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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 ENROLLED ACT No. 1001
AN ACT to amend the Indiana Code concerning state and local
administration and to make an appropriation.
Be it enacted by the General Assembly of the State of Indiana:
SECTION 1. [EFFECTIVE JULY 1, 2025]
(a) The following definitions apply throughout this act:
(1) "Augmentation allowed" means the governor and the budget agency are
authorized to add to an appropriation in this act from revenues accruing to the
fund from which the appropriation was made.
(2) "Biennium" means the period beginning July 1, 2025, and ending June 30, 2027.
Appropriations appearing in the biennial column for construction or other permanent
improvements do not revert under IC 4-13-2-19 and may be allotted.
(3) "Equipment" includes machinery, implements, tools, furniture,
furnishings, vehicles, and other articles that have a calculable period of service
that exceeds twelve (12) calendar months.
(4) "Fee replacement" includes payments to universities to be used to pay indebtedness
resulting from financing the cost of planning, purchasing, rehabilitation, construction,
repair, leasing, lease-purchasing, or otherwise acquiring land, buildings, facilities,
and equipment to be used for academic and instructional purposes.
(5) "Personal services" includes payments for salaries and wages to officers and
employees of the state (either regular or temporary), payments for compensation
awards, and the employer's share of Social Security, health insurance, life insurance,
dental insurance, vision insurance, deferred compensation - state match, leave
conversion, disability, and retirement fund contributions.
(6) "State agency" means:
(A) each office, officer, board, commission, department, division, bureau, committee,
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fund, agency, authority, council, or other instrumentality of the state;
(B) each hospital, penal institution, and other institutional enterprise of the state;
(C) the judicial department of the state; and
(D) the legislative department of the state.
However, this term does not include cities, towns, townships, school cities, school
townships, school districts, other municipal corporations or political subdivisions
of the state, or universities and colleges supported in whole or in part by state
funds.
(7) "Total operating expense" includes payments for "personal services", "services
other than personal", "services by contract", "supplies, materials, and parts",
"grants, subsidies, refunds, and awards", "in-state travel", "out-of-state travel",
and "equipment".
(b) The state board of finance may authorize advances to boards or persons having
control of the funds of any institution or department of the state of a sum of money
out of any appropriation available at such time for the purpose of establishing
working capital to provide for payment of expenses in the case of emergency when
immediate payment is necessary or expedient. Advance payments shall be made by
warrant by the state comptroller, and properly itemized and receipted bills or invoices
shall be filed by the board or persons receiving the advance payments.
(c) All money appropriated by this act shall be considered either a direct appropriation
or an appropriation from a rotary or revolving fund.
(1) Direct appropriations are subject to withdrawal from the state treasury and for
expenditure for such purposes, at such time, and in such manner as may be prescribed
by law. Direct appropriations are not subject to return and rewithdrawal from the
state treasury, except for the correction of an error which may have occurred in any
transaction or for reimbursement of expenditures which have occurred in the same
fiscal year.
(2) A rotary or revolving fund is any designated part of a fund that is set apart as
working capital in a manner prescribed by law and devoted to a specific purpose
or purposes. The fund consists of earnings and income only from certain sources
or combination of sources. The money in the fund shall be used for the purpose designated
by law as working capital. The fund at any time consists of the original appropriation
to the fund, if any, all receipts accrued to the fund, and all money withdrawn from the
fund and invested or to be invested. The fund shall be kept intact by separate entries
in the state comptroller's office, and no part of the fund shall be used for any purpose
other than the lawful purpose of the fund or revert to any other fund at any time.
However, any unencumbered excess above any prescribed amount may be transferred
to the state general fund at the close of each fiscal year unless otherwise specified
in the Indiana Code.
SECTION 2. [EFFECTIVE JULY 1, 2025]
For the conduct of state government, its offices, funds, boards, commissions, departments,
societies, associations, services, agencies, and undertakings, and for other appropriations
not otherwise provided by statute, the following sums in SECTIONS 3 through 10 are
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appropriated for the periods of time designated from the general fund of the state of
Indiana or other specifically designated funds.
In this act, whenever there is no specific fund or account designated, the appropriation
is from the general fund.
SECTION 3. [EFFECTIVE JULY 1, 2025]
GENERAL GOVERNMENT
A. LEGISLATIVE
FOR THE GENERAL ASSEMBLY 9,377,541 9,377,541
LEGISLATORS' SALARIES - HOUSE 12,481,813 12,481,813
Total Operating Expense 2,565,000 2,660,000
HOUSE EXPENSES 12,169,715 12,909,715
Total Operating Expense
LEGISLATORS' SALARIES - SENATE
Total Operating Expense
SENATE EXPENSES
Total Operating Expense
Included in the above appropriations for house and senate expenses are funds for
a legislative business per diem allowance, meals, and other usual and customary
expenses associated with legislative affairs. Each member of the house is entitled,
when authorized by the speaker of the house, to the legislative business per diem
allowance for every day the member is engaged in official business. The speaker
shall authorize the legislative business per diem allowance to be consistent with
law and house rules.
Each member of the senate is entitled, when authorized by the president pro tempore
of the senate, to the legislative business per diem allowance for every day the member
is engaged in official business. The president pro tempore of the senate shall authorize
the legislative business per diem allowance to be consistent with law and senate rules.
The legislative business per diem allowance that each member of the general assembly
is entitled to receive equals the maximum daily amount allowable to employees of the
executive branch of the federal government for subsistence expenses while away from
home in travel status in the Indianapolis area. The legislative business per diem
changes each time there is a change in that maximum daily amount.
In addition to the legislative business per diem allowance, each member of the general
assembly shall receive the mileage allowance in an amount equal to the standard
mileage rates for personally owned transportation equipment established by the federal
Internal Revenue Service for each mile necessarily traveled from the member's usual
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place of residence to the state capitol. However, if the member traveled by a means
other than by motor vehicle, and the member's usual place of residence is more than
one hundred (100) miles from the state capitol, the member is entitled to reimbursement
in an amount equal to the lowest air travel cost incurred in traveling from the usual
place of residence to the state capitol. During the period the general assembly is convened
in regular or special session, the mileage allowance shall be limited to one (1) round
trip each week per member.
Any member of the general assembly who is appointed by the governor, speaker of
the house, president or president pro tempore of the senate, house or senate minority
floor leader, or Indiana legislative council to serve on any research, study, or survey
committee or commission, or who attends any meetings authorized or convened
under the auspices of the Indiana legislative council, including pre-session conferences
and federal-state relations conferences, is entitled, when authorized by the legislative
council, to receive the legislative business per diem allowance for each day the
member is in actual attendance and is also entitled to a mileage allowance, at the
rate specified above, for each mile necessarily traveled from the member's usual
place of residence to the state capitol, or other in-state site of the committee,
commission, or conference. The per diem allowance and the mileage allowance permitted
under this paragraph shall be paid from the legislative council appropriation for
legislator and lay member travel unless the member is attending an out-of-state
meeting, as authorized by the speaker of the house of representatives or the president
pro tempore of the senate, in which case the member is entitled to receive:
(1) the legislative business per diem allowance for each day the member is engaged in
approved out-of-state travel; and
(2) reimbursement for traveling expenses actually incurred in connection with the
member's duties, as provided in the state travel policies and procedures established
by the legislative council.
Notwithstanding the provisions of this or any other statute, the legislative council
may adopt, by resolution, travel policies and procedures that apply only to members
of the general assembly or to the staffs of the house of representatives, senate, and
legislative services agency, or both members and staffs. The legislative council may
apply these travel policies and procedures to lay members serving on research, study,
or survey committees or commissions that are under the jurisdiction of the legislative
council. Notwithstanding any other law, rule, or policy, the state travel policies and
procedures established by the Indiana department of administration and approved by the
budget agency do not apply to members of the general assembly, to the staffs of the house
of representatives, senate, or legislative services agency, or to lay members serving
on research, study, or survey committees or commissions under the jurisdiction of
the legislative council (if the legislative council applies its travel policies and procedures
to lay members under the authority of this SECTION), except that, until the legislative
council adopts travel policies and procedures, the state travel policies and procedures
established by the Indiana department of administration and approved by the budget
agency apply to members of the general assembly, to the staffs of the house of representatives,
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senate, and legislative services agency, and to lay members serving on research, study,
or survey committees or commissions under the jurisdiction of the legislative council.
The executive director of the legislative services agency is responsible for the
administration of travel policies and procedures adopted by the legislative council.
The state comptroller shall approve and process claims for reimbursement of travel
related expenses under this paragraph based upon the written affirmation of the
speaker of the house of representatives, the president pro tempore of the senate, or
the executive director of the legislative services agency that those claims comply with
the travel policies and procedures adopted by the legislative council. If the funds
appropriated for the house and senate expenses and legislative salaries are insufficient
to pay all the necessary expenses incurred, including the cost of printing the journals
of the house and senate, there is appropriated such further sums as may be necessary
to pay such expenses.
LEGISLATORS' EXPENSES - HOUSE 3,273,045 3,273,045
Total Operating Expense 1,776,500 1,852,500
LEGISLATORS' EXPENSES - SENATE
Total Operating Expense
Each member of the general assembly is entitled to a subsistence allowance of forty
percent (40%) of the maximum daily amount allowable to employees of the executive
branch of the federal government for subsistence expenses while away from home in
travel status in the Indianapolis area for:
(1) each day that the general assembly is not convened in regular or special session; and
(2) each day after the first session day held in November and before the first session
day held in January.
However, the subsistence allowance under subdivision (2) may not be paid with respect
to any day after the first session day held in November and before the first session day
held in January with respect to which all members of the general assembly are entitled
to a legislative business per diem, and the subsistence allowance under subdivision (1)
may not be paid to a member after the final recess day in April with respect to any
day in which the chamber in which the individual is a member meets as a body or in
any period in which the chamber is in recess for less than six (6) consecutive days.
The subsistence allowance is payable from the appropriations for legislators' subsistence.
The officers of the senate are entitled to the following amounts annually in addition
to the subsistence allowance: president pro tempore, $7,000; assistant president
pro tempore, $3,000; majority floor leader, $5,500; assistant majority floor leader(s),
$3,500; majority floor leader emeritus, $2,500; majority caucus chair, $5,500;
assistant majority caucus chair(s), $1,500; appropriations committee chair, $5,500;
tax and fiscal policy committee chair, $5,500; appropriations committee ranking
majority member, $2,000; tax and fiscal policy committee ranking majority member,
$2,000; majority whip, $4,000; assistant majority whip, $2,000; minority floor leader,
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$6,000; minority leader emeritus, $1,500; minority caucus chair, $5,000; assistant
minority floor leader, $5,000; appropriations committee ranking minority member,
$2,000; tax and fiscal policy committee ranking minority member, $2,000; minority
whip(s), $2,000; assistant minority whip, $1,000; assistant minority caucus chair(s),
$1,000; agriculture committee chair, $1,000; natural resources committee chair,
$1,000; public policy committee chair, $1,000; corrections and criminal law committee
chair, $1,000; civil law committee chair, $1,000; education and career development
chair, $1,000; elections committee chair, $1,000; environmental affairs committee
chair, $1,000; family and children services committee chair, $1,000; pensions and
labor committee chair, $1,000; health and provider services committee chair, $1,000;
homeland security and transportation committee chair, $1,000; veterans affairs and
the military committee chair, $1,000; insurance and financial institutions committee
chair, $1,000; judiciary committee chair, $1,000; local government committee chair,
$1,000; utilities committee chair, $1,000; commerce and technology committee chair,
$1,000; appointments and claims committee chair, $1,000; rules and legislative procedure
committee chair, $1,000; and ethics committee chair, $1,000. If an officer fills more
than one (1) leadership position, the officer shall be paid for the higher paid position.
Officers of the house of representatives are entitled to the following amounts annually
in addition to the subsistence allowance: speaker of the house, $7,000; speaker
pro tempore, $5,000; deputy speaker pro tempore, $2,000; majority floor leader,
$5,500; majority caucus chair, $5,500; majority whip, $4,000; assistant majority
floor leader(s), $3,500; assistant majority caucus chair(s), $2,000; assistant majority
whip(s), $2,000; ways and means committee chair, $5,500; ways and means committee
vice chair, $4,000; ways and means k-12 subcommittee chair, $1,500; ways and means
higher education subcommittee chair, $1,500; ways and means budget subcommittee
chair, $3,000; ways and means health and human services subcommittee chair, $1,500;
ways and means local government subcommittee chair, $1,500; minority leader, $6,000;
minority floor leader, $4,500; minority caucus chair, $4,500; minority whip, $3,000;
assistant minority leader(s), $1,500; assistant minority floor leader(s), $1,500; assistant
minority caucus chair(s), $1,500; assistant minority whip(s), $1,500; ways and means
committee ranking minority member, $3,500; agriculture and rural development committee
chair, $1,000; commerce, small business, and economic development committee chair,
$1,000; courts and criminal code committee chair, $1,000; education committee chair,
$1,000; elections and apportionment committee chair, $1,000; employment, labor, and pensions
committee chair, $1,000; environmental affairs committee chair, $1,000; statutory
committee on legislative ethics committee chair, $1,000; family, children, and human
affairs committee chair, $1,000; financial institutions committee chair, $1,000; insurance
committee chair, $1,000; government and regulatory reform committee chair, $1,000;
judiciary committee chair, $1,000; local government committee chair, $1,000; natural
resources committee chair, $1,000; public health committee chair, $1,000; public policy
committee chair, $1,000; roads and transportation committee chair, $1,000; rules and
legislative procedures committee chair, $1,000; utilities, energy and telecommunications
committee chair, $1,000; and veterans affairs and public safety committee chair, $1,000.
If an officer fills more than one (1) leadership position, the officer may be paid for
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each of the paid positions.
If the senate or house of representatives eliminates a committee or officer referenced
in this SECTION and replaces the committee or officer with a new committee or position,
the above appropriations for subsistence shall be used to pay for the new committee
or officer. However, this does not permit any additional amounts to be paid under
this SECTION for a replacement committee or officer than would have been spent for
the eliminated committee or officer. If the senate or house of representatives creates
a new, additional committee or officer, or assigns additional duties to an existing
officer, the above appropriations for subsistence shall be used to pay for the new
committee or officer, or to adjust the annual payments made to the existing officer,
in amounts determined by the legislative council.
If the funds appropriated for legislators' subsistence are insufficient to pay all
the subsistence incurred, there are hereby appropriated such further sums as may
be necessary to pay such subsistence.
FOR THE LEGISLATIVE COUNCIL AND THE LEGISLATIVE SERVICES AGENCY
Total Operating Expense 20,759,416 21,797,387
LEGISLATOR AND LAY MEMBER TRAVEL
Total Operating Expense 700,000 700,000
Included in the above appropriations are funds for usual and customary expenses
associated with legislative services.
If the funds above appropriated for the legislative council and the legislative
services agency and for legislator and lay member travel are insufficient to pay
all the necessary expenses incurred, there are hereby appropriated such further
sums as may be necessary to pay those expenses.
Any person other than a member of the general assembly who is appointed by the governor,
speaker of the house, president or president pro tempore of the senate, house or senate
minority floor leader, or legislative council to serve on any research, study, or survey
committee or commission is entitled, when authorized by the legislative council, to a
per diem instead of subsistence of $75 per day during the biennium. In addition to the
per diem, such a person is entitled to mileage reimbursement, at the rate specified for
members of the general assembly, for each mile necessarily traveled from the person's
usual place of residence to the state capitol or other in-state site of the committee,
commission, or conference. However, reimbursement for any out-of-state travel expenses
claimed by lay members serving on research, study, or survey committees or commissions
under the jurisdiction of the legislative council shall be based on SECTION 14 of this act,
until the legislative council applies those travel policies and procedures that govern
legislators and their staffs to such lay members as authorized elsewhere in this SECTION.
The allowance and reimbursement permitted in this paragraph shall be paid from the
legislative council appropriations for legislative and lay member travel unless otherwise
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provided for by a specific appropriation.
Included in the above appropriations are funds for the printing and distribution of documents
published by the legislative council, including journals, bills, resolutions, enrolled
documents, the acts of the first and second regular sessions of the 124th general
assembly, the supplements to the Indiana Code for the biennium and the publication of
the Indiana Administrative Code and the Indiana Register. Upon completion of the
distribution of the Acts and the supplements to the Indiana Code, as provided in IC 2-6-1.5,
remaining copies may be sold at a price or prices periodically determined by the
legislative council. If the above appropriations for the legislative council and
the legislative services agency are insufficient to pay all of the necessary expenses
incurred, there are hereby appropriated such sums as may be necessary to pay such
expenses.
TECHNOLOGY INFRASTRUCTURE, SOFTWARE, AND SERVICES
Total Operating Expense 6,152,770 5,679,848
If the above appropriations are insufficient to pay all of the necessary expenses incurred,
there are hereby appropriated such sums as may be necessary to pay such expenses,
including state video streaming services and legislative closed captioning services.
The above appropriations or any part thereof remaining unexpended and unencumbered
at the close of any fiscal year remain available for expenditure until the earlier of
June 30, 2029, or the purposes for which the appropriations were made are accomplished
or abandoned. If any part of the appropriations have not been allotted or encumbered
before the expiration of the biennium, the personnel subcommittee of the legislative
council may determine that any part of the balance of the appropriations may be
reverted to the state general fund.
The legislative services agency shall charge the following fees, unless the legislative
council sets these or other fees at different rates:
Annual subscription to the session document service for sessions ending in
odd-numbered years: $900
Annual subscription to the session document service for sessions ending in
even-numbered years: $500
Per page charge for copies of legislative documents: $0.15
NATIONAL ASSOCIATION DUES 461,122 741,428
Total Operating Expense
FOR THE COMMISSION ON UNIFORM STATE LAWS
Total Operating Expense 100,000 100,000
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FOR THE INDIANA LOBBY REGISTRATION COMMISSION
Total Operating Expense 419,402 453,123
FOR THE INDIANA PUBLIC RETIREMENT SYSTEM
LEGISLATORS' RETIREMENT FUND
Total Operating Expense 6,113 6,113
B. JUDICIAL
FOR THE SUPREME COURT 21,021,518 21,021,518
Total Operating Expense
The above appropriations include the subsistence allowance provided by IC 33-38-5-8.
LOCAL JUDGES' SALARIES 100,439,726 100,620,302
Total Operating Expense 35,794,283 35,794,283
5,700,000 5,700,000
COUNTY PROSECUTORS' SALARIES 1,950,000 1,950,000
Total Operating Expense 1,545,719 1,545,719
PROBLEM SOLVING COURTS
Total Operating Expense
SUPREME COURT TITLE IV-D
Total Operating Expense
TRIAL COURT OPERATIONS
Total Operating Expense
Of the above appropriations, $500,000 each fiscal year is for court interpreters.
INDIANA COURT TECHNOLOGY 20,588,380 20,588,380
Total Operating Expense
Of the above appropriations, $3,000,000 each fiscal year shall be used for the INjail
statewide management system.
INDIANA CONFERENCE FOR LEGAL EDUCATION OPPORTUNITY
Total Operating Expense 739,813 739,813
GUARDIAN AD LITEM
Total Operating Expense 6,020,920 6,020,920
The Office of Judicial Administration shall use the above appropriations to administer
an office of guardian ad litem and court appointed special advocate services and to
provide matching funds to counties that are required to implement, in courts with
juvenile jurisdiction, a guardian ad litem and court appointed special advocate program
for children who are alleged to be victims of child abuse or neglect under IC 31-33.
A county may use these matching funds to supplement amounts collected as fees under
IC 31-40-3 to be used for the operation of guardian ad litem and court appointed
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special advocate programs. The county fiscal body shall appropriate adequate funds
for the county to be eligible for these matching funds.
ADULT GUARDIANSHIP 1,425,000 1,425,000
Total Operating Expense
The above appropriations are for the administration of the office of adult guardianship
and to provide matching funds to county courts with probate jurisdiction that implement
and administer programs for volunteer advocates for seniors and incapacitated adults
who are appointed a guardian under IC 29. Volunteer advocates for seniors and incapacitated
adults programs shall provide a match of 50% of the funds appropriated by the office
of judicial administration of which up to half may be an in-kind match and the remainder
must be county funds or other local county resources. Only programs certified by the
supreme court are eligible for matching funds. The above appropriations include funds
to maintain an adult guardianship registry to serve as a data repository for adult guardianship
cases and guardians appointed by the courts.
CIVIL LEGAL AID 2,850,000 2,850,000
Total Operating Expense 141,550 141,550
SPECIAL JUDGES - COUNTY COURTS
Total Operating Expense
If the funds appropriated above for special judges of county courts are insufficient to pay
all of the necessary expenses that the state is required to pay under IC 34-35-1-4, there
are hereby appropriated such further sums as may be necessary to pay these expenses.
INTERSTATE COMPACT FOR ADULT OFFENDERS
Total Operating Expense 224,371 224,371
COMMISSION ON IMPROVING THE STATUS OF CHILDREN
Total Operating Expense 350,000 350,000
PROBATION OFFICERS TRAINING
Total Operating Expense 712,500 712,500
DRUG AND ALCOHOL PROGRAMS
Total Operating Expense 95,000 95,000
PRE-TRIAL COMPLIANCE
Total Operating Expense 3,800,000 3,800,000
FOR THE COMMISSION ON COURT APPOINTED ATTORNEYS
Total Operating Expense 32,370,120 32,370,120
Public Defense Fund (IC 33-40-6-1)
Total Operating Expense 7,400,000 7,400,000
The above appropriations from the public defense fund are made from the distribution
authorized by IC 33-37-7-9(c) for the purpose of reimbursing counties for indigent
defense services provided to a defendant. Administrative costs may be paid from the public
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defense fund. Any balance in the public defense fund is appropriated to the commission
on court appointed attorneys.
FOR THE COURT OF APPEALS 14,291,240 14,291,240
Total Operating Expense
The above appropriations include the subsistence allowance provided by IC 33-38-5-8.
FOR THE TAX COURT 918,298 918,298
Total Operating Expense
FOR THE PUBLIC DEFENDER
Total Operating Expense 8,390,595 8,390,595
PUBLIC DEFENDER INCARCERATED DEFENSE SERVICES
Total Operating Expense 1 1
Augmentation is allowed from the General Fund to cover the costs.
The above appropriation shall be used for expenses related to the defense of an
incarcerated person in accordance with IC 33-37-2-4.
FOR THE PUBLIC DEFENDER COUNCIL 1,849,333 1,849,333
Total Operating Expense 237,500 237,500
AT RISK YOUTH AND FAMILIES
Total Operating Expense
FOR THE PROSECUTING ATTORNEYS COUNCIL
Total Operating Expense 1,505,517 1,505,517
161,815
DRUG PROSECUTION
3,000,000
Substance Abuse Prosecution Fund (IC 33-39-8-6) 1,950,000
22,492,020
Total Operating Expense 161,815 5,263,931
Augmentation allowed.
HIGH TECH CRIMES UNIT PROGRAM
Total Operating Expense 3,000,000
PROSECUTING ATTORNEYS TITLE IV-D
Total Operating Expense 1,950,000
FOR THE INDIANA PUBLIC RETIREMENT SYSTEM
JUDGES' RETIREMENT FUND
Total Operating Expense 21,726,703
PROSECUTING ATTORNEYS RETIREMENT FUND
Total Operating Expense 5,128,038
C. EXECUTIVE
FOR THE GOVERNOR'S OFFICE 3,220,500 3,220,500
Total Operating Expense
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SUBSTANCE ABUSE PREVENTION, TREATMENT, AND ENFORCEMENT
State Unrestricted Opioid Settlement Account (IC 4-12-16.2-5(1))
Total Operating Expense 5,000,000 5,000,000
FOR THE LIEUTENANT GOVERNOR 3,696,948 3,696,948
Total Operating Expense
FOR THE SECRETARY OF STATE
ADMINISTRATION
Total Operating Expense 5,779,313 5,779,313
1,590,000
ELECTION SECURITY
250,000
Total Operating Expense 1,590,000 749,972
VOTER EDUCATION OUTREACH 1
1
Total Operating Expense 250,000 1
1
VOTING SYSTEM TECHNOLOGY OVERSIGHT
Total Operating Expense 749,972
STATE RECOUNT COMMISSION (IC 3-12-10-2.2)
Total Operating Expense 1
ELECTRONIC AND ENHANCED ACCESS (IC 4-5-10-5)
Total Operating Expense 1
SECURITIES DIVISION ENFORCEMENT (IC 23-19-6-1)
Total Operating Expense 1
SECURITIES RESTITUTION (IC 23-20-1-26)
Total Operating Expense 1
FOR THE ATTORNEY GENERAL
Total Operating Expense 27,877,264 27,877,264
Agency Settlement Fund (IC 4-12-16-2)
Total Operating Expense 5,554,032 5,554,032
Augmentation allowed.
Real Estate Appraiser Licensing
Total Operating Expense 50,000 50,000
Augmentation allowed.
Tobacco Master Settlement Agreement Fund (IC 4-12-1-14.3)
Total Operating Expense 818,916 818,916
Augmentation allowed.
Abandoned Property Fund (IC 32-34-1.5-42)
Total Operating Expense 2,527,916 2,527,916
Augmentation allowed.
OFFICE-MEDICAID FRAUD CONTROL UNIT
Total Operating Expense 2,171,000 2,171,000
The above appropriations are the state's matching share of funding for the state Medicaid
fraud control unit under IC 4-6-10 as prescribed by 42 U.S.C. 1396b(q). Augmentation
allowed from collections.
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
CONSUMER DATA PRIVACY
Total Operating Expense 475,000 475,000
7,883,908
UNCLAIMED PROPERTY
Abandoned Property Fund (IC 32-34-1.5-42)
Total Operating Expense 7,883,908
Augmentation allowed.
D. FINANCIAL MANAGEMENT
FOR THE STATE COMPTROLLER 8,201,668 8,201,668
Total Operating Expense
FOR THE STATE BOARD OF ACCOUNTS 19,956,429 19,956,429
Total Operating Expense 15,292,119 15,292,119
EXAMINATIONS
Examinations Fund (IC 5-11-4-3)
Total Operating Expense
Augmentation allowed.
FOR THE OFFICE OF MANAGEMENT AND BUDGET
Total Operating Expense 926,199 926,199
0
AGENCY CONTRACT MANAGEMENT REFORM
Total Operating Expense 7,000,000
FOR THE DISTRESSED UNIT APPEAL BOARD
Total Operating Expense 1,000,000 1,000,000
Augmentation allowed after budget committee review.
FOR THE MANAGEMENT PERFORMANCE HUB
Total Operating Expense 9,325,010 9,325,010
FOR THE STATE BUDGET AGENCY 4,625,802 4,625,802
Total Operating Expense 10,000,000 0
STATE AGENCY CONTINGENCY FUND
Total Operating Expense
The above appropriations may be allotted to departments, institutions, and all state
agencies by the budget agency with the approval of the governor. The above appropriations
shall be allotted in the amount requested by the judicial branch, the legislative branch,
and statewide elected officials by the budget agency.
FINANCIAL RESPONSIBILITY AND OPPORTUNITY GROWTH FUND 300,000,000
Total Operating Expense
HEA 1001 — CC 1
13
FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
Subject to budget committee review, the above appropriation may be used by the budget
agency to augment the state correctional facilities operations appropriation made
to the department of correction, the Medicaid assistance appropriation made to the
family and social services administration, and the family and children fund appropriation
made to the department of child services.
PERSONAL SERVICES 0 82,500,000
Total Operating Expense
The above appropriation shall be allotted by the budget agency to the judicial branch,
the legislative branch, and statewide elected officials to support the costs of a supplemental
pay period occurring in the fiscal year ending June 30, 2027.
The above appropriation may be allotted to departments, institutions, and all state
agencies by the budget agency with the approval of the governor to support the
costs of a supplemental pay period occurring in the fiscal year ending June 30, 2027.
OUTSIDE ACTS
Total Operating Expense 1 1
Augmentation allowed after budget committee review.
STATE BUDGET COMMITTEE 91,496 91,496
Total Operating Expense
Augmentation allowed.
Notwithstanding IC 4-12-1-11(b), the salary per diem of the legislative members
of the budget committee is equal to one hundred fifty percent (150%) of the legislative
business per diem allowance.
FOR THE INDIANA PUBLIC RETIREMENT SYSTEM
PUBLIC SAFETY PENSION
Total Operating Expense 140,000,000 130,000,000
30,000
Augmentation allowed.
LOCAL PENSION REPORT
Total Operating Expense 30,000
FOR THE TREASURER OF STATE 1,976,054 1,976,054
Total Operating Expense 356,853 356,853
0
ABLE AUTHORITY (IC 12-11-14) 10,000,000
Total Operating Expense
CAREER SCHOLARSHIP ACCOUNTS
Total Operating Expense
The treasurer of state shall use the above appropriation to deposit $5,000 into
each eligible career scholarship participant's career scholarship account each fiscal
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
year.
INDIANA EDUCATION SCHOLARSHIP ACCOUNT PROGRAM (IC 20-51.4)
Total Operating Expense 10,000,000 0
E. TAX ADMINISTRATION
FOR THE DEPARTMENT OF REVENUE
COLLECTION AND ADMINISTRATION
Total Operating Expense 76,868,727 76,868,727
With the approval of the governor and the budget agency, the department shall annually
reimburse the general fund for expenses incurred in support of the collection of
dedicated fund revenue according to the department's cost allocation plan.
With the approval of the governor and the budget agency, the above appropriations
may be augmented to an amount not exceeding in total, together with the above specific
amounts, one and one-tenth percent (1.1%) of the amount of money collected by the
department from taxes and fees.
OUTSIDE COLLECTIONS 4,356,593 4,356,593
Total Operating Expense
With the approval of the governor and the budget agency, the above appropriations
may be augmented to an amount not exceeding in total, together with the above specific
amounts, one and one-tenth percent (1.1%) of the amount of money collected by the
department from taxes and fees.
MOTOR CARRIER REGULATION
Motor Carrier Regulation Fund (IC 8-2.1-23-1)
Total Operating Expense 10,029,579 10,029,579
Augmentation allowed.
FOR THE INDIANA GAMING COMMISSION 3,642,785 3,642,785
State Gaming Fund (IC 4-33-13-2) 1,380,073 1,380,073
Total Operating Expense
Gaming Investigations (IC 4-33-4-18(b))
Total Operating Expense
The above appropriations are made from revenues accruing to the state gaming fund
under IC 4-33 before any distribution is made under IC 4-33-13-5.
GAMING RESEARCH DIVISION 325,000 325,000
Total Operating Expense
ATHLETIC COMMISSION
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
State Gaming Fund (IC 4-33-13-2)
Total Operating Expense 16,383 16,383
Athletic Fund (IC 4-33-22-9)
Total Operating Expense 66,683 66,683
FANTASY SPORTS REGULATION AND ADMINISTRATION
Fantasy Sports Regulation and Administration Fund (IC 4-33-24-28)
Total Operating Expense 49,990 49,990
FOR THE INDIANA HORSE RACING COMMISSION
Indiana Horse Racing Commission Operating Fund (IC 4-31-10-2)
Total Operating Expense 3,795,825 3,795,825
STANDARDBRED ADVISORY BOARD
Indiana Horse Racing Commission Operating Fund (IC 4-31-10-2)
Total Operating Expense 193,500 193,500
Augmentation allowed.
FOR THE DEPARTMENT OF LOCAL GOVERNMENT FINANCE
Total Operating Expense 4,420,648 4,420,648
Assessment Training and Administration Fund (IC 6-1.1-5.5-4.7)
Total Operating Expense 1,341,280 1,341,280
Augmentation allowed from the assessment training and administration fund.
FOR THE INDIANA BOARD OF TAX REVIEW
Total Operating Expense 1,743,512 1,743,512
Assessment Training and Administration Fund (IC 6-1.1-5.5-4.7)
Total Operating Expense 320,628 320,628
Augmentation allowed from the assessment training and administration fund.
F. ADMINISTRATION
FOR THE DEPARTMENT OF ADMINISTRATION
Total Operating Expense 25,005,576 25,005,576
MOTOR POOL ROTARY FUND
Total Operating Expense 5,310,300 5,310,300
Charity Gaming Enforcement Fund (IC 4-32.3-7-1)
Total Operating Expense 91,500 91,500
Fire and Building Services Fund (IC 22-12-6-1)
Total Operating Expense 438,500 438,500
State Highway Fund (IC 8-23-9-54)
Total Operating Expense 3,659,200 3,659,200
Integrated Public Safety Communications Fund (IC 5-26-4-1)
Total Operating Expense 110,000 110,000
ATC Enforcement and Administration Fund (IC 7.1-4-10-1)
Total Operating Expense 540,000 540,000
State Parks & Reservoirs Special Revenue Fund (IC 14-19-8-2)
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
Total Operating Expense 666,400 666,400
197,000
Indiana Correctional Industries Fund (IC 11-10-6-6) 174,621
42,000
Total Operating Expense 197,000
Motorcycle Operator Safety Education Fund (IC 9-27-7-7)
Total Operating Expense 174,621
Bureau of Motor Vehicles Commission Fund (IC 9-14-14-1)
Total Operating Expense 42,000
The budget agency may transfer portions of the above dedicated fund appropriations
from the department of administration back to the agency that provided the appropriation
if necessary.
In addition to the above appropriations, the budget agency with the approval of the governor
may transfer appropriations to the motor pool rotary fund established in IC 4-13-1-4
for the purchase of vehicles and related equipment.
FOR THE STATE PERSONNEL DEPARTMENT
Total Operating Expense 3,834,223 3,834,223
321,600
GOVERNOR'S FELLOWSHIP PROGRAM
2,493,135
Total Operating Expense 321,600 145,000
OFFICE OF ADMINISTRATIVE LAW PROCEEDINGS
Total Operating Expense 2,493,135
PCORI FEE
Total Operating Expense 145,000
Augmentation allowed.
FOR THE STATE EMPLOYEES' APPEALS COMMISSION
Total Operating Expense 182,643 182,643
FOR THE OFFICE OF TECHNOLOGY
IN MAPPING DATA AND STANDARD (GIS)
Total Operating Expense 5,000,000 5,000,000
FOR THE INDIANA ARCHIVES AND RECORDS ADMINISTRATION
Total Operating Expense 2,427,737 2,427,737
FOR THE OFFICE OF THE PUBLIC ACCESS COUNSELOR
Total Operating Expense 339,390 339,390
G. OTHER
FOR THE OFFICE OF THE INSPECTOR GENERAL AND THE STATE ETHICS COMMISSION
Total Operating Expense 1,493,591 1,493,591
FOR THE SECRETARY OF STATE
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
ELECTION DIVISION 1,727,299 1,727,299
Total Operating Expense 2,250,000 2,250,000
3,361,759 3,361,759
VOTER LIST MAINTENANCE
Total Operating Expense
VOTER REGISTRATION SYSTEM
Total Operating Expense
SECTION 4. [EFFECTIVE JULY 1, 2025]
PUBLIC SAFETY
A. CORRECTION
FOR THE DEPARTMENT OF CORRECTION
CENTRAL OFFICE
Total Operating Expense 38,362,013 33,362,013
199,736
ESCAPEE COUNSEL AND TRIAL EXPENSE
4,152,639
Total Operating Expense 199,736 95,058
COUNTY JAIL MISDEMEANANT HOUSING 2,906,366
950,259
Total Operating Expense 4,152,639
7,238,356
ADULT CONTRACT BEDS 1,117,448
65,625,165
Total Operating Expense 95,058
STAFF DEVELOPMENT AND TRAINING
Total Operating Expense 2,906,366
PAROLE BOARD
Total Operating Expense 950,259
INFORMATION MANAGEMENT SERVICES
Total Operating Expense 7,238,356
JUVENILE TRANSITION
Total Operating Expense 1,117,448
COMMUNITY CORRECTIONS PROGRAMS
Total Operating Expense 65,625,165
Notwithstanding IC 4-9.1-1-7, IC 4-12-1-12, IC 4-13-2-23, or any other law, the above
appropriations for community corrections programs are not subject to transfer to
any other fund or transfer, assignment, or reassignment for any other use or purpose
by the state board of finance or by the budget agency. Notwithstanding IC 4-13-2-19
and any other law, the above appropriations for community corrections programs
do not revert to the state general fund or another fund at the close of a state fiscal
year but remain available in subsequent state fiscal years for the purposes of the programs.
HOOSIER INITIATIVE FOR RE-ENTRY (HIRE)
Total Operating Expense 832,806 832,806
1,469,866
CENTRAL EMERGENCY RESPONSE
Total Operating Expense 1,469,866
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
HEPATITIS C TREATMENT
Total Operating Expense 10,000,000 10,000,000
127,500
DRUG ABUSE PREVENTION
11,000,000
Corrections Drug Abuse Fund (IC 11-8-2-11) 1
Total Operating Expense 127,500
Augmentation allowed.
CORRECTIONAL FACILITIES CALLING SYSTEM
Correctional Facilities Calling System (IC 5-22-23-7)
Total Operating Expense 11,000,000
Augmentation allowed.
EXONERATION
Total Operating Expense 1
Augmentation allowed.
The above appropriations shall be used for expenses relating to the restitution
of wrongfully incarcerated persons pursuant to IC 5-2-23. The department shall
collaborate with the Indiana Criminal Justice Institute to administer this program.
COUNTY JAIL MAINTENANCE CONTINGENCY
Total Operating Expense 45,000,000 41,000,000
The above appropriations are for reimbursing sheriffs for the costs of: (1) persons
convicted of level 6 felonies that are incarcerated in county jails, and (2) jail and
parole holds. The department shall reimburse sheriffs $42 per day for the costs
described in this section. All requests for reimbursement shall be submitted within
60 days of expenses incurred in order to be eligible for reimbursement. All requests
for reimbursement shall be in conformity with department policy.
If the above appropriations are insufficient to cover the full cost of reimbursement
in a state fiscal year the amount needed to cover the full cost of reimbursement
shall be transferred from appropriations made to the department of correction central
office.
For persons convicted of level 6 felonies that are incarcerated in county jails,
sheriffs shall be entitled to reimbursement only for the time that the person is
incarcerated in the county jail.
For jail and parole holds, reimbursement shall be based on the later of: (1) the
dates of incarceration when persons are incarcerated for more than five (5) days
after the day of sentencing; or (2) the date upon which the department receives
the abstract of judgment and sentencing order. The state shall reimburse the sheriffs
for expenses determined by the sheriff to be medically necessary medical care to
the convicted persons. If the sheriff or county receives money with respect to a
convicted person (from a source other than the county), the per diem or medical
expense reimbursement with respect to the convicted person shall be reduced by the
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
amount received. A sheriff shall not be required to comply with IC 35-38-3-4(a)
or transport convicted persons within five (5) days after the day of sentencing if the
department of correction does not have the capacity to receive the convicted person.
CORRECTIONAL SERVICES
Total Operating Expense 225,063,624 225,063,624
JUVENILE DETENTION ALTERNATIVES INITIATIVE (JDAI)
Total Operating Expense 2,899,778 2,899,778
PAROLE DIVISION
Total Operating Expense 19,854,491 19,854,491
STATE CORRECTIONAL FACILITIES OPERATIONS
Total Operating Expense 598,138,820 582,467,382
Augmentation allowed.
Work Release Fund (IC 11-10-8-6.5)
Total Operating Expense 655,820 655,820
Augmentation allowed from the work release fund.
FOR THE DEPARTMENT OF ADMINISTRATION
DEPARTMENT OF CORRECTION OMBUDSMAN BUREAU
Total Operating Expense 238,357 238,357
B. LAW ENFORCEMENT
FOR THE INDIANA STATE POLICE
Total Operating Expense 215,000,000 220,000,000
Motor Carrier Regulation Fund (IC 8-2.1-23-1)
Total Operating Expense 5,684,355 5,684,355
Augmentation allowed from the motor carrier regulation fund.
The above appropriations include funds for the state police minority recruiting program.
The above appropriations include funds for the police security detail to be provided
to the Indiana state fair board. However, amounts actually expended to provide security
for the Indiana state fair board as determined by the budget agency shall be reimbursed
by the Indiana state fair board to the state general fund.
ISP OPEB CONTRIBUTION
Total Operating Expense 4,400,000 4,400,000
1,000,000
INTERNET CRIMES AGAINST CHILDREN (IC 10-11-10-2) 1,600,000
18,000,000
Total Operating Expense 1,000,000
INDIANA INTELLIGENCE FUSION CENTER
Total Operating Expense 1,600,000
FORENSIC AND HEALTH SCIENCES LABORATORIES
Total Operating Expense 18,000,000
Motor Carrier Regulation Fund (IC 8-2.1-23-1)
HEA 1001 — CC 1
20
FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
Total Operating Expense 1,320,708 1,320,708
Augmentation allowed from the motor carrier regulation fund.
ENFORCEMENT AID 59,791 59,791
Total Operating Expense
The above appropriations are to meet unforeseen emergencies of a confidential nature.
They are to be expended under the direction of the superintendent and to be accounted
for solely on the superintendent's authority.
RETIREMENT PENSION FUND 37,628,220 37,628,220
Total Operating Expense
The above appropriations shall be paid into the state police pension fund provided for
in IC 10-12-2 in twelve (12) equal installments on or before July 30 and on or before
the 30th of each succeeding month thereafter.
If the amount actually required under IC 10-12-2 is greater than the above appropriations,
the above appropriations may be augmented from the general fund with the approval of
the governor and the budget agency.
BENEFIT TRUST FUND 6,000,000 6,000,000
Total Operating Expense
All benefits to members shall be paid by warrant drawn on the treasurer of state by the
state comptroller on the basis of claims filed and approved by the trustees of the state
police pension and benefit funds created by IC 10-12-2.
If the amount actually required under IC 10-12-2 is greater than the above appropriations,
the above appropriations may be augmented from the general fund with the approval of
the governor and the budget agency.
PRE-1987 RETIREMENT
Total Operating Expense 5,450,000 5,450,000
4,122
ACCIDENT REPORTING
202,249
Accident Report Account (IC 9-26-9-3) 1,789,875
Total Operating Expense 4,122
Augmentation allowed.
DRUG INTERDICTION
Drug Interdiction Fund (IC 10-11-7-1)
Total Operating Expense 202,249
Augmentation allowed.
DNA SAMPLE PROCESSING FUND
DNA Sample Processing Fund (IC 10-13-6-9.5)
Total Operating Expense 1,789,875
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
Augmentation allowed.
FOR THE INTEGRATED PUBLIC SAFETY COMMISSION
Integrated Public Safety Communications Fund (IC 5-26-4-1)
Total Operating Expense 14,912,849 14,912,849
Augmentation allowed.
FOR THE ADJUTANT GENERAL
Total Operating Expense 9,394,647 9,394,647
CAMP ATTERBURY MUSCATATUCK CENTER FOR COMPLEX OPERATIONS
Total Operating Expense 533,326 533,326
MUSCATATUCK URBAN TRAINING CENTER
Total Operating Expense 1,185,602 1,185,602
HOOSIER YOUTH CHALLENGE ACADEMY
Total Operating Expense 2,398,363 2,398,363
GOVERNOR'S CIVIL AND MILITARY CONTINGENCY FUND
Total Operating Expense 237,500 237,500
The above appropriations are made under IC 10-16-11-1.
FOR THE CRIMINAL JUSTICE INSTITUTE
Total Operating Expense 3,130,277 3,130,277
10,000
Violent Crime Victims Compensation Fund (IC 5-2-6.1-40) 50,000
50,000
Total Operating Expense 10,000
Augmentation allowed.
Victim and Witness Assistance (IC 5-2-6-14)
Total Operating Expense 50,000
Augmentation allowed.
State Drug Free Communities (IC 5-2-10-2)
Total Operating Expense 50,000
Augmentation allowed.
DRUG ENFORCEMENT MATCH 250,000 250,000
Total Operating Expense
To facilitate the duties of the Indiana criminal justice institute as outlined in IC
5-2-6-3, the above appropriations are not subject to the provisions of IC 4-9.1-1-7
when used to support other state agencies through the awarding of state match dollars.
VICTIM AND WITNESS ASSISTANCE FUND
Victim and Witness Assistance (IC 5-2-6-14)
Total Operating Expense 381,833 381,833
Augmentation allowed.
ALCOHOL AND DRUG COUNTERMEASURES
Alcohol and Drug Countermeasures Fund (IC 9-27-2-11)
HEA 1001 — CC 1
22
FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
Total Operating Expense 335,000 335,000
Augmentation allowed.
STATE DRUG FREE COMMUNITIES FUND
State Drug Free Communities (IC 5-2-10-2)
Total Operating Expense 362,845 362,845
Augmentation allowed.
INDIANA LOCAL LAW ENFORCEMENT TRAINING DISTRIBUTION
Total Operating Expense 5,000,000 5,000,000
The above appropriations are for the purpose of providing distributions to city, town,
and county law enforcement agencies to conduct law enforcement training, including
the purchase of supplies and training materials. A distribution to a law enforcement
agency in a fiscal year may not exceed the amount that the law enforcement agency
received from fees collected pursuant to IC 35-47-2-3 in calendar year 2020.
OFFICE OF TRAFFIC SAFETY 707,633 707,633
Total Operating Expense
The above appropriations may be used as the state match requirement for this program
according to the current highway safety plan approved by the governor and the budget
agency.
SEXUAL ASSAULT VICTIMS' ASSISTANCE
Total Operating Expense 4,018,782 4,018,782
VICTIMS OF VIOLENT CRIME ADMINISTRATION
Total Operating Expense 3,708,133 3,708,133
Violent Crime Victims Compensation Fund (IC 5-2-6.1-40)
Total Operating Expense 3,325,844 3,325,844
Augmentation allowed from the violent crime victims compensation fund.
If the above appropriations are insufficient to pay eligible claims, the budget
agency may augment the above appropriations from the general fund.
DOMESTIC VIOLENCE PREVENTION AND TREATMENT
Total Operating Expense 8,000,000 8,000,000
Domestic Violence Prevention and Treatment Fund (IC 5-2-6.7-4)
Total Operating Expense 1,226,800 1,226,800
Augmentation allowed from the domestic violence prevention and treatment fund.
The above appropriations may not be used to construct a new domestic violence shelter
but may be used to repair existing shelters.
JUVENILE RECIDIVISM REDUCTION PILOT PROJECT
Total Operating Expense 100,000 100,000
INDIANA CRIME GUNS TASK FORCE
HEA 1001 — CC 1
23
FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
Total Operating Expense 2,000,000 2,000,000
FOR THE DEPARTMENT OF TOXICOLOGY
Total Operating Expense 2,760,026 2,760,026
BREATH TEST TRAINING AND CERTIFICATION
Breath Test Training and Certification Fund (IC 10-20-2-9)
Total Operating Expense 355,000 355,000
Augmentation allowed from the breath test training and certification fund.
FOR THE CORONERS TRAINING BOARD
Coroners Training and Continuing Education Fund (IC 4-23-6.5-8)
Total Operating Expense 475,000 475,000
Augmentation allowed.
The department of health shall administer the coroners training and continuing education
fund.
FOR THE LAW ENFORCEMENT TRAINING ACADEMY
Total Operating Expense 4,332,967 4,332,967
Law Enforcement Academy Fund (IC 5-2-1-13)
Total Operating Expense 2,938,086 2,938,086
Augmentation allowed from the law enforcement academy fund.
C. REGULATORY AND LICENSING
FOR THE BUREAU OF MOTOR VEHICLES
Total Operating Expense 29,284,278 29,284,278
18,091,800
STATE MOTOR VEHICLE TECHNOLOGY 1,705,222
135,819,542
State Motor Vehicle Technology Fund (IC 9-14-14-3)
Total Operating Expense 18,091,800
Augmentation allowed.
MOTORCYCLE OPERATOR SAFETY
Motorcycle Operator Safety Education Fund (IC 9-27-7-7)
Total Operating Expense 1,705,222
Augmentation allowed.
LICENSE BRANCHES
Bureau of Motor Vehicles Commission Fund (IC 9-14-14-1)
Total Operating Expense 135,819,542
Augmentation allowed.
FOR THE DEPARTMENT OF LABOR 871,387 871,387
Total Operating Expense 181,074 181,074
BUREAU OF MINES AND SAFETY
Total Operating Expense
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
QUALITY, METRICS, AND STATISTICS (M.I.S.)
Total Operating Expense 144,098 144,098
2,269,118
OCCUPATIONAL SAFETY AND HEALTH
Total Operating Expense 2,269,118
The above appropriations for occupational safety and health and M.I.S. research and
statistics reflect only the general fund portion of the total program costs of the Indiana
occupational safety and health plan as approved by the U.S. Department of Labor. It is
the intent of the general assembly that the Indiana department of labor apply to the
federal government for the federal share of the total program costs.
EMPLOYMENT OF YOUTH
Labor Education and Youth Employment Fund (IC 22-2-18.1-32)
Total Operating Expense 635,794 635,794
Augmentation allowed.
INSAFE
Special Fund for Safety and Health Consultation Services (IC 22-8-1.1-48)
Total Operating Expense 380,873 380,873
Augmentation allowed.
FOR THE DEPARTMENT OF INSURANCE
Department of Insurance Fund (IC 27-1-3-28)
Total Operating Expense 18,095,972 18,095,972
Augmentation allowed.
ALL PAYER CLAIMS DATABASE
Department of Insurance Fund (IC 27-1-3-28)
Total Operating Expense 4,512,442 4,512,442
Augmentation allowed.
BAIL BOND DIVISION
Bail Bond Enforcement and Administration Fund (IC 27-10-5-1)
Total Operating Expense 81,880 81,880
Augmentation allowed.
PATIENT'S COMPENSATION AUTHORITY
Patients' Compensation Fund (IC 34-18-6-1)
Total Operating Expense 4,216,705 4,216,705
Augmentation allowed.
POLITICAL SUBDIVISION RISK MANAGEMENT
Political Subdivision Risk Management Fund (IC 27-1-29-10)
Total Operating Expense 133,108 133,108
Augmentation allowed.
MINE SUBSIDENCE INSURANCE
Mine Subsidence Insurance Fund (IC 27-7-9-7)
Total Operating Expense 2,400,000 2,400,000
Augmentation allowed.
TITLE INSURANCE ENFORCEMENT OPERATING
HEA 1001 — CC 1
25
FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
Title Insurance Enforcement Fund (IC 27-7-3.6-1)
Total Operating Expense 941,121 941,121
Augmentation allowed.
FOR THE ALCOHOL AND TOBACCO COMMISSION (ATC)
ATC Enforcement and Administration Fund (IC 7.1-4-10-1)
Total Operating Expense 17,483,329 17,483,329
Augmentation allowed.
The above appropriations include $500,000 each fiscal year for the purchase and
maintenance of excise officer body cameras.
YOUTH TOBACCO EDUCATION AND ENFORCEMENT
Richard D. Doyle Tobacco Education and Enforcement Fund (IC 7.1-6-2-6)
Total Operating Expense 72,849 72,849
Augmentation allowed.
ATC OPEB CONTRIBUTION
ATC Enforcement and Administration Fund (IC 7.1-4-10-1)
Total Operating Expense 658,617 658,617
Augmentation allowed.
FOR THE DEPARTMENT OF FINANCIAL INSTITUTIONS
Financial Institutions Fund (IC 28-11-2-9)
Total Operating Expense 12,472,649 12,472,649
Augmentation allowed.
FOR THE PROFESSIONAL LICENSING AGENCY
Total Operating Expense 9,816,091 9,816,091
2,271,134
CONTROLLED SUBSTANCES DATA FUND (INSPECT)
67,000
Controlled Substances Data Fund (IC 25-26-24-23) 250
Total Operating Expense 2,271,134 175,014
Augmentation allowed.
PRENEED CONSUMER PROTECTION
Preneed Consumer Protection Fund (IC 30-2-13-28)
Total Operating Expense 67,000
Augmentation allowed.
BOARD OF FUNERAL AND CEMETERY SERVICE
Funeral Service Education Fund (IC 25-15-9-13)
Total Operating Expense 250
Augmentation allowed.
DENTAL PROFESSION INVESTIGATION
Dental Compliance Fund (IC 25-14-1-3.7)
Total Operating Expense 175,014
Augmentation allowed.
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
PHYSICIAN INVESTIGATION 7,586 7,586
Physician Compliance Fund (IC 25-22.5-2-8)
Total Operating Expense
Augmentation allowed.
FOR THE CIVIL RIGHTS COMMISSION
COMMISSION ON THE SOCIAL STATUS OF BLACK MALES
Total Operating Expense 128,659 128,659
COMMISSION ON HISPANIC/LATINO AFFAIRS
Total Operating Expense 114,255 114,255
CIVIL RIGHTS COMMISSION
Total Operating Expense 2,256,958 2,256,958
The above appropriations for the Indiana civil rights commission reflect only the
general fund portion of the total program costs for the processing of employment
and housing discrimination complaints. It is the intent of the general assembly
that the commission shall apply to the federal government for funding based upon
the processing of employment and housing discrimination complaints.
NATIVE AMERICAN INDIAN AFFAIRS COMMISSION
Total Operating Expense 103,909 103,909
47,500
DR. MARTIN LUTHER KING JR. HOLIDAY COMMISSION
Total Operating Expense 47,500
FOR THE UTILITY CONSUMER COUNSELOR
Total Operating Expense 7,970,317 7,970,317
748,598
Augmentation allowed.
EXPERT WITNESS FEES AND AUDIT
Total Operating Expense 748,598
Augmentation allowed.
FOR THE UTILITY REGULATORY COMMISSION
Total Operating Expense 11,065,069 11,065,069
Augmentation allowed.
FOR THE WORKER'S COMPENSATION BOARD
Total Operating Expense 2,038,063 2,038,063
Workers' Compensation Supplemental Administrative Fund (IC 22-3-5-6)
Total Operating Expense 409,155 409,155
Augmentation allowed from the worker's compensation supplemental administrative fund.
FOR THE STATE BOARD OF ANIMAL HEALTH
Total Operating Expense 6,888,952 6,888,952
5,000,000
ANIMAL DISEASE DIAGNOSTIC LABORATORY SYSTEM
Total Operating Expense 5,000,000
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
The above appropriations shall be used to fund the animal disease diagnostic laboratory
system (ADDL), which consists of the main ADDL at West Lafayette and the southern
branch of ADDL Southern Indiana Purdue Agricultural Center (SIPAC) in Dubois County.
The above appropriations are in addition to any user charges that may be established
and collected under IC 21-46-3-5.
INDEMNITY
Total Operating Expense 42,500 42,500
2,485,974
Augmentation allowed.
47,000
MEAT & POULTRY
Total Operating Expense 2,485,974
CAPTIVE CERVIDAE PROGRAMS
Captive Cervidae Programs Fund (IC 15-17-14.7-16)
Total Operating Expense 47,000
Augmentation allowed.
FOR THE DEPARTMENT OF HOMELAND SECURITY
Total Operating Expense 2,964,172 2,964,172
The department may use the above appropriations for a statewide platform that connects
data between state and local agencies to provide information to keep schools safe.
Fire and Building Services Fund (IC 22-12-6-1)
Total Operating Expense 17,914,929 17,914,929
Augmentation allowed. 8,631,876
70,438
REGIONAL PUBLIC SAFETY TRAINING
1,000,000
Total Operating Expense 8,631,876 27,100,000
RADIOLOGICAL HEALTH 400,000
Total Operating Expense 70,438
OFFICE OF SCHOOL SAFETY
Total Operating Expense 1,000,000
INDIANA SECURED SCHOOL SAFETY
Total Operating Expense 27,100,000
Indiana Secured School Fund (IC 10-21-1-2)
Total Operating Expense 400,000
Augmentation allowed from the Indiana secured school fund.
Of the above appropriations, the department shall make $400,000 available each fiscal
year to provide grants to school corporations, charter schools, and accredited nonpublic
schools for bullying prevention programs.
Of the above appropriations, the department shall make $1,000,000 available each
fiscal year to provide grants to school corporations, charter schools, and accredited
nonpublic schools to implement a student and parent support services plan.
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
Of the above appropriations, the department shall make $700,000 available each
fiscal year to accredited nonpublic schools that apply for grants for the purchase
of security equipment or other security upgrades. The department shall prioritize
grants to nonpublic schools that demonstrate a heightened risk of security threats.
EMERGENCY MANAGEMENT CONTINGENCY FUND
Total Operating Expense 92,424 92,424
Augmentation allowed.
The above appropriations are made under IC 10-14-3-28. The budget agency shall report
any augmentations of the emergency management contingency fund to the state budget
committee no more than 60 days after the augmentation is made.
PUBLIC ASSISTANCE GRANT PROGRAM
Total Operating Expense 1 1
Augmentation allowed.
INDIANA EMERGENCY RESPONSE COMMISSION
Total Operating Expense 54,294 54,294
Local Emergency Planning and Right to Know Fund (IC 13-25-2-10.5)
Total Operating Expense 74,413 74,413
Augmentation allowed.
STATE DISASTER RELIEF
State Disaster Relief Fund (IC 10-14-4-5)
Total Operating Expense 149,784 149,784
Augmentation allowed.
FIRE PREVENTION AND PUBLIC SAFETY
Fire Prevention and Public Safety Fund (IC 22-14-7-27)
Total Operating Expense 32,000 32,000
Augmentation allowed.
STATEWIDE FIRE AND BUILDING SAFETY EDUCATION
Statewide Fire and Building Safety Education Fund (IC 22-12-6-3)
Total Operating Expense 120,959 120,959
Augmentation allowed.
EMERGENCY MEDICAL SERVICES (EMS) READINESS
Total Operating Expense 4,100,000 4,100,000
The above appropriations shall be used to improve the readiness and sustainability
of emergency medical services. Eligible uses of the funding include the following:
(1) To fund initiatives that address EMS recruitment, training, retention, and other
workforce challenges;
(2) To fund mobile integrated healthcare programs;
(3) To improve EMS availability for interfacility transfers;
(4) To reduce the financial burden on EMS provider organizations or EMS training
institutions to purchase EMS equipment;
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
(5) To conduct a feasibility analysis regarding how computer aided dispatch
systems used by public safety answering points in Indiana can be interoperable
with the intent to facilitate the closest and most appropriate EMS response; and
(6) To fund technology and data connectivity for computer aided dispatch systems
used by public safety answering points in Indiana to be interoperable to facilitate
the closest and most appropriate EMS response.
The department may use any portion of the above appropriations to award grants.
SECTION 5. [EFFECTIVE JULY 1, 2025]
CONSERVATION AND ENVIRONMENT
A. NATURAL RESOURCES
FOR THE DEPARTMENT OF NATURAL RESOURCES (DNR) - ADMINISTRATION
Total Operating Expense 14,343,591 14,343,591
OPEB TRUST FUND - DNR
Total Operating Expense 2,454,372 2,454,372
ENTOMOLOGY AND PLANT PATHOLOGY
Total Operating Expense 967,250 967,250
Entomology and Plant Pathology Fund (IC 14-24-10-3)
Total Operating Expense 302,415 302,415
DIVISION OF HISTORIC PRESERVATION AND ARCHAEOLOGY
Total Operating Expense 1,038,841 1,038,841
NATURE PRESERVES DIVISION
Total Operating Expense 525,709 525,709
WATER DIVISION
Total Operating Expense 5,468,337 5,468,337
DEER RESEARCH AND MANAGEMENT
Deer Research and Management Fund (IC 14-22-5-2)
Total Operating Expense 90,180 90,180
Augmentation allowed.
OIL AND GAS DIVISION
Total Operating Expense 781,413 781,413
Oil and Gas Fund (IC 6-8-1-27)
Total Operating Expense 1,356,665 1,356,665
Augmentation allowed.
STATE PARKS AND RESERVOIRS
Total Operating Expense 3,411,177 3,411,177
State Parks & Reservoirs Special Revenue Fund (IC 14-19-8-2)
Total Operating Expense 43,591,652 43,591,652
Augmentation allowed from the state parks and reservoirs special revenue fund.
SNOWMOBILE FUND
Off-Road Vehicle and Snowmobile Fund (IC 14-16-1-30)
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
Total Operating Expense 78,209 78,209
Augmentation allowed.
DNR LAW ENFORCEMENT DIVISION 24,825,338 24,825,338
3,853,137 3,853,137
Total Operating Expense
Fish and Wildlife Fund (IC 14-22-3-2)
Total Operating Expense
Augmentation allowed.
SPORTSMEN'S BENEVOLENCE
Total Operating Expense 145,500 145,500
16,825,151
FISH AND WILDLIFE DIVISION 7,588,714
3,643,741
Fish and Wildlife Fund (IC 14-22-3-2)
Total Operating Expense 16,825,151
Augmentation allowed.
FORESTRY DIVISION
Total Operating Expense 7,588,714
State Forestry Fund (IC 14-23-3-2)
Total Operating Expense 3,643,741
Augmentation allowed from the state forestry fund.
In addition to any of the above appropriations for the department of natural resources,
any federal funds received by the state of Indiana for the planning, acquisition, and
development of approved outdoor recreation projects under the provisions of the
federal Land and Water Conservation Fund Act, P.L.88-578, are appropriated for the
uses and purposes for which the funds were paid to the state, and shall be distributed
by the department of natural resources to state agencies and other governmental
units in accordance with the provisions under which the funds were received.
SEMIQUINCENTENNIAL COMMISSION
Total Operating Expense 125,000 125,000
LAKE MICHIGAN COASTAL PROGRAM MATCH
Cigarette Tax Fund (IC 6-7-1-28.1)
Total Operating Expense 117,313 117,313
Augmentation allowed.
LAKE AND RIVER ENHANCEMENT
Lake and River Enhancement Fund (IC 14-22-3.5-1)
Total Operating Expense 2,079,013 2,079,013
Augmentation allowed.
CARBON SEQUESTRATION PROJECT PROGRAM ADMINISTRATION
Carbon Sequestration Project Program Administration Fund (IC 14-39-2-10.5)
Total Operating Expense 750,000 750,000
PRESIDENT BENJAMIN HARRISON CONSERVATION TRUST
Benjamin Harrison Conservation Trust Fund (IC 14-12-2-25)
Total Operating Expense 811,750 811,750
Augmentation allowed.
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
INSTITUTIONAL ROAD CONSTRUCTION
State Highway Fund (IC 8-23-9-54)
Total Operating Expense 5,000,000 5,000,000
Subject to approval by the budget director, the above appropriations may be used
for road and bridge construction, relocation, and other related improvement projects
at state-owned properties managed by the department of natural resources.
B. OTHER NATURAL RESOURCES
FOR THE INDIANA STATE MUSEUM AND HISTORIC SITES CORPORATION
Total Operating Expense 10,615,778 10,615,778
In lieu of billing the University of Southern Indiana, the above appropriations
include $25,000 each fiscal year for the purpose of maintaining historic properties
in New Harmony.
FOR THE WAR MEMORIALS COMMISSION
Total Operating Expense 1,319,377 1,319,377
All revenues received as rent for space in the buildings located at 777 North Meridian
Street and 700 North Pennsylvania Street, in the city of Indianapolis, that exceed the
costs of operation and maintenance of the space rented, shall be deposited into the general
fund.
FOR THE WHITE RIVER STATE PARK DEVELOPMENT COMMISSION
Total Operating Expense 806,081 806,081
FOR THE MAUMEE RIVER BASIN COMMISSION
Total Operating Expense 96,758 96,758
FOR THE ST. JOSEPH RIVER BASIN COMMISSION
Total Operating Expense 99,725 99,725
FOR THE KANKAKEE RIVER BASIN COMMISSION
Total Operating Expense 75,513 75,513
C. ENVIRONMENTAL MANAGEMENT
FOR THE DEPARTMENT OF ENVIRONMENTAL MANAGEMENT
OPERATING
Total Operating Expense 27,501,536 27,501,536
OFFICE OF ENVIRONMENTAL RESPONSE
Total Operating Expense 2,587,050 2,587,050
POLLUTION PREVENTION AND TECHNICAL ASSISTANCE
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
Total Operating Expense 718,451 718,451
RIVERSIDE CLEAN-UP
Total Operating Expense 489,830 489,830
STATE SOLID WASTE GRANTS MANAGEMENT
State Solid Waste Management Fund (IC 13-20-22-2)
Total Operating Expense 3,702,735 3,702,735
Augmentation allowed.
RECYCLING PROMOTION AND ASSISTANCE PROGRAM
Indiana Recycling Promotion and Assistance Fund (IC 4-23-5.5-14)
Total Operating Expense 2,225,116 2,225,116
Augmentation allowed.
VOLUNTARY CLEAN-UP PROGRAM
Voluntary Remediation Fund (IC 13-25-5-21)
Total Operating Expense 1,520,376 1,520,376
Augmentation allowed.
TITLE V AIR PERMIT PROGRAM
Title V Operating Permit Program Trust Fund (IC 13-17-8-1)
Total Operating Expense 11,567,859 11,567,859
Augmentation allowed.
WATER MANAGEMENT PERMITTING
Environmental Management Permit Operation Fund (IC 13-15-11-1)
Total Operating Expense 7,799,674 7,799,674
Augmentation allowed.
SOLID WASTE MANAGEMENT PERMITTING
Environmental Management Permit Operation Fund (IC 13-15-11-1)
Total Operating Expense 4,278,656 4,278,656
Augmentation allowed.
CFO/CAFO INSPECTIONS
Total Operating Expense 2,489,738 2,489,738
HAZARDOUS WASTE MANAGEMENT PERMITTING
Environmental Management Permit Operation Fund (IC 13-15-11-1)
Total Operating Expense 1,221,577 1,221,577
Augmentation allowed.
Environmental Management Special Fund (IC 13-14-12-1)
Total Operating Expense 1,500,000 1,500,000
ENVIRONMENTAL MANAGEMENT SPECIAL OPERATING
Environmental Management Special Fund (IC 13-14-12-1)
Total Operating Expense 3,136,726 3,136,726
Petroleum Storage Tank Trust Fund (IC 13-23-6-1)
Total Operating Expense 110,000 110,000
Petroleum Storage Tank Excess Liability Trust Fund (IC 13-23-7-1)
Total Operating Expense 1,500,000 1,500,000
ELECTRONIC WASTE
Electronic Waste Fund (IC 13-20.5-2-3)
Total Operating Expense 213,685 213,685
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
Augmentation allowed. 4,841,666 4,841,666
AUTO EMISSIONS TESTING PROGRAM
Total Operating Expense
The above appropriations are the maximum amounts available for this purpose. If it becomes
necessary to conduct additional tests in other locations, the above appropriations shall
be prorated among all locations.
HAZARDOUS WASTE SITES - STATE CLEAN-UP
Hazardous Substances Response Trust Fund (IC 13-25-4-1)
Total Operating Expense 3,565,961 3,565,961
Augmentation allowed.
HAZARDOUS WASTE - NATURAL RESOURCE DAMAGES
Hazardous Substances Response Trust Fund (IC 13-25-4-1)
Total Operating Expense 237,215 237,215
Augmentation allowed.
SUPERFUND MATCH
Hazardous Substances Response Trust Fund (IC 13-25-4-1)
Total Operating Expense 1,500,000 1,500,000
Augmentation allowed.
ASBESTOS TRUST - OPERATING
Asbestos Trust Fund (IC 13-17-6-3)
Total Operating Expense 595,641 595,641
Augmentation allowed.
PETROLEUM STORAGE TANK - OPERATING
Petroleum Storage Tank Excess Liability Trust Fund (IC 13-23-7-1)
Total Operating Expense 37,260,610 37,260,610
Augmentation allowed.
WASTE TIRE MANAGEMENT
Waste Tire Management Fund (IC 13-20-13-8)
Total Operating Expense 1,586,492 1,586,492
Augmentation allowed.
COAL COMBUSTION RESIDUALS (CCR) STATE PERMIT PROGRAM
CCR State Permit Program (IC 13-19-3-3.2)
Total Operating Expense 450,000 450,000
Augmentation allowed.
VOLUNTARY COMPLIANCE
Environmental Management Special Fund (IC 13-14-12-1)
Total Operating Expense 604,856 604,856
Augmentation allowed.
PETROLEUM TRUST - OPERATING
Petroleum Storage Tank Trust Fund (IC 13-23-6-1)
Total Operating Expense 1,110,000 1,110,000
Augmentation allowed.
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
Notwithstanding any other law, with the approval of the governor and the budget
agency, the above appropriations for hazardous waste management permitting, wetlands
protection, groundwater program, underground storage tank program, air management
operating, asbestos trust operating, water management, safe drinking water program,
and any other appropriation eligible to be included in a performance partnership grant
may be used to fund activities incorporated into a performance partnership grant
between the United States Environmental Protection Agency and the department of
environmental management.
SECTION 6. [EFFECTIVE JULY 1, 2025]
ECONOMIC DEVELOPMENT
A. AGRICULTURE
FOR THE DEPARTMENT OF AGRICULTURE
Total Operating Expense 2,337,262 2,337,262
The above appropriations include $5,000 each fiscal year to purchase plaques for
the recipients of the Hoosier Homestead award.
DISTRIBUTIONS TO FOOD BANKS
Total Operating Expense 2,000,000 2,000,000
CLEAN WATER INDIANA
Total Operating Expense 6,000,000 6,000,000
Cigarette Tax Fund (IC 6-7-1-28.1)
Total Operating Expense 2,519,014 2,519,014
SOIL CONSERVATION DIVISION
Cigarette Tax Fund (IC 6-7-1-28.1)
Total Operating Expense 1,629,324 1,629,324
Augmentation allowed.
GRAIN BUYERS AND WAREHOUSE LICENSING
Total Operating Expense 600,000 0
Grain Buyers and Warehouse Licensing Agency License Fee Fund (IC 26-3-7-6.3)
Total Operating Expense 675,768 675,768
Augmentation allowed from the grain buyers and warehouse licensing agency license
fee fund in FY 2026 only.
INDIANA GROWN
Total Operating Expense 250,000 250,000
B. COMMERCE
FOR THE LIEUTENANT GOVERNOR
OFFICE OF COMMUNITY AND RURAL AFFAIRS
Total Operating Expense 1,287,959 1,287,959
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
FOR THE INDIANA DESTINATION DEVELOPMENT CORPORATION
Total Operating Expense 3,000,000 3,000,000
The above appropriations include $500,000 each fiscal year to assist the department
of natural resources with marketing efforts.
