Indiana is benefiting greatly from the Tax Cuts and Jobs Act enacted by congressional Republicans and President Trump:

513,700 Indiana households are benefiting from the TCJA’s doubling of the child tax credit.

Every income group in every Indiana congressional district received a tax cut. Nationwide, a typical family of four received a $2,000 annual tax cut and a single parent with one child received a $1,300 annual tax cut.

2,410,540 Indiana households are benefiting from the TCJA’s doubling of the standard deduction. Thanks to the tax cuts, nine out of ten households take the standard deduction which provides tax relief and simplifies the tax filing process.

106,750 Indiana households are benefiting from the TCJA’s elimination of the Obamacare individual mandate tax. Most households hit with this tax made less than $50,000 per year.

Lower utility bills: As a direct result of the TCJA’s corporate tax rate cut, Indiana residents are saving money on utility bills. Lower electric, water, and gas bills help households and small businesses operating on tight margins. For example, at least seventeen Indiana utilities reduced their customers' bills (see below).

Thanks to the tax cuts, Indiana businesses of all sizes are hiring, expanding, raising pay and increasing employee benefits:

AndyMark, Inc. (Kokomo, Indiana) – This mechanical and electrical parts supplier is expanding and hiring thanks to tax reform:

Andy Moser, president and owner of AndyMark, which operates from a facility on North Washington Street and manufactures and distributes mechanical and electrical parts for the competitive robotics market, said savings from the tax cut has accelerated his plans to hire more workers.

He said the company currently employs 25 full-time workers and up to 30 part-time and seasonal workers. Now, Moser anticipates doubling his workforce in the next five to 10 years.

“I think the tax bill is going to accelerate our growth,” he said. “We want more diversity with our business and more vertical integration, which requires more staff, and the tax cut its going to accelerate all that.” – Jan. 14 2018, Kokomo Tribune article excerpt

Old National Bancorp (Evansville, Indiana) - Increased 401(k) match to 75% of the first 4% contributed into the Plan, and 50% of the next 4% contributed into the Plan, for a total maximum match of 5% (previously matched 50% of the first 6% contributed into the Plan, for a total maximum match of 3%) - Accessed August 31, 2018, American Bankers Association “Tax Reform Allows Banks to Invest in Employees and Communities” list

BWX Technologies, Inc. (Mt. Vernon, Indiana) -- Hiring more than 170 new employees because of tax reform. The company is also investing $210 million in Indiana and Ohio thanks to tax reform:

BWX Technologies, Inc., a supplier of nuclear components and fuel to the U.S. government, is hiring more than 170 new employees and further expanding its operations across three manufacturing facilities in Ohio and Indiana over the course of the next four years, investing approximately $210 million in these two states as a result of tax reform.

“Due to tax reform, we saw a favorable impact to our tax rate of about 8 to 10 percent,” said Rex Geveden, BWXT’s president and chief executive officer. “This has resulted in significant cash savings that we have used for various needs, including reinvestment of capital into our business and hiring additional employees for future growth.” -- July 22, 2019 National Association of Manufacturers Shop Floor Blog

Albanese Confectionery (Merrillville, Indiana) – Up to $2,000 bonuses annually for as long as tax reform stays in effect, expanded parental leave benefits:

Employees of Albanese Confectionery, an Indiana-based candy manufacturing company, have received up to a $2,000 Tax Reform Bonus. The bonuses were determined by an employee’s length of service but even brand-new hires received $150. The best part, this bonus will happen ANNUALLY as long as the Tax Reform Bill stays in effect. Employees can expect their ANNUAL Tax Reform Bonus every January.

“Taxes are complicated. With the new tax plan we are able to take a giant leap in investing in the things that matter. You matter. It’s just that simple.” Officer Tess Albanese said to employees during their meeting on January 16^th.

Albanese Confectionery also expanded their benefits to include new programs such as paid maternity and paternity leave. – Albanese Confectionery press release

Cardinal Manufacturing Company, Inc. (Indianapolis, Indiana) -- employee raises, bonuses, and profit sharing distributions:

Cardinal is the leading manufacturer of Interior Signage in the Midwest.  We are pleased
and proud to announce our small business is rewarding our (17) Team Members at this time in 2018:  Profit sharing Bonuses for those enrolled in the plan, bonuses for those new employees that are not yet eligible to enroll, and an average pay increase of over $1.00 per hour, across the board, to our fantastic team. Cardinal will also use the additional funds available from the new tax cuts to invest in our Company’s growth and development. -  August 13, 2018, Laura Mulligan, President of Cardinal Manufacturing Company Inc.

 

Blue Harbor Development (Michigan City, Indiana) -- The company is building an apartment complex in an Opportunity Zone created by the Tax Cuts and Jobs Act.: 

A few months ago, 113 York St. in Michigan City was a vacant, dilapidated building in the historic Elston Grove neighborhood.

Built in 1871, the two-story masonry structure served as a storage and distribution facility for the P.H. Zorn Brewing Co. It featured exposed brick, an archway, wooden beams and other 19th century characteristics, and 12,000 square feet of space.

It's been vacant since the 1970s. Not anymore.

