Indiana 2022 Regular Session

Indiana Senate Bill SB0370 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	SB0370.2
2		-	Reprinted
3		-	February 1, 2022
	1	+	SB0370.1
	2	+	January 26, 2022
4	3		SENATE BILL No. 370
5	4		_____
6		-	DIGEST OF SB 370 (Updated January 31, 2022 5:~~27 pm~~ - DI 129)
	5	+	DIGEST OF SB 370 (Updated January 25, 2022 10:42 am - DI 129)
7	6		Citations Affected: IC 36-7.
8	7		Synopsis: Community infrastructure improvement districts. Creates
9	8		a procedure to establish a community infrastructure improvement
10	9		district (district). Specifies that the procedure added by the bill
11	10		allowing for the establishment of a district does not authorize the unit
12	11		to establish a district that overlaps with an economic improvement
13	12		district. Requires a petition for the establishment of a district to include
14	13		a rate and methodology report. Specifies the contents of the report.
15	14		Specifies the basis upon which benefits accruing to parcels of real
16	15		property within a district may be apportioned among those parcels.
17	16		Requires a determination that the aggregate assessments within a
18	17		district do not exceed 30% of the projected assessed value of property
19	18		within the district before a legislative body may adopt an ordinance to
20	19		establish a district. Requires a community infrastructure improvement
21	20		board (board) to assist the county treasurer in order to make certain
22	21		specified determinations and designations regarding annual
23	22		assessments within a district. Adds specific provisions that apply to the
24	23		board's issuance of revenue bonds.
25	24		Effective: July 1, 2022.
26	25		Buchanan, Baldwin, Busch, Lanane,
27		-	Randolph Lonnie M~~, Rogers, Raatz~~
	26	+	Randolph Lonnie M
28	27		January 11, 2022, read first time and referred to Committee on Tax and Fiscal Policy.
29	28		January 25, 2022, amended, reported favorably — Do Pass.
30		-	January 31, 2022, read second time, amended, ordered engrossed.
31		-	SB 370—LS 6998/DI 120 Reprinted
32		-	February 1, 2022
	29	+	SB 370—LS 6998/DI 120 January 26, 2022
33	30		Second Regular Session of the 122nd General Assembly (2022)
34	31		PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
35	32		Constitution) is being amended, the text of the existing provision will appear in this style type,
36	33		additions will appear in this style type, and deletions will appear in this style type.
37	34		Additions: Whenever a new statutory provision is being enacted (or a new constitutional
38	35		provision adopted), the text of the new provision will appear in this style type. Also, the
39	36		word NEW will appear in that style type in the introductory clause of each SECTION that adds
40	37		a new provision to the Indiana Code or the Indiana Constitution.
41	38		Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
42	39		between statutes enacted by the 2021 Regular Session of the General Assembly.
43	40		SENATE BILL No. 370
44	41		A BILL FOR AN ACT to amend the Indiana Code concerning local
45	42		government.
46	43		Be it enacted by the General Assembly of the State of Indiana:
47	44		1 SECTION 1. IC 36-7-22.1 IS ADDED TO THE INDIANA CODE
48	45		2 AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
49	46		3 JULY 1, 2022]:
50	47		4 Chapter 22.1. Community Infrastructure Improvement
51	48		5 Districts
52	49		6 Sec. 1. (a) This chapter applies to all units except townships.
53	50		7 (b) This chapter does not authorize a unit to establish a
54	51		8 community infrastructure improvement district that overlaps with
55	52		9 an economic improvement district established under IC 36-7-22.
56	53		10 Sec. 1.5. As used in this chapter, "assessment" means a charge
57	54		11 determined under section 11(a) of this chapter by applying the
58	55		12 percentage of benefit apportioned to a parcel within a community
59	56		13 infrastructure improvement district to the cost associated with
60	57		14 economic development projects giving rise to such benefits. Costs
61	58		15 subject to assessment for these purposes include all costs of the
62	59		16 economic improvement projects as well as financing and
63	60		17 administrative costs. In the case of bonds or notes issued pursuant
64	61		SB 370—LS 6998/DI 120 2
65	62		1 to section 23 of this chapter, financing costs shall include, without
66	63		2 limitation, principal and interest, related reserve funds, cost of
67	64		3 insurance, and costs associated with ancillary financial
68	65		4 arrangements with respect to the bonds or notes.
69	66		5 Sec. 2. As used in this chapter, "board" refers to a community
70	67		6 infrastructure improvement board established under section 10 of
71	68		7 this chapter.
72	69		8 Sec. 3. As used in this chapter, "economic improvement project"
73	70		9 means the following:
74	71		10 (1) Planning or managing development or improvement
75	72		11 activities.
76	73		12 (2) Designing, landscaping, beautifying, constructing, or
77	74		13 maintaining public areas, public improvements, or public
78	75		14 ways (including designing, constructing, or maintaining
79	76		15 lighting, infrastructure, utility facilities, improvements, and
80	77		16 equipment, water facilities, improvements, and equipment,
81	78		17 sewage facilities, improvements, and equipment, streets, or
82	79		18 sidewalks for a public area or public way).
83	80		19 (3) Promoting commercial activity or public events.
84	81		20 (4) Supporting business recruitment and development.
85	82		21 (5) Providing security for public areas.
86	83		22 (6) Acquiring, constructing, or maintaining parking facilities.
87	84		23 (7) Constructing, rehabilitating, or repairing residential
88	85		24 property, including improvements related to the habitability
89	86		25 of the residential property.
90	87		26 (8) Acquiring, constructing, rehabilitating, or repairing
91	88		27 redevelopment projects, economic development facilities
92	89		28 described in IC 36-7-11.9-3, pollution control facilities
93	90		29 described in IC 36-7-11.9-9, or other local improvements.
94	91		30 (9) Constructing, rehabilitating, or repairing industrial or
95	92		31 commercial property associated with a qualified
96	93		32 redevelopment site (as defined in IC 6-3.1-34-6).
97	94		33 Sec. 3.2. As used in this chapter, "projected assessed value"
98	95		34 means:
99	96		35 (1) with respect to the community infrastructure
100	97		36 improvement district, an assessed value of the property within
101	98		37 the community infrastructure improvement district, plus the
102	99		38 as-built projected assessed value of the economic development
103	100		39 project to be constructed in the community infrastructure
104	101		40 improvement district as determined pursuant to a third party
105	102		41 evaluation accepted by the legislative body; and
106	103		42 (2) with respect to an individual parcel, the as-built (or
107	104		SB 370—LS 6998/DI 120 3
108	105		1 as-improved, as appropriate) projected assessed value of the
109	106		2 parcel as determined pursuant to a third party evaluation
110	107		3 accepted by the legislative body;
111	108		4 including in both cases the assessed value of a property subject to
112	109		5 a voluntary assessment agreement as set forth in section 7(e) of this
113	110		6 chapter.
114	111		7 Sec. 3.4. As used in this chapter, "rate and method
115	112		8 apportionment report" means a report relating to a developer's
116	113		9 planned economic development of the subject parcels, which must
117	114		10 set forth at least the following:
118	115		11 (1) A list of parcels consistent with the parcels identified in the
119	116		12 petition for the establishment of the community infrastructure
120	117		13 improvement district under section 4 of this chapter.
121	118		14 (2) A statement of:
122	119		15 (A) the proposed assessment formula under section 4(b)(5)
123	120		16 of this chapter;
124	121		17 (B) the apportionment of benefits under section 5(a) of this
125	122		18 chapter; and
126	123		19 (C) zones or other classifications, if any, relating to the
127	124		20 formula under clause (A) or the apportionment under
128	125		21 clause (B).
129	126		22 (3) The proposed total assessment per parcel, including:
130	127		23 (A) the lump sum payment amount if the assessment is
131	128		24 payable as a lump sum;
132	129		25 (B) the method for converting a lump sum assessment to
133	130		26 annual installments, if applicable; and
134	131		27 (C) a schedule of annual installments and an
135	132		28 accompanying amortization schedule of the assessment, if
136	133		29 any.
137	134		30 (4) A statement of the basis and methodology for reassessment
138	135		31 in the case of a parcel division or consolidation of the assessed
139	136		32 property, status of development or the completion of
140	137		33 improvements associated with the assessed property or
141	138		34 changes in zoning classification of the property, and any
142	139		35 resulting assessment changes.
143	140		36 (5) The proposed maximum number of years during which the
144	141		37 assessment may be paid in annual installments.
145	142		38 (6) The proposed method for establishing the assessment for
146	143		39 the initial year and each year thereafter.
147	144		40 Sec. 4. (a) A person that intends to file a petition for the
148	145		41 establishment of a community infrastructure improvement district
149	146		42 under this section must first provide written notice to the clerk (as
150	147		SB 370—LS 6998/DI 120 4
151	148		1 defined in IC 36-1-2) in the case of a municipality, or the county
152	149		2 auditor, in the case of a county, of the person's intent before
153	150		3 initiating the petition process.
154	151		4 (b) A petition for the establishment of a community
155	152		5 infrastructure improvement district may be filed with the clerk of
156	153		6 the municipality or the county auditor not later than one hundred
157	154		7 twenty (120) days after the date on which the notice of intent for
158	155		8 the petition is filed with the clerk of the municipality or the county
159	156		9 auditor under subsection (a). The petition must include the
160	157		10 following information:
161	158		11 (1) The boundaries of the proposed district, including the
162	159		12 boundaries of any zones to be established under section 5(b)
163	160		13 of this chapter.
164	161		14 (2) The name and address of each parcel and owner of land
165	162		15 within the proposed district and a description of the existing
166	163		16 land use and zoning classification of each parcel.
167	164		17 (3) A detailed description of the economic improvement
168	165		18 projects to be carried out within the proposed district, the
169	166		19 estimated cost of these projects, and the benefits to accrue to
170	167		20 the property owners within the district.
171	168		21 (4) A plan for the application of assessment revenue to the
172	169		22 cost of the economic improvement projects within the district.
