Indiana Senate Bill SB0361 Engrossed / Bill

                    *ES0361.2*
Reprinted
February 25, 2022
ENGROSSED
SENATE BILL No. 361
_____
DIGEST OF SB 361 (Updated February 24, 2022 1:06 pm - DI 125)
Citations Affected:  IC 5-1.2; IC 5-28; IC 6-1.1; IC 6-3; IC 6-3.1;
IC 8-14; IC 8-22; IC 36-1; IC 36-7; noncode.
Synopsis:  Economic development. Makes certain amendments to the
hoosier business investment tax credit, the economic development for
a growing economy tax credit, the headquarters relocation tax credit,
and the redevelopment tax credit. Adds veteran owned businesses to
the list of businesses that would qualify for an enhanced venture capital
tax credit. Limits the total amount of credits that the Indiana economic
development corporation (IEDC) may award for a calendar year for all
taxpayers for all applicable tax credits to $300,000,000. Specifies the
procedure by which the IEDC may designate an area as an innovation
development district (district). Provides that an innovation
development district board (board) must be established to govern each
(Continued next page)
Effective:  Upon passage; July 1, 2022; January 1, 2023; July 1, 2023.
Mishler, Holdman, Niezgodski, 
Ford Jon, Busch, Buck, Gaskill, Alting
(HOUSE SPONSORS — BROWN T, SNOW, JORDAN, HAMILTON)
January 11, 2022, read first time and referred to Committee on Appropriations.
January 27, 2022, amended, reported favorably — Do Pass.
January 31, 2022, read second time, amended, ordered engrossed.
February 1, 2022, engrossed. Read third time, passed. Yeas 48, nays 1.
HOUSE ACTION
February 8, 2022, read first time and referred to Committee on Ways and Means.
February 22, 2022, amended, reported — Do Pass.
February 24, 2022, read second time, amended, ordered engrossed.
ES 361—LS 7135/DI 120 Digest Continued
innovation development district. Requires the IEDC to enter into a final
agreement with the board establishing the terms and conditions
governing a district. Requires the board to establish a local innovation
development district fund for a district. Provides for the uses of money
in a local innovation development district fund. Provides that money in
a local innovation development district fund is continuously
appropriated for the uses of the fund. Authorizes a county, city, or town
to establish a workforce retention and recruitment program and fund
(fund) for the purposes of recruiting and retaining individuals who will
satisfy the current and future workforce needs of the unit's employers
or provide substantial economic impact to the unit, including providing
incentives in the form of grants or loans to qualified workers.
Authorizes the unit to transfer money into the fund from other sources.
Provides that the executive of the unit shall administer the fund in
coordination with a workforce fund board of managers appointed by
the executive of the unit. Provides that the IEDC may award a tax
credit for media production expenses for certain media productions in
Indiana beginning July 1, 2023. Provides for the augmentation of the
amount appropriated to the IEDC in an amount not to exceed
$300,000,000 for the purposes of business promotion and innovation.
Specifies that funds appropriated to the IEDC for the purposes of
business promotion and innovation do not revert to the state general
fund. Requires the IEDC to identify state laws and regulations that
burden existing businesses or inhibit creation of new businesses and
provide a report with recommendations to the general assembly and
budget committee. Makes conforming changes.
ES 361—LS 7135/DI 120ES 361—LS 7135/DI 120 Reprinted
February 25, 2022
Second Regular Session of the 122nd General Assembly (2022)
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
Constitution) is being amended, the text of the existing provision will appear in this style type,
additions will appear in this style type, and deletions will appear in this style type.
  Additions: Whenever a new statutory provision is being enacted (or a new constitutional
provision adopted), the text of the new provision will appear in  this  style  type. Also, the
word NEW will appear in that style type in the introductory clause of each SECTION that adds
a new provision to the Indiana Code or the Indiana Constitution.
  Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
between statutes enacted by the 2021 Regular Session of the General Assembly.
ENGROSSED
SENATE BILL No. 361
A BILL FOR AN ACT to amend the Indiana Code concerning state
offices and administration and to make an appropriation.
Be it enacted by the General Assembly of the State of Indiana:
1 SECTION 1. IC 5-1.2-4-4, AS ADDED BY P.L.189-2018,
2 SECTION 25, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
3 JULY 1, 2022]: Sec. 4. (a) In addition to the powers listed in section 1
4 of this chapter, the authority may:
5 (1) enter into leases and issue bonds under terms and conditions
6 determined by the authority and use the proceeds of the bonds to:
7 (A) acquire obligations issued by any entity authorized to
8 acquire, finance, construct, or lease capital improvements
9 under IC 5-1-17;
10 (B) acquire any obligations issued by the northwest Indiana
11 regional development authority established by IC 36-7.5-2-1;
12 or
13 (C) carry out the purposes of IC 5-1-17.5 within a motorsports
14 investment district; and
15 (2) at the request of the Indiana economic development
16 corporation established by IC 5-28-3-1, and subject to
17 subsections (b), (c), and (d), enter into leases and issue bonds
ES 361—LS 7135/DI 120 2
1 under terms and conditions determined by the authority
2 payable solely from:
3 (A) revenues that are deposited in a local innovation
4 development district fund established under
5 IC 36-7-32.5-21;
6 (B) revenues generated from a project under
7 IC 36-7-32.5-21; and
8 (C) appropriations from the general assembly; and
9 (2) (3) perform any other functions determined by the authority to
10 be necessary or appropriate to carry out the purposes of this
11 section.
12 (b) The proceeds of bonds issued under subsection (a)(2) may be
13 used to pay the costs of projects:
14 (1) described in IC 36-7-32.5-21; and
15 (2) located within or directly servicing the innovation
16 development district in which the revenue was generated.
17 (c) Before the authority enters into leases or issues bonds under
18 subsection (a)(2), the proposed lease or issuance of bonds must be
19 reviewed by the budget committee.
20 (d) The authority may not issue more than one billion dollars
21 ($1,000,000,000) of bonds under subsection (a)(2).
22 SECTION 2. IC 5-28-2-1.5 IS ADDED TO THE INDIANA CODE
23 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
24 1, 2022]: Sec. 1.5. "Applicable tax credit" means a tax credit
25 available under any of the following:
26 (1) IC 6-3.1-13.
27 (2) IC 6-3.1-19.
28 (3) IC 6-3.1-26.
29 (4) IC 6-3.1-30.
30 (5) IC 6-3.1-34.
31 (6) IC 6-3.1-36.
32 SECTION 3. IC 5-28-6-9 IS ADDED TO THE INDIANA CODE
33 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
34 1, 2022]: Sec. 9. (a) The aggregate amount of applicable tax credits
35 that the corporation may award for a state fiscal year for all
36 taxpayers is three hundred million dollars ($300,000,000).
37 (b) For purposes of determining the amount of applicable tax
38 credits that have been awarded for a state fiscal year, the following
39 apply:
40 (1) An applicable tax credit is considered awarded in the state
41 fiscal year in which the taxpayer can first claim the credit,
42 determined without regard to any carryforward period or
ES 361—LS 7135/DI 120 3
1 carryback period.
2 (2) An applicable tax credit awarded by the corporation
3 before July 1, 2022, shall be counted toward the aggregate
4 credit limitation under this section.
5 (3) If an accelerated credit is awarded under IC 6-3.1-26-15,
6 the amount counted toward the aggregate credit limitation
7 under this section for a state fiscal year shall be the amount of
8 the credit for the taxable year described in subdivision (1)
9 prior to any discount.
10 SECTION 4. IC 6-1.1-10-50 IS ADDED TO THE INDIANA CODE
11 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
12 1, 2022]: Sec. 50. Property identified under IC 36-7-32.5-17 by an
13 innovation development district board established under
14 IC 36-7-32.5-14 is exempt from property taxation.
15 SECTION 5. IC 6-1.1-39-0.5, AS ADDED BY P.L.38-2021,
16 SECTION 37, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
17 JULY 1, 2022]: Sec. 0.5. (a) This section does not apply to a parcel that
18 is included in more than one (1) allocation area established by:
19 (1) an ordinance adopted under section 2 of this chapter and
20 confirmed under section 3 of this chapter;
21 (2) a resolution adopted under IC 8-22-3.5-5 and confirmed under
22 IC 8-22-3.5-6;
23 (3) a resolution establishing an allocation provision under
24 IC 36-7-14-39 that is adopted and approved under IC 36-7-14-15,
25 IC 36-7-14-16, and IC 36-7-14-17;
26 (4) a resolution establishing an allocation provision under
27 IC 36-7-15.1-26 that is adopted and approved under
28 IC 36-7-15.1-8, IC 36-7-15.1-9, and IC 36-7-15.1-10;
29 (5) a resolution establishing an allocation provision under
30 IC 36-7-30-25 that is adopted and approved under IC 36-7-30-10,
31 IC 36-7-30-11, and IC 36-7-30-12;
32 (6) a resolution establishing an allocation provision under
33 IC 36-7-30.5-30 that is adopted and approved under
34 IC 36-7-30.5-16, IC 36-7-30.5-17, and IC 36-7-30.5-18; or
35 (7) a resolution designating a certified technology park as an
36 allocation area that is approved and adopted under IC 36-7-32-15;
37 on or before May 1, 2021. In addition, a new allocation area may not
38 be established under this chapter that includes a parcel that is located
39 in an allocation area described in this subsection.
40 (b) Except as provided in subsection (a), but notwithstanding any
41 other provision, for the purpose of the allocation of property taxes
42 under this chapter, a parcel may not be included in more than one (1)
ES 361—LS 7135/DI 120 4
1 allocation area under this chapter or under:
2 (1) IC 8-22-3.5;
3 (2) IC 36-7-14;
4 (3) IC 36-7-15.1;
5 (4) IC 36-7-30;
6 (5) IC 36-7-30.5; or
7 (6) IC 36-7-32; or
8 (7) IC 36-7-32.5.
9 SECTION 6. IC 6-3-5-5 IS ADDED TO THE INDIANA CODE AS
10 A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 1,
11 2022]: Sec. 5. (a) If the Indiana economic development corporation
12 established by IC 5-28-3-1 enters into an agreement with a
13 taxpayer for an economic development for a growing economy tax
14 credit under IC 6-3.1-13, and the taxpayer elects to forgo claiming
15 the credit against any state tax liability for that taxable year and
16 requests the department to remit to the taxpayer an amount equal
17 to the credit for the taxable year as set forth under
18 IC 6-3.1-13-20(b), the provisions of this section shall apply.
19 (b) Before making a payment to a taxpayer under this section,
20 the taxpayer shall provide to the department:
21 (1) a copy of the taxpayer's agreement with the Indiana
22 economic development corporation;
23 (2) the credit awarded to the taxpayer for that taxable year;
24 and
25 (3) any other information required by the department.
26 (c) A payment by the department cannot exceed the actual
27 incremental income tax withholdings collected by the department
28 as a result of the employment of new employees subject to an
29 agreement entered into under IC 6-3.1-13.
30 (d) In the case of a credit awarded under IC 6-3.1-13 to a
31 taxpayer that is a pass through entity, the:
32 (1) pass through entity has the authority to make the election
33 with regard to the credit;
34 (2) shareholders, partners, members, and beneficiaries of the
35 pass through entity may not make an election separate from
36 the pass through entity with regard to the credit;
37 (3) pass through entity is entitled to the payment allowable
38 under this section; and
39 (4) pass through entity may not pass through any portion of
40 the credit for which the pass through entity requests payment
41 as a tax credit to the shareholders, partners, members, or
42 beneficiaries of the pass through entity.
ES 361—LS 7135/DI 120 5
1 (e) If a payment under this section is included in the federal
2 adjusted gross income of an individual or the federal taxable
3 income of any other entity, the payment must be treated as:
4 (1) adjusted gross income from Indiana sources under this
5 article and IC 6-5.5;
6 (2) business income for purposes of this article; and
7 (3) a receipt from Indiana sources for apportionment
8 purposes under IC 6-3-2 and IC 6-5.5-4.
9 (f) For purposes of offsetting refunds and overpayments, a
10 payment under this section is treated as an overpayment of tax
11 under this article and IC 6-5.5 for purposes of IC 6-8.1-9-2,
12 IC 6-8.1-9.5, and IC 6-8.1-9.7.
13 (g) A payment under this section is subject to IC 6-3.1-13-22 in
14 the same manner as if the payment had been claimed as a credit.
15 (h) If all or a portion of a payment under this section is
16 determined to have been made in error or is subject to assessment
17 under IC 6-3.1-13-22, the department may issue an assessment for
18 repayment of such amount before the later of:
19 (1) ten (10) years from the date of the payment; or
20 (2) three (3) years from the date the Indiana economic
21 development corporation notifies the department of the
22 taxpayer's noncompliance pursuant to IC 6-3.1-13-22.
23 (i) An assessment for repayment shall be treated as a proposed
24 assessment for purposes of administrative review and judicial
25 appeal under IC 6-8.1-5. However, review of the Indiana economic
26 development corporation's determination of noncompliance shall
27 be limited to an abuse of discretion by the Indiana economic
28 development corporation.
29 (j) For purposes of this section, an election for payment in lieu
30 of claiming the credit under IC 6-3.1-13 for a taxable year is not
31 allowed if:
32 (1) the taxpayer has claimed all or part of the credit for the
33 taxable year;
34 (2) in the case of a taxpayer who is a pass through entity, the
35 taxpayer passes through all or part of the credit as a tax
36 credit, regardless of whether the pass through entity
37 subsequently provides information to the department, the
38 Indiana economic development corporation, or any other
39 affected person or entity, that the credit should not be passed
40 through as a tax credit or whether the credit otherwise has
41 been claimed as a tax credit; or
42 (3) the taxpayer makes the election after the due date of the
ES 361—LS 7135/DI 120 6
1 taxpayer's return under IC 6-3, IC 6-5.5, IC 6-8-15, or
2 IC 27-1-18-2, determined without regard to extensions, on
3 which it would have claimed the credit for which the taxpayer
4 is requesting payment under this section.
5 (k) The amount needed to make a payment under this section
6 shall be paid from funds appropriated to the Indiana economic
7 development corporation for business promotion and innovation
8 or from the statewide innovation development district fund
9 established by IC 36-7-32.5-22. Payments made under this section
10 are subject to available funding.
11 SECTION 7. IC 6-3.1-13-17, AS AMENDED BY P.L.197-2005,
12 SECTION 6, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
13 JULY 1, 2022]: Sec. 17. (a) If the applicant proposes a project that
14 will be located at a physical location in Indiana, in determining the
15 credit amount that should be awarded to an applicant under section 15
16 of this chapter that proposes a project to create jobs in Indiana, the
17 corporation may take into consideration the following factors:
18 (1) The economy of the county where the projected investment is
19 to occur.
20 (2) The potential impact on the economy of Indiana.
21 (3) The incremental payroll attributable to the project.
22 (4) The capital investment attributable to the project.
23 (5) The amount the average wage paid by the applicant exceeds
24 the average wage paid:
25 (A) within the county in which the project will be located, in
26 the case of an application submitted before January 1, 2006; or
27 (B) in the case of an application submitted after December 31,
28 2005:
29 (i) to all employees working in the same NAICS industry
30 sector to which the applicant's business belongs in the
31 county in which the applicant's business is located, if there
32 is more than one (1) business in that NAICS industry sector
33 in the county in which the applicant's business is located;
34 (ii) to all employees working in the same NAICS industry
35 sector to which the applicant's business belongs in Indiana,
36 if the applicant's business is the only business in that NAICS
37 industry sector in the county in which the applicant's
38 business is located but there is more than one (1) business in
39 that NAICS industry sector in Indiana; or
40 (iii) to all employees working in the same county as the
41 county in which the applicant's business is located, if there
42 is no other business in Indiana in the same NAICS industry
ES 361—LS 7135/DI 120 7
1 sector to which the applicant's business belongs.
2 (6) The costs to Indiana and the affected political subdivisions
3 with respect to the project.
4 (7) The financial assistance and incentives that are otherwise
5 provided by Indiana and the affected political subdivisions.
6 (8) The extent to which the incremental income tax withholdings
7 attributable to the applicant's project are needed for the purposes
8 of an incremental tax financing fund or industrial development
9 fund under IC 36-7-13 or a certified technology park fund under
10 IC 36-7-32.
11 As appropriate, the corporation shall consider the factors in this section
12 subsection to determine the credit amount awarded to an applicant for
13 a project to retain existing jobs in Indiana under section 15.5 of this
14 chapter.
15 (b) Subject to the limitations of subsection (c), if an applicant
16 proposes a project that proposes to create new jobs in Indiana but
17 does not propose a physical location in Indiana, the corporation
18 may consider the following factors:
19 (1) The potential impact on the economy in Indiana.
20 (2) The incremental payroll attributable to the project.
21 (3) The amount of average wage paid by the applicant that
22 exceeds the average wage paid to all employees working in the
23 same NAICS industry sector to which the applicant's business
24 belongs in Indiana.
25 (4) The cost to Indiana with respect to the project.
26 (5) The financial assistance and incentives that are otherwise
27 provided by Indiana.
28 (6) The extent of Indiana income tax that is paid by eligible
29 employees.
30 (c) An applicant proposing a project that meets the
31 requirements of subsection (b) must propose:
32 (1) to create at least fifty (50) new full-time jobs; and
33 (2) to pay an average hourly wage of at least one hundred fifty
34 percent (150%) of the state average wage;
35 in order to be eligible to receive a credit under this chapter.
36 SECTION 8. IC 6-3.1-13-18, AS AMENDED BY P.L.86-2018,
37 SECTION 73, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
38 JULY 1, 2022]: Sec. 18. (a) The corporation shall determine the
39 amount and duration of a tax credit awarded under this chapter. The
40 duration of the credit may not exceed ten (10) twenty (20) taxable
41 years. The credit may be stated as a percentage of the incremental
42 income tax withholdings attributable to the applicant's project and may
ES 361—LS 7135/DI 120 8
1 include a fixed dollar limitation. In the case of a credit awarded for a
2 project to create new jobs in Indiana, the credit amount may not exceed
3 the incremental income tax withholdings. However, the credit amount
4 claimed for a taxable year may exceed the taxpayer's state tax liability
5 for the taxable year, in which case the excess may, at the discretion of
6 the corporation, be refunded to the taxpayer.
7 (b) For state fiscal year 2006 and each state fiscal year thereafter,
8 the aggregate amount of credits awarded under this chapter for projects
9 to retain existing jobs in Indiana may not exceed ten million dollars
10 ($10,000,000) per year.
11 (c) This subsection does not apply to a business that was enrolled
12 and participated in the E-Verify program (as defined in IC 22-5-1.7-3)
13 during the time the taxpayer conducted business in Indiana in the
14 taxable year. A credit under this chapter may not be computed on any
15 amount withheld from an individual or paid to an individual for
16 services provided in Indiana as an employee, if the individual was,
17 during the period of service, prohibited from being hired as an
18 employee under 8 U.S.C. 1324a.
