MEMORANDUM
FROM: Micah G. Vincent,
Commissioner
RE: Reassessment Fund Levies
and the Closing of the 2012 Reassessment Fund
DATE: June 20, 2013
On May 9, 2013, Governor Mike Pence signed into
law House Enrolled Act 1116 (“HEA 1116”). Section 1 amends IC 6-1.1-4-27.5 so
that the Department of Local Government Finance (“Department”) is no longer
required to notify each county council of the amount of property tax levy
required for the county’s reassessment fund for each year. In addition, the
Department no longer has authority to raise or lower a reassessment fund
property tax levy. This amendment is effective July 1, 2013.
The Department notes that in recent years,
counties have budgeted and/or levied for two reassessment funds. Fund #0123 is
the reassessment fund specific to the 2012 reassessment, which just ended. Fund
#0124 is the reassessment fund originally specified for the 2017 reassessment.
Since the 2012 reassessment has ended, Fund
#0123 may now be closed. Any excess funds in Fund #0123 should be transferred to
Fund #0124. The closure of Fund #0123 should be completed prior to December 31,
2013. For purposes of Budget Year 2014, Fund #0123 should not appear on any
budget forms.
Going forward, Fund #0124 will function as the
exclusive reassessment fund. Monies in Fund #0124 must be appropriated by the
county council and should be used only to pay expenses specifically identified
in IC 6-1.1-4-28.5(a).
Please note that this memorandum is intended to
be an informative bulletin; it is not a substitute for reading the law.
Questions may be directed to Assistant Budget Division Director Dan Jones at
(317) 232-0651 or djones@dlgf.in.gov.
