Introduced Version
HOUSE BILL No. 1269
_____
DIGEST OF INTRODUCED BILL
Citations Affected: IC 5-28.
Synopsis: Indiana economic development corporation. Provides for
appointment to the board of the Indiana economic development
corporation (IEDC) of two nonvoting, advisory members who are
members of the general assembly. Requires the IEDC, before
purchasing land that exceeds 100 acres in a county, to first give notice
to the county or municipality, or both, in which the land is located not
later than 30 days before the closing date for the purchase. Specifies
additional procedures that the IEDC must take when acquiring land.
Requires the IEDC to establish a mechanism to track the impacts of
economic development projects based on: (1) wages paid to employees;
and (2) financial impacts to local governments. Sets forth the
information required to be reported on the tracking mechanism, which
must be updated quarterly and posted quarterly on the IEDC's
transparency portal. Requires the IEDC to provide an annual report of
the information reported on the tracking mechanism and other
information related to economic development to the general assembly.
Requires the IEDC to dedicate at least 5% of the funds appropriated to
the IEDC for economic development purposes in state fiscal years 2026
and 2027 for economic development projects located in communities
that meet specified criteria.
Effective: Upon passage; July 1, 2025.
Commons, Greene, Shonkwiler,
Haggard
January 13, 2025, read first time and referred to Committee on Government and Regulatory
Reform.
2025 IN 1269—LS 6670/DI 129 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. 1269
A BILL FOR AN ACT to amend the Indiana Code concerning state
and local administration.
Be it enacted by the General Assembly of the State of Indiana:
1 SECTION 1. IC 5-28-4-2, AS AMENDED BY P.L.237-2017,
2 SECTION 15, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
3 UPON PASSAGE]: Sec. 2. (a) The board is composed of the following
4 members: none of whom may be members of the general assembly:
5 (1) The governor.
6 (2) Eleven (11) individuals appointed by the governor.
7 (3) The members (if any) appointed by the governor under
8 subsection (c).
9 (4) Two (2) nonvoting, advisory members who are members
10 of the general assembly appointed under subsection (d).
11 The individuals appointed under subdivision (2) and the individuals
12 appointed under subsection (c) must be employed in or retired from the
13 private or nonprofit sector or academia and may not be members of
14 the general assembly.
15 (b) When making appointments under subsection (a)(2), the
16 governor shall appoint the following:
17 (1) At least five (5) members belonging to the same political party
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1 as the governor.
2 (2) At least three (3) members who belong to a major political
3 party (as defined in IC 3-5-2-30) other than the party of which the
4 governor is a member.
5 (c) In addition to the members appointed under subsection (a)(2),
6 the governor may appoint not more than three (3) additional members
7 to the board. If the governor appoints more than one (1) additional
8 member to the board under this subsection, at least one (1) of the
9 additional members must belong to a major political party (as defined
10 in IC 3-5-2-30) other than the party of which the governor is a member.
11 (d) The members described in subsection (a)(4) are appointed as
12 follows:
13 (1) The speaker of the house of representatives shall appoint
14 one (1) individual who is a member of the house of
15 representatives.
16 (2) The president pro tempore of the senate shall appoint one
17 (1) individual who is a member of the senate.
18 (e) The following apply to the members appointed under
19 subsection (d):
20 (1) A member appointed under subsection (d):
21 (A) serves at the pleasure of the member's appointing
22 authority; and
23 (B) may be reappointed to successive terms.
24 (2) A vacancy in an appointment under subsection (d)(1) shall
25 be filled by the speaker of the house of representatives.
26 (3) A vacancy in an appointment under subsection (d)(2) shall
27 be filled by the president pro tempore of the senate.
28 (4) An individual appointed to fill a vacancy in an
29 appointment under subsection (d) serves for the unexpired
30 term of the individual's predecessor.
31 SECTION 2. IC 5-28-4-3, AS AMENDED BY P.L.237-2017,
32 SECTION 16, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
33 UPON PASSAGE]: Sec. 3. (a) Except as provided in subsection (d),
34 the term of office of an appointed member of the board is four (4)
35 years.
36 (b) Each member appointed under section 2(a)(2) or 2(c) of this
37 chapter holds office for the term of appointment and continues to serve
38 after expiration of the appointment until a successor is appointed and
39 qualified. A member is eligible for reappointment.
40 (c) Members of the board appointed under section 2(a)(2) or 2(c) of
41 this chapter serve at the pleasure of the governor.
42 (d) This subsection applies to a member of the board appointed
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1 under section 2(d) of this chapter. The term of a member is two (2)
2 years and expires June 30 of the odd-numbered year.
3 SECTION 3. IC 5-28-4-5, AS ADDED BY P.L.4-2005, SECTION
4 34, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON
5 PASSAGE]: Sec. 5. (a) The members of the board who are not
6 members of the general assembly:
7 (1) are entitled to a salary per diem for attending meetings equal
8 to the per diem provided by law for members of the general
9 assembly; The members of the board and
10 (2) are also entitled to receive reimbursement for traveling
11 expenses as provided under IC 4-13-1-4 and other expenses
12 actually incurred in connection with the members' duties as
13 approved by the budget agency.
14 (b) Each member of the board who is a member of the general
15 assembly is entitled to receive the same per diem, mileage, and
16 travel allowances paid to legislative members of interim study
17 committees established by the legislative council. Per diem,
18 mileage, and travel allowances paid under this subsection shall be
19 paid from appropriations made to the legislative council or the
20 legislative services agency.
