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 6758 NOTE PREPARED: Jan 23, 2024
BILL NUMBER: HB 1182 BILL AMENDED:
SUBJECT: Regulation of Controlled Substances.
FIRST AUTHOR: Rep. McNamara BILL STATUS: As Passed House
FIRST SPONSOR: Sen. Glick
FUNDS AFFECTED:XGENERAL IMPACT: State & Local
XDEDICATED
FEDERAL
Summary of Legislation: Relocation of Requirements– The bill relocates requirements that the Board of
Pharmacy must comply with when adopting interim rules declaring a substance a synthetic drug from the
professional licensing law to the statutes governing administrative rulemaking.
Addition of Controlled Substance– The bill makes certain changes to the lists of controlled substances.
Effective Date: Upon passage; July 1, 2024.
Explanation of State Expenditures: While OFMA has no information on the number of persons who have
been convicted and sentenced for either dealing or possessing this substance, it is expected that this bill
would have a minor increase on DOC’s offender population.
Dealing in a Schedule I or II drug can be punished as Level 2, 3, 4, 5, or 6 felonies. While dealing in a
Schedule IV drug can be punished as a Level 3, 4, 5, or 6 felony. The level of the felony will depend on the
weight involved and whether any enhancing circumstance occurred. Possession of a Schedule I, II, or IV
drug can be punished as either a Class A misdemeanor or a Level 6 felony.
IC 35-48-1-16.5 defines "Enhancing circumstance" as one or more of the following:
1. The person has a prior conviction, in any jurisdiction, for dealing in a controlled substance that is
not marijuana, hashish, hash oil, salvia divinorum, or a synthetic drug, including an attempt or
conspiracy to commit the offense.
2. The person committed the offense while in possession of a firearm.
3. The person committed the offense: on a school bus; or in, on, or within 500 feet of:
HB 1182 1 a. school property while a person younger than 18 was reasonably expected to be present; or
b. a public park while a person younger than 18 was reasonably expected to be present.
4. The person delivered or financed the delivery of the drug to a person younger than 18 at least 3 years
junior to the person.
5. The person manufactured or financed the manufacture of the drug.
6. The person committed the offense in the physical presence of a child younger than 18, knowing that
the child was present and might be able to see or hear the offense.
7. The person committed the offense on the property of a penal facility or juvenile facility.
8. The person committed the offense on or within 100 feet of certain facilities providing addiction
recovery treatments or rehabilitation services.
The following table shows the sentencing ranges for these felonies.
Level 2 Level 3Level 4Level 5Level 6
Minimum10 years 3 years2 years1 years6 months
Advisory17.5 years9 years6 years3 years 1 year
Maximum30 years16 years12 years6 years30 months
The average expenditure to house an adult offender was $28,110 annually, or $76.96 daily, in FY 2023. (This
does not include the cost of new construction.) If offenders can be housed in existing facilities with no
additional staff, the marginal cost for medical care, food, and clothing is approximately $4,456 annually, or
$12.21 daily, per prisoner. The marginal cost estimates are based on contractual agreements with food and
medical vendors and projections based on prior years for clothing and hygiene.
Explanation of State Revenues: If additional court cases occur and fines are collected, revenue to both the
Common School Fund and the state General Fund would increase. The maximum fine for any felony is
$10,000, and the maximum fine for a Class A misdemeanor is $5,000. Criminal fines are deposited in the
Common School Fund. The total fee revenue per case would range between $113 and $135. The amount of
court fees deposited will vary depending on whether the case is filed in a court of record or a municipal court.
The following linked document describes the fees and distribution of the revenue: Court fees imposed in
criminal, juvenile, and civil violation cases.
Explanation of Local Expenditures: If more defendants are detained in county jails prior to their court
hearings, local expenditures for jail operations may increase. In addition, a Class A misdemeanor is
punishable by up to one year in jail. The average cost per day is approximately $64.53 based on the per diem
payments reported by U.S. Marshals to house federal prisoners in 11 county jails across Indiana during CY
2021.
Explanation of Local Revenues: If additional court actions occur and a guilty verdict is entered, more
revenue will be collected by certain local units. If the case is filed in a court of record, the county general
fund will receive $47.40 and qualifying municipalities will receive a share of $3.60. If the case is filed in a
municipal court, the county receives $30, and the municipality will receive $46. The following linked
document describes the fees and distribution of the revenue: Court fees imposed in criminal, juvenile, and
civil violation cases.
State Agencies Affected: Department of Correction.
HB 1182 2 Local Agencies Affected: Trial courts, local law enforcement agencies.
Information Sources: Department of Correction; U.S. Department of Justice Marshals Service.
Fiscal Analyst: Chris Baker, 317-232-9851.
HB 1182 3