Skip to content

4/18 Hendricks County Chambers Weekly Statehouse Update

  • General Statehouse Update
  • Hendricks County Chambers Update
  • Action Items
  • Important Dates
  • Closing

General Statehouse Update

224344-1643841824111

The Week That Was

If you ask anyone that worked in or around the statehouse, this was a week that felt like three weeks - with more ups and downs and highs and lows than a roller coaster. The legislature and Hoosier policy world were still digesting the Tuesday morning passage of SB 1, the property tax bill, when Governor Braun signed the bill in a private ceremony later that day. Legislative leaders and the Governor forged forward with SB 1 despite opposition from his Lieutenant Governor, a large, thousands-strong protest against the bill on Monday (which caused some school districts to move to asynchronous learning), and an outspoken portion of his base. The bill was easily one of the most contentious of the session, with the Senate voting 27-22 to pass the measure, which proponents say would lower two-thirds of Hoosier homeowners’ bills in 2026. Local officials still maintain that the tax burden on local income taxes to offset the anticipated dip in property tax revenue increases will result in an unfair shift which will unfairly situate local leaders.

 

Not great, Bob.

Then on Wednesday, the State Budget Committee publicly released the state revenue forecast, and the proverbial shi* has finally hit the fan at the Statehouse. In a word, it’s not good.

The state is facing a significant fiscal challenge, with over $2 billion less to work with due to the bleak economic outlook. And this was just from last December’s fiscal outlook. State fiscal leaders presented a dismal revenue forecast to the State Budget Committee on Wednesday, injecting an urgency not only into the budget scenario, but for all other bills with fiscal components still alive with only a week left for legislators to craft a budget picture that funds the state for the next two years.

The downturn is attributed to slower job and wage growth, stock market losses, and federal policies on tariffs, immigration, and spending cuts. This financial strain raises the likelihood of cuts to public services and welfare programs, including Medicaid (find the Medicaid forecast here).

So what does that mean? Any bill still not passed with a fiscal implication could be in jeopardy. And as a surprise to many in the hallway, the conference committee for the budget, HB 1001, was scheduled for Monday morning at 11 am. The budget bill always goes to conference committee, but it is also always one of the last bills to be heard so the fact that it was scheduled for early in the week caused a flurry of concern throughout the statehouse. This could very well mean that some bills with unresolved issues (and a fiscal) could be dying.

 

Yet More Executive Orders

Earlier in the week, Governor Mike Braun announced a public health initiative that introduces significant changes to welfare programs, including the SNAP program (food stamps) and Medicaid. Braun signed nine executive orders that align with Trump-era health policies, aiming to improve public health by enforcing stricter eligibility and benefit requirements - complete with visits by US Health Secretary Robert F. Kennedy, Jr. and Centers for Medicare and Medicaid Services Administrator, Dr. Mehmet Oz to Indiana. These include new work requirements for Medicaid and SNAP (Supplemental Nutrition Assistance Program) recipients, reinstated income and asset verification for SNAP eligibility, and excluding candy and soft drinks from SNAP benefits. Critics argue that these changes might disproportionately impact low-income residents and note Braun's proposal to cut public health funding from $150 million to $100 million (before more tightening happens on the budget next week.)

 

What’s next …

Conference committees began in earnest this past week and will continue into next week. As a reminder - once a bill has passed both chambers, the bill author can either agree to the second chamber’s changes made to their bills (concurrence) and that original chamber will vote to support those changes. Or the bill author can disagree with the second chamber’s changes (a dissent), and a bill is taken to conference committee to negotiate those changes. Conference committees may only be given an hour’s public notice before they occur - so lobbyists are camped out at the statehouse from sun up to sun down awaiting notification - what we call “death watch.”

The legislature is required by law to wrap up no later than April 29th (Sine Die - latin for without another day), but leadership has indicated that they are still on track to adjourn on April 24th. The Torchbearer Public Affairs team thinks it could go one extra day into the 25th. As we ramp into the most fraught week of the legislature, the legislature’s fiscal staff will likely have a very busy working weekend (with Good Friday and Easter thrown in for good measure), adding to the drama of the dismal revenue forecast hanging over the Statehouse like a storm cloud.

