§ 36-9-31-5 — Put or pay contract procedure; action to contest validity; tax levy

Indiana § 36-9-31-5

• Jurisdiction: Indiana
• Title 36: LOCAL GOVERNMENT
• Art. 9: TRANSPORTATION AND PUBLIC WORKS
• Ch. 31: Collection and Disposal of Waste in Indianapolis

Text

(a) Any put or pay contract may provide for
payments to be made by the consolidated city under the contract from:
(1) the levy of taxes;
(2) revenues;
(3) any other available funds of the consolidated city; or
(4) any combination of the foregoing.
(b) A put or pay contract may further provide that payments by the
consolidated city to the other person to the contract are required only
to the extent and only for the period or periods that person is able to
accept and dispose of waste in accordance with the contract had such
waste been delivered to the person.
(c) A put or pay contract may be entered into by the consolidated
city extending for a period of five (5) years or more only after a public
hearing by the board, at which all interested persons shall be heard.
After the public hearing, the board may adopt a resolution authorizing
the execution of the contract on behalf of the city if it finds that the
estimated amount of waste to be provided throughout the term of the
contract will not be less than the specified amount of waste required to
be provided by the contract.
(d) A put or pay contract providing for payments by the consolidated
city in whole or in part from the levy of taxes is not valid unless
approved by ordinance of the city-county legislative body. Upon
execution of such a contract and approval by the legislative body, the
board shall cause notice of the execution of the contract and its
approval to be given by public notice. Fifty (50) or more taxpayers
residing in the city who will be affected by the contract and who may
be of the opinion that no necessity exists for the execution of the
contract or that the payments provided for in the contract are not fair
and reasonable may file a petition in the office of the county auditor
within thirty (30) days after the publication of the notice of execution
and approval, setting forth their names, addresses, and objections to the
contract and the facts showing that the execution of the contract is
unnecessary or unwise or that the payments provided for in the contract
are not fair and reasonable, as the case may be. Upon the filing of the
petition, the county auditor shall immediately certify a copy of it,
together with such other data as may be necessary in order to present
the questions involved, to the department of local government finance.
Upon receipt of the certified petition and information, the department
of local government finance shall fix a time for the hearing of the
matter, which must be not less than five (5) nor more than thirty (30)
days thereafter in the city. The department of local government finance
may either hold the hearing in the affected county or through electronic
means. Notice of the hearing shall be given by the department of local
government finance to the members of the board and to the first fifty
(50) taxpayer-petitioners upon the petition by a letter signed by the
commissioner or deputy commissioner of the department of local
government finance and enclosed with fully prepaid postage sent to
those persons at their usual place of residence, at least five (5) days
before the date of the hearing. The decision of the department of local
government finance on the appeal, upon the necessity for the execution
of the contract and as to whether the payments under it are fair and
reasonable, is final.
(e) An action to contest the validity of the contract or to enjoin the
performance of any of its terms and conditions must be brought within
thirty (30) days after the publication of notice of the execution and
approval of the contract, or if an appeal has been taken to the
department of local government finance, then within thirty (30) days
after the decision of the department.
(f) After the consolidated city has entered into a put or pay contract
under this section, the city-county legislative body shall annually levy
a tax sufficient to produce each year the necessary amount, with other
amounts available, if any, that is sufficient to pay the amounts that the
contract provides are to be paid from the levy of taxes. The tax levies
provided for in this chapter are reviewable by other bodies vested by
law with authority to ascertain that the levies are sufficient to raise the
amount that, with other amounts available, is sufficient to meet the
payments under the contract payable from the levy of taxes.
As added by Acts 1982, P.L.77, SEC.27. Amended by
P.L.90-2002, SEC.516; P.L.38-2021, SEC.102.