Reprinted
April 15, 2009



ENGROSSED

HOUSE BILL No. 1447

_____


DIGEST OF HB 1447 (Updated April 14, 2009 4:27 pm - DI 73)



Citations Affected: IC 3-11; IC 5-1; IC 5-28; IC 6-1.1; IC 6-2.5; IC 6-3; IC 6-3.1; IC 6-3.5; IC 6-4.1; IC 6-6; IC 6-8.1; IC 6-9; IC 8-22; IC 12-20; IC 12-29; IC 13-21; IC 14-33; IC 20-23; IC 20-26; IC 20-46; IC 20-49; IC 21-34; IC 22-4; IC 31-40; IC 33-26; IC 36-2; IC 36-3; IC 36-4; IC 36-6; IC 36-7; IC 36-8; IC 36-9; noncode.

Synopsis: Taxation. Provides that a county may continue to use an optical scan ballot card voting system or an electronic voting system whose approval or certification expired on or before October 1, 2009 if the voting system meets certain requirements. Provides that the Indiana election commission may approve a voting system for use in Indiana if the voting system meets the Voluntary Voting System Guidelines adopted by the United States Election Assistance Commission on December 13, 2005. Specifies that the maximum term of bonds is to be determined based on the date the bonds are issued. Provides that the maximum term or repayment period for obligations issued after June 30, 2009, that are wholly or partially payable from
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Effective: Upon passage; January 1, 2008 (retroactive); March 1, 2008 (retroactive); July 1, 2008 (retroactive); December 30, 2008 (retroactive); January 1, 2009 (retroactive); March 1, 2009 (retroactive); April 1, 2009 (retroactive); July 1, 2009; January 1, 2010; July 1, 2010.



Welch, Crawford, Turner, Davis
(SENATE SPONSORS _ HERSHMAN, BRODEN)


    January 13, 2009, read first time and referred to Committee on Ways and Means.
    February 19, 2009, amended, reported _ Do Pass.
    February 23, 2009, read second time, amended, ordered engrossed.
    February 24, 2009, engrossed.
    February 25, 2009, read third time, passed. Yeas 96, nays 2.

SENATE ACTION

    March 3, 2009, read first time and referred to Committee on Tax and Fiscal Policy.
    April 9, 2009, amended, reported favorably _ Do Pass.
    April 14, 2009, read second time, amended, ordered engrossed.



Digest Continued

lease rental payments is 20 years after the date of the first lease rental payment. Provides that bonds issued for a hospital for the health and hospital corporation are not subject to the 20 year maximum term. Deletes the statute requiring a general reassessment to begin in 2009. Requires the county assessor of each county to prepare and submit to the department of local government finance (DLGF) a reassessment plan for the county. Specifies that the reassessment plan is subject to approval by the DLGF. Provides that the reassessment plan must divide all parcels of real property in the county into different groups of parcels. Requires that each group of parcels must contain at least 20% of the parcels within each class of real property in the county. Provides that the reassessment of the first group of parcels under a county's reassessment plan must begin on July 1, 2010, and must be completed on or before March 1, 2011. Provides that if a county is more than 12 months behind in submitting certified net assessed valuations to the DLGF, the county shall have a trending factor based on property class and location developed and applied to the assessed values of properties within the county. Requires the DLGF to develop the trending factors. Specifies that the trending factor shall be applied to expedite the property assessment to the property tax billing cycle so that the county may achieve current and regular assessments and billing before the start of the next reassessment cycle. Provides that a petition for reassessment of a group of parcels must be signed by not less than 100 real property owners or 5% of real property owners and must be filed with the DLGF not later than 45 days after notice of assessment is provided. Provides that the county assessor determines the values of all classes of land in the county. Provides that a petition for the review of the land values determined by the county assessor may be filed with the DLGF. Requires the petition to be signed by at least the lesser of: (1) 100 property owners in the county; or (2) 5% of the property owners in the county. Requires the DLGF to be a party to any addendum to a contract: (1) between a county assessor and a professional appraiser; and (2) between a county and providers of assessment software. Specifies assessment procedures for golf courses. Provides that if an assessing official assesses or reassesses any real property, a tax statement or, if applicable, a reconciling property tax statement is notice to the taxpayer of the amount of the assessment or reassessment. For real property with new additions or improvements since the previous assessment date, requires a separate notice to be provided within 90 days after the assessor completes the appraisal of a parcel or receives a report for a parcel from a professional appraiser. Eliminates the requirement that a property tax exemption application be filed every two years for certain property owned, occupied, and used by a person for educational, literary, scientific, religious, or charitable purposes. Provides that a change in ownership of tangible property that continues to be used for an exempt purpose does not terminate an exemption but requires an owner notify the county assessor of the change in ownership. Establishes procedures concerning property tax deductions. Specifies when a mobile or manufactured home may be treated as inventory, and permits the waiver of property taxes on an abandoned mobile or manufactured home, upon petition by the title holder, when the property tax liability exceeds the resale value of the property. Extends the model home property tax assessed value deduction to 2008 assessments of model homes for property taxes first due and payable in 2009. Defines "registered voter" for purposes of the statute specifying who is eligible to sign a petition requesting a referendum for a controlled project. Allows the legislative body of a political subdivision to adopt a resolution withdrawing a controlled project from consideration at a referendum. Specifies that if a public question on a controlled project is withdrawn, a referendum on the same controlled project or a substantially similar controlled project may not be submitted to the voters earlier than one year after the date
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the resolution withdrawing the referendum is adopted. Requires the DLGF to post certain information regarding a proposed controlled project on the department's Internet web site. Provides that an elected or appointed public official of the political subdivision may advocate for or against a position on the petition or remonstrance or local public question for a controlled project so long as it is not done during the official's normal working hours or paid overtime or by using public funds. Provides that a public utility company's tangible personal property that is locally assessed as fixed property is instead assessed as distributable property. Exempts public utility and governmental easement documents from the property sale disclosure filing requirement. Provides that levy limits do not apply to a civil taxing unit in the first year in which the civil taxing unit becomes a participating unit in a fire protection territory. Specifies that in the first year in which a civil taxing unit becomes a participating unit in a fire protection territory, the civil taxing unit shall submit its proposed budget, proposed property tax levy, and proposed property tax rate for the fire protection territory to the DLGF for approval. Specifies that participating units in a fire protection territory may agree to change the provider unit of the territory. Eliminates the authority of a county assessor to appeal an assessment of industrial property by the DLGF. Permits a county that wants to impose a property tax levy for the first time after 2008 for a community mental health center or a community mental retardation and other developmental disabilities center to submit a first year budget for approval by the department of local government finance. Provides that the first year levy for the approved budget is outside the property tax levy limit. Provides that in the case of a taxing unit that is governed by a nonelected board and is required to submit its proposed budget and property tax levy to a municipal fiscal body for approval, the proposed budget and property tax levy must be submitted at least 30 days (rather than 14 days, under current law) before the municipal fiscal body is required to hold budget approval hearings. Makes changes to local budgeting deadlines. Removes the expiration date for the county boards of tax adjustment. Eliminates the local government tax control board and the school property tax control board. Changes the tax increment replacement amount for a tax increment financing (TIF) district in Marion County so that the personal property increment may be used regarding obligations issued before May 8, 1989. Eliminates the state board of accounts approval of the property tax statement. Removes the tax rate and percentage change in liability from the property tax statement. Provides that in the case of property taxes billed under a provisional tax statement: (1) the first installment is due on the later of May 10 of the year following the year of the assessment date or 30 days after the mailing of the provisional tax statement; and (2) the second installment is due on the later of November 10 of the year following the year of the assessment date or a date determined by the county treasurer that is not later than December 31 of the year following the year of the assessment date. Requires provisional tax statements and reconciling tax statements to be on forms prescribed by the DLGF. Provides that the tax liability under a provisional tax statement may be up to 100% of the tax liability that was payable in the same year as the assessment date for the property for which the provisional tax statement is issued. Requires a provisional tax statement to include any adjustments to the tax liability as prescribed by the DLGF. Provides that the county assessor is a nonvoting member of the property tax assessment board of appeals. Provides that the county commissioners make three (rather than two) appointments to the property tax assessment board of appeals. Provides a sales tax exemption for certain property acquired by a person that furnishes video service and uses the property to provide telecommunications services. Provides a sales tax exemption for equipment and devices used to monitor blood glucose level.
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Provides an individual income tax deduction of up to $1,000 for the installation of solar powered roof vents or fans. Specifies that for research expense incurred after December 31, 2009, a taxpayer may choose to have the amount of the research expense tax credit determined under the existing calculation or under an alternative calculation providing the amount of the credit is equal to 10% of the part of the taxpayer's Indiana qualified research expense for the year that exceeds 50% of the taxpayer's average Indiana qualified research expense for the preceding three years. Legalizes the method used by the DLGF to reduce the 2009 maximum permissible ad valorem property tax levy of taxing units that paid benefits to members of the 1925 police pension fund, the 1937 firefighters' pension fund, or the 1953 police pension fund. Allows townships to provide fire protection or emergency services within a municipality that lies at least in part in the township and does not have a full-time, paid fire department without contracts if both legislative bodies approve. (Current law requires a municipality to lie entirely within the township to permit the arrangement.) Specifies that the provisions requiring the calculation and use of school assessment ratios and adjustment factors apply only to school corporations in counties in which a supplemental county levy is imposed. Repeals a provision requiring the calculation of a state average assessment ratio. Provides that a school corporation is to receive its proportionate share of any delinquent property taxes paid that are attributable to a year in which the school corporation did not receive 100% of its general fund distribution because of unpaid taxes. Exempts nonelected school boards from the law requiring taxing units with nonelected governing bodies to have bond issues and leases approved by the fiscal body of a county, city, or town. Provides that the budgets, tax levies, and bond issuance of a taxing unit in Marion County that: (1) is entirely within an excluded city; and (2) has an unelected governing body; are reviewable by the fiscal body of the excluded city. Requires a county income tax council to hold at least one public meeting in each odd-numbered year at which the council discusses whether the county option income tax rate should be adjusted. Provides that the board of a conservancy district may, subject to any required budget review and approval, increase the conservancy district's budget by not more than 10% for contingencies. (Current law requires the budget to be increased by 10% for contingencies.) Specifies the interest rate paid on certain conservancy district assessments after June 30, 2009, that are paid in installments. Increases the maximum amount of bonds that may be outstanding for a state educational institution's qualified energy savings projects from $10,000,000 to $15,000,000. Provides that under the statute authorizing political subdivisions to borrow from a financial institution to finance a public work project, the maximum term of the loan is ten years (rather than six years, under current law). Allows county option income tax revenue to be used to pay certain redevelopment bonds. Provides that for the first year that a property tax will be imposed by a solid waste management district, the district's board must present identical resolutions to each of the county fiscal bodies within the district seeking approval for the use of the property tax revenue. Provides that a district is subject to the statute that requires an entity with a nonelected board to get county council approval of the entity's proposed property tax levies and budget when the entity's budget is growing faster than the assessed value growth quotient. Requires the district's annual budget to be approved by a majority vote of all members of the board. Provides that in the case where all but one of the counties participating in a joint district have withdrawn from the joint district or have been removed from the joint district, the county that did not withdraw or was not removed from the joint district must designate itself as a new county district, join one or more other counties to form a new joint district, or join an existing joint district. Makes other
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changes concerning solid waste management districts. Makes changes to bring Indiana in conformance with the Streamlined Sales and Use Tax Agreement as amended through September 5, 2008. Requires the use tax to be paid at the time of registering a watercraft that is a United States Coast Guard documented vessel. Requires new retail merchants to file returns and remit sales tax electronically. Provides relief for retail merchants if there is a change in the sales and use tax rate. Provides that the sale of Internet access service or certain ancillary service telecommunication services are sourced to the customer's place of primary use. Requires refiners, terminal operators, and qualified distributors to remit prepaid state gross retail taxes through the department's online tax filing system. Requires the department of state revenue to determine a new sales tax prepayment rate on gasoline every three months. Makes other changes concerning sales tax. Eliminates the requirement to publish the prepayment rate change in the Indiana Register. Allows the department of state revenue, subject to office of management and budget approval, to make a new prepayment rate determination if the price of gasoline has changed by at least 25% since the most recent determination. Uses 80% instead of 90% of the estimated tax liability in making the determination. Provides that an inheritance tax lien terminates on the earlier of: (1) the date the inheritance tax is paid; (2) when certain affidavits are filed specifying that no tax is due; or (3) ten years (rather than five years, under current law) after the date of the decedent's death. Changes the inheritance tax interest accrual date. Provides that September 1 is the deadline for International Fuel Tax Agreement applications to be filed in order to receive the permit by January 1. Allows a repair and maintenance permit to be used by unregistered off-road vehicles to move from and to a quarry or mine for the purpose of repair. Requires the department of state revenue (department) to post on the department's web site the name of every registered retail merchant that has not renewed its retail merchant certificate or whose certificate has been revoked. Provides that a foreign real estate investment trust that has a tax treaty with the United States or a listed property trust will not be included in the add back to adjusted gross income as a captive REIT. Adds a definition of "pass through entity". Provides that income from a pass through entity shall be characterized in a manner consistent with the income's characterization for federal income tax purposes and attributed to Indiana as if the person, corporation, or pass through entity that received the income had directly engaged in the income producing activity. Provides that an individual may claim a deduction for state income tax purposes for property taxes that: (1) were imposed on the individual's principal place of residence for the March 1, 2007, assessment date or the January 15, 2008, assessment date; (2) are due after December 31, 2008; and (3) are paid in 2009 on or before the due date for the property taxes. For purposes of the tax credit for contributions to the college choice 529 education savings plan: (1) defines "contribution" to exclude rollovers from other 529 savings plans; and (2) excludes value added to the account through earnings of bonus points. Allows the department of state revenue to disallow the 529 savings plan income tax credit if tax avoidance is the principal purpose of the contribution. Includes vehicles that operate on biodiesel or diesel fuel for purposes of the Hoosier alternative fuel vehicle manufacturer income tax credit. Provides that the ability to opt out of electronic filing when using a paid tax preparer is available only to a taxpayer who claims the additional exemption for the elderly or who has opted out of participating in federal Social Security programs because of religious beliefs. Requires all new withholding tax registrants to file returns and remit the withholding taxes electronically through the department's online tax filing program. Provides that for winnings that exceed $1,200 on gambling games at racetracks, the operator is required to withhold adjusted gross income tax from the
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winnings. Amends the county adjusted gross income tax, county option income tax, and county economic development income tax statutes to provide that the budget agency (rather than the department) certifies the revenue distribution to counties. Requires the department to provide relief under the gasoline tax statutes where a shipment of gasoline is legitimately diverted from the represented destination state after the shipping paper has been issued by the terminal operator or where the terminal operator failed to cause proper information to be printed on the shipping paper. Repeals the requirement that a person must obtain an import verification number in certain circumstances to import special fuel into Indiana. Specifies that road tractors are included in the definition of "commercial vehicle" for purposes of the commercial vehicle excise tax. Provides that a taxing unit's calendar year commercial motor vehicle excise tax distribution is based on the amount of tax collected in the preceding state calendar year (rather than 105% of the prior year's base revenue). Provides that a county's base revenue for purposes of the commercial motor vehicle excise tax is equal to its distribution percentage multiplied by the amount of tax revenue collected in the preceding state fiscal year. Requires an airport operator to submit reports to the department listing aircraft stationed at the airport. Provides that if the airport operator submits an incomplete report, the airport operator is subject to a civil penalty of $100 per aircraft not properly included in the report. Makes other changes related to department of state revenue administration of tax laws. Adds the utility receipts tax to the taxes for which a six, versus a three, year limit on assessment applies if gross receipts are understated by at least 25%. Exempts beer brand and packaged type from the department's confidentiality law. Provides a refund of gross income taxes erroneously paid for 2003 and 2004 by a town if the town also paid the utilities receipts tax for the same year. Provides that before January 1, 2013, a designating body may adopt a resolution providing the exemption to an eligible business for enterprise information technology equipment. Requires that the designating body and the eligible business enter into an agreement concerning the property tax exemption, which must specify the duration of the property tax exemption and may specify that a transferee is entitled to the exemption on the same terms as the transferor. Specifies that the exemption continues for the period specified in the agreement, notwithstanding the January 1, 2013, deadline to adopt a resolution granting an exemption. Provides that any administrative fees charged by a fire department's agent must be paid only from fees that are collected and allowed by Indiana law and the fire marshal's schedule of fees. Specifies that an agent who processes fees on behalf of a fire department shall send all bills, notices, and other related materials to both the fire department and the person being billed for services. Provides that certain parental reimbursement obligation shall be paid directly to the department of child services and not to the local court clerk so long as the child in need of services case, juvenile delinquency case, or status offense case is open. Specifies certain requirements for contracts between the department of child services regarding collection of parental reimbursement amounts. Provides that the population of the town of Fairland for purposes of certain Indiana laws is 325. Extends the Hoosier business investment tax credit through 2015. Adds Wabash County to the counties that may annex noncontiguous property to be used as an industrial park. Specifies that the maximum term of bonds or leases in a TIF district is to be determined based on the date the obligation is entered into (applies to districts created and obligations entered into after June 30, 2008). Provides for two semiannual installments of revenue replacing homestead credits granted to taxpayers in 2009 and 2010. Provides a school in Marion County additional time to file for a property tax exemption for taxes payable in 2007, 2008, and 2009, and authorizes a refund of taxes paid for 2007 and 2008. Provides a church in Marion

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County additional time to file for a property tax exemption for taxes imposed for the 2008 assessment date for land that it purchased in 2007 that is adjacent to the church's already exempt property. Allows borrowing by a fire protection district that was initially established in 2006, has experienced significant revenue shortfalls due to cumulative mathematical errors in the calculation of its maximum permissible property tax levies in 2007 and 2008, and may experience a significant revenue shortfall in 2009 and 2010 requiring the district to seek funds in addition to the amounts certified for the district's current budget to provide fire protection to district residents. Permits a county to transfer to the county's rainy day fund any money that was transferred from the county's family and children's fund and from the county's children's psychiatric residential treatment services fund to the county's levy excess fund as required in 2008. Allows the Pendleton Library to impose annual capital project fund levies that exceed the usual limits. Provides that a county that had $10,000,000 transferred to the county's levy excess fund from the county's family and children's fund and the county's children's psychiatric residential treatment services fund to the county's levy excess fund, as required by P.L.146-2008, may distribute the money transferred to the county's levy excess fund as follows: (1) $1,000,000 must be distributed to the county's rainy day fund; (2) two-thirds of the remainder must be distributed to the civil taxing units in the county using the same allocation used for local income taxes. Requires the commission on state tax and financing policy to study the allocation of local option income tax revenues to taxing units and report its findings and any recommendations to the legislative council before November 1, 2009. Makes other changes concerning property taxation. (The introduced version of this bill was prepared by the commission on state tax and financing policy.)


Reprinted

April 15, 2009

First Regular Session 116th General Assembly (2009)


PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in this style type.
Additions: Whenever a new statutory provision is being enacted (or a new constitutional provision adopted), the text of the new provision will appear in this style type. Also, the word NEW will appear in that style type in the introductory clause of each SECTION that adds a new provision to the Indiana Code or the Indiana Constitution.
Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts between statutes enacted by the 2008 Regular Session of the General Assembly.


ENGROSSED

HOUSE BILL No. 1447



    A BILL FOR AN ACT to amend the Indiana Code concerning taxation.

Be it enacted by the General Assembly of the State of Indiana:

SOURCE: IC 3-11-15-13.3; (09)EH1447.2.1. -->     SECTION 1. IC 3-11-15-13.3, AS AMENDED BY P.L.164-2006, SECTION 118, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 13.3. (a) To be approved by the commission for use in Indiana, a voting system must meet:
         (1) the Voting System Standards adopted by the Federal Election Commission on April 30, 2002; or
        (2) the Voluntary Voting System Guidelines adopted by the United States Election Assistance Commission on December 13, 2005.
    (b) A county may continue to use an optical scan ballot card voting system or an electronic voting system whose approval or certification expired on or before October 1, 2005, 2009, if the voting system:
        (1) was:
            (A) approved by the commission for use in elections in Indiana before October 1, 2005; 2009; and
            (B) purchased by the county before October 1, 2005; 2009; and
        (2) otherwise complies with the applicable provisions of HAVA and this article.
However, a voting system vendor may not market, sell, lease, or install a voting system described in this subsection.
    (c) As provided by 42 U.S.C. 15481, to be used in an election in Indiana, a voting system must be accessible for individuals with disabilities, including nonvisual accessibility for the blind and visually impaired, in a manner that provides the same opportunity for access and participation (including privacy and independence) as for other voters.
    (d) As provided by 42 U.S.C. 15481, an election board conducting an election satisfies the requirements of subsection (c) if the election board provides at least one (1) electronic voting system or other voting system equipped for individuals with disabilities at each polling place.
    (e) If a voter who is otherwise qualified to cast a ballot in a precinct chooses to cast the voter's ballot on the voting system provided under subsection (d), the voter must be allowed to cast the voter's ballot on that voting system, whether or not the voter is an individual with disabilities.
SOURCE: IC 5-1-14-10; (09)EH1447.2.2. -->     SECTION 2. IC 5-1-14-10, AS AMENDED BY P.L.146-2008, SECTION 29, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: 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 16-22-8-43, IC 36-7-12-27, or IC 36-7-14-25.1, or IC 36-9-13-30 (but only with respect to any bonds issued under IC 36-9-13-30 that are secured by a lease entered into by a political subdivision organized and existing under IC 16-22-8), 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 after the date of their issuance, for obligations that are wholly or partially payable from tax increment revenues derived from property taxes;
         (3) twenty (20) years after the date of the first lease rental payment, for obligations issued after June 30, 2009, that are wholly or partially payable from lease rental payments; or
        (3) (4) twenty (20) years after the date of their issuance, for obligations that are not described in subdivision (1), or (2), or (3) and are wholly or partially payable from ad valorem property taxes or special benefit taxes on property.

SOURCE: IC 5-28-26-18; (09)EH1447.2.3. -->     SECTION 3. IC 5-28-26-18, AS AMENDED BY P.L.146-2008, SECTION 44, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: 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 after the date of their issuance, for bonds issued before July 1, 2008; or
        (2) twenty-five (25) years after the date of their issuance, 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;
        (10) municipal bond insurance, debt service reserve insurance, letters of credit, or other credit enhancement; and
        (11) in the case of refunding or refinancing, payment of the principal of, redemption premiums, if any, for, and interest on, the bonds being refunded or refinanced.
    (h) A unit that issues bonds under this section may enter an interlocal agreement with any other unit located in the area served by the district in which the global commerce center is designated. A party to an agreement under this section may pledge any of its revenues, including taxes or allocated taxes under IC 36-7-14, to the bonds or lease rental obligations of another party to the agreement.
SOURCE: IC 6-1.1-1-3.8; (09)EH1447.2.4. -->     SECTION 4. IC 6-1.1-1-3.8 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2009 (RETROACTIVE)]: Sec. 3.8. "Civil taxing unit" has the meaning set forth in IC 6-1.1-18.5-1.
SOURCE: IC 6-1.1-1-8.2; (09)EH1447.2.5. -->     SECTION 5. IC 6-1.1-1-8.2 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 8.2. "Homestead" has the meaning set forth in IC 6-1.1-12-37.
SOURCE: IC 6-1.1-1-8.4; (09)EH1447.2.6. -->     SECTION 6. IC 6-1.1-1-8.4, AS ADDED BY P.L.146-2008, SECTION 47, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2009 (RETROACTIVE)]: Sec. 8.4. (a) "Inventory" means:
        (1) materials held for processing or for use in production;
        (2) finished or partially finished goods of a manufacturer or processor; and
        (3) property held for sale in the ordinary course of trade or business.
     (b) The term includes:
         (1) items that qualify as inventory under 50 IAC 4.2-5-1 (as effective December 31, 2008); and
        (2) subject to subsection (c), a mobile home or manufactured home that:
            (A) does not qualify as real property;
            (B) is located in a mobile home community; and
            (C) has never been occupied.
SOURCE: IC 6-1.1-1-8.8; (09)EH1447.2.7. -->     SECTION 7. IC 6-1.1-1-8.8 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE

JANUARY 1, 2009 (RETROACTIVE)]: Sec. 8.8. "Mobile home community" has the meaning set forth in IC 16-41-27-5.

SOURCE: IC 6-1.1-3-22; (09)EH1447.2.8. -->     SECTION 8. IC 6-1.1-3-22 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2009 (RETROACTIVE)]: Sec. 22. (a) Except to the extent that it conflicts with a statute and subject to subsection (f), 50 IAC 4.2 (as in effect January 1, 2001), which was formerly incorporated by reference into this section, is reinstated as a rule.
    (b) Tangible personal property within the scope of 50 IAC 4.2 (as in effect January 1, 2001) shall be assessed on the assessment dates in calendar years 2003 and thereafter in conformity with 50 IAC 4.2 (as in effect January 1, 2001).
    (c) The publisher of the Indiana Administrative Code shall publish 50 IAC 4.2 (as in effect January 1, 2001) in the Indiana Administrative Code.
    (d) 50 IAC 4.3 and any other rule to the extent that it conflicts with this section is void.
    (e) A reference in 50 IAC 4.2 to a governmental entity that has been terminated or a statute that has been repealed or amended shall be treated as a reference to its successor.
    (f) The department of local government finance may not amend or repeal the following (all as in effect January 1, 2001):
        (1) 50 IAC 4.2-4-3(f).
        (2) 50 IAC 4.2-4-7.
        (3) 50 IAC 4.2-4-9.
        (4) 50 IAC 4.2-5-7.
        (5) 50 IAC 4.2-5-13.
        (6) (4) 50 IAC 4.2-6-1.
        (7) (5) 50 IAC 4.2-6-2.
        (8) (6) 50 IAC 4.2-8-9.
SOURCE: IC 6-1.1-4-4; (09)EH1447.2.9. -->     SECTION 9. IC 6-1.1-4-4, AS AMENDED BY P.L.146-2008, SECTION 64, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 4. (a) A general reassessment, involving a physical inspection of all real property in Indiana, shall begin July 1, 2000, and be the basis for taxes payable in 2003. The county assessor of each county shall, before January 1, 2010, prepare and submit to the department of local government finance a reassessment plan for the county. The following apply to a reassessment plan prepared and submitted under this section:
        (1) The reassessment plan is subject to approval by the department of local government finance.
        (2) The department of local government finance shall

determine the classes of real property to be used for purposes of this section.
        (3) Except as provided in subsection (b), the reassessment plan must divide all parcels of real property in the county into five (5) different groups of parcels. Each group of parcels must contain approximately twenty percent (20%) of the parcels within each class of real property in the county.
        (4) Except as provided in subsection (b), all real property in each group of parcels shall be reassessed under the county's reassessment plan once during each five (5) year cycle.
        (5) The reassessment of a group of parcels in a particular class of real property shall begin on July 1 of a year.
        (6) The reassessment of parcels:
            (A) must include a physical inspection of each parcel of real property in the group of parcels that is being reassessed; and
            (B) shall be completed on or before March 1 of the year after the year in which the reassessment of the group of parcels begins.
        (7) For real property included in a group of parcels that is reassessed, the reassessment is the basis for taxes payable in the year following the year in which the reassessment is to be completed.
    (b) A general reassessment, involving a physical inspection of all real property in Indiana, shall begin July 1, 2009, and each fifth year thereafter. Each reassessment under this subsection:
        (1) shall be completed on or before March 1 of the year that succeeds by two (2) years the year in which the general reassessment begins; and
        (2) shall be the basis for taxes payable in the year following the year in which the general assessment is to be completed.
    (c) In order to ensure that assessing officials 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 assessing officials of each county.
     (b) A county may submit a reassessment plan that provides for reassessing more than twenty percent (20%) of all parcels of real property in the county in a particular year. A plan may provide that all parcels are to be reassessed in one (1) year. However, a plan must cover a five (5) year period and provide that at least twenty percent (20%) of all parcels will be reassessed each year during the five (5) year period. Each group of parcels must contain

approximately an equal percentage of the parcels within each class of real property in the county. All real property in each group of parcels shall be reassessed under the county's reassessment plan once during each reassessment cycle.
    (c) The reassessment of the first group of parcels under a county's reassessment plan shall begin on July 1, 2010, and shall be completed on or before March 1, 2011.

SOURCE: IC 6-1.1-4-4.5; (09)EH1447.2.10. -->     SECTION 10. IC 6-1.1-4-4.5, AS AMENDED BY P.L.228-2005, SECTION 4, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 4.5. (a) The department of local government finance shall adopt rules establishing a system for annually adjusting the assessed value of real property to account for changes in value in those years since a general reassessment of under a county's reassessment plan for the property last took effect.
    (b) Subject to subsection (e), the system must be applied to adjust assessed values beginning with the 2006 assessment date and each year thereafter that is not a year in which a reassessment under the county's reassessment plan for the property becomes effective.
    (c) The rules adopted under subsection (a) must include the following characteristics in the system:
        (1) Promote uniform and equal assessment of real property within and across classifications.
        (2) Require that assessing officials:
            (A) reevaluate the factors that affect value;
            (B) express the interactions of those factors mathematically;
            (C) use mass appraisal techniques to estimate updated property values within statistical measures of accuracy; and
            (D) provide notice to taxpayers of an assessment increase that results from the application of annual adjustments.
        (3) Prescribe procedures that permit the application of the adjustment percentages in an efficient manner by assessing officials.
    (d) The department of local government finance must review and certify each annual adjustment determined under this section.
    (e) In making the annual determination of the base rate to satisfy the requirement for an annual adjustment under subsection (a), the department of local government finance shall determine the base rate using the methodology reflected in Table 2-18 of Book 1, Chapter 2 of the department of local government finance's Real Property Assessment Guidelines (as in effect on January 1, 2005), except that the department shall adjust the methodology to use a six (6) year rolling average instead of a four (4) year rolling average.
SOURCE: IC 6-1.1-4-4.6; (09)EH1447.2.11. -->     SECTION 11. IC 6-1.1-4-4.6 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 4.6. (a) If a township assessor or county assessor fails to perform an action required in a rule adopted by the department of local government finance and applicable to the conduct of an annual adjustment of the assessed value of real property under section 4.5 of this chapter by the deadline for the action set forth in a law or rule, the department of local government finance shall develop annual adjustment factors under this section. In developing annual adjustment factors under this subsection, the department of local government finance shall use data in its possession that is obtained from:
        (1) the county assessor; or
        (2) any of the sources listed in the rule, including county or state sales data, government studies, ratio studies, cost and depreciation tables, and other market analyses.
    (b) Using the data described in subsection (a), the department of local government finance shall propose to establish annual adjustment factors for the affected tax districts for one (1) or more of the classes of real property. The proposal may include for the equalization of annual adjustment factors in the affected township or county and in adjacent areas. The department of local government finance shall issue notice and provide opportunity for hearing in accordance with IC 6-1.1-14-4 and IC 6-1.1-14-9, as applicable, before issuing final annual adjustment factors.
    (c) The annual adjustment factors finally determined by the department of local government finance after the hearing required under subsection (b) apply to the annual adjustment of real property under section 4.5 of this chapter for:
        (1) the assessment date; and
        (2) the real property;
specified in the final determination of the department of local government finance.
SOURCE: IC 6-1.1-4-6; (09)EH1447.2.12. -->     SECTION 12. IC 6-1.1-4-6 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 6. If the department of local government finance determines that a petition filed under section 5 of this chapter has been signed by the required number of petitioners and that the present assessed value of any real property is inequitable, the department of local government finance shall order a reassessment of the real property which has been inequitably assessed. in the group for which the petition was filed. The order shall specify the time within which the reassessment shall be completed

and the date on which the reassessment shall become effective.

