*HB1562.2* Reprinted February 11, 2025 HOUSE BILL No. 1562 _____ DIGEST OF HB 1562 (Updated February 10, 2025 3:11 pm - DI 150) Citations Affected: IC 16-18; IC 16-42; IC 22-11; noncode. Synopsis: Farm and home based food sales. Repeals current home based vendor regulations. Establishes homemade food product and meat product labeling requirements. Provides that a small farm or home based vendor must complete and pass food safety training from a list of providers approved by the state department before selling time temperature control for safety homemade food products. Creates labeling requirements for homemade food product. Provides that the local health department and the board of animal health have the authority to do the following: (1) request proof of completion of the food safety training; (2) verify that a home vendor or the owner of a small farm's gross sales; and (3) ensure the home vendor or the owner of a small farm has complied with labeling requirements. Permits the state department of health or local department of health to impose various fines. Creates a process for a home vendor or the owner of a small farm to appeal a fine. Requires a home vendor or the owner of a small farm to comply with farmer's market regulations. Provides that (Continued next page) Effective: July 1, 2025. Smith H, Greene, Culp, Lindauer January 21, 2025, read first time and referred to Committee on Public Health. January 27, 2025, reassigned to Committee on Agriculture and Rural Development. January 30, 2025, reported — Do Pass. February 10, 2025, read second time, amended, ordered engrossed. HB 1562—LS 7546/DI 150 Digest Continued nothing in the new chapter prevents counties from enacting ordinances regulating the operation of home food establishments, provided such ordinances do not: (1) conflict with the provisions of this chapter; or (2) impede or restrict the sale of homemade food products in compliance state regulations. Establishes that the Indiana department of health, a local unit of government, the health and hospital corporation of Marion County, or a local health department may not adopt or continue in effect, any ordinance, rule, regulation, or resolution regarding licensure, certification, or inspection of foods or food products prepared and sold by: (1) a home based vendor or (2) the owner of a small farm in compliance with this chapter. Exempts public buildings used by small farms and home based vendors from certain public building regulations. HB 1562—LS 7546/DI 150HB 1562—LS 7546/DI 150 Reprinted February 11, 2025 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. 1562 A BILL FOR AN ACT to amend the Indiana Code concerning health. Be it enacted by the General Assembly of the State of Indiana: 1 SECTION 1. IC 16-18-2-80 IS AMENDED TO READ AS 2 FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 80. "Corporation", for 3 purposes of IC 16-22-8, IC 16-42-5, and IC 16-42-5.2, and 4 IC 16-42-5.4, means the health and hospital corporation created under 5 IC 16-22-8. 6 SECTION 2. IC 16-18-2-137, AS AMENDED BY P.L.49-2022, 7 SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE 8 JULY 1, 2025]: Sec. 137. (a) "Food establishment", for purposes of 9 IC 16-42-5 and IC 16-42-5.2, and IC 16-42-5.3, means any building, 10 room, basement, vehicle of transportation, cellar, or open or enclosed 11 area occupied or used for handling food. 12 (b) The term does not include the following: 13 (1) A dwelling where food is prepared on the premises by the 14 occupants, free of charge, for their consumption or for 15 consumption by their guests. 16 (2) A gathering of individuals at a venue of an organization that 17 is organized for educational purposes in a nonpublic educational HB 1562—LS 7546/DI 150 2 1 setting or for religious purposes, if: 2 (A) the individuals separately or jointly provide or prepare, 3 free of charge, and consume their own food or that of others 4 attending the gathering; and 5 (B) the gathering is for a purpose of the organization. 