IN
Indiana Senate Bill SB0295

Indiana 2024 Regular Session

Indiana Senate Bill SB0295 Compare Versions

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1-*SB0295.1*
2-January 26, 2024
1+
2+Introduced Version
33 SENATE BILL No. 295
44 _____
5-DIGEST OF SB 295 (Updated January 25, 2024 12:04 pm - DI 119)
6-Citations Affected: IC 5-28; IC 36-7.
5+DIGEST OF INTRODUCED BILL
6+Citations Affected: IC 5-28; IC 36-7-32.5-12.
77 Synopsis: Indiana economic development corporation. Provides for
8-appointment to the board of the Indiana economic development
9-corporation (IEDC) of two nonvoting, advisory members who are
8+the appointment of two nonvoting, advisory members to the board of
9+the Indiana economic development corporation (IEDC) who are
1010 members of the general assembly. Requires the IEDC, before
1111 purchasing land in a county that exceeds 100 acres, to first give notice
1212 to the county or municipality, or both, in which the land is located not
1313 later than 30 days before the closing date for the purchase. Provides
14-that a school corporation that receives a transfer of incremental
15-property tax revenue from a local innovation development district fund
16-may use those funds with no restrictions or specified uses.
14+that a school corporation that receives a portion of the aggregate
15+percentage of incremental property tax revenue transferred may use
16+those funds with no restrictions or specified uses.
1717 Effective: July 1, 2024.
18-Buchanan, Charbonneau, Deery,
19-Gaskill, Rogers
18+Buchanan
2019 January 16, 2024, read first time and referred to Committee on Commerce and Technology.
21-January 25, 2024, amended, reported favorably — Do Pass.
22-SB 295—LS 7020/DI 120 January 26, 2024
20+2024 IN 295—LS 7020/DI 120 Introduced
2321 Second Regular Session of the 123rd General Assembly (2024)
2422 PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
2523 Constitution) is being amended, the text of the existing provision will appear in this style type,
2624 additions will appear in this style type, and deletions will appear in this style type.
2725 Additions: Whenever a new statutory provision is being enacted (or a new constitutional
2826 provision adopted), the text of the new provision will appear in this style type. Also, the
2927 word NEW will appear in that style type in the introductory clause of each SECTION that adds
3028 a new provision to the Indiana Code or the Indiana Constitution.
3129 Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
3230 between statutes enacted by the 2023 Regular Session of the General Assembly.
3331 SENATE BILL No. 295
3432 A BILL FOR AN ACT to amend the Indiana Code concerning state
3533 and local administration.
3634 Be it enacted by the General Assembly of the State of Indiana:
3735 1 SECTION 1. IC 5-28-4-2, AS AMENDED BY P.L.237-2017,
3836 2 SECTION 15, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
3937 3 JULY 1, 2024]: Sec. 2. (a) The board is composed of the following
4038 4 members: none of whom may be members of the general assembly:
4139 5 (1) The governor.
4240 6 (2) Eleven (11) individuals appointed by the governor.
4341 7 (3) The members (if any) appointed by the governor under
4442 8 subsection (c).
4543 9 (4) Two (2) nonvoting, advisory members who are members
4644 10 of the general assembly appointed under subsection (d).
4745 11 The individuals appointed under subdivision (2) and the individuals
4846 12 appointed under subsection (c) must be employed in or retired from the
4947 13 private or nonprofit sector or academia and may not be members of
5048 14 the general assembly.
5149 15 (b) When making appointments under subsection (a)(2), the
5250 16 governor shall appoint the following:
5351 17 (1) At least five (5) members belonging to the same political party
54-SB 295—LS 7020/DI 120 2
52+2024 IN 295—LS 7020/DI 120 2
5553 1 as the governor.
5654 2 (2) At least three (3) members who belong to a major political
5755 3 party (as defined in IC 3-5-2-30) other than the party of which the
5856 4 governor is a member.
