CHAPTER 5. DEPARTMENT OF STORM WATER MANAGEMENT
IC 8-1.5-5
Chapter 5. Department of Storm Water Management
IC 8-1.5-5-1
Application of chapter
Sec. 1. This chapter applies to each:
(1) municipality; and
(2) county that:
(A) does not have a consolidated city; and
(B) receives notification from the department ofenvironmental management that the county will be subjectto storm water regulation under 327 IAC 15-13;
that adopts the provisions of this chapter by ordinance.
As added by P.L.125-1987, SEC.1. Amended by P.L.282-2003,SEC.2.
IC 8-1.5-5-1.5
Definitions
Sec. 1.5. The definitions in IC 36-1-2 apply throughout thischapter.
As added by P.L.282-2003, SEC.3.
IC 8-1.5-5-2
"Board" defined
Sec. 2. As used in this chapter, "board" means the following:
(1) For a consolidated city, the board of public worksestablished by IC 36-3-5-6.
(2) For all other municipalities, the:
(A) board of directors described in section 4 of this chapter;or
(B) board that controls the third class city's municipallyowned utilities under IC 8-1.5-3-3(a) if the city has adoptedan ordinance under IC 8-1.5-3-3(a) that provides for thecontrol of any or all of the city's storm water facilities by theboard that controls the city's municipally owned utilities.
(3) For a county:
(A) the county executive; and
(B) the county surveyor.
As added by P.L.125-1987, SEC.1. Amended by P.L.93-1993, SEC.3;P.L.98-1993, SEC.1; P.L.282-2003, SEC.4.
IC 8-1.5-5-3
"Department" defined
Sec. 3. As used in this chapter, "department" means the following:
(1) For a consolidated city, the department of public works.
(2) For all other municipalities, the department of storm watermanagement established under section 4 of this chapter.
(3) For a county, the department of storm water managementestablished under section 4.5 of this chapter.
As added by P.L.125-1987, SEC.1. Amended by P.L.93-1993, SEC.4;
P.L.98-1993, SEC.2; P.L.282-2003, SEC.5.
IC 8-1.5-5-3.5
"District" defined
Sec. 3.5. As used in this chapter, "district" means the specialtaxing district established by section 5 of this chapter.
As added by P.L.93-1993, SEC.5 and P.L.98-1993, SEC.3.
IC 8-1.5-5-4
Board of storm water management; directors
Sec. 4. (a) This section applies to all municipalities except aconsolidated city.
(b) If the legislative body of a municipality adopts the provisionsof this chapter by ordinance, a department of storm watermanagement is established and is controlled by a board of directors.
(c) Except as provided in subsections (f) and (g), the boardconsists of three (3) directors. The executive of the municipality shallappoint the directors, not more than two (2) of whom may be of thesame political party.
(d) Except as provided in subsections (f) and (g), the legislativebody shall prescribe, by ordinance, the terms of the directors.However, the legislative body must prescribe the initial terms of thedirectors so that they will be staggered.
(e) The executive may remove a director at any time when, in thejudgment of the executive, it is for the best interest of thedepartment.
(f) If a second class city has a department of public sanitationunder IC 36-9-25, the executive of the city may appoint the membersof the board of sanitary commissioners as the board of directors ofthe department of storm water management. The terms of themembers of the board of directors are the same as the terms of themembers of the board of sanitary commissioners under IC 36-9-25-4.
(g) If a third class city:
(1) has a board that controls the city's municipally ownedutilities under IC 8-1.5-3-3(a); and
(2) has adopted an ordinance under IC 8-1.5-3-3(a) thatprovides for the control of any or all of the city's storm waterfacilities by the board that controls the city's municipally ownedutilities;
the members of the board that controls the city's municipally ownedutilities shall serve as the board of directors of the department ofstorm water management, subject to any transition procedurespecified in the ordinance under IC 8-1.5-3-3(b). The terms of themembers of the board of directors are the same as the terms of themembers of the board that controls the city's municipally ownedutilities under IC 8-1.5-3-3(a), subject to the completion of anytransition procedure specified in the ordinance under IC 8-1.5-3-3(b).
(h) A member of the board of directors of the department of stormwater management who:
(1) is appointed under subsection (f); or (2) is a member of the board under subsection (g) and receivesa salary as a member of the board that controls the third classcity's municipally owned utilities;
is not entitled to a salary for serving as a member of the board ofdirectors of the department of storm water management. However,a member shall be reimbursed for necessary expenses incurred by themember in the performance of official duties.
