Introduced Version
HOUSE BILL No. 1190
_____
DIGEST OF INTRODUCED BILL
Citations Affected: IC 14-8-2; IC 14-25-17.
Synopsis: Water quality. Establishes the water protection and
restoration trust fund (fund). Provides that the state comptroller shall
transfer each year to the fund from the money appropriated to certain
state agencies an amount equal to $1,660,000. Establishes the water
quality board (board) to manage and develop the fund. Sets out the
membership, terms, and compensation of the board. Provides that the
board shall establish a surface water quality financial assistance
program for the purpose of assessing and reducing nutrients that are
negatively affecting surface waters within the state. Makes conforming
changes.
Effective: July 1, 2025.
Abbott
January 8, 2025, read first time and referred to Committee on Natural Resources.
2025 IN 1190—LS 7270/DI 153 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. 1190
A BILL FOR AN ACT to amend the Indiana Code concerning
natural and cultural resources and to make an appropriation.
Be it enacted by the General Assembly of the State of Indiana:
1 SECTION 1. IC 14-8-2-24 IS AMENDED TO READ AS
2 FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 24. "Board" has the
3 following meaning:
4 (1) For purposes of IC 14-25-17, the meaning set forth in
5 IC 14-25-17-1.
6 (1) (2) For purposes of IC 14-27-6, the meaning set forth in
7 IC 14-27-6-2.
8 (2) (3) For purposes of IC 14-32, the soil conservation board
9 established by IC 14-32-2-1.
10 (3) (4) For purposes of IC 14-33, the board of directors of a
11 conservancy district.
