CHAPTER 3. MUNICIPAL ANNEXATION AND DISANNEXATION
IC 36-4-3
Chapter 3. Municipal Annexation and Disannexation
IC 36-4-3-1
Application of chapter
Sec. 1. This chapter applies to all municipalities except
consolidated cities. However, sections 3 and 21 of this chapter do not
apply to towns.
As added by Acts 1980, P.L.212, SEC.3.
IC 36-4-3-1.5
Contiguous territory; determination
Sec. 1.5. For purposes of this chapter, territory sought to be
annexed may be considered "contiguous" only if at least one-eighth
(1/8) of the aggregate external boundaries of the territory coincides
with the boundaries of the annexing municipality. In determining if
a territory is contiguous, a strip of land less than one hundred fifty
(150) feet wide which connects the annexing municipality to the
territory is not considered a part of the boundaries of either the
municipality or the territory.
As added by Acts 1981, P.L.308, SEC.1.
IC 36-4-3-1.6
Territory covered by lake
Sec. 1.6. (a) For purposes of this chapter, the acreage of the
territory sought to be annexed that is covered by a public or private
lake shall not be considered when determining whether the territory
meets the population density or subdivision percentages required by
this chapter.
(b) This section does not affect the definition of "contiguous"
prescribed by section 1.5 of this chapter.
As added by P.L.348-1983, SEC.1.
IC 36-4-3-2
Territories inside corporate boundaries of another municipality
Sec. 2. Territory may be annexed by a municipality under section
3 or 4 of this chapter. However, a municipality may not annex
territory that is inside the corporate boundaries of another
municipality, although municipalities may merge under IC 36-4-2.
As added by Acts 1980, P.L.212, SEC.3.
IC 36-4-3-2.1
Public hearing; notice
Sec. 2.1. (a) This section does not apply to an annexation under
section 5.1 of this chapter.
(b) A municipality may adopt an ordinance under this chapter
only after the legislative body has held a public hearing concerning
the proposed annexation. The municipality shall hold the public
hearing not earlier than sixty (60) days after the date the ordinance
is introduced. All interested parties must have the opportunity to
testify as to the proposed annexation. Except as provided in
subsection (d), notice of the hearing shall be:
(1) published in accordance with IC 5-3-1 except that the notice
shall be published at least sixty (60) days before the hearing;
and
(2) mailed as set forth in section 2.2 of this chapter, if section
2.2 of this chapter applies to the annexation.
(c) A municipality may adopt an ordinance under this chapter not
earlier than thirty (30) days or not later than sixty (60) days after the
legislative body has held the public hearing under subsection (b).
(d) This subsection applies to an annexation under section 3 or 4
of this chapter in which all property owners within the area to be
annexed provide written consent to the annexation. Notice of the
hearing shall be:
(1) published one (1) time at least twenty (20) days before the
hearing in accordance with IC 5-3-1; and
(2) mailed as set forth in section 2.2 of this chapter.
As added by P.L.231-1996, SEC.1. Amended by P.L.248-1999,
SEC.1; P.L.49-2000, SEC.1; P.L.224-2001, SEC.1.
IC 36-4-3-2.2
Notice by certified mail
Sec. 2.2. (a) This section does not apply to an annexation under
section 4(a)(2), 4(a)(3), 4(b), 4(h), or 4.1 of this chapter or an
annexation described in section 5.1 of this chapter.
(b) Before a municipality may annex territory, the municipality
shall provide written notice of the hearing required under section 2.1
of this chapter. Except as provided in subsection (f), the notice must
be sent by certified mail at least sixty (60) days before the date of the
hearing to each owner of real property, as shown on the county
auditor's current tax list, whose real property is located within the
territory proposed to be annexed.
(c) For purposes of an annexation of territory described in section
2.5 of this chapter, if the hearing required under section 2.1 of this
chapter is conducted after June 30, 2010, the notice required by this
section must also be sent to each owner of real property, as shown on
the county auditor's current tax list, whose real property is adjacent
to contiguous areas of rights-of-way of the public highway that are
only included in the annexation of territory by operation of
IC 36-4-3-2.5 on the side of the public highway that is not part of the
annexed territory.
(d) The notice required by this section must include the following:
(1) A legal description of the real property proposed to be
annexed.
(2) The date, time, location, and subject of the hearing.
(3) A map showing the current municipal boundaries and the
proposed municipal boundaries.
(4) Current zoning classifications for the area proposed to be
annexed and any proposed zoning changes for the area proposed
to be annexed.
(5) A detailed summary of the fiscal plan described in section
13 of this chapter.
(6) The location where the public may inspect and copy the
fiscal plan.
(7) A statement that the municipality will provide a copy of the
fiscal plan after the fiscal plan is adopted immediately to any
landowner in the annexed territory who requests a copy.
(8) The name and telephone number of a representative of the
municipality who may be contacted for further information.
(e) If the municipality complies with this section, the notice is not
invalidated if the owner does not receive the notice.
(f) This subsection applies to an annexation under section 3 or 4
of this chapter in which all property owners within the area to be
annexed provide written consent to the annexation. The written
notice described in this section must be sent by certified mail not
later than twenty (20) days before the date of the hearing to each
owner of real property, as shown on the county auditor's current tax
list, whose real property is located within the territory proposed to be
annexed.
As added by P.L.248-1999, SEC.2. Amended by P.L.217-1999,
SEC.2; P.L.49-2000, SEC.2; P.L.224-2001, SEC.2; P.L.69-2010,
SEC.2.
IC 36-4-3-2.5
"Public highway" defined
Sec. 2.5. (a) As used in this section, "public highway" has the
meaning set forth in IC 9-25-2-4.
