CHAPTER 8. INDIANA FINANCE AUTHORITY: ADDITIONAL DUTIES
IC 8-9.5-8
Chapter 8. Indiana Finance Authority: Additional Duties
IC 8-9.5-8-1
Definitions
Sec. 1. As used in this chapter:
"Authority" refers to the Indiana finance authority establishedunder IC 4-4-11.
"Department" refers to the Indiana department of transportationestablished under IC 8-23-2.
"Toll bridge" means a bridge with approaches, avenues of access,fills, causeways, and connecting bridges or ferries under IC 8-16-1.
"Toll road project" has the meaning specified in IC 8-15-2-4(4).
As added by P.L.109-1983, SEC.3. Amended by P.L.68-1988, SEC.5;P.L.18-1990, SEC.104; P.L.235-2005, SEC.106.
IC 8-9.5-8-2
Repealed
(Repealed by P.L.235-2005, SEC.212.)
IC 8-9.5-8-3
Repealed
(Repealed by P.L.235-2005, SEC.212.)
IC 8-9.5-8-4
Duties
Sec. 4. (a) The authority is responsible for the construction,reconstruction, improvement, maintenance, operation, and repair oftoll roads under IC 8-15-2 and toll bridges under IC 8-16-1.
(b) The authority shall classify as confidential any estimate of costprepared in conjunction with analyzing competitive bids for projectsuntil a contract is awarded for the work.
As added by P.L.109-1983, SEC.3. Amended by P.L.12-1984, SEC.4.
IC 8-9.5-8-4.1
Repealed
(Repealed by P.L.235-2005, SEC.212.)
IC 8-9.5-8-5
Feasibility studies
Sec. 5. (a) The authority shall study the need for and feasibility ofconstructing a new toll road under IC 8-15-2 or a new toll bridgeunder IC 8-16-1 only after receiving the approval of thecommissioner of the Indiana department of transportation.
(b) If a study conducted under IC 8-15-2-20 indicates that a tollroad project would have a substantial and positive impact, theauthority shall recommend to the commissioner of the Indianadepartment of transportation that the toll road project be initiated.
As added by P.L.109-1983, SEC.3. Amended by P.L.68-1988, SEC.8;P.L.112-1989, SEC.2.
IC 8-9.5-8-6
Contracts or leases; requisite provisions
Sec. 6. (a) With respect to each toll road project and each tollbridge, the authority may enter into:
(1) a contract with the department under section 7 of thischapter for any or all of the purposes enumerated in section 7(b)of this chapter; or
(2) a lease with the department under section 8 of this chapterfor any or all of the purposes enumerated in section 8(b) of thischapter.
(b) If the authority determines that the department is notcomplying with a contract or lease:
(1) the authority shall reassume responsibility for theconstruction, reconstruction, improvement, operation,maintenance, and repair of the toll road project or toll bridge;and
(2) the contract or lease shall be terminated by the authority.
(c) If the authority enters into a contract or lease with thedepartment as provided in subsection (a), the contract or lease mustcontain, in addition to the requirements of section 7 or 8 of thischapter, the following:
(1) A description of the toll road project or toll bridge settingforth in general terms its principal features, such as geographiclocation, terminal points, widths of rights-of-way, number oflanes in each direction, width of traffic lanes, widths ofshoulders, location and nature of access points, tunnels,overpasses, underpasses, interchanges, bridges, entrance plazas,approaches, connecting highways, and tollhouses.
(2) Provisions for construction, reconstruction, or improvementof the toll road project or toll bridge.
(3) Provisions for operation, maintenance, and repair of the tollroad project or toll bridge in accordance with any applicabletrust agreement.
(4) Provisions requiring the toll road project or the toll bridgeto be managed as a unit separate from any other district ordivision of the department.
As added by P.L.109-1983, SEC.3.
IC 8-9.5-8-7
Contracts; purposes; requisite additional provisions
Sec. 7. (a) If the authority and the department decide to enter intoa contract as authorized under section 6 of this chapter for thepurposes enumerated in subsection (b), the authority and thedepartment shall enter into a separate contract for each toll roadproject or toll bridge.
(b) The contract may be entered into for any or all of thefollowing purposes:
(1) The construction of the toll road project or toll bridge.
(2) The reconstruction of the toll road project or toll bridge.
(3) Improvements to the toll road project or toll bridge. (4) The maintenance of the toll road project or toll bridge.
(5) Repairs to the toll road project or toll bridge.