6 Gatherings for the purpose of the organization include funerals, 7 wedding receptions, christenings, bar or bat mitzvahs, baptisms, 8 communions, and other events or celebrations sponsored by the 9 organization. 10 (3) A vehicle used to transport food solely for distribution to the 11 needy, either free of charge or for a nominal donation. 12 (4) A private gathering of individuals who separately or jointly 13 provide or prepare and consume their own food or that of others 14 attending the gathering, regardless of whether the gathering is 15 held on public or private property. 16 (5) Except for food prepared by a for-profit entity, a venue of the 17 sale of food prepared for an organization: 18 (A) that is organized for: 19 (i) religious purposes; or 20 (ii) educational purposes in a nonpublic educational setting; 21 (B) that is exempt from taxation under Section 501 of the 22 Internal Revenue Code; and 23 (C) that offers the food for sale to the final consumer at an 24 event held for the benefit of the organization; 25 unless the food is being provided in a restaurant or a cafeteria 26 with an extensive menu of prepared foods. 27 (6) Except for food prepared by a for-profit entity, an Indiana 28 nonprofit organization that: 29 (A) is organized for civic, fraternal, veterans, or charitable 30 purposes; 31 (B) is exempt from taxation under Section 501 of the Internal 32 Revenue Code; and 33 (C) offers food for sale to the final consumer at an event held 34 for the benefit of the organization; 35 if the events conducted by the organization take place for not 36 more than fifteen (15) days in a calendar year. 37 (7) The holder of a farm winery permit under IC 7.1-3-12-5 or a 38 brewer's permit under IC 7.1-3-2-7(5) if the requirements of 39 IC 16-42-5-30 are met. 40 (8) A home based vendor or an individual vendor who sells a food 41 product under IC 16-42-5.3. (as defined in IC 16-42-5.4-2). 42 (9) A small farm (as defined in IC 16-42-5.4-4). HB 1562—LS 7546/DI 150 3 1 SECTION 3. IC 16-18-2-172.5 IS ADDED TO THE INDIANA 2 CODE AS A NEW SECTION TO READ AS FOLLOWS 3 [EFFECTIVE JULY 1, 2025]: Sec. 172.5. "Home based vendor", for 4 purposes of IC 16-42-5.4, has the meaning set forth in 5 IC 16-42-5.4-2. 6 SECTION 4. IC 16-18-2-176.5 IS ADDED TO THE INDIANA 7 CODE AS A NEW SECTION TO READ AS FOLLOWS 8 [EFFECTIVE JULY 1, 2025]: Sec. 176.5. "Homemade food 9 product", for purposes of IC 16-42-5.4, has the meaning set forth 10 in IC 16-42-5.4-3. 11 SECTION 5. IC 16-18-2-331.7 IS ADDED TO THE INDIANA 12 CODE AS A NEW SECTION TO READ AS FOLLOWS 13 [EFFECTIVE JULY 1, 2025]: Sec. 331.7. "Small farm", for 14 purposes of IC 16-42-5.4, has the meaning set forth in 15 IC 16-42-5.4-4. 16 SECTION 6. IC 16-18-2-351.7 IS REPEALED [EFFECTIVE JULY 17 1, 2025]. Sec. 351.7. (a) "Time temperature control for safety food", for 18 purposes of IC 16-42-5.3, means a food that requires time or 19 temperature control to safely limit the: 20 (1) growth of pathogenic microorganisms; or 21 (2) formation of toxins. 22 (b) The term includes the following: 23 (1) A food of animal origin that is raw or heat treated. 24 (2) A food of plant origin that is heat treated or consists of any of 25 the following: 26 (A) Raw seed sprouts. 27 (B) Cut melons. 28 (C) Cut leafy greens. 29 (D) Cut tomatoes or mixtures of cut tomatoes that are not 30 modified in a way that results in mixtures that do not support 31 the growth or formation described in subsection (a). 32 (E) Garlic-in-oil mixtures that are not modified in a way that 33 results in mixtures that do not support the growth or formation 34 described in subsection (a). 