173	170		23 (5) A proposed formula for determining the percentage of the
174	171		24 total benefit to be received by each parcel of real property
175	172		25 within the district, in the manner provided by section 5 of this
176	173		26 chapter.
177	174		27 (6) The number of years in which assessments will be levied.
178	175		28 (7) A proposed list of members for the board.
179	176		29 (c) The petition shall be accompanied by a rate and method
180	177		30 apportionment report.
181	178		31 (d) The clerk of the municipality or the county auditor shall
182	179		32 retain the paper copy of a petition filed under this section for not
183	180		33 less than ninety (90) days from the date the petition is filed with the
184	181		34 clerk of the municipality or the county auditor.
185	182		35 Sec. 5. (a) The benefits accruing to parcels of real property
186	183		36 within a community infrastructure improvement district may be
187	184		37 apportioned among those parcels on any basis reasonably
188	185		38 representative of the diffusion of benefits from the economic
189	186		39 improvement project, including the following:
190	187		40 (1) Proximity of the parcel to the project.
191	188		41 (2) Accessibility of the parcel to the project.
192	189		42 (3) True cash value of the parcel.
193	190		SB 370—LS 6998/DI 120 5
194	191		1 (4) True cash value of any improvement on the parcel.
195	192		2 (5) Age of any improvement on the parcel.
196	193		3 (6) Land use class of the parcel.
197	194		4 (7) Equivalent units, including, in the case of an apartment
198	195		5 building, the number of units in the building.
199	196		6 (8) Parcel square footage.
200	197		7 (9) Parcel front footage.
201	198		8 (10) Gross floor area.
202	199		9 (11) Benefit availability.
203	200		10 (12) Impervious surface area.
204	201		11 (13) Other similar factors.
205	202		12 The apportionment of benefits under this subsection may be
206	203		13 adjusted by zone or land use as provided in subsections (b) and (c).
207	204		14 (b) If the benefit of the economic development project varies
208	205		15 from one (1) area to another within the community infrastructure
209	206		16 improvement district, up to three (3) zones may be established
210	207		17 within the district to delineate the approximate difference in
211	208		18 beneficial impact, and benefits may be apportioned accordingly.
212	209		19 (c) In order to encourage the retention or development of
213	210		20 various land uses within the district, assessments may be adjusted
214	211		21 according to the zoning classification of the property.
215	212		22 Sec. 6. (a) After receipt of a petition under section 4 of this
216	213		23 chapter, the clerk of the municipality or county auditor shall, in the
217	214		24 manner provided by IC 5-3-1, publish notice of a hearing on the
218	215		25 proposed community infrastructure improvement district. The
219	216		26 clerk of the municipality or the county auditor shall mail a copy of
220	217		27 the notice to each owner of real property within the proposed
221	218		28 community infrastructure improvement district. The notice must
222	219		29 include the boundaries of the proposed district, a description of the
223	220		30 proposed projects, the proposed formula for determining the
224	221		31 percentage of the total benefit to be received by each parcel of
225	222		32 property, and the hearing date. The date of the hearing may not be
226	223		33 more than sixty (60) days after the date on which the notice is
227	224		34 mailed.
228	225		35 (b) At the public hearing under subsection (a), the legislative
229	226		36 body shall hear all owners of real property in the proposed district
230	227		37 (who appear and request to be heard) upon the questions of:
231	228		38 (1) the sufficiency of the notice;
232	229		39 (2) whether the proposed economic improvement projects are
233	230		40 of public utility and benefit;
234	231		41 (3) whether the formula to be used for the assessment of
235	232		42 special benefits is appropriate; and
236	233		SB 370—LS 6998/DI 120 6
237	234		1 (4) whether the district contains all, or more or less than all,
238	235		2 of the property specially benefited by the proposed project.
239	236		3 Sec. 7. (a) After conducting a hearing on the proposed
240	237		4 community infrastructure improvement district, the legislative
241	238		5 body may adopt an ordinance establishing the community
242	239		6 infrastructure improvement district if it determines that:
243	240		7 (1) the petition meets the requirements of this section and
244	241		8 sections 4 and 5 of this chapter;
245	242		9 (2) the economic improvement projects to be undertaken in
246	243		10 the district will provide special benefits to property owners in
247	244		11 the district and will be of public utility and benefit;
248	245		12 (3) the benefits provided by the project will be new benefits
249	246		13 that do not replace benefits existing before the establishment
250	247		14 of the district;
251	248		15 (4) the formula to be used for the assessment of benefits is
252	249		16 appropriate; and
253	250		17 (5) aggregate assessments under this chapter do not exceed
254	251		18 thirty percent (30%) of the projected assessed value of
255	252		19 property within the district.
256	253		20 (b) The legislative body may adopt the ordinance only if it
257		-	21 determines that the petition has been signed by ~~one hundred~~
258		-	22 percent (~~100~~%) of the owners of real property ~~subject to~~
259		-	23 ~~assessment~~ within the proposed district.
260		-	24 (c) ~~Unless an owner~~ of property ~~has entered into a voluntary~~
261		-	25 ~~assessment agreement associated with~~ the ~~economic improvement~~
262		-	26 ~~project, the signature of a person shall not be considered in~~
263		-	27 ~~determining whether the requirement under subsection~~ (b) ~~is met~~
264		-	28 if the ~~person's property:~~
265		-	29 ~~(1) is:~~
266		-	30 (A) ~~owned by a nonprofit entity and is exempt from~~
267		-	31 property ~~taxation under IC 6-1.1-10-16;~~
268		-	32 (B) ~~owned by this state or a state agency or leased to a~~
269		-	33 ~~state agency~~ and is exempt from ~~property taxation under~~
270		-	34 IC 6-1.1-10 ~~or any other law~~; or
271		-	35 (C) owned by ~~a political subdivision of~~ this state ~~and is~~
272		-	36 exempt from property taxation under ~~IC 6-1.1-10 or any~~
273		-	37 other law; or
274		-	38 (2) ~~would be exempt from assessments under the ordinance.~~
275		-	39 ~~(d) In addition, unless an owner of~~ property ~~has entered into a~~
276		-	40 ~~voluntary assessment agreement, neither the parcel of real~~
277		-	41 ~~property nor~~ the ~~assessed value of any property may be considered~~
278		-	42 in ~~determining the total parcels~~ of ~~real~~ property ~~or the total~~
	254	+	21 determines that the petition has been signed by:
	255	+	22 (1) at least sixty percent (60%) of the owners of real property
	256	+	23 within the proposed district; and
	257	+	24 (2) the owners of real property constituting at least sixty
	258	+	25 percent (60%) of the total assessed valuation in the proposed
	259	+	26 district.
	260	+	27 (c) Unless an owner of property has entered into a voluntary
	261	+	28 assessment agreement associated with the economic improvement
	262	+	29 project, the signature of a person shall not be considered in
	263	+	30 determining whether the requirements under subsection (b) are
	264	+	31 met if the person's property:
	265	+	32 (1) is:
	266	+	33 (A) owned by a nonprofit entity and is exempt from
	267	+	34 property taxation under IC 6-1.1-10-16;
	268	+	35 (B) owned by this state or a state agency or leased to a
	269	+	36 state agency and is exempt from property taxation under
	270	+	37 IC 6-1.1-10 or any other law; or
	271	+	38 (C) owned by a political subdivision of this state and is
	272	+	39 exempt from property taxation under IC 6-1.1-10 or any
	273	+	40 other law; or
	274	+	41 (2) would be exempt from assessments under the ordinance.
	275	+	42 (d) In addition, unless an owner of property has entered into a
279	276		SB 370—LS 6998/DI 120 7
280		-	1 ~~assessed value~~ of ~~property in the proposed district for purposes of~~
281		-	2 ~~determining whether~~ the ~~requirement under subsection (b) is met~~
282		-	3 if the property:
283		-	4 ~~(1) is:~~
284		-	5 (A) ~~owned by a nonprofit entity and is exempt from~~
285		-	6 property ~~taxation under IC 6-1.1-10-16;~~
286		-	7 (B) ~~owned by this state or a state agency or leased to a~~
287		-	8 ~~state agency~~ and is exempt from ~~property taxation under~~
288		-	9 IC 6-1.1-10 ~~or any other law~~; or
289		-	10 (C) owned by ~~a political subdivision of~~ this state ~~and is~~
290		-	11 exempt from property taxation under ~~IC 6-1.1-10 or any~~
291		-	12 other law; or
292		-	13 (2) ~~would be exempt from assessment under the ordinance.~~
293		-	14 ~~(e) The assessed value of a~~ property ~~subject to a voluntary~~
294		-	15 ~~assessment agreement is the most recent of valuations from either~~
295		-	16 the ~~county assessor or a third party evaluation accepted by the~~
296		-	17 ~~legislative body.~~
297		-	18 ~~Sec. 8.~~ ~~(a) An ordinance adopted under section 7~~ of ~~this chapter~~
298		-	19 ~~may be repealed~~ or ~~amended only after notice of~~ the ~~proposed~~
299		-	20 ~~repeal or amendment is published and mailed in the manner~~
300		-	21 ~~provided by~~ section 6 of this chapter~~. However, in no event shall~~
301		-	22 ~~any ordinance adopted under this chapter~~ be repealed or amended
302		-	23 ~~if there~~ is ~~any outstanding debt payable from assessments.~~
303		-	24 ~~(b) Notwithstanding subsection (a)~~, ~~an ordinance adopted under~~
304		-	25 ~~section 7 of~~ this chapter ~~may~~ be amended ~~to add additional,~~
305		-	26 ~~contiguous parcels to which benefits of economic improvement~~
306		-	27 ~~projects accrue at the request of the owner or owners of such~~
307		-	28 ~~parcels. If an ordinance is~~ amended ~~under this subsection~~, ~~the rate~~
308		-	29 ~~and method~~ of ~~apportionment report shall be amended to reflect~~
309		-	30 the ~~revised list~~ of ~~parcels and related assessments,~~ ~~and notice must~~
310		-	31 ~~be provided~~ under ~~section 11(b) of~~ this ~~chapter.~~
311		-	32 ~~Sec. 9. An ordinance adopted under section 7~~ of ~~this chapter~~
312		-	33 ~~may provide that businesses established within~~ the ~~district after the~~
313		-	34 ~~creation~~ of ~~the district are exempt from special assessments for a~~
314		-	35 ~~period not to exceed one (1) year.~~
315		-	36 ~~Sec. 10.~~ ~~An ordinance adopted under section 7 of this chapter~~
316		-	37 ~~must establish~~ a ~~community infrastructure improvement board to~~
317		-	38 ~~be appointed by the legislative body~~. ~~The board must have at least~~
318		-	39 ~~three (3) members,~~ ~~and a majority~~ of ~~the board members must own~~
319		-	40 ~~real property within the district.~~ ~~However, if there is only one (1)~~
320		-	41 ~~property owner within a district,~~ the legislative body ~~shall appoint~~
321		-	42 ~~one~~ (1) ~~member to~~ the ~~community infrastructure improvement~~
	277	+	1 voluntary assessment agreement, neither the parcel of real
	278	+	2 property nor the assessed value of any property may be considered
	279	+	3 in determining the total parcels of real property or the total
	280	+	4 assessed value of property in the proposed district for purposes of
	281	+	5 determining whether the requirements under subsection (b) are
	282	+	6 met if the property:
	283	+	7 (1) is:
	284	+	8 (A) owned by a nonprofit entity and is exempt from
	285	+	9 property taxation under IC 6-1.1-10-16;
	286	+	10 (B) owned by this state or a state agency or leased to a
	287	+	11 state agency and is exempt from property taxation under
	288	+	12 IC 6-1.1-10 or any other law; or
	289	+	13 (C) owned by a political subdivision of this state and is
	290	+	14 exempt from property taxation under IC 6-1.1-10 or any
	291	+	15 other law; or
	292	+	16 (2) would be exempt from assessment under the ordinance.