As added by P.L.125-1987, SEC.1. Amended by P.L.93-1993, SEC.6;P.L.98-1993, SEC.4; P.L.5-1998, SEC.1; P.L.282-2003, SEC.6.
IC 8-1.5-5-4.5
County department of storm water management; board ofdirectors; compensation
Sec. 4.5. (a) This section applies to a county.
(b) If the county executive adopts the provisions of this chapter byordinance, a department of storm water management is establishedand is controlled by a board of directors.
(c) An ordinance adopted under this section shall provide for theappointment of:
(1) the members of the county executive; and
(2) the county surveyor;
as the board of directors of the department. The term of office of amember of the board who is appointed from the membership of thecounty executive is coextensive with the member's term of office onthe county executive. The term of the surveyor or the surveyor'sdesignee as a member of the board is coextensive with the surveyor'sterm of office.
(d) A member of the board of directors is not entitled to a salaryor per diem for serving as a member of the board of directors.However, a member shall be reimbursed for necessary expensesincurred by the member in the performance of official duties.
As added by P.L.282-2003, SEC.7.
IC 8-1.5-5-5
Special taxing district
Sec. 5. (a) The ordinance adopting the provisions of this chaptercreates a special taxing district that includes the following:
(1) For a consolidated city, all of the territory of the countycontaining the consolidated city.
(2) For all other municipalities, all territory within the corporateboundaries of the municipality.
(3) For a county, all the territory in the county that is notlocated in a municipality.
(b) All the territory within the district constitutes a special taxingdistrict for the purpose of providing for the collection and disposalof storm water of the district in a manner that protects the publichealth and welfare and for the purpose of levying special benefittaxes for purposes of storm water collection and disposal. Allterritory in the district and all territory added to the district isconsidered to have received a special benefit from the storm water
collection and disposal facilities of the district equal to or greaterthan the special taxes imposed on the territory under this chapter inorder to pay all or part of the costs of such facilities.
As added by P.L.125-1987, SEC.1. Amended by P.L.93-1993, SEC.7;P.L.98-1993, SEC.5; P.L.282-2003, SEC.8.
IC 8-1.5-5-6
Powers of board
Sec. 6. The board has the powers and duties prescribed byIC 8-1.5-3-4(a). In addition, the board may:
(1) hold hearings following public notice;
(2) make findings and determinations;
(3) install, maintain, and operate a storm water collection anddisposal system;
(4) make all necessary or desirable improvements of thegrounds and premises under its control; and
(5) issue and sell bonds of the district in the name of the unitserved by the department for the acquisition, construction,alteration, addition, or extension of the storm water collectionand disposal system or for the refunding of any bonds issued bythe board.
As added by P.L.125-1987, SEC.1. Amended by P.L.282-2003,SEC.9.
IC 8-1.5-5-7
Financing of facilities; user fees
Sec. 7. (a) The acquisition, construction, installation, operation,and maintenance of facilities and land for storm water systems maybe financed through:
(1) proceeds of special taxing district bonds of the storm waterdistrict;
(2) the assumption of liability incurred to construct the stormwater system being acquired;
(3) service rates;
(4) revenue bonds; or
(5) any other available funds.
(b) Except as provided in IC 36-9-23-37, the board, after holdinga public hearing with notice given under IC 5-3-1 and obtaining theapproval of the fiscal body of the unit served by the department, mayassess and collect user fees from all of the property of the stormwater district for the operation and maintenance of the storm watersystem. The amount of the user fees must be the minimum amountnecessary for the operation and maintenance of the storm watersystem. The assessment and collection of user fees under thissubsection by the board of a county must also be approved by thecounty executive.
(c) The collection of the fees authorized by this section may beeffectuated through a periodic billing system or through a chargeappearing on the semiannual property tax statement of the affectedproperty owner. (d) The board shall use one (1) or more of the following factorsto establish the fees authorized by this section:
(1) A flat charge for each lot, parcel of property, or building.
(2) The amount of impervious surface on the property.
(3) The number and size of storm water outlets on the property.
(4) The amount, strength, or character of storm waterdischarged.
(5) The existence of improvements on the property that addressstorm water quality and quantity issues.
(6) The degree to which storm water discharged from theproperty affects water quality in the storm water district.
(7) Any other factors the board considers necessary.
(e) The board may exercise reasonable discretion in adoptingdifferent schedules of fees or making classifications in schedules offees based on:
(1) variations in the costs, including capital expenditures, offurnishing services to various classes of users or to variouslocations;
(2) variations in the number of users in various locations; and
(3) whether the property is used primarily for residential,commercial, or agricultural purposes.
