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 2007 Regular Session of the General Assembly.
AN ACT to amend the Indiana Code concerning taxation and to make an appropriation.
Be it enacted by the General Assembly of the State of Indiana:
election, as provided in Article 6, Section 4 of the Constitution of
the State of Indiana; and
(2) own real property located in the county upon taking office.
(b) A candidate for the office of county assessor who runs in an
election after June 30, 2008, must have attained the certification of a
level two assessor-appraiser under IC 6-1.1-35.5.
(c) A candidate for the office of county assessor who runs in an
election after January 1, 2012, must have attained the certification
of a level three assessor-appraiser under IC 6-1.1-35.5.
SECTION 3. IC 3-8-1-23.6 AS ADDED BY HEA 1137-2008,
SECTION 2, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
UPON PASSAGE]: Sec. 23.6. (a) A person who runs in an election
after June 30, 2008, for the office of township assessor under
IC 36-6-5-1 must have attained the certification of a level two
assessor-appraiser under IC 6-1.1-35.5 before taking office.
(b) A person who runs in an election after June 30, 2008, for the
office of township trustee and who performs all the duties and has all
the rights and powers of a township assessor under IC 36-6-5-1 must
have attained the certification of a level two assessor-appraiser under
IC 6-1.1-35.5 before taking office to qualify to perform those duties
and to assume those rights and powers.
(c) A person who runs successfully under subsection (b) but has not
attained the certification of a level two assessor-appraiser under
IC 6-1.1-35.5 before taking office:
(1) may perform in office only duties other than the duties of a
township assessor under IC 36-6-5-1; and
(2) has only the rights and powers of the trustee other than the
rights and powers of a township assessor under IC 36-6-5-1.
The restrictions listed in this subsection apply to the entire term for
which the person takes office, regardless of whether the person attains
the certification of a level two assessor-appraiser under IC 6-1.1-35.5
during the term of office.
(b) A person who runs in an election after January 1, 2012, for
the office of township assessor under IC 36-6-5-1 must have
attained the certification of a level three assessor-appraiser under
IC 6-1.1-35.5 before taking office.
SECTION 4. IC 3-10-1-19, AS AMENDED BY P.L.164-2006,
SECTION 71, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JANUARY 1, 2009]: Sec. 19. (a) The ballot for a primary election shall
be printed in substantially the following form for all the offices for
which candidates have qualified under IC 3-8:
manner provided in section 7 of this chapter by the auditor of state not
later than December 31 following the end of each fiscal year.
SECTION 8. IC 4-10-18-1 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 1. As used in this
chapter:
"Adjusted personal income" for a particular calendar year means the
adjusted state personal income for that year as determined under
section 3(b) of this chapter.
"Annual growth rate" for a particular calendar year means the
percentage change in adjusted personal income for the particular
calendar year as determined under section 3(c) of this chapter.
"Budget director" refers to the director of the budget agency
established under IC 4-12-1.
"Costs" means the cost of construction, equipment, land, property
rights (including leasehold interests), easements, franchises, leases,
financing charges, interest costs during and for a reasonable period
after construction, architectural, engineering, legal, and other
consulting or advisory services, plans, specifications, surveys, cost
estimates, and other costs or expenses necessary or incident to the
acquisition, development, construction, financing, and operating of an
economic growth initiative.
"Current calendar year" means a calendar year during which a
transfer to or from the fund is initially determined under sections 4 and
5 of this chapter.
"Economic growth initiative" means:
(1) the construction, extension, or completion of sewerlines,
waterlines, streets, sidewalks, bridges, roads, highways, public
ways, and any other infrastructure improvements;
(2) the leasing or purchase of land and any site improvements to
land;
(3) the construction, leasing, or purchase of buildings or other
structures;
(4) the rehabilitation, renovation, or enlargement of buildings or
other structures;
(5) the leasing or purchase of machinery, equipment, or
furnishings; or
(6) the training or retraining of employees whose jobs will be
created or retained as a result of the initiative.
"Fund" means the counter-cyclical revenue and economic
stabilization fund established under this chapter.
"General fund revenue" means all general purpose tax revenue and
other unrestricted general purpose revenue of the state, including
federal revenue sharing monies, credited to the state general fund and
from which appropriations may be made. The term "general fund
revenue" does not include revenue held in the reserve for tuition
support under IC 4-12-1-12.
"Implicit price deflator for the gross national product" means the
implicit price deflator for the gross national product, or its closest
equivalent, which is available from the United States Bureau of
Economic Analysis.
"Political subdivision" has the meaning set forth in IC 36-1-2-13.
"Qualified economic growth initiative" means an economic growth
initiative that is:
(1) proposed by or on behalf of a political subdivision to promote
economic growth, including the creation or retention of jobs or
the infrastructure necessary to create or retain jobs;
(2) supported by a financing plan by or on behalf of the political
subdivision in an amount at least equal to the proposed amount of
the grant under section 15 of this chapter; and
(3) estimated to cost not less than twelve million five hundred
thousand dollars ($12,500,000).
"State personal income" means state personal income as that term
is defined by the Bureau of Economic Analysis of the United States
Department of Commerce or its successor agency.
"Total state general fund revenue" for a particular state fiscal year
means the amount of that revenue for the particular state fiscal year as
finally determined by the auditor of state.
"Transfer payments" means transfer payments as that term is
defined by the Bureau of Economic Analysis of the United States
Department of Commerce or its successor agency.
SECTION 9. IC 4-10-18-8 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JANUARY 1, 2009]: Sec. 8. (a) Except as
provided in subsection (b), if the balance, at the end of a state fiscal
year, in the fund exceeds seven percent (7%) of the total state general
fund revenues for that state fiscal year, the excess is appropriated from
the fund to the property tax replacement state general fund.
established under IC 6-1.1-21. The auditor of state and the treasurer of
state shall transfer the amount so appropriated from the fund to the
property tax replacement state general fund during the immediately
following state fiscal year.
(b) If an appropriation is made out of the fund under section 4 of
this chapter for a state fiscal year during which a transfer is to be made
from the fund to the property tax replacement state general fund, the
amount of the appropriation made under subsection (a) shall be
reduced by the amount of the appropriation made under section 4 of
this chapter. However, the amount of the appropriation made under
subsection (a) may not be reduced to less than zero (0).
SECTION 10. IC 4-10-21-2 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JANUARY 1, 2009]: Sec. 2. (a) For the state
fiscal year beginning July 1, 2003, and ending June 30, 2004, the state
spending cap is equal to the result determined under STEP THREE of
the following formula:
STEP ONE: Determine the sum of the total of the appropriations
made from the state general fund and the property tax
replacement fund (including continuing appropriations) for the
state fiscal year beginning July 1, 2002, and ending June 30,
2003.
STEP TWO: Subtract from the STEP ONE result two hundred
forty-three million dollars ($243,000,000), which is the amount
of certain reversions made by state agencies.
STEP THREE: Multiply the STEP TWO result by one and
thirty-five thousandths (1.035).
(b) For the state fiscal year beginning July 1, 2004, and ending June
30, 2005, the state spending cap is equal to the product of the result
determined under subsection (a) multiplied by one and thirty-five
thousandths (1.035).
(c) The state spending cap for a state fiscal year beginning after
June 30, 2005, is equal to the product of the state spending growth
quotient for the state fiscal year determined under section 3 of this
chapter multiplied by the state spending cap for the immediately
preceding state fiscal year.
(d) The state spending cap imposed under this section is increased
in the initial state fiscal year in which the state receives additional
revenue for deposit in the state general fund or property tax
replacement fund as a result of the enactment of a law that:
(1) establishes a new tax or fee after June 30, 2002;
(2) increases the rate of a previously enacted tax or fee after June
30, 2002; or
(3) reduces or eliminates an exemption, a deduction, or a credit
against a previously enacted tax or fee after June 30, 2002.
The amount of the increase is equal to the average revenue that the
budget agency estimates will be raised by the legislative action in the
initial two (2) full state fiscal years in which the legislative change is
in effect.
(e) The state spending cap imposed under this section is decreased
in the initial state fiscal year in which the state is affected by a decrease
in revenue deposited in the state general fund or property tax
replacement fund as the result of the enactment of a law that:
(1) eliminates a tax or fee after June 30, 2002;
(2) eliminates any part of a tax rate or fee after June 30, 2002; or
(3) establishes or increases an exemption, a deduction, or a credit
against a tax or fee after June 30, 2002.
The amount of the decrease is equal to the average revenue that the
budget agency estimates will be lost as a result of the legislative action
in the initial two (2) full state fiscal years in which the legislative
change is in effect.
SECTION 11. IC 4-10-21-5 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JANUARY 1, 2009]: Sec. 5. (a) The
maximum total amount that may be expended in a state fiscal year from
the state general fund the property tax replacement fund, and the
counter-cyclical revenue and economic stabilization fund is the least of
the following:
(1) Subject to sections 6 and 7 of this chapter, the state spending
cap for the state fiscal year.
(2) The amount appropriated by the general assembly from the
state general fund the property tax replacement fund, and the
counter-cyclical revenue and economic stabilization fund.
(3) The amount of money available in the state general fund the
property tax replacement fund, and the counter-cyclical revenue
and economic stabilization fund to pay expenditures.
(b) Subject to sections 6 and 7 of this chapter, if the state spending
cap for the state fiscal year is less than the amount appropriated by the
general assembly in the state fiscal year from the state general fund the
property tax replacement fund, and the counter-cyclical revenue and
economic stabilization fund, the budget agency shall reduce the
amounts available for expenditure from the state general fund the
property tax replacement fund, and the counter-cyclical revenue and
economic stabilization fund in the state fiscal year by using the
procedures in IC 4-13-2-18.
SECTION 12. IC 4-10-21-6 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JANUARY 1, 2009]: Sec. 6. The following
expenditures that would otherwise be subject to this chapter shall be
excluded from all computations and determinations related to a state
spending cap:
be transmitted to the governor and the auditor of state. The report shall
be transmitted in an electronic format under IC 5-14-6 to the general
assembly.
(b) Not later than the first day of June of each calendar year, the
budget agency shall prepare a list of all appropriations made by law for
expenditure or encumbrance during the fiscal year beginning on the
first day of July of that calendar year. At the same time, the budget
agency shall establish the amount of a reserve from the general fund
surplus which such agency estimates will be necessary and required to
provide funds with which to pay the distribution to local school units
required by law to be made so early in such fiscal year that revenues
received in such year prior to the distribution will not be sufficient to
cover such distribution. Not later than the first day of June following
adjournment of such regular session of the general assembly the
amounts of the appropriations for such fiscal year, and the amount of
such reserve, shall be written and transmitted formally to the auditor of
state who then shall establish the amounts of such appropriations, and
the amount of such reserve, in the records of the auditor's office as
fixed in such communication of the budget agency.
(c) Within sixty (60) days following the adjournment of any special
session of the general assembly, or within such shorter period as the
circumstances may require, the budget agency shall prepare for and
transmit to the governor and members of the general assembly and the
auditor of state, like information and a list of sums appropriated, and
if required, an estimate for a reserve from the general fund surplus for
distribution to local school units, all as is done upon the adjournment
of a regular session, pursuant to subsections (a) and (b) of this section
to the extent the same are applicable. The budget agency shall transmit
any information under this subsection to the general assembly in an
electronic format under IC 5-14-6.
(d) The budget agency shall administer the allotment system
provided in IC 4-13-2-18.
(e) The budget agency may transfer, assign, and reassign any
appropriation or appropriations, or parts of them, excepting those
appropriations made to the Indiana state teacher's retirement fund
established by IC 5-10.4-2, made for one specific use or purpose to
another use or purpose of the agency of state to which the appropriation
is made, but only when the uses and purposes to which the funds
transferred, assigned and reassigned are uses and purposes the agency
of state is by law required or authorized to perform. No transfer may be
made as in this subsection authorized unless upon the request of and
with the consent of the agency of state whose appropriations are
involved. Except to the extent otherwise specifically provided, every
appropriation made and hereafter made and provided, for any specific
use or purpose of an agency of the state is and shall be construed to be
an appropriation to the agency, for all other necessary and lawful uses
and purposes of the agency, subject to the aforesaid request and
consent of the agency and concurrence of the budget agency.
(f) One (1) or more emergency or contingency appropriations for
each fiscal year or for the budget period may be made to the budget
agency. Such appropriations shall be in amounts definitely fixed by
law, or ascertainable or determinable according to a formula, or
according to appropriate provisions of law taking into account the
revenues and income of the agency of state. No transfer shall be made
from any such appropriation to the regular appropriation of an agency
of the state except upon an order of the budget agency made pursuant
to the authority vested in it hereby or otherwise vested in it by law.
SECTION 14. IC 4-12-1-15.7 IS ADDED TO THE INDIANA
CODE AS A NEW SECTION TO READ AS FOLLOWS
[EFFECTIVE JUNE 1, 2008]: Sec. 15.7. (a) As used in this section,
"fund" refers to the state tuition reserve fund.
(b) The state tuition reserve fund is established for the following
purposes:
(1) To fund a tuition support distribution under IC 20-43
whenever the budget director determines that state general
fund cash balances are insufficient to cover the distribution.
(2) To meet revenue shortfalls whenever the budget director,
after review by the budget committee, determines that state
tax revenues available for deposit in the state general fund
will be insufficient to fully fund tuition support distributions
under IC 20-43 in any particular state fiscal year.
(c) The fund consists of the following:
(1) Money appropriated to the fund by the general assembly.
(2) Money transferred to the fund under any law.
(3) Interest earned on the balance of 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. Interest that
accrues from these investments shall be deposited in the fund.
(e) Money in the fund at the end of a state fiscal year does not
revert for any other purpose of the state general fund.
(f) The budget agency shall administer the fund. Whenever the
budget director makes a determination under subsection (b)(1) or
(b)(2), the budget agency shall notify the auditor of state of the
amount from the fund to be used for state tuition support
distributions. The auditor of state shall transfer the amount from
the fund to the state general fund. The amount transferred may be
used only for the purposes of making state tuition support
distributions under IC 20-43. If the amount is transferred under
subsection (b)(1), the amount shall be repaid to the fund from the
state general fund before the end of the state fiscal year in which
the transfer is made.
SECTION 15. IC 4-24-7-4, AS AMENDED BY P.L.246-2005,
SECTION 44, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JANUARY 1, 2009]: Sec. 4. (a) Accounts of state institutions
described in sections 1 and 3 of this chapter shall be paid as follows:
(1) All such accounts shall be signed by the superintendent of
such institution, attested to by the seal of the institution, and
forwarded to the auditor of the county for payment from which
county the inmate or patient was admitted.
(2) All accounts accruing between January 1 and June 30 of each
year shall be forwarded to the county auditor on or before October
1 of such year.
(3) All accounts accruing between July 1 and December 31 of
each year shall be forwarded to the county auditor on or before
April 1 of the following year.
(4) Upon receipt of any such account, the county auditor shall
draw a warrant on the treasurer of the county for the payment of
the account, and the same shall be paid out of the funds of the
county appropriated therefor.
(5) The county council of each county of the state shall annually
appropriate sufficient funds to pay such accounts.
(b) All accounts of state institutions described in section 2 of this
chapter shall be paid as follows:
(1) All such accounts shall be signed by the superintendent of the
institution, attested to by the seal of the institution, and forwarded
to the auditor of the county for payment from the county from
which the inmate was admitted.
(2) All accounts accruing after December 31 and before April 1
of each year shall be forwarded to the county auditor on or before
May 15 of that year.
(3) All accounts accruing after March 31 and before July 1 of
each year shall be forwarded to the county auditor on or before
August 15 of that year.
(4) All accounts accruing after June 30 and before October 1 of
each year shall be forwarded to the county auditor on or before
November 15 of that year.
(5) All accounts accruing after September 30 and before January
1 of each year, and any reconciliations for previous periods, shall
be forwarded to the county auditor on or before March 15 of the
following year.
(6) Upon receipt of an account, the county auditor shall draw a
warrant on the treasurer of the county for the payment of the
account, which shall be paid from the funds of the county that
were appropriated for the payment.
(7) The county council of each county shall annually appropriate
sufficient funds to pay these accounts.
If a county has not paid an account within six (6) months after the
account is forwarded under this subsection, the auditor of state shall,
notwithstanding anything to the contrary in IC 6-1.1-21, reduce the
next distribution of property tax replacement credits under IC 6-1.1-21
to the county and withhold the amount owed on the account. The
auditor of state shall credit the withheld amount to the state general
fund for the purpose of curing the default. The account is then
considered paid. A county that has the county's distribution reduced
under this subsection shall apply the withheld amount only to the
county unit's share of the distribution and may not reduce a distribution
to any other civil taxing unit or school corporation within the county.
SECTION 16. IC 4-30-16-3, AS AMENDED BY P.L.2-2006,
SECTION 7, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JANUARY 1, 2009]: Sec. 3. (a) The commission shall transfer the
surplus revenue in the administrative trust fund as follows:
(1) Before the last business day of January, April, July, and
October, the commission shall transfer to the treasurer of state, for
deposit in the Indiana state teachers' retirement fund
(IC 5-10.4-2), seven million five hundred thousand dollars
($7,500,000). Notwithstanding any other law, including any
appropriations law resulting from a budget bill (as defined in
IC 4-12-1-2), the money transferred under this subdivision shall
be set aside in the pension stabilization fund (IC 5-10.4-2-5) to be
used as a credit against the unfunded accrued liability of the
pre-1996 account (as defined in IC 5-10.4-1-12) of the Indiana
state teachers' retirement fund. The money transferred is in
addition to the appropriation needed to pay benefits for the state
fiscal year.
(2) Before the last business day of January, April, July, and
October, the commission shall transfer
(A) two seven million five hundred thousand dollars
($2,500,000) ($7,500,000) of the surplus revenue to the
treasurer of state for deposit in the "k" portion of the pension
relief fund (IC 5-10.3-11). and
(B) five million dollars ($5,000,000) of the surplus revenue to
the treasurer of state for deposit in the "m" portion of the
pension relief fund (IC 5-10.3-11).
(3) The surplus revenue remaining in the fund on the last day of
January, April, July, and October after the transfers under
subdivisions (1) and (2) shall be transferred by the commission to
the treasurer of state for deposit on that day in the build Indiana
fund.
(b) The commission may make transfers to the treasurer of state
more frequently than required by subsection (a). However, the number
of transfers does not affect the amount that is required to be transferred
for the purposes listed in subsection (a)(1) and (a)(2). Any amount
transferred during the month in excess of the amount required to be
transferred for the purposes listed in subsection (a)(1) and (a)(2) shall
be transferred to the build Indiana fund.
SECTION 17. IC 4-33-12-6, AS AMENDED BY HEA 1137-2008,
SECTION 13, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JANUARY 1, 2009]: Sec. 6. (a) The department shall place in the state
general fund the tax revenue collected under this chapter.
(b) Except as provided by subsections (c) and (d) and IC 6-3.1-20-7,
the treasurer of state shall quarterly pay the following amounts:
(1) Except as provided in subsection (k), one dollar ($1) of the
admissions tax collected by the licensed owner for each person
embarking on a gambling excursion during the quarter or
admitted to a riverboat that has implemented flexible scheduling
under IC 4-33-6-21 during the quarter shall be paid to:
(A) the city in which the riverboat is docked, if the city:
(i) is located in a county having a population of more than
one hundred ten thousand (110,000) but less than one
hundred fifteen thousand (115,000); or
(ii) is contiguous to the Ohio River and is the largest city in
the county; and
(B) the county in which the riverboat is docked, if the
riverboat is not docked in a city described in clause (A).
horse racing in Indiana:
(A) To one (1) or more breed development funds established
by the Indiana horse racing commission under IC 4-31-11-10.
(B) To a racetrack that was approved by the Indiana horse
racing commission under IC 4-31. The commission may make
a grant under this clause only for purses, promotions, and
routine operations of the racetrack. No grants shall be made
for long term capital investment or construction, and no grants
shall be made before the racetrack becomes operational and is
offering a racing schedule.
(c) With respect to tax revenue collected from a riverboat located in
a historic hotel district, the treasurer of state shall quarterly pay the
following amounts:
(1) Twenty-two percent (22%) of the admissions tax collected
during the quarter shall be paid to the county treasurer of the
county in which the riverboat is docked. The county treasurer
shall distribute the money received under this subdivision as
follows:
(A) Twenty-two and seventy-five hundredths percent (22.75%)
shall be quarterly distributed to the county treasurer of a
county having a population of more than thirty-nine thousand
six hundred (39,600) but less than forty thousand (40,000) for
appropriation by the county fiscal body after receiving a
recommendation from the county executive. The county fiscal
body for the receiving county shall provide for the distribution
of the money received under this clause to one (1) or more
taxing units (as defined in IC 6-1.1-1-21) in the county under
a formula established by the county fiscal body after receiving
a recommendation from the county executive.
(B) Twenty-two and seventy-five hundredths percent (22.75%)
shall be quarterly distributed to the county treasurer of a
county having a population of more than ten thousand seven
hundred (10,700) but less than twelve thousand (12,000) for
appropriation by the county fiscal body. The county fiscal
body for the receiving county shall provide for the distribution
of the money received under this clause to one (1) or more
taxing units (as defined in IC 6-1.1-1-21) in the county under
a formula established by the county fiscal body after receiving
a recommendation from the county executive.
(C) Fifty-four and five-tenths percent (54.5%) shall be retained
by the county where the riverboat is docked for appropriation
by the county fiscal body after receiving a recommendation
from the county executive.
(2) Five percent (5%) of the admissions tax collected during the
quarter shall be paid to a town having a population of more than
two thousand two hundred (2,200) but less than three thousand
five hundred (3,500) located in a county having a population of
more than nineteen thousand three hundred (19,300) but less than
twenty thousand (20,000). At least twenty percent (20%) of the
taxes received by a town under this subdivision must be
transferred to the school corporation in which the town is located.
(3) Five percent (5%) of the admissions tax collected during the
quarter shall be paid to a town having a population of more than
three thousand five hundred (3,500) located in a county having a
population of more than nineteen thousand three hundred
(19,300) but less than twenty thousand (20,000). At least twenty
percent (20%) of the taxes received by a town under this
subdivision must be transferred to the school corporation in which
the town is located.
(4) Twenty percent (20%) of the admissions tax collected during
the quarter shall be paid in equal amounts to each town that:
(A) is located in the county in which the riverboat docks; and
(B) contains a historic hotel.
At least twenty percent (20%) of the taxes received by a town
under this subdivision must be transferred to the school
corporation in which the town is located.
