CHAPTER 2. DEVELOPMENT AUTHORITY AND BOARD
IC 36-7.6-2
Chapter 2. Development Authority and Board
IC 36-7.6-2-1
Establishment of development authorities
Sec. 1. (a) Development authorities may be established under thischapter in the economic growth regions of Indiana.
(b) The provisions of section 3 of this chapter govern theestablishment of a development authority.
As added by P.L.232-2007, SEC.7.
IC 36-7.6-2-2
Body corporate and politic; development authority activities
Sec. 2. A development authority established under this chapter isa separate body corporate and politic that shall carry out the purposesof this article by:
(1) acquiring, constructing, equipping, owning, leasing, andfinancing projects and facilities for lease to or for the benefit ofeligible political subdivisions under this article; and
(2) funding and developing:
(A) airport authority projects;
(B) commuter transportation district and other rail projectsand services;
(C) regional transportation authority projects and services;
(D) economic development projects;
(E) intermodal transportation projects; and
(F) regional trail or greenway projects;
that are of regional importance.
As added by P.L.232-2007, SEC.7.
IC 36-7.6-2-3
Units that may establish a development authority; contiguityrequirements
Sec. 3. (a) Subject to the provisions of this article, regionaldevelopment authorities may be established under subsection (b), (c),or (d).
(b) A development authority may be established by two (2) ormore counties that are located in the same economic growth region.
(c) A development authority may be established by:
(1) two (2) or more counties that are located in the sameeconomic growth region; and
(2) one (1) or more counties that:
(A) are not located in the same economic growth region asthe counties described in subdivision (1); and
(B) are adjacent to the economic growth region containingthe counties described in subdivision (1).
(d) A development authority may be established by:
(1) one (1) or more counties; and
(2) one (1) or more second class cities that:
(A) are not located in the county or counties described in
subdivision (1); and
(B) are located in the same economic growth region as thecounty or counties described in subdivision (1).
(e) A county or second class city may participate in theestablishment of a development authority under this section andbecome a member of the development authority only if the fiscalbody of the county or second class city adopts an ordinanceauthorizing the county or second class city to participate in theestablishment of the development authority.
(f) A county may be a member of a development authority only ifthe county is contiguous to at least one (1) other county that is amember of the development authority. A second class city may be amember of a development authority only if the county in which thesecond class city is located is contiguous to at least one (1) othercounty that is a member of the development authority.
(g) Notwithstanding any other provision, if a county becomes amember of a development authority, each municipality in the countyalso becomes a member of the development authority.
(h) Not more than two (2) development authorities may beestablished in a particular economic growth region. For purposes ofthis subsection, a development authority is considered to beestablished in a particular economic growth region if a county ormunicipality located in the economic growth region is a member ofa development authority.
(i) A county or municipality may be a member of only one (1)development authority.
(j) A county or municipality that is a member of the northwestIndiana regional development authority under IC 36-7.5 may not bea member of a development authority under this article.
As added by P.L.232-2007, SEC.7.
IC 36-7.6-2-4
Joining an existing development authority
Sec. 4. (a) A county or second class city that:
(1) is not a member of a development authority; and
(2) was eligible to participate in the establishment of aparticular development authority established under this article;
may join that development authority under this section.
(b) A county or second class city described in subsection (a) mayjoin a development authority under this section only if:
(1) the fiscal body of the county or second class city adopts anordinance authorizing the county or second class city to becomea member of the development authority; and
(2) after the fiscal body adopts an ordinance under subdivision(1), the development board of the development authority adoptsa resolution authorizing the county or second class city tobecome a member of the development authority.
(c) A county or second class city becomes a member of adevelopment authority on January 1 of the year following the year inwhich the development board adopts a resolution under subsection
(b)(2) authorizing the county or second class city to become amember of the development authority.
(d) The executive of a county or second class city that becomes amember of a development authority under this section is entitled toappoint a member to the development board under section 7 of thischapter.
(e) A county or second class city may not join a developmentauthority under this section if joining the development authoritywould violate the requirement in section 3(h) of this chapter that notmore than two (2) development authorities may be established in aparticular economic growth region.
(f) If a county joins a development authority under this section,each municipality in the county also becomes a member of thedevelopment authority.
As added by P.L.232-2007, SEC.7. Amended by P.L.3-2008,SEC.265.
