Indiana 2024 Regular Session

Indiana House Bill HB1329 Compare Versions

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1+*EH1329.3*
2+Reprinted
3+March 1, 2024
4+ENGROSSED
5+HOUSE BILL No. 1329
6+_____
7+DIGEST OF HB 1329 (Updated February 29, 2024 3:24 pm - DI 92)
8+Citations Affected: IC 13-21; IC 32-21; IC 36-1; IC 36-7.
9+Synopsis: Local government matters. Authorizes the solid waste
10+management district of Vanderburgh County to make grants and loans
11+for certain purposes. Provides that with certain exceptions a
12+governmental entity is prohibited from requiring that a Class 2
13+structure or a residential onsite sewage system be inspected in
14+connection with or as a condition of the sale of or transfer of title to the
15+property containing the Class 2 structure or residential onsite sewage
16+system. Allows a governmental entity to require certain inspections of
17+properties located in that part of St. Joseph County containing a
18+designated sole source aquifer only if it has been more than 15 years
19+since the property was last sold or transferred, or the Class 2 structure
20+or system was constructed or installed. Provides, for purposes of
21+posting a license bond, that a political subdivision may not impose any
22+requirement for the political subdivision to be identified as an obligee
23+(Continued next page)
24+Effective: July 1, 2024.
25+Pressel, Miller D
26+(SENATE SPONSORS — BALDWIN, ROGERS, BOHACEK)
27+January 10, 2024, read first time and referred to Committee on Local Government.
28+January 23, 2024, amended, reported — Do Pass.
29+January 25, 2024, read second time, ordered engrossed. Engrossed.
30+January 29, 2024, read third time, passed. Yeas 82, nays 14.
31+SENATE ACTION
32+February 5, 2024, read first time and referred to Committee on Local Government.
33+February 26, 2024, amended, reported favorably — Do Pass.
34+February 29, 2024, read second time, amended, ordered engrossed.
35+EH 1329—LS 7018/DI 55 Digest Continued
36+on the license bond other than the requirement in statute. Provides that
37+certain obligors may initiate a civil action against a political
38+subdivision that does not recognize or does not allow an obligor to post
39+a license bond that satisfies certain requirements and that, if the obligor
40+prevails in the action, the obligor shall be awarded an amount equal to:
41+(1) 300% of the cost of obtaining the license bond; (2) compensatory
42+damages; and (3) reasonable attorney's fees. Provides that if a
43+contractor: (1) has posted a license bond to obtain one license from a
44+political subdivision; and (2) is required to obtain another license from
45+the political subdivision to perform work that the contractor intends to
46+perform; the contractor may not be required to post a second license
47+bond as a condition of obtaining the second license if the type of work
48+that the first license authorizes the contractor to perform is so closely
49+related to the type of work that the second license will authorize the
50+contractor to perform that both types of work are typically involved in
51+a single residential construction project. Provides that a city, town, or
52+county that requires a building permit for the construction of a Class 2
53+structure may provide for the inspection to be conducted by: (1) an
54+individual employed by the city, town, or county, or by another city,
55+town, or county, as a building inspector; (2) a registered architect; (3)
56+a registered professional engineer; (4) a certified building official; or
57+(5) a licensed home inspector.
58+EH 1329—LS 7018/DI 55EH 1329—LS 7018/DI 55 Reprinted
59+March 1, 2024
160 Second Regular Session of the 123rd General Assembly (2024)
261 PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
362 Constitution) is being amended, the text of the existing provision will appear in this style type,
463 additions will appear in this style type, and deletions will appear in this style type.
564 Additions: Whenever a new statutory provision is being enacted (or a new constitutional
665 provision adopted), the text of the new provision will appear in this style type. Also, the
766 word NEW will appear in that style type in the introductory clause of each SECTION that adds
867 a new provision to the Indiana Code or the Indiana Constitution.
968 Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
1069 between statutes enacted by the 2023 Regular Session of the General Assembly.
11-HOUSE ENROLLED ACT No. 1329
12-AN ACT to amend the Indiana Code concerning local government.
70+ENGROSSED
71+HOUSE BILL No. 1329
72+A BILL FOR AN ACT to amend the Indiana Code concerning local
73+government.
1374 Be it enacted by the General Assembly of the State of Indiana:
14-SECTION 1. IC 5-1-17-7, AS AMENDED BY HEA 1026-2024,
15-SECTION 59, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
16-UPON PASSAGE]: Sec. 7. (a) The board is composed of the following
17-seven (7) three (3) members, who must be residents of Indiana:
18-(1) Four (4) members appointed by the governor. The president
19-pro tempore of the senate and the speaker of the house of
20-representatives may each make one (1) recommendation to the
21-governor concerning the appointment of a member under this
22-subdivision.
23-(2) Two (2) members appointed by the Marion County executive.
24-(3) One (1) member appointed by the governor, who has been
25-nominated by the county fiscal body of a county that is contiguous
26-to Marion County, determined as follows:
27-(A) The member nominated for the initial term shall be
28-nominated by the contiguous county that has the largest
29-population of all the contiguous counties that have adopted an
30-ordinance to impose a food and beverage tax under IC 6-9-35.