	293	+	17 (e) The assessed value of a property subject to a voluntary
	294	+	18 assessment agreement is the most recent of valuations from either
	295	+	19 the county assessor or a third party evaluation accepted by the
	296	+	20 legislative body.
	297	+	21 Sec. 8. (a) An ordinance adopted under section 7 of this chapter
	298	+	22 may be repealed or amended only after notice of the proposed
	299	+	23 repeal or amendment is published and mailed in the manner
	300	+	24 provided by section 6 of this chapter. However, in no event shall
	301	+	25 any ordinance adopted under this chapter be repealed or amended
	302	+	26 if there is any outstanding debt payable from assessments.
	303	+	27 (b) Notwithstanding subsection (a), an ordinance adopted under
	304	+	28 section 7 of this chapter may be amended to add additional,
	305	+	29 contiguous parcels to which benefits of economic improvement
	306	+	30 projects accrue at the request of the owner or owners of such
	307	+	31 parcels. If an ordinance is amended under this subsection, the rate
	308	+	32 and method of apportionment report shall be amended to reflect
	309	+	33 the revised list of parcels and related assessments, and notice must
	310	+	34 be provided under section 11(b) of this chapter.
	311	+	35 Sec. 9. An ordinance adopted under section 7 of this chapter
	312	+	36 may provide that businesses established within the district after the
	313	+	37 creation of the district are exempt from special assessments for a
	314	+	38 period not to exceed one (1) year.
	315	+	39 Sec. 10. An ordinance adopted under section 7 of this chapter
	316	+	40 must establish a community infrastructure improvement board to
	317	+	41 be appointed by the legislative body. The board must have at least
	318	+	42 three (3) members, and a majority of the board members must own
322	319		SB 370—LS 6998/DI 120 8
323		-	1 ~~board who owns~~ real property within the district ~~and not more~~
324		-	2 ~~than two (2) other members who are not required to own real~~
325		-	3 ~~property within~~ the ~~district.~~
326		-	4 ~~Sec. 11.~~ ~~(a)~~ The ~~following apply:~~
327		-	5 (1) ~~The board shall use the formula approved by the~~
328		-	6 ~~legislative body under section 7(a)(4) of this chapter to~~
329		-	7 ~~determine~~ the ~~percentage of benefit to be received by each~~
330		-	8 ~~parcel of real property within~~ the ~~community infrastructure~~
331		-	9 ~~improvement district.~~ ~~The board shall apply the percentage~~
332		-	10 ~~determined for each parcel to~~ the ~~total amount that is~~ to be
333		-	11 ~~defrayed by special assessment and determine~~ the ~~special~~
334		-	12 ~~assessment for each parcel.~~
335		-	13 ~~(2) In~~ the ~~event of a reassessment as provided in section 3.4(4)~~
336		-	14 ~~of this chapter,~~ the ~~next assessment installment will include an~~
337		-	15 ~~additional amount owed,~~ ~~if any, equal to the difference~~
338		-	16 ~~between~~ the ~~amount originally calculated~~ in ~~subdivision~~ (1)
339		-	17 ~~and~~ the ~~amount calculated pursuant to subdivision (1) using~~
340		-	18 the ~~reassessment methodology described in the rate and~~
341		-	19 ~~method of apportionment report.~~
342		-	20 ~~(b) Promptly after determining~~ the ~~proposed assessment for~~
343		-	21 ~~each parcel,~~ the ~~board shall mail notice to each owner of property~~
344		-	22 ~~to be assessed~~. ~~The notice must:~~
345		-	23 (1) ~~describe any potential~~ proposed ~~special~~ assessment ~~and~~
346		-	24 ~~estimates~~ of ~~related annual installments thereof, including any~~
347		-	25 ~~method by which~~ the ~~assessments or installments may change~~
348		-	26 ~~depending on factors as set forth in the rate~~ and ~~method of~~
349		-	27 ~~apportionment report;~~
350		-	28 ~~(2) state that~~ the ~~rate and method of apportionment report~~
351		-	29 and ~~the proposed special assessment on each parcel~~ of ~~real~~
352		-	30 ~~property in the community infrastructure improvement~~
353		-	31 ~~district is on file~~ and ~~can be seen in the board's office;~~
354		-	32 ~~(3) state~~ the ~~time and place where written remonstrances~~
355		-	33 ~~against~~ the ~~special assessment may be filed;~~
356		-	34 ~~(4) set forth the time~~ and ~~place where~~ the board ~~will hear any~~
357		-	35 ~~owner of assessed real property who has filed a remonstrance~~
358		-	36 ~~before~~ the ~~hearing date~~; ~~and~~
359		-	37 (5) ~~state that~~ the board~~, after hearing evidence, may decrease,~~
360		-	38 ~~or leave unchanged,~~ ~~the special assessment on any parcel.~~
361		-	39 ~~(c)~~ The ~~notices must be deposited in the mail twenty (20) days~~
362		-	40 ~~before~~ the hearing ~~date. The notices to the owners must be~~
363		-	41 ~~addressed as~~ the ~~names and addresses appear~~ on ~~the tax duplicates~~
364		-	42 ~~and~~ the ~~records of~~ the ~~county auditor.~~
	320	+	1 real property within the district. However, if there is only one (1)
	321	+	2 property owner within a district, the legislative body shall appoint
	322	+	3 one (1) member to the community infrastructure improvement
	323	+	4 board who owns real property within the district and not more
	324	+	5 than two (2) other members who are not required to own real
	325	+	6 property within the district.
	326	+	7 Sec. 11. (a) The following apply:
	327	+	8 (1) The board shall use the formula approved by the
	328	+	9 legislative body under section 7(a)(4) of this chapter to
	329	+	10 determine the percentage of benefit to be received by each
	330	+	11 parcel of real property within the community infrastructure
	331	+	12 improvement district. The board shall apply the percentage
	332	+	13 determined for each parcel to the total amount that is to be
	333	+	14 defrayed by special assessment and determine the special
	334	+	15 assessment for each parcel.
	335	+	16 (2) In the event of a reassessment as provided in section 3.4(4)
	336	+	17 of this chapter, the next assessment installment will include an
	337	+	18 additional amount owed, if any, equal to the difference
	338	+	19 between the amount originally calculated in subdivision (1)
	339	+	20 and the amount calculated pursuant to subdivision (1) using
	340	+	21 the reassessment methodology described in the rate and
	341	+	22 method of apportionment report.
	342	+	23 (b) Promptly after determining the proposed assessment for
	343	+	24 each parcel, the board shall mail notice to each owner of property
	344	+	25 to be assessed. The notice must:
	345	+	26 (1) describe any potential proposed special assessment and
	346	+	27 estimates of related annual installments thereof, including any
	347	+	28 method by which the assessments or installments may change
	348	+	29 depending on factors as set forth in the rate and method of
	349	+	30 apportionment report;
	350	+	31 (2) state that the rate and method of apportionment report
	351	+	32 and the proposed special assessment on each parcel of real
	352	+	33 property in the community infrastructure improvement
	353	+	34 district is on file and can be seen in the board's office;
	354	+	35 (3) state the time and place where written remonstrances
	355	+	36 against the special assessment may be filed;
	356	+	37 (4) set forth the time and place where the board will hear any
	357	+	38 owner of assessed real property who has filed a remonstrance
	358	+	39 before the hearing date; and
	359	+	40 (5) state that the board, after hearing evidence, may decrease,
	360	+	41 or leave unchanged, the special assessment on any parcel.
	361	+	42 (c) The notices must be deposited in the mail twenty (20) days
365	362		SB 370—LS 6998/DI 120 9
366		-	1 ~~(d) At~~ the ~~time fixed in~~ the ~~notice,~~ the ~~board shall hear any~~
367		-	2 ~~owner of assessed real property who has filed a written~~
368		-	3 ~~remonstrance before~~ the ~~date~~ of the ~~hearing~~. ~~The hearing may be~~
369		-	4 ~~continued from~~ time ~~to time as long as is necessary to~~ hear ~~the~~
370		-	5 ~~owners.~~
371		-	6 ~~(e)~~ The ~~board shall render its decision by either confirming or~~
372		-	7 ~~decreasing each special assessment by setting opposite each name,~~
373		-	8 ~~parcel, and proposed assessment, the amount of the assessment as~~
374		-	9 ~~determined by~~ the board~~. However,~~ ~~if the total of the special~~
375		-	10 ~~assessments exceeds the amount needed~~, ~~the board shall make a~~
376		-	11 ~~prorated reduction in each special~~ assessment.
