Bill Text: IN HB1213 | 2012 | Regular Session | Introduced
Bill Title: Starke County CEDIT for jail.
Spectrum: Slight Partisan Bill (Republican 2-1)
Status: (Introduced - Dead) 2012-01-09 - First reading: referred to Committee on Ways and Means [HB1213 Detail]
Download: Indiana-2012-HB1213-Introduced.html
Citations Affected: IC 6-3.5-7.
Synopsis: Starke County CEDIT for jail. Allows the county council of
Starke County to adopt an ordinance imposing an additional county
economic development income tax (CEDIT) rate for the purposes of:
(1) financing, constructing, acquiring, and equipping the county jail
and related buildings and parking facilities; and (2) operating or
maintaining those facilities. Authorizes bonds to be issued or leases to
be entered into for constructing, acquiring, and equipping the county
jail and related buildings and parking facilities. Specifies that the
additional tax rate may not exceed the lesser of: (1) 0.65%; or (2) the
tax rate that is necessary to pay the costs of financing, acquiring, and
equipping the county jail and related buildings and parking facilities
and (if the county council makes a determination to use the tax revenue
for this purpose) to provide sufficient annual revenues to operate and
maintain those facilities. Changes certain population parameters in the
CEDIT statutes to reflect the new population counts determined under
the 2010 decennial census.
Effective: Upon passage.
January 9, 2012, read first time and referred to Committee on Ways and Means.
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in
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A BILL FOR AN ACT to amend the Indiana Code concerning
taxation.
(1) the county income tax council (as defined in IC 6-3.5-6-1) if the county option income tax is in effect on March 31 of the year the county economic development income tax is imposed;
(2) the county council if the county adjusted gross income tax is in effect on March 31 of the year the county economic development tax is imposed; or
(3) the county income tax council or the county council, whichever acts first, for a county not covered by subdivision (1) or (2).
To impose the county economic development income tax, a county income tax council shall use the procedures set forth in IC 6-3.5-6
concerning the imposition of the county option income tax.
(b) Except as provided in subsections (c), (g), (k), (p), and (r) and
section 28 of this chapter, the county economic development income
tax may be imposed at a rate of:
(1) one-tenth percent (0.1%);
(2) two-tenths percent (0.2%);
(3) twenty-five hundredths percent (0.25%);
(4) three-tenths percent (0.3%);
(5) thirty-five hundredths percent (0.35%);
(6) four-tenths percent (0.4%);
(7) forty-five hundredths percent (0.45%); or
(8) five-tenths percent (0.5%);
on the adjusted gross income of county taxpayers.
(c) Except as provided in subsection (h), (i), (j), (k), (l), (m), (n), (o),
(p), (s), (v), (w), (x), or (y), or (aa), the county economic development
income tax rate plus the county adjusted gross income tax rate, if any,
that are in effect on January 1 of a year may not exceed one and
twenty-five hundredths percent (1.25%). Except as provided in
subsection (g), (p), (r), (t), (u), (w), (x), or (y), the county economic
development tax rate plus the county option income tax rate, if any, that
are in effect on January 1 of a year may not exceed one percent (1%).
(d) To impose, increase, decrease, or rescind the county economic
development income tax, the appropriate body must adopt an
ordinance.
(e) The ordinance to impose the tax must substantially state the
following:
"The ________ County _________ imposes the county economic
development income tax on the county taxpayers of _________
County. The county economic development income tax is imposed at
a rate of _________ percent (____%) on the county taxpayers of the
county.".
(f) The auditor of a county shall record all votes taken on ordinances
presented for a vote under the authority of this chapter and shall, not
more than ten (10) days after the vote, send a certified copy of the
results to the commissioner of the department by certified mail.
(g) This subsection applies to a county having a population of more
than one hundred forty-eight seventy thousand (148,000) (170,000) but
less than one hundred seventy seventy-five thousand (170,000).
