Ind. Code ch. 20-43-2

Ind. Code ch. 20-43-2
in effect

Ind. Code § 20-43-2-1 Distribution schedule; reversions

Sec. 1. The department shall distribute the amount appropriated by the general assembly for distribution as state tuition support in accordance with this article. If the appropriations for distribution as state tuition support are more than required under this article, any excess shall revert to the state general fund. The appropriations for state tuition support shall be made each state fiscal year under a schedule set by the budget agency and approved by the governor. However, the schedule must provide: (1) for at least twelve (12) payments; (2) that one (1) payment shall be made at least every forty (40) days; and (3) the total of the payments in each state fiscal year must equal the amount required under this article. [Pre-2006 Recodification Citation: subsection (a) formerly P.L.246-2005, SECTION 9 part.] As added by P.L.2-2006, SEC.166. Amended by P.L.146-2008, SEC.481; P.L.205-2013, SEC.268.

Ind. Code § 20-43-2-2 Maximum distributions; excessive distributions

Sec. 2. (a) The maximum state distribution for a state fiscal year for all school corporations for the purposes described in section 3 of this chapter is the amount appropriated by the general assembly for those purposes for that state fiscal year. (b) If the budget director, after review by the budget committee, makes a determination that the amount of the distribution for a state fiscal year for all school corporations for the purposes described in section 3 of this chapter exceeds the amount appropriated for these purposes for the state fiscal year, the budget agency shall transfer money from the state tuition reserve account to the state general fund to cover the difference. However, the maximum amount that may be transferred to the state general fund for the state fiscal year may not exceed: (1) seventy-five million dollars ($75,000,000) for the state fiscal year beginning July 1, 2018; and (2) twenty-five million dollars ($25,000,000) for a state fiscal year beginning July 1, 2019, or thereafter. (c) Any amounts transferred under this section shall be used to augment the appropriation for state tuition support for the state fiscal year and shall be distributed to school corporations to make or restore the distributions for the purposes described in section 3 of this chapter. (d) Transfers under this section are in addition to any transfers made from the state tuition reserve account under IC 4-12-1-15.7 or any other law. (e) To the extent that the amount appropriated plus the amount transferred is less than the amount that would be distributed under this article, the total amount to be distributed for the purposes described in section 3 of this chapter to each recipient during the remaining months of the state fiscal year shall be proportionately reduced so that the total reductions equal the amount of the excess for the purposes described in section 3 of this chapter. [Pre-2006 Recodification Citation: 21-3-1.7-9(b) part.] As added by P.L.2-2006, SEC.166. Amended by P.L.162-2006, SEC.42; P.L.234-2007, SEC.235; P.L.146-2008, SEC.482; P.L.182-2009(ss), SEC.329; P.L.229-2011, SEC.204; P.L.205-2013, SEC.269; P.L.135-2018, SEC.2; P.L.108-2019, SEC.218.

Ind. Code § 20-43-2-3 Purposes for distributions

Sec. 3. In determining the total amount to be distributed for purposes of section 2 of this chapter, distributions: (1) as basic tuition support; (2) for academic performance grants; (3) for special education grants; (4) for career and technical education grants; (5) for choice scholarships; (6) for Mitch Daniels early graduation scholarships; and (7) for non-English speaking program grants under IC 20-43-10-4; are to be considered for a particular state fiscal year. [Pre-2006 Recodification Citation: 21-3-1.7-9(b) part.] As added by P.L.2-2006, SEC.166. Amended by P.L.162-2006, SEC.43; P.L.234-2007, SEC.134; P.L.234-2007, SEC.236; P.L.3-2008, SEC.122; P.L.182-2009(ss), SEC.330; P.L.229-2011, SEC.205; P.L.205-2013, SEC.270; P.L.213-2015, SEC.208; P.L.135-2018, SEC.3; P.L.192-2018, SEC.47; P.L.108-2019, SEC.219; P.L.10-2019, SEC.89; P.L.201-2023, SEC.199.

