&DNM.IC 4-4-10.9-1.2
&YENC.2005
&YAMD.2006
    IC 4-4-10.9-1.2 Sec. 1.2. "Affected statutes" means all statutes that grant a power to or impose a duty on the authority, including but not limited to IC 4-4-11, IC 4-4-11.4, IC 4-4-21, IC 4-13.5, IC 8-1-33, IC 8-9.5, IC 8-14.5, IC 8-15, IC 8-15.5, IC 8-16, IC 13-18-13, IC 13-18-21, IC 13-19-5, IC 14-14, and IC 15-7-5.
&HST.As added by P.L.235-2005, SEC.1. Amended by P.L.-2006, SEC.1.&EHST.

&DNM.IC 4-22-2-37.1
&YENC.1990
&YAMD.2006
    IC 4-22-2-37.1 Sec. 37.1. (a) This section applies to a rulemaking action resulting in any of the following rules:
        (1) An order adopted by the commissioner of the Indiana department of transportation under IC 9-20-1-3(d) or IC 9-21-4-7(a) and designated by the commissioner as an emergency rule.
        (2) An action taken by the director of the department of natural resources under IC 14-22-2-6(d) or IC 14-22-6-13.
        (3) An emergency temporary standard adopted by the occupational safety standards commission under IC 22-8-1.1-16.1.
        (4) An emergency rule adopted by the solid waste management board under IC 13-22-2-3 and classifying a waste as hazardous.
        (5) A rule, other than a rule described in subdivision (6), adopted by the department of financial institutions under IC 24-4.5-6-107 and declared necessary to meet an emergency.
        (6) A rule required under IC 24-4.5-1-106 that is adopted by the department of financial institutions and declared necessary to meet an emergency under IC 24-4.5-6-107.
        (7) A rule adopted by the Indiana utility regulatory commission to address an emergency under IC 8-1-2-113.
        (8) An emergency rule adopted by the state lottery commission under IC 4-30-3-9.
        (9) A rule adopted under IC 16-19-3-5 that the executive board of the state department of health declares is necessary to meet an emergency.
        (10) An emergency rule adopted by the Indiana finance authority under IC 8-21-12.
        (11) An emergency rule adopted by the insurance commissioner under IC 27-1-23-7.
        (12) An emergency rule adopted by the Indiana horse racing commission under IC 4-31-3-9.
        (13) An emergency rule adopted by the air pollution control board, the solid waste management board, or the water pollution control board under IC 13-15-4-10(4) or to comply with a deadline required by federal law, provided:
            (A) the variance procedures are included in the rules; and
            (B) permits or licenses granted during the period the emergency rule is in

effect are reviewed after the emergency rule expires.
        (14) An emergency rule adopted by the Indiana election commission under IC 3-6-4.1-14.
        (15) An emergency rule adopted by the department of natural resources under IC 14-10-2-5.
        (16) An emergency rule adopted by the Indiana gaming commission under IC 4-33-4-2, IC 4-33-4-3, or IC 4-33-4-14.
        (17) An emergency rule adopted by the alcohol and tobacco commission under IC 7.1-3-17.5, IC 7.1-3-17.7, or IC 7.1-3-20-24.4.
        (18) An emergency rule adopted by the department of financial institutions under IC 28-15-11.
        (19) An emergency rule adopted by the office of the secretary of family and social services under IC 12-8-1-12.
        (20) An emergency rule adopted by the office of the children's health insurance program under IC 12-17.6-2-11.
        (21) An emergency rule adopted by the office of Medicaid policy and planning under IC 12-15-41-15.
        (22) An emergency rule adopted by the Indiana state board of animal health under IC 15-2.1-18-21.
        (23) An emergency rule adopted by the board of directors of the Indiana education savings authority under IC 21-9-4-7.
        (24) An emergency rule adopted by the Indiana board of tax review under IC 6-1.1-4-34.
        (25) An emergency rule adopted by the department of local government finance under IC 6-1.1-4-33.
        (26) An emergency rule adopted by the boiler and pressure vessel rules board under IC 22-13-2-8(c).
        (27) An emergency rule adopted by the Indiana board of tax review under IC 6-1.1-4-37(l) or an emergency rule adopted by the department of local government finance under IC 6-1.1-4-36(j) or IC 6-1.1-22.5-20.
        (28) An emergency rule adopted by the board of the Indiana economic development corporation under IC 5-28-5-8.
        (29) A rule adopted by the department of financial institutions under IC 34-55-10-2.5.
        (30) A rule adopted by the Indiana finance authority:
            (A) under IC 8-15.5-7 approving user fees (as defined in IC 8-15.5-2-10) provided for in a public-private agreement under IC 8-15.5;
            (B) under IC 8-15-2-17.2(a)(10):
                (i) establishing enforcement procedures; and
                (ii) making assessments for failure to pay required tolls;
            (C) under IC 8-15-2-14(a)(3) authorizing the use of and establishing procedures for the implementation of the collection of user fees by electronic or other nonmanual means; or
            (D) to make other changes to existing rules related to a toll road project to accommodate the provisions of a public-private agreement under

IC 8-15.5.
    (b) The following do not apply to rules described in subsection (a):
        (1) Sections 24 through 36 of this chapter.
        (2) IC 13-14-9.
    (c) After a rule described in subsection (a) has been adopted by the agency, the agency shall submit the rule to the publisher for the assignment of a document control number. The agency shall submit the rule in the form required by section 20 of this chapter and with the documents required by section 21 of this chapter. The publisher shall determine the number of copies of the rule and other documents to be submitted under this subsection.
    (d) After the document control number has been assigned, the agency shall submit the rule to the secretary of state for filing. The agency shall submit the rule in the form required by section 20 of this chapter and with the documents required by section 21 of this chapter. The secretary of state shall determine the number of copies of the rule and other documents to be submitted under this subsection.
    (e) Subject to section 39 of this chapter, the secretary of state shall:
        (1) accept the rule for filing; and
        (2) file stamp and indicate the date and time that the rule is accepted on every duplicate original copy submitted.
    (f) A rule described in subsection (a) takes effect on the latest of the following dates:
        (1) The effective date of the statute delegating authority to the agency to adopt the rule.
        (2) The date and time that the rule is accepted for filing under subsection (e).
        (3) The effective date stated by the adopting agency in the rule.
        (4) The date of compliance with every requirement established by law as a prerequisite to the adoption or effectiveness of the rule.
    (g) Subject to subsection (h), IC 14-10-2-5, IC 14-22-2-6, IC 22-8-1.1-16.1, and IC 22-13-2-8(c), and except as provided in subsections (j), (k), and (l), a rule adopted under this section expires not later than ninety (90) days after the rule is accepted for filing under subsection (e). Except for a rule adopted under subsection (a)(13), (a)(24), (a)(25), or (a)(27), the rule may be extended by adopting another rule under this section, but only for one (1) extension period. The extension period for a rule adopted under subsection (a)(28) may not exceed the period for which the original rule was in effect. A rule adopted under subsection (a)(13) may be extended for two (2) extension periods. Subject to subsection (j), a rule adopted under subsection (a)(24), (a)(25), or (a)(27) may be extended for an unlimited number of extension periods. Except for a rule adopted under subsection (a)(13), for a rule adopted under this section to be effective after one (1) extension period, the rule must be adopted under:
        (1) sections 24 through 36 of this chapter; or
        (2) IC 13-14-9;
as applicable.
    (h) A rule described in subsection (a)(6), (a)(8), (a)(12), or (a)(29) expires on the earlier of the following dates:
        (1) The expiration date stated by the adopting agency in the rule.
        (2) The date that the rule is amended or repealed by a later rule adopted under sections 24 through 36 of this chapter or this section.
    (i) This section may not be used to readopt a rule under IC 4-22-2.5.

&DNM.IC 5-10.3-6-8.9
&YENC.2006
&YAMD.2006
    IC 5-10.3-6-8.9 Sec. 8.9. (a) This section applies when certain employees of the state in particular departmental, occupational, or other definable classifications are terminated from employment with the state as a result of:
        (1) a lease or other transfer of state property to a nongovernmental entity; or
        (2) a contractual arrangement with a nongovernmental entity to perform certain state functions.
    (b) The governor shall request coverage under this section from the board whenever an employee of the state is terminated as described in subsection (a).
    (c) The board must approve a request from the governor under subsection (b) unless approval violates subsection (k), federal or state law, or the terms of the fund.
    (d) As used in this section, "early retirement" means a member is eligible to retire with a reduced pension under IC 5-10.2-4-1, because the member:
        (1) is at least fifty (50) years of age; and
        (2) has at least fifteen (15) years of creditable service.
    (e) As used in this section, "normal retirement" means a member is eligible to retire under IC 5-10.2-4-1, because:
        (1) the member is at least sixty-five (65) years of age and has at least ten (10) years of creditable service;
        (2) the member is at least sixty (60) years of age and has at least fifteen (15) years of creditable service; or
        (3) the member's age in years plus the member's years of service is at least eighty-five (85) and the member is at least fifty-five (55) years of age.
    (f) The withdrawal of the employees described in subsection (a) from the fund is effective on a termination date established by the board. The board may not establish a termination date that occurs before all of the following have occurred:

made to the state department, agency, or other entity terminating the employees described in subsection (a).
        (3) If the sources described in subdivisions (1) and (2) do not fully fund the amounts that the state is required to contribute to the fund under subsection (i), the board shall request that the general assembly appropriate the amount necessary to fully fund the state's required contribution under subsection (i) in the next biennial state budget.
    (k) The board shall evaluate each withdrawal under this section to determine if the withdrawal affects the fund's compliance with Section 401(a) of the Internal Revenue Code of 1954, as in effect on September 1, 1974. The board may deny an employee permission to withdraw if the denial is necessary to achieve compliance with Section 401(a) of the Internal Revenue Code of 1954, as in effect on September 1, 1974.
&HST.As added by P.L.-2006, SEC.3.&EHST.