31-(B) The member nominated for each successive term shall be
32-nominated by the contiguous county that:
33-(i) contributed the most revenues from the tax imposed by
34-IC 6-9-35 to the capital improvement board of managers
35-HEA 1329 — CC 2 2
36-created by IC 36-10-9-3 in the immediately previous
37-calendar year; and
38-(ii) has not previously made a nomination to the governor or,
39-if all the contributing counties have previously made such a
40-nomination, is the one whose then most recent nomination
41-occurred before those of all the other contributing counties.
42-(1) The director of the budget agency, or the director's
43-designee, who shall serve as chair of the board.
44-(2) One (1) member appointed by the governor.
45-(3) One (1) member appointed by the executive of a county
46-having a consolidated city.
47-(b) A member appointed under subsection (a)(2) serves a four
48-(4) year term that expires December 31, 2025, and each fourth year
49-thereafter. The member may be reappointed by the governor to
50-subsequent terms. The governor shall fill a vacancy to the
51-membership under subsection (a)(2) by appointing a new member
52-for the vacated term.
53-(c) A member appointed under subsection (a)(3) serves a four
54-(4) year term that expires December 31, 2027, and each fourth year
55-thereafter. (b) A The member may be reappointed to by the executive
56-of the county having a consolidated city to subsequent terms. A
57-member of the general assembly appointed to the board serves a two
58-(2) year term that expires June 30 of an odd-numbered year. A member
59-of the board who is not a member of the general assembly serves a four
60-(4) year term that expires as follows:
61-(1) If the member is appointed under subsection (a)(1), December
62-31, 2025, and each fourth year thereafter.
63-(2) If the member is appointed under subsection (a)(2) or (a)(3),
64-December 31, 2027, and each fourth year thereafter.
65-(c) If a vacancy occurs on the board, the governor shall fill the vacancy
66-by appointing a new member for the remainder of the vacated term. If
67-the vacated member was appointed under subsection (a)(2) or (a)(3),
68-the governor shall appoint a new member who has been nominated by
69-the person or body who made the nomination of the vacated member.
70-The executive of the county having a consolidated city shall fill a
71-vacancy in the membership under subsection (a)(3) by appointing
72-a new member for the remainder of the vacated term.
73-(d) A member appointed under subsection (a)(2) or (a)(3):
74-(1) continues to serve after the expiration of the appointment
75-until a successor is appointed and qualified; and
76-(2) may be removed for with or without cause by the appointing
77-authority.
78-HEA 1329 — CC 2 3
79-(e) Each member appointed under subsection (a)(2) or (a)(3),
80-before entering upon the duties of office, must take and subscribe an
81-oath of office under IC 5-4-1, which shall be endorsed upon the
82-certificate of appointment and filed with the records of the board.
83-(f) The governor shall nominate an executive director for the
84-authority, subject to the veto authority of the Marion County executive.
85-SECTION 2. IC 5-1-17-8, AS ADDED BY P.L.214-2005,
86-SECTION 6, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
87-UPON PASSAGE]: Sec. 8. (a) The board shall hold an initial
88-organizational meeting on or before June 30, 2005. Immediately after
89-January 15 of each year, the board shall hold its annual organizational
90-meeting.
91-(b) The governor shall appoint a member of the board to serve as
92-chair of the board.
93-(c) (b) The board shall elect one (1) of the members vice chair and
94-another secretary-treasurer to perform the duties of those offices. These
95-officers serve from the date of their election and until their successors
96-are elected and qualified. The board may elect an assistant
97-secretary-treasurer.
98-(d) (c) Special meetings may be called by the chair of the board or
99-any three (3) the other two (2) members of the board.
100-(e) (d) A majority of the Three (3) members constitutes constitute
101-a quorum, and the concurrence of a majority of the members is
102-necessary to authorize any action.
103-SECTION 3. IC 5-1-17-18, AS AMENDED BY P.L.104-2022,
104-SECTION 12, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
105-UPON PASSAGE]: Sec. 18. (a) Subject to subsection (h), the authority
106-may issue bonds for the purpose of obtaining money to pay the cost of:
107-(1) acquiring real or personal property, including existing capital
108-improvements;
109-(2) constructing, improving, reconstructing, or renovating one (1)
110-or more capital improvements; or
111-(3) funding or refunding bonds issued under IC 36-10-8 or
112-IC 36-10-9 or prior law.
113-(b) The bonds are payable from the lease rentals from the lease of
114-the capital improvements for which the bonds were issued, insurance
115-proceeds, and any other funds pledged or available.
116-(c) The bonds shall be authorized by a resolution of the board.
117-(d) The terms and form of the bonds shall either be set out in the
118-resolution or in a form of trust indenture approved by the resolution.
119-(e) The bonds shall mature within forty (40) years.
120-(f) The board shall sell the bonds at public or private sale upon the
121-HEA 1329 — CC 2 4
122-terms determined by the board.
