Indiana 2024 Regular Session

Indiana House Bill HB1130 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. 1130
4	4	_____
5	5	DIGEST OF INTRODUCED BILL
6	6	Citations Affected: IC 36-7-22.1.
7	7	Synopsis: Economic development districts. Creates a procedure to
8	8	establish a community infrastructure improvement district (district).
9	9	Specifies that the procedure added by the bill allowing for the
10	10	establishment of a district does not authorize the unit to establish a
11	11	district that overlaps with an economic improvement district. Requires
12	12	a petition for the establishment of a district to include a rate and
13	13	methodology report. Specifies the contents of the report. Specifies the
14	14	basis upon which benefits accruing to parcels of real property within
15	15	a district may be apportioned among those parcels. Requires a
16	16	determination that the aggregate assessments within a district: (1) do
17	17	not exceed 30% of the projected assessed value of property within the
18	18	district; or (2) in the case of a district that is established for single
19	19	family residences, do not exceed 10% of the projected assessed value
20	20	per single family residence within the district; before a legislative body
21	21	may adopt an ordinance to establish a district. Requires a community
22	22	infrastructure improvement board (board) to assist the county treasurer
23	23	in order to make certain specified determinations and designations
24	24	regarding annual assessments within a district. Adds specific
25	25	provisions that apply to the board's issuance of revenue bonds. Sunsets
26	26	these provisions after five years.
27	27	Effective: July 1, 2024.
28	28	Manning
29	29	January 8, 2024, read first time and referred to Committee on Ways and Means.
30	30	2024 IN 1130—LS 6314/DI 120 Introduced
31	31	Second Regular Session of the 123rd General Assembly (2024)
32	32	PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
33	33	Constitution) is being amended, the text of the existing provision will appear in this style type,
34	34	additions will appear in this style type, and deletions will appear in this style type.
35	35	Additions: Whenever a new statutory provision is being enacted (or a new constitutional
36	36	provision adopted), the text of the new provision will appear in this style type. Also, the
37	37	word NEW will appear in that style type in the introductory clause of each SECTION that adds
38	38	a new provision to the Indiana Code or the Indiana Constitution.
39	39	Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
40	40	between statutes enacted by the 2023 Regular Session of the General Assembly.
41	41	HOUSE BILL No. 1130
42	42	A BILL FOR AN ACT to amend the Indiana Code concerning local
43	43	government.
44	44	Be it enacted by the General Assembly of the State of Indiana:
45	45	1 SECTION 1. IC 36-7-22.1 IS ADDED TO THE INDIANA CODE
46	46	2 AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
47	47	3 JULY 1, 2024]:
48	48	4 Chapter 22.1. Community Infrastructure Improvement
49	49	5 Districts
50	50	6 Sec. 1. (a) This chapter applies to all units except townships.
51	51	7 (b) This chapter does not authorize a unit to establish a
52	52	8 community infrastructure improvement district that overlaps with
53	53	9 an economic improvement district established under IC 36-7-22.
54	54	10 Sec. 2. As used in this chapter, "assessment" means a charge
55	55	11 determined under section 14(a) of this chapter by applying the
56	56	12 percentage of benefit apportioned to a parcel within a community
57	57	13 infrastructure improvement district to the cost associated with
58	58	14 economic improvement projects giving rise to such benefits. Costs
59	59	15 subject to assessment for these purposes include all costs of the
60	60	16 economic improvement projects as well as financing and
61	61	17 administrative costs. In the case of bonds or notes issued pursuant
62	62	2024 IN 1130—LS 6314/DI 120 2
63	63	1 to section 26 of this chapter, financing costs shall include, without
64	64	2 limitation, principal and interest, related reserve funds, cost of
65	65	3 insurance, and costs associated with ancillary financial
66	66	4 arrangements with respect to the bonds or notes.
67	67	5 Sec. 3. As used in this chapter, "board" refers to a community
68	68	6 infrastructure improvement board established under section 13 of
69	69	7 this chapter.
70	70	8 Sec. 4. As used in this chapter, "economic improvement project"
71	71	9 means the following:
72	72	10 (1) Planning or managing development or improvement
73	73	11 activities.
74	74	12 (2) Designing, landscaping, beautifying, constructing, or
75	75	13 maintaining public areas, public improvements, or public
76	76	14 ways (including designing, constructing, or maintaining
77	77	15 lighting, infrastructure, utility facilities, improvements, and
78	78	16 equipment, water facilities, improvements, and equipment,
79	79	17 sewage facilities, improvements, and equipment, streets, or
80	80	18 sidewalks for a public area or public way).
