IC 8-14-1
Chapter 1. Motor Vehicle Highway Account Act
IC 8-14-1-1 Definitions
Sec. 1. As used in this chapter:
(1) "Motor vehicle highway account" means the account of the
general fund of the state known as the "motor vehicle highway
account" to which is credited collections from motor vehicle
registration fees, licenses, driver's and chauffeur's license fees,
gasoline taxes, auto transfer fees, certificate of title fees, weight
taxes or excise taxes and all other similar special taxes, duties
or excises of all kinds on motor vehicles, trailers, motor vehicle
fuel or motor vehicle owners or operators.
(2) The term "department" refers to the Indiana department of
transportation.
(3) The term "highways" includes roadway, rights of way,
bridges, drainage structures, signs, guard rails, protective
structures in connection with highways, drains, culverts, and
bridges and the substructure and superstructure of bridges and
approaches thereto and streets and alleys of cities or towns.
(4) The term "construction" means the planning, supervising,
inspecting, actual building, draining, and all expenses incidental
to the construction of a highway.
(5) The term "reconstruction" means a widening or a rebuilding
of the highway or any portion thereof.
(6) The term "maintenance" when used in reference to cities,
towns and counties as applied to that part of the highway other
than bridges, means the constant making of needed repairs, to
preserve a smooth surfaced highway, adequately drained,
marked and guarded by protective structures for public safety
and, as to bridges, means the constant making of needed repairs
to preserve a smooth surfaced highway thereon and the safety
and preservation of the bridge and its approaches, together with
the substructure and superstructure thereof; and such term also
means and includes the acquisition and use, in any manner, of
all needed equipment, fuel, materials and supplies essential and
incident thereto.
(7) The term "vehicle registration" means the number of
vehicles subject to registration under IC 9-18 which are
registered thereunder, and, when used with respect to the state,
shall mean the number of vehicles registered in the state and
when used in respect to a county, city, or town shall mean the
number of vehicles registered by owners resident in the county,
city, or town. (Formerly: Acts 1941, c.168, s.1.) As amended by Acts 1980, P.L.74,
IC 8-14-1-2 Public policy; budget management; political subdivisions
Sec. 2. It is hereby declared to be the policy of the state of Indiana
that:
(1) the net amount in the motor vehicle highway account shall
be budgeted for programs of traffic safety and for the
construction, reconstruction, improvement, maintenance, and
policing of the highways of the state;
(2) a fair distribution thereof shall be made between the
department and subordinate political subdivisions having
jurisdiction of highways of the state;
(3) the funds allotted shall be used in accordance with the
policy herein declared and the provisions of this chapter; and
(4) the funds allocated to counties, cities and towns from such
motor vehicle highway account shall be budgeted as provided
by law, and such county budgets shall be referred to the county
council for approval, revision, or reduction. (Formerly: Acts 1941, c.168, s.2.) As amended by Acts 1980, P.L.74,
SEC.214; Acts 1981, P.L.41, SEC.48.
IC 8-14-1-2.5
Repealed
(Repealed by P.L.59-1985, SEC.38.)
IC 8-14-1-3 Allocations; basis for distribution
Sec. 3. The money collected for the motor vehicle highway
account fund and remaining after refunds and the payment of all
expenses incurred in the collection thereof, and after the deduction
of the amount appropriated to the department for traffic safety and
after the deduction of one-half (1/2) of the amount appropriated for
the state police department, shall be allocated to and distributed
among the department and subdivisions designated as follows:
(1) Of the net amount in the motor vehicle highway account the
auditor of state shall set aside for the cities and towns of the
state fifteen percent (15%) thereof. This sum shall be allocated
to the cities and towns upon the basis that the population of
each city and town bears to the total population of all the cities
and towns and shall be used for the construction or
reconstruction and maintenance of streets and alleys and shall
be annually budgeted as now provided by law. However, no part
of such sum shall be used for any other purpose than for the
purposes defined in this chapter. If any funds allocated to any
city or town shall be used by any officer or officers of such city
or town for any purpose or purposes other than for the purposes
as defined in this chapter, such officer or officers shall be liable
upon their official bonds to such city or town in such amount so
used for other purposes than for the purposes as defined in this
chapter, together with the costs of said action and reasonable
attorney fees, recoverable in an action or suit instituted in the
name of the state of Indiana on the relation of any taxpayer or
taxpayers resident of such city or town. A monthly distribution
thereof of funds accumulated during the preceding month shall
be made by the auditor of state.
(2) Of the net amount in the motor vehicle highway account, the
auditor of state shall set aside for the counties of the state
thirty-two percent (32%) thereof. However, as to the allocation
to cities and towns under subdivision (1), and as to the
allocation to counties under this subdivision in the event that
the amount in the motor vehicle highway account fund
remaining after refunds and the payment of all expenses
incurred in the collection thereof and after deduction of any
amount appropriated by the general assembly for public safety
and policing shall be less than twenty-two million six hundred
and fifty thousand dollars ($22,650,000), in any fiscal year then
the amount so set aside in the next calendar year for
distributions to counties shall be reduced fifty-four percent
(54%) of such deficit and the amount so set aside for
distribution in the next calendar year to cities and towns shall
be reduced thirteen percent (13%) of such deficit. Such reduced
distributions shall begin with the distribution January 1 of each
year.
(3) The amount set aside for the counties of the state under the
provisions of subdivision (2) shall be allocated monthly upon
the following basis:
(A) Five percent (5%) of the amount allocated to the
counties to be divided equally among the ninety-two (92)
counties.