As added by P.L.125-1987, SEC.1. Amended by P.L.176-2002,SEC.6; P.L.282-2003, SEC.10; P.L.114-2008, SEC.3.
IC 8-1.5-5-8
Fixing and setting aside revenues
Sec. 8. The board may fix and set aside:
(1) revenues of the department necessary for reasonable andproper operation and maintenance;
(2) revenues for a proper and adequate depreciation account;and
(3) revenues to be applied to the payment of the principal andinterest of the authorized bonds.
As added by P.L.125-1987, SEC.1.
IC 8-1.5-5-9
Maintenance account; surplus
Sec. 9. (a) In fixing the revenues of the department required foroperation and maintenance, the board shall consider the cost of theoperation and maintenance of the department.
(b) If a surplus is accumulated in the operating and maintenanceaccount, the board may transfer any excess over that surplus to:
(1) the depreciation account, to be used for any improvements,extensions, or additions to the storm water system; or
(2) the bond and interest redemption account.
As added by P.L.125-1987, SEC.1.
IC 8-1.5-5-10
Bond and interest redemption account; surplus
Sec. 10. (a) The revenues set aside for the payment of the
principal and interest of the authorized bonds shall be deposited andcredited to a special account identified as "the bond and interestredemption account".
(b) In determining the amount that is to be set aside for thepayment of the principal and interest of the authorized bonds, theboard may provide that the amount to be set aside and paid into thebond and interest redemption account for any year or years shouldnot exceed a fixed sum, which must be at least sufficient to providefor the payment of the interest and principal of the bonds maturingand becoming payable in each year.
(c) If a surplus is created in the bond and interest redemptionaccount, the board may transfer any excess over the surplus to:
(1) the operation and maintenance account; or
(2) the depreciation account.
As added by P.L.125-1987, SEC.1.
IC 8-1.5-5-11
Depreciation account; use of revenues
Sec. 11. The revenues set aside to the depreciation account shallbe expended for:
(1) the repair of the storm water system;
(2) new acquisition, construction, extensions, or additions to theproperty of the storm water system; or
(3) transfer to the bond and interest redemption account toprevent a default.
As added by P.L.125-1987, SEC.1.
IC 8-1.5-5-12
Assumption and payment of liability upon acquisition of stormwater system
Sec. 12. (a) If the board acquires a storm water system andassumes the liability incurred by the seller to construct the stormwater system, the principal and interest on the liability so assumedshall be paid from the bond and interest redemption account in thesame manner as bonds of the district would be paid, and the boardshall set aside sufficient revenues to comply with the requirementsof the instrument creating the liability.
(b) A unit acquiring a storm water system may not assume anyliability for the payment of a secured debt or charge other than theobligation to apply the revenues in the manner prescribed in theordinance.
(c) The board may issue bonds in exchange for, or satisfaction of,the liability assumed in the acquisition of a storm water system. Thebonds so issued may not be issued at less than ninety-seven percent(97%) of the par value thereof in exchange for, or satisfaction of, theliability. Notwithstanding section 13(c) of this chapter, bonds issuedin exchange for, or satisfaction of, the liability need not be sold inaccordance with IC 5-1-11. However, the interest rate on such bondsmay not exceed the average yield on municipal revenue bonds ofcomparable credit rating and maturity as of the end of the week
immediately preceding the issuance of the bonds.
As added by P.L.125-1987, SEC.1. Amended by P.L.282-2003,SEC.11.
IC 8-1.5-5-13
District bonds; nature
Sec. 13. (a) The bonds of the district are:
(1) a valid claim of the holders only against the bond andinterest redemption account and the revenues of the storm watersystem; and
(2) exempt from taxation in Indiana as provided by IC 6-8-5.
(b) The bonds may be issued either as registered bonds or ascoupon bonds payable to the bearer.
(c) Except as provided in this chapter or IC 5-1-5, bonds shall besold in accordance with IC 5-1-11. The registration of bonds does notaffect negotiability.
As added by P.L.125-1987, SEC.1.
IC 8-1.5-5-14
Bond issue
Sec. 14. A board acquiring a storm water system and paying forit and for extensions and betterments authorized at the time ofacquisition may provide for the combined cost in one (1) issue ofbonds. The board shall issue and secure the bonds in the mannerprovided in this chapter to provide funds for the original constructionof a storm water system.
As added by P.L.125-1987, SEC.1.
