IN
Indiana Senate Bill SB0361

Indiana 2022 Regular Session

Indiana Senate Bill SB0361 Compare Versions

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1+*ES0361.2*
2+Reprinted
3+February 25, 2022
4+ENGROSSED
5+SENATE BILL No. 361
6+_____
7+DIGEST OF SB 361 (Updated February 24, 2022 1:06 pm - DI 125)
8+Citations Affected: IC 5-1.2; IC 5-28; IC 6-1.1; IC 6-3; IC 6-3.1;
9+IC 8-14; IC 8-22; IC 36-1; IC 36-7; noncode.
10+Synopsis: Economic development. Makes certain amendments to the
11+hoosier business investment tax credit, the economic development for
12+a growing economy tax credit, the headquarters relocation tax credit,
13+and the redevelopment tax credit. Adds veteran owned businesses to
14+the list of businesses that would qualify for an enhanced venture capital
15+tax credit. Limits the total amount of credits that the Indiana economic
16+development corporation (IEDC) may award for a calendar year for all
17+taxpayers for all applicable tax credits to $300,000,000. Specifies the
18+procedure by which the IEDC may designate an area as an innovation
19+development district (district). Provides that an innovation
20+development district board (board) must be established to govern each
21+(Continued next page)
22+Effective: Upon passage; July 1, 2022; January 1, 2023; July 1, 2023.
23+Mishler, Holdman, Niezgodski,
24+Ford Jon, Busch, Buck, Gaskill, Alting
25+(HOUSE SPONSORS — BROWN T, SNOW, JORDAN, HAMILTON)
26+January 11, 2022, read first time and referred to Committee on Appropriations.
27+January 27, 2022, amended, reported favorably — Do Pass.
28+January 31, 2022, read second time, amended, ordered engrossed.
29+February 1, 2022, engrossed. Read third time, passed. Yeas 48, nays 1.
30+HOUSE ACTION
31+February 8, 2022, read first time and referred to Committee on Ways and Means.
32+February 22, 2022, amended, reported — Do Pass.
33+February 24, 2022, read second time, amended, ordered engrossed.
34+ES 361—LS 7135/DI 120 Digest Continued
35+innovation development district. Requires the IEDC to enter into a final
36+agreement with the board establishing the terms and conditions
37+governing a district. Requires the board to establish a local innovation
38+development district fund for a district. Provides for the uses of money
39+in a local innovation development district fund. Provides that money in
40+a local innovation development district fund is continuously
41+appropriated for the uses of the fund. Authorizes a county, city, or town
42+to establish a workforce retention and recruitment program and fund
43+(fund) for the purposes of recruiting and retaining individuals who will
44+satisfy the current and future workforce needs of the unit's employers
45+or provide substantial economic impact to the unit, including providing
46+incentives in the form of grants or loans to qualified workers.
47+Authorizes the unit to transfer money into the fund from other sources.
48+Provides that the executive of the unit shall administer the fund in
49+coordination with a workforce fund board of managers appointed by
50+the executive of the unit. Provides that the IEDC may award a tax
51+credit for media production expenses for certain media productions in
52+Indiana beginning July 1, 2023. Provides for the augmentation of the
53+amount appropriated to the IEDC in an amount not to exceed
54+$300,000,000 for the purposes of business promotion and innovation.
55+Specifies that funds appropriated to the IEDC for the purposes of
56+business promotion and innovation do not revert to the state general
57+fund. Requires the IEDC to identify state laws and regulations that
58+burden existing businesses or inhibit creation of new businesses and
59+provide a report with recommendations to the general assembly and
60+budget committee. Makes conforming changes.
61+ES 361—LS 7135/DI 120ES 361—LS 7135/DI 120 Reprinted
62+February 25, 2022
163 Second Regular Session of the 122nd General Assembly (2022)
264 PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
365 Constitution) is being amended, the text of the existing provision will appear in this style type,
466 additions will appear in this style type, and deletions will appear in this style type.
567 Additions: Whenever a new statutory provision is being enacted (or a new constitutional
668 provision adopted), the text of the new provision will appear in this style type. Also, the
769 word NEW will appear in that style type in the introductory clause of each SECTION that adds
870 a new provision to the Indiana Code or the Indiana Constitution.
971 Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
1072 between statutes enacted by the 2021 Regular Session of the General Assembly.
11-SENATE ENROLLED ACT No. 361
12-AN ACT to amend the Indiana Code concerning state offices and
13-administration and to make an appropriation.
73+ENGROSSED
74+SENATE BILL No. 361
75+A BILL FOR AN ACT to amend the Indiana Code concerning state
76+offices and administration and to make an appropriation.
1477 Be it enacted by the General Assembly of the State of Indiana:
15-SECTION 1. IC 5-1.2-4-4, AS ADDED BY P.L.189-2018,
78+1 SECTION 1. IC 5-1.2-4-4, AS ADDED BY P.L.189-2018,
79+2 SECTION 25, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
80+3 JULY 1, 2022]: Sec. 4. (a) In addition to the powers listed in section 1
81+4 of this chapter, the authority may:
82+5 (1) enter into leases and issue bonds under terms and conditions
83+6 determined by the authority and use the proceeds of the bonds to:
84+7 (A) acquire obligations issued by any entity authorized to
85+8 acquire, finance, construct, or lease capital improvements
86+9 under IC 5-1-17;
87+10 (B) acquire any obligations issued by the northwest Indiana
88+11 regional development authority established by IC 36-7.5-2-1;
89+12 or
90+13 (C) carry out the purposes of IC 5-1-17.5 within a motorsports
91+14 investment district; and
92+15 (2) at the request of the Indiana economic development
93+16 corporation established by IC 5-28-3-1, and subject to
94+17 subsections (b), (c), and (d), enter into leases and issue bonds
95+ES 361—LS 7135/DI 120 2
96+1 under terms and conditions determined by the authority
97+2 payable solely from:
98+3 (A) revenues that are deposited in a local innovation
99+4 development district fund established under
100+5 IC 36-7-32.5-21;
101+6 (B) revenues generated from a project under
102+7 IC 36-7-32.5-21; and
103+8 (C) appropriations from the general assembly; and
104+9 (2) (3) perform any other functions determined by the authority to
105+10 be necessary or appropriate to carry out the purposes of this
106+11 section.
107+12 (b) The proceeds of bonds issued under subsection (a)(2) may be
108+13 used to pay the costs of projects:
109+14 (1) described in IC 36-7-32.5-21; and
110+15 (2) located within or directly servicing the innovation
111+16 development district in which the revenue was generated.
112+17 (c) Before the authority enters into leases or issues bonds under
113+18 subsection (a)(2), the proposed lease or issuance of bonds must be
114+19 reviewed by the budget committee.
115+20 (d) The authority may not issue more than one billion dollars
116+21 ($1,000,000,000) of bonds under subsection (a)(2).
117+22 SECTION 2. IC 5-28-2-1.5 IS ADDED TO THE INDIANA CODE
118+23 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
119+24 1, 2022]: Sec. 1.5. "Applicable tax credit" means a tax credit
120+25 available under any of the following:
121+26 (1) IC 6-3.1-13.
122+27 (2) IC 6-3.1-19.
123+28 (3) IC 6-3.1-26.
124+29 (4) IC 6-3.1-30.
125+30 (5) IC 6-3.1-34.
126+31 (6) IC 6-3.1-36.
127+32 SECTION 3. IC 5-28-6-9 IS ADDED TO THE INDIANA CODE
128+33 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
129+34 1, 2022]: Sec. 9. (a) The aggregate amount of applicable tax credits
130+35 that the corporation may award for a state fiscal year for all
131+36 taxpayers is three hundred million dollars ($300,000,000).
132+37 (b) For purposes of determining the amount of applicable tax
133+38 credits that have been awarded for a state fiscal year, the following
134+39 apply:
135+40 (1) An applicable tax credit is considered awarded in the state
136+41 fiscal year in which the taxpayer can first claim the credit,
137+42 determined without regard to any carryforward period or
138+ES 361—LS 7135/DI 120 3
139+1 carryback period.
140+2 (2) An applicable tax credit awarded by the corporation
141+3 before July 1, 2022, shall be counted toward the aggregate
142+4 credit limitation under this section.
143+5 (3) If an accelerated credit is awarded under IC 6-3.1-26-15,
144+6 the amount counted toward the aggregate credit limitation
145+7 under this section for a state fiscal year shall be the amount of
146+8 the credit for the taxable year described in subdivision (1)
147+9 prior to any discount.
148+10 SECTION 4. IC 6-1.1-10-50 IS ADDED TO THE INDIANA CODE
149+11 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
150+12 1, 2022]: Sec. 50. Property identified under IC 36-7-32.5-17 by an
151+13 innovation development district board established under
152+14 IC 36-7-32.5-14 is exempt from property taxation.
153+15 SECTION 5. IC 6-1.1-39-0.5, AS ADDED BY P.L.38-2021,
154+16 SECTION 37, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
155+17 JULY 1, 2022]: Sec. 0.5. (a) This section does not apply to a parcel that
156+18 is included in more than one (1) allocation area established by:
157+19 (1) an ordinance adopted under section 2 of this chapter and
158+20 confirmed under section 3 of this chapter;
159+21 (2) a resolution adopted under IC 8-22-3.5-5 and confirmed under
160+22 IC 8-22-3.5-6;
161+23 (3) a resolution establishing an allocation provision under
162+24 IC 36-7-14-39 that is adopted and approved under IC 36-7-14-15,
163+25 IC 36-7-14-16, and IC 36-7-14-17;
164+26 (4) a resolution establishing an allocation provision under
165+27 IC 36-7-15.1-26 that is adopted and approved under
166+28 IC 36-7-15.1-8, IC 36-7-15.1-9, and IC 36-7-15.1-10;
167+29 (5) a resolution establishing an allocation provision under
168+30 IC 36-7-30-25 that is adopted and approved under IC 36-7-30-10,
169+31 IC 36-7-30-11, and IC 36-7-30-12;
170+32 (6) a resolution establishing an allocation provision under
171+33 IC 36-7-30.5-30 that is adopted and approved under
172+34 IC 36-7-30.5-16, IC 36-7-30.5-17, and IC 36-7-30.5-18; or
173+35 (7) a resolution designating a certified technology park as an
174+36 allocation area that is approved and adopted under IC 36-7-32-15;
175+37 on or before May 1, 2021. In addition, a new allocation area may not
176+38 be established under this chapter that includes a parcel that is located
177+39 in an allocation area described in this subsection.
178+40 (b) Except as provided in subsection (a), but notwithstanding any
179+41 other provision, for the purpose of the allocation of property taxes
180+42 under this chapter, a parcel may not be included in more than one (1)
181+ES 361—LS 7135/DI 120 4
182+1 allocation area under this chapter or under:
183+2 (1) IC 8-22-3.5;
184+3 (2) IC 36-7-14;
185+4 (3) IC 36-7-15.1;
186+5 (4) IC 36-7-30;
187+6 (5) IC 36-7-30.5; or
188+7 (6) IC 36-7-32; or
189+8 (7) IC 36-7-32.5.
190+9 SECTION 6. IC 6-3-5-5 IS ADDED TO THE INDIANA CODE AS
191+10 A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 1,
192+11 2022]: Sec. 5. (a) If the Indiana economic development corporation
193+12 established by IC 5-28-3-1 enters into an agreement with a
194+13 taxpayer for an economic development for a growing economy tax
195+14 credit under IC 6-3.1-13, and the taxpayer elects to forgo claiming
196+15 the credit against any state tax liability for that taxable year and
197+16 requests the department to remit to the taxpayer an amount equal
198+17 to the credit for the taxable year as set forth under
199+18 IC 6-3.1-13-20(b), the provisions of this section shall apply.
200+19 (b) Before making a payment to a taxpayer under this section,
201+20 the taxpayer shall provide to the department:
202+21 (1) a copy of the taxpayer's agreement with the Indiana
203+22 economic development corporation;
204+23 (2) the credit awarded to the taxpayer for that taxable year;
205+24 and
206+25 (3) any other information required by the department.
207+26 (c) A payment by the department cannot exceed the actual
208+27 incremental income tax withholdings collected by the department
209+28 as a result of the employment of new employees subject to an
210+29 agreement entered into under IC 6-3.1-13.
211+30 (d) In the case of a credit awarded under IC 6-3.1-13 to a
212+31 taxpayer that is a pass through entity, the:
213+32 (1) pass through entity has the authority to make the election
214+33 with regard to the credit;
215+34 (2) shareholders, partners, members, and beneficiaries of the
216+35 pass through entity may not make an election separate from
217+36 the pass through entity with regard to the credit;
218+37 (3) pass through entity is entitled to the payment allowable
219+38 under this section; and
220+39 (4) pass through entity may not pass through any portion of
221+40 the credit for which the pass through entity requests payment
222+41 as a tax credit to the shareholders, partners, members, or
223+42 beneficiaries of the pass through entity.
224+ES 361—LS 7135/DI 120 5
225+1 (e) If a payment under this section is included in the federal
226+2 adjusted gross income of an individual or the federal taxable
227+3 income of any other entity, the payment must be treated as:
228+4 (1) adjusted gross income from Indiana sources under this
229+5 article and IC 6-5.5;
230+6 (2) business income for purposes of this article; and
231+7 (3) a receipt from Indiana sources for apportionment
232+8 purposes under IC 6-3-2 and IC 6-5.5-4.
233+9 (f) For purposes of offsetting refunds and overpayments, a
234+10 payment under this section is treated as an overpayment of tax
235+11 under this article and IC 6-5.5 for purposes of IC 6-8.1-9-2,
236+12 IC 6-8.1-9.5, and IC 6-8.1-9.7.
237+13 (g) A payment under this section is subject to IC 6-3.1-13-22 in
238+14 the same manner as if the payment had been claimed as a credit.
239+15 (h) If all or a portion of a payment under this section is
240+16 determined to have been made in error or is subject to assessment
241+17 under IC 6-3.1-13-22, the department may issue an assessment for
242+18 repayment of such amount before the later of:
243+19 (1) ten (10) years from the date of the payment; or
244+20 (2) three (3) years from the date the Indiana economic
245+21 development corporation notifies the department of the
246+22 taxpayer's noncompliance pursuant to IC 6-3.1-13-22.
247+23 (i) An assessment for repayment shall be treated as a proposed
248+24 assessment for purposes of administrative review and judicial
249+25 appeal under IC 6-8.1-5. However, review of the Indiana economic
250+26 development corporation's determination of noncompliance shall
251+27 be limited to an abuse of discretion by the Indiana economic
252+28 development corporation.
253+29 (j) For purposes of this section, an election for payment in lieu
254+30 of claiming the credit under IC 6-3.1-13 for a taxable year is not
255+31 allowed if:
256+32 (1) the taxpayer has claimed all or part of the credit for the
257+33 taxable year;
258+34 (2) in the case of a taxpayer who is a pass through entity, the
259+35 taxpayer passes through all or part of the credit as a tax
260+36 credit, regardless of whether the pass through entity
261+37 subsequently provides information to the department, the
262+38 Indiana economic development corporation, or any other
263+39 affected person or entity, that the credit should not be passed
264+40 through as a tax credit or whether the credit otherwise has
265+41 been claimed as a tax credit; or
266+42 (3) the taxpayer makes the election after the due date of the
267+ES 361—LS 7135/DI 120 6
268+1 taxpayer's return under IC 6-3, IC 6-5.5, IC 6-8-15, or
269+2 IC 27-1-18-2, determined without regard to extensions, on
270+3 which it would have claimed the credit for which the taxpayer
271+4 is requesting payment under this section.
272+5 (k) The amount needed to make a payment under this section
273+6 shall be paid from funds appropriated to the Indiana economic
274+7 development corporation for business promotion and innovation
275+8 or from the statewide innovation development district fund
276+9 established by IC 36-7-32.5-22. Payments made under this section
277+10 are subject to available funding.
278+11 SECTION 7. IC 6-3.1-13-17, AS AMENDED BY P.L.197-2005,
279+12 SECTION 6, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
280+13 JULY 1, 2022]: Sec. 17. (a) If the applicant proposes a project that
281+14 will be located at a physical location in Indiana, in determining the
282+15 credit amount that should be awarded to an applicant under section 15
283+16 of this chapter that proposes a project to create jobs in Indiana, the
284+17 corporation may take into consideration the following factors:
285+18 (1) The economy of the county where the projected investment is
286+19 to occur.
287+20 (2) The potential impact on the economy of Indiana.
288+21 (3) The incremental payroll attributable to the project.
289+22 (4) The capital investment attributable to the project.
290+23 (5) The amount the average wage paid by the applicant exceeds
291+24 the average wage paid:
292+25 (A) within the county in which the project will be located, in
293+26 the case of an application submitted before January 1, 2006; or
294+27 (B) in the case of an application submitted after December 31,
295+28 2005:
296+29 (i) to all employees working in the same NAICS industry
297+30 sector to which the applicant's business belongs in the
298+31 county in which the applicant's business is located, if there
299+32 is more than one (1) business in that NAICS industry sector
300+33 in the county in which the applicant's business is located;
301+34 (ii) to all employees working in the same NAICS industry
302+35 sector to which the applicant's business belongs in Indiana,
303+36 if the applicant's business is the only business in that NAICS
304+37 industry sector in the county in which the applicant's
305+38 business is located but there is more than one (1) business in
306+39 that NAICS industry sector in Indiana; or
307+40 (iii) to all employees working in the same county as the
308+41 county in which the applicant's business is located, if there
309+42 is no other business in Indiana in the same NAICS industry
310+ES 361—LS 7135/DI 120 7
311+1 sector to which the applicant's business belongs.
312+2 (6) The costs to Indiana and the affected political subdivisions
313+3 with respect to the project.
314+4 (7) The financial assistance and incentives that are otherwise
315+5 provided by Indiana and the affected political subdivisions.
316+6 (8) The extent to which the incremental income tax withholdings
317+7 attributable to the applicant's project are needed for the purposes
318+8 of an incremental tax financing fund or industrial development
319+9 fund under IC 36-7-13 or a certified technology park fund under
320+10 IC 36-7-32.
321+11 As appropriate, the corporation shall consider the factors in this section
322+12 subsection to determine the credit amount awarded to an applicant for
323+13 a project to retain existing jobs in Indiana under section 15.5 of this
324+14 chapter.
325+15 (b) Subject to the limitations of subsection (c), if an applicant
326+16 proposes a project that proposes to create new jobs in Indiana but
327+17 does not propose a physical location in Indiana, the corporation
328+18 may consider the following factors:
329+19 (1) The potential impact on the economy in Indiana.
330+20 (2) The incremental payroll attributable to the project.
331+21 (3) The amount of average wage paid by the applicant that
332+22 exceeds the average wage paid to all employees working in the
333+23 same NAICS industry sector to which the applicant's business
334+24 belongs in Indiana.
335+25 (4) The cost to Indiana with respect to the project.
336+26 (5) The financial assistance and incentives that are otherwise
337+27 provided by Indiana.
338+28 (6) The extent of Indiana income tax that is paid by eligible
339+29 employees.
340+30 (c) An applicant proposing a project that meets the
341+31 requirements of subsection (b) must propose:
342+32 (1) to create at least fifty (50) new full-time jobs; and
343+33 (2) to pay an average hourly wage of at least one hundred fifty
344+34 percent (150%) of the state average wage;
345+35 in order to be eligible to receive a credit under this chapter.
346+36 SECTION 8. IC 6-3.1-13-18, AS AMENDED BY P.L.86-2018,
347+37 SECTION 73, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
348+38 JULY 1, 2022]: Sec. 18. (a) The corporation shall determine the
349+39 amount and duration of a tax credit awarded under this chapter. The
350+40 duration of the credit may not exceed ten (10) twenty (20) taxable
351+41 years. The credit may be stated as a percentage of the incremental
352+42 income tax withholdings attributable to the applicant's project and may
353+ES 361—LS 7135/DI 120 8
354+1 include a fixed dollar limitation. In the case of a credit awarded for a
355+2 project to create new jobs in Indiana, the credit amount may not exceed
356+3 the incremental income tax withholdings. However, the credit amount
357+4 claimed for a taxable year may exceed the taxpayer's state tax liability
358+5 for the taxable year, in which case the excess may, at the discretion of
359+6 the corporation, be refunded to the taxpayer.
360+7 (b) For state fiscal year 2006 and each state fiscal year thereafter,
361+8 the aggregate amount of credits awarded under this chapter for projects
362+9 to retain existing jobs in Indiana may not exceed ten million dollars
363+10 ($10,000,000) per year.
364+11 (c) This subsection does not apply to a business that was enrolled
365+12 and participated in the E-Verify program (as defined in IC 22-5-1.7-3)
366+13 during the time the taxpayer conducted business in Indiana in the
367+14 taxable year. A credit under this chapter may not be computed on any
368+15 amount withheld from an individual or paid to an individual for
369+16 services provided in Indiana as an employee, if the individual was,
370+17 during the period of service, prohibited from being hired as an
371+18 employee under 8 U.S.C. 1324a.
372+19 SECTION 9. IC 6-3.1-13-20, AS AMENDED BY P.L.4-2005,
373+20 SECTION 78, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
374+21 JULY 1, 2022]: Sec. 20. (a) Except as provided in subsection (b), a
375+22 taxpayer claiming a credit under this chapter must claim the credit on
376+23 the taxpayer's annual state tax return or returns in the manner
377+24 prescribed by the department of state revenue. The taxpayer shall
378+25 submit to the department of state revenue all information that the
379+26 department determines necessary for the calculation of the credit
380+27 provided by this chapter and the determination of whether the credit
381+28 was properly claimed.
382+29 (b) Notwithstanding subsection (a), if a taxpayer is entitled to a
383+30 credit under this chapter, the taxpayer may, with the approval of
384+31 the corporation, elect to forgo claiming the credit against any state
385+32 tax liability and submit the credit to the department with a request
386+33 to receive a payment from the corporation, to be paid from funds
387+34 appropriated to the corporation for business promotion and
388+35 innovation or from the statewide innovation development district
389+36 fund established by IC 36-7-32.5-22, that is equal to the credit for
390+37 that taxable year as provided in IC 6-3-5-5.
391+38 SECTION 10. IC 6-3.1-24-8, AS AMENDED BY P.L.165-2021,
392+39 SECTION 81, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
393+40 JANUARY 1, 2023]: Sec. 8. (a) A certification provided under section
394+41 7 of this chapter must include notice to the investors of the maximum
395+42 amount of tax credits available under this chapter for the provision of
396+ES 361—LS 7135/DI 120 9
397+1 qualified investment capital to the qualified Indiana business.
398+2 (b) For a calendar year ending before January 1, 2011, the maximum
399+3 amount of tax credits available under this chapter for the provision of
400+4 qualified investment capital to a particular qualified Indiana business
401+5 equals the lesser of:
402+6 (1) the total amount of qualified investment capital provided to
403+7 the qualified Indiana business in the calendar year, multiplied by
404+8 twenty percent (20%); or
405+9 (2) five hundred thousand dollars ($500,000).
406+10 (c) For a calendar year beginning after December 31, 2010, and
407+11 ending before January 1, 2022, the maximum amount of tax credits
408+12 available under this chapter for the provision of qualified investment
409+13 capital to a particular qualified Indiana business equals the lesser of the
410+14 following:
411+15 (1) The total amount of qualified investment capital provided to
412+16 the qualified Indiana business in the calendar year, multiplied by
413+17 twenty percent (20%).
414+18 (2) One million dollars ($1,000,000).
415+19 (d) For a calendar year beginning after December 31, 2021, the
416+20 maximum amount of tax credits available under this chapter for the
417+21 provision of qualified investment capital to a particular qualified
418+22 Indiana business equals the lesser of the following:
419+23 (1) The total amount of qualified investment capital provided to
420+24 the qualified Indiana business in the calendar year, multiplied by
421+25 twenty-five percent (25%).
422+26 (2) One million dollars ($1,000,000).
423+27 (e) Notwithstanding subsection (d), for a calendar year beginning
424+28 after December 31, 2021, the maximum amount of tax credits available
425+29 under this chapter for the provision of qualified investment capital to
426+30 a particular qualified Indiana business, if the qualified Indiana business
427+31 is a minority business enterprise, or a women's business enterprise, or
428+32 a veteran owned business equals the lesser of the following:
429+33 (1) The total amount of qualified investment capital provided to
430+34 the qualified Indiana business in the calendar year, multiplied by
431+35 thirty percent (30%).
432+36 (2) One million five hundred thousand dollars ($1,500,000).
433+37 SECTION 11. IC 6-3.1-26-20, AS AMENDED BY P.L.158-2019,
434+38 SECTION 19, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
435+39 JULY 1, 2022]: Sec. 20. (a) The corporation shall certify the amount
436+40 of the qualified investment that is eligible for a credit under this
437+41 chapter. In determining the credit amount that should be awarded, the
438+42 corporation shall grant a credit only for the amount of the qualified
439+ES 361—LS 7135/DI 120 10
440+1 investment that is directly related to:
441+2 (1) expanding the workforce in Indiana; or
442+3 (2) substantially enhancing the logistics industry and or
443+4 improving the overall Indiana economy.
444+5 (b) The total amount of credits that the corporation may approve
445+6 under this chapter for a state fiscal year for all taxpayers for all
446+7 qualified investments is:
447+8 (1) fifty million dollars ($50,000,000) for credits based on a
448+9 qualified investment that is not being claimed as a logistics
449+10 investment; and
450+11 (2) five million dollars ($5,000,000) for credits based on a
451+12 qualified investment that is being claimed as a logistics
452+13 investment.
453+14 For purposes of applying the limit under this subsection, a tax credit
454+15 that is accelerated under section 15(d) or 16(d) of this chapter shall be
455+16 valued at the amount of the tax credit before the tax credit is
456+17 discounted.
457+18 (c) (b) A person that desires to claim a tax credit for a qualified
458+19 investment shall file with the department, in the form that the
459+20 department may prescribe, an application:
460+21 (1) stating separately the amount of the credit awards for qualified
461+22 investments that have been granted to the taxpayer by the
462+23 corporation that will be claimed as a credit; that is covered by:
463+24 (A) subsection (b)(1); and
464+25 (B) subsection (b)(2);
465+26 (2) stating separately the amount sought to be claimed as a credit;
466+27 that is covered by:
467+28 (A) subsection (b)(1); and
468+29 (B) subsection (b)(2); and
469+30 (3) identifying whether the credit will be claimed during the state
470+31 fiscal year in which the application is filed or the immediately
471+32 succeeding state fiscal year.
472+33 (d) (c) The department shall separately record the time of filing of
473+34 each application for a credit award for a qualified investment covered
474+35 by subsection (b)(1) and for a qualified investment covered by
475+36 subsection (b)(2) and shall, except as provided in subsection (e), (d),
476+37 approve the credit to the taxpayer in the chronological order in which
477+38 the application is filed in the state fiscal year. The department shall
478+39 promptly notify an applicant whether, or the extent to which, the tax
479+40 credit is allowable in the state fiscal year proposed by the taxpayer.
480+41 (e) (d) If the total credit awards for qualified investments, that are
481+42 covered by:
482+ES 361—LS 7135/DI 120 11
483+1 (1) subsection (b)(1); and
484+2 (2) subsection (b)(2);
485+3 including carryover credit awards covered by each subsection for a
486+4 previous state fiscal year, equal the maximum amount allowable in the
487+5 state fiscal year, an application for such a credit award that is filed later
488+6 for that same state fiscal year may not be granted by the department.
489+7 However, if an applicant for which a credit has been awarded and
490+8 applied for with the department fails to claim the credit, an amount
491+9 equal to the credit previously applied for but not claimed may be
492+10 allowed to the next eligible applicant or applicants until the total
493+11 amount has been allowed.
494+12 SECTION 12. IC 6-3.1-30-8, AS AMENDED BY P.L.158-2019,
495+13 SECTION 23, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
496+14 JULY 1, 2022]: Sec. 8. (a) Subject to entering into an agreement with
497+15 the corporation under sections 14 and 15 of this chapter, if the
498+16 corporation certifies that a taxpayer:
499+17 (1) is an eligible business;
500+18 (2) completes a qualifying project; and
501+19 (3) incurs relocation costs; and
502+20 (4) employs:
503+21 (A) at least seventy-five (75) employees in Indiana, in the case
504+22 of a taxpayer that qualifies as an eligible business under
505+23 section 2(1) of this chapter; or
506+24 (B) at least ten (10) employees in Indiana, in the case of a
507+25 taxpayer that qualifies as an eligible business under section
508+26 2(2) of this chapter;
509+27 the taxpayer is entitled to a credit against the taxpayer's state tax
510+28 liability for the taxable year in which the relocation costs are incurred.
