Indiana Legislative Analysis

Electric utility affordability. Requires an electricity supplier that is under the jurisdiction of the Indiana utility regulatory commission (IURC) to do the following: (1) Beginning with the first monthly billing cycle that begins after June 30, 2026, apply a levelized billing plan (plan) to all active residential customer accounts to which a plan does not already apply. (2) Not later than April 1, 2026, offer each customer a mechanism by which the customer may opt out of a plan at any time without penalty. (3) Not later than July 1, 2026, for any plan offered by the electricity supplier and applied to an active customer account, amend or design the plan so that plan's account reconciliation mechanism is applied at such times during a calendar year to reflect typical seasonal patterns of electricity usage by residential customers, but not more than two times during a calendar year. Prohibits an electricity supplier from referring to or promoting a levelized billing plan as a "budget billing plan" unless the levelized billing plan also provides other specified forms of relief for customers. Authorizes the IURC to adopt rules to implement these provisions. Amends existing law granting the IURC the authority to take certain actions with respect to the rates and services of public utilities during emergency circumstances, as judged by the IURC, to provide instead that the IURC may recommend that the governor declare a disaster emergency or proclaim a state of energy emergency during which the IURC may take such actions. Specifies that the emergency must result from: (1) a national economic depression; (2) an act of war; or (3) a disaster of unprecedented size and destructiveness. Provides that an electric utility may not terminate residential electric service to a customer on any day with respect to which the National Weather Service has forecast, not earlier than 48 hours in advance, a heat index of at least 95 degrees for the location where the customer receives service. Requires an electricity supplier that is under the jurisdiction of the IURC for the approval of rates and charges to report to the office of utility consumer counselor (OUCC) on a quarterly basis certain data concerning residential customer accounts. Requires the OUCC to annually compile and summarize the information contained in the reports and include the summary in the OUCC's annual report to the interim study committee on energy, utilities, and telecommunications. Provides that an investor owned electricity supplier that is under the jurisdiction of the IURC for the approval of rates and charges must petition the IURC for approval of any change in its basic rates and charges through the submission of a three-year multi-year rate plan (MYRP). Beginning in 2026, requires each electricity supplier to file its first petition with the IURC for approval of an MYRP according to a prescribed schedule. Provides that the base rates for the first rate year of an MYRP shall be established by the IURC in the same manner that base rates would be established in a proceeding for a change in basic rates and charges that occurs outside an MYRP. Specifies that in a petition to the IURC for a multi-year plan, an electricity supplier must include certain information in its case in chief. Provides that for each rate year in an electricity supplier's MYRP, the following apply: (1) A customer affordability performance metric and an associated performance incentive mechanism (PIM) that: (A) is based on the electricity supplier's performance in meeting the customer affordability performance metric; and (B) provides financial rewards or penalties to the electricity supplier based on that performance. (2) A service restoration performance metric and an associated PIM that: (A) is based on the electricity supplier's performance in meeting the service restoration performance metric; and (B) provides financial rewards or penalties to the electricity supplier based on that performance. Sets forth the methods by which the IURC must calculate the prescribed performance metrics and determine the associated PIMs. Sets forth specified findings the IURC must make in approving an electricity supplier's MYRP. Provides that at any time before the expiration of an electricity supplier's approved MYRP, the IURC may, upon its own motion, or at the request of the OUCC or the electricity supplier: (1) examine the electricity supplier's rates under the MYRP; (2) conduct periodic reviews with opportunities for public hearings and comments; and (3) adjust the base rates or PIMs under the MYRP. Beginning in 2029, requires the IURC to include in its annual report certain information about: (1) the status of electricity suppliers' MYRP filings and current MYRPs; (2) electricity suppliers' calculated performance metrics for the current rate year; and (3) the impact of all applicable PIMs on customer rates. Requires the IURC to adopt rules to implement these provisions. Requires an electricity supplier that is under the jurisdiction of the IURC to offer, not later than July 1, 2026, a low income customer assistance program (program) that provides financial assistance to low income residential customers for the payment of monthly bills for utility service. Requires an electricity supplier to annually fund its program in an amount equal to: (1) at least 0.2% of the electricity supplier's jurisdictional revenues for residential customers; plus (2) any contributions from governmental agencies or programs or from other third parties. Provides that if a customer who applies for assistance is eligible for assistance under the program, the electricity supplier shall enroll the customer in the program. Provides that an electricity supplier may, but is not required to, petition the IURC for approval to recover eligible program costs. Provides that "eligible program costs" do not include costs recovered through program contributions that are provided at no cost to the electricity supplier. Beginning in 2027, requires the IURC to include each year in its annual report specified information concerning each electricity supplier's program with respect to the most recently concluded state fiscal year. Requires the IURC to adopt rules to implement these provisions.

