§ 36-10-3-24 — Bonds; purpose; denominations; interest exempt from taxation; limitations

Indiana § 36-10-3-24

• Jurisdiction: Indiana
• Title 36: LOCAL GOVERNMENT
• Art. 10: RECREATION, CULTURE, AND COMMUNITY
• Ch. 3: General Park and Recreation Law

Text

(a) In order to raise money to pay for land to
be acquired for any of the purposes named in this chapter, to pay for an
improvement authorized by this chapter, or both, and in anticipation of
the special benefit tax to be levied as provided in this chapter, the
board shall cause to be issued, in the name of the unit, the bonds of the
district. The bonds may not exceed in amount the total cost of all land
to be acquired and all improvements described in the resolution,
including all expenses necessarily incurred in connection with the
proceedings, together with a sum sufficient to pay the costs of
supervision and inspection during the period of construction of a work.
The expenses to be covered in the bond issue include all expenses of
every kind actually incurred preliminary to acquiring the land and the
construction of the work, such as the cost of the necessary record,
engineering expenses, publication of notices, preparation of bonds, and
other necessary expenses. If more than one (1) resolution or proceeding
of the board under section 23 of this chapter is confirmed whereby
different parcels of land are to be acquired, or more than one (1)
contract for work is let by the board at approximately the same time,
the cost involved under all of the resolutions and proceedings may be
included in one (1) issue of bonds.
(b) The bonds may be issued in any denomination not less than one
thousand dollars ($1,000) each, in not less than five (5) nor more than
forty (40) annual series. The bonds are payable one (1) series each
year, beginning at a date after the receipt of taxes from a levy made for
that purpose. The bonds are negotiable. The bonds may bear interest at
any rate, payable semiannually. After adopting a resolution ordering
bonds, the board shall certify a copy of the resolution to the unit's fiscal
officer. The fiscal officer shall prepare the bonds, and the unit's
executive shall execute them, attested by the fiscal officer.
(c) The bonds and the interest on them are exempt from taxation as
prescribed by IC 6-8-5-1. Bonds issued under this section are subject
to the provisions of IC 5-1 and IC 6-1.1-20 relating to:
(1) the filing of a petition requesting the issuance of bonds;
(2) the right of:
(A) taxpayers and voters to remonstrate against the issuance of
bonds in the case of a proposed bond issue described by IC 6-1.1-20-3.1(a); or
(B) voters to vote on the issuance of bonds in the case of a
proposed bond issue described by IC 6-1.1-20-3.5(a);
(3) the appropriation of the proceeds of the bonds and approval by
the department of local government finance; and
(4) the sale of bonds at:
(A) a public sale for not less than their par value; or
(B) a negotiated sale.
(d) The board may not have bonds of the district issued under this
section that are payable by special taxation when the total issue for that
purpose, including the bonds already issued or to be issued, exceeds
two percent (2%) of the adjusted value of the taxable property in the
district as determined under IC 36-1-15. All bonds or obligations
issued in violation of this subsection are void. The bonds are not
obligations or indebtedness of the unit, but constitute an indebtedness
of the district as a special taxing district. The bonds and interest are
payable only out of a special tax levied upon all the property of the
district as prescribed by this chapter. The bonds must recite the terms
upon their face, together with the purposes for which they are issued.
[Pre-Local Government Recodification Citation:
19-7-4-40.]
As added by Acts 1981, P.L.309, SEC.110. Amended by
P.L.6-1997, SEC.232; P.L.90-2002, SEC.517; P.L.219-2007, SEC.144;
P.L.146-2008, SEC.793; P.L.125-2018, SEC.8; P.L.38-2021, SEC.104;
P.L.236-2023, SEC.212; P.L.230-2025, SEC.148.