SOURCE: IC 6-1.1-4-9; (09)EH1447.2.13. -->     SECTION 13. IC 6-1.1-4-9 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 9. In order to maintain a just and equitable valuation of real property, the department of local government finance may adopt a resolution declaring its belief that it is necessary to reassess all or a portion of the real property located within this state. If the department of local government finance adopts a reassessment resolution and if either a township or a larger area is one (1) or more groups of parcels under the county's reassessment plan are involved, the department shall hold a hearing concerning the necessity for the reassessment at the courthouse of the county in which the property is located. The department of local government finance shall give notice of the time and place of the hearing in the manner provided in section 10 of this chapter. After the hearing, or if the area involved is less than a township, only one (1) group of parcels under the county's reassessment plan, after the adoption of the resolution of the department of local government finance, the department may order any reassessment it deems necessary. The order shall specify the time within which the reassessment must be completed and the date the reassessment will become effective.
SOURCE: IC 6-1.1-4-13.6; (09)EH1447.2.14. -->     SECTION 14. IC 6-1.1-4-13.6, AS AMENDED BY P.L.146-2008, SECTION 68, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: 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, 2010, and every fifth year thereafter, 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 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 fails to submit determine land values under subsection (a) to the county property tax assessment board of appeals before the November 1 of the year before the date the general reassessment under section 4 of this chapter becomes effective, deadline, 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 land values become 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. Assessing officials shall use the values determined under this section.
     (d) A petition for the review of the land values determined by a county assessor under this section may be filed with the department of local government finance not later than forty-five (45) days after the county assessor makes the determination of the land values. The petition must be signed by at least the lesser of:
        (1) one hundred (100) property owners in the county; or
        (2) five percent (5%) of the property owners in the county.
    (e) Upon receipt of a petition for review under subsection (d), the department of local government finance:
        (1) shall review the land values determined by the county assessor; and
        (2) after a public hearing, shall:
            (A) approve;
            (B) modify; or
            (C) disapprove;
        the land values.

SOURCE: IC 6-1.1-4-16; (09)EH1447.2.15. -->     SECTION 15. IC 6-1.1-4-16, AS AMENDED BY P.L.146-2008, SECTION 70, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 16. (a) For purposes of making a general reassessment of real property under a county's reassessment plan or annual adjustments under section 4.5 of this chapter, a township assessor (if any) and 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.
SOURCE: IC 6-1.1-4-17; (09)EH1447.2.16. -->     SECTION 16. IC 6-1.1-4-17, AS AMENDED BY P.L.146-2008, SECTION 71, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: 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 county assessor 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 and any addendum to the employment contract.
    (b) A decision by a county assessor to not employ a professional appraiser as a technical advisor in a general reassessment under a county's reassessment plan is subject to approval by the department of local government finance.
    (c) As used in this chapter, "professional appraiser" means an individual or firm that is certified under IC 6-1.1-31.7.
SOURCE: IC 6-1.1-4-19.5; (09)EH1447.2.17. -->     SECTION 17. IC 6-1.1-4-19.5, AS AMENDED BY P.L.146-2008, SECTION 73, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: 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 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;
        (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 and any addendum to the contract.
The department of local government finance may devise other necessary provisions for the contracts in order to give effect to 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
        (3) any combination of subdivisions (1) and (2).
The department may approve special contract language in order to meet any unusual situations.

SOURCE: IC 6-1.1-4-20; (09)EH1447.2.18. -->     SECTION 18. IC 6-1.1-4-20, AS AMENDED BY P.L.146-2008, SECTION 74, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 20. The department of local government finance may establish a period, with respect to each general reassessment under a county's reassessment plan, that is the only time during which a county assessor may enter into a contract with a professional appraiser. The period set by the department of local government finance may not begin before January 1 of the year the general reassessment begins. If no period is established by the department of local government finance, a county assessor may enter into such a contract only on or after January 1 and before April 16 of the year. in which the general reassessment is to commence.
SOURCE: IC 6-1.1-4-21; (09)EH1447.2.19. -->     SECTION 19. IC 6-1.1-4-21, AS AMENDED BY P.L.146-2008, SECTION 75, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 21. (a) If during a period of general reassessment, a county assessor personally makes the real property appraisals, The appraisals of the parcels in a group under a county's reassessment plan and subject to taxation must be completed as follows:
        (1) The appraisal of one-fourth (1/4) one-third (1/3) of the parcels shall be completed before December October 1 of the

year in which the general group's reassessment under the county reassessment plan begins.
        (2) The appraisal of one-half (1/2) two-thirds (2/3) of the parcels shall be completed before May January 1 of the year following the year in which the general group's reassessment under the county reassessment plan begins.
        (3) The appraisal of three-fourths (3/4) of the parcels shall be completed before October 1 of the year following the year in which the general reassessment begins.
        (4) (3) The appraisal of all the parcels shall be completed before March 1 of the second year following the year in which the general group's reassessment under the county reassessment plan begins.
    (b) If a county assessor employs a professional appraiser or a professional appraisal firm to make real property appraisals during a period of general reassessment, of a group of parcels under a county's reassessment plan, the professional appraiser or appraisal firm must file appraisal reports with the county assessor as follows:
        (1) The appraisals for one-fourth (1/4) of the parcels shall be reported before December 1 of the year in which the general reassessment begins.
        (2) The appraisals for one-half (1/2) of the parcels shall be reported before May 1 of the year following the year in which the 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.
by the dates set forth in subsection (a). 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.

SOURCE: IC 6-1.1-4-22; (09)EH1447.2.20. -->     SECTION 20. IC 6-1.1-4-22, AS AMENDED BY P.L.146-2008, SECTION 76, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 22. (a) If any assessing official assesses or reassesses any real property under this article, the official shall give notice to the taxpayer and the county assessor, by mail, a tax statement under IC 6-1.1-22-8.1 or, if applicable, a reconciling property tax statement under IC 6-1.1-22.5 is notice to the taxpayer 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 For real property with new additions or improvements since the previous assessment date, if any assessing official assesses or reassesses the real property under this article, the official shall give notice (separate from the notice required by subsection (a)) to the taxpayer and the county assessor, by mail, of the amount of the assessment or reassessment within ninety (90) days after the assessor:
        (1) completes the appraisal of a parcel; or
        (2) receives a report for a parcel from a professional appraiser or professional appraisal firm.
SOURCE: IC 6-1.1-4-27.5; (09)EH1447.2.21. -->     SECTION 21. IC 6-1.1-4-27.5, AS AMENDED BY P.L.146-2008, SECTION 78, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 27.5. (a) The auditor of each county shall establish a property reassessment fund. The county treasurer shall deposit all collections resulting from the property taxes that the county levies for the county's property reassessment fund.
    (b) With respect to the general reassessment of real property that is to commence on July 1, 2009, the county council of each county shall, for property taxes due in 2006, 2007, 2008, and 2009, levy in each year against all the taxable property in the county an amount equal to one-fourth (1/4) of the remainder of:
        (1) the estimated costs referred to in section 28.5(a) of this chapter; minus
        (2) the amount levied under this section by the county council for property taxes due in 2004 and 2005.
    (c) With respect to a general reassessment of real property that is to commence on July 1, 2014, and each fifth year thereafter, under a county's reassessment plan after December 31, 2009, the county council of each county shall, for property taxes due in the year that the general reassessment is to commence and the four (4) years preceding that each year, levy against all the taxable property in the county an amount equal to one-fifth (1/5) of the estimated costs of the general reassessment under section 28.5 of this chapter.
    (d) The department of local government finance shall give to each county council notice, before January 1 in a year, of the tax levies required by this section for that year.
    (e) The department of local government finance may raise or lower the property tax levy under this section for a year if the department determines it is appropriate because the estimated cost of:
        (1) a general reassessment of a group of parcels under a county's reassessment plan; or
        (2) making annual adjustments under section 4.5 of this chapter;
has changed.
    (f) The county assessor may petition the county fiscal body to increase the levy under subsection (b) or (c) to pay for the costs of:
        (1) a general reassessment of a group of parcels under a county's reassessment plan;
        (2) verification under 50 IAC 21-3-2 of sales disclosure forms forwarded to the county assessor under IC 6-1.1-5.5-3; or
        (3) processing annual adjustments under section 4.5 of this chapter.
The assessor must document the needs and reasons for the increased funding.
    (g) If the county fiscal body denies a petition under subsection (f), the county assessor may appeal to the department of local government finance. The department of local government finance shall:
        (1) hear the appeal; and
        (2) determine whether the additional levy is necessary.
SOURCE: IC 6-1.1-4-28.5; (09)EH1447.2.22. -->     SECTION 22. IC 6-1.1-4-28.5, AS AMENDED BY P.L.146-2008, SECTION 79, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 28.5. (a) Money assigned to a property reassessment fund under section 27.5 of this chapter may be used only to pay the costs of:
        (1) the general reassessment of real property under a county's reassessment plan, including the computerization of assessment records;
        (2) payments to assessing officials and hearing officers for county property tax assessment boards of appeals under IC 6-1.1-35.2;
        (3) the development or updating of detailed soil survey data by the United States Department of Agriculture or its successor agency;
        (4) the updating of plat books;
        (5) payments for the salary of permanent staff or for the contractual services of temporary staff who are necessary to assist assessing officials;
        (6) making annual adjustments under section 4.5 of this chapter; and
        (7) the verification under 50 IAC 21-3-2 of sales disclosure forms forwarded to:
            (A) the county assessor; or
            (B) township assessors (if any);
        under IC 6-1.1-5.5-3.
Money in a property tax reassessment fund may not be transferred or

reassigned to any other fund and may not be used for any purposes other than those set forth in this section.
    (b) All counties shall use modern, detailed soil maps in the general reassessment of agricultural land.
    (c) The county treasurer of each county shall, in accordance with IC 5-13-9, invest any money accumulated in the property reassessment fund. Any interest received from investment of the money shall be paid into the property reassessment fund.
    (d) An appropriation under this section must be approved by the fiscal body of the county after the review and recommendation of the county assessor. However, in a county with a township assessor in every township, the county assessor does not review an appropriation under this section, and only the fiscal body must approve an appropriation under this section.

SOURCE: IC 6-1.1-4-29; (09)EH1447.2.23. -->     SECTION 23. IC 6-1.1-4-29, AS AMENDED BY P.L.146-2008, SECTION 80, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 29. (a) The expenses of a reassessment, except those incurred by the department of local government finance in performing its normal functions, shall be paid by the county in which the reassessed property is situated. These expenses, except for the expenses of a general reassessment of a group of parcels under a county's reassessment plan, 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 assessing officials in the county, 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.
SOURCE: IC 6-1.1-4-30; (09)EH1447.2.24. -->     SECTION 24. IC 6-1.1-4-30 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 30. In making any assessment or reassessment of real property in the interim between general reassessments of that real property under a county's reassessment plan, the rules, regulations, and standards for assessment are the same as those used for that real property in the preceding general reassessment of that group of parcels under a county's reassessment plan.
SOURCE: IC 6-1.1-4-31; (09)EH1447.2.25. -->     SECTION 25. IC 6-1.1-4-31, AS AMENDED BY P.L.146-2008, SECTION 81, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 31. (a) The department of local government

finance shall periodically check the conduct of:
        (1) a general reassessment of property under a county's reassessment plan;
        (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 a 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 under a county's reassessment plan 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 under a county's reassessment plan 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
            (C) the president of the county council;
        in writing under subsection (a);
the department may order a state conducted assessment or reassessment under section 31.5 of this chapter to begin not less than sixty (60) days after the date of the notice under subdivision (2). If the department determines during the period between the date of the notice under subdivision (2) and the proposed date for beginning the state conducted assessment or reassessment that the general reassessment or other assessment activities for the general reassessment are being properly conducted, the department may rescind the order.
    (d) If the department of local government finance:

        (1) determines under subsection (a) that work required to be performed by local officials under 50 IAC 21 is not being properly conducted; and
        (2) informs:
            (A) the township assessor of each affected township (if any);
            (B) the county assessor; and
            (C) the president of the county council;
        in writing under subsection (a);
the department may conduct the work or contract to have the work conducted to begin not less than sixty (60) days after the date of the notice under subdivision (2). If the department determines during the period between the date of the notice under subdivision (2) and the proposed date for beginning the work or having the work conducted that work required to be performed by local officials under 50 IAC 21 is being properly conducted, the department may rescind the order.
    (e) If the department of local government finance contracts to have work conducted under subsection (d), the department shall forward the bill for the services to the county and the county shall pay the bill under the same procedures that apply to county payments of bills for assessment or reassessment services under section 31.5 of this chapter.
    (f) A county council president who is informed by the department of local government finance under subsection (a) shall provide the information to the board of county commissioners. A board of county commissioners that receives information under this subsection may adopt an ordinance to do either or both of the following:
        (1) Determine that:
            (A) the information indicates that the county assessor has failed to perform adequately the duties of county assessor; and
            (B) by that failure the county assessor forfeits the office of county assessor and is subject to removal from office by an information filed under IC 34-17-2-1(b).
        (2) Determine that:
            (A) the information indicates that one (1) or more township assessors in the county have failed to perform adequately the duties of township assessor; and
            (B) by that failure the township assessor or township assessors forfeit the office of township assessor and are subject to removal from office by an information filed under IC 34-17-2-1(b).
    (g) A city-county council that is informed by the department of local government finance under subsection (a) may adopt an ordinance making the determination or determinations referred to in subsection

(f).

SOURCE: IC 6-1.1-4-31.5; (09)EH1447.2.26. -->     SECTION 26. IC 6-1.1-4-31.5, AS AMENDED BY P.L.146-2008, SECTION 82, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 31.5. (a) As used in this section, "department" refers to the department of local government finance.
    (b) If the department makes a determination and informs local officials under section 31(c) of this chapter, the department may order a state conducted assessment or reassessment in the county subject to the time limitation in that subsection.
    (c) If the department orders a state conducted assessment or reassessment in a county, the department shall assume the duties of the county assessor. Notwithstanding sections 15 and 17 of this chapter, a county assessor subject to an order issued under this section may not assess property or have property assessed for the assessment or general reassessment under a county's reassessment plan. Until the state conducted assessment or reassessment is completed under this section, the assessment or reassessment duties of the county assessor are limited to providing the department or a contractor of the department the support and information requested by the department or the contractor.
    (d) Before assuming the duties of a county assessor, the department shall transmit a copy of the department's order requiring a state conducted assessment or reassessment to the 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.
    (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 under a county's reassessment plan and is subject to IC 6-1.1-37-2.
    (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 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.
    (g) After receiving the report of assessed values from the appraisal firm acting under a contract described in subsection (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
        (2) must include a statement of the taxpayer's rights under section 31.7 of this chapter.
    (h) The department shall forward a bill for services provided under a contract described in subsection (f) to the auditor of the county in which the state conducted reassessment occurs. The county shall pay the bill under the procedures prescribed by subsection (i).
    (i) A county subject to an order issued under this section shall pay the cost of a contract described in subsection (f), without appropriation, from the county property reassessment fund. A contractor may periodically submit bills for partial payment of work performed under the contract. Notwithstanding any other law, a contractor is entitled to payment under this subsection for work performed under a contract if the contractor:
        (1) submits to the department a fully itemized, certified bill in the form required by IC 5-11-10-1 for the costs of the work performed under the contract;
        (2) obtains from the department:
            (A) approval of the form and amount of the bill; and
            (B) a certification that the billed goods and services have been received and comply with the contract; and
        (3) files with the county auditor:
            (A) a duplicate copy of the bill submitted to the department;
            (B) proof of the department's approval of the form and amount

of the bill; and
            (C) the department's certification that the billed goods and services have been received and comply with the contract.
The department's approval and certification of a bill under subdivision (2) shall be treated as conclusively resolving the merits of a contractor's claim. Upon receipt of the documentation described in subdivision (3), the county auditor shall immediately certify that the bill is true and correct without further audit and submit the claim to the county executive. The county executive shall allow the claim, in full, as approved by the department, without further examination of the merits of the claim in a regular or special session that is held not less than three (3) days and not more than seven (7) days after the date the claim is certified by the county fiscal officer if the procedures in IC 5-11-10-2 are used to approve the claim or the date the claim is placed on the claim docket under IC 36-2-6-4 if the procedures in IC 36-2-6-4 are used to approve the claim. Upon allowance of the claim by the county 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.
    (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.
    (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.
    (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 assessing officials of the land values determined under this subsection.
    (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
            (D) issue a warrant or check for payment of the contractor's bill;
        as required by subsection (i) at the county auditor's first legal opportunity to do so;
        (2) a county executive fails to allow the contractor's claim as legally required by subsection (i) at the county executive's first legal opportunity to do so; or
        (3) a person or an entity authorized to act on behalf of the county takes or fails to take an action, including failure to request an appropriation, and that action or failure to act delays or halts progress under this section for payment of the contractor's bill.
    (n) The department, upon receiving notice under subsection (m) from a contractor of the department, shall:
        (1) verify the accuracy of the contractor's assertion in the notice that:
            (A) a failure occurred as described in subsection (m)(1) or (m)(2); or
            (B) a person or an entity acted or failed to act as described in subsection (m)(3); and
        (2) provide to the treasurer of state the department's approval under subsection (i)(2)(A) of the contractor's bill with respect to which the contractor gave notice under subsection (m).
    (o) Upon receipt of the department's approval of a contractor's bill under subsection (n), the treasurer of state shall pay the contractor the amount of the bill approved by the department from money in the possession of the state that would otherwise be available for distribution to the county, including distributions of admissions taxes or wagering taxes.

    (p) The treasurer of state shall withhold from the money that would be distributed under IC 4-33-12-6, IC 4-33-13-5, or any other law to a county described in a notice provided under subsection (m) the amount of a payment made by the treasurer of state to the contractor of the department under subsection (o). Money shall be withheld from any source payable to the county.
    (q) Compliance with subsections (m) through (p) constitutes compliance with IC 5-11-10.
    (r) IC 5-11-10-1.6(d) applies to the treasurer of state with respect to the payment made in compliance with subsections (m) through (p). This subsection and subsections (m) through (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.
    (s) The provisions of this section are severable as provided in IC 1-1-1-8(b).
SOURCE: IC 6-1.1-4-42; (09)EH1447.2.27. -->     SECTION 27. IC 6-1.1-4-42 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 42. (a) This section applies to assessment dates after January 15, 2010.
    (b) As used in this section, "golf course" means an area of land and yard improvements that are predominately used to play the game of golf. A golf course consists of a series of holes, each consisting of a teeing area, fairway, rough and other hazards, and the green with the pin and cup.
    (c) The true tax value of real property regularly used as a golf course is the lowest valuation determined by applying the income capitalization appraisal approach. The income capitalization approach used to determine the true tax value of a golf course must:
        (1) incorporate an applicable income 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;
        (2) provide for the uniform and equal assessment of golf courses of similar grade quality and play length; and
        (3) exclude the value of personal property, intangible property, and income derived from personal or intangible property.
    (d) For assessment dates after January 15, 2009, and before March 1, 2012, a township assessor (if any) or the county assessor shall gather and process information from the owner of a golf

course to carry out this section in accordance with the rules adopted by the department of local government finance under IC 4-22-2.
    (e) For assessment dates after February 28, 2012, the department of local government finance shall, by rules adopted under IC 4-22-2, establish uniform income capitalization tables and procedures to be used for the assessment of golf courses. The department of local government finance may rely on analysis conducted by a state educational institution to develop the income capitalization tables and procedures required under this section. Assessing officials shall use the tables and procedures adopted by the department of local government finance to assess, reassess, and annually adjust the assessed value of golf courses.
    (f) The department of local government finance may prescribe procedures, forms, and due dates for the collection from the owners or operators of golf courses of the necessary earnings, income, profits, losses, and expenditures data necessary to carry out this section. An owner or operator of a golf course shall comply with the procedures and reporting schedules prescribed by the department of local government finance.

SOURCE: IC 6-1.1-5.5-2; (09)EH1447.2.28. -->     SECTION 28. IC 6-1.1-5.5-2, AS AMENDED BY P.L.144-2008, SECTION 2, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 2. (a) As used in this chapter, "conveyance document" means any of the following:
        (1) Any of the following that purports to transfer a real property interest for valuable consideration:
            (A) A document.
            (B) A deed.
            (C) A contract of sale.
            (D) An agreement.
            (E) A judgment.
            (F) A lease that includes the fee simple estate and is for a period in excess of ninety (90) years.
            (G) A quitclaim deed serving as a source of title.
            (H) Another document presented for recording.
        (2) Documents for compulsory transactions as a result of foreclosure or express threat of foreclosure, divorce, court order, condemnation, or probate.
        (3) Documents involving the partition of land between tenants in common, joint tenants, or tenants by the entirety.
    (b) The term does not include the following:
        (1) Security interest documents such as mortgages and trust

deeds.
        (2) Leases that are for a term of less than ninety (90) years.
        (3) Agreements and other documents for mergers, consolidations, and incorporations involving solely nonlisted stock.
        (4) Quitclaim deeds not serving as a source of title.
         (5) Public utility or governmental easements or right-of-way.

SOURCE: IC 6-1.1-5.5-4.7; (09)EH1447.2.29. -->     SECTION 29. IC 6-1.1-5.5-4.7, AS AMENDED BY P.L.228-2005, SECTION 17, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 4.7. (a) The assessment training and administration fund is established for the purpose of receiving fees deposited under section 4 of this chapter. Money in the fund may be used by:
        (1) the department of local government finance:
             (A) to cover expenses incurred in the development and administration of programs for the training of assessment officials and employees of the department, including the examination and certification program required by IC 6-1.1-35.5; and
            (B) for data base management expenses; or
        (2) the Indiana board to:
            (A) conduct appeal activities; or
            (B) pay for appeal services.
    (b) 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.
    (c) Money in the fund at the end of a state fiscal year does not revert to the state general fund.
SOURCE: IC 6-1.1-5.5-5; (09)EH1447.2.30. -->     SECTION 30. IC 6-1.1-5.5-5, AS AMENDED BY P.L.144-2008, SECTION 5, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2009 (RETROACTIVE)]: Sec. 5. (a) The department of local government finance shall prescribe a sales disclosure form for use under this chapter. The form prescribed by the department of local government finance must include at least the following information:
        (1) The key number (as defined in IC 6-1.1-1-8.5) of each parcel.
        (2) With respect to each parcel, whether the entire parcel is being conveyed.
        (3) The address of each improved parcel.
        (4) The date of the execution of the form.
        (5) The date the property was transferred.
        (6) Whether the transfer includes an interest in land or improvements, or both.
        (7) Whether the transfer includes personal property.
        (8) An estimate of the value of any personal property included in the transfer.
        (9) The name, address, and telephone number of:
            (A) each transferor and transferee; and
            (B) the person that prepared the form.
        (10) The mailing address to which the property tax bills or other official correspondence should be sent.
        (11) The ownership interest transferred.
        (12) The classification of the property (as residential, commercial, industrial, agricultural, vacant land, or other).
        (13) Subject to subsection (c), the total price actually paid or required to be paid in exchange for the conveyance, whether in terms of money, property, a service, an agreement, or other consideration, but excluding tax payments and payments for legal and other services that are incidental to the conveyance.
        (14) The terms of seller provided financing, such as interest rate, points, type of loan, amount of loan, and amortization period, and whether the borrower is personally liable for repayment of the loan.
        (15) Any family or business relationship existing between the transferor and the transferee.
        (16) A legal description of each parcel subject to the conveyance.
        (17) Whether the transferee is using the form to claim the following one (1) or more deductions under IC 6-1.1-12-44 for property taxes first due and payable in a calendar year after 2008.
            (A) One (1) or more deductions under IC 6-1.1-12-44.
            (B) The homestead credit under IC 6-1.1-20.9-3.5.
        (18) If the transferee uses the form to claim the homestead credit standard deduction under IC 6-1.1-20.9-3.5, IC 6-1.1-12-37, the name of any other county and township in which the transferee of residential real property owns or is buying residential real property.
        (19) Other information as required by the department of local government finance to carry out this chapter.
If a form under this section includes the telephone number or the Social Security number of a party, the telephone number or the Social Security number is confidential.
    (b) The instructions for completing the form described in subsection (a) must include the information described in IC 6-1.1-12-43(c)(1).
    (c) If the conveyance includes more than one (1) parcel as described in section 3(h) of this chapter, the form:
        (1) is not required to include the price referred to in subsection

(a)(13) for each of the parcels subject to the conveyance; and
        (2) may state a single combined price for all of those parcels.

