Bill Text: IN HB1252 | 2011 | Regular Session | Enrolled
Bill Title: CEDIT for Perry County jail.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Passed) 2011-05-16 - Effective 05/10/2011 [HB1252 Detail]
Download: Indiana-2011-HB1252-Enrolled.html
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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), 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 thousand (148,000) but less than one hundred seventy thousand (170,000). 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 forty-one thousand (41,000) but less than forty-three thousand (43,000), 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 thirty-five hundredths percent (1.35%) if the county has imposed the county adjusted gross income tax at a rate of one and one-tenth percent (1.1%) under IC 6-3.5-1.1-2.5.
(i) For a county having a population of more than thirteen thousand five hundred (13,500) but less than fourteen thousand (14,000), 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 fifty-five hundredths percent (1.55%).
(j) For a county having a population of more than seventy-one thousand (71,000) but less than seventy-one thousand four hundred (71,400), 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%).
(k) This subsection applies to a county having a population of more than twenty-seven thousand four hundred (27,400) but less than twenty-seven thousand five hundred (27,500). Except as provided in subsection (p), in addition to the rates permitted under subsection (b):
(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 twenty-nine thousand (29,000) but less than thirty thousand (30,000), 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%).
(m) For:
(1) a county having a population of more than one hundred
eighty-two thousand seven hundred ninety (182,790) but less than
two hundred thousand (200,000); or
(2) a county having a population of more than forty-five thousand
(45,000) but less than forty-five thousand nine hundred (45,900);
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 six thousand
(6,000) but less than eight thousand (8,000), 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%).
(o) This subsection applies to a county having a population of more
than thirty-nine thousand (39,000) but less than thirty-nine thousand
six hundred (39,600). Except as provided in subsection (p), in addition
to the rates permitted under subsection (b):
(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 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%).
in the manner specified in this section the certified distribution to the
county.
(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, and 27, and 27.5 of this chapter,
revenues from the county economic development income tax may be
used as follows:
(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
thousand (145,000) but less than one hundred forty-eight
thousand (148,000), 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 thousand
(145,000) but less than one hundred forty-eight thousand
(148,000) 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
thousand (145,000) but less than one hundred forty-eight
thousand (148,000), 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 thousand (145,000) but less
than one hundred forty-eight thousand (148,000). 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) that has a population of more than one hundred ten
thousand (110,000) but less than one hundred fifteen thousand
(115,000); and
(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) Perry County possesses unique governmental and economic development challenges due to:
(1) underemployment in relation to similarly situated counties and the loss of a major manufacturing business; and
(2) overcrowding of the county jail, the costs associated with housing the county's inmates outside the county, and the potential unavailability of additional housing for inmates outside the county.
The use of county economic development income tax revenue under this section is necessary for the county to provide adequate jail capacity in the county and to maintain low property tax rates essential to economic development. The use of the economic development income tax revenues under this section for the purposes described in subsection (c) 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, improve, renovate, remodel, or 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, improving, renovating, remodeling, 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) In addition to the rates permitted under section 5 of this
chapter, the county council may impose the county economic
development income tax at a rate not to exceed five-tenths percent
(0.5%) on the adjusted gross income of county taxpayers. The
ordinance imposing the additional tax must include the
determination described in subsection (c). The tax imposed under
this section may be imposed only until the later of the year in which
the financing on, acquisition, improvement, renovation,
remodeling, and equipping described in subsection (c) are
completed or the year in which the last of any bonds issued or
leases entered into to finance the construction, acquisition,
improvement, renovation, remodeling, and equipping described in
subsection (b)(1) is fully paid. 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.
(e) If the county council makes a determination under
subsection (c), the county council may adopt a tax rate under
subsection (d). The tax rate may not be imposed at a rate greater
than is necessary to pay the costs of financing, acquiring,
improving, renovating, remodeling, and equipping the county jail
and related buildings and parking, including costs related to the
demolition of existing buildings, the acquisition of land, and any
other reasonably related costs.
(f) 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.
(g) 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 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).
(h) Notwithstanding any other law, funds accumulated from the
county economic development income tax imposed under this
section after:
(1) the redemption of bonds issued; or
(2) the final payment of lease rentals due under a lease
entered into under this section;
shall be transferred to the county highway fund to be used for
construction, resurfacing, restoration, and rehabilitation of county
highways, roads, and bridges.
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