123-(g) All money received from any bonds issued under this chapter
124-shall be applied to the payment of the cost of the acquisition or
125-construction, or both, of capital improvements, or the cost of refunding
126-or refinancing outstanding bonds, for which the bonds are issued. The
127-cost may include:
128-(1) planning and development of the facility and all buildings,
129-facilities, structures, and improvements related to it;
130-(2) acquisition of a site and clearing and preparing the site for
131-construction;
132-(3) equipment, facilities, structures, and improvements that are
133-necessary or desirable to make the capital improvement suitable
134-for use and operations;
135-(4) architectural, engineering, consultant, and attorney's fees;
136-(5) incidental expenses in connection with the issuance and sale
137-of bonds;
138-(6) reserves for principal and interest;
139-(7) interest during construction;
140-(8) financial advisory fees;
141-(9) insurance during construction;
142-(10) municipal bond insurance, debt service reserve insurance,
143-letters of credit, or other credit enhancement; and
144-(11) in the case of refunding or refinancing, payment of the
145-principal of, redemption premiums (if any) for, and interest on,
146-the bonds being refunded or refinanced.
147-(h) The authority may not issue bonds under this chapter unless the
148-authority first finds that the following conditions are met:
149-(1) The capital improvement board and the authority have entered
150-into a written agreement concerning the terms of the financing of
151-the facility. This agreement must include the following
152-provisions:
153-(A) Notwithstanding any other law, if the capital improvement
154-board selected a construction manager and an architect for a
155-facility before May 15, 2005, the authority will contract with
156-that construction manager and architect and use plans as
157-developed by that construction manager and architect. In
158-addition, any other agreements entered into by the capital
159-improvement board or a political subdivision served by the
160-capital improvement board with respect to the design and
161-construction of the facility will be reviewed by a selection
162-committee consisting of:
163-(i) two (2) of the members appointed to the board of
164-HEA 1329 — CC 2 5
165-directors of the authority under section 7(a)(1) of this
166-chapter, as designated by the governor;
167-(ii) the two (2) members appointed to the board of directors
168-of the authority under section 7(a)(2) of this chapter; and
169-(iii) the executive director of the authority.
170-formed under this section (as in effect on May 15, 2005).
171-The selection committee is not bound by any prior
172-commitments of the capital improvement board or the political
173-subdivision, other than the general project design, and will
174-approve all contracts necessary for the design and construction
175-of the facility.
176-(B) If before May 15, 2005, the capital improvement board
177-acquired any land, plans, or other information necessary for
178-the facility and the board had budgeted for these items, the
179-capital improvement board will transfer the land, plans, or
180-other information useful to the authority for a price not to
181-exceed the lesser of:
182-(i) the actual cost to the capital improvement board; or
183-(ii) three million five hundred thousand dollars
184-($3,500,000).
185-(C) The capital improvement board agrees to take any legal
186-action that the authority considers necessary to facilitate the
187-financing of the facility, including entering into agreements
188-during the design and construction of the facility or a sublease
189-of a capital improvement to any state agency that is then leased
190-by the authority to any state agency under section 26 of this
191-chapter.
192-(D) The capital improvement board is prohibited from taking
193-any other action with respect to the financing of the facility
194-without the prior approval of the authority. The authority is not
195-bound by the terms of any agreement entered into by the
196-capital improvement board with respect to the financing of the
197-facility without the prior approval of the authority.
198-(E) As the project financier, the Indiana finance authority (or
199-its successor agency) and the public finance director will be
200-responsible for selecting all investment bankers, bond counsel,
201-trustees, and financial advisors.
202-(F) The capital improvement board agrees to deliver to the
203-authority the one hundred million dollars ($100,000,000) that
204-is owed to the capital improvement board, the consolidated
205-city, or Marion County, pursuant to an agreement between the
206-National Football League franchised professional football
207-HEA 1329 — CC 2 6
208-team and the capital improvement board, the consolidated city,
209-or Marion County. This amount shall be applied to the cost of
210-construction for the stadium part of the facility. This amount
211-does not have to be delivered until a lease is entered into for
212-the stadium between the authority and the capital improvement
213-board.
214-(G) The authority agrees to consult with the staff of the capital
215-improvement board on an as needed basis during the design
216-and construction of the facility, and the capital improvement
217-board agrees to make its staff available for this purpose.
218-(H) The authority, Marion County, the consolidated city, the
219-capital improvement board and the National Football League
220-franchised professional football team must commit to using
221-their best efforts to assist and cooperate with one another to
222-design and construct the facility on time and on budget.
223-(2) The capital improvement board and the National Football
224-League franchised professional football team have entered into a
225-lease for the stadium part of the facility that has been approved by
226-the authority and has a term of at least thirty (30) years.
227-SECTION 4. IC 13-21-3-12.2, AS AMENDED BY P.L.104-2022,
228-SECTION 87, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
229-JULY 1, 2024]: Sec. 12.2. (a) This section applies to a county having
230-a population of more than one hundred eighty thousand (180,000) and
231-less than one hundred eighty-five thousand (185,000).
232-(b) In addition to the powers granted to a district under section 12
233-of this chapter, a district may make grants or loans of money, property,
234-or services to the following:
235-(1) A public or private program to plant or maintain trees in an
236-area of the district that is a right-of-way, public property, or
237-vacant property.
