Legislative roundup: Priority tax, health care bills get hearings; small-scale nuclear bills clear committee

House and Senate Republicans rank this session’s top priorities as tax reform and health care reform—in addition to the crafting the next two-year budget. And several bills key to achieving their vision had their first hearings this week. 

In addition, two related blockbuster bills, Senate Bill 1—dealing with property taxes and Senate Bill 2 tightening Medicaid—are poised to return for committee votes in the next two weeks.

IBJ is watching key bills that could impact the state’s economic development, health care and workforce efforts and is following developments in legislation related to property taxes and Medicaid. And of course, we’re tracking that budget bill, which will determine state spending for fiscal years 2026 and 2027 and will likely be the landing place for many issues related to taxes and spending.

Here’s the status of some of the bills we’re watching during the session, which is expected to adjourn at the end of April.

Economic development 

After eight years of former Gov. Eric Holcomb’s development-focused tenure, Braun—an entrepreneur and former CEO—wants a greater focus on entrepreneurship and small businesses.

House Bill 1489

• Creates an Indiana-Ireland commission to advance trade relations
• Author: Rep. Timothy O’Brien, R-Evansville
• Last action: Amended in second reading on House floor
• Awaiting: Final House vote
• Status: Progressing

House Bill 1172

• Creates the Office of Entrepreneurship and Innovation, which would develop and administer programs to support small business, entrepreneurship and innovation
• Author: Rep. Jake Teshka, R-North Liberty
• Last action: Amended and passed 10-2 in Commerce, Small Business and Economic Development Committee, Jan. 29
• Awaiting: Consideration by the full House
• Status: Progressing

House Bill 1032

• Prevents the state from signing agreements with companies that are majority-controlled by citizens or residents of adversary nations or are headquartered within one
• Author: Rep. Craig Haggard, R-Mooresville
• Last action: Hearing in House Judiciary Committee, Jan. 29
• Awaiting: Vote in committee
• Status: Progressing

House Bill 1223

• Provides a sales tax rebate to incentivize projects that enhance tourism and allows for the creation of tourism improvement districts
• Author: Rep. Michael Karickhoff, R-Kokomo
• Last action: Hearing in House Government and Regulatory Reform Committee, Jan. 23
• Awaiting: Vote in committee Feb. 3
• Status: Progressing

Senate Bill 253

• Establishes parameters for what agricultural land could be included in an economic revitalization area
• Author: Sen. Spencer Deery, R-West Lafayette
• Last action: Introduced Jan. 8
• Awaiting: Hearing in Senate Tax and Fiscal Policy Committee
• Status: No movement

Senate Bill 20

• Requires the governor to terminate economic development deals with companies or firms based in an adversary country
• Author: Sen. Mike Bohacek, R-Michiana Shores
• Last action: Introduced Jan. 8
• Awaiting: Hearing in Senate Homeland Security and Transportation Committee
• Status: No movement

House Bill 1612

• Creates a tax credit for certain capital investments made in rural funds to incentivize investment in rural businesses
• Author: Rep. Shane Lindauer, R-Jasper
• Last action: Introduced Jan. 21
• Awaiting: Hearing in House Ways and Means Committee
• Status: No movement

Indiana Economic Development Corp. 

The IEDC has been developing the LEAP Research and Innovation District in Boone County, but critics—including several lawmakers and, at times, Braun—have questioned the transparency around and cost of the land deals used to create the district, possible projects to bring water to the site and the infrastructure development needed to make the area suitable for bit projects. Several bills address LEAP.

Senate Bill 251

• Designates an ombudsman or a state employee to investigate and resolves complaints related to the IEDC, requires the IEDC board to include two nonvoting legislative members, and requires the IEDC to establish a dashboard with information about economic incentives and compliance that is more accessible to the public
• Author: Sen. Spencer Deery, R-West Lafayette
• Last action: Introduced Jan. 13
• Awaiting: Hearing in Senate Commerce and Technology Committee
• Status: No movement

House Bill 1269

• Requires two lawmakers be appointed to the IEDC board and dedicates 5% of IEDC funding for fiscal years 2026 and 2027 to be used for economic development projects located in counties with a population of less than 50,000 (similar to Senate Bill 251)
• Author: Rep. Matt Commons, R-Williamsport
• Last action: Introduced Jan. 13
• Awaiting: Hearing in House Government and Regulatory Reform Committee
• Status: No movement

