CHAPTER 20. WATER SUPPLY SYSTEMS
IC 14-33-20
Chapter 20. Water Supply Systems
IC 14-33-20-1
Applicability of chapter
Sec. 1. (a) This chapter applies only to furnishing water supply for
domestic, industrial, and public use.
(b) This chapter does not apply to the accomplishment of any
other purpose:
(1) for which a district has been established; or
(2) that is added to the purposes of the district after
establishment.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-2
"Commission" defined
Sec. 2. As used in this chapter, "commission" refers to the Indiana
utility regulatory commission.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-3
"Water facilities" and "water supply" defined
Sec. 3. As used in this chapter, "water facilities" and "water
supply" include the following:
(1) Source of supply.
(2) Treatment facilities.
(3) Purifying and storage facilities.
(4) Distribution systems.
(5) Appurtenant equipment.
(6) Materials and supplies.
(7) Land, easements, and rights-of-way.
(8) Buildings.
(9) All other facilities for the administration, operation, and
maintenance of the items described in subdivisions (1) through
(8).
As added by P.L.1-1995, SEC.26.
IC 14-33-20-4
District electing to furnish water supply for domestic, industrial,
and public use
Sec. 4. (a) A district established for the purpose of furnishing
water supply for domestic, industrial, and public use may elect to
furnish water supply under this chapter if:
(1) the district plan; or
(2) a part of or an amendment to the district plan;
so states.
(b) A district that adds the purpose of furnishing water supply for
domestic, industrial, and public use may elect in the manner provided
by subsection (a) to furnish water supply under this chapter.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-5
District as legal entity
Sec. 5. (a) A district electing to come under this chapter is
considered, with regard to activities relating to furnishing water
supply for domestic, industrial, and public use, to be a legal entity for
the following purposes:
(1) Contracting with individuals, associations, corporations,
municipal corporations, conservancy districts, the state, and the
United States for the acquisition of property.
(2) The borrowing of money, including security for
indebtedness so incurred.
(3) The purchase and sale of water.
(b) A district:
(1) may sue and be sued for the purposes described in
subsection (a); and
(2) has the rights and powers granted by this article to the extent
consistent with this chapter.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-6
Territorial authority
Sec. 6. An order of the court:
(1) establishing a district; or
(2) adding the purpose of furnishing water supply for domestic,
industrial, and public use;
grants to the district territorial authority to provide the service of
water supply within the district. Territorial authority includes the
power to acquire, maintain, and operate a source of water outside the
district.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-7
Supplying water outside territorial authority
Sec. 7. If a district proposes in:
(1) the district plan;
(2) a part of or an amendment to the district plan; or
(3) implementation of the district plan;
to provide water supply to users outside of the territory to which the
district has been granted territorial authority, the district must
petition the commission for territorial authority to serve the
additional users.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-8
Commission setting hearing; notice
Sec. 8. Upon the filing of a petition with the commission under
section 7 of this chapter, the commission shall do the following:
(1) Set the petition for public hearing.
(2) Give notice of the time and place of the hearing by
publication one (1) time in at least one (1) newspaper printed
and published in each county in which the district proposes to
carry on operations relating to furnishing water supply. The
publication must be at least ten (10) days before the date set for
hearing. The district shall pay the cost of the publication at the
time of filing the petition.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-9
Opposing petition
Sec. 9. Any interested person may:
(1) appear at the hearing under section 8 of this chapter either
in person or by attorney; and
(2) oppose the petition.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-10
Commission's findings after hearing
Sec. 10. (a) The commission shall, after hearing the evidence
introduced at the hearing under section 8 of this chapter, enter a
finding that the convenience and necessity of the public proposed to
be served in the area in which the additional users are located:
(1) will; or
(2) will not;
be served by the district.
(b) If the finding is in the affirmative, the commission shall enter
an order granting territorial authority for the area. The district shall
attach a copy of the order to:
(1) the district plan; or
(2) a part of, an amendment to, or the implementation of the
district plan;
before the district plan is submitted for approval.