(175,000). Except as provided in subsection (p), in addition to the rates
permitted by subsection (b), the:
(1) county economic development income tax may be imposed at
a rate of:
(A) fifteen-hundredths percent (0.15%);
(B) two-tenths percent (0.2%); or
(C) twenty-five hundredths percent (0.25%); and
(2) county economic development income tax rate plus the county option income tax rate that are in effect on January 1 of a year may equal up to one and twenty-five hundredths percent (1.25%);
if the county income tax council makes a determination to impose rates under this subsection and section 22 of this chapter.
(h) For a county having a population of more than
(i) For a county having a population of more than thirteen thousand
(j) For a county having a population of more than
(k) This subsection applies to a county having a population of more than
(1) the county economic development income tax may be imposed at a rate of twenty-five hundredths percent (0.25%); and
(2) the sum of the county economic development income tax rate and the county adjusted gross income tax rate that are in effect on January 1 of a year may not exceed one and five-tenths percent (1.5%);
if the county council makes a determination to impose rates under this subsection and section 22.5 of this chapter.
(l) For a county having a population of more than
(m) For:
(1) a county having a population of more than one hundred
(2) a county having a population of more than
except as provided in subsection (p), the county economic development income tax rate plus the county adjusted gross income tax rate that are in effect on January 1 of a year may not exceed one and five-tenths percent (1.5%).
(n) For a county having a population of more than
(o) This subsection applies to a county having a population of more than
(1) the county economic development income tax may be imposed at a rate of twenty-five hundredths percent (0.25%); and
(2) the sum of the county economic development income tax rate and:
(A) the county adjusted gross income tax rate that are in effect on January 1 of a year may not exceed one and five-tenths percent (1.5%); or
(B) the county option income tax rate that are in effect on January 1 of a year may not exceed one and twenty-five hundredths percent (1.25%);
if the county council makes a determination to impose rates under this subsection and section 24 of this chapter.
(p) In addition:
(1) the county economic development income tax may be imposed at a rate that exceeds by not more than twenty-five hundredths percent (0.25%) the maximum rate that would otherwise apply under this section; and
(2) the:
(A) county economic development income tax; and
(B) county option income tax or county adjusted gross income tax;
may be imposed at combined rates that exceed by not more than twenty-five hundredths percent (0.25%) the maximum combined rates that would otherwise apply under this section.
However, the additional rate imposed under this subsection may not exceed the amount necessary to mitigate the increased ad valorem property taxes on homesteads (as defined in IC 6-1.1-20.9-1 (repealed) before January 1, 2009, or IC 6-1.1-12-37 after December 31, 2008) or residential property (as defined in section 26 of this chapter), as appropriate under the ordinance adopted by the adopting body in the county, resulting from the deduction of the assessed value of inventory in the county under IC 6-1.1-12-41 or IC 6-1.1-12-42 or from the exclusion in 2008 of inventory from the definition of personal property in IC 6-1.1-1-11.
(q) If the county economic development income tax is imposed as authorized under subsection (p) at a rate that exceeds the maximum rate that would otherwise apply under this section, the certified distribution must be used for the purpose provided in section 25(e) or 26 of this chapter to the extent that the certified distribution results from the difference between:
(1) the actual county economic development tax rate; and
(2) the maximum rate that would otherwise apply under this section.
(r) This subsection applies only to a county described in section 27 of this chapter. Except as provided in subsection (p), in addition to the rates permitted by subsection (b), the:
(1) county economic development income tax may be imposed at a rate of twenty-five hundredths percent (0.25%); and
(2) county economic development income tax rate plus the county option income tax rate that are in effect on January 1 of a year may equal up to one and twenty-five hundredths percent (1.25%);
if the county council makes a determination to impose rates under this subsection and section 27 of this chapter.
