Staff outlines effects of new state housing law: annual reporting, fee limits and permitting changes

Town staff summarized provisions of Indiana’s House Bill 1001 that will require changes to local reporting, ordinances and processes. Cynthia said Pittsboro must begin annual reporting on housing metrics (units proposed, approved, permitted, and occupied; median sale and rent changes; and income‑tiered unit counts) with the first report due Jan. 31, 2027, and must provide the data to the Indiana Housing Authority and the legislature.

Staff described other statutory changes: restrictions on increasing planning, building and inspection fees for five years (with future changes limited to CPI/COLA unless additional justification is provided), a six‑month delay between adoption and effective date for fee changes, updated accessory dwelling unit language that must be incorporated into the UDO, new options for TIFs used for housing, and requirements to form impact‑fee advisory committees with representatives from single‑family and multifamily builders and a realtor if impact fees are used.

Cynthia told commissioners the town must revise permit‑fee accounting (move fees into a separate line‑item fund) and perform analyses to meet the new law’s reporting and ordinance requirements. The planning staff recommended reviewing permit processes and potential ordinance amendments prior to the end of the year so Pittsboro can meet reporting deadlines and statutory compliance.

Commissioners asked about the town’s ability to collect certain rental data and whether collection shortfalls might be penalized; staff said the report will reflect the best available data and that staff will make a best‑faith effort to compile required metrics.