511+29 subject to subsection (c). The credit allowed under this section is equal
512+30 to the amount determined under section 9 of this chapter.
513+31 (b) For purposes of establishing the employment level required by
514+32 subsection (a)(4), a taxpayer may include:
515+33 (1) individuals who:
516+34 (A) were employed in Indiana by the taxpayer before the
517+35 taxpayer commenced a qualifying project; and
518+36 (B) remain employed in Indiana after the completion of the
519+37 taxpayer's qualifying project; and
520+38 (2) individuals who:
521+39 (A) were not employed in Indiana by the taxpayer before the
522+40 taxpayer commenced a qualifying project; and
523+41 (B) are employed in Indiana by the taxpayer as a result of the
524+42 completion of the taxpayer's qualifying project.
525+ES 361—LS 7135/DI 120 12
526+1 (c) The total amount of credits that may be approved by the
527+2 corporation for all eligible businesses described in section 2(2) of this
528+3 chapter may not exceed five million dollars ($5,000,000) in a state
529+4 fiscal year.
530+5 SECTION 13. IC 6-3.1-34-6, AS AMENDED BY P.L.154-2020,
531+6 SECTION 22, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
532+7 JULY 1, 2022]: Sec. 6. As used in this chapter, "qualified
533+8 redevelopment site" means a vacant or underutilized property in
534+9 Indiana as determined by the corporation.
535+10 (1) land on which a vacant building or complex of buildings was
536+11 placed in service at least fifteen (15) years before the date on
537+12 which the application is filed with the corporation under this
538+13 chapter;
539+14 (2) land on which a vacant building or complex of buildings:
540+15 (A) was placed in service at least fifteen (15) years before the
541+16 date on which the demolition of the vacant building or
542+17 complex of buildings was completed; and
543+18 (B) that was demolished in an effort to protect the health,
544+19 safety, and welfare of the community;
545+20 (3) land on which a vacant building or complex of buildings:
546+21 (A) was placed in service at least fifteen (15) years before the
547+22 date on which the demolition of the vacant building or
548+23 complex of buildings was completed;
549+24 (B) was placed in service as a public building;
550+25 (C) was owned by a unit of local government; and
551+26 (D) has not been redeveloped since the building was taken out
552+27 of service as a public building;
553+28 (4) vacant land;
554+29 (5) mine reclamation site; or
555+30 (6) brownfields consisting of more than fifty (50) acres.
556+31 For a complex of buildings to be considered a qualified redevelopment
557+32 site under subdivision (1), (2) or (3), the buildings must have been
558+33 located on a single parcel or contiguous parcels of land that were under
559+34 common ownership at the time the site was placed in service.
560+35 SECTION 14. IC 6-3.1-34-8, AS ADDED BY P.L.158-2019,
561+36 SECTION 29, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
562+37 JULY 1, 2022]: Sec. 8. As used in this chapter, "rehabilitation" means
563+38 the betterment of real property including remodeling or repair. in any
564+39 way.
565+40 SECTION 15. IC 6-3.1-34-17, AS AMENDED BY P.L.154-2020,
566+41 SECTION 27, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
567+42 JULY 1, 2022]: Sec. 17. (a) The following apply if the corporation
568+ES 361—LS 7135/DI 120 13
569+1 determines that a credit should be awarded under this chapter:
570+2 (1) The corporation shall require the taxpayer to enter into an
571+3 agreement with the corporation as a condition of receiving a
572+4 credit under this chapter.
573+5 (2) The agreement with the corporation must:
574+6 (A) prescribe the method of certifying the taxpayer's qualified
575+7 investment; and
576+8 (B) include provisions that authorize the corporation to work
577+9 with the department and the taxpayer, if the corporation
578+10 determines that the taxpayer is noncompliant with the terms of
579+11 the agreement or the provisions of this chapter, to bring the
580+12 taxpayer into compliance or to protect the interests of the state.
581+13 (3) The corporation shall specify the taxpayer's expenditures that
582+14 will be considered a qualified investment.
583+15 (4) The corporation shall determine the applicable credit
584+16 percentage under subsections (b) and (c).
585+17 (b) If the corporation determines that a credit should be awarded
586+18 under this chapter, the corporation shall determine the applicable credit
587+19 percentage for a qualified investment certified by the corporation.
588+20 However, and except as provided in subsection (c), the applicable
589+21 credit percentage may not exceed the following: thirty percent (30%).
590+22 (1) If the qualified redevelopment site was placed in service at
591+23 least fifteen (15) years ago but less than thirty (30) years ago, or
592+24 is vacant land or a brownfield described in section 6(6) of this
593+25 chapter:
594+26 (A) fifteen percent (15%), if the qualified redevelopment site
595+27 is part of a development plan of a regional development
596+28 authority established under IC 36-7.5-2-1 or IC 36-7.6-2-3; or
597+29 (B) ten percent (10%), if the qualified redevelopment site is
598+30 not part of a development plan of a regional development
599+31 authority described under clause (A).
600+32 (2) If the qualified redevelopment site was placed in service at
601+33 least thirty (30) years ago but less than forty (40) years ago:
602+34 (A) twenty percent (20%), if the qualified redevelopment site
603+35 is part of a development plan of a regional development
604+36 authority established under IC 36-7.5-2-1 or IC 36-7.6-2-3; or
605+37 (B) ten percent (10%), if the qualified redevelopment site is
606+38 not part of a development plan of a regional development
607+39 authority described under clause (A).
608+40 (3) If the qualified redevelopment site was placed in service at
609+41 least forty (40) years ago:
610+42 (A) twenty-five percent (25%), if the qualified redevelopment
611+ES 361—LS 7135/DI 120 14
612+1 site is part of a development plan of a regional development
613+2 authority established under IC 36-7.5-2-1 or IC 36-7.6-2-3; or
614+3 (B) fifteen percent (15%), if the qualified redevelopment site
615+4 is not part of a development plan of a regional development
616+5 authority described under clause (A).
617+6 (c) The corporation may increase the credit amount by not more
618+7 than an additional five percent (5%) if:
619+8 (1) the qualified redevelopment site is located in a federally
620+9 designated qualified opportunity zone (Section 1400Z-1 and
621+10 1400Z-2 of the Internal Revenue Code); or
622+11 (2) the project qualifies for federal new markets tax credits under
623+12 Section 45D of the Internal Revenue Code.
624+13 (d) To be eligible for the credit for a qualified investment, a
625+14 taxpayer's expenditures that are considered a qualified investment must
626+15 be certified by the corporation not later than two (2) taxable years after
627+16 the end of the calendar year in which the taxpayer's expenditures are
628+17 made.
629+18 SECTION 16. IC 6-3.1-34-18, AS ADDED BY P.L.158-2019,
630+19 SECTION 29, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
631+20 JULY 1, 2022]: Sec. 18. (a) Subject to subsection (e), Except as
632+21 provided in subsection (b), if the corporation awards a tax credit to
633+22 a taxpayer under this chapter that exceeds twenty million dollars
634+23 ($20,000,000), the corporation shall include in an agreement
635+24 entered into under section 17 of this chapter a provision that
636+25 requires the taxpayer to repay to the corporation the portion of the
637+26 credit that exceeds twenty million dollars ($20,000,000) with
638+27 interest. may, as part of an agreement entered into under section 17 of
639+28 this chapter:
640+29 (1) require a taxpayer to repay all or part of a credit awarded
641+30 under this chapter over a period of years; and
642+31 (2) limit the maximum amount of a credit awarded to a taxpayer
643+32 under this chapter that may be claimed during a taxable year.
644+33 (b) The corporation may elect to enter into an agreement with a
645+34 local unit that has jurisdiction over the real property that is subject to
646+35 the proposed qualified investment, through which such agreement the
647+36 local unit commits local revenue generated by the project to the
648+37 corporation rather than the corporation including a repayment provision
649+38 in an agreement with a taxpayer under subsection (a)(1). The total
650+39 amount of revenue committed under an agreement entered into under
651+40 this subsection may not exceed the credit repayment amount
652+41 determined under subsection (a)(1). Any amounts received under an
653+42 agreement entered into under this subsection shall be deposited in the
654+ES 361—LS 7135/DI 120 15
655+1 state general fund.
656+2 (c) Notwithstanding subsections (a) and (b), if the corporation
657+3 awards a tax credit to a taxpayer under this chapter that exceeds seven
658+4 million dollars ($7,000,000), the corporation shall include in an
659+5 agreement entered into under section 17 of this chapter a provision that
660+6 requires the taxpayer to repay the portion of the credit that exceeds
661+7 seven million dollars ($7,000,000).
662+8 (b) Notwithstanding subsection (a), the corporation may exclude
663+9 from its agreement entered into under section 17 of this chapter a
664+10 repayment provision for any portion of the credit if the award is
665+11 for a qualified redevelopment site subject to a proposal that will
666+12 result in a qualified investment of at least one hundred million
667+13 dollars ($100,000,000).
668+14 (d) (c) If the corporation enters into an agreement with a taxpayer
669+15 under section 17 of this chapter that includes a repayment provision
670+16 under subsection (a)(1) or (c), (a), the corporation shall include in the
671+17 repayment provision a provision establishing the interest rate that will
672+18 be applied. The interest rate shall be determined by the board and
673+19 approved by the budget agency.
674+20 (e) (d) This subsection applies to an active multi-phased project
675+21 occurring on a defined footprint for which the taxpayer has received
676+22 approval for at least the first phase of the active multi-phased project
677+23 from the corporation's board before July 1, 2018, for a tax credit under
678+24 IC 6-3.1-11 (industrial recovery tax credit) before its expiration. The
679+25 following apply to a project described in this subsection:
680+26 (1) Only qualified investments that are made after June 30, 2021,
681+27 are eligible for a credit award under this chapter.
682+28 (2) The annual amount of credits awarded under this chapter for
683+29 the project may not exceed five million dollars ($5,000,000).
684+30 (3) The corporation may not include a repayment provision as part
685+31 of an agreement entered into under section 17 of this chapter for
686+32 the credits awarded for the project.
687+33 SECTION 17. IC 6-3.1-34-22 IS REPEALED [EFFECTIVE JULY
688+34 1, 2022]. Sec. 22. (a) Except as provided in subsection (b), the total
689+35 amount of credits that the corporation may award under this chapter for
690+36 a state fiscal year for all taxpayers for all qualified investments is fifty
691+37 million dollars ($50,000,000). The portion of the credits that is subject
692+38 to a repayment provision under section 18(b) or 18(c) of this chapter is
693+39 not included in the calculation of the annual limit.
694+40 (b) If the corporation determines that a credit should be awarded
695+41 under this chapter for a taxpayer's qualified investment but the award:
696+42 (1) will result in the corporation's cumulative credit awards under
697+ES 361—LS 7135/DI 120 16
698+1 this chapter for a state fiscal year for all taxpayers for all qualified
699+2 investments to exceed the limit established by subsection (a); or
700+3 (2) should not be considered when calculating the corporation's
701+4 cumulative credit awards under this chapter for a state fiscal year
702+5 for all taxpayers for all qualified investments;
703+6 the corporation may, after review by the budget committee, enter into
704+7 an agreement with the taxpayer under section 17 of this chapter.
705+8 SECTION 18. IC 6-3.1-36 IS ADDED TO THE INDIANA CODE
706+9 AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
707+10 JULY 1, 2023]:
708+11 Chapter 36. Film and Media Production Tax Credit
709+12 Sec. 1. As used in this chapter, "corporation" refers to the
710+13 Indiana economic development corporation established by
711+14 IC 5-28-3-1.
712+15 Sec. 2. As used in this chapter, "qualified applicant" means a
713+16 person, corporation, limited liability partnership, limited liability
714+17 company, or other entity that is engaged in the business of making
715+18 a qualified media production in Indiana.
716+19 Sec. 3. As used in this chapter, "qualified media production"
717+20 means:
718+21 (1) a feature length film, including an independent or studio
719+22 production, or a documentary;
720+23 (2) a television episodic series, program, or feature;
721+24 (3) a music production;
722+25 (4) a digital media production that is intended for reasonable
723+26 commercial exploitation; or
724+27 (5) any other similar production as determined by the
725+28 corporation;
726+29 that is produced in Indiana.
727+30 Sec. 4. As used in this chapter, "qualified production expenses"
728+31 means expenses incurred by a qualified applicant for a qualified
729+32 media production.
730+33 Sec. 5. As used in this chapter, "state tax liability" means a
731+34 taxpayer's total tax liability that is incurred under:
732+35 (1) IC 6-3-1 through IC 6-3-7 (the adjusted gross income tax);
733+36 and
734+37 (2) IC 6-5.5 (the financial institutions tax);
735+38 as computed after the application of the credits that under
736+39 IC 6-3.1-1-2 are to be applied before the credit provided by this
737+40 chapter.
738+41 Sec. 6. As used in this chapter, "taxpayer" means a qualified
739+42 applicant that has any state tax liability.
740+ES 361—LS 7135/DI 120 17
741+1 Sec. 7. (a) A qualified applicant may apply to the corporation
742+2 for a tax credit under this chapter. The corporation shall prescribe
743+3 the form and contents of the application.
744+4 (b) The corporation shall evaluate an applicant's eligibility for
745+5 a tax credit under this chapter.
746+6 (c) The corporation may certify the eligibility of a taxpayer that
747+7 meets the requirements for a tax credit under this chapter.
748+8 (d) If the corporation certifies a taxpayer under subsection (c),
749+9 the corporation shall determine the percentage used to calculate
750+10 the amount of a tax credit under section 8(2) of this chapter.
751+11 Sec. 8. If the corporation certifies a taxpayer under section 7(c)
752+12 of this chapter, the taxpayer is entitled to a tax credit under this
753+13 chapter equal to:
754+14 (1) the amount of the taxpayer's qualified production
755+15 expenses; multiplied by
756+16 (2) a percentage determined by the corporation, not to exceed
757+17 thirty percent (30%).
758+18 Sec. 9. If a pass through entity is entitled to a credit under
759+19 section 8 of this chapter but does not have state tax liability against
760+20 which the tax credit may be applied, a shareholder, partner,
761+21 member, or beneficiary of the pass through entity is entitled to a
762+22 tax credit equal to:
763+23 (1) the tax credit determined for the pass through entity for
764+24 the taxable year; multiplied by
765+25 (2) the percentage of the pass through entity's distributive
766+26 income to which the shareholder, partner, member, or
767+27 beneficiary is entitled.
768+28 Sec. 10. To receive the credit provided by this chapter, a
769+29 taxpayer must claim the credit on the taxpayer's state tax return
770+30 or returns in the manner prescribed by the department.
771+31 Sec. 11. (a) The amount of the credit provided by this chapter
772+32 that a taxpayer uses during a particular taxable year may not
773+33 exceed the state tax liability of the taxpayer.
774+34 (b) If the credit provided by this chapter exceeds the taxpayer's
775+35 state tax liability for the first taxable year containing the taxable
776+36 year for which the corporation awards the credit, then the excess
777+37 may be carried over to succeeding taxable years and used as a
778+38 credit against the state tax liability of the taxpayer during those
779+39 taxable years.
780+40 (c) Each time that the credit is carried over to a succeeding
781+41 taxable year, it is to be reduced by the amount that was used as a
782+42 credit during the immediately preceding taxable year. The credit
783+ES 361—LS 7135/DI 120 18
784+1 provided by this chapter may be carried forward and applied to
785+2 succeeding taxable years for nine (9) taxable years following the
786+3 first taxable year containing the taxable year for which the
787+4 corporation awards the credit.
788+5 (d) If a taxpayer fails to claim a credit under this chapter for a
789+6 year in which the taxpayer is otherwise permitted to claim the
790+7 credit, the credit will be considered to be used for purposes of
791+8 subsection (c).
792+9 (e) If a taxpayer claims a credit under this chapter, the
793+10 department and the department of insurance may disclose
794+11 information necessary to verify that amounts in excess of the credit
795+12 allowable under this chapter have not been claimed.
796+13 Sec. 12. A tax credit awarded under this chapter is subject to the
797+14 limitations set forth in IC 5-28-6-9.
798+15 Sec. 13. This chapter expires July 1, 2027.
799+16 SECTION 19. IC 8-14-15.1-7, AS ADDED BY P.L.217-2017,
800+17 SECTION 69, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
801+18 JULY 1, 2022]: Sec. 7. (a) The next level Indiana fund investment
802+19 board is established. The board consists of the following members:
803+20 (1) The secretary of commerce or the secretary's designee, who
804+21 shall serve as the chairperson of the board.
805+22 (2) The director of the office of management and budget or the
806+23 director's designee.
807+24 (3) Two (2) individuals appointed by the governor who have
808+25 experience and knowledge in investments.
809+26 (4) The treasurer of state or the treasurer's designee.
810+27 (5) One (1) individual appointed by the speaker of the house
811+28 of representatives who has experience and knowledge in
812+29 venture capital investments.
813+30 (6) One (1) individual appointed by the president pro tempore
814+31 of the senate who has experience and knowledge in venture
815+32 capital investments.
816+33 (b) The board shall serve as trustee of the trust and direct the
817+34 investment of the trust.
818+35 (c) The board shall adopt an investment policy in conformance with
819+36 section 8 of this chapter.
820+37 (d) The board shall hold regular meetings at least quarterly. The
821+38 board may hold special meetings at the call of the treasurer of state or
822+39 with a written request signed by at least two (2) members of the board.
823+40 (e) The board may hold its meetings at offices in Indiana that the
824+41 chairperson or the requesting members designate. All meetings must
825+42 be open to the public in accordance with IC 5-14-1.5. The board shall
826+ES 361—LS 7135/DI 120 19
827+1 keep a record of its proceedings.
828+2 (f) Three (3) Five (5) members of the board constitute a quorum for
829+3 the transaction of business of the board. Each member of the board is
830+4 entitled to one (1) vote. A vote of at least three (3) five (5) members of
831+5 the board present is required for the board to adopt a resolution or take
832+6 other action at a regular or special meeting.
833+7 SECTION 20. IC 8-22-3.5-1.5, AS ADDED BY P.L.38-2021,
834+8 SECTION 54, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
835+9 JULY 1, 2022]: Sec. 1.5. (a) This section does not apply to a parcel that
836+10 is included in more than one (1) allocation area established by:
837+11 (1) an ordinance adopted under section 5 of this chapter and
838+12 confirmed under section 6 of this chapter;
839+13 (2) a resolution adopted under IC 6-1.1-39-2 and confirmed under
840+14 IC 6-1.1-39-3;
841+15 (3) a resolution establishing an allocation provision under
842+16 IC 36-7-14-39 that is adopted and approved under IC 36-7-14-15,
843+17 IC 36-7-14-16, and IC 36-7-14-17;
844+18 (4) a resolution establishing an allocation provision under
845+19 IC 36-7-15.1-26 that is adopted and approved under
846+20 IC 36-7-15.1-8, IC 36-7-15.1-9, and IC 36-7-15.1-10;
847+21 (5) a resolution establishing an allocation provision under
848+22 IC 36-7-30-25 that is adopted and approved under IC 36-7-30-10,
849+23 IC 36-7-30-11, and IC 36-7-30-12;
850+24 (6) a resolution establishing an allocation provision under
851+25 IC 36-7-30.5-30 that is adopted and approved under
852+26 IC 36-7-30.5-16, IC 36-7-30.5-17, and IC 36-7-30.5-18; or
853+27 (7) a resolution designating a certified technology park as an
854+28 allocation area that is approved and adopted under IC 36-7-32-15;
855+29 on or before May 1, 2021. In addition, a new allocation area may not
856+30 be established under this chapter that includes a parcel that is located
857+31 in an allocation area described in this subsection.
858+32 (b) Except as provided in subsection (a), but notwithstanding any
859+33 other provision, for the purpose of the allocation of property taxes
860+34 under this chapter, a parcel may not be included in more than one (1)
861+35 allocation area established under this chapter or under:
862+36 (1) IC 6-1.1-39;
863+37 (2) IC 36-7-14;
864+38 (3) IC 36-7-15.1;
865+39 (4) IC 36-7-30;
866+40 (5) IC 36-7-30.5; or
867+41 (6) IC 36-7-32; or
868+42 (7) IC 36-7-32.5.
869+ES 361—LS 7135/DI 120 20
870+1 SECTION 21. IC 36-1-29.5 IS ADDED TO THE INDIANA CODE
871+2 AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
872+3 JULY 1, 2022]:
873+4 Chapter 29.5. Workforce Retention and Recruitment Program
874+5 and Fund
875+6 Sec. 1. As used in this chapter, "fund" means a workforce
876+7 retention and recruitment fund established by the fiscal officer of
877+8 a unit under section 9 of this chapter.
878+9 Sec. 2. As used in this chapter, "incentive agreement" means an
879+10 agreement described in section 8(b) of this chapter.
880+11 Sec. 3. As used in this chapter, "program" means a workforce
881+12 retention and recruitment program established by the executive of
882+13 a unit under section 8(a) of this chapter.
883+14 Sec. 4. As used in this chapter, "qualified nonprofit
884+15 organization" means a private, nonprofit entity formed as a
885+16 partnership between one (1) or more units, private sector
886+17 businesses, or community or philanthropic organizations to
887+18 develop and implement a workforce retention and recruitment
888+19 strategy that has an organizational structure that conforms with
889+20 the requirements of a policy developed by the workforce fund
890+21 managers under section 10 of this chapter.
891+22 Sec. 5. As used in this chapter, "qualified worker" means an
892+23 individual described in section 11 of this chapter.
893+24 Sec. 6. As used in this chapter, "unit" means a county, city, or
894+25 town.
895+26 Sec. 7. As used in this chapter, "workforce fund managers"
896+27 means a workforce fund board of managers established by the
897+28 executive of a unit under section 10 of this chapter.
898+29 Sec. 8. (a) The executive of a unit may by resolution or executive
899+30 order establish a workforce retention and recruitment program for
900+31 the purposes of recruiting and retaining individuals who will
901+32 satisfy the current and future workforce needs of the unit's
902+33 employers or provide substantial economic impact to the unit,
903+34 including providing incentives in the form of grants or loans to
904+35 qualified workers.
905+36 (b) A program must require each qualified worker who receives
906+37 a grant or loan from the fund to enter into an incentive agreement
907+38 with the workforce fund managers. An incentive agreement must
908+39 include the following terms:
909+40 (1) The duration of time each qualified worker agrees to
910+41 reside within the unit following the date specified in the
911+42 agreement.
912+ES 361—LS 7135/DI 120 21
913+1 (2) A penalty clause if a qualified worker fails to fulfill the
914+2 terms of the agreement.
915+3 However, the workforce fund managers may waive a penalty under
916+4 subdivision (2) regarding any part of a grant or loan that the
917+5 qualified worker may have received and that is due under the
918+6 incentive agreement.
919+7 Sec. 9. (a) If the executive of a unit establishes a program under
920+8 section 8 of this chapter, the fiscal officer of the unit shall establish
921+9 a workforce retention and recruitment fund for the purposes of the
922+10 program.
923+11 (b) The fund shall consist of the following:
924+12 (1) Any private grants or contributions.
925+13 (2) Appropriations to the fund included in the unit's budget.
926+14 (3) Transfers of money to the fund under section 12 of this
927+15 chapter.
928+16 (4) Any repayments to the fund under section 8(b) of this
929+17 chapter.
930+18 (c) The executive of the unit shall administer the fund in
931+19 coordination with a workforce fund board of managers established
932+20 under section 10 of this chapter, including any qualified nonprofit
933+21 organization established by the workforce fund managers under
934+22 that section.
935+23 (d) Any money remaining in a fund at the end of the calendar
936+24 year does not revert to the unit's general fund.
937+25 Sec. 10. (a) The executive of a unit that establishes a program
938+26 under section 8 of this chapter shall appoint a five (5) member
939+27 workforce fund board of managers. The duties of the workforce
940+28 fund managers shall include:
941+29 (1) adopting rules and bylaws they consider necessary for the
942+30 proper conduct of their proceedings, the carrying out of other
943+31 duties, and the safeguarding of the money or property placed
944+32 in their custody;
945+33 (2) by resolution or in accordance with their rules and bylaws,
946+34 prescribing the date and manner of notice of their regular
947+35 meetings;
948+36 (3) identifying the most appropriate and fiscally responsible
949+37 incentives that will attract or retain individuals or families
950+38 who will satisfy the current and future workforce needs of the
951+39 unit's employers or provide substantial economic impact to
952+40 the unit;
953+41 (4) developing and implementing marketing strategies to
954+42 recruit or retain these individuals or families;
955+ES 361—LS 7135/DI 120 22
956+1 (5) identifying and recruiting applicants who may receive
957+2 incentives from the fund;
958+3 (6) establishing an application process for individuals and
959+4 families;
960+5 (7) evaluating applicants; and
961+6 (8) offering incentives to qualified applicants.
962+7 (b) Three (3) of the workforce fund managers constitute a
963+8 quorum and the concurrence of three (3) of the workforce fund
964+9 managers is necessary to authorize any action.
965+10 (c) The workforce fund managers may establish a qualified
966+11 nonprofit organization for purposes of carrying out a program and
967+12 the purposes of a fund under this chapter.
968+13 Sec. 11. To qualify for a grant or loan from a fund, an individual
969+14 must be:
970+15 (1) a graduate of an Indiana college or university who:
971+16 (A) was a resident of another state before enrolling at the
972+17 Indiana college or university;
973+18 (B) relocates to a location within the unit; and
974+19 (C) accepts and commences employment with an employer
975+20 located within the unit under the terms of an incentive
976+21 agreement;
977+22 (2) an out-of-state resident who relocates to a location within
978+23 the unit in order to accept and commence employment with
979+24 an employer located within the unit under the terms of an
980+25 incentive agreement; or
981+26 (3) an out-of-state resident who relocates to a location within
982+27 the unit and works remotely for an employer, regardless of
983+28 the employer's domicile.
984+29 Sec. 12. (a) The fiscal body of a unit may transfer or deposit the
985+30 following into a fund:
986+31 (1) Any private grants or contributions.
987+32 (2) Appropriations to the fund included in the unit's budget.
988+33 (3) Except for money in a fund with a restricted purpose, but
989+34 otherwise notwithstanding any use of funds prohibition as
990+35 long as the transfer or deposit is authorized by the relevant
991+36 statutory procedure:
992+37 (A) any surplus, unexpended, unappropriated,
993+38 unencumbered, or otherwise available public or private
994+39 money; and
995+40 (B) from any general account, reverting or nonreverting
996+41 fund, special account, or trust, other than a fund or
997+42 account that receives bond proceeds, created or
998+ES 361—LS 7135/DI 120 23
999+1 administered by any department, board, authority,
1000+2 commission, political subdivision, special service district,
1001+3 special taxing district, or any other instrumentality of local
1002+4 government under IC 36 with authority to collect or
1003+5 receive taxes, interest, or any other public or private
1004+6 money.
1005+7 (b) Notwithstanding any other statute, an executive of a unit
1006+8 that has established a program under section 8 of this chapter,
1007+9 after consulting with the fiscal body and fiscal officer of the unit,
1008+10 may authorize a transfer or loan to a fund from any dedicated fund
1009+11 or account, other than a fund or account that receives bond
1010+12 proceeds, before the purpose for which the dedicated fund or
1011+13 account was established has been accomplished.
1012+14 (c) Two (2) or more units may, by written agreement,
1013+15 collaborate, commingle funds, or otherwise work together for the
1014+16 benefit of administering or carrying out the purposes of the units'
1015+17 funds.
1016+18 Sec. 13. Any separate body corporate and politic or regional,
1017+19 multicounty, or metropolitan authority or commission may, by
1018+20 written agreement, establish a mutually beneficial relationship
1019+21 with one (1) or more units for purposes of administering or
1020+22 carrying out the purposes of the unit's fund or units' funds.
1021+23 Sec. 14. (a) Not later than April 15 of each year, the workforce
1022+24 fund managers shall file with the executive of the unit and fiscal
1023+25 body of the unit a report setting out their activities during the
1024+26 preceding calendar year.
1025+27 (b) The report of the workforce fund managers under this
1026+28 section must show:
1027+29 (1) the names of the then qualified and acting workforce fund
1028+30 managers;
1029+31 (2) the amount of the expenditures made during the preceding
1030+32 year and their general purpose;
1031+33 (3) the amount of funds on hand at the close of the calendar
1032+34 year; and
1033+35 (4) other information deemed necessary to disclose the
1034+36 activities of the workforce fund managers and the results
1035+37 obtained.
1036+38 (c) Not later than April 15 of each year, a copy of each report
1037+39 under this section must be submitted to the department of local
1038+40 government finance in an electronic format specified by the
1039+41 department of local government finance.