(s) Except as provided in subsection (p), the county economic development income tax rate plus the county adjusted gross income tax
rate that are in effect on January 1 of a year may not exceed one and
five-tenths percent (1.5%) if the county has imposed the county
adjusted gross income tax under IC 6-3.5-1.1-3.3.
(t) This subsection applies to Howard County. Except as provided
in subsection (p), the sum of the county economic development income
tax rate and the county option income tax rate that are in effect on
January 1 of a year may not exceed one and twenty-five hundredths
percent (1.25%).
(u) This subsection applies to Scott County. Except as provided in
subsection (p), the sum of the county economic development income
tax rate and the county option income tax rate that are in effect on
January 1 of a year may not exceed one and twenty-five hundredths
percent (1.25%).
(v) This subsection applies to Jasper County. Except as provided in
subsection (p), the sum of the county economic development income
tax rate and the county adjusted gross income tax rate that are in effect
on January 1 of a year may not exceed one and five-tenths percent
(1.5%).
(w) An additional county economic development income tax rate
imposed under section 28 of this chapter may not be considered in
calculating any limit under this section on the sum of:
(1) the county economic development income tax rate plus the
county adjusted gross income tax rate; or
(2) the county economic development tax rate plus the county
option income tax rate.
(x) The income tax rate limits imposed by subsection (c) or (y) or
any other provision of this chapter do not apply to:
(1) a county adjusted gross income tax rate imposed under
IC 6-3.5-1.1-24, IC 6-3.5-1.1-25, or IC 6-3.5-1.1-26; or
(2) a county option income tax rate imposed under IC 6-3.5-6-30,
IC 6-3.5-6-31, or IC 6-3.5-6-32.
For purposes of computing the maximum combined income tax rate
under subsection (c) or (y) or any other provision of this chapter that
may be imposed in a county under IC 6-3.5-1.1, IC 6-3.5-6, and this
chapter, a county's county adjusted gross income tax rate or county
option income tax rate for a particular year does not include the county
adjusted gross income tax rate imposed under IC 6-3.5-1.1-24,
IC 6-3.5-1.1-25, or IC 6-3.5-1.1-26 or the county option income tax rate
imposed under IC 6-3.5-6-30, IC 6-3.5-6-31, or IC 6-3.5-6-32.
(y) This subsection applies to Monroe County. Except as provided
in subsection (p), if an ordinance is adopted under IC 6-3.5-6-33, the
sum of the county economic development income tax rate and the
county option income tax rate that are in effect on January 1 of a year
may not exceed one and twenty-five hundredths percent (1.25%).
(z) This subsection applies to Perry County. Except as provided in
subsection (p), if an ordinance is adopted under section 27.5 of this
chapter, the county economic development income tax rate plus the
county option income tax rate that is in effect on January 1 of a year
may not exceed one and seventy-five hundredths percent (1.75%).
(aa) This subsection applies to Starke County. Except as
provided in subsection (p), if an ordinance is adopted under section
27.6 of this chapter, the county economic development income tax
rate plus the county adjusted gross income tax rate that is in effect
on January 1 of a year may not exceed two percent (2%).
(b) Except as provided in subsections (c) and (h) and sections 15 and 25 of this chapter, and subject to adjustment as provided in IC 36-8-19-7.5, the amount of the certified distribution that the county and each city or town in a county is entitled to receive during May and November of each year equals the product of the following:
(1) The amount of the certified distribution for that month; multiplied by
(2) A fraction. The numerator of the fraction equals the sum of:
(A) total property taxes that are first due and payable to the county, city, or town during the calendar year in which the month falls; plus
(B) for a county, the welfare allocation amount.
The denominator of the fraction equals the sum of the total property taxes that are first due and payable to the county and all cities and towns of the county during the calendar year in which the month falls, plus the welfare allocation amount. The welfare allocation amount is an amount equal to the sum of the property taxes imposed by the county in 1999 for the county's welfare fund and welfare administration fund and, if the county received a certified distribution under this chapter in 2008, the property taxes imposed by the county in 2008 for the county's county medical assistance to wards fund, family and children's fund, children's psychiatric residential treatment services fund, county hospital care for the indigent fund, and children with special
health care needs county fund.
