After December 31, 2026:

1. (1) Unless otherwise provided by law and subject to subdivision (2), a unit may not assess a fee in an amount that is more than is reasonably necessary to cover the applicable cost to the unit to:

   1. (A) process an application;
   2. (B) inspect and review an applicant's plans; or
   3. (C) prepare detailed statements for an applicant.

2. (2) Except as otherwise provided in this subdivision, any fee, including a fee adopted before January 1, 2027, may be increased:

   1. (A) once every five (5) years; and

   2. (B) by an amount not to exceed the combined annual percentage change in the Consumer Price Index for all Urban Consumers, as published by the United States Bureau of Labor Statistics, for the preceding five (5) years.

      However, if the cost to the unit substantially changes from the amount described in subdivision (1), the legislative body of the unit may adjust the fee to accurately reflect the cost to the unit after conducting a public hearing.

3. (3) Any fee assessed and collected by a unit must be maintained in a special fund dedicated solely to reimbursing the costs actually incurred by the unit relating to the imposition and amount of the fee. Each fund shall be maintained as a separate line item in the unit's budget. Money in the fund may not at any time revert to the general fund or any other fund of the unit.

As added by P.L.73-2026, SEC.17.