12 SECTION 2. IC 14-8-2-107, AS AMENDED BY P.L.127-2022,
13 SECTION 7, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
14 JULY 1, 2025]: Sec. 107. "Fund" has the following meaning:
15 (1) For purposes of IC 14-9-5, the meaning set forth in
16 IC 14-9-5-1.
17 (2) For purposes of IC 14-9-8-21, the meaning set forth in
2025 IN 1190—LS 7270/DI 153 2
1 IC 14-9-8-21.
2 (3) For purposes of IC 14-9-8-21.5, the meaning set forth in
3 IC 14-9-8-21.5.
4 (4) For purposes of IC 14-9-9, the meaning set forth in
5 IC 14-9-9-3.
6 (5) For purposes of IC 14-12-1, the meaning set forth in
7 IC 14-12-1-1.
8 (6) For purposes of IC 14-12-2, the meaning set forth in
9 IC 14-12-2-2.
10 (7) For purposes of IC 14-12-3, the meaning set forth in
11 IC 14-12-3-2.
12 (8) For purposes of IC 14-13-1, the meaning set forth in
13 IC 14-13-1-2.
14 (9) For purposes of IC 14-13-2, the meaning set forth in
15 IC 14-13-2-3.
16 (10) For purposes of IC 14-16-1, the meaning set forth in
17 IC 14-16-1-30.
18 (11) For purposes of IC 14-19-8, the meaning set forth in
19 IC 14-19-8-1.
20 (12) For purposes of IC 14-19-11, the meaning set forth in
21 IC 14-19-11-3.1.
22 (13) For purposes of IC 14-20-11, the meaning set forth in
23 IC 14-20-11-2.
24 (14) For purposes of IC 14-22-3, the meaning set forth in
25 IC 14-22-3-1.
26 (15) For purposes of IC 14-22-4, the meaning set forth in
27 IC 14-22-4-1.
28 (16) For purposes of IC 14-22-5, the meaning set forth in
29 IC 14-22-5-1.
30 (17) For purposes of IC 14-22-8, the meaning set forth in
31 IC 14-22-8-1.
32 (18) For purposes of IC 14-22-34, the meaning set forth in
33 IC 14-22-34-2.
34 (19) For purposes of IC 14-23-3, the meaning set forth in
35 IC 14-23-3-1.
36 (20) For purposes of IC 14-25-2-4, the meaning set forth in
37 IC 14-25-2-4.
38 (21) For purposes of IC 14-25-10, the meaning set forth in
39 IC 14-25-10-1.
40 (22) For purposes of IC 14-25-17, the meaning set forth in
41 IC 14-25-17-2.
42 (22) (23) For purposes of IC 14-25.5, the meaning set forth in
2025 IN 1190—LS 7270/DI 153 3
1 IC 14-25.5-1-3.
2 (23) (24) For purposes of IC 14-31-2, the meaning set forth in
3 IC 14-31-2-5.
4 (24) (25) For purposes of IC 14-25-12, the meaning set forth in
5 IC 14-25-12-1.
6 (25) (26) For purposes of IC 14-32-8, the meaning set forth in
7 IC 14-32-8-1.
8 (26) (27) For purposes of IC 14-33-14, the meaning set forth in
9 IC 14-33-14-3.
10 (27) (28) For purposes of IC 14-33-21, the meaning set forth in
11 IC 14-33-21-1.
12 (28) (29) For purposes of IC 14-34-6-15, the meaning set forth in
13 IC 14-34-6-15.
14 (29) (30) For purposes of IC 14-34-14, the meaning set forth in
15 IC 14-34-14-1.
16 (30) (31) For purposes of IC 14-34-19-1.3, the meaning set forth
17 in IC 14-34-19-1.3(a).
18 (31) (32) For purposes of IC 14-34-19-1.5, the meaning set forth
19 in IC 14-34-19-1.5(a).
20 (32) (33) For purposes of IC 14-37-10, the meaning set forth in
21 IC 14-37-10-1.
22 SECTION 3. IC 14-25-17 IS ADDED TO THE INDIANA CODE
23 AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
24 JULY 1, 2025]:
25 Chapter 17. Surface Water Protection and Restoration Trust
26 Fund
27 Sec. 1. As used in this chapter, "board" refers to the water
28 quality board established by section 6 of this chapter.
29 Sec. 2. As used in this chapter, "fund" refers to the water
30 protection and restoration trust fund established by section 3 of
31 this chapter.
32 Sec. 3. (a) The water protection and restoration trust fund is
33 established.
34 (b) The fund consists of the following:
35 (1) Appropriations by the general assembly.
36 (2) Donations, gifts, grants, and bequests to the fund.
37 (3) Interest and dividends on assets of the fund.
38 (4) Money transferred to the fund from other funds.
39 (5) Money from any other source deposited in the fund.
40 (c) Notwithstanding any other law, not later than June 30 of
41 each state fiscal year, the state comptroller shall transfer to the
42 fund from the money appropriated to each of the following for the
2025 IN 1190—LS 7270/DI 153 4
1 state fiscal year and that is not otherwise encumbered an amount
2 equal to one million six hundred sixty thousand dollars
3 ($1,660,000) per agency:
4 (1) The department.
5 (2) The department of environmental management.
6 (3) The Indiana state department of agriculture.
7 (4) The office of community and rural affairs.
8 (5) The Indiana destination development corporation.
9 (6) The Indiana economic development corporation.
10 (d) The money in the fund:
11 (1) is continuously appropriated for the purposes of the fund;
12 and
13 (2) shall be used for the protection and restoration of lake and
14 stream water quality.
15 Sec. 4. (a) Subject to the investment policy established under
16 section 12 of this chapter, the treasurer of state shall administer the
17 fund and invest the money in the fund.
18 (b) The expenses of administering the fund and this chapter
19 shall be paid from the fund.
20 (c) The treasurer of state shall invest the money in the fund not
21 currently needed to meet the obligations of the fund in the same
22 manner as other public trust funds are invested. Interest that
23 accrues from these investments shall be deposited in the fund.
24 Sec. 5. Money in the fund at the end of a state fiscal year does
25 not revert to the state general fund or any other fund.
26 Sec. 6. The water quality board is established under the
27 executive branch of state government as a continuing board.
28 Sec. 7. The board consists of the following twelve (12) members:
29 (1) The commissioner of the department of environmental
30 management or the commissioner's designee, who shall serve
31 as the chair.
32 (2) The director or the director's designee.
33 (3) The director of the Indiana state department of
34 agriculture or the director's designee.
35 (4) The director of the office of community and rural affairs
36 or the director's designee.
37 (5) The director of the Indiana destination development
38 corporation or the director's designee.
39 (6) The secretary of commerce or the secretary's designee.
40 (7) Two (2) members appointed by the governor.
41 (8) One (1) member appointed by the president pro tempore
42 of the senate.
2025 IN 1190—LS 7270/DI 153 5
1 (9) One (1) member appointed by the minority leader of the
2 senate.
3 (10) One (1) member appointed by the speaker of the house of
4 representatives.
