CHAPTER 8. INDIANA FINANCE AUTHORITY: ADDITIONAL DUTIES
IC 8-9.5-8
Chapter 8. Indiana Finance Authority: Additional Duties
IC 8-9.5-8-1
Definitions
Sec. 1. As used in this chapter:
"Authority" refers to the Indiana finance authority established
under IC 4-4-11.
"Department" refers to the Indiana department of transportation
established under IC 8-23-2.
"Toll bridge" means a bridge with approaches, avenues of access,
fills, causeways, and connecting bridges or ferries under IC 8-16-1.
"Toll road project" has the meaning specified in IC 8-15-2-4(4).
As added by P.L.109-1983, SEC.3. Amended by P.L.68-1988, SEC.5;
P.L.18-1990, SEC.104; P.L.235-2005, SEC.106.
IC 8-9.5-8-2
Repealed
(Repealed by P.L.235-2005, SEC.212.)
IC 8-9.5-8-3
Repealed
(Repealed by P.L.235-2005, SEC.212.)
IC 8-9.5-8-4
Duties
Sec. 4. (a) The authority is responsible for the construction,
reconstruction, improvement, maintenance, operation, and repair of
toll roads under IC 8-15-2 and toll bridges under IC 8-16-1.
(b) The authority shall classify as confidential any estimate of cost
prepared in conjunction with analyzing competitive bids for projects
until a contract is awarded for the work.
As added by P.L.109-1983, SEC.3. Amended by P.L.12-1984, SEC.4.
IC 8-9.5-8-4.1
Repealed
(Repealed by P.L.235-2005, SEC.212.)
IC 8-9.5-8-5
Feasibility studies
Sec. 5. (a) The authority shall study the need for and feasibility of
constructing a new toll road under IC 8-15-2 or a new toll bridge
under IC 8-16-1 only after receiving the approval of the
commissioner of the Indiana department of transportation.
(b) If a study conducted under IC 8-15-2-20 indicates that a toll
road project would have a substantial and positive impact, the
authority shall recommend to the commissioner of the Indiana
department of transportation that the toll road project be initiated.
As added by P.L.109-1983, SEC.3. Amended by P.L.68-1988, SEC.8;
P.L.112-1989, SEC.2.
IC 8-9.5-8-6
Contracts or leases; requisite provisions
Sec. 6. (a) With respect to each toll road project and each toll
bridge, the authority may enter into:
(1) a contract with the department under section 7 of this
chapter for any or all of the purposes enumerated in section 7(b)
of this chapter; or
(2) a lease with the department under section 8 of this chapter
for any or all of the purposes enumerated in section 8(b) of this
chapter.
(b) If the authority determines that the department is not
complying with a contract or lease:
(1) the authority shall reassume responsibility for the
construction, reconstruction, improvement, operation,
maintenance, and repair of the toll road project or toll bridge;
and
(2) the contract or lease shall be terminated by the authority.
(c) If the authority enters into a contract or lease with the
department as provided in subsection (a), the contract or lease must
contain, in addition to the requirements of section 7 or 8 of this
chapter, the following:
(1) A description of the toll road project or toll bridge setting
forth in general terms its principal features, such as geographic
location, terminal points, widths of rights-of-way, number of
lanes in each direction, width of traffic lanes, widths of
shoulders, location and nature of access points, tunnels,
overpasses, underpasses, interchanges, bridges, entrance plazas,
approaches, connecting highways, and tollhouses.
(2) Provisions for construction, reconstruction, or improvement
of the toll road project or toll bridge.
(3) Provisions for operation, maintenance, and repair of the toll
road project or toll bridge in accordance with any applicable
trust agreement.
(4) Provisions requiring the toll road project or the toll bridge
to be managed as a unit separate from any other district or
division of the department.
As added by P.L.109-1983, SEC.3.
IC 8-9.5-8-7
Contracts; purposes; requisite additional provisions
Sec. 7. (a) If the authority and the department decide to enter into
a contract as authorized under section 6 of this chapter for the
purposes enumerated in subsection (b), the authority and the
department shall enter into a separate contract for each toll road
project or toll bridge.
(b) The contract may be entered into for any or all of the
following purposes:
(1) The construction of the toll road project or toll bridge.
(2) The reconstruction of the toll road project or toll bridge.
(3) Improvements to the toll road project or toll bridge.
(4) The maintenance of the toll road project or toll bridge.
(5) Repairs to the toll road project or toll bridge.