IC 8-1.5-5-15
Use of bond proceeds; actions to compel performance; actionsupon default
Sec. 15. (a) All money received from bonds issued under thischapter shall be applied solely to the acquisition, construction, repair,and maintenance of the storm water system, the cost of the issuanceof the bonds, and the creation of any reserve for the bonds.
(b) Any holder of the bonds may bring a civil action to compelperformance of all duties required by this chapter of the boardissuing the bonds or of any officer of the board, including thefollowing:
(1) Making and collecting reasonable and sufficient user feeslawfully established for service rendered by the storm watersystem.
(2) Segregating the income and revenues of the department.
(3) Applying the respective funds created under this chapter.
(c) If there is any default in the payment of the principal orinterest of any of the bonds, a court having jurisdiction of the actionmay:
(1) appoint an administrator or receiver to administer the stormwater system on behalf of the unit served by the department andthe bondholders, with power to: (A) charge and collect user fees lawfully establishedsufficient to provide for the payment of the operatingexpenses and also to pay any bonds or obligationsoutstanding against the storm water system; and
(B) apply the income and revenues in conformity with thischapter and the ordinance; or
(2) declare the whole amount of the bonds due and payable anddirect the sale of the storm water system.
Under a sale ordered under subdivision (2), the purchaser is vestedwith an indeterminate permit as defined in IC 8-1-2-1 to maintain andoperate the storm water system to collect and dispose of storm waterfor the unit served by the department and its citizens.
As added by P.L.125-1987, SEC.1. Amended by P.L.282-2003,SEC.12.
IC 8-1.5-5-16
Charge for services in a municipality; deposit of funds
Sec. 16. (a) This section applies to a municipality.
(b) The reasonable cost and value of any service rendered to themunicipality by the storm water system by furnishing storm watercollection and disposal shall be:
(1) charged against the municipality; and
(2) paid for as the service accrues out of:
(A) the current revenues of the municipality, collected or inprocess of collection; or
(B) the tax levy of the municipality made by it to raisemoney to meet its necessary current expenses.
(c) The compensation for the service provided to the municipalityshall, in the manner prescribed by this chapter, be treated as revenuesof the system and paid into the funds created under this chapter.
As added by P.L.125-1987, SEC.1. Amended by P.L.282-2003,SEC.13.
IC 8-1.5-5-16.5
Charge for services in a county; deposit of funds
Sec. 16.5. (a) This section applies to a county.
(b) The reasonable cost and value of any service rendered to thecounty by the storm water system by furnishing storm watercollection and disposal shall be:
(1) charged against all the territory in the county, exceptterritory within a municipality; and
(2) paid for as the service accrues out of:
(A) the current revenues of the county, collected or inprocess of collection; or
(B) the tax levy of the county made by the county to raisemoney to meet the county's necessary current expenses.
(c) The compensation for the service provided to the county shall,in the manner prescribed by this chapter, be treated as revenues ofthe system and paid into the funds created under this chapter.
As added by P.L.282-2003, SEC.14.
IC 8-1.5-5-17
Proposed projects; resolution; notice to property owners;preadoption contracts for purchase
Sec. 17. (a) If, upon investigation, the board finds that:
(1) the storm water system is insufficient to furnish thenecessary collection and disposal of storm water to properlyprotect the public health and welfare and safeguard the propertywithin the district; or
(2) it is necessary to acquire, construct, rebuild, repair, extend,and improve the storm water system and equipment, to acquirelands, or to construct, erect, or acquire other systems and otherstructures and equipment appurtenant to them;
the board shall prepare maps, plans, specifications, and drawingswith full details and descriptions for the proposed work, togetherwith an estimate of the cost. The board shall also prepare adescription of all property rights necessary to be acquired inconnection with the proposed work and the manner in which therights are to be acquired, whether by purchase or appropriation,along with a description of any other property that may be injuriouslyaffected, together with the estimated cost.
(b) The board shall then adopt a resolution approving the projectby:
(1) declaring that it is necessary for the protection of the publichealth and welfare of the inhabitants of the storm water districtand the safeguarding of the property within the district;
(2) declaring that it is of public utility and benefit;
(3) appropriating the property described in the resolution;
(4) stating the maximum proposed cost of any land to bepurchased; and
(5) adopting plans, maps, specifications, drawings, details,descriptions, and estimates.