81	81	19 (3) Promoting commercial activity or public events.
82	82	20 (4) Supporting business recruitment and development.
83	83	21 (5) Providing security for public areas.
84	84	22 (6) Acquiring, constructing, or maintaining parking facilities.
85	85	23 (7) Constructing, rehabilitating, or repairing residential
86	86	24 property, including improvements related to the habitability
87	87	25 of the residential property.
88	88	26 (8) Acquiring, constructing, rehabilitating, or repairing
89	89	27 redevelopment projects, economic development facilities
90	90	28 described in IC 36-7-11.9-3, pollution control facilities
91	91	29 described in IC 36-7-11.9-9, or other local improvements.
92	92	30 (9) Constructing, rehabilitating, or repairing industrial or
93	93	31 commercial property associated with a qualified
94	94	32 redevelopment site (as defined in IC 6-3.1-34-6).
95	95	33 Sec. 5. As used in this chapter, "projected assessed value"
96	96	34 means:
97	97	35 (1) with respect to the community infrastructure
98	98	36 improvement district, an assessed value of the property within
99	99	37 the community infrastructure improvement district, plus the
100	100	38 as-built projected assessed value of the economic
101	101	39 improvement project to be constructed in the community
102	102	40 infrastructure improvement district as determined pursuant
103	103	41 to a third party evaluation accepted by the legislative body;
104	104	42 and
105	105	2024 IN 1130—LS 6314/DI 120 3
106	106	1 (2) with respect to an individual parcel, the as-built (or
107	107	2 as-improved, as appropriate) projected assessed value of the
108	108	3 parcel as determined pursuant to a third party evaluation
109	109	4 accepted by the legislative body;
110	110	5 including in both cases the assessed value of a property subject to
111	111	6 a voluntary assessment agreement as set forth in section 10(e) of
112	112	7 this chapter.
113	113	8 Sec. 6. As used in this chapter, "rate and method of
114	114	9 apportionment report" means a report relating to a developer's
115	115	10 planned economic development of the subject parcels, which must
116	116	11 set forth at least the following:
117	117	12 (1) A list of parcels consistent with the parcels identified in the
118	118	13 petition for the establishment of the community infrastructure
119	119	14 improvement district under section 7 of this chapter.
120	120	15 (2) A statement of:
121	121	16 (A) the proposed assessment formula under section 7(b)(5)
122	122	17 of this chapter;
123	123	18 (B) the apportionment of benefits under section 8(a) of this
124	124	19 chapter; and
125	125	20 (C) zones or other classifications, if any, relating to the
126	126	21 formula under clause (A) or the apportionment under
127	127	22 clause (B).
128	128	23 (3) The proposed total assessment per parcel, including:
129	129	24 (A) the lump sum payment amount if the assessment is
130	130	25 payable as a lump sum;
131	131	26 (B) the method for converting a lump sum assessment to
132	132	27 annual installments, if applicable; and
133	133	28 (C) a schedule of annual installments and an
134	134	29 accompanying amortization schedule of the assessment, if
135	135	30 any.
136	136	31 (4) A statement of the basis and methodology for reassessment
137	137	32 in the case of a parcel division or consolidation of the assessed
138	138	33 property, status of development or the completion of
139	139	34 improvements associated with the assessed property or
140	140	35 changes in zoning classification of the property, and any
141	141	36 resulting assessment changes.
142	142	37 (5) The proposed maximum number of years during which the
143	143	38 assessment may be paid in annual installments.
144	144	39 (6) The proposed method for establishing the assessment for
145	145	40 the initial year and each year thereafter.
146	146	41 Sec. 7. (a) A person that intends to file a petition for the
147	147	42 establishment of a community infrastructure improvement district
148	148	2024 IN 1130—LS 6314/DI 120 4
149	149	1 under this section must first provide written notice to the clerk (as
150	150	2 defined in IC 36-1-2) in the case of a municipality, or the county
151	151	3 auditor, in the case of a county, of the person's intent before
152	152	4 initiating the petition process.
