Appeals; types of relief; increases of levy
Sec. 13. With respect to an appeal filed under section 12 of this
chapter, the local government tax control board may recommend that
a civil taxing unit receive any one (1) or more of the following types
of relief:
(1) Permission to the civil taxing unit to increase its levy in
excess of the limitations established under section 3 of this
chapter, if in the judgment of the local government tax control
board the increase is reasonably necessary due to increased costs
of the civil taxing unit resulting from annexation, consolidation,
or other extensions of governmental services by the civil taxing
unit to additional geographic areas or persons.
(2) Permission to the civil taxing unit to increase its levy in
excess of the limitations established under section 3 of this
chapter, if the local government tax control board finds that the
civil taxing unit needs the increase to meet the civil taxing unit's
share of the costs of operating a court established by statute
enacted after December 31, 1973. Before recommending such an
increase, the local government tax control board shall consider
all other revenues available to the civil taxing unit that could be
applied for that purpose. The maximum aggregate levy increases
that the local government tax control board may recommend for
a particular court equals the civil taxing unit's share of the costs
of operating a court for the first full calendar year in which it is
in existence.
(3) Permission to the civil taxing unit to increase its levy in
excess of the limitations established under section 3 of this
chapter, if the local government tax control board finds that the
quotient determined under STEP SIX of the following formula
is equal to or greater than one and three-hundredths (1.03):
STEP ONE: Determine the three (3) calendar years that most
immediately precede the ensuing calendar year and in which
a statewide general reassessment of real property does not first
become effective.
STEP TWO: Compute separately, for each of the calendar
years determined in STEP ONE, the quotient (rounded to the
nearest ten-thousandth (0.0001)) of the sum of the civil taxing
unit's total assessed value of all taxable property and the total
assessed value of property tax deductions in the unit under
IC 6-1.1-12-41 or IC 6-1.1-12-42 in the particular calendar
year, divided by the sum of the civil taxing unit's total assessed
value of all taxable property and the total assessed value of
property tax deductions in the unit under IC 6-1.1-12-41 or
IC 6-1.1-12-42 in the calendar year immediately preceding the
particular calendar year.
STEP THREE: Divide the sum of the three (3) quotients
computed in STEP TWO by three (3).
STEP FOUR: Compute separately, for each of the calendar
years determined in STEP ONE, the quotient (rounded to the
nearest ten-thousandth (0.0001)) of the sum of the total
assessed value of all taxable property in all counties and the
total assessed value of property tax deductions in all counties
under IC 6-1.1-12-41 or IC 6-1.1-12-42 in the particular
calendar year, divided by the sum of the total assessed value of
all taxable property in all counties and the total assessed value
of property tax deductions in all counties under IC 6-1.1-12-41
or IC 6-1.1-12-42 in the calendar year immediately preceding
the particular calendar year.
STEP FIVE: Divide the sum of the three (3) quotients
computed in STEP FOUR by three (3).
STEP SIX: Divide the STEP THREE amount by the STEP
FIVE amount.
The civil taxing unit may increase its levy by a percentage not
greater than the percentage by which the STEP THREE amount
exceeds the percentage by which the civil taxing unit may
increase its levy under section 3 of this chapter based on the
assessed value growth quotient determined under section 2 of
this chapter.
(4) Permission to the civil taxing unit to increase its levy in
excess of the limitations established under section 3 of this
chapter, if the local government tax control board finds that the
civil taxing unit needs the increase to pay the costs of furnishing
fire protection for the civil taxing unit through a volunteer fire
department. For purposes of determining a township's need for
an increased levy, the local government tax control board shall
not consider the amount of money borrowed under IC 36-6-6-14
during the immediately preceding calendar year. However, any
increase in the amount of the civil taxing unit's levy
recommended by the local government tax control board under
this subdivision for the ensuing calendar year may not exceed the
lesser of:
(A) ten thousand dollars ($10,000); or
(B) twenty percent (20%) of:
(i) the amount authorized for operating expenses of a
volunteer fire department in the budget of the civil taxing
unit for the immediately preceding calendar year; plus
(ii) the amount of any additional appropriations authorized
during that calendar year for the civil taxing unit's use in
paying operating expenses of a volunteer fire department
under this chapter; minus
(iii) the amount of money borrowed under IC 36-6-6-14
during that calendar year for the civil taxing unit's use in
paying operating expenses of a volunteer fire department.