As always Torchbearer Public Affairs will be in the room and your eyes and ears in the Statehouse from early Monday morning until Sine Die. If you have any questions about your legislative priorities - please reach out to your lead professional on the team at any time.

Hendricks County Chambers Update

We are finishing the last few days of the 2025 legislative session - and it will be fireworks until the finish. Please read below for information important to you and your organization. As we anticipate that we will finish the legislative session sometime on Thursday, April 24th or Friday, April 25th - it is likely that your session wrap-up report will not hit your inboxes until early the following week. This gives us time to read the hundred-page conference committee reports and ensure that we give you the most accurate information. In the meantime, we will be texting you updates on your priorities in real-time, so you will always be in the know. And you should always feel free to call or text your lead professional at TPA for any questions or concerns.

On your mark, get set, go!

 

Bill Updates:

Bills Awaiting a Concurrence or Dissent

Bills headed to Conference Committee

Bills headed to the Governor

  • SB 2 (Medicaid Matters)
  • SB 463 (Child Care Matters)

Bills Signed by the Governor

  • SB 431 (Construction of Data Centers by Foreign Adversary)
  • SB 178 (Natural Gas and Propane as a Clean Energy Resources)
  • SB 1 (Local Government Finance)
  • HB 1005 (Housing and Building Matters)
  • SB 516 (Economic Development)

State Budget

HB 1001 - The biennial budget was amended and discussed in the Senate earlier this week. Over 70 amendments were filed on the bill, and while many of those were called down and debated on the floor, only a few were actually adopted (see below). The Senate Budget drafter, Senator Ryan Mishler (R-Bremen) said that some of the amendments he might consider adopting but he was really waiting for the revenue forecast to be released on Wednesday before considering significant changes to the budget. The budget passed 40-9, with one Democrat Senator, David Niezgodski (D-South Bend), voting with the Republicans. As expected, the House dissented to the changes made in the Senate and the bill will be heard in conference committee on Monday, April 21st at 11 am. Because the budget revenue forecast was so poor, it is anticipated that significant cuts will be made to the budget to make up for the $2.4B revenue shortfall.

  • Amendment #41 - ensures that religious organizations receiving community services block grant funding for pregnancy and parenting services under a state contract are subject only to federal Charitable Choice Act requirements, without additional state or contractor-imposed conditions, including mandates to involve more than one individual in service delivery.
  • Amendment #45 - clarifies that $2M is allocated annually within the 20-year period, rather than $2M spread over 20 years, making the overall $40M - for the Midwest Continental Divide Commission Fund.
  • Amendment #73 - passed
  • News articles:

Property Tax Relief

SB 1 - This bill is a sweeping property tax and local finance reform bill aimed at easing the tax burden on homeowners, promoting transparency, and improving fiscal accountability at the local level. It shifts Indiana’s tax structure from deductions to credits—most notably introducing a new supplemental homestead credit and expanded senior circuit breakers. It also places new limits on local government levy growth and appeal options.

  • The bill overhauls the Local Income Tax (LIT) system, phasing out the current structure by 2027 and allowing municipalities to adopt their own income tax rates by 2028. It includes business tax reforms such as raising the business personal property exemption and removing depreciation floors for new equipment outside TIF districts. Additional provisions require referendum transparency, mandate revenue sharing with charter schools after 2028, establish a tax deferral program, and create a statewide property tax portal.
  • The Senate author, Sen. Holdman, concurred on the House amendments, and the bill passed the Senate on its final vote (27–22). It was signed into law by the Governor on April 15th.
  • Here’s a roundup of coverage from the past week tracking the bill’s movement.

Childcare

SB 463 -This legislation seeks to improve childcare access and quality across Indiana by updating provider standards, supporting the launch of microcenter pilot programs, and expanding the Early Learning Advisory Committee. The bill promotes flexibility in staffing ratios, space requirements, and the use of student workers, allowing providers to better tailor services to local needs—particularly in underserved areas. It encourages innovation while preserving safety and quality and enhances representation in statewide early learning discussions.