153	153	5 (b) A petition for the establishment of a community
154	154	6 infrastructure improvement district may be filed with the clerk of
155	155	7 the municipality or the county auditor not later than one hundred
156	156	8 twenty (120) days after the date on which the notice of intent for
157	157	9 the petition is filed with the clerk of the municipality or the county
158	158	10 auditor under subsection (a). The petition must include the
159	159	11 following information:
160	160	12 (1) The boundaries of the proposed district, including the
161	161	13 boundaries of any zones to be established under section 8(b)
162	162	14 of this chapter.
163	163	15 (2) The name and address of each parcel and owner of land
164	164	16 within the proposed district and a description of the existing
165	165	17 land use and zoning classification of each parcel.
166	166	18 (3) A detailed description of the economic improvement
167	167	19 projects to be carried out within the proposed district, the
168	168	20 estimated cost of these projects, and the benefits to accrue to
169	169	21 the property owners within the district.
170	170	22 (4) A plan for the application of assessment revenue to the
171	171	23 cost of the economic improvement projects within the district.
172	172	24 (5) A proposed formula for determining the percentage of the
173	173	25 total benefit to be received by each parcel of real property
174	174	26 within the district, in the manner provided by section 8 of this
175	175	27 chapter.
176	176	28 (6) The number of years in which assessments will be levied.
177	177	29 (7) A proposed list of members for the board.
178	178	30 (c) The petition shall be accompanied by a rate and method of
179	179	31 apportionment report.
180	180	32 (d) The clerk of the municipality or the county auditor shall
181	181	33 retain the paper copy of a petition filed under this section for not
182	182	34 less than ninety (90) days from the date the petition is filed with the
183	183	35 clerk of the municipality or the county auditor.
184	184	36 Sec. 8. (a) The benefits accruing to parcels of real property
185	185	37 within a community infrastructure improvement district may be
186	186	38 apportioned among those parcels on any basis reasonably
187	187	39 representative of the diffusion of benefits from the economic
188	188	40 improvement project, including the following:
189	189	41 (1) Proximity of the parcel to the project.
190	190	42 (2) Accessibility of the parcel to the project.
191	191	2024 IN 1130—LS 6314/DI 120 5
192	192	1 (3) True cash value of the parcel.
193	193	2 (4) True cash value of any improvement on the parcel.
194	194	3 (5) Age of any improvement on the parcel.
195	195	4 (6) Land use class of the parcel.
196	196	5 (7) Equivalent units, including, in the case of an apartment
197	197	6 building, the number of units in the building.
198	198	7 (8) Parcel square footage.
199	199	8 (9) Parcel front footage.
200	200	9 (10) Gross floor area.
201	201	10 (11) Benefit availability.
202	202	11 (12) Impervious surface area.
203	203	12 (13) Other similar factors.
204	204	13 The apportionment of benefits under this subsection may be
205	205	14 adjusted by zone or land use as provided in subsections (b) and (c).
206	206	15 (b) If the benefit of the economic improvement project varies
207	207	16 from one (1) area to another within the community infrastructure
208	208	17 improvement district, up to three (3) zones may be established
209	209	18 within the district to delineate the approximate difference in
210	210	19 beneficial impact, and benefits may be apportioned accordingly.
211	211	20 (c) In order to encourage the retention or development of
212	212	21 various land uses within the district, assessments may be adjusted
213	213	22 according to the zoning classification of the property.
214	214	23 Sec. 9. (a) After receipt of a petition under section 7 of this
215	215	24 chapter, the clerk of the municipality or the county auditor shall,
216	216	25 in the manner provided by IC 5-3-1, publish notice of a hearing on
217	217	26 the proposed community infrastructure improvement district. The
218	218	27 clerk of the municipality or the county auditor shall mail a copy of
219	219	28 the notice to each owner of real property within the proposed
220	220	29 community infrastructure improvement district. The notice must
221	221	30 include the boundaries of the proposed district, a description of the
222	222	31 proposed projects, the proposed formula for determining the
223	223	32 percentage of the total benefit to be received by each parcel of
224	224	33 property, and the hearing date. The date of the hearing may not be
225	225	34 more than sixty (60) days after the date on which the notice is
226	226	35 mailed.
227	227	36 (b) At the public hearing under subsection (a), the legislative
228	228	37 body shall hear all owners of real property in the proposed district
229	229	38 (who appear and request to be heard) upon the questions of:
230	230	39 (1) the sufficiency of the notice;
231	231	40 (2) whether the proposed economic improvement projects are
232	232	41 of public utility and benefit;
233	233	42 (3) whether the formula to be used for the assessment of
234	234	2024 IN 1130—LS 6314/DI 120 6
235	235	1 special benefits is appropriate; and
236	236	2 (4) whether the district contains all, or more or less than all,
237	237	3 of the property specially benefited by the proposed project.