(5) Ten percent (10%) of the admissions tax collected during the
quarter shall be paid to the Orange County development
commission established under IC 36-7-11.5. At least one-third
(1/3) of the taxes paid to the Orange County development
commission under this subdivision must be transferred to the
Orange County convention and visitors bureau.
(6) Thirteen percent (13%) of the admissions tax collected during
the quarter shall be paid to the West Baden Springs historic hotel
preservation and maintenance fund established by
IC 36-7-11.5-11(b).
(7) Twenty-five percent (25%) of the admissions tax collected
during the quarter shall be paid to the Indiana economic
development corporation to be used by the corporation for the
development and implementation of a regional economic
development strategy to assist the residents of the county in which
the riverboat is located and residents of contiguous counties in
improving their quality of life and to help promote successful and
sustainable communities. The regional economic development
strategy must include goals concerning the following issues:
(A) Job creation and retention.
(B) Infrastructure, including water, wastewater, and storm
water infrastructure needs.
(C) Housing.
(D) Workforce training.
(E) Health care.
(F) Local planning.
(G) Land use.
(H) Assistance to regional economic development groups.
(I) Other regional development issues as determined by the
Indiana economic development corporation.
(d) With respect to tax revenue collected from a riverboat that
operates from a county having a population of more than four hundred
thousand (400,000) but less than seven hundred thousand (700,000),
the treasurer of state shall quarterly pay the following amounts:
(1) Except as provided in subsection (k), one dollar ($1) of the
admissions tax collected by the licensed owner for each person:
(A) embarking on a gambling excursion during the quarter; or
(B) admitted to a riverboat during the quarter that has
implemented flexible scheduling under IC 4-33-6-21;
shall be paid to the city in which the riverboat is docked.
(2) Except as provided in subsection (k), one dollar ($1) of the
admissions tax collected by the licensed owner for each person:
(A) embarking on a gambling excursion during the quarter; or
(B) admitted to a riverboat during the quarter that has
implemented flexible scheduling under IC 4-33-6-21;
shall be paid to the county in which the riverboat is docked.
(3) Except as provided in subsection (k), nine cents ($0.09) of the
admissions tax collected by the licensed owner for each person:
(A) embarking on a gambling excursion during the quarter; or
(B) admitted to a riverboat during the quarter that has
implemented flexible scheduling under IC 4-33-6-21;
shall be paid to the county convention and visitors bureau or
promotion fund for the county in which the riverboat is docked.
(4) Except as provided in subsection (k), one cent ($0.01) of the
admissions tax collected by the licensed owner for each person:
(A) embarking on a gambling excursion during the quarter; or
(B) admitted to a riverboat during the quarter that has
implemented flexible scheduling under IC 4-33-6-21;
shall be paid to the northwest Indiana law enforcement training
center.
(5) Except as provided in subsection (k), fifteen cents ($0.15) of
the admissions tax collected by the licensed owner for each
person:
(A) embarking on a gambling excursion during the quarter; or
(B) admitted to a riverboat during a quarter that has
implemented flexible scheduling under IC 4-33-6-21;
shall be paid to the state fair commission for use in any activity
that the commission is authorized to carry out under IC 15-13-3.
(6) Except as provided in subsection (k), ten cents ($0.10) of the
admissions tax collected by the licensed owner for each person:
(A) embarking on a gambling excursion during the quarter; or
(B) admitted to a riverboat during the quarter that has
implemented flexible scheduling under IC 4-33-6-21;
shall be paid to the division of mental health and addiction. The
division shall allocate at least twenty-five percent (25%) of the
funds derived from the admissions tax to the prevention and
treatment of compulsive gambling.
(7) Except as provided in subsection (k) and section 7 of this
chapter, sixty-five cents ($0.65) of the admissions tax collected by
the licensed owner for each person embarking on a gambling
excursion during the quarter or admitted to a riverboat during the
quarter that has implemented flexible scheduling under
IC 4-33-6-21 shall be paid to the Indiana horse racing commission
to be distributed as follows, in amounts determined by the Indiana
horse racing commission, for the promotion and operation of
horse racing in Indiana:
(A) To one (1) or more breed development funds established
by the Indiana horse racing commission under IC 4-31-11-10.
(B) To a racetrack that was approved by the Indiana horse
racing commission under IC 4-31. The commission may make
a grant under this clause only for purses, promotions, and
routine operations of the racetrack. No grants shall be made
for long term capital investment or construction, and no grants
shall be made before the racetrack becomes operational and is
offering a racing schedule.
(e) Money paid to a unit of local government under subsection
(b)(1) through (b)(2), (c)(1) through (c)(4), or (d)(1) through (d)(2):
(1) must be paid to the fiscal officer of the unit and may be
deposited in the unit's general fund or riverboat fund established
under IC 36-1-8-9, or both;
(2) may not be used to reduce the unit's maximum levy under
IC 6-1.1-18.5 but may be used at the discretion of the unit to
reduce the property tax levy of the unit for a particular year;
(3) may be used for any legal or corporate purpose of the unit,
including the pledge of money to bonds, leases, or other
obligations under IC 5-1-14-4; and
(4) is considered miscellaneous revenue.
(f) Money paid by the treasurer of state under subsection (b)(3) or
(d)(3) shall be:
(1) deposited in:
(A) the county convention and visitor promotion fund; or
(B) the county's general fund if the county does not have a
convention and visitor promotion fund; and
(2) used only for the tourism promotion, advertising, and
economic development activities of the county and community.
(g) Money received by the division of mental health and addiction
under subsections (b)(5) and (d)(6):
(1) is annually appropriated to the division of mental health and
addiction;
(2) shall be distributed to the division of mental health and
addiction at times during each state fiscal year determined by the
budget agency; and
(3) shall be used by the division of mental health and addiction
for programs and facilities for the prevention and treatment of
addictions to drugs, alcohol, and compulsive gambling, including
the creation and maintenance of a toll free telephone line to
provide the public with information about these addictions. The
division shall allocate at least twenty-five percent (25%) of the
money received to the prevention and treatment of compulsive
gambling.
(h) This subsection applies to the following:
(1) Each entity receiving money under subsection (b).
(2) Each entity receiving money under subsection (d)(1) through
(d)(2).
(3) Each entity receiving money under subsection (d)(5) through
(d)(7).
The treasurer of state shall determine the total amount of money paid
by the treasurer of state to an entity subject to this subsection during
the state fiscal year 2002. The amount determined under this subsection
is the base year revenue for each entity subject to this subsection. The
treasurer of state shall certify the base year revenue determined under
this subsection to each entity subject to this subsection.
(i) This subsection applies to an entity receiving money under
subsection (d)(3) or (d)(4). The treasurer of state shall determine the
total amount of money paid by the treasurer of state to the entity
described in subsection (d)(3) during state fiscal year 2002. The
amount determined under this subsection multiplied by nine-tenths
(0.9) is the base year revenue for the entity described in subsection
(d)(3). The amount determined under this subsection multiplied by
one-tenth (0.1) is the base year revenue for the entity described in
subsection (d)(4). The treasurer of state shall certify the base year
revenue determined under this subsection to each entity subject to this
subsection.
(j) This subsection does not apply to an entity receiving money
under subsection (c). For state fiscal years beginning after June 30,
2002, the total amount of money distributed to an entity under this
section during a state fiscal year may not exceed the entity's base year
revenue as determined under subsection (h) or (i). If the treasurer of
state determines that the total amount of money distributed to an entity
under this section during a state fiscal year is less than the entity's base
year revenue, the treasurer of state shall make a supplemental
distribution to the entity under IC 4-33-13-5(g).
(k) This subsection does not apply to an entity receiving money
under subsection (c). For state fiscal years beginning after June 30,
2002, the treasurer of state shall pay that part of the riverboat
admissions taxes that:
(1) exceeds a particular entity's base year revenue; and
(2) would otherwise be due to the entity under this section;
to the property tax replacement state general fund instead of to the
entity.
SECTION 18. IC 4-33-13-5, AS AMENDED BY HEA 1137-2008,
SECTION 14, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JANUARY 1, 2009]: Sec. 5. (a) This subsection does not apply to tax
revenue remitted by an operating agent operating a riverboat in a
historic hotel district. After funds are appropriated under section 4 of
this chapter, each month the treasurer of state shall distribute the tax
revenue deposited in the state gaming fund under this chapter to the
following:
(1) The first thirty-three million dollars ($33,000,000) of tax
revenues collected under this chapter shall be set aside for
revenue sharing under subsection (e).
(2) Subject to subsection (c), twenty-five percent (25%) of the
remaining tax revenue remitted by each licensed owner shall be
paid:
(A) to the city that is designated as the home dock of the
riverboat from which the tax revenue was collected, in the case
of:
(i) a city described in IC 4-33-12-6(b)(1)(A); or
(ii) a city located in a county having a population of more
than four hundred thousand (400,000) but less than seven
hundred thousand (700,000); or
(B) to the county that is designated as the home dock of the
riverboat from which the tax revenue was collected, in the case
of a riverboat whose home dock is not in a city described in
clause (A).
(3) Subject to subsection (d), the remainder of the tax revenue
remitted by each licensed owner shall be paid to the property tax
replacement state general fund. In each state fiscal year, the
treasurer of state shall make the transfer required by this
subdivision not later than the last business day of the month in
which the tax revenue is remitted to the state for deposit in the
state gaming fund. However, if tax revenue is received by the
state on the last business day in a month, the treasurer of state
may transfer the tax revenue to the property tax replacement state
general fund in the immediately following month.
(b) This subsection applies only to tax revenue remitted by an
operating agent operating a riverboat in a historic hotel district. After
funds are appropriated under section 4 of this chapter, each month the
treasurer of state shall distribute the tax revenue remitted by the
operating agent under this chapter as follows:
(1) Thirty-seven and one-half percent (37.5%) shall be paid to the
property tax replacement state general fund. established under
IC 6-1.1-21.
(2) Nineteen percent (19%) shall be paid to the West Baden
Springs historic hotel preservation and maintenance fund
established by IC 36-7-11.5-11(b). However, at any time the
balance in that fund exceeds twenty million dollars
($20,000,000), the amount described in this subdivision shall be
paid to the property tax replacement state general fund.
established under IC 6-1.1-21.
(3) Eight percent (8%) shall be paid to the Orange County
development commission established under IC 36-7-11.5.
(4) Sixteen percent (16%) shall be paid in equal amounts to each
town that is located in the county in which the riverboat docks and
contains a historic hotel. The following apply to taxes received by
a town under this subdivision:
(A) At least twenty-five percent (25%) of the taxes must be
transferred to the school corporation in which the town is
located.
(B) At least twelve and five-tenths percent (12.5%) of the
taxes must be transferred to the Orange County convention
and visitors bureau.
(5) Nine percent (9%) shall be paid to the county treasurer of the
county in which the riverboat is docked. The county treasurer
shall distribute the money received under this subdivision as
follows:
(A) Twenty-two and twenty-five hundredths percent (22.25%)
shall be quarterly distributed to the county treasurer of a
county having a population of more than thirty-nine thousand
six hundred (39,600) but less than forty thousand (40,000) for
appropriation by the county fiscal body after receiving a
recommendation from the county executive. The county fiscal
body for the receiving county shall provide for the distribution
of the money received under this clause to one (1) or more
taxing units (as defined in IC 6-1.1-1-21) in the county under
a formula established by the county fiscal body after receiving
a recommendation from the county executive.
(B) Twenty-two and twenty-five hundredths percent (22.25%)
shall be quarterly distributed to the county treasurer of a
county having a population of more than ten thousand seven
hundred (10,700) but less than twelve thousand (12,000) for
appropriation by the county fiscal body after receiving a
recommendation from the county executive. The county fiscal
body for the receiving county shall provide for the distribution
of the money received under this clause to one (1) or more
taxing units (as defined in IC 6-1.1-1-21) in the county under
a formula established by the county fiscal body after receiving
a recommendation from the county executive.
(C) Fifty-five and five-tenths percent (55.5%) shall be retained
by the county where the riverboat is docked for appropriation
by the county fiscal body after receiving a recommendation
from the county executive.
IC 6-1.1-18.5.
(g) This subsection does not apply to an entity receiving money
under IC 4-33-12-6(c). Before September 15 of each year, the treasurer
of state shall determine the total amount of money distributed to an
entity under IC 4-33-12-6 during the preceding state fiscal year. If the
treasurer of state determines that the total amount of money distributed
to an entity under IC 4-33-12-6 during the preceding state fiscal year
was less than the entity's base year revenue (as determined under
IC 4-33-12-6), the treasurer of state shall make a supplemental
distribution to the entity from taxes collected under this chapter and
deposited into the property tax replacement state general fund. Except
as provided in subsection (i), the amount of an entity's supplemental
distribution is equal to:
(1) the entity's base year revenue (as determined under
IC 4-33-12-6); minus
(2) the sum of:
(A) the total amount of money distributed to the entity during
the preceding state fiscal year under IC 4-33-12-6; plus
(B) any amounts deducted under IC 6-3.1-20-7.
(h) This subsection applies only to a county containing a
consolidated city. The county auditor shall distribute the money
received by the county under subsection (e) as follows:
(1) To each city, other than a consolidated city, located in the
county according to the ratio that the city's population bears to the
total population of the county.
(2) To each town located in the county according to the ratio that
the town's population bears to the total population of the county.
(3) After the distributions required in subdivisions (1) and (2) are
made, the remainder shall be paid in equal amounts to the
consolidated city and the county.
(i) This subsection applies only to the Indiana horse racing
commission. For each state fiscal year the amount of the Indiana horse
racing commission's supplemental distribution under subsection (g)
must be reduced by the amount required to comply with
IC 4-33-12-7(a).
SECTION 19. IC 4-35-5-3, AS ADDED BY P.L.233-2007,
SECTION 21, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JANUARY 1, 2009]: Sec. 3. (a) A permit holder that is issued a
gambling game license under this article must pay to the commission
an initial licensing fee of two hundred fifty million dollars
($250,000,000) as follows:
JANUARY 1, 2009]: Sec. 12. (a) The Indiana horse racing commission
shall enforce the requirements of this section.
(b) Except as provided in subsections (j) and (k), a licensee shall
before the fifteenth day of each month devote to the gaming integrity
fund, horse racing purses, and to horsemen's associations an amount
equal to fifteen percent (15%) of the adjusted gross receipts of the slot
machine wagering from the previous month at the licensee's racetrack.
The Indiana horse racing commission may not use any of this money
for any administrative purpose or other purpose of the Indiana horse
racing commission, and the entire amount of the money shall be
distributed as provided in this section. A licensee shall pay the first two
hundred fifty thousand dollars ($250,000) distributed under this section
in a state fiscal year to the commission for deposit in the gaming
integrity fund established by IC 4-35-8.7-3. After this money has been
distributed to the commission, a licensee shall distribute the remaining
money devoted to horse racing purses and to horsemen's associations
under this subsection as follows:
(1) Five-tenths percent (0.5%) shall be transferred to horsemen's
associations for equine promotion or welfare according to the
ratios specified in subsection (e).
(2) Two and five-tenths percent (2.5%) shall be transferred to
horsemen's associations for backside benevolence according to
the ratios specified in subsection (e).
(3) Ninety-seven percent (97%) shall be distributed to promote
horses and horse racing as provided in subsection (d).
(c) A horsemen's association shall expend the amounts distributed
to the horsemen's association under subsection (b)(1) through (b)(2) for
a purpose promoting the equine industry or equine welfare or for a
benevolent purpose that the horsemen's association determines is in the
best interests of horse racing in Indiana for the breed represented by the
horsemen's association. Expenditures under this subsection are subject
to the regulatory requirements of subsection (f).
(d) A licensee shall distribute the amounts described in subsection
(b)(3) as follows:
(1) Forty-six percent (46%) for thoroughbred purposes as follows:
(A) Sixty percent (60%) for the following purposes:
(i) Ninety-seven percent (97%) for thoroughbred purses.
(ii) Two and four-tenths percent (2.4%) to the horsemen's
association representing thoroughbred owners and trainers.
(iii) Six-tenths percent (0.6%) to the horsemen's association
representing thoroughbred owners and breeders.
the Indiana horse racing commission concerning the use of the
money by the horsemen's association. The report must include
information as required by the commission.
(2) The horsemen's association must register with the Indiana
horse racing commission.
(g) The commission shall provide the Indiana horse racing
commission with the information necessary to enforce this section.
(h) The Indiana horse racing commission shall investigate any
complaint that a licensee has failed to comply with the horse racing
purse requirements set forth in this section. If, after notice and a
hearing, the Indiana horse racing commission finds that a licensee has
failed to comply with the purse requirements set forth in this section,
the Indiana horse racing commission may:
(1) issue a warning to the licensee;
(2) impose a civil penalty that may not exceed one million dollars
($1,000,000); or
(3) suspend a meeting permit issued under IC 4-31-5 to conduct
a pari-mutuel wagering horse racing meeting in Indiana.
(i) A civil penalty collected under this section must be deposited in
the state general fund.
(j) For a state fiscal year beginning after June 30, 2008, and ending
before July 1, 2009, the amount of money dedicated to the purposes
described in subsection (b) for a particular state fiscal year is equal to
the lesser of:
(1) fifteen percent (15%) of the licensee's adjusted gross receipts
for the state fiscal year; or
(2) eighty-five million dollars ($85,000,000).
If fifteen percent (15%) of a licensee's adjusted gross receipts for the
state fiscal year exceeds the amount specified in subdivision (2), the
licensee shall transfer the amount of the excess to the commission for
deposit in the property tax reduction trust state general fund.
established by IC 4-35-8-2. The licensee shall adjust the transfers
required under this section in the final month of the state fiscal year to
comply with the requirements of this subsection.
(k) For a state fiscal year beginning after June 30, 2009, the amount
of money dedicated to the purposes described in subsection (b) for a
particular state fiscal year is equal to the lesser of:
(1) fifteen percent (15%) of the licensee's adjusted gross receipts
for the state fiscal year; or
(2) the amount dedicated to the purposes described in subsection
(b) in the previous state fiscal year increased by a percentage that
does not exceed the percent of increase in the United States
Department of Labor Consumer Price Index during the year
preceding the year in which an increase is established.
If fifteen percent (15%) of a licensee's adjusted gross receipts for the
state fiscal year exceeds the amount specified in subdivision (2), the
licensee shall transfer the amount of the excess to the commission for
deposit in the property tax reduction trust state general fund.
established by IC 4-35-8-2. The licensee shall adjust the transfers
required under this section in the final month of the state fiscal year to
comply with the requirements of this subsection.
SECTION 22. IC 4-35-8-3, AS ADDED BY P.L.233-2007,
SECTION 21, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JANUARY 1, 2009]: Sec. 3. The department shall deposit tax revenue
collected under section 1 of this chapter in the property tax reduction
trust state general fund.
SECTION 23. IC 5-1-5-1, AS AMENDED BY P.L.2-2006,
SECTION 8, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2008]: Sec. 1. The following terms as used in this chapter
have the following meanings:
(a) "Governing body" means the council, commission, board of
commissioners, board of directors, board of trustees, or other
legislative body in which the legislative powers of the issuing body are
vested.
(b) "Issuing body" means the state of Indiana, its agencies,
commissions, universities, colleges, institutions, political subdivisions,
counties, school corporations, hospital associations, municipal and
quasi-municipal corporations, special taxing districts, and any
corporation which has issued bonds payable directly or indirectly from
lease rentals payable by any of the foregoing issuing bodies, now or
hereafter existing under the laws of the state.
(c) "Bond" means any revenue bond, general obligation bond, or
advance refunding bond.
(d) "Revenue bond" means any bond note, warrant, certificate of
indebtedness, or other obligation, including a certificate or other
evidence of participation in the lessor's interest in and rights under a
lease, for the payment of money issued by an issuing body or any
predecessor of any issuing body which is payable from designated
revenues, rental payments, special benefits, taxes, or a special fund but
excluding any obligation constituting an indebtedness within the
meaning of the constitutional debt limitation and any obligation
payable solely from special assessments or special assessments and a
guaranty fund.
(e) "General obligation bond" means any bond, note, warrant,
certificate of indebtedness, or other obligation of an issuing body which
constitutes an indebtedness within the meaning of the constitutional
debt limitation.
(f) "Advance refunding bonds" means bonds issued for the purpose
of refunding bonds first subject to redemption or maturing after the
date of the advance refunding bonds.
(g) "Ordinance" means an ordinance of a city or town or resolution
or other instrument by which the governing body of the issuing body
exercising any power hereunder takes formal action and adopts
legislative provisions and matters of some permanency.
(h) "Corporation which has issued bonds" means a corporation
organized under IC 20-47-2 or IC 20-47-3, the laws of any state of the
United States of America or of the United States of America, including
any bank, trust company, or national association serving as a trustee
under an indenture providing for issuance of bonds.
(i) "Local issuing body" means an issuing body that is:
(1) a political subdivision (as defined in IC 36-1-2-13);
(2) a district (as defined in IC 6-1.1-21.2-5); or
(3) a corporation or other entity that:
(A) is not a body corporate and politic established as an
instrumentality of the state; and
(B) has issued bonds that are payable directly or indirectly
from lease rentals payable by a political subdivision or
district described in subdivision (1) or (2).
(j) "Special benefit taxes" means a special tax levied and
collected on an ad valorem basis on property for the purpose of
financing local public improvements that:
(1) are not political or governmental in nature; and
(2) are of special benefit to the residents and property of the
area.
(k) "Tax increment revenues" means an allocation of:
(1) ad valorem property taxes;
(2) state or local adjusted gross income taxes; or
(3) state or local gross retail and use taxes;
to a redevelopment district that is based on an increase in the
assessed value, wages, sales, or other economic activity occurring
in a designated area. The term includes allocations described in
IC 5-28-26-9, IC 6-1.1-21.2-10, IC 36-7-26-10, IC 36-7-27-8,
IC 36-7-31-6, and IC 36-7-31.3-4.
(l) "Redevelopment district" refers to the following:
(1) An airport development zone under IC 8-22-3.5.
(2) A redevelopment district established under:
(A) IC 36-7-14; or
(B) IC 36-7-15.1.
(3) A special taxing district described in:
(A) IC 36-7-14.5-12.5(d); or
(B) IC 36-7-30-3(b).
(4) Another public entity to which tax increment revenues are
allocated.
(i) (m) Words used in this chapter importing singular or plural
number may be construed so that one (1) number includes both.
