Indiana 2024 2024 Regular Session

Indiana House Bill HB1041 Introduced / Fiscal Note

Filed 12/22/2023

                    LEGISLATIVE SERVICES AGENCY
OFFICE OF FISCAL AND MANAGEMENT ANALYSIS
200 W. Washington St., Suite 301
Indianapolis, IN 46204
(317) 233-0696
iga.in.gov
FISCAL IMPACT STATEMENT
LS 6344	NOTE PREPARED: Dec 8, 2023
BILL NUMBER: HB 1041	BILL AMENDED: 
SUBJECT: Epilepsy Foundation Trust License Plate.
FIRST AUTHOR: Rep. Klinker	BILL STATUS: As Introduced
FIRST SPONSOR: 
FUNDS AFFECTED: GENERAL	IMPACT: State & Local
XDEDICATED
FEDERAL
Summary of Legislation: This bill establishes the epilepsy foundation trust license plate as a special group
recognition license plate. The bill establishes the Epilepsy Foundation Trust Fund.
Effective Date:  July 1, 2024.
Explanation of State Expenditures: The Bureau of Motor Vehicles (BMV) reports a cost to design a
special group license plate of $38,000. These up-front expenses would be financed from the BMV
Commission Fund and could be recovered from administrative fees collected from license plate sales.
Additionally, the bill will increase the workload of (1) the BMV to administer the Epilepsy Trust Fund
(created by the bill) and (2) the Treasurer of State to determine and execute an investment strategy for
funding deposited in the Epilepsy Trust Fund. Increases in BMV workload and/or expenditures to administer
the Trust Fund would be financed from the $25 special group fee paid by individuals who request the special
group license plate. Increases in Treasurer of State workload are within the routine administrative function
of the agency and are expected to be accomplished within existing resource and funding levels. 
Explanation of State Revenues: Summary - This bill could increase revenue to the BMV Technology Fund,
Crossroads 2000 Fund, Integrated Public Safety Communication Fund, BMV Commission Fund, and State
Highway Fund (by way of the Motor Vehicle Highway Account) from the collection of the $15
administrative fee collected on each epilepsy trust foundation license plate sold. The bill would also increase
revenue to the newly created Epilepsy Trust Fund from special group fees collected from license plate sales.
The bill’s net impact on state revenue is indeterminable.
HB 1041	1 Additional Information - Offering a new special group license plate could impact license plate sales where
the state currently collects (1) a special group fee and an administrative fee, (2) only a special group fee, (3)
only an administrative fee, or (4) no special group or administrative fees. 
The following impacts can be expected for the aforementioned scenarios: 
In scenario (1) the state would experience no revenue impact.
Scenario (2) results in the state receiving more annual revenue from administrative fees.
Scenario (3) results in the state receiving revenue increases from special group fees. 
Scenario (4) results in an increase in state revenue from administrative and special group fees.
Epilepsy Trust Fund - The bill establishes the Epilepsy Trust Fund to receive the $25 group fee collected
from license plate sales. Funding received from special group license plate sales is forwarded to the Epilepsy
Foundation of Indiana at least once a month. Any balance that remains in the Trust Fund at the end of the
fiscal year does not revert to the General Fund.
BMV Administrative Fees - The following table shows the fee distribution breakdown from special group
license plate administrative fees.
Distribution	Fee
BMV Technology Fund	$0.50
Crossroads 2000 Fund	$1.00
Integrated Public Safety Communication Fund $1.25
BMV Commission Fund	$5.00
Motor Vehicle Highway Account $7.25
Total	$15.00
Changes in revenue to the MVHA will impact distributions to the State Highway Fund (INDOT). The State
Highway Fund receives 62% of revenue deposited in the MVHA. The bill’s impact on the State Highway
Fund is indeterminable. 
Explanation of Local Expenditures: 
Explanation of Local Revenues: To the extent this bill impacts revenue deposited in the MVHA from
special group license plate administrative fees, the bill will impact revenue local units of government revenue
through the MVHA funding formula. The bill’s impact on local MVHA revenue is indeterminable.
State Agencies Affected: BMV; INDOT. 
Local Agencies Affected: All. 
Information Sources: Cody Eckart, BMV. 
Fiscal Analyst: Bill Brumbach,  317-232-9559.
HB 1041	2