SOURCE: IC 6-1.1-7-15; (09)EH1447.2.31. -->     SECTION 31. IC 6-1.1-7-15 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2009 (RETROACTIVE)]: Sec. 15. (a) This section applies to a mobile home or manufactured home:
        (1) that has deteriorated to a degree that it can no longer provide suitable protection from the elements as to be used as a primary place of residence;
        (2) that has little or no value as a structure to be rehabilitated for use as a primary place of residence;
        (3) on which personal property tax liability has been imposed in an amount that exceeds the estimated resale value of the mobile home or manufactured home; and
        (4) that has been abandoned in a mobile home community licensed under IC 16-41-27.
    (b) The holder of the title of a mobile home or manufactured home described in subsection (a) may submit a written request to the county assessor for the county where the mobile home or manufactured home is located requesting that personal property tax liability imposed on the mobile home or manufactured home be waived. If the county assessor determines that the property that is the subject of the request meets the requirements in subsection (a), the county assessor shall send to the applicant a letter that waives the property taxes, special assessments, interest, penalties, and costs assessed against the property under this article, subject to compliance with subsection (c). The county assessor shall deliver a copy of the letter to the county auditor and the county treasurer.
    (c) Upon receipt of a letter waiving property taxes imposed on a mobile home or manufactured home, the holder of the title of the property that is the subject of a letter issued under subsection (b) shall:
        (1) deliver a signed statement to the county assessor stating that the mobile home or manufactured home:
            (A) will be dismantled or destroyed either at its present site or at a remote site; and
            (B) will not be used again as a dwelling or other shelter; and
        (2) dismantle or destroy the mobile home or manufactured home and not use the mobile home or manufactured home as a structure after the issuance date of the letter waiving property taxes.
    (d) The county auditor shall remove from the tax duplicate the property taxes, special assessments, interest, penalties, and costs for which a waiver is granted under this section.
SOURCE: IC 6-1.1-8-7; (09)EH1447.2.32. -->     SECTION 32. IC 6-1.1-8-7 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE MARCH 1, 2009 (RETROACTIVE)]: Sec. 7. (a) The fixed property of a bus company consists of real property and tangible personal property which is located within or on the real property.
    (b) A bus company's property which is not described in subsection (a) is indefinite-situs distributable property. This property includes, but is not limited to, buses and other mobile equipment. The department of local government finance shall apportion and distribute the assessed valuation of this property among the taxing districts in or through which the company operates its system. The amount which the department of local government finance shall distribute to a taxing district equals the product of (1) the total assessed valuation of the bus company's indefinite-situs distributable property, multiplied by (2) a fraction, the numerator of which is the company's average daily regularly scheduled passenger vehicle route miles in the taxing district, and the denominator of which is the company's average daily regularly scheduled passenger vehicle route miles in this state.
SOURCE: IC 6-1.1-8-8; (09)EH1447.2.33. -->     SECTION 33. IC 6-1.1-8-8 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE MARCH 1, 2009 (RETROACTIVE)]: Sec. 8. (a) The fixed property of an express company consists of real property. and tangible personal property which has a definite situs. The remainder of the express company's property is indefinite-situs distributable property.
    (b) The department of local government finance shall apportion and distribute the assessed valuation of an express company's indefinite-situs distributable property among the taxing districts in which the fixed property of the company is located. The amount which the department of local government finance shall distribute to a taxing district equals the product of (1) the total assessed valuation of the express company's indefinite-situs distributable property, multiplied by (2) a fraction, the numerator of which is the value of the company's fixed property which is located in the taxing district, and the denominator of which is the value of the company's fixed property which is located in this state.
SOURCE: IC 6-1.1-8-9; (09)EH1447.2.34. -->     SECTION 34. IC 6-1.1-8-9 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE MARCH 1, 2009 (RETROACTIVE)]: Sec. 9. (a) The fixed property of a light, heat, or power company consists of
    (1) automotive and other mobile equipment;
    (2) office furniture and fixtures;
    (3) other tangible personal property which is not used as part of the company's production plant, transmission system, or distribution system; and
    (4) real property which is not part of the company's right-of-ways, transmission system, or distribution system.
    (b) A light, heat, or power company's property which is not described as fixed property in subsection (a) of this section is definite-situs distributable property. This property includes, but is not limited to, turbo-generators, boilers, transformers, transmission lines, distribution lines, and pipe lines.
SOURCE: IC 6-1.1-8-10; (09)EH1447.2.35. -->     SECTION 35. IC 6-1.1-8-10 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE MARCH 1, 2009 (RETROACTIVE)]: Sec. 10. (a) The fixed property of a pipe line company consists of
        (1) real property which is not part of a pipe line or right-of-way of the company. and
        (2) tangible personal property which is not part of the company's distribution system.
    (b) A pipe line company's property which is not described in subsection (a) is indefinite-situs distributable property. The department of local government finance shall apportion and distribute the assessed valuation of this property among the taxing districts in which the company's pipe lines are located. The amount which the department of local government finance shall distribute to a taxing district equals the product of (1) the total assessed valuation of the pipe line company's indefinite-situs distributable property, multiplied by (2) a fraction, the numerator of which is the length of the company's pipe lines in the taxing district, and the denominator of which is the length of the company's pipe lines in this state.
SOURCE: IC 6-1.1-8-11; (09)EH1447.2.36. -->     SECTION 36. IC 6-1.1-8-11 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE MARCH 1, 2009 (RETROACTIVE)]: Sec. 11. (a) The fixed property of the railroad company consists of real property which is not required for the operation of the railroad. and tangible personal property which is located within or on that real property. The remaining property of the railroad company is distributable property.
    (b) A railroad company's definite-situs distributable property consists of the company's:
        (1) rights-of-way and road beds;
        (2) station and depot grounds;
        (3) yards, yard sites, superstructures, turntable, and turnouts;
        (4) tracks;
        (5) telegraph poles, wires, instruments, and other appliances, which are located on the right-of-ways; and
        (6) any other buildings or fixed situs personal property used in the operation of the railroad.
    (c) A railroad company's property which is not described in subsection (a) or (b) is indefinite-situs distributable property. This property includes, but is not limited to, rolling stock. The department of local government finance shall apportion and distribute the assessed valuation of this property among the taxing districts in which the railroad company operates its system. The amount which the department of local government finance shall distribute to a taxing district equals the product of (1) the total assessed valuation of the railroad company's indefinite-situs distributable property, multiplied by (2) a fraction, the numerator of which is the relative value of the company's main lines, branch lines, main tracks, second main tracks, and sidetracks, including all leased lines and tracks, which are located in the taxing district, and the denominator of which is the relative value of the company's main lines, branch lines, main tracks, second main tracks, and sidetracks, including all leased lines and tracks, which are located in this state.
SOURCE: IC 6-1.1-8-12; (09)EH1447.2.37. -->     SECTION 37. IC 6-1.1-8-12 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE MARCH 1, 2009 (RETROACTIVE)]: Sec. 12. (a) The fixed property of a railroad car company consists of real property. and tangible personal property which has a definite situs. The remainder of the railroad car company's property is indefinite-situs distributable property.
    (b) The department of local government finance shall assess a railroad car company's indefinite-situs distributable property on the basis of the average number of cars owned or used by the company within this state during the twelve (12) months of the calendar year preceding the year of assessment. The average number of cars within this state equals the product of:
        (1) the sum of "M" plus "E"; multiplied by
        (2) a fraction, the numerator of which is "N", and the denominator of which is the number two (2).
"M" equals the mileage traveled by the railroad car company's cars in this state divided by the mileage traveled by the company's cars both within and outside this state. "E" equals the earnings generated by the company's cars in this state divided by the earnings generated by the company's cars both within and outside this state. "N" equals the total number of cars owned or used by the company both within and outside this state.
SOURCE: IC 6-1.1-8-13; (09)EH1447.2.38. -->     SECTION 38. IC 6-1.1-8-13 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE MARCH 1, 2009 (RETROACTIVE)]: Sec. 13. (a) The fixed property of a sleeping car company consists of real property. and tangible personal property which has a definite situs.
    (b) A sleeping car company's property which is not described in subsection (a) is indefinite-situs distributable property. The department of local government finance shall apportion and distribute the assessed valuation of this property among the taxing districts in or through which the company operates cars. The department of local government finance shall make the apportionment in a manner which it considers fair.
SOURCE: IC 6-1.1-8-14; (09)EH1447.2.39. -->     SECTION 39. IC 6-1.1-8-14 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE MARCH 1, 2009 (RETROACTIVE)]: Sec. 14. (a) The fixed property of a street railway company consists of
        (1) real property which is not part of the company's tracks or rights-of-way. and
        (2) tangible personal property which is located within or on the real property described in subdivision (1).
    (b) A street railway company's property which is not described in subsection (a) is distributable property. This property includes, but is not limited to:
        (1) rights-of-way of the company;
        (2) tangible personal property which is located on a right-of-way of the company; and
        (3) rolling stock.
    (c) The department of local government finance shall apportion and distribute the assessed valuation of a street railway company's indefinite-situs distributable property among the taxing districts in or through which the company operates its system. The amount which the department of local government finance shall distribute to a taxing district equals the product of (1) the total assessed valuation of the street railway company's indefinite-situs distributable property, multiplied by (2) a fraction, the numerator of which is the company's average daily regularly scheduled passenger vehicle route miles in the taxing district, and the denominator of which is the company's average daily regularly scheduled passenger vehicle route miles in this state.
SOURCE: IC 6-1.1-8-15; (09)EH1447.2.40. -->     SECTION 40. IC 6-1.1-8-15 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE MARCH 1, 2009 (RETROACTIVE)]: Sec. 15. (a) The fixed property of a telephone, telegraph, or cable company consists of
        (1) tangible personal property which is not used as part of the distribution system of the company; and
        (2) real property which is not part of the company's rights-of-way or distribution system.
    (b) A telephone, telegraph, or cable company's property which is not described under subsection (a) is indefinite-situs distributable property. The department of local government finance shall apportion and distribute the assessed valuation of this property among the taxing districts in which the company's lines or cables, including laterals, are located. The amount which the department of local government finance shall distribute to a taxing district equals the product of (1) the total assessed valuation of the telephone, telegraph, or cable company's indefinite-situs distributable property, multiplied by (2) a fraction, the numerator of which is the length of the company's lines and cables, including laterals, which are located in the taxing district, and the denominator of which is the length of the company's lines and cables, including laterals, which are located in this state.
SOURCE: IC 6-1.1-8-17; (09)EH1447.2.41. -->     SECTION 41. IC 6-1.1-8-17 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE MARCH 1, 2009 (RETROACTIVE)]: Sec. 17. (a) The fixed property of a water distribution company consists of
        (1) tangible personal property which is not used as part of the company's distribution system; and
        (2) real property which is not part of the company's rights-of-way or distribution system.
A well, settling basin, or reservoir (except an impounding reservoir) is not fixed property of a water distribution company if it is used to store treated water or water in the process of treatment.
    (b) A water distribution company's property which is not described as fixed property under subsection (a) is indefinite-situs distributable property. The department of local government finance shall apportion and distribute the assessed valuation of this property among the taxing districts in which the company's water mains, including feeder and distribution mains, are located. The amount which the department of local government finance shall distribute to a taxing district equals the product of (1) the total assessed valuation of the water distribution company's indefinite-situs distributable property, multiplied by (2) a fraction, the numerator of which is the length of the company's water mains, including feeder and distribution mains, which are located in the taxing district, and the denominator of which is the length of the company's water mains, including feeder and distribution mains, which are located in this state.
SOURCE: IC 6-1.1-8-18; (09)EH1447.2.42. -->     SECTION 42. IC 6-1.1-8-18 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE MARCH 1, 2009 (RETROACTIVE)]: Sec. 18. For a public utility company which is not within one (1) of the

classes of companies whose property is described in sections 6 through 17 of this chapter, the fixed property of the company consists of real property. and tangible personal property. The remainder of the company's property is indefinite-situs distributable property. The department of local government finance shall, in a manner which it considers fair, apportion and distribute the assessed valuation of the company's indefinite-situs distributable property among the taxing districts in which the company operates its system.

SOURCE: IC 6-1.1-8.5-6; (09)EH1447.2.43. -->     SECTION 43. IC 6-1.1-8.5-6 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 6. Before:
        (1) January 1, 2004; and
        (2) January 1 of each year that a general reassessment commences under IC 6-1.1-4-4;
The county assessor of each qualifying county shall provide the department of local government finance a list of each industrial facility located in the qualifying county.
SOURCE: IC 6-1.1-8.5-8; (09)EH1447.2.44. -->     SECTION 44. IC 6-1.1-8.5-8, AS AMENDED BY P.L.154-2006, SECTION 8, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 8. (a) For purposes of the general reassessment under IC 6-1.1-4-4 of a group of parcels under a county's reassessment plan or for purposes of a new assessment, the department of local government finance shall assess each industrial facility in a qualifying county.
    (b) The following may not assess an industrial facility in a qualifying county:
        (1) A county assessor.
        (2) An assessing official.
        (3) A county property tax assessment board of appeals.
SOURCE: IC 6-1.1-8.5-11; (09)EH1447.2.45. -->     SECTION 45. IC 6-1.1-8.5-11 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 11. (a) A taxpayer or the county assessor of the qualifying county in which the industrial facility is located may appeal an assessment by the department of local government finance made under this chapter to the Indiana board. An appeal under this section shall be conducted in the same manner as an appeal under IC 6-1.1-15-4 through IC 6-1.1-15-8. An assessment made under this chapter that is not appealed under this section is a final unappealable order of the department of local government finance.
    (b) The Indiana board shall hold a hearing on the appeal and issue an order within one (1) year after the date the appeal is filed.
SOURCE: IC 6-1.1-8.7-3; (09)EH1447.2.46. -->     SECTION 46. IC 6-1.1-8.7-3, AS AMENDED BY P.L.219-2007, SECTION 18, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 3. (a) Before January 1, 2003, Two hundred

fifty (250) or more owners of real property in a township may petition the department to assess the real property of an industrial facility in the township. for the 2004 assessment date.
    (b) Before January 1 of each year that a general reassessment commences under IC 6-1.1-4-4, (a) Two hundred fifty (250) or more owners of real property in a township may petition the department to assess the real property of an industrial facility in the township. for that general reassessment.
    (c) (b) An industrial company may at any time petition the department to assess the real property of an industrial facility owned or used by the company.
    (d) (c) Before January 1 of any year, the county assessor of the county in which an industrial facility is located may petition the department to assess the real property of the industrial facility for the assessment date in that the following year.

SOURCE: IC 6-1.1-10-44; (09)EH1447.2.47. -->     SECTION 47. IC 6-1.1-10-44 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 44. (a) As used in this section, "designating body" means:
        (1) in the case of a county, the fiscal body of the county; or
        (2) in the case of a municipality located in a county that does not contain a consolidated city, the fiscal body of the municipality.
    (b) As used in this section, "eligible business" means an entity that meets the following requirements:
        (1) The entity is engaged in a business that operates one (1) or more facilities dedicated to computing, networking, or data storage activities.
        (2) The entity is located in a facility or data center in Indiana that contains in the aggregate at least ten million dollars ($10,000,000) in:
            (A) personal property investment; and
            (B) real property investment;
        that is made after June 30, 2009.
        (3) The average employee wage of the entity is at least one hundred twenty-five percent (125%) of the county average wage for each county in which the entity conducts business operations.
    (c) As used in this section, "enterprise information technology equipment" means the following:
        (1) Hardware supporting computing, networking, or data storage function, including servers and routers.
        (2) Networking systems having an industry designation as equipment within the "enterprise" or "data center" class of networking systems that support the computing, networking, or data storage functions.
        (3) Generators and other equipment used to ensure an uninterrupted power supply to equipment described in subdivision (1) or (2).
The term does not include computer hardware designed for single user, workstation, or departmental level use.
    (d) As used in this section, "fiscal body" has the meaning set forth in IC 36-1-2-6.
    (e) As used in this section, "municipality" has the meaning set forth in IC 36-1-2-11.
    (f) Before adopting a final resolution under subsection (g) to provide a property tax exemption, a designating body must first adopt a declaratory resolution provisionally specifying that enterprise information technology equipment owned by a particular eligible business is exempt from property taxation. The designating body shall file a declaratory resolution adopted under this subsection with the county assessor. After a designating body adopts a declaratory resolution specifying that enterprise information technology equipment owned by a particular eligible business is exempt from property taxation, the designating body shall publish notice of the adoption and the substance of the declaratory resolution in accordance with IC 5-3-1 and file a copy of the notice and the declaratory resolution with each taxing unit in the county. The notice must specify a date when the designating body will receive and hear all remonstrances and objections from interested persons. The designating body shall file the notice and the declaratory resolution with the officers of the taxing units who are authorized to fix budgets, tax rates, and tax levies under IC 6-1.1-17-5 at least ten (10) days before the date for the public hearing. After the designating body considers the testimony presented at the public hearing, the designating body may adopt a second and final resolution under subsection (g). The second and final resolution under subsection (g) may modify, confirm, or rescind the declaratory resolution.
    (g) Before January 1, 2013, a designating body may after following the procedures of subsection (f) adopt a final resolution providing that enterprise information technology equipment owned by a particular eligible business is exempt from property taxation. In the case of a designating body that is a county fiscal

body, the exemption applies only to enterprise information technology equipment that is located in unincorporated territory of the county. In the case of a designating body that is a municipal fiscal body, the exemption applies only to enterprise information technology equipment that is located in the municipality. The property tax exemption applies to the enterprise information technology equipment only if the designating body and the eligible business enter into an agreement concerning the property tax exemption. The agreement must specify the duration of the property tax exemption. The agreement may specify that if the ownership of enterprise information technology equipment is transferred by an eligible business, the transferee is entitled to the property tax exemption on the same terms as the transferor. If a designating body adopts a final resolution under this subsection and enters into an agreement with an eligible business, the enterprise information technology equipment owned by the eligible business is exempt from property taxation as provided in the resolution and the agreement.
    (h) If a designating body adopts a final resolution and enters into an agreement under subsection (g) to provide a property tax exemption, the property tax exemption continues for the period specified in the agreement, notwithstanding the January 1, 2013, deadline to adopt a final resolution under subsection (g).

SOURCE: IC 6-1.1-11-4; (09)EH1447.2.48. -->     SECTION 48. IC 6-1.1-11-4 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 4. (a) The exemption application referred to in section 3 of this chapter is not required if the exempt property is owned by the United States, the state, an agency of this state, or a political subdivision (as defined in IC 36-1-2-13). However, this subsection applies only when the property is used, and in the case of real property occupied, by the owner.
    (b) The exemption application referred to in section 3 of this chapter is not required if the exempt property is a cemetery:
        (1) described by IC 6-1.1-2-7; or
        (2) maintained by a township executive under IC 23-14-68.
    (c) The exemption application referred to in section 3 of this chapter is not required if the exempt property is owned by the bureau of motor vehicles commission established under IC 9-15-1.
    (d) The exemption application referred to in section 3 or 3.5 of this chapter is not required if:
        (1) the exempt property is:
            (A) tangible property used for religious purposes described in IC 6-1.1-10-21; or
            (B) tangible property owned by a church or religious society used for educational purposes described in IC 6-1.1-10-16; and or
            (C) other tangible property owned, occupied, and used by a person for educational, literary, scientific, religious, or charitable purposes described in IC 6-1.1-10-16;
        (2) the exemption application referred to in section 3 or 3.5 of this chapter was filed properly at least once after the property was designated for a religious use as described in under IC 6-1.1-10-21 or an educational, literary, scientific, religious, or charitable use as described in under IC 6-1.1-10-16; and
        (3) the property continues to meet the requirements for an exemption under IC 6-1.1-10-21 or IC 6-1.1-10-16.
A change in ownership of property does not terminate an exemption of the property if after the change in ownership the property continues to meet the requirements for an exemption under IC 6-1.1-10-21 or IC 6-1.1-10-16. However, if title to any of the real property subject to the exemption changes or any of the tangible property subject to the exemption is used for a nonexempt purpose after the date of the last properly filed exemption application, this subsection does not apply. the person that obtained the exemption or the current owner of the property shall notify the county assessor for the county where the tangible property is located of the change in the year that the change occurs. The notice must be in the form prescribed by the department of local government finance. If the county assessor discovers that title to property granted an exemption described in IC 6-1.1-10-16 or IC 6-1.1-10-21 has changed, the county assessor shall notify the persons entitled to a tax statement under IC 6-1.1-22-8.1 for the property of the change in title and indicate that the county auditor will suspend the exemption for the property until the persons provides the county assessor with an affidavit, signed under penalties of perjury, that identifies the new owners of the property and indicates that the property continues to meet the requirements for an exemption under IC 6-1.1-10-21 or IC 6-1.1-10-16. Upon receipt of the affidavit, the county assessor shall reinstate the exemption for the years for which the exemption was suspended and each year thereafter that the property continues to meet the requirements for an exemption under IC 6-1.1-10-21 or IC 6-1.1-10-16.
SOURCE: IC 6-1.1-12-9; (09)EH1447.2.49. -->     SECTION 49. IC 6-1.1-12-9, AS AMENDED BY P.L.144-2008, SECTION 13, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE

JULY 1, 2009]: Sec. 9. (a) An individual may obtain a deduction from the assessed value of the individual's real property, or mobile home or manufactured home which is not assessed as real property, homestead if:
        (1) the individual is at least sixty-five (65) years of age on or before December 31 of the calendar year immediately preceding the year in which the deduction is claimed; property taxes are first due and payable;
        (2) the combined adjusted gross income (as defined in Section 62 of the Internal Revenue Code) of:
            (A) the individual and the individual's spouse; or
            (B) the individual and all other individuals with whom:
                (i) the individual shares ownership; or
                (ii) the individual is purchasing the property under a contract;
            as joint tenants or tenants in common;
        for the calendar year preceding the year in which the deduction is claimed did not exceed twenty-five thousand dollars ($25,000);
        (3) the individual has owned the real property, mobile home, or manufactured home homestead for at least one (1) year before claiming the deduction; or the individual has been buying the real property, mobile home, or manufactured home homestead under a contract that provides that the individual is to pay the property taxes on the real property, mobile home, or manufactured home homestead for at least one (1) year before claiming the deduction, and the contract or a memorandum of the contract is recorded in the county recorder's office;
        (4) the individual and any individuals covered by subdivision (2)(B) reside on the real property, mobile home, or manufactured home; homestead;
        (5) the assessed value of the real property, mobile home, or manufactured home homestead does not exceed one hundred eighty-two thousand four hundred thirty dollars ($182,430);
        (6) the individual receives no other property tax deduction for the year in which the deduction is claimed, except the deductions provided by sections 1, 37, and 38 of this chapter; and
        (7) the person:
            (1) (A) owns the real property, mobile home, or manufactured home; homestead; or
            (2) (B) is buying the real property, mobile home, or manufactured home homestead under contract;
        on the date the statement required by section 10.1 of this chapter

is filed.
Subdivision (6) does not limit any credits that the person is otherwise eligible to receive under IC 6-1.1-20.6 or another law.
    (b) Except as provided in subsection (h), in the case of real property, an individual's deduction under this section equals the lesser of:
        (1) one-half (1/2) of the assessed value of the real property; or
        (2) twelve thousand four hundred eighty dollars ($12,480).
    (c) Except as provided in subsection (h) and section 40.5 of this chapter, in the case of a mobile home that is not assessed as real property or a manufactured home which is not assessed as real property, an individual's deduction under this section equals the lesser of:
        (1) one-half (1/2) of the assessed value of the mobile home or manufactured home; or
        (2) twelve thousand four hundred eighty dollars ($12,480).
    (d) An individual may not be denied the deduction provided under this section because the individual is absent from the real property, mobile home, or manufactured home homestead while in a nursing home or hospital.
    (e) For purposes of this section, if real property, a mobile home, or a manufactured home is owned by:
        (1) tenants by the entirety;
        (2) joint tenants; or
        (3) tenants in common;
only one (1) deduction may be allowed. However, the age requirement is satisfied if any one (1) of the tenants is at least sixty-five (65) years of age.
    (f) A surviving spouse is entitled to the deduction provided by this section if:
        (1) the surviving spouse is at least sixty (60) years of age on or before December 31 of the calendar year preceding the year in which the deduction is claimed;
        (2) the surviving spouse's deceased husband or wife was at least sixty-five (65) years of age at the time of a death;
        (3) the surviving spouse has not remarried; and
        (4) the surviving spouse satisfies the requirements prescribed in subsection (a)(2) through (a)(7).
    (g) An individual who has sold real property to another person under a contract that provides that the contract buyer is to pay the property taxes on the real property may not claim the deduction provided under this section against that real property.
    (h) In the case of tenants covered by subsection (a)(2)(B), if all of

the tenants are not at least sixty-five (65) years of age, the deduction allowed under this section shall be reduced by an amount equal to the deduction multiplied by a fraction. The numerator of the fraction is the number of tenants who are not at least sixty-five (65) years of age, and the denominator is the total number of tenants.

SOURCE: IC 6-1.1-12-17.8; (09)EH1447.2.50. -->     SECTION 50. IC 6-1.1-12-17.8, AS AMENDED BY P.L.144-2008, SECTION 24, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2009 (RETROACTIVE)]: Sec. 17.8. (a) An individual who receives a deduction provided under section 1, 9, 11, 13, 14, 16, or 17.4, or 37 of this chapter in a particular year and who remains eligible for the deduction in the following year is not required to file a statement to apply for the deduction in the following year.
    (b) An individual who receives a deduction provided under section 1, 9, 11, 13, 14, 16, or 17.4, or 37 of this chapter in a particular year and who becomes ineligible for the deduction in the following year shall notify the auditor of the county in which the real property, mobile home, or manufactured home for which the individual claims the deduction is located of the individual's ineligibility in the year in which the individual becomes ineligible.
    (c) The auditor of each county shall, in a particular year, apply a deduction provided under section 1, 9, 11, 13, 14, 16, or 17.4, or 37 of this chapter to each individual who received the deduction in the preceding year unless the auditor determines that the individual is no longer eligible for the deduction.
    (d) An individual who receives a deduction provided under section 1, 9, 11, 13, 14, 16, or 17.4, or 37 of this chapter for property that is jointly held with another owner in a particular year and remains eligible for the deduction in the following year is not required to file a statement to reapply for the deduction following the removal of the joint owner if:
        (1) the individual is the sole owner of the property following the death of the individual's spouse;
        (2) the individual is the sole owner of the property following the death of a joint owner who was not the individual's spouse; or
        (3) the individual is awarded sole ownership of the property in a divorce decree.
    (e) A trust entitled to a deduction under section 9, 11, 13, 14, 16, or 17.4, or 37 of this chapter for real property owned by the trust and occupied by an individual in accordance with section 17.9 of this chapter is not required to file a statement to apply for the deduction, if:
        (1) the individual who occupies the real property receives a deduction provided under section 9, 11, 13, 14, 16, or 17.4, or 37

of this chapter in a particular year; and
        (2) the trust remains eligible for the deduction in the following year.
     (f) A cooperative housing corporation (as defined in 26 U.S.C. 216) that was entitled to a deduction under section 37 of this chapter in the immediately preceding calendar year for a homestead (as defined in section 37 of this chapter) is not required to file a statement to apply for the deduction for the current calendar year if the cooperative housing corporation remains eligible for the deduction for the current calendar year.
    (g) An individual or entity that:
        (1) was eligible for a homestead credit under IC 6-1.1-20.9 (repealed) for property taxes imposed for the March 1, 2007, or January 15, 2008, assessment date; or
        (2) would have been eligible for a homestead credit under IC 6-1.1-20.9 (repealed) for property taxes imposed for the March 1, 2008, or January 15, 2009, assessment date if IC 6-1.1-20.9 had not been repealed;
is not required to file a statement to apply for a deduction under section 37 of this chapter if the individual or entity remains eligible for the deduction in the current year. An individual or entity that filed for a homestead credit under IC 6-1.1-20.9 (repealed) for an assessment date after March 1, 2007 (if the property is real property) or after January 1, 2008 (if the property is personal property) shall be treated as an individual or entity that has filed for a deduction under section 37 of this chapter.

SOURCE: IC 6-1.1-12-17.9; (09)EH1447.2.51. -->     SECTION 51. IC 6-1.1-12-17.9, AS AMENDED BY P.L.101-2008, SECTION 2, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2009 (RETROACTIVE)]: Sec. 17.9. A trust is entitled to a deduction under section 9, 11, 13, 14, 16, or 17.4, or 37 of this chapter for real property owned by the trust and occupied by an individual if the county auditor determines that the individual:
        (1) upon verification in the body of the deed or otherwise, has either:
            (A) a beneficial interest in the trust; or
            (B) the right to occupy the real property rent free under the terms of a qualified personal residence trust created by the individual under United States Treasury Regulation 25.2702-5(c)(2);
        (2) otherwise qualifies for the deduction; and
        (3) would be considered the owner of the real property under IC 6-1.1-1-9(f) or IC 6-1.1-1-9(g).
SOURCE: IC 6-1.1-12-19; (09)EH1447.2.52. -->     SECTION 52. IC 6-1.1-12-19 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 19. The deduction from assessed value provided by section 18 of this chapter is first available in the year in which the increase in assessed value resulting from the rehabilitation occurs and shall continue for the following four (4) years. In the sixth (6th) year, the county auditor shall add the amount of the deduction to the assessed value of the real property. A general reassessment of real property under a county's reassessment plan, which occurs within the five (5) year period of the deduction, does not affect the amount of the deduction.
SOURCE: IC 6-1.1-12-23; (09)EH1447.2.53. -->     SECTION 53. IC 6-1.1-12-23 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 23. The deduction from assessed value provided by section 22 of this chapter is first available after the first assessment date following the rehabilitation and shall continue for the taxes first due and payable in the following five (5) years. In the sixth (6th) year, the county auditor shall add the amount of the deduction to the assessed value of the property. Any general reassessment of real property under a county's reassessment plan, which occurs within the five (5) year period of the deduction, does not affect the amount of the deduction.
SOURCE: IC 6-1.1-12-37; (09)EH1447.2.54. -->     SECTION 54. IC 6-1.1-12-37, AS AMENDED BY HEA 1198-2009, SECTION 38, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2009 (RETROACTIVE)]: 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) that is located in Indiana;
            (B) the individual: that:
                (i) the individual owns;
                (ii) the individual 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) the individual 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); or
                 (iv) is a residence described in section 17.9 of this chapter that is owned by a trust in which the individual has a beneficial interest; and
            (C) that consists of a dwelling and the real estate, not exceeding one (1) acre, that immediately surrounds that dwelling.
    (b) Each year 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 individual or entity obligated to pay property taxes on a homestead for a particular assessment date is entitled to a standard deduction from the assessed value of the homestead for that assessment date. The deduction provided by this section applies only if the individual has an interest in the homestead described in subsection (a)(2)(B) on:
        (1) the assessment date, if section 17.8 of this chapter applies; or
        (2) the date that a statement is filed under subsection (e) or section 44 of this chapter, if section 17.8 of this chapter does not apply.
Subject to subsection (c), the auditor of the county shall record and make the deduction for the person individual or entity qualifying for the deduction.
    (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) 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 that constitutes the homestead; or
        (2) forty-five thousand dollars ($45,000).
If the homestead consists of a mobile home or manufactured home that is assessed as personal property, the deduction under this section shall be applied to the mobile home or manufactured home after applying other deductions to which the mobile home or manufactured home is eligible under this chapter until the maximum permissible deduction permitted under section 40.5 of this chapter is reached. If the homestead also includes real estate surrounding the mobile home or manufactured home, the excess amount of the deduction under this chapter that is not applied to the mobile home or manufactured home shall be applied to the real

property until the maximum permissible deduction permitted under this section is reached.
    (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) Except as provided in sections 17.8 and 44 of this chapter and subject to section 45 of this chapter, an individual who desires to claim the deduction provided by this section 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 homestead is located. The statement must include the parcel number or key number of the property and the name of the city, town, or township in which the property is located. The statement may be filed in person or by mail. If the statement is mailed, the mailing must be postmarked on or before the last day for filing. The statement applies for that first year and any succeeding year for which the deduction is allowed. An individual who wishes to claim the deduction must list on the statement the name of any other county and township in which the individual owns or is buying residential real property. With respect to real property, the person must file the statement during the year for which the person desires to obtain the deduction. With respect to a mobile home that is not assessed as real property, the person must file the statement during the twelve (12) months before March 31 of the year for which the person desires to obtain the deduction. If an individual who is receiving the deduction provided by this chapter changes the use of the individual's property so that part or all of the property no longer qualifies for the deduction under this section, the individual shall file a certified statement with the auditor of the county, notifying the auditor of the change of use, not more than sixty (60) days after the date of that change. An individual who changes the use of the individual's property and fails to file the statement required by this subsection is liable for any additional taxes that would have been due on the property if the individual had filed the statement as required by this subsection. The department of local government finance shall adopt rules or guidelines concerning the application for a deduction under this section, including any application procedures necessary to prevent an

individual from simultaneously claiming more than one (1) 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.