(B) Sixty-five percent (65%) of the amount allocated to the
counties to be divided on the basis of the ratio of the actual
miles, now traveled and in use, of county roads in each
county to the total mileage of county roads in the state,
which shall be annually determined, accurately, by the
department.
(C) Thirty percent (30%) of the amount allocated to the
counties to be divided on the basis of the ratio of the motor
vehicle registrations of each county to the total motor
vehicle registration of the state.
All money so distributed to the several counties of the state
shall constitute a special road fund for each of the respective
counties and shall be under the exclusive supervision and
direction of the board of county commissioners in the
construction, reconstruction, maintenance, or repair of the
county highways or bridges on such county highways within
such county.
(4) Each month the remainder of the net amount in the motor
vehicle highway account shall be credited to the state highway
fund for the use of the department.
(5) Money in the fund may not be used for any toll road or toll
bridge project.
(6) Notwithstanding any other provisions of this section, money
in the motor vehicle highway account fund may be appropriated
to the Indiana department of transportation from the forty-seven
percent (47%) distributed to the political subdivisions of the
state to pay the costs incurred by the department in providing
services to those subdivisions.
(7) Notwithstanding any other provisions of this section or of
IC 8-14-8, for the purpose of maintaining a sufficient working
balance in accounts established primarily to facilitate the
matching of federal and local money for highway projects,
money may be appropriated to the Indiana department of
transportation as follows:
(A) One-half (1/2) from the forty-seven percent (47%) set
aside under subdivisions (1) and (2) for counties and for
those cities and towns with a population greater than five
thousand (5,000).
(B) One-half (1/2) from the distressed road fund under
IC 8-14-8. (Formerly: Acts 1941, c.168, s.3; Acts 1943, c.221, s.1; Acts 1945,
c.275, s.1; Acts 1949, c.270, s.1; Acts 1965, c.223, s.1.) As amended
by Acts 1980, P.L.74, SEC.215; Acts 1981, P.L.41, SEC.49;
P.L.113-1983, SEC.1; P.L.18-1990, SEC.107; P.L.2-1990, SEC.10.
IC 8-14-1-4 County allocations; budgeting; permissible use of funds; county
allocation
Sec. 4. The funds allocated to the respective counties of the state
from the motor vehicle highway account shall annually be budgeted
as provided by law, and, when distributed shall be used for
construction, reconstruction and maintenance of the highways of the
respective counties, including highways which traverse the streets of
incorporated towns, the cost of the repair and maintenance of which
prior to the tenth day of September, 1932, was paid from the county
gravel road repair fund excepting where the department is charged by
law with the maintenance or construction of any such highway so
traversing such streets. Any surplus existing in the funds at the end
of the year shall thereafter continue as a part of the highway funds of
the said counties and shall be rebudgeted and used as already
provided in this chapter. The purchase, rental and repair of highway
equipment, painting of bridges and acquisition of grounds for
erection and construction of storage buildings, acquisition of rights
of way and the purchase of fuel oil, and supplies necessary to the
performance of construction, reconstruction and maintenance of
highways, shall be paid out of the highway account of the various
counties. (Formerly: Acts 1941, c.168, s.4.) As amended by Acts 1980, P.L.74,
SEC.216. IC 8-14-1-5 Permissible use of funds; municipal allocations
Sec. 5. (a) All funds allocated to cities and towns from the motor
vehicle highway account shall be used by the cities and towns for the
construction, reconstruction, repair, maintenance, oiling, sprinkling,
snow removal, weed and tree cutting and cleaning of their highways
as herein defined, and including also any curbs, and the city's or
town's share of the cost of the separation of the grades of crossing of
public highways and railroads, the purchase or lease of highway
construction and maintenance equipment, the purchase, erection,
operation and maintenance of traffic signs and signals, and safety
zones and devices; and the painting of structures, objects, surfaces in
highways for purposes of safety and traffic regulation. All of such
funds shall be budgeted as provided by law.
(b) In addition to purposes for which funds may be expended
under subsections (a) and (c) of this section, monies allocated to
cities and towns under this chapter may be expended for law
enforcement purposes, subject to the following limitations:
(1) For cities and towns with a population of less than five
thousand (5,000), no more than fifteen percent (15%) may be
spent for law enforcement purposes.
(2) For cities and towns other than those specified in
subdivision (1) of this subsection, no more than ten percent
(10%) may be spent for law enforcement purposes.
(c) In addition to purposes for which funds may be expended
under subsections (a) and (b) of this section, monies allocated to
cities and towns under this chapter may be expended for the payment
of principal and interest on bonds sold primarily to finance road,
street, or thoroughfare projects. (Formerly: Acts 1941, c.168, s.5; Acts 1945, c.164, s.1; Acts 1959,
c.278, s.1; Acts 1965, c.121, s.1.) As amended by Acts 1981, P.L.111,
SEC.3; P.L.61-2000, SEC.1.
IC 8-14-1-6
Repealed
(Repealed by Acts 1980, P.L.74, SEC.434.)
IC 8-14-1-7 Short title
Sec. 7. This chapter shall be known as the "Motor Vehicle
Highway Account Act". The distribution herein set out under section
3 of this chapter is hereby declared to be equitable. (Formerly: Acts 1941, c.168, s.7.) As amended by P.L.66-1984,
SEC.55.
IC 8-14-1-8
Repealed
(Repealed by Acts 1980, P.L.74, SEC.434.)
