§ 5-1-17.5-32 — Lease of structures and improvements; requirements

Indiana § 5-1-17.5-32

• Jurisdiction: Indiana
• Title 5: STATE AND LOCAL ADMINISTRATION
• Art. 1: BONDS AND OTHER OBLIGATIONS
• Ch. 17.5: Motorsports Investment District

Text

(a) The commission may lease all or any
part of structures and capital improvements located within a qualified
motorsports facility from the authority, and the authority may lease all
or any part of structures and capital improvements located within a
qualified motorsports facility to the commission. Any property subject
to such a lease is not exempt from taxation under the laws of the state
solely by reason of it being subject to such a lease. In a lease from the
authority to the commission, the commission may pledge:
(1) amounts appropriated to the commission and deposited in the
motorsports investment district fund;
(2) any other rental payments, receipts, and income from the
leased structures and capital improvements; or
(3) any other money legally available to the commission for the
payment of rent under such a lease.
(b) The amount of any such rent may include the amount necessary
to pay the principal of, redemption premium, and interest on any bonds
issued by the authority under section 37 of this chapter, when due, the
amount of any necessary reserves, and the amount of any expenses
incurred by the authority or the commission in connection with the
exercise of its duties and obligations set forth in this chapter.
(c) A lease from the authority to the commission under subsection
(a):
(1) must set forth the terms and conditions of the use and
occupancy, if applicable, under the lease;
(2) must set forth the amounts agreed to be paid at stated intervals
for the use and occupancy, if applicable, under the lease;
(3) must provide that the commission is not obligated to continue
to pay for the use and occupancy, if applicable, under the lease,
but is instead required to vacate the equipment, structures, and
capital improvements subject to the lease, if it is shown that the
terms and conditions of such use and occupancy and the amount
to be paid for such use and occupancy are unjust and
unreasonable considering the value of the services, equipment,
structures, and capital improvements thereby afforded;
(4) must provide that the commission is required to vacate such
equipment, structures, and capital improvements if funds are not
available to pay any sum agreed to be paid for such use and
occupancy when due; and
(5) may contain any other provisions agreed upon by the authority
and the commission.
(d) If the commission enters into such a lease with the authority, it
may sublease the structures and capital improvements subject to the
lease to the owner or owners of the qualified motorsports facility.
(e) The commission may, in anticipation of the acquisition,
construction, reconstruction, renovation, or equipping of any such
structures or capital improvements, including any equipment or
necessary appurtenances, enter into a lease with the authority before
any such construction, reconstruction, renovation, or equipping. Such
a lease must require the payment of lease rental by the commission to
begin when the equipment, structures, or improvements have been
acquired or completed and are ready for use and occupancy, if
applicable, but not before that time.
(f) If necessary to enter into a lease under subsection (a):
(1) the commission may lease structures and capital
improvements located within a motorsports investment district
from the owner or owners of the qualified motorsports facility and
sublease all or any part of such structures and capital
improvements to the authority for a nominal rent; and
(2) the authority may lease all or any part of such structures and
capital improvements from the commission for a nominal rent.

Legislative History

As added by P.L.233-2013, SEC.5.