5957 5 (c) In addition to the members appointed under subsection (a)(2),
6058 6 the governor may appoint not more than three (3) additional members
6159 7 to the board. If the governor appoints more than one (1) additional
6260 8 member to the board under this subsection, at least one (1) of the
6361 9 additional members must belong to a major political party (as defined
6462 10 in IC 3-5-2-30) other than the party of which the governor is a member.
65-11 (d) The members described in subsection (a)(4) are appointed as
66-12 follows:
67-13 (1) The speaker of the house of representatives shall appoint
68-14 one (1) individual who is a member of the house of
69-15 representatives.
70-16 (2) The president pro tempore of the senate shall appoint one
71-17 (1) individual who is a member of the senate.
72-18 (e) The following apply to the members appointed under
73-19 subsection (d):
74-20 (1) A member appointed under subsection (d):
75-21 (A) serves at the pleasure of the member's appointing
76-22 authority; and
77-23 (B) may be reappointed to successive terms.
78-24 (2) A vacancy in an appointment under subsection (d)(1) shall
79-25 be filled by the speaker of the house of representatives.
80-26 (3) A vacancy in an appointment under subsection (d)(2) shall
81-27 be filled by the president pro tempore of the senate.
82-28 (4) An individual appointed to fill a vacancy in an
83-29 appointment under subsection (d) serves for the unexpired
84-30 term of the individual's predecessor.
85-31 SECTION 2. IC 5-28-4-3, AS AMENDED BY P.L.237-2017,
86-32 SECTION 16, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
87-33 JULY 1, 2024]: Sec. 3. (a) Except as provided in subsection (d), the
88-34 term of office of an appointed member of the board is four (4) years.
89-35 (b) Each member appointed under section 2(a)(2) or 2(c) of this
90-36 chapter holds office for the term of appointment and continues to serve
91-37 after expiration of the appointment until a successor is appointed and
92-38 qualified. A member is eligible for reappointment.
93-39 (c) Members of the board appointed under section 2(a)(2) or 2(c) of
94-40 this chapter serve at the pleasure of the governor.
95-41 (d) This subsection applies to a member of the board appointed
96-42 under section 2(d) of this chapter. The initial term of a member is
97-SB 295—LS 7020/DI 120 3
98-1 one (1) year and expires June 30, 2025. The term of a member
99-2 appointed thereafter is two (2) years and expires June 30 of the
100-3 odd-numbered year.
101-4 SECTION 3. IC 5-28-4-5, AS ADDED BY P.L.4-2005, SECTION
102-5 34, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1,
103-6 2024]: Sec. 5. (a) The members of the board who are not members of
104-7 the general assembly:
105-8 (1) are entitled to a salary per diem for attending meetings equal
106-9 to the per diem provided by law for members of the general
107-10 assembly; The members of the board and
108-11 (2) are also entitled to receive reimbursement for traveling
109-12 expenses as provided under IC 4-13-1-4 and other expenses
110-13 actually incurred in connection with the members' duties as
111-14 approved by the budget agency.
112-15 (b) Each member of the board who is a member of the general
113-16 assembly is entitled to receive the same per diem, mileage, and
114-17 travel allowances paid to legislative members of interim study
115-18 committees established by the legislative council. Per diem,
116-19 mileage, and travel allowances paid under this subsection shall be
117-20 paid from appropriations made to the legislative council or the
118-21 legislative services agency.
119-22 SECTION 4. IC 5-28-4-6, AS AMENDED BY P.L.237-2017,
120-23 SECTION 17, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
121-24 JULY 1, 2024]: Sec. 6. (a) The following constitutes a quorum for the
122-25 transaction of business by the board of the corporation:
123-26 (1) Seven (7) voting members of the board, if:
124-27 (A) no additional members are appointed under section 2(c) of
125-28 this chapter; or
126-29 (B) one (1) additional member is appointed under section 2(c)
127-30 of this chapter.