IC 8-14-1-9 Mandatory transfer of funds
Sec. 9. (a) A written agreement between the department and a
city, town, or county under IC 8-23-2-5, or a similar government
cooperative statute, may provide for a mandatory transfer of funds by
the auditor of state under this section if one (1) of the parties
becomes more than sixty (60) days late in making a payment required
by the agreement.
(b) To obtain a mandatory transfer of funds, the party to whom the
funds were to be paid under terms of the written agreement must
certify in writing to the auditor of state:
(1) that a written agreement between the parties authorizes the
mandatory transfer of funds as provided in subsection (a);
(2) that the owing party was notified in writing of the amount
owed;
(3) that the payment is more than sixty (60) days past due;
(4) the names of the parties; and
(5) the amount of the payment due.
(c) Upon receipt of a certificate as specified in subsection (b), the
auditor of state shall:
(1) immediately notify the delinquent party of the claim; and
(2) if proof of payment is not furnished to the auditor of state
within thirty (30) days after the delinquent party has been
notified, transfer the unpaid amount from the delinquent party's
allocations from the motor vehicle highway account to the other
party. Transfers shall be made until the unpaid amount has been
paid in full under the terms of the agreement. As added by P.L.113-1983, SEC.2. Amended by P.L.18-1990,
SEC.108.
IC 8-14-1-10 Covered bridges; appropriation from account; disbursements
Sec. 10. (a) On July 1 of each year, there is appropriated from the
motor vehicle highway account for the maintenance of covered
bridges in Indiana the amount necessary to make the disbursements
under subsection (b) for the year.
(b) Before September 1 of each year, the auditor of state shall, by
warrant drawn on the treasurer of state, distribute to each county that
has a covered bridge located on the county's road system an amount
that may only be used for maintenance of covered bridges in the
county. The amount to which each county is entitled under this
subsection equals the product of:
(1) the number of covered bridges located on the county's road
system; multiplied by
(2) one thousand eight hundred fifty dollars ($1,850). As added by P.L.127-1987, SEC.1. Amended by P.L.115-1989,
SEC.1; P.L.57-1994, SEC.1; P.L.23-2007, SEC.1.
IC 8-14-1-11 Local agency revolving fund; reimbursement; accounts receivable;
transfer of funds
Sec. 11. (a) The department may create a local agency revolving
fund from money appropriated under section 3(7) of this chapter for
the purpose of maintaining a sufficient working balance in accounts
established primarily to facilitate the matching of federal and local
money for highway projects.
(b) The revolving fund balance must be maintained through
reimbursement from a local unit for money used by that unit to match
federal funds.
(c) If the local unit fails to reimburse the revolving fund, the
department shall notify the local unit that the department has found
the outstanding accounts receivable to be uncollectible.
(d) The attorney general shall review the outstanding accounts
receivable and if the attorney general agrees with the department's
assessment of the account's status, the attorney general shall certify
to the auditor of state that the outstanding accounts receivable is
uncollectible and request a transfer of funds as provided in
subsection (e).
(e) Upon receipt of a certificate as specified in subsection (d), the
auditor of state shall:
(1) immediately notify the delinquent local unit of the claim;
and
(2) if proof of payment is not furnished to the auditor of state
within thirty (30) days after the notification, transfer an amount
equal to the outstanding accounts receivable to the department
from the delinquent local unit's allocations from the motor
vehicle highway account for deposit in the local agency
revolving fund.
(f) Transfers shall be made under subsection (e) until the unpaid
amount has been paid in full under the terms of the agreement.
However, the agreement may be amended if both the department and
the unit agree to amortize the transfer over a period not to exceed
five (5) years.
(g) Money in the fund at the end of a fiscal year does not revert to
the state general fund. As added by P.L.116-1989, SEC.1. Amended by P.L.1-1994, SEC.35.
IC 8-14-1
Chapter 1. Motor Vehicle Highway Account Act
IC 8-14-1-1 Definitions
Sec. 1. As used in this chapter:
(1) "Motor vehicle highway account" means the account of the
general fund of the state known as the "motor vehicle highway
account" to which is credited collections from motor vehicle
registration fees, licenses, driver's and chauffeur's license fees,
gasoline taxes, auto transfer fees, certificate of title fees, weight
taxes or excise taxes and all other similar special taxes, duties
or excises of all kinds on motor vehicles, trailers, motor vehicle
fuel or motor vehicle owners or operators.
(2) The term "department" refers to the Indiana department of
transportation.
(3) The term "highways" includes roadway, rights of way,
bridges, drainage structures, signs, guard rails, protective
structures in connection with highways, drains, culverts, and
bridges and the substructure and superstructure of bridges and
approaches thereto and streets and alleys of cities or towns.
(4) The term "construction" means the planning, supervising,
inspecting, actual building, draining, and all expenses incidental
to the construction of a highway.
(5) The term "reconstruction" means a widening or a rebuilding
of the highway or any portion thereof.
(6) The term "maintenance" when used in reference to cities,
towns and counties as applied to that part of the highway other
than bridges, means the constant making of needed repairs, to
preserve a smooth surfaced highway, adequately drained,
marked and guarded by protective structures for public safety
and, as to bridges, means the constant making of needed repairs
to preserve a smooth surfaced highway thereon and the safety
and preservation of the bridge and its approaches, together with
the substructure and superstructure thereof; and such term also
means and includes the acquisition and use, in any manner, of
all needed equipment, fuel, materials and supplies essential and
incident thereto.