(b) An annexation of territory under this chapter after June 30,
1996, that includes land contiguous to a public highway must also
include contiguous areas of:
(1) the public highway; and
(2) rights-of-way of the public highway.
As added by P.L.232-1996, SEC.1.
IC 36-4-3-3
Annexation of contiguous territory; authorization
Sec. 3. (a) The legislative body of a municipality may, by an
ordinance defining the corporate boundaries of the municipality,
annex territory that is contiguous to the municipality, subject to
subsection (b).
(b) If territory that was not contiguous (under section 1.5 of this
chapter) was annexed in proceedings begun before May 1, 1981, an
ordinance adopted after April 30, 1981, may not annex additional
territory that is contiguous when the contiguity is based on the
additional territory's boundaries with the previously annexed
territory.
(c) Subsection (b) does not apply when the previously annexed
territory has been used as a part of the contiguous boundary of
separate parcels of land successfully annexed to the municipality
before May 1, 1981.
(d) This subsection does not apply to a town that has abolished
town legislative body districts under IC 36-5-2-4.1. An ordinance
described by subsection (a) must assign the territory annexed by the
ordinance to at least one (1) municipal legislative body district.
As added by Acts 1980, P.L.212, SEC.3. Amended by Acts 1981,
P.L.308, SEC.2; P.L.333-1985, SEC.2; P.L.5-1989, SEC.91;
P.L.3-1993, SEC.262.
IC 36-4-3-3.1
Written fiscal plan
Sec. 3.1. (a) This section does not apply to an annexation under
section 4(a)(2), 4(a)(3), 4(b), 4(h), or 4.1 of this chapter.
(b) A municipality shall develop and adopt a written fiscal plan
and establish a definite policy by resolution of the legislative body
that meets the requirements set forth in section 13 of this chapter.
(c) Except as provided in subsection (d), the municipality shall
establish and adopt the written fiscal plan before mailing the
notification to landowners in the territory proposed to be annexed
under section 2.2 of this chapter.
(d) In an annexation under section 5 or 5.1 of this chapter, the
municipality shall establish and adopt the written fiscal plan before
adopting the annexation ordinance.
As added by P.L.248-1999, SEC.3. Amended by P.L.217-1999,
SEC.3; P.L.224-2001, SEC.3.
IC 36-4-3-3.5
Annexation ordinance; contents
Sec. 3.5. (a) An annexation ordinance adopted under this chapter
must contain the following information:
(1) A description of the boundaries of the territory to be
annexed, including any public highway or right-of-way.
(2) The approximate number of acres in the territory to be
annexed.
(3) A description of any special terms and conditions adopted
under section 8 of this chapter.
(b) An ordinance adopted under section 3 or 4 of this chapter must
also contain a description of any property tax abatements adopted
under section 8.5 of this chapter.
As added by P.L.217-1999, SEC.4.
IC 36-4-3-4
Annexation of contiguous territory or noncontiguous airport,
landfill, golf course, or hospital
Sec. 4. (a) The legislative body of a municipality may, by
ordinance, annex any of the following:
(1) Territory that is contiguous to the municipality.
(2) Territory that is not contiguous to the municipality and is
occupied by a municipally owned or operated airport or landing
field.
(3) Territory that is not contiguous to the municipality but is
found by the legislative body to be occupied by a municipally
owned or regulated sanitary landfill, golf course, or hospital.
However, if territory annexed under this subsection ceases to be
used as a municipally owned or regulated sanitary landfill, golf
course, or hospital for at least one (1) year, the territory reverts
to the jurisdiction of the unit having jurisdiction before the
annexation if the unit that had jurisdiction over the territory still
exists. If the unit no longer exists, the territory reverts to the
jurisdiction of the unit that would currently have jurisdiction
over the territory if the annexation had not occurred. The clerk
of the municipality shall notify the offices required to receive
notice of a disannexation under section 19 of this chapter when
the territory reverts to the jurisdiction of the unit having
jurisdiction before the annexation.
(b) This subsection applies to municipalities in a county having
a population of:
(1) more than seventy-three thousand (73,000) but less than
seventy-four thousand (74,000);
(2) more than seventy-one thousand four hundred (71,400) but
less than seventy-three thousand (73,000);
(3) more than seventy thousand (70,000) but less than
seventy-one thousand (71,000);
(4) more than forty-five thousand (45,000) but less than
forty-five thousand nine hundred (45,900);
(5) more than forty thousand nine hundred (40,900) but less
than forty-one thousand (41,000);
(6) more than thirty-eight thousand (38,000) but less than
thirty-nine thousand (39,000);
(7) more than thirty thousand (30,000) but less than thirty
thousand seven hundred (30,700);
(8) more than twenty-three thousand five hundred (23,500) but
less than twenty-four thousand (24,000);
(9) more than one hundred eighty-two thousand seven hundred
ninety (182,790) but less than three hundred thousand
(300,000); or
(10) more than thirty-four thousand nine hundred fifty (34,950)
but less than thirty-six thousand (36,000).
Except as provided in subsection (c), the legislative body of a
municipality to which this subsection applies may, by ordinance,
annex territory that is not contiguous to the municipality, has its
entire area not more than two (2) miles from the municipality's
boundary, is to be used for an industrial park containing one (1) or
more businesses, and is either owned by the municipality or by a
property owner who consents to the annexation. However, if territory
annexed under this subsection is not used as an industrial park within
five (5) years after the date of passage of the annexation ordinance,
or if the territory ceases to be used as an industrial park for at least
one (1) year, the territory reverts to the jurisdiction of the unit having
jurisdiction before the annexation if the unit that had jurisdiction
over the territory still exists. If the unit no longer exists, the territory
reverts to the jurisdiction of the unit that would currently have
jurisdiction over the territory if the annexation had not occurred. The
clerk of the municipality shall notify the offices entitled to receive
notice of a disannexation under section 19 of this chapter when the
territory reverts to the jurisdiction of the unit having jurisdiction
before the annexation.