377		-	12 ~~(f) Except as provided in section 12~~ of ~~this chapter,~~ the ~~signing~~
378		-	13 of the ~~special assessment schedule by a majority of~~ the ~~members of~~
379		-	14 ~~the board and the delivery of the schedule to the county auditor~~
380		-	15 ~~constitute a final and conclusive determination~~ of the ~~benefits that~~
381		-	16 ~~are assessed.~~
382		-	17 ~~(g) Each special assessment is a lien on~~ the ~~real property that is~~
383		-	18 ~~assessed~~ and ~~is subordinate to and subject to all other liens and~~
384		-	19 ~~encumbrances then existing or thereafter created~~.
385		-	20 (h) The ~~board shall certify to the county auditor the schedule of~~
386		-	21 ~~special assessments of benefits.~~ ~~For purposes of providing~~
387		-	22 ~~substantiation of the deductibility of a special assessment for~~
388		-	23 ~~federal adjusted gross income tax purposes under Section 164~~ of
389		-	24 ~~the Internal Revenue Code,~~ ~~the board shall,~~ ~~to the extent~~
390		-	25 ~~practicable, supplement~~ the ~~schedule~~ of special ~~assessments~~
391		-	26 ~~provided to the county auditor with a statement that identifies the~~
392		-	27 ~~part of each special assessment that is allocable~~ to ~~interest,~~
393		-	28 ~~maintenance~~, ~~and repair charges. If~~ the ~~board provides the county~~
394		-	29 ~~auditor with the statement,~~ the county auditor ~~shall show,~~ on the
395		-	30 ~~tax statement, the~~ part of ~~the~~ special assessment that is ~~for~~ interest
396		-	31 ~~and~~ maintenance and repair ~~items separately from~~ the ~~remainder~~
397		-	32 of the ~~special assessment.~~
398		-	33 ~~(i) An assessment or reassessment, interest~~, the ~~expense~~ of
399		-	34 ~~collection,~~ and ~~reasonable attorney's fees,~~ ~~if incurred,~~ ~~is:~~
400		-	35 ~~(1) a lien that is effective from the date~~ of the ~~ordinance or~~
401		-	36 ~~order levying~~ the ~~assessment until the assessment is paid;~~
402		-	37 ~~(2) a lien that is subject to~~ and ~~subordinate to~~:
403		-	38 (A) ~~all liens and encumbrances existing at~~ the ~~time~~ the
404		-	39 assessment ~~lien becomes effective~~; ~~and~~
405		-	40 (B) ~~any later extension or amendment of the liens~~ and
406		-	41 encumbrances existing at the time ~~assessment lien became~~
407		-	42 effective;
	363	+	1 before the hearing date. The notices to the owners must be
	364	+	2 addressed as the names and addresses appear on the tax duplicates
	365	+	3 and the records of the county auditor.
	366	+	4 (d) At the time fixed in the notice, the board shall hear any
	367	+	5 owner of assessed real property who has filed a written
	368	+	6 remonstrance before the date of the hearing. The hearing may be
	369	+	7 continued from time to time as long as is necessary to hear the
	370	+	8 owners.
	371	+	9 (e) The board shall render its decision by either confirming or
	372	+	10 decreasing each special assessment by setting opposite each name,
	373	+	11 parcel, and proposed assessment, the amount of the assessment as
	374	+	12 determined by the board. However, if the total of the special
	375	+	13 assessments exceeds the amount needed, the board shall make a
	376	+	14 prorated reduction in each special assessment.
	377	+	15 (f) Except as provided in section 12 of this chapter, the signing
	378	+	16 of the special assessment schedule by a majority of the members of
	379	+	17 the board and the delivery of the schedule to the county auditor
	380	+	18 constitute a final and conclusive determination of the benefits that
	381	+	19 are assessed.
	382	+	20 (g) Each special assessment is a lien on the real property that is
	383	+	21 assessed, second only to ad valorem property taxes levied on that
	384	+	22 property.
	385	+	23 (h) The board shall certify to the county auditor the schedule of
	386	+	24 special assessments of benefits. For purposes of providing
	387	+	25 substantiation of the deductibility of a special assessment for
	388	+	26 federal adjusted gross income tax purposes under Section 164 of
	389	+	27 the Internal Revenue Code, the board shall, to the extent
	390	+	28 practicable, supplement the schedule of special assessments
	391	+	29 provided to the county auditor with a statement that identifies the
	392	+	30 part of each special assessment that is allocable to interest,
	393	+	31 maintenance, and repair charges. If the board provides the county
	394	+	32 auditor with the statement, the county auditor shall show, on the
	395	+	33 tax statement, the part of the special assessment that is for interest
	396	+	34 and maintenance and repair items separately from the remainder
	397	+	35 of the special assessment.
	398	+	36 (i) An assessment or reassessment, interest, the expense of
	399	+	37 collection, and reasonable attorney's fees, if incurred, is:
	400	+	38 (1) a lien that is effective from the date of the ordinance or
	401	+	39 order levying the assessment until the assessment is paid;
	402	+	40 (2) a lien that is subject to and subordinate to:
	403	+	41 (A) all liens and encumbrances existing at the time the
	404	+	42 assessment lien becomes effective; and
408	405		SB 370—LS 6998/DI 120 10
409		-	1 (3) ~~a lien that runs with~~ the ~~land~~ and ~~that portion of an~~
410		-	2 assessment ~~payment that has not yet come due is not~~
411		-	3 ~~eliminated by transfer of the parcel to a tax exempt owner~~;
412		-	4 and
413		-	5 ~~(4) an~~ assessment ~~lien~~ that ~~may be enforced by the governing~~
414		-	6 ~~body in~~ the ~~same manner that mortgages are foreclosed.~~
415		-	7 ~~(j) Delinquent installments of the assessment shall incur interest,~~
416		-	8 ~~penalties, and attorney's fees in~~ the ~~same manner as delinquent ad~~
417		-	9 ~~valorem taxes~~.
418		-	10 (k) The ~~owner of assessed property~~, ~~including those by way of~~
419		-	11 ~~voluntary assessment~~, ~~may pay at any time all or any part of~~ the
420		-	12 ~~assessment, with interest that has accrued on the assessment, on~~
421		-	13 ~~any lot or parcel.~~
422		-	14 ~~Sec. 12.~~ ~~(a)~~ Any ~~owner~~ of ~~real property in a community~~
423		-	15 ~~infrastructure improvement district may file an action contesting~~
424		-	16 ~~the validity of:~~
425		-	17 (1) ~~the ordinance adopted under section 7~~ of ~~this chapter;~~ or
426		-	18 ~~(2) the assessment schedule adopted under section 11 of this~~
427		-	19 ~~chapter.~~
428		-	20 (b) ~~An action~~ under this ~~section must be filed:~~
429		-	21 (1) in the ~~circuit or superior court~~ of ~~the county in which the~~
430		-	22 ~~community infrastructure improvement district is located;~~
431		-	23 ~~and~~
432		-	24 (2) ~~within thirty (30) days after adoption~~ of ~~either~~ the
433		-	25 ~~ordinance or assessment schedule,~~ ~~respectively.~~
434		-	26 ~~Sec. 13. Within thirty (30) days after the county auditor receives~~
435		-	27 ~~the certification~~ of ~~final scheduled assessments for~~ the ~~completion~~
436		-	28 ~~of the economic improvement project~~, ~~the auditor shall deliver a~~
437		-	29 ~~copy of the certificate to~~ the county ~~treasurer. Each year, the~~
438		-	30 ~~board, which may work through a third party administrator, shall~~
439		-	31 ~~assist~~ the ~~county treasurer in order to:~~
440		-	32 ~~(1) prepare an annual assessment roll~~, ~~which shall reflect~~
441		-	33 which ~~parcels~~, ~~if any, have fully paid any applicable~~
442		-	34 ~~assessment and therefore no longer owe an assessment~~
443		-	35 ~~installment;~~
444		-	36 ~~(2) designate~~ which parcels ~~are assessed~~, ~~and in what~~
445		-	37 ~~amounts, going forward;~~
446		-	38 ~~(3) establish annual assessment installments consistent with~~
447		-	39 ~~the rate~~ and ~~method apportionment report; and~~
448		-	40 ~~(4) calculate and add to the annual assessment installments~~
449		-	41 ~~due any penalties,~~ ~~interest, fees,~~ ~~payments owed under section~~
450		-	42 ~~11(a)(2) of this chapter,~~ and ~~other amounts due.~~
	406	+	1 (B) any later extension or amendment of the liens and
	407	+	2 encumbrances existing at the time assessment lien became
	408	+	3 effective;
	409	+	4 (3) a lien that runs with the land and that portion of an
	410	+	5 assessment payment that has not yet come due is not
	411	+	6 eliminated by transfer of the parcel to a tax exempt owner;
	412	+	7 and
	413	+	8 (4) an assessment lien that may be enforced by the governing
	414	+	9 body in the same manner that mortgages are foreclosed.
	415	+	10 (j) Delinquent installments of the assessment shall incur interest,
	416	+	11 penalties, and attorney's fees in the same manner as delinquent ad
	417	+	12 valorem taxes.
	418	+	13 (k) The owner of assessed property, including those by way of
	419	+	14 voluntary assessment, may pay at any time all or any part of the
	420	+	15 assessment, with interest that has accrued on the assessment, on
	421	+	16 any lot or parcel.
	422	+	17 Sec. 12. (a) Any owner of real property in a community
	423	+	18 infrastructure improvement district may file an action contesting
	424	+	19 the validity of:
	425	+	20 (1) the ordinance adopted under section 7 of this chapter; or
	426	+	21 (2) the assessment schedule adopted under section 11 of this
	427	+	22 chapter.
