CHAPTER 21. DRINKING WATER REVOLVING LOAN PROGRAM
IC 13-18-21
Chapter 21. Drinking Water Revolving Loan Program
IC 13-18-21-1
Establishment
Sec. 1. The drinking water revolving loan program is established.
As added by P.L.126-1997, SEC.30.
IC 13-18-21-2
Revolving loan fund; source of funds; repayments; investments;
costs
Sec. 2. (a) The drinking water revolving loan fund is established
to provide money for loans and other financial assistance under this
chapter to or for the benefit of participants, including forgiveness of
principal if allowed under federal law. The authority shall
administer, hold, and manage the fund.
(b) The general assembly may appropriate money to the fund.
Grants or gifts of money to the fund from the federal government or
other sources and the proceeds of the sale of:
(1) gifts to the fund; and
(2) loans and other financial assistance, as provided in sections
10 through 14 of this chapter;
shall be deposited in the fund.
(c) Repayments of loans and other financial assistance, including
interest, premiums, and penalties, shall be deposited in the fund.
(d) The authority shall invest the money in the fund that is:
(1) not currently needed to meet the obligations of the fund; and
(2) not invested under subsection (e);
in the same manner as other public money may be invested. Earnings
that accrue from these investments shall be deposited in the fund.
(e) As an alternative to subsection (d), the authority may invest or
cause to be invested all or part of the fund in a fiduciary account or
accounts with a trustee that is a financial institution. Notwithstanding
any other law, an investment may be made by the trustee in
accordance with at least one (1) trust agreement or indenture. A trust
agreement or indenture may allow disbursements by the trustee to:
(1) the department;
(2) the budget agency;
(3) a participant;
(4) the Indiana bond bank;
(5) the authority; or
(6) any person to which the authority or a participant is
obligated, as provided in the trust agreement or indenture.
(f) Except as provided in the Safe Drinking Water Act, the cost of
administering the fund and the program may be paid from the fund
or from other money.
(g) All money accruing to the fund and money allotted to the state
under 42 U.S.C. 300j-12 is appropriated continuously for the
purposes specified in this chapter.
(h) Money in the fund does not revert to the state general fund at
the end of a state fiscal year.
As added by P.L.126-1997, SEC.30. Amended by P.L.132-1999,
SEC.11; P.L.235-2005, SEC.148.
IC 13-18-21-3
Use of funds; power of authority to contract with other entities to
administer program and fund
Sec. 3. (a) Money in the fund may be used to do the following:
(1) Provide loans or other financial assistance to participants for
the:
(A) planning;
(B) designing;
(C) construction;
(D) renovation;
(E) improvement;
(F) expansion; or
(G) any combination of clauses (A) through (F);
for public water systems that will facilitate compliance with
national primary drinking water regulations applicable to public
water systems under the Safe Drinking Water Act or otherwise
significantly further the health protection objectives of the Safe
Drinking Water Act and other activities necessary or convenient
to complete these tasks.
(2) Pay the cost of administering the fund and the program.
(3) Conduct all other activities that are allowed by the Safe
Drinking Water Act.
(b) The authority shall develop and implement a strategy to assist
participants in acquiring and maintaining technical, managerial, and
financial capacity as contemplated by 42 U.S.C. 300g-9. The
authority shall ensure that all new community water systems and new
nontransient, noncommunity water systems, as contemplated by the
Safe Drinking Water Act, commencing operations after October 1,
1999, demonstrate technical, managerial, and financial capacity with
respect to each federal primary drinking water regulation in effect on
the date operations commence.
(c) This chapter does not require the authority to provide a loan
or other financial assistance to any participant that would cause any
bonds or other obligations issued to finance the program to lose their
exemption from federal income taxation.
(d) The authority may contract with the department, the budget
agency, or any other entity or person for assistance in administering
the program and the fund and in carrying out the purposes of this
chapter.
As added by P.L.126-1997, SEC.30. Amended by P.L.132-1999,
SEC.12; P.L.184-2002, SEC.25; P.L.235-2005, SEC.149.
IC 13-18-21-4
Repealed
(Repealed by P.L.235-2005, SEC.212.)
