§ 8-1.5-5-15 — Use of bond proceeds; actions to compel performance; actions upon default

Indiana § 8-1.5-5-15

• Jurisdiction: Indiana
• Art. 1.5: MUNICIPAL UTILITIES
• Ch. 5: Department of Storm Water Management

Text

(a) All money received from bonds issued
under this chapter shall be applied solely to the acquisition,
construction, repair, and maintenance of the storm water system, the
cost of the issuance of the bonds, and the creation of any reserve for the
bonds.
(b) Any holder of the bonds may bring a civil action to compel
performance of all duties required by this chapter of the board issuing
the bonds or of any officer of the board, including the following:
(1) Making and collecting reasonable and sufficient user fees
lawfully established for service rendered by the storm water
system.
(2) Segregating the income and revenues of the department.
(3) Applying the respective funds created under this chapter.
(c) If there is any default in the payment of the principal or interest
of any of the bonds, a court having jurisdiction of the action may:
(1) appoint an administrator or receiver to administer the storm
water system on behalf of the unit served by the department and
the bondholders, with power to:
(A) charge and collect user fees lawfully established sufficient
to provide for the payment of the operating expenses and also
to pay any bonds or obligations outstanding against the storm
water system; and
(B) apply the income and revenues in conformity with this
chapter and the ordinance; or
(2) declare the whole amount of the bonds due and payable and
direct the sale of the storm water system.
Under a sale ordered under subdivision (2), the purchaser is vested
with an indeterminate permit as defined in IC 8-1-2-1 to maintain and
operate the storm water system to collect and dispose of storm water
for the unit served by the department and its citizens.

Legislative History

As added by P.L.125-1987, SEC.1. Amended by P.L.282-2003, SEC.12.