(6) The operation of the toll road project or toll bridge.
(c) In addition to the provisions required to be included under
section 6 of this chapter, the contract must include the following:
(1) A provision for the collection of tolls and their deposit in a
designated depository to the account of the authority or to the
account of a trustee in accordance with any applicable trust
agreement.
(2) A provision for the purchase by the department on behalf of
the authority of property, machinery, and equipment required to
carry out the contract, along with provision that such property,
machines, and equipment:
(A) remain the property of the authority;
(B) shall be maintained by the department;
(C) shall be identified as the property of the authority;
(D) shall be used exclusively in connection with the
performance of the contract; and
(E) shall be accounted for by the department to the authority
at specified times.
(3) A provision authorizing the department to enter into
contracts with third parties for carrying out the contract and
requiring all such contracts to be in the name of the department
but performed on behalf of the authority.
(4) A provision requiring the department to:
(A) maintain records and books of account reflecting the
receipts and disbursements under the contract and the assets
of the authority relating to the toll road project or toll bridge;
and
(B) prepare or have prepared all books, records, and any
reports required to be prepared, maintained, or delivered
under any applicable trust agreement.
(5) Provisions for the payment by the authority to the
department of:
(A) the cost of construction, reconstruction, or improvement
undertaken under the contract; and
(B) the cost of maintenance, repair, and operation under the
contract.
These costs include all costs incurred by the department in the
performance of the contracts (such as salaries, wages, and
associated costs of department personnel attributable to
performance of the contract).
(6) Provisions for the payment to the department from time to
time of funds necessary to maintain a revolving fund balance of
not less than two hundred thousand dollars ($200,000) to be
used in paying costs incurred under the contract so that the
department is not required to advance funds for the cost of
performance.
(7) A provision stating that the contract is for a term of not
more than two (2) years and is extended for successive two (2)
year periods, unless either party gives notice of its intention to
terminate the contract not later than six (6) months before the
end of a two (2) year term.
(8) Such other terms and conditions as the authority and the
department consider appropriate.
As added by P.L.109-1983, SEC.3.
IC 8-9.5-8-8
Leases; purposes; requisite additional provisions
Sec. 8. (a) If the authority and the department decide to enter into
a lease as authorized under section 6 of this chapter for the purposes
enumerated in subsection (b), the authority and the department shall
enter into a separate lease for each toll road project or each toll
bridge.
(b) The lease may be entered into for any or all of the following
purposes:
(1) The construction of the toll road project or toll bridge.
(2) The reconstruction of the toll road project or toll bridge.
(3) Improvements to the toll road project or toll bridge.
(4) The maintenance of the toll road project or toll bridge.
(5) Repairs to the toll road project or toll bridge.
(6) The operation of the toll road project or toll bridge.
(7) The conversion to a toll road project of a state highway
transferred to the authority under IC 8-23-7-23.
(c) In addition to the provisions required to be included under
section 6 of this chapter, the lease must include the following:
(1) A statement that the term of the lease is for a period
coextensive with the biennium used for state budgetary and
appropriation purposes, with a fractional period when the lease
begins if necessary.
(2) A statement that the term of the lease is extended from
biennium to biennium, unless either the authority or the
department gives notice of nonextension at least six (6) months
before the end of a biennium, in which event the lease expires
at the end of the biennium in which the notice is given.
(3) A statement of all toll road bonds or toll bridge bonds of the
authority that are outstanding or that are to be issued by the
authority related to the toll road project or toll bridge for which
the lease is entered.
(4) Provisions requiring the department to pay the costs of
operating, maintaining, and repairing the toll road project or toll
bridge, including major repairs, replacements, and
improvements.
(5) Provisions requiring the department to pay rent at times and
in amounts sufficient to pay in full the debt service payable
under the terms of the toll road bonds or toll bridge bonds
issued and outstanding with respect to the toll road project or
toll bridge, including any required additions to reserves
maintained by the authority, and to pay additional rent as
provided by the lease.
(6) Provisions requiring the department to fix, impose, and
collect tolls on the toll road project or toll bridge that are at
least sufficient, together with other money available to the
department, to pay:
(A) the cost of operation, maintenance, and repair, including
major repairs, replacements, and improvements; and
(B) the rent to be paid under the lease.
However, the obligation of the department to pay the costs of
operation, maintenance, and repair of a toll road project or toll
bridge and to pay rent during the term is not limited to the tolls
collected or that should be collected by the department but is
subject only to the appropriation of funds therefore by an act of
the general assembly.