1040+42 SECTION 22. IC 36-7-14-57, AS ADDED BY P.L.38-2021,
1041+ES 361—LS 7135/DI 120 24
1042+1 SECTION 91, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1043+2 JULY 1, 2022]: Sec. 57. (a) This section does not apply to a parcel that
1044+3 is included in more than one (1) allocation area established by:
1045+4 (1) a resolution establishing an allocation provision under section
1046+5 39 of this chapter that is adopted and approved under sections 15
1047+6 through 17 of this chapter;
1048+7 (2) a resolution adopted under IC 6-1.1-39-2 and confirmed under
1049+8 IC 6-1.1-39-3;
1050+9 (3) a resolution adopted under IC 8-22-3.5-5 and confirmed under
1051+10 IC 8-22-3.5-6;
1052+11 (4) a resolution establishing an allocation provision under
1053+12 IC 36-7-15.1-26 that is adopted and approved under
1054+13 IC 36-7-15.1-8, IC 36-7-15.1-9, and IC 36-7-15.1-10;
1055+14 (5) a resolution establishing an allocation provision under
1056+15 IC 36-7-30-25 that is adopted and approved under IC 36-7-30-10,
1057+16 IC 36-7-30-11, and IC 36-7-30-12;
1058+17 (6) a resolution establishing an allocation provision under
1059+18 IC 36-7-30.5-30 that is adopted and approved under
1060+19 IC 36-7-30.5-16, IC 36-7-30.5-17, and IC 36-7-30.5-18; or
1061+20 (7) a resolution designating a certified technology park as an
1062+21 allocation area that is approved and adopted under IC 36-7-32-15;
1063+22 on or before May 1, 2021. In addition, a new allocation area may not
1064+23 be established under this chapter that includes a parcel that is located
1065+24 in an allocation area described in this subsection.
1066+25 (b) Except as provided in subsection (a), but notwithstanding any
1067+26 other provision, for the purpose of the allocation of property taxes
1068+27 under this chapter, a parcel may not be included in more than one (1)
1069+28 allocation area established under this chapter or under:
1070+29 (1) IC 6-1.1-39;
1071+30 (2) IC 8-22-3.5;
1072+31 (3) IC 36-7-15.1;
1073+32 (4) IC 36-7-30;
1074+33 (5) IC 36-7-30.5; or
1075+34 (6) IC 36-7-32; or
1076+35 (7) IC 36-7-32.5.
1077+36 SECTION 23. IC 36-7-15.1-63, AS ADDED BY P.L.38-2021,
1078+37 SECTION 92, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1079+38 JULY 1, 2022]: Sec. 63. (a) This section does not apply to a parcel that
1080+39 is included in more than one (1) allocation area established by:
1081+40 (1) a resolution establishing an allocation provision under section
1082+41 26 of this chapter that is adopted and approved under sections 8
1083+42 through 10 of this chapter;
1084+ES 361—LS 7135/DI 120 25
1085+1 (2) a resolution adopted under IC 6-1.1-39-2 and confirmed under
1086+2 IC 6-1.1-39-3;
1087+3 (3) a resolution adopted under IC 8-22-3.5-5 and confirmed under
1088+4 IC 8-22-3.5-6;
1089+5 (4) a resolution establishing an allocation provision under
1090+6 IC 36-7-14-39 that is adopted and approved under IC 36-7-14-15,
1091+7 IC 36-7-14-16, and IC 36-7-14-17;
1092+8 (5) a resolution establishing an allocation provision under
1093+9 IC 36-7-30-25 that is adopted and approved under IC 36-7-30-10,
1094+10 IC 36-7-30-11, and IC 36-7-30-12;
1095+11 (6) a resolution establishing an allocation provision under
1096+12 IC 36-7-30.5-30 that is adopted and approved under
1097+13 IC 36-7-30.5-16, IC 36-7-30.5-17, and IC 36-7-30.5-18; or
1098+14 (7) a resolution designating a certified technology park as an
1099+15 allocation area that is approved and adopted under IC 36-7-32-15;
1100+16 on or before May 1, 2021. In addition, a new allocation area may not
1101+17 be established under this chapter that includes a parcel that is located
1102+18 in an allocation area described in this subsection.
1103+19 (b) Except as provided in subsection (a), but notwithstanding any
1104+20 other provision, for the purpose of the allocation of property taxes
1105+21 under this chapter, a parcel may not be included in more than one (1)
1106+22 allocation area established under this chapter or under:
1107+23 (1) IC 6-1.1-39;
1108+24 (2) IC 8-22-3.5;
1109+25 (3) IC 36-7-14;
1110+26 (4) IC 36-7-30;
1111+27 (5) IC 36-7-30.5; or
1112+28 (6) IC 36-7-32; or
1113+29 (7) IC 36-7-32.5.
1114+30 SECTION 24. IC 36-7-30-36, AS ADDED BY P.L.38-2021,
1115+31 SECTION 95, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1116+32 JULY 1, 2022]: Sec. 36. (a) This section does not apply to a parcel that
1117+33 is included in more than one (1) allocation area established by:
1118+34 (1) a resolution establishing an allocation provision under section
1119+35 25 of this chapter that is adopted and approved under sections 10
1120+36 through 12 of this chapter;
1121+37 (2) a resolution adopted under IC 6-1.1-39-2 and confirmed under
1122+38 IC 6-1.1-39-3;
1123+39 (3) a resolution adopted under IC 8-22-3.5-5 and confirmed under
1124+40 IC 8-22-3.5-6;
1125+41 (4) a resolution establishing an allocation provision under
1126+42 IC 36-7-14-39 that is adopted and approved under IC 36-7-14-15,
1127+ES 361—LS 7135/DI 120 26
1128+1 IC 36-7-14-16, and IC 36-7-14-17;
1129+2 (5) a resolution establishing an allocation provision under
1130+3 IC 36-7-15.1-26 that is adopted and approved under
1131+4 IC 36-7-15.1-8, IC 36-7-15.1-9, and IC 36-7-15.1-10;
1132+5 (6) a resolution establishing an allocation provision under
1133+6 IC 36-7-30.5-30 that is adopted and approved under
1134+7 IC 36-7-30.5-16, IC 36-7-30.5-17, and IC 36-7-30.5-18; or
1135+8 (7) a resolution designating a certified technology park as an
1136+9 allocation area that is approved and adopted under IC 36-7-32-15;
1137+10 on or before May 1, 2021. In addition, a new allocation area may not
1138+11 be established under this chapter that includes a parcel that is located
1139+12 in an allocation area described in this subsection.
1140+13 (b) Except as provided in subsection (a), but notwithstanding any
1141+14 other provision, for the purpose of the allocation of property taxes
1142+15 under this chapter, a parcel may not be included in more than one (1)
1143+16 allocation area established under this chapter or under:
1144+17 (1) IC 6-1.1-39;
1145+18 (2) IC 8-22-3.5;
1146+19 (3) IC 36-7-14;
1147+20 (4) IC 36-7-15.1;
1148+21 (5) IC 36-7-30.5; or
1149+22 (6) IC 36-7-32; or
1150+23 (7) IC 36-7-32.5.
1151+24 SECTION 25. IC 36-7-30.5-37, AS ADDED BY P.L.38-2021,
1152+25 SECTION 96, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1153+26 JULY 1, 2022]: Sec. 37. (a) This section does not apply to a parcel that
1154+27 is included in more than one (1) allocation area established by:
1155+28 (1) a resolution establishing an allocation provision under section
1156+29 30 of this chapter that is adopted and approved under sections 16
1157+30 through 18 of this chapter;
1158+31 (2) a resolution adopted under IC 6-1.1-39-2 and confirmed under
1159+32 IC 6-1.1-39-3;
1160+33 (3) a resolution adopted under IC 8-22-3.5-5 and confirmed under
1161+34 IC 8-22-3.5-6;
1162+35 (4) a resolution establishing an allocation provision under
1163+36 IC 36-7-14-39 that is adopted and approved under IC 36-7-14-15,
1164+37 IC 36-7-14-16, and IC 36-7-14-17;
1165+38 (5) a resolution establishing an allocation provision under
1166+39 IC 36-7-15.1-26 that is adopted and approved under
1167+40 IC 36-7-15.1-8, IC 36-7-15.1-9, and IC 36-7-15.1-10;
1168+41 (6) a resolution establishing an allocation provision under
1169+42 IC 36-7-30-25 that is adopted and approved under IC 36-7-30-10,
1170+ES 361—LS 7135/DI 120 27
1171+1 IC 36-7-30-11, and IC 36-7-30-12; or
1172+2 (7) a resolution designating a certified technology park as an
1173+3 allocation area that is approved and adopted under IC 36-7-32-15;
1174+4 on or before May 1, 2021. In addition, a new allocation area may not
1175+5 be established under this chapter that includes a parcel that is located
1176+6 in an allocation area described in this subsection.
1177+7 (b) Except as provided in subsection (a), but notwithstanding any
1178+8 other provision, for the purpose of the allocation of property taxes
1179+9 under this chapter, a parcel may not be included in more than one (1)
1180+10 allocation area established under this chapter or under:
1181+11 (1) IC 6-1.1-39;
1182+12 (2) IC 8-22-3.5;
1183+13 (3) IC 36-7-14;
1184+14 (4) IC 36-7-15.1;
1185+15 (5) IC 36-7-30; or
1186+16 (6) IC 36-7-32; or
1187+17 (7) IC 36-7-32.5.
1188+18 SECTION 26. IC 36-7-32-28, AS ADDED BY P.L.38-2021,
1189+19 SECTION 97, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1190+20 JULY 1, 2022]: Sec. 28. (a) This section does not apply to a parcel that
1191+21 is included in more than one (1) allocation area established by:
1192+22 (1) a resolution designating a certified technology park as an
1193+23 allocation area that is approved and adopted under section 15 of
1194+24 this chapter;
1195+25 (2) a resolution adopted under IC 6-1.1-39-2 and confirmed under
1196+26 IC 6-1.1-39-3;
1197+27 (3) a resolution adopted under IC 8-22-3.5-5 and confirmed under
1198+28 IC 8-22-3.5-6;
1199+29 (4) a resolution establishing an allocation provision under
1200+30 IC 36-7-14-39 that is adopted and approved under IC 36-7-14-15,
1201+31 IC 36-7-14-16, and IC 36-7-14-17;
1202+32 (5) a resolution establishing an allocation provision under
1203+33 IC 36-7-15.1-26 that is adopted and approved under
1204+34 IC 36-7-15.1-8, IC 36-7-15.1-9, and IC 36-7-15.1-10;
1205+35 (6) a resolution establishing an allocation provision under
1206+36 IC 36-7-30-25 that is adopted and approved under IC 36-7-30-10,
1207+37 IC 36-7-30-11, and IC 36-7-30-12; or
1208+38 (7) a resolution establishing an allocation provision under
1209+39 IC 36-7-30.5-30 that is adopted and approved under
1210+40 IC 36-7-30.5-16, IC 36-7-30.5-17, and IC 36-7-30.5-18;
1211+41 on or before May 1, 2021. In addition, a new allocation area may not
1212+42 be established under this chapter that includes a parcel that is located
1213+ES 361—LS 7135/DI 120 28
1214+1 in an allocation area described in this subsection.
1215+2 (b) Except as provided in subsection (a), but notwithstanding any
1216+3 other provision, for the purpose of the allocation of property taxes
1217+4 under this chapter, a parcel may not be included in more than one (1)
1218+5 allocation area established under this chapter or under:
1219+6 (1) IC 6-1.1-39;
1220+7 (2) IC 8-22-3.5;
1221+8 (3) IC 36-7-14;
1222+9 (4) IC 36-7-15.1;
1223+10 (5) IC 36-7-30; or
1224+11 (6) IC 36-7-30.5; or
1225+12 (7) IC 36-7-32.5.
1226+13 SECTION 27. IC 36-7-32.5 IS ADDED TO THE INDIANA CODE
1227+14 AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
1228+15 JULY 1, 2022]:
1229+16 Chapter 32.5. Innovation Development Districts
1230+17 Sec. 1. As used in this chapter, "base assessed value" means the
1231+18 net assessed value of all the taxable real property that is assessed
1232+19 as commercial or industrial property under the rules of the
1233+20 department of local government finance, and taxable personal
1234+21 property, that is located in an innovation development district as
1235+22 finally determined for the assessment date immediately preceding
1236+23 the effective date of the designation by the corporation under
1237+24 section 10 of this chapter.
1238+25 Sec. 2. As used in this chapter, "board" refers to the innovation
1239+26 development district board established under section 14 of this
1240+27 chapter to govern an innovation development district.
1241+28 Sec. 3. As used in this chapter, "corporation" refers to the
1242+29 Indiana economic development corporation established by
1243+30 IC 5-28-3-1.
1244+31 Sec. 4. As used in this chapter, "gross retail base period
1245+32 amount" means the aggregate amount of state gross retail and use
1246+33 taxes remitted under IC 6-2.5 by the businesses:
1247+34 (1) operating in the territory comprising an innovation
1248+35 development district; and
1249+36 (2) that is, in the case of the:
1250+37 (A) state gross retail tax, collected by a business for sales
1251+38 occurring at a physical location of the business in the
1252+39 innovation development district; and
1253+40 (B) state use tax, incurred with regard to property used in
1254+41 the innovation development district;
1255+42 during the full state fiscal year that precedes the date on which the
1256+ES 361—LS 7135/DI 120 29
1257+1 innovation development district was designated under section 10
1258+2 of this chapter.
1259+3 Sec. 5. As used in this chapter, "gross retail incremental
1260+4 amount" means the remainder of:
1261+5 (1) the aggregate amount of state gross retail and use taxes
1262+6 that are remitted under IC 6-2.5 by businesses:
1263+7 (A) operating in the territory comprising an innovation
1264+8 development district; and
1265+9 (B) that is, in the case of the:
1266+10 (i) state gross retail tax, collected by a business for sales
1267+11 occurring at a physical location of the business in the
1268+12 innovation development district; and
1269+13 (ii) state use tax, incurred with regard to property used
1270+14 in the innovation development district;
1271+15 during a state fiscal year; minus
1272+16 (2) the gross retail base period amount;
1273+17 as determined by the department of state revenue.
1274+18 Sec. 6. As used in this chapter, "income tax base period
1275+19 amount" means the aggregate amount of adjusted gross income
1276+20 taxes paid by employees employed in the territory comprising an
1277+21 innovation development district with respect to wages and salary
1278+22 earned for work in the innovation development district for the
1279+23 state fiscal year that precedes the date on which the innovation
1280+24 development district was designated under section 10 of this
1281+25 chapter.
1282+26 Sec. 7. As used in this chapter, "income tax incremental
1283+27 amount" means the remainder of:
1284+28 (1) the total amount of state adjusted gross income taxes paid
1285+29 by employees employed in the territory comprising the
1286+30 innovation development district with respect to wages and
1287+31 salary earned for work in the territory comprising the
1288+32 innovation development district for a particular state fiscal
1289+33 year; minus
1290+34 (2) the sum of the:
1291+35 (A) income tax base period amount; plus
1292+36 (B) tax credits awarded by the Indiana economic
1293+37 development corporation under IC 6-3.1-13 to businesses
1294+38 operating in an innovation development district as the
1295+39 result of wages earned for work in the innovation
1296+40 development district for the state fiscal year;
1297+41 as determined by the department of state revenue.
1298+42 Sec. 8. As used in this chapter, "legislative body" means the
1299+ES 361—LS 7135/DI 120 30
1300+1 following:
1301+2 (1) The board of county commissioners, for a county not
1302+3 subject to IC 36-2-3.5 or IC 36-3-1.
1303+4 (2) The county council, for a county subject to IC 36-2-3.5.
1304+5 (3) The city-county council, for a consolidated city or county
1305+6 having a consolidated city.
1306+7 (4) The common council, for a city other than a consolidated
1307+8 city.
1308+9 (5) The town council, for a town.
1309+10 Sec. 9. As used in this chapter, "net increment" means the sum
1310+11 of:
1311+12 (1) the gross retail incremental amount; plus
1312+13 (2) the income tax incremental amount;
1313+14 as determined by the department of state revenue.
1314+15 Sec. 10. (a) Before the corporation may designate territory
1315+16 within the jurisdiction of a city, town, or county, or within the
1316+17 jurisdiction of more than one (1) city, town, or county, as an
1317+18 innovation development district under this section, the board of the
1318+19 corporation established under IC 5-28-4 shall establish policies and
1319+20 guidelines that the corporation must follow when notifying and
1320+21 collaborating with a legislative body, or, if applicable, legislative
1321+22 bodies, to designate territory within the jurisdiction of a city, town,
1322+23 or county as an innovation development district under this section.
1323+24 (b) After notifying and collaborating with the legislative body,
1324+25 or, if an innovation development district will include territory
1325+26 within the jurisdiction of more than one (1) city, town, or county,
1326+27 with the legislative bodies, in the manner provided under the
1327+28 policies and guidelines established under subsection (a), the
1328+29 corporation may designate territory within the jurisdiction of a
1329+30 city, town, or county, or territory within the jurisdiction of more
1330+31 than one (1) city, town, or county, as an innovation development
1331+32 district if the corporation determines that the designation will
1332+33 support economic growth.
1333+34 (c) The corporation may not designate an innovation
1334+35 development district under this section after June 30, 2025.
1335+36 Sec. 11. (a) The corporation may not designate an area as an
1336+37 innovation development district under section 10 of this chapter,
1337+38 if the business or businesses that are expected to locate within the
1338+39 innovation development district:
1339+40 (1) currently operate in Indiana in a location outside of the
1340+41 proposed innovation development district; and
1341+42 (2) intend to substantially reduce or cease operations at the
1342+ES 361—LS 7135/DI 120 31
1343+1 other location or locations within Indiana in order to relocate
1344+2 to a location within the innovation development district.
1345+3 (b) Notwithstanding any other provision of this chapter, an
1346+4 innovation development district may not be established in an
1347+5 existing allocation area established under:
1348+6 (1) IC 5-1-17.5;
1349+7 (2) IC 6-1.1-39;
1350+8 (3) IC 8-22-3.5;
1351+9 (4) IC 36-7-13;
1352+10 (5) IC 36-7-14;
1353+11 (6) IC 36-7-15.1;
1354+12 (7) IC 36-7-30;
1355+13 (8) IC 36-7-30.5;
1356+14 (9) IC 36-7-31;
1357+15 (10) IC 36-7-31.3;
1358+16 (11) IC 36-7-31.5;
1359+17 (12) IC 36-7-32;
1360+18 (13) IC 36-7.5-4.5; or
1361+19 (14) any other provision that authorizes the establishment of
1362+20 an allocation area.
1363+21 (c) A development within the innovation development district is
1364+22 subject to any zoning ordinance or other zoning law that otherwise
1365+23 applies to territory within the innovation development district.
1366+24 Sec. 12. (a) Except as provided in subsection (b), after June 30,
1367+25 2022, and before July 1, 2025, the corporation may not designate
1368+26 more than five (5) innovation development districts under section
1369+27 10 of this chapter.
1370+28 (b) Notwithstanding subsection (a), after June 30, 2022, and
1371+29 before July 1, 2025, the corporation may designate additional
1372+30 innovation development districts under section 10 of this chapter
1373+31 after review by the budget committee.
1374+32 Sec. 13. The term of an area's designation as an innovation
1375+33 development district may not exceed thirty (30) years.
1376+34 Sec. 14. (a) After an innovation development district is
1377+35 designated under section 10 of this chapter, the legislative body, or,
1378+36 if applicable, the legislative bodies, and the corporation shall
1379+37 establish an innovation development district board to govern the
1380+38 innovation development district.
1381+39 (b) The board consists of six (6) members appointed as follows:
1382+40 (1) Three (3) members appointed by the secretary of
1383+41 commerce appointed under IC 5-28-3-4.
1384+42 (2) Three (3) members appointed by the legislative body, or,
1385+ES 361—LS 7135/DI 120 32
1386+1 if applicable, the legislative bodies.
1387+2 Each member of the board must be a resident of the county, or, if
1388+3 applicable, one (1) of the counties, in which the innovation
1389+4 development district is located. A member of the board serves at
1390+5 the pleasure of the appointing authority. A vacancy on the board
1391+6 shall be filled in the same manner as the original appointment.
1392+7 (c) After the members of have been appointed under this
1393+8 section, the board and the corporation shall enter into an
1394+9 agreement establishing the terms and conditions governing the
1395+10 innovation development district. After entering into the agreement,
1396+11 the subsequent failure of any party to comply with the terms of the
1397+12 agreement may result in the termination or rescission of the
1398+13 designation of the area as an innovation development district.
1399+14 (d) The agreement must include the following provisions:
1400+15 (1) A description of the area, including a list of all parcels to
1401+16 be included within the innovation development district.
1402+17 (2) Covenants and restrictions, if any, upon all or a part of the
1403+18 properties contained within the innovation development
1404+19 district and terms of enforcement of any covenants or
1405+20 restrictions.
1406+21 (3) The due diligence and financial commitments of any party
1407+22 to the agreement and of any owner or developer of property
1408+23 within the innovation development district.
1409+24 (4) The financial projections of the innovation development
1410+25 district.
1411+26 (5) The proposed use of the net increment and property tax
1412+27 incremental amount described in section 16(c) of this chapter
1413+28 that is captured within the innovation development district.
1414+29 (6) Subject to the limitations of this chapter, the duration of
1415+30 the designation of an area as an innovation development
1416+31 district.
1417+32 (7) The terms of enforcement of the agreement, which may
1418+33 include the definition of events of default, cure periods, legal
1419+34 and equitable remedies and rights, and penalties and
1420+35 damages, actual or liquidated, upon the occurrence of an
1421+36 event of default.
1422+37 (8) The public facilities to be developed for the innovation
1423+38 development district and the estimated costs of those public
1424+39 facilities.
1425+40 (e) Within fifteen (15) days of entering into an agreement under
1426+41 subsection (c), the corporation shall submit a written report on the
1427+42 agreement to the budget committee.
1428+ES 361—LS 7135/DI 120 33
1429+1 (f) Neither a board nor the corporation may exercise the power
1430+2 of eminent domain within an innovation development district.
1431+3 Sec. 15. (a) After the corporation and a board enter into an
1432+4 agreement described in section 14 of this chapter concerning the
1433+5 terms and conditions governing the innovation development
1434+6 district, the legislative body, or, if applicable, legislative bodies,
1435+7 shall adopt a resolution designating an innovation development
1436+8 district as an allocation area for purposes of the allocation and
1437+9 distribution of property taxes.
1438+10 (b) After adoption of the resolution under subsection (a), the
1439+11 legislative body, or, if applicable, legislative bodies, shall:
1440+12 (1) publish notice of the adoption and substance of the
1441+13 resolution in accordance with IC 5-3-1; and
1442+14 (2) file the following information with each taxing unit that
1443+15 has authority to levy property taxes in the geographic area
1444+16 where the innovation development district is located:
1445+17 (A) A copy of the notice required under subdivision (1).
1446+18 (B) A statement disclosing the impact of the innovation
1447+19 development district, including the estimated economic
1448+20 benefits and costs incurred by the innovation development
1449+21 district, as measured by increased employment and
1450+22 anticipated growth of real and personal property assessed
1451+23 values.
1452+24 The notice must state the general boundaries of the innovation
1453+25 development district and include a list of all parcels to be included
1454+26 within the innovation development district.
1455+27 Sec. 16. (a) An allocation provision adopted under section 15 of
1456+28 this chapter must:
1457+29 (1) apply to the entire innovation development district; and
1458+30 (2) require that any property tax assessed on taxable property
1459+31 used for commercial or industrial purposes subsequently
1460+32 levied by or for the benefit of any public body entitled to a
1461+33 distribution of property taxes in the innovation development
1462+34 district be allocated and distributed as provided in subsections
1463+35 (b) and (c).
1464+36 (b) Except as otherwise provided in this section:
1465+37 (1) the proceeds of the taxes attributable to the lesser of:
1466+38 (A) the assessed value of the taxable property for the
1467+39 assessment date with respect to which the allocation and
1468+40 distribution is made; or
1469+41 (B) the base assessed value;
1470+42 shall be allocated and, when collected, paid into the funds of
1471+ES 361—LS 7135/DI 120 34
1472+1 the respective taxing units; and
1473+2 (2) the excess of the proceeds of the property taxes imposed
1474+3 for the assessment date with respect to which the allocation
1475+4 and distribution is made that are attributable to taxes
1476+5 imposed after being approved by the voters in a referendum
1477+6 or local public question conducted after April 30, 2010, not
1478+7 otherwise included in subdivision (1) shall be allocated to and,
1479+8 when collected, paid into the funds of the taxing unit for
1480+9 which the referendum or local public question was conducted.
1481+10 (c) Except as provided in subsection (d), all the property tax
1482+11 proceeds that:
1483+12 (1) exceed those described in subsection (b); and
1484+13 (2) are attributable to the assessed value of taxable property
1485+14 used for commercial or industrial purposes;
1486+15 shall be paid into the appropriate local innovation development
1487+16 district fund established by section 21 of this chapter by the county
1488+17 auditor at the same time that the county auditor distributes
1489+18 property taxes to other local units of government under
1490+19 IC 6-1.1-27. Any remaining property tax proceeds that exceed
1491+20 those described in subsection (b) that are not described in
1492+21 subdivision (2) shall be allocated and, when collected, paid into the
1493+22 funds of the respective taxing units.
1494+23 (d) Notwithstanding any other law, each assessor shall, upon
1495+24 petition of the board, reassess the taxable property situated upon
1496+25 or in, or added to, the innovation development district effective on
1497+26 the next assessment date after the petition.
1498+27 (e) Notwithstanding any other law, the assessed value of all
1499+28 taxable property in the innovation development district, for
1500+29 purposes of tax limitation, property tax replacement, and
1501+30 formulation of the budget, tax rate, and tax levy for each political
1502+31 subdivision in which the property is located is the lesser of:
1503+32 (1) the assessed value of the taxable property as valued
1504+33 without regard to this section; or
1505+34 (2) the base assessed value.
1506+35 Sec. 17. (a) A board may enter into a written agreement with a
1507+36 taxpayer who owns, or is otherwise obligated to pay property taxes
1508+37 on, tangible property that is or will be located in an allocation area
1509+38 established under this chapter in which the taxpayer waives review
1510+39 of any assessment of the taxpayer's tangible property that is
1511+40 located in the allocation area for an assessment date that occurs
1512+41 during the term of any specified bond or lease obligations that are
1513+42 payable, in whole or in part, from property taxes in accordance
1514+ES 361—LS 7135/DI 120 35
1515+1 with an allocation provision for the allocation area and any
1516+2 applicable statute, ordinance, or resolution.
1517+3 (b) Notwithstanding any other law, a board may exempt from
1518+4 taxation any tangible real property improvements or personal
1519+5 property, or a part of real property improvements or personal
1520+6 property, that:
1521+7 (1) in the case of real property improvements, is assessed as
1522+8 commercial or industrial property under the rules of the
1523+9 department of local government finance;
1524+10 (2) is located within the innovation development district; and
1525+11 (3) was:
1526+12 (A) in the case of real property improvements,
1527+13 constructed; and
1528+14 (B) in the case of personal property, first entered into
1529+15 service;
1530+16 after the date that the innovation development district was
1531+17 designated under section 10 of this chapter.
1532+18 Sec. 18. (a) The state board of accounts, the department of state
1533+19 revenue, and the department of local government finance may
1534+20 adopt rules under IC 4-22-2 and prescribe the forms and
1535+21 procedures that the state board of accounts, the department of
1536+22 state revenue, and the department of local government finance
1537+23 consider appropriate for the implementation of an innovation
1538+24 development district under this chapter. However, before adopting
1539+25 rules under this section, the state board of accounts, the
1540+26 department of state revenue, and the department of local
1541+27 government finance shall submit a report to the budget committee
1542+28 that:
1543+29 (1) describes the rules proposed by the state board of
1544+30 accounts, the department of state revenue, and the
1545+31 department of local government finance; and
1546+32 (2) recommends statutory changes necessary to implement the
1547+33 provisions of this chapter.
1548+34 (b) After each reassessment of real property in an area under a
1549+35 county's reassessment plan prepared under IC 6-1.1-4-4.2, the
1550+36 department of local government finance shall adjust the base
1551+37 assessed value one (1) time to neutralize any effect of the
1552+38 reassessment of the real property in the area on the property tax
1553+39 proceeds allocated to the local innovation development district
1554+40 fund established by section 21 of this chapter.
1555+41 (c) After each annual adjustment under IC 6-1.1-4-4.5, the
1556+42 department of local government finance shall adjust the base
1557+ES 361—LS 7135/DI 120 36
1558+1 assessed value to neutralize any effect of the annual adjustment on
1559+2 the property tax proceeds allocated to the local innovation
1560+3 development district fund established by section 21 of this chapter.
