By Caryl Auslander ● March 17, 2026

• Here’s How Indiana’s “Bring Your Baby to Work” Policy Is Going
• Central Indiana Officials Meet for ‘Long Overdue’ Data Center Discussion
• Trump Administration Kicks Off New Process to Try to Replace Tariffs Struck Down by Supreme Court
• Disaster Emergency Declared
• Affordable Housing Solutions
• State Revenues Beat Projections in February
• Former Indianapolis Mayor Greg Ballard Declares for Secretary of State Race
• Indiana Board Finalizes New A-F School Accountability System
• Indiana Court Blocks Abortion Law in ACLU Religious Freedom Case
• Gov. Mike Braun Signs 80 Bills Into Law. Here Are Some Highlights.
• The U.S. Labor Market Lost 92,000 Jobs in February in Warning Sign for Economy
• Indiana’s Role in National Push to Protect Power Bills
• Braun Doubles Down on Addressing 'Imbalanced Relationship’ Between Utilities, Ratepayers
• General Statehouse Update
• Hendricks County Chambers Update
• Important Dates

Here’s How Indiana’s “Bring Your Baby to Work” Policy Is Going

When Gov. Mike Braun announced his new "bring your baby to work" policy, it was widely panned as everything from out of touch to insulting.

Why it matters: Three months in, the administration is evaluating the policy's effectiveness and looking at how to expand it.

Driving the news: Braun announced his "Family First Workplace" policy in December, which allows some state employees to bring their infants — up to 6 months old — to work with them.

• It's being piloted in the governor's office, the Indiana Department of Health and the State Personnel Department.

Zoom in: One of the first people to take Braun up on his offer was Jessica Roeder, his deputy chief of staff for operations, and her newborn, Liesl.

• "She has a pretty good schedule," Roeder told Axios. "She normally sleeps in the mornings. She pops around to meetings with me … and brings great joy to the meetings we're in."

• Roeder admits it's not for every parent or every infant. While Liesl is generally a quiet, easy baby, she says her first child may not have been as easy to have around the office.

What she's saying: Roeder said she had a day care lined up for Liesl, but delayed her start after the new policy was adopted.

• "This has provided me with a lot of valuable time with her that I wouldn't have had otherwise," she said.

State of play: While bringing an infant to work is an impossibility for many workers and not going to solve the state's child care crisis, the Braun administration says it's one piece of a larger "family-friendly" policy that includes more parental leave.

• New parental leave for state employees is four weeks.

• Braun removed the waiting period for eligibility, which was six months, and added six weeks of "childbirth recovery leave" for new moms (eight weeks for mothers who deliver via C-section).

• That policy also applies now to cases of fetal loss after 20 weeks.

By the numbers: So far, three state employees have opted in to bringing their infant to the office.

• The governor's office told Axios that additional participation from those and three more state government departments is expected this spring.

Zoom out: Indiana has experienced a rash of child care center closures and has seen the waitlist for Child Care and Development Fund vouchers grow to more than 30,000 in response to the freeze on the program meant to help low-income working parents pay for child care.

• Despite calls to direct more funding to the program during the legislative session that ended last month, the moves made were relatively small.

• Senate Enrolled Act 4 allows Braun to direct money from the Financial Responsibility and Opportunity Growth Fund to CCDF.

• Another measure expands tax credits for businesses that provide child care to employees.

What's next: Additional state agencies may join as the pilot expands.

• "Findings from the pilot will help inform future decisions, with the long-term goal of making the program available to all employees who want to take advantage of it … where it aligns with operational needs and agency missions," the office's spokesperson told Axios. (Axios)

Central Indiana Officials Meet for ‘Long Overdue’ Data Center Discussion

The arrival of the data center boom has caught many leaders in central Indiana off guard, as they scramble to create a coordinated plan for development.

Why it matters: Municipal leaders are facing challenges as data centers can strain resources without providing substantial job growth.

• Concerns over water and electricity usage have led residents to mobilize against these projects, causing companies like Google to reconsider.

The big picture: The demand for data centers is driven by the rise of artificial intelligence, with investments predicted to grow significantly.

• Experts liken this surge to the internet buildout, emphasizing its unprecedented nature.

What’s next: Leaders are urged to engage in conversations and planning to harness the economic benefits while addressing potential downsides.

• Utility companies stress the importance of early project communication to meet energy demands effectively. (IBJ)

Trump Administration Kicks Off New Process to Try to Replace Tariffs Struck Down by Supreme Court

The Trump administration has opened a new trade investigation into foreign manufacturing, following the Supreme Court’s ruling against previous tariffs.

Why it matters: This move aims to replace lost revenue and protect American jobs by exploring new tariffs under Section 301 of the Trade Act of 1974.

• The investigation targets countries like China, the EU, and others for potential unfair advantages.

Driving the news: U.S. Trade Representative Jamieson Greer emphasized the goal is to protect jobs, with possible new tariffs as a result of the investigation.