(7) The term "vehicle registration" means the number of
vehicles subject to registration under IC 9-18 which are
registered thereunder, and, when used with respect to the state,
shall mean the number of vehicles registered in the state and
when used in respect to a county, city, or town shall mean the
number of vehicles registered by owners resident in the county,
city, or town. (Formerly: Acts 1941, c.168, s.1.) As amended by Acts 1980, P.L.74,
IC 8-14-1-2 Public policy; budget management; political subdivisions
Sec. 2. It is hereby declared to be the policy of the state of Indiana
that:
(1) the net amount in the motor vehicle highway account shall
be budgeted for programs of traffic safety and for the
construction, reconstruction, improvement, maintenance, and
policing of the highways of the state;
(2) a fair distribution thereof shall be made between the
department and subordinate political subdivisions having
jurisdiction of highways of the state;
(3) the funds allotted shall be used in accordance with the
policy herein declared and the provisions of this chapter; and
(4) the funds allocated to counties, cities and towns from such
motor vehicle highway account shall be budgeted as provided
by law, and such county budgets shall be referred to the county
council for approval, revision, or reduction. (Formerly: Acts 1941, c.168, s.2.) As amended by Acts 1980, P.L.74,
SEC.214; Acts 1981, P.L.41, SEC.48.
IC 8-14-1-2.5
Repealed
(Repealed by P.L.59-1985, SEC.38.)
IC 8-14-1-3 Allocations; basis for distribution
Sec. 3. The money collected for the motor vehicle highway
account fund and remaining after refunds and the payment of all
expenses incurred in the collection thereof, and after the deduction
of the amount appropriated to the department for traffic safety and
after the deduction of one-half (1/2) of the amount appropriated for
the state police department, shall be allocated to and distributed
among the department and subdivisions designated as follows:
(1) Of the net amount in the motor vehicle highway account the
auditor of state shall set aside for the cities and towns of the
state fifteen percent (15%) thereof. This sum shall be allocated
to the cities and towns upon the basis that the population of
each city and town bears to the total population of all the cities
and towns and shall be used for the construction or
reconstruction and maintenance of streets and alleys and shall
be annually budgeted as now provided by law. However, no part
of such sum shall be used for any other purpose than for the
purposes defined in this chapter. If any funds allocated to any
city or town shall be used by any officer or officers of such city
or town for any purpose or purposes other than for the purposes
as defined in this chapter, such officer or officers shall be liable
upon their official bonds to such city or town in such amount so
used for other purposes than for the purposes as defined in this
chapter, together with the costs of said action and reasonable
attorney fees, recoverable in an action or suit instituted in the
name of the state of Indiana on the relation of any taxpayer or
taxpayers resident of such city or town. A monthly distribution
thereof of funds accumulated during the preceding month shall
be made by the auditor of state.
(2) Of the net amount in the motor vehicle highway account, the
auditor of state shall set aside for the counties of the state
thirty-two percent (32%) thereof. However, as to the allocation
to cities and towns under subdivision (1), and as to the
allocation to counties under this subdivision in the event that
the amount in the motor vehicle highway account fund
remaining after refunds and the payment of all expenses
incurred in the collection thereof and after deduction of any
amount appropriated by the general assembly for public safety
and policing shall be less than twenty-two million six hundred
and fifty thousand dollars ($22,650,000), in any fiscal year then
the amount so set aside in the next calendar year for
distributions to counties shall be reduced fifty-four percent
(54%) of such deficit and the amount so set aside for
distribution in the next calendar year to cities and towns shall
be reduced thirteen percent (13%) of such deficit. Such reduced
distributions shall begin with the distribution January 1 of each
year.
(3) The amount set aside for the counties of the state under the
provisions of subdivision (2) shall be allocated monthly upon
the following basis:
(A) Five percent (5%) of the amount allocated to the
counties to be divided equally among the ninety-two (92)
counties.
(B) Sixty-five percent (65%) of the amount allocated to the
counties to be divided on the basis of the ratio of the actual
miles, now traveled and in use, of county roads in each
county to the total mileage of county roads in the state,
which shall be annually determined, accurately, by the
department.
(C) Thirty percent (30%) of the amount allocated to the
counties to be divided on the basis of the ratio of the motor
vehicle registrations of each county to the total motor
vehicle registration of the state.
All money so distributed to the several counties of the state
shall constitute a special road fund for each of the respective
counties and shall be under the exclusive supervision and
direction of the board of county commissioners in the
construction, reconstruction, maintenance, or repair of the
county highways or bridges on such county highways within
such county.
(4) Each month the remainder of the net amount in the motor
vehicle highway account shall be credited to the state highway
fund for the use of the department.
(5) Money in the fund may not be used for any toll road or toll
bridge project.
(6) Notwithstanding any other provisions of this section, money
in the motor vehicle highway account fund may be appropriated
to the Indiana department of transportation from the forty-seven
percent (47%) distributed to the political subdivisions of the
state to pay the costs incurred by the department in providing
services to those subdivisions.
(7) Notwithstanding any other provisions of this section or of
IC 8-14-8, for the purpose of maintaining a sufficient working
balance in accounts established primarily to facilitate the
matching of federal and local money for highway projects,
money may be appropriated to the Indiana department of
transportation as follows:
(A) One-half (1/2) from the forty-seven percent (47%) set
aside under subdivisions (1) and (2) for counties and for
those cities and towns with a population greater than five
thousand (5,000).
(B) One-half (1/2) from the distressed road fund under
IC 8-14-8. (Formerly: Acts 1941, c.168, s.3; Acts 1943, c.221, s.1; Acts 1945,
c.275, s.1; Acts 1949, c.270, s.1; Acts 1965, c.223, s.1.) As amended
by Acts 1980, P.L.74, SEC.215; Acts 1981, P.L.41, SEC.49;
P.L.113-1983, SEC.1; P.L.18-1990, SEC.107; P.L.2-1990, SEC.10.