35 (3) Except as specified in subsection (c)(4) and (c)(5), a food that 36 involves an interaction of pH and Aw for control of spores in food 37 that is heat treated to destroy vegetative cells and subsequently 38 packaged that results in: 39 (A) an Aw value greater than 0.92 but less than or equal to 40 0.95 and a pH value greater than 5.6; or 41 (B) an Aw value greater than 0.95 and a pH value greater than 42 4.6. HB 1562—LS 7546/DI 150 4 1 (4) Except as specified in subsection (c)(4) and (c)(5), a food that 2 involves an interaction of pH and Aw for control of vegetative 3 cells and spores in food that is not heat treated, or is heat treated 4 but not packaged, and that results in: 5 (A) an Aw value greater than or equal to 0.88 but less than or 6 equal to 0.90 and a pH value greater than 5.0; 7 (B) an Aw value greater than 0.90 but less than or equal to 8 0.92 and a pH value greater than 4.6; or 9 (C) an Aw value greater than 0.92 and a pH value greater than 10 or equal to 4.2. 11 (c) The term does not include the following: 12 (1) An air-cooled hard-boiled egg with shell intact. 13 (2) An egg with shell intact that: 14 (A) is not hard-boiled; and 15 (B) has been pasteurized to destroy all viable salmonellae. 16 (3) A food in an unopened hermetically sealed container that is 17 commercially processed to achieve and maintain commercial 18 sterility under conditions of nonrefrigerated storage and 19 distribution. 20 (4) Except as specified in subsection (b)(1) or (b)(2), a food that 21 does not meet the requirements described in subsection (b)(3) or 22 (b)(4) due to the: 23 (A) pH or Aw value; or 24 (B) interaction of Aw and pH values; 25 of the food. 26 (5) A food that meets the requirements of subsection (b)(3) or 27 (b)(4) and has undergone a product assessment showing that the 28 growth or toxin formation of pathogenic microorganisms that are 29 reasonably likely to occur in the food is precluded due to: 30 (A) intrinsic factors, including added or natural characteristics 31 of the food (such as preservatives, antimicrobials, humectants, 32 acidulants, or nutrients); 33 (B) extrinsic factors, including environmental or operational 34 factors that affect the food (such as packaging), modified 35 atmosphere (such as reduced oxygen packaging), shelf life and 36 use, or temperature range of storage and use; or 37 (C) any combination of intrinsic and extrinsic factors 38 described in clause (A) or (B). 39 (6) A food that does not support the growth or toxin formation of 40 pathogenic microorganisms in accordance with subdivisions (1) 41 through (4) even though the food may contain a pathogenic 42 microorganism or chemical or physical contaminant at a level HB 1562—LS 7546/DI 150 5 1 sufficient to cause illness or injury. 2 SECTION 7. IC 16-18-2-351.8 IS ADDED TO THE INDIANA 3 CODE AS A NEW SECTION TO READ AS FOLLOWS 4 [EFFECTIVE JULY 1, 2025]: Sec. 351.8. "Time temperature control 5 for safety", for purposes of IC 16-42-5.4, has the meaning set forth 6 in IC 16-42-5.4-5. 7 SECTION 8. IC 16-42-5-0.2 IS ADDED TO THE INDIANA CODE 8 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 9 1, 2025]: Sec. 0.2. A person that: 10 (1) is a home based vendor (as defined in IC 16-42-5.4-2); or 11 (2) operates a small farm (as defined in IC 16-42-5.4-4); 12 is exempt from the requirements of this chapter. 13 SECTION 9. IC 16-42-5.3 IS REPEALED [EFFECTIVE JULY 1, 14 2025]. (Home Based Food Products). 15 SECTION 10. IC 16-42-5.4 IS ADDED TO THE INDIANA CODE 16 AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE 17 JULY 1, 2025]: 18 Chapter 5.4. Regulation of Community Producers 19 Sec. 1. This chapter does not apply to a food establishment (as 20 defined in IC 16-18-2-137). 21 Sec. 2. As used in this chapter, "home based vendor" means a 22 person: 23 (1) that prepares and sells food products from the person's 24 residential property (as defined in IC 32-24-4.5-6.2); and 25 (2) from which not more than one million five hundred 26 thousand dollars ($1,500,000) in gross sales is received in a 27 single year. 28 Sec. 3. (a) As used in this chapter, "homemade food product" 29 means food, including a beverage, that is produced and, if 30 packaged, packaged at a residence. 31 (b) The term does not include any of the following: 32 (1) Alcoholic beverages. 33 (2) Low THC hemp extract (as defined in IC 35-48-1-17.5). 