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Indiana Legislative Update

By Caryl Auslander ● September 6, 2022



















Local, state, and federal highlights in this week's memo include:


  • Indiana Remains Flushed with Federal COVID Relief Dollars
  • Indiana Leads Nation in Medical Data Breaches
  • Indiana Healthcare Providers File Lawsuit Ahead of New Abortion Law
  • Job Vacancies At An All-Time High
  • Indiana to Receive $187M for Broadband Expansion
  • Indiana Governor Signs Executive Order to Ease Fuel Regulations
  • Job Market Slows in August
  • Indiana University Health Prepares for New Abortion Law to Take Effect
  • Indiana Attorney General Releases Advisory Opinion on State’s ESG Investments
  • Important Dates


Indiana Remains Flushed with

Federal COVID Relief Dollars

What’s new: While Congress may be on a stand-off over COVID-19 funding, Indiana still has 43% of its $1 billion-plus in grants left to spend. The Indiana Department of Health took in about $1.36 billion dollars in aid during the pandemic, and has until mid-2024 to spend the remaining $580 million.
The details: So far, the money has gone to community testing and vaccinations; distribution of personal protective equipment, testing and vaccine supplies like sub-zero storage refrigerators and 10 van clinics; an online portal for testing and vaccine registration, scheduling, reporting and billing; contact tracing; a COVID-19-only 211 line; and more.
Yes, but: There is more work to be done. IDOH is in the midst of working on a contract with the Indiana Housing and Community Development Authority to get help for long-term care training. Due to ongoing staffing shortages, funding will also go toward personnel and contract staff.
What they’re saying: Dr. Box, Secretary of IDOH, said that Box said her agency lost about 330 of its 760 full-time clinical employees during the pandemic. The CDC hired some of her staff away, as did hospitals and long-term care facilities.
  • “We were coming in and working seven days a week, and even when we went home at 7 or 8 at night, we would be eating quickly and then popping back onto meetings until 11 or 12, and coming in the next day again at 7 in the morning,” Box said.
The bottom line: Dr. Box said that she hopes the recent recommendations from the Indiana Public Health Commission will help prepare the state for future public health emergencies. (Indiana Capital Chronicle)

Indiana Leads Nation in Medical Data Breaches
What’s new: According to a new study, data shows that Indiana leads the nation in medical data breaches, with more than 80 million records affected since 2009.
The details: In 2015, hackers obtained data on 78.8 million members and employees of Anthem Inc. (now called Elevance Health Inc.). More than a dozen other companies over the years have also suffered large data breaches including Indiana University Health, Hancock Heath, Eskenazki Heath, Schneck Medical Center, and Goodman Campbell Brain and Spine.
By the numbers:
  • Indiana accounted for nearly 25% of all breached records during the 13-year period between 2009 and June 2022.
  • Since 2009, medical organizations in the U.S. have suffered nearly 5,000 data breaches, affecting over 342 million medical records.
  • Hacking was the most popular method of breaching medical data, accounting for 41% of breaches last year.
(IBJ)

Indiana Healthcare Providers File Lawsuit Ahead of New Abortion Law
What’s new: A number of healthcare providers in Indiana filed a lawsuit last Tuesday seeking to block the state’s new abortion restrictions before they take effect on September 15th.
The details:
  • The lawsuit filed claims the new law, “strips away the fundamental rights of people seeking abortion care” in violation of the Indiana Constitution.
  • The suit also asks for a judge to block the law from going into effect on Sept. 15, arguing the ban “will infringe on Hoosiers’ right to privacy, violate Indiana’s guarantee of equal privileges and immunities, and includes unconstitutionally vague language.”
What they’re saying:
  • Indiana Right to Life CEO, Mike Fitcher, said in a statement, “We are confident the state will prevail and pray the new law is not blocked from going into effect on September 15, knowing that any delay will mean the indiscriminate killing of unborn children will continue at abortion clinics across Indiana.”
  • Jennifer Drobac, an Indiana University law professor, says she believes the state constitution prohibits lawmakers from taking away legal privileges to certain residents, saying “When you look at people who become pregnant, their medical care is being regulated in a way that the medical care of people who do not become pregnant is not being regulated,” she said. “Men, for example, can access the full panoply of available medical resources in a health situation.”
(Politico)
Job Vacancies at an All-Time High
What’s new: July’s labor market report showed similar trends to that of months past - job vacancies are historically high, layoffs are near an all-time low, and quits are still elevated.
By the numbers: There were 11.2 million job openings in July, slightly higher (+200,000) than June. Most sectors continued to post more jobs than they did in June — a sign of voracious demand for workers.
  • Durable goods manufacturing was among the few industries with decreasing job openings, a possible byproduct of the demand slowdown for these products.
  • There are about two open jobs for each unemployed worker, an unprecedented phenomenon (at least in this data set, which goes back to 2000).
The bottom line: The data is backward-looking, but it's the latest indication of the Fed's tough road ahead. (Axios)

Indiana to Receive $187M for Broadband Expansion
What’s new: On Tuesday, the U.S. Treasury Department announced that Indiana is set to receive $187 million to expand its broadband capacity under the American Rescue Plan, connecting more than 50,000 Hoosiers to high-speed broadband internet.
The details: The funding comes from the federal Capital Projects Fund, with Indiana’s allocation composing more than a quarter of the total $408 million funding for five states. Indiana’s Next Level Connections Broadband Grant will administer the funds, which can be combined with prior grant allotments. 
By the numbers: The White House estimated that over 90,000 homes and businesses nationwide would benefit from the total funding, with over half of those impacted living in Indiana. Of the communities without broadband in Indiana, the funding may close the gap for 7.4% of those Hoosiers. 
What they’re saying:
  • Jacob Leibenluft, a counselor to Treasury Secretary Janet Yellen, said in a statement, “Our goal with the capital projects fund has been to make sure not only that families are connected to the internet but that their connection is affordable. This means that most qualifying households will receive Internet access at virtually no cost with these funds.”
  • Jodi Golden, Indiana’s Chief Broadband Officer, said “Broadband has been and continues to be a priority for the State. These funds will assist in the mission of expanding high-speed internet access to Hoosiers across the state”.


