§ 16-22-8-55 — Borrowing powers; use of funds; loan negotiations; appeal

Indiana § 16-22-8-55

• Jurisdiction: Indiana
• Title 16: HEALTH
• Art. 22: COUNTY HOSPITALS
• Ch. 8: Health and Hospital Corporation of Marion County

Text

(a) The corporation may borrow money on
promissory notes issued in the corporation's name, as a municipal
corporation, from recognized lending institutions, and pledge as
security unlimited ad valorem taxes levied by the corporation and
collected on all taxable property within the jurisdiction of the
corporation. It is the duty of all officials and bodies with control or
discretion over the levying of taxes for the corporation to see that
sufficient levies are made to meet the principal and interest on
promissory notes. The promissory notes issued under this section shall
be treated for taxation purposes the same as bonds issued by a
municipal corporation in accordance with IC 6-8-5-1.
(b) Funds obtained by the method provided in this section shall be
limited in use to the payment of lease rental for medical, surgical, and
related equipment used by the corporation when the board determines
that leasing the equipment is more practical and economical than
purchasing. The decision to lease rather than purchase is within the
sole discretion of the board.
(c) The length, terms, and conditions of promissory notes issued
under this section are subject to negotiation between the board or the
board's representative and the lending institutions bidding. Before
entering into negotiations for the loan, the board of trustees shall
publish a notice one (1) time in a newspaper of general circulation in
the health and hospital corporation naming a date not less than seven
(7) days after the publication of notice on which the board will receive
and consider proposals from lending institutions for the making of the
loan.
(d) After determination of the board to borrow and to issue
promissory notes, and after a determination of the best proposal
submitted by lending institutions, the board shall give notice of the
board's determination to borrow and to issue promissory notes in the
manner provided by IC 6-1.1-20. The taxpayers have the right to appeal
the determination to the department of local government finance in the
manner and within the time provided in IC 6-1.1-20.
[Pre-1993 Recodification Citation: 16-12-21-51.]

Legislative History

As added by P.L.2-1993, SEC.5. Amended by P.L.90-2002, SEC.397.