1561+4 Sec. 19. (a) After entering into an agreement under section 14 of
1562+5 this chapter, the board shall send to the department of state
1563+6 revenue:
1564+7 (1) a certified copy of the designation of the innovation
1565+8 development district under section 10 of this chapter;
1566+9 (2) a certified copy of the agreement entered into under
1567+10 section 14 of this chapter; and
1568+11 (3) a complete list of the employers in the innovation
1569+12 development district and the street names and the range of
1570+13 street numbers of each street in the innovation development
1571+14 district.
1572+15 The board shall update the list provided under subdivision (3)
1573+16 before July 1 of each year.
1574+17 (b) Not later than sixty (60) days after receiving a copy of the
1575+18 designation of the innovation development district, the department
1576+19 of state revenue shall determine the gross retail base period
1577+20 amount and the income tax base period amount.
1578+21 Sec. 20. (a) Before the first business day in October of each year,
1579+22 the department of state revenue shall calculate the income tax
1580+23 incremental amount and the gross retail incremental amount for
1581+24 the preceding state fiscal year for each innovation development
1582+25 district designated under this chapter.
1583+26 (b) Taxpayers operating in an innovation development district
1584+27 shall report annually, in the manner and form prescribed by the
1585+28 department of state revenue, information that the department of
1586+29 state revenue determines necessary to calculate the net increment.
1587+30 (c) A taxpayer operating in an innovation development district
1588+31 that files a consolidated tax return with the department of state
1589+32 revenue shall also file annually an informational return with the
1590+33 department of state revenue for each business location of the
1591+34 taxpayer within the innovation development district.
1592+35 (d) If a taxpayer fails to report the information required by this
1593+36 section or file an informational return required by this section, the
1594+37 department of state revenue shall use the best information
1595+38 available in calculating the income tax incremental amount and
1596+39 gross retail incremental amount.
1597+40 (e) The department of state revenue shall transfer the amount
1598+41 calculated as provided in subsection (a) to the applicable local
1599+42 innovation development district fund established for the innovation
1600+ES 361—LS 7135/DI 120 37
1601+1 development district under section 21 of this chapter by November
1602+2 1 of each year.
1603+3 Sec. 21. (a) Each board shall establish a local innovation
1604+4 development district fund for an innovation development district
1605+5 designated under section 10 of this chapter.
1606+6 (b) Each fund consists of:
1607+7 (1) deposits of incremental property tax revenue from the
1608+8 county auditor as provided in section 16(c) of this chapter;
1609+9 and
1610+10 (2) transfers from the department under section 20 of this
1611+11 chapter.
1612+12 (c) The board established for the innovation development
1613+13 district shall administer each local innovation development district
1614+14 fund established under this section. The expenses of administering
1615+15 each fund shall be paid from money in that fund.
1616+16 (d) A board may use money in each fund for the following
1617+17 purposes:
1618+18 (1) The acquisition, improvement, preparation, demolition,
1619+19 disposal, construction, reconstruction, remediation,
1620+20 rehabilitation, restoration, preservation, maintenance, repair,
1621+21 furnishing, and equipping of public facilities, including but
1622+22 not limited to utilities and transportation infrastructure.
1623+23 (2) The operation of public facilities.
1624+24 (3) The acquisition of land within the innovation development
1625+25 district.
1626+26 (4) The recruitment of new businesses and new employees to
1627+27 the innovation development district.
1628+28 (5) The training of individuals employed in the innovation
1629+29 development district.
1630+30 (6) For any other purpose authorized by an agreement
1631+31 between the corporation and the board entered into under
1632+32 section 14 of this chapter.
1633+33 (e) Not later than August 1 of each year, the board shall transfer
1634+34 an amount equal to not less than twelve percent (12%) of the
1635+35 incremental property tax revenues that were deposited into the
1636+36 fund in the immediately preceding state fiscal year to the general
1637+37 fund of each city, town, county, or school corporation with
1638+38 territory located within the innovation development district. If the
1639+39 board is required to transfer funds to more than one (1) city, town,
1640+40 county, or school corporation under this subsection, the amount
1641+41 transferred to each city, town, county, and school corporation must
1642+42 be allocated among each city, town, county, and school corporation
1643+ES 361—LS 7135/DI 120 38
1644+1 proportionately based on each city's, town's, county's, and school
1645+2 corporation's gross property tax levy.
1646+3 (f) This subsection applies only to a city, town, or county that
1647+4 receives funds under subsection (e). A city, town, or county may
1648+5 use funds received under subsection (e) to pay any:
1649+6 (1) costs incurred by the city, town, or county to construct,
1650+7 maintain, or operate utilities, transportation infrastructure,
1651+8 or any other public facility that provides services to the
1652+9 innovation development district; or
1653+10 (2) other costs deemed necessary by the city, town, or county
1654+11 to provide police or fire protection to the innovation
1655+12 development district.
1656+13 (g) Each state fiscal year, the board may, after making the
1657+14 transfer required under subsection (e) and satisfying all debt
1658+15 service obligations due and payable during the state fiscal year for
1659+16 bonds issued under IC 5-1.2-4-4(a)(2), transfer from each local
1660+17 innovation development district fund to the statewide innovation
1661+18 development district fund established by section 22 of this chapter
1662+19 an amount not to exceed one hundred percent (100%) of the net
1663+20 incremental revenue derived from state income taxes and gross
1664+21 retail taxes deposited into each fund during the immediately
1665+22 preceding state fiscal year.
1666+23 (h) Money in each local innovation development district fund at
1667+24 the end of a state fiscal year does not revert to the state general
1668+25 fund.
1669+26 (i) Money in each local innovation development district fund is
1670+27 continuously appropriated for the purposes specified in this
1671+28 section.
1672+29 Sec. 22. (a) The statewide innovation development district fund
1673+30 is established within the state treasury to provide grants or loans
1674+31 to support the development or expansion of industry in Indiana.
1675+32 (b) The fund consists of:
1676+33 (1) Transfers from a local innovation development district
1677+34 fund under section 21(g) of this chapter.
1678+35 (2) Appropriations from the general assembly.
1679+36 (3) Loan repayments, including earnings from loans under
1680+37 subsection (d).
1681+38 (c) The corporation shall administer the fund. The following
1682+39 may be paid from money in the fund:
1683+40 (1) The expenses of administering the fund.
1684+41 (2) Nonrecurring administrative expenses incurred to carry
1685+42 out the purposes of this chapter.
1686+ES 361—LS 7135/DI 120 39
1687+1 (d) Earnings from loans made under this chapter shall be
1688+2 deposited in the fund.
1689+3 (e) The corporation may make grants, loans, or investments
1690+4 from the fund for the following purposes:
1691+5 (1) For the purposes identified in section 21(d) of this chapter.
1692+6 (2) For the acquisition and improvement of land or other
1693+7 property.
1694+8 (3) For costs associated with creating new innovation
1695+9 development districts.
1696+10 (4) For the development of partnerships, including grants and
1697+11 loans, between the state, advanced industry and higher
1698+12 educational institutions focused on development, expansion,
1699+13 or retention in the state.
1700+14 (5) For the stimulation of investments in entrepreneurial or
1701+15 high growth potential companies in the state.
1702+16 (6) For workforce training assistance in the state.
1703+17 (f) The corporation may use money in the fund to make a
1704+18 payment in lieu of a growing economy tax credit as provided in
1705+19 IC 6-3-5-5.
1706+20 Sec. 23. (a) Except as provided in subsection (b), money in the
1707+21 statewide innovation development district fund established by
1708+22 section 22 of this chapter at the end of the state fiscal year does not
1709+23 revert to the state general fund.
1710+24 (b) Notwithstanding subsection (a), if the unobligated balance
1711+25 of the statewide innovation development district fund established
1712+26 by section 22 of this chapter exceeds five hundred million dollars
1713+27 ($500,000,000) at the close of any state fiscal year, the amount of
1714+28 funds in excess of five hundred million dollars ($500,000,000) shall
1715+29 be transferred to the state general fund.
1716+30 (c) Money in the fund is continuously appropriated for the
1717+31 purposes of this chapter.
1718+32 Sec. 24. The corporation shall provide information on the
1719+33 innovation development district program in its economic incentive
1720+34 and compliance report submitted pursuant to IC 5-28-28-5, and to
1721+35 the budget committee, that includes the following:
1722+36 (1) Metrics established by the corporation to evaluate the
1723+37 effectiveness of the innovation development district in
1724+38 promoting economic growth in the state.
1725+39 (2) The number and amount of grants or loans from the
1726+40 statewide innovation development district fund established by
1727+41 section 22 of this chapter that are contractually awarded by
1728+42 the corporation for each innovation development district and
1729+ES 361—LS 7135/DI 120 40
1730+1 in total for all innovation development districts statewide.
1731+2 (3) The name of each entity receiving a grant or loan from the
1732+3 statewide innovation development district fund established by
1733+4 section 22 of this chapter for each innovation development
1734+5 district and for all innovation development districts statewide.
1735+6 (4) The amount and name of each entity for which there is a
1736+7 unfunded obligation at the close of each state fiscal year.
1737+8 (5) A report on each innovation development district
1738+9 designated under this chapter that includes a description of:
1739+10 (A) the general boundaries of the innovation development
1740+11 district;
1741+12 (B) the total acreage encompassed within the innovation
1742+13 development district;
1743+14 (C) the base assessed value of the innovation development
1744+15 district;
1745+16 (D) the gross retail base period amount determined for the
1746+17 innovation development district;
1747+18 (E) the income tax base period amount determined for the
1748+19 innovation development district;
1749+20 (F) the gross assessed value of all tangible real and
1750+21 personal property, without regard to any exemption
1751+22 granted by the board under section 17(b) of this chapter,
1752+23 that is:
1753+24 (i) assessed as commercial or industrial property under
1754+25 the rules of the department of local government finance;
1755+26 and
1756+27 (ii) located within the innovation development district;
1757+28 in each calendar year after the calendar year in which the
1758+29 innovation development district was designated;
1759+30 (G) the amount of incremental property tax revenue
1760+31 deposited into the local innovation development district
1761+32 fund established by section 21 of this chapter in each state
1762+33 fiscal year after the state fiscal year in which the
1763+34 innovation development district was designated;
1764+35 (H) the amount of incremental state gross retail and use
1765+36 tax revenue deposited into the local innovation
1766+37 development district fund established by section 21 of this
1767+38 chapter in each state fiscal year after the state fiscal year
1768+39 in which the innovation development district was
1769+40 designated;
1770+41 (I) the amount of incremental state adjusted gross income
1771+42 tax revenue deposited into the local innovation
1772+ES 361—LS 7135/DI 120 41
1773+1 development district fund established by section 21 of this
1774+2 chapter in each state fiscal year after the state fiscal year
1775+3 in which the innovation development district was
1776+4 designated;
1777+5 (J) the amount of revenue deposited into the local
1778+6 innovation development district fund established by section
1779+7 21 of this chapter that was transferred into the statewide
1780+8 innovation development district fund established under
1781+9 section 22 of this chapter in each state fiscal year after the
1782+10 state fiscal year in which the innovation development
1783+11 district was designated;
1784+12 (K) the aggregate amount of bonds issued by the Indiana
1785+13 finance authority under IC 5-1.2-4-4(a)(2) to pay for
1786+14 projects within the innovation development district;
1787+15 (L) the annual amount of debt service payments due on the
1788+16 bonds described in clause (K); and
1789+17 (M) a description of all economic development incentives
1790+18 granted by the corporation to businesses located within the
1791+19 innovation development district.
1792+20 SECTION 28. [EFFECTIVE UPON PASSAGE] (a) For the
1793+21 biennium beginning July 1, 2021, and ending June 30, 2023, the
1794+22 budget agency shall augment from the state general fund the
1795+23 amount of money appropriated for the Indiana economic
1796+24 development corporation for business promotion and innovation
1797+25 in P.L.165-2021, SECTION 6, by an amount not to exceed three
1798+26 hundred million dollars ($300,000,000). Notwithstanding
1799+27 P.L.165-2021 or any other law, the Indiana economic development
1800+28 corporation may transfer any funds allocated for business
1801+29 promotion and innovation to the statewide innovation development
1802+30 district fund established by IC 36-7-32.5-22 or to the Indiana
1803+31 promotion fund established by IC 5-28-5-12.
1804+32 (b) Notwithstanding any other law, funds appropriated to the
1805+33 Indiana economic development corporation for business promotion
1806+34 and innovation do not revert to the state general fund at the end of
1807+35 the state fiscal year and remain available in subsequent state fiscal
1808+36 years for the uses specified under state law.
1809+37 (c) This SECTION expires July 1, 2025.
1810+38 SECTION 29. [EFFECTIVE UPON PASSAGE] (a) As used in this
1811+39 SECTION, "corporation" refers to the Indiana economic
1812+40 development corporation established by IC 5-28-3-1.
1813+41 (b) The corporation shall identify and review state laws and
1814+42 regulations that:
1815+ES 361—LS 7135/DI 120 42
1816+1 (1) are burdensome to existing Indiana businesses; or
1817+2 (2) inhibit the creation of new businesses and industries in the
1818+3 state.
1819+4 (c) Not later than November 1, 2022, the corporation shall
1820+5 provide a report with recommendations for amending the state
1821+6 laws and regulations identified and reviewed under subsection (b)
1822+7 to the general assembly and the budget committee in an electronic
1823+8 format under IC 5-14-6.
1824+9 (d) This SECTION expires July 1, 2023.
1825+10 SECTION 30. An emergency is declared for this act.
1826+ES 361—LS 7135/DI 120 43
1827+COMMITTEE REPORT
1828+Madam President: The Senate Committee on Appropriations, to
1829+which was referred Senate Bill No. 361, has had the same under
1830+consideration and begs leave to report the same back to the Senate with
1831+the recommendation that said bill be AMENDED as follows:
1832+Page 1, delete lines 1 through 17, begin a new paragraph and insert:
1833+"SECTION 1. IC 5-1.2-4-4, AS ADDED BY P.L.189-2018,
161834 SECTION 25, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
17-JULY 1, 2022]: Sec. 4. (a) In addition to the powers listed in section 1
18-of this chapter, the authority may:
1835+JANUARY 1, 2023]: Sec. 4. In addition to the powers listed in section
1836+1 of this chapter, the authority may:
191837 (1) enter into leases and issue bonds under terms and conditions
201838 determined by the authority and use the proceeds of the bonds to:
211839 (A) acquire obligations issued by any entity authorized to
221840 acquire, finance, construct, or lease capital improvements
231841 under IC 5-1-17;
241842 (B) acquire any obligations issued by the northwest Indiana
251843 regional development authority established by IC 36-7.5-2-1;
261844 or
271845 (C) carry out the purposes of IC 5-1-17.5 within a motorsports
281846 investment district; and
29-(2) at the request of the Indiana economic development
30-corporation established by IC 5-28-3-1, and subject to
31-subsections (b), (c), and (d), enter into leases and issue bonds
32-under terms and conditions determined by the authority
33-payable solely from:
34-(A) revenues that are deposited in a local innovation
35-development district fund established under
36-SEA 361 — CC 1 2
37-IC 36-7-32.5-19;
38-(B) revenues generated from a project under
39-IC 36-7-32.5-19; and
40-(C) appropriations from the general assembly; and
1847+(2) issue bonds under terms and conditions determined by the
1848+authority payable solely from:
1849+(A) revenues generated by a project under IC 36-7-32.5;
1850+(B) net increment distributed to the Indiana economic
1851+development corporation by the department of state
1852+revenue under IC 36-7-32.5-16;
1853+(C) property tax increment distributed to the Indiana
1854+development corporation by a redevelopment commission
1855+under IC 36-7-32.5-12; or
1856+(D) any combination of the methods set forth in clauses (A)
1857+through (C);
1858+and use the proceeds of the bonds to pay the cost of projects
1859+described in IC 36-7-32.5-19; and
411860 (2) (3) perform any other functions determined by the authority to
421861 be necessary or appropriate to carry out the purposes of this
431862 section.
44-(b) The proceeds of bonds issued under subsection (a)(2) may be
45-used to pay the costs of projects:
46-(1) described in IC 36-7-32.5-19; and
47-(2) located within or directly serving the innovation
1863+SECTION 2. IC 5-28-2-1.5 IS ADDED TO THE INDIANA CODE
1864+AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE
1865+JANUARY 1, 2022 (RETROACTIVE)]: Sec. 1.5. "Applicable tax
1866+credit" means any of the following:
1867+(1) IC 6-3.1-13.
1868+(2) IC 6-3.1-19.
1869+ES 361—LS 7135/DI 120 44
1870+(3) IC 6-3.1-26.
1871+(4) IC 6-3.1-30.
1872+(5) IC 6-3.1-34.
1873+(6) IC 6-3.1-36.".
1874+Page 2, delete lines 1 through 14, begin a new paragraph and insert:
1875+"SECTION 3. IC 5-28-6-9 IS ADDED TO THE INDIANA CODE
1876+AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE
1877+JANUARY 1, 2022 (RETROACTIVE)]: Sec. 9. (a) Except as
1878+provided in subsection (b), the total amount of credits that the
1879+corporation may award for a calendar year for all taxpayers for all
1880+applicable tax credits is four hundred million dollars
1881+($400,000,000).
1882+(b) Subject to review by the budget committee, the corporation
1883+may award for a calendar year for all taxpayers an additional two
1884+hundred million dollars ($200,000,000) for all applicable tax credits
1885+in addition to those under subsection (a). However, the tax credits
1886+awarded under this subsection shall not be assigned or transferred.
1887+(c) If the corporation has not or does not expect to exhaust the
1888+limit on the award of applicable credits, the corporation may
1889+award some or all of the remaining credits to taxpayers that make
1890+contributions to the Indiana promotion fund established by
1891+IC 5-28-5-12 in accordance with the policy established by the
1892+corporation under subsection (e).
1893+(d) Credits provided to taxpayers providing contributions to the
1894+Indiana promotion fund may not be carried back or refunded.
1895+(e) The corporation shall establish a policy for the award and
1896+distribution of credits that must be approved by the board.".
1897+Page 17, between lines 31 and 32, begin a new paragraph and insert:
1898+"SECTION 19. IC 6-3.1-36 IS ADDED TO THE INDIANA CODE
1899+AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
1900+JANUARY 1, 2023]:
1901+Chapter 36. Film and Media Production Tax Credit
1902+Sec. 1. As used in this chapter, "qualified applicant" means a
1903+person, corporation, limited liability partnership, limited liability
1904+company, or other entity that is engaged in the business of making
1905+a qualified media production in Indiana.
1906+Sec. 2. As used in this chapter, "qualified media production"
1907+means:
1908+(1) a feature length film, including an independent or studio
1909+production, or a documentary;
1910+(2) a television episodic series, program, or feature;
1911+(3) a digital media production that is intended for reasonable
1912+ES 361—LS 7135/DI 120 45
1913+commercial exploitation; or
1914+(4) any other similar production as determined by the
1915+corporation;
1916+that is produced in Indiana.
1917+Sec. 3. As used in this chapter, "qualified production expenses"
1918+means expenses incurred by a qualified applicant for a qualified
1919+media production.
1920+Sec. 4. As used in this chapter, "state tax liability" means a
1921+taxpayer's total tax liability that is incurred under:
1922+(1) IC 6-3-1 through IC 6-3-7 (the adjusted gross income tax);
1923+(2) IC 6-5.5 (the financial institutions tax); and
1924+(3) IC 27-1-18-2 (the insurance premiums tax);
1925+as computed after the application of the credits that under
1926+IC 6-3.1-1-2 are to be applied before the credit provided by this
1927+chapter.
1928+Sec. 5. As used in this chapter, "taxpayer" means a qualified
1929+applicant that has any state tax liability.
1930+Sec. 6. (a) A qualified applicant may apply to the Indiana
1931+economic development corporation for a tax credit under this
1932+chapter. The corporation shall prescribe the form and contents of
1933+the application.
1934+(b) The corporation shall evaluate an applicant's eligibility for
1935+a tax credit under this chapter.
1936+(c) The corporation may certify the eligibility of a taxpayer that
1937+meets the requirements for a tax credit under this chapter.
1938+(d) If the corporation certifies a taxpayer under subsection (c),
1939+the corporation shall determine the percentage used to calculate
1940+the amount of a tax credit under section 7(2) of this chapter.
1941+Sec. 7. If the corporation certifies a taxpayer under section 6(c)
1942+of this chapter, the taxpayer is entitled to a tax credit under this
1943+chapter equal to:
1944+(1) the amount of the taxpayer's qualified production
1945+expenses; multiplied by
1946+(2) a percentage determined by the corporation.
1947+ Sec. 8. If a pass through entity is entitled to a credit under
1948+section 7 of this chapter but does not have state tax liability against
1949+which the tax credit may be applied, a shareholder, partner, or
1950+member of the pass through entity is entitled to a tax credit equal
1951+to:
1952+(1) the tax credit determined for the pass through entity for
1953+the taxable year; multiplied by
1954+(2) the percentage of the pass through entity's distributive
1955+ES 361—LS 7135/DI 120 46
1956+income to which the shareholder, partner, or member is
1957+entitled.
1958+Sec. 9. To receive the credit provided by this chapter, a taxpayer
1959+must claim the credit on the taxpayer's state tax return or returns
1960+in the manner prescribed by the department.
1961+Sec. 10. A tax credit awarded under this chapter is subject to the
1962+limitations set forth in IC 5-28-6-9.".
1963+Page 19, line 32, after "district" insert ".".
1964+Page 19, line 32, delete "and" and insert "The unit shall".
1965+Page 19, line 38, delete "Unless otherwise provided by subsection
1966+(e), before" and insert "Before".
1967+Page 19, line 41, after "committee." delete "The".
1968+Page 19, delete line 42.
1969+Page 20, delete line 1.
1970+Page 20, delete lines 14 through 39, begin a new paragraph and
1971+insert:
1972+"(f) Notwithstanding any other provision of this chapter, an
1973+innovation development district may not be established in an
1974+existing allocation area established under IC 6-1.1-39, IC 36-7-14,
1975+IC 36-7-15.1, IC 36-7-30, IC 36-7-30.5, IC 36-7-32, or any other
1976+provision that authorizes the establishment of an allocation area.".
1977+Page 27, delete lines 25 through 39, begin a new paragraph and
1978+insert:
1979+"Sec. 19. (a) The corporation, in order to accelerate the rate of
1980+economic growth in Indiana, is hereby authorized and empowered
1981+to construct, maintain, and operate, in cooperation with the federal
1982+government, or otherwise, at such locations within a designated
1983+innovation development district, projects to accelerate economic
1984+growth. The Indiana finance authority may issue bonds to pay the
1985+cost of such projects payable solely from revenue as set forth in
1986+IC 5-1.2-4-4(2).".
1987+Page 28, line 11, delete "." and insert "for each district and in total
1988+for all districts statewide.".
1989+Page 28, line 13, delete "." and insert "for each district and for all
1990+ES 361—LS 7135/DI 120 47
1991+districts statewide.".
1992+Renumber all SECTIONS consecutively.
1993+and when so amended that said bill do pass.
1994+(Reference is to SB 361 as introduced.)
1995+MISHLER, Chairperson
1996+Committee Vote: Yeas 11, Nays 1.
1997+_____
1998+SENATE MOTION
1999+Madam President: I move that Senate Bill 361 be amended to read
2000+as follows:
2001+Replace the effective dates in SECTIONS 1 through 21 with
2002+"[EFFECTIVE JULY 1, 2023]".
2003+Page 2, line 6, delete "; or" and insert "for assessments after
2004+December 31, 2023; or".
2005+Page 3, line 13, delete "2022;" and insert "2023;".
2006+Page 3, line 42, delete "2022;" and insert "2023;".
2007+Page 4, line 2, delete "2023." and insert "2024.".
2008+Page 4, line 11, delete "2023," and insert "2024,".
2009+Page 22, line 3, delete "December 31, 2022," and insert "June 30,
2010+2023,".
2011+Page 22, line 23, delete "(f)" and insert "(e)".
2012+Page 25, line 21, after "tax" insert "assessed after December 31,
2013+2023, and".
2014+Page 29, delete line 40.
2015+(Reference is to SB 361 as printed January 28, 2022.)
2016+MISHLER
2017+_____
2018+COMMITTEE REPORT
2019+Mr. Speaker: Your Committee on Ways and Means, to which was
2020+referred Senate Bill 361, has had the same under consideration and
2021+begs leave to report the same back to the House with the
2022+recommendation that said bill be amended as follows:
2023+ES 361—LS 7135/DI 120 48
2024+Delete the title and insert the following:
2025+A BILL FOR AN ACT to amend the Indiana Code concerning state
2026+offices and administration and to make an appropriation.
2027+Replace the effective dates in SECTIONS 1 through 3 with
2028+"[EFFECTIVE JULY 1, 2022]".
2029+Replace the effective dates in SECTIONS 8 through 18 with
2030+"[EFFECTIVE JULY 1, 2022]".
2031+Replace the effective date in SECTION 21 with "[EFFECTIVE
2032+JULY 1, 2022]".
2033+Page 1, line 3, after "4." insert "(a)".
2034+Page 1, line 15, after "(2)" insert "at the request of the Indiana
2035+economic development corporation established by IC 5-28-3-1, and
2036+subject to subsections (b), (c), and (d), enter into leases and".
2037+Page 1, line 17, delete "generated by a project under IC 36-7-32.5;"
2038+and insert "that are deposited in a local innovation development
2039+district fund established under IC 36-7-32.5-21;
2040+(B) revenues generated from a project under
2041+IC 36-7-32.5-21; and
2042+(C) appropriations from the general assembly; and".
2043+Page 2, delete lines 1 through 11.
2044+Page 2, between lines 14 and 15, begin a new paragraph and insert:
2045+"(b) The proceeds of bonds issued under subsection (a)(2) may
2046+be used to pay the costs of projects:
2047+(1) described in IC 36-7-32.5-21; and
2048+(2) located within or directly servicing the innovation
482049 development district in which the revenue was generated.
492050 (c) Before the authority enters into leases or issues bonds under
502051 subsection (a)(2), the proposed lease or issuance of bonds must be
512052 reviewed by the budget committee.
522053 (d) The authority may not issue more than one billion dollars
53-($1,000,000,000) of bonds under subsection (a)(2).
54-SECTION 2. IC 5-28-2-1.5 IS ADDED TO THE INDIANA CODE
55-AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
56-1, 2022]: Sec. 1.5. "Applicable tax credit" means a tax credit
57-available under any of the following:
58-(1) IC 6-3.1-13.
59-(2) IC 6-3.1-19.
60-(3) IC 6-3.1-26.
61-(4) IC 6-3.1-30.
62-(5) IC 6-3.1-34.
63-(6) IC 6-3.1-36.
64-SECTION 3. IC 5-28-6-9 IS ADDED TO THE INDIANA CODE
65-AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
66-1, 2022]: Sec. 9. (a) The aggregate amount of applicable tax credits
2054+($1,000,000,000) of bonds under subsection (a)(2).".
2055+Page 2, line 17, after "means" insert "a tax credit available under".
2056+Page 2, line 27, delete "Except as provided in subsection (b), the
2057+total" and insert "The aggregate amount of applicable tax credits
672058 that the corporation may award for a state fiscal year for all
682059 taxpayers is three hundred million dollars ($300,000,000).
692060 (b) For purposes of determining the amount of applicable tax
702061 credits that have been awarded for a state fiscal year, the following
712062 apply:
722063 (1) An applicable tax credit is considered awarded in the state
732064 fiscal year in which the taxpayer can first claim the credit,
742065 determined without regard to any carryforward period or
2066+ES 361—LS 7135/DI 120 49
752067 carryback period.
762068 (2) An applicable tax credit awarded by the corporation
772069 before July 1, 2022, shall be counted toward the aggregate
782070 credit limitation under this section.
79-SEA 361 — CC 1 3
802071 (3) If an accelerated credit is awarded under IC 6-3.1-26-15,
812072 the amount counted toward the aggregate credit limitation
822073 under this section for a state fiscal year shall be the amount of
832074 the credit for the taxable year described in subdivision (1)
842075 prior to any discount.
852076 SECTION 4. IC 6-1.1-10-50 IS ADDED TO THE INDIANA CODE
862077 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
87-1, 2022]: Sec. 50. Property designated as exempt under
88-IC 36-7-32.5-15(b) by an executive or the Indiana economic
89-development corporation is exempt from property taxation.