	428	+	23 (b) An action under this section must be filed:
	429	+	24 (1) in the circuit or superior court of the county in which the
	430	+	25 community infrastructure improvement district is located;
	431	+	26 and
	432	+	27 (2) within thirty (30) days after adoption of either the
	433	+	28 ordinance or assessment schedule, respectively.
	434	+	29 Sec. 13. Within thirty (30) days after the county auditor receives
	435	+	30 the certification of final scheduled assessments for the completion
	436	+	31 of the economic improvement project, the auditor shall deliver a
	437	+	32 copy of the certificate to the county treasurer. Each year, the
	438	+	33 board, which may work through a third party administrator, shall
	439	+	34 assist the county treasurer in order to:
	440	+	35 (1) prepare an annual assessment roll, which shall reflect
	441	+	36 which parcels, if any, have fully paid any applicable
	442	+	37 assessment and therefore no longer owe an assessment
	443	+	38 installment;
	444	+	39 (2) designate which parcels are assessed, and in what
	445	+	40 amounts, going forward;
	446	+	41 (3) establish annual assessment installments consistent with
	447	+	42 the rate and method apportionment report; and
451	448		SB 370—LS 6998/DI 120 11
452		-	1 ~~Each year,~~ ~~the treasurer shall~~ add the ~~full~~ annual assessment
453		-	2 ~~installment~~ due ~~in that year to the tax statements of the person~~
454		-	3 ~~owning the property affected by the assessment~~, ~~designating it in~~
455		-	4 ~~a manner distinct from general taxes.~~
456		-	5 ~~Sec. 14.~~ ~~Assessments collected under this chapter shall be paid~~
457		-	6 to the ~~board.~~
458		-	7 ~~Sec. 15. (a) The board shall establish~~ a ~~community~~
459		-	8 ~~infrastructure improvement fund and~~ shall ~~deposit in this fund all~~
460		-	9 ~~assessments received under this chapter and any other amounts~~
461		-	10 ~~received by~~ the board.
462		-	11 ~~(b) Money in the community~~ infrastructure improvement fund
463		-	12 ~~may be used only for the purposes specified in the ordinance~~
464		-	13 ~~establishing~~ the ~~community infrastructure improvement district~~.
465		-	14 ~~Any money earned from investment of~~ money in the fund ~~becomes~~
466		-	15 ~~a part of~~ the ~~fund.~~
467		-	16 ~~Sec. 16. (a) Before November 1 of each year,~~ the ~~board shall~~
468		-	17 ~~prepare and submit to~~ the ~~fiscal body a budget for the following~~
469		-	18 ~~calendar year governing~~ the ~~board's projected expenditures from~~
470		-	19 the ~~community infrastructure improvement fund. Such budget~~
471		-	20 ~~must include amounts~~ to ~~pay debt service on any bonds supported~~
472		-	21 ~~by assessments and assessment installments until such bonds are~~
473		-	22 ~~paid in full.~~ The ~~fiscal body may approve,~~ ~~modify, or reject the~~
474		-	23 ~~proposed budget.~~
475		-	24 ~~(b) The board may make an expenditure from the community~~
476		-	25 ~~infrastructure improvement fund only if~~ the ~~expenditure was~~
477		-	26 ~~approved by the fiscal body in its review of the board's~~ budget or
478		-	27 ~~was otherwise approved by~~ the ~~fiscal body.~~
479		-	28 ~~Sec. 17.~~ The ~~board must comply with IC 36-1-12 when~~
480		-	29 ~~contracting for public works.~~
481		-	30 ~~Sec. 18.~~ The ~~board may enter into lease or contractual~~
482		-	31 ~~agreements, or both,~~ with ~~governmental, not-for-profit,~~ ~~or other~~
483		-	32 ~~private entities~~ for ~~the purpose of carrying out economic~~
484		-	33 ~~improvement projects~~.
485		-	34 ~~Sec. 19.~~ ~~If the ordinance that established a community~~
486		-	35 ~~infrastructure improvement district is repealed,~~ the ~~assets and~~
487		-	36 ~~liabilities of the community infrastructure~~ improvement ~~district~~
488		-	37 ~~shall be disposed of in~~ the ~~manner determined by the unit.~~
489		-	38 ~~However~~, ~~liabilities incurred by~~ the ~~community infrastructure~~
490		-	39 ~~improvement district are not an obligation~~ of the ~~unit and are~~
491		-	40 ~~payable only from~~ the ~~special assessments and other revenues of~~
492		-	41 the ~~district.~~
493		-	42 ~~Sec. 20.~~ The ~~board shall submit an annual report to the~~
	449	+	1 (4) calculate and add to the annual assessment installments
	450	+	2 due any penalties, interest, fees, payments owed under section
	451	+	3 11(a)(2) of this chapter, and other amounts due.
	452	+	4 Each year, the treasurer shall add the full annual assessment
	453	+	5 installment due in that year to the tax statements of the person
	454	+	6 owning the property affected by the assessment, designating it in
	455	+	7 a manner distinct from general taxes.
	456	+	8 Sec. 14. Assessments collected under this chapter shall be paid
	457	+	9 to the board.
	458	+	10 Sec. 15. (a) The board shall establish a community
	459	+	11 infrastructure improvement fund and shall deposit in this fund all
	460	+	12 assessments received under this chapter and any other amounts
	461	+	13 received by the board.
	462	+	14 (b) Money in the community infrastructure improvement fund
	463	+	15 may be used only for the purposes specified in the ordinance
	464	+	16 establishing the community infrastructure improvement district.
	465	+	17 Any money earned from investment of money in the fund becomes
	466	+	18 a part of the fund.
	467	+	19 Sec. 16. (a) Before November 1 of each year, the board shall
	468	+	20 prepare and submit to the fiscal body a budget for the following
	469	+	21 calendar year governing the board's projected expenditures from
	470	+	22 the community infrastructure improvement fund. Such budget
	471	+	23 must include amounts to pay debt service on any bonds supported
	472	+	24 by assessments and assessment installments until such bonds are
	473	+	25 paid in full. The fiscal body may approve, modify, or reject the
	474	+	26 proposed budget.
	475	+	27 (b) The board may make an expenditure from the community
	476	+	28 infrastructure improvement fund only if the expenditure was
	477	+	29 approved by the fiscal body in its review of the board's budget or
	478	+	30 was otherwise approved by the fiscal body.
	479	+	31 Sec. 17. The board must comply with IC 36-1-12 when
	480	+	32 contracting for public works.
	481	+	33 Sec. 18. The board may enter into lease or contractual
	482	+	34 agreements, or both, with governmental, not-for-profit, or other
	483	+	35 private entities for the purpose of carrying out economic
	484	+	36 improvement projects.
	485	+	37 Sec. 19. If the ordinance that established a community
	486	+	38 infrastructure improvement district is repealed, the assets and
	487	+	39 liabilities of the community infrastructure improvement district
	488	+	40 shall be disposed of in the manner determined by the unit.
	489	+	41 However, liabilities incurred by the community infrastructure
	490	+	42 improvement district are not an obligation of the unit and are
494	491		SB 370—LS 6998/DI 120 12
495		-	1 legislative body and the fiscal body before February 15 of each
496		-	2 year. The report must summarize the board's activities and
497		-	3 expenditures during the preceding calendar year.
498		-	4 Sec. 21. The board may:
499		-	5 (1) exercise of any of the powers of a unit under IC 36-7-12-18
500		-	6 or IC 36-7-12-18.5; or
501		-	7 (2) issue revenue bonds under section 23 of this chapter;
502		-	8 to finance an economic improvement project.
503		-	9 Sec. 22. Upon acceptance or rejection of a proposed community
504		-	10 infrastructure improvement district following a petition under this
505		-	11 chapter, the resulting district (or the person that files the petition,
506		-	12 if the proposed district is rejected) shall, at the request of the unit,
507		-	13 reimburse the unit for all or part of the reasonable expenses
508		-	14 incurred by the unit to comply with this chapter. The legislative
509		-	15 body of the unit may choose not to collect all or part of the
510		-	16 reasonable expenses incurred to comply with this chapter.
511		-	17 Sec. 23. (a) In accordance with section 21 of this chapter, the
512		-	18 board may issue bonds or notes payable from assessments assessed
513		-	19 under this chapter to finance economic improvement projects. The
514		-	20 bonds or notes may be publicly offered or privately placed in the
515		-	21 manner determined by the board. Such assessments are not ad
516		-	22 valorem property taxes and any bonds or notes payable from the
517		-	23 assessment revenue are not general obligations of the unit that
518		-	24 established the community infrastructure improvement district.
519		-	25 (b) The board may enter into ancillary financial agreements
520		-	26 relating to and in furtherance of its issuance of bonds or notes
521		-	27 under this chapter, including agreements with the unit that
522		-	28 established the district.
523		-	29 (c) Bonds or notes issued under this chapter shall include
524		-	30 provisions for redemptions from property owners who choose to
525		-	31 make one-time lump sum assessment prepayments on the
526		-	32 unamortized portion of any assessment applicable to their
527		-	33 property.
528		-	34 (d) Bonds or notes issued under this chapter are subject to the
529		-	35 following limitations:
530		-	36 (1) The bonds or notes may be issued for a period not to
531		-	37 exceed thirty-five (35) years.
532		-	38 (2) The average life of the bonds or notes may not exceed one
533		-	39 hundred twenty percent (120%) of the average economic life
534		-	40 of the improvements for which the bonds or notes are issued.
	492	+	1 payable only from the special assessments and other revenues of
	493	+	2 the district.
	494	+	3 Sec. 20. The board shall submit an annual report to the
	495	+	4 legislative body and the fiscal body before February 15 of each
	496	+	5 year. The report must summarize the board's activities and
	497	+	6 expenditures during the preceding calendar year.
