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AI Laws in Indiana
As of 2026-08-12, AI Laws USA tracks 34 AI rules in Indiana: 7 state-level rules and 27 county or city rules. Federal AI protections apply statewide on top of these — see the federal page. Each entry links to its official source.
Indiana state-level AI rules (7)
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In effect
Indiana HB 1271 (AI claims downcoding)
Indiana · Effective 2026-07-01 · Ind. HB 1271 (2026), enacted March 4, 2026, eff. July 1, 2026
Indiana's HB 1271, enacted March 4, 2026 and effective July 1, 2026, bars health insurers from using AI tools as the sole basis to 'downcode' a claim (reduce it to a cheaper billing code) without a health professional reviewing the patient's medical record. It also bars health care providers from using AI to submit claims without a review by the provider or a billing professional. Unlike most 2026 health-AI laws, it is not limited to prior authorization.
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In effect
Indiana HB 1271 (no AI-only claim downcoding)
Indiana · Effective 2026-07-01 · Ind. House Enrolled Act 1271 (2026 Reg. Sess.), eff. July 1, 2026
Indiana bars health insurers from relying on an automated process or artificial intelligence as the only reason for downcoding a claim on medical-necessity grounds; a qualified health professional must review the patient's medical record before such a downcode is applied. Health care providers likewise may not use AI to submit a claim without a human reviewing the record. Insurers must also tell providers when AI played a role in an adverse prior-authorization decision or a downcode, and providers keep appeal rights.
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In effect
Indiana SB 256 (foreign-adversary AI vendor & student rules)
Indiana · Effective 2026-07-01 · Ind. Senate Enrolled Act 256 (2026 Reg. Sess.) / Pub. L. 131-2026, eff. July 1, 2026
Indiana requires new or renewed government contracts for technological products or services — a category that expressly includes artificial intelligence, information systems, and surveillance technology — to include a certification that the contractor and its subcontractors are not 'prohibited persons,' meaning businesses controlled by or domiciled in a designated foreign adversary such as China, Russia, North Korea, or Iran. The law also restricts public colleges from enrolling students from those countries in certain qualifying (including AI) programs until a foreign-influence and research-security review is completed.
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In effect
Indiana Consumer Data Protection Act
Indiana · Effective 2026-01-01 · 2023 Ind. Acts P.L. 94-2023 (SB 5); I.C. 24-15-1 et seq.
Indiana's privacy law, effective January 1, 2026, gives residents rights to access, correct, delete, and port personal data, and to opt out of targeted advertising, data sales, and profiling. Enforced exclusively by the Attorney General with a permanent 30-day cure period.
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In effect
I&M Industrial Power (Large Load) Tariff Settlement Order (C
Indiana Utility Regulatory Commission (Indiana Michigan Power) · Effective 2025-02-19 · I&M Industrial Power (Large Load) Tariff Settlement Order (Cause No. 46097)
The Indiana URC approved a settlement modifying Indiana Michigan Power's Industrial Power Tariff for facilities of at least 70 MW (or 150 MW aggregated), requiring 12-year contracts, minimum monthly demand charges of 80% of contract capacity, exit fees, and collateral so grid-upgrade costs fall on data centers rather than existing ratepayers.
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In effect
IN NCII Deepfake Law
Indiana · Effective 2024-07-01 · 2024 Ind. Acts (HEA 1047); I.C. 35-45-4-8
Indiana criminalized creating and sharing AI-generated or digitally modified intimate images without consent, expanding its revenge-porn statute. Distribution is a Class A misdemeanor; repeat or aggravated conduct is a Level 6 felony (up to 30 months, $5,000).
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In effect
State of Indiana Artificial Intelligence Policy
Indiana · Effective 2024-01-01 · State of Indiana Artificial Intelligence Policy
Indiana's state AI policy, issued by the Office of the Chief Data Officer, applies the NIST AI Risk Management Framework and requires agencies to submit an AI Readiness Assessment Questionnaire and report existing AI systems before use.
County and city AI rules in Indiana (27)
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In effect
Boone County IN One-Year Data Center Moratorium
Boone County, IN · Effective 2026-06-16 · Unanimous BOC vote
The Boone County (IN) Board of Commissioners unanimously approved a one-year moratorium on new data-center development in unincorporated parts of the county. The moratorium took effect June 16, 2026 and runs through June 15, 2027 to allow study of land-use, infrastructure, utility, agricultural, and rural-character impacts. Meta's existing LEAP-district data center campus (annexed into the city of Lebanon before construction) is not affected. Boone became the 12th Indiana county to impose a data-center moratorium.
