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Bill Summary · HB 1101

Summary of HB 1101 (2026) – Regional Economic Development (Indiana)

Purpose and intent

  • Establishes a framework for statewide regional economic development by designating 15 distinct economic development regions and creating dedicated regional commissions to develop and oversee strategic economic development plans for their regions.
  • Aims to coordinate state incentives, grants, and local efforts to promote regional growth and measurable economic outcomes.

Key provisions and changes

Designation and regions

  • The Indiana Economic Development Corporation (IEDC) must designate 15 economic development regions in Indiana, each comprising one or more counties.
  • A county may not be split between regions.
  • The IEDC will periodically review and may modify region boundaries as needed.

Regional commissions

  • A regional economic development commission is created for each of the 15 regions.
  • If a region’s boundaries align with an existing development authority, the development authority’s governing body members serve as ex officio commission members.
  • If a region’s boundaries do not align with an existing authority, commission membership is:
    • One county elected official appointed by the county executive for each county in the region.
    • One city executive (with population of at least 5,000) appointed for each city within the region.
  • Commission members serve four-year terms, with predictable vacancy and reappointment processes.

Primary administrative entity (P.A.E.)

  • Each region must designate or establish a Primary Administrative Entity (PAE) to carry out the region’s economic development plan, manage resources, and coordinate with local entities.
  • The PAE serves as the main point of contact between the region and the IEDC.

Planning and reporting

  • Each commission must develop and maintain a Strategic Comprehensive Economic Development Plan (SCEDP) for its region, approved by the IEDC.
  • SCEDPs must include:
    • Regional assets (higher education institutions, key employers, innovation spaces).
    • Identified regional industry clusters and growth areas.
    • Workforce and talent development, retention, and attraction strategies.
    • Regional infrastructure needs.
    • Key development sites.
    • Specific, measurable 5-year and 10-year objectives (including targets for per capita income, population, employment, and credential attainment).
  • Plans must be reviewed and updated at least every five years.

Plan implementation and oversight

  • Commissions must designate or establish a PAE to implement the SCEDP.
  • PAEs must:
    • Submit the SCEDP to the IEDC for approval upon completion and with each revision.
    • Conduct semiannual performance reviews comparing progress to goals/metrics and report to the IEDC.
    • Provide timely updates on project timelines and incentive/grant requests.
    • Maintain transparent financial reporting to the IEDC.

Compliance, transparency, and audits

  • The IEDC may conduct periodic compliance reviews and audits of each commission and PAE.
  • Audits may be performed by a certified public accounting firm or the State Board of Accounts, with costs treated as a commission expense.
  • Audits and related information must be publicly available.

Public disclosure and information

  • Commissions must publish on their website:
    • The approved SCEDP.
    • Key performance data related to the plan’s goals.
    • Meeting minutes.

Allocation of incentives and incentives reporting

  • The IEDC will develop an allocation method for applicable tax credits, state incentives, and grants among regions.
  • A portion of incentives may be reserved for certain strategies, state initiatives, and large projects.
  • PAEs must disclose to the IEDC any local incentives offered for specific projects.

Effective date

  • July 1, 2026.

Who is affected

State level

  • Indiana Economic Development Corporation (IEDC): Must designate regions, approve SCEDPs, develop incentive allocation methods, and support commissions/PAEs.

Regional level

  • Regional economic development commissions: Governance structure, planning, reporting, and oversight responsibilities.
  • Primary Administrative Entities (PAEs): Operational implementers of SCEDPs, financial management, project coordination, and main liaison with the IEDC.

Local level

  • Counties and cities within the 15 regions: Appointment of commission members where applicable; potential changes in local-level economic strategy coordination.

Timeline and procedural notes

  • By September 1, 2026: IEDC must designate the 15 regions.
  • Ongoing: Periodic boundary reviews by the IEDC; SCEDPs to be developed, approved, and updated at least every five years; semiannual performance reviews; annual or as-needed updates to the IEDC.

Fiscal and administrative considerations

  • The bill notes increased workload for the IEDC and regional authorities but suggests existing resources may be sufficient.
  • Local bodies will incur new governance and reporting duties; no per diem or travel reimbursements are provided for commission members.

If you’d like, I can provide a side-by-side comparison with the current Indiana regional development framework or outline potential implementation milestones and questions for stakeholders.

Compiled from official sources — confirm details with the bill’s official record.

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