34 (3) Any seafood or meat product defined in the: 35 (A) federal Humane Slaughter Act (7 U.S.C. 1901 et seq.); 36 (B) federal Meat Inspection Act (21 U.S.C. 601 et seq.); or 37 (C) federal Poultry Products Inspection Act (21 U.S.C. 451 38 et seq.). 39 Sec. 4. As used in this chapter, "small farm" means land: 40 (1) that is used for growing crops or raising livestock; 41 (2) from which a person prepares and sells food products; and 42 (3) from which not more than one million five hundred HB 1562—LS 7546/DI 150 6 1 thousand dollars ($1,500,000) in gross sales is received from: 2 (A) livestock products; 3 (B) cultivated or harvested crops; or 4 (C) the sale of food products; 5 in a single year. 6 Sec. 5. (a) As used in this chapter, "time temperature control for 7 safety" means a food product: 8 (1) that requires time or temperature control for safety to 9 limit infectious or toxigenic microorganisms; and 10 (2) is in a form capable of supporting rapid and progressive 11 growth of infectious or toxigenic microorganisms. 12 (b) The term does not include foods that: 13 (1) have a pH level of four and six-tenths (4.6); or 14 (2) are below or a water activity (aw) value of eighty-five 15 one-hundredths (0.85) or less. 16 Sec. 6. The production and sale of homemade food products that 17 meet the requirements of this chapter shall be exempt from all 18 licensing, certification, or inspection requirements by the state 19 department and the local health department. 20 Sec. 7. (a) Before a home based vendor or the owner of a small 21 farm produces and sells time temperature control for safety 22 homemade food products, the producer shall complete and pass 23 food safety training from a list of providers approved by the state 24 department. 25 (b) The food safety training shall be available to complete online 26 and shall not exceed two (2) hours in length. 27 (c) The state department shall make the list of approved food 28 safety training available on its website by July 1, 2026. 29 Sec. 8. (a) A home based vendor or the owner of a small farm 30 shall include a label for packaged homemade food products or a 31 sign for unpackaged homemade food products that contains the 32 following information: 33 (1) The name of the home based vendor or the owner of the 34 small farm that produced the homemade food product. 35 (2) The ingredients of the homemade food product, in 36 descending order by predominance by weight. 37 (3) A description of the homemade food product. 38 (4) The following statement in at least 10 point type: "This 39 product was produced in a private residence that is exempt 40 from government licensing and inspection.". 41 (b) A home based vendor may not ship or deliver a food product 42 to an end consumer who is located outside Indiana. HB 1562—LS 7546/DI 150 7 1 Sec. 9. Nothing in this chapter shall be construed to impede the 2 state department or a local department of health in any 3 investigation of a reported food borne illness. 4 Sec. 10. Upon receipt of a consumer complaint, the local health 5 department and the Indiana state board of animal health has the 6 authority to do the following: 7 (1) Request proof of completion of the food safety training. 8 (2) Verify a home based vendor's or the owner of a small 9 farm's gross sales, and ensure the home based vendor or the 10 owner of a small farm has complied with the labeling 11 requirements under this chapter. 12 Sec. 11. (a) A local health department may impose a fine not to 13 exceed three thousand dollars ($3,000) for a violation of a provision 14 of this chapter. 15 (b) A home based vendor or the owner of a small farm who 16 objects to the determination made by the local health officer under 17 this chapter may appeal to the executive board of the state 18 department, which is the ultimate authority. IC 4-21.5 applies to 19 proceedings under this section. 20 Sec. 12. When selling products at a farmers' market: 21 (1) a home based vendor; or 22 (2) the owner of a small farm; 23 must comply with farmers' market regulations adopted by the state 24 department, a local unit of government, the corporation, or a local 25 health department. 