(c) This subsection applies to a county council or county income tax
council that imposes a tax under this chapter after June 1, 1992. The
body imposing the tax may adopt an ordinance before August 2 of a
year to provide for the distribution of certified distributions under this
subsection instead of a distribution under subsection (b). The following
apply if an ordinance is adopted under this subsection:
(1) The ordinance is effective January 1 of the following year.
(2) Except as provided in sections 25 and 26 of this chapter, the
amount of the certified distribution that the county and each city
and town in the county is entitled to receive during May and
November of each year equals the product of:
(A) the amount of the certified distribution for the month;
multiplied by
(B) a fraction. For a city or town, the numerator of the fraction
equals the population of the city or the town. For a county, the
numerator of the fraction equals the population of the part of
the county that is not located in a city or town. The
denominator of the fraction equals the sum of the population
of all cities and towns located in the county and the population
of the part of the county that is not located in a city or town.
(3) The ordinance may be made irrevocable for the duration of
specified lease rental or debt service payments.
(d) The body imposing the tax may not adopt an ordinance under
subsection (c) if, before the adoption of the proposed ordinance, any of
the following have pledged the county economic development income
tax for any purpose permitted by IC 5-1-14 or any other statute:
(1) The county.
(2) A city or town in the county.
(3) A commission, a board, a department, or an authority that is
authorized by statute to pledge the county economic development
income tax.
(e) The department of local government finance shall provide each
county auditor with the fractional amount of the certified distribution
that the county and each city or town in the county is entitled to receive
under this section.
(f) Money received by a county, city, or town under this section
shall be deposited in the unit's economic development income tax fund.
(g) Except as provided in subsection (b)(2)(B), in determining the
fractional amount of the certified distribution the county and its cities
and towns are entitled to receive under subsection (b) during a calendar
year, the department of local government finance shall consider only
property taxes imposed on tangible property subject to assessment in
that county.
(h) In a county having a consolidated city, only the consolidated city
is entitled to the certified distribution, subject to the requirements of
sections 15, 25, and 26 of this chapter.
(b) As used in this subsection, "homestead" means a homestead that is eligible for a standard deduction under IC 6-1.1-12-37. Except as provided in sections 15, 23, 25, 26, 27,
(1) By a county, city, or town for economic development projects, for paying, notwithstanding any other law, under a written agreement all or a part of the interest owed by a private developer or user on a loan extended by a financial institution or other lender to the developer or user if the proceeds of the loan are or are to be used to finance an economic development project, for the retirement of bonds under section 14 of this chapter for economic development projects, for leases under section 21 of this chapter, or for leases or bonds entered into or issued prior to the date the economic development income tax was imposed if the purpose of the lease or bonds would have qualified as a purpose under this chapter at the time the lease was entered into or the bonds were issued.
(2) By a county, city, or town for:
(A) the construction or acquisition of, or remedial action with respect to, a capital project for which the unit is empowered to issue general obligation bonds or establish a fund under any statute listed in IC 6-1.1-18.5-9.8;
(B) the retirement of bonds issued under any provision of Indiana law for a capital project;
(C) the payment of lease rentals under any statute for a capital project;
(D) contract payments to a nonprofit corporation whose
primary corporate purpose is to assist government in planning
and implementing economic development projects;
(E) operating expenses of a governmental entity that plans or
implements economic development projects;
(F) to the extent not otherwise allowed under this chapter,
funding substance removal or remedial action in a designated
unit; or
(G) funding of a revolving fund established under
IC 5-1-14-14.
(3) By a county, city, or town for any lawful purpose for which
money in any of its other funds may be used.
