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 6535 NOTE PREPARED: Dec 21, 2023
BILL NUMBER: HB 1105 BILL AMENDED:
SUBJECT: Education Matters.
FIRST AUTHOR: Rep. Davis BILL STATUS: As Introduced
FIRST SPONSOR:
FUNDS AFFECTED:XGENERAL IMPACT: State & Local
DEDICATED
FEDERAL
Summary of Legislation: This bill sets forth certain requirements for a student to withdraw from school.
The bill provides a specified exception to the information required in an official high school transcript. It
provides that an individual less than 18 years of age may participate in the Indiana High School Equivalency
Testing Program (testing program) if the individual receives a recommendation from a specified individual.
It also prohibits the Department of Education from requiring certain students to attend an exit interview to
participate in the testing program.
Effective Date: July 1, 2024.
Explanation of State Expenditures: Summary - Beginning in FY 2025, provisions in the bill reduce the
requirements necessary for a student to withdraw from a school corporation. This may lead to a minor
decrease in state tuition support expenditures dependent on the extent that school corporation enrollment
decreases.
Additional Information - Students, the student’s parents, and the school principal are currently required to
provide written consent before a student may withdraw from a school corporation. A withdrawal request is
also only granted in certain circumstances. Under this bill, only the student’s parents are required to provide
written consent, and the student may be withdrawn under any circumstance in which the parent determines
it is in the best interest of the student. The bill also repeals current statute requiring students and their parents
to sign a written acknowledgment regarding the risks of withdrawing from school before obtaining a high
school diploma.
Explanation of State Revenues: Students attempting the high school equivalency (HSE) exam may be
HB 1105 1 required to pay a testing fee of up to $120 and may pay $10 for optional tests or readiness assessments.
Beginning in FY 2025, provisions in this bill could increase the number of tests taken at eligible testing
centers. State educational institutions that are considered eligible testing centers will experience a revenue
increase to the extent that they administer additional HSE exams.
Explanation of Local Expenditures: Provisions in the bill provide a minor workload decrease for school
corporations when the parent of a high school student provides written consent to withdraw their child from
the school.
Explanation of Local Revenues: Eligible Testing Center: Public schools that are considered eligible testing
centers will experience a revenue increase to the extent that they administer additional HSE exams. [See
Explanation of State Revenues for more information.]
School Corporations: School corporation tuition support revenue may decrease dependent on the extent that
student enrollment decreases as a result of this bill. [See Explanation of State Expenditures.]
State Agencies Affected: State educational institutions.
Local Agencies Affected: Public schools.
Information Sources: Department of Workforce Development.
Fiscal Analyst: Kelan Fong, 317-232-9592.
HB 1105 2