She said the project, known collectively as The Barrelhouse, is the first Opportunity Zone investment in the area - Elston Grove was declared an Opportunity Zone in 2018.

It also fits her company's mission to create "value-added" properties, and to renovate and protect buildings with historic value in Michigan City and surrounding areas.

And the opportunity zone designation created more incentives.

Michigan City created three opportunity zones under the federal Tax Reform and Jobs Act of 2018. The goal is "to encourage economic growth and investment in designated distressed communities by providing federal income tax benefits to taxpayers who invest in business located within these zones," said Clarence Hulse, EDCMC executive director.

According to the EDCMC, benefits to developers include:

A temporary deferral on the payment of existing capital gains tax until the end of 2026, or the year the Opportunity Fund investment is sold or exchanged if under 5 years

Temporary tax deferral plus a 10 percent reduction on capital gains taxes owed if the asset is held for a period of five to seven years

An additional 5 percent reduction on capital gains taxes owed if the asset is held for a period of seven to 10 years (15 percent total)

A full tax exemption on investments provided the investor stays for 10 years or longer.

"There's a lot of excitement over this, a lot of excitement right now for what's going on here." -- June 11, 2020 The News-Dispatch article

Eli Lilly (Indianapolis, Indiana) - Opened a new research facility, plans to create 100 jobs, as well as invest $400 million in manufacturing facilities.

The latest tax reform win comes from Indiana, where pharmaceutical manufacturer Eli Lilly and Co. recently opened a new $75 million research facility in Indianapolis. The company’s CEO credited tax reform and other pro-growth policies that helped make it possible.

“Congress and this (presidential) administration have enhanced our ability to acquire and develop U.S.-born innovation,” Dave Ricks, chairman and CEO of Lilly, said in a statement. “The tax reforms they’ve adopted place U.S. companies like Lilly on a level playing field with our global peers.”  - July 9, 2018, National Association Of Manufacturers Shopfloor blog excerpt

Eli Lilly and Company plans to create 100 new jobs by investing $400 million in manufacturing facilities at its Lilly Technology Center campus in Indianapolis. 

The company announced they plan to invest the money in enhancements to existing manufacturing facilities used to make insulin and other diabetes medications, and initial capital investments to manufacture future medicines, according to a press release from the company. 

“These investments demonstrate Lilly’s commitment to our manufacturing footprint in Indiana and the United States, and have been made possible by the tax reform measures passed by Congress in 2017,” David A. Ricks, Eli Lilly’s chairman and chief executive officer, said in a press release. "This is crucial for us to continue to advance our state’s economy and drive future investment – adding high-tech jobs and facilities that keep Indiana competitive in the global marketplace.” -- Nov. 20, 2019 The Indy Channel

TWG Development (Seymour, Indiana) -- The company is building an affordable apartment complex that will be located on a Opportunity Zone created by the Tax Cuts and Jobs Act: 

A developer is taking steps to build a 54-unit apartment complex in Seymour in an effort to provide more affordable housing and attract more workers to fill available jobs at businesses.

The proposed three-story building will consist of two- and three-bedroom units and target families making an annual salary of $30,000 to $40,000, said Sam Rogers with TWG Development in Indianapolis.

Rogers provided details about the $9.7 million project, including its location, to city officials during a city council meeting Monday night.

The apartments are to be built in a vacant grassy lot along Miller Lane behind the Poynter Ford auto dealership. The property is located in Seymour's Opportunity Zone, which is a federally designated area targeting low-income areas for development. -- July 24, 2019, The Tribune Article.

Dora Hospitality Group (Indianapolis, Indiana) -- The company is bringing a new hotel that will be located in an Opportunity Zone created by the Tax Cuts and Jobs Act:

The new owner of the iconic King Cole building at 1 N. Meridian St. plans to turn the 104-year-old edifice into a hotel, following the lead of several other downtown building owners.

On the heels of the King Cole news came an announcement from Fishers-based Dora Hospitality Group that it's teaming up with the owner of Shapiro's Delicatessen to build a 118room, six-story Intercontinental-branded hotel on the south side of downtown at Meridian and Sycamore streets.

Details about the King Cole project are scarce, but plans filed with the city describe the project as "King Cole building hotel," and a renovation permit issued by the city notes interior demolition.

The building owner is Indy Propeo LLC, which bought the building in January from West Coast Properties LLC for $3.9 million.

Several tenants of the 11-story, 1915 building told IBJ they have either already moved out or have been asked to vacate by the building's owner.

The building owner's address is the same as the Chicago address for The Gettys Group, a hospitality-industry developer that works with more than a dozen hotel brands, including Ritz-Carlton, Marriott, Hilton Worldwide, Hyatt, Radisson and Holiday Inn.

The Gettys Group declined to comment about the King Cole project.

The hotel to be built across from Shapiro's Delicatessen by Dora and Shapiro will mark the debut of InterContinental Hotels Group's Even Hotels brand in Indianapolis.

To be completed in fall 2020, the hotel is being built on land owned by the Shapiro family. The land is part of an Opportunity Zone established by the state, a designation that will provide tax breaks to the investors.