238-(2) A political subdivision located in the district for the
239-purpose of repairing or maintaining municipal and county
240-public roadways located within one (1) mile of any landfill
241-located in the district.
242-(3) A political subdivision located in the district for
243-emergency clean-up of trees and other debris resulting from
244-a natural disaster or other casualty.
245-SECTION 5. IC 32-21-5.2 IS ADDED TO THE INDIANA CODE
246-AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
247-JULY 1, 2024]:
248-Chapter 5.2. Prohibition Against Mandated Inspection of a
249-Class 2 Structure or Residential Onsite Sewage System
250-HEA 1329 — CC 2 7
251- Sec. 1. As used in this chapter, "Class 2 structure" has the
252-meaning set forth in IC 22-12-1-5.
253-Sec. 2. As used in this chapter, "governmental entity" means
254-any of the following:
255-(1) The state.
256-(2) A state agency.
257-(3) A political subdivision.
258-(4) A local building department.
259-Sec. 3. As used in this chapter, "local building department"
260-means, in any county, city, or town, the department, division,
261-agency, section, or office that enforces the Indiana building code
262-adopted by the fire prevention and building safety commission, as
263-required by IC 36-7-2-9(1).
264-Sec. 4. As used in this chapter, "political subdivision" means
265-any of the following:
266-(1) A county.
267-(2) A city, town, township, or special taxing district.
268-(3) A regional water, sewage, or solid waste district organized
269-under:
270-(A) IC 13-26; or
271-(B) IC 13-3-2 (before its repeal).
272-(4) A drainage board established by IC 36-9-27-4.
273-(5) A local public improvement bond bank established under
274-IC 5-1.4.
275-(6) A not-for-profit public water utility described in
276-IC 8-1-2-125(a).
277-(7) A conservancy district established under IC 14-33.
278-(8) A county onsite waste management district established
279-under IC 36-11.
280-(9) A drainage district established under IC 14-27-8.
281-Sec. 5. (a) As used in this chapter, "residential onsite sewage
282-system" means all equipment and devices necessary for proper
283-conduction, collection, storage, treatment, and onsite disposal of
284-sewage from:
285-(1) a one (1) or two (2) family dwelling;
286-(2) a residential outbuilding; or
287-(3) two (2) single family dwellings located on the same
288-property with a combined design daily flow of less than or
289-equal to seven hundred fifty (750) gallons per day.
290-(b) The term includes residential sewers, septic tanks, soil
291-absorption systems, temporary sewage holding tanks, and sanitary
292-vault privies.
293-HEA 1329 — CC 2 8
294-(c) The term does not include a nonresidential onsite sewage
295-system, as defined in IC 16-18-2-253.2.
296-Sec. 6. As used in this chapter, "state agency" means an
297-authority, board, branch, commission, committee, department,
298-division, or other instrumentality of the executive, including the
299-administrative, department of state government.
300-Sec. 7. Except as provided in section 9 of this chapter, a
301-governmental entity shall not require that a Class 2 structure be
302-inspected:
303-(1) in connection with, or as a condition of:
304-(A) the sale of; or
305-(B) the transfer of title to;
306-a Class 2 structure; or
307-(2) as a prerequisite to the recording of a deed to the property
308-containing a Class 2 structure.
309-Sec. 8. Except as provided in section 9 of this chapter, a
310-governmental entity shall not require that a residential onsite
311-sewage system be inspected or tested:
312-(1) in connection with, or as a condition of:
313-(A) the sale of; or
314-(B) the transfer of title to;
315-a property containing the residential onsite sewage system; or
316-(2) as a prerequisite to the recording of a deed to the property
317-containing the residential onsite sewage system.
318-Sec. 9. (a) This section applies only to property located in that
319-part of St. Joseph County containing a designated sole source
320-aquifer.
75+1 SECTION 1. IC 13-21-3-12.2, AS AMENDED BY P.L.104-2022,
76+2 SECTION 87, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
77+3 JULY 1, 2024]: Sec. 12.2. (a) This section applies to a county having
78+4 a population of more than one hundred eighty thousand (180,000) and
79+5 less than one hundred eighty-five thousand (185,000).
80+6 (b) In addition to the powers granted to a district under section 12
81+7 of this chapter, a district may make grants or loans of money, property,
82+8 or services to the following:
83+9 (1) A public or private program to plant or maintain trees in an
84+10 area of the district that is a right-of-way, public property, or
85+11 vacant property.
86+12 (2) A political subdivision located in the district for the
87+13 purpose of repairing or maintaining municipal and county
88+14 public roadways located within one (1) mile of any landfill
89+15 located in the district.
90+EH 1329—LS 7018/DI 55 2
91+1 (3) A political subdivision located in the district for
92+2 emergency clean-up of trees and other debris resulting from
93+3 a natural disaster or other casualty.