238	238	4 Sec. 10. (a) After conducting a hearing on the proposed
239	239	5 community infrastructure improvement district, the legislative
240	240	6 body may adopt an ordinance establishing the community
241	241	7 infrastructure improvement district if it determines that:
242	242	8 (1) the petition meets the requirements of this section and
243	243	9 sections 7 and 8 of this chapter;
244	244	10 (2) the economic improvement projects to be undertaken in
245	245	11 the district will provide special benefits to property owners in
246	246	12 the district and will be of public utility and benefit;
247	247	13 (3) the benefits provided by the project will be new benefits
248	248	14 that do not replace benefits existing before the establishment
249	249	15 of the district;
250	250	16 (4) the formula to be used for the assessment of benefits is
251	251	17 appropriate;
252	252	18 (5) except as provided in subdivision (6), aggregate
253	253	19 assessments under this chapter do not exceed thirty percent
254	254	20 (30%) of the projected assessed value of property within the
255	255	21 district; and
256	256	22 (6) in the case of a community infrastructure improvement
257	257	23 district that is established for single family residences, the
258	258	24 aggregate assessments under this chapter do not exceed ten
259	259	25 percent (10%) of the projected assessed value per single
260	260	26 family residence within the district.
261	261	27 (b) The legislative body may adopt the ordinance only if it
262	262	28 determines that the petition has been signed by one hundred
263	263	29 percent (100%) of the owners of real property subject to
264	264	30 assessment within the proposed district.
265	265	31 (c) Unless an owner of property has entered into a voluntary
266	266	32 assessment agreement associated with the economic improvement
267	267	33 project, the signature of a person shall not be considered in
268	268	34 determining whether the requirement under subsection (b) is met
269	269	35 if the person's property:
270	270	36 (1) is:
271	271	37 (A) owned by a nonprofit entity and is exempt from
272	272	38 property taxation under IC 6-1.1-10-16;
273	273	39 (B) owned by the state or a state agency or leased to a state
274	274	40 agency and is exempt from property taxation under
275	275	41 IC 6-1.1-10 or any other law; or
276	276	42 (C) owned by a political subdivision of the state and is
277	277	2024 IN 1130—LS 6314/DI 120 7
278	278	1 exempt from property taxation under IC 6-1.1-10 or any
279	279	2 other law; or
280	280	3 (2) would be exempt from assessments under the ordinance.
281	281	4 (d) In addition, unless an owner of property has entered into a
282	282	5 voluntary assessment agreement, neither the parcel of real
283	283	6 property nor the assessed value of any property may be considered
284	284	7 in determining the total parcels of real property or the total
285	285	8 assessed value of property in the proposed district for purposes of
286	286	9 determining whether the requirement under subsection (b) is met
287	287	10 if the property:
288	288	11 (1) is:
289	289	12 (A) owned by a nonprofit entity and is exempt from
290	290	13 property taxation under IC 6-1.1-10-16;
291	291	14 (B) owned by the state or a state agency or leased to a state
292	292	15 agency and is exempt from property taxation under
293	293	16 IC 6-1.1-10 or any other law; or
294	294	17 (C) owned by a political subdivision of the state and is
295	295	18 exempt from property taxation under IC 6-1.1-10 or any
296	296	19 other law; or
297	297	20 (2) would be exempt from assessment under the ordinance.
298	298	21 (e) The assessed value of a property subject to a voluntary
299	299	22 assessment agreement is the most recent of valuations from either
300	300	23 the county assessor or a third party evaluation accepted by the
301	301	24 legislative body.
302	302	25 Sec. 11. (a) An ordinance adopted under section 10 of this
303	303	26 chapter may be repealed or amended only after notice of the
304	304	27 proposed repeal or amendment is published and mailed in the
305	305	28 manner provided by section 9 of this chapter. However, in no event
306	306	29 shall any ordinance adopted under this chapter be repealed or
307	307	30 amended if there is any outstanding debt payable from
308	308	31 assessments.
