LEGISLATIVE SERVICES AGENCY
OFFICE OF FISCAL AND MANAGEMENT ANALYSIS
FISCAL IMPACT STATEMENT
LS 6748 NOTE PREPARED: Feb 13, 2025
BILL NUMBER: HB 1615 BILL AMENDED: Feb 13, 2025
SUBJECT: Certified Technology Park.
FIRST AUTHOR: Rep. Lindauer BILL STATUS: CR Adopted - 1
st
House
FIRST SPONSOR:
FUNDS AFFECTED:XGENERAL IMPACT: State & Local
DEDICATED
FEDERAL
Summary of Legislation: (Amended) The bill provides that if a Level 2 Certified Technology Park (CTP):
(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.
The bill provides that a Level 3 park may receive an additional annual incremental income tax deposit of up
to $250,000.
Effective Date: (Amended) July 1, 2025.
Explanation of State Expenditures: Certified Technology Parks: The Department of State Revenue (DOR)
will incur additional expenses to compute additional incremental tax distributions. The DOR's current level
of staff and resources should be sufficient to implement the provisions within the bill.
The IEDC will determine if a CTP qualifies for the Level 3 criteria and conduct re-certification every three
years. The IEDC's current level of staff and resources should be sufficient to implement this provision.
Explanation of State Revenues: (Revised) Certified Technology Parks: The bill provides that if a Level
2 CTP meets certain criteria, it will become a Level 3 CTP and may receive an additional annual incremental
income tax deposit of up to $250,000. The additional revenue is comprised of the incremental state and local
income tax captures. The bill may decrease revenue to the state General Fund by an estimated maximum of
$0.6 M each year beginning in FY 2026.
(Revised) Additional Information - The CTP program was created to help businesses involved in high
technology to locate in Indiana and facilitate job creation by these businesses. CTPs are authorized to capture
incremental revenue from sales tax, state income tax, and local income tax. Each CTP has a lifetime limit
of $5 M in revenue the CTP can capture, with an annual additional revenue capture limit of $250,000 for
Level 2 CTPs after reaching the $5 M cap. This bill establishes Level 3 CTPs and authorizes an additional
annual deposit of up to $250,000 multiplied by the number of redevelopment commissions that have entered
HB 1615 1 into a written agreement for the operation of the CTP. LSA identified one CTP that could potentially qualify
for the Level 3 criteria. This CTP spans three counties. The total state and local additional revenue captured
by the CTP would be up to $0.75 M each year.
Explanation of Local Expenditures:
Explanation of Local Revenues: (Revised) Establishing Level 3 CTPs will increase the amount of local
income tax (LIT) revenue distributed to the CTPs. The estimated increase in LIT captured by qualified CTPs
is up to $0.15 M each year beginning in FY 2026.
State Agencies Affected: Indiana Economic Development Corporation; Department of State Revenue.
Local Agencies Affected: Redevelopment commissions.
Information Sources: Department of State Revenue; Office of Fiscal and Management Analysis, 2021 Tax
Incentive Evaluation; Indiana Economic Development Corporation,
https://iedc.in.gov/program/certified-technology-parks/overview.
Fiscal Analyst: Qian Li, 317-232-9671.
HB 1615 2