Developers say the hotel will offer a full gym, a glass enclosed media and meeting room, a piano, and wellness amenities. It also will have an open-air bar and what it calls an "unplugged area," where guests can play board games as well as eat and drink. -- August 30, 2019 Indianapolis Business Journal article

Waypoint Residential (Jeffersonville, Indiana) -- The company is building an apartment complex in an Opportunity Zone created by the Tax Cuts and Jobs Act:

Waypoint Residential, a US-based real estate investment management firm, has unveiled plans to develop a multifamily property, dubbed Walcott Jeffersonville, in Jeffersonville, Indiana.

To be located in the Old Jeffersonville Historic District opportunity zone, the 214-unit, Class A development will feature a mix of studio, one- and two-bedroom units.The residential development will be located in Historic Downtown Jeffersonville directly across the street from the Big 4 Station Park. It will benefit from the on-going revitalisation of Jeffersonville's downtown and waterfront, which includes new restaurants, bars, boutiques and the Riverfront floating amphitheatre.Furthermore, the Big Four Bridge offers easy access to the Kentucky Center for the Performing Arts and the hot NuLu and Butchertown neighbourhoods across the river in Louisville, Kentucky.Waypoint Residential CEO Scott Lawlor said: "The Walcott Jeffersonville is our second investment in the greater Louisville MSA, and our first in Jeffersonville."The City of Jeffersonville's revitalization strategy, in the broader context of a diverse and growing economy in the MSA, presented a compelling investment opportunity. It is a deal we had under contract before the opportunity zone designation, which is an added benefit."The project will also include luxury amenities, such as a resort-style pool and a fitness centre, an Internet café, an indoor-outdoor rooftop terrace overlooking the park and river, an automated parcel system and a pet spa.Waypoint Residential chief development officer Eric Hade said: "The Walcott Jeffersonville is ideally located in the heart of the revitalization of Historic Jeffersonville with doorstep access to the dynamic, emerging live-work-play environment on the Indiana side of the Ohio River, while providing convenient access to the employment, recreational and entertainment options across the river in Louisville."The Walcott will provide a ‘best of both worlds' luxury housing solution in what we feel is one of the most exciting areas along the Ohio Riverfront."Construction of the project is targeted for completion in mid-2020.With six offices across the US, Waypoint Residential acquires and develops conventional multifamily, student housing and senior housing properties throughout the nation. -- January 24, 2019 press release

Economic Development Corp. (Michigan City, Indiana) -- The company is building a 52-unit condo building located in an Opportunity Zone created by the Tax Cuts and Jobs Act:

 If you've ever dreamed of a lakefront home on Lake Michigan, a developer is bringing more options to the market.

Washington Landing Condos is building more waterfront condos with sweeping views of Lake Michigan and a "signature restaurant" in Michigan City.

Construction of the new 100 Washington Landing condo building is expected to start this fall.

The 52-unit condo building in downtown Michigan City will stand five stories tall and will be located on the edge of Washington Park, within walking distance of the beach, marina, Washington Park Zoo and other destinations.

It will be west of the existing row of lakefront housing that flanks Trail Creek as it empties into Lake Michigan. The developers say the project's "modern, sleek and simple design maximizes the stunning lake views as the main attraction."

Jenilee Haynes Peterson, economic development manager for Economic Development Corp. Michigan City, said it will be the first new waterfront housing to be built along the Lake Michigan shoreline in Michigan City in at least a decade.

"There's a pent-up demand," she said. "They just started selling pre-sales last week, and sold the seven units they had up for presale right away."

All the units have lake views. They're all 1,000 square feet with two bedrooms and two bathrooms.

"I am excited at this level of investment for Michigan City," EDCMC Executive Director Clarence Hulse said.

"This caliber of project is definitely raising the bar and is the first of many new projects coming to Michigan City. Having progressive leadership, Opportunity Zone and creative strategies to attract investors will keep Michigan City at the forefront for new investments." -- April 10, 2019 NWI Times article

Family Express (Valparaiso, Indiana) -- Base wage raised to $11 per hour:

Valparaiso-based Family Express, which has 70 convenience stores across Indiana and is in the process of building 10 more, is bumping its starting wage to $11 an hour.

The 43-year-old convenience store chain is raising entry-level pay by $1 an hour, after pre-empting national retailers like Walmart with above-market starting wages in April 2015. Family Express said it was boosting pay because of the tax cuts that reduced the corporate tax rate from 35 percent to 21 percent and as a bid to recruit quality employees and reduce turnover.

“We feel obligated to pass on a significant portion of the tax savings to our staff," Family Express President and CEO Gus Olympidis said. -- Feb. 5 The Times of Northwest Indiana article excerpt

Hoosier Park Casino (Anderson, Indiana) - Employee bonuses:

“a company in my district, one of the larger employers, Hoosier Park Casino, all employees received a $500 bonus after the Tax Cuts & Jobs Act was announced” - June 28, 2018, Rep. Susan Brooks statement on U.S. House Floor

Cobblestone Inn and Suites (Brookville, Indiana) -- The hotel opened up in an Opportunity Zone created by the Tax Cuts and Jobs Act:

Brookville, IN—Thursday, the groundbreaking ceremony for the Cobblestone Inn and Suites was held in Brookville on the future site, located at 9135 US 101.

