Indiana 2023 Regular Session

Indiana House Bill HB1535 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1
2	2	Introduced Version
3	3	HOUSE BILL No. 1535
4	4	_____
5	5	DIGEST OF INTRODUCED BILL
6	6	Citations Affected: IC 4-4-28; IC 6-1.1-24-17.5; IC 6-3.1;
7	7	IC 24-4.4-1-202; IC 24-4.5-1-202; IC 36-7-14-22.2.
8	8	Synopsis: IDAs and neighborhood assistance credits. Replaces the
9	9	term "community development corporation" in statutes concerning
10	10	individual development accounts (IDA) with the term "community
11	11	based organization" and makes conforming changes throughout the
12	12	Indiana Code to reflect that change. Provides that: (1) $1,500 (rather
13	13	than $800) is eligible for a state deposit in an individual's individual
14	14	development account (account); (2) the allocation, for each account
15	15	that has been established for not more than five years, is $3 for each $1
16	16	of the first $1,500 (rather than the first $400) an individual deposited
17	17	into the individual's account during the preceding 12 months; and (3)
18	18	the amount of the allocation may not exceed $4,500 (rather than
19	19	$2,400) for each account. Makes various changes to the neighborhood
20	20	assistance tax credit.
21	21	Effective: July 1, 2023.
22	22	Manning
23	23	January 19, 2023, read first time and referred to Committee on Ways and Means.
24	24	2023 IN 1535—LS 6967/DI 129 Introduced
25	25	First Regular Session of the 123rd General Assembly (2023)
26	26	PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
27	27	Constitution) is being amended, the text of the existing provision will appear in this style type,
28	28	additions will appear in this style type, and deletions will appear in this style type.
29	29	Additions: Whenever a new statutory provision is being enacted (or a new constitutional
30	30	provision adopted), the text of the new provision will appear in this style type. Also, the
31	31	word NEW will appear in that style type in the introductory clause of each SECTION that adds
32	32	a new provision to the Indiana Code or the Indiana Constitution.
33	33	Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
34	34	between statutes enacted by the 2022 Regular Session of the General Assembly.
35	35	HOUSE BILL No. 1535
36	36	A BILL FOR AN ACT to amend the Indiana Code concerning state
37	37	and local administration.
38	38	Be it enacted by the General Assembly of the State of Indiana:
39	39	1 SECTION 1. IC 4-4-28-2 IS AMENDED TO READ AS FOLLOWS
40	40	2 [EFFECTIVE JULY 1, 2023]: Sec. 2. As used in this chapter,
41	41	3 "community development corporation" based organization" means a
42	42	4 private, nonprofit corporation:
43	43	5 (1) whose board of directors consists primarily of community
44	44	6 representatives and business, civic, and community leaders; and
45	45	7 (2) whose principal purpose includes the provision of:
46	46	8 (A) housing;
47	47	9 (B) community based economic development projects; or
48	48	10 (C) social services;
49	49	11 that primarily benefit low income individuals and communities.
50	50	12 SECTION 2. IC 4-4-28-4 IS AMENDED TO READ AS FOLLOWS
51	51	13 [EFFECTIVE JULY 1, 2023]: Sec. 4. As used in this chapter, "fund"
52	52	14 refers to an individual development account fund established by a
53	53	15 community development corporation based organization under
54	54	16 section 13 of this chapter.
55	55	17 SECTION 3. IC 4-4-28-5, AS AMENDED BY P.L.50-2016,
56	56	2023 IN 1535—LS 6967/DI 129 2
57	57	1 SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
58	58	2 JULY 1, 2023]: Sec. 5. As used in this chapter, "individual
59	59	3 development account" means an account in a financial institution
60	60	4 administered by a community development corporation based
61	61	5 organization that allows a qualifying individual to deposit money:
62	62	6 (1) to be matched by the state, financial institutions, corporations,
63	63	7 and other entities; and
64	64	8 (2) that will be used by the qualifying individual for one (1) or
65	65	9 more of the following:
66	66	10 (A) To pay for costs (including tuition, laboratory costs, books,
67	67	11 computer costs, and other costs associated with attendance) at
68	68	12 an accredited postsecondary educational institution or a
69	69	13 vocational school that is not a postsecondary educational
70	70	14 institution, for the individual or for a dependent of the
71	71	15 individual.
72	72	16 (B) To pay for the costs (including tuition, laboratory costs,
73	73	17 books, computer costs, and other costs) associated with an
74	74	18 accredited or a licensed training program that may lead to
75	75	19 employment for the individual or for a dependent of the
76	76	20 individual.
77	77	21 (C) To purchase a primary residence located in Indiana for the
78	78	22 individual or for a dependent of the individual or to reduce the
79	79	23 principal amount owed on a primary residence located in
80	80	24 Indiana that was purchased by the individual or a dependent of
81	81	25 the individual with money from an individual development
82	82	26 account.
83	83	27 (D) To pay for the rehabilitation (as defined in IC 6-3.1-11-11)
84	84	28 of the individual's primary residence located in Indiana.
85	85	29 (E) To begin or to purchase part or all of a business based in
86	86	30 Indiana or to expand an existing small business based in
87	87	31 Indiana.
88	88	32 (F) Subject to section 8(b) of this chapter, to purchase a motor
89	89	33 vehicle.
90	90	34 SECTION 4. IC 4-4-28-7, AS AMENDED BY P.L.50-2016,
91	91	35 SECTION 4, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
92	92	36 JULY 1, 2023]: Sec. 7. (a) A qualifying individual, including an
93	93	37 individual who:
94	94	38 (1) established an individual development account under this
95	95	39 chapter before July 1, 2001; and
96	96	40 (2) held the account described in subdivision (1) for less than four
97	97	41 (4) years;
98	98	42 may establish an account by applying at a community development
99	99	2023 IN 1535—LS 6967/DI 129 3
100	100	1 corporation based organization after June 30, 2001.
101	101	2 (b) At the time of establishing an account under this section, the
102	102	3 qualifying individual must name a beneficiary to replace the qualifying
103	103	4 individual as the holder of the account if the qualifying individual dies.
104	104	5 If the beneficiary:
105	105	6 (1) is a member of the qualifying individual's family, all funds in
106	106	7 the account remain in the account; and
107	107	8 (2) is not a member of the qualifying individual's family, all funds
108	108	9 in the account provided by the state revert to the state.
109	109	10 The qualifying individual may change the name of the beneficiary at
110	110	11 the qualifying individual's discretion. A beneficiary who becomes the
111	111	12 holder of an account under this subsection is subject to this chapter and
112	112	13 rules adopted under this chapter regarding withdrawals from the
113	113	14 account.
114	114	15 (c) Only one (1) member of a qualifying individual's household may
115	115	16 establish an account.
