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 6225 NOTE PREPARED: Dec 6, 2023
BILL NUMBER: HB 1397 BILL AMENDED:
SUBJECT: Emergency Powers.
FIRST AUTHOR: Rep. Lindauer BILL STATUS: As Introduced
FIRST SPONSOR:
FUNDS AFFECTED:XGENERAL IMPACT: State & Local
XDEDICATED
FEDERAL
Summary of Legislation: Disaster Emergency Language - This bill provides that in the event of a disaster
emergency, an emergency order issued by a state agency must be narrowly tailored to serve a compelling
public health or safety interest.
Court Relief - This bill entitles a person to relief if a court determines that the person seeking judicial relief
has been prejudiced by an agency action issued during a disaster emergency that has not been: (1) applied
equally to a similarly situated person; and (2) narrowly tailored to serve a compelling public health or safety
interest.
Narrowly Tailored Orders - This bill provides that the orders, rules, and regulations made, amended, or
rescinded by the Governor must be narrowly tailored to serve a compelling public health or safety interest.
It requires any state or local agency, including the Indiana Department of Health and local boards of health,
to only impose a restriction that is narrowly tailored to serve a compelling public health or safety interest.
It provides that any order or proclamation declaring, continuing, or terminating a local disaster emergency
must be narrowly tailored to serve a compelling public health or safety interest.
Emergency Order - This bill provides that, if the disaster which is the basis of the emergency order impacts
an area of the state which does not exceed the lesser of: (1) 31 counties; or (2) an area which is inhabited by
less than 33 1/3% of the population of the state; the state of emergency expires in 30 days. It provides that
the Governor may renew the emergency declaration in 30 day increments not to exceed a period of 12
months.
General Assembly - This bill provides that all other emergency declarations expire 30 days after the initial
HB 1397 1 date of the Governor's executive order and may not be renewed or extended by the Governor without the
approval of the General Assembly. It also removes the Governor's ability to suspend certain provisions
relating to the General Assembly, judicial relief of an agency action during an emergency declaration, or
provisions relating to emergency management disasters.
Effective Date: Upon passage.
Explanation of State Expenditures: General Assembly: The bill states a disaster declaration by executive
order issued by the Governor expires in 30 days, with exceptions for certain actions, unless renewed by the
General Assembly. If the Governor calls for a special session of the General Assembly to renew an executive
order, it will increase state General Fund expenditures. The cost of a three day special session, inclusive of
per diem and travel reimbursement expenses, is estimated at $73,000 in FY 2025 and $75,000 in FY 2026.
Court Relief: If a state agency is listed as the defendant in a civil suit, the Attorney General would likely
defend the agency. The Attorney General typically defends the state in suits filed against it; therefore, the
Attorney General would likely be able to handle the additional caseload within existing resources.
Explanation of State Revenues: Court Relief: 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: Court Relief: If additional civil cases are brought against local
governmental agencies, the local unit may require additional legal representation which would likely increase
local expenditures depending on the hourly rate charged and the number of hours their counsel accrues to
represent the agency.
Explanation of Local Revenues: Court Relief: If additional cases occur, revenue will be collected by certain
local units. If the case is filed in a court of record, the county will receive $32 and qualifying municipalities
will receive a share of $3. If the case is filed in a municipal court, the county receives $20, and the
municipality will receive $37. The following linked document describes the fees and distribution of the
revenue: Court fees imposed in civil, probate, and small claims cases.
State Agencies Affected: All.
Local Agencies Affected: All.
Information Sources: Indiana Supreme Court, Indiana Trial Court Fee Manual.
Fiscal Analyst: Jason Barrett, 317-232-9809.
HB 1397 2