(c) If the finding is in the negative, the commission shall enter an
order denying the approval to serve the additional users in the area.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-11
Municipality or public utility supplying water
Sec. 11. If:
(1) a district is established for the purpose of furnishing water
supply for domestic, industrial, and public use or that purpose
is added to a district; and
(2) there is within the boundaries of the district a municipality
or public utility providing water supply to part of the territory
within the boundaries;
the order of the court establishing the district or adding that purpose
is territorial authority only for that territory within the boundaries not
served by the municipality or public utility.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-12
Supplying water to additional users outside territorial boundaries;
jurisdiction; expenses
Sec. 12. (a) IC 14-33-4-2 does not apply to the addition of
territory to a district in any county for the purpose of supplying water
to additional users outside the territorial boundaries of the district.
The commission has exclusive jurisdiction over the granting to a
district of territorial authority to serve additional water users.
(b) For the purposes of:
(1) granting territorial authority to a district to serve additional
water users under subsection (a); and
(2) exercising the commission's jurisdiction for changes in the
rates and charges of a district under section 14 of this chapter;
the commission shall recoup its expenses under IC 8-1-2-70. For
purposes of this subsection, a district that has the purpose of water
supply and that operates under this chapter is considered a municipal
utility.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-13
Reasonable and just charges for services; rates
Sec. 13. (a) A district coming under this chapter shall furnish
reasonably adequate services and facilities. The charge made by the
district for a service provided or to be provided, either directly or
indirectly, must be nondiscriminatory, reasonable, and just. Every
discriminatory, unjust, or unreasonable charge for service is
unlawful. A reasonable and just charge for services is a charge that
produces sufficient revenue to pay all the legal and other necessary
expenses incident to the operation of the water facilities:
(1) including maintenance costs, operating charges, upkeep,
repairs, and interest charges on bonds, notes, or other evidences
of indebtedness;
(2) providing a sinking fund for the liquidation of bonds, notes,
or other evidence of indebtedness;
(3) providing adequate money to be used as working capital, as
well as money for making extensions and replacements; and
(4) paying taxes, if any, that are assessed against the water
facilities.
(b) The rates may include a reasonable profit on the investment,
so that the charges produce an income sufficient to maintain the
water facilities in a sound physical and financial condition to provide
adequate and efficient service. A rate too low to meet these
requirements is unlawful.
(c) A district and the district's board, officers, and employees:
(1) shall enforce the collection of the rates and charges; and
(2) if necessary, may discontinue water service to a water user
for the nonpayment of rates and charges.
(d) A district shall make a charge against the property in the
district for fire protection furnished by the water facilities, separate
from rates and charges for water supplied to users. The receipts from
fire protection charges are considered revenues of the water
facilities.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-14
Schedule of rates and charges; regulation
Sec. 14. A district coming under this chapter shall file the initial
schedule of rates and charges to patrons of the district with the
commission. If changes in rates and charges are necessary, the
district is subject to the jurisdiction of the commission in the same
manner as provided by statute for the regulation of rates and charges
of municipal water utilities.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-15
"Net revenues" defined
Sec. 15. (a) As used in this section, "net revenues" means gross
revenues less the reasonable cost of operation and maintenance.
(b) A district coming under this chapter may pay the costs,
including incidental expenses, of constructing or otherwise acquiring
all the works of improvement necessary to furnish water supply for
domestic, industrial, and public use by issuing bonds, notes, or other
evidences of indebtedness to be payable from revenues in the manner
provided by this article. The bonds, notes, or other evidences of
indebtedness of the district for water purposes are payable solely
from the net revenues of the water facilities. All bonds, notes,
contracts, warrants, debentures, and pledges entered into by a district
for the purposes of:
(1) this chapter; or
(2) IC 13-3-4 (before its repeal);
do not constitute an obligation payable from the collection of a
special benefits tax.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-16
Resolution authorizing bonds, notes, or other evidences of
indebtedness
Sec. 16. All bonds, notes, or other evidences of indebtedness
payable from revenues may be authorized only by resolution of the
board. The resolution, as well as the bonds, notes, or other evidences
of indebtedness issued under the resolution, is a contract with all
holders of the bonds, notes, or other evidences of indebtedness.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-17
Requirements for bonds, notes, or other evidences of indebtedness
Sec. 17. (a) All bonds, notes, or other evidences of indebtedness
that are authorized by the resolution must be in one (1) or more series
and may:
(1) bear the date;
(2) mature at a time not exceeding fifty (50) years from the date
of issuance;
(3) bear interest at any rate;
(4) be in a denomination;
(5) be in a form, either coupon or registered;
(6) carry registration and conversion privileges;
(7) be executed in the manner;
(8) be payable in the medium of payment, at the place;
(9) be subject to terms of redemption, with or without a
premium;
(10) be declared or become due before the maturity date;
(11) provide for the replacement of mutilated, destroyed, stolen,
or lost bonds, notes, or other evidences of indebtedness;
(12) be authenticated in a manner and upon compliance with
conditions; and
(13) contain other terms and covenants;
that are provided by resolution of the board.
