§ 16-22-7-19 — Source of lease rental payments

(a) A lease from the authority to the county
may provide for the payment of the lease rental from the levy of taxes
reduced by net revenues of the hospital and other funds available as
provided in section 37 of this chapter.
(b) A lease from the authority to the city may provide for the
payment of lease rental from the net revenues of the hospital of which
the buildings are a part.
(c) A lease from the authority to the city providing for the payment
of a lease rental from net revenues of the hospital may provide that the
board of trustees or board of directors of the hospital establish a reserve
for net revenues in excess of the amount required to pay the lease rental
payable from net revenues. The reserve fund may not exceed an
amount equal to the amount of lease rental payable from net revenues
for two (2) years. The reserve fund shall be held and used only for the
purpose of paying lease rental payable from net revenues if the net
revenues are insufficient for that purpose. The amount in the reserve
fund may be invested as provided in the lease and all interest or other
income from the investment becomes part of the reserve fund. If the
fund contains the maximum amount the interest or income shall be
transferred to the city hospital and be a part of the general revenues of
that hospital.
[Pre-1993 Recodification Citation: 16-12-20.5-12.]

Legislative History

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