(c) A city in a county with a population of more than two hundred
thousand (200,000) but less than three hundred thousand (300,000)
may not annex territory as prescribed in subsection (b) until the
territory is zoned by the county for industrial purposes.
(d) Notwithstanding any other law, territory that is annexed under
subsection (b) or (h) is not considered a part of the municipality for
the purposes of:
(1) annexing additional territory:
(A) in a county that is not described by clause (B); or
(B) in a county having a population of more than two
hundred thousand (200,000) but less than three hundred
thousand (300,000), unless the boundaries of the
noncontiguous territory become contiguous to the city, as
allowed by Indiana law;
(2) expanding the municipality's extraterritorial jurisdictional
area; or
(3) changing an assigned service area under IC 8-1-2.3-6(1).
(e) As used in this section, "airport" and "landing field" have the
meanings prescribed by IC 8-22-1.
(f) As used in this section, "hospital" has the meaning prescribed
by IC 16-18-2-179(b).
(g) An ordinance adopted under this section must assign the
territory annexed by the ordinance to at least one (1) municipal
legislative body district.
(h) This subsection applies to a city having a population of more
than thirty-one thousand (31,000) but less than thirty-two thousand
(32,000). The legislative body of a city may, by ordinance, annex
territory that:
(1) is not contiguous to the city;
(2) has its entire area not more than eight (8) miles from the
city's boundary;
(3) does not extend more than:
(A) one and one-half (1 1/2) miles to the west;
(B) three-fourths (3/4) mile to the east;
(C) one-half (1/2) mile to the north; or
(D) one-half (1/2) mile to the south;
of an interchange of an interstate highway (as designated by the
federal highway authorities) and a state highway (as designated
by the state highway authorities); and
(4) is owned by the city or by a property owner that consents to
the annexation.
As added by Acts 1980, P.L.212, SEC.3. Amended by P.L.91-1985,
SEC.2; P.L.379-1987(ss), SEC.12; P.L.5-1989, SEC.92;
P.L.12-1992, SEC.156; P.L.62-1992, SEC.2; P.L.2-1993, SEC.202;
P.L.257-1993, SEC.1; P.L.1-1994, SEC.174; P.L.166-1994, SEC.1;
P.L.79-1996, SEC.2; P.L.255-1997(ss), SEC.9; P.L.2-1998, SEC.83;
P.L.170-2002, SEC.141; P.L.111-2005, SEC.3; P.L.182-2009(ss),
SEC.402.
IC 36-4-3-4.1
Property tax liability exemption for consensual annexation of
territory classified as agricultural for zoning purposes
Sec. 4.1. (a) The legislative body of a municipality may, by
ordinance, annex territory that:
(1) is contiguous to the municipality;
(2) in the case of a town having a population of more than:
(A) fifteen thousand (15,000); or
(B) five thousand (5,000) but less than six thousand three
hundred (6,300);
located in a county having a population of more than one
hundred thousand (100,000) but less than one hundred five
thousand (105,000), has its entire area within the township
within which the town is primarily located; and
(3) is owned by a property owner who consents to the
annexation.
(b) Territory annexed under this section is exempt from all
property tax liability under IC 6-1.1 for municipal purposes for all
portions of the annexed territory that are classified for zoning
purposes as agricultural and remain exempt from the property tax
liability while the property's zoning classification remains
agricultural. However, if the annexation ordinance annexing the
territory is adopted after June 30, 2006, the property tax liability
under IC 6-1.1 for municipal purposes may be exempted for a period
of not more than ten (10) years.
(c) There may not be a change in the zoning classification of
territory annexed under this section without the consent of the owner
of the annexed territory.
(d) Territory annexed under this section may not be considered a
part of the municipality for purposes of annexing additional territory
under section 3 or 4 of this chapter. However, territory annexed
under this section shall be considered a part of the municipality for
purposes of annexing additional territory under section 5 or 5.1 of
this chapter.
As added by P.L.166-1994, SEC.2. Amended by P.L.79-1996, SEC.3;
P.L.71-1997, SEC.3; P.L.224-1997, SEC.1; P.L.253-1997(ss),
SEC.31; P.L.224-2001, SEC.4; P.L.170-2002, SEC.142;
P.L.111-2005, SEC.4; P.L.71-2006, SEC.1.
IC 36-4-3-4.5
Applicability of IC 36-4-3-4(g)
Sec. 4.5. Section 4(g) of this chapter does not apply to a town that
has abolished town legislative body districts under IC 36-5-2-4.1.
As added by P.L.3-1993, SEC.263. Amended by P.L.255-1997(ss),
SEC.10.
IC 36-4-3-5
Private lands; petition requesting ordinance to annex; filing;
proceedings
Sec. 5. (a) If the owners of land located outside of but contiguous
to a municipality want to have territory containing that land annexed
to the municipality, they may file with the legislative body of the
municipality a petition:
(1) signed by at least:
(A) fifty-one percent (51%) of the owners of land in the
territory sought to be annexed; or
(B) the owners of seventy-five percent (75%) of the total
assessed value of the land for property tax purposes; and
(2) requesting an ordinance annexing the area described in the
petition.
(b) The petition circulated by the landowners must include on
each page where signatures are affixed a heading that is substantially
similar to the following:
"PETITION FOR ANNEXATION INTO THE (insert whether
city or town) OF (insert name of city or town).".
