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*SB0347.1* February 2, 2018 SENATE BILL No. 347 _____ DIGEST OF SB 347 (Updated January 30, 2018 12:56 pm - DI 120) Citations Affected: IC 5-1; IC 14-27; IC 20-48; IC 36-3; IC 36-7; IC 36-10. Synopsis: Bonding procedures. Permits the following political subdivisions to sell bonds at a negotiated sale after June 30, 2018, and before July 1, 2021: (1) A consolidated city. (2) A second class city. (3) A school corporation located in a consolidated city or a second class city. (Current law requires a public sale of bonds.) Provides that this change does not apply to some revenue bonds that are dedicated to a limited purpose. Makes technical corrections. Effective: July 1, 2018. Bassler, Taylor G, Buck, Randolph Lonnie M January 4, 2018, read first time and referred to Committee on Tax and Fiscal Policy. February 1, 2018, amended, reported favorably — Do Pass. SB 347—LS 6958/DI 58

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*SB0347.1*

February 2, 2018

SENATE BILL No. 347_____

DIGEST OF SB 347 (Updated January 30, 2018 12:56 pm - DI 120)

Citations Affected: IC 5-1; IC 14-27; IC 20-48; IC 36-3; IC 36-7;IC 36-10.

Synopsis: Bonding procedures. Permits the following politicalsubdivisions to sell bonds at a negotiated sale after June 30, 2018, andbefore July 1, 2021: (1) A consolidated city. (2) A second class city. (3)A school corporation located in a consolidated city or a second classcity. (Current law requires a public sale of bonds.) Provides that thischange does not apply to some revenue bonds that are dedicated to alimited purpose. Makes technical corrections.

Effective: July 1, 2018.

Bassler, Taylor G, Buck,Randolph Lonnie M

January 4, 2018, read first time and referred to Committee on Tax and Fiscal Policy.February 1, 2018, amended, reported favorably — Do Pass.

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February 2, 2018

Second Regular Session 120th General Assembly (2018)

PRINTING CODE. Amendments: Whenever an existing statute (or a section of the IndianaConstitution) is being amended, the text of the existing provision will appear in this style type,additions will appear in this style type, and deletions will appear in this style type. Additions: Whenever a new statutory provision is being enacted (or a new constitutionalprovision adopted), the text of the new provision will appear in this style type. Also, theword NEW will appear in that style type in the introductory clause of each SECTION that addsa new provision to the Indiana Code or the Indiana Constitution. Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflictsbetween statutes enacted by the 2017 Regular Session of the General Assembly.

SENATE BILL No. 347

A BILL FOR AN ACT to amend the Indiana Code concerning localgovernment.

Be it enacted by the General Assembly of the State of Indiana:

1 SECTION 1. IC 5-1-6-7 IS AMENDED TO READ AS FOLLOWS2 [EFFECTIVE JULY 1, 2018]: Sec. 7. (a) The refunding bonds may be3 sold or exchanged in installments at different times, or an entire issue4 or series may be sold or exchanged at one (1) time. Any issue or series5 of refunding bonds may be exchanged in part or sold in part in6 installments at different times or at one (1) time. The refunding bonds7 may be sold or exchanged at any time, on, before, or after the maturity8 of any of the outstanding notes, bonds, or other obligations to be9 refinanced thereby. by the refunding.

10 (b) If the governing body determines to exchange any refunding11 bonds, such the refunding bonds may be exchanged privately for and12 in payment and discharge of any of the outstanding notes, bonds, or13 other obligations of the issuing body issued to finance or to aid in14 financing the acquisition, the construction, the improving, the15 refinancing, or the improving and refinancing, of an enterprise. The16 refunding bonds may be exchanged for a like or greater principal17 amount of such notes, bonds, or other obligations of the issuing body,

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1 except that the principal amount of the refunding bonds may exceed the2 principal amount of such the outstanding notes, bonds, or other3 obligations to the extent necessary or advisable, in the discretion of the4 governing body, to fund interest in arrears or about to become due. The5 holder or holders of such the outstanding notes, bonds, or other6 obligations need not pay accrued interest on the refunding bonds to be7 delivered in exchange therefor for the refunding bonds if and to the8 extent that interest is due or accrued and unpaid on such the9 outstanding notes, bonds, or other obligations to be surrendered.

10 (c) If the governing body determines to sell any refunding bonds,11 such the refunding bonds shall be sold at not less than par at:12 (1) a public sale; or13 (2) alternatively, a negotiated sale after June 30, 2018, and14 before July 1, 2021, in the case of:15 (A) a consolidated city;16 (B) a second class city; or17 (C) a school corporation located in a city described in18 clause (A) or (B);19 in such the manner and upon such the terms as that the governing20 body shall deem determines are best for the interests of the issuing21 body.22 SECTION 2. IC 5-1-11-1 IS AMENDED TO READ AS FOLLOWS23 [EFFECTIVE JULY 1, 2018]: Sec. 1. (a) Except as otherwise provided24 in this chapter or in the statute authorizing their issuance, all bonds25 issued by or in the name of counties, townships, cities, towns, school26 corporations, and special taxing districts, agencies or instrumentalities27 thereof, or by entities required to sell bonds pursuant to IC 5-1-11,28 whether the same be bonds are general obligations or issued in29 anticipation of the collection of special taxes or be are payable out of30 revenues, shall may be sold:31 (1) at a public sale; or32 (2) alternatively, at a negotiated sale after June 30, 2018, and33 before July 1, 2021, in the case of:34 (A) a consolidated city;35 (B) a second class city; or36 (C) a school corporation located in a city described in37 clause (A) or (B).38 (b) The word "bonds" as used in this chapter means any obligations39 issued by or in the name of any of the political subdivisions or bodies40 referred to in subsection (a), except obligations payable in the year in41 which they are issued, obligations issued in anticipation of the42 collection of delinquent taxes, and obligations issued in anticipation of

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1 the collection of frozen bank deposits.2 (c) Notwithstanding any of the provisions of subsection (a) or any3 of the provisions of section 2 of this chapter, any bonds may be sold to4 the federal government or any agency thereof, at private sale and5 without a public offering.6 SECTION 3. IC 5-1-11-2 IS AMENDED TO READ AS FOLLOWS7 [EFFECTIVE JULY 1, 2018]: Sec. 2. (a) Notice of sale of bonds8 required to be sold at public sale under section 1 of this chapter shall9 be published in accordance with the provisions of this chapter and

