Indiana Weekly Legislative Update - 2/17/25
House
To kick off the week, HB 1461, Road funding (Rep. Jim Pressel, R-Rolling Prairie) was brought before the House Roads and Transportation Committee for an amend and vote hearing on Monday. This bill provides expanded options for state and local road funding. HB 1461 creates incentives for improvements, raises county transportation tax limits, allows bonds for road construction, allows potential tolling of interstate lanes, and adjusts grants and matching funds based on local needs. Amendment #11 was adopted Monday morning removing many of the more controversial provisions of the bill, including the proposed fee on delivery services. The amended bill was voted out of Roads committee by a 13-0 vote. HB 1461 passed through House Ways and Means with a 14-9 vote on Thursday after it amended to exclude Allen County from certain provisions. The bill will make its way to the House floor for further discussion early next week.
Also on Monday, the House Government and Regulatory Reform Committee heard testimony on HB 1662, State and local policies on homelessness. (Rep. Michelle Davis, R-Whiteland). The bill was heavily amended to remove many of the provisions directing the use of state funds towards homelessness. The amended bill would prohibit an individual from camping or sleeping on land owned by the state or a political subdivision. The bill heard lengthy testimony but was ultimately held for a vote during their next and final committee meeting this coming Monday.
House priority bill HB 1004, Nonprofit Hospitals (Rep. Martin Carbaugh, R-Fort Wayne) was heard by both House Public Health and House Ways and Means for amend and vote hearings. This legislation contains many provisions and will restrict what qualifies as community benefits for certain nonprofit hospitals and will impose stricter reporting and transparency requirements. The bill was amended and passed out of Public Health with a 9-2 vote on Tuesday. HB 1004 was then amended and voted out of Ways and Means with a 16-7 vote to close out the week on Thursday. Amendments added during Ways and Means added hospital assessment fees (Amendment 3) and modified or clarified requirements for nonprofit hospital reporting (Amendment 4).
HB 1041, Student eligibility in interscholastic sports (Rep. Michelle Davis, R-Whiteland) was debated in the House Education Committee on Wednesday. This bill would prohibit transgender women from participating in women’s collegiate athletics. HB 1041 expands on legislation from 2022 that banned participation at the K-12 level. During the Wednesday committee, HB 1041 heard extensive testimony from advocates on both sides of the issue. Ultimately the bill was amended in committee to remove the term “association” throughout the bill and changed notification requirements for other states. This bill received bipartisan support and passed through committee 12-1.
HB 1230, School board elections (Rep. JD Prescott, R-Union City) was debated in the House Elections Committee. This bill would designate party affiliations of school board candidates on ballots. An amendment was adopted clarifying that this is an optional designation. After much testimony, including support from Lieutenant Governor Micah Beckwith, HB 1230 passed out of committee 9-4.
Throughout the week House Ways and Means heard multiple other high profile bills that had been recommitted due their fiscal impact. Each of these bills will make an appearance on the House floor early next week.