(5) Permission to a civil taxing unit to increase its levy in excess
of the limitations established under section 3 of this chapter in
order to raise revenues for pension payments and contributions
the civil taxing unit is required to make under IC 36-8. The
maximum increase in a civil taxing unit's levy that may be
recommended under this subdivision for an ensuing calendar
year equals the amount, if any, by which the pension payments
and contributions the civil taxing unit is required to make under
IC 36-8 during the ensuing calendar year exceeds the product of
one and one-tenth (1.1) multiplied by the pension payments and
contributions made by the civil taxing unit under IC 36-8 during
the calendar year that immediately precedes the ensuing calendar
year. For purposes of this subdivision, "pension payments and
contributions made by a civil taxing unit" does not include that
part of the payments or contributions that are funded by
distributions made to a civil taxing unit by the state.
(6) Permission to increase its levy in excess of the limitations
established under section 3 of this chapter if the local
government tax control board finds that:
(A) the township's township assistance ad valorem property tax
rate is less than one and sixty-seven hundredths cents
($0.0167) per one hundred dollars ($100) of assessed
valuation; and
(B) the township needs the increase to meet the costs of
providing township assistance under IC 12-20 and IC 12-30-4.
The maximum increase that the board may recommend for a
township is the levy that would result from an increase in the
township's township assistance ad valorem property tax rate of
one and sixty-seven hundredths cents ($0.0167) per one hundred
dollars ($100) of assessed valuation minus the township's ad
valorem property tax rate per one hundred dollars ($100) of
assessed valuation before the increase.
(7) Permission to a civil taxing unit to increase its levy in excess
of the limitations established under section 3 of this chapter if:
(A) the increase has been approved by the legislative body of
the municipality with the largest population where the civil
taxing unit provides public transportation services; and
(B) the local government tax control board finds that the civil
taxing unit needs the increase to provide adequate public
transportation services.
The local government tax control board shall consider tax rates
and levies in civil taxing units of comparable population, and the
effect (if any) of a loss of federal or other funds to the civil
taxing unit that might have been used for public transportation
purposes. However, the increase that the board may recommend
under this subdivision for a civil taxing unit may not exceed the
revenue that would be raised by the civil taxing unit based on a
property tax rate of one cent ($0.01) per one hundred dollars
($100) of assessed valuation.
(8) Permission to a civil taxing unit to increase the unit's levy in
excess of the limitations established under section 3 of this
chapter if the local government tax control board finds that:
(A) the civil taxing unit is:
(i) a county having a population of more than one hundred
forty-eight thousand (148,000) but less than one hundred
seventy thousand (170,000);
(ii) a city having a population of more than fifty-five
thousand (55,000) but less than fifty-nine thousand (59,000);
(iii) a city having a population of more than twenty-eight
thousand seven hundred (28,700) but less than twenty-nine
thousand (29,000);
(iv) a city having a population of more than fifteen thousand
four hundred (15,400) but less than sixteen thousand six
hundred (16,600); or
(v) a city having a population of more than seven thousand
(7,000) but less than seven thousand three hundred (7,300);
and
(B) the increase is necessary to provide funding to undertake
removal (as defined in IC 13-11-2-187) and remedial action (as
defined in IC 13-11-2-185) relating to hazardous substances
(as defined in IC 13-11-2-98) in solid waste disposal facilities
or industrial sites in the civil taxing unit that have become a
menace to the public health and welfare.
The maximum increase that the local government tax control
board may recommend for such a civil taxing unit is the levy that
would result from a property tax rate of six and sixty-seven
hundredths cents ($0.0667) for each one hundred dollars ($100)
of assessed valuation. For purposes of computing the ad valorem
property tax levy limit imposed on a civil taxing unit under
section 3 of this chapter, the civil taxing unit's ad valorem
property tax levy for a particular year does not include that part
of the levy imposed under this subdivision. In addition, a
property tax increase permitted under this subdivision may be
imposed for only two (2) calendar years.