10 either IC 5-3-1 or subsection (b).11 (b) If a political subdivision or body referred to in section 1 of this12 chapter determines to sell bonds under this subsection, notice of intent13 to sell such bonds shall be published once each week for two (2) weeks14 in accordance with IC 5-3-1-4 and in a newspaper of general15 circulation published in the state capital. The notice must state that any16 person interested in submitting a bid for the bonds may furnish in17 writing to the official of the political subdivision or body responsible18 for their sale, at the address set forth in the notice, the person's name,19 address, and telephone number. The person may also furnish a telex20 number. The notice of intent to sell bonds must state:21 (1) the amount of the bonds to be offered;22 (2) the denominations;23 (3) the dates of maturity;24 (4) the maximum rate or rates of interest;25 (5) the place of sale; and26 (6) the time within which the name, address, and telephone27 number must be furnished, which must not be less than seven (7)28 days after the last publication of the notice of intent to sell.29 The official of the political subdivision or body responsible for the30 bond sale shall notify each person so registered of the date and time31 bids will be received not less than twenty-four (24) hours before the32 date and time of sale. The notification shall be made by telephone at33 the number furnished by the person, and also by telex if the person34 furnishes a telex number. Bids may not be received more than ninety35 (90) days after the first publication of the notice of intent to sell.36 (c) This chapter does not prevent the sale of bonds under the37 provisions of any statute inconsistent with this chapter so long as the38 procedures required for the sale in that statute are complied with, but39 if notice of that sale must be published, the notice shall be published in40 accordance with IC 5-3-1.41 SECTION 4. IC 5-1-11-6 IS AMENDED TO READ AS FOLLOWS42 [EFFECTIVE JULY 1, 2018]: Sec. 6. (a) In cases where other statutes

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1 authorize the issuance and exchange of new bonds for the purpose of2 refunding or redeeming outstanding bonds for the payment of which no3 funds are available, it shall be the duty of the officers charged with4 issuance and exchange of such the new bonds to cause the same bonds5 to be offered:6 (1) at a public sale as provided in this chapter; or7 (2) alternatively, at a negotiated sale after June 30, 2018, and8 before July 1, 2021, in the case of:9 (A) a consolidated city;

10 (B) a second class city; or11 (C) a school corporation located in a city described in12 clause (A) or (B).13 (b) In cases where it is necessary to provide for the refunding of14 bonds or interest coupons maturing at various times over a period not15 exceeding six (6) months, the bodies and officials charged with the16 duty of issuing and selling such the refunding bonds may, for the17 purpose of reducing the cost of issuance thereof, of the bonds, issue18 and sell one (1) issue of bonds in an amount sufficient to provide for19 the refunding of all of the bonds and interest coupons required to be20 refunded during said the six (6) months month period.21 SECTION 5. IC 14-27-6-40, AS AMENDED BY P.L.146-2008,22 SECTION 425, IS AMENDED TO READ AS FOLLOWS23 [EFFECTIVE JULY 1, 2018]: Sec. 40. The provisions of IC 5-1 and24 IC 6-1.1-20 relating to the following apply to proceedings under this25 chapter:26 (1) The filing of a petition requesting the issuance of bonds and27 giving notice of the petition.28 (2) The giving of notice of determination to issue bonds.29 (3) The giving of notice of hearing on the appropriation of the30 proceeds of bonds and the right of taxpayers to appeal and be31 heard on the proposed appropriation.32 (4) The approval of the appropriation by the department of local33 government finance.34 (5) The right of:35 (A) taxpayers and voters to remonstrate against the issuance of36 bonds in the case of a proposed bond issue described by37 IC 6-1.1-20-3.1(a); or38 (B) voters to vote on the issuance of bonds in the case of a39 proposed bond issue described by IC 6-1.1-20-3.5(a).40 (6) The sale of bonds at:41 (A) a public sale for not less than the par value; or42 (B) alternatively, a negotiated sale after June 30, 2018, and

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1 before July 1, 2021, in the case of a city described in2 section 1(1) of this chapter.3 SECTION 6. IC 20-48-1-4, AS AMENDED BY P.L.146-2008,4 SECTION 522, IS AMENDED TO READ AS FOLLOWS5 [EFFECTIVE JULY 1, 2018]: Sec. 4. (a) Bonds issued by a school6 corporation shall be sold:7 (1) at a public sale; or8 (2) alternatively, at a negotiated sale after June 30, 2018, and9 before July 1, 2021, in the case of a school corporation located

10 in:11 (A) a consolidated city; or12 (B) a second class city.13 (b) If the bonds are sold at a public sale, the bonds must be sold14 at:15 (1) not less than par value;16 (2) a public sale as provided by IC 5-1-11; and17 (3) any rate or rates of interest determined by the bidding.18 (b) (c) This subsection does not apply to bonds for which a school19 corporation:20 (1) after June 30, 2008, makes a preliminary determination as21 described in IC 6-1.1-20-3.1 or IC 6-1.1-20-3.5 or a decision as22 described in IC 6-1.1-20-5; or23 (2) in the case of bonds not subject to IC 6-1.1-20-3.1,24 IC 6-1.1-20-3.5, or IC 6-1.1-20-5, adopts a resolution or ordinance25 authorizing the bonds after June 30, 2008.26 If the net interest cost exceeds eight percent (8%) per year, the bonds27 must not be issued until the issuance is approved by the department of28 local government finance.29 SECTION 7. IC 36-3-5-8, AS AMENDED BY P.L.146-2008,30 SECTION 703, IS AMENDED TO READ AS FOLLOWS31 [EFFECTIVE JULY 1, 2018]: Sec. 8. (a) This section applies whenever32 a special taxing district of the consolidated city has the power to issue33 bonds, notes, or warrants.34 (b) Before any bonds, notes, or warrants of a special taxing district35 may be issued, the issue must be approved by resolution of the36 legislative body of the consolidated city.37 (c) Any bonds of a special taxing district must be issued in the38 manner prescribed by statute for that district, and the board of the39 department having jurisdiction over the district shall:40 (1) hold all required hearings;41 (2) adopt all necessary resolutions; and42 (3) appropriate the proceeds of the bonds;

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1 in that manner. However, the legislative body shall levy each year the2 special tax required to pay the principal of and interest on the bonds3 and any bank paying charges.4 (d) Notwithstanding any other statute, bonds of a special taxing5 district may:6 (1) be dated;7 (2) be issued in any denomination;8 (3) except as otherwise provided by IC 5-1-14-10, mature at any9 time or times not exceeding fifty (50) years after their date; and