(c) Except as provided in section 5.1 of this chapter, if the
legislative body fails to pass the ordinance within one hundred fifty
(150) days after the date of filing of a petition under subsection (a),
the petitioners may file a duplicate copy of the petition in the circuit
or superior court of a county in which the territory is located, and
shall include a written statement of why the annexation should take
place. Notice of the proceedings, in the form of a summons, shall be
served on the municipality named in the petition. The municipality
is the defendant in the cause and shall appear and answer.
(d) The court shall hear and determine the petition without a jury,
and shall order the proposed annexation to take place only if the
evidence introduced by the parties establishes that:
(1) essential municipal services and facilities are not available
to the residents of the territory sought to be annexed;
(2) the municipality is physically and financially able to provide
municipal services to the territory sought to be annexed;
(3) the population density of the territory sought to be annexed
is at least three (3) persons per acre; and
(4) the territory sought to be annexed is contiguous to the
municipality.
If the evidence does not establish all four (4) of the preceding
factors, the court shall deny the petition and dismiss the proceeding.
(e) This subsection does not apply to a town that has abolished
town legislative body districts under IC 36-5-2-4.1. An ordinance
adopted under this section must assign the territory annexed by the
ordinance to at least one (1) municipal legislative body district.
As added by Acts 1980, P.L.212, SEC.3. Amended by Acts 1981,
P.L.308, SEC.3; P.L.5-1989, SEC.93; P.L.3-1993, SEC.264;
P.L.255-1997(ss), SEC.11; P.L.224-2001, SEC.5; P.L.173-2003,
SEC.22.
IC 36-4-3-5.1
Petitions signed by 100% of landowners
Sec. 5.1. (a) This section applies to an annexation in which
owners of land located outside but contiguous to a municipality file
a petition with the legislative body of the municipality:
(1) requesting an ordinance annexing the area described in the
petition; and
(2) signed by one hundred percent (100%) of the landowners
that reside within the territory that is proposed to be annexed.
(b) Sections 2.1 and 2.2 of this chapter do not apply to an
annexation under this section.
(c) The petition circulated by the landowners must include on
each page where signatures are affixed a heading that is substantially
similar to the following:
"PETITION FOR ANNEXATION INTO THE (insert whether
city or town) OF (insert name of city or town).".
(d) The municipality may:
(1) adopt an annexation ordinance annexing the territory; and
(2) adopt a fiscal plan and establish a definite policy by
resolution of the legislative body;
after the legislative body has held a public hearing on the proposed
annexation.
(e) The municipality may introduce and hold the public hearing
on the annexation ordinance not later than thirty (30) days after the
petition is filed with the legislative body. Notice of the public
hearing may be published one (1) time in accordance with IC 5-3-1
at least twenty (20) days before the hearing. All interested parties
must have the opportunity to testify at the hearing as to the proposed
annexation.
(f) The municipality may adopt the annexation ordinance not
earlier than fourteen (14) days after the public hearing under
subsection (e).
(g) A landowner may withdraw the landowner's signature from the
petition not more than thirteen (13) days after the municipality
adopts the fiscal plan by providing written notice to the office of the
clerk of the municipality. If a landowner withdraws the landowner's
signature, the petition shall automatically be considered a voluntary
petition that is filed with the legislative body under section 5 of this
chapter, fourteen (14) days after the date the fiscal plan is adopted.
All provisions applicable to a petition initiated under section 5 of this
chapter apply to the petition.
(h) If the municipality does not adopt an annexation ordinance
within sixty (60) days after the landowners file the petition with the
legislative body, the landowners may file a duplicate petition with
the circuit or superior court of a county in which the territory is
located. The court shall determine whether the annexation shall take
place as set forth in section 5 of this chapter.
(i) A remonstrance under section 11 of this chapter may not be
filed. However, an appeal under section 15.5 of this chapter may be
filed.
(j) In the absence of an appeal under section 15.5 of this chapter,
an annexation ordinance adopted under this section takes effect not
less than thirty (30) days after the adoption of the ordinance and
upon the filing and recording of the ordinance under section 22 of
this chapter.
As added by P.L.224-2001, SEC.6.
IC 36-4-3-6
Effect of certified copy of ordinance
Sec. 6. (a) A certified copy of an ordinance adopted under section
3 of this chapter is conclusive evidence of the corporate boundaries
of the municipality in any proceeding.
(b) A certified copy of an ordinance adopted under section 4 of
this chapter is conclusive evidence in any proceeding that the
territory described in the ordinance was properly annexed and is a
part of the municipality.
As added by Acts 1980, P.L.212, SEC.3.
IC 36-4-3-7
Publication of adopted ordinance; effectiveness; fire protection
districts
Sec. 7. (a) After an ordinance is adopted under section 3, 4, 5, or
5.1 of this chapter, it must be published in the manner prescribed by
IC 5-3-1. Except as provided in subsection (b), (c), or (f), in the
absence of remonstrance and appeal under section 11 or 15.5 of this
chapter, the ordinance takes effect at least ninety (90) days after its
publication and upon the filing required by section 22(a) of this
chapter.
(b) An ordinance described in subsection (d) or adopted under
section 3, 4, 5, or 5.1 of this chapter may not take effect during the
year preceding a year in which a federal decennial census is
conducted. An ordinance that would otherwise take effect during the
year preceding a year in which a federal decennial census is
conducted takes effect January 1 of the year in which a federal
decennial census is conducted.
(c) Subsections (d) and (e) apply to fire protection districts that
are established after June 14, 1987.
