Capital improvement plan; retention of certified distribution
pending adoption of plan; components of plan
Sec. 15. (a) The executive of a county, city, or town may, subject
to the use of the certified distribution permitted under sections 25
and 26 of this chapter:
(1) adopt a capital improvement plan specifying the uses of the
revenues to be received under this chapter; or
(2) designate the county or a city or town in the county as the
recipient of all or a part of its share of the distribution.
(b) If a designation is made under subsection (a)(2), the county
treasurer shall transfer the share or part of the share to the designated
unit unless that unit does not have a capital improvement plan.
(c) A county, city, or town that fails to adopt a capital
improvement plan may not receive:
(1) its fractional amount of the certified distribution; or
(2) any amount designated under subsection (a)(2);
for the year or years in which the unit does not have a plan. The
county treasurer shall retain the certified distribution and any
designated distribution for such a unit in a separate account until the
unit adopts a plan. Interest on the separate account becomes part of
the account. If a unit fails to adopt a plan for a period of three (3)
years, then the balance in the separate account shall be distributed to
the other units in the county based on property taxes first due and
payable to the units during the calendar year in which the three (3)
year period expires.
(d) A capital improvement plan must include the following
components:
(1) Identification and general description of each project that
would be funded by the county economic development income
tax.
(2) The estimated total cost of the project.
(3) Identification of all sources of funds expected to be used for
each project.
(4) The planning, development, and construction schedule of
each project.
(e) A capital improvement plan:
(1) must encompass a period of no less than two (2) years; and
(2) must incorporate projects the cost of which is at least
seventy-five percent (75%) of the fractional amount certified
distribution expected to be received by the county, city, or town
in that period of time.
(f) In making a designation under subsection (a)(2), the executive
must specify the purpose and duration of the designation. If the
designation is made to provide for the payment of lease rentals or
bond payments, the executive may specify that the designation and
its duration are irrevocable.
As added by P.L.380-1987(ss), SEC.6. Amended by P.L.22-1988,
SEC.8; P.L.17-1991, SEC.10; P.L.192-2002(ss), SEC.124;
P.L.1-2003, SEC.45.
Last modified: May 28, 2006