Ind. Code ch. 6-1.1-21.3

Ind. Code ch. 6-1.1-21.3
in effect

Ind. Code § 6-1.1-21.3-1 "Board", "qualified taxing unit", and "qualifying taxpayer"

Sec. 1. (a) As used in this chapter, "board" refers to the state board of finance. (b) As used in this chapter, "qualified taxing unit" means a taxing unit: (1) in which a qualifying taxpayer has tangible property subject to taxation; and (2) that has experienced or is expected to experience a significant revenue shortfall as a result of a default or an expected default described in subsection (c)(3). (c) As used in this chapter, "qualifying taxpayer" means a taxpayer that: (1) casts and manufactures motor vehicle transmissions as part of its business; (2) has filed a petition to reorganize under the federal bankruptcy code; and (3) has defaulted, or has notified the county fiscal body of the county in which the taxpayer is subject to property taxes that the taxpayer will default, on all or part of one (1) or more of its property tax payments with respect to taxes first due and payable in 2009 or 2010, or both. As added by P.L.182-2009(ss), SEC.156.

Ind. Code § 6-1.1-21.3-2 Qualifying taxing unit may apply to board for loan

Sec. 2. A qualified taxing unit may apply to the board for one (1) or more loans from the counter-cyclical revenue and economic stabilization fund. As added by P.L.182-2009(ss), SEC.156.

Ind. Code § 6-1.1-21.3-3 Determination of terms of loan by board; loan conditions; disbursement of installments by board; loan repayment; obligation to repay not basis for excessive tax levy; deposit by board of loan payments received

Sec. 3. (a) The board, after review by the budget committee, shall determine the terms of a loan made under this chapter, subject to the following: (1) The loan must be repaid not later than ten (10) years after the date on which the loan is made. (2) The terms of the loan must allow for prepayment of the loan without penalty. (3) The maximum amount of the loan that a qualified taxing unit may receive with respect to a default described in section 1(c)(3) of this chapter on one (1) or more payments of property taxes first due and payable in a calendar year is the amount, as determined by the board, of revenue shortfall for the qualified taxing unit that results from the default for that calendar year. (b) The board may disburse in installments the proceeds of a loan made under this chapter. (c) A qualified taxing unit may repay a loan made under this chapter from any of the following: (1) Property tax revenues of the qualified taxing unit that are subject to the levy limitations imposed by IC 6-1.1-18.5. (2) Property tax revenues of the qualified taxing unit that are not subject to levy limitations as provided in IC 6-1.1-18.5-21(a). (3) The qualified taxing unit's debt service fund. (4) Any other source of revenues (other than property taxes) that is legally available to the qualified taxing unit. The payment of any installment on a loan made under this chapter constitutes a first charge against the property tax revenues described in subdivision (1) or (2) that are collected by the qualified taxing unit during the calendar year the installment is due and payable. (d) The obligation to repay a loan made under this chapter is not a basis for the qualified taxing unit to obtain an excessive tax levy under IC 6-1.1-18.5 or IC 20-44-3. (e) Whenever the board receives a payment on a loan made under this chapter, the board shall deposit the amount paid in the counter-cyclical revenue and economic stabilization fund. As added by P.L.182-2009(ss), SEC.156. Amended by P.L.236-2023, SEC.41.

Ind. Code § 6-1.1-21.3-4 Certain amounts not considered for determination of levy excess; use of delinquent tax and effect on remaining loan balance; use of loan proceeds

Sec. 4. (a) As used in this section, "delinquent tax" means any tax not paid during the calendar year in which the tax was first due and payable. (b) Except as provided in subsection (c), the following are not considered to be part of the ad valorem property tax levy actually collected by the qualified taxing unit for taxes first due and payable during a particular calendar year for the purpose of calculating the levy excess under IC 6-1.1-18.5-17 and IC 20-44-3: (1) The proceeds of a loan received by the qualified taxing unit under this chapter. (2) The receipt by a qualified taxing unit of any payment of delinquent tax owed by a qualifying taxpayer. (c) Delinquent tax owed by a qualifying taxpayer received by a qualified taxing unit: (1) must first be used toward the retirement of an outstanding loan made under this chapter; and (2) is considered, only to the extent that the amount received exceeds the amount of the outstanding loan, to be part of the ad valorem property tax levy actually collected by the qualified taxing unit for taxes first due and payable during a particular calendar year for the purpose of calculating the levy excess under IC 6-1.1-18.5-17 and IC 20-44-3. (d) If a qualifying taxpayer pays delinquent tax during the term of repayment of an outstanding loan made under this chapter, the remaining loan balance is repayable in equal installments over the remainder of the original term of repayment. (e) Proceeds of a loan made under this chapter may be expended by a qualified taxing unit only to pay obligations of the qualified taxing unit that have been incurred under appropriations for operating expenses made by the qualified taxing unit and approved by the department of local government finance. As added by P.L.182-2009(ss), SEC.156.

Ind. Code § 6-1.1-21.3-5 Loan not bonded indebtedness

Sec. 5. A loan under this chapter is not bonded indebtedness for purposes of IC 6-1.1-18.5. As added by P.L.182-2009(ss), SEC.156.
Source: Open US Law by Vaquill AI (CC BY 4.0)URL: https://iga.in.gov/laws/2026/ic/titles/6Fetched: 10/17/2026