(6) The operation of the toll road project or toll bridge.
(c) In addition to the provisions required to be included undersection 6 of this chapter, the contract must include the following:
(1) A provision for the collection of tolls and their deposit in adesignated depository to the account of the authority or to theaccount of a trustee in accordance with any applicable trustagreement.
(2) A provision for the purchase by the department on behalf ofthe authority of property, machinery, and equipment required tocarry out the contract, along with provision that such property,machines, and equipment:
(A) remain the property of the authority;
(B) shall be maintained by the department;
(C) shall be identified as the property of the authority;
(D) shall be used exclusively in connection with theperformance of the contract; and
(E) shall be accounted for by the department to the authorityat specified times.
(3) A provision authorizing the department to enter intocontracts with third parties for carrying out the contract andrequiring all such contracts to be in the name of the departmentbut performed on behalf of the authority.
(4) A provision requiring the department to:
(A) maintain records and books of account reflecting thereceipts and disbursements under the contract and the assetsof the authority relating to the toll road project or toll bridge;and
(B) prepare or have prepared all books, records, and anyreports required to be prepared, maintained, or deliveredunder any applicable trust agreement.
(5) Provisions for the payment by the authority to thedepartment of:
(A) the cost of construction, reconstruction, or improvementundertaken under the contract; and
(B) the cost of maintenance, repair, and operation under thecontract.
These costs include all costs incurred by the department in theperformance of the contracts (such as salaries, wages, andassociated costs of department personnel attributable toperformance of the contract).
(6) Provisions for the payment to the department from time totime of funds necessary to maintain a revolving fund balance ofnot less than two hundred thousand dollars ($200,000) to beused in paying costs incurred under the contract so that thedepartment is not required to advance funds for the cost ofperformance.
(7) A provision stating that the contract is for a term of notmore than two (2) years and is extended for successive two (2)
year periods, unless either party gives notice of its intention toterminate the contract not later than six (6) months before theend of a two (2) year term.
(8) Such other terms and conditions as the authority and thedepartment consider appropriate.
As added by P.L.109-1983, SEC.3.
IC 8-9.5-8-8
Leases; purposes; requisite additional provisions
Sec. 8. (a) If the authority and the department decide to enter intoa lease as authorized under section 6 of this chapter for the purposesenumerated in subsection (b), the authority and the department shallenter into a separate lease for each toll road project or each tollbridge.
(b) The lease may be entered into for any or all of the followingpurposes:
(1) The construction of the toll road project or toll bridge.
(2) The reconstruction of the toll road project or toll bridge.
(3) Improvements to the toll road project or toll bridge.
(4) The maintenance of the toll road project or toll bridge.
(5) Repairs to the toll road project or toll bridge.
(6) The operation of the toll road project or toll bridge.
(7) The conversion to a toll road project of a state highwaytransferred to the authority under IC 8-23-7-23.
(c) In addition to the provisions required to be included undersection 6 of this chapter, the lease must include the following:
(1) A statement that the term of the lease is for a periodcoextensive with the biennium used for state budgetary andappropriation purposes, with a fractional period when the leasebegins if necessary.
(2) A statement that the term of the lease is extended frombiennium to biennium, unless either the authority or thedepartment gives notice of nonextension at least six (6) monthsbefore the end of a biennium, in which event the lease expiresat the end of the biennium in which the notice is given.
(3) A statement of all toll road bonds or toll bridge bonds of theauthority that are outstanding or that are to be issued by theauthority related to the toll road project or toll bridge for whichthe lease is entered.
(4) Provisions requiring the department to pay the costs ofoperating, maintaining, and repairing the toll road project or tollbridge, including major repairs, replacements, andimprovements.
(5) Provisions requiring the department to pay rent at times andin amounts sufficient to pay in full the debt service payableunder the terms of the toll road bonds or toll bridge bondsissued and outstanding with respect to the toll road project ortoll bridge, including any required additions to reservesmaintained by the authority, and to pay additional rent asprovided by the lease. (6) Provisions requiring the department to fix, impose, andcollect tolls on the toll road project or toll bridge that are atleast sufficient, together with other money available to thedepartment, to pay:
(A) the cost of operation, maintenance, and repair, includingmajor repairs, replacements, and improvements; and
(B) the rent to be paid under the lease.
However, the obligation of the department to pay the costs ofoperation, maintenance, and repair of a toll road project or tollbridge and to pay rent during the term is not limited to the tollscollected or that should be collected by the department but issubject only to the appropriation of funds therefore by an act ofthe general assembly.