SOURCE: IC 6-1.1-12-43; (09)EH1447.2.55. -->     SECTION 55. IC 6-1.1-12-43, AS AMENDED BY P.L.145-2008, SECTION 9, AND AS AMENDED BY P.L.146-2008, SECTION 120, IS CORRECTED AND AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2009 (RETROACTIVE)]: 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, 37, or 37.5 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.
    (b) Before closing a transaction after December 31, 2004, a closing agent must provide to the customer the form referred to in subsection (c).
    (c) Before June 1, 2004, the department of local government finance shall prescribe the form to be provided by closing agents to customers under subsection (b). The department shall make the form available to closing agents, county assessors, county auditors, and county treasurers in hard copy and electronic form. County assessors, county auditors, and county treasurers shall make the form available to the general public. The form must:
        (1) on one (1) side:
            (A) list each benefit;
            (B) list the eligibility criteria for each benefit; and
            (C) indicate that a new application for a deduction under section 1 of this chapter is required when residential real property is refinanced;
        (2) on the other side indicate:
            (A) each action by; and
            (B) each type of documentation from;
        the customer required to file for each benefit; and
        (3) be printed in one (1) of two (2) or more colors prescribed by the department of local government finance that distinguish the form from other documents typically used in a closing referred to in subsection (b).
    (d) A closing agent:
        (1) may reproduce the form referred to in subsection (c);
        (2) in reproducing the form, must use a print color prescribed by the department of local government finance; and
        (3) is not responsible for the content of the form referred to in subsection (c) and shall be held harmless by the department of local government finance from any liability for the content of the form.
    (e) This subsection applies to a transaction that is closed after December 31, 2009. In addition to providing the customer the form described in subsection (c) before closing the transaction, a closing agent shall do the following as soon as possible after the closing, and within the time prescribed by the department of insurance under IC 27-7-3-15.5:
        (1) To the extent determinable, input the information described in IC 27-7-3-15.5(c)(2) into the system maintained by the department of insurance under IC 27-7-3-15.5.
        (2) Submit the form described in IC 27-7-3-15.5(c) to the data base described in IC 27-7-3-15.5(c)(2)(D).
    (e) (f) A closing agent to which this section applies shall document its the closing agent's compliance with this section with respect to each transaction in the form of verification of compliance signed by the customer.
    (f) (g) Subject to IC 27-7-3-15.5(d), a closing agent is subject to a civil penalty of twenty-five dollars ($25) for each instance in which the closing agent fails to comply with this section with respect to a customer. The penalty:
        (1) may be enforced by the state agency that has administrative jurisdiction over the closing agent in the same manner that the agency enforces the payment of fees or other penalties payable to the agency; and
        (2) shall be paid into:
            (A) the property tax replacement state general fund, if the closing agent fails to comply with subsection (b); or
            (B) the home ownership education account established by IC 5-20-1-27, if the closing agent fails to comply with subsection (e) in a transaction that is closed after December

31, 2009.
    (h) A closing agent is not liable for any other damages claimed by a customer because of:
        (1) the closing agent's mere failure to provide the appropriate document to the customer under subsection (b); or
        (2) with respect to a transaction that is closed after December 31, 2009, the closing agent's failure to input the information or submit the form described in subsection (e).
    (g) (i) 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). (g).

SOURCE: IC 6-1.1-12-44; (09)EH1447.2.56. -->     SECTION 56. IC 6-1.1-12-44, AS AMENDED BY HEA 1198-2009, SECTION 40, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2009 (RETROACTIVE)]: Sec. 44. (a) A sales disclosure form under IC 6-1.1-5.5:
        (1) that is submitted:
            (A) as a paper form; or
            (B) electronically;
        on or before December 31 of a calendar year to the county assessor by or on behalf of the purchaser of a homestead (as defined in section 37 of this chapter) assessed as real property;
        (2) that is accurate and complete;
        (3) that is approved by the county assessor as eligible for filing with the county auditor; and
        (4) that is filed:
            (A) as a paper form; or
            (B) electronically;
        with the county auditor by or on behalf of the purchaser;
constitutes an application for the deductions provided by sections 26, 29, 33, and 34, and 37 of this chapter with respect to property taxes first due and payable in the calendar year that immediately succeeds the calendar year referred to in subdivision (1).
    (b) Except as provided in subsection (c), if:
        (1) the county auditor receives in a calendar year a sales disclosure form that meets the requirements of subsection (a); and
        (2) the homestead for which the sales disclosure form is submitted is otherwise eligible for a deduction referred to in subsection (a);
the county auditor shall apply the deduction to the homestead for property taxes first due and payable in the calendar year for which the homestead qualifies under subsection (a) and in any later year in which

the homestead remains eligible for the deduction.
    (c) Subsection (b) does not apply if the county auditor, after receiving a sales disclosure form from or on behalf of a purchaser under subsection (a)(4), determines that the homestead is ineligible for the deduction.

SOURCE: IC 6-1.1-12.1-4; (09)EH1447.2.57. -->     SECTION 57. IC 6-1.1-12.1-4, AS AMENDED BY P.L.219-2007, SECTION 29, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 4. (a) Except as provided in section 2(i)(4) of this chapter, and subject to section 15 of this chapter, the amount of the deduction which the property owner is entitled to receive under section 3 of this chapter for a particular year equals the product of:
        (1) the increase in the assessed value resulting from the rehabilitation or redevelopment; multiplied by
        (2) the percentage prescribed in the table set forth in subsection (d).
    (b) The amount of the deduction determined under subsection (a) shall be adjusted in accordance with this subsection in the following circumstances:
        (1) If a general reassessment of real property under a county's reassessment plan occurs within the particular period of the deduction, the amount determined under subsection (a)(1) shall be adjusted to reflect the percentage increase or decrease in assessed valuation that resulted from the general reassessment.
        (2) If an appeal of an assessment is approved that results in a reduction of the assessed value of the redeveloped or rehabilitated property, the amount of any deduction shall be adjusted to reflect the percentage decrease that resulted from the appeal.
The department of local government finance shall adopt rules under IC 4-22-2 to implement this subsection.
    (c) Property owners who had an area designated an urban development area pursuant to an application filed prior to January 1, 1979, are only entitled to the deduction for the first through the fifth years as provided in subsection (d)(10). In addition, property owners who are entitled to a deduction under this chapter pursuant to an application filed after December 31, 1978, and before January 1, 1986, are entitled to a deduction for the first through the tenth years, as provided in subsection (d)(10).
    (d) The percentage to be used in calculating the deduction under subsection (a) is as follows:
        (1) For deductions allowed over a one (1) year period:
    YEAR OF DEDUCTION     PERCENTAGE
    1st     100%
        (2) For deductions allowed over a two (2) year period:
    YEAR OF DEDUCTION     PERCENTAGE
    1st    100%
    2nd    50%
        (3) For deductions allowed over a three (3) year period:
    YEAR OF DEDUCTION     PERCENTAGE
    1st    100%
    2nd    66%
    3rd    33%
        (4) For deductions allowed over a four (4) year period:
    YEAR OF DEDUCTION     PERCENTAGE
    1st    100%
    2nd    75%
    3rd    50%
    4th    25%
        (5) For deductions allowed over a five (5) year period:
    YEAR OF DEDUCTION     PERCENTAGE
    1st    100%
    2nd    80%
    3rd    60%
    4th    40%
    5th    20%
        (6) For deductions allowed over a six (6) year period:
    YEAR OF DEDUCTION     PERCENTAGE
    1st    100%
    2nd    85%
    3rd    66%
    4th    50%
    5th    34%
    6th    17%
        (7) For deductions allowed over a seven (7) year period:
    YEAR OF DEDUCTION     PERCENTAGE
    1st    100%
    2nd    85%
    3rd    71%
    4th    57%
    5th    43%
    6th    29%
    7th    14%
        (8) For deductions allowed over an eight (8) year period:
    YEAR OF DEDUCTION     PERCENTAGE
    1st    100%
    2nd    88%
    3rd    75%
    4th    63%
    5th    50%
    6th    38%
    7th    25%
    8th    13%
        (9) For deductions allowed over a nine (9) year period:
    YEAR OF DEDUCTION     PERCENTAGE
    1st    100%
    2nd    88%
    3rd    77%
    4th    66%
    5th    55%
    6th    44%
    7th    33%
    8th    22%
    9th    11%
        (10) For deductions allowed over a ten (10) year period:
    YEAR OF DEDUCTION     PERCENTAGE
    1st    100%
    2nd    95%
    3rd    80%
    4th    65%
    5th    50%
    6th    40%
    7th    30%
    8th    20%
    9th    10%
    10th    5%
SOURCE: IC 6-1.1-12.1-4.8; (09)EH1447.2.58. -->     SECTION 58. IC 6-1.1-12.1-4.8, AS AMENDED BY P.L.219-2007, SECTION 32, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 4.8. (a) A property owner that is an applicant for a deduction under this section must provide a statement of benefits to the designating body.
    (b) If the designating body requires information from the property owner for the designating body's use in deciding whether to designate an economic revitalization area, the property owner must provide the completed statement of benefits form to the designating body before the hearing required by section 2.5(c) of this chapter. Otherwise, the property owner must submit the completed statement of benefits form to the designating body before the occupation of the eligible vacant

building for which the property owner desires to claim a deduction.
    (c) 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 eligible vacant building that the property owner or a tenant of the property owner will occupy.
        (2) An estimate of the number of individuals who will be employed or whose employment will be retained by the property owner or the tenant as a result of the occupation of the eligible vacant building, and an estimate of the annual salaries of those individuals.
        (3) Information regarding efforts by the owner or a previous owner to sell, lease, or rent the eligible vacant building during the period the eligible vacant building was unoccupied.
        (4) Information regarding the amount for which the eligible vacant building was offered for sale, lease, or rent by the owner or a previous owner during the period the eligible vacant building was unoccupied.
    (d) With the approval of the designating body, the statement of benefits may be incorporated in a designation application. A statement of benefits is a public record that may be inspected and copied under IC 5-14-3.
    (e) The designating body must review the statement of benefits required by subsection (a). The designating body shall determine whether an area should be designated an economic revitalization area or whether a deduction should be allowed, after the designating body has made the following findings:
        (1) 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 proposed occupation of the eligible vacant building.
        (2) 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 occupation of the eligible vacant building.
        (3) Whether any other benefits about which information was requested are benefits that can be reasonably expected to result from the proposed occupation of the eligible vacant building.
        (4) Whether the occupation of the eligible vacant building will increase the tax base and assist in the rehabilitation of the economic revitalization area.
        (5) Whether the totality of benefits is sufficient to justify the

deduction.
A designating body may not designate an area an economic revitalization area or approve a deduction under this section unless the findings required by this subsection are made in the affirmative.
    (f) Except as otherwise provided in this section, the owner of an eligible vacant building located in an economic revitalization area is entitled to a deduction from the assessed value of the building if the property owner or a tenant of the property owner occupies the eligible vacant building and uses it for commercial or industrial purposes. The property owner is entitled to the deduction:
        (1) for the first year in which the property owner or a tenant of the property owner occupies the eligible vacant building and uses it for commercial or industrial purposes; and
        (2) for subsequent years determined under subsection (g).
    (g) The designating body shall determine the number of years for which a property owner is entitled to a deduction under this section. However, subject to section 15 of this chapter, the deduction may not be allowed for more than two (2) years. This determination shall be made:
        (1) as part of the resolution adopted under section 2.5 of this chapter; or
        (2) by a resolution adopted not more than sixty (60) days after the designating body receives a copy of the property owner's deduction application from the county auditor.
A certified copy of a resolution under subdivision (2) shall be sent to the county auditor, who shall make the deduction as provided in section 5.3 of this chapter. A determination concerning the number of years the deduction is allowed that is made under subdivision (1) is final and may not be changed by using the procedure under subdivision (2).
    (h) Except as provided in section 2(i)(5) of this chapter and subsection (k), and subject to section 15 of this chapter, the amount of the deduction the property owner is entitled to receive under this section for a particular year equals the product of:
        (1) the assessed value of the building or part of the building that is occupied by the property owner or a tenant of the property owner; multiplied by
        (2) the percentage set forth in the table in subsection (i).
    (i) The percentage to be used in calculating the deduction under subsection (h) is as follows:
        (1) For deductions allowed over a one (1) year period:
    YEAR OF DEDUCTION     PERCENTAGE
    1st     100%

        (2) For deductions allowed over a two (2) year period:
    YEAR OF DEDUCTION     PERCENTAGE
    1st    100%
    2nd    50%
    (j) The amount of the deduction determined under subsection (h) shall be adjusted in accordance with this subsection in the following circumstances:
        (1) If a general reassessment of real property under a county's reassessment plan occurs within the period of the deduction, the amount of the assessed value determined under subsection (h)(1) shall be adjusted to reflect the percentage increase or decrease in assessed valuation that resulted from the general reassessment.
        (2) If an appeal of an assessment is approved and results in a reduction of the assessed value of the property, the amount of a deduction under this section shall be adjusted to reflect the percentage decrease that resulted from the appeal.
    (k) The maximum amount of a deduction under this section may not exceed the lesser of:
        (1) the annual amount for which the eligible vacant building was offered for lease or rent by the owner or a previous owner during the period the eligible vacant building was unoccupied; or
        (2) an amount, as determined by the designating body in its discretion, that is equal to the annual amount for which similar buildings in the county or contiguous counties were leased or rented or offered for lease or rent during the period the eligible vacant building was unoccupied.
    (l) The department of local government finance may adopt rules under IC 4-22-2 to implement this section.
SOURCE: IC 6-1.1-12.4-2; (09)EH1447.2.59. -->     SECTION 59. IC 6-1.1-12.4-2, AS AMENDED BY P.L.146-2008, SECTION 130, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 2. (a) For purposes of this section, an increase in the assessed value of real property is determined in the same manner that an increase in the assessed value of real property is determined for purposes of IC 6-1.1-12.1.
    (b) This subsection applies only to a development, redevelopment, or rehabilitation that is first assessed after March 1, 2005, and before March 2, 2007. Except as provided in subsection (h) and sections 4, 5, and 8 of this chapter, an owner of real property that:
        (1) develops, redevelops, or rehabilitates the real property; and
        (2) creates or retains employment from the development, 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 a county's reassessment plan 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).
SOURCE: IC 6-1.1-12.6-2.1; (09)EH1447.2.60. -->     SECTION 60. IC 6-1.1-12.6-2.1 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 2.1. (a) This section applies only to a model residence that is first assessed as:
        (1) a partially completed structure; or
        (2) a fully completed structure;
for the assessment date in 2008 and was still a model residence on January 1, 2009.
    (b) Except as provided in subsection (c) and sections 4, 5, and 6 of this chapter, and subject to sections 7 and 8 of this chapter, an owner of a model residence is entitled to a deduction from the assessed value of the model residence in the amount of fifty percent (50%) of the assessed value of the model residence for the 2008 assessment date. A deduction under this section counts as a deduction for an assessment date for purposes of section 2 of this chapter.
    (c) A property owner that qualifies for the deduction under this section must file a statement containing the information required by subsection (d) with the county auditor to claim the deduction for the 2008 assessment date in the manner prescribed in emergency rules, which shall be adopted by the department of local government finance under IC 4-22-2. The township assessor shall verify each statement filed under this section, and 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. If the property taxes due for the 2008 assessment date have been paid, the person that paid the property taxes is entitled to a refund of the amount that has been overpaid after applying the deduction under this section. A property owner is not required to apply for a refund due under this section. The county auditor shall, without an appropriation being required, issue a warrant to the property owner payable from the county general fund for the amount of the refund due the property owner. In the June or December settlement and apportionment of taxes, or both, immediately following a refund made under this section the county auditor shall deduct the amount refunded from the gross tax collections of the taxing units for which the refunded taxes were originally paid and shall pay the amount so deducted into the general fund of the county. However, the county auditor shall make the deductions and payments required by this

subsection not later than the December settlement and apportionment.
    (d) The statement referred to in subsection (c) must be verified under penalties for perjury and must contain the following information:
        (1) The assessed value of the real property for which the person is claiming the deduction.
        (2) The full name and complete business address of the person claiming the deduction.
        (3) The complete address and a brief description of the real property for which the person is claiming the deduction.
        (4) The name of any other county in which the person has applied for a deduction under this section for that assessment date.
        (5) The complete address and a brief description of any other real property for which the person has applied for a deduction under this section for the 2008 assessment date.
    (e) This section expires January 1, 2011.

SOURCE: IC 6-1.1-13-6; (09)EH1447.2.61. -->     SECTION 61. IC 6-1.1-13-6 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 6. A county assessor shall inquire into the assessment of the classes of tangible property in the various townships of the county group of parcels under a county's reassessment plan after March 1 in the year in which the general reassessment of tangible property in that group of parcels becomes effective. The county assessor shall make any changes, whether increases or decreases, in the assessed values which are necessary in order to equalize these values in and between the various townships of the county. that group. In addition, the county assessor shall determine the percent to be added to or deducted from the assessed values in order to make a just, equitable, and uniform equalization of assessments in and between the townships of the county. that group.
SOURCE: IC 6-1.1-13-7; (09)EH1447.2.62. -->     SECTION 62. IC 6-1.1-13-7 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 7. If a county assessor proposes to change assessments under section 6 of this chapter, the property tax assessment board of appeals shall hold a hearing on the proposed changes before July 15 in the year in which a general assessment reassessment of a group of parcels under a county's reassessment plan is to commence. It is sufficient notice of the hearing and of any changes in assessments ordered by the board subsequent to the hearing if the board gives notice by publication once either in:
        (1) two (2) newspapers which represent different political parties and which are published in the county; or
        (2) one (1) newspaper only, if two (2) newspapers which represent different political parties are not published in the county.
SOURCE: IC 6-1.1-15-1; (09)EH1447.2.63. -->     SECTION 63. IC 6-1.1-15-1, AS AMENDED BY P.L.146-2008, SECTION 137, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: 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.
        (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)(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.
    (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 (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 (b).
    (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 (b). To obtain the review, the taxpayer must file a notice in writing with the township assessor, 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).
    (e) A change in an assessment made as a result of a notice for review filed by a taxpayer under subsection (d) after the time prescribed in 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 (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.
    (f) The written notice filed by a taxpayer under 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).
    (h) A county or township official who receives a notice for review filed by a taxpayer under 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.
    (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 that notice. 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.
    (l) At the hearing required under subsection (k):
        (1) the taxpayer may present the taxpayer's reasons for disagreement with the assessment or deduction; and
        (2) the county or township official with whom the taxpayer filed the notice for review must present:
            (A) the basis for the assessment or deduction decision; and
            (B) the reasons the taxpayer's contentions should be denied.
    (m) The official referred to in subsection (a) may not require the taxpayer to provide documentary evidence at the preliminary informal meeting under subsection (h). The county board may not require a taxpayer to file documentary evidence or summaries of statements of testimonial evidence before the hearing required under subsection (k). If the action for which a taxpayer seeks review under this section is the assessment of tangible property, the taxpayer is not required to have an appraisal of the property in order to do the following:
        (1) Initiate the review.
        (2) Prosecute the review.
    (n) The county board shall prepare a written decision resolving all of the issues under review. The county board shall, by mail, give notice of its determination not later than one hundred twenty (120) days after the hearing under subsection (k) to the taxpayer, the official referred to in subsection (a), the county assessor, and the county auditor.
    (o) If the maximum time elapses:
        (1) under subsection (k) for the county board to hold a hearing; or
        (2) under subsection (n) for the county board to give notice of its determination;
the taxpayer may initiate a proceeding for review before the Indiana board by taking the action required by section 3 of this chapter at any time after the maximum time elapses.

SOURCE: IC 6-1.1-15-4; (09)EH1447.2.64. -->     SECTION 64. IC 6-1.1-15-4, AS AMENDED BY P.L.219-2007, SECTION 40, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 4. (a) After receiving a petition for review which is filed under section 3 of this chapter, the Indiana board shall conduct a hearing at its earliest opportunity. The Indiana board may correct any errors that may have been made and adjust the assessment or exemption in accordance with the correction.
    (b) If the Indiana board conducts a site inspection of the property as part of its review of the petition, the Indiana board shall give notice to

all parties of the date and time of the site inspection. The Indiana board is not required to assess the property in question. The Indiana board shall give notice of the date fixed for the hearing, by mail, to the taxpayer and to the county assessor. The Indiana board shall give these notices at least thirty (30) days before the day fixed for the hearing unless the parties agree to a shorter period. With respect to a petition for review filed by a county assessor, the county board that made the determination under review under this section may file an amicus curiae brief in the review proceeding under this section. The expenses incurred by the county board in filing the amicus curiae brief shall be paid from the property reassessment fund under IC 6-1.1-4-27.5. The executive of a taxing unit may file an amicus curiae brief in the review proceeding under this section if the property whose assessment or exemption is under appeal is subject to assessment by that taxing unit.
    (c) If a petition for review does not comply with the Indiana board's instructions for completing the form prescribed under section 3 of this chapter, the Indiana board shall return the petition to the petitioner and include a notice describing the defect in the petition. The petitioner then has thirty (30) days from the date on the notice to cure the defect and file a corrected petition. The Indiana board shall deny a corrected petition for review if it does not substantially comply with the Indiana board's instructions for completing the form prescribed under section 3 of this chapter.
    (d) After the hearing, the Indiana board shall give the taxpayer, the county assessor, and any entity that filed an amicus curiae brief:
        (1) notice, by mail, of its final determination; and
        (2) for parties entitled to appeal the final determination, notice of the procedures they must follow in order to obtain court review under section 5 of this chapter.
    (e) Except as provided in subsection (f), the Indiana board shall conduct a hearing not later than nine (9) months after a petition in proper form is filed with the Indiana board, excluding any time due to a delay reasonably caused by the petitioner.
    (f) With respect to an appeal of a real property assessment that takes effect on the assessment date on which a general reassessment of real property under a county's reassessment plan takes effect under IC 6-1.1-4-4, the Indiana board shall conduct a hearing not later than one (1) year after a petition in proper form is filed with the Indiana board, excluding any time due to a delay reasonably caused by the petitioner.
    (g) Except as provided in subsection (h), the Indiana board shall make a determination not later than the later of:

        (1) ninety (90) days after the hearing; or
        (2) the date set in an extension order issued by the Indiana board.
    (h) With respect to an appeal of a real property assessment that takes effect on the assessment date on which a general reassessment of real property under a county's reassessment plan takes effect under IC 6-1.1-4-4, the Indiana board shall make a determination not later than the later of:
        (1) one hundred eighty (180) days after the hearing; or
        (2) the date set in an extension order issued by the Indiana board.
    (i) The Indiana board may not extend the final determination date under subsection (g) or (h) by more than one hundred eighty (180) days. If the Indiana board fails to make a final determination within the time allowed by this section, the entity that initiated the petition may:
        (1) take no action and wait for the Indiana board to make a final determination; or
        (2) petition for judicial review under section 5 of this chapter.
    (j) A final determination must include separately stated findings of fact for all aspects of the determination. Findings of ultimate fact must be accompanied by a concise statement of the underlying basic facts of record to support the findings. Findings must be based exclusively upon the evidence on the record in the proceeding and on matters officially noticed in the proceeding. Findings must be based upon a preponderance of the evidence.
    (k) The Indiana board may limit the scope of the appeal to the issues raised in the petition and the evaluation of the evidence presented to the county board in support of those issues only if all parties participating in the hearing required under subsection (a) agree to the limitation. A party participating in the hearing required under subsection (a) is entitled to introduce evidence that is otherwise proper and admissible without regard to whether that evidence has previously been introduced at a hearing before the county board.
    (l) The Indiana board may require the parties to the appeal:
        (1) to file not more than five (5) business days before the date of the hearing required under subsection (a) documentary evidence or summaries of statements of testimonial evidence; and
        (2) to file not more than fifteen (15) business days before the date of the hearing required under subsection (a) lists of witnesses and exhibits to be introduced at the hearing.
    (m) A party to a proceeding before the Indiana board shall provide to all other parties to the proceeding the information described in subsection (l) if the other party requests the information in writing at least ten (10) days before the deadline for filing of the information

under subsection (l).
    (n) The Indiana board may base its final determination on a stipulation between the respondent and the petitioner. If the final determination is based on a stipulated assessed valuation of tangible property, the Indiana board may order the placement of a notation on the permanent assessment record of the tangible property that the assessed valuation was determined by stipulation. The Indiana board may:
        (1) order that a final determination under this subsection has no precedential value; or
        (2) specify a limited precedential value of a final determination under this subsection.

SOURCE: IC 6-1.1-15-12; (09)EH1447.2.65. -->     SECTION 65. IC 6-1.1-15-12, AS AMENDED BY P.L.146-2008, SECTION 140, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE MARCH 1, 2009 (RETROACTIVE)]: 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).
        (2) The county auditor.
        (3) The county assessor.
If two (2) of these officials do not approve such a correction, the county auditor shall refer the matter to the county board for determination. The county board shall provide a copy of the determination to the taxpayer and to the county auditor.
    (e) A taxpayer may appeal a determination of the county board to the Indiana board for a final administrative determination. An appeal under this section shall be conducted in the same manner as appeals under sections 4 through 8 of this chapter. The Indiana board shall send the final administrative determination to the taxpayer, the county auditor, the county assessor, and the township assessor (if any).
    (f) If a correction or change is made in the tax duplicate after it is delivered to the county treasurer, the county auditor shall transmit a certificate of correction to the county treasurer. The county treasurer shall keep the certificate as the voucher for settlement with the county auditor.
    (g) A taxpayer that files a personal property tax return under IC 6-1.1-3 may not petition under this section for the correction of an error made by the taxpayer on the taxpayer's personal property tax return. If the taxpayer wishes to correct an error made by the taxpayer on the taxpayer's personal property tax return, the taxpayer must instead file an amended personal property tax return under IC 6-1.1-3-7.5.
    (h) A taxpayer that files a statement under IC 6-1.1-8-19 may not petition under this section for the correction of an error made by the taxpayer on the taxpayer's statement. If the taxpayer wishes to correct an error made by the taxpayer on the taxpayer's statement, the taxpayer must instead initiate an objection under IC 6-1.1-8-28 or an appeal under IC 6-1.1-8-30.
    (i) A taxpayer that files a statement under IC 6-1.1-8-23 may not petition under this section for the correction of an error made by the taxpayer on the taxpayer's statement. If the taxpayer wishes to correct an error made by the taxpayer on the taxpayer's statement, the taxpayer must instead file an amended statement not more than six (6) months after the due date of the statement.

SOURCE: IC 6-1.1-17-0.5; (09)EH1447.2.66. -->     SECTION 66. IC 6-1.1-17-0.5, AS AMENDED BY P.L.144-2008, SECTION 39, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2009 (RETROACTIVE)]: Sec. 0.5. (a) For purposes of

this section, "assessed value" has the meaning set forth in IC 6-1.1-1-3(a).
    (b) The county auditor may exclude and keep separate on the tax duplicate for taxes payable in a calendar year the assessed value of tangible property that meets the following conditions:
        (1) The assessed value of the property is at least nine percent (9%) of the assessed value of all tangible property subject to taxation by a taxing unit.
        (2) The property is or has been part of a bankruptcy estate that is subject to protection under the federal bankruptcy code.
        (3) The owner of the property has discontinued all business operations on the property.
        (4) There is a high probability that the taxpayer will not pay property taxes due on the property in the following year.
    (c) This section does not limit, restrict, or reduce in any way the property tax liability on the property.
    (d) For each taxing unit located in the county, the county auditor may reduce for a calendar year the taxing unit's assessed value that is certified to the department of local government finance under section 1 of this chapter and used to set tax rates for the taxing unit for taxes first due and payable in the immediately succeeding calendar year. The county auditor may reduce a taxing unit's assessed value under this subsection only to enable the taxing unit to absorb the effects of reduced property tax collections in the immediately succeeding calendar year that are expected to result from any or a combination of the following:
        (1) Successful appeals of the assessed value of property located in the taxing unit.
        (2) Deductions under IC 6-1.1-12-37 and IC 6-1.1-12-37.5 that result from the granting of applications for the homestead credit standard deduction for the calendar year under IC 6-1.1-20.9-3 or IC 6-1.1-20.9-3.5 IC 6-1.1-12-37 or IC 6-1.1-12-44 after the county auditor certifies assessed value as described in this section.
        (3) Deductions that result from the granting of applications for deductions for the calendar year under IC 6-1.1-12-44 after the county auditor certifies assessed value as described in this section.
Not later than December 31 of each year, the county auditor shall send a certified statement, under the seal of the board of county commissioners, to the fiscal officer of each political subdivision of the county and to the department of local government finance. The

certified statement must list any adjustments to the amount of the reduction under this subsection and the information submitted under section 1 of this chapter that are necessary as the result of processing homestead credit applications and deduction applications that are filed after the county auditor certifies assessed value as described in this section. The county auditor shall keep separately on the tax duplicate the amount of any reductions made under this subsection. The maximum amount of the reduction authorized under this subsection is determined under subsection (e).
    (e) The amount of the reduction in a taxing unit's assessed value for a calendar year under subsection (d) may not exceed two percent (2%) of the assessed value of tangible property subject to assessment in the taxing unit in that calendar year.
    (f) The amount of a reduction under subsection (d) may not be offered in a proceeding before the:
        (1) county property tax assessment board of appeals;
        (2) Indiana board; or
        (3) Indiana tax court;
as evidence that a particular parcel has been improperly assessed.

SOURCE: IC 6-1.1-17-1; (09)EH1447.2.67. -->     SECTION 67. IC 6-1.1-17-1, AS AMENDED BY P.L.146-2008, SECTION 146, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 1. (a) On or before August 1 of each year, the county auditor shall send a certified statement, under the seal of the board of county commissioners, to the fiscal officer of each political subdivision of the county and the department of local government finance. The statement shall contain:
        (1) information concerning the assessed valuation in the political subdivision for the next calendar year;
        (2) an estimate of the taxes to be distributed to the political subdivision during the last six (6) months of the current calendar year;
        (3) the current assessed valuation as shown on the abstract of charges;
        (4) the average growth in assessed valuation in the political subdivision over the preceding three (3) budget years; excluding years in which a general reassessment occurs, determined according to procedures established by the department of local government finance;
        (5) the amount of the political subdivision's assessed valuation reduction determined under section 0.5(d) of this chapter;
        (6) for counties with taxing units that cross into or intersect with other counties, the assessed valuation as shown on the most

current abstract of property; and
        (7) any other information at the disposal of the county auditor that might affect the assessed value used in the budget adoption process.
    (b) The estimate of taxes to be distributed shall be based on:
        (1) the abstract of taxes levied and collectible for the current calendar year, less any taxes previously distributed for the calendar year; and
        (2) any other information at the disposal of the county auditor which might affect the estimate.
    (c) The fiscal officer of each political subdivision shall present the county auditor's statement to the proper officers of the political subdivision.
    (d) Subject to subsection (e) and except as provided in subsection (f), after the county auditor sends a certified statement under subsection (a) or an amended certified statement under this subsection with respect to a political subdivision and before the department of local government finance certifies its action with respect to the political subdivision under section 16(f) of this chapter, the county auditor may amend the information concerning assessed valuation included in the earlier certified statement. The county auditor shall send a certified statement amended under this subsection, under the seal of the board of county commissioners, to:
        (1) the fiscal officer of each political subdivision affected by the amendment; and
        (2) the department of local government finance.
    (e) Except as provided in subsection (g), before the county auditor makes an amendment under subsection (d), the county auditor must provide an opportunity for public comment on the proposed amendment at a public hearing. The county auditor must give notice of the hearing under IC 5-3-1. If the county auditor makes the amendment as a result of information provided to the county auditor by an assessor, the county auditor shall give notice of the public hearing to the assessor.
    (f) Subsection (d) does not apply to an adjustment of assessed valuation under IC 36-7-15.1-26.9(d).
    (g) The county auditor is not required to hold a public hearing under subsection (e) if:
        (1) the amendment under subsection (d) is proposed to correct a mathematical error made in the determination of the amount of assessed valuation included in the earlier certified statement;
        (2) the amendment under subsection (d) is proposed to add to the

amount of assessed valuation included in the earlier certified statement assessed valuation of omitted property discovered after the county auditor sent the earlier certified statement; or
        (3) the county auditor determines that the amendment under subsection (d) will not result in an increase in the tax rate or tax rates of the political subdivision.