10 (4) be payable at any bank or banks;11 as determined by the board. If the bonds are sold at a public sale, the12 interest rate or rates that the bonds will bear must be determined by13 bidding, notwithstanding IC 5-1-11-3.14 (e) Bonds of a special taxing district are subject to the provisions of15 IC 5-1 and IC 6-1.1-20 relating to the following:16 (1) The filing of a petition requesting the issuance of bonds and17 giving notice of the petition.18 (2) The giving of notice of a hearing on the appropriation of the19 proceeds of bonds.20 (3) The right of taxpayers to appear and be heard on the proposed21 appropriation.22 (4) The approval of the appropriation by the department of local23 government finance.24 (5) The right of:25 (A) taxpayers and voters to remonstrate against the issuance of26 bonds in the case of a proposed bond issue described by27 IC 6-1.1-20-3.1(a); or28 (B) voters to vote on the issuance of bonds in the case of a29 proposed bond issue described by IC 6-1.1-20-3.5(a).30 (6) The sale of bonds at a public sale or at a negotiated sale31 after June 30, 2018, and before July 1, 2021.32 (7) The maximum term or repayment period provided by33 IC 5-1-14-10.34 SECTION 8. IC 36-7-18-31 IS AMENDED TO READ AS35 FOLLOWS [EFFECTIVE JULY 1, 2018]: Sec. 31. (a) Issues of bonds,36 notes, or warrants of a housing authority must be approved by the fiscal37 body of the unit after a public hearing, with notice of the time, place,38 and purpose of the hearing given by publication in accordance with39 IC 5-3-1. The bonds, notes, or warrants must then be authorized by40 resolution of the authority.41 (b) After the bonds, notes, or warrants have been approved under42 subsection (a), they may be issued in one (1) or more series, with the:

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1 (1) dates;2 (2) maturities;3 (3) denominations;4 (4) form, either coupon or registered;5 (5) conversion or registration privileges;6 (6) rank or priority;7 (7) manner of execution;8 (8) medium of payment;9 (9) places of payment; and

10 (10) terms of redemption, with or without premium;11 provided by the resolution or its trust indenture or mortgage.12 (c) The bonds, notes, or warrants shall be sold at a public sale under13 IC 5-1-11, for not less than par value, after notice published in14 accordance with IC 5-3-1. However, they may be sold at not less than15 par value to the federal government:16 (1) at private sale without any public advertisement; or17 (2) alternatively, at a negotiated sale after July 1, 2018, and18 before June 30, 2021, in the case of a housing authority of:19 (A) a consolidated city; or20 (B) a second class city.21 (d) If any of the commissioners or officers of the housing authority22 whose signatures appear on any bonds, notes, or warrants or coupons23 cease to be commissioners or officers before the delivery, exchange, or24 substitution of the bonds, notes, or warrants, their signatures remain25 valid and sufficient for all purposes, as if they had remained in office26 until the delivery, exchange, or substitution.27 (e) Subject to provision for registration and notwithstanding any28 other law, any bonds, notes, or warrants issued under this chapter are29 fully negotiable.30 (f) In any proceedings involving the validity or enforceability of any31 bond, note, or warrant of a housing authority or of its security, if the32 instrument states that it has been issued by the authority to aid in33 financing a housing project to provide dwelling accommodations for34 persons of low income, it shall be conclusively presumed to have been35 issued for that purpose and the project shall be conclusively presumed36 to have been planned, located, and constructed in accordance with this37 chapter.38 SECTION 9. IC 36-10-3-24, AS AMENDED BY P.L.146-2008,39 SECTION 793, IS AMENDED TO READ AS FOLLOWS40 [EFFECTIVE JULY 1, 2018]: Sec. 24. (a) In order to raise money to41 pay for land to be acquired for any of the purposes named in this42 chapter, to pay for an improvement authorized by this chapter, or both,

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1 and in anticipation of the special benefit tax to be levied as provided in2 this chapter, the board shall cause to be issued, in the name of the unit,3 the bonds of the district. The bonds may not exceed in amount the total4 cost of all land to be acquired and all improvements described in the5 resolution, including all expenses necessarily incurred in connection6 with the proceedings, together with a sum sufficient to pay the costs of7 supervision and inspection during the period of construction of a work.8 The expenses to be covered in the bond issue include all expenses of9 every kind actually incurred preliminary to acquiring the land and the

10 construction of the work, such as the cost of the necessary record,11 engineering expenses, publication of notices, preparation of bonds, and12 other necessary expenses. If more than one (1) resolution or proceeding13 of the board under section 23 of this chapter is confirmed whereby14 different parcels of land are to be acquired, or more than one (1)15 contract for work is let by the board at approximately the same time,16 the cost involved under all of the resolutions and proceedings may be17 included in one (1) issue of bonds.18 (b) The bonds may be issued in any denomination not less than one19 thousand dollars ($1,000) each, in not less than five (5) nor more than20 forty (40) annual series. The bonds are payable one (1) series each21 year, beginning at a date after the receipt of taxes from a levy made for22 that purpose. The bonds are negotiable. The bonds may bear interest at23 any rate, payable semiannually. After adopting a resolution ordering24 bonds, the board shall certify a copy of the resolution to the unit's fiscal25 officer. The fiscal officer shall prepare the bonds, and the unit's26 executive shall execute them, attested by the fiscal officer.27 (c) The bonds and the interest on them are exempt from taxation as28 prescribed by IC 6-8-5-1. Bonds issued under this section are subject29 to the provisions of IC 5-1 and IC 6-1.1-20 relating to:30 (1) the filing of a petition requesting the issuance of bonds;31 (2) the right of:32 (A) taxpayers and voters to remonstrate against the issuance of33 bonds in the case of a proposed bond issue described by34 IC 6-1.1-20-3.1(a); or35 (B) voters to vote on the issuance of bonds in the case of a36 proposed bond issue described by IC 6-1.1-20-3.5(a);37 (3) the appropriation of the proceeds of the bonds and approval by38 the department of local government finance; and39 (4) the sale of bonds at:40 (A) a public sale for not less than their par value; or41 (B) a negotiated sale after June 30, 2018, and before July42 1, 2021, in the case of a board of a district in:

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1 (i) a consolidated city; or2 (ii) a second class city.3 (d) The board may not have bonds of the district issued under this4 section that are payable by special taxation when the total issue for that5 purpose, including the bonds already issued or to be issued, exceeds6 two percent (2%) of the adjusted value of the taxable property in the7 district as determined under IC 36-1-15. All bonds or obligations8 issued in violation of this subsection are void. The bonds are not9 obligations or indebtedness of the unit, but constitute an indebtedness