House Bill 1408

• Requires a regional development authority, not the IEDC, to designate an area within its territory as a regional innovation development and manufacturing district
• Author: Rep. Dave Heine, R-Fort Wayne
• Last action: Introduced Jan. 13
• Awaiting: Hearing in House Ways and Means Committee
• Status: No movement

House Bill 1601

• Requires all Regional Economic Acceleration and Development Initiative, or READI, 1.0 funds be spent before READI 2.0 funds can be made available. Expand data center tax exemption to include quantum computing research, advanced computing and defense infrastructure with at least a $50 million investment in five years
• Author: Rep. Edmond Soliday, R-Valparaiso
• Last action: introduced Jan. 21
• Awaiting: Hearing in House Ways and Means Committee
• Status: No movement

Senate Bill 377

• Specifies regional economic development funding, such as READI, must fall within certain project requirements.
• Authors: Sens. Greg Goode, R-Terre Haute; and Jeff Raatz, R-Richmond
• Last action: Hearing in Senate Appropriations Committee, Jan. 23
• Awaiting: Vote in committee
• Status: No movement

Workforce 

Over the past few years, state leaders have overhauled the state’s high school curriculum and graduation requirements to prioritize career coaching and alternative paths to higher education. The state has also been working to boost training and certificate programs for young and adult learners.

Senate Bill 488

• Establishes a reemployment skills training pilot program for those on unemployment benefits
• Author: Sen. Liz Brown, R-Fort Wayne
• Last action: Passed 11-0 in Senate Pensions and Labor Committee, Jan. 29
• Awaiting: Hearing in Senate Appropriations Committee
• Status: Progressing

Senate Bill 123

• Reduces the maximum time a person is allowed to be on unemployment benefits by almost half
• Author: Sen. Scott Alexander, R-Muncie
• Last action: Hearing in Senate Pensions and Labor Committee
• Awaiting: Committee vote
• Status: Progressing

House Bill 1625

• Prohibits nondisclosure agreements
• Author: Rep. Chris Judy, R-Fort Wayne
• Last action: Introduced Jan. 21
• Awaiting: Hearing in the House Employment, Labor and Pensions Committee
• Status: No movement

House Bill 1519

• Creates a workforce housing assistance program so workers can receive financial support to buy a home
• Author: Rep. Doug Miller, R-Elkhart
• Last action: Amended and passed 11-1 in the House Financial Institutions Committee, Jan. 28
• Awaiting: Hearing in House Ways and Means Committee
• Status: No movement

Data centers

Indiana has become fertile ground for tech companies to build massive data centers, with four major investments totaling more than $14 billion announced in the last year. Those data centers are filled with computers, servers and cooling systems that run around the clock and use huge amounts of electricity, prompting concerns about the centers’ impact on power supply.

Senate Bill 431

• Prohibits a company from a foreign adversary from building a data center in Indiana without an electricity usage study and requires the project to generate its own electricity
• Author: Sen. Eric Koch, R-Bedford 
• Last action: Amended and passed 10-0 in Senate Utilities Committee, Jan. 30
• Awaiting: Consideration by the full House
• Status: Progressing

Senate Bill 135

• Requires data center developments to provide the Indiana Utility Regulatory Commission with quarterly reports about electricity usage
• Author: Sen. J.D. Ford D-Indianapolis 
• Last action: Introduced Jan. 8.
• Awaiting: Hearing in Senate Utilities Committee
• Status: No movement

Child care 

Child care—and the lack of available and affordable options—has been plaguing families in Indiana and across the country. Business leaders now worry the price and lack of options will prevent new workers from moving to the state and remove others from the workforce.