19 SECTION 9. IC 6-3.1-13-20, AS AMENDED BY P.L.4-2005,
20 SECTION 78, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
21 JULY 1, 2022]: Sec. 20. (a) Except as provided in subsection (b), a
22 taxpayer claiming a credit under this chapter must claim the credit on
23 the taxpayer's annual state tax return or returns in the manner
24 prescribed by the department of state revenue. The taxpayer shall
25 submit to the department of state revenue all information that the
26 department determines necessary for the calculation of the credit
27 provided by this chapter and the determination of whether the credit
28 was properly claimed.
29 (b) Notwithstanding subsection (a), if a taxpayer is entitled to a
30 credit under this chapter, the taxpayer may, with the approval of
31 the corporation, elect to forgo claiming the credit against any state
32 tax liability and submit the credit to the department with a request
33 to receive a payment from the corporation, to be paid from funds
34 appropriated to the corporation for business promotion and
35 innovation or from the statewide innovation development district
36 fund established by IC 36-7-32.5-22, that is equal to the credit for
37 that taxable year as provided in IC 6-3-5-5.
38 SECTION 10. IC 6-3.1-24-8, AS AMENDED BY P.L.165-2021,
39 SECTION 81, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
40 JANUARY 1, 2023]: Sec. 8. (a) A certification provided under section
41 7 of this chapter must include notice to the investors of the maximum
42 amount of tax credits available under this chapter for the provision of
ES 361—LS 7135/DI 120 9
1 qualified investment capital to the qualified Indiana business.
2 (b) For a calendar year ending before January 1, 2011, the maximum
3 amount of tax credits available under this chapter for the provision of
4 qualified investment capital to a particular qualified Indiana business
5 equals the lesser of:
6 (1) the total amount of qualified investment capital provided to
7 the qualified Indiana business in the calendar year, multiplied by
8 twenty percent (20%); or
9 (2) five hundred thousand dollars ($500,000).
10 (c) For a calendar year beginning after December 31, 2010, and
11 ending before January 1, 2022, the maximum amount of tax credits
12 available under this chapter for the provision of qualified investment
13 capital to a particular qualified Indiana business equals the lesser of the
14 following:
15 (1) The total amount of qualified investment capital provided to
16 the qualified Indiana business in the calendar year, multiplied by
17 twenty percent (20%).
18 (2) One million dollars ($1,000,000).
19 (d) For a calendar year beginning after December 31, 2021, the
20 maximum amount of tax credits available under this chapter for the
21 provision of qualified investment capital to a particular qualified
22 Indiana business equals the lesser of the following:
23 (1) The total amount of qualified investment capital provided to
24 the qualified Indiana business in the calendar year, multiplied by
25 twenty-five percent (25%).
26 (2) One million dollars ($1,000,000).
27 (e) Notwithstanding subsection (d), for a calendar year beginning
28 after December 31, 2021, the maximum amount of tax credits available
29 under this chapter for the provision of qualified investment capital to
30 a particular qualified Indiana business, if the qualified Indiana business
31 is a minority business enterprise, or a women's business enterprise, or
32 a veteran owned business equals the lesser of the following:
33 (1) The total amount of qualified investment capital provided to
34 the qualified Indiana business in the calendar year, multiplied by
35 thirty percent (30%).
36 (2) One million five hundred thousand dollars ($1,500,000).
37 SECTION 11. IC 6-3.1-26-20, AS AMENDED BY P.L.158-2019,
38 SECTION 19, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
39 JULY 1, 2022]: Sec. 20. (a) The corporation shall certify the amount
40 of the qualified investment that is eligible for a credit under this
41 chapter. In determining the credit amount that should be awarded, the
42 corporation shall grant a credit only for the amount of the qualified
ES 361—LS 7135/DI 120 10
1 investment that is directly related to:
2 (1) expanding the workforce in Indiana; or
3 (2) substantially enhancing the logistics industry and or
4 improving the overall Indiana economy.
5 (b) The total amount of credits that the corporation may approve
6 under this chapter for a state fiscal year for all taxpayers for all
7 qualified investments is:
8 (1) fifty million dollars ($50,000,000) for credits based on a
9 qualified investment that is not being claimed as a logistics
10 investment; and
11 (2) five million dollars ($5,000,000) for credits based on a
12 qualified investment that is being claimed as a logistics
13 investment.
14 For purposes of applying the limit under this subsection, a tax credit
15 that is accelerated under section 15(d) or 16(d) of this chapter shall be
16 valued at the amount of the tax credit before the tax credit is
17 discounted.
18 (c) (b) A person that desires to claim a tax credit for a qualified
19 investment shall file with the department, in the form that the
20 department may prescribe, an application:
21 (1) stating separately the amount of the credit awards for qualified
22 investments that have been granted to the taxpayer by the
23 corporation that will be claimed as a credit; that is covered by:
24 (A) subsection (b)(1); and
25 (B) subsection (b)(2);
26 (2) stating separately the amount sought to be claimed as a credit;
27 that is covered by:
28 (A) subsection (b)(1); and
29 (B) subsection (b)(2); and
30 (3) identifying whether the credit will be claimed during the state
31 fiscal year in which the application is filed or the immediately
32 succeeding state fiscal year.
33 (d) (c) The department shall separately record the time of filing of
34 each application for a credit award for a qualified investment covered
35 by subsection (b)(1) and for a qualified investment covered by
36 subsection (b)(2) and shall, except as provided in subsection (e), (d),
37 approve the credit to the taxpayer in the chronological order in which
38 the application is filed in the state fiscal year. The department shall
39 promptly notify an applicant whether, or the extent to which, the tax
40 credit is allowable in the state fiscal year proposed by the taxpayer.
41 (e) (d) If the total credit awards for qualified investments, that are
42 covered by:
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1 (1) subsection (b)(1); and
2 (2) subsection (b)(2);
3 including carryover credit awards covered by each subsection for a
4 previous state fiscal year, equal the maximum amount allowable in the
5 state fiscal year, an application for such a credit award that is filed later
6 for that same state fiscal year may not be granted by the department.
7 However, if an applicant for which a credit has been awarded and
8 applied for with the department fails to claim the credit, an amount
9 equal to the credit previously applied for but not claimed may be
10 allowed to the next eligible applicant or applicants until the total
11 amount has been allowed.
12 SECTION 12. IC 6-3.1-30-8, AS AMENDED BY P.L.158-2019,
13 SECTION 23, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
14 JULY 1, 2022]: Sec. 8. (a) Subject to entering into an agreement with
15 the corporation under sections 14 and 15 of this chapter, if the
16 corporation certifies that a taxpayer:
17 (1) is an eligible business;
18 (2) completes a qualifying project; and
19 (3) incurs relocation costs; and
20 (4) employs:
21 (A) at least seventy-five (75) employees in Indiana, in the case
22 of a taxpayer that qualifies as an eligible business under
23 section 2(1) of this chapter; or
24 (B) at least ten (10) employees in Indiana, in the case of a
25 taxpayer that qualifies as an eligible business under section
26 2(2) of this chapter;
27 the taxpayer is entitled to a credit against the taxpayer's state tax
28 liability for the taxable year in which the relocation costs are incurred.
29 subject to subsection (c). The credit allowed under this section is equal
30 to the amount determined under section 9 of this chapter.
31 (b) For purposes of establishing the employment level required by
32 subsection (a)(4), a taxpayer may include:
33 (1) individuals who:
34 (A) were employed in Indiana by the taxpayer before the
35 taxpayer commenced a qualifying project; and
36 (B) remain employed in Indiana after the completion of the
37 taxpayer's qualifying project; and
38 (2) individuals who:
39 (A) were not employed in Indiana by the taxpayer before the
40 taxpayer commenced a qualifying project; and
41 (B) are employed in Indiana by the taxpayer as a result of the
42 completion of the taxpayer's qualifying project.
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1 (c) The total amount of credits that may be approved by the
2 corporation for all eligible businesses described in section 2(2) of this
3 chapter may not exceed five million dollars ($5,000,000) in a state
4 fiscal year.
5 SECTION 13. IC 6-3.1-34-6, AS AMENDED BY P.L.154-2020,
6 SECTION 22, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
7 JULY 1, 2022]: Sec. 6. As used in this chapter, "qualified
8 redevelopment site" means a vacant or underutilized property in
9 Indiana as determined by the corporation.
10 (1) land on which a vacant building or complex of buildings was
11 placed in service at least fifteen (15) years before the date on
12 which the application is filed with the corporation under this
13 chapter;
14 (2) land on which a vacant building or complex of buildings:
15 (A) was placed in service at least fifteen (15) years before the
16 date on which the demolition of the vacant building or
17 complex of buildings was completed; and
18 (B) that was demolished in an effort to protect the health,
19 safety, and welfare of the community;
20 (3) land on which a vacant building or complex of buildings:
21 (A) was placed in service at least fifteen (15) years before the
22 date on which the demolition of the vacant building or
23 complex of buildings was completed;
24 (B) was placed in service as a public building;
25 (C) was owned by a unit of local government; and
26 (D) has not been redeveloped since the building was taken out
27 of service as a public building;
28 (4) vacant land;
29 (5) mine reclamation site; or
30 (6) brownfields consisting of more than fifty (50) acres.
31 For a complex of buildings to be considered a qualified redevelopment
32 site under subdivision (1), (2) or (3), the buildings must have been
33 located on a single parcel or contiguous parcels of land that were under
34 common ownership at the time the site was placed in service.
35 SECTION 14. IC 6-3.1-34-8, AS ADDED BY P.L.158-2019,
36 SECTION 29, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
37 JULY 1, 2022]: Sec. 8. As used in this chapter, "rehabilitation" means
38 the betterment of real property including remodeling or repair. in any
39 way.
40 SECTION 15. IC 6-3.1-34-17, AS AMENDED BY P.L.154-2020,
41 SECTION 27, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
42 JULY 1, 2022]: Sec. 17. (a) The following apply if the corporation
ES 361—LS 7135/DI 120 13
1 determines that a credit should be awarded under this chapter:
2 (1) The corporation shall require the taxpayer to enter into an
3 agreement with the corporation as a condition of receiving a
4 credit under this chapter.
5 (2) The agreement with the corporation must:
6 (A) prescribe the method of certifying the taxpayer's qualified
7 investment; and
8 (B) include provisions that authorize the corporation to work
9 with the department and the taxpayer, if the corporation
10 determines that the taxpayer is noncompliant with the terms of
11 the agreement or the provisions of this chapter, to bring the
12 taxpayer into compliance or to protect the interests of the state.
13 (3) The corporation shall specify the taxpayer's expenditures that
14 will be considered a qualified investment.
15 (4) The corporation shall determine the applicable credit
16 percentage under subsections (b) and (c).
17 (b) If the corporation determines that a credit should be awarded
18 under this chapter, the corporation shall determine the applicable credit
19 percentage for a qualified investment certified by the corporation.
20 However, and except as provided in subsection (c), the applicable
21 credit percentage may not exceed the following: thirty percent (30%).
22 (1) If the qualified redevelopment site was placed in service at
23 least fifteen (15) years ago but less than thirty (30) years ago, or
24 is vacant land or a brownfield described in section 6(6) of this
25 chapter:
26 (A) fifteen percent (15%), if the qualified redevelopment site
27 is part of a development plan of a regional development
28 authority established under IC 36-7.5-2-1 or IC 36-7.6-2-3; or
29 (B) ten percent (10%), if the qualified redevelopment site is
30 not part of a development plan of a regional development
31 authority described under clause (A).
32 (2) If the qualified redevelopment site was placed in service at
33 least thirty (30) years ago but less than forty (40) years ago:
34 (A) twenty percent (20%), if the qualified redevelopment site
35 is part of a development plan of a regional development
36 authority established under IC 36-7.5-2-1 or IC 36-7.6-2-3; or
37 (B) ten percent (10%), if the qualified redevelopment site is
38 not part of a development plan of a regional development
39 authority described under clause (A).
40 (3) If the qualified redevelopment site was placed in service at
41 least forty (40) years ago:
42 (A) twenty-five percent (25%), if the qualified redevelopment
ES 361—LS 7135/DI 120 14
1 site is part of a development plan of a regional development
2 authority established under IC 36-7.5-2-1 or IC 36-7.6-2-3; or
3 (B) fifteen percent (15%), if the qualified redevelopment site
4 is not part of a development plan of a regional development
5 authority described under clause (A).
6 (c) The corporation may increase the credit amount by not more
7 than an additional five percent (5%) if:
8 (1) the qualified redevelopment site is located in a federally
9 designated qualified opportunity zone (Section 1400Z-1 and
10 1400Z-2 of the Internal Revenue Code); or
11 (2) the project qualifies for federal new markets tax credits under
12 Section 45D of the Internal Revenue Code.
13 (d) To be eligible for the credit for a qualified investment, a
14 taxpayer's expenditures that are considered a qualified investment must
15 be certified by the corporation not later than two (2) taxable years after
16 the end of the calendar year in which the taxpayer's expenditures are
17 made.
18 SECTION 16. IC 6-3.1-34-18, AS ADDED BY P.L.158-2019,
19 SECTION 29, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
20 JULY 1, 2022]: Sec. 18. (a) Subject to subsection (e), Except as
21 provided in subsection (b), if the corporation awards a tax credit to
22 a taxpayer under this chapter that exceeds twenty million dollars
23 ($20,000,000), the corporation shall include in an agreement
24 entered into under section 17 of this chapter a provision that
25 requires the taxpayer to repay to the corporation the portion of the
26 credit that exceeds twenty million dollars ($20,000,000) with
27 interest. may, as part of an agreement entered into under section 17 of
28 this chapter:
29 (1) require a taxpayer to repay all or part of a credit awarded
30 under this chapter over a period of years; and
31 (2) limit the maximum amount of a credit awarded to a taxpayer
32 under this chapter that may be claimed during a taxable year.
33 (b) The corporation may elect to enter into an agreement with a
34 local unit that has jurisdiction over the real property that is subject to
35 the proposed qualified investment, through which such agreement the
36 local unit commits local revenue generated by the project to the
37 corporation rather than the corporation including a repayment provision
38 in an agreement with a taxpayer under subsection (a)(1). The total
39 amount of revenue committed under an agreement entered into under
40 this subsection may not exceed the credit repayment amount
41 determined under subsection (a)(1). Any amounts received under an
42 agreement entered into under this subsection shall be deposited in the
ES 361—LS 7135/DI 120 15
1 state general fund.
2 (c) Notwithstanding subsections (a) and (b), if the corporation
3 awards a tax credit to a taxpayer under this chapter that exceeds seven
4 million dollars ($7,000,000), the corporation shall include in an
5 agreement entered into under section 17 of this chapter a provision that
6 requires the taxpayer to repay the portion of the credit that exceeds
7 seven million dollars ($7,000,000).
8 (b) Notwithstanding subsection (a), the corporation may exclude
9 from its agreement entered into under section 17 of this chapter a
10 repayment provision for any portion of the credit if the award is
11 for a qualified redevelopment site subject to a proposal that will
12 result in a qualified investment of at least one hundred million
13 dollars ($100,000,000).
14 (d) (c) If the corporation enters into an agreement with a taxpayer
15 under section 17 of this chapter that includes a repayment provision
16 under subsection (a)(1) or (c), (a), the corporation shall include in the
17 repayment provision a provision establishing the interest rate that will
18 be applied. The interest rate shall be determined by the board and
19 approved by the budget agency.
20 (e) (d) This subsection applies to an active multi-phased project
21 occurring on a defined footprint for which the taxpayer has received
22 approval for at least the first phase of the active multi-phased project
23 from the corporation's board before July 1, 2018, for a tax credit under
24 IC 6-3.1-11 (industrial recovery tax credit) before its expiration. The
25 following apply to a project described in this subsection:
26 (1) Only qualified investments that are made after June 30, 2021,
27 are eligible for a credit award under this chapter.
28 (2) The annual amount of credits awarded under this chapter for
29 the project may not exceed five million dollars ($5,000,000).
30 (3) The corporation may not include a repayment provision as part
31 of an agreement entered into under section 17 of this chapter for
32 the credits awarded for the project.
33 SECTION 17. IC 6-3.1-34-22 IS REPEALED [EFFECTIVE JULY
34 1, 2022]. Sec. 22. (a) Except as provided in subsection (b), the total
35 amount of credits that the corporation may award under this chapter for
36 a state fiscal year for all taxpayers for all qualified investments is fifty
37 million dollars ($50,000,000). The portion of the credits that is subject
38 to a repayment provision under section 18(b) or 18(c) of this chapter is
39 not included in the calculation of the annual limit.
40 (b) If the corporation determines that a credit should be awarded
41 under this chapter for a taxpayer's qualified investment but the award:
42 (1) will result in the corporation's cumulative credit awards under
ES 361—LS 7135/DI 120 16
1 this chapter for a state fiscal year for all taxpayers for all qualified
2 investments to exceed the limit established by subsection (a); or
3 (2) should not be considered when calculating the corporation's
4 cumulative credit awards under this chapter for a state fiscal year
5 for all taxpayers for all qualified investments;
6 the corporation may, after review by the budget committee, enter into
7 an agreement with the taxpayer under section 17 of this chapter.
8 SECTION 18. IC 6-3.1-36 IS ADDED TO THE INDIANA CODE
9 AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
10 JULY 1, 2023]:
11 Chapter 36. Film and Media Production Tax Credit
12 Sec. 1. As used in this chapter, "corporation" refers to the
13 Indiana economic development corporation established by
14 IC 5-28-3-1.
15 Sec. 2. As used in this chapter, "qualified applicant" means a
16 person, corporation, limited liability partnership, limited liability
17 company, or other entity that is engaged in the business of making
18 a qualified media production in Indiana.
19 Sec. 3. As used in this chapter, "qualified media production"
20 means:
21 (1) a feature length film, including an independent or studio
22 production, or a documentary;
23 (2) a television episodic series, program, or feature;
24 (3) a music production;
25 (4) a digital media production that is intended for reasonable
26 commercial exploitation; or
27 (5) any other similar production as determined by the
28 corporation;
29 that is produced in Indiana.
30 Sec. 4. As used in this chapter, "qualified production expenses"
31 means expenses incurred by a qualified applicant for a qualified
32 media production.
33 Sec. 5. As used in this chapter, "state tax liability" means a
34 taxpayer's total tax liability that is incurred under:
35 (1) IC 6-3-1 through IC 6-3-7 (the adjusted gross income tax);
36 and
37 (2) IC 6-5.5 (the financial institutions tax);
38 as computed after the application of the credits that under
39 IC 6-3.1-1-2 are to be applied before the credit provided by this
40 chapter.
41 Sec. 6. As used in this chapter, "taxpayer" means a qualified
42 applicant that has any state tax liability.
ES 361—LS 7135/DI 120 17
1 Sec. 7. (a) A qualified applicant may apply to the corporation
2 for a tax credit under this chapter. The corporation shall prescribe
3 the form and contents of the application.
4 (b) The corporation shall evaluate an applicant's eligibility for
5 a tax credit under this chapter.
6 (c) The corporation may certify the eligibility of a taxpayer that
7 meets the requirements for a tax credit under this chapter.
8 (d) If the corporation certifies a taxpayer under subsection (c),
9 the corporation shall determine the percentage used to calculate
10 the amount of a tax credit under section 8(2) of this chapter.