10 of the district as a special taxing district. The bonds and interest are11 payable only out of a special tax levied upon all the property of the12 district as prescribed by this chapter. The bonds must recite the terms13 upon their face, together with the purposes for which they are issued.14 SECTION 10. IC 36-10-3-42 IS AMENDED TO READ AS15 FOLLOWS [EFFECTIVE JULY 1, 2018]: Sec. 42. (a) The board shall16 hold a hearing as required by section 25 of this chapter. The board shall17 appropriate the proceeds of the bonds as required by law for special18 taxing district bonds.19 (b) IC 6-1.1-20-1, IC 6-1.1-20-2, and IC 6-1.1-20-5 apply to the20 issuance of the bonds.21 (c) The bonds may be sold at a public sale in accordance with22 IC 5-1-11 or may be sold at a negotiated sale.23 SECTION 11. IC 36-10-8-16, AS AMENDED BY P.L.176-2009,24 SECTION 29, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE25 JULY 1, 2018]: Sec. 16. (a) A capital improvement may be financed in26 whole or in part by the issuance of general obligation bonds of the27 county or, if the board was created under IC 18-7-18 (before its repeal28 on February 24, 1982), also of the city, if the board determines that the29 estimated annual net income of the capital improvement, plus the30 estimated annual tax revenues to be derived from any tax revenues31 made available for this purpose, will not be sufficient to satisfy and pay32 the principal of and interest on all bonds issued under this chapter,33 including the bonds then proposed to be issued.34 (b) If the board desires to finance a capital improvement in whole35 or in part as provided in this section, it shall have prepared a resolution36 to be adopted by the county executive authorizing the issuance of37 general obligation bonds, or, if the board was created under IC 18-7-1838 (before its repeal on February 24, 1982), by the fiscal body of the city39 authorizing the issuance of general obligation bonds. The resolution40 must set forth an itemization of the funds and assets received by the41 board, together with the board's valuation and certification of the cost.42 The resolution must state the date or dates on which the principal of the

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1 bonds is payable, the maximum interest rate to be paid, and the other2 terms upon which the bonds shall be issued. The board shall submit the3 proposed resolution to the proper officers, together with a certificate to4 the effect that the issuance of bonds in accordance with the resolution5 will be in compliance with this section. The certificate must also state6 the estimated annual net income of the capital improvement to be7 financed by the bonds, the estimated annual tax revenues, and the8 maximum amount payable in any year as principal and interest on the9 bonds issued under this chapter, including the bonds proposed to be

10 issued, at the maximum interest rate set forth in the resolution. The11 bonds issued may mature over a period not exceeding forty (40) years12 from the date of issue.13 (c) Upon receipt of the resolution and certificate, the proper officers14 may adopt them and take all action necessary to issue the bonds in15 accordance with the resolution. An action to contest the validity of16 bonds issued under this section and sold at a public sale may not be17 brought after the fifteenth day following the receipt of bids for the18 bonds.19 (d) The provisions of all general statutes relating to:20 (1) the filing of a petition requesting the issuance of bonds and21 giving notice;22 (2) the right of:23 (A) taxpayers and voters to remonstrate against the issuance of24 bonds in the case of a proposed bond issue described by25 IC 6-1.1-20-3.1(a); or26 (B) voters to vote on the issuance of bonds in the case of a27 proposed bond issue described by IC 6-1.1-20-3.5(a);28 (3) the giving of notice of the determination to issue bonds;29 (4) the giving of notice of a hearing on the appropriation of the30 proceeds of bonds;31 (5) the right of taxpayers to appear and be heard on the proposed32 appropriation;33 (6) the approval of the appropriation by the department of local34 government finance; and35 (7) the sale of bonds at a public sale or at a negotiated sale after36 June 30, 2018, and before July 1, 2021;37 apply to the issuance of bonds under this section.38 SECTION 12. IC 36-10-9-15, AS AMENDED BY39 P.L.182-2009(ss), SECTION 459, IS AMENDED TO READ AS40 FOLLOWS [EFFECTIVE JULY 1, 2018]: Sec. 15. (a) A capital41 improvement may be financed in whole or in part by the issuance of42 general obligation bonds of the county.

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1 (b) If the board desires to finance a capital improvement in whole2 or in part as provided in this section, it shall have prepared a resolution3 to be adopted by the board of commissioners of the county authorizing4 the issuance of general obligation bonds. The resolution must state the5 date or dates on which the principal of the bonds is payable, the6 maximum interest rate to be paid, and the other terms upon which the7 bonds shall be issued. The board shall submit the proposed resolution8 to the city-county legislative body for approval under IC 36-3-6-9,9 together with a certificate to the effect that the issuance of bonds in

10 accordance with the resolution will be in compliance with this section.11 The certificate must also state the estimated annual net income of the12 capital improvement to be financed by the bonds, the estimated annual13 tax revenues, and the maximum amount payable in any year as14 principal and interest on the bonds issued under this chapter, including15 the bonds proposed to be issued, at the maximum interest rate set forth16 in the resolution. The bonds issued may mature over a period not17 exceeding forty (40) years from the date of issue.18 (c) If the city-county legislative body approves the issuance of19 bonds under IC 36-3-6-9, the board shall submit the resolution to the20 executive of the consolidated city, who shall review the resolution. If21 the executive approves the resolution, the board shall take all action22 necessary to issue the bonds in accordance with the resolution. An23 action to contest the validity of bonds issued under this section and24 sold at a public sale may not be brought after the fifteenth day25 following the receipt of bids for the bonds.26 (d) The provisions of all general statutes relating to:27 (1) the filing of a petition requesting the issuance of bonds and28 giving notice;29 (2) the right of:30 (A) taxpayers and voters to remonstrate against the issuance of31 bonds in the case of a proposed bond issue described by32 IC 6-1.1-20-3.1(a); or33 (B) voters to vote on the issuance of bonds in the case of a34 proposed bond issue described by IC 6-1.1-20-3.5(a);35 (3) the giving of notice of the determination to issue bonds;36 (4) the giving of notice of a hearing on the appropriation of the37 proceeds of bonds;38 (5) the right of taxpayers to appear and be heard on the proposed39 appropriation;40 (6) the approval of the appropriation by the department of local41 government finance; and42 (7) the sale of bonds at a public sale for not less than par value or

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1 at a negotiated sale after June 30, 2018, and before July 1,2 2021;3 are applicable to the issuance of bonds under this section.4 SECTION 13. IC 36-10-10-20 IS AMENDED TO READ AS5 FOLLOWS [EFFECTIVE JULY 1, 2018]: Sec. 20. (a) The bonds shall6 be executed by the president of the board, and the corporate seal of the7 authority shall be affixed and attested by the secretary of the board. The8 interest coupons attached to the bonds shall be executed by placing the9 facsimile signature of the treasurer on them. The bonds shall be sold by