(4) By a city or county described in IC 36-7.5-2-3(b) for making
transfers required by IC 36-7.5-4-2. If the county economic
development income tax rate is increased after April 30, 2005, in
a county having a population of more than one hundred forty-five
fifty thousand (145,000) (150,000) but less than one hundred
forty-eight seventy thousand (148,000), (170,000), the first three
million five hundred thousand dollars ($3,500,000) of the tax
revenue that results each year from the tax rate increase shall be
used by the county or by eligible municipalities (as defined in
IC 36-7.5-1-11.3) in the county only to make the county's transfer
required by IC 36-7.5-4-2. The first three million five hundred
thousand dollars ($3,500,000) of the tax revenue that results each
year from the tax rate increase shall be paid by the county
treasurer to the treasurer of the northwest Indiana regional
development authority under IC 36-7.5-4-2 before certified
distributions are made to the county or any cities or towns in the
county under this chapter from the tax revenue that results each
year from the tax rate increase. If a county having a population of
more than one hundred forty-five fifty thousand (145,000)
(150,000) but less than one hundred forty-eight seventy thousand
(148,000) (170,000) ceases to be a member of the northwest
Indiana regional development authority under IC 36-7.5 but two
(2) or more municipalities in the county have become members
of the northwest Indiana regional development authority as
authorized by IC 36-7.5-2-3(i), the county treasurer shall continue
to transfer the three million five hundred thousand dollars
($3,500,000) to the treasurer of the northwest Indiana regional
development authority under IC 36-7.5-4-2 before certified
distributions are made to the county or any cities or towns in the
county. In a county having a population of more than one hundred
forty-five fifty thousand (145,000) (150,000) but less than one
hundred forty-eight seventy thousand (148,000), (170,000), all of
the tax revenue that results each year from the tax rate increase
that is in excess of the first three million five hundred thousand
dollars ($3,500,000) that results each year from the tax rate
increase must be used by the county and cities and towns in the
county for homestead credits under subdivision (5).
(5) This subdivision applies only in a county having a population
of more than one hundred forty-five fifty thousand (145,000)
(150,000) but less than one hundred forty-eight seventy thousand
(148,000). (170,000). All of the tax revenue that results each year
from a tax rate increase described in subdivision (4) that is in
excess of the first three million five hundred thousand dollars
($3,500,000) that results each year from the tax rate increase must
be used by the county and cities and towns in the county for
homestead credits under this subdivision. The following apply to
homestead credits provided under this subdivision:
(A) The homestead credits must be applied uniformly to
provide a homestead credit for homesteads in the county, city,
or town.
(B) The homestead credits shall be treated for all purposes as
property tax levies.
(C) The homestead credits shall be applied to the net property
taxes due on the homestead after the application of all other
assessed value deductions or property tax deductions and
credits that apply to the amount owed under IC 6-1.1.
(D) The department of local government finance shall
determine the homestead credit percentage for a particular
year based on the amount of county economic development
income tax revenue that will be used under this subdivision to
provide homestead credits in that year.
(6) This subdivision applies only in a county having a population
of more than four hundred thousand (400,000) but less than seven
hundred thousand (700,000). A county or a city or town in the
county may use county economic development income tax
revenue to provide homestead credits in the county, city, or town.
The following apply to homestead credits provided under this
subdivision:
(A) The county, city, or town fiscal body must adopt an
ordinance authorizing the homestead credits. The ordinance
must specify the amount of county economic development
income tax revenue that will be used to provide homestead
credits in the following year.
(B) A county, city, or town fiscal body that adopts an ordinance under this subdivision must forward a copy of the ordinance to the county auditor and the department of local government finance not more than thirty (30) days after the ordinance is adopted.
(C) The homestead credits must be applied uniformly to increase the homestead credit under IC 6-1.1-20.9 (repealed) for homesteads in the county, city, or town (for property taxes first due and payable before January 1, 2009) or to provide a homestead credit for homesteads in the county, city, or town (for property taxes first due and payable after December 31, 2008).
