§ 36-8-13-4.7 — Township providing fire protection and emergency services; maximum permissible property tax levy

Indiana § 36-8-13-4.7

• Jurisdiction: Indiana
• Title 36: LOCAL GOVERNMENT
• Art. 8: PUBLIC SAFETY
• Ch. 13: Township Fire Protection and Emergency Services

Text

7. (a) For a township that elects to have the
township provide fire protection and emergency services under section
3(c) of this chapter, the department of local government finance shall
adjust the township's maximum permissible levy described in section
4(c)(1) or 4(c)(2) of this chapter, as applicable, in the year following
the year in which the change is elected, as determined under IC 6-1.1-18.5-3, to reflect the change from providing fire protection or
emergency services under a contract between the municipality and the
township to allowing the township to impose a property tax levy on the
taxable property located within the corporate boundaries of each
municipality. For the ensuing calendar year, the township's maximum
permissible property tax levy described in section 4(c)(1) of this
chapter, or the combined levies described in section 4(c)(2) of this
chapter, which is considered a single levy for purposes of this section,
shall be increased by the product of:
(1) one and five-hundredths (1.05); multiplied by
(2) the amount the township contracted or billed to receive,
regardless of whether the amount was collected:
(A) in the year in which the change is elected; and
(B) as fire protection or emergency service payments from the
municipalities or residents of the municipalities covered by the
election under section 3(c) of this chapter.
The maximum permissible levy for a general fund or other fund of a
municipality covered by the election under section 3(c) of this chapter
shall be reduced for the ensuing calendar year to reflect the change to
allowing the township to impose a property tax levy on the taxable
property located within the corporate boundaries of the municipality.
The total reduction in the maximum permissible levies for all electing
municipalities must equal the amount that the maximum permissible
levy for the township described in section 4(c)(1) of this chapter or the
combined levies described in section 4(c)(2) of this chapter, as
applicable, is increased under this subsection for contracts or billings,
regardless of whether the amount was collected, less the amount
actually paid from sources other than property tax revenue.
(b) For purposes of determining a township's and each
municipality's maximum permissible ad valorem property tax levy
under IC 6-1.1-18.5-3 for years following the first year after the year in
which the change is elected, a township's and each municipality's
maximum permissible ad valorem property tax levy is the levy (or in
the case of a township electing to establish levies described in section
4(c)(2) of this chapter, the combined levies) after the adjustment made
under subsection (a).
(c) The township may use the amount of a maximum permissible
property tax levy (or in the case of a township electing to establish
levies described in section 4(c)(2) of this chapter, the combined levies)
computed under this section in setting budgets and property tax levies
for any year in which the election in section 3(c) of this chapter is in
effect.
(d) Section 4.6 of this chapter does not apply to a property tax levy
or a maximum property tax levy subject to this section.

Legislative History

As added by P.L.54-1996, SEC.5. Amended by P.L.90-2002, SEC.496; P.L.224-2007, SEC.130; P.L.146-2008, SEC.783; P.L.257-2019, SEC.156; P.L.236-2023, SEC.206; P.L.136-2024, SEC.60.