	498	+	7 Sec. 21. The board may:
	499	+	8 (1) exercise of any of the powers of a unit under IC 36-7-12-18
	500	+	9 or IC 36-7-12-18.5; or
	501	+	10 (2) issue revenue bonds under section 23 of this chapter;
	502	+	11 to finance an economic improvement project.
	503	+	12 Sec. 22. Upon acceptance or rejection of a proposed community
	504	+	13 infrastructure improvement district following a petition under this
	505	+	14 chapter, the resulting district (or the person that files the petition,
	506	+	15 if the proposed district is rejected) shall, at the request of the unit,
	507	+	16 reimburse the unit for all or part of the reasonable expenses
	508	+	17 incurred by the unit to comply with this chapter. The legislative
	509	+	18 body of the unit may choose not to collect all or part of the
	510	+	19 reasonable expenses incurred to comply with this chapter.
	511	+	20 Sec. 23. (a) In accordance with section 21 of this chapter, the
	512	+	21 board may issue bonds or notes payable from assessments assessed
	513	+	22 under this chapter to finance economic improvement projects. The
	514	+	23 bonds or notes may be publicly offered or privately placed in the
	515	+	24 manner determined by the board. Such assessments are not ad
	516	+	25 valorem property taxes and any bonds or notes payable from the
	517	+	26 assessment revenue are not general obligations of the unit that
	518	+	27 established the community infrastructure improvement district.
	519	+	28 (b) The board may enter into ancillary financial agreements
	520	+	29 relating to and in furtherance of its issuance of bonds or notes
	521	+	30 under this chapter, including agreements with the unit that
	522	+	31 established the district.
	523	+	32 (c) Bonds or notes issued under this chapter shall include
	524	+	33 provisions for redemptions from property owners who choose to
	525	+	34 make one-time lump sum assessment prepayments on the
	526	+	35 unamortized portion of any assessment applicable to their
	527	+	36 property.
	528	+	37 (d) Bonds or notes issued under this chapter are subject to the
	529	+	38 following limitations:
	530	+	39 (1) The bonds or notes may be issued for a period not to
	531	+	40 exceed thirty-five (35) years.
	532	+	41 (2) The average life of the bonds or notes may not exceed one
	533	+	42 hundred twenty percent (120%) of the average economic life
535	534		SB 370—LS 6998/DI 120 13
	535	+	1 of the improvements for which the bonds or notes are issued.
	536	+	SB 370—LS 6998/DI 120 14
536	537		COMMITTEE REPORT
537	538		Madam President: The Senate Committee on Tax and Fiscal Policy,
538	539		to which was referred Senate Bill No. 370, has had the same under
539	540		consideration and begs leave to report the same back to the Senate with
540	541		the recommendation that said bill be AMENDED as follows:
541	542		Page 1, delete lines 1 through 17, begin a new paragraph and insert:
542	543		"SECTION 2. IC 36-7-22.1 IS ADDED TO THE INDIANA CODE
543	544		AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
544	545		JULY 1, 2022]:
545	546		Chapter 22.1. Community Infrastructure Improvement
546	547		Districts
547	548		Sec. 1. (a) This chapter applies to all units except townships.
548	549		(b) This chapter does not authorize a unit to establish a
549	550		community infrastructure improvement district that overlaps with
550	551		an economic improvement district established under IC 36-7-22.
551	552		Sec. 1.5. As used in this chapter, "assessment" means a charge
552	553		determined under section 11(a) of this chapter by applying the
553	554		percentage of benefit apportioned to a parcel within a community
554	555		infrastructure improvement district to the cost associated with
555	556		economic development projects giving rise to such benefits. Costs
556	557		subject to assessment for these purposes include all costs of the
557	558		economic improvement projects as well as financing and
558	559		administrative costs. In the case of bonds or notes issued pursuant
559	560		to section 23 of this chapter, financing costs shall include, without
560	561		limitation, principal and interest, related reserve funds, cost of
561	562		insurance, and costs associated with ancillary financial
562	563		arrangements with respect to the bonds or notes.
563	564		Sec. 2. As used in this chapter, "board" refers to a community
564	565		infrastructure improvement board established under section 10 of
565	566		this chapter.
566	567		Sec. 3. As used in this chapter, "economic improvement project"
567	568		means the following:
568	569		(1) Planning or managing development or improvement
569	570		activities.
570	571		(2) Designing, landscaping, beautifying, constructing, or
571	572		maintaining public areas, public improvements, or public
572	573		ways (including designing, constructing, or maintaining
573	574		lighting, infrastructure, utility facilities, improvements, and
574	575		equipment, water facilities, improvements, and equipment,
575	576		sewage facilities, improvements, and equipment, streets, or
576	577		sidewalks for a public area or public way).
577	578		(3) Promoting commercial activity or public events.
578		-	SB 370—LS 6998/DI 120 14
	579	+	SB 370—LS 6998/DI 120 15
579	580		(4) Supporting business recruitment and development.
580	581		(5) Providing security for public areas.
581	582		(6) Acquiring, constructing, or maintaining parking facilities.
582	583		(7) Constructing, rehabilitating, or repairing residential
583	584		property, including improvements related to the habitability
584	585		of the residential property.
585	586		(8) Acquiring, constructing, rehabilitating, or repairing
586	587		redevelopment projects, economic development facilities
587	588		described in IC 36-7-11.9-3, pollution control facilities
588	589		described in IC 36-7-11.9-9, or other local improvements.
589	590		(9) Constructing, rehabilitating, or repairing industrial or
590	591		commercial property associated with a qualified
591	592		redevelopment site (as defined in IC 6-3.1-34-6).".
592	593		Page 2, delete lines 1 through 32.
593	594		Page 2, line 33, delete "1, 2022]:".
594	595		Page 2, line 33, begin a new paragraph beginning with "Sec 3.2.".
595	596		Page 2, line 35, delete "district," and insert "community
596	597		infrastructure improvement district,".
597	598		Page 2, line 36, delete "district," and insert "community
598	599		infrastructure improvement district,".
599	600		Page 2, line 38, delete "district" and insert "community
600	601		infrastructure improvement district".
601	602		Page 3, delete lines 5 through 42, begin a new paragraph and insert:
602	603		"Sec. 3.4. As used in this chapter, "rate and method
603	604		apportionment report" means a report relating to a developer's
604	605		planned economic development of the subject parcels, which must
605	606		set forth at least the following:
606	607		(1) A list of parcels consistent with the parcels identified in the
607	608		petition for the establishment of the community infrastructure
608	609		improvement district under section 4 of this chapter.
609	610		(2) A statement of:
610	611		(A) the proposed assessment formula under section 4(b)(5)
611	612		of this chapter;
612	613		(B) the apportionment of benefits under section 5(a) of this
613	614		chapter; and
614	615		(C) zones or other classifications, if any, relating to the
615	616		formula under clause (A) or the apportionment under
616	617		clause (B).
617	618		(3) The proposed total assessment per parcel, including:
618	619		(A) the lump sum payment amount if the assessment is
619	620		payable as a lump sum;
620	621		(B) the method for converting a lump sum assessment to
621		-	SB 370—LS 6998/DI 120 15
	622	+	SB 370—LS 6998/DI 120 16
622	623		annual installments, if applicable; and
623	624		(C) a schedule of annual installments and an
624	625		accompanying amortization schedule of the assessment, if
625	626		any.
626	627		(4) A statement of the basis and methodology for reassessment
627	628		in the case of a parcel division or consolidation of the assessed
628	629		property, status of development or the completion of
629	630		improvements associated with the assessed property or
630	631		changes in zoning classification of the property, and any
631	632		resulting assessment changes.
632	633		(5) The proposed maximum number of years during which the
633	634		assessment may be paid in annual installments.
634	635		(6) The proposed method for establishing the assessment for
635	636		the initial year and each year thereafter.
636	637		Sec. 4. (a) A person that intends to file a petition for the
637	638		establishment of a community infrastructure improvement district
638	639		under this section must first provide written notice to the clerk (as
639	640		defined in IC 36-1-2) in the case of a municipality, or the county
640	641		auditor, in the case of a county, of the person's intent before
641	642		initiating the petition process.
642	643		(b) A petition for the establishment of a community
643	644		infrastructure improvement district may be filed with the clerk of
644	645		the municipality or the county auditor not later than one hundred
645	646		twenty (120) days after the date on which the notice of intent for
646	647		the petition is filed with the clerk of the municipality or the county
647	648		auditor under subsection (a). The petition must include the
648	649		following information:
649	650		(1) The boundaries of the proposed district, including the
650	651		boundaries of any zones to be established under section 5(b)
651	652		of this chapter.
652	653		(2) The name and address of each parcel and owner of land
653	654		within the proposed district and a description of the existing
654	655		land use and zoning classification of each parcel.
655	656		(3) A detailed description of the economic improvement
656	657		projects to be carried out within the proposed district, the
657	658		estimated cost of these projects, and the benefits to accrue to
658	659		the property owners within the district.
659	660		(4) A plan for the application of assessment revenue to the
660	661		cost of the economic improvement projects within the district.
661	662		(5) A proposed formula for determining the percentage of the
662	663		total benefit to be received by each parcel of real property
663	664		within the district, in the manner provided by section 5 of this
664		-	SB 370—LS 6998/DI 120 16
	665	+	SB 370—LS 6998/DI 120 17
665	666		chapter.
666	667		(6) The number of years in which assessments will be levied.
667	668		(7) A proposed list of members for the board.
668	669		(c) The petition shall be accompanied by a rate and method
669	670		apportionment report.
670	671		(d) The clerk of the municipality or the county auditor shall
671	672		retain the paper copy of a petition filed under this section for not
672	673		less than ninety (90) days from the date the petition is filed with the
673	674		clerk of the municipality or the county auditor.
674	675		Sec. 5. (a) The benefits accruing to parcels of real property
675	676		within a community infrastructure improvement district may be
676	677		apportioned among those parcels on any basis reasonably
677	678		representative of the diffusion of benefits from the economic
678	679		improvement project, including the following:
679	680		(1) Proximity of the parcel to the project.
680	681		(2) Accessibility of the parcel to the project.
