Final Legislative Report 2015
The 2015 legislative session ended in late April with the passing of the biennial budget. The $31.5 billion two-year budget focused resources on restoring K-12 educational funding and promotion of higher education, jobs and economic development, investment in infrastructure and transportation, and healthcare. In particular, the bill passed by the House and Senate called for $466 million in funding for K-12 education, $100 million to fund the Career and Technical Education program, $20 million for the Regional Cities Initiative, $200 million per year to fund road projects through the Major Moves 2020 initiative, and included a formula to fund the Healthy Indiana Plan 2.0.The Chamber identified several pieces of legislation that fell within our Legislative Agenda priorities that we supported, as well as some bills that we were monitoring. Although not part of our Legislative Agenda, we closely followed the discussions on the Religious Freedom and Restoration Act (RFRA) and the repeal of the common construction wage, which dominated portions of this year’s session.
BUDGET
HB 1001: State biennial budget
05/07/2015 Signed by the Governor
https://iga.in.gov/static-documents/4/0/6/8/4068bd97/HB1001.05.ENRH.FN001.pdf
Highlights of the School Formula for FY 2016-17 include:
- The foundation grant is increased from $4,587 in FY 2015 to $4,967 in FY 2016 and $5,088 in FY2017.
- The Full-Day Kindergarten grants have been discontinued for FY 2016 and FY 2017. Students in kindergarten are incorporated into the ADM count as 1 instead of ½ of a student
- The bill modifies the current performance awards. Based on projected 2015 and 2016 data, approximately 334 school corporations would qualify for awards totaling about $30 M for FY 2016 and $40 M for FY 2017.
BUSINESS TAXATION & REGULATION
SB 436: State and local taxation
05/06/2015 Signed by the Governor
The bill addresses issues including personal property taxation, agricultural use for property tax assessments, specifies conditions for valuing big box retail properties, and calls for several study committees on various taxation issues.
HB 1469: Wage payment and wage assignment.
05/05/2015 Signed by the Governor
The bill provides that an employer who fails to make timely payment of wages or withholds wages shall pay the wages due, a reasonable fee for the plaintiff's attorney, and court costs. Provides that if a court finds that the failure to pay the employee was not in good faith, the court shall order that the employee be paid an amount equal to two times the amount of wages due the employee as liquidated damages.
HB 1485: Local taxation.
05/06/2015 Signed by the Governor
The bill provides for a transition from the county adjusted gross income tax (CAGIT), the county option income tax (COIT), the county economic development income tax (CEDIT), and the various local income taxes for special purposes and special projects to a single local income tax with three rate components. This will increase statewide local income tax revenue by an estimated $22 M beginning in CY 2017.
INFRASTRUCTURE & JOB CREATION
SB 379: Public transportation corporations.
Passed Senate, Did not receive committee hearing in House
Senator Mark Stoops authored SB 379 to give the Monroe County Council authority to expand Bloomington Transit into Monroe County through an increase in the County Option Income Tax. The idea of expanding public transportation services in the area has received a lot of local support. Despite efforts of our local legislators, the bill did not receive a committee hearing in the House. The Chamber plans to organize a committee of area stakeholders to discuss plans for moving this forward in the 2016 session.
SB 412: Integrated resource plans and energy efficiency.
05/06/2015 Signed by the Governor
The bill provides for certain electricity suppliers to submit energy efficiency plans to the IURC at least once every three years. The plans may be submitted as part of a general basic rate proceeding or an independent proceeding. The bill also requires the IURC to adopt rules. Any increase in administrative costs to the IURC could be offset by public utility fees.
SB 474: Analysis of water utility planning and needs.
04/30/2015 Public Law 91
The bill requires the IFA to prepare an analysis of the planning and long-range needs of water utilities serving the 15 most populous cities in the state and 5 small water utilities that serve fewer than 10,000 customers selected by the IFA. The bill allows the IFA to contract with professionals or with a state educational institution to fulfill the bill’s requirements.
HB 1036: Statutory authorization to construct interstates.
04/30/2015 Public Law 94
The bill removes requirement that the general assembly enact a statute authorizing the construction of I-69 in Perry Township (Marion County) before I-69 may be constructed in Perry Township.