(D) The homestead credits shall be treated for all purposes as property tax levies.
(E) The homestead credits shall be applied to the net property taxes due on the homestead after the application of all other assessed value deductions or property tax deductions and credits that apply to the amount owed under IC 6-1.1.
(F) The department of local government finance shall determine the homestead credit percentage for a particular year based on the amount of county economic development income tax revenue that will be used under this subdivision to provide homestead credits in that year.
(7) For a regional venture capital fund established under section 13.5 of this chapter or a local venture capital fund established under section 13.6 of this chapter.
(8) This subdivision applies only to a county:
(A)
(B) in which:
(i) the county fiscal body has adopted an ordinance under IC 36-7.5-2-3(e) providing that the county is joining the northwest Indiana regional development authority; and
(ii) the fiscal body of the city described in IC 36-7.5-2-3(e) has adopted an ordinance under IC 36-7.5-2-3(e) providing that the city is joining the development authority.
Revenue from the county economic development income tax may be used by a county or a city described in this subdivision for making transfers required by IC 36-7.5-4-2. In addition, if the county economic development income tax rate is increased after June 30, 2006, in the county, the first three million five hundred
thousand dollars ($3,500,000) of the tax revenue that results each
year from the tax rate increase shall be used by the county only to
make the county's transfer required by IC 36-7.5-4-2. The first
three million five hundred thousand dollars ($3,500,000) of the
tax revenue that results each year from the tax rate increase shall
be paid by the county treasurer to the treasurer of the northwest
Indiana regional development authority under IC 36-7.5-4-2
before certified distributions are made to the county or any cities
or towns in the county under this chapter from the tax revenue
that results each year from the tax rate increase. All of the tax
revenue that results each year from the tax rate increase that is in
excess of the first three million five hundred thousand dollars
($3,500,000) that results each year from the tax rate increase must
be used by the county and cities and towns in the county for
homestead credits under subdivision (9).
(9) This subdivision applies only to a county described in
subdivision (8). All of the tax revenue that results each year from
a tax rate increase described in subdivision (8) that is in excess of
the first three million five hundred thousand dollars ($3,500,000)
that results each year from the tax rate increase must be used by
the county and cities and towns in the county for homestead
credits under this subdivision. The following apply to homestead
credits provided under this subdivision:
(A) The homestead credits must be applied uniformly to
provide a homestead credit for homesteads in the county, city,
or town.
(B) The homestead credits shall be treated for all purposes as
property tax levies.
(C) The homestead credits shall be applied to the net property
taxes due on the homestead after the application of all other
assessed value deductions or property tax deductions and
credits that apply to the amount owed under IC 6-1.1.
(D) The department of local government finance shall
determine the homestead credit percentage for a particular
year based on the amount of county economic development
income tax revenue that will be used under this subdivision to
provide homestead credits in that year.
(c) As used in this section, an economic development project is any
project that:
(1) the county, city, or town determines will:
(A) promote significant opportunities for the gainful
employment of its citizens;
(B) attract a major new business enterprise to the unit; or
(C) retain or expand a significant business enterprise within the unit; and
(2) involves an expenditure for:
(A) the acquisition of land;
(B) interests in land;
(C) site improvements;
(D) infrastructure improvements;
(E) buildings;
(F) structures;
(G) rehabilitation, renovation, and enlargement of buildings and structures;
(H) machinery;
(I) equipment;
(J) furnishings;
(K) facilities;
(L) administrative expenses associated with such a project, including contract payments authorized under subsection (b)(2)(D);
(M) operating expenses authorized under subsection (b)(2)(E); or
(N) to the extent not otherwise allowed under this chapter, substance removal or remedial action in a designated unit;
or any combination of these.
