Indiana 2025 Regular Session

Indiana House Bill HB1495 Latest Draft

Bill / Introduced Version Filed 01/14/2025

                             
Introduced Version
HOUSE BILL No. 1495
_____
DIGEST OF INTRODUCED BILL
Citations Affected:  IC 2-5-56.5; IC 4-22-2; IC 34-8.
Synopsis:  Review of administrative and judicial rules. Establishes the
administrative rules review committee. Requires: (1) an agency to
submit a rule and the latest version of the regulatory analysis with any
supporting documents; and (2) the supreme court to submit a rule and
any economic impact statement, with supporting documents; to the
office of fiscal management and analysis of the legislative services
agency to estimate the fiscal impact on state and local government.
Provides that if the fiscal impact is estimated to be greater than
$300,000, the rule and supporting documents shall be provided to the
administrative rules review committee for review. Provides that the
rule described may not take effect unless authorized by a bill enacted
by the general assembly.
Effective:  July 1, 2025.
Bascom, Pierce K, Commons,
Ireland
January 21, 2025, read first time and referred to Committee on Judiciary.
2025	IN 1495—LS 7275/DI 106 Introduced
First Regular Session of the 124th General Assembly (2025)
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
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between statutes enacted by the 2024 Regular Session of the General Assembly.
HOUSE BILL No. 1495
A BILL FOR AN ACT to amend the Indiana Code concerning
administrative law.
Be it enacted by the General Assembly of the State of Indiana:
1 SECTION 1. IC 2-5-56.5 IS ADDED TO THE INDIANA CODE
2 AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
3 JULY 1, 2025]:
4 Chapter 56.5. Administrative Rules Review Committee
5 Sec. 1. As used in this chapter, "committee" refers to the
6 administrative rules review committee established by section 4 of
7 this chapter.
8 Sec. 2. As used in this chapter, "rule" has the meaning set forth
9 in IC 4-22-2-3.
10 Sec. 3. (a) The administrative rules review committee is
11 established to serve the general assembly as a continuing
12 committee. Except as otherwise provided by this section, the
13 committee shall operate under the rules of the legislative council.
14 (b) The committee consists of the following twelve (12) members
15 of the general assembly, including the chair and vice chair:
16 (1) Three (3) members appointed by the president pro
17 tempore of the senate.
2025	IN 1495—LS 7275/DI 106 2
1 (2) Three (3) members appointed by the minority leader of the
2 senate.
3 (3) Three (3) members appointed by the speaker of the house
4 of representatives.
5 (4) Three (3) members appointed by the minority leader of the
6 house of representatives.
7 (c) The chairperson of the senate tax and fiscal policy committee
8 is the chair of the committee beginning July 1 of odd-numbered
9 years and vice chair of the committee beginning July 1 of
10 even-numbered years. The chair of the house ways and means
11 committee is the vice chair of the committee beginning July 1 in
12 odd-numbered years and the chair of the committee beginning July
13 1 in even-numbered years.
14 (d) Except as otherwise provided in this chapter, the term of a
15 member of the committee ends on June 30 of the next
16 odd-numbered year following the member's appointment.
17 However, the member may be reappointed to subsequent terms.
18 (e) A member of the committee may be removed at any time by
19 the appointing authority who appointed the member.
20 (f) If a vacancy exists on the committee, the appointing
21 authority who appointed the member whose position has become
22 vacant shall appoint an individual to fill the vacancy. An individual
23 appointed to fill a vacancy serves for the remainder of the term of
24 the vacating member.
25 (g) If a member of the committee ceases to:
26 (1) be a member of the chamber from which the member was
27 appointed; or
28 (2) hold the member's office;
29 the member ceases to be a member of the committee.
30 (h) Each member of the committee is entitled to receive the
31 same per diem, mileage, and travel allowances paid to individuals
32 who serve as legislative and lay members, respectively, of interim
33 study committees established by the legislative council.
34 (i) The committee shall meet at the call of the chair. The
35 committee may meet during the sessions of the general assembly
36 and during the interim periods between sessions (as defined in
37 IC 2-5-1.3-1).
38 (j) Seven (7) members of the committee constitute a quorum.
