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 7036 NOTE PREPARED: Feb 29, 2024
BILL NUMBER: HB 1352 BILL AMENDED: Feb 29, 2024
SUBJECT: Inspection of Residential Onsite Sewage Systems.
FIRST AUTHOR: Rep. Morris BILL STATUS: 2
nd
Reading - 2
nd
House
FIRST SPONSOR: Sen. Byrne
FUNDS AFFECTED: GENERAL IMPACT: State & Local
XDEDICATED
FEDERAL
Summary of Legislation: (Amended) This bill establishes when certain officials may inspect a residential
onsite sewage system or nonresidential onsite sewage system. It allows a nonresidential onsite sewage system
to be installed in a lot if at least one site on the lot is determined to be suitable for the installation of the
nonresidential onsite sewage system. It also provides that a county onsite waste management district (district)
or local health department may not assess a periodic permit or inspection fee that exceeds the actual cost of
the inspection incurred by the district or local health department on an onsite sewage system or an onsite
residential sewage discharging disposal system.
Effective Date: Upon passage; July 1, 2024.
Explanation of State Expenditures: (Revised) The Indiana Department of Health may need to amend rules
regarding onsite residential sewage discharging disposal systems. This is within the routine administrative
functions of the Board and should be able to be implemented within the executive board’s regularly
scheduled meetings. [The Indiana Department of Health administration receives funding through the
Tobacco Master Settlement Fund, a dedicated fund.]
Explanation of State Revenues:
Explanation of Local Expenditures: (Revised) The bill modifies the criteria for when inspections of
residential and nonresidential onsite sewage systems may occur. The bill could increase the number of
inspections of residential onsite sewage systems since it removes the requirement that homeowners must
invite the inspector onto their property for an inspection to occur. The bill could also increase the number
of inspections of nonresidential onsite sewage systems since it allows for installation of a system on a lot if
HB 1352 1 there is at least one site suitable for the installation. Any resulting increase in the number of inspections is
within the duties of local health departments and should be able to be implemented with no additional
appropriations, assuming near customary staffing and resource levels.
Explanation of Local Revenues: Fees: The bill prevents a district or local health department from assessing
a periodic permit or inspection fee that exceeds the actual cost of the inspection. Depending on current
practice, revenue from these fees could decrease.
State Agencies Affected: Indiana Department of Health.
Local Agencies Affected: Local health departments; county onsite waste management districts.
Information Sources:
Fiscal Analyst: Jasmine Noel, 317-234-1360.
HB 1352 2