10 the board:11 (1) at a public sale and for not less than the par value; or12 (2) alternatively, at a negotiated sale after June 30, 2018, and13 before July 1, 2021.14 Notice of sale shall be published in accordance with IC 5-3-1.15 (b) If the bonds are sold at a public sale, the board shall award the16 bonds to the highest bidder as determined by computing the total17 interest on the bonds from the date of issue to the dates of maturity and18 deducting the premium bid, if any, unless the board determines that no19 acceptable bid has been received. In that case the sale may be20 continued from day to day, not to exceed thirty (30) days. A bid may21 not be accepted that is lower than the highest bid received at the time22 fixed for sale in the bond sale notice.23 (c) Any premium received from the sale of the bonds shall be used24 solely for the payment of principal and interest on the bonds. The board25 may also issue refunding bonds under IC 5-1-5.26 SECTION 14. IC 36-10-11-21 IS AMENDED TO READ AS27 FOLLOWS [EFFECTIVE JULY 1, 2018]: Sec. 21. (a) The bonds shall28 be executed by the president of the board, and the corporate seal of the29 authority shall be affixed and attested by the secretary of the board. The30 interest coupons attached to the bonds shall be executed by placing the31 facsimile signature of the treasurer on them. The bonds shall be sold by32 the board:33 (1) at public sale and for not less than the par value; or34 (2) alternatively, at a negotiated sale after June 30, 2018, and35 before July 1, 2021.36 Notice of sale shall be published in accordance with IC 5-3-1.37 (b) If the bonds are sold at a public sale, the board shall award the38 bonds to the highest bidder as determined by computing the total39 interest on the bonds from the date of issue to the dates of maturity and40 deducting the premium bid, if any. If the bonds are not sold on the date41 fixed for the sale, the sale may be continued from day to day until a42 satisfactory bid has been received.

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1 (c) Any premium received from the sale of the bonds shall be used2 solely for the payment of principal and interest on the bonds.3 (d) Before the preparation of definitive bonds, temporary bonds may4 under like restrictions be issued with or without coupons, exchangeable5 for definitive bonds upon the issuance of the latter. The total amount6 of bonds issued by the authority under this section, when added to any7 loan or loans negotiated under section 22 of this chapter, may not8 exceed three million dollars ($3,000,000).

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COMMITTEE REPORT

Madam President: The Senate Committee on Tax and Fiscal Policy,to which was referred Senate Bill No. 347, has had the same underconsideration and begs leave to report the same back to the Senate withthe recommendation that said bill be AMENDED as follows:

Page 1, delete lines 1 through 17, begin a new paragraph and insert:"SECTION 1. IC 5-1-6-7 IS AMENDED TO READ AS FOLLOWS

[EFFECTIVE JULY 1, 2018]: Sec. 7. (a) The refunding bonds may besold or exchanged in installments at different times, or an entire issueor series may be sold or exchanged at one (1) time. Any issue or seriesof refunding bonds may be exchanged in part or sold in part ininstallments at different times or at one (1) time. The refunding bondsmay be sold or exchanged at any time, on, before, or after the maturityof any of the outstanding notes, bonds, or other obligations to berefinanced thereby. by the refunding.

(b) If the governing body determines to exchange any refundingbonds, such the refunding bonds may be exchanged privately for andin payment and discharge of any of the outstanding notes, bonds, orother obligations of the issuing body issued to finance or to aid infinancing the acquisition, the construction, the improving, therefinancing, or the improving and refinancing, of an enterprise. Therefunding bonds may be exchanged for a like or greater principalamount of such notes, bonds, or other obligations of the issuing body,except that the principal amount of the refunding bonds may exceed theprincipal amount of such the outstanding notes, bonds, or otherobligations to the extent necessary or advisable, in the discretion of thegoverning body, to fund interest in arrears or about to become due. Theholder or holders of such the outstanding notes, bonds, or otherobligations need not pay accrued interest on the refunding bonds to bedelivered in exchange therefor for the refunding bonds if and to theextent that interest is due or accrued and unpaid on such theoutstanding notes, bonds, or other obligations to be surrendered.

(c) If the governing body determines to sell any refunding bonds,such the refunding bonds shall be sold at not less than par at:

(1) a public sale; or(2) alternatively, a negotiated sale after June 30, 2018, andbefore July 1, 2021, in the case of:

(A) a consolidated city;(B) a second class city; or(C) a school corporation located in a city described inclause (A) or (B);

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in such the manner and upon such the terms as that the governingbody shall deem determines are best for the interests of the issuingbody.

SECTION 2. IC 5-1-11-1 IS AMENDED TO READ AS FOLLOWS[EFFECTIVE JULY 1, 2018]: Sec. 1. (a) Except as otherwise providedin this chapter or in the statute authorizing their issuance, all bondsissued by or in the name of counties, townships, cities, towns, schoolcorporations, and special taxing districts, agencies or instrumentalitiesthereof, or by entities required to sell bonds pursuant to IC 5-1-11,whether the same be bonds are general obligations or issued inanticipation of the collection of special taxes or be are payable out ofrevenues, shall may be sold:

(1) at a public sale; or(2) alternatively, at a negotiated sale after June 30, 2018, andbefore July 1, 2021, in the case of:

(A) a consolidated city;(B) a second class city; or(C) a school corporation located in a city described inclause (A) or (B).

(b) The word "bonds" as used in this chapter means any obligationsissued by or in the name of any of the political subdivisions or bodiesreferred to in subsection (a), except obligations payable in the year inwhich they are issued, obligations issued in anticipation of thecollection of delinquent taxes, and obligations issued in anticipation ofthe collection of frozen bank deposits.

(c) Notwithstanding any of the provisions of subsection (a) or anyof the provisions of section 2 of this chapter, any bonds may be sold tothe federal government or any agency thereof, at private sale andwithout a public offering.

SECTION 3. IC 5-1-11-2 IS AMENDED TO READ AS FOLLOWS[EFFECTIVE JULY 1, 2018]: Sec. 2. (a) Notice of sale of bondsrequired to be sold at public sale under section 1 of this chapter shallbe published in accordance with the provisions of this chapter andeither IC 5-3-1 or subsection (b).

(b) If a political subdivision or body referred to in section 1 of thischapter determines to sell bonds under this subsection, notice of intentto sell such bonds shall be published once each week for two (2) weeksin accordance with IC 5-3-1-4 and in a newspaper of generalcirculation published in the state capital. The notice must state that anyperson interested in submitting a bid for the bonds may furnish inwriting to the official of the political subdivision or body responsiblefor their sale, at the address set forth in the notice, the person's name,

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address, and telephone number. The person may also furnish a telexnumber. The notice of intent to sell bonds must state:

(1) the amount of the bonds to be offered;(2) the denominations;(3) the dates of maturity;(4) the maximum rate or rates of interest;(5) the place of sale; and(6) the time within which the name, address, and telephonenumber must be furnished, which must not be less than seven (7)days after the last publication of the notice of intent to sell.