11 Sec. 8. If the corporation certifies a taxpayer under section 7(c)
12 of this chapter, the taxpayer is entitled to a tax credit under this
13 chapter equal to:
14 (1) the amount of the taxpayer's qualified production
15 expenses; multiplied by
16 (2) a percentage determined by the corporation, not to exceed
17 thirty percent (30%).
18 Sec. 9. If a pass through entity is entitled to a credit under
19 section 8 of this chapter but does not have state tax liability against
20 which the tax credit may be applied, a shareholder, partner,
21 member, or beneficiary of the pass through entity is entitled to a
22 tax credit equal to:
23 (1) the tax credit determined for the pass through entity for
24 the taxable year; multiplied by
25 (2) the percentage of the pass through entity's distributive
26 income to which the shareholder, partner, member, or
27 beneficiary is entitled.
28 Sec. 10. To receive the credit provided by this chapter, a
29 taxpayer must claim the credit on the taxpayer's state tax return
30 or returns in the manner prescribed by the department.
31 Sec. 11. (a) The amount of the credit provided by this chapter
32 that a taxpayer uses during a particular taxable year may not
33 exceed the state tax liability of the taxpayer.
34 (b) If the credit provided by this chapter exceeds the taxpayer's
35 state tax liability for the first taxable year containing the taxable
36 year for which the corporation awards the credit, then the excess
37 may be carried over to succeeding taxable years and used as a
38 credit against the state tax liability of the taxpayer during those
39 taxable years.
40 (c) Each time that the credit is carried over to a succeeding
41 taxable year, it is to be reduced by the amount that was used as a
42 credit during the immediately preceding taxable year. The credit
ES 361—LS 7135/DI 120 18
1 provided by this chapter may be carried forward and applied to
2 succeeding taxable years for nine (9) taxable years following the
3 first taxable year containing the taxable year for which the
4 corporation awards the credit.
5 (d) If a taxpayer fails to claim a credit under this chapter for a
6 year in which the taxpayer is otherwise permitted to claim the
7 credit, the credit will be considered to be used for purposes of
8 subsection (c).
9 (e) If a taxpayer claims a credit under this chapter, the
10 department and the department of insurance may disclose
11 information necessary to verify that amounts in excess of the credit
12 allowable under this chapter have not been claimed.
13 Sec. 12. A tax credit awarded under this chapter is subject to the
14 limitations set forth in IC 5-28-6-9.
15 Sec. 13. This chapter expires July 1, 2027.
16 SECTION 19. IC 8-14-15.1-7, AS ADDED BY P.L.217-2017,
17 SECTION 69, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
18 JULY 1, 2022]: Sec. 7. (a) The next level Indiana fund investment
19 board is established. The board consists of the following members:
20 (1) The secretary of commerce or the secretary's designee, who
21 shall serve as the chairperson of the board.
22 (2) The director of the office of management and budget or the
23 director's designee.
24 (3) Two (2) individuals appointed by the governor who have
25 experience and knowledge in investments.
26 (4) The treasurer of state or the treasurer's designee.
27 (5) One (1) individual appointed by the speaker of the house
28 of representatives who has experience and knowledge in
29 venture capital investments.
30 (6) One (1) individual appointed by the president pro tempore
31 of the senate who has experience and knowledge in venture
32 capital investments.
33 (b) The board shall serve as trustee of the trust and direct the
34 investment of the trust.
35 (c) The board shall adopt an investment policy in conformance with
36 section 8 of this chapter.
37 (d) The board shall hold regular meetings at least quarterly. The
38 board may hold special meetings at the call of the treasurer of state or
39 with a written request signed by at least two (2) members of the board.
40 (e) The board may hold its meetings at offices in Indiana that the
41 chairperson or the requesting members designate. All meetings must
42 be open to the public in accordance with IC 5-14-1.5. The board shall
ES 361—LS 7135/DI 120 19
1 keep a record of its proceedings.
2 (f) Three (3) Five (5) members of the board constitute a quorum for
3 the transaction of business of the board. Each member of the board is
4 entitled to one (1) vote. A vote of at least three (3) five (5) members of
5 the board present is required for the board to adopt a resolution or take
6 other action at a regular or special meeting.
7 SECTION 20. IC 8-22-3.5-1.5, AS ADDED BY P.L.38-2021,
8 SECTION 54, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
9 JULY 1, 2022]: Sec. 1.5. (a) This section does not apply to a parcel that
10 is included in more than one (1) allocation area established by:
11 (1) an ordinance adopted under section 5 of this chapter and
12 confirmed under section 6 of this chapter;
13 (2) a resolution adopted under IC 6-1.1-39-2 and confirmed under
14 IC 6-1.1-39-3;
15 (3) a resolution establishing an allocation provision under
16 IC 36-7-14-39 that is adopted and approved under IC 36-7-14-15,
17 IC 36-7-14-16, and IC 36-7-14-17;
18 (4) a resolution establishing an allocation provision under
19 IC 36-7-15.1-26 that is adopted and approved under
20 IC 36-7-15.1-8, IC 36-7-15.1-9, and IC 36-7-15.1-10;
21 (5) a resolution establishing an allocation provision under
22 IC 36-7-30-25 that is adopted and approved under IC 36-7-30-10,
23 IC 36-7-30-11, and IC 36-7-30-12;
24 (6) a resolution establishing an allocation provision under
25 IC 36-7-30.5-30 that is adopted and approved under
26 IC 36-7-30.5-16, IC 36-7-30.5-17, and IC 36-7-30.5-18; or
27 (7) a resolution designating a certified technology park as an
28 allocation area that is approved and adopted under IC 36-7-32-15;
29 on or before May 1, 2021. In addition, a new allocation area may not
30 be established under this chapter that includes a parcel that is located
31 in an allocation area described in this subsection.
32 (b) Except as provided in subsection (a), but notwithstanding any
33 other provision, for the purpose of the allocation of property taxes
34 under this chapter, a parcel may not be included in more than one (1)
35 allocation area established under this chapter or under:
36 (1) IC 6-1.1-39;
37 (2) IC 36-7-14;
38 (3) IC 36-7-15.1;
39 (4) IC 36-7-30;
40 (5) IC 36-7-30.5; or
41 (6) IC 36-7-32; or
42 (7) IC 36-7-32.5.
ES 361—LS 7135/DI 120 20
1 SECTION 21. IC 36-1-29.5 IS ADDED TO THE INDIANA CODE
2 AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
3 JULY 1, 2022]:
4 Chapter 29.5. Workforce Retention and Recruitment Program
5 and Fund
6 Sec. 1. As used in this chapter, "fund" means a workforce
7 retention and recruitment fund established by the fiscal officer of
8 a unit under section 9 of this chapter.
9 Sec. 2. As used in this chapter, "incentive agreement" means an
10 agreement described in section 8(b) of this chapter.
11 Sec. 3. As used in this chapter, "program" means a workforce
12 retention and recruitment program established by the executive of
13 a unit under section 8(a) of this chapter.
14 Sec. 4. As used in this chapter, "qualified nonprofit
15 organization" means a private, nonprofit entity formed as a
16 partnership between one (1) or more units, private sector
17 businesses, or community or philanthropic organizations to
18 develop and implement a workforce retention and recruitment
19 strategy that has an organizational structure that conforms with
20 the requirements of a policy developed by the workforce fund
21 managers under section 10 of this chapter.
22 Sec. 5. As used in this chapter, "qualified worker" means an
23 individual described in section 11 of this chapter.
24 Sec. 6. As used in this chapter, "unit" means a county, city, or
25 town.
26 Sec. 7. As used in this chapter, "workforce fund managers"
27 means a workforce fund board of managers established by the
28 executive of a unit under section 10 of this chapter.
29 Sec. 8. (a) The executive of a unit may by resolution or executive
30 order establish a workforce retention and recruitment program for
31 the purposes of recruiting and retaining individuals who will
32 satisfy the current and future workforce needs of the unit's
33 employers or provide substantial economic impact to the unit,
34 including providing incentives in the form of grants or loans to
35 qualified workers.
36 (b) A program must require each qualified worker who receives
37 a grant or loan from the fund to enter into an incentive agreement
38 with the workforce fund managers. An incentive agreement must
39 include the following terms:
40 (1) The duration of time each qualified worker agrees to
41 reside within the unit following the date specified in the
42 agreement.
ES 361—LS 7135/DI 120 21
1 (2) A penalty clause if a qualified worker fails to fulfill the
2 terms of the agreement.
3 However, the workforce fund managers may waive a penalty under
4 subdivision (2) regarding any part of a grant or loan that the
5 qualified worker may have received and that is due under the
6 incentive agreement.
7 Sec. 9. (a) If the executive of a unit establishes a program under
8 section 8 of this chapter, the fiscal officer of the unit shall establish
9 a workforce retention and recruitment fund for the purposes of the
10 program.
11 (b) The fund shall consist of the following:
12 (1) Any private grants or contributions.
13 (2) Appropriations to the fund included in the unit's budget.
14 (3) Transfers of money to the fund under section 12 of this
15 chapter.
16 (4) Any repayments to the fund under section 8(b) of this
17 chapter.
18 (c) The executive of the unit shall administer the fund in
19 coordination with a workforce fund board of managers established
20 under section 10 of this chapter, including any qualified nonprofit
21 organization established by the workforce fund managers under
22 that section.
23 (d) Any money remaining in a fund at the end of the calendar
24 year does not revert to the unit's general fund.
25 Sec. 10. (a) The executive of a unit that establishes a program
26 under section 8 of this chapter shall appoint a five (5) member
27 workforce fund board of managers. The duties of the workforce
28 fund managers shall include:
29 (1) adopting rules and bylaws they consider necessary for the
30 proper conduct of their proceedings, the carrying out of other
31 duties, and the safeguarding of the money or property placed
32 in their custody;
33 (2) by resolution or in accordance with their rules and bylaws,
34 prescribing the date and manner of notice of their regular
35 meetings;
36 (3) identifying the most appropriate and fiscally responsible
37 incentives that will attract or retain individuals or families
38 who will satisfy the current and future workforce needs of the
39 unit's employers or provide substantial economic impact to
40 the unit;
41 (4) developing and implementing marketing strategies to
42 recruit or retain these individuals or families;
ES 361—LS 7135/DI 120 22
1 (5) identifying and recruiting applicants who may receive
2 incentives from the fund;
3 (6) establishing an application process for individuals and
4 families;
5 (7) evaluating applicants; and
6 (8) offering incentives to qualified applicants.
7 (b) Three (3) of the workforce fund managers constitute a
8 quorum and the concurrence of three (3) of the workforce fund
9 managers is necessary to authorize any action.
10 (c) The workforce fund managers may establish a qualified
11 nonprofit organization for purposes of carrying out a program and
12 the purposes of a fund under this chapter.
13 Sec. 11. To qualify for a grant or loan from a fund, an individual
14 must be:
15 (1) a graduate of an Indiana college or university who:
16 (A) was a resident of another state before enrolling at the
17 Indiana college or university;
18 (B) relocates to a location within the unit; and
19 (C) accepts and commences employment with an employer
20 located within the unit under the terms of an incentive
21 agreement;
22 (2) an out-of-state resident who relocates to a location within
23 the unit in order to accept and commence employment with
24 an employer located within the unit under the terms of an
25 incentive agreement; or
26 (3) an out-of-state resident who relocates to a location within
27 the unit and works remotely for an employer, regardless of
28 the employer's domicile.
29 Sec. 12. (a) The fiscal body of a unit may transfer or deposit the
30 following into a fund:
31 (1) Any private grants or contributions.
32 (2) Appropriations to the fund included in the unit's budget.
33 (3) Except for money in a fund with a restricted purpose, but
34 otherwise notwithstanding any use of funds prohibition as
35 long as the transfer or deposit is authorized by the relevant
36 statutory procedure:
37 (A) any surplus, unexpended, unappropriated,
38 unencumbered, or otherwise available public or private
39 money; and
40 (B) from any general account, reverting or nonreverting
41 fund, special account, or trust, other than a fund or
42 account that receives bond proceeds, created or
ES 361—LS 7135/DI 120 23
1 administered by any department, board, authority,
2 commission, political subdivision, special service district,
3 special taxing district, or any other instrumentality of local
4 government under IC 36 with authority to collect or
5 receive taxes, interest, or any other public or private
6 money.
7 (b) Notwithstanding any other statute, an executive of a unit
8 that has established a program under section 8 of this chapter,
9 after consulting with the fiscal body and fiscal officer of the unit,
10 may authorize a transfer or loan to a fund from any dedicated fund
11 or account, other than a fund or account that receives bond
12 proceeds, before the purpose for which the dedicated fund or
13 account was established has been accomplished.
14 (c) Two (2) or more units may, by written agreement,
15 collaborate, commingle funds, or otherwise work together for the
16 benefit of administering or carrying out the purposes of the units'
17 funds.
18 Sec. 13. Any separate body corporate and politic or regional,
19 multicounty, or metropolitan authority or commission may, by
20 written agreement, establish a mutually beneficial relationship
21 with one (1) or more units for purposes of administering or
22 carrying out the purposes of the unit's fund or units' funds.
23 Sec. 14. (a) Not later than April 15 of each year, the workforce
24 fund managers shall file with the executive of the unit and fiscal
25 body of the unit a report setting out their activities during the
26 preceding calendar year.
27 (b) The report of the workforce fund managers under this
28 section must show:
29 (1) the names of the then qualified and acting workforce fund
30 managers;
31 (2) the amount of the expenditures made during the preceding
32 year and their general purpose;
33 (3) the amount of funds on hand at the close of the calendar
34 year; and
35 (4) other information deemed necessary to disclose the
36 activities of the workforce fund managers and the results
37 obtained.
38 (c) Not later than April 15 of each year, a copy of each report
39 under this section must be submitted to the department of local
40 government finance in an electronic format specified by the
41 department of local government finance.
42 SECTION 22. IC 36-7-14-57, AS ADDED BY P.L.38-2021,
ES 361—LS 7135/DI 120 24
1 SECTION 91, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
2 JULY 1, 2022]: Sec. 57. (a) This section does not apply to a parcel that
3 is included in more than one (1) allocation area established by:
4 (1) a resolution establishing an allocation provision under section
5 39 of this chapter that is adopted and approved under sections 15
6 through 17 of this chapter;
7 (2) a resolution adopted under IC 6-1.1-39-2 and confirmed under
8 IC 6-1.1-39-3;
9 (3) a resolution adopted under IC 8-22-3.5-5 and confirmed under
10 IC 8-22-3.5-6;
11 (4) a resolution establishing an allocation provision under
12 IC 36-7-15.1-26 that is adopted and approved under
13 IC 36-7-15.1-8, IC 36-7-15.1-9, and IC 36-7-15.1-10;
14 (5) a resolution establishing an allocation provision under
15 IC 36-7-30-25 that is adopted and approved under IC 36-7-30-10,
16 IC 36-7-30-11, and IC 36-7-30-12;
17 (6) a resolution establishing an allocation provision under
18 IC 36-7-30.5-30 that is adopted and approved under
19 IC 36-7-30.5-16, IC 36-7-30.5-17, and IC 36-7-30.5-18; or
20 (7) a resolution designating a certified technology park as an
21 allocation area that is approved and adopted under IC 36-7-32-15;
22 on or before May 1, 2021. In addition, a new allocation area may not
23 be established under this chapter that includes a parcel that is located
24 in an allocation area described in this subsection.
25 (b) Except as provided in subsection (a), but notwithstanding any
26 other provision, for the purpose of the allocation of property taxes
27 under this chapter, a parcel may not be included in more than one (1)
28 allocation area established under this chapter or under:
29 (1) IC 6-1.1-39;
30 (2) IC 8-22-3.5;
31 (3) IC 36-7-15.1;
32 (4) IC 36-7-30;
33 (5) IC 36-7-30.5; or
34 (6) IC 36-7-32; or
35 (7) IC 36-7-32.5.
36 SECTION 23. IC 36-7-15.1-63, AS ADDED BY P.L.38-2021,
37 SECTION 92, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
38 JULY 1, 2022]: Sec. 63. (a) This section does not apply to a parcel that
39 is included in more than one (1) allocation area established by:
40 (1) a resolution establishing an allocation provision under section
41 26 of this chapter that is adopted and approved under sections 8
42 through 10 of this chapter;
ES 361—LS 7135/DI 120 25
1 (2) a resolution adopted under IC 6-1.1-39-2 and confirmed under
2 IC 6-1.1-39-3;
3 (3) a resolution adopted under IC 8-22-3.5-5 and confirmed under
4 IC 8-22-3.5-6;
5 (4) a resolution establishing an allocation provision under
6 IC 36-7-14-39 that is adopted and approved under IC 36-7-14-15,
7 IC 36-7-14-16, and IC 36-7-14-17;
8 (5) a resolution establishing an allocation provision under
9 IC 36-7-30-25 that is adopted and approved under IC 36-7-30-10,
10 IC 36-7-30-11, and IC 36-7-30-12;
11 (6) a resolution establishing an allocation provision under
12 IC 36-7-30.5-30 that is adopted and approved under
13 IC 36-7-30.5-16, IC 36-7-30.5-17, and IC 36-7-30.5-18; or
14 (7) a resolution designating a certified technology park as an
15 allocation area that is approved and adopted under IC 36-7-32-15;
16 on or before May 1, 2021. In addition, a new allocation area may not
17 be established under this chapter that includes a parcel that is located
18 in an allocation area described in this subsection.
19 (b) Except as provided in subsection (a), but notwithstanding any
20 other provision, for the purpose of the allocation of property taxes
21 under this chapter, a parcel may not be included in more than one (1)
22 allocation area established under this chapter or under:
23 (1) IC 6-1.1-39;
24 (2) IC 8-22-3.5;
25 (3) IC 36-7-14;
26 (4) IC 36-7-30;
27 (5) IC 36-7-30.5; or
28 (6) IC 36-7-32; or
29 (7) IC 36-7-32.5.
30 SECTION 24. IC 36-7-30-36, AS ADDED BY P.L.38-2021,
31 SECTION 95, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
32 JULY 1, 2022]: Sec. 36. (a) This section does not apply to a parcel that
33 is included in more than one (1) allocation area established by:
34 (1) a resolution establishing an allocation provision under section
35 25 of this chapter that is adopted and approved under sections 10
36 through 12 of this chapter;
37 (2) a resolution adopted under IC 6-1.1-39-2 and confirmed under
38 IC 6-1.1-39-3;
39 (3) a resolution adopted under IC 8-22-3.5-5 and confirmed under
40 IC 8-22-3.5-6;
41 (4) a resolution establishing an allocation provision under
42 IC 36-7-14-39 that is adopted and approved under IC 36-7-14-15,
ES 361—LS 7135/DI 120 26
1 IC 36-7-14-16, and IC 36-7-14-17;
2 (5) a resolution establishing an allocation provision under
3 IC 36-7-15.1-26 that is adopted and approved under
4 IC 36-7-15.1-8, IC 36-7-15.1-9, and IC 36-7-15.1-10;
5 (6) a resolution establishing an allocation provision under
6 IC 36-7-30.5-30 that is adopted and approved under
7 IC 36-7-30.5-16, IC 36-7-30.5-17, and IC 36-7-30.5-18; or
8 (7) a resolution designating a certified technology park as an
9 allocation area that is approved and adopted under IC 36-7-32-15;
10 on or before May 1, 2021. In addition, a new allocation area may not
11 be established under this chapter that includes a parcel that is located
12 in an allocation area described in this subsection.
