Indy Standard

The Indiana House of Representatives has advanced a bill proposed by State Representative Jim Pressel aimed at expanding funding options for road and infrastructure projects. The legislation, known as House Bill 1461, seeks to address the financial shortfalls in current road funding methods, which are insufficient to cover the estimated $1 billion annual cost of preserving Indiana's roads over the next decade.

Rep. Pressel highlighted the need for diverse funding sources to meet the varying needs of different communities across the state. "Not every community has the same road funding needs," Pressel stated. "By diversifying funding options for the state and local governments, we can meet communities' project and maintenance needs without financially burdening them."

House Bill 1461 proposes that county fiscal bodies be permitted to levy ad valorem property taxes for transportation-related purposes. These taxes, based on the assessed value of real estate or personal property, serve as a primary revenue source for local governments. This measure is intended to provide greater flexibility in funding and empower local decision-makers to address specific transportation requirements within their jurisdictions.

Additionally, the bill aims to incentivize proactive infrastructure maintenance by allowing counties with good road ratings to reallocate funds toward other critical needs. It also seeks to remove a limitation on the Indiana Finance Authority regarding its ability to issue revenue bonds or notes for financing highway and road construction projects.

Having passed through the House, House Bill 1461 will now proceed to the Senate for further consideration. More information about this legislation and ongoing legislative proceedings can be found at iga.in.gov.