The official of the political subdivision or body responsible for thebond sale shall notify each person so registered of the date and timebids will be received not less than twenty-four (24) hours before thedate and time of sale. The notification shall be made by telephone atthe number furnished by the person, and also by telex if the personfurnishes a telex number. Bids may not be received more than ninety(90) days after the first publication of the notice of intent to sell.

(c) This chapter does not prevent the sale of bonds under theprovisions of any statute inconsistent with this chapter so long as theprocedures required for the sale in that statute are complied with, butif notice of that sale must be published, the notice shall be published inaccordance with IC 5-3-1.

SECTION 4. IC 5-1-11-6 IS AMENDED TO READ AS FOLLOWS[EFFECTIVE JULY 1, 2018]: Sec. 6. (a) In cases where other statutesauthorize the issuance and exchange of new bonds for the purpose ofrefunding or redeeming outstanding bonds for the payment of which nofunds are available, it shall be the duty of the officers charged withissuance and exchange of such the new bonds to cause the same bondsto be offered:

(1) at a public sale as provided in this chapter; or(2) alternatively, at a negotiated sale after June 30, 2018, andbefore July 1, 2021, in the case of:

(A) a consolidated city;(B) a second class city; or(C) a school corporation located in a city described inclause (A) or (B).

(b) In cases where it is necessary to provide for the refunding ofbonds or interest coupons maturing at various times over a period notexceeding six (6) months, the bodies and officials charged with theduty of issuing and selling such the refunding bonds may, for thepurpose of reducing the cost of issuance thereof, of the bonds, issueand sell one (1) issue of bonds in an amount sufficient to provide for

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the refunding of all of the bonds and interest coupons required to berefunded during said the six (6) months month period.

SECTION 5. IC 14-27-6-40, AS AMENDED BY P.L.146-2008,SECTION 425, IS AMENDED TO READ AS FOLLOWS[EFFECTIVE JULY 1, 2018]: Sec. 40. The provisions of IC 5-1 andIC 6-1.1-20 relating to the following apply to proceedings under thischapter:

(1) The filing of a petition requesting the issuance of bonds andgiving notice of the petition.(2) The giving of notice of determination to issue bonds.(3) The giving of notice of hearing on the appropriation of theproceeds of bonds and the right of taxpayers to appeal and beheard on the proposed appropriation.(4) The approval of the appropriation by the department of localgovernment finance.(5) The right of:

(A) taxpayers and voters to remonstrate against the issuance ofbonds in the case of a proposed bond issue described byIC 6-1.1-20-3.1(a); or(B) voters to vote on the issuance of bonds in the case of aproposed bond issue described by IC 6-1.1-20-3.5(a).

(6) The sale of bonds at:(A) a public sale for not less than the par value; or(B) alternatively, a negotiated sale after June 30, 2018, andbefore July 1, 2021, in the case of a city described insection 1(1) of this chapter.

SECTION 6. IC 20-48-1-4, AS AMENDED BY P.L.146-2008,SECTION 522, IS AMENDED TO READ AS FOLLOWS[EFFECTIVE JULY 1, 2018]: Sec. 4. (a) Bonds issued by a schoolcorporation shall be sold:

(1) at a public sale; or(2) alternatively, at a negotiated sale after June 30, 2018, andbefore July 1, 2021, in the case of a school corporation locatedin:

(A) a consolidated city; or(B) a second class city.

(b) If the bonds are sold at a public sale, the bonds must be soldat:

(1) not less than par value;(2) a public sale as provided by IC 5-1-11; and(3) any rate or rates of interest determined by the bidding.

(b) (c) This subsection does not apply to bonds for which a school

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corporation:(1) after June 30, 2008, makes a preliminary determination asdescribed in IC 6-1.1-20-3.1 or IC 6-1.1-20-3.5 or a decision asdescribed in IC 6-1.1-20-5; or(2) in the case of bonds not subject to IC 6-1.1-20-3.1,IC 6-1.1-20-3.5, or IC 6-1.1-20-5, adopts a resolution or ordinanceauthorizing the bonds after June 30, 2008.

If the net interest cost exceeds eight percent (8%) per year, the bondsmust not be issued until the issuance is approved by the department oflocal government finance.

SECTION 7. IC 36-3-5-8, AS AMENDED BY P.L.146-2008,SECTION 703, IS AMENDED TO READ AS FOLLOWS[EFFECTIVE JULY 1, 2018]: Sec. 8. (a) This section applies whenevera special taxing district of the consolidated city has the power to issuebonds, notes, or warrants.

(b) Before any bonds, notes, or warrants of a special taxing districtmay be issued, the issue must be approved by resolution of thelegislative body of the consolidated city.

(c) Any bonds of a special taxing district must be issued in themanner prescribed by statute for that district, and the board of thedepartment having jurisdiction over the district shall:

(1) hold all required hearings;(2) adopt all necessary resolutions; and(3) appropriate the proceeds of the bonds;

in that manner. However, the legislative body shall levy each year thespecial tax required to pay the principal of and interest on the bondsand any bank paying charges.

(d) Notwithstanding any other statute, bonds of a special taxingdistrict may:

(1) be dated;(2) be issued in any denomination;(3) except as otherwise provided by IC 5-1-14-10, mature at anytime or times not exceeding fifty (50) years after their date; and(4) be payable at any bank or banks;

as determined by the board. If the bonds are sold at a public sale, theinterest rate or rates that the bonds will bear must be determined bybidding, notwithstanding IC 5-1-11-3.

(e) Bonds of a special taxing district are subject to the provisions ofIC 5-1 and IC 6-1.1-20 relating to the following:

(1) The filing of a petition requesting the issuance of bonds andgiving notice of the petition.(2) The giving of notice of a hearing on the appropriation of the

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proceeds of bonds.(3) The right of taxpayers to appear and be heard on the proposedappropriation.(4) The approval of the appropriation by the department of localgovernment finance.(5) The right of:

(A) taxpayers and voters to remonstrate against the issuance ofbonds in the case of a proposed bond issue described byIC 6-1.1-20-3.1(a); or(B) voters to vote on the issuance of bonds in the case of aproposed bond issue described by IC 6-1.1-20-3.5(a).

(6) The sale of bonds at a public sale or at a negotiated saleafter June 30, 2018, and before July 1, 2021.(7) The maximum term or repayment period provided byIC 5-1-14-10.

SECTION 8. IC 36-7-18-31 IS AMENDED TO READ ASFOLLOWS [EFFECTIVE JULY 1, 2018]: Sec. 31. (a) Issues of bonds,notes, or warrants of a housing authority must be approved by the fiscalbody of the unit after a public hearing, with notice of the time, place,and purpose of the hearing given by publication in accordance withIC 5-3-1. The bonds, notes, or warrants must then be authorized byresolution of the authority.