WednesdayHB 1003, Health matters passed 15-8
- Amendment 6 adopted
- HB 1427, Department of Local Government Finance passed 23-0
- Amendment 3, Amendment 27, Amendment 28, Amendment 30, and Amendment 31 all adopted
- HB 1601, Quantum research tax incentives and READI grants passed 20-3
- Amendment 1 adopted
- ThursdayHB 1448, Supplemental payments to qualified cities passed unamended 15-8
- HB 1561, Tax increment financing passed 17-6
- Amendment 16 adopted
Additionally, multiple standout bills passed through the chamber on third reading this week including:
- HB 1005, Housing and building matters – passed 93-0
- HB 1007, Energy generation resources – passed 67-25
- HB 1172, Office of Entrepreneurship and Innovation – passed 85-7
- HB 1253, Childcare – passed 91-0
- HB 1276, Various alcoholic beverage and tobacco matters – passed 83-9
- HB 1390, BMV – passed 90-0
- HB 1559, CMc contract award standard – passed 91-0
- HB 1608, E-sports industry development study – passed 74-17
- HB 1663, Collaborative distilling – passed 88-4
- HB 1666, Ownership of health care providers – passed 70-25
- HB 1680, Election security and transparency – passed 65-25
- HB 1681, Local public questions – passed 64-13
Senate
After passing the Senate Tax and Fiscal Policy Committee by a vote of 10-3, SB 1, Property tax reform (Sen. Travis Holdman, R-Markle), was presented on the Senate floor for second reading on Thursday. After several failed amendments, the bill was ordered to engrossment and will continue to third reading. Holdman outlined the Senate Republican property tax cut plan (Amendment #17 adopted in committee), which will balance property tax relief for homeowners with local government budget needs by freezing local property tax levies in 2026 and capping future growth. SB 1 seeks to provide targeted relief, including a $2,500 tax credit for first-time homebuyers, expanded deductions for seniors and veterans, and lower property taxes for farmers. The bill also reforms the referendum process by requiring tax increase votes during general elections and enforcing a one-year waiting period before new tax hikes can be proposed. You can read more about Senate Republican property tax cut plan here.
SB 346, Rural business growth (Sen. Brian Buchanan, R-Lebanon) also passed out of the Senate Tax and Fiscal Policy Committee on Tuesday by a 12-1 vote and now awaits its second reading on the Senate floor. This legislation is also known as the Hoosier Rural Business Growth Program, which seeks to invigorate small businesses in rural communities by incentivizing private investment in the growth of these businesses through a mix of private capital and tax credits.
On Wednesday, Senate Health and Provider Services amended and passed SB 317, Health care debt and costs (Sen. Fady Qaddoura, D-Indianapolis) unanimously 11-0. As amended, SB 317 increases the maximum percentage of a person's income for hospital payment plans from 5% to 10% and adjusts the first payment deadline. It updates hospital requirements for posting financial assistance information and mandates specific details on billing statements. It also sets a 250% family income poverty limit for protections against wage garnishment and home liens.
Yesterday, SB 2, Medicaid matters (Sen. Ryan Mishler, R-Mishawaka) passed out of the Senate Appropriations Committee by a 9-4 vote. The committee adopted Amendment 7 to make various changes and clarifications to the bill as written. SB 2 requires the Secretary of Family and Social Services to report Medicaid data and review recipient eligibility based on federal and state information. It also establishes performance standards for hospitals making presumptive eligibility determinations and outlines penalties and an appeals process for noncompliance. Finally, it sets rules for the Healthy Indiana Plan and seeks to amend the state Medicaid plan to remove certain individuals.
The Senate Appropriations Committee also heard SB 43, Study of relocation of gambling operations (Sen. Andy Zay, R-Huntington), which requires that the Indiana Gaming Commission conduct a study to identify the top three regions in the state to relocate riverboat gaming operations. The bill was amended and passed 10-3. SB 43 is a follow up to Sen. Zay’s SB 293, Relocation of riverboat gambling operation (Sen. Andy Zay, R-Huntington), which would have allowed the licensed owner of a riverboat casino in Rising Sun to relocate gaming operations to a casino in New Haven. SB 293 was heard in Senate Public Policy but did not receive a vote.
Additional legislation that passed out of the Senate this week:
- SB 94, Designated refreshment areas – passed 44-5
- SB 107, Wine delivery – passed 42-7
- SB 198, Crime of swatting – passed 47-1
- SB 249, Teacher compensation – passed 39-10
- SB 306, Film and media production tax credit – passed 49-0
- SB 314, Pass through entity tax – passed 45-4
- SB 316, Investment partnership tax – passed 47-2
- SB 421, IURC matters – passed 49-0
- SB 426, Water utilities – passed 46-3
- SB 443, Business personal property tax – passed 39-7
- SB 450, Article V convention – passed 33-16
- SB 457, Carbon dioxide sequestration – passed 27-21
- SB 523, School chaplains – passed 32-16