IC 13-18-21-5
Authority duties
Sec. 5. The authority shall do the following:
(1) Administer, hold, and manage all aspects of the fund, the
program, the supplemental fund, and the supplemental program
in accordance with this chapter.
(2) Be the point of contact in relations with the United States
Environmental Protection Agency.
(3) Prepare and provide program and supplemental program
information.
(4) Ensure that each proposed financial assistance agreement
meets the environmental and technical aspects of the program
or the supplemental program.
(5) Periodically inspect project design and construction to
determine compliance with the following:
(A) This chapter.
(B) The Safe Drinking Water Act.
(C) Construction plans and specifications.
(6) Negotiate the negotiable aspects of each financial assistance
agreement.
(7) Manage any payment system through which the state
receives grant payments from the federal government for the
program and disbursements to the fund.
(8) Prepare annual reports concerning the following:
(A) The fund.
(B) The program.
(C) The supplemental fund.
(D) The supplemental program.
(9) Be the point of contact with participants and other interested
persons in preparing and providing program information.
(10) Prepare or cause to be prepared each financial assistance
agreement.
(11) Sign each financial assistance agreement.
(12) Conduct or cause to be conducted an evaluation as to the
financial ability of each participant to pay the loan or other
financial assistance and other obligations evidencing the loans
or other financial assistance, if required to be paid, and comply
with the financial assistance agreement.
As added by P.L.126-1997, SEC.30. Amended by P.L.28-2004,
SEC.119; P.L.235-2005, SEC.150.
IC 13-18-21-6
Repealed
(Repealed by P.L.235-2005, SEC.212.)
IC 13-18-21-7
Authority powers
Sec. 7. The authority may do the following:
(1) Employ:
(A) fiscal consultants;
(B) engineers;
(C) bond counsel;
(D) special counsel;
(E) accountants; and
(F) any other consultants, employees, and agents;
that the authority considers necessary to carry out the purposes
of this chapter.
(2) Fix and pay the compensation of persons employed in
subdivision (1) from money:
(A) available in the fund and the supplemental fund; or
(B) otherwise made available for the program and the
supplemental program.
(3) Enter into memoranda of understanding with the department
and the budget agency concerning the administration and
management of the fund, the program, the supplemental fund,
and the supplemental program.
(4) Provide services to a participant in connection with a loan
or other financial assistance, including advisory and other
services.
As added by P.L.126-1997, SEC.30. Amended by P.L.235-2005,
SEC.151.
IC 13-18-21-8
Fees
Sec. 8. (a) The authority may:
(1) charge a fee for services provided; and
(2) charge a fee for costs and services incurred in the review or
consideration of an application for a proposed loan or other
financial assistance under this chapter to or for the benefit of a
participant, regardless of whether the application is approved or
rejected.
(b) A participant may pay fees charged under this section.
As added by P.L.126-1997, SEC.30. Amended by P.L.132-1999,
SEC.14; P.L.235-2005, SEC.152.
IC 13-18-21-9
Duty to use priority ranking system in making loans
Sec. 9. The authority shall use a priority ranking system in making
loans or other financial assistance from the fund. The authority shall
develop the priority ranking system consistent with federal primary
drinking water regulations and health protection objectives of the
Safe Drinking Water Act.
As added by P.L.126-1997, SEC.30. Amended by P.L.132-1999,
SEC.15; P.L.235-2005, SEC.153.
IC 13-18-21-10
Prerequisites for loans or assistance
Sec. 10. The authority may make loans or provide other financial
assistance from the fund to or for the benefit of a participant under
the following conditions:
(1) The loan or other financial assistance must be used:
(A) for:
(i) planning, designing, constructing, renovating,
improving, and expanding public water systems;
(ii) any purpose eligible for assistance under the Safe
Drinking Water Act; and
(iii) for other activities necessary or convenient to
complete these tasks;
(B) to:
(i) establish guaranties, reserves or sinking funds,
including guaranties, reserves, or sinking funds to secure
and pay, in whole or in part, loans or other financial
assistance made from sources other than the fund
(including financial institutions) for a purpose permitted
by clause (A); or
(ii) provide interest subsidies;
(C) to pay financing charges, including interest on the loan
or other financial assistance during construction and for a
reasonable period after the completion of construction; or
(D) to pay the following:
(i) Consultant, advisory, and legal fees.