&DNM.IC 6-3.5-7-13.1
&YENC.1990
&YAMD.2006
    IC 6-3.5-7-13.1 Sec. 13.1. (a) The fiscal officer of each county, city, or town for a county in which the county economic development tax is imposed shall establish an economic development income tax fund. Except as provided in sections 23, 25, 26, and 27 of this chapter, the revenue received by a county, city, or town under this chapter shall be deposited in the unit's economic development income tax fund.
    (b) Except as provided in sections 15, 23, 25, 26, and 27 of this chapter, revenues from the county economic development income tax may be used as follows:
        (1) By a county, city, or town for economic development projects, for paying, notwithstanding any other law, under a written agreement all or a part of the interest owed by a private developer or user on a loan extended by a financial institution or other lender to the developer or user if the proceeds of the loan are or are to be used to finance an economic development project, for the retirement of bonds under section 14 of this chapter for economic development projects, for leases under section 21 of this chapter, or for leases or bonds entered into or issued prior to the date the economic development income tax was imposed if the purpose of the lease or bonds would have qualified as a purpose under this chapter at the time the lease was entered into or the bonds were issued.
        (2) By a county, city, or town for:
            (A) the construction or acquisition of, or remedial action with respect to, a capital project for which the unit is empowered to issue general obligation bonds or establish a fund under any statute listed in IC 6-1.1-18.5-9.8;
            (B) the retirement of bonds issued under any provision of Indiana law for a capital project;
            (C) the payment of lease rentals under any statute for a capital project;
            (D) contract payments to a nonprofit corporation whose primary corporate purpose is to assist government in planning and implementing economic development projects;
            (E) operating expenses of a governmental entity that plans or implements

economic development projects;
            (F) to the extent not otherwise allowed under this chapter, funding substance removal or remedial action in a designated unit; or
            (G) funding of a revolving fund established under IC 5-1-14-14.
        (3) By a county, city, or town for any lawful purpose for which money in any of its other funds may be used.
        (4) By a city or county described in IC 36-7.5-2-3(b) for making transfers required by IC 36-7.5-4-2. If the county economic development income tax rate is increased after April 30, 2005, in a county having a population of more than one hundred forty-five thousand (145,000) but less than one hundred forty-eight thousand (148,000), the first three million five hundred thousand dollars ($3,500,000) of the tax revenue that results each year from the tax rate increase shall be used by the county only to make the county's transfer required by IC 36-7.5-4-2. The first three million five hundred thousand dollars ($3,500,000) of the tax revenue that results each year from the tax rate increase shall be paid by the county treasurer to the treasurer of the northwest Indiana regional development authority under IC 36-7.5-4-2 before certified distributions are made to the county or any cities or towns in the county under this chapter from the tax revenue that results each year from the tax rate increase. In a county having a population of more than one hundred forty-five thousand (145,000) but less than one hundred forty-eight thousand (148,000), all of the tax revenue that results each year from the tax rate increase that is in excess of the first three million five hundred thousand dollars ($3,500,000) that results each year from the tax rate increase must be used by the county and cities and towns in the county for additional homestead credits under subdivision (5).
        (5) This subdivision applies only in a county having a population of more than one hundred forty-five thousand (145,000) but less than one hundred forty-eight thousand (148,000). Except as otherwise provided, the procedures and definitions in IC 6-1.1-20.9 apply to this subdivision. All of the tax revenue that results each year from a tax rate increase described in subdivision (4) that is in excess of the first three million five hundred thousand dollars ($3,500,000) that results each year from the tax rate increase must be used by the county and cities and towns in the county for additional homestead credits under this subdivision. The following apply to additional homestead credits provided under this subdivision:
            (A) The additional homestead credits must be applied uniformly to increase the homestead credit under IC 6-1.1-20.9 for homesteads in the county, city, or town.
            (B) The additional homestead credits shall be treated for all purposes as property tax levies. The additional homestead credits do not reduce the basis for determining the state property tax replacement credit under IC 6-1.1-21 or the state homestead credit under IC 6-1.1-20.9.
            (C) The additional homestead credits shall be applied to the net property taxes due on the homestead after the application of all other assessed value deductions or property tax deductions and credits that apply to the amount owed under IC 6-1.1.

Indiana regional development authority; and
                (ii) the fiscal body of the city described in IC 36-7.5-2-3(e) has adopted an ordinance under IC 36-7.5-2-3(e) providing that the city is joining the development authority.
        Revenue from the county economic development income tax may be used by a county or a city described in this subdivision for making transfers required by IC 36-7.5-4-2. In addition, if the county economic development income tax rate is increased after June 30, 2006, in the county, the first three million five hundred thousand dollars ($3,500,000) of the tax revenue that results each year from the tax rate increase shall be used by the county only to make the county's transfer required by IC 36-7.5-4-2. The first three million five hundred thousand dollars ($3,500,000) of the tax revenue that results each year from the tax rate increase shall be paid by the county treasurer to the treasurer of the northwest Indiana regional development authority under IC 36-7.5-4-2 before certified distributions are made to the county or any cities or towns in the county under this chapter from the tax revenue that results each year from the tax rate increase. All of the tax revenue that results each year from the tax rate increase that is in excess of the first three million five hundred thousand dollars ($3,500,000) that results each year from the tax rate increase must be used by the county and cities and towns in the county for additional homestead credits under subdivision (8).
        (8) This subdivision applies only to a county described in subdivision (7). Except as otherwise provided, the procedures and definitions in IC 6-1.1-20.9 apply to this subdivision. All of the tax revenue that results each year from a tax rate increase described in subdivision (7) that is in excess of the first three million five hundred thousand dollars ($3,500,000) that results each year from the tax rate increase must be used by the county and cities and towns in the county for additional homestead credits under this subdivision. The following apply to additional homestead credits provided under this subdivision:
            (A) The additional homestead credits must be applied uniformly to increase the homestead credit under IC 6-1.1-20.9 for homesteads in the county, city, or town.
            (B) The additional homestead credits shall be treated for all purposes as property tax levies. The additional homestead credits do not reduce the basis for determining the state property tax replacement credit under IC 6-1.1-21 or the state homestead credit under IC 6-1.1-20.9.
            (C) The additional homestead credits shall be applied to the net property taxes due on the homestead after the application of all other assessed value deductions or property tax deductions and credits that apply to the amount owed under IC 6-1.1.
            (D) The department of local government finance shall determine the additional homestead credit percentage for a particular year based on the amount of county economic development income tax revenue that will be used under this subdivision to provide additional homestead credits in that year.
    (c) As used in this section, an economic development project is any project that:

&DNM.IC 8-14-14
&YENC.
&YAMD.
    Chapter 14. Major Moves Construction Fund

&DNM.IC 8-14-14-1
&YENC.2006
&YAMD.2006
    IC 8-14-14-1 Sec. 1. As used in this chapter, "authority" refers to the Indiana finance authority established by IC 4-4-11-4.
&HST.As added by P.L.-2006, SEC.5.&EHST.

&DNM.IC 8-14-14-2

&DNM.IC 8-14-14-3
&YENC.2006
&YAMD.2006
    IC 8-14-14-3 Sec. 3. As used in this chapter, "fund" refers to the major moves construction fund established by section 5 of this chapter.
&HST.As added by P.L.-2006, SEC.5.&EHST.

&DNM.IC 8-14-14-4
&YENC.2006
&YAMD.2006
    IC 8-14-14-4 Sec. 4. As used in this chapter, "transportation plan" refers to the department's long range comprehensive transportation plan developed under IC 8-23-2-5.
&HST.As added by P.L.-2006, SEC.5.&EHST.

&DNM.IC 8-14-14-5
&YENC.2006
&YAMD.2006
    IC 8-14-14-5 Sec. 5. (a) The major moves construction fund is established for the purpose of:
        (1) funding projects under IC 8-15.7 or IC 8-15-3;
        (2) funding other projects in the department's transportation plan; and
        (3) funding distributions under sections 6 and 7 of this chapter.
    (b) The fund shall be administered by the department.
    (c) Notwithstanding IC 5-13, the treasurer of state shall invest the money in the fund not currently needed to meet the obligations of the fund in the same manner as money is invested by the public employees' retirement fund under IC 5-10.3-5. However, the treasurer of state may not invest the money in the fund in equity securities. The treasurer of state may contract with investment management professionals, investment advisors, and legal counsel to assist in the investment of the fund and may pay the state expenses incurred under those contracts from the fund. Interest that accrues from these investments shall be deposited in the fund.
    (d) The fund consists of the following:
        (1) Distributions to the fund from the toll road fund under IC 8-15.5-11.
        (2) Distributions to the fund from the next generation trust fund under IC 8-14-15.
        (3) Appropriations to the fund.
        (4) Gifts, grants, loans, bond proceeds, and other money received for deposit in the fund.
        (5) Revenues arising from:
            (A) a tollway under IC 8-15-3 or IC 8-23-7-22; or
            (B) a toll road under IC 8-15-2 or IC 8-23-7-23;