(d) Except as provided in subsection (b), whenever a municipality
annexes territory, all or part of which lies within a fire protection
district (IC 36-8-11), the annexation ordinance (in the absence of
remonstrance and appeal under section 11 or 15.5 of this chapter)
takes effect the second January 1 that follows the date the ordinance
is adopted and upon the filing required by section 22(a) of this
chapter. The municipality shall:
(1) provide fire protection to that territory beginning the date
the ordinance is effective; and
(2) send written notice to the fire protection district of the date
the municipality will begin to provide fire protection to the
annexed territory within ten (10) days of the date the ordinance
is adopted.
(e) If the fire protection district from which a municipality
annexes territory under subsection (d) is indebted or has outstanding
unpaid bonds or other obligations at the time the annexation is
effective, the municipality is liable for and shall pay that
indebtedness in the same ratio as the assessed valuation of the
property in the annexed territory (that is part of the fire protection
district) bears to the assessed valuation of all property in the fire
protection district, as shown by the most recent assessment for
taxation before the annexation, unless the assessed property within
the municipality is already liable for the indebtedness. The annexing
municipality shall pay its indebtedness under this section to the board
of fire trustees. If the indebtedness consists of outstanding unpaid
bonds or notes of the fire protection district, the payments to the
board of fire trustees shall be made as the principal or interest on the
bonds or notes becomes due.
(f) This subsection applies to an annexation initiated by property
owners under section 5.1 of this chapter in which all property owners
within the area to be annexed petition the municipality to be
annexed. Subject to subsections (b) and (d), and in the absence of an
appeal under section 15.5 of this chapter, an annexation ordinance
takes effect at least thirty (30) days after its publication and upon the
filing required by section 22(a) of this chapter.
As added by Acts 1980, P.L.212, SEC.3. Amended by Acts 1981,
P.L.308, SEC.4; Acts 1982, P.L.33, SEC.21; P.L.341-1987, SEC.1;
P.L.5-1989, SEC.94; P.L.224-2001, SEC.7; P.L.113-2010, SEC.116.
IC 36-4-3-7.1
Immediate effectiveness of certain annexations
Sec. 7.1. Notwithstanding section 7(b) of this chapter, an
ordinance adopted under section 4 of this chapter takes effect
immediately upon the expiration of the sixty (60) day remonstrance
and appeal period under section 11 or 15.5 of this chapter and after
the publication, filing, and recording required by section 22(a) of this
chapter if all of the following conditions are met:
(1) The annexed territory has no population.
(2) Ninety percent (90%) of the total assessed value of the land
for property tax purposes has one (1) owner.
(3) The annexation is required to fulfill an economic
development incentive package and to retain an industry
through various local incentives, including urban enterprise
zone benefits.
As added by P.L.120-1999, SEC.6.
IC 36-4-3-8
Terms and conditions in adopted ordinance
Sec. 8. (a) This section does not apply to an ordinance adopted
under section 5 or 5.1 of this chapter.
(b) An ordinance adopted under section 3 or 4 of this chapter must
include terms and conditions fairly calculated to make the annexation
equitable to the property owners and residents of the municipality
and the annexed territory. The terms and conditions may include:
(1) postponing the effective date of the annexation for not more
than three (3) years; and
(2) establishing equitable provisions for the future management
and improvement of the annexed territory and for the rendering
of needed services.
(c) This subsection applies to territory sought to be annexed that
meets all of the following requirements:
(1) The resident population density of the territory is at least
three (3) persons per acre.
(2) The territory is subdivided or is parceled through separate
ownerships into lots or parcels such that at least sixty percent
(60%) of the total number of lots and parcels are not more than
one (1) acre.
This subsection does not apply to an ordinance annexing territory
described in section 4(a)(2), 4(a)(3), 4(b), or 4(h) of this chapter. The
ordinance must include terms and conditions impounding in a special
fund all of the municipal property taxes imposed on the annexed
territory after the annexation takes effect that are not used to meet
the basic services described in section 13(d)(4) and 13(d)(5) of this
chapter for a period of at least three (3) years. The impounded
property taxes must be used to provide additional services that were
not specified in the plan of annexation. The impounded property
taxes in the fund shall be expended as set forth in this section, not
later than five (5) years after the annexation becomes effective.
As added by Acts 1980, P.L.212, SEC.3. Amended by P.L.248-1999,
SEC.4; P.L.217-1999, SEC.5; P.L.224-2001, SEC.8.
IC 36-4-3-8.1
Advisory board
Sec. 8.1. (a) An advisory board shall be appointed to advise the
municipality on the provision of services to the annexed territory that
are paid for with the municipal property taxes impounded in a special
fund under section 8 of this chapter.
(b) An advisory board shall be appointed not later than ninety (90)
days after an annexation becomes effective by the filing prescribed
under section 22 of this chapter.
(c) An advisory board consists of the following seven (7)
members:
(1) The township trustee of the township with the largest
number of residents living within the annexed territory.
(2) One (1) member of the county fiscal body representing the
district with the largest number of residents living within the
annexed territory.
(3) One (1) member who is:
(A) the municipal engineer if the annexing municipality has
a municipal engineer; or
(B) a licensed professional engineer appointed by the
municipal executive if the municipality does not have a
municipal engineer.
(4) Two (2) citizen members appointed by the municipal
executive who:
(A) own real property within; and
(B) reside within;
the annexed territory.
(5) Two (2) citizen members appointed by the county executive
who:
(A) own real property within; and
(B) reside within;
the annexed territory.
(d) Four (4) members of the board constitute a quorum. An
affirmative vote of four (4) members is required for the board to take
action.
(e) A member of the board may not receive a salary. A member
may receive reimbursement for necessary expenses, but only when
those necessary expenses are incurred in the performance of the
member's respective duties.
(f) A vacancy on the board shall be filled by the appointing
authority.
