Bill Text: IN HB1096 | 2011 | Regular Session | Amended
Bill Title: Fire protection territories.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Introduced - Dead) 2011-02-15 - Committee report: amend do pass, adopted [HB1096 Detail]
Download: Indiana-2011-HB1096-Amended.html
Citations Affected: IC 6-1.1; IC 36-8; noncode.
Effective: Upon passage; July 1, 2011; January 1, 2012.
January 5, 2011, read first time and referred to Committee on Veterans Affairs and Public
Safety.
February 15, 2011, amended, reported _ Do Pass.
Digest Continued
maintenance of the fire protection services with the territory, plus a reasonable operating expense. (Current law provides that the provider unit, with the assistance of each of the other participating units, shall annually budget the necessary money to meet the expenses of operation and maintenance of the fire protection services with the territory, plus a reasonable operating expense, not to exceed 20% of the budgeted expenses.) Removes language that, in the case the amount levied in a particular year is insufficient to cover costs, the levy in the following year shall be increased by the amount needed and the provider unit is entitled to transfer the amount transferred from the fund as reimbursement to the provider unit. Requires the department of local government finance to review the tax rates in existing fire protection territories and reconsider whether different rates should apply for the participating units.
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A BILL FOR AN ACT to amend the Indiana Code concerning local
government.
section 3 of this chapter and first due and payable after December 31,
2008, may not increase annually by a percentage greater than the result
of:
(1) the assessed value growth quotient determined under section
2 of this chapter; minus
(2) one (1).
(b) The department of local government finance may, under this
subsection, increase the maximum permissible ad valorem property tax
levy that would otherwise apply to a civil taxing unit under section 3
of this chapter to meet the civil taxing unit's obligations to a fire
protection territory established under IC 36-8-19. To obtain an increase
in the civil taxing unit's maximum permissible ad valorem property tax
levy, a civil taxing unit shall submit a petition to the department of
local government finance in the year immediately preceding the first
year in which the civil taxing unit levies a tax to support the fire
protection territory. The petition must be filed before the date specified
in section 12(a)(1) of this chapter of that year. The department of local
government finance shall make a final determination of the civil taxing
unit's budget, ad valorem property tax levy, and property tax rate for the
fire protection territory for the ensuing calendar year. In making its
determination under this subsection, the department of local
government finance shall consider the amount that the civil taxing unit
is obligated to provide to meet the expenses of operation and
maintenance of the fire protection services within the territory,
including the participating unit's reasonable share of an operating
balance for the fire protection territory. The department of local
government finance shall determine the entire amount of the allowable
adjustment in the final determination. The department shall order the
adjustment implemented in the amounts and over the number of years,
not exceeding three (3), requested by the petitioning civil taxing unit.
However, the department of local government finance may not approve
under this subsection a property tax levy greater than zero (0) if the
civil taxing unit did not exist as of the March 1 assessment date for
which the tax levy will be imposed. For purposes of applying this
subsection to the civil taxing unit's maximum permissible ad valorem
property tax levy in subsequent calendar years, the department of local
government finance may determine not to consider part or all of the
part of the property tax levy imposed to establish the operating balance
of the fire protection territory.
(b) Except as provided in subsection (c), for property taxes first
due and payable after 2011, the total amount that may be levied in
a civil taxing unit in the ensuing calendar year to support a fire
protection territory may not exceed:
(1) the amount levied in the civil taxing unit to support the fire
protection territory in the current calendar year; multiplied
by
(2) the assessed value growth quotient determined under
section 2 of this chapter.
(c) For property taxes first due and payable after 2011, in the
first year in which a civil taxing unit levies a property tax to
support a fire protection territory, the total amount that may be
levied in that year in the civil taxing unit to support the fire
protection territory may not exceed the lesser of the following:
(1) An amount equal to:
(A) the amount levied for fire protection services in the
participating civil taxing unit in the year immediately
preceding the year in which the unit first imposes property
taxes to support the fire protection territory; multiplied by
(B) the assessed value growth quotient determined under
section 2 of this chapter.
(2) The property tax levy specified by the legislative body of
the civil taxing unit under IC 36-8-19-6(f)(1) as the property
tax levy to be imposed in the first year of the territory.
(1) The ordinance or resolution is identical to the ordinances and resolutions adopted by the other units desiring to become a part of the proposed territory.
(2) The ordinance or resolution is adopted after January 1 but before April 1.
