Ind. Code ch. 8-16-3.5

Ind. Code ch. 8-16-3.5
in effect

Ind. Code § 8-16-3.5-1 Contracts of lease; taxpayers' petitions

Sec. 1. (a) A county may lease a bridge and pay the lease rental from the cumulative bridge fund and levy under IC 8-16-3. (b) A contract of lease may not be entered into unless there is first filed with the county executive a petition for a longer lease, signed by fifty (50) or more taxpaying citizens of the county, and the county executive has, after investigation, determined that a need exists for the bridge. The total annual dollar obligation under all contracts of lease for bridges made by a county may not exceed the county's estimated annual revenue from a cumulative bridge fund levy of twenty cents ($0.20) on each one hundred dollars ($100) on all taxable personal and real property within the county. Formerly: Acts 1975, P.L.92, SEC.2. As amended by P.L.86-1988, SEC.23.

Ind. Code § 8-16-3.5-2 Joint leases

Sec. 2. If two (2) or more counties propose to enter into a lease contract jointly, then separate meetings of the county executives may be held, but no action taken shall be binding on any county unless approved by a majority of the county executives. Any lease contract executed by two (2) or more counties as joint lessees shall set out the amount of the aggregate lease rental to be paid by each county. Formerly: Acts 1975, P.L.92, SEC.2. As amended by P.L.86-1988, SEC.24.

Ind. Code § 8-16-3.5-3 Corporate leases

Sec. 3. Any county may enter into a contract of lease under the provisions of this chapter with any (profit or not-for-profit) corporation organized under the laws of the state or duly admitted to do business in the state. Formerly: Acts 1975, P.L.92, SEC.2. As amended by P.L.86-1988, SEC.25.

Ind. Code § 8-16-3.5-4 Option to purchase bridge

Sec. 4. All contracts of lease may provide that a county has the option to purchase the bridge before the expiration of the lease contract, the terms and conditions of the purchase to be specified in the lease, subject to the approval of the department of local government finance. If the county has not exercised an option to purchase the property covered by the lease contract at the expiration of the lease contract, and upon the full discharge and performance by the county of its obligations under the lease contract, the bridge covered by the lease contract shall become the absolute property of the county and the lessor corporation shall execute proper instruments conveying to the county title to the property. Formerly: Acts 1975, P.L.92, SEC.2. As amended by P.L.86-1988, SEC.26; P.L.90-2002, SEC.323.

Ind. Code § 8-16-3.5-5 Not-for-profit corporations proposing to build bridges; plans and specifications

Sec. 5. Not-for-profit corporations proposing to build a bridge may assist the lessee, before the execution of a contract of lease, in the preparation and acquisition of plans, specifications, and estimates for the bridge, or the lessee may prepare or otherwise acquire plans and specifications for the bridge. All plans and specifications shall be submitted to agencies as designated by law to pass on plans and specifications for bridges, and the plans and specifications shall be approved by those agencies and the lessee in writing prior to the execution of the contract of lease. Formerly: Acts 1975, P.L.92, SEC.2. As amended by P.L.86-1988, SEC.27.

Ind. Code § 8-16-3.5-5.5 Contracts with profit corporations; competitive bidding procedure

Sec. 5.5. Notwithstanding any other provision of this chapter, a contract of lease with any profit corporation is subject to competitive bid and may only be entered into after compliance with the following: (1) The lessee shall prepare and place on file in the lessee's offices a proposed lease and complete drawings and specifications for the bridge described in section 1 of this chapter to include necessary equipment and appurtenances to the equipment. The lease must be complete in its terms except for total rental or other consideration which is subject to bid provided for in this section. (2) After that, the lessee shall publish a notice in accordance with IC 5-3-1 informing the public and potential lessors of the general nature of the lease and of the fact that the proposed lease, drawings, and specifications are on file in the office, and calling for sealed proposals for the contract of lease on a specific date not earlier than ten (10) days after the first day of publication. (3) The lessee shall require each bidder to file with the lessee an affidavit that the bidder has not, directly or indirectly, entered into any combination, collusion, undertaking, or agreement with any other bidder to maintain the price of the bid, or to prevent any other bidder from bidding, or to induce any bidder to refrain from bidding, and that the bid is made without regard or reference to any other bid, and without any agreement, understanding, or combination, either directly or indirectly, with any other person with reference to the bidding. If, after any contract of lease has been let by the lessee, it shall appear that the successful bidder has been guilty of any collusion, combination, undertaking, or agreement, as defined in the affidavit, the bidder shall forfeit the contract of lease, and the contract of lease shall be relet by the lessee. (4) The lessee may, in the lessee's discretion, fix a later day for receiving the bids, provided that the date shall be mentioned in each of the notices. (5) The lessee shall, if a satisfactory bid is received, let control of the lease to the lowest and best bidder. (6) The lessee may, by order, impose further conditions upon bidders with regard to bond and surety, guaranteeing the good faith and responsibility of the word provided for in the proposed contract of lease, or insuring the faithful completion of the terms of the proposed contract of lease, or for any other purpose. Formerly: Acts 1975, P.L.92, SEC.2. As amended by P.L.86-1988, SEC.28.