116	116	17 (d) A qualifying individual shall maintain residency in Indiana until
117	117	18 the individual development account is closed.
118	118	19 SECTION 5. IC 4-4-28-8, AS AMENDED BY P.L.50-2016,
119	119	20 SECTION 5, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
120	120	21 JULY 1, 2023]: Sec. 8. (a) A community development corporation
121	121	22 based organization shall do the following:
122	122	23 (1) Determine whether an individual who wants to establish an
123	123	24 account is a qualifying individual.
124	124	25 (2) Administer, through a financial institution, and act as trustee
125	125	26 for each account established through the community development
126	126	27 corporation. based organization.
127	127	28 (3) Approve or deny an individual's request to make a withdrawal
128	128	29 from the individual's account.
129	129	30 (4) Provide or arrange for training in money management,
130	130	31 budgeting, and related topics for each individual who establishes
131	131	32 an account.
132	132	33 (b) A community development corporation based organization may
133	133	34 approve a qualifying individual's request to make a withdrawal from an
134	134	35 account to purchase a motor vehicle if the purpose of the purchase is
135	135	36 primarily to transport the individual to and from work, postsecondary
136	136	37 education, or an accredited or licensed training program intended to
137	137	38 lead to employment of the individual or a dependent of the individual.
138	138	39 SECTION 6. IC 4-4-28-9, AS AMENDED BY P.L.150-2007,
139	139	40 SECTION 2, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
140	140	41 JULY 1, 2023]: Sec. 9. (a) An individual may deposit money from the
141	141	42 individual's earned income into the individual's account.
142	142	2023 IN 1535—LS 6967/DI 129 4
143	143	1 (b) An individual may deposit an unlimited amount of money into
144	144	2 the individual's account. However, only eight hundred one thousand
145	145	3 five hundred dollars ($800) ($1,500) annually is eligible for a state
146	146	4 deposit as provided in section 12 of this chapter.
147	147	5 SECTION 7. IC 4-4-28-10, AS AMENDED BY P.L.150-2007,
148	148	6 SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
149	149	7 JULY 1, 2023]: Sec. 10. (a) Not more than eight hundred (800)
150	150	8 accounts may be established in the state each state fiscal year
151	151	9 beginning before July 1, 2009.
152	152	10 (b) Not more than one thousand (1,000) accounts may be
153	153	11 established in the state each state fiscal year beginning after June 30,
154	154	12 2009.
155	155	13 (c) A community development corporation based organization
156	156	14 shall use money that is in an individual development account fund
157	157	15 established under section 13 of this chapter to allow a qualified
158	158	16 individual on a waiting list maintained by the community development
159	159	17 corporation based organization to establish an account.
160	160	18 SECTION 8. IC 4-4-28-11, AS AMENDED BY P.L.1-2007,
161	161	19 SECTION 9, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
162	162	20 JULY 1, 2023]: Sec. 11. (a) Each community development corporation
163	163	21 based organization shall annually provide the authority with
164	164	22 information needed to determine:
165	165	23 (1) the number of accounts administered by the community
166	166	24 development corporation; based organization;
167	167	25 (2) the length of time each account under subdivision (1) has been
168	168	26 established; and
169	169	27 (3) the amount of money an individual has deposited into each
170	170	28 account under subdivision (1) during the preceding twelve (12)
171	171	29 months.
172	172	30 (b) The authority shall use the information provided under
173	173	31 subsection (a) to deposit the correct amount of money into each
174	174	32 account as provided in section 12 of this chapter.
175	175	33 SECTION 9. IC 4-4-28-12, AS AMENDED BY P.L.50-2016,
176	176	34 SECTION 6, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
177	177	35 JULY 1, 2023]: Sec. 12. (a) The authority shall allocate, for each
178	178	36 account that has been established, for not more than five (5) years,
179	179	37 three dollars ($3) for each one dollar ($1) of the first four one
180	180	38 thousand five hundred dollars ($400) ($1,500) an individual deposited
181	181	39 into the individual's account during the preceding twelve (12) months.
182	182	40 However, if the amount appropriated by the general assembly is
183	183	41 insufficient to make the deposits required by this section for accounts
184	184	42 that have been established, the authority shall proportionately reduce
185	185	2023 IN 1535—LS 6967/DI 129 5
186	186	1 the amounts allocated to and deposited into each account. The authority
187	187	2 may allocate three dollars ($3) for each one dollar ($1) of any part of
188	188	3 an amount above four hundred dollars ($400) an individual deposited
189	189	4 into the individual's account during the preceding twelve (12) months.
190	190	5 However, the authority's allocation under this subsection may not
191	191	6 exceed two four thousand four five hundred dollars ($2,400) ($4,500)
192	192	7 for each account described in this subsection.
193	193	8 (b) The authority shall deposit into each account established under
194	194	9 this chapter the appropriate amount of money determined under this
195	195	10 section.
196	196	11 (c) Money from a federal block grant program under Title IV-A of
197	197	12 the federal Social Security Act may be used by the state to provide
198	198	13 money under this section for deposit into an account held by an
199	199	14 individual who receives assistance under IC 12-14-2.
200	200	15 SECTION 10. IC 4-4-28-13, AS AMENDED BY P.L.50-2016,
201	201	16 SECTION 7, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
202	202	17 JULY 1, 2023]: Sec. 13. (a) Each community development corporation
203	203	18 based organization may apply to the authority for an allocation of tax
204	204	19 credits under IC 6-3.1-18 for the contributors to a fund established
205	205	20 under this section. A community development corporation based
206	206	21 organization may establish an individual development account fund
207	207	22 to provide money to be used to finance additional accounts to be
208	208	23 administered by the community development corporation based
209	209	24 organization under this chapter and to help pay for the community
210	210	25 development corporation's based organization's expenses related to
211	211	26 the administration of accounts.
212	212	27 (b) Each community development corporation based organization
213	213	28 shall encourage individuals, financial institutions, corporations, and
214	214	29 other entities to contribute to the fund. A contributor to the fund may
215	215	30 qualify for a tax credit as provided under IC 6-3.1-18.
216	216	31 (c) Each community development corporation based organization
217	217	32 may use up to twenty percent (20%) of the first one hundred thousand
218	218	33 dollars ($100,000) deposited each calendar year in the fund under
219	219	34 subsection (b) to help pay for the community development
220	220	35 corporation's based organization's expenses related to the
221	221	36 administration of accounts established under this chapter. All deposits
222	222	37 in the fund under subsection (b) of more than one hundred thousand
223	223	38 dollars ($100,000) during each calendar year may be used only to fund
224	224	39 accounts administered by the community development corporation
225	225	40 based organization under this chapter.
