CHAPTER 2. TRANSFER, ACQUISITION, AND IMPROVEMENT OF UTILITIES BY MUNICIPALITIES
IC 8-1.5-2
Chapter 2. Transfer, Acquisition, and Improvement of Utilities byMunicipalities
IC 8-1.5-2-1
Application of chapter; exception
Sec. 1. This chapter applies to all municipalities exceptconsolidated cities.
As added by Acts 1982, P.L.74, SEC.1.
IC 8-1.5-2-2
Application of chapter; additional exceptions
Sec. 2. (a) This chapter does not apply to utilities governed byIC 8-1-13 or IC 8-1-2 except for a municipally owned utility.
(b) The law relating to acquisition of electric utility property andto electricity suppliers' service area assignments shall be governed byIC 8-1-2.3 and IC 8-1-2-95.1, and nothing in this chapter modifies orabridges those provisions.
As added by Acts 1982, P.L.74, SEC.1.
IC 8-1.5-2-3
Disposition, construction, and acquisition of utilities; lease andoperation of waterworks facilities
Sec. 3. (a) Subject to restrictions imposed by a bond ordinance,resolution, indenture, contract under IC 8-1-2.2, or similar instrumentbinding upon it, a municipality may sell or otherwise dispose of anyof its municipally owned utilities under this chapter.
(b) A municipality may own, lease, acquire, or construct a utilitywithin the corporate boundaries of the municipality, and within aradius of six (6) miles from those boundaries or any place within thecounty in which the municipality is located, under this chapterwithout the consent of any agency other than the municipallegislative body. Waterworks facilities may be leased from a publicutility and operated in conjunction with its municipal waterworks,whether or not the leased facilities are located within the corporateboundaries of the municipality, if the area served by the leasedfacilities outside those boundaries is contiguous to, or within one (1)mile of, those boundaries. For purposes of IC 36-4-3, a municipalitythat leases and operates waterworks serving such an area isconsidered to be furnishing water service to the area.
As added by Acts 1982, P.L.74, SEC.1.
IC 8-1.5-2-4
Sale of nonsurplus property; ordinance or resolution providing forappraisal
Sec. 4. Whenever the municipal legislative body determines tosell or otherwise dispose of nonsurplus municipally owned utilityproperty, it shall by ordinance or resolution, by a two-thirds (2/3)vote, provide for the following:
(1) The appointment, as follows, of three (3) residents of
Indiana to serve as appraisers:
(A) One (1) disinterested person who is an engineer licensedunder IC 25-31-1.
(B) One (1) disinterested appraiser licensed underIC 25-34.1.
(C) One disinterested person who is either:
(i) an engineer licensed under IC 25-31-1; or
(ii) an appraiser licensed under IC 25-34.1.
(2) The appraisal of the property.
(3) The time that the appraisal is due.
As added by Acts 1982, P.L.74, SEC.1. Amended by P.L.113-2006,SEC.2; P.L.103-2008, SEC.2.
IC 8-1.5-2-5
Sale of nonsurplus property; appraiser qualifications; publichearing; ordinance for sale; petitions opposing sale; submission tovoters
Sec. 5. (a) Each appraiser appointed as provided by section 4 ofthis chapter must:
(1) by education and experience, have such expert and technicalknowledge and qualifications as to make a proper appraisal andvaluation of the property of the type and nature involved in thesale;
(2) be a disinterested person; and
(3) not be a resident or taxpayer of the municipality.
(b) The appraisers shall:
(1) be sworn to make a just and true valuation of the property;and
(2) return their appraisal, in writing, to the municipal legislativebody within the time fixed by the ordinance or resolutionappointing them.
(c) If all three (3) appraisers cannot agree as to the appraisedvalue, the appraisal, when signed by two (2) of the appraisers,constitutes a good and valid appraisal.
