The statutes related to official bonds changed during the most recent legislative session. Public Law 230 – Senate Enrolled Act 393 amended the existing Indiana Code 5-4-1-5.1 (effective July 1, 2015) and Indiana Code 5-4-1-18 (effective January 1, 2016) concerning official bonds and bond coverage.
We have received several questions on the impact of these changes and how certain situations are to be handled. The State Board of Accounts has summarized the new statutory provisions and our audit positions in this document
Please read the document along with the current versions of Indiana Codes 5-4-1-5.1 and 5-4-1-18 and share this information with other officials and employees as necessary, including your attorney. This information will also be included in the September 2015 Cities and Towns Bulletin.
Director of Audit Services
Indiana State Board of Accounts