IC 6-1.1-21.5
Chapter 21.5. Loans to Qualified Taxing Units
IC 6-1.1-21.5-1 "Qualified taxing unit" defined
Sec. 1. As used in this chapter, "qualified taxing unit" means each
of the following:
(1) A city having a population of more than thirty-two thousand
(32,000) but less than thirty-two thousand eight hundred
(32,800).
(2) The sanitary district of a city described in subdivision (1).
(3) The library district of a city described in subdivision (1).
(4) The school corporation located in a city described in
subdivision (1). As added by P.L.380-1987(ss), SEC.5. Amended by P.L.12-1992,
SEC.23; P.L.170-2002, SEC.21.
IC 6-1.1-21.5-2 "Board" defined
Sec. 2. As used in this chapter, "board" refers to the state board of
finance. As added by P.L.380-1987(ss), SEC.5.
IC 6-1.1-21.5-3 Loan application; prerequisites to grant of loan
Sec. 3. Before January 1, 2002, a qualified taxing unit may apply
to the board for a loan from the counter-cyclical revenue and
economic stabilization fund. The board may make a loan from the
fund to the taxing unit if:
(1) a taxpayer with tangible property subject to taxation by the
qualified taxing unit has filed a petition to reorganize under the
federal bankruptcy code;
(2) the taxpayer has defaulted on one (1) of its property tax
payments;
(3) the qualified taxing unit has experienced and will continue
to experience a significant revenue shortfall as a result of the
default; and
(4) the taxpayer is a steel manufacturer that owns at least
eighteen percent (18%) of the assessed value within the taxing
unit. As added by P.L.380-1987(ss), SEC.5. Amended by P.L.291-2001,
SEC.207.
IC 6-1.1-21.5-4 Maximum amount of loan
Sec. 4. The maximum amount that the board may loan to a
qualified taxing unit under this chapter is set forth in the following
table:
MAXIMUM
TYPE OF TAXING UNIT
LOAN
City $ 5,500,000
Sanitary District $ 1,900,000
Library District $ 800,000
School Corporation $ 8,000,000
As added by P.L.380-1987(ss), SEC.5. Amended by P.L.291-2001,
SEC.208.
IC 6-1.1-21.5-5 Terms of loan; interest; repayment; depository
Sec. 5. (a) The board shall determine the terms of a loan made
under this chapter. However, interest may not be charged on the loan,
and the loan must be repaid not later than ten (10) years after the date
on which the loan was made.
(b) The loan shall be repaid only from property tax revenues of
the qualified taxing unit that are subject to the levy limitations
imposed by IC 6-1.1-18.5. The payment of any installment of
principal constitutes a first charge against such property tax revenues
as collected by the qualified taxing unit during the calendar year the
installment is due and payable.
(c) The obligation to repay the loan is not a basis for the qualified
taxing unit to obtain an excessive tax levy under IC 6-1.1-18.5.
(d) Whenever the board receives a payment on a loan made under
this chapter, the board shall deposit the amount paid in the
counter-cyclical revenue and economic stabilization fund.
(e) This section may not be construed to prevent the qualified
taxing unit from repaying a loan made under this chapter before the
date specified in subsection (a) if a taxpayer described in section 3
of this chapter resumes paying property taxes to the qualified taxing
unit. As added by P.L.380-1987(ss), SEC.5. Amended by P.L.291-2001,
SEC.209; P.L.2-2006, SEC.59; P.L.146-2008, SEC.242.
IC 6-1.1-21.5-6 Loan proceeds and delinquent tax payments; levy excess
Sec. 6. (a) The receipt by the qualified taxing unit of the loan
proceeds is not considered to be part of the ad valorem property tax
levy actually collected by the qualified taxing unit for taxes first due
and payable during a particular calendar year for the purpose of
calculating the levy excess under IC 6-1.1-18.5-17 and IC 20-44-3.
The receipt by the qualified taxing unit of any payment of delinquent
tax owed by a taxpayer in bankruptcy is considered to be part of the
ad valorem property tax levy actually collected by the qualified
taxing unit for taxes first due and payable during a particular
calendar year for the purpose of calculating the levy excess under
IC 6-1.1-18.5-17 and IC 20-44-3.
