LEGISLATIVE SERVICES AGENCY OFFICE OF FISCAL AND MANAGEMENT ANALYSIS FISCAL IMPACT STATEMENT LS 7003 NOTE PREPARED: Mar 27, 2025 BILL NUMBER: HB 1389 BILL AMENDED: Mar 27, 2025 SUBJECT: Local Regulation. FIRST AUTHOR: Rep. Pressel BILL STATUS: CR Adopted - 2 nd House FIRST SPONSOR: Sen. Doriot FUNDS AFFECTED: GENERAL IMPACT: Local DEDICATED FEDERAL Summary of Legislation: Fuel Source– The bill prohibits, subject to specified exceptions, a county, municipality, township, neighborhood or homeowners association from adopting or enforcing an ordinance, order, regulation, resolution, policy, or similar measure that: (1) prohibits or restricts the use, sale, or lease of a motor vehicle or outdoor equipment; (2) distinguishes between motor vehicles or outdoor equipment; or (3) results in differing regulatory standards for motor vehicles or outdoor equipment; based on the fuel source that powers the motor vehicle or outdoor equipment. Ordinances– The bill requires political subdivisions located within five miles of the end of a runway of a publicly owned, public use airport to adopt an airspace overlay zoning ordinance. Effective Date: July 1, 2025. Explanation of State Expenditures: Explanation of State Revenues: Explanation of Local Expenditures: Fuel Source– A local unit with an ordinance, order, regulation, or policy in effect that is in violation would essentially be voided. A local unit would be able to implement the bill’s provisions within existing resources. Ordinances– This provision may increase the workload of affected political subdivision planning commissions to develop and review any plans that would be needed for an airspace overlay zoning ordinance. It is likely political subdivision governing bodies would be able to adopt any required ordinances as a routine order of business. Explanation of Local Revenues: State Agencies Affected: HB 1389 1 Local Agencies Affected: Local units of government, planning commissions. Information Sources: Fiscal Analyst: Chris Baker, 317-232-9851. HB 1389 2