CHAPTER 3.5. LEASING OF BRIDGES BY COUNTIES
IC 8-16-3.5
Chapter 3.5. Leasing of Bridges by Counties
IC 8-16-3.5-1
Contracts of lease; taxpayers' petitions
Sec. 1. (a) A county may lease a bridge and pay the lease rentalfrom the cumulative bridge fund and levy under IC 8-16-3.
(b) A contract of lease may not be entered into unless there is firstfiled with the county executive a petition for a longer lease, signedby fifty (50) or more taxpaying citizens of the county, and the countyexecutive has, after investigation, determined that a need exists forthe bridge. The total annual dollar obligation under all contracts oflease for bridges made by a county may not exceed the county'sestimated annual revenue from a cumulative bridge fund levy oftwenty cents ($0.20) on each one hundred dollars ($100) on alltaxable personal and real property within the county.
(Formerly: Acts 1975, P.L.92, SEC.2.) As amended by P.L.86-1988,SEC.23.
IC 8-16-3.5-2
Joint leases
Sec. 2. If two (2) or more counties propose to enter into a leasecontract jointly, then separate meetings of the county executives maybe held, but no action taken shall be binding on any county unlessapproved by a majority of the county executives. Any lease contractexecuted by two (2) or more counties as joint lessees shall set out theamount of the aggregate lease rental to be paid by each county.
(Formerly: Acts 1975, P.L.92, SEC.2.) As amended by P.L.86-1988,SEC.24.
IC 8-16-3.5-3
Corporate leases
Sec. 3. Any county may enter into a contract of lease under theprovisions of this chapter with any (profit or not-for-profit)corporation organized under the laws of the state or duly admitted todo business in the state.
(Formerly: Acts 1975, P.L.92, SEC.2.) As amended by P.L.86-1988,SEC.25.
IC 8-16-3.5-4
Option to purchase bridge
Sec. 4. All contracts of lease may provide that a county has theoption to purchase the bridge before the expiration of the leasecontract, the terms and conditions of the purchase to be specified inthe lease, subject to the approval of the department of localgovernment finance. If the county has not exercised an option topurchase the property covered by the lease contract at the expirationof the lease contract, and upon the full discharge and performance bythe county of its obligations under the lease contract, the bridgecovered by the lease contract shall become the absolute property of
the county and the lessor corporation shall execute properinstruments conveying to the county title to the property.
(Formerly: Acts 1975, P.L.92, SEC.2.) As amended by P.L.86-1988,SEC.26; P.L.90-2002, SEC.323.
IC 8-16-3.5-5
Not-for-profit corporations proposing to build bridges; plans andspecifications
Sec. 5. Not-for-profit corporations proposing to build a bridgemay assist the lessee, before the execution of a contract of lease, inthe preparation and acquisition of plans, specifications, and estimatesfor the bridge, or the lessee may prepare or otherwise acquire plansand specifications for the bridge. All plans and specifications shallbe submitted to agencies as designated by law to pass on plans andspecifications for bridges, and the plans and specifications shall beapproved by those agencies and the lessee in writing prior to theexecution of the contract of lease.
(Formerly: Acts 1975, P.L.92, SEC.2.) As amended by P.L.86-1988,SEC.27.
IC 8-16-3.5-5.5
Contracts with profit corporations; competitive bidding procedure
Sec. 5.5. Notwithstanding any other provision of this chapter, acontract of lease with any profit corporation is subject to competitivebid and may only be entered into after compliance with thefollowing:
(1) The lessee shall prepare and place on file in the lessee'soffices a proposed lease and complete drawings andspecifications for the bridge described in section 1 of thischapter to include necessary equipment and appurtenances tothe equipment. The lease must be complete in its terms exceptfor total rental or other consideration which is subject to bidprovided for in this section.
(2) After that, the lessee shall publish a notice in accordancewith IC 5-3-1 informing the public and potential lessors of thegeneral nature of the lease and of the fact that the proposedlease, drawings, and specifications are on file in the office, andcalling for sealed proposals for the contract of lease on aspecific date not earlier than ten (10) days after the first day ofpublication.
(3) The lessee shall require each bidder to file with the lessee anaffidavit that the bidder has not, directly or indirectly, enteredinto any combination, collusion, undertaking, or agreement withany other bidder to maintain the price of the bid, or to preventany other bidder from bidding, or to induce any bidder to refrainfrom bidding, and that the bid is made without regard orreference to any other bid, and without any agreement,understanding, or combination, either directly or indirectly,with any other person with reference to the bidding. If, after anycontract of lease has been let by the lessee, it shall appear that
the successful bidder has been guilty of any collusion,combination, undertaking, or agreement, as defined in theaffidavit, the bidder shall forfeit the contract of lease, and thecontract of lease shall be relet by the lessee.
(4) The lessee may, in the lessee's discretion, fix a later day forreceiving the bids, provided that the date shall be mentioned ineach of the notices.
(5) The lessee shall, if a satisfactory bid is received, let controlof the lease to the lowest and best bidder.