226	226	41 (d) A community development corporation based organization may
227	227	42 allow an individual to establish a new account as adequate funding
228	228	2023 IN 1535—LS 6967/DI 129 6
229	229	1 becomes available.
230	230	2 (e) Only money from the fund may be used to make the deposit
231	231	3 described in subsection (f) into an account established under this
232	232	4 section.
233	233	5 (f) The community development corporation based organization
234	234	6 shall annually deposit at least three dollars ($3) into each account for
235	235	7 each one dollar ($1) an individual has deposited into the individual's
236	236	8 account as of June 30.
237	237	9 (g) A community development corporation based organization may
238	238	10 not allow a qualifying individual to establish an account if the
239	239	11 community development corporation based organization does not
240	240	12 have adequate funds to deposit into the account under subsection (f).
241	241	13 SECTION 11. IC 4-4-28-15, AS AMENDED BY P.L.1-2007,
242	242	14 SECTION 11, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
243	243	15 JULY 1, 2023]: Sec. 15. (a) An individual must request and receive
244	244	16 authorization from the community development corporation based
245	245	17 organization that administers the individual's account before
246	246	18 withdrawing money from the account for any purpose.
247	247	19 (b) An individual who is denied authorization to withdraw money
248	248	20 under subsection (a) may appeal the community development
249	249	21 corporation's based organization's decision to the authority under
250	250	22 rules adopted by the authority under IC 4-22-2.
251	251	23 SECTION 12. IC 4-4-28-16, AS AMENDED BY P.L.50-2016,
252	252	24 SECTION 9, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
253	253	25 JULY 1, 2023]: Sec. 16. (a) Money withdrawn from an individual's
254	254	26 account is not subject to taxation under IC 6-3-1 through IC 6-3-7 if the
255	255	27 money is used for at least one (1) of the following:
256	256	28 (1) To pay for costs (including tuition, laboratory costs, books,
257	257	29 computer costs, and other costs) at an accredited postsecondary
258	258	30 educational institution or a vocational school that is not a
259	259	31 postsecondary educational institution for the individual or for a
260	260	32 dependent of the individual.
261	261	33 (2) To pay for the costs (including tuition, laboratory costs, books,
262	262	34 computer costs, and other costs) associated with an accredited or
263	263	35 a licensed training program that may lead to employment for the
264	264	36 individual or for a dependent of the individual.
265	265	37 (3) To purchase a primary residence located in Indiana for the
266	266	38 individual or for a dependent of the individual or to reduce the
267	267	39 principal amount owed on a primary residence located in Indiana
268	268	40 that was purchased by the individual or a dependent of the
269	269	41 individual with money from an individual development account.
270	270	42 (4) To pay for the rehabilitation (as defined in IC 6-3.1-11-11) of
271	271	2023 IN 1535—LS 6967/DI 129 7
272	272	1 the individual's primary residence located in Indiana.
273	273	2 (5) To begin or to purchase part or all of a business based in
274	274	3 Indiana or to expand an existing small business based in Indiana.
275	275	4 (6) Subject to section 8(b) of this chapter, to purchase a motor
276	276	5 vehicle.
277	277	6 (b) At the time of requesting authorization under section 15 of this
278	278	7 chapter to withdraw money from an individual's account under
279	279	8 subsection (a)(5), the individual must provide the community
280	280	9 development corporation based organization with a business plan that:
281	281	10 (1) has been approved by a financial institution or is approved by
282	282	11 the community development corporation; based organization;
283	283	12 (2) includes a description of services or goods to be sold, a
284	284	13 marketing plan, and projected financial statements; and
285	285	14 (3) may require the individual to obtain the assistance of an
286	286	15 experienced business advisor.
287	287	16 SECTION 13. IC 4-4-28-18, AS AMENDED BY P.L.1-2007,
288	288	17 SECTION 12, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
289	289	18 JULY 1, 2023]: Sec. 18. (a) Each community development corporation
290	290	19 based organization shall annually:
291	291	20 (1) evaluate the individual development accounts administered by
292	292	21 the community development corporation; based organization;
293	293	22 and
294	294	23 (2) submit a report containing the evaluation information to the
295	295	24 authority.
296	296	25 (b) Two (2) or more community development corporations based
297	297	26 organizations may work together in carrying out the purposes of this
298	298	27 chapter.
299	299	28 SECTION 14. IC 6-1.1-24-17.5, AS ADDED BY P.L.123-2022,
300	300	29 SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
301	301	30 JULY 1, 2023]: Sec. 17.5. (a) This section does not apply to real
302	302	31 property:
303	303	32 (1) used as a principal place of residence and receiving a
304	304	33 homestead standard deduction under IC 6-1.1-12-37 for the most
305	305	34 recent assessment date; or
306	306	35 (2) for which a set off has been obtained under IC 6-8.1-9.5
307	307	36 against the delinquent debt owed on the real property.
308	308	37 This subsection includes any real property adjacent to and under the
309	309	38 same ownership as the homestead real property described in
310	310	39 subdivision (1).
311	311	40 (b) This section applies only in a county having a consolidated city
312	312	41 and to real property that has been offered for sale by the county at two
313	313	42 (2) or more public tax sales held under this chapter.
314	314	2023 IN 1535—LS 6967/DI 129 8
315	315	1 (c) For purposes of this section, "county executive" refers to the
316	316	2 board of commissioners as provided in IC 36-3-3-10.
317	317	3 (d) For purposes of this section, "eligible nonprofit entity" means an
318	318	4 organization exempt from federal income tax under 26 U.S.C.
319	319	5 501(c)(3) that is either:
320	320	6 (1) an entity that:
321	321	7 (A) acquires real property to stabilize and provide future home
322	322	8 ownership opportunities to those who would not otherwise be
323	323	9 financially capable of purchasing a home;
324	324	10 (B) has the organizational capacity and community experience
325	325	11 necessary to successfully undertake community development
326	326	12 projects;
327	327	13 (C) has been organized and in operation for at least five (5)
328	328	14 years; and
329	329	15 (D) has each year of the immediately preceding two (2) years,
330	330	16 rehabilitated and transferred at least one (1) single family
331	331	17 dwelling to a low or moderate income household for use as a
332	332	18 residence; or
333	333	19 (2) a community development corporation based organization
334	334	20 (as defined in IC 4-4-28-2).
335	335	21 (e) For purposes of this section, "low or moderate income
336	336	22 household" means a household having an income equal to or less than
337	337	23 the Section 8 low income limit established by the United States
338	338	24 Department of Housing and Urban Development.