(9) Permission for a county:
(A) having a population of more than eighty thousand (80,000)
but less than ninety thousand (90,000) to increase the county's
levy in excess of the limitations established under section 3 of
this chapter, if the local government tax control board finds
that the county needs the increase to meet the county's share of
the costs of operating a jail or juvenile detention center,
including expansion of the facility, if the jail or juvenile
detention center is opened after December 31, 1991;
(B) that operates a county jail or juvenile detention center that
is subject to an order that:
(i) was issued by a federal district court; and
(ii) has not been terminated;
(C) that operates a county jail that fails to meet:
(i) American Correctional Association Jail Construction
Standards; and
(ii) Indiana jail operation standards adopted by the
department of correction; or
(D) that operates a juvenile detention center that fails to meet
standards equivalent to the standards described in clause (C)
for the operation of juvenile detention centers.
Before recommending an increase, the local government tax
control board shall consider all other revenues available to the
county that could be applied for that purpose. An appeal for
operating funds for a jail or a juvenile detention center shall be
considered individually, if a jail and juvenile detention center are
both opened in one (1) county. The maximum aggregate levy
increases that the local government tax control board may
recommend for a county equals the county's share of the costs of
operating the jail or a juvenile detention center for the first full
calendar year in which the jail or juvenile detention center is in
operation.
(10) Permission for a township to increase its levy in excess of
the limitations established under section 3 of this chapter, if the
local government tax control board finds that the township needs
the increase so that the property tax rate to pay the costs of
furnishing fire protection for a township, or a portion of a
township, enables the township to pay a fair and reasonable
amount under a contract with the municipality that is furnishing
the fire protection. However, for the first time an appeal is
granted the resulting rate increase may not exceed fifty percent
(50%) of the difference between the rate imposed for fire
protection within the municipality that is providing the fire
protection to the township and the township's rate. A township
is required to appeal a second time for an increase under this
subdivision if the township wants to further increase its rate.
However, a township's rate may be increased to equal but may
not exceed the rate that is used by the municipality. More than
one (1) township served by the same municipality may use this
appeal.
(11) Permission for a township to increase its levy in excess of
the limitations established under section 3 of this chapter, if the
local government tax control board finds that the township has
been required, for the three (3) consecutive years preceding the
year for which the appeal under this subdivision is to become
effective, to borrow funds under IC 36-6-6-14 to furnish fire
protection for the township or a part of the township. However,
the maximum increase in a township's levy that may be allowed
under this subdivision is the least of the amounts borrowed under
IC 36-6-6-14 during the preceding three (3) calendar years. A
township may elect to phase in an approved increase in its levy
under this subdivision over a period not to exceed three (3)
years. A particular township may appeal to increase its levy
under this section not more frequently than every fourth calendar
year.
(12) Permission to a city having a population of more than
twenty-nine thousand (29,000) but less than thirty-one thousand
(31,000) to increase its levy in excess of the limitations
established under section 3 of this chapter if:
(A) an appeal was granted to the city under this section to
reallocate property tax replacement credits under IC 6-3.5-1.1
in 1998, 1999, and 2000; and
(B) the increase has been approved by the legislative body of
the city, and the legislative body of the city has by resolution
determined that the increase is necessary to pay normal
operating expenses.
The maximum amount of the increase is equal to the amount of
property tax replacement credits under IC 6-3.5-1.1 that the city
petitioned under this section to have reallocated in 2001 for a
purpose other than property tax relief.
As added by P.L.73-1983, SEC.1. Amended by P.L.74-1983, SEC.1;
P.L.44-1984, SEC.4; P.L.24-1986, SEC.17; P.L.83-1987, SEC.1;
P.L.84-1987, SEC.1; P.L.54-1988, SEC.3; P.L.35-1990, SEC.10;
P.L.2-1992, SEC.62; P.L.12-1992, SEC.20; P.L.1-1993, SEC.29;
P.L.67-1993, SEC.1; P.L.66-1993, SEC.1; P.L.25-1995, SEC.31;
P.L.87-1995, SEC.1; P.L.6-1997, SEC.85; P.L.181-2001, SEC.1;
P.L.198-2001, SEC.55; P.L.1-2002, SEC.22; P.L.89-2002, SEC.1;
P.L.192-2002(ss), SEC.37; P.L.256-2003, SEC.18; P.L.245-2003,
SEC.16; P.L.224-2003, SEC.246; P.L.1-2004, SEC.22 and
P.L.23-2004, SEC.24; P.L.73-2005, SEC.4.
Last modified: May 28, 2006