13 (b) Except as provided in subsection (a), but notwithstanding any
14 other provision, for the purpose of the allocation of property taxes
15 under this chapter, a parcel may not be included in more than one (1)
16 allocation area established under this chapter or under:
17 (1) IC 6-1.1-39;
18 (2) IC 8-22-3.5;
19 (3) IC 36-7-14;
20 (4) IC 36-7-15.1;
21 (5) IC 36-7-30.5; or
22 (6) IC 36-7-32; or
23 (7) IC 36-7-32.5.
24 SECTION 25. IC 36-7-30.5-37, AS ADDED BY P.L.38-2021,
25 SECTION 96, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
26 JULY 1, 2022]: Sec. 37. (a) This section does not apply to a parcel that
27 is included in more than one (1) allocation area established by:
28 (1) a resolution establishing an allocation provision under section
29 30 of this chapter that is adopted and approved under sections 16
30 through 18 of this chapter;
31 (2) a resolution adopted under IC 6-1.1-39-2 and confirmed under
32 IC 6-1.1-39-3;
33 (3) a resolution adopted under IC 8-22-3.5-5 and confirmed under
34 IC 8-22-3.5-6;
35 (4) a resolution establishing an allocation provision under
36 IC 36-7-14-39 that is adopted and approved under IC 36-7-14-15,
37 IC 36-7-14-16, and IC 36-7-14-17;
38 (5) a resolution establishing an allocation provision under
39 IC 36-7-15.1-26 that is adopted and approved under
40 IC 36-7-15.1-8, IC 36-7-15.1-9, and IC 36-7-15.1-10;
41 (6) a resolution establishing an allocation provision under
42 IC 36-7-30-25 that is adopted and approved under IC 36-7-30-10,
ES 361—LS 7135/DI 120 27
1 IC 36-7-30-11, and IC 36-7-30-12; or
2 (7) a resolution designating a certified technology park as an
3 allocation area that is approved and adopted under IC 36-7-32-15;
4 on or before May 1, 2021. In addition, a new allocation area may not
5 be established under this chapter that includes a parcel that is located
6 in an allocation area described in this subsection.
7 (b) Except as provided in subsection (a), but notwithstanding any
8 other provision, for the purpose of the allocation of property taxes
9 under this chapter, a parcel may not be included in more than one (1)
10 allocation area established under this chapter or under:
11 (1) IC 6-1.1-39;
12 (2) IC 8-22-3.5;
13 (3) IC 36-7-14;
14 (4) IC 36-7-15.1;
15 (5) IC 36-7-30; or
16 (6) IC 36-7-32; or
17 (7) IC 36-7-32.5.
18 SECTION 26. IC 36-7-32-28, AS ADDED BY P.L.38-2021,
19 SECTION 97, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
20 JULY 1, 2022]: Sec. 28. (a) This section does not apply to a parcel that
21 is included in more than one (1) allocation area established by:
22 (1) a resolution designating a certified technology park as an
23 allocation area that is approved and adopted under section 15 of
24 this chapter;
25 (2) a resolution adopted under IC 6-1.1-39-2 and confirmed under
26 IC 6-1.1-39-3;
27 (3) a resolution adopted under IC 8-22-3.5-5 and confirmed under
28 IC 8-22-3.5-6;
29 (4) a resolution establishing an allocation provision under
30 IC 36-7-14-39 that is adopted and approved under IC 36-7-14-15,
31 IC 36-7-14-16, and IC 36-7-14-17;
32 (5) a resolution establishing an allocation provision under
33 IC 36-7-15.1-26 that is adopted and approved under
34 IC 36-7-15.1-8, IC 36-7-15.1-9, and IC 36-7-15.1-10;
35 (6) a resolution establishing an allocation provision under
36 IC 36-7-30-25 that is adopted and approved under IC 36-7-30-10,
37 IC 36-7-30-11, and IC 36-7-30-12; or
38 (7) a resolution establishing an allocation provision under
39 IC 36-7-30.5-30 that is adopted and approved under
40 IC 36-7-30.5-16, IC 36-7-30.5-17, and IC 36-7-30.5-18;
41 on or before May 1, 2021. In addition, a new allocation area may not
42 be established under this chapter that includes a parcel that is located
ES 361—LS 7135/DI 120 28
1 in an allocation area described in this subsection.
2 (b) Except as provided in subsection (a), but notwithstanding any
3 other provision, for the purpose of the allocation of property taxes
4 under this chapter, a parcel may not be included in more than one (1)
5 allocation area established under this chapter or under:
6 (1) IC 6-1.1-39;
7 (2) IC 8-22-3.5;
8 (3) IC 36-7-14;
9 (4) IC 36-7-15.1;
10 (5) IC 36-7-30; or
11 (6) IC 36-7-30.5; or
12 (7) IC 36-7-32.5.
13 SECTION 27. IC 36-7-32.5 IS ADDED TO THE INDIANA CODE
14 AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
15 JULY 1, 2022]:
16 Chapter 32.5. Innovation Development Districts
17 Sec. 1. As used in this chapter, "base assessed value" means the
18 net assessed value of all the taxable real property that is assessed
19 as commercial or industrial property under the rules of the
20 department of local government finance, and taxable personal
21 property, that is located in an innovation development district as
22 finally determined for the assessment date immediately preceding
23 the effective date of the designation by the corporation under
24 section 10 of this chapter.
25 Sec. 2. As used in this chapter, "board" refers to the innovation
26 development district board established under section 14 of this
27 chapter to govern an innovation development district.
28 Sec. 3. As used in this chapter, "corporation" refers to the
29 Indiana economic development corporation established by
30 IC 5-28-3-1.
31 Sec. 4. As used in this chapter, "gross retail base period
32 amount" means the aggregate amount of state gross retail and use
33 taxes remitted under IC 6-2.5 by the businesses:
34 (1) operating in the territory comprising an innovation
35 development district; and
36 (2) that is, in the case of the:
37 (A) state gross retail tax, collected by a business for sales
38 occurring at a physical location of the business in the
39 innovation development district; and
40 (B) state use tax, incurred with regard to property used in
41 the innovation development district;
42 during the full state fiscal year that precedes the date on which the
ES 361—LS 7135/DI 120 29
1 innovation development district was designated under section 10
2 of this chapter.
3 Sec. 5. As used in this chapter, "gross retail incremental
4 amount" means the remainder of:
5 (1) the aggregate amount of state gross retail and use taxes
6 that are remitted under IC 6-2.5 by businesses:
7 (A) operating in the territory comprising an innovation
8 development district; and
9 (B) that is, in the case of the:
10 (i) state gross retail tax, collected by a business for sales
11 occurring at a physical location of the business in the
12 innovation development district; and
13 (ii) state use tax, incurred with regard to property used
14 in the innovation development district;
15 during a state fiscal year; minus
16 (2) the gross retail base period amount;
17 as determined by the department of state revenue.
18 Sec. 6. As used in this chapter, "income tax base period
19 amount" means the aggregate amount of adjusted gross income
20 taxes paid by employees employed in the territory comprising an
21 innovation development district with respect to wages and salary
22 earned for work in the innovation development district for the
23 state fiscal year that precedes the date on which the innovation
24 development district was designated under section 10 of this
25 chapter.
26 Sec. 7. As used in this chapter, "income tax incremental
27 amount" means the remainder of:
28 (1) the total amount of state adjusted gross income taxes paid
29 by employees employed in the territory comprising the
30 innovation development district with respect to wages and
31 salary earned for work in the territory comprising the
32 innovation development district for a particular state fiscal
33 year; minus
34 (2) the sum of the:
35 (A) income tax base period amount; plus
36 (B) tax credits awarded by the Indiana economic
37 development corporation under IC 6-3.1-13 to businesses
38 operating in an innovation development district as the
39 result of wages earned for work in the innovation
40 development district for the state fiscal year;
41 as determined by the department of state revenue.
42 Sec. 8. As used in this chapter, "legislative body" means the
ES 361—LS 7135/DI 120 30
1 following:
2 (1) The board of county commissioners, for a county not
3 subject to IC 36-2-3.5 or IC 36-3-1.
4 (2) The county council, for a county subject to IC 36-2-3.5.
5 (3) The city-county council, for a consolidated city or county
6 having a consolidated city.
7 (4) The common council, for a city other than a consolidated
8 city.
9 (5) The town council, for a town.
10 Sec. 9. As used in this chapter, "net increment" means the sum
11 of:
12 (1) the gross retail incremental amount; plus
13 (2) the income tax incremental amount;
14 as determined by the department of state revenue.
15 Sec. 10. (a) Before the corporation may designate territory
16 within the jurisdiction of a city, town, or county, or within the
17 jurisdiction of more than one (1) city, town, or county, as an
18 innovation development district under this section, the board of the
19 corporation established under IC 5-28-4 shall establish policies and
20 guidelines that the corporation must follow when notifying and
21 collaborating with a legislative body, or, if applicable, legislative
22 bodies, to designate territory within the jurisdiction of a city, town,
23 or county as an innovation development district under this section.
24 (b) After notifying and collaborating with the legislative body,
25 or, if an innovation development district will include territory
26 within the jurisdiction of more than one (1) city, town, or county,
27 with the legislative bodies, in the manner provided under the
28 policies and guidelines established under subsection (a), the
29 corporation may designate territory within the jurisdiction of a
30 city, town, or county, or territory within the jurisdiction of more
31 than one (1) city, town, or county, as an innovation development
32 district if the corporation determines that the designation will
33 support economic growth.
34 (c) The corporation may not designate an innovation
35 development district under this section after June 30, 2025.
36 Sec. 11. (a) The corporation may not designate an area as an
37 innovation development district under section 10 of this chapter,
38 if the business or businesses that are expected to locate within the
39 innovation development district:
40 (1) currently operate in Indiana in a location outside of the
41 proposed innovation development district; and
42 (2) intend to substantially reduce or cease operations at the
ES 361—LS 7135/DI 120 31
1 other location or locations within Indiana in order to relocate
2 to a location within the innovation development district.
3 (b) Notwithstanding any other provision of this chapter, an
4 innovation development district may not be established in an
5 existing allocation area established under:
6 (1) IC 5-1-17.5;
7 (2) IC 6-1.1-39;
8 (3) IC 8-22-3.5;
9 (4) IC 36-7-13;
10 (5) IC 36-7-14;
11 (6) IC 36-7-15.1;
12 (7) IC 36-7-30;
13 (8) IC 36-7-30.5;
14 (9) IC 36-7-31;
15 (10) IC 36-7-31.3;
16 (11) IC 36-7-31.5;
17 (12) IC 36-7-32;
18 (13) IC 36-7.5-4.5; or
19 (14) any other provision that authorizes the establishment of
20 an allocation area.
21 (c) A development within the innovation development district is
22 subject to any zoning ordinance or other zoning law that otherwise
23 applies to territory within the innovation development district.
24 Sec. 12. (a) Except as provided in subsection (b), after June 30,
25 2022, and before July 1, 2025, the corporation may not designate
26 more than five (5) innovation development districts under section
27 10 of this chapter.
28 (b) Notwithstanding subsection (a), after June 30, 2022, and
29 before July 1, 2025, the corporation may designate additional
30 innovation development districts under section 10 of this chapter
31 after review by the budget committee.
32 Sec. 13. The term of an area's designation as an innovation
33 development district may not exceed thirty (30) years.
34 Sec. 14. (a) After an innovation development district is
35 designated under section 10 of this chapter, the legislative body, or,
36 if applicable, the legislative bodies, and the corporation shall
37 establish an innovation development district board to govern the
38 innovation development district.
39 (b) The board consists of six (6) members appointed as follows:
40 (1) Three (3) members appointed by the secretary of
41 commerce appointed under IC 5-28-3-4.
42 (2) Three (3) members appointed by the legislative body, or,
ES 361—LS 7135/DI 120 32
1 if applicable, the legislative bodies.
2 Each member of the board must be a resident of the county, or, if
3 applicable, one (1) of the counties, in which the innovation
4 development district is located. A member of the board serves at
5 the pleasure of the appointing authority. A vacancy on the board
6 shall be filled in the same manner as the original appointment.
7 (c) After the members of have been appointed under this
8 section, the board and the corporation shall enter into an
9 agreement establishing the terms and conditions governing the
10 innovation development district. After entering into the agreement,
11 the subsequent failure of any party to comply with the terms of the
12 agreement may result in the termination or rescission of the
13 designation of the area as an innovation development district.
14 (d) The agreement must include the following provisions:
15 (1) A description of the area, including a list of all parcels to
16 be included within the innovation development district.
17 (2) Covenants and restrictions, if any, upon all or a part of the
18 properties contained within the innovation development
19 district and terms of enforcement of any covenants or
20 restrictions.
21 (3) The due diligence and financial commitments of any party
22 to the agreement and of any owner or developer of property
23 within the innovation development district.
24 (4) The financial projections of the innovation development
25 district.
26 (5) The proposed use of the net increment and property tax
27 incremental amount described in section 16(c) of this chapter
28 that is captured within the innovation development district.
29 (6) Subject to the limitations of this chapter, the duration of
30 the designation of an area as an innovation development
31 district.
32 (7) The terms of enforcement of the agreement, which may
33 include the definition of events of default, cure periods, legal
34 and equitable remedies and rights, and penalties and
35 damages, actual or liquidated, upon the occurrence of an
36 event of default.
37 (8) The public facilities to be developed for the innovation
38 development district and the estimated costs of those public
39 facilities.
40 (e) Within fifteen (15) days of entering into an agreement under
41 subsection (c), the corporation shall submit a written report on the
42 agreement to the budget committee.
ES 361—LS 7135/DI 120 33
1 (f) Neither a board nor the corporation may exercise the power
2 of eminent domain within an innovation development district.
3 Sec. 15. (a) After the corporation and a board enter into an
4 agreement described in section 14 of this chapter concerning the
5 terms and conditions governing the innovation development
6 district, the legislative body, or, if applicable, legislative bodies,
7 shall adopt a resolution designating an innovation development
8 district as an allocation area for purposes of the allocation and
9 distribution of property taxes.
10 (b) After adoption of the resolution under subsection (a), the
11 legislative body, or, if applicable, legislative bodies, shall:
12 (1) publish notice of the adoption and substance of the
13 resolution in accordance with IC 5-3-1; and
14 (2) file the following information with each taxing unit that
15 has authority to levy property taxes in the geographic area
16 where the innovation development district is located:
17 (A) A copy of the notice required under subdivision (1).
18 (B) A statement disclosing the impact of the innovation
19 development district, including the estimated economic
20 benefits and costs incurred by the innovation development
21 district, as measured by increased employment and
22 anticipated growth of real and personal property assessed
23 values.
24 The notice must state the general boundaries of the innovation
25 development district and include a list of all parcels to be included
26 within the innovation development district.
27 Sec. 16. (a) An allocation provision adopted under section 15 of
28 this chapter must:
29 (1) apply to the entire innovation development district; and
30 (2) require that any property tax assessed on taxable property
31 used for commercial or industrial purposes subsequently
32 levied by or for the benefit of any public body entitled to a
33 distribution of property taxes in the innovation development
34 district be allocated and distributed as provided in subsections
35 (b) and (c).
36 (b) Except as otherwise provided in this section:
37 (1) the proceeds of the taxes attributable to the lesser of:
38 (A) the assessed value of the taxable property for the
39 assessment date with respect to which the allocation and
40 distribution is made; or
41 (B) the base assessed value;
42 shall be allocated and, when collected, paid into the funds of
ES 361—LS 7135/DI 120 34
1 the respective taxing units; and
2 (2) the excess of the proceeds of the property taxes imposed
3 for the assessment date with respect to which the allocation
4 and distribution is made that are attributable to taxes
5 imposed after being approved by the voters in a referendum
6 or local public question conducted after April 30, 2010, not
7 otherwise included in subdivision (1) shall be allocated to and,
8 when collected, paid into the funds of the taxing unit for
9 which the referendum or local public question was conducted.
10 (c) Except as provided in subsection (d), all the property tax
11 proceeds that:
12 (1) exceed those described in subsection (b); and
13 (2) are attributable to the assessed value of taxable property
14 used for commercial or industrial purposes;
15 shall be paid into the appropriate local innovation development
16 district fund established by section 21 of this chapter by the county
17 auditor at the same time that the county auditor distributes
18 property taxes to other local units of government under
19 IC 6-1.1-27. Any remaining property tax proceeds that exceed
20 those described in subsection (b) that are not described in
21 subdivision (2) shall be allocated and, when collected, paid into the
22 funds of the respective taxing units.
23 (d) Notwithstanding any other law, each assessor shall, upon
24 petition of the board, reassess the taxable property situated upon
25 or in, or added to, the innovation development district effective on
26 the next assessment date after the petition.
27 (e) Notwithstanding any other law, the assessed value of all
28 taxable property in the innovation development district, for
29 purposes of tax limitation, property tax replacement, and
30 formulation of the budget, tax rate, and tax levy for each political
31 subdivision in which the property is located is the lesser of:
32 (1) the assessed value of the taxable property as valued
33 without regard to this section; or
34 (2) the base assessed value.
35 Sec. 17. (a) A board may enter into a written agreement with a
36 taxpayer who owns, or is otherwise obligated to pay property taxes
37 on, tangible property that is or will be located in an allocation area
38 established under this chapter in which the taxpayer waives review
39 of any assessment of the taxpayer's tangible property that is
40 located in the allocation area for an assessment date that occurs
41 during the term of any specified bond or lease obligations that are
42 payable, in whole or in part, from property taxes in accordance
ES 361—LS 7135/DI 120 35
1 with an allocation provision for the allocation area and any
2 applicable statute, ordinance, or resolution.
3 (b) Notwithstanding any other law, a board may exempt from
4 taxation any tangible real property improvements or personal
5 property, or a part of real property improvements or personal
6 property, that:
7 (1) in the case of real property improvements, is assessed as
8 commercial or industrial property under the rules of the
9 department of local government finance;
10 (2) is located within the innovation development district; and
11 (3) was:
12 (A) in the case of real property improvements,
13 constructed; and
14 (B) in the case of personal property, first entered into
15 service;
16 after the date that the innovation development district was
17 designated under section 10 of this chapter.
18 Sec. 18. (a) The state board of accounts, the department of state
19 revenue, and the department of local government finance may
20 adopt rules under IC 4-22-2 and prescribe the forms and
21 procedures that the state board of accounts, the department of
22 state revenue, and the department of local government finance
23 consider appropriate for the implementation of an innovation
24 development district under this chapter. However, before adopting
25 rules under this section, the state board of accounts, the
26 department of state revenue, and the department of local
27 government finance shall submit a report to the budget committee
28 that:
29 (1) describes the rules proposed by the state board of
30 accounts, the department of state revenue, and the
31 department of local government finance; and
32 (2) recommends statutory changes necessary to implement the
33 provisions of this chapter.
34 (b) After each reassessment of real property in an area under a
35 county's reassessment plan prepared under IC 6-1.1-4-4.2, the
36 department of local government finance shall adjust the base
37 assessed value one (1) time to neutralize any effect of the
38 reassessment of the real property in the area on the property tax
39 proceeds allocated to the local innovation development district
40 fund established by section 21 of this chapter.