(g) The board shall serve for not longer than the date all municipal
property taxes impounded in the fund are expended.
As added by P.L.248-1999, SEC.5.
IC 36-4-3-8.5
Tax abatement in annexed territory; ordinance; required
provisions
Sec. 8.5. (a) A municipality may, in an ordinance adopted under
section 3 or 4 of this chapter, abate a portion of the property tax
liability under IC 6-1.1 for municipal purposes for all property
owners in the annexed territory.
(b) An ordinance adopted under subsection (a) must provide the
following:
(1) A tax abatement program that is in effect for not more than
three (3) taxable years after an annexation occurs.
(2) Except single family residential property described by
subdivision (3), a tax abatement for all classes of property that
does not exceed:
(A) seventy-five percent (75%) of a taxpayer's liability in the
first year of the abatement program;
(B) fifty percent (50%) of a taxpayer's liability in the second
year of the abatement program; and
(C) twenty-five percent (25%) of a taxpayer's liability in the
third year of the abatement program.
(3) For a county having a population of more than two hundred
thousand (200,000) but less than three hundred thousand
(300,000), a tax abatement for single family residential property
that does not exceed:
(A) ninety percent (90%) of a taxpayer's liability in the first
year of the abatement program;
(B) eighty percent (80%) of a taxpayer's liability in the
second year of the abatement program;
(C) sixty percent (60%) of a taxpayer's liability in the third
year of the abatement program;
(D) forty percent (40%) of a taxpayer's liability in the fourth
year of the abatement program; and
(E) twenty percent (20%) of a taxpayer's liability in the fifth
year of the abatement program.
(4) The procedure by which an eligible property owner receives
a tax abatement under this section.
As added by P.L.379-1987(ss), SEC.13. Amended by P.L.56-1988,
SEC.12; P.L.12-1992, SEC.157; P.L.231-1996, SEC.2;
P.L.255-1997(ss), SEC.12.
IC 36-4-3-8.6
Repealed
(Repealed by P.L.3-1989, SEC.228.)
IC 36-4-3-9
Certain towns annexing territory; consents required
Sec. 9. (a) A town must obtain the consent of both the
metropolitan development commission and the legislative body of a
county having a consolidated city before annexing territory within
the county where a consolidated city is located.
(b) A town must obtain the consent of the legislative body of a
second or third class city before annexing territory within three (3)
miles of the corporate boundaries of the city unless:
(1) the town that proposes to annex the territory is located in a
different county than the city; or
(2) the annexation by the town is:
(A) an annexation under section 5 or 5.1 of this chapter; or
(B) consented to by at least fifty-one percent (51%) of the
owners of land in the territory the town proposes to annex.
(c) In determining the total number of landowners of the annexed
territory and whether signers of a consent under subsection (b)(2)(B)
are landowners, the names appearing on the tax duplicate for that
territory constitute prima facie evidence of ownership. Only one (1)
person having an interest in each single property, as evidenced by the
tax duplicate, is considered a landowner for purposes of this section.
(d) Each municipality that is known as an included town under
IC 36-3-1-7 is also considered a town for purposes of this section.
As added by Acts 1980, P.L.212, SEC.3. Amended by Acts 1980,
P.L.213, SEC.5; P.L.257-1993, SEC.2; P.L.224-2001, SEC.9;
P.L.170-2002, SEC.143; P.L.111-2005, SEC.5.
IC 36-4-3-9.1
Annexation of territory within county; requirements
Sec. 9.1. A municipality may annex territory within a county only
if:
(1) part or all of that municipality was within the county on
January 1, 1982; or
(2) the consent of the executive of the county is first obtained.
As added by Acts 1982, P.L.210, SEC.2.
IC 36-4-3-10
Liability of annexing municipality for indebtedness or other
obligations of township; payment
Sec. 10. (a) If the township from which a municipality annexes
territory is indebted or has outstanding unpaid bonds or other
obligations at the time of the annexation, the municipality is liable
for and shall pay that indebtedness in the same ratio as the assessed
valuation of the property in the annexed territory bears to the
assessed valuation of all property in the township, as shown by the
most recent assessment for taxation before the annexation, unless the
assessed property within the municipality is already liable for the
indebtedness.
(b) The annexing municipality shall pay its indebtedness under
this section to the township executive. If the indebtedness consists of
outstanding unpaid bonds or notes of the township, the payments to
the executive shall be made as the principal or interest on the bonds
or notes becomes due.
As added by Acts 1980, P.L.212, SEC.3.
IC 36-4-3-11
Remonstrances; filing; determination of signatures; hearing
Sec. 11. (a) Except as provided in section 5.1(i) of this chapter
and subsections (d) and (e), whenever territory is annexed by a
municipality under this chapter, the annexation may be appealed by
filing with the circuit or superior court of a county in which the
annexed territory is located a written remonstrance signed by:
(1) at least sixty-five percent (65%) of the owners of land in the
annexed territory; or
(2) the owners of more than seventy-five percent (75%) in
assessed valuation of the land in the annexed territory.
The remonstrance must be filed within ninety (90) days after the
publication of the annexation ordinance under section 7 of this
chapter, must be accompanied by a copy of that ordinance, and must
state the reason why the annexation should not take place.
(b) On receipt of the remonstrance, the court shall determine
whether the remonstrance has the necessary signatures. In
determining the total number of landowners of the annexed territory
and whether signers of the remonstrance are landowners, the names
appearing on the tax duplicate for that territory constitute prima facie
evidence of ownership. Only one (1) person having an interest in
each single property, as evidenced by the tax duplicate, is considered
a landowner for purposes of this section.