IC 8-14-1-4 County allocations; budgeting; permissible use of funds; county
allocation
Sec. 4. The funds allocated to the respective counties of the state
from the motor vehicle highway account shall annually be budgeted
as provided by law, and, when distributed shall be used for
construction, reconstruction and maintenance of the highways of the
respective counties, including highways which traverse the streets of
incorporated towns, the cost of the repair and maintenance of which
prior to the tenth day of September, 1932, was paid from the county
gravel road repair fund excepting where the department is charged by
law with the maintenance or construction of any such highway so
traversing such streets. Any surplus existing in the funds at the end
of the year shall thereafter continue as a part of the highway funds of
the said counties and shall be rebudgeted and used as already
provided in this chapter. The purchase, rental and repair of highway
equipment, painting of bridges and acquisition of grounds for
erection and construction of storage buildings, acquisition of rights
of way and the purchase of fuel oil, and supplies necessary to the
performance of construction, reconstruction and maintenance of
highways, shall be paid out of the highway account of the various
counties. (Formerly: Acts 1941, c.168, s.4.) As amended by Acts 1980, P.L.74,
SEC.216. IC 8-14-1-5 Permissible use of funds; municipal allocations
Sec. 5. (a) All funds allocated to cities and towns from the motor
vehicle highway account shall be used by the cities and towns for the
construction, reconstruction, repair, maintenance, oiling, sprinkling,
snow removal, weed and tree cutting and cleaning of their highways
as herein defined, and including also any curbs, and the city's or
town's share of the cost of the separation of the grades of crossing of
public highways and railroads, the purchase or lease of highway
construction and maintenance equipment, the purchase, erection,
operation and maintenance of traffic signs and signals, and safety
zones and devices; and the painting of structures, objects, surfaces in
highways for purposes of safety and traffic regulation. All of such
funds shall be budgeted as provided by law.
(b) In addition to purposes for which funds may be expended
under subsections (a) and (c) of this section, monies allocated to
cities and towns under this chapter may be expended for law
enforcement purposes, subject to the following limitations:
(1) For cities and towns with a population of less than five
thousand (5,000), no more than fifteen percent (15%) may be
spent for law enforcement purposes.
(2) For cities and towns other than those specified in
subdivision (1) of this subsection, no more than ten percent
(10%) may be spent for law enforcement purposes.
(c) In addition to purposes for which funds may be expended
under subsections (a) and (b) of this section, monies allocated to
cities and towns under this chapter may be expended for the payment
of principal and interest on bonds sold primarily to finance road,
street, or thoroughfare projects. (Formerly: Acts 1941, c.168, s.5; Acts 1945, c.164, s.1; Acts 1959,
c.278, s.1; Acts 1965, c.121, s.1.) As amended by Acts 1981, P.L.111,
SEC.3; P.L.61-2000, SEC.1.
IC 8-14-1-6
Repealed
(Repealed by Acts 1980, P.L.74, SEC.434.)
IC 8-14-1-7 Short title
Sec. 7. This chapter shall be known as the "Motor Vehicle
Highway Account Act". The distribution herein set out under section
3 of this chapter is hereby declared to be equitable. (Formerly: Acts 1941, c.168, s.7.) As amended by P.L.66-1984,
SEC.55.
IC 8-14-1-8
Repealed
(Repealed by Acts 1980, P.L.74, SEC.434.)
IC 8-14-1-9 Mandatory transfer of funds
Sec. 9. (a) A written agreement between the department and a
city, town, or county under IC 8-23-2-5, or a similar government
cooperative statute, may provide for a mandatory transfer of funds by
the auditor of state under this section if one (1) of the parties
becomes more than sixty (60) days late in making a payment required
by the agreement.
(b) To obtain a mandatory transfer of funds, the party to whom the
funds were to be paid under terms of the written agreement must
certify in writing to the auditor of state:
(1) that a written agreement between the parties authorizes the
mandatory transfer of funds as provided in subsection (a);
(2) that the owing party was notified in writing of the amount
owed;
(3) that the payment is more than sixty (60) days past due;
(4) the names of the parties; and
(5) the amount of the payment due.
(c) Upon receipt of a certificate as specified in subsection (b), the
auditor of state shall:
(1) immediately notify the delinquent party of the claim; and
(2) if proof of payment is not furnished to the auditor of state
within thirty (30) days after the delinquent party has been
notified, transfer the unpaid amount from the delinquent party's
allocations from the motor vehicle highway account to the other
party. Transfers shall be made until the unpaid amount has been
paid in full under the terms of the agreement. As added by P.L.113-1983, SEC.2. Amended by P.L.18-1990,
SEC.108.
IC 8-14-1-10 Covered bridges; appropriation from account; disbursements
Sec. 10. (a) On July 1 of each year, there is appropriated from the
motor vehicle highway account for the maintenance of covered
bridges in Indiana the amount necessary to make the disbursements
under subsection (b) for the year.
(b) Before September 1 of each year, the auditor of state shall, by
warrant drawn on the treasurer of state, distribute to each county that
has a covered bridge located on the county's road system an amount
that may only be used for maintenance of covered bridges in the
county. The amount to which each county is entitled under this
subsection equals the product of:
(1) the number of covered bridges located on the county's road
system; multiplied by
(2) one thousand eight hundred fifty dollars ($1,850). As added by P.L.127-1987, SEC.1. Amended by P.L.115-1989,
SEC.1; P.L.57-1994, SEC.1; P.L.23-2007, SEC.1.