(d) If there are bonds outstanding that have been issued under section 14 of this chapter or leases in effect under section 21 of this chapter, a county, city, or town may not expend money from its economic development income tax fund for a purpose authorized under subsection (b)(3) in a manner that would adversely affect owners of the outstanding bonds or payment of any lease rentals due.
(b) Starke County possesses unique governmental and economic development challenges due to:
(1) the county's predominantly rural geography, demography, and economy;
(2) the county's relatively low tax base and relatively high property tax rates;
(3) the current maximum capacity of the county jail, which was constructed in 1976; and
(4) pending federal class action litigation seeking a mandate to address capacity and living conditions in the county jail.
The use of county economic development income tax revenue under this section is necessary for the county to address jail capacity and appropriate inmate living conditions and to maintain low property tax rates essential to economic development. The use of the economic development income tax revenue under this section for the purposes described in subsections (c) and (d) promotes that purpose.
(c) The county council may, by ordinance, determine that additional county economic development income tax revenue is needed in the county to:
(1) finance, construct, acquire, and equip the county jail and related buildings and parking facilities, including costs related to the demolition of existing buildings, the acquisition of land, and any other reasonably related costs; and
(2) repay bonds issued or leases entered into for constructing, acquiring, and equipping the county jail and related buildings and parking facilities, including costs related to the demolition of existing buildings, the acquisition of land, and any other reasonably related costs.
(d) The county council may, by ordinance, determine that additional county economic development income tax revenue is needed in the county to operate or maintain the facilities described in subsection (c)(1) that are located in the county. The county council may make a determination under this subsection and under subsection (c).
(e) In addition to the rates permitted by section 5 of this chapter, the county council may, subject to subsections (f) and (g), impose the county economic development income tax at a rate not to exceed sixty-five hundredths percent (0.65%) on the adjusted gross income of county taxpayers if the county council:
(1) makes the determination described in subsection (c); or
(2) makes both the determination described in subsection (c) and the determination described in subsection (d).
(f) If the county council makes only the determination under subsection (c), the county council may adopt a tax rate under subsection (e). The tax rate may not exceed the lesser of:
(1) sixty-five hundredths percent (0.65%); or
(2) the tax rate that is necessary to pay the costs of financing, acquiring, and equipping the county jail and related buildings and parking facilities, including costs related to the demolition
of existing buildings, the acquisition of land, and any other
reasonably related costs.
(g) If the county council makes both the determination under
subsection (c) and the determination under subsection (d), the
county council may adopt a tax rate under subsection (e). The tax
rate may not exceed the lesser of:
(1) sixty-five hundredths percent (0.65%); or
(2) the tax rate that is necessary to:
(A) pay the costs of financing, acquiring, and equipping the
county jail and related buildings and parking facilities,
including costs related to the demolition of existing
buildings, the acquisition of land, and any other reasonably
related costs; and
(B) provide sufficient annual revenues to operate and
maintain the facilities described in subsection (c)(1).
(h) A tax rate imposed under this section may be imposed only
until the later of:
(1) the date on which the last of any bonds issued or leases
entered into to finance the facilities are fully paid; or
(2) the date on which the ordinance under subsection (c) or (d)
is repealed or rescinded.
The term of the bonds issued (including any refunding bonds) or a
lease entered into under subsection (c)(2) may not exceed
twenty-five (25) years.
(i) The county treasurer shall establish a county jail revenue
fund to be used only for the purposes described in this section.
County economic development income tax revenues derived from
the tax rate imposed under this section shall be deposited in the
county jail revenue fund before making a certified distribution
under section 11 of this chapter.
(j) County economic development income tax revenues derived
from the tax rate imposed under this section:
(1) may be used only for the purposes described in this
section;
(2) may not be considered by the department of local
government finance in determining the county's maximum
permissible ad valorem property tax levy limit under
IC 6-1.1-18.5; and
(3) may be pledged to the repayment of bonds issued or leases
entered into for the purposes described in subsection (c).