Bill Title: State budget. Appropriates money for capital expenditures, the operation of the state, K-12 and higher education, the delivery of Medicaid and other services, and various other distributions and purposes. Renames the build Indiana fund the lottery surplus fund. Eliminates all the build Indiana fund accounts. Declares the policy of the state that no person may be denied coverage for a preexisting condition under a plan of health coverage offered or administered by the state. Specifies that the preexisting condition exclusion provisions of the Patient Protection and Affordable Care Act (PPACA) are in effect and enforced in Indiana, regardless of the legal status of the PPACA. Establishes the Indiana-Michigan boundary line commission to administer and oversee a survey and remonumentation of the Indiana-Michigan border. Eliminates the office of state based initiatives. Makes the budget agency responsible for coordinating federal assistance to state agencies. Prohibits certain state agency action regarding federal assistance. Requires state agencies to provide federal assistance information to the budget agency. Requires the budget agency to: (1) prepare an annual report summarizing the federal assistance received by state agencies during the preceding federal fiscal year; (2) publish a comprehensive federal assistance review plan; and (3) perform a review of the current impact and projected future impact of federal mandates and regulations on Indiana. Makes the budget agency the state's single point of contact to review and coordinate proposed federal financial assistance and direct federal development. Adds the two deputy budget directors as alternate members of the budget committee, and specifies that one of the deputy directors shall take the place of the budget director when the budget director is not present. Removes the restriction on the Indiana horse racing commission using money distributed under a distribution agreement for administrative purposes. Requires 0.45% of the adjusted gross receipts from each casino to be deposited in the horse racing commission's operating fund. Establishes the problem gambling program fund. Specifies that the part of the problem gambling fee that is retained annually by the Indiana gaming commission must be deposited into the fund. Provides that the money in the fund is continuously appropriated. Permits the trust fund for self-insurance for employees, including retired employees, for the state police department, conservation officers of the department of natural resources, and the state excise police to invest in the same investments as the state police pension plan instead of the public employees' retirement fund (the trust fund could not invest in equity securities). Permits the retiree health benefit trust fund to invest in the same investments as the public employees' retirement fund instead of in the same manner as public deposits may be invested. Requires a periodic actuarial study of the retiree health benefit trust fund. Provides that employer contributions to the retirement medical benefits account (RMBA) on behalf of a participant must be sufficient to provide the specified benefit. Changes the administration and investment decisions for the RMBA from the budget agency to the Indiana public retirement system (INPRS). Changes responsibility for reports concerning other post-employment benefits (OPEB) from the office of management and budget (OMB) to the INPRS. Changes responsibility for reports concerning local pensions from the OMB to the INPRS. Changes references to Governmental Accounting Standards Board Statements that apply to OPEB reports. Repeals the Indiana technology fund. Provides that a taxpayer may submit, beginning in 2021, a personal property tax return using an online submission system established by the department of local government finance in collaboration with county assessors. Replaces the postwar construction fund with a fund named the state construction fund. Dedicates $1,800,000 to the state construction fund from a part of the cigarette tax revenue formerly appropriated to the department of natural resources. Repeals the state police building account and directs the revenue formerly deposited in the account to the state construction fund. Establishes requirements to be eligible to claim the Indiana research expense income tax credit effective January 1, 2019. Increases the cap on the scholarship granting organization scholarship tax credit from $14,000,000 to $15,000,000 for the state fiscal year beginning July 1, 2019, and to $16,500,000 for state fiscal years beginning after June 30, 2020. Repeals the income tax credit for property taxes paid by a for-profit acute care hospital. Provides various tax exemptions for the College Football Playoff Group for the College Football Playoff National Championship, including ancillary events. Provides that money in the department of state revenue pilot program fund for functions related to motor carrier services is continuously appropriated. Allocates a percentage of St. Joseph County innkeeper's tax revenue: (1) for the development and operation of an indoor sports complex in the city of Mishawaka; and (2) to finance projects for the Potawatomi Zoo in the city of South Bend. Expires both of these allocations and decreases the innkeeper's tax rate by the percentage allocated for the respective purposes on the later of: (1) July 1, 2024; or (2) a specified date to occur. Removes the reduction from the motor vehicle highway account fund for the appropriation to the department of transportation for traffic safety. Transfers $325,000 each month to the motor carrier regulation fund from the motor vehicle highway account fund. Requires the bureau of motor vehicles to determine the allocation to counties from the motor vehicle highway account fund that is based on motor vehicle registrations. Provides that proceeds received under the First Amendment to the Amended and Restated Indiana Toll Road Concession and Lease Agreement entered on September 