Emergency financial relief acceptance conditions; prohibited
actions
Sec. 4.9. (a) This section does not apply to a school corporation
that receives emergency financial relief under section 4.5(c) or
section 4.7 of this chapter.
(b) Every school corporation with respect to which the tax control
board recommends, and the department of local government finance
authorizes, emergency financial relief under section 4.5 of this
chapter (including relief in the form of an authorization to make an
excessive tax levy) is, if the school corporation accepts the
authorized relief, prohibited throughout any calendar year in which
or for which the school corporation receives the emergency financial
relief from taking any of the prohibited actions described in this
subsection until the action is recommended by the tax control board
to the department and authorized by the department. The prohibited
actions are any of the following:
(1) The acquisition of real estate for school building purposes,
the construction of new school buildings, or the remodeling or
renovation of existing school buildings.
(2) The making of a lease of real or personal property for an
annual rental or the incurring of any other contractual
obligation (except an employment contract for a new employee,
which contract is to supersede the contract of a terminating
employee) calling for an annual outlay by the school
corporation in excess of ten thousand dollars ($10,000).
(3) The purchase of personal property for a consideration in
excess of ten thousand dollars ($10,000).
(4) The adoption or advertising of a budget, tax levy, or tax rate
for any calendar year.
(c) If a school corporation subject to the controls described in
subsection (b) takes any of the actions described in subsection (b)
without having first obtained the recommendation of the tax control
board and the department of local government finance's authorization
for the action, the department may take appropriate steps to reduce
or terminate any emergency financial relief that the school
corporation may then be receiving under section 4.5 of this chapter.
As added by P.L.1-1991, SEC.46. Amended by P.L.90-2002,
SEC.183.
Last modified: May 28, 2006