41 (c) After each annual adjustment under IC 6-1.1-4-4.5, the
42 department of local government finance shall adjust the base
ES 361—LS 7135/DI 120 36
1 assessed value to neutralize any effect of the annual adjustment on
2 the property tax proceeds allocated to the local innovation
3 development district fund established by section 21 of this chapter.
4 Sec. 19. (a) After entering into an agreement under section 14 of
5 this chapter, the board shall send to the department of state
6 revenue:
7 (1) a certified copy of the designation of the innovation
8 development district under section 10 of this chapter;
9 (2) a certified copy of the agreement entered into under
10 section 14 of this chapter; and
11 (3) a complete list of the employers in the innovation
12 development district and the street names and the range of
13 street numbers of each street in the innovation development
14 district.
15 The board shall update the list provided under subdivision (3)
16 before July 1 of each year.
17 (b) Not later than sixty (60) days after receiving a copy of the
18 designation of the innovation development district, the department
19 of state revenue shall determine the gross retail base period
20 amount and the income tax base period amount.
21 Sec. 20. (a) Before the first business day in October of each year,
22 the department of state revenue shall calculate the income tax
23 incremental amount and the gross retail incremental amount for
24 the preceding state fiscal year for each innovation development
25 district designated under this chapter.
26 (b) Taxpayers operating in an innovation development district
27 shall report annually, in the manner and form prescribed by the
28 department of state revenue, information that the department of
29 state revenue determines necessary to calculate the net increment.
30 (c) A taxpayer operating in an innovation development district
31 that files a consolidated tax return with the department of state
32 revenue shall also file annually an informational return with the
33 department of state revenue for each business location of the
34 taxpayer within the innovation development district.
35 (d) If a taxpayer fails to report the information required by this
36 section or file an informational return required by this section, the
37 department of state revenue shall use the best information
38 available in calculating the income tax incremental amount and
39 gross retail incremental amount.
40 (e) The department of state revenue shall transfer the amount
41 calculated as provided in subsection (a) to the applicable local
42 innovation development district fund established for the innovation
ES 361—LS 7135/DI 120 37
1 development district under section 21 of this chapter by November
2 1 of each year.
3 Sec. 21. (a) Each board shall establish a local innovation
4 development district fund for an innovation development district
5 designated under section 10 of this chapter.
6 (b) Each fund consists of:
7 (1) deposits of incremental property tax revenue from the
8 county auditor as provided in section 16(c) of this chapter;
9 and
10 (2) transfers from the department under section 20 of this
11 chapter.
12 (c) The board established for the innovation development
13 district shall administer each local innovation development district
14 fund established under this section. The expenses of administering
15 each fund shall be paid from money in that fund.
16 (d) A board may use money in each fund for the following
17 purposes:
18 (1) The acquisition, improvement, preparation, demolition,
19 disposal, construction, reconstruction, remediation,
20 rehabilitation, restoration, preservation, maintenance, repair,
21 furnishing, and equipping of public facilities, including but
22 not limited to utilities and transportation infrastructure.
23 (2) The operation of public facilities.
24 (3) The acquisition of land within the innovation development
25 district.
26 (4) The recruitment of new businesses and new employees to
27 the innovation development district.
28 (5) The training of individuals employed in the innovation
29 development district.
30 (6) For any other purpose authorized by an agreement
31 between the corporation and the board entered into under
32 section 14 of this chapter.
33 (e) Not later than August 1 of each year, the board shall transfer
34 an amount equal to not less than twelve percent (12%) of the
35 incremental property tax revenues that were deposited into the
36 fund in the immediately preceding state fiscal year to the general
37 fund of each city, town, county, or school corporation with
38 territory located within the innovation development district. If the
39 board is required to transfer funds to more than one (1) city, town,
40 county, or school corporation under this subsection, the amount
41 transferred to each city, town, county, and school corporation must
42 be allocated among each city, town, county, and school corporation
ES 361—LS 7135/DI 120 38
1 proportionately based on each city's, town's, county's, and school
2 corporation's gross property tax levy.
3 (f) This subsection applies only to a city, town, or county that
4 receives funds under subsection (e). A city, town, or county may
5 use funds received under subsection (e) to pay any:
6 (1) costs incurred by the city, town, or county to construct,
7 maintain, or operate utilities, transportation infrastructure,
8 or any other public facility that provides services to the
9 innovation development district; or
10 (2) other costs deemed necessary by the city, town, or county
11 to provide police or fire protection to the innovation
12 development district.
13 (g) Each state fiscal year, the board may, after making the
14 transfer required under subsection (e) and satisfying all debt
15 service obligations due and payable during the state fiscal year for
16 bonds issued under IC 5-1.2-4-4(a)(2), transfer from each local
17 innovation development district fund to the statewide innovation
18 development district fund established by section 22 of this chapter
19 an amount not to exceed one hundred percent (100%) of the net
20 incremental revenue derived from state income taxes and gross
21 retail taxes deposited into each fund during the immediately
22 preceding state fiscal year.
23 (h) Money in each local innovation development district fund at
24 the end of a state fiscal year does not revert to the state general
25 fund.
26 (i) Money in each local innovation development district fund is
27 continuously appropriated for the purposes specified in this
28 section.
29 Sec. 22. (a) The statewide innovation development district fund
30 is established within the state treasury to provide grants or loans
31 to support the development or expansion of industry in Indiana.
32 (b) The fund consists of:
33 (1) Transfers from a local innovation development district
34 fund under section 21(g) of this chapter.
35 (2) Appropriations from the general assembly.
36 (3) Loan repayments, including earnings from loans under
37 subsection (d).
38 (c) The corporation shall administer the fund. The following
39 may be paid from money in the fund:
40 (1) The expenses of administering the fund.
41 (2) Nonrecurring administrative expenses incurred to carry
42 out the purposes of this chapter.
ES 361—LS 7135/DI 120 39
1 (d) Earnings from loans made under this chapter shall be
2 deposited in the fund.
3 (e) The corporation may make grants, loans, or investments
4 from the fund for the following purposes:
5 (1) For the purposes identified in section 21(d) of this chapter.
6 (2) For the acquisition and improvement of land or other
7 property.
8 (3) For costs associated with creating new innovation
9 development districts.
10 (4) For the development of partnerships, including grants and
11 loans, between the state, advanced industry and higher
12 educational institutions focused on development, expansion,
13 or retention in the state.
14 (5) For the stimulation of investments in entrepreneurial or
15 high growth potential companies in the state.
16 (6) For workforce training assistance in the state.
17 (f) The corporation may use money in the fund to make a
18 payment in lieu of a growing economy tax credit as provided in
19 IC 6-3-5-5.
20 Sec. 23. (a) Except as provided in subsection (b), money in the
21 statewide innovation development district fund established by
22 section 22 of this chapter at the end of the state fiscal year does not
23 revert to the state general fund.
24 (b) Notwithstanding subsection (a), if the unobligated balance
25 of the statewide innovation development district fund established
26 by section 22 of this chapter exceeds five hundred million dollars
27 ($500,000,000) at the close of any state fiscal year, the amount of
28 funds in excess of five hundred million dollars ($500,000,000) shall
29 be transferred to the state general fund.
30 (c) Money in the fund is continuously appropriated for the
31 purposes of this chapter.
32 Sec. 24. The corporation shall provide information on the
33 innovation development district program in its economic incentive
34 and compliance report submitted pursuant to IC 5-28-28-5, and to
35 the budget committee, that includes the following:
36 (1) Metrics established by the corporation to evaluate the
37 effectiveness of the innovation development district in
38 promoting economic growth in the state.
39 (2) The number and amount of grants or loans from the
40 statewide innovation development district fund established by
41 section 22 of this chapter that are contractually awarded by
42 the corporation for each innovation development district and
ES 361—LS 7135/DI 120 40
1 in total for all innovation development districts statewide.
2 (3) The name of each entity receiving a grant or loan from the
3 statewide innovation development district fund established by
4 section 22 of this chapter for each innovation development
5 district and for all innovation development districts statewide.
6 (4) The amount and name of each entity for which there is a
7 unfunded obligation at the close of each state fiscal year.
8 (5) A report on each innovation development district
9 designated under this chapter that includes a description of:
10 (A) the general boundaries of the innovation development
11 district;
12 (B) the total acreage encompassed within the innovation
13 development district;
14 (C) the base assessed value of the innovation development
15 district;
16 (D) the gross retail base period amount determined for the
17 innovation development district;
18 (E) the income tax base period amount determined for the
19 innovation development district;
20 (F) the gross assessed value of all tangible real and
21 personal property, without regard to any exemption
22 granted by the board under section 17(b) of this chapter,
23 that is:
24 (i) assessed as commercial or industrial property under
25 the rules of the department of local government finance;
26 and
27 (ii) located within the innovation development district;
28 in each calendar year after the calendar year in which the
29 innovation development district was designated;
30 (G) the amount of incremental property tax revenue
31 deposited into the local innovation development district
32 fund established by section 21 of this chapter in each state
33 fiscal year after the state fiscal year in which the
34 innovation development district was designated;
35 (H) the amount of incremental state gross retail and use
36 tax revenue deposited into the local innovation
37 development district fund established by section 21 of this
38 chapter in each state fiscal year after the state fiscal year
39 in which the innovation development district was
40 designated;
41 (I) the amount of incremental state adjusted gross income
42 tax revenue deposited into the local innovation
ES 361—LS 7135/DI 120 41
1 development district fund established by section 21 of this
2 chapter in each state fiscal year after the state fiscal year
3 in which the innovation development district was
4 designated;
5 (J) the amount of revenue deposited into the local
6 innovation development district fund established by section
7 21 of this chapter that was transferred into the statewide
8 innovation development district fund established under
9 section 22 of this chapter in each state fiscal year after the
10 state fiscal year in which the innovation development
11 district was designated;
12 (K) the aggregate amount of bonds issued by the Indiana
13 finance authority under IC 5-1.2-4-4(a)(2) to pay for
14 projects within the innovation development district;
15 (L) the annual amount of debt service payments due on the
16 bonds described in clause (K); and
17 (M) a description of all economic development incentives
18 granted by the corporation to businesses located within the
19 innovation development district.
20 SECTION 28. [EFFECTIVE UPON PASSAGE] (a) For the
21 biennium beginning July 1, 2021, and ending June 30, 2023, the
22 budget agency shall augment from the state general fund the
23 amount of money appropriated for the Indiana economic
24 development corporation for business promotion and innovation
25 in P.L.165-2021, SECTION 6, by an amount not to exceed three
26 hundred million dollars ($300,000,000). Notwithstanding
27 P.L.165-2021 or any other law, the Indiana economic development
28 corporation may transfer any funds allocated for business
29 promotion and innovation to the statewide innovation development
30 district fund established by IC 36-7-32.5-22 or to the Indiana
31 promotion fund established by IC 5-28-5-12.
32 (b) Notwithstanding any other law, funds appropriated to the
33 Indiana economic development corporation for business promotion
34 and innovation do not revert to the state general fund at the end of
35 the state fiscal year and remain available in subsequent state fiscal
36 years for the uses specified under state law.
37 (c) This SECTION expires July 1, 2025.
38 SECTION 29. [EFFECTIVE UPON PASSAGE] (a) As used in this
39 SECTION, "corporation" refers to the Indiana economic
40 development corporation established by IC 5-28-3-1.
41 (b) The corporation shall identify and review state laws and
42 regulations that:
ES 361—LS 7135/DI 120 42
1 (1) are burdensome to existing Indiana businesses; or
2 (2) inhibit the creation of new businesses and industries in the
3 state.
4 (c) Not later than November 1, 2022, the corporation shall
5 provide a report with recommendations for amending the state
6 laws and regulations identified and reviewed under subsection (b)
7 to the general assembly and the budget committee in an electronic
8 format under IC 5-14-6.
9 (d) This SECTION expires July 1, 2023.
10 SECTION 30. An emergency is declared for this act.
ES 361—LS 7135/DI 120 43
COMMITTEE REPORT
Madam President: The Senate Committee on Appropriations, to
which was referred Senate Bill No. 361, has had the same under
consideration and begs leave to report the same back to the Senate with
the recommendation that said bill be AMENDED as follows:
Page 1, delete lines 1 through 17, begin a new paragraph and insert:
"SECTION 1. IC 5-1.2-4-4, AS ADDED BY P.L.189-2018,
SECTION 25, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JANUARY 1, 2023]: Sec. 4. In addition to the powers listed in section
1 of this chapter, the authority may:
(1) enter into leases and issue bonds under terms and conditions
determined by the authority and use the proceeds of the bonds to:
(A) acquire obligations issued by any entity authorized to
acquire, finance, construct, or lease capital improvements
under IC 5-1-17;
(B) acquire any obligations issued by the northwest Indiana
regional development authority established by IC 36-7.5-2-1;
or
(C) carry out the purposes of IC 5-1-17.5 within a motorsports
investment district; and
(2) issue bonds under terms and conditions determined by the
authority payable solely from:
(A) revenues generated by a project under IC 36-7-32.5;
(B) net increment distributed to the Indiana economic
development corporation by the department of state
revenue under IC 36-7-32.5-16;
(C) property tax increment distributed to the Indiana
development corporation by a redevelopment commission
under IC 36-7-32.5-12; or
(D) any combination of the methods set forth in clauses (A)
through (C);
and use the proceeds of the bonds to pay the cost of projects
described in IC 36-7-32.5-19; and
(2) (3) perform any other functions determined by the authority to
be necessary or appropriate to carry out the purposes of this
section.
SECTION 2. IC 5-28-2-1.5 IS ADDED TO THE INDIANA CODE
AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE
JANUARY 1, 2022 (RETROACTIVE)]: Sec. 1.5. "Applicable tax
credit" means any of the following:
(1) IC 6-3.1-13.
(2) IC 6-3.1-19.
ES 361—LS 7135/DI 120 44
(3) IC 6-3.1-26.
(4) IC 6-3.1-30.
(5) IC 6-3.1-34.
(6) IC 6-3.1-36.".
Page 2, delete lines 1 through 14, begin a new paragraph and insert:
"SECTION 3. IC 5-28-6-9 IS ADDED TO THE INDIANA CODE
AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE
JANUARY 1, 2022 (RETROACTIVE)]: Sec. 9. (a) Except as
provided in subsection (b), the total amount of credits that the
corporation may award for a calendar year for all taxpayers for all
applicable tax credits is four hundred million dollars
($400,000,000).
(b) Subject to review by the budget committee, the corporation
may award for a calendar year for all taxpayers an additional two
hundred million dollars ($200,000,000) for all applicable tax credits
in addition to those under subsection (a). However, the tax credits
awarded under this subsection shall not be assigned or transferred.
(c) If the corporation has not or does not expect to exhaust the
limit on the award of applicable credits, the corporation may
award some or all of the remaining credits to taxpayers that make
contributions to the Indiana promotion fund established by
IC 5-28-5-12 in accordance with the policy established by the
corporation under subsection (e).
(d) Credits provided to taxpayers providing contributions to the
Indiana promotion fund may not be carried back or refunded.
(e) The corporation shall establish a policy for the award and
distribution of credits that must be approved by the board.".
Page 17, between lines 31 and 32, begin a new paragraph and insert:
"SECTION 19. IC 6-3.1-36 IS ADDED TO THE INDIANA CODE
AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
JANUARY 1, 2023]:
Chapter 36. Film and Media Production Tax Credit
Sec. 1. As used in this chapter, "qualified applicant" means a
person, corporation, limited liability partnership, limited liability
company, or other entity that is engaged in the business of making
a qualified media production in Indiana.
Sec. 2. As used in this chapter, "qualified media production"
means:
(1) a feature length film, including an independent or studio
production, or a documentary;
(2) a television episodic series, program, or feature;
(3) a digital media production that is intended for reasonable
ES 361—LS 7135/DI 120 45
commercial exploitation; or
(4) any other similar production as determined by the
corporation;
that is produced in Indiana.
Sec. 3. As used in this chapter, "qualified production expenses"
means expenses incurred by a qualified applicant for a qualified
media production.
Sec. 4. As used in this chapter, "state tax liability" means a
taxpayer's total tax liability that is incurred under:
(1) IC 6-3-1 through IC 6-3-7 (the adjusted gross income tax);
(2) IC 6-5.5 (the financial institutions tax); and
(3) IC 27-1-18-2 (the insurance premiums tax);
as computed after the application of the credits that under
IC 6-3.1-1-2 are to be applied before the credit provided by this
chapter.
Sec. 5. As used in this chapter, "taxpayer" means a qualified
applicant that has any state tax liability.
Sec. 6. (a) A qualified applicant may apply to the Indiana
economic development corporation for a tax credit under this
chapter. The corporation shall prescribe the form and contents of
the application.
(b) The corporation shall evaluate an applicant's eligibility for
a tax credit under this chapter.
(c) The corporation may certify the eligibility of a taxpayer that
meets the requirements for a tax credit under this chapter.
(d) If the corporation certifies a taxpayer under subsection (c),
the corporation shall determine the percentage used to calculate
the amount of a tax credit under section 7(2) of this chapter.
Sec. 7. If the corporation certifies a taxpayer under section 6(c)
of this chapter, the taxpayer is entitled to a tax credit under this
chapter equal to:
(1) the amount of the taxpayer's qualified production
expenses; multiplied by
(2) a percentage determined by the corporation.
 Sec. 8. If a pass through entity is entitled to a credit under
section 7 of this chapter but does not have state tax liability against
which the tax credit may be applied, a shareholder, partner, or
member of the pass through entity is entitled to a tax credit equal
to:
(1) the tax credit determined for the pass through entity for
the taxable year; multiplied by
(2) the percentage of the pass through entity's distributive
ES 361—LS 7135/DI 120 46
income to which the shareholder, partner, or member is
entitled.
Sec. 9. To receive the credit provided by this chapter, a taxpayer
must claim the credit on the taxpayer's state tax return or returns
in the manner prescribed by the department.
Sec. 10. A tax credit awarded under this chapter is subject to the
limitations set forth in IC 5-28-6-9.".
Page 19, line 32, after "district" insert ".".
Page 19, line 32, delete "and" and insert "The unit shall".
Page 19, line 38, delete "Unless otherwise provided by subsection
(e), before" and insert "Before".
Page 19, line 41, after "committee." delete "The".
Page 19, delete line 42.
Page 20, delete line 1.
Page 20, delete lines 14 through 39, begin a new paragraph and
insert:
"(f) Notwithstanding any other provision of this chapter, an
innovation development district may not be established in an
existing allocation area established under IC 6-1.1-39, IC 36-7-14,
IC 36-7-15.1, IC 36-7-30, IC 36-7-30.5, IC 36-7-32, or any other
provision that authorizes the establishment of an allocation area.".
Page 27, delete lines 25 through 39, begin a new paragraph and
insert:
"Sec. 19. (a) The corporation, in order to accelerate the rate of
economic growth in Indiana, is hereby authorized and empowered
to construct, maintain, and operate, in cooperation with the federal
government, or otherwise, at such locations within a designated
innovation development district, projects to accelerate economic
growth. The Indiana finance authority may issue bonds to pay the
cost of such projects payable solely from revenue as set forth in
IC 5-1.2-4-4(2).".
