*HB1615.1*
January 27, 2025
HOUSE BILL No. 1615
_____
DIGEST OF HB 1615 (Updated January 23, 2025 10:15 am - DI 140)
Citations Affected: IC 4-3; IC 5-28; IC 36-7; noncode.
Synopsis: Military base development. Establishes the Indiana military
base infrastructure grant program (program) for physical infrastructure
projects located on current or proposed Indiana military bases. Provides
that the: (1) Indiana defense task force, in consultation with the Indiana
economic development corporation (corporation) shall develop policies
and guidelines regarding the application process for the program; and
(2) corporation shall administer the program. Provides that the budget
committee must make a recommendation to the budget agency on
whether to approve a proposed grant. Requires the budget agency to
approve a proposed grant before the grant may be awarded. Establishes
the Indiana military base infrastructure grant fund within the state
treasury as a dedicated fund. Provides that if a Level 2 certified
technology park (park): (1) has reached the limit of deposits for a Level
2 park; (2) maintains its certification; and (3) is located within a
military base enhancement area; the park shall become a Level 3 park
upon reaching its Level 2 deposit limit. Provides that a Level 3 park
may receive an additional annual incremental income tax deposit of up
to $500,000. Makes an appropriation.
Effective: Upon passage; July 1, 2025.
Lindauer, Judy, Heine, Manning
January 21, 2025, read first time and referred to Committee on Veterans Affairs and Public
Safety.
January 27, 2025, reported — Do Pass. Referred to Committee on Ways and Means
pursuant to Rule 126.3.
HB 1615—LS 6748/DI 116 January 27, 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. 1615
A BILL FOR AN ACT to amend the Indiana Code concerning state
offices and administration and to make an appropriation.
Be it enacted by the General Assembly of the State of Indiana:
1 SECTION 1. IC 4-3-21.5-11, AS ADDED BY P.L.228-2019,
2 SECTION 2, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
3 UPON PASSAGE]: Sec. 11. The task force shall do the following:
4 (1) Identify the public infrastructure and other community support
5 necessary:
6 (A) to improve mission efficiencies; and
7 (B) for the development and expansion;
8 of military bases in Indiana.
9 (2) Identify existing and potential impacts of encroachment on
10 military bases in Indiana.
11 (3) Identify potential state and local government actions that can:
12 (A) minimize the impacts of encroachment on; and
13 (B) enhance the long term potential of;
14 military bases in Indiana.
15 (4) Identify opportunities for collaboration among:
16 (A) the state, including the military department of the state;
17 (B) political subdivisions;
HB 1615—LS 6748/DI 116 2
1 (C) military contractors; and
2 (D) academic institutions;
3 to maintain and expand the missions of Indiana's military bases.
4 (5) Study how governmental entities outside Indiana have
5 addressed issues regarding encroachment and partnership
6 formation described in this section.
7 (6) With respect to a multicounty federal military base under
8 IC 36-7-30.5:
9 (A) vote to require the establishment of the development
10 authority under IC 36-7-30.5, if necessary; and
11 (B) advise and submit recommendations to a development
12 authority board appointed under IC 36-7-30.5.
13 (7) Strengthen state support for military families and veterans in
14 the areas of education, health care, employment, and family
15 programs. The areas listed in this subdivision do not comprise an
16 exhaustive list of the areas for which the task force may
17 strengthen state support for military families and veterans.
18 (8) Develop, in consultation with the Indiana economic
19 development corporation, policies and guidelines for the
20 Indiana military base infrastructure grant program
21 established under IC 5-28-44.
22 SECTION 2. IC 5-28-44 IS ADDED TO THE INDIANA CODE AS
23 A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE UPON
24 PASSAGE]:
25 Chapter 44. Indiana Military Base Infrastructure Grant
26 Program
27 Sec. 1. As used in this chapter, "fund" refers to the Indiana
28 military base infrastructure grant fund established by section 7 of
29 this chapter.
30 Sec. 2. As used in this chapter, "military base" refers to the
31 following:
32 (1) Camp Atterbury.
33 (2) Fort Wayne International Airport.
34 (3) Lake Glendora Test Facility.
35 (4) Grissom Air Reserve Base.
36 (5) Hulman Field.
37 (6) Jefferson Proving Ground.
38 (7) Major General Emmett J. Bean Federal Center.
39 (8) Muscatatuck Urban Training Center.
40 (9) Naval Support Activity (NSA) Crane.