The office may retain any advertising revenue generated by the office. Any revenue
received is in addition to the above appropriations and is appropriated for the
purposes of the office.
LINCOLN AMPHITHEATER OPERATIONS
Total Operating Expense 329,280 329,280
1,000,000
VETERANS CAREER AND RELOCATION ASSISTANCE 5,000,000
Total Operating Expense 1,000,000
STATEWIDE SPORTS AND TOURISM BID FUND
Total Operating Expense 5,000,000
The above appropriations are pursuant to IC 5-33-6.5-8.
INDIANA SPORTS CORPORATION 750,000 750,000
Total Operating Expense 500,000 500,000
50,000 50,000
FUTURE FARMERS OF AMERICA
Total Operating Expense
GRISSOM AIR MUSEUM
Total Operating Expense
The Grissom Air Museum distribution requires a $50,000 match.
STUDEBAKER NATIONAL MUSEUM 50,000 50,000
Total Operating Expense
The Studebaker Museum distribution requires a $50,000 match.
FOR THE OFFICE OF ENERGY DEVELOPMENT
Total Operating Expense 560,026 560,026
700,000
GRID RESILIENCE MATCH
Total Operating Expense 700,000
FOR THE INDIANA ECONOMIC DEVELOPMENT CORPORATION
ADMINISTRATIVE AND FINANCIAL SERVICES
Total Operating Expense 11,310,159 11,310,159
INDIANA 21ST CENTURY RESEARCH & TECHNOLOGY FUND (IC 5-28-16-2)
Total Operating Expense 25,000,000 25,000,000
INDIANA OFFICE OF DEFENSE DEVELOPMENT
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
Total Operating Expense 782,446 782,446
37,000,000
BUSINESS PROMOTION AND INNOVATION
Total Operating Expense 37,000,000
The above appropriations for business promotion and innovation may not be used to
pay for administrative expenses of the corporation.
FOR THE HOUSING AND COMMUNITY DEVELOPMENT AUTHORITY
INDIANA INDIVIDUAL DEVELOPMENT ACCOUNTS (IC 4-4-28)
Total Operating Expense 579,448 579,448
The housing and community development authority shall collect and report to the
family and social services administration (FSSA) all data required for FSSA to meet
the data collection and reporting requirements in 45 CFR Part 265.
The division of family resources shall apply all qualifying expenditures for individual
development account deposits toward Indiana's maintenance of effort under the federal
Temporary Assistance for Needy Families (TANF) program (45 CFR 260 et seq.).
FOR THE INDIANA FINANCE AUTHORITY
ENVIRONMENTAL REMEDIATION REVOLVING LOAN PROGRAM
Petroleum Storage Tank Excess Liability Trust Fund (IC 13-23-7-1)
Total Operating Expense 4,000,000 4,000,000
C. EMPLOYMENT SERVICES
FOR THE DEPARTMENT OF WORKFORCE DEVELOPMENT
ADMINISTRATION
Total Operating Expense 2,748,115 2,748,115
239,560
SERVE INDIANA ADMINISTRATION 950,000
Total Operating Expense 239,560 16,985,041
INDIANA CONSTRUCTION ROUNDTABLE FOUNDATION
Total Operating Expense 950,000
ADULT EDUCATION DISTRIBUTION
Total Operating Expense 16,985,041
It is the intent of the general assembly that the above appropriations shall be the
total allowable state expenditure for such program. If disbursements are anticipated
to exceed the total appropriation for a state fiscal year, the department of workforce
development shall reduce the distributions proportionately.
WORKFORCE INNOVATION 18,000,000 18,000,000
Total Operating Expense
The above appropriations may be used for the employer training grant program, workforce
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
ready grants, and workforce innovation programs including the reemployment skills
training pilot program.
WORKFORCE DIPLOMA REIMBURSEMENT PROGRAM
Total Operating Expense 1,425,000 1,425,000
FOR THE OFFICE OF ENTREPRENEURSHIP AND INNOVATION
Total Operating Expense 1,000,000 1,000,000
D. OTHER ECONOMIC DEVELOPMENT
FOR THE INDIANA STATE FAIR BOARD 2,474,312 2,474,312
Total Operating Expense
SECTION 7. [EFFECTIVE JULY 1, 2025]
TRANSPORTATION
FOR THE DEPARTMENT OF TRANSPORTATION
RAILROAD GRADE CROSSING IMPROVEMENT
Motor Vehicle Highway Account (IC 8-14-1)
Total Operating Expense 1,000,000 1,000,000
HIGH SPEED RAIL 20,000
45,000,000
High Speed Rail Development Fund (IC 8-23-25)
Total Operating Expense 20,000
PUBLIC MASS TRANSPORTATION
Total Operating Expense 45,000,000
The above appropriations are to be used solely for the promotion and development
of public transportation.
The department of transportation may distribute public mass transportation funds
to an eligible grantee that provides public transportation in Indiana.
The state funds can be used to match federal funds available under the Federal
Transit Act (49 U.S.C. 5301 et seq.) or local funds from a requesting grantee.
Before funds may be disbursed to a grantee, the grantee must submit its request
for financial assistance to the department of transportation for approval. Allocations
must be approved by the governor and the budget agency and shall be made on a
reimbursement basis. Only applications for capital and operating assistance may
be approved. Only those grantees that have met the reporting requirements under
IC 8-23-3 are eligible for assistance under this appropriation.
The distribution formula established by the department is subject to approval by
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
the budget director to ensure that a public mass transportation system located in
a county other than an eligible county (as defined by IC 8-25-1-4) is not adversely
affected by a public transportation project carried out under IC 8-25. This applies
in a calendar year beginning after December 31 of a calendar year in which an eligible
county begins to carry out a public transportation project approved under IC 8-25.
AIRPORT DEVELOPMENT
Airport Development Grant Fund (IC 8-21-11-4)
Total Operating Expense 3,600,000 3,600,000
Augmentation allowed.
HIGHWAY OPERATING
State Highway Fund (IC 8-23-9-54)
Total Operating Expense 435,051,877 435,051,877
Augmentation allowed.
HIGHWAY VEHICLE AND ROAD MAINTENANCE EQUIPMENT
State Highway Fund (IC 8-23-9-54)
Total Operating Expense 35,936,185 35,936,185
Augmentation allowed.
HIGHWAY MAINTENANCE WORK PROGRAM
State Highway Fund (IC 8-23-9-54)
Total Operating Expense 143,967,253 143,967,253
Augmentation allowed.
The above appropriations may be used for:
(1) materials for patching roadways and shoulders;
(2) repairing and painting bridges;
(3) installing signs and signals and painting roadways for traffic control;
(4) mowing, herbicide application, and brush control;
(5) drainage control;
(6) maintenance of rest areas, public roads on properties of the department
of natural resources, and driveways on the premises of all state facilities;
(7) materials for snow and ice removal;
(8) utility costs for roadway lighting; and
(9) other maintenance and support activities consistent with the program.
HIGHWAY CAPITAL IMPROVEMENTS
State Highway Fund (IC 8-23-9-54)
Right-of-Way Expense 50,000,000 50,000,000
Formal Contracts Expense 933,426,729 933,426,729
Consulting Services Expense 100,000,000 100,000,000
Institutional Road Construction 7,500,000 7,500,000
Augmentation allowed for the highway capital improvements program.
The above appropriations may be used for:
(1) bridge rehabilitation and replacement;
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
(2) road construction, reconstruction, or replacement;
(3) construction, reconstruction, or replacement of travel lanes, intersections,
grade separations, rest parks, and weigh stations;
(4) relocation and modernization of existing roads;
(5) resurfacing;
(6) erosion and slide control;
(7) construction and improvement of railroad grade crossings, including the use
of the appropriations to match federal funds for projects;
(8) small structure replacements;
(9) safety and spot improvements; and
(10) right-of-way, relocation, and engineering and consulting expenses associated
with any of the above types of projects.
Subject to approval by the state budget director, the above appropriations for institutional
road construction may be used for road, bridge, and parking lot construction, maintenance,
and improvement projects at any state-owned property.
No appropriation from the state highway fund may be used to fund any toll road or toll
bridge project except as specifically provided for under IC 8-15-2-20.
TOLL ROAD COUNTIES STATE HIGHWAY PROGRAM
Toll Road Lease Amendment Proceeds Fund (IC 8-14-14.2-1)
Total Operating Expense 6,000,000 6,000,000
Augmentation allowed.
HIGHWAY PLANNING AND RESEARCH PROGRAM
State Highway Fund (IC 8-23-9-54)
Total Operating Expense 3,780,000 3,780,000
Augmentation allowed.
STATE HIGHWAY ROAD CONSTRUCTION AND IMPROVEMENT PROGRAM
State Highway Road Construction and Improvement Fund (IC 8-14-10-5)
Lease Rental Payments Expense 70,000,000 70,000,000
Augmentation allowed.
The above appropriations shall be first used for payment of rentals and leases relating
to projects under IC 8-14.5. If any funds remain, the funds may be used for the following
purposes:
(1) road and bridge construction, reconstruction, or replacement;
(2) construction, reconstruction, or replacement of travel lanes, intersections, and
grade separations;
(3) relocation and modernization of existing roads; and
(4) right-of-way, relocation, and engineering and consulting expenses associated
with any of the above types of projects.
CROSSROADS 2000 PROGRAM
Crossroads 2000 Fund (IC 8-14-10-9)
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
Lease Rental Payment Expense 29,627,309 29,627,309
Augmentation allowed.
The above appropriations shall be first used for payment of rentals and leases
relating to projects under IC 8-14-10-9. If any funds remain, the funds may be used
for the following purposes:
(1) road and bridge construction, reconstruction, or replacement;
(2) construction, reconstruction, or replacement of travel lanes, intersections, and
grade separations;
(3) relocation and modernization of existing roads; and
(4) right-of-way, relocation, and engineering and consulting expenses associated
with any of the above types of projects.
JOINT MAJOR MOVES CONSTRUCTION
Major Moves Construction Fund (IC 8-14-14-5)
Total Operating Expense 500,000 500,000
1,499,442,852
Augmentation allowed.
FEDERAL APPORTIONMENT
Total Operating Expense 1,499,442,852
The department may establish an account to be known as the "local government
revolving account". The account is to be used to administer the federal-local highway
construction program. All contracts issued and all funds received for federal-local
projects under this program shall be entered into this account.
If the federal apportionments for the fiscal years covered by this act exceed the
above estimated appropriations for the department or for local governments, the
excess federal apportionment is hereby appropriated for use by the department with
the approval of the governor and the budget agency.
The department shall bill, in a timely manner, the federal government for all
department payments that are eligible for total or partial reimbursement.
The department may let contracts and enter into agreements for construction and
preliminary engineering during each year of the biennium that obligate not more
than one-third (1/3) of the amount of state funds estimated by the department to
be available for appropriation in the following year for formal contracts and consulting
engineers for the capital improvements program.
Under IC 8-23-5-7(a), the department, with the approval of the governor, may
construct and maintain roadside parks and highways where highways will connect any
state highway now existing, or hereafter constructed, with any state park, state
forest reserve, state game preserve, or the grounds of any state institution. There
is appropriated to the department of transportation an amount sufficient to carry
out the provisions of this paragraph. Under IC 8-23-5-7(d), such appropriations
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
shall be made from the motor vehicle highway account before distribution to local
units of government.
LOCAL TECHNICAL ASSISTANCE AND RESEARCH
Motor Vehicle Highway Account (IC 8-14-1)
Total Operating Expense 250,000 250,000
The above appropriations are for developing and maintaining a centralized electronic
statewide asset management data base that may be used to aggregate data on local
road conditions. The data base shall be developed in cooperation with the department
and the office of management and budget per IC 8-14-3-3.
Under IC 8-14-1-3(6), there is appropriated to the department of transportation an amount
sufficient for:
(1) the program of technical assistance under IC 8-23-2-5(a)(6); and
(2) the research and highway extension program conducted for local government under
IC 8-17-7-4.
The department shall develop an annual program of work for research and extension
in cooperation with those units being served, listing the types of research and
educational programs to be undertaken. The commissioner of the department of
transportation may make a grant under this appropriation to the institution or agency
selected to conduct the annual work program. Under IC 8-14-1-3(6), appropriations
for the program of technical assistance and for the program of research and extension
shall be taken from the local share of the motor vehicle highway account.
Under IC 8-14-1-3(7), there is hereby appropriated such sums as are necessary to
maintain a sufficient working balance in accounts established to match federal and
local money for highway projects. These funds are appropriated from the following
sources in the proportion specified:
(1) one-half (1/2) from the thirty-eight percent (38%) set aside of the motor vehicle
highway account under IC 8-14-1-3(7); and
(2) for counties and for those cities and towns with a population greater than five
thousand (5,000), one-half (1/2) from the distressed road fund under IC 8-14-8-2.
OHIO RIVER BRIDGE 500,000 500,000
State Highway Fund (IC 8-23-9-54)
Total Operating Expense
SECTION 8. [EFFECTIVE JULY 1, 2025]
FAMILY AND SOCIAL SERVICES, HEALTH, AND VETERANS' AFFAIRS
A. FAMILY AND SOCIAL SERVICES
HEA 1001 — CC 1
42
FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
FOR THE FAMILY AND SOCIAL SERVICES ADMINISTRATION
FAMILY AND SOCIAL SERVICES ADMINISTRATION - CENTRAL OFFICE
Total Operating Expense 16,037,800 16,037,800
SOCIAL SERVICES DATA WAREHOUSE
Total Operating Expense 36,359 36,359
211 SERVICES
Total Operating Expense 2,902,577 2,902,577
INDIANA PRESCRIPTION DRUG PROGRAM
Tobacco Master Settlement Agreement Fund (IC 4-12-1-14.3)
Total Operating Expense 443,315 443,315
CHILDREN'S HEALTH INSURANCE PROGRAM
Total Operating Expense 88,900,000 94,700,000
OFFICE OF MEDICAID POLICY AND PLANNING STATE PROGRAMS
Total Operating Expense 2,306,334 2,306,334
MEDICAID ADMINISTRATION
Total Operating Expense 47,092,686 47,092,686
MEDICAID ASSISTANCE
Total Operating Expense 4,836,500,000 4,962,900,000
The above appropriations are for the purpose of enabling the office of Medicaid
policy and planning to carry out all services as provided in IC 12-8-6.5. In addition
to the above appropriations, all money received from the federal government and
paid into the state treasury as a grant or allowance is appropriated and shall be
expended by the office of Medicaid policy and planning for the respective purposes
for which the money was allocated and paid to the state. Subject to the provisions
of IC 12-8-1.5-11, if the sums herein appropriated for Medicaid assistance and for
Medicaid administration are insufficient to enable the office of Medicaid policy
and planning to meet its obligations, then there is appropriated from the general
fund such further sums as may be necessary for that purpose, subject to the approval
of the governor and the budget agency.
HEALTHY INDIANA PLAN
Healthy Indiana Plan Trust Fund (IC 12-15-44.2-17)
Total Operating Expense 71,434,565 68,844,565
4,150,038
Augmentation allowed.
MENTAL HEALTH ADMINISTRATION
Total Operating Expense 4,150,038
Of the above appropriations, $250,000 each state fiscal year shall be used for the
Sagamore Institute Indiana Mental Health Roundtable Summit.
Of the above appropriations, $218,525 each fiscal year is for the Child Assessment
Needs Survey (CANS). Of the above appropriations, the administration shall distribute
$275,000 each fiscal year to neighborhood-based community service programs.
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
MENTAL HEALTH AND ADDICTION FORENSIC TREATMENT SERVICES GRANT
Total Operating Expense 12,500,000 12,500,000
COMMUNITY MENTAL HEALTH
Total Operating Expense 50,000,000 50,000,000
CHILD PSYCHIATRIC SERVICES
Total Operating Expense 13,810,179 13,810,179
The above appropriations include $5,500,000 each year for the family and social
services administration to contract with no more than three regionally diverse social
services providers to implement an evidence-based program that partners with school
corporations, charter schools, and accredited nonpublic schools to provide social work
services and evidence-based prevention programs to children, parents, caregivers,
teachers, and the community to prevent substance abuse, promote healthy behaviors,
and maximize student success. In making contracts, the family and social services
administration shall require the contracted social services providers to secure
a minimum of twenty percent (20%) matching funds and require the contracted social
services providers to have experience in providing similar services including independent
evaluation of those services.
SERIOUSLY EMOTIONALLY DISTURBED/MENTALLY ILL
Total Operating Expense 100,113,727 100,113,727
COMMUNITY MENTAL HEALTH CENTERS
Tobacco Master Settlement Agreement Fund (IC 4-12-1-14.3)
Total Operating Expense 7,200,000 7,200,000
The above appropriations include the intragovernmental transfers necessary to provide
the nonfederal share of reimbursement under the Medicaid rehabilitation option.
The comprehensive community mental health centers shall submit their proposed annual
budgets (including income and operating statements) to the budget agency on or before
August 1 of each year. All federal funds shall be used to augment the above appropriations
rather than supplant any portion of the appropriation. The office of the secretary, with
the approval of the budget agency, shall determine an equitable allocation of the appropriation
among the mental health centers.
THERAPEUTIC PSILOCYBIN AND IBOGAINE RESEARCH (IC 12-21-9)
State Unrestricted Opioid Settlement Account (IC 4-12-16.2-5(1))
Total Operating Expense 300,000 300,000
GAMBLERS' ASSISTANCE
Addiction Services Fund (IC 12-23-2-2)
Total Operating Expense 3,063,652 3,063,652
Augmentation allowed.
SUBSTANCE ABUSE TREATMENT
State Unrestricted Opioid Settlement Account (IC 4-12-16.2-5(1))
HEA 1001 — CC 1
44
FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
Total Operating Expense 9,100,000 9,100,000
Augmentation allowed.
PREVENTION
Addiction Services Fund (IC 12-23-2-2)
Total Operating Expense 1,672,675 1,672,675
Augmentation allowed.
METHADONE DIVERSION CONTROL AND OVERSIGHT (MDCO) PROGRAM
Opioid Treatment Program Fund (IC 12-23-18-4)
Total Operating Expense 427,010 427,010
Augmentation allowed.
DMHA YOUTH TOBACCO REDUCTION SUPPORT PROGRAM
Tobacco Master Settlement Agreement Fund (IC 4-12-1-14.3)
Total Operating Expense 250,000 250,000
Augmentation allowed.
STATE PSYCHIATRIC HOSPITALS OPERATIONS
Total Operating Expense 169,141,147 169,141,147
Mental Health Fund (IC 12-24-14-4)
Total Operating Expense 20,318,888 20,318,888
Augmentation allowed from the mental health fund.
PATIENT PAYROLL
Total Operating Expense 148,533 148,533
The federal share of revenue accruing to the state mental health institutions under
IC 12-15, based on the applicable Federal Medical Assistance Percentage (FMAP),
shall be deposited in the mental health fund established by IC 12-24-14, and the
remainder shall be deposited in the general fund.
DIVISION OF FAMILY RESOURCES ADMINISTRATION
Total Operating Expense 1,997,280 1,997,280
ELECTRONIC BENEFITS TRANSFER ADMINISTRATION
Total Operating Expense 116,184 116,184
DIVISION OF FAMILY RESOURCES - COUNTY ADMINISTRATION
Total Operating Expense 109,116,033 109,116,033
INDIANA ELIGIBILITY SYSTEM
Total Operating Expense 10,592,237 10,592,237
SNAP/IMPACT ADMINISTRATION
Total Operating Expense 9,077,940 9,077,940
TEMPORARY ASSISTANCE TO NEEDY FAMILIES – STATE APPROPRIATION
Total Operating Expense 17,886,301 17,886,301
BURIAL EXPENSES
Tobacco Master Settlement Agreement Fund (IC 4-12-1-14.3)
Total Operating Expense 5,861,121 5,861,121
Augmentation allowed.
DIVISION OF AGING ADMINISTRATION
Total Operating Expense 735,845 735,845
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
DIVISION OF AGING SERVICES
Total Operating Expense 1,204,337 1,204,337
4,000,000
ROOM AND BOARD ASSISTANCE (R-CAP) 1,425,000
46,327,361
Total Operating Expense 4,000,000
DEMENTIA CARE SPECIALIST PROGRAM (IC 12-10-5.7)
Total Operating Expense 1,425,000
C.H.O.I.C.E. IN-HOME SERVICES
Total Operating Expense 46,327,361
The above appropriations include intragovernmental transfers to provide the nonfederal
share of the Medicaid aged and disabled waiver.
The intragovernmental transfers for use in the Medicaid aged and disabled waiver may
not exceed $12,500,000 annually.
The Family and Social Services Administration shall conduct an annual evaluation
of the cost effectiveness of providing home and community-based services. Before
January of each year, the agency shall submit a report to the budget committee,
the budget agency, and the legislative council (in an electronic format under IC
5-14-6) that covers all aspects of the agency's evaluation and such other information
pertaining thereto as may be requested by the budget committee, the budget agency,
or the legislative council, including the following:
(1) the number and demographic characteristics of the recipients of home and
community-based services during the preceding fiscal year, including a separate
count of individuals who received no services other than case management services
(as defined in 455 IAC 2-4-10) during the preceding fiscal year; and
(2) the total cost and per recipient cost of providing home and community-based
services during the preceding fiscal year.
The agency shall obtain from providers of services data on their costs and expenditures
regarding implementation of the program and report the findings to the budget committee,
the budget agency, and the legislative council. The report to the legislative council
must be in an electronic format under IC 5-14-6.
OLDER HOOSIERS ACT
Total Operating Expense 1,494,774 1,494,774
5,459,948
ADULT PROTECTIVE SERVICES
Tobacco Master Settlement Agreement Fund (IC 4-12-1-14.3)
Total Operating Expense 5,459,948
Augmentation allowed.
The above appropriations may be used for emergency adult protective services placement.
Funds shall be used to the extent that such services are not available to an individual
through a policy of accident and sickness insurance, a health maintenance organization
contract, the Medicaid program, the federal Medicare program, or any other federal
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
program.
ADULT GUARDIANSHIP SERVICES
Total Operating Expense 385,287 385,287
DIVISION OF DISABILITY AND REHABILITATIVE SERVICES ADMINISTRATION
Total Operating Expense 509,032 509,032
BUREAU OF REHABILITATIVE SERVICES - VOCATIONAL REHABILITATION
Total Operating Expense 16,223,661 16,223,661
INDEPENDENT LIVING
Total Operating Expense 1,900,000 1,900,000
REHABILITATIVE SERVICES - DEAF AND HARD OF HEARING SERVICES
Total Operating Expense 257,699 257,699
BLIND VENDING - STATE APPROPRIATION
Total Operating Expense 69,874 69,874
FIRST STEPS
Total Operating Expense 25,546,118 25,546,118
BUREAU OF DEVELOPMENTAL DISABILITIES SERVICES - OPERATING
Total Operating Expense 9,647,973 9,647,973
In the development of new community residential settings for persons with developmental
disabilities, the division of disability and rehabilitative services must give priority
to the appropriate placement of such persons who are eligible for Medicaid and
currently residing in intermediate care or skilled nursing facilities and, to the extent
permitted by law, such persons who reside with aged parents or guardians or families
in crisis.
SCHOOL AGE CHILD CARE PROJECT FUND
Total Operating Expense 771,792 771,792
The above appropriations are made under IC 6-7-1-30.2(c) and not in addition to the
transfer required by IC 6-7-1-30.2(c).
EARLY CHILDHOOD LEARNING 39,400,000 39,400,000 147,250,000
Total Operating Expense 26,065,043 26,065,043
CCDF HOLD HARMLESS FUNDING
Total Operating Expense
PRE-K EDUCATION
Total Operating Expense
The above appropriations shall be transferred into the prekindergarten program fund
established in IC 12-17.2-7.2-13.5. Of the above appropriations, $1,000,000 shall be
used each fiscal year for reimbursement of technology based in-home early education
services under IC 12-17.2-7.5.
FOR THE DEPARTMENT OF CHILD SERVICES
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
CHILD SERVICES ADMINISTRATION 301,452,728 301,452,728
Total Operating Expense
Augmentation allowed.
The department of child services shall on or before January 1, 2026 coordinate a
regional pilot program in two regions through which the county prosecutor's office
shall have the exclusive right to act as department of child services legal counsel
for children in need of services cases. Each region shall consist of up to four
contiguous counties.
With the above appropriations, the department shall award grants to All Pro Dad
chapters located in Indiana in an amount of $375,000 each fiscal year for the purpose
of building relationships between fathers and their children.
With the above appropriations, the department shall award grants to the Boys and
Girls Clubs Indiana Alliance in an amount of $2,000,000 each fiscal year for the
purpose of providing grants to Indiana Boys and Girls Clubs for the promotion of
the social welfare of youth.
CHILD WELFARE PROGRAM 91,423,093 91,423,093
Total Operating Expense
The above appropriations include state matching funds for Title IV-D and Title IV-E
federal grants. The above appropriations for the department of child services Title
IV-D of the federal Social Security Act are made under, and not in addition to,
IC 31-25-4-28.
CHILD WELFARE SERVICES STATE GRANTS
Total Operating Expense 11,416,415 11,416,415
601,373,384
FAMILY AND CHILDREN FUND
1,008,947
Total Operating Expense 688,873,384 112,000
Augmentation allowed. 5,093,145
26,862,735
YOUTH SERVICE BUREAU
Total Operating Expense 1,008,947
PROJECT SAFEPLACE
Total Operating Expense 112,000
HEALTHY FAMILIES INDIANA
Total Operating Expense 5,093,145
ADOPTION SERVICES
Total Operating Expense 26,862,735
FOR THE DEPARTMENT OF ADMINISTRATION
DEPARTMENT OF CHILD SERVICES OMBUDSMAN BUREAU
Total Operating Expense 404,715 404,715
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
B. PUBLIC HEALTH
FOR THE INDIANA DEPARTMENT OF HEALTH
Tobacco Master Settlement Agreement Fund (IC 4-12-1-14.3)
Total Operating Expense 30,403,383 30,403,383
Augmentation allowed.
All receipts accruing to the department from licenses or permit fees shall be deposited
in the general fund.
AREA HEALTH EDUCATION CENTERS
Tobacco Master Settlement Agreement Fund (IC 4-12-1-14.3)
Total Operating Expense 2,630,676 2,630,676
3,500,000
MINORITY HEALTH INITIATIVE
Tobacco Master Settlement Agreement Fund (IC 4-12-1-14.3)
Total Operating Expense 3,500,000
The above appropriations shall be allocated to the Indiana Minority Health Coalition
to work with the department on the implementation of IC 16-46-11.
SICKLE CELL
Tobacco Master Settlement Agreement Fund (IC 4-12-1-14.3)
Total Operating Expense 1,000,000 1,000,000
7,123,395
MEDICARE-MEDICAID CERTIFICATION
Total Operating Expense 7,123,395
Augmentation allowed in amounts not to exceed revenue from health facilities license
fees or from health care providers (as defined in IC 16-18-2-163) fee increases or those
adopted by the executive board of the Indiana department of health under IC 16-19-3.
LOCAL PUBLIC HEALTH 40,000,000 40,000,000
Total Operating Expense
The above appropriations shall be used to establish a partnership responsibility
between the state, local government, and health care providers for the provision
of core public health services.
INFECTIOUS DISEASE
Total Operating Expense 5,211,485 5,211,485
2,090,000
LEAD SCREENING & SURVEILLANCE 5,503,594
Total Operating Expense 2,090,000 266,766
TRAUMA SYSTEM QUALITY IMPROVEMENT
Total Operating Expense 5,503,594
NUTRITION ASSISTANCE
Total Operating Expense 266,766
HEA 1001 — CC 1
49
FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
HIV/AIDS SERVICES
Total Operating Expense 2,809,249 2,809,249
900,000
Addiction Services Fund (IC 12-23-2-2)
1,079,442
Total Operating Expense 900,000 7,827,657
CANCER PREVENTION 100,000
870,329
Tobacco Master Settlement Agreement Fund (IC 4-12-1-14.3)
Total Operating Expense 1,079,442
MATERNAL & CHILD HEALTH INITIATIVES
Total Operating Expense 7,827,657
TUBERCULOSIS TREATMENT
Tobacco Master Settlement Agreement Fund (IC 4-12-1-14.3)
Total Operating Expense 100,000
STATE CHRONIC DISEASES
Tobacco Master Settlement Agreement Fund (IC 4-12-1-14.3)
Total Operating Expense 870,329
Of the above appropriations, $82,560 each fiscal year shall be distributed as grants
to community groups and organizations as provided in IC 16-46-7-8. The department
may consider grants to the Kidney Foundation not to exceed $50,000.
MY HEALTHY BABY
Tobacco Master Settlement Agreement Fund (IC 4-12-1-14.3)
Total Operating Expense 3,300,000 3,300,000
The department shall before November 1 of each year present a report to the Interim
Study Committee on Public Health, Behavioral Health, and Human Services on the metrics
used to evaluate the My Healthy Baby program. The report must be in an electronic
format under IC 5-14-6.
ADOPTION HISTORY
Adoption History Fund (IC 31-19-18-6)
Total Operating Expense 195,163 195,163
Augmentation allowed.
CHILDREN WITH SPECIAL HEALTH CARE NEEDS
Tobacco Master Settlement Agreement Fund (IC 4-12-1-14.3)
Total Operating Expense 15,033,700 15,033,700
Augmentation allowed.
NEWBORN SCREENING PROGRAM
Newborn Screening Fund (IC 16-41-17-11)
Total Operating Expense 2,802,821 2,802,821
Augmentation allowed.
CENTER FOR DEAF AND HARD OF HEARING EDUCATION
Total Operating Expense 2,828,661 2,828,661
VISUALLY IMPAIRED PRESCHOOL SERVICES
Total Operating Expense 570,000 570,000
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
RADON GAS TRUST FUND
Radon Gas Trust Fund (IC 16-41-38-8)
Total Operating Expense 10,670 10,670
Augmentation allowed.
SAFETY PIN PROGRAM
Tobacco Master Settlement Agreement Fund (IC 4-12-1-14.3)
Total Operating Expense 11,020,938 11,020,938
REAL ALTERNATIVES, INC.
Total Operating Expense 3,800,000 3,800,000
TELECARE WOMEN'S CLINIC PILOT PROGRAM
Total Operating Expense 1,000,000 1,000,000
BIRTH PROBLEMS REGISTRY
Birth Problems Registry Fund (IC 16-38-4-17)
Total Operating Expense 73,517 73,517
Augmentation allowed.
MOTOR FUEL INSPECTION PROGRAM
Motor Fuel Inspection Fund (IC 16-44-3-10)
Total Operating Expense 246,043 246,043
Augmentation allowed.
DONATED DENTAL SERVICES
Tobacco Master Settlement Agreement Fund (IC 4-12-1-14.3)
Total Operating Expense 200,000 200,000
The above appropriations shall be used by the Indiana foundation for dentistry to
provide dental services to individuals with disabilities.
BONE MARROW DONOR RECRUITMENT PROGRAM (IC 16-46-12-3.5)
Total Operating Expense 95,000 95,000
OFFICE OF WOMEN'S HEALTH
Tobacco Master Settlement Agreement Fund (IC 4-12-1-14.3)
Total Operating Expense 96,970 96,970
SPINAL CORD AND BRAIN INJURY
Spinal Cord and Brain Injury Fund (IC 16-41-42.2-3)
Total Operating Expense 1,700,000 1,700,000
Augmentation allowed.
IMMUNIZATIONS AND HEALTH INITIATIVES
Healthy Indiana Plan Trust Fund (IC 12-15-44.2-17)
Total Operating Expense 10,665,435 10,665,435
WEIGHTS AND MEASURES FUND
Weights and Measures Fund (IC 16-19-5-4)
Total Operating Expense 7,106 7,106
Augmentation allowed.
MINORITY EPIDEMIOLOGY
Tobacco Master Settlement Agreement Fund (IC 4-12-1-14.3)
Total Operating Expense 750,000 750,000
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
COMMUNITY HEALTH CENTERS
Tobacco Master Settlement Agreement Fund (IC 4-12-1-14.3)
Total Operating Expense 14,453,000 14,453,000
PRENATAL SUBSTANCE USE & PREVENTION
Tobacco Master Settlement Agreement Fund (IC 4-12-1-14.3)
Total Operating Expense 119,965 119,965
OPIOID OVERDOSE INTERVENTION
State Unrestricted Opioid Settlement Account (IC 4-12-16.2-5(1))
Total Operating Expense 250,000 250,000
NURSE FAMILY PARTNERSHIP
Tobacco Master Settlement Agreement Fund (IC 4-12-1-14.3)
Total Operating Expense 15,000,000 15,000,000
HEARING AND BLIND SERVICES
Tobacco Master Settlement Agreement Fund (IC 4-12-1-14.3)
Total Operating Expense 500,000 500,000
Of the above appropriations, $375,000 shall be deposited each fiscal year into the
Hearing Aid Fund established under IC 16-35-8-3.
TOBACCO USE PREVENTION AND CESSATION PROGRAM
Tobacco Master Settlement Agreement Fund (IC 4-12-1-14.3)
Total Operating Expense 7,612,152 7,612,152
1,500,000
Agency Settlement Fund (IC 4-12-16-2)
Total Operating Expense 1,500,000
A minimum of 90% of the above appropriations shall be distributed as grants to local
agencies and other entities with programs designed to reduce smoking.
FOR THE INDIANA SCHOOL FOR THE BLIND AND VISUALLY IMPAIRED
Total Operating Expense 14,099,597 14,099,597
The above appropriations include $2,000,000 each fiscal year to purchase refreshable
Braille and tactile graphics tablets.
FOR THE INDIANA SCHOOL FOR THE DEAF
Total Operating Expense 17,439,609 17,439,609
C. VETERANS' AFFAIRS
FOR THE INDIANA DEPARTMENT OF VETERANS' AFFAIRS
Total Operating Expense 2,968,891 2,968,891
The above appropriations include funding for a women's veteran services officer
and $300,000 each year for six state veteran services officers.
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
VETERAN SERVICE ORGANIZATIONS
Total Operating Expense 1,140,000 1,140,000
The above appropriations shall be used by the Indiana Department of Veterans' Affairs
to provide grants to organizations in accordance with Section 5902 (formerly Section
3402) of Title 38, United States Code (U.S.C.) and subsections 14.628(a) and (c) of 38
C.F.R. Eligible organizations shall have an accredited Veteran Service Officer with a
presence in Indiana. Awarded grant funds shall be used to assist veterans in securing
available benefits.
OPERATION OF VETERANS' CEMETERY
Total Operating Expense 503,349 503,349
GRANTS FOR VETERANS' SERVICES
Veterans' Affairs Trust Fund (IC 10-17-13-3)
Total Operating Expense 1,250,000 1,250,000
VETERAN SUICIDE PREVENTION
Total Operating Expense 950,000 950,000
INDIANA VETERANS' HOME
Veterans' Home Comfort and Welfare Fund (IC 10-17-9-7(d))
Total Operating Expense 10,939,169 10,939,169
IVH Medicaid Reimbursement Fund
Total Operating Expense 14,500,000 14,500,000
Augmentation allowed from the veterans' home comfort and welfare fund
and the IVH Medicaid reimbursement fund.
SECTION 9. [EFFECTIVE JULY 1, 2025]
EDUCATION
A. HIGHER EDUCATION
FOR INDIANA UNIVERSITY 198,999,577 198,999,577
BLOOMINGTON CAMPUS 18,528,752 18,526,235
Total Operating Expense
Fee Replacement
FOR INDIANA UNIVERSITY REGIONAL CAMPUSES
EAST
Total Operating Expense 14,962,211 14,962,211
KOKOMO 16,557,593
Total Operating Expense 16,557,593 19,649,174
2,986,625
NORTHWEST
Total Operating Expense 19,649,174
Fee Replacement 2,984,375
SOUTH BEND
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
Total Operating Expense 25,286,941 25,286,941
1,443,150
Fee Replacement 1,447,700
21,357,262
SOUTHEAST
4,864,369
Total Operating Expense 21,357,262
128,250,000
FORT WAYNE HEALTH SCIENCES PROGRAM 4,337,415
Total Operating Expense 4,864,369
INDIANAPOLIS CAMPUS
Total Operating Expense 128,250,000
Fee Replacement 4,339,198
FOR INDIANA UNIVERSITY SCHOOL OF MEDICINE
INDIANA UNIVERSITY SCHOOL OF MEDICINE - EVANSVILLE
Total Operating Expense 2,208,363 2,208,363
INDIANA UNIVERSITY SCHOOL OF MEDICINE - FORT WAYNE
Total Operating Expense 2,064,138 2,064,138
INDIANA UNIVERSITY SCHOOL OF MEDICINE - NORTHWEST - GARY
Total Operating Expense 2,761,198 2,761,198
INDIANA UNIVERSITY SCHOOL OF MEDICINE - LAFAYETTE
Total Operating Expense 2,508,451 2,508,451
INDIANA UNIVERSITY SCHOOL OF MEDICINE - MUNCIE
Total Operating Expense 2,296,547 2,296,547
INDIANA UNIVERSITY SCHOOL OF MEDICINE - SOUTH BEND
Total Operating Expense 2,159,326 2,159,326
INDIANA UNIVERSITY SCHOOL OF MEDICINE - TERRE HAUTE
Total Operating Expense 2,496,156 2,496,156
I.U. SCHOOLS OF MEDICINE AND DENTISTRY
Total Operating Expense 105,508,772 105,508,772
Fee Replacement 6,966,301 6,965,787
The Indiana University School of Medicine - Indianapolis shall submit to the Indiana
commission for higher education before May 15 of each year an accountability report
containing data on the number of medical school graduates who entered primary care
physician residencies in Indiana from the school's most recent graduating class.
Transfers of allocations between campuses to correct for errors in allocation among
the campuses of Indiana University can be made by the institution with the approval
of the commission for higher education and the budget agency. Indiana University
shall maintain current operations at all statewide medical education sites.
DUAL CREDIT
Total Operating Expense 4,583,560 4,583,560
2,375,000
CLINICAL AND TRANSLATIONAL SCIENCES INSTITUTE
685,768
Total Operating Expense 2,375,000
GLOBAL NETWORK OPERATIONS CENTER
Total Operating Expense 685,768
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
SPINAL CORD AND HEAD INJURY RESEARCH CENTER
Total Operating Expense 525,758 525,758
INSTITUTE FOR THE STUDY OF DEVELOPMENTAL DISABILITIES
Total Operating Expense 2,000,533 2,000,533
GEOLOGICAL SURVEY
Total Operating Expense 2,644,593 2,644,593
I-LIGHT NETWORK OPERATIONS
Total Operating Expense 1,433,197 1,433,197
GIGAPOP PROJECT
Total Operating Expense 638,934 638,934
FOR PURDUE UNIVERSITY
WEST LAFAYETTE
Total Operating Expense 240,323,252 240,323,252
24,141,450
Fee Replacement 27,485,700
18,025,173
COLLEGE OF VETERINARY MEDICINE
Total Operating Expense 18,025,173
FOR PURDUE UNIVERSITY REGIONAL CAMPUSES
NORTHWEST
Total Operating Expense 48,128,405 48,128,405
3,780,740
Fee Replacement 3,781,240
45,066,622
FORT WAYNE 3,040,750
Total Operating Expense 45,066,622
Fee Replacement 3,044,250
Transfers of allocations between campuses to correct for errors in allocation among
the campuses of Purdue University can be made by the institution with the approval
of the commission for higher education and the budget agency.
DUAL CREDIT
Total Operating Expense 1,006,668 1,006,668
COUNTY AGRICULTURAL EXTENSION EDUCATORS
Total Operating Expense 7,600,000 7,600,000
AGRICULTURAL RESEARCH AND EXTENSION - CROSSROADS
Total Operating Expense 8,550,000 8,550,000
IN TECH ASST. AND ADV. MFG. COMPETITIVENESS PROGRAM
Total Operating Expense 4,208,701 4,208,701
STATEWIDE TECHNOLOGY
Total Operating Expense 6,360,495 6,360,495
CENTER FOR PARALYSIS RESEARCH
Total Operating Expense 496,430 496,430
FOR INDIANA STATE UNIVERSITY 74,062,310 74,062,310
Total Operating Expense
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
Fee Replacement 10,498,371 10,593,848
DUAL CREDIT 192,803 192,803
193,800 193,800
Total Operating Expense 424,116 424,116
NURSING PROGRAM
Total Operating Expense
DEGREE LINK
Total Operating Expense
FOR UNIVERSITY OF SOUTHERN INDIANA
Total Operating Expense 51,140,028 51,140,028
8,898,786
Fee Replacement 11,847,730
485,355
DUAL CREDIT 462,534
570,000
Total Operating Expense 485,355
HISTORIC NEW HARMONY
Total Operating Expense 462,534
EARLY COLLEGE BRIDGE PROGRAM
Total Operating Expense 570,000
FOR BALL STATE UNIVERSITY
Total Operating Expense 132,004,424 132,004,424
Fee Replacement 21,836,212 20,324,337
DUAL CREDIT
Total Operating Expense 275,548 275,548
ENTREPRENEURIAL COLLEGE
Total Operating Expense 2,375,000 2,375,000
ACADEMY FOR SCIENCE, MATHEMATICS, AND HUMANITIES
Total Operating Expense 4,165,708 4,165,708
FOR VINCENNES UNIVERSITY
Total Operating Expense 44,449,687 44,449,687
4,932,056
Fee Replacement 4,926,599
4,638,328
DUAL CREDIT
2,850,000
Total Operating Expense 4,638,328
CAREER AND TECHNICAL EARLY COLLEGE PROGRAM
Total Operating Expense 2,850,000
Additional Early College sites may be established upon approval by the Commission for
Higher Education and after review by the budget committee.
FOR IVY TECH COMMUNITY COLLEGE 236,333,680 236,333,680
Total Operating Expense 27,980,512 28,218,420
Fee Replacement
17,742,343 17,742,343
DUAL CREDIT
Total Operating Expense
STATEWIDE NURSING
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
Total Operating Expense 8,550,000 8,550,000
675,270
TESTING CENTERS
1,004,851
Total Operating Expense 675,270
SOUTHERN INDIANA EDUCATIONAL ALLIANCE
Total Operating Expense 1,004,851
The above appropriations to Indiana University, Purdue University, Indiana State
University, University of Southern Indiana, Ball State University, Vincennes University,
and Ivy Tech Community College are in addition to all income of said institutions,
respectively, from all permanent fees and endowments and from all land grants, fees,
earnings, and receipts, including gifts, grants, bequests, and devises, and receipts
from any miscellaneous sales from whatever source derived.
All such income and all such fees, earnings, and receipts on hand June 30, 2025, and
all such income and fees, earnings, and receipts accruing thereafter are hereby
appropriated to the boards of trustees or directors of the aforementioned institutions
and may be expended for any necessary expenses of the respective institutions, including
university hospitals, schools of medicine, nurses' training schools, schools of dentistry,
and agricultural extension and experimental stations.
The above appropriations to Indiana University, Purdue University, Indiana State
University, University of Southern Indiana, Ball State University, Vincennes University,
and Ivy Tech Community College include the employers' share of Social Security payments
for university employees under the public employees' retirement fund, or institutions
covered by the Indiana state teachers' retirement fund. The funds appropriated also include
funding for the employers' share of payments to the public employees' retirement fund
and to the Indiana state teachers' retirement fund at a rate to be established by the
retirement funds for both fiscal years for each institution's employees covered by these
retirement plans.
Notwithstanding IC 4-10-11, the state comptroller shall draw warrants to the treasurers
of Indiana University, Purdue University, Indiana State University, University of
Southern Indiana, Ball State University, Vincennes University, and Ivy Tech Community
College on the basis of vouchers stating the total amount claimed against each fund or
account, or both, but not to exceed the legally made appropriations.
For universities and colleges supported in whole or in part by state funds, grant
applications and lists of applications need only be submitted upon request to the
budget agency for review and approval or disapproval and, unless disapproved by
the budget agency, federal grant funds may be requested and spent without approval
by the budget agency.
For all university special appropriations, an itemized list of intended expenditures,
in such form as the governor and the budget agency may specify, shall be submitted to
support the allotment request. All budget requests for university special appropriations
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
shall be furnished in a like manner and as a part of the operating budgets of the state
universities.
The trustees of Indiana University, the trustees of Purdue University, the trustees of
Indiana State University, the trustees of University of Southern Indiana, the trustees
of Ball State University, the trustees of Vincennes University, and the trustees of Ivy
Tech Community College are hereby authorized to accept federal grants, subject to IC
4-12-1.
Fee replacement funds are to be distributed as requested by each institution, on
payment due dates, subject to available appropriations.
FOR THE COMMISSION FOR HIGHER EDUCATION
Total Operating Expense 7,370,948 7,370,948
The above appropriations include funding for Learn More Indiana, commission technology,
and the administration of the 21st Century scholars program.
FREEDOM OF CHOICE GRANTS
Total Operating Expense 66,225,902 66,225,902
101,425,081
HIGHER EDUCATION AWARD PROGRAM
Total Operating Expense 101,425,081
For the higher education awards and freedom of choice grants, notwithstanding current
administrative rule or practice, the commission shall maintain the proportionality
of award maximums for public, private, and proprietary institutions when setting
forth amounts under IC 21-12-1.7.
The commission shall reduce award amounts as necessary to stay within the available funding.
CAREER COACHING GRANT FUND
Total Operating Expense 7,500,000 7,500,000
500,000
PERKINS STATE MATCH
1,900,000
Total Operating Expense 500,000
PROMOTED INDUSTRY CERTIFICATIONS
Total Operating Expense 1,900,000
The above appropriations are for the purpose of reimbursing students enrolled in
school corporations, charter schools, and accredited nonpublic schools for the fees
incurred for taking exams required to earn certifications on Indiana's promoted
industry certification list.
TUITION AND FEE EXEMPTION FOR CHILDREN OF VETERANS AND
PUBLIC SAFETY OFFICERS
Total Operating Expense 31,773,696 31,773,696
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
MIDWEST HIGHER EDUCATION COMPACT
Total Operating Expense 109,250 109,250
7,200,865
ADULT STUDENT GRANT APPROPRIATION
Total Operating Expense 7,200,865
Priority for awards made from the above appropriations shall be given first to eligible
students meeting TANF income eligibility guidelines as determined by the family
and social services administration and second to eligible students who received
awards from the adult grant fund during the school year associated with the biennial
budget year. Funds remaining shall be distributed according to procedures established
by the commission. The maximum grant that an applicant may receive for a particular
academic term shall be established by the commission but shall in no case be greater
than a grant for which an applicant would be eligible under IC 21-12-3 if the applicant
were a full-time student. The commission shall collect and report to the family and
social services administration (FSSA) all data required for FSSA to meet the data
collection and reporting requirements in 45 CFR Part 265.
The family and social services administration, division of family resources, shall
apply all qualifying expenditures for the part-time grant program toward Indiana's
maintenance of effort under the federal Temporary Assistance for Needy Families
(TANF) program (45 CFR 260 et seq.).
TEACHER RESIDENCY GRANT PILOT PROGRAM (IC 21-18-15.1)
Total Operating Expense 950,000 950,000
MINORITY TEACHER SCHOLARSHIP FUND (IC 21-13-2-1)
Total Operating Expense 380,000 380,000
NEXT GENERATION MINORITY EDUCATOR SCHOLARSHIP (IC 21-12-16.5)
Total Operating Expense 570,000 570,000
HIGH NEED STUDENT TEACHING SCHOLARSHIP FUND (IC 21-13-7)
Total Operating Expense 427,500 427,500
MINORITY STUDENT TEACHING SCHOLARSHIP (IC 21-13-8)
Total Operating Expense 95,000 95,000
EARN INDIANA WORK STUDY PROGRAM (IC 21-16-2)
Total Operating Expense 2,475,794 2,475,794
21ST CENTURY SCHOLAR AWARDS
Total Operating Expense 166,270,623 166,270,623
The commission shall collect and report to the family and social services administration
(FSSA) all data required for FSSA to meet the data collection and reporting requirements
in 45 CFR 265.
The division of family resources shall apply all qualifying expenditures for the 21st
century scholars program toward Indiana's maintenance of effort under the federal
Temporary Assistance for Needy Families (TANF) program (45 CFR 260 et seq.).
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
INSTITUTE FOR WORKFORCE EXCELLENCE
Total Operating Expense 250,000 250,000
11,400,000
NEXT GENERATION HOOSIER EDUCATORS 3,492,428
Total Operating Expense 11,400,000
NATIONAL GUARD TUITION SCHOLARSHIP
Total Operating Expense 3,492,428
The above appropriations for national guard scholarships plus reserve balances in the fund
shall be the total allowable state expenditure for the program in the biennium.
PRIMARY CARE SCHOLARSHIP
Pokagon Band Tribal-State Compact Fund (IC 4-12-1-20)
Total Operating Expense 2,000,000 2,000,000
The above appropriations shall be distributed in accordance with IC 21-13-9.
HIGH VALUE WORKFORCE READY CREDIT BEARING GRANT (IC 21-12-8)
Total Operating Expense 5,734,739 5,734,739
MEDICAL EDUCATION BOARD
FAMILY PRACTICE RESIDENCY
Pokagon Band Tribal-State Compact Fund (IC 4-12-1-20)
Total Operating Expense 2,382,197 2,382,197
Of the above appropriations, $1,000,000 each year shall be distributed as grants for the purpose
of improving family practice residency programs serving medically underserved areas.
GRADUATE MEDICAL EDUCATION BOARD
MEDICAL RESIDENCY EDUCATION GRANTS
Pokagon Band Tribal-State Compact Fund (IC 4-12-1-20)
Total Operating Expense 7,000,000 7,000,000
The above appropriations for medical residency education grants are to be distributed
in accordance with IC 21-13-6.5.
FOR THE DEPARTMENT OF ADMINISTRATION
COLUMBUS LEARNING CENTER OPERATIONAL SUPPORT
Total Operating Expense 2,250,000 2,250,000
B. ELEMENTARY AND SECONDARY EDUCATION
FOR THE DEPARTMENT OF EDUCATION
Total Operating Expense 18,863,634 18,863,634
1,237,940
Professional Standards Fund (IC 20-28-2-10)
Total Operating Expense 1,237,940
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
Augmentation allowed from the professional standards fund.
STATE BOARD OF EDUCATION 1,000,000 1,000,000
Total Operating Expense
FREEDOM AND OPPORTUNITY IN EDUCATION
Total Operating Expense 50,000,000 50,000,000
The above appropriations may be used for initiatives to improve academic performance
and increase freedom and opportunity in education, including but not limited to
expanding the current ILEARN checkpoint pilot statewide; designing and deploying
an interactive advising tool to support the implementation of new diploma requirements;
operating the real-time educator supply and demand marketplace; recruiting educators
in high-need areas, including special education, English learner, STEM teachers,
and school counselors; expanding computer science education programs; supporting
highly effective dropout prevention programs; funding initiatives related to the
Science of Reading; piloting evidence-based reading intervention programs; supporting
the Crossing the Finish Line initiative; providing literacy achievement grants; the teacher
higher education and industry collaboration, and supporting student learning recovery
grants.
Of the above appropriations, the department may allocate up to $1,000,000 each fiscal
year to create a localized educational attainment pilot program to address critical
literacy, educational training, and support service needs in a selected community.
The pilot program should focus on literacy training and outreach and aim to improve
reading proficiency among children and adults, leveraging targeted, evidence-based
interventions, including literacy programming, school partnerships, and outreach
to reach underserved populations.
STEM PROGRAM ALIGNMENT 6,850,000 6,850,000
Total Operating Expense
The above appropriations shall be used to provide competitive grants to school
corporations, charter schools, and other entities for the purpose of increasing access
to high quality STEM programming, implementing qualified STEM curricula and
professional development plans, to develop methods of evaluating STEM curricula
and professional development plans for the purpose of awarding STEM grants, and
to develop a system for measuring student growth in critical thinking, problem-solving,
and other STEM-based skills in schools that receive STEM grants. The department
shall provide an annual report to the general assembly, the office of the governor, and
the state board of education describing the department's progress toward implementing
the state’s STEM plan. All data collected by the department shall be tracked electronically
and shared with the management and performance hub for the purpose of collecting
longitudinal data.
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
Of the above appropriations, up to $1,000,000 in each fiscal year shall be used to provide
grants to colleges or universities for the purpose of supporting programs and statewide
initiatives dedicated to increasing student enrollment and improving student scores in
math and science Advanced Placement courses. Of the above appropriations, up to
$500,000 in each fiscal year may be used to provide grants to schools or corporations
for the purpose of supporting programs dedicated to increasing student enrollment
and improving student scores in math and science Cambridge International courses.
Of the above appropriations, $4,000,000 each fiscal year shall be used to support
robotics programs, as defined by IC 20-20-45.5, and the Indiana Bar Foundation's
We the People programs at school corporations and charter schools.
Of the above appropriations, $300,000 each fiscal year shall be used to partner with
the commission for higher education to provide professional development and technical
assistance to schools that pilot the transitions math course for students transitioning
from secondary to post-secondary education.
RILEY HOSPITAL
Total Operating Expense 250,000 250,000
BEST BUDDIES
Total Operating Expense 195,819 195,819
SCHOOL TRAFFIC SAFETY
Total Operating Expense 215,786 215,786
SPECIAL EDUCATION (S-5) (IC 20-35-6-2)
Total Operating Expense 29,070,000 29,070,000
AUDITORY-VERBAL ACCELERATED EDUCATION PROGRAM (IC 20-35-13)
Total Operating Expense 1,900,000 1,900,000
CHARTER AND INNOVATION NETWORK SCHOOL GRANT PROGRAM
Total Operating Expense 52,600,000 52,600,000
Augmentation allowed.
TEACHERS' SOCIAL SECURITY AND RETIREMENT DISTRIBUTION
Total Operating Expense 1,894,521 1,894,521
The above appropriations shall be distributed by the department of education on
a monthly basis in equal payments to special education cooperatives, area career
and technical education schools, and other governmental entities that received state
teachers' Social Security distributions for certified education personnel (excluding
the certified education personnel funded through federal grants) during the fiscal
year beginning July 1, 1992, and ending June 30, 1993, and for the units under the
Indiana state teachers' retirement fund, the amount they received during the 2002-2003
state fiscal year for teachers' retirement. If the total amount to be distributed is
greater than the total appropriation, the department of education shall reduce each
entity's distribution proportionately.
DISTRIBUTION FOR TUITION SUPPORT
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
Total Operating Expense 9,370,000,000 9,650,000,000
The above appropriations are to be distributed in accordance with a statute enacted
for this purpose during the 2025 session of the general assembly.
If the above appropriations are more than the amount required by statute, the excess
appropriations shall revert to the general fund at the end of each fiscal year.
The above appropriations shall be distributed under a schedule set by the budget
agency and approved by the governor. The schedule shall provide for at least twelve
(12) payments made at least once every forty (40) days, and the aggregate of the
payments in each fiscal year shall equal the amount required by statute.
TEACHER APPRECIATION GRANTS 35,625,000 35,625,000
Total Operating Expense
It is the intent of the general assembly that the above appropriations shall be the total
allowable state expenditure for the program. If disbursements are anticipated to
exceed the total appropriation for a state fiscal year, the department of education
shall reduce the distributions proportionately.
DISTRIBUTION FOR SUMMER SCHOOL
Total Operating Expense 17,442,000 17,442,000
It is the intent of the general assembly that the above appropriations shall be the total
allowable state expenditure for the program. Therefore, if the expected disbursements
are anticipated to exceed the total appropriation for that state fiscal year, then the
department of education shall reduce the distributions proportionately.
CAREER SCHOLARSHIP ACCOUNT PROGRAM (IC 20-51.4)
Total Operating Expense 0 10,000,000
The department shall use the above appropriation to deposit $5,000 into each eligible
career scholarship participant's career scholarship account each fiscal year.
INDIANA EDUCATION SCHOLARSHIP ACCOUNT PROGRAM (IC 20-51.4)
Total Operating Expense 0 10,000,000
DISTRIBUTION FOR ADULT LEARNERS
Total Operating Expense 49,512,500 49,512,500
NATIONAL SCHOOL LUNCH PROGRAM
Total Operating Expense 5,108,582 5,108,582
TESTING
Total Operating Expense 22,355,000 22,355,000
The above appropriations are for assessments, including special education alternate
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
assessments, as determined by the state board of education and the department of
education.
REMEDIATION TESTING 14,126,474 14,126,474
Total Operating Expense
The above appropriations for remediation testing are for grants to school corporations,
charter schools, and accredited nonpublic schools through the department of education.
School corporations, charter schools, and accredited nonpublic schools shall use the
grants to fund formative tests to identify students who require remediation. The
department may also use the above appropriations to fund through-year assessments
that identify students who require remediation.
GRADUATION PATHWAYS POST-SECONDARY COMPETENCIES
Total Operating Expense 5,320,000 5,320,000
The above appropriations are to provide funding for students enrolled in school
corporations, charter schools, and accredited nonpublic schools to take the Advanced
Placement and Cambridge International exams. A maximum of three (3) exams per
student may be funded. Any remaining funds available after exam fees have been
paid shall be prioritized for use by teachers of Advanced Placement or Cambridge
International courses to attend professional development training.
PSAT PROGRAM 2,574,500 2,574,500
Total Operating Expense
The above appropriations are to provide funding for students enrolled in school
corporations, charter schools, and accredited nonpublic schools in grade 10 and
11 to take the PSAT exam.
NON-ENGLISH SPEAKING PROGRAM 190,000 190,000
Total Operating Expense
The above appropriations shall be distributed to the department of correction, the
Indiana school for the blind and visually impaired, the Indiana school for the deaf,
the Excel Centers for Adult Learners, the Christel House DORS Centers, and the Gary
Middle College charter schools to support non-English speaking programs. Funds may
only be used to educate students who are less than twenty-three (23) years of age.
GIFTED AND TALENTED EDUCATION PROGRAM
Total Operating Expense 15,000,000 15,000,000
Each fiscal year, the department shall make $750,000 available to school corporations
and charter schools to purchase verbal and quantitative reasoning tests to be administered
to all students within the corporation or charter school that are enrolled in kindergarten,
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
second grade, and fifth grade.
ALTERNATIVE EDUCATION 766,074 766,074
Total Operating Expense
The above appropriations include funding to provide $10,000 for each child in recovery
from alcohol or drug abuse who attends a charter school accredited by the National
Association of Recovery Schools. This funding is in addition to any funding received
by the charter school from the student funding formula.
SENATOR DAVID C. FORD EDUCATIONAL TECHNOLOGY PROGRAM
Total Operating Expense 3,000,000 3,000,000
The department shall use the above appropriations to make grants to school corporations
and charter schools to promote student learning through the use of technology and to
acquire innovative education technologies that can be accessed and utilized by all school
corporations and charter schools.
Of the above appropriations, $1,350,000 shall be used for each fiscal year to provide
grants to school corporations and charter schools to purchase robotic technology
and provide professional development endorsed by the Council of Administrators of
Special Education to improve the social and behavioral skills for students with autism.
FOR THE INDIANA PUBLIC RETIREMENT SYSTEM
TEACHERS' RETIREMENT FUND DISTRIBUTION
Total Operating Expense 1,066,300,000 1,066,300,000
Augmentation allowed.
If the amount required under the pre-1996 account of the teachers' retirement fund
for actual benefits for the Post Retirement Pension Increases that are funded on a "pay
as you go" basis plus the base benefits under the pre-1996 account of the teachers'
retirement fund is:
(1) greater than the above appropriations for a year, after notice to the governor
and the budget agency of the deficiency, the above appropriation for the year shall
be augmented from the state general fund. Any augmentation shall be included in
the required pension stabilization calculation under IC 5-10.4; or
(2) less than the above appropriations for a year, the excess shall be retained in the
state general fund. The portion of the benefit funded by the actuarially funded
Post Retirement Pension Increases shall not be part of this calculation.
C. OTHER EDUCATION
FOR THE EDUCATION EMPLOYMENT RELATIONS BOARD
Total Operating Expense 1,227,219 1,227,219
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
FOR THE STATE LIBRARY
Total Operating Expense 2,627,285 2,627,285
STATEWIDE LIBRARY SERVICES
Total Operating Expense 1,433,108 1,433,108
LIBRARY SERVICES FOR THE BLIND - ELECTRONIC NEWSLINES
Total Operating Expense 180,000 180,000
FOR THE ARTS COMMISSION 3,450,796 3,450,796
Total Operating Expense
The above appropriations include $650,000 each year to provide grants to:
(1) arts organizations that have recently qualified for general operating support
as major arts organizations, as determined by the arts commission; and
(2) regional organizations that have recently qualified for general operating support
as mid-major arts organizations, as determined by the arts commission and its regional
re-granting partners.
SECTION 10. [EFFECTIVE JULY 1, 2025]
DISTRIBUTIONS
FOR THE STATE COMPTROLLER 50,500,000 50,500,000
GAMING TAX
Total Operating Expense
Augmentation allowed.
The above appropriations include $48,000,000 each year for the supplemental wagering
tax distribution in IC 4-33-13-5 and $2,500,000 each year for the historic hotel district
community support fee distribution in IC 4-35-8.3-4.
SECTION 11. [EFFECTIVE JULY 1, 2025]
Federal funds are available for career and technical education under the Carl D.
Perkins Career and Technical Education Act of 2006 (20 U.S.C. 2301 et seq. for
Career and Technical Education). Funds shall be received by the commission of
higher education and may be allocated by the budget agency after consultation with
the commission for higher education and any other state agencies, commissions,
or organizations required by state law.
SECTION 12. [EFFECTIVE JULY 1, 2025]
In accordance with IC 20-20-38, the budget agency, upon the request of the commission
for higher education, may proportionately augment or reduce an allocation of federal
funds made under SECTION 11 of this act.
HEA 1001 — CC 1
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FY 2025-2026 FY 2026-2027 Biennial
Appropriation Appropriation Appropriation
SECTION 13. [EFFECTIVE JULY 1, 2025]
Utility bills for the month of June, travel claims covering the period June 16 to June
30, payroll for the period of the last half of June, any interdepartmental bills for
supplies or services for the month of June, and any other miscellaneous expenses
incurred during the period June 16 to June 30 shall be charged to the appropriation
for the succeeding year. No interdepartmental bill shall be recorded as a refund
of expenditure to any current year allotment account for supplies or services rendered
or delivered at any time during the preceding June period.
SECTION 14. [EFFECTIVE JULY 1, 2025]
The budget agency, under IC 4-10-11, IC 4-12-1-13, and IC 4-13-1, in cooperation
with the Indiana department of administration, may fix the amount of reimbursement
for traveling expenses (other than transportation) for travel within the limits of
Indiana. This amount may not exceed actual lodging and miscellaneous expenses
incurred. A person in travel status, as defined by the state travel policies and
procedures established by the Indiana department of administration and the budget
agency, is entitled to a meal allowance not to exceed during any twenty-four (24)
hour period the standard meal allowances established by the federal Internal Revenue
Service.
All appropriations provided by this act or any other statute, for traveling and hotel
expenses for any department, officer, agent, employee, person, trustee, or commissioner,
are to be used only for travel within the state of Indiana, unless those expenses are
incurred in traveling outside the state of Indiana on trips that previously have received
approval as required by the state travel policies and procedures established by the Indiana
department of administration and the budget agency. With the required approval,
a reimbursement for out-of-state travel expenses may be granted in an amount not
to exceed actual lodging and miscellaneous expenses incurred. A person in travel
status is entitled to a meal allowance not to exceed during any twenty-four (24) hour
period the standard meal allowances established by the federal Internal Revenue
Service for properly approved travel within the continental United States and a
minimum of $50 during any twenty-four (24) hour period for properly approved travel
outside the continental United States. However, while traveling in Japan, the minimum
meal allowance shall not be less than $90 for any twenty-four (24) hour period. While
traveling in Korea and Taiwan, the minimum meal allowance shall not be less than
$85 for any twenty-four (24) hour period. While traveling in Singapore, China, Great
Britain, Germany, the Netherlands, and France, the minimum meal allowance shall
not be less than $65 for any twenty-four (24) hour period.
In the case of the state supported institutions of postsecondary education, approval
for out-of-state travel may be given by the chief executive officer of the institution,
or the chief executive officer's authorized designee, for the chief executive officer's
respective personnel.
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Before reimbursing overnight travel expenses, the state comptroller shall require
documentation as prescribed in the state travel policies and procedures established
by the Indiana department of administration and the budget agency. No appropriation
from any fund may be construed as authorizing the payment of any sum in excess of
the standard mileage rates for personally owned transportation equipment established
by the federal Internal Revenue Service when used in the discharge of state business.
The Indiana department of administration and the budget agency may adopt policies
and procedures relative to the reimbursement of travel and moving expenses of new
state employees and the reimbursement of travel expenses of prospective employees
who are invited to interview with the state.
SECTION 15. [EFFECTIVE JULY 1, 2025]
Notwithstanding IC 4-10-11-2.1, the salary per diem of members of boards, commissions,
and councils who are entitled to a salary per diem is equal to $100 per day. However,
members of boards, commissions, or councils who receive an annual or a monthly salary
paid by the state are not entitled to the salary per diem provided in IC 4-10-11-2.1.
SECTION 16. [EFFECTIVE JULY 1, 2025]
No payment for personal services shall be made by the state comptroller unless the
payment has been approved by the budget agency or the designee of the budget agency.
SECTION 17. [EFFECTIVE JULY 1, 2025]
No warrant for operating expenses, capital outlay, or fixed charges shall be issued
to any department or an institution unless the receipts of the department or institution
have been deposited into the state treasury for the month. However, if a department
or an institution has more than $10,000 in daily receipts, the receipts shall be deposited
into the state treasury daily.
SECTION 18. [EFFECTIVE JULY 1, 2025]
In case of loss by fire or any other cause involving any state institution or department,
the proceeds derived from the settlement of any claim for the loss shall be deposited
in the state treasury, and the amount deposited is hereby reappropriated to the
institution or department for the purpose of replacing the loss. If it is determined
that the loss shall not be replaced, any funds received from the settlement of a claim
shall be deposited into the state general fund.
SECTION 19. [EFFECTIVE JULY 1, 2025]
If an agency has computer equipment in excess of the needs of that agency, then
the excess computer equipment may be sold under the provisions of surplus property
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sales, and the proceeds of the sale or sales shall be deposited in the state treasury.
The amount so deposited is hereby reappropriated to that agency for other operating
expenses of the current year, if approved by the director of the budget agency.
SECTION 20. [EFFECTIVE JULY 1, 2025]
This act does not authorize any rehabilitation and repairs to any state buildings,
nor does it allow that any obligations be incurred for lands and structures, without
the prior approval of the budget director or the director's designee. This SECTION
does not apply to contracts for the state universities supported in whole or in part
by state funds.
SECTION 21. [EFFECTIVE JULY 1, 2025]
If an agency has an annual appropriation fixed by law, and if the agency also receives
an appropriation in this act for the same function or program, the appropriation in
this act supersedes any other appropriations and is the total appropriation for the
agency for that program or function.
SECTION 22. [EFFECTIVE JULY 1, 2025]
The balance of any appropriation or funds heretofore placed or remaining to the
credit of any division of the state of Indiana, and any appropriation or funds provided
in this act placed to the credit of any division of the state of Indiana, the powers,
duties, and functions whereof are assigned and transferred to any department for
salaries, maintenance, operation, construction, or other expenses in the exercise
of such powers, duties, and functions, shall be transferred to the credit of the
department to which such assignment and transfer is made, and the same shall be
available for the objects and purposes for which appropriated originally.
SECTION 23. [EFFECTIVE JULY 1, 2025]
The director of the division of procurement of the Indiana department of administration,
or any other person or agency authorized to make purchases of equipment, shall not
honor any requisition for the purchase of an automobile that is to be paid for from any
appropriation made by this act or any other act, unless the following facts are shown
to the satisfaction of the commissioner of the Indiana department of administration or
the commissioner's designee:
(1) In the case of an elected state officer, it shall be shown that the duties of the
office require driving about the state of Indiana in the performance of official duty.
(2) In the case of department or commission heads, it shall be shown that the statutory
duties imposed in the discharge of the office require traveling a greater distance
than one thousand (1,000) miles each month or that they are subject to official duty
call at all times.
(3) In the case of employees, it shall be shown that the major portion of the duties
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assigned to the employee require travel on state business in excess of one thousand
(1,000) miles each month, or that the vehicle is identified by the agency as an integral
part of the job assignment.
In computing the number of miles required to be driven by a department head or an
employee, the distance between the individual's home and office or designated official
station is not to be considered as a part of the total. Department heads shall annually
submit justification for the continued assignment of each vehicle in their department,
which shall be reviewed by the commissioner of the Indiana department of administration,
or the commissioner's designee. There shall be an insignia permanently affixed on each
side of all state owned cars, designating the cars as being state owned. However, this
requirement does not apply to state owned cars driven by elected state officials or to
cases where the commissioner of the Indiana department of administration or the
commissioner's designee determines that affixing insignia on state owned cars would
hinder or handicap the persons driving the cars in the performance of their official
duties.
SECTION 24. [EFFECTIVE JULY 1, 2025]
When budget agency approval or review is required under this act, the budget agency
may refer to the budget committee any budgetary or fiscal matter for an advisory
recommendation. The budget committee may hold hearings and take any actions authorized
by IC 4-12-1-11, and may make an advisory recommendation to the budget agency.
SECTION 25. [EFFECTIVE JULY 1, 2025]
Except as provided for under IC 4-12-18, the governor of the state of Indiana is
solely authorized to accept on behalf of the state any and all federal funds available
to the state of Indiana. Federal funds received under this SECTION are appropriated
for purposes specified by the federal government, subject to allotment by the budget
agency. The provisions of this SECTION and all other SECTIONS concerning the
acceptance, disbursement, review, and approval of any grant, loan, or gift made by
the federal government or any other source to the state or its agencies and political
subdivisions shall apply, notwithstanding any other law.
SECTION 26. [EFFECTIVE JULY 1, 2025]
Except as provided for under IC 4-12-18, federal funds received as revenue by a state
agency or department are not available to the agency or department for expenditure
until allotment has been made by the budget agency under IC 4-12-1-12(d).