(c) If the resolution is adopted, the board shall publish a notice inaccordance with IC 5-3-1 of the adoption of the resolution and of thefact that plans, specifications, and estimates have been prepared andcan be inspected. The notice must also name a date, not less than ten(10) days after the date of the last publication, when the board willreceive or hear remonstrances from the persons interested in, oraffected by, the resolution, and when it will determine the publicutility and benefit of the project. Notice shall be mailed to the ownersof all property appropriated by the resolution. If a landowner is anonresident and the landowner's place of residence is known, anotice shall be mailed to the nonresident owner. If the nonresidentowner's residence is unknown to the board, then the owner isconsidered notified of the pendency of the proceedings by thepublication of notice.
(d) Separate descriptions of each piece or parcel of land are notrequired in the resolution and notice, but it is a sufficient descriptionof the property purchased or to be purchased, or to be appropriatedor damaged, to give a description of the entire tract, whether it is one(1) or more lots or parcels and whether it is owned by one (1) or
more persons.
(e) All persons affected by the proceedings, including alltaxpayers in the storm water district, are considered to be notified ofthe proceedings and all subsequent acts, hearings, adjournments, andorders of the board by the original publication of notice.
(f) The board may, before adoption of the resolution, obtain fromthe owners of the property an option for its purchase or may enterinto a contract for its purchase after an appraisal by two (2) qualifiedland appraisers. An option or contract is subject to the final action ofthe board confirming, modifying, or rescinding the resolution.
As added by P.L.125-1987, SEC.1.
IC 8-1.5-5-18
Remonstrances
Sec. 18. (a) At the time fixed for the hearing or before the hearing,the following persons may file a written remonstrance with theboard:
(1) The owner of real property, rights-of-way, or other propertyto be appropriated under the resolution.
(2) A person injuriously affected by the appropriation.
(3) A person owning real or personal property within the stormwater district.
(b) The board shall:
(1) hear all persons interested in the proceedings;
(2) hear all the remonstrances that have been filed; and
(3) take action to confirm, modify, or reject the resolution.
As added by P.L.125-1987, SEC.1.
IC 8-1.5-5-19
Appeal
Sec. 19. (a) A person who has remonstrated in writing and isaggrieved by the decision of the board may, within thirty (30) days,take an appeal to the circuit or superior court of the county in whichthe storm water district is located.
(b) A remonstrator desiring to appeal the action of the board shall,within thirty (30) days after the final action of the board, file in theoffice of the clerk of the circuit or superior court a copy of the orderof the board and the remonstrance, together with a bond conditionedto pay the costs of the appeal, should the appeal be determinedagainst the remonstrator.
(c) The court may hear the appeal only if the question is whetherthe board acted arbitrarily or capriciously in adopting the resolution.
(d) The cause shall be tried by the court without a jury.
(e) All remonstrances upon which appeals are taken may beconsolidated and heard as one (1) claim for relief by the court.
As added by P.L.125-1987, SEC.1.
IC 8-1.5-5-20
Property held in name of unit served by the department
Sec. 20. All real property, rights-of-way, or other property
acquired by purchase or appropriation shall be taken and held in thename of the unit served by the department.
As added by P.L.125-1987, SEC.1. Amended by P.L.282-2003,SEC.15.
IC 8-1.5-5-21
Bonds for proposed work projects
Sec. 21. (a) To procure money to pay for the required propertyand the acquisition, erection, and construction of the proposed work,and in anticipation of the collection of the special benefit tax, theboard may issue, in the name of the unit served by the department,special taxing district bonds of the storm water district. The bondsmay not exceed the total estimated cost of the work and property tobe acquired as provided for in the resolution, including:
(1) all expenses necessarily incurred for supervision andinspection during the period of construction; and
(2) expenses actually incurred preliminary to the acquiring ofthe necessary property and the construction of the work,including the cost of records, engineering expenses, publicationof notices, salaries, and other expenses incurred, before and inconnection with the acquiring of the property, the letting of thecontract, and the sale of bonds.
(b) After adopting a resolution authorizing the bonds, the boardshall certify a copy of the resolution to the fiscal officer, who shallthen prepare the bonds. The executive shall execute the bonds, andthe fiscal officer shall attest the bonds.
(c) The board may not issue bonds of the storm water district,payable by a special benefit property tax, when the total of theoutstanding bonds of the district that are payable from a specialbenefit property tax, including the bonds already issued and to beissued, exceeds eight percent (8%) of the total adjusted value oftaxable property in the district as determined under IC 36-1-15. Forpurposes of this section, bonds are not considered to be outstandingbonds if the payment has been provided for by an irrevocable depositin escrow of government obligations sufficient to pay the bondswhen due or called for redemption.