SECTION 24. IC 5-1-5-17 IS ADDED TO THE INDIANA CODE
AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
1, 2008]: Sec. 17. (a) This section applies to bonds that are:
(1) issued after June 30, 2008, by a local issuing body; and
(2) payable from ad valorem property taxes, special benefit
taxes on property, or tax increment revenues derived from
property taxes;
including bonds that are issued under a statute that permits the
bonds to be issued without complying with any other law or
otherwise expressly exempts the bonds from the requirements of
this section.
(b) The last date permitted under an agreement for the payment
of principal and interest on bonds that are issued to retire or
otherwise refund other revenue bonds or general obligation bonds
may not extend beyond the maximum term of the bonds being
refunded.
SECTION 25. IC 5-1-5-18 IS ADDED TO THE INDIANA CODE
AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
1, 2008]: Sec. 18. (a) This section applies to bonds that are:
(1) issued after June 30, 2008, by a local issuing body; and
(2) payable from ad valorem property taxes, special benefit
taxes on property, or tax increment revenues derived from
property taxes;
including bonds that are issued under a statute that permits the
bonds to be issued without complying with any other law or
otherwise expressly exempts the bonds from the requirements of
this section.
(b) Savings (as computed under section 2 of this chapter) that
accrue from the issuance of bonds to retire or otherwise refund
other bonds may be used only for the following purposes:
(1) To maintain a debt service reserve fund for the refunding
bonds at the level required under the terms of the refunding
bonds, if the local issuing body adopts an ordinance,
resolution, or order authorizing that use of the proceeds or
earnings.
(2) To pay the principal or interest, or both, on:
(A) the refunding bonds; or
(B) other bonds, if the issuing body approves an ordinance
authorizing the use of the savings to pay principal or
interest on other bonds.
(3) To reduce the rate or amount of ad valorem property
taxes, special benefit taxes on property, or tax increment
revenues imposed by or allocated to the local issuing body.
SECTION 26. IC 5-1-13-1 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 1. As used in The
definitions in this section apply throughout this chapter:
(1) "Bonds" has the same definition that the term is given in
IC 5-1-11-1.
(2) "Local issuing body" has the meaning set forth in
IC 5-1-5-1.
(3) "Political subdivision" has the same definition that the term is
given in IC 36-1-2-13.
(4) "Special benefit taxes" has the meaning set forth in
IC 5-1-5-1.
(5) "Tax increment revenues" has the meaning set forth in
IC 5-1-5-1.
SECTION 27. IC 5-1-13-2 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 2. (a) Notwithstanding
any other law, whenever:
(1) bonds are issued by any political subdivision local issuing
body in the state of Indiana for any lawful purpose or project;
(2) the purpose or project for which the bonds were issued has
been accomplished or abandoned; and
(3) a surplus remains from the proceeds of the bonds or
investment earnings derived from the proceeds of those bonds;
the political subdivision local issuing body may use the surplus only
in the manner prescribed by subsection (b), or (c), or (d).
(b) The legislative body or other governing body of any such
political subdivision local issuing body may by an order, ordinance, or
resolution entered of record direct the disbursing officer of such
political subdivision local issuing body to transfer the surplus bond
proceeds or investment earnings to the fund of the political subdivision
local issuing body pledged to the payment of principal and interest on
those bonds, and upon such order, ordinance, or resolution being made,
the disbursing officer shall make such transfer. Thereafter such funds
transferred shall be used for the payment of the bonds to which the
surplus bond proceeds or investment earnings are attributable or
interest due for such bonds.
(c) Surplus bond proceeds or investment earnings may be used
by a local issuing body for the following purposes:
(1) To maintain a debt service reserve fund for the bonds to
which the surplus bond proceeds or investment earnings are
attributable, at the level required under the terms of the
bonds, if the local issuing body adopts an ordinance,
resolution, or order authorizing that use of the proceeds or
earnings.
(2) To pay the principal or interest, or both, on any other
bonds of the local issuing body, if the local issuing body adopts
an ordinance, a resolution, or an order authorizing the use of
the surplus proceeds to pay principal or interest on the bonds.
(3) To reduce the rate or amount of ad valorem property
taxes, special benefit taxes on property, or tax increment
revenues imposed by or allocated to the local issuing body.
(c) (d) This section applies to bonds that are not payable from
ad valorem property taxes, special benefit taxes on property, or tax
increment revenues derived from property taxes. Surplus bond
proceeds or investment earnings may be used by a political subdivision
local issuing body for the same purpose or type of project for which
the bonds were originally issued, if:
(1) the fiscal officer of the political subdivision local issuing
body certifies before or at the time of that use that the surplus was
not anticipated at the time of issuance of the bonds; and
(2) the board or legislative body responsible for issuing the bonds
takes action approving the use of surplus bond proceeds or
investment earnings for the same purpose or type of project for
which the bonds were originally issued.
SECTION 28. IC 5-1-14-1.3 IS ADDED TO THE INDIANA CODE
AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
1, 2008]: Sec. 1.3. The following definitions apply throughout this
chapter:
(1) "Local issuing body" has the meaning set forth in
IC 5-1-5-1.
(2) "Special benefit taxes" has the meaning set forth in
IC 5-1-5-1.
(3) "Tax increment revenues" has the meaning set forth in
IC 5-1-5-1.
SECTION 29. IC 5-1-14-10 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 10. (a) If an issuer has
issued obligations under a statute that establishes a maximum term or
repayment period for the obligations, notwithstanding that statute, the
issuer may continue to make payments of principal, interest, or both, on
the obligations after the expiration of the term or period if principal or
interest owed to owners of the obligations remains unpaid.
(b) This section does not authorize the use of revenues or funds to
make payments of principal and interest other than those revenues or
funds that were pledged for the payments before the expiration of the
term or period.
(c) Except as otherwise provided by this section, IC 36-7-12-27,
or IC 36-7-14-25.1, the maximum term or repayment period for
obligations issued after June 30, 2008, that are wholly or partially
payable from ad valorem property taxes, special benefit taxes on
property, or tax increment revenues derived from property taxes
may not exceed:
(1) the maximum applicable period under federal law, for
obligations that are issued to evidence loans made or
guaranteed by the federal government or a federal agency;
(2) twenty-five (25) years, for obligations that are wholly or
partially payable from tax increment revenues derived from
property taxes; or
(3) twenty (20) years, for obligations that are not described in
subdivision (1) or (2) and are wholly or partially payable from
ad valorem property taxes or special benefit taxes on
property.
SECTION 30. IC 5-1-14-15, AS ADDED BY P.L.234-2007,
SECTION 37, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2008]: Sec. 15. (a) Before July 1, 2008, a county or
municipality may issue bonds, notes, or other obligations for the
purpose of providing funds to pay pension benefits under IC 36-8-6,
IC 36-8-7, or IC 36-8-7.5.
(b) Notwithstanding any other law:
(1) bonds, notes, or other obligations issued for the purpose
described in this section may have a final maturity date up to, but
not exceeding, forty (40) years from the date of original issuance;
(2) the amount of bonds, notes, or other obligations that may be
issued for the purpose described in this section may not exceed
two percent (2%) of the true tax value of property located within
the county or municipality; and
(3) the proceeds of bonds, notes, or other obligations issued for
the purpose described in this section may be deposited to the
issuing county's or municipality's separate account described in
IC 5-10.3-11-6.
(c) This section is supplemental to all other laws but does not
relieve a county or municipality from complying with other procedural
requirements for the issuance of bonds, notes, or other obligations.
SECTION 31. IC 5-1-14-16 IS ADDED TO THE INDIANA CODE
AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
1, 2008]: Sec. 16. (a) This section applies to obligations that are:
(1) issued after June 30, 2008, by a local issuing body; and
(2) payable from ad valorem property taxes, special benefit
taxes on property, or tax increment revenues derived from
property taxes;
including obligations that are issued under a statute that permits
the bonds to be issued without complying with any other law or
otherwise expressly exempts the bonds from the requirements of
this section.
(b) An agreement for the issuance of obligations must provide
for the payment of principal and interest on the obligations in
nearly equal payment amounts and at regular designated intervals
over the maximum term of the obligations except to the extent that:
(1) interest for a particular repayment period has been paid
from the proceeds of the obligations under section 6 of this
chapter; or
(2) the local issuing body authorizes a different payment
schedule to:
(A) maintain substantially equal payments, in the
aggregate, in any period in which the local issuing body
pays the interest and principal on outstanding obligations;
(B) provide for the payment of principal on the obligations
in amounts and at intervals that will produce an aggregate
amount of principal payments greater than or equal to the
aggregate amount that would otherwise be paid as of the
same date;
(C) provide for level principal payments over the term of
the obligations, in order to reduce total interest costs; or
(D) with respect to obligations wholly or partially payable
from tax increment revenues derived from property taxes,
provide for the payment of principal and interest in
varying amounts over the term of the obligations as
necessary due to the variation in the amount of tax
increment revenues available for those payments.
SECTION 32. IC 5-1-16-42 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 42. (a) When the
authority, the board of trustees or board of managers of the hospital, the
board of commissioners of the county, and a majority of the county
council have agreed upon the terms and conditions of any lease
proposed to be entered into under section 38 or 39 of this chapter, and
before the final execution of the lease, the county auditor shall give
notice by publication of a public hearing to be held in the county by the
board of commissioners. The hearing shall take place on a day not
earlier than ten (10) days after the publication of the notice. The notice
of the hearing shall be published one (1) time in a newspaper of general
circulation printed in the English language and published in the county.
The notice shall do the following:
(1) Name the day, place, and hour of the hearing.
(2) Set forth a brief summary of the principal terms of the lease
agreed upon, including the character and location of the property
to be leased, the lease rental to be paid, and the number of years
the contract is to be in effect.
(3) State a location where the proposed lease, drawings, plans,
specifications, and estimates may be examined.
The proposed lease and the drawings, plans, specifications, and
estimates of construction cost for the building shall be open to
inspection by the public during the ten (10) day period and at the
hearing. All interested persons shall have a right to be heard at the
hearing on the necessity for the execution of the lease and whether the
lease rental under the lease is fair and reasonable. The hearing may be
adjourned to a later date with the place of the hearing fixed prior to
adjournment. Following the hearing, the board of commissioners may
either authorize the execution of the lease as originally agreed upon or
may make modifications that are agreed upon by the authority, the
board of trustees or board of managers of the hospital, and the county
council. The authorization shall be by an order that is entered in the
official records of the board of commissioners. The lease contract shall
be executed on behalf of the county by the board of commissioners.
county executive.
(3) Of county assessor, township trustee, and township assessor
(if any), by the county auditor.
(4) Of city officers, except the executive and members of the
legislative body, by the city executive.
(5) Of members of the board of public works or of the board of
public works and safety in cities, by the city legislative body.
(6) Of clerk-treasurer and marshal of a town, by the town
legislative body.
(7) Of a controller of a solid waste management district
established under IC 13-21 or IC 13-9.5 (before its repeal), by the
board of directors of the solid waste management district.
(b) A person who approves an official bond shall write the approval
on the bond.
(c) A bond must be approved before it is filed.
SECTION 34. IC 5-4-1-18 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 18. (a) Except as
provided in subsection (b), the following city, town, county, or
township officers and employees shall file an individual surety bond:
(1) City judges, controllers, clerks, and clerk-treasurers.
(2) Town judges and clerk-treasurers.
(3) Auditors, treasurers, recorders, surveyors, sheriffs, coroners,
assessors, and clerks.
(4) Township trustees. and assessors.
(5) Those employees directed to file an individual bond by the
fiscal body of a city, town, or county.
(6) Township assessors (if any).
(b) The fiscal body of a city, town, county, or township may by
ordinance authorize the purchase of a blanket bond or a crime
insurance policy endorsed to include faithful performance to cover the
faithful performance of all employees, commission members, and
persons acting on behalf of the local government unit, including those
officers described in subsection (a).
(c) The fiscal bodies of the respective units shall fix the amount of
the bond of city controllers, city clerk-treasurers, town clerk-treasurers,
Barrett Law fund custodians, county treasurers, county sheriffs, circuit
court clerks, township trustees, and conservancy district financial
clerks as follows:
(1) The amount must equal fifteen thousand dollars ($15,000) for
each one million dollars ($1,000,000) of receipts of the officer's
office during the last complete fiscal year before the purchase of
the bond, subject to subdivision (2).
(2) The amount may not be less than fifteen thousand dollars
($15,000) nor more than three hundred thousand dollars
($300,000).
County auditors shall file bonds in amounts of not less than fifteen
thousand dollars ($15,000), as fixed by the fiscal body of the county.
The amount of the bond of any other person required to file an
individual bond shall be fixed by the fiscal body of the unit at not less
than eight thousand five hundred dollars ($8,500).
(d) A controller of a solid waste management district established
under IC 13-21 or IC 13-9.5 (before its repeal) shall file an individual
surety bond in an amount:
(1) fixed by the board of directors of the solid waste management
district; and
(2) that is at least fifteen thousand dollars ($15,000).
(e) Except as provided under subsection (d), a person who is
required to file an individual surety bond by the board of directors of
a solid waste management district established under IC 13-21 or
IC 13-9.5 (before its repeal) shall file a bond in an amount fixed by the
board of directors.
(f) In 1982 and every four (4) years after that, the state examiner
shall review the bond amounts fixed under this section and report in an
electronic format under IC 5-14-6 to the general assembly whether
changes are necessary to ensure adequate and economical coverage.
(g) The commissioner of insurance shall prescribe the form of the
bonds or crime policies required by this section, in consultation with
the commission on public records under IC 5-15-5.1-6.
SECTION 35. IC 5-10.3-11-4 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JANUARY 1, 2009]: Sec. 4. (a) Monies
from the pension relief fund shall be paid annually by the state board
under the procedures specified in this section.
(b) Before April 1 of Each year, before a date set by the state
board, each unit of local government must certify to the state board:
(1) the amount of payments made during the preceding year for
benefits under its pension funds covered by this chapter, referred
to in this section as "pension payments";
(2) the data determined necessary by the state board to perform an
actuarial valuation of the unit's pension funds covered by this
chapter; and
(3) the names required to prepare the list specified in subsection
(c); and
(4) any other information that is necessary for the state board
to make distributions to units under this chapter.
A unit is ineligible to receive a distribution under this section if it does
not supply before April 1 of each year (i) the complete information
required by this subsection or (ii) a substantial amount of the
information required if it is accompanied by an affidavit of the chief
executive officer of the unit detailing the steps which have been taken
to obtain the information and the reasons the complete information has
not been obtained. This subsection supersedes the reporting
requirement of IC 5-10-1.5 as it applies to pension funds covered by
this chapter.
(c) Before July 1 of Each year, before a date set by the state
board, the state board shall prepare a list of all police officers and
firefighters, active, retired, and deceased if their beneficiaries are
eligible for benefits, who are members of a police or fire pension fund
that was established before May 1, 1977. The list may not include
police officers, firefighters, or their beneficiaries for whom no future
benefits will be paid. The state board shall then compute the present
value of the accrued liability to provide the pension and other benefits
to each person on the list.
(d) Before July 1 of Each year, before a date set by the state
board, the state board shall determine the total pension payments made
by all units of local government for the preceding year and shall
estimate the total pension payments to be made to all units in the
calendar year in which the July 1 occurs and in the following calendar
year.
(e) Each calendar year, the state board shall, with respect to the
following calendar year, determine for each unit of local government
an amount (Dy). The state board shall, in two (2) equal installments
before July 1 and before October 2, distribute to each eligible unit of
local government the amount (Dy) determined for the unit with respect
to the following calendar year. The amount (Dy) shall be determined by
the following STEPS:
STEP ONE. Subtract the total distribution made to units (Dy-1) in the
preceding calendar year from the total pension payments made by units
(Py-1) in the preceding calendar year.
STEP TWO. Multiply the STEP ONE difference by (1+k) as (k) is
determined in STEP THREE.
STEP THREE. Determine the annual percentage increase (k) in the
STEP ONE difference which will allow the present value of all future
estimated distributions, as computed under STEP FOUR, from the
pension relief fund to equal the "k portion" of the pension relief fund
balance plus the present value of all future receipts to the "k portion"
of the fund, but which will not allow the "k portion" of the pension
relief fund balance to be negative. These present values shall be
determined based on the current long term actuarial assumptions. The
"k portion" of the pension relief fund balance is the total pension relief
fund balance less the "m portion" of the fund. The percentage increase
(k) shall be computed to the nearest one thousandth of one percent
(.001%). All years, after the year 2000, in which the receipts to the
fund plus the net pension payments by all the units equal or exceed the
total pension payments shall be ignored for the purposes of these
calculations.
STEP FOUR. Subtract the STEP TWO product from the estimated
total pension payments to be made by all units (Py) in the calendar year
for which the distribution is to be made.
STEP FIVE. Multiply the STEP FOUR difference by one-half (1/2)
of the sum of two quotients, (1) the quotient of the unit's number of
police officers and firefighters on December 31 of the year before the
year of the distribution who are members of a pension fund established
before May 1, 1977, who are retired, and who are deceased if their
beneficiaries are eligible for benefits (unit) divided by the total number
of these police officers and firefighters (total units) on December 31 of
the year before the year of the distribution in all units plus (2) the
quotient of the unit's pension payments (payments) divided by the total
pension payments (total payments) by all units.
Expressed mathematically:
Dy = (Py - ((Py-1 - Dy-1) x (1 + k))) x ½
(unit/(total unit) + payment/(total payment)).
(f) If in any year the distribution made to a unit of local government
is larger than the unit's pension payments to its retirees and their
beneficiaries for that year, the excess may not be distributed to the unit
but must be transferred to the 1977 police officers' and firefighters'
pension and disability fund and the unit's contributions to that fund
shall be reduced for that year by the amount of the transfer.
(g) If in any year after 2000, the STEP FOUR difference under
subsection (e) is smaller than the revenue to the pension relief fund in
that year, then the revenue plus interest plus the fund balance in that
year shall be used in STEP FIVE of subsection (e) instead of the STEP
FOUR difference.
(h) The state board shall have its actuary report annually on the
appropriateness of the actuarial assumptions used in determining the
distribution amount under subsection (e). At least every five (5) years,
the state board shall have its actuary recompute the value of (k) under
STEP TWO of subsection (e).
(i) Each calendar year the state board shall determine the amounts
to be allocated to the "m portion" of the pension relief fund under the
following STEPS, which shall be completed before July 1 of each year:
STEP ONE. The state board shall determine the following:
(1) "Excess earnings", which are the state board's projection of
earnings for the calendar year from investments of the "k portion" of
the fund that exceed the amount of earnings that would have been
earned if the rate of earnings was the rate assumed by the actuary of the
state board in his calculation of (k) under STEP THREE of subsection
(e).
(2) "Prior deficit amount", which is:
(A) the amount of earnings that would have been earned under
the rate assumed by the actuary of the state board in his
calculation of (k) under STEP THREE of subsection (e);
minus
(B) the amount of earnings received;
for a calendar year after 1981 in which (B) is less than (A).
STEP TWO. The state board shall distribute to the "m portion" the
excess earnings less any prior deficit amounts.
(j) The "m portion" of the fund shall be any direct allocations plus:
(1) amounts allocated under subsection (i); and
(2) any earnings on the "m portion" less amounts previously
distributed under subsection (l).
(k) The state board shall determine, based on actual experience and
reasonable projections, the units eligible for distribution from the "m
portion" of the pension relief fund according to the following STEPS:
STEP ONE. Determine the amount of pension payments to be paid
by the unit in the calendar year, net of the amount of the distribution to
be received by the unit under subsection (e) in that year, plus
contributions to be made under IC 36-8-8 in that year.
STEP TWO. Divide the amount determined under STEP ONE by
the amount of the maximum permissible ad valorem property tax levy
for the unit as determined under IC 6-1.1-18.5 for the calendar year.
STEP THREE. If the quotient determined under STEP TWO is
equal to or greater than one-tenth (0.1), the unit shall receive a
distribution under subsection (l).
(l) For a calendar year, the state board shall, before July 1 of the
year, distribute from the "m portion" of the pension relief fund to the
extent there are assets in the "m portion" to each eligible unit an
amount, not less than zero (0), determined according to the following
STEPS:
STEP ONE. For the first of consecutive years that a unit is eligible
to receive a distribution under this subsection, determine the amount
of pension payments paid by the unit in the calendar year two (2) years
preceding the calendar year net of the amount of distributions received
by the unit under subsection (e) in the calendar year two (2) years
preceding the calendar year.
STEP TWO. For the first of consecutive years that a unit is eligible
to receive a distribution under this subsection, divide the amount
determined under STEP ONE by the amount of the maximum
permissible ad valorem property tax levy for the unit as determined
under IC 6-1.1-18.5 for the calendar year two (2) years preceding the
calendar year.
STEP THREE. For the first and all subsequent consecutive years
that a unit is eligible to receive a distribution under this subsection,
multiply the amount of the maximum permissible ad valorem property
tax levy for the unit as determined under IC 6-1.1-18.5 for the calendar
year by the quotient determined under STEP TWO.
STEP FOUR. Subtract the amount determined under STEP THREE
from the amount of pension payments to be paid by the unit in the
calendar year, net of distributions to be received under subsection (e)
for the calendar year.
SECTION 36. IC 5-10.3-11-4.7, AS AMENDED BY P.L.234-2007,
SECTION 277, IS AMENDED TO READ AS FOLLOWS
[EFFECTIVE JANUARY 1, 2009]: Sec. 4.7. (a) In addition to the
amounts distributed under sections 4 and 4.5 of this chapter, In 2009
and each year thereafter, the state board shall distribute from the
pension relief fund to each unit of local government an amount
determined under the following STEPS:
STEP ONE: Determine the amount of the total amount of
pension, disability, and survivor benefit payments from the
1925 police pension fund (IC 36-8-6), the 1937 firefighters'
pension fund (IC 36-8-7), and the 1953 police pension fund
(IC 36-8-7.5) to be made by the unit in the calendar year, as
estimated by the state board under section 4 of this chapter, after
subtracting any distributions to the unit from the public
deposit insurance fund that will be used for benefit payments.
STEP TWO: Determine the result of:
(A) the STEP ONE result; multiplied by
the secretary-investment manager by the board or that are
necessary to carry out the duties of the secretary-investment
manager under this chapter.
(b) The secretary-investment manager shall keep a record of the
proceedings of the board, and shall maintain and be custodian of all
books, documents, and papers filed with the board, and its official seal.