SECTION 27. [EFFECTIVE JULY 1, 2025]
A contract or an agreement for personal services or other services may not be
entered into by any agency or department of state government without the approval
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of the budget agency or the designee of the budget director.
SECTION 28. [EFFECTIVE JULY 1, 2025]
Except in those cases where a specific appropriation has been made to cover the
payments for any of the following, the state comptroller shall transfer, from the
personal services appropriations for each of the various agencies and departments,
necessary payments for Social Security, public employees' retirement, health
insurance, life insurance, and any other similar payments directed by the budget
agency.
SECTION 29. [EFFECTIVE JULY 1, 2025]
Subject to SECTION 24 of this act as it relates to the budget committee, the budget
agency with the approval of the governor may withhold allotments of any or all appropriations
contained in this act for the biennium, if it is considered necessary to do so in order
to prevent a deficit financial situation.
SECTION 30. [EFFECTIVE JULY 1, 2025]
CONSTRUCTION
For the 2025-2027 biennium, the following amounts, from the funds listed as follows,
are appropriated to provide for the construction, reconstruction, rehabilitation, repair,
purchase, rental, and sale of state properties, capital lease rentals, and the purchase and
sale of land, including equipment for these properties and other projects as specified.
State General Fund - Lease Rentals
146,967,420
State General Fund - Construction
457,027,195
Employment Security Special Fund (IC 22-4-25)
500,000
State Construction Fund (IC 9-13-2-173.1)
40,000,000
Veterans' Home Building Fund (IC 10-17-9-7)
6,322,100
State Highway Fund (IC 8-23-9-54)
65,462,500
Indiana Correctional Industries Fund (IC 11-10-6-6)
20,170,000
TOTAL 736,449,215
The allocations provided under this SECTION are made from the state general fund,
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unless specifically authorized from other designated funds by this act. The budget
agency, with the approval of the governor, in approving the allocation of funds
pursuant to this SECTION, shall consider, as funds are available, allocations for the
following specific uses, purposes, and projects:
A. GENERAL GOVERNMENT
FOR THE STATE BUDGET AGENCY
Stadium Lease Rental 43,467,088 43,486,244
17,839,637
Convention Center Lease Rental 17,494,449 25,000,000
20,000,000
Housing Infrastructure Assistance 25,000,000
7,000,000
Water Infrastructure Assistance 20,000,000 0
0
Indiana Motorsports Commission 7,000,000
S. Ind. Reg. Aviation Training Dev. Init. 6,500,000
Northern Indiana Reg. Dev. Authority 28,000,000
The above appropriation shall be used for the South Shore Line realignment project.
State Agency Capital Improvement 200,000,000
State Construction Fund (IC 9-13-2-173.1) 40,000,000
State Agency Capital Improvement
The above appropriations may be used to fund preventative maintenance, repair and
rehabilitation, and other capital improvement projects for state agencies. The budget
agency, with the approval of the governor, shall allocate the funds to projects, subject
to review by the budget committee.
DEPARTMENT OF ADMINISTRATION - LEASES 12,338,943
Neuro-Diagnostic Inst. Capital Lease 12,341,059
B. PUBLIC SAFETY
CORRECTIONS
INDIANA CORRECTION INDUSTRIES
Indiana Correctional Industries Fund (IC 11-10-6-6)
Repair and Rehabilitation 805,000 375,000
0
Pendleton Industries Building 2,090,000 0
0
Commissary Warehouse Expansion 6,270,000 0
New Castle Industries 4,180,000 2,090,000
4,000,000
Vehicle Wrap Building 360,000
Pendleton Industries Building 0
Metal Shop Equip 0
C. ECONOMIC AND WORKFORCE DEVELOPMENT
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INDIANA ECONOMIC DEVELOPMENT CORPORATION
Deal Closing Fund 1 1
After review by the budget committee, the appropriation for the deal closing fund may
be augmented by the budget agency for any economic development project located within
an innovation development district.
DEPARTMENT OF WORKFORCE DEVELOPMENT
Employment Security Special Fund (IC 22-4-25)
Preventive Maintenance 250,000 250,000
D. TRANSPORTATION
DEPARTMENT OF TRANSPORTATION - BUILDINGS AND GROUNDS
State Highway Fund (IC 8-23-9-54)
Preventive Maintenance 3,735,351 3,930,813
Repair and Rehabilitation 5,154,649 4,959,187
Architectural and Engineering Fee 127,500 0
Indianapolis Traffic Management Ctr 1,500,000 0
A&E for Borman Traffic Mgt Ctr 340,000 0
Construction of Borman Traffic Mgt Ctr 0 4,000,000
Construction of Jasper Unit and Salt Bldg 0 9,500,000
A&E Austin Subdist/Unit and Salt Bldg 1,650,000 0
Const of Austin Subdist/Unit and Salt Bldg 0 16,500,000
A&E for Jasper Unit and Salt Bldg 950,000 0
Const of Evansville Unit and Salt Bldg 11,500,000 0
A&E Fee for Monticello Subdist Bldg 0 600,000
A&E for Albany Unit and Salt Bldg 0 515,000
Land Purchase 250,000 250,000
E. FAMILY AND SOCIAL SERVICES, HEALTH, AND VETERANS' AFFAIRS
(1) VETERANS' AFFAIRS
INDIANA VETERANS' HOME
Veterans' Home Building Fund (IC 10-17-9-7)
Preventive Maintenance 637,500 637,500
300,800
Repair and Rehabilitation 4,746,300
(2) HIGHER EDUCATION
INDIANA UNIVERSITY - TOTAL SYSTEM
Repair and Rehabilitation 41,840,489 0
Regional Deferred Maintenance 9,287,069 0
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PURDUE UNIVERSITY - TOTAL SYSTEM
Repair and Rehabilitation 35,350,955 0
Regional Deferred Maintenance 4,012,931 0
INDIANA STATE UNIVERSITY
Repair and Rehabilitation 4,058,497 0
UNIVERSITY OF SOUTHERN INDIANA
Repair and Rehabilitation 3,300,156 0
BALL STATE UNIVERSITY
Repair and Rehabilitation 8,593,288 0
VINCENNES UNIVERSITY
Repair and Rehabilitation 2,801,495 0
IVY TECH COMMUNITY COLLEGE
Repair and Rehabilitation 9,282,313 0
SECTION 31. [EFFECTIVE JULY 1, 2025]
The budget agency may employ one (1) or more architects or engineers to inspect
construction, rehabilitation, and repair projects covered by the appropriations
in this act or previous acts.
SECTION 32. [EFFECTIVE UPON PASSAGE]
If any part of a construction or rehabilitation and repair appropriation made by this
act or any previous acts has not been allotted or encumbered before the expiration
of the biennium, the budget agency may determine that the balance of the appropriation
is not available for allotment. The appropriation may be terminated, and the balance
may revert to the fund from which the original appropriation was made.
SECTION 33. [EFFECTIVE JULY 1, 2025]
The budget agency may retain balances in the mental health fund at the end of any fiscal
year to ensure there are sufficient funds to meet the service needs of the developmentally
disabled and the mentally ill in any year.
SECTION 34. [EFFECTIVE JULY 1, 2025]
If the budget director determines at any time during the biennium that the executive
branch of state government cannot meet its statutory obligations due to insufficient
funds in the general fund, then notwithstanding IC 4-10-18, the budget agency, with
the approval of the governor and after review by the budget committee, may transfer
from the counter-cyclical revenue and economic stabilization fund to the general fund
any additional amount necessary to maintain a positive balance in the general fund.
SECTION 35. IC 2-3-1-1, AS AMENDED BY P.L.229-2011, SECTION 38, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 1. (a) Except as provided in subsection
(c), the annual salary of the members of the general assembly shall be an amount equal to eighteen percent
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(18%) of the annual salary of a judge under IC 33-38-5-6, as adjusted under IC 33-38-5-8.1.
(b) One-half (1/2) the annual salary shall be paid on the fifteenth day of January, and one-half (1/2)
the annual salary shall be paid on the fifteenth day of February.
(c) Notwithstanding any other law, the annual salary of the members of the general assembly shall not
be increased during the state fiscal year beginning July 1, 2011, 2025, or during the state fiscal year
beginning July 1, 2012, 2026, regardless of any increase in the annual salary of a judge under
IC 33-38-5-6, as adjusted under IC 33-38-5-8.1.
SECTION 36. IC 2-5-1.1-7 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON
PASSAGE]: Sec. 7. (a) The council shall maintain a bipartisan service and administrative agency for the
general assembly to assist it in the performance of its constitutional responsibilities as a separate and
independent legislative branch of state government. The service and administrative agency shall be known
as the "Legislative Services Agency".
(b) In maintaining the legislative services agency the council shall:
(1) establish the qualifications for and employ such personnel as are required to carry out the
purposes and provisions of this chapter;
(2) employ an executive director, to be charged with the administrative responsibility of all offices,
departments, or divisions which the council may from time to time establish, and to serve as chief
executive under the council;
(3) adopt rules and regulations governing personnel practices and establishing the rights, privileges,
powers, and duties of all employees;
(4) provide for employees to be covered by the public employees' retirement fund; and
(5) establish a pay scale for all employees including the executive director.
Rules and regulations adopted by the council under subdivision (3) are not subject to IC 4-22-2. In those
rules and regulations, the council may limit the political activity of legislative services agency employees.
(c) The executive director is entitled to serve as long as he properly performs his duties, but he may
be removed at any time upon the affirmative vote of twelve (12) members of the council.
(d) The executive director may submit to the council such reports and drafts of resolutions, budgets,
and appropriation bills as may be required for the efficient operation of the council's activities and
programs.
(e) The legislative services agency shall perform such bill drafting, research, code revision, fiscal,
budgetary, and management analysis, information, administrative, and other services as are requested by
the council.
(f) The legislative services agency shall perform a fiscal impact analysis for each executive order
issued by the governor under IC 10-14-3 within seven (7) days of the executive order issuance and
provide the fiscal note to:
(1) the legislative council; and
(2) the budget committee.
SECTION 37. IC 2-5-3.2-1, AS AMENDED BY P.L.9-2024, SECTION 7, IS AMENDED TO READ
AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 1. (a) As used in this section, "tax incentive" means
a benefit provided through a state or local tax that is intended to alter, reward, or subsidize a particular
action or behavior by the tax incentive recipient, including a benefit intended to encourage economic
development. The term includes the following:
(1) An exemption, deduction, credit, preferential rate, or other tax benefit that:
(A) reduces the amount of a tax that would otherwise be due to the state;
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(B) results in a tax refund in excess of any tax due; or
(C) reduces the amount of property taxes that would otherwise be due to a political subdivision
of the state.
(2) The dedication of revenue by a political subdivision to provide improvements or to retire bonds
issued to pay for improvements in an economic or sports development area, a community
revitalization area, an enterprise zone, a tax increment financing district, or any other similar area
or district.
(b) The general assembly intends that each tax incentive effectuate the purposes for which it was
enacted and that the cost of tax incentives should be included more readily in the biennial budgeting
process. To provide the general assembly with the information it needs to make informed policy choices
about the efficacy of each tax incentive, the legislative services agency shall conduct a regular review,
analysis, and evaluation of all tax incentives according to a schedule developed by the legislative services
agency.
(c) The legislative services agency shall conduct a systematic and comprehensive review, analysis, and
evaluation of each tax incentive scheduled for review. The review, analysis, and evaluation must include
information about each tax incentive that is necessary to achieve the goals described in subsection (b),
which may include any of the following:
(1) The basic attributes and policy goals of the tax incentive, including the statutory and
programmatic goals of the tax incentive, the economic parameters of the tax incentive, the original
scope and purpose of the tax incentive, and how the scope or purpose has changed over time.
(2) The tax incentive's equity, simplicity, competitiveness, public purpose, adequacy, and extent of
conformance with the original purposes of the legislation enacting the tax incentive.
(3) The types of activities on which the tax incentive is based and how effective the tax incentive
has been in promoting these targeted activities and in assisting recipients of the tax incentive.
(4) The count of the following:
(A) Applicants for the tax incentive.
(B) Applicants that qualify for the tax incentive.
(C) Qualified applicants that, if applicable, are approved to receive the tax incentive.
(D) Taxpayers that actually claim the tax incentive.
(E) Taxpayers that actually receive the tax incentive.
(5) The dollar amount of the tax incentive benefits that has been actually claimed by all taxpayers
over time, including the following:
(A) The dollar amount of the tax incentive, listed by the North American Industrial Classification
System (NAICS) Code associated with the tax incentive recipients, if an NAICS Code is
available.
(B) The dollar amount of income tax credits that can be carried forward for the next five (5) state
fiscal years.
(6) An estimate of the economic impact of the tax incentive, including the following:
(A) A return on investment calculation for the tax incentive. For purposes of this clause, "return
on investment calculation" means analyzing the cost to the state or political subdivision of
providing the tax incentive, analyzing the benefits realized by the state or political subdivision
from providing the tax incentive.
(B) A cost-benefit comparison of the state and local revenue foregone and property taxes shifted
to other taxpayers as a result of allowing the tax incentive, compared to tax revenue generated
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by the taxpayer receiving the incentive, including direct taxes applied to the taxpayer and taxes
applied to the taxpayer's employees.
(C) An estimate of the number of jobs that were the direct result of the tax incentive.
(D) For any tax incentive that is reviewed or approved by the Indiana economic development
corporation, a statement by the chief executive officer of the Indiana economic development
corporation as to whether the statutory and programmatic goals of the tax incentive are being met,
with obstacles to these goals identified, if possible.
(7) The methodology and assumptions used in carrying out the reviews, analyses, and evaluations
required under this subsection.
(8) The estimated cost to the state to administer the tax incentive.
(9) An estimate of the extent to which benefits of the tax incentive remained in Indiana or flowed
outside Indiana.
(10) Whether the effectiveness of the tax incentive could be determined more definitively if the
general assembly were to clarify or modify the tax incentive's goals and intended purpose.
(11) Whether measuring the economic impact is significantly limited due to data constraints and
whether any changes in statute would facilitate data collection in a way that would allow for better
review, analysis, or evaluation.
(12) An estimate of the indirect economic benefit or activity stimulated by the tax incentive.
(13) Any additional review, analysis, or evaluation that the legislative services agency considers
advisable, including comparisons with tax incentives offered by other states if those comparisons
would add value to the review, analysis, and evaluation.
The legislative services agency may request a state or local official or a state agency, a political
subdivision, a body corporate and politic, or a county or municipal redevelopment commission to furnish
information necessary to complete the tax incentive review, analysis, and evaluation required by this
section. An official or entity presented with a request from the legislative services agency under this
subsection shall cooperate with the legislative services agency in providing the requested information.
An official or entity may require that the legislative services agency adhere to the provider's rules, if any,
that concern the confidential nature of the information.
(d) The legislative services agency shall, before October 1 of each year, submit a report to the
legislative council, in an electronic format under IC 5-14-6, and to the interim study committee on fiscal
policy established by IC 2-5-1.3-4 containing the results of the legislative services agency's review,
analysis, and evaluation. The report must include at least the following:
(1) A detailed description of the review, analysis, and evaluation for each tax incentive reviewed.
(2) Information to be used by the general assembly to determine whether a reviewed tax incentive
should be continued, modified, or terminated, the basis for the recommendation, and the expected
impact of the recommendation on the state's economy.
(3) Information to be used by the general assembly to better align a reviewed tax incentive with the
original intent of the legislation that enacted the tax incentive.
The report required by this subsection must not disclose any proprietary or otherwise confidential
taxpayer information.
(e) The interim study committee on fiscal policy shall do the following:
(1) Hold at least one (1) public hearing after September 30 and before November 1 of each year at
which:
(A) the legislative services agency presents the review, analysis, and evaluation of tax incentives;
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and
(B) the interim study committee receives information concerning tax incentives.
(2) Submit to the legislative council, in an electronic format under IC 5-14-6, any recommendations
made by the interim study committee that are related to the legislative services agency's review,
analysis, and evaluation of tax incentives prepared under this section.
(f) The general assembly shall use the legislative services agency's report under this section and the
interim study committee on fiscal policy's recommendations under this section to determine whether a
particular tax incentive:
(1) is successful;
(2) is provided at a cost that can be accommodated by the state's biennial budget; and
(3) should be continued, amended, or repealed.
(g) The legislative services agency shall establish and maintain a system for making available to the
public information about the amount and effectiveness of tax incentives.
(h) The legislative services agency shall develop and publish on the general assembly's website a
multi-year schedule that lists all tax incentives and indicates the year when the report will be published
for each tax incentive reviewed. The legislative services agency may revise the schedule as long as the
legislative services agency provides for a systematic review, analysis, and evaluation of all tax incentives
and that each tax incentive is reviewed at least once. every seven (7) years.
(i) This section expires December 31, 2025. 2030.
SECTION 38. IC 3-6-3.7-4, AS ADDED BY P.L.258-2013, SECTION 17, IS AMENDED TO READ
AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 4. (a) The voter education outreach fund is established
for the purpose of receiving, holding, and disbursing funds for education and outreach to citizens
concerning voter rights and responsibilities, including voter identification requirements.
(b) The fund shall be administered by the secretary of state and money in the fund expended subject
to appropriation by the general assembly. The fund may be augmented after budget committee
review.
(c) The expenses of administering the fund shall be paid from money in the fund.
(d) The treasurer of state shall invest the money in the fund not currently needed to meet the
obligations of the fund in the same manner as other public money may be invested.
SECTION 39. IC 3-11-6.5-2, AS AMENDED BY P.L.9-2024, SECTION 22, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 2. (a) In accordance with 52 U.S.C. 21004, the
election administration assistance fund is established for the following purposes:
(1) As provided by 52 U.S.C. 21001, to carry out activities to improve the administration of elections
for federal office.
(2) As provided by 52 U.S.C. 21001, to use funds provided to the state under Title II, Subtitle D, Part
I of HAVA (52 U.S.C. 21001 through 52 U.S.C. 21008) as a reimbursement of costs in obtaining
voting equipment that complies with 52 U.S.C. 21081 if the state obtains the equipment after
November 7, 2000.
(3) As provided by 52 U.S.C. 21001, to use funds provided to the state under Title II, Subtitle D, Part
I of HAVA (52 U.S.C. 21001 through 52 U.S.C. 21008) as a reimbursement of costs in obtaining
voting equipment that complies with 52 U.S.C. 21081 under a multiyear contract incurred after
December 31, 2000.
(4) For reimbursing counties for the purchase of new voting systems or for the upgrade or expansion
of existing voting systems that would not qualify for reimbursement under subdivision (2) or (3).
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(b) The fund consists of the following:
(1) Money appropriated to the fund by the general assembly.
(2) All money allocated to the state by the federal government:
(A) under Section 101 of HAVA (52 U.S.C. 20901), as required by 52 U.S.C. 20904;
(B) under Section 102 of HAVA (52 U.S.C. 20902), as required by 52 U.S.C. 20904;
(C) under Title II, Subtitle D, Part I of HAVA (52 U.S.C. 21001 through 52 U.S.C. 21008); and
(D) under any other program for the improvement of election administration.
(3) Proceeds of bonds issued by the Indiana bond bank for improvement of voting systems as
authorized by law.
The state comptroller shall establish an account within the fund for money appropriated by the general
assembly and separate accounts within the fund for any money received by the state from the federal
government for each source of allocations described under subdivision (2). Proceeds of bonds issued by
the Indiana bond bank under subdivision (3) may be deposited into any account, as determined by the
election division.
(c) The secretary of state shall administer the fund and money in the fund expended subject to
appropriation by the general assembly. The fund may be augmented after budget committee review.
(d) The expenses of administering the fund shall be paid from money in the Section 101 account of
the fund. If money is not available for this purpose in the Section 101 account of the fund, the expenses
of administering the fund shall be paid from money appropriated under subsection (b)(1).
(e) The treasurer of state shall invest the money in the fund not currently needed to meet the
obligations of the fund in the same manner as other public money may be invested. Interest that accrues
from these investments shall be deposited in the fund and allocated among the accounts within the fund
according to the balances of the respective accounts.
(f) Money in the fund at the end of a state fiscal year does not revert to the state general fund.
(g) Money in the fund is appropriated continuously for the purposes stated in subsection (a).
SECTION 40. IC 3-11-17-6, AS AMENDED BY P.L.201-2023, SECTION 50, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 6. (a) The voting system technical oversight
program account is established within the state general fund to provide money for administering and
enforcing IC 3-11-7, IC 3-11-7.5, IC 3-11-15, IC 3-11-16, and this chapter.
(b) The secretary of state shall administer the account. Subject to appropriation by the general
assembly and with the approval of the budget agency, funds in the account are available to augment and
supplement the funds appropriated to the secretary of state for the purposes described in this section. The
fund may be augmented after budget committee review.
(c) The expenses of administering the account shall be paid from the money in the account.
(d) The account consists of the following:
(1) All civil penalties collected under this chapter.
(2) Fees collected under IC 3-11-15-4.
(3) Contributions to the account made in accordance with a settlement agreement executed with a
voting system vendor.
(4) Money appropriated by the general assembly for the voting system technical oversight program.
(e) Money in the account at the end of a state fiscal year does not revert to the state general fund.
SECTION 41. IC 3-12-10-2.2 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1,
2025]: Sec. 2.2. (a) The state recount fund is established for the purpose of receiving, holding, and
disbursing funds as a fiduciary for the state recount commission and individuals who have provided a cash
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deposit under this article. The fund shall be administered by the administrative division of the office of
the secretary of state and money in the fund expended subject to appropriation by the general
assembly. The fund may be augmented after budget committee review.
(b) The expenses of administering the fund shall be paid from money in the fund.
(c) Money in the fund at the end of a state fiscal year does not revert to the state general fund.
(d) All money accruing to the fund is appropriated continuously for the purposes specified in
subsection (a).
SECTION 42. IC 4-2-1-5 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ
AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 5. On or before October 1, 2025, and on or before
October 1 of each year thereafter, the governor, governor's cabinet, and each state officer listed in
section 1.5(a) of this chapter shall provide a report to the budget committee concerning the
following for the immediately preceding state fiscal year:
(1) The purpose and location of each trip taken in an official capacity whether in-state or out
of state.
(2) The total travel expenses incurred.
(3) The state fund used to pay for each trip taken.
SECTION 43. IC 4-3-27 IS REPEALED [EFFECTIVE JULY 1, 2025]. (Governor's Workforce
Cabinet).
SECTION 44. IC 4-3-27.3 IS ADDED TO THE INDIANA CODE AS A NEW CHAPTER TO READ
AS FOLLOWS [EFFECTIVE JULY 1, 2025]:
Chapter 27.3. General Provisions Concerning the Transfer of Responsibilities From the
Governor's Workforce Cabinet to the Department of Workforce Development
Sec. 1. As used in this chapter, "department" means the department of workforce development
established by IC 22-4.1-2-1.
Sec. 2. (a) The governor's workforce cabinet established by IC 4-3-27-3 (before its repeal) is
abolished.
(b) The following are transferred on July 1, 2025, the effective date of HEA 1001-2025, from the
governor's workforce cabinet established by IC 4-3-27-3 (before its repeal) to the department:
(1) All real and personal property of the governor's workforce cabinet.
(2) All powers, duties, assets, and liabilities of the governor's workforce cabinet.
(3) All appropriations to the governor's workforce cabinet.
(c) All rules or policies that were adopted by the governor's workforce cabinet before July 1,
2025, shall be treated as though the rules were adopted by the department until the department
adopts new rules or policies.
(d) After July 1, 2025, a reference to the governor's workforce cabinet in a statute or rule shall
be treated as a reference to the department.
Sec. 3. (a) After July 1, 2025, the effective date of HEA 1001-2025, a contract entered into by the
governor's workforce cabinet (before its abolishment on July 1, 2025) is a contract of the
department.
(b) The repeal of IC 4-3-27 does not affect the rights, duties, or obligations of the department or
a person who before July 1, 2025, had a contract with the governor's workforce cabinet (before its
abolishment on July 1, 2025).
(c) A person or the department may enforce a right to compel performance of a duty for a
contract as if the repeal of IC 4-3-27 had not been enacted.
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SECTION 45. IC 4-5-10-5, AS AMENDED BY P.L.177-2019, SECTION 2, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 5. (a) The electronic and enhanced access fund
is established to do the following:
(1) Improve and enhance the technology necessary and desirable to fulfill the duties of the secretary
of state and state agencies as provided in section 1 of this chapter.
(2) Improve service to customers of the secretary of state and state agencies as provided in section
1 of this chapter.
(3) Provide the public electronic and other enhanced access to information maintained by:
(A) the secretary of state under IC 23, IC 24, IC 26, or IC 33; and
(B) the secretary of state and state agencies as provided in section 1 of this chapter.
(4) Allow the public to conduct business electronically with the secretary of state and state agencies
as provided in section 1 of this chapter.
(5) Acquire and finance technology necessary or desirable to accomplish the purposes stated in
subdivisions (1) through (4), including the purchase or lease of hardware, software, and other
appropriate goods and services.
The secretary of state may enter into one (1) or more agreements in furtherance of the purposes of this
chapter.
(b) The fund consists solely of the following:
(1) Electronic and enhanced access fees established and collected by the secretary of state under
section 2 of this chapter.
(2) Other money specifically provided to the fund by law.
Fees collected by the secretary of state under IC 23, IC 24, IC 26, or IC 33 may not be deposited into the
fund.
(c) The secretary of state shall administer the fund.
(d) The expenses of administering the fund shall be paid from money in the fund.
(e) Money in the fund at the end of a state fiscal year does not revert to the state general fund.
(f) Subject to appropriation by the general assembly, the secretary of state may use money in the
fund to pay expenses related to the purposes of the fund as set forth in section 5 of the chapter, to make
payments under any agreement authorized by subsection (a) or authorized by law and directly relating to
the purpose of the fund, and monies in the fund are continuously appropriated for the purposes set forth
in this chapter. The fund may be augmented after budget committee review.
(g) Money in the fund not currently needed to meet the obligations of the fund may be invested by
either of the following:
(1) The treasurer of state in the same manner as other public funds may be invested.
(2) A financial institution designated by trust agreement with the secretary of state.
Interest that accrues from investment of money in the fund shall be deposited into the fund.
SECTION 46. IC 4-8.1-2-7, AS AMENDED BY P.L.9-2024, SECTION 57, IS AMENDED TO READ
AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 7. (a) Except as otherwise specified in this section,
the treasurer of state may not pay any money out of the state treasury except upon warrant of the state
comptroller or upon check drawn against a financial institution based on an approved claim.
(b) The treasurer of state may transfer money invested or on deposit in a public depository to any
deposit account in the same or a different public depository. A transfer between deposit accounts may be
made by warrant, check, or electronic funds transfer.
(c) If a political subdivision (as defined in IC 36-1-2-13) elects to receive distributions from the state
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or if a state employee elects to have wages deposited directly in a financial institution under IC 4-15-5.9-2
by means of an electronic transfer of funds, the treasurer of state shall have the funds transferred
electronically.
(d) Notwithstanding any other law, if:
(1) a vendor or claimant requests that one (1) or more payments be made by means of an electronic
funds transfer; and
(2) the state comptroller and the treasurer of state agree that payment by electronic funds transfer
is advantageous to the state;
the state comptroller may elect to authorize an electronic funds transfer method of payment. If authorized
by the state comptroller, the treasurer of state may pay money from the state treasury by electronic funds
transfer.
(e) With regard to electronic funds transfer, a record of each transfer authorization shall be made by
the treasurer of state immediately following the authorization and shall be made in a form which conforms
to accounting systems approved by the state board of accounts.
(f) As used in this section, "electronic funds transfer" means any transfer of funds, other than a
transaction originated by check, draft, or similar paper instrument, that is initiated through an electronic
terminal, telephone, or computer or magnetic tape for the purpose of ordering, instructing, or authorizing
a financial institution to debit or credit an account.
SECTION 47. IC 4-8.1-2-10, AS AMENDED BY P.L.215-2016, SECTION 60, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 10. The treasurer of state shall keep double
entry records of warrants paid, checks drawn, receipts, cash on hand, and investments for which the
treasurer of state is accountable by law in sufficient detail to fulfill the requirements of the law and the
duty of the treasurer of state's office to safeguard the state treasury.
SECTION 48. IC 4-12-1-20, AS ADDED BY P.L.165-2021, SECTION 42, IS AMENDED TO READ
AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 20. (a) As used in this section, "fund" refers to the
Pokagon Band Tribal-state compact fund established by subsection (c).
(b) As used in this section, "Tribal-state compact" refers to the compact between the state and the
Pokagon Band of Potawatomi Indians pursuant to IC 4-29.
(c) The Pokagon Band Tribal-state compact fund is established for the purposes set forth in subsection
(f). The fund shall be administered by the budget agency. The fund consists of the following:
(1) Money transferred to the fund as a result of the Tribal-state compact.
(2) Appropriations, if any, made by the general assembly.
(3) Grants and gifts intended for deposit in the fund.
(4) Any earnings on money in the fund.
(d) The expenses of administering the fund shall be paid from money in the fund.
(e) Money in the fund at the end of the state fiscal year does not revert to the state general fund.
(f) Money in the fund may be used only for the following program areas:
(1) Economic and workforce development.
(2) Tourism promotion.
(3) Public health.
(4) Education.
(g) There is appropriated two million dollars ($2,000,000) per state fiscal year from the fund to
the Midwest continental divide commission fund established under IC 36-10-16-28 for a period of
twenty (20) state fiscal years beginning July 1, 2026, and ending June 30, 2046.
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SECTION 49. IC 4-13-2-1, AS AMENDED BY P.L.2-2007, SECTION 35, IS AMENDED TO READ
AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 1. (a) This chapter may be known and cited as the
"Financial Reorganization Act of 1947".
(b) This chapter applies to all agencies of the state. Except as provided in section 30 of this chapter,
as used in this chapter, "agency" refers to every officer, board, commission, department, division, bureau,
committee, employee, and other instrumentality of the state, including: state hospitals, state penal
institutions, and other state institution enterprises and activities wherever located, except, unless
specifically included, the following:
(1) Military officers and military and armory boards of the state.
(2) The state fair commission.
(3) The supreme court and the court of appeals.
(4) The legislative department of state government including:
(A) the senate;
(B) the house of representatives;
(C) the legislative council; and
(D) the legislative services agency.
(5) State educational institutions.
(6) Persons and institutions under the control of an entity described in subdivision (1), (2), (3), (4),
or (5).
(7) All counties, cities, towns, townships, school towns, townships, and other municipal corporations
or political subdivisions of the state.
(c) As used in this chapter, "supplies", "materials", "equipment", and "services" means any and all
articles and things, and all services other than personal, used by, or furnished to, any agency, including
printing, binding, publication of books and records, repairs and improvements, utility services, and any
and all other services required for the maintenance, operation, or upkeep of buildings and offices.
(d) The enumeration of the things specified in this section are not exclusive.
SECTION 50. IC 4-13-2-1.5, AS AMENDED BY P.L.85-2017, SECTION 6, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 1.5. (a) Notwithstanding section 1 of this
chapter, but except as provided in section 30 of this chapter, the term "agencies of state", "state
agency", or "agency", as used in sections 7, 19, and 23 of this chapter, include the judicial and legislative
departments of state government.
(b) Notwithstanding section 1 of this chapter, section 19 of this chapter applies to the judicial and
legislative departments of state government.
(c) Notwithstanding section 1 of this chapter, section 5.2 of this chapter applies to a body corporate
and politic.
SECTION 51. IC 4-13-2-18, AS AMENDED BY P.L.9-2024, SECTION 89, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 18. (a) For the purpose of the administration
of the allotment system provided by this section, each fiscal year shall be divided into four (4) quarterly
allotment periods, beginning respectively on the first day of July, October, January, and April. In any case
where the quarterly allotment period is impracticable, the budget director may prescribe a different period
suited to the circumstances but not extending beyond the end of any fiscal year.
(b) Except as otherwise expressly provided in this section, the provisions of this chapter relating to the
allotment system and to the encumbering of funds shall apply to appropriations and funds of all kinds,
including standing or annual appropriations and dedicated funds, from which expenditures are to be made
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from time to time by or under the authority of any state agency. The provisions relating to the allotment
system shall not apply to money made available for the purpose of conducting a post-audit of financial
transactions of any state agency. Likewise, appropriations for construction or for the acquisition of real
estate for public purposes may be exempted from the allotment system by the budget director. The budget
director shall prescribe regulations as will ensure the proper application and encumbering of those funds.
(c) No appropriation to any state agency shall become available for expenditure until:
(1) the state agency shall have submitted to the budget agency a request for allotment, the request
for allotment to consist of an estimate of the amount required for each activity and each purpose for
which money is to be expended during the applicable allotment period; and
(2) the estimate contained in the request for allotment shall have been approved, increased, or
decreased by the budget director and funds allotted as provided.
The form of a request for allotment, including a request by hand, mail, facsimile transmission, or other
electronic transmission, shall be prescribed by the budget agency with the approval of the state
comptroller and shall be submitted to them at least twenty-five (25) days prior to the beginning of the
allotment period.
(d) Subject to subsection (k), each request for allotment shall be reviewed by the budget agency and
respective amounts shall be allotted for expenditure if:
(1) the estimate is within the terms of the appropriation as to amount and purpose, having due regard
for the probable future needs of the state agency for the remainder of the fiscal year or other term
for which the appropriation was made; and
(2) the agency contemplates expenditure of the allotment during the period.
Otherwise the budget agency shall modify the estimate to conform with the terms of the appropriation and
the prospective needs of the state agency, and shall reduce the amount to be allotted accordingly. The
budget agency shall act promptly upon all requests for allotment and shall notify every state agency of
its allotments at least five (5) days before the beginning of each allotment period. The total amount
allotted to any agency for the fiscal year or other term for which the appropriation was made shall not
exceed the amount appropriated for the year or term.
(e) The budget director shall also have authority at any time to modify or amend any allotment
previously made by the budget director.
(f) In case the budget director shall discover at any time that:
(1) the probable receipts from taxes or other sources for any fund will be less than were anticipated;
and
(2) as a consequence the amount available for the remainder of the term of the appropriation or for
any allotment period will be less than the amount estimated or allotted;
the budget director shall, with the approval of the governor, and after notice to the state agency or
agencies concerned, reduce the amount or amounts allotted or to be allotted to prevent a deficit.
(g) The budget agency shall promptly transmit records of all allotments and modifications to the state
comptroller.
(h) The state comptroller shall maintain as a part of the central accounting system for the state, as
provided, records showing at all times, by funds, accounts, and other pertinent classifications, the amounts
appropriated, the estimated revenues, the actual revenues or receipts; the amounts allotted and available
for expenditure, the total expenditures, the unliquidated obligations, actual balances on hand, and the
unencumbered balances of the allotments for each state agency.
(i) No payment shall be made from any fund, allotment, or appropriation unless the state comptroller
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shall first certify that there is a sufficient unencumbered balance in the fund, allotment, or appropriation,
after taking into consideration all previous expenditures to meet the same. In the case of an obligation to
be paid from federal funds, a notice of a federal grant award shall be considered an appropriation against
which obligations may be incurred, funds may be allotted, and encumbrances may be made.
(j) Every expenditure or obligation authorized or incurred in violation of the provisions of this chapter
shall be void. Every payment made in violation of the provisions of this chapter shall be illegal, and every
official authorizing or making a void payment, or taking part in a void payment, and every person
receiving a void payment, or any part of a void payment, shall be jointly and severally liable to the state
for the full amount paid or received. If any appointive officer or employee of the state shall knowingly
incur any obligation or shall authorize or make any expenditure in violation of the provisions of this
chapter, or take any part, it shall be ground for removal of the appointive officer or employee of the state
by the officer appointing the appointive officer or employee of the state. If the appointing officer is a
person other than the governor and fails to remove the officer or employee, the governor may exercise the
power of removal after giving notice of the charges and opportunity for hearing to the accused officer or
employee and to the officer appointing the accused officer or employee.
(k) If the budget director determines at any time that a state agency can perform the agency's
statutory obligations with less than the amount appropriated, the budget director shall, with the
approval of the governor, and after notice to the state agency or agencies concerned, reduce the
amount or amounts allotted or to be allotted. The budget agency shall maintain a list of each
appropriation from which the amount or amounts allotted or to be allotted are reduced and publish
the list on the budget agency's website.
SECTION 52. IC 4-13-2-18.5 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 18.5. (a) The budget agency shall
provide a report to the budget committee by September 1 of each year containing each
augmentation for the most recently preceding state fiscal year. The report shall include the reason
that each augmentation was necessary.
(b) This section expires December 31, 2027.
SECTION 53. IC 4-13-2-30 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ
AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 30. (a) This section applies in each of the state fiscal
years:
(1) beginning July 1, 2025, and ending June 30, 2026; and
(2) beginning July 1, 2026, and ending June 30, 2027.
(b) As used in this section, "state agency" means an authority, board, branch, commission,
committee, department, division, or other instrumentality of any of the following:
(1) The executive, including the administrative department of state government.
(2) A state educational institution.
(3) A body corporate and politic created by statute.
(c) Each state fiscal year, the budget director shall withhold, from each appropriation for the
state fiscal year made in the biennial budget bill to a state agency that is predominantly used, as
determined by the budget director, for:
(1) salaries or other wages for state agency employees; or
(2) general operating expenses of the state agency;
an amount not less than five percent (5%) of the appropriation for the state fiscal year.
(d) The budget director may, with the approval of the governor, release any part of the amount
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of the appropriation withheld under subsection (c) during the state fiscal year to the state agency
upon written request from the state agency.
(e) The withholding requirement under subsection (c) does not apply to an appropriation for the
state fiscal year to a state agency that is predominantly used, as determined by the budget director,
to pay for services performed by vendors, to provide grants or distributions, to fund fee
replacement for a state educational institution, or otherwise used for a purpose not described in
subsection (c).
(f) The budget director shall, not later than August 1 and December 31 of each state fiscal year,
provide a report to the budget committee that:
(1) lists each appropriation from which funds were withheld under this section;
(2) details any appropriation for which the budget director released any part of the amount
withheld, as permitted under subsection (d); and
(3) provides the rationale for releasing each amount described in subdivision (2).
SECTION 54. IC 4-13-12.1-8 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1,
2025]: Sec. 8. (a) The department may enter into a lease with the society for the society's use of any part
of the building, exterior improvements, and surrounding site.
(b) Notwithstanding the term limitation for a lease under IC 4-13-1-4(10), the department may enter
into a lease under subsection (a) for a term of not more than ninety-nine (99) years.
(c) Rent under a lease entered into under this section is one dollar ($1) each year, payable in advance.
(d) A lease entered into under this section must require the department to provide, at no cost to the
society, the following services in relation to the building, the exterior improvements, and the surrounding
site:
(1) Management.
(2) Maintenance.
(3) Operation.
(4) Utilities (other than telephone services).
(5) Other services reasonably necessary to maintain the building, exterior improvements, and the
surrounding site.
(e) A lease entered into under this section must provide that the lease terminates if the society or its
successor vacates the building.
(f) (d) A lease entered into under this section may permit the building to house state activities or
functions.
SECTION 55. IC 4-20.5-6-2 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON
PASSAGE]: Sec. 2. (a) This section does not apply to enforcement matters that are the responsibility of
the state police department under IC 10-11-2-28.
(b) The department shall maintain, equip, and operate the following:
(1) The state capitol building.
(2) The office buildings and other property owned or leased by the state for the use of an agency.
(c) The department has sole control and jurisdiction over the:
(1) policies governing; and
(2) usage of;
the Beth Bowen Meditation Room in the state capitol building.
SECTION 56. IC 4-22-2.6-4, AS ADDED BY P.L.249-2023, SECTION 45, IS AMENDED TO READ
AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 4. (a) To readopt a rule, an agency must conduct a
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review of the rule to consider the continued need for the rule and whether the rule, if readopted, will meet
each of the standards in IC 4-22-2-19.5 and (if applicable) the requirements for fees, fines, and civil
penalties in IC 4-22-2-19.6.
(b) In the review, the agency shall reexamine previous cost benefit, economic impact, fiscal impact,
and regulatory burden statements prepared by the agency for the rule under IC 4-3-22-13, IC 4-3-27-12,
IC 4-22-2-22.7, IC 4-22-2-22.8, IC 4-22-2-28, IC 4-22-2.1-5, or an executive order and revise the
statements to reflect any change in circumstances that affect the analysis. The agency shall identify any
alternative methods of achieving the purpose of the rule that are less costly or less intrusive, or that would
otherwise minimize the economic impact of the proposed rule on small businesses (as defined in
IC 4-22-2.1-4) and other regulated entities. The agency also shall consider the following:
(1) The nature of any complaints or comments received from the public, including small businesses
(as defined in IC 4-22-2.1-4), concerning the rule or the rule's implementation by the agency.
(2) The complexity of the rule, including any difficulties encountered by:
(A) the agency in administering the rule; or
(B) small businesses (as defined in IC 4-22-2.1-4) or other regulated persons in complying with
the rule.
(3) The degree to which technology, economic conditions, or other factors have changed in the area
affected by the rule since the last time the rule was reviewed.
(c) The agency shall prepare written findings concerning the agency's determinations under this
section.
SECTION 57. IC 4-23-34-7, AS ADDED BY P.L.3-2022, SECTION 1, IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 7. The chairperson shall call the first meeting of the
commission before October 1, 2022. Thereafter, the commission shall meet quarterly. All meetings must
be convened at the Indiana World War Memorial in Indianapolis. The commission may conduct a meeting
electronically in accordance with the requirements set forth in IC 5-14-1.5-3.6.
SECTION 58. IC 4-23-34-9, AS ADDED BY P.L.3-2022, SECTION 1, IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 9. The Indiana department of veterans' affairs natural
resources shall furnish the necessary staff support for the commission.
SECTION 59. IC 4-23-34-10, AS ADDED BY P.L.3-2022, SECTION 1, IS AMENDED TO READ
AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 10. The commission shall do the following:
(1) Plan, encourage, develop, and coordinate an overall program in 2026 commemorating the history
of the United States leading up to the 250th anniversary of the founding of the United States.
(2) Encourage and assist state agencies (as defined in IC 4-13-1-1), counties, municipalities,
townships, and private organizations in coordinating, organizing, and participating in activities that
commemorate the semiquincentennial of the United States.
(3) Plan and promote an event to occur on July 4, 2026. at the World War Memorial in Indianapolis.
(4) Give due consideration, in developing the plans for the program, to any related plans and
programs developed by federal, state, local, and private groups.
(5) Coordinate the commission's activities and projects with the United States Semiquincentennial
Commission, community organizations, local municipalities, and other entities that the commission
determines to be appropriate.
(6) Create a logo that incorporates the America250 logo used by the America250 Foundation, Inc.,
and adds a design component specific to Indiana.
SECTION 60. IC 5-1.2-5-14 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ
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AS FOLLOWS [EFFECTIVE JULY 1, 2027]: Sec. 14. (a) The Indiana economic development
corporation shall conduct a study on the feasibility of constructing, equipping, purchasing, leasing,
renovating, refurbishing, or altering the Learning and Training Center located in Boone County.
(b) The authority may, after receiving the feasibility study required in subsection (a), undertake
and complete a project for the construction, equipping, purchasing, leasing, renovation,
refurbishing, or alteration of the Learning and Training Center located in Boone County, including,
subject to subsection (c), the borrowing of money or the issuance and sale of bonds, or both.
(c) Before borrowing money or issuing bonds, the authority shall review the feasibility plan and
cost estimate for the project and present the authority's findings to the budget committee.
(d) This section may not be construed to authorize any additional construction or issuance of
additional bonds or other evidence of indebtedness other than that described in subsection (b).
(e) The authority may enter into a public-private agreement for the project.
SECTION 61. IC 5-13-9-4, AS AMENDED BY P.L.117-2018, SECTION 1, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 4. (a) Each officer designated in section 1 of
this chapter may, subject to the restrictions provided in IC 5-13-8-9(a) through IC 5-13-8-9(e), deposit,
invest, or reinvest any funds that are held by the officer and available for investment in transaction
accounts issued or offered by a designated depository of a political subdivision for the rates and terms
agreed upon periodically by the officer making the investment and the designated depository.
(b) The investing officer making a deposit in a certificate of deposit shall obtain quotes of the specific
rates of interest for the term of that certificate of deposit that each designated depository will pay on the
certificate of deposit. Quotes may be solicited and taken by telephone. A memorandum of all quotes
solicited and taken shall be retained by the investing officer as a public record of the political subdivision
under IC 5-14-3. If the deposit is not placed in the designated depository quoting the highest rate of
interest, the investing officer shall:
(1) place the deposit in the depository quoting the second or third highest rate of interest; and
(2) note the reason for placing the deposit on the memorandum of quotes.
(c) If all of the designated depositories of a political subdivision decline to issue or receive any deposit
account, or to issue or receive the deposit account at a rate of interest equal to the highest rate being
offered other investors, investments may be made in the deposit accounts of any financial institution
designated for state deposits as a depository by the state board of finance under IC 5-13-9.5.
(d) Counties and political subdivisions subject to the requirements of IC 5-13-8 and this chapter
shall treat the local government investment pool established by section 11 of this chapter as a
financial institution located within the state but not located in the county or political subdivision
nor in a contiguous county.
(e) The seven (7) day yield published weekly by the treasurer of state shall act as a quote for
purposes of this chapter.
SECTION 62. IC 5-13-9-11, AS AMENDED BY P.L.9-2024, SECTION 138, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 11. (a) The following definitions apply
throughout this section:
(1) "Clearinghouse" refers to the clearinghouse registered with the department of state revenue under
IC 6-8.1-9.5-3.5.
(2) "Investment pool" means the local government investment pool established by subsection (b).
(3) "Board" refers to the Indiana local government investment pool board established by
section 12 of this chapter.
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(b) The local government investment pool is established within the office and custody of the treasurer
of state.
(c) An officer designated in section 1 of this chapter may pay any funds held by the officer into the
investment pool, subject to the requirements provided in section 4 of this chapter, for the purpose of
deposit, investment, and reinvestment of the funds by the treasurer of state on behalf of the unit of
government paying the funds into the investment pool.
(d) The treasurer of state may pay state funds into the investment pool for the purpose of deposit,
investment, and reinvestment of the state funds.
(e) The treasurer of state shall establish an account in the investment pool for the operator of the
clearinghouse. The treasurer shall hold amounts paid by the department of state revenue for deposit in
the clearinghouse operator's account in the investment pool.
(f) Upon signed written request of the operator of the clearinghouse, the treasurer of state shall
distribute the money in the operator's account established under subsection (e):
(1) to the operator of the clearinghouse; or
(2) to specific investment pool accounts of political subdivisions represented by the clearinghouse,
if the written request submitted under this subsection specifies:
(A) the political subdivision to which the funds are to be disbursed;
(B) the specific amount of the funds to be disbursed; and
(C) the specific investment pool account to which the disbursement is owed.
The clearinghouse shall assume liability for any legal or administrative claims filed against a
disbursement made by the treasurer of state that complies with this section.
(g) Any interest accrued by the investment pool on funds held in the operator's account shall be
distributed to the political subdivisions at a rate equal to the percentage owed to that political subdivision
based on the overall setoff paid by the department of state revenue. No interest shall accrue under this
subsection on any fees owed to the clearinghouse under IC 6-8.1-9.5-10(b).
(h) The treasurer of state shall invest the funds in the investment pool in the same manner, in the same
type of instruments, and subject to the same limitations provided for the deposit and investment of state
funds by the treasurer of state under IC 5-13-10.5.
(i) The treasurer of state:
(1) shall administer the investment pool in accordance with the policies of the board; and
(2) with the permission of the board, may contract with accountants, attorneys, regulated
investment advisors, money managers, and other finance and investment professionals to make
investments and provide for the public accounting and legal compliance necessary to ensure and
maintain the safety, liquidity, and yield of the investment pool.
(j) The treasurer of state shall follow the policies established by the board. establish and make public
the policies that the treasurer of state will follow to ensure the efficient administration of and accounting
for the investment pool. The policies treasurer of state must provide ensure the following:
(1) There is not a minimum time for which funds paid into the investment pool must be retained by
the investment pool.
(2) (1) The administrative expenses of the investment pool shall be accounted for by the treasurer
of state and shall be paid from the earnings of the investment pool.
(3) (2) The earnings of the investment pool in excess of the administrative expenses of the
investment pool shall be credited to the state and each unit of government participating in the
investment pool in a manner that equitably reflects the different amounts and terms of the state's
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investment and each unit's investment in the investment pool.
(4) There is not a limit on the number of accounts that the state or a unit of government participating
in the investment pool may establish within the investment pool.
(5) (3) The state and each unit of government participating in the investment pool shall receive
electronic or paper reports, including:
(A) a daily transaction confirmation, reflecting any activity in the state's or unit's account; and
(B) a monthly report showing:
(i) the state's or unit's investment activity in the investment pool; and
(ii) the performance and composition of the investment pool.
(4) Publish the seven (7) day yield of the local government investment pool every week to serve
as a bid required for investment under section 4 of this chapter.
(6) The investment pool shall be audited at least annually by an independent auditing firm, with an
electronic or a paper copy of the audit provided to the state and each unit of government
participating in the pool.
(7) No less than fifty percent (50%) of funds available for investment shall be deposited in banks
qualified to hold deposits of participating local government entities.
(k) A unit of government participating in the investment pool may elect to have any funds due from
the state wired directly to the custodian bank of the investment pool for credit to the unit's investment pool
account by submitting in writing a request to the state comptroller to wire the funds as directed. An
election made by a unit of government under this subsection may be revoked at any time by the unit by
submitting in writing a request to the state comptroller to cease wiring the funds as previously directed
by the unit.
SECTION 63. IC 5-13-9-12 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ
AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 12. (a) As used in this section, "board" refers to
the Indiana local government investment pool board established by subsection (c).
(b) As used in this section, "investment pool" refers to the local government investment pool
established by section 11(b) of this chapter.
(c) The Indiana local government investment pool board is established as a continuing board
under the executive branch of state government. The purpose of the board is to establish policies
for the investment of funds contributed to the investment pool.
(d) The board consists of the following seven (7) members:
(1) The treasurer of state.
(2) The director of the Indiana department of financial institutions.
(3) Two (2) members with practical experience with financial institutions, local government
or public finance, or financial investments domiciled in Indiana, appointed by the president
pro tempore of the senate.
(4) Two (2) members with practical experience with financial institutions, local government
or public finance, or financial investments domiciled in Indiana, appointed by the speaker of
the house of representatives.
(5) One (1) member with practical experience with financial institutions, local government or
public finance, or financial investments domiciled in Indiana, appointed by the governor.
(e) A member appointed under subsection (d)(3), (d)(4), or (d)(5) serves a term of four (4) years
and may be reappointed by the appointing authority.
(f) A member appointed under subsection (d)(1) or (d)(2) who ceases to hold the office or
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qualification described in that subsection ceases to be a member of the board.
(g) The governor shall designate one (1) of the members as chairperson. The chairperson has one
(1) vote on all matters voted on by the members.
(h) A member of the board who is appointed under subsection (d)(3), (d)(4), or (d)(5) serves a
term that ends June 30 of the odd-numbered year four (4) years after appointment.
(i) The board shall meet at least four (4) times a year and at the call of the chairperson.
(j) Five (5) members of the board constitute a quorum. The affirmative votes of four (4) members
are required to take any action.
(k) Each member of the board who is not a state employee is entitled to the minimum salary per
diem provided by IC 4-10-11-2.1(b) for each day that the member is engaged in the official business
of the board. The member is also entitled to reimbursement for mileage, traveling expenses, and
other expenses actually incurred in connection with the member's duties, as provided in the state
travel policies and procedures established by the Indiana department of administration and
approved by the budget agency.
(l) The expenses of the board shall be paid from the investment pool.
(m) The board shall establish policies regarding how the treasurer of state shall administer and
invest the funds in the investment pool. The policies must provide the following:
(1) There is not a minimum time for which funds paid into the investment pool must be
retained by the investment pool.
(2) There is not a limit on the number of accounts that the state or a unit of government
participating in the investment pool may establish within the investment pool.
(3) The investment pool shall be audited at least annually by an independent auditing firm,
with an electronic or paper copy of the audit provided to the state and each unit of government
participating in the pool.
(4) Not less than fifty percent (50%) of funds available for investment shall be deposited in
banks qualified to hold deposits of participating local government entities.
(n) The board may select and direct the treasurer of state to contract with accountants,
attorneys, regulated investment advisors, money managers, and other finance and investment
professionals to make investments and provide for the public accounting and legal compliance
necessary to ensure and maintain the safety, liquidity, and yield of the investment pool.
SECTION 64. IC 5-13-10.5-2 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1,
2025]: Sec. 2. In addition to any other statutory power to make investments under any other law:
(1) the treasurer of state, under the guidelines established by the state board of finance and the
Indiana local government investment pool board; and
(2) any other public officer of the state authorized by statute or court order to make investments;
may invest or reinvest funds held by the treasurer of state or other public officer in any combination of
the investments authorized under this chapter. In making the investment, the public official shall comply
with the requirements in this chapter that apply to the investment.
SECTION 65. IC 5-13-12-2, AS AMENDED BY P.L.9-2024, SECTION 141, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 2. (a) The board for depositories consists of
the governor, the treasurer of state, the state comptroller, the chairperson of the department of financial
institutions, the chief examiner of the state board of accounts, and four (4) appointed members. For
appointments after June 30, 2010, one (1) member shall be appointed by the speaker of the house of
representatives, one (1) member shall be appointed by the president pro tempore of the senate, and two
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(2) members shall be appointed by the governor. All appointed members must be residents of Indiana.
The speaker of the house of representatives shall make the appointment to fill the first vacancy on the
board, and the president pro tempore of the senate shall make the appointment to fill the second vacancy
on the board that occurs after June 30, 2010. In making the governor's two (2) appointments, the governor
shall assure that no more than two (2) of the four (4) appointees identify with the same political party. For
appointments after June 30, 2010, all four (4) appointed members must be a chief executive officer or a
chief financial officer of a depository at the time of the appointment if the depository is domiciled in
Indiana. If the depository is not domiciled in Indiana, the appointee must be the most senior corporate
officer of the depository with management or operational responsibility, or both, or the person designated
to manage public funds for the depository that is located in Indiana. In making the governor's
appointments, the governor shall provide for geographic representation of all regions of Indiana, including
both urban and rural communities. In addition, the appointees must, at the time of the appointment, be
employed by the following depositories:
(1) One (1) member appointed by the governor who must be the chief executive officer or the chief
financial officer of a depository that is a state chartered credit union.
(2) One (1) member appointed by the governor who must be employed by a depository that:
(A) is not a state chartered credit union; and
(B) has total deposits of less than two hundred fifty million dollars ($250,000,000).
(3) The member appointed by the president pro tempore of the senate must be employed by a
depository that:
(A) is not a state chartered credit union; and
(B) has total deposits of at least two hundred fifty million dollars ($250,000,000) but less than
one billion dollars ($1,000,000,000).
(4) The member appointed by the speaker of the house of representatives must be employed by a
depository that:
(A) is not a state chartered credit union; and
(B) has total deposits of at least one billion dollars ($1,000,000,000).
Total deposits shall be determined using the depository's reported deposits based on the information
contained in the most recent June 30th FDIC Summary of Deposits, Market Share Selection for Indiana.
The term of an appointed member is four (4) years from the effective date of the member's appointment.
Each appointed member holds office for the term of this appointment and serves after the expiration of
that appointment until the member's successor is appointed and qualified. An appointed member may be
reappointed if the individual satisfies the requirements of this subsection at the time of the reappointment.
Any appointed member may be removed from office by, and at the pleasure of, the appointing authority.
(b) The officers of the board consist of a chairman, a secretary-investment manager, a vice chairman,
and other officers the board determines to be necessary. The governor shall name a member of the board
to serve as its chairman. The treasurer of state shall serve as the secretary-investment manager of the
board. The board, by majority vote, shall elect the other officers. Officers, except the secretary-investment
manager, shall be named or elected for one (1) year terms in January of each year. The members and
officers of the board are not entitled to any compensation for their services but are entitled to
reimbursement for actual and necessary expenses on the same basis as state employees.
(c) Five (5) members of the board constitute a quorum for the transaction of business, and all actions
of the board must be approved by at least a simple majority of those members voting on each individual
business issue. The board may adopt, amend, or repeal bylaws and rules for the conduct of its meetings
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and the number and times of its meetings. The board shall hold a regular meeting at least once
semiannually and may hold other regular and special meetings as prescribed in its rules. All meetings of
the board are open to the public under IC 5-14-1.5. However, the board shall discuss the following in
executive session:
(1) The financial strength of a particular financial institution.
(2) The collateral requirements of a particular financial institution.
(3) Any other matters concerning a particular financial institution.
All records of the board are subject to public inspection under IC 5-14-3. However, records regarding
matters that are discussed in executive session are confidential.
(d) Two (2) days notice of the time and place of all meetings to determine and fix the assessment rate
to be paid by depositories on account of insurance on public funds or the establishment or redetermination
of the reserve for losses of the insurance fund shall be given by one (1) publication in a newspaper of
general circulation printed and published in the city of Indianapolis. The time, place, notice, and waiver
requirements for the members of the board for all meetings shall be determined by its rules. The
secretary-investment manager of the board shall enter the board's proceedings at length in a record
provided for that purpose, and the records of the proceedings shall be approved and signed respectively
by the chairman or vice chairman and attested by the secretary-investment manager.
SECTION 66. IC 5-14-1.5-2.9, AS AMENDED BY P.L.68-2024, SECTION 1, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 2.9. (a) This section does not apply to the
following:
(1) A meeting under section 6.1 of this chapter.
(2) A state educational institution.
(3) Subject to IC 8-1-1-8.1, a hearing noticed under IC 8-1-1-8, regarding which a stenographic
record is required to be made and kept pursuant to IC 8-1-2-65.
(4) A meeting conducted under IC 6-1.5-2-4, for which a record of the proceedings and any
orders are required to be kept under IC 6-1.5-2-5.
(b) This section applies only to the following:
(1) A governing body of a state agency.
(2) The following governing bodies of agencies that are not state agencies:
(A) The executive (as defined in IC 36-1-2-5), legislative body (as defined in IC 36-1-2-9), or
fiscal body (IC 36-1-2-6) of a county, city, town, or township.
(B) A school board that has members who are elected.
(C) Any governing body that conducts the governing body's regular meetings in the same meeting
room in which a governing body described in clause (A) or (B) conducts its regular meetings.
(c) Except as provided in subsection (e), a governing body shall provide on a publicly accessible
platform of the public agency's choice, the following:
(1) Live transmissions of the governing body's meetings.
(2) Archived copies of the live transmissions described in subdivision (1). Each archived copy of
a live transmission must provide access by links to the meeting's:
(A) agenda, if any;
(B) minutes, if any; and
(C) memoranda.
(d) A governing body shall include the website for live transmissions and archived copies of live
transmissions in the meeting notice.
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(e) If a governing body does not have Internet capability for live transmission of meetings, the
governing body shall record the meeting and retain the recording as provided in subsection (f).
(f) The public agency is subject to the following:
(1) The public agency shall make a copy of the transmission or recording available for public
inspection and copying or downloading for at least ninety (90) days after the date of the meeting.
The public agency shall, at the public agency's discretion, permit a person to inspect and copy or
download the transmission or recording:
(A) without charge, from a publicly accessible platform of the public agency's choosing; or
(B) from the public agency's data storage system:
(i) upon a request submitted by the person under IC 5-14-3-3; and
(ii) during the regular business hours of the public agency.
The public agency may charge a fee under IC 5-14-3-8 for providing a copy or downloaded copy
under clause (B).
(2) More than ninety (90) days after the date of the meeting, the public agency may destroy the
transmission or recording.
(g) A technological failure that disrupts or prevents the governing body from live streaming, recording,
archiving, or maintaining a copy of a live transmission or recording of a meeting does not:
(1) prevent the governing body from conducting the meeting;
(2) affect the validity of an action taken by the governing body at the meeting;
(3) violate this chapter or any statute concerning the retention, preservation, or production of public
records; or
(4) subject any person to civil or criminal liability.
SECTION 67. IC 5-22-1-3, AS AMENDED BY P.L.222-2005, SECTION 24, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 3. (a) Except as provided in subsection (b),
subsections (b) and (c), this article does not apply to the following types of activities:
(1) A contract between governmental bodies except for a contract authorized under this article.
(2) A public works project.
(3) A collective bargaining agreement between a governmental body and its employees.
(4) The employment relationship between a governmental body and an employee of the
governmental body.
(5) An investment of public funds.
(6) A contract between a governmental body and a body corporate and politic.
(7) A contract for social services.
(8) A contract with a body corporate and politic.
(b) IC 5-22-3-7 applies to any:
(1) contract;
(2) project;
(3) agreement;
(4) employment relationship; or
(5) investment;
described in subsection (a).
(c) IC 5-22-15-26 applies to any proposal, contract, project, or agreement of the Indiana
department of transportation, including any proposal, contract, project, or agreement obtained,
entered into in accordance with, or otherwise covered by IC 8-23-9 to the extent that the bid does
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not exceed the estimated cost of the project.
SECTION 68. IC 5-28-2-1.5, AS AMENDED BY P.L.214-2023, SECTION 1, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 1.5. "Applicable tax credit" means a tax credit
available under any of the following:
(1) IC 6-3.1-13.
(2) IC 6-3.1-17.1.
(2) (3) IC 6-3.1-19.
(3) (4) IC 6-3.1-26.
(4) (5) IC 6-3.1-30.
(5) (6) IC 6-3.1-34.
(6) (7) IC 6-3.1-36.
(7) (8) IC 6-3.1-37.2.
SECTION 69. IC 5-28-6-9, AS AMENDED BY P.L.201-2023, SECTION 85, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 9. (a) Subject to subsection (c), the aggregate
amount of applicable tax credits that the corporation may certify:
(1) for a state fiscal year each state fiscal year ending on or before June 30, 2025, for all taxpayers
is two hundred fifty million dollars ($250,000,000); and
(2) for each state fiscal year ending on or after July 1, 2025, for all taxpayers is three hundred
million dollars ($300,000,000). Each certification under this subdivision is subject to budget
committee review.
(b) For purposes of determining the amount of applicable tax credits that have been certified for a state
fiscal year, the following apply:
(1) An applicable tax credit is considered awarded in the state fiscal year in which the taxpayer can
first claim the credit, determined without regard to any carryforward period or carryback period.
(2) An applicable tax credit awarded by the corporation before July 1, 2022, shall be counted toward
the aggregate credit limitation under this section.
(3) If an accelerated credit is awarded under IC 6-3.1-26-15, the amount counted toward the
aggregate credit limitation under this section for a state fiscal year shall be the amount of the credit
for the taxable year described in subdivision (1) prior to any discount.
(c) Notwithstanding subsection (a), if the corporation determines that:
(1) an applicable tax credit should be certified in a state fiscal year; and
(2) certification of the applicable tax credit will result in an aggregate amount of applicable tax
credits certified for that state fiscal year that exceeds the maximum amount provided in subsection
(a);
the corporation may, after review by the budget committee, certify the applicable tax credit to the
taxpayer.
(d) This section expires December 31, 2032.
SECTION 70. IC 6-1.1-10-54, AS ADDED BY HEA 1601-2025, SECTION 1, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2026]: Sec. 54. (a) As used in this section,
"designating body" means the fiscal body of:
(1) a county that does not contain a consolidated city; or
(2) a municipality.
(b) As used in this section, "eligible business" means an entity that meets the following requirements:
(1) The entity is engaged in a business that:
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(A) operates; or
(B) leases qualified property for use in;
one (1) or more facilities.
(2) The entity's qualified property is located at a facility in Indiana.
(3) The entity, the lessor of qualified property (if the entity is a lessee), and all lessees of qualified
property invest in the aggregate at least one hundred million dollars ($100,000,000) in real and
personal property at one (1) or more facilities in Indiana after May 1, 2025. January 1, 2026.
(4) The average wage of employees who are located in the county or municipality and engaged in
the operation of the facility is at least one hundred twenty-five percent (125%) of the county average
wage for the county in which the facility operates.
(c) As used in this section, "facility" has the meaning set forth in IC 6-2.5-15-5.
(d) As used in this section, "fiscal body" has the meaning set forth in IC 36-1-2-6.
(e) As used in this section, "municipality" has the meaning set forth in IC 36-1-2-11.
(f) As used in this section, "qualified property" means quantum safe fiber network equipment
purchased after May 1, 2025, January 1, 2026, and any additions to or replacements to such property.
(g) As used in this section, "quantum safe fiber network equipment" has the meaning set forth in
IC 6-2.5-15-13.3.
(h) A designating body may enter into an agreement with an eligible business to grant the eligible
business a property tax exemption. In the case of a county, the exemption applies only to qualified
property that is located in unincorporated territory of the county. In the case of a municipality, the
exemption applies only to qualified property that is located in the municipality. The property tax
exemption applies to the qualified property only if the designating body and the eligible business enter
into an agreement concerning the property tax exemption. The agreement must specify the duration of
the property tax exemption. The agreement may specify that if the ownership of qualified property is
transferred by an eligible business, the transferee is entitled to the property tax exemption on the same
terms as the transferor. If a designating body enters into an agreement with an eligible business, the
qualified property owned by the eligible business is exempt from property taxation as provided in the
resolution and the agreement.
(i) If a designating body enters into an agreement under subsection (h) to provide a property tax
exemption, the property tax exemption continues for the period specified in the agreement.
SECTION 71. IC 6-2.5-15-3, AS AMENDED BY HEA 1601-2025, SECTION 3, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2026]: Sec. 3. As used in this chapter, "eligible costs"
means expenditures made:
(1) after December 31, 2018, for the development, acquisition, construction, and operation of a
facility to be used as a qualified data center, including costs of land, buildings, site improvements,
modular data centers, computer data center equipment acquisition and permitting, lease payments,
site characterization and assessment, engineering, and design used directly and exclusively in a
qualified data center; or
(2) after May 1, 2025, January 1, 2026, for the development, acquisition, construction, and
operation of a facility to be used as part of a quantum computing research, advanced computing, and
defense infrastructure network that is connected by quantum safe fiber network equipment and used
for quantum research or advanced computing at, or related to, a qualified military installation in
Indiana or the I-Light network, including costs of all quantum safe fiber network equipment,
rights-of-way, conduit, other required access, land, buildings, site improvements, modular data
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centers, computer data center equipment acquisition and permitting, lease payments, site
characterization and assessment, engineering, and design used directly and exclusively as part of a
quantum computing research, advanced computing, and defense infrastructure network.
SECTION 72. IC 6-3-2.1-6, AS ADDED BY P.L.1-2023, SECTION 5, IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 6. (a) Except as otherwise provided in this section,
an electing entity shall be subject to the obligation to make estimated tax payments under this article for
the tax imposed under section 4 of this chapter in the same manner as applicable to corporations under
IC 6-3-4-4.1(c).
(b) For taxable years ending on or before June 30, 2023, an electing entity is not required to make
estimated tax payments.
(c) For taxable years ending after June 30, 2023, and on or before December 31, 2024, an electing
entity shall make an estimated tax payment for the taxable years on or before the end of the taxable year.
There shall be no penalty for underpayment of estimated tax, except to the extent the underpayment fails
to equal or exceed fifty percent (50%) of the tax imposed by section 4 of this chapter for the taxable year.
(d) For taxable years ending after December 31, 2024, there shall be no penalty for underpayment of
estimated tax, except to the extent the one (1) or more payments required during the taxable year fail
to equal or exceed the lesser of eighty percent (80%) twenty percent (20%) of the tax imposed under
this chapter for the taxable year or one hundred percent (100%) twenty-five percent (25%) of the tax
imposed under this chapter for the preceding taxable year.
(e) In the event of an underpayment under subsection (c) or (d), the electing entity shall be subject to
a penalty in the amount at the rate prescribed under IC 6-8.1-10-2.1(b) on the amount of the
underpayment.
SECTION 73. IC 6-3-5-5, AS ADDED BY P.L.135-2022, SECTION 6, IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JANUARY 1, 2025 (RETROACTIVE)]: Sec. 5. (a) If the Indiana economic
development corporation established by IC 5-28-3-1 enters into an agreement with a taxpayer for an
economic development for a growing economy tax credit under IC 6-3.1-13, and the taxpayer elects to
forgo claiming the credit against any state tax liability for that taxable year and requests the department
to remit to the taxpayer an amount equal to the credit for the taxable year as set forth under
IC 6-3.1-13-20(b), the provisions of this section shall apply.
(b) Before making a payment to a taxpayer under this section, the taxpayer shall provide to the
department:
(1) a copy of the taxpayer's agreement with the Indiana economic development corporation;
(2) the credit awarded to the taxpayer for that taxable year; and
(3) any other information required by the department.
(c) A payment by the department cannot exceed the actual incremental income tax withholdings
collected by the department as a result of the employment of new employees subject to an agreement
entered into under IC 6-3.1-13.
(d) In the case of a credit awarded under IC 6-3.1-13 to a taxpayer that is a pass through entity, the:
(1) pass through entity has the authority to make the election with regard to the credit;
(2) shareholders, partners, members, and beneficiaries of the pass through entity may not make an
election separate from the pass through entity with regard to the credit;
(3) pass through entity is entitled to the payment allowable under this section; and
(4) pass through entity may not pass through any portion of the credit for which the pass through
entity requests payment as a tax credit to the shareholders, partners, members, or beneficiaries of
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the pass through entity.
(e) If a payment under this section is included in the federal adjusted gross income of an individual
or the federal taxable income of any other entity, the payment must be treated as:
(1) adjusted gross income from Indiana sources under this article and IC 6-5.5;
(2) business income for purposes of this article; and
(3) a receipt from Indiana sources for apportionment purposes under IC 6-3-2 and IC 6-5.5-4.
(f) For purposes of offsetting refunds and overpayments, a payment under this section is treated as an
overpayment of tax under this article and IC 6-5.5 for purposes of IC 6-8.1-9-2, IC 6-8.1-9.5, and
IC 6-8.1-9.7.
(g) A payment under this section is subject to IC 6-3.1-13-22 in the same manner as if the payment had
been claimed as a credit.