Indiana Governor Signs Executive Order to Ease Fuel Regulations
What’s new: In response to the fire at a BP oil refinery plant, Indiana Governor Eric Holcomb signed an executive order that temporarily dropped several fuel regulations and work hour restrictions.
Holcomb’s order:
  • Directs State Health Commissioner Dr. Kris Box to waive fuel volatility inspection and enforcement requirements through September 15.
  • Waives rules requiring distribution of fuel at specific levels of volatility at gas stations through the same date.
  • Exempts motor carriers and drivers who transport refined fuel in “direct response” to the shutdown from restrictions on the hours they can work, through September 10.
Governor Holcomb’s executive orders can be found here.

Job Market Slows in August
One of the great mysteries of the economy this year has been the combination of blockbuster jobs growth during a time of very low unemployment and complaints of a labor shortage.
Driving the news: ADP, the nation's largest payroll processor, debuted its new indicator of private-sector payrolls. It extrapolates data based on workers added or cut, and paychecks sent, by its own massive client base.
  • It showed private employers adding 132,000 jobs in August — a downshift from 270,000 in July, and the lowest reading since January 2021.
What they're saying: "We could be at an inflection point, from super-charged job gains to something more normal," said Nela Richardson, ADP's chief economist, in a statement accompanying the release. (Axios)

Indiana University Health Prepares for New Abortion Law to Take Effect
What’s new: Indiana’s new abortion law goes into effect on September 15th, and Indiana University Health, the state’s largest hospital system, has set up a “rapid-response team” to help its doctors seeking guidance on whether they can legally perform an abortion to protect the health of the mother and other situations.
By the numbers: Last year, IU Health performed 53 abortions, or less than 1% of the 8,414 total abortions performed in Indiana, according to figures from the Indiana Department of Health.
What they’re saying:
  • Dr. David Ingram, IU Health’s Chief Medicaid Executive, said in a statement, “We know this is new territory for many of our providers, and that has increased, certainly, the anxiety around whether they are making the right decisions.”
  • “We are going to continue to provide abortion care, legal abortion care, in our state, through our system for our patients who need it,” said Dr. Caroline Rouse, an obstetrician-gynecologist and medical director of maternity services at IU Health. “We know that abortion is safe. It is evidence-based. We will continue to provide that care within the parameters of the new law.”
(Inside INdiana Business)

Indiana Attorney General Releases Advisory Opinion on State's ESG Investments
What’s new: On Thursday, Indiana Attorney General Todd Rokita released an advisory opinion saying that Indiana and its investment managers can’t make government employee pension system investments based on environmental, social or governance criteria.
In a virtual event on Thursday, Rokita said,
  • “Woke big businesses are collaborating with their leftist allies to subvert the will of the people. This includes investing Hoosiers’ pensions in ways that work against the best interest of Indiana families.”
  • “For example, ESG investors make deliberate decisions not to invest in any fossil fuel companies, regardless of prospects for financial investment return, simply because investors are more committed to battling what they think is global climate change, than to making a return to savers,” Rokita said. “Other ESG goals include implementing critical race theory in corporate training programs.”
What’s next: Legislation on this issue has been filed for the last several years, and we can expect that it will show up again for the 2023 legislative session. (Indiana Capital Chronicle)


Important Dates

  • Wednesday, September 7th at 10am - Interim Study Committee on Roads and Transportation
  • Wednesday, September 7th at 10am - Administrative Rules Review Task Force
  • Tuesday, September 13th at 10am - 21st Century Energy Policy Development Task Force
  • Tuesday, September 20th at 10am - Interim Study Committee on Roads and Transportation
  • Tuesday, September 20th at 10:30 am - Interim Study Committee on Courts and Criminal Code
  • Tuesday, September 20th at 12pm - Interim Study Committee on Public Health, Behavioral Health, and Human Services
  • Wednesday, September 21st at 1pm - Interim Study Committee on Child Services
  • Thursday, September 22nd at 12:30pm - Administrative Rules Review Task Force
  • Monday, September 26th at 10am - 21st Century Energy Policy Development Task Force
  • Monday, September 26th at 1pm - Interim Study Committee on Pensions Management Oversight
  • Tuesday, September 27th at 10am - Interim Study Committee on Energy, Utilities, and Telecommunications
  • Wednesday, September 28th at 1:30pm - Interim Study Committee on Roads and Transportation
  • Thursday , September 29th at 10am - Housing Task Force
  • Monday, October 3rd at 11am - Interim Study Committee on Financial Institutions
  • Tuesday, October 4th at 10:30 am - Interim Study Committee on Courts and Criminal Code
  • Tuesday, October 4th at 12pm - Interim Study Committee on Public Health, Behavioral Health, and Human Services
  • Wednesday, October 5th at 10am - Interim Study Committee on Government
  • Wednesday, October 5th at 1pm - Interim Study Committee on Child Services
  • Monday, October 17th at 1pm - Interim Study Committee on Pension Management Oversight
  • Wednesday, October 19th at 10am - 21st Century Energy Policy Development Task Force
  • Thursday, October 20th at 10am - Housing Task Force
  • Thursday, October 20th at 12pm - Interim Study Committee on Public Health, Behavioral Health, and Human Services
  • Thursday, October 27th at 10am - Housing Task Force