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In effect
Cass County IN Data Center Ban
Cass County, IN · Effective 2026-04-22 · Cass County, Ind., Comm-Ord-2026-08 (Data Processing), Bd. of Comm'rs (Apr. 22, 2026) — bars data centers countywide
On April 22, 2026, the three Cass County Commissioners voted unanimously to prohibit data centers throughout the county, blocking data-processing uses from every zoning district. The county Plan Commission recommended the ban because Cass County had no established standards for data centers and wanted to prevent development until (or unless) rules are written. Cass is one of two Indiana counties — with Marshall County — reported to have banned new data centers outright as of mid-2026.
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In effect
Marshall County Data Center Ban
Marshall County, IN · Effective 2026-04-20 · Marshall County, Ind., Bd. of Comm'rs ordinance (Apr. 20, 2026)
On April 20, 2026, Marshall County commissioners enacted a permanent, countywide ban on data centers, effective immediately, replacing an earlier one-year moratorium. County leaders cited long-term strain on electricity and water supplies and loss of farmland — possibly the first permanent county data center ban in Indiana.
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In effect
Fulton County IN One-Year Data Center Moratorium
Fulton County, IN · Effective 2026-03-03 · Adopted 2026-03-03 by Commissioners (2-1 vote)
On March 3, 2026, the Fulton County (IN) Commissioners voted 2-1 to approve a one-year moratorium on data-center construction, effective immediately. Commissioners Bryan Lewis and a second commissioner voted in favor; Commissioner Dave Sommers was the lone dissenter. The Area Plan Commission had recommended the moratorium 6-2 earlier. The moratorium was triggered by a proposed 300-acre campus in the town of Akron. A data-center committee will study impacts during the pause.
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In effect
Starke County IN Ordinance 2025-37
Starke County, IN · Effective 2025-12-15 · Ordinance 2025-37
Starke County (IN) Ordinance 2025-37, a 12-month moratorium on hyperscale data centers, was unanimously approved by the Starke County Commissioners on December 15, 2025 after the Planning Commission's unanimous recommendation on December 4, 2025. The ordinance defines 'Hyperscale Data Center Project' as any structure or complex exceeding 5,000 sq ft in total floor area primarily for housing data-processing equipment, servers, or related cooling/energy/communications infrastructure. Local businesses and hospitals may still construct supplementary data centers under 5,000 sq ft.
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In effect
LaGrange County IN Data Center Moratorium (effective 2026)
LaGrange County, IN · Effective 2026-07-20 · LaGrange County, Ind., data-center & BESS moratorium (Plan Commission rec.; commissioners approved process ~June 30, 2026; documentation due July 20, 2026)
The LaGrange County, Indiana Board of Commissioners adopted a one-year moratorium on data-center development — and on battery energy storage systems — at their July 20, 2026 meeting. The moratorium gives the county time to write proper regulations. County Attorney Kurt Bachman previously framed the effort as managing data centers rather than keeping them out. The Plan Commission had recommended the moratorium in late June 2026.
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In effect
Madison County IN Six-Month Data Center Moratorium
Madison County, IN · Effective 2026-06-16 · Six-month moratorium adopted by Commissioners June 16, 2026
The Madison County (IN) Commissioners approved a six-month moratorium on data centers, with an option to extend an additional six months. The county Plan Commission gave a favorable recommendation (specific vote tally unconfirmed). The action made Madison County the 9th Indiana county to enact a data-center moratorium. No data-center proposals had been submitted in Madison County at the time of adoption.
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In effect
Boone County Data Center Moratorium
Boone County, IN · Effective 2026-06-15 · Boone County, Ind., Board of Commissioners data center moratorium (June 15, 2026; 12-month term)
Boone County, Indiana's Board of Commissioners unanimously voted on June 15, 2026 to impose a one-year moratorium on new data center development in unincorporated areas of the county. The pause halts the filing, processing, review, and acceptance of applications for new data center facilities so county officials can evaluate impacts on infrastructure and update planning and zoning rules. The moratorium does NOT affect Meta's existing data center campus in the LEAP Innovation District — that site sits on land annexed by the City of Lebanon and is outside unincorporated Boone County.
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In effect
Miami County IN data center moratorium (2026)
Miami County, IN · Effective 2026-05-04 · Miami County, Ind., Ordinance No. 05-04-2026 (Bd. of Comm'rs, adopted May 4, 2026)
The Board of Commissioners imposed a temporary moratorium on the acceptance, processing, and approval of all applications and permits for data center construction or operation anywhere in unincorporated Miami County, effective immediately on adoption. It stays in effect until the county's Zoning Ordinance is amended to add rules specifically covering data centers — the Zoning Ordinance currently has none.
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Proposed / pending
Tippecanoe County IN Large Data Center Special Exception Amendment
Tippecanoe County, IN · Effective 2026-04-15 · APC ordinance committee recommendation 2026
The Tippecanoe County Area Plan Commission's ordinance committee voted to forward an amendment treating 'large data centers' of 10,000 sq ft or more as allowable in I-2 industrial districts only by special exception, with a one-year (November 30) sunset to allow drafting of permanent performance standards. The full APC subsequently adopted the temporary rules — action is no longer merely pending.