2078+1, 2022]: Sec. 50. Property identified under IC 36-7-32.5-17 by an
2079+innovation development district board established under
2080+IC 36-7-32.5-14 is exempt from property taxation.
902081 SECTION 5. IC 6-1.1-39-0.5, AS ADDED BY P.L.38-2021,
912082 SECTION 37, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
922083 JULY 1, 2022]: Sec. 0.5. (a) This section does not apply to a parcel that
932084 is included in more than one (1) allocation area established by:
942085 (1) an ordinance adopted under section 2 of this chapter and
952086 confirmed under section 3 of this chapter;
962087 (2) a resolution adopted under IC 8-22-3.5-5 and confirmed under
972088 IC 8-22-3.5-6;
982089 (3) a resolution establishing an allocation provision under
992090 IC 36-7-14-39 that is adopted and approved under IC 36-7-14-15,
1002091 IC 36-7-14-16, and IC 36-7-14-17;
1012092 (4) a resolution establishing an allocation provision under
1022093 IC 36-7-15.1-26 that is adopted and approved under
1032094 IC 36-7-15.1-8, IC 36-7-15.1-9, and IC 36-7-15.1-10;
1042095 (5) a resolution establishing an allocation provision under
1052096 IC 36-7-30-25 that is adopted and approved under IC 36-7-30-10,
1062097 IC 36-7-30-11, and IC 36-7-30-12;
1072098 (6) a resolution establishing an allocation provision under
1082099 IC 36-7-30.5-30 that is adopted and approved under
1092100 IC 36-7-30.5-16, IC 36-7-30.5-17, and IC 36-7-30.5-18; or
1102101 (7) a resolution designating a certified technology park as an
1112102 allocation area that is approved and adopted under IC 36-7-32-15;
1122103 on or before May 1, 2021. In addition, a new allocation area may not
1132104 be established under this chapter that includes a parcel that is located
1142105 in an allocation area described in this subsection.
1152106 (b) Except as provided in subsection (a), but notwithstanding any
1162107 other provision, for the purpose of the allocation of property taxes
1172108 under this chapter, a parcel may not be included in more than one (1)
2109+ES 361—LS 7135/DI 120 50
1182110 allocation area under this chapter or under:
1192111 (1) IC 8-22-3.5;
1202112 (2) IC 36-7-14;
1212113 (3) IC 36-7-15.1;
122-SEA 361 — CC 1 4
1232114 (4) IC 36-7-30;
1242115 (5) IC 36-7-30.5; or
1252116 (6) IC 36-7-32; or
126-(7) IC 36-7-32.5.
127-SECTION 6. IC 6-3-5-5 IS ADDED TO THE INDIANA CODE AS
128-A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 1,
129-2022]: Sec. 5. (a) If the Indiana economic development corporation
130-established by IC 5-28-3-1 enters into an agreement with a
131-taxpayer for an economic development for a growing economy tax
132-credit under IC 6-3.1-13, and the taxpayer elects to forgo claiming
133-the credit against any state tax liability for that taxable year and
134-requests the department to remit to the taxpayer an amount equal
135-to the credit for the taxable year as set forth under
136-IC 6-3.1-13-20(b), the provisions of this section shall apply.
137-(b) Before making a payment to a taxpayer under this section,
138-the taxpayer shall provide to the department:
139-(1) a copy of the taxpayer's agreement with the Indiana
140-economic development corporation;
141-(2) the credit awarded to the taxpayer for that taxable year;
142-and
143-(3) any other information required by the department.
144-(c) A payment by the department cannot exceed the actual
145-incremental income tax withholdings collected by the department
146-as a result of the employment of new employees subject to an
147-agreement entered into under IC 6-3.1-13.
148-(d) In the case of a credit awarded under IC 6-3.1-13 to a
2117+(7) IC 36-7-32.5.".
2118+Page 2, delete lines 28 through 42.
2119+Delete pages 3 through 7.
2120+Page 8, delete lines 1 through 41.
2121+Page 9, line 3, delete "IC 5-28" and insert "IC 5-28-3-1".
2122+Page 9, line 10, after "section," insert "the taxpayer shall provide
2123+to the department:".
2124+Page 9, delete line 11.
2125+Page 9, delete lines 21 through 22, begin a new paragraph and
2126+insert:
2127+"(d) In the case of a credit awarded under IC 6-3.1-13 to a
1492128 taxpayer that is a pass through entity, the:
1502129 (1) pass through entity has the authority to make the election
1512130 with regard to the credit;
1522131 (2) shareholders, partners, members, and beneficiaries of the
1532132 pass through entity may not make an election separate from
1542133 the pass through entity with regard to the credit;
1552134 (3) pass through entity is entitled to the payment allowable
1562135 under this section; and
1572136 (4) pass through entity may not pass through any portion of
1582137 the credit for which the pass through entity requests payment
1592138 as a tax credit to the shareholders, partners, members, or
1602139 beneficiaries of the pass through entity.
1612140 (e) If a payment under this section is included in the federal
1622141 adjusted gross income of an individual or the federal taxable
1632142 income of any other entity, the payment must be treated as:
1642143 (1) adjusted gross income from Indiana sources under this
165-SEA 361 — CC 1 5
1662144 article and IC 6-5.5;
1672145 (2) business income for purposes of this article; and
1682146 (3) a receipt from Indiana sources for apportionment
1692147 purposes under IC 6-3-2 and IC 6-5.5-4.
1702148 (f) For purposes of offsetting refunds and overpayments, a
1712149 payment under this section is treated as an overpayment of tax
1722150 under this article and IC 6-5.5 for purposes of IC 6-8.1-9-2,
1732151 IC 6-8.1-9.5, and IC 6-8.1-9.7.
2152+ES 361—LS 7135/DI 120 51
1742153 (g) A payment under this section is subject to IC 6-3.1-13-22 in
1752154 the same manner as if the payment had been claimed as a credit.
1762155 (h) If all or a portion of a payment under this section is
1772156 determined to have been made in error or is subject to assessment
1782157 under IC 6-3.1-13-22, the department may issue an assessment for
1792158 repayment of such amount before the later of:
1802159 (1) ten (10) years from the date of the payment; or
1812160 (2) three (3) years from the date the Indiana economic
1822161 development corporation notifies the department of the
1832162 taxpayer's noncompliance pursuant to IC 6-3.1-13-22.
1842163 (i) An assessment for repayment shall be treated as a proposed
1852164 assessment for purposes of administrative review and judicial
1862165 appeal under IC 6-8.1-5. However, review of the Indiana economic
1872166 development corporation's determination of noncompliance shall
1882167 be limited to an abuse of discretion by the Indiana economic
1892168 development corporation.
1902169 (j) For purposes of this section, an election for payment in lieu
1912170 of claiming the credit under IC 6-3.1-13 for a taxable year is not
1922171 allowed if:
1932172 (1) the taxpayer has claimed all or part of the credit for the
1942173 taxable year;
1952174 (2) in the case of a taxpayer who is a pass through entity, the
1962175 taxpayer passes through all or part of the credit as a tax
1972176 credit, regardless of whether the pass through entity
1982177 subsequently provides information to the department, the
1992178 Indiana economic development corporation, or any other
2002179 affected person or entity, that the credit should not be passed
2012180 through as a tax credit or whether the credit otherwise has
2022181 been claimed as a tax credit; or
2032182 (3) the taxpayer makes the election after the due date of the
2042183 taxpayer's return under IC 6-3, IC 6-5.5, IC 6-8-15, or
2052184 IC 27-1-18-2, determined without regard to extensions, on
2062185 which it would have claimed the credit for which the taxpayer
2072186 is requesting payment under this section.
208-SEA 361 — CC 1 6
2092187 (k) The amount needed to make a payment under this section
2102188 shall be paid from funds appropriated to the Indiana economic
2112189 development corporation for business promotion and innovation
2122190 or from the statewide innovation development district fund
213-established by IC 36-7-32.5-20. Payments made under this section
214-are subject to available funding.
215-SECTION 7. IC 6-3.1-13-17, AS AMENDED BY P.L.197-2005,
216-SECTION 6, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
217-JULY 1, 2022]: Sec. 17. (a) If the applicant proposes a project that
218-will be located at a physical location in Indiana, in determining the
219-credit amount that should be awarded to an applicant under section 15
220-of this chapter that proposes a project to create jobs in Indiana, the
221-corporation may take into consideration the following factors:
222-(1) The economy of the county where the projected investment is
223-to occur.
224-(2) The potential impact on the economy of Indiana.
225-(3) The incremental payroll attributable to the project.
226-(4) The capital investment attributable to the project.
227-(5) The amount the average wage paid by the applicant exceeds
228-the average wage paid:
229-(A) within the county in which the project will be located, in
230-the case of an application submitted before January 1, 2006; or
231-(B) in the case of an application submitted after December 31,
232-2005:
233-(i) to all employees working in the same NAICS industry
234-sector to which the applicant's business belongs in the
235-county in which the applicant's business is located, if there
236-is more than one (1) business in that NAICS industry sector
237-in the county in which the applicant's business is located;
238-(ii) to all employees working in the same NAICS industry
239-sector to which the applicant's business belongs in Indiana,
240-if the applicant's business is the only business in that NAICS
241-industry sector in the county in which the applicant's
242-business is located but there is more than one (1) business in
243-that NAICS industry sector in Indiana; or
244-(iii) to all employees working in the same county as the
245-county in which the applicant's business is located, if there
246-is no other business in Indiana in the same NAICS industry
247-sector to which the applicant's business belongs.
248-(6) The costs to Indiana and the affected political subdivisions
249-with respect to the project.
250-(7) The financial assistance and incentives that are otherwise
251-SEA 361 — CC 1 7
252-provided by Indiana and the affected political subdivisions.
253-(8) The extent to which the incremental income tax withholdings
254-attributable to the applicant's project are needed for the purposes
255-of an incremental tax financing fund or industrial development
256-fund under IC 36-7-13 or a certified technology park fund under
257-IC 36-7-32.
258-As appropriate, the corporation shall consider the factors in this section
259-subsection to determine the credit amount awarded to an applicant for
260-a project to retain existing jobs in Indiana under section 15.5 of this
261-chapter.
262-(b) Subject to the limitations of subsection (c), if an applicant
263-proposes a project that proposes to create new jobs in Indiana but
264-does not propose a physical location in Indiana, the corporation
265-may consider the following factors:
266-(1) The potential impact on the economy in Indiana.
267-(2) The incremental payroll attributable to the project.
268-(3) The amount of average wage paid by the applicant that
269-exceeds the average wage paid to all employees working in the
270-same NAICS industry sector to which the applicant's business
271-belongs in Indiana.
272-(4) The cost to Indiana with respect to the project.
273-(5) The financial assistance and incentives that are otherwise
274-provided by Indiana.
275-(6) The extent of Indiana income tax that is paid by eligible
276-employees.
277-(c) An applicant proposing a project that meets the
278-requirements of subsection (b) must propose:
279-(1) to create at least fifty (50) new full-time jobs; and
280-(2) to pay an average hourly wage of at least one hundred fifty
281-percent (150%) of the state average wage;
282-in order to be eligible to receive a credit under this chapter.
283-SECTION 8. IC 6-3.1-13-18, AS AMENDED BY P.L.86-2018,
284-SECTION 73, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
285-JULY 1, 2022]: Sec. 18. (a) The corporation shall determine the
286-amount and duration of a tax credit awarded under this chapter. The
287-duration of the credit may not exceed ten (10) twenty (20) taxable
288-years. The credit may be stated as a percentage of the incremental
289-income tax withholdings attributable to the applicant's project and may
290-include a fixed dollar limitation. In the case of a credit awarded for a
291-project to create new jobs in Indiana, the credit amount may not exceed
292-the incremental income tax withholdings. However, the credit amount
293-claimed for a taxable year may exceed the taxpayer's state tax liability
294-SEA 361 — CC 1 8
295-for the taxable year, in which case the excess may, at the discretion of
296-the corporation, be refunded to the taxpayer.
297-(b) For state fiscal year 2006 and each state fiscal year thereafter,
298-the aggregate amount of credits awarded under this chapter for projects
299-to retain existing jobs in Indiana may not exceed ten million dollars
300-($10,000,000) per year.
301-(c) (b) This subsection does not apply to a business that was
302-enrolled and participated in the E-Verify program (as defined in
303-IC 22-5-1.7-3) during the time the taxpayer conducted business in
304-Indiana in the taxable year. A credit under this chapter may not be
305-computed on any amount withheld from an individual or paid to an
306-individual for services provided in Indiana as an employee, if the
307-individual was, during the period of service, prohibited from being
308-hired as an employee under 8 U.S.C. 1324a.
309-SECTION 9. IC 6-3.1-13-20, AS AMENDED BY P.L.4-2005,
310-SECTION 78, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
311-JULY 1, 2022]: Sec. 20. (a) Except as provided in subsection (b), a
312-taxpayer claiming a credit under this chapter must claim the credit on
313-the taxpayer's annual state tax return or returns in the manner
314-prescribed by the department of state revenue. The taxpayer shall
315-submit to the department of state revenue all information that the
316-department determines necessary for the calculation of the credit
317-provided by this chapter and the determination of whether the credit
318-was properly claimed.
319-(b) Notwithstanding subsection (a), if a taxpayer is entitled to a
320-credit under this chapter, the taxpayer may, with the approval of
321-the corporation, elect to forgo claiming the credit against any state
322-tax liability and submit the credit to the department with a request
323-to receive a payment from the corporation, to be paid from funds
324-appropriated to the corporation for business promotion and
325-innovation or from the statewide innovation development district
326-fund established by IC 36-7-32.5-20, that is equal to the credit for
327-that taxable year as provided in IC 6-3-5-5.
328-SECTION 10. IC 6-3.1-24-8, AS AMENDED BY P.L.165-2021,
2191+established by IC 36-7-32.5-22. Payments made under this section
2192+are subject to available funding.".
2193+Page 12, line 3, delete "department" and insert "corporation, to be
2194+paid from funds appropriated to the corporation for business
2195+ES 361—LS 7135/DI 120 52
2196+promotion and innovation or from the statewide innovation
2197+development district fund established by IC 36-7-32.5-22, that is".
2198+Page 12, between lines 4 and 5, begin a new paragraph and insert:
2199+"SECTION 14. IC 6-3.1-24-8, AS AMENDED BY P.L.165-2021,
3292200 SECTION 81, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
3302201 JANUARY 1, 2023]: Sec. 8. (a) A certification provided under section
3312202 7 of this chapter must include notice to the investors of the maximum
3322203 amount of tax credits available under this chapter for the provision of
3332204 qualified investment capital to the qualified Indiana business.
3342205 (b) For a calendar year ending before January 1, 2011, the maximum
3352206 amount of tax credits available under this chapter for the provision of
3362207 qualified investment capital to a particular qualified Indiana business
337-SEA 361 — CC 1 9
3382208 equals the lesser of:
3392209 (1) the total amount of qualified investment capital provided to
3402210 the qualified Indiana business in the calendar year, multiplied by
3412211 twenty percent (20%); or
3422212 (2) five hundred thousand dollars ($500,000).
3432213 (c) For a calendar year beginning after December 31, 2010, and
3442214 ending before January 1, 2022, the maximum amount of tax credits
3452215 available under this chapter for the provision of qualified investment
3462216 capital to a particular qualified Indiana business equals the lesser of the
3472217 following:
3482218 (1) The total amount of qualified investment capital provided to
3492219 the qualified Indiana business in the calendar year, multiplied by
3502220 twenty percent (20%).
3512221 (2) One million dollars ($1,000,000).
3522222 (d) For a calendar year beginning after December 31, 2021, the
3532223 maximum amount of tax credits available under this chapter for the
3542224 provision of qualified investment capital to a particular qualified
3552225 Indiana business equals the lesser of the following:
3562226 (1) The total amount of qualified investment capital provided to
3572227 the qualified Indiana business in the calendar year, multiplied by
3582228 twenty-five percent (25%).
3592229 (2) One million dollars ($1,000,000).
3602230 (e) Notwithstanding subsection (d), for a calendar year beginning
3612231 after December 31, 2021, the maximum amount of tax credits available
3622232 under this chapter for the provision of qualified investment capital to
3632233 a particular qualified Indiana business, if the qualified Indiana business
3642234 is a minority business enterprise, or a women's business enterprise, or
3652235 a veteran owned business equals the lesser of the following:
3662236 (1) The total amount of qualified investment capital provided to
3672237 the qualified Indiana business in the calendar year, multiplied by
2238+ES 361—LS 7135/DI 120 53
3682239 thirty percent (30%).
369-(2) One million five hundred thousand dollars ($1,500,000).
370-SECTION 11. IC 6-3.1-26-20, AS AMENDED BY P.L.158-2019,
371-SECTION 19, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
372-JULY 1, 2022]: Sec. 20. (a) The corporation shall certify the amount
373-of the qualified investment that is eligible for a credit under this
374-chapter. In determining the credit amount that should be awarded, the
375-corporation shall grant a credit only for the amount of the qualified
376-investment that is directly related to:
377-(1) expanding the workforce in Indiana; or
378-(2) substantially enhancing the logistics industry and or
379-improving the overall Indiana economy.
380-SEA 361 — CC 1 10
381-(b) The total amount of credits that the corporation may approve
382-under this chapter for a state fiscal year for all taxpayers for all
383-qualified investments is:
384-(1) fifty million dollars ($50,000,000) for credits based on a
385-qualified investment that is not being claimed as a logistics
386-investment; and
387-(2) five million dollars ($5,000,000) for credits based on a
388-qualified investment that is being claimed as a logistics
389-investment.
390-For purposes of applying the limit under this subsection, a tax credit
391-that is accelerated under section 15(d) or 16(d) of this chapter shall be
392-valued at the amount of the tax credit before the tax credit is
393-discounted.
394-(c) (b) A person that desires to claim a tax credit for a qualified
395-investment shall file with the department, in the form that the
396-department may prescribe, an application:
397-(1) stating separately the amount of the credit awards for qualified
398-investments that have been granted to the taxpayer by the
399-corporation that will be claimed as a credit; that is covered by:
400-(A) subsection (b)(1); and
401-(B) subsection (b)(2);
402-(2) stating separately the amount sought to be claimed as a credit;
403-that is covered by:
404-(A) subsection (b)(1); and
405-(B) subsection (b)(2); and
406-(3) identifying whether the credit will be claimed during the state
407-fiscal year in which the application is filed or the immediately
408-succeeding state fiscal year.
409-(d) (c) The department shall separately record the time of filing of
410-each application for a credit award for a qualified investment covered
411-by subsection (b)(1) and for a qualified investment covered by
412-subsection (b)(2) and shall, except as provided in subsection (e), (d),
413-approve the credit to the taxpayer in the chronological order in which
414-the application is filed in the state fiscal year. The department shall
415-promptly notify an applicant whether, or the extent to which, the tax
416-credit is allowable in the state fiscal year proposed by the taxpayer.
417-(e) (d) If the total credit awards for qualified investments, that are
418-covered by:
419-(1) subsection (b)(1); and
420-(2) subsection (b)(2);
421-including carryover credit awards covered by each subsection for a
422-previous state fiscal year, equal the maximum amount allowable in the
423-SEA 361 — CC 1 11
424-state fiscal year, an application for such a credit award that is filed later
425-for that same state fiscal year may not be granted by the department.
426-However, if an applicant for which a credit has been awarded and
427-applied for with the department fails to claim the credit, an amount
428-equal to the credit previously applied for but not claimed may be
429-allowed to the next eligible applicant or applicants until the total
430-amount has been allowed.
431-SECTION 12. IC 6-3.1-30-8, AS AMENDED BY P.L.158-2019,
432-SECTION 23, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
433-JULY 1, 2022]: Sec. 8. (a) Subject to entering into an agreement with
434-the corporation under sections 14 and 15 of this chapter, if the
435-corporation certifies that a taxpayer:
436-(1) is an eligible business;
437-(2) completes a qualifying project; and
438-(3) incurs relocation costs; and
439-(4) employs:
440-(A) at least seventy-five (75) employees in Indiana, in the case
441-of a taxpayer that qualifies as an eligible business under
442-section 2(1) of this chapter; or
443-(B) at least ten (10) employees in Indiana, in the case of a
444-taxpayer that qualifies as an eligible business under section
445-2(2) of this chapter;
446-the taxpayer is entitled to a credit against the taxpayer's state tax
447-liability for the taxable year in which the relocation costs are incurred.
448-subject to subsection (c). The credit allowed under this section is equal
449-to the amount determined under section 9 of this chapter.
450-(b) For purposes of establishing the employment level required by
451-subsection (a)(4), a taxpayer may include:
452-(1) individuals who:
453-(A) were employed in Indiana by the taxpayer before the
454-taxpayer commenced a qualifying project; and
455-(B) remain employed in Indiana after the completion of the
456-taxpayer's qualifying project; and
457-(2) individuals who:
458-(A) were not employed in Indiana by the taxpayer before the
459-taxpayer commenced a qualifying project; and
460-(B) are employed in Indiana by the taxpayer as a result of the
461-completion of the taxpayer's qualifying project.
462-(c) The total amount of credits that may be approved by the
463-corporation for all eligible businesses described in section 2(2) of this
464-chapter may not exceed five million dollars ($5,000,000) in a state
465-fiscal year.
466-SEA 361 — CC 1 12
467-SECTION 13. IC 6-3.1-34-6, AS AMENDED BY P.L.154-2020,
468-SECTION 22, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
469-JULY 1, 2022]: Sec. 6. As used in this chapter, "qualified
470-redevelopment site" means a vacant or underutilized property in
471-Indiana as determined by the corporation.
472-(1) land on which a vacant building or complex of buildings was
473-placed in service at least fifteen (15) years before the date on
474-which the application is filed with the corporation under this
475-chapter;
476-(2) land on which a vacant building or complex of buildings:
477-(A) was placed in service at least fifteen (15) years before the
478-date on which the demolition of the vacant building or
479-complex of buildings was completed; and
480-(B) that was demolished in an effort to protect the health,
481-safety, and welfare of the community;
482-(3) land on which a vacant building or complex of buildings:
483-(A) was placed in service at least fifteen (15) years before the
484-date on which the demolition of the vacant building or
485-complex of buildings was completed;
486-(B) was placed in service as a public building;
487-(C) was owned by a unit of local government; and
488-(D) has not been redeveloped since the building was taken out
489-of service as a public building;
490-(4) vacant land;
491-(5) mine reclamation site; or
492-(6) brownfields consisting of more than fifty (50) acres.
493-For a complex of buildings to be considered a qualified redevelopment
494-site under subdivision (1), (2) or (3), the buildings must have been
495-located on a single parcel or contiguous parcels of land that were under
496-common ownership at the time the site was placed in service.
497-SECTION 14. IC 6-3.1-34-8, AS ADDED BY P.L.158-2019,
498-SECTION 29, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
499-JULY 1, 2022]: Sec. 8. As used in this chapter, "rehabilitation" means
500-the betterment of real property including remodeling or repair. in any
501-way.
502-SECTION 15. IC 6-3.1-34-16, AS ADDED BY P.L.158-2019,
503-SECTION 29, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
504-JULY 1, 2022]: Sec. 16. (a) The corporation shall consider the
505-following factors in deciding whether to award a credit under this
506-chapter for a proposed qualified investment:
507-(1) Evidence that the project aligns with the community's
508-development plans.
509-SEA 361 — CC 1 13
510-(2) The economic development potential for the project for which
511-the taxpayer proposes to make the qualified investment.
512-(3) Evidence of barriers preventing the development or
513-redevelopment of the qualified redevelopment site in which the
514-qualified investment is made, such as significant environmental
515-contamination requiring remediation.
516-(4) The level of commitment by the public sector and local
517-government to assist in the financing of improvements or
518-redevelopment activities benefiting the qualified redevelopment
519-site in which the qualified investment is made.
520-(5) Evidence of support by residents, businesses, and private
521-organizations in the surrounding community for the project for
522-which the taxpayer proposes to make the qualified investment.
523-(6) The level of economic distress in the surrounding community
524-and the extent to which the project for which the taxpayer
525-proposes to make the qualified investment mitigates the economic
526-distress.
527-(7) The extent to which the project is estimated to enhance the
528-economic opportunity, health, safety, aesthetics, or amenities of
529-the community in a manner that:
530-(A) improves quality of life factors for residents of the region;
531-and
532-(B) increases the ability of the region to attract and retain a
533-talented workforce.
534-(8) Any other factors as determined by the corporation.
535-(b) The corporation shall not approve an application to receive a tax
536-credit under this chapter for a qualified investment made in a qualified
537-redevelopment site described in section 6(2) of this chapter unless the
538-applicant can provide evidence that the local unit having jurisdiction
539-over the property made a determination that the qualified
540-redevelopment site was unsafe (as defined in IC 36-7-9-4), and the
541-local unit took appropriate steps to remedy the unsafe conditions at the
542-qualified redevelopment site, which led to its demolition.
543-SECTION 16. IC 6-3.1-34-17, AS AMENDED BY P.L.154-2020,
544-SECTION 27, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
545-JULY 1, 2022]: Sec. 17. (a) The following apply if the corporation
546-determines that a credit should be awarded under this chapter:
547-(1) The corporation shall require the taxpayer to enter into an
548-agreement with the corporation as a condition of receiving a
549-credit under this chapter.
550-(2) The agreement with the corporation must:
551-(A) prescribe the method of certifying the taxpayer's qualified
552-SEA 361 — CC 1 14
553-investment; and
554-(B) include provisions that authorize the corporation to work
555-with the department and the taxpayer, if the corporation
556-determines that the taxpayer is noncompliant with the terms of
557-the agreement or the provisions of this chapter, to bring the
558-taxpayer into compliance or to protect the interests of the state.
559-(3) The corporation shall specify the taxpayer's expenditures that
560-will be considered a qualified investment.
561-(4) The corporation shall determine the applicable credit
562-percentage under subsections (b) and (c).
563-(b) If the corporation determines that a credit should be awarded
564-under this chapter, the corporation shall determine the applicable credit
565-percentage for a qualified investment certified by the corporation.
566-However, and except as provided in subsection (c), the applicable
567-credit percentage may not exceed the following: thirty percent (30%).
568-(1) If the qualified redevelopment site was placed in service at
569-least fifteen (15) years ago but less than thirty (30) years ago, or
570-is vacant land or a brownfield described in section 6(6) of this
571-chapter:
572-(A) fifteen percent (15%), if the qualified redevelopment site
573-is part of a development plan of a regional development
574-authority established under IC 36-7.5-2-1 or IC 36-7.6-2-3; or
575-(B) ten percent (10%), if the qualified redevelopment site is
576-not part of a development plan of a regional development
577-authority described under clause (A).
578-(2) If the qualified redevelopment site was placed in service at
579-least thirty (30) years ago but less than forty (40) years ago:
580-(A) twenty percent (20%), if the qualified redevelopment site
581-is part of a development plan of a regional development
582-authority established under IC 36-7.5-2-1 or IC 36-7.6-2-3; or
583-(B) ten percent (10%), if the qualified redevelopment site is
584-not part of a development plan of a regional development
585-authority described under clause (A).
586-(3) If the qualified redevelopment site was placed in service at
587-least forty (40) years ago:
588-(A) twenty-five percent (25%), if the qualified redevelopment
589-site is part of a development plan of a regional development
590-authority established under IC 36-7.5-2-1 or IC 36-7.6-2-3; or
591-(B) fifteen percent (15%), if the qualified redevelopment site
592-is not part of a development plan of a regional development
593-authority described under clause (A).
594-(c) The corporation may increase the credit amount by not more
595-SEA 361 — CC 1 15
596-than an additional five percent (5%) if:
597-(1) the qualified redevelopment site is located in a federally
598-designated qualified opportunity zone (Section 1400Z-1 and
599-1400Z-2 of the Internal Revenue Code); or
600-(2) the project qualifies for federal new markets tax credits under
601-Section 45D of the Internal Revenue Code.
602-(d) To be eligible for the credit for a qualified investment, a
603-taxpayer's expenditures that are considered a qualified investment must
604-be certified by the corporation not later than two (2) taxable years after
605-the end of the calendar year in which the taxpayer's expenditures are
606-made.
607-SECTION 17. IC 6-3.1-34-18, AS ADDED BY P.L.158-2019,
608-SECTION 29, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
609-JULY 1, 2022]: Sec. 18. (a) Subject to subsection (e), Except as
610-provided in subsection (b), if the corporation awards a tax credit to
611-a taxpayer under this chapter that exceeds twenty million dollars
612-($20,000,000), the corporation shall include in an agreement
613-entered into under section 17 of this chapter a provision that
614-requires the taxpayer to repay to the corporation the portion of the
615-credit that exceeds twenty million dollars ($20,000,000) with
616-interest. may, as part of an agreement entered into under section 17 of
617-this chapter:
618-(1) require a taxpayer to repay all or part of a credit awarded
619-under this chapter over a period of years; and
620-(2) limit the maximum amount of a credit awarded to a taxpayer
621-under this chapter that may be claimed during a taxable year.