(d) If, after the return of the appraisal by the appraisers to thelegislative body, the legislative body decides to proceed with the saleor disposition of the nonsurplus municipally owned utility property,the legislative body shall, not later than forty-five (45) days after thereturn of the appraisal, hold a public hearing to do the following:
(1) Review and explain the appraisal.
(2) Receive public comment on the proposed sale or dispositionof the nonsurplus municipally owned utility property.
(3) Adopt an ordinance providing for the sale or disposition ofthe nonsurplus municipally owned utility property. Thelegislative body is not required to adopt an ordinance under thissubdivision if, after the hearing, the legislative body determinesit is not in the interest of the municipality to proceed with thesale or disposition.
Notice of the hearing shall be published in the manner prescribed byIC 5-3-1. (e) The hearing on the ordinance providing for sale or dispositionmay not be held for thirty (30) days after notice is given as requiredby subsection (d).
(f) If:
(1) the legislative body adopts an ordinance under subsection(d)(3); and
(2) within the thirty (30) day period described in subsection (e),at least the number of the registered voters of the municipalityrequired under IC 3-8-6-3 for a petition to place a candidate onthe ballot sign and present a petition to the legislative bodyopposing the sale or disposition;
the legislative body shall submit the question as to whether the saleor disposition shall be made to the voters of the municipality at aspecial or general election. In submitting the public question to thevoters, the legislative body shall certify the question to the countyelection board of the county containing the greatest percentage ofpopulation of the municipality under IC 3-10-9-3. The countyelection board shall adopt a resolution setting forth the text of thepublic question and shall submit the question as to whether the saleor disposition shall be made to the voters of the municipality at aspecial or general election on a date specified by the municipallegislative body. Pending the results of an election under thissubsection, the municipality may not take further action to sell ordispose of the property as provided in the ordinance.
(g) If a majority of the voters voting on the question vote for thesale or disposition, the legislative body shall proceed to sell theproperty as provided in the ordinance.
(h) If a majority of the voters voting on the question vote againstthe sale or disposition, the sale may not be made.
(i) If:
(1) the legislative body adopts an ordinance under subsection(d)(3); and
(2) after the expiration of thirty (30) days as provided insubsection (e), a petition is not filed;
the municipal legislative body may proceed to sell the property asprovided in the ordinance.
As added by Acts 1982, P.L.74, SEC.1. Amended by P.L.12-1995,SEC.99; P.L.3-1997, SEC.425; P.L.2-1998, SEC.34; P.L.103-2008,SEC.3.
IC 8-1.5-2-6
Sale of nonsurplus property; terms of ordinance; satisfaction ofexisting obligations; bid submitted by trust
Sec. 6. (a) The ordinance adopted by the municipal legislativebody under section 5(d) of this chapter must provide for:
(1) the sale or disposition of the municipally owned utilityproperty;
(2) the manner of the sale or disposition;
(3) the price, terms, and conditions of the sale or disposition,which must be consistent with any contractual obligations
previously incurred under IC 8-1-2.2; and
(4) the officer or officers who are to execute the properdocuments conveying title on behalf of the municipality.
(b) The property may not be sold for less than its full appraisedvalue, as set forth in the appraisal, less the amount of any bonds,liens, or other indebtedness due upon the property, and only inaccordance with contractual obligations incurred under IC 8-1-2.2.The indebtedness shall either:
(1) be paid in accordance with the terms and conditions of theinstruments governing the indebtedness before the sale; or
(2) be assumed and paid by the purchaser as part of thepurchase price of the property.
(c) This subsection applies if a municipal legislative body adoptsan ordinance for the sale or disposition of municipally owned utilityreal property by acceptance of bids. A bid submitted by a trust (asdefined in IC 30-4-1-1(a)) must identify each:
(1) beneficiary of the trust; and
(2) settlor empowered to revoke or modify the trust.
(d) The proceeds of any sale under this chapter shall be paid intothe treasury of the municipality making the sale and become part ofthe general fund.