Jenny Wilz, Major investor of Cobbles Stone Inn and Suites stated that the venture was all started when Tourism conducted a feasibility study for the community to see if Brookville and Franklin County could support the need for a hotel and then an opportunity zone grant became available. This is when Jenny Wilz along with her husband Mick, of Brookville, started to express their interest in investing in a hotel for the town.

Cobblestone came for a visit to Brookville in January of 2019 to look for sights. The final site was not on the original list of sites for the hotel, but it became the perfect option according to Wilz.

According to Brian Wogernese, President and CEO of Cobblestone Hotels, the Brookville location will be a 2 story, 45 room facility. The entrance will be in the center of that facility. Other amenities will include overflow parking for boats, a gift shop for forgotten items, and a bar with hot breakfast daily. Currently, the hotel is slated to open in early July of 2020. -- October 25, 2019 WRBI article

Cobblestone Inn and Suites (Brookville, Indiana) -- The hotel opened up in an Opportunity Zone created by the Tax Cuts and Jobs Act:

Brookville, IN—Thursday, the groundbreaking ceremony for the Cobblestone Inn and Suites was held in Brookville on the future site, located at 9135 US 101.

Jenny Wilz, Major investor of Cobbles Stone Inn and Suites stated that the venture was all started when Tourism conducted a feasibility study for the community to see if Brookville and Franklin County could support the need for a hotel and then an opportunity zone grant became available. This is when Jenny Wilz along with her husband Mick, of Brookville, started to express their interest in investing in a hotel for the town.

Cobblestone came for a visit to Brookville in January of 2019 to look for sights. The final site was not on the original list of sites for the hotel, but it became the perfect option according to Wilz.

According to Brian Wogernese, President and CEO of Cobblestone Hotels, the Brookville location will be a 2 story, 45 room facility. The entrance will be in the center of that facility. Other amenities will include overflow parking for boats, a gift shop for forgotten items, and a bar with hot breakfast daily. Currently, the hotel is slated to open in early July of 2020. -- October 25, 2019 WRBI article

Quake Manufacturing (Fort Wayne, Indiana) – $1,000 bonuses, enhanced insurance benefits, gym memberships:

Quake realized there was some extra money after Trump’s tax plan took over. So he decided to give it back to his 12 employees. “I’ve managed to add long-term disability, short-term disability, dental insurance.”

Plus everyone gets a $1,000 bonus and a paid gym membership. A nice surprise on their next check. “I want to reward the guys. Guys have been working hard. A lot of guys have been putting in a lot of overtime. I just don’t see any reason not to kick back to them.” – Feb. 21 2018, Wane.com article excerpt  

1st Source Corporation (South Bend, Indiana) -- 10 shares of stock; base pay increases:

1st Source Corporation announces important investments in its people as a result of record performance in 2017 and new tax legislation opportunities. These new investments include the following:

• The issuance of 10 shares of 1st Source stock currently valued at $500.00 in early 2019 (which must be held for three years) to all employees who were active with the company December 31, 2017 and are also active with the company on December 31, 2018.
• An additional performance award base pay increase of $500.00 to eligible colleagues.
• A significant increase in the company's higher education tuition reimbursement program to an annual benefit of $6,000 from $3,000.

Christopher J. Murphy III, Chairman and CEO stated. "We believe in shared ownership among all our colleagues at 1st Source. We also believe the new tax act gives us additional funds to invest in the company's long term future. -- Jan. 31, 2018 1st Source Corporation

First Farmers Bank & Trust (Converse, Indiana) – minimum bonus of $750 to each full time employee; base wage will rise by $2.50 per hour:

In response to the recently passed legislation affecting corporate tax, Gene Miles, President and CEO of First Farmers Bank & Trust recently announced a new corporate wage and community support program that commits to four points of emphasis.

1.      Raise the minimum hourly starting wage by $2.50 for all new FFBT employees.
2.      Provide a minimum year-end bonus of $750 annually to all full time FFBT employees.
3.      Invest a minimum of $250,000 annually to community development and support of local branch markets.
4.      Invest a minimum of $150,000 annually to FFBT employee development and education.

“With this special opportunity, we are pleased to further our commitment to our community and to our people. Since 1885, First Farmers has prided itself in supporting the communities in which we serve and our employees are the primary reason for our corporate success and growth”, Gene Miles, President and CEO, First Farmers Bank & Trust. – Dec. 26, 2017 First Farmers Bank & Trust statement

First Merchants Corporation  (Muncie, Indiana) – $1 per hour wage increase for hourly employees; $500 bonuses for full-time employees, excluding senior management; pro-rated bonus for part-time employees:

First Merchants Corporation (NASDAQ:FRME) announced today that it will raise the wage paid to hourly employees by $1 per hour as a result of the Tax Cuts and Jobs Act of 2017 signed by President Trump in Dec. 2017.

Additionally, as a reward for the company’s strong 2017 performance, all associates, excluding senior management, will receive a $500 one-time cash bonus. Part-time associates will receive a pro-rated share.

The compensation investments will impact nearly 90 percent of First Merchants’ 1,700 employees and will be in addition to the company’s existing incentive programs and annual merit increases.