Ind. Code § 20-43-2-4 Calculation of reduction amount

Sec. 4. The amount of the reduction for a particular school corporation under section 2 of this chapter is equal to the total amount of the excess determined under section 2 of this chapter multiplied by a fraction. The numerator of the fraction is the amount of the distribution for state tuition support that the school corporation would have received if a reduction were not made under this section. The denominator of the fraction is the total amount that would be distributed for state tuition support to all school corporations if a reduction were not made under this section. [Pre-2006 Recodification Citation: 21-3-1.7-9(b) part.] As added by P.L.2-2006, SEC.166. Amended by P.L.135-2018, SEC.4.

Ind. Code § 20-43-2-5 Year round school; adjusted distribution

Sec. 5. If a school corporation operates on a twelve (12) month school year program, as approved by the secretary of education, the distribution of state support for the program shall be made under an adjusted formula to be approved by the secretary of education. The adjustment formula shall grant to each school corporation operating an approved twelve (12) month school year an amount of money that must be on the same basis as the distribution for the regular support program, prorated per diem to reflect the extended school term. [Pre-2006 Recodification Citation: 21-1-1-62.5 part.] As added by P.L.2-2006, SEC.166. Amended by P.L.43-2021, SEC.130.

Ind. Code § 20-43-2-6 Adult education; transfer to fund obligations

Sec. 6. (a) If money appropriated in a fiscal year by the general assembly for adult education is insufficient to fund the state adult education distribution formula provided in the rules adopted by the state board, the budget agency may transfer a sufficient amount of money from any excess in the state appropriation for state tuition support for the fiscal year to fund the state adult education distribution formula. (b) Before the budget agency makes a transfer under this section, the budget agency shall refer the matter to the budget committee for an advisory recommendation. [Pre-2006 Recodification Citation: 20-30-6-3.] As added by P.L.2-2006, SEC.166.

Ind. Code § 20-43-2-7 Summer school education; transfer to fund obligations

Sec. 7. (a) If the money appropriated in a fiscal year by the general assembly for summer school education is insufficient to fund the state summer school distribution formula provided in the rules adopted by the state board to carry out IC 20-30-7-1, the budget agency may transfer a sufficient amount of money from any excess in the state appropriation for state tuition support for the fiscal year to fund the state summer school distribution formula. (b) Before the budget agency makes a transfer under this section, the budget agency shall refer the matter to the budget committee for an advisory recommendation. [Pre-2006 Recodification Citation: 20-30-7-12.] As added by P.L.2-2006, SEC.166.

Ind. Code § 20-43-2-7.5 Transfer from the state tuition reserve account to the state general fund; distributions for choice scholarships; limit on transfer

Sec. 7.5. (a) Before July 1 of each year, the budget agency, with the assistance of the department, shall estimate the amount of the distributions that will be made for choice scholarships for the following state fiscal year. (b) In a state fiscal year beginning after June 30, 2016, the budget agency may transfer money from the state tuition reserve account to the state general fund if the budget director, after review by the budget committee, makes a determination that the amount of the distribution for that state fiscal year for basic tuition support has been reduced under section 3 of this chapter because the amount of the distributions for choice scholarships for the state fiscal year exceeds the latest estimate prepared by the legislative services agency and provided to members of the general assembly before May 1 of the most recent odd-numbered year concerning the amount of the distributions for choice scholarships for the state fiscal year beginning July 1 of the particular state fiscal year. The maximum amount that may be transferred to the state general fund under this subsection for the state fiscal year may not exceed the lesser of: (1) the amount of the reduction in basic tuition support distributions described in this subsection; or (2) twenty-five million dollars ($25,000,000). Any amounts transferred under this subsection shall be used to augment the appropriation for state tuition support for the state fiscal year and shall be distributed to school corporations to restore the distributions for basic tuition support that are reduced under section 3 of this chapter. (c) Transfers under this section are in addition to any transfers made from the state tuition reserve account under IC 4-12-1-15.7 or any other law. As added by P.L.205-2013, SEC.271. Amended by P.L.213-2015, SEC.209; P.L.186-2016, SEC.1; P.L.217-2017, SEC.118; P.L.108-2019, SEC.220.
Source: Open US Law by Vaquill AI (CC BY 4.0)URL: https://iga.in.gov/laws/2026/ic/titles/20Fetched: 10/17/2026

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