As added by Acts 1982, P.L.74, SEC.1. Amended by P.L.104-1983,SEC.1; P.L.336-1989(ss), SEC.18; P.L.103-2008, SEC.4.
IC 8-1.5-2-7
Public convenience and necessity; declaratory resolution
Sec. 7. (a) A certificate of public convenience and necessity is notrequired as a condition precedent to the owning, leasing, acquisition,construction, or operation of a utility by a municipality, even if thereis a public utility engaged in a similar service. The acquisition ofelectric utility property and assignment of a municipal electricutility's service area are, however, subject to the provisions ofIC 8-1-2.3 and IC 8-1-2-95.1.
(b) A municipality that wants to own and operate a utility wherethere is a public utility engaged in a similar service:
(1) under a franchise granted by the municipality; or
(2) under an indeterminate permit as defined in IC 8-1-2-1;
may, after a hearing as provided by section 10 of this chapter, declareby ordinance that public convenience and necessity require theestablishment of a municipally owned utility.
As added by Acts 1982, P.L.74, SEC.1. Amended by P.L.172-2009,SEC.3.
IC 8-1.5-2-8
Preliminary expenses; appropriation
Sec. 8. Before a municipal legislative body:
(1) proposes to construct or acquire a utility; and
(2) makes a determination as to public convenience andnecessity;
it may appropriate out of its general fund an amount not exceeding
five percent (5%) of the total estimated cost of constructing oracquiring the utility, as necessary to pay the expenses of apreliminary investigation, surveys, plans, specifications, andappraisals, including engineering and legal expenses in constructingor acquiring the utility. Any action by the municipal legislative bodyin making an appropriation is final and not subject to review by thedepartment of local government finance. The municipal legislativebody may renew or adjust the appropriation on an annual basis untilthe construction or acquisition of the utility is complete.
As added by Acts 1982, P.L.74, SEC.1. Amended by P.L.90-2002,SEC.313; P.L.172-2009, SEC.4.
IC 8-1.5-2-9
Appropriation for preliminary expenses; repayment
Sec. 9. If the municipal legislative body proceeds to construct oracquire the utility, there must be included in the total amount ofmoney to be raised by the issuance of bonds in connection with theconstruction or acquisition of the utility the amount of theexpenditures that will be repaid to the general fund of themunicipality from the money derived from the issuance and sale ofthe bonds.
As added by Acts 1982, P.L.74, SEC.1.
IC 8-1.5-2-10
Ordinance declaring public convenience and necessity; notice andhearing
Sec. 10. (a) Before a municipal legislative body adopts anordinance declaring that public convenience and necessity require theconstruction or acquisition of a utility as provided by section 7 ofthis chapter, each public utility furnishing a similar utility service inthe municipality, or in the contiguous territory in which themunicipality proposes to operate, shall be given ten (10) days noticeby the legislative body of the time and place where the hearing willbe held. At the hearing, the public utility is entitled to be heard inperson or by counsel in opposition to the proposed action.
(b) Notice must be served by delivering a copy to an officer ormanager of the public utility in the municipality, if possible, or to anofficer of the public utility elsewhere in Indiana.
As added by Acts 1982, P.L.74, SEC.1.
IC 8-1.5-2-11
Repealed
(Repealed by P.L.172-2009, SEC.8.)
IC 8-1.5-2-12
Sale of heat, light, water, or power to municipality
Sec. 12. (a) Upon the approval by resolution of the municipallegislative body, a municipally owned utility may sell or furnish heat,light, water, or power to the municipality to be used exclusively forthe furnishing of utility service to the municipality for its own
municipal purposes.
(b) This section is not intended to permit the sale or furnishing ofpower to the municipality where the sale would affect the obligationof any contract or franchise.
As added by Acts 1982, P.L.74, SEC.1.