(ii) Other costs or expenses necessary or incident to the
loan, other financial assistance, or the administration of
the fund and the program.
(2) The authority shall establish the terms and conditions that
the authority considers necessary or convenient to:
(A) make loans; or
(B) provide other financial assistance under this chapter.
(3) Notwithstanding any other law, the authority may establish
and implement requirements that:
(A) apply to loans and other financial assistance to be made
to participants that are not political subdivisions; and
(B) are different from, or in addition to, requirements that
apply to loans and financial assistance made to political
subdivisions.
As added by P.L.126-1997, SEC.30. Amended by P.L.132-1999,
SEC.16; P.L.235-2005, SEC.154.
IC 13-18-21-11
Documentation accompanying loan or other financial assistance
Sec. 11. A loan or other financial assistance from the fund must
be accompanied by the following:
(1) All papers and opinions required by the authority.
(2) Unless otherwise provided by the guidelines of the
authority, the following:
(A) An approving opinion of nationally recognized bond
counsel.
(B) A certification and guarantee of signatures.
(C) A certification that, as of the date of the loan or other
financial assistance:
(i) no litigation is pending challenging the validity of or
entry into the loan or other financial assistance or any
security for the loan or other financial assistance; or
(ii) if litigation is pending, the litigation will not have a
material adverse effect on the validity of the loan or other
financial assistance or any security for the loan or other
financial assistance.
(D) If litigation is pending, as an alternative to the
certification described in clause (C), an opinion of legal
counsel that the litigation will not have a material adverse
effect on the validity of the loan or other financial
assistance.
As added by P.L.126-1997, SEC.30. Amended by P.L.235-2005,
SEC.155.
IC 13-18-21-12
Financial assistance agreements
Sec. 12. A participant receiving a loan or other financial
assistance from the fund shall enter into a financial assistance
agreement. A financial assistance agreement is a valid, binding, and
enforceable agreement of the participant.
As added by P.L.126-1997, SEC.30. Amended by P.L.132-1999,
SEC.17.
IC 13-18-21-13
Sale of loans
Sec. 13. The authority may sell loans or evidence of other
financial assistance and other obligations of participants evidencing
the loans or other financial assistance from the fund periodically at
any price and on terms acceptable to the authority. Proceeds of sales
under this section shall be deposited in the fund.
As added by P.L.126-1997, SEC.30. Amended by P.L.132-1999,
SEC.18; P.L.235-2005, SEC.156.
IC 13-18-21-14
Pledge of loans
Sec. 14. (a) The authority may pledge loans or evidence of other
financial assistance and other obligations of participants evidencing
the loans or other financial assistance from the fund to secure:
(1) other loans or financial assistance from the fund to or for the
benefit of participants; or
(2) other loans or financial assistance from the supplemental
fund to or for the benefit of participants;
to the extent allowed by the Safe Drinking Water Act.
(b) The authority must approve the terms of a pledge under this
section.
(c) Notwithstanding any other law, a pledge of property made by
the department and the budget agency under this section, or a pledge
of property made by the authority under this section, is binding from
the time the pledge is made. Any pledge of property made by the
department and the budget agency under this section is binding on
the authority. Revenues, other money, or other property pledged and
received are immediately subject to the lien of the pledge without
any other act. The lien of a pledge is binding against all parties
having claims of any kind in tort, contract, or otherwise against:
(1) the department;
(2) the budget agency;
(3) the fund; or
(4) the authority;
regardless of whether the parties have notice of any lien.
(d) A resolution, an indenture, or other instrument by which a
pledge is created does not have to be filed or recorded, except in the
records of the authority.
(e) Action taken to:
(1) enforce a pledge under this section; and
(2) realize the benefits of the pledge;
is limited to the property pledged.
(f) A pledge under this section does not create a liability or
indebtedness of the state.
As added by P.L.126-1997, SEC.30. Amended by P.L.132-1999,
SEC.19; P.L.235-2005, SEC.157.