SOURCE: IC 6-1.1-17-3; (09)EH1447.2.68. -->     SECTION 68. IC 6-1.1-17-3, AS AMENDED BY P.L.146-2008, SECTION 147, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 3. (a) The proper officers of a political subdivision shall formulate its estimated budget and its proposed tax rate and tax levy on the form prescribed by the department of local government finance and approved by the state board of accounts. The political subdivision shall give notice by publication to taxpayers of:
        (1) the estimated budget;
        (2) the estimated maximum permissible levy;
        (3) the current and proposed tax levies of each fund; and
        (4) the amounts of excessive levy appeals to be requested.
In the notice, the political subdivision shall also state the time and place at which a public hearing will be held on these items. The notice shall be published twice in accordance with IC 5-3-1 with the first publication at least ten (10) days before the date fixed for the public hearing. Beginning in 2009, the duties required by this subsection must be completed before August September 10 of the calendar year. A political subdivision shall provide the estimated budget and levy information required for the notice under subsection (b) to the county auditor on the schedule determined by the department of local government finance.
    (b) Beginning in 2010, before October 1 of a calendar year, the county auditor shall mail to the last known address of each person liable for any property taxes, as shown on the tax duplicate, or to the last known address of the most recent owner shown in the transfer book, a statement that includes:
        (1) the assessed valuation as of the assessment date in the current calendar year of tangible property on which the person will be liable for property taxes first due and payable in the immediately succeeding calendar year and notice to the person of the opportunity to appeal the assessed valuation under IC 6-1.1-15-1(c) (before July 1, 2008) or IC 6-1.1-15-1 (after June 30, 2008);
        (2) the amount of property taxes for which the person will be liable to each political subdivision on the tangible property for

taxes first due and payable in the immediately succeeding calendar year, taking into account all factors that affect that liability, including:
            (A) the estimated budget and proposed tax rate and tax levy formulated by the political subdivision under subsection (a);
            (B) any deductions or exemptions that apply to the assessed valuation of the tangible property;
            (C) any credits that apply in the determination of the tax liability; and
            (D) the county auditor's best estimate of the effects on the tax liability that might result from actions of:
                (i) the county board of tax adjustment; or
                (ii) the department of local government finance;
        (3) a prominently displayed notation that:
            (A) the estimate under subdivision (2) is based on the best information available at the time the statement is mailed; and
            (B) based on various factors, including potential actions by:
                (i) the county board of tax adjustment; or
                (ii) the department of local government finance;
            it is possible that the tax liability as finally determined will differ substantially from the estimate;
        (4) comparative information showing the amount of property taxes for which the person is liable to each political subdivision on the tangible property for taxes first due and payable in the current year; and
        (5) the date, time, and place at which the political subdivision will hold a public hearing on the political subdivision's estimated budget and proposed tax rate and tax levy as required under subsection (a).
    (c) The department of local government finance shall:
        (1) prescribe a form for; and
        (2) provide assistance to county auditors in preparing;
statements under subsection (b). Mailing the statement described in subsection (b) to a mortgagee maintaining an escrow account for a person who is liable for any property taxes shall not be construed as compliance with subsection (b).
    (d) (b) The board of directors of a solid waste management district established under IC 13-21 or IC 13-9.5-2 (before its repeal) may conduct the public hearing required under subsection (a):
        (1) in any county of the solid waste management district; and
        (2) in accordance with the annual notice of meetings published under IC 13-21-5-2.

    (e) (c) The trustee of each township in the county shall estimate the amount necessary to meet the cost of township assistance in the township for the ensuing calendar year. The township board shall adopt with the township budget a tax rate sufficient to meet the estimated cost of township assistance. The taxes collected as a result of the tax rate adopted under this subsection are credited to the township assistance fund.
    (f) This subsection expires January 1, 2009. A county shall adopt with the county budget and the department of local government finance shall certify under section 16 of this chapter a tax rate sufficient to raise the levy necessary to pay the following:
        (1) The cost of child services (as defined in IC 12-19-7-1) of the county payable from the family and children's fund.
        (2) The cost of children's psychiatric residential treatment services (as defined in IC 12-19-7.5-1) of the county payable from the children's psychiatric residential treatment services fund.
A budget, tax rate, or tax levy adopted by a county fiscal body or approved or modified by a county board of tax adjustment that is less than the levy necessary to pay the costs described in subdivision (1) or (2) shall not be treated as a final budget, tax rate, or tax levy under section 11 of this chapter.
SOURCE: IC 6-1.1-17-3.5; (09)EH1447.2.69. -->     SECTION 69. IC 6-1.1-17-3.5, AS ADDED BY P.L.146-2008, SECTION 148, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 3.5. (a) This section does not apply to civil taxing units located in a county in which a county board of tax adjustment reviews budgets, tax rates, and tax levies. This section does not apply to a civil taxing unit that has its proposed budget and proposed property tax levy approved under IC 6-1.1-17-20 or IC 36-3-6-9.
    (b) This section applies to a civil taxing unit other than a county. If a civil taxing unit will impose property taxes due and payable in the ensuing calendar year, the civil taxing unit shall file with the fiscal body of the county in which the civil taxing unit is located:
        (1) a statement of the proposed or estimated tax rate and tax levy for the civil taxing unit for the ensuing budget year; and
        (2) a copy of the civil taxing unit's proposed budget for the ensuing budget year.
    (c) In the case of a civil taxing unit located in more than one (1) county, the civil taxing unit shall file the information under subsection (b) with the fiscal body of the county in which the greatest part of the civil taxing unit's net assessed valuation is located.
    (d) A civil taxing unit must file the information under subsection (b)

at least fifteen (15) forty-five (45) days before the civil taxing unit fixes its tax rate and tax levy and adopts its budget under this chapter.
    (e) A county fiscal body shall complete the following at least fifteen (15) days before the civil taxing unit fixes its tax rate and tax levy and adopts its budget under this chapter:
        (1) Review any proposed or estimated tax rate or tax levy or proposed budget filed by a civil taxing unit with the county fiscal body under this section. and
        (2) Issue a nonbinding recommendation to a civil taxing unit regarding the civil taxing unit's proposed or estimated tax rate or tax levy or proposed budget.
    (f) The recommendation under subsection (e) must include a comparison of any increase in the civil taxing unit's budget or tax levy to:
        (1) the average increase in Indiana nonfarm personal income for the preceding six (6) calendar years and the average increase in nonfarm personal income for the county for the preceding six (6) calendar years; and
        (2) increases in the budgets and tax levies of other civil taxing units in the county.
    (g) The department of local government finance must provide each county fiscal body with the most recent available information concerning increases in Indiana nonfarm personal income and increases in county nonfarm personal income.
     (h) If a civil taxing unit fails to file the information required by subsection (b) with the fiscal body of the county in which the civil taxing unit is located by the time prescribed in subsection (d), the most recent annual appropriations and annual tax levy of that civil taxing unit are continued for the ensuing budget year.
    (i) If a county fiscal body fails to complete the requirements of subsection (e) before the deadline in subsection (e) for any civil taxing unit subject to this section, the most recent annual appropriations and annual tax levy of the county are continued for the ensuing budget year.

SOURCE: IC 6-1.1-17-5; (09)EH1447.2.70. -->     SECTION 70. IC 6-1.1-17-5, AS AMENDED BY P.L.146-2008, SECTION 149, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 5. (a) The officers of political subdivisions shall meet each year to fix the budget, tax rate, and tax levy of their respective subdivisions for the ensuing budget year as follows:
        (1) The board of school trustees of a school corporation that is located in a city having a population of more than one hundred

five thousand (105,000) but less than one hundred twenty thousand (120,000), not later than:
            (A) the time required in section 5.6(b) of this chapter; or
            (B) for budget years beginning before July 1, 2010, September 30 November 1 if a resolution adopted under section 5.6(d) of this chapter is in effect.
        (2) The proper officers of all other political subdivisions, not later than September 30. November 1.
        (3) The governing body of each school corporation (including a school corporation described in subdivision (1)), not later than the time required under section 5.6(b) of this chapter for budget years beginning after June 30, 2010.
Except in a consolidated city and county and in a second class city, the public hearing required by section 3 of this chapter must be completed at least ten (10) days before the proper officers of the political subdivision meet to fix the budget, tax rate, and tax levy. In a consolidated city and county and in a second class city, that public hearing, by any committee or by the entire fiscal body, may be held at any time after introduction of the budget.
    (b) Ten (10) or more taxpayers may object to a budget, tax rate, or tax levy of a political subdivision fixed under subsection (a) by filing an objection petition with the proper officers of the political subdivision not more than seven (7) days after the hearing. The objection petition must specifically identify the provisions of the budget, tax rate, and tax levy to which the taxpayers object.
    (c) If a petition is filed under subsection (b), the fiscal body of the political subdivision shall adopt with its budget a finding concerning the objections in the petition and any testimony presented at the adoption hearing.
    (d) This subsection does not apply to a school corporation. Each year at least two (2) days before the first meeting after September 20 of the county board of tax adjustment held under IC 6-1.1-29-4, a political subdivision shall file with the county auditor:
        (1) a statement of the tax rate and levy fixed by the political subdivision for the ensuing budget year;
        (2) two (2) copies of the budget adopted by the political subdivision for the ensuing budget year; and
        (3) two (2) copies of any findings adopted under subsection (c).
Each year the county auditor shall present these items to the county board of tax adjustment at the board's first meeting under IC 6-1.1-29-4. after September 20 of that year.
    (e) In a consolidated city and county and in a second class city, the

clerk of the fiscal body shall, notwithstanding subsection (d), file the adopted budget and tax ordinances with the county board of tax adjustment within two (2) days after the ordinances are signed by the executive, or within two (2) days after action is taken by the fiscal body to override a veto of the ordinances, whichever is later.
    (f) If a fiscal body does not fix the budget, tax rate, and tax levy of the political subdivisions for the ensuing budget year as required under this section, the most recent annual appropriations and annual tax levy are continued for the ensuing budget year.

SOURCE: IC 6-1.1-17-5.6; (09)EH1447.2.71. -->     SECTION 71. IC 6-1.1-17-5.6, AS AMENDED BY P.L.146-2008, SECTION 150, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 5.6. (a) For budget years beginning before July 1, 2010, this section applies only to a school corporation that is located in a city having a population of more than one hundred five thousand (105,000) but less than one hundred twenty thousand (120,000). For budget years beginning after June 30, 2010, this section applies to all school corporations. Beginning in 2010, each school corporation shall adopt a budget under this section that applies from July 1 of the year through June 30 of the following year. In the initial budget adopted by a school corporation in 2010 under this section, the first six (6) months of that initial budget must be consistent with the last six (6) months of the budget adopted by the school corporation for calendar year 2010.
    (b) Before February 1 of each year, the officers of the school corporation shall meet to fix the budget for the school corporation for the ensuing budget year, with notice given by the same officers. However, if a resolution adopted under subsection (d) is in effect, the officers shall meet to fix the budget for the ensuing budget year before September 30.
    (c) Each year, at least two (2) days before the first meeting after September 20 of the county board of tax adjustment held under IC 6-1.1-29-4, the school corporation shall file with the county auditor:
        (1) a statement of the tax rate and tax levy fixed by the school corporation for the ensuing budget year;
        (2) two (2) copies of the budget adopted by the school corporation for the ensuing budget year; and
        (3) any written notification from the department of local government finance under section 16(i) of this chapter that specifies a proposed revision, reduction, or increase in the budget adopted by the school corporation for the ensuing budget year.
Each year the county auditor shall present these items to the county board of tax adjustment at the board's first meeting after September 20

of that year. under IC 6-1.1-29-4.
    (d) This subsection does not apply to budget years after June 30, 2010. The governing body of the school corporation may adopt a resolution to cease using a school year budget year and return to using a calendar year budget year. A resolution adopted under this subsection must be adopted after January 1 and before July 1. The school corporation's initial calendar year budget year following the adoption of a resolution under this subsection begins on January 1 of the year following the year the resolution is adopted. The first six (6) months of the initial calendar year budget for the school corporation must be consistent with the last six (6) months of the final school year budget fixed by the department of local government finance before the adoption of a resolution under this subsection. Notwithstanding any resolution adopted under this subsection, beginning in 2010, each school corporation shall adopt a budget under this section that applies from July 1 of the year through June 30 of the following year.
    (e) A resolution adopted under subsection (d) may be rescinded by a subsequent resolution adopted by the governing body. If the governing body of the school corporation rescinds a resolution adopted under subsection (d) and returns to a school year budget year, the school corporation's initial school year budget year begins on July 1 following the adoption of the rescinding resolution and ends on June 30 of the following year. The first six (6) months of the initial school year budget for the school corporation must be consistent with the last six (6) months of the last calendar year budget fixed by the department of local government finance before the adoption of a rescinding resolution under this subsection.

SOURCE: IC 6-1.1-17-9; (09)EH1447.2.72. -->     SECTION 72. IC 6-1.1-17-9, AS AMENDED BY P.L.146-2008, SECTION 154, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 9. (a) The county board of tax adjustment shall complete the duties assigned to it under this chapter on or before October 1st November 2 of each year, except that in a consolidated city and county and in a county containing a second class city, the duties of this board need not be completed until November December 1 of each year.
    (b) If the county board of tax adjustment fails to complete the duties assigned to it within the time prescribed in this section or to reduce aggregate tax rates so that they do not exceed the maximum rates permitted under IC 6-1.1-18, the county auditor shall calculate and fix the tax rate within each political subdivision of the county so that the maximum rate permitted under IC 6-1.1-18 is not exceeded.
    (c) When the county auditor calculates and fixes tax rates, the

county auditor shall send a certificate notice of those rates to each political subdivision of the county. The county auditor shall send these notices within five (5) days after:
         (1) publication of the notice required by section 12 of this chapter; or
        (2) the tax rates are calculated and fixed by the county auditor;
whichever applies.
    (d) When the county auditor calculates and fixes tax rates, that action shall be treated as if it were the action of the county board of tax adjustment.

SOURCE: IC 6-1.1-17-12; (09)EH1447.2.73. -->     SECTION 73. IC 6-1.1-17-12, AS AMENDED BY P.L.146-2008, SECTION 157, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 12. As soon as If the budgets, tax rates, and or tax levies are approved or modified by the county board of tax adjustment or county auditor, the county auditor shall within fifteen (15) days of the modification prepare a notice of the tax rates to be charged on each one hundred dollars ($100) of assessed valuation for the various funds in each taxing district. The notice shall also inform the taxpayers of the manner in which they may initiate an appeal of the modification by the county board's action. board or county auditor. The county auditor shall post the notice at the county courthouse and publish it in two (2) newspapers which represent different political parties and which have a general circulation in the county.
SOURCE: IC 6-1.1-17-13; (09)EH1447.2.74. -->     SECTION 74. IC 6-1.1-17-13, AS AMENDED BY P.L.228-2005, SECTION 20, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 13. (a) Ten (10) or more taxpayers or one (1) taxpayer that owns property that represents at least ten percent (10%) of the taxable assessed valuation in the political subdivision may initiate an appeal from the county board of tax adjustment's action on or county auditor's modification of a political subdivision's budget, tax rate, or tax levy, by filing a statement of their objections with the county auditor. The statement must be filed not later than ten (10) days after the publication of the notice required by section 12 of this chapter. The statement shall specifically identify the provisions of the budget, and tax rate, or tax levy to which the taxpayers object. The county auditor shall forward the statement, with the budget, to the department of local government finance.
    (b) The department of local government finance shall:
        (1) subject to subsection (c), give notice to the first ten (10) taxpayers whose names appear on the petition, or to the taxpayer

that owns property that represents at least ten percent (10%) of the taxable assessed valuation in the political subdivision in the case of an appeal initiated by that taxpayer, of the date, time, and location of the hearing on the objection statement filed under subsection (a);
        (2) conduct a hearing on the objection; and
        (3) after the hearing:
            (A) consider the testimony and evidence submitted at the hearing; and
            (B) mail the department's:
                (i) written determination; and
                (ii) written statement of findings;
            to the first ten (10) taxpayers whose names appear on the petition, or to the taxpayer that owns property that represents at least ten percent (10%) of the taxable assessed valuation in the political subdivision in the case of an appeal initiated by that taxpayer.
The department of local government finance may hold the hearing in conjunction with the hearing required under IC 6-1.1-17-16.
    (c) The department of local government finance shall provide written notice to:
        (1) the first ten (10) taxpayers whose names appear on the petition; or
        (2) the taxpayer that owns property that represents at least ten percent (10%) of the taxable assessed valuation in the political subdivision, in the case of an appeal initiated by that taxpayer;
at least five (5) days before the date of the hearing.

SOURCE: IC 6-1.1-17-14; (09)EH1447.2.75. -->     SECTION 75. IC 6-1.1-17-14, AS AMENDED BY P.L.146-2008, SECTION 158, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 14. The county auditor shall initiate an appeal to the department of local government finance if the county fiscal body or the county board of tax adjustment reduces
        (1) a township assistance tax rate below the rate necessary to meet the estimated cost of township assistance.
        (2) a family and children's fund tax rate below the rate necessary to collect the levy recommended by the department of child services, for property taxes first due and payable before January 1, 2009; or
        (3) a children's psychiatric residential treatment services fund tax rate below the rate necessary to collect the levy recommended by the department of child services, for property taxes first due and payable before January 1, 2009.
SOURCE: IC 6-1.1-17-15; (09)EH1447.2.76. -->     SECTION 76. IC 6-1.1-17-15, AS AMENDED BY P.L.146-2008, SECTION 159, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 15. A political subdivision may appeal to the department of local government finance for an increase in its tax rate or tax levy as fixed modified by the county board of tax adjustment or the county auditor. To initiate the appeal, the political subdivision must file a statement with the department of local government finance not later than ten (10) days after publication of the notice required by section 12 of this chapter. The legislative body of the political subdivision must authorize the filing of the statement by adopting a resolution. The resolution must be attached to the statement of objections, and the statement must be signed by the following officers:
        (1) In the case of counties, by the board of county commissioners and by the president of the county council.
        (2) In the case of all other political subdivisions, by the highest executive officer and by the presiding officer of the legislative body.
SOURCE: IC 6-1.1-17-16; (09)EH1447.2.77. -->     SECTION 77. IC 6-1.1-17-16, AS AMENDED BY P.L.146-2008, SECTION 160, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 16. (a) Subject to the limitations and requirements prescribed in this section, the department of local government finance may revise, reduce, or increase a political subdivision's budget by fund, tax rate, or tax levy which the department reviews under section 8 or 10 of this chapter.
    (b) Subject to the limitations and requirements prescribed in this section, the department of local government finance may review, revise, reduce, or increase the budget by fund, tax rate, or tax levy of any of the political subdivisions whose tax rates compose the aggregate tax rate within a political subdivision whose budget, tax rate, or tax levy is the subject of an appeal initiated under this chapter.
    (c) Except as provided in subsections (j) and (k), before the department of local government finance reviews, revises, reduces, or increases a political subdivision's budget by fund, tax rate, or tax levy under this section, the department must hold a public hearing on the budget, tax rate, and tax levy. The department of local government finance shall hold the hearing in the county in which the political subdivision is located. The department of local government finance may consider the budgets by fund, tax rates, and tax levies of several political subdivisions at the same public hearing. At least five (5) days before the date fixed for a public hearing, the department of local government finance shall give notice of the time and place of the

hearing and of the budgets by fund, levies, and tax rates to be considered at the hearing. The department of local government finance shall publish the notice in two (2) newspapers of general circulation published in the county. However, if only one (1) newspaper of general circulation is published in the county, the department of local government finance shall publish the notice in that newspaper.
    (d) Except as provided in subsection (i), IC 20-46, or IC 6-1.1-18.5, the department of local government finance may not increase a political subdivision's budget by fund, tax rate, or tax levy to an amount which exceeds the amount originally fixed by the political subdivision. However, if the department of local government finance determines that IC 5-3-1-2.3(b) applies to the tax rate, tax levy, or budget of the political subdivision, the maximum amount by which the department may increase the tax rate, tax levy, or budget is the amount originally fixed by the political subdivision, and not the amount that was incorrectly published or omitted in the notice described in IC 5-3-1-2.3(b). The department of local government finance shall give the political subdivision written notification specifying any revision, reduction, or increase the department proposes in a political subdivision's tax levy or tax rate. The political subdivision has two (2) weeks ten (10) calendar days from the date the political subdivision receives the notice to provide a written response to the department of local government finance's Indianapolis office. The response may include budget reductions, reallocation of levies, a revision in the amount of miscellaneous revenues, and further review of any other item about which, in the view of the political subdivision, the department is in error. The department of local government finance shall consider the adjustments as specified in the political subdivision's response if the response is provided as required by this subsection and shall deliver a final decision to the political subdivision.
    (e) The department of local government finance may not approve a levy for lease payments by a city, town, county, library, or school corporation if the lease payments are payable to a building corporation for use by the building corporation for debt service on bonds and if:
        (1) no bonds of the building corporation are outstanding; or
        (2) the building corporation has enough legally available funds on hand to redeem all outstanding bonds payable from the particular lease rental levy requested.
    (f) The department of local government finance shall certify its action to:
        (1) the county auditor;
        (2) the political subdivision if the department acts pursuant to an

appeal initiated by the political subdivision;
        (3) the taxpayer that initiated an appeal under section 13 of this chapter, or, if the appeal was initiated by multiple taxpayers, the first ten (10) taxpayers whose names appear on the statement filed to initiate the appeal; and
        (4) a taxpayer that owns property that represents at least ten percent (10%) of the taxable assessed valuation in the political subdivision.
    (g) The following may petition for judicial review of the final determination of the department of local government finance under subsection (f):
        (1) If the department acts under an appeal initiated by a political subdivision, the political subdivision.
        (2) If the department:
            (A) acts under an appeal initiated by one (1) or more taxpayers under section 13 of this chapter; or
            (B) fails to act on the appeal before the department certifies its action under subsection (f);
        a taxpayer who signed the statement filed to initiate the appeal.
        (3) If the department acts under an appeal initiated by the county auditor under section 14 of this chapter, the county auditor.
        (4) A taxpayer that owns property that represents at least ten percent (10%) of the taxable assessed valuation in the political subdivision.
The petition must be filed in the tax court not more than forty-five (45) days after the department certifies its action under subsection (f).
    (h) The department of local government finance is expressly directed to complete the duties assigned to it under this section not later than February 15th of each year for taxes to be collected during that year.
    (i) Subject to the provisions of all applicable statutes, the department of local government finance may increase a political subdivision's tax levy to an amount that exceeds the amount originally fixed by the political subdivision if the increase is:
        (1) requested in writing by the officers of the political subdivision;
        (2) either:
            (A) based on information first obtained by the political subdivision after the public hearing under section 3 of this chapter; or
            (B) results from an inadvertent mathematical error made in determining the levy; and

        (3) published by the political subdivision according to a notice provided by the department.
    (j) The department of local government finance shall annually review the budget by fund of each school corporation not later than April 1. The department of local government finance shall give the school corporation written notification specifying any revision, reduction, or increase the department proposes in the school corporation's budget by fund. A public hearing is not required in connection with this review of the budget.
    (k) The department of local government finance may hold a hearing under subsection (c) only if the notice required in section 12 of this chapter is published at least ten (10) days before the date of the hearing.
SOURCE: IC 6-1.1-17-20; (09)EH1447.2.78. -->     SECTION 78. IC 6-1.1-17-20, AS AMENDED BY P.L.146-2008, SECTION 163, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2009 (RETROACTIVE)]: Sec. 20. (a) This section applies
        (1) to each governing body of a taxing unit that:
         (1) is not comprised of a majority of officials who are elected to serve on the governing body; and
        (2) if the either:
            (A) is:
                (i) a conservancy district subject to IC 14-33-9;
                (ii) a solid waste management district subject to IC 13-21; or
                (iii) a fire protection district subject to IC 36-8-11-18; or
            (B) has a percentage increase in the proposed budget for the taxing unit for the ensuing calendar year that is more than the result of:
                (A) (i) the assessed value growth quotient determined under IC 6-1.1-18.5-2 for the ensuing calendar year; minus
                (B) (ii) one (1).
For purposes of this section, an individual who qualifies to be appointed to a governing body or serves on a governing body because of the individual's status as an elected official of another taxing unit shall be treated as an official who was not elected to serve on the governing body.
    (b) As used in this section, "taxing unit" has the meaning set forth in IC 6-1.1-1-21, except that the term does not include:
        (1) a school corporation; or
        (2) an entity whose tax levies are subject to review and modification by a city-county legislative body under IC 36-3-6-9.
    (c) This subsection does not apply to a public library. If:
        (1) the assessed valuation of a taxing unit is entirely contained within a city or town; or
        (2) the assessed valuation of a taxing unit is not entirely contained within a city or town but the taxing unit was originally established by the city or town;
the governing body shall submit its proposed budget and property tax levy to the city or town fiscal body. The proposed budget and levy shall be submitted at least fourteen (14) thirty (30) days before the city or town fiscal body is required to hold budget approval hearings under this chapter.
    (d) If subsection (c) does not apply, the governing body of the taxing unit shall submit its proposed budget and property tax levy to the county fiscal body in the county where the taxing unit has the most assessed valuation. The proposed budget and levy shall be submitted at least fourteen (14) thirty (30) days before the county fiscal body is required to hold budget approval hearings under this chapter.
    (e) The fiscal body of the city, town, or county (whichever applies) shall review each budget and proposed tax levy and adopt a final budget and tax levy for the taxing unit. The fiscal body may reduce or modify but not increase the proposed budget or tax levy.
     (f) If a taxing unit fails to file the information required in subsection (c) or (d), whichever applies, with the appropriate fiscal body by the time prescribed by this section, the most recent annual appropriations and annual tax levy of that taxing unit are continued for the ensuing budget year.
    (g) If the appropriate fiscal body fails to complete the requirements of subsection (e) before the adoption deadline in section 5 of this chapter for any taxing unit subject to this section, the most recent annual appropriations and annual tax levy of the city, town, or county, whichever applies, are continued for the ensuing budget year.
SOURCE: IC 6-1.1-17-20.5; (09)EH1447.2.79. -->     SECTION 79. IC 6-1.1-17-20.5, AS ADDED BY P.L.146-2008, SECTION 164, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2009 (RETROACTIVE)]: Sec. 20.5. (a) This section applies to the governing body of a taxing unit unless a majority of the governing body is comprised of officials who are elected to serve on the governing body. For purposes of this section, an individual who qualifies to be appointed to a governing body or serves on a governing body because of the individual's status as an elected official of another taxing unit shall be treated as an official who was not elected to serve on the governing body.
    (b) As used in this section, "taxing unit" has the meaning set forth in IC 6-1.1-1-21, except that the term does not include:
         (1) a school corporation; or
        (2) an entity whose tax levies are subject to review and modification by a city-county legislative body under IC 36-3-6-9.
    (c) This subsection does not apply to a public library. If:
        (1) the assessed valuation of a taxing unit is entirely contained within a city or town; or
        (2) the assessed valuation of a taxing unit is not entirely contained within a city or town but the taxing unit was originally established by the city or town;
the governing body of the taxing unit may not issue bonds or enter into a lease payable in whole or in part from property taxes unless it obtains the approval of the city or town fiscal body.
    (d) This subsection applies to a taxing unit not described in subsection (c). The governing body of the taxing unit may not issue bonds or enter into a lease payable in whole or in part from property taxes unless it obtains the approval of the county fiscal body in the county where the taxing unit has the most net assessed valuation.
SOURCE: IC 6-1.1-18-2; (09)EH1447.2.80. -->     SECTION 80. IC 6-1.1-18-2, AS AMENDED BY P.L.146-2008, SECTION 165, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 2. (a) Before January 1, 2009, the state may not impose a combined ad valorem property tax rate on tangible property that exceeds the sum of the ad valorem property tax rates permitted under IC 4-9.1-1-8, IC 14-23-3-3, and IC 15-1.5-7-3 (before July 1, 2008) and IC 15-13-8-3 (after June 30, 2008, and before January 1, 2009). The state tax rate is not subject to review by county boards of tax adjustment or county auditors.
    (b) (a) Except as permitted under IC 4-9.1-1-8 to repay notes issued to meet casual deficits in state revenue, the state may not impose an ad valorem property tax rate on tangible property after December 31, 2008.
    (c) (b) This section does not apply to political subdivisions of the state.
SOURCE: IC 6-1.1-18-12; (09)EH1447.2.81. -->     SECTION 81. IC 6-1.1-18-12, AS AMENDED BY P.L.146-2008, SECTION 168, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 12. (a) For purposes of this section, "maximum rate" refers to the maximum:
        (1) property tax rate or rates; or
        (2) special benefits tax rate or rates;
referred to in the statutes listed in subsection (d).
    (b) The maximum rate for taxes first due and payable after 2003 is

the maximum rate that would have been determined under subsection (e) for taxes first due and payable in 2003 if subsection (e) had applied for taxes first due and payable in 2003.
    (c) The maximum rate must be adjusted each year to account for the change in assessed value of real property that results from:
        (1) an annual adjustment of the assessed value of real property under IC 6-1.1-4-4.5; or
        (2) a general reassessment of real property under a county's reassessment plan under IC 6-1.1-4-4.
    (d) The statutes to which subsection (a) refers are:
        (1) IC 8-10-5-17;
        (2) IC 8-22-3-11;
        (3) IC 8-22-3-25;
        (4) IC 12-29-1-1;
        (5) IC 12-29-1-2;
        (6) IC 12-29-1-3;
        (7) IC 12-29-3-6;
        (8) IC 13-21-3-12;
        (9) IC 13-21-3-15;
        (10) IC 14-27-6-30;
        (11) IC 14-33-7-3;
        (12) IC 14-33-21-5;
        (13) IC 15-14-7-4;
        (14) IC 15-14-9-1;
        (15) IC 15-14-9-2;
        (16) IC 16-20-2-18;
        (17) IC 16-20-4-27;
        (18) IC 16-20-7-2;
        (19) IC 16-22-14;
        (20) IC 16-23-1-29;
        (21) IC 16-23-3-6;
        (22) IC 16-23-4-2;
        (23) IC 16-23-5-6;
        (24) IC 16-23-7-2;
        (25) IC 16-23-8-2;
        (26) IC 16-23-9-2;
        (27) IC 16-41-15-5;
        (28) IC 16-41-33-4;
        (29) IC 20-46-2-3 (before its repeal on January 1, 2009);
        (30) IC 20-46-6-5;
        (31) IC 20-49-2-10;
        (32) IC 36-1-19-1;