(b) Notwithstanding the form or tenor, and in the absence of an
express recital on the face that the bond, note, or other evidence of
indebtedness is nonnegotiable, the bonds, notes, or other evidences
of indebtedness are negotiable instruments for all purposes.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-18
Execution of bonds, notes, or other evidences of indebtedness; valid
and binding obligations
Sec. 18. (a) The bonds, notes, or other evidences of indebtedness
shall be executed in the name of the district by the chairman of the
board and attested by the secretary. Interest coupons may be
executed by placing the facsimile signature of the chairman on the
coupons.
(b) The bonds, notes, or other evidences of indebtedness are valid
and binding obligations of the district for all purposes provided by
this chapter and in the resolution, even if before delivery any of the
persons whose signatures appear on the bonds, notes, or other
evidences of indebtedness have ceased to be officers of the district.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-19
Validity of authorization and issuance of bonds, notes, or other
evidences of indebtedness
Sec. 19. The validity of the authorization and issuance of the
bonds, notes, or other evidences of indebtedness is not dependent on
or affected in any way by the following:
(1) Proceedings taken for the improvement for which the bonds,
notes, or other evidences of indebtedness are to be issued.
(2) Contracts made in connection with the improvement.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-20
Recital of authority of bond, note, or other evidence of
indebtedness
Sec. 20. A resolution authorizing bonds, notes, or other evidences
of indebtedness payable from revenues must provide that a bond,
note, or other evidence of indebtedness payable from revenues
contain a recital that the bond, note, or other evidence of
indebtedness is issued under this article or under IC 13-3-3 (before
its repeal). A bond, note, or other evidence of indebtedness
containing the recital under authority of such a resolution is
conclusively considered:
(1) to be valid; and
(2) to have been issued in conformity with this article or
IC 13-3 (before its repeal).
As added by P.L.1-1995, SEC.26.
IC 14-33-20-21
Sale of bonds, notes, or other evidences of indebtedness
Sec. 21. The bonds, notes, or other evidences of indebtedness
payable from revenues:
(1) shall, except as provided in subdivision (4), be sold at public
sale as provided by general statutes concerning the sale of
bonds;
(2) may be sold at different times or an entire issue or series
may be sold at one (1) time;
(3) may be sold:
(A) in part; or
(B) in part in installments at different times or at one (1)
time; and
(4) may be sold or issued to the United States or the state
without a public offering.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-22
Bonds, notes, or other evidences of indebtedness equally and
ratably secured by lien
Sec. 22. All bonds, notes, or other evidences of indebtedness of
the same issue shall be equally and ratably secured, without priority
because of:
(1) number or date of issue;
(2) sale;
(3) execution; or
(4) delivery;
by a lien upon the revenues in accordance with this chapter and the
resolution authorizing issuance.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-23
Constitutionally restricted bonds or debts not authorized
Sec. 23. This chapter does not authorize the board to do anything
that would result in the creation of an instrument that constitutes a
bond or debt within the meaning of the constitutional restriction
relating to:
(1) the creation or incurring of a debt or indebtedness; or
(2) the issuance of an instrument constituting a bond or debt.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-24
Restrictions on bonds, notes, or other evidences of indebtedness
Sec. 24. (a) The bonds, notes, or other evidences of indebtedness,
including interest, are not any of the following:
(1) A debt of the district or the board.
(2) A charge, lien, or encumbrance, legal or equitable, upon:
(A) property of the district; or
(B) income, receipts, or revenues of the district other than
the revenues of the water facilities that have been pledged to
payment.
(b) Every bond, note, or other evidence of indebtedness must
recite in substance the following:
(1) That the bond, note, or other evidence of indebtedness,
including interest, is payable solely from the revenues pledged
to payment.
