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: Mar 6, 2024
BILL NUMBER: HB 1352 BILL AMENDED: Feb 29, 2024
SUBJECT: Inspection of Residential Onsite Sewage Systems.
FIRST AUTHOR: Rep. Morris BILL STATUS: Enrolled
FIRST SPONSOR: Sen. Byrne
FUNDS AFFECTED: GENERAL IMPACT: State & Local
XDEDICATED
FEDERAL
Summary of Legislation: 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: 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: 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 there is at least
HB 1352 1 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