(6) The lessee may, by order, impose further conditions uponbidders with regard to bond and surety, guaranteeing the goodfaith and responsibility of the word provided for in the proposedcontract of lease, or insuring the faithful completion of theterms of the proposed contract of lease, or for any otherpurpose.
(Formerly: Acts 1975, P.L.92, SEC.2.) As amended by P.L.86-1988,SEC.28.
IC 8-16-3.5-6
Contract provisions relating to taxes, assessments, and insurance;county inspection of bridge
Sec. 6. A contract of lease may provide that as a part of the leaserental for a bridge the lessee shall agree to pay all taxes andassessments levied against or on account of the leased bridge and tomaintain insurance for the benefit of the lessor corporation. Thecounty may inspect the bridge whenever the county considers itnecessary.
(Formerly: Acts 1975, P.L.92, SEC.2.) As amended by P.L.86-1988,SEC.29.
IC 8-16-3.5-7
Contracts of lease before completion of bridge; bond
Sec. 7. (a) A county may, in anticipation of the construction of abridge, make and enter into a contract of lease with the lessorcorporation subject to the approval of the department of localgovernment finance prior to the actual acquisition of a site and theconstruction of the bridge, but the contract of lease shall not providefor the payment of any lease rental by the lessee until the bridge iscompleted and ready for use, at which time the stipulated lease rentalmay begin.
(b) As a condition of entering into a lease, a county may requirea lessor corporation to furnish a bond in a specified amountconditioned upon the completion of the bridge within a specifiedperiod of time.
(Formerly: Acts 1975, P.L.92, SEC.2.) As amended by P.L.86-1988,SEC.30; P.L.90-2002, SEC.324.
IC 8-16-3.5-8
Notice of proposed lease; public inspection of specifications; noticeof executed lease; taxpayer's objections; hearings; appeals Sec. 8. (a) When the lessor corporation and the county haveagreed upon the terms and conditions of any lease proposed to beentered into under this chapter and before the final execution of thelease, a notice must be published in accordance with IC 5-3-1 of ahearing before the county executive. The notice must name the day,place, and hour of the hearing and must set forth a brief summary ofthe principal terms of the lease agreed upon, including the location,name of the proposed lessor corporation and character of the bridgeto be leased, the rental to be paid, and the number of years thecontract is to be in effect. The proposed lease, drawings, plans,specifications, and estimates for the bridge shall be available forinspection by the public during the ten (10) day period and at themeeting. All interested persons shall have a right to be heard at thetime fixed, concerning the necessity for the execution of the leaseand whether the rental to the lessor corporation is a fair andreasonable rental for the proposed bridge. The hearing may beadjourned to a later date, and following the hearing the countyexecutive may either authorize the execution of the lease asoriginally agreed upon or may make modifications as agreed uponwith the lessor corporation. However, the lease rentals as set out inthe published notice may not be increased. The cost of thepublication of the notice shall be borne by lessor corporations.
(b) If the execution of the lease as originally agreed upon, or asmodified by agreement, is authorized by the county executive, it shallgive notice of the execution of the contract by publication inaccordance with IC 5-3-1. Ten (10) or more taxpayers in the lesseecounty affected by the proposed lease may file a petition in the officeof the county auditor of the lessee county, within thirty (30) daysafter publication of notice of the execution of the lease, setting forththeir objections and facts showing that the execution of the lease isunnecessary or unwise, or that the lease rental is not fair andreasonable. Upon the filing of any petition, the county auditor shallcertify a copy, together with any other data as may be necessary inorder to present the questions involved, to the department of localgovernment finance and upon the receipt of the certified petition andinformation, the department of local government finance shall fix atime and place for the hearing in the county not less than five (5) ormore than thirty (30) days after receipt of the petition. Notice of thehearing shall be given by the department of local government financeto the county commissioners of the lessee county, and to the first ten(10) taxpayer-petitioners appearing on the petition by a letter signedby one (1) member of the department of local government finance,and enclosed with full prepaid postage addressed to those persons attheir usual place of residence, at least five (5) days before the date ofthe hearing. A:
(1) taxpayer who signed the petition; or
(2) political subdivision against which a petition is filed;
may petition for judicial review of the final determination of thedepartment of local government finance under this subsection. Thepetition must be filed in the tax court not more than forty-five (45)
days after the date of the department's final determination.
(c) No action to contest the validity of the lease or to enjoin theperformance of any of the terms and conditions of the lease shall beinstituted at any time later than thirty (30) days after publication ofnotice of the execution of the lease by the county executive or if anappeal has been taken to the department of local government finance,then within thirty (30) days after the decision of the department.
(Formerly: Acts 1975, P.L.92, SEC.2.) As amended by P.L.86-1988,SEC.31; P.L.90-2002, SEC.325; P.L.256-2003, SEC.33.
IC 8-16-3.5-9
Tax exemption
Sec. 9. All bridges leased by a lessor corporation contracting witha county under this chapter are exempt from all state, county, andother taxes.
(Formerly: Acts 1975, P.L.92, SEC.2.) As amended by P.L.86-1988,SEC.32.
IC 8-16-3.5-10
Repealed
(Repealed by P.L.86-1988, SEC.227.)