339	339	25 (f) A county treasurer may, as a separate part of a regularly
340	340	26 scheduled sale conducted under section 5 of this chapter, offer for sale
341	341	27 a tract or item of real property, subject to the right of redemption, to an
342	342	28 eligible nonprofit entity for purposes of a project for the development
343	343	29 of low or moderate income housing, using either:
344	344	30 (1) the sale process under section 5 of this chapter; or
345	345	31 (2) a procedure developed and implemented by resolution of the
346	346	32 county executive that conforms in all material respects to the
347	347	33 procedures under section 5 of this chapter.
348	348	34 (g) Not more than five percent (5%) of the number of parcels listed
349	349	35 for sale under section 5 of this chapter may be made available for sale
350	350	36 to eligible nonprofit entities under subsection (f). However, an eligible
351	351	37 nonprofit entity may acquire not more than ten (10) parcels made
352	352	38 available for sale under subsection (f).
353	353	39 (h) To participate in a sale under subsection (f), an eligible nonprofit
354	354	40 entity must file, not later than forty-five (45) days prior to the
355	355	41 advertised date of the sale under section 5 of this chapter:
356	356	42 (1) an application to the county executive, signed by an officer or
357	357	2023 IN 1535—LS 6967/DI 129 9
358	358	1 member of the eligible nonprofit entity, that includes:
359	359	2 (A) the address or parcel number of the tract or item of real
360	360	3 property the entity desires to acquire;
361	361	4 (B) the intended use of the tract or item of real property;
362	362	5 (C) the time period anticipated for implementation of the
363	363	6 intended use; and
364	364	7 (D) any additional information required by the county
365	365	8 executive and communicated to potential applicants in
366	366	9 advance that demonstrates the entity meets the definition of an
367	367	10 eligible nonprofit entity under subsection (d); and
368	368	11 (2) documentation verifying:
369	369	12 (A) the entity's federal tax exempt status; and
370	370	13 (B) the entity's good standing in Indiana as determined by the
371	371	14 secretary of state.
372	372	15 (i) If an eligible nonprofit entity takes possession of a tax sale
373	373	16 certificate under this section, the eligible nonprofit entity acquires the
374	374	17 same rights and obligations as a purchaser under section 6.1 of this
375	375	18 chapter. However, if an eligible nonprofit entity obtains a tax deed after
376	376	19 the expiration of the redemption period specified under IC 6-1.1-25, the
377	377	20 eligible nonprofit entity shall first offer an occupant of the parcel the
378	378	21 opportunity to purchase the parcel.
379	379	22 (j) If an eligible nonprofit entity uses a tract or item of real property
380	380	23 obtained under this section for a purpose other than the development
381	381	24 of low or moderate income housing, the tract or item of real property
382	382	25 is subject to forfeiture.
383	383	26 (k) Before January 1, 2023, and before each January 1 thereafter, the
384	384	27 county executive shall provide an annual report to the legislative
385	385	28 council in an electronic format under IC 5-14-6 concerning the tax sale
386	386	29 program established by this section.
387	387	30 SECTION 15. IC 6-3.1-9-2, AS AMENDED BY P.L.166-2014,
388	388	31 SECTION 12, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
389	389	32 JULY 1, 2023]: Sec. 2. (a) A business firm or a person who contributes
390	390	33 to a neighborhood organization that engages in the activities of
391	391	34 providing:
392	392	35 (1) neighborhood assistance, job training, or education for
393	393	36 individuals not employed by the business firm or person;
394	394	37 (2) community services or crime prevention in an economically
395	395	38 disadvantaged area; or
396	396	39 (3) community services, education, or job training services to
397	397	40 individuals who are ex-offenders who have completed the
398	398	41 individuals' criminal sentences or are serving a term of probation
399	399	42 or parole;
400	400	2023 IN 1535—LS 6967/DI 129 10
401	401	1 shall receive a tax credit as provided in section 3 of this chapter if the
402	402	2 authority approves the proposal of the business firm or person, setting
403	403	3 forth the program to be conducted, the area selected, the estimated
404	404	4 amount to be invested in the program, and the plans for implementing
405	405	5 the program. neighborhood organization engaging in the activities
406	406	6 described in subdivisions (1) through (3).
407	407	7 (b) The authority, after consultation with the community services
408	408	8 agency and the commissioner of revenue, may adopt rules for the
409	409	9 approval or disapproval of these proposals.
410	410	10 SECTION 16. IC 6-3.1-9-3 IS AMENDED TO READ AS
411	411	11 FOLLOWS [EFFECTIVE JULY 1, 2023]: Sec. 3. (a) Subject to the
412	412	12 limitations provided in subsection (b) and sections 4, 5, and 6 of this
413	413	13 chapter, the department shall grant a tax credit against any state tax
414	414	14 liability due equal to fifty percent (50%) of the amount invested
415	415	15 contributed by a business firm or person in a program the proposal for
416	416	16 which was approved under section 2 of this chapter.
417	417	17 (b) The credit provided by this chapter shall only be applied against
418	418	18 any state tax liability owed by the taxpayer after the application of any
419	419	19 credits, which under IC 6-3.1-1-2 must be applied before the credit
420	420	20 provided by this chapter. In addition, the tax credit which a taxpayer
421	421	21 receives under this chapter may not exceed twenty-five thousand
422	422	22 dollars ($25,000) for any taxable year of the taxpayer.
423	423	23 (c) If a business firm that is:
424	424	24 (1) exempt from adjusted gross income tax (IC 6-3-1 through
425	425	25 IC 6-3-7) under IC 6-3-2-2.8(2); or
426	426	26 (2) a partnership;
427	427	27 does not have any tax liability against which the credit provided by this
428	428	28 section may be applied, a shareholder or a partner of the business firm
429	429	29 is entitled to a credit against the shareholder's or the partner's liability
430	430	30 under the adjusted gross income tax.
431	431	31 (d) The amount of the credit provided by this section is equal to:
432	432	32 (1) the tax credit determined for the business firm for the taxable
433	433	33 year under subsection (a); multiplied by
434	434	34 (2) the percentage of the business firm's distributive income to
435	435	35 which the shareholder or the partner is entitled.
436	436	36 The credit provided by this section is in addition to any credit to which
437	437	37 a shareholder or partner is otherwise entitled under this chapter.
438	438	38 However, a business firm and a shareholder or partner of that business
439	439	39 firm may not claim a credit under this chapter for the same investment.
440	440	40 SECTION 17. IC 6-3.1-9-4, AS AMENDED BY P.L.1-2007,
441	441	41 SECTION 56, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
442	442	42 JULY 1, 2023]: Sec. 4. (a) The neighborhood organization, on
443	443	2023 IN 1535—LS 6967/DI 129 11
444	444	1 behalf of any business firm or person which desires to claim a tax
445	445	2 credit as provided in this chapter shall file with the department, in the
446	446	3 form that the department may prescribe, an application documentation
447	447	4 stating the amount of the contribution or investment which it proposes
448	448	5 to make which that would qualify for a tax credit, and the amount
449	449	6 sought to be claimed as a credit. The application documentation shall
450	450	7 include a certificate evidencing approval of the contribution or program
451	451	8 by the authority.