  • The bill also includes technical updates to align state rules with federal guidelines and clarify implementation timelines.
  • After receiving strong bipartisan support in both chambers, the Senate concurred with House changes this week on a 35–6 vote. SB 463 now heads to the Governor’s desk for signature.

HB 1253 - This bill initially aimed to allow multi-site licensure for childcare centers and passed the House unanimously (91–0). Although that language was removed in the Senate Appropriations Committee due to concerns over site-level accountability, supporters—including Rep. Heine and FSSA—argued it would streamline operations without compromising oversight. The committee passed the bill 11–0 with the revised language.

  • On second reading in the Senate, similar multi-site licensure language was reintroduced and adopted by voice vote. The bill then passed the full Senate with strong bipartisan support (48–1) and now returns to the House.
  • It was placed on the concurrence calendar this week but has not yet been called due to the author’s absence. A final vote is expected early next week.

Road Funding

HB 1461 - This session’s comprehensive road funding bill passed the Senate with four key changes from the version approved by Appropriations last week. The updated bill removes language related to drainage structure maintenance and eliminates the proposed increase in hybrid and electric vehicle registration fees. It also adds specific restrictions for funds allocated to Marion County—requiring that dollars be used exclusively for lane line maintenance, pothole repair, or new lane lines. Additionally, it mandates that all Marion County townships enter into MOUs and pass resolutions to use the funding for road and infrastructure improvements.

  • The bill passed the Senate with a vote of 38-10. Chairman Pressel, the author, concurred with the Senate amendments, and the bill was approved on its final House vote (68-17). It now heads to the Governor’s desk for signature.
  • Check out the article here for additional context on the bill.

Housing and Building Matters

HB 1005 - The bill builds on Indiana’s 2023 housing legislation by enhancing a state loan program that supports housing-related infrastructure and introducing a new option for private plan review and inspection of Class 2 structures, such as single-family homes and duplexes. The bill prioritizes funding for communities that implement zoning reforms to support higher-density housing, though some concerns remain about the lack of direct affordability requirements. It also aims to reduce delays in construction by allowing certified third-party inspectors if local governments exceed review timelines, while maintaining local permitting authority.

  • After returning to the House, the author concurred with the Senate amendments, and the bill received final approval with a vote of 69-16. It now heads to the Governor’s desk.
  • What may be in question is if the $25M appropriation in the budget for this program will remain after cuts are made to fill the budget shortfall.

State Fiscal Oversight Enhancements

SB 5 - This bill, a Senate Republican priority bill, aims to strengthen fiscal oversight and transparency in state agency contracting. It focuses on executive branch agencies and includes provisions for quarterly reporting of contracts and employment vacancies, the use of AI in budgeting, and enhanced review of contracts tied to federal funds or unused appropriations.

  • During its time in the House, the bill was significantly narrowed. It no longer applies to educational institutions or non-state entities, and INDOT was exempted from reporting requirements. While contractor accountability language and certain procurement procedures were removed, core elements around transparency and contract oversight remained. Two additional House floor amendments clarified the definition of “state agency” and ensured attorney-client privilege in required reports.
  • SB 5 passed the House 92–1. However, upon its return to the Senate, author Sen. Scott Baldwin filed a dissent on the House amendments. The reason for the dissent has not been publicly stated, and the bill now moves to a conference committee for resolution.

Economic Development

SB 516 - SB 516 aims to strengthen Indiana’s economic development by supporting entrepreneurship and improving transparency within the Indiana Economic Development Corporation (IEDC). It creates a new Office of Entrepreneurship and Innovation to serve as a centralized hub for small businesses and startups - a priority for Governor Braun. The bill also introduces new transparency requirements for IEDC land purchases over 100 acres and clarifies reporting obligations related to Innovation Development Districts. It codifies the role of the IEDC President without allocating additional funding.