128-31 (2) Eight (8) voting members of the board, if either two (2) or
129-32 three (3) additional members are appointed under section 2(c) of
130-33 this chapter.
131-34 (b) The following number of affirmative votes is necessary for
132-35 action to be taken by the board:
133-36 (1) The affirmative vote of at least seven (7) members, if:
134-37 (A) no additional members are appointed under section 2(c) of
135-38 this chapter; or
136-39 (B) one (1) additional member is appointed under section 2(c)
137-40 of this chapter.
138-41 (2) The affirmative vote of at least eight (8) members, if either
139-42 two (2) or three (3) additional members are appointed under
140-SB 295—LS 7020/DI 120 4
141-1 section 2(c) of this chapter.
142-2 (c) Members of the board may not vote by proxy.
143-3 SECTION 5. IC 5-28-5-2, AS ADDED BY P.L.4-2005, SECTION
144-4 34, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1,
145-5 2024]: Sec. 2. (a) Subject to subsection (b), the corporation is granted
146-6 all powers necessary or appropriate to carry out the corporation's public
147-7 and corporate purposes under this chapter.
148-8 (b) Before the corporation may purchase land in a county that
149-9 in total exceeds one hundred (100) acres whether acquired in one
150-10 (1) or a series of transactions, the corporation must first give notice
151-11 to the county or municipality, or both, in which the land is located
152-12 not later than thirty (30) days before the closing date for the
153-13 purchase or purchases.
154-14 SECTION 6. IC 36-7-32.5-12, AS ADDED BY P.L.135-2022,
155-15 SECTION 28, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
156-16 JULY 1, 2024]: Sec. 12. (a) If the total costs and benefits of the
157-17 proposed investment of an innovation development district are
158-18 expected to be an amount less than two billion dollars
159-19 ($2,000,000,000), the following apply:
160-20 (1) The executive, or, if applicable, the executives, and the
161-21 corporation shall enter into an agreement establishing the terms
162-22 and conditions governing the innovation development district in
163-23 accordance with this section.
164-24 (2) If the executive, or, if applicable, the executives, and the
165-25 corporation cannot enter into an agreement under subdivision (1),
166-26 the designation of territory under section 9 of this chapter is no
167-27 longer effective and the innovation development district may not
168-28 be designated or otherwise established under this chapter.
169-29 (b) The agreement must include the following provisions:
170-30 (1) A description of the area, including a list of all parcels to be
171-31 included within the innovation development district.
172-32 (2) Covenants and restrictions, if any, upon all or a part of the
173-33 properties contained within the innovation development district
174-34 and terms of enforcement of any covenants or restrictions.
175-35 (3) The due diligence and financial commitments of any party to
176-36 the agreement and of any owner or developer of property within
177-37 the innovation development district.
178-38 (4) The financial projections of the innovation development
179-39 district.
180-40 (5) The proposed use of the:
181-41 (A) net increment; and
182-42 (B) incremental property tax amount described in section 14(c)
183-SB 295—LS 7020/DI 120 5
184-1 of this chapter;
185-2 that is captured within the innovation development district.
186-3 (6) The aggregate percentage of annual incremental property tax
187-4 revenue that will be transferred to the city, town, county, or school
188-5 corporation, or, if applicable, the cities, towns, counties, or school
189-6 corporations, under section 19(e) of this chapter. The aggregate
190-7 percentage transferred may not be less than twelve percent (12%)
191-8 of the annual amount of incremental property tax revenue
192-9 deposited in the local innovation development district fund
193-10 established by section 19 of this chapter. A school corporation
194-11 that receives a portion of the aggregate percentage of
195-12 incremental property tax revenue transferred under this
196-13 chapter may use those funds with no restrictions or specified
197-14 uses.
198-15 (7) Subject to the limitations of this chapter, the duration of the
199-16 designation of an area as an innovation development district.
200-17 (8) The terms of enforcement of the agreement, which may
201-18 include the definition of events of default, cure periods, legal and
202-19 equitable remedies and rights, and penalties and damages, actual
203-20 or liquidated, upon the occurrence of an event of default.