IC 13-18-21-15
Interest rate
Sec. 15. (a) The authority shall establish the interest rate or
parameters for establishing the interest rate on each loan made under
this chapter, including parameters for establishing the amount of
interest subsidies.
(b) The authority, in setting the interest rate or parameters for
establishing the interest rate on each loan, may take into account the
following:
(1) Credit risk.
(2) Environmental, water quality, and health protection.
(3) Affordability.
(4) Other fiscal factors the authority considers relevant,
including the program's cost of funds and whether the financial
assistance provided to a particular participant is taxable or tax
exempt under federal law.
Based on the factors set forth in subdivisions (1) through (4), more
than one (1) interest rate may be established and used for loans or
other financial assistance to different participants or for different
loans or other financial assistance to the same participants.
As added by P.L.126-1997, SEC.30. Amended by P.L.132-1999,
SEC.20; P.L.235-2005, SEC.158.
IC 13-18-21-16
User charges
Sec. 16. The authority shall require a participant receiving a loan
or other financial assistance under this chapter to establish under
applicable law and maintain sufficient user charges or other charges,
fees, taxes, special assessments, or revenues available to the
participant to:
(1) operate and maintain the public water system; and
(2) pay the obligations of the public water system.
As added by P.L.126-1997, SEC.30. Amended by P.L.132-1999,
SEC.21; P.L.235-2005, SEC.159.
IC 13-18-21-17
Withholding payment from participants
Sec. 17. (a) Notwithstanding any other law and if provided in a
financial assistance agreement, a state department or state agency,
including the treasurer of state, that is the custodian of money
payable to a participant, other than money in payment for goods or
services provided by the participant, may withhold payment of
money from that participant and pay over the money to the authority
or the Indiana bond bank, as directed by the chairman of the
authority, for the purpose of curing a default.
(b) The withholding of payment from the participant and payment
to:
(1) the authority; or
(2) the Indiana bond bank;
as applicable, may not adversely affect the validity of the loan or
other financial assistance.
As added by P.L.126-1997, SEC.30. Amended by P.L.132-1999,
SEC.22; P.L.235-2005, SEC.160.
IC 13-18-21-18
Rules
Sec. 18. The authority may adopt guidelines, without complying
with IC 4-22-2, to govern the administration of this chapter.
As added by P.L.126-1997, SEC.30. Amended by P.L.235-2005,
SEC.161.
IC 13-18-21-19
Borrowing money; issuance and sale of notes; renewal or
extension; maturity; compliance with statutes
Sec. 19. (a) Notwithstanding any other law, a political subdivision
may borrow money under this chapter by negotiating a loan or other
financial assistance directly and without complying with
requirements for the competitive sale of bonds, notes, or other
obligations or evidences of indebtedness. A political subdivision
shall observe any existing contractual commitments to bondholders
or other persons when entering into a financial assistance agreement.
(b) Notwithstanding any other law, a political subdivision may
issue and sell notes, the principal and accrued interest on which shall
be paid with proceeds from the issuance of bonds or other available
money at the time the notes are due. The notes must be issued under
a resolution or ordinance and the proceeds must be used to carry out
the purposes specified in this chapter.
(c) A political subdivision that issues notes under subsection (b)
may renew or extend the notes periodically on terms agreed to with
the authority, and the authority may purchase and sell the renewed or
extended notes. Accrued interest on the date of renewal or extension
may be paid or added to the principal amount of the note being
renewed or extended.
(d) The notes issued by a political subdivision under subsection
(b), including any renewals or extensions, must mature:
(1) in the amounts; and
(2) at the times not exceeding four (4) years from the date of
original issuance;
that are agreed to by the political subdivision and the authority.
(e) Compliance with subsection (b) constitutes full authority for
a political subdivision to issue notes and sell the notes to the
authority, and the political subdivision is not required to comply with
any other law applicable to the authorization, approval, issuance, and
sale of the notes. The notes are:
(1) valid and binding obligations of the political subdivision;
(2) enforceable in accordance with the terms of the notes; and
(3) payable solely from the sources specified in the resolution
or ordinance authorizing the issuance of the notes.
