LEGISLATIVE SERVICES AGENCY
OFFICE OF FISCAL AND MANAGEMENT ANALYSIS
200 W. Washington St., Suite 301
Indianapolis, IN 46204
(317) 233-0696
iga.in.gov
FISCAL IMPACT STATEMENT
LS 6998 NOTE PREPARED: Feb 2, 2022
BILL NUMBER: SB 370 BILL AMENDED: Jan 31, 2022
SUBJECT: Community Infrastructure Improvement Districts.
FIRST AUTHOR: Sen. Buchanan BILL STATUS: As Passed Senate
FIRST SPONSOR: Rep. Lehman
FUNDS AFFECTED: GENERAL IMPACT: Local
DEDICATED
FEDERAL
Summary of Legislation: The bill creates a procedure to establish a Community Infrastructure Improvement
District. It specifies that the procedure added by the bill allowing for the establishment of a Community
Infrastructure Improvement District does not authorize the unit to establish a district that overlaps with an
Economic Improvement District. It also requires a petition for the establishment of a Community
Infrastructure Improvement District to include a rate and methodology report. It specifies the contents of the
report.
The bill specifies the basis upon which benefits accruing to parcels of real property within a Community
Infrastructure Improvement District may be apportioned among those parcels. It also requires a determination
that the aggregate assessments within a district do not exceed 30% of the projected assessed value of property
within the district before a legislative body may adopt an ordinance to establish a district.
The bill requires a Community Infrastructure Improvement Board to assist the County Treasurer in order to
make certain specified determinations and designations regarding annual assessments within a district. It adds
specific provisions that apply to the Community Infrastructure Improvement Board’s issuance of revenue
bonds.
Effective Date: July 1, 2022.
Explanation of State Expenditures:
Explanation of State Revenues:
SB 370 1 Explanation of Local Expenditures: County Treasurer: The County Treasurer shall make certain specific
determinations and designations regarding annual assessments within an Community Infrastructure
Improvement District. The Community Infrastructure Improvement Board will provide assistance with this
process. The bill’s requirements are within a County Treasurer’s routine administrative functions.
Community Infrastructure Improvement District: The bill allows for the establishment of Community
Infrastructure Improvement Districts. The bill does not authorize Community Infrastructure Improvement
District to overlap with an Economic Improvement District.
Community Infrastructure Improvement Board: The bill requires the establishment of a Community
Infrastructure Improvement Board if a district is established. The board is created by the legislative body.
The board must establish a Community Infrastructure Improvement Fund. The bill allows a Community
Infrastructure Improvement Board to issue bonds to finance the economic improvement projects in a district.
The special assessments made on the properties within the district would be used to pay the bonds. The bonds
would not be an obligation of the local unit that established the district.
Public Hearing Provision: A local unit may need to hold additional public hearings for a proposed
Community Infrastructure Improvement District. The local unit must hear all real property owners in the
proposed district who appear and request to be heard upon certain questions. The legislative body may adopt
an ordinance only if it determines that the petition has been signed by 100% of the real property owners
subject to assessment within the proposed district.
Explanation of Local Revenues: Community Infrastructure Improvement Petition: The bill requires that
the total of all assessments made on the properties within a Community Infrastructure Improvement District
do not exceed 30% of the projected AV of all the properties in the district. This requirement will impact the
scope of the economic improvement projects and the assessments imposed on the properties within the
district.
Community Infrastructure Improvement Fund: Assessments collected for the Community Infrastructure
Improvement District must be paid to the board and deposited in a Community Infrastructure Improvement
Fund. Any money earned from the investment of money in the fund becomes a part of the fund.
State Agencies Affected:
Local Agencies Affected: Counties and municipalities.
Information Sources:
Fiscal Analyst: Seth Payton, 317-233-3546.
SB 370 2