Senate Bill 305 Summary

• Authorizes the Indiana Department of Transportation to acquire purchase options for real property needed for state highway projects, allowing the department to pay a specified amount for the right to purchase property within a set timeframe at an agreed price without obligation to complete the purchase.

• Real property subject only to a purchase option remains taxable and does not receive the tax exemption granted to property fully acquired by the department for highway purposes.

• Requires the department to structure purchase option acquisitions to maximize the portion that qualifies as state matching funds under federal law when exercising options on federally-eligible projects.

• Establishes that acquiring purchase options does not relieve the department from complying with federal requirements to evaluate alternatives to state highway projects.

• Directs the department to establish guidelines preventing land speculation when acquiring purchase options.