(b) The loan proceeds and any payment of delinquent tax may be
expended by the qualified taxing unit only to pay debts of the
qualified taxing unit that have been incurred pursuant to duly
adopted appropriations approved by the department of local
government finance for operating expenses.
(c) In the event the sum of the receipts of the qualified taxing unit
that are attributable to:
(1) the loan proceeds; and
(2) the payment of property taxes owed by a taxpayer in a
bankruptcy proceeding initially filed in 2000 and payable in
2001;
exceeds sixteen million dollars ($16,000,000), the excess as received
during any calendar year or years shall be set aside and treated for
the calendar year when received as a levy excess subject to
IC 6-1.1-18.5-17 or IC 20-44-3. In calculating the payment of
property taxes as provided in subdivision (2), the amount of property
tax credit finally allowed under IC 6-1.1-21-5 (before its repeal) in
respect to such taxes is considered a payment of such property taxes.
(d) As used in this section, "delinquent tax" means any tax owed
by a taxpayer in a bankruptcy proceeding initially filed in 2000 and
that is not paid during the calendar year for which it was first due and
payable. As added by P.L.380-1987(ss), SEC.5. Amended by P.L.291-2001,
SEC.210; P.L.90-2002, SEC.202; P.L.2-2006, SEC.60;
P.L.146-2008, SEC.243.
IC 6-1.1-21.5
Chapter 21.5. Loans to Qualified Taxing Units
IC 6-1.1-21.5-1 "Qualified taxing unit" defined
Sec. 1. As used in this chapter, "qualified taxing unit" means each
of the following:
(1) A city having a population of more than thirty-two thousand
(32,000) but less than thirty-two thousand eight hundred
(32,800).
(2) The sanitary district of a city described in subdivision (1).
(3) The library district of a city described in subdivision (1).
(4) The school corporation located in a city described in
subdivision (1). As added by P.L.380-1987(ss), SEC.5. Amended by P.L.12-1992,
SEC.23; P.L.170-2002, SEC.21.
IC 6-1.1-21.5-2 "Board" defined
Sec. 2. As used in this chapter, "board" refers to the state board of
finance. As added by P.L.380-1987(ss), SEC.5.
IC 6-1.1-21.5-3 Loan application; prerequisites to grant of loan
Sec. 3. Before January 1, 2002, a qualified taxing unit may apply
to the board for a loan from the counter-cyclical revenue and
economic stabilization fund. The board may make a loan from the
fund to the taxing unit if:
(1) a taxpayer with tangible property subject to taxation by the
qualified taxing unit has filed a petition to reorganize under the
federal bankruptcy code;
(2) the taxpayer has defaulted on one (1) of its property tax
payments;
(3) the qualified taxing unit has experienced and will continue
to experience a significant revenue shortfall as a result of the
default; and
(4) the taxpayer is a steel manufacturer that owns at least
eighteen percent (18%) of the assessed value within the taxing
unit. As added by P.L.380-1987(ss), SEC.5. Amended by P.L.291-2001,
SEC.207.
IC 6-1.1-21.5-4 Maximum amount of loan
Sec. 4. The maximum amount that the board may loan to a
qualified taxing unit under this chapter is set forth in the following
table:
MAXIMUM
TYPE OF TAXING UNIT
LOAN
City $ 5,500,000
Sanitary District $ 1,900,000
Library District $ 800,000
School Corporation $ 8,000,000
As added by P.L.380-1987(ss), SEC.5. Amended by P.L.291-2001,
SEC.208.
IC 6-1.1-21.5-5 Terms of loan; interest; repayment; depository
Sec. 5. (a) The board shall determine the terms of a loan made
under this chapter. However, interest may not be charged on the loan,
and the loan must be repaid not later than ten (10) years after the date
on which the loan was made.
(b) The loan shall be repaid only from property tax revenues of
the qualified taxing unit that are subject to the levy limitations
imposed by IC 6-1.1-18.5. The payment of any installment of
principal constitutes a first charge against such property tax revenues
as collected by the qualified taxing unit during the calendar year the
installment is due and payable.
