IC 6-1.1-21.3
    Chapter 21.3. Rainy Day Fund Loans for Taxing Units Affectedby Transmission Manufacturer Bankruptcy

IC 6-1.1-21.3-1
"Board", "qualified taxing unit", and "qualifying taxpayer"
    Sec. 1. (a) As used in this chapter, "board" refers to the stateboard of finance.
    (b) As used in this chapter, "qualified taxing unit" means a taxingunit:
        (1) in which a qualifying taxpayer has tangible property subjectto taxation; and
        (2) that has experienced or is expected to experience asignificant revenue shortfall as a result of a default or anexpected default described in subsection (c)(3).
    (c) As used in this chapter, "qualifying taxpayer" means ataxpayer that:
        (1) casts and manufactures motor vehicle transmissions as partof its business;
        (2) has filed a petition to reorganize under the federalbankruptcy code; and
        (3) has defaulted, or has notified the county fiscal body of thecounty in which the taxpayer is subject to property taxes thatthe taxpayer will default, on all or part of one (1) or more of itsproperty tax payments with respect to taxes first due andpayable in 2009 or 2010, or both.
As added by P.L.182-2009(ss), SEC.156.

IC 6-1.1-21.3-2
Qualifying taxing unit may apply to board for loan
    Sec. 2. A qualified taxing unit may apply to the board for one (1)or more loans from the counter-cyclical revenue and economicstabilization fund.
As added by P.L.182-2009(ss), SEC.156.

IC 6-1.1-21.3-3
Determination of terms of loan by board; loan conditions;disbursement of installments by board; loan repayment; obligationto repay not basis for excessive tax levy; deposit by board of loanpayments received
    Sec. 3. (a) The board, after review by the budget committee, shalldetermine the terms of a loan made under this chapter, subject to thefollowing:
        (1) The loan must be repaid not later than ten (10) years afterthe date on which the loan is made.
        (2) The terms of the loan must allow for prepayment of the loanwithout penalty.
        (3) The maximum amount of the loan that a qualified taxingunit may receive with respect to a default described in section1(c)(3) of this chapter on one (1) or more payments of property

taxes first due and payable in a calendar year is the amount, asdetermined by the board, of revenue shortfall for the qualifiedtaxing unit that results from the default for that calendar year.
    (b) The board may disburse in installments the proceeds of a loanmade under this chapter.
    (c) A qualified taxing unit may repay a loan made under thischapter from any of the following:
        (1) Property tax revenues of the qualified taxing unit that aresubject to the levy limitations imposed by IC 6-1.1-18.5.
        (2) Property tax revenues of the qualified taxing unit that arenot subject to levy limitations as provided in IC 6-1.1-18.5-21.
        (3) The qualified taxing unit's debt service fund.
        (4) Any other source of revenues (other than property taxes)that is legally available to the qualified taxing unit.
The payment of any installment on a loan made under this chapterconstitutes a first charge against the property tax revenues describedin subdivision (1) or (2) that are collected by the qualified taxing unitduring the calendar year the installment is due and payable.
    (d) The obligation to repay a loan made under this chapter is nota basis for the qualified taxing unit to obtain an excessive tax levyunder IC 6-1.1-18.5 or IC 20-44-3.
    (e) Whenever the board receives a payment on a loan made underthis chapter, the board shall deposit the amount paid in thecounter-cyclical revenue and economic stabilization fund.
As added by P.L.182-2009(ss), SEC.156.

IC 6-1.1-21.3-4
Certain amounts not considered for determination of levy excess;use of delinquent tax and effect on remaining loan balance; use ofloan proceeds
    Sec. 4. (a) As used in this section, "delinquent tax" means any taxnot paid during the calendar year in which the tax was first due andpayable.
    (b) Except as provided in subsection (c), the following are notconsidered to be part of the ad valorem property tax levy actuallycollected by the qualified taxing unit for taxes first due and payableduring a particular calendar year for the purpose of calculating thelevy excess under IC 6-1.1-18.5-17 and IC 20-44-3:
        (1) The proceeds of a loan received by the qualified taxing unitunder this chapter.
        (2) The receipt by a qualified taxing unit of any payment ofdelinquent tax owed by a qualifying taxpayer.
    (c) Delinquent tax owed by a qualifying taxpayer received by aqualified taxing unit:
        (1) must first be used toward the retirement of an outstandingloan made under this chapter; and
        (2) is considered, only to the extent that the amount receivedexceeds the amount of the outstanding loan, to be part of the advalorem property tax levy actually collected by the qualifiedtaxing unit for taxes first due and payable during a particular

calendar year for the purpose of calculating the levy excessunder IC 6-1.1-18.5-17 and IC 20-44-3.
    (d) If a qualifying taxpayer pays delinquent tax during the term ofrepayment of an outstanding loan made under this chapter, theremaining loan balance is repayable in equal installments over theremainder of the original term of repayment.
    (e) Proceeds of a loan made under this chapter may be expendedby a qualified taxing unit only to pay obligations of the qualifiedtaxing unit that have been incurred under appropriations foroperating expenses made by the qualified taxing unit and approvedby the department of local government finance.
As added by P.L.182-2009(ss), SEC.156.

IC 6-1.1-21.3-5
Loan not bonded indebtedness
    Sec. 5. A loan under this chapter is not bonded indebtedness forpurposes of IC 6-1.1-18.5.
As added by P.L.182-2009(ss), SEC.156.