Bill Text: IN SB0181 | 2011 | Regular Session | Introduced
Bill Title: Fire protection territories.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2011-01-05 - First reading: referred to Committee on Tax and Fiscal Policy [SB0181 Detail]
Download: Indiana-2011-SB0181-Introduced.html
Citations Affected: IC 6-1.1-18.5-10.5; IC 36-8-19.
Synopsis: Fire protection territories. Provides that 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.
Provides that 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: (1) the amount specified by the legislative body
of the civil taxing unit in the hearing held before adoption of the
ordinance or resolution to establish the fire protection territory; or (2)
the amount levied for fire protection services in the year immediately
preceding the year in which the unit first imposes property taxes to
support the fire protection territory, multiplied by the assessed value
growth quotient. Specifies that a member of the legislative body of a
unit may not vote on a proposed ordinance or resolution authorizing the
unit to join or establish a fire protection territory if that member is also
an employee of another unit that: (1) is a participating unit in the fire
protection territory; or (2) is proposing to become a participating unit
in the fire protection territory. Provides that a fire protection territory
may not be established after December 31, 2011, unless the fire
protection territory is approved by the voters of each of the
participating units in a public question. Provides that before an
ordinance or resolution to establish a fire protection territory is adopted
Effective: July 1, 2011; January 1, 2012.
January 5, 2011, read first time and referred to Committee on Tax and Fiscal Policy.
Digest Continued
by the legislative body of a unit, the legislative body must hold a
separate public hearing at which the legislative body makes available
to the public specified information concerning the fiscal impact of the
proposed fire protection territory.
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in
Additions: Whenever a new statutory provision is being enacted (or a new constitutional provision adopted), the text of the new provision will appear in this style type. Also, the word NEW will appear in that style type in the introductory clause of each SECTION that adds a new provision to the Indiana Code or the Indiana Constitution.
Conflict reconciliation: Text in a statute in this style type or
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
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) Fire protection, including the capability for extinguishing all fires that might be reasonably expected because of the types of improvements, personal property, and real property within the boundaries of the territory.
(2) Fire prevention, including identification and elimination of all potential and actual sources of fire hazard.
(3) Other purposes or functions related to fire protection and fire prevention.
(b) A fire protection territory may not be established after December 31, 2011, unless the fire protection territory is approved by the voters of each of the participating units in a public question under section 6.4 of this chapter.
(1) Adopt an ordinance (if the unit is a county or municipality) or a resolution (if the unit is a township) that meets the following requirements:
(i) 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 (f) concerning the fiscal impact of the proposed fire protection territory.
(ii) 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.
(2) In the case of an ordinance or resolution adopted under this section after December 31, 2011, hold a public question as required by subsection (e) and section 6.4 of this chapter.
(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.
(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) 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 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) In the case of an ordinance or resolution adopted under this section after December 31, 2011:
(1) the legislative body of the unit shall certify a copy of the ordinance or resolution to the county election board of each county containing any part of a unit adopting the ordinance or resolution;
(2) the ordinance or resolution takes effect only if the establishment of the fire protection territory is approved in a public question under section 6.4 of this chapter; and
(3) if the ordinance or resolution is approved in a public question under section 6.4 of this chapter, the ordinance or resolution takes effect July 1 of the year following the year in which the public question is approved.
(f) A legislative body 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)(1)(D)(i):
(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) adopt an ordinance or resolution satisfying the requirements of section 6 of this chapter; and
(2) certify the ordinance or resolution to the county election board as required in section 6(e) of this chapter;
the county election board shall at the next primary election or general election place a public question on the establishment of the fire protection territory on the ballot in each of the units proposing to establish the fire protection territory.
(b) A public question under this section must be certified in accordance with IC 3-10-9-3 and shall be placed on the ballot in accordance with IC 3-10-9.
(c) Any costs incurred to place the public question on the ballot shall be paid by the units proposing to establish the fire protection territory.
(d) A fire protection territory may not be established unless the public question on the establishment of the fire protection territory is approved by a majority of the voters voting on the public question in each of the units proposing to establish the fire protection territory. The following apply to a public question concerning the proposed fire protection territory:
(1) In the case of a proposed fire protection territory involving:
(A) one (1) or more municipalities; and
(B) one (1) or more townships containing any territory that is not located in a municipality;
in determining whether the voters of a township have approved the public question concerning the proposed fire protection territory, only the votes of those township voters who are not residents of a municipality shall be considered.
(2) In the case of a proposed fire protection territory involving:
(A) one (1) or more municipalities; and
(B) one (1) or more counties containing any territory that is not located in a municipality;
in determining whether the voters of a county have approved the public question concerning the proposed fire protection territory, only the votes of those county voters who are not residents of a municipality shall be considered.
(e) If the public question on the establishment of the fire protection territory is disapproved by a majority of the voters voting on the public question in any of the units proposing to establish the fire protection territory, the fire protection territory may not be established.
(f) The circuit court clerk shall certify the results of a public question under this section to:
(1) the executive of each unit proposing to establish the fire protection territory;
(2) the department of local government finance; and
(3) the state board of accounts.
(1) The unit and the other participating units must adopt the ordinances or resolutions otherwise required under this
chapter.
(2) The voters of the unit desiring to become a participating
unit in the existing fire protection territory must approve the
unit becoming a participating unit in a public question under
section 6.4 of this chapter. However, the public question shall
be held only in the unit desiring to become a participating unit
in the existing fire protection territory. The provisions of
section 6.4(d)(1) and 6.4(d)(2) of this chapter concerning the
determination of whether the public question is approved
apply to a public question required by this section.
(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 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 within the territory, plus a reasonable operating balance, not to exceed twenty percent (20%) of the budgeted expenses.
(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. In this case:
(1) the levy in the following year shall be increased by the amount required to be transferred; and
(2) the provider unit is entitled to transfer the amount described in subdivision (1) from the fund as reimbursement to the provider 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.
