Relief in event of revenue shortfall
Sec. 4.7. (a) With respect to every appeal petition that:
(1) is delivered to the tax control board by the department of
local government finance under section 4.1 of this chapter; and
(2) includes a request for emergency relief for the purpose of
making up a shortfall that has resulted:
(A) whenever:
(i) erroneous assessed valuation figures were provided to
the school corporation;
(ii) erroneous figures were used to determine the school
corporation's total property tax rate; and
(iii) the school corporation's general fund tax levy was
reduced under IC 6-1.1-17-16(d); or
(B) because of the payment of refunds that resulted from
appeals under this article and IC 6-1.5;
the tax control board shall recommend to the department of local
government finance that the school corporation receive emergency
financial relief. The relief shall be in the form specified in section
4.5(b)(1) through 4.5(b)(7) of this chapter, or in a combination of the
forms of relief specified in section 4.5(b)(1) through 4.5(b)(7) of this
chapter.
(b) The tax control board shall, if the tax control board determines
that a shortfall exists as described in subsection (a), recommend that
a school corporation that appeals for the purpose stated in subsection
(a) be permitted to collect an excessive tax levy for a specified
calendar year in the amount of the difference between:
(1) the school corporation's property tax levy for a particular
year as finally approved by the department of local government
finance; and
(2) the school corporation's actual property tax levy for the
particular year.
(c) With respect to each appeal petition that:
(1) is delivered to the tax control board by the department of
local government finance under section 4.1 of this chapter;
(2) includes a request for emergency relief for the purpose of
making up a shortfall that has resulted because of a delinquent
property taxpayer; and
(3) the tax control board finds that the balance in the school
corporation's levy excess fund plus the property taxes collected
for the school corporation is less than ninety-eight percent
(98%) of the school corporation's property tax levy for that
year, as finally approved by the department of local government
finance;
the tax control board may recommend to the department of local
government finance that the school corporation receive emergency
financial relief in the form specified in section 4.5(b)(1) through
4.5(b)(7) of this chapter and be permitted to collect an excessive tax
levy for a specified calendar year in the amount of the difference
between the school corporation's property tax levy for a particular
year, as finally approved by the department, and the school
corporation's actual property tax collections plus any balance in the
school corporation's levy excess fund.
(d) Every recommendation made by the tax control board under
this section shall specify the amount of the excessive tax levy. The
department of local government finance may authorize the school
board to make an excessive tax levy in accordance with the
recommendation without any other proceeding. Whenever the
department of local government finance authorizes an excessive tax
levy under this subsection, the department shall take appropriate
steps to ensure that the proceeds of the excessive tax levy are first
used to repay any loan authorized under sections 4.3 through 5.3 of
this chapter.
As added by P.L.1-1991, SEC.45. Amended by P.L.43-1992, SEC.2;
P.L.1-1993, SEC.31; P.L.90-2002, SEC.182; P.L.1-2004, SEC.29
and P.L.23-2004, SEC.32.
Last modified: May 28, 2006