Loading chat...
IN SB0306
Bill
AI Summary
Senate Enrolled Act No. 306 Summary
-
State and county officials must withhold and redirect payments owed to qualified entities (other than for goods/services) to a bank when the entity defaults on securities held by that bank, effective upon passage.
-
County fiscal officers must reduce revenues or property available to a qualified entity by the amount of unpaid securities and pay that amount to the bank, prioritizing local income tax distributions first under IC 6-3.6-9.
-
Applies only to securities acquired by banks on or after March 1, 2016, and does not invalidate the defaulted securities.
-
Extends the maximum maturity period for municipal securities purchased by the state treasurer from 5 years to 10 years after purchase date.
-
Allows conservancy district officers and town clerk-treasurers in specified population ranges to invest up to 25% of their portfolio in municipal and equity securities with any maturity period.
Legislative Description
Bond bank community funding. Amends the Indiana bond bank law to require the county where a qualified entity is located to pay to the bond bank, from any assets of the qualified entity that are in the custody of the county, the amount of certain securities payments that the qualified entity has failed to make. Increases from five years to 10 years the maximum maturity period applicable to municipal securities purchased by the treasurer of state.
Last Action
Public Law 47
3/21/2016