94+4 SECTION 2. IC 32-21-5.2 IS ADDED TO THE INDIANA CODE
95+5 AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
96+6 JULY 1, 2024]:
97+7 Chapter 5.2. Prohibition Against Mandated Inspection of a
98+8 Class 2 Structure or Residential Onsite Sewage System
99+9 Sec. 1. As used in this chapter, "Class 2 structure" has the
100+10 meaning set forth in IC 22-12-1-5.
101+11 Sec. 2. As used in this chapter, "governmental entity" means
102+12 any of the following:
103+13 (1) The state.
104+14 (2) A state agency.
105+15 (3) A political subdivision.
106+16 (4) A local building department.
107+17 Sec. 3. As used in this chapter, "local building department"
108+18 means, in any county, city, or town, the department, division,
109+19 agency, section, or office that enforces the Indiana building code
110+20 adopted by the fire prevention and building safety commission, as
111+21 required by IC 36-7-2-9(1).
112+22 Sec. 4. As used in this chapter, "political subdivision" means
113+23 any of the following:
114+24 (1) A county.
115+25 (2) A city, town, township, or special taxing district.
116+26 (3) A regional water, sewage, or solid waste district organized
117+27 under:
118+28 (A) IC 13-26; or
119+29 (B) IC 13-3-2 (before its repeal).
120+30 (4) A drainage board established by IC 36-9-27-4.
121+31 (5) A local public improvement bond bank established under
122+32 IC 5-1.4.
123+33 (6) A not-for-profit public water utility described in
124+34 IC 8-1-2-125(a).
125+35 (7) A conservancy district established under IC 14-33.
126+36 (8) A county onsite waste management district established
127+37 under IC 36-11.
128+38 (9) A drainage district established under IC 14-27-8.
129+39 Sec. 5. (a) As used in this chapter, "residential onsite sewage
130+40 system" means all equipment and devices necessary for proper
131+41 conduction, collection, storage, treatment, and onsite disposal of
132+42 sewage from:
133+EH 1329—LS 7018/DI 55 3
134+1 (1) a one (1) or two (2) family dwelling;
135+2 (2) a residential outbuilding; or
136+3 (3) two (2) single family dwellings located on the same
137+4 property with a combined design daily flow of less than or
138+5 equal to seven hundred fifty (750) gallons per day.
139+6 (b) The term includes residential sewers, septic tanks, soil
140+7 absorption systems, temporary sewage holding tanks, and sanitary
141+8 vault privies.
142+9 (c) The term does not include a nonresidential onsite sewage
143+10 system, as defined in IC 16-18-2-253.2.
144+11 Sec. 6. As used in this chapter, "state agency" means an
145+12 authority, board, branch, commission, committee, department,
146+13 division, or other instrumentality of the executive, including the
147+14 administrative, department of state government.
148+15 Sec. 7. Except as provided in section 9 of this chapter, a
149+16 governmental entity shall not require that a Class 2 structure be
150+17 inspected:
151+18 (1) in connection with, or as a condition of:
152+19 (A) the sale of; or
153+20 (B) the transfer of title to;
154+21 a Class 2 structure; or
155+22 (2) as a prerequisite to the recording of a deed to the property
156+23 containing a Class 2 structure.
157+24 Sec. 8. Except as provided in section 9 of this chapter, a
158+25 governmental entity shall not require that a residential onsite
159+26 sewage system be inspected or tested:
160+27 (1) in connection with, or as a condition of:
161+28 (A) the sale of; or
162+29 (B) the transfer of title to;
163+30 a property containing the residential onsite sewage system; or
164+31 (2) as a prerequisite to the recording of a deed to the property
165+32 containing the residential onsite sewage system.
166+33 Sec. 9. (a) This section applies only to property located in that
167+34 part of St. Joseph County containing a designated sole source
168+35 aquifer.
169+36 (b) This chapter only prohibits a governmental entity from
170+37 requiring inspection of a Class 2 structure or residential onsite
171+38 sewage system in connection with or as a condition of the sale,
172+39 transfer of title, or recording of a deed occurring not more than
173+40 fifteen (15) years after:
174+41 (1) the last sale or transfer of title to the property; or
175+42 (2) the Class 2 structure or residential onsite sewage system
176+EH 1329—LS 7018/DI 55 4
177+1 was built or installed on the property.
178+2 (c) The local health department may not charge a fee when a
179+3 property is transferred.
180+4 SECTION 3. IC 36-1-4-22, AS ADDED BY P.L.123-2019,
181+5 SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
182+6 JULY 1, 2024]: Sec. 22. (a) As used in this section, "license bond"
183+7 refers to a surety bond required by a political subdivision as a condition
184+8 that the political subdivision issue a license or a permit to a person.
185+9 The term does not refer to a performance bond.
186+10 (b) If a political subdivision requires a person to post a license bond,
187+11 a surety bond posted by the person is considered sufficient if the
188+12 following conditions are satisfied:
189+13 (1) The bond is written by a surety company authorized to transact
190+14 business in Indiana.
191+15 (2) The obligation on the bond is for an amount that is at least the
192+16 amount required by the political subdivision for the issuance of
193+17 the particular license or permit. A political subdivision may not
194+18 require the obligation on a license bond to be more than fifteen
195+19 thousand dollars ($15,000).