What’s next: The administration faces a 150-day deadline to finalize these investigations, as current tariffs are set to expire on July 24.

• Greer mentioned potential additional investigations into digital service taxes and other areas. (IBJ)

Disaster Emergency Declared

Governor Mike Braun has declared a state of disaster emergency in Jasper, Newton, and Starke counties due to severe weather and tornado activity.

Why it matters: The declaration allows state resources to be mobilized, providing crucial assistance to communities impacted by widespread damage.

• Severe weather on March 10, 2026, caused significant destruction to homes, businesses, and infrastructure, leading to power outages and injuries.

State response: The Indiana Department of Homeland Security (IDHS) is coordinating emergency response efforts.

• State assistance will supplement local resources, focusing on preparation, response, recovery, and mitigation activities.

What’s next: The disaster emergency status will last for 30 days, during which time state agencies will provide assistance as needed to ensure public safety. (Indiana.gov)

Affordable Housing Solutions

Sen. Jim Banks (R-Ind.) helped write a provision in a bipartisan Senate housing bill that could help communities like Indianapolis turn abandoned buildings into housing.

Why it matters: Indianapolis has more than 1,800 vacant properties, according to Banks' office, and the new program could turn them into a tool for tackling the housing shortage.

State of play: The RESIDE Act would set aside up to $100 million annually for a four-year pilot program in which communities could compete for grants ranging from $1 million to $10 million.



• The money could be used to buy abandoned buildings — such as warehouses, factories, hotels and strip malls — at market price, perform site cleanup, and make repairs needed to convert them into affordable housing.

What they're saying: "Owning a home is such a big part of the American dream. But with prices so high, especially for young people, we have to get serious about building more homes," Banks said in a statement. "This bill is a commonsense way to revitalize our communities and give more families a real chance to buy a home."

The latest: The measure is part of a bipartisan housing package the Senate passed overwhelmingly last week.

• The 21st Century ROAD to Housing Act, which passed 89-10, is the bipartisan product of negotiations between Sens. Tim Scott (R-S.C.) and Elizabeth Warren (D-Mass.), and is aimed at incentivizing more homebuilding.

Yes, but: Republican backlash in the House over restrictions on institutional investors is threatening to tank the larger measure, even though much of the bill is the same as a housing package the House passed last month.

The bottom line: Either House Republicans accept the changes in the Senate bill, or the stalemate sets the chambers up for a conference to negotiate a compromise. (Axios)

State Revenues Beat

Projections in February

Indiana’s General Fund revenues for February totaled $1.4 billion, surpassing the April 2025 forecast by $63.6 million or 4.7%.

Why it matters: This revenue boost reflects a healthier-than-anticipated state economy, driven by strong income and sales tax collection.

• Income tax collections were 9.6% higher than expected, while cigarette taxes saw a significant 21.4% rise.

By the numbers: February’s collections were 8.8% higher compared to the same month last year.

• Year-to-date, General Fund revenues are $14.4 billion, exceeding forecasts by $74.2 million.

What’s next: The only shortfall was in racino wagering tax collections, which fell below estimates.

• Ongoing economic analysis will help adjust future forecasts and fiscal planning.

Go deeper: Read the full report here. (Inside Indiana Business)

Former Indianapolis

Mayor Greg Ballard Declares

for Secretary of State Race

Former Indianapolis Mayor Greg Ballard is entering the Indiana secretary of state race as an independent.

Why it matters: Ballard’s independent candidacy could shake up a race dominated by partisan politics, offering voters an alternative to the traditional party lines.

• Ballard emphasizes professional, nonpartisan governance amidst a “toxic” political climate.

Driving the news: Ballard, a former Republican, aims to minimize politics in the Secretary of State’s Office, challenging incumbent Republican Diego Morales and Democrat Beau Bayh.

• He believes an independent can better serve the office, citing his past success as Indianapolis mayor.

What’s next: If elected, Ballard plans to enhance voter engagement by distributing voter guides and reviewing Indiana’s voting practices.

• He criticizes straight-ticket voting and advocates for supporting local clerks in managing elections effectively. (IBJ)

Indiana Board Finalizes New A-F School Accountability System

Indiana has officially approved a new school accountability system, pending a few final signatures.

Why it matters: The redesigned A-F grading system offers a more comprehensive assessment of student progress, literacy, and post-graduation readiness.

• This model emphasizes individual student growth and incorporates a variety of success indicators.
• Schools will earn credit based on academic proficiency, growth, and success indicators, which differ by grade level.

The big picture: Indiana’s new framework aims to provide a roadmap for schools and families to achieve success.

• It shifts away from an “all-or-nothing” approach, focusing on reading and math mastery in early grades.

What’s next: The rule awaits approval from the state Attorney General and Governor.

• A transition year, “Year Zero,” will allow schools to adapt to the new system before grades count towards accountability. (Indiana Capital Chronicle)

Indiana Court Blocks Abortion Law in ACLU Religious Freedom Case

An Indiana court has blocked the state’s near-total abortion ban, following a legal challenge by the ACLU of Indiana.

