Indiana § 8-14.5-5-3 Mandatory lease provisions

Indiana Statutes

§ 8-14.5-5-3 — Mandatory lease provisions

Indiana § 8-14.5-5-3

Art. 14.5LEASE FINANCING FOR TRANSPORTATION

Ch. 5Leases With the Department

This text of Indiana § 8-14.5-5-3 (Mandatory lease provisions) is published on Counsel Stack Legal Research, covering Indiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Ind. Code § 8-14.5-5-3 (2026).

Text

(a)A lease entered into under this section must include the following:

(1)The term of the lease, which may not exceed weighted average useful life of the project or projects.

(2)A provision plainly stating that the lease does not constitute an indebtedness of the state within the meaning or application of any constitutional provision or limitation, and that lease rentals are payable by the department solely for the annual use or availability for use of projects provided by the authority, with payment commencing no earlier than the time the use or availability commences.

(3)Provisions requiring the department to pay rent at times and in amounts sufficient to pay in full the following:

(A)The debt service payable under the terms of any bonds or notes issued by the authority and outstand

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(a) A lease entered into under this section
must include the following:
(1) The term of the lease, which may not exceed weighted average
useful life of the project or projects.
(2) A provision plainly stating that the lease does not constitute an
indebtedness of the state within the meaning or application of any
constitutional provision or limitation, and that lease rentals are
payable by the department solely for the annual use or availability
for use of projects provided by the authority, with payment
commencing no earlier than the time the use or availability
commences.
(3) Provisions requiring the department to pay rent at times and
in amounts sufficient to pay in full the following:
(A) The debt service payable under the terms of any bonds or
notes issued by the authority and outstanding with respect to
any project, including any required additions to reserves for the
bonds or notes maintained by the authority.
(B) Additional rent as provided by the lease.
(4) Provisions requiring the department to operate and maintain
the project or projects during the term of the lease.
(5) A provision in each master lease for two (2) or more projects
requiring that each project added to the master lease shall be
covered by a supplemental lease describing the particular project,
stating the additional rental payable and providing that all lease
covenants, including the obligation to pay the original and
additional rent under any supplement, shall be unitary and include
all projects covered, whether by the master lease or a
supplemental lease.
(b) A lease entered into under this section may contain other terms
and conditions that the authority and the department consider
appropriate.