(h) If all or a portion of a payment under this section is determined to have been made in error or is
subject to assessment under IC 6-3.1-13-22, the department may issue an assessment for repayment of
such amount before the later of:
(1) ten (10) years from the date of the payment; or
(2) three (3) years from the date the Indiana economic development corporation notifies the
department of the taxpayer's noncompliance pursuant to IC 6-3.1-13-22.
(i) An assessment for repayment shall be treated as a proposed assessment for purposes of
administrative review and judicial appeal under IC 6-8.1-5. However, review of the Indiana economic
development corporation's determination of noncompliance shall be limited to an abuse of discretion by
the Indiana economic development corporation.
(j) For purposes of this section, an election for payment in lieu of claiming the credit under IC 6-3.1-13
for a taxable year is not allowed if:
(1) the taxpayer has claimed all or part of the credit for the taxable year;
(2) in the case of a taxpayer who is a pass through entity, the taxpayer passes through all or part of
the credit as a tax credit, regardless of whether the pass through entity subsequently provides
information to the department, the Indiana economic development corporation, or any other affected
person or entity, that the credit should not be passed through as a tax credit or whether the credit
otherwise has been claimed as a tax credit; or
(3) the taxpayer makes the election after the due date of the taxpayer's return under IC 6-3, IC 6-5.5,
IC 6-8-15, or IC 27-1-18-2, determined without regard to extensions, on which it would have
claimed the credit for which the taxpayer is requesting payment under this section.
(k) The amount needed to make a payment under this section shall be paid from funds appropriated
to the Indiana economic development corporation for business promotion and innovation. or from the
statewide innovation development district fund established by IC 36-7-32.5-20. Payments made under
this section are subject to available funding.
SECTION 74. IC 6-3.1-13-20, AS AMENDED BY P.L.135-2022, SECTION 9, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2025 (RETROACTIVE)]: Sec. 20. (a) Except as
provided in subsection (b), a taxpayer claiming a credit under this chapter must claim the credit on the
taxpayer's annual state tax return or returns in the manner prescribed by the department of state revenue.
The taxpayer shall submit to the department of state revenue all information that the department
determines necessary for the calculation of the credit provided by this chapter and the determination of
whether the credit was properly claimed.
(b) Notwithstanding subsection (a), if a taxpayer is entitled to a credit under this chapter, the taxpayer
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may, with the approval of the corporation, elect to forgo claiming the credit against any state tax liability
and submit the credit to the department with a request to receive a payment from the corporation, to be
paid from funds appropriated to the corporation for business promotion and innovation or from the
statewide innovation development district fund established by IC 36-7-32.5-20, that is equal to the credit
for that taxable year as provided in IC 6-3-5-5.
SECTION 75. IC 6-3.1-13-29 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 29. A tax credit awarded under this chapter
is subject to the limitations set forth in IC 5-28-6-9.
SECTION 76. IC 6-3.1-19-3, AS AMENDED BY P.L.172-2011, SECTION 64, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 3. (a) Except as provided in section 5 of this
chapter and subject to IC 5-28-6-9, a taxpayer is entitled to a credit against the taxpayer's state and local
tax liability for a taxable year if the taxpayer makes a qualified investment in that year.
(b) The amount of the credit to which a taxpayer is entitled is the qualified investment made by the
taxpayer during the taxable year multiplied by twenty-five percent (25%).
(c) A taxpayer may assign any part of the credit to which the taxpayer is entitled under this chapter to
a lessee of property redeveloped or rehabilitated under section 2 of this chapter. A credit that is assigned
under this subsection remains subject to this chapter.
(d) An assignment under subsection (c) must be in writing and both the taxpayer and the lessee must
report the assignment on their state tax return for the year in which the assignment is made, in the manner
prescribed by the department. The taxpayer may not receive value in connection with the assignment
under subsection (c) that exceeds the value of the part of the credit assigned.
(e) If a pass through entity is entitled to a credit under this chapter but does not have state and local
tax liability against which the tax credit may be applied, a shareholder, partner, or member of the pass
through entity is entitled to a tax credit equal to:
(1) the tax credit determined for the pass through entity for the taxable year; multiplied by
(2) the percentage of the pass through entity's distributive income to which the shareholder, partner,
or member is entitled.
The credit provided under this subsection is in addition to a tax credit to which a shareholder, partner, or
member of a pass through entity is otherwise entitled under this chapter. However, a pass through entity
and an individual who is a shareholder, partner, or member of the pass through entity may not claim more
than one (1) credit for the same investment.
(f) A taxpayer that is otherwise entitled to a credit under this chapter for a taxable year may claim the
credit regardless of whether any income tax incremental amount or gross retail incremental amount has
been:
(1) deposited in the incremental tax financing fund established for the community revitalization
enhancement district; or
(2) allocated to the district.
SECTION 77. IC 6-3.1-19-7 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ
AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 7. A tax credit provided under this chapter is
subject to the limitations set forth in IC 5-28-6-9.
SECTION 78. IC 6-3.1-26-14, AS AMENDED BY P.L.158-2019, SECTION 18, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 14. Subject to IC 5-28-6-9, the total amount
of a tax credit claimed for a taxable year under this chapter is a percentage determined by the corporation,
not to exceed:
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(1) ten percent (10%), of the amount of a qualified investment made by the taxpayer in Indiana
during that taxable year, if the qualified investment is not a logistics investment;
(2) twenty-five percent (25%) of the amount of a qualified investment made by the taxpayer in
Indiana during that taxable year, if the qualified investment is a logistics investment. For purposes
of this subdivision, the amount of a qualified investment that is used to determine the credit is
limited to the difference of:
(A) the qualified investments made by the taxpayer during the taxable year; minus
(B) one hundred five percent (105%) of the average annual qualified investments made by the
taxpayer during the two (2) taxable years immediately preceding the taxable year for which the
credit is being claimed. However, if the total of the qualified investments for the earlier year of
the two (2) year average is zero (0) and the taxpayer has not claimed the credit for a year that
precedes that year, the taxpayer shall subtract only one hundred five percent (105%) of the
amount of the qualified investments made during the taxable year immediately preceding the
taxable year for which the credit is being claimed; and
(3) for taxable years beginning after December 31, 2018, and before January 1, 2030, fifteen percent
(15%) of the amount of a qualified investment made by a taxpayer in Indiana during that taxable
year, if the qualified investment made is described under section 8(a)(11) of this chapter.
The taxpayer may carry forward any unused credit as provided in section 15 of this chapter.
SECTION 79. IC 6-3.1-26-27 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 27. A tax credit awarded under this chapter
is subject to the limitations set forth in IC 5-28-6-9.
SECTION 80. IC 6-3.1-30-8, AS AMENDED BY P.L.135-2022, SECTION 12, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 8. Subject to entering into an agreement with
the corporation under sections 14 and 15 of this chapter if the corporation certifies that a taxpayer:
(1) is an eligible business;
(2) completes a qualifying project; and
(3) incurs relocation costs;
the taxpayer is entitled to a credit against the taxpayer's state tax liability for the taxable year in which the
relocation costs are incurred. Subject to IC 5-28-6-9, the credit allowed under this section is equal to the
amount determined under section 9 of this chapter.
SECTION 81. IC 6-3.1-30-17 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 17. A tax credit awarded under this chapter
is subject to the limitations set forth in IC 5-28-6-9.
SECTION 82. IC 6-3.1-34-11, AS AMENDED BY P.L.159-2021, SECTION 19, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 11. (a) Subject to IC 5-28-6-9, a taxpayer may
claim a credit against the taxpayer's state tax liability for a taxable year only if the corporation awards a
credit to the taxpayer and enters into an agreement with the taxpayer as set forth under this chapter. The
corporation may establish an application period for applying for awards. If an application period is
established, the corporation shall establish policies and procedures necessary to administer the application
period. The corporation may deny an application for a credit under this chapter in its sole discretion. A
taxpayer may not seek judicial review of a decision by the corporation to deny a taxpayer's application
for a credit.
(b) The amount of the credit that a taxpayer may claim is equal to:
(1) the qualified investment made by the taxpayer and certified and approved by the corporation in
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accordance with an agreement entered into under section 17 of this chapter for a taxable year;
multiplied by
(2) the applicable credit percentage determined by the corporation under section 17(b) and 17(c) of
this chapter.
(c) If a pass through entity may claim a credit under this section but does not have state tax liability
against which the tax credit may be applied, a shareholder, partner, beneficiary, or member of the pass
through entity may claim a credit equal to:
(1) the credit determined for the pass through entity for the taxable year; multiplied by
(2) the percentage of the pass through entity's distributive income that the shareholder, partner,
beneficiary, or member may claim.
The credit provided under this subsection is in addition to a credit that a shareholder, partner, beneficiary,
or member of a pass through entity may claim. However, a pass through entity and a shareholder, partner,
beneficiary, or member of a pass through entity may not claim more than one (1) credit for the qualified
investment.
(d) Notwithstanding subsections (a), (b), and (c), a pass through entity (other than an entity described
in IC 6-3-1-35(1)) and its partners, beneficiaries, or members may allocate the credit among its partners,
beneficiaries, or members of the pass through entity as provided by written agreement without regard to
their sharing of other tax or economic attributes. Such agreements shall be filed with the corporation not
later than fifteen (15) days after execution. The pass through entity shall also provide a copy of such
agreements, a list of partners, beneficiaries, or members of the pass through entity, and their respective
shares of the credit resulting from such agreements in the manner prescribed by the department of state
revenue.
SECTION 83. IC 6-3.1-34-23 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 23. A tax credit awarded under this chapter
is subject to the limitations set forth in IC 5-28-6-9.
SECTION 84. IC 6-7-1-0.4, AS ADDED BY P.L.220-2011, SECTION 161, IS AMENDED TO READ
AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 0.4. (a) Notwithstanding section 14 of this chapter,
revenue stamps paid for before July 1, 2007, and in the possession of a distributor may be used after June
30, 2007, only if the full amount of the tax imposed by section 12 of this chapter, as effective after June
30, 2007, and as amended by P.L.218-2007, is remitted to the department under the procedures prescribed
by the department.
(b) Notwithstanding section 14 of this chapter, revenue stamps paid for before July 1, 2025, and
in the possession of a distributor may be used after June 30, 2025, only if the full amount of the tax
imposed by section 12 of this chapter, as amended and effective after June 30, 2025, is remitted to
the department under the procedures prescribed by the department.
SECTION 85. IC 6-7-1-12, AS AMENDED BY P.L.191-2016, SECTION 4, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 12. The following taxes are imposed, and shall
be collected and paid as provided in this chapter, upon the sale, exchange, bartering, furnishing, giving
away, or otherwise disposing of cigarettes within the state of Indiana:
(1) On cigarettes weighing not more than three (3) pounds per thousand (1,000), a tax at the rate of
four and nine hundred seventy-five thousandths cents ($0.04975) fourteen and nine hundred
seventy-five thousandths cents ($0.14975) per individual cigarette.
(2) On cigarettes weighing more than three (3) pounds per thousand (1,000), a tax at the rate of six
and six hundred twelve thousandths cents ($0.06612) nineteen and nine hundred two thousandths
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cents ($0.19902) per individual cigarette, except that if any cigarettes weighing more than three (3)
pounds per thousand (1,000) shall be more than six and one-half (6 1/2) inches in length, they shall
be taxable at the rate provided in subdivision (1), counting each two and three-fourths (2 3/4) inches
(or fraction thereof) as a separate cigarette.
SECTION 86. IC 6-7-1-28.1, AS AMENDED BY P.L.201-2023, SECTION 110, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 28.1. The taxes, registration fees, fines, or
penalties collected under this chapter shall be deposited in the following manner:
(1) Four and twenty-two hundredths percent (4.22%) One and seventy-six hundredths percent
(1.76%) of the money shall be deposited in a fund to be known as the cigarette tax fund.
(2) The following amount of the money shall be deposited in the state general fund:
(A) After June 30, 2011, and before July 1, 2013, sixty and twenty-four hundredths percent
(60.24%).
(B) After June 30, 2013, and before July 1, 2023, fifty-six and twenty-four hundredths percent
(56.24%).
(C) After June 30, 2023, fifty-six and eighty-four hundredths percent (56.84%).
(D) After June 30, 2025, twenty-three and sixty-seven hundredths percent (23.67%).
(3) Five and forty-three hundredths percent (5.43%) Two and twenty-six hundredths percent
(2.26%) of the money shall be deposited into the pension relief fund established in IC 5-10.3-11.
(4) Twenty-seven and five hundredths percent (27.05%) Eleven and twenty-six hundredths
percent (11.26%) of the money shall be deposited in the healthy Indiana plan trust fund established
by IC 12-15-44.2-17.
(5) Two and forty-six hundredths percent (2.46%) Fifty-nine and thirty-eight hundredths percent
(59.38%) of the money shall be deposited in the state general fund for the purpose of paying
appropriations for Medicaid—Current Obligations. for provider reimbursements.
(6) The following amount of the money shall be deposited in the state retiree health benefit trust
fund established by IC 5-10-8-8.5 as follows:
(A) Before July 1, 2011, five and seventy-four hundredths percent (5.74%).
(B) After June 30, 2011, and before July 1, 2013, zero percent (0%).
(C) After June 30, 2013, four percent (4%).
(D) After June 30, 2025, one and sixty-seven hundredths percent (1.67%).
The money in the cigarette tax fund, the healthy Indiana plan trust fund, or the pension relief fund at the
end of a fiscal year does not revert to the state general fund. However, if in any fiscal year, the amount
allocated to a fund under subdivision (1) is less than the amount received in fiscal year 1977, then that
fund shall be credited with the difference between the amount allocated and the amount received in fiscal
year 1977, and the allocation for the fiscal year to the fund under subdivision (2) shall be reduced by the
amount of that difference. Money deposited under subdivisions (5) through (6) may not be used for any
purpose other than the purpose stated in the subdivision.
SECTION 87. IC 6-7-2-7, AS AMENDED BY P.L.236-2023, SECTION 91, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 7. (a) A tax is imposed on the distribution of
tobacco products in Indiana at the following rates:
(1) Twenty-four percent (24%) Thirty percent (30%) of the wholesale price of tobacco products
other than moist snuff.
(2) For moist snuff, forty cents ($0.40) fifty cents ($0.50) per ounce, and a proportionate tax at the
same rate on all fractional parts of an ounce. If the tax calculated for a fractional part of an ounce
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carried to the third decimal place results in the numeral in the third decimal place being greater than
four (4), the amount of the tax shall be rounded to the next additional cent.
(3) For cigars twenty-four percent (24%) thirty percent (30%) of the wholesale price of a cigar.
However the tax imposed per cigar shall not exceed one dollar ($1). three dollars ($3).
(b) A tax is imposed on the distribution of alternative nicotine products in Indiana at a rate of forty
cents ($0.40) fifty cents ($0.50) per ounce, and a proportionate tax at the same rate on all fractional parts
of an ounce, calculated based upon the product weight as listed by the manufacturer. If the tax calculated
for a fractional part of an ounce carried to the third decimal place being greater than four (4), the amount
of the tax shall be rounded to the next additional cent.
(c) The distributor of the tobacco products or alternative nicotine products is liable for the tax imposed
under subsections (a) or (b). The tax is imposed at the time the distributor:
(1) brings or causes tobacco products or alternative nicotine products to be brought into Indiana for
distribution;
(2) manufactures tobacco products or alternative nicotine products in Indiana for distribution;
(3) transports tobacco products or alternative nicotine products to retail dealers in Indiana for resale
by those retail dealers; or
(4) first receives the tobacco products or alternative nicotine products in Indiana in the case of a
distributor or distributor transactions.
(d) The Indiana general assembly finds that the tax rate on smokeless tobacco should reflect the
relative risk between such products and cigarettes.
(e) A consumer who purchases untaxed tobacco products or alternative nicotine products from a
distributor or retailer is liable for the tax imposed under subsections (a) or (b).
SECTION 88. IC 6-7-2-7.5, AS AMENDED BY THE TECHNICAL CORRECTIONS BILL OF THE
2025 GENERAL ASSEMBLY, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]:
Sec. 7.5. (a) A tax is imposed on the distribution of closed system cartridges in Indiana at the rate of
fifteen percent (15%) thirty percent (30%) of the wholesale price of the closed system cartridge. If a
closed system cartridge is sold in the same package as a vapor product device, the tax imposed under this
subsection shall only apply to the wholesale price of the closed system cartridge if the wholesale cost of
the closed system cartridge can be isolated from the vapor product device on the invoice.
(b) The distributor of closed system cartridges, including a person that sells closed system cartridges
through an Internet web site, a website, is liable for the tax imposed under subsection (a). The tax is
imposed at the time the distributor:
(1) brings or causes closed system cartridges to be brought into Indiana for distribution;
(2) manufactures closed system cartridges in Indiana for distribution; or
(3) transports closed system cartridges to retail dealers in Indiana for resale by those retail dealers.
(c) A consumer who purchases untaxed closed system cartridges from a distributor or retailer is liable
for the tax imposed under subsection (a).
SECTION 89. IC 6-7-2-17, AS AMENDED BY P.L.234-2007, SECTION 202, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 17. The department shall deposit twenty-five
percent (25%) nineteen and forty-one hundredths percent (19.41%) of the taxes, registration fees,
fines, or penalties collected under this chapter in the affordable housing and community development
fund established by IC 5-20-4-7. The remainder of the taxes, registration fees, fines, or penalties collected
under this chapter shall be deposited as provided in IC 6-7-1-28.1.
SECTION 90. IC 6-7-4-9, AS AMENDED BY P.L.118-2024, SECTION 17, IS AMENDED TO
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READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 9. (a) An excise tax, known as the electronic
cigarette tax, is imposed on the retail sale of consumable material and vapor products in Indiana.
(b) The electronic cigarette tax equals fifteen percent (15%) thirty percent (30%) of the gross retail
income received by the retail dealer for the sale.
(c) The person who acquires consumable material or vapor products in a retail transaction is liable for
the tax on the transaction, and, except as otherwise incorporated in this chapter, shall pay the tax to the
retail dealer as a separate added amount to the consideration in the transaction. A retail dealer that either:
(1) has a physical presence in Indiana, as described in IC 6-2.5-2-1(c); or
(2) meets the threshold in IC 6-2.5-2-1(d);
shall collect and remit the tax as an agent for the state.
(d) If the tax is not collected by the retail dealer, the consumer is responsible to remit the tax to the
department. A retail dealer that is required to collect and remit tax under this chapter is jointly and
severally liable for uncollected tax absent proof of exemption or payment by the purchaser.
(e) Before the fifteenth day of each month, each retail dealer liable for the collection and remittance
of the tax imposed by this chapter shall:
(1) file a return with the department that includes all information required by the department
including, but not limited to:
(A) the name of the retail dealer;
(B) the address of the retail dealer; and
(C) the certificate number of the retail dealer's electronic cigarette retail dealer's certificate; and
(2) pay the tax for which it is liable under this chapter for the preceding month.
All returns required to be filed and taxes required to be paid under this chapter must be made in an
electronic format prescribed by the department.
(f) All of the provisions of IC 6-2.5 relating to rights, duties, liabilities, procedures, penalties,
definitions, exemptions, and administration apply to the imposition and administration of the tax imposed
under this section, except to the extent such provisions are in conflict or inconsistent with the specific
provisions of this chapter.
(g) A marketplace facilitator (as defined in IC 6-2.5-1-21.9) who is considered a retail merchant under
IC 6-2.5-4-18 for a transaction to which this chapter applies shall collect and remit electronic cigarette
taxes imposed on the retail transaction.
SECTION 91. IC 6-7-4-13, AS ADDED BY P.L.165-2021, SECTION 119, IS AMENDED TO READ
AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 13. All The revenue from the tax imposed by this
chapter must be deposited according to the following:
(1) Sixty and eighty-one hundredths percent (60.81%) in the state general fund.
(2) Thirty-nine and nineteen hundredths percent (39.19%) in the state general fund for the
purpose of paying appropriations for Medicaid—Current Obligations.
SECTION 92. IC 6-8.1-3-17, AS AMENDED BY THE TECHNICAL CORRECTIONS BILL OF THE
2025 GENERAL ASSEMBLY, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]:
Sec. 17. (a) Before an original tax appeal is filed with the tax court under IC 33-26, the commissioner,
or the taxpayer rights advocate office to the extent granted the authority by the commissioner, may settle
any tax liability dispute if a substantial doubt exists as to:
(1) the constitutionality of the tax under the Constitution of the State of Indiana;
(2) the right to impose the tax;
(3) the correct amount of tax due;
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(4) the collectability of the tax; or
(5) whether the taxpayer is a resident or nonresident of Indiana.
(b) After an original tax appeal is filed with the tax court under IC 33-26, and notwithstanding
IC 4-6-2-11, the commissioner may settle a tax liability dispute with an amount in contention of
twenty-five thousand dollars ($25,000) or less. Notwithstanding IC 6-8.1-7-1(a), the terms of a settlement
under this subsection are available for public inspection.
(c) The department shall establish an amnesty program for taxpayers having an unpaid tax liability for
a listed tax that was due and payable for a tax period ending before January 1, 2013. January 1, 2023.
A taxpayer is not eligible for the amnesty program:
(1) for any tax liability resulting from the taxpayer's failure to comply with IC 6-3-1-3.5(b)(3) with
regard to the tax imposed by IC 4-33-13 or IC 4-35-8; or
(2) if the taxpayer participated in any previous amnesty program under:
(A) this section (as in effect on December 31, 2014); December 31, 2024); or
(B) IC 6-2.5-14.
The time in which a voluntary payment of tax liability may be made (or the taxpayer may enter into a
payment program acceptable to the department for the payment of the unpaid listed taxes in full in the
manner and time established in a written payment program agreement between the department and the
taxpayer) under the amnesty program is limited to the period determined by the department, not to exceed
eight (8) regular business weeks ending before the earlier of the date set by the department or January 1,
2017. January 1, 2027.
(d) The amnesty program must provide that, upon payment by a taxpayer to the department of all listed
taxes due from the taxpayer for a tax period (or payment of the unpaid listed taxes in full in the manner
and time established in a written payment program agreement between the department and the taxpayer),
entry into an agreement that the taxpayer is not eligible for any other amnesty program that may be
established and waives any part of interest and penalties on the same type of listed tax that is being
granted amnesty in the current amnesty program, and compliance with all other amnesty conditions
adopted under a rule of the department in effect on the date the voluntary payment is made, the
department:
(1) shall abate and not seek to collect any interest, penalties, collection fees, or costs that would
otherwise be applicable;
(2) shall release any liens imposed;
(3) shall not seek civil or criminal prosecution against any individual or entity; and
(4) shall not issue, or, if issued, shall withdraw, an assessment, a demand notice, or a warrant for
payment under IC 6-8.1-5-1, IC 6-8.1-5-3, IC 6-8.1-8-2, or another law against any individual or
entity;
for listed taxes due from the taxpayer for the tax period for which amnesty has been granted to the
taxpayer. Amnesty granted under this subsection (c) is binding on the state and its agents. However,
failure to pay to the department all listed taxes due for a tax period invalidates any amnesty granted under
this subsection (c) for that tax period. The department shall conduct an assessment of the impact of the
tax amnesty program on tax collections and an analysis of the costs of administering the tax amnesty
program. As soon as practicable after the end of the tax amnesty period, the department shall submit a
copy of the assessment and analysis to the legislative council in an electronic format under IC 5-14-6. The
department shall enforce an agreement with a taxpayer that prohibits the taxpayer from receiving amnesty
in another amnesty program.
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(d) (e) For purposes of subsection (c), a liability for a listed tax is due and payable if:
(1) the department has issued:
(A) an assessment of the listed tax under IC 6-8.1-5-1;
(B) a demand for payment under IC 6-8.1-5-3; or
(C) a demand notice for payment of the listed tax under IC 6-8.1-8-2;
(2) the taxpayer has filed a return or an amended return in which the taxpayer has reported a liability
for the listed tax; or
(3) the taxpayer has filed a written statement of liability for the listed tax in a form that is satisfactory
to the department.
(e) (f) The department may waive interest and penalties if the general assembly enacts a change in a
listed tax for a tax period that increases a taxpayer's tax liability for that listed tax after the due date for
that listed tax and tax period. However, such a waiver shall apply only to the extent of the increase in tax
liability and only for a period not exceeding sixty (60) days after the change is enacted. The department
may adopt rules under IC 4-22-2 or issue guidelines to carry out this subsection.
SECTION 93. IC 6-8.1-3-24.5 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 24.5. The department may adopt rules
under IC 4-22-2 to carry out a tax amnesty program under section 17 of this chapter.
SECTION 94. IC 6-8.1-3-25, AS AMENDED BY P.L.165-2021, SECTION 122, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 25. Notwithstanding any other law, the
department shall deposit the amounts collected under a tax amnesty program carried out under section
17 of this chapter after June 30, 2015, June 30, 2025, as follows:
(1) County income tax collected under IC 6-3.5-1.1, IC 6-3.5-6, or IC 6-3.5-7 (all repealed January
1, 2017) shall be distributed to counties in the same manner as otherwise provided by the appropriate
chapter of the Indiana Code.
(2) Eight percent (8%) of inheritance tax collected for resident decedents shall be distributed to
counties in the manner provided under IC 6-4.1-9-6.
(3) County innkeeper's tax collected shall be deposited as required by IC 6-9.
(4) County and municipal food and beverage tax collected shall be deposited as required by IC 6-9.
(5) County admissions taxes collected shall be deposited as required by IC 6-9-13 and IC 6-9-28.
(6) Aircraft license excise tax collected shall be deposited as required by IC 6-6-6.5-21.
(7) Auto rental excise tax collected shall be deposited as required by IC 6-6-9-11.
(8) Supplemental auto rental excise tax shall be deposited as otherwise required by the appropriate
chapter of the Indiana Code.
(9) Financial institutions tax collected shall be deposited as required by IC 6-5.5-8-2.
(10) After making the deposits required under subdivisions (1) through (9), the first eighty-four
million dollars ($84,000,000) collected must be deposited into the Indiana regional cities
development fund established by IC 5-28-38-2 (before its repeal).
(11) After making the deposits required under subdivisions (1) through (10), the next six million
dollars ($6,000,000) collected shall be transferred to the Indiana department of transportation to
reimburse the Indiana department of transportation for money expended by the Indiana department
of transportation under IC 8-23-2-18.5 (before its expiration) for the operation of the Hoosier State
Rail Line. However, the total amount transferred under this subdivision to the Indiana department
of transportation may not exceed the lesser of:
(A) six million dollars ($6,000,000); or
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(B) the total amount expended by the Indiana department of transportation under IC 8-23-2-18.5
(before its expiration) for the operation of the Hoosier State Rail Line after June 30, 2015, and
before July 1, 2017.
(12) After making the deposits required under subdivisions (1) through (11), the next forty-two
million dollars ($42,000,000) collected must be deposited into the Indiana regional cities
development fund established by IC 5-28-38-2 (before its repeal). The amount deposited under this
subdivision is appropriated to the Indiana economic development corporation for the purposes of
the Indiana regional cities development fund.
(13) After making the deposits required under subdivisions (1) through (12), the next twenty-nine
million eight hundred seventy thousand dollars ($29,870,000) shall be transferred as follows:
(A) Eight million seven hundred thousand dollars ($8,700,000) to the Indiana public retirement
system for credit to the Indiana public employees' retirement fund established by IC 5-10.3-2-1.
(B) Twenty million seven hundred thousand dollars ($20,700,000) to the Indiana public
retirement system for credit to the pre-1996 account of the Indiana state teachers' retirement fund
established by IC 5-10.4-2-1.
(C) Seventy thousand dollars ($70,000) to the Indiana public retirement system for credit to the
state excise police, gaming agent, gaming control officer, and conservation enforcement officers'
retirement plan established by IC 5-10-5.5-2.
(D) Two hundred thousand dollars ($200,000) to the treasurer of state for credit to the trust fund
under IC 10-12-1-11 for the state police pre-1987 benefit system.
(E) Two hundred thousand dollars ($200,000) to the treasurer of state for credit to the trust fund
under IC 10-12-1-11 for the state police 1987 benefit system.
The amounts transferred under this subdivision shall be used to pay costs that must be paid for any
thirteenth check payments or similar supplemental check payments that are enacted by the general
assembly and made to the members and beneficiaries of a public pension plan under HEA
1161-2016. The amounts transferred under this subdivision are appropriated for the purposes of this
subdivision.
(14) After making the deposits required under subdivisions (1) through (13), the next ten million
dollars ($10,000,000) shall be deposited into the next generation Hoosier educators scholarship fund
established by IC 21-12-16-3.
(15) (10) After making the deposits in subdivisions (1) through (9), any remaining amounts
collected must be deposited into the state general fund.
SECTION 95. IC 6-8.1-10-12, AS AMENDED BY THE TECHNICAL CORRECTIONS BILL OF
THE 2025 GENERAL ASSEMBLY, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1,
2025]: Sec. 12. (a) This section applies to a penalty related to a tax liability to the extent that the:
(1) tax liability is for a listed tax;
(2) tax liability was due and payable, as determined under IC 6-8.1-3-17(d), IC 6-8.1-3-17(e), for
a tax period ending before January 1, 2013; January 1, 2023;
(3) department establishes an amnesty program for the tax liability under IC 6-8.1-3-17(c);
(4) individual or entity from which the tax liability is due was eligible to participate in the amnesty
program described in subdivision (3); and
(5) tax liability is not paid:
(A) in conformity with a payment program acceptable to the department that provides for
payment of the unpaid listed taxes in full in the manner and time established in a written payment
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program agreement entered into between the department and the taxpayer under IC 6-8.1-3-17(c);
or
(B) if clause (A) does not apply, before the end of the amnesty period established by the
department.
(b) Subject to subsection (c), if a penalty is imposed or otherwise calculated under any combination
of:
(1) IC 6-8.1-1-8;
(2) section 2.1 of this chapter;
(3) section 3 of this chapter;
(4) section 3.5 of this chapter;
(5) section 4 of this chapter;
(6) section 5 of this chapter;
(7) section 6 of this chapter;
(8) section 7 of this chapter;
(9) section 9 of this chapter; or
(10) IC 6-6;
an additional penalty is imposed under this section. The amount of the additional penalty imposed under
this section is equal to the sum of the penalties imposed or otherwise calculated under the provisions
listed in subdivisions (1) through (10).
(c) The additional penalty provided by subsection (b) does not apply if all of the following apply:
(1) The department imposes a penalty on a taxpayer or otherwise calculates the penalty under the
provisions described in subsection (b)(1) through (b)(10).
(2) The taxpayer against whom the penalty is imposed:
(A) timely files an original tax appeal in the tax court under IC 6-8.1-5-1; and
(B) contests the department's imposition of the penalty or the tax on which the penalty is based.
(3) The taxpayer meets all other jurisdictional requirements to initiate the original tax appeal.
(4) Either the:
(A) tax court enjoins collection of the penalty or the tax on which the penalty is based under
IC 33-26-6-2; or
(B) department consents to an injunction against collection of the penalty or tax without entry of
an order by the tax court.
(d) The additional penalty provided by subsection (b) does not apply if the taxpayer:
(1) has a legitimate hold on making the payment as a result of an audit, bankruptcy, protest, taxpayer
advocate action, or another reason permitted by the department;
(2) had established a payment plan with the department before May 12, 2015; May 15, 2025; or
(3) verifies with reasonable particularity that is satisfactory to the commissioner that the taxpayer
did not ever receive notice of the outstanding tax liability.
SECTION 96. IC 8-1-2-70, AS AMENDED BY P.L.213-2014, SECTION 2, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 70. In its order upon any investigation made
under the provisions of this chapter, IC 8-1.5-3, or IC 8-1.5-6, either upon complaint against any
municipal utility, upon the petition of any such municipal utility, or upon the initiation of the commission,
the commission shall ascertain and declare the expenses incurred by it upon such investigation, and the
municipal utility affected thereby shall pay into the commission public utility fund account described in
IC 8-1-6-2 state general fund under IC 8-1-6-2(b) the amount of the expenses, so ascertained and
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declared, within a time to be fixed in the order, not exceeding twenty (20) days from the date thereof. The
commission shall cause a certified copy of all such orders to be delivered to an officer or agent of the
municipal utility affected thereby, and all such orders shall, of their own force, take effect and become
operative twenty (20) days after service thereof unless a different time be provided in said order. Any
order of the commission as may increase any rate of such municipal utility shall not take effect until such
expenses are paid into the commission public utility fund account described in IC 8-1-6-2.
SECTION 97. IC 8-1-2-85, AS AMENDED BY P.L.136-2018, SECTION 50, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 85. The commission shall charge every
municipality receiving permission from it to issue any bonds, notes, or other securities an amount equal
to twenty-five cents ($.25) for each one hundred dollars ($100) for such bonds, notes, or other securities,
but in no case shall the fee be less than one hundred dollars ($100). All of such fees assessed under this
section shall be paid to the secretary of the commission within thirty (30) days of the receipt of the bond
proceeds by the municipality and only if the bonds, notes, or other securities are issued. The fees collected
by the secretary shall be paid into the state treasury and deposited in the commission public utility fund
account established under IC 8-1-6, state general fund under IC 8-1-6-2(b), as if they were fees
collected under IC 8-1-6.
SECTION 98. IC 8-1-6-1 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]:
Sec. 1. (a) It is declared to be the public policy of this state that in order to maintain and foster the
effective regulation of the public utilities, in the interests of the people of the state of Indiana and the
public utilities as well, the public utilities subject to regulation and which enjoy the privilege of operating
as public utilities in this state shall bear the expense of administering the provisions of IC 8-1-1 and
IC 8-1-2 by means of a public utility fee on such privilege measured by the annual gross revenue of such
public utilities in the manner provided in this chapter. That expense shall be determined by totaling the
budgets, approved by the general assembly in its appropriation act for the years to be billed, of the
commission and the utility consumer counselor, including expert witness fees. The sum of two hundred
fifty thousand dollars ($250,000) shall be added to that total for the use of the commission and the utility
consumer counselor as a contingency fund, with expenditures from that fund subject to prior approval of
the governor and state budget agency. The proceeds from the public utility fee shall be paid to the
commission and deposited in the state general fund for appropriation to the regulation of public
utilities. public utility fund which is hereby created in the state treasury. If the reports required to be
submitted to the commission under section 5 of this chapter reveal that the amounts to be collected for
the fiscal year from the public utilities, when added together, plus the unexpended balance of the public
utility fund account amount deposited in the state general fund under this section at the end of the
fiscal year will exceed the total of the expenses plus the contingency fund, the commission shall compute
the amount of each public utility's proportionate share of the excess sum. The commission shall, as
promptly as possible, notify each public utility of the amount of its proportionate share of such excess and
that amount shall be deducted from the subsequent payment of any fees imposed on such utility under
section 4 of this chapter.
(b) If the sum of the actual expenditures of the commission and the utility consumer counselor are less
than the appropriations therefor by the general assembly, the difference between the actual expenditures
and the appropriations shall be subject to the credit provision provided in this section and each utility's
proportionate share of that difference shall be deducted from the subsequent payment of any fee imposed
on that utility under section 4 of this chapter.
SECTION 99. IC 8-1-6-2, AS AMENDED BY P.L.136-2018, SECTION 60, IS AMENDED TO
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READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 2. (a) All fees prescribed by this chapter shall
be paid into the treasury of the state of Indiana through the secretary of the commission, a quietus shall
be issued, and the fees shall be deposited into the state general fund. an account to be known as the
commission public utility fund account. This account shall be used for enforcing the provisions of
IC 8-1-1 and IC 8-1-2 and shall be utilized only for the purpose of funding the expenses of the
commission and the consumer counselor in amounts not in excess of their respective appropriations by
the general assembly, plus the contingency fund. All appropriations under this chapter paid out of the
commission public utility fund account shall be subject to the prior approval of the general assembly, the
governor, and the state budget agency.
(b) Fees collected from municipalities under IC 8-1-2-85 and amounts paid by municipal utilities under
IC 8-1-2-70 shall also be deposited in the commission public utility fund account, state general fund,
as if they were fees collected from public utilities under this chapter.
SECTION 100. IC 8-1-6-4 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1,
2025 (RETROACTIVE)]: Sec. 4. A public utility fee is imposed upon each public utility subject to the
provisions of this chapter equal to .0015 one hundred seventy-five thousandths percent (0.175%) of
its gross revenue for the preceding calendar year. The commission may not bill or collect a public utility
fee that is fifty dollars ($50) or less under this calculation.
SECTION 101. IC 8-1-6-7 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]:
Sec. 7. The commission shall be subject to the quarterly allotment system under IC 4-13-2-18. One
quarter (1/4) of the annual fee imposed under section 4 of this chapter shall be paid to the commission
on or before the first day of July of the year in which the fee is imposed and one quarter (1/4) on the first
day of each of the months of October, January, and April following immediately thereafter; or the entire
amount of such fee may, at the election of the utility, be paid in full on or before July 1 of such year.
SECTION 102. IC 8-1-6-9 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]:
Sec. 9. All sums collected by the commission under the provisions of this chapter shall be paid not less
than fifteen (15) days after receipt of the same, accompanied by a detailed statement thereof to the
treasurer of the state of Indiana and deposited into the public utility fund. state general fund.
SECTION 103. IC 8-22-3-4.3, AS AMENDED BY HEA 1196-2025, SECTION 4, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 4.3. (a) This section applies only to the
board of an airport authority that:
(1) is not located in a county containing a consolidated city;
(2) is established by a city; and
(3) has entered into a federal interstate compact.
(b) The board of an airport authority described in subsection (a) consists of members appointed as
follows:
(1) Four (4) members appointed by the executive of the city in which the airport is located. Except
as provided in section 3.9 of this chapter, not more than two (2) members appointed under this
subdivision may be members of the same political party.
(2) One (1) member appointed by the executive of the county in which the airport is located.
(3) One (1) member appointed by the executive of the county (other than the county in which the
airport is located) that is closest geographically to the airport.
(4) One (1) member appointed by the governor.
(c) A member of the board holds office for four (4) years and until the member's successor is appointed
and qualified.
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(d) If a vacancy occurs in the board, the authority that appointed the member that vacated the board
shall appoint an individual to serve for the remainder of the unexpired term.
(e) A board member may be reappointed to successive terms.
(f) A board member may be impeached under the procedure provided for the impeachment of county
officers.
(g) The board member appointed under subsection (b)(4) serves as the president of the board.
(h) On September 1, 2013, the term of each member serving on the board of the airport authority
originally established by the city of Gary is terminated. The appointing authorities required to make
appointments to the board under this section shall make new appointments to the board as soon as
possible after August 31, 2013.
(i) Each person appointed by an appointing authority under subsection (b) must have knowledge of
and at least five (5) years professional work experience in at least one (1) of the following:
(1) Aviation management at an executive level.
(2) Regional economic development.
(3) Business or finance.
(j) A person appointed by an appointing authority under subsection (b) may not personally have, or
be employed by or have an ownership interest in an entity that has, a significant contractual or business
relationship with the airport authority.
(k) The board of an airport authority described in subsection (a) shall contract with a certified public
accountant for an annual financial audit of the airport authority. The certified public accountant may not
be selected without review of the accountant's proposal and approval of the accountant by the state board
of accounts. The certified public accountant may not have a significant financial interest, as determined
by the board of the airport authority, in a project, facility, or service owned by, funded by, or leased by
or to the airport authority. The certified public accountant shall present the annual financial audit not later
than four (4) months after the end of the airport authority's fiscal year. The board of the airport authority
shall pay the cost of the annual financial audit. In addition, the state board of accounts may at any time
conduct an audit of any phase of the operations of the airport authority. The airport authority shall pay the
cost of any audit by the state board of accounts.
(l) The board of the airport authority shall, not later than four (4) months after the end of the airport
authority's fiscal year, submit an annual report of the board's activities for the preceding fiscal year to:
(1) the budget agency, for review by the budget committee; and
(2) the legislative council.
An annual report submitted under this section to the legislative council must be in an electronic format
under IC 5-14-6. The annual report must set forth a complete operating and financial statement of the
airport authority for the airport authority's preceding fiscal year.
(m) The city council of the city of Gary shall terminate, as of January 1, 2026, the compact
between the city of Chicago and the city of Gary relating to the establishment of the Chicago-Gary
Regional Airport Authority that was entered in to and became effective on April 15, 1995. Not later
than July 1, 2025:
(1) a majority of the directors designated or appointed to the Chicago-Gary Regional Airport
Authority by the Gary city council shall adopt a resolution that provides for the termination
of the compact on January 1, 2026; and
(2) the Gary city council shall adopt an ordinance that provides for the termination of the
compact on January 1, 2026.
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SECTION 104. IC 8-23-9-0.5 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 0.5. Notwithstanding any provision to the
contrary in this chapter, and only to the extent that a bid does not exceed the estimated cost of the
project, IC 5-22-15-26 applies to any proposal, contract, project, or agreement that is subject to the
provisions of this chapter.
SECTION 105. IC 9-18.5-33-1, AS ADDED BY P.L.198-2016, SECTION 327, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 1. As used in this chapter, "Gold Star family
member" means:
(1) a biological parent;
(2) an adoptive parent;
(3) a stepparent;
(4) a biological child;
(5) an adopted child;
(6) a stepchild;
(7) a sibling by blood;
(8) a sibling by half blood;
(9) a sibling by adoption;
(10) a stepsibling;
(11) a grandparent;
(12) a great-grandparent; or
(13) the spouse; or
(14) a biological parent of a child;
of an individual who has died while serving on active duty, or dies as a result of injuries sustained while
serving on active duty, as a member of the armed forces of the United States or the national guard (as
defined in IC 10-16-1-13).
SECTION 106. IC 10-11-2-13, AS AMENDED BY P.L.201-2023, SECTION 122, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2027]: Sec. 13. (a) The board shall categorize salaries of
police employees within each rank based upon the rank held and the number of years of service in the
department through the fifteenth year. The salary ranges the board assigns to each rank shall be divided
into a base salary and fifteen (15) increments above the base salary, with:
(1) the base salary in the rank paid to a person with less than one (1) year of service in the
department; and
(2) the highest salary in the rank paid to a person with at least fifteen (15) years of service in the
department.
(b) The salary matrix prescribed by this section shall be reviewed and approved by the budget agency
biennially in even-numbered years before implementation.
(c) The board shall adjust the salary matrix prescribed by this section whenever a revision or
adjustment is made to a pay plan developed under IC 4-15-2.2-27 for which all executive branch
employees are generally eligible. The adjusted percentage increase of the salary matrix and each
corresponding salary increment in the salary matrix is equal to the percentage by which the revised
or adjusted statewide average salary of all executive branch state employees exceeds the statewide
average salary of all executive branch state employees on July 1 of the immediately preceding year.
SECTION 107. IC 10-11-2-28.5, AS AMENDED BY P.L.114-2022, SECTION 16, IS AMENDED
TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2027]: Sec. 28.5. (a) After June 30, 2007, the board
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shall use a salary matrix that categorizes salaries of capitol police officers described in section 28 of this
chapter within each rank based upon the rank held and the number of years of service in the department
through the tenth year. The salary ranges the board assigns to each rank shall be divided into a base salary
and ten (10) increments above the base salary, with:
(1) the base salary in the rank paid to a capitol police officer with less than one (1) year of service
in the department; and
(2) the highest salary in the rank paid to a capitol police officer with at least ten (10) years of service
in the department.
(b) For purposes of creating the salary matrix prescribed by this section, the board may not approve
salary ranges for any rank of capitol police officers that are less than the salary ranges effective for that
rank on January 1, 2006.
(c) The salary matrix prescribed by this section shall be reviewed and approved by the budget agency
biennially in even-numbered years before implementation.
(d) The salary matrix developed under subsection (a) must use the same percentage differentials
between increments that are used for the salary matrix for police employees under IC 10-11-2-13. section
13 of this chapter.
(e) The board shall adjust the salary matrix prescribed by this section whenever a revision or
adjustment is made to a pay plan developed under IC 4-15-2.2-27 for which all executive branch
employees are generally eligible. The adjusted percentage increase of the salary matrix and each
corresponding salary increment in the salary matrix is equal to the percentage by which the revised
or adjusted statewide average salary of all executive branch state employees exceeds the statewide
average salary of all executive branch state employees on July 1 of the immediately preceding year.
SECTION 108. IC 10-21-1-2, AS AMENDED BY P.L.201-2023, SECTION 128, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 2. (a) The Indiana secured school fund is
established to provide:
(1) matching grants to school corporations, charter schools, and accredited nonpublic schools, where
the matching grants may be used to:
(A) employ a school resource officer, employ a law enforcement officer, or enter into a contract
or a memorandum of understanding with a:
(i) local law enforcement agency;
(ii) private entity; or
(iii) nonprofit corporation;
to employ a school resource officer or a law enforcement officer;
(B) conduct:
(i) a site vulnerability assessment of the buildings within a school corporation or the buildings
that are operated by a charter school or accredited nonpublic school; or
(ii) critical incident digital mapping of the buildings within a school corporation or the
buildings that are operated by a charter school or accredited nonpublic school;
(C) purchase equipment, hardware, materials, and technology to:
(i) restrict access to school property and classrooms;
(ii) assist with visitor management on school property;
(iii) expedite notification of first responders;
(iv) expedite access to school property for first responders;
(v) provide school staff with information about the open or closed status of interior and exterior
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doors;
(vi) detect fire, chemical, visual, or audible threats;
(vii) enhance emergency communications inside the building; or
(viii) assist with emergency medical response on school property;
(D) implement a student and parent support services plan as described in IC 20-34-9;
(E) purchase or provide training for a canine trained to detect drugs and illegal substances,
explosives, or firearms, or to otherwise provide protection for students and school employees and
the canine shall:
(i) be primarily assigned to a school corporation, charter school, or accredited nonpublic
school;
(ii) be primarily assigned to a school resource officer or law enforcement officer described in
clause (A) who has received appropriate training for handling a canine trained to detect drugs
and illegal substances, explosives, or firearms, or to otherwise provide protection for students
and school employees, including training regarding handling a canine in a school setting; and
(iii) receive continuous training as appropriate;
(F) provide funding for school employees to receive training, including expenses for per diem,
travel, and lodging, related to:
(i) site vulnerability assessments;
(ii) mental health or behavioral health threat assessments;
(iii) multi-disciplinary threat assessment teams; or
(iv) emergency preparedness or response activities;
(G) provide funding for school resource officers or law enforcement officers described in clause
(A) to receive training, including expenses for per diem, travel, and lodging, related to handling
a canine trained to detect drugs and illegal substances, explosives, or firearms, or to otherwise
provide protection for students and school employees;
(H) purchase student safety management technology;
(I) design and construct additions or renovations on school property if the primary purpose of the
construction project is to enhance the physical security of the school building; or
(J) implement a bullying prevention program; and or
(K) develop, implement, and carry out a Stop the Bleed program required by IC 20-34-3-24,
including for the purchase of bleeding control kits; and
(2) one (1) time grants to enable school corporations, charter schools, and accredited nonpublic
schools with the sheriff for the county in which the school corporation, charter school, or accredited
nonpublic school is located, to provide the initial set up costs for an active event warning system.
(b) A school corporation or charter school may use money received under a matching grant for a
purpose listed in subsection (a) to provide a response to a threat in a manner that the school corporation
or charter school sees fit, including firearms training or other self-defense training.
(c) The fund shall be administered by the department of homeland security.
(d) The fund consists of:
(1) appropriations from the general assembly;
(2) federal grants;
(3) amounts deposited from any other public or private source; and
(4) amounts deposited under IC 33-37-9-4.
(e) The expenses of administering the fund shall be paid from money in the fund.
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(f) The treasurer of state shall invest the money in the fund not currently needed to meet the obligations
of the fund in the same manner as other public money may be invested. Interest that accrues from these
investments shall be deposited in the fund.
(g) Money in the fund at the end of a state fiscal year does not revert to the state general fund.
SECTION 109. IC 12-7-2-196.5 IS REPEALED [EFFECTIVE JULY 1, 2025]. Sec. 196.5.
"Unrestricted access", for purposes of IC 12-15-35.5, has the meaning set forth in IC 12-15-35.5-2.5.
SECTION 110. IC 12-14-31-3, AS ADDED BY P.L.92-2024, SECTION 7, IS AMENDED TO READ
AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 3. A household that, at the time of the office of
the secretary's initial determination of the household's income eligibility for purposes of entry into the
CCDF program:
(1) subject to federal law, has a parent or guardian who is working or attending a job training
or an educational program;
(1) (2) has a household income that does not exceed eighty-five percent (85%) of Indiana's state
median income for the household's family size;
(2) (3) includes a child care employee (as defined in IC 12-17.2-7.2-0.5); and
(3) (4) otherwise meets federal eligibility requirements for the CCDF program;
is eligible for assistance under the CCDF program.
SECTION 111. IC 12-15-1.3-6, AS ADDED BY P.L.220-2011, SECTION 264, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 6. (a) The office shall develop a federal
Medicaid waiver application under which a prescription drug program may be established or implemented
to provide access to prescription drugs for low income senior citizens.
(b) Before the office may submit an application for a federal Medicaid waiver that will affect the
Indiana prescription drug program established under IC 12-10-16, the following must occur:
(1) The office shall submit the proposed Medicaid waiver to the prescription drug advisory
committee.
(2) The prescription drug advisory committee must review, allow public comment on, and approve
the proposed Medicaid waiver.
(c) A prescription drug program established or implemented by the office or a contractor of the office
under this section may not limit access to prescription drugs for prescription drug program recipients,
except under the following circumstances:
(1) Access may be limited to the extent that restrictions were in place in the Medicaid program on
March 26, 2002.
(2) Except as provided by IC 12-15-35.5-3(b) and IC 12-15-35.5-3(c), Access may be limited to:
(A) prevent:
(i) fraud;
(ii) abuse;
(iii) waste;
(iv) overutilization of prescription drugs; and
(v) inappropriate utilization of prescription drugs; or
(B) implement a disease management program.
IC 12-15-35.5-7 applies to a limit implemented under this subdivision.
(d) Changes to a prescription drug program that:
(1) is established or implemented by the office or a contractor of the office under this section; and
(2) uses money from the Indiana prescription drug account established under IC 4-12-8-2;
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must be approved by the prescription drug advisory committee.
(e) The office shall apply to the United States Department of Health and Human Services for approval
of any waiver necessary under the federal Medicaid program to provide access to prescription drugs for
low income senior citizens.
(f) A Medicaid waiver developed under this section must limit a prescription drug program's state
expenditures to funding appropriated to the Indiana prescription drug account established under
IC 4-12-8-2 from the Indiana tobacco master settlement agreement fund.
(g) The office may not implement a waiver under this section until the office files an affidavit with the
governor attesting that the federal waiver applied for under this section is in effect. The office shall file
the affidavit under this subsection not later than five (5) days after the office is notified that the waiver
is approved.
(h) If the office receives a waiver under this section from the United States Department of Health and
Human Services and the governor receives the affidavit filed under subsection (g), the office shall
implement the waiver not more than sixty (60) days after the governor receives the affidavit.
SECTION 112. IC 12-15-13-1.8, AS AMENDED BY HEA 1474-2025, SECTION 42, IS AMENDED
TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 1.8. (a) As used in this section, "covered
population" means all Medicaid recipients who meet the criteria set forth in subsection (b).
(b) An individual is a member of the covered population if the individual:
(1) is eligible to participate in the federal Medicare program (42 U.S.C. 1395 et seq.) and receives
nursing facility services; or
(2) is:
(A) at least sixty (60) years of age;
(B) blind, aged, or disabled; and
(C) receiving services through one (1) of the following:
(i) The aged and disabled Medicaid waiver.
(ii) A risk based managed care program for aged, blind, or disabled individuals who are not
eligible to participate in the federal Medicare program.
(iii) The state Medicaid plan.
(c) The office of the secretary may implement a risk based managed care program for the covered
population.
(d) Any managed care organization that participates in the risk based managed care program
under subsection (c) that fails to pay a claim submitted by a nursing facility provider for payment
under the program later than:
(1) twenty-one (21) days, if the claim was electronically filed; or
(2) thirty (30) days, if the claim was filed on paper;
from receipt by the managed care organization shall pay a penalty of five hundred dollars ($500)
per calendar day per claim.
(d) The office of Medicaid policy and planning shall convene a workgroup for purposes of this section.
The members of the workgroup shall consist of the fiscal officer of the office of Medicaid policy and
planning, representatives of managed care organizations appointed by the director, and provider
representatives appointed by the director. The workgroup shall do the following:
(1) Develop a uniform billing format to be used by the managed care organizations participating in
the risk based managed care program established under subsection (c).
(2) Advise the office of Medicaid policy and planning on claim submission education and training
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needs of providers participating in the risk based managed care program established under
subsection (c).
(3) Develop policies to improve claims submission and claims processing for the risk based manage
care program established under subsection (c).
(4) Advise the office of Medicaid policy and planning on claims submission issues for the risk based
managed care program established under subsection (c).
(5) Advise the office of Medicaid policy and planning on improving the risk based managed care
program established under subsection (c).
SECTION 113. IC 12-15-35-20.5 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1,
2025]: Sec. 20.5. (a) The therapeutics committee is established as a subcommittee of the board.
(b) The chairperson of the board elected under section 25 of this chapter shall, with the approval of
a majority of a quorum of the board, appoint the members of the therapeutics committee.
(c) The therapeutics committee is composed of the following members:
(1) Five (5) physicians licensed under IC 25-22.5, including:
(A) one (1) physician with expertise in the area of family practice;
(B) one (1) physician with expertise in the area of pediatrics;
(C) one (1) physician with expertise in the area of geriatrics;
(D) one (1) physician with expertise in psychiatric medicine; and
(E) one (1) physician with expertise in the area of internal medicine and who specializes in the
treatment of diabetes.
(2) Two (2) pharmacists who are licensed under IC 25-26 and who have a doctor of pharmacy degree
or an equivalent degree.
(3) One (1) member from the mental health Medicaid quality advisory committee established
by section 51 of this chapter.
(d) Not more than three (3) of the individuals appointed by the chairperson under subsection (b) to the
therapeutics committee may also be members of the board.
(e) At least three (3) of the members described in subsection (c)(1) and appointed under subsection
(b) must have at least three (3) years of recent experience in prescription drug formulary management,
including therapeutic category review.
(f) A member of the therapeutics committee may not:
(1) be employed by; or
(2) contract with;
the state or a pharmaceutical manufacturer or labeler. However, this subsection does not apply to a
physician or a pharmacist whose only contract with the state is a Medicaid provider agreement under
IC 12-15-11 or a provider agreement under the children's health insurance program under IC 12-17.6.
(g) The term of a member of the therapeutics committee is three (3) years. A member may be
reappointed to the committee upon the completion of the member's term.
(h) The expenses of the therapeutics committee shall be paid by the office.
(i) Each member of the therapeutics committee is entitled to the minimum salary per diem provided
by IC 4-10-11-2.1(b). The member is also entitled to reimbursement for traveling expenses as provided
under IC 4-13-1-4 and other expenses actually incurred in connection with the member's duties as
provided in the state policies and procedures established by the Indiana department of administration and
approved by the budget agency.
(j) The affirmative votes of a majority of a quorum of the therapeutics committee are required for the
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committee to take action on any measure. A quorum of the therapeutics committee consists of four (4)
members.
(k) The therapeutics committee shall meet:
(1) upon the call of the chairperson of the therapeutics committee; and
(2) at least quarterly.
(l) The chairperson and the vice chairperson of the therapeutics committee:
(1) each serve for a term of one (1) year; and
(2) must be elected from the therapeutics committee's membership at the therapeutics committee's
first meeting each calendar year.
(m) A meeting held by the therapeutics committee must be open to the public in accordance with
IC 5-14-1.5. However, the therapeutics committee may meet in executive session only for the purpose of
reviewing confidential or proprietary information.
SECTION 114. IC 12-15-35-28, AS AMENDED BY P.L.130-2018, SECTION 48, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 28. (a) The board has the following duties:
(1) The implementation of a Medicaid retrospective and prospective DUR program as outlined in
this chapter, including the approval of software programs to be used by the pharmacist for
prospective DUR and recommendations concerning the provisions of the contractual agreement
between the state and any other entity that will be processing and reviewing Medicaid drug claims
and profiles for the DUR program under this chapter.
(2) The development and application of the predetermined criteria and standards for appropriate
prescribing to be used in retrospective and prospective DUR to ensure that such criteria and
standards for appropriate prescribing are based on the compendia and developed with professional
input with provisions for timely revisions and assessments as necessary.
(3) The development, selection, application, and assessment of interventions for physicians,
pharmacists, and patients that are educational and not punitive in nature.
(4) The publication of an annual report that must be subject to public comment before issuance to
the federal Department of Health and Human Services and to the Indiana legislative council by
December 1 of each year. The report issued to the legislative council must be in an electronic format
under IC 5-14-6.
(5) The development of a working agreement for the board to clarify the areas of responsibility with
related boards or agencies, including the following:
(A) The Indiana board of pharmacy.
(B) The medical licensing board of Indiana.
(C) The SURS staff.
(6) The establishment of a grievance and appeals process for physicians or pharmacists under this
chapter.
(7) The publication and dissemination of educational information to physicians and pharmacists
regarding the board and the DUR program, including information on the following:
(A) Identifying and reducing the frequency of patterns of fraud, abuse, gross overuse, or
inappropriate or medically unnecessary care among physicians, pharmacists, and recipients.
(B) Potential or actual severe or adverse reactions to drugs.
(C) Therapeutic appropriateness.
(D) Overutilization or underutilization.
(E) Appropriate use of generic drugs.
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(F) Therapeutic duplication.
(G) Drug-disease contraindications.
(H) Drug-drug interactions.
(I) Incorrect drug dosage and duration of drug treatment.
(J) Drug allergy interactions.
(K) Clinical abuse and misuse.
(8) The adoption and implementation of procedures designed to ensure the confidentiality of any
information collected, stored, retrieved, assessed, or analyzed by the board, staff to the board, or
contractors to the DUR program that identifies individual physicians, pharmacists, or recipients.
(9) The implementation of additional drug utilization review with respect to drugs dispensed to
residents of nursing facilities shall not be required if the nursing facility is in compliance with the
drug regimen procedures under 410 IAC 16.2-3.1 and 42 CFR 483.60.
(10) The research, development, and approval of a preferred drug list for:
(A) Medicaid's fee for service program;
(B) a risk based managed care program, if the office provides a prescription drug benefit and
subject to IC 12-15-5; and
(C) the children's health insurance program under IC 12-17.6;
in consultation with the therapeutics committee.
(11) The approval of the review and maintenance of the preferred drug list at least two (2) times per
year.
(12) The preparation and submission of a report concerning the preferred drug list at least one (1)
time per year to the interim study committee on public health, behavioral health, and human services
established by IC 2-5-1.3-4 in an electronic format under IC 5-14-6.
(13) The collection of data reflecting prescribing patterns related to treatment of children diagnosed
with attention deficit disorder or attention deficit hyperactivity disorder.
(14) Advising the Indiana comprehensive health insurance association established by IC 27-8-10-2.1
concerning implementation of chronic disease management and pharmaceutical management
programs under IC 27-8-10-3.5.
(b) The board shall use the clinical expertise of the therapeutics committee in developing a preferred
drug list. The board shall also consider expert testimony in the development of a preferred drug list.
(c) In researching and developing a preferred drug list under subsection (a)(10), the board shall do the
following:
(1) Use literature abstracting technology.
(2) Use commonly accepted guidance principles of disease management.
(3) Develop therapeutic classifications for the preferred drug list.
(4) Give primary consideration to the clinical efficacy or appropriateness of a particular drug in
treating a specific medical condition.
(5) Include in any cost effectiveness considerations the cost implications of other components of the
state's Medicaid program and other state funded programs.
(d) Prior authorization is required for coverage under a program described in subsection (a)(10) of a
drug that is not included on the preferred drug list.
(e) The board shall determine whether to include a single source covered outpatient drug that is newly
approved by the federal Food and Drug Administration on the preferred drug list not later than sixty (60)
days after the date on which the manufacturer notifies the board in writing of the drug's approval.
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However, if the board determines that there is inadequate information about the drug available to the
board to make a determination, the board may have an additional sixty (60) days to make a determination
from the date that the board receives adequate information to perform the board's review. Prior
authorization may not be automatically required for a single source drug that is newly approved by the
federal Food and Drug Administration, and that is:
(1) in a therapeutic classification:
(A) that has not been reviewed by the board; and
(B) for which prior authorization is not required; or
(2) the sole drug in a new therapeutic classification that has not been reviewed by the board.
(f) The board may not exclude a drug from the preferred drug list based solely on price.
(g) The following requirements apply to a preferred drug list developed under subsection (a)(10):
(1) Except as provided by IC 12-15-35.5-3(b) and IC 12-15-35.5-3(c), The office or the board may
require prior authorization for a drug that is included on the preferred drug list under the following
circumstances:
(A) To override a prospective drug utilization review alert.
(B) To permit reimbursement for a medically necessary brand name drug that is subject to
generic substitution under IC 16-42-22-10.
(C) To prevent fraud, abuse, waste, overutilization, or inappropriate utilization.
(D) To permit implementation of a disease management program.
(E) To implement other initiatives permitted by state or federal law.
(2) All drugs described in IC 12-15-35.5-3(b) must be included on the preferred drug list.
(3) (2) The office may add a drug that has been approved by the federal Food and Drug
Administration to the preferred drug list without prior approval from the board.
(4) (3) The board may add a drug that has been approved by the federal Food and Drug
Administration to the preferred drug list.
(h) At least one (1) time each year, the board shall provide a report to the interim study committee on
public health, behavioral health, and human services established by IC 2-5-1.3-4 in an electronic format
under IC 5-14-6. The report must contain the following information:
(1) The cost of administering the preferred drug list.
(2) Any increase in Medicaid physician, laboratory, or hospital costs or in other state funded
programs as a result of the preferred drug list.
(3) The impact of the preferred drug list on the ability of a Medicaid recipient to obtain prescription
drugs.
(4) The number of times prior authorization was requested, and the number of times prior
authorization was:
(A) approved; and
(B) disapproved.
(5) Any recommendations received from the mental health Medicaid quality advisory committee
under section 51(h) of this chapter.
(i) The board shall provide the first report required under subsection (h) not later than six (6) months
after the board submits an initial preferred drug list to the office.
SECTION 115. IC 12-15-35-51, AS AMENDED BY P.L.130-2018, SECTION 50, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 51. (a) As used in this section, "advisory
committee" refers to the mental health Medicaid quality advisory committee established by subsection
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(b).
(b) The mental health Medicaid quality advisory committee is established. The advisory committee
consists of the following members:
(1) The director of the office or the director's designee, who shall serve as chairperson of the
advisory committee.
(2) The director of the division of mental health and addiction or the director's designee.
(3) A representative of a statewide mental health advocacy organization.
(4) A representative of a statewide mental health provider organization.
(5) A representative from a managed care organization that participates in the state's Medicaid
program.
(6) A member with expertise in psychiatric research representing an academic institution.
(7) A pharmacist licensed under IC 25-26.
(8) The commissioner of the department of correction or the commissioner's designee.
The governor shall make the appointments for a term of four (4) years under subdivisions (3) through (7)
and fill any vacancy on the advisory committee.
(c) The office shall staff the advisory committee. The expenses of the advisory committee shall be paid
by the office.
(d) Each member of the advisory committee who is not a state employee is entitled to the minimum
salary per diem provided by IC 4-10-11-2.1(b). The member is also entitled to reimbursement for
traveling expenses as provided under IC 4-13-1-4 and other expenses actually incurred in connection with
the member's duties as provided in the state policies and procedures established by the Indiana department
of administration and approved by the budget agency.
(e) Each member of the advisory committee who is a state employee is entitled to reimbursement for
traveling expenses as provided under IC 4-13-1-4 and other expenses actually incurred in connection with
the member's duties as provided in the state policies and procedures established by the Indiana department
of administration and approved by the budget agency.
(f) The affirmative votes of a majority of the voting members appointed to the advisory committee are
required by the advisory committee to take action on any measure.
(g) The advisory committee shall advise the office and make recommendations concerning the clinical
use of mental health and addiction medications including the implementation of IC 12-15-35.5-7(c), and
consider the following:
(1) Peer reviewed medical literature.
(2) Observational studies.
(3) Health economic studies.
(4) Input from physicians and patients.
(5) Any other information determined by the advisory committee to be appropriate.
(h) The office shall report recommendations made by the advisory committee to the drug utilization
review board established by section 19 of this chapter.
(i) The advisory committee shall select one (1) member of the advisory committee to serve as
representation on the therapeutics committee established by section 20.5 of this chapter.
SECTION 116. IC 12-15-35.5-2.5 IS REPEALED [EFFECTIVE JULY 1, 2025]. Sec. 2.5. As used in
this chapter, "unrestricted access" means the ability of a recipient to obtain a prescribed drug without
being subject to limits or preferences imposed by the office or the board for the purpose of cost savings
except as provided under section 7 of this chapter.
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SECTION 117. IC 12-15-35.5-3, AS AMENDED BY P.L.154-2015, SECTION 3, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 3. (a) Except as provided in subsection (b),
The office may establish prior authorization requirements for drugs covered under a program described
in section 1 of this chapter.
(b) With the exception of prior authorization for "brand medically necessary" of a brand name drug
with a generic equivalent in accordance with IC 16-42-22-10, the office may not require prior
authorization for the following single source or brand name multisource drugs:
(1) A drug that is classified as an antianxiety, antidepressant, or antipsychotic central nervous system
drug in the most recent publication of Drug Facts and Comparisons (published by the Facts and
Comparisons Division of J.B. Lippincott Company).
(2) A drug that, according to:
(A) the American Psychiatric Press Textbook of Psychopharmacy;
(B) Current Clinical Strategies for Psychiatry;
(C) Drug Facts and Comparisons; or
(D) a publication with a focus and content similar to the publications described in clauses (A)
through (C);
is a cross-indicated drug for a central nervous system drug classification described in subdivision
(1).
(3) A drug that is:
(A) classified in a central nervous system drug category or classification (according to Drug Facts
and Comparisons) that is created after March 12, 2002; and
(B) prescribed for the treatment of a mental illness (as defined in the most recent publication of
the American Psychiatric Association's Diagnostic and Statistical Manual of Mental Disorders).
(c) The office may require prior authorization for an addictive medication used as medication assisted
treatment for substance abuse.
(d) Except as provided under section 7 of this chapter, a recipient enrolled in a program described in
section 1 of this chapter shall have unrestricted access to a drug described in subsection (b).
SECTION 118. IC 12-15-35.5-7, AS AMENDED BY P.L.210-2015, SECTION 51, IS AMENDED
TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 7. (a) Subject to subsections (b) and (c),
subsection (b), the office may place limits on quantities dispensed or the frequency of refills for any
covered drug as required by law or for the purpose of:
(1) preventing fraud, abuse, or waste;
(2) preventing overutilization, inappropriate utilization, or inappropriate prescription practices that
are contrary to:
(A) clinical quality and patient safety; and
(B) accepted clinical practice for the diagnosis and treatment of mental illness and the
considerations specified in subsection (h); or
(3) implementing a disease management program.
(b) Before implementing a limit described in subsection (a), the office shall:
(1) consider quality of care and the best interests of Medicaid recipients;
(2) seek the advice of the drug utilization review board, established by IC 12-15-35-19, at a public
meeting of the board; and
(3) publish a provider bulletin that complies with the requirements of IC 12-15-13-6.
(c) Subject to subsection (d), the board may establish and the office may implement a restriction on
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a drug described in section 3(b) of this chapter if:
(1) the board determines that data provided by the office indicates that a situation described in
IC 12-15-35-28(a)(7)(A) through IC 12-15-35-28(a)(7)(K) requires an intervention to:
(A) prevent fraud, abuse, or waste;
(B) prevent overutilization, inappropriate utilization, or inappropriate prescription practices that
are contrary to:
(i) clinical quality and patient safety; and
(ii) accepted clinical practice for the diagnosis and treatment of mental illness; or
(C) implement a disease management program; and
(2) the board approves and the office implements an educational intervention program for providers
to address the situation.
(d) A restriction established under subsection (c) for any drug described in section 3(b) of this chapter:
(1) must comply with the procedures described in IC 12-15-35-35;
(2) may include requiring a recipient to be assigned to one (1) practitioner and one (1) pharmacy
provider for purposes of receiving mental health medications;
(3) may not lessen the quality of care; and
(4) must be in the best interest of Medicaid recipients.
(e) Implementation of a restriction established under subsection (c) must provide for the dispensing
of a temporary supply of the drug for a prescription not to exceed seven (7) business days, if additional
time is required to review the request for override of the restriction. This subsection does not apply if the
federal Food and Drug Administration has issued a boxed warning under 21 CFR 201.57(c)(1) that
applies to the drug and is applicable to the patient.
(f) Before implementing a restriction established under subsection (c), the office shall:
(1) seek the advice of the mental health Medicaid quality advisory committee established by
IC 12-15-35-51; and
(2) publish a provider bulletin that complies with the requirements of IC 12-15-13-6.
(g) Subsections (c) through (f):
(1) apply only to drugs described in section 3(b) of this chapter; and
(2) do not apply to a restriction on a drug described in section 3(b) of this chapter that was approved
by the board and implemented by the office before April 1, 2003.
(h) Restrictions referred to in subsection (c) to prevent overutilization, inappropriate utilization, or
inappropriate prescription practices that are contrary to accepted clinical practices may include the
implementation of the following:
(1) Encouraging dosages that enhance recipient adherence to a drug regimen.
(2) Encouraging monotherapy with limitations on the number of drugs from a specific drug class that
a recipient may be taking at any one (1) time when there is no documentation of the severity and
intensity of the target symptoms.
(3) Limiting the total number of scheduled psychiatric medications that a recipient may be taking
at any one (1) time, when such limit is based on:
(A) established best practices; or
(B) guidelines implemented by the division of mental health and addiction for mental health state
operated facilities.
(4) Encouraging, in accordance with IC 16-42-22-10, generic substitution when such a substitution
would result in a net cost savings to the Medicaid program.