HB 1068: Background checks
04/30/2015 Public Law 98
The bill makes changes to the definition of an "expanded criminal history check", which is required for employment at a school. This bill expands the definition of an expanded criminal history check to include a background check completed by a consumer reporting agency. The cost of an expanded criminal history check through the ISP is approximately $39.45, with $15 deposited into the state General Fund; a background check completed by a consumer reporting agency is estimated to cost about $30.
HB 1101: Broadband ready communities.
04/15/2015 Public Law 18
The bill authorizes the Indiana Economic Development Corporation to establish a center to promote broadband with local governments through the state.
HB 1300: Ordinances relate to building and housing laws.
04/30/2015 Public Law 101
The bill specifies that an ordinance or other regulation adopted by a political subdivision that qualifies as a fire safety law or a building law: (1) must be submitted to the fire prevention and building safety commission for review within 30 days of adoption by the political subdivision; and (2) is not effective until the ordinance or regulation: (A) is approved by the commission; or (B) is approved automatically if the commission does not approve or deny the ordinance or regulation within four commission meetings.
HB 1403: Regional cities.
05/06/2015 Public Law 178
The bill establishes the Indiana regional city fund (fund) to provide grants and loans to regional development authorities. It provides that the Indiana economic development corporation administers the fund. Additionally, it broadens the definition of "project" under the regional development authority statute to include any project that enhances a region with the goal of attracting people or business.
HB 1475: Statewide 911 system.
05/04/2015 Public Law 157
The bill removes the requirement that a county council (for a county adjusted gross income tax) or a county income tax council (for a county option income tax) must impose certain additional tax rates as a condition of imposing an additional tax rate for public safety (public safety LOIT). It provides that in a county in which a public safety LOIT is not in effect on July 1, 2015, the county council or county income tax council (as appropriate) may adopt a resolution providing that up to 100% of the tax revenue from a public safety LOIT imposed by a county shall be dedicated to a PSAP in the county that is part of the statewide 911 system. This bill increases the enhanced prepaid wireless charge from $0.50 to $1 and it increases the statewide 911 fee for a standard user from $0.99 to $1. This will increase 911 fee revenue by about $12 M per year beginning FY 2016.
EDUCATION
SB 500: Education deregulation.
05/07/2015 Signed by the Governor
The bill makes comprehensive revisions to the Indiana Code relating to all aspects of the administration of schools and school corporations and the education of students from pre-kindergarten through grade 12.It establishes a school reporting oversight committee to review all reporting requirements by the state for schools.
SB 509: Scholarships and grants.
05/07/2015 Signed by the Governor
The bill provides that at the end of each state fiscal year, the commission for higher education may order the auditor of state to transfer money among certain funds if the commission determines that the remaining appropriation in a particular fund could be used by eligible applicants for an award under one of the other funds in the following state fiscal year. These scholarships and grants include Twenty-First Century Scholars Program, Adult Student Grant formerly known as the Part-time Student Program, and Economic Priority Sector award. For FY 2013-14, the Twenty-First Century Scholars Program provided about $112 in scholarship to 18,264 students. The appropriation for the Part-time Student Program for FY 2015 is about $7.6 M.
HB 1009: Innovation network schools
05/07/2015 Signed by the Governor
The bill provides for Innovation Network School Programs in school corporations and establishes the Career Pathways Pilot Program for teachers who want to take on added responsibilities while staying in the classroom.
HB 1042: Education loan information.
04/15/2015 Public Law 15
The bill requires a postsecondary educational institution that enrolls students who receive state financial aid to annually provide each student with certain information concerning the student’s education loans. The report would include an estimate of total amount of the student’s loans, potential total payoff amount of education loans incurred, monthly repayment amount, and percentage of the borrowing limit the student has reached. In addition, it provides that an eligible institution does not incur liability for any information to students.
HB 1056: Student transfers.
04/15/2015 Public Law 17
The bill provides that a student may transfer to a school corporation if the student's parent is an employee of the school corporation and the school corporation has the capacity to accept the student