Senate Bill 463

• Adds employee training, scholarship programs and compensation for employees with a higher level of training to permitted uses of funds for the employer child care expenditure tax credit; also sets staff ratios and maximum group sizes based on certain age ranges in licensed child care centers
• Author: Sen. Ed Charbonneau, R-Valparaiso
• Last action: Passed 10-1 in Senate Health and Provider Services Committee, Jan. 29
• Awaiting: Hearing in Senate Appropriations Committee
• Status: Progressing

House Bill 1253

• Allows a single-owner child care company or nonprofit, including YMCAs and school-affiliated organizations, to open multiple locations under one license
• Bill author: Rep. Dave Heine, R-Fort Wayne
• Last action: Amended and passed 12-0 in the House Family, Children and Human Affairs Committee, Jan. 22
• Awaiting: Hearing in House Ways and Means Committee
• Status: Progressing

Senate Bill 1277

• Allows a child care provider to continue receiving voucher payments until a final decision about their license or eligibility is no longer in good standing
• Author: Rep. Ethan Manning, R-Logansport 
• Last action: Introduced Jan. 13.
• Awaiting: Hearing in the House Family, Children and Human Affairs Committee
• Status: No movement

House Bill 1430

• Establishes a fund to incentivize employers to contribute to the child care costs of the employer’s employees
• Bill author: Rep. Wendy Dant Chesser, D-Jeffersonville
• Last action: Introduced
• Awaiting: Hearing in the House Family, Children and Human Affairs Committee
• Status: No movement

Indianapolis

The capital city is a demographic and political outlier in Indiana sometimes causing the Republican supermajority to target legislation toward conflicting priorities and initiatives. But also, as the state’s largest city, some legislation impacts its government and residents more than others.

Senate Bill 142

• Allows a court to order an expungement in certain eviction cases
• Authors: Sens. Liz Brown, R-Fort Wayne; Greg Taylor, D-Indianapolis; and Mike Bohacek, R-Michiana Shores 
• Last action: Amended and passed Senate 49-0 
• Awaiting: House introduction and committee assignment
• Status: Progressing

Senate Bill 13

• Increases the penalties for street takeovers, which are most prevalent in Marion County. Specifically, the legislation would make “spinning” a Class B misdemeanor.
• Authors: Sens. James Tomes, R-Wadesville; Aaron Freeman, R-Indianapolis; and Rick Niemeyer, R-Lowell 
• Last action: Amendment on Senate floor, Jan. 30
• Awaiting: Vote on Senate floor
• Status: Progressing

House Bill 1131

• Classify the town of Cumberland as an excluded city and no longer part of the consolidated city of Indianapolis
• Author: Rep. Doug Miller, R-Elkhart
• Last action: Amended and passed 10-0 House Local Government Committee, Jan. 28
• Awaiting: Hearing in House Ways and Means Committee
• Status: Progressing

House Bill 1461

• Allows Marion County residents to vote, through a referendum, for property-tax hikes that would be used to pay for road improvements and gives local communities options for addressing road-funding gaps, while also attempting to address the state’s road-funding issues
• Author: Rep. Jim Pressel, R-Rolling Prairie
• Last action: Hearing in House Roads and Transportation Committee, Jan. 27
• Awaiting: Committee vote
• Status: Progressing

Senate Bill 161

• Gives power to the attorney general to bring actions against towns, cities and counties that have an ordinance prohibiting public camping but have a policy not to enforce it
• Author: Sen. Aaron Freeman, R-Indianapolis
• Last action: Introduced Jan. 8
• Awaiting: Hearing in Senate Local Government Committee
• Status: No movement

House Bill 1533

• Allow a Marion Superior Court judge to be removed through a ballot question
• Author: Rep. Andrew Ireland, R-Indianapolis
• Last action: Introduced Jan. 21
• Awaiting: Hearing in the House Courts and Criminal Code Committee
• Status: No movement

House Bill 1006

• Establishes a special prosecutor unit, prosecutor review board and public prosecution fund, in part to investigate whether prosecuting attorneys are “noncompliant” with state laws. Similar legislation has previously been used to target Marion County Prosecutor Ryan Mears.
• Author: Rep. Chris Jeter, R-Fishers
• Last action: Introduced Jan. 21
• Awaiting: Hearing in House Courts and Criminal Code Committee
• Status: No movement

House Bill 1087

• Require the Indiana Department of Transportation to build at least one additional lanes on Interstate 70 east and westbound
• Author: Rep. Tonya Pfaff, D-Terre Haute
• Last action: Introduced Jan. 8
• Awaiting: Hearing in House Roads and Transportation Committee
• Status: No movement

Taxes

Braun and legislative leaders have prioritized changes that would reduce property taxes and could have a significant impact on local government spending.