(f) If the political subdivision issues bonds, all or part of the
proceeds of which will be used to pay notes issued under subsection
(b), the:
(1) provisions of this section; or
(2) actual issuance by a political subdivision of notes under
subsection (b);
do not relieve the political subdivision of the obligation to comply
with the statutory requirements for the issuance of bonds.
As added by P.L.126-1997, SEC.30. Amended by P.L.235-2005,
SEC.162.
IC 13-18-21-20
Alternatives to making loans or providing financial assistance
Sec. 20. (a) As an alternative to making loans or providing other
financial assistance to participants, the authority may use the money
in the fund to provide a leveraged loan program and other financial
assistance programs allowed by the Safe Drinking Water Act to or
for the benefit of participants, including using money in the fund or
a supplemental fund, including the supplemental fund established by
section 22 of this chapter, to enhance the obligations of participants
issued for the purposes of this chapter by:
(1) granting money to:
(A) be deposited in:
(i) a capital or reserve fund established under IC 4-4-11 or
another statute or a trust agreement or indenture as
contemplated by IC 13-18-21-2(e); or
(ii) an account established within a fund described in item
(i); or
(B) provide interest subsidies;
(2) paying bond insurance premiums, reserve insurance
premiums, or credit enhancement, liquidity support,
remarketing, or conversion fees, or other similar fees or costs
for obligations of a participant or for bonds issued by the
Indiana bond bank or the authority if credit market access is
improved or interest rates are reduced; or
(3) guaranteeing all or part of:
(A) obligations issued by participants; or
(B) bonds issued by the Indiana bond bank or the authority.
(b) The authority may enter into any agreements with the Indiana
bond bank or participants to carry out the purposes specified in this
chapter.
(c) A guarantee of obligations or bonds under subsection (a)(3)
must be limited to money in the fund. A guarantee under subsection
(a)(3) does not create a liability or indebtedness of the state.
As added by P.L.126-1997, SEC.30. Amended by P.L.132-1999,
SEC.23; P.L.235-2005, SEC.163.
IC 13-18-21-21
Supplemental drinking water and wastewater assistance program
Sec. 21. The supplemental drinking water and wastewater
assistance program is established.
As added by P.L.126-1997, SEC.30. Amended by P.L.132-1999,
SEC.24.
IC 13-18-21-22
Supplemental drinking water and wastewater assistance fund
Sec. 22. (a) The supplemental drinking water and wastewater
assistance fund is established to provide money for grants, loans, and
other financial assistance to or for the benefit of participants for the
purposes described in section 23 of this chapter.
(b) The general assembly may appropriate money to the
supplemental fund. Grants or gifts of money to the supplemental
fund and proceeds of the sale of:
(1) gifts to the supplemental fund; and
(2) loans and other financial assistance, as provided in sections
25 through 29 of this chapter;
shall be deposited in the supplemental fund.
(c) Repayments of loans and other financial assistance from the
supplemental fund, including interest, premiums, and penalties, shall
be deposited in the supplemental fund.
(d) The authority shall invest the money in the supplemental fund
that is:
(1) not currently needed to meet the obligations of the
supplemental fund; and
(2) not invested under subsection (e);
in the same manner as other public money may be invested. Earnings
that accrue from the investments shall be deposited in the
supplemental fund.
(e) As an alternative to the investment provided for in subsection
(d), the authority may invest or cause to be invested all or a part of
the supplemental fund in a fiduciary account or accounts with a
trustee that is a financial institution. Notwithstanding any other law,
any investment may be made by the trustee in accordance with one
(1) or more trust agreements or indentures. A trust agreement or
indenture may permit disbursements by the trustee to the authority,
the department, the budget agency, a participant, or any other person
as provided in the trust agreement or indenture.
(f) The cost of administering the supplemental fund may be paid
from money in the supplemental fund.
(g) All money accruing to the supplemental fund is appropriated
continuously for the purposes specified in this chapter.
(h) Money in the supplemental fund does not revert to the state
general fund at the end of a state fiscal year.
(i) The authority shall administer, hold, and manage the
supplemental fund.
As added by P.L.126-1997, SEC.30. Amended by P.L.132-1999,
SEC.25; P.L.235-2005, SEC.164.
