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 6748 NOTE PREPARED: Dec 28, 2023 BILL NUMBER: HB 1308 BILL AMENDED: SUBJECT: Speed Limits. FIRST AUTHOR: Rep. Smaltz BILL STATUS: As Introduced FIRST SPONSOR: FUNDS AFFECTED:XGENERAL IMPACT: State & Local XDEDICATED FEDERAL Summary of Legislation: This bill increases the maximum speed limit, from 70 to 75 miles per hour, on (1) a highway on the national system of interstate and defense highways located outside of an urbanized area with a population of at least 50,000; and (2) a highway that is the responsibility of the Indiana Finance Authority; for a bus or other vehicle that has a gross weight that does not exceed 26,000 pounds. Effective Date: July 1, 2024. Explanation of State Expenditures: Summary - This bill will require the Indiana Department of Transportation (INDOT) to remove speed limit signs at a one-time maximum cost of approximately $25,000. In some cases, signs in good condition could be reused in other areas with 70 miles per hour speed limits, potentially resulting in state savings on new signage. INDOT would also incur additional costs and workload to perform studies pertaining to increase the speed limit on affected roadway curves. These expenditures would come from the State Highway Fund. Additionally, this bill could decrease Indiana State Police (ISP) workload to issue citations for violators. Actual decreases in ISP workload are unknown. Additional Information - The bill increases the speed limit on roads maintained by the Indiana Finance Authority as well as portions of highway and interstate located outside urbanized areas with at least a population of 50,000 residents (of which there are 17 in the state) from 70 to 75 miles per hour. During FY 2023, there were approximately 77,300 speeding offenses where the offender pleaded guilty (including approximately 1,800 work zone speeding violations). It is not known how many of these offenses HB 1308 1 were committed by individuals operating vehicles at speeds between 70 and 75 miles per hour. Explanation of State Revenues: The penalty for violating speed restrictions is a Class C infraction. By increasing the speed restriction for these vehicles, this bill could decrease the number of Class C infractions in the state. The maximum judgment for a Class C infraction is $500, which would be deposited in the state General Fund. However, any reduction in revenue is likely to be small. [The total court fee revenue per case ranges between $85.50 and $103. The amount of court fees deposited 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: By increasing the maximum operational speed for certain vehicles, this bill could decrease local law enforcement workload to issue speeding citations. Explanation of Local Revenues: If there is a reduction in court actions filed where a judgment would have been entered, local governments would receive less revenue from court fees. However, any reduction in revenue is likely to be small. [If the case is filed in a court of record, the county receives $33.90 and qualifying municipalities receive a share of $2.10. If the case is filed in a municipal court, the county receives $20, and the municipality receives $33.50. 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: INDOT; ISP. Local Agencies Affected: Trial courts, local law enforcement agencies. Information Sources: Bureau of Motor Vehicles registration data; Department of Revenue International Registration Plan registration data; Bureau of Motor Vehicles citation data for FY 2023; Andrea Zimmerman, INDOT. Fiscal Analyst: Bill Brumbach, 317-232-9559. HB 1308 2