&DNM.IC 8-14-14-6
&YENC.2006
&YAMD.2006
    IC 8-14-14-6 Sec. 6. (a) If the authority enters into a public-private agreement concerning the Indiana Toll Road under IC 8-15.5, the auditor of state shall make the following distributions from the fund for the indicated purposes:
        (1) One hundred fifty million dollars ($150,000,000) to the treasurer of state for deposit in the motor vehicle highway account established by IC 8-14-1. Notwithstanding IC 8-14-1, on or before October 15, 2006, and on or before October 15, 2007, the auditor of state shall distribute seventy-five million dollars ($75,000,000) of the money deposited in the motor vehicle highway account under this subdivision to each of the counties, cities, and towns eligible to receive a distribution from the motor vehicle highway account under IC 8-14-1 and in the same proportion among the counties, cities, and towns as funds are distributed from the motor vehicle highway account under IC 8-14-1. The auditor of state:
            (A) shall make the distributions required by this subdivision separately from distributions required by IC 8-14-1; and
            (B) may not combine the distributions required by this subdivision with distributions required by IC 8-14-1.
        Money distributed under this subdivision may be used only for purposes that money distributed from the motor vehicle highway account may be expended under IC 8-14-1.
        (2) The following amounts to the northwest Indiana regional development authority for deposit in the development authority fund established under IC 36-7.5-4-1:
            (A) Forty million dollars ($40,000,000) during the state fiscal year beginning July 1, 2006. During the state fiscal year beginning July 1, 2006, the regional development authority must pay at least twenty million dollars ($20,000,000) of the distribution received under this clause to an airport authority that is carrying out an airport expansion project described in IC 36-7.5-2-1(2).
            (B) Eighty million dollars ($80,000,000) to be distributed in installments

of ten million dollars ($10,000,000) during the state fiscal year beginning July 1, 2007, and each of the seven (7) state fiscal years thereafter.
        However, no distributions may be made under clause (B) until the development authority's comprehensive strategic development plan prepared under IC 36-7.5-3-4 has been reviewed by the budget committee and approved by the director of the office of management and budget. In addition, no distributions may be made under clause (B) during the state fiscal years beginning July 1, 2009, July 1, 2011, and July 1, 2013, unless the budget committee has reviewed the status of the plan and any changes to the plan.
        (3) The following amounts to each of the following counties on or before September 15, 2006, for deposit in local major moves construction funds under IC 8-14-16:
            (A) Forty million dollars ($40,000,000) to each county described in IC 8-14-16-1(1) through IC 8-14-16-1(5). However, if a county described in IC 8-14-16-1(3) becomes a member of the northwest Indiana regional development authority, the distribution to that county is twenty-five million dollars ($25,000,000) instead of forty million dollars ($40,000,000).
            (B) Twenty-five million dollars ($25,000,000) to each county described in IC 8-14-16-1(6).
            (C) Fifteen million dollars ($15,000,000) to each county described in IC 8-14-16-1(7).
        (4) One hundred seventy-nine million dollars ($179,000,000) during the state fiscal year beginning July 1, 2006, to the state highway fund for use by the department for preliminary engineering, purchase of rights-of-way, or construction of highways, roads, and bridges. After review by the budget committee, and subject to the approval of the governor, the budget agency may augment this distribution from balances available in the fund.
        (5) An amount sufficient to provide for the payments owed by the authority as a result of a written agreement entered into under IC 8-15.5-7-6 to fund reductions in, or refunds of, user fees imposed on Class 2 vehicles, or to establish or replenish the reserves therefore, to the administration account of the toll road fund. The budget agency shall determine the amount of the distributions required to be made by this subdivision for each state fiscal year beginning with the state fiscal year ending June 30, 2007, and ending with the state fiscal year ending June 30, 2016.
        (6) An amount sufficient to make any payments required by IC 5-10.3-6-8.9 as a result of a public-private agreement under IC 8-15.5.
    (b) There is annually appropriated from the fund an amount sufficient to make any distributions required by subsection (a).
&HST.As added by P.L.-2006, SEC.5.&EHST.

&DNM.IC 8-14-14-7
&YENC.2006
&YAMD.2006

&DNM.IC 8-14-14-8
&YENC.2006
&YAMD.2006
    IC 8-14-14-8 Sec. 8. (a) The total amount of distributions from the fund for projects or purposes that benefit a county traversed by the Indiana Toll Road may not be less than thirty-four percent (34%) of:
        (1) the money that is transferred to the fund from the toll road fund under IC 8-15.5-11; plus
        (2) the amount initially set aside in the administration account of the toll road fund to establish an escrow account to implement a written agreement entered into under IC 8-15.5-7-6 to fund reductions in, or refunds of, user fees imposed on Class 2 vehicles.
    (b) The budget agency shall determine the amount of distributions required by this section. In making the determination, the budget agency shall include the following amounts:
        (1) Amounts distributed to counties traversed by the Indiana Toll Road under section 6(a)(1) of this chapter.
        (2) Money distributed to the northwest Indiana regional development authority under this chapter.
        (3) Money distributed under section 6(a)(3) of this chapter.
        (4) Projects carried out by the department in counties traversed by the Indiana Toll Road and funded with money distributed under section 6(a)(4)of this chapter.
        (5) The amount initially set aside in the administration account of the toll road fund to establish an escrow account to implement a written agreement entered into under IC 8-15.5-7-6 to fund reductions in, or refunds of, user fees imposed on Class 2 vehicles.
        (6) Money transferred to the administration account of the toll road fund under section 6(a)(5) of this chapter.
        (7) Payments to the public employees' retirement fund required by section 6(a)(6) of this chapter.
&HST.As added by P.L.-2006, SEC.5.&EHST.

&DNM.IC 8-14-15
&YENC.

    Chapter 15. Next Generation Trust Fund

&DNM.IC 8-14-15-1
&YENC.2006
&YAMD.2006
    IC 8-14-15-1 Sec. 1. As used in this chapter, "authority" refers to the Indiana finance authority.
&HST.As added by P.L.-2006, SEC.6.&EHST.

&DNM.IC 8-14-15-2
&YENC.2006
&YAMD.2006
    IC 8-14-15-2 Sec. 2. As used in this chapter, "trust" refers to the next generation trust fund established under this chapter.
&HST.As added by P.L.-2006, SEC.6.&EHST.

&DNM.IC 8-14-15-3
&YENC.2006
&YAMD.2006
    IC 8-14-15-3 Sec. 3. As used in this chapter, "trustee" refers to the trustee of the trust designated under section 7 of this chapter.
&HST.As added by P.L.-2006, SEC.6.&EHST.

&DNM.IC 8-14-15-4
&YENC.2006
&YAMD.2006
    IC 8-14-15-4 Sec. 4. (a) The authority shall establish a next generation trust fund to hold title to proceeds transferred to the trust under IC 8-15.5-11 to be used exclusively for the provision of highways, roads, and bridges for the benefit of the people of Indiana and the users of those facilities.
    (b) The trust shall be established as a charitable trust, separate from the state, but for the benevolent public purpose provided in this section.
    (c) The trust consists of the proceeds transferred to the trust under IC 8-15.5-11 and any income that accrues from the investment of these proceeds.
&HST.As added by P.L.-2006, SEC.6.&EHST.

&DNM.IC 8-14-15-5
&YENC.2006
&YAMD.2006
    IC 8-14-15-5 Sec. 5. The chairman of the authority shall enter into a trust agreement on behalf of the authority with the treasurer of state in conformity with IC 30-4-2-1. Any provision of the trust agreement entered into under this section that is inconsistent with the provisions or intent of this chapter is void and of no further force or effect.

&DNM.IC 8-14-15-6
&YENC.2006
&YAMD.2006
    IC 8-14-15-6 Sec. 6. A trust established under this chapter must be an irrevocable trust and may not be revoked or terminated by the authority or any other person, nor may it be amended or altered by the authority or any other person. However, the terms of the trust must provide that the trust terminates when no funds remain in the trust.
&HST.As added by P.L.-2006, SEC.6.&EHST.

&DNM.IC 8-14-15-7
&YENC.2006
&YAMD.2006
    IC 8-14-15-7 Sec. 7. The treasurer of state shall act as the trustee of the trust.
&HST.As added by P.L.-2006, SEC.6.&EHST.

&DNM.IC 8-14-15-8
&YENC.2006
&YAMD.2006
    IC 8-14-15-8 Sec. 8. (a) The trustee shall:
        (1) administer and manage the trust;
        (2) invest the money in the trust; and
        (3) deposit in the trust any interest that accrues from the investment of these funds.
    (b) Notwithstanding IC 5-13, the trustee shall invest the money in the trust not currently needed to meet the obligations of the trust in the same manner as money is invested by the public employees' retirement fund under IC 5-10.3-5. However, the trustee may not invest the money in the trust in equity securities. The trustee shall also comply with the prudent investor rule set forth in IC 30-4-3.5. The trustee may contract with investment management professionals, investment advisors, and legal counsel to assist in the investment of the trust and may pay the state expenses incurred under those contracts from the trust.
    (c) IC 4-9.1-1-8 and IC 4-9.1-1-9 do not apply to a trust established under this chapter.
    (d) Money in the trust at the end of a state fiscal year does not revert to the state general fund.
&HST.As added by P.L.-2006, SEC.6.&EHST.

&DNM.IC 8-14-15-9
&YENC.2006
&YAMD.2006
    IC 8-14-15-9 Sec. 9. IC 30-4 (trust code) applies to a trust established under this chapter.
&HST.As added by P.L.-2006, SEC.6.&EHST.

&DNM.IC 8-14-15-10
&YENC.2006

&DNM.IC 8-14-15-11
&YENC.2006
&YAMD.2006
    IC 8-14-15-11 Sec. 11. The report required under IC 30-4-5-12 is a public record. The attorney general may petition for an accounting as permitted by IC 30-4-5-12.
&HST.As added by P.L.-2006, SEC.6.&EHST.

&DNM.IC 8-14-15-12
&YENC.2006
&YAMD.2006
    IC 8-14-15-12 Sec. 12. (a) This section applies if a person does any of the following with respect to a trust created under this chapter:
        (1) Commits a breach of the trust.
        (2) Violates the mandate of the trust or trust agreement.
        (3) Violates a duty imposed by this chapter, the trust agreement, or IC 30-4.
    (b) The attorney general may petition a court to impose one (1) or more of the remedies described in IC 30-4-5.5-1.
&HST.As added by P.L.-2006, SEC.6.&EHST.