204-21 (9) The public facilities to be developed for the innovation
205-22 development district and the estimated costs of those public
206-23 facilities.
207-24 (c) An executive may discuss the terms of the agreement described
208-25 in this section and hold a meeting as an executive session under
209-26 IC 5-14-1.5-6.1 with:
210-27 (1) in the case of a city other than a consolidated city, the
211-28 common council;
212-29 (2) in the case of a consolidated city, or a county having a
213-30 consolidated city, the city-county council;
214-31 (3) in the case of a town, the town council; and
215-32 (4) in the case of a county that does not have a consolidated city,
216-33 the board of county commissioners.
217-34 (d) Within fifteen (15) days of entering into an agreement under
218-35 subsection (a), the corporation shall submit a written report on the
219-36 agreement to the budget committee.
220-37 (e) Neither an executive nor the corporation may exercise the power
221-38 of eminent domain within an innovation development district.
222-SB 295—LS 7020/DI 120 6
223-COMMITTEE REPORT
224-Madam President: The Senate Committee on Commerce and
225-Technology, to which was referred Senate Bill No. 295, has had the
226-same under consideration and begs leave to report the same back to the
227-Senate with the recommendation that said bill be AMENDED as
228-follows:
229-Page 2, delete lines 11 through 27, begin a new paragraph and
230-insert:
231-"(d) The members described in subsection (a)(4) are appointed
232-as follows:
233-(1) The speaker of the house of representatives shall appoint
234-one (1) individual who is a member of the house of
235-representatives.
236-(2) The president pro tempore of the senate shall appoint one
237-(1) individual who is a member of the senate.
238-(e) The following apply to the members appointed under
239-subsection (d):
240-(1) A member appointed under subsection (d):
241-(A) serves at the pleasure of the member's appointing
242-authority; and
243-(B) may be reappointed to successive terms.
244-(2) A vacancy in an appointment under subsection (d)(1) shall
245-be filled by the speaker of the house of representatives.
246-(3) A vacancy in an appointment under subsection (d)(2) shall
247-be filled by the president pro tempore of the senate.
248-(4) An individual appointed to fill a vacancy in an
249-appointment under subsection (d) serves for the unexpired
250-term of the individual's predecessor.".
251-Page 3, delete lines 1 through 14, begin a new paragraph and insert:
252-"SECTION 3. IC 5-28-4-5, AS ADDED BY P.L.4-2005, SECTION
253-34, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1,
254-2024]: Sec. 5. (a) The members of the board who are not members of
255-the general assembly:
256-(1) are entitled to a salary per diem for attending meetings equal
257-to the per diem provided by law for members of the general
258-assembly; The members of the board and
259-(2) are also entitled to receive reimbursement for traveling
260-expenses as provided under IC 4-13-1-4 and other expenses
261-actually incurred in connection with the members' duties as
262-approved by the budget agency.
263-(b) Each member of the board who is a member of the general
264-assembly is entitled to receive the same per diem, mileage, and
265-SB 295—LS 7020/DI 120 7
266-travel allowances paid to legislative members of interim study
267-committees established by the legislative council. Per diem,
268-mileage, and travel allowances paid under this subsection shall be
269-paid from appropriations made to the legislative council or the
270-legislative services agency.
271-SECTION 4. IC 5-28-4-6, AS AMENDED BY P.L.237-2017,
272-SECTION 17, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
273-JULY 1, 2024]: Sec. 6. (a) The following constitutes a quorum for the
274-transaction of business by the board of the corporation:
275-(1) Seven (7) voting members of the board, if:
276-(A) no additional members are appointed under section 2(c) of
277-this chapter; or
278-(B) one (1) additional member is appointed under section 2(c)
279-of this chapter.
280-(2) Eight (8) voting members of the board, if either two (2) or
281-three (3) additional members are appointed under section 2(c) of
282-this chapter.