Senate Bill 451

• Continues to decrease the adjusted gross income tax rate annually until it reaches 2.70% for tax year 2032. The 2025 tax rate is 3.0%.
• Author: Sen. Travis Holdman, R-Markle 
• Last action: Passed Senate 49-0, Jan. 28
• Awaiting: House introduction and committee assignment
• Status: Progressing

Senate Bill 443

• Increases the acquisition cost threshold for the business personal property tax exemption from $80,000 to $160,000
• Authors: Sens. Aaron Freeman, R-Indianapolis; and Chris Garten, R-Charlestown 
• Last action: Passed 8-2 in the Senate Tax and Fiscal Policy Committee, Jan. 28
• Awaiting: Consideration by full Senate
• Status: Progressing

Senate Bill 6

• Allows a county to establish a property tax payment deferral program
• Authors: Sens. Linda Rogers, R-Granger; Travis Holdman, R-Markle; and Brian Buchanan, R-Lebanon 
• Last action: Hearing in the Senate Tax and Fiscal Policy Committee, Jan. 28
• Awaiting: Vote in committee
• Status: Progressing

Senate Bill 8

• Requires a school referendum to take place during a primary election conducted in a general election year (rather than during a primary or municipal election)
• Authors: Sens. Brian Buchanan, R-Lebanon; Mike Gaskill, R-Pendleton; and Linda Rogers, R-Granger
• Last action: Hearing in the Senate Tax and Fiscal Policy Committee, Jan. 28
• Awaiting: Vote in committee
• Status: Progressing

Senate Bill 9

• Amends the formula that determines how much property tax revenue a county can collect. The formula would no longer be uniform statewide but tailored to each county based on four fiscal metrics.
• Author: Sen. Scott Baldwin, R-Noblesville 
• Last action: Hearing in the Senate Tax and Fiscal Policy Committee, Jan. 28
• Awaiting: Vote in committee
• Status: Progressing

Senate Bill 1

• Enacts parts of Gov. Mike Braun’s property tax plan
• Author: Sen. Travis Holdman, R-Markle
• Last action: Introduced Jan. 14
• Awaiting: Hearing in Senate Tax and Fiscal Policy Committee (Will be heard in next two weeks)
• Status: Progressing

House Bill 1251

• Increases the cigarette tax from $1 to $2
• Author: Rep. Elizabeth Rowray, R-Yorktown
• Last action: Introduced Jan. 9
• Awaiting: Hearing in House Ways and Means Committee 
• Status: No movement

House Bill 1042

• Provides sales tax exemptions for feminine hygiene products and adult diapers
• Author: Rep. Mark Genda, R-Frankfort
• Last action: Introduced Jan. 8.
• Awaiting: Hearing in House Ways and Means Committee
• Status: No movement

Health

Reducing the cost of health care is a major priority for policymakers. And the debate comes as the state’s Medicaid costs continue to balloon, making the low-income health insurance program a budgetary concern.

House Bill 1003

• Enacts a range of measures to increase transparency
• Author: Rep. Brad Barrett, R-Richmond
• Last action: Hearing in House Insurance Committee, Jan. 28
• Awaiting: Vote in committee Feb. 4
• Status: Progressing

House Bill 1004

• More closely polices nonprofit hospitals and what they charge for services. Says that if charges at a nonprofit hospital exceed 200% of that rate at the time of the charge, the hospital would face forfeiture of its state nonprofit status.  
• Author: Rep. Martin Carbaugh, R-Fort Wayne
• Last action: Hearing in Public Health Committee, Jan. 28
• Awaiting: Vote in committee
• Status: Progressing

Senate Bill 3

• Installs measures to push insurers and related financial officials to act in the best financial interests of their clients
• Author: Sen. Justin Busch, R-Fort Wayne
• Last action: Amended and passed 11-0 in Senate Health and Provider Services Committee, Jan. 29
• Awaiting: Consideration by full Senate
• Status: Progressing

