Senate Bill 541 Summary

• Authorizes regional economic development target areas as an economic development pilot program in six specified counties: Cass, Fulton, Howard, Huntington, Miami, and Wabash.

• Allows a redevelopment commission to establish a target area if it determines that an economic development project will increase or retain employment, attract a new business, or involve expenditures for land acquisition, site improvements, infrastructure, or building construction/renovation.

• Permits the fiscal body of a county with an established target area to impose a regional economic development target area income tax of up to 1% on the adjusted gross income of individuals employed within the target area, regardless of county residence.

• Enables counties with target areas to enter into interlocal cooperation agreements with other eligible counties to share the target area income tax revenue based on each county's percentage share of assistance provided for the economic development project.

• Requires that target area income tax be distributed monthly to participating counties and may be used for any lawful county purpose.