Ind. Code § 8-16-3.5-6 Contract provisions relating to taxes, assessments, and insurance; county inspection of bridge

Sec. 6. A contract of lease may provide that as a part of the lease rental for a bridge the lessee shall agree to pay all taxes and assessments levied against or on account of the leased bridge and to maintain insurance for the benefit of the lessor corporation. The county may inspect the bridge whenever the county considers it necessary. Formerly: Acts 1975, P.L.92, SEC.2. As amended by P.L.86-1988, SEC.29.

Ind. Code § 8-16-3.5-7 Contracts of lease before completion of bridge; bond

Sec. 7. (a) A county may, in anticipation of the construction of a bridge, make and enter into a contract of lease with the lessor corporation subject to the approval of the department of local government finance prior to the actual acquisition of a site and the construction of the bridge, but the contract of lease shall not provide for the payment of any lease rental by the lessee until the bridge is completed and ready for use, at which time the stipulated lease rental may begin. (b) As a condition of entering into a lease, a county may require a lessor corporation to furnish a bond in a specified amount conditioned upon the completion of the bridge within a specified period of time. Formerly: Acts 1975, P.L.92, SEC.2. As amended by P.L.86-1988, SEC.30; P.L.90-2002, SEC.324.

Ind. Code § 8-16-3.5-8 Notice of proposed lease; public inspection of specifications; notice of executed lease; taxpayer's objections; hearings; appeals

Sec. 8. (a) When the lessor corporation and the county have agreed upon the terms and conditions of any lease proposed to be entered into under this chapter and before the final execution of the lease, a notice must be published in accordance with IC 5-3-1 of a hearing before the county executive. The notice must name the day, place, and hour of the hearing and must set forth a brief summary of the principal terms of the lease agreed upon, including the location, name of the proposed lessor corporation and character of the bridge to be leased, the rental to be paid, and the number of years the contract is to be in effect. The proposed lease, drawings, plans, specifications, and estimates for the bridge shall be available for inspection by the public during the ten (10) day period and at the meeting. All interested persons shall have a right to be heard at the time fixed, concerning the necessity for the execution of the lease and whether the rental to the lessor corporation is a fair and reasonable rental for the proposed bridge. The hearing may be adjourned to a later date, and following the hearing the county executive may either authorize the execution of the lease as originally agreed upon or may make modifications as agreed upon with the lessor corporation. However, the lease rentals as set out in the published notice may not be increased. The cost of the publication of the notice shall be borne by lessor corporations. (b) If the execution of the lease as originally agreed upon, or as modified by agreement, is authorized by the county executive, it shall give notice of the execution of the contract by publication in accordance with IC 5-3-1. Ten (10) or more taxpayers in the lessee county affected by the proposed lease may file a petition in the office of the county auditor of the lessee county, within thirty (30) days after publication of notice of the execution of the lease, setting forth their objections and facts showing that the execution of the lease is unnecessary or unwise, or that the lease rental is not fair and reasonable. Upon the filing of any petition, the county auditor shall certify a copy, together with any other data as may be necessary in order to present the questions involved, to the department of local government finance and upon the receipt of the certified petition and information, the department of local government finance shall fix a time for the hearing not less than five (5) or more than thirty (30) days after receipt of the petition. The department of local government finance may either hold the hearing in the affected county or through electronic means. Notice of the hearing shall be given by the department of local government finance to the county commissioners of the lessee county, and to the first ten (10) taxpayer-petitioners appearing on the petition by a letter signed by one (1) member of the department of local government finance, and enclosed with full prepaid postage addressed to those persons at their usual place of residence, at least five (5) days before the date of the hearing. A: (1) taxpayer who signed the petition; or (2) political subdivision against which a petition is filed; may petition for judicial review of the final determination of the department of local government finance under this subsection. The petition must be filed in the tax court not more than forty-five (45) days after the date of the department's final determination. (c) No action to contest the validity of the lease or to enjoin the performance of any of the terms and conditions of the lease shall be instituted at any time later than thirty (30) days after publication of notice of the execution of the lease by the county executive or if an appeal has been taken to the department of local government finance, then within thirty (30) days after the decision of the department. Formerly: Acts 1975, P.L.92, SEC.2. As amended by P.L.86-1988, SEC.31; P.L.90-2002, SEC.325; P.L.256-2003, SEC.33; P.L.38-2021, SEC.53.

Ind. Code § 8-16-3.5-9 Tax exemption

Sec. 9. All bridges leased by a lessor corporation contracting with a county under this chapter are exempt from all state, county, and other taxes. Formerly: Acts 1975, P.L.92, SEC.2. As amended by P.L.86-1988, SEC.32.
Source: Open US Law by Vaquill AI (CC BY 4.0)URL: https://iga.in.gov/laws/2026/ic/titles/8Fetched: 10/17/2026