&DNM.IC 8-14-15-13
&YENC.2006
&YAMD.2006
    IC 8-14-15-13 Sec. 13. Any records, files, or documents relating to the trust may be examined by the state board of accounts at a time selected by the state board of accounts. The trustee shall upon request of the state board of accounts:
        (1) produce and submit any records, files, or documents related to the trust; and
        (2) assist in every way the state board of accounts in its work in making an examination.
&HST.As added by P.L.-2006, SEC.6.&EHST.

&DNM.IC 8-14-16
&YENC.
&YAMD.
    Chapter 16. Local Major Moves Construction Funds

&DNM.IC 8-14-16-1

&DNM.IC 8-14-16-2
&YENC.2006
&YAMD.2006
    IC 8-14-16-2 Sec. 2. As used in this chapter, "fund" refers to a local major moves construction fund established under section 4 of this chapter.
&HST.As added by P.L.-2006, SEC.7.&EHST.

&DNM.IC 8-14-16-3
&YENC.2006
&YAMD.2006
    IC 8-14-16-3 Sec. 3. Money distributed to a county described in section 1 of this chapter from the major moves construction fund under IC 8-14-14-6(a)(3) shall be distributed by the county auditor among the county and each of the cities and towns in the county that is eligible to receive a distribution from the motor vehicle highway account under IC 8-14-1, in the same proportion among the county, cities, and towns as funds are distributed from the motor vehicle highway account under IC 8-14-1.
&HST.As added by P.L.-2006, SEC.7.&EHST.

&DNM.IC 8-14-16-4
&YENC.2006
&YAMD.2006
    IC 8-14-16-4 Sec. 4. (a) Each county, city, or town that receives a distribution under section 3 of this chapter shall establish a local major moves construction fund.
    (b) The fund consists of money distributed to the county, city, or town from the major moves construction fund under section 3 of this chapter.
    (c) The fiscal officer of the county, city, or town shall administer the fund.

&DNM.IC 8-14-16-5
&YENC.2006
&YAMD.2006
    IC 8-14-16-5 Sec. 5. Money in the fund may be expended only for the following purposes:
        (1) Construction of highways, roads, and bridges.
        (2) In a county that is a member of the northwest Indiana regional development authority, or in a city or town located in such a county, any purpose for which the regional development authority may make expenditures under IC 36-7.5.
        (3) Providing funding for economic development projects (as defined in IC 6-3.5-7-13.1(c)(1) or IC 6-3.5-7-13.1(c)(2)(A) through IC 6-3.5-7-13.1(c)(2)(K)).
        (4) Matching federal grants for a purpose described in this section.
        (5) Providing funding for interlocal agreements under IC 36-1-7 for a purpose described in this section.
        (6) Providing the county's or city's contribution to the northwest Indiana regional development authority, in the case of a county described in section 1(3) of this chapter or a city described in IC 36-7.5-2-3(e).
&HST.As added by P.L.-2006, SEC.7.&EHST.

&DNM.IC 8-15-2-1
&YENC.1951
&YAMD.2006
    IC 8-15-2-1 Sec. 1. (a) In order to remove the handicaps and hazards on the congested highways in Indiana, to facilitate vehicular traffic throughout the state, to promote the agricultural and industrial development of the state, and to provide for the general welfare by the construction of modern express highways embodying safety devices, including center division, ample shoulder widths, long sight distances, multiple lanes in each direction, and grade separations at intersections with other highways and railroads, the authority may:
        (1) subject to subsection (d), construct, reconstruct, maintain, repair, and operate toll road projects at such locations as shall be approved by the governor;
        (2) in accordance with such alignment and design standards as shall be approved by the authority and subject to IC 8-9.5-8-10, issue toll road revenue bonds of the state payable solely from funds pledged for their payment, as authorized by this chapter, to pay the cost of such projects;

&DNM.IC 8-15-2-5
&YENC.1951
&YAMD.2006
    IC 8-15-2-5 Sec. 5. The authority may do the following:
        (1) Construct, maintain, repair, police, and operate toll road projects (as defined in this chapter), public improvements, and arterial streets and roads under section 1 of this chapter and establish rules for the use of any such toll road project, public improvement, or arterial street or road.
        (2) Issue toll road revenue bonds of the state, payable solely from an allocation of

money from the rural transportation road fund under IC 8-9.5-8-16 or from revenues or from the proceeds of bonds issued under this chapter and earnings thereon, or from all three (3), for the purpose of paying all or any part of the cost of any one (1) or more toll road projects or for the purpose of refunding any other toll road revenue bonds.
        (3) Establish reserves from the proceeds of the sale of bonds or from other funds, or both, to secure the payment of the bonds.
        (4) Fix and revise from time to time and charge and collect tolls for transit over each toll road project constructed by it.
        (5) Acquire in the name of the state by purchase or otherwise, on such terms and conditions and in such manner as it may deem proper, or by the exercise of the right of condemnation in the manner as provided by this chapter, such public or private lands, including public parks, playgrounds or reservations, or parts thereof or rights therein, rights-of-way, property, rights, easements, and interests, as it may deem necessary for carrying out the provisions of this chapter. The authority may also:
            (A) sell, transfer, and convey any such land or any interest therein so acquired, or any portion thereof, whether by purchase, condemnation, or otherwise, and whether such land or interest therein had been public or private, when the same shall no longer be needed for such purposes; and
            (B) transfer and convey any such lands or interest therein as may be necessary or convenient for the construction and operation of any toll road project, or as otherwise required under the provisions of this chapter to a state agency or political subdivision.
        (6) Designate the locations and establish, limit, and control such points of ingress to and egress from each toll road project as may be necessary or desirable in the judgment of the authority to ensure the proper operation and maintenance of such projects, and to prohibit entrance to such project from any point not so designated. The authority shall not grant, for the operation of transient lodging facilities, either ingress to or egress from any project, including the service areas thereof on which are located service stations and restaurants, and including toll plazas and paved portions of the right-of-way. The authority shall cause to be erected, at its cost, at all points of ingress and egress, large and suitable signs facing traffic from each direction on the toll road. Such signs shall designate the number and other designations, if any, of all United States or state highways of ingress or egress, the names of all Indiana municipalities with a population of five thousand (5,000) or more within a distance of seventy-five (75) miles on such roads of ingress or egress, and the distance in miles to such designated municipalities.
        (7) Make and enter into all contracts and agreements necessary or incidental to the performance of its duties and the execution of its powers under this chapter, IC 8-9.5-8, or IC 8-15.5. When the cost under any such contract or agreement, other than:
            (A) a contract for compensation for personal services;
            (B) a contract with the department under IC 8-9.5-8-7;
            (C) a lease with the department under IC 8-9.5-8-8; or

&DNM.IC 8-15-2-5.2
&YENC.2006
&YAMD.2006
    IC 8-15-2-5.2 Sec. 5.2. The authority may not sell, convey, or mortgage a toll road project.
&HST.As added by P.L.-2006, SEC.10.&EHST.

&DNM.IC 8-15-2-14
&YENC.1951
&YAMD.2006
    IC 8-15-2-14 Sec. 14. (a) The authority may:
        (1) fix, revise, charge, and collect tolls for the use of each toll road project by any person, partnership, association, limited liability company, or corporation desiring the use of any part thereof, including the right-of-way adjoining the paved portion and for placing thereon telephone, telegraph, electric light, or power lines;
        (2) fix the terms, conditions, and rates of charge for such use, including assessments for the failure to pay required tolls, subject, however, to the state's police power; and
        (3) collect tolls, user fees, or other charges through manual or nonmanual methods, including, but not limited to, automatic vehicle identification systems, electronic toll collection systems, and, to the extent permitted by law, including rules adopted by the authority under IC 8-15-2-17.2(a)(10), global positioning systems and photo or video based toll collection or toll collection enforcement systems.
    (b) Notwithstanding subsection (a), no toll or charge shall be made by the authority under this section or under a public-private agreement entered into under IC 8-15.5 for:
        (1) the operation of temporary lodging facilities located upon or adjacent to any project, nor may the authority itself operate or gratuitously permit the operation of such temporary lodging facilities by other persons without any toll or charge; or
        (2) placing in, on, along, over, or under such project, such telephone, telegraph, electric light or power lines, equipment, or facilities as may be necessary to serve establishments located on the project or as may be necessary to interconnect any public utility facilities on one (1) side of the toll road project with those on the other side.
    (c) All contracts executed by the authority shall be preserved in the principal office of the authority.
    (d) In the case of a toll road project that is not leased to the department under IC 8-9.5-8-7, the tolls shall be fixed and adjusted for each toll road project so that the aggregate of the tolls from the project, together with other revenues that are available to the authority

