Sec. 17. (a) This chapter does not authorize a municipality to make any contract or to incur any obligation that is not payable solely from money provided under this chapter.
(b) Money for the costs of the sewage works or any improvement of the works may be provided only:
(1) by the issuance of revenue bonds of the municipality;
(2) from a cumulative fund established by the municipality for that purpose; or
(3) by grant or loan from the federal government or any of its agencies.
(c) A municipality obtaining a loan from the federal government or a federal agency may issue its obligations under this chapter to the federal government or federal agency to evidence its indebtedness. The obligations are not a corporate indebtedness of the municipality, are payable solely from the revenues of the sewage works, and may be made of equal priority or subordinate to any other revenue bonds issued or to be issued under this chapter.
(d) Notwithstanding subsection (b), money to finance the construction of any of the self-liquidating works authorized by this chapter may be obtained from any state or federal agency.
(e) Notwithstanding subsection (b), any industrial cost recovery received by the municipality and required to be paid by industrial users under the terms of a federal grant are not considered revenues under this chapter. The municipal legislative body may use industrial cost recovery grants as provided by the terms of federal grants.
[Pre-Local Government Recodification Citations: 19-2-5-11 part; 19-2-5-12 part; 19-2-5-20 part.]
As added by Acts 1981, P.L.309, SEC.96.
Structure Indiana Code
Article 9. Transportation and Public Works
Chapter 23. Municipal Sewage Works
36-9-23-0.1. Application of Certain Amendments to Chapter
36-9-23-1. Application of Chapter
36-9-23-3. Supervision and Control
36-9-23-7. Board; Operation of Works
36-9-23-8. Board; Restoration of Works
36-9-23-9. Board; Authority Relating to Employees; Payment of Expenses
36-9-23-12.5. User Moving to New Residence; Forwarding Final Bill
36-9-23-13. Preliminary Expenses; Payment From General Fund; Repayment From Bond Proceeds
36-9-23-15. Acquisition of Property Subject to Lien or Other Encumbrance
36-9-23-19. Bonds; Actions to Contest Validity; Limitations
36-9-23-20. Bonds; Disposition of Proceeds; Lien of Holders or Trustee
36-9-23-21. Bonds; Sinking Fund
36-9-23-22. Bonds; Security by Trust Indenture Permitted; Terms of Indenture
36-9-23-23. Bonds; Enforcement Rights of Holders; Receivership
36-9-23-24. Fees; Municipality Subject to Fees of Sewage Works
36-9-23-26. Fees; Hearing; Notice; Adoption; Readjustment
36-9-23-26.1. Objections to Rates and Charges; Bonds; Hearings
36-9-23-27. Fees; Collection Upon Commencement of Construction; Amount
36-9-23-28.5. Unclaimed Overpayments of Sewer Fees Becoming Property of Municipality
36-9-23-31. Fees; Nonpayment; Delinquency Penalty; Civil Action to Recover
36-9-23-34. Liens; Foreclosure; Attorney's Fees
36-9-23-36. Municipal Powers; Areas Outside Corporate Boundaries