Senate Bill 2

• Addresses the use of presumptive eligibility, which offers temporary health coverage for low-income people not yet receiving Medicaid. Reels in the Healthy Indiana Plan, or HIP, by applying an enrollment cap, coverage limits and work requirements.
• Author: Sens. Ryan Mishler, R-Mishawaka; Chris Garten, R-Charlestown; and Ed Charbonneau, R-Valparaiso
• Last action: Hearing in Senate Appropriations Committee Jan. 16
• Awaiting: Committee vote
• Status: Progressing

House Bill 1023

• Creates work requirements for some Medicaid recipients
• Author: Rep. Harold Slager, R-Schererville
• Last action: Introduced Jan. 8
• Awaiting: Hearing in Public Health Committee
• Status: No movement

Water policy & utilities 

The state’s management of  its natural resources and energy systems has risen to public consciousness thanks to questions about water for the LEAP District and debates about electricity for data centers.

Senate Bill 4

• Requires the leaders of projects that will move significant amounts of water from one water basin in the state to another to obtain a permit from the Indiana Department of Natural Resources
• Author: Sen. Eric Koch, R-Bedford
• Last action: Amended and passed 7-1 in Senate Utilities Committee, Jan. 30
• Awaiting: Consideration by full Senate
• Status: Progressing

House Bill 1007

• Creates a tax credit for expenses in manufacturing of a small modular nuclear reactor
• Author: Rep. Ed Soliday, R-Valparaiso 
• Last action: Amended and passed 9-4 in House Utilities, Energy and Telecommunications Committee, Jan. 28
• Awaiting: Hearing in House Ways and Means Committee
• Status: Progressing

Senate Bill 423

• Establishes a small modular nuclear reactor pilot program and designate eligible sites for such projects
• Author: Sen. Eric Koch, R-Bedford
• Last action: Second reading on Senate floor
• Awaiting: Final Senate vote
• Status: Progressing

Senate Bill 256

• Creates a two-year task force to study water regulation and installs a moratorium to limit significant water withdrawal projects and pipelines that would transfer water out of the Wabash region for two years
• Author: Sen. Spencer Deery, R-West Lafayette
• Last action: Introduced Jan. 13
• Awaiting: Hearing in Senate Utilities Committee
• Status: No movement

And everything else

Senate Bill 11

• Requires a social media company to obtain parental consent before allowing a child under 16 to use the platform
• Authors: Sens. Mike Bohacek, R-Michiana Shores; and Liz Brown, R-Fort Wayne
• Last action: Passed by Senate, 42-7
• Awaiting: House introduction and committee assignment
• Status: Progressing

House Bill 1073

• Provide regulations for bare-knuckle fighting, professional wrestling, boxing and sparring through the Indiana Gaming Association
• Author: Rep. Craig Haggard, R-Mooresville
• Last action: Passed House 86-5 Jan. 28
• Awaiting: Senate introduction and committee assignment
• Status: Progressing

House Bill 1008

• Creates a boundary adjustment commission that would study whether to recommend absorption of Illinois counties that want to secede from the Democrat-led state
• Author: House Speaker Rep. Todd Huston, R-Fishers
• Last action: Introduced Jan. 21
• Awaiting: Hearing in House Government and Regulatory Reform Committee
• Status: No movement

House Bill 1630

• Legalizes marijuana for those over age 21
• Author: Rep. Heath VanNatter, R-Kokomo
• Last action: Introduced Jan. 21
• Awaiting: Hearing in House Courts and Criminal Code Committee
• Status: No movement

House Bill 1218

• Bans sale of e-liquid or vape products
• Author: Rep. Elizabeth Rowray, R-Yorktown
• Last action: Introduced Jan. 8 
• Awaiting: Hearing in House Public Policy Committee
• Status: No movement

House Bill 1401

• Makes procedural changes to how a homeowners association conducts meetings and assesses fees
• Author: Rep. Julie Olthoff, R-Crown Point 
• Last action: Introduced Jan. 13
• Awaiting: Hearing in the House Judiciary Committee
• Status: No movement

Know of a bill that should be on our radar? Contact IBJ’s statehouse reporter Cate Charron at ccharron@ibj.com.