Ind. Code ch. 5-28-44

in effect

Ind. Code § 5-28-44-1 Legislative intent; findings

Sec. 1. In enacting this chapter, it is the intent of the general assembly to advance the state's leadership position in technologies related to unmanned aircraft systems to foster more opportunities for citizens of the state with respect to unmanned aircraft system technology and related industries and to support the federal government in research, development, and testing in support of commerce and national security. The general assembly finds the following: (1) The FAA announced on January 8, 2026, that Indiana is designated as a test site for UAS. (2) The FAA notes that test sites help the United States assess emerging technologies to modernize methods for cargo delivery, Beyond Visual Line of Sight operations, and multiple UAS operations while informing safety and security, ushering in the safe commercialization of UAS technologies and fully integrating UAS into the national airspace system. (3) Indiana's designation as a test site was the result of a competitive process against other states and a joint application between the corporation and the operating partner. The proposal was developed under a contract between the corporation and the operating partner to pursue similar federal programs. (4) The FAA test site will require substantial reporting and compliance activities to comply with federal laws and regulations governing the federal UAS Test Site Program and ancillary activities and is desirable for efficiency, clarity, and transparency to avoid duplicating regulatory schemes at the federal and state levels. As added by P.L.87-2026, SEC.5.

Ind. Code § 5-28-44-2 "FAA"

Sec. 2. As used in this chapter, "FAA" means the Federal Aviation Administration. As added by P.L.87-2026, SEC.5.

Ind. Code § 5-28-44-3 "Operating partner"

Sec. 3. As used in this chapter, "operating partner" means the Indiana based nonprofit corporation that partners with the corporation to operate and maintain the UAS test site under supervision of the corporation. As added by P.L.87-2026, SEC.5.

Ind. Code § 5-28-44-4 "Test site"

Sec. 4. As used in this chapter, "test site" means the Indiana UAS test site awarded to the corporation by the FAA. As added by P.L.87-2026, SEC.5.

Ind. Code § 5-28-44-5 "UAS"

Sec. 5. As used in this chapter, "UAS" means an unmanned aircraft system, including counter UAS and other related entities. As added by P.L.87-2026, SEC.5.

Ind. Code § 5-28-44-6 Exemption from certain state requirments

Sec. 6. Subject to budget committee review, during the period that the test site remains subject to federal requirements as part of the UAS Test Site Program operated by the FAA, the corporation and operating partner are not subject to any state law concerning the following for purposes of operating the test site: (1) State procurement requirements. (2) State contracting requirements. (3) State fee setting requirements. As added by P.L.87-2026, SEC.5.

Ind. Code § 5-28-44-7 Establishment and administration of bank account

Sec. 7. (a) The operating partner shall establish a bank account that is separate and segregated from any other bank account under the operating partner's control and administer all funds for the test site in the bank account. (b) The operating partner may administer and deposit all income, earnings, and other receipts accrued through operation of the test site in the bank account, including any state or federal funding received through a contract, or as a grant or loan. (c) The operating partner may expend money from the bank account for operations of the test site, including costs for administration, staffing, equipment, test site activities, communications, and marketing. The operating partner may transfer revenue from the bank account to the corporation or any other state agency to be used for the following purposes: (1) To procure UAS technology for use by the state. (2) To pursue federal funding for activities related to UAS that benefit the state. (3) To support economic development activities related to UAS research or manufacturing. (d) The operating partner shall keep a full and complete record of funds received and disbursed by the operating partner. The report is subject to audit and must be submitted to the corporation board not later than July 1 of each year, or more often as required by the corporation. As added by P.L.87-2026, SEC.5.

Ind. Code § 5-28-44-8 Records and receipts of test site

Sec. 8. The state examiner, or deputy examiners, field examiners, or private examiners, shall make a full and complete report of the records and receipts of the test site. As added by P.L.87-2026, SEC.5.

Ind. Code § 5-28-44-9 Operating partner duties

Sec. 9. The operating partner shall do the following: (1) Respond to requests from local, regional, or state economic development organizations for assistance with economic activities intended to attract companies, or to develop clusters of activity, within the UAS sector. (2) Respond to requests from state agencies for expertise related to the procurement of UAS technology. (3) Respond to requests from state agencies for assistance with the development of new UAS test activities within particular economic sectors. As added by P.L.87-2026, SEC.5.

Ind. Code § 5-28-44-10 Responsibility for safe operation of test site

Sec. 10. The operating partner is responsible for carrying out the FAA's requirements and obligations for the safe operation and maintenance of the test site and for managing the day to day operations of the test site under supervision of the corporation. As added by P.L.87-2026, SEC.5.

Ind. Code § 5-28-44-11 Corporations authority to enter agreement with operating partner

Sec. 11. (a) Notwithstanding any other law, the corporation may enter into an agreement with the operating partner to fulfill the requirements of this chapter and any other applicable requirement from the FAA or another federal agency. (b) The corporation may dedicate resources as determined necessary and appropriate by the corporation to support the implementation and ongoing operation of the test site, including staff support, administrative support, and direct financial support. As added by P.L.87-2026, SEC.5.

Ind. Code § 5-28-44-12 Reporting requirements

Sec. 12. Not later than December 1, 2026, and, beginning after December 31, 2026, not later than June 1 and December 1 of each calendar year, the operating partner and the corporation shall submit a written report for review to the Indiana defense task force and the budget committee concerning the following: (1) An itemization of each of the expenditures of money from the bank account established under section 7 of this chapter since the last report to the budget committee and Indiana defense task force. (2) Anticipated expenditures for the subsequent six (6) months. (3) Funding sources for expenditures. (4) Any other information requested by the budget committee or the Indiana defense task force. As added by P.L.87-2026, SEC.5.

Source: Open US Law by Vaquill AI (CC BY 4.0)URL: https://iga.in.gov/laws/2026/ic/titles/5Fetched: 10/17/2026