196+20 (3) The obligee or obligees named on the bond are any of the
197+21 following:
198+22 (A) The political subdivision that requires the license bond.
199+23 (B) Specifically named political subdivisions in the county that
200+24 include the name of the political subdivision that requires the
201+25 license bond.
202+26 (C) All political subdivisions in the county in which the
203+27 political subdivision that requires the license bond is located.
204+28 (D) All political subdivisions of the same kind as the political
205+29 subdivision that requires the license bond located in the
206+30 county.
207+31 (4) The conditions of the bond otherwise comply with the
208+32 requirements of the ordinance that imposes the license bond
209+33 condition.
210+34 (c) A person required to post a license bond satisfies the posting
211+35 requirement if the person files a copy of the license bond with the
212+36 political subdivision or appropriate agency of the political subdivision
213+37 that requires the license bond. A political subdivision may not require
214+38 that the person record the license bond. In addition, a political
215+39 subdivision may not impose any other requirement to identify the
216+40 particular political subdivision as an obligee on the license bond
217+41 other than what is required in subsection (b)(3).
218+42 (d) Nothing in this section may be construed to prohibit a
219+EH 1329—LS 7018/DI 55 5
220+1 political subdivision from requiring a person to meet registration
221+2 requirements in order to ensure that the person meets professional
222+3 standards or qualifications necessary for the person to perform the
223+4 services for which the license bond is required.
224+5 (e) This subsection does not apply to a person that has had a
225+6 license bond revoked by a political subdivision located in the same
226+7 county as the political subdivision that is named an obligee on the
227+8 licensee bond within one (1) year prior to the date the political
228+9 subdivision refused to recognize the license bond that is subject to
229+10 this subsection. If a license bond meets the requirements described
230+11 in subsection (b) and a political subdivision that is named as an
231+12 obligee on the license bond in the manner provided in subsection
232+13 (b)(3) does not recognize or otherwise allow the obligor to post the
233+14 license bond to obtain a license or permit, the obligor may initiate
234+15 a civil action against the political subdivision. In a successful civil
235+16 action against the political subdivision, the court shall award the
236+17 obligor an amount equal to:
237+18 (1) three hundred percent (300%) of the cost of obtaining the
238+19 license bond;
239+20 (2) damages compensating the obligor for the political
240+21 subdivision's failure to recognize or otherwise allow the
241+22 obligor to post the license bond; and
242+23 (3) reasonable attorney's fees.
243+24 SECTION 4. IC 36-1-4-22.1 IS ADDED TO THE INDIANA CODE
244+25 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
245+26 1, 2024]: Sec. 22.1. (a) The following definitions apply throughout
246+27 this section:
247+28 (1) "Contractor" means a person that enters into a contract
248+29 requiring the person to perform one (1) or more tasks in a
249+30 residential construction project or a similar project.
250+31 (2) "License bond" refers to a surety bond required by a
251+32 political subdivision as a condition that the political
252+33 subdivision issue a license or a permit to a person. The term
253+34 does not refer to a performance bond.
254+35 (3) "Political subdivision" includes an agency, office, or
255+36 department of the political subdivision.
256+37 (4) "Residential onsite sewage system" has the meaning set
257+38 forth in IC 16-41-25-0.4(a).
258+39 (b) If a contractor:
259+40 (1) has posted a license bond to obtain one (1) license or
260+41 registration from a political subdivision; and
261+42 (2) is required to obtain another license or registration from
262+EH 1329—LS 7018/DI 55 6
263+1 the political subdivision to perform work that the contractor
264+2 intends to perform;
265+3 the contractor may not be required to post a second license bond
266+4 as a condition of obtaining the second license or registration if the
267+5 type of work that the first license or registration authorizes the
268+6 contractor to perform is so closely related to the type of work that
269+7 the second license or registration will authorize the contractor to
270+8 perform that both types of work are typically involved in a single
271+9 residential construction project.
272+10 (c) Under subsection (b), a contractor that has posted a license
273+11 bond to obtain an excavator's license or registration from a
274+12 political subdivision may not be required to post a second license
275+13 bond to obtain a license or registration from the political
276+14 subdivision as a residential onsite sewage system installer.
277+15 SECTION 5. IC 36-7-2-9.1 IS ADDED TO THE INDIANA CODE
278+16 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
279+17 1, 2024]: Sec. 9.1. (a) This section applies only to a Class 2 structure
280+18 for which a building permit is issued by a city, town, or county
281+19 after June 30, 2024.
282+20 (b) This section does not apply to:
283+21 (1) a manufactured housing community; or
284+22 (2) a mobile home community;
285+23 that is licensed, permitted, and inspected by the Indiana
286+24 department of health or a local board of health.
287+25 (c) As used in this section, "Class 2 structure" has the meaning
288+26 set forth in IC 22-12-1-5.