without prior restriction or encumbrance, will at least be adequate to pay:
        (1) the cost of operating, maintaining, and repairing the toll road project, including major repairs, replacements, and improvements;
        (2) the principal of and the interest on bonds issued in connection with the toll road project, as the principal and interest becomes due and payable, including any reserve or sinking fund required for the project; and
        (3) the payment of principal of and interest on toll road bonds issued by the authority in connection with any other toll road project, including any reserve or sinking fund required for the project, but only to the extent that the authority provides by resolution and subject to the provisions of any trust agreement relating to the project.
    (e) Not less than one (1) year before the date that final payment of all such bonds, interest, and reimbursement is expected by the chairman of the authority to be completed, the chairman shall notify the state budget committee in writing of the expected date of final payment.
    (f) Such tolls shall not be subject to supervision or regulation by any other commission, board, bureau, or agency of the state.
    (g) The tolls, rents, and all other revenues derived by the authority from the toll road project, except those received in accordance with a public-private agreement under IC 8-15.5, shall be used as follows:
        (1) To pay the cost of operating, maintaining, and repairing the toll road project, including major repairs, replacements, and improvements, to the extent that those costs are not paid out of other funds.
        (2) To the extent provided for in the resolution authorizing the issuance of bonds under this chapter or in the trust agreement securing the bonds, to pay:
            (A) the principal of and interest on any bonds as the principal and interest become due; or
            (B) the redemption price or purchase price of the bonds retired by call or purchase.
        (3) Except as prohibited by the resolution authorizing the issuance of bonds under this chapter or the trust agreement securing them, for any purpose relating to any toll road project, including the subject toll road project, as the authority provides by resolution.
    (h) Neither the resolution nor any trust agreement by which a pledge is created needs to be filed or recorded except in the records of the authority.
    (i) The use and disposition of moneys to the credit of any sinking fund shall be subject to the provisions of any resolution or resolutions authorizing the issuance of any bonds or of any trust agreement. Except as may otherwise be provided in this chapter or in any resolution or any trust agreement, any sinking fund shall be a fund for all bonds without distinction or priority of one over another, subject, however, to such priorities as may arise from prior pledges.
    (j) In the case of a toll road project that is leased to the department under IC 8-9.5-8-8, the lease must require that the department fix tolls for the toll road project that comply with IC 8-9.5-8-8(c)(6).
    (k) User fees (as defined in IC 8-15.5-2-10) for a toll road project that is subject to a public-private agreement under IC 8-15.5 shall be set in accordance with IC 8-15.5-7.
&HST.(Formerly: Acts 1951, c.281, s.14; Acts 1959, c.285, s.4; Acts 1971, P.L.99, SEC.4.) As

amended by Acts 1980, P.L.74, SECS.241, 242; P.L.109-1983, SEC.18; P.L.386-1987(ss), SEC.11; P.L.8-1993, SEC.145; P.L.-2006, SEC.11.&EHST.

&DNM.IC 8-15-2-14.5
&YENC.1971
&YAMD.2006
    IC 8-15-2-14.5 Sec. 14.5. (a) Subject to the provisions and requirements of any trust agreement providing for the issuance of toll road revenue bonds and only to the extent permitted by such trust agreement, the authority shall fix the tolls for any toll road under its jurisdiction.
    (b) Subsection (a) does not apply to tolls fixed, authorized, or established in accordance with a public-private agreement under IC 8-15.5.
&HST.(Formerly: Acts 1971, P.L.99, SEC.9.) As amended by Acts 1980, P.L.74, SECS.243, 244; P.L.109-1983, SEC.19; P.L.214-2005, SEC.52; P.L.-2006, SEC.12.&EHST.

&DNM.IC 8-15-2-14.7
&YENC.2005
&YAMD.2006
    IC 8-15-2-14.7 Sec. 14.7. (a) As used in this section, "development authority" refers to the development authority established under IC 36-7.5-2-1.
    (b) An appropriation made by the general assembly to the development authority may be distributed to the development authority only if all transfers required from cities and counties to the development authority under IC 36-7.5-4-2 have been made.
    (c) An appropriation made by the general assembly to the development authority may be distributed to the development authority only after:
        (1) the budget committee has reviewed; and
        (2) the director of the office of management and budget has approved;
the comprehensive strategic development plan submitted in accordance with IC 36-7.5-3-4.
    (d) If the Indiana Toll Road is sold or leased before January 1, 2008 (other than a lease to the department), and the sale or lease agreement does not require the purchaser or lessee to continue making the distributions required by subsection (b), the treasurer of state shall pay the amount, if any, appropriated by the general assembly to the development authority fund established under IC 36-7.5-4-1.
    (e) Amounts distributed or paid to the development authority under this section may be used for any purpose of the development authorized under IC 36-7.5.
&HST.As added by P.L.214-2005, SEC.53. Amended by P.L.-2006, SEC.13.&EHST.

&DNM.IC 8-15-2-15
&YENC.1951
&YAMD.2006
    IC 8-15-2-15 Sec. 15. (a) All moneys received pursuant to the authority of this chapter, whether as proceeds from the sale of bonds or as revenues, shall be deemed to be trust funds, to be held and applied solely as provided in this chapter. Such funds shall be kept in depositories as selected by the authority and may be invested until expended, all as provided by law.
    (b) The resolution authorizing the issuance of bonds of any issue or the trust agreement securing such bonds shall provide that any officer to whom, or any bank or trust company to

which, such moneys shall be paid shall:
        (1) act as trustee of such moneys; and
        (2) hold and apply the same for the purposes of this chapter, subject to such regulations as this chapter and such resolution or trust agreement may provide.
    (c) This section does not apply to money paid or received with respect to a toll road project that is the subject of a public-private agreement under IC 8-15.5.
&HST.(Formerly: Acts 1951, c.281, s.15.) As amended by Acts 1980, P.L.74, SECS.245, 246; P.L.109-1983, SEC.20; P.L.-2006, SEC.14.&EHST.

&DNM.IC 8-15-2-17.2
&YENC.1980
&YAMD.2006
    IC 8-15-2-17.2 Sec. 17.2. (a) Notwithstanding IC 9, the authority may adopt rules:
        (1) Establishing weight and size limitations for vehicles using a toll road project, subject to the following:
            (A) The operator of any vehicle exceeding any of the maximum allowable dimensions or weights as set out by the authority in rules and regulations shall apply to the authority in writing, for an application for a special hauling permit, which application must be in compliance with all the terms thereof, and which application must be received at least seven (7) days prior to the time of permitted entry should such permit be granted. Such permit, if granted, will be returned to the applicant in duplicate, properly completed and numbered, and the driver of the vehicle shall have a copy to present to the toll attendant on duty at the point of entry.
            (B) The authority shall assess a fee for issuing a special hauling permit. In assessing the fee, the authority shall take into consideration the following factors:
                (i) The administrative cost of issuing the permit.
                (ii) The potential damage the vehicle represents to the project.
                (iii) The potential safety hazard the vehicle represents.
        (2) Establishing the minimum speed that a motor vehicle may be driven on the interstate defense network of dual highways.
        (3) Designating one-way traffic lanes on a toll road project.
        (4) Determining the manner of operation of motor vehicles entering and leaving traffic lanes on a toll road project.
        (5) Determining the regulation of U-turns, of crossing or entering medians, of stopping, parking, or standing, and of passing motor vehicles on a toll road project.
        (6) Determining the establishment and enforcement of traffic control signs and signals for motor vehicles in traffic lanes, acceleration and deceleration lanes, toll plazas, and interchanges on a toll road project.
        (7) Determining the limitation of entry to and exit from a toll road project to designated entrances and exits.
        (8) Determining the limitation on use of a toll road project by pedestrians and aircraft and by vehicles of a type specified in such rules and regulations.

&DNM.IC 8-15-2-19
&YENC.1951
&YAMD.2006
    IC 8-15-2-19 Sec. 19. (a) The authority may, after adopting a resolution and after receiving the governor's approval, at any time determine under IC 8-23-7 that a toll road project constructed or operated by the authority, other than a toll road project that is subject to a public-private agreement under IC 8-15.5, should become a part of the system of state highways free of tolls or become a tollway under IC 8-15-3.
    (b) Any resolution as to any project described in subsection (a) shall not become effective until all bonds to which the revenues of any project were pledged for payment, together with all interest thereon, is paid, or a sufficient amount for the payment of all bonds and the interest thereon to maturity is set aside in trust for the benefit of bondholders.
    (c) Until any resolution is adopted by the authority under subsection (a) and becomes effective as provided in subsection (b), and subject to the terms of any public-private agreement under IC 8-15.5, any project constructed by the authority or its predecessors remains under the jurisdiction of the authority and the authority shall continue to maintain and operate the project and levy and collect tolls as provided in this chapter. Tolls on any project may be continued after

the date of the payment of the principal of and interest on bonds issued for the construction of that project.
&HST.(Formerly: Acts 1951, c.281, s.19; Acts 1971, P.L.99, SEC.6.) As amended by Acts 1980, P.L.74, SEC.252; P.L.109-1983, SEC.25; P.L.386-1987(ss), SEC.12; P.L.18-1990, SEC.132; P.L.-2006, SEC.16.&EHST.

&DNM.IC 8-15-2-27
&YENC.1986
&YAMD.2006
    IC 8-15-2-27 Sec. 27. (a) Except as provided in subsection (b), and notwithstanding any other provision of this chapter, funds generated by tolls or any other means from a toll road project that was in existence and in use on or before January 1, 1986, shall be used exclusively for purposes that are authorized and described in this chapter.
    (b) If the authority enters into a public-private agreement with respect to a toll road project under IC 8-15.5, funds generated by tolls or any other means from that project shall be used as provided in IC 8-15.5.
&HST.As added by P.L.48-1986, SEC.6. Amended by P.L.-2006, SEC.17.&EHST.

&DNM.IC 8-15-2-28
&YENC.2006
&YAMD.2006
    IC 8-15-2-28 Sec. 28. If the authority is a party to a public-private agreement under IC 8-15.5, the authority may authorize the operator under that agreement to exercise any or all of the powers specified in sections 1, 6, 18, and 24 of this chapter, subject to the terms of that agreement.
&HST.As added by P.L.-2006, SEC.18.&EHST.

&DNM.IC 8-15-2-29
&YENC.2006
&YAMD.2006
    IC 8-15-2-29 Sec. 29. A United States flag shall be displayed at the primary administrative building of the Indiana Toll Road.
&HST.As added by P.L.-2006, SEC.19.&EHST.

&DNM.IC 8-15-3-2.5
&YENC.2006
&YAMD.2006
    IC 8-15-3-2.5 Sec. 2.5. "Operator" refers to one (1) or more private individuals or entities that enter into a public-private agreement to do one (1) or more of the following with respect to one (1) or more tollways:
        (1) Planning.
        (2) Design.
        (3) Development.
        (4) Construction.
        (5) Reconstruction.