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In effect
Putnam County IN Data Center Moratorium
Putnam County, IN · Effective 2025-11-17 · Putnam County, Ind., Bd. of Comm'rs 1-yr moratorium on data centers, SMRs, solar & wind (effective Nov. 17, 2025 – Nov. 17, 2026; 2-1)
On November 17, 2025, the Putnam County, Indiana Commissioners voted 2-1 to adopt a one-year moratorium — running through November 17, 2026 — on data centers, small modular nuclear reactors, and solar and wind energy systems in the unincorporated areas of the county. About 100 residents packed the courthouse urging the pause. Commissioners Andy Beck and Tom Helmer voted for it; Rick Woodall was opposed. The county said it would use the year to review its Unified Development Ordinance.
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In effect
Allen County IN County AI Use Policy
Allen County, IN · Effective 2025-11-04 · Allen County Commissioners policy (2025) (2025-11-04)
Allen County IN (Fort Wayne) adopted generative AI use policy: bars CJIS/PHI/PII in public LLMs, requires departmental approval, mandates human review of AI outputs, and prohibits AI-only adverse decisions in benefits or eligibility.
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In effect
Lake County IN Data Center Zoning Standards
Lake County, IN · Effective 2025-10-21 · Lake County IN Zoning Ordinance amendment (2025) (2025-10-21)
Lake County IN (Hammond/Gary corridor) added data-center use category to zoning ordinance: special-use permit required, noise and emissions standards, substation siting disclosure, and water-use disclosure.
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In effect
White County IN Data Center Moratorium
White County, IN · Effective 2025-10-20 · White County, Ind., Bd. of Comm'rs data-center moratorium (adopted Oct. 20, 2025, 2-1)
On October 20, 2025, the White County, Indiana Commissioners voted 2-1 to pass a moratorium on data-center developments — among the earliest Indiana counties, after Marshall County, to pause data centers while it develops local regulations. The moratorium's stated duration was not reported in the coverage located.
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In effect
City of Indianapolis & Marion County IN Generative AI Use Policy
Marion County, IN · Effective 2025-07-22 · Indianapolis-Marion County Mayor / Administrator AI Policy (2025) (2025-07-22)
Indianapolis (Unigov) / Marion County adopted citywide and countywide generative AI use policy: prohibits PII/PHI/CJIS in public LLMs, requires CIO approval for AI procurement, mandates inventory, and requires impact review before AI-driven decisions in resident services.
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In effect
Indianapolis Metro PD FR Prohibition
Indianapolis, IN · Effective 2023-04-01 · IMPD Gen. Order 2944094, Biometric Technology / Facial Recognition (available at public.powerdms.com/INDYMETRO/documents/2944094)
Indianapolis Metropolitan Police Department general order prohibiting use of facial recognition technology by IMPD personnel without express written authorization and case predicate.
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Proposed / pending
Hancock County IN data center overlay district (IG-only, proposed 2026)
Hancock County, IN · Hancock County Plan Commission 7-0 vote (June 8, 2026); advancing to BOC — Greenfield Reporter
Hancock County IN Plan Commission voted 7-0 on June 8, 2026 to approve a data center overlay district restricting new data centers to IG (heavy industrial) zoned parcels only, and advanced the ordinance to the Board of County Commissioners for a vote on June 16, 2026. The commissioner vote outcome remains unconfirmed as of July 1, 2026. A separate study committee was formed in April 2026 with a report due October 2026. Residents had petitioned for a one-year moratorium but the Plan Commission instead developed the overlay district approach.
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In effect
One-year data-center moratorium in unincorporated Boone County
Boone County, Indiana · Effective 2026-06-16 · Boone County (IN) one-year data-center moratorium (June 15, 2026)
One-year moratorium on new data center development in unincorporated Boone County and the town of Advance. Halts filing, processing, review, and acceptance of new data-center facility applications in those areas. Meant to allow study of land-use, infrastructure, utility, agricultural, and rural-character impacts. Boone County is the twelfth Indiana county to enact a data-center pause; Meta's LEAP-district campus (Lebanon) is unaffected.
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In effect
Indianapolis-Marion County data-center pause resolution
Indianapolis/Marion County · Effective 2026-05-04 · Indianapolis City-County Council data-center pause resolution (May 4, 2026)
Special resolution unanimously approved by the Indianapolis City-County Council calling on the city's Metropolitan Development Commission to temporarily stop approving new data centers. Accompanied by ongoing drafting of a zoning ordinance setting a maximum 65 dB noise limit at property lines, restrictions on backup-generator testing, required physical buffers (berms, fencing, tree lines), and disclosure of power/water capacity and infrastructure connections.