(b) After the bonds, notes, or warrants have been approved undersubsection (a), they may be issued in one (1) or more series, with the:

(1) dates;(2) maturities;(3) denominations;(4) form, either coupon or registered;(5) conversion or registration privileges;(6) rank or priority;(7) manner of execution;(8) medium of payment;(9) places of payment; and(10) terms of redemption, with or without premium;

provided by the resolution or its trust indenture or mortgage.(c) The bonds, notes, or warrants shall be sold at a public sale under

IC 5-1-11, for not less than par value, after notice published inaccordance with IC 5-3-1. However, they may be sold at not less thanpar value to the federal government:

(1) at private sale without any public advertisement; or(2) alternatively, at a negotiated sale after July 1, 2018, andbefore June 30, 2021, in the case of a housing authority of:

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(A) a consolidated city; or(B) a second class city.

(d) If any of the commissioners or officers of the housing authoritywhose signatures appear on any bonds, notes, or warrants or couponscease to be commissioners or officers before the delivery, exchange, orsubstitution of the bonds, notes, or warrants, their signatures remainvalid and sufficient for all purposes, as if they had remained in officeuntil the delivery, exchange, or substitution.

(e) Subject to provision for registration and notwithstanding anyother law, any bonds, notes, or warrants issued under this chapter arefully negotiable.

(f) In any proceedings involving the validity or enforceability of anybond, note, or warrant of a housing authority or of its security, if theinstrument states that it has been issued by the authority to aid infinancing a housing project to provide dwelling accommodations forpersons of low income, it shall be conclusively presumed to have beenissued for that purpose and the project shall be conclusively presumedto have been planned, located, and constructed in accordance with thischapter.

SECTION 9. IC 36-10-3-24, AS AMENDED BY P.L.146-2008,SECTION 793, IS AMENDED TO READ AS FOLLOWS[EFFECTIVE JULY 1, 2018]: Sec. 24. (a) In order to raise money topay for land to be acquired for any of the purposes named in thischapter, to pay for an improvement authorized by this chapter, or both,and in anticipation of the special benefit tax to be levied as provided inthis chapter, the board shall cause to be issued, in the name of the unit,the bonds of the district. The bonds may not exceed in amount the totalcost of all land to be acquired and all improvements described in theresolution, including all expenses necessarily incurred in connectionwith the proceedings, together with a sum sufficient to pay the costs ofsupervision and inspection during the period of construction of a work.The expenses to be covered in the bond issue include all expenses ofevery kind actually incurred preliminary to acquiring the land and theconstruction of the work, such as the cost of the necessary record,engineering expenses, publication of notices, preparation of bonds, andother necessary expenses. If more than one (1) resolution or proceedingof the board under section 23 of this chapter is confirmed wherebydifferent parcels of land are to be acquired, or more than one (1)contract for work is let by the board at approximately the same time,the cost involved under all of the resolutions and proceedings may beincluded in one (1) issue of bonds.

(b) The bonds may be issued in any denomination not less than one

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thousand dollars ($1,000) each, in not less than five (5) nor more thanforty (40) annual series. The bonds are payable one (1) series eachyear, beginning at a date after the receipt of taxes from a levy made forthat purpose. The bonds are negotiable. The bonds may bear interest atany rate, payable semiannually. After adopting a resolution orderingbonds, the board shall certify a copy of the resolution to the unit's fiscalofficer. The fiscal officer shall prepare the bonds, and the unit'sexecutive shall execute them, attested by the fiscal officer.

(c) The bonds and the interest on them are exempt from taxation asprescribed by IC 6-8-5-1. Bonds issued under this section are subjectto the provisions of IC 5-1 and IC 6-1.1-20 relating to:

(1) the filing of a petition requesting the issuance of bonds;(2) the right of:

(A) taxpayers and voters to remonstrate against the issuance ofbonds in the case of a proposed bond issue described byIC 6-1.1-20-3.1(a); or(B) voters to vote on the issuance of bonds in the case of aproposed bond issue described by IC 6-1.1-20-3.5(a);

(3) the appropriation of the proceeds of the bonds and approval bythe department of local government finance; and(4) the sale of bonds at:

(A) a public sale for not less than their par value; or(B) a negotiated sale after June 30, 2018, and before July1, 2021, in the case of a board of a district in:

(i) a consolidated city; or(ii) a second class city.

(d) The board may not have bonds of the district issued under thissection that are payable by special taxation when the total issue for thatpurpose, including the bonds already issued or to be issued, exceedstwo percent (2%) of the adjusted value of the taxable property in thedistrict as determined under IC 36-1-15. All bonds or obligationsissued in violation of this subsection are void. The bonds are notobligations or indebtedness of the unit, but constitute an indebtednessof the district as a special taxing district. The bonds and interest arepayable only out of a special tax levied upon all the property of thedistrict as prescribed by this chapter. The bonds must recite the termsupon their face, together with the purposes for which they are issued.".

Delete pages 2 through 7.Page 8, delete lines 1 through 27.Page 8, delete lines 37 through 42, begin a new paragraph and

insert:"SECTION 11. IC 36-10-8-16, AS AMENDED BY P.L.176-2009,

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SECTION 29, IS AMENDED TO READ AS FOLLOWS [EFFECTIVEJULY 1, 2018]: Sec. 16. (a) A capital improvement may be financed inwhole or in part by the issuance of general obligation bonds of thecounty or, if the board was created under IC 18-7-18 (before its repealon February 24, 1982), also of the city, if the board determines that theestimated annual net income of the capital improvement, plus theestimated annual tax revenues to be derived from any tax revenuesmade available for this purpose, will not be sufficient to satisfy and paythe principal of and interest on all bonds issued under this chapter,including the bonds then proposed to be issued.

(b) If the board desires to finance a capital improvement in wholeor in part as provided in this section, it shall have prepared a resolutionto be adopted by the county executive authorizing the issuance ofgeneral obligation bonds, or, if the board was created under IC 18-7-18(before its repeal on February 24, 1982), by the fiscal body of the cityauthorizing the issuance of general obligation bonds. The resolutionmust set forth an itemization of the funds and assets received by theboard, together with the board's valuation and certification of the cost.The resolution must state the date or dates on which the principal of thebonds is payable, the maximum interest rate to be paid, and the otherterms upon which the bonds shall be issued. The board shall submit theproposed resolution to the proper officers, together with a certificate tothe effect that the issuance of bonds in accordance with the resolutionwill be in compliance with this section. The certificate must also statethe estimated annual net income of the capital improvement to befinanced by the bonds, the estimated annual tax revenues, and themaximum amount payable in any year as principal and interest on thebonds issued under this chapter, including the bonds proposed to beissued, at the maximum interest rate set forth in the resolution. Thebonds issued may mature over a period not exceeding forty (40) yearsfrom the date of issue.