Why it matters: The court’s decision protects individuals whose religious beliefs could be burdened by the law, highlighting the intersection of religious freedom and reproductive rights.

• The injunction is a response to the case’s classification as a class action, meaning the ruling applies statewide.
• The court found the ban imposed a “substantial burden” on religious practices protected by the Religious Freedom Restoration Act.

The latest: The ACLU announced the ruling on March 5, 2026, marking a significant moment in the ongoing legal battle over Senate Enrolled Act 1.

• Stevie Pactor, ACLU of Indiana’s Senior Staff Attorney, emphasized the ruling’s importance for religious freedom across various faiths.

What’s next: As the case progresses through the courts, the permanent injunction remains in place, preventing the enforcement of the ban. (Indy Star)

Gov. Mike Braun Signs 80 Bills Into Law. Here Are Some Highlights:

At the end of the week, Gov. Mike Braun has signed 80 bills into law, impacting a wide range of issues from Medicaid to homeless encampments.

Why it matters: These legislative actions underscore significant policy shifts in Indiana, aimed at addressing healthcare, public safety, and local governance.

• Of the 144 bills on his desk from the 2026 legislative session, two remain untouched, including one renewing Indiana’s syringe exchange law with new restrictions and another banning virtual currency kiosks.

Driving the news: Braun recently signed a bill allowing a new casino license in Fort Wayne, reinstating a local referendum requirement that was nearly removed.

• The governor’s cooperation with legislators helped avoid potential vetoes.

The bottom line: Gov. Braun’s legislative decisions reflect a balance between state needs and local approvals, with some bills becoming law without his signature. (Indy Star)

The U.S. Labor Market Lost

92,000 Jobs in February in

Warning Sign for Economy

The U.S. labor market experienced a significant downturn, losing 92,000 jobs in February, highlighting economic vulnerabilities.

Why it matters: The job losses, driven by health care industry strikes and broader economic challenges, underscore potential weaknesses in sectors previously bolstered by health care demand.

• The unemployment rate rose to 4.4%, with forecasts initially predicting job growth rather than decline.

What they’re saying: “This is definitely a sign that the labor market is not reaccelerating,” says Andrew Flowers, Appcast’s chief economist.

• Despite this, the Trump administration downplayed the losses, citing extraneous factors like weather and strikes.

The bottom line: While layoffs remain low and consumer spending holds strong, February’s job report signals that more robust hiring might be delayed, posing risks to economic stability. (Washington Post)

Indiana’s Role in National Push to Protect Power Bills

Indiana is stepping up in a national initiative to curb rising electricity costs as AI technology grows.

Why it matters: As AI expands, electricity demands are soaring. Indiana’s proactive steps in energy management can set a precedent for balancing technological growth with cost efficiency.

• The state leads with a rate reduction filing, indicating its commitment to affordable energy.

The big picture: At a White House roundtable, tech giants like Google, Microsoft, and Meta signed the “Ratepayer Protection Pledge.”

• This agreement ensures these companies will support new power generation and infrastructure upgrades without burdening consumers.

What’s next: Indiana’s approach may ease local concerns about energy consumption spikes.

• The state’s central location, grid access, and available land make it a prime destination for AI data centers, promising jobs and economic opportunities.

The bottom line: Indiana’s leadership in energy initiatives highlights the importance of sustainable growth in technology sectors. (WIBC)

Braun Doubles Down on Addressing 'Imbalanced Relationship’ Between Utilities, Ratepayers

Gov. Mike Braun continues his campaign against high utility rates, emphasizing efforts to make energy more affordable in Indiana.

Why it matters: Indiana’s energy sector faces turbulence with rising utility rates and community divisions over data center projects.

• Data from the Citizens Action Coalition shows a 17.5% increase in electric bills between July 2024 and July 2025.

Driving the news: Braun attributes rising costs to inflation under President Biden and criticizes the lack of consumer support.

• He highlights legislative measures and new appointments aimed at controlling utility rates, like the appointment of a new IURC commissioner.



• Braun advocates for data centers to fully cover their impact on the electric grid.

The bottom line: While Republicans push for performance-based ratemaking, Democrats argue regulatory hands are tied, favoring utility companies.

