Ind. Code ch. 20-19-7

in effect

Ind. Code § 20-19-7-1 "DUAB"

Sec. 1. As used in this chapter, "DUAB" means the distressed unit appeal board. As added by P.L.213-2018(ss), SEC.15.

Ind. Code § 20-19-7-2 Repealed

As added by P.L.213-2018(ss), SEC.15. Repealed by P.L.184-2023, SEC.10 and P.L.236-2023, SEC.128.

Ind. Code § 20-19-7-2.3 "Public agency"

Sec. 2.3. As used in this chapter, "public agency" has the meaning set forth in IC 5-14-1.5-2(a). As added by P.L.184-2023, SEC.11 and P.L.236-2023, SEC.129.

Ind. Code § 20-19-7-2.5 "Public official"

Sec. 2.5. As used in this chapter, "public official" means an elected or appointed official in the executive, legislative, or judicial branch of the state government or a political subdivision, and includes an individual acting on behalf of a public employer, whether temporarily or permanently, including, but not limited to, members of boards, committees, commissions, authorities, and other instrumentalities of the state or a political subdivision. As added by P.L.184-2023, SEC.12 and P.L.236-2023, SEC.130.

Ind. Code § 20-19-7-3 Repealed

As added by P.L.213-2018(ss), SEC.15. Repealed by P.L.184-2023, SEC.13 and P.L.236-2023, SEC.131.

Ind. Code § 20-19-7-4 Fiscal and qualitative indicators; factors; state budget committee review

Sec. 4. (a) Subject to review by the state budget committee under section 6 of this chapter, the DUAB shall determine the fiscal and qualitative indicators to be used for evaluating the financial condition of each school corporation. (b) The fiscal indicators under subsection (a) may include the following factors: Annual capital expenses compared to total capital assets Average daily membership (ADM) Common school fund loans Controlled project fund referendum revenue Debt to assessed value and debt to ADM ratios Education fund referendum revenue Federal revenues Fund cash balances by fund and overall Fund deficits and surpluses by fund and overall Fund deficits and surpluses combining the education and operations fund and debt Gross expenditures per ADM Interfund transfers Operating deficit or surplus Outstanding debt and annual debt service obligations Qualitative indicators as set forth in subsection (c) Salaries and benefits Seven (7) year trend lines using state fiscal years State tuition support Any other fiscal indicator determined by the DUAB. (c) The qualitative indicators under subsection (a) may include the following factors: Failure to make required contributions or transfers Issuance of judgment bonds Missed debt payments Missed payroll Past due vendor payments Any findings related to the financial condition of the school corporation by the Indiana education employment relations board Any other qualitative indicator determined by the DUAB. As added by P.L.213-2018(ss), SEC.15. Amended by P.L.184-2023, SEC.14; P.L.236-2023, SEC.132.

Ind. Code § 20-19-7-5 Fiscal and qualitative indicators; presentation; required information; publication on website; state budget committee review

Sec. 5. (a) Subject to review by the state budget committee under section 6 of this chapter, the DUAB shall prescribe the presentation of the information of the fiscal and qualitative indicators used under this chapter. (b) The information under subsection (a) must be presented in a manner that accomplishes the following: (1) The information must be conveniently and easily accessed from a single web page. (2) The information must be viewable in a format commonly known as a dashboard. (3) The information must be viewable in graphical form. (4) The information must be easily searchable. (5) The underlying data must be downloadable in a format that can be imported into standard spreadsheet computer software. (c) The DUAB shall periodically publish the information under subsection (a) on its website or the management performance hub's website. The management performance hub shall assist the DUAB in the development of the dashboard for publication. As added by P.L.213-2018(ss), SEC.15. Amended by P.L.184-2023, SEC.15; P.L.236-2023, SEC.133.

Ind. Code § 20-19-7-6 Fiscal and qualitative indicators; proposed indicators; state budget committee review

Sec. 6. (a) Before making a final determination under section 4 of this chapter concerning the fiscal and qualitative indicators that will be used for evaluating the financial condition of school corporations, the DUAB must present a draft of the proposed fiscal and qualitative indicators to the state budget committee for review by the state budget committee. (b) Before prescribing the requirements under section 5 of this chapter for the presentation of the fiscal and qualitative indicators used under this chapter, the DUAB must present a draft of the proposed requirements to the state budget committee for review by the state budget committee. As added by P.L.213-2018(ss), SEC.15. Amended by P.L.184-2023, SEC.16; P.L.236-2023, SEC.134.

Ind. Code § 20-19-7-7 Repealed

As added by P.L.213-2018(ss), SEC.15. Repealed by P.L.184-2023, SEC.17 and P.L.236-2023, SEC.135.

