§ 36-9-23-21 — Bonds; sinking fund

Indiana § 36-9-23-21

• Jurisdiction: Indiana
• Title 36: LOCAL GOVERNMENT
• Art. 9: TRANSPORTATION AND PUBLIC WORKS
• Ch. 23: Municipal Sewage Works

Text

At or before the time of issuance of revenue
bonds under this chapter, the municipal legislative body, by ordinance,
shall:
(1) establish a sinking fund for the payment of:
(A) the principal of and interest on the bonds; and
(B) the charges of banks or trust companies for making payment
of the principal or interest; and
(2) pledge the net revenues of the sewage works, after the
payment of the reasonable expense of operation, repair, and
maintenance of the works, to the payment of the expenses
described in subdivision (1).
The ordinance may also provide for the accumulation of reasonable
reserves in the sinking fund as a protection against default, and for the
payment of premiums on bonds retired by call or purchase under this
chapter.
[Pre-Local Government Recodification Citation:
19-2-5-16.]
As added by Acts 1981, P.L.309, SEC.96.