• The debate continues amid concerns over rising gas prices and potential suspension of the state gas tax in response to geopolitical tensions. (Inside Indiana Business)

General Statehouse Update

The second session of the 124th Indiana General Assembly adjourned sine die Friday evening, with the Senate adjourning slightly before the House, bringing Indiana’s longest short session ever to an anticlimactic end. Where did things end for Hoosiers? Let’s dive in:



REDISTRICTING

It is hard to remember, but we actually started our 124th legislative session in December of 2025 to deal with legislation allowing for mid-cycle redistricting. Indiana became an unexpected focal point in a broader national battle over mid-decade redistricting, a process normally reserved for just after the census. Republican leaders in Washington, including President Donald Trump and Vice President J.D. Vance pushed Indiana’s legislature to redraw its congressional map ahead of the 2026 midterm elections in a way that would eliminate the state’s two Democratic seats and boost GOP representation. After GOP lawmakers in the House of Representatives passed a highly partisan map designed to turn both the 1st and 7th districts solidly Republican in HB 1032, the plan ran into strong resistance in the Republican-controlled Indiana Senate — where legislative leaders acknowledged they lacked sufficient votes and ultimately voted down the proposal on December 11, 2025, with 21 Republicans joining all Democrats in opposition (19-31). The fight saw intense political pressure from the White House, threats of primary challenges for opposing senators, local protests and advocacy efforts, and even intimidation tactics against lawmakers, but it ended with the mid-cycle redistricting effort defeated and Indiana’s existing congressional boundaries preserved for 2026. While the legislative fight is over, we are seeing significant primary challenges in both the House and the Senate due to votes on this bill.

BEAR DOWN

When the legislative session resumed in January after the holidays, a surprise awaited the legislators at the Statehouse. Rumors abounded, and the marquee effort began to bring the Chicago Bears to Indiana. SB 27, authored by Sen. Ryan Mishler (R-Bremen) and coauthored and sponsored by nearly every member of the Indiana General Assembly, included a $1B financial framework and incentives for a new stadium in Hammond, Indiana. In the midst of the final days of the legislative session, Governor Braun made an appearance on the Pat McAfee Show, revealing reasons and pressing all of sportsdom to be open to the idea of grabbing the Bears away from Arlington Heights, Ill. While defenders will say that SB 27 has no statewide tax implications, critics point to a list of new taxes for residents of Porter and Lake counties to pay to finance the construction bonds and improved infrastructure. Time will tell whether Indiana’s biggest bipartisan push will successfully make Hoosiers out of the Chicago Bears (at least on home game days).

EDUCATION

In the first half of session, the Senate felt that they did not have enough support for a social media ban for Hoosier teenagers. However, the tragic death of Fishers teen Hailey Buzbee swiftly shifted the tide and language moved through the House of Representatives where we saw social media restrictions for youth added to HB 1408, which passed with unanimous support.

Restrictions require social media providers to verify the age and location of users. They are required to do this in a "neutral way," typically meaning they use age verification rather than asking users if they are over a set minimum age. These changes come after an effort by Hailey’s parents that included a petition, amplified by billboards and a viral social media campaign.

Hoosier students will also have a stricter ban on cell phone use at schools. In a previous session, the legislature passed a ban on cell phones in schools, but it allowed for phone usage during passing periods and lunch. SB 78, authored by Sen. Jeff Raatz (R-Richmond) tightened up the law, which will now restrict cell phone use from “bell to bell.”

HEALTHCARE

Healthcare was a significant issue this year, and while affordability for Hoosiers was important to legislators, the focus was to reduce fraud to cut costs.

SB 1 aimed to reduce error rates in the Medicaid program and Supplemental Nutrition Assistance Program (SNAP). SB 1 tightens eligibility for Indiana’s Medicaid program — including more frequent eligibility checks, harsher documentation requirements, and stricter alignment with federal requirements. Advocates contended that tighter rules would kick vulnerable people off Medicaid and make coverage harder to maintain, effectively limiting access to entitlements.

ELECTIONS

While the Senate Elections Committee met numerous times, the House Elections Committee moved forward in a more deliberate way, shelving a number of bills that initially received a hearing in the Senate.

The most controversial issue that was undertaken in Elections ended up dying on the Senate Calendar with HB 1359 — which cut in half the number of days Hoosiers could early vote. While not directly quoted speaking about the text of the bill itself in news coverage, Speaker Huston publicly commented on the early-voting discussion tied to the bill, stating that he is “very comfortable with our election laws as they are” when asked about proposals to shorten the early voting period — the very provision that had been inserted into HB 1359’s language.

ENVIRONMENTAL AFFAIRS

The Indiana Department of Environmental Management (IDEM) agency bill, 

SB 277 was the hallmark piece of legislation moving this year — it aimed to streamline environmental compliance initiatives with federal goals to lessen the burden on businesses. Environmental advocates decried the legislation as ‘deregulation for the sake of deregulation,’ and many in the business and manufacturing sector viewed the bill as a reform initiative that would further increase the chance of bringing balance and regulatory certainty to Indiana. While the bill earned a significant number of bipartisan no votes, it moved to the Governor for further action.