Page 28, line 11, delete "." and insert "for each district and in total
for all districts statewide.".
Page 28, line 13, delete "." and insert "for each district and for all
ES 361—LS 7135/DI 120 47
districts statewide.".
Renumber all SECTIONS consecutively.
and when so amended that said bill do pass.
(Reference is to SB 361 as introduced.)
MISHLER, Chairperson
Committee Vote: Yeas 11, Nays 1.
_____
SENATE MOTION
Madam President: I move that Senate Bill 361 be amended to read
as follows:
Replace the effective dates in SECTIONS 1 through 21 with
"[EFFECTIVE JULY 1, 2023]".
Page 2, line 6, delete "; or" and insert "for assessments after
December 31, 2023; or".
Page 3, line 13, delete "2022;" and insert "2023;".
Page 3, line 42, delete "2022;" and insert "2023;".
Page 4, line 2, delete "2023." and insert "2024.".
Page 4, line 11, delete "2023," and insert "2024,".
Page 22, line 3, delete "December 31, 2022," and insert "June 30,
2023,".
Page 22, line 23, delete "(f)" and insert "(e)".
Page 25, line 21, after "tax" insert "assessed after December 31,
2023, and".
Page 29, delete line 40.
(Reference is to SB 361 as printed January 28, 2022.)
MISHLER
_____
COMMITTEE REPORT
Mr. Speaker: Your Committee on Ways and Means, to which was
referred Senate Bill 361, has had the same under consideration and
begs leave to report the same back to the House with the
recommendation that said bill be amended as follows:
ES 361—LS 7135/DI 120 48
Delete the title and insert the following:
A BILL FOR AN ACT to amend the Indiana Code concerning state
offices and administration and to make an appropriation.
Replace the effective dates in SECTIONS 1 through 3 with
"[EFFECTIVE JULY 1, 2022]".
Replace the effective dates in SECTIONS 8 through 18 with
"[EFFECTIVE JULY 1, 2022]".
Replace the effective date in SECTION 21 with "[EFFECTIVE
JULY 1, 2022]".
Page 1, line 3, after "4." insert "(a)".
Page 1, line 15, after "(2)" insert "at the request of the Indiana
economic development corporation established by IC 5-28-3-1, and
subject to subsections (b), (c), and (d), enter into leases and".
Page 1, line 17, delete "generated by a project under IC 36-7-32.5;"
and insert "that are deposited in a local innovation development
district fund established under IC 36-7-32.5-21;
(B) revenues generated from a project under
IC 36-7-32.5-21; and
(C) appropriations from the general assembly; and".
Page 2, delete lines 1 through 11.
Page 2, between lines 14 and 15, begin a new paragraph and insert:
"(b) The proceeds of bonds issued under subsection (a)(2) may
be used to pay the costs of projects:
(1) described in IC 36-7-32.5-21; and
(2) located within or directly servicing the innovation
development district in which the revenue was generated.
(c) Before the authority enters into leases or issues bonds under
subsection (a)(2), the proposed lease or issuance of bonds must be
reviewed by the budget committee.
(d) The authority may not issue more than one billion dollars
($1,000,000,000) of bonds under subsection (a)(2).".
Page 2, line 17, after "means" insert "a tax credit available under".
Page 2, line 27, delete "Except as provided in subsection (b), the
total" and insert "The aggregate amount of applicable tax credits
that the corporation may award for a state fiscal year for all
taxpayers is three hundred million dollars ($300,000,000).
(b) For purposes of determining the amount of applicable tax
credits that have been awarded for a state fiscal year, the following
apply:
(1) An applicable tax credit is considered awarded in the state
fiscal year in which the taxpayer can first claim the credit,
determined without regard to any carryforward period or
ES 361—LS 7135/DI 120 49
carryback period.
(2) An applicable tax credit awarded by the corporation
before July 1, 2022, shall be counted toward the aggregate
credit limitation under this section.
(3) If an accelerated credit is awarded under IC 6-3.1-26-15,
the amount counted toward the aggregate credit limitation
under this section for a state fiscal year shall be the amount of
the credit for the taxable year described in subdivision (1)
prior to any discount.
SECTION 4. IC 6-1.1-10-50 IS ADDED TO THE INDIANA CODE
AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
1, 2022]: Sec. 50. Property identified under IC 36-7-32.5-17 by an
innovation development district board established under
IC 36-7-32.5-14 is exempt from property taxation.
SECTION 5. IC 6-1.1-39-0.5, AS ADDED BY P.L.38-2021,
SECTION 37, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2022]: Sec. 0.5. (a) This section does not apply to a parcel that
is included in more than one (1) allocation area established by:
(1) an ordinance adopted under section 2 of this chapter and
confirmed under section 3 of this chapter;
(2) a resolution adopted under IC 8-22-3.5-5 and confirmed under
IC 8-22-3.5-6;
(3) a resolution establishing an allocation provision under
IC 36-7-14-39 that is adopted and approved under IC 36-7-14-15,
IC 36-7-14-16, and IC 36-7-14-17;
(4) a resolution establishing an allocation provision under
IC 36-7-15.1-26 that is adopted and approved under
IC 36-7-15.1-8, IC 36-7-15.1-9, and IC 36-7-15.1-10;
(5) a resolution establishing an allocation provision under
IC 36-7-30-25 that is adopted and approved under IC 36-7-30-10,
IC 36-7-30-11, and IC 36-7-30-12;
(6) a resolution establishing an allocation provision under
IC 36-7-30.5-30 that is adopted and approved under
IC 36-7-30.5-16, IC 36-7-30.5-17, and IC 36-7-30.5-18; or
(7) a resolution designating a certified technology park as an
allocation area that is approved and adopted under IC 36-7-32-15;
on or before May 1, 2021. In addition, a new allocation area may not
be established under this chapter that includes a parcel that is located
in an allocation area described in this subsection.
(b) Except as provided in subsection (a), but notwithstanding any
other provision, for the purpose of the allocation of property taxes
under this chapter, a parcel may not be included in more than one (1)
ES 361—LS 7135/DI 120 50
allocation area under this chapter or under:
(1) IC 8-22-3.5;
(2) IC 36-7-14;
(3) IC 36-7-15.1;
(4) IC 36-7-30;
(5) IC 36-7-30.5; or
(6) IC 36-7-32; or
(7) IC 36-7-32.5.".
Page 2, delete lines 28 through 42.
Delete pages 3 through 7.
Page 8, delete lines 1 through 41.
Page 9, line 3, delete "IC 5-28" and insert "IC 5-28-3-1".
Page 9, line 10, after "section," insert "the taxpayer shall provide
to the department:".
Page 9, delete line 11.
Page 9, delete lines 21 through 22, begin a new paragraph and
insert:
"(d) In the case of a credit awarded under IC 6-3.1-13 to a
taxpayer that is a pass through entity, the:
(1) pass through entity has the authority to make the election
with regard to the credit;
(2) shareholders, partners, members, and beneficiaries of the
pass through entity may not make an election separate from
the pass through entity with regard to the credit;
(3) pass through entity is entitled to the payment allowable
under this section; and
(4) pass through entity may not pass through any portion of
the credit for which the pass through entity requests payment
as a tax credit to the shareholders, partners, members, or
beneficiaries of the pass through entity.
(e) If a payment under this section is included in the federal
adjusted gross income of an individual or the federal taxable
income of any other entity, the payment must be treated as:
(1) adjusted gross income from Indiana sources under this
article and IC 6-5.5;
(2) business income for purposes of this article; and
(3) a receipt from Indiana sources for apportionment
purposes under IC 6-3-2 and IC 6-5.5-4.
(f) For purposes of offsetting refunds and overpayments, a
payment under this section is treated as an overpayment of tax
under this article and IC 6-5.5 for purposes of IC 6-8.1-9-2,
IC 6-8.1-9.5, and IC 6-8.1-9.7.
ES 361—LS 7135/DI 120 51
(g) A payment under this section is subject to IC 6-3.1-13-22 in
the same manner as if the payment had been claimed as a credit.
(h) If all or a portion of a payment under this section is
determined to have been made in error or is subject to assessment
under IC 6-3.1-13-22, the department may issue an assessment for
repayment of such amount before the later of:
(1) ten (10) years from the date of the payment; or
(2) three (3) years from the date the Indiana economic
development corporation notifies the department of the
taxpayer's noncompliance pursuant to IC 6-3.1-13-22.
(i) An assessment for repayment shall be treated as a proposed
assessment for purposes of administrative review and judicial
appeal under IC 6-8.1-5. However, review of the Indiana economic
development corporation's determination of noncompliance shall
be limited to an abuse of discretion by the Indiana economic
development corporation.
(j) For purposes of this section, an election for payment in lieu
of claiming the credit under IC 6-3.1-13 for a taxable year is not
allowed if:
(1) the taxpayer has claimed all or part of the credit for the
taxable year;
(2) in the case of a taxpayer who is a pass through entity, the
taxpayer passes through all or part of the credit as a tax
credit, regardless of whether the pass through entity
subsequently provides information to the department, the
Indiana economic development corporation, or any other
affected person or entity, that the credit should not be passed
through as a tax credit or whether the credit otherwise has
been claimed as a tax credit; or
(3) the taxpayer makes the election after the due date of the
taxpayer's return under IC 6-3, IC 6-5.5, IC 6-8-15, or
IC 27-1-18-2, determined without regard to extensions, on
which it would have claimed the credit for which the taxpayer
is requesting payment under this section.
(k) The amount needed to make a payment under this section
shall be paid from funds appropriated to the Indiana economic
development corporation for business promotion and innovation
or from the statewide innovation development district fund
established by IC 36-7-32.5-22. Payments made under this section
are subject to available funding.".
Page 12, line 3, delete "department" and insert "corporation, to be
paid from funds appropriated to the corporation for business
ES 361—LS 7135/DI 120 52
promotion and innovation or from the statewide innovation
development district fund established by IC 36-7-32.5-22, that is".
Page 12, between lines 4 and 5, begin a new paragraph and insert:
"SECTION 14. IC 6-3.1-24-8, AS AMENDED BY P.L.165-2021,
SECTION 81, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JANUARY 1, 2023]: Sec. 8. (a) A certification provided under section
7 of this chapter must include notice to the investors of the maximum
amount of tax credits available under this chapter for the provision of
qualified investment capital to the qualified Indiana business.
(b) For a calendar year ending before January 1, 2011, the maximum
amount of tax credits available under this chapter for the provision of
qualified investment capital to a particular qualified Indiana business
equals the lesser of:
(1) the total amount of qualified investment capital provided to
the qualified Indiana business in the calendar year, multiplied by
twenty percent (20%); or
(2) five hundred thousand dollars ($500,000).
(c) For a calendar year beginning after December 31, 2010, and
ending before January 1, 2022, the maximum amount of tax credits
available under this chapter for the provision of qualified investment
capital to a particular qualified Indiana business equals the lesser of the
following:
(1) The total amount of qualified investment capital provided to
the qualified Indiana business in the calendar year, multiplied by
twenty percent (20%).
(2) One million dollars ($1,000,000).
(d) For a calendar year beginning after December 31, 2021, the
maximum amount of tax credits available under this chapter for the
provision of qualified investment capital to a particular qualified
Indiana business equals the lesser of the following:
(1) The total amount of qualified investment capital provided to
the qualified Indiana business in the calendar year, multiplied by
twenty-five percent (25%).
(2) One million dollars ($1,000,000).
(e) Notwithstanding subsection (d), for a calendar year beginning
after December 31, 2021, the maximum amount of tax credits available
under this chapter for the provision of qualified investment capital to
a particular qualified Indiana business, if the qualified Indiana business
is a minority business enterprise, or a women's business enterprise, or
a veteran owned business equals the lesser of the following:
(1) The total amount of qualified investment capital provided to
the qualified Indiana business in the calendar year, multiplied by
ES 361—LS 7135/DI 120 53
thirty percent (30%).
(2) One million five hundred thousand dollars ($1,500,000).".
Page 12, strike lines 24 through 27.
Page 16, line 30, delete "If" and insert "Except as provided in
subsection (b), if".
Page 17, line 27, reset in roman "board and".
Page 17, line 28, reset in roman "approved by the budget agency.".
Page 17, line 28, delete "corporation at its discretion.".
Page 18, between lines 20 and 21, begin a new paragraph and insert:
"Sec. 1. As used in this chapter, "corporation" refers to the
Indiana economic development corporation established by
IC 5-28-3-1.".
Page 18, line 21, delete "1." and insert "2.".
Page 18, line 25, delete "2." and insert "3.".
Page 18, line 35, delete "3." and insert "4.".
Page 18, line 38, delete "4." and insert "5.".
Page 18, line 40, after "tax);" insert "and".
Page 18, line 41, delete "and".
Page 18, delete line 42.
Page 19, line 4, delete "5." and insert "6.".
Page 19, line 6, delete "6." and insert "7.".
Page 19, line 6, delete "Indiana".
Page 19, line 7, delete "economic development".
Page 19, line 16, delete "7(2)" and insert "8(2)".
Page 19, line 17, delete "7." and insert "8.".
Page 19, line 17, delete "6(c)" and insert "7(c)".
Page 19, line 22, delete "corporation." and insert "corporation, not
to exceed thirty percent (30%).".
Page 19, line 23, delete "8." and insert "9.".
Page 19, line 24, delete "7" and insert "8".
Page 19, line 25, delete "or".
Page 19, line 26, delete "member" and insert "member, or
beneficiary".
Page 19, line 31, delete "or member" and insert "member, or
beneficiary".
Page 19, line 33, delete "9." and insert "10.".
Page 19, between lines 35 and 36, begin a new paragraph and insert:
"Sec. 11. (a) The amount of the credit provided by this chapter
that a taxpayer uses during a particular taxable year may not
exceed the state tax liability of the taxpayer.
(b) If the credit provided by this chapter exceeds the taxpayer's
state tax liability for the first taxable year containing the taxable
ES 361—LS 7135/DI 120 54
year for which the corporation awards the credit, then the excess
may be carried over to succeeding taxable years and used as a
credit against the state tax liability of the taxpayer during those
taxable years.
(c) Each time that the credit is carried over to a succeeding
taxable year, it is to be reduced by the amount that was used as a
credit during the immediately preceding taxable year. The credit
provided by this chapter may be carried forward and applied to
succeeding taxable years for nine (9) taxable years following the
first taxable year containing the taxable year for which the
corporation awards the credit.
(d) If a taxpayer fails to claim a credit under this chapter for a
year in which the taxpayer is otherwise permitted to claim the
credit, the credit will be considered to be used for purposes of
subsection (c).
(e) If a taxpayer claims a credit under this chapter, the
department and the department of insurance may disclose
information necessary to verify that amounts in excess of the credit
allowable under this chapter have not been claimed.".
Page 19, line 36, delete "10." and insert "12.".
Page 19, delete lines 38 through 41, begin a new paragraph and
insert:
"Sec. 13. This chapter expires July 1, 2027.
SECTION 19. IC 8-14-15.1-7, AS ADDED BY P.L.217-2017,
SECTION 69, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2022]: Sec. 7. (a) The next level Indiana fund investment
board is established. The board consists of the following members:
(1) The secretary of commerce or the secretary's designee, who
shall serve as the chairperson of the board.
(2) The director of the office of management and budget or the
director's designee.
(3) Two (2) individuals appointed by the governor who have
experience and knowledge in investments.
(4) The treasurer of state or the treasurer's designee.
(5) One (1) individual appointed by the speaker of the house
of representatives who has experience and knowledge in
venture capital investments.
(6) One (1) individual appointed by the president pro tempore
of the senate who has experience and knowledge in venture
capital investments.
(b) The board shall serve as trustee of the trust and direct the
investment of the trust.
ES 361—LS 7135/DI 120 55
(c) The board shall adopt an investment policy in conformance with
section 8 of this chapter.
(d) The board shall hold regular meetings at least quarterly. The
board may hold special meetings at the call of the treasurer of state or
with a written request signed by at least two (2) members of the board.
(e) The board may hold its meetings at offices in Indiana that the
chairperson or the requesting members designate. All meetings must
be open to the public in accordance with IC 5-14-1.5. The board shall
keep a record of its proceedings.
(f) Three (3) Five (5) members of the board constitute a quorum for
the transaction of business of the board. Each member of the board is
entitled to one (1) vote. A vote of at least three (3) five (5) members of
the board present is required for the board to adopt a resolution or take
other action at a regular or special meeting.
SECTION 20. IC 8-22-3.5-1.5, AS ADDED BY P.L.38-2021,
SECTION 54, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2022]: Sec. 1.5. (a) This section does not apply to a parcel that
is included in more than one (1) allocation area established by:
(1) an ordinance adopted under section 5 of this chapter and
confirmed under section 6 of this chapter;
(2) a resolution adopted under IC 6-1.1-39-2 and confirmed under
IC 6-1.1-39-3;
(3) a resolution establishing an allocation provision under
IC 36-7-14-39 that is adopted and approved under IC 36-7-14-15,
IC 36-7-14-16, and IC 36-7-14-17;
(4) a resolution establishing an allocation provision under
IC 36-7-15.1-26 that is adopted and approved under
IC 36-7-15.1-8, IC 36-7-15.1-9, and IC 36-7-15.1-10;
(5) a resolution establishing an allocation provision under
IC 36-7-30-25 that is adopted and approved under IC 36-7-30-10,
IC 36-7-30-11, and IC 36-7-30-12;
(6) a resolution establishing an allocation provision under
IC 36-7-30.5-30 that is adopted and approved under
IC 36-7-30.5-16, IC 36-7-30.5-17, and IC 36-7-30.5-18; or
(7) a resolution designating a certified technology park as an
allocation area that is approved and adopted under IC 36-7-32-15;
on or before May 1, 2021. In addition, a new allocation area may not
be established under this chapter that includes a parcel that is located
in an allocation area described in this subsection.
(b) Except as provided in subsection (a), but notwithstanding any
other provision, for the purpose of the allocation of property taxes
under this chapter, a parcel may not be included in more than one (1)
ES 361—LS 7135/DI 120 56
allocation area established under this chapter or under:
(1) IC 6-1.1-39;
(2) IC 36-7-14;
(3) IC 36-7-15.1;
(4) IC 36-7-30;
(5) IC 36-7-30.5; or
(6) IC 36-7-32; or
(7) IC 36-7-32.5.
SECTION 21. IC 36-1-29.5 IS ADDED TO THE INDIANA CODE
AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2022]:
Chapter 29.5. Workforce Retention and Recruitment Program
and Fund
Sec. 1. As used in this chapter, "fund" means a workforce
retention and recruitment fund established by the fiscal officer of
a unit under section 9 of this chapter.
Sec. 2. As used in this chapter, "incentive agreement" means an
agreement described in section 8(b) of this chapter.
Sec. 3. As used in this chapter, "program" means a workforce
retention and recruitment program established by the executive of
a unit under section 8(a) of this chapter.
Sec. 4. As used in this chapter, "qualified nonprofit
organization" means a private, nonprofit entity formed as a
partnership between one (1) or more units, private sector
businesses, or community or philanthropic organizations to
develop and implement a workforce retention and recruitment
strategy that has an organizational structure that conforms with
the requirements of a policy developed by the workforce fund
managers under section 10 of this chapter.