(c) If the court determines that the remonstrance is sufficient, it
shall fix a time, within sixty (60) days of its determination, for a
hearing on the remonstrance. Notice of the proceedings, in the form
of a summons, shall be served on the annexing municipality. The
municipality is the defendant in the cause and shall appear and
answer.
(d) If an annexation is initiated by property owners under section
5.1 of this chapter and all property owners within the area to be
annexed petition the municipality to be annexed, a remonstrance to
the annexation may not be filed under this section.
(e) This subsection applies if:
(1) the territory to be annexed consists of not more than one
hundred (100) parcels; and
(2) eighty percent (80%) of the boundary of the territory
proposed to be annexed is contiguous to the municipality.
An annexation may be appealed by filing with the circuit or superior
court of a county in which the annexed territory is located a written
remonstrance signed by at least seventy-five percent (75%) of the
owners of land in the annexed territory as determined under
subsection (b).
As added by Acts 1980, P.L.212, SEC.3. Amended by P.L.5-1989,
SEC.95; P.L.248-1999, SEC.6; P.L.217-1999, SEC.6; P.L.224-2001,
SEC.10; P.L.173-2003, SEC.23; P.L.111-2005, SEC.6.
IC 36-4-3-11.5
Waiver of remonstrance not required
Sec. 11.5. A landowner in an unincorporated area is not required
to grant a municipality a waiver against remonstrance as a condition
of connection to a sewer or water service if all of the following
conditions apply:
(1) The landowner is required to connect to the sewer or water
service because a person other than the landowner has polluted
or contaminated the area.
(2) A person other than the landowner or the municipality has
paid the cost of connection to the service.
As added by P.L.172-1995, SEC.4.
IC 36-4-3-12
Remonstrances; hearing; judgment; effective date of annexation
Sec. 12. (a) The circuit or superior court shall:
(1) on the date fixed under section 11 of this chapter, hear and
determine the remonstrance without a jury; and
(2) without delay, enter judgment on the question of the
annexation according to the evidence that either party may
introduce.
(b) If the court enters judgment in favor of the annexation, the
annexation may not take effect during the year preceding the year in
which a federal decennial census is conducted. An annexation that
would otherwise take effect during the year preceding a year in
which a federal decennial census is conducted takes effect January
1 of the year in which a federal decennial census is conducted.
As added by Acts 1980, P.L.212, SEC.3. Amended by P.L.5-1989,
SEC.96; P.L.113-2010, SEC.117.
IC 36-4-3-13
Remonstrances; hearing; order; requirements
Sec. 13. (a) Except as provided in subsections (e) and (g), at the
hearing under section 12 of this chapter, the court shall order a
proposed annexation to take place if the following requirements are
met:
(1) The requirements of either subsection (b) or (c).
(2) The requirements of subsection (d).
(b) The requirements of this subsection are met if the evidence
establishes the following:
(1) That the territory sought to be annexed is contiguous to the
municipality.
(2) One (1) of the following:
(A) The resident population density of the territory sought to
be annexed is at least three (3) persons per acre.
(B) Sixty percent (60%) of the territory is subdivided.
(C) The territory is zoned for commercial, business, or
industrial uses.
(c) The requirements of this subsection are met if the evidence
establishes the following:
(1) That the territory sought to be annexed is contiguous to the
municipality as required by section 1.5 of this chapter, except
that at least one-fourth (1/4), instead of one-eighth (1/8), of the
aggregate external boundaries of the territory sought to be
annexed must coincide with the boundaries of the municipality.
(2) That the territory sought to be annexed is needed and can be
used by the municipality for its development in the reasonably
near future.
(d) The requirements of this subsection are met if the evidence
establishes that the municipality has developed and adopted a written
fiscal plan and has established a definite policy, by resolution of the
legislative body as set forth in section 3.1 of this chapter. The fiscal
plan must show the following:
(1) The cost estimates of planned services to be furnished to the
territory to be annexed. The plan must present itemized
estimated costs for each municipal department or agency.
(2) The method or methods of financing the planned services.
The plan must explain how specific and detailed expenses will
be funded and must indicate the taxes, grants, and other funding
to be used.
(3) The plan for the organization and extension of services. The
plan must detail the specific services that will be provided and
the dates the services will begin.
(4) That planned services of a noncapital nature, including
police protection, fire protection, street and road maintenance,
and other noncapital services normally provided within the
corporate boundaries, will be provided to the annexed territory
within one (1) year after the effective date of annexation and
that they will be provided in a manner equivalent in standard
and scope to those noncapital services provided to areas within
the corporate boundaries regardless of similar topography,
patterns of land use, and population density.
(5) That services of a capital improvement nature, including
street construction, street lighting, sewer facilities, water
facilities, and stormwater drainage facilities, will be provided
to the annexed territory within three (3) years after the effective
date of the annexation in the same manner as those services are
provided to areas within the corporate boundaries, regardless of
similar topography, patterns of land use, and population density,
and in a manner consistent with federal, state, and local laws,
procedures, and planning criteria.
(e) At the hearing under section 12 of this chapter, the court shall
do the following:
(1) Consider evidence on the conditions listed in subdivision
(2).
(2) Order a proposed annexation not to take place if the court
finds that all of the conditions set forth in clauses (A) through
(D) and, if applicable, clause (E) exist in the territory proposed
to be annexed:
(A) The following services are adequately furnished by a
provider other than the municipality seeking the annexation:
(i) Police and fire protection.
(ii) Street and road maintenance.
(B) The annexation will have a significant financial impact
on the residents or owners of land.
(C) The annexation is not in the best interests of the owners
of land in the territory proposed to be annexed as set forth in
subsection (f).
