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 6316 NOTE PREPARED: Mar 4, 2024
BILL NUMBER: HB 1092 BILL AMENDED: Feb 1, 2024
SUBJECT: Financial Responsibility for Aircraft.
FIRST AUTHOR: Rep. Mayfield BILL STATUS: As Passed Senate
FIRST SPONSOR: Sen. Donato
FUNDS AFFECTED:XGENERAL IMPACT: State & Local
XDEDICATED
FEDERAL
Summary of Legislation: This bill amends the definition of "operation of aircraft" or "operate aircraft" for
purposes of the aircraft financial responsibility act.
The bill also increases the minimum amount of loss resulting from bodily injury, death, or property damage
in an aircraft accident required to be reported to the Indiana Department of Transportation (INDOT) from
$100 to $7,500. It also requires certain information to be included in a report of an aircraft accident. It also
requires the owner or operator of an aircraft to provide the information required to be reported to INDOT
to a damaged or injured party or a damaged or injured party's representative upon request
The bill removes INDOT from a provision allowing certain entities to maintain an action to enjoin a person
from engaging in the operation of an aircraft for failure to comply with the aircraft financial responsibility
requirements.
The bill specifies how payments shall be made from a security deposit. It specifies the fee for service of
process on the Secretary of State. It also adds an additional insured to certain provisions in the aircraft
financial responsibility act.
The bill makes corresponding changes and technical corrections.
Effective Date: July 1, 2024.
Explanation of State Expenditures: The bill could increase the workload of the Attorney General to file
actions against individuals who do not obtain the required financial responsibility policies. Increases in
HB 1092 1 workload are expected to be small and are within the routine administrative function of the agency.
Additional Information - Under the bill, INDOT would no longer have the ability to file actions against
individuals who fail to furnish proof of financial responsibility. These actions are not currently filed by
INDOT, so this provision is expected to have no impact on the Department.
By increasing the minimum loss amount, the bill could also decrease the number of aircraft accident reports
provided to INDOT. Based on information obtained from the federal National Transportation Safety Board,
over the past ten years there was only one aircraft accident where “minor” damage was sustained. The federal
definition of “minor” damage includes engine failure or limited damage to an engine only, bent or dented
skin, and/or damage to landing gear, flaps, or wingtips. It is unclear if this definition would include amounts
greater than $100 and less than $7,500.
Explanation of State Revenues:
Explanation of Local Expenditures: The bill could increase the workload of the local prosecuting attorney
to file actions against individuals who do not obtain the required financial responsibility policies. Increases
in workload are expected to be small and are within the routine administrative function of the local
prosecuting attorney’s office.
Explanation of Local Revenues:
State Agencies Affected: Attorney General, INDOT.
Local Agencies Affected: Local prosecuting attorneys.
Information Sources: Andrea Zimmerman, INDOT; https://carol.ntsb.gov/.
Fiscal Analyst: Bill Brumbach, 317-232-9559.
HB 1092 2