IC 8-14-1-11 Local agency revolving fund; reimbursement; accounts receivable;
transfer of funds
Sec. 11. (a) The department may create a local agency revolving
fund from money appropriated under section 3(7) of this chapter for
the purpose of maintaining a sufficient working balance in accounts
established primarily to facilitate the matching of federal and local
money for highway projects.
(b) The revolving fund balance must be maintained through
reimbursement from a local unit for money used by that unit to match
federal funds.
(c) If the local unit fails to reimburse the revolving fund, the
department shall notify the local unit that the department has found
the outstanding accounts receivable to be uncollectible.
(d) The attorney general shall review the outstanding accounts
receivable and if the attorney general agrees with the department's
assessment of the account's status, the attorney general shall certify
to the auditor of state that the outstanding accounts receivable is
uncollectible and request a transfer of funds as provided in
subsection (e).
(e) Upon receipt of a certificate as specified in subsection (d), the
auditor of state shall:
(1) immediately notify the delinquent local unit of the claim;
and
(2) if proof of payment is not furnished to the auditor of state
within thirty (30) days after the notification, transfer an amount
equal to the outstanding accounts receivable to the department
from the delinquent local unit's allocations from the motor
vehicle highway account for deposit in the local agency
revolving fund.
(f) Transfers shall be made under subsection (e) until the unpaid
amount has been paid in full under the terms of the agreement.
However, the agreement may be amended if both the department and
the unit agree to amortize the transfer over a period not to exceed
five (5) years.
(g) Money in the fund at the end of a fiscal year does not revert to
the state general fund. As added by P.L.116-1989, SEC.1. Amended by P.L.1-1994, SEC.35.
IC 8-14-1
Chapter 1. Motor Vehicle Highway Account Act
IC 8-14-1-1 Definitions
Sec. 1. As used in this chapter:
(1) "Motor vehicle highway account" means the account of the
general fund of the state known as the "motor vehicle highway
account" to which is credited collections from motor vehicle
registration fees, licenses, driver's and chauffeur's license fees,
gasoline taxes, auto transfer fees, certificate of title fees, weight
taxes or excise taxes and all other similar special taxes, duties
or excises of all kinds on motor vehicles, trailers, motor vehicle
fuel or motor vehicle owners or operators.
(2) The term "department" refers to the Indiana department of
transportation.
(3) The term "highways" includes roadway, rights of way,
bridges, drainage structures, signs, guard rails, protective
structures in connection with highways, drains, culverts, and
bridges and the substructure and superstructure of bridges and
approaches thereto and streets and alleys of cities or towns.
(4) The term "construction" means the planning, supervising,
inspecting, actual building, draining, and all expenses incidental
to the construction of a highway.
(5) The term "reconstruction" means a widening or a rebuilding
of the highway or any portion thereof.
(6) The term "maintenance" when used in reference to cities,
towns and counties as applied to that part of the highway other
than bridges, means the constant making of needed repairs, to
preserve a smooth surfaced highway, adequately drained,
marked and guarded by protective structures for public safety
and, as to bridges, means the constant making of needed repairs
to preserve a smooth surfaced highway thereon and the safety
and preservation of the bridge and its approaches, together with
the substructure and superstructure thereof; and such term also
means and includes the acquisition and use, in any manner, of
all needed equipment, fuel, materials and supplies essential and
incident thereto.
(7) The term "vehicle registration" means the number of
vehicles subject to registration under IC 9-18 which are
registered thereunder, and, when used with respect to the state,
shall mean the number of vehicles registered in the state and
when used in respect to a county, city, or town shall mean the
number of vehicles registered by owners resident in the county,
city, or town. (Formerly: Acts 1941, c.168, s.1.) As amended by Acts 1980, P.L.74,
IC 8-14-1-2 Public policy; budget management; political subdivisions
Sec. 2. It is hereby declared to be the policy of the state of Indiana
that:
(1) the net amount in the motor vehicle highway account shall
be budgeted for programs of traffic safety and for the
construction, reconstruction, improvement, maintenance, and
policing of the highways of the state;
(2) a fair distribution thereof shall be made between the
department and subordinate political subdivisions having
jurisdiction of highways of the state;
(3) the funds allotted shall be used in accordance with the
policy herein declared and the provisions of this chapter; and
(4) the funds allocated to counties, cities and towns from such
motor vehicle highway account shall be budgeted as provided
by law, and such county budgets shall be referred to the county
council for approval, revision, or reduction. (Formerly: Acts 1941, c.168, s.2.) As amended by Acts 1980, P.L.74,
SEC.214; Acts 1981, P.L.41, SEC.48.
IC 8-14-1-2.5
Repealed
(Repealed by P.L.59-1985, SEC.38.)