“My colleagues at First Merchants provide superior service to our clients and devote themselves to the communities we serve every day,” said First Merchants President and CEO Michael C. Rechin.  “We are proud to share the savings provided by the tax reform package to reward their hard work and dedication with an increase in compensation.” – Jan. 16, 2018 First Merchants Corporation press release

MainSource Financial Group (Greensburg, Indiana) – Base wage raised to $15 per hour:

MainSource Financial Group (NASDAQ: MSFG) will raise the starting pay and minimum hourly rate to $15 an hour effective immediately for all of its non-exempt, non-commissioned employees. This announcement comes as a result of the recently passed tax legislation, which includes a reduction in corporate tax rates.

Approximately 1,000 associates are employed throughout the MainSource footprint in Ohio, Indiana, Illinois and Kentucky. The pay increase will affect over 200 employees.

Archie M. Brown, Jr., President and CEO, stated, "The recently passed tax legislation is anticipated to create significant savings for our company. We are pleased to direct a portion of this savings back to many of our employees with a meaningful increase in pay." – Jan. 3, 2018 MainSource Financial Group press release

Mutual Bank (Muncie, Indiana) -- $750 bonuses for all non-executive employees; hourly employees will also receive a $.50 pay raise per hour:

CEO Dave Heeter said,” When an event like this occurs, a significant consideration is determining if the increased earnings resulting from the reduction in taxes, should be shared with a company’s constituents.” Heeter continues, “In the anticipation that the change in the tax law will provide an opportunity for greater earnings moving forward, we feel that sharing a portion of those earnings with our outstanding staff is appropriate.”

In the first quarter of 2018, MutualBank will distribute a $750 one-time payment for all full-time and part-time employees except for the Executive Management Team. Additionally, all non-exempt employees will receive a $0.50 increase in their hourly wage.  -- Jan. 20, 2018 MutualBank press release

Fifth Third Bancorp  – 123 locations in Indiana; Nationally $1,000 bonuses for 13,500 employees and base wage raise increase to $15:

Newly passed tax legislation includes a reduction in corporate tax rates designed to spur economic growth. Carmichael said the tax cut allowed the Bank the opportunity to reevaluate its compensation structure and share some of those benefits with its talented and dedicated workforce.

Carmichael said the higher wage is an important step to help support individuals, their families and the communities in which we operate. Fifth Third has a history of investing in its 18,000 employees.

Once the legislation is signed into law, nearly 3,000 hourly employees will see their pay increase to $15 an hour. The one-time $1,000 bonus is expected to be distributed by the end of the year, assuming the president signs the bill before Christmas. Senior managers and executive leadership are excluded from this compensation.

“It is good for our communities, employees and Fifth Third Bank,” [President and CEO Greg] Carmichael said. – Dec. 20, 2017 Fifth Third press release

First Financial Bancorp -- 12 bank locations in Indiana, base wage raised to $15 per hour; $3 million charitable contribution:

First Financial Bancorp (Nasdaq: FFBC) will raise the starting wage for all new and existing hourly associates to $15 an hour effective immediately. Additionally, the bank has made a $3 million contribution to its newly established charitable foundation. This announcement comes as a result of the recently passed tax legislation, which includes a reduction in corporate tax rates.

First Financial strives to provide fair and competitive salaries and benefits to its associates. Approximately 1,335 associates are employed throughout the First Financial footprint in Ohio, Indiana and Kentucky. The increase will affect 220 of these associates.  – Jan. 3, 2018 First Financial Bancorp press release

Centaur Gaming LLC (Indianapolis, Indiana) – $500 bonus:

Centaur Gaming is reinvesting some of the money it will be saving under the Tax Cuts and Jobs Act back into its employees by giving them a $500 bonus. 

The president of the company, Jim Brown, announced at a meeting Wednesday morning that all full, part and seasonal employees would be receiving a one-time check for $500. The company will also be paying all taxes and the employee and company 401K portions of those bonus checks. – March 7 2018, WRTV article excerpt

Aqua Indiana, Inc. (Jeffersonville, Indiana) -- the utility will pass along tax cut savings to customers:

The tax rate embedded in the utility's recurring rates is 35%. The utility requests to reduce its recurring rates to reflect the new 21 % tax rate per the Tax Cuts and Jobs Act of 2017. - May 16, 2018 Indiana Utility Regulatory Commission order

Northern Indiana Public Service Company (Merrillville, Indiana) -- the utility will pass along tax cut savings to customers:

Merrillville-based Northern Indiana Public Service Co. announced Monday it was changing its request that was submitted in September to the state utility commission. The change reduces the rate increase NIPSCO is seeking from nearly 23 percent to about 19 percent.