(c) The obligation to repay the loan is not a basis for the qualified
taxing unit to obtain an excessive tax levy under IC 6-1.1-18.5.
(d) Whenever the board receives a payment on a loan made under
this chapter, the board shall deposit the amount paid in the
counter-cyclical revenue and economic stabilization fund.
(e) This section may not be construed to prevent the qualified
taxing unit from repaying a loan made under this chapter before the
date specified in subsection (a) if a taxpayer described in section 3
of this chapter resumes paying property taxes to the qualified taxing
unit. As added by P.L.380-1987(ss), SEC.5. Amended by P.L.291-2001,
SEC.209; P.L.2-2006, SEC.59; P.L.146-2008, SEC.242.
IC 6-1.1-21.5-6 Loan proceeds and delinquent tax payments; levy excess
Sec. 6. (a) The receipt by the qualified taxing unit of the loan
proceeds is not considered to be part of the ad valorem property tax
levy actually collected by the qualified taxing unit for taxes first due
and payable during a particular calendar year for the purpose of
calculating the levy excess under IC 6-1.1-18.5-17 and IC 20-44-3.
The receipt by the qualified taxing unit of any payment of delinquent
tax owed by a taxpayer in bankruptcy is considered to be part of the
ad valorem property tax levy actually collected by the qualified
taxing unit for taxes first due and payable during a particular
calendar year for the purpose of calculating the levy excess under
IC 6-1.1-18.5-17 and IC 20-44-3.
(b) The loan proceeds and any payment of delinquent tax may be
expended by the qualified taxing unit only to pay debts of the
qualified taxing unit that have been incurred pursuant to duly
adopted appropriations approved by the department of local
government finance for operating expenses.
(c) In the event the sum of the receipts of the qualified taxing unit
that are attributable to:
(1) the loan proceeds; and
(2) the payment of property taxes owed by a taxpayer in a
bankruptcy proceeding initially filed in 2000 and payable in
2001;
exceeds sixteen million dollars ($16,000,000), the excess as received
during any calendar year or years shall be set aside and treated for
the calendar year when received as a levy excess subject to
IC 6-1.1-18.5-17 or IC 20-44-3. In calculating the payment of
property taxes as provided in subdivision (2), the amount of property
tax credit finally allowed under IC 6-1.1-21-5 (before its repeal) in
respect to such taxes is considered a payment of such property taxes.
(d) As used in this section, "delinquent tax" means any tax owed
by a taxpayer in a bankruptcy proceeding initially filed in 2000 and
that is not paid during the calendar year for which it was first due and
payable. As added by P.L.380-1987(ss), SEC.5. Amended by P.L.291-2001,
SEC.210; P.L.90-2002, SEC.202; P.L.2-2006, SEC.60;
P.L.146-2008, SEC.243.
IC 6-1.1-21.5
Chapter 21.5. Loans to Qualified Taxing Units
IC 6-1.1-21.5-1 "Qualified taxing unit" defined
Sec. 1. As used in this chapter, "qualified taxing unit" means each
of the following:
(1) A city having a population of more than thirty-two thousand
(32,000) but less than thirty-two thousand eight hundred
(32,800).
(2) The sanitary district of a city described in subdivision (1).
(3) The library district of a city described in subdivision (1).
(4) The school corporation located in a city described in
subdivision (1). As added by P.L.380-1987(ss), SEC.5. Amended by P.L.12-1992,
SEC.23; P.L.170-2002, SEC.21.
IC 6-1.1-21.5-2 "Board" defined
Sec. 2. As used in this chapter, "board" refers to the state board of
finance. As added by P.L.380-1987(ss), SEC.5.
IC 6-1.1-21.5-3 Loan application; prerequisites to grant of loan
Sec. 3. Before January 1, 2002, a qualified taxing unit may apply
to the board for a loan from the counter-cyclical revenue and
economic stabilization fund. The board may make a loan from the
fund to the taxing unit if:
(1) a taxpayer with tangible property subject to taxation by the
qualified taxing unit has filed a petition to reorganize under the
federal bankruptcy code;
(2) the taxpayer has defaulted on one (1) of its property tax
payments;
(3) the qualified taxing unit has experienced and will continue
to experience a significant revenue shortfall as a result of the
default; and
(4) the taxpayer is a steel manufacturer that owns at least
eighteen percent (18%) of the assessed value within the taxing
unit. As added by P.L.380-1987(ss), SEC.5. Amended by P.L.291-2001,
SEC.207.