IC 8-1.5-2-13
Contracts for acquisition, construction, or replacement of publicutility property; authorizing ordinance
Sec. 13. A contract made by the municipal legislative body for theacquisition, construction, extension, or replacement of the propertyof a public utility must be authorized by ordinance. The ordinancemust provide for the principal and interest of bonds issued for thepayment of the cost of the acquisition, construction, extension, orreplacement to be paid exclusively from the income and revenue ofthe property acquired with the proceeds of the bonds.
As added by Acts 1982, P.L.74, SEC.1.
IC 8-1.5-2-14
Costs of construction or acquisition; security for payment
Sec. 14. A municipality that constructs or acquires a utility may,through its municipal legislative body, provide for and secure thepayment of the cost of constructing, acquiring, extending, orimproving the utility by assigning or otherwise pledging the propertyacquired, together with the net earnings or profits derived or to bederived from the operation of the utility or utilities. Contracts,warrants, debentures, or pledges of future revenues entered into bya municipally owned utility are not an indebtedness of themunicipality within the meaning of any constitutional debt limitation.
As added by Acts 1982, P.L.74, SEC.1.
IC 8-1.5-2-15
Condemnation; authorization
Sec. 15. (a) If the municipality and the owners of a public utilityare unable to agree upon a price to be paid for the property of thepublic utility, the municipality may:
(1) by ordinance declare that a public necessity exists for thecondemnation of the utility property; and
(2) bring an action in the circuit or superior court of the countywhere the municipality is located against the utility for thecondemnation of the property.
(b) An ordinance adopted under subsection (a) is final.
(c) For the purpose of acquiring the property of a public utility,the municipality:
(1) may exercise the power of eminent domain in accordancewith IC 32-24; and
(2) is required only to establish the necessity of taking as thischapter requires.
(d) The provisions of this section do not apply to the acquisitionof electric utility property or the assignment of service areas covered
by IC 8-1-2.3 and IC 8-1-2-95.1.
As added by Acts 1982, P.L.74, SEC.1. Amended by P.L.2-2002,SEC.38.
IC 8-1.5-2-16
Repealed
(Repealed by P.L.172-2009, SEC.8.)
IC 8-1.5-2-17
Acquisition of property rights inside or outside boundaries; utilitylines; protection of services from injury or pollution; attachmentsfrom abuse, destruction, or waste
Sec. 17. (a) A municipality, by exercising the power of eminentdomain in accordance with IC 32-24 or other applicable law, mayacquire property rights inside or outside its corporate boundaries asnecessary for the business of a municipally owned utility.
(b) The municipal legislative body may provide for utility lines tobe laid through the municipality as the municipally owned utilityrequires. The municipality may use any property or property rightsnecessary for constructing, acquiring, operating, or protecting frominjury or pollution the municipally owned utility services.
(c) For the purpose of preserving and protecting from injury orpollution the municipal water services, the municipality may exerciseits powers in areas within twenty-five (25) miles outside its corporateboundaries.
(d) All attachments made to the utility fixtures, whether intendedfor public or private use, are subject to the supervision and rules ofthe utility for protection against abuse or destruction or theinordinate use or waste of utility services.
As added by Acts 1982, P.L.74, SEC.1. Amended by P.L.2-2002,SEC.39.
IC 8-1.5-2-18
Bonds; payable out of special account; issuance
Sec. 18. (a) To provide money to pay for the construction oracquisition of a utility under this chapter, or its extension,improvement, or replacement in whole or in part, or its repair, themunicipal legislative body may issue and sell bonds bearing interestat any rate, executed and payable at times not to exceed forty (40)years from the date of issuance, and at places as the legislative bodydetermines. The bonds and interest on them are payable only out ofa special account, and the bonds do not constitute an indebtedness ofthe municipality within the meaning of the constitutional limitations.
(b) Each bond must state plainly upon its face:
(1) that it is payable only from a special account;
(2) the account and the ordinance creating it; and
(3) that it does not constitute an indebtedness of themunicipality within the meaning of any constitutional debtlimitation.
(c) The bonds shall be sold in accordance with IC 5-1-11. (d) This section provides an alternative method of financing forall municipalities, notwithstanding any other law.
