SB 176 Summary

• Establishes a new framework (IC 8-25) authorizing six eligible counties (Delaware, Hamilton, Hancock, Johnson, Madison, Marion) to fund public transportation projects through local income taxes approved by voter referendum.

• Allows counties to impose county adjusted gross income tax, county option income tax, or county economic development income tax rates between 0.1% and 0.25% to fund public transportation projects.

• Requires counties to raise at least 10% of first-year operating expenses and 25% of subsequent years' operating expenses from non-tax sources and fares.

• Permits eligible counties to issue bonds secured by income tax revenues (not property taxes) to finance public transportation projects, with maximum 20-year maturity.

• Allows townships within eligible counties to opt in to public transportation projects through separate local public questions if the county has not already approved a countywide project.