Subscriber Benefit
As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe NowThis week marked the first-half deadline of the legislative session, meaning lawmakers spent hours in session passing bills that had been lingering, including budget and property tax reform measures.
The deadline also means that many bills lawmakers never heard in committee were officially declared dead. And even a few that lawmakers passed in committee were surprisingly killed in the final hours, including a bill that would have criminalized sleeping on streets.
The House and Senate are taking a week off and will return to the Statehouse March 3 to begin working on bills the opposite chamber passed.
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.
- 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: Passed House 68-21, Feb. 20
- Awaiting: Senate introduction and committee assignment
- Status: Progressing
- 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: Passed House 85-7, Feb. 11
- Awaiting: Senate introduction and committee assignment
- Status: Progressing
- Creates an Indiana-Ireland commission to advance trade relations
- Author: Rep. Timothy O’Brien, R-Evansville
- Last action: Passed House 86-1, Feb. 3
- Awaiting: Senate introduction and committee assignment
- Status: Progressing
- 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
- Status: Dead
- Establishes parameters for what agricultural land could be included in an economic revitalization area
- Author: Sen. Spencer Deery, R-West Lafayette
- Status: Dead
- 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
- Status: Dead
- Creates a tax credit for certain capital investments made in rural funds to incentivize investment in rural businesses
- Author: Rep. Shane Lindauer, R-Jasper
- Status: Dead
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.
- 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: Passed House 76-18, Feb. 18
- Awaiting: Senate introduction and committee assignment
- Status: Progressing
- 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
- Status: Dead
- Designates an ombudsman or a state employee to investigate and resolve 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
- Status: Dead
- 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
- Status: Dead
- 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
- Status: Dead
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.
- Requires the Department of Education to prepare a plan to develop a market-driven credential program with at least three priority industry pathways
- Author: Sen. Greg Goode, R-Terre Haute
- Last action: Passed Senate 48-1, Feb. 20
- Awaiting: House introduction and committee assignment
- Status: Progressing
- Establishes a reemployment skills training pilot program for those on unemployment benefits
- Author: Sen. Liz Brown, R-Fort Wayne
- Last action: Passed Senate 45-2, Feb. 20
- Awaiting: House introduction and committee assignment
- Status: Progressing
- Creates a workforce housing assistance program so workers can receive financial support to buy a home
- Author: Rep. Doug Miller, R-Elkhart
- Status: Dead
- Reduces the maximum time a person is allowed to be on unemployment benefits by almost half
- Author: Sen. Scott Alexander, R-Muncie
- Status: Dead
- Prohibits nondisclosure agreements
- Author: Rep. Chris Judy, R-Fort Wayne
- Status: Dead
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.
- 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: Passed Senate 48-0, Feb. 4
- Awaiting: House introduction and committee assignment
- Status: Progressing
- Requires data center developments to provide the Indiana Utility Regulatory Commission with quarterly reports about electricity usage
- Author: Sen. J.D. Ford, D-Indianapolis
- Status: Dead
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.
- 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 Senate 44-5, Feb. 20
- Awaiting: House introduction and committee assignment
- Status: Progressing
- 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: Passed House 48-0, Feb. 11
- Awaiting: Senate introduction and committee assignment
- Status: Progressing
- 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
- Status: Dead
- 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
- Status: Dead
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.
- Address road-funding disparities through a range of funding mechanisms, including an increase to the maximum rate for county wheel and vehicle excise tax and required county bonding abilities. (Previously included Marion County referendum language)
- Author: Rep. Jim Pressel, R-Rolling Prairie
- Last action: Passed House 71-21, Feb. 20
- Awaiting: Senate introduction and committee assignment
- Status: Progressing
- 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: Passed House 72-24, Feb. 19
- Awaiting: Senate introduction and committee assignment
- Status: Progressing
- 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: Passed House 89-3, Feb. 11
- Awaiting: Senate introduction and committee assignment
- Status: Progressing
- 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: Passed Senate 48-1, Feb. 3
- Awaiting: House introduction and committee assignment
- Status: Progressing
- 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, Jan. 28
- Awaiting: House introduction and committee assignment
- Status: Progressing
- Bans camping on public property
- Author: Rep. Michelle Davis, R-Whiteland
- Status: Dead
- 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
- Status: Dead
- Allow a Marion Superior Court judge to be removed through a ballot question
- Author: Rep. Andrew Ireland, R-Indianapolis
- Status: Dead
- 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
- Status: Dead
Taxes
Braun and legislative leaders have prioritized changes that would reduce property taxes and could have a significant impact on local government spending.