26 Sec. 13. Nothing in this chapter shall be construed to prevent 27 counties from enacting ordinances regulating the operation of 28 home based food establishments, provided such ordinances do not: 29 (1) conflict with the provisions of this chapter; or 30 (2) impede or restrict the sale of homemade food products in 31 compliance with this chapter. 32 Sec. 14. The state department, the health and hospital 33 corporation, or a local health department may not adopt or 34 continue in effect, any ordinance, rule, regulation, or resolution 35 regarding licensure, certification, or inspection of foods or food 36 products prepared and sold by: 37 (1) a home based vendor; or 38 (2) the owner of a small farm; 39 that are not required by federal law. 40 SECTION 11. IC 22-11-17-1.5 IS ADDED TO THE INDIANA 41 CODE AS A NEW SECTION TO READ AS FOLLOWS 42 [EFFECTIVE JULY 1, 2025]: Sec. 1.5. A public building used by a: HB 1562—LS 7546/DI 150 8 1 (1) home based vendor (as defined in IC 16-42-5.4-2); or 2 (2) small farm (as defined in IC 16-42-5.4-4); 3 is exempt from this chapter and rules adopted by the commission. 4 SECTION 12. [EFFECTIVE JULY 1, 2025] (a) Before December 5 31, 2025, the Indiana department of health shall amend rules 6 impacted by IC 16-42-5.4, as added by this act, to comply with that 7 chapter. 8 (b) This SECTION expires December 31, 2026. HB 1562—LS 7546/DI 150 9 COMMITTEE REPORT Mr. Speaker: Your Committee on Agriculture and Rural Development, to which was referred House Bill 1562, has had the same under consideration and begs leave to report the same back to the House with the recommendation that said bill do pass. (Reference is to HB 1562 as introduced.) AYLESWORTH Committee Vote: Yeas 8, Nays 3 _____ HOUSE MOTION Mr. Speaker: I move that House Bill 1562 be amended to read as follows: Page 2, line 41, delete "IC 16-42-5.4-1)." and insert "IC 16-42-5.4-2).". Page 2, line 42, delete "IC 16-42-5.4-2)." and insert "IC 16-42-5.4-4).". Page 3, line 5, delete "IC 16-42-5.4-1." and insert "IC 16-42-5.4-2. SECTION 4. IC 16-18-2-176.5 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 176.5. "Homemade food product", for purposes of IC 16-42-5.4, has the meaning set forth in IC 16-42-5.4-3.". Page 3, line 10, delete "IC 16-42-5.4-2." and insert "IC 16-42-5.4-4.". Page 4, between lines 38 and 39, begin a new paragraph and insert: "SECTION 7. IC 16-18-2-351.8 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 351.8. "Time temperature control for safety", for purposes of IC 16-42-5.4, has the meaning set forth in IC 16-42-5.4-5.". Page 4, line 42, delete "IC 16-42-5.4-1);" and insert "IC 16-42-5.4-2);". Page 5, line 1, delete "IC 16-42-5.4-2);" and insert "IC 16-42-5.4-4);". Page 5, between lines 8 and 9, begin a new paragraph and insert: "Sec. 1. This chapter does not apply to a food establishment (as defined in IC 16-18-2-137).". Page 5, line 9, delete "1." and insert "2.". HB 1562—LS 7546/DI 150 10 Page 5, line 12, delete "property;" and insert "residential property (as defined in IC 32-24-4.5-6.2);". Page 5, between lines 15 and 16, begin a new paragraph and insert: "Sec. 3. (a) As used in this chapter, "homemade food product" means food, including a beverage, that is produced and, if packaged, packaged at a residence. (b) The term does not include any of the following: (1) Alcoholic beverages. (2) Low THC hemp extract (as defined in IC 35-48-1-17.5). (3) Any seafood or meat product defined in the: (A) federal Humane Slaughter Act (7 U.S.C. 1901 et seq.); (B) federal Meat Inspection Act (21 U.S.C. 601 et seq.); or (C) federal Poultry Products Inspection Act (21 U.S.C. 451 et seq.).". Page 5, line 16, delete "2." and insert "4.". Page 5, delete lines 25 through 31, begin a new paragraph and insert: "Sec. 5. (a) As used in this chapter, "time temperature control for safety" means a food product: (1) that requires time or temperature control for safety to limit infectious or toxigenic microorganisms; and (2) is in a form capable of supporting rapid and