IC 8-16-3.5
Chapter 3.5. Leasing of Bridges by Counties
IC 8-16-3.5-1
Contracts of lease; taxpayers' petitions
Sec. 1. (a) A county may lease a bridge and pay the lease rental
from the cumulative bridge fund and levy under IC 8-16-3.
(b) A contract of lease may not be entered into unless there is first
filed with the county executive a petition for a longer lease, signed
by fifty (50) or more taxpaying citizens of the county, and the county
executive has, after investigation, determined that a need exists for
the bridge. The total annual dollar obligation under all contracts of
lease for bridges made by a county may not exceed the county's
estimated annual revenue from a cumulative bridge fund levy of
twenty cents ($0.20) on each one hundred dollars ($100) on all
taxable personal and real property within the county.
(Formerly: Acts 1975, P.L.92, SEC.2.) As amended by P.L.86-1988,
SEC.23.
IC 8-16-3.5-2
Joint leases
Sec. 2. If two (2) or more counties propose to enter into a lease
contract jointly, then separate meetings of the county executives may
be held, but no action taken shall be binding on any county unless
approved by a majority of the county executives. Any lease contract
executed by two (2) or more counties as joint lessees shall set out the
amount of the aggregate lease rental to be paid by each county.
(Formerly: Acts 1975, P.L.92, SEC.2.) As amended by P.L.86-1988,
SEC.24.
IC 8-16-3.5-3
Corporate leases
Sec. 3. Any county may enter into a contract of lease under the
provisions of this chapter with any (profit or not-for-profit)
corporation organized under the laws of the state or duly admitted to
do business in the state.
(Formerly: Acts 1975, P.L.92, SEC.2.) As amended by P.L.86-1988,
SEC.25.
IC 8-16-3.5-4
Option to purchase bridge
Sec. 4. All contracts of lease may provide that a county has the
option to purchase the bridge before the expiration of the lease
contract, the terms and conditions of the purchase to be specified in
the lease, subject to the approval of the department of local
government finance. If the county has not exercised an option to
purchase the property covered by the lease contract at the expiration
of the lease contract, and upon the full discharge and performance by
the county of its obligations under the lease contract, the bridge
covered by the lease contract shall become the absolute property of
the county and the lessor corporation shall execute proper
instruments conveying to the county title to the property.
(Formerly: Acts 1975, P.L.92, SEC.2.) As amended by P.L.86-1988,
SEC.26; P.L.90-2002, SEC.323.
IC 8-16-3.5-5
Not-for-profit corporations proposing to build bridges; plans and
specifications
Sec. 5. Not-for-profit corporations proposing to build a bridge
may assist the lessee, before the execution of a contract of lease, in
the preparation and acquisition of plans, specifications, and estimates
for the bridge, or the lessee may prepare or otherwise acquire plans
and specifications for the bridge. All plans and specifications shall
be submitted to agencies as designated by law to pass on plans and
specifications for bridges, and the plans and specifications shall be
approved by those agencies and the lessee in writing prior to the
execution of the contract of lease.
(Formerly: Acts 1975, P.L.92, SEC.2.) As amended by P.L.86-1988,
SEC.27.
IC 8-16-3.5-5.5
Contracts with profit corporations; competitive bidding procedure
Sec. 5.5. Notwithstanding any other provision of this chapter, a
contract of lease with any profit corporation is subject to competitive
bid and may only be entered into after compliance with the
following:
(1) The lessee shall prepare and place on file in the lessee's
offices a proposed lease and complete drawings and
specifications for the bridge described in section 1 of this
chapter to include necessary equipment and appurtenances to
the equipment. The lease must be complete in its terms except
for total rental or other consideration which is subject to bid
provided for in this section.
(2) After that, the lessee shall publish a notice in accordance
with IC 5-3-1 informing the public and potential lessors of the
general nature of the lease and of the fact that the proposed
lease, drawings, and specifications are on file in the office, and
calling for sealed proposals for the contract of lease on a
specific date not earlier than ten (10) days after the first day of
publication.
(3) The lessee shall require each bidder to file with the lessee an
affidavit that the bidder has not, directly or indirectly, entered
into any combination, collusion, undertaking, or agreement with
any other bidder to maintain the price of the bid, or to prevent
any other bidder from bidding, or to induce any bidder to refrain
from bidding, and that the bid is made without regard or
reference to any other bid, and without any agreement,
understanding, or combination, either directly or indirectly,
with any other person with reference to the bidding. If, after any
contract of lease has been let by the lessee, it shall appear that
the successful bidder has been guilty of any collusion,
combination, undertaking, or agreement, as defined in the
affidavit, the bidder shall forfeit the contract of lease, and the
contract of lease shall be relet by the lessee.
(4) The lessee may, in the lessee's discretion, fix a later day for
receiving the bids, provided that the date shall be mentioned in
each of the notices.
(5) The lessee shall, if a satisfactory bid is received, let control
of the lease to the lowest and best bidder.
(6) The lessee may, by order, impose further conditions upon
bidders with regard to bond and surety, guaranteeing the good
faith and responsibility of the word provided for in the proposed
contract of lease, or insuring the faithful completion of the
terms of the proposed contract of lease, or for any other
purpose.