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(i) Restrictions under subsection (h) may be overridden through the prior authorization review process
in cases in which the prescriber demonstrates medical necessity for the prescribed medication.
SECTION 119. IC 12-15-35.5-10 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 10. (a) As used in this section, "340B
covered entity" means an entity authorized to participate in the federal 340B Drug Pricing Program
under Section 340B(a)(4) of the federal Public Health Service Act (42 U.S.C. 256b(a)(4)) and
includes any pharmacy under contract with the entity to dispense drugs on behalf of the entity.
(b) The office of the secretary shall determine whether outpatient prescription drugs prescribed
to Medicaid recipients from a 340B covered entity are eligible for rebates under the 340B drug
pricing program or whether those prescriptions shall be subject to rebates under the Medicaid drug
rebate program under Section 1927 of the federal Social Security Act.
(c) The office of the secretary may adopt rules under IC 4-22-2 and any written policies or
procedures as necessary to implement this section.
SECTION 120. IC 12-16-17 IS REPEALED [EFFECTIVE JANUARY 1, 2025 (RETROACTIVE)].
(Health and Hospital Corporation of Marion County).
SECTION 121. IC 12-17.2-7.2-1, AS AMENDED BY THE TECHNICAL CORRECTIONS BILL OF
THE 2025 GENERAL ASSEMBLY, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON
PASSAGE]: Sec. 1. As used in this chapter, "eligible child" refers to an individual who:
(1) in the case of an individual who is enrolled before May 1, 2025:
(1) (A) is at least four (4) years of age and less than five (5) years of age on August 1 of the state
fiscal year for which a grant is sought under the prekindergarten pilot program;
(2) (B) is a resident of Indiana or otherwise has legal settlement in Indiana, as determined under
IC 20-26-11;
(3) (C) is a member of a household with an annual income that does not exceed one hundred fifty
percent (150%) of the federal poverty level;
(4) (D) receives qualified early education services from an eligible provider, as determined by
the office;
(5) (E) has a parent or guardian who participates in a parental engagement and involvement
component provided by the eligible provider;
(6) (F) has a parent or guardian who agrees to ensure that the child meets the attendance
requirements determined by the office; and
(7) (G) meets the requirements under section 7.2(a) and 7.2(c) of this chapter; and
(2) in the case of an individual who is enrolled on or after May 1, 2025:
(A) is at least four (4) years of age and less than five (5) years of age on August 1 of the state
fiscal year for which a grant is sought under the prekindergarten program;
(B) is a resident of Indiana or otherwise has legal settlement in Indiana, as determined
under IC 20-26-11;
(C) is a member of a household with an annual income that does not exceed one hundred
thirty-five percent (135%) of the federal poverty level;
(D) receives qualified early education services from an eligible provider, as determined by
the office;
(E) has a parent or guardian who participates in a parental engagement and involvement
component provided by the eligible provider;
(F) has a parent or guardian who agrees to ensure that the child meets the attendance
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requirements determined by the office; and
(G) meets the requirements under section 7.2(a) and 7.2(c) of this chapter.
SECTION 122. IC 12-17.2-7.2-7.2, AS AMENDED BY P.L.92-2024, SECTION 18, IS AMENDED
TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 7.2. (a) For an eligible child to qualify
for a prekindergarten voucher under this chapter, the eligible child must reside with a parent or guardian
who is
(1) working or attending a job training or an educational program. or
(2) actively seeking employment, subject to the approval by the United States Department of Health
and Human Services as provided in 45 CFR 98.21.
(b) For a limited eligibility child to qualify for a prekindergarten voucher under this chapter, the
limited eligibility child must reside with a parent or guardian who:
(1) is working or attending a job training or an educational program; or
(2) is actively seeking employment, subject to the approval by the United States Department of
Health and Human Services as provided in 45 CFR 98.21; or
(3) (2) receives Social Security Disability Insurance, Supplemental Security Income benefits, or
disability benefits from the United States Department of Veterans Affairs.
(c) Before the office may provide a prekindergarten voucher to an eligible child, a limited eligibility
child, or a child of a child care employee under this chapter, the office shall require that a parent or
guardian of the child agree to the following:
(1) The child will attend the prekindergarten program of an eligible provider selected by the parent
or guardian for the full duration of the prekindergarten program year.
(2) The parent or guardian will not transfer to another prekindergarten program during the
prekindergarten program year.
(3) The child will attend the prekindergarten program at least eighty-five percent (85%) of the days
that the prekindergarten program is provided.
(4) The parent or guardian will allow the child to participate in an external evaluation conducted by
researchers, including the kindergarten readiness assessment and measuring of developmental and
academic progress.
(5) The parent or guardian will participate in family engagement and involvement activities offered
by the selected prekindergarten program, including meetings with the child's teacher to discuss the
child's progress or any other conference concerning the child that is requested by the eligible
provider.
(6) The parent or guardian will complete the necessary forms for the child to receive a student test
number from the department of education.
(7) The parent or guardian will send the child to kindergarten.
(8) The parent or guardian will read to the child each week.
(9) Any other condition the office determines is appropriate.
(d) Priority shall be given to a child of a child care employee under this section.
(e) Priority may be given to an eligible or limited eligibility child under this section if a parent or
guardian of the eligible or limited eligibility child is:
(1) involved in activities that improve the parent's or guardian's education; or
(2) involved in job training.
SECTION 123. IC 12-21-9-1, AS ADDED BY P.L.152-2024, SECTION 4, IS AMENDED TO READ
AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 1. As used in this chapter, "fund" refers to the
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therapeutic psilocybin and ibogaine research fund established by section 4 of this chapter.
SECTION 124. IC 12-21-9-1.5 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 1.5. (a) As used in this chapter, "ibogaine"
means a naturally occurring psychoactive compound found in the root bark of the iboga.
(b) The term includes ibogaine.
SECTION 125. IC 12-21-9-4, AS ADDED BY P.L.152-2024, SECTION 4, IS AMENDED TO READ
AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 4. The therapeutic psilocybin and ibogaine research
fund is established for the purpose of providing financial assistance to research institutions in Indiana to
study, in accordance with the requirements established in section 7 of this chapter, the use of psilocybin
and ibogaine to treat mental health and other medical conditions.
SECTION 126. IC 12-21-9-7, AS ADDED BY P.L.152-2024, SECTION 4, IS AMENDED TO READ
AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 7. (a) A research institution in Indiana may apply to
the division to receive financial assistance from the fund to conduct one (1) or more clinical studies to
evaluate the efficacy of psilocybin and ibogaine as an alternative treatment for mental health and other
medical conditions, including the following:
(1) Posttraumatic stress disorder, with a focus on treating the disorder in combat veterans and first
responders.
(2) Anxiety.
(3) Depression.
(4) Bipolar disorder.
(5) Chronic pain.
(6) Migraines.
(7) Alcohol use disorder.
(8) Tobacco use disorder.
(b) In conducting a clinical study under this section, a research institution that receives a grant under
this chapter shall do the following:
(1) Include veterans and first responders in the study sample.
(2) Evaluate and determine whether psilocybin is an effective treatment for mental health and other
medical conditions described in subsection (a).
(3) Compare the efficacy of psilocybin as a treatment for mental health and other medical conditions
described in subsection (a) with the efficacy of other current treatment options for mental health and
other medical conditions described in subsection (a).
(4) Before entering the study, require each participant to undergo a mental health evaluation.
SECTION 127. IC 12-29-2-1.1 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 1.1. Beginning after June 30, 2025, if a
community mental health center provides compensation to any individual employee (not including
clinical staff), including salary and benefits, in an amount that is four hundred thousand dollars
($400,000) or more per year then the community mental health center is not eligible to receive
funding from:
(1) local property taxes; or
(2) state programs or grants;
excluding the Medicaid program.
SECTION 128. IC 14-8-2-116.3 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 116.3. "Gold Star family member", for
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purposes of IC 14-19-3-1.5, has the meaning set forth in IC 9-18.5-33-1.
SECTION 129. IC 14-9-8-28, AS AMENDED BY P.L.201-2023, SECTION 144, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2027]: Sec. 28. (a) The natural resources commission shall
categorize salaries of enforcement officers within each rank based upon the rank held and the number of
years of service in the department through the twentieth year. The salary ranges that the commission
assigns to each rank shall be divided into a base salary and fifteen (15) increments above the base salary
with:
(1) the base salary in the rank paid to a person with less than one (1) year of service in the
department; and
(2) the highest salary in the rank paid to a person with at least fifteen (15) years of service in the
department.
(b) The salary matrix prescribed by this section shall be reviewed and approved by the state budget
agency biennially in even-numbered years before implementation.
(c) The salaries for law enforcement officers of the law enforcement division of the department must
be equal to the salaries of police employees of the state police department under IC 10-11-2-13, based
upon years of service in the department and rank held.
(d) The requirement of subsection (c) does not affect:
(1) any rights or liabilities accrued; or
(2) any proceedings begun;
on or before June 30, 1999. Those rights, liabilities, and proceedings continue and shall be imposed and
enforced under prior civil law and procedure as if the requirement of subsection (c) had not been enacted.
(e) The salary matrix prescribed by this section must be adjusted at the same time and in the
same manner as an adjustment required by IC 10-11-2-13(c).
SECTION 130. IC 14-19-3-1, AS AMENDED BY P.L.46-2024, SECTION 1, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 1. (a) The department may not charge a price
of admission to:
(1) inpatients of state or federally owned or operated hospitals or institutions and their supervisors;
(2) foster families who reside together in the same foster family home licensed under IC 31-27-4;
or
(3) individuals who meet the definition of foster youth set forth in IC 31-9-2-47.3; or
(4) a Gold Star family member who displays:
(A) an Indiana Gold Star family member license plate under IC 9-18.5-33; or
(B) a free annual pass;
for the use of any property owned or managed by the department for purposes of this article.
(b) If necessary, the department may adopt rules concerning the appropriate form of identification or
documentation required for admission to a location described in subsection (a).
SECTION 131. IC 14-19-3-1.5 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 1.5. (a) In cooperation with the bureau of
motor vehicles, the department shall:
(1) verify a Gold Star family member's relationship status; and
(2) issue a free annual pass if requested by a Gold Star family member.
(b) A Gold Star family member must be a resident of Indiana to apply for a free annual pass.
(c) The department may adopt rules under IC 4-22-2 to implement this section.
SECTION 132. IC 14-39-1-4, AS AMENDED BY SEA 457-2025, SECTION 1, IS AMENDED TO
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READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 4. (a) A carbon dioxide transmission pipeline
company may that seeks to construct, operate, and maintain a carbon dioxide pipeline in Indiana
must apply to the department for issuance of a carbon dioxide transmission pipeline certificate of
authority. The department shall prescribe the form of the application, which must:
(1) include a filing fee of one thousand dollars ($1,000);
(2) be signed by a responsible officer of the company;
(3) include a statement verifying that the information submitted is true, accurate, and complete to
the best of that responsible officer's knowledge and belief; and
(4) include all information necessary for the department to find the following:
(A) That the applicant, or the contractor or subcontractor of the applicant, has the financial,
managerial, and technical ability to construct, operate, and maintain a carbon dioxide
transmission pipeline in Indiana.
(B) That the applicant, or the contractor or subcontractor of the applicant, has the requisite
experience constructing, operating, and maintaining a transmission pipeline.
(C) That the applicant has entered into a contract to transport carbon dioxide by pipeline in
Indiana with:
(i) at least one (1) producer of carbon dioxide located in Indiana; and
(ii) unless all of the carbon dioxide to be transported in the proposed carbon dioxide
transmission pipeline is for the applicant's own use or account, at least one (1) end user or
storer of carbon dioxide.
(D) That the applicant has provided documentation to the department showing the proposed
length, diameter, and location of the proposed carbon dioxide transmission pipeline in Indiana.
(E) That the applicant will construct, operate, and maintain the proposed carbon dioxide
transmission pipeline in accordance with applicable local, state, and federal law, including
federal and state safety regulations and rules governing the construction, operation, and
maintenance of carbon dioxide transmission pipelines, and related facilities and equipment, to
ensure the safety of pipeline employees and the public.
(F) That the applicant has signed a statement indicating that the applicant agrees to construct a
proposed carbon dioxide transmission pipeline in a manner compliant with the guidelines
adopted under IC 8-1-22.6-8 by the pipeline safety division of the Indiana utility regulatory
commission.
(b) The department shall review an application filed under subsection (a). Subject to subsection (f),
if the department determines that the application is incomplete or inaccurate, or both, the department shall
return the application to the applicant, informing the applicant in writing of the applicant's right to file
a corrected application with the department. If the department determines that the application is complete
and accurate, the department shall provide notice to the applicant of:
(1) that determination; and
(2) the date, time, and location of the public information meeting to be held under subsection (d).
(c) The applicant shall:
(1) upon receipt of a notice under subsection (b):
(A) place for public inspection a copy of the application in a public library located in each county
in which the carbon dioxide transmission pipeline is proposed to be located; and
(B) publish notice, in the same manner that would be required if the applicant were subject to
IC 5-3-1, in each county in which the carbon dioxide transmission pipeline is proposed to be
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located, of:
(i) the name and address of each library in which a copy of the application is placed under
clause (A); and
(ii) the date, time, and location of the public information meeting to be held under subsection
(d);
(2) provide to the department proof of publication of notice under subdivision (1)(B); and
(3) have a representative present at the public information meeting held under subsection (d).
(d) The department shall:
(1) conduct a public information meeting in the county seat of one (1) of the counties, as determined
by the department, in which the proposed carbon dioxide transmission pipeline will be located; and
(2) provide an opportunity at the meeting for members of the public to be briefed and to ask
questions about the proposed carbon dioxide transmission pipeline.
(e) Not later than ninety (90) days after the public information meeting held under subsection (d), the
department shall notify the applicant in writing that:
(1) the department:
(A) has made the findings described in subsection (a)(4); and
(B) has approved the application; or
(2) the department:
(A) has determined that the department is unable to make the findings described in subsection
(a)(4); and
(B) has disapproved the application.
(f) The department shall process a corrected application that is filed as permitted under subsection (b)
in the same manner the department processes an initially filed application under subsection (a).
(g) If the department fails to act under subsection (e) not later than ninety (90) days after the public
information meeting held under subsection (d), the application is considered to be approved by the
department.
(h) If:
(1) the department approves the application under subsection (e)(1); or
(2) the application is considered to be approved as described in subsection (g);
the department shall issue to the applicant a carbon dioxide transmission pipeline certificate of authority.
SECTION 133. IC 14-39-1-4.5, AS ADDED BY SEA 457-2025, SECTION 2, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 4.5. (a) A carbon dioxide transmission pipeline
company is not required to obtain a carbon dioxide transmission pipeline certificate of authority under
section 4 of this chapter if the carbon dioxide transmission pipeline: either of the following applies:
(1) The carbon dioxide transmission pipeline to be constructed and operated:
(1) (A) begins and ends on the surface property above the storage facility; and
(2) (B) does not cross:
(A) (i) public property;
(B) (ii) a public right-of-way; or
(C) (iii) a parcel for which there is an existing easement or for which an the pipeline company
would be required to obtain a right-of-way or easement is required. for the pipeline.
(2) The surface property above the storage facility crosses only one (1) or more of the
following:
(A) An existing private easement.
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(B) A private right-of-way.
(b) A carbon dioxide transmission pipeline company is not required to obtain a carbon dioxide
transmission pipeline certificate of authority under section 4 of this chapter if the surface property above
the storage facility crosses a:
(1) parcel that has an existing private easement;
(2) parcel for which a private easement is required; or
(3) private right-of-way.
SECTION 134. IC 14-39-1-12, AS AMENDED BY SEA 457-2025, SECTION 3, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 12. The department shall deposit fee revenue
received under section 4(a)(1) of this chapter in the state general fund. carbon sequestration project
program administrative fund established by IC 14-39-2-10.5.
SECTION 135. IC 14-39-2-4, AS AMENDED BY SEA 457-2025, SECTION 5, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 4. (a) If at least two (2) pore space owners own
pore space located within a proposed carbon dioxide storage area of a storage facility, the owners may
agree to integrate their interests to develop the pore space as a proposed storage facility for the
underground storage of carbon dioxide.
(b) If all of the owners of the pore space under subsection (a) do not agree to integrate their interests,
the department may issue an order requiring the owners to integrate their interests and to develop the pore
space as a proposed storage facility for the underground storage of carbon dioxide to serve the public
interest, prevent waste, protect correlative rights, and facilitate the efficient and effective use of natural
resources subject to the findings under subsection (c).
(c) Before issuing an order under subsection (b), the department must make the following findings:
(1) That a storage operator:
(A) filed a complete application for a UIC Class VI permit or a complete application for an
amended complete UIC Class VI permit; and
(B) submitted all the necessary information to the United States Environmental Protection
Agency for the agency to process the storage operator's permit application.
(2) That the storage operator has made a good faith effort to obtain the consent of all pore space
owners located within the proposed storage facility.
(3) That the storage operator has obtained the consent of the owners of the pore space underlying
at least seventy percent (70%) of the surface area above the proposed storage facility or amended
proposed storage facility.
(4) That all pore space owners who do not agree to integrate their interests to develop the pore space
as a proposed storage facility for the underground storage of carbon dioxide are equitably
compensated.
(d) A right to pore space granted by this section does not confer a right to enter upon, or otherwise use,
the surface of the land which is integrated under this section unless provided in an order requiring the
owners to integrate their interests and to develop the pore space as a proposed storage facility for the
underground storage of carbon dioxide.
(e) An involuntary integration order issued by the department is effective takes effect fifteen (15) days
after the applicant is issued a UIC Class VI permit or an amended UIC Class VI permit, as applicable.
SECTION 136. IC 14-39-2-5, AS AMENDED BY SEA 457-2025, SECTION 6, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 5. (a) Carbon sequestration projects are
authorized in Indiana for the purposes of:
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(1) injecting carbon dioxide into the pore space of an underground storage facility through at least
one (1) carbon dioxide injection well pursuant to a UIC Class VI permit; and
(2) employing the underground storage of carbon dioxide.
(b) A storage operator may not operate a carbon sequestration project in Indiana without:
(1) a UIC Class VI permit; and
(2) a valid permit issued by the department.
(c) If a carbon sequestration project is owned by an entity other than the storage operator, the storage
operator shall be responsible for obtaining a permit for a carbon sequestration project under subsection
(b). A permit for a carbon sequestration project may be transferred or assigned from one (1) storage
operator to another storage operator.
(d) An individual may apply to the department for a permit for a carbon sequestration project in a form
and manner prescribed by the department.
(e) An application under subsection (d) must include the following:
(1) A filing fee equal to the product of:
(A) the given amount of metric tons of carbon dioxide proposed to be injected into the storage
facility during the first ten (10) years of the permit for the carbon sequestration project;
multiplied by
(B) one cent ($0.01).
The filing fee amount determined under this subdivision shall be collected by the department and
deposited in the state general fund. carbon sequestration project program administrative fund
established by section 10.5 of this chapter.
(2) The signature of the applicant.
(3) A statement verifying that the information submitted is true, accurate, and complete to the best
of applicant's knowledge.
(4) Information illustrating that the applicant has the financial, managerial, and technical ability to
construct, operate, and maintain a carbon sequestration project.
(5) Information illustrating that the applicant or the contractors or subcontractors of the applicant
have the requisite expertise in constructing, operating, and maintaining a carbon sequestration
project.
(6) Documentation to the department describing the scope of the proposed carbon sequestration
project.
(7) A statement describing how the applicant will construct, operate, and maintain the proposed
carbon sequestration project in accordance with applicable local, state, and federal law, including
federal and state safety regulations and rules governing the construction, operation, and maintenance
of the carbon sequestration project, and related facilities and equipment, to ensure the safety of the
carbon sequestration project employees and the public.
(8) A statement that the interests of a mineral lessee or mineral owner will not be adversely affected.
If a mineral owner or mineral lessee is adversely affected, the adversely affected mineral owner or
mineral lessee and the applicant may enter into an agreement under section 4 of this chapter.
(f) After During the first ten (10) years of the permit for a carbon sequestration project, if the carbon
sequestration project injects more metric tons of carbon dioxide into the storage facility than was
proposed under the original application under subsection (e), the storage operator shall pay the filing fee
under subsection (e) for the additional metric tons of carbon dioxide injected into the storage facility
during the first ten (10) years of the permit for the carbon sequestration project.
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(g) A fee paid under this section is not refundable by the department.
SECTION 137. IC 14-39-2-6, AS AMENDED BY SEA 457-2025, SECTION 7, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 6. (a) The department shall review an
application submitted under section 5(d) of this chapter. If the department determines that the application
submitted under section 5(d) of this chapter is complete, the department shall notify the applicant.
(b) The department shall return an application to the applicant if the department determines that the
application is incomplete, inaccurate, or both.
(c) If the department returns an application to an applicant under subsection (b), the department shall
inform the applicant in writing that the applicant may file a corrected application not more than sixty (60)
days after the receipt of the returned application.
(d) Upon receiving a corrected complete application under this section, the department shall review
the application.
(e) Upon receiving notification that an application is complete, the applicant shall:
(1) not more than sixty (60) days after receiving the notice under this subsection:
(A) place for public inspection a copy of the application in a public library located in each
county in which the carbon sequestration project is proposed to be located; for public inspection;
(B) publish notice under IC 5-3-1 in each county in which the carbon sequestration project is
proposed to be located notice of the name and address of each library in which a copy of the
application is placed as required by clause (A); and
(C) provide notice to potentially affected parties under rules adopted by the commission for
carbon sequestration projects; and
(2) provide to the department proof of publication of notice under this subsection not more than
thirty (30) days after the publication or delivery of the notice.
(f) Not later than ninety (90) days after receiving the proof of publication of notice under subsection
(e), the department shall notify the applicant in writing that:
(1) the department has approved the application; or
(2) the department has denied the application.
SECTION 138. IC 14-39-2-7, AS ADDED BY P.L.163-2022, SECTION 2, IS AMENDED TO READ
AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 7. If the department approves an application under
section 5 of this chapter or a corrected application under section 6(c) 6 of this chapter, the department
shall issue to the applicant a carbon sequestration project permit.
SECTION 139. IC 14-39-2-9, AS AMENDED BY SEA 457-2025, SECTION 8, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 9. (a) A storage operator shall pay the
department a fee under the fees described in subsections (b) and (c) for every metric ton of carbon
dioxide injected for storage.
(b) Not later than sixty (60) days after the end of a calendar March 1 of each year, a storage operator
shall pay to the department a fee of eight cents ($0.08) per metric ton of carbon dioxide injected into the
storage facility for the previous during the immediately preceding calendar year. The department shall
deposit the fee into the state general fund. carbon dioxide storage facility trust fund established by
section 10 of this chapter.
(c) Not later than sixty (60) days after the end of the calendar March 1 of each year, in which a storage
operator begins injecting carbon dioxide into a storage facility, the a storage operator shall pay to the
department a one (1) time fee for that is based on the amount of carbon dioxide injected into the storage
facility during the immediately preceding calendar year and that is equal to the product of:
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(1) the given amount number of metric tons of carbon dioxide proposed to be injected into the
storage facility during the first ten (10) years of the carbon sequestration project; immediately
preceding calendar year; multiplied by
(2) five cents ($0.05).
The department shall deposit the fee into the state general fund. carbon sequestration project program
administrative fund established by section 10.5 of this chapter.
SECTION 140. IC 14-39-2-10, AS AMENDED BY SEA 457-2025, SECTION 9, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JUNE 29, 2025]: Sec. 10. (a) The carbon dioxide storage facility
trust fund is established for the purpose of defraying the costs incurred by the department for the
long term monitoring and management of, including monitoring and managing the safety of, carbon
sequestration projects. The fund shall be administered by the department.
(b) The fee Fees collected by the department under section 9 9(b) of this chapter must be deposited
in the carbon dioxide storage facility trust fund established by subsection (a).
(c) The carbon dioxide storage facility trust fund must be maintained as a special fund and all money
in the fund is appropriated and may be used only to defray the costs incurred by the department for the
long term monitoring and management of a carbon sequestration project.
(d) On June 30, 2025, the budget agency shall transfer all money in the fund to the state general fund.
(e) This section expires July 1, 2025.
(d) The fund consists of the following:
(1) Money deposited in or distributed to the fund under this article.
(2) Donations, gifts, grants, and money received from any other source, including
appropriations or transfers from other funds or accounts.
(e) The treasurer of state shall invest the money in the fund not currently needed to meet the
obligations of the fund in the same manner as other public money may be invested.
(f) Money in the fund at the end of a state fiscal year does not revert to the state general fund.
(g) Money in the fund is continuously appropriated to the department to carry out the purposes
of this article, subject to review by the budget committee.
SECTION 141. IC 14-39-2-10.5 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 10.5. (a) The carbon sequestration project
program administrative fund is established for the purpose of defraying the cost of administrative
expenses incurred by the department to manage and operate the carbon sequestration project
program. The fund shall be administered by the department.
(b) The fund consists of the following:
(1) Money deposited in or distributed to the fund under this article.
(2) Donations, gifts, grants, and money received from any other source, including
appropriations or transfers from other funds or accounts.
(c) The expenses of administering the fund shall be paid from money in the fund.
(d) Money in the fund at the end of a state fiscal year does not revert to the state general fund.
However, if the amount of money in the fund at the end of a particular fiscal year exceeds seven
hundred fifty thousand dollars ($750,000), the treasurer of state shall transfer the excess in the fund
to the state general fund.
SECTION 142. IC 14-39-2-11.5, AS ADDED BY SEA 457-2025, SECTION 11, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 11.5. (a) The department shall issue a permit
for a person to: A person may not:
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(1) drill, deepen, or operate a nonproduction well drilled to investigate and obtain data on geological,
structural, or hydrogeological stratigraphic intervals for the suitability of underground formations
for carbon sequestration; or
(2) convert a well for oil and gas purposes (as defined by IC 14-8-2-317) for carbon dioxide
investigations;
without first obtaining a permit issued by the department under this section.
(b) A person issued a permit under subsection (a) this section shall do the following:
(1) Comply with the conditions of a the permit as determined by to the satisfaction of the
department;
(2) Correct any adverse environmental impact that results from noncompliance with a permit. and
(3) Provide for the proper operation and maintenance for of all:
(A) facilities;
(B) treatment systems; of treatment, and
(C) control and related appurtenances;
that are installed or used by the person to comply with the permit conditions.
(c) A permit issued under this section does not convey to the holder a property right or an exclusive
privilege.
(d) An application for a permit under subsection (a) must include the following:
(1) The name, address, telephone number, and electronic mail address of the applicant.
(2) The signature of the applicant or the applicant's designee. that is The applicant must be the
operator named identified in the permit application.
(3) An identification of the plat of land or lease where the well is to be located, along with a
description of the property boundaries, lease lines, and storage area tract boundary, and including
the acreage within the tract, as applicable.
(4) The location of the proposed well as certified by a professional surveyor registered under
IC 25-21.5.
(5) The surface elevation of the proposed well and the method used for determining that elevation.
(6) The depth of the proposed well.
(7) Proof the applicant executed of a surface use agreement with executed by the applicant and
the surface owner, and including an agreement demonstrating the applicant is not trespassing on the
subsurface estate, if different from the surface estate. specifying that in acting as authorized under
a permit issued by the department under this section, the operator does not commit trespass
with respect to the subsurface estate in any case in which the subsurface estate is separate
from the surface estate.
(8) Any other information required by the department that is necessary to administer this section.
(e) An applicant shall submit the following with an application for a permit under this section:
(1) For each well included in the application, a cash bond for each well of ten dollars ($10) for
each foot of well depth.
(2) A permit fee of two hundred fifty dollars ($250) payable to the department.
An amount collected under this subsection must be deposited in the state general fund. The department
shall deposit all amounts collected under this subsection in the carbon sequestration project
program administrative fund established by section 10.5 of this chapter.
(f) The department shall incorporate in the a permit issued under this section the terms, conditions,
and covenants the department considers necessary to protect the public interest.
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(g) Except as provided in subsection (h), the department shall issue a permit under this section not later
than fifteen (15) days after the applicant:
(1) complies demonstrates compliance with all relevant:
(A) provisions of this article; and
(B) rules adopted under this article;
as determined by the department; and
(2) submits a complete permit application under this section to the department;
unless the fifteen (15) day deadline prescribed by this subsection is otherwise waived by the applicant.
(h) The department may deny a permit under this section if the applicant, or an officer, a partner, or
a director of the applicant:
(1) either:
(A) is in violation of this article at the time of the application; or
(B) would be in violation if the permit were issued; or
(2) has previously demonstrated a pattern of willful violations of this article.
indicating an intention not to comply with this article.
(i) Except as provided in subsection (j), a permit issued by the department under this section is
effective with respect to a particular well remains in effect until any of the following occurs:
(1) The well is plugged and abandoned.
(2) The well is converted to another type of well. or
(3) The permit is revoked by the department under subsection (k).
(j) A permit issued by the department under this section expires one (1) year after the date of issuance
if the drilling the of a well for which the permit has been issued has not commenced within that time.
(k) The department may revoke a permit issued under this section.
(l) Subject to subsection (m), a person holding a permit under this section shall plug and abandon a
well that is no longer in operation under a permit, unless the well is converted to a carbon dioxide
injection well or monitoring well under a UIC Class Vl permit.
(m) A person holding a permit under this section may defer plugging and abandoning a well under
this section while an application is pending to convert the well into a UIC Class VI permit carbon dioxide
injection well or monitoring well, under this section, provided that as long as the well is temporarily
capped and maintained in the manner prescribed by the department under in the permit.
(n) After a well is plugged and abandoned or transferred, the applicant who paid the cash bond under
subsection (e) may apply for a request a total or partial bond release from the department. The director
of the division of reclamation shall:
(1) release the bond as requested; or
(2) deny the bond release.
(o) A determination by the department under this section is subject to review and appeal under
IC 4-21.5.
(p) The commission may adopt rules under IC 4-22-2 to implement this section.
SECTION 143. IC 14-39-2-13, AS AMENDED BY SEA 457-2025, SECTION 12, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 13. (a) A certificate of project completion shall
be issued upon the application from by the storage operator if the department finds that the storage
operator does the following:
(1) The storage operator is in compliance with all applicable laws governing the storage facility.
(2) The storage operator shows that the storage facility is reasonably expected to retain the carbon
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dioxide stored therein. in the storage facility.
(3) The storage operator shows that the carbon dioxide in the storage facility is stable by showing
that either:
(A) the stored carbon dioxide is essentially stationary; or
(B) if the stored carbon migrates, the migration will be is unlikely to cross the boundaries of the
storage facility.
(4) The storage operator shows that all wells, equipment, and facilities used after the closure period
are in good condition and retain mechanical integrity.
(5) The storage operator shows that injection wells have been plugged.
(6) The storage operator shows that equipment and facilities, not including fixed structures and long
term monitoring equipment and wells, have been removed.
(7) The storage operator proves that the reclamation work required by the department where the
project ceases to inject carbon dioxide is completed.
(8) The following with respect to site closure:
(A) The storage operator has provided a notice of intent for site closure to the United States
Environmental Protection Agency.
(B) The United States Environmental Protection Agency has authorized site closure.
(C) The storage operator has provided: to the United States Environmental Protection Agency:
(i) the site closure report required under 40 CFR 146.93(f) (as in effect January 1, 2022) to the
United States Environmental Protection Agency; or
(ii) a comparable report to the state regulatory body if the state assumes primacy for UIC Class
VI permitting.
(b) The department shall issue a certificate of project completion not later than one hundred eighty
(180) days after receiving an application from the storage operator. If the department determines that the
application for a certificate of project completion is incomplete, inaccurate, or both, the department shall
return the application to the storage operator.
(c) If the department returns the application to the storage operator under subsection (b), the
department shall inform the storage operator, in writing, of the deficiencies of the submitted application
and inform the storage operator of the right to file a corrected application with the department.
(d) Once a certificate of completion is issued, the following occurs: apply:
(1) Except as provided in subsection (e), the state will assume ownership of and responsibility for
the storage facility.
(2) The state will assume responsibility for all regulatory requirements associated with the storage
facility, and the storage operator and the owner of the storage facility are released from responsibility
for all regulatory requirements associated with the storage facility.
(3) The state will assume any potential liability associated with the storage facility.
(4) The department may, at a reasonable time, enter property where on which a carbon dioxide
injection well or monitoring well for the storage facility is located to inspect and maintain the carbon
dioxide injection well or storage facility. Except in the event of an emergency, the department shall
provide advance notice to the surface owner of the surface property of the date the department
intends to enter the property. The notice required by this subdivision must be provided at least
five (5) business days before the department intends to enter the property. The notice must be issued
delivered by:
(A) United States mail;
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(B) private courier;
(C) personal delivery; or
(D) any other manner agreed to in writing between the department and the surface owner of the
surface property.
(e) The state may: only:
(1) assume ownership of and responsibility for; or
(2) accept transfer of;
a storage facility for with respect to which an interest in or rights to property are conveyed by a lease
agreement only if the lessor and lessee agree in the lease agreement to transfer the storage facility in the
lease agreement to the state. In a transfer described in this subsection, the state only assumes ownership
of and responsibility for the storage facility only and does not assume any other ownership of or interest,
responsibility, for or liability under any other provisions of the lease agreement.
(f) Unless there is documentation to the contrary, the storage operator has title to the carbon dioxide
injected into and stored in a storage facility, and the storage operator holds title until the department
issues a certificate of completion.
SECTION 144. IC 14-39-2-15, AS ADDED BY SEA 457-2025, SECTION 13, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 15. (a) A violation of person that violates a
requirement under this article is subject to a civil penalty under this section.
(b) Except as provided in subsection (d), a civil penalty for a violation person that violates a
requirement under this article is shall pay to the department a civil penalty as follows:
(1) One thousand dollars ($1,000) for a first violation.
(2) Five thousand dollars ($5,000) for a second violation.
(3) Ten thousand dollars ($10,000) for a third and each subsequent violation.
(c) If a person issued a civil penalty under subsection (b) for a violation of a requirement under this
article does not remediate remedy the violation in the time prescribed by the department, the person is
subject to a cessation order issued by the department. The civil penalty for A person that is issued a
cessation order is under this section must pay a civil penalty of seven hundred fifty dollars ($750) each
per day, for not more than thirty (30) days, for each day the violation remains unremedied.
(d) If a person who does not obtain the proper certificates or permits from the department a certificate
or permit required under this article:
(1) is subject the person shall pay to the department a civil penalty of ten thousand dollars
($10,000); and
(2) shall be issued the department shall issue to the person a cessation order by the department
in the amount of seven hundred fifty dollars ($750) each day for not more than thirty (30) days. in
accordance with subsection (c).
(e) A civil penalty or cessation order assessed or issued under this section is subject to review and
appeal under IC 4-21.5.
(f) The department shall deposit civil penalties collected under this chapter in the state general fund.
carbon dioxide storage facility trust fund established by section 10 of this chapter.
SECTION 145. IC 14-39-2-16 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 16. (a) Not later than September 1, 2030,
the department shall submit to the budget committee a report that sets forth the following
information:
(1) The number of metric tons of carbon dioxide injected into the pore space in Indiana during
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the period:
(A) beginning January 1, 2025; and
(B) ending June 30, 2030.
(2) Costs incurred by the department to administer the carbon sequestration project program
under this chapter during the period:
(A) beginning January 1, 2023; and
(B) ending June 30, 2030.
(3) Estimates of:
(A) the amount of carbon dioxide to be injected into the pore space in Indiana under the
carbon sequestration project program; and
(B) the costs to the department to administer the carbon sequestration project program
under this chapter;
during the period beginning July 1, 2030, and ending June 30, 2034.
(b) Not later than September 1, 2034, the department shall submit to the budget committee a
report that sets forth the following information:
(1) The amount of money collected by the department under this chapter during the period:
(A) beginning July 1, 2030; and
(B) ending June 30, 2034.
(2) Costs incurred by the department to administer the carbon sequestration project program
under this chapter during the period:
(A) beginning July 1, 2030; and
(B) ending June 30, 2034.
(3) Estimates of:
(A) the amount of money the department anticipates collecting under this chapter; and
(B) the costs to the department to administer the carbon sequestration project program
under this chapter;
during the period beginning July 1, 2034, and ending June 30, 2040.
(4) A recommendation as to the amount of any adjustment to fees under this chapter necessary
to ensure the financial viability of the underground storage of carbon dioxide.
(c) This section expires January 1, 2041.
SECTION 146. IC 16-18-2-14, AS AMENDED BY P.L.179-2022(ss), SECTION 3, IS AMENDED
TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 14. (a) "Ambulatory outpatient surgical
center", for purposes of IC 16-19, IC 16-21, IC 16-32-5, and IC 16-38-2, means a public or private
institution that meets the following conditions:
(1) Is established, equipped, and operated primarily for the purpose of performing surgical
procedures and services.
(2) Is operated under the supervision of at least one (1) licensed physician or under the supervision
of the governing board of the hospital if the center is affiliated with a hospital.
(3) Permits a surgical procedure to be performed only by a physician, dentist, or podiatrist who
meets the following conditions:
(A) Is qualified by education and training to perform the surgical procedure.
(B) Is legally authorized to perform the procedure.
(C) Is privileged to perform surgical procedures in at least one (1) hospital within the county or
an Indiana county adjacent to the county in which the ambulatory outpatient surgical center is
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located.
(D) Is admitted to the open staff of the ambulatory outpatient surgical center.
(4) Requires that a licensed physician with specialized training or experience in the administration
of an anesthetic supervise the administration of the anesthetic to a patient and remain present in the
facility during the surgical procedure, except when only a local infiltration anesthetic is
administered.
(5) Provides at least one (1) operating room and, if anesthetics other than local infiltration
anesthetics are administered, at least one (1) postanesthesia recovery room.
(6) Is equipped to perform diagnostic x-ray and laboratory examinations required in connection with
any surgery performed.
(7) Does not provide accommodations for patient stays of longer than twenty-four (24) hours.
(8) Provides full-time services of registered and licensed nurses for the professional care of the
patients in the postanesthesia recovery room.
(9) Has available the necessary equipment and trained personnel to handle foreseeable emergencies
such as a defibrillator for cardiac arrest, a tracheotomy set for airway obstructions, and a blood bank
or other blood supply.
(10) Maintains a written agreement with at least one (1) hospital for immediate acceptance of
patients who develop complications or require postoperative confinement.
(11) Provides for the periodic review of the center and the center's operations by a committee of at
least three (3) licensed physicians having no financial connections with the center.
(12) Maintains adequate medical records for each patient.
(13) Meets all additional minimum requirements as established by the state department for building
and equipment requirements.
(14) Meets the rules and other requirements established by the state department for the health,
safety, and welfare of the patients.
(b) The term does not include a birthing center.
(c) "Ambulatory outpatient surgical center", for purposes of IC 16-34, refers to an institution described
in subsection (a) and that has a majority ownership by a hospital licensed under IC 16-21.
SECTION 147. IC 16-18-2-67.1, AS AMENDED BY P.L.202-2018, SECTION 3, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 67.1. (a) "Comprehensive care health facility",
for purposes of IC 16-19 and IC 16-28-2.5, has the meaning set forth in IC 16-28-2.5-3.
(b) "Comprehensive care health facility", for purposes of IC 16-29-7, has the meaning set forth in
IC 16-29-7-3.
SECTION 148. IC 16-18-2-293.1 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 293.1. "Private mental health institution",
for purposes of IC 16-19, means an inpatient hospital setting licensed pursuant to IC 12-25,
including inpatient and outpatient services provided in that setting, for treatment and care of
individuals with psychiatric disorders or chronic addictive disorders, or both, that is physically,
organizationally, and programmatically independent of any hospital or health facility licensed by
the state department.
SECTION 149. IC 16-18-2-317.7, AS AMENDED BY P.L.147-2021, SECTION 2, IS AMENDED
TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 317.7. "Residential care facility", for
purposes of:
(1) IC 16-19;
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(1) (2) IC 16-28-2;
(2) (3) IC 16-28-6.5;
(3) (4) IC 16-28-11-8 (expired); and
(4) (5) IC 16-32-5;
means an entity licensed under IC 16-28 and registered as a housing with services establishment under
IC 12-10-15.
SECTION 150. IC 16-19-5-5 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 5. (a) As used in this section, "plan review"
means a review of plans for a project to determine if it complies with the state department's rules.
(b) As used in this section, "project" means the construction, addition, or renovation of a new
or existing:
(1) ambulatory outpatient surgical center;
(2) comprehensive care health facility;
(3) hospital;
(4) private mental health institution; or
(5) residential care facility.
(c) The health care engineering fund is established for the purpose of providing funds for plan
reviews for the facilities listed in this section. The state department shall administer the fund. The
fund consists of the plan review fees collected pursuant to this section. Money in the fund does not
revert to the state general fund. Money in the fund is continuously appropriated for the purposes
of the fund.
(d) A fee shall be assessed for each plan review. The amount of the fee for each plan review is ten
cents ($0.10) per square foot of the project, but not less than a minimum fee of:
(1) for hospitals and private mental health facilities:
(A) five hundred fifty dollars ($550) for new facilities; and
(B) three hundred dollars ($300) for alterations to existing facilities;
(2) for ambulatory outpatient surgical centers:
(A) four hundred fifty dollars ($450) for new facilities; and
(B) three hundred dollars ($300) for alterations to existing facilities; and
(3) for comprehensive care health facilities:
(A) one hundred fifty dollars ($150) for new facilities; and
(B) one hundred fifty dollars ($150) for alterations to existing facilities.
Fees collected under this subsection shall be deposited in the health care engineering fund
established by subsection (c).
(e) The following administrative rules are void:
(1) 410 IAC 6-12-17(1)(C).
(2) 410 IAC 6-12-17(1)(D).
(3) 410 IAC 6-12-17(1)(E).
(4) 410 IAC 6-12-17(1)(F).
SECTION 151. IC 16-20-1-12, AS AMENDED BY P.L.164-2023, SECTION 19, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 12. (a) This section applies to a local health
department in a county where the county executive has voted to receive additional funding to provide core
public health services.
(b) Before July 1, 2023, the state department shall identify state level metrics for measuring the
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delivery of the core public health services and progress on preventing or reducing the prevalence of health
issues impacting Indiana residents. Before December 31, 2024, the state department shall, in coordination
with local health departments in a county described in subsection (a), identify the county level metrics
for measuring the delivery of the core public health services.
(c) Except as provided in subsection (d), the local board of health shall spend the additional funds for
core public health services as follows:
(1) At least sixty percent (60%) on the following core public health services:
(A) Communicable disease prevention and control.
(B) Vital statistics.
(C) Tobacco prevention and cessation.
(D) (C) Supporting student health as set forth in IC 16-18-2-79.5(14).
(E) (D) Child fatality review.
(F) (E) Suicide and overdose fatality review.
(G) (F) Maternal and child health.
(H) (G) Testing and counseling for HIV, hepatitis C, and other sexually transmitted infections,
in accordance with IC 20-30-5-13.
(I) (H) Tuberculosis control and case management.
(J) (I) Emergency preparedness.
(K) (J) Referrals to clinical care as set forth in IC 16-18-2-79.5(22).
(L) (K) The prevention and reduction of chronic illnesses.
(M) (L) Screening and case management for childhood lead exposure and poisoning.
(N) (M) Health promotion and education for preventing trauma and injury.
(O) (N) Access to childhood and adult immunizations.
(2) Not more than forty percent (40%) on the following core public health services:
(A) Food protection.
(B) Pest and vector control and abatement.
(C) Inspection and testing of public and semipublic pools.
(D) Residential onsite sewage system permitting and inspections.
(E) Orders for the decontamination of property used to illegally manufacture a controlled
substance.
(F) Sanitary inspections and surveys of public buildings.
(G) Sanitary operation of tattoo parlors and body piercing facilities.
(H) Sanitary operations of facilities where eyelash extensions are applied.
(d) A local health department may request a waiver from the percentage requirements set forth in
subsection (c) if the following are met:
(1) The local health department files a written waiver request with the state department in a manner
prescribed by the state department.
(2) The state department shall consider the waiver request submitted under subdivision (1). If the
state department approves the waiver request, the state department shall notify the budget committee
of any waiver that the state department approves and include a review of the waiver.
(e) Each local health department that provides core public health services shall report, using
de-identified, aggregate data, the activities and metrics on the delivery of the core public health services
to the state department semi-annually, in the form and manner determined by the state department.
(f) The state department shall:
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(1) collect and analyze the information reported to the state department under subsection (e); and
(2) before July 1, 2024, develop and publish on the Internet a web page that tracks the metrics
identified in subsection (b) and indicates any progress made in these metrics.
(g) The state department shall provide a report annually on the information collected in subsection (e)
to the legislative council in an electronic format under IC 5-14-6.
(h) The state department shall annually present the metrics determined under this section to the budget
committee.
(i) A county that accepts additional funding to provide core public health services does not transfer
any authority under statute in operating the local health department to the state department in return for
the additional funding.
(j) Before a local health department may hire or contract for the provision or administration of core
public health services, the local health department shall post the position or contract to the public for at
least thirty (30) days.
SECTION 152. IC 16-21-10-10, AS ADDED BY P.L.205-2013, SECTION 214, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2025 (RETROACTIVE)]: Sec. 10. This section:
(1) is effective upon implementation of the fee; and
(2) does not apply to funds under IC 12-16-17 (before its repeal).
Notwithstanding any other law, the part of the amounts appropriated for or transferred to the hospital care
for the indigent program for the state fiscal year beginning July 1, 2013, and each state fiscal year
thereafter that are not required to be paid to the office by law shall be used exclusively as state share
dollars for the payments described in sections 8(a) and 11 of this chapter. Any hospital care for the
indigent funds that are not required for the payments described in sections 8(a) and 11 of this chapter after
the cessation of the collection of the fee under section 6(b) of this chapter shall be used for the state share
dollars of the payments in IC 12-15-20-2(8)(G)(ii) through IC 12-15-20-2(8)(G)(x).
SECTION 153. IC 16-28-15-14, AS AMENDED BY P.L.201-2023, SECTION 149, IS AMENDED
TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 14. This chapter expires June 30, 2025.
2027.
SECTION 154. IC 16-41-42.2-3, AS AMENDED BY P.L.200-2015, SECTION 2, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 3. (a) The spinal cord and brain injury fund
is established to fund research on spinal cord and brain injuries.
(b) The fund shall be administered by the state department.
(c) The fund consists of:
(1) appropriations;
(2) gifts and bequests;
(3) fees deposited in the fund by law; and
(4) grants received from the federal government or private sources.
(d) The expenses of administering the fund shall be paid from money in the fund.
(e) The treasurer of state shall invest the money in the fund not currently needed to meet the
obligations of the fund in the same manner as other public money may be invested.
(f) Money in the fund at the end of a state fiscal year does not revert to the state general fund.
(g) The money in the fund is continually appropriated to the state department to fund the purposes
specified in section 4 of this chapter.
SECTION 155. IC 16-46-10-3, AS AMENDED BY P.L.164-2023, SECTION 47, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 3. (a) Funding provided a local board of
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health under section 2.2 or 2.3 of this chapter may be used by the local board to provide any of the
following services:
(1) Core public health services.
(2) Any statutorily required actions for a local health department.
(3) Evidence based programs to prevent or reduce the prevalence of health issues or improve the
health and behavioral health of Indiana residents as outlined in the plan described in IC 16-30-3-2.
(b) Money granted a local board of health from the local public health fund may not be used for any
purpose other than for the services listed in this section.
(c) A county may not use more than ten percent (10%) of the funds received under section 2.2 or 2.3
of this chapter during a fiscal year for capital expenditures, including:
(1) the purchase, construction, or renovation of buildings or other structures;
(2) land acquisition; and
(3) the purchase of vehicles and other transportation equipment.
(d) Funds used for capital expenditures under subsection (c) must be included on the annual financial
report required under section 2.2(f) or 2.3(c) of this chapter and posted on the local health department's
website.
(e) Before funds may be used to hire or contract for the provision or administration of core public
health services, the local health department shall post the position or contract to the public for at least
thirty (30) days.
(f) Funds may only be used for Indiana residents who are legal citizens of the United States.
SECTION 156. IC 16-51-1-1, AS ADDED BY P.L.203-2023, SECTION 18, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 1. (a) This chapter applies to an Indiana
nonprofit hospital system.
(b) This chapter does not apply to the following:
(1) A hospital licensed under IC 16-21-2 that is operated by:
(A) a county;
(B) a city pursuant to IC 16-23; or
(C) the health and hospital corporation established under IC 16-22-8.
(2) A critical access hospital that meets the criteria under 42 CFR 485.601 through 42 CFR 485.647.
(3) A rural health clinic (as defined in 42 U.S.C. 1396d(l)(1)).
(4) A federally qualified health center (as defined in 42 U.S.C. 1396d(l)(2)(B)).
(5) An oncology treatment facility, even if owned or operated by a hospital.
(6) A health facility licensed under IC 16-28.
(7) A community mental health center certified under IC 12-21-2-3(5)(C).
(8) A private mental health institution licensed under IC 12-25, including a service facility location
for a private mental health institution and reimbursed as a hospital-based outpatient service site.
(9) Services provided for the treatment of individuals with psychiatric disorders or chronic addiction
disorders in:
(A) any part of a hospital, whether or not a distinct part; or
(B) an outpatient off campus site that is within thirty-five (35) miles of a hospital.
(10) Billing under the Medicare program or a Medicare advantage plan.
(11) Billing under the Medicaid program.
SECTION 157. IC 16-51-1-11, AS ADDED BY P.L.203-2023, SECTION 18, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 11. (a) As used in this section, "physician
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fee schedule" refers to the negotiated agreement between a payor and a qualified provider
specifying reimbursement for services furnished in an office setting and billed on a CMS 1500 form
or its electronic equivalent.
(a) (b) A bill for health care services provided by a qualified provider in an office setting:
(1) may not be submitted on an institutional provider form; and
(2) must be submitted on an individual provider form.
(b) (c) An insurer, health maintenance organization, employer, or other person responsible for the
payment of the cost of health care services provided by a qualified provider in an office setting A payor
shall not accept a bill for the health care services that is submitted on an institutional provider form.
(d) A qualified provider in an office setting may not bill health care services with a place of
service code 21 or 22, as published in the place of service code set maintained by the federal Centers
for Medicare and Medicaid Services.
(e) Beginning January 1, 2026, a payor shall pay the claims incurred by an in-network qualified
provider based on the physician fee schedule.
SECTION 158. IC 20-18-2-22, AS AMENDED BY P.L.246-2023, SECTION 24, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JUNE 30, 2025]: Sec. 22. (a) "Teacher" means a professional person
whose position in a school corporation requires certain educational preparation and licensing and whose
primary responsibility is the instruction of students.
(b) Except as provided in subsections (d) and (e), for purposes of IC 20-28, the term includes the
following:
(1) A superintendent who holds a license under IC 20-28-5.
(2) A principal.
(3) A teacher.
(4) A librarian.
(5) A school counselor.
(6) A school psychologist.
(c) For purposes of IC 20-43-10-3.5, IC 20-43-16, the term means a professional person whose
position with a:
(1) school corporation;
(2) special education cooperative established under IC 20-35-5;
(3) cooperative career and technical education program;
(4) special education program established by an interlocal agreement under IC 36-1-7;
(5) joint program agreement established under IC 20-26-10; or
(6) charter school;
requires a license (as defined in IC 20-28-1-7) and whose primary responsibility is the instruction of
students in the classroom or virtual classroom.
(d) "Teacher" for purposes of IC 20-28-9-26 and IC 20-28-9-27, means a classroom teacher licensed
under IC 20-28-5 who provides instruction to students for at least fifty percent (50%) of the teacher's work
day.
(e) For purposes of IC 20-28-9-28, the term includes an adjunct teacher, school counselor, and
permanent substitute teacher employed by a school corporation.
SECTION 159. IC 20-19-1-4 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 4. (a) Not later than December 1, 2026,
the secretary of education shall provide a report and recommendation in an electronic format
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under IC 5-14-6 to the general assembly concerning:
(1) aligning state funding for dual credit and the advanced placement program with the new
high school diploma established under IC 20-19-2-21; and
(2) expanding access to dual credit course work to all Indiana students.
(b) This section expires July 1, 2027.
SECTION 160. IC 20-19-2-2.2, AS AMENDED BY P.L.43-2021, SECTION 45, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 2.2. (a) The state board consists of the
following members:
(1) The secretary of education.
(2) Eight (8) members appointed by the governor. The following provisions apply to members of the
state board appointed under this subdivision:
(A) At least six (6) members appointed under this subdivision must have professional experience
in the field of education as provided in subsection (b).
(B) Members shall be appointed from different parts of Indiana with not more than one (1)
member being appointed from a particular congressional district.
(C) Not more than five (5) members of the state board may be appointed from the membership
of any one (1) political party.
(D) Subject to subsection (h), at least one (1) member shall be a practicing licensed special
education teacher or special education director at the time the member is appointed.
(3) One (1) member, who is not a member of the general assembly, appointed by the speaker of the
house of representatives.
(4) One (1) member, who is not a member of the general assembly, appointed by the president pro
tempore of the senate.
(b) For purposes of subsection (a), an individual is considered to have professional experience in the
field of education if the individual has teaching or leadership experience at a postsecondary educational
institution or is currently employed as, or is retired from a position as:
(1) a teacher;
(2) a principal;
(3) an assistant superintendent; or
(4) a superintendent.
(c) A quorum consists of six (6) members of the state board. An action of the state board is not official
unless the action is authorized by at least six (6) members.
(d) The members of the state board shall elect a chairperson and vice chairperson annually from the
members of the state board. The vice chairperson shall act as chairperson in the absence of the
chairperson.
(e) Except as otherwise provided in subsection (f), each member appointed under subsection (a)(2)
through (a)(4) serves a four (4) year term. The term begins on July 1.
(f) A member appointed under subsection (a)(2) through (a)(4) may be removed from the state board
by the member's appointing authority for just cause. Vacancies in the appointments to the state board shall
be filled by the appointing authority. A member appointed under this subsection serves for the remainder
of the unexpired term.
(g) The state board shall meet at a minimum at least one (1) time each month. year. The state board
shall establish the date of the next monthly meeting during the monthly a meeting of the state board. In
addition to the monthly annual meeting required under this subsection, the state board shall meet at the
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call of the chairperson.
(h) This subsection expires July 1, 2024. The governor shall appoint a member who has the
qualifications described in subsection (a)(2)(D) for the first appointment made by the governor to fill a
vacancy on the state board after March 31, 2020.
SECTION 161. IC 20-19-3-28.5, AS ADDED BY P.L.202-2023, SECTION 13, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 28.5. (a) As used in this section, "CSA
participating entity" has the meaning set forth in IC 20-51.4-2-3.2.
(b) As used in this section, "skill competency" has the meaning set forth in IC 20-51.4-2-11.
(c) The department shall publish on the department's website a list of skill competencies identified by
CSA participating entities who are providing training and education approved by the department and the
commission for higher education under IC 20-51.4-4.5-6.
SECTION 162. IC 20-20-38-0.5 IS REPEALED [EFFECTIVE JULY 1, 2025]. Sec. 0.5. As used in
this chapter, "cabinet" refers to the governor's workforce cabinet established by IC 4-3-27-3.
SECTION 163. IC 20-20-38-4, AS AMENDED BY P.L.152-2018, SECTION 6, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 4. (a) The state board shall develop and
implement a long range state plan for a comprehensive secondary level career and technical education
program in Indiana.
(b) The plan developed under this section must be updated as changes occur. The state board shall
make the plan and any revisions made to the plan available to:
(1) the governor;
(2) the general assembly;
(3) the department of workforce development;
(4) the commission for higher education;
(5) the cabinet;
(6) (5) the board for proprietary education; and
(7) (6) any other appropriate state or federal agency.
A plan or revised plan submitted under this section to the general assembly must be in an electronic
format under IC 5-14-6.
(c) The plan developed under this section must set forth specific goals for secondary level public
career and technical education and must include the following:
(1) The preparation of each graduate for both employment and further education.
(2) Accessibility of career and technical education to individuals of all ages who desire to explore
and learn for economic and personal growth.
(3) Projected employment opportunities in various career and technical education fields.
(4) A study of the supply of and the demand for a labor force skilled in particular career and
technical education areas.
(5) A study of technological and economic change affecting Indiana.
(6) An analysis of the private career and education sector in Indiana.
(7) Recommendations for improvement in the state career and technical education program.
(8) The educational levels expected of career and technical education programs proposed to meet
the projected employment needs.
(d) When making any revisions to the plan, the state board shall consider the workforce needs and
training and education needs identified in the occupational demand report prepared by the department of
workforce development under IC 22-4.1-4-10.
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(e) The state board shall use data from the department of workforce development to develop and
implement a plan or make revisions to a plan under this section.
SECTION 164. IC 20-20-38-6, AS AMENDED BY P.L.143-2019, SECTION 13, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 6. (a) The state board shall do the following:
(1) Make recommendations to the general assembly concerning the development, duplication, and
accessibility of employment training and career and technical education on a regional and statewide
basis.
(2) Consult with any state agency, commission, or organization that supervises or administers
programs of career and technical education concerning the coordination of career and technical
education, including the following:
(A) The Indiana economic development corporation.
(B) The cabinet.
(C) (B) A private industry council (as defined in 29 U.S.C. 1501 et seq.).
(D) (C) The department of labor.
(E) (D) The commission for higher education.
(F) (E) The department of workforce development.
(G) (F) The board for proprietary education.
(H) (G) The department of veterans' affairs.
(3) Review and make recommendations concerning plans submitted by the commission for higher
education. and the cabinet. The state board may request the resubmission of plans or parts of plans
that:
(A) are not consistent with the long range state plan of the state board;
(B) are incompatible with other plans within the system; or
(C) duplicate existing services.
(4) Report to the general assembly on the state board's conclusions and recommendations concerning
interagency cooperation, coordination, and articulation of career and technical education and
employment training. A report under this subdivision must be in an electronic format under
IC 5-14-6.
(5) Study and develop a plan concerning the transition between secondary level career and technical
education and postsecondary level career and technical education.
(b) The state board shall use data from the department of workforce development in carrying out the
state board's duties under this section.
SECTION 165. IC 20-20-38-11, AS AMENDED BY P.L.143-2019, SECTION 14, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 11. Upon request of the budget director, the
state board shall prepare a legislative budget request for state funds for secondary and postsecondary
career and technical education. The budget director shall determine the period to be covered by the budget
request. This budget request must be made available to the cabinet commission for higher education
before the request's review by the budget committee.
SECTION 166. IC 20-20-38-12, AS AMENDED BY P.L.143-2019, SECTION 15, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 12. (a) The state board shall review the
legislative budget requests for secondary and postsecondary career and technical education prepared by
the state educational institutions.
(b) After the review under subsection (a) and a review of any recommendations from the cabinet,
commission for higher education, the state board shall make recommendations to the budget committee
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concerning the appropriation of state funds for secondary and postsecondary career and technical
education. The state board's recommendations concerning appropriations and allocations for secondary
and postsecondary career and technical education by secondary schools and state educational institutions
must specify:
(1) the categories of expenditures and the distribution plan or formula for secondary schools; and
(2) the categories of expenditures for each state educational institution.
(c) After reviewing the state board's recommendations, and each agency's budget request, the budget
committee shall make recommendations to the general assembly for funding to implement secondary and
postsecondary career and technical education. The general assembly shall biennially appropriate state
funds for secondary and postsecondary career and technical education and allocate federal funds available
under 20 U.S.C. 2301 et seq. for secondary and postsecondary career and technical education. At least
sixty percent (60%) of the federal funds available under 20 U.S.C. 2301 et seq. must be allocated to
secondary level career and technical education to implement the long range state plan developed under
section 4 of this chapter.
(d) The budget agency, with the advice of the state board, and the budget committee, may augment or
proportionately reduce an allocation of federal funds made under subsection (c).
(e) The state board shall use data from the department of workforce development in making a
recommendation under this section.
SECTION 167. IC 20-20-38-13, AS AMENDED BY P.L.152-2018, SECTION 10, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 13. The state board shall distribute state funds
made available for secondary and postsecondary career and technical education that have been
appropriated by the general assembly and in accordance with the plan prepared by:
(1) the state board under section 5 of this chapter; and
(2) the cabinet commission for higher education. under IC 22-4.1-19-4.
SECTION 168. IC 20-24-7-13.5, AS AMENDED BY P.L.201-2023, SECTION 155, IS AMENDED
TO READ AS FOLLOWS [EFFECTIVE JUNE 29, 2025]: Sec. 13.5. (a) This section applies to the
following charter schools:
(1) The Excel Centers for Adult Learners.
(2) The Christel House DORS centers.
(3) The Gary Middle College charter schools.
(b) Notwithstanding any other law, for a state fiscal year, a charter school described in subsection (a)
is entitled to receive funding from the state in an amount equal to the product of:
(1) the charter school's number of students who are Indiana residents (expressed as full-time
equivalents); multiplied by
(2) six thousand seven hundred fifty dollars ($6,750) beginning July 1, 2017.
(c) However, in the case of the charter school described in subsection (a)(3), the funding under this
section applies only for those students who are twenty-two (22) years of age and older. In addition, the
total number of students (expressed as full-time equivalents) of all adult learners in charter schools
covered by this section may not exceed the following
(1) For the 2023-2024 state fiscal year:
(A) For the Christel House DORS centers, one thousand (1,000) adult learner students.
(B) For the Gary Middle College charter schools, two hundred fifty (250) adult learner students.
(C) For the Excel Centers for Adult Learners, five thousand three hundred fifty (5,350) adult
learner students.
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(2) for the 2024-2025 2025-2026 and 2026-2027 state fiscal year: years:
(A) (1) For the Christel House DORS centers, one thousand (1,000) adult learner students.
(B) (2) For the Gary Middle College charter schools, two hundred fifty (250) adult learner students.
(C) (3) For the Excel Centers for Adult Learners, six thousand five hundred fifty (6,550) adult
learner students.
(d) A charter school described in subsection (a) is entitled to receive federal special education funding.
(e) The state funding under this section shall be paid each state fiscal year under a schedule set by the
budget agency and approved by the governor. However, the schedule shall provide for at least twelve (12)
payments, that one (1) payment shall be made at least every forty (40) days, and the aggregate of the
payments in each state fiscal year shall equal the amount required under this section. However, if the
appropriations for this purpose are insufficient, the distributions to each recipient shall be reduced
proportionately.
(f) A charter school that receives funding as provided in this section must report the following
information annually to the state board and (in an electronic format under IC 5-14-6) to the legislative
council, on a schedule specified by the state board:
(1) The number of adult learners enrolled in the charter school during the preceding year.
(2) The demographics of the adult learners enrolled in the charter school during the preceding year
(in a format requested by the state board).
(3) The graduation rates of the adult learners enrolled in the charter school during the preceding
year.
(4) The outcomes for adult learners enrolled in the charter school, as of graduation and as of two (2)
years after graduation. A charter school must include information concerning students' job placement
outcomes, information concerning students' matriculation into higher education, and any other
information concerning outcomes required by the state board.
(g) This section expires June 30, 2025. 2027.
SECTION 169. IC 20-25.7-5-2, AS AMENDED BY P.L.162-2024, SECTION 9, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JUNE 29, 2025]: Sec. 2. (a) The board may enter into an agreement
with an organizer to reconstitute an eligible school as a participating innovation network charter school
or to establish a participating innovation network charter school at a location selected by the board within
the boundary of the school corporation. Notwithstanding IC 20-26-7.1, a participating innovation network
charter school may be established within a vacant school building.
(b) The terms of the agreement entered into between the board and an organizer must specify the
following:
(1) A statement that the organizer authorizes the department to include the charter school's
performance assessment results under IC 20-31-8 when calculating the school corporation's
performance assessment under rules adopted by the state board.
(2) Subject to an administrative fee as described in subsection (g), a statement that the school
corporation will distribute at least one hundred percent (100%) of state tuition support dollars that
the school corporation receives from student enrollment in the participating innovation network
charter school in accordance with the school funding formula to the participating innovation network
charter school (if the participating innovation network charter school is treated in the same manner
as a school operated by the school corporation under subsection (d)(2)).
(3) The performance goals and accountability metrics agreed upon for the charter school in the
charter agreement between the organizer and the authorizer and a statement that the school
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corporation is prohibited from setting additional performance goals or accountability metrics.
(4) For an agreement entered into or renewed after June 30, 2023, the process the board is required
to follow in determining whether to renew the agreement.
(5) The amount of money levied as property taxes that will be distributed by the school corporation
to the organizer.
(6) Subject to section 5 of this chapter, the participating innovation network charter school's
enrollment and discipline policies, including defined attendance areas and enrollment zones.
(7) A statement that the innovation agreement shall not create an obligation that would cause the
organizer to be in violation of its charter agreement (as described in IC 20-24-1-3).
(c) If an organizer and the board enter into an agreement under subsection (a), the organizer and the
board shall notify the department that the agreement has been made under this section within thirty (30)
days after the agreement is entered into.
(d) Upon receipt of the notification under subsection (c), for school years starting after the date of the
agreement:
(1) the department shall include the participating innovation network charter school's performance
assessment results under IC 20-31-8 when calculating the school corporation's performance
assessment under rules adopted by the state board;
(2) the department shall treat the participating innovation network charter school in the same manner
as a school operated by the school corporation when calculating the total amount of state funding
to be distributed to the school corporation unless subsection (e) applies; and
(3) if requested by a participating innovation network charter school that reconstitutes an eligible
school, the department may use student growth as the state board's exclusive means to determine the
innovation network charter school's category or designation of school improvement under 511
IAC 6.2-10-10 for a period of three (3) years. Beginning with the 2019-2020 school year, the
department may not use student growth as the state board's exclusive means to determine an
innovation network charter school's category or designation of school improvement. This subdivision
expires July 1, 2023.
(e) If a participating innovation network school was established before January 1, 2016, and for the
current school year has a complexity index that is greater than the complexity index for the school
corporation that the innovation network school has contracted with, the innovation network school shall
be treated as a charter school for purposes of determining tuition support. This subsection expires June
30, 2025. 2027.
(f) If the board or organizer fails to follow the process described in subsection (b)(4), the board or
organizer may appeal to the state board. The state board shall hear the appeal in a public meeting and
ensure that the board or organizer follows the renewal process specified in the agreement. The board may
not terminate an agreement until the board has provided evidence to the state board that the board has
complied with the renewal process specified in the agreement. The state board shall issue a decision on
an appeal under this subsection not later than sixty (60) days after the date the board or organizer
submitted the appeal to the state board.
(g) If an administrative fee is included in an agreement entered into or renewed after June 30, 2023,
under this section, the fee may not exceed one percent (1%) of the total amount of state tuition support
that is distributed to the school corporation based on the participating innovation network charter school's
student enrollment.
(h) An agreement entered into between the board and an organizer under this section may not be
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altered without written approval from the organizer.
SECTION 170. IC 20-26-11-17, AS AMENDED BY P.L.146-2008, SECTION 472, IS AMENDED
TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 17. (a) Each year before the date specified
in the rules adopted by the state board, a school corporation shall report the information specified in
subsection (b) for each student:
(1) for whom tuition support is paid by another school corporation;
(2) for whom tuition support is paid by the state; and
(3) who is enrolled in the school corporation but has the equivalent of a legal settlement in another
state or country;
to the department.
(b) Each school corporation shall provide the following information for each school year for each
category of student described in subsection (a):
(1) The amount of tuition support and other support received for the students described in subsection
(a).
(2) The operating expenses, as determined under section 13 of this chapter, incurred for the students
described in subsection (a).
(3) Special equipment expenditures that are directly related to educating students described in
subsection (a).
(4) The number of transfer students described in subsection (a).
(5) Any other information required under the rules adopted by the state board after consultation with
the office of the secretary of family and social services.
(c) The information required under this section shall be reported in the format and on the forms
specified by the state board.
(d) Not later than November 30 of each year the department shall compile the information required
from school corporations under this section and submit the compiled information in the form specified
by the office of the secretary of family and social services to the office of the secretary of family and
social services.
(e) Not later than December 31 of each year, the office of the secretary of family and social services
shall submit a report to the members of the budget committee and the executive director of the legislative
services agency that compiles and analyzes the information required from school corporations under this
section. The report must identify the types of state and local funding changes that are needed to provide
adequate state and local money to educate transfer students. A report submitted under this subsection to
the executive director of the legislative services agency must be in an electronic format under IC 5-14-6.
SECTION 171. IC 20-28-9-27, AS AMENDED BY P.L.150-2024, SECTION 25, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JUNE 30, 2025]: Sec. 27. (a) As used in this section, "funding floor"
means the amount a school corporation expended for full-time teacher salaries during a particular state
fiscal year.
(b) Subject to subsections (d) and (e), if the amount of state tuition support distributed to a school
corporation for a particular state fiscal year is greater than the amount of state tuition support distributed
to the school corporation for the preceding state fiscal year, the school corporation may not expend an
amount for full-time teacher salaries during the particular state fiscal year that is less than the funding
floor for the preceding state fiscal year.
(c) For purposes of this section, the amount a school corporation expends for full-time teacher salaries
shall include the amount the school corporation expends for participating in a special education
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cooperative or a career and technical education cooperative that is directly attributable to the salaries of
full-time teachers employed by the cooperative, as determined by the department.
(d) For purposes of this subsection, stipends paid using teacher appreciation grants under
IC 20-43-10-3.5 IC 20-43-16 are not considered. If a school corporation has awarded stipends to a
majority of the school corporation's teachers in each of the two (2) preceding consecutive state fiscal
years, an amount equal to the lesser of the total amount of stipends awarded in each of those state fiscal
years shall be added to the school corporation's funding floor for the preceding state fiscal year described
under subsection (b).
(e) Beginning after June 30, 2024, for each state fiscal year that a school corporation fails to meet the
expenditure requirements regarding full-time teacher salaries under subsection (b), the department shall
submit in both a written and an electronic format a notice to the school corporation's:
(1) superintendent;
(2) school business officer; and
(3) governing body;
that the school corporation failed to meet the requirements set forth in subsection (b) for the applicable
state fiscal year.
(f) If a school corporation's governing body receives a notice from the department under subsection
(e), the school corporation shall do the following:
(1) Publicly acknowledge receipt of the notice from the department at the governing body's next
public meeting.