(2) That the board is not under an obligation to pay the bond,
note, or other evidence of indebtedness except from those
revenues.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-25
Bonds, notes, or other evidences of indebtedness issued for
refunding other indebtedness
Sec. 25. Bonds, notes, or other evidences of indebtedness may be
issued for refunding outstanding bonds, notes, or other evidences of
indebtedness of the district in the discretion of the board. However,
refunding may not contradict the terms of a resolution that the board
has passed authorizing the issuance of bonds, notes, or other
evidence of indebtedness sought to be refunded.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-26
District borrowing money
Sec. 26. (a) A district coming under this chapter may borrow
money for a term not to exceed two (2) years, which may be renewed
for a term of two (2) years, from a bank organized under state or
federal statutes or from a state or federal agency in anticipation of
the receipt of money from any source, including the following:
(1) Grants and loans from state or federal agencies.
(2) Money from the sale of bonds, notes, or other evidences of
indebtedness proposed to be issued under this chapter.
(b) The district may pledge the money to be received to the
repayment of the principal and interest of the borrowing.
(c) The interim financing may also be repaid from the sale of
bonds, notes, or other evidences of indebtedness without designating
the bonds, notes, or other evidences of indebtedness as refunding
obligations. The proceeds of interim financing may be used in whole
or part for the following:
(1) The acquisition of real, personal, or mixed property, or
options on real, personal, or mixed property.
(2) Services reasonably necessary to provide water supply for
domestic, industrial, and public use.
(d) Interim financing may be negotiated and consummated
directly between the district and the state or federal bank or state or
federal agency without public offering. The district may make
covenants to the lender and the lender has the rights and remedies
that are authorized by this article.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-27
Tax exemptions
Sec. 27. The:
(1) bonds, notes, or other evidences of indebtedness;
(2) proceeds from and the interest on the bonds, notes, or other
evidences of indebtedness;
(3) water property and facilities of the district; and
(4) revenues received from the furnishing of water and
providing fire protection;
are exempt from taxation by the state.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-28
Security of bonds, notes, or other evidences of indebtedness
Sec. 28. (a) To adequately secure the payment of the bonds, notes,
or other evidences of indebtedness, including interest, payable from
revenues, the board and the board's officers, agents, and employees
shall do the following:
(1) Pay punctually the principal of every bond, note, or other
evidence of indebtedness, including interest:
(A) on the date;
(B) at the place;
(C) in the manner; and
(D) out of the money mentioned in the bonds, notes, other
evidences of indebtedness, and coupons;
in accordance with the resolution authorizing issuance.
(2) Preserve and protect the security of the bonds, notes, or
other evidence of indebtedness and the rights of the holders, and
warrant and defend those rights against all claims and demands
of all persons.
(3) Hold in trust the revenues pledged to the payment of the
bonds, notes, or other evidence of indebtedness for the benefit
of the holders and apply those revenues:
(A) only as provided by the resolution authorizing issuance;
or
(B) if the resolution is modified in the manner provided in:
(i) the bonds, notes, or other evidence of indebtedness; or
(ii) this chapter;
only as provided in the resolution as modified.
(4) Keep proper books of record and accounts of the water
facilities, separate from all other records and accounts:
(A) in which complete and correct entries shall be made of
all transactions relating to the water facilities and any part of
the water facilities for which the revenues are pledged; and
(B) that, together with all other books and papers of the
board, are at all times subject to the inspection of the holder
of the bonds, notes, or other evidences of indebtedness then
outstanding or a representative of the holder authorized in
writing.
(b) This section does not require the board to expend money other
than revenues received or receivable from the water facilities.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-29
Provisions compromising parts of bonds, notes, or evidences of
indebtedness
Sec. 29. (a) The board may insert, in a resolution authorizing the
issuance of bonds, notes, or other evidences of indebtedness payable
from revenues, provisions that then comprise a part of the contract
with the holders of the bonds, notes, or other evidences of
indebtedness concerning the following:
(1) Limitations on the purpose to which the proceeds of sale of
an issue of bonds, notes, or other evidences of indebtedness
payable from revenues issued to finance the improving of the
water facilities may be applied.
(2) Limitations on the issuance of additional bonds, notes, or
other obligations to finance the improving of the water facilities
and on the lien of the water facilities.
(3) Limitations on the right of the board to restrict and regulate
the use of the water facilities.