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Proposed / pending
SU-47 Special-Use Data Center Zoning District Ordinance
Indianapolis / Marion County · SU-47 Special-Use Data Center Zoning District Ordinance
The Metropolitan Development Commission voted 5-3 to advance to the City-County Council a proposed SU-47 special-use zoning ordinance setting minimum standards for future data centers, including public hearings, noise limits, setbacks, and water-management and operations plans.
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In effect
Peru IN temporary data center moratorium (2026)
Peru, IN · City of Peru, Ind. — Planning Commission action (date not specified in coverage, reported 2026-07-03)
The City of Peru put a temporary hold on new data centers within city limits while it works out a permanent ordinance, which it plans to model on neighboring Miami County's approach. City Council President Tim Fischer described it as a placeholder: 'until we can get an ordinance in place where we can have some rules and guidelines for bringing data centers into the city limits.'
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Enacted (not yet in effect)
Indianapolis Data Center Pause Resolution
Indianapolis, IN · Indianapolis-Marion County City-County Council, Proposal No. 158 (2026)
In May 2026 the Indianapolis City-County Council unanimously passed a resolution urging the Metropolitan Development Commission to stop approving new data centers until May 7, 2027 or until permanent regulations pass. Because it is a resolution rather than a binding ordinance, it is a soft pause; a companion draft ordinance would create a special-use zoning district with noise and setback requirements.
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Proposed / pending
Indianapolis temporary data center moratorium (committee advanced July 13, 2026)
Indianapolis/Marion County · Indianapolis-Marion County City-County Council Metropolitan and Economic Development Committee, 10-3 vote July 13, 2026, recommending temporary data center moratorium through Dec. 31, 2027
The Indianapolis City-County Council's Metropolitan and Economic Development Committee voted 10-3 on July 13, 2026 to advance a temporary moratorium on approving new data centers through December 31, 2027. Mayor Joe Hogsett publicly endorsed the moratorium after the committee vote. The full City-County Council is scheduled to vote on August 10, 2026. If enacted, the moratorium would not apply retroactively to projects that have already secured municipal zoning clearances. This is a binding ordinance proposal — separate from the non-binding pause resolution (Proposal 158) passed in May 2026, and from the parallel permanent SU-47 special use district zoning amendment also advancing through the council.
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Proposed / pending
Indianapolis MDC data center special zoning proposal (July 2026)
Indianapolis, IN · Indianapolis MDC 5-3 vote (July 1, 2026) recommending data center special zoning district ordinance; City-County Council final vote pending
Indianapolis's Metropolitan Development Commission voted 5-3 on July 1, 2026 to recommend creating a new special zoning class for data centers in Marion County. The proposed ordinance would regulate where data centers can be built and how close they can sit to residences, set noise limits (the MDC debated returning to 65 dB from a proposed 55 dB), and require water management plans, annual reporting on water use and power consumption, noise compliance studies, and decommissioning/environmental-remediation plans. A motion to remove the decommissioning-plan requirement failed 6-2. The ordinance now heads to the full City-County Council for final approval, expected in August 2026.
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Proposed / pending
Indianapolis data center moratorium (Council 23-1 Aug 10; MDC approval pending)
Indianapolis, IN · Indianapolis-Marion County City-County Council, Zoning Ordinance Amendment (committee-approved 10-3, August 3, 2026; full council 23-1 vote August 10, 2026; MDC final approval pending ~August 19, 2026)
The Metropolitan Economic Development Committee of the Indianapolis City-County Council voted 10-3 on August 3, 2026 to recommend approval of a Zoning Ordinance Amendment imposing a moratorium on data centers through at least December 31, 2027. The committee vote fell along party lines: all 10 yes votes were Democrats and all 3 no votes were Republicans. The full 29-member City-County Council is scheduled to vote on August 10, 2026. Council President Maggie Lewis announced support for the moratorium after months of community pressure from residents and environmental groups, and Mayor Joe Hogsett also supports the measure. The moratorium would pause acceptance and processing of land-use applications, site plans, and building permits for data centers within Indianapolis-Marion County.
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Proposed / pending
Indianapolis DC Zoning
Indianapolis, IN · Data Center Dynamics, June 2026
Indianapolis's City-County Council introduced zoning standards requiring conditional approval, setbacks from residential zones, and noise studies for new data centers.
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Proposed / pending
Indianapolis SU-47 District (draft)
Indianapolis, IN · Indianapolis-Marion County, draft SU-47 ordinance (pending, 2026)
Indianapolis is writing a new rule book for data centers: a draft ordinance would create a special zoning district (SU-47) just for data centers, forcing every project through a rezoning with public hearings, a 65-decibel property-line noise cap, 200-foot separation from residential districts, and required water-management and decommissioning plans.
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