ENERGY

Dubbed the “affordability session” by many, the landmark utility legislation implementing Performance-Based Ratemaking and consumer protections was signed by the Governor in the final days of the legislative session. HB 1002 is a bipartisan utility affordability and electric regulatory reform law designed to make energy costs more predictable and protect vulnerable customers. It requires investor-owned utilities to automatically place eligible low-income households on “budget” billing plans (which spread out costs evenly) with an easy opt-out, extends service-disconnection protections to extreme heat events for qualifying customers, and shifts utility rate approvals to a multi-year performance-based system under the Indiana Utility Regulatory Commission (IURC) to emphasize affordability and reliability. The law also mandates greater reporting and transparency by utilities and limits how often they can seek rate increases, reshaping how electricity services are regulated in Indiana. does not issue an across-the-board rate cut. Rather, the legislature rejiggered expectations of investor-owned utilities with performance incentives known as performance incentive mechanisms (PIMs). The bill also requires assistance programs for low-income customers and shutoff protection during hot weather.

HEMP

The prohibition on intoxicating and synthetic hemp-derived drugs was dead for less than a week before it was brought back and then killed again — this time, until at least next year. This legislation would have defined “THC” under Indiana alcohol and tobacco laws, expanded alcohol/tobacco-related crimes to cover products containing THC, and created a new regulatory framework for manufacturing, distributing, selling, and transporting hemp-derived cannabinoid products — including permitting, testing, labeling, and inspection requirements. The bill also would have prohibited online sales, treated product violations as deceptive acts, adjusted legal definitions related to marijuana and intoxication, and imposed age- and sale-related restrictions for retailers and consumers.

Despite Senator Aaron Freeman’s (R-Indianapolis) best efforts in SB 250, Indiana will continue another year without a 21-plus age limit on intoxicating hemp products.

GOVERNMENT REDUCTION

A priority for House Republicans was HB 1003, an effort to limit the number of boards, commissions, and government bodies that had been labeled as unproductive or no longer needed. An initial version of HB 1003 targeted 63 boards, commissions, committees, and councils for elimination or modification at the end of this year. By the end of the session, the version approved by both the House and Senate pulled that number back to about half of the original number and delayed most of the board eliminations until July 2027 to allow for possible changes during next year’s session.

TOWNSHIP REFORM

After decades of failed attempts, township reform finally passed the Indiana Legislature this year. The Indiana Senate voted 34-15 on Thursday to pass SB 270, legislation that supporters say is aimed at improving local government efficiency but would require townships with poor performance scores to merge with other townships or some cities. Senate Author Sen. Rick Niemeyer (R-Lowell) said “while about 325 townships could face mergers, the legislation was meant to preserve township government.” More from Indiana Capital Chronicle here.

NOW WE WATCH (AND CONSTANTLY REFRESH) THE GOVERNOR’S BILL WATCH

Now that the 2026 legislative session has adjourned for the year, Torchbearer Public Affairs will monitor further action the Governor takes on the enrolled acts making their way to his desk. Once the bills hit the Governor’s desk, he has seven days to sign or veto the bill. If he does not sign the bill, it automatically becomes law on the eighth day after receipt. You can review the bill watch list here.

In the meantime, we await the Legislative Council’s meeting in the coming months to determine topics of interim study committees. These will be topics to be studied more in-depth than what would normally occur during the pressure cooker of the legislative session. We will make sure to communicate with you these topics as we learn them.

Torchbearer Public Affairs would like to thank you for trusting us with your advocacy needs this year. We look forward to working with you in the interim (after we catch up on much-needed sleep!)

Hendricks County Chambers Update

Topic: Tax Conformity

Bill #/Title (linked): SEA 212 (State income tax conformity)

Update:

• SEA 212, authored by Sen. Travis Holdman (Markle) updates Indiana’s conformity with the Internal Revenue Code, aligning state tax law with federal changes enacted through July 4, 2025, for specified provisions impacting individual and corporate income taxes and related tax attributes.

• The bill ensures consistency between state and federal tax treatment, provides clarity for taxpayers and the Department of Revenue, and includes retroactive and emergency provisions to avoid gaps or uncertainty in tax administration.

• As enrolled, the bill maintains Indiana’s rolling conformity approach for targeted federal provisions while preserving existing state-specific deviations where required.

• SEA 212 was signed into law by the Governor on January 29th and was the first official bill of the 2026 legislative session to be signed into law.

Topic: Various Tax Matters

Bill #/Title (linked): SB 243 (Various tax matters)

Recap:

• SB 243, authored by Sen. Travis Holdman (R-Markle), establishes a “penny phaseout” framework beginning January 1, 2027, requiring state and local units to round cash payments of state and local taxes to the nearest five cents, with specific rules governing how individual transactions and aggregated remittances are calculated and reported.

• Related penny language in HB 1406 clarifying that amounts added or subtracted solely to comply with cash rounding requirements are not considered part of gross retail income for tax calculation purposes, aligning implementation across both measures - an issue worked on by the employer community.

• The bill makes conforming changes to sales tax and gross retail income statutes to clarify that rounding adjustments required for cash transactions are not treated as part of taxable gross retail income, ensuring consistency in administration.