452	452	9 (b) The authority shall give priority in issuing certificates to
453	453	10 applicants neighborhood organizations whose contributions or
454	454	11 programs directly benefit enterprise zones.
455	455	12 (c) The department shall promptly notify an applicant whether, or
456	456	13 the extent to which, the tax credit is allowable in the state fiscal year in
457	457	14 which the application documentation is filed, as provided in section
458	458	15 5 of this chapter. If the credit is allowable in that state fiscal year, the
459	459	16 applicant shall within thirty (30) days after receipt of the notice file
460	460	17 with the department of state revenue a statement, in the form and
461	461	18 accompanied by the proof of payment as the department may prescribe,
462	462	19 setting forth that the amount to be claimed as a credit under this
463	463	20 chapter has been paid to an organization for an approved program or
464	464	21 purpose, or permanently set aside in a special account to be used solely
465	465	22 for an approved program or purpose.
466	466	23 (d) The department may disallow any credit claimed under this
467	467	24 chapter for which the statement or proof of payment is not filed within
468	468	25 the thirty (30) day period. shall consider documentation from the
469	469	26 authority as proof of payment, setting forth that the amount to be
470	470	27 claimed as a credit under this chapter has been paid to an
471	471	28 organization for an approved program or purpose, or permanently
472	472	29 set aside in a special account to be used solely for an approved
473	473	30 program or purpose.
474	474	31 SECTION 18. IC 6-3.1-9-5 IS AMENDED TO READ AS
475	475	32 FOLLOWS [EFFECTIVE JULY 1, 2023]: Sec. 5. (a) The amount of
476	476	33 tax credits allowed under this chapter may not exceed two million five
477	477	34 hundred thousand dollars ($2,500,000) in the state fiscal year
478	478	35 beginning July 1, 1997, and ending June 30, 1998, and each state fiscal
479	479	36 year thereafter.
480	480	37 (b) The department shall record the time of filing of each
481	481	38 application for allowance of a credit required under section 4 of this
482	482	39 chapter and shall approve the applications, if they otherwise qualify for
483	483	40 a tax credit under this chapter, in the chronological order in which the
484	484	41 applications are filed in the state fiscal year.
485	485	42 (c) When the total credits approved under this section equal the
486	486	2023 IN 1535—LS 6967/DI 129 12
487	487	1 maximum amount allowable in any state fiscal year, no application
488	488	2 documentation thereafter filed for that same fiscal year shall be
489	489	3 approved. However, if any applicant business firm or person for
490	490	4 whom a credit has been approved fails to file the statement
491	491	5 documentation of proof of payment required under section 4 of this
492	492	6 chapter, an amount equal to the credit previously allowed or set aside
493	493	7 for the applicant may be allowed to any subsequent applicant in the
494	494	8 year. In addition, the department may, if the applicant so requests,
495	495	9 approve a credit application, in whole or in part, with respect to the
496	496	10 next succeeding state fiscal year.
497	497	11 SECTION 19. IC 6-3.1-18-1 IS AMENDED TO READ AS
498	498	12 FOLLOWS [EFFECTIVE JULY 1, 2023]: Sec. 1. As used in this
499	499	13 chapter, "community development corporation" based organization"
500	500	14 has the meaning set forth in IC 4-4-28-2.
501	501	15 SECTION 20. IC 6-3.1-18-2 IS AMENDED TO READ AS
502	502	16 FOLLOWS [EFFECTIVE JULY 1, 2023]: Sec. 2. As used in this
503	503	17 chapter, "fund" refers to an individual development account fund
504	504	18 established by a community development corporation based
505	505	19 organization under IC 4-4-28-13.
506	506	20 SECTION 21. IC 6-3.1-18-4.5, AS ADDED BY P.L.50-2016,
507	507	21 SECTION 10, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
508	508	22 JULY 1, 2023]: Sec. 4.5. As used in this chapter, "qualified
509	509	23 contribution" means a contribution to a fund for which a community
510	510	24 development corporation based organization has received an
511	511	25 allocation of tax credits under IC 4-4-28-13.
512	512	26 SECTION 22. IC 24-4.4-1-202, AS AMENDED BY P.L.103-2014,
513	513	27 SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
514	514	28 JULY 1, 2023]: Sec. 202. (a) As used in this section, "balloon
515	515	29 payment", with respect to a mortgage transaction, means any payment:
516	516	30 (1) that the creditor requires the debtor to make at any time during
517	517	31 the term of the mortgage;
518	518	32 (2) that represents the entire amount of the outstanding balance
519	519	33 with respect to the mortgage; and
520	520	34 (3) the entire amount of which is due as of a specified date or at
521	521	35 the end of a specified period;
522	522	36 if the aggregate amount of the minimum periodic payments required
523	523	37 under the mortgage would not fully amortize the outstanding balance
524	524	38 by the specified date or at the end of the specified period. The term
525	525	39 does not include a payment required by a creditor under a due-on-sale
526	526	40 clause (as defined in 12 U.S.C. 1701j-3(a)) or a payment required by
527	527	41 a creditor under a provision in the mortgage that permits the creditor
528	528	42 to accelerate the debt upon the debtor's default or failure to abide by the
529	529	2023 IN 1535—LS 6967/DI 129 13
530	530	1 material terms of the mortgage.
531	531	2 (b) This article does not apply to the following:
532	532	3 (1) Extensions of credit to government or governmental agencies
533	533	4 or instrumentalities.
534	534	5 (2) A first lien mortgage transaction in which the debt is incurred
535	535	6 primarily for a purpose other than a personal, family, or
536	536	7 household purpose.
537	537	8 (3) An extension of credit primarily for a business, a commercial,
538	538	9 or an agricultural purpose.
539	539	10 (4) Except for IC 24-4.4-2-401(2), IC 24-4.4-2-402.3,
540	540	11 IC 24-4.4-2-405(4), and IC 24-4.4-2-405(5), a first lien mortgage
541	541	12 transaction made:
542	542	13 (a) in compliance with the requirements of; and
543	543	14 (b) by a community development corporation based
544	544	15 organization (as defined in IC 4-4-28-2) acting as a
545	545	16 subrecipient of funds from;
546	546	17 the Indiana housing and community development authority
547	547	18 established by IC 5-20-1-3.
