(a)The flood control board shall, by
resolution, direct that bonds be issued in the name of the flood control
district:
(1)for the purpose of procuring money to pay the cost of
acquisition of property, the cost of construction or installation of
flood control works, or both; and
(2)in anticipation of the collection of the special benefit taxes to
be levied under this chapter.
(b)The amount of the bonds may not exceed:
(1)the total cost of property to be acquired and the total amount
of damages to be awarded on account of property injuriously
affected but not acquired, as shown by the acquisition and damage
roll previously adopted and filed by the flood control board or as
determined by court action;
(2)the contract price of the works contracted for, or the estimated
cost of additiona
Free access — add to your briefcase to read the full text and ask questions with AI
(a) The flood control board shall, by
resolution, direct that bonds be issued in the name of the flood control
district:
(1) for the purpose of procuring money to pay the cost of
acquisition of property, the cost of construction or installation of
flood control works, or both; and
(2) in anticipation of the collection of the special benefit taxes to
be levied under this chapter.
(b) The amount of the bonds may not exceed:
(1) the total cost of property to be acquired and the total amount
of damages to be awarded on account of property injuriously
affected but not acquired, as shown by the acquisition and damage
roll previously adopted and filed by the flood control board or as
determined by court action;
(2) the contract price of the works contracted for, or the estimated
cost of additional labor, materials, machinery, and equipment
when the federal government or others have agreed to supply a
part of those items for use on the construction of any part of the
works and no construction contract is to be let;
(3) an amount sufficient to pay the cost of supervision and
inspection during the period of construction;
(4) all other general, administrative, legal, engineering, and
incidental expenses previously incurred on account of or in
connection with the establishment of the district, the
administration of its affairs, the acquisition of property, and the
construction of the works, together with the expenses to be
incurred in connection with the issuance and sale of bonds; and
(5) an amount sufficient to pay any outstanding warrants issued
for the purpose of obtaining money for expenses before the
issuance of bonds.
(c) If different parcels of land are to be acquired or more than one
(1) contract for work is let by the flood control board at approximately
the same time, the board may provide for the total cost of the land or
work in one (1) issue of bonds. If the cost of acquiring property or the
amount required for the payment of damages to property not acquired
exceeds the board's estimate of the amount required for that purpose,
additional bonds may be issued to supply the deficiency.
(d) The bonds shall be issued in any denomination not exceeding
one thousand dollars ($1,000), and in not less than twenty (20) nor
more than sixty (60) series, which must be as nearly equal as possible
considering the amount of the issue, the number of serial maturities,
and the denominations to be used.
(e) The bonds are payable one (1) series each six (6) months. The
first payment shall be made on January 1 in the second year following
the date of their issue, if a tax levy to meet the requirements of the
bonds is made in the year in which the bonds are issued. Otherwise, the
first series of bonds is payable on January 1 of the third year following
the date of their issue.
(f) The bonds are negotiable instruments.
(g) The bonds may bear interest at any rate, with the exact rate to be
determined by bidding. The interest is payable semiannually on January
1 and July 1 of each year, with the first interest payable on July 1
preceding the maturity date of the first series of bonds.
(h) The bonds shall be signed by the president or vice president of
the flood control board, and attested by the executive secretary of the
board. The interest coupons shall be executed by placing on them the
facsimile signature of the president or vice president whose signature
appears on the bonds.
(i) The flood control board may not issue any bonds of the flood
control district payable out of special benefit taxes when the total
amount outstanding for that purpose, including the bonds issued and to
be issued, is in excess of five percent (5%) of the total adjusted value
of taxable property in the district as determined under IC 36-1-15. All
bonds or obligations issued in violation of this subsection are void.
(j) The bonds are not a corporate obligation or indebtedness of any
unit having territory included in the district, but are an indebtedness of
the flood control district as a special taxing district. The bonds are
payable solely out of the special benefit taxes levied under this chapter.
The bonds must state these facts upon their face, together with the
purpose for which they are issued.
(k) The bonds of any issue may be sold in parcels or as a whole.
Notice of the sale must be given by publication in accordance with IC 5-3-1.
(l) The bonds shall be sold to the highest qualified bidder, but may
not be sold for less than their par value. The highest bidder is the
person who offers the lowest net interest cost to the district, as
determined by computing the total interest on all of the bonds to their
maturities and then deducting the premium bid, if any.
(m) When the flood control board sells the bonds, the executive
secretary of the board shall have the bonds prepared and executed, and
shall deliver them to the county treasurer, together with a certificate
showing the amount to be paid by the purchaser. Upon the payment of
the purchase price the treasurer shall deliver the bonds to the
purchaser. The executive secretary shall furnish the successful bidder
a transcript of the proceedings relating to the authorization and
issuance of the bonds, together with the other documents necessary to
establish the validity of the bonds. The transcript and other documents
are presumptive evidence of the validity of the bonds, and shall be
accepted in evidence in any litigation relating to or affecting the bonds.
[Pre-Local Government Recodification Citation: 19-4-18-14
part.]
As added by Acts 1981, P.L.309, SEC.105. Amended by Acts
1981, P.L.45, SEC.91; P.L.6-1997, SEC.226.