21, 2018, are to be deposited in a new fund known as the toll road lease amendment proceeds fund for certain state highway projects. Appropriates $239,400,000 from the toll road lease amendment proceeds fund in state fiscal year 2019 to be used for the purposes of the fund. Terminates the appropriation to the state police department of part of the handgun license fees as of July 1, 2019. Transfers any balance remaining in the fund holding these fees to the state general fund on June 30, 2021. Requires the division of disability and rehabilitative services to establish a cost participation schedule for purposes of the first steps program. Repeals the statutory cost participation schedule. Provides that the money in the division of family resources child care fund is continuously appropriated. Removes the requirement that a school corporation distribute to the state general fund 3% of the federal reimbursement for claims paid under the federal Medicaid program. (Under current law, these funds distributed to the state general fund are dedicated for consulting to encourage school participation in the Medicaid program.) Extends the prohibition on the office of Medicaid policy and planning from including certain Medicaid recipients who receive nursing facility services in a Medicaid risk based managed care program or a capitated managed care program through June 30, 2020. Specifies conditions that apply to a Medicaid disproportionate share hospital payment plan (DSH payment plan). Requires the hospital assessment fee committee (committee) to prepare a DSH payment plan or a default plan and submit the DSH payment plan or default plan to the office of the secretary of family and social services (office of the secretary). Sets forth requirements for state fiscal years: (1) beginning July 1, 2019; and (2) beginning on or after July 1, 2020. Requires the office of the secretary to file with the federal Centers for Medicare and Medicaid Services (CMS) a proposed Medicaid state plan amendment that is based on the DSH payment plan or default plan prepared by the committee and implement the plan amendment if the state plan amendment is approved by CMS. Provides for a continuous appropriation from the prekindergarten pilot program fund. Establishes a township assistance online pilot program to provide for ease of access and efficient application for township assistance, automate the application process for township assistance, and create a system to collect and report data regarding township assistance administration. Extends the hospital assessment fee and the health facility quality assessment fee through June 30, 2021. Increases the maximum amount of a primary care scholarship awarded at Marian University College of Osteopathic Medicine in the first class year from $10,000 per year to $15,000 per year. Provides that the department of child services may enter into a voluntary service referral agreement with a child's parent, guardian, or custodian. Adds the budget director as a member of the justice reinvestment advisory council. Permits the state to purchase insurance required by the federal government in connection with the use of federal land for the state's wireless public safety voice and data communications system. Extends the judicial and legislative branch leave conversion pilot program through June 30, 2021. Requires the governor to appoint a task force to study the Indiana law enforcement academy. Appropriates $325,000 from the state general fund to the Indiana department of gaming research for the July 1, 2018, through June 30, 2019, state fiscal year. Provides that appropriations from the state board of accounts dedicated fund for the state board of accounts for the state fiscal year beginning July 1, 2018, may be augmented from the state board of accounts dedicated fund. Provides that unused funds appropriated to the legislative council and legislative services agency in FY 2019 or FY 2020 do not revert to the general fund until June 30, 2021. Permits a state officer to use state funds to make a communication containing the name and likeness of the state officer if the communication: (1) is posted or maintained on a state owned Internet web site; (2) relates to the official duties of the state officer and is not made for commercial broadcast or dissemination to the general public; or (3) is posted on social media, if the communication relates to the official duties of the state officer, was not created, developed, or posted by a nongovernmental entity, and if the social media service provider does not charge for the posting. Specifies allowable terms for a settlement agreement involving the state or a state agency. Provides for the ability for cash flow funding before a full funding grant agreement is approved for the northern Indiana railroad project. Requires the northwest Indiana regional development authority to repay the amount if a full funding grant agreement is not approved. Modifies the membership of the board of the northern Indiana commuter transportation district (board). Provides that board members are not entitled to a salary per diem. Permits the board to authorize the Indiana department of transportation (INDOT) to exercise all or a part of the powers of the board that are necessary or desirable to accomplish the purposes of the board subject to the agreement of INDOT, including carrying out a railroad project. Broadens the powers of INDOT to contract with third parties to carry out a railroad project. Establishes the next level connections fund to provide matching grants to local units of government and nonprofit organizations for trails, incentivize and establish additional nonstop flights originating from Indiana airports, and accomplish the transportation plan of the department of transportation. Permits INDOT to transfer up to $100,000,000 from the next level connections fund to the rural broadband fund for the purpose of awarding broadband grants for rural areas. Establishes the northern Indiana commuter rail account within the