) contained within two (2) counties, and neither county is |
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| 57 | 56 | | 4 Marion County. |
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| 58 | 57 | | 5 (d) As used in this section, "qualified township" of a county |
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| 59 | 58 | | 6 means a township that: |
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| 60 | 59 | | 7 (1) is located in a county other than Marion County; and |
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| 61 | 60 | | 8 (2) operates or contracts with a fire department, a volunteer |
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| 62 | 61 | | 9 fire department, or an emergency medical services provider. |
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| 63 | 62 | | 10 (b) (e) Except as provided in subsection (c), (f), the amount of the |
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| 64 | 63 | | 11 certified distribution that is allocated to public safety purposes, and |
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| 65 | 64 | | 12 after making allocations under IC 6-3.6-11, shall be allocated to the |
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| 66 | 65 | | 13 county and to each municipality in the county that is carrying out or |
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| 67 | 66 | | 14 providing at least one (1) public safety purpose. For purposes of this |
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| 68 | 67 | | 15 subsection, in the case of a consolidated city, the total property taxes |
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| 69 | 68 | | 16 imposed by the consolidated city include the property taxes imposed by |
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| 70 | 69 | | 17 the consolidated city and all special taxing districts (except for a public |
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| 71 | 70 | | 18 library district, a public transportation corporation, and a health and |
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| 72 | 71 | | 19 hospital corporation), and all special service districts. The amount |
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| 73 | 72 | | 20 allocated under this subsection to a county or municipality is equal to |
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| 74 | 73 | | 21 the result of: |
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| 75 | 74 | | 22 (1) the amount of the remaining certified distribution that is |
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| 76 | 75 | | 23 allocated to public safety purposes; multiplied by |
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| 77 | 76 | | 24 (2) a fraction equal to: |
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| 78 | 77 | | 25 (A) in the case of a county that initially imposed a rate for |
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| 79 | 78 | | 26 public safety under IC 6-3.5-6 (repealed), the result of the total |
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| 80 | 79 | | 27 property taxes imposed in the county by the county or |
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| 81 | 80 | | 28 municipality for the calendar year preceding the distribution |
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| 82 | 81 | | 29 year, divided by the sum of the total property taxes imposed in |
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| 83 | 82 | | 30 the county by the county and each municipality in the county |
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| 84 | 83 | | 31 that is entitled to a distribution under this section for that |
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| 85 | 84 | | 32 calendar year; or |
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| 86 | 85 | | 33 (B) in the case of a county that initially imposed a rate for |
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| 87 | 86 | | 34 public safety under IC 6-3.5-1.1 (repealed) or a county that did |
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| 88 | 87 | | 35 not impose a rate for public safety under either IC 6-3.5-1.1 |
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| 89 | 88 | | 36 (repealed) or IC 6-3.5-6 (repealed), the result of the attributed |
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| 90 | 89 | | 37 allocation amount of the county or municipality for the |
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| 91 | 90 | | 38 calendar year preceding the distribution year, divided by the |
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| 92 | 91 | | 39 sum of the attributed allocation amounts of the county and |
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| 93 | 92 | | 40 each municipality in the county that is entitled to a distribution |
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| 94 | 93 | | 41 under this section for that calendar year. |
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| 95 | 94 | | 42 (c) (f) A fire department, volunteer fire department, qualified fire |
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| 97 | 96 | | 1 protection territory, fire protection district, or emergency medical |
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| 98 | 97 | | 2 services provider that: |
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| 99 | 98 | | 3 (1) provides fire protection or emergency medical services within |
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| 100 | 99 | | 4 the county; and |
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| 101 | 100 | | 5 (2) is operated by or serves a political subdivision that is not |
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| 102 | 101 | | 6 otherwise entitled to receive a distribution of tax revenue under |
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| 103 | 102 | | 7 this section; |
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| 104 | 103 | | 8 may, before July 1 of a year, apply to the adopting body for a |
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| 105 | 104 | | 9 distribution of tax revenue under this section during the following |
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| 106 | 105 | | 10 calendar year. The adopting body shall review an application submitted |
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| 107 | 106 | | 11 under this subsection and may, before September 1 of a year, adopt a |
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| 108 | 107 | | 12 resolution requiring that one (1) or more of the applicants shall receive |
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| 109 | 108 | | 13 a specified amount of the tax revenue to be distributed under this |
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| 110 | 109 | | 14 section during the following calendar year. The adopting body shall |
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| 111 | 110 | | 15 provide a copy of the resolution to the county auditor and the |
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| 112 | 111 | | 16 department of local government finance not more later than fifteen |
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| 113 | 112 | | 17 (15) five (5) business days after the resolution is adopted. A resolution |
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| 114 | 113 | | 18 adopted under this subsection and provided in a timely manner to the |
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| 115 | 114 | | 19 county auditor and the department applies only to distributions in the |
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| 116 | 115 | | 20 following calendar year. Any amount of tax revenue distributed under |
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| 117 | 116 | | 21 this subsection to a fire department, volunteer fire department, or |
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| 118 | 117 | | 22 emergency medical services provider shall be distributed before the |
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| 119 | 118 | | 23 remainder of the tax revenue is allocated under subsection (b). (e). |
