HB 1189

                                                           Introduced Version
          HOUSE BILL No. 1189
                _____
              DIGEST OF INTRODUCED BILL
Citations Affected: IC 6-2.5-15-15.
Synopsis: Labor requirements for data center incentives. Requires that
an agreement between a qualified data center user or quantum
computing research, advanced computing, and defense infrastructure
network operator and the Indiana economic development corporation
for a specific transaction award certificate includes a requirement that
the user or operator limit bids or requests for proposals for the project
to labor unions or employers that have project labor agreements.
Effective: July 1, 2026.
                               Novak
   January 5, 2026, read first time and referred to Committee on Ways and Means.
2026  IN 1189—LS 6689/DI 125
                                                                                       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. 1189
    A BILL FOR AN ACT to amend the Indiana Code concerning
 taxation.
     Be it enacted by the General Assembly of the State of Indiana:
1    SECTION 1. IC 6-2.5-15-15, AS AMENDED BY P.L.178-2025,
2 SECTION 15, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
3 JULY 1, 2026]: Sec. 15. The following apply if the corporation
4 approves an application for a specific transaction award certificate:
5      (1) The corporation shall require the qualified data center user or
6      quantum computing research, advanced computing, and defense
7      infrastructure network operator, as applicable, to enter into an
8      agreement with the corporation as a condition of receiving a
9      specific transaction award certificate under this chapter.
10      (2) The agreement with the corporation must include:
11(A) a detailed description of the project that is the subject of
12the agreement that includes documentation of compliance with
13the requirement that the investment be specific to
14infrastructure for the Indiana defense industry or quantum
15computing research or advanced computing;
16(B) a requirement that the qualified data center user or
17quantum computing research, advanced computing, and
 2026  IN 1189—LS 6689/DI 125
                                  2
1defense infrastructure network operator, as applicable,
2limit bids or requests for proposals for the project to labor
3unions or employers that have project labor agreements;
4(B) (C) the duration of the specific transaction award
5certificate and the first taxable year for which the award
6provided by this chapter may be used; and
7(C) (D) a requirement that the qualified data center user or
8quantum computing research, advanced computing, and
9defense infrastructure network operator, as applicable,
10annually report to the corporation on the amount of taxes that
11were not paid by the qualified data center user or quantum
12computing research, advanced computing, and defense
13infrastructure network operator in connection with the
14purchase of data center equipment or quantum computing
15research, advanced computing, and defense infrastructure
16network equipment, as applicable.
 2026  IN 1189—LS 6689/DI 125