(c) Upon receipt of the resolution and certificate, the proper officersmay adopt them and take all action necessary to issue the bonds inaccordance with the resolution. An action to contest the validity ofbonds issued under this section and sold at a public sale may not bebrought after the fifteenth day following the receipt of bids for thebonds.

(d) The provisions of all general statutes relating to:(1) the filing of a petition requesting the issuance of bonds andgiving notice;(2) the right of:

(A) taxpayers and voters to remonstrate against the issuance of

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bonds in the case of a proposed bond issue described byIC 6-1.1-20-3.1(a); or(B) voters to vote on the issuance of bonds in the case of aproposed bond issue described by IC 6-1.1-20-3.5(a);

(3) the giving of notice of the determination to issue bonds;(4) the giving of notice of a hearing on the appropriation of theproceeds of bonds;(5) the right of taxpayers to appear and be heard on the proposedappropriation;(6) the approval of the appropriation by the department of localgovernment finance; and(7) the sale of bonds at a public sale or at a negotiated sale afterJune 30, 2018, and before July 1, 2021;

apply to the issuance of bonds under this section.SECTION 12. IC 36-10-9-15, AS AMENDED BY

P.L.182-2009(ss), SECTION 459, IS AMENDED TO READ ASFOLLOWS [EFFECTIVE JULY 1, 2018]: Sec. 15. (a) A capitalimprovement may be financed in whole or in part by the issuance ofgeneral obligation bonds of the county.

(b) If the board desires to finance a capital improvement in wholeor in part as provided in this section, it shall have prepared a resolutionto be adopted by the board of commissioners of the county authorizingthe issuance of general obligation bonds. The resolution must state thedate or dates on which the principal of the bonds is payable, themaximum interest rate to be paid, and the other terms upon which thebonds shall be issued. The board shall submit the proposed resolutionto the city-county legislative body for approval under IC 36-3-6-9,together with a certificate to the effect that the issuance of bonds inaccordance with the resolution will be in compliance with this section.The certificate must also state the estimated annual net income of thecapital improvement to be financed by the bonds, the estimated annualtax revenues, and the maximum amount payable in any year asprincipal and interest on the bonds issued under this chapter, includingthe bonds proposed to be issued, at the maximum interest rate set forthin the resolution. The bonds issued may mature over a period notexceeding forty (40) years from the date of issue.

(c) If the city-county legislative body approves the issuance ofbonds under IC 36-3-6-9, the board shall submit the resolution to theexecutive of the consolidated city, who shall review the resolution. Ifthe executive approves the resolution, the board shall take all actionnecessary to issue the bonds in accordance with the resolution. Anaction to contest the validity of bonds issued under this section and

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sold at a public sale may not be brought after the fifteenth dayfollowing the receipt of bids for the bonds.

(d) The provisions of all general statutes relating to:(1) the filing of a petition requesting the issuance of bonds andgiving notice;(2) the right of:

(A) taxpayers and voters to remonstrate against the issuance ofbonds in the case of a proposed bond issue described byIC 6-1.1-20-3.1(a); or(B) voters to vote on the issuance of bonds in the case of aproposed bond issue described by IC 6-1.1-20-3.5(a);

(3) the giving of notice of the determination to issue bonds;(4) the giving of notice of a hearing on the appropriation of theproceeds of bonds;(5) the right of taxpayers to appear and be heard on the proposedappropriation;(6) the approval of the appropriation by the department of localgovernment finance; and(7) the sale of bonds at a public sale for not less than par value orat a negotiated sale after June 30, 2018, and before July 1,2021;

are applicable to the issuance of bonds under this section.SECTION 13. IC 36-10-10-20 IS AMENDED TO READ AS

FOLLOWS [EFFECTIVE JULY 1, 2018]: Sec. 20. (a) The bonds shallbe executed by the president of the board, and the corporate seal of theauthority shall be affixed and attested by the secretary of the board. Theinterest coupons attached to the bonds shall be executed by placing thefacsimile signature of the treasurer on them. The bonds shall be sold bythe board:

(1) at a public sale and for not less than the par value; or(2) alternatively, at a negotiated sale after June 30, 2018, andbefore July 1, 2021.

Notice of sale shall be published in accordance with IC 5-3-1.(b) If the bonds are sold at a public sale, the board shall award the

bonds to the highest bidder as determined by computing the totalinterest on the bonds from the date of issue to the dates of maturity anddeducting the premium bid, if any, unless the board determines that noacceptable bid has been received. In that case the sale may becontinued from day to day, not to exceed thirty (30) days. A bid maynot be accepted that is lower than the highest bid received at the timefixed for sale in the bond sale notice.

(c) Any premium received from the sale of the bonds shall be used

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solely for the payment of principal and interest on the bonds. The boardmay also issue refunding bonds under IC 5-1-5.

SECTION 14. IC 36-10-11-21 IS AMENDED TO READ ASFOLLOWS [EFFECTIVE JULY 1, 2018]: Sec. 21. (a) The bonds shallbe executed by the president of the board, and the corporate seal of theauthority shall be affixed and attested by the secretary of the board. Theinterest coupons attached to the bonds shall be executed by placing thefacsimile signature of the treasurer on them. The bonds shall be sold bythe board:

(1) at public sale and for not less than the par value; or(2) alternatively, at a negotiated sale after June 30, 2018, andbefore July 1, 2021.

Notice of sale shall be published in accordance with IC 5-3-1.(b) If the bonds are sold at a public sale, the board shall award the

bonds to the highest bidder as determined by computing the totalinterest on the bonds from the date of issue to the dates of maturity anddeducting the premium bid, if any. If the bonds are not sold on the datefixed for the sale, the sale may be continued from day to day until asatisfactory bid has been received.

(c) Any premium received from the sale of the bonds shall be usedsolely for the payment of principal and interest on the bonds.

(d) Before the preparation of definitive bonds, temporary bonds mayunder like restrictions be issued with or without coupons, exchangeablefor definitive bonds upon the issuance of the latter. The total amountof bonds issued by the authority under this section, when added to anyloan or loans negotiated under section 22 of this chapter, may notexceed three million dollars ($3,000,000).".

Delete pages 9 through 11.Page 12, delete lines 1 through 16.

and when so amended that said bill do pass.

(Reference is to SB 347 as introduced.)

HOLDMAN, Chairperson

Committee Vote: Yeas 10, Nays 0.

SB 347—LS 6958/DI 58