LEGISLATIVE SERVICES AGENCY
OFFICE OF FISCAL AND MANAGEMENT ANALYSIS
200 W. Washington St., Suite 301
Indianapolis, IN 46204
(317) 233-0696
iga.in.gov
FISCAL IMPACT STATEMENT
LS 7239 NOTE PREPARED: Jan 9, 2021
BILL NUMBER: HB 1414 BILL AMENDED:
SUBJECT: Barrett Law Assessments for Broadband Development.
FIRST AUTHOR: Rep. Karickhoff BILL STATUS: As Introduced
FIRST SPONSOR:
FUNDS AFFECTED: GENERAL IMPACT: Local
DEDICATED
FEDERAL
Summary of Legislation: The bill allows a county or municipality to use Barrett Law assessments to fund
projects for the deployment of broadband infrastructure.
Effective Date: July 1, 2021.
Explanation of State Expenditures:
Explanation of State Revenues:
Explanation of Local Expenditures: Workload for works boards could increase if decisions are made to
attempt eligible broadband projects. The bill provides that a works board is not required to advertise for bids
if not more than one eligible broadband service provider holds a certificate of terrestrial authority to provide
communications services in the county or municipality. This provision could reduce expenditures typically
incurred in advertising for bids; however it is possible that more than one eligible broadband service provider
holds a certificate in each county, and possibly most municipalities, even if not in the area planned for the
broadband service project. The bill allows a municipal fiscal officer to use its Barrett Law Revolving
Improvement Fund to pay all or part of the cost of the project if an advertisement for bids is not required.
Explanation of Local Revenues: Barrett Law funding allows for special assessments to be levied against
properties to be benefitted by public works improvements such as sidewalks, sanitary sewers, lighting,
streets, alleys, and emergency warning systems. Property owners pay the assessments in monthly or annual
installments. The bill allows a county or municipality to also use Barrett Law assessments for eligible
broadband projects. If a county or municipality chooses to proceed with an eligible broadband project using
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Barrett Law assessment, revenues could increase from installment payments from property owners.
It is unclear whether municipalities will be able to use Barrett Law assessments to fund eligible broadband
projects. The bill references a definition for “eligible broadband project” that specifies “rural areas” which
does not include incorporated areas.
State Agencies Affected:
Local Agencies Affected: Counties and municipalities.
Information Sources:
Fiscal Analyst: Heather Puletz, 317-234-9484.
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Statutes affected:
1. Introduced House Bill (H): 36-9-36-2, 36-9-37-11, 36-9-38-2