The secretary-investment manager may make copies of all minutes and
other records and documents of the board, and may give certificates
under seal of the board to the effect that the copies are true copies. All
persons dealing with the board may rely upon the certificates.
(c) Each year, beginning in 2001 and ending in 2011, 2021, after the
treasurer of state prepares the annual report required by IC 4-8.1-2-14,
the secretary-investment manager shall determine:
(1) the amount of interest earned by the public deposit insurance
fund during the state fiscal year ending on the preceding June 30,
after deducting:
(A) all expenses and other costs of the board for depositories
that were not paid from other sources during that state fiscal
year; and
(B) all expenses and other costs associated with the Indiana
education savings authority that were not paid from other
sources during that state fiscal year; and
(2) the amount of interest earned during the state fiscal year
ending on the preceding June 30 by the pension distribution fund
established by subsection (g).
(d) On or before November 1 of each year, beginning in 2001 and
ending in 2011, 2021, the public employees' retirement fund shall
provide a report to the secretary-investment manager concerning the
individual and aggregate payments made by all units of local
government (as defined in IC 5-10.3-11-3) during the preceding
calendar year for benefits under the police and firefighter pension funds
established by IC 36-8-6, IC 36-8-7, and IC 36-8-7.5.
(e) On or before the last business day of November of each year,
beginning in 2001 and ending in 2011, 2021, the secretary-investment
manager shall compute the amount of earned interest to be distributed
under this section to each unit of local government (as defined in
IC 5-10.3-11-3) in accordance with subsection (h) according to the
following formula:
STEP ONE: Add the amount determined under subsection (c)(1)
to the amount determined under subsection (c)(2).
STEP TWO: Divide the STEP ONE sum by the aggregate amount
of payments made by all units of local government during the
preceding calendar year for benefits under the police and
firefighter pension funds established by IC 36-8-6, IC 36-8-7, and
IC 36-8-7.5, as reported under subsection (d).
STEP THREE: Multiply the STEP TWO quotient by the amount
of payments made by each unit of local government during the
preceding calendar year for benefits under the police and
firefighter pension funds established by IC 36-8-6, IC 36-8-7, and
IC 36-8-7.5, as reported under subsection (d).
(f) Subject to subsection (j), on or before the last business day of
December of each year, beginning in 2001 and ending in 2011, 2021,
the secretary-investment manager shall provide to the auditor of state:
(1) a report setting forth the amounts to be distributed to units of
local government, as determined under subsection (e); and
(2) a check payable from the public deposit insurance fund to the
pension distribution fund established by subsection (g) in an
amount equal to the amount determined under subsection (c)(1).
(g) The pension distribution fund is established. The pension
distribution fund shall be administered by the treasurer of state. The
treasurer of state shall invest money in the pension distribution fund
not currently needed to meet the obligations of the pension distribution
fund in the same manner as other public money may be invested.
Interest that accrues from these investments shall be deposited in the
pension distribution fund. Money in the pension distribution fund at the
end of a state fiscal year does not revert to the state general fund.
(h) Subject to subsection (j), on June 30 and October 1 of each year,
beginning in 2002 and ending in 2012, 2022, the auditor of state shall
distribute in two (2) equal installments from the pension distribution
fund to the fiscal officer of each unit of local government identified
under subsection (d) the amount computed for that unit under
subsection (e) in November of the preceding year.
(i) Each unit of local government shall deposit distributions received
under subsection (h) in the pension fund or funds identified by the
secretary-investment manager and shall use those distributions to pay
a portion of the obligations with respect to the pension fund or funds.
(j) Before providing a check to the auditor of state under subsection
(f)(2) in December of any year, the secretary-investment manager shall
determine:
(1) the total amount of payments made from the public deposit
insurance fund under IC 5-13-13-3 after June 30, 2001;
(2) the total amount of payments received by the board for
depositories and deposited in the public deposit insurance fund
under IC 5-13-13-3 after June 30, 2001; and
(3) the total amount of interest earned by the public deposit
insurance fund after the first of the payments described in
subdivision (1).
If the total amount of payments determined under subdivision (1) less
the total amount of payments determined under subdivision (2)
(referred to in this subsection as the "net draw on the fund") exceeds
ten million dollars ($10,000,000) and also exceeds the total amount of
interest determined under subdivision (3), the secretary-investment
manager may not provide a check to the auditor of state under
subsection (f)(2) and a distribution may not be made from the pension
distribution fund under subsection (h) in the following calendar year
until the total amount of interest earned by the public deposit insurance
fund equals the net draw on the fund. A check may not be provided
under subsection (f)(2) and a distribution may not be made under
subsection (f) in any subsequent calendar year if a study conducted by
the board under section 7(b) of this chapter demonstrates that payment
of the distribution would reduce the balance of the public deposit
insurance fund to a level insufficient to ensure the safekeeping and
prompt payment of public funds to the extent they are not covered by
insurance of any federal deposit insurance agency.
SECTION 40. IC 5-28-9-16, AS AMENDED BY P.L.2-2006,
SECTION 34, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JANUARY 1, 2009]: Sec. 16. A qualified entity receiving a loan under
this chapter may levy an annual tax on personal and real property
located within the qualified entity's geographical limits for industrial
development purposes, in addition to any other tax authorized by
statute to be levied for such purposes, at a rate that will produce
sufficient revenue to pay the annual installment and interest on a loan
made under this chapter. The tax may be in addition to the maximum
annual rates prescribed by IC 6-1.1-18, IC 6-1.1-18.5, IC 20-45-3, and
other statutes.
SECTION 41. IC 5-28-15-3, AS ADDED BY P.L.214-2005,
SECTION 7, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JANUARY 1, 2008 (RETROACTIVE)]: Sec. 3. As used in this
chapter, "zone business" means an entity that accesses at least one (1)
tax credit, deduction, or exemption incentive available under this
chapter, IC 6-1.1-20.8, IC 6-1.1-45, IC 6-3-3-10, IC 6-3.1-7, or
IC 6-3.1-10.
SECTION 42. IC 5-28-15-5, AS ADDED BY P.L.214-2005,
SECTION 8, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JANUARY 1, 2008 (RETROACTIVE)]: Sec. 5. (a) The board has the
following powers, in addition to other powers that are contained in this
chapter:
(1) To review and approve or reject all applicants for enterprise
zone designation, according to the criteria for designation that this
chapter provides.
(2) To waive or modify rules as provided in this chapter.
(3) To provide a procedure by which enterprise zones may be
monitored and evaluated on an annual basis.
(4) To adopt rules for the disqualification of a zone business from
eligibility for any or all incentives available to zone businesses,
if that zone business does not do one (1) of the following:
(A) If all its incentives, as contained in the summary required
under section 7 of this chapter, exceed one thousand dollars
($1,000) in any year, pay a registration fee to the board in an
amount equal to one percent (1%) of all its incentives.
(B) Use all its incentives, except for the amount of the
registration fee, for its property or employees in the zone.
(C) Remain open and operating as a zone business for twelve
(12) months of the assessment year for which the incentive is
claimed.
(5) To disqualify a zone business from eligibility for any or all
incentives available to zone businesses in accordance with the
procedures set forth in the board's rules.
(6) After a recommendation from a U.E.A., to modify an
enterprise zone boundary if the board determines that the
modification:
(A) is in the best interests of the zone; and
(B) meets the threshold criteria and factors set forth in section
9 of this chapter.
(7) To employ staff and contract for services.
(8) To receive funds from any source and expend the funds for the
administration and promotion of the enterprise zone program.
(9) To make determinations under IC 6-3.1-11 concerning the
designation of locations as industrial recovery sites. and the
availability of the credit provided by IC 6-1.1-20.7 to persons
owning inventory located on an industrial recovery site.
(10) To make determinations under IC 6-1.1-20.7 and IC 6-3.1-11
concerning the disqualification of persons from claiming credits
provided by those chapters that chapter in appropriate cases.
request is made under this section must comply with the request. A
person or entity receiving records or information under this section that
are confidential must also keep the records or information confidential.
(c) A person or an entity that receives confidential records or
information under this section and knowingly or intentionally discloses
the records or information to an unauthorized person commits a Class
A misdemeanor.
SECTION 44. IC 5-28-26-18, AS ADDED BY P.L.203-2005,
SECTION 2, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2008]: Sec. 18. (a) A unit may issue bonds for the purpose of
providing public facilities under this chapter.
(b) The bonds are payable from any funds available to the unit.
(c) The bonds shall be authorized by a resolution of the unit.
(d) The terms and form of the bonds shall be set out either in the
resolution or in a form of trust indenture approved by the resolution.
(e) The bonds must mature within:
(1) fifty (50) years, for bonds issued before July 1, 2008; or
(2) twenty-five (25) years, for bonds issued after June 30,
2008.
(f) The unit shall sell the bonds at public or private sale upon terms
determined by the district.
(g) All money received from any bonds issued under this chapter
shall be applied solely to the payment of the cost of providing public
facilities within a global commerce center, or the cost of refunding or
refinancing outstanding bonds, for which the bonds are issued. The cost
may include the cost of:
(1) planning and development of the public facilities and all
related buildings, facilities, structures, and improvements;
(2) acquisition of a site and clearing and preparing the site for
construction;
(3) equipment, facilities, structures, and improvements that are
necessary or desirable to make the public facilities suitable for use
and operation;
(4) architectural, engineering, consultant, and attorney's fees;
(5) incidental expenses in connection with the issuance and sale
of bonds;
(6) reserves for principal and interest;
(7) interest during construction and for a period thereafter
determined by the district, but not to exceed five (5) years;
(8) financial advisory fees;
(9) insurance during construction;
processor; and
(3) property held for sale in the ordinary course of trade or
business.
The term includes items that qualify as inventory under 50
IAC 4.2-5-1 (as effective December 31, 2008).
SECTION 48. IC 6-1.1-1-11, AS AMENDED BY P.L.214-2005,
SECTION 10, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JANUARY 1, 2008 (RETROACTIVE)]: Sec. 11. (a) Subject to the
limitation contained in subsection (b), "personal property" means:
(1) nursery stock that has been severed from the ground;
(2) florists' stock of growing crops which are ready for sale as pot
plants on benches;
(3) (1) billboards and other advertising devices which are located
on real property that is not owned by the owner of the devices;
(4) (2) motor vehicles, mobile houses, airplanes, boats not subject
to the boat excise tax under IC 6-6-11, and trailers not subject to
the trailer tax under IC 6-6-5;
(5) (3) foundations (other than foundations which support a
building or structure) on which machinery or equipment is
installed; and
(6) (4) all other tangible property (other than real property) which:
is being:
(A) held for sale in the ordinary course of a trade or business;
(B) held, used, or consumed in connection with the production
of income; or
(C) (A) is being held as an investment; or
(B) is depreciable personal property.
(b) Personal property does not include the following:
(1) Commercially planted and growing crops while they are in the
ground.
(2) Computer application software. that is not held as
(3) Inventory. (as defined in IC 6-1.1-3-11).
SECTION 49. IC 6-1.1-1-15 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 15. "Real property"
means:
(1) land located within this state;
(2) a building or fixture situated on land located within this state;
(3) an appurtenance to land located within this state;
(4) an estate in land located within this state, or an estate, right,
or privilege in mines located on or minerals, including but not
limited to oil or gas, located in the land, if the estate, right, or
privilege is distinct from the ownership of the surface of the land;
and
(5) notwithstanding IC 6-6-6-7, a riverboat:
(A) licensed under IC 4-33; or
(B) operated under an operating agent contract under
IC 4-33-6.5;
for which the department of local government finance shall prescribe
standards to be used by township assessors. assessing officials.
SECTION 50. IC 6-1.1-2-7 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JANUARY 1, 2008 (RETROACTIVE)]:
Sec. 7. The following property is not subject to assessment and taxation
under this article:
(1) A commercial vessel that is subject to the net tonnage tax
imposed under IC 6-6-6.
(2) A motor vehicle or trailer that is subject to the annual license
excise tax imposed under IC 6-6-5.
(3) A boat that is subject to the boat excise tax imposed under
IC 6-6-11.
(4) Property used by a cemetery (as defined in IC 23-14-33-7) if
the cemetery:
(A) does not have a board of directors, board of trustees, or
other governing authority other than the state or a political
subdivision; and
(B) has had no business transaction during the preceding
calendar year.
(5) A commercial vehicle that is subject to the annual excise tax
imposed under IC 6-6-5.5.
(6) Inventory.
SECTION 51. IC 6-1.1-3-1 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 1. (a) Except as
provided in subsection (c), and section 11 of this chapter, personal
property which is owned by a person who is a resident of this state shall
be assessed at the place where the owner resides on the assessment date
of the year for which the assessment is made.
(b) Except as provided in subsection (c), and section 11 of this
chapter, personal property which is owned by a person who is not a
resident of this state shall be assessed at the place where the owner's
principal office within this state is located on the assessment date of the
year for which the assessment is made.
(c) Personal property shall be assessed at the place where it is
situated on the assessment date of the year for which the assessment is
made if the property is:
(1) regularly used or permanently located where it is situated; or
(2) owned by a nonresident who does not have a principal office
within this state.
(d) If a personal property return is filed pursuant to subsection (c),
the owner of the property shall provide, within forty-five (45) days after
the filing deadline, a copy or other written evidence of the filing of the
return to the assessor of the township in which the owner resides or to
the county assessor if there is no township assessor for the
township. If such evidence is not filed within forty-five (45) days after
the filing deadline, the township or county assessor of for the
township in which area where the owner resides shall determine if the
owner filed a personal property return in the township or county where
the property is situated. If such a return was filed, the property shall be
assessed where it is situated. If such a return was not filed, the
township or county assessor of for the township area where the
owner resides shall notify the assessor of the township or county
where the property is situated, and the property shall be assessed where
it is situated. This subsection does not apply to a taxpayer who:
(1) is required to file duplicate personal property returns under
section 7(c) of this chapter and under regulations promulgated by
the department of local government finance with respect to that
section; or
(2) is required by the department of local government finance to
file a summary of the taxpayer's business tangible personal
property returns.
SECTION 52. IC 6-1.1-3-4 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 4. (a) If a question
arises as to the proper place to assess personal property, the county
assessor shall determine the place if:
(1) two (2) or more townships in the county are served by
township assessors and the conflict involves different townships
which are located within the county the assessor serves. two (2)
or more of those townships; or
(2) the conflict does not involve any other county and none of
the townships in the county is served by a township assessor.
If the conflict involves different counties, the department of local
government finance shall determine the proper place of assessment.
(b) A determination made under this section by a county assessor or
the department of local government finance is final.
(c) If taxes are paid to a county which is not entitled to collect them,
the department of local government finance may direct the authorities
of the county which wrongfully collected the taxes to refund the taxes
collected and any penalties charged on the taxes.
SECTION 53. IC 6-1.1-3-5 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 5. Before the
assessment date of each year, the county auditor shall deliver to each
township assessor (if any) and the county assessor the proper
assessment books and necessary blanks for the listing and assessment
of personal property.
SECTION 54. IC 6-1.1-3-6 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 6. Between the
assessment date and the filing date of each year, the appropriate
township assessor, or the county assessor if there is no township
assessor for the township, shall furnish each person whose personal
property is subject to assessment for that year with a personal property
return.
SECTION 55. IC 6-1.1-3-7 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 7. (a) Except as
provided in subsections (b) and (d), a taxpayer shall, on or before the
filing date of each year, file a personal property return with:
(1) the assessor of each township in which the taxpayer's personal
property is subject to assessment; or
(2) the county assessor if there is no township assessor for a
township in which the taxpayer's personal property is subject
to assessment.
(b) The township assessor or county assessor may grant a taxpayer
an extension of not more than thirty (30) days to file the taxpayer's
return if:
(1) the taxpayer submits a written application for an extension
prior to the filing date; and
(2) the taxpayer is prevented from filing a timely return because
of sickness, absence from the county, or any other good and
sufficient reason.
(c) If the sum of the assessed values reported by a taxpayer on the
business personal property returns which the taxpayer files with the
township assessor or county assessor for a year exceeds one hundred
fifty thousand dollars ($150,000), the taxpayer shall file each of the
returns in duplicate.
(d) A taxpayer may file a consolidated return with the county
assessor If: the
(1) a taxpayer has personal property subject to assessment in
more than one (1) township in a county; and
(2) the total assessed value of the personal property in the county
is less than one million five hundred thousand dollars
($1,500,000); A
the taxpayer filing a consolidated return shall file a single return with
the county assessor and attach a schedule listing, by township, all the
taxpayer's personal property and the property's assessed value. A
taxpayer filing a consolidated return is not required to file a personal
property return with the assessor of each township. A The taxpayer
filing a consolidated return shall provide the following: (1) the county
assessor with the information necessary for the county assessor to
allocate the assessed value of the taxpayer's personal property among
the townships listed on the return, including the street address, the
township, and the location of the property.
(2) A copy of the consolidated return, with attachments, for each
township listed on the return.
(e) The county assessor shall provide to each affected township
assessor (if any) in the county all information filed by a taxpayer under
subsection (d) that affects the township. The county assessor shall
provide the information before:
(1) May 25 of each year, for a return filed on or before the filing
date for the return; or
(2) June 30 of each year, for a return filed after the filing date for
the return.
(f) The township assessor shall send all required notifications to the
taxpayer.
(g) (f) The county assessor may refuse to accept a consolidated
personal property tax return that does not have attached to it a schedule
listing, by township, all the personal property of the taxpayer and the
assessed value of the property as required under comply with
subsection (d). For purposes of IC 6-1.1-37-7, a consolidated return to
which subsection (d) applies is filed on the date it is filed with the
county assessor with the schedule of personal property and assessed
value required by subsection (d) attached.
SECTION 56. IC 6-1.1-3-14 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 14. The township
assessor, or the county assessor if there is no township assessor for
the township, shall:
(1) examine and verify; or
(2) allow a contractor under IC 6-1.1-36-12 to examine and
verify;
property returns filed with the township assessor on or before the filing
date of that year and in a county with a township assessor under
IC 36-6-5-1 in every township the township assessor shall deliver the
lists to the county auditor as prescribed in subsection (b).
(b) On or before July 1 of each year, each county assessor shall
certify to the county auditor the assessment value of the personal
property in every taxing district.
(c) The department of local government finance shall prescribe the
forms required by this section.
SECTION 60. IC 6-1.1-3-18, AS AMENDED BY P.L.219-2007,
SECTION 11, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2008]: Sec. 18. (a) Each township assessor of a county (if
any) shall periodically report to the county assessor and the county
auditor with respect to the returns and properties of taxpayers which
the township assessor has examined. The township assessor shall
submit these reports in the form and on the dates prescribed by the
department of local government finance.
(b) Each year, on or before the time prescribed by the department of
local government finance, each township assessor of a county shall
deliver to the county assessor a copy of each business personal property
return which the taxpayer is required to file in duplicate under section
7(c) of this chapter and a copy of any supporting data supplied by the
taxpayer with the return. Each year, the county assessor:
(1) shall review and may audit those the business personal
property returns that the taxpayer is required to file in
duplicate under section 7(c) of this chapter; and
(2) shall determine the returns in which the assessment appears to
be improper.
SECTION 61. IC 6-1.1-3-19 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 19. (a) While a county
property tax assessment board of appeals is in session, each township
assessor of the county (if any) shall make the following information
available to the county assessor and the board:
(1) Personal property returns.
(2) Documents related to the returns. and
(3) Any information in the possession of the township assessor
which that is related to the identity of the owners or possessors of
property or the values of property.
(b) Upon written request of the board, the township assessor shall
furnish this information referred to in subsection (a) to any member
of the board either directly or through employees of the board.
year in which the general assessment is to be completed.
(c) In order to ensure that assessing officials and members of each
county property tax assessment board of appeals are prepared for a
general reassessment of real property, the department of local
government finance shall give adequate advance notice of the general
reassessment to the county and township taxing assessing officials of
each county.
SECTION 65. IC 6-1.1-4-4.7, AS ADDED BY P.L.228-2005,
SECTION 5, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2008]: Sec. 4.7. (a) For purposes of this section, "assessor"
means:
(1) a township assessor; or
(2) a county assessor who assumes the responsibility for verifying
sales under 50 IAC 21-3-2(b).
(b) The department of local government finance shall provide
training to township assessors, county assessors, and county auditors
with respect to the verification of sales disclosure forms under 50
IAC 21-3-2.
SECTION 66. IC 6-1.1-4-12.4 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 12.4. (a) For purposes
of this section, the term "oil or gas interest" includes but is not limited
to:
(1) royalties;
(2) overriding royalties;
(3) mineral rights; or
(4) working interest;
in any oil or gas located on or beneath the surface of land which lies
within this state.
(b) Oil or gas interest is subject to assessment and taxation as real
property. Notwithstanding the provisions of IC 1971, 6-1.1-4-4, section
4 of this chapter, each oil or gas interest shall be assessed annually by
the assessor of the township in which the oil or gas is located, or the
county assessor if there is no township assessor for the township.
The township or county assessor shall assess the oil or gas interest to
the person who owns or operates the interest.
(c) A piece of equipment is an appurtenance to land if it is incident
to and necessary for the production of oil and gas from the land
covered by the oil or gas interest. This equipment includes but is not
limited to wells, pumping units, lines, treaters, separators, tanks, and
secondary recovery facilities. These appurtenances are subject to
assesment assessment as real property. Notwithstanding the provisions
of IC 1971, 6-1.1-4-4, section 4 of this chapter, each of these
appurtenances shall be assessed annually by the assessor of the
township in which the appurtenance is located, or the county assessor
if there is no township assessor for the township. The township or
county assessor shall assess the appurtenance to the person who owns
or operates the working interest in the oil or gas interest.
SECTION 67. IC 6-1.1-4-12.6 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 12.6. (a) For purposes
of this section, the term "secondary recovery method" includes but is
not limited to the stimulation of oil production by means of the
injection of water, steam, hydrocarbons, or chemicals, or by means of
in situ combustion.
(b) The total assessed value of all interests in the oil located on or
beneath the surface of a particular tract of land equals the product of:
(1) the average daily production of the oil; multiplied by
(2) three hundred sixty-five (365); and multiplied by
(3) the posted price of oil on the assessment date.
However, if the oil is being extracted by use of a secondary recovery
method, the total assessed value of all interests in the oil equals
one-half (1/2) the assessed value computed under the formula
prescribed in this subsection. The appropriate township assessor (if
any), or the county assessor if there is no township assessor for the
township, shall, in the manner prescribed by the department of local
government finance, apportion the total assessed value of all interests
in the oil among the owners of those interests.