(7) Provisions requiring:
(A) tolls and other revenues collected by the department to
be segregated from all other funds under the control of the
department; and
(B) the department to make a separate accounting of all
receipts and disbursements under the lease.
(8) Provisions requiring the department to maintain all books
and records and to prepare and deliver all reports required of
the authority under the terms of any applicable trust agreement.
(9) Such other terms and conditions as the authority and the
department consider appropriate.
As added by P.L.109-1983, SEC.3. Amended by P.L.386-1987(ss),
SEC.1; P.L.18-1990, SEC.105.
IC 8-9.5-8-9
Tolls; imposition and collection
Sec. 9. The authority shall fix, impose, and collect tolls for the use
of a toll road in the manner prescribed in IC 8-15-2 and for the use
of a toll bridge in the manner prescribed by IC 8-16-1, except when
the toll road project or toll bridge is leased to the department under
section 8 of this chapter.
As added by P.L.109-1983, SEC.3.
IC 8-9.5-8-10
Toll road or toll bridge bonds authorized; limitations
Sec. 10. (a) Except as provided in section 11 of this chapter, the
authority may issue toll road bonds under IC 8-15-2 or toll bridge
bonds under IC 8-16-1 only:
(1) after obtaining the approval of the commissioner of the
Indiana department of transportation;
(2) after the general assembly has, based on the
recommendations of the commissioner of the Indiana
department of transportation, provided for the issuance of the
bonds by establishing in an act the maximum aggregate
principal amount of bonds that the authority may issue;
(3) after the authority has delivered to the budget agency a
written guarantee that the aggregate amount of attorney's fees
for the particular proposed bond issue will not exceed
two-tenths of one percent (0.2%) of the principal amount of the
proposed issue of toll road and toll bridge bonds; and
(4) with the approval of the budget committee, the budget
agency, and the governor.
(b) The authority may include money from the rural transportation
road fund as a source of revenue in the performance of contracts and
leases with the Indiana department of transportation under
IC 8-23-2-6(a)(3). Revenues from that allocation may be used in the
determination of the feasibility of a toll road or toll bridge project.
As added by P.L.109-1983, SEC.3. Amended by P.L.386-1987(ss),
SEC.2; P.L.112-1989, SEC.3.
IC 8-9.5-8-11
Issuance of additional bonds
Sec. 11. Notwithstanding section 10 of this chapter, if:
(1) a bond issue of the authority provides an amount less than
the amount necessary to complete the toll road project or the
toll bridge project for which the bonds were issued; and
(2) the trust agreement securing the bond issue provides that
additional bonds may be issued to secure additional funds to
provide the amount necessary to complete the project;
the authority may, without the approval of the parties listed in section
10 of this chapter, issue additional bonds to provide the funds
necessary to complete the project.
As added by P.L.109-1983, SEC.3.
IC 8-9.5-8-12
Repealed
(Repealed by P.L.68-1988, SEC.17.)
IC 8-9.5-8-13
Repealed
(Repealed by P.L.68-1988, SEC.17.)
IC 8-9.5-8-14
Repealed
(Repealed by P.L.68-1988, SEC.17.)
IC 8-9.5-8-15
Repealed
(Repealed by P.L.68-1988, SEC.17.)
IC 8-9.5-8-16
Rural transportation road fund
Sec. 16. (a) The rural transportation road fund is established as a
special revenue fund to be administered by the Indiana finance
authority.
(b) The money in the rural transportation road fund at the end of
any state fiscal year does not revert to any other fund.
(c) The treasurer of state may invest the money in the rural
transportation road fund in the manner provided by law for investing
money in the state general fund.
(d) The rural transportation road fund is to be used only for the
purpose of supplementing the revenues received by the Indiana
finance authority as tolls imposed for the use of any toll road or toll
bridge project.
As added by P.L.386-1987(ss), SEC.3. Amended by P.L.68-1988,
SEC.9; P.L.235-2005, SEC.107.
IC 8-9.5-8-17
Toll road assistance programs
Sec. 17. The authority shall study and implement programs to
assist in the transportation of military veterans or individuals with a
disability (as defined in IC 6-1.1-12-11) who travel on a toll road to
or from a hospital for treatment. However, a program may not be
inconsistent with the trust indenture securing the bonds of the toll
road.
As added by P.L.83-1996, SEC.1. Amended by P.L.99-2007, SEC.34.