39 (k) The affirmative vote of a majority of the members appointed
40 to the committee is required for the committee to take action on
41 any measure.
42 (l) The committee shall review rules submitted to the committee
2025	IN 1495—LS 7275/DI 106 3
1 under IC 4-22-2-34.5.
2 (m) All meetings of the committee are open to the public in
3 accordance with and subject to IC 5-14-1.5. All records of the
4 committee are subject to the requirements of IC 5-14-3.
5 (n) The legislative services agency shall staff the committee.
6 (o) All funds necessary to carry out this chapter shall be paid
7 from appropriations to the legislative council and the legislative
8 services agency.
9 SECTION 2. IC 4-22-2-34, AS AMENDED BY P.L.123-2006,
10 SECTION 10, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
11 JULY 1, 2025]: Sec. 34. (a) The governor may approve or disapprove
12 a rule submitted under section 33 of this chapter with or without cause.
13 (b) The governor has fifteen (15) days from the date that an agency
14 submits a rule under section 33 of this chapter to approve or disapprove
15 the rule. However, the governor may take thirty (30) days to approve
16 or disapprove the rule if the governor files a statement with the
17 publisher within the first fifteen (15) days after an agency submits the
18 rule that states that the governor intends to take an additional fifteen
19 (15) days to approve or disapprove the rule. 
20 (c) If the governor neither approves nor disapproves the rule within
21 the allowed period, the rule is deemed approved, and the agency may
22 submit the rule to the publisher under subsection (d) without the
23 approval of the governor.
24 (d) After a rule has been approved or deemed approved under
25 this section, the agency shall submit the rule to the legislative
26 council under section 34.5 of this chapter.
27 SECTION 3. IC 4-22-2-34.5 IS ADDED TO THE INDIANA CODE
28 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
29 1, 2025]: Sec. 34.5. (a) This section applies to a rule subject to
30 sections 23 through 36 of this chapter and if the agency commences
31 a rulemaking action after June 30, 2025, under section 23 of this
32 chapter.
33 (b) After a rule has been approved or deemed approved under
34 section 34 of this chapter, the agency shall submit the rule to the
35 legislative council, in an electronic format under IC 5-14-6. The
36 office of fiscal management and analysis of the legislative services
37 agency shall conduct a fiscal analysis of the rule. The agency shall
38 submit the following for review by the office of fiscal management
39 and analysis:
40 (1) The rule in the form required by section 20 of this chapter.
41 (2) The latest version of the regulatory analysis submitted to
42 the budget agency and the office of management and budget
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1 under section 22.8 of this chapter.
2 (3) Any data, studies, or analyses relied on by the agency to
3 develop the regulatory analysis in the manner specified in
4 section 17.5 of this chapter.
5 (4) Any proposals submitted under IC 13-14-8-2 or
6 IC 13-14-8-5 that are applicable to the rule.
7 (5) Any other:
8 (A) documents or information requested by the legislative
9 council;
10 (B) documents or information required to be submitted to
11 the attorney general or governor with a rule for approval
12 under sections 31 through 34 of this chapter; and
13 (C) documents or information demonstrating approval by
14 the attorney general and governor under sections 31
15 through 34 of this chapter.
16 (c) If, after completing the fiscal analysis described in subsection
17 (b), the office of fiscal management and analysis estimates the fiscal
18 impact on state and local government to be greater than three
19 hundred thousand dollars ($300,000), the office of fiscal
20 management and analysis shall provide the fiscal analysis, the rule,
21 and the supporting documents under this section to the
22 administrative rules review committee for review. A rule subject
23 to review under this subsection may not take effect unless
24 authorized by a bill enacted by the general assembly.
25 (d) A rule subject to review under subsection (c) must be
26 authorized by a bill enacted by the general assembly before the
27 publisher may accept the rule for filing under section 35 of this
28 chapter.
29 SECTION 4. IC 4-22-2-35, AS AMENDED BY P.L.123-2006,
30 SECTION 11, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
31 JULY 1, 2025]: Sec. 35. (a) Except as provided in subsection (d) and
32 subject to section 34.5 of this chapter, when a rule has been approved
33 or deemed approved by the governor within the period allowed by
34 section 25 of this chapter, the agency shall immediately submit the rule
35 to the publisher for filing. The agency shall submit the rule in the form
36 required by section 20 of this chapter and with the documents required
37 by section 21 of this chapter.