(c) The appropriate township assessor, or the county assessor if
there is no township assessor for the township, shall, in the manner
prescribed by the department of local government finance, determine
and apportion the total assessed value of all interests in the gas located
beneath the surface of a particular tract of land.
(d) The department of local government finance shall prescribe a
schedule for township and county assessors to use in assessing the
appurtenances described in section 12.4(c) of this chapter.
SECTION 68. IC 6-1.1-4-13.6 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 13.6. (a) The township
assessor, or the county assessor if there is no township assessor for
the township, shall determine the values of all classes of commercial,
industrial, and residential land (including farm homesites) in the
township or county using guidelines determined by the department of
local government finance. Not later than November 1 of the year
preceding the year in which a general reassessment becomes effective,
the assessor determining the values of land shall submit the values to
the county property tax assessment board of appeals. Not later than
December 1 of the year preceding the year in which a general
reassessment becomes effective, the county property tax assessment
board of appeals shall hold a public hearing in the county concerning
those values. The property tax assessment board of appeals shall give
notice of the hearing in accordance with IC 5-3-1 and shall hold the
hearing after March 31 and before December 1 of the year preceding
the year in which the general reassessment under IC 6-1.1-4-4 section
4 of this chapter becomes effective.
(b) The county property tax assessment board of appeals shall
review the values submitted under subsection (a) and may make any
modifications it considers necessary to provide uniformity and equality.
The county property tax assessment board of appeals shall coordinate
the valuation of property adjacent to the boundaries of the county with
the county property tax assessment boards of appeals of the adjacent
counties using the procedures adopted by rule under IC 4-22-2 by the
department of local government finance. If the county assessor or
township assessor fails to submit land values under subsection (a) to
the county property tax assessment board of appeals before November
1 of the year before the date the general reassessment under
IC 6-1.1-4-4 section 4 of this chapter becomes effective, the county
property tax assessment board of appeals shall determine the values. If
the county property tax assessment board of appeals fails to determine
the values before the general reassessment becomes effective, the
department of local government finance shall determine the values.
(c) The county assessor shall notify all township assessors in the
county (if any) of the values as modified by the county property tax
assessment board of appeals. Township assessors Assessing officials
shall use the values determined under this section.
SECTION 69. IC 6-1.1-4-15 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 15. (a) If real property
is subject to assessment or reassessment under this chapter, the
assessor of the township in which the property is located, or the
county assessor if there is no township assessor for the township,
shall either appraise the property himself or have it appraised.
(b) In order to determine the assessed value of buildings and other
improvements, the township or county assessor or his the assessor's
authorized representative may, after first making known his the
assessor's or representative's intention to the owner or occupant,
enter and fully examine all buildings and structures which are located
within the township he serves or county and which are subject to
assessment.
SECTION 70. IC 6-1.1-4-16, AS AMENDED BY P.L.228-2005,
SECTION 7, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2008]: Sec. 16. (a) For purposes of making a general
reassessment of real property or annual adjustments under section 4.5
of this chapter, any a township assessor (if any) and any a county
assessor may employ:
(1) deputies;
(2) employees; and
(3) technical advisors who are:
(A) qualified to determine real property values;
(B) professional appraisers certified under 50 IAC 15; and
(C) employed either on a full-time or a part-time basis, subject
to sections 18.5 and 19.5 of this chapter.
(b) The county council of each county shall appropriate the funds
necessary for the employment of deputies, employees, or technical
advisors employed under subsection (a) of this section.
SECTION 71. IC 6-1.1-4-17, AS AMENDED BY P.L.228-2005,
SECTION 8, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2008]: Sec. 17. (a) Subject to the approval of the department
of local government finance and the requirements of section 18.5 of
this chapter, a
(1) township assessor; or
(2) group consisting of the county assessor and the township
assessors in a county;
may employ professional appraisers as technical advisors for
assessments in all townships in the county. The department of local
government finance may approve employment under this
subsection only if the department is a party to the employment
contract.
(b) A decision by one (1) or more assessors referred to in
subdivisions (1) and (2) a county assessor to not employ a professional
appraiser as a technical advisor in a general reassessment is subject to
approval by the department of local government finance.
(b) After notice to the county assessor and all township assessors in
the county, a majority of the assessors authorized to vote under this
subsection may vote to:
(1) employ a professional appraiser to act as a technical advisor
in the county during a general reassessment period;
(2) appoint an assessor or a group of assessors to:
requirements under law for entering a contract to serve as technical
advisor in the assessment of property. However, any and all bids may
be rejected, and new bids may be asked.
(c) The county council of each county shall appropriate the funds
needed to meet the obligations created by a professional appraisal
services contract which is entered into under this chapter.
SECTION 73. IC 6-1.1-4-19.5 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 19.5. (a) The
department of local government finance shall develop a standard
contract or standard provisions for contracts to be used in securing
professional appraising services.
(b) The standard contract or contract provisions must contain:
(1) a fixed date by which the professional appraiser or appraisal
firm shall have completed all responsibilities under the contract;
(2) a penalty clause under which the amount to be paid for
appraisal services is decreased for failure to complete specified
services within the specified time;
(3) a provision requiring the appraiser, or appraisal firm, to make
periodic reports to the township assessors involved; county
assessor;
(4) a provision stipulating the manner in which, and the time
intervals at which, the periodic reports referred to in subdivision
(3) of this subsection are to be made;
(5) a precise stipulation of what service or services are to be
provided and what class or classes of property are to be appraised;
(6) a provision stipulating that the contractor will generate
complete parcel characteristics and parcel assessment data in a
manner and format acceptable to the legislative services agency
and the department of local government finance; and
(7) a provision stipulating that the legislative services agency and
the department of local government finance have unrestricted
access to the contractor's work product under the contract; and
(8) a provision stating that the department of local
government finance is a party to the contract.
The department of local government finance may devise other
necessary provisions for the contracts in order to give effect to the
provisions of this chapter.
(c) In order to comply with the duties assigned to it by this section,
the department of local government finance may develop:
(1) one (1) or more model contracts;
(2) one (1) contract with alternate provisions; or
general reassessment begins.
(3) The appraisals for three-fourths (3/4) of the parcels shall be
reported before October 1 of the year following the year in which
the general reassessment begins.
(4) The appraisals for all the parcels shall be reported before
March 1 of the second year following the year in which the
general reassessment begins.
However, the reporting requirements prescribed in this subsection do
not apply if the contract under which the professional appraiser, or
appraisal firm, is employed prescribes different reporting procedures.
SECTION 76. IC 6-1.1-4-22 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 22. (a) If any assessing
official or any county property tax assessment board of appeals
assesses or reassesses any real property under the provisions of this
article, the official or county property tax assessment board of appeals
shall give notice to the taxpayer and the county assessor, by mail, of the
amount of the assessment or reassessment.
(b) During a period of general reassessment, each township or
county assessor shall mail the notice required by this section within
ninety (90) days after he: the assessor:
(1) completes his the appraisal of a parcel; or
(2) receives a report for a parcel from a professional appraiser or
professional appraisal firm.
SECTION 77. IC 6-1.1-4-25, AS AMENDED BY P.L.177-2005,
SECTION 27, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2008]: Sec. 25. (a) Each township assessor and each county
assessor shall keep the assessor's reassessment data and records current
by securing the necessary field data and by making changes in the
assessed value of real property as changes occur in the use of the real
property. The township or county assessor's records shall at all times
show the assessed value of real property in accordance with the
provisions of this chapter. The township assessor shall ensure that the
county assessor has full access to the assessment records maintained by
the township assessor.
(b) The township assessor (if any) in a county having a consolidated
city, the county assessor if there are no township assessors in a
county having a consolidated city, or the county assessor in every
other county, shall:
(1) maintain an electronic data file of:
(A) the parcel characteristics and parcel assessments of all
parcels; and
expenses, except for the expenses of a general reassessment, shall be
paid from county funds. The county auditor shall issue warrants for the
payment of reassessment expenses. No prior appropriations are
required in order for the auditor to issue warrants.
(b) An order of the department of local government finance
directing the reassessment of property shall contain an estimate of the
cost of making the reassessment. The local assessing officials in the
county, assessor, the county property tax assessment board of appeals,
and the county auditor may not exceed the amount so estimated by the
department of local government finance.
SECTION 81. IC 6-1.1-4-31, AS AMENDED BY P.L.228-2005,
SECTION 11, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2008]: Sec. 31. (a) The department of local government
finance shall periodically check the conduct of:
(1) a general reassessment of property;
(2) work required to be performed by local officials under 50
IAC 21; and
(3) other property assessment activities in the county, as
determined by the department.
The department of local government finance may inform township
assessors (if any), county assessors, and the presidents of county
councils in writing if its check reveals that the general reassessment or
other property assessment activities are not being properly conducted,
work required to be performed by local officials under 50 IAC 21 is not
being properly conducted, or property assessments are not being
properly made.
(b) The failure of the department of local government finance to
inform local officials under subsection (a) shall not be construed as an
indication by the department that:
(1) the general reassessment or other property assessment
activities are being properly conducted;
(2) work required to be performed by local officials under 50
IAC 21 is being properly conducted; or
(3) property assessments are being properly made.
(c) If the department of local government finance:
(1) determines under subsection (a) that a general reassessment
or other assessment activities for a general reassessment year or
any other year are not being properly conducted; and
(2) informs:
(A) the township assessor (if any) of each affected township;
(B) the county assessor; and
department's order requiring a state conducted assessment or
reassessment to the county's assessment officials, county assessor, the
county fiscal body, the county auditor, and the county treasurer. Notice
of the department's actions must be published one (1) time in a
newspaper of general circulation published in the county. The
department is not required to conduct a public hearing before taking
action under this section.
(f) Township and county officials in (e) A county assessor subject
to an order issued under this section shall, at the request of the
department or the department's contractor, make available and provide
access to all:
(1) data;
(2) records;
(3) maps;
(4) parcel record cards;
(5) forms;
(6) computer software systems;
(7) computer hardware systems; and
(8) other information;
related to the assessment or reassessment of real property in the county.
The information described in this subsection must be provided at no
cost to the department or the contractor of the department. A failure to
provide information requested under this subsection constitutes a
failure to perform a duty related to an assessment or a general
reassessment and is subject to IC 6-1.1-37-2.
(g) (f) The department may enter into a contract with a professional
appraising firm to conduct an assessment or reassessment under this
section. If a county or a township located in the county entered into a
contract with a professional appraising firm to conduct the county's
assessment or reassessment before the department orders a state
conducted assessment or reassessment in the county under this section,
the contract:
(1) is as valid as if it had been entered into by the department; and
(2) shall be treated as the contract of the department.
(h) (g) After receiving the report of assessed values from the
appraisal firm acting under a contract described in subsection (g), (f),
the department shall give notice to the taxpayer and the county
assessor, by mail, of the amount of the assessment or reassessment. The
notice of assessment or reassessment:
(1) is subject to appeal by the taxpayer under section 31.7 of this
chapter; and
executive, the county auditor shall immediately issue a warrant or
check for the full amount of the claim approved by the department.
Compliance with this subsection constitutes compliance with
IC 5-11-6-1, IC 5-11-10, and IC 36-2-6. The determination and
payment of a claim in compliance with this subsection is not subject to
remonstrance and appeal. IC 36-2-6-4(f) and IC 36-2-6-9 do not apply
to a claim submitted under this subsection. IC 5-11-10-1.6(d) applies
to a fiscal officer who pays a claim in compliance with this subsection.
(k) (j) Notwithstanding IC 4-13-2, a period of seven (7) days is
permitted for each of the following to review and act under IC 4-13-2
on a contract of the department entered into under this section:
(1) The commissioner of the Indiana department of
administration.
(2) The director of the budget agency.
(3) The attorney general.
(l) (k) If money in the county's property reassessment fund is
insufficient to pay for an assessment or reassessment conducted under
this section, the department may increase the tax rate and tax levy of
the county's property reassessment fund to pay the cost and expenses
related to the assessment or reassessment.
(m) (l) The department or the contractor of the department shall use
the land values determined under section 13.6 of this chapter for a
county subject to an order issued under this section to the extent that
the department or the contractor finds that the land values reflect the
true tax value of land, as determined under this article and the rules of
the department. If the department or the contractor finds that the land
values determined for the county under section 13.6 of this chapter do
not reflect the true tax value of land, the department or the contractor
shall determine land values for the county that reflect the true tax value
of land, as determined under this article and the rules of the
department. Land values determined under this subsection shall be
used to the same extent as if the land values had been determined under
section 13.6 of this chapter. The department or the contractor of the
department shall notify the county's assessment assessing officials of
the land values determined under this subsection.
(n) (m) A contractor of the department may notify the department
if:
(1) a county auditor fails to:
(A) certify the contractor's bill;
(B) publish the contractor's claim;
(C) submit the contractor's claim to the county executive; or
to the payment made in compliance with subsections (n) (m) through
(q). (p). This subsection and subsections (n) (m) through (q) (p) must
be interpreted liberally so that the state shall, to the extent legally valid,
ensure that the contractual obligations of a county subject to this
section are paid. Nothing in this section shall be construed to create a
debt of the state.
(t) (s) The provisions of this section are severable as provided in
IC 1-1-1-8(b).
SECTION 83. IC 6-1.1-4-31.6, AS ADDED BY P.L.228-2005,
SECTION 13, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2008]: Sec. 31.6. (a) Subject to the other requirements of this
section, the department of local government finance may:
(1) negotiate an addendum to a contract referred to in section
31.5(g) section 31.5(f) of this chapter that is treated as a contract
of the department; or
(2) include provisions in a contract entered into by the department
under section 31.5(g) section 31.5(f) of this chapter;
to require the contractor of the department to represent the department
in appeals initiated under section 31.7 of this chapter and to afford to
taxpayers an opportunity to attend an informal hearing.
(b) The purpose of the informal hearing referred to in subsection (a)
is to:
(1) discuss the specifics of the taxpayer's assessment or
reassessment;
(2) review the taxpayer's property record card;
(3) explain to the taxpayer how the assessment or reassessment
was determined;
(4) provide to the taxpayer information about the statutes, rules,
and guidelines that govern the determination of the assessment or
reassessment;
(5) note and consider objections of the taxpayer;
(6) consider all errors alleged by the taxpayer; and
(7) otherwise educate the taxpayer about:
(A) the taxpayer's assessment or reassessment;
(B) the assessment or reassessment process; and
(C) the assessment or reassessment appeal process under
section 31.7 of this chapter.
(c) Following an informal hearing referred to in subsection (b), the
contractor shall:
(1) make a recommendation to the department of local
government finance as to whether a change in the reassessment is
warranted; and
(2) if recommending a change under subdivision (1), provide to
the department a statement of:
(A) how the changed assessment or reassessment was
determined; and
(B) the amount of the changed assessment or reassessment.
(d) To preserve the right to appeal under section 31.7 of this
chapter, a taxpayer must initiate the informal hearing process by
notifying the department of local government finance or its designee of
the taxpayer's intent to participate in an informal hearing referred to in
subsection (b) not later than forty-five (45) days after the department
of local government finance gives notice under section 31.5(h) section
31.5(g) of this chapter to taxpayers of the amount of the reassessment.
(e) The informal hearings referred to in subsection (b) must be
conducted:
(1) in the county where the property is located; and
(2) in a manner determined by the department of local
government finance.
(f) The department of local government finance shall:
(1) consider the recommendation of the contractor under
subsection (c); and
(2) if the department accepts a recommendation that a change in
the assessment or reassessment is warranted, accept or modify the
recommended amount of the changed assessment or reassessment.
(g) The department of local government finance shall send a notice
of the result of each informal hearing to:
(1) the taxpayer;
(2) the county auditor;
(3) the county assessor; and
(4) the township assessor (if any) of the township in which the
property is located.
(h) A notice under subsection (g) must:
(1) state whether the assessment or reassessment was changed as
a result of the informal hearing; and
(2) if the assessment or reassessment was changed as a result of
the informal hearing:
(A) indicate the amount of the changed assessment or
reassessment; and
(B) provide information on the taxpayer's right to appeal under
section 31.7 of this chapter.
(i) If the department of local government finance does not send a
notice under subsection (g) not later than two hundred seventy (270)
days after the date the department gives notice of the amount of the
assessment or reassessment under section 31.5(h) section 31.5(g) of
this chapter:
(1) the department may not change the amount of the assessment
or reassessment under the informal hearing process described in
this section; and
(2) the taxpayer may appeal the assessment or reassessment under
section 31.7 of this chapter.
(j) The department of local government finance may adopt rules to
establish procedures for informal hearings under this section.
(k) Payment for an addendum to a contract under subsection (a)(1)
is made in the same manner as payment for the contract under section
31.5(i) section 31.5(h) of this chapter.
SECTION 84. IC 6-1.1-4-31.7, AS AMENDED BY P.L.219-2007,
SECTION 15, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2008]: Sec. 31.7. (a) As used in this section, "special master"
refers to a person designated by the Indiana board under subsection (e).
(b) The notice of assessment or reassessment under section 31.5(h)
section 31.5(g) of this chapter is subject to appeal by the taxpayer to
the Indiana board. The procedures and time limitations that apply to an
appeal to the Indiana board of a determination of the department of
local government finance do not apply to an appeal under this
subsection. The Indiana board may establish applicable procedures and
time limitations under subsection (l).
(c) In order to appeal under subsection (b), the taxpayer must:
(1) participate in the informal hearing process under section 31.6
of this chapter;
(2) except as provided in section 31.6(i) of this chapter, receive
a notice under section 31.6(g) of this chapter; and
(3) file a petition for review with the appropriate county assessor
not later than thirty (30) days after:
(A) the date of the notice to the taxpayer under section 31.6(g)
of this chapter; or
(B) the date after which the department may not change the
amount of the assessment or reassessment under the informal
hearing process described in section 31.6 of this chapter.
(d) The Indiana board may develop a form for petitions under
subsection (c) that outlines:
(1) the appeal process;
(2) the burden of proof; and
subsection (h)(1) is not provided at the hearing under subsection (g).
(j) The township assessor (if any) and the county assessor may
attend and participate in the hearing under subsection (g).
(k) The Indiana board may:
(1) consider the report of the special masters under subsection
(g)(4);
(2) make a final determination based on the findings of the special
masters without:
(A) conducting a hearing; or
(B) any further proceedings; and
(3) incorporate the findings of the special masters into the board's
findings in resolution of the appeal.
(l) The Indiana board may adopt rules under IC 4-22-2-37.1 to:
(1) establish procedures to expedite:
(A) the conduct of hearings under subsection (g); and
(B) the issuance of determinations of appeals under subsection
(k); and
(2) establish deadlines:
(A) for conducting hearings under subsection (g); and
(B) for issuing determinations of appeals under subsection (k).
(m) A determination by the Indiana board of an appeal under
subsection (k) is subject to appeal to the tax court under IC 6-1.1-15.
SECTION 85. IC 6-1.1-4-39, AS AMENDED BY P.L.199-2005,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2008]: Sec. 39. (a) For assessment dates after February 28,
2005, except as provided in subsections (c) and (e), the true tax value
of real property regularly used to rent or otherwise furnish residential
accommodations for periods of thirty (30) days or more and that has
more than four (4) rental units is the lowest valuation determined by
applying each of the following appraisal approaches:
(1) Cost approach that includes an estimated reproduction or
replacement cost of buildings and land improvements as of the
date of valuation together with estimates of the losses in value
that have taken place due to wear and tear, design and plan, or
neighborhood influences.
(2) Sales comparison approach, using data for generally
comparable property.
(3) Income capitalization approach, using an applicable
capitalization method and appropriate capitalization rates that are
developed and used in computations that lead to an indication of
value commensurate with the risks for the subject property use.
developed and used in computations that lead to an indication of
value commensurate with the risks for the subject property use.
(c) A township or county assessor is not required to appraise
qualified real property using the three (3) appraisal approaches listed
in subsection (b) if the township or county assessor and the taxpayer
agree before notice of the assessment is given to the taxpayer under
section 22 of this chapter to the determination of the true tax value of
the property by the assessor using one (1) of those appraisal
approaches.
(d) To carry out this section, the department of local government
finance may adopt rules for assessors to use in gathering and
processing information for the application of the income capitalization
method. A taxpayer must verify under penalties for perjury any
information provided to the assessor for use in the application of the
income capitalization method.
SECTION 87. IC 6-1.1-5-8 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 8. Except as provided
in section 9 of this chapter, the county auditor of each county shall
annually prepare and deliver to the township assessor (if any) or the
county assessor a list of all real property entered in the township or
county as of the assessment date. The county auditor shall deliver the
list within thirty (30) days after the assessment date. The county auditor
shall prepare the list in the form prescribed or approved by the
department of local government finance.
SECTION 88. IC 6-1.1-5-9 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 9. Except as provided
in section 4(b) of this chapter, for all civil townships in which In a
county containing a consolidated city: is situated,
(1) the township assessor has the duties and authority described
in sections 1 through 8 of this chapter; and
(2) the county assessor has the duties and authority described
in sections 1 through 8 of this chapter for a township for
which there is no township assessor.
These duties and authority include effecting the transfer of title to real
property and preparing, maintaining, approving, correcting, indexing,
and publishing the list or record of, or description of title to, real
property. If a court renders a judgment for the partition or transfer of
real property located in one (1) of these townships, a county
containing a consolidated city, the clerk of the court shall deliver the
transcript to the township county assessor.
SECTION 89. IC 6-1.1-5-9.1 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 9.1. (a) Except:
(1) as provided in subsection (b); and
(2) for civil townships described in section 9 of this chapter;
and notwithstanding the provisions of sections 1 through 8 of this
chapter, for all other civil townships having a population of thirty-five
thousand (35,000) or more, for a civil township that falls below a
population of thirty-five thousand (35,000) at a federal decennial
census that takes effect after December 31, 2001, and for all other civil
townships in which a city of the second class is located, the township
assessor, or the county assessor if there is no township assessor for
the township, shall make the real property lists and the plats described
in sections 1 through 8 of this chapter.
(b) In a civil township that attains a population of thirty-five
thousand (35,000) or more at a federal decennial census that takes
effect after December 31, 2001, the county auditor shall make the real
property lists and the plats described in sections 1 through 8 of this
chapter unless the township assessor determines to assume the duty
from the county auditor.
(c) With respect to townships in which the township assessor makes
the real property lists and the plats described in sections 1 through 8 of
this chapter, the county auditor shall, upon completing the tax
duplicate, return the real property lists to the township assessor for the
continuation of the lists by the assessor. If land located in one (1) of
these townships is platted, the plat shall be presented to the township
assessor instead of the county auditor, before it is recorded. The
township assessor shall then enter the lots or parcels described in the
plat on the tax lists in lieu of the land included in the plat.