309	309	32 (b) Notwithstanding subsection (a), an ordinance adopted under
310	310	33 section 10 of this chapter may be amended to add additional,
311	311	34 contiguous parcels to which benefits of economic improvement
312	312	35 projects accrue at the request of the owner or owners of such
313	313	36 parcels. If an ordinance is amended under this subsection, the rate
314	314	37 and method of apportionment report shall be amended to reflect
315	315	38 the revised list of parcels and related assessments, and notice must
316	316	39 be provided under section 14(b) of this chapter.
317	317	40 Sec. 12. An ordinance adopted under section 10 of this chapter
318	318	41 may provide that businesses established within the district after the
319	319	42 creation of the district are exempt from special assessments for a
320	320	2024 IN 1130—LS 6314/DI 120 8
321	321	1 period not to exceed one (1) year.
322	322	2 Sec. 13. An ordinance adopted under section 10 of this chapter
323	323	3 must establish a community infrastructure improvement board to
324	324	4 be appointed by the legislative body. The board must have at least
325	325	5 three (3) members, and a majority of the board members must own
326	326	6 real property within the district. However, if there is only one (1)
327	327	7 property owner within a district, the legislative body shall appoint
328	328	8 one (1) member to the community infrastructure improvement
329	329	9 board who owns real property within the district and not more
330	330	10 than two (2) other members who are not required to own real
331	331	11 property within the district.
332	332	12 Sec. 14. (a) The following apply:
333	333	13 (1) The board shall use the formula approved by the
334	334	14 legislative body under section 10(a)(4) of this chapter to
335	335	15 determine the percentage of benefit to be received by each
336	336	16 parcel of real property within the community infrastructure
337	337	17 improvement district. The board shall apply the percentage
338	338	18 determined for each parcel to the total amount that is to be
339	339	19 defrayed by special assessment and determine the special
340	340	20 assessment for each parcel.
341	341	21 (2) In the event of a reassessment as provided in section 6(4)
342	342	22 of this chapter, the next assessment installment will include an
343	343	23 additional amount owed, if any, equal to the difference
344	344	24 between the amount originally calculated in subdivision (1)
345	345	25 and the amount calculated pursuant to subdivision (1) using
346	346	26 the reassessment methodology described in the rate and
347	347	27 method of apportionment report.
348	348	28 (b) Promptly after determining the proposed assessment for
349	349	29 each parcel, the board shall mail notice to each owner of property
350	350	30 to be assessed. The notice must:
351	351	31 (1) describe any potential proposed special assessment and
352	352	32 estimates of related annual installments thereof, including any
353	353	33 method by which the assessments or installments may change
354	354	34 depending on factors as set forth in the rate and method of
355	355	35 apportionment report;
356	356	36 (2) state that the rate and method of apportionment report
357	357	37 and the proposed special assessment on each parcel of real
358	358	38 property in the community infrastructure improvement
359	359	39 district is on file and can be seen in the board's office;
360	360	40 (3) state the time and place where written remonstrances
361	361	41 against the special assessment may be filed;
362	362	42 (4) set forth the time and place where the board will hear any
363	363	2024 IN 1130—LS 6314/DI 120 9
364	364	1 owner of assessed real property who has filed a remonstrance
365	365	2 before the hearing date; and
366	366	3 (5) state that the board, after hearing evidence, may decrease,
367	367	4 or leave unchanged, the special assessment on any parcel.
368	368	5 (c) The notices must be deposited in the mail twenty (20) days
369	369	6 before the hearing date. The notices to the owners must be
370	370	7 addressed as the names and addresses appear on the tax duplicates
371	371	8 and the records of the county auditor.
372	372	9 (d) At the time fixed in the notice, the board shall hear any
373	373	10 owner of assessed real property who has filed a written
374	374	11 remonstrance before the date of the hearing. The hearing may be
375	375	12 continued from time to time as long as is necessary to hear the
376	376	13 owners.
377	377	14 (e) The board shall render its decision by either confirming or
378	378	15 decreasing each special assessment by setting opposite each name,
379	379	16 parcel, and proposed assessment, the amount of the assessment as
380	380	17 determined by the board. However, if the total of the special
381	381	18 assessments exceeds the amount needed, the board shall make a
382	382	19 prorated reduction in each special assessment.
383	383	20 (f) Except as provided in section 15 of this chapter, the signing
384	384	21 of the special assessment schedule by a majority of the members of
385	385	22 the board and the delivery of the schedule to the county auditor
386	386	23 constitute a final and conclusive determination of the benefits that
387	387	24 are assessed.
388	388	25 (g) Each special assessment is a lien on the real property that is
389	389	26 assessed, second only to ad valorem property taxes levied on that
390	390	27 property.
