The Indiana General Assembly concluded its work for the 2025 regular legislative session in the early morning hours of Friday, April 25, adjourning sine die just before 2 a.m. As is customary in a biennial budget year, the long session afforded lawmakers additional time to finalize fiscal priorities and consider a broad range of policy proposals. Although scheduled to run through April 29, legislators completed their work several days early despite the fast pace and the introduction of more than 1,200 bills. The session marked the beginning of a new chapter in state government under Gov. Mike Braun and featured major legislative activity focused on tax relief, fiscal reform and financial regulation.
The session’s signature achievements came with the passage of House Enrolled Act 1001, Indiana’s biennial budget; and Senate Enrolled Act 1, a comprehensive property tax relief package. Touted by Gov. Braun as historic, SEA 1 delivers between $1.2 and $1.3 billion in tax cuts for Hoosiers, including a 10% property tax credit for homeowners capped at $300, enhanced relief for seniors and veterans, a phaseout of the business personal property tax for most businesses and revisions to farmland valuation formulas to ease burdens on farmers. These measures reflect the Braun administration’s and General Assembly leadership’s shared emphasis on fiscal restraint, taxpayer relief and government accountability.
Gov. Braun, who succeeded Eric Holcomb, brought a business-oriented approach to the office, emphasizing fiscal discipline and healthcare reform. His active engagement throughout the session marked a return to a leadership style reminiscent of former Gov. Mitch Daniels. A late-session revenue forecast projecting a $2.4 billion shortfall for FY 2026-27 forced Braun and legislative leaders to revise budget plans in the final days, reducing or eliminating proposed spending increases and shelving several tax credits to ensure a balanced budget. Several Braun-backed healthcare proposals were also scaled back amid industry resistance, signaling more work to come in 2026. The governor still called the session productive and indicated that outstanding priorities, including additional property tax reform and healthcare pricing transparency, would return next year.
In total, 1,229 bills were introduced, significantly more than the 739 filed in the 2024 short session. Of those, 244 were enacted, including 140 House Enrolled Acts and 104 Senate Enrolled Acts. The overall 20% passage rate was slightly lower than in the previous budget cycle, highlighting the complex nature of the session as lawmakers adjusted to new leadership and competing fiscal pressures.
By the Numbers
1,229 bills introduced
- 66.31% more than the 2024 short session
- 5.77% more than the 2023 budget session
244 bills passed
- 140 House Enrolled Acts
- 104 Senate Enrolled Acts
19.85% passage rate
Celebrating Successes
Against the backdrop of a demanding session, your Indiana Bankers Association achieved multiple legislative successes. The IBA’s efforts focused on modernizing state financial statutes, enhancing oversight and defending the industry from problematic proposals.
One of the IBA’s top accomplishments this session was the establishment of a formal oversight board for TrustINdiana, the state’s local government investment pool. Language creating the Indiana Local Government Investment Pool Board was included in both the biennial budget (HEA 1001) and follow-up legislation (HEA 1427). The board will be responsible for setting investment policies and providing oversight of the Treasurer of State’s management of the pool. Under the new law, the Treasurer must operate the pool in accordance with the Board’s policies and obtain Board approval before hiring external investment managers, legal counsel or other professionals. This IBA-supported reform strengthens accountability, ensures prudent stewardship of public funds and ensures a fairer, more competitive landscape between the public and private sectors.
HEA 1427 also modernized Indiana’s public funds deposit law to reflect today’s banking landscape. Previously, political subdivisions were often limited to depositing public funds in financial institutions physically located within their own boundaries. However, many smaller political subdivisions lacked a local brick-and-mortar bank, forcing them to bypass territorial restrictions and open bids statewide. Under the new law, subdivisions may now solicit bids from all approved public depositories with a brick-and-mortar presence anywhere within their county. If only two or fewer such banks are available and willing to accept deposits, the political subdivision’s board of finance may designate additional banks outside the county, effectively opening the bid statewide. This IBA-supported reform increases the number of eligible depositories, promotes competitive interest rates and maintains the original intent of territorial preference, ensuring that public funds stay local whenever possible to benefit the communities they come from.