Sec. 5. As used in this chapter, "qualified worker" means an
individual described in section 11 of this chapter.
Sec. 6. As used in this chapter, "unit" means a county, city, or
town.
Sec. 7. As used in this chapter, "workforce fund managers"
means a workforce fund board of managers established by the
executive of a unit under section 10 of this chapter.
Sec. 8. (a) The executive of a unit may by resolution or executive
order establish a workforce retention and recruitment program for
the purposes of recruiting and retaining individuals who will
satisfy the current and future workforce needs of the unit's
employers or provide substantial economic impact to the unit,
including providing incentives in the form of grants or loans to
ES 361—LS 7135/DI 120 57
qualified workers.
(b) A program must require each qualified worker who receives
a grant or loan from the fund to enter into an incentive agreement
with the workforce fund managers. An incentive agreement must
include the following terms:
(1) The duration of time each qualified worker agrees to
reside within the unit following the date specified in the
agreement.
(2) A penalty clause if a qualified worker fails to fulfill the
terms of the agreement.
However, the workforce fund managers may waive a penalty under
subdivision (2) regarding any part of a grant or loan that the
qualified worker may have received and that is due under the
incentive agreement.
Sec. 9. (a) If the executive of a unit establishes a program under
section 8 of this chapter, the fiscal officer of the unit shall establish
a workforce retention and recruitment fund for the purposes of the
program.
(b) The fund shall consist of the following:
(1) Any private grants or contributions.
(2) Appropriations to the fund included in the unit's budget.
(3) Transfers of money to the fund under section 12 of this
chapter.
(4) Any repayments to the fund under section 8(b) of this
chapter.
(c) The executive of the unit shall administer the fund in
coordination with a workforce fund board of managers established
under section 10 of this chapter, including any qualified nonprofit
organization established by the workforce fund managers under
that section.
(d) Any money remaining in a fund at the end of the calendar
year does not revert to the unit's general fund.
Sec. 10. (a) The executive of a unit that establishes a program
under section 8 of this chapter shall appoint a five (5) member
workforce fund board of managers. The duties of the workforce
fund managers shall include:
(1) adopting rules and bylaws they consider necessary for the
proper conduct of their proceedings, the carrying out of other
duties, and the safeguarding of the money or property placed
in their custody;
(2) by resolution or in accordance with their rules and bylaws,
prescribing the date and manner of notice of their regular
ES 361—LS 7135/DI 120 58
meetings;
(3) identifying the most appropriate and fiscally responsible
incentives that will attract or retain individuals or families
who will satisfy the current and future workforce needs of the
unit's employers or provide substantial economic impact to
the unit;
(4) developing and implementing marketing strategies to
recruit or retain these individuals or families;
(5) identifying and recruiting applicants who may receive
incentives from the fund;
(6) establishing an application process for individuals and
families;
(7) evaluating applicants; and
(8) offering incentives to qualified applicants.
(b) Three (3) of the workforce fund managers constitute a
quorum and the concurrence of three (3) of the workforce fund
managers is necessary to authorize any action.
(c) The workforce fund managers may establish a qualified
nonprofit organization for purposes of carrying out a program and
the purposes of a fund under this chapter.
Sec. 11. To qualify for a grant or loan from a fund, an individual
must be:
(1) a graduate of an Indiana college or university who:
(A) was a resident of another state before enrolling at the
Indiana college or university;
(B) relocates to a location within the unit; and
(C) accepts and commences employment with an employer
located within the unit under the terms of an incentive
agreement;
(2) an out-of-state resident who relocates to a location within
the unit in order to accept and commence employment with
an employer located within the unit under the terms of an
incentive agreement; or
(3) an out-of-state resident who relocates to a location within
the unit and works remotely for an employer, regardless of
the employer's domicile.
Sec. 12. (a) The fiscal body of a unit may transfer or deposit the
following into a fund:
(1) Any private grants or contributions.
(2) Appropriations to the fund included in the unit's budget.
(3) Except for money in a fund with a restricted purpose, but
otherwise notwithstanding any use of funds prohibition as
ES 361—LS 7135/DI 120 59
long as the transfer or deposit is authorized by the relevant
statutory procedure:
(A) any surplus, unexpended, unappropriated,
unencumbered, or otherwise available public or private
money; and
(B) from any general account, reverting or nonreverting
fund, special account, or trust, other than a fund or
account that receives bond proceeds, created or
administered by any department, board, authority,
commission, political subdivision, special service district,
special taxing district, or any other instrumentality of local
government under IC 36 with authority to collect or
receive taxes, interest, or any other public or private
money.
(b) Notwithstanding any other statute, an executive of a unit
that has established a program under section 8 of this chapter,
after consulting with the fiscal body and fiscal officer of the unit,
may authorize a transfer or loan to a fund from any dedicated fund
or account, other than a fund or account that receives bond
proceeds, before the purpose for which the dedicated fund or
account was established has been accomplished.
(c) Two (2) or more units may, by written agreement,
collaborate, commingle funds, or otherwise work together for the
benefit of administering or carrying out the purposes of the units'
funds.
Sec. 13. Any separate body corporate and politic or regional,
multicounty, or metropolitan authority or commission may, by
written agreement, establish a mutually beneficial relationship
with one (1) or more units for purposes of administering or
carrying out the purposes of the unit's fund or units' funds.
Sec. 14. (a) Not later than April 15 of each year, the workforce
fund managers shall file with the executive of the unit and fiscal
body of the unit a report setting out their activities during the
preceding calendar year.
(b) The report of the workforce fund managers under this
section must show:
(1) the names of the then qualified and acting workforce fund
managers;
(2) the amount of the expenditures made during the preceding
year and their general purpose;
(3) the amount of funds on hand at the close of the calendar
year; and
ES 361—LS 7135/DI 120 60
(4) other information deemed necessary to disclose the
activities of the workforce fund managers and the results
obtained.
(c) Not later than April 15 of each year, a copy of each report
under this section must be submitted to the department of local
government finance in an electronic format specified by the
department of local government finance.
SECTION 22. IC 36-7-14-57, AS ADDED BY P.L.38-2021,
SECTION 91, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2022]: Sec. 57. (a) This section does not apply to a parcel that
is included in more than one (1) allocation area established by:
(1) a resolution establishing an allocation provision under section
39 of this chapter that is adopted and approved under sections 15
through 17 of this chapter;
(2) a resolution adopted under IC 6-1.1-39-2 and confirmed under
IC 6-1.1-39-3;
(3) a resolution adopted under IC 8-22-3.5-5 and confirmed under
IC 8-22-3.5-6;
(4) a resolution establishing an allocation provision under
IC 36-7-15.1-26 that is adopted and approved under
IC 36-7-15.1-8, IC 36-7-15.1-9, and IC 36-7-15.1-10;
(5) a resolution establishing an allocation provision under
IC 36-7-30-25 that is adopted and approved under IC 36-7-30-10,
IC 36-7-30-11, and IC 36-7-30-12;
(6) a resolution establishing an allocation provision under
IC 36-7-30.5-30 that is adopted and approved under
IC 36-7-30.5-16, IC 36-7-30.5-17, and IC 36-7-30.5-18; or
(7) a resolution designating a certified technology park as an
allocation area that is approved and adopted under IC 36-7-32-15;
on or before May 1, 2021. In addition, a new allocation area may not
be established under this chapter that includes a parcel that is located
in an allocation area described in this subsection.
(b) Except as provided in subsection (a), but notwithstanding any
other provision, for the purpose of the allocation of property taxes
under this chapter, a parcel may not be included in more than one (1)
allocation area established under this chapter or under:
(1) IC 6-1.1-39;
(2) IC 8-22-3.5;
(3) IC 36-7-15.1;
(4) IC 36-7-30;
(5) IC 36-7-30.5; or
(6) IC 36-7-32; or
ES 361—LS 7135/DI 120 61
(7) IC 36-7-32.5.
SECTION 23. IC 36-7-15.1-63, AS ADDED BY P.L.38-2021,
SECTION 92, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2022]: Sec. 63. (a) This section does not apply to a parcel that
is included in more than one (1) allocation area established by:
(1) a resolution establishing an allocation provision under section
26 of this chapter that is adopted and approved under sections 8
through 10 of this chapter;
(2) a resolution adopted under IC 6-1.1-39-2 and confirmed under
IC 6-1.1-39-3;
(3) a resolution adopted under IC 8-22-3.5-5 and confirmed under
IC 8-22-3.5-6;
(4) a resolution establishing an allocation provision under
IC 36-7-14-39 that is adopted and approved under IC 36-7-14-15,
IC 36-7-14-16, and IC 36-7-14-17;
(5) a resolution establishing an allocation provision under
IC 36-7-30-25 that is adopted and approved under IC 36-7-30-10,
IC 36-7-30-11, and IC 36-7-30-12;
(6) a resolution establishing an allocation provision under
IC 36-7-30.5-30 that is adopted and approved under
IC 36-7-30.5-16, IC 36-7-30.5-17, and IC 36-7-30.5-18; or
(7) a resolution designating a certified technology park as an
allocation area that is approved and adopted under IC 36-7-32-15;
on or before May 1, 2021. In addition, a new allocation area may not
be established under this chapter that includes a parcel that is located
in an allocation area described in this subsection.
(b) Except as provided in subsection (a), but notwithstanding any
other provision, for the purpose of the allocation of property taxes
under this chapter, a parcel may not be included in more than one (1)
allocation area established under this chapter or under:
(1) IC 6-1.1-39;
(2) IC 8-22-3.5;
(3) IC 36-7-14;
(4) IC 36-7-30;
(5) IC 36-7-30.5; or
(6) IC 36-7-32; or
(7) IC 36-7-32.5.
SECTION 24. IC 36-7-30-36, AS ADDED BY P.L.38-2021,
SECTION 95, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2022]: Sec. 36. (a) This section does not apply to a parcel that
is included in more than one (1) allocation area established by:
(1) a resolution establishing an allocation provision under section
ES 361—LS 7135/DI 120 62
25 of this chapter that is adopted and approved under sections 10
through 12 of this chapter;
(2) a resolution adopted under IC 6-1.1-39-2 and confirmed under
IC 6-1.1-39-3;
(3) a resolution adopted under IC 8-22-3.5-5 and confirmed under
IC 8-22-3.5-6;
(4) a resolution establishing an allocation provision under
IC 36-7-14-39 that is adopted and approved under IC 36-7-14-15,
IC 36-7-14-16, and IC 36-7-14-17;
(5) a resolution establishing an allocation provision under
IC 36-7-15.1-26 that is adopted and approved under
IC 36-7-15.1-8, IC 36-7-15.1-9, and IC 36-7-15.1-10;
(6) a resolution establishing an allocation provision under
IC 36-7-30.5-30 that is adopted and approved under
IC 36-7-30.5-16, IC 36-7-30.5-17, and IC 36-7-30.5-18; or
(7) a resolution designating a certified technology park as an
allocation area that is approved and adopted under IC 36-7-32-15;
on or before May 1, 2021. In addition, a new allocation area may not
be established under this chapter that includes a parcel that is located
in an allocation area described in this subsection.
(b) Except as provided in subsection (a), but notwithstanding any
other provision, for the purpose of the allocation of property taxes
under this chapter, a parcel may not be included in more than one (1)
allocation area established under this chapter or under:
(1) IC 6-1.1-39;
(2) IC 8-22-3.5;
(3) IC 36-7-14;
(4) IC 36-7-15.1;
(5) IC 36-7-30.5; or
(6) IC 36-7-32; or
(7) IC 36-7-32.5.
SECTION 25. IC 36-7-30.5-37, AS ADDED BY P.L.38-2021,
SECTION 96, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2022]: Sec. 37. (a) This section does not apply to a parcel that
is included in more than one (1) allocation area established by:
(1) a resolution establishing an allocation provision under section
30 of this chapter that is adopted and approved under sections 16
through 18 of this chapter;
(2) a resolution adopted under IC 6-1.1-39-2 and confirmed under
IC 6-1.1-39-3;
(3) a resolution adopted under IC 8-22-3.5-5 and confirmed under
IC 8-22-3.5-6;
ES 361—LS 7135/DI 120 63
(4) a resolution establishing an allocation provision under
IC 36-7-14-39 that is adopted and approved under IC 36-7-14-15,
IC 36-7-14-16, and IC 36-7-14-17;
(5) a resolution establishing an allocation provision under
IC 36-7-15.1-26 that is adopted and approved under
IC 36-7-15.1-8, IC 36-7-15.1-9, and IC 36-7-15.1-10;
(6) a resolution establishing an allocation provision under
IC 36-7-30-25 that is adopted and approved under IC 36-7-30-10,
IC 36-7-30-11, and IC 36-7-30-12; or
(7) a resolution designating a certified technology park as an
allocation area that is approved and adopted under IC 36-7-32-15;
on or before May 1, 2021. In addition, a new allocation area may not
be established under this chapter that includes a parcel that is located
in an allocation area described in this subsection.
(b) Except as provided in subsection (a), but notwithstanding any
other provision, for the purpose of the allocation of property taxes
under this chapter, a parcel may not be included in more than one (1)
allocation area established under this chapter or under:
(1) IC 6-1.1-39;
(2) IC 8-22-3.5;
(3) IC 36-7-14;
(4) IC 36-7-15.1;
(5) IC 36-7-30; or
(6) IC 36-7-32; or
(7) IC 36-7-32.5.
SECTION 26. IC 36-7-32-28, AS ADDED BY P.L.38-2021,
SECTION 97, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2022]: Sec. 28. (a) This section does not apply to a parcel that
is included in more than one (1) allocation area established by:
(1) a resolution designating a certified technology park as an
allocation area that is approved and adopted under section 15 of
this chapter;
(2) a resolution adopted under IC 6-1.1-39-2 and confirmed under
IC 6-1.1-39-3;
(3) a resolution adopted under IC 8-22-3.5-5 and confirmed under
IC 8-22-3.5-6;
(4) a resolution establishing an allocation provision under
IC 36-7-14-39 that is adopted and approved under IC 36-7-14-15,
IC 36-7-14-16, and IC 36-7-14-17;
(5) a resolution establishing an allocation provision under
IC 36-7-15.1-26 that is adopted and approved under
IC 36-7-15.1-8, IC 36-7-15.1-9, and IC 36-7-15.1-10;
ES 361—LS 7135/DI 120 64
(6) a resolution establishing an allocation provision under
IC 36-7-30-25 that is adopted and approved under IC 36-7-30-10,
IC 36-7-30-11, and IC 36-7-30-12; or
(7) a resolution establishing an allocation provision under
IC 36-7-30.5-30 that is adopted and approved under
IC 36-7-30.5-16, IC 36-7-30.5-17, and IC 36-7-30.5-18;
on or before May 1, 2021. In addition, a new allocation area may not
be established under this chapter that includes a parcel that is located
in an allocation area described in this subsection.
(b) Except as provided in subsection (a), but notwithstanding any
other provision, for the purpose of the allocation of property taxes
under this chapter, a parcel may not be included in more than one (1)
allocation area established under this chapter or under:
(1) IC 6-1.1-39;
(2) IC 8-22-3.5;
(3) IC 36-7-14;
(4) IC 36-7-15.1;
(5) IC 36-7-30; or
(6) IC 36-7-30.5; or
(7) IC 36-7-32.5.".
Page 20, delete line 5.
Page 20, line 6, delete "(1) the".
Page 20, run in lines 4 through 6.
Page 20, line 7, after "property" insert "that is assessed as
commercial or industrial property under the rules of the
department of local government finance and is".
Page 20, line 10, delete "8" and insert "10".
Page 20, line 10, delete "chapter; plus" and insert "chapter.".
Page 20, delete lines 11 through 15.
Page 20, between lines 15 and 16, begin a new paragraph and insert:
"Sec. 2. As used in this chapter, "board" refers to the innovation
development district board established under section 14 of this
chapter to govern an innovation development district.
Sec. 3. As used in this chapter, "corporation" refers to the
Indiana economic development corporation established by
IC 5-28-3-1.".
Page 20, line 16, delete "2." and insert "4.".
Page 20, line 18, after "businesses" insert ":
(1)".
Page 20, line 19, after "district" insert "; and
(2) that is, in the case of the:
(A) state gross retail tax, collected by a business for sales
ES 361—LS 7135/DI 120 65
occurring at a physical location of the business in the
innovation development district; and
(B) state use tax, incurred with regard to property used in
the innovation development district;".
Page 20, line 19, beginning with "during" begin a new line blocked
left.
Page 20, line 21, delete "8" and insert "10".
Page 20, line 23, delete "3." and insert "5.".
Page 20, line 26, after "businesses" insert ":
(A)".
Page 20, line 27, after "district" insert "; and
(B) that is, in the case of the:
(i) state gross retail tax, collected by a business for sales
occurring at a physical location of the business in the
innovation development district; and
(ii) state use tax, incurred with regard to property used
in the innovation development district;".
Page 20, line 28, beginning with "during" begin a new line block
indented.
Page 20, line 31, delete "4." and insert "6.".
Page 20, line 32, delete "the following" and insert "adjusted gross
income".
Page 20, line 37, delete "8 of this chapter:" and insert "10 of this
chapter.".
Page 20, delete lines 38 through 39.
Page 20, line 40, delete "5." and insert "7.".
Page 20, line 42, delete "and".
Page 21, line 1, delete "local income taxes".
Page 21, line 7, delete "and" and insert "plus".
Page 21, between lines 13 and 14, begin a new paragraph and insert:
"Sec. 8. As used in this chapter, "legislative body" means the
following:
(1) The board of county commissioners, for a county not
subject to IC 36-2-3.5 or IC 36-3-1.
(2) The county council, for a county subject to IC 36-2-3.5.
(3) The city-county council, for a consolidated city or county
having a consolidated city.
(4) The common council, for a city other than a consolidated
city.
(5) The town council, for a town.".
Page 21, line 14, delete "6." and insert "9.".
Page 21, line 16, delete "and" and insert "plus".
ES 361—LS 7135/DI 120 66
Page 21, delete lines 19 through 42, begin a new paragraph and
insert:
"Sec. 10. (a) Before the corporation may designate territory
within the jurisdiction of a city, town, or county, or within the
jurisdiction of more than one (1) city, town, or county, as an
innovation development district under this section, the board of the
corporation established under IC 5-28-4 shall establish policies and
guidelines that the corporation must follow when notifying and
collaborating with a legislative body, or, if applicable, legislative
bodies, to designate territory within the jurisdiction of a city, town,
or county as an innovation development district under this section.
(b) After notifying and collaborating with the legislative body,
or, if an innovation development district will include territory
within the jurisdiction of more than one (1) city, town, or county,
with the legislative bodies, in the manner provided under the
policies and guidelines established under subsection (a), the
corporation may designate territory within the jurisdiction of a
city, town, or county, or territory within the jurisdiction of more
than one (1) city, town, or county, as an innovation development
district if the corporation determines that the designation will
support economic growth.
(c) The corporation may not designate an innovation
development district under this section after June 30, 2025.