548	548	19 (5) Except for IC 24-4.4-2-401(2), IC 24-4.4-2-402.3,
549	549	20 IC 24-4.4-2-405(4), and IC 24-4.4-2-405(5), a first lien mortgage
550	550	21 transaction made by an entity that exclusively uses funds provided
551	551	22 by the United States Department of Housing and Urban
552	552	23 Development under Title 1 of the federal Housing and
553	553	24 Community Development Act of 1974, Public Law 93-383, as
554	554	25 amended (42 U.S.C. 5301 et seq.).
555	555	26 (6) An extension of credit originated by the following:
556	556	27 (a) A depository institution. However, a federal savings bank
557	557	28 may voluntarily register with the department for the purpose
558	558	29 of sponsoring, under an exclusive written agreement,
559	559	30 individuals who are licensed as mortgage loan originators
560	560	31 under this article and 750 IAC 9-3, who perform mortgage
561	561	32 loan origination activities as independent agents under the
562	562	33 federal savings bank's direct supervision and control, who hold
563	563	34 a current, valid insurance producer license under IC 27-1-15.6,
564	564	35 and who sell, solicit, or negotiate insurance under an exclusive
565	565	36 written agreement for a licensed insurance company that is a
566	566	37 subsidiary of a company that also owns or controls the federal
567	567	38 savings bank, if the federal savings bank does the following:
568	568	39 (i) Assumes responsibility for and reasonably supervises the
569	569	40 activities of all licensed mortgage loan originators sponsored
570	570	41 by the federal savings bank under this clause.
571	571	42 (ii) Registers with and maintains a valid unique identifier
572	572	2023 IN 1535—LS 6967/DI 129 14
573	573	1 issued by the NMLSR as required by IC 24-4.4-2-401(2),
574	574	2 maintains a surety bond in accordance with
575	575	3 IC 24-4.4-2-402.3, submits to the NMLSR reports of
576	576	4 condition in accordance with IC 24-4.4-2-405(4) (subject to
577	577	5 IC 24-4.4-2-402.4), and files financial statements with the
578	578	6 department in accordance with IC 24-4.4-2-405(5).
579	579	7 (iii) Cooperates with the department, and provides access to
580	580	8 records and documents, as required by the department in
581	581	9 carrying out examinations of the activities of the licensed
582	582	10 mortgage loan originators sponsored by the federal savings
583	583	11 bank under this clause, as described in IC 24-4.4-2-405(1).
584	584	12 (iv) Agrees to comply with all law, rules, directives, and
585	585	13 orders in connection with the activities of the licensed
586	586	14 mortgage loan originators sponsored by the federal savings
587	587	15 bank, as the director determines necessary to ensure
588	588	16 compliance with the federal Secure and Fair Enforcement
589	589	17 for Mortgage Licensing Act of 2008 (12 U.S.C. 5101 et seq.)
590	590	18 and with Indiana law.
591	591	19 (b) Subsidiaries that are not licensed under this article and that
592	592	20 are:
593	593	21 (i) owned and controlled by a depository institution; and
594	594	22 (ii) regulated by a federal banking agency.
595	595	23 (c) An institution regulated by the Farm Credit Administration.
596	596	24 (7) Except for IC 24-4.4-2-401(2), IC 24-4.4-2-402.3,
597	597	25 IC 24-4.4-2-405(4), and IC 24-4.4-2-405(5), a credit union service
598	598	26 organization that is majority owned, directly or indirectly, by one
599	599	27 (1) or more credit unions.
600	600	28 (8) A first lien mortgage transaction originated by a registered
601	601	29 mortgage loan originator, when acting for an entity described in
602	602	30 subsection (6). However, a privately insured state chartered credit
603	603	31 union shall comply with the system of mortgage loan originator
604	604	32 registration developed by the Federal Financial Institutions
605	605	33 Examinations Council under Section 1507 of the federal Secure
606	606	34 and Fair Enforcement for Mortgage Licensing Act of 2008
607	607	35 (SAFE).
608	608	36 (9) An individual who offers or negotiates terms of a mortgage
609	609	37 transaction with or on behalf of an immediate family member of
610	610	38 the individual.
611	611	39 (10) An individual who offers or negotiates terms of a mortgage
612	612	40 transaction secured by a dwelling that served as the individual's
613	613	41 residence.
614	614	42 (11) Unless the attorney is compensated by:
615	615	2023 IN 1535—LS 6967/DI 129 15
616	616	1 (a) a lender;
617	617	2 (b) a mortgage broker;
618	618	3 (c) another mortgage loan originator; or
619	619	4 (d) any agent of the lender, mortgage broker, or other
620	620	5 mortgage loan originator described in clauses (a) through (c);
621	621	6 a licensed attorney who negotiates the terms of a mortgage
622	622	7 transaction on behalf of a client as an ancillary matter to the
623	623	8 attorney's representation of the client.
624	624	9 (12) The United States, any state or local government, or any
625	625	10 agency or instrumentality of any governmental entity, including
626	626	11 United States government sponsored enterprises.
627	627	12 (13) A person in whose name a tablefunded transaction is closed,
628	628	13 as described in section 301(34)(a) of this chapter. However, the
629	629	14 exemption provided by this subsection does not apply if:
630	630	15 (a) the transaction:
631	631	16 (i) is secured by a dwelling that is a mobile home, a
632	632	17 manufactured home, or a trailer; and
633	633	18 (ii) is not also secured by an interest in land; and
634	634	19 (b) the person in whose name the transaction is closed, as
635	635	20 described in section 301(34)(a) of this chapter, sells the
636	636	21 dwelling to the debtor through a retail installment contract or
637	637	22 other similar transaction.
638	638	23 (14) A bona fide nonprofit organization not operating in a
639	639	24 commercial context, as determined by the director, if the
640	640	25 following criteria are satisfied:
641	641	26 (a) Subject to clause (b), the organization originates only one
642	642	27 (1) or both of the following types of mortgage transactions:
643	643	28 (i) Zero (0) interest first lien mortgage transactions.
644	644	29 (ii) Zero (0) interest subordinate lien mortgage transactions.
645	645	30 (b) The organization does not require, under the terms of the
646	646	31 mortgage or otherwise, balloon payments with respect to the
647	647	32 mortgage transactions described in clause (a).
648	648	33 (c) The organization is exempt from federal income taxation
649	649	34 under Section 501(c)(3) of the Internal Revenue Code.
650	650	35 (d) The organization's primary purpose is to serve the public
651	651	36 by helping low income individuals and families build, repair,
652	652	37 and purchase housing.
653	653	38 (e) The organization uses only:
654	654	39 (i) unpaid volunteers; or
655	655	40 (ii) employees whose compensation is not based on the
656	656	41 number or size of any mortgage transactions that the
657	657	42 employees originate;
658	658	2023 IN 1535—LS 6967/DI 129 16
659	659	1 to originate the mortgage transactions described in clause (a).