(2) Enter into the governing body's official minutes for the meeting described in subdivision (1)
acknowledgment of the notice.
(3) Not later than thirty (30) days after the meeting described in subdivision (1), publish on the
school corporation's website:
(A) the department's notice; and
(B) any relevant individual reports prepared by the department.
(g) If the department determines a school corporation that received one (1) or more notices from the
department under subsection (e) has met the expenditure requirements required under subsection (b) for
a subsequent state fiscal year, the school corporation may remove from the school corporation's website
any:
(1) notices the school corporation received under subsection (e); and
(2) relevant individual reports prepared by the department under subsection (f)(3).
SECTION 172. IC 20-28-9-28, AS AMENDED BY P.L.150-2024, SECTION 26, AND AS
AMENDED BY P.L.136-2024, SECTION 43, AND AS AMENDED BY THE TECHNICAL
CORRECTIONS BILL OF THE 2025 GENERAL ASSEMBLY, IS CORRECTED AND AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 28. (a) Subject to subsection (g), (c), For each
school year in a state fiscal year beginning after June 30, 2023, a school corporation shall expend an
amount for teacher compensation that is not less than an amount equal to sixty-two percent (62%) of the
state tuition support, other than the state tuition support described in subsection (b), distributed to the
school corporation during the state fiscal year. For purposes of determining whether a school corporation
has complied with this requirement, the amount a school corporation expends for teacher compensation
shall include the amount the school corporation expends for adjunct teachers, supplemental pay for
teachers, stipends, and for participating in a special education cooperative or an interlocal agreement or
consortium that is directly attributable to the compensation of teachers employed by the cooperative or
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interlocal agreement or consortium. The amount a school corporation expends on teacher compensation
shall also include the amount the school corporation expends on dropout recovery educational services
for an at-risk student enrolled in the school corporation provided by an agreement with an eligible school
that is directly attributable to the compensation of teachers employed by the eligible school. Teacher
benefits include all benefit categories collected by the department for Form 9 purposes.
(b) If a school corporation determines that the school corporation cannot comply with the requirement
under subsection (a) for a particular school year, the school corporation shall apply for a waiver from
the department.
(c) The waiver application must include an explanation of the financial challenges, with detailed data,
that preclude the school corporation from meeting the requirement under subsection (a) and describe
the cost saving measures taken by the school corporation in attempting to meet the requirement in
subsection (a). The waiver may also include an explanation of an innovative or efficient approach in
delivering instruction that is responsible for the school corporation being unable to meet the requirement
under subsection (a).
(d) If, after review, the department determines that the school corporation has exhausted all
reasonable efforts in attempting to meet the requirement in subsection (a), the department may grant the
school corporation a one (1) year exception from the requirement.
(e) A school corporation that receives a waiver under this section shall work with the department to
develop a plan to identify additional cost saving measures and any other steps that may be taken to allow
the school corporation to meet the requirement under subsection (a).
(f) A school corporation may not receive more than three (3) waivers under this section.
(b) State tuition support distributed to a school corporation for students enrolled in the school
corporation who are receiving one hundred percent (100%) virtual instruction from a teacher employed
by a third party provider with whom the school corporation has contracted is not included as state tuition
support distributed to the school corporation for purposes of subsection (a).
(g) (c) For purposes of determining whether a school corporation has complied with the requirement
in subsection (a), distributions from the curricular materials fund established by IC 20-40-22-5 that are
deposited in a school corporation's education fund in a state fiscal year are not considered to be state
tuition support distributed to the school corporation during the state fiscal year.
(c) (h) (d) (c) Before November 1, 2022, and before November 1 of each year thereafter, the
department shall submit a report to the legislative council in an electronic format under IC 5-14-6 and the
state budget committee that contains information as to:
(1) the percent and amount that each school corporation expended and the statewide total expended
for teacher compensation;
(2) the percent and amount that each school corporation expended and statewide total expended for
teacher benefits, including health, dental, life insurance, and pension benefits; and
(3) whether the school corporation met the requirement set forth in subsection (a). and
(4) whether the school corporation received a waiver under subsection (d).
(e) (d) The department shall publish the report described in subsection (d) (c) on the department's
website.
(f) (e) Beginning after June 30, 2024, for each state fiscal year that a school corporation fails to
expend the amount for teacher compensation as required under subsection (a), the department shall
submit in both a written and an electronic format a notice to the school corporation's:
(1) superintendent;
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(2) school business officer; and
(3) governing body;
that the school corporation failed to meet the requirements set forth in subsection (a) for the applicable
state fiscal year.
(g) (f) If a school corporation's governing body receives a notice from the department under
subsection (f), (e), the school corporation shall do the following:
(1) Publicly acknowledge receipt of the notice from the department at the governing body's next
public meeting.
(2) Enter into the governing body's official minutes for the meeting described in subdivision (1)
acknowledgment of the notice.
(3) Not later than thirty (30) days after the meeting described in subdivision (1), publish on the
school corporation's website:
(A) the department's notice; and
(B) any relevant individual reports prepared by the department.
(h) (g) If the department determines a school corporation that received one (1) or more notices from
the department under subsection (f) (e) has met the expenditure requirements required under subsection
(a) for a subsequent state fiscal year, the school corporation may remove from the school corporation's
website any:
(1) notices the school corporation received under subsection (f); (e); and
(2) relevant individual reports prepared by the department under subsection (g)(3). (f)(3).
SECTION 173. IC 20-29-6-4, AS AMENDED BY P.L.217-2017, SECTION 101, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JUNE 30, 2025]: Sec. 4. (a) A school employer shall bargain
collectively with the exclusive representative on the following:
(1) Salary.
(2) Wages.
(3) Salary and wage related fringe benefits, including accident, sickness, health, dental, vision, life,
disability, retirement benefits, and paid time off as permitted to be bargained under IC 20-28-9-11.
(b) Salary and wages include the amounts of pay increases available to employees under the
compensation plan adopted under IC 20-28-9-1.5, but do not include the teacher evaluation procedures
and criteria, any components of the teacher evaluation plan, rubric, or tool, or any performance stipend
or addition to base salary based on a stipend to an individual teacher under IC 20-43-10-3.5. IC 20-43-16.
SECTION 174. IC 20-29-6-4.5, AS AMENDED BY P.L.217-2017, SECTION 102, IS AMENDED
TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 4.5. (a) For a contract entered into after
June 30, 2011, a school employer may not bargain collectively with the exclusive representative on the
following:
(1) The school calendar.
(2) Teacher dismissal procedures and criteria.
(3) Restructuring options available to a school employer under federal or state statutes, regulations,
or rules because of the failure of the school corporation or a school to meet federal or state
accountability standards.
(4) The ability of a school employer to contract, partner, or operate jointly with an educational entity
that provides postsecondary credits to students of the school employer or dual credits from the
school employer and the educational entity.
(5) Contract costs for curricular materials (as defined in IC 20-18-2-2.7).
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(5) (6) Any subject not expressly listed in section 4 of this chapter.
(b) For a contract entered into after January 1, 2015, for a school year beginning after June 30, 2015,
a school employer may not bargain collectively with the exclusive representative for the following:
(1) A matter described in subsection (a).
(2) A matter that another statute specifies is not subject to collective bargaining, including
IC 20-28-9-1.5 and IC 20-43-10-3.5. IC 20-43-16.
(c) A subject set forth in subsection (a) or (b) that may not be bargained collectively may not be
included in an agreement entered into under this article.
SECTION 175. IC 20-29-6-12.5, AS AMENDED BY P.L.159-2020, SECTION 62, IS AMENDED
TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 12.5. (a) Before September 15 of the first
year of the state budget biennium, the department shall provide the parties with an estimate of the general
fund (before January 1, 2019) or education fund (after December 31, 2018) revenue available for
bargaining in the school corporation from the school funding formula.
(b) Within thirty (30) days after the date of the fall count of ADM of the school year in the first year
of the state budget biennium, the department shall provide the parties with a certification of estimated
general fund (before January 1, 2019) or education fund (after December 31, 2018) revenue available for
bargaining from the school funding formula. If the parties do not receive a certified estimate from the
department within thirty (30) days after the fall count of ADM, the parties may use the school
corporation's estimate of the general fund (before January 1, 2019) or education fund (after December 31,
2018) revenue available based on the school corporation's fall count of ADM for purposes of collective
bargaining. However, if the parties subsequently receive the certification of estimated general fund
(before January 1, 2019) or education fund (after December 31, 2018) revenue available for bargaining
before an impasse is declared, the parties shall use the certified general fund (before January 1, 2019) or
education fund (after December 31, 2018) revenue from the school funding formula for purposes of
collective bargaining.
(c) A school employer shall exclude contract costs for curricular materials as defined in
IC 20-18-2-2.7 from the revenue available for bargaining in the school corporation from the school
funding formula determined under subsections (a) and (b).
(c) (d) A school employer that passes a resolution under section 3(c) of this chapter to consider a
portion or percentage of money transferred from the school employer's operations fund to the education
fund as education fund revenue for purposes of determining whether an agreement places a school
corporation in a position of deficit financing must submit a copy of the resolution to the department of
local government finance on or before November 1. The resolution shall include:
(1) all transfers between the operations fund and the education fund; and
(2) a statement regarding whether or not the transfer is for the purpose of funding teacher contracts.
(d) (e) The certifications or estimate described in subsection (b) must be the basis for determinations
throughout impasse proceedings under this chapter.
SECTION 176. IC 20-29-6-16, AS AMENDED BY P.L.217-2017, SECTION 104, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JUNE 30, 2025]: Sec. 16. (a) If an agreement has not been reached
on the items to be bargained collectively by November 1, as provided in IC 6-1.1-17-5, the parties shall
continue the terms of the current contract that is in effect, and the school employer may issue tentative
individual contracts and prepare its budget on that basis. During this period, in order to allow the
successful resolution of the dispute, the school employer may not unilaterally change the terms or
conditions of employment that are issues in dispute.
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(b) Upon the expiration of the current contract that is in effect, except for teacher appreciation grant
stipends and additions to base salary provided under IC 20-43-10-3.5, IC 20-43-16, the school employer
shall continue under the terms of the current contract that is in effect, with no increase or increment in
salary, wages, or benefits for any bargaining unit employee until a new contract is executed.
(c) The only parts of the contract that must continue under this section are the items contained in the
contract and listed in section 4 of this chapter.
(d) This section may not be construed as relieving the school employer or the school employee
organization from the duty to bargain collectively until a mutual agreement has been reached and a
contract entered as called for in this chapter.
SECTION 177. IC 20-32-4-15, AS ADDED BY P.L.18-2022, SECTION 13, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 15. (a) The following definitions apply
throughout this section:
(1) "Utility career cluster" means a list:
(A) compiled for purposes of college and career pathways relating to career and technical
education under section 1.5(g) of this chapter; and
(B) setting forth industries or occupational fields that:
(i) are related to the provision of utility services; and
(ii) share similar knowledge and skill training requirements.
(2) "Utility services" includes:
(A) production, transmission, or distribution of electricity;
(B) acquisition, transportation, distribution, or storage of natural gas;
(C) provision of communications service (as defined in IC 8-1-32.5-3);
(D) treatment, storage, or distribution of water; and
(E) collection or treatment of wastewater.
(b) Not later than December 31, 2022:
(1) the state board shall, for purposes of approving under section 1.5(g) of this chapter sequences
of courses leading to student concentrators in industries or occupational fields related to the
provision of utility services, approve a utility career cluster; and
(2) the governor's workforce cabinet (before its repeal) shall, in consultation with the state board,
the department, and the department of workforce development, create one (1) or more course
sequences:
(A) each of which consists of courses approved by the state board for purposes of college and
career pathways relating to career and technical education under section 1.5(g) of this chapter;
and
(B) each of which provides students with knowledge and skills necessary for employment in an
industry or occupational field in the utility career cluster.
(c) Subject to subsection (d), in creating one (1) or more course sequences under subsection (b)(2)
or as described in subsection (d), the governor's workforce cabinet (before its repeal), in consultation
with the state board, the department, and the department of workforce development, shall:
(1) consider the impact of course sequences on the long term outcomes of students; and
(2) prioritize course sequences that lead to high wage, high demand jobs.
(d) After June 30, 2025, following the repeal of the governor's workforce cabinet, if new course
sequences are created under this chapter, the commission for higher education shall work in
consultation with the state board, the department, and the department of workforce development
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in place of the governor's workforce cabinet in the manner set forth under subsection (b)(2) in
creating the new course sequences.
SECTION 178. IC 20-32-4-16, AS ADDED BY P.L.18-2022, SECTION 14, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 16. (a) This section applies to any:
(1) career clusters approved or amended by the state board under this chapter after June 30, 2022;
or
(2) course sequences created or amended by the governor's workforce cabinet (before its repeal)
or the commission for higher education under this chapter after June 30, 2022.
(b) The governor's workforce cabinet commission for higher education shall do the following:
(1) Collect data each year regarding approved career clusters and course sequences to inform
decision making around approving, creating, and amending current and future career clusters and
course sequence requirements.
(2) Prepare and submit, not later than November 1 of each year, a report to the legislative council
in an electronic format under IC 5-14-6 regarding the data collected under subdivision (1).
SECTION 179. IC 20-33-5-9 IS REPEALED [EFFECTIVE JULY 1, 2025]. Sec. 9. (a) As used in this
section, "accredited nonpublic school" means a nonpublic school that:
(1) has voluntarily become accredited under IC 20-31-4.1; or
(2) is accredited by a national or regional accrediting agency that is recognized by the state board.
(b) If a parent of a child or an emancipated minor who is enrolled in an accredited nonpublic school
meets the financial eligibility standard under section 2 of this chapter, the parent or the emancipated
minor may receive a reimbursement from the department as provided in this chapter for the costs incurred
by the parent or emancipated minor for curricular materials.
(c) The department shall provide each accredited nonpublic school with sufficient application forms
for assistance, prescribed by the state board of accounts.
(d) Each accredited nonpublic school shall provide the parents or emancipated minors who wish to
apply for assistance with:
(1) the appropriate application forms; and
(2) any assistance needed in completing the application form.
(e) The parent or emancipated minor shall submit the application to the accredited nonpublic school.
The accredited nonpublic school shall make a determination of financial eligibility subject to appeal by
the parent or emancipated minor.
(f) If a determination is made that the applicant is eligible for assistance, subsection (b) applies.
(g) To be guaranteed some level of reimbursement from the department, the principal or other designee
shall submit the reimbursement request before November 1 of a school year.
(h) In its request, the principal or other designee shall certify to the department:
(1) the number of students who are enrolled in the accredited nonpublic school and who are eligible
for assistance under this chapter;
(2) the costs incurred in providing curricular materials (including curricular materials used in special
education and high ability classes);
(3) that the curricular materials described in subdivision (2) (except any curricular materials used
in special education classes and high ability classes) have been adopted by the governing body; and
(4) any other information required by the department.
(i) The amount of reimbursement that a parent or emancipated minor is entitled to receive shall be
determined as provided in IC 20-40-22-7.
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(j) The accredited nonpublic school shall distribute the money received under IC 20-40-22-8 to the
appropriate eligible parents or emancipated minors.
(k) Section 7(c) of this chapter applies to parents or emancipated minors as described in this section.
(l) The accredited nonpublic school and the department shall maintain complete and accurate
information concerning the number of applicants determined to be eligible for assistance under this
section.
(m) The state board shall adopt rules under IC 4-22-2 to implement this section.
SECTION 180. IC 20-33-5-9.5 IS REPEALED [EFFECTIVE JULY 1, 2025]. Sec. 9.5. (a) This section
applies to reimbursements made under this chapter in the state fiscal year beginning after June 30, 2013.
(b) The amount of reimbursement that a school corporation or an accredited nonpublic school (as
defined in section 9(a) of this chapter) is entitled to receive under section 7 or 9 of this chapter in a state
fiscal year is equal to the amount determined in the following STEPS:
STEP ONE: Determine the amount appropriated to make reimbursements under this chapter for the
state fiscal year.
STEP TWO: Determine the total number of eligible students for which reimbursement was
requested under either section 7 or 9 of this chapter before November 1 of the previous calendar year
by all school corporations and accredited nonpublic schools.
STEP THREE: Divide the result determined in STEP ONE by the number determined in STEP
TWO.
STEP FOUR: Multiply:
(A) the STEP THREE result; by
(B) the number of eligible students for which reimbursement was requested under section 7 or
9 of this chapter before November 1 of the state fiscal year by the school corporation or the
accredited nonpublic school.
SECTION 181. IC 20-33-5-14 IS REPEALED [EFFECTIVE JULY 1, 2025]. Sec. 14. (a) The school
curricular materials reimbursement contingency fund is established to reimburse eligible parents of
children who attend accredited nonpublic schools and emancipated minors who attend accredited
nonpublic schools as provided in section 9 of this chapter for assistance provided under this chapter. The
fund consists of money appropriated to the fund by the general assembly. The secretary of education shall
administer the fund.
(b) The treasurer of state shall invest the money in the school curricular materials reimbursement
contingency fund not currently needed to meet the obligations of the fund in the same manner as other
public funds may be invested.
SECTION 182. IC 20-37-2-14 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 14. (a) The definitions in IC 20-51.4-2 apply
throughout this section.
(b) A school corporation or a career and technical education cooperative may not charge:
(1) a career scholarship student enrolled in the CSA program; or
(2) an intermediary (as defined in IC 21-18-1-3.5) acting on behalf of a career scholarship
student described in subdivision (1);
a tuition or fee amount to enroll in or attend a career and technical education program, course, or
class that is more than the highest tuition amount that the school corporation or cooperative
receives or charges a student who is enrolled in the school corporation or in a school corporation
who is a member of the cooperative, whichever is applicable, for the same career and technical
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education program, course, or class.
SECTION 183. IC 20-40-2-3, AS AMENDED BY P.L.136-2024, SECTION 44, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 3. Distributions of
(1) tuition support and
(2) money for curricular materials;
shall be received in the education fund.
SECTION 184. IC 20-40-22 IS REPEALED [EFFECTIVE JULY 1, 2025]. (Curricular Materials
Fund).
SECTION 185. IC 20-43-1-1, AS AMENDED BY P.L.201-2023, SECTION 197, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JUNE 29, 2025]: Sec. 1. This article expires June 30, 2025. 2027.
SECTION 186. IC 20-43-3-8, AS AMENDED BY P.L.201-2023, SECTION 200, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JUNE 29, 2025]: Sec. 8. A school corporation's foundation amount
is the following:
(1) Six thousand five hundred ninety dollars ($6,590) for the state fiscal year beginning July 1, 2023.
(2) Six thousand six hundred eighty-one dollars ($6,681) for the state fiscal year beginning July 1,
2024.
(1) Six thousand nine hundred sixty-seven dollars ($6,967) for the state fiscal year beginning
July 1, 2025.
(2) Seven thousand seventy-one dollars ($7,071) for the state fiscal year beginning July 1, 2026.
SECTION 187. IC 20-43-6-3, AS AMENDED BY P.L.201-2023, SECTION 204, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JUNE 29, 2025]: Sec. 3. (a) A school corporation's basic tuition
support for a state fiscal year is the amount determined under the applicable provision of this section.
(b) This subsection applies to a school corporation that does not have any students in the school
corporation's current ADM for the year for whom, of the instructional services that the students receive
from the school corporation, at least fifty percent (50%) is virtual instruction. The school corporation's
basic tuition support for a state fiscal year is equal to the amount determined under STEP FOUR of the
following formula:
STEP ONE: Multiply the foundation amount by the school corporation's current ADM.
STEP TWO: Multiply the school corporation's complexity index by:
(A) for the state fiscal year beginning July 1, 2023, three thousand nine hundred eighty-three
dollars ($3,983); and
(B) for the state fiscal year beginning July 1, 2024, four thousand twenty-four dollars ($4,024).
(A) for the state fiscal year beginning July 1, 2025, four thousand one dollars ($4,001); and
(B) for the state fiscal year beginning July 1, 2026, four thousand fifteen dollars ($4,015).
STEP THREE: Multiply the STEP TWO amount by the school corporation's current ADM.
STEP FOUR: Determine the sum of the STEP ONE amount and the STEP THREE amount.
(c) This subsection applies to a school corporation that has students in the school corporation's current
ADM for the year for whom, of the instructional services that the students receive from the school
corporation, at least fifty percent (50%) is virtual instruction. The school corporation's basic tuition
support for a state fiscal year is equal to the amount determined under STEP SEVEN of the following
formula:
STEP ONE: Determine the total number of students in the school corporation's current ADM for the
year for whom, of the instructional services that the students receive from the school corporation,
at least fifty percent (50%) is virtual instruction.
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STEP TWO: Determine the result of the school corporation's current ADM for the year minus the
STEP ONE amount.
STEP THREE: Determine the result of:
(A) the foundation amount; multiplied by
(B) the STEP TWO amount.
STEP FOUR: Determine the result of:
(A) the STEP ONE amount; multiplied by
(B) eighty-five percent (85%) of the foundation amount.
STEP FIVE: Multiply the school corporation's complexity index by:
(A) for the state fiscal year beginning July 1, 2023, three thousand nine hundred eighty-three
dollars ($3,983); and
(B) for the state fiscal year beginning July 1, 2024, four thousand twenty-four dollars ($4,024).
(A) for the state fiscal year beginning July 1, 2025, four thousand one dollars ($4,001); and
(B) for the state fiscal year beginning July 1, 2026, four thousand fifteen dollars ($4,015).
STEP SIX: Multiply the STEP FIVE amount by the school corporation's current ADM.
STEP SEVEN: Determine the sum of the STEP THREE amount, the STEP FOUR amount, and the
STEP SIX amount.
SECTION 188. IC 20-43-7-6, AS AMENDED BY P.L.201-2023, SECTION 205, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JUNE 29, 2025]: Sec. 6. A school corporation's special education
grant for a state fiscal year is equal to the sum of the following:
(1) The nonduplicated count of pupils in programs for severe disabilities level one (1), including
multiple disabilities, orthopedic impairment, emotional disability requiring full-time placement,
severe intellectual disability, autism spectrum disorders, and traumatic brain injury, multiplied by
the following:
(A) Eleven thousand one hundred four dollars ($11,104) for the state fiscal year beginning July
1, 2023.
(B) Eleven thousand six hundred fifty-nine dollars ($11,659) for the state fiscal year beginning
July 1, 2024.
(A) Eleven thousand five hundred ninety-two dollars ($11,592) for the state fiscal year
beginning July 1, 2025.
(B) Eleven thousand six hundred thirty-four dollars ($11,634) for the state fiscal year
beginning July 1, 2026.
(2) The nonduplicated count of pupils in programs for severe disabilities level two (2), including
blind or low vision, deaf or hard of hearing, and deaf and blind, multiplied by the following:
(A) Eleven thousand one hundred four dollars ($11,104) for the state fiscal year beginning July
1, 2023.
(B) Eleven thousand six hundred fifty-nine dollars ($11,659) for the state fiscal year beginning
July 1, 2024.
(A) Eleven thousand five hundred ninety-two dollars ($11,592) for the state fiscal year
beginning July 1, 2025.
(B) Eleven thousand six hundred thirty-four dollars ($11,634) for the state fiscal year
beginning July 1, 2026.
(3) The nonduplicated count of pupils in programs of mild and moderate disabilities level one (1),
including specific learning disability, developmental delay, and other health impairment, multiplied
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by the following:
(A) Two thousand seven hundred ninety dollars ($2,790) for the state fiscal year beginning July
1, 2023.
(B) Two thousand nine hundred thirty dollars ($2,930) for the state fiscal year beginning July 1,
2024.
(A) Two thousand nine hundred thirteen dollars ($2,913) for the state fiscal year beginning
July 1, 2025.
(B) Two thousand nine hundred twenty-four dollars ($2,924) for the state fiscal year
beginning July 1, 2026.
(4) The nonduplicated count of pupils in programs for mild and moderate disabilities level two (2),
including emotional disability not requiring full-time placement, mild intellectual disability, and
moderate intellectual disability, multiplied by the following:
(A) Two thousand seven hundred ninety dollars ($2,790) for the state fiscal year beginning July
1, 2023.
(B) Two thousand nine hundred thirty dollars ($2,930) for the state fiscal year beginning July 1,
2024.
(A) Two thousand nine hundred thirteen dollars ($2,913) for the state fiscal year beginning
July 1, 2025.
(B) Two thousand nine hundred twenty-four dollars ($2,924) for the state fiscal year
beginning July 1, 2026.
(5) The duplicated count of pupils in programs for communication disorders multiplied by the
following:
(A) Five hundred twenty-five dollars ($525) for the state fiscal year beginning July 1, 2023.
(B) Five hundred fifty-one dollars ($551) for the state fiscal year beginning July 1, 2024.
(A) Five hundred forty-eight dollars ($548) for the state fiscal year beginning July 1, 2025.
(B) Five hundred fifty dollars ($550) for the state fiscal year beginning July 1, 2026.
(6) The cumulative count of pupils in homebound programs multiplied by the following:
(A) Five hundred twenty-five dollars ($525) for the state fiscal year beginning July 1, 2023.
(B) Five hundred fifty-one dollars ($551) for the state fiscal year beginning July 1, 2024.
(A) Five hundred forty-eight dollars ($548) for the state fiscal year beginning July 1, 2025.
(B) Five hundred fifty dollars ($550) for the state fiscal year beginning July 1, 2026.
(7) The nonduplicated count of pupils in special preschool education programs multiplied by the
following:
(A) Three thousand six hundred thirty-eight dollars ($3,638) for the state fiscal year beginning
July 1, 2023.
(B) Three thousand eight hundred twenty dollars ($3,820) for the state fiscal year beginning July
1, 2024.
(A) Three thousand seven hundred ninety-eight dollars ($3,798) for the state fiscal year
beginning July 1, 2025.
(B) Three thousand eight hundred twelve dollars ($3,812) for the state fiscal year beginning
July 1, 2026.
SECTION 189. IC 20-43-8-15, AS AMENDED BY P.L.201-2023, SECTION 207, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JUNE 29, 2025]: Sec. 15. (a) This subsection applies to the state
fiscal year beginning July 1, 2023, 2025, and ending June 30, 2024. 2026. A school corporation's career
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and technical education enrollment grant for a state fiscal year is the sum of the amounts determined
under the following STEPS:
STEP ONE: Determine for each career and technical education program provided by the school
corporation:
(A) the number of credit hours of the program (one (1) credit, two (2) credits, or three (3)
credits); multiplied by
(B) the number of pupils enrolled in the program; multiplied by
(C) the following applicable amount:
(i) Seven hundred fourteen dollars ($714) Seven hundred ten dollars ($710) for a career and
technical education program designated by the department of workforce development as a high
value level 1 program under section 7.5 of this chapter.
(ii) One thousand seventy-one dollars ($1,071) One thousand sixty-five dollars ($1,065) for
a career and technical education program designated by the department of workforce
development as a high value level 2 program under section 7.5 of this chapter.
(iii) Four hundred dollars ($400) Three hundred ninety-eight dollars ($398) for a career and
technical education program designated by the department of workforce development as a
moderate value level 1 program under section 7.5 of this chapter.
(iv) Six hundred dollars ($600) Five hundred ninety-seven dollars ($597) for a career and
technical education program designated by the department of workforce development as a
moderate value level 2 program under section 7.5 of this chapter.
(v) Two hundred dollars ($200) One hundred ninety-nine dollars ($199) for a career and
technical education program designated by the department of workforce development as a less
than moderate value level 1 program under section 7.5 of this chapter.
(vi) Three hundred dollars ($300) Two hundred ninety-eight dollars ($298) for a career and
technical education program designated by the department of workforce development as a less
than moderate value level 2 program under section 7.5 of this chapter.
STEP TWO: Determine the number of pupils enrolled in an apprenticeship program or a work based
learning program designated under section 7.5 of this chapter multiplied by five hundred dollars
($500). four hundred ninety-seven dollars ($497).
STEP THREE: Determine the number of pupils enrolled in an introductory program designated
under section 7.5 of this chapter multiplied by three hundred dollars ($300). two hundred
ninety-eight dollars ($298).
STEP FOUR: Determine the number of pupils enrolled in a planning for college and career course
under section 7.5 of this chapter at the school corporation that is approved by the department of
workforce development multiplied by one hundred fifty dollars ($150). one hundred forty-nine
dollars ($149).
STEP FIVE: Determine the number of pupils who travel from the school in which they are currently
enrolled to another school to participate in a career and technical education program in which pupils
from multiple schools are served at a common location multiplied by one hundred fifty dollars
($150). one hundred forty-nine dollars ($149).
(b) This subsection applies to state fiscal years beginning after June 30, 2024. 2026. A school
corporation's career and technical education enrollment grant for a state fiscal year is the sum of the
amounts determined under the following STEPS:
STEP ONE: Determine for each career and technical education program provided by the school
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corporation:
(A) the number of credit hours of the program (one (1) credit, two (2) credits, or three (3)
credits); multiplied by
(B) the number of pupils enrolled in the program; multiplied by
(C) the following applicable amount:
(i) Seven hundred fourteen dollars ($714) Seven hundred twelve dollars ($712) for a career
and technical education program designated by the department of workforce development as
a high value level 1 program under section 7.5 of this chapter.
(ii) One thousand seventy-one dollars ($1,071) One thousand sixty-nine dollars ($1,069) for
a career and technical education program designated by the department of workforce
development as a high value level 2 program under section 7.5 of this chapter.
(iii) Four hundred dollars ($400) Three hundred ninety-nine dollars ($399) for a career and
technical education program designated by the department of workforce development as a
moderate value level 1 program under section 7.5 of this chapter.
(iv) Six hundred dollars ($600) Five hundred ninety-nine dollars ($599) for a career and
technical education program designated by the department of workforce development as a
moderate value level 2 program under section 7.5 of this chapter.
(v) Two hundred dollars ($200) for a career and technical education program designated by the
department of workforce development as a less than moderate value level 1 program under
section 7.5 of this chapter.
(vi) Three hundred dollars ($300) Two hundred ninety-nine dollars ($299) for a career and
technical education program designated by the department of workforce development as a less
than moderate value level 2 program under section 7.5 of this chapter.
STEP TWO: Determine the number of pupils enrolled in an apprenticeship program or a work based
learning program designated under section 7.5 of this chapter multiplied by five hundred dollars
($500). four hundred ninety-nine dollars ($499).
STEP THREE: Determine the number of pupils enrolled in an introductory program designated
under section 7.5 of this chapter multiplied by three hundred dollars ($300). Two hundred
ninety-nine dollars ($299).
STEP FOUR: Determine the number of pupils enrolled in a planning for college and career course
under section 7.5 of this chapter at the school corporation that is approved by the department of
workforce development multiplied by one hundred fifty dollars ($150).
STEP FIVE: Determine the number of pupils who travel from the school in which they are currently
enrolled to another school to participate in a career and technical education program in which pupils
from multiple schools are served at a common location multiplied by one hundred fifty dollars
($150).
SECTION 190. IC 20-43-8-15.5, AS AMENDED BY P.L.150-2024, SECTION 68, IS AMENDED
TO READ AS FOLLOWS [EFFECTIVE JUNE 29, 2025]: Sec. 15.5. (a) This section applies to a student
who:
(1) has legal settlement in Indiana;
(2) is at least five (5) years of age and less than twenty-two (22) years of age on the date in the
school year specified in IC 20-33-2-7;
(3) is enrolled in grade 10, 11, or 12 in Indiana; and
(4) meets one (1) of the following requirements:
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(A) The student:
(i) successfully completed a modern youth apprenticeship or course sequence designated and
approved under IC 20-51.4-4.5-6(a); and
(ii) received an industry recognized credential with regard to the apprenticeship or course
sequence.
(B) The student successfully completed any other credential approved under subsection (h).
(b) As used in this section, "CSA participating entity" has the meaning set forth in IC 20-51.4-2-3.2.
(c) Subject to subsection (l), upon a student described in subsection (a) meeting the requirements under
subsection (a)(4)(A) or (a)(4)(B), if the student is enrolled in an accredited or nonaccredited school that
has one (1) or more employees, the department shall award a credential completion grant in an amount
equal to:
(1) five hundred dollars ($500) for the state fiscal year beginning July 1, 2025, and ending June
30, 2026, four hundred ninety-seven dollars ($497); and
(2) for the state fiscal year beginning July 1, 2026, and ending June 30, 2027, four hundred
ninety-nine dollars ($499);
to the accredited or nonaccredited school.
(d) Subject to subsection (l), upon a student described in subsection (a) meeting the requirements
under subsection (a)(4)(A) or (a)(4)(B), and in addition to the grant amount awarded under subsection
(c), the department shall award a credential completion grant in an amount equal to:
(1) five hundred dollars ($500) for the state fiscal year beginning July 1, 2025, and ending June
30, 2026, four hundred ninety-seven dollars ($497); and
(2) for the state fiscal year beginning July 1, 2026, and ending June 30, 2027, four hundred
ninety-nine dollars ($499);
to the CSA participating entity that provided the apprenticeship or course sequence described in
subsection (a)(4)(A) or (a)(4)(B) that the student completed.
(e) A CSA participating entity that receives a grant amount under subsection (d) may enter into an
agreement with one (1) or more intermediaries (as defined in IC 21-18-1-3.5) or other CSA participating
entities to share a grant amount received under subsection (d).
(f) An accredited or nonaccredited school that is also a CSA participating entity may receive, if
eligible, a grant award under:
(1) subsection (c);
(2) subsection (d); or
(3) both subsections (c) and (d).
(g) The department shall distribute the grants awarded under this section.
(h) The department, in consultation with the governor's workforce cabinet (before its repeal) or,
following the repeal of the governor's workforce cabinet, the commission for higher education, shall
approve and maintain a list of credentials that are eligible for a credential completion grant under
subsection (a)(4)(B).
(i) The department shall approve a CSA provider that is also an employer who has partnered with an
approved intermediary to offer an apprenticeship, modern youth apprenticeship, or program of study that
culminates in an approved credential. The department may revoke an initial approval under this
subsection if the provider fails to achieve an adequate outcome as determined by the department.
(j) A grant awarded under this section to an eligible school (as defined in IC 20-51-1-4.7) does not
count toward a student's choice scholarship amount calculated under IC 20-51-4-5 and is not subject to
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the maximum choice scholarship cap under IC 20-51-4-4.
(k) The state board may adopt rules under IC 4-22-2 to implement this section.
(l) The total amount of grants that may be awarded in a state fiscal year under this section may not
exceed five million dollars ($5,000,000).
(m) If the total amount to be distributed as credential completion grants for a particular state fiscal year
exceeds the maximum amount allowed under subsection (l) for a state fiscal year, the total amount to be
distributed as credential completion grants shall be proportionately reduced so that the total reduction
equals the amount of the excess.
(n) The amount of the reduction described in subsection (m) for a particular recipient is equal to the
total amount of the excess multiplied by a fraction. The numerator of the fraction is the amount of the
credential completion grant that the recipient would have received if a reduction were not made under this
section. The denominator of the fraction is the total amount that would be distributed as credential
completion grants to all recipients if a reduction were not made under this section.
SECTION 191. IC 20-43-10-3.5 IS REPEALED [EFFECTIVE JUNE 30, 2025]. Sec. 3.5. (a) As used
in this section, "school" means a school corporation, charter school, and a virtual charter school.
(b) Subject to the requirements of this section, a school qualifies for a teacher appreciation grant as
provided in this section for a state fiscal year if one (1) or more licensed teachers:
(1) employed in the classroom by the school; or
(2) directly providing virtual education;
were rated as effective or as highly effective, using the most recently completed teacher ratings.
(c) A school may not receive a teacher appreciation grant under this section unless:
(1) the school has in the state fiscal year in which the teacher appreciation grants are made under
this section:
(A) adopted an annual policy concerning the distribution of teacher appreciation grants; and
(B) submitted the policy to the department for approval; and
(2) the department has approved the policy.
The department shall specify the date by which a policy described in subdivision (1) must be submitted
to the department.
(d) The amount of a teacher appreciation grant for a qualifying school corporation or virtual charter
school is equal to:
(1) thirty-seven dollars and fifty-cents ($37.50); multiplied by
(2) the school's current ADM.
However, the grant amount for a virtual charter school may not exceed the statewide average grant
amount.
(e) The following apply to the distribution of teacher appreciation grants:
(1) If the total amount to be distributed as teacher appreciation grants for a particular state fiscal year
exceeds the amount appropriated by the general assembly for teacher appreciation grants for that
state fiscal year, the total amount to be distributed as teacher appreciation grants to schools shall be
proportionately reduced so that the total reduction equals the amount of the excess. The amount of
the reduction for a particular school is equal to the total amount of the excess multiplied by a
fraction. The numerator of the fraction is the amount of the teacher appreciation grant that the school
would have received if a reduction were not made under this section. The denominator of the
fraction is the total amount that would be distributed as teacher appreciation grants to all schools if
a reduction were not made under this section.
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(2) If the total amount to be distributed as teacher appreciation grants for a particular state fiscal year
is less than the amount appropriated by the general assembly for teacher appreciation grants for that
state fiscal year, the total amount to be distributed as teacher appreciation grants to schools for that
particular state fiscal year shall be proportionately increased so that the total amount to be
distributed equals the amount of the appropriation for that particular state fiscal year.
(f) The annual teacher appreciation grant to which a school is entitled for a state fiscal year shall be
distributed to the school before December 5 of that state fiscal year.
(g) The following apply to a school's policy under subsection (c) concerning the distribution of teacher
appreciation grants:
(1) The governing body shall differentiate between a teacher rated as a highly effective teacher and
a teacher rated as an effective teacher. The policy must provide that the amount of a stipend awarded
to a teacher rated as a highly effective teacher must be at least twenty-five percent (25%) more than
the amount of a stipend awarded to a teacher rated as an effective teacher.
(2) The governing body of a school may differentiate between school buildings.
(3) A stipend to an individual teacher in a particular year is not subject to collective bargaining and
is in addition to the minimum salary or increases in salary set under IC 20-28-9-1.5. The governing
body may provide that an amount not exceeding fifty percent (50%) of the amount of a stipend to
an individual teacher in a particular state fiscal year becomes a permanent part of and increases the
base salary of the teacher receiving the stipend for school years beginning after the state fiscal year
in which the stipend is received. The addition to base salary is not subject to collective bargaining.
(h) A teacher appreciation grant received by a school shall be allocated among and used only to pay
cash stipends to all licensed teachers employed in the classroom who are rated as effective or as highly
effective and employed by the school as of December 1. A school may allocate up to twenty percent
(20%) of the grant received by the school to provide a supplemental award to teachers with less than five
(5) years of service who are rated as effective or as highly effective. A school may allocate up to ten
percent (10%) of the grant received by the school to provide a supplemental award to teachers who serve
as mentors to teachers who have less than two (2) years of service. The supplemental awards are in
addition to the award made from the part of the grant that is allocated to all eligible teachers.
(i) The lead school corporation or interlocal cooperative administering a cooperative or other special
education program or administering a career and technical education program, including programs
managed under IC 20-26-10, IC 20-35-5, IC 20-37, or IC 36-1-7, shall award teacher appreciation grant
stipends to and carry out the other responsibilities of an employing school corporation under this section
for the teachers in the special education program or career and technical education program.
(j) A school shall distribute all stipends from a teacher appreciation grant to individual teachers within
twenty (20) business days of the date the department distributes the teacher appreciation grant to the
school. Any part of the teacher appreciation grant not distributed as stipends to teachers before February
must be returned to the department on the earlier of the date set by the department or June 30 of that state
fiscal year.
(k) The department, after review by the budget committee, may waive the December 5 deadline under
subsection (f) to distribute an annual teacher appreciation grant to the school under this section for that
state fiscal year and approve an extension of that deadline to a later date within that state fiscal year, if
the department determines that a waiver and extension of the deadline are in the public interest.
(l) The state board may adopt rules under IC 4-22-2 as necessary to implement this section.
(m) This section expires June 30, 2025.
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SECTION 192. IC 20-43-10-4, AS ADDED BY P.L.201-2023, SECTION 211, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JUNE 29, 2025]: Sec. 4. (a) In addition to the amount a school
corporation is entitled to receive in basic tuition support, each school corporation is entitled to receive
a grant for a non-English speaking program for students who have a primary language other than English
and limited English proficiency as determined under this section.
(b) Subject to subsection (c), for state fiscal years beginning after June 30, 2023, the grant amount is
determined under the last STEP of the following formula:
STEP ONE: Determine the number of students:
(A) who score at level one (1) or level two (2) on the WIDA Consortium ACCESS assessment;
or
(B) who are English language learners with severe special needs that require a different
assessment than the assessment described in clause (A) to assess English proficiency.
STEP TWO: Multiply the STEP ONE result by: five hundred fifty dollars ($550).
(A) five hundred forty-seven dollars ($547) for the state fiscal year beginning July 1, 2025;
and
(B) five hundred forty-nine dollars ($549) for the state fiscal year beginning July 1, 2026.
STEP THREE: Determine the number of students:
(A) who score at level three (3) or level four (4) on the WIDA Consortium ACCESS assessment;
or
(B) who score at level five (5) or higher on the Tier A form of the WIDA Consortium ACCESS
assessment.
STEP FOUR: Multiply the STEP THREE result by: three hundred eighty-four dollars ($384).
(A) three hundred eighty-two dollars ($382) for the state fiscal year beginning July 1, 2025;
and
(B) three hundred eighty-three dollars ($383) for the state fiscal year beginning July 1,
2026.
STEP FIVE: Determine the sum of the STEP TWO amount and the STEP FOUR amount.
(c) For purposes of calculating the grant amount under this section for Gary Middle College charter
schools, only students who are less than twenty-three (23) years of age may be counted in the formula
under subsection (c).
SECTION 193. IC 20-43-10.5-1, AS ADDED BY P.L.201-2023, SECTION 212, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JUNE 29, 2025]: Sec. 1. (a) In addition to the amount a school
corporation is entitled to receive in basic tuition support, each school corporation is eligible to receive
an academic performance grant. Subject to subsection (b), subsections (d) and (e), the amount of a school
corporation's grant for a state fiscal year is equal to the amounts determined under subsection (b) or
(c), as applicable.
(b) This subsection applies to the state fiscal year beginning July 1, 2025. The amount of a school
corporation's grant for a state fiscal year is equal to the aggregate of each of the single largest
amounts determined for each student under:
(1) section 2 of this chapter;
(2) section 3 of this chapter;
(3) section 4(a)(1) of this chapter;
(4) section 4(a)(2) of this chapter; or
(5) section 4(a)(3) of this chapter.
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(c) This subsection applies to the state fiscal year beginning July 1, 2026. The amount of a school
corporation's grant for a state fiscal year is equal to the result under the following formula:
STEP ONE: Determine the aggregate of each of the single largest amounts determined for
each student under:
(A) section 2 of this chapter;
(B) section 3 of this chapter;
(C) section 4(a)(2) of this chapter; or
(D) section 4(a)(3) of this chapter.
STEP TWO: Determine the aggregate of the amounts determined for each student under:
(A) section 4(a)(4) of this chapter;
(B) section 4(a)(5) of this chapter; or
(C) section 4(a)(6) of this chapter.
STEP THREE: Determine the aggregate of the larger of the amounts determined under STEP
ONE or STEP TWO for each student.
(b) (d) For purposes of subsections (b) and (c), if a school corporation:
(1) received as part of a grant under this chapter in a previous state fiscal year an amount based on
a determination of eligibility of a particular student under section 2 of this chapter or section 3 of
this chapter; and
(2) is determined by the department to be eligible in a subsequent state fiscal year for an amount
based on a determination of eligibility of the same student under section 4 of this chapter;
the school corporation may only receive as part of the school corporation's grant in the subsequent state
fiscal year the amount equal to the greater of zero (0) or the difference between the amount described in
subdivision (2) minus the amount described in subdivision (1).
(c) (e) Each school corporation and charter school shall submit information prescribed by the
department that is necessary to make the determinations required under this chapter.
SECTION 194. IC 20-43-10.5-2, AS ADDED BY P.L.201-2023, SECTION 212, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JUNE 29, 2025]: Sec. 2. Subject to section 1 of this chapter, a
school corporation's early graduation award for a state fiscal year is the amount determined using the
following formula:
STEP ONE: Determine the number of students who met the following conditions during the student's
expected graduation year (as defined in IC 20-26-13-4) for the school year ending in the previous
state fiscal year:
(A) The student was enrolled in the school corporation on the fall count day of ADM established
under IC 20-43-4-3.
(B) The student successfully completed Indiana high school graduation requirements before the
day in February fixed by the state board for the spring count of students under IC 20-43-4-3.
(C) The student was not enrolled in the school corporation on the day in February fixed by the
state board for the spring count of students under IC 20-43-4-3.
STEP TWO: Multiply the STEP ONE result by:
(A) one thousand five hundred dollars ($1,500). for the state fiscal year beginning July 1,
2025, and ending June 30, 2026, one thousand four hundred ninety-one dollars ($1,491);
and
(B) for the state fiscal year beginning July 1, 2026, and ending June 30, 2027, one thousand
four hundred ninety-seven dollars ($1,497).
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SECTION 195. IC 20-43-10.5-3, AS ADDED BY P.L.201-2023, SECTION 212, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JUNE 29, 2025]: Sec. 3. (a) Each state fiscal year, the department
shall, for each school corporation, determine the following:
(1) Determine each eligible pupil who:
(A) successfully completed an Indiana diploma with a Core 40 with academic honors designation
program; and
(B) was receiving Supplemental Nutrition Assistance Program (SNAP) benefits, Temporary
Assistance for Needy Families (TANF) benefits, or foster care services;
in the school year ending in the previous state fiscal year.
(2) Determine each eligible pupil who:
(A) successfully completed an Indiana diploma with a Core 40 with technical honors designation
program; and
(B) was receiving Supplemental Nutrition Assistance Program (SNAP) benefits, Temporary
Assistance for Needy Families (TANF) benefits, or foster care services;
in the school year ending in the previous state fiscal year. However, an eligible pupil who would
otherwise be double counted under this subdivision and subdivision (1) may not be considered to
meet the requirements under this subdivision.
(3) Determine each eligible pupil who:
(A) successfully completed an Indiana diploma with a Core 40 with academic honors designation
program; and
(B) was not receiving Supplemental Nutrition Assistance Program (SNAP) benefits, Temporary
Assistance for Needy Families (TANF) benefits, or foster care services;
in the school year ending in the previous state fiscal year.
(4) Determine each eligible pupil who:
(A) successfully completed an Indiana diploma with a Core 40 with technical honors designation
program; and
(B) was not receiving Supplemental Nutrition Assistance Program (SNAP) benefits, Temporary
Assistance for Needy Families (TANF) benefits, or foster care services;
in the school year ending in the previous state fiscal year. However, an eligible pupil who would
otherwise be double counted under this subdivision and subdivision (3) may not be considered to
meet the requirements under this subdivision.
(b) The amount of a school corporation's grant under this section based on a particular eligible pupil
is equal to:
(1) in the case of an eligible pupil described in subsection (a)(1) or (a)(2):
(A) one thousand five hundred dollars ($1,500); for the state fiscal year beginning July 1,
2025, and ending June 30, 2026, one thousand four hundred ninety-one dollars ($1,491);
and
(B) for the state fiscal year beginning July 1, 2026, and ending June 30, 2027, one thousand
four hundred ninety-seven dollars ($1,497); and
(2) in the case of an eligible pupil described in subsection (a)(3) or (a)(4):
(A) one thousand one hundred dollars ($1,100). for the state fiscal year beginning July 1, 2025,
and ending June 30, 2026, one thousand ninety-four dollars ($1,094); and
(B) for the state fiscal year beginning July 1, 2026, and ending June 30, 2027, one thousand
ninety-eight dollars ($1,098).
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(c) An amount received by a school corporation as determined under this section may be used only for:
(1) any:
(A) staff training;
(B) program development;
(C) equipment and supply expenditures; or
(D) other expenses;
directly related to the school corporation's honors designation program; and
(2) the school corporation's program for high ability students.
(d) A governing body that does not comply with this section for a school year is not eligible to receive
an amount under this section for the following school year.
SECTION 196. IC 20-43-10.5-4, AS ADDED BY P.L.201-2023, SECTION 212, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JUNE 29, 2025]: Sec. 4. (a) Each applicable state fiscal year, the
department, in consultation with the commission for higher education, shall determine the following with
respect to each school corporation:
(1) Each student who:
(A) was enrolled in the school corporation in the state fiscal year before the immediately
preceding state fiscal year; and
(B) successfully completed a dual credit or dual enrollment course.
The amount of a school corporation's grant based on a student described under this subdivision is
equal to, for the state fiscal year beginning July 1, 2025, and ending June 30, 2026, the number
of credit hours completed by the student multiplied by forty dollars ($40), but may not exceed one
thousand two hundred dollars ($1,200).
(2) Each student who:
(A) was enrolled in the school corporation in the state fiscal year before the immediately
preceding state fiscal year; and
(B) successfully completed Indiana College Core 30 (IC 21-42-3).
The amount of a school corporation's grant based on a student under this subdivision is equal to, one
thousand five hundred dollars ($1,500). for the state fiscal year beginning July 1, 2025, and
ending June 30, 2026, one thousand four hundred ninety-one dollars ($1,491), and for the state
fiscal year beginning July 1, 2026, and ending June 30, 2027, one thousand four hundred
ninety-seven dollars ($1,497).
(3) Each student who:
(A) was enrolled in the school corporation in the state fiscal year before the immediately
preceding state fiscal year; and
(B) successfully completed requirements for an associate degree, including those earned through
transfer as a junior pathways.
The amount of a school corporation's grant based on a student under this subdivision is equal to, two
thousand five hundred dollars ($2,500). for the state fiscal year beginning July 1, 2025, and
ending June 30, 2026, two thousand four hundred eighty-six dollars ($2,486), and for the state
fiscal year beginning July 1, 2026, and ending June 30, 2027, two thousand four hundred
ninety-five dollars ($2,495).
(4) Each student who:
(A) was enrolled in the school corporation in the previous state fiscal year; and
(B) successfully completed requirements for an honors employment plus seal.
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The amount of a school corporation's grant based on a student under this subdivision is equal
to two thousand four hundred ninety-five dollars ($2,495) for the state fiscal year beginning
July 1, 2026, and ending June 30, 2027.
(5) Each student who:
(A) was enrolled in the school corporation in the previous state fiscal year; and
(B) successfully completed requirements for an honors enrollment plus seal.
The amount of a school corporation's grant based on a student under this subdivision is equal
to two thousand four hundred ninety-five dollars ($2,495) for the state fiscal year beginning
July 1, 2026, and ending June 30, 2027.
(6) Each student who:
(A) was enrolled in the school corporation in the previous state fiscal year; and
(B) successfully completed requirements for an honors enlistment plus seal.
The amount of a school corporation's grant based on a student under this subdivision is equal
to eight hundred seventy-three dollars ($873) for the state fiscal year beginning July 1, 2026,
and ending June 30, 2027.
(b) To be eligible to be counted under subsection (a)(1), a credit completed must be accepted as part
of the Indiana core transfer library under IC 21-42-5-1.
SECTION 197. IC 20-43-13-4, AS AMENDED BY P.L.201-2023, SECTION 213, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JUNE 29, 2025]: Sec. 4. (a) Except as provided in subsections (c)
and (d), the complexity index is the percentage of the school corporation's students who were receiving
Supplemental Nutrition Assistance Program (SNAP) benefits, Temporary Assistance for Needy Families
(TANF) benefits, or foster care services as of October 1 in the school year ending in the later of:
(1) 2023; 2025; or
(2) the first year of operation of the school corporation.
(b) For a conversion charter school, the percentage determined under this section is the percentage of
the sponsor school corporation.
(c) Except as provided in subsection (d), the complexity index for a school corporation that has entered
into an agreement with one (1) or more charter schools to participate as an innovation network charter
school under IC 20-25.7-5 for a state fiscal year is equal to the result using the following formula:
STEP ONE: Determine:
(A) the school corporation's enrollment; minus
(B) the enrollment of each participating innovation network charter school.
STEP TWO: Determine the number of students in the school corporation who were receiving
Supplemental Nutrition Assistance Program (SNAP) benefits, Temporary Assistance for Needy
Families (TANF) benefits, or foster care services as of October 1 in the school year ending in 2023,
2025, not including students enrolled in each participating innovation network charter school.
STEP THREE: Divide the result of STEP TWO by the result of STEP ONE.
STEP FOUR: Determine the enrollment of each participating innovation network charter school.
STEP FIVE: Determine the number of students in each participating innovation network charter
school who were receiving Supplemental Nutrition Assistance Program (SNAP) benefits, Temporary
Assistance for Needy Families (TANF) benefits, or foster care services as of October 1 in the school
year ending in the later of:
(A) 2023; 2025; or
(B) the first year of operation of the participating innovation network charter school.
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STEP SIX: Divide the result of STEP FIVE by the result of STEP FOUR.
STEP SEVEN: For each participating innovation network charter school, determine the greater of:
(A) the result of STEP THREE; or
(B) the result of STEP SIX.
STEP EIGHT: For each participating innovation network charter school, multiply the result of STEP
SEVEN by the result of STEP FOUR.
STEP NINE: Determine the sum of:
(A) the result of STEP TWO; plus
(B) the results of STEP EIGHT, for each participating innovation network charter school.
STEP TEN: Determine the sum of:
(A) the result of STEP ONE; plus
(B) the results of STEP FOUR for each participating innovation network charter school.
STEP ELEVEN: Divide the STEP NINE result by the STEP TEN result.
(d) If the complexity index of a participating innovation network charter school that was established
before January 1, 2016, is, for the current school year, greater than the complexity index for the school
corporation with which the innovation network charter school has contracted, the complexity index of the
participating innovation network charter school is determined as described in IC 20-25.7-5-2(e).
SECTION 198. IC 20-43-16 IS ADDED TO THE INDIANA CODE AS A NEW CHAPTER TO
READ AS FOLLOWS [EFFECTIVE JUNE 29, 2025]:
Chapter 16. Teacher Appreciation Grant Program
Sec. 1. As used in this chapter, "grant" means a teacher appreciation grant awarded by the
department to a school corporation or charter school under this chapter.
Sec. 2. As used in this chapter, "program" refers to the teacher appreciation grant program
established by section 3 of this chapter.
Sec. 3. (a) The teacher appreciation grant program is established to provide grants for each state
fiscal year to school corporations and charter schools to attract, reward, and retain teachers who
significantly impact student outcomes.
(b) The department, in consultation with the state board, shall administer the program.
Sec. 4. To be eligible for a grant under the program, a school corporation or charter school must
meet the following:
(1) Apply in a manner prescribed by the department.
(2) Identify not more than twenty percent (20%) of certified teachers as eligible grant
recipients annually based on criteria outlined in section 5 of this chapter.
(3) Report how each recipient met the criteria outlined in section 5 of this chapter.
(4) Meet any other requirements established by the department.
Sec. 5. A grant received by a school corporation or charter school may only be used to pay
stipends within the amounts described in section 8 of this chapter to one (1) or more teachers
selected by the school corporation or charter school who:
(1) have instructed students in a school or district for at least one (1) school year prior to the
grant distribution year;
(2) maintain employment at the same school or district at the time of the grant distribution;
(3) are determined to significantly impact student outcomes using national, state, or local
assessment measures; and
(4) are designated in one (1) of the categories described in section 6 of this chapter.
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Sec. 6. (a) Grant amounts distributed to a teacher described in section 5 of this chapter must
meet the criteria as set forth in this section for:
(1) a "recognition" stipend;
(2) an "exemplary" stipend; or
(3) an "exemplary plus" stipend.
(b) A school corporation or charter school must apply the following criteria in evaluating a
teacher for a stipend designation under subsection (a):
(1) For a recognition stipend designation, whether the teacher demonstrates high performance
in teaching based on student outcomes.
(2) For an exemplary stipend designation, whether the teacher:
(A) demonstrates high performance in teaching based on student outcomes; and
(B) meets one (1) of the following:
(i) Mentors or coaches another teacher to improve student outcomes, or provides
instructional leadership to improve student outcomes across multiple classrooms.
(ii) Serves in a high need or geographic shortage area as determined by the department
based on educator supply and demand.
(3) For an exemplary plus stipend designation, whether the teacher:
(A) demonstrates high performance in teaching based on student outcomes;
(B) mentors or coaches another teacher to improve student outcomes, or provides
instructional leadership to improve student outcomes across multiple classrooms; and
(C) serves in a high need or geographic shortage area as determined by the department
based on educator supply and demand.
(c) A school corporation or charter school may establish additional criteria in evaluating a
teacher for a designation under subsection (a).
Sec. 7. (a) The department shall create a rubric for use by school corporations and charter
schools under this chapter.
(b) The rubric must include:
(1) student assessment data if student assessment data is available for the applicable grade
level or class; and
(2) expectations for the roles, responsibilities, and duties of a mentor teacher, which include
providing professional development and guidance to new teachers.
Sec. 8. The amount of the stipend that a school corporation or charter schools may distribute to
a teacher for a state fiscal year under this chapter must be within the following amounts:
(1) For a teacher who receives a stipend for a recognition designation, three thousand five
hundred dollars ($3,500).
(2) For a teacher who receives a stipend for an exemplary designation, five thousand dollars
($5,000).
(3) For a teacher who receives a stipend for an exemplary plus designation, seven thousand five
hundred dollars ($7,500).
Sec. 9. Subject to the requirements of this chapter, the lead school corporation or interlocal
cooperative administering a cooperative or other special education program or administering a
career and technical education program, including programs managed under IC 20-26-10,
IC 20-35-5, IC 20-37, or IC 36-1-7, shall award stipends to and carry out the other responsibilities
of an employing school corporation under this chapter for the teachers in the special education
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program or the career and technical education program.
Sec. 10. (a) The department may award a grant under this chapter each state fiscal year to a
school corporation or charter school that meets the requirements of this chapter.
(b) If the total amount to be distributed as teacher appreciation grants for a particular state
fiscal year exceeds the amount appropriated by the general assembly for teacher appreciation
grants for that state fiscal year, the total amount to be distributed as teacher appreciation grants
to school corporations and charter schools shall be proportionately reduced so that the total
reduction equals the amount of the excess.
(c) The department shall distribute all teacher appreciation grants awarded for a state fiscal
year to the school corporations and charter schools awarded the grants before April 15 of the
applicable state fiscal year.
Sec. 11. A school corporation or charter school that receives a grant for a state fiscal year under
this chapter shall do the following:
(1) Distribute all stipends from the grant to individual teachers not later than sixty (60)
business days after the date the department distributes the grant to the school corporation or
charter school.
(2) Not later than June 30 of the applicable state fiscal year, return any part of the grant not
distributed as stipends to teachers.
Sec. 12. A stipend to an individual teacher in a particular year is not subject to collective
bargaining and is in addition to the minimum salary or increase in salary set under IC 20-28-9-1.5.
Sec. 13. The state board may adopt rules under IC 4-22-2 as necessary to implement this chapter.
Sec. 14. This chapter expires June 30, 2027.
SECTION 199. IC 20-51-1-4.3, AS AMENDED BY P.L.201-2023, SECTION 215, IS AMENDED
TO READ AS FOLLOWS [EFFECTIVE JUNE 29, 2026]: Sec. 4.3. "Eligible choice scholarship student"
refers to an individual who:
(1) has legal settlement in Indiana; and
(2) is at least five (5) years of age and less than twenty-two (22) years of age on October 1 of the
applicable school year. and
(3) is a member of a household with an annual income of not more than four hundred percent
(400%) of the amount required for the individual to qualify for the federal free or reduced price
lunch program.
SECTION 200. IC 20-51-4-10, AS AMENDED BY P.L.165-2021, SECTION 179, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 10. The department shall distribute choice
scholarships at least once twice each semester, or at equivalent intervals. The department may distribute
the choice scholarship to the eligible choice scholarship student (or the parent of the eligible choice
scholarship student) for the purpose of paying the educational costs described in section 4(a)(1)(A) of this
chapter. For the distribution to be valid, the eligible choice scholarship student (or the parent of the
eligible choice scholarship student) and the eligible school providing educational services to the eligible
choice scholarship student must annually sign a form, prescribed by the department to endorse
distributions for the particular school year. If:
(1) an eligible choice scholarship student who is receiving a choice scholarship for a school year
changes schools during the school year after signing the form to endorse distributions for that school
year; and
(2) the eligible choice scholarship student enrolls in a different eligible school that has not signed
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the form to endorse distributions for that school year;
the eligible choice scholarship student (or the parent of the eligible choice scholarship student) and the
eligible school must sign the form prescribed by the department to endorse distributions for the particular
school year.
SECTION 201. IC 20-51.4-2-3.2, AS ADDED BY P.L.202-2023, SECTION 27, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 3.2. "CSA participating entity" refers to an
individual or entity authorized by the commission for higher education department to participate in the
CSA program under IC 20-51.4-5.5.
SECTION 202. IC 20-51.4-2-3.8, AS AMENDED BY P.L.127-2024, SECTION 2, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 3.8. "CSA qualified expenses" means expenses
to enroll in and attend sequences, courses, apprenticeships, or programs of study designated and approved
under IC 20-51.4-4.5-6, including the following:
(1) Career coaching and navigation services.
(2) Postsecondary education and training.
(3) Subject to IC 20-51.4-4.5-6.5, transportation, equipment, and costs related to obtaining a driver's
license.
(4) Certification and credentialing examinations.
(5) Any other expenses approved by the treasurer of the state department under IC 20-51.4-4.5.
SECTION 203. IC 20-51.4-2-4, AS AMENDED BY P.L.127-2024, SECTION 3, AND AS
AMENDED BY P.L.162-2024, SECTION 28, AND AS AMENDED BY THE TECHNICAL
CORRECTIONS BILL OF THE 2025 GENERAL ASSEMBLY, IS CORRECTED AND AMENDED TO
READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 4. "Eligible student" refers to an individual
who:
(1) has legal settlement in Indiana;
(2) is at least five (5) years of age and less than twenty-two (22) years of age on the date in the
school year specified in IC 20-33-2-7; on October 1 of the applicable school year; and
(3) is a student:
(A) with a disability at the time the account is established who requires special education and for
whom:
(A) (i) an individualized education program;
(B) (ii) a service plan developed under 511 IAC 7-34; or
(C) (iii) a choice special education plan developed under 511 IAC 7-49;
has been developed; and or
(B) who is a sibling of a student described in clause (A) who has had an ESA account established
in the student's name under IC 20-51.4-4-1. and
(4) meets the annual income qualification requirement for a choice scholarship student under
IC 20-51-1.
SECTION 204. IC 20-51.4-2-4.7, AS ADDED BY P.L.202-2023, SECTION 33, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 4.7. "ESA participating entity" refers to an
individual or entity authorized by the treasurer of state department to participate in the ESA program
under IC 20-51.4-5-2.
SECTION 205. IC 20-51.4-3-2, AS AMENDED BY P.L.202-2023, SECTION 43, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 2. (a) The ESA program shall be administered
by the treasurer of state department. in consultation with the state board and the department.
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(b) The CSA program shall be administered by the treasurer of state department. in consultation with
the commission for higher education. and the department. The treasurer of state department may contract
with one (1) or more entities under IC 5-22-6 to maintain and manage CSA accounts under
IC 20-51.4-4.5.
(c) The treasurer of state department may contract with one (1) or more entities to maintain and
manage ESA accounts established under IC 20-51.4-4-1 after issuing a request for proposal under
IC 5-22-9. Each entity shall:
(1) meet qualification requirements established by the treasurer of state; department; and
(2) comply with generally accepted accounting principles.
(d) The treasurer of state department shall establish reasonable fees for entities described in
subsection (c) participating in the program based upon market rates.
SECTION 206. IC 20-51.4-3-3, AS AMENDED BY P.L.202-2023, SECTION 44, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 3. (a) The ESA program and the CSA program
are subject to annual audit by an independent public accounting firm retained by the treasurer of state.
department.
(b) The treasurer of state department shall promptly transmit copies of each annual audit to the
governor and, in an electronic format under IC 5-14-6, the general assembly. Upon request, the treasurer
of state department shall make copies of the audit available to the public.
SECTION 207. IC 20-51.4-3-4, AS AMENDED BY P.L.202-2023, SECTION 45, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 4. (a) After June 30, 2023, the treasurer of state
department shall administer an annual survey of parents of eligible students and emancipated eligible
students who maintain an ESA account under IC 20-51.4-4-1. The survey must request information:
(1) regarding when the ESA account was established and the number of grants received;
(2) relating to relative satisfaction with the ESA program and the CSA program, if applicable; and
(3) regarding opinions on any topics, items, or issues that the treasurer of state department
determines may improve the effectiveness of the ESA program or the education experience of the
eligible student or the eligible student's family.
(b) After June 30, 2024, the treasurer of state department shall administer an annual survey of parents
of career scholarship students and emancipated career scholarship students who maintain a CSA account
under IC 20-51.4-4.5-1. The survey must request information:
(1) regarding when the CSA account was established and the number of grants received;
(2) relating to relative satisfaction with the CSA program; and
(3) regarding opinions on any topics, items, or issues that the treasurer of state department
determines may improve the effectiveness of the CSA program or the education experience of the
career scholarship student or the career scholarship student's family.
(c) Not later than November 1, 2023, and each November 1 thereafter, the treasurer of state
department shall annually provide a summary of the surveys administered under subsections (a) and (b)
to the governor and, in an electronic format under IC 5-14-6, the legislative council.
SECTION 208. IC 20-51.4-3-5, AS AMENDED BY P.L.202-2023, SECTION 46, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 5. The treasurer of state department shall
provide online services and capabilities including, but not limited to, the following:
(1) A method for parents to submit an application agreement described in IC 20-51.4-4-1(a) and
IC 20-51.4-4.5-1.
(2) A method for an ESA participating entity to submit the intent of the ESA participating entity to
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participate in the ESA program.
(3) A method for a CSA participating entity to submit the intent of the CSA participating entity to
participate in the CSA program.
(4) A method for parents to identify and select ESA or CSA participating entities participating in
the ESA program or CSA program.
(5) A method for parents and ESA and CSA participating entities to initiate and receive payments
from an eligible student's account or career scholarship student's account.
(6) A method for parents to rate the parent's experience with an ESA or CSA participating entity and
the ability for other parents of eligible students or career scholarship students to see the rating.
(7) Methods that are intuitive and allow for contributions to be easily made to an eligible student's
ESA account or a career scholarship student's CSA account.
(8) Resources the family of an eligible student or career scholarship student can access to learn
about advocacy groups available to provide information and resources to the eligible student's or
career scholarship student's family.
SECTION 209. IC 20-51.4-3-6, AS AMENDED BY P.L.202-2023, SECTION 47, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 6. (a) The department shall provide services
that offer objective advice upon request to parents of an eligible student or an emancipated eligible
student relating to services that can help meet the eligible student's or emancipated eligible student's
particular needs.
(b) The commission for higher education, in coordination with the department shall provide services
that offer objective advice upon request to parents of a career scholarship student or an emancipated
career scholarship student relating to services that can help meet the career scholarship student's or
emancipated career scholarship student's particular needs, including the provision of any services for
which the commission for higher education department contracts under IC 20-51.4-4.5-7(b).
(c) The department may contract with a third party provider to provide the services described in
subsection (a).
SECTION 210. IC 20-51.4-3-7 IS REPEALED [EFFECTIVE JULY 1, 2026]. Sec. 7. (a) For each
school year, the treasurer of state shall determine, based on the amount of funds available for the ESA
program, the number of grants that the treasurer of state will award under the ESA program. The number
of applications approved and the number of grants awarded under this article the ESA program by the
treasurer of state for the school year may not exceed the number determined by the treasurer of state under
this section.
(b) The treasurer of state may deduct the following amounts from the funds made available for the ESA
program to cover costs of managing ESA accounts and administering the ESA program:
(1) For the first year of the ESA program, not more than ten percent (10%) of the funds made
available to cover the costs described in this subsection.
(2) For each year thereafter, not more than five percent (5%) of the funds made available to cover
the costs described in this subsection.
Any amount deducted under this subsection shall be deposited in the Indiana education scholarship
account administration fund established by IC 20-51.4-4-3.5.
(c) The treasurer of state may deduct the following amounts from the funds made available for the CSA
program to cover costs of managing CSA accounts and administering the CSA program:
(1) For the first year of the CSA program, not more than ten percent (10%) of the funds made
available to cover the costs described in this subsection.
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(2) For each year thereafter, not more than five percent (5%) of the funds made available to cover
the costs described in this subsection.
Any amount deducted under this subsection shall be deposited in the career scholarship account
administration fund established by IC 20-51.4-4.5-5.
SECTION 211. IC 20-51.4-4-1, AS AMENDED BY P.L.127-2024, SECTION 5, AND AS
AMENDED BY P.L.150-2024, SECTION 69, AND AS AMENDED BY THE TECHNICAL
CORRECTIONS BILL OF THE 2025 GENERAL ASSEMBLY, IS CORRECTED AND AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 1. (a) After June 30, 2022, a parent of an
eligible student or an emancipated eligible student may establish an Indiana education scholarship
account for the eligible student by entering into a written agreement with the treasurer of state
department on a form prepared by the treasurer of state. department. The treasurer of state department
shall establish a date by which an application to establish an ESA account for the upcoming school year
must be submitted. However, for a school year beginning after July 1, 2022, applications must be
submitted for an eligible student not later than September 1 for the immediately following school year.