Key Points

• Sponsored by Alaina Shonkwiler (Republican)
• Voted 89-4 in the House
• Review the full bill text for complete details before taking action

Various education matters. Makes changes to various education provisions concerning the following: (1) Certain school corporation accounting requirements. (2) The "nonpublic school" definition. (3) Recodification and state board of education (state board) transition provisions. (4) The state board's duties. (5) Powers of the governing bodies of school corporations. (6) Public-private agreements by charter schools for the construction or renovation of schools. (7) Adoption of certain rules by the state board. (8) Department of education's (department) duties regarding initiatives for teacher recruitment and retention of certain educators. (9) Regular teacher's contract requirements for principals and assistant principals. (10) Graduation plan requirements. (11) Instruction on alcoholic beverages, tobacco, prescription drugs, and controlled substances. (12) Recognition program criteria application. (13) Reporting on certain student expenditure information. (14) Excused absences. (15) Automated external defibrillator (AED) requirements. (16) Grant awards from the Indiana secured school fund. (17) Joint meetings of governing bodies of school corporations. (18) The borrowing of money by school corporations for certain hardware. Relocates a provision regarding certain possession and storage of a firearm educational materials from the department to the department of homeland security. Allows use of temporary teacher contracts for teachers who have been issued an emergency permit. Removes or repeals various education and higher education provisions concerning the following: (1) Expired and expiring provisions. (2) Duties, discretionary actions, and restrictions regarding the department. (3) Posting of certain information by schools. (4) Discretionary display of certain words by qualified districts. (5) Academic receivership. (6) Staff performance evaluations regarding Indianapolis Public Schools. (7) Certain powers of governing bodies of school corporations. (8) Certain student teaching agreement requirements with postsecondary educational institutions. (9) Certain discretionary authority of school corporations regarding joining regional school study councils, distributing payroll based on contractual and compensation plans, and establishing and using funds for nursery schools. (10) Spending restrictions for remediation programs. (11) Certain website posting requirements for school corporations and charter schools. (12) Reporting regarding students who meet certain requirements during their expected graduation year. (13) Discretion regarding certain feasibility studies. (14) Certain rights and privileges of teachers employed in a joint program or special education cooperatives or with regard to certain interlocal cooperation agreements. (15) Joint investment funds. (16) Application of certain laws to joint programs. (17) Establishment of certain students as transfer students. (18) Discretion regarding employee health coverage for certain individuals. (19) Notification to the secretary of education by a superintendent regarding a conviction or certain final actions. (20) References to an online platform for training. (21) Reports regarding adjunct teachers. (22) Teacher contract requirements regarding the number of work hours per day. (23) Voiding of contracts with teachers if certain conditions apply. (24) Regular teacher's contract requirement for principals, assistant principals, and directors of special education. (25) The provision of certain individual test scores regarding examinations required for teacher licensure. (26) The definition of "secondary school" regarding the federal teacher loan forgiveness program. (27) The definition of "deficit financing" with regard to the Gary Community School Corporation and the Muncie Community school corporation. (28) Allowing instruction on bullying prevention and child abuse by certain individuals. (29) Timing of statewide assessment requirements for state accredited nonpublic schools and eligible schools. (30) Requirement that the department make available certain diagnostic tools. (31) Discretionary portfolio programs by governing bodies of school corporations. (32) Allowing expulsion if a student's legal settlement is not in an attendance area. (33) Report requirement by the education commission of the states. (34) Duty of a school corporation to preserve instructional programs. (35) The primary care physician loan forgiveness program. (36) Required payments by postsecondary credit bearing proprietary educational institutions regarding cost of performing team onsite investigations. (37) Indiana excellence in teaching endowment. (38) Listing of funds established outside certain education provisions. Repeals and relocates education provisions regarding programs administered by the state with the following changes: (1) Removes or repeals the following: (A) Dissemination of certain information regarding the teacher referral system. (B) Expired provisions. (C) Certain uses of the Senator David C. Ford educational technology fund. (D) The technology plan grant program and requirements. (E) School social worker qualification requirements. (F) An annual report regarding system of teacher and student advancement grants. (G) The Indiana education residency pilot program. (H) A biannual progress report regarding the next level computer science program and fund. (I) A noncompliance and transfer of responsibility provision regarding the next level computer science program and fund. (2) Amends certain requirements regarding the process for evaluating curricular materials. Makes conforming changes.

Key Points

• Sponsored by Robert Behning (Republican)
• Voted 67-26 in the House
• Review the full bill text for complete details before taking action

VFD clothing and automobile allowances. Increases, from $100 to $250, the clothing and automobile allowance for an active member of a volunteer fire department.