(Formerly: Acts 1975, P.L.92, SEC.2.) As amended by P.L.86-1988,
SEC.28.
IC 8-16-3.5-6
Contract provisions relating to taxes, assessments, and insurance;
county inspection of bridge
Sec. 6. A contract of lease may provide that as a part of the lease
rental for a bridge the lessee shall agree to pay all taxes and
assessments levied against or on account of the leased bridge and to
maintain insurance for the benefit of the lessor corporation. The
county may inspect the bridge whenever the county considers it
necessary.
(Formerly: Acts 1975, P.L.92, SEC.2.) As amended by P.L.86-1988,
SEC.29.
IC 8-16-3.5-7
Contracts of lease before completion of bridge; bond
Sec. 7. (a) A county may, in anticipation of the construction of a
bridge, make and enter into a contract of lease with the lessor
corporation subject to the approval of the department of local
government finance prior to the actual acquisition of a site and the
construction of the bridge, but the contract of lease shall not provide
for the payment of any lease rental by the lessee until the bridge is
completed and ready for use, at which time the stipulated lease rental
may begin.
(b) As a condition of entering into a lease, a county may require
a lessor corporation to furnish a bond in a specified amount
conditioned upon the completion of the bridge within a specified
period of time.
(Formerly: Acts 1975, P.L.92, SEC.2.) As amended by P.L.86-1988,
SEC.30; P.L.90-2002, SEC.324.
IC 8-16-3.5-8
Notice of proposed lease; public inspection of specifications; notice
of executed lease; taxpayer's objections; hearings; appeals
Sec. 8. (a) When the lessor corporation and the county have
agreed upon the terms and conditions of any lease proposed to be
entered into under this chapter and before the final execution of the
lease, a notice must be published in accordance with IC 5-3-1 of a
hearing before the county executive. The notice must name the day,
place, and hour of the hearing and must set forth a brief summary of
the principal terms of the lease agreed upon, including the location,
name of the proposed lessor corporation and character of the bridge
to be leased, the rental to be paid, and the number of years the
contract is to be in effect. The proposed lease, drawings, plans,
specifications, and estimates for the bridge shall be available for
inspection by the public during the ten (10) day period and at the
meeting. All interested persons shall have a right to be heard at the
time fixed, concerning the necessity for the execution of the lease
and whether the rental to the lessor corporation is a fair and
reasonable rental for the proposed bridge. The hearing may be
adjourned to a later date, and following the hearing the county
executive may either authorize the execution of the lease as
originally agreed upon or may make modifications as agreed upon
with the lessor corporation. However, the lease rentals as set out in
the published notice may not be increased. The cost of the
publication of the notice shall be borne by lessor corporations.
(b) If the execution of the lease as originally agreed upon, or as
modified by agreement, is authorized by the county executive, it shall
give notice of the execution of the contract by publication in
accordance with IC 5-3-1. Ten (10) or more taxpayers in the lessee
county affected by the proposed lease may file a petition in the office
of the county auditor of the lessee county, within thirty (30) days
after publication of notice of the execution of the lease, setting forth
their objections and facts showing that the execution of the lease is
unnecessary or unwise, or that the lease rental is not fair and
reasonable. Upon the filing of any petition, the county auditor shall
certify a copy, together with any other data as may be necessary in
order to present the questions involved, to the department of local
government finance and upon the receipt of the certified petition and
information, the department of local government finance shall fix a
time and place for the hearing in the county not less than five (5) or
more than thirty (30) days after receipt of the petition. Notice of the
hearing shall be given by the department of local government finance
to the county commissioners of the lessee county, and to the first ten
(10) taxpayer-petitioners appearing on the petition by a letter signed
by one (1) member of the department of local government finance,
and enclosed with full prepaid postage addressed to those persons at
their usual place of residence, at least five (5) days before the date of
the hearing. A:
(1) taxpayer who signed the petition; or
(2) political subdivision against which a petition is filed;
may petition for judicial review of the final determination of the
department of local government finance under this subsection. The
petition must be filed in the tax court not more than forty-five (45)
days after the date of the department's final determination.
(c) No action to contest the validity of the lease or to enjoin the
performance of any of the terms and conditions of the lease shall be
instituted at any time later than thirty (30) days after publication of
notice of the execution of the lease by the county executive or if an
appeal has been taken to the department of local government finance,
then within thirty (30) days after the decision of the department.
(Formerly: Acts 1975, P.L.92, SEC.2.) As amended by P.L.86-1988,
SEC.31; P.L.90-2002, SEC.325; P.L.256-2003, SEC.33.
IC 8-16-3.5-9
Tax exemption
Sec. 9. All bridges leased by a lessor corporation contracting with
a county under this chapter are exempt from all state, county, and
other taxes.
(Formerly: Acts 1975, P.L.92, SEC.2.) As amended by P.L.86-1988,
SEC.32.
IC 8-16-3.5-10
Repealed
(Repealed by P.L.86-1988, SEC.227.)