Ind. Code § 20-19-7-8 DUAB policies and procedures

Sec. 8. The DUAB may adopt policies and procedures that will be used by the DUAB to implement this chapter. Policies and procedures adopted under this section may include processes that will be used by the DUAB to do the following: (1) Identify school corporations that demonstrate signs of financial distress. (2) Determine when a corrective action plan is necessary for a school corporation. (3) Determine the conditions that must be satisfied before a school corporation: (A) will no longer be subject to a corrective action plan; and (B) will be considered as financially healthy. As added by P.L.213-2018(ss), SEC.15. Amended by P.L.184-2023, SEC.18; P.L.236-2023, SEC.136.

Ind. Code § 20-19-7-9 Repealed

As added by P.L.213-2018(ss), SEC.15. Repealed by P.L.184-2023, SEC.19 and P.L.236-2023, SEC.137.

Ind. Code § 20-19-7-10 DUAB report identifying school corporations that may need a corrective action plan; DUAB contact and assessment of school corporations

Sec. 10. The DUAB shall periodically prepare reports identifying those school corporations for which a corrective action plan may be appropriate, based on the fiscal and qualitative indicators. The DUAB shall make a determination concerning which school corporations the DUAB shall contact for purposes of conducting an assessment under section 11 of this chapter. As added by P.L.213-2018(ss), SEC.15. Amended by P.L.184-2023, SEC.20; P.L.236-2023, SEC.138.

Ind. Code § 20-19-7-11 DUAB duties; assessment of school corporations; school corporation cooperation

Sec. 11. (a) The DUAB shall do the following: (1) Contact the governing body and the superintendent of each school corporation for which the DUAB makes a determination under section 10 of this chapter. (2) Carry out an assessment of the financial condition of each school corporation for which the DUAB makes a determination under section 10 of this chapter. (b) A school corporation for which an assessment of financial condition is carried out under this section shall: (1) cooperate with the DUAB as the DUAB carries out the assessment of the school corporation's financial condition; and (2) provide any information and documents requested by the DUAB. As added by P.L.213-2018(ss), SEC.15. Amended by P.L.184-2023, SEC.21; P.L.236-2023, SEC.139.

Ind. Code § 20-19-7-12 DUAB determination of whether a corrective action plan is necessary

Sec. 12. (a) After reviewing: (1) the assessment of a school corporation's financial condition under section 11 of this chapter; and (2) the school corporation's fiscal and qualitative indicators; the DUAB shall make a determination of whether a corrective action plan is necessary for the school corporation. (b) If the DUAB makes a determination that a corrective action plan is necessary for the school corporation, the DUAB shall notify the governing body and the superintendent of the school corporation that the school corporation must develop and submit to the DUAB a corrective action plan for the school corporation within ninety (90) days after the notice is provided. (c) If a school corporation does not prepare and submit a corrective action plan to the DUAB within ninety (90) days after the notice is provided under subsection (b), the DUAB shall place the school corporation on the watch list under section 17 of this chapter. As added by P.L.213-2018(ss), SEC.15. Amended by P.L.184-2023, SEC.22; P.L.236-2023, SEC.140.

Ind. Code § 20-19-7-13 Assistance to school corporations

Sec. 13. (a) Upon the request of a school corporation that is required to submit a corrective action plan, the DUAB and other appropriate state departments and agencies shall: (1) assist the school corporation in developing the corrective action plan; and (2) provide technical assistance to the school corporation. (b) The DUAB and any other state departments or agencies that provide assistance to a school corporation under this section are not responsible for implementing the corrective action plan. As added by P.L.213-2018(ss), SEC.15. Amended by P.L.184-2023, SEC.23; P.L.236-2023, SEC.141.

Ind. Code § 20-19-7-14 Corrective action plan; executive session

Sec. 14. The governing body of a school corporation that is required to prepare a corrective action plan may meet in executive session to discuss all aspects of the corrective action plan, including voting to approve a corrective action plan or modifications under section 16 of this chapter. As added by P.L.213-2018(ss), SEC.15. Amended by P.L.184-2023, SEC.24; P.L.236-2023, SEC.142.

Ind. Code § 20-19-7-15 DUAB meeting; school corporation corrective action plan discussion

Sec. 15. The DUAB shall meet at least once every ninety (90) days with the school corporation's superintendent, the president of the school corporation's governing body, and (as necessary) other administrators of the school corporation to discuss the corrective action plan and the school corporation's progress in implementing the corrective action plan. As added by P.L.213-2018(ss), SEC.15. Amended by P.L.184-2023, SEC.25; P.L.236-2023, SEC.143.