289+27 (d) A city, town, or county that requires a building permit for
290+28 the construction of a Class 2 structure may provide for the
291+29 inspection to be conducted by:
292+30 (1) an individual who is employed by the city, town, or county
293+31 as a building inspector;
294+32 (2) an individual who is employed by another city, town, or
295+33 county as a building inspector; or
296+34 (3) a qualified individual who is:
297+35 (A) an architect registered under IC 25-4-1;
298+36 (B) a professional engineer registered under IC 25-31-1;
299+37 (C) a certified building official; or
300+38 (D) a home inspector licensed under IC 25-20.2.
301+EH 1329—LS 7018/DI 55 7
302+COMMITTEE REPORT
303+Mr. Speaker: Your Committee on Local Government, to which was
304+referred House Bill 1329, has had the same under consideration and
305+begs leave to report the same back to the House with the
306+recommendation that said bill be amended as follows:
307+Page 4, between lines 25 and 26, begin a new paragraph and insert:
308+"(d) Nothing in this section may be construed to prohibit a
309+political subdivision from requiring a person to meet registration
310+requirements in order to ensure that the person meets professional
311+standards or qualifications necessary for the person to perform the
312+services for which the license bond is required.".
313+Page 4, line 26, delete "(d)" and insert "(e) This subdivision does
314+not apply to a person that has had a license bond revoked by a
315+political subdivision located in the same county as the political
316+subdivision that is named an obligee on the licensee bond within
317+one (1) year prior to date the political subdivision refused to
318+recognize the license bond that is subject to this subsection.".
319+Page 6, line 1, delete "preceding the issuance or denial of the
320+building permit".
321+and when so amended that said bill do pass.
322+(Reference is to HB 1329 as introduced.)
323+MAY
324+Committee Vote: yeas 8, nays 2.
325+_____
326+COMMITTEE REPORT
327+Madam President: The Senate Committee on Local Government, to
328+which was referred House Bill No. 1329, has had the same under
329+consideration and begs leave to report the same back to the Senate with
330+the recommendation that said bill be AMENDED as follows:
331+Page 3, line 15, after "7." delete "A" and insert "Except as provided
332+in section 9 of this chapter, a".
333+Page 3, line 23, after "8." delete "A" and insert "Except as provided
334+in section 9 of this chapter, a".
335+Page 3, between lines 30 and 31, begin a new paragraph and insert:
336+"Sec. 9. (a) This section applies only to a county that has:
337+(1) a sole source aquifer; and
338+EH 1329—LS 7018/DI 55 8
339+(2) an advisory board that:
340+(A) is established by an ordinance adopted not later than
341+December 31, 2023; and
342+(B) provides oversight to the local health department.
321343 (b) This chapter only prohibits a governmental entity from
322344 requiring inspection of a Class 2 structure or residential onsite
323345 sewage system in connection with or as a condition of the sale,
324346 transfer of title, or recording of a deed occurring not more than
325347 fifteen (15) years after:
326348 (1) the last sale or transfer of title to the property; or
327349 (2) the Class 2 structure or residential onsite sewage system
328350 was built or installed on the property.
329351 (c) The local health department may not charge a fee when a
330-property is transferred.
331-SECTION 6. IC 36-1-4-22, AS ADDED BY P.L.123-2019,
332-SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
333-JULY 1, 2024]: Sec. 22. (a) As used in this section, "license bond"
334-refers to a surety bond required by a political subdivision as a condition
335-that the political subdivision issue a license or a permit to a person.
336-HEA 1329 — CC 2 9
337-The term does not refer to a performance bond.
338-(b) If a political subdivision requires a person to post a license bond,
339-a surety bond posted by the person is considered sufficient if the
340-following conditions are satisfied:
341-(1) The bond is written by a surety company authorized to transact
342-business in Indiana.
343-(2) The obligation on the bond is for an amount that is at least the
344-amount required by the political subdivision for the issuance of
345-the particular license or permit. A political subdivision may not
346-require the obligation on a license bond to be more than fifteen
347-thousand dollars ($15,000).
348-(3) The obligee or obligees named on the bond are any of the
349-following:
350-(A) The political subdivision that requires the license bond.
351-(B) Specifically named political subdivisions in the county that
352-include the name of the political subdivision that requires the
353-license bond.
354-(C) All political subdivisions in the county in which the
355-political subdivision that requires the license bond is located.
356-(D) All political subdivisions of the same kind as the political
357-subdivision that requires the license bond located in the
358-county.
359-(4) The conditions of the bond otherwise comply with the
360-requirements of the ordinance that imposes the license bond
361-condition.
362-(c) A person required to post a license bond satisfies the posting
363-requirement if the person files a copy of the license bond with the
364-political subdivision or appropriate agency of the political subdivision
365-that requires the license bond. A political subdivision may not require
366-that the person record the license bond. In addition, a political
367-subdivision may not impose any other requirement to identify the
368-particular political subdivision as an obligee on the license bond
369-other than what is required in subsection (b)(3).
370-(d) Nothing in this section may be construed to prohibit a
371-political subdivision from requiring a person to meet registration
372-requirements in order to ensure that the person meets professional
373-standards or qualifications necessary for the person to perform the
374-services for which the license bond is required.