&DNM.IC 8-15-3-3.5
&YENC.2006
&YAMD.2006
    IC 8-15-3-3.5 Sec. 3.5. "Public-private agreement" has the meaning set forth in IC 8-15.7-2-15.
&HST.As added by P.L.-2006, SEC.21.&EHST.

&DNM.IC 8-15-3-7
&YENC.1987
&YAMD.2006
    IC 8-15-3-7 Sec. 7. As used in this chapter, "tollway" includes any combination or part of:
        (1) an express highway, superhighway, bridge, tunnel, or motor way, including express lanes and managed lanes, constructed under this chapter or IC 8-15.7 or, subject to section 10 of this chapter, converted to a tollway under IC 8-23-7-22;
        (2) any bridge, tunnel, overpass, underpass, interchange, structure, ramp, access road, service road, entrance plaza, approach, tollhouse, utility corridor, toll gantry, rest stop, service station, or administration, storage, or other buildings or facilities, including temporary facilities and buildings, facilities, and structures that will not be tolled, that the department considers appurtenant to or necessary or desirable for the financing, construction, operation, or maintenance of one (1) or more of the items described in subdivision (1); and
        (3) any subsequent improvement, betterment, enlargement, extension, or reconstruction of one (1) or more items described in this section, including any nontolled part, that are separately designated by name or number.
&HST.As added by P.L.386-1987(ss), SEC.13. Amended by P.L.18-1990, SEC.137; P.L.-2006, SEC.22.&EHST.

&DNM.IC 8-15-3-9
&YENC.1987
&YAMD.2006
    IC 8-15-3-9 Sec. 9. (a) Subject to subsection (e), the governor must approve the location of any tollway.
    (b) The department may, in any combination, plan, design, develop, construct, reconstruct, maintain, repair, police, finance, and operate tollways, public improvements, and arterial streets and roads at those locations that the governor approves.

&DNM.IC 8-15-3-12
&YENC.1987
&YAMD.2006
    IC 8-15-3-12 Sec. 12. The department may fix, revise, charge, collect, retain, and use tolls for transit over each tollway or part of a tollway. The tolls and the setting of toll rates are not subject to supervision or regulation by any other commission, board, bureau, or agency of the state.
&HST.As added by P.L.386-1987(ss), SEC.13. Amended by P.L.18-1990, SEC.139; P.L.-2006, SEC.24.&EHST.

&DNM.IC 8-15-3-15
&YENC.1987
&YAMD.2006
    IC 8-15-3-15 Sec. 15. The department may transfer to the tollway or lease, license, or otherwise transfer to the authority or the operator of a tollway any real property or interest in real property acquired by it under section 13 or 31 of this chapter, IC 8-23-7, or otherwise that is necessary, desirable, or convenient for the financing, construction, maintenance, and operation of any tollway or part of a tollway, or as otherwise required under this chapter.

&DNM.IC 8-15-3-16
&YENC.1987
&YAMD.2006
    IC 8-15-3-16 Sec. 16. (a) Except as provided in subsection (b), the department may designate the locations and establish, limit, and control points of ingress and egress from each tollway as necessary or desirable to:
        (1) ensure the proper operation and maintenance of the tollway;
        (2) finance the tollway;
        (3) prohibit entrance to the tollway from any point that is not designated as an entrance; and
        (4) provide for and permit the interconnection of a tollway with a toll road that is leased or operated by the department.
    (b) The department may not grant ingress to or egress from any tollway, service area, or toll collection area having direct access to the tollway for the operation of transient lodging facilities, including the service areas on which are located service stations and restaurants and toll plazas and paved parts of the right-of-way.
    (c) The department shall erect at all points of ingress and egress suitable signs facing traffic from each direction on the tollway. These signs must designate the number and other designations, if any, of all United States or state highways of ingress or egress, the names of all Indiana municipalities having a population of at least five thousand (5,000) within a distance of seventy-five (75) miles on the roads of ingress or egress, and the distance in miles to those designated municipalities.
&HST.As added by P.L.386-1987(ss) As amended by P.L.-2006, SEC.26., SEC.13.&EHST.

&DNM.IC 8-15-3-17
&YENC.1987
&YAMD.2006
    IC 8-15-3-17 Sec. 17. The department may make and enter into all leases, licenses, conveyances, contracts, and agreements necessary or incidental to the performance of the department's duties and the execution of the department's powers under this chapter and IC 8-15.7.
&HST.As added by P.L.386-1987(ss) As amended by P.L.-2006, SEC.27., SEC.13.&EHST.

&DNM.IC 8-15-3-18
&YENC.1987
&YAMD.2006
    IC 8-15-3-18 Sec. 18. The department may employ consulting engineers, superintendents, managers, other engineers, construction experts, financial advisers, accounting experts, attorneys, and other consultants, contractors, employees, and agents necessary to carry out this chapter or IC 8-15.7, and fix their compensation.
&HST.As added by P.L.386-1987(ss) As amended by P.L.-2006, SEC.28., SEC.13.&EHST.

&DNM.IC 8-15-3-21
&YENC.1987
&YAMD.2006
    IC 8-15-3-21 Sec. 21. The department may accept gifts, devises, bequests, grants, loans, appropriations, revenue sharing, and any other financing and assistance from any source and agree to and comply with conditions attached to it. Subject to the conditions agreed to by the department, the department may distribute any gifts, devises, bequests, grants, loans, appropriations, revenue sharing, and any other financing and assistance received under this section to an operator, as set forth in a public-private agreement.
&HST.As added by P.L.386-1987(ss) As amended by P.L.-2006, SEC.30., SEC.13.&EHST.

&DNM.IC 8-15-3-23
&YENC.1987
&YAMD.2006
    IC 8-15-3-23 Sec. 23. (a) The exercise of the powers granted by this chapter to the department or the authority must be in all respects for:
        (1) the benefit of the people of Indiana;
        (2) the increase of the commerce and prosperity of Indiana; and
        (3) the improvement of the health and living conditions of the people of Indiana.
    (b) Since the operation and maintenance of a tollway by the department or the authority constitutes the performance of essential governmental functions, neither the department nor the authority is required to pay any taxes or assessments upon a tollway or any property acquired or used by the department under this chapter or IC 8-15.7 or upon the income from a tollway.
    (c) The operator under a public-private agreement is not required to pay taxes or assessments upon a tollway, any property or property interest acquired by the operator under a public-private agreement, or any possessory interest in the tollway or in property granted or

created by the public-private agreement under this chapter or IC 8-15.7.
    (d) An operator or any other person purchasing tangible personal property for incorporation into or improvement of a structure or facility constituting or becoming part of the land included in:
        (1) a tollway; or
        (2) property granted or created by the public-private agreement;
is entitled to the exemption from gross retail tax and use tax provided under IC 6-2.5-4-9(b) and IC 6-2.5-3-2(c), respectively, with respect to that tangible personal property.
&HST.As added by P.L.386-1987(ss) As amended by P.L.-2006, SEC.31., SEC.13.&EHST.

&DNM.IC 8-15-3-24
&YENC.1987
&YAMD.2006
    IC 8-15-3-24 Sec. 24. (a) Except as provided in subsection (b), the department may:
        (1) fix, revise, charge, and collect tolls, fees, or charges for:
            (A) the use of a tollway or any part of a tollway, including the right-of-way adjoining the paved part of the tollway;
            (B) placing on a tollway or part of a tollway telephone, telegraph, electric light, cable, communication, gas, water, sewer, or power lines;
            (C) the initiation, administration, and maintenance of customer accounts, late payment procedures, credit card and other electronic transactions, and enforcement actions for collection of unpaid amounts; and
            (D) equipment used by customers in connection with electronic tolling, including transponders;
        (2) fix the terms, conditions, and rates of charge for use of a tollway; and
        (3) retain and use tolls, fees, or charges collected in accordance with this article.
    (b) A toll or charge may not be made by the department for the following:
        (1) The operation of temporary lodging facilities located upon or adjacent to a tollway.
        (2) Placing in, on, along, over, or under a tollway any telephone, telegraph, electric light, cable, communication, gas, water, sewer, or power lines, equipment, or facilities that are necessary to serve establishments located on the tollway or that are necessary to interconnect any public utility facilities on one (1) side of the tollway with those on the other side.
    (c) The department may fix the tolls for a tollway by establishing maximum amounts and may provide that tolls or any maximum tolls established, and any increases or decreases to those tolls or maximum tolls, may be based on the indices or methodologies that the department considers appropriate. The department may set an increased toll for any class of traffic for any lane or other part of a tollway if the department determines that an increased toll is necessary or appropriate for financing the tollway or to reduce traffic congestion, increase mobility, improve connectivity, promote fuel conservation, achieve operating efficiencies, or promote public safety. The department shall specify the times or conditions under which an increased toll will be imposed. A reduced rate of toll is not allowed within a class, except:
        (1) through the use of commutation or other tickets or privileges based upon frequency or volume of use;

&DNM.IC 8-15-3-26
&YENC.1987
&YAMD.2006
    IC 8-15-3-26 Sec. 26. (a) The department may adopt rules under IC 4-22-2 for the following:
        (1) The control and regulation of traffic on a tollway.
        (2) The protection and preservation of property under the department's or operator's jurisdiction and control.
        (3) The maintenance and preservation of good order within the property under the department's or operator's control.
    (b) Rules adopted under this chapter must provide that law enforcement officers be afforded ready access, while in the performance of their official duties, to all property under the department's jurisdiction without the payment of tolls.
    (c) A person who violates a rule adopted under this section commits a Class C infraction.
&HST.As added by P.L.386-1987(ss) As amended by P.L.-2006, SEC.33., SEC.13.&EHST.