IC 13-18-21-23
Supplemental drinking water and wastewater assistance fund; use
of money
Sec. 23. Money in the supplemental fund may be used to do the
following:
(1) Provide grants, loans, or other financial assistance to or for
the benefit of participants for the planning, designing,
acquisition, construction, renovation, improvement, or
expansion of public water systems and other activities
necessary or convenient to complete these tasks, whether or not
those other activities are permitted by the Clean Water Act or
the Safe Drinking Water Act.
(2) Provide grants, loans, or other financial assistance to or for
the benefit of participants for the planning, designing,
acquisition, construction, renovation, improvement, or
expansion of wastewater or storm water collection and
treatment systems and other activities necessary or convenient
to complete these tasks, whether or not those other activities are
permitted by the Clean Water Act or the Safe Drinking Water
Act.
(3) Provide grants to political subdivisions for tasks associated
with the development and preparation of:
(A) long term control plans;
(B) use attainability analyses; and
(C) storm water management programs.
(4) Pay the cost of administering the supplemental fund and the
supplemental program.
(5) Conduct all other activities that are permitted by the Clean
Water Act or the Safe Drinking Water Act.
As added by P.L.126-1997, SEC.30. Amended by P.L.132-1999,
SEC.26; P.L.55-2001, SEC.2; P.L.235-2005, SEC.165.
IC 13-18-21-24
Supplemental drinking water and wastewater assistance fund;
financial assistance
Sec. 24. The authority shall develop criteria to make or provide
grants, loans, or other financial assistance from the supplemental
fund.
As added by P.L.126-1997, SEC.30. Amended by P.L.132-1999,
SEC.27; P.L.235-2005, SEC.166.
IC 13-18-21-25
Supplemental drinking water and wastewater assistance fund;
authority to make loans
Sec. 25. (a) The authority may make grants or loans or provide
other financial assistance from the supplemental fund for the benefit
of a participant under the following conditions:
(1) A grant, loan, or other financial assistance may be used:
(A) for planning, designing, acquiring, constructing,
renovating, improving, or expanding public water systems,
and other activities necessary or convenient to complete
these tasks;
(B) to:
(i) establish guaranties, reserves, or sinking funds,
including guaranties, reserves, or sinking funds to secure
and pay, in whole or in part, loans or other financial
assistance made from sources other than the fund
(including financial institutions) for a purpose permitted
by clause (A); or
(ii) provide interest subsidies;
(C) to pay financing charges, including interest on the loan
during construction and for a reasonable period after the
completion of construction; or
(D) to pay the following:
(i) Consultant, advisory, and legal fees.
(ii) Other costs or expenses necessary or incident to the
grant, loan, or other financial assistance or the
administration of the supplemental fund or the
supplemental program.
(2) The authority must establish the terms and conditions that
the authority considers necessary or convenient to make grants
or loans or provide other financial assistance under this chapter.
(b) In addition to its powers under subsection (a), the authority
may also make grants or loans or provide other financial assistance
from the supplemental fund to or for the benefit of a participant
under the following conditions:
(1) A grant, loan, or other financial assistance may be used:
(A) for planning, designing, acquiring, constructing,
renovating, improving, or expanding wastewater or storm
water collection and treatment systems, and other activities
necessary or convenient to complete these tasks;
(B) to:
(i) establish guaranties, reserves, or sinking funds,
including guaranties, reserves, or sinking funds to secure
and pay, in whole or in part, loans or other financial
assistance made from sources other than the fund
(including financial institutions) for a purpose permitted
by clause (A); or
(ii) provide interest subsidies;
(C) to pay financing charges, including interest on the loan
during construction and for a reasonable period after the
completion of construction; or
(D) to pay the following:
(i) Consultant, advisory, and legal fees.
(ii) Other costs or expenses necessary or incident to the
grant, loan, or other financial assistance or the
administration of the supplemental fund or the
supplemental program.
(2) A grant may be used for tasks associated with the
development and preparation of:
(A) long term control plans;
(B) use attainability analyses; and
(C) storm water management programs.
(3) The authority must establish the terms and conditions that
the authority considers necessary or convenient to make grants
or loans or provide other financial assistance under this chapter.
As added by P.L.126-1997, SEC.30. Amended by P.L.132-1999,
SEC.28; P.L.55-2001, SEC.3; P.L.235-2005, SEC.167.