375-(e) This subsection does not apply to a person that has had a
376-license bond revoked by a political subdivision located in the same
377-county as the political subdivision that is named an obligee on the
378-licensee bond within one (1) year prior to the date the political
379-HEA 1329 — CC 2 10
380-subdivision refused to recognize the license bond that is subject to
381-this subsection. If a license bond meets the requirements described
382-in subsection (b) and a political subdivision that is named as an
383-obligee on the license bond in the manner provided in subsection
384-(b)(3) does not recognize or otherwise allow the obligor to post the
385-license bond to obtain a license or permit, the obligor may initiate
386-a civil action against the political subdivision. In a successful civil
387-action against the political subdivision, the court shall award the
388-obligor an amount equal to:
389-(1) three hundred percent (300%) of the cost of obtaining the
390-license bond;
391-(2) damages compensating the obligor for the political
392-subdivision's failure to recognize or otherwise allow the
393-obligor to post the license bond; and
394-(3) reasonable attorney's fees.
395-SECTION 7. IC 36-1-4-22.1 IS ADDED TO THE INDIANA CODE
396-AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
397-1, 2024]: Sec. 22.1. (a) The following definitions apply throughout
398-this section:
352+property is transferred.".
353+Page 3, line 35, after "person." insert "The term does not refer to
354+a performance bond.".
355+Page 4, line 31, delete "subdivision" and insert "subsection".
356+Page 4, line 34, after "to" insert "the".
357+Page 5, line 10, delete "As used in this section:" and insert "The
358+following definitions apply throughout this section:
399359 (1) "Contractor" means a person that enters into a contract
400360 requiring the person to perform one (1) or more tasks in a
401361 residential construction project or a similar project.
402362 (2) "License bond" refers to a surety bond required by a
403363 political subdivision as a condition that the political
404364 subdivision issue a license or a permit to a person. The term
405365 does not refer to a performance bond.
406366 (3) "Political subdivision" includes an agency, office, or
407367 department of the political subdivision.
408368 (4) "Residential onsite sewage system" has the meaning set
409-forth in IC 16-41-25-0.4(a).
410-(b) If a contractor:
411-(1) has posted a license bond to obtain one (1) license or
412-registration from a political subdivision; and
413-(2) is required to obtain another license or registration from
414-the political subdivision to perform work that the contractor
415-intends to perform;
416-the contractor may not be required to post a second license bond
417-as a condition of obtaining the second license or registration if the
418-type of work that the first license or registration authorizes the
419-contractor to perform is so closely related to the type of work that
420-the second license or registration will authorize the contractor to
421-perform that both types of work are typically involved in a single
422-HEA 1329 — CC 2 11
423-residential construction project.
424-(c) Under subsection (b), a contractor that has posted a license
425-bond to obtain an excavator's license or registration from a
426-political subdivision may not be required to post a second license
427-bond to obtain a license or registration from the political
428-subdivision as a residential onsite sewage system installer.
429-SECTION 8. IC 36-7-2-9.1 IS ADDED TO THE INDIANA CODE
430-AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
431-1, 2024]: Sec. 9.1. (a) This section applies only to a Class 2 structure
432-for which a building permit is issued by a city, town, or county
433-after June 30, 2024.
434- (b) This section does not apply to:
435-(1) a manufactured housing community; or
436-(2) a mobile home community;
437-that is licensed, permitted, and inspected by the Indiana
438-department of health or a local board of health.
439-(c) As used in this section, "Class 2 structure" has the meaning
440-set forth in IC 22-12-1-5.
441-(d) A city, town, or county that requires a building permit for
442-the construction of a Class 2 structure may provide for the
443-inspection to be conducted by:
444-(1) an individual who is employed by the city, town, or county
445-as a building inspector;
446-(2) an individual who is employed by another city, town, or
447-county as a building inspector; or
448-(3) a qualified individual who is:
449-(A) an architect registered under IC 25-4-1;
450-(B) a professional engineer registered under IC 25-31-1;
451-(C) a certified building official; or
452-(D) a home inspector licensed under IC 25-20.2.
453-SECTION 9. An emergency is declared for this act.
454-HEA 1329 — CC 2 Speaker of the House of Representatives
455-President of the Senate
456-President Pro Tempore
457-Governor of the State of Indiana
458-Date: Time:
459-HEA 1329 — CC 2
369+forth in IC 16-41-25-0.4(a).".
370+Page 5, delete lines 11 through 20.
371+and when so amended that said bill do pass.
372+(Reference is to HB 1329 as printed January 23, 2024.)
373+BUCK, Chairperson
374+Committee Vote: Yeas 10, Nays 0.
375+EH 1329—LS 7018/DI 55 9
376+SENATE MOTION
377+Madam President: I move that Engrossed House Bill 1329 be
378+amended to read as follows:
379+Page 3, delete lines 33 through 38, begin a new paragraph and
380+insert:
381+"Sec. 9. (a) This section applies only to property located in that
382+part of St. Joseph County containing a designated sole source
383+aquifer.".
384+(Reference is to EHB 1329 Digest Correction as printed February
385+27, 2024.)
386+ROGERS
387+EH 1329—LS 7018/DI 55