SECTION 90. IC 6-1.1-5-10 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 10. If a township
assessor, or the county assessor if there is no township assessor for
the township, believes that it is necessary to obtain an accurate
description of a specific lot or tract, which is situated in the township
he serves, the assessor may demand in writing that the owner or
occupant of the lot or tract deliver all the title papers in his the owner's
or occupant's possession to the assessor for his the assessor's
examination. If the person fails to deliver the title papers to the assessor
at his the assessor's office within five (5) days after the demand is
mailed, the assessor shall prepare the real property list according to the
best information he the assessor can obtain. For that purpose, the
assessor may examine, under oath, any person whom he the assessor
believes has any knowledge relevant to the issue.
township assessor in the county (if any) shall prepare and deliver to
the county assessor a detailed list of the real property listed for taxation
in the township. On or before July 1 of each year, each county assessor
shall, under oath, prepare and deliver to the county auditor a detailed
list of the real property listed for taxation in the county. In a county
with an elected township assessor in every township the township
assessor shall prepare the real property list. The assessing officials and
the county assessor shall prepare the list in the form prescribed by the
department of local government finance. The township assessor shall
ensure that the county assessor has full access to the assessment
records maintained by the township assessor.
SECTION 93. IC 6-1.1-5-15, AS AMENDED BY P.L.228-2005,
SECTION 15, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2008]: Sec. 15. (a) Except as provided in subsection (b),
before an owner of real property demolishes, structurally modifies, or
improves it at a cost of more than five hundred dollars ($500) for
materials or labor, or both, the owner or the owner's agent shall file
with the area plan commission or the county assessor in the county
where the property is located an assessment registration notice on a
form prescribed by the department of local government finance.
(b) If the owner of the real property, or the person performing the
work for the owner, is required to obtain a permit from an agency or
official of the state or a political subdivision for the demolition,
structural modification, or improvement, the owner or the person
performing the work for the owner is not required to file an assessment
registration notice.
(c) Each state or local government official or agency shall, before
the tenth day of each month, deliver a copy of each permit described in
subsection (b) to the assessor of the county in which the real property
to be improved is situated. Each area plan commission shall, before the
tenth day of each month, deliver a copy of each assessment registration
notice described in subsection (a) to the assessor of the county where
the property is located.
(d) Before the last day of each month, the county assessor shall
distribute a copy of each assessment registration notice filed under
subsection (a) or permit received under subsection (b) to the assessor
of the township (if any) in which the real property to be demolished,
modified, or improved is situated.
(e) A fee of five dollars ($5) shall be charged by the area plan
commission or the county assessor for the filing of the assessment
registration notice. All fees collected under this subsection shall be
deposited in the county property reassessment fund.
(f) A township or county assessor shall immediately notify the
county treasurer if the assessor discovers property that has been
improved or structurally modified at a cost of more than five hundred
dollars ($500) and the owner of the property has failed to obtain the
required building permit or to file an assessment registration notice.
(g) Any person who fails to:
(1) file the registration notice required by subsection (a); or
(2) obtain a building permit described in subsection (b);
before demolishing, structurally modifying, or improving real property
is subject to a civil penalty of one hundred dollars ($100). The county
treasurer shall include the penalty on the person's property tax
statement and collect it in the same manner as delinquent personal
property taxes under IC 6-1.1-23. However, if a person files a late
registration notice, the person shall pay the fee, if any, and the penalty
to the area plan commission or the county assessor at the time the
person files the late registration notice.
SECTION 94. IC 6-1.1-5.5-3, AS AMENDED BY P.L.219-2007,
SECTION 16, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2008]: Sec. 3. (a) For purposes of this section, "party"
includes:
(1) a seller of property that is exempt under the seller's ownership;
or
(2) a purchaser of property that is exempt under the purchaser's
ownership;
from property taxes under IC 6-1.1-10.
(b) Before filing a conveyance document with the county auditor
under IC 6-1.1-5-4, all the parties to the conveyance must do the
following:
(1) Complete and sign a sales disclosure form as prescribed by the
department of local government finance under section 5 of this
chapter. All the parties may sign one (1) form, or if all the parties
do not agree on the information to be included on the completed
form, each party may sign and file a separate form.
(2) Before filing a sales disclosure form with the county auditor,
submit the sales disclosure form to the county assessor. The
county assessor must review the accuracy and completeness of
each sales disclosure form submitted immediately upon receipt of
the form and, if the form is accurate and complete, stamp the form
as eligible for filing with the county auditor and return the form
to the appropriate party for filing with the county auditor. If
multiple forms are filed in a short period, the county assessor
shall process the forms as quickly as possible. For purposes of this
subdivision, a sales disclosure form is considered to be accurate
and complete if:
(A) the county assessor does not have substantial evidence
when the form is reviewed under this subdivision that
information in the form is inaccurate; and
(B) the form:
(i) substantially conforms to the sales disclosure form
prescribed by the department of local government finance
under section 5 of this chapter; and
(ii) is submitted to the county assessor in a format usable to
the county assessor.
(3) File the sales disclosure form with the county auditor.
(c) Except as provided in subsection (d), The auditor shall forward
each sales disclosure form to the county assessor. The county assessor
shall retain the forms for five (5) years. The county assessor shall
forward the sales disclosure form data to the department of local
government finance and the legislative services agency in an electronic
format specified jointly by the department of local government finance
and the legislative services agency. The county assessor shall forward
a copy of the sales disclosure forms to the township assessors in the
county. The forms may be used by the county assessing officials, the
department of local government finance, and the legislative services
agency for the purposes established in IC 6-1.1-4-13.6, sales ratio
studies, equalization, adoption of rules under IC 6-1.1-31-3 and
IC 6-1.1-31-6, and any other authorized purpose.
(d) In a county containing a consolidated city, the auditor shall
forward the sales disclosure form to the appropriate township assessor
(if any). The township or county assessor shall forward the sales
disclosure form to the department of local government finance and the
legislative services agency in an electronic format specified jointly by
the department of local government finance and the legislative services
agency. The forms may be used by the county assessing officials, the
department of local government finance, and the legislative services
agency for the purposes established in IC 6-1.1-4-13.6, sales ratio
studies, equalization, adoption of rules under IC 6-1.1-31-3 and
IC 6-1.1-31-6, and any other authorized purpose.
(e) If a sales disclosure form includes the telephone number or
Social Security number of a party, the telephone number or Social
Security number is confidential.
time the property is used or occupied.
(6) Any additional information which the department of local
government finance may require.
(d) A person who signs an exemption application shall attest in
writing and under penalties of perjury that, to the best of the person's
knowledge and belief, a predominant part of the property claimed to be
exempt is not being used or occupied in connection with a trade or
business that is not substantially related to the exercise or performance
of the organization's exempt purpose.
(e) An owner must file with an application for exemption of real
property under subsection (a) or section 5 of this chapter a copy of the
township assessor's record kept under IC 6-1.1-4-25(a) that shows the
calculation of the assessed value of the real property for the assessment
date for which the exemption is claimed. Upon receipt of the
exemption application, the county assessor shall examine that record
and determine if the real property for which the exemption is claimed
is properly assessed. If the county assessor determines that the real
property is not properly assessed, the county assessor shall: direct the
township assessor of the township in which the real property is located
to:
(1) properly assess the real property or direct the township
assessor to properly assess the real property; and
(2) notify the county assessor and county auditor of the proper
assessment or direct the township assessor to notify the county
auditor of the proper assessment.
(f) If the county assessor determines that the applicant has not filed
with an application for exemption a copy of the record referred to in
subsection (e), the county assessor shall notify the applicant in writing
of that requirement. The applicant then has thirty (30) days after the
date of the notice to comply with that requirement. The county property
tax assessment board of appeals shall deny an application described in
this subsection if the applicant does not comply with that requirement
within the time permitted under this subsection.
(g) This subsection applies whenever a law requires an exemption
to be claimed on or in an application accompanying a personal property
tax return. The claim or application may be filed on or with a personal
property tax return not more than thirty (30) days after the filing date
for the personal property tax return, regardless of whether an extension
of the filing date has been granted under IC 6-1.1-3-7.
SECTION 108. IC 6-1.1-12-12, AS AMENDED BY P.L.183-2007,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JANUARY 1, 2009]: Sec. 12. (a) Except as provided in section 17.8 of
this chapter, a person who desires to claim the deduction provided in
section 11 of this chapter must file an application, on forms prescribed
by the department of local government finance, with the auditor of the
county in which the real property, mobile home not assessed as real
property, or manufactured home not assessed as real property is
located. With respect to real property, the application must be filed
during the twelve (12) months before June 11 of each year for which
the individual wishes to obtain the deduction. With respect to a mobile
home that is not assessed as real property or a manufactured home that
is not assessed as real property, the application must be filed during the
twelve (12) months before March 31 of each year for which the
individual wishes to obtain the deduction. The application may be filed
in person or by mail. If mailed, the mailing must be postmarked on or
before the last day for filing.
(b) Proof of blindness may be supported by:
(1) the records of a county office of family and children, the
division of family resources or the division of disability and
rehabilitative services; or
(2) the written statement of a physician who is licensed by this
state and skilled in the diseases of the eye or of a licensed
optometrist.
(c) The application required by this section must contain the record
number and page where the contract or memorandum of the contract
is recorded if the individual is buying the real property, mobile home,
or manufactured home on a contract that provides that the individual
is to pay property taxes on the real property, mobile home, or
manufactured home.
SECTION 109. IC 6-1.1-12-20, AS AMENDED BY P.L.154-2006,
SECTION 19, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2008]: Sec. 20. (a) A property owner who desires to obtain the
deduction provided by section 18 of this chapter must file a certified
deduction application, on forms prescribed by the department of local
government finance, with the auditor of the county in which the
rehabilitated property is located. The application may be filed in person
or by mail. If mailed, the mailing must be postmarked on or before the
last day for filing. Except as provided in subsection (b), the application
must be filed before June 11 of the year in which the addition to
assessed value is made.
(b) If notice of the addition to assessed value for any year is not
given to the property owner before May 11 of that year, the application
required by this section may be filed not later than thirty (30) days after
the date such a notice is mailed to the property owner at the address
shown on the records of the township or county assessor.
(c) The application required by this section shall contain the
following information:
(1) A description of the property for which a deduction is claimed
in sufficient detail to afford identification.
(2) Statements of the ownership of the property.
(3) The assessed value of the improvements on the property
before rehabilitation.
(4) The number of dwelling units on the property.
(5) The number of dwelling units rehabilitated.
(6) The increase in assessed value resulting from the
rehabilitation. and
(7) The amount of deduction claimed.
(d) A deduction application filed under this section is applicable for
the year in which the increase in assessed value occurs and for the
immediately following four (4) years without any additional application
being filed.
(e) On verification of an application by the assessor of the township
in which the property is located, or the county assessor if there is no
township assessor for the township, the county auditor shall make the
deduction.
SECTION 110. IC 6-1.1-12-24, AS AMENDED BY P.L.154-2006,
SECTION 20, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2008]: Sec. 24. (a) A property owner who desires to obtain the
deduction provided by section 22 of this chapter must file a certified
deduction application, on forms prescribed by the department of local
government finance, with the auditor of the county in which the
property is located. The application may be filed in person or by mail.
If mailed, the mailing must be postmarked on or before the last day for
filing. Except as provided in subsection (b), the application must be
filed before June 11 of the year in which the addition to assessed
valuation is made.
(b) If notice of the addition to assessed valuation for any year is not
given to the property owner before May 11 of that year, the application
required by this section may be filed not later than thirty (30) days after
the date such a notice is mailed to the property owner at the address
shown on the records of the township or county assessor.
(c) The application required by this section shall contain the
following information:
hazardous waste under IC 13-22-2-3(b).
(2) "Resource recovery system" means tangible property directly
used to dispose of solid waste or hazardous waste by converting
it into energy or other useful products.
(3) "Solid waste" has the meaning set forth in IC 13-11-2-205(a)
but does not include dead animals or any animal solid or
semisolid wastes.
(b) Except as provided in this section, the owner of a resource
recovery system is entitled to an annual deduction in an amount equal
to ninety-five percent (95%) of the assessed value of the system if:
(1) the system was certified by the department of environmental
management for the 1993 assessment year or a prior assessment
year; and
(2) the owner filed a timely application for the deduction for the
1993 assessment year.
For purposes of this section, a system includes tangible property that
replaced tangible property in the system after the certification by the
department of environmental management.
(c) The owner of a resource recovery system that is directly used to
dispose of hazardous waste is not entitled to the deduction provided by
this section for a particular assessment year if during that assessment
year the owner:
(1) is convicted of any violation under IC 13-7-13-3 (repealed),
IC 13-7-13-4 (repealed), or a criminal statute under IC 13; or
(2) is subject to an order or a consent decree with respect to
property located in Indiana based upon a violation of a federal or
state rule, regulation, or statute governing the treatment, storage,
or disposal of hazardous wastes that had a major or moderate
potential for harm.
(d) The certification of a resource recovery system by the
department of environmental management for the 1993 assessment
year or a prior assessment year is valid through the 1997 assessment
year so long as the property is used as a resource recovery system. If
the property is no longer used for the purpose for which the property
was used when the property was certified, the owner of the property
shall notify the county auditor. However, the deduction from the
assessed value of the system is:
(1) ninety-five percent (95%) for the 1994 assessment year;
(2) ninety percent (90%) for the 1995 assessment year;
(3) seventy-five percent (75%) for the 1996 assessment year; and
(4) sixty percent (60%) for the 1997 assessment year.
assessment year of a resource recovery system in regard to which a
political subdivision is liable for the payment of the property taxes
remains valid at the ninety-five percent (95%) deduction level allowed
before 1994 as long as the political subdivision remains liable for the
payment of the property taxes on the system.
SECTION 113. IC 6-1.1-12-30, AS AMENDED BY P.L.183-2007,
SECTION 8, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2008]: Sec. 30. Except as provided in section 36 of this
chapter, a person who desires to claim the deduction provided by
section 29 of this chapter must file a certified statement in duplicate,
on forms prescribed by the department of local government finance,
with the auditor of the county in which the real property or mobile
home is subject to assessment. With respect to real property, the person
must file the statement during the twelve (12) months before June 11
of each year for which the person desires to obtain the deduction. With
respect to a mobile home which is not assessed as real property, the
person must file the statement during the twelve (12) months before
March 31 of each year for which the person desires to obtain the
deduction. On verification of the statement by the assessor of the
township in which the real property or mobile home is subject to
assessment, or the county assessor if there is no township assessor
for the township, the county auditor shall allow the deduction.
SECTION 114. IC 6-1.1-12-35.5, AS AMENDED BY
P.L.183-2007, SECTION 9, IS AMENDED TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2008]: Sec. 35.5. (a) Except as provided in
section 36 of this chapter, a person who desires to claim the deduction
provided by section 31, 33, 34, or 34.5 of this chapter must file a
certified statement in duplicate, on forms prescribed by the department
of local government finance, and proof of certification under
subsection (b) or (f) with the auditor of the county in which the
property for which the deduction is claimed is subject to assessment.
Except as provided in subsection (e), with respect to property that is not
assessed under IC 6-1.1-7, the person must file the statement during the
twelve (12) months before June 11 of the assessment year. The person
must file the statement in each year for which the person desires to
obtain the deduction. With respect to a property which is assessed
under IC 6-1.1-7, the person must file the statement during the twelve
(12) months before March 31 of each year for which the person desires
to obtain the deduction. The statement may be filed in person or by
mail. If mailed, the mailing must be postmarked on or before the last
day for filing. On verification of the statement by the assessor of the
township in which the property for which the deduction is claimed is
subject to assessment, or the county assessor if there is no township
assessor for the township, the county auditor shall allow the
deduction.
(b) This subsection does not apply to an application for a deduction
under section 34.5 of this chapter. The department of environmental
management, upon application by a property owner, shall determine
whether a system or device qualifies for a deduction provided by
section 31, 33, or 34 of this chapter. If the department determines that
a system or device qualifies for a deduction, it shall certify the system
or device and provide proof of the certification to the property owner.
The department shall prescribe the form and manner of the certification
process required by this subsection.
(c) This subsection does not apply to an application for a deduction
under section 34.5 of this chapter. If the department of environmental
management receives an application for certification before May 11 of
the assessment year, the department shall determine whether the system
or device qualifies for a deduction before June 11 of the assessment
year. If the department fails to make a determination under this
subsection before June 11 of the assessment year, the system or device
is considered certified.
(d) A denial of a deduction claimed under section 31, 33, 34, or 34.5
of this chapter may be appealed as provided in IC 6-1.1-15. The appeal
is limited to a review of a determination made by the township
assessor, county property tax assessment board of appeals, or
department of local government finance.
(e) A person who timely files a personal property return under
IC 6-1.1-3-7(a) for an assessment year and who desires to claim the
deduction provided in section 31 of this chapter for property that is not
assessed under IC 6-1.1-7 must file the statement described in
subsection (a) during the twelve (12) months before June 11 of that
year. A person who obtains a filing extension under IC 6-1.1-3-7(b) for
an assessment year must file the application between March 1 and the
extended due date for that year.
(f) This subsection applies only to an application for a deduction
under section 34.5 of this chapter. The center for coal technology
research established by IC 21-47-4-1, upon receiving an application
from the owner of a building, shall determine whether the building
qualifies for a deduction under section 34.5 of this chapter. If the center
determines that a building qualifies for a deduction, the center shall
certify the building and provide proof of the certification to the owner
of the building. The center shall prescribe the form and procedure for
certification of buildings under this subsection. If the center receives
an application for certification of a building under section 34.5 of this
chapter before May 11 of an assessment year:
(1) the center shall determine whether the building qualifies for
a deduction before June 11 of the assessment year; and
(2) if the center fails to make a determination before June 11 of
the assessment year, the building is considered certified.
SECTION 115. IC 6-1.1-12-37, AS AMENDED BY P.L.224-2007,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JANUARY 1, 2009]: Sec. 37. (a) The following definitions apply
throughout this section:
(1) "Dwelling" means any of the following:
(A) Residential real property improvements that an
individual uses as the individual's residence, including a
house or garage.
(B) A mobile home that is not assessed as real property
that an individual uses as the individual's residence.
(C) A manufactured home that is not assessed as real
property that an individual uses as the individual's
residence.
(2) "Homestead" means an individual's principal place of
residence that:
(A) is located in Indiana;
(B) the individual:
(i) owns;
(ii) is buying under a contract, recorded in the county
recorder's office, that provides that the individual is to
pay the property taxes on the residence; or
(iii) is entitled to occupy as a tenant-stockholder (as
defined in 26 U.S.C. 216) of a cooperative housing
corporation (as defined in 26 U.S.C. 216); and
(C) consists of a dwelling and the real estate, not exceeding
one (1) acre, that immediately surrounds that dwelling.
(b) Each year a person an individual who on March 1 of a
particular year or, in the case of a mobile home that is assessed as
personal property, the immediately following January 15, either
owns or is buying a homestead under a contract, recorded in the
county recorder's office, that provides the individual is to pay
property taxes on the homestead is entitled to receive the homestead
credit provided under IC 6-1.1-20.9 for property taxes payable in the
following year is entitled to a standard deduction from the assessed
value of the real property, mobile home not assessed as real property,
or manufactured home not assessed as real property that qualifies for
the homestead. credit. The auditor of the county shall record and make
the deduction for the person qualifying for the deduction.
(b) (c) Except as provided in section 40.5 of this chapter, the total
amount of the deduction that a person may receive under this section
for a particular year is the lesser of:
(1) one-half (1/2) sixty percent (60%) of the assessed value of
the real property, mobile home not assessed as real property, or
manufactured home not assessed as real property; or
(2) for property taxes first due and payable:
(A) before January 1, 2007, thirty-five thousand dollars
($35,000);
(B) after December 31, 2006, and before January 1, 2009,
forty-five thousand dollars ($45,000).
(C) after December 31, 2008, and before January 1, 2010,
forty-four thousand dollars ($44,000);
(D) after December 31, 2009, and before January 1, 2011,
forty-three thousand dollars ($43,000);
(E) after December 31, 2010, and before January 1, 2012,
forty-two thousand dollars ($42,000);
(F) after December 31, 2011, and before January 1, 2013,
forty-one thousand dollars ($41,000); and
(G) after December 31, 2012, forty thousand dollars ($40,000).
(c) (d) A person who has sold real property, a mobile home not
assessed as real property, or a manufactured home not assessed as real
property to another person under a contract that provides that the
contract buyer is to pay the property taxes on the real property, mobile
home, or manufactured home may not claim the deduction provided
under this section with respect to that real property, mobile home, or
manufactured home.
(e) The department of local government finance shall adopt
rules or guidelines concerning the application for a deduction
under this section.
(f) The county auditor may not grant an individual or a married
couple a deduction under this section if:
(1) the individual or married couple, for the same year, claims
the deduction on two (2) or more different applications for the
deduction; and
(2) the applications claim the deduction for different property.
property is subject to assessment. In addition to the certified statement,
the person must file a certification by the state chemist listing the
improvements that were made to comply with the fertilizer storage
rules adopted under IC 15-16-2-44 and the pesticide storage rules
adopted by the state chemist under IC 15-16-4-52. The statement and
certification must be filed before June 11 of the year preceding the year
the deduction will first be applied. Upon the verification of the
statement and certification by the assessor of the township in which the
property is subject to assessment, or the county assessor if there is no
township assessor for the township, the county auditor shall allow the
deduction.
SECTION 118. IC 6-1.1-12-41, AS AMENDED BY P.L.199-2005,
SECTION 5, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2008]: Sec. 41. (a) This section does not apply to assessment
years beginning after December 31, 2005.
(b) As used in this section, "assessed value of inventory" means the
assessed value determined after the application of any deductions or
adjustments that apply by statute or rule to the assessment of inventory,
other than the deduction allowed under subsection (f).
(c) As used in this section, "county income tax council" means a
council established by IC 6-3.5-6-2.
(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, "inventory" has the meaning set forth in
IC 6-1.1-3-11 (repealed).
(f) An ordinance may be adopted in a county to provide that a
deduction applies to the assessed value of inventory located in the
county. The deduction is equal to one hundred percent (100%) of the
assessed value of inventory located in the county for the appropriate
year of assessment. An ordinance adopted under this section in a
particular year applies:
(1) if adopted before March 31, 2004, to each subsequent
assessment year ending before January 1, 2006; and
(2) if adopted after March 30, 2004, and before June 1, 2005, to
the March 1, 2005, assessment date.