Ind. Code § 20-19-7-16 Corrective action plan; modification

Sec. 16. The following apply after a corrective action plan is submitted to the DUAB: (1) The DUAB may modify the corrective action plan at any time if the DUAB determines that the modification is necessary. (2) The governing body of the school corporation may request the DUAB to modify the corrective action plan, and the DUAB may make the requested modification. As added by P.L.213-2018(ss), SEC.15. Amended by P.L.184-2023, SEC.26; P.L.236-2023, SEC.144.

Ind. Code § 20-19-7-17 School corporation watch list; conditions; notices; state budget committee review

Sec. 17. (a) The DUAB shall place the school corporation on a watch list if: (1) the DUAB determines that the school corporation is not in compliance with the school corporation's corrective action plan; (2) the DUAB notifies the superintendent and governing body of the school corporation that: (A) the school corporation is not in compliance with the school corporation's corrective action plan; and (B) the school corporation must achieve compliance with the school corporation's corrective action plan within a period specified by the DUAB; and (3) the DUAB determines that the school corporation has not achieved compliance with the school corporation's corrective action plan within the period specified in subdivision (2). (b) The DUAB shall place a school corporation on the watch list if required by section 12(c) of this chapter. (c) If the DUAB places a school corporation on the watch list under this section, the DUAB shall notify: (1) the superintendent and governing body of the school corporation; and (2) the budget director. (d) The state budget committee shall review the school corporation's placement on the watch list. As added by P.L.213-2018(ss), SEC.15. Amended by P.L.184-2023, SEC.27; P.L.236-2023, SEC.145.

Ind. Code § 20-19-7-18 School corporation watch list; public disclosure; DUAB executive sessions

Sec. 18. (a) Notwithstanding any other law, all reports, correspondence, and other records related to a school corporation's corrective action plan, including reports prepared by the DUAB under section 10 of this chapter and an assessment prepared under section 11 of this chapter, and the placement of a school corporation on the watch list are excepted from public disclosure under IC 5-14-3 or any other law at the discretion of the DUAB or the school corporation unless and until the school corporation is placed on the watch list and the state budget committee has reviewed the school corporation's placement on the watch list. If the DUAB or a school corporation discloses any reports, correspondence, and other records related to a school corporation's corrective action plan, including a report prepared by the DUAB under section 10 of this chapter and an assessment prepared under section 11 of this chapter, to other public agencies or public officials prior to a school corporation's placement on the watch list and review by the state budget committee, these public agencies or public officials may not disclose the reports, correspondence, and other records, or the information contained in those reports, correspondence, and other records without the permission of the DUAB or the school corporation. (b) If the DUAB or a school corporation discloses to public agencies or public officials that the school corporation was required to submit a corrective action plan, the public agencies or public officials may not disclose that information without the permission of the DUAB or the school corporation. (c) The DUAB shall hold executive sessions to consider reports related to a school corporation's corrective action plan, including reports prepared by the DUAB under section 10 of this chapter and an assessment prepared under section 11 of this chapter, and to make final determinations required under sections 10, 12, 16, and 17 of this chapter. The final determinations required under sections 10, 12, 16, and 17 of this chapter shall be made in executive session. As added by P.L.213-2018(ss), SEC.15. Amended by P.L.184-2023, SEC.28; P.L.236-2023, SEC.146.

Ind. Code § 20-19-7-19 DUAB duties; fiscal and qualitative indicator changes; report to state budget committee

Sec. 19. (a) The DUAB may do the following each year: (1) Review the fiscal and qualitative indicators used under this chapter to evaluate the financial condition of school corporations. (2) Determine if it is appropriate to change one (1) or more of the fiscal and qualitative indicators. (b) Before the DUAB may change a fiscal or qualitative indicator, the DUAB must first submit a report in an electronic format to the state budget committee specifying the proposed change in the fiscal or qualitative indicator. As added by P.L.213-2018(ss), SEC.15. Amended by P.L.184-2023, SEC.29; P.L.236-2023, SEC.147.

Ind. Code § 20-19-7-20 DUAB duties; review and change policies and procedures; report to the state budget committee

Sec. 20. (a) The DUAB may do the following each year: (1) Review policies and procedures adopted under section 8 of this chapter by the DUAB. (2) Determine if it is appropriate to change one (1) or more of those policies and procedures. (b) Before the DUAB may change a policy or procedure adopted under section 8 of this chapter, the DUAB must first submit a report in an electronic format to the state budget committee specifying the proposed change in the policy or procedure. As added by P.L.213-2018(ss), SEC.15. Amended by P.L.184-2023, SEC.30; P.L.236-2023, SEC.148.

Source: Open US Law by Vaquill AI (CC BY 4.0)URL: https://iga.in.gov/laws/2026/ic/titles/20Fetched: 10/17/2026