Sec. 11. (a) The corporation may not designate an area as an
innovation development district under section 10 of this chapter,
if the business or businesses that are expected to locate within the
innovation development district:
(1) currently operate in Indiana in a location outside of the
proposed innovation development district; and
(2) intend to substantially reduce or cease operations at the
other location or locations within Indiana in order to relocate
to a location within the innovation development district.
(b) Notwithstanding any other provision of this chapter, an
innovation development district may not be established in an
existing allocation area established under IC 6-1.1-39, IC 8-22-3.5,
IC 36-7-14, IC 36-7-15.1, IC 36-7-30, IC 36-7-30.5, IC 36-7-32,
IC 36-7.5-4.5, or any other provision that authorizes the
establishment of an allocation area.
(c) A development within the innovation development district is
subject to any zoning ordinance or other zoning law that otherwise
applies to territory within the innovation development district.
Sec. 12. (a) Except as provided in subsection (b), after June 30,
ES 361—LS 7135/DI 120 67
2022, and before July 1, 2025, the corporation may not designate
more than five (5) innovation development districts under section
10 of this chapter.
(b) Notwithstanding subsection (a), after June 30, 2022, and
before July 1, 2025, the corporation may designate additional
innovation development districts under section 10 of this chapter
after review by the budget committee.
Sec. 13. The term of an area's designation as an innovation
development district may not exceed thirty (30) years.
Sec. 14. (a) After an innovation development district is
designated under section 10 of this chapter, the legislative body, or,
if applicable, the legislative bodies, and the corporation shall
establish an innovation development district board to govern the
innovation development district.
(b) The board consists of five (5) members appointed as follows:
(1) Three (3) members appointed by the secretary of
commerce appointed under IC 5-28-3-4.
(2) Two (2) members appointed by the legislative body, or, if
applicable, the legislative bodies.
Each member of the board must be a resident of the county, or, if
applicable, one (1) of the counties, in which the innovation
development district is located. A member of the board serves at
the pleasure of the appointing authority. A vacancy on the board
shall be filled in the same manner as the original appointment.
(c) After the members of have been appointed under this
section, the board and the corporation shall enter into an
agreement establishing the terms and conditions governing the
innovation development district. After entering into the agreement,
the".
Page 22, delete lines 1 through 28.
Page 22, line 32, delete "(b)" and insert "(d)".
Page 22, line 33, delete "area" and insert "area, including a list of
all parcels".
Page 23, line 2, after "district" delete ", as determined by the
corporation." and insert ".".
Page 23, delete lines 3 through 5.
Page 23, line 6, delete "(6)" and insert "(5)".
Page 23, line 7, after "amount" insert "described in section 16(c) of
this chapter that is".
Page 23, line 9, delete "(7)" and insert "(6)".
Page 23, line 10, delete "corporation's".
Page 23, line 12, delete "(8)" and insert "(7)".
ES 361—LS 7135/DI 120 68
Page 23, line 17, delete "(9)" and insert "(8)".
Page 23, line 18, after "and the" insert "estimated".
Page 23, line 18, after "facilities" delete ", as" and insert ".".
Page 23, delete line 19, begin a new paragraph and insert:
"(e) Within fifteen (15) days of entering into an agreement under
subsection (c), the corporation shall submit a written report on the
agreement to the budget committee.".
Page 23, line 20, delete "10." and insert "15.".
Page 23, line 20, delete "If the corporation designates an area as an"
and insert "After the corporation and a board enter into an
agreement described in section 14 of this chapter concerning the
terms and conditions governing the".
Page 23, line 21, delete "redevelopment commission" and insert
"legislative body, or, if applicable, legislative bodies,".
Page 23, line 26, delete "redevelopment commission" and insert
"legislative body, or, if applicable, legislative bodies,".
Page 23, line 34, delete "following:".
Page 23, line 35, delete "(i) The".
Page 23, run in lines 34 through 35.
Page 23, delete lines 39 through 40.
Page 23, line 42, delete "must state that written remonstrances" and
insert "include a list of all parcels to be included within the
innovation development district.".
Delete page 24.
Page 25, delete lines 1 through 12.
Page 25, line 13, delete "12." and insert "16.".
Page 25, line 13, delete "10" and insert "15".
Page 25, line 16, delete "after December 31,".
Page 25, line 17, delete "2023, and".
Page 25, line 17, after "property" insert "used for commercial or
industrial purposes".
Page 25, line 38, delete "provided in subsections (d) and (e)," and
insert "as provided in subsection (d),".
Page 25, line 39, delete "that exceed those described in subsection
(b) shall be" and insert "that:
(1) exceed those described in subsection (b); and
(2) are attributable to the assessed value of taxable property
used for commercial or industrial purposes;
shall be paid into the appropriate local innovation development
district fund established by section 21 of this chapter by the county
auditor at the same time that the county auditor distributes
property taxes to other local units of government under
ES 361—LS 7135/DI 120 69
IC 6-1.1-27. Any remaining property tax proceeds that exceed
those described in subsection (b) that are not described in
subdivision (2) shall be allocated and, when collected, paid into the
funds of the respective taxing units.".
Page 25, delete lines 40 through 42.
Page 26, delete lines 1 through 6.
Page 26, line 7, delete "(e)" and insert "(d)".
Page 26, line 8, delete "corporation," and insert "board,".
Page 26, line 11, delete "(f)" and insert "(e)".
Page 26, line 19, delete "13. The corporation or a redevelopment
commission" and insert "17. (a) A board".
Page 26, line 29, delete "An agreement described in this section".
Page 26, delete lines 30 through 32, begin a new paragraph and
insert:
"(b) Notwithstanding any other law, a board may exempt from
taxation any tangible real or personal property that is:
(1) assessed as commercial or industrial property under the
rules of the department of local government finance; and
(2) located within the innovation development district.".
Page 26, line 33, delete "14." and insert "18.".
Page 26, line 33, delete "accounts and" and insert "accounts, the
department of state revenue, and the".
Page 26, line 34, delete "shall make the rules" and insert "may
adopt rules under IC 4-22-2".
Page 26, line 35, delete "accounts and" and insert "accounts, the
department of state revenue, and the".
Page 26, line 37, delete "allocation area" and insert "innovation
development district".
Page 26, line 37, after "chapter." insert "However, before adopting
rules under this section, the state board of accounts, the
department of state revenue, and the department of local
government finance shall submit a report to the budget committee
that:
(1) describes the rules proposed by the state board of
accounts, the department of state revenue, and the
department of local government finance; and
(2) recommends statutory changes necessary to implement the
provisions of this chapter.".
Page 27, line 1, after "to the" insert "local".
Page 27, line 2, delete "under section 17" and insert "established by
section 21".
Page 27, line 2, delete "After", begin a new paragraph and insert:
ES 361—LS 7135/DI 120 70
"(c) After".
Page 27, line 5, after "to the" insert "local".
Page 27, line 6, delete "17" and insert "21".
Page 27, line 8, delete "15." and insert "19.".
Page 27, line 8, delete "9" and insert "14".
Page 27, line 9, delete "redevelopment commission" and insert
"board".
Page 27, line 12, delete "8" and insert "10".
Page 27, line 14, delete "9" and insert "14".
Page 27, line 19, delete "redevelopment commission" and insert
"board".
Page 27, line 25, delete "16." and insert "20.".
Page 27, line 32, after "the department" insert "of state revenue".
Page 28, line 4, after "to the" insert "applicable local".
Page 28, line 5, delete "by section 17" and insert "for the
innovation development district under section 21".
Page 28, between lines 6 and 7, begin a new paragraph and insert:
"Sec. 21. (a) Each board shall establish a local innovation
development district fund for an innovation development district
designated under section 10 of this chapter.
(b) Each fund consists of:
(1) deposits of incremental property tax revenue from the
county auditor as provided in section 16(c) of this chapter;
and
(2) transfers from the department under section 20 of this
chapter.
(c) The board established for the innovation development
district shall administer each local innovation development district
fund established under this section. The expenses of administering
each fund shall be paid from money in that fund.
(d) A board may use money in each fund for the following
purposes:
(1) The acquisition, improvement, preparation, demolition,
disposal, construction, reconstruction, remediation,
rehabilitation, restoration, preservation, maintenance, repair,
furnishing, and equipping of public facilities, including but
not limited to utilities and transportation infrastructure.
(2) The operation of public facilities.
(3) The acquisition of land within the innovation development
district.
(4) The recruitment of new businesses and new employees to
the innovation development district.
ES 361—LS 7135/DI 120 71
(5) The training of individuals employed in the innovation
development district.
(6) For any other purpose authorized by an agreement
between the corporation and the board entered into under
section 14 of this chapter.
(e) Not later than August 1 of each year, the board shall transfer
an amount equal to twelve percent (12%) of the incremental
property tax revenues that were deposited into the fund in the
immediately preceding state fiscal year to the general fund of each
city, town, county, or school corporation with territory located
within the innovation development district. If the board is required
to transfer funds to more than one (1) city, town, county, or school
corporation under this subsection, the amount transferred to each
city, town, county, and school corporation must be allocated among
each city, town, county, and school corporation proportionately
based on each city's, town's, county's, and school corporation's
gross property tax levy.
(f) This subsection applies only to a city, town, or county that
receives funds under subsection (e). A city, town, or county may
use funds received under subsection (e) to pay any:
(1) costs incurred by the city, town, or county to construct,
maintain, or operate utilities, transportation infrastructure,
or any other public facility that provides services to the
innovation development district; or
(2) other costs deemed necessary by the city, town, or county
to provide police or fire protection to the innovation
development district.
(g) Each state fiscal year, the board may, after making the
transfer required under subsection (e) and satisfying all debt
service obligations due and payable during the state fiscal year for
bonds issued under IC 5-1.2-4-4(a)(2), transfer from each local
innovation development district fund to the statewide innovation
development district fund established by section 22 of this chapter
an amount not to exceed one hundred percent (100%) of the net
incremental revenue derived from state income taxes and gross
retail taxes deposited into each fund during the immediately
preceding state fiscal year.
(h) Money in each local innovation development district fund at
the end of a state fiscal year does not revert to the state general
fund.
(i) Money in each local innovation development district fund is
continuously appropriated for the purposes specified in this
ES 361—LS 7135/DI 120 72
section.".
Page 28, line 7, delete "17." and insert "22.".
Page 28, line 7, after "The" insert "statewide".
Page 28, line 9, delete "an advanced".
Page 28, line 12, delete "the general fund by the department of" and
insert "a local innovation development district fund under section
21(g) of this chapter.
(2) Appropriations from the general assembly.".
Page 28, delete lines 13 through 15.
Page 28, line 20, delete "Expense" and insert "The expenses".
Page 28, line 27, delete "IC 36-7-32-23(b)." and insert "section
21(d) of this chapter.".
Page 28, line 29, delete "and to support the expansion of industry in
the state." and insert ".".
Page 28, line 30, delete "the acquisition, development or investment
in" and insert "costs associated with creating new innovation
development districts.".
Page 28, delete lines 31 through 32.
Page 28, line 36, delete "in the interest of economic" and insert ".".
Page 28, delete line 37.
Page 28, line 40, delete "technology and equipment modernization
and" and insert "workforce".
Page 28, line 41, delete "development, and".
Page 29, delete lines 1 through 3, begin a new paragraph and insert:
"(f) The corporation may use money in the fund to make a
payment in lieu of a growing economy tax credit as provided in
IC 6-3-5-5.".
Page 29, line 4, delete "18. (a) Money in the" and insert "23. (a)
Except as provided in subsection (b), money in the statewide".
Page 29, line 5, delete "17" and insert "22".
Page 29, between lines 6 and 7, begin a new paragraph and insert:
"(b) Notwithstanding subsection (a), if the unobligated balance
of the statewide innovation development district fund established
by section 22 of this chapter exceeds five hundred million dollars
($500,000,000) at the close of any state fiscal year, the amount of
funds in excess of five hundred million dollars ($500,000,000) shall
be transferred to the state general fund.".
Page 29, line 7, delete "(b)" and insert "(c)".
Page 29, delete lines 9 through 23.
Page 29, line 24, delete "20." and insert "24.".
Page 29, line 26, after "IC 5-28-28-5" insert ", and to the budget
committee, that includes".
ES 361—LS 7135/DI 120 73
Page 29, line 27, delete "including".
Page 29, line 29, delete "Innovation Development District" and
insert "innovation development district".
Page 29, line 31, delete "fund" and insert "statewide innovation
development district fund established by section 22 of this chapter
that are".
Page 29, line 32, after "each" insert "innovation development".
Page 29, line 33, after "all" insert "innovation development".
Page 29, line 35, delete "fund for each district and for all districts
statewide." and insert "statewide innovation development district
fund established by section 22 of this chapter for each innovation
development district and for all innovation development districts
statewide.
(4) The amount and name of each entity for which there is a
unfunded obligation at the close of each state fiscal year.
(5) A report on each innovation development district
designated under this chapter that includes a description of:
(A) the general boundaries of the innovation development
district;
(B) the total acreage encompassed within the innovation
development district;
(C) the base assessed value of the innovation development
district;
(D) the gross retail base period amount determined for the
innovation development district;
(E) the income tax base period amount determined for the
innovation development district;
(F) the gross assessed value of all tangible real and
personal property, without regard to any exemption
granted by the board under section 17(b) of this chapter,
that is:
(i) assessed as commercial or industrial property under
the rules of the department of local government finance;
and
(ii) located within the innovation development district;
in each calendar year after the calendar year in which the
innovation development district was designated;
(G) the amount of incremental property tax revenue
deposited into the local innovation development district
fund established by section 21 of this chapter in each state
fiscal year after the state fiscal year in which the
innovation development district was designated;
ES 361—LS 7135/DI 120 74
(H) the amount of incremental state gross retail and use
tax revenue deposited into the local innovation
development district fund established by section 21 of this
chapter in each state fiscal year after the state fiscal year
in which the innovation development district was
designated;
(I) the amount of incremental state adjusted gross income
tax revenue deposited into the local innovation
development district fund established by section 21 of this
chapter in each state fiscal year after the state fiscal year
in which the innovation development district was
designated;
(J) the amount of revenue deposited into the local
innovation development district fund established by section
21 of this chapter that was transferred into the statewide
innovation development district fund established under
section 22 of this chapter in each state fiscal year after the
state fiscal year in which the innovation development
district was designated;
(K) the aggregate amount of bonds issued by the Indiana
finance authority under IC 5-1.2-4-4(a)(2) to pay for
projects within the innovation development district;
(L) the annual amount of debt service payments due on the
bonds described in clause (K); and
(M) a description of all economic development incentives
granted by the corporation to businesses located within the
innovation development district.
SECTION 28. [EFFECTIVE UPON PASSAGE] (a) For the
biennium beginning July 1, 2021, and ending June 30, 2023, the
budget agency shall augment from the state general fund the
amount of money appropriated for the Indiana economic
development corporation for business promotion and innovation
in P.L.165-2021, SECTION 6, by an amount not to exceed three
hundred million dollars ($300,000,000). Notwithstanding
P.L.165-2021 or any other law, the Indiana economic development
corporation may transfer any funds allocated for business
promotion and innovation to the statewide innovation development
district fund established by IC 36-7-32.5-22 or to the Indiana
promotion fund established by IC 5-28-5-12.
(b) Notwithstanding any other law, funds appropriated to the
Indiana economic development corporation for business promotion
and innovation do not revert to the state general fund at the end of
ES 361—LS 7135/DI 120 75
the state fiscal year and remain available in subsequent state fiscal
years for the uses specified under state law.
(c) This SECTION expires July 1, 2025.
SECTION 29. [EFFECTIVE UPON PASSAGE] (a) As used in this
SECTION, "corporation" refers to the Indiana economic
development corporation established by IC 5-28-3-1.
(b) The corporation shall identify and review state laws and
regulations that:
(1) are burdensome to existing Indiana businesses; or
(2) inhibit the creation of new businesses and industries in the
state.
(c) Not later than November 1, 2022, the corporation shall
provide a report with recommendations for amending the state
laws and regulations identified and reviewed under subsection (b)
to the general assembly and the budget committee in an electronic
format under IC 5-14-6.
(d) This SECTION expires July 1, 2023.
SECTION 30. An emergency is declared for this act.".
Renumber all SECTIONS consecutively.
and when so amended that said bill do pass.
(Reference is to SB 361 as reprinted February 1, 2022.)
BROWN T
Committee Vote: yeas 14, nays 8.
_____
HOUSE MOTION
Mr. Speaker: I move that Engrossed Senate Bill 361 be amended to
read as follows:
Page 28, line 17, delete "and personal".
Page 28, line 19, delete "and" and insert ", and taxable personal
property, that".
Page 31, line 3, delete "under IC 6-1.1-39, IC 8-22-3.5," and insert
"under:
(1) IC 5-1-17.5;
(2) IC 6-1.1-39;
(3) IC 8-22-3.5;
(4) IC 36-7-13;
ES 361—LS 7135/DI 120 76
(5) IC 36-7-14;
(6) IC 36-7-15.1;
(7) IC 36-7-30;
(8) IC 36-7-30.5;
(9) IC 36-7-31;
(10) IC 36-7-31.3;
(11) IC 36-7-31.5;
(12) IC 36-7-32;
(13) IC 36-7.5-4.5; or
(14) any other provision that authorizes the establishment of
an allocation area.".
Page 31, delete lines 4 through 6.
Page 34, line 30, after "real" insert "property improvements".
Page 34, line 30, after "personal property" insert ", or a part of real
property improvements or personal property,".
Page 34, line 30, delete "that is:" and insert "that:".
Page 34, line 31, after "(1)" insert "in the case of real property
improvements, is".
Page 34, line 32, delete "and".
Page 34, line 33, after "(2)" insert "is".
Page 34, line 33, delete "district." and insert "district; and
(3) was:
(A) in the case of real property improvements,
constructed; and
(B) in the case of personal property, first entered into
service;
after the date that the innovation development district was
designated under section 10 of this chapter.".
Page 37, line 8, after "equal to" insert "not less than".
(Reference is to ESB 361 as printed February 22, 2022.)
BROWN T
_____
HOUSE MOTION
Mr. Speaker: I move that Engrossed Senate Bill 361 be amended to
read as follows:
Page 31, line 25, delete "five (5)" and insert "six (6)".
Page 31, line 28, delete "Two (2)" and insert "Three (3)".
ES 361—LS 7135/DI 120 77
(Reference is to ESB 361 as printed February 22, 2022.)
HEINE
_____
HOUSE MOTION
Mr. Speaker: I move that Engrossed Senate Bill 361 be amended to
read as follows:
Page 32, between lines 28 and 29, begin a new paragraph and insert:
"(f) Neither a board nor the corporation may exercise the power
of eminent domain within an innovation development district.".
(Reference is to ESB 361 as printed February 22, 2022.)
THOMPSON
_____
HOUSE MOTION
Mr. Speaker: I move that Engrossed Senate Bill 361 be amended to
read as follows:
Page 16, between lines 23 and 24, begin a new line block indented
and insert:
"(3) a music production;".
Page 16, line 24, delete "(3)" and insert "(4)".
Page 16, line 26, delete "(4)" and insert "(5)".
(Reference is to ESB 361 as printed February 22, 2022.)
JUDY
ES 361—LS 7135/DI 120