(D) One (1) of the following opposes the annexation:
(i) At least sixty-five percent (65%) of the owners of land
in the territory proposed to be annexed.
(ii) The owners of more than seventy-five percent (75%)
in assessed valuation of the land in the territory proposed
to be annexed.
Evidence of opposition may be expressed by any owner of
land in the territory proposed to be annexed.
(E) This clause applies only to an annexation in which
eighty percent (80%) of the boundary of the territory
proposed to be annexed is contiguous to the municipality
and the territory consists of not more than one hundred (100)
parcels. At least seventy-five percent (75%) of the owners of
land in the territory proposed to be annexed oppose the
annexation as determined under section 11(b) of this chapter.
(f) The municipality under subsection (e)(2)(C) bears the burden
of proving that the annexation is in the best interests of the owners
of land in the territory proposed to be annexed. In determining this
issue, the court may consider whether the municipality has extended
sewer or water services to the entire territory to be annexed:
(1) within the three (3) years preceding the date of the
introduction of the annexation ordinance; or
(2) under a contract in lieu of annexation entered into under
IC 36-4-3-21.
The court may not consider the provision of water services as a result
of an order by the Indiana utility regulatory commission to constitute
the provision of water services to the territory to be annexed.
(g) This subsection applies only to cities located in a county
having a population of more than two hundred thousand (200,000)
but less than three hundred thousand (300,000). However, this
subsection does not apply if on April 1, 1993, the entire boundary of
the territory that is proposed to be annexed was contiguous to
territory that was within the boundaries of one (1) or more
municipalities. At the hearing under section 12 of this chapter, the
court shall do the following:
(1) Consider evidence on the conditions listed in subdivision
(2).
(2) Order a proposed annexation not to take place if the court
finds that all of the following conditions exist in the territory
proposed to be annexed:
(A) The following services are adequately furnished by a
provider other than the municipality seeking the annexation:
(i) Police and fire protection.
(ii) Street and road maintenance.
(B) The annexation will have a significant financial impact
on the residents or owners of land.
(C) One (1) of the following opposes the annexation:
(i) A majority of the owners of land in the territory
proposed to be annexed.
(ii) The owners of more than seventy-five percent (75%)
in assessed valuation of the land in the territory proposed
to be annexed.
Evidence of opposition may be expressed by any owner of
land in the territory proposed to be annexed.
(h) The most recent:
(1) federal decennial census;
(2) federal special census;
(3) special tabulation; or
(4) corrected population count;
shall be used as evidence of resident population density for purposes
of subsection (b)(2)(A), but this evidence may be rebutted by other
evidence of population density.
As added by Acts 1980, P.L.212, SEC.3. Amended by Acts 1981,
P.L.11, SEC.161; Acts 1981, P.L.308, SEC.5; Acts 1982, P.L.33,
SEC.22; P.L.56-1988, SEC.13; P.L.257-1993, SEC.3; P.L.4-1997,
SEC.13; P.L.255-1997(ss), SEC.13; P.L.248-1999, SEC.7;
P.L.217-1999, SEC.7; P.L.76-2001, SEC.2; P.L.170-2002, SEC.144;
P.L.173-2003, SEC.24; P.L.97-2004, SEC.126; P.L.111-2005,
SEC.7.
IC 36-4-3-14
Remonstrances; hearing; change of venue; status of annexation
pending
Sec. 14. In a hearing under section 12 of this chapter, the laws
providing for change of venue from the county do not apply, but
changes of venue from the judge may be had as in other cases. Costs
follow judgment. Pending the remonstrance, and during the time
within which the remonstrance may be taken, the territory sought to
be annexed is not considered a part of the municipality.
As added by Acts 1980, P.L.212, SEC.3.
IC 36-4-3-15
Remonstrances; judgment; repeal of annexation; effective date of
annexation
Sec. 15. (a) The court's judgment under section 12 or 15.5 of this
chapter must specify the annexation ordinance on which the
remonstrance is based. The clerk of the court shall deliver a certified
copy of the judgment to the clerk of the municipality. The clerk of
the municipality shall:
(1) record the judgment in the clerk's ordinance record; and
(2) make a cross-reference to the record of the judgment on the
margin of the record of the annexation ordinance.
(b) If a judgment under section 12 or 15.5 of this chapter is
adverse to annexation, the municipality may not make further
attempts to annex the territory or any part of the territory during the
four (4) years after the later of:
(1) the judgment of the circuit or superior court; or
(2) the date of the final disposition of all appeals to a higher
court;
unless the annexation is petitioned for under section 5 or 5.1 of this
chapter.
(c) This subsection applies if a municipality repeals the
annexation ordinance:
(1) less than sixty-one (61) days after the publication of the
ordinance under section 7(a) of this chapter; and
(2) before the hearing commences on the remonstrance under
section 11(c) of this chapter.
A municipality may not make further attempts to annex the territory
or any part of the territory during the twelve (12) months after the
date the municipality repeals the annexation ordinance. This
subsection does not prohibit an annexation of the territory or part of
the territory that is petitioned for under section 5 or 5.1 of this
chapter.
(d) This subsection applies if a municipality repeals the
annexation ordinance:
(1) at least sixty-one (61) days but not more than one hundred
twenty (120) days after the publication of the ordinance under
section 7(a) of this chapter; and
(2) before the hearing commences on the remonstrance under
section 11(c) of this chapter.
A municipality may not make further attempts to annex the territory
or any part of the territory during the twenty-four (24) months after
the date the municipality repeals the annexation ordinance. This
subsection does not prohibit an annexation of the territory or part of
the territory that is petitioned for under section 5 or 5.1 of this
chapter.
(e) This subsection applies if a municipality repeals the
annexation ordinance:
(1) either:
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