IC 8-14-1-3 Allocations; basis for distribution
Sec. 3. The money collected for the motor vehicle highway
account fund and remaining after refunds and the payment of all
expenses incurred in the collection thereof, and after the deduction
of the amount appropriated to the department for traffic safety and
after the deduction of one-half (1/2) of the amount appropriated for
the state police department, shall be allocated to and distributed
among the department and subdivisions designated as follows:
(1) Of the net amount in the motor vehicle highway account the
auditor of state shall set aside for the cities and towns of the
state fifteen percent (15%) thereof. This sum shall be allocated
to the cities and towns upon the basis that the population of
each city and town bears to the total population of all the cities
and towns and shall be used for the construction or
reconstruction and maintenance of streets and alleys and shall
be annually budgeted as now provided by law. However, no part
of such sum shall be used for any other purpose than for the
purposes defined in this chapter. If any funds allocated to any
city or town shall be used by any officer or officers of such city
or town for any purpose or purposes other than for the purposes
as defined in this chapter, such officer or officers shall be liable
upon their official bonds to such city or town in such amount so
used for other purposes than for the purposes as defined in this
chapter, together with the costs of said action and reasonable
attorney fees, recoverable in an action or suit instituted in the
name of the state of Indiana on the relation of any taxpayer or
taxpayers resident of such city or town. A monthly distribution
thereof of funds accumulated during the preceding month shall
be made by the auditor of state.
(2) Of the net amount in the motor vehicle highway account, the
auditor of state shall set aside for the counties of the state
thirty-two percent (32%) thereof. However, as to the allocation
to cities and towns under subdivision (1), and as to the
allocation to counties under this subdivision in the event that
the amount in the motor vehicle highway account fund
remaining after refunds and the payment of all expenses
incurred in the collection thereof and after deduction of any
amount appropriated by the general assembly for public safety
and policing shall be less than twenty-two million six hundred
and fifty thousand dollars ($22,650,000), in any fiscal year then
the amount so set aside in the next calendar year for
distributions to counties shall be reduced fifty-four percent
(54%) of such deficit and the amount so set aside for
distribution in the next calendar year to cities and towns shall
be reduced thirteen percent (13%) of such deficit. Such reduced
distributions shall begin with the distribution January 1 of each
year.
(3) The amount set aside for the counties of the state under the
provisions of subdivision (2) shall be allocated monthly upon
the following basis:
(A) Five percent (5%) of the amount allocated to the
counties to be divided equally among the ninety-two (92)
counties.
(B) Sixty-five percent (65%) of the amount allocated to the
counties to be divided on the basis of the ratio of the actual
miles, now traveled and in use, of county roads in each
county to the total mileage of county roads in the state,
which shall be annually determined, accurately, by the
department.
(C) Thirty percent (30%) of the amount allocated to the
counties to be divided on the basis of the ratio of the motor
vehicle registrations of each county to the total motor
vehicle registration of the state.
All money so distributed to the several counties of the state
shall constitute a special road fund for each of the respective
counties and shall be under the exclusive supervision and
direction of the board of county commissioners in the
construction, reconstruction, maintenance, or repair of the
county highways or bridges on such county highways within
such county.
(4) Each month the remainder of the net amount in the motor
vehicle highway account shall be credited to the state highway
fund for the use of the department.
(5) Money in the fund may not be used for any toll road or toll
bridge project.
(6) Notwithstanding any other provisions of this section, money
in the motor vehicle highway account fund may be appropriated
to the Indiana department of transportation from the forty-seven
percent (47%) distributed to the political subdivisions of the
state to pay the costs incurred by the department in providing
services to those subdivisions.
(7) Notwithstanding any other provisions of this section or of
IC 8-14-8, for the purpose of maintaining a sufficient working
balance in accounts established primarily to facilitate the
matching of federal and local money for highway projects,
money may be appropriated to the Indiana department of
transportation as follows:
(A) One-half (1/2) from the forty-seven percent (47%) set
aside under subdivisions (1) and (2) for counties and for
those cities and towns with a population greater than five
thousand (5,000).
(B) One-half (1/2) from the distressed road fund under
IC 8-14-8. (Formerly: Acts 1941, c.168, s.3; Acts 1943, c.221, s.1; Acts 1945,
c.275, s.1; Acts 1949, c.270, s.1; Acts 1965, c.223, s.1.) As amended
by Acts 1980, P.L.74, SEC.215; Acts 1981, P.L.41, SEC.49;
P.L.113-1983, SEC.1; P.L.18-1990, SEC.107; P.L.2-1990, SEC.10.
IC 8-14-1-4 County allocations; budgeting; permissible use of funds; county
allocation
Sec. 4. The funds allocated to the respective counties of the state
from the motor vehicle highway account shall annually be budgeted
as provided by law, and, when distributed shall be used for
construction, reconstruction and maintenance of the highways of the
respective counties, including highways which traverse the streets of
incorporated towns, the cost of the repair and maintenance of which
prior to the tenth day of September, 1932, was paid from the county
gravel road repair fund excepting where the department is charged by
law with the maintenance or construction of any such highway so
traversing such streets. Any surplus existing in the funds at the end
of the year shall thereafter continue as a part of the highway funds of
the said counties and shall be rebudgeted and used as already
provided in this chapter. The purchase, rental and repair of highway
equipment, painting of bridges and acquisition of grounds for
erection and construction of storage buildings, acquisition of rights
of way and the purchase of fuel oil, and supplies necessary to the
performance of construction, reconstruction and maintenance of
highways, shall be paid out of the highway account of the various
counties. (Formerly: Acts 1941, c.168, s.4.) As amended by Acts 1980, P.L.74,
SEC.216. IC 8-14-1-5 Permissible use of funds; municipal allocations
Sec. 5. (a) All funds allocated to cities and towns from the motor
vehicle highway account shall be used by the cities and towns for the
construction, reconstruction, repair, maintenance, oiling, sprinkling,
snow removal, weed and tree cutting and cleaning of their highways
as herein defined, and including also any curbs, and the city's or
town's share of the cost of the separation of the grades of crossing of
public highways and railroads, the purchase or lease of highway
construction and maintenance equipment, the purchase, erection,
operation and maintenance of traffic signs and signals, and safety
zones and devices; and the painting of structures, objects, surfaces in
highways for purposes of safety and traffic regulation. All of such
funds shall be budgeted as provided by law.