Key Points

• Sponsored by Randy Novak (Democrat)
• Voted 89-0 in the House
• Review the full bill text for complete details before taking action

Housing matters. Provides the following are permitted uses that are approved without a hearing: (1) Single family dwellings and duplexes in residential zones. (2) An accessory dwelling unit within a single family dwelling. (3) Affordable housing on property purchased by a religious institution before January 1, 2025, in a residential or commercial zone. Provides that the following apply to a unit, if the unit does not adopt an ordinance to opt out: (1) Prohibits a unit from requiring more than a specified number of parking spaces for multi-family dwelling units, single family dwellings, or commercial space. (2) Prohibits a unit from regulating design elements of residential structures. (3) Requires a mixed use residential or multi-family residential development to be a permitted use in an area zoned for commercial use. (4) Prohibits a unit from imposing requirements on lot sizes, density, setbacks, and building bulk on certain lots or parcels. Provides that a structure classified as an R-2 building occupancy classification that is not more than: (1) three stories; and (2) 24 total units; shall be permitted to have a passenger elevator not larger than an elevator that accommodates a wheelchair. Adds requirements regarding the location of impact zones designated by a unit after June 30, 2026. Provides that after December 31, 2026, if a unit fails to update its zoning ordinance within one year after adopting or amending its comprehensive plan, the unit must approve a project that complies with the comprehensive plan or the zoning ordinance. After December 31, 2026, restricts a unit's ability to impose and increase fees related to building approvals and permits. Delays implementation of building permit increases to 180 days after publication of the ordinance. Beginning January 1, 2027, requires a unit to annually report to the Indiana housing and community development authority certain information concerning housing in the unit. Resolves conflicts for IC 36-2-4-8, which was amended by both P.L.22-2021 and P.L.152-2021.

Key Points

• Sponsored by Doug Miller (Republican)
• Voted 76-15 in the House
• Review the full bill text for complete details before taking action

School age child care. Removes certain transportation requirements in the approval criteria for the school age child care project fund. Requires the division of family resources to adopt rules specifying cost and expense standards for transporting a child to a facility where the child does not attend school.

Key Points

• Sponsored by Dale DeVon (Republican)
• Voted 93-0 in the House
• Review the full bill text for complete details before taking action

Regulation and investment of cryptocurrency. Provides that the following shall offer, as a regular investment program, a self directed brokerage account that offers at least one cryptocurrency investment option: (1) The legislators' defined contribution plan. (2) The Hoosier START plan. (3) Specified public employees' retirement fund plans and accounts. (4) Specified teachers' retirement fund plans and accounts (including the teachers' pre-1996 account). Provides that the assets of the following may be invested in cryptocurrency exchange traded funds that do not include payment stablecoin as a permissible asset: (1) The legislators' defined benefit plan. (2) The state excise police, gaming agent, gaming control officer, and conservation enforcement officers' retirement plan. (3) The special death benefit fund. (4) The public employees' retirement fund hybrid plan. (5) The pension relief fund. (6) The teachers' retirement fund hybrid plan (including the teachers' pre-1996 account). (7) The state police benefit system. (8) The judges' retirement system. (9) The prosecuting attorneys retirement fund. (10) The 1977 police officers' and firefighters' pension and disability fund. Prohibits a public agency, other than the department of financial institutions, or a county, municipality, or township from adopting or enforcing a rule, ordinance, or other regulation that does any of the following: (1) Prohibits, restricts, or impairs an individual's ability to: (A) accept digital assets as a method of payment for legal goods and services; or (B) take custody of digital assets using specified technologies. (2) Imposes taxes or fees on: (A) use or acceptance of digital assets as a method of payment for legal goods and services; or (B) taking or maintaining custody of digital assets using a self-hosted wallet or hardware wallet; that are not applicable to comparable financial transactions that do not involve digital assets. (3) Prohibits, restricts, or impairs the ability of an individual or business to engage in specified activities pertaining to blockchains. Prohibits a public agency, other than the department of financial institutions, from adopting or enforcing a rule, ordinance, or other regulation that prohibits operation of a digital mining business. Prohibits a county, municipality, or township from adopting or enforcing a rule, ordinance, or other regulation that does any of the following: (1) Prohibits a digital asset mining business from operating in an area zoned for industrial use, or subjects a digital asset mining business located in an area zoned for industrial use to noise restrictions that are not applicable to other businesses operating in an area zoned for industrial use. (2) Prohibits private digital asset mining in a private residence located in an area that is zoned for residential use, or subjects private digital asset mining in a residence located in an area zoned for residential use to noise restrictions that do not apply to other residences in an area zoned for residential use. Provides that development or use of software for noncustodial transfer of digital assets does not constitute money transmission for purposes of statutes regarding licensure of money transmitters. Provides that a court may compel a person to disclose a digital asset private key only if no other admissible information is sufficient to provide access to the digital asset.