As added by Acts 1982, P.L.74, SEC.1.
IC 8-1.5-2-19
Bonds, notes, or other obligations; issuance; approval bycommission for long term bonds
Sec. 19. (a) A municipality may not issue bonds, notes, or otherobligations under this chapter without the approval of thecommission if the bond, notes, or other obligations are payable morethan twelve (12) months after their execution, except as authorizedby IC 8-1-2.2-11.
(b) If the evidence presented to the commission establishes thatthe rates and charges proposed by the municipally owned utility willprovide sufficient funds for the operation, maintenance, anddepreciation of the utility, and to pay the principal and interest of theproposed bond issue, together with a surplus or margin of at least tenpercent (10%) in excess, the commission shall so certify in its orderapproving the issuance of bonds.
As added by Acts 1982, P.L.74, SEC.1. Amended by P.L.103-2008,SEC.5.
IC 8-1.5-2-19.5
Purchase of equipment requiring lead time before availability;approval of contracts if sufficient funds available
Sec. 19.5. If a municipality desires to purchase and installequipment for its utility which requires more than three (3) monthslead time for the supplier to make such equipment and installationavailable, the legislative body may, by ordinance, approve a contracttherefor even though it does not have sufficient funds appropriatedor on hand to pay for such purchase if the utility:
(1) has annual net operating revenues for the immediatelypreceding calendar year sufficient to permit the municipality:
(A) to pay the principal of and interest on an issue of itsutility revenue bonds in the principal amount necessary tofund such purchase (including engineering costs, legal costs,and costs of bond issuance associated therewith); and
(B) a margin of safety which it deems necessary to marketsuch bonds on acceptable terms;
(2) if required by section 19 of this chapter, has receivedapproval from the commission to issue bonds, notes, or otherobligations sufficient to fund such purchase; or
(3) has received approval from the commission to raise its ratesand charges in an amount sufficient to permit the issuance ofsaid bonds.
As added by P.L.105-1983, SEC.1. Amended by P.L.103-2008,SEC.6.
IC 8-1.5-2-20
Bonds; payment from revenues not derived from particular utility;
restriction
Sec. 20. Except as provided by section 22 of this chapter, themunicipal legislative body may not adopt an ordinance, or enter intoor ratify a contract, for the payment, directly or indirectly, of a bondor bonds by revenues derived by the municipality from the levy oftaxes, from the issuance of any bonds other than from the issuanceof bonds specifically authorized by this chapter or by a refundingstatute, or from any source except the revenues derived from thatparticular utility.
As added by Acts 1982, P.L.74, SEC.1.
IC 8-1.5-2-21
Bonds payable out of special account; purchase by municipality
Sec. 21. A municipality may invest its own money in the bondsissued under section 18 of this chapter.
As added by Acts 1982, P.L.74, SEC.1.
IC 8-1.5-2-22
General obligation bonds; authorization; limitation
Sec. 22. (a) If the municipal legislative body decides that it isimpracticable to raise the entire amount necessary to construct oracquire the utility solely by the issuance and sale of revenue bonds,the legislative body may, by ordinance, provide that a part of theamount may be raised by the issuance and sale of bonds pledging thegeneral credit of the municipality.
(b) The bonds shall be issued in accordance with IC 6-1.1-20. Thebonds may not exceed one-third (1/3) of the total cost of the utility.This limitation does not apply to a utility to be owned and operatedby a municipality exclusively for the purpose of furnishing utilityservice to the municipality for its own municipal purposes.
As added by Acts 1982, P.L.74, SEC.1.
IC 8-1.5-2-23
General obligation bonds; terms; sale
Sec. 23. If general obligation bonds are issued, they:
(1) may be issued in any denomination;
(2) are payable at a time not to exceed forty (40) years fromissuance;
(3) may bear interest at any rate payable semiannually; and
(4) shall be sold for not less than par value and accrued interest;
as provided by ordinance. The bonds shall be sold in accordance withIC 5-1-11.