622-(b) The corporation may elect to enter into an agreement with a
623-local unit that has jurisdiction over the real property that is subject to
624-the proposed qualified investment, through which such agreement the
625-local unit commits local revenue generated by the project to the
626-corporation rather than the corporation including a repayment provision
627-in an agreement with a taxpayer under subsection (a)(1). The total
628-amount of revenue committed under an agreement entered into under
629-this subsection may not exceed the credit repayment amount
630-determined under subsection (a)(1). Any amounts received under an
631-agreement entered into under this subsection shall be deposited in the
632-state general fund.
633-(c) Notwithstanding subsections (a) and (b), if the corporation
634-awards a tax credit to a taxpayer under this chapter that exceeds seven
635-million dollars ($7,000,000), the corporation shall include in an
636-agreement entered into under section 17 of this chapter a provision that
637-requires the taxpayer to repay the portion of the credit that exceeds
638-SEA 361 — CC 1 16
639-seven million dollars ($7,000,000).
640-(b) Notwithstanding subsection (a), the corporation may exclude
641-from its agreement entered into under section 17 of this chapter a
642-repayment provision for any portion of the credit if the award is
643-for a qualified redevelopment site subject to a proposal that will
644-result in a qualified investment of at least one hundred million
645-dollars ($100,000,000).
646-(d) (c) If the corporation enters into an agreement with a taxpayer
647-under section 17 of this chapter that includes a repayment provision
648-under subsection (a)(1) or (c), (a), the corporation shall include in the
649-repayment provision a provision establishing the interest rate that will
650-be applied. The interest rate shall be determined by the board and
651-approved by the budget agency.
652-(e) (d) This subsection applies to an active multi-phased project
653-occurring on a defined footprint for which the taxpayer has received
654-approval for at least the first phase of the active multi-phased project
655-from the corporation's board before July 1, 2018, for a tax credit under
656-IC 6-3.1-11 (industrial recovery tax credit) before its expiration. The
657-following apply to a project described in this subsection:
658-(1) Only qualified investments that are made after June 30, 2021,
659-are eligible for a credit award under this chapter.
660-(2) The annual amount of credits awarded under this chapter for
661-the project may not exceed five million dollars ($5,000,000).
662-(3) The corporation may not include a repayment provision as part
663-of an agreement entered into under section 17 of this chapter for
664-the credits awarded for the project.
665-SECTION 18. IC 6-3.1-34-22 IS REPEALED [EFFECTIVE JULY
666-1, 2022]. Sec. 22. (a) Except as provided in subsection (b), the total
667-amount of credits that the corporation may award under this chapter for
668-a state fiscal year for all taxpayers for all qualified investments is fifty
669-million dollars ($50,000,000). The portion of the credits that is subject
670-to a repayment provision under section 18(b) or 18(c) of this chapter is
671-not included in the calculation of the annual limit.
672-(b) If the corporation determines that a credit should be awarded
673-under this chapter for a taxpayer's qualified investment but the award:
674-(1) will result in the corporation's cumulative credit awards under
675-this chapter for a state fiscal year for all taxpayers for all qualified
676-investments to exceed the limit established by subsection (a); or
677-(2) should not be considered when calculating the corporation's
678-cumulative credit awards under this chapter for a state fiscal year
679-for all taxpayers for all qualified investments;
680-the corporation may, after review by the budget committee, enter into
681-SEA 361 — CC 1 17
682-an agreement with the taxpayer under section 17 of this chapter.
683-SECTION 19. IC 6-3.1-36 IS ADDED TO THE INDIANA CODE
684-AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
685-JULY 1, 2022]:
686-Chapter 36. Film and Media Production Tax Credit
687-Sec. 1. As used in this chapter, "corporation" refers to the
2240+(2) One million five hundred thousand dollars ($1,500,000).".
2241+Page 12, strike lines 24 through 27.
2242+Page 16, line 30, delete "If" and insert "Except as provided in
2243+subsection (b), if".
2244+Page 17, line 27, reset in roman "board and".
2245+Page 17, line 28, reset in roman "approved by the budget agency.".
2246+Page 17, line 28, delete "corporation at its discretion.".
2247+Page 18, between lines 20 and 21, begin a new paragraph and insert:
2248+"Sec. 1. As used in this chapter, "corporation" refers to the
6882249 Indiana economic development corporation established by
689-IC 5-28-3-1.
690-Sec. 2. As used in this chapter, "qualified applicant" means a
691-person, corporation, limited liability partnership, limited liability
692-company, or other entity that is engaged in the business of making
693-a qualified media production in Indiana.
694-Sec. 3. As used in this chapter, "qualified media production"
695-means:
696-(1) a feature length film, including an independent or studio
697-production, or a documentary;
698-(2) a television episodic series, program, or feature;
699-(3) a music production;
700-(4) a digital media production that is intended for reasonable
701-commercial exploitation; or
702-(5) any other similar production as determined by the
703-corporation;
704-that is produced in Indiana.
705-Sec. 4. As used in this chapter, "qualified production expenses"
706-means expenses incurred by a qualified applicant for a qualified
707-media production.
708-Sec. 5. As used in this chapter, "state tax liability" means a
709-taxpayer's total tax liability that is incurred under:
710-(1) IC 6-3-1 through IC 6-3-7 (the adjusted gross income tax);
711-and
712-(2) IC 6-5.5 (the financial institutions tax);
713-as computed after the application of the credits that under
714-IC 6-3.1-1-2 are to be applied before the credit provided by this
715-chapter.
716-Sec. 6. As used in this chapter, "taxpayer" means a qualified
717-applicant that has any state tax liability.
718-Sec. 7. (a) A qualified applicant may apply to the corporation
719-for a tax credit under this chapter. The corporation shall prescribe
720-the form and contents of the application.
721-(b) The corporation shall evaluate an applicant's eligibility for
722-a tax credit under this chapter.
723-(c) The corporation may certify the eligibility of a taxpayer that
724-SEA 361 — CC 1 18
725-meets the requirements for a tax credit under this chapter.
726-(d) If the corporation certifies a taxpayer under subsection (c),
727-the corporation shall determine the percentage used to calculate
728-the amount of a tax credit under section 8(2) of this chapter.
729-Sec. 8. If the corporation certifies a taxpayer under section 7(c)
730-of this chapter, the taxpayer is entitled to a tax credit under this
731-chapter equal to:
732-(1) the amount of the taxpayer's qualified production
733-expenses; multiplied by
734-(2) a percentage determined by the corporation, not to exceed
735-thirty percent (30%).
736- Sec. 9. If a pass through entity is entitled to a credit under
737-section 8 of this chapter but does not have state tax liability against
738-which the tax credit may be applied, a shareholder, partner,
739-member, or beneficiary of the pass through entity is entitled to a
740-tax credit equal to:
741-(1) the tax credit determined for the pass through entity for
742-the taxable year; multiplied by
743-(2) the percentage of the pass through entity's distributive
744-income to which the shareholder, partner, member, or
745-beneficiary is entitled.
746-Sec. 10. To receive the credit provided by this chapter, a
747-taxpayer must claim the credit on the taxpayer's state tax return
748-or returns in the manner prescribed by the department.
749-Sec. 11. (a) The amount of the credit provided by this chapter
2250+IC 5-28-3-1.".
2251+Page 18, line 21, delete "1." and insert "2.".
2252+Page 18, line 25, delete "2." and insert "3.".
2253+Page 18, line 35, delete "3." and insert "4.".
2254+Page 18, line 38, delete "4." and insert "5.".
2255+Page 18, line 40, after "tax);" insert "and".
2256+Page 18, line 41, delete "and".
2257+Page 18, delete line 42.
2258+Page 19, line 4, delete "5." and insert "6.".
2259+Page 19, line 6, delete "6." and insert "7.".
2260+Page 19, line 6, delete "Indiana".
2261+Page 19, line 7, delete "economic development".
2262+Page 19, line 16, delete "7(2)" and insert "8(2)".
2263+Page 19, line 17, delete "7." and insert "8.".
2264+Page 19, line 17, delete "6(c)" and insert "7(c)".
2265+Page 19, line 22, delete "corporation." and insert "corporation, not
2266+to exceed thirty percent (30%).".
2267+Page 19, line 23, delete "8." and insert "9.".
2268+Page 19, line 24, delete "7" and insert "8".
2269+Page 19, line 25, delete "or".
2270+Page 19, line 26, delete "member" and insert "member, or
2271+beneficiary".
2272+Page 19, line 31, delete "or member" and insert "member, or
2273+beneficiary".
2274+Page 19, line 33, delete "9." and insert "10.".
2275+Page 19, between lines 35 and 36, begin a new paragraph and insert:
2276+"Sec. 11. (a) The amount of the credit provided by this chapter
7502277 that a taxpayer uses during a particular taxable year may not
7512278 exceed the state tax liability of the taxpayer.
7522279 (b) If the credit provided by this chapter exceeds the taxpayer's
7532280 state tax liability for the first taxable year containing the taxable
2281+ES 361—LS 7135/DI 120 54
7542282 year for which the corporation awards the credit, then the excess
7552283 may be carried over to succeeding taxable years and used as a
7562284 credit against the state tax liability of the taxpayer during those
7572285 taxable years.
7582286 (c) Each time that the credit is carried over to a succeeding
7592287 taxable year, it is to be reduced by the amount that was used as a
7602288 credit during the immediately preceding taxable year. The credit
7612289 provided by this chapter may be carried forward and applied to
7622290 succeeding taxable years for nine (9) taxable years following the
7632291 first taxable year containing the taxable year for which the
7642292 corporation awards the credit.
7652293 (d) If a taxpayer fails to claim a credit under this chapter for a
7662294 year in which the taxpayer is otherwise permitted to claim the
767-SEA 361 — CC 1 19
7682295 credit, the credit will be considered to be used for purposes of
7692296 subsection (c).
770-Sec. 12. A tax credit awarded under this chapter is subject to the
771-limitations set forth in IC 5-28-6-9.
772-Sec. 13. This chapter expires July 1, 2027.
773-SECTION 20. IC 8-14-15.1-7, AS ADDED BY P.L.217-2017,
2297+(e) If a taxpayer claims a credit under this chapter, the
2298+department and the department of insurance may disclose
2299+information necessary to verify that amounts in excess of the credit
2300+allowable under this chapter have not been claimed.".
2301+Page 19, line 36, delete "10." and insert "12.".
2302+Page 19, delete lines 38 through 41, begin a new paragraph and
2303+insert:
2304+"Sec. 13. This chapter expires July 1, 2027.
2305+SECTION 19. IC 8-14-15.1-7, AS ADDED BY P.L.217-2017,
7742306 SECTION 69, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
7752307 JULY 1, 2022]: Sec. 7. (a) The next level Indiana fund investment
7762308 board is established. The board consists of the following members:
7772309 (1) The secretary of commerce or the secretary's designee, who
7782310 shall serve as the chairperson of the board.
7792311 (2) The director of the office of management and budget or the
7802312 director's designee.
7812313 (3) Two (2) individuals appointed by the governor who have
7822314 experience and knowledge in investments.
7832315 (4) The treasurer of state or the treasurer's designee.
7842316 (5) One (1) individual appointed by the speaker of the house
7852317 of representatives who has experience and knowledge in
7862318 venture capital investments.
7872319 (6) One (1) individual appointed by the president pro tempore
7882320 of the senate who has experience and knowledge in venture
7892321 capital investments.
7902322 (b) The board shall serve as trustee of the trust and direct the
7912323 investment of the trust.
2324+ES 361—LS 7135/DI 120 55
7922325 (c) The board shall adopt an investment policy in conformance with
7932326 section 8 of this chapter.
7942327 (d) The board shall hold regular meetings at least quarterly. The
7952328 board may hold special meetings at the call of the treasurer of state or
7962329 with a written request signed by at least two (2) members of the board.
7972330 (e) The board may hold its meetings at offices in Indiana that the
7982331 chairperson or the requesting members designate. All meetings must
7992332 be open to the public in accordance with IC 5-14-1.5. The board shall
8002333 keep a record of its proceedings.
8012334 (f) Three (3) Five (5) members of the board constitute a quorum for
8022335 the transaction of business of the board. Each member of the board is
8032336 entitled to one (1) vote. A vote of at least three (3) five (5) members of
8042337 the board present is required for the board to adopt a resolution or take
8052338 other action at a regular or special meeting.
806-SECTION 21. IC 8-22-3.5-1.5, AS ADDED BY P.L.38-2021,
2339+SECTION 20. IC 8-22-3.5-1.5, AS ADDED BY P.L.38-2021,
8072340 SECTION 54, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
8082341 JULY 1, 2022]: Sec. 1.5. (a) This section does not apply to a parcel that
8092342 is included in more than one (1) allocation area established by:
810-SEA 361 — CC 1 20
8112343 (1) an ordinance adopted under section 5 of this chapter and
8122344 confirmed under section 6 of this chapter;
8132345 (2) a resolution adopted under IC 6-1.1-39-2 and confirmed under
8142346 IC 6-1.1-39-3;
8152347 (3) a resolution establishing an allocation provision under
8162348 IC 36-7-14-39 that is adopted and approved under IC 36-7-14-15,
8172349 IC 36-7-14-16, and IC 36-7-14-17;
8182350 (4) a resolution establishing an allocation provision under
8192351 IC 36-7-15.1-26 that is adopted and approved under
8202352 IC 36-7-15.1-8, IC 36-7-15.1-9, and IC 36-7-15.1-10;
8212353 (5) a resolution establishing an allocation provision under
8222354 IC 36-7-30-25 that is adopted and approved under IC 36-7-30-10,
8232355 IC 36-7-30-11, and IC 36-7-30-12;
8242356 (6) a resolution establishing an allocation provision under
8252357 IC 36-7-30.5-30 that is adopted and approved under
8262358 IC 36-7-30.5-16, IC 36-7-30.5-17, and IC 36-7-30.5-18; or
8272359 (7) a resolution designating a certified technology park as an
8282360 allocation area that is approved and adopted under IC 36-7-32-15;
8292361 on or before May 1, 2021. In addition, a new allocation area may not
8302362 be established under this chapter that includes a parcel that is located
8312363 in an allocation area described in this subsection.
8322364 (b) Except as provided in subsection (a), but notwithstanding any
8332365 other provision, for the purpose of the allocation of property taxes
8342366 under this chapter, a parcel may not be included in more than one (1)
2367+ES 361—LS 7135/DI 120 56
8352368 allocation area established under this chapter or under:
8362369 (1) IC 6-1.1-39;
8372370 (2) IC 36-7-14;
8382371 (3) IC 36-7-15.1;
8392372 (4) IC 36-7-30;
8402373 (5) IC 36-7-30.5; or
8412374 (6) IC 36-7-32; or
8422375 (7) IC 36-7-32.5.
843-SECTION 22. IC 36-1-29.5 IS ADDED TO THE INDIANA CODE
2376+SECTION 21. IC 36-1-29.5 IS ADDED TO THE INDIANA CODE
8442377 AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
8452378 JULY 1, 2022]:
8462379 Chapter 29.5. Workforce Retention and Recruitment Program
8472380 and Fund
8482381 Sec. 1. As used in this chapter, "fund" means a workforce
8492382 retention and recruitment fund established by the fiscal officer of
8502383 a unit under section 9 of this chapter.
8512384 Sec. 2. As used in this chapter, "incentive agreement" means an
8522385 agreement described in section 8(b) of this chapter.
853-SEA 361 — CC 1 21
8542386 Sec. 3. As used in this chapter, "program" means a workforce
8552387 retention and recruitment program established by the executive of
8562388 a unit under section 8(a) of this chapter.
8572389 Sec. 4. As used in this chapter, "qualified nonprofit
8582390 organization" means a private, nonprofit entity formed as a
8592391 partnership between one (1) or more units, private sector
8602392 businesses, or community or philanthropic organizations to
8612393 develop and implement a workforce retention and recruitment
8622394 strategy that has an organizational structure that conforms with
8632395 the requirements of a policy developed by the workforce fund
8642396 managers under section 10 of this chapter.
8652397 Sec. 5. As used in this chapter, "qualified worker" means an
8662398 individual described in section 11 of this chapter.
8672399 Sec. 6. As used in this chapter, "unit" means a county, city, or
8682400 town.
8692401 Sec. 7. As used in this chapter, "workforce fund managers"
8702402 means a workforce fund board of managers established by the
8712403 executive of a unit under section 10 of this chapter.
8722404 Sec. 8. (a) The executive of a unit may by resolution or executive
8732405 order establish a workforce retention and recruitment program for
8742406 the purposes of recruiting and retaining individuals who will
8752407 satisfy the current and future workforce needs of the unit's
8762408 employers or provide substantial economic impact to the unit,
8772409 including providing incentives in the form of grants or loans to
2410+ES 361—LS 7135/DI 120 57
8782411 qualified workers.
8792412 (b) A program must require each qualified worker who receives
8802413 a grant or loan from the fund to enter into an incentive agreement
8812414 with the workforce fund managers. An incentive agreement must
8822415 include the following terms:
8832416 (1) The duration of time each qualified worker agrees to
8842417 reside within the unit following the date specified in the
8852418 agreement.
8862419 (2) A penalty clause if a qualified worker fails to fulfill the
8872420 terms of the agreement.
8882421 However, the workforce fund managers may waive a penalty under
8892422 subdivision (2) regarding any part of a grant or loan that the
8902423 qualified worker may have received and that is due under the
8912424 incentive agreement.
8922425 Sec. 9. (a) If the executive of a unit establishes a program under
8932426 section 8 of this chapter, the fiscal officer of the unit shall establish
8942427 a workforce retention and recruitment fund for the purposes of the
8952428 program.
896-SEA 361 — CC 1 22
8972429 (b) The fund shall consist of the following:
8982430 (1) Any private grants or contributions.
8992431 (2) Appropriations to the fund included in the unit's budget.
9002432 (3) Transfers of money to the fund under section 12 of this
9012433 chapter.
9022434 (4) Any repayments to the fund under section 8(b) of this
9032435 chapter.
9042436 (c) The executive of the unit shall administer the fund in
9052437 coordination with a workforce fund board of managers established
9062438 under section 10 of this chapter, including any qualified nonprofit
9072439 organization established by the workforce fund managers under
9082440 that section.
9092441 (d) Any money remaining in a fund at the end of the calendar
9102442 year does not revert to the unit's general fund.
9112443 Sec. 10. (a) The executive of a unit that establishes a program
9122444 under section 8 of this chapter shall appoint a five (5) member
9132445 workforce fund board of managers. The duties of the workforce
9142446 fund managers shall include:
9152447 (1) adopting rules and bylaws they consider necessary for the
9162448 proper conduct of their proceedings, the carrying out of other
9172449 duties, and the safeguarding of the money or property placed
9182450 in their custody;
9192451 (2) by resolution or in accordance with their rules and bylaws,
9202452 prescribing the date and manner of notice of their regular
2453+ES 361—LS 7135/DI 120 58
9212454 meetings;
9222455 (3) identifying the most appropriate and fiscally responsible
9232456 incentives that will attract or retain individuals or families
9242457 who will satisfy the current and future workforce needs of the
9252458 unit's employers or provide substantial economic impact to
9262459 the unit;
9272460 (4) developing and implementing marketing strategies to
9282461 recruit or retain these individuals or families;
9292462 (5) identifying and recruiting applicants who may receive
9302463 incentives from the fund;
9312464 (6) establishing an application process for individuals and
9322465 families;
9332466 (7) evaluating applicants; and
9342467 (8) offering incentives to qualified applicants.
9352468 (b) Three (3) of the workforce fund managers constitute a
9362469 quorum and the concurrence of three (3) of the workforce fund
9372470 managers is necessary to authorize any action.
9382471 (c) The workforce fund managers may establish a qualified
939-SEA 361 — CC 1 23
9402472 nonprofit organization for purposes of carrying out a program and
9412473 the purposes of a fund under this chapter.
9422474 Sec. 11. To qualify for a grant or loan from a fund, an individual
9432475 must be:
9442476 (1) a graduate of an Indiana college or university who:
9452477 (A) was a resident of another state before enrolling at the
9462478 Indiana college or university;
9472479 (B) relocates to a location within the unit; and
9482480 (C) accepts and commences employment with an employer
9492481 located within the unit under the terms of an incentive
9502482 agreement;
9512483 (2) an out-of-state resident who relocates to a location within
9522484 the unit in order to accept and commence employment with
9532485 an employer located within the unit under the terms of an
9542486 incentive agreement; or
9552487 (3) an out-of-state resident who relocates to a location within
9562488 the unit and works remotely for an employer, regardless of
9572489 the employer's domicile.
9582490 Sec. 12. (a) The fiscal body of a unit may transfer or deposit the
9592491 following into a fund:
9602492 (1) Any private grants or contributions.
9612493 (2) Appropriations to the fund included in the unit's budget.
9622494 (3) Except for money in a fund with a restricted purpose, but
9632495 otherwise notwithstanding any use of funds prohibition as
2496+ES 361—LS 7135/DI 120 59
9642497 long as the transfer or deposit is authorized by the relevant
9652498 statutory procedure:
9662499 (A) any surplus, unexpended, unappropriated,
9672500 unencumbered, or otherwise available public or private
9682501 money; and
9692502 (B) from any general account, reverting or nonreverting
9702503 fund, special account, or trust, other than a fund or
9712504 account that receives bond proceeds, created or
9722505 administered by any department, board, authority,
9732506 commission, political subdivision, special service district,
9742507 special taxing district, or any other instrumentality of local
9752508 government under IC 36 with authority to collect or
9762509 receive taxes, interest, or any other public or private
9772510 money.
9782511 (b) Notwithstanding any other statute, an executive of a unit
9792512 that has established a program under section 8 of this chapter,
9802513 after consulting with the fiscal body and fiscal officer of the unit,
9812514 may authorize a transfer or loan to a fund from any dedicated fund
982-SEA 361 — CC 1 24
9832515 or account, other than a fund or account that receives bond
9842516 proceeds, before the purpose for which the dedicated fund or
9852517 account was established has been accomplished.
9862518 (c) Two (2) or more units may, by written agreement,
9872519 collaborate, commingle funds, or otherwise work together for the
9882520 benefit of administering or carrying out the purposes of the units'
9892521 funds.
9902522 Sec. 13. Any separate body corporate and politic or regional,
9912523 multicounty, or metropolitan authority or commission may, by
9922524 written agreement, establish a mutually beneficial relationship
9932525 with one (1) or more units for purposes of administering or
9942526 carrying out the purposes of the unit's fund or units' funds.
9952527 Sec. 14. (a) Not later than April 15 of each year, the workforce
9962528 fund managers shall file with the executive of the unit and fiscal
9972529 body of the unit a report setting out their activities during the
9982530 preceding calendar year.
9992531 (b) The report of the workforce fund managers under this
10002532 section must show:
10012533 (1) the names of the then qualified and acting workforce fund
10022534 managers;
10032535 (2) the amount of the expenditures made during the preceding
10042536 year and their general purpose;
10052537 (3) the amount of funds on hand at the close of the calendar
10062538 year; and
2539+ES 361—LS 7135/DI 120 60
10072540 (4) other information deemed necessary to disclose the
10082541 activities of the workforce fund managers and the results
10092542 obtained.
10102543 (c) Not later than April 15 of each year, a copy of each report
10112544 under this section must be submitted to the department of local
10122545 government finance in an electronic format specified by the
10132546 department of local government finance.
1014-SECTION 23. IC 36-7-14-57, AS ADDED BY P.L.38-2021,
2547+SECTION 22. IC 36-7-14-57, AS ADDED BY P.L.38-2021,
10152548 SECTION 91, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
10162549 JULY 1, 2022]: Sec. 57. (a) This section does not apply to a parcel that
10172550 is included in more than one (1) allocation area established by:
10182551 (1) a resolution establishing an allocation provision under section
10192552 39 of this chapter that is adopted and approved under sections 15
10202553 through 17 of this chapter;
10212554 (2) a resolution adopted under IC 6-1.1-39-2 and confirmed under
10222555 IC 6-1.1-39-3;
10232556 (3) a resolution adopted under IC 8-22-3.5-5 and confirmed under
10242557 IC 8-22-3.5-6;
1025-SEA 361 — CC 1 25
10262558 (4) a resolution establishing an allocation provision under
10272559 IC 36-7-15.1-26 that is adopted and approved under
10282560 IC 36-7-15.1-8, IC 36-7-15.1-9, and IC 36-7-15.1-10;
10292561 (5) a resolution establishing an allocation provision under
10302562 IC 36-7-30-25 that is adopted and approved under IC 36-7-30-10,
10312563 IC 36-7-30-11, and IC 36-7-30-12;
10322564 (6) a resolution establishing an allocation provision under
10332565 IC 36-7-30.5-30 that is adopted and approved under
10342566 IC 36-7-30.5-16, IC 36-7-30.5-17, and IC 36-7-30.5-18; or
10352567 (7) a resolution designating a certified technology park as an
10362568 allocation area that is approved and adopted under IC 36-7-32-15;
10372569 on or before May 1, 2021. In addition, a new allocation area may not
10382570 be established under this chapter that includes a parcel that is located
10392571 in an allocation area described in this subsection.
10402572 (b) Except as provided in subsection (a), but notwithstanding any
10412573 other provision, for the purpose of the allocation of property taxes
10422574 under this chapter, a parcel may not be included in more than one (1)
10432575 allocation area established under this chapter or under:
10442576 (1) IC 6-1.1-39;
10452577 (2) IC 8-22-3.5;
10462578 (3) IC 36-7-15.1;
10472579 (4) IC 36-7-30;
10482580 (5) IC 36-7-30.5; or
10492581 (6) IC 36-7-32; or
2582+ES 361—LS 7135/DI 120 61
10502583 (7) IC 36-7-32.5.
1051-SECTION 24. IC 36-7-15.1-63, AS ADDED BY P.L.38-2021,
2584+SECTION 23. IC 36-7-15.1-63, AS ADDED BY P.L.38-2021,
10522585 SECTION 92, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
10532586 JULY 1, 2022]: Sec. 63. (a) This section does not apply to a parcel that
10542587 is included in more than one (1) allocation area established by:
10552588 (1) a resolution establishing an allocation provision under section
10562589 26 of this chapter that is adopted and approved under sections 8
10572590 through 10 of this chapter;
10582591 (2) a resolution adopted under IC 6-1.1-39-2 and confirmed under
10592592 IC 6-1.1-39-3;
10602593 (3) a resolution adopted under IC 8-22-3.5-5 and confirmed under
10612594 IC 8-22-3.5-6;
10622595 (4) a resolution establishing an allocation provision under
10632596 IC 36-7-14-39 that is adopted and approved under IC 36-7-14-15,
10642597 IC 36-7-14-16, and IC 36-7-14-17;
10652598 (5) a resolution establishing an allocation provision under
10662599 IC 36-7-30-25 that is adopted and approved under IC 36-7-30-10,
10672600 IC 36-7-30-11, and IC 36-7-30-12;
1068-SEA 361 — CC 1 26
10692601 (6) a resolution establishing an allocation provision under
10702602 IC 36-7-30.5-30 that is adopted and approved under
10712603 IC 36-7-30.5-16, IC 36-7-30.5-17, and IC 36-7-30.5-18; or
10722604 (7) a resolution designating a certified technology park as an
10732605 allocation area that is approved and adopted under IC 36-7-32-15;
10742606 on or before May 1, 2021. In addition, a new allocation area may not
10752607 be established under this chapter that includes a parcel that is located
10762608 in an allocation area described in this subsection.
10772609 (b) Except as provided in subsection (a), but notwithstanding any
10782610 other provision, for the purpose of the allocation of property taxes
10792611 under this chapter, a parcel may not be included in more than one (1)
10802612 allocation area established under this chapter or under:
10812613 (1) IC 6-1.1-39;
10822614 (2) IC 8-22-3.5;
10832615 (3) IC 36-7-14;
10842616 (4) IC 36-7-30;
10852617 (5) IC 36-7-30.5; or
10862618 (6) IC 36-7-32; or
10872619 (7) IC 36-7-32.5.