Key Points

• Sponsored by Kyle Pierce (Republican)
• Voted 53-42 in the House
• Review the full bill text for complete details before taking action

Option to conduct municipal election in even years. Allows any city or town to adopt an ordinance providing that each elected office of the municipality is elected in an even-numbered year. (Under current law, certain municipalities may adopt an ordinance providing that each elected office of the municipality is elected in an even-numbered year.)

Key Points

• Sponsored by Jennifer Meltzer (Republican)
• Voted 59-35 in the House
• Review the full bill text for complete details before taking action

Alzheimer's disease and dementia education. Requires the Indiana department of health (state department) to: (1) collaborate with a national Alzheimer's disease and dementia organization in educating the public about Alzheimer's disease and dementia; and (2) identify and collaborate with additional partners in the education. Requires the state department to partner for outreach in the education and publish certain educational materials on the state department's website. Allows the state department to accept grants, services, and property from public and private entities for the education.

Key Points

• Sponsored by Gregory Porter (Democrat)
• Voted 90-0 in the House
• Review the full bill text for complete details before taking action

Various judicial matters. Requires that, in a county having a consolidated city, the chief judge must: (1) be appointed to the community corrections advisory board; and (2) appoint the second judge and a mental health representative. Defines "full court" as the total of all Marion County superior court judges who are appointed and serving as judges. Specifies that if a newly appointed judge is filling a vacancy of a judge whose term ends the same year as the appointment, the newly appointed judge shall serve a term that expires on December 31 of the sixth full year following the appointment. Requires the Marion County judicial selection committee (judicial selection committee) to nominate a minimum of three candidates to the governor when a judicial vacancy exists and allows the governor to appoint any of the nominated candidates when filling more than one vacancy. Replaces the term "presiding judge" with "chief judge" within the Marion County superior court. Requires the judicial selection committee to determine that a judge is suitable to retain judicial office before a judge's request for retention may be placed on the ballot. Establishes a procedure with specific deadlines for a judge who wishes to stand for retention in 2026. Repeals and replaces a provision concerning the procedure to select the Marion County judicial executive committee (executive committee) and certain court provisions. Provides that, for an executive committee starting a term on January 1, 2027, and for the selection of each committee thereafter, the full court shall meet not later than November 15 in the final year of the executive committee's term to select the next executive committee. Requires a two-thirds vote of the sitting judges who will hold office on January 1 of the next year to select members of the executive committee. Requires the judicial selection committee to appoint the chief judge. Increases the term of an executive committee member of the Marion County judiciary from two years to three years. Specifies which duties are the responsibility of the full court and which are to be determined by a trial judge. Describes the duties and authority of the executive committee. Provides that any action taken by the executive committee may only be overruled by a majority vote of 85% of the full court sitting at the time the vote is taken. Provides that a majority vote of 85% of the full court, serving at the time the vote is taken, is required to remove a member of the executive committee. Removes a requirement that the executive committee requires the approval of two-thirds of the judges to determine the number of judicial officers and personnel required to serve the court. Provides that the judge of the circuit court has exclusive authority to appoint commissioners or magistrates allocated to the circuit court. Provides that the executive committee has exclusive authority to appoint commissioners or magistrates allocated to the superior court, and the commissioners and magistrates appointed serve at the pleasure of the executive committee. Specifies that the executive committee has final authority for all employment decisions regarding commissioners and magistrates. Repeals a provision that allows the presiding judge to appoint a magistrate and allows the executive committee to appoint 28 magistrates. Requires a voting member of the justice reinvestment advisory council to cast a vote in person. Requires that, in a county having a consolidated city, the chief judge or a judge appointed by the chief judge be the chair of the local justice reinvestment advisory council. Provides that a local or regional advisory council may only take action upon the affirmative vote of the members and a member must cast a vote in person. Makes conforming changes.

Key Points

• Sponsored by Danny Lopez (Republican)
• Voted 88-2 in the House
• Review the full bill text for complete details before taking action

Permissible unsupervised activity. Defines "independent activity". Provides that a child is not a child in need of services solely because a parent, guardian, or custodian allows the child to engage in an independent activity unless the parent, guardian, or custodian is so reckless in allowing the child to engage in the independent activity that it endangers the child's health or safety given the child's maturity, condition, and ability. Provides a defense for neglect of a dependent that the accused person reasonably believed that an independent activity was not dangerous.

Key Points

• Sponsored by Jake Teshka (Republican)
• Voted 93-0 in the House
• Review the full bill text for complete details before taking action