(d) The bonds are not a corporate obligation or indebtedness ofthe unit but are an indebtedness of the storm water district. Thebonds and interest are payable:
(1) out of a special benefit tax levied upon all of the property ofthe storm water district; or
(2) by any other means including revenues, cash on hand, andcash in depreciation or reserve accounts.
(e) The bonds must recite the terms upon their face, together withthe purpose for which they are issued.
As added by P.L.125-1987, SEC.1. Amended by P.L.6-1997,SEC.132; P.L.282-2003, SEC.16.
IC 8-1.5-5-22
Special benefit tax Sec. 22. (a) To raise the necessary revenues to pay for the bondsissued and the interest on the bonds, the board:
(1) after approval by the fiscal body of the unit served by thedepartment, shall levy a special benefit tax upon all the propertyof the storm water district in the amount necessary to meet andpay the principal of the bonds as they severally mature, togetherwith all accruing interest; and
(2) shall certify the tax levied each year to the fiscal officer ofthe unit served by the department at the same time and in thesame manner as other levies of the unit are certified.
The tax levied and certified shall be estimated and entered upon thetax duplicate and shall be collected and enforced in the same manneras state and county taxes are estimated, entered, and enforced.
(b) In fixing the amount of the necessary levy, the board:
(1) shall consider the amount of revenues derived by the boardfrom the operation of the storm water system under itsjurisdiction above the amount of revenues required to pay thecost of operation and maintenance of the storm water system;and
(2) may, in lieu of making the levy in this section, set aside byresolution a specific amount of the surplus revenues to becollected before maturity of the principal and interest of thebonds payable in the following calendar year.
(c) The special tax shall be deposited in the bond and interestredemption account.
As added by P.L.125-1987, SEC.1. Amended by P.L.282-2003,SEC.17.
IC 8-1.5-5-23
Approval of bond issuance by unit served by the department;applicability of IC 6-1.1-20
Sec. 23. (a) The board may not issue any bonds authorized by thischapter until it has secured the approval for the issuance of the bondsfrom the fiscal body of the unit served by the department.
(b) IC 6-1.1-20 applies to the issuance of bonds under this chapterwhich are or may be payable from the special benefit property tax.
As added by P.L.125-1987, SEC.1. Amended by P.L.282-2003,SEC.18.
IC 8-1.5-5-24
Combined sanitary sewer and storm water system projects
Sec. 24. (a) Whenever work on a storm water system (that iscombined with a sanitary sewer system) necessitates the repair orreplacement of all or part of a sanitary sewer system, the entity thatowns or maintains the sanitary sewer system shall assume aproportionate share of the cost of repairing or replacing the sanitarysewer system.
(b) The board and the entity that owns or manages the sanitarysewer system shall negotiate the division of the costs described insubsection (a). (c) If the parties cannot agree to a division of the costs, they shallpetition the circuit court of the county where the majority of thesystems are located to divide the costs. The circuit court shall holda hearing on the division of costs within sixty (60) days afterreceiving the petition. The court shall publish notice of the hearingin accordance with IC 5-3-1. The decision of the court is binding onboth parties.
As added by P.L.125-1987, SEC.1.
IC 8-1.5-5-25
Use of bond payment revenues; pledge of user fees; reductions infees
Sec. 25. (a) Revenues received by the department may be used topay for bonds issued to acquire, construct, install, operate, andmaintain facilities and land for storm water collection and disposalsystems.
(b) If there are bonds outstanding for which user fees werepledged, the board may not rescind user fees or reduce them belowa rate that would produce one hundred twenty-five percent (125%)of the highest annual debt service on the bonds issued under thischapter to their final maturity, based on an average of theimmediately preceding three (3) years of user fee collections, if theuser fees have been levied for the preceding three (3) years. If theuser fees have not been levied for the preceding three (3) years, theboard may not reduce user fees below a rate that would produce onehundred twenty-five percent (125%) of the highest debt service,based upon a study by a qualified public accountant or financialadviser.
As added by P.L.125-1987, SEC.1.
IC 8-1.5-5-26
User fee pledges; effect of amendments or repeal of chapter
Sec. 26. With respect to bonds for which a pledge has been madeunder section 25 of this chapter, the general assembly covenants withthe holders of these bonds that:
(1) this chapter will not be repealed or amended in a mannerthat will adversely affect the imposition or collection of the userfees under this chapter; and
(2) this chapter will not be amended in a manner that willchange the purpose for which revenues from the user feesimposed under this chapter may be used;
as long as those bonds are outstanding.