38 (b) The agency shall submit to the publisher the copies of the rule
39 and other documents specified in section 31 of this chapter.
40 (c) Subject to section 39 of this chapter, the publisher shall:
41 (1) accept the rule for filing; and
42 (2) electronically record the date and time the rule is accepted.
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1 (d) A rule required to be provided to the administrative rules
2 review committee for review under section 34.5(c) of this chapter
3 may not be submitted to the publisher until the rule has been
4 authorized by a bill enacted by the general assembly.
5 SECTION 5. IC 4-22-2-40, AS AMENDED BY P.L.249-2023,
6 SECTION 37, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
7 JULY 1, 2025]: Sec. 40. (a) At any time before a rule is accepted for
8 filing by the publisher under section 35, 37.1, 37.2, or 38 of this
9 chapter, the agency that adopted the rule may recall it. A rule may be
10 recalled regardless of whether:
11 (1) the rule has been disapproved by the attorney general under
12 section 32 of this chapter; or
13 (2) the rule has been disapproved by the governor under section
14 34 of this chapter; or
15 (3) the rule has been reviewed by the administrative rules
16 review committee under section 34.5 of this chapter.
17 (b) IC 13-14-9 and sections 23 through 38 of this chapter do not
18 apply to a recall action under this section. However, the agency shall
19 distribute a notice of its recall action to the publisher for publication in
20 the Indiana Register. IC 13-14-9 and sections 23 and 26 of this chapter
21 do not apply to a readoption action under subsection (c).
22 (c) After an agency recalls a rule, the agency may reconsider its
23 adoption action and adopt an identical rule or a revised rule. However,
24 if IC 13-14-9 or sections 23 through 36 of this chapter apply to the
25 recalled rule, the readopted rule must comply with the requirements
26 under section 29 of this chapter or IC 13-14-9-9 (as applicable).
27 (d) The recall of a rule under this section voids any approval given
28 after the rule was adopted and before the rule was recalled.
29 (e) If a rule is:
30 (1) subject to sections 31, and 33, and 34.5 of this chapter;
31 (2) recalled under subsection (a); and
32 (3) readopted under subsection (c);
33 the agency shall resubmit the readopted version of the recalled rule to
34 the attorney general and the governor for approval, and to the
35 administrative rules review committee. The attorney general and the
36 governor have the full statutory period to approve or disapprove the
37 readopted rule. The agency shall resubmit the readopted version of a
38 recalled rule to the office of management and budget with sufficient
39 information for the office of management and budget to evaluate
40 whether the initial regulatory analysis submitted to the office of
41 management and budget under section 22.8 of this chapter needs to be
42 revised. If the impact of the readopted rule is substantially different
2025	IN 1495—LS 7275/DI 106 6
1 from the recalled rule, the agency shall submit the revised regulatory
2 analysis to the publisher for publication in the Indiana Register with the
3 document control number assigned by the publisher to the rule. The
4 agency also shall comply with any other applicable approval
5 requirement provided by statute.
6 (f) The readopted version of a recalled rule is effective only after the
7 agency has complied with section 35, 37.1, 37.2, or 38 of this chapter.
8 SECTION 6. IC 34-8-1-0.5 IS ADDED TO THE INDIANA CODE
9 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
10 1, 2025]: Sec. 0.5. The general assembly finds the following:
11 (1) The legislative authority of the state is vested in the
12 general assembly by Article 4, Section 1 of the Constitution of
13 the State of Indiana.
14 (2) The senate and the house of representatives are granted all
15 powers necessary for a branch of the legislative department
16 of a free and independent state by Article 4, Section 16 of the
17 Constitution of the State of Indiana.
18 (3) The constitutional power and authority described in this
19 section necessarily includes the power to establish state policy
20 concerning public safety, public finance, and the operation of
21 state prisons or county jails.
22 (4) A legislative review of proposed supreme court rules
23 affecting public finance is necessary to ensure that policies
24 established by the rules are consistent with the fiscal policies
25 established by the general assembly.