progressive growth of infectious or toxigenic microorganisms. (b) The term does not include foods that: (1) have a pH level of four and six-tenths (4.6); or (2) are below or a water activity (aw) value of eighty-five one-hundredths (0.85) or less. Sec. 6. The production and sale of homemade food products that meet the requirements of this chapter shall be exempt from all licensing, certification, or inspection requirements by the state department and the local health department. Sec. 7. (a) Before a home based vendor or the owner of a small farm produces and sells time temperature control for safety homemade food products, the producer shall complete and pass food safety training from a list of providers approved by the state department. (b) The food safety training shall be available to complete online and shall not exceed two (2) hours in length. (c) The state department shall make the list of approved food safety training available on its website by July 1, 2026. Sec. 8. (a) A home based vendor or the owner of a small farm shall include a label for packaged homemade food products or a HB 1562—LS 7546/DI 150 11 sign for unpackaged homemade food products that contains the following information: (1) The name of the home based vendor or the owner of the small farm that produced the homemade food product. (2) The ingredients of the homemade food product, in descending order by predominance by weight. (3) A description of the homemade food product. (4) The following statement in at least 10 point type: "This product was produced in a private residence that is exempt from government licensing and inspection.". (b) A home based vendor may not ship or deliver a food product to an end consumer who is located outside Indiana. Sec. 9. Nothing in this chapter shall be construed to impede the state department or a local department of health in any investigation of a reported food borne illness. Sec. 10. Upon receipt of a consumer complaint, the local health department and the Indiana state board of animal health has the authority to do the following: (1) Request proof of completion of the food safety training. (2) Verify a home based vendor's or the owner of a small farm's gross sales, and ensure the home based vendor or the owner of a small farm has complied with the labeling requirements under this chapter. Sec. 11. (a) A local health department may impose a fine not to exceed three thousand dollars ($3,000) for a violation of a provision of this chapter. (b) A home based vendor or the owner of a small farm who objects to the determination made by the local health officer under this chapter may appeal to the executive board of the state department, which is the ultimate authority. IC 4-21.5 applies to proceedings under this section. Sec. 12. When selling products at a farmers' market: (1) a home based vendor; or (2) the owner of a small farm; must comply with farmers' market regulations adopted by the state department, a local unit of government, the corporation, or a local health department. Sec. 13. Nothing in this chapter shall be construed to prevent counties from enacting ordinances regulating the operation of home based food establishments, provided such ordinances do not: (1) conflict with the provisions of this chapter; or (2) impede or restrict the sale of homemade food products in HB 1562—LS 7546/DI 150 12 compliance with this chapter. Sec. 14. The state department, the health and hospital corporation, or a local health department may not adopt or continue in effect, any ordinance, rule, regulation, or resolution regarding licensure, certification, or inspection of foods or food products prepared and sold by: (1) a home based vendor; or (2) the owner of a small farm; that are not required by federal law.". Page 5, line 35, delete "IC 16-42-5.4-1);" and insert "IC 16-42-5.4-2);". Page 5, line 36, delete "IC 16-42-5.4-2);" and insert "IC 16-42-5.4-4);". Renumber all SECTIONS consecutively. (Reference is to HB 1562 as printed January 30, 2025.) SMITH H HB 1562—LS 7546/DI 150