§ 36-7-15.1-51 — Application for and acceptance of loans; issuance and sale of bonds; approval of fiscal body and legislative body

Indiana § 36-7-15.1-51

• Jurisdiction: Indiana
• Title 36: LOCAL GOVERNMENT
• Art. 7: PLANNING AND DEVELOPMENT
• Ch. 15.1: Redevelopment of Areas in Marion County Needing

Text

(a) Subject to the approval of the
legislative body of the consolidated city, and in order to:
(1) undertake survey and planning activities under this chapter;
(2) undertake and carry out any redevelopment project or
economic development plan;
(3) pay principal and interest on any advances;
(4) pay or retire any bonds and interest on them; or
(5) refund loans previously made under this section;
the commission may apply for and accept advances, short term and
long term loans, grants, contributions, loan guarantees, and any other
form of financial assistance from the federal government or from any
of its agencies. The commission may apply for and accept loans under
this section from sources other than the federal government or federal
agencies, but only if the loans are unconditionally guaranteed by the
federal government or federal agencies. The commission may also
enter into and carry out contracts and agreements in connection with
that financial assistance upon the terms and conditions that the
commission considers reasonable and appropriate, if those terms and
conditions are not inconsistent with the purposes of this chapter. The
provisions of such a contract or agreement in regard to the handling,
deposit, and application of project funds as all other provisions are
valid and binding on the excluded city or its executive departments and
officers, as well as the commission, notwithstanding any other
provision of this chapter.
(b) Subject to the approval of the fiscal body of the consolidated
city, the commission may issue and sell bonds, notes, or warrants:
(1) to the federal government to evidence short term or long term
loans made under this section; or
(2) to persons or entities other than the federal government to
evidence short or long term loans made under this section that are
unconditionally guaranteed by the federal government or federal
agencies;
without notice of sale being given or a public offering being made.
(c) Notwithstanding any other law, bonds, notes, or warrants issued
by the commission under this section may:
(1) be in the amounts, form, or denomination;
(2) be either coupon or registered;
(3) carry conversion or other privileges;
(4) have a rank or priority;
(5) be of such description;
(6) be secured (subject to other provisions of this section) in such
manner;
(7) bear interest at a rate or rates;
(8) be payable as to both principal and interest in a medium of
payment, at a time or times (which may be upon demand), and at
a place or places;
(9) be subject to terms of redemption (with or without premium);
(10) contain or be subject to any covenants, conditions, and
provisions; and
(11) have any other characteristics;
that the commission considers reasonable and appropriate.
(d) Bonds, notes, or warrants issued under this section are not an
indebtedness of the excluded city or its redevelopment district within
the meaning of any constitutional or statutory limitation of
indebtedness. The bonds, notes, or warrants are not payable from or
secured by a levy of taxes but are payable only from and secured only
by income, funds, and properties of the project becoming available to
the commission under this chapter or by grant funds from the federal
government, as the commission specifies in the resolution authorizing
their issuance.
(e) Bonds, notes, or warrants issued under this section are exempt
from taxation as provided by IC 6-8-5.
(f) Bonds, notes, or warrants issued under this section shall be
executed by the city executive and attested by the fiscal officer in the
name of the "City (or Town) of _______________, for and on behalf
of its Redevelopment District".
(g) Following the adoption of the resolution authorizing the issuance
of bonds, notes, or warrants under this section, the commission shall
certify a copy of that resolution to the officers of the excluded city who
have duties with respect to bonds, notes, or warrants of the excluded
city. At the proper time, the commission shall deliver to the officers the
unexecuted bonds, notes, or warrants prepared for execution in
accordance with the resolution.
(h) All bonds, notes, or warrants issued under this section shall be
sold by the officers of the excluded city who have duties with respect
to the sale of bonds, notes, or warrants of the excluded city. If an
officer whose signature appears on any bonds, notes, or warrants issued
under this section leaves office before their delivery, the signature
remains valid and sufficient for all purposes as if the officer had
remained in office until the delivery.
(i) If, at any time during the life of a loan contract or agreement
under this section, the commission can obtain loans for the purposes of
this section from sources other than the federal government at interest
rates not less favorable than provided in the loan contract or agreement,
and if the loan contract or agreement so permits, the commission may
do so and may pledge the loan contract and any rights under that
contract as security for the repayment of the loans obtained from other
sources. Any loan under this subsection may be evidenced by bonds,
notes, or warrants issued and secured in the same manner as provided
in this section for loans from the federal government. These bonds,
notes, or warrants may be sold at either public or private sale, as the
commission considers appropriate.
(j) Money obtained from the federal government or from other
sources under this section, and money that is required by a contract or
agreement under this section to be used for project expenditure
purposes, repayment of survey and planning advances, or repayment of
temporary or definitive loans, may be expended by the commission
without regard to any law pertaining to the making and approval of
budgets, appropriations, and expenditures.
(k) Bonds, notes, or warrants issued under this section are declared
to be issued for an essential public and governmental purpose.

Legislative History

As added by P.L.102-1999, SEC.18. Amended by P.L.146-2008, SEC.764.