- Creates a $500 tax credit for families with newborn children
- Author: Sen. Greg Walker, R-Columbus
- Last Action: Passed Senate unanimously, Feb. 20
- Awaiting: House introduction and committee assignment
- Status: Progressing
- Installs a number of property tax-related items, including referenda timing changes, a county payment deferral program and reform of how the state establishes a cap for on how much a local body can increase its property tax collections
- Author: Sen. Travis Holdman, R-Markle
- Last action: Passed Senate 37-10, Feb. 17
- Awaiting: House introduction and committee assignment
- Status: Progressing
- Increases the acquisition cost threshold for the business personal property tax exemption
- Authors: Sens. Aaron Freeman, R-Indianapolis; and Chris Garten, R-Charlestown
- Last action: Passed Senate 39-7, Feb. 13
- Awaiting: House introduction and committee assignment
- Status: Progressing
- 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
- Increases the cigarette tax from $1 to $2
- Author: Rep. Elizabeth Rowray, R-Yorktown
- Status: Dead
- Provides sales tax exemptions for feminine hygiene products and adult diapers
- Author: Rep. Mark Genda, R-Frankfort
- Status: Dead
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.
- Forces a hospital to forfeit its nonprofit status if its charges exceed 300% of the Medicare reimbursement rate at the time of the charge
- Author: Rep. Martin Carbaugh, R-Fort Wayne
- Last action: Passed House 68-26, Feb. 20
- Awaiting: Senate introduction and committee assignment
- Status: Progressing
- 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: Passed Senate 40-9, Feb. 18
- Awaiting: House introduction and committee assignment
- Status: Progressing
- Enacts a range of measures to increase transparency
- Author: Rep. Brad Barrett, R-Richmond
- Last action: Passed House 66-32, Feb. 18
- Awaiting: Senate introduction and committee assignment
- Status: Progressing
- 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: Passed Senate 47-0, Feb. 17
- Awaiting: House introduction and committee assignment
- Status: Progressing
- Creates work requirements for some Medicaid recipients
- Author: Rep. Harold Slager, R-Schererville
- Status: Dead
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.
- Creates a tax credit for expenses in manufacturing of a small modular nuclear reactor
- Author: Rep. Ed Soliday, R-Valparaiso
- Last action: Passed House 67-25, Feb. 13
- Awaiting: Senate introduction and committee assignment
- Hearing in Status: Progressing
- 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: Passed Senate 48-0, Feb. 4
- Awaiting: House introduction and committee assignment
- Status: Progressing
- Establishes a small modular nuclear reactor pilot program and designate eligible sites for such projects
- Author: Sen. Eric Koch, R-Bedford
- Last action: Passed Senate 41-7, Feb. 3
- Awaiting: House introduction and committee assignment
- Status: Progressing
- 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
- Status: Dead
And everything else
- 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: Passed House 69-25, Feb. 20
- Awaiting: Senate introduction and committee assignment
- Status: Progressing
- 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, Jan. 23
- Awaiting: House introduction and committee assignment
- Status: Progressing
- 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
- Legalizes marijuana for those over age 21
- Author: Rep. Heath VanNatter, R-Kokomo
- Status: Dead
- Bans sale of e-liquid or vape products
- Author: Rep. Elizabeth Rowray, R-Yorktown
- Status: Dead
Know of a bill that should be on our radar? Contact IBJ’s statehouse reporter Cate Charron at ccharron@ibj.com.
Please enable JavaScript to view this content.