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News

ARTICLE

Date ArticleType
5/22/2025 4:00:00 AM News

New Law Expands Reasons for Executive Sessions

A new Indiana statute (House Enrolled Act 1134) amends the executive session provisions in the Open Door Law, adding three reasons and modifying one existing reason for closed meetings, effective July 1, 2025.

Health Care

One addition allows school boards to discuss employee health care coverage exceptions and changes to the employee handbook related to topics such as sick days, leaves of absence, health care coverage, code of conduct, and employee discipline. Final handbook changes must be adopted in a public meeting.

Employment-Related Matters

Another amendment expands discussions on employees to include “employee specific compensation, or employment matters of individual employees.” This change expands the school board’s ability to discuss in executive session employment-related matters beyond just an employee’s evaluation, job performance, or misconduct.

Given there is no specific definition in the law, employment matters with respect to an individual employee may include the employee’s use of sick days, the number of days of absences and reasons for such absences, any concerns or complaints about the employee before a determination of termination has been made, and other items directly related to an employee working for the school corporation. This new reason may allow a school board to have the cancellation of an employment contract or the termination of an employee hearing based upon a reduction in force (RIF) in an executive session as it would be a matter relating to the employee’s employment with the school corporation. The application of this provision will ultimately be clarified by the Public Access Counselor and the courts. It should be noted that budget-related discussions on general compensation and benefits must still occur in public meetings.

Contract Negotiations

The final two additions pertain to contract negotiations for the purchase of goods or services. One allows the school board to review “negotiations on the performance of publicly bid contracts when public knowledge regarding the review would cause a likelihood of increased costs.” The other allows discussion of soliciting proposals for the purpose of awarding contracts for good or services when trade secrets or related information in the bid proposal relates to the bidder’s unique method of conducting business or determining premium rates for service under the contract and public knowledge of this discussion would be expected to result in private loss to the bidder providing the information in their bid. These two reasons are going to apply to school boards in rare situations unlike the previously discussed reasons relating to employees of the school corporation.

###

Julie Slavens

ISBA Senior Counsel/Director of Policy Services

jslavens@isba-ind.org

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