283-(b) The following number of affirmative votes is necessary for
284-action to be taken by the board:
285-(1) The affirmative vote of at least seven (7) members, if:
286-(A) no additional members are appointed under section 2(c) of
287-this chapter; or
288-(B) one (1) additional member is appointed under section 2(c)
289-of this chapter.
290-(2) The affirmative vote of at least eight (8) members, if either
291-two (2) or three (3) additional members are appointed under
292-section 2(c) of this chapter.
293-(c) Members of the board may not vote by proxy.".
294-Renumber all SECTIONS consecutively.
295-and when so amended that said bill do pass.
296-(Reference is to SB 295 as introduced.)
297-BUCHANAN, Chairperson
298-Committee Vote: Yeas 10, Nays 0.
299-SB 295—LS 7020/DI 120
63+11 (d) The following apply:
64+12 (1) The speaker of the house of representatives shall appoint
65+13 one (1) individual who is a member of the house of
66+14 representatives to the board.
67+15 (2) The president pro tempore of the senate shall appoint one
68+16 (1) individual who is a member of the senate to the board.
69+17 (3) The members appointed under this subsection are
70+18 nonvoting, advisory members of the board.
71+19 (4) A vacancy of an appointment under subdivision (1) shall
72+20 be filled by the speaker of the house of representatives.
73+21 (5) A vacancy of an appointment under subdivision (2) shall
74+22 be filled by the president pro tempore of the senate.
75+23 (6) An individual appointed to fill a vacancy under this
76+24 subsection serves the unexpired term of the individual's
77+25 predecessor.
78+26 (7) An individual appointed under this subsection may be
79+27 reappointed to successive terms.
80+28 SECTION 2. IC 5-28-4-3, AS AMENDED BY P.L.237-2017,
81+29 SECTION 16, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
82+30 JULY 1, 2024]: Sec. 3. (a) Except as provided in subsection (d), the
83+31 term of office of an appointed member of the board is four (4) years.
84+32 (b) Each member appointed under section 2(a)(2) or 2(c) of this
85+33 chapter holds office for the term of appointment and continues to serve
86+34 after expiration of the appointment until a successor is appointed and
87+35 qualified. A member is eligible for reappointment.
88+36 (c) Members of the board appointed under section 2(a)(2) or 2(c) of
89+37 this chapter serve at the pleasure of the governor.
90+38 (d) This subsection applies to a member of the board appointed
91+39 under section 2(d) of this chapter. The initial term of a member is
92+40 one (1) year and expires June 30, 2025. The term of a member
93+41 appointed thereafter is two (2) years and expires June 30 of the
94+42 odd-numbered year.
95+2024 IN 295—LS 7020/DI 120 3
96+1 SECTION 3. IC 5-28-4-5, AS ADDED BY P.L.4-2005, SECTION
97+2 34, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1,
98+3 2024]: Sec. 5. The members of the board are entitled to a salary per
99+4 diem for attending meetings equal to the per diem provided by law for
100+5 members of the general assembly. The members of the board are also
101+6 entitled to receive reimbursement for traveling expenses as provided
102+7 under IC 4-13-1-4 and other expenses actually incurred in connection
103+8 with the members' duties:
104+9 (1) as approved by the budget agency, in the case of members of
105+10 the board appointed under section 2(a)(2) or 2(c) of this
106+11 chapter; and
107+12 (2) paid from the appropriation made to the legislative council
108+13 or the legislative services agency, in the case of members of
109+14 the board appointed under section 2(d) of this chapter.
110+15 SECTION 4. IC 5-28-5-2, AS ADDED BY P.L.4-2005, SECTION
111+16 34, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1,
112+17 2024]: Sec. 2. (a) Subject to subsection (b), the corporation is granted
113+18 all powers necessary or appropriate to carry out the corporation's public
114+19 and corporate purposes under this chapter.
