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 6410 NOTE PREPARED: Dec 13, 2023
BILL NUMBER: HB 1272 BILL AMENDED:
SUBJECT: Bail.
FIRST AUTHOR: Rep. Hatcher BILL STATUS: As Introduced
FIRST SPONSOR:
FUNDS AFFECTED:XGENERAL IMPACT: State & Local
XDEDICATED
FEDERAL
Summary of Legislation: This bill has the following provisions:
A. It prohibits a court from requiring an arrestee to pay bail as a condition of pretrial release, unless:
(1) the court finds by clear and convincing evidence that the arrestee is a flight risk or danger to the
community; (2) the arrestee is charged with murder or treason; (3) the arrestee is on pretrial release
not related to the incident that is the basis for the present arrest; or (4) the arrestee is on probation,
parole, or other community supervision.
B. It requires that the amount of bail be the lowest amount required, based on the defendant's financial
circumstances, to assure the arrestee's appearance at trial and to protect the community.
Effective Date: July 1, 2024.
Explanation of State Revenues: Both the state General Fund and the Special Death Benefit Fund could
experience a revenue loss, but OFMA cannot estimate the degree of the loss.
The state General Fund receives a portion of the proceeds collected from certain court fees assessed by a
sentencing court when a person is convicted of a felony, misdemeanor, or infraction that are recovered from
cash bonds that are deposited with the court. Any loss cannot be estimated. The Explanation of Local
Revenues describes this in more detail.
In addition, a $5 fee is collected by the clerk or sheriff at the time that bail is collected. This fee is forwarded
to the county auditor for further remittance to the Special Death Benefit Fund managed by the trustees of the
HB 1272 1 Public Employees’ Retirement Fund. In CY 2021, counties reported collecting $275,000 in death benefit fees.
Explanation of Local Expenditures: Permitting more arrestees to be released without money bail or surety
would likely reduce the confined population that is awaiting trial in county jails. OFMA cannot determine
the extent of this reduced population and any possible savings, but the savings would likely be extensive in
the 34 counties experiencing overcrowding in CY 2021.
In 2021, the most recent year that information was available, the Indiana Criminal Justice Institute reported
that 21 county jails were overcrowded (between 80% and 99% capacity) and 13 county jails were over 100%
capacity. This is based on annual jail inspection reports, representing a snapshot of one day when the
inspection occurred. The percent of this jail population that is due to pretrial population was not able to be
estimated but is likely to be significant.
[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: A revenue loss would likely occur from two different sources for counties
and cities and towns. The extent of this revenue loss is not able to be determined.
First, proceeds from cash bonds are used to pay fines, court costs, other fees, and publicly paid costs of
representation if the person either pleads or is found guilty of a criminal charge. Cash bonds are sometimes
paid by a friend or relative of a criminal defendant when the defendant cannot afford to pay the bond
themselves, but OFMA does not know how frequently this occurs.
Counties may not be able to collect court fees or recover certain costs from arrestees who are indigent and
are released before trial and who do not post cash bonds. Consequently, counties may lose revenue when
criminal defendants either plead to a lesser misdemeanor or are found guilty of a criminal charge for a
misdemeanor and the courts have no cash bond from which to draw to recover costs or to collect fees.
Second, a bond administration fee is collected when a defendant executes a cash bond. This fee may be
retained regardless of the disposition of the case. This fee is deposited in the County or Local General Fund
depending on the court collecting. For CY 2021, counties reported collecting $1.36 M from the bond
administration fee.
State Agencies Affected:
Local Agencies Affected: County courts, county sheriffs.
Information Sources: IC 35-33-8-3.2; Indiana Judicial Report CY 2021; 2022 Indiana Criminal Code
Reform Evaluation Report, Indiana Criminal Justice Institute
Fiscal Analyst: Mark Goodpaster, 317-232-9852.
HB 1272 2