IC 36-7.6-2-5
Minimum length of participation; withdrawal
Sec. 5. (a) This section applies to the following:
(1) A county that participates in the establishment of adevelopment authority under section 3 of this chapter or thatjoins a development authority under section 4 of this chapter.
(2) A second class city that participates in the establishment ofa development authority under section 3(d) of this chapter orthat joins a development authority under section 4 of thischapter.
(b) A county or second class city described in subsection (a) shallbe a member of the development authority for five (5) years after thedate the county or second class city becomes a member of thedevelopment authority.
(c) At least twelve (12) months and not more than eighteen (18)months before the end of a five (5) year period under subsection (b),the fiscal body of the county or second class city described insubsection (a) must adopt a resolution that:
(1) commits the county or second class city to an additional five(5) years as a member of the development authority, beginningat the end of the current five (5) year period; or
(2) withdraws the county or second class city from membershipin the development authority not earlier than the end of thecurrent five (5) year period.
(d) The fiscal body of a county or second class city described insubsection (a) must adopt a resolution under subsection (c) duringeach five (5) year period in which the county or second class city isa member of the development authority.
(e) A county or second class city described in subsection (a) maywithdraw from a development authority as provided in this sectionwithout the approval of the development board.
(f) If at the end of a five (5) year period a county described insubsection (a) does not withdraw from the development authority
under this section and remains a member of the developmentauthority, the municipalities in the county may not withdraw fromthe development authority and remain members of the developmentauthority.
(g) If at the end of a five (5) year period a county described insubsection (a) withdraws from the development authority under thissection, the municipalities in the county are also withdrawn from thedevelopment authority on the effective date of the county'swithdrawal.
As added by P.L.232-2007, SEC.7.
IC 36-7.6-2-6
Liability for unpaid transfers after withdrawal
Sec. 6. A county or municipality that withdraws from adevelopment authority under section 5 of this chapter is liable to thedevelopment authority for any unpaid transfers under IC 36-7.6-4-2that become due before the withdrawal of the county or municipalityfrom the development authority is effective.
As added by P.L.232-2007, SEC.7.
IC 36-7.6-2-7
Development board; members
Sec. 7. (a) A development authority is governed by a developmentboard appointed under this section.
(b) A development board is composed of the following members:
(1) One (1) member appointed by the executive of each countythat is a member of the development authority.
(2) One (1) member appointed by the executive of each secondclass city that is a member of the development authority.
(3) If the development authority receives or will receive anappropriation, a grant, or a distribution of money from the state,one (1) or more members appointed by the governor undersection 8 of this chapter, if approved by the development board.
(c) A member appointed to the development board must haveknowledge of and at least five (5) years professional work experiencein at least one (1) of the following:
(1) Rail transportation or air transportation.
(2) Regional economic development.
(3) Business or finance.
As added by P.L.232-2007, SEC.7.
IC 36-7.6-2-8
Addition of member appointed by the governor
Sec. 8. (a) If a development authority receives or will receive anappropriation, a grant, or a distribution of money from the state, thedevelopment board may adopt a resolution to add to the developmentboard one (1) or more members appointed by the governor.
(b) If a development board adopts a resolution under this section,the governor shall appoint to the development board the number ofmembers specified in the resolution. (c) A member appointed by the governor under this section mustmeet the knowledge and professional work experience requirementsof section 7(c) of this chapter.
(d) If the governor appoints a member to a development boardunder this section, the governor retains the authority to appoint amember to the development board regardless of whether the statecontinues to appropriate, grant, or distribute money to thedevelopment authority.
As added by P.L.232-2007, SEC.7.
IC 36-7.6-2-9
Terms; reappointment; oath; per diem
Sec. 9. (a) A member appointed to a development board serves afour (4) year term. However, a member serves at the pleasure of theappointing authority. A member may be reappointed to subsequentterms.
(b) If a vacancy occurs on a development board, the appointingauthority that made the initial appointment shall fill the vacancy byappointing a new member for the remainder of the vacated term.
(c) Each member appointed to a development board, beforeentering upon the duties of office, must take and subscribe an oath ofoffice under IC 5-4-1, which shall be endorsed upon the certificateof appointment and filed with the records of the development board.