660	660	2 (f) The organization does not charge loan origination fees in
661	661	3 connection with the mortgage transactions described in clause
662	662	4 (a).
663	663	5 (15) A bona fide nonprofit organization (as defined in section
664	664	6 301(37) of this chapter) if the following criteria are satisfied:
665	665	7 (a) For each calendar year that the organization seeks the
666	666	8 exemption provided by this subdivision, the organization
667	667	9 certifies, not later than December 31 of the preceding calendar
668	668	10 year and on a form prescribed by the director and accompanied
669	669	11 by such documentation as required by the director, that the
670	670	12 organization is a bona fide nonprofit organization (as defined
671	671	13 in section 301(37) of this chapter).
672	672	14 (b) The director determines that the organization originates
673	673	15 only mortgage transactions that are favorable to the debtor. For
674	674	16 purposes of this clause, a mortgage transaction is favorable to
675	675	17 the debtor if the director determines that the terms of the
676	676	18 mortgage transaction are consistent with terms of mortgage
677	677	19 transactions made in a public or charitable context, rather than
678	678	20 in a commercial context.
679	679	21 SECTION 23. IC 24-4.5-1-202, AS AMENDED BY P.L.176-2019,
680	680	22 SECTION 11, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
681	681	23 JULY 1, 2023]: Sec. 202. (a) As used in this section, "balloon
682	682	24 payment", with respect to a mortgage transaction, means any payment
683	683	25 that:
684	684	26 (1) the creditor requires the debtor to make at any time during the
685	685	27 term of the mortgage;
686	686	28 (2) represents the entire amount of the outstanding balance with
687	687	29 respect to the mortgage; and
688	688	30 (3) the entire amount of which is due as of a specified date or at
689	689	31 the end of a specified period;
690	690	32 if the aggregate amount of the minimum periodic payments required
691	691	33 under the mortgage would not fully amortize the outstanding balance
692	692	34 by the specified date or at the end of the specified period. The term
693	693	35 does not include a payment required by a creditor under a due-on-sale
694	694	36 clause (as defined in 12 U.S.C. 1701j-3(a)) or a payment required by
695	695	37 a creditor under a provision in the mortgage that permits the creditor
696	696	38 to accelerate the debt upon the debtor's default or failure to abide by the
697	697	39 material terms of the mortgage.
698	698	40 (b) This article does not apply to the following:
699	699	41 (1) Extensions of credit to or by a government or governmental
700	700	42 agencies or instrumentalities.
701	701	2023 IN 1535—LS 6967/DI 129 17
702	702	1 (2) The sale of insurance by an insurer, except as otherwise
703	703	2 provided in the chapter on insurance (IC 24-4.5-4).
704	704	3 (3) Transactions under public utility, municipal utility, or
705	705	4 common carrier tariffs if a subdivision or agency of this state or
706	706	5 of the United States regulates the charges for the services
707	707	6 involved, the charges for delayed payment, and any discount
708	708	7 allowed for early payment.
709	709	8 (4) The rates and charges and the disclosure of rates and charges
710	710	9 of a licensed pawnbroker established in accordance with a statute
711	711	10 or ordinance concerning these matters.
712	712	11 (5) A sale of goods, services, or an interest in land in which the
713	713	12 goods, services, or interest in land are purchased primarily for a
714	714	13 purpose other than a personal, family, or household purpose.
715	715	14 (6) A loan in which the debt is incurred primarily for a purpose
716	716	15 other than a personal, family, or household purpose.
717	717	16 (7) An extension of credit primarily for a business, a commercial,
718	718	17 or an agricultural purpose.
719	719	18 (8) An installment agreement for the purchase of home fuels in
720	720	19 which a finance charge is not imposed.
721	721	20 (9) Loans made, insured, or guaranteed under a program
722	722	21 authorized by Title IV of the Higher Education Act of 1965 (20
723	723	22 U.S.C. 1070 et seq.).
724	724	23 (10) Transactions in securities or commodities accounts in which
725	725	24 credit is extended by a broker-dealer registered with the Securities
726	726	25 and Exchange Commission or the Commodity Futures Trading
727	727	26 Commission.
728	728	27 (11) Except for IC 24-4.5-3-502.1(4), IC 24-4.5-3-503.3,
729	729	28 IC 24-4.5-3-505(4), and IC 24-4.5-3-505(5), a loan made:
730	730	29 (A) in compliance with the requirements of; and
731	731	30 (B) by a community development corporation based
732	732	31 organization (as defined in IC 4-4-28-2) acting as a
733	733	32 subrecipient of funds from;
734	734	33 the Indiana housing and community development authority
735	735	34 established by IC 5-20-1-3.
736	736	35 (12) Except for IC 24-4.5-3-502.1(4), IC 24-4.5-3-503.3,
737	737	36 IC 24-4.5-3-505(4), and IC 24-4.5-3-505(5), a subordinate lien
738	738	37 mortgage transaction made by an entity that exclusively uses
739	739	38 funds provided by the United States Department of Housing and
740	740	39 Urban Development under Title 1 of the Housing and Community
741	741	40 Development Act of 1974, Public Law 93-383, as amended (42
742	742	41 U.S.C. 5301 et seq.).
743	743	42 (13) The United States, any state or local government, or any
744	744	2023 IN 1535—LS 6967/DI 129 18
745	745	1 agency or instrumentality of any governmental entity, including
746	746	2 United States government sponsored enterprises and state
747	747	3 educational institutions (as defined in IC 21-7-13-32). For
748	748	4 purposes of this subdivision, an "instrumentality" of a
749	749	5 governmental entity includes a foundation, a corporate or
750	750	6 nonprofit subsidiary, or an affiliate (as defined in
751	751	7 IC 24-4.5-1-301.5(1)) of the governmental entity.
752	752	8 (14) A bona fide nonprofit organization not operating in a
753	753	9 commercial context, as determined by the director, if the
754	754	10 following criteria are satisfied:
755	755	11 (A) Subject to clause (B), the organization originates only one
756	756	12 (1) or both of the following types of mortgage transactions:
757	757	13 (i) Zero (0) interest first lien mortgage transactions.
758	758	14 (ii) Zero (0) interest subordinate lien mortgage transactions.
759	759	15 (B) The organization does not require, under the terms of the
760	760	16 mortgage or otherwise, balloon payments with respect to the
761	761	17 mortgage transactions described in clause (A).
762	762	18 (C) The organization is exempt from federal income taxation
763	763	19 under Section 501(c)(3) of the Internal Revenue Code.
764	764	20 (D) The organization's primary purpose is to serve the public
765	765	21 by helping low income individuals and families build, repair,
766	766	22 and purchase housing.