(b) In addition to purposes for which funds may be expended
under subsections (a) and (c) of this section, monies allocated to
cities and towns under this chapter may be expended for law
enforcement purposes, subject to the following limitations:
(1) For cities and towns with a population of less than five
thousand (5,000), no more than fifteen percent (15%) may be
spent for law enforcement purposes.
(2) For cities and towns other than those specified in
subdivision (1) of this subsection, no more than ten percent
(10%) may be spent for law enforcement purposes.
(c) In addition to purposes for which funds may be expended
under subsections (a) and (b) of this section, monies allocated to
cities and towns under this chapter may be expended for the payment
of principal and interest on bonds sold primarily to finance road,
street, or thoroughfare projects. (Formerly: Acts 1941, c.168, s.5; Acts 1945, c.164, s.1; Acts 1959,
c.278, s.1; Acts 1965, c.121, s.1.) As amended by Acts 1981, P.L.111,
SEC.3; P.L.61-2000, SEC.1.
IC 8-14-1-6
Repealed
(Repealed by Acts 1980, P.L.74, SEC.434.)
IC 8-14-1-7 Short title
Sec. 7. This chapter shall be known as the "Motor Vehicle
Highway Account Act". The distribution herein set out under section
3 of this chapter is hereby declared to be equitable. (Formerly: Acts 1941, c.168, s.7.) As amended by P.L.66-1984,
SEC.55.
IC 8-14-1-8
Repealed
(Repealed by Acts 1980, P.L.74, SEC.434.)
IC 8-14-1-9 Mandatory transfer of funds
Sec. 9. (a) A written agreement between the department and a
city, town, or county under IC 8-23-2-5, or a similar government
cooperative statute, may provide for a mandatory transfer of funds by
the auditor of state under this section if one (1) of the parties
becomes more than sixty (60) days late in making a payment required
by the agreement.
(b) To obtain a mandatory transfer of funds, the party to whom the
funds were to be paid under terms of the written agreement must
certify in writing to the auditor of state:
(1) that a written agreement between the parties authorizes the
mandatory transfer of funds as provided in subsection (a);
(2) that the owing party was notified in writing of the amount
owed;
(3) that the payment is more than sixty (60) days past due;
(4) the names of the parties; and
(5) the amount of the payment due.
(c) Upon receipt of a certificate as specified in subsection (b), the
auditor of state shall:
(1) immediately notify the delinquent party of the claim; and
(2) if proof of payment is not furnished to the auditor of state
within thirty (30) days after the delinquent party has been
notified, transfer the unpaid amount from the delinquent party's
allocations from the motor vehicle highway account to the other
party. Transfers shall be made until the unpaid amount has been
paid in full under the terms of the agreement. As added by P.L.113-1983, SEC.2. Amended by P.L.18-1990,
SEC.108.
IC 8-14-1-10 Covered bridges; appropriation from account; disbursements
Sec. 10. (a) On July 1 of each year, there is appropriated from the
motor vehicle highway account for the maintenance of covered
bridges in Indiana the amount necessary to make the disbursements
under subsection (b) for the year.
(b) Before September 1 of each year, the auditor of state shall, by
warrant drawn on the treasurer of state, distribute to each county that
has a covered bridge located on the county's road system an amount
that may only be used for maintenance of covered bridges in the
county. The amount to which each county is entitled under this
subsection equals the product of:
(1) the number of covered bridges located on the county's road
system; multiplied by
(2) one thousand eight hundred fifty dollars ($1,850). As added by P.L.127-1987, SEC.1. Amended by P.L.115-1989,
SEC.1; P.L.57-1994, SEC.1; P.L.23-2007, SEC.1.
IC 8-14-1-11 Local agency revolving fund; reimbursement; accounts receivable;
transfer of funds
Sec. 11. (a) The department may create a local agency revolving
fund from money appropriated under section 3(7) of this chapter for
the purpose of maintaining a sufficient working balance in accounts
established primarily to facilitate the matching of federal and local
money for highway projects.
(b) The revolving fund balance must be maintained through
reimbursement from a local unit for money used by that unit to match
federal funds.
(c) If the local unit fails to reimburse the revolving fund, the
department shall notify the local unit that the department has found
the outstanding accounts receivable to be uncollectible.
(d) The attorney general shall review the outstanding accounts
receivable and if the attorney general agrees with the department's
assessment of the account's status, the attorney general shall certify
to the auditor of state that the outstanding accounts receivable is
uncollectible and request a transfer of funds as provided in
subsection (e).
(e) Upon receipt of a certificate as specified in subsection (d), the
auditor of state shall:
(1) immediately notify the delinquent local unit of the claim;
and
(2) if proof of payment is not furnished to the auditor of state
within thirty (30) days after the notification, transfer an amount
equal to the outstanding accounts receivable to the department
from the delinquent local unit's allocations from the motor
vehicle highway account for deposit in the local agency
revolving fund.
(f) Transfers shall be made under subsection (e) until the unpaid
amount has been paid in full under the terms of the agreement.
However, the agreement may be amended if both the department and
the unit agree to amortize the transfer over a period not to exceed
five (5) years.
(g) Money in the fund at the end of a fiscal year does not revert to
the state general fund. As added by P.L.116-1989, SEC.1. Amended by P.L.1-1994, SEC.35.