        (33) IC 23-14-66-2;
        (34) IC 23-14-67-3;
        (35) IC 36-7-13-4;
        (36) IC 36-7-14-28;
        (37) IC 36-7-15.1-16;
        (38) IC 36-8-19-8.5;
        (39) IC 36-9-6.1-2;
        (40) IC 36-9-17.5-4;
        (41) IC 36-9-27-73;
        (42) IC 36-9-29-31;
        (43) IC 36-9-29.1-15;
        (44) IC 36-10-6-2;
        (45) IC 36-10-7-7;
        (46) IC 36-10-7-8;
        (47) IC 36-10-7.5-19;
        (48) IC 36-10-13-5;
        (49) IC 36-10-13-7;
        (50) IC 36-10-14-4;
        (51) IC 36-12-7-7;
        (52) IC 36-12-7-8;
        (53) IC 36-12-12-10; and
        (54) any statute enacted after December 31, 2003, that:
            (A) establishes a maximum rate for any part of the:
                (i) property taxes; or
                (ii) special benefits taxes;
            imposed by a political subdivision; and
            (B) does not exempt the maximum rate from the adjustment under this section.
    (e) The new maximum rate under a statute listed in subsection (d) is the tax rate determined under STEP SEVEN of the following STEPS:
        STEP ONE: Determine the maximum rate for the political subdivision levying a property tax or special benefits tax under the statute for the year preceding the year in which the annual adjustment or general reassessment under a county's reassessment plan takes effect.
        STEP TWO: Determine the actual percentage increase (rounded to the nearest one-hundredth percent (0.01%)) in the assessed value (before the adjustment, if any, under IC 6-1.1-4-4.5) of the taxable property from the year preceding the year the annual adjustment or general reassessment under a county's reassessment plan takes effect to the year that the annual adjustment or general reassessment takes effect.
        STEP THREE: Determine the three (3) calendar years that immediately precede the ensuing calendar year. and in which a statewide general reassessment of real property does not first take effect.
        STEP FOUR: Compute separately, for each of the calendar years determined in STEP THREE, the actual percentage increase (rounded to the nearest one-hundredth percent (0.01%)) in the assessed value (before the adjustment, if any, under IC 6-1.1-4-4.5) of the taxable property from the preceding year.
        STEP FIVE: Divide the sum of the three (3) quotients computed in STEP FOUR by three (3).
        STEP SIX: Determine the greater of the following:
            (A) Zero (0).
            (B) The result of the STEP TWO percentage minus the STEP FIVE percentage.
        STEP SEVEN: Determine the quotient of the STEP ONE tax rate divided by the sum of one (1) plus the STEP SIX percentage increase.
    (f) The department of local government finance shall compute the maximum rate allowed under subsection (e) and provide the rate to each political subdivision with authority to levy a tax under a statute listed in subsection (d).
SOURCE: IC 6-1.1-18-13; (09)EH1447.2.82. -->     SECTION 82. IC 6-1.1-18-13, AS AMENDED BY P.L.219-2007, SECTION 53, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 13. (a) The maximum property tax rate levied under IC 20-46-6 by each school corporation for the school corporation's capital projects fund must be adjusted each year to account for the change in assessed value of real property that results from:
        (1) an annual adjustment of the assessed value of real property under IC 6-1.1-4-4.5; or
        (2) a general reassessment of real property under a county's reassessment plan under IC 6-1.1-4-4.
    (b) The new maximum rate under this section is the tax rate determined under STEP SEVEN of the following formula:
        STEP ONE: Determine the maximum rate for the school corporation for the year preceding the year in which the annual adjustment or general reassessment under a county's reassessment plan takes effect.
        STEP TWO: Determine the actual percentage increase (rounded to the nearest one-hundredth percent (0.01%)) in the assessed value (before the adjustment, if any, under IC 6-1.1-4-4.5) of the

taxable property from the year preceding the year the annual adjustment or general reassessment under a county's reassessment plan takes effect to the year that the annual adjustment or general reassessment is effective.
        STEP THREE: Determine the three (3) calendar years that immediately precede the ensuing calendar year. and in which a statewide general reassessment of real property does not first become effective.
        STEP FOUR: Compute separately, for each of the calendar years determined in STEP THREE, the actual percentage increase (rounded to the nearest one-hundredth percent (0.01%)) in the assessed value (before the adjustment, if any, under IC 6-1.1-4-4.5) of the taxable property from the preceding year.
        STEP FIVE: Divide the sum of the three (3) quotients computed in STEP FOUR by three (3).
        STEP SIX: Determine the greater of the following:
            (A) Zero (0).
            (B) The result of the STEP TWO percentage minus the STEP FIVE percentage.
        STEP SEVEN: Determine the quotient of the STEP ONE tax rate divided by the sum of one (1) plus the STEP SIX percentage increase.
    (c) The department of local government finance shall compute the maximum rate allowed under subsection (b) and provide the rate to each school corporation.

SOURCE: IC 6-1.1-18.5-1; (09)EH1447.2.83. -->     SECTION 83. IC 6-1.1-18.5-1, AS AMENDED BY P.L.154-2006, SECTION 46, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 1. As used in this chapter:
    "Ad valorem property tax levy for an ensuing calendar year" means the total property taxes imposed by a civil taxing unit for current property taxes collectible in that ensuing calendar year.
    "Adopting county" means any county in which the county adjusted gross income tax is in effect.
    "Civil taxing unit" means any taxing unit except a school corporation.
    "Maximum permissible ad valorem property tax levy for the preceding calendar year" means the greater of:
        (1) the remainder of:
            (A) the civil taxing unit's maximum permissible ad valorem property tax levy for the calendar year immediately preceding the ensuing calendar year, as that levy was determined under section 3 of this chapter; minus
            (B) one-half (1/2) of the remainder of:
                (i) the civil taxing unit's maximum permissible ad valorem property tax levy referred to in clause (A); minus
                (ii) the civil taxing unit's ad valorem property tax levy for the calendar year immediately preceding the ensuing calendar year referred to in subdivision (2); or
        (2) the civil taxing unit's ad valorem property tax levy for the calendar year immediately preceding the ensuing calendar year, as that levy was determined by the department of local government finance in fixing the civil taxing unit's budget, levy, and rate for that preceding calendar year under IC 6-1.1-17, and after eliminating the effects of temporary excessive levy appeals and temporary adjustments made to the working maximum levy for the calendar year immediately preceding the ensuing calendar year, as determined by the department of local government finance.
    "Taxable property" means all tangible property that is subject to the tax imposed by this article and is not exempt from the tax under IC 6-1.1-10 or any other law. For purposes of sections 2 and 3 of this chapter, the term "taxable property" is further defined in section 6 of this chapter.
    "Unadjusted assessed value" means the assessed value of a civil taxing unit as determined by local assessing officials and the department of local government finance in a particular calendar year before the application of an annual adjustment under IC 6-1.1-4-4.5 for that particular calendar year or any calendar year since the last general reassessment under a county's reassessment plan preceding the particular calendar year.
SOURCE: IC 6-1.1-18.5-7; (09)EH1447.2.84. -->     SECTION 84. IC 6-1.1-18.5-7, AS AMENDED BY P.L.146-2008, SECTION 170, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 7. (a) A civil taxing unit is not subject to the levy limits imposed by section 3 of this chapter for an ensuing calendar year if the civil taxing unit did not adopt an ad valorem property tax levy for the immediately preceding calendar year.
    (b) If under subsection (a) a civil taxing unit is not subject to the levy limits imposed under section 3 of this chapter for a calendar year, the civil taxing unit shall refer its proposed budget, ad valorem property tax levy, and property tax rate for that calendar year to the local government tax control board established by section 11 of this chapter before the tax levy is advertised. The local government tax control board shall then review and make a recommendation to the department of local government finance. on the civil taxing unit's

budget, ad valorem property tax levy, and property tax rate for that calendar year. The department of local government finance shall make a final determination of the civil taxing unit's budget, ad valorem property tax levy, and property tax rate for that calendar year. However, a civil taxing unit may not impose a property tax levy for a year if the unit did not exist as of March 1 of the preceding year.

SOURCE: IC 6-1.1-18.5-8; (09)EH1447.2.85. -->     SECTION 85. IC 6-1.1-18.5-8, AS AMENDED BY P.L.146-2008, SECTION 171, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 8. (a) The ad valorem property tax levy limits imposed by section 3 of this chapter do not apply to ad valorem property taxes imposed by a civil taxing unit if the civil taxing unit is committed to levy the taxes to pay or fund either:
        (1) bonded indebtedness; or
        (2) lease rentals under a lease with an original term of at least five (5) years.
    (b) Except as provided by subsections (g) and (h), a civil taxing unit must file a petition requesting approval from the department of local government finance to incur bonded indebtedness or execute a lease with an original term of at least five (5) years not later than twenty-four (24) months after the first date of publication of notice of a preliminary determination under IC 6-1.1-20-3.1(2) (as in effect before July 1, 2008), unless the civil taxing unit demonstrates that a longer period is reasonable in light of the civil taxing unit's facts and circumstances. A civil taxing unit must obtain approval from the department of local government finance before the civil taxing unit may:
        (1) incur the bonded indebtedness; or
        (2) enter into the lease.
The department of local government finance may seek recommendations from the local government tax control board established by section 11 of this chapter when determining whether to authorize incurring the bonded indebtedness or the execution of the lease.
    (c) The department of local government finance shall render a decision within three (3) months after the date it receives a request for approval under subsection (b). However, the department of local government finance may extend this three (3) month period by an additional three (3) months if, at least ten (10) days before the end of the original three (3) month period, the department sends notice of the extension to the executive officer of the civil taxing unit. A civil taxing unit may petition for judicial review of the final determination of the department of local government finance under this section. The petition must be filed in the tax court not more than forty-five (45) days after

the department enters its order under this section.
    (d) A civil taxing unit does not need approval under subsection (b) to obtain temporary loans made in anticipation of and to be paid from current revenues of the civil taxing unit actually levied and in the course of collection for the fiscal year in which the loans are made.
    (e) For purposes of computing the ad valorem property tax levy limits imposed on a civil taxing unit by section 3 of this chapter, the civil taxing unit's ad valorem property tax levy for a calendar year does not include that part of its levy that is committed to fund or pay bond indebtedness or lease rentals with an original term of five (5) years in subsection (a).
    (f) A taxpayer may petition for judicial review of the final determination of the department of local government finance under this section. The petition must be filed in the tax court not more than thirty (30) days after the department enters its order under this section.
    (g) This subsection applies only to bonds, leases, and other obligations for which a civil taxing unit:
        (1) after June 30, 2008, makes a preliminary determination as described in IC 6-1.1-20-3.1 or IC 6-1.1-20-3.5 or a decision as described in IC 6-1.1-20-5; or
        (2) in the case of bonds, leases, or other obligations payable from ad valorem property taxes but not described in subdivision (1), adopts a resolution or ordinance authorizing the bonds, lease rental agreement, or other obligations after June 30, 2008.
Notwithstanding any other provision, review by the department of local government finance and approval by the department of local government finance is not required before a civil taxing unit may issue or enter into bonds, a lease, or any other obligation.
    (h) This subsection applies after June 30, 2008. Notwithstanding any other provision, review by the department of local government finance and approval by the department of local government finance is not required before a civil taxing unit may construct, alter, or repair a capital project.

SOURCE: IC 6-1.1-18.5-9.8; (09)EH1447.2.86. -->     SECTION 86. IC 6-1.1-18.5-9.8, AS AMENDED BY P.L.219-2007, SECTION 55, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 9.8. (a) For purposes of determining the property tax levy limit imposed on a city, town, or county under section 3 of this chapter, the city, town, or county's ad valorem property tax levy for a particular calendar year does not include an amount equal to the lesser of:
        (1) the amount of ad valorem property taxes that would be first due and payable to the city, town, or county during the ensuing

calendar year if the taxing unit imposed the maximum permissible property tax rate per one hundred dollars ($100) of assessed valuation that the civil taxing unit may impose for the particular calendar year under the authority of IC 36-9-14.5 (in the case of a county) or IC 36-9-15.5 (in the case of a city or town); or
        (2) the excess, if any, of:
            (A) the property taxes imposed by the city, town, or county under the authority of:
                IC 3-11-6-9;
                IC 8-16-3;
                IC 8-16-3.1;
                IC 8-22-3-25;
                IC 14-27-6-48;
                IC 14-33-9-3;
                IC 16-22-8-41;
                IC 16-22-5-2 through IC 16-22-5-15;
                IC 16-23-1-40;
                IC 36-8-14;
                IC 36-9-4-48;
                IC 36-9-14;
                IC 36-9-14.5;
                IC 36-9-15;
                IC 36-9-15.5;
                IC 36-9-16;
                IC 36-9-16.5;
                IC 36-9-17;
                IC 36-9-26;
                IC 36-9-27-100;
                IC 36-10-3-21; or
                IC 36-10-4-36;
            that are first due and payable during the ensuing calendar year; over
            (B) the property taxes imposed by the city, town, or county under the authority of the citations listed in clause (A) that were first due and payable during calendar year 1984.
    (b) The maximum property tax rate levied under the statutes listed in subsection (a) must be adjusted each year to account for the change in assessed value of real property that results from:
        (1) an annual adjustment of the assessed value of real property under IC 6-1.1-4-4.5; or
        (2) a general reassessment of real property under a county's reassessment plan under IC 6-1.1-4-4.

    (c) The new maximum rate under a statute listed in subsection (a) is the tax rate determined under STEP SEVEN of the following formula:
        STEP ONE: Determine the maximum rate for the political subdivision levying a property tax under the statute for the year preceding the year in which the annual adjustment or general reassessment under a county's reassessment plan takes effect.
        STEP TWO: Determine the actual percentage increase (rounded to the nearest one-hundredth percent (0.01%)) in the assessed value (before the adjustment, if any, under IC 6-1.1-4-4.5) of the taxable property from the year preceding the year the annual adjustment or general reassessment under a county's reassessment plan takes effect to the year that the annual adjustment or general reassessment is effective.
        STEP THREE: Determine the three (3) calendar years that immediately precede the ensuing calendar year. and in which a statewide general reassessment of real property does not first become effective.
        STEP FOUR: Compute separately, for each of the calendar years determined in STEP THREE, the actual percentage increase (rounded to the nearest one-hundredth percent (0.01%)) in the assessed value (before the adjustment, if any, under IC 6-1.1-4-4.5) of the taxable property from the preceding year.
        STEP FIVE: Divide the sum of the three (3) quotients computed in STEP FOUR by three (3).
        STEP SIX: Determine the greater of the following:
            (A) Zero (0).
            (B) The result of the STEP TWO percentage minus the STEP FIVE percentage.
        STEP SEVEN: Determine the quotient of the STEP ONE tax rate divided by the sum of one (1) plus the STEP SIX percentage increase.
    (d) The department of local government finance shall compute the maximum rate allowed under subsection (c) and provide the rate to each political subdivision with authority to levy a tax under a statute listed in subsection (a).
SOURCE: IC 6-1.1-18.5-10; (09)EH1447.2.87. -->     SECTION 87. IC 6-1.1-18.5-10, AS AMENDED BY P.L.146-2008, SECTION 174, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2009 (RETROACTIVE)]: Sec. 10. (a) Subject to subsection (d), The ad valorem property tax levy limits imposed by section 3 of this chapter do not apply to ad valorem property taxes imposed by a civil taxing unit to be used to fund:
        (1) community mental health centers under:
            (A) IC 12-29-2-1.2, for only those civil taxing units that authorized financial assistance under IC 12-29-1 before 2002 for a community mental health center as long as the tax levy under this section does not exceed the levy authorized in 2002;
            (B) IC 12-29-2-2 through IC 12-29-2-5; and
            (C) IC 12-29-2-13; or
        (2) community mental retardation and other developmental disabilities centers under IC 12-29-1-1;
to the extent that those property taxes are attributable to any increase in the assessed value of the civil taxing unit's taxable property caused by a general reassessment of real property or reassessment of real property under a county's reassessment plan that took effect after February 28, 1979.
    (b) Subject to subsection (d), For purposes of computing the ad valorem property tax levy limits imposed on a civil taxing unit by section 3 of this chapter, the civil taxing unit's ad valorem property tax levy for a particular calendar year does not include that part of the levy described in subsection (a).
    (c) This subsection applies to property taxes first due and payable after December 31, 2008. Notwithstanding subsections (a) and (b) or any other law, any property taxes imposed by a civil taxing unit that are exempted by this section from the ad valorem property tax levy limits imposed by section 3 of this chapter may not increase annually by a percentage greater than the result of:
        (1) the assessed value growth quotient determined under section 2 of this chapter; minus
        (2) one (1).
    (d) The exemptions under subsections (a) and (b) from the ad valorem property tax levy limits do not apply to a civil taxing unit that did not fund a community mental health center or community mental retardation and other developmental disabilities center in 2008.
     (d) For a county that did not impose an ad valorem property tax levy before January 1, 2009, for the county general fund to provide financial assistance under IC 12-29-1 (community mental retardation and other developmental disabilities center) or IC 12-29-2 (community mental health center), the levy limits do not apply to the part of the county's general fund that is used in the first ensuing calendar year to provide financial assistance under IC 12-29-1 or IC 12-29-2. The department of local government finance shall review a county's proposed budget that is submitted under IC 12-29-1-1 or IC 12-29-2-1.2 and make a final

determination of the county's financial assistance budget for the first ensuing calendar year.

SOURCE: IC 6-1.1-18.5-10.5; (09)EH1447.2.88. -->     SECTION 88. IC 6-1.1-18.5-10.5, AS AMENDED BY P.L.146-2008, SECTION 177, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 10.5. (a) The ad valorem property tax levy limits imposed by section 3 of this chapter do not apply to ad valorem property taxes imposed by a civil taxing unit for fire protection services within a fire protection territory under IC 36-8-19, if the civil taxing unit is a participating unit in a fire protection territory established before August 1, 2001. For purposes of computing the ad valorem property tax levy limits imposed on a civil taxing unit by section 3 of this chapter on a civil taxing unit that is a participating unit in a fire protection territory established before August 1, 2001, the civil taxing unit's ad valorem property tax levy for a particular calendar year does not include that part of the levy imposed under IC 36-8-19.
    (b) This subsection applies to a participating unit in a fire protection territory established under IC 36-8-19 after July 31, 2001. The ad valorem property tax levy limits imposed by section 3 of this chapter do not apply to ad valorem property taxes imposed by a civil taxing unit for fire protection services within a fire protection territory under IC 36-8-19 for the three (3) calendar years in which the participating unit levies a tax to support the territory. For purposes of computing the ad valorem property tax levy limits imposed on a civil taxing unit by section 3 of this chapter for the three (3) calendar years for which the participating unit levies a tax to support the territory, the civil taxing unit's ad valorem property tax levy for a particular calendar year does not include that part of the levy imposed under IC 36-8-19.
    (c) This subsection applies to property taxes first due and payable after December 31, 2008. Except as provided in subsection (d), notwithstanding subsections (a) and (b) or any other law, any property taxes imposed by a civil taxing unit that are exempted by this section from the ad valorem property tax levy limits imposed by section 3 of this chapter may not increase annually by a percentage greater than the result of:
        (1) the assessed value growth quotient determined under section 2 of this chapter; minus
        (2) one (1).
     (d) The limits specified in subsection (c) do not apply to a civil taxing unit in the first year in which the civil taxing unit becomes a participating unit in a fire protection territory established under IC 36-8-19. In the first year in which a civil taxing unit becomes a

participating unit in a fire protection territory, the civil taxing unit shall submit its proposed budget, proposed ad valorem property tax levy, and proposed property tax rate for the fire protection territory to the department of local government finance. The department of local government finance shall make a final determination of the civil taxing unit's budget, ad valorem property tax levy, and property tax rate for the fire protection territory for that calendar year. In making its determination under this subsection, the department of local government finance shall consider the amount that the civil taxing unit is obligated to provide to meet the expenses of operation and maintenance of the fire protection services within the territory, plus a reasonable operating balance, not to exceed twenty percent (20%) of the budgeted expenses. However, the department of local government finance may not approve under this subsection a property tax levy greater than zero (0) if the civil taxing unit did not exist as of the March 1 assessment date for which the tax levy will be imposed. For purposes of applying subsection (c) to the civil taxing unit's property tax levy for the fire protection territory in subsequent calendar years, the department of local government finance may determine not to consider part or all of the part of the first year property tax levy imposed to establish an operating balance.

SOURCE: IC 6-1.1-18.5-12; (09)EH1447.2.89. -->     SECTION 89. IC 6-1.1-18.5-12, AS AMENDED BY P.L.146-2008, SECTION 179, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 12. (a) Any civil taxing unit that determines that it cannot carry out its governmental functions for an ensuing calendar year under the levy limitations imposed by section 3 of this chapter may:
        (1) before September October 20 of the calendar year immediately preceding the ensuing calendar year; or
        (2) in the case of a request described in section 16 of this chapter, before December 31 of the calendar year immediately preceding the ensuing calendar year;
appeal to the department of local government finance for relief from those levy limitations. In the appeal the civil taxing unit must state that it will be unable to carry out the governmental functions committed to it by law unless it is given the authority that it is petitioning for. The civil taxing unit must support these allegations by reasonably detailed statements of fact.
    (b) The department of local government finance shall promptly deliver to the local government tax control board every appeal petition it receives under subsection (a) and any materials it receives relevant

to those appeals. Upon receipt of an appeal petition, the local government tax control board shall immediately proceed to the examination and consideration of the merits of the civil taxing unit's appeal.
    (c) In considering an appeal, the local government tax control board department of local government finance has the power to conduct hearings, require any officer or member of the appealing civil taxing unit to appear before it, or require any officer or member of the appealing civil taxing unit to provide the board department with any relevant records or books.
    (d) If an officer or member:
        (1) fails to appear at a hearing of the local government tax control board after having been given written notice from the local government tax control board requiring that person's attendance; or
        (2) fails to produce for the local government tax control board's use the books and records that the local government tax control board department by written notice required the officer or member to produce;
then the local government tax control board department may file an affidavit in the circuit court in the jurisdiction in which the officer or member may be found setting forth the facts of the failure.
    (e) Upon the filing of an affidavit under subsection (d), the circuit court shall promptly issue a summons, and the sheriff of the county within which the circuit court is sitting shall serve the summons. The summons must command the officer or member to appear before the local government tax control board department to provide information to the local government tax control board department or to produce books and records for the local government tax control board's department's use, as the case may be. Disobedience of the summons constitutes, and is punishable as, a contempt of the circuit court that issued the summons.
    (f) All expenses incident to the filing of an affidavit under subsection (d) and the issuance and service of a summons shall be charged to the officer or member against whom the summons is issued, unless the circuit court finds that the officer or member was acting in good faith and with reasonable cause. If the circuit court finds that the officer or member was acting in good faith and with reasonable cause or if an affidavit is filed and no summons is issued, the expenses shall be charged against the county in which the affidavit was filed and shall be allowed by the proper fiscal officers of that county.
    (g) The fiscal officer of a civil taxing unit that appeals under section

16 of this chapter for relief from levy limitations shall immediately file a copy of the appeal petition with the county auditor and the county treasurer of the county in which the unit is located.

SOURCE: IC 6-1.1-18.5-13; (09)EH1447.2.90. -->     SECTION 90. IC 6-1.1-18.5-13, AS AMENDED BY P.L.146-2008, SECTION 180, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2010]: Sec. 13. With respect to an appeal filed under section 12 of this chapter, the local government tax control board may recommend department may find that a civil taxing unit should receive any one (1) or more of the following types of relief:
        (1) Permission to the civil taxing unit to increase its levy in excess of the limitations established under section 3 of this chapter, if in the judgment of the local government tax control board department the increase is reasonably necessary due to increased costs of the civil taxing unit resulting from annexation, consolidation, or other extensions of governmental services by the civil taxing unit to additional geographic areas or persons. With respect to annexation, consolidation, or other extensions of governmental services in a calendar year, if those increased costs are incurred by the civil taxing unit in that calendar year and more than one (1) immediately succeeding calendar year, the unit may appeal under section 12 of this chapter for permission to increase its levy under this subdivision based on those increased costs in any of the following:
            (A) The first calendar year in which those costs are incurred.
            (B) One (1) or more of the immediately succeeding four (4) calendar years.
        (2) A levy increase may not be granted under this subdivision for property taxes first due and payable after December 31, 2008. Permission to the civil taxing unit to increase its levy in excess of the limitations established under section 3 of this chapter, if the local government tax control board finds that the civil taxing unit needs the increase to meet the civil taxing unit's share of the costs of operating a court established by statute enacted after December 31, 1973. Before recommending such an increase, the local government tax control board shall consider all other revenues available to the civil taxing unit that could be applied for that purpose. The maximum aggregate levy increases that the local government tax control board may recommend for a particular court equals the civil taxing unit's estimate of the unit's share of the costs of operating a court for the first full calendar year in which it is in existence. For purposes of this subdivision, costs of operating a court include:
            (A) the cost of personal services (including fringe benefits);
            (B) the cost of supplies; and
            (C) any other cost directly related to the operation of the court.
        (3) Permission to the civil taxing unit to increase its levy in excess of the limitations established under section 3 of this chapter, if the local government tax control board department finds that the quotient determined under STEP SIX of the following formula is equal to or greater than one and two-hundredths (1.02):
            STEP ONE: Determine the three (3) calendar years that most immediately precede the ensuing calendar year. and in which a statewide general reassessment of real property or the initial annual adjustment of the assessed value of real property under IC 6-1.1-4-4.5 does not first become effective.
            STEP TWO: Compute separately, for each of the calendar years determined in STEP ONE, the quotient (rounded to the nearest ten-thousandth (0.0001)) of the sum of the civil taxing unit's total assessed value of all taxable property and:
                (i) for a particular calendar year before 2007, the total assessed value of property tax deductions in the unit under IC 6-1.1-12-41 or IC 6-1.1-12-42 in the particular calendar year; or
                (ii) for a particular calendar year after 2006, the total assessed value of property tax deductions that applied in the unit under IC 6-1.1-12-42 in 2006;
            divided by the sum determined under this STEP for the calendar year immediately preceding the particular calendar year.
            STEP THREE: Divide the sum of the three (3) quotients computed in STEP TWO by three (3).
            STEP FOUR: Compute separately, for each of the calendar years determined in STEP ONE, the quotient (rounded to the nearest ten-thousandth (0.0001)) of the sum of the total assessed value of all taxable property in all counties and:
                (i) for a particular calendar year before 2007, the total assessed value of property tax deductions in all counties under IC 6-1.1-12-41 or IC 6-1.1-12-42 in the particular calendar year; or
                (ii) for a particular calendar year after 2006, the total assessed value of property tax deductions that applied in all counties under IC 6-1.1-12-42 in 2006;
            divided by the sum determined under this STEP for the calendar year immediately preceding the particular calendar

year.
            STEP FIVE: Divide the sum of the three (3) quotients computed in STEP FOUR by three (3).
            STEP SIX: Divide the STEP THREE amount by the STEP FIVE amount.
        The civil taxing unit may increase its levy by a percentage not greater than the percentage by which the STEP THREE amount exceeds the percentage by which the civil taxing unit may increase its levy under section 3 of this chapter based on the assessed value growth quotient determined under section 2 of this chapter.
        (4) A levy increase may not be granted under this subdivision for property taxes first due and payable after December 31, 2008. Permission to the civil taxing unit to increase its levy in excess of the limitations established under section 3 of this chapter, if the local government tax control board finds that the civil taxing unit needs the increase to pay the costs of furnishing fire protection for the civil taxing unit through a volunteer fire department. For purposes of determining a township's need for an increased levy, the local government tax control board shall not consider the amount of money borrowed under IC 36-6-6-14 during the immediately preceding calendar year. However, any increase in the amount of the civil taxing unit's levy recommended by the local government tax control board under this subdivision for the ensuing calendar year may not exceed the lesser of:
            (A) ten thousand dollars ($10,000); or
            (B) twenty percent (20%) of:
                (i) the amount authorized for operating expenses of a volunteer fire department in the budget of the civil taxing unit for the immediately preceding calendar year; plus
                (ii) the amount of any additional appropriations authorized during that calendar year for the civil taxing unit's use in paying operating expenses of a volunteer fire department under this chapter; minus
                (iii) the amount of money borrowed under IC 36-6-6-14 during that calendar year for the civil taxing unit's use in paying operating expenses of a volunteer fire department.
        (5) A levy increase may not be granted under this subdivision for property taxes first due and payable after December 31, 2008. Permission to a civil taxing unit to increase its levy in excess of the limitations established under section 3 of this chapter in order to raise revenues for pension payments and contributions the civil

