Introduced Version HOUSE BILL No. 1173 _____ DIGEST OF INTRODUCED BILL Citations Affected: IC 21-39-8-11.5; IC 21-39.5-3-3; IC 34-30-2.1-293.5. Synopsis: Ban on university practices. Provides that a state educational institution may not investigate, threaten disciplinary action regarding, punish, or solicit the reporting of certain student speech. Provides that the race, color, or ethnicity of a student or applicant of a postsecondary educational institution may not be used in certain decision making processes or provided to specified individuals, and establishes a cause of action for a violation of these provisions. Effective: July 1, 2025. Teshka, Carbaugh, McGuire January 8, 2025, read first time and referred to Committee on Education. 2025 IN 1173—LS 6713/DI 152 Introduced First Regular Session of the 124th General Assembly (2025) PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in this style type. Additions: Whenever a new statutory provision is being enacted (or a new constitutional provision adopted), the text of the new provision will appear in this style type. Also, the word NEW will appear in that style type in the introductory clause of each SECTION that adds a new provision to the Indiana Code or the Indiana Constitution. Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts between statutes enacted by the 2024 Regular Session of the General Assembly. HOUSE BILL No. 1173 A BILL FOR AN ACT to amend the Indiana Code concerning higher education. Be it enacted by the General Assembly of the State of Indiana: 1 SECTION 1. IC 21-39-8-11.5 IS ADDED TO THE INDIANA 2 CODE AS A NEW SECTION TO READ AS FOLLOWS 3 [EFFECTIVE JULY 1, 2025]: Sec. 11.5. (a) Except as otherwise 4 provided in this chapter or in subsection (b), a state educational 5 institution shall not do any of the following: 6 (1) Investigate, threaten disciplinary action regarding, or 7 otherwise punish a student's speech, conduct, or expression 8 concerning: 9 (A) disagreements of political opinion; 10 (B) political beliefs or affiliations; or 11 (C) perceived bias, prejudice, stereotypes, or intolerance; 12 if the speech, conduct, or expression is protected under the 13 First Amendment to the Constitution of the United States or 14 Article 1, Section 9 of the Constitution of the State of Indiana. 15 (2) Solicit the reporting of a student's speech, conduct, or 16 expression described in subdivision (1). 17 (b) Nothing in this section shall be construed to prevent a state 2025 IN 1173—LS 6713/DI 152 2 1 educational institution from investigating, threatening disciplinary 2 action regarding, punishing, or soliciting the reporting of the 3 following: 4 (1) Illegal activity or potentially illegal activity. 5 (2) An incident in which a student's speech was restricted. 6 (3) A violation or potential violation of state or federal law. 7 (4) Speech that is not protected under the First Amendment 8 of the Constitution of the United States or Article 1, Section 9 9 of the Constitution of the State of Indiana. 10 SECTION 2. IC 21-39.5-3-3 IS ADDED TO THE INDIANA CODE 11 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 12 1, 2025]: Sec. 3. (a) A person may not be: 13 (1) excluded from participation in; 14 (2) denied the benefits of; or 15 (3) subject to discrimination under; 16 any postsecondary educational institution program or activity, 17 including affirmative action, on the ground of race, color, or 18 ethnicity. 19 (b) A postsecondary educational institution may not use, for any 20 purpose, an applicant's race, color, or ethnicity to make decisions 21 concerning the applicant's admission, scholarship, or financial aid. 22 The use of aggregated data concerning the race, color, or ethnicity 23 of applicants or students to make any decision concerning an 24 applicant's admission, scholarship, or financial aid is prohibited. 25 (c) A postsecondary educational institution may not provide or 26 reveal any data concerning the race, color, or ethnicity of an 27 applicant or student to an admissions officer or a financial aid 28 officer before decisions concerning admission, financial aid, 29 scholarship, and funding are made final. 30 (d) An admissions officer or a financial aid officer may not 31 intentionally acquire, by any means, any data concerning the race, 32 color, or ethnicity of an applicant or student before any decisions 33 concerning admission, financial aid, scholarship, and funding are 34 made final. 35 (e) Except as provided in subsection (f), any applicant or student 36 may bring an action against a postsecondary educational 37 institution, or an employee or agent of a postsecondary educational 38 institution, for a violation of this section. If the court in an action 39 under this section finds that a postsecondary educational 40 institution has violated this section, the court may award the 41 following: 42 (1) Injunctive relief. 2025 IN 1173—LS 6713/DI 152 3 1 (2) Actual or compensatory damages. 2 (3) Punitive damages. 3 (4) Liquidated damages of not more than four thousand 4 dollars ($4,000). 5 (f) An employee or agent of a postsecondary educational 6 institution described in subsection (e) shall not be personally liable 7 for a violation of this section if the employee or agent was acting at 8 the direction of the institution or a superior. 9 SECTION 3. IC 34-30-2.1-293.5 IS ADDED TO THE INDIANA 10 CODE AS A NEW SECTION TO READ AS FOLLOWS 11 [EFFECTIVE JULY 1, 2025]: Sec. 293.5. IC 21-39.5-3-3 (Concerning 12 actions of an employee or agent of a postsecondary educational 13 institution). 2025 IN 1173—LS 6713/DI 152