As added by Acts 1982, P.L.74, SEC.1.
IC 8-1.5-2-24
Revenue bonds; money set aside for payment of interest andprincipal
Sec. 24. (a) The board of a municipally owned utility, as definedby IC 8-1.5-3-2, shall, at least semiannually, set aside from the netearnings a sufficient amount to pay the interest and principal, as they
become due, on revenue bonds issued in payment for the utility or forits improvement. This money may not be used for any other purpose.
(b) The commission shall approve the amount set aside for thepayment of the interest and principal when the commission approvesthe rates and charges of the municipality.
As added by Acts 1982, P.L.74, SEC.1.
IC 8-1.5-2-25
Special utility account; establishment by municipality; use
Sec. 25. (a) The municipal legislative body, after providing forthe:
(1) payment of operation and maintenance expenses of theutility;
(2) payment of the interest and principal on revenue bonds andcreation of reserves for them;
(3) payment of the interest and principal on general obligationbonds and creation of reserves for them; and
(4) payment of assessed taxes;
shall set aside a sufficient remainder of the earnings into a separateand special account to be identified as the special utility account, tobe used and applied in the extension, replacement in whole or in part,repair, and operation and maintenance of the utility.
(b) The remaining earnings may be applied to:
(1) the general fund of the municipality in accordance withIC 8-1.5-3-11, outstanding bond ordinances, and contractprovisions under IC 8-1-2.2;
(2) the payment of the interest on a loan made for utilityconstruction; or
(3) the creation of a sinking fund for the liquidation of the debt;
as the legislative body determines.
As added by Acts 1982, P.L.74, SEC.1.
IC 8-1.5-2-26
Tax levy for payment of bonds
Sec. 26. (a) To pay the principal and interest on bonds issued forthe construction, acquisition, extension, or improvement of amunicipally owned utility, the municipal legislative body may levyan annual tax of sufficient amount on all taxable property of themunicipality.
(b) If the legislative body:
(1) has contracted with a person for supplying utility services orhas agreed to lease or purchase utility services; and
(2) has, in the contract, agreed to pay a stated rental, astipulated purchase price, or other compensation to the person,or has issued bonds to pay for stock in the company or topurchase the plant;
it may levy an annual tax for payment of the rent or otherconsideration or purchase price to be paid for utility services, or forthe purchase price of a plant, and to pay the principal and interest onthe bonds. (c) The tax under this section shall be levied and collected asother municipal taxes are levied and collected, and the proceeds shallbe used only for the purpose for which the tax was levied.
As added by Acts 1982, P.L.74, SEC.1.
IC 8-1.5-2-27
Lease of waterworks facilities; term; option to purchase or renew;transfer of property to municipality
Sec. 27. (a) A municipality may lease waterworks facilities froma not-for-profit corporation, a public utility, a county, or amunicipality. The term of the lease may not exceed fifty (50) years.The lease must provide that the municipality has an option to:
(1) renew the lease for a further term on like conditions; and
(2) purchase the waterworks facilities covered by the leasecontract with the terms and conditions of the purchase specifiedin the lease.
(b) If the option to purchase the waterworks facilities covered bythe lease is exercised, the municipality, for the purpose of procuringmoney to pay the purchase price, may issue and sell revenue bondsunder other laws governing the issuance and sale of waterworksrevenue bonds for additions and extensions to municipal waterworks.
(c) If the municipality has not exercised an option to purchase theproperty covered by the lease at the expiration of the lease, and uponthe full discharge and performance by the municipality of itsobligations under the lease contract, the property covered by thelease thereupon becomes the absolute property of the municipality,and the lessor shall execute proper instruments conveying to themunicipality good and merchantable title thereto.
(d) A waterworks facility leased under this section is subject toIC 5-16-7.
As added by Acts 1982, P.L.74, SEC.1. Amended by P.L.35-1990,SEC.26.