• It also maintains existing personal liability provisions for retail merchants who fail to remit trust taxes and adds enforcement tools, including rebuttable presumptions and penalties, aimed at curbing sales and use tax evasion through out-of-state titling arrangements.

• The bill passed the Senate on its final concurrence vote, 47–0 and is awaiting signature by Governor Braun.

Topic: Townships

Bill #/Title (linked): SB 270 (Township mergers)

Recap:

• SB 270, authored by Sen. Rick Niemeyer (R-Lowell), creates a structured, data-driven pathway for the reorganization and dissolution of certain “designated townships” that are at least 80% coterminous with a municipality and have at least 51% of their population residing within municipal boundaries, transferring township powers, duties, property, and services to the recipient municipality effective January 1, 2029.
• 
  
• The bill establishes a joint board process to develop a formal reorganization plan, provides for the continuation of township service districts and levy authority, protects existing debt and pension obligations from being shifted to new taxpayers, and maintains fire protection territory participation without disruption.

• Language from HB 1315 (the House-passed version of the legislation) was incorporated to outline the reorganization mechanics, transfer of offices, fiscal controls, and levy adjustments under the Government Modernization Act framework, ensuring continuity of township assistance, parks, cemeteries, and other statutory services.

• SB 270 cleared the House 61–35 in the second-half of session and ultimately passed the Senate on a final concurrence vote of 34-15, sending the reorganization framework to the Governor.

Topic: Child Care Assistance

Bill #/Title (linked): HB 1177 (Child care assistance)

Update:

• Authored by Rep. Becky Cash (R-Zionsville), HB 1177 expands Indiana’s employer child care expenditure tax credit by increasing the maximum size of an eligible employer from 100 employees to 500 employees. It broadens what counts as a “qualified child care expenditure,” including operating costs for employer-supported child care, contracts with child care providers (including through an intermediate entity), and certain employee support costs like training, scholarships, and increased compensation tied to training. Finally, it allows TIF (tax increment) revenue to be used to support the construction, expansion, or ongoing operation of child care facilities.

• The bill was championed by a number of chambers, whose leadership found that this will help them utilize the tax credit more effectively with their memberships.

• The bill passed the third-reading vote in the Senate unanimously, 48-0

• Because there were no amendments in the Senate during the second-half, the bill is immediately eligible for the governor’s signature.

Topic: Priority Bills

Bill #/Title (linked): HB 1001 (Housing Matters)

Recap:

• HB 1001, authored by Rep. Doug Miller (R-Elkhart), makes broad, statewide changes to Indiana’s zoning and housing framework by expanding permitted residential uses, encouraging higher-density housing options, limiting certain local development regulations, and adjusting impact fee and permitting structures in an effort to address the state’s housing shortage.

• The legislation establishes new housing data reporting requirements for counties, cities, and towns, requiring annual housing progress reports and affordability metrics to be submitted and published.

• While aimed at increasing transparency around housing production and affordability trends statewide, the final version removed earlier opt-out provisions, meaning local units are broadly subject to the bill’s requirements without the ability to decline participation, adding additional administrative and compliance responsibilities.

• The language states: “This subsection applies after December 31, 2026. If a person files with the appropriate local authority a complete application for a permit or approval, the permit or approval must be granted, if the project that is the subject of the application satisfies the legal restrictions, including the zoning ordinance, zone maps, or subdivision control ordinance in effect on the date the permit application is submitted.”

• The bill also modifies impact fee authority, permitting timelines, fee structures, and certain construction-related mandates, creating more uniform statewide standards. Supporters argue this predictability will help stimulate housing supply and workforce growth, while many local leaders have raised concerns about infrastructure strain, fiscal impacts, and reduced local flexibility.

• During the final week of session, additional changes were made before final passage. The bill ultimately passed the Senate 72–21, reflecting significant debate about how best to balance housing affordability, economic development, and local control.

Topic: Work Based Learning Liability

Bill #/Title (linked): HB 1098 (Work based learning liability)

Recap:

• HB 1098, authored by Rep. Matt Commons (R-Williamsport), provides long-needed clarity and certainty for employers participating in work-based learning, apprenticeships, and youth training programs by clearly defining covered programs and excluding virtual-only or one-time career awareness activities from the framework.

• The bill requires a written agreement between the employer and the school or intermediary that assigns responsibility for workers’ compensation and employer liability coverage — giving businesses clear lines of responsibility and reducing ambiguity and litigation risk.

• It modernizes Indiana’s workers’ compensation statutes to treat participating students as employees for coverage purposes while maintaining exclusive-remedy protections and appropriate benefit structures, ensuring students are protected without expanding unintended employer liability exposure. The insurance provisions also require underwriting decisions to be based on objective, risk-based criteria applied uniformly — providing predictability for employers offering these opportunities.

• Developed in close collaboration with business stakeholders — including the Indiana Chamber of Commerce — HB 1098 strengthens Indiana’s talent pipeline while protecting employers who step up to provide hands-on learning opportunities. The bill passed on its final concurrence vote in the House 79–0. It now heads to the Governor’s desk for signature.

