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County official: Hamilton Center intends to comply with Indiana Code 12‑29‑2‑1.1 but seeks guidance on undefined terms

3776564 · June 12, 2025
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Summary

A county official told the council that the Hamilton Center intends to comply with Indiana Code 12‑29‑2‑1.1 (compensation limits for certain employees) but is seeking legal guidance on undefined terms such as who counts as "clinical staff" and what counts as "benefits." Council members discussed timelines and follow‑up.

A county official told the Vigo County Council that the Hamilton Center has indicated its intent to comply with Indiana Code 12‑29‑2‑1.1, the statute that limits certain employee compensation, but that the center is seeking legal guidance on how the law applies to specific roles.

"I have met with attorney Michael Sikopoulos," the county official said, reporting that Sikopoulos is advising the Hamilton board and that the board "has every intent on complying with the provisions of the statute." The official added that the center was seeking clarification on who qualifies as "clinical staff" under the statute and what the statute means by "benefits."

Why it matters: Section 12‑29‑2‑1.1 was discussed by council members because it affects how community mental health centers (CMHCs) set compensation for high‑earning employees. The statute text quoted in the meeting states: "Compensation to any individual employee (not including clinical staff), including salary and benefits, in an amount that is $400,000 or more per year." The presence of the parenthetical "not including clinical staff" has led to questions about which roles fall inside or outside the exclusion.

Council members asked whether the statute imposes an immediate deadline for local action. The county official said one provision refers to a July 1 date but that state guidance provided to local CMHCs appears to interpret January 1, 2026, as the compliance date for implementation. The official said the Hamilton Center told him it would return to the council with more information once it had guidance from counsel in Indianapolis.

Council discussion emphasized that the county itself is not the sole decision‑maker for designation of the local CMHC; that determination ultimately involves the state Division of Mental Health and Addiction (DMHA). The official said he had told Hamilton Center counsel that "the council wants to ensure that the law is gonna be complied with in all respects, and I received assurances that that was their intent." He said he would follow up with the center and expects further reporting to the council as the budget process approaches.

No formal council action was taken; the item was an update and a request to monitor the situation through the summer.