&DNM.IC 8-15-3-27.5
&YENC.2006
&YAMD.2006
    IC 8-15-3-27.5 Sec. 27.5. (a) The rules adopted under section 26 or 27 of this chapter may include restrictions on the use of one (1) or more lanes on any part of a tollway as necessary, appropriate, or desirable for financing the tollway or to reduce congestion, increase mobility, promote fuel conservation, achieve operating efficiencies, or promote public safety. The restrictions may include limiting use of one (1) or more lanes to private vehicles, high occupancy vehicles, vehicles that participate in an electronic tolling program, trucks, commercial vehicles, special fuel vehicles, transit vehicles, or vehicles that pay a higher toll for exclusive use of a dedicated lane. The rules may require a person eligible to use a restricted lane to obtain the permit specified by the department or an operator, as permitted under a public-private agreement.
    (b) The department may require that an electronic device or other identification device specified by the department or by an operator as permitted under a public-private agreement be maintained in a vehicle using a restricted lane on a tollway.
    (c) The department may construct barriers or implement other design, construction, or operational features to implement a managed lane, express lane, or other program under this section.

&DNM.IC 8-15-3-27.7
&YENC.2006
&YAMD.2006
    IC 8-15-3-27.7 Sec. 27.7. (a) The rules adopted under section 26 or 27 of this chapter may establish an electronic tolling program. The rules must provide at least the following:
        (1) A participant must enter into a written agreement containing the terms and conditions approved by the department.
        (2) An agreement must require the participant to do the following:
            (A) Establish the account specified by the department and maintain the balance of funds in the account specified by the department.
            (B) Hold and use any device provided to register use of a tollway that is chargeable to the participant's account in the manner specified in the rules and participant's agreement.
            (C) Pay the fees, charges, and tolls specified by the department or an operator, as permitted under a public-private agreement.
            (D) Comply with any other necessary or appropriate terms and conditions specified by the department or an operator, as permitted under a public-private agreement.
        (3) A method for resolving disputed charges with account holders, including an agreement by the account holder to hold the department and its agents harmless for the payment of any unpaid financial obligation incurred by the account holder.
        (4) The program will comply with all applicable federal and state laws, regulations, and rules regulating credit transactions between the entity holding the account and the account holder.
        (5) Notice will be provided to the participant of all federal and state privacy, credit, and other laws, regulations, and policies applicable to an account and the program.
    (b) The department may establish reasonable fees and charges to be charged to account holders and business entities participating in the electronic tolling program and to recover costs of administration, account initiation and maintenance, late payments, credit card and other electronic transactions, enforcement, and improvement of the program. The fees and charges shall be deposited in the appropriate special funds account for the tollways covered by the program, as specified by the department, or used, retained, or deposited as permitted under a public-private agreement.
    (c) The identifying credit and tollway use information of an electronic tolling program participant may not be used by the department or an operator for commercial purposes not related to the tollway.
&HST.As added by P.L.-2006, SEC.35.&EHST.

&DNM.IC 8-15-3-32
&YENC.1987
&YAMD.2006
    IC 8-15-3-32 Sec. 32. Subject to any public-private agreement that applies to a tollway,

including terms applicable to the financing of the tollway, the department may, after issuing an order and after receiving the governor's approval, at any time determine that a tollway under its jurisdiction should become a part of the system of state highways free of tolls.
&HST.As added by P.L.386-1987(ss), SEC.13. Amended by P.L.18-1990, SEC.141; P.L.-2006, SEC.36.&EHST.

&DNM.IC 8-15-3-34
&YENC.2006
&YAMD.2006
    IC 8-15-3-34 Sec. 34. The department may arrange for the use and employment of police officers to police a tollway. The police officers employed under this section are vested with all necessary police powers to enforce state laws. A police officer employed under this section has the same powers within the property limits of a tollway as a law enforcement officer (as defined in IC 35-41-1-17) within the law enforcement officer's jurisdiction. A warrant of arrest issued by the proper authority of the state may be executed within the property limits of the tollway by a police officer employed by the department or an operator.
&HST.As added by P.L.-2006, SEC.37.&EHST.

&DNM.IC 8-15-3-35
&YENC.2006
&YAMD.2006
    IC 8-15-3-35 Sec. 35. (a) If a public-private agreement is entered into under IC 8-15.7 with respect to a project, the department may authorize:
        (1) the authority to exercise all or a part of the powers of the department under this chapter necessary or desirable to accomplish the purposes of this chapter or IC 8-15.7; and
        (2) the operator under the public-private agreement to exercise all or a part of the powers of the department under sections 9, 16, 29, and 30 of this chapter under the public-private agreement.
    (b) The department may authorize the authority to exercise all or a part of the powers of the department under this chapter necessary or desirable to accomplish the purposes of this chapter.
&HST.As added by P.L.-2006, SEC.38.&EHST.

&DNM.IC 8-15.5
&YENC.
&YAMD.
    ARTICLE 15.5. PUBLIC-PRIVATE AGREEMENTS FOR TOLL ROAD PROJECTS

    SECTION 40. IC 8-15.7 IS ADDED TO THE INDIANA CODE AS A NEW ARTICLE TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]:
    ARTICLE 15.7. PUBLIC-PRIVATE PARTNERSHIPS
    Chapter 1. General Provisions
    Sec. 1. The general assembly finds the following:
        (1) There is a public need for timely development and operation of transportation

facilities in Indiana that address the needs identified by the department, through the department's transportation plan and otherwise, by accelerating project delivery, improving safety, reducing congestion, increasing mobility, improving connectivity, increasing capacity, enhancing economic efficiency, promoting economic development, or any combination of those methods.
        (2) This public need may not be wholly satisfied by existing methods of procurement and project delivery in which transportation facilities are developed, financed, or operated.
        (3) Authorizing private entities to do all or part of the development, planning, design, construction, maintenance, repair, rehabilitation, expansion, financing, and operation of one (1) or more transportation facilities may result in the availability of the transportation facilities to the public in a more timely, more efficient, or less costly fashion, thereby serving the public safety and welfare.
    Sec. 2. An action, other than an approval by the authority or the department under IC 8-15.7-4, serves the public purpose of this article if the action facilitates the timely development, planning, design, construction, maintenance, repair, rehabilitation, expansion, financing, or operation of a qualifying project.
    Sec. 3. It is the intent of this article to:
        (1) encourage investment in Indiana by private entities that facilitates the development, planning, design, construction, maintenance, repair, rehabilitation, expansion, financing, and operation of transportation facilities; and
        (2) grant public and private entities the greatest possible flexibility in contracting with each other for the provision of the public services that are the subject of this article.
    Sec. 4. The powers conferred by this article shall be liberally construed in order to accomplish their purposes and are in addition and supplemental to the powers conferred by any other law. If any other law or rule is inconsistent with this article, this article is controlling as to any public-private agreement entered into under this article.
    Sec. 5. (a) This article contains full and complete authority for agreements and leases with private entities to carry out the activities described in this article. Except as provided in this article, no procedure, proceeding, publication, notice, consent, approval, order, or act by the authority, the department, or any other state or local agency or official is required to enter into an agreement or lease, and no law to the contrary affects, limits, or diminishes the authority for agreements and leases with private entities, except as provided by this article.
    (b) Notwithstanding any other law, the department, the authority, or an operator may not carry out any of the following activities under this article unless the general assembly enacts a statute authorizing that activity:
        (1) Issuing a request for proposals for, or entering into, a public-private agreement concerning a project other than Interstate Highway 69 between Interstate Highway 465 and Interstate Highway 64.
        (2) Carrying out construction for Interstate Highway 69 in a township having a population of more than seventy-five thousand (75,000) and less than ninety-three thousand five hundred (93,500).
        (3) Imposing user fees on motor vehicles for use of the part of an interstate highway that connects a consolidated city and a city having a population of more

than eleven thousand five hundred (11,500) but less than eleven thousand seven hundred forty (11,740).
    Sec. 6. To the extent that this article permits or requires the authority, the department, or a private entity to carry out any law other than this article under a public-private agreement, the action shall be carried out in conformity with this article.
    Chapter 2. Definitions
    Sec. 1. The definitions in this chapter apply throughout this article.
    Sec. 2. "Affected jurisdiction" means the following:
        (1) Any county, city, or town in which all or a part of a qualifying project is located.
        (2) Any other public entity directly affected by the qualifying project.
    Sec. 3. "Authority" or "Indiana finance authority" refers to the Indiana finance authority established by IC 4-4-11-4.
    Sec. 4. "Department" refers to the Indiana department of transportation.
    Sec. 5. "Develop" or "development" means to do one (1) or more of the following:
        (1) Plan.
        (2) Design.
        (3) Develop.
        (4) Lease.
        (5) Acquire.
        (6) Install.
        (7) Construct.
        (8) Reconstruct.
        (9) Rehabilitate.
        (10) Extend.
        (11) Expand.
    Sec. 6. "Highway, street, or road" has the meaning set forth in IC 8-23-1-23.
    Sec. 7. "Law enforcement officer" has the meaning set forth in IC 35-41-1-17.
    Sec. 8. "Maintenance" includes ordinary maintenance, repair, rehabilitation, capital maintenance, maintenance replacement, and any other categories of maintenance that may be designated by the department.
    Sec. 9. "Offeror" means a private entity that has submitted a qualification submittal or a proposal for a public-private agreement under this article.
    Sec. 10. "Operate" or "operation" means to do one (1) or more of the following:
        (1) Maintain.
        (2) Improve.
        (3) Equip.
        (4) Modify.
        (5) Otherwise operate.
    Sec. 11. "Operator" means a private entity that has entered into a public-private agreement with the department to provide services to or on behalf of the department.
    Sec. 12. "Political subdivision" has the meaning set forth in IC 36-1-2-13.
    Sec. 13. "Private entity" means any combination of one (1) or more individuals, corporations, general partnerships, limited liability companies, limited partnerships, joint ventures, business trusts, nonprofit entities, or other business entities that are parties to a proposal