26 (5) The general assembly's exercise of the power and
27 authority described in this section may not be construed as an
28 exercise of judicial power.
29 SECTION 7. IC 34-8-1-1 IS AMENDED TO READ AS FOLLOWS
30 [EFFECTIVE JULY 1, 2025]: Sec. 1. (a) The purpose of this chapter
31 is to enable the supreme court to:
32 (1) simplify and abbreviate the pleadings and proceedings;
33 (2) expedite the decision of causes;
34 (3) remedy abuses and imperfections that exist in the practice;
35 (4) abolish unnecessary forms and technicalities in pleading and
36 practice; and
37 (5) abolish fictions and unnecessary process and proceedings.
38 (b) This chapter may not be construed to grant authority to the
39 supreme court to adopt, amend, or rescind rules concerning
40 general matters of public interest such as public safety, public
41 finance, and the operation of state prisons or county jails. Matters
42 of general public interest described in this subsection may not be
2025	IN 1495—LS 7275/DI 106 7
1 construed as matters of court practice or court procedure.
2 SECTION 8. IC 34-8-1-3 IS AMENDED TO READ AS FOLLOWS
3 [EFFECTIVE JULY 1, 2025]: Sec. 3. Subject to section 1(b) of this
4 chapter, the supreme court has authority to adopt, amend, and rescind
5 rules of court that govern and control practice and procedure in all the
6 courts of Indiana. These rules must be promulgated and take effect
7 under the rules adopted by the supreme court, and thereafter all laws in
8 conflict with the supreme court's rules have no further force or effect.
9 SECTION 9. IC 34-8-1-5 IS ADDED TO THE INDIANA CODE
10 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
11 1, 2025]: Sec. 5. (a) Before a proposed rule takes effect, the
12 supreme court shall provide the legislative council, in an electronic
13 format under IC 5-14-6, with the rule and any economic impact
14 statement, including any supporting data, studies, or analysis, for
15 the rule. The office of fiscal management and analysis of the
16 legislative services agency shall conduct a fiscal analysis of the rule.
17 (b) If, after completing the fiscal analysis described in
18 subsection (a), the office of fiscal management and analysis
19 estimates the fiscal impact on state and local government to be
20 greater than three hundred thousand dollars ($300,000), the office
21 of fiscal management and analysis shall provide the fiscal analysis,
22 the rule, and supporting documents under this section to the
23 administrative rules review committee for review. A rule subject
24 to review under this subsection may not take effect unless
25 authorized by a bill enacted by the general assembly.
26 SECTION 10. IC 34-8-2-1 IS AMENDED TO READ AS
27 FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 1. Subject to
28 IC 34-8-1-1(b), the general assembly of the state of Indiana affirms the
29 inherent power of the supreme court of Indiana to adopt, amend, and
30 rescind rules of court affecting matters of procedure, and the general
31 assembly reaffirms the power given to the supreme court to adopt,
32 amend, and rescind rules of court, including the rules of court adopted
33 in this chapter, as set forth by IC 34-8-1-1. However, the power of the
34 supreme court to adopt, amend, and rescind rules of court does not
35 preclude the creation, by statute, of alternatives to the change of venue.
36 SECTION 11. IC 34-8-2-3 IS ADDED TO THE INDIANA CODE
37 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
38 1, 2025]: Sec. 3. (a) Before a proposed rule takes effect, the
39 supreme court shall provide the legislative council, in an electronic
40 format under IC 5-14-6, with the rule and any economic impact
41 statement, including any supporting data, studies, or analysis, for
42 the rule. The office of fiscal management and analysis of the
2025	IN 1495—LS 7275/DI 106 8
1 legislative services agency shall conduct a fiscal analysis of the rule.
2 (b) If, after completing the fiscal analysis described in
3 subsection (a), the office of fiscal management and analysis
4 estimates the fiscal impact on state and local government to be
5 greater than three hundred thousand dollars ($300,000), the office
6 of fiscal management and analysis shall provide the fiscal analysis,
7 the rule, and supporting documents under this section to the
8 administrative rules review committee for review. A rule subject
9 to review under this subsection may not take effect unless
10 authorized by a bill enacted by the general assembly.
2025	IN 1495—LS 7275/DI 106