1088-SECTION 25. IC 36-7-30-36, AS ADDED BY P.L.38-2021,
2620+SECTION 24. IC 36-7-30-36, AS ADDED BY P.L.38-2021,
10892621 SECTION 95, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
10902622 JULY 1, 2022]: Sec. 36. (a) This section does not apply to a parcel that
10912623 is included in more than one (1) allocation area established by:
10922624 (1) a resolution establishing an allocation provision under section
2625+ES 361—LS 7135/DI 120 62
10932626 25 of this chapter that is adopted and approved under sections 10
10942627 through 12 of this chapter;
10952628 (2) a resolution adopted under IC 6-1.1-39-2 and confirmed under
10962629 IC 6-1.1-39-3;
10972630 (3) a resolution adopted under IC 8-22-3.5-5 and confirmed under
10982631 IC 8-22-3.5-6;
10992632 (4) a resolution establishing an allocation provision under
11002633 IC 36-7-14-39 that is adopted and approved under IC 36-7-14-15,
11012634 IC 36-7-14-16, and IC 36-7-14-17;
11022635 (5) a resolution establishing an allocation provision under
11032636 IC 36-7-15.1-26 that is adopted and approved under
11042637 IC 36-7-15.1-8, IC 36-7-15.1-9, and IC 36-7-15.1-10;
11052638 (6) a resolution establishing an allocation provision under
11062639 IC 36-7-30.5-30 that is adopted and approved under
11072640 IC 36-7-30.5-16, IC 36-7-30.5-17, and IC 36-7-30.5-18; or
11082641 (7) a resolution designating a certified technology park as an
11092642 allocation area that is approved and adopted under IC 36-7-32-15;
11102643 on or before May 1, 2021. In addition, a new allocation area may not
1111-SEA 361 — CC 1 27
11122644 be established under this chapter that includes a parcel that is located
11132645 in an allocation area described in this subsection.
11142646 (b) Except as provided in subsection (a), but notwithstanding any
11152647 other provision, for the purpose of the allocation of property taxes
11162648 under this chapter, a parcel may not be included in more than one (1)
11172649 allocation area established under this chapter or under:
11182650 (1) IC 6-1.1-39;
11192651 (2) IC 8-22-3.5;
11202652 (3) IC 36-7-14;
11212653 (4) IC 36-7-15.1;
11222654 (5) IC 36-7-30.5; or
11232655 (6) IC 36-7-32; or
11242656 (7) IC 36-7-32.5.
1125-SECTION 26. IC 36-7-30.5-37, AS ADDED BY P.L.38-2021,
2657+SECTION 25. IC 36-7-30.5-37, AS ADDED BY P.L.38-2021,
11262658 SECTION 96, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
11272659 JULY 1, 2022]: Sec. 37. (a) This section does not apply to a parcel that
11282660 is included in more than one (1) allocation area established by:
11292661 (1) a resolution establishing an allocation provision under section
11302662 30 of this chapter that is adopted and approved under sections 16
11312663 through 18 of this chapter;
11322664 (2) a resolution adopted under IC 6-1.1-39-2 and confirmed under
11332665 IC 6-1.1-39-3;
11342666 (3) a resolution adopted under IC 8-22-3.5-5 and confirmed under
11352667 IC 8-22-3.5-6;
2668+ES 361—LS 7135/DI 120 63
11362669 (4) a resolution establishing an allocation provision under
11372670 IC 36-7-14-39 that is adopted and approved under IC 36-7-14-15,
11382671 IC 36-7-14-16, and IC 36-7-14-17;
11392672 (5) a resolution establishing an allocation provision under
11402673 IC 36-7-15.1-26 that is adopted and approved under
11412674 IC 36-7-15.1-8, IC 36-7-15.1-9, and IC 36-7-15.1-10;
11422675 (6) a resolution establishing an allocation provision under
11432676 IC 36-7-30-25 that is adopted and approved under IC 36-7-30-10,
11442677 IC 36-7-30-11, and IC 36-7-30-12; or
11452678 (7) a resolution designating a certified technology park as an
11462679 allocation area that is approved and adopted under IC 36-7-32-15;
11472680 on or before May 1, 2021. In addition, a new allocation area may not
11482681 be established under this chapter that includes a parcel that is located
11492682 in an allocation area described in this subsection.
11502683 (b) Except as provided in subsection (a), but notwithstanding any
11512684 other provision, for the purpose of the allocation of property taxes
11522685 under this chapter, a parcel may not be included in more than one (1)
11532686 allocation area established under this chapter or under:
1154-SEA 361 — CC 1 28
11552687 (1) IC 6-1.1-39;
11562688 (2) IC 8-22-3.5;
11572689 (3) IC 36-7-14;
11582690 (4) IC 36-7-15.1;
11592691 (5) IC 36-7-30; or
11602692 (6) IC 36-7-32; or
11612693 (7) IC 36-7-32.5.
1162-SECTION 27. IC 36-7-32-28, AS ADDED BY P.L.38-2021,
2694+SECTION 26. IC 36-7-32-28, AS ADDED BY P.L.38-2021,
11632695 SECTION 97, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
11642696 JULY 1, 2022]: Sec. 28. (a) This section does not apply to a parcel that
11652697 is included in more than one (1) allocation area established by:
11662698 (1) a resolution designating a certified technology park as an
11672699 allocation area that is approved and adopted under section 15 of
11682700 this chapter;
11692701 (2) a resolution adopted under IC 6-1.1-39-2 and confirmed under
11702702 IC 6-1.1-39-3;
11712703 (3) a resolution adopted under IC 8-22-3.5-5 and confirmed under
11722704 IC 8-22-3.5-6;
11732705 (4) a resolution establishing an allocation provision under
11742706 IC 36-7-14-39 that is adopted and approved under IC 36-7-14-15,
11752707 IC 36-7-14-16, and IC 36-7-14-17;
11762708 (5) a resolution establishing an allocation provision under
11772709 IC 36-7-15.1-26 that is adopted and approved under
11782710 IC 36-7-15.1-8, IC 36-7-15.1-9, and IC 36-7-15.1-10;
2711+ES 361—LS 7135/DI 120 64
11792712 (6) a resolution establishing an allocation provision under
11802713 IC 36-7-30-25 that is adopted and approved under IC 36-7-30-10,
11812714 IC 36-7-30-11, and IC 36-7-30-12; or
11822715 (7) a resolution establishing an allocation provision under
11832716 IC 36-7-30.5-30 that is adopted and approved under
11842717 IC 36-7-30.5-16, IC 36-7-30.5-17, and IC 36-7-30.5-18;
11852718 on or before May 1, 2021. In addition, a new allocation area may not
11862719 be established under this chapter that includes a parcel that is located
11872720 in an allocation area described in this subsection.
11882721 (b) Except as provided in subsection (a), but notwithstanding any
11892722 other provision, for the purpose of the allocation of property taxes
11902723 under this chapter, a parcel may not be included in more than one (1)
11912724 allocation area established under this chapter or under:
11922725 (1) IC 6-1.1-39;
11932726 (2) IC 8-22-3.5;
11942727 (3) IC 36-7-14;
11952728 (4) IC 36-7-15.1;
11962729 (5) IC 36-7-30; or
1197-SEA 361 — CC 1 29
11982730 (6) IC 36-7-30.5; or
1199-(7) IC 36-7-32.5.
1200-SECTION 28. IC 36-7-32.5 IS ADDED TO THE INDIANA CODE
1201-AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
1202-JULY 1, 2022]:
1203-Chapter 32.5. Innovation Development Districts
1204-Sec. 1. As used in this chapter, "base assessed value" means the
1205-net assessed value of all the taxable real property that is assessed
1206-as commercial or industrial property under the rules of the
1207-department of local government finance, and taxable personal
1208-property, that is located in an innovation development district as
1209-finally determined for the assessment date immediately preceding
1210-the effective date of the designation by the corporation under
1211-section 9 of this chapter.
1212-Sec. 2. As used in this chapter, "corporation" refers to the
2731+(7) IC 36-7-32.5.".
2732+Page 20, delete line 5.
2733+Page 20, line 6, delete "(1) the".
2734+Page 20, run in lines 4 through 6.
2735+Page 20, line 7, after "property" insert "that is assessed as
2736+commercial or industrial property under the rules of the
2737+department of local government finance and is".
2738+Page 20, line 10, delete "8" and insert "10".
2739+Page 20, line 10, delete "chapter; plus" and insert "chapter.".
2740+Page 20, delete lines 11 through 15.
2741+Page 20, between lines 15 and 16, begin a new paragraph and insert:
2742+"Sec. 2. As used in this chapter, "board" refers to the innovation
2743+development district board established under section 14 of this
2744+chapter to govern an innovation development district.
2745+Sec. 3. As used in this chapter, "corporation" refers to the
12132746 Indiana economic development corporation established by
1214-IC 5-28-3-1.
1215-Sec. 3. As used in this chapter, "executive" means the following:
1216-(1) In the case of a county that does not have a consolidated
1217-city, the president of the board of county commissioners.
1218-(2) In the case of a county having a consolidated city, the
1219-mayor.
1220-(3) In the case of a city, the mayor.
1221-(4) In the case of a town that:
1222-(A) does not have a mayor, the president of the town
1223-council; or
1224-(B) does have a mayor, the mayor.
1225-Sec. 4. As used in this chapter, "gross retail base period
1226-amount" means the aggregate amount of state gross retail and use
1227-taxes remitted under IC 6-2.5 by the businesses:
1228-(1) operating in the territory comprising an innovation
1229-development district; and
2747+IC 5-28-3-1.".
2748+Page 20, line 16, delete "2." and insert "4.".
2749+Page 20, line 18, after "businesses" insert ":
2750+(1)".
2751+Page 20, line 19, after "district" insert "; and
12302752 (2) that is, in the case of the:
12312753 (A) state gross retail tax, collected by a business for sales
2754+ES 361—LS 7135/DI 120 65
12322755 occurring at a physical location of the business in the
12332756 innovation development district; and
12342757 (B) state use tax, incurred with regard to property used in
1235-the innovation development district;
1236-during the full state fiscal year that precedes the date on which the
1237-innovation development district was designated under section 9 of
1238-this chapter.
1239-Sec. 5. As used in this chapter, "gross retail incremental
1240-SEA 361 — CC 1 30
1241-amount" means the remainder of:
1242-(1) the aggregate amount of state gross retail and use taxes
1243-that are remitted under IC 6-2.5 by businesses:
1244-(A) operating in the territory comprising an innovation
1245-development district; and
2758+the innovation development district;".
2759+Page 20, line 19, beginning with "during" begin a new line blocked
2760+left.
2761+Page 20, line 21, delete "8" and insert "10".
2762+Page 20, line 23, delete "3." and insert "5.".
2763+Page 20, line 26, after "businesses" insert ":
2764+(A)".
2765+Page 20, line 27, after "district" insert "; and
12462766 (B) that is, in the case of the:
12472767 (i) state gross retail tax, collected by a business for sales
12482768 occurring at a physical location of the business in the
12492769 innovation development district; and
12502770 (ii) state use tax, incurred with regard to property used
1251-in the innovation development district;
1252-during a state fiscal year; minus
1253-(2) the gross retail base period amount;
1254-as determined by the department of state revenue.
1255-Sec. 6. As used in this chapter, "income tax base period
1256-amount" means the aggregate amount of state adjusted gross
1257-income taxes paid by employees employed in the territory
1258-comprising an innovation development district with respect to
1259-wages and salary earned for work in the innovation development
1260-district for the state fiscal year that precedes the date on which the
1261-innovation development district was designated under section 9 of
1262-this chapter.
1263-Sec. 7. As used in this chapter, "income tax incremental
1264-amount" means the remainder of:
1265-(1) the total amount of state adjusted gross income taxes paid
1266-by employees employed in the territory comprising the
1267-innovation development district with respect to wages and
1268-salary earned for work in the territory comprising the
1269-innovation development district for a particular state fiscal
1270-year; minus
1271-(2) the sum of the:
1272-(A) income tax base period amount; plus
1273-(B) tax credits awarded by the Indiana economic
1274-development corporation under IC 6-3.1-13 to businesses
1275-operating in an innovation development district as the
1276-result of wages earned for work in the innovation
1277-development district for the state fiscal year;
1278-as determined by the department of state revenue.
1279-Sec. 8. As used in this chapter, "net increment" means the sum
1280-of:
1281-(1) the gross retail incremental amount; plus
1282-(2) the income tax incremental amount;
1283-SEA 361 — CC 1 31
1284-as determined by the department of state revenue.
1285-Sec. 9. (a) Before the corporation may designate territory within
1286-the jurisdiction of a city, town, or county, or within the jurisdiction
1287-of more than one (1) city, town, or county, as an innovation
1288-development district under this section, the board of the
1289-corporation established under IC 5-28-4 shall establish uniform
1290-policies and guidelines that the corporation must follow when
1291-notifying and collaborating with an executive, or, if applicable,
1292-executives, to designate territory within the jurisdiction of a city,
1293-town, or county as an innovation development district under this
1294-section. The corporation shall publish the uniform policies and
1295-procedures established under this subsection on the corporation's
1296-Internet web site.
1297-(b) Subject to section 12(a) of this chapter, after notifying and
1298-collaborating with the executive, or, if an innovation development
1299-district will include territory within the jurisdiction of more than
1300-one (1) city, town, or county, with the executives of each city, town,
1301-or county, in the manner provided under the policies and
1302-guidelines established under subsection (a), the corporation may
1303-designate territory within the jurisdiction of a city, town, or
1304-county, or territory within the jurisdiction of more than one (1)
1305-city, town, or county, as an innovation development district if the
1306-corporation determines that the designation will support economic
1307-growth.
2771+in the innovation development district;".
2772+Page 20, line 28, beginning with "during" begin a new line block
2773+indented.
2774+Page 20, line 31, delete "4." and insert "6.".
2775+Page 20, line 32, delete "the following" and insert "adjusted gross
2776+income".
2777+Page 20, line 37, delete "8 of this chapter:" and insert "10 of this
2778+chapter.".
2779+Page 20, delete lines 38 through 39.
2780+Page 20, line 40, delete "5." and insert "7.".
2781+Page 20, line 42, delete "and".
2782+Page 21, line 1, delete "local income taxes".
2783+Page 21, line 7, delete "and" and insert "plus".
2784+Page 21, between lines 13 and 14, begin a new paragraph and insert:
2785+"Sec. 8. As used in this chapter, "legislative body" means the
2786+following:
2787+(1) The board of county commissioners, for a county not
2788+subject to IC 36-2-3.5 or IC 36-3-1.
2789+(2) The county council, for a county subject to IC 36-2-3.5.
2790+(3) The city-county council, for a consolidated city or county
2791+having a consolidated city.
2792+(4) The common council, for a city other than a consolidated
2793+city.
2794+(5) The town council, for a town.".
2795+Page 21, line 14, delete "6." and insert "9.".
2796+Page 21, line 16, delete "and" and insert "plus".
2797+ES 361—LS 7135/DI 120 66
2798+Page 21, delete lines 19 through 42, begin a new paragraph and
2799+insert:
2800+"Sec. 10. (a) Before the corporation may designate territory
2801+within the jurisdiction of a city, town, or county, or within the
2802+jurisdiction of more than one (1) city, town, or county, as an
2803+innovation development district under this section, the board of the
2804+corporation established under IC 5-28-4 shall establish policies and
2805+guidelines that the corporation must follow when notifying and
2806+collaborating with a legislative body, or, if applicable, legislative
2807+bodies, to designate territory within the jurisdiction of a city, town,
2808+or county as an innovation development district under this section.
2809+(b) After notifying and collaborating with the legislative body,
2810+or, if an innovation development district will include territory
2811+within the jurisdiction of more than one (1) city, town, or county,
2812+with the legislative bodies, in the manner provided under the
2813+policies and guidelines established under subsection (a), the
2814+corporation may designate territory within the jurisdiction of a
2815+city, town, or county, or territory within the jurisdiction of more
2816+than one (1) city, town, or county, as an innovation development
2817+district if the corporation determines that the designation will
2818+support economic growth.
13082819 (c) The corporation may not designate an innovation
13092820 development district under this section after June 30, 2025.
1310-Sec. 10. (a) The corporation may not designate an area as an
1311-innovation development district under section 9 of this chapter if
1312-the business or businesses that are expected to locate within the
2821+Sec. 11. (a) The corporation may not designate an area as an
2822+innovation development district under section 10 of this chapter,
2823+if the business or businesses that are expected to locate within the
13132824 innovation development district:
13142825 (1) currently operate in Indiana in a location outside of the
13152826 proposed innovation development district; and
13162827 (2) intend to substantially reduce or cease operations at the
13172828 other location or locations within Indiana in order to relocate
13182829 to a location within the innovation development district.
13192830 (b) Notwithstanding any other provision of this chapter, an
13202831 innovation development district may not be established in an
1321-existing allocation area established under:
1322-(1) IC 5-1-17.5;
1323-(2) IC 6-1.1-39;
1324-(3) IC 8-22-3.5;
1325-(4) IC 36-7-13;
1326-SEA 361 — CC 1 32
1327-(5) IC 36-7-14;
1328-(6) IC 36-7-15.1;
1329-(7) IC 36-7-30;
1330-(8) IC 36-7-30.5;
1331-(9) IC 36-7-31;
1332-(10) IC 36-7-31.3;
1333-(11) IC 36-7-31.5;
1334-(12) IC 36-7-32;
1335-(13) IC 36-7.5-4.5; or
1336-(14) any other provision that authorizes the establishment of
1337-an allocation area.
2832+existing allocation area established under IC 6-1.1-39, IC 8-22-3.5,
2833+IC 36-7-14, IC 36-7-15.1, IC 36-7-30, IC 36-7-30.5, IC 36-7-32,
2834+IC 36-7.5-4.5, or any other provision that authorizes the
2835+establishment of an allocation area.
13382836 (c) A development within the innovation development district is
13392837 subject to any zoning ordinance or other zoning law that otherwise
13402838 applies to territory within the innovation development district.
1341-Sec. 11. (a) Except as provided in subsection (b), the term of an
1342-area's designation as an innovation development district may not
1343-exceed thirty (30) years.
1344-(b) The term of an area's designation as an innovation
1345-development district may be extended beyond the thirty (30) year
1346-term under subsection (a) after budget committee review.
1347-Sec. 12. (a) If the total costs and benefits of the proposed
1348-investment of an innovation development district are expected to
1349-be an amount less than two billion dollars ($2,000,000,000), the
1350-following apply:
1351-(1) The executive, or, if applicable, the executives, and the
1352-corporation shall enter into an agreement establishing the
1353-terms and conditions governing the innovation development
1354-district in accordance with this section.
1355-(2) If the executive, or, if applicable, the executives, and the
1356-corporation cannot enter into an agreement under subdivision
1357-(1), the designation of territory under section 9 of this chapter
1358-is no longer effective and the innovation development district
1359-may not be designated or otherwise established under this
1360-chapter.
1361-(b) The agreement must include the following provisions:
1362-(1) A description of the area, including a list of all parcels to
1363-be included within the innovation development district.
1364-(2) Covenants and restrictions, if any, upon all or a part of the
1365-properties contained within the innovation development
1366-district and terms of enforcement of any covenants or
1367-restrictions.
1368-(3) The due diligence and financial commitments of any party
1369-SEA 361 — CC 1 33
1370-to the agreement and of any owner or developer of property
1371-within the innovation development district.
1372-(4) The financial projections of the innovation development
1373-district.
1374-(5) The proposed use of the:
1375-(A) net increment; and
1376-(B) incremental property tax amount described in section
1377-14(c) of this chapter;
1378-that is captured within the innovation development district.
1379-(6) The aggregate percentage of annual incremental property
1380-tax revenue that will be transferred to the city, town, county,
1381-or school corporation, or, if applicable, the cities, towns,
1382-counties, or school corporations, under section 19(e) of this
1383-chapter. The aggregate percentage transferred may not be
1384-less than twelve percent (12%) of the annual amount of
1385-incremental property tax revenue deposited in the local
1386-innovation development district fund established by section 19
1387-of this chapter.
1388-(7) Subject to the limitations of this chapter, the duration of
1389-the designation of an area as an innovation development
1390-district.
1391-(8) The terms of enforcement of the agreement, which may
1392-include the definition of events of default, cure periods, legal
1393-and equitable remedies and rights, and penalties and
1394-damages, actual or liquidated, upon the occurrence of an
1395-event of default.
1396-(9) The public facilities to be developed for the innovation
1397-development district and the estimated costs of those public
1398-facilities.
1399-(c) An executive may discuss the terms of the agreement
1400-described in this section and hold a meeting as an executive session
1401-under IC 5-14-1.5-6.1 with:
1402-(1) in the case of a city other than a consolidated city, the
1403-common council;
1404-(2) in the case of a consolidated city, or a county having a
1405-consolidated city, the city-county council;
1406-(3) in the case of a town, the town council; and
1407-(4) in the case of a county that does not have a consolidated
1408-city, the board of county commissioners.
1409-(d) Within fifteen (15) days of entering into an agreement under
1410-subsection (a), the corporation shall submit a written report on the
1411-agreement to the budget committee.
1412-SEA 361 — CC 1 34
1413-(e) Neither an executive nor the corporation may exercise the
1414-power of eminent domain within an innovation development
1415-district.
1416-Sec. 13. If an innovation development district is designated
1417-under section 9 of this chapter or described under section 12 of this
1418-chapter, each executive shall designate the innovation development
1419-district as an allocation area for purposes of the allocation and
1420-distribution of property taxes. Each executive shall provide notice
1421-of the designation to the county auditor and to each taxing unit that
1422-has authority to levy property taxes in the geographic area where
1423-the innovation development district is located. The notice must
1424-state the general boundaries of the innovation development district
1425-and include a list of all parcels to be included within the innovation
1426-development district.
1427-Sec. 14. (a) An allocation area designated under section 13 of
1428-this chapter must:
1429-(1) apply to the entire innovation development district; and
1430-(2) require that any property tax assessed on taxable real and
1431-personal property used for commercial or industrial purposes
1432-subsequently levied by or for the benefit of any public body
1433-entitled to a distribution of property taxes in the innovation
1434-development district be allocated and distributed as provided
1435-in subsections (b) and (c).
1436-(b) Except as otherwise provided in this section:
1437-(1) the proceeds of the taxes attributable to the lesser of:
1438-(A) the assessed value of the taxable real and personal
1439-property for the assessment date with respect to which the
1440-allocation and distribution is made; or
1441-(B) the base assessed value;
1442-shall be allocated and, when collected, paid into the funds of
1443-the respective taxing units; and
1444-(2) the excess of the proceeds of the property taxes imposed
1445-for the assessment date with respect to which the allocation
1446-and distribution is made that are attributable to taxes
1447-imposed after being approved by the voters in a referendum
1448-or local public question conducted after April 30, 2010, not
1449-otherwise included in subdivision (1) shall be allocated to and,
1450-when collected, paid into the funds of the taxing unit for
1451-which the referendum or local public question was conducted.
1452-(c) Except as provided in subsection (d), all the property tax
1453-proceeds that:
2839+Sec. 12. (a) Except as provided in subsection (b), after June 30,
2840+ES 361—LS 7135/DI 120 67
2841+2022, and before July 1, 2025, the corporation may not designate
2842+more than five (5) innovation development districts under section
2843+10 of this chapter.
2844+(b) Notwithstanding subsection (a), after June 30, 2022, and
2845+before July 1, 2025, the corporation may designate additional
2846+innovation development districts under section 10 of this chapter
2847+after review by the budget committee.
2848+Sec. 13. The term of an area's designation as an innovation
2849+development district may not exceed thirty (30) years.
2850+Sec. 14. (a) After an innovation development district is
2851+designated under section 10 of this chapter, the legislative body, or,
2852+if applicable, the legislative bodies, and the corporation shall
2853+establish an innovation development district board to govern the
2854+innovation development district.
2855+(b) The board consists of five (5) members appointed as follows:
2856+(1) Three (3) members appointed by the secretary of
2857+commerce appointed under IC 5-28-3-4.
2858+(2) Two (2) members appointed by the legislative body, or, if
2859+applicable, the legislative bodies.
2860+Each member of the board must be a resident of the county, or, if
2861+applicable, one (1) of the counties, in which the innovation
2862+development district is located. A member of the board serves at
2863+the pleasure of the appointing authority. A vacancy on the board
2864+shall be filled in the same manner as the original appointment.
2865+(c) After the members of have been appointed under this
2866+section, the board and the corporation shall enter into an
2867+agreement establishing the terms and conditions governing the
2868+innovation development district. After entering into the agreement,
2869+the".
2870+Page 22, delete lines 1 through 28.
2871+Page 22, line 32, delete "(b)" and insert "(d)".
2872+Page 22, line 33, delete "area" and insert "area, including a list of
2873+all parcels".
2874+Page 23, line 2, after "district" delete ", as determined by the
2875+corporation." and insert ".".
2876+Page 23, delete lines 3 through 5.
2877+Page 23, line 6, delete "(6)" and insert "(5)".
2878+Page 23, line 7, after "amount" insert "described in section 16(c) of
2879+this chapter that is".
2880+Page 23, line 9, delete "(7)" and insert "(6)".
2881+Page 23, line 10, delete "corporation's".
2882+Page 23, line 12, delete "(8)" and insert "(7)".
2883+ES 361—LS 7135/DI 120 68
2884+Page 23, line 17, delete "(9)" and insert "(8)".
2885+Page 23, line 18, after "and the" insert "estimated".
2886+Page 23, line 18, after "facilities" delete ", as" and insert ".".
2887+Page 23, delete line 19, begin a new paragraph and insert:
2888+"(e) Within fifteen (15) days of entering into an agreement under
2889+subsection (c), the corporation shall submit a written report on the
2890+agreement to the budget committee.".
2891+Page 23, line 20, delete "10." and insert "15.".
2892+Page 23, line 20, delete "If the corporation designates an area as an"
2893+and insert "After the corporation and a board enter into an
2894+agreement described in section 14 of this chapter concerning the
2895+terms and conditions governing the".
2896+Page 23, line 21, delete "redevelopment commission" and insert
2897+"legislative body, or, if applicable, legislative bodies,".
2898+Page 23, line 26, delete "redevelopment commission" and insert
2899+"legislative body, or, if applicable, legislative bodies,".
2900+Page 23, line 34, delete "following:".
2901+Page 23, line 35, delete "(i) The".
2902+Page 23, run in lines 34 through 35.
2903+Page 23, delete lines 39 through 40.
2904+Page 23, line 42, delete "must state that written remonstrances" and
2905+insert "include a list of all parcels to be included within the
2906+innovation development district.".
2907+Delete page 24.
2908+Page 25, delete lines 1 through 12.
2909+Page 25, line 13, delete "12." and insert "16.".
2910+Page 25, line 13, delete "10" and insert "15".
2911+Page 25, line 16, delete "after December 31,".
2912+Page 25, line 17, delete "2023, and".
2913+Page 25, line 17, after "property" insert "used for commercial or
2914+industrial purposes".
2915+Page 25, line 38, delete "provided in subsections (d) and (e)," and
2916+insert "as provided in subsection (d),".
2917+Page 25, line 39, delete "that exceed those described in subsection
2918+(b) shall be" and insert "that:
14542919 (1) exceed those described in subsection (b); and
1455-SEA 361 — CC 1 35
1456-(2) are attributable to the assessed value of taxable real and
1457-personal property used for commercial or industrial
1458-purposes;
2920+(2) are attributable to the assessed value of taxable property
2921+used for commercial or industrial purposes;
14592922 shall be paid into the appropriate local innovation development
1460-district fund established by section 19 of this chapter by the county
2923+district fund established by section 21 of this chapter by the county
14612924 auditor at the same time that the county auditor distributes
14622925 property taxes to other local units of government under
2926+ES 361—LS 7135/DI 120 69
14632927 IC 6-1.1-27. Any remaining property tax proceeds that exceed
14642928 those described in subsection (b) that are not described in
14652929 subdivision (2) shall be allocated and, when collected, paid into the
1466-funds of the respective taxing units.
1467-(d) Notwithstanding any other law, each assessor shall, upon
1468-petition of an executive or the corporation, reassess the taxable real
1469-and personal property situated upon or in, or added to, the
1470-innovation development district effective on the next assessment
1471-date after the petition.
1472-(e) Notwithstanding any other law, the assessed value of all
1473-taxable real and personal property in the innovation development
1474-district, for purposes of tax limitation, property tax replacement,
1475-and formulation of the budget, tax rate, and tax levy for each
1476-political subdivision in which the property is located is the lesser
1477-of:
1478-(1) the assessed value of the taxable real and personal
1479-property as valued without regard to this section; or
1480-(2) the base assessed value.
1481-Sec. 15. (a) An executive or the corporation may enter into a
1482-written agreement with a taxpayer who owns, or is otherwise
1483-obligated to pay property taxes on, tangible property that is or will
1484-be located in an allocation area established under this chapter in
1485-which the taxpayer waives review of any assessment of the
1486-taxpayer's tangible property that is located in the allocation area
1487-for an assessment date that occurs during the term of any specified
1488-bond or lease obligations that are payable, in whole or in part,
1489-from property taxes in accordance with an allocation provision for
1490-the allocation area and any applicable statute, ordinance, or
1491-resolution.