taxing unit is required to make under IC 36-8. The maximum increase in a civil taxing unit's levy that may be recommended under this subdivision for an ensuing calendar year equals the amount, if any, by which the pension payments and contributions the civil taxing unit is required to make under IC 36-8 during the ensuing calendar year exceeds the product of one and one-tenth (1.1) multiplied by the pension payments and contributions made by the civil taxing unit under IC 36-8 during the calendar year that immediately precedes the ensuing calendar year. For purposes of this subdivision, "pension payments and contributions made by a civil taxing unit" does not include that part of the payments or contributions that are funded by distributions made to a civil taxing unit by the state.
        (6) A levy increase may not be granted under this subdivision for property taxes first due and payable after December 31, 2008. Permission to increase its levy in excess of the limitations established under section 3 of this chapter if the local government tax control board finds that:
            (A) the township's township assistance ad valorem property tax rate is less than one and sixty-seven hundredths cents ($0.0167) per one hundred dollars ($100) of assessed valuation; and
            (B) the township needs the increase to meet the costs of providing township assistance under IC 12-20 and IC 12-30-4.
        The maximum increase that the board may recommend for a township is the levy that would result from an increase in the township's township assistance ad valorem property tax rate of one and sixty-seven hundredths cents ($0.0167) per one hundred dollars ($100) of assessed valuation minus the township's ad valorem property tax rate per one hundred dollars ($100) of assessed valuation before the increase.
        (7) A levy increase may not be granted under this subdivision for property taxes first due and payable after December 31, 2008. Permission to a civil taxing unit to increase its levy in excess of the limitations established under section 3 of this chapter if:
            (A) the increase has been approved by the legislative body of the municipality with the largest population where the civil taxing unit provides public transportation services; and
            (B) the local government tax control board finds that the civil taxing unit needs the increase to provide adequate public transportation services.
        The local government tax control board shall consider tax rates

and levies in civil taxing units of comparable population, and the effect (if any) of a loss of federal or other funds to the civil taxing unit that might have been used for public transportation purposes. However, the increase that the board may recommend under this subdivision for a civil taxing unit may not exceed the revenue that would be raised by the civil taxing unit based on a property tax rate of one cent ($0.01) per one hundred dollars ($100) of assessed valuation.
        (8) A levy increase may not be granted under this subdivision for property taxes first due and payable after December 31, 2008. Permission to a civil taxing unit to increase the unit's levy in excess of the limitations established under section 3 of this chapter if the local government tax control board finds that:
            (A) the civil taxing unit is:
                (i) a county having a population of more than one hundred forty-eight thousand (148,000) but less than one hundred seventy thousand (170,000);
                (ii) a city having a population of more than fifty-five thousand (55,000) but less than fifty-nine thousand (59,000);
                (iii) a city having a population of more than twenty-eight thousand seven hundred (28,700) but less than twenty-nine thousand (29,000);
                (iv) a city having a population of more than fifteen thousand four hundred (15,400) but less than sixteen thousand six hundred (16,600); or
                (v) a city having a population of more than seven thousand (7,000) but less than seven thousand three hundred (7,300); and
            (B) the increase is necessary to provide funding to undertake removal (as defined in IC 13-11-2-187) and remedial action (as defined in IC 13-11-2-185) relating to hazardous substances (as defined in IC 13-11-2-98) in solid waste disposal facilities or industrial sites in the civil taxing unit that have become a menace to the public health and welfare.
        The maximum increase that the local government tax control board may recommend for such a civil taxing unit is the levy that would result from a property tax rate of six and sixty-seven hundredths cents ($0.0667) for each one hundred dollars ($100) of assessed valuation. For purposes of computing the ad valorem property tax levy limit imposed on a civil taxing unit under section 3 of this chapter, the civil taxing unit's ad valorem property tax levy for a particular year does not include that part of

the levy imposed under this subdivision. In addition, a property tax increase permitted under this subdivision may be imposed for only two (2) calendar years.
        (9) A levy increase may not be granted under this subdivision for property taxes first due and payable after December 31, 2008. Permission for a county:
            (A) having a population of more than eighty thousand (80,000) but less than ninety thousand (90,000) to increase the county's levy in excess of the limitations established under section 3 of this chapter, if the local government tax control board finds that the county needs the increase to meet the county's share of the costs of operating a jail or juvenile detention center, including expansion of the facility, if the jail or juvenile detention center is opened after December 31, 1991;
            (B) that operates a county jail or juvenile detention center that is subject to an order that:
                (i) was issued by a federal district court; and
                (ii) has not been terminated;
            (C) that operates a county jail that fails to meet:
                (i) American Correctional Association Jail Construction Standards; and
                (ii) Indiana jail operation standards adopted by the department of correction; or
            (D) that operates a juvenile detention center that fails to meet standards equivalent to the standards described in clause (C) for the operation of juvenile detention centers.
        Before recommending an increase, the local government tax control board shall consider all other revenues available to the county that could be applied for that purpose. An appeal for operating funds for a jail or a juvenile detention center shall be considered individually, if a jail and juvenile detention center are both opened in one (1) county. The maximum aggregate levy increases that the local government tax control board may recommend for a county equals the county's share of the costs of operating the jail or a juvenile detention center for the first full calendar year in which the jail or juvenile detention center is in operation.
        (10) A levy increase may not be granted under this subdivision for property taxes first due and payable after December 31, 2008. Permission for a township to increase its levy in excess of the limitations established under section 3 of this chapter, if the local government tax control board finds that the township needs the

increase so that the property tax rate to pay the costs of furnishing fire protection for a township, or a portion of a township, enables the township to pay a fair and reasonable amount under a contract with the municipality that is furnishing the fire protection. However, for the first time an appeal is granted the resulting rate increase may not exceed fifty percent (50%) of the difference between the rate imposed for fire protection within the municipality that is providing the fire protection to the township and the township's rate. A township is required to appeal a second time for an increase under this subdivision if the township wants to further increase its rate. However, a township's rate may be increased to equal but may not exceed the rate that is used by the municipality. More than one (1) township served by the same municipality may use this appeal.
        (11) A levy increase may not be granted under this subdivision for property taxes first due and payable after December 31, 2008. Permission for a township to increase its levy in excess of the limitations established under section 3 of this chapter, if the local government tax control board finds that the township has been required, for the three (3) consecutive years preceding the year for which the appeal under this subdivision is to become effective, to borrow funds under IC 36-6-6-14 to furnish fire protection for the township or a part of the township. However, the maximum increase in a township's levy that may be allowed under this subdivision is the least of the amounts borrowed under IC 36-6-6-14 during the preceding three (3) calendar years. A township may elect to phase in an approved increase in its levy under this subdivision over a period not to exceed three (3) years. A particular township may appeal to increase its levy under this section not more frequently than every fourth calendar year.
        (12) Permission to a city having a population of more than twenty-nine thousand (29,000) but less than thirty-one thousand (31,000) to increase its levy in excess of the limitations established under section 3 of this chapter if:
            (A) an appeal was granted to the city under this section to reallocate property tax replacement credits under IC 6-3.5-1.1 in 1998, 1999, and 2000; and
            (B) the increase has been approved by the legislative body of the city, and the legislative body of the city has by resolution determined that the increase is necessary to pay normal operating expenses.
        The maximum amount of the increase is equal to the amount of

property tax replacement credits under IC 6-3.5-1.1 that the city petitioned under this section to have reallocated in 2001 for a purpose other than property tax relief.
        (13) A levy increase may be granted under this subdivision only for property taxes first due and payable after December 31, 2008. Permission to a civil taxing unit to increase its levy in excess of the limitations established under section 3 of this chapter if the civil taxing unit cannot carry out its governmental functions for an ensuing calendar year under the levy limitations imposed by section 3 of this chapter due to a natural disaster, an accident, or another unanticipated emergency.

SOURCE: IC 6-1.1-18.5-13.5; (09)EH1447.2.91. -->     SECTION 91. IC 6-1.1-18.5-13.5, AS AMENDED BY P.L.224-2007, SECTION 26, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 13.5. A levy increase may not be granted under this section for property taxes first due and payable after December 31, 2009. With respect to an appeal filed under section 12 of this chapter, the local government tax control board may recommend that the department of local government finance may give permission to a town having a population of more than three hundred seventy-five (375) but less than five hundred (500) located in a county having a population of more than seventy-one thousand (71,000) but less than seventy-one thousand four hundred (71,400) to increase its levy in excess of the limitations established under section 3 of this chapter, if the local government tax control board department finds that the town needs the increase to pay the costs of furnishing fire protection for the town. However, any increase in the amount of the town's levy recommended by the local government tax control board under this section for the ensuing calendar year may not exceed the greater of:
        (1) twenty-five thousand dollars ($25,000); or
        (2) twenty percent (20%) of the sum of:
            (A) the amount authorized for the cost of furnishing fire protection in the town's budget for the immediately preceding calendar year; plus
            (B) the amount of any additional appropriations authorized under IC 6-1.1-18-5 during that calendar year for the town's use in paying the costs of furnishing fire protection.
SOURCE: IC 6-1.1-18.5-13.6; (09)EH1447.2.92. -->     SECTION 92. IC 6-1.1-18.5-13.6, AS AMENDED BY P.L.146-2008, SECTION 181, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 13.6. A levy increase may not be granted under this section for property taxes first due and payable after December 31, 2008. For an appeal filed under section 12

of this chapter, the local government tax control board may recommend that the department of local government finance may give permission to a county to increase its levy in excess of the limitations established under section 3 of this chapter if the local government tax control board department finds that the county needs the increase to pay for:
        (1) a new voting system; or
        (2) the expansion or upgrade of an existing voting system;
under IC 3-11-6.

SOURCE: IC 6-1.1-18.5-14; (09)EH1447.2.93. -->     SECTION 93. IC 6-1.1-18.5-14, AS AMENDED BY P.L.146-2008, SECTION 182, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 14. (a) The local government tax control board may recommend to The department of local government finance may order a correction of any advertising error, mathematical error, or error in data made at the local level for any calendar year if the department finds that the error affects the determination of the limitations established by section 3 of this chapter or the tax rate or levy of a civil taxing unit. The department of local government finance may on its own initiative correct such an advertising error, mathematical error, or error in data for any civil taxing unit.
    (b) A correction made under subsection (a) for a prior calendar year shall be applied to the civil taxing unit's levy limitations, rate, and levy for the ensuing calendar year to offset any cumulative effect that the error caused in the determination of the civil taxing unit's levy limitations, rate, or levy for the ensuing calendar year.
SOURCE: IC 6-1.1-18.5-15; (09)EH1447.2.94. -->     SECTION 94. IC 6-1.1-18.5-15, AS AMENDED BY P.L.146-2008, SECTION 183, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 15. (a) The department of local government finance, upon receiving a recommendation made making a finding under section 13 or 14 of this chapter, shall enter an order adopting, rejecting, or adopting in part and rejecting in part the recommendation of the local government tax control board. setting forth its final determination.
    (b) A civil taxing unit may petition for judicial review of the final determination made by the department of local government finance under subsection (a). The action must be taken to the tax court under IC 6-1.1-15 in the same manner that an action is taken to appeal a final determination of the Indiana board. The petition must be filed in the tax court not more than forty-five (45) days after the department enters its order under subsection (a).
SOURCE: IC 6-1.1-18.5-16; (09)EH1447.2.95. -->     SECTION 95. IC 6-1.1-18.5-16, AS AMENDED BY P.L.146-2008, SECTION 184, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 16. (a) A civil taxing unit may

request permission from the local government tax control board department to impose an ad valorem property tax levy that exceeds the limits imposed by section 3 of this chapter if:
        (1) the civil taxing unit experienced a property tax revenue shortfall that resulted from erroneous assessed valuation figures being provided to the civil taxing unit;
        (2) the erroneous assessed valuation figures were used by the civil taxing unit in determining its total property tax rate; and
        (3) the error in the assessed valuation figures was found after the civil taxing unit's property tax levy resulting from that total rate was finally approved by the department of local government finance.
    (b) A civil taxing unit may request permission from the local government tax control board department to impose an ad valorem property tax levy that exceeds the limits imposed by section 3 of this chapter if the civil taxing unit experienced a property tax revenue shortfall because of the payment of refunds that resulted from appeals under this article and IC 6-1.5.
    (c) If the local government tax control board department determines that a shortfall described in subsection (a) or (b) has occurred, it shall recommend to the department of local government finance may find that the civil taxing unit should be allowed to impose a property tax levy exceeding the limit imposed by section 3 of this chapter. and the department may adopt such recommendation. However, the maximum amount by which the civil taxing unit's levy may be increased over the limits imposed by section 3 of this chapter equals the remainder of the civil taxing unit's property tax levy for the particular calendar year as finally approved by the department of local government finance minus the actual property tax levy collected by the civil taxing unit for that particular calendar year.
    (d) Any property taxes collected by a civil taxing unit over the limits imposed by section 3 of this chapter under the authority of this section may not be treated as a part of the civil taxing unit's maximum permissible ad valorem property tax levy for purposes of determining its maximum permissible ad valorem property tax levy for future years.
    (e) If the department of local government finance authorizes an excess tax levy under this section, it shall take appropriate steps to insure that the proceeds are first used to repay any loan made to the civil taxing unit for the purpose of meeting its current expenses.

SOURCE: IC 6-1.1-18.5-17; (09)EH1447.2.96. -->     SECTION 96. IC 6-1.1-18.5-17, AS AMENDED BY P.L.219-2007, SECTION 57, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 17. (a) As used in this section, "levy excess"

means the part of the ad valorem property tax levy actually collected by a civil taxing unit, for taxes first due and payable during a particular calendar year, that exceeds the civil taxing unit's ad valorem property tax levy, as approved by the department of local government finance under IC 6-1.1-17. The term does not include delinquent ad valorem property taxes collected during a particular year that were assessed for an assessment date that precedes the assessment date for the current year in which the ad valorem property taxes are collected.
    (b) A civil taxing unit's levy excess is valid and may not be contested on the grounds that it exceeds the civil taxing unit's levy limit for the applicable calendar year. However, the civil taxing unit shall deposit, except as provided in subsections (h) and (i), its levy excess in a special fund to be known as the civil taxing unit's levy excess fund.
    (c) The chief fiscal officer of a civil taxing unit may invest money in the civil taxing unit's levy excess fund in the same manner in which money in the civil taxing unit's general fund may be invested. However, any income derived from investment of the money shall be deposited in and becomes a part of the levy excess fund.
    (d) The department of local government finance shall require a civil taxing unit to include the amount in its levy excess fund in the civil taxing unit's budget fixed under IC 6-1.1-17.
    (e) Except as provided by subsection (f), a civil taxing unit may not spend any money in its levy excess fund until the expenditure of the money has been included in a budget that has been approved by the department of local government finance under IC 6-1.1-17. For purposes of fixing its budget and for purposes of the ad valorem property tax levy limits imposed under this chapter, a civil taxing unit shall treat the money in its levy excess fund that the department of local government finance permits it to spend during a particular calendar year as part of its ad valorem property tax levy for that same calendar year.
    (f) A civil taxing unit may transfer money from its levy excess fund to its other funds to reimburse those funds for amounts withheld from the civil taxing unit as a result of refunds paid under IC 6-1.1-26.
    (g) Subject to the limitations imposed by this section, a civil taxing unit may use money in its levy excess fund for any lawful purpose for which money in any of its other funds may be used.
    (h) If the amount that would, notwithstanding this subsection, be deposited in the levy excess fund of a civil taxing unit for a particular calendar year is less than one hundred dollars ($100), no money shall be deposited in the levy excess fund of the unit for that year.
    (i) This subsection applies only to a civil taxing unit that:

        (1) has a levy excess for a particular calendar year;
        (2) in the preceding calendar year experienced a shortfall in property tax collections below the civil taxing unit's property tax levy approved by the department of local government finance under IC 6-1.1-17; and
        (3) did not receive permission from the local government tax control board department to impose, because of the shortfall in property tax collections in the preceding calendar year, a property tax levy that exceeds the limits imposed by section 3 of this chapter.
The amount that a civil taxing unit subject to this subsection must transfer to the civil taxing unit's levy excess fund in the calendar year in which the excess is collected shall be reduced by the amount of the civil taxing unit's shortfall in property tax collections in the preceding calendar year (but the reduction may not exceed the amount of the civil taxing unit's levy excess).
SOURCE: IC 6-1.1-19-1; (09)EH1447.2.97. -->     SECTION 97. IC 6-1.1-19-1, AS AMENDED BY P.L.146-2008, SECTION 185, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 1. The following definitions apply throughout As used in this chapter,
        (1) "appeal" refers to an appeal taken to the department of local government finance by or in respect of a school corporation under any of the following:
        (A) (1) IC 6-1.1-17.
        (B) (2) IC 20-43.
        (2) "Tax control board" means the school property tax control board established by section 4.1 of this chapter.
SOURCE: IC 6-1.1-19-3; (09)EH1447.2.98. -->     SECTION 98. IC 6-1.1-19-3, AS AMENDED BY P.L.146-2008, SECTION 186, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 3. (a) When an appeal is taken to the department of local government finance, the department may exercise the powers described in IC 6-1.1-17 to revise, change, or increase the budget, tax levy, or tax rate of the appellant school corporation.
    (b) The department of local government finance may not exercise any of the powers described in subsection (a) until it receives, regarding the appellant school corporation's budget, tax levy, or tax rate, the recommendation of the tax control board.
SOURCE: IC 6-1.1-19-7; (09)EH1447.2.99. -->     SECTION 99. IC 6-1.1-19-7, AS AMENDED BY P.L.2-2006, SECTION 50, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 7. (a) Any recommendation that is to be made by the tax control board to the department of local government finance

under any law that applies to the appeal must be made at the time prescribed in this chapter.
    (b) If a time for making a recommendation is not prescribed in this chapter, the recommendation must be made at a time that permits the department of local government finance to complete the duties of the department that are set forth in IC 6-1.1-17 within the time allowed by law for the completion of the duties or within the additional time that is reasonably necessary for the department of local government finance and the tax control board to complete the duties set forth in this chapter.
    (c) (a) A tax levy is not invalid because of the failure of either the tax control board or the department of local government finance to complete its duties within the time or time limits provided by this chapter or any other law.
    (d) (b) Subject to this chapter, the department of local government finance may
        (1) accept, reject, or accept in part and reject in part any recommendation of the tax control board that is made to the department of local government finance under this chapter; and
        (2) make any order that is consistent with IC 6-1.1-17.
    (e) (c) A school corporation may petition for judicial review of the final determination of the department of local government finance. under subsection (d). The petition must be filed in the tax court not more than forty-five (45) days after the department enters its order. under subsection (d).

SOURCE: IC 6-1.1-20-1.9; (09)EH1447.2.100. -->     SECTION 100. IC 6-1.1-20-1.9, AS AMENDED BY P.L.146-2008, SECTION 190, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 1.9. (a) As used in this chapter, "registered voter" means the following:
        (1) In the case of a petition under section 3.1 of this chapter to initiate a petition and remonstrance process, an individual who is registered to vote in the political subdivision on the date the proper officers of the political subdivision publish notice under section 3.1(b)(2) of this chapter of a preliminary determination by the political subdivision to issue bonds or enter into a lease. county voter registration board makes the determination under section 3.1(b)(8) of this chapter regarding whether persons who signed the petition are registered voters.
        (2) In the case of:
            (A) a petition under section 3.2 of this chapter in favor of the proposed debt service or lease payments; or
            (B) a remonstrance under section 3.2 of this chapter against

the proposed debt service or lease payments;
        an individual who is registered to vote in the political subdivision on the date that is thirty (30) days after the notice of the applicability of the petition and remonstrance process is published under section 3.2(b)(1) of this chapter. the county voter registration board makes the determination under section 3.2(b)(5) of this chapter regarding whether persons who signed the petition or remonstrance are registered voters.
         (3) In the case of a petition under section 3.5 of this chapter requesting the application of the local public question process under section 3.6 of this chapter concerning proposed debt service or lease payments, an individual who is registered to vote in the political subdivision on the date the county voter registration board makes the determination under section 3.5(b)(8) of this chapter regarding whether persons who signed the petition are registered voters.
    (3) (b) As used in this chapter, in the case of a an election on a public question held under section 3.6 of this chapter, "eligible voter" means an individual who is registered to vote in the political subdivision on the date that is thirty (30) days before the date of eligible to vote in the election in the political subdivision in which the public question will be held, as determined under IC 3.

SOURCE: IC 6-1.1-20-3.1; (09)EH1447.2.101. -->     SECTION 101. IC 6-1.1-20-3.1, AS AMENDED BY P.L.146-2008, SECTION 191, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 3.1. (a) This section applies only to the following:
        (1) A controlled project (as defined in section 1.1 of this chapter as in effect June 30, 2008) for which the proper officers of a political subdivision make a preliminary determination in the manner described in subsection (b) before July 1, 2008.
        (2) An elementary school building, middle school building, or other school building for academic instruction that:
            (A) is a controlled project;
            (B) will be used for any combination of kindergarten through grade 8;
            (C) will not be used for any combination of grade 9 through grade 12; and
            (D) will not cost more than ten million dollars ($10,000,000).
        (3) A high school building or other school building for academic instruction that:
            (A) is a controlled project;
            (B) will be used for any combination of grade 9 through grade

12;
            (C) will not be used for any combination of kindergarten through grade 8; and
            (D) will not cost more than twenty million dollars ($20,000,000).
        (4) Any other controlled project that:
            (A) is not a controlled project described in subdivision (1), (2), or (3); and
            (B) will not cost the political subdivision more than the lesser of the following:
                (i) Twelve million dollars ($12,000,000).
                (ii) An amount equal to one percent (1%) of the total gross assessed value of property within the political subdivision on the last assessment date, if that amount is at least one million dollars ($1,000,000).
    (b) A political subdivision may not impose property taxes to pay debt service on bonds or lease rentals on a lease for a controlled project without completing the following procedures:
        (1) The proper officers of a political subdivision shall:
            (A) publish notice in accordance with IC 5-3-1; and
            (B) send notice by first class mail to any organization that delivers to the officers, before January 1 of that year, an annual written request for such notices;
        of any meeting to consider adoption of a resolution or an ordinance making a preliminary determination to issue bonds or enter into a lease and shall conduct a public hearing on a preliminary determination before adoption of the resolution or ordinance.
        (2) When the proper officers of a political subdivision make a preliminary determination to issue bonds or enter into a lease for a controlled project, the officers shall give notice of the preliminary determination by:
            (A) publication in accordance with IC 5-3-1; and
            (B) first class mail to the organizations described in subdivision (1)(B).
        (3) A notice under subdivision (2) of the preliminary determination of the political subdivision to issue bonds or enter into a lease for a controlled project must include the following information:
            (A) The maximum term of the bonds or lease.
            (B) The maximum principal amount of the bonds or the maximum lease rental for the lease.

            (C) The estimated interest rates that will be paid and the total interest costs associated with the bonds or lease.
            (D) The purpose of the bonds or lease.
            (E) A statement that any owners of real property within the political subdivision or registered voters residing within the political subdivision who want to initiate a petition and remonstrance process against the proposed debt service or lease payments must file a petition that complies with subdivisions (4) and (5) not later than thirty (30) days after publication in accordance with IC 5-3-1.
            (F) With respect to bonds issued or a lease entered into to open:
                (i) a new school facility; or
                (ii) an existing facility that has not been used for at least three (3) years and that is being reopened to provide additional classroom space;
            the estimated costs the school corporation expects to incur annually to operate the facility.
            (G) A statement of whether the school corporation expects to appeal for a new facility adjustment (as defined in IC 20-45-1-16 before January 1, 2009) for an increased maximum permissible tuition support levy to pay the estimated costs described in clause (F).
            (H) The political subdivision's current debt service levy and rate and the estimated increase to the political subdivision's debt service levy and rate that will result if the political subdivision issues the bonds or enters into the lease.
        (4) After notice is given, a petition requesting the application of a petition and remonstrance process may be filed by the lesser of:
            (A) one hundred (100) persons who are either owners of real property within the political subdivision or registered voters residing within the political subdivision; or
            (B) five percent (5%) of the registered voters residing within the political subdivision.
        (5) The state board of accounts shall design and, upon request by the county voter registration office, deliver to the county voter registration office or the county voter registration office's designated printer the petition forms to be used solely in the petition process described in this section. The county voter registration office shall issue to an owner or owners of real property within the political subdivision or a registered voter residing within the political subdivision the number of petition

forms requested by the owner or owners or the registered voter. Each form must be accompanied by instructions detailing the requirements that:
            (A) the carrier and signers must be owners of real property or registered voters;
            (B) the carrier must be a signatory on at least one (1) petition;
            (C) after the signatures have been collected, the carrier must swear or affirm before a notary public that the carrier witnessed each signature; and
            (D) govern the closing date for the petition period.
        Persons requesting forms may be required to identify themselves as owners of real property or registered voters and may be allowed to pick up additional copies to distribute to other property owners or registered voters. Each person signing a petition must indicate whether the person is signing the petition as a registered voter within the political subdivision or is signing the petition as the owner of real property within the political subdivision. A person who signs a petition as a registered voter must indicate the address at which the person is registered to vote. A person who signs a petition as a real property owner must indicate the address of the real property owned by the person in the political subdivision.
        (6) Each petition must be verified under oath by at least one (1) qualified petitioner in a manner prescribed by the state board of accounts before the petition is filed with the county voter registration office under subdivision (7).
        (7) Each petition must be filed with the county voter registration office not more than thirty (30) days after publication under subdivision (2) of the notice of the preliminary determination.
        (8) The county voter registration office shall determine whether each person who signed the petition is a registered voter. The county voter registration office shall not more than fifteen (15) business days after receiving a petition forward a copy of the petition to the county auditor. Not more than ten (10) business days after receiving the copy of the petition, the county auditor shall provide to the county voter registration office a statement verifying:
            (A) whether a person who signed the petition as a registered voter but is not a registered voter, as determined by the county voter registration office, is the owner of real property in the political subdivision; and
            (B) whether a person who signed the petition as an owner of

real property within the political subdivision does in fact own real property within the political subdivision.
        (9) The county voter registration office shall not more than ten (10) business days after receiving the statement from the county auditor under subdivision (8) make the final determination of the number of petitioners that are registered voters in the political subdivision and, based on the statement provided by the county auditor, the number of petitioners that own real property within the political subdivision. Whenever the name of an individual who signs a petition form as a registered voter contains a minor variation from the name of the registered voter as set forth in the records of the county voter registration office, the signature is presumed to be valid, and there is a presumption that the individual is entitled to sign the petition under this section. Except as otherwise provided in this chapter, in determining whether an individual is a registered voter, the county voter registration office shall apply the requirements and procedures used under IC 3 to determine whether a person is a registered voter for purposes of voting in an election governed by IC 3. However, an individual is not required to comply with the provisions concerning providing proof of identification to be considered a registered voter for purposes of this chapter. A person is entitled to sign a petition only one (1) time in a particular petition and remonstrance process under this chapter, regardless of whether the person owns more than one (1) parcel of real property within the subdivision and regardless of whether the person is both a registered voter in the political subdivision and the owner of real property within the political subdivision. Notwithstanding any other provision of this section, if a petition is presented to the county voter registration office within thirty-five (35) forty-five (45) days before an election, the county voter registration office may defer acting on the petition, and the time requirements under this section for action by the county voter registration office do not begin to run until five (5) days after the date of the election.
        (10) The county voter registration office must file a certificate and each petition with:
            (A) the township trustee, if the political subdivision is a township, who shall present the petition or petitions to the township board; or
            (B) the body that has the authority to authorize the issuance of the bonds or the execution of a lease, if the political subdivision is not a township;

        within thirty-five (35) business days of the filing of the petition requesting a petition and remonstrance process. The certificate must state the number of petitioners that are owners of real property within the political subdivision and the number of petitioners who are registered voters residing within the political subdivision.
If a sufficient petition requesting a petition and remonstrance process is not filed by owners of real property or registered voters as set forth in this section, the political subdivision may issue bonds or enter into a lease by following the provisions of law relating to the bonds to be issued or lease to be entered into.
SOURCE: IC 6-1.1-20-3.2; (09)EH1447.2.102. -->     SECTION 102. IC 6-1.1-20-3.2, AS AMENDED BY P.L.146-2008, SECTION 192, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2009 (RETROACTIVE)]: Sec. 3.2. (a) This section applies only to controlled projects described in section 3.1(a) of this chapter.
    (b) If a sufficient petition requesting the application of a petition and remonstrance process has been filed as set forth in section 3.1 of this chapter, a political subdivision may not impose property taxes to pay debt service on bonds or lease rentals on a lease for a controlled project without completing the following procedures:
        (1) The proper officers of the political subdivision shall give notice of the applicability of the petition and remonstrance process by:
            (A) publication in accordance with IC 5-3-1; and
            (B) first class mail to the organizations described in section 3.1(b)(1)(B) of this chapter.
        A notice under this subdivision must include a statement that any owners of real property within the political subdivision or registered voters residing within the political subdivision who want to petition in favor of or remonstrate against the proposed debt service or lease payments must file petitions and remonstrances in compliance with subdivisions (2) through (4) not earlier than thirty (30) days or later than sixty (60) days after publication in accordance with IC 5-3-1.
        (2) Not earlier than thirty (30) days or later than sixty (60) days after the notice under subdivision (1) is given:
            (A) petitions (described in subdivision (3)) in favor of the bonds or lease; and
            (B) remonstrances (described in subdivision (3)) against the bonds or lease;
        may be filed by an owner or owners of real property within the

political subdivision or a registered voter residing within the political subdivision. Each signature on a petition must be dated, and the date of signature may not be before the date on which the petition and remonstrance forms may be issued under subdivision (3). A petition described in clause (A) or a remonstrance described in clause (B) must be verified in compliance with subdivision (4) before the petition or remonstrance is filed with the county voter registration office under subdivision (4).
        (3) The state board of accounts shall design and, upon request by the county voter registration office, deliver to the county voter registration office or the county voter registration office's designated printer the petition and remonstrance forms to be used solely in the petition and remonstrance process described in this section. The county voter registration office shall issue to an owner or owners of real property within the political subdivision or a registered voter residing within the political subdivision the number of petition or remonstrance forms requested by the owner or owners or the registered voter. Each form must be accompanied by instructions detailing the requirements that:
            (A) the carrier and signers must be owners of real property or registered voters;
            (B) the carrier must be a signatory on at least one (1) petition;
            (C) after the signatures have been collected, the carrier must swear or affirm before a notary public that the carrier witnessed each signature;
            (D) govern the closing date for the petition and remonstrance period; and
            (E) apply to the carrier under section 10 of this chapter.
        Persons requesting forms may be required to identify themselves as owners of real property or registered voters and may be allowed to pick up additional copies to distribute to other property owners or registered voters. Each person signing a petition or remonstrance must indicate whether the person is signing the petition or remonstrance as a registered voter within the political subdivision or is signing the petition or remonstrance as the owner of real property within the political subdivision. A person who signs a petition or remonstrance as a registered voter must indicate the address at which the person is registered to vote. A person who signs a petition or remonstrance as a real property owner must indicate the address of the real property owned by the person in the political subdivision. The county voter registration office may not issue a petition or remonstrance form earlier than