(4) The amount and kind of insurance to be maintained on the
water facilities and the use and disposition of insurance money.
(5) Pledging all or a part of the revenues of the water facilities
to which the board's right exists.
(6) Covenanting against pledging all or a part of revenues of the
water facilities to which the board's right exists.
(7) Events of default and terms and conditions upon which any
of the bonds, notes, or other evidences of indebtedness become
or may be declared due before maturity, including the terms and
conditions upon which the declaration and the consequences of
the declaration may be waived.
(8) The rights, liabilities, powers, and duties arising if the board
breaches any covenants, conditions, or obligations.
(9) A procedure by which the terms of:
(A) a resolution authorizing bonds, notes, or other evidences
of indebtedness payable from revenues; or
(B) any other contract with the holders;
may be amended or abrogated, including the amount of bonds,
notes, or other evidences of indebtedness to which the holders
must consent and the manner in which the consent may be
given.
(10) The execution of all instruments necessary or convenient
in the following:
(A) The exercise of the powers granted by this chapter.
(B) The performance of the duties of the board and the
board's officers, agents, and employees.
(11) Refraining from pledging or in any manner claiming or
taking the benefit or advantage of a stay or extension statute
that affects the duties or covenants of the board in relation to
the following:
(A) The bonds, notes, or other evidences of indebtedness.
(B) The performance of or the lien of the bonds, notes, or
other evidences of indebtedness.
(12) The:
(A) purchase out of any money available for the purchase,
including the proceeds of bonds, notes, or other evidences of
indebtedness payable from revenues, of outstanding bonds,
notes, or other evidences of indebtedness; and
(B) price at which and the manner in which the purchases
may be made.
(13) Other acts that:
(A) are desirable to secure the bonds, notes, or other
evidences of indebtedness; or
(B) may tend to make the bonds, notes, or other evidences of
indebtedness more marketable.
(b) This section does not authorize the board to:
(1) make any covenants; or
(2) perform any act;
requiring the expenditure of money other than revenues received or
receivable from the water facilities.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-30
Application for appointment of receiver of water facilities
Sec. 30. If:
(1) the:
(A) board defaults in the payment of the principal or interest
on any of the bonds, notes, or other evidences of
indebtedness payable from revenues after the bonds, notes,
or other evidences of indebtedness have become due,
whether at maturity or upon call for redemption; and
(B) default continues for a period of thirty (30) days; or
(2) the board or the board's officers, agents, or employees:
(A) fail or refuse to comply with this chapter; or
(B) default in an agreement made with the holders of the
bonds, notes, or other evidences of indebtedness;
any holder or a trustee of a holder may apply to the circuit court with
jurisdiction in the county in which the district is primarily situated
for the appointment of a receiver of the water facilities, whether or
not the holder or trustee is seeking or has sought to enforce any other
right or remedy in connection with the bonds, notes, or other
evidences of indebtedness.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-31
Appointment of receiver of water facilities
Sec. 31. Upon an application the circuit court:
(1) may appoint; and
(2) shall appoint, if the application is made by the holders or a
trustee of the holders of twenty-five percent (25%) in principal
amount of the bonds, notes, or other evidences of indebtedness
then outstanding;
a receiver of the water facilities.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-32
Receiver taking possession of water facilities
Sec. 32. A receiver appointed under this chapter:
(1) shall directly or by the receiver's agents and attorneys enter
upon and take possession of the water facilities for which the
revenues are pledged; and
(2) may exclude:
(A) the board;
(B) the board's officers, agents, and employees; and
(C) all persons claiming under the board or the board's
officers, agents, or employees.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-33
Duties of receiver
Sec. 33. A receiver appointed under this chapter shall do the
following:
(1) Have, hold, use, operate, manage, and control the facilities.
(2) In the name of the board or otherwise, exercise all rights and
powers of the board with respect to the water facilities as the
board might do.
(3) Maintain, restore, and insure the water facilities and
periodically make all proper repairs to the facilities.
(4) Subject to the jurisdiction of the commission, establish,
levy, maintain, and collect fees, tolls, rentals, and other charges
in connection with the water facilities as are proper and
reasonable.
