§ 5-1-14-16 — Payment of principal and interest on obligations in nearly equal payment amounts and at regular designated intervals; exceptions

Indiana § 5-1-14-16

• Jurisdiction: Indiana
• Title 5: STATE AND LOCAL ADMINISTRATION
• Art. 1: BONDS AND OTHER OBLIGATIONS
• Ch. 14: Miscellaneous Provisions

Text

(a) This section applies to obligations that are:
(1) issued after June 30, 2008, by a local issuing body; and
(2) payable from ad valorem property taxes, special benefit taxes
on property, or tax increment revenues derived from property
taxes;
including obligations that are issued under a statute that permits the
bonds to be issued without complying with any other law or otherwise
expressly exempts the bonds from the requirements of this section.
(b) An agreement for the issuance of obligations must provide for
the payment of principal and interest on the obligations in nearly equal
payment amounts and at regular designated intervals over the
maximum term of the obligations except to the extent that:
(1) interest for a particular repayment period has been paid from
the proceeds of the obligations under section 6 of this chapter; or
(2) the local issuing body authorizes a different payment schedule
to:
(A) maintain substantially equal payments, in the aggregate, in
any period in which the local issuing body pays the interest and
principal on outstanding obligations;
(B) provide for the payment of principal on the obligations in
amounts and at intervals that will produce an aggregate amount
of principal payments greater than or equal to the aggregate
amount that would otherwise be paid as of the same date;
(C) provide for level principal payments over the term of the
obligations, in order to reduce total interest costs;
(D) with respect to obligations wholly or partially payable from
tax increment revenues derived from property taxes, provide for
the payment of principal and interest in varying amounts over
the term of the obligations as necessary due to the variation in
the amount of tax increment revenues available for those
payments; or
(E) provide for a repayment schedule that will result in the
same or a lower amount of interest being paid on obligations
that would be issued using nearly equal payment amounts.

Legislative History

As added by P.L.146-2008, SEC.31. Amended by P.L.182-2009(ss), SEC.64.