41 Sec. 3. (a) The Indiana military base infrastructure grant
42 program is established to provide military value for current or
HB 1615—LS 6748/DI 116 3
1 proposed Indiana military bases consistent with criteria used in
2 accordance with the Defense Base Closure and Realignment Act of
3 1990 (Public Law 101-510), as amended, or subsequent related
4 federal legislation.
5 (b) Except as provided in section 6 of this chapter, the program
6 is administered by the corporation.
7 Sec. 4. (a) After June 30, 2025, the corporation shall accept
8 applications for grants under this chapter using criteria and
9 procedures developed under section 6 of this chapter and work
10 with the United States Department of Defense and military base
11 commanders to provide grants for carefully selected physical
12 infrastructure projects that improve or sustain the military value
13 for current or proposed military bases.
14 (b) Before the corporation submits a grant proposal to the
15 budget committee under section 5 of this chapter and subject to 10
16 U.S.C. 2601, the corporation shall negotiate the terms and
17 conditions of a grant made under this chapter with the United
18 States Department of Defense or the secretary of the particular
19 branch of the armed forces of the United States. The parties shall
20 agree that acceptance of the grant is contingent upon the terms and
21 conditions agreed upon by the parties.
22 (c) The physical infrastructure project for which a proposed
23 grant is to be provided must be:
24 (1) located on a military base; or
25 (2) used to provide:
26 (A) direct service to; or
27 (B) direct support for;
28 a military base, if located off the military base.
29 (d) The corporation may authorize a grant awarded under this
30 chapter to be used to match a federal grant for the physical
31 infrastructure project.
32 Sec. 5. (a) If the corporation desires to provide a grant for a
33 physical infrastructure project for a military base under this
34 chapter, the corporation shall submit a detailed description of the
35 physical infrastructure project and the proposed grant to be
36 provided for a particular military base to the budget committee for
37 review and recommendation to the budget agency. The budget
38 committee shall meet not later than sixty (60) days after receipt of
39 the proposal and shall make a recommendation on the proposal to
40 the budget agency.
41 (b) When considering a proposal by the corporation under this
42 section, the budget committee and the budget agency must make
HB 1615—LS 6748/DI 116 4
1 the following findings before approving the proposal:
2 (1) The grant awarded under this chapter will improve or
3 sustain the military value of a current or proposed military
4 base.
5 (2) The assistance will benefit the people of Indiana by
6 protecting commerce or promoting economic development in
7 the vicinity of the military base.
8 (c) The corporation may not be allocated money from the fund
9 until a proposal is approved under this section. Upon approval of
10 the proposal by the budget agency, the corporation may provide a
11 grant for the military base physical infrastructure project.
12 Sec. 6. On or before July 1, 2025, the Indiana defense task force
13 established by IC 4-3-21.5-3, in consultation with the corporation,
14 shall adopt policies and guidelines governing application criteria
15 and procedures to be awarded assistance under this chapter.
16 Sec. 7. (a) The Indiana military base infrastructure grant fund
17 is established within the state treasury as a dedicated fund. Money
18 in the fund must be spent by the corporation exclusively to provide
19 grants under this chapter.
20 (b) The fund consists of:
21 (1) appropriations from the general assembly; and
22 (2) interest deposited into the fund under subsection (d).
23 (c) The corporation shall administer the fund. The following
24 may be paid from money in the fund:
25 (1) Grants for proposals approved by the budget agency
26 under section 5 of this chapter.
27 (2) Expenses of administering the fund.
28 (3) The corporation's administrative expenses incurred to
29 carry out the purposes of this chapter.
30 (d) The treasurer of state shall invest the money in the fund not
31 currently needed to meet the obligations of the fund in the same
32 manner as other public funds may be invested. Interest that
33 accrues from these investments shall be deposited in the fund.
34 (e) Money remaining in the fund at the end of a state fiscal year
35 does not revert to the state general fund.
36 Sec. 8. Beginning November 1, 2026, and each November 1
37 thereafter, the corporation shall submit an annual report to the
38 governor and, in an electronic format under IC 5-14-6, the
39 legislative council that summarizes grants awarded under this
40 chapter for the previous state fiscal year.