The company says that would mean about $26 million less a year in increased billing charges to its some 820,000 gas customers. - January 29, 2018 Daily Herald article excerpt

Vectren Energy Delivery of Indiana, Inc. (Evansville, Indiana) -- the utility will pass along tax cut savings to customers:

Vectren North shall return the Tax Regulatory Liability to its retail customers through a separate component (the “Tax Refund Credit”) to be established in Cause No. 44430 TDSIC 9 to be initiated by October 2, 2018. The Tax Refund Credit shall be designed to return the Tax Regulatory Liability to customers over a six month period and be incorporated into Vectren North’s Compliance and System Improvement Adjustment (“CSIA”) mechanism. As the amounts recorded for the Tax Regulatory Liability are captured by Rate Schedule by taking the change in base rates multiplied by the actual throughput for this period, Vectren North will refund the Tax Regulatory Liability by Rate Schedule. Vectren North shall provide the other Settling Parties workpapers demonstrating the calculation of the Tax Refund Credit within the CSIA by August 2, 2018. Any over- or under-recovery associated with the Tax Refund Credit will be captured within subsequent  CSIA filings as a CSIA variance - June 1, 2018 Indiana Utility Regulatory Commission filing: 

Midwest Natural Gas Corporation (Washington, Indiana) -- the utility will pass along tax cut savings to customers:

Midwest is proposing a volumetric refund to customers that is class specific. We believe the refund should occur in the same four calendar months, of 2019, it was created in 2018. This gives us the best opportunity to refund the over collection back to the customers that created it, generally in proportion to their contribution. Spreading it over all 12 calendar months tends to favor industrial customers with a significant summer base load over the weather-sensitive customers that helped create the refund. The refund will be divided over the GCA estimated sales volumes, which are generally based upon the average of several years. At the end of April 2019, we would reconcile the refund dollars, with any differences being included in GCA variances at that time. - June 19, 2018 Indiana Utility Regulatory Commission filing

Fountaintown Gas Company, Inc. (Morristown, Indiana) -- the utility will pass along tax cut savings to customers:

Fountaintown has proposed to refund the over collection of tax funds from January 1, 2018 through April 30, 2018 by refunding $81,293. Fountaintown has proposed that such refund occur through a tracking mechanism that will begin in January 2019 and run through April 30, 2019 in order to refund the over collection as closely as possible to the customers by class who paid such over collection. The OUCC agrees to both the amount and the proposed tracker mechanism. Based on the evidence of record, we find that the over collection between January 1, 2018 and April 30, 2018 in the amount of $$81,293 should be refunded to the customer classes as proposed by Fountaintown. This refund of over collected tax dollars will begin in January 2019 and run through April 30, 2019 in order to more closely match the refund to the customer who provided such funds. - November 2, 2018 Indiana Utility Regulatory Commission filing

South Eastern Indiana Natural Gas Company, Inc. (Milan, Indiana) -- the utility will pass along tax cut savings to customers:

South Eastern requests to revise portions of its IURC No. G-11 tariff to reflect the amortization of $176,222 in Excess Accumulated Deferred Income Taxes over 19.65 years as a result of the Commission’s investigation into the impacts of the Tax Cuts and Jobs Act of 2017 and the subsequent Order in Cause No. 45032 S13. The rate adjustment will result in $8,968 being amortized annually and will lead to a $12,324 annual reduction to South Eastern’s revenue requirement after being adjusted for taxes and fees. - May 17, 2019 Indiana Utility Regulatory Commission memorandum

American Suburban Utilities, Inc. (Fort Wayne, Indiana) -- the utility will pass along tax cut savings to customers:

The rate reduction took effect for all bills that were rendered on July 1, 2018. Accordingly, there are five months for which service was billed after the tax cut at the prior rates, because ASU bills in arrears. He provided a total estimated deferred liability of $79,042.72. ASU proposed to divide this amount by 3 and for each of the first three months after the Phase 3 tariff in Cause No. 44676 is effective, to provide a bill credit equaling one-third of the deferred liability. In this way, the Phase 3 tariff will step in over four months rather than one. He testified that ASU expected to file the Phase 3 tariff before the end of 2018, but that if for some reason the tariff had not been submitted before March 31, 2019, ASU would file a tariff to reflect a one-time credit to exhaust all of the deferred liability in a single month. - December 10, 2018 Indiana Utility Regulatory Commission filing

Indiana American Water (Greenwood, Indiana) -- the utility will pass along tax cut savings to customers:

Indiana American Water announced today that its water customers across the state will soon start seeing lower monthly bills. The decrease, which amounts to approximately $1.04 per month (2.77 percent) for a residential customer using 4,000 gallons per month, is the result of the resolution of certain accounting issues related to the Tax Cuts and Jobs Act (TCJA) of 2017. - June 26, 2020 Indiana American Water press release

Ohio Valley Gas Corporation (Winchester, Indiana) -- the utility will pass along tax cut savings to customers:

The Parties have agreed that OVG should pay the excess accumulated deferred amount of $4,012, 142 to its customers over 34.25 years based on the average rate assumption method ("ARAM"). The first such refund payments will be reflected on customer bills starting January 1, 2019. Consistent with ARAM, the amount of the annual payment will vary each year and be implemented through a separate adjustment to OVG's volumetric rates for utility service ("EDIT Tracker") based on customer allocations and rate design approved in OVG's most recent base 2 rate case. The baseline EDIT Tracker for each of the next 35 calendar years is shown on the attached Exhibit A titled "EDIT Annual Amounts to be Returned." These baseline trackers will be further adjusted by February 15 of each year after 2019 to true-up the amounts returned the previous year in comparison to the target amount on which the EDIT Tracker for that previous year was based. - November 15, 2018 Indiana Utility Regulatory Commission filing