The ESA account of an eligible student shall be made in the name of the eligible student. The treasurer
of state department shall make the agreement available on the website of the treasurer of state.
department. To be eligible, a parent of an eligible student or an emancipated eligible student wishing
to participate in the ESA program must agree that:
(1) subject to subsection (i), a grant deposited in the eligible student's ESA account under section
2 of this chapter and any interest that may accrue in the ESA account will be used only for the
eligible student's ESA qualified expenses;
(2) if the eligible student participates in the CSA program, a grant deposited in the eligible student's
ESA account under IC 20-51.4-4.5-3 and any interest that may accrue in the ESA account will be
used only for the eligible student's ESA qualified expenses;
(3) money in the ESA account when the ESA account is terminated reverts to the state general fund;
(4) the parent of the eligible student or the emancipated eligible student will use part of the money
in the ESA account:
(A) for the eligible student's study in the subject of reading, grammar, mathematics, social
studies, or science; or
(B) for use in accordance with the eligible student's:
(i) individualized education program;
(ii) service plan developed under 511 IAC 7-34;
(iii) choice special education plan developed under 511 IAC 7-49; or
(iv) plan developed under Section 504 of the federal Rehabilitation Act of 1973, 29 U.S.C. 794;
(5) the eligible student will not be enrolled in a school that receives tuition support under IC 20-43;
and
(6) the eligible student will take the statewide summative assessment, as applicable based on the
eligible student's grade level, as provided under IC 20-32-5.1, or the assessment specified in the
eligible student's:
(A) individualized education program developed under IC 20-35;
(B) service plan developed under 511 IAC 7-34;
(C) choice special education plan developed under 511 IAC 7-49; or
(D) plan developed under Section 504 of the federal Rehabilitation Act of 1973, 29 U.S.C. 794.
(b) A parent of an eligible student may enter into a separate agreement under subsection (a) for each
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child of the parent. However, not more than one (1) ESA account may be established for each eligible
student.
(c) The ESA account must be established under subsection (a) by a parent of an eligible student or an
emancipated eligible student for a school year on or before a date established by the treasurer of state,
department which must be at least thirty (30) days before the fall count day of ADM established under
IC 20-43-4-3. A parent of an eligible student or an emancipated eligible student may not enter into an
agreement under this section or maintain an ESA account under this chapter if the eligible student
receives a choice scholarship under IC 20-51-4 for the same school year. An eligible student may not
receive a grant under section 2 of this chapter if the eligible student is currently included in a school
corporation's ADM count under IC 20-43-4.
(d) Except as provided in subsections (e) and (f), an agreement made under this section is valid for one
(1) school year while the eligible student is in kindergarten through grade 12 and may be renewed
annually. Upon graduation, or receipt of a certificate of completion under the eligible student's
individualized education program, the eligible student's ESA account is terminated.
(e) An agreement entered into under this section terminates automatically for an eligible student if:
(1) the eligible student no longer resides in Indiana while the eligible student is eligible to receive
grants under section 2 of this chapter; or
(2) the ESA account is not renewed within three hundred ninety-five (395) days after the date the
ESA account was either established or last renewed.
If an ESA account is terminated under this section, money in the eligible student's ESA account, including
any interest accrued, reverts to the state general fund.
(f) An agreement made under this section for an eligible student while the eligible student is in
kindergarten through grade 12 may be terminated before the end of the school year if the parent of the
eligible student or the emancipated eligible student notifies the treasurer of state department in a manner
specified by the treasurer of state. department.
(g) A distribution made to an ESA account under section 2 of this chapter is considered tax exempt
as long as the distribution is used for an ESA qualified expense. The amount is subtracted from the
definition of adjusted federal gross income under IC 6-3-1-3.5 to the extent the distribution used for the
ESA qualified expense is included in the taxpayer's adjusted federal gross income under the Internal
Revenue Code.
(h) The department shall establish a student test number as described in IC 20-19-3-9.4 for each
eligible student. The treasurer of state shall provide the department information necessary for the
department to comply with this subsection.
(i) A student described in IC 20-51.4-2-4(3)(B) may not use the money deposited into the eligible
student's ESA account for ESA qualified expenses described in IC 20-51.4-2-9(a)(3),
IC 20-51.4-2-9(a)(6), IC 20-51.4-2-9(a)(7), or IC 20-51.4-2-9(a)(9).
SECTION 212. IC 20-51.4-4-2, AS AMENDED BY P.L.202-2023, SECTION 50, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 2. (a) An eligible student who currently
maintains an ESA account is entitled to an ESA annual grant amount for each school year until the student
graduates or obtains a certificate of completion under the student's individualized education program. An
eligible student may not receive a grant under this section after graduating or obtaining a certificate of
completion. The ESA annual grant amount shall be paid from the ESA program fund. The treasurer of
state, department with notice to the department, shall deposit the ESA annual grant amount under this
section, in quarterly deposits, into an eligible student's ESA account. in a manner established by the
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treasurer of state.
(b) Except as provided in subsection (c), at the end of the year in which an ESA account is established,
the parent of an eligible student or the emancipated eligible student may roll over for use in a subsequent
year a maximum of one thousand dollars ($1,000). However, for each year thereafter, the parent of the
eligible student or the emancipated eligible student may roll over one thousand dollars ($1,000) plus any
amount rolled over in a previous year.
(c) An eligible student's ESA account shall terminate the later of:
(1) the date the student graduates high school; or
(2) July 1 of the year in the year which the student graduates high school.
Any money, including interest that remains in the eligible student's ESA account when it terminates under
this subsection reverts to the state general fund.
SECTION 213. IC 20-51.4-4-3, AS AMENDED BY P.L.201-2023, SECTION 221, AND AS
AMENDED BY P.L.202-2023, SECTION 51, IS CORRECTED AND AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 3. (a) The Indiana education scholarship account program
fund is established for the purpose of providing grants to eligible students under the ESA program. Money
appropriated to the fund during the state fiscal year beginning July 1, 2021, and ending June 30, 2022,
may only be used for the administrative costs to establish the program. However, Money appropriated
to the fund during the state fiscal year beginning July 1, 2022, and ending June 30, 2023, may be used
to provide grants under this chapter in the manner prescribed in section 2 of this chapter.
(b) The treasurer of state department shall administer the ESA program fund.
(c) The ESA program fund consists of the following:
(1) Appropriations by the general assembly.
(2) Interest deposited in the ESA program fund under subsection (d).
(3) Donations, gifts, and money received from any other source, including transfers from other
funds or accounts.
(4) Amounts transferred to the ESA program fund from the Indiana education scholarship account
administration fund under section 3.5(e) of this chapter.
(d) The treasurer of state shall invest money in the ESA program fund not currently needed to meet
the obligations of the ESA program fund in the same manner as other public money may be invested.
Interest that accrues from these investments shall be deposited in the ESA program fund.
(e) Money in the ESA program fund at the end of a state fiscal year reverts to the state general fund.
SECTION 214. IC 20-51.4-4-3.5, AS AMENDED BY P.L.201-2023, SECTION 222, AND AS
AMENDED BY P.L.202-2023, SECTION 52, IS CORRECTED AND AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 3.5. (a) The Indiana education scholarship account
administration fund is established for the purpose of accepting money for the Indiana education
scholarship account program to support administration of the ESA program.
(b) The treasurer of state department shall administer the fund.
(c) The fund consists of the following:
(1) Administration fees deposited in the fund under IC 20-51.4-3-7(b). Appropriations by the
general assembly.
(2) Donations, gifts, and money received from any other source, including transfers from other
funds or accounts.
(3) (2) Interest deposited in the fund under subsection (d).
(d) The treasurer of state shall invest money in the fund not currently needed to meet the obligations
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of the fund in the same manner as other public money may be invested. Interest that accrues from these
investments shall be deposited in the fund.
(e) The treasurer of state may transfer any funds held in the fund to the ESA program fund established
by section 3 of this chapter at any time for the purpose of the ESA program fund.
(e) Money in the fund at the end of a state fiscal year reverts to the state general fund.
SECTION 215. IC 20-51.4-4-3.6, AS ADDED BY P.L.201-2023, SECTION 223, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 3.6. (a) The Indiana education scholarship
account donation fund is established for the purpose of accepting donations for the Indiana education
scholarship account program to support administration of the program.
(b) The treasurer of state department shall administer the fund.
(c) The fund consists of the following:
(1) Donations, gifts, and money received from any other source, including transfers from other funds
or accounts.
(2) Interest deposited in the fund under subsection (d).
(d) The treasurer of state shall invest money in the fund not currently needed to meet the obligations
of the fund in the same manner as other public money may be invested. Interest that accrues from these
investments shall be deposited in the fund.
(e) The treasurer of state may transfer any funds held in the fund to the Indiana education scholarship
account program fund established by section 3 of this chapter at any time for the purpose of that fund.
(f) (e) Money in the fund is continuously appropriated for purposes of the fund.
(g) (f) Money in the fund at the end of a state fiscal year does not revert to the state general fund but
remains in the fund for the purposes of the fund.
SECTION 216. IC 20-51.4-4-5, AS AMENDED BY P.L.202-2023, SECTION 54, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 5. If an eligible student's agreement under
section 1 of this chapter is in effect for less than an entire school year, the ESA annual grant amount
provided under section 2 of this chapter for that school year shall be reduced on a prorated basis in a
manner prescribed by the treasurer of state department to reflect the length of the agreement. In the event
an eligible student's ESA account is terminated because the eligible student enrolls in a school that
receives tuition support under IC 20-43, the balance in the ESA account at the time the ESA account is
terminated shall be transferred to the school corporation or charter school in which the eligible student
enrolls. In the event that special education grant funding under section 4(b) of this chapter has been
deposited into the eligible student's ESA account but the eligible student subsequently begins receiving
special education services from a school that receives funding under IC 20-43, the balance in the ESA
account up to the amount deposited under section 4(b) of this chapter shall be transferred to the school
corporation or charter school that provides the special education services to the student.
SECTION 217. IC 20-51.4-4-6, AS AMENDED BY P.L.202-2023, SECTION 55, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 6. Upon entering into or renewing an
agreement under this chapter, the treasurer of state department shall provide to the parent of an eligible
student or an emancipated eligible student a written explanation of the authorized uses of the money in
the ESA account and the responsibilities of the parent of an eligible student or an emancipated eligible
student and the treasurer of state department regarding an ESA account established under section 1 of
this chapter.
SECTION 218. IC 20-51.4-4-7, AS AMENDED BY P.L.202-2023, SECTION 56, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 7. A parent of an eligible student may use not
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more than seven hundred fifty dollars ($750) of the ESA annual grant amount received under this chapter
each school year for fees for transportation paid to a fee-for-service transportation provider for the eligible
student to travel to and from an approved service provider. However, the treasurer of state, in consultation
with the department shall establish criteria and a process by which a parent of an eligible student may
receive a waiver from the limit imposed on transportation fees under this section.
SECTION 219. IC 20-51.4-4-10, AS AMENDED BY P.L.202-2023, SECTION 59, IS AMENDED
TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 10. (a) The treasurer of state department
shall freeze the ESA account established under section 1 of this chapter of any parent of an eligible
student or an emancipated eligible student who:
(1) fails to comply with the terms of the agreement established under section 1 of this chapter;
(2) fails to comply with applicable laws or regulations; or
(3) substantially misuses funds in the ESA account.
(b) The treasurer of state department shall send written notice to the parent of the eligible student or
the emancipated eligible student stating the reason for the freeze under subsection (a). The treasurer of
state department may also send notice to the attorney general or the prosecuting attorney in the county
in which the parent of the eligible student or the emancipated eligible student resides if the treasurer of
state department believes a crime has been committed or a civil action relating to the ESA account is
necessary.
(c) A parent of an eligible student or an emancipated eligible student whose ESA account has been
frozen under subsection (a) may petition the treasurer of state department for redetermination of the
decision under subsection (a) within thirty (30) days after the date the treasurer of state department sends
notice to the parent of the eligible student or the emancipated eligible student under subsection (b). The
petition must contain a written explanation stating why the treasurer of state department was incorrect
in freezing the ESA account under subsection (a). If the treasurer of state department does not receive
a timely submitted petition from a parent of an eligible student or an emancipated eligible student under
this subsection, the treasurer of state department shall terminate the ESA account.
(d) The treasurer of state department shall review a petition received under subsection (c) within
fifteen (15) business days of receipt of the petition and issue a redetermination letter to the parent of the
eligible student or the emancipated eligible student. If the treasurer of state department overturns the
treasurer of state's department's initial decision under subsection (a), the treasurer of state department
shall immediately unfreeze the ESA account. If the treasurer of state department affirms the decision
under subsection (a), the treasurer of state department shall give notice of the affirmation to the parent
of the eligible student or the emancipated eligible student and terminate the ESA account.
SECTION 220. IC 20-51.4-4.5-1, AS AMENDED BY P.L.127-2024, SECTION 6, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 1. (a) After June 30, 2023, a parent of a career
scholarship student or an emancipated career scholarship student may establish a career scholarship
account for the career scholarship student by entering into a written agreement with the treasurer of state
department on a form prepared by the treasurer of state. department. An application to establish a CSA
account, or an application to participate in the CSA program with an ESA account, must be submitted not
later than October 1 for the school year. Subject to subsection (f), the CSA account of a career scholarship
student must be made in the name of the career scholarship student. The treasurer of state department
shall make the agreement available on the website of the treasurer of state. department.
(b) To be eligible to participate in the CSA program, a parent of a career scholarship student or an
emancipated career scholarship student must agree that:
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(1) a grant deposited in the career scholarship student's CSA account under section 3 of this chapter
and any interest that may accrue in the CSA account will be used only for the CSA qualified
expenses;
(2) money in the CSA account when the CSA account is terminated reverts to the state general fund;
and
(3) the parent of the career scholarship student or the emancipated career scholarship student will
use the money in the CSA account for the career scholarship student to attend one (1) or more of the
sequences, courses, apprenticeships, or programs of study designated and approved under section
6(a) of this chapter.
(c) A parent of a career scholarship student may enter into a separate agreement under subsection (a)
for each child of the parent. However, not more than one (1) CSA account may be established for each
career scholarship student.
(d) Except as provided under subsection (f), a CSA account must be established under subsection (a)
by a parent of a career scholarship student or an emancipated career scholarship student for a school year
not later than thirty (30) days after the date that the treasurer of state department approves an application
submitted under subsection (a).
(e) Except as provided in section 2 of this chapter, an agreement made under this section is valid for
one (1) school year while the career scholarship student is in grades 10 through 12 and may be renewed
annually. Upon graduation, or receipt of:
(1) a certificate of completion under the career scholarship student's individualized education
program; or
(2) an Indiana high school equivalency diploma under IC 22-4.1-18;
the career scholarship student's CSA account is terminated.
(f) If:
(1) a parent of a career scholarship student or an emancipated career scholarship student enters into
a written agreement with the treasurer of state department on a form under subsection (a); and
(2) the career scholarship student participates in the ESA program under this article;
the parent or emancipated career scholarship student must participate in the CSA program using the
student's ESA account instead of establishing a CSA account. However, if the student ceases to participate
in the ESA program, the parent of the student or the emancipated student must establish a CSA account
to participate in the CSA program.
SECTION 221. IC 20-51.4-4.5-2, AS ADDED BY P.L.202-2023, SECTION 62, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 2. (a) An agreement entered into under section
1 of this chapter terminates automatically for a career scholarship student if:
(1) the career scholarship student no longer resides in Indiana while the career scholarship student
is eligible to receive grants under section 3 of this chapter; or
(2) the CSA account is not renewed within three hundred ninety-five (395) days after the date the
CSA account was either established or last renewed.
If a CSA account is terminated under this section, money in the career scholarship student's CSA account,
including any interest accrued, reverts to the state general fund.
(b) An agreement made under section 1 of this chapter for a career scholarship student while the career
scholarship student is in grades 10 through 12 may be terminated before the end of the school year if the
parent of the career scholarship student or the emancipated career scholarship student notifies the
treasurer of state department in a manner specified by the treasurer of state. department.
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(c) A distribution made to a CSA account or ESA account, as applicable, under section 3 of this
chapter is considered tax exempt as long as the distribution is used for:
(1) a CSA qualified expense; or
(2) an ESA qualified expense if the career scholarship student is participating in the ESA program.
The amount is subtracted from the definition of "adjusted gross income" under IC 6-3-1-3.5 to the extent
the distribution used for the CSA qualified expense or ESA qualified expense, as applicable, is included
in the taxpayer's adjusted federal gross income under the Internal Revenue Code.
(d) If a career scholarship student does not have a student test number, the department shall establish
a student test number as described in IC 20-19-3-9.4 for the career scholarship student. The treasurer of
state department shall provide the department information necessary for the department to comply with
this subsection.
SECTION 222. IC 20-51.4-4.5-3, AS ADDED BY P.L.202-2023, SECTION 62, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 3. (a) A career scholarship student who
currently maintains a CSA account or an ESA account and participates in the CSA program is entitled
to an annual grant amount for each school year until the student:
(1) graduates; or
(2) obtains:
(A) a certificate of completion under the student's individualized education program; or
(B) an Indiana high school equivalency diploma under IC 22-4.1-18.
(b) A career scholarship student may not receive a grant under this section after graduating, receiving
an Indiana high school equivalency diploma, or obtaining a certificate of completion. The CSA annual
grant amount shall be paid from the CSA program fund. The treasurer of state, with notice to the
department shall deposit the CSA annual grant amount under this section, in quarterly deposits, into a
career scholarship student's:
(1) CSA account; or
(2) ESA account if the student participates in the ESA program;
in a manner established by the treasurer of state. department.
(c) Except as provided in subsection (d), at the end of the year in which a CSA account is established,
the parent of a career scholarship student or the emancipated career scholarship student may roll over for
use in a subsequent year a maximum of one thousand dollars ($1,000). However, for each year thereafter,
the parent of the career scholarship student or emancipated eligible student may roll over one thousand
dollars ($1,000) plus any amount rolled over in a previous year.
(d) A career scholarship student's CSA account shall terminate the later of:
(1) the date the student graduates high school or obtains an Indiana high school equivalency
diploma; or
(2) July 1 of the year in which the student graduates high school or obtains an Indiana high school
equivalency diploma.
Any money, including interest that remains in the career scholarship student's CSA account when it
terminates under this subsection, reverts to the state general fund.
SECTION 223. IC 20-51.4-4.5-4, AS ADDED BY P.L.202-2023, SECTION 62, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 4. (a) The career scholarship account program
fund is established for the purpose of providing grants to career scholarship students under the CSA
program.
(b) The treasurer of state department shall administer the CSA program fund.
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(c) The CSA program fund consists of the following:
(1) Appropriations by the general assembly.
(2) Interest deposited in the CSA program fund under subsection (d).
(3) Amounts transferred to the CSA program fund from the career scholarship account
administration fund under section 5(e) of this chapter.
(d) The treasurer of state shall invest money in the CSA program fund not currently needed to meet
the obligations of the CSA program fund in the same manner as other public money may be invested.
Interest that accrues from these investments shall be deposited in the CSA program fund.
(e) Money in the CSA program fund at the end of a state fiscal year reverts to the state general fund.
SECTION 224. IC 20-51.4-4.5-5, AS ADDED BY P.L.202-2023, SECTION 62, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 5. (a) The career scholarship account
administration fund is established for the purpose of accepting money for the CSA program to support
administration of the CSA program.
(b) The treasurer of state department shall administer the fund.
(c) The fund consists of the following:
(1) Administration fees deposited in the fund under IC 20-51.4-3-7(c).
(1) Appropriations by the general assembly.
(2) Interest deposited in the fund under subsection (d).
(d) The treasurer of state shall invest money in the fund not currently needed to meet the obligations
of the fund in the same manner as other public money may be invested. Interest that accrues from these
investments shall be deposited in the fund.
(e) The treasurer of state may transfer any funds held in the fund to the CSA program fund established
by section 4 of this chapter at any time for the purpose of the CSA program fund.
SECTION 225. IC 20-51.4-4.5-5.3, AS ADDED BY P.L.202-2023, SECTION 62, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 5.3. (a) The career scholarship account
donation fund is established for the purpose of accepting donations for the career scholarship account
program to support administration of the program.
(b) The treasurer of state department shall administer the fund.
(c) The fund consists of the following:
(1) Donations, gifts, and money received from any other source, including transfers from other funds
or accounts.
(2) Interest deposited in the fund under subsection (d).
(d) The treasurer of state shall invest money in the fund not currently needed to meet the obligations
of the fund in the same manner as other public money may be invested. Interest that accrues from these
investments shall be deposited in the fund.
(e) The treasurer of state may transfer any funds held in the fund to the career scholarship account
program fund established by section 4 of this chapter at any time for the purpose of that fund.
(f) (e) Money in the fund is continuously appropriated for purposes of the fund.
(g) (f) Money in the fund at the end of a state fiscal year does not revert to the state general fund but
remains in the fund for the purposes of the fund.
SECTION 226. IC 20-51.4-4.5-6, AS ADDED BY P.L.202-2023, SECTION 62, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 6. (a) The department shall in consultation with
the commission for higher education, designate and approve the following for grants under this chapter:
(1) Course sequences.
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(2) Career courses.
(3) Modern youth apprenticeships.
(4) Apprenticeships or apprenticeship programs (as defined in IC 20-43-8-0.3).
(5) Programs of study leading to industry recognized credentials.
(b) The department shall provide to the treasurer of state information concerning the designated and
approved sequences, courses, apprenticeships, and programs of study under subsection (a).
(c) (b) A CSA participating entity may identify and recommend a skill competency learned during a
course sequence, career course, modern youth apprenticeship, apprenticeship or apprenticeship program
(as defined in IC 20-43-8-0.3), or a program of study leading to industry recognized credentials that has
been approved under subsection (a) to the department for inclusion in the skill competency list maintained
by the department under IC 20-19-3-28.5.
(d) (c) The department shall approve a sequence, course, modern youth apprenticeship, apprenticeship,
or program of study under subsection (a) that:
(1) culminates in an approved credential; and
(2) is offered by an employer that has partnered with an approved intermediary (as defined in
IC 21-18-19-3) to offer the sequence, course, modern youth apprenticeship, apprenticeship, or
program of study.
(e) (d) The department may:
(1) periodically review the approval of a sequence, course, modern youth apprenticeship,
apprenticeship, or program of study under subsection (d); (c); and
(2) revoke an initial approval under subsection (d) (c) after a period of not less than three (3) years
if the sequence, course, modern youth apprenticeship, apprenticeship, or program of study fails to
achieve an adequate outcome, as determined by the department. in consultation with the commission
for higher education.
In determining whether a sequence, course, modern youth apprenticeship, apprenticeship, or program of
study has failed to achieve an adequate outcome, the department shall consider the outcomes listed in
IC 20-19-3-22.3.
SECTION 227. IC 20-51.4-4.5-7, AS ADDED BY P.L.202-2023, SECTION 62, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 7. (a) Beginning July 1, 2025, a career
scholarship student may only receive a grant amount for a sequence, course, apprenticeship, or program
of study described in section 6(a) of this chapter that aligns with the career scholarship student's
graduation plan.
(b) The commission for higher education department may contract with one (1) or more entities to:
(1) establish graduation plans with career scholarship students who have not established graduation
plans with a school corporation or school; and
(2) discuss sequence, course, apprenticeship, and program of study opportunities with career
scholarship students.
SECTION 228. IC 20-51.4-4.5-8, AS ADDED BY P.L.202-2023, SECTION 62, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 8. Upon entering into or renewing an
agreement under this chapter, the treasurer of state department shall provide to the parent of a career
scholarship student or an emancipated career scholarship student a written explanation of the authorized
uses of the money in the CSA account and the responsibilities of the parent of a career scholarship student
or an emancipated career scholarship student and the treasurer of state department regarding a CSA
account established under section 1 of this chapter or participation in the CSA program with an ESA
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account, if applicable.
SECTION 229. IC 20-51.4-4.5-11, AS ADDED BY P.L.202-2023, SECTION 62, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 11. (a) The treasurer of state department shall
freeze the CSA account established under section 1 of this chapter of any parent of a career scholarship
student or emancipated career scholarship student who:
(1) fails to comply with the terms of the agreement established under section 1 of this chapter;
(2) fails to comply with applicable laws or regulations; or
(3) substantially misuses funds in the CSA account.
(b) The treasurer of state department shall send written notice to the parent of the career scholarship
student or the emancipated career scholarship student stating the reason for the freeze under subsection
(a). The treasurer of state department may also send notice to the attorney general or the prosecuting
attorney in the county in which the parent of the career scholarship student or the emancipated career
scholarship student resides if the treasurer of state department believes a crime has been committed or
a civil action relating to the CSA account is necessary.
(c) A parent of a career scholarship student or an emancipated career scholarship student whose CSA
account has been frozen under subsection (a) may petition the treasurer of state department for
redetermination of the decision under subsection (a) within thirty (30) days after the date the treasurer of
state department sends notice to the parent of the career scholarship student or the emancipated career
scholarship student under subsection (b). The petition must contain a written explanation stating why the
treasurer of state department was incorrect in freezing the CSA account under subsection (a).
(d) If the treasurer of state department does not receive a timely submitted petition from a parent of
a career scholarship student or an emancipated career scholarship student under subsection (c), the
treasurer of state department shall terminate the CSA account.
(e) The treasurer of state department shall review a petition received under subsection (c) within
fifteen (15) business days of receipt of the petition and issue a redetermination letter to the parent of the
career scholarship student or the emancipated career scholarship student.
(f) If the treasurer of state department overturns the treasurer of state's department's initial decision
under subsection (a), the treasurer of state department shall immediately unfreeze the CSA account. If
the treasurer of state department affirms the decision under subsection (a), the treasurer of state
department shall give notice of the affirmation to the parent of the career scholarship student or the
emancipated eligible student and terminate the CSA account.
SECTION 230. IC 20-51.4-5-1, AS AMENDED BY P.L.202-2023, SECTION 63, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 1. It is the intent of the general assembly to
honor the autonomy of nonpublic schools that choose and are authorized to become ESA participating
entities under this article. A nonpublic eligible school is not an agent of the state or federal government,
and therefore:
(1) the treasurer of state, state board, department, or any other state agency may not in any way
regulate the educational program of a nonpublic school that accepts money from an ESA account
under this article, including the regulation of curriculum content, religious instruction or activities,
classroom teaching, teacher and staff hiring requirements, and other activities carried out by the
nonpublic school;
(2) the creation of the ESA program does not expand the regulatory authority of the state or the
state's officers to impose additional regulation of nonpublic schools beyond those necessary to
enforce the requirements of the ESA program; and
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(3) an accredited nonpublic school that is an ESA participating entity may provide for the
educational needs of students without governmental control.
SECTION 231. IC 20-51.4-5-2, AS AMENDED BY P.L.127-2024, SECTION 8, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 2. (a) The following individuals or entities may
become an ESA participating entity by submitting an application to the treasurer of state department in
a manner prescribed by the treasurer of state: department:
(1) A qualified school.
(2) An individual who or tutoring agency that provides private tutoring.
(3) An individual who or entity that provides services to a student with a disability in accordance
with an individualized education program developed under IC 20-35 or a service plan developed
under 511 IAC 7-34 or generally accepted standards of care prescribed by the eligible student's
treating physician.
(4) An individual who or entity that offers a course or program to an eligible student.
(5) A licensed occupational therapist.
(6) Entities that provide assessments.
(b) The treasurer of state department shall approve an application submitted under subsection (a) if
the individual or entity meets the criteria to serve as an ESA participating entity.
(c) If it is reasonably expected by the treasurer of state department that an ESA participating entity
will receive, from payments made under the ESA program, more than one hundred thousand dollars
($100,000) during a particular school year, the ESA participating entity shall, on or before a date
prescribed by the treasurer of state department provide the treasurer of state department evidence, in
a manner prescribed by the treasurer of state, department, indicating that the ESA participating entity
has unencumbered assets sufficient to pay the treasurer of state department an amount equal to the
amount expected to be paid to the ESA participating entity under the ESA program during the particular
school year.
(d) Each ESA participating entity that accepts payments made from an ESA account under this article
shall provide a receipt to the parent of an eligible student or to the emancipated eligible student for each
payment made.
SECTION 232. IC 20-51.4-5-4, AS AMENDED BY P.L.202-2023, SECTION 66, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 4. (a) The treasurer of state department may
refuse to allow an ESA participating entity to continue participation in the ESA program and revoke the
ESA participating entity's status as an ESA participating entity if the treasurer of state department
determines that the ESA participating entity accepts payments made from an ESA account under this
article and:
(1) has failed to provide any educational service required by state or federal law to an eligible
student receiving instruction from the ESA participating entity; or
(2) has routinely failed to meet the requirements of an ESA participating entity under the ESA
program.
(b) If the treasurer of state department revokes an ESA participating entity's status as an ESA
participating entity in the ESA program, the treasurer of state department shall provide notice of the
revocation within thirty (30) days of the revocation to each parent of an eligible student and to each
emancipated eligible student receiving instruction from the ESA participating entity who has paid the
ESA participating entity from the eligible student's ESA account.
(c) The treasurer of state department may permit a former ESA participating entity described in
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subsection (a) to reapply with the treasurer of state department for authorization to be an ESA
participating entity on a date established by the treasurer of state, department, which may not be earlier
than one (1) year after the date on which the former ESA participating entity's status as an ESA
participating entity was revoked under subsection (a). The treasurer of state department may establish
reasonable criteria or requirements that the former ESA participating entity must meet before being
reapproved by the treasurer of state department as an ESA participating entity.
SECTION 233. IC 20-51.4-5-6, AS AMENDED BY P.L.202-2023, SECTION 68, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 6. The treasurer of state department shall
annually make available on the treasurer of state's department's website a list of ESA participating
entities.
SECTION 234. IC 20-51.4-5.5-1, AS ADDED BY P.L.202-2023, SECTION 69, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 1. The commission for higher education shall,
in consultation with the department shall approve individuals and entities that provide sequences, courses,
apprenticeships, or programs of study designated and approved under IC 20-51.4-4.5-6(a) as CSA
participating entities under this article.
SECTION 235. IC 20-51.4-5.5-2, AS ADDED BY P.L.202-2023, SECTION 69, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 2. To become a CSA participating entity, an
individual or entity described in section 1 of this chapter must:
(1) submit an application to the commission for higher education department in a manner
prescribed by the commission for higher education; department;
(2) offer a sequence, course, apprenticeship, or program of study designated and approved under
IC 20-51.4-4.5-6(a) for enrollment by career scholarship students; and
(3) meet any other requirements established by the commission for higher education. department.
SECTION 236. IC 20-51.4-5.5-3, AS AMENDED BY P.L.150-2024, SECTION 71, IS AMENDED
TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 3. The commission for higher education
department shall approve an application submitted under section 2 of this chapter to the commission for
higher education department if the individual or entity meets the criteria to serve as a CSA participating
entity.
SECTION 237. IC 20-51.4-5.5-4, AS AMENDED BY P.L.127-2024, SECTION 9, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 4. (a) If it is reasonably expected by the
commission for higher education department that a CSA participating entity will receive, from payments
made under the CSA program, more than one hundred thousand dollars ($100,000) during a particular
school year, the CSA participating entity shall, on or before a date prescribed by the treasurer of state,
department, provide the treasurer of state department evidence, in a manner prescribed by the treasurer
of state, department, indicating that the CSA participating entity has unencumbered assets sufficient to
pay the treasurer of state department an amount equal to the amount expected to be paid to the CSA
participating entity under the CSA program during the particular school year.
(b) Each CSA participating entity that accepts payments made from a CSA account under this article
shall provide a receipt to the parent of a career scholarship student or to the emancipated career
scholarship student for each payment made.
SECTION 238. IC 20-51.4-5.5-5, AS AMENDED BY P.L.150-2024, SECTION 72, IS AMENDED
TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 5. (a) The commission for higher education
department may refuse to allow a CSA participating entity to continue participation in the CSA program
and revoke the CSA participating entity's status as a CSA participating entity if the commission for higher
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education department determines that the CSA participating entity accepts payments made from a CSA
account under this article and:
(1) has failed to provide any educational service required by state or federal law to a career
scholarship student receiving instruction from the CSA participating entity; or
(2) has routinely failed to meet the requirements of a CSA participating entity under the CSA
program.
(b) If the commission for higher education department approves a CSA participating entity under this
chapter, the commission for higher education: department:
(1) may periodically review the sequences, courses, apprenticeships, or programs of study provided
by the CSA participating entity to ensure the sequences, courses, or apprenticeships comply with
the requirements under IC 20-51.4-4.5-6 and this chapter; and
(2) may revoke approval of the CSA participating entity if, at any time more than two (2) years after
the CSA participating entity is approved, the commission for higher education department
determines that the sequences, courses, apprenticeships, or programs of study that the CSA
participating entity offers do not comply with the requirements under IC 20-51.4-4.5-6 or this
chapter.
(c) If the commission for higher education department revokes approval of a CSA participating entity
under subsection (b), the revocation becomes effective the immediately following school year.
SECTION 239. IC 20-51.4-5.5-6, AS ADDED BY P.L.202-2023, SECTION 69, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 6. (a) If the commission for higher education
department revokes a CSA participating entity's status as a CSA participating entity in the CSA program
under section 5 of this chapter, the commission for higher education department shall provide notice of
the revocation within thirty (30) days of the revocation to each parent of a career scholarship student and
to each emancipated career scholarship student receiving instruction from the CSA participating entity
that has paid the CSA participating entity from the career scholarship student's CSA account.
(b) The commission for higher education department may permit a former CSA participating entity
described in section 5 of this chapter to reapply to the commission for higher education department for
authorization to be a CSA participating entity on a date established by the commission for higher
education, department, which may not be earlier than one (1) year after the date on which the former
CSA participating entity's status as a CSA participating entity was revoked under section 5 of this chapter.
The commission for higher education department may establish reasonable criteria or requirements that
the former CSA participating entity must meet before being reapproved by the commission for higher
education department as a CSA participating entity.
SECTION 240. IC 20-51.4-5.5-8, AS ADDED BY P.L.202-2023, SECTION 69, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 8. The commission for higher education and
the treasurer of state department shall annually make available on the commission for higher education's
and treasurer of state's department's websites website a list of the CSA participating entities.
SECTION 241. IC 20-51.4-6-1, AS AMENDED BY P.L.202-2023, SECTION 71, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 1. (a) The treasurer of state department shall
adopt rules under IC 4-22-2 necessary to administer this article.
(b) The state board shall adopt rules under IC 4-22-2 to establish a procedure to establish an Indiana
education scholarship account education service plan for an eligible student.
(c) The department of education and the commission for higher education may adopt rules under
IC 4-22-2 necessary to administer the CSA program under this article.
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SECTION 242. IC 21-12-3-19, AS AMENDED BY P.L.9-2024, SECTION 422, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 19. (a) The state comptroller shall create a
separate and segregated higher education award fund distinct from the freedom of choice grant fund.
(b) All money disbursed from the higher education award fund shall be in accordance with this
chapter.
(c) The expense of administering the fund may be paid from money in the fund.
(d) Money remaining in the higher education award fund at the end of any fiscal year does not revert
to the state general fund but remains available to be used for making higher education awards under this
chapter, or it may be transferred to another fund under this article as directed by the commission under
IC 21-12-1.2-2.
SECTION 243. IC 21-12-4-8, AS AMENDED BY P.L.234-2015, SECTION 10, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 8. Money remaining in the freedom of choice
grant fund at the end of any fiscal year does not revert to the state general fund, but remains available to
be used for making freedom of choice grants under this chapter, or it may be transferred to another fund
under this article as directed by the commission under IC 21-12-1.2-2.
SECTION 244. IC 21-12-8-12, AS AMENDED BY P.L.152-2018, SECTION 12, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 12. (a) As used in this section, "department"
refers to the department of workforce development established by IC 22-4.1-2-1.
(b) As used in this section, "program" refers to the high value workforce ready noncredit-bearing grant
program established by subsection (c).
(c) The department shall establish a high value workforce ready noncredit-bearing grant program.
(d) The department shall do at least the following to establish the program:
(1) Prescribe the form and manner in which applications for high value workforce ready
noncredit-bearing grants may be submitted.
(2) Determine the eligibility of applicants. An applicant does not need to be enrolled as a student
at a postsecondary educational institution in order to be eligible for a high value workforce ready
noncredit-bearing grant.
(3) Determine the amount of a high value workforce ready noncredit-bearing grant awarded to a
recipient.
(4) As the department considers appropriate, work with an employer to determine:
(A) whether one (1) or more of the employer's current or future employees may be eligible for
a high value workforce ready noncredit-bearing grant; and
(B) what additional financial or other support for the employer's current or future employees the
employer may provide, if one (1) or more of the employer's current or future employees may be
eligible for a high value workforce ready noncredit-bearing grant.
(5) Work with interested units of local government and employer groups in a specific economic
sector or region of the state to develop cost-sharing and other approaches to increase the scope of
use and impact of the department's available funding for high value workforce ready
noncredit-bearing grants.
(6) In conjunction with the commission, determine which noncredit-bearing credentials or similar
programs are eligible for the high value workforce ready noncredit-bearing grant after considering
at least the following for each credential or similar program:
(A) Workforce demand and needs.
(B) Wage level data and information.
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(C) Program content and completion data.
(D) Program job placement data.
(7) Monitor, collect, analyze, and report to the governor and the legislative council and the
governor's workforce cabinet (established by IC 4-3-27-3) information and data concerning:
(A) the use, success, failure, and impact of the high value workforce ready noncredit-bearing
grants;
(B) the results of each noncredit credential or similar program for which grants are sought; and
(C) the results of each noncredit credential or similar program for which grants are provided.
The department shall submit the report required by this subdivision on or before October 1 for the
preceding state fiscal year. The report provided under this subdivision to the legislative council must
be in an electronic format under IC 5-14-6.
SECTION 245. IC 21-18-6-1, AS AMENDED BY P.L.152-2018, SECTION 14, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 1. The general purposes of the commission are
the following:
(1) Plan for and coordinate Indiana's state supported system of postsecondary education.
(2) Review appropriation requests of state educational institutions.
(3) Make recommendations to the governor, budget agency, or the general assembly concerning
postsecondary education.
(4) Perform other functions assigned by the governor or the general assembly. except those functions
specifically assigned by law to the governor's workforce cabinet under IC 22-4.1-19.
(5) Administer state financial aid programs under IC 21-18.5-4.
(6) Provide staff and office space for the board for proprietary education established by
IC 21-18.5-5-1.
SECTION 246. IC 21-18-6-9.5 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 9.5. (a) As used in this section, "physical
facilities" refers to space assigned to departments and organizational units of a state educational
institution, including space assigned to departments and organizational units that have functions
related to instruction, research, public service, academic support, student services, institutional
support, operation and maintenance of physical facilities, auxiliary enterprises, independent
operations or noninstitutional activities, hospitals, and residential activities.
(b) Not later than July 1, 2026, and not later than each July 1 thereafter, the commission shall
prepare and submit to the legislative council and to the budget committee a report that examines
the utilization of physical facilities primarily used for instruction at each state educational
institution. The report must include at least the:
(1) number of classroom instructional spaces, instructional laboratory spaces, and combined
classroom and instructional laboratory spaces in each physical facility; and
(2) utilization of classroom instructional spaces, instructional laboratory spaces, and combined
classroom and instructional laboratory spaces in each physical facility;
as defined by the commission.
(c) In compiling the information for the report required by this section, the commission shall
consider:
(1) characteristics of the student body of a state educational institution, such as serving
part-time students, commuter students, and working adults;
(2) the types of programs provided, and associated necessary instructional space, by a state
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educational institution; and
(3) information about physical facilities that is collected by the commission in support of the
commission's recommendations concerning capital as described in IC 21-18-9-1.
(d) A state educational institution shall provide any information required by the commission that
is necessary to complete the report required by this section in the form and manner required by the
commission.
(e) A report submitted to the legislative council under this section must be in an electronic
format under IC 5-14-6.
SECTION 247. IC 21-18-9-10.5, AS ADDED BY P.L.213-2015, SECTION 234, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 10.5. (a) The commission shall review the
programs offered by Ivy Tech Community College that have low graduation rates.
(b) Based on the results of the review under subsection (a) and except as provided under section 10.7
of this chapter, the commission may do any of the following regarding such a program:
(1) Require the restructuring of the program, based on information from other programs that are
successful.
(2) Eliminate the program.
(3) Take no action concerning the program.
SECTION 248. IC 21-18-9-10.7 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 10.7. (a) For each state educational
institution degree program, if the:
(1) average number of students who graduate over the immediately preceding three (3) years
is fewer than:
(A) ten (10) students for a particular associate degree program;
(B) fifteen (15) students for a particular bachelor's degree program;
(C) seven (7) students for a particular master's degree program;
(D) three (3) students for a particular education specialist program; or
(E) three (3) students for a particular doctorate degree program; and
(2) state educational institution would like to continue a degree program described in
subdivision (1);
the state educational institution must request approval from the commission to continue the degree
program.
(b) If the commission does not grant approval under subsection (a), the state educational
institution must eliminate:
(1) the degree program; and
(2) any costs associated with the degree program.
SECTION 249. IC 21-18-12.6 IS REPEALED [EFFECTIVE JULY 1, 2025]. (Postsecondary Prior
Learning Assessment Clearinghouse).
SECTION 250. IC 21-18-20-5, AS ADDED BY P.L.202-2023, SECTION 79, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 5. (a) The commission shall develop and
implement a comprehensive career navigation and coaching system for Indiana that does both of the
following:
(1) Provides timely, comprehensive, relevant, and useful information on careers, including at least:
(A) general and industry sector based regional, state, national, and global information to identify
both immediate and potential career opportunities arising from:
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(i) current employer needs;
(ii) developing or foreseeable talent needs and trends; and
(iii) other factors identified by the commission;
(B) state, regional, and local labor market supply and demand information from the department
of workforce development, industry sectors, and other verifiable sources; and
(C) educational requirements and attainment information from employers, the department of
workforce development, and other verifiable sources.
(2) Establishes strategies and identifies capacity to deliver career navigation and coaching to
kindergarten through grade 12 students, including at least:
(A) processes for identifying an individual's aptitude for and interest in, and the education and
training required for, various career and employment opportunities;
(B) the use of approved intermediaries, career coaches, and other coaching resources;
(C) qualifications for career coaches and a training program to enable the career coaches to
provide relevant information to the individuals being served;
(D) the incorporation and ongoing usage of Internet based systems that are interoperable with the
comprehensive career navigation and coaching system; and
(E) career exploration, engagement, and experience.
(b) All high schools in Indiana may participate in the comprehensive career navigation and coaching
system developed under subsection (a).
(c) In developing and implementing the comprehensive career navigation and coaching system
described in subsection (a), the commission shall:
(1) work in consultation with, and receive cooperation, support, and assistance from:
(A) the department of workforce development, governor's workforce cabinet, and department;
and
(B) the resources, providers, and institutions that the department of workforce development,
governor's workforce cabinet, and department use and oversee;
(2) explore approaches and models from Indiana and other states and countries;
(3) where appropriate, use pilot programs or other scaling approaches to develop and implement the
comprehensive career navigation and coaching system in a cost effective and efficient manner; and
(4) initially focus on students enrolled in high school.
SECTION 251. IC 21-18-21 IS ADDED TO THE INDIANA CODE AS A NEW CHAPTER TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]:
Chapter 21. Postsecondary Career and Technical Education
Sec. 1. As used in this chapter, "state board" refers to the Indiana state board of education
established by IC 20-19-2-2.1.
Sec. 2. The commission may consult with and make recommendations to the state board on all
postsecondary career and technical education programs.
Sec. 3. The commission shall biennially prepare a plan for implementing postsecondary career
and technical education programming after considering the long range state plan developed under
IC 20-20-38-4. The commission shall submit the plan to the state board for its review and
recommendations. The commission shall specifically report on how the plan addresses preparation
for employment.
Sec. 4. The commission may also make recommendations to the general assembly concerning the
plan prepared under section 3 of this chapter.
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Sec. 5. The commission may make recommendations to the state board concerning the legislative
budget requests prepared under IC 20-20-38-12 by state educational institutions for state funds for
career and technical education.
Sec. 6. The commission may:
(1) make or cause to be made studies of the needs for various types of postsecondary career
and technical education; and
(2) submit to the state board the commission's findings in this regard.
Sec. 7. (a) The commission may develop a definition for and report biennially to the:
(1) general assembly;
(2) governor; and
(3) state board;
on attrition and persistence rates by students enrolled in state career and technical education.
(b) A report under this section to the general assembly must be in an electronic format under
IC 5-14-6.
SECTION 252. IC 21-18.5-4-11, AS AMENDED BY P.L.152-2018, SECTION 18, IS AMENDED
TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 11. The commission may cooperate in
developing training programs concerning grant program requirements with the
(1) board for proprietary education. or
(2) governor's workforce cabinet.
SECTION 253. IC 21-20-3-2, AS ADDED BY P.L.2-2007, SECTION 261, IS AMENDED TO READ
AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 2. (a) The board of trustees has nine (9) members
appointed by the governor.
(b) At least five (5) of the members appointed to the board of trustees must be alumni of Indiana
University.
SECTION 254. IC 21-20-3-2.5 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 2.5. (a) The governor may at any time
remove and replace a member of the board of trustees who was elected by the alumni of Indiana
University.
(b) If the governor removes and replaces a member under this section, the new member
appointed by the governor serves until the expiration of the term of the replaced member described
in subsection (a).
(c) If the governor does not remove and replace a member under this section, the member of the
board of trustees elected by the alumni of Indiana University may serve until the member's term
expires.
(d) This section expires January 1, 2028.
SECTION 255. IC 21-20-3-3, AS ADDED BY P.L.2-2007, SECTION 261, IS AMENDED TO READ
AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 3. (a) At least five (5) of the members appointed
to the board of trustees must be residents of Indiana.
(b) This section subsection does not apply to the student trustee appointed to the board of trustees. Not
more than
(1) one (1) of the trustees elected to the board of trustees; and
(2) two (2) three (3) of the trustees appointed to members of the board of trustees
may reside in the same county.
SECTION 256. IC 21-20-3-4 IS REPEALED [EFFECTIVE UPON PASSAGE]. Sec. 4. (a) Three (3)
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members of the board of trustees shall be elected by the alumni of Indiana University under this chapter.
In the year in which the term of any member of the board of trustees elected by the alumni expires, a
successor to the trustee shall be elected by the alumni of Indiana University, to serve for a term of three
(3) years beginning July 1 next succeeding the election.
(b) When a vacancy occurs in the membership of the board of trustees who are elected by the alumni,
because of death, resignation, or any other reason, the vacancy shall be filled by selection by the Indiana
University alumni association executive council for the unexpired term.
SECTION 257. IC 21-20-3-5 IS REPEALED [EFFECTIVE UPON PASSAGE]. Sec. 5. The members
of the board of trustees who are elected by the alumni of Indiana University must be alumni of Indiana
University.
SECTION 258. IC 21-20-3-6 IS REPEALED [EFFECTIVE UPON PASSAGE]. Sec. 6. The alumni
of Indiana University consist of those persons who have been awarded a degree by the board of trustees
of Indiana University as recommended by the faculty.
SECTION 259. IC 21-20-3-7 IS REPEALED [EFFECTIVE UPON PASSAGE]. Sec. 7. (a) Any one
hundred (100) or more alumni of Indiana University may file with the librarian of Indiana University on
or before April 1 in each year a written nomination for a trustee to be elected by the alumni at the next
election.
(b) After April 1, but not later than June 1, a list of all candidates nominated under this section shall
be mailed by the librarian to each alumnus at the alumnus's address.
SECTION 260. IC 21-20-3-8 IS REPEALED [EFFECTIVE UPON PASSAGE]. Sec. 8. The election
of members of the board of trustees shall be held at Indiana University on the secular day immediately
preceding July 1. At that time trustees shall be elected to:
(1) serve for a term of three (3) years from July 1 next succeeding the trustee's election; and
(2) complete any unexpired term or terms.
SECTION 261. IC 21-20-3-9 IS REPEALED [EFFECTIVE UPON PASSAGE]. Sec. 9. The university
librarian shall conduct the elections to select the three (3) alumni members of the board of trustees. All
alumni (as described in section 6 of this chapter) are eligible to participate in the election either by
electronic or printed ballot, and each eligible individual may cast only one (1) vote. A request for a
printed ballot must be made in writing to the university librarian not later than May 1 of an election year.
The university librarian may adopt rules and regulations as necessary to carry out this section.
SECTION 262. IC 21-20-3-10 IS REPEALED [EFFECTIVE UPON PASSAGE]. Sec. 10. The person
receiving the greatest number of votes cast shall be declared the elected trustee. If two (2) or more persons
receive an equal and the greatest number of votes cast, the librarian shall cast lots to determine which of
the persons shall be declared the elected trustee.
SECTION 263. IC 21-20-3-11 IS REPEALED [EFFECTIVE UPON PASSAGE]. Sec. 11. The term
of an elected trustee expires July 1 of the year in which the terms are to end.
SECTION 264. IC 21-20-3-11.5 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 11.5. Except for the student trustee
described in section 13 of this chapter, an employee of Indiana University may not serve as a
member of the board of trustees.
SECTION 265. IC 21-20-3-12, AS AMENDED BY P.L.29-2012, SECTION 8, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 12. (a) The governor shall appoint five (5)
members Except for a student trustee described in section 13 of this chapter, each member of the
board of trustees serves for terms a term of three (3) years.
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(b) A member of the board of trustees may not serve more than three (3) terms.
(b) (c) Whenever a vacancy occurs in the membership of the board of trustees who are appointed by
the governor because of death or resignation or for any other reason, the vacancy shall be filled by an
appointment of the governor for the unexpired term.
SECTION 266. IC 21-20-3-13, AS ADDED BY P.L.2-2007, SECTION 261, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 13. (a) The governor shall appoint One
(1) member appointed to the board of trustees a member who must be a full-time student of Indiana
University. during the two (2) year tenure of the appointment.
(b) The student trustee appointed in accordance with this section serves for a term of one (1)
year.
SECTION 267. IC 21-38-3.5 IS ADDED TO THE INDIANA CODE AS A NEW CHAPTER TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]:
Chapter 3.5. Tenured Faculty Member Productivity Reviews
Sec. 1. As used in this chapter, "board of trustees" has the meaning set forth in IC 21-39.5-1-2.
Sec. 2. As used in this chapter, "faculty member" means an employee of an institution to whom
one (1) or both of the following apply:
(1) The employee's employment duties include teaching students of the institution.
(2) The employee conducts research at the institution.
Sec. 3. As used in this chapter, "institution" means a state educational institution.
Sec. 4. (a) In addition to the review described in IC 21-39.5-2, the board of trustees of each
institution shall establish the following:
(1) A review process with regard to department level promotions and tenure expectations.
(2) A post-tenure review process for tenured faculty members that:
(A) measures productivity; and
(B) includes, at a minimum, the following:
(i) The faculty member's teaching workload.
(ii) The total number of students who the faculty member teaches at the graduate and
undergraduate level.
(iii) The time spent on instructional assignments and the time spent on overseeing
graduate students.
(iv) The research and creative scholarship productivity of the faculty member.
(b) The process established under subsection (a)(2) must include a requirement that the
institution place a faculty member on probation, which may result in dismissal of the faculty
member, if productivity requirements established by the institution are not met.
(c) Beginning July 1, 2025, a tenure agreement entered into or renewed between an institution
and a faculty member must comply with the post-tenure review process established under
subsection (a)(2).
(d) Unless an agreement entered into before July 1, 2025, provides otherwise, the post-tenure
review process established by an institution under subsection (a)(2) applies to all tenured faculty
members of the institution.
Sec. 5. A faculty member shall prepare and post on the institution's website a syllabus for each
course the faculty member is teaching.
SECTION 268. IC 21-38-11 IS ADDED TO THE INDIANA CODE AS A NEW CHAPTER TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]:
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Chapter 11. Faculty Governance Organizations
Sec. 1. As used in this chapter, "faculty governance organization" means a body of members
selected to represent faculty of a state educational institution.
Sec. 2. A faculty governance organization meeting at which the members of the faculty
governance organization make a motion or vote on a matter must be open to the public.
Sec. 3. Only members of a faculty governance organization who are employed by the applicable
state educational institution may vote on a matter.
Sec. 4. Faculty governance organization actions are advisory only.
SECTION 269. IC 21-41-17 IS ADDED TO THE INDIANA CODE AS A NEW CHAPTER TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]:
Chapter 17. State Educational Institution Degree Program Review
Sec. 1. As used in this chapter, "commission" means the commission for higher education.
Sec. 2. As used in this chapter, "institution" refers to a state educational institution.
Sec. 3. (a) Each institution shall do the following:
(1) Plan and conduct a degree program review in accordance with section 4 of this chapter to
be used for the purposes described in subdivision (3). The degree program review must include
an analysis of enrollment and both quantitative and qualitative data.
(2) Develop procedures to evaluate the effectiveness of the institution's degree programs to
address the quality, viability, and productivity of efforts in:
(A) teaching and learning;
(B) scholarship; and
(C) service;
as appropriate to the institution's mission.
(3) Use the findings and recommendations from the degree program review for the progressive
improvement and adjustment of degree programs in the context of the institution's strategic
plan.
(4) Submit each degree program review to the commission.
(5) Post a degree program review on the applicable institution's website.
(b) The adjustment under subsection (a)(3) may include:
(1) degree program enhancement;
(2) maintenance of a degree program at its current level;
(3) degree program reduction in scope; or
(4) consolidation or elimination of a degree program.
Sec. 4. (a) Each institution shall review each degree program at least once every seven (7) years.
(b) Programs accredited by external entities may not substitute an external review for a degree
program review by the institution under this chapter. However, an institution may use material
submitted as part of an external accreditation process in the degree program review by the
institution under this chapter.
(c) An institution may align degree program review cycles described in subsection (a) with
required external accreditation reviews as long as a degree program review cycle does not at any
time exceed seven (7) years.
Sec. 5. If a review of a degree program under section 4 of this chapter demonstrates that the
degree program is unsuccessful, the institution shall develop a plan of action regarding the degree
program.
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SECTION 270. IC 21-43-9-1 IS REPEALED [EFFECTIVE JULY 1, 2025]. Sec. 1. As used in this
chapter, "cabinet" means the governor's workforce cabinet established in IC 4-3-27-3.
SECTION 271. IC 21-43-9-3, AS ADDED BY P.L.216-2021, SECTION 46, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 3. The governor shall direct the commission
for higher education and the department and the cabinet to, in consultation with state educational
institutions, prepare model guidance and informational resources concerning postsecondary enrollment
opportunities described in this article that incorporate work based learning experiences.
SECTION 272. IC 21-43-9-4, AS AMENDED BY P.L.250-2023, SECTION 42, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 4. (a) Model guidance and informational
resources that incorporate secondary work based learning and postsecondary enrollment opportunities
under this chapter must include the following:
(1) At least one (1) model of a codevelopment process that describes roles and responsibilities of
secondary, postsecondary, and employer stakeholders.
(2) A model of a faculty led process to align postsecondary learning outcomes and secondary career
and technical education standards.
(3) A model of a codevelopment process for the development of secondary student learning
assessments that enables eligibility for postsecondary credit.
(4) Procedures to document and formalize the secondary, postsecondary, and employer partnership
agreement.
(5) Recommended timelines for codevelopment, implementation, and course content update.
(6) Applicable legal or regulatory requirements, including a requirement that postsecondary
educational institutions ensure that a student's completion of a work based learning course is
indicated on the student's transcript.
(7) Applicable accreditation guidelines of state educational institutions.
(8) Other informational or best practice resources related to development and implementation of
postsecondary enrollment opportunities through work based learning experiences.
(b) Not later than January 1, 2022, the governor shall direct the commission for higher education and
the department and the cabinet to publish model guidance and information resources prepared under
subsection (a) on its respective website.
SECTION 273. IC 22-2-18.1-34 IS REPEALED [EFFECTIVE JULY 1, 2025]. Sec. 34. The
department shall submit, not later than December 1 of each year, an annual report listing all registered
employers under section 25 of this chapter to the governor's workforce cabinet established by IC 4-3-27-3.
SECTION 274. IC 22-4.1-1-1.5 IS REPEALED [EFFECTIVE JULY 1, 2025]. Sec. 1.5. "Cabinet"
refers to the governor's workforce cabinet established by IC 4-3-27-3.
SECTION 275. IC 22-4.1-1-6.5, AS ADDED BY P.L.106-2024, SECTION 7, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 6.5. "Workforce focused agency" means the
following:
(1) The department.
(2) The department of education established by IC 20-19-3-1.
(3) The commission for higher education established by IC 21-18-2-1.
(4) The governor's workforce cabinet established by IC 4-3-27-3.
(5) (4) The office of the secretary of family and social services established by IC 12-8-1.5-1.
SECTION 276. IC 22-4.1-4-1.5, AS AMENDED BY SEA 448-2025, SECTION 10, IS AMENDED
TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 1.5. (a) The department shall do the
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following:
(1) Administer the Wagner-Peyser program, the WIOA, a free public labor exchange, and related
federal and state employment and training programs as directed by the governor.
(2) Formulate and implement an employment and training plan as required by the WIOA, and the
Wagner-Peyser Act (29 U.S.C. 49 et seq.).
(3) Coordinate activities with all state agencies and departments that either provide employment and
training related services or operate appropriate resources or facilities, to maximize Indiana's efforts
to provide employment opportunities for economically disadvantaged individuals, dislocated
workers, and others with substantial barriers to employment.
(4) Apply for, receive, disburse, allocate, and account for all funds, grants, gifts, and contributions
of money, property, labor, and other things of value from public and private sources, including
grants from agencies and instrumentalities of the state and the federal government.
(5) Enter into agreements with the United States government that may be required as a condition of
obtaining federal funds related to activities of the department.
(6) Enter into contracts or agreements and cooperate with local governmental units or corporations,
including profit or nonprofit corporations, or combinations of units and corporations to carry out the
duties of the department imposed by this chapter, including contracts for the establishment and
administration of employment and training offices and the delegation of the department's
administrative, monitoring, and program responsibilities and duties set forth in this article.
(7) Perform other services and activities that are specified in contracts for payments or
reimbursement of the costs made with the Secretary of Labor, any federal, state, or local public
agency or administrative entity, or a private for-profit or nonprofit organization under the WIOA.
(8) Enter into contracts or agreements and cooperate with entities that provide career and technical
education to carry out the duties imposed by this article.
(9) Serve as the state advisory body required under the federal Workforce Innovation and
Opportunity Act of 2014 under 29 U.S.C. 3101 et seq., including reauthorizations of WIOA.
(b) The department shall distribute federal funds made available for employment training in
accordance with:
(1) the WIOA, and other applicable federal laws; and
(2) the plan prepared by the cabinet under subsection (c)(1).
(c) In addition to the duties prescribed in subsections (a) and (b), the department shall do the
following:
(1) Implement the postsecondary career and technical education programming plan prepared by the
cabinet under IC 22-4.1-19-4 (before its repeal).
(2) Upon request of the budget director, prepare a legislative budget request for state and federal
funds for employment training. The budget director shall determine the period to be covered by the
budget request.
(3) Make or cause to be made studies of the needs for various types of programs that are related to
employment training and authorized under the WIOA.
(4) Distribute state funds made available for employment training that have been appropriated by
the general assembly in accordance with the general assembly appropriation.
(5) Collect from each employer subject to IC 22-4 the following information in the form and manner
prescribed by the department:
(A) The Standard Occupational Classification code applicable to each employee as prescribed
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by the Bureau of Labor Statistics of the United States Department of Labor or primary job title
as recorded and reported by the employer.
(B) Whether each employee is:
(i) classified by the employer as full-time, part-time, intern, or apprentice; or
(ii) designated as a seasonal worker pursuant to a decision issued by the department.
(C) The hourly rate of pay for each employee.
(6) Enter into data sharing agreements and transmit the data collected under subdivision (5), in
addition to any other relevant data, to agencies deemed appropriate by the department for:
(A) assessing outcomes of education and workforce programs;
(B) evaluating educational and workforce training investments;
(C) informing labor market analysis; and
(D) conducting economic research.
(7) Minimize employer reporting burdens, where feasible, through:
(A) aligning and streamlining definitions and requirements for quarterly wage and employment
reports;
(B) deploying user friendly application programming interfaces; and
(C) other means to simplify reporting processes.
(8) Establish an employer outreach and communications campaign in collaboration with statewide
business and industry associations to increase the number of employers that report accurate data
under subdivision (5).
SECTION 277. IC 22-4.1-18-2, AS AMENDED BY P.L.157-2023, SECTION 3, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 2. The department may grant the following:
(1) An Indiana high school equivalency diploma to an individual who achieves satisfactory high
school level scores on the Indiana high school equivalency test or any other properly validated test
of comparable difficulty designated by the cabinet. department.
(2) An Indiana competency based high school diploma or equivalency diploma to an individual who:
(A) demonstrates high school level skills through validated competency based assessments
designated by the cabinet; department; and
(B) obtains an industry recognized certificate.
SECTION 278. IC 22-4.1-18-3, AS AMENDED BY P.L.86-2020, SECTION 8, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 3. (a) The department shall administer the
testing program provided in this chapter. All administrative costs of this program must be funded through
appropriations of the general assembly.
(b) The test shall be:
(1) a nationally administered high school equivalency exam utilizing college and career readiness
standards that includes subtests of reading, mathematics, science, social studies, and writing; and
(2) available in a pencil and paper and online formats.
(c) The test vendor shall provide:
(1) annual in-person and online training;
(2) an annual national and Indiana statistical report;
(3) a dedicated customer service line;
(4) at least one (1) practice test available in both pencil and paper and online formats;
(5) at least two (2) retests for each subtest, free of charge; and
(6) a nationally based research report on the long term outcomes for candidates who passed the test,
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which shall be presented to the department, governor's workforce cabinet, the chairman of the house
committee on education, and the chairman of the senate committee on education and career
development.
SECTION 279. IC 22-4.1-19 IS REPEALED [EFFECTIVE JULY 1, 2025]. (Postsecondary Career and
Technical Education).
SECTION 280. IC 22-4.1-20-2, AS AMENDED BY P.L.152-2018, SECTION 31, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 2. (a) The cabinet and the governor may
prescribe a program of adult education.
(b) The department, in consultation with the cabinet and the governor, may adopt rules under IC 4-22-2
to provide for this program and to provide for the state distribution formula for money appropriated by
the general assembly for adult education.
SECTION 281. IC 22-4.1-22.5-1, AS AMENDED BY P.L.10-2019, SECTION 99, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 1. (a) The state workforce innovation council
established by IC 22-4.1-22-3 (before its repeal) is abolished.
(b) The following are transferred on March 21, 2018, the effective date of P.L.152-2018, from the state
workforce innovation council to the governor's workforce cabinet established by IC 4-3-27-3 (before its
repeal):
(1) All real and personal property of the state workforce innovation council.
(2) All powers, duties, assets, and liabilities of the state workforce innovation council.
(3) All appropriations to the state workforce innovation council.
(c) All rules or policies that were adopted by the state workforce innovation council before March 21,
2018, shall be treated as though the rules were adopted by the governor's workforce cabinet established
by IC 4-3-27-3 (before its repeal) until the governor's workforce cabinet (before its repeal) adopts new
rules or policies.
(d) After March 21, 2018, a reference to the state workforce innovation council in a statute or rule shall
be treated as a reference to the governor's workforce cabinet established by IC 4-3-27-3 (before its
repeal).
SECTION 282. IC 22-4.1-22.5-2, AS AMENDED BY P.L.10-2019, SECTION 100, IS AMENDED
TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 2. (a) After March 21, 2018, the effective
date of P.L.152-2018, a contract entered into by the state workforce innovation council (before its
abolishment on March 21, 2018) is a contract of the governor's workforce cabinet established by
IC 4-3-27-3 (before its repeal).
(b) The repeal of IC 22-4.1-22 does not affect the right, duties, or obligations of the governor's
workforce cabinet (before its repeal) or a person who before March 21, 2018, had a contract with the
state workforce innovation council (before its abolishment on March 21, 2018).
(c) A person or the governor's workforce cabinet established by IC 4-2-27-3 (before its repeal) may
enforce a right to compel performance of a duty for a contract as if the repeal of IC 22-4.1-22 had not been
enacted.
SECTION 283. IC 22-4.1-24-2, AS AMENDED BY P.L.152-2018, SECTION 35, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 2. (a) A state provider shall prepare a written
report concerning:
(1) its workforce related programs annually; and
(2) a new workforce related program not later than thirty (30) days after establishing the program.
(b) At a minimum, the following information must be provided in an annual report for each program:
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(1) A description of the program that includes an explanation of how the program aligns with
Indiana's workforce needs and coordinates with existing workforce related programs.
(2) The amount of funding provided for the program and the source or sources of the funding.
(3) The number of individuals participating in the program.
(4) Demographic information about the individuals participating in the program, including:
(A) the age or ages of the program participants; and
(B) the education attainment level of the program participants.
(5) The results of the program, including:
(A) the number of individuals completing the program;
(B) the number and types of degrees, certificates, credentials, and certifications awarded, and
whether the degrees, certificates, credentials, and certifications are industry recognized, if a
degree, certificate, credential, or certification is awarded at the completion of the program;
(C) the extent to which participants in the program obtained employment, retained employment,
or secured better employment as the direct result of participating in or completing the program,
including the number of participants placed at the completion of or departure from the program
and within one (1) year after program completion or departure;
(D) a description of the specific jobs that participants in the program obtained or retained;
(E) the wages offered to and earned by the participants both before and after participation in or
completion of the program, including the starting wages at placement of participants completing
the program; and
(F) the retention rates of participants who obtained employment or secured better employment
as the direct result of participating in or completing the program.
(c) At a minimum, the report for a new workforce related program must include the information
described in subsection (b)(1) and (b)(2).
(d) A state provider shall provide a copy of a report described in subsection (a) to the:
(1) governor;
(2) legislative council; and
(3) cabinet; and
(4) (3) department.
An annual report must be submitted on or before October 1 for the preceding state fiscal year. A report
concerning a new workforce related program must be submitted not later than thirty (30) days after a state
provider establishes the program. A report provided under this subsection to the legislative council must
be in an electronic format under IC 5-14-6.
SECTION 284. IC 22-4.1-27-1 IS REPEALED [EFFECTIVE JULY 1, 2025]. Sec. 1. As used in this
chapter, "cabinet" refers to the governor's workforce cabinet established by IC 4-3-27-3.
SECTION 285. IC 22-4.1-27-7, AS ADDED BY P.L.237-2019, SECTION 2, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 7. (a) The workforce diploma reimbursement
program is established.
(b) The cabinet, in coordination with The department shall administer the program.
SECTION 286. IC 22-4.1-27-8, AS ADDED BY P.L.237-2019, SECTION 2, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 8. (a) The workforce diploma reimbursement
program fund is established for the purpose of providing payments under the program to approved eligible
program providers that assist adults who are more than twenty-two (22) years of age in:
(1) developing employability and career technical skills; and
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(2) obtaining high school diplomas.
(b) The fund consists of the following:
(1) Appropriations made by the general assembly.
(2) Gifts, grants, devises, or bequests made to the cabinet department to achieve the purposes of
the fund.
(c) The cabinet department shall administer the fund.
(d) The expenses of administering the fund shall be paid from money in the fund.
(e) The treasurer of state shall invest the money in the fund not currently needed to meet the
obligations of the fund in the same manner as other public funds may be invested. Interest that accrues
from these investments shall be deposited in the fund.
SECTION 287. IC 22-4.1-27-9, AS ADDED BY P.L.237-2019, SECTION 2, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 9. (a) To be approved to participate in the
program under this chapter, an eligible program provider must meet the following requirements:
(1) Except as provided under section 11 of this chapter, the eligible program provider submits an
application to the cabinet department on a form prescribed by the cabinet department not later
than August 15 of the year for which the eligible program provider is applying.
(2) The eligible program provider demonstrates that the eligible program provider:
(A) has experience providing services to assist adults who are more than twenty-two (22) years
of age in:
(i) obtaining high school diplomas; and
(ii) developing employability and career and technical skills; and
(B) has the ability to:
(i) provide academic skill intake assessment and transcript evaluations;
(ii) develop a learning plan that integrates academic requirements and career goals;
(iii) provide remediation course work in literacy and numeracy;
(iv) provide a research validated academic resiliency assessment and intervention;
(v) provide employability skills development aligned to employer needs;
(vi) provide career pathways course work;
(vii) provide preparation for industry recognized credentials; and
(viii) provide career placement services.
(3) The eligible program provider's course catalog includes all courses necessary to meet
requirements for an Indiana diploma with a general designation, including sufficient courses to meet
graduation pathway requirements (as defined in IC 20-18-2-6.3).
(4) The eligible program provider is accredited by a recognized regional accrediting body.
(5) The eligible program provider's programs begin not later than October 1 of the year for which
the eligible program provider is applying.
(b) The cabinet department shall approve eligible program providers that meet the requirements of
this chapter.
SECTION 288. IC 22-4.1-27-10, AS ADDED BY P.L.237-2019, SECTION 2, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 10. (a) Not later than September 15, 2019, and
not later than September 15 of each year thereafter, the cabinet department shall provide publish a list
of approved eligible program providers to the department. on the department's website.
(b) The department shall publish the list described in subsection (a) on the department's Internet web
site.
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SECTION 289. IC 22-4.1-27-15, AS ADDED BY P.L.237-2019, SECTION 2, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 15. (a) Not later than July 15, 2020, and not
later than July 15 each year thereafter, each approved eligible program provider shall report the following
to the department, the legislative council in an electronic format under IC 5-14-6, and the interim study
committee on education established by IC 2-5-1.3-4:
(1) The total number of students for whom the eligible program provider has received funding
through the program.
(2) The total number of credits that have been earned through the program.
(3) The total number of employability skills certifications that have been completed under the
program.
(4) The total number of industry recognized credentials that have been attained under the program
for each respective milestone described in section 12(3) through 12(5) of this chapter.
(5) The total number of graduates under the program.
(6) To the extent possible, the use of the funding received by the approved eligible program provider
under this chapter during the previous school year and metrics of student achievement and
demographics, including:
(A) the amount of funding received under this chapter that is used for each course or program of
instruction of the approved eligible program provider;
(B) the amount of funding received under this chapter that is used for transportation costs for
students to attend a course or program of the approved eligible program provider;
(C) the amount of funding received under this chapter that is used for any other purposes; and
(D) metrics of student achievement and demographic information for those students during the
previous school year that participated in a course or program of instruction of the approved
eligible program provider that was funded in whole or in part by funding received under this
chapter.
(b) The cabinet, department, in consultation with the department and department of education, shall
prescribe a standard form to be used by an approved eligible program provider to report student
achievement and demographic information as required under subsection (a)(6)(D).
(c) The department shall make the information reported under subsection (a) available to the public
on the department's Internet web site.
