Sec. 11. (a) If the township in which a new town is incorporated is indebted or has outstanding unpaid bonds or other obligations at the time of the incorporation, the town is liable for and shall pay that indebtedness in the same ratio as the assessed valuation of the property in the town bears to the assessed valuation of all property in the township, as shown by the most recent assessment for taxation before the incorporation, unless the assessed property within the town is already liable for the indebtedness.
(b) The town shall pay its indebtedness under this section to the township executive. If the indebtedness consists of outstanding unpaid bonds or notes of the township, the payments to the township executive shall be made as the principal or interest on the bonds or notes becomes due.
[Pre-Local Government Recodification Citation: 18-5-10-28 part.]
As added by Acts 1980, P.L.212, SEC.4.
Structure Indiana Code
Article 5. Government of Towns
Chapter 1. Incorporation; Dissolution
36-5-1-1. Application of Chapter
36-5-1-2. Requirements of Petition to Incorporate Town
36-5-1-3. Items to Accompany Petition
36-5-1-4. Sufficiency of Petition; Plan Commission Recommendations
36-5-1-5. Public Hearing on Petition; Notice
36-5-1-6. Parties Entitled to Be Heard; Remonstrance; Dismissal of Petition
36-5-1-7. Petition to Incorporate Town Within Certain Distance of City Boundaries
36-5-1-7.1. Exemption From City Consent Requirements
36-5-1-8. County Executive Action on Petition; Public Question
36-5-1-9. Denied Petition; Resubmittal
36-5-1-11. Liability for Existing Indebtedness or Other Obligations; Payment to Township
36-5-1-11.5. Localities Considered Towns for All Purposes
36-5-1-12. Proceedings to Dissolve or Change Name; Petition, Signatures, and Reasons
36-5-1-13. Bond for Costs and Expenses
36-5-1-14. Notice of Filing of Petition and Day of Hearing
36-5-1-15. Hearing; Withdrawal of Petitioner's Name; Decision
36-5-1-16. Dissolution or Change of Name; Date of Election; Notice
36-5-1-17. Election; Ballots; Clerk's Statement of Votes Cast