1492-(b) Except as provided in subsection (c), but notwithstanding
1493-any other law, an executive or the corporation may exempt from
1494-taxation any tangible real property improvements or personal
1495-property, or a part of real property improvements or personal
1496-property, that:
1497-(1) in the case of real property improvements, is assessed as
1498-SEA 361 — CC 1 36
1499-commercial or industrial property under the rules of the
1500-department of local government finance;
1501-(2) is located within the innovation development district; and
1502-(3) was:
1503-(A) in the case of real property improvements,
1504-constructed; and
1505-(B) in the case of personal property, first entered into
1506-service;
1507-after the date that the innovation development district was
1508-designated under section 9 of this chapter.
1509-The executive, or the corporation, as applicable, shall notify the
1510-county assessor and county auditor of the county in which the real
1511-property improvement or personal property is located of an
1512-exemption provided under this subsection. An executive who
1513-provided an exemption, or the corporation, if the corporation
1514-provided the exemption, may terminate the exemption by
1515-providing notice to the county assessor and county auditor of the
1516-county in which the real property improvement or personal
1517-property is located. An exemption, or the termination of an
1518-exemption, is effective beginning with the assessment date that
1519-immediately follows the date that the notice required under this
1520-subsection is provided by the executive or the corporation.
1521-(c) An executive and the corporation may not exempt from
1522-taxation any real property improvements or personal property
1523-described in subsection (b) after any bonds have been issued by the
1524-Indiana finance authority under IC 5-1.2-4-4(a)(2) that are payable
1525-from revenues deposited in a local innovation development district
1526-fund established under section 19 of this chapter as long as the
1527-bonds remain outstanding.
1528-Sec. 16. (a) The state board of accounts, the department of state
1529-revenue, and the department of local government finance may
1530-adopt rules under IC 4-22-2 and prescribe the forms and
1531-procedures that the state board of accounts, the department of
1532-state revenue, and the department of local government finance
1533-consider appropriate for the implementation of an innovation
1534-development district under this chapter. However, before adopting
2930+funds of the respective taxing units.".
2931+Page 25, delete lines 40 through 42.
2932+Page 26, delete lines 1 through 6.
2933+Page 26, line 7, delete "(e)" and insert "(d)".
2934+Page 26, line 8, delete "corporation," and insert "board,".
2935+Page 26, line 11, delete "(f)" and insert "(e)".
2936+Page 26, line 19, delete "13. The corporation or a redevelopment
2937+commission" and insert "17. (a) A board".
2938+Page 26, line 29, delete "An agreement described in this section".
2939+Page 26, delete lines 30 through 32, begin a new paragraph and
2940+insert:
2941+"(b) Notwithstanding any other law, a board may exempt from
2942+taxation any tangible real or personal property that is:
2943+(1) assessed as commercial or industrial property under the
2944+rules of the department of local government finance; and
2945+(2) located within the innovation development district.".
2946+Page 26, line 33, delete "14." and insert "18.".
2947+Page 26, line 33, delete "accounts and" and insert "accounts, the
2948+department of state revenue, and the".
2949+Page 26, line 34, delete "shall make the rules" and insert "may
2950+adopt rules under IC 4-22-2".
2951+Page 26, line 35, delete "accounts and" and insert "accounts, the
2952+department of state revenue, and the".
2953+Page 26, line 37, delete "allocation area" and insert "innovation
2954+development district".
2955+Page 26, line 37, after "chapter." insert "However, before adopting
15352956 rules under this section, the state board of accounts, the
15362957 department of state revenue, and the department of local
15372958 government finance shall submit a report to the budget committee
15382959 that:
15392960 (1) describes the rules proposed by the state board of
15402961 accounts, the department of state revenue, and the
1541-SEA 361 — CC 1 37
15422962 department of local government finance; and
15432963 (2) recommends statutory changes necessary to implement the
1544-provisions of this chapter.
1545-(b) After each reassessment of real property in an area under a
1546-county's reassessment plan prepared under IC 6-1.1-4-4.2, the
1547-department of local government finance shall adjust the base
1548-assessed value one (1) time to neutralize any effect of the
1549-reassessment of the real property in the area on the property tax
1550-proceeds allocated to the local innovation development district
1551-fund established by section 19 of this chapter.
1552-(c) After each annual adjustment under IC 6-1.1-4-4.5, the
1553-department of local government finance shall adjust the base
1554-assessed value to neutralize any effect of the annual adjustment on
1555-the property tax proceeds allocated to the local innovation
1556-development district fund established by section 19 of this chapter.
1557-Sec. 17. (a) If an innovation development district is designated
1558-under section 9 of this chapter, the corporation shall send to the
1559-department of state revenue:
1560-(1) a certified copy of the designation of the innovation
1561-development district under section 9 of this chapter;
1562-(2) if an agreement is entered into under section 12 of this
1563-chapter, a certified copy of the agreement; and
1564-(3) a complete list of the employers in the innovation
1565-development district and the street names and the range of
1566-street numbers of each street in the innovation development
1567-district.
1568-The corporation shall update the list provided under subdivision
1569-(3) before July 1 of each year.
1570-(b) Not later than sixty (60) days after receiving a copy of the
1571-designation of the innovation development district, the department
1572-of state revenue shall determine the gross retail base period
1573-amount and the income tax base period amount.
1574-Sec. 18. (a) Before the first business day in October of each year,
1575-the department of state revenue shall calculate the income tax
1576-incremental amount and the gross retail incremental amount for
1577-the preceding state fiscal year for each innovation development
1578-district designated under this chapter.
1579-(b) Taxpayers operating in an innovation development district
1580-shall report annually, in the manner and form prescribed by the
1581-department of state revenue, information that the department of
1582-state revenue determines necessary to calculate the net increment.
1583-(c) A taxpayer operating in an innovation development district
1584-SEA 361 — CC 1 38
1585-that files a consolidated tax return with the department of state
1586-revenue shall also file annually an informational return with the
1587-department of state revenue for each business location of the
1588-taxpayer within the innovation development district.
1589-(d) If a taxpayer fails to report the information required by this
1590-section or file an informational return required by this section, the
1591-department of state revenue shall use the best information
1592-available in calculating the income tax incremental amount and
1593-gross retail incremental amount.
1594-(e) The department of state revenue shall transfer the amount
1595-calculated as provided in subsection (a) to the applicable local
1596-innovation development district fund established for the innovation
1597-development district under section 19 of this chapter by November
1598-1 of each year.
1599-Sec. 19. (a) The corporation shall establish a local innovation
1600-development district fund for each innovation development district
1601-designated under section 9 of this chapter.
2964+provisions of this chapter.".
2965+Page 27, line 1, after "to the" insert "local".
2966+Page 27, line 2, delete "under section 17" and insert "established by
2967+section 21".
2968+Page 27, line 2, delete "After", begin a new paragraph and insert:
2969+ES 361—LS 7135/DI 120 70
2970+"(c) After".
2971+Page 27, line 5, after "to the" insert "local".
2972+Page 27, line 6, delete "17" and insert "21".
2973+Page 27, line 8, delete "15." and insert "19.".
2974+Page 27, line 8, delete "9" and insert "14".
2975+Page 27, line 9, delete "redevelopment commission" and insert
2976+"board".
2977+Page 27, line 12, delete "8" and insert "10".
2978+Page 27, line 14, delete "9" and insert "14".
2979+Page 27, line 19, delete "redevelopment commission" and insert
2980+"board".
2981+Page 27, line 25, delete "16." and insert "20.".
2982+Page 27, line 32, after "the department" insert "of state revenue".
2983+Page 28, line 4, after "to the" insert "applicable local".
2984+Page 28, line 5, delete "by section 17" and insert "for the
2985+innovation development district under section 21".
2986+Page 28, between lines 6 and 7, begin a new paragraph and insert:
2987+"Sec. 21. (a) Each board shall establish a local innovation
2988+development district fund for an innovation development district
2989+designated under section 10 of this chapter.
16022990 (b) Each fund consists of:
16032991 (1) deposits of incremental property tax revenue from the
1604-county auditor as provided in section 14(c) of this chapter;
2992+county auditor as provided in section 16(c) of this chapter;
16052993 and
1606-(2) transfers from the department of state revenue under
1607-section 18 of this chapter.
1608-(c) The corporation shall administer each local innovation
1609-development district fund established under this section. The
1610-expenses of administering each fund shall be paid from money in
1611-that fund.
1612-(d) The corporation may use money in each fund as follows:
1613-(1) If an agreement described in section 12 of this chapter has
1614-been entered into between the corporation and the executive,
1615-or, if applicable, the executives, for any purpose authorized in
1616-the agreement.
1617-(2) If an agreement described in section 12 of this chapter has
1618-not been entered into between the corporation and the
1619-executive, or, if applicable, the executives, for the following
2994+(2) transfers from the department under section 20 of this
2995+chapter.
2996+(c) The board established for the innovation development
2997+district shall administer each local innovation development district
2998+fund established under this section. The expenses of administering
2999+each fund shall be paid from money in that fund.
3000+(d) A board may use money in each fund for the following
16203001 purposes:
1621-(A) The acquisition, improvement, preparation,
1622-demolition, disposal, construction, reconstruction,
1623-remediation, rehabilitation, restoration, preservation,
1624-maintenance, repair, furnishing, and equipping of public
1625-facilities, including but not limited to utilities and
1626-transportation infrastructure.
1627-SEA 361 — CC 1 39
1628-(B) The operation of public facilities.
1629-(C) The acquisition of land within the innovation
3002+(1) The acquisition, improvement, preparation, demolition,
3003+disposal, construction, reconstruction, remediation,
3004+rehabilitation, restoration, preservation, maintenance, repair,
3005+furnishing, and equipping of public facilities, including but
3006+not limited to utilities and transportation infrastructure.
3007+(2) The operation of public facilities.
3008+(3) The acquisition of land within the innovation development
3009+district.
3010+(4) The recruitment of new businesses and new employees to
3011+the innovation development district.
3012+ES 361—LS 7135/DI 120 71
3013+(5) The training of individuals employed in the innovation
16303014 development district.
1631-(D) The recruitment of new businesses and new employees
1632-to the innovation development district.
1633-(E) The training of individuals employed in the innovation
1634-development district.
1635-(e) Not later than August 1 of each year, the corporation shall
1636-transfer:
1637-(1) if an agreement described in section 12 of this chapter has
1638-been entered into between the corporation and the executive,
1639-or if applicable, the executives, the amount of incremental
1640-property tax revenues determined in the agreement; and
1641-(2) if an agreement described in section 12 of this chapter has
1642-not been entered into between the corporation and the
1643-executive, or if applicable, the executives, an amount of
1644-incremental property tax revenues that may not be less than
1645-twelve percent (12%) of the annual amount of incremental
1646-property tax revenue deposited under subsection (b)(1);
1647-to the general fund of each city, town, county, or school
1648-corporation with territory located within the innovation
1649-development district. If the corporation is required to transfer
1650-funds to more than one (1) city, town, county, or school
3015+(6) For any other purpose authorized by an agreement
3016+between the corporation and the board entered into under
3017+section 14 of this chapter.
3018+(e) Not later than August 1 of each year, the board shall transfer
3019+an amount equal to twelve percent (12%) of the incremental
3020+property tax revenues that were deposited into the fund in the
3021+immediately preceding state fiscal year to the general fund of each
3022+city, town, county, or school corporation with territory located
3023+within the innovation development district. If the board is required
3024+to transfer funds to more than one (1) city, town, county, or school
16513025 corporation under this subsection, the amount transferred to each
16523026 city, town, county, and school corporation must be allocated among
16533027 each city, town, county, and school corporation proportionately
16543028 based on each city's, town's, county's, and school corporation's
1655-property tax levy applied to property located within the innovation
1656-development district. A transfer under this subsection does not
1657-reduce the actual or maximum permissible levy of a city, town,
1658-county, or school corporation and may not be considered in
1659-determining a city's, town's, county's, or school corporation's
1660-maximum permissible ad valorem property tax levy limit under
1661-IC 6-1.1-18.5.
1662-(f) Each state fiscal year, the corporation may, after making the
3029+gross property tax levy.
3030+(f) This subsection applies only to a city, town, or county that
3031+receives funds under subsection (e). A city, town, or county may
3032+use funds received under subsection (e) to pay any:
3033+(1) costs incurred by the city, town, or county to construct,
3034+maintain, or operate utilities, transportation infrastructure,
3035+or any other public facility that provides services to the
3036+innovation development district; or
3037+(2) other costs deemed necessary by the city, town, or county
3038+to provide police or fire protection to the innovation
3039+development district.
3040+(g) Each state fiscal year, the board may, after making the
16633041 transfer required under subsection (e) and satisfying all debt
16643042 service obligations due and payable during the state fiscal year for
16653043 bonds issued under IC 5-1.2-4-4(a)(2), transfer from each local
16663044 innovation development district fund to the statewide innovation
1667-development district fund established by section 20 of this chapter
3045+development district fund established by section 22 of this chapter
16683046 an amount not to exceed one hundred percent (100%) of the net
16693047 incremental revenue derived from state income taxes and gross
1670-SEA 361 — CC 1 40
16713048 retail taxes deposited into each fund during the immediately
16723049 preceding state fiscal year.
1673-(g) Money in each local innovation development district fund at
3050+(h) Money in each local innovation development district fund at
16743051 the end of a state fiscal year does not revert to the state general
16753052 fund.
1676-(h) Money in each local innovation development district fund is
3053+(i) Money in each local innovation development district fund is
16773054 continuously appropriated for the purposes specified in this
1678-section.
1679-Sec. 20. (a) The statewide innovation development district fund
1680-is established within the state treasury to provide grants or loans
1681-to support the development or expansion of industry in Indiana.
1682-(b) The fund consists of the following:
1683-(1) Transfers from a local innovation development district
1684-fund under section 19(f) of this chapter.
1685-(2) Appropriations from the general assembly.
1686-(3) Loan repayments, including earnings from loans under
1687-subsection (d).
1688-(c) The corporation shall administer the fund. The following
1689-may be paid from money in the fund:
1690-(1) The expenses of administering the fund.
1691-(2) Nonrecurring administrative expenses incurred to carry
1692-out the purposes of this chapter.
1693-(d) Earnings from loans made under this chapter shall be
1694-deposited in the fund.
1695-(e) The corporation may make grants, loans, or investments
1696-from the fund for the following purposes:
1697-(1) For the purposes identified in section 19(d) of this chapter.
1698-(2) For the acquisition and improvement of land or other
1699-property.
1700-(3) For costs associated with creating new innovation
1701-development districts.
1702-(4) For the development of partnerships, including grants and
1703-loans, between the state, advanced industry, and higher
1704-educational institutions focused on development, expansion,
1705-or retention in the state.
1706-(5) For the stimulation of investments in entrepreneurial or
1707-high growth potential companies in the state.
1708-(6) For workforce training assistance in the state.
1709-(f) The corporation may use money in the fund to make a
3055+ES 361—LS 7135/DI 120 72
3056+section.".
3057+Page 28, line 7, delete "17." and insert "22.".
3058+Page 28, line 7, after "The" insert "statewide".
3059+Page 28, line 9, delete "an advanced".
3060+Page 28, line 12, delete "the general fund by the department of" and
3061+insert "a local innovation development district fund under section
3062+21(g) of this chapter.
3063+(2) Appropriations from the general assembly.".
3064+Page 28, delete lines 13 through 15.
3065+Page 28, line 20, delete "Expense" and insert "The expenses".
3066+Page 28, line 27, delete "IC 36-7-32-23(b)." and insert "section
3067+21(d) of this chapter.".
3068+Page 28, line 29, delete "and to support the expansion of industry in
3069+the state." and insert ".".
3070+Page 28, line 30, delete "the acquisition, development or investment
3071+in" and insert "costs associated with creating new innovation
3072+development districts.".
3073+Page 28, delete lines 31 through 32.
3074+Page 28, line 36, delete "in the interest of economic" and insert ".".
3075+Page 28, delete line 37.
3076+Page 28, line 40, delete "technology and equipment modernization
3077+and" and insert "workforce".
3078+Page 28, line 41, delete "development, and".
3079+Page 29, delete lines 1 through 3, begin a new paragraph and insert:
3080+"(f) The corporation may use money in the fund to make a
17103081 payment in lieu of a growing economy tax credit as provided in
1711-IC 6-3-5-5.
1712-Sec. 21. (a) Except as provided in subsection (b), money in the
1713-SEA 361 — CC 1 41
1714-statewide innovation development district fund established by
1715-section 20 of this chapter at the end of the state fiscal year does not
1716-revert to the state general fund.
1717-(b) Notwithstanding subsection (a), if the unobligated balance
3082+IC 6-3-5-5.".
3083+Page 29, line 4, delete "18. (a) Money in the" and insert "23. (a)
3084+Except as provided in subsection (b), money in the statewide".
3085+Page 29, line 5, delete "17" and insert "22".
3086+Page 29, between lines 6 and 7, begin a new paragraph and insert:
3087+"(b) Notwithstanding subsection (a), if the unobligated balance
17183088 of the statewide innovation development district fund established
1719-by section 20 of this chapter exceeds five hundred million dollars
3089+by section 22 of this chapter exceeds five hundred million dollars
17203090 ($500,000,000) at the close of any state fiscal year, the amount of
17213091 funds in excess of five hundred million dollars ($500,000,000) shall
1722-be transferred to the state general fund.
1723-(c) Money in the fund is continuously appropriated for the
1724-purposes of this chapter.
1725-Sec. 22. The corporation shall provide information on the
1726-innovation development district program in its economic incentive
1727-and compliance report submitted pursuant to IC 5-28-28-5, and to
1728-the budget committee, that includes the following:
1729-(1) Metrics established by the corporation to evaluate the
1730-effectiveness of the innovation development district in
1731-promoting economic growth in the state.
1732-(2) The number and amount of grants or loans from the
1733-statewide innovation development district fund established by
1734-section 20 of this chapter that are contractually awarded by
1735-the corporation for each innovation development district and
1736-in total for all innovation development districts statewide.
1737-(3) The name of each entity receiving a grant or loan from the
1738-statewide innovation development district fund established by
1739-section 20 of this chapter for each innovation development
1740-district and for all innovation development districts statewide.
3092+be transferred to the state general fund.".
3093+Page 29, line 7, delete "(b)" and insert "(c)".
3094+Page 29, delete lines 9 through 23.
3095+Page 29, line 24, delete "20." and insert "24.".
3096+Page 29, line 26, after "IC 5-28-28-5" insert ", and to the budget
3097+committee, that includes".
3098+ES 361—LS 7135/DI 120 73
3099+Page 29, line 27, delete "including".
3100+Page 29, line 29, delete "Innovation Development District" and
3101+insert "innovation development district".
3102+Page 29, line 31, delete "fund" and insert "statewide innovation
3103+development district fund established by section 22 of this chapter
3104+that are".
3105+Page 29, line 32, after "each" insert "innovation development".
3106+Page 29, line 33, after "all" insert "innovation development".
3107+Page 29, line 35, delete "fund for each district and for all districts
3108+statewide." and insert "statewide innovation development district
3109+fund established by section 22 of this chapter for each innovation
3110+development district and for all innovation development districts
3111+statewide.
17413112 (4) The amount and name of each entity for which there is a
17423113 unfunded obligation at the close of each state fiscal year.
17433114 (5) A report on each innovation development district
17443115 designated under this chapter that includes a description of:
17453116 (A) the general boundaries of the innovation development
17463117 district;
17473118 (B) the total acreage encompassed within the innovation
17483119 development district;
17493120 (C) the base assessed value of the innovation development
17503121 district;
17513122 (D) the gross retail base period amount determined for the
17523123 innovation development district;
17533124 (E) the income tax base period amount determined for the
17543125 innovation development district;
17553126 (F) the gross assessed value of all tangible real and
1756-SEA 361 — CC 1 42
17573127 personal property, without regard to any exemption
1758-granted by an executive or the corporation under section
1759-15(b) of this chapter, that is:
1760-(i) located within the innovation development district;
3128+granted by the board under section 17(b) of this chapter,
3129+that is:
3130+(i) assessed as commercial or industrial property under
3131+the rules of the department of local government finance;
17613132 and
1762-(ii) in the case of real property, assessed as commercial
1763-or industrial property under the rules of the department
1764-of local government finance;
3133+(ii) located within the innovation development district;
17653134 in each calendar year after the calendar year in which the
17663135 innovation development district was designated;
17673136 (G) the amount of incremental property tax revenue
17683137 deposited into the local innovation development district
1769-fund established by section 19 of this chapter in each state
3138+fund established by section 21 of this chapter in each state
17703139 fiscal year after the state fiscal year in which the
17713140 innovation development district was designated;
3141+ES 361—LS 7135/DI 120 74
17723142 (H) the amount of incremental state gross retail and use
17733143 tax revenue deposited into the local innovation
1774-development district fund established by section 19 of this
3144+development district fund established by section 21 of this
17753145 chapter in each state fiscal year after the state fiscal year
17763146 in which the innovation development district was
17773147 designated;
17783148 (I) the amount of incremental state adjusted gross income
17793149 tax revenue deposited into the local innovation
1780-development district fund established by section 19 of this
3150+development district fund established by section 21 of this
17813151 chapter in each state fiscal year after the state fiscal year
17823152 in which the innovation development district was
17833153 designated;
17843154 (J) the amount of revenue deposited into the local
17853155 innovation development district fund established by section
1786-19 of this chapter that was transferred into the statewide
3156+21 of this chapter that was transferred into the statewide
17873157 innovation development district fund established under
1788-section 20 of this chapter in each state fiscal year after the
3158+section 22 of this chapter in each state fiscal year after the
17893159 state fiscal year in which the innovation development
17903160 district was designated;
17913161 (K) the aggregate amount of bonds issued by the Indiana
17923162 finance authority under IC 5-1.2-4-4(a)(2) to pay for
17933163 projects within the innovation development district;
17943164 (L) the annual amount of debt service payments due on the
17953165 bonds described in clause (K); and
17963166 (M) a description of all economic development incentives
17973167 granted by the corporation to businesses located within the
17983168 innovation development district.
1799-SEA 361 — CC 1 43
1800-SECTION 29. [EFFECTIVE UPON PASSAGE] (a) For the
3169+SECTION 28. [EFFECTIVE UPON PASSAGE] (a) For the
18013170 biennium beginning July 1, 2021, and ending June 30, 2023, the
18023171 budget agency shall augment from the state general fund the
18033172 amount of money appropriated for the Indiana economic
18043173 development corporation for business promotion and innovation
18053174 in P.L.165-2021, SECTION 6, by an amount not to exceed three
18063175 hundred million dollars ($300,000,000). Notwithstanding
18073176 P.L.165-2021 or any other law, the Indiana economic development
18083177 corporation may transfer any funds allocated for business
18093178 promotion and innovation to the statewide innovation development
1810-district fund established by IC 36-7-32.5-20.
1811-(b) Notwithstanding any other law, the money augmented from
1812-the state general fund under subsection (a) to the Indiana economic
1813-development corporation for business promotion and innovation
1814-does not revert to the state general fund at the end of the state
1815-fiscal year and remains available in subsequent state fiscal years
1816-for the uses specified under state law.
3179+district fund established by IC 36-7-32.5-22 or to the Indiana
3180+promotion fund established by IC 5-28-5-12.
3181+(b) Notwithstanding any other law, funds appropriated to the
3182+Indiana economic development corporation for business promotion
3183+and innovation do not revert to the state general fund at the end of
3184+ES 361—LS 7135/DI 120 75
3185+the state fiscal year and remain available in subsequent state fiscal
3186+years for the uses specified under state law.
18173187 (c) This SECTION expires July 1, 2025.
1818-SECTION 30. [EFFECTIVE UPON PASSAGE] (a) As used in this
3188+SECTION 29. [EFFECTIVE UPON PASSAGE] (a) As used in this
18193189 SECTION, "corporation" refers to the Indiana economic
18203190 development corporation established by IC 5-28-3-1.
18213191 (b) The corporation shall identify and review state laws and
18223192 regulations that:
18233193 (1) are burdensome to existing Indiana businesses; or
18243194 (2) inhibit the creation of new businesses and industries in the
18253195 state.
18263196 (c) Not later than November 1, 2022, the corporation shall
18273197 provide a report with recommendations for amending the state
18283198 laws and regulations identified and reviewed under subsection (b)
18293199 to the general assembly and the budget committee in an electronic
18303200 format under IC 5-14-6.
18313201 (d) This SECTION expires July 1, 2023.
1832-SECTION 31. An emergency is declared for this act.
1833-SEA 361 — CC 1 President of the Senate
1834-President Pro Tempore
1835-Speaker of the House of Representatives
1836-Governor of the State of Indiana
1837-Date: Time:
1838-SEA 361 — CC 1
3202+SECTION 30. An emergency is declared for this act.".
3203+Renumber all SECTIONS consecutively.
3204+and when so amended that said bill do pass.
3205+(Reference is to SB 361 as reprinted February 1, 2022.)
3206+BROWN T
3207+Committee Vote: yeas 14, nays 8.
3208+_____
3209+HOUSE MOTION
3210+Mr. Speaker: I move that Engrossed Senate Bill 361 be amended to
3211+read as follows:
3212+Page 28, line 17, delete "and personal".
3213+Page 28, line 19, delete "and" and insert ", and taxable personal
3214+property, that".
3215+Page 31, line 3, delete "under IC 6-1.1-39, IC 8-22-3.5," and insert
3216+"under:
3217+(1) IC 5-1-17.5;
3218+(2) IC 6-1.1-39;
3219+(3) IC 8-22-3.5;
3220+(4) IC 36-7-13;
3221+ES 361—LS 7135/DI 120 76
3222+(5) IC 36-7-14;
3223+(6) IC 36-7-15.1;
3224+(7) IC 36-7-30;
3225+(8) IC 36-7-30.5;
3226+(9) IC 36-7-31;
3227+(10) IC 36-7-31.3;
3228+(11) IC 36-7-31.5;
3229+(12) IC 36-7-32;
3230+(13) IC 36-7.5-4.5; or
3231+(14) any other provision that authorizes the establishment of
3232+an allocation area.".
3233+Page 31, delete lines 4 through 6.
3234+Page 34, line 30, after "real" insert "property improvements".
3235+Page 34, line 30, after "personal property" insert ", or a part of real
3236+property improvements or personal property,".
3237+Page 34, line 30, delete "that is:" and insert "that:".
3238+Page 34, line 31, after "(1)" insert "in the case of real property
3239+improvements, is".
3240+Page 34, line 32, delete "and".
3241+Page 34, line 33, after "(2)" insert "is".
3242+Page 34, line 33, delete "district." and insert "district; and
3243+(3) was:
3244+(A) in the case of real property improvements,
3245+constructed; and
3246+(B) in the case of personal property, first entered into
3247+service;
3248+after the date that the innovation development district was
3249+designated under section 10 of this chapter.".
3250+Page 37, line 8, after "equal to" insert "not less than".
3251+(Reference is to ESB 361 as printed February 22, 2022.)
3252+BROWN T
3253+_____
3254+HOUSE MOTION
3255+Mr. Speaker: I move that Engrossed Senate Bill 361 be amended to
3256+read as follows:
3257+Page 31, line 25, delete "five (5)" and insert "six (6)".
3258+Page 31, line 28, delete "Two (2)" and insert "Three (3)".
3259+ES 361—LS 7135/DI 120 77
3260+(Reference is to ESB 361 as printed February 22, 2022.)
3261+HEINE
3262+_____
3263+HOUSE MOTION
3264+Mr. Speaker: I move that Engrossed Senate Bill 361 be amended to
3265+read as follows:
3266+Page 32, between lines 28 and 29, begin a new paragraph and insert:
3267+"(f) Neither a board nor the corporation may exercise the power
3268+of eminent domain within an innovation development district.".
3269+(Reference is to ESB 361 as printed February 22, 2022.)
3270+THOMPSON
3271+_____
3272+HOUSE MOTION
3273+Mr. Speaker: I move that Engrossed Senate Bill 361 be amended to
3274+read as follows:
3275+Page 16, between lines 23 and 24, begin a new line block indented
3276+and insert:
3277+"(3) a music production;".
3278+Page 16, line 24, delete "(3)" and insert "(4)".
3279+Page 16, line 26, delete "(4)" and insert "(5)".
3280+(Reference is to ESB 361 as printed February 22, 2022.)
3281+JUDY
3282+ES 361—LS 7135/DI 120