Topic: Priority Bill

Bill #/Title (linked): HB 1003 (Boards and commissions)

Recap:

• HB 1003 is a broad government restructuring bill that eliminates, consolidates, or modifies numerous state boards, commissions, committees, and councils that are inactive, duplicative, or no longer aligned with current state functions. The bill is intended to streamline state government operations, reduce redundancy, and clarify statutory authority across agencies.

• The bill was assigned to the Senate Committee on Rules and Legislative Procedure. Typically, this is where bills go to die - but we reached out to the Senate Republican Chief of Staff who let us know that the bill was not dead - but would be moving. The bill was heard in Senate Rules Committee where a single large amendment (amendment #19) was offered by President Pro Tempore, Rod Bray (R-Martinsville).

• The amendment shortens the bill from over 400 pages to 332 pages and eliminates 32 boards and commissions.

• Amendment 20 was a technical fix, which was adopted by consent.

• Amendment 3 was adopted on the Senate floor before the bill passed 47-1.

• A motion to dissent was filed and the bill headed to conference committee where more changes were made - but no XBE language/supplier diversity was discussed again.

• While the reinstatement of the Governor’s Workforce Cabinet was in an earlier iteration of the bill, it was removed on the Senate floor. After speaking with the Senate sponsor of the bill, Sen. Randy Maxwell (R-Guilford) and Rep. Danny Lopez (R-Carmel) - and former executive director of the GWC - explained that we did not need the reinstatement in code. Rather it could (and should) be done administratively. We will keep in contact with the Governor’s office on their plans to do so.

• The House supported the conference committee report 69-28, and the Senate supported the conference committee report 43-3. It now heads to Governor Braun’s desk for signature.

Topic: Childcare

Bill #/Title (linked): SB 4 (Various Fiscal Matters)

Recap:

• SB 4, authored by Sen. Ryan Mishler, is a broad fiscal bill that increases oversight of executive orders, lowers the cost threshold for Budget Committee review of new regulations from $1 million to $500,000, updates community mental health center (CMHC) funding and reporting, and addresses various tax and local government matters.

• The Conference Committee version largely returns to the Senate-passed bill while keeping a few key House changes, including the lower cost threshold for rule review and expanded CMHC reporting, and adds language related to the Pokagon Indiana Education Fund.

• The Child Care and Development Fund (CCDF) language remains in the final bill, allowing state funds — including through the FROG Fund — to support childcare vouchers and help working families. Torchbearer Public Affairs stayed engaged throughout the session, including testifying in support of CCDF FROG funding, and worked to ensure this language remained in the bill.

• The bill also requires fiscal impact reviews of executive orders within seven days, allows more flexibility in how counties fund CMHCs beginning in 2028, and gives the Budget Agency authority to direct funds to the CCDF voucher program, reinforcing its focus on fiscal oversight and workforce support.

• The final Conference Committee Report for the bill passed the House

91–0 and the Senate 50–0. It now heads to the Governor for

consideration.

Topic: Department of Local Government Finance

Bill #/Title (linked): HB 1210 (DLGF)

Recap:

• HB 1210, authored by Rep. Craig Snow (R-Warsaw), is the annual Department of Local Government Finance omnibus bill and makes broad updates to Indiana’s property tax and local finance laws, including revisions to local income tax (LIT) administration, TIF provisions, assessment procedures, and overall local fiscal oversight. As reflected in the final enrolled version, it serves as a comprehensive cleanup and modernization measure across multiple chapters of local tax code.

• Rental regulation language also remains in the bill, preserving local authority for cities such as Fishers and Carmel to regulate single-family rental properties within statewide guardrails. Existing ordinances adopted before January 1, 2026, are grandfathered for a limited period, HOA voting authority is limited to owner-occupied members, and certain small-scale or owner-occupied rentals are carved out — reflecting a negotiated balance between neighborhood stability, housing supply, and private property rights.

• The bill also clarifies property tax assessment and oversight procedures for large-scale, capital-intensive developments such as data centers, reinforcing DLGF authority and promoting consistency in valuation and appeals, while remaining more fiscal-administrative than incentive-driven. Unlike HB 1406, which focused on IEDC oversight and redevelopment credits, HB 1210 centers on how data center projects affect property tax administration, assessment processes, and long-term local government revenue mechanics — responding to concerns about infrastructure strain and fiscal accountability for host communities.

• The Conference Committee Reports passed the Senate 48–0 and the House 91–3. It now heads to the Governor’s office for signature.

Topic: Christmas Tree Bill

Bill #/Title (linked): HB 1406 (Tax and fiscal matters)

Recap:

• During conference committee, HB 1406, authored by Rep. Jeff Thompson (R-Lizton), evolved into a broader “Christmas Tree” vehicle, incorporating technical corrections and substantive policy language from multiple measures, including SB 243 and provisions connected to HB 1210 — creating a wide-ranging tax and economic development package relevant to employers and project developers.