IC 6-1.1-21.5-4 Maximum amount of loan
Sec. 4. The maximum amount that the board may loan to a
qualified taxing unit under this chapter is set forth in the following
table:
MAXIMUM
TYPE OF TAXING UNIT
LOAN
City $ 5,500,000
Sanitary District $ 1,900,000
Library District $ 800,000
School Corporation $ 8,000,000
As added by P.L.380-1987(ss), SEC.5. Amended by P.L.291-2001,
SEC.208.
IC 6-1.1-21.5-5 Terms of loan; interest; repayment; depository
Sec. 5. (a) The board shall determine the terms of a loan made
under this chapter. However, interest may not be charged on the loan,
and the loan must be repaid not later than ten (10) years after the date
on which the loan was made.
(b) The loan shall be repaid only from property tax revenues of
the qualified taxing unit that are subject to the levy limitations
imposed by IC 6-1.1-18.5. The payment of any installment of
principal constitutes a first charge against such property tax revenues
as collected by the qualified taxing unit during the calendar year the
installment is due and payable.
(c) The obligation to repay the loan is not a basis for the qualified
taxing unit to obtain an excessive tax levy under IC 6-1.1-18.5.
(d) Whenever the board receives a payment on a loan made under
this chapter, the board shall deposit the amount paid in the
counter-cyclical revenue and economic stabilization fund.
(e) This section may not be construed to prevent the qualified
taxing unit from repaying a loan made under this chapter before the
date specified in subsection (a) if a taxpayer described in section 3
of this chapter resumes paying property taxes to the qualified taxing
unit. As added by P.L.380-1987(ss), SEC.5. Amended by P.L.291-2001,
SEC.209; P.L.2-2006, SEC.59; P.L.146-2008, SEC.242.
IC 6-1.1-21.5-6 Loan proceeds and delinquent tax payments; levy excess
Sec. 6. (a) The receipt by the qualified taxing unit of the loan
proceeds is not considered to be part of the ad valorem property tax
levy actually collected by the qualified taxing unit for taxes first due
and payable during a particular calendar year for the purpose of
calculating the levy excess under IC 6-1.1-18.5-17 and IC 20-44-3.
The receipt by the qualified taxing unit of any payment of delinquent
tax owed by a taxpayer in bankruptcy is considered to be part of the
ad valorem property tax levy actually collected by the qualified
taxing unit for taxes first due and payable during a particular
calendar year for the purpose of calculating the levy excess under
IC 6-1.1-18.5-17 and IC 20-44-3.
(b) The loan proceeds and any payment of delinquent tax may be
expended by the qualified taxing unit only to pay debts of the
qualified taxing unit that have been incurred pursuant to duly
adopted appropriations approved by the department of local
government finance for operating expenses.
(c) In the event the sum of the receipts of the qualified taxing unit
that are attributable to:
(1) the loan proceeds; and
(2) the payment of property taxes owed by a taxpayer in a
bankruptcy proceeding initially filed in 2000 and payable in
2001;
exceeds sixteen million dollars ($16,000,000), the excess as received
during any calendar year or years shall be set aside and treated for
the calendar year when received as a levy excess subject to
IC 6-1.1-18.5-17 or IC 20-44-3. In calculating the payment of
property taxes as provided in subdivision (2), the amount of property
tax credit finally allowed under IC 6-1.1-21-5 (before its repeal) in
respect to such taxes is considered a payment of such property taxes.
(d) As used in this section, "delinquent tax" means any tax owed
by a taxpayer in a bankruptcy proceeding initially filed in 2000 and
that is not paid during the calendar year for which it was first due and
payable. As added by P.L.380-1987(ss), SEC.5. Amended by P.L.291-2001,
SEC.210; P.L.90-2002, SEC.202; P.L.2-2006, SEC.60;
P.L.146-2008, SEC.243.