IC 8-1.5-2-28
Lease of waterworks facilities; payment of operating expenses;sufficiency of rates and charges
Sec. 28. (a) A waterworks lease may provide that as a part of thelease rental for the waterworks facilities the lessee agrees to:
(1) pay all property taxes and assessments levied against or onaccount of the leased facilities;
(2) maintain insurance on the leased facilities for the benefit ofthe lessor; and
(3) assume all responsibilities for the operation, maintenance,repair, alterations, and additions of the leased facilities.
(b) All of the expenses incurred under subsection (a) and the leaserental are payable solely from the revenues derived from water ratesand charges to be collected by the lessee from property and users inthe area served by the leased facilities.
(c) The lessee may establish, fix, bill, and collect rates andcharges with respect to the property and users in the area served by
the leased facilities that are sufficient:
(1) to pay the costs of operation, maintenance, repair,alterations, depreciation, and additions of the leased facilities;and
(2) to pay the lease rental as it becomes due.
Rates and charges too low to meet these requirements are unlawful.These rates and charges are subject to approval in accordance withIC 8-1.5-3-8.
As added by Acts 1982, P.L.74, SEC.1.
IC 8-1.5-2-29
Lease of waterworks facilities; notice and hearing
Sec. 29. (a) When the municipality and the lessor have agreedupon the terms and conditions of any waterworks lease proposed tobe entered into under this chapter and before the final execution ofthe lease, a notice shall be given by publication in accordance withIC 5-3-1 to all persons interested, of a hearing to be held before themunicipal legislative body, which hearing must be on a day notearlier than twenty (20) days after publication of the notice.
(b) The notice must:
(1) name the day, place, and hour of the hearing; and
(2) set forth a brief summary of the principal terms agreed upon,including:
(A) the name of the lessor;
(B) the character of the property to be leased;
(C) the lease rental to be paid; and
(D) the number of years the lease is to be in effect.
(c) The proposed lease must be available for inspection by thepublic during the twenty (20) day period and at the hearing.
(d) All persons interested are entitled to be heard, at the timefixed, upon the necessity for the execution of the lease and whetherthe rental to be paid to the proposed lessor is a fair and reasonablerental for the waterworks facilities. The hearing may be adjourned toa later date or dates.
As added by Acts 1982, P.L.74, SEC.1. Amended by P.L.35-1990,SEC.27.
IC 8-1.5-2-30
Lease of waterworks facilities; execution; limitation of actions
Sec. 30. (a) After the hearing under section 29 of this chapter, themunicipal legislative body may:
(1) authorize the execution of the waterworks lease as originallyagreed upon; or
(2) make modifications as may be agreed upon with theproposed lessor;
but the lease rental as set out in the published notice may not beincreased without a new notice and hearing.
(b) If the execution of the lease as originally agreed upon, or asmodified by agreement, is authorized by the legislative body, a noticeof the signing of the contract of lease shall be given by publication
in accordance with IC 5-3-1.
(c) An action to:
(1) contest the validity of the lease; or
(2) enjoin the performance of any of the terms and conditionsof the lease;
must be brought not later than thirty (30) days after publication of thenotice of execution of the lease.
As added by Acts 1982, P.L.74, SEC.1.
IC 8-1.5-2-31
Leased waterworks facilities; tax exemptions
Sec. 31. All waterworks facilities leased by a lessor contractingwith a municipality under this chapter are exempt from all state,county, and other taxes. However, the rental paid to a lessor underthe terms of such a lease is subject to all applicable taxes.
As added by Acts 1982, P.L.74, SEC.1.
IC 8-1.5-2-32
Leased waterworks facilities; applicable statutes
Sec. 32. As to waterworks facilities leased and acquired under thischapter, it is not necessary to comply with any other statutesconcerning the leasing and acquisition of waterworks facilities bymunicipalities except as specifically required by this chapter.
As added by Acts 1982, P.L.74, SEC.1.