IC 21-34-10
    Chapter 10. Bonds; Review and Approval

IC 21-34-10-1
Bonds; approval of budget committee, budget agency, andgovernor
    Sec. 1. (a) Bonds may not be issued by the board of trustees of astate educational institution under this article without the specificapproval of the:
        (1) budget committee;
        (2) budget agency; and
        (3) governor.
    (b) The budget agency may request and consider therecommendation of the staff of the Indiana finance authority withrespect to the approval of a bond issue under this section.
As added by P.L.2-2007, SEC.275.

IC 21-34-10-2
Actions of general assembly
    Sec. 2. (a) Except:
        (1) for grant anticipation notes; and
        (2) as provided in this chapter;
no bonds shall be issued for a project by the board of trustees of astate educational institution under this article unless the generalassembly has taken the actions described in subsection (b).
    (b) As a condition of issuing bonds, the general assembly musthave:
        (1) specifically approved the project to be financed through theissuance and sale of these bonds; and
        (2) provided the amount of bonds that may be issued to fund thecosts of acquiring, constructing, remodeling, renovating,furnishing, or equipping the specific project approved.
As added by P.L.2-2007, SEC.275.

IC 21-34-10-3
Issuance of bonds; debt service reserves; bond or reserveinsurance; other costs
    Sec. 3. In addition to and in connection with the amount of bondsthat may be issued by a state educational institution for a specificproject as provided in section 2(b)(2) of this chapter, the board oftrustees of a state educational institution may also issue bonds inamounts necessary to provide funds for:
        (1) debt service reserves;
        (2) bond or reserve insurance; and
        (3) other costs;
without additional approval by the general assembly, if these costsare incidental to the issuance of bonds for the project.
As added by P.L.2-2007, SEC.275.

IC 21-34-10-4 Maximum amount of bonds
    Sec. 4. Bonds, regardless of when the amount of bonds isapproved by the general assembly, may be issued in an amount notexceeding the sum of the following:
        (1) The amount of bonds approved by the general assembly.
        (2) The amounts described in section 3 of this chapter.
        (3) The amount of the discount below par value, if bonds aresold at a price below par value under IC 21-32-3-2.
As added by P.L.2-2007, SEC.275. Amended by P.L.3-2008,SEC.140.

IC 21-34-10-5
Power to issue bonds
    Sec. 5. A power granted under this chapter to issue bonds withoutthe specific approval of the general assembly shall not be construedto permit the issuance of the bonds without the specific approvalsrequired under section 1 of this chapter. Bonds issued without thespecific approval of the general assembly are not eligible for feereplacement.
As added by P.L.2-2007, SEC.275.

IC 21-34-10-6
Issuance of bonds without approval of the general assembly;maximum amount
    Sec. 6. Bonds may be issued by the board of trustees of a stateeducational institution without the approval of the general assemblyif, after the issuance, the total amount of outstanding bonds issued bythe board of trustees of a state educational institution withoutapproval will not exceed two million dollars ($2,000,000). However,the bonds must be approved as provided in section 1 of this chapter.
As added by P.L.2-2007, SEC.275.

IC 21-34-10-7
Issuance of bonds without approval of the general assembly;purpose
    Sec. 7. Bonds may be issued by the board of trustees of a stateeducational institution without the approval of the general assemblyto finance a qualified energy savings project if annual operatingsavings to the state educational institution arising from theimplementation of a qualified energy savings project are reasonablyexpected to be at least equal to annual debt service requirements onbonds issued for this purpose in each fiscal year. However, theamount of bonds outstanding for the state educational institutionother than Ivy Tech Community College at any time for qualifiedenergy savings projects, other than refunding bonds and exclusive ofcosts described in sections 3 and 4 of this chapter, may not exceedfifteen million dollars ($15,000,000) for each campus of the stateeducational institution. Any annual operating savings realized byPurdue University and Indiana University in excess of the annualdebt service requirements on bonds issued shall be used to fund basic

research for the Indiana Innovation Alliance. The amount of bondsoutstanding for Ivy Tech Community College at any time forqualified energy savings projects, other than refunding bonds andexclusive of costs described in sections 3 and 4 of this chapter, maynot exceed forty-five million dollars ($45,000,000). Bonds issuedunder this section are not eligible for fee replacement.
As added by P.L.2-2007, SEC.275. Amended by P.L.182-2009(ss),SEC.366.

IC 21-34-10-8
Issuance of bonds without approval of the general assembly fordeferred expenditures
    Sec. 8. Bonds may be issued by the board of trustees of PurdueUniversity without the approval of the general assembly for deferredexpenditures, as determined under accounting principles approved bythe state board of accounts, to:
        (1) repair, rehabilitate, remodel, renovate, or reconstructexisting facilities or buildings;
        (2) improve or replace utilities or fixed equipment; or
        (3) perform related site improvement work.
However, the total amount of bonds issued for Purdue Universityunder this section without the approval of the general assembly, otherthan refunding bonds and exclusive of costs described in sections 3and 4 of this chapter, may not exceed sixty million dollars($60,000,000).
As added by P.L.2-2007, SEC.275.