CHAPTER 9. ANNEXATION OF A TOWNSHIP SCHOOL CORPORATION

IC 20-23-9
    Chapter 9. Annexation of a Township School Corporation

IC 20-23-9-1
"Annexing corporation"
    Sec. 1. As used in this chapter, "annexing corporation" refers toa school corporation that has annexed all or part of any territory ofa township school.
As added by P.L.1-2005, SEC.7.

IC 20-23-9-2
"Township"
    Sec. 2. As used in this chapter, "township" refers to a townshipwhere any part of a township school was located.
As added by P.L.1-2005, SEC.7.

IC 20-23-9-3
"Township school"
    Sec. 3. As used in this chapter, "township school" refers to:
        (1) a township school that loses territory to an annexingcorporation as a result of an annexation;
        (2) the township school's successor; or
        (3) the township.
As added by P.L.1-2005, SEC.7.

IC 20-23-9-4
Petition of appeal
    Sec. 4. (a) An annexing corporation may file a petition of appealwith the department of local government finance for emergencyfinancial relief.
    (b) The annexing corporation shall serve the petition on thefollowing:
        (1) The department.
        (2) The township.
        (3) The township school.
        (4) Any other annexing corporation that annexed the townshipschool on the same date.
    (c) All annexing corporations are parties to the petition.
As added by P.L.1-2005, SEC.7.

IC 20-23-9-5
Factfinding hearing
    Sec. 5. If the department of local government finance receives apetition of appeal under section 4 of this chapter, the department oflocal government finance shall hold a factfinding hearing.
As added by P.L.1-2005, SEC.7. Amended by P.L.182-2009(ss),SEC.311.

IC 20-23-9-6
Determinations at factfinding hearings    Sec. 6. (a) At a factfinding hearing under section 5 of this chapter,the department of local government finance shall determine thefollowing:
        (1) Whether the township school has made all paymentsrequired by any statute, including the following:
            (A) P.L.32-1999.
            (B) IC 20-23-5-12.
            (C) The resolution or plan of annexation of the townshipschool, including:
                (i) any amendment to the resolution or plan;
                (ii) any supporting or related documents; and
                (iii) any agreement between the township school and anannexing corporation relating to the winding up of affairsof the township school.
        (2) The amount, if any, by which the township school is inarrears on any payment described in subdivision (1).
        (3) Whether the township school has filed with the departmentof local government finance all reports concerning the affairs ofthe township school, including all transfer tuition reportsrequired for the two (2) school years immediately preceding thedate on which the township school was annexed.
    (b) In determining the amount of arrears under subsection (a)(2),the department of local government finance shall consider allamounts due to an annexing corporation, including the following:
        (1) Any transfer tuition payments due to the annexingcorporation.
        (2) All levies, excise tax distributions, and state distributionsreceived by the township school and due to the annexingcorporation, including levies and distributions received by thetownship school after the date on which the township schoolwas annexed.
        (3) All excessive levies that the township school agreed toimpose and pay to an annexing corporation but failed to impose.
    (c) If, in a hearing under this section, the department of localgovernment finance determines that a township school has:
        (1) under subsection (a)(1), failed to make a required payment;or
        (2) under subsection (a)(3), failed to file a required report;
the department may act under section 7 of this chapter.
As added by P.L.1-2005, SEC.7. Amended by P.L.231-2005, SEC.24;P.L.182-2009(ss), SEC.312.

IC 20-23-9-7
Powers of department after determination; payments
    Sec. 7. (a) If the department of local government finance makesa determination under section 6(c) of this chapter, the department:
        (1) may prohibit a township from:
            (A) acquiring real estate;
            (B) making a lease or incurring any other contractualobligation calling for an annual outlay by the township

exceeding ten thousand dollars ($10,000);
            (C) purchasing personal property for a consideration greaterthan ten thousand dollars ($10,000); and
            (D) adopting or advertising a budget, tax levy, or tax rate forany calendar year;
        until the township school has made all required payments undersection 6(a)(1) of this chapter and filed all required reportsunder section 6(a)(3) of this chapter; and
        (2) shall certify to the treasurer of state the amount of arrearsdetermined under section 6(a)(2) of this chapter.
    (b) Upon being notified of the amount of arrears certified undersubsection (a)(2), the treasurer of state shall make payments from thefunds of state to the extent, but not in excess, of any amountsappropriated by the general assembly for distribution to the townshipschool, deducting the payments from any amount distributed to thetownship school.
As added by P.L.1-2005, SEC.7. Amended by P.L.182-2009(ss),SEC.313.

IC 20-23-9-8
Excess levy
    Sec. 8. The department may grant permission to a township schoolor a township to impose an excess levy to satisfy its obligationsunder this chapter.
As added by P.L.1-2005, SEC.7.