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| 120 | 119 | | 24 (g) This subsection applies to counties in which an ordinance |
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| 121 | 120 | | 25 under subsection (a) allocating additional revenue for public safety |
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| 122 | 121 | | 26 purposes is in effect on June 30, 2023. This subsection does not |
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| 123 | 122 | | 27 apply to counties in which an ordinance providing for the funding |
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| 124 | 123 | | 28 of a PSAP is in effect, unless other additional revenue is allocated |
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| 125 | 124 | | 29 under subsection (a). A qualified township may, before July 1, |
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| 126 | 125 | | 30 apply to the county adopting body for a distribution of tax revenue |
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| 127 | 126 | | 31 from the amount allocated to the county under subsection (e). The |
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| 128 | 127 | | 32 county adopting body shall hold a public hearing in reviewing an |
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| 129 | 128 | | 33 application submitted by a qualified township under this |
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| 130 | 129 | | 34 subsection. Notice of the public hearing must be published in |
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| 131 | 130 | | 35 accordance with IC 5-3-1, and the public hearing must be |
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| 132 | 131 | | 36 conducted in accordance with IC 5-14-1.5. If the county adopting |
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| 133 | 132 | | 37 body approves the application, the county adopting body shall, |
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| 134 | 133 | | 38 before September 1, adopt a resolution requiring tax revenue to be |
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| 135 | 134 | | 39 distributed to the qualified township under this subsection. The |
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| 136 | 135 | | 40 resolution shall specify the amount or percentage of tax revenue to |
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| 137 | 136 | | 41 be distributed to the qualifying township. Notwithstanding |
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| 138 | 137 | | 42 IC 6-3.6-3-2(d), the county adopting body shall provide a copy of |
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| 140 | 139 | | 1 the resolution to the county auditor and the department of local |
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| 141 | 140 | | 2 government finance not later than five (5) business days after the |
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| 142 | 141 | | 3 resolution is adopted. A resolution adopted under this subsection |
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| 143 | 142 | | 4 and provided in a timely manner to the county auditor and the |
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| 144 | 143 | | 5 department of local government finance applies to distributions of |
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| 145 | 144 | | 6 tax revenue to the qualified township in the following calendar |
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| 146 | 145 | | 7 year and each calendar year thereafter until the qualified township |
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| 147 | 146 | | 8 rescinds its application under subsection (i). If a qualified township |
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| 148 | 147 | | 9 joins a qualified fire protection territory, the qualified township's |
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| 149 | 148 | | 10 application under this subsection is rescinded. |
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| 150 | 149 | | 11 (h) This subsection applies to counties in which an ordinance |
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| 151 | 150 | | 12 under subsection (a) allocating additional revenue for public safety |
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| 152 | 151 | | 13 purposes is not in effect on June 30, 2023 (regardless of whether an |
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| 153 | 152 | | 14 ordinance providing for the funding of a PSAP is in effect). For |
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| 154 | 153 | | 15 counties subject to this subsection, the county auditor shall allocate |
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| 155 | 154 | | 16 part of the certified distribution allocated to a county (other than |
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| 156 | 155 | | 17 Marion County) under subsection (e) among the qualified |
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| 157 | 156 | | 18 townships in the county. An amount allocated under this subsection |
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| 158 | 157 | | 19 to each qualified township is equal to the result of: |
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| 159 | 158 | | 20 (1) the amount of the certified distribution that is allocated to |
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| 160 | 159 | | 21 the county under subsection (e); multiplied by |
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| 161 | 160 | | 22 (2) a fraction equal to: |
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| 162 | 161 | | 23 (A) in the case of a county that initially imposed a tax rate |
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| 163 | 162 | | 24 under IC 6-3.5-6 (repealed), the result of the total property |
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| 164 | 163 | | 25 taxes imposed in the county by the qualified township for |
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| 165 | 164 | | 26 the calendar year, divided by the sum of the total property |
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| 166 | 165 | | 27 taxes imposed in the county by the county and each |
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| 167 | 166 | | 28 municipality and qualified township in the county; or |
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| 168 | 167 | | 29 (B) in the case of a county that initially imposed a tax rate |
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| 169 | 168 | | 30 under IC 6-3.5-1.1 (repealed) or a county that did not |
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| 170 | 169 | | 31 impose a tax rate for under either IC 6-3.5-1.1 (repealed) |
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| 171 | 170 | | 32 or IC 6-3.5-6 (repealed), the result of the attributed |
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| 172 | 171 | | 33 allocation amount of the qualified township for the |
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| 173 | 172 | | 34 calendar year, divided by the sum of the attributed |
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| 174 | 173 | | 35 allocation amounts of the county and each municipality |
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| 175 | 174 | | 36 and qualified township in the county. |
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| 176 | 175 | | 37 (i) A qualified township that wishes to rescind its application |
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| 177 | 176 | | 38 under subsection (g) must notify the county adopting body in |
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| 178 | 177 | | 39 writing before July 1. If the county adopting body receives a |
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| 179 | 178 | | 40 qualified township's written notice to rescind its application for a |
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| 180 | 179 | | 41 distribution of tax revenue, the county adopting body shall adopt |
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| 181 | 180 | | 42 a resolution rescinding the qualified township's distribution before |
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