The IBA also secured a quiet but meaningful victory by helping to preserve prudent investment standards for public funds. Initially, HEA 1322 proposed allowing certain public funds, including state pension assets and public deposits, to invest in bitcoin exchange-traded funds. While the bill aimed to promote innovation, the IBA raised concerns about exposing public money to cryptocurrency markets’ volatility and regulatory uncertainty. The IBA successfully helped lawmakers understand these risks through strategic advocacy and education. As a result, the bill was significantly amended during the session, all provisions related to bitcoin ETFs were removed, and the final version focused solely on a state study of blockchain technology. The act was even renamed “Blockchain Technology” and now directs the Department of Administration to explore potential government applications. This outcome protected public funds from unnecessary risk while allowing the state to continue exploring emerging technologies in a responsible way.
Defensive Victories
Just as importantly, the IBA’s defensive advocacy helped prevent several high-risk or anti-banking proposals from becoming law. Among them was House Bill 1074, which would have prohibited financial institutions from denying or terminating services to firearms-related businesses based solely on their industry. While positioned as a Second Amendment protection, the bill would have interfered with banks’ ability to manage risk and introduced vague liability standards. It did not receive a hearing.
HB 1528 sought to prevent discrimination based on a broadly defined “social credit score,” encompassing political views, religion and environmental beliefs. It would have required banks to justify service denials, creating significant compliance burdens and operational ambiguity. Like HB 1074, it did not advance out of committee.
Senate Bill 412 brought interchange limitations into Indiana. Modeled after legislation that passed last year in Illinois, the bill would have removed the ability of a financial institution to assess an interchange fee on gratuity and sales tax at retail establishments. The bill did not receive a hearing.
SB 317 proposed banning wage garnishments, property liens and credit reporting related to unpaid medical debt for low-income patients. While the bill aimed to protect vulnerable consumers, it risked setting a precedent that could erode debt collection tools more broadly. After being amended to address IBA concerns, the bill failed on the third reading in the Senate.
HB 1614 proposed state-run depositories for gold and silver, the recognition of precious metals as legal tender and the exploration of a state-specific digital currency. These measures raised constitutional and market stability concerns and would have directly competed with the traditional banking system. All controversial provisions were removed in the House Financial Institutions Committee and recommitted to the House Ways and Means Committee, where the bill was ultimately shelved for this session.
SB 235 aimed to restrict Diversity, Equity and Inclusion (DEI) policies in both government and state contractors. This posed compliance and reputational risks for banks doing business with public entities. The IBA successfully advocated for the removal of problematic language before the bill’s contents were merged into SEA 289.
Each of these bills, in their original form, presented significant challenges, from restricting institutional discretion and complicating credit evaluations to destabilizing long-standing financial frameworks. Their failure to pass is a testament to strong, coordinated advocacy. The IBA thanks the legislators who heard our concerns and acted to prevent unintended harm to Indiana’s banking sector and financial stability.
Core Message
Overall the 2025 legislative session was both productive and largely positive for Indiana’s banking industry. Gov. Mike Braun’s first year in office introduced new leadership dynamics and some shifts in policy priorities, but the General Assembly maintained its consistent focus on fostering a pro-business, fiscally responsible environment.
We extend our sincere thanks to the many lawmakers who championed practical, forward-thinking solutions and took the time to listen to our concerns. We also thank our member institutions who actively engaged throughout the session, testifying, contacting legislators and offering valuable feedback. Your efforts made a real difference.
The 2025 session reinforced a core truth: When Indiana’s banking community speaks with a unified voice, we help shape smart policy that benefits the entire state. From securing meaningful tax relief and modernizing financial operations to successfully opposing destabilizing legislation, the IBA’s advocacy delivered real results for our members and the communities they serve.
Dax Denton, Chief Policy Officer, Indiana Bankers Association
Dax joined the IBA in 2008 and, as of April 2023, also serves as executive director for the Indiana Mortgage Bankers Association. Away from the office, he serves on the Boy Scouts Crossroads of America Council Board. Dax graduated from Indiana University, the IBA Leadership Development Program and the Graduate School of Banking at the University of Wisconsin.
Email Dax at DDenton@indiana.bank
Ross Teare, Vice President – Government Relations, Indiana Bankers Association
Ross joined the IBA in October 2021. He analyzes issues, reviews legislation, builds relationships with policymakers and enhances IBA’s grassroots advocacy. Ross also heads up the IBA’s BankLEAD internship program and efforts to grow banking programs at Indiana colleges. He graduated from Butler University and the IBA Leadership Development Program.
Email Ross at RTeare@indiana.bank