An ordinance adopted under this section may be consolidated with an
ordinance adopted under IC 6-3.5-7-25 or IC 6-3.5-7-26. The
consolidation of an ordinance adopted under this section with an
ordinance adopted under IC 6-3.5-7-26 does not cause the ordinance
adopted under IC 6-3.5-7-26 to expire after December 31, 2005.
(g) An ordinance may not be adopted under subsection (f) after May
30, 2005. However, an ordinance adopted under this section:
(1) before March 31, 2004, may be amended after March 30,
2004; and
(2) before June 1, 2005, may be amended after May 30, 2005;
to consolidate an ordinance adopted under IC 6-3.5-7-26.
(h) The entity that may adopt the ordinance permitted under
subsection (f) is:
(1) the county income tax council if the county option income tax
is in effect on January 1 of the year in which an ordinance under
this section is adopted;
(2) the county fiscal body if the county adjusted gross income tax
is in effect on January 1 of the year in which an ordinance under
this section is adopted; or
(3) the county income tax council or the county fiscal body,
whichever acts first, for a county not covered by subdivision (1)
or (2).
To adopt an ordinance under subsection (f), a county income tax
council shall use the procedures set forth in IC 6-3.5-6 concerning the
imposition of the county option income tax. The entity that adopts the
ordinance shall provide a certified copy of the ordinance to the
department of local government finance before February 1.
(i) A taxpayer is not required to file an application to qualify for the
deduction permitted under subsection (f).
(j) The department of local government finance shall incorporate the
deduction established in this section in the personal property return
form to be used each year for filing under IC 6-1.1-3-7 or
IC 6-1.1-3-7.5 to permit the taxpayer to enter the deduction on the
form. If a taxpayer fails to enter the deduction on the form, the
township assessor, or the county assessor if there is no township
assessor for the township, shall:
(1) determine the amount of the deduction; and
(2) within the period established in IC 6-1.1-16-1, issue a notice
of assessment to the taxpayer that reflects the application of the
deduction to the inventory assessment.
(k) The deduction established in this section must be applied to any
inventory assessment made by:
(1) an assessing official;
(2) a county property tax board of appeals; or
(3) the department of local government finance.
SECTION 119. IC 6-1.1-12-42 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 42. (a) As used in this
section, "assessed value of inventory" means the assessed value
determined after the application of any deductions or adjustments that
apply by statute or rule to the assessment of inventory, other than the
deduction established in subsection (c).
(b) As used in this section, "inventory" has the meaning set forth in
IC 6-1.1-3-11 (repealed).
(c) A taxpayer is entitled to a deduction from assessed value equal
to one hundred percent (100%) of the taxpayer's assessed value of
inventory beginning with for assessments made in 2006 for property
taxes first due and payable in 2007.
(d) A taxpayer is not required to file an application to qualify for the
deduction established by this section.
(e) The department of local government finance shall incorporate
the deduction established by this section in the personal property return
form to be used each year for filing under IC 6-1.1-3-7 or
IC 6-1.1-3-7.5 to permit the taxpayer to enter the deduction on the
form. If a taxpayer fails to enter the deduction on the form, the
township assessor, or the county assessor if there is no township
assessor for the township, shall:
(1) determine the amount of the deduction; and
(2) within the period established in IC 6-1.1-16-1, issue a notice
of assessment to the taxpayer that reflects the application of the
deduction to the inventory assessment.
(f) The deduction established by this section must be applied to any
inventory assessment made by:
(1) an assessing official;
(2) a county property tax assessment board of appeals; or
(3) the department of local government finance.
SECTION 120. IC 6-1.1-12-43 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JANUARY 1, 2009]: Sec. 43. (a) For
purposes of this section:
(1) "benefit" refers to
(A) a deduction under section 1, 9, 11, 13, 14, 16, 17.4, 26, 29,
31, 33, or 34 of this chapter; or
(B) the homestead credit under IC 6-1.1-20.9-2;
(2) "closing agent" means a person that closes a transaction;
(3) "customer" means an individual who obtains a loan in a
transaction; and
(4) "transaction" means a single family residential:
(A) first lien purchase money mortgage transaction; or
(B) refinancing transaction.
the agency; and
(2) shall be paid into the property tax replacement state general
fund.
A closing agent is not liable for any other damages claimed by a
customer because of the closing agent's mere failure to provide the
appropriate document to the customer.
(g) The state agency that has administrative jurisdiction over a
closing agent shall:
(1) examine the closing agent to determine compliance with this
section; and
(2) impose and collect penalties under subsection (f).
SECTION 121. IC 6-1.1-12.1-2, AS AMENDED BY P.L.154-2006,
SECTION 25, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2008]: Sec. 2. (a) A designating body may find that a
particular area within its jurisdiction is an economic revitalization area.
However, the deduction provided by this chapter for economic
revitalization areas not within a city or town shall not be available to
retail businesses.
(b) In a county containing a consolidated city or within a city or
town, a designating body may find that a particular area within its
jurisdiction is a residentially distressed area. Designation of an area as
a residentially distressed area has the same effect as designating an
area as an economic revitalization area, except that the amount of the
deduction shall be calculated as specified in section 4.1 of this chapter
and the deduction is allowed for not more than five (5) years. In order
to declare a particular area a residentially distressed area, the
designating body must follow the same procedure that is required to
designate an area as an economic revitalization area and must make all
the following additional findings or all the additional findings
described in subsection (c):
(1) The area is comprised of parcels that are either unimproved or
contain only one (1) or two (2) family dwellings or multifamily
dwellings designed for up to four (4) families, including accessory
buildings for those dwellings.
(2) Any dwellings in the area are not permanently occupied and
are:
(A) the subject of an order issued under IC 36-7-9; or
(B) evidencing significant building deficiencies.
(3) Parcels of property in the area:
(A) have been sold and not redeemed under IC 6-1.1-24 and
IC 6-1.1-25; or
body finds to be an economic revitalization area.
(g) The designating body may adopt a resolution establishing
general standards to be used, along with the requirements set forth in
the definition of economic revitalization area, by the designating body
in finding an area to be an economic revitalization area. The standards
must have a reasonable relationship to the development objectives of
the area in which the designating body has jurisdiction. The following
four (4) sets of standards may be established:
(1) One (1) relative to the deduction under section 3 of this
chapter for economic revitalization areas that are not residentially
distressed areas.
(2) One (1) relative to the deduction under section 3 of this
chapter for residentially distressed areas.
(3) One (1) relative to the deduction allowed under section 4.5 of
this chapter.
(4) One (1) relative to the deduction allowed under section 4.8 of
this chapter.
(h) A designating body may impose a fee for filing a designation
application for a person requesting the designation of a particular area
as an economic revitalization area. The fee may be sufficient to defray
actual processing and administrative costs. However, the fee charged
for filing a designation application for a parcel that contains one (1) or
more owner-occupied, single-family dwellings may not exceed the cost
of publishing the required notice.
(i) In declaring an area an economic revitalization area, the
designating body may:
(1) limit the time period to a certain number of calendar years
during which the economic revitalization area shall be so
designated;
(2) limit the type of deductions that will be allowed within the
economic revitalization area to the deduction allowed under
section 3 of this chapter, the deduction allowed under section 4.5
of this chapter, the deduction allowed under section 4.8 of this
chapter, or any combination of these deductions;
(3) limit the dollar amount of the deduction that will be allowed
with respect to new manufacturing equipment, new research and
development equipment, new logistical distribution equipment,
and new information technology equipment if a deduction under
this chapter had not been filed before July 1, 1987, for that
equipment;
(4) limit the dollar amount of the deduction that will be allowed
with respect to redevelopment and rehabilitation occurring in
areas that are designated as economic revitalization areas on or
after September 1, 1988;
(5) limit the dollar amount of the deduction that will be allowed
under section 4.8 of this chapter with respect to the occupation of
an eligible vacant building; or
(6) impose reasonable conditions related to the purpose of this
chapter or to the general standards adopted under subsection (g)
for allowing the deduction for the redevelopment or rehabilitation
of the property or the installation of the new manufacturing
equipment, new research and development equipment, new
logistical distribution equipment, or new information technology
equipment.
To exercise one (1) or more of these powers, a designating body must
include this fact in the resolution passed under section 2.5 of this
chapter.
(j) Notwithstanding any other provision of this chapter, if a
designating body limits the time period during which an area is an
economic revitalization area, that limitation does not:
(1) prevent a taxpayer from obtaining a deduction for new
manufacturing equipment, new research and development
equipment, new logistical distribution equipment, or new
information technology equipment installed on or before the
approval deadline determined under section 9 of this chapter, but
after the expiration of the economic revitalization area if:
(A) the economic revitalization area designation expires after
December 30, 1995; and
(B) the new manufacturing equipment, new research and
development equipment, new logistical distribution
equipment, or new information technology equipment was
described in a statement of benefits submitted to and approved
by the designating body in accordance with section 4.5 of this
chapter before the expiration of the economic revitalization
area designation; or
(2) limit the length of time a taxpayer is entitled to receive a
deduction to a number of years that is less than the number of
years designated under section 4, 4.5, or 4.8 of this chapter.
(k) Notwithstanding any other provision of this chapter, deductions:
(1) that are authorized under section 3 of this chapter for property
in an area designated as an urban development area before March
1, 1983, and that are based on an increase in assessed valuation
resulting from redevelopment or rehabilitation that occurs before
March 1, 1983; or
(2) that are authorized under section 4.5 of this chapter for new
manufacturing equipment installed in an area designated as an
urban development area before March 1, 1983;
apply according to the provisions of this chapter as they existed at the
time that an application for the deduction was first made. No deduction
that is based on the location of property or new manufacturing
equipment in an urban development area is authorized under this
chapter after February 28, 1983, unless the initial increase in assessed
value resulting from the redevelopment or rehabilitation of the property
or the installation of the new manufacturing equipment occurred before
March 1, 1983.
(l) In addition to the other requirements of this chapter, if
property located in an economic revitalization area is also located in an
allocation area (as defined in IC 36-7-14-39 or IC 36-7-15.1-26), an
application for the property tax deduction provided by this chapter a
taxpayer's statement of benefits concerning that property may not
be approved under this chapter unless the commission that designated
the allocation area adopts a resolution approving the application
statement of benefits is adopted by the legislative body of the unit
that approved the designation of the allocation area.
SECTION 122. IC 6-1.1-12.1-4.5, AS AMENDED BY HEA
1137-2008, SECTION 36, IS AMENDED TO READ AS FOLLOWS
[EFFECTIVE UPON PASSAGE]: Sec. 4.5. (a) For purposes of this
section, "personal property" means personal property other than
inventory (as defined in IC 6-1.1-3-11(a)).
(b) (a) An applicant must provide a statement of benefits to the
designating body. The applicant must provide the completed statement
of benefits form to the designating body before the hearing specified in
section 2.5(c) of this chapter or before the installation of the new
manufacturing equipment, new research and development equipment,
new logistical distribution equipment, or new information technology
equipment for which the person desires to claim a deduction under this
chapter. The department of local government finance shall prescribe a
form for the statement of benefits. The statement of benefits must
include the following information:
(1) A description of the new manufacturing equipment, new
research and development equipment, new logistical distribution
equipment, or new information technology equipment that the
person proposes to acquire.
equipment;
whether the estimate of the number of individuals who will be
employed or whose employment will be retained can be
reasonably expected to result from the installation of the new
manufacturing equipment, new research and development
equipment, new logistical distribution equipment, or new
information technology equipment.
(3) Whether the estimate of the annual salaries of those
individuals who will be employed or whose employment will be
retained can be reasonably expected to result from the proposed
installation of new manufacturing equipment, new research and
development equipment, new logistical distribution equipment, or
new information technology equipment.
(4) With respect to new manufacturing equipment used to dispose
of solid waste or hazardous waste by converting the solid waste
or hazardous waste into energy or other useful products, whether
the estimate of the amount of solid waste or hazardous waste that
will be converted into energy or other useful products can be
reasonably expected to result from the installation of the new
manufacturing equipment.
(5) Whether any other benefits about which information was
requested are benefits that can be reasonably expected to result
from the proposed installation of new manufacturing equipment,
new research and development equipment, new logistical
distribution equipment, or new information technology
equipment.
(6) Whether the totality of benefits is sufficient to justify the
deduction.
The designating body may not designate an area an economic
revitalization area or approve the deduction unless it makes the
findings required by this subsection in the affirmative.
(d) (c) Except as provided in subsection (h), (g), and subject to
subsection (i) (h) and section 15 of this chapter, an owner of new
manufacturing equipment, new research and development equipment,
new logistical distribution equipment, or new information technology
equipment whose statement of benefits is approved after June 30, 2000,
is entitled to a deduction from the assessed value of that equipment for
the number of years determined by the designating body under
subsection (g). (f). Except as provided in subsection (f) (e) and in
section 2(i)(3) of this chapter, and subject to subsection (i) (h) and
section 15 of this chapter, the amount of the deduction that an owner
is entitled to for a particular year equals the product of:
(1) the assessed value of the new manufacturing equipment, new
research and development equipment, new logistical distribution
equipment, or new information technology equipment in the year
of deduction under the appropriate table set forth in subsection
(e); (d); multiplied by
(2) the percentage prescribed in the appropriate table set forth in
subsection (e). (d).
(e) (d) The percentage to be used in calculating the deduction under
subsection (d) (c) is as follows:
(1) For deductions allowed over a one (1) year period:
YEAR OF DEDUCTION
PERCENTAGE
1st 100%
2nd and thereafter 0%
(2) For deductions allowed over a two (2) year period:
YEAR OF DEDUCTION
PERCENTAGE
1st 100%
2nd 50%
3rd and thereafter 0%
(3) For deductions allowed over a three (3) year period:
YEAR OF DEDUCTION
PERCENTAGE
1st 100%
2nd 66%
3rd 33%
4th and thereafter 0%
(4) For deductions allowed over a four (4) year period:
YEAR OF DEDUCTION
PERCENTAGE
1st 100%
2nd 75%
3rd 50%
4th 25%
5th and thereafter 0%
(5) For deductions allowed over a five (5) year period:
YEAR OF DEDUCTION
PERCENTAGE
1st 100%
2nd 80%
3rd 60%
4th 40%
5th 20%
6th and thereafter 0%
(6) For deductions allowed over a six (6) year period:
by the owner during the preceding sixty (60) months exceeds fifty
million dollars ($50,000,000), and if the economic revitalization area
in which the new manufacturing equipment was installed was approved
by the designating body before September 1, 1994.
(b) Section 4.5(f) 4.5(e) of this chapter does not apply to new
manufacturing equipment located in a county having a population of
more than thirty-two thousand (32,000) but less than thirty-three
thousand (33,000) if:
(1) the total original cost of all new manufacturing equipment
placed into service in the county by the owner exceeds five
hundred million dollars ($500,000,000); and
(2) the economic revitalization area in which the new
manufacturing equipment was installed was approved by the
designating body before January 1, 2001.
(c) A deduction under section 4.5(d) 4.5(c) of this chapter is not
allowed with respect to new manufacturing equipment described in
subsection (b) in the first year the deduction is claimed or in
subsequent years as permitted by section 4.5(d) 4.5(c) of this chapter
to the extent the deduction would cause the assessed value of all real
property and personal property of the owner in the taxing district to be
less than the incremental net assessed value for that year.
(d) The following apply for purposes of subsection (c):
(1) A deduction under section 4.5(d) 4.5(c) of this chapter shall
be disallowed only with respect to new manufacturing equipment
installed after March 1, 2000.
(2) "Incremental net assessed value" means the sum of:
(A) the net assessed value of real property and depreciable
personal property from which property tax revenues are
required to be held in trust and pledged for the benefit of the
owners of bonds issued by the redevelopment commission of
a county described in subsection (b) under resolutions adopted
November 16, 1998, and July 13, 2000 (as amended
November 27, 2000); plus
(B) fifty-four million four hundred eighty-one thousand seven
hundred seventy dollars ($54,481,770).
(3) The assessed value of real property and personal property of
the owner shall be determined after the deductions provided by
sections 3 and 4.5 of this chapter.
(4) The personal property of the owner shall include inventory.
(5) The amount of deductions provided by section 4.5 of this
chapter with respect to new manufacturing equipment that was
installed on or before March 1, 2000, shall be increased from
thirty-three and one-third percent (33 1/3%) of true tax value to
one hundred percent (100%) of true tax value for assessment
dates after February 28, 2001.
(e) A deduction not fully allowed under subsection (c) in the first
year the deduction is claimed or in a subsequent year permitted by
section 4.5 of this chapter shall be carried over and allowed as a
deduction in succeeding years. A deduction that is carried over to a
year but is not allowed in that year under this subsection shall be
carried over and allowed as a deduction in succeeding years. The
following apply for purposes of this subsection:
(1) A deduction that is carried over to a succeeding year is not
allowed in that year to the extent that the deduction, together
with:
(A) deductions otherwise allowed under section 3 of this
chapter;
(B) deductions otherwise allowed under section 4.5 of this
chapter; and
(C) other deductions carried over to the year under this
subsection;
would cause the assessed value of all real property and personal
property of the owner in the taxing district to be less than the
incremental net assessed value for that year.
(2) Each time a deduction is carried over to a succeeding year, the
deduction shall be reduced by the amount of the deduction that
was allowed in the immediately preceding year.
(3) A deduction may not be carried over to a succeeding year
under this subsection if such year is after the period specified in
section 4.5(d) 4.5(c) of this chapter or the period specified in a
resolution adopted by the designating body under section 4.5(h)
4.5(g) of this chapter.
SECTION 124. IC 6-1.1-12.1-5, AS AMENDED BY P.L.193-2005,
SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2008]: Sec. 5. (a) A property owner who desires to obtain the
deduction provided by section 3 of this chapter must file a certified
deduction application, on forms prescribed by the department of local
government finance, with the auditor of the county in which the
property is located. Except as otherwise provided in subsection (b) or
(e), the deduction application must be filed before May 10 of the year
in which the addition to assessed valuation is made.
(b) If notice of the addition to assessed valuation or new assessment
for any year is not given to the property owner before April 10 of that
year, the deduction application required by this section may be filed not
later than thirty (30) days after the date such a notice is mailed to the
property owner at the address shown on the records of the township or
county assessor.
(c) The deduction application required by this section must contain
the following information:
(1) The name of the property owner.
(2) A description of the property for which a deduction is claimed
in sufficient detail to afford identification.
(3) The assessed value of the improvements before rehabilitation.
(4) The increase in the assessed value of improvements resulting
from the rehabilitation.
(5) The assessed value of the new structure in the case of
redevelopment.
(6) The amount of the deduction claimed for the first year of the
deduction.
(7) If the deduction application is for a deduction in a
residentially distressed area, the assessed value of the
improvement or new structure for which the deduction is claimed.
(d) A deduction application filed under subsection (a) or (b) is
applicable for the year in which the addition to assessed value or
assessment of a new structure is made and in the following years the
deduction is allowed without any additional deduction application
being filed. However, property owners who had an area designated an
urban development area pursuant to a deduction application filed prior
to January 1, 1979, are only entitled to a deduction for a five (5) year
period. In addition, property owners who are entitled to a deduction
under this chapter pursuant to a deduction application filed after
December 31, 1978, and before January 1, 1986, are entitled to a
deduction for a ten (10) year period.
(e) A property owner who desires to obtain the deduction provided
by section 3 of this chapter but who has failed to file a deduction
application within the dates prescribed in subsection (a) or (b) may file
a deduction application between March 1 and May 10 of a subsequent
year which shall be applicable for the year filed and the subsequent
years without any additional deduction application being filed for the
amounts of the deduction which would be applicable to such years
pursuant to section 4 of this chapter if such a deduction application had
been filed in accordance with subsection (a) or (b).
(f) Subject to subsection (i), the county auditor shall act as follows:
deduction application must be filed before May 10 of the year in which
the property owner or a tenant of the property owner initially occupies
the eligible vacant building.
(b) If notice of the assessed valuation or new assessment for a year
is not given to the property owner before April 10 of that year, the
deduction application required by this section may be filed not later
than thirty (30) days after the date the notice is mailed to the property
owner at the address shown on the records of the township or county
assessor.
(c) The deduction application required by this section must contain
the following information:
(1) The name of the property owner and, if applicable, the
property owner's tenant.
(2) A description of the property for which a deduction is claimed.
(3) The amount of the deduction claimed for the first year of the
deduction.
(4) Any other information required by the department of local
government finance or the designating body.
(d) A deduction application filed under this section applies to the
year in which the property owner or a tenant of the property owner
occupies the eligible vacant building and in the following year if the
deduction is allowed for a two (2) year period, without an additional
deduction application being filed.
(e) A property owner that desires to obtain the deduction provided
by section 4.8 of this chapter but that did not file a deduction
application within the dates prescribed in subsection (a) or (b) may file
a deduction application between March 1 and May 10 of a subsequent
year. A deduction application filed under this subsection applies to the
year in which the deduction application is filed and the following year
if the deduction is allowed for a two (2) year period, without an
additional deduction application being filed. The amount of the
deduction under this subsection is the amount that would have been
applicable to the year under section 4.8 of this chapter if the deduction
application had been filed in accordance with subsection (a) or (b).
(f) Subject to subsection (i), the county auditor shall do the
following:
(1) If a determination concerning the number of years the
deduction is allowed has been made in the resolution adopted
under section 2.5 of this chapter, the county auditor shall make
the appropriate deduction.
(2) If a determination concerning the number of years the
deduction is allowed has not been made in the resolution adopted
under section 2.5 of this chapter, the county auditor shall send a
copy of the deduction application to the designating body. Upon
receipt of the resolution stating the number of years the deduction
will be allowed, the county auditor shall make the appropriate
deduction.
(g) The amount and period of the deduction provided by section 4.8
of this chapter are not affected by a change in the ownership of the
eligible vacant building or a change in the property owner's tenant, if
the new property owner or the new tenant:
(1) continues to occupy the eligible vacant building in compliance
with any standards established under section 2(g) of this chapter;
and
(2) files an application in the manner provided by subsection (e).
(h) Before the county auditor acts under subsection (f), the county
auditor may request that the township assessor of the township in
which the eligible vacant building is located, or the county assessor
if there is no township assessor for the township, review the
deduction application.
