HB 1243

                                                           Introduced Version
          HOUSE BILL No. 1243
                _____
              DIGEST OF INTRODUCED BILL
Citations Affected: IC 36-9-37-14.
Synopsis: Prepayment of assessment installments. Revises a provision
of the municipal Barrett Law to: (1) require a municipal works board
to establish a policy to permit an owner of real property in the
municipality that has filed a waiver to pay the property owner's
assessments in deferred installments to prepay the property owner's
assessment; and (2) specify that the policy must allow such a property
owner to pay the assessment in full at any time, including within the
year in which the waiver is filed to pay assessments in deferred
installments, while retaining the provision in current law for payment
in full at any time after the expiration of the first year after the filing of
the waiver.
Effective: July 1, 2026.
                             Miller K
   January 5, 2026, read first time and referred to Committee on Local Government.
2026  IN 1243—LS 6919/DI 129
                                                                                       Introduced
            Second Regular Session of the 124th General Assembly (2026)
 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 this style type.
   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 this style type reconciles conflicts
 between statutes enacted by the 2025 Regular Session of the General Assembly.
                   HOUSE BILL No. 1243
    A BILL FOR AN ACT to amend the Indiana Code concerning local
 government.
     Be it enacted by the General Assembly of the State of Indiana:
1    SECTION 1. IC 36-9-37-14 IS AMENDED TO READ AS
2 FOLLOWS [EFFECTIVE JULY 1, 2026]: Sec. 14. (a) With respect
3 to a property owner who has secured the right to pay the property
4 owner's assessments in deferred installments by the filing of a waiver,
5 may, the municipal works board shall establish a policy to permit
6 an owner of real property in the municipality to prepay the
7 property owner's assessment in full by either of the following
8 methods:
9      (1) At any time after the expiration of the first year after the filing,
10      pay the entire balance of the assessment and be relieved of the
11      lien on the property owner's property. A property owner may not
12      pay the property owner's entire balance under this subsection
13      unless at the same time the property owner pays all interest due
14      at the next interest paying period.
15      (2) At any time, including within the year of the filing, pay the
16      entire balance of the assessment and be relieved of the lien on
17      the property owner's property. A property owner may not
 2026  IN 1243—LS 6919/DI 129
                                2
1pay the property owner's entire balance under this subsection
2unless at the same time the property owner pays all interest
3due at the next interest paying period.
4    (b) If a person who exercises the right to prepay the person's
5 assessment fully pays the assessment and interest, all interest and
6 liability as to the assessed property ceases.
2026  IN 1243—LS 6919/DI 129