§ 16-22-6-24 — Lease options; renewal or purchase

(a) A lease:
(1) may provide that the lessee has an option to renew the lease
for a like or lesser term; and
(2) must contain an option to purchase at any time after ten (10)
years from the execution of the lease and before the expiration of
the term of the lease on a date fixed in the lease at a price equal
to the amount required to enable the authority to do the following:
(A) Redeem all outstanding securities payable out of the rentals
provided for in the lease and all premiums and accrued and
unpaid interest payable on that redemption.
(B) Pay all other indebtedness and obligations of the authority
attributable to the acquisition, construction, renovation, and
leasing of the buildings, including any cost of liquidation of the
authority.
(b) The lease does not create an obligation for the county to
purchase a leased building or an obligation to a creditor or bondholder
of the authority.
(c) A county exercising an option to purchase may issue general
obligation bonds to procure funds to purchase the building. The bonds
shall be authorized, issued, and sold in accordance with the laws
authorizing the issuance and sale of bonds for other county purposes.
[Pre-1993 Recodification Citation: 16-12-20-14.]

Legislative History

As added by P.L.2-1993, SEC.5.