681	682		(3) True cash value of the parcel.
682	683		(4) True cash value of any improvement on the parcel.
683	684		(5) Age of any improvement on the parcel.
684	685		(6) Land use class of the parcel.
685	686		(7) Equivalent units, including, in the case of an apartment
686	687		building, the number of units in the building.
687	688		(8) Parcel square footage.
688	689		(9) Parcel front footage.
689	690		(10) Gross floor area.
690	691		(11) Benefit availability.
691	692		(12) Impervious surface area.
692	693		(13) Other similar factors.
693	694		The apportionment of benefits under this subsection may be
694	695		adjusted by zone or land use as provided in subsections (b) and (c).
695	696		(b) If the benefit of the economic development project varies
696	697		from one (1) area to another within the community infrastructure
697	698		improvement district, up to three (3) zones may be established
698	699		within the district to delineate the approximate difference in
699	700		beneficial impact, and benefits may be apportioned accordingly.
700	701		(c) In order to encourage the retention or development of
701	702		various land uses within the district, assessments may be adjusted
702	703		according to the zoning classification of the property.
703	704		Sec. 6. (a) After receipt of a petition under section 4 of this
704	705		chapter, the clerk of the municipality or county auditor shall, in the
705	706		manner provided by IC 5-3-1, publish notice of a hearing on the
706	707		proposed community infrastructure improvement district. The
707		-	SB 370—LS 6998/DI 120 17
	708	+	SB 370—LS 6998/DI 120 18
708	709		clerk of the municipality or the county auditor shall mail a copy of
709	710		the notice to each owner of real property within the proposed
710	711		community infrastructure improvement district. The notice must
711	712		include the boundaries of the proposed district, a description of the
712	713		proposed projects, the proposed formula for determining the
713	714		percentage of the total benefit to be received by each parcel of
714	715		property, and the hearing date. The date of the hearing may not be
715	716		more than sixty (60) days after the date on which the notice is
716	717		mailed.
717	718		(b) At the public hearing under subsection (a), the legislative
718	719		body shall hear all owners of real property in the proposed district
719	720		(who appear and request to be heard) upon the questions of:
720	721		(1) the sufficiency of the notice;
721	722		(2) whether the proposed economic improvement projects are
722	723		of public utility and benefit;
723	724		(3) whether the formula to be used for the assessment of
724	725		special benefits is appropriate; and
725	726		(4) whether the district contains all, or more or less than all,
726	727		of the property specially benefited by the proposed project.
727	728		Sec. 7. (a) After conducting a hearing on the proposed
728	729		community infrastructure improvement district, the legislative
729	730		body may adopt an ordinance establishing the community
730	731		infrastructure improvement district if it determines that:
731	732		(1) the petition meets the requirements of this section and
732	733		sections 4 and 5 of this chapter;
733	734		(2) the economic improvement projects to be undertaken in
734	735		the district will provide special benefits to property owners in
735	736		the district and will be of public utility and benefit;
736	737		(3) the benefits provided by the project will be new benefits
737	738		that do not replace benefits existing before the establishment
738	739		of the district;
739	740		(4) the formula to be used for the assessment of benefits is
740	741		appropriate; and
741	742		(5) aggregate assessments under this chapter do not exceed
742	743		thirty percent (30%) of the projected assessed value of
743	744		property within the district.
744	745		(b) The legislative body may adopt the ordinance only if it
745	746		determines that the petition has been signed by:
746	747		(1) at least sixty percent (60%) of the owners of real property
747	748		within the proposed district; and
748	749		(2) the owners of real property constituting at least sixty
749	750		percent (60%) of the total assessed valuation in the proposed
750		-	SB 370—LS 6998/DI 120 18
	751	+	SB 370—LS 6998/DI 120 19
751	752		district.
752	753		(c) Unless an owner of property has entered into a voluntary
753	754		assessment agreement associated with the economic improvement
754	755		project, the signature of a person shall not be considered in
755	756		determining whether the requirements under subsection (b) are
756	757		met if the person's property:
757	758		(1) is:
758	759		(A) owned by a nonprofit entity and is exempt from
759	760		property taxation under IC 6-1.1-10-16;
760	761		(B) owned by this state or a state agency or leased to a
761	762		state agency and is exempt from property taxation under
762	763		IC 6-1.1-10 or any other law; or
763	764		(C) owned by a political subdivision of this state and is
764	765		exempt from property taxation under IC 6-1.1-10 or any
765	766		other law; or
766	767		(2) would be exempt from assessments under the ordinance.
767	768		(d) In addition, unless an owner of property has entered into a
768	769		voluntary assessment agreement, neither the parcel of real
769	770		property nor the assessed value of any property may be considered
770	771		in determining the total parcels of real property or the total
771	772		assessed value of property in the proposed district for purposes of
772	773		determining whether the requirements under subsection (b) are
773	774		met if the property:
774	775		(1) is:
775	776		(A) owned by a nonprofit entity and is exempt from
776	777		property taxation under IC 6-1.1-10-16;
777	778		(B) owned by this state or a state agency or leased to a
778	779		state agency and is exempt from property taxation under
779	780		IC 6-1.1-10 or any other law; or
780	781		(C) owned by a political subdivision of this state and is
781	782		exempt from property taxation under IC 6-1.1-10 or any
782	783		other law; or
783	784		(2) would be exempt from assessment under the ordinance.
784	785		(e) The assessed value of a property subject to a voluntary
785	786		assessment agreement is the most recent of valuations from either
786	787		the county assessor or a third party evaluation accepted by the
787	788		legislative body.
788	789		Sec. 8. (a) An ordinance adopted under section 7 of this chapter
789	790		may be repealed or amended only after notice of the proposed
790	791		repeal or amendment is published and mailed in the manner
791	792		provided by section 6 of this chapter. However, in no event shall
792	793		any ordinance adopted under this chapter be repealed or amended
793		-	SB 370—LS 6998/DI 120 19
	794	+	SB 370—LS 6998/DI 120 20
794	795		if there is any outstanding debt payable from assessments.
795	796		(b) Notwithstanding subsection (a), an ordinance adopted under
796	797		section 7 of this chapter may be amended to add additional,
797	798		contiguous parcels to which benefits of economic improvement
798	799		projects accrue at the request of the owner or owners of such
799	800		parcels. If an ordinance is amended under this subsection, the rate
800	801		and method of apportionment report shall be amended to reflect
801	802		the revised list of parcels and related assessments, and notice must
802	803		be provided under section 11(b) of this chapter.
803	804		Sec. 9. An ordinance adopted under section 7 of this chapter
804	805		may provide that businesses established within the district after the
805	806		creation of the district are exempt from special assessments for a
806	807		period not to exceed one (1) year.
807	808		Sec. 10. An ordinance adopted under section 7 of this chapter
808	809		must establish a community infrastructure improvement board to
809	810		be appointed by the legislative body. The board must have at least
810	811		three (3) members, and a majority of the board members must own
811	812		real property within the district. However, if there is only one (1)
812	813		property owner within a district, the legislative body shall appoint
813	814		one (1) member to the community infrastructure improvement
814	815		board who owns real property within the district and not more
815	816		than two (2) other members who are not required to own real
816	817		property within the district.
817	818		Sec. 11. (a) The following apply:
818	819		(1) The board shall use the formula approved by the
819	820		legislative body under section 7(a)(4) of this chapter to
820	821		determine the percentage of benefit to be received by each
821	822		parcel of real property within the community infrastructure
822	823		improvement district. The board shall apply the percentage
823	824		determined for each parcel to the total amount that is to be
824	825		defrayed by special assessment and determine the special
825	826		assessment for each parcel.
826	827		(2) In the event of a reassessment as provided in section 3.4(4)
827	828		of this chapter, the next assessment installment will include an
828	829		additional amount owed, if any, equal to the difference
829	830		between the amount originally calculated in subdivision (1)
830	831		and the amount calculated pursuant to subdivision (1) using
831	832		the reassessment methodology described in the rate and
832	833		method of apportionment report.
833	834		(b) Promptly after determining the proposed assessment for
834	835		each parcel, the board shall mail notice to each owner of property
835	836		to be assessed. The notice must:
836		-	SB 370—LS 6998/DI 120 20
	837	+	SB 370—LS 6998/DI 120 21
837	838		(1) describe any potential proposed special assessment and
838	839		estimates of related annual installments thereof, including any
839	840		method by which the assessments or installments may change
840	841		depending on factors as set forth in the rate and method of
841	842		apportionment report;
842	843		(2) state that the rate and method of apportionment report
843	844		and the proposed special assessment on each parcel of real
844	845		property in the community infrastructure improvement
845	846		district is on file and can be seen in the board's office;
846	847		(3) state the time and place where written remonstrances
847	848		against the special assessment may be filed;
848	849		(4) set forth the time and place where the board will hear any
849	850		owner of assessed real property who has filed a remonstrance
850	851		before the hearing date; and
851	852		(5) state that the board, after hearing evidence, may decrease,
852	853		or leave unchanged, the special assessment on any parcel.
853	854		(c) The notices must be deposited in the mail twenty (20) days
854	855		before the hearing date. The notices to the owners must be
855	856		addressed as the names and addresses appear on the tax duplicates
856	857		and the records of the county auditor.
857	858		(d) At the time fixed in the notice, the board shall hear any
858	859		owner of assessed real property who has filed a written
859	860		remonstrance before the date of the hearing. The hearing may be
860	861		continued from time to time as long as is necessary to hear the
861	862		owners.
862	863		(e) The board shall render its decision by either confirming or
863	864		decreasing each special assessment by setting opposite each name,
864	865		parcel, and proposed assessment, the amount of the assessment as
865	866		determined by the board. However, if the total of the special
866	867		assessments exceeds the amount needed, the board shall make a
867	868		prorated reduction in each special assessment.
868	869		(f) Except as provided in section 12 of this chapter, the signing
869	870		of the special assessment schedule by a majority of the members of
870	871		the board and the delivery of the schedule to the county auditor
871	872		constitute a final and conclusive determination of the benefits that
872	873		are assessed.