As added by P.L.125-1987, SEC.1.
IC 8-1.5-5-27
Maintenance of private property by the department
Sec. 27. If the department:
(1) uses private property for storm water collection or disposal;and
(2) obtains the consent of the owner of the private property to
maintain the private property;
the department shall maintain the private property.
As added by P.L.282-2003, SEC.19.
IC 8-1.5-5-28
Screening of storm water outfalls
Sec. 28. A person may not be required to screen a storm wateroutfall if the pipe diameter of the storm water outfall is less thantwenty-four (24) inches.
As added by P.L.282-2003, SEC.20.
IC 8-1.5-5-29
Liens for unpaid fees
Sec. 29. (a) Subsections (c), (d), and (e) do not apply to a city thatbefore January 1, 2005, adopted an ordinance establishingprocedures for the collection of unpaid user fees under this chapterthrough the enforcement of a lien.
(b) Fees assessed against real property under this chapterconstitute a lien against the property assessed. The lien is superior toall other liens except tax liens. Except as provided in subsections (c)and (d), the lien attaches when notice of the lien is filed in the countyrecorder's office under section 30 of this chapter.
(c) A fee is not enforceable as a lien against a subsequent ownerof property unless the lien for the fee was recorded with the countyrecorder before the conveyance to the subsequent owner. If propertyis conveyed before a lien is filed, the department shall notify theperson who owned the property at the time the fee became payable.The notice must inform the person that payment, including penaltyfees for delinquencies, is due not more than fifteen (15) days afterthe date of the notice. If payment is not received within one hundredeighty (180) days after the date of the notice, the amount due may beexpensed as a bad debt loss.
(d) A lien attaches against real property occupied by someoneother than the owner only if the department notifies the owner withintwenty (20) days after the time the user fees became sixty (60) daysdelinquent. However, the department must give notice to the owneronly if the owner has given the department written notice of theaddress to which to send notice.
(e) The department shall release:
(1) liens filed with the county recorder after the recorded dateof conveyance of the property; and
(2) delinquent fees incurred by the seller;
upon receipt of a verified demand in writing from the purchaser. Thedemand must state that the delinquent fees were not incurred by thepurchaser as a user, lessee, or previous owner and that the purchaserhas not been paid by the seller for the delinquent fees.
As added by P.L.131-2005, SEC.1.
IC 8-1.5-5-30
Recording and collection of liens; filing fees Sec. 30. (a) The board may defer enforcing the collection ofunpaid fees and penalties assessed under this chapter until the unpaidfees and penalties have been due and unpaid for at least ninety (90)days.
(b) Except as provided in subsection (k), the board shall enforcepayment of fees imposed under this chapter. As often as the boarddetermines necessary in a calendar year, the board shall prepareeither of the following:
(1) A list of the delinquent fees and penalties that areenforceable under this section. The list must include thefollowing:
(A) The name of the owner of each lot or parcel of realproperty on which fees are delinquent.
(B) A description of the premises, as shown by the recordsof the county auditor.
(C) The amount of the delinquent fees, together with thepenalty.
(2) An individual instrument for each lot or parcel of realproperty on which the fees are delinquent.
(c) An officer of the board shall record a copy of each list or eachindividual instrument with the county recorder who shall charge a feefor recording the list or each individual instrument in accordancewith the fee schedule established in IC 36-2-7-10. The officer shallmail by certified mail, or by another delivery service providing proofof delivery, to each property owner on the list or on an individualinstrument a notice stating that a lien against the owner's propertyhas been recorded. A service charge of five dollars ($5), which is inaddition to the recording fee charged under this subsection and undersubsection (e), shall be added to each delinquent fee that is recorded.
(d) Using the lists and instruments prepared under subsection (b)and recorded under subsection (c), the board shall, not later than ten(10) days after the list or each individual instrument is recordedunder subsection (c), certify to the county auditor a list of the liensthat remain unpaid for collection in the next May. The county and itsofficers and employees are not liable for any material error in theinformation on this list.
(e) The board shall release any recorded lien when the delinquentfees, penalties, service charges, and recording fees have been fullypaid. The county recorder shall charge a fee for releasing the lien inaccordance with IC 36-2-7-10.