IC 13-18-21-26
Supplemental drinking water and wastewater assistance fund;
documentation to accompany financial assistance
Sec. 26. (a) A grant, loan, or other financial assistance from the
supplemental fund must be accompanied by all papers and opinions
required by the authority.
(b) The authority may require that a loan or other financial
assistance be accompanied by the following:
(1) A certification and guarantee of signatures.
(2) A certification that, as of the date of the loan or other
financial assistance, no litigation is pending challenging the
validity of or entry into:
(A) the grant, loan, or other financial assistance; or
(B) any security for the loan or other financial assistance.
(3) Any other certifications, agreements, security, or
requirements that the authority requests.
(4) An approving opinion of nationally recognized bond
counsel.
As added by P.L.126-1997, SEC.30. Amended by P.L.132-1999,
SEC.29; P.L.235-2005, SEC.168.
IC 13-18-21-27
Supplemental drinking water and wastewater assistance fund;
financial assistance agreements
Sec. 27. A participant receiving a grant, loan, or other financial
assistance from the supplemental fund shall enter into a financial
assistance agreement. A financial assistance agreement under this
section is a valid, binding, and enforceable agreement of the
participant.
As added by P.L.126-1997, SEC.30. Amended by P.L.132-1999,
SEC.30.
IC 13-18-21-28
Supplemental drinking water and wastewater assistance fund; sale
of loans
Sec. 28. (a) The authority may sell loans or evidences of other
financial assistance and other obligations evidencing the loans or
other financial assistance from the supplemental fund:
(1) periodically;
(2) at any price; and
(3) on terms acceptable to the authority.
(b) Proceeds of sales under this section shall be deposited in the
supplemental fund, the wastewater revolving loan fund, or the fund
at the direction of the authority.
As added by P.L.126-1997, SEC.30. Amended by P.L.132-1999,
SEC.31; P.L.235-2005, SEC.169.
IC 13-18-21-29
Supplemental drinking water and wastewater assistance fund;
pledge of loans
Sec. 29. (a) The authority may pledge:
(1) loans or evidences of other financial assistance; and
(2) other obligations evidencing the loans or other financial
assistance;
from the supplemental fund to secure other loans or financial
assistance from the fund, the wastewater revolving loan fund, or the
supplemental fund for the benefit of participants.
(b) The terms of a pledge under this section must be acceptable to
the authority.
(c) Notwithstanding any other law, a pledge of property made by
the authority under this section is binding from the time the pledge
is made. Revenues, other money, or other property pledged and
thereafter received are immediately subject to the lien of the pledge
without any further act. The lien of a pledge is binding against all
parties having claims of any kind in tort, contract, or otherwise
against:
(1) the authority;
(2) the budget agency; or
(3) the supplemental fund;
regardless of whether the parties have notice of any lien.
(d) A resolution, an indenture, or other instrument by which a
pledge is created does not have to be filed or recorded, except in the
records of the authority.
(e) Action taken to:
(1) enforce a pledge under this section; and
(2) realize the benefits of the pledge;
is limited to the property pledged.
(f) A pledge under this section does not create a liability or
indebtedness of the state.
As added by P.L.126-1997, SEC.30. Amended by P.L.132-1999,
SEC.32; P.L.235-2005, SEC.170.
IC 13-18-21-30
Use of funds to secure leveraged loan or other financial assistance
in connection with wastewater revolving loan fund
Sec. 30. Notwithstanding any other law, and to the extent
permitted by the federal Safe Drinking Water Act (42 U.S.C. 300f et
seq.) and the federal Clean Water Act, money in the fund, together
with loan repayments to be deposited in the fund, may be used to
secure a leveraged loan program or other financial assistance
programs established in connection with the wastewater revolving
loan fund established by IC 13-18-13-2.
As added by P.L.104-1998, SEC.4.
IC 13-18-21-31
Criminal penalty for application misstatement
Sec. 31. A person who, with intent to defraud, knowingly or
intentionally makes a material misstatement in connection with an
application for a loan or other financial assistance from the fund
commits a Class D felony.
As added by P.L.137-2007, SEC.15.