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 7063 NOTE PREPARED: Feb 27, 2024
BILL NUMBER: HB 1417 BILL AMENDED: Feb 27, 2024
SUBJECT: Agricultural Matters.
FIRST AUTHOR: Rep. Baird BILL STATUS: CR Adopted - 2
nd
House
FIRST SPONSOR: Sen. Leising
FUNDS AFFECTED:XGENERAL IMPACT: State & Local
DEDICATED
FEDERAL
Summary of Legislation: (Amended) Economic Impact Study: The bill requires the State Department of
Agriculture (ISDA) to conduct an economic impact study that includes an analysis of the economic value
of every acre of farmland to communities.
Updated Indiana Drainage Handbook: The bill requires the ISDA to oversee and take all actions necessary
to prepare and publish an updated version of the Indiana Drainage Handbook.
Effective Date: July 1, 2024.
Explanation of State Expenditures: (Revised) Updated Indiana Drainage Handbook: Workload and
expenditures will increase for the ISDA to oversee the Indiana Drainage Handbook update and select a
contractor for the project. The expenditures required to complete the update will depend on decisions of the
ISDA, and the final negotiated cost of the contractor.
The bill requires the ISDA to staff the advisory board established by the bill, and requires expenses of the
advisory board to be paid from funds appropriated to the ISDA. The Lieutenant Governor, as the Secretary
of Agriculture and Rural Development by virtue of office, is to appoint members to the new 13-member
advisory board, including a representative of the ISDA, the Department of Natural Resources, and the
Department of Environmental Management. Workload could increase for appointees from those state
agencies.
The bill provides for the appointment of other advisory board members including industry, farming, and
environmental representatives. The advisory board is to meet at least twice to review the work of the
HB 1417 1 contractor. Members of the advisory board who are not state employees are entitled to a $100 per diem and
reimbursement of travel, including mileage of $0.49 per mile (as of June 15, 2022). Costs for advisory board
meetings will depend on the number of meetings held.
Economic Impact Study: The bill would require a one-time increase in workload and possibly expenditures
for the ISDA. The bill requires the ISDA to conduct an economic impact study based on the lost farmland
report required by HEA 1557-2023. The economic impact study must include an analysis of the economic
losses to communities based on every acre of lost farmland. The report is to contain the ISDA’s findings,
recommendations, and recommended legislation, and must be submitted to the Legislative Council not later
than July 1, 2025.
As of December 2023, the ISDA has six vacant full-time positions. It is likely the ISDA could hire or
temporarily reassign existing personnel to research and prepare the required report within existing resource
levels. The ISDA could coordinate with Purdue University for the analysis.
(Revised) Additional Information: A member of the Indiana Drainage Handbook Advisory Board serves until
the update is published and until the Lieutenant Governor declares that the work of the advisory board has
concluded. The first Indiana Drainage Handbook, authorized by SEA 303-1995, was appropriated $50,000
for the project.
Explanation of State Revenues:
Explanation of Local Expenditures: (Revised) Updated Indiana Drainage Handbook: Appointed members
to the advisory board include a county surveyor, a county commissioner, and a representative of a soil and
water conservation district. Workload could increase for those appointees.
Explanation of Local Revenues:
State Agencies Affected: State Department of Agriculture; Department of Environmental Management;
Department of Natural Resources; Lieutenant Governor.
Local Agencies Affected: Appointed county surveyor, county commissioner, and representative of a soil
and water conservation district.
Information Sources: State Staffing Data Report, December 12, 2023;
https://www.in.gov/isda/files/2023-annual-report-.pdf;
https://ag.purdue.edu/commercialag/home/purdue-agricultural-economics-report/;
https://iga.in.gov/legislative/2023/bills/house/1557/detail;
https://www.in.gov/dnr/water/files/allhbook.pdf;
https://www.in.gov/idoa/state-purchasing/travel-services/.
Fiscal Analyst: Heather Puletz, 317-234-9484.
HB 1417 2