(f) Upon receipt of the list under subsection (c), the county auditorof each county shall add a fifteen dollar ($15) certification fee foreach lot or parcel of real property on which fees are delinquent. Thefee is in addition to all other fees and charges. The county auditorshall immediately enter on the tax duplicate for the district thedelinquent fees, penalties, service charges, recording fees, andcertification fees, which are due not later than the due date of thenext May installment of property taxes. The county treasurer shallinclude any unpaid charges for the delinquent fee, penalty, servicecharge, recording fee, and certification fee to the owner or owners of
each lot or parcel of property, at the time the next cycle's property taxinstallment is billed.
(g) After certification of liens under subsection (d), the board maynot collect or accept delinquent fees, penalties, service charges,recording fees, or certification fees from property owners whoseproperty has been certified to the county auditor.
(h) If a delinquent fee, penalty, service charge, recording fee, andcertification fee are not paid, they shall be collected by the countytreasurer in the same way that delinquent property taxes arecollected.
(i) At the time of each semiannual tax settlement, the countytreasurer shall certify to the county auditor all fees, charges, andpenalties that have been collected. The county auditor shall deductthe service charges and certification fees collected by the countytreasurer and pay over to the officer the remaining fees and penaltiesdue the district. The county treasurer shall retain the service chargesand certification fees that have been collected and shall deposit themin the county general fund.
(j) Fees, penalties, and service charges that were not recordedbefore a recorded conveyance shall be removed from the tax roll fora purchaser who, in the manner prescribed by section 29(e) of thischapter, files a verified demand with the county auditor.
(k) A board may write off a fee or penalty under subsection (a)that is less than forty dollars ($40).
As added by P.L.131-2005, SEC.2.
IC 8-1.5-5-31
Foreclosure of liens
Sec. 31. (a) A district may foreclose a lien established by thischapter in order to collect fees and penalties. The district shallrecover the amount of the fees and penalties, and a reasonableattorney's fee. The court shall order the sale to be made without relieffrom valuation or appraisement laws.
(b) Except as otherwise provided by this chapter, actions underthis chapter are subject to the general statutes regarding municipalpublic improvement assessments.
As added by P.L.131-2005, SEC.3.
IC 8-1.5-5-32
Withdrawal from district by excluded municipality; notice;outstanding bonds; payments to municipality
Sec. 32. (a) This section applies to excluded cities and towns ina county containing a consolidated city.
(b) A municipality to which this section applies may withdrawfrom the district established by the consolidated city if the municipallegislative body adopts an ordinance withdrawing the municipalityfrom the district. The municipal legislative body shall, at least thirty(30) days before the final vote on the ordinance, mail written noticeof the meeting to the following:
(1) All owners of lots and parcels within the municipality that
are subject to storm water user fees imposed in the district bythe department of public works of the consolidated city.
(2) The department of public works of the consolidated city.
(c) An ordinance described in subsection (b) takes effect sixty(60) days after adoption by the municipal legislative body.
(d) In addition to the notice required by subsection (b), if amunicipal legislative body adopts an ordinance under subsection (b),the municipal legislative body shall mail written notice of thewithdrawal from the district to the department of public works of theconsolidated city not more than thirty (30) days after the ordinancebecomes effective.
(e) If on the date of a municipality's withdrawal from the districtthere are bonds outstanding that have been issued by the board ofpublic works of the consolidated city, the municipality is liable forand shall pay that indebtedness in the same ratio as the assessedvaluation of the property in the municipality bears to the assessedvaluation of all property included in the district on the date one (1)day before the date of withdrawal, as shown in the most recentassessment for taxation before the date of withdrawal.
(f) If a municipal legislative body adopts an ordinance undersubsection (b), the municipality is entitled to receive the following:
(1) An annual lump sum payment equal to the total amount ofproperty taxes paid and allocated to the district's flood debtservice fund from all property taxpayers within themunicipality, to the extent the property taxes are not necessaryto pay the indebtedness owed by the municipality undersubsection (e). A payment under this subdivision is required forproperty taxes assessed beginning on the January 1 precedingthe effective date of the municipality's withdrawal from thedistrict.
(2) The total amount of storm water user fees collected by thedepartment of public works of the consolidated city from thelots and parcels in the municipality beginning on the January 1preceding the effective date of the municipality's withdrawalfrom the district.
(g) Payments received under subsection (f):
(1) shall be deposited by the municipality in a dedicated fund;and
(2) may be used by the municipality only for purposes of stormwater management in the municipality and may not be diverted,directly or indirectly, in any manner to any use other than thepurposes of storm water management in the municipality.
As added by P.L.52-2006, SEC.1 and P.L.175-2006, SEC.1. Amendedby P.L.154-2006, SEC.65.