Bill > SB0104

This bill amends Indiana's tax increment financing (TIF) law to establish new requirements for residential housing development programs adopted after June 30, 2025. Specifically, the bill mandates that for new residential housing development programs, the redevelopment commission must annually transfer at least 5% of the aggregate allocated tax proceeds from the TIF allocation area back to the unit (city or county) that established the commission. The transferred funds must be used exclusively for police and fire services serving the allocation area. The bill also clarifies the program's duration, which cannot exceed 20 years or extend beyond the date when bond obligations are satisfied. Additionally, the bill provides more detailed provisions about how excess property tax revenues can be allocated and requires consultation with neighborhood associations, school corporations, and local stakeholders before establishing such a program. The changes aim to ensure that local governments benefit more directly from tax increment financing districts focused on residential housing development, while providing transparency and community input in the planning process.

Budget and Finance

https://iga.in.gov/legislative/2025/bills/senate/104/details