41 SECTION 3. IC 36-7-32-8.5, AS AMENDED BY P.L.154-2020,
42 SECTION 50, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
HB 1615—LS 6748/DI 116 5
1 JULY 1, 2025]: Sec. 8.5. As used in this chapter, "income tax
2 incremental amount" means the following:
3 (1) Except as provided in subdivision (2), the remainder of:
4 (A) the total amount of state adjusted gross income taxes and
5 local income taxes paid by employees employed in the
6 territory comprising the certified technology park with respect
7 to wages and salary earned for work in the territory comprising
8 the certified technology park for a particular state fiscal year;
9 minus
10 (B) the sum of the:
11 (i) income tax base period amount as defined in section 8 of
12 this chapter; and
13 (ii) tax credits awarded by the Indiana economic
14 development corporation under IC 6-3.1-13 to businesses
15 operating in a certified technology park as the result of
16 wages earned for work in the certified technology park for
17 the state fiscal year;
18 as determined by the department of state revenue.
19 (2) In the case of a certified technology park for which the amount
20 limit under section 22(c), or 22(d), or 22(e) of this chapter has
21 been exceeded, the remainder of:
22 (A) the total amount of state adjusted gross income taxes and
23 local income taxes paid by employees employed in the
24 territory comprising the certified technology park with respect
25 to wages and salary earned for work in the territory comprising
26 the certified technology park for a particular state fiscal year;
27 minus
28 (B) the sum of the:
29 (i) income tax base period amount as defined in section 8 of
30 this chapter; and
31 (ii) tax credits awarded by the Indiana economic
32 development corporation under IC 6-3.1-13 to businesses
33 operating in a certified technology park as the result of
34 wages earned for work in the certified technology park for
35 the state fiscal year;
36 as determined by the department of state revenue.
37 SECTION 4. IC 36-7-32-22, AS AMENDED BY P.L.236-2023,
38 SECTION 188, IS AMENDED TO READ AS FOLLOWS
39 [EFFECTIVE JULY 1, 2025]: Sec. 22. (a) The treasurer of state shall
40 establish an incremental tax financing fund for each certified
41 technology park designated under this chapter. The fund shall be
42 administered by the treasurer of state. Money in the fund does not
HB 1615—LS 6748/DI 116 6
1 revert to the state general fund at the end of a state fiscal year.
2 (b) Subject to subsection (c), the following amounts shall be
3 deposited during each state fiscal year in the incremental tax financing
4 fund established for a certified technology park under subsection (a):
5 (1) The aggregate amount of state gross retail and use taxes that
6 are remitted under IC 6-2.5 by businesses operating in the
7 certified technology park, until the amount of state gross retail
8 and use taxes deposited equals the gross retail incremental
9 amount for the certified technology park.
10 (2) Except as provided in subdivision (3), the aggregate amount
11 of the following taxes paid by employees employed in the
12 certified technology park with respect to wages earned for work
13 in the certified technology park, until the amount deposited equals
14 the income tax incremental amount as defined in section 8.5(1) of
15 this chapter:
16 (A) The adjusted gross income tax.
17 (B) The local income tax (IC 6-3.6).
18 (3) In the case of a certified technology park to which subsection
19 (e) applies, the amount determined under subsection (e), if any.
20 (c) Except as provided in subsections (d), and (e), and (f), not more
21 than a total of five million dollars ($5,000,000) may be deposited in a
22 particular incremental tax financing fund for a certified technology
23 park over the life of the certified technology park.
24 (d) Except as provided in subsection (e), subsections (e) and (f), in
25 the case of a certified technology park that is operating under a written
26 agreement entered into by two (2) or more redevelopment
27 commissions, and subject to section 26(b)(4) of this chapter:
28 (1) not more than a total of five million dollars ($5,000,000) may
29 be deposited over the life of the certified technology park in the
30 incremental tax financing fund of each redevelopment
31 commission participating in the operation of the certified
32 technology park; and
33 (2) the total amount that may be deposited in all incremental tax
34 financing funds, over the life of the certified technology park, in
35 aggregate, may not exceed the result of:
36 (A) five million dollars ($5,000,000); multiplied by
37 (B) the number of redevelopment commissions that have
38 entered into a written agreement for the operation of the
39 certified technology park.
40 (e) If a certified technology park has reached the limit on deposits
41 under subsection (c) or (d) and maintains its certification under section
42 11(c) of this chapter, the certified technology park shall become a
HB 1615—LS 6748/DI 116 7
1 Level 2 certified technology park and an additional annual deposit
2 amount shall be deposited in the incremental tax financing fund for the
3 certified technology park equal to the following:
4 (1) For a certified technology park to which subsection (c)
5 applies, the lesser of:
6 (A) the income tax incremental amount as defined in section
7 8.5(2) of this chapter; or
8 (B) two hundred fifty thousand dollars ($250,000).