(3) The ordinance or resolution authorizes the unit to become a party to an agreement for the establishment of a fire protection territory.
(4) The ordinance or resolution is adopted after the legislative body does the following:
(A) Holds a public hearing at least thirty (30) days before adopting the ordinance or resolution at which the legislative body makes available to the public the information required by subsection (e) concerning the
fiscal impact of the proposed fire protection territory.
(B) Holds at least one (1) additional public hearing to
receive public comment on the proposed ordinance or
resolution. The legislative body must give notice of the
hearing under IC 5-3-1.
(b) The notice required under this section shall include all of the
following:
(1) A list of the provider unit and all participating units in the
proposed territory.
(2) The date, time, and location of the hearing.
(3) The location where the public can inspect the proposed
ordinance or resolution.
(4) A statement as to whether the proposed ordinance or
resolution requires uniform tax rates or different tax rates within
the territory and the proposed levies and tax rates for each
participating unit.
(5) The name and telephone number of a representative of the unit
who may be contacted for further information.
(c) The ordinance or resolution adopted under this section shall
include at least the following:
(1) The boundaries of the proposed territory.
(2) The identity of the provider unit and all other participating
units desiring to be included within the territory.
(3) An agreement to impose the following:
(A) For property taxes first due and payable before
January 1, 2012:
(i) a uniform tax rate upon all of the taxable property within
the territory for fire protection services; or
(B) (ii) different tax rates for fire protection services for the
participating units desiring to be included within the
territory, so long as a tax rate applies uniformly to all of a
unit's taxable property within the territory. unit.
(B) For property taxes first due and payable after
December 31, 2011, a property tax levy for fire protection
services within each participating unit. The maximum
property tax levy for fire protection services for a
particular unit may not exceed the amount determined for
the unit under IC 6-1.1-18.5-10.5.
(4) The contents of the agreement to establish the territory.
(d) Except as provided in subsection (e), an ordinance or a
resolution adopted under this section takes effect July 1 of the year the
ordinance or resolution is adopted.
(e) A legislative body of a participating unit that desires to adopt an ordinance or a resolution under this section must make the following information available to the public at the meeting required by subsection (a)(4)(A):
(1) The property tax levy, property tax rate, and budget to be imposed or adopted during the first year of the territory for each of the units that would participate in the proposed fire protection territory.
(2) The estimated effect of the proposed reorganization in following years on taxpayers in each of the units that would participate in the proposed fire protection territory, including the expected property tax rates, property tax levies, expenditure levels, and service levels, and annual debt service payments.
(3) A description of the planned services and staffing levels to be provided in the proposed fire protection territory.
(4) A description of any capital improvements to be provided in the proposed fire protection territory.
(1) another unit that is a participating unit in the fire protection territory; or
(2) another unit that is proposing to become a participating unit in the fire protection territory.
(1) For property taxes first due and payable before January 1, 2012:
(A) a uniform rate upon all taxable property within the territory; or
(2) For property taxes first due and payable after December 31, 2011, a property tax levy for fire protection services for a particular unit may not exceed the amount determined for the unit under IC 6-1.1-18.5-10.5.
(b) The fund consists of the following:
(1) All receipts from the tax imposed under this section.
(2) Any money transferred to the fund by the provider unit as authorized under subsection (d).
(3) Any receipts from a false alarm fee or service charge imposed by the participating units under IC 36-8-13-4.
(4) Any money transferred to the fund by a participating unit under section 8.6 of this chapter.
(c) The provider unit, with the
(d) If the amount levied in a particular year is insufficient to cover the costs incurred in providing fire protection services within the territory, the provider unit may transfer from available sources to the fire protection territory fund the money needed to cover those costs.
unit.
(e) If the amount levied in a particular year exceeds the amount
necessary to cover the costs incurred in providing fire protection
services within the territory, the levy in the following year shall be
reduced by the amount of surplus money that is not transferred to the
equipment replacement fund established under section 8.5 of this
chapter. The amount that may be transferred to the equipment
replacement fund may not exceed five percent (5%) of the levy for that
fund for that year. Each participating unit must agree to the amount to
be transferred by adopting an ordinance (if the unit is a county or
municipality) or a resolution (if the unit is a township) that specifies an
identical amount to be transferred.
(f) The tax under this section is subject to the tax levy limitations
imposed under IC 6-1.1-18.5-10.5.
(b) This SECTION expires January 1, 2015.