Innkeeper's tax fund; expenditures
Sec. 7. (a) The county treasurer shall establish an innkeeper's tax
fund. The treasurer shall deposit in that fund all money received
under section 6 of this chapter that is attributable to an innkeeper's
tax rate that is not more than five percent (5%).
(b) Money in the innkeeper's tax fund shall be expended in the
following order:
(1) Through July 1999, not more than the revenue needed to
service bonds issued under IC 36-10-3-40 through
IC 36-10-3-45 and outstanding on January 1, 1993, may be used
to service bonds. The county auditor shall make a semiannual
distribution, at the same time property tax revenue is distributed,
to a park and recreation district that has issued bonds payable
from a county innkeeper's tax. Each semiannual distribution
must be equal to one-half (1/2) of the annual principal and
interest obligations on the bonds. Money received by a park and
recreation district under this subdivision shall be deposited in a
special fund to be used to service the bonds. During August
1999 the money that had been set aside to cover bond payments
that remains after the bonds have been retired plus sixty percent
(60%) of the tax revenue during August 1999 through
December 1999 shall be distributed to the county treasurer to be
used by the county park board, subject to appropriation by the
county fiscal body.
(2) To the commission for its general use in paying operating
expenses and to carry out the purposes set forth in section
3(a)(6) of this chapter. However, the amount that may be
distributed under this subdivision during any particular year may
not exceed the proceeds derived from an innkeeper's tax of two
percent (2%) through December 1999 and fifty percent (50%)
of the tax revenue beginning January 2000 and continuing
through December 2014.
(3) For the period beginning July 1, 2002, through December
2014, fifty percent (50%) of the revenue to the county treasurer
to be credited by the treasurer to a special account. The county
treasurer shall distribute money in the special account as
follows:
(A) Seventy-five percent (75%) of the money in the special
account shall be distributed to the department of natural
resources for the development of projects in the state park
on the county's largest river, including its tributaries.
(B) Twenty-five percent (25%) of the money in the special
account shall be distributed to a community development
corporation that serves a metropolitan area in the county that
includes:
(i) a city having a population of more than fifty-five
thousand (55,000) but less than fifty-nine thousand
(59,000); and
(ii) a city having a population of more than twenty-eight
thousand seven hundred (28,700) but less than twenty-nine
thousand (29,000);
for the community development corporation's use in tourism,
recreation, and economic development activities. For the
period beginning July 1, 2002, and continuing through
December 2006, the community development corporation
shall provide not less than forty percent (40%) of the money
received from the special account under this clause as a
grant to a nonprofit corporation that leases land in the state
park described in this subdivision for the nonprofit
corporation's use in noncapital projects in the state park.
Money in the special account may not be used for any other
purpose. The money credited to the account that has not been
used as specified in this subdivision by January 1, 2015, shall be
transferred to the commission to be used to make grants as
provided in subsection (c)(2).
(c) Money in the innkeeper's tax fund subject to appropriation by
the county council shall be allocated and distributed after December
2014 as follows:
(1) Fifty percent (50%) of the revenue to the commission for the
commission's general use in paying operating expenses and to
carry out the purposes set forth in section 3(a)(6) of this
chapter.
(2) The remainder to the commission to be used solely to make
grants for the development of recreation and tourism projects.
The commission shall establish and make public the criteria that
will be used in analyzing and awarding grants. At least ten
percent (10%) but not more than fifteen percent (15%) of the
grants may be awarded for noncapital projects. Grants may be
made only to the following entities upon application by the
executive of the entity:
(A) The county for deposit in a special account.
(B) The most populated city in the county for deposit in a
special account.
(C) The second most populated city in the county for deposit
in a special account.
(D) The Tippecanoe County Wabash River parkway
commission, but only so long as the interlocal agreement
among the political subdivisions listed in clauses (A) through
(C) is in effect. Money received by the parkway commission
shall be segregated in a special account.
(d) Money credited to special accounts under subsection (c)(2)
shall be used only for recreation or tourism projects, or both.
As added by Acts 1978, P.L.50, SEC.1. Amended by P.L.74-1986,
SEC.5; P.L.85-1993, SEC.4; P.L.178-2002, SEC.77;
P.L.214-2005, SEC.27.
Last modified: May 28, 2006