(5) Collect and receive all revenues, deposit the revenues in a
separate account, and apply the revenues collected and received
in the manner that the court directs.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-34
Surrender of possession of water facilities by receiver
Sec. 34. (a) Whenever:
(1) all that is due:
(A) upon the bonds, notes, or other evidences of
indebtedness payable from revenues, including interest; and
(B) upon other notes, bonds, or other obligations, including
interest, having a charge, lien, or encumbrance on the
revenues of the water facilities;
under the terms of covenants or agreements with the holders
have been paid or deposited as provided; and
(2) all defaults have been cured;
the court may, after notice and hearing that the court considers
reasonable and proper, direct the receiver to surrender possession of
the facilities to the board.
(b) The same right of the holders of the bonds, notes, or other
evidences of indebtedness to secure the appointment of a receiver
exists upon a subsequent default as provided in this chapter.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-35
Court supervision of receiver
Sec. 35. (a) A receiver appointed under this chapter:
(1) shall, in the performance of the powers conferred upon the
receiver, act under the supervision of the court making the
appointment;
(2) is at all times subject to the orders of the court; and
(3) may be removed by the court.
(b) The court may enter other orders that the court considers
appropriate for the exercise by the receiver of functions specifically
set forth in this chapter.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-36
Protection of holders or trustees
Sec. 36. Subject to contractual limitations binding upon the
holders or trustees for the holders of an issue of bonds, notes, or
other evidences of indebtedness payable from revenues, including
restrictions on the exercise of a remedy to a specified proportion of
holders, a holder or trustee of bonds, notes, or other evidences of
indebtedness may, for the equal benefit and protection of all holders
similarly situated, do the following:
(1) By mandamus or other action:
(A) enforce the rights of the holder or trustee against the
board and the board's officers, agents, and employees; and
(B) require the board or officers, agents, or employees to
perform:
(i) duties and obligations under this chapter; and
(ii) contracts with the holders.
(2) By action require the board to account as if the board was
the trustee of an express trust.
(3) By action enjoin any acts or things that:
(A) are unlawful; or
(B) in violation of the rights of the holders.
(4) Bring suit upon the bonds, notes, or other evidences of
indebtedness.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-37
Remedies
Sec. 37. (a) A remedy conferred by this chapter upon a holder or
trustee for a holder of bonds, notes, or other evidences of
indebtedness payable from revenues:
(1) is in addition to every other remedy; and
(2) may be exercised without exhausting and without regard to
any other remedy conferred by:
(A) this chapter; or
(B) any other statute.
(b) A waiver of a default or breach of duty or contract, whether by
a holder or a trustee for a holder of bonds, notes, or other evidences
of indebtedness payable from revenues, does not do any of the
following:
(1) Extend to or affect a subsequent default or breach of duty or
contract.
(2) Impair any rights or remedies.
(c) A delay or an omission of a holder or a trustee for a holder of
bonds, notes, or other evidences of indebtedness does not do any of
the following:
(1) Extend to or affect a subsequent default or breach of duty or
contract.
(2) Impair any rights or remedies.
(d) A delay or an omission of a holder or a trustee for a holder of
bonds, notes, or other evidences of indebtedness in exercising a right
or power accruing upon default:
(1) does not impair a right or power; and
(2) may not be construed to be a waiver of the default or
acquiescence in the default.
(e) Every substantive right and every remedy conferred upon the
holders of bonds, notes, or other evidences of indebtedness payable
from revenues may be enforced and exercised periodically and as
often as is expedient. If action to enforce a right or exercise a
remedy:
(1) is brought and then discontinued; or
(2) is determined adversely to the holder or trustee;
the board and the holder or trustee shall be restored to their former
positions as if an action had not been brought.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-38
Discharge of indebtedness
Sec. 38. (a) Notwithstanding any other provision of this chapter,
a district may do the following:
(1) Borrow money from the state in accordance with other
statutes.
(2) Evidence the indebtedness upon terms and conditions that
are provided in the statutes or that the state requires.
(b) A district may:
(1) pay and discharge the indebtedness from the proceeds of
bonds, notes, or other evidences of indebtedness issued under:
(A) this chapter; or
(B) IC 13-3-4 (before its repeal); or
(2) refund the indebtedness to the state;
in accordance with this chapter.
As added by P.L.1-1995, SEC.26.
IC 14-33-20-39
Liberal construction of chapter
Sec. 39. This chapter shall be liberally construed to facilitate the
financing of water supply systems of districts.
As added by P.L.1-1995, SEC.26.