Committee backs amended plan to raise Marion County small-claims filing fee and pool new revenue among nine township courts

The Judiciary committee voted 10-0 to recommit an amended Senate Bill 327 to the Tax and Fiscal Committee after lawmakers and township judges debated fee sharing, court venue and the financial impact on individual township small-claims courts.

Senator Freeman, sponsor of the amendment, said the bill would raise the Marion County small-claims filing fee by $26 and add other distribution rules to sustain nine township small-claims courts that vary in caseload. "When a case is filed in Marion County ... it will be filed in the Marion County small claims court," Freeman said, describing three parts of the amendment: require filings under the small‑claims rules for cases under $10,000, permit venue in the township where the transaction occurred or a contiguous township, and equally divide the increased fee among the nine township courts to keep lower‑caseload courts viable.

Perry Township Small Claims Judge Cheryl Rivera testified in opposition to the equal-fee‑sharing mechanism. Rivera said Marion County's higher‑caseload township courts have historically cost‑shared with lower‑caseload courts and that pooling all additional fee revenue "unfairly removes the funds from the township where they're collected and where the services are performed." She cited 2024 transfers in which higher‑caseload courts provided roughly $43,000 each to support smaller courts and asked for more discussion before adopting an equal‑sharing mandate.

Judge Kim Bacon of a Marion County small‑claims court testified in support of the fee increase. Bacon said the additional user fee would generate new revenue to help staff courts and reduce reliance on township property tax support. She told the committee the increase would improve the courts' long‑term viability and said seven of nine township judges had signaled support for the legislation.

Committee members questioned whether pooling would disadvantage townships that rely on fees or have different budgetary needs and whether eliminating concurrent jurisdiction could push cases into the small‑claims docket. Senator Cook said she would continue to examine whether moving cases from superior or circuit courts to small‑claims dockets could affect procedural protections and jury rights.

After discussion the committee moved the amended bill with a recommit to Tax and Fiscal; the committee recorded a 10-0 recommit vote. The amendment (Amendment 6) remains attached and directs equal distribution of specified new fees among the nine township small-claims courts while also increasing the filing fee and restricting certain concurrent filings.

Ending: The recommitment sends the amended measure to Tax and Fiscal for a fiscal review and potential refinement of how fees are allocated; committee members said they hope a follow-up process will resolve concerns about local budget impacts and court access.