fund. Requires the budget agency to transfer $185,000,000 from the next level connections fund to the northern Indiana commuter rail account. Permits the transfer of up to an additional $20,000,000 from the next level connections fund to the northern Indiana commuter rail account, subject to the approval of the governor. Provides that any proposed extension or amendment to certain agreements shall be submitted to the budget committee for review. Prohibits any extension or amendment to such an agreement until after the budget committee has reviewed the proposed extension or amendment. Specifies that any lump sum amounts or series of amounts totaling more than $1,000,000 received under a public-private agreement entered into by the Indiana finance authority before January 1, 2013, must be held in reserve until May 1 of the calendar year following the calendar year in which the lump sum payment or series of payments was received. Authorizes the state and state agencies to enter into cooperative agreements with federally recognized Indian tribes. Specifies the necessary terms of a cooperative agreement. Requires a provision of a cooperative agreement waiving the state's sovereign immunity to be reviewed and approved by the attorney general. Specifies the conditions that must be met for the state to waive its immunity from suit in federal court under the Eleventh Amendment to the Constitution of the United States with respect to a cooperative agreement. Adds federally recognized Indian tribes to the list of governmental entities with which local governments may enter into interlocal agreements. Provides that a marketplace facilitator is required to collect and remit state sales tax as a retail merchant when it facilitates a retail transaction for sellers on the marketplace facilitator's marketplace. Specifies circumstances in which a marketplace facilitator or a seller would not be required to collect and remit the state sales tax. Specifies that sharing of passenger motor vehicles and trucks through a peer to peer vehicle sharing program is a retail transaction subject to the state gross retail and use tax if sharing occurs more than 15 days in a calendar year. Provides that the exemption for the purchase of a new motor vehicle that is acquired for resale, rental, or leasing in the ordinary course of the person's business does not apply to a vehicle purchased for sharing through a peer to peer vehicle sharing program. Provides that vehicle sharing through a peer to peer vehicle sharing program is exempt from the auto rental excise tax and a county supplemental auto rental excise tax unless an ordinance is adopted to impose the county tax. Limits the county supplemental tax rate to 1%. Imposes a vehicle sharing excise tax at a 2% tax rate. Distributes the revenue from the tax to political subdivisions based on the vehicle's county of registration. Requires a marketplace facilitator to collect and remit innkeeper's tax. Repeals the definition of "facilitator" that is set to go into effect July 1, 2019. Repeals the provision requiring a facilitator who is a retail merchant to provide an itemized statement to the consumer. Provides that primary personal residences are exempt from the state gross retail tax unless the owner rents or furnishes the residence for more than 14 days. Provides for the collection of food and beverage taxes. Makes failure to collect or remit food and beverage taxes a Level 6 felony. Provides that a county treasurer may enter into an agreement with the fiscal officer of an entity responsible for the expenditure of funds from an innkeeper's tax to furnish the fiscal officer each month with the name and retail address of each business collecting an innkeeper's tax and the amount of money collected from each business. Provides that the state department of health shall issue guidelines establishing a cost participation standard for the amount of a parent's or guardian's expected contribution toward the purchase of a hearing aid for which assistance is granted under the hearing aid assistance program (program). Provides that the state department of health may issue guidelines establishing additional funding priorities to give to applications that are submitted under the program. Suspends the healthy Indiana plan phase out trust fund payments beginning in state fiscal year 2018-2019, subject to budget committee review. Requires the department of child services to establish a per diem model to reimburse providers of family preservation services. Appropriates $150,000,000 from the state general fund to the 1996 account of the teachers retirement fund of the Indiana public retirement system (INPRS). Specifies that the board of trustees of the INPRS is to reduce the employer contribution rate. Requires the governing body of each school corporation after July 1, 2019, and before October 1, 2019, to hold a public meeting to determine: (1) the dollar amount of the reduction in the school corporation's employer contribution rate; and (2) the actions the governing body of the school corporation intends to take with that amount. Provides for thirteenth checks in 2019 and 2020 for certain members of the: (1) Indiana state teachers' retirement fund; (2) public employees' retirement fund; (3) state excise police, gaming agent, gaming control officer, and conservation enforcement officers' retirement plan; (4) state police pre-1987 benefit system; and (5) state police 1987 benefit system. Urges the legislative council to assign to the appropriate interim study committee the topic of the complexity index used in funding K-12. Requires the auditor of state to transfer any balance in the regional cities development fund to the state general fund on June 30, 2019. Reconciles conflicts with other enactments. Makes corresponding changes. Makes technical corrections.

Spectrum: Slight Partisan Bill (Republican 4-2)

Status: (Passed) 2019-04-29 - Public Law 108 [HB1001 Detail]

Text: Latest bill text (Enrolled) [PDF]

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