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 6798 NOTE PREPARED: Dec 29, 2023
BILL NUMBER: HB 1288 BILL AMENDED:
SUBJECT: State Regulation of Mobile Food Vendors.
FIRST AUTHOR: Rep. Sweet BILL STATUS: As Introduced
FIRST SPONSOR:
FUNDS AFFECTED: GENERAL IMPACT: State & Local
XDEDICATED
FEDERAL
Summary of Legislation: The bill provides that a person may not operate a mobile food unit unless the
person is issued a statewide mobile food unit license (license) by the Indiana Department of Health (IDOH).
It sets forth requirements for licensure and the operation of a mobile food unit. The bill establishes the mobile
food unit fund for the purpose of paying costs incurred by the IDOH or a local authority under a collaborative
agreement in conducting health inspections of mobile food units. It specifies limitations on the regulation
of mobile food units.
Effective Date: July 1, 2024.
Explanation of State Expenditures: Indiana Department of Health (IDOH): The Indiana Department of
Health (IDOH) will have an increase in workload to create a mobile food unit license, adopt rules
establishing standards for licensure, develop criteria for conducting inspections, ensure that mobile food units
are inspected, develop a statewide mobile food unit license database, create an online application, and
publish the application and guidance on the IDOH’s website. The IDOH must also administer the
nonreverting Mobile Food Unit Fund, consisting of license and inspection fees, established in the bill.
The bill states the IDOH can have an agreement with a local authority to perform inspections which could
decrease IDOH’s inspection workload.
Fulfilling the bill’s requirements will increase workload for the IDOH to the extent that the agency is able
to utilize existing local requirements and policies for the permit and inspection of mobile food units. If
existing staffing and resource levels are being used to capacity, then any additional funds and resources
required would need to be supplied through existing staff and resources currently being used in another
HB 1288 1 program. Ultimately, the source of funds and resources required to satisfy the requirements of this bill will
depend on legislative and administrative actions. The IDOH currently has 17 vacant full-time positions
within their Food Protection and their Local Health Services divisions totaling an estimated $1.28 M in salary
and benefits. [Administrative expenses of the IDOH are paid from the Tobacco Master Settlement Fund, a
dedicated fund.]
Additional Information : The bill requires the IDOH to establish annual fees for mobile food unit licenses
and inspections. Revenue collected could vary depending on the fees set by the IDOH and the number of
units that obtain a statewide license. The bill specifies the inspection fee cannot exceed $200. As for the
mobile food unit license, local health departments charge annual fees ranging between $25 and $175 for
seasonal units, and between $100 and $375 for year-round units.
Explanation of State Revenues: The IDOH can impose a civil penalty on an individual who is operating
under a suspended or revoked mobile food unit license. If additional civil cases occur and court fees are
collected, revenue to the state General Fund will increase. The total revenue per case would range between
$100 and $122. The amount 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 civil, probate, and small claims cases.
Explanation of Local Expenditures: To perform mobile food unit inspections, local authorities will need
an agreement with the IDOH. Depending on whether an agreement is in place, local authorities could
experience either an increase or decrease in workload, depending if the inspection is done by local or state
authorities. If local authorities conduct inspections, inspection reports must be submitted to the IDOH, and
the IDOH will reimburse local authorities for the cost of inspection from the mobile food unit fund.
Explanation of Local Revenues: A person issued a statewide mobile food unit license will no longer be
required to obtain a county or local license permit or required to pay a county or local inspection fee or
license or permit fee. However, the loss of these revenue streams could be replaced by inspection fees
established by the IDOH. Local health departments that currently issue licenses for mobile food units or
charge a local inspection fee could experience either an increase or decrease in fee revenue, depending on
the fee levels set by the IDOH.
State Agencies Affected: Indiana Department of Health.
Local Agencies Affected: Local health departments; local boards of health; health and hospital corporation;
board of county commissioners; county council; city-county council; town council; town board; political
subdivisions; trial courts, city and town courts.
Information Sources: Indiana Supreme Court, Indiana Trial Court Fee Manual State Staffing Table,
December 2023;
https://marionhealth.org/wp-content/uploads/2023/06/MOBILE-REQUIREMENTS-2022-1-1.pdf;
https://www.indy.gov/activity/vendor-cart-licenses;
https://www.co.hendricks.in.us/egov/documents/1662064339_22719.pdf;
https://www.hamiltoncountyhealth.org/wp-content/uploads/2023-fees-002.pdf;
https://www.hancockin.gov/DocumentCenter/View/171/Application-for-Yearly-Mobile-Food-Permit-PDF.
Fiscal Analyst: Jasmine Noel, 317-234-1360; Jason Barrett, 317-232-9809.
HB 1288 2