SECTION 290. IC 22-4.1-27-16, AS ADDED BY P.L.237-2019, SECTION 2, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 16. The cabinet department shall review data
from each approved eligible program provider to ensure that the programs offered by each approved
eligible program provider are achieving minimum program performance standards. The minimum
program performance standards must include the following:
(1) A minimum of a fifty percent (50%) graduation rate for each cohort.
(2) A cost per graduate for a cohort of not more than six thousand seven hundred fifty dollars
($6,750).
SECTION 291. IC 22-4.1-27-17, AS ADDED BY P.L.237-2019, SECTION 2, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 17. (a) The cabinet department shall place
an approved eligible program provider that does not meet:
(1) the minimum program performance standards described in section 16 of this chapter; or
(2) any other requirements under this chapter;
on probationary status for the remainder of the applicable state fiscal year.
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(b) If an approved eligible program provider is placed on probationary status for two (2) consecutive
years, the:
(1) cabinet shall notify the department that the eligible program provider is no longer approved to
participate in the program; and
(2) department shall remove the eligible program provider from the approved eligible program
provider list.
SECTION 292. IC 22-4.1-27-18 IS REPEALED [EFFECTIVE JULY 1, 2025]. Sec. 18. The cabinet
shall include in the report the cabinet submits under IC 4-3-27-12 the cabinet's review, analysis, and
evaluation of the program, including the cabinet's and department's activities related to the development
of the program.
SECTION 293. IC 22-4.1-27-19, AS ADDED BY P.L.237-2019, SECTION 2, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 19. In developing the program, the cabinet
department shall:
(1) receive cooperation, support, and assistance from the department;
(2) (1) explore and incorporate, as appropriate, approaches and models from other states and
organizations, including approaches to graduation requirements; and
(3) (2) use pilot programs or other scaling approaches, as appropriate, to develop and implement the
program in a cost effective and efficient manner.
SECTION 294. IC 22-4.1-27-20, AS ADDED BY P.L.237-2019, SECTION 2, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 20. (a) An approved eligible program provider
shall conduct a survey of the individuals:
(1) who participated in a course or certification or other program of the approved eligible program
provider; and
(2) for whom the approved eligible program provider received reimbursement under this chapter.
(b) The survey shall be conducted in the year after the year in which the individual graduates or is no
longer enrolled with the approved eligible program provider and the next four (4) consecutively
succeeding years.
(c) The survey must include the individual's employment status, including whether the individual is
employed full-time or part-time, for each year the survey is conducted.
(d) The approved eligible program provider shall submit each survey conducted under this section to
the cabinet and the department not later than December 1 of the year in which the survey is conducted.
SECTION 295. IC 22-4.1-27-21, AS ADDED BY P.L.237-2019, SECTION 2, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 21. The cabinet department may adopt rules
under IC 4-22-2 to implement this chapter.
SECTION 296. IC 23-19-6-1, AS AMENDED BY P.L.156-2023, SECTION 13, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 1. (a) This article shall be administered by a
division of the office of the secretary of state. The secretary of state shall appoint a securities
commissioner who shall be responsible for the direction and supervision of the division and the
administration of this article under the direction and control of the secretary of state. The salary of the
securities commissioner shall be paid out of the funds appropriated for the administration of this article.
The commissioner shall serve at the will of the secretary of state.
(b) The secretary of state:
(1) shall employ a chief deputy, attorneys, a senior investigator, a senior accountant, and other
deputies, investigators, accountants, clerks, stenographers, and other employees necessary for the
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administration of this article; and
(2) shall fix their compensation with the approval of the budget agency.
(c) It is unlawful for the commissioner or an officer, employee, or designee of the commissioner to use
for personal benefit or the benefit of others records or other information obtained by or filed with the
commissioner that is not public under section 7(b) of this chapter. This article does not authorize the
commissioner or an officer, employee, or designee of the commissioner to disclose the record or
information, except in accordance with section 2, 7(c), or 8 of this chapter.
(d) This article does not create or diminish a privilege or exemption that exists at common law, by
statute or rule, or otherwise.
(e) Subject to IC 4-2-6-15, the commissioner may develop and implement investor education initiatives
to inform the public about investing in securities, with particular emphasis on the prevention and
detection of securities fraud. In developing and implementing these initiatives, the commissioner may
collaborate with public and nonprofit organizations with an interest in investor education. The
commissioner may accept a grant or donation from a person that is not affiliated with the securities
industry or from a nonprofit organization, regardless of whether the organization is affiliated with the
securities industry, to develop and implement investor education initiatives. This subsection does not
authorize the commissioner to require participation or monetary contributions of a registrant in an investor
education program.
(f) The securities division enforcement account is established. Except as provided in subsection (o),
fees and funds of whatever character accruing from the administration of this article shall be accounted
for by the secretary of state and shall be deposited with the treasurer of state to be deposited by the
treasurer of the state in either the state general fund or the securities division enforcement account.
Subject to IC 4-2-6-15, expenses incurred in the administration of this article shall be paid from the state
general fund upon appropriation being made for the expenses in the manner provided by law for the
making of those appropriations. The following shall be deposited by the treasurer of state in the securities
division enforcement account:
(1) Grants and donations received under subsection (e).
(2) Costs of investigations recovered under section 4(e) of this chapter.
(3) Fifty percent (50%) of the first four million dollars ($4,000,000):
(A) of a civil penalty recovered under section 3(b) or 4(d) of this chapter;
(B) recovered in a settlement of an action initiated to enforce this article; or
(C) awarded as a judgment in an action to enforce this article.
(g) The following shall be deposited by the treasurer of state in the state general fund:
(1) Fifty percent (50%) of the first four million dollars ($4,000,000):
(A) of a civil penalty recovered under section 3(b) or 4(d) of this chapter;
(B) recovered in a settlement of an action initiated to enforce this article; or
(C) awarded as a judgment in an action to enforce this article.
(2) Any amount exceeding four million dollars ($4,000,000):
(A) of a civil penalty recovered under section 3(b) or 4(d) of this chapter;
(B) recovered in a settlement of an action initiated to enforce this article; or
(C) awarded as a judgment in an action to enforce this article.
(3) Subject to subsection (o), other fees and revenues that are not designated for deposit in the
securities division enforcement account or the securities restitution fund.
(h) Notwithstanding IC 23-2-2.5-34, IC 23-2-2.5-43, IC 23-2.5-2, IC 23-19-4-12, IC 25-11-1-15, and
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this chapter, five percent (5%) of funds received for deposit in the securities division enforcement account
shall instead be deposited in the securities restitution fund established by IC 23-20-1-25. Subject to
appropriation by the general assembly and subject to IC 4-2-6-15, the funds deposited in the
enforcement account shall be available, with the approval of the budget agency:
(1) to augment and supplement the funds appropriated for the administration of this article; and
(2) for grants and awards to nonprofit entities for programs and activities that will further investor
education and financial literacy in the state.
The funds in the enforcement account do not revert to the state general fund at the end of any state fiscal
year. The fund may be augmented after budget committee review.
(i) In connection with the administration and enforcement of this article, the attorney general shall
render all necessary assistance to the commissioner upon the commissioner's request, and to that end, the
attorney general shall employ legal and other professional services as are necessary to adequately and
fully perform the service under the direction of the commissioner as the demands of the securities division
shall require. Expenses incurred by the attorney general for the purposes stated in this subsection shall
be chargeable against and paid out of funds appropriated to the attorney general for the administration
of the attorney general's office. The attorney general may authorize the commissioner and the
commissioner's designee to represent the commissioner and the securities division in any proceeding
involving enforcement or defense of this article.
(j) Neither the secretary of state, the commissioner, nor an employee of the securities division shall
be liable in their individual capacity, except to the state, for an act done or omitted in connection with the
performance of their respective duties under this article.
(k) The commissioner shall take, prescribe, and file the oath of office prescribed by law. The
commissioner, chief deputy commissioner, and each attorney or investigator designated by the
commissioner are police officers of the state and shall have all the powers and duties of police officers
in making arrests for violations of this article, or in serving any process, notice, or order connected with
the enforcement of this article by whatever officer, authority, or court issued and shall comprise the
enforcement department of the division and are considered a criminal justice agency for purposes of
IC 5-2-4 and IC 10-13-3.
(l) The provisions of this article delegating and granting power to the secretary of state, the securities
division, and the commissioner shall be liberally construed to the end that:
(1) the practice or commission of fraud may be prohibited and prevented;
(2) disclosure of sufficient and reliable information in order to afford reasonable opportunity for the
exercise of independent judgment of the persons involved may be assured; and
(3) the qualifications may be prescribed to assure availability of reliable broker-dealers, investment
advisers, and agents engaged in and in connection with the issuance, barter, sale, purchase, transfer,
or disposition of securities in this state.
It is the intent and purpose of this article to delegate and grant to and vest in the secretary of state, the
securities division, and the commissioner full and complete power to carry into effect and accomplish the
purpose of this article and to charge them with full and complete responsibility for its effective
administration.
(m) Copies of any statement and documents filed in the office of the secretary of state and of any
records of the secretary of state certified by the commissioner shall be admissible in any prosecution,
action, suit, or proceeding based upon, arising out of, or under this article to the same effect as the original
of such statement, document, or record would be if actually produced.
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(n) IC 4-21.5 and any rules of practice adopted by the securities division are applicable to
administrative proceedings under this article.
(o) Notwithstanding any other law, two percent (2%) of funds received for deposit in the state general
fund as described in subsection (g)(3) shall instead be deposited in the securities restitution fund
established by IC 23-20-1-25.
SECTION 297. IC 23-20-1-26, AS AMENDED BY P.L.85-2012, SECTION 7, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 26. The money in the fund is continually
appropriated to the division may be expended subject to appropriation by the general assembly for
purposes of:
(1) awarding restitution assistance under this chapter;
(2) paying expenses incurred in administering this chapter; and
(3) making awards to informants under IC 23-19-7.
The fund may be augmented after budget committee review.
SECTION 298. IC 27-1-24.5-19.5, AS ADDED BY P.L.196-2021, SECTION 23, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 19.5. (a) This section does not apply to:
(1) applies to a Medicaid managed care organization (as defined in 42 U.S.C. 1396b(m)); and
(2) does not apply to the state Medicaid program when Medicaid provides reimbursement for
covered outpatient drugs (as defined in 42 U.S.C. 1396r-8(k)) on a fee for service basis.
(b) As used in this section, "340B covered entity" means an entity authorized to participate in the
federal 340B Drug Pricing Program under Section 340B(a)(4) of the federal Public Health Service Act
(42 U.S.C. 256b(a)(4)) and includes any pharmacy under contract with the entity to dispense drugs on
behalf of the entity.
(c) The following provisions may not be contained in a contract between a pharmacy benefit manager
and a 340B covered entity:
(1) A reimbursement rate for a prescription drug that would diminish the 340B benefit to a 340B
covered entity.
(2) A fee or adjustment that is not imposed on a pharmacy that is not a 340B covered entity.
(3) A fee or adjustment amount that exceeds the fee or adjustment amount imposed on a pharmacy
that is not a 340B covered entity.
(4) Any provision that prevents or interferes with an individual's choice to receive a prescription
drug from a 340B covered entity, including the administration of the drug.
(5) Any provision that excludes a 340B covered entity from pharmacy benefit manager networks
based on the 340B covered entity's participation in the federal 340B Drug Pricing Program.
(6) Any provision that discriminates against a 340B covered entity.
A violation of this subsection by a pharmacy benefit manager constitutes an unfair or deceptive act or
practice in the business of insurance under IC 27-4-1-4.
(d) For contracts between a pharmacy benefit manager and a 340B covered entity that are entered into,
amended, or renewed after June 30, 2021, a provision that violates subsection (c) is considered void and
unenforceable.
SECTION 299. IC 31-25-2-28 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 28. (a) Subject to federal approval, the
department may enter into a written agreement with the department of state revenue to transfer
the administration of the child support bureau established by IC 31-25-3 and all related duties to
the department of state revenue.
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(b) If the department receives federal approval and enters into a written agreement with the
department of state revenue under subsection (a), the department shall submit a report detailing
the agreement to the budget committee within thirty (30) days of entering into the agreement.
SECTION 300. IC 31-32-3-12, AS AMENDED BY P.L.156-2020, SECTION 115, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 12. (a) The following definitions apply
throughout this section:
(1) "Pilot county" means a county selected under subsection (d).
(2) "Voluntary preventative program" refers to a voluntary preventative program under section 11
of this chapter.
(b) The supreme court may establish a pilot program to assist juvenile court judges in five (5) Indiana
counties in establishing voluntary preventative programs under section 11 of this chapter for:
(1) at-risk children who are not:
(A) the subject of proceedings over which a juvenile court has jurisdiction; or
(B) participating in a diversionary program or a program of informal adjustment; and
(2) families of children described in subdivision (1).
(c) A pilot program established under subsection (b) may provide assistance that includes:
(1) providing grants to the juvenile court in a pilot county for use in establishing and maintaining
a voluntary preventative program;
(2) gathering data and consulting with:
(A) schools;
(B) government; and
(C) business and community leaders;
in a pilot county to determine the needs of children in the county;
(3) assisting in developing and coordinating programs and services offered under the voluntary
preventative program; and
(4) engaging in continuing outreach to schools in a pilot county to:
(A) inform schools of the availability of services provided under the voluntary preventative
program; and
(B) encourage schools to consider referral of at-risk students to the voluntary preventative
program as an adjunct or alternative to disciplinary action by the school.
(d) The five (5) counties selected for participation in a pilot program established under subsection (b)
should include:
(1) at least one (1) predominantly urban county; and
(2) at least one (1) predominantly rural county;
selected in collaboration with the department, the office of the secretary of family and social services, the
department of education, and the governor's workforce cabinet established under IC 4-3-27. department
of workforce development established by IC 22-4.1-2-1.
(e) Nonjudicial state, county, and local governmental bodies, including:
(1) the department;
(2) the department of education; and
(3) the office of the secretary of family and social services;
shall assist the supreme court as needed to implement a pilot program established under subsection (b).
(f) If the Indiana supreme court establishes a pilot program under this section, the office of judicial
administration shall issue a report to the legislative council:
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(1) for delivery not later than December 1 of the calendar year following the calendar year in which
a pilot program is established under subsection (b);
(2) prepared in collaboration with:
(A) the department;
(B) the office of the secretary of family and social services; and
(C) the department of education; and
(3) providing information regarding the pilot program, which may include the following:
(A) An enterprise level assessment of:
(i) wraparound services provided to at-risk children and families of at-risk children in the pilot
counties; and
(ii) identified gaps in the services described in item (i).
(B) A recommended framework and roadmap for:
(i) improving coordination of; and
(ii) a systematic, integrated approach in delivering;
the services described in clause (A), including the feasibility of further implementation or
expansion of the services.
(C) Suggested metrics for measuring the success of the pilot program that are aligned with
strategic goals, including specific accountability mechanisms.
SECTION 301. IC 33-34-8-1, AS AMENDED BY HEA 1478-2025, SECTION 1, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 1. (a) The following fees and costs apply to
cases in the small claims court:
(1) A township docket fee of five dollars ($5) plus forty-five percent (45%) of the infraction or
ordinance violation costs fee under IC 33-37-4-2.
(2) The bailiff's service of process by registered or certified mail fee of fifteen dollars ($15) for each
service.
(3) The cost for the personal service of process by the bailiff or other process server of fifteen dollars
($15) for each service.
(4) Witness fees, if any, in the amount provided by IC 33-37-10-3 to be taxed and charged in the
circuit court.
(5) A redocketing fee, if any, of five dollars ($5).
(6) A document storage fee under IC 33-37-5-20.
(7) An automated record keeping fee under IC 33-37-5-21.
(8) A late fee, if any, under IC 33-37-5-22.
(9) A public defense administration fee under IC 33-37-5-21.2.
(10) A judicial insurance adjustment fee under IC 33-37-5-25.
(11) A judicial salaries fee under IC 33-37-5-26.
(12) A court administration fee under IC 33-37-5-27.
(13) A pro bono legal services fee under IC 33-37-5-31.
(14) A sheriff's service of process fee under IC 33-37-5-15 for each service of process performed
outside Marion County.
(15) A small claims service fee of twenty-six dollars ($26) under IC 33-37-5-35.
The township docket fee and the cost for the initial service of process shall be paid at the institution of
a case. The cost of service after the initial service shall be assessed and paid after service has been made.
The cost of witness fees shall be paid before the witnesses are called.
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(b) If the amount of the township docket fee computed under subsection (a)(1) is not equal to a whole
number, the amount shall be rounded to the next highest whole number.
SECTION 302. IC 33-34-8-3, AS AMENDED BY HEA 1478-2025, SECTION 2, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 3. (a) Payment for all costs made as a result
of proceedings in a small claims court shall be to the _______ Township of Marion County Small Claims
Court (with the name of the township inserted). The court shall issue a receipt for all money received on
a form numbered serially in duplicate.
(b) This subsection applies only to a low caseload court (as defined in section 5 of this chapter). All
township docket fees and late fees received by the court shall be paid to the township trustee at the close
of each month.
(c) This subsection does not apply to a low caseload court. This subsection applies to all other
township small claims courts in Marion County. One dollar and fifty cents ($1.50) of the township docket
fee shall be paid to the township trustee of each low caseload court at the end of each month. The
remaining township docket fees and late fees received by the court shall be paid to the township trustee
at the close of each month.
(d) (b) The court shall distribute collected fees according the following:
(1) semiannually Distribute semiannually to the state comptroller:
(A) all automated record keeping fees (IC 33-37-5-21) received by the court for deposit in the
homeowner protection unit account established by IC 4-6-12-9 and the state user fee fund
established under IC 33-37-9;
(B) all public defense administration fees collected by the court under IC 33-37-5-21.2 for
deposit in the state general fund;
(C) sixty percent (60%) of all court administration fees collected by the court under
IC 33-37-5-27 for deposit in the state general fund;
(D) all judicial insurance adjustment fees collected by the court under IC 33-37-5-25 for deposit
in the state general fund;
(E) seventy-five percent (75%) of all judicial salaries fees collected by the court under
IC 33-37-5-26 for deposit in the state general fund; and
(F) one hundred percent (100%) of the pro bono legal services fees collected by the court under
IC 33-37-5-31 for deposit in the pro bono legal services fund established by IC 33-37-5-34. and
(2) Distribute monthly to the county auditor all document storage fees received by the court. The
county auditor shall deposit the document storage fees received under this subdivision into the
clerk's record perpetuation fund under IC 33-37-5-2.
(3) Distribute the following fees monthly to the county auditor for deposit in the small claims
fund established under IC 33-37-5-36:
(A) The remaining twenty-five percent (25%) of the judicial salaries fees described in
subdivision (1)(E). shall be deposited monthly in the township general fund of the township in
which the court is located. The county auditor shall deposit fees distributed under subdivision
(2) into the clerk's record perpetuation fund under IC 33-37-5-2.
(B) Township docket fees and late fees.
(C) Small claims service fee received under IC 33-37-5-35.
(e) (D) The court semiannually shall pay to the township trustee of the township in which the
court is located The remaining forty percent (40%) of the court administration fees described
under subsection (d)(1)(C) to fund the operations of the small claims court in the trustee's
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township. subdivision (1)(C).
SECTION 303. IC 33-37-5-34, AS AMENDED BY P.L.9-2024, SECTION 509, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 34. (a) The pro bono legal services fund is
established. The state comptroller shall administer the fund.
(b) The fund consists of distributions of pro bono legal services fees under:
(1) IC 33-34-8-3(d)(1)(F); IC 33-34-8-3(b)(1)(F);
(2) IC 33-37-7-2(l); or
(3) IC 33-37-7-8(i).
(c) The state comptroller shall transfer semiannually the pro bono legal services fees in the fund to the
Indiana Bar Foundation (or a successor entity) as the entity designated to organize and administer the
interest on lawyers trust accounts (IOLTA) program under Rule 1.15 of the Rules of Professional Conduct
of the Indiana supreme court. The Indiana Bar Foundation shall:
(1) deposit in an appropriate account and otherwise manage the fees the Indiana Bar Foundation
receives under this subsection in the same manner the Indiana Bar Foundation deposits and manages
the net earnings the Indiana Bar Foundation receives from IOLTA accounts; and
(2) use the fees the Indiana Bar Foundation receives under this subsection to assist or establish
approved pro bono legal services programs.
The handling and expenditure of the pro bono legal services fees received under this section by the
Indiana Bar Foundation (or its successor entity) are subject to audit by the state board of accounts.
(d) Money in the fund and any interest that accrues to the fund remain in the fund and do not revert
to the state general fund.
(e) Money in the fund is continuously appropriated to carry out the transfers required under subsection
(c).
SECTION 304. IC 33-37-5-35 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 35. (a) This section applies to a small claims
action in which a party is required to pay a township docket fee under IC 33-34-8-1(a)(1).
(b) The clerk shall collect a small claims service fee of twenty-six dollars ($26) from the party
filing the small claims action.
SECTION 305. IC 33-37-5-36 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 36. (a) The small claims fund is established.
The auditor of Marion County shall administer the fund.
(b) The small claims fund consists of the following fees distributed under IC 33-34-8-3(b)(3):
(1) Judicial salaries fees.
(2) Township docket and late fees.
(3) Small claims service fees.
(4) Court administration fees.
(c) The county auditor shall transfer semiannually the fees described in subsection (b) that are
in the small claims fund to each township within which a small claims court is located. The fees
transferred under this section shall be distributed equally among the townships. The trustee of a
township in which a court is located shall:
(1) deposit the fees into the township general fund and otherwise manage the fees received
under this subsection; and
(2) use the fees received under this subsection to fund the operations of the small claims court
in the trustee's township.
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(d) Money in the small claims fund and any interest that accrues from money in the fund remain
in the fund and do not revert to a clerk of the court.
SECTION 306. IC 36-7-31.3-4, AS AMENDED BY P.L.104-2022, SECTION 191, IS AMENDED
TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 4. As used in this chapter, "covered taxes"
means the part of the following taxes attributable to the operation of a facility designated as part of a tax
area under section 8 of this chapter:
(1) With respect to a tax area as it existed on June 30, 2026:
(1) (A) The state gross retail tax imposed under IC 6-2.5-2-1 or use tax imposed under
IC 6-2.5-3-2.
(2) (B) An adjusted gross income tax imposed under IC 6-3-2-1 on an individual.
(3) (C) The local income tax imposed under IC 6-3.6.
(4) (D) Except in a county having a population of more than three hundred fifty thousand
(350,000) and less than four hundred thousand (400,000), a food and beverage tax imposed under
IC 6-9.
(2) With respect to an addition after June 30, 2026, to the tax area designated in the city of
Evansville under section 8(e) of this chapter, the state gross retail tax imposed under
IC 6-2.5-2-1 or the use tax imposed under IC 6-2.5-3-2.
SECTION 307. IC 36-7-31.3-8, AS AMENDED BY P.L.183-2023, SECTION 1, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 8. (a) A designating body may designate as
part of a professional sports and convention development area any facility that is:
(1) owned by the city, the county, a school corporation, or a board under IC 36-9-13, IC 36-10-8,
IC 36-10-10, or IC 36-10-11, and used by a professional sports franchise for practice or competitive
sporting events;
(2) owned by the city, the county, or a board under IC 36-9-13, IC 36-10-8, IC 36-10-10, or
IC 36-10-11, and used as one (1) of the following:
(A) A facility used principally for convention or tourism related events serving national or
regional markets.
(B) An airport.
(C) A museum.
(D) A zoo.
(E) A facility used for public attractions of national significance.
(F) A performing arts venue.
(G) A county courthouse registered on the National Register of Historic Places; or
(3) a hotel.
Notwithstanding section 9 of this chapter or any other law, a designating body may by resolution approve
the expansion of a professional sports and convention development area after June 30, 2009, to include
a hotel designated by the designating body. A resolution for such an expansion must be reviewed by the
budget committee and approved by the budget agency in the same manner as a resolution establishing a
professional sports and convention development area is reviewed and approved. A facility may not
include a private golf course or related improvements. The tax area may include only facilities described
in this section and any parcel of land on which a facility is located. An area may contain noncontiguous
tracts of land within the city, county, or school corporation.
(b) Except for a tax area that is located in:
(1) the city of Fort Wayne; or
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(2) the city of Gary;
a tax area must include at least one (1) facility described in subsection (a)(1).
(c) A tax area may contain other facilities not owned by the designating body if:
(1) the facility is owned by a city, the county, a school corporation, or a board established under
IC 36-9-13, IC 36-10-8, IC 36-10-10, or IC 36-10-11; and
(2) an agreement exists between the designating body and the owner of the facility specifying the
distribution and uses of the covered taxes to be allocated under this chapter.
(d) This subsection applies to all tax areas located in Allen County. The facilities located at an Indiana
University Fort Wayne and Purdue University Fort Wayne campus are added to the tax area designated
by the county. For state fiscal years:
(1) beginning before July 1, 2021, the maximum amount of covered taxes that may be captured in
all tax areas located in the county is three million dollars ($3,000,000) per year; and
(2) beginning after June 30, 2021, the maximum amount of covered taxes that may be captured in
all tax areas located in the county is five million dollars ($5,000,000) per year;
regardless of the designating body that established the tax area. The revenue from the local income tax
imposed under IC 6-3.6 that is captured must be counted first toward this maximum.
(e) This subsection applies to a tax area located in the city of Evansville. Notwithstanding any other
provision of this chapter, the tax area shall include each facility or complex of facilities as follows:
(1) For state fiscal years beginning after July 1, 2021, any facility in the city of Evansville that:
(1) (A) consists of a hotel; and
(2) (B) is located in the north part of an area bounded on the northwest by Walnut Street, on the
northeast by SE Martin Luther King Jr. Boulevard, on the southwest by SE 6th Street, and on the
southeast by Cherry Street, as those streets were located on July 1, 2021.
(2) For state fiscal years beginning after June 30, 2026, any facility or complex of facilities
located in the city of Evansville as follows:
(A) Any facility or complex of facilities that consists of a sports, recreational, and event
facility or complex of facilities bounded on the north by Main Street, on the west by SE 6th
Street, on the east by SE Martin Luther King Jr. Boulevard, and on the south by Walnut
Street, as those streets were located on July 1, 2026.
(B) Any facility or complex of facilities that consists of a zoo bounded on the north by W
Summit Drive and Buchanan Road, on the west by Meskar Park Drive, on the east by N St.
Joseph Avenue, and on the south by Bement Avenue, as those streets were located on July
1, 2026.
(C) Any facility or complex of facilities that consists of a hotel bounded on the north by
Walnut Street, on the west by SE 2nd Street, on the east by SE 3rd Street, and on the south
by Cherry Street, as those streets were located on July 1, 2026.
(D) Any facility or complex of facilities that is:
(i) owned by the city of Evansville through a board established under IC 36-9-6;
(ii) titled in the name of the city of Evansville or an entity established to assist the city of
Evansville to exercise its corporate powers;
(iii) occupied by the city of Evansville; and
(iv) used to exercise power under IC 36-1-4 to provide services pursuant to IC 36-4-4-3,
IC 36-4-4-4, IC 36-8-2, and IC 36-9-2.
is added to the tax area. The provisions in sections 11 and 12 of this chapter are not applicable to the area
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described in this subsection.
(f) This subsection applies to a tax area located in the city of South Bend. Notwithstanding any other
provision of this chapter, for state fiscal years in which the tax area is renewed under section 10(e) of this
chapter after June 30, 2021, the tax area shall also include any facility or complex of facilities as follows:
(1) That consists of hotels located in the following areas in the city of South Bend:
(A) In the east quadrant of an area bounded on the north by Columbus Court, on the east by North
Main Street, and on the south by West Washington Street, as those streets were located on July
1, 2021.
(B) An area bounded on the north by East Colfax Avenue, on the east by Doctor Martin Luther
King, Jr. Boulevard, on the south by East Washington Street, and on the west by North Michigan
Street, as those streets were located on July 1, 2021.
(C) In the southeast quadrant of an area bounded on the north by East Washington Street, on the
east by Doctor Martin Luther King, Jr. Boulevard, and on the south by East Jefferson Boulevard,
as those streets were located on July 1, 2021.
(2) That consists of a sports, recreational and event facility or complex of facilities located in the city
of South Bend, in the northeast quadrant of an area bounded on the north by East Jefferson
Boulevard, on the east by South St. Louis Boulevard, as those streets were located on July 1, 2021,
and on the west by the St. Joseph River.
(3) Located at an Indiana University South Bend campus.
(4) That is within the boundaries of the city of South Bend and:
(A) owned by the city of South Bend through a board established under IC 36-9-6;
(B) titled in the name of the city of South Bend or an entity established to assist the city of South
Bend to exercise its corporate powers;
(C) occupied by the city of South Bend; and
(D) used to exercise power under IC 36-1-4 to provide services pursuant to IC 36-4-4-3,
IC 36-4-4-4, IC 36-8-2, and IC 36-9-2.
The provisions in sections 11 and 12 of this chapter are not applicable to the renewal of the tax areas
described in this subsection.
SECTION 308. IC 36-7-31.3-10, AS AMENDED BY P.L.183-2023, SECTION 3, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JULY 1, 2025]: Sec. 10. (a) A tax area must be established by
resolution. A resolution establishing a tax area must provide for the allocation of covered taxes
attributable to a taxable event or covered taxes earned in the tax area to the professional sports and
convention development area fund established for the city or county. The allocation provision must apply
to the entire tax area. The following apply to Allen County:
(1) The fund required by this subsection is the coliseum professional sports and convention
development area fund. This fund shall be administered by the Allen County Memorial Coliseum
board of trustees.
(2) The allocation each year must be as follows:
(A) The following for state fiscal years ending before July 1, 2021:
(i) The first two million six hundred thousand dollars ($2,600,000) shall be transferred to the
county treasurer for deposit in the coliseum professional sports and convention development
area fund.
(ii) The remaining amount shall be transferred to the treasurer of the joint county-city capital
improvement board in the county.
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(B) The following for state fiscal years beginning after June 30, 2021:
(i) The first two million six hundred thousand dollars ($2,600,000) shall be transferred to the
county treasurer for deposit in the coliseum professional sports and convention development
area fund.
(ii) After the allocation under item (i), the next four hundred thousand dollars ($400,000) shall
be transferred to the joint county-city capital improvement board in the county for the Grand
Wayne Center.
(iii) After the allocations under items (i) and (ii), any remaining amount shall be transferred
to the joint county-city capital improvement board in the county to be split evenly between the
Allen County War Memorial Coliseum and the Grand Wayne Center.
A tax area located in Allen County terminates not later than December 31, 2038. Any bonds that were
issued before January 1, 2015, to finance the facility or proposed facility must have a maturity of less than
twenty-five (25) years.
(b) In addition to subsection (a), all of the salary, wages, bonuses, and other compensation that are:
(1) paid during a taxable year to a professional athlete for professional athletic services;
(2) taxable in Indiana; and
(3) earned in the tax area;
shall be allocated to the tax area if the professional athlete is a member of a team that plays the majority
of the professional athletic events that the team plays in Indiana in the tax area.
(c) Except as provided in subsection (d), for a tax area that is:
(1) not located in Allen County;
(2) not located in the city of Fishers; and
(3) not located in the city of South Bend;
This subsection applies to a tax area established in the city of Evansville. The following apply:
(1) The total amount of state revenue covered taxes captured by the tax area may not exceed:
(A) before July 1, 2026, ten dollars ($10) per resident of the city or county per year; and
(B) after June 30, 2026, two million dollars ($2,000,000) per year;
for twenty (20) consecutive years.
(2) For state fiscal years after June 30, 2026, the tax revenue captured in the tax area each year
shall be transferred to the city of Evansville to be used for purposes consistent with section 19
of this chapter.
(d) This subsection applies to a tax area established in the city of Evansville that expired before July
1, 2021. The tax area described in this subsection is renewed beginning after June 30, 2021, for an
additional twenty (20) consecutive years, and shall include:
(1) the boundaries of the tax area before its expiration; plus
(2) the additional tax area areas added under section 8(e) of this chapter.
The provisions in sections 11 and 12 of this chapter are not applicable to the renewal of the tax area
described in this subsection.
(e) This subsection applies to a tax area established in the city of South Bend that expired before July
1, 2021. The following apply:
(1) The tax area described in this subsection is renewed beginning after June 30, 2021, and shall
include:
(A) the boundaries of the tax area before its expiration; plus
(B) the additional tax areas added under section 8(f) of this chapter.
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The provisions in sections 11 and 12 of this chapter are not applicable to the renewal of the tax area
described in this subsection.
(2) The maximum amount of covered taxes that may be captured in the tax area under this
subsection is:
(A) before July 1, 2023, two million dollars ($2,000,000) per year; and
(B) after June 30, 2023, five million dollars ($5,000,000) per year.
(3) For state fiscal years beginning after June 30, 2023, the first two million five hundred thousand
dollars ($2,500,000) captured in the tax area each year shall be transferred to the city of South Bend
to be used for a capital improvement that will construct or equip a facility owned by the city and
used by a professional sports franchise for practice or competitive sporting events.
(4) After the allocations under subdivision (3), any remaining amount shall be transferred to the city
of South Bend to be used consistent with section 19(1) of this chapter.
The tax area renewed in the city of South Bend under this subsection terminates not later than June 30,
2044.
(f) This subsection applies to a tax area established in the city of Fishers. The following apply:
(1) The maximum amount of covered taxes that may be captured in the tax area is two million
dollars ($2,000,000) per year.
(2) The tax revenue captured in the tax area each year shall be transferred to the city of Fishers to
be used for a capital improvement that will construct or equip a facility owned by the city and used
by a professional sports franchise for practice or competitive sporting events.
The tax area located in the city of Fishers terminates not later than June 30, 2044.
(g) The resolution establishing the tax area must designate the facility or proposed facility and the
facility site for which the tax area is established.
(h) The department may adopt rules under IC 4-22-2 and guidelines to govern the allocation of covered
taxes to a tax area.
SECTION 309. IC 36-7-32.5-0.5 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2025 (RETROACTIVE)]: Sec. 0.5. The
amendments made to this chapter by HEA 1001-2025:
(1) apply only to an innovation development district designated after December 31, 2024; and
(2) do not apply to an innovation development district designated before January 1, 2025.
SECTION 310. IC 36-7-32.5-9, AS AMENDED BY P.L.123-2024, SECTION 17, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2025 (RETROACTIVE)]: Sec. 9. (a) Before the
corporation may designate territory within the jurisdiction of a city, town, or county, or within the
jurisdiction of more than one (1) city, town, or county, as an innovation development district under this
section, the board of the corporation established under IC 5-28-4 shall establish uniform policies and
guidelines that the corporation must follow when notifying and collaborating with an executive, or, if
applicable, executives, to designate territory within the jurisdiction of a city, town, or county as an
innovation development district under this section. The corporation shall publish the uniform policies and
procedures established under this subsection on the corporation's website.
(b) Subject to subsection (c) and section 12(a) of this chapter, after:
(1) budget committee review; and
(2) notifying and collaborating with the executive, or, if an innovation development district will
include territory within the jurisdiction of more than one (1) city, town, or county, with the
executives of each city, town, or county, in the manner provided under the policies and guidelines
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established under subsection (a);
the corporation may designate territory within the jurisdiction of a city, town, or county, or territory within
the jurisdiction of more than one (1) city, town, or county, as an innovation development district if the
corporation determines that:
(1) the designation will support economic growth; and
(2) the total investment plan is an amount equal to or greater than seven hundred fifty million
dollars ($750,000,000).
(c) Notwithstanding section 10(b) of this chapter, but subject to section 12(c) of this chapter, the
corporation may designate territory that is located in an existing allocation area described in section 10(b)
of this chapter as an innovation development district after:
(1) budget committee review; and
(2) obtaining consent from the executive, executives, or the board of any military base reuse
authority, in the manner provided under the policies and guidelines established under subsection (a).
(d) The requirements in subsection (c) apply to all innovation development districts established under
this chapter regardless of the total costs and benefits of the proposed investment of an innovation
development district.
SECTION 311. IC 36-7-32.5-11, AS ADDED BY P.L.135-2022, SECTION 28, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2025 (RETROACTIVE)]: Sec. 11. (a) Except as
provided in subsection (b), The term of an area's designation as an innovation development district may
not exceed thirty (30) years.
(b) The term of an area's designation as an innovation development district may be extended beyond
the thirty (30) year term under subsection (a) after budget committee review.
SECTION 312. IC 36-7-32.5-12, AS AMENDED BY P.L.123-2024, SECTION 20, IS AMENDED
TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2025 (RETROACTIVE)]: Sec. 12. (a) If the total
costs and benefits of the proposed investment of an innovation development district are expected to be
an amount less than two billion dollars ($2,000,000,000), corporation designates a territory within the
jurisdiction of a city, town, or county, or within the jurisdiction of more than one (1) city, town, or
county, as an innovation development district under section 9(b) or 9(c) of this chapter, the following
apply:
(1) The executive, or, if applicable, the executives, and the corporation shall enter into an agreement
establishing the terms and conditions governing the innovation development district in accordance
with this section.
(2) If the executive, or, if applicable, the executives, and the corporation cannot enter into an
agreement under subdivision (1), the designation of territory under section 9 of this chapter is no
longer effective and the innovation development district may not be designated or otherwise
established under this chapter.
(b) The agreement must include the following provisions:
(1) A description of the area, including a list of all parcels to be included within the innovation
development district.
(2) Covenants and restrictions, if any, upon all or a part of the properties contained within the
innovation development district and terms of enforcement of any covenants or restrictions.
(3) The due diligence and financial commitments of any party to the agreement and of any owner
or developer of property within the innovation development district.
(4) The financial projections of the innovation development district.
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(5) The proposed use of the:
(A) net increment; and
(B) incremental property tax amount described in section 14(c) 14(d) of this chapter;
that is captured within the innovation development district, including the amount of any funds
expected to be allocated to the business or businesses that are locating within the innovation
development district as economic development incentives.
(6) The aggregate percentage of annual incremental property tax revenue that will be transferred to
the city, town, county, or school corporation, or, if applicable, the cities, towns, counties, or school
corporations, under section 19(e) of this chapter. The aggregate percentage transferred may not be
less than twelve percent (12%) of the annual amount of incremental property tax revenue deposited
in the local innovation development district fund established by section 19 of this chapter.
(7) Subject to the limitations of this chapter, the duration of the designation of an area as an
innovation development district.
(8) The terms of enforcement of the agreement, which may include the definition of events of
default, cure periods, legal and equitable remedies and rights, and penalties and damages, actual or
liquidated, upon the occurrence of an event of default.
(9) The public facilities to be developed for the innovation development district and the estimated
costs of those public facilities.
(c) If an innovation development district will include territory located in an existing allocation area
described in section 10(b) of this chapter, the executive, or, if applicable, the executives, and the
corporation shall enter into an agreement establishing the terms and conditions governing the innovation
development district in accordance with this section. The agreement must include the following
provisions:
(1) The provisions listed in subsection (b)(1) through (b)(9).
(2) A provision prohibiting the city, county, town, or other entity that established the applicable
existing allocation area described in section 10(b) of this chapter from incurring any additional
obligations that require a pledge of future incremental property tax revenue to be paid from the
applicable existing allocation area described in section 10(b) of this chapter without first obtaining
the consent of the corporation.
(3) A provision requiring the maintenance of all applicable property tax records for the parcel or
parcels located within the innovation development district during the term of the innovation
development district.
If the executive, or, if applicable, the executives, and the corporation cannot enter into an agreement under
this subsection, the designation of territory under section 9 of this chapter is no longer effective and the
innovation development district may not be designated or otherwise established under this chapter.
(d) An executive may discuss the terms of an agreement described in this section and hold a meeting
as an executive session under IC 5-14-1.5-6.1 with:
(1) in the case of a city other than a consolidated city, the common council;
(2) in the case of a consolidated city, or a county having a consolidated city, the city-county council;
(3) in the case of a town, the town council; and
(4) in the case of a county that does not have a consolidated city, the board of county commissioners.
(e) Within fifteen (15) days of entering into an agreement under subsection (a), the corporation shall:
(1) submit a written report on the agreement to the budget committee; and
(2) provide notification of the designation to the department of state revenue and the
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department of local government finance.
(f) Neither an executive nor the corporation may exercise the power of eminent domain within an
innovation development district.
SECTION 313. IC 36-7-32.5-13, AS ADDED BY P.L.135-2022, SECTION 28, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2025 (RETROACTIVE)]: Sec. 13. If an innovation
development district is designated, under section 9 of this chapter or described under section 12 of this
chapter, each executive shall designate the innovation development district as an allocation area for
purposes of the allocation and distribution of property taxes. Not later than August 1 of the calendar
year immediately following the designation, each executive shall:
(1) set the base assessed value of the allocation area; and
(2) provide notice of the designation and notice of the base assessed value;
to the county auditor, the department of local government finance, and to each taxing unit that has
authority to levy property taxes in the geographic area where the innovation development district is
located. The notice must state the general boundaries of the innovation development district and include
a list the mailing address of all parcels to be included within the innovation development district.
SECTION 314. IC 36-7-32.5-14, AS AMENDED BY P.L.123-2024, SECTION 21, IS AMENDED
TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2025 (RETROACTIVE)]: Sec. 14. (a) An
allocation area designated under section 13 of this chapter must:
(1) apply to the entire innovation development district; and
(2) require that any property tax assessed on taxable real and personal property used for commercial
or industrial purposes subsequently levied by or for the benefit of any public body entitled to a
distribution of property taxes in the innovation development district be allocated and distributed as
provided in subsections (b) and (c). (c) and (d).
(b) Property tax proceeds may not be allocated under this section before January 1 of the
calendar year immediately following the calendar year in which the base assessed value of the
allocation area is determined under section 13 of this chapter.
(b) (c) Except as otherwise provided in this section:
(1) the proceeds of the taxes attributable to the lesser of:
(A) the assessed value of the taxable real and personal property for the assessment date with
respect to which the allocation and distribution is made; or
(B) the base assessed value;
shall be allocated and, when collected, paid into the funds of the respective taxing units; and
(2) the excess of the proceeds of the property taxes imposed for the assessment date with respect to
which the allocation and distribution is made that are attributable to taxes imposed after being
approved by the voters in a referendum or local public question conducted after April 30, 2010, not
otherwise included in subdivision (1) shall be allocated to and, when collected, paid into the funds
of the taxing unit for which the referendum or local public question was conducted.
(c) (d) Except as provided in subsections (d) and (e), (e) and (f), all the property tax proceeds that:
(1) exceed those described in subsection (b); (c); and
(2) are attributable to the assessed value of taxable real and personal property used for commercial
or industrial purposes;
shall be paid into the appropriate local innovation development district fund established by section 19 of
this chapter by the county auditor at the same time that the county auditor distributes property taxes to
other local units of government under IC 6-1.1-27. Any remaining property tax proceeds that exceed those
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described in subsection (b) (c) that are not described in subdivision (2) shall be allocated and, when
collected, paid into the funds of the respective taxing units.
(d) (e) Notwithstanding any provision to the contrary in this section, if an innovation development
district that is designated as an allocation area under section 13 of this chapter includes territory located
in an existing allocation area described in section 10(b) of this chapter, the county auditor shall continue
to allocate to the existing allocation area described in section 10(b) of this chapter any incremental
property tax revenues that would otherwise be allocated to the existing allocation area described in section
10(b) of this chapter as if the innovation development district had not been designated under this chapter,
until the existing allocation area described in section 10(b) of this chapter expires.
(e) (f) Notwithstanding any other law, each assessor shall, upon petition of an executive or the
corporation, reassess the taxable real and personal property situated upon or in, or added to, the
innovation development district effective on the next assessment date after the petition.
(f) (g) Notwithstanding any other law, the assessed value of all taxable real and personal property in
the innovation development district, for purposes of tax limitation, property tax replacement, and
formulation of the budget, tax rate, and tax levy for each political subdivision in which the property is
located is the lesser of:
(1) the assessed value of the taxable real and personal property as valued without regard to this
section; or
(2) the base assessed value.
SECTION 315. IC 36-7-32.5-17, AS AMENDED BY P.L.201-2023, SECTION 277, IS AMENDED
TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2025 (RETROACTIVE)]: Sec. 17. (a) Except
as provided in subsection (b), if an innovation development district is designated under section 9 of this
chapter, the corporation shall, not later than August 1 of the calendar year immediately following the
designation date, send to the department of state revenue:
(1) a certified copy of the designation of the innovation development district under section 9 of this
chapter, including the date of the designation;
(2) if an agreement is entered into under section 12 of this chapter, a certified copy of the agreement;
and
(3) a complete list of the employers and businesses that are paying for the services of individuals
who are not employees in the innovation development district and the street names and the range
of street numbers of each street in the innovation development district. each mailing address on
each street in the innovation development district.
The corporation shall update the list provided under subdivision (3) before July 1 of each year.
The corporation shall provide, within ten (10) days of a request, any additional information
requested by the department of state revenue concerning any information described in subdivisions
(1) through (3).
(b) Not later than sixty (60) days after receiving a copy of the designation of the innovation
development district, the department of state revenue shall determine the gross retail base period amount
and the income tax base period amount.
(b) The corporation shall update and send the list described in subsection (a)(3) to the
department of state revenue before July 1 of each year.
SECTION 316. IC 36-7-32.5-18, AS ADDED BY P.L.135-2022, SECTION 28, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2025 (RETROACTIVE)]: Sec. 18. (a) Not later than
October 1 of the calendar year immediately following the designation date of an innovation
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development district, the department of state revenue shall set the gross retail base period amount
and the income tax base period amount. The department of state revenue may request any
information necessary from the corporation and executive, or executives, to determine the gross
retail base period amount and the income tax base period amount. Not later than ten (10) days after
a request from the department of state revenue, the corporation and executive, or executives, shall
provide the necessary information.
(b) Revenue collected under the state adjusted gross income taxes and state gross retail and use
taxes may not be allocated under this section before January 1 of the year immediately following
the year in which the gross retail base period amount and the income tax base period amount are
determined under subsection (a).
(c) Before the first business day in October of each year, the department of state revenue shall calculate
the income tax incremental amount and the gross retail incremental amount for the preceding state fiscal
year for each innovation development district designated under this chapter.
(b) (d) Taxpayers operating in an innovation development district shall report annually, in the manner
and form prescribed by the department of state revenue, information that the department of state revenue
determines necessary to calculate the net increment.
(c) (e) A taxpayer operating in an innovation development district that files a consolidated tax return
with the department of state revenue shall also file annually an informational return with the department
of state revenue for each business location of the taxpayer within the innovation development district.
(d) (f) If a taxpayer fails to report the information required by this section or file an informational
return required by this section, the department of state revenue shall use the best information available
in calculating the income tax incremental amount and gross retail incremental amount.
(e) (g) The department of state revenue shall transfer the amount calculated as provided in subsection
(a) (c) to the applicable local innovation development district fund established for the innovation
development district under section 19 of this chapter by November 1 of each year.
SECTION 317. IC 36-7-32.5-19, AS ADDED BY P.L.135-2022, SECTION 28, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2025 (RETROACTIVE)]: Sec. 19. (a) The
corporation shall establish a local innovation development district fund for each innovation development
district designated under section 9 of this chapter.
(b) Each fund consists of:
(1) deposits of incremental property tax revenue from the county auditor as provided in section 14(c)
14(d) of this chapter; and
(2) transfers from the department of state revenue under section 18 of this chapter.
(c) The corporation shall administer each local innovation development district fund established under
this section. The expenses of administering each fund shall be paid from money in that fund.
(d) The corporation may use money in each fund as follows:
(1) If an agreement described in section 12 of this chapter has been entered into between the
corporation and the executive, or, if applicable, the executives, for any purpose authorized in the
agreement.
(2) If an agreement described in section 12 of this chapter has not been entered into between the
corporation and the executive, or, if applicable, the executives, for the following purposes:
(A) (1) The acquisition, improvement, preparation, demolition, disposal, construction,
reconstruction, remediation, rehabilitation, restoration, preservation, maintenance, repair, furnishing,
and equipping of public facilities, including but not limited to utilities and transportation
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infrastructure.
(B) (2) The operation of public facilities.
(C) (3) The acquisition of land within the innovation development district.
(D) (4) The recruitment of new businesses and new employees to the innovation development
district.
(E) (5) The training of individuals employed in the innovation development district.
(6) The payment of economic development incentives granted by the corporation to businesses
located within the boundaries of the innovation development district.
(e) Not later than August 1 of each year, the corporation shall transfer
(1) if an agreement described in section 12 of this chapter has been entered into between the
corporation and the executive, or if applicable, the executives, the amount of incremental property
tax revenues determined in the agreement; and
(2) if an agreement described in section 12 of this chapter has not been entered into between the
corporation and the executive, or if applicable, the executives, an amount of incremental property
tax revenues that may not be less than twelve percent (12%) of the annual amount of incremental
property tax revenue deposited under subsection (b)(1)
to the general fund of each city, town, county, or school corporation with territory located within the
innovation development district. If the corporation is required to transfer funds to more than one (1) city,
town, county, or school corporation under this subsection, the amount transferred to each city, town,
county, and school corporation must be allocated among each city, town, county, and school corporation
proportionately based on each city's, town's, county's, and school corporation's property tax levy applied
to property located within the innovation development district. A transfer under this subsection does not
reduce the actual or maximum permissible levy of a city, town, county, or school corporation and may
not be considered in determining a city's, town's, county's, or school corporation's maximum permissible
ad valorem property tax levy limit under IC 6-1.1-18.5.
(f) Each state fiscal year, the corporation may, shall, after:
(1) making the transfer required under subsection (e);
(2) paying all obligations and expenses of the innovation development district in accordance
with an agreement entered into under section 12 of this chapter, including payment of any
economic development incentives for businesses located within the boundaries of the
innovation development district; and
(3) satisfying all debt service obligations due and payable during the state fiscal year for bonds
issued under IC 5-1.2-4-4(a)(2);
transfer from each local innovation development district fund to the statewide innovation development
district fund economic development reserve account established by section 20 20.5 of this chapter an
amount not to exceed one hundred percent (100%) of the net incremental revenue derived from state
income taxes and gross retail taxes deposited into each fund during the immediately preceding state fiscal
year.
(g) Money in each local innovation development district fund at the end of a state fiscal year does not
revert to the state general fund.
(h) Money in each local innovation development district fund is continuously appropriated for the
purposes specified in this section.
SECTION 318. IC 36-7-32.5-20 IS REPEALED [EFFECTIVE JANUARY 1, 2025
(RETROACTIVE)]. Sec. 20. (a) The statewide innovation development district fund is established within
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the state treasury to provide grants or loans to support the development or expansion of industry in
Indiana.
(b) The fund consists of the following:
(1) Transfers from a local innovation development district fund under section 19(f) of this chapter.
(2) Appropriations from the general assembly.
(3) Loan repayments, including earnings from loans under subsection (d).
(c) The corporation shall administer the fund. The following may be paid from money in the fund:
(1) The expenses of administering the fund.
(2) Nonrecurring administrative expenses incurred to carry out the purposes of this chapter.
(d) Earnings from loans made under this chapter shall be deposited in the fund.
(e) The corporation may make grants, loans, or investments from the fund for the following purposes:
(1) For the purposes identified in section 19(d) of this chapter.
(2) For the acquisition and improvement of land or other property.
(3) For costs associated with creating new innovation development districts.
(4) For the development of partnerships, including grants and loans, between the state, advanced
industry, and higher educational institutions focused on development, expansion, or retention in the
state.
(5) For the stimulation of investments in entrepreneurial or high growth potential companies in the
state.
(6) For workforce training assistance in the state.
(f) The corporation may use money in the fund to make a payment in lieu of a growing economy tax
credit as provided in IC 6-3-5-5.
SECTION 319. IC 36-7-32.5-20.5 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO
READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2025 (RETROACTIVE)]: Sec. 20.5. (a) The
economic development reserve account is established within the state general fund to support the
development and expansion of industry in Indiana. The budget agency shall administer the
economic development reserve account.
(b) The economic development reserve account consists of the following:
(1) Money appropriated to the economic development reserve account by the general
assembly.
(2) Money transferred to the economic development reserve account under section 19(f) of this
chapter.
(3) Interest earned on the balance of the economic development reserve account.
(c) The treasurer of state shall invest the money in the economic development reserve account
not currently needed to meet the obligations of the account in the same manner as other public
money may be invested. Interest that accrues from these investments shall be deposited in the
economic development reserve account.
(d) Money in the economic development reserve account at the end of a state fiscal year does not
revert to the state general fund.
SECTION 320. IC 36-7-32.5-21 IS REPEALED [EFFECTIVE JANUARY 1, 2025
(RETROACTIVE)]. Sec. 21. (a) Except as provided in subsection (b), money in the statewide innovation
development district fund established by section 20 of this chapter at the end of the state fiscal year does
not revert to the state general fund.
(b) Notwithstanding subsection (a), if the unobligated balance of the statewide innovation development
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district fund established by section 20 of this chapter exceeds five hundred million dollars ($500,000,000)
at the close of any state fiscal year, the amount of funds in excess of five hundred million dollars
($500,000,000) shall be transferred to the state general fund.
(c) Money in the fund is continuously appropriated for the purposes of this chapter.
SECTION 321. IC 36-7-32.5-22, AS ADDED BY P.L.135-2022, SECTION 28, IS AMENDED TO
READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2025 (RETROACTIVE)]: Sec. 22. The corporation
shall provide information on the innovation development district program in its economic incentive and
compliance report submitted pursuant to IC 5-28-28-5, and to the budget committee, that includes the
following:
(1) Metrics established by the corporation to evaluate the effectiveness of the innovation
development district in promoting economic growth in the state.
(2) The number and amount of grants or loans from the statewide innovation development district
fund established by section 20 of this chapter that are contractually awarded by the corporation for
each innovation development district and in total for all innovation development districts statewide.
(3) The name of each entity receiving a grant or loan from the statewide innovation development
district fund established by section 20 of this chapter for each innovation development district and
for all innovation development districts statewide.
(4) (2) The amount and name of each entity for which there is a unfunded obligation at the close of
each state fiscal year.
(5) (3) A report on each innovation development district designated under this chapter that includes
a description of:
(A) the general boundaries of the innovation development district;
(B) the total acreage encompassed within the innovation development district;
(C) the base assessed value of the innovation development district;
(D) the gross retail base period amount determined for the innovation development district;
(E) the income tax base period amount determined for the innovation development district;
(F) the gross assessed value of all tangible real and personal property, without regard to any
exemption granted by an executive or the corporation under section 15(b) of this chapter, that is:
(i) located within the innovation development district; and
(ii) in the case of real property, assessed as commercial or industrial property under the rules
of the department of local government finance;
in each calendar year after the calendar year in which the innovation development district was
designated;
(G) the amount of incremental property tax revenue deposited into the local innovation
development district fund established by section 19 of this chapter in each state fiscal year after
the state fiscal year in which the innovation development district was designated;
(H) the amount of incremental state gross retail and use tax revenue deposited into the local
innovation development district fund established by section 19 of this chapter in each state fiscal
year after the state fiscal year in which the innovation development district was designated;
(I) the amount of incremental state adjusted gross income tax revenue deposited into the local
innovation development district fund established by section 19 of this chapter in each state fiscal
year after the state fiscal year in which the innovation development district was designated;
(J) the amount of revenue deposited into the local innovation development district fund
established by section 19 of this chapter that was transferred into the statewide innovation
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development district fund economic development reserve account established under section
20 20.5 of this chapter in each state fiscal year after the state fiscal year in which the innovation
development district was designated;
(K) the aggregate amount of bonds issued by the Indiana finance authority under
IC 5-1.2-4-4(a)(2) to pay for projects within the innovation development district;
(L) the annual amount of debt service payments due on the bonds described in clause (K); and
(M) a description of all economic development incentives granted by the corporation to
businesses located within the innovation development district.
SECTION 322. P.L.201-2023, SECTION 284, IS AMENDED TO READ AS FOLLOWS
[EFFECTIVE UPON PASSAGE]: SECTION 284. (a) Notwithstanding IC 4-13-2-19 or any other law,
the appropriations made in P.L.165-2021, SECTION 26, from the account in the federal economic
stimulus fund created for the American Rescue Plan Act that are unexpended and unencumbered at the
close of the state fiscal year ending on June 30, 2023, 2025, do not lapse but instead remain available for
expenditure:
(1) during the state fiscal year beginning July 1, 2025, and ending June 30, 2026; and
(2) for the state fiscal year beginning July 1, 2026, and ending June 30, 2027, during the period
of time after June 30, 2026, and before January 1, 2027;
either state fiscal year in a biennium beginning after June 30, 2023, and ending before July 1, 2025, for
the purpose for which the appropriation was originally made.
(b) This SECTION expires July 1, 2025. January 1, 2027.
SECTION 323. [EFFECTIVE JULY 1, 2025] (a) On July 1, 2025, the state comptroller shall
transfer fifteen million dollars ($15,000,000) from the addiction services fund established by
IC 12-23-2-2 to the tobacco master settlement agreement fund established by IC 4-12-1-14.3.
(b) On July 1, 2025, the state comptroller shall transfer twenty-five million dollars ($25,000,000)
from the department of insurance fund established by IC 27-1-3-28 to the tobacco master settlement
agreement fund established by IC 4-12-1-14.3.
(c) This SECTION expires July 1, 2027.
SECTION 324. [EFFECTIVE UPON PASSAGE] (a) The budget agency shall transfer to the state
general fund on June 30, 2025, the balance in the freedom of choice grant fund (IC 21-12-4-5) and
the higher education award fund (IC 21-12-3-19) that is not needed for the payment of scholarship
awards in the state fiscal year ending June 30, 2025.
(b) This SECTION expires July 1, 2027.
SECTION 325. [EFFECTIVE UPON PASSAGE] (a) Any balance on June 30, 2025, in the
curricular materials fund established by IC 20-40-22-5, shall be transferred to the state general
fund on June 30, 2025.
(b) This SECTION expires July 1, 2025.
SECTION 326. [EFFECTIVE JULY 1, 2025] (a) The bureau of motor vehicles shall update the
Relationship to Family Member section of state form 54181 (R/10-11) to reflect the definition of
Gold Star family member defined in IC 9-18.5-33-1, as amended by this act.
(b) This SECTION expires July 1, 2027.
SECTION 327. [EFFECTIVE JULY 1, 2025] The office of management and budget shall, on or
before December 31, 2025, prepare and submit a report to the budget committee that contains
options for the general assembly to consider to reform the:
(1) Indiana office of technology charge back agency model of funding in order to reduce and
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streamline technology costs in the executive branch, improve technology services, and reduce
purchase costs for state agencies; and
(2) management performance hub in order to better achieve data quantities of scale among
state agencies and to streamline use of agency database platforms.
SECTION 328. [EFFECTIVE UPON PASSAGE] (a) As used in this SECTION, "office of the
secretary" means the office of the secretary of family and social services established by
IC 12-8-1.5-1, its offices, or divisions.
(b) Notwithstanding any provision to the contrary, the appropriation of one hundred forty-seven
million two hundred fifty thousand dollars ($147,250,000) made in SECTION 8 of HB 1001-2025,
as added by this act, for the biennium beginning July 1, 2025, and ending June 30, 2027, for the
purpose of CCDF hold harmless funding to the office of the secretary may also be used for the
purpose of CCDF hold harmless funding beginning in the state fiscal year beginning July 1, 2024,
and ending June 30, 2025.
(c) This SECTION expires July 1, 2027.
SECTION 329. [EFFECTIVE UPON PASSAGE] (a) As used in this SECTION, "account" means
the state tuition reserve account established by IC 4-12-1-15.7.
(b) Notwithstanding any provision to the contrary, there is appropriated to the department of
education from the account for the state fiscal year beginning July 1, 2024, and ending June 30,
2025, the amount necessary, as determined by the budget director, to pay tuition support payments
during the state fiscal year. However, the amount appropriated from the account under this
SECTION may not exceed ten million dollars ($10,000,000).
(c) This SECTION expires July 1, 2027.
SECTION 330. [EFFECTIVE UPON PASSAGE] The amounts appropriated under SECTION 30
of HEA 1001-2023 for "Northern IN Regional Economic Dev" shall remain available through June
30, 2027, to be spent on supporting potential regional economic development projects. The Northern
Indiana Regional Development Authority may create a regional revolving loan fund administered
by the regional development authority for eligible capital projects. The funds can be used for
expenses including fixed asset loans, land costs, building costs, project gap funding, and grants for
nonprofit entities. If the revolving loan fund issues a grant to a nonprofit entity, the grant shall not
exceed one million dollars ($1,000,000) and shall require a dollar for dollar match. Up to two
million dollars ($2,000,000) may be set aside for the purpose of accruing interest. All unencumbered
and unexpended funds shall be returned to the state general fund on or before June 30, 2031. Only
the interest may be used for administrative expenses incurred in administering the fund. The
regional development authority must submit an annual report to the budget committee detailing
the balance of the revolving loan fund and the progress of the projects that have received funding
by July 1, 2026, and by July 1 of each year thereafter.
SECTION 331. [EFFECTIVE UPON PASSAGE] The amounts appropriated under SECTION 30
of HEA 1001-2023 for "Northeast IN Regional Economic Dev" shall remain available through June
30, 2027. Up to two million dollars ($2,000,000) may be set aside for the purpose of accruing
interest. All unencumbered and unexpended funds shall be returned to the state general fund on
or before June 30, 2031. The authority must submit an annual report to the budget committee
detailing the projects that have received funding by July 1, 2026, and by July 1 of each year
thereafter.
SECTION 332. [EFFECTIVE UPON PASSAGE] (a) As used in this SECTION, "governance
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agreement" means the fifth amended and restated governance agreement concerning development
of the rail projects effective September 22, 2023, and entered into by NWIRDA, NICTD, and IFA.
(b) As used in this SECTION, "IFA" means the Indiana finance authority established by
IC 5-1.2-3-1.
(c) As used in this SECTION, "NICTD" means the northern Indiana commuter transportation
district established under IC 8-5-15.
(d) As used in this SECTION, "NWIRDA" means the northwest Indiana regional development
authority established by IC 36-7.5-2-1.
(e) Notwithstanding IC 6-3.1-20-7 or any other law, but subject to the prior written consent of
the United States Department of Transportation, Build America Bureau, acting through the
executive director of the Build America Bureau, NWIRDA shall, not later than July 1, 2025,
transfer any funds:
(1) paid to NWIRDA under IC 6-3.1-20-7(d) before January 1, 2025; and
(2) being held in escrow as of December 31, 2024;
to NICTD to subsidize NICTD's operation and maintenance costs of the South Shore line that are
attributable to the operations of the part of the South Shore line located in Lake County.
(f) Nothing in this SECTION may be construed as altering NICTD's ability under the
governance agreement to receive transfers of money from funds paid to NWIRDA under
IC 6-3.1-20-7(d) after December 31, 2024, to pay for operating deficits for the West Lake corridor
project, as provided in the governance agreement.
(g) In accordance with the governance agreement, NWIRDA, NICTD, and IFA shall cooperate
to secure WL Deficit Alternative Funding (as that term is defined in the governance agreement).
(h) This SECTION expires July 1, 2026.
SECTION 333. [EFFECTIVE UPON PASSAGE] (a) If a taxpayer is required to remit an estimated
tax payment under IC 6-3-2.1-6(d) for a taxable year that ended before amendment of IC 6-3-2.1-6
in HB 1001-2025, the penalty under IC 6-3-2.1-6(d) shall only be imposed if the taxpayer failed to
remit estimated payments by the end of the taxable year.
(b) If a taxpayer is required to remit one (1) or more estimated tax payments under
IC 6-3-2.1-6(d) for a taxable year ending on or after the effective date of IC 6-3-2.1-6, as amended
in HB 1001-2025, the taxpayer shall remit all estimated tax payments due, but not previously
remitted, on or before the due date of the first estimated tax payment due after the effective date
of IC 6-3-2.1-6, as amended in HB 1001-2025, and no penalty shall be imposed for failure to make
estimated payments before that due date. The required payment for the first estimated payment
after the effective date of IC 6-3-2.1-6, as amended in HB 1001-2025, equals the amount in
IC 6-3-2.1-6(d) multiplied by the number of estimated payments that otherwise would have been
required to be made on or before the due date of the first estimated payment required on or after
the effective date of IC 6-3-2.1-6, as amended in HB 1001-2025.
SECTION 334. [EFFECTIVE UPON PASSAGE] (a) The general assembly recognizes that this act
repeals IC 4-3-27 effective July 1, 2025, and that SEA 448-2025 adds IC 4-3-27-3.2 effective July
1, 2025. The general assembly intends to repeal IC 4-3-27 effective July 1, 2025.
(b) This SECTION expires January 1, 2026.
SECTION 335. P.L.201-2023, SECTION 290, IS AMENDED TO READ AS FOLLOWS
[EFFECTIVE JUNE 1, 2025]: SECTION 290. (a) Notwithstanding IC 4-13-2-19 or any other law, any
part of an appropriation made for the legislative council and the legislative services agency, in a state
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fiscal year beginning after June 30, 2018, and ending before July 1, 2024, 2027, that is unexpended and
unencumbered at the close of that state fiscal year does not lapse and is not returned to the state general
revenue fund but remains available for expenditure during either state fiscal year in a biennium beginning
after June 30, 2023, 2025, and ending before July 1, 2025. 2027. The unexpended and unencumbered
amount may be used to supplement the amounts appropriated in this act for each state fiscal year in the
biennium and shall be allotted, as requested by the executive director of the legislative services agency,
for the total operating expenses of the legislative council or the legislative services agency, or both.
However, if any part of the appropriations have not been allotted or encumbered before the
expiration of a state fiscal year, the personnel subcommittee of the legislative council may
determine that any part of the balance of the appropriations shall be reverted to the state general
fund.
(b) This SECTION expires July 1, 2025. 2027.
SECTION 336. P.L.201-2023, SECTION 291 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JUNE 1, 2025]: SECTION 291. (a) The definitions of "vacation leave", "sick leave", and other types of
leave used on July 1, 2010, by the department apply to this SECTION.
(b) As used in this SECTION, "department" refers to the state personnel department established by
IC 4-15-2.2-13.
(c) As used in this SECTION, "pilot program" refers to the pilot program reestablished under
subsection (d).
(d) The personnel committee of the legislative council for the legislative branch of state government
or the Indiana supreme court for the judicial branch of state government, or both, may reestablish
continue the pilot program established by P.L.220-2005, SECTION 8 (before its expiration), and
P.L.220-2005, SECTION 10 (before its expiration) and as amended in P.L.201-2023, SECTION 291,
for either or both the state fiscal year beginning July 1, 2025, and ending June 30, 2026, and the
state fiscal year beginning July 1, 2026, and ending June 30, 2027, including provisions adopted by:
(1) the deferred compensation committee (established by IC 5-10-1.1-4) to govern the pilot program;
(2) the department under LSA Document #06-488(E) (before its expiration), filed with the publisher
of the Indiana Register on October 16, 2006, to govern the pilot program; or
(3) the auditor of state comptroller to administer the pilot program.
(e) Subject to the Internal Revenue Code and applicable regulations, the personnel committee of the
legislative council or the Indiana supreme court, or both, may adopt procedures to implement and
administer the pilot program, including provisions established or reestablished under subsection (d).
(f) The auditor of state comptroller shall provide for the administration of the pilot program.
(g) This SECTION expires June 30, 2025. 2027.
SECTION 337. [EFFECTIVE UPON PASSAGE] (a) Notwithstanding the effective date of the
following sections added by HEA 1601-2025, the effective date for these sections is January 1, 2026,
and not upon passage:
(1) IC 6-1.1-10-54, as added by HEA 1601-2025, SECTION 1.
(2) IC 6-2.5-15-0.5, as added by HEA 1601-2025, SECTION 2.
(3) IC 6-2.5-15-5.7, as added by HEA 1601-2025, SECTION 5.
(4) IC 6-2.5-15-6.5, as added by HEA 1601-2025, SECTION 6.
(5) IC 6-2.5-15-13.2, as added by HEA 1601-2025, SECTION 11.
(6) IC 6-2.5-15-13.3, as added by HEA 1601-2025, SECTION 12.
(7) IC 6-2.5-15-13.4, as added by HEA 1601-2025, SECTION 13.
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(b) Notwithstanding the effective date of the following sections amended by HEA 1601-2025, the
effective date for these sections is January 1, 2026, and not upon passage:
(1) IC 6-2.5-15-3, as amended by HEA 1601-2025, SECTION 3.
(2) IC 6-2.5-15-5, as amended by HEA 1601-2025, SECTION 4.
(3) IC 6-2.5-15-7, as amended by HEA 1601-2025, SECTION 7.
(4) IC 6-2.5-15-9, as amended by HEA 1601-2025, SECTION 8.
(5) IC 6-2.5-15-11, as amended by HEA 1601-2025, SECTION 9.
(6) IC 6-2.5-15-13, as amended by HEA 1601-2025, SECTION 10.
(7) IC 6-2.5-15-14, as amended by HEA 1601-2025, SECTION 14.
(8) IC 6-2.5-15-15, as amended by HEA 1601-2025, SECTION 15.
(9) IC 6-2.5-15-16, as amended by HEA 1601-2025, SECTION 16.
(10) IC 6-2.5-15-17, as amended by HEA 1601-2025, SECTION 17.
(11) IC 6-2.5-15-18, as amended by HEA 1601-2025, SECTION 18.
(12) IC 6-2.5-15-19, as amended by HEA 1601-2025, SECTION 19.
(13) IC 6-2.5-15-20, as amended by HEA 1601-2025, SECTION 20.
(c) This SECTION expires July 1, 2027.
SECTION 338. [EFFECTIVE UPON PASSAGE] (a) The legislative council is urged to assign to
the appropriate interim study committee established under IC 2-5 during the 2025 legislative
interim the task of studying the impact of removing caseload limitations for the department of child
services.
(b) This SECTION expires December 31, 2025.
SECTION 339. An emergency is declared for this act.
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Speaker of the House of Representatives
President of the Senate
President Pro Tempore
Governor of the State of Indiana
Date: Time:
HEA 1001 — CC 1Every fact on this page links to its source, starting with the official bill record.