(d) A member appointed to a development board is not entitled toreceive any compensation for performance of the member's duties.However, a member is entitled to a per diem from the developmentauthority for the member's participation in development boardmeetings. The amount of the per diem is equal to the amount of theper diem provided under IC 4-10-11-2.1(b).
As added by P.L.232-2007, SEC.7.
IC 36-7.6-2-10
Officers
Sec. 10. (a) In January of each year, a development board shallhold an organizational meeting at which the development board shallelect the following officers from the members of the developmentboard:
(1) A chair.
(2) A vice chair.
(3) A secretary-treasurer.
(b) The affirmative vote of at least a majority of the appointedmembers of a development board is necessary to elect an officerunder subsection (a).
(c) An officer elected under subsection (a) serves from the date ofthe officer's election until the officer's successor is elected andqualified.
As added by P.L.232-2007, SEC.7.
IC 36-7.6-2-11
Quarterly meetings; calling meetings; quorum; authorization of
action
Sec. 11. (a) A development board shall meet at least quarterly.
(b) The chair of a development board or any two (2) members ofa development board may call a special meeting of the developmentboard.
(c) A majority of the appointed members of a development boardconstitutes a quorum.
(d) The affirmative votes of at least a majority of the appointedmembers of a development board are necessary to authorize anyaction of the development authority.
As added by P.L.232-2007, SEC.7.
IC 36-7.6-2-12
Bylaws and rules
Sec. 12. A development board may adopt the bylaws and rulesthat the development board considers necessary for the properconduct of the development board's duties and the safeguarding ofthe development authority's funds and property.
As added by P.L.232-2007, SEC.7.
IC 36-7.6-2-13
Common construction wage, public purchasing, and public worksproject laws apply
Sec. 13. (a) A development authority shall comply with IC 5-16-7(common construction wage), IC 5-22 (public purchasing),IC 36-1-12 (public work projects), and any applicable federal biddingstatutes and regulations. An eligible political subdivision thatreceives a loan, a grant, or other financial assistance from adevelopment authority or enters into a lease with a developmentauthority must comply with applicable federal, state, and local publicpurchasing and bidding laws and regulations. However, a purchasingagency (as defined in IC 5-22-2-25) of an eligible politicalsubdivision may:
(1) assign or sell a lease for property to a developmentauthority; or
(2) enter into a lease for property with a development authority;
at any price and under any other terms and conditions as may bedetermined by the eligible political subdivision and the developmentauthority. However, before making an assignment or a sale of a leaseor entering into a lease under this section that would otherwise besubject to IC 5-22, the eligible political subdivision or its purchasingagent must obtain or cause to be obtained a purchase price for theproperty to be subject to the lease from the lowest responsible andresponsive bidder in accordance with the requirements for thepurchase of supplies under IC 5-22.
(b) In addition to the provisions of subsection (a), with respect toprojects undertaken by a development authority, the developmentauthority shall set a goal for participation by minority businessenterprises and women's business enterprises. The goals must beconsistent with: (1) the participation goals established by the counties andmunicipalities that are members of the development authority;and
(2) the goals of delivering the project on time and within thebudgeted amount and, insofar as possible, using Indianabusinesses for employees, goods, and services.
As added by P.L.232-2007, SEC.7.
IC 36-7.6-2-14
Annual financial audit
Sec. 14. (a) The office of management and budget shall contractwith a certified public accountant for an annual financial audit ofeach development authority. The certified public accountant may nothave a significant financial interest, as determined by the office ofmanagement and budget, in a project, facility, or service funded byor leased by or to any development authority.
(b) The certified public accountant shall present an audit reportnot later than four (4) months after the end of each calendar year andshall make recommendations to improve the efficiency ofdevelopment authority operations. The certified public accountantshall also perform a study and evaluation of internal accountingcontrols and shall express an opinion on the controls that were ineffect during the audit period.
(c) A development authority shall pay the cost of the annualfinancial audit under subsection (a). In addition, the state board ofaccounts may at any time conduct an audit of any phase of theoperations of a development authority. A development authority shallpay the cost of any audit by the state board of accounts.
As added by P.L.232-2007, SEC.7.
IC 36-7.6-2-15
Local advisory committees
Sec. 15. Each county or municipality that is member of adevelopment authority may appoint a local advisory committee toadvise the county or municipality on issues related to thedevelopment authority.
As added by P.L.232-2007, SEC.7.