115+20 (b) Before the corporation may purchase land in a county that
116+21 in total exceeds one hundred (100) acres whether acquired in one
117+22 (1) or a series of transactions, the corporation must first give notice
118+23 to the county or municipality, or both, in which the land is located
119+24 not later than thirty (30) days before the closing date for the
120+25 purchase or purchases.
121+26 SECTION 5. IC 36-7-32.5-12, AS ADDED BY P.L.135-2022,
122+27 SECTION 28, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
123+28 JULY 1, 2024]: Sec. 12. (a) If the total costs and benefits of the
124+29 proposed investment of an innovation development district are
125+30 expected to be an amount less than two billion dollars
126+31 ($2,000,000,000), the following apply:
127+32 (1) The executive, or, if applicable, the executives, and the
128+33 corporation shall enter into an agreement establishing the terms
129+34 and conditions governing the innovation development district in
130+35 accordance with this section.
131+36 (2) If the executive, or, if applicable, the executives, and the
132+37 corporation cannot enter into an agreement under subdivision (1),
133+38 the designation of territory under section 9 of this chapter is no
134+39 longer effective and the innovation development district may not
135+40 be designated or otherwise established under this chapter.
136+41 (b) The agreement must include the following provisions:
137+42 (1) A description of the area, including a list of all parcels to be
138+2024 IN 295—LS 7020/DI 120 4
139+1 included within the innovation development district.
140+2 (2) Covenants and restrictions, if any, upon all or a part of the
141+3 properties contained within the innovation development district
142+4 and terms of enforcement of any covenants or restrictions.
143+5 (3) The due diligence and financial commitments of any party to
144+6 the agreement and of any owner or developer of property within
145+7 the innovation development district.
146+8 (4) The financial projections of the innovation development
147+9 district.
148+10 (5) The proposed use of the:
149+11 (A) net increment; and
150+12 (B) incremental property tax amount described in section 14(c)
151+13 of this chapter;
152+14 that is captured within the innovation development district.
153+15 (6) The aggregate percentage of annual incremental property tax
154+16 revenue that will be transferred to the city, town, county, or school
155+17 corporation, or, if applicable, the cities, towns, counties, or school
156+18 corporations, under section 19(e) of this chapter. The aggregate
157+19 percentage transferred may not be less than twelve percent (12%)
158+20 of the annual amount of incremental property tax revenue
159+21 deposited in the local innovation development district fund
160+22 established by section 19 of this chapter. A school corporation
161+23 that receives a portion of the aggregate percentage of
162+24 incremental property tax revenue transferred under this
163+25 chapter may use those funds with no restrictions or specified
164+26 uses.
165+27 (7) Subject to the limitations of this chapter, the duration of the
166+28 designation of an area as an innovation development district.
167+29 (8) The terms of enforcement of the agreement, which may
168+30 include the definition of events of default, cure periods, legal and
169+31 equitable remedies and rights, and penalties and damages, actual
170+32 or liquidated, upon the occurrence of an event of default.
171+33 (9) The public facilities to be developed for the innovation
172+34 development district and the estimated costs of those public
173+35 facilities.
174+36 (c) An executive may discuss the terms of the agreement described
175+37 in this section and hold a meeting as an executive session under
176+38 IC 5-14-1.5-6.1 with:
177+39 (1) in the case of a city other than a consolidated city, the
178+40 common council;
179+41 (2) in the case of a consolidated city, or a county having a
180+42 consolidated city, the city-county council;
181+2024 IN 295—LS 7020/DI 120 5
182+1 (3) in the case of a town, the town council; and
183+2 (4) in the case of a county that does not have a consolidated city,
184+3 the board of county commissioners.
185+4 (d) Within fifteen (15) days of entering into an agreement under
186+5 subsection (a), the corporation shall submit a written report on the
187+6 agreement to the budget committee.
188+7 (e) Neither an executive nor the corporation may exercise the power
189+8 of eminent domain within an innovation development district.
190+2024 IN 295—LS 7020/DI 120