• The measure includes structured oversight and reporting requirements tied to IEDC land acquisitions and large economic development projects, adding transparency around major initiatives such as data centers while preserving core incentive tools relied upon by the business community.

• It clarifies that amounts added or subtracted solely to comply with cash rounding requirements are not considered part of gross retail income for purposes of calculating sales tax — aligning implementation across SB 243 and HB 1406 and resolving an issue raised by the employer community to prevent unintended tax consequences.

• The final bill also incorporates language from SB 281 requiring the Indiana Economic Development Corporation to commit $35,000,000 annually in redevelopment tax credits for regionally significant projects through development authorities and qualified nonprofit and local economic development organizations — reinforcing Indiana’s regional growth strategy and providing additional predictability for large-scale redevelopment and capital investment projects.

• The bill ultimately advanced through the full legislative process with strong support, passing the Senate 46–1 and the House 65–31 before being sent to the Governor for signature.

Topic: Homelessness

Bill #/Title (linked): SB 285 (Housing Matters)

Recap:

• SB 285, authored by Sen. Cyndi Carrasco (R-Indianapolis), establishes a statewide prohibition on camping, sleeping, or using state or local government property for long-term shelter unless expressly authorized, while creating a structured enforcement framework that prioritizes engagement and services before criminal penalties apply.

• The bill requires law enforcement to first assess whether an individual qualifies for emergency detention due to mental illness and mandates a warning and 48-hour relocation period before a Class C misdemeanor may be charged, reinforcing a warning-first approach and incorporating diversion opportunities.

• It refines the definition of “gravely disabled” to address individuals lacking adequate shelter in dangerous weather conditions, prohibits local policies that discourage enforcement of public camping ordinances, and requires annual reporting of citations and arrests to improve statewide transparency and accountability.

• The bill passed on its final concurrence vote 28–22. It now awaits signature by Governor Braun.

Topic: Immigration

Bill #/Title (linked): SB 76 (Immigration Matters)

Recap:

• SB 76, authored by Sen. Liz Brown (R-Fort Wayne), strengthened Indiana’s statewide approach to immigration enforcement by prohibiting state and local entities — including public institutions — from restricting cooperation with federal immigration authorities, creating uniform compliance standards across jurisdictions. From a business perspective, this provides clearer statewide rules rather than a patchwork of local policies.

• The bill established mandatory procedures for handling immigration detainer requests, expanded Attorney General enforcement authority, and created structured oversight and reporting requirements — including employer compliance provisions tied to the knowing employment of unauthorized workers. For employers, the law raises compliance expectations while outlining “reasonable diligence” safe harbor standards tied to work authorization verification.

• SB 76 also added new reporting requirements related to state facilities, public benefits, and correctional agreements, reflecting a broader policy focus on transparency and fiscal oversight tied to immigration-related costs. The legislation advanced after falling short in a prior session and the Senate ultimately concurred on the House-passed version by a vote of 37–11, signaling significant legislative support while continuing to generate strong public debate around workforce, public safety, and economic impacts. It now heads to the Governor for signature.

Topic: Tort Reform

Bill #/Title (linked): HB 1417 (Causes of Action and Damages)

Recap:

• HB 1417 limits civil public nuisance actions by defining a public nuisance as an ongoing, unlawful condition that interferes with an established public right, and by narrowing available remedies primarily to injunctive relief and abatement-related damages.

• Amendment #9 – Adopted by Consent. Clarifies that the bill’s public nuisance limitations apply only to actions brought by the state, and do not restrict private causes of action, ensuring individuals retain access to the courts.

• Amendment #10 – Adopted (10–1). Removes the qualified settlement offer provisions from the bill, eliminating changes related to attorney’s fees, costs, and expense awards tied to settlement offers.

• Following adoption of the amendments, HB 1417 passed out of committee amended (9–4) after debate over balancing litigation certainty for businesses with preserving enforcement tools for public health and safety. Torchbearer Public Affairs worked with concerned clients to get the bill out of committee.

• Despite the work to get it out of committee, it was decided by the stakeholders that the bill was not ready to move forward at this time and it was not called down on second reading, rendering the language dead for session. It was not revived in conference committee.

Your bill track for the 2026 legislative session can be found here. This is a live bill track and will be updated when we add bills, hearings are scheduled, votes are taken, etc.

IMPORTANT DATES:

May 5, 2026: Primary Election Day

May 12, 2026: Anticipated Technical Corrections Day

Please feel free to distribute this email or contact us and we can add you to the distribution list. Don’t forget to contact us with any questions or concerns.

All the best,

Caryl Auslander

causlander@torchbearerIN.com

Jordan Rose

jrose@torchbearerIN.com

Madison West

mwest@torchbearerIN.com

Are you interested in sponsoring a portion of our learning series? We would love to have the support! Let us know if you are interested!



Thanks to our sponsors!