5 (11) One (1) member appointed by the minority leader of the
6 house of representatives.
7 Members appointed under subdivisions (8) through (11) are
8 nonvoting, advisory members.
9 Sec. 8. The board shall meet at least quarterly at the call of the
10 chair.
11 Sec. 9. Five (5) voting members of the board constitute a
12 quorum. The affirmative vote of five (5) members of the board is
13 necessary for the board to take action.
14 Sec. 10. (a) The term of a board member begins on the later of
15 the following:
16 (1) The day the term of the member whom the individual is
17 appointed to succeed expires.
18 (2) The day the member is appointed.
19 (b) The term of a board member is two (2) years and expires on
20 the later of the following:
21 (1) The day a successor is appointed.
22 (2) June 30 of an odd-numbered year.
23 However, a member serves at the pleasure of the appointing
24 authority.
25 (c) An appointing authority may reappoint a member for a new
26 term.
27 (d) An appointing authority shall appoint an individual to fill a
28 vacancy on the board.
29 Sec. 11. (a) Each member of the board who is not a state
30 employee is entitled to the minimum salary per diem provided by
31 IC 4-10-11-2.1(b). The member is also entitled to reimbursement
32 for traveling expenses as provided under IC 4-13-1-4 and other
33 expenses actually incurred in connection with the member's duties
34 as provided in the state policies and procedures established by the
35 Indiana department of administration and approved by the budget
36 agency.
37 (b) Each member of the board who is a state employee but who
38 is not a member of the general assembly is entitled to
39 reimbursement for traveling expenses as provided under
40 IC 4-13-1-4 and other expenses actually incurred in connection
41 with the member's duties as provided in the state policies and
42 procedures established by the Indiana department of
2025 IN 1190—LS 7270/DI 153 6
1 administration and approved by the budget agency.
2 (c) Each member of the board who is a member of the general
3 assembly is entitled to receive the same per diem, mileage, and
4 travel allowances paid to legislative members of interim study
5 committees established by the legislative council. Per diem,
6 mileage, and travel allowances paid under this subsection shall be
7 paid from appropriations made to the legislative council or the
8 legislative services agency.
9 (d) Per diem and reimbursement expenses under sections (a)
10 and (b) shall be paid from appropriations to the department.
11 Sec. 12. (a) The board shall do the following:
12 (1) Manage and develop the fund and the assets of the fund.
13 (2) Establish a surface water quality financial assistance
14 program for the purpose of assessing and reducing nutrients
15 that are negatively affecting surface waters within the state.
16 (3) Establish a policy to determine annually the maximum
17 total dollar amount that may be expended for each state fiscal
18 year from the fund.
19 (4) Establish a policy for the investment of the assets of the
20 fund. In establishing a policy under this subdivision, the board
21 shall establish adequate long term financial goals for the fund.
22 (5) Acquire money for the fund through the solicitation of
23 private or public donations and other revenue producing
24 activities.
25 (6) Perform other tasks consistent with prudent management
26 and development of the fund.
27 (b) The department shall provide staff support to the board.
28 Sec. 13. (a) The following apply to the surface water quality
29 financial assistance program established under section 12 of this
30 chapter:
31 (1) The program must use an application process to award
32 financial assistance.
33 (2) An application must include the following:
34 (A) An application fee determined by the board.
35 (B) A diagnostic study that will quantify nutrient and
36 sediment loadings of the contaminated surface waters of
37 the waterbody.
38 (C) A comprehensive remediation plan.
39 (D) Any other information required by the board.
40 (3) The board may only award financial assistance if an
41 application displays a substantial likelihood of materially
42 reducing nutrients and sediment that are negatively affecting
2025 IN 1190—LS 7270/DI 153 7
1 the contaminated surface waters of the waterbody.
2 (4) An award of financial assistance is conditioned upon:
3 (A) completion of the surface water restoration project;
4 and
5 (B) periodic progress updates and technical reports to the
6 board.
7 (b) The board shall establish standards for diagnostic studies
8 and comprehensive remediation plans under subsection (a).
9 (c) The board may consult with the department, the department
10 of environmental management, or any other person or entity in
11 establishing and managing the surface water quality financial
12 assistance program.
13 Sec. 14. The board may adopt rules under IC 4-22-2 necessary
14 to carry out the purposes of this chapter.
2025 IN 1190—LS 7270/DI 153