21 SECTION 4. IC 5-28-4-6, AS AMENDED BY P.L.237-2017,
22 SECTION 17, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
23 UPON PASSAGE]: Sec. 6. (a) The following constitutes a quorum for
24 the transaction of business by the board of the corporation:
25 (1) Seven (7) voting members of the board, if:
26 (A) no additional members are appointed under section 2(c) of
27 this chapter; or
28 (B) one (1) additional member is appointed under section 2(c)
29 of this chapter.
30 (2) Eight (8) voting members of the board, if either two (2) or
31 three (3) additional members are appointed under section 2(c) of
32 this chapter.
33 (b) The following number of affirmative votes is necessary for
34 action to be taken by the board:
35 (1) The affirmative vote of at least seven (7) members, if:
36 (A) no additional members are appointed under section 2(c) of
37 this chapter; or
38 (B) one (1) additional member is appointed under section 2(c)
39 of this chapter.
40 (2) The affirmative vote of at least eight (8) members, if either
41 two (2) or three (3) additional members are appointed under
42 section 2(c) of this chapter.
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1 (c) Members of the board may not vote by proxy.
2 SECTION 5. IC 5-28-5-2, AS ADDED BY P.L.4-2005, SECTION
3 34, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON
4 PASSAGE]: Sec. 2. (a) Subject to subsection (b) and section 2.1 of
5 this chapter, the corporation is granted all powers necessary or
6 appropriate to carry out the corporation's public and corporate purposes
7 under this chapter.
8 (b) Before the corporation may purchase land that in total
9 exceeds one hundred (100) acres in a county, whether acquired in
10 one (1) or a series of transactions, the corporation must first give
11 notice to the county or municipality, or both, in which the land is
12 located not later than thirty (30) days before the closing date for
13 the purchase or purchases.
14 SECTION 6. IC 5-28-5-2.1 IS ADDED TO THE INDIANA CODE
15 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE
16 UPON PASSAGE]: Sec. 2.1. (a) This section applies to any land
17 purchase, including a purchase of land described in section 2(b) of
18 this chapter, made by the corporation.
19 (b) The corporation shall ensure that no land is acquired for a
20 value exceeding its fair market value. Before the corporation
21 acquires land, the corporation shall first have the land appraised
22 by two (2) appraisers. The appraisers may not have a financial
23 interest in the development or the corporation and must be:
24 (1) professionally engaged in making appraisals; and
25 (2) licensed under IC 25-34.1.
26 (c) Subject to IC 5-14-3, the corporation shall make the
27 appraisal reports available to the public upon request within thirty
28 (30) days of the transaction.
29 SECTION 7. IC 5-28-6-11 IS ADDED TO THE INDIANA CODE
30 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE
31 UPON PASSAGE]: Sec. 11. (a) Before November 1, 2025, the
32 corporation shall establish a tracking mechanism that is easily
33 accessible from the corporation's website to monitor the impact of
34 economic development projects on wages paid to employees at
35 those projects and the financial impacts to local governments from
36 those projects.
37 (b) The tracking mechanism established under this section must
38 include the following components and each component must be
39 updated quarterly and posted quarterly on the corporation's
40 transparency portal established under section 2(b)(8) of this
41 chapter:
42 (1) A record of the total public money invested in each
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1 economic development project supported by the corporation.
2 (2) The tracking of wage data for:
3 (A) Indiana residents employed as a result of an economic
4 development project; and
5 (B) Indiana residents employed in other industries that are
6 impacted by the economic development project.
7 (3) Data showing gains in wage growth for employees
8 employed as a result of an economic development project
9 relative to the money invested in the economic development
10 project.
11 (4) Data showing:
12 (A) the impact of each economic development project on
13 the overall financial health of local governments;
14 (B) the impact of each economic development project on
15 the tax burden of individual property taxpayers, including
16 reductions (if any) to the property tax burden for
17 individual property taxpayers; and
18 (C) the impact of each economic development project on
19 local government revenue streams, including efforts by the
20 corporation to offset or reduce the need for higher local
21 property taxes as a result of state investments.
22 (c) Before January 15 of each year, the corporation shall submit
23 an annual report to the general assembly in an electronic format
24 under IC 5-14-6 that contains information corresponding to each
25 component required by subsection (b) for the preceding calendar
26 year. The corporation must also include the following information
27 in the annual report:
28 (1) Total investment amounts made for economic development
29 projects by the state, the corporation, and private entities for
30 the preceding calendar year.
31 (2) The average and median wage changes in communities
32 impacted by investments in economic development projects
33 for the preceding calendar year.
34 (3) An analysis of local tax burden impacts and measures that
35 can be implemented to provide support for local government
36 entities.
37 (4) A summary of findings and recommendations to maximize
38 wage growth and tax relief relative to public investment in
39 economic development projects.
40 SECTION 8. [EFFECTIVE JULY 1, 2025] (a) As used in this
41 SECTION, "corporation" means the Indiana economic
42 development corporation established by IC 5-28-3-1.
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1 (b) As used in this SECTION, "qualified community" means a
2 county with a population of less than fifty thousand (50,000).
3 (c) The corporation shall dedicate at least five percent (5%) of
4 the funds appropriated to the corporation for economic
5 development purposes in the budget bill for the biennium
6 beginning July 1, 2025, and ending June 30, 2027, for economic
7 development projects, including:
8 (1) housing;
9 (2) infrastructure; or
10 (3) other projects or initiatives that enhance quality of life;
11 in qualified communities.
12 (d) This SECTION expires July 1, 2027.
13 SECTION 9. An emergency is declared for this act.
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