HB1038: A BILL FOR AN ACT to amend the Indiana Code concerning state and local administration.

Page last updated: Sunday, April 20, 2025 at 6:55 PM (America/Indianapolis).

General Information

• Stage: House Bill (H)
• Current Chamber: house
• Origin Chamber: house
• Description: ESOP linked deposit program.

Legislators

Actions (5 total)

• Jan 28, 2025, 9:45 AM: Representatives Pierce K and Andrade added as coauthors
• Jan 21, 2025, 9:00 AM: Recommitted to the Committee on Ways and Means pursuant to House Rule 126.3
• Jan 21, 2025, 8:59 AM: Committee report: amend do pass, adopted
• Jan 8, 2025, 10:52 AM: First reading: referred to Committee on Financial Institutions
• Jan 8, 2025, 10:52 AM: Authored by Representative Teshka

Digest

Requires the treasurer of state (treasurer) to establish and administer a program to assist Indiana companies in obtaining financing from a financial institution for the purchase of company shares by an employee stock ownership plan (ESOP). Allows the treasurer and a financial institution to enter into an agreement under which: (1) the treasurer places a certificate of deposit (CD) with the financial institution at not more than 3% below the comparable Treasury Bill rate; (2) the financial institution makes a loan to a company at a reduced percentage rate of interest that corresponds to the CD's reduced rate of interest; and (3) the rate of interest of both the loan and the certificate of deposit move in tandem for the duration of the loan term.