(i) A property owner may appeal a determination of the county
auditor under subsection (f) by requesting in writing a preliminary
conference with the county auditor not more than forty-five (45) days
after the county auditor gives the property owner notice of the
determination. An appeal under this subsection shall be processed and
determined in the same manner that an appeal is processed and
determined under IC 6-1.1-15.
(j) In addition to the requirements of subsection (c), a property
owner that files a deduction application under this section must provide
the county auditor and the designating body with information showing
the extent to which there has been compliance with the statement of
benefits approved under section 4.8 of this chapter. This information
must be included in the deduction application and must also be updated
each year in which the deduction is applicable:
(1) at the same time that the property owner or the property
owner's tenant files a personal property tax return for property
located at the eligible vacant building for which the deduction
was granted; or
(2) if subdivision (1) does not apply, before May 15 of each year.
(k) The following information is a public record if filed under this
section:
(1) The name and address of the property owner.
equipment.
(2) A description of the new manufacturing equipment, new
research and development equipment, new logistical distribution
equipment, or new information technology equipment.
(3) The amount of the deduction claimed for the first year of the
deduction.
(c) This subsection applies to a deduction schedule with respect to
new manufacturing equipment, new research and development
equipment, new logistical distribution equipment, or new information
technology equipment for which a statement of benefits was initially
approved after April 30, 1991. If a determination about the number of
years the deduction is allowed has not been made in the resolution
adopted under section 2.5 of this chapter, the county auditor shall send
a copy of the deduction schedule to the designating body, and the
designating body shall adopt a resolution under section 4.5(g)(2)
4.5(f)(2) of this chapter.
(d) A deduction schedule must be filed under this section in the year
in which the new manufacturing equipment, new research and
development equipment, new logistical distribution equipment, or new
information technology equipment is installed and in each of the
immediately succeeding years the deduction is allowed.
(e) The township assessor, or the county assessor if there is no
township assessor for the township, may:
(1) review the deduction schedule; and
(2) before the March 1 that next succeeds the assessment date for
which the deduction is claimed, deny or alter the amount of the
deduction.
If the township assessor or the county assessor does not deny the
deduction, the county auditor shall apply the deduction in the amount
claimed in the deduction schedule or in the amount as altered by the
township assessor or the county assessor. A township assessor or a
county assessor who denies a deduction under this subsection or alters
the amount of the deduction shall notify the person that claimed the
deduction and the county auditor of the assessor's action. The county
auditor shall notify the designating body and the county property tax
assessment board of appeals of all deductions applied under this
section.
(f) If the ownership of new manufacturing equipment, new research
and development equipment, new logistical distribution equipment, or
new information technology equipment changes, the deduction
provided under section 4.5 of this chapter continues to apply to that
equipment if the new owner:
(1) continues to use the equipment in compliance with any
standards established under section 2(g) of this chapter; and
(2) files the deduction schedules required by this section.
(g) The amount of the deduction is the percentage under section 4.5
of this chapter that would have applied if the ownership of the property
had not changed multiplied by the assessed value of the equipment for
the year the deduction is claimed by the new owner.
(h) A person may appeal a determination of the township assessor
or the county assessor under subsection (e) to deny or alter the amount
of the deduction by requesting in writing a preliminary conference with
the township assessor or the county assessor not more than forty-five
(45) days after the township assessor or the county assessor gives the
person notice of the determination. Except as provided in subsection
(i), an appeal initiated under this subsection is processed and
determined in the same manner that an appeal is processed and
determined under IC 6-1.1-15.
(i) The county assessor is recused from any action the county
property tax assessment board of appeals takes with respect to an
appeal under subsection (h) of a determination by the county assessor.
SECTION 127. IC 6-1.1-12.1-5.8 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 5.8. In lieu of providing
the statement of benefits required by section 3 or 4.5 of this chapter and
the additional information required by section 5.1 or 5.6 of this chapter,
the designating body may, by resolution, waive the statement of
benefits if the designating body finds that the purposes of this chapter
are served by allowing the deduction and the property owner has,
during the thirty-six (36) months preceding the first assessment date to
which the waiver would apply, installed new manufacturing equipment,
new research and development equipment, new logistical distribution
equipment, or new information technology equipment or developed or
rehabilitated property at a cost of at least ten million dollars
($10,000,000) as determined by the assessor of the township in which
the property is located, or by the county assessor if there is no
township assessor for the township.
SECTION 128. IC 6-1.1-12.1-5.9, AS AMENDED BY HEA
1137-2008, SECTION 37, IS AMENDED TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2008]: Sec. 5.9. (a) This section does not apply
to:
(1) a deduction under section 3 of this chapter for property
located in a residentially distressed area; or
redevelopment, or rehabilitation;
is entitled to a deduction from the assessed value of the real property.
(c) Subject to section 14 of this chapter, the deduction under this
section is first available in the year in which the increase in assessed
value resulting from the development, redevelopment, or rehabilitation
occurs and continues for the following two (2) years. The amount of the
deduction that a property owner may receive with respect to real
property located in a county for a particular year equals the lesser of:
(1) two million dollars ($2,000,000); or
(2) the product of:
(A) the increase in assessed value resulting from the
development, rehabilitation, or redevelopment; multiplied by
(B) the percentage from the following table:
YEAR OF DEDUCTION
PERCENTAGE
1st 75%
2nd 50%
3rd 25%
(d) A property owner that qualifies for the deduction under this
section must file a notice to claim the deduction in the manner
prescribed by the department of local government finance under rules
adopted by the department of local government finance under
IC 4-22-2 to implement this chapter. The township assessor, or the
county assessor if there is no township assessor for the township,
shall:
(1) inform the county auditor of the real property eligible for the
deduction as contained in the notice filed by the taxpayer under
this subsection; and
(2) inform the county auditor of the deduction amount.
(e) The county auditor shall:
(1) make the deductions; and
(2) notify the county property tax assessment board of appeals of
all deductions approved;
under this section.
(f) The amount of the deduction determined under subsection (c)(2)
is adjusted to reflect the percentage increase or decrease in assessed
valuation that results from:
(1) a general reassessment of real property under IC 6-1.1-4-4; or
(2) an annual adjustment under IC 6-1.1-4-4.5.
(g) If an appeal of an assessment is approved that results in a
reduction of the assessed value of the real property, the amount of the
deduction under this section is adjusted to reflect the percentage
decrease that results from the appeal.
(h) The deduction under this section does not apply to a facility
listed in IC 6-1.1-12.1-3(e).
SECTION 131. IC 6-1.1-12.4-3, AS AMENDED BY HEA
1137-2008, SECTION 39, IS AMENDED TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2008]: Sec. 3. (a) For purposes of this section,
an increase in the assessed value of personal property is determined in
the same manner that an increase in the assessed value of new
manufacturing equipment is determined for purposes of IC 6-1.1-12.1.
(b) This subsection applies only to personal property that the owner
purchases after March 1, 2005, and before March 2, 2007. Except as
provided in sections 4, 5, and 8 of this chapter, an owner that purchases
personal property other than inventory (as defined in 50 IAC 4.2-5-1,
as in effect on January 1, 2005) that:
(1) was never before used by its owner for any purpose in Indiana;
and
(2) creates or retains employment;
is entitled to a deduction from the assessed value of the personal
property.
(c) Subject to section 14 of this chapter, the deduction under this
section is first available in the year in which the increase in assessed
value resulting from the purchase of the personal property occurs and
continues for the following two (2) years. The amount of the deduction
that a property owner may receive with respect to personal property
located in a county for a particular year equals the lesser of:
(1) two million dollars ($2,000,000); or
(2) the product of:
(A) the increase in assessed value resulting from the purchase
of the personal property; multiplied by
(B) the percentage from the following table:
YEAR OF DEDUCTION
PERCENTAGE
1st 75%
2nd 50%
3rd 25%
(d) If an appeal of an assessment is approved that results in a
reduction of the assessed value of the personal property, the amount of
the deduction is adjusted to reflect the percentage decrease that results
from the appeal.
(e) A property owner must claim the deduction under this section on
the owner's annual personal property tax return. The township assessor,
or the county assessor if there is no township assessor for the
township, shall:
(1) identify the personal property eligible for the deduction to the
county auditor; and
(2) inform the county auditor of the deduction amount.
(f) The county auditor shall:
(1) make the deductions; and
(2) notify the county property tax assessment board of appeals of
all deductions approved;
under this section.
(g) The deduction under this section does not apply to personal
property at a facility listed in IC 6-1.1-12.1-3(e).
SECTION 132. IC 6-1.1-12.4-9, AS AMENDED BY
HEA1137-2008, SECTION 40, IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 9. If an official
terminates a deduction under section 8 of this chapter:
(1) the official shall immediately mail a certified copy of the
determination to:
(A) the property owner; and
(B) if the determination is made by the county assessor or the
township assessor (if any), the county auditor;
(2) the county auditor shall:
(A) remove the deduction from the tax duplicate; and
(B) notify the county treasurer of the termination of the
deduction; and
(3) if the official's determination to terminate the deduction
occurs after the county treasurer has mailed the statement
required by IC 6-1.1-22-8.1, the county treasurer shall
immediately mail the property owner a revised statement that
reflects the termination of the deduction.
SECTION 133. IC 6-1.1-13-2 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 2. When the county
property tax assessment board of appeals convenes, the county auditor
shall submit to the board the assessment list of the county for the
current year as returned by the township assessors (if any) and as
amended and returned by the county assessor. The county assessor
shall make recommendations to the board for corrections and changes
in the returns and assessments. The board shall consider and act upon
all the recommendations.
SECTION 134. IC 6-1.1-14-7 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 7. The county assessor,
a township assessor (if any), or ten (10) or more taxpayers who are
affected by an equalization order issued under section 5 of this chapter
may file a petition for review of the order with the county assessor
auditor of the county to which the equalization order is issued. The
petition must be filed within ten (10) days after notice of the order is
given under section 9 of this chapter. The petition shall set forth, in the
form and detail prescribed by the department of local government
finance, the objections to the equalization order.
SECTION 135. IC 6-1.1-14-8 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2008]: Sec. 8. (a) If a petition for
review of an equalization order is filed with a county auditor under
section 7 of this chapter, the county auditor shall immediately mail a
certified copy of the petition and any information relevant to the
petition to the department of local government finance. Within a
reasonable period of time, the department of local government finance
shall fix a date for a hearing on the petition. The hearing shall be held
in the county to which the equalization order has been directed. At least
three (3) days before the date fixed for the hearing, the department of
local government finance shall give notice of the hearing by mail to the
township assessor (if any) and the county assessors assessor whose
assessments are assessment is affected by the order and to the first ten
(10) taxpayers whose names appear on the petition for review at the
addresses listed by those taxpayers on the petition. In addition, the
department of local government finance shall give the notice, if any,
required under section 9(a) of this chapter.
(b) After the hearing required by subsection (a), the department of
local government finance may affirm, modify, or set aside its
equalization order. The department shall certify its action with respect
to the order to the county auditor. The county auditor shall immediately
make any changes in the assessed values required by the action of the
department of local government finance.
(c) A person whose name appears on the petition for review may
petition for judicial review of the final determination of the department
of local government finance under subsection (b). The petition must be
filed in the tax court not more than forty-five (45) days after the
department certifies its action under subsection (b).
SECTION 136. IC 6-1.1-14-9 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JANUARY 1, 2008 (RETROACTIVE)]:
Sec. 9. (a) If a hearing is required under section 4 or section 8 of this
chapter, the department of local government finance shall give notice
to the taxpayers of each county for which the department is to consider
an increase in the assessments. The notice shall state the time, place,
and object of the public hearing on the assessments. The department of
local government finance shall give the notice in the manner prescribed
in subsection (c).
(b) If an equalization order is issued under section 5 of this chapter,
the department of local government finance shall give notice of the
order to the taxpayers of each county to which the order is directed.
The department of local government finance shall give the notice in the
manner provided in subsection (c). The notice required by this
subsection is in lieu of the notices required by IC 6-1.1-3-13
IC 6-1.1-3-20 or IC 6-1.1-4-22.
(c) A notice required by this section shall be published once in:
(1) two (2) newspapers of general circulation published in the
county; or
(2) one (1) newspaper of general circulation published in the
county if two (2) newspapers of general circulation are not
published in the county.
If there are no newspapers of general circulation published in the
county, the notice shall be given by posting a statement of the time,
place, and object of the hearing in the county courthouse at the usual
place for posting public notices. The published or posted notice of a
hearing shall be given at least ten (10) days before the time fixed for
the hearing.
SECTION 137. IC 6-1.1-15-1, AS AMENDED BY P.L.1-2008,
SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2008]: Sec. 1. (a) A taxpayer may obtain a review by the
county board of a county or township official's action with respect to
either or both of the following:
(1) The assessment of the taxpayer's tangible property. if the
official's action requires the giving of notice to the taxpayer:
(2) A deduction for which a review under this section is
authorized by any of the following:
(A) IC 6-1.1-12-25.5.
(B) IC 6-1.1-12-28.5.
(C) IC 6-1.1-12-35.5.
(D) IC 6-1.1-12.1-5.
(E) IC 6-1.1-12.1-5.3.
(F) IC 6-1.1-12.1-5.4.
(b) At the time that notice of an action referred to in subsection
(a) is given to the taxpayer, the taxpayer shall also be informed in
writing of:
(1) the opportunity for a review under this section, including a
preliminary informal meeting under subsection (h) subsection
(h)(2) with the county or township official referred to in this
subsection; and
(2) the procedures the taxpayer must follow in order to obtain a
review under this section.
(b) (c) In order to obtain a review of an assessment or deduction
effective for the assessment date to which the notice referred to in
subsection (a) subsection (b) applies, the taxpayer must file a notice in
writing with the county or township official referred to in subsection (a)
not later than forty-five (45) days after the date of the notice referred
to in subsection (a). subsection (b).
(c) (d) A taxpayer may obtain a review by the county board of the
assessment of the taxpayer's tangible property effective for an
assessment date for which a notice of assessment is not given as
described in subsection (a). subsection (b). To obtain the review, the
taxpayer must file a notice in writing with the township assessor, of the
township in which the property is subject to assessment. or the county
assessor if the township is not served by a township assessor. The
right of a taxpayer to obtain a review under this subsection for an
assessment date for which a notice of assessment is not given does not
relieve an assessing official of the duty to provide the taxpayer with the
notice of assessment as otherwise required by this article. For an
assessment date in a year before 2009, the notice must be filed on or
before May 10 of the year. For an assessment date in a year after 2008,
the notice must be filed not later than the later of:
(1) May 10 of the year; or
(2) forty-five (45) days after the date of the statement mailed by
the county auditor under IC 6-1.1-17-3(b).
(d) (e) A change in an assessment made as a result of a notice for
review filed by a taxpayer under subsection (c) subsection (d) after the
time prescribed in subsection (c) subsection (d) becomes effective for
the next assessment date. A change in an assessment made as a result
of a notice for review filed by a taxpayer under subsection (b) or (c)
subsection (c) or (d) remains in effect from the assessment date for
which the change is made until the next assessment date for which the
assessment is changed under this article.
(e) (f) The written notice filed by a taxpayer under subsection (b) or
(c) subsection (c) or (d) must include the following information:
(1) The name of the taxpayer.
(2) The address and parcel or key number of the property.
(3) The address and telephone number of the taxpayer.
(g) The filing of a notice under subsection (c) or (d):
(1) initiates a review under this section; and
(2) constitutes a request by the taxpayer for a preliminary
informal meeting with the official referred to in subsection
(a).
(f) (h) A county or township official who receives a notice for
review filed by a taxpayer under subsection (b) or (c) subsection (c) or
(d) shall:
(1) immediately forward the notice to the county board; and
(2) attempt to hold a preliminary informal meeting with the
taxpayer to resolve as many issues as possible by:
(A) discussing the specifics of the taxpayer's assessment or
deduction;
(B) reviewing the taxpayer's property record card;
(C) explaining to the taxpayer how the assessment or
deduction was determined;
(D) providing to the taxpayer information about the
statutes, rules, and guidelines that govern the
determination of the assessment or deduction;
(E) noting and considering objections of the taxpayer;
(F) considering all errors alleged by the taxpayer; and
(G) otherwise educating the taxpayer about:
(i) the taxpayer's assessment or deduction;
(ii) the assessment or deduction process; and
(iii) the assessment or deduction appeal process.
(i) Not later than ten (10) days after the informal preliminary
meeting, the official referred to in subsection (a) shall forward to
the county auditor and the county board the results of the
conference on a form prescribed by the department of local
government finance that must be completed and signed by the
taxpayer and the official. The form must indicate the following:
(1) If the taxpayer and the official agree on the resolution of
all assessment or deduction issues in the review, a statement
of:
(A) those issues; and
(B) the assessed value of the tangible property or the
amount of the deduction that results from the resolution of
those issues in the manner agreed to by the taxpayer and
the official.
(2) If the taxpayer and the official do not agree on the
resolution of all assessment or deduction issues in the review:
(A) a statement of those issues; and
(B) the identification of:
(i) the issues on which the taxpayer and the official
agree; and
(ii) the issues on which the taxpayer and the official
disagree.
(j) If the county board receives a form referred to in subsection
(i)(1) before the hearing scheduled under subsection (k):
(1) the county board shall cancel the hearing;
(2) the county official referred to in subsection (a) shall give
notice to the taxpayer, the county board, the county assessor,
and the county auditor of the assessment or deduction in the
amount referred to in subsection (i)(1)(B); and
(3) if the matter in issue is the assessment of tangible
property, the county board may reserve the right to change
the assessment under IC 6-1.1-13.
(g) (k) If:
(1) subsection (i)(2) applies; or
(2) the county board does not receive a form referred to in
subsection (i) not later than one hundred twenty (120) days
after the date of the notice for review filed by the taxpayer
under subsection (c) or (d);
the county board shall hold a hearing on a review under this subsection
not later than one hundred eighty (180) days after the date of the that
notice. for review filed by the taxpayer under subsection (b) or (c). The
county board shall, by mail, give notice of the date, time, and place
fixed for the hearing to the taxpayer and the county or township official
with whom the taxpayer filed the notice for review. The taxpayer and
the county or township official with whom the taxpayer filed the notice
for review are parties to the proceeding before the county board. The
county assessor is recused from any action the county board takes
with respect to an assessment determination by the county
assessor.
(h) Before the county board holds the hearing required under
subsection (g), the taxpayer may request a meeting by filing a written
request with the county or township official with whom the taxpayer
filed the notice for review to:
(1) attempt to resolve as many issues under review as possible;
and
(2) seek a joint recommendation for settlement of some or all of
the issues under review.
SECTION 43, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2008]: Sec. 9. (a) If the assessment or exemption of tangible
property is corrected by the department of local government finance or
the county board under section 8 of this chapter, the owner of the
property has a right to appeal the final determination of the corrected
assessment or exemption to the Indiana board. The county assessor also
has a right to appeal the final determination of the reassessment or
exemption by the department of local government finance or the county
board, but only upon request by the county assessor, the elected
township assessor (if any), or an affected taxing unit. If the appeal is
taken at the request of an affected taxing unit, the taxing unit shall pay
the costs of the appeal.
(b) An appeal under this section must be initiated in the manner
prescribed in section 3 of this chapter or IC 6-1.5-5.
SECTION 139. IC 6-1.1-15-10, AS AMENDED BY P.L.219-2007,
SECTION 44, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
UPON PASSAGE]: Sec. 10. (a) If a petition for review to any board or
a proceeding for judicial review in the tax court regarding an
assessment or increase in assessment is pending, the taxes resulting
from the assessment or increase in assessment are, notwithstanding the
provisions of IC 6-1.1-22-9, not due until after the petition for review,
or the proceeding for judicial review, is finally adjudicated and the
assessment or increase in assessment is finally determined. However,
even though a petition for review or a proceeding for judicial review is
pending, the taxpayer shall pay taxes on the tangible property when the
property tax installments come due, unless the collection of the taxes
is enjoined under IC 33-26-6-2 pending a final determination in the
proceeding for judicial review. The amount of taxes which the taxpayer
is required to pay, pending the final determination of the assessment or
increase in assessment, shall be based on:
(1) the assessed value reported by the taxpayer on the taxpayer's
personal property return if a personal property assessment, or an
increase in such an assessment, is involved; or
(2) an amount based on the immediately preceding year's
assessment of real property if an assessment, or increase in
assessment, of real property is involved.
(b) If the petition for review or the proceeding for judicial review is
not finally determined by the last installment date for the taxes, the
taxpayer, upon showing of cause by a taxing official or at the tax court's
discretion, may be required to post a bond or provide other security in
an amount not to exceed the taxes resulting from the contested
assessment or increase in assessment.
(c) Each county auditor shall keep separate on the tax duplicate a
record of that portion of the assessed value of property that is described
in IC 6-1.1-17-0.5(b). When establishing rates and calculating state
school support, the department of local government finance shall
exclude from assessed value in the county the assessed value of
property kept separate on the tax duplicate by the county auditor under
IC 6-1.1-17-0.5(b). IC 6-1.1-17-0.5.
SECTION 140. IC 6-1.1-15-12, AS AMENDED BY P.L.219-2007,
SECTION 45, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2008]: Sec. 12. (a) Subject to the limitations contained in
subsections (c) and (d), a county auditor shall correct errors which are
discovered in the tax duplicate for any one (1) or more of the following
reasons:
(1) The description of the real property was in error.
(2) The assessment was against the wrong person.
(3) Taxes on the same property were charged more than one (1)
time in the same year.
(4) There was a mathematical error in computing the taxes or
penalties on the taxes.
(5) There was an error in carrying delinquent taxes forward from
one (1) tax duplicate to another.
(6) The taxes, as a matter of law, were illegal.
(7) There was a mathematical error in computing an assessment.
(8) Through an error of omission by any state or county officer,
the taxpayer was not given credit for an exemption or deduction
permitted by law.
(b) The county auditor shall correct an error described under
subsection (a)(1), (a)(2), (a)(3), (a)(4), or (a)(5) when the county
auditor finds that the error exists.
(c) If the tax is based on an assessment made or determined by the
department of local government finance, the county auditor shall not
correct an error described under subsection (a)(6), (a)(7), or (a)(8) until
after the correction is either approved by the department of local
government finance or ordered by the tax court.
(d) If the tax is not based on an assessment made or determined by
the department of local government finance, the county auditor shall
correct an error described under subsection (a)(6), (a)(7), or (a)(8) only
if the correction is first approved by at least two (2) of the following
officials:
(1) The township assessor (if any).