873	874		(g) Each special assessment is a lien on the real property that is
874	875		assessed, second only to ad valorem property taxes levied on that
875	876		property.
876	877		(h) The board shall certify to the county auditor the schedule of
877	878		special assessments of benefits. For purposes of providing
878	879		substantiation of the deductibility of a special assessment for
879		-	SB 370—LS 6998/DI 120 21
	880	+	SB 370—LS 6998/DI 120 22
880	881		federal adjusted gross income tax purposes under Section 164 of
881	882		the Internal Revenue Code, the board shall, to the extent
882	883		practicable, supplement the schedule of special assessments
883	884		provided to the county auditor with a statement that identifies the
884	885		part of each special assessment that is allocable to interest,
885	886		maintenance, and repair charges. If the board provides the county
886	887		auditor with the statement, the county auditor shall show, on the
887	888		tax statement, the part of the special assessment that is for interest
888	889		and maintenance and repair items separately from the remainder
889	890		of the special assessment.
890	891		(i) An assessment or reassessment, interest, the expense of
891	892		collection, and reasonable attorney's fees, if incurred, is:
892	893		(1) a lien that is effective from the date of the ordinance or
893	894		order levying the assessment until the assessment is paid;
894	895		(2) a lien that is subject to and subordinate to:
895	896		(A) all liens and encumbrances existing at the time the
896	897		assessment lien becomes effective; and
897	898		(B) any later extension or amendment of the liens and
898	899		encumbrances existing at the time assessment lien became
899	900		effective;
900	901		(3) a lien that runs with the land and that portion of an
901	902		assessment payment that has not yet come due is not
902	903		eliminated by transfer of the parcel to a tax exempt owner;
903	904		and
904	905		(4) an assessment lien that may be enforced by the governing
905	906		body in the same manner that mortgages are foreclosed.
906	907		(j) Delinquent installments of the assessment shall incur interest,
907	908		penalties, and attorney's fees in the same manner as delinquent ad
908	909		valorem taxes.
909	910		(k) The owner of assessed property, including those by way of
910	911		voluntary assessment, may pay at any time all or any part of the
911	912		assessment, with interest that has accrued on the assessment, on
912	913		any lot or parcel.
913	914		Sec. 12. (a) Any owner of real property in a community
914	915		infrastructure improvement district may file an action contesting
915	916		the validity of:
916	917		(1) the ordinance adopted under section 7 of this chapter; or
917	918		(2) the assessment schedule adopted under section 11 of this
918	919		chapter.
919	920		(b) An action under this section must be filed:
920	921		(1) in the circuit or superior court of the county in which the
921	922		community infrastructure improvement district is located;
922		-	SB 370—LS 6998/DI 120 22
	923	+	SB 370—LS 6998/DI 120 23
923	924		and
924	925		(2) within thirty (30) days after adoption of either the
925	926		ordinance or assessment schedule, respectively.
926	927		Sec. 13. Within thirty (30) days after the county auditor receives
927	928		the certification of final scheduled assessments for the completion
928	929		of the economic improvement project, the auditor shall deliver a
929	930		copy of the certificate to the county treasurer. Each year, the
930	931		board, which may work through a third party administrator, shall
931	932		assist the county treasurer in order to:
932	933		(1) prepare an annual assessment roll, which shall reflect
933	934		which parcels, if any, have fully paid any applicable
934	935		assessment and therefore no longer owe an assessment
935	936		installment;
936	937		(2) designate which parcels are assessed, and in what
937	938		amounts, going forward;
938	939		(3) establish annual assessment installments consistent with
939	940		the rate and method apportionment report; and
940	941		(4) calculate and add to the annual assessment installments
941	942		due any penalties, interest, fees, payments owed under section
942	943		11(a)(2) of this chapter, and other amounts due.
943	944		Each year, the treasurer shall add the full annual assessment
944	945		installment due in that year to the tax statements of the person
945	946		owning the property affected by the assessment, designating it in
946	947		a manner distinct from general taxes.
947	948		Sec. 14. Assessments collected under this chapter shall be paid
948	949		to the board.
949	950		Sec. 15. (a) The board shall establish a community
950	951		infrastructure improvement fund and shall deposit in this fund all
951	952		assessments received under this chapter and any other amounts
952	953		received by the board.
953	954		(b) Money in the community infrastructure improvement fund
954	955		may be used only for the purposes specified in the ordinance
955	956		establishing the community infrastructure improvement district.
956	957		Any money earned from investment of money in the fund becomes
957	958		a part of the fund.
958	959		Sec. 16. (a) Before November 1 of each year, the board shall
959	960		prepare and submit to the fiscal body a budget for the following
960	961		calendar year governing the board's projected expenditures from
961	962		the community infrastructure improvement fund. Such budget
962	963		must include amounts to pay debt service on any bonds supported
963	964		by assessments and assessment installments until such bonds are
964	965		paid in full. The fiscal body may approve, modify, or reject the
965		-	SB 370—LS 6998/DI 120 23
	966	+	SB 370—LS 6998/DI 120 24
966	967		proposed budget.
967	968		(b) The board may make an expenditure from the community
968	969		infrastructure improvement fund only if the expenditure was
969	970		approved by the fiscal body in its review of the board's budget or
970	971		was otherwise approved by the fiscal body.
971	972		Sec. 17. The board must comply with IC 36-1-12 when
972	973		contracting for public works.
973	974		Sec. 18. The board may enter into lease or contractual
974	975		agreements, or both, with governmental, not-for-profit, or other
975	976		private entities for the purpose of carrying out economic
976	977		improvement projects.
977	978		Sec. 19. If the ordinance that established a community
978	979		infrastructure improvement district is repealed, the assets and
979	980		liabilities of the community infrastructure improvement district
980	981		shall be disposed of in the manner determined by the unit.
981	982		However, liabilities incurred by the community infrastructure
982	983		improvement district are not an obligation of the unit and are
983	984		payable only from the special assessments and other revenues of
984	985		the district.
985	986		Sec. 20. The board shall submit an annual report to the
986	987		legislative body and the fiscal body before February 15 of each
987	988		year. The report must summarize the board's activities and
988	989		expenditures during the preceding calendar year.
989	990		Sec. 21. The board may:
990	991		(1) exercise of any of the powers of a unit under IC 36-7-12-18
991	992		or IC 36-7-12-18.5; or
992	993		(2) issue revenue bonds under section 23 of this chapter;
993	994		to finance an economic improvement project.
994	995		Sec. 22. Upon acceptance or rejection of a proposed community
995	996		infrastructure improvement district following a petition under this
996	997		chapter, the resulting district (or the person that files the petition,
997	998		if the proposed district is rejected) shall, at the request of the unit,
998	999		reimburse the unit for all or part of the reasonable expenses
999	1000		incurred by the unit to comply with this chapter. The legislative
1000	1001		body of the unit may choose not to collect all or part of the
1001	1002		reasonable expenses incurred to comply with this chapter.
1002	1003		Sec. 23. (a) In accordance with section 21 of this chapter, the
1003	1004		board may issue bonds or notes payable from assessments assessed
1004	1005		under this chapter to finance economic improvement projects. The
1005	1006		bonds or notes may be publicly offered or privately placed in the
1006	1007		manner determined by the board. Such assessments are not ad
1007	1008		valorem property taxes and any bonds or notes payable from the
1008		-	SB 370—LS 6998/DI 120 24
	1009	+	SB 370—LS 6998/DI 120 25
1009	1010		assessment revenue are not general obligations of the unit that
1010	1011		established the community infrastructure improvement district.
1011	1012		(b) The board may enter into ancillary financial agreements
1012	1013		relating to and in furtherance of its issuance of bonds or notes
1013	1014		under this chapter, including agreements with the unit that
1014	1015		established the district.
1015	1016		(c) Bonds or notes issued under this chapter shall include
1016	1017		provisions for redemptions from property owners who choose to
1017	1018		make one-time lump sum assessment prepayments on the
1018	1019		unamortized portion of any assessment applicable to their
1019	1020		property.
1020	1021		(d) Bonds or notes issued under this chapter are subject to the
1021	1022		following limitations:
1022	1023		(1) The bonds or notes may be issued for a period not to
1023	1024		exceed thirty-five (35) years.
1024	1025		(2) The average life of the bonds or notes may not exceed one
1025	1026		hundred twenty percent (120%) of the average economic life
1026	1027		of the improvements for which the bonds or notes are issued.".
1027	1028		Delete pages 4 through 12.
1028	1029		Renumber all SECTIONS consecutively.
1029	1030		and when so amended that said bill do pass.
1030	1031		(Reference is to SB 370 as introduced.)
1031	1032		HOLDMAN, Chairperson
1032	1033		Committee Vote: Yeas 12, Nays 0.
1033		-	_____
1034		-	SENATE MOTION
1035		-	Madam President: I move that Senate Bill 370 be amended to read
1036		-	as follows:
1037		-	Page 6, delete lines 20 through 26, begin a new paragraph and
1038		-	insert:
1039		-	"(b) The legislative body may adopt the ordinance only if it
1040		-	determines that the petition has been signed by one hundred
1041		-	percent (100%) of the owners of real property subject to
1042		-	assessment within the proposed district.".
1043		-	Page 6, line 30, delete "requirements" and insert "requirement".
1044		-	Page 6, line 30, delete "are" and insert "is".
1045		-	Page 7, line 5, delete "requirements" and insert "requirement".
1046		-	SB 370—LS 6998/DI 120 25
1047		-	Page 7, line 5, delete "are" and insert "is".
1048		-	Page 9, delete lines 20 through 22, begin a new paragraph and
1049		-	insert:
1050		-	"(g) Each special assessment is a lien on the real property that
1051		-	is assessed and is subordinate to and subject to all other liens and
1052		-	encumbrances then existing or thereafter created.".
1053		-	(Reference is to SB 370 as printed January 26, 2022.)
1054		-	BUCHANAN
1055	1034		SB 370—LS 6998/DI 120