CHAPTER 24. TOWNSHIP BORROWING FOR TOWNSHIP ASSISTANCE

IC 12-20-24
    Chapter 24. Township Borrowing for Township Assistance

IC 12-20-24-1
Appeal for right to borrow; showing
    Sec. 1. (a) In addition to the other methods of township assistancefinancing provided by this article, if a township trustee for atownship determines that a particular township's township assistanceaccount will be exhausted before the end of a fiscal year, thetownship trustee shall notify the township board of thatdetermination.
    (b) After receiving notice under subsection (a) that a township'stownship assistance account will be exhausted before the end of afiscal year, the township board shall appeal to the department of localgovernment finance for the right to borrow money on a short termbasis to fund township assistance services in the township. In theappeal the township board must do the following:
        (1) Show that the amount of money contained in the townshipassistance account will not be sufficient to fund servicesrequired to be provided within the township by this article.
        (2) Show the amount of money that the board estimates will beneeded to fund the deficit.
        (3) Indicate a period, not to exceed five (5) years, during whichthe township would repay the loan.
As added by P.L.2-1992, SEC.14. Amended by P.L.145-1993, SEC.8;P.L.101-2000, SEC.8; P.L.73-2005, SEC.108; P.L.169-2006,SEC.36.

IC 12-20-24-2
Repealed
    (Repealed by P.L.169-2006, SEC.84.)

IC 12-20-24-3
Repealed
    (Repealed by P.L.169-2006, SEC.84.)

IC 12-20-24-4
Repealed
    (Repealed by P.L.169-2006, SEC.84.)

IC 12-20-24-5
Decision of department
    Sec. 5. (a) If upon appeal under section 1 of this chapter thedepartment determines that a township board should be allowed toborrow money under this chapter, the department shall order thetownship trustee to borrow the money from a financial institution onbehalf of the township board and to deposit the money borrowed inthe township's township assistance account.
    (b) If upon appeal under section 1 of this chapter the departmentdetermines that the township board should not be allowed to borrow

money, the board may not do so for that year.
As added by P.L.2-1992, SEC.14. Amended by P.L.101-2000, SEC.9;P.L.90-2002, SEC.352; P.L.73-2005, SEC.111; P.L.169-2006,SEC.37.

IC 12-20-24-6
Approval of loan; repayment period
    Sec. 6. If a loan is approved under IC 12-2-4.5 (before its repeal)or this chapter, the board of commissioners or county council (for aloan approved by the board of commissioners or county councilbefore July 1, 2006) or the department shall determine the periodduring which the township shall repay the loan. However, the periodmay not exceed five (5) years.
As added by P.L.2-1992, SEC.14. Amended by P.L.90-2002,SEC.353; P.L.169-2006, SEC.38.

IC 12-20-24-7
Approval restrictions
    Sec. 7. A board of commissioners or a county council (for a loanapproved by the board of commissioners or county council beforeJuly 1, 2006) or the department may not do any of the following:
        (1) Approve a request to borrow money made under IC 12-2-4.5(before its repeal) or this chapter unless the body determinesthat the township's township assistance account will beexhausted before the account can fund all township obligationsincurred under this article.
        (2) Recommend or approve a loan that will exceed theestimated amount of the deficit.
As added by P.L.2-1992, SEC.14. Amended by P.L.90-2002,SEC.354; P.L.73-2005, SEC.112; P.L.169-2006, SEC.39.

IC 12-20-24-8
Tax levy
    Sec. 8. (a) If a township board:
        (1) appeals before August 1 for permission to borrow money;
        (2) receives permission from:
            (A) the board of commissioners or the county council, beforeJuly 1, 2006; or
            (B) the department;
        to borrow money before November 1 of that year; and
        (3) borrows money under this chapter;
the township board shall levy a property tax beginning in the nextsucceeding year and continuing for the term of the loan in an amounteach year that will be sufficient to pay the principal and interest dueon the loan for the year.
    (b) If a township board:
        (1) appeals after August 1 for permission to borrow money;
        (2) receives permission from:
            (A) the board of commissioners or the county council, beforeJuly 1, 2006; or            (B) the department;
        to borrow money; and
        (3) borrows money in the year of the appeal under this chapter;
the township board shall levy a property tax beginning in the secondsucceeding year and continuing for the term of the loan in an amounteach year that will be sufficient to pay the principal and interest dueon the loan for the year.
    (c) The property taxes levied under this section shall be retainedby the township trustee and applied by the township trustee to retirethe debt.
As added by P.L.2-1992, SEC.14. Amended by P.L.101-2000,SEC.10; P.L.90-2002, SEC.355; P.L.169-2006, SEC.40.

IC 12-20-24-9
Additional appropriation
    Sec. 9. A township board must make an additional appropriationbefore money borrowed under IC 12-2-4.5 (before its repeal) or thischapter may be spent.
As added by P.L.2-1992, SEC.14.