Indianapolis Power & Light (Indianapolis, Indiana) -- the utility will pass along tax cut savings to customers:

Today, the Indiana Utility Regulatory Commission (Commission) issued an Order in the Indianapolis Power & Light (IPL) rate case, Cause Number 45029. The Order included the Commission’s approval of a settlement agreement filed by most of the parties involved in the case. In the Order, the Commission authorized the utility to implement rates designed to produce additional annual revenue of approximately $43.877 million. The utility’s original request was for $124.491 million. In February 2018, IPL lowered its request from the original $124.491 million to $96.731 million following the passage of the federal Tax Cuts and Jobs Act of 2017 (TCJA). As stated in the approved settlement agreement, IPL will also provide an additional credit of $14.3 million to customers over two years to reflect the impact of the TCJA on IPL’s current rates for the period before new base rates go into effect. The Commission has previously approved a $9.51 million credit in the specific tax investigation case for this utility. - October 31, 2018 Indiana Utility Regulatory Commission press release

Boonville Natural Gas Corporation (Boonville, Indiana) -- the utility will pass along tax cut savings to customers:

Boonville requests to revise portions of its IURC No. G-3 tariff reflecting the new tax rate applicable to Boonville as a result of the Tax Cuts and Jobs Act of 2017 for all affected rates and charges in its IURC No. G-3 tariffs. - April 30, 2018 Indiana Utility Regulatory Commission order

Community Natural Gas Company (Spencer, Indiana) -- the utility will pass along tax cut savings to customers:

Community requests to revise portions of its IURC No. G-4 tariff reflecting the new tax rate applicable to Community as a result of the Tax Cuts and Jobs Act of 2017 for all affected rates and charges in its IURC No. G-4 tariffs. - April 30, 2018 Indiana Utility Regulatory Commission order

L.M.H. Utilities Corporation (Lawrenceburg, Indiana) -- the utility will pass along tax cut savings to customers:

The tax rate embedded in the utility's recurring rates is 28.91 %. The utility requests to reduce its recurring rates to reflect the new 21 % tax rate per the Tax Cuts and Jobs Act of 2017. - June 13, 2018 Indiana Utility Regulatory Commission order

Indiana Natural Gas Corporation (Paoli, Indiana) -- the utility will pass along tax cut savings to customers:

Indiana Natural requests to revise portions of its IURC No. G-3 tariff reflecting the new tax rate applicable to Indiana Natural as a result of the Tax Cuts and Jobs Act of 2017 for all affected rates and charges in its IURC No. G-3 tariffs. - April 30, 2018 Indiana Utility Regulatory Commission order

Indiana Utilities Corporation (Corydon, Indiana) -- the utility will pass along tax cut savings to customers:

Indiana Utilities requests to revise portions of its IURC No. G-12 Tariff for Gas Service reflecting the new tax rate applicable to Indiana Utilities as a result of the Tax Cuts and Jobs Act of2017 for all affected rates and charges in its IURC No. G-12 Tariff for Gas Service. - April 30, 2018 Indiana Utility Regulatory Commission order

 

Duke Energy Indiana (Plainfield, Indiana) -- the utility will pass along tax cut savings to customers:

Plainfield-based Duke Energy Indiana has reached a settlement with the Indiana Office of Utility Consumer Counselor and other parties regarding the disbursement of savings to customers from the passage of the Tax Cuts and Jobs Act. The utility says customers will receive approximately $142 million in annual savings.

The OUCC says when the legislation went into effect in January, the federal tax rate for most investor-owned utilities fell from 35 percent to 21 percent. As a result, the average residential customer will see their monthly bill reduced by about 5 percent, or $7.33, in 2018.

"The federal tax act is an opportunity for us to lower customer bills and help offset future rising costs," said Duke Energy Indiana President Melody Birmingham-Byrd. "We’ve reached an agreement to pass along tax savings embedded in our electric rates over the next two years. It’s a constructive agreement that reduces rates while still preserving our credit quality, which is important for keeping customer bills low."

Duke Energy says it began reflecting the lower federal tax rate in customers' bills earlier this year. The settlement, which included the Indiana Industrial Group and Nucor Steel, also proposes reducing base rates in September to reflect the lower tax rate. It also includes refunds of accumulated deferred taxes in 2018 and 2020. - June 28, 2018, Inside Indiana article excerpt

Indiana-Michigan Power (Fort Wayne, Indiana) – The utility will pass along tax cut savings to customers:

The Indiana Utility Regulatory Commission approved an order Wednesday allowing the Fort Wayne-based company to boost its Indiana customers’ rates about 7.3 percent, allowing it to raise $96.8 million in new revenue.

The Journal Gazette reports Indiana Michigan Power had initially sought a 20 percent rate increase to generate $263 million in new revenue.

That was reduced under a settlement between the company, Indiana’s state consumer advocate and several cities, companies and advocacy groups.

