LEGISLATIVE SERVICES AGENCY
OFFICE OF FISCAL AND MANAGEMENT ANALYSIS
FISCAL IMPACT STATEMENT
LS 6794 NOTE PREPARED: Dec 29, 2024
BILL NUMBER: SB 491 BILL AMENDED:
SUBJECT: Annexation of Property for an Industrial Park.
FIRST AUTHOR: Sen. Gaskill BILL STATUS: As Introduced
FIRST SPONSOR:
FUNDS AFFECTED:XGENERAL IMPACT: State & Local
DEDICATED
FEDERAL
Summary of Legislation: The bill allows a municipality in Madison County to annex noncontiguous
property for use as an industrial park.
Effective Date: July 1, 2025.
Explanation of State Expenditures: DLGF– The Department of Local Government Finance (DLGF) would
be updated of the annexation of territory when it occurs from Madison County. It is likely the DLGF would
be able to process the notification of annexation from the county within their existing level of staffing and
resources.
Explanation of State Revenues:
Explanation of Local Expenditures: Auditor– Under current law, the Madison County Auditor would be
required to forward a copy of any annexation that takes place as a result of the bill to the DLGF, not later
than August 1 of the year the annexation was ordered. It is likely the Auditor would be able to accomplish
this requirement as a routine matter of business.
Annexation– The annexation would potentially lower cost to Madison County and increase costs for the
annexing municipality. The municipality would provide necessary capital and noncapital services in the
annexed property, either directly or by contract.
Any improvements to the annexed area would see an increase of the total assessed valuation to the annexing
municipality.
Explanation of Local Revenues: Annexation– The annexing municipality would likely receive an increase
in property tax revenue as a result of an annexation under the bill from the parcels associated with the
industrial park. (Unless, the industrial park currently is not nor will not be receiving a property tax abatement
or other incentive that would reduce its assessed value.)
SB 491 1 State Agencies Affected: DLGF
Local Agencies Affected: Madison County, municipalities in Madison County.
Information Sources: IC 36-4-3-22.
Fiscal Analyst: Chris Baker, 317-232-9851.
SB 491 2