767	767	23 (E) The organization uses only:
768	768	24 (i) unpaid volunteers; or
769	769	25 (ii) employees whose compensation is not based on the
770	770	26 number or size of any mortgage transactions that the
771	771	27 employees originate;
772	772	28 to originate the mortgage transactions described in clause (A).
773	773	29 (F) The organization does not charge loan origination fees in
774	774	30 connection with the mortgage transactions described in clause
775	775	31 (A).
776	776	32 (15) A bona fide nonprofit organization (as defined in section
777	777	33 301.5 of this chapter) if the following criteria are satisfied:
778	778	34 (A) For each calendar year that the organization seeks the
779	779	35 exemption provided by this subdivision, the organization
780	780	36 certifies, not later than December 31 of the preceding calendar
781	781	37 year and on a form prescribed by the director and accompanied
782	782	38 by such documentation as required by the director, that the
783	783	39 organization is a bona fide nonprofit organization (as defined
784	784	40 in section 301.5(45) of this chapter).
785	785	41 (B) The director determines that the organization originates
786	786	42 only mortgage transactions that are favorable to the debtor. For
787	787	2023 IN 1535—LS 6967/DI 129 19
788	788	1 purposes of this clause, a mortgage transaction is favorable to
789	789	2 the debtor if the director determines that the terms of the
790	790	3 mortgage transaction are consistent with terms of mortgage
791	791	4 transactions made in a public or charitable context, rather than
792	792	5 in a commercial context.
793	793	6 SECTION 24. IC 36-7-14-22.2, AS AMENDED BY P.L.146-2018,
794	794	7 SECTION 24, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
795	795	8 JULY 1, 2023]: Sec. 22.2. (a) The commission may sell or grant, at no
796	796	9 cost, title to real property to an urban enterprise association for the
797	797	10 purpose of developing the real property if the following requirements
798	798	11 are met:
799	799	12 (1) The urban enterprise association has incorporated as a
800	800	13 nonprofit corporation under IC 5-28-15-14(b)(2).
801	801	14 (2) The parcel of property to be sold or granted is located entirely
802	802	15 within the enterprise zone for which the urban enterprise
803	803	16 association was created under IC 5-28-15-13.
804	804	17 (3) The urban enterprise association agrees to cause development
805	805	18 on the parcel of property within a specified period that may not
806	806	19 exceed five (5) years from the date of the sale or grant.
807	807	20 (4) The urban enterprise association agrees to rehabilitate or
808	808	21 otherwise develop the property in a manner that is similar to and
809	809	22 consistent with the use of the other properties in the enterprise
810	810	23 zone.
811	811	24 (b) The commission may sell or grant, at no cost, title to real
812	812	25 property to a community development corporation based organization
813	813	26 (as defined in IC 4-4-28-2) for the purpose of providing low or
814	814	27 moderate income housing or other development that will benefit or
815	815	28 serve low or moderate income families if the following requirements
816	816	29 are met:
817	817	30 (1) The community development corporation based organization
818	818	31 has as a major corporate purpose and function the provision of
819	819	32 housing for low and moderate income families within the
820	820	33 geographic area in which the parcel of real property is located.
821	821	34 (2) The community development corporation based organization
822	822	35 agrees to cause development that will serve or benefit low or
823	823	36 moderate income families on the parcel of real property within a
824	824	37 specified period, which may not exceed five (5) years from the
825	825	38 date of the sale or grant.
826	826	39 (3) The community development corporation based organization
827	827	40 agrees that the community development corporation based
828	828	41 organization and each applicant, recipient, contractor, or
829	829	42 subcontractor undertaking work in connection with the real
830	830	2023 IN 1535—LS 6967/DI 129 20
831	831	1 property will:
832	832	2 (A) use lower income project area residents as trainees and as
833	833	3 employees; and
834	834	4 (B) contract for work with business concerns located in the
835	835	5 project area or owned in substantial part by persons residing
836	836	6 in the project area;
837	837	7 to the greatest extent feasible, as determined under the standards
838	838	8 specified in 24 CFR 135.
839	839	9 (4) The community development corporation based organization
840	840	10 agrees to rehabilitate or otherwise develop the property in a
841	841	11 manner that is similar to and consistent with the use of the other
842	842	12 properties in the area served by the community development
843	843	13 corporation. based organization.
844	844	14 (c) To carry out the purposes of this section, the commission may
845	845	15 secure from the county under IC 6-1.1-25-9(e) parcels of property
846	846	16 acquired by the county under IC 6-1.1-24 and IC 6-1.1-25.
847	847	17 (d) Before offering any parcel of property for sale or grant, the fair
848	848	18 market value of the parcel of property must be determined by an
849	849	19 appraiser, who may be an employee of the department. However, if the
850	850	20 commission has obtained the parcel in the manner described in
851	851	21 subsection (c), an appraisal is not required. An appraisal under this
852	852	22 subsection is solely for the information of the commission and is not
853	853	23 available for public inspection.
854	854	24 (e) The commission must decide at a public meeting whether the
855	855	25 commission will sell or grant the parcel of real property. In making this
856	856	26 decision, the commission shall give substantial weight to the extent to
857	857	27 which and the terms under which the urban enterprise association or
858	858	28 community development corporation based organization will cause
859	859	29 development on the property.
860	860	30 (f) Before conducting a meeting under subsection (g), the
861	861	31 commission shall publish a notice in accordance with IC 5-3-1
862	862	32 indicating that at a designated time the commission will consider
863	863	33 selling or granting the parcel of real property under this section. The
864	864	34 notice must state the general location of the property, including the
865	865	35 street address, if any, or a common description of the property other
866	866	36 than the legal description.
867	867	37 (g) If the county agrees to transfer a parcel of real property to the
868	868	38 commission to be sold or granted under this section, the commission
869	869	39 may conduct a meeting to sell or grant the parcel to an urban enterprise
870	870	40 zone or to a community development corporation based organization
871	871	41 even though the parcel has not yet been transferred to the commission.
872	872	42 After the hearing, the commission may adopt a resolution directing the
873	873	2023 IN 1535—LS 6967/DI 129 21
874	874	1 department to take appropriate steps necessary to acquire the parcel
875	875	2 from the county and to transfer the parcel to the urban enterprise
876	876	3 association or to the community development corporation. based
877	877	4 organization.
878	878	5 (h) A conveyance of property under this section shall be made in
879	879	6 accordance with section 22(i) of this chapter.
880	880	7 (i) An urban enterprise association that purchases or receives real
881	881	8 property under this section shall report the terms of the conveyance to
882	882	9 the board of the Indiana economic development corporation not later
883	883	10 than thirty (30) days after the date the conveyance of the property is
884	884	11 made.
885	885	2023 IN 1535—LS 6967/DI 129