  • After unanimous committee approval and broad House support, the author concurred with the House amendments by a vote of 41-0, and now heads to the Governor for consideration.

Student Eligibility in Interscholastic Sports

HB 1041 - HB 1041 regulates college sports participation based on sex assigned at birth, requiring state educational institutions to designate athletic teams as male, female, or coed. The bill prohibits individuals assigned male at birth from participating on female teams and requires out-of-state schools to inform Indiana institutions if transgender women are on their rosters. It also mandates the establishment of grievance procedures for alleged violations.

  • Democratic lawmakers proposed several amendments in both committee and on the Senate floor to allow transgender athlete participation, but none were adopted.
  • The bill passed out of committee 9–4 along party lines and was approved on final passage by a vote of 42–6. With no changes made, it advanced directly to the Governor, who signed it into law on April 16th.

Various Tax Matters

SB 453 - This bill addresses a range of tax and regulatory matters and has undergone significant revision throughout the legislative process. The bill initially included provisions related to tax treatment for investment partnerships, deceptive business practices, digital network transparency, and various tax matters. In the House, additional unrelated provisions were added—including deductions for aircraft, a sales tax exemption, tax credits for physician ownership, and sections related to county jail revenue, fire service reporting, and health reimbursement arrangements.

  • During this week’s conference committee, Senate legal staff identified several of those House-added items as non-germane to the original bill. As a result, the bill is being redrafted to remove the non-germane provisions and return to the scope of the introduced version.
  • Key language that will remain includes investment partnership tax treatment, deceptive act provisions, digital networks, and other core tax-related items. Senate leadership emphasized the importance of adhering to germaneness rules and encouraged legislators to find alternative bills for the removed provisions.
  • Our TNC language was removed from the bill, in conference committee, but please see HB 1390 for an important update!
  • The conference committee is currently in recess but may reconvene to continue discussions.

Unlawful Discrimination

SB 289 - The bill initially introduced as a broad measure targeting diversity, equity, and inclusion (DEI) initiatives, has been significantly narrowed during its progression through the House. The current version focuses on prohibiting discriminatory practices within public K-12 schools, higher education institutions, and state licensing boards—excluding private businesses and programs. The bill includes restrictions on training content and establishes financial penalties for violations. A provision was also added to expand access to the Next Generation Hoosier Educators Scholarship by eliminating the minority requirement and prioritizing students from underserved counties, aiming to help address teacher shortages in high-need areas.

Various Property Matters

SB 197 - This bill began as a technical update to Indiana’s unsafe building laws but was expanded in the House to include a broad package of provisions related to homelessness enforcement, public land use, utility data ordinances, illegal dumping, and Medicaid housing services. The revised bill made camping or sleeping on public property without authorization a Class C misdemeanor, added procedures for law enforcement to connect individuals to services before enforcement, and blocked certain local environmental ordinances. The House also added provisions requiring a Medicaid waiver to fund housing-related services through the Healthy Indiana Plan. The bill passed the House 52–40 and returned to the Senate, where author Sen. Freeman filed a dissent on the House changes.

  • In conference committee this past week, nearly all House-added language was removed after it was ruled non-germane—including the homelessness, HIP waiver, utility data, solid waste, and other provisions.
  • Discussions focused on refining the remaining unsafe building language, particularly around civil penalties, property owner notification timelines, and how liens are handled. Concerns were raised about the 10-day notice period, how civil penalties are recorded, and ensuring fair access to legal representation.
  • While Rep. Alting expressed appreciation for removing the homelessness language from SB 197, there have been indications that similar provisions may be added to SB 324 during its upcoming conference committee. SB 197’s conference committee remains ongoing, and further discussions are expected.

 

Here is a link to your live bill tracker.

Action Items

  • Please review your bill track list and let us know if there are any bills you would like us to engage more on in the second half.

Important Dates:

193029-1666985429364

April 16th - April 24th - Conference Committees

Thursday, April 24th - Anticipated Sine Die

Tuesday, April 29th - Sine Die