391	391	28 (h) The board shall certify to the county auditor the schedule of
392	392	29 special assessments of benefits. For purposes of providing
393	393	30 substantiation of the deductibility of a special assessment for
394	394	31 federal adjusted gross income tax purposes under Section 164 of
395	395	32 the Internal Revenue Code, the board shall, to the extent
396	396	33 practicable, supplement the schedule of special assessments
397	397	34 provided to the county auditor with a statement that identifies the
398	398	35 part of each special assessment that is allocable to interest,
399	399	36 maintenance, and repair charges. If the board provides the county
400	400	37 auditor with the statement, the county auditor shall show, on the
401	401	38 tax statement, the part of the special assessment that is for interest
402	402	39 and maintenance and repair items separately from the remainder
403	403	40 of the special assessment.
404	404	41 (i) An assessment or reassessment, interest, the expense of
405	405	42 collection, and reasonable attorney's fees, if incurred, is:
406	406	2024 IN 1130—LS 6314/DI 120 10
407	407	1 (1) a lien that is effective from the date of the ordinance or
408	408	2 order levying the assessment until the assessment is paid;
409	409	3 (2) a lien that is subject to and subordinate to:
410	410	4 (A) all liens and encumbrances existing at the time the
411	411	5 assessment lien becomes effective; and
412	412	6 (B) any later extension or amendment of the liens and
413	413	7 encumbrances existing at the time the assessment lien
414	414	8 became effective;
415	415	9 (3) a lien that runs with the land and that portion of an
416	416	10 assessment payment that has not yet come due is not
417	417	11 eliminated by transfer of the parcel to a tax exempt owner;
418	418	12 and
419	419	13 (4) an assessment lien that may be enforced by the governing
420	420	14 body in the same manner that mortgages are foreclosed.
421	421	15 (j) Delinquent installments of the assessment shall incur interest,
422	422	16 penalties, and attorney's fees in the same manner as delinquent ad
423	423	17 valorem taxes.
424	424	18 (k) The owner of assessed property, including those by way of
425	425	19 voluntary assessment, may pay at any time all or any part of the
426	426	20 assessment, with interest that has accrued on the assessment, on
427	427	21 any lot or parcel.
428	428	22 Sec. 15. (a) Any owner of real property in a community
429	429	23 infrastructure improvement district may file an action contesting
430	430	24 the validity of:
431	431	25 (1) the ordinance adopted under section 10 of this chapter; or
432	432	26 (2) the assessment schedule adopted under section 14 of this
433	433	27 chapter.
434	434	28 (b) An action under this section must be filed:
435	435	29 (1) in the circuit or superior court of the county in which the
436	436	30 community infrastructure improvement district is located;
437	437	31 and
438	438	32 (2) within thirty (30) days after adoption of either the
439	439	33 ordinance or assessment schedule, respectively.
440	440	34 Sec. 16. Within thirty (30) days after the county auditor receives
441	441	35 the certification of final scheduled assessments for the completion
442	442	36 of the economic improvement project, the county auditor shall
443	443	37 deliver a copy of the certificate to the county treasurer. Each year,
444	444	38 the board, which may work through a third party administrator,
445	445	39 shall assist the county treasurer in order to:
446	446	40 (1) prepare an annual assessment roll, which shall reflect
447	447	41 which parcels, if any, have fully paid any applicable
448	448	42 assessment and therefore no longer owe an assessment
449	449	2024 IN 1130—LS 6314/DI 120 11
450	450	1 installment;
451	451	2 (2) designate which parcels are assessed, and in what
452	452	3 amounts, going forward;
453	453	4 (3) establish annual assessment installments consistent with
454	454	5 the rate and method of apportionment report; and
455	455	6 (4) calculate and add to the annual assessment installments
456	456	7 due any penalties, interest, fees, or payments owed under
457	457	8 section 14(j) of this chapter, and other amounts due.
458	458	9 Each year, the treasurer shall add the full annual assessment
459	459	10 installment due in that year to the tax statements of the person
460	460	11 owning the property affected by the assessment, designating it in
461	461	12 a manner distinct from general taxes.
462	462	13 Sec. 17. Assessments collected under this chapter shall be paid
463	463	14 to the board.
464	464	15 Sec. 18. (a) The board shall establish a community
465	465	16 infrastructure improvement fund and shall deposit in this fund all
466	466	17 assessments received under this chapter and any other amounts
467	467	18 received by the board.
