IC 6-1.1-18-28 — Township's petition for an increase to its maximum ad valorem property tax levy for its firefighting and emergency services fund; formula; calculation
Chapter 18. Limitations on Property Tax Rates and Appropriations
Bills amending this section
Section text
Sec. 28. (a) This section applies to a township if: (1) the township has previously submitted a petition, or petitions, under this section in any year after December 31, 2016; (2) the sum of all adjustments determined under STEP THREE of subsection (c) for the petition or petitions described in subdivision (1) equals fifteen-hundredths (0.15); and (3) the percentage growth in the township's assessed value for the preceding year compared to the year immediately before the preceding year is: (A) at least equal to the maximum levy growth quotient determined under IC 6-1.1-18.5-2 for the preceding year multiplied by two (2); and (B) not more than the maximum levy growth quotient determined under IC 6-1.1-18.5-2 for the preceding year multiplied by four (4). (b) The executive of a township may, upon approval by the township fiscal body, submit a petition to the department of local government finance for an increase in the township's maximum permissible ad valorem property tax levy for its township firefighting and emergency services fund under IC 36-8-13-4(a)(1) or the levies for the township firefighting fund and township emergency services fund described in IC 36-8-13-4(a)(2), as applicable, for property taxes for any year for which a petition is submitted under this section. (c) Subject to subsection (e), if the township submits a petition as provided in subsection (b) before June 1 of a year, the department of local government finance shall increase the township's maximum permissible ad valorem property tax levy for the township firefighting and emergency services fund under IC 36-8-13-4(a)(1) or the combined levies for the township firefighting fund and township emergency services fund described in IC 36-8-13-4(a)(2), as applicable, for property taxes first due and payable in the immediately succeeding year by using the following formula for purposes of subsection (d)(2): STEP ONE: Determine the percentage increase in the population, as determined by the township fiscal body and as may be prescribed by the department of local government finance, that is within the fire protection and emergency services area of the township during the ten (10) year period immediately preceding the year in which the petition is submitted under subsection (b). The township fiscal body may use the most recently available population data issued by the Bureau of the Census during the ten (10) year period immediately preceding the petition. STEP TWO: Determine the greater of zero (0) or the result of: (A) the STEP ONE percentage; minus (B) six percent (6%); expressed as a decimal. STEP THREE: Determine a rate that is the lesser of: (A) fifteen-hundredths (0.15); or (B) the STEP TWO result. STEP FOUR: Reduce the STEP THREE rate by any rate increase in the township's property tax rate or rates for its township firefighting and emergency services fund, township firefighting fund, or township emergency services fund, as applicable, within the immediately preceding ten (10) year period that was made based on a petition submitted by the township under this section. (d) The township's maximum permissible ad valorem property tax levy for its township firefighting and emergency services fund under IC 36-8-13-4(a)(1) or the combined levies for the township firefighting fund and township emergency services fund described in IC 36-8-13-4(a)(2) for property taxes first due and payable in a given year, as adjusted under this section, shall be calculated as: (1) the amount of the ad valorem property tax levy increase for the township firefighting and emergency services fund under IC 36-8-13-4(a)(1) or the combined levies for the township firefighting fund and township emergency services fund described in IC 36-8-13-4(a)(2), as applicable, without regard to this section; plus (2) an amount equal to the result of: (A) the rate determined under the formula in subsection (c); multiplied by (B) the net assessed value of the fire protection and emergency services area divided by one hundred (100). The calculation under this subsection shall be used in the determination of the township's maximum permissible ad valorem property tax levy under IC 36-8-13-4 for property taxes first due and payable in the first year of the increase and thereafter. (e) Notwithstanding the rate limitation in STEP THREE of subsection (c), a township may submit a petition under subsection (b) to increase the township's maximum permissible ad valorem property tax levy for its township firefighting and emergency services fund under IC 36-8-13-4(a)(1) or the levies for the township firefighting fund and township emergency services fund described in IC 36-8-13-4(a)(2), as applicable, for property taxes first due and payable in the immediately succeeding year as determined under the formula under subsection (c), subject to the following: (1) The amount determined under subsection (c) may not exceed the result of: (A) the STEP TWO result in subsection (c); multiplied by (B) eight-tenths (0.8). (2) The rate, as adjusted under this section and as certified by the department of local government finance for the township's maximum permissible ad valorem property tax levy for: (A) its township firefighting and emergency services fund under IC 36-8-13-4(a)(1); or (B) the levies for the township firefighting fund and township emergency services fund described in IC 36-8-13-4(a)(2); as applicable, may not exceed a rate determined by the formula under subsection (f). (3) STEP FOUR of subsection (c) applies to any petition the executive of the township subsequently submits after submitting an initial petition after December 31, 2025, under this section. (f) The rate limitation described in subsection (e)(2) shall be determined using the following formula: STEP ONE: Determine the sum of: (A) the rate certified by the department of local government finance for the current year for the township's: (i) township firefighting and emergency services fund under IC 36-8-13-4(a)(1); or (ii) levies for the township firefighting fund and township emergency services fund described in IC 36-8-13-4(a)(2); as applicable; plus (B) the amount determined under STEP THREE of subsection (c). STEP TWO: Determine the lesser of: (A) twenty-hundredths (0.20); or (B) the STEP ONE result.
As added by P.L.154-2020, SEC.5. Amended by P.L.236-2023, SEC.28; P.L.157-2026, SEC.66.
Source: official publisher (2026 edition)