9 (2) For a certified technology park to which subsection (d)
10 applies, the lesser of:
11 (A) the aggregate income tax incremental amounts as defined
12 in section 8.5(2) of this chapter attributable to each
13 redevelopment commission that has entered into a written
14 agreement for the operation of the certified technology park;
15 or
16 (B) two hundred fifty thousand dollars ($250,000) multiplied
17 by the number of redevelopment commissions that have
18 entered into a written agreement for the operation of the
19 certified technology park.
20 (3) The following apply to deposits under this subsection:
21 (A) If a certified technology park reached its limit on deposits
22 based on a state fiscal year ending before July 1, 2020, the
23 certified technology park shall receive deposits based on the
24 income tax incremental amount as defined in section 8.5(2) of
25 this chapter for each state fiscal year ending after June 30,
26 2019.
27 (B) If a certified technology park reached its limit on deposits
28 based on a state fiscal year ending after June 30, 2020, the
29 certified technology park shall receive deposits based on the
30 income tax incremental amount as defined in section 8.5(2) of
31 this chapter for the state fiscal year in which it reached its limit
32 on deposits under subsection (c) or (d) and each state fiscal
33 year thereafter.
34 (C) If a certified technology park is permitted to receive
35 deposits under this subsection during the state fiscal year in
36 which it reached its limit on deposits under subsection (c) or
37 (d), the income tax incremental amount for purposes of
38 subdivision (1)(A) or (1)(B) for that state fiscal year shall be
39 reduced by an amount equal to:
40 (i) the deposit amount for the state fiscal year under
41 subsection (b) required to reach the limit on deposits under
42 subsection (c) or (d); minus
HB 1615—LS 6748/DI 116 8
1 (ii) the gross retail incremental amount determined under
2 section 6.5 of this chapter;
3 but not less than zero (0).
4 (f) This subsection applies to a certified technology park that is
5 located within a qualified military base enhancement area under
6 IC 36-7-34. If a certified technology park has reached the limit on
7 deposits under subsection (e) and maintains its certification under
8 section 11(c) of this chapter, the certified technology park shall
9 become a Level 3 certified technology park and an additional
10 annual deposit amount shall be deposited in the incremental tax
11 financing fund for the certified technology park equal to the lesser
12 of:
13 (1) the aggregate income tax incremental amounts as defined
14 in section 8.5(2) of this chapter attributable to each
15 redevelopment commission that has entered into a written
16 agreement for the operation of the certified technology park;
17 or
18 (2) five hundred thousand dollars ($500,000) multiplied by the
19 number of redevelopment commissions that have entered into
20 a written agreement for the operation of the certified
21 technology park.
22 (f) (g) This subsection applies to a Level 2 or Level 3 certified
23 technology park designated in subsection (e) or (f). When the Indiana
24 economic development corporation recertifies a certified technology
25 park as required under section 11 of this chapter, the corporation shall
26 make a determination of whether the certified technology park shall
27 continue to be designated as a Level 2 or Level 3 certified technology
28 park.
29 (g) (h) On or before the twentieth day of each month, all amounts
30 held in the incremental tax financing fund established for a certified
31 technology park shall be distributed to the redevelopment commission
32 for deposit in the certified technology park fund established under
33 section 23 of this chapter.
34 SECTION 5. [EFFECTIVE JULY 1, 2025] (a) There is
35 appropriated to the Indiana military base infrastructure grant
36 fund established by IC 5-28-44-7, as added by this act:
37 (1) for the state fiscal year beginning July 1, 2025, and ending
38 June 30, 2026, twenty-five million dollars ($25,000,000); and
39 (2) for the state fiscal year beginning July 1, 2026, and ending
40 June 30, 2027, twenty-five million dollars ($25,000,000);
41 from the state general fund for use by the Indiana economic
42 development corporation in carrying out the purpose of the
HB 1615—LS 6748/DI 116 9
1 Indiana military base infrastructure grant fund established by
2 IC 5-28-44-7, as added by this act.
3 (b) This SECTION expires July 1, 2027.
4 SECTION 6. An emergency is declared for this act.
HB 1615—LS 6748/DI 116 10
COMMITTEE REPORT
Mr. Speaker: Your Committee on Veterans Affairs and Public
Safety, to which was referred House Bill 1615, 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 1615 as introduced.)
BARTELS
Committee Vote: Yeas 11, Nays 0
HB 1615—LS 6748/DI 116