twenty-nine (29) days after the notice is given under subdivision (1). The county voter registration office shall certify the date of issuance on each petition or remonstrance form that is distributed under this subdivision.
        (4) The petitions and remonstrances must be verified in the manner prescribed by the state board of accounts and filed with the county voter registration office within the sixty (60) day period described in subdivision (2) in the manner set forth in section 3.1 of this chapter relating to requests for a petition and remonstrance process.
        (5) The county voter registration office shall determine whether each person who signed the petition or remonstrance is a registered voter. The county voter registration office shall not more than fifteen (15) business days after receiving a petition or remonstrance forward a copy of the petition or remonstrance to the county auditor. Not more than ten (10) business days after receiving the copy of the petition or remonstrance, the county auditor shall provide to the county voter registration office a statement verifying:
            (A) whether a person who signed the petition or remonstrance as a registered voter but is not a registered voter, as determined by the county voter registration office, is the owner of real property in the political subdivision; and
            (B) whether a person who signed the petition or remonstrance as an owner of real property within the political subdivision does in fact own real property within the political subdivision.
        (6) The county voter registration office shall not more than ten (10) business days after receiving the statement from the county auditor under subdivision (5) make the final determination of:
            (A) the number of registered voters in the political subdivision that signed a petition and, based on the statement provided by the county auditor, the number of owners of real property within the political subdivision that signed a petition; and
            (B) the number of registered voters in the political subdivision that signed a remonstrance and, based on the statement provided by the county auditor, the number of owners of real property within the political subdivision that signed a remonstrance.
        Whenever the name of an individual who signs a petition or remonstrance as a registered voter contains a minor variation from the name of the registered voter as set forth in the records of the county voter registration office, the signature is presumed to be

valid, and there is a presumption that the individual is entitled to sign the petition or remonstrance under this section. Except as otherwise provided in this chapter, in determining whether an individual is a registered voter, the county voter registration office shall apply the requirements and procedures used under IC 3 to determine whether a person is a registered voter for purposes of voting in an election governed by IC 3. However, an individual is not required to comply with the provisions concerning providing proof of identification to be considered a registered voter for purposes of this chapter. A person is entitled to sign a petition or remonstrance only one (1) time in a particular petition and remonstrance process under this chapter, regardless of whether the person owns more than one (1) parcel of real property within the subdivision and regardless of whether the person is both a registered voter in the political subdivision and the owner of real property within the political subdivision. Notwithstanding any other provision of this section, if a petition or remonstrance is presented to the county voter registration office within thirty-five (35) forty-five (45) days before an election, the county voter registration office may defer acting on the petition or remonstrance, and the time requirements under this section for action by the county voter registration office do not begin to run until five (5) days after the date of the election.
        (7) The county voter registration office must file a certificate and the petition or remonstrance with the body of the political subdivision charged with issuing bonds or entering into leases within thirty-five (35) business days of the filing of a petition or remonstrance under subdivision (4), whichever applies, containing ten thousand (10,000) signatures or less. The county voter registration office may take an additional five (5) days to review and certify the petition or remonstrance for each additional five thousand (5,000) signatures up to a maximum of sixty (60) days. The certificate must state the number of petitioners and remonstrators that are owners of real property within the political subdivision and the number of petitioners who are registered voters residing within the political subdivision.
        (8) If a greater number of persons who are either owners of real property within the political subdivision or registered voters residing within the political subdivision sign a remonstrance than the number that signed a petition, the bonds petitioned for may not be issued or the lease petitioned for may not be entered into. The proper officers of the political subdivision may not make a

preliminary determination to issue bonds or enter into a lease for the controlled project defeated by the petition and remonstrance process under this section or any other controlled project that is not substantially different within one (1) year after the date of the county voter registration office's certificate under subdivision (7). Withdrawal of a petition carries the same consequences as a defeat of the petition.
        (9) After a political subdivision has gone through the petition and remonstrance process set forth in this section, the political subdivision is not required to follow any other remonstrance or objection procedures under any other law (including section 5 of this chapter) relating to bonds or leases designed to protect owners of real property within the political subdivision from the imposition of property taxes to pay debt service or lease rentals. However, the political subdivision must still receive the approval of the department of local government finance if required by:
            (A) IC 6-1.1-18.5-8; or
            (B) IC 20-46-7-8, IC 20-46-7-9, and IC 20-46-7-10.

SOURCE: IC 6-1.1-20-3.5; (09)EH1447.2.103. -->     SECTION 103. IC 6-1.1-20-3.5, AS ADDED BY P.L.146-2008, SECTION 193, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 3.5. (a) This section applies only to a controlled project that meets the following conditions:
        (1) The controlled project is described in one (1) of the following categories:
            (A) An elementary school building, middle school building, or other school building for academic instruction that:
                (i) will be used for any combination of kindergarten through grade 8;
                (ii) will not be used for any combination of grade 9 through grade 12; and
                (iii) will cost more than ten million dollars ($10,000,000).
            (B) A high school building or other school building for academic instruction that:
                (i) will be used for any combination of grade 9 through grade 12;
                (ii) will not be used for any combination of kindergarten through grade 8; and
                (iii) will cost more than twenty million dollars ($20,000,000).
            (C) Any other controlled project that:
                (i) is not a controlled project described in clause (A) or (B); and
                (ii) will cost the political subdivision more than the lesser of twelve million dollars ($12,000,000) or an amount equal to one percent (1%) of the total gross assessed value of property within the political subdivision on the last assessment date (if that amount is at least one million dollars ($1,000,000)).
        (2) The proper officers of the political subdivision make a preliminary determination after June 30, 2008, in the manner described in subsection (b) to issue bonds or enter into a lease for the controlled project.
    (b) A political subdivision may not impose property taxes to pay debt service on bonds or lease rentals on a lease for a controlled project without completing the following procedures:
        (1) The proper officers of a political subdivision shall publish notice in accordance with IC 5-3-1 and send notice by first class mail to any organization that delivers to the officers, before January 1 of that year, an annual written request for notices of any meeting to consider the adoption of an ordinance or a resolution making a preliminary determination to issue bonds or enter into a lease and shall conduct a public hearing on the preliminary determination before adoption of the ordinance or resolution. The political subdivision must make the following information available to the public at the public hearing on the preliminary determination, in addition to any other information required by law:
            (A) The result of the political subdivision's current and projected annual debt service payments divided by the net assessed value of taxable property within the political subdivision.
            (B) The result of:
                (i) the sum of the political subdivision's outstanding long term debt plus the outstanding long term debt of other taxing units that include any of the territory of the political subdivision; divided by
                (ii) the net assessed value of taxable property within the political subdivision.
             (C) The information specified in subdivision (3)(A) through (3)(G).
        (2) If the proper officers of a political subdivision make a preliminary determination to issue bonds or enter into a lease, the officers shall give notice of the preliminary determination by:
            (A) publication in accordance with IC 5-3-1; and
            (B) first class mail to the organizations described in subdivision (1).
        (3) A notice under subdivision (2) of the preliminary determination of the political subdivision to issue bonds or enter into a lease must include the following information:
            (A) The maximum term of the bonds or lease.
            (B) The maximum principal amount of the bonds or the maximum lease rental for the lease.
            (C) The estimated interest rates that will be paid and the total interest costs associated with the bonds or lease.
            (D) The purpose of the bonds or lease.
            (E) A statement that the proposed debt service or lease payments must be approved in an election on a local public question held under section 3.6 of this chapter.
            (F) With respect to bonds issued or a lease entered into to open:
                (i) a new school facility; or
                (ii) an existing facility that has not been used for at least three (3) years and that is being reopened to provide additional classroom space;
            the estimated costs the school corporation expects to annually incur to operate the facility.
            (G) The political subdivision's current debt service levy and rate and the estimated increase to the political subdivision's debt service levy and rate that will result if the political subdivision issues the bonds or enters into the lease.
             (H) The information specified in subdivision (1)(A) through (1)(B).
        (4) After notice is given, a petition requesting the application of the local public question process under section 3.6 of this chapter may be filed by the lesser of:
            (A) one hundred (100) persons who are either owners of real property within the political subdivision or registered voters residing within the political subdivision; or
            (B) five percent (5%) of the registered voters residing within the political subdivision.
        (5) The state board of accounts shall design and, upon request by the county voter registration office, deliver to the county voter registration office or the county voter registration office's designated printer the petition forms to be used solely in the petition process described in this section. The county voter registration office shall issue to an owner or owners of real

property within the political subdivision or a registered voter residing within the political subdivision the number of petition forms requested by the owner or owners or the registered voter. Each form must be accompanied by instructions detailing the requirements that:
            (A) the carrier and signers must be owners of real property or registered voters;
            (B) the carrier must be a signatory on at least one (1) petition;
            (C) after the signatures have been collected, the carrier must swear or affirm before a notary public that the carrier witnessed each signature; and
            (D) govern the closing date for the petition period.
        Persons requesting forms may be required to identify themselves as owners of real property or registered voters and may be allowed to pick up additional copies to distribute to other property owners or registered voters. Each person signing a petition must indicate whether the person is signing the petition as a registered voter within the political subdivision or is signing the petition as the owner of real property within the political subdivision. A person who signs a petition as a registered voter must indicate the address at which the person is registered to vote. A person who signs a petition as a real property owner must indicate the address of the real property owned by the person in the political subdivision.
        (6) Each petition must be verified under oath by at least one (1) qualified petitioner in a manner prescribed by the state board of accounts before the petition is filed with the county voter registration office under subdivision (7).
        (7) Each petition must be filed with the county voter registration office not more than thirty (30) days after publication under subdivision (2) of the notice of the preliminary determination.
        (8) The county voter registration office shall determine whether each person who signed the petition is a registered voter. However, after the county voter registration office has determined that at least one hundred twenty-five (125) persons who signed the petition are registered voters within the political subdivision, the county voter registration office is not required to verify whether the remaining persons who signed the petition are registered voters. If the county voter registration office does not determine that at least one hundred twenty-five (125) persons who signed the petition are registered voters, the county voter registration office, not more than fifteen (15) business days after

receiving a petition, shall forward a copy of the petition to the county auditor. Not more than ten (10) business days after receiving the copy of the petition, the county auditor shall provide to the county voter registration office a statement verifying:
            (A) whether a person who signed the petition as a registered voter but is not a registered voter, as determined by the county voter registration office, is the owner of real property in the political subdivision; and
            (B) whether a person who signed the petition as an owner of real property within the political subdivision does in fact own real property within the political subdivision.
        (9) The county voter registration office, not more than ten (10) business days after determining that at least one hundred twenty-five (125) persons who signed the petition are registered voters or after receiving the statement from the county auditor under subdivision (8) (as applicable), shall make the final determination of whether a sufficient number of persons have signed the petition. Whenever the name of an individual who signs a petition form as a registered voter contains a minor variation from the name of the registered voter as set forth in the records of the county voter registration office, the signature is presumed to be valid, and there is a presumption that the individual is entitled to sign the petition under this section. Except as otherwise provided in this chapter, in determining whether an individual is a registered voter, the county voter registration office shall apply the requirements and procedures used under IC 3 to determine whether a person is a registered voter for purposes of voting in an election governed by IC 3. However, an individual is not required to comply with the provisions concerning providing proof of identification to be considered a registered voter for purposes of this chapter. A person is entitled to sign a petition only one (1) time in a particular referendum process under this chapter, regardless of whether the person owns more than one (1) parcel of real property within the political subdivision and regardless of whether the person is both a registered voter in the political subdivision and the owner of real property within the political subdivision. Notwithstanding any other provision of this section, if a petition is presented to the county voter registration office within thirty-five (35) forty-five (45) days before an election, the county voter registration office may defer acting on the petition, and the time requirements under this section for action by the county voter registration office do not begin to run

until five (5) days after the date of the election.
        (10) The county voter registration office must file a certificate and each petition with:
            (A) the township trustee, if the political subdivision is a township, who shall present the petition or petitions to the township board; or
            (B) the body that has the authority to authorize the issuance of the bonds or the execution of a lease, if the political subdivision is not a township;
        within thirty-five (35) business days of the filing of the petition requesting the referendum process. The certificate must state the number of petitioners who are owners of real property within the political subdivision and the number of petitioners who are registered voters residing within the political subdivision.
        (11) If a sufficient petition requesting the local public question process is not filed by owners of real property or registered voters as set forth in this section, the political subdivision may issue bonds or enter into a lease by following the provisions of law relating to the bonds to be issued or lease to be entered into.
    (c) If the proper officers of a political subdivision make a preliminary determination to issue bonds or enter into a lease, the officers shall provide to the county auditor:
        (1) a copy of the notice required by subsection (b)(2); and
        (2) any other information the county auditor requires to fulfill the county auditor's duties under section 3.6 of this chapter.

SOURCE: IC 6-1.1-20-3.6; (09)EH1447.2.104. -->     SECTION 104. IC 6-1.1-20-3.6, AS ADDED BY P.L.146-2008, SECTION 194, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2009 (RETROACTIVE)]: Sec. 3.6. (a) Except as provided in section 3.7 of this chapter, this section applies only to a controlled project described in section 3.5(a) of this chapter.
    (b) If a sufficient petition requesting the application of the local public question process has been filed as set forth in section 3.5 of this chapter, a political subdivision may not impose property taxes to pay debt service on bonds or lease rentals on a lease for a controlled project unless the political subdivision's proposed debt service or lease rental is approved in an election on a local public question held under this section.
    (c) Except as provided in subsection (j), the following question shall be submitted to the eligible voters at the election conducted under this section:
        "Shall ________ (insert the name of the political subdivision) issue bonds or enter into a lease to finance ___________ (insert

the description of the controlled project, the total cost of the project, and the estimated increase in the property tax rate for debt service (as determined by the department of local government finance))?".
    (d) The county auditor shall certify the public question described in subsection (c) under IC 3-10-9-3 to the county election board of each county in which the political subdivision is located. After the public question is certified, The certification must occur not later than noon:
        (1) sixty (60) days before a primary election if the public question is to be placed on the primary or municipal primary election ballot; or
        (2) August 1 if the public question is to be placed on the general or municipal election ballot.
Subject to the certification requirements and deadlines under this subsection and except as provided in subsection (j), the public question shall be placed on the ballot at the next primary election, general election, or municipal election in which all voters of the political subdivision are entitled to vote. However, if a primary election, general election, or municipal election will not be held in the six (6) month period after the county auditor certifies during the first year in which the public question is eligible to be placed on the ballot under this section and if the political subdivision requests the public question to be placed on the ballot at a special election, the public question shall be placed on the ballot at a special election to be held
        (1) not earlier than ninety (90) days; and
        (2) not later than one hundred twenty (120) days;
after the public question is certified if the fiscal body of the political subdivision that wishes to issue the bonds or enter into the lease requests the public question to be voted on in a special election. However, in a year in which a general election or municipal election is held, the public question may be placed on the ballot at a special election only if the fiscal body of the political subdivision that requests the special election on the first Tuesday after the first Monday in May or November of the year. The certification must occur not later than noon sixty (60) days before a special election to be held in May (if the special election is to be held in May) or noon on August 1 (if the special election is to be held in November). However, a special election may be held only if the fiscal body of the political subdivision that requests the special election agrees to pay the costs of holding the special election. In a year in which a

general election is not held and a municipal election is not held, the fiscal body of the political subdivision that requests the special election is not required to pay the costs of holding the special election. The county election board shall give notice under IC 5-3-1 of a special election conducted under this subsection. A special election conducted under this subsection is under the direction of the county election board. The county election board shall take all steps necessary to carry out the special election.
    (e) The circuit court clerk shall certify the results of the public question to the following:
        (1) The county auditor of each county in which the political subdivision is located.
        (2) The department of local government finance.
    (f) Subject to the requirements of IC 6-1.1-18.5-8, the political subdivision may issue the proposed bonds or enter into the proposed lease rental if a majority of the eligible voters voting on the public question vote in favor of the public question.
    (g) If a majority of the eligible voters voting on the public question vote in opposition to the public question, both of the following apply:
        (1) The political subdivision may not issue the proposed bonds or enter into the proposed lease rental.
        (2) Another public question under this section on the same or a substantially similar project may not be submitted to the voters earlier than one (1) year after the date of the election.
    (h) IC 3, to the extent not inconsistent with this section, applies to an election held under this section.
    (i) A political subdivision may not artificially divide a capital project into multiple capital projects in order to avoid the requirements of this section and section 3.5 of this chapter.
     (j) This subsection applies to a political subdivision for which a petition requesting a public question has been submitted under section 3.5 of this chapter. The legislative body (as defined in IC 36-1-2-9) of the political subdivision may adopt a resolution to withdraw a controlled project from consideration at a public question. If the legislative body provides a certified copy of the resolution to the county auditor and the county election board not later than forty-nine (49) days before the election at which the public question would be on the ballot, the public question on the controlled project shall not be placed on the ballot and the public question on the controlled project shall not be held, regardless of whether the county auditor has certified the public question to the county election board. If the withdrawal of a public question under

this subsection requires the county election board to reprint ballots, the political subdivision withdrawing the public question shall pay the costs of reprinting the ballots. If a political subdivision withdraws a public question under this subsection that would have been held at a special election and the county election board has printed the ballots before the legislative body of the political subdivision provides a certified copy of the withdrawal resolution to the county auditor and the county election board, the political subdivision withdrawing the public question shall pay the costs incurred by the county in printing the ballots. If a public question on a controlled project is withdrawn under this subsection, a public question under this section on the same controlled project or a substantially similar controlled project may not be submitted to the voters earlier than one (1) year after the date the resolution withdrawing the public question is adopted.
    (k) If a public question regarding a controlled project is placed on the ballot to be voted on at a public question under this section, the department of local government finance shall post the following information regarding the proposed controlled project on the department's Internet web site:
        (1) The cost per square foot of any buildings being constructed as part of the controlled project.
        (2) The effect that approval of the controlled project would have on the political subdivision's property tax rate.
        (3) The maximum term of the bonds or lease.
        (4) The maximum principal amount of the bonds or the maximum lease rental for the lease.
        (5) The estimated interest rates that will be paid and the total interest costs associated with the bonds or lease.
        (6) The purpose of the bonds or lease.
        (7) In the case of a controlled project proposed by a school corporation:
            (A) the current and proposed square footage of school building space per student;
            (B) enrollment patterns within the school corporation; and
            (C) the age and condition of the current school facilities.

SOURCE: IC 6-1.1-20-3.7; (09)EH1447.2.105. -->     SECTION 105. IC 6-1.1-20-3.7 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 3.7. (a) This section applies to the following:
        (1) The issuance of bonds or the entering into a lease for a controlled project:
            (A) to which section 3.5 of this chapter applies; and
            (B) for which a sufficient petition requesting the application of the local public question process under section 3.6 of this chapter has not been filed as set forth in section 3.5 of this chapter within the time required under section 3.5(b)(7) of this chapter.
        (2) The issuance of bonds or the entering into a lease for a capital project:
            (A) that is not a controlled project to which section 3.5 of this chapter applies; and
            (B) that would, but for the application of section 1.1(6) of this chapter to the project, be a controlled project to which section 3.5 of this chapter applies.
     (b) If the proper officers of a political subdivision make a preliminary determination to issue bonds described in subsection (a) or enter into a lease described in subsection (a), the fiscal body of the political subdivision may adopt a resolution specifying that the local public question process specified in section 3.6 of this chapter applies to the issuance of the bonds or the entering into the lease, notwithstanding that:
        (1) a sufficient petition requesting the application of the local public question process under section 3.6 of this chapter has not been filed as set forth in section 3.5 of this chapter (in the case of bonds or a lease described in subsection (a)(1)); or
        (2) because of the application of section 1.1(6) of this chapter, the bonds or lease is not considered to be issued or entered into for a controlled project (in the case of bonds or a lease described in subsection (a)(2)).
    (c) The following apply to the adoption of a resolution by the fiscal body of a political subdivision under subsection (b):
        (1) In the case of bonds or a lease described in subsection (a)(1) and for which no petition requesting the application of the local public question process under section 3.6 of this chapter has been filed within the time required under section 3.5(b)(7) of this chapter, the fiscal body must adopt the resolution not more than sixty (60) days after publication of the notice of the preliminary determination to issue the bonds or enter into the lease.
        (2) In the case of bonds or a lease described in subsection (a)(1) for which a petition requesting the application of the local public question process under section 3.6 of this chapter:
            (A) has been filed under section 3.5 of this chapter; and
            (B) is determined to have an insufficient number of signatures to require application of the local public question process under section 3.6 of this chapter;
        the fiscal body must adopt the resolution not more than thirty (30) days after the county voter registration office makes the final determination under section 3.5 of this chapter that a sufficient number of persons have not signed the petition.
        (3) In the case of bonds or a lease described in subsection (a)(2), the fiscal body must adopt the resolution not more than thirty (30) days after publication of the notice of the preliminary determination to issue the bonds or enter into the lease.
        (4) The fiscal body shall certify the resolution to the county election board of each county in which the political subdivision is located, and the county election board shall place the public question on the ballot as provided in section 3.6 of this chapter.
    (d) Except to the extent it is inconsistent with this section, section 3.6 of this chapter applies to a local public question placed on the ballot under this section.
SOURCE: IC 6-1.1-20-10; (09)EH1447.2.106. -->     SECTION 106. IC 6-1.1-20-10, AS AMENDED BY P.L.146-2008, SECTION 199, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 10. (a) This section applies to a political subdivision that adopts an ordinance or a resolution making a preliminary determination to issue bonds or enter into a lease. During the period commencing with the adoption of the ordinance or resolution and, if a petition and remonstrance process is commenced under section 3.2 of this chapter, continuing through the sixty (60) day period commencing with the notice under section 3.2(b)(1) of this chapter, the political subdivision seeking to issue bonds or enter into a lease for the proposed controlled project may not promote a position on the petition or remonstrance by doing any of the following:
        (1) Allowing facilities or equipment, including mail and messaging systems, owned by the political subdivision to be used for public relations purposes to promote a position on the petition or remonstrance, unless equal access to the facilities or equipment is given to persons with a position opposite to that of the political subdivision.
        (2) Making an expenditure of money from a fund controlled by the political subdivision to promote a position on the petition or remonstrance or to pay for the gathering of signatures on a petition or remonstrance. This subdivision does not prohibit a

political subdivision from making an expenditure of money to an attorney, an architect, registered professional engineer, a construction manager, or a financial adviser for professional services provided with respect to a controlled project.
        (3) Using an employee to promote a position on the petition or remonstrance during the employee's normal working hours or paid overtime, or otherwise compelling an employee to promote a position on the petition or remonstrance at any time.
        (4) In the case of a school corporation, promoting a position on a petition or remonstrance by:
            (A) using students to transport written materials to their residences or in any way directly involving students in a school organized promotion of a position; or
            (B) including a statement within another communication sent to the students' residences.
However, this section does not prohibit an employee of the political subdivision from carrying out duties with respect to a petition or remonstrance that are part of the normal and regular conduct of the employee's office or agency.
    (b) A person may not solicit or collect signatures for a petition or remonstrance on property owned or controlled by the political subdivision.
    (c) The staff and employees of a school corporation may not personally identify a student as the child of a parent or guardian who supports or opposes a petition or remonstrance.
    (d) A person or an organization that has a contract or arrangement (whether formal or informal) with a school corporation for the use of any of the school corporation's facilities may not spend any money to promote a position on the petition or remonstrance. A person or an organization that violates this subsection commits a Class A infraction.
    (e) An attorney, an architect, registered professional engineer, a construction manager, or a financial adviser for professional services provided with respect to a controlled project may not spend any money to promote a position on the petition or remonstrance. A person who violates this subsection:
        (1) commits a Class A infraction; and
        (2) is barred from performing any services with respect to the controlled project.
     (f) An elected or appointed public official of the political subdivision may advocate for or against a position on the petition or remonstrance so long as it is not done:
        (1) during the officials's normal working hours or paid

overtime; or
        (2) by using public funds.

SOURCE: IC 6-1.1-20-10.1; (09)EH1447.2.107. -->     SECTION 107. IC 6-1.1-20-10.1, AS ADDED BY P.L.146-2008, SECTION 200, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2009]: Sec. 10.1. (a) This section applies only to a political subdivision that, after June 30, 2008, adopts an ordinance or a resolution making a preliminary determination to issue bonds or enter into a lease subject to sections 3.5 and 3.6 of this chapter.
    (b) During the period beginning with the adoption of the ordinance or resolution and continuing through the day on which a local public question is submitted to the voters of the political subdivision under section 3.6 of this chapter, the political subdivision seeking to issue bonds or enter into a lease for the proposed controlled project may not promote a position on the local public question by doing any of the following:
        (1) Allowing facilities or equipment, including mail and messaging systems, owned by the political subdivision to be used for public relations purposes to promote a position on the local public question, unless equal access to the facilities or equipment is given to persons with a position opposite to that of the political subdivision.
        (2) Making an expenditure of money from a fund controlled by the political subdivision to promote a position on the local public question. This subdivision does not prohibit a political subdivision from making an expenditure of money to an attorney, an architect, a registered professional engineer, a construction manager, or a financial adviser for professional services provided with respect to a controlled project.
        (3) Using an employee to promote a position on the local public question during the employee's normal working hours or paid overtime, or otherwise compelling an employee to promote a position on the local public question at any time.
        (4) In the case of a school corporation, promoting a position on a local public question by:
            (A) using students to transport written materials to their residences or in any way directly involving students in a school organized promotion of a position; or
            (B) including a statement within another communication sent to the students' residences.
However, this section does not prohibit an employee of the political subdivision from carrying out duties with respect to a local public question that are part of the normal and regular conduct of the

employee's office or agency.
    (c) The staff and employees of a school corporation may not personally identify a student as the child of a parent or guardian who supports or opposes a controlled project subject to a local public question held under section 3.6 of this chapter.
    (d) A person or an organization that has a contract or arrangement (whether formal or informal) with a school corporation for the use of any of the school corporation's facilities may not spend any money to promote a position on a local public question. A person or an organization that violates this subsection commits a Class A infraction.
    (e) An attorney, an architect, a registered professional engineer, a construction manager, or a financial adviser for professional services provided with respect to a controlled project may not spend any money to promote a position on a local public question. A person who violates this subsection:
        (1) commits a Class A infraction; and
        (2) is barred from performing any services with respect to the controlled project.
     (f) An elected or appointed public official of the political subdivision may advocate for or against a position on the local public question so long as it is not done:
        (1) during the officials's normal working hours or paid overtime; or
        (2) by using public funds.

SOURCE: IC 6-1.1-20.6-2; (09)EH1447.2.108. -->     SECTION 108. IC 6-1.1-20.6-2, AS AMENDED BY P.L.146-2008, SECTION 215, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2009 (RETROACTIVE)]: Sec. 2. (a) As used in this chapter, "homestead" has the meaning set forth in refers to a homestead that is eligible for a standard deduction under IC 6-1.1-12-37.
    (b) The term includes a house or apartment that is owned or leased by a cooperative housing corporation (as defined in 26 U.S.C. 216(b)).
SOURCE: IC 6-1.1-20.6-8.5; (09)EH1447.2.109. -->     SECTION 109. IC 6-1.1-20.6-8.5, AS ADDED BY P.L.146-2008, SECTION 225, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JANUARY 1, 2009 (RETROACTIVE)]: Sec. 8.5. (a) This section applies to property taxes first due and payable for a calendar year after December 31, 2008. This section applies to an individual who:
        (1) qualified for a standard deduction granted under IC 6-1.1-12-37 for the individual's homestead property in the immediately preceding calendar year (or was married at the time of death to a deceased spouse who qualified for a standard

deduction granted under IC 6-1.1-12-37 for the individual's homestead property in the immediately preceding calendar year); and
        (2) qualifies for a standard deduction granted under IC 6-1.1-12-37 for the same homestead property in the current calendar year;
        (3) is or will be at least sixty-five (65) years of age on or before December 31 of the calendar year immediately preceding the current calendar year; and
        (4) had:
            (A) in the case of an individual who filed a single return, adjusted gross income (as defined in Section 62 of the Internal Revenue Code) not exceeding thirty thousand dollars ($30,000); or
            (B) in the case of an individual who filed a joint income tax return with the individual's spouse, combined adjusted gross income (as defined in Section 62 of the Internal Revenue Code) not exceeding forty thousand dollars ($40,000);
        for the calendar year preceding by two (2) years the calendar year in which property taxes are first due and payable.
    (b) This section does not apply if the gross assessed value of the homestead on the assessment date for which property taxes are imposed is at least one hundred sixty thousand dollars ($160,000).
    (b) (c) An individual is entitled to an additional credit under this section for property taxes first due and payable for a calendar year on a homestead if:
         (1) the individual and the homestead qualifies as qualified homestead property qualify for the credit under subsection (a) for the calendar year;
        (2) the homestead is not disqualified for the credit under subsection (b) for the calendar year; and
         (3) the filing requirements under subsection (e) are met.
    (c) (d) The amount of the credit is equal to the greater of zero (0) or the result of:
        (1) the property tax liability first due and payable on the qualified homestead property for the calendar year; minus
        (2) the result of:
            (A) the property tax liability first due and payable on the qualified homestead property for the immediately preceding year; multiplied by
            (B) one and two hundredths (1.02).

However, property tax liability imposed on any improvements to or expansion of the homestead property after the assessment date for which property tax liability described in subdivision (2) was imposed shall not be considered in determining the credit granted under this section in the current calendar year.
    (d) The following adjusted gross