468	468	19 (b) Money in the community infrastructure improvement fund
469	469	20 may be used only for the purposes specified in the ordinance
470	470	21 establishing the community infrastructure improvement district.
471	471	22 Any money earned from investment of money in the fund becomes
472	472	23 a part of the fund.
473	473	24 Sec. 19. (a) Before November 1 of each year, the board shall
474	474	25 prepare and submit to the fiscal body a budget for the following
475	475	26 calendar year governing the board's projected expenditures from
476	476	27 the community infrastructure improvement fund. The budget must
477	477	28 include amounts to pay debt service on any bonds supported by
478	478	29 assessments and assessment installments until the bonds are paid
479	479	30 in full. The fiscal body may approve, modify, or reject the proposed
480	480	31 budget.
481	481	32 (b) The board may make an expenditure from the community
482	482	33 infrastructure improvement fund only if the expenditure was
483	483	34 approved by the fiscal body in its review of the board's budget or
484	484	35 was otherwise approved by the fiscal body.
485	485	36 Sec. 20. The board must comply with IC 36-1-12 when
486	486	37 contracting for public works.
487	487	38 Sec. 21. The board may enter into lease or contractual
488	488	39 agreements, or both, with governmental, nonprofit, or other
489	489	40 private entities for the purpose of carrying out economic
490	490	41 improvement projects.
491	491	42 Sec. 22. If the ordinance that established a community
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493	493	1 infrastructure improvement district is repealed, the assets and
494	494	2 liabilities of the community infrastructure improvement district
495	495	3 shall be disposed of in the manner determined by the unit.
496	496	4 However, liabilities incurred by the community infrastructure
497	497	5 improvement district are not an obligation of the unit and are
498	498	6 payable only from the special assessments and other revenues of
499	499	7 the district.
500	500	8 Sec. 23. The board shall submit an annual report to the
501	501	9 legislative body and the fiscal body before February 15 of each
502	502	10 year. The report must summarize the board's activities and
503	503	11 expenditures during the preceding calendar year.
504	504	12 Sec. 24. The board may:
505	505	13 (1) exercise any of the powers of a unit under IC 36-7-12-18 or
506	506	14 IC 36-7-12-18.5; or
507	507	15 (2) issue revenue bonds under section 26 of this chapter;
508	508	16 to finance an economic improvement project.
509	509	17 Sec. 25. Upon acceptance or rejection of a proposed community
510	510	18 infrastructure improvement district following a petition under this
511	511	19 chapter, the resulting district (or the person that files the petition,
512	512	20 if the proposed district is rejected) shall, at the request of the unit,
513	513	21 reimburse the unit for all or part of the reasonable expenses
514	514	22 incurred by the unit to comply with this chapter. The legislative
515	515	23 body of the unit may choose not to collect all or part of the
516	516	24 reasonable expenses incurred to comply with this chapter.
517	517	25 Sec. 26. (a) In accordance with section 24 of this chapter, the
518	518	26 board may issue bonds or notes payable from assessments assessed
519	519	27 under this chapter to finance economic improvement projects. The
520	520	28 bonds or notes may be publicly offered or privately placed in the
521	521	29 manner determined by the board. Such assessments are not ad
522	522	30 valorem property taxes and any bonds or notes payable from the
523	523	31 assessment revenue are not general obligations of the unit that
524	524	32 established the community infrastructure improvement district.
525	525	33 (b) The board may enter into ancillary financial agreements
526	526	34 relating to and in furtherance of its issuance of bonds or notes
527	527	35 under this chapter, including agreements with the unit that
528	528	36 established the district.
529	529	37 (c) Bonds or notes issued under this chapter shall include
530	530	38 provisions for redemptions from property owners who choose to
531	531	39 make one (1) time lump sum assessment prepayments on the
532	532	40 unamortized portion of any assessment applicable to their
533	533	41 property.
534	534	42 (d) Bonds or notes issued under this chapter are subject to the
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536	536	1 following limitations:
537	537	2 (1) The bonds or notes may be issued for a period not to
538	538	3 exceed thirty-five (35) years.
539	539	4 (2) The average life of the bonds or notes may not exceed one
540	540	5 hundred twenty percent (120%) of the average economic life
541	541	6 of the improvements for which the bonds or notes are issued.
542	542	7 Sec. 27. This chapter expires July 1, 2029.
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