Additional rate in certain counties for hospital, county courthouse,
and volunteer fire department
Sec. 22.5. (a) This section 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).
(b) In addition to the rates permitted by section 5 of this chapter,
the county council may impose the county economic development
income tax at a rate of twenty-five hundredths percent (0.25%) on
the adjusted gross income of county taxpayers if the county council
makes the finding and determination set forth in subsection (c).
(c) In order to impose the county economic development income
tax as provided in this section, the county council must adopt an
ordinance finding and determining that revenues from the county
economic development income tax are needed to pay the costs of:
(1) financing, constructing, acquiring, renovating, and
equipping the county courthouse, and financing and renovating
the former county hospital for additional office space,
educational facilities, nonsecure juvenile facilities, and other
county functions, including the repayment of bonds issued, or
leases entered into for constructing, acquiring, renovating, and
equipping the county courthouse and for renovating the former
county hospital for additional office space, educational
facilities, nonsecure juvenile facilities, and other county
functions;
(2) financing constructing, acquiring, renovating, and equipping
buildings for a volunteer fire department (as defined in
IC 36-8-12-2) that provides services in any part of the county;
and
(3) financing constructing, acquiring, and renovating
firefighting apparatus or other related equipment for a volunteer
fire department (as defined in IC 36-8-12-2) that provides
services in any part of the county.
(d) If the county council makes a determination under subsection
(c), the county council may adopt a tax rate under subsection (b). The
tax rate may not be imposed at a rate or for a time greater than is
necessary to pay for the purposes described in this section.
(e) The county treasurer shall establish a county option tax
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 option tax revenue fund before making a certified distribution
under section 11 of this chapter.
(f) County economic development income tax revenues derived
from the tax rate imposed under this section:
(1) may only be used 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).
(g) A county described in subsection (a) possesses:
(1) unique fiscal challenges to finance the operations of county
government due to the county's ongoing obligation to repay
amounts received by the county due to an overpayment of the
county's certified distribution under IC 6-3.5-1.1-9 for a prior
year; and
(2) unique capital financing needs related to the purposes
described in subsection (c).
As added by P.L.185-2001, SEC.4; P.L.291-2001, SEC.180 and
P.L.291-2001, SEC.198. Amended by P.L.90-2002, SEC.299;
P.L.224-2003, SEC.258; P.L.90-2004, SEC.3.
Last modified: May 28, 2006