Some of the decrease was also attributed to the recent federal tax cuts. – May 31, 2018, AP article excerpt

FedEx (Multiple locations in Indiana) FedEx is investing $1.5 billion to expand the FedEx Express Indianapolis hub. Nationwide, FedEx committed more than $3.2 billion in wage increases, bonuses, pension funding due to the tax cuts. Pay raises, bonus increases, pension plan increases, and at least $1.5 billion in capital expenditures:

“FedEx Corporation is announcing three major programs today following the recently enacted U.S. Tax Cuts and Jobs Act:

• Over $200 million in increased compensation, about two-thirds of which will go to hourly team members by advancing 2018 annual pay increases by six months to April 1st from the normal October date. The remainder will fund increases in performance- based incentive plans for salaried personnel.
• A voluntary contribution of $1.5 billion to the FedEx pension plan to ensure it remains one of the best funded retirement programs in the country.
• Investing $1.5 billion to significantly expand the FedEx Express Indianapolis hub over the next seven years. The Memphis SuperHub will also be modernized and enlarged in a major program the details of which will be announced later this spring.

FedEx believes the Tax Cuts and Jobs Act will likely increase GDP and investment in the United States.

The company has made no change to its fiscal 2018 earnings or capital expenditure guidance as issued on December 19, 2017 as a result of these actions.” – Jan. 26 2018, FedEx press release

OneMain Holdings, Inc. (Evansville, Indiana) – Bonuses and base wage increases:

OneMain Holdings Inc. will use part of its savings from the reduction in the federal corporate tax rate to raise its minimum wage for employees and provide a special bonus, President and CEO Jay Levine said. – Feb. 16, 2018 SNL Financial Services Daily article excerpt

Muncie Aviation Company (Muncie, Indiana) – Tax reform bonuses for all employees:

Muncie Aviation Company will pay a bonus to all employees during the first week of March, "due in part to the Trump (Tax Cuts and Jobs Act of 2017) and in part to the record economic results posted by the company for 2017," the company announced this week.

"The company believes that the favorable business climate will increase opportunities in the coming years," a release stated. A reception for the employees/owners will be held immediately after the awarding of the bonus at Merk's restaurant, which is located in Muncie Aviation's administrative building at the Delaware County Regional Airport.

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The company employs 55 full-time and eight part-time people. – March 2, 2018 Star Press article excerpts

T.J. Maxx – 23 stores in Indiana – tax reform bonuses, retirement plan contributions, parental leave, enhanced vacation benefits, and charitable donations:

The 2017 Tax Act benefited the Company in the fourth quarter and full year Fiscal 2018. The Company expects to continue to benefit from the 2017 Tax Act going forward, primarily due to the lower U.S. corporate income tax rate. As a result of the estimated cash benefit related to the 2017 Tax Act, the Company is taking the following actions:

Associates

• A one-time, discretionary bonus to eligible, non-bonus-plan Associates, globally

• An incremental contribution to the Company’s defined contribution retirement plans for eligible Associates in the U.S. and internationally

• Instituting paid parental leave for eligible Associates in the U.S.

• Enhancing vacation benefits for certain U.S. Associates

Communities

Made meaningful contributions to TJX’s charitable foundations around the world to further support TJX’s charitable giving. – Feb. 28, 2018 The TJX Companies Inc. press release excerpt

AT&T -- $1,000 bonuses to 3,888 Indiana employees; Nationwide, $1 billion increase in capital expenditures.

Apple (Apple store locations in Indianapolis and Mishawaka) -- $2,500 employee bonuses in the form of restricted stock units; Nationwide, $30 billion in additional capital expenditures over five years; 20,000 new employees will be hired; increased support of coding education and science, technology, engineering, arts, and math; increased support for U.S. manufacturing.

Bank of America (Multiple locations in Indiana) -- Indiana-based employees of Bank of America will receive $1,000 bonuses.

Cintas Corporation (Multiple locations in Indiana) -- $1,000 bonuses for employees of at least a year, $500 bonuses for employees of less than a year.

Comcast (Multiple locations in Indiana) -- $1,000 bonuses; nationally, at least $50 billion investment in infrastructure in next five years.

Home Depot -- 24 locations in Indiana, bonuses for all hourly employees, up to $1,000

Lowe's -- 8,000 employees at 44 stores and two distribution centers in Indiana. Employees will receive bonuses of up to $1,000 based on length of service; expanded benefits and maternity/parental leave; $5,000 of adoption assistance.

Ryder (21 locations in Indiana) – Tax reform bonuses for employees totaling $23 million nationwide.

Starbucks Coffee Company (Multiple locations in Indiana) – $500 stock grants for all retail employees, $2,000 stock grants for store managers, and varying plan and support center employee stock grants. Nationally, 8,000 new retail jobs; an additional wage increase this year, totaling approximately $120 million in wage increases, increased sick time benefits and parental leave.

U-Haul (Multiple locations in Indiana) – $1,200 bonuses for full-time employees, $500 for part-time employees.

Wal-Mart – 104 locations in Indiana -- 25,000 Indiana Walmart employees are receiving tax reform bonuses. Nationally, base wage increase for all hourly employees to $11; bonuses of up to $1,000; expanded maternity and parental leave; $5,000 for adoption expenses.

Wells Fargo – 33 bank locations in Indiana; raised base wage from $13.50 to $15.00 per hour; $400 million in charitable donations for 2018; $100 million increased capital investment over next three year

Note: If you know of other Indiana examples, please email John Kartch at jkartch@atr.org

The running nationwide list of companies can be found at www.atr.org/list