(7) Provisions requiring:
(A) tolls and other revenues collected by the department tobe segregated from all other funds under the control of thedepartment; and
(B) the department to make a separate accounting of allreceipts and disbursements under the lease.
(8) Provisions requiring the department to maintain all booksand records and to prepare and deliver all reports required ofthe authority under the terms of any applicable trust agreement.
(9) Such other terms and conditions as the authority and thedepartment consider appropriate.
As added by P.L.109-1983, SEC.3. Amended by P.L.386-1987(ss),SEC.1; P.L.18-1990, SEC.105.
IC 8-9.5-8-9
Tolls; imposition and collection
Sec. 9. The authority shall fix, impose, and collect tolls for the useof a toll road in the manner prescribed in IC 8-15-2 and for the useof a toll bridge in the manner prescribed by IC 8-16-1, except whenthe toll road project or toll bridge is leased to the department undersection 8 of this chapter.
As added by P.L.109-1983, SEC.3.
IC 8-9.5-8-10
Toll road or toll bridge bonds authorized; limitations
Sec. 10. (a) Except as provided in section 11 of this chapter, theauthority may issue toll road bonds under IC 8-15-2 or toll bridgebonds under IC 8-16-1 only:
(1) after obtaining the approval of the commissioner of theIndiana department of transportation;
(2) after the general assembly has, based on therecommendations of the commissioner of the Indianadepartment of transportation, provided for the issuance of thebonds by establishing in an act the maximum aggregateprincipal amount of bonds that the authority may issue;
(3) after the authority has delivered to the budget agency awritten guarantee that the aggregate amount of attorney's fees
for the particular proposed bond issue will not exceedtwo-tenths of one percent (0.2%) of the principal amount of theproposed issue of toll road and toll bridge bonds; and
(4) with the approval of the budget committee, the budgetagency, and the governor.
(b) The authority may include money from the rural transportationroad fund as a source of revenue in the performance of contracts andleases with the Indiana department of transportation underIC 8-23-2-6(a)(3). Revenues from that allocation may be used in thedetermination of the feasibility of a toll road or toll bridge project.
As added by P.L.109-1983, SEC.3. Amended by P.L.386-1987(ss),SEC.2; P.L.112-1989, SEC.3.
IC 8-9.5-8-11
Issuance of additional bonds
Sec. 11. Notwithstanding section 10 of this chapter, if:
(1) a bond issue of the authority provides an amount less thanthe amount necessary to complete the toll road project or thetoll bridge project for which the bonds were issued; and
(2) the trust agreement securing the bond issue provides thatadditional bonds may be issued to secure additional funds toprovide the amount necessary to complete the project;
the authority may, without the approval of the parties listed in section10 of this chapter, issue additional bonds to provide the fundsnecessary to complete the project.
As added by P.L.109-1983, SEC.3.
IC 8-9.5-8-12
Repealed
(Repealed by P.L.68-1988, SEC.17.)
IC 8-9.5-8-13
Repealed
(Repealed by P.L.68-1988, SEC.17.)
IC 8-9.5-8-14
Repealed
(Repealed by P.L.68-1988, SEC.17.)
IC 8-9.5-8-15
Repealed
(Repealed by P.L.68-1988, SEC.17.)
IC 8-9.5-8-16
Rural transportation road fund
Sec. 16. (a) The rural transportation road fund is established as aspecial revenue fund to be administered by the Indiana financeauthority.
(b) The money in the rural transportation road fund at the end ofany state fiscal year does not revert to any other fund. (c) The treasurer of state may invest the money in the ruraltransportation road fund in the manner provided by law for investingmoney in the state general fund.
(d) The rural transportation road fund is to be used only for thepurpose of supplementing the revenues received by the Indianafinance authority as tolls imposed for the use of any toll road or tollbridge project.
As added by P.L.386-1987(ss), SEC.3. Amended by P.L.68-1988,SEC.9; P.L.235-2005, SEC.107.
IC 8-9.5-8-17
Toll road assistance programs
Sec. 17. The authority shall study and implement programs toassist in the transportation of military veterans or individuals with adisability (as defined in IC 6-1.1-12-11) who travel on a toll road toor from a hospital for treatment. However, a program may not beinconsistent with the trust indenture securing the bonds of the tollroad.
As added by P.L.83-1996, SEC.1. Amended by P.L.99-2007, SEC.34.