for a qualifying project or a public-private agreement related to a qualifying project. A public agency may provide services to an operator as a subcontractor or subconsultant without affecting the private status of the private entity and the entity's or operator's ability to enter into a public-private agreement.
    Sec. 14. Subject to IC 8-15.7-1-5, "project" means all or part of the following:
        (1) A limited access facility (as defined in IC 8-23-1-28).
        (2) A tollway.
        (3) Roads and bridges.
        (4) All or part of a bridge, tunnel, overpass, underpass, interchange, structure, ramp, access road, service road, entrance plaza, approach, tollhouse, utility corridor, toll gantry, rest stop, service area, or administration, storage, or other building or facility, including temporary facilities and buildings or facilities and structures that will not be tolled, that the department determines is appurtenant, necessary, or desirable for the development, financing, or operation of the facilities described in subdivisions (1), (2), and (3).
        (5) An improvement, betterment, enlargement, extension, or reconstruction of all or part of any of the facilities described in this section, including a nontolled part, that is separately designated by name or number.
    Sec. 15. "Public-private agreement" means the public-private agreement between the operator and the department that relates to any combination of the development, financing, or operation of a qualifying project and is entered into under this article.
    Sec. 16. "Qualifying project" means one (1) or more projects developed, financed, or operated by an operator under this article.
    Sec. 17. "Request for proposals" means all materials and documents prepared by or on behalf of the department to solicit proposals from offerors to enter into a public-private agreement.
    Sec. 18. "Request for qualifications" means all materials and documents prepared by or on behalf of the department to solicit qualification submittals from offerors to enter into a public-private agreement.
    Sec. 19. "Revenues" means all revenues, including any combination of:
        (1) income;
        (2) earnings and interest;
        (3) user fees;
        (4) lease payments;
        (5) allocations;
        (6) federal, state, and local appropriations, grants, loans, lines of credit, and credit guarantees;
        (7) bond proceeds;
        (8) equity investments; or
        (9) other receipts;
arising out of or in connection with a qualifying project, including the development, financing, and operation of a qualifying project. The term includes money received as grants, loans, lines of credit, credit guarantees, or otherwise in aid of a qualifying project from the federal government, the state, a political subdivision, or any agency or instrumentality of the federal government, the state, or a political subdivision.

public area and publication in a newspaper of general circulation, in the manner provided by IC 5-3-1. In addition, proposals may be solicited directly from potential offerors.
    (g) The department shall submit a draft of the request for proposals to the budget committee for its review before the issuance by the department of the request for proposals to potential offerors. The request for proposals must:
        (1) indicate in general terms the scope of work, goods, and services sought to be procured;
        (2) contain or incorporate by reference the specifications and contractual terms and conditions applicable to the procurement and the qualifying project;
        (3) specify the factors, criteria, and other information that will be used in evaluating the proposals;
        (4) specify any requirements or goals for use of:
            (A) minority business enterprises and women's business enterprises certified under IC 4-13-16.5;
            (B) disadvantaged business enterprises under federal or state law;
            (C) businesses defined under IC 5-22-15-20.5 as Indiana businesses, to the extent permitted by applicable federal and state law and regulations; and
            (D) businesses that qualify for a small business set-aside under IC 4-13.6-2-11;
        (5) if all or part of the project will consist of a tollway, require any offeror to submit a proposal based upon that part of the project that will consist of a tollway, as set forth in the request for proposals, and permit any offeror to submit one (1) or more alternative proposals based upon the assumption that a different part or none of the project will consist of a tollway;
        (6) contain or incorporate by reference the other applicable contractual terms and conditions; and
        (7) contain or incorporate by reference any other provisions, materials, or documents that the department considers appropriate.
    (h) The department shall determine the evaluation criteria that are appropriate for each project and shall set those criteria forth in the request for proposals. The department may use a selection process that results in selection of the proposal offering the best value to the public, a selection process that results in selection of the proposal offering the lowest price or cost or the highest payment to, or revenue sharing with, the department, or any other selection process that the department determines is in the best interests of the state and the public.
    (i) The department shall evaluate proposals based on the requirements and evaluation criteria set forth in the request for proposals.
    (j) The department may select one (1) or more offerors for negotiations based on the evaluation criteria set forth in the request for proposals. If the department believes that negotiations with the selected offeror or offerors are not likely to result in a public-private agreement, or, in the case of a best value selection process, no longer reflect the best value to the state and the public, the department may commence negotiations with other responsive offerors, if any, and may suspend, terminate, or continue negotiations with the original offeror or offerors. If negotiations are unsuccessful, the department shall terminate the procurement, may not award the public-private agreement, and may commence a new procurement for a public-private agreement. If the department determines that negotiations with an offeror have been successfully

completed, the department shall, subject to the other requirements of this article, award the public-private agreement to the offeror.
    (k) Before awarding a public-private agreement to an operator, the department shall schedule a public hearing on the proposed public-private agreement and publish notice of the hearing one (1) time in accordance with IC 5-3-1 at least seven (7) days before the hearing. The notice must include the following:
        (1) The date, time, and place of the hearing.
        (2) The subject matter of the hearing.
        (3) A description of the agreement to be awarded.
        (4) The recommendation that has been made to award the agreement to an identified offeror or offerors.
        (5) The address and telephone number of the department.
    (l) At the hearing, the department shall allow the public to be heard on the proposed public-private agreement.
    (m) When the terms and conditions of multiple awards are specified in the request for proposals, awards may be made to more than one (1) offeror.
    Sec. 3. (a) After the procedures required in this chapter have been completed, the department shall make a determination as to whether the successful offeror should be designated as the operator for the project and shall submit its decision to the governor and the budget committee.
    (b) After review of the department's determination by the budget committee, the governor may accept or reject the determination of the department. If the governor accepts the determination of the department, the governor shall designate the successful offeror as the operator for the project. The department shall publish notice of the designation of the operator one (1) time, in accordance with IC 5-3-1.
    (c) After the designation of the successful offeror as the operator for the project, the department may execute the public-private agreement.
    (d) An action to contest the validity of a public-private agreement entered into under this chapter may not be brought after the fifteenth day following the publication of the notice of the designation of the operator under the public-private agreement under subsection (b).
    Sec. 4. The department may pay a stipulated amount to an unsuccessful offeror that submits a responsive proposal in response to a request for proposals under this chapter, in exchange for the work product contained in that proposal. The use by the department of any design element contained in an unsuccessful proposal is at the sole risk and discretion of the department and does not confer liability on the recipient of the stipulated amount under this section. After payment of the stipulated amount:
        (1) the department and the unsuccessful offeror jointly own the rights to, and may make use of any work product contained in, the proposal, including the technologies, techniques, methods, processes, ideas, and information contained in the proposal, project design, and project financial plan; and
        (2) the use by the unsuccessful offeror of any part of the work product contained in the proposal is at the sole risk of the unsuccessful offeror and does not confer liability on the department.
    Sec. 5. In addition to any other rights under this article, in connection with any procurement under this chapter, the department may:

bonds and notes, parent guaranties, and cash collateral, in connection with the development, financing, or operation of the qualifying project, in the forms and amounts set forth in the public-private agreement or otherwise determined as satisfactory by the department to protect the department and payment bond beneficiaries who have a direct contractual relationship with the operator or a subcontractor of the operator to supply labor or material. A payment or performance bond or alternative form of performance security required under a public-private agreement shall not be required for the part of a public-private agreement that includes only design, planning, or financing services, the performance of preliminary studies, or the acquisition of real property.
        (2) Review of plans for any development or operation, or both, of the qualifying project by the department.
        (3) Inspection of any construction of or improvements to the qualifying project by the department or another entity designated by the department or under the public-private agreement to ensure that the construction or improvements conform to the standards set forth in the public-private agreement or are otherwise acceptable to the department.
        (4) Maintenance of:
            (A) one (1) or more policies of public liability insurance (copies of which shall be filed with the department accompanied by proofs of coverage); or
            (B) self-insurance;
        each in the form and amount required by the public-private agreement or otherwise satisfactory to the department as reasonably sufficient to insure coverage of tort liability to the public and employees and to enable the continued operation of the qualifying project.
        (5) If operations are included within the operator's obligations under the public-private agreement, monitoring of the maintenance practices of the operator by the department or another entity designated by the department or under the public-private agreement, and the taking of the actions that the department finds appropriate to ensure that the qualifying project is properly maintained.
        (6) Reimbursement to be paid to the department as set forth in the public-private agreement for services provided by the department.
        (7) Filing of appropriate financial statements and reports as set forth in the public-private agreement or as otherwise in a form acceptable to the department on a periodic basis.
        (8) Compensation or payments to the operator, attorneys, bankers, financial advisors, or other professionals. Compensation or payments may include one (1) or more of the following:
            (A) A development fee, payable on a lump sum basis, progress payment basis, time and materials basis, or any other basis considered appropriate by the department.
            (B) An operations fee, payable on a lump sum basis, time and material basis, periodic basis, or any other basis considered appropriate by the department.
            (C) All or part of the revenues, if any, arising out of operation of the

qualifying project.
            (D) A maximum rate of return on investment or return on equity or a combination of the two (2).
            (E) In kind services, materials, property, equipment, or other items.
            (F) Compensation in the event of any termination.
            (G) A cash payment to pay part of the project cost.
            (H) Other compensation set forth in the public-private agreement or otherwise considered appropriate by the department.
        (9) Compensation or payments to the department, if any. Compensation or payments may include one (1) or more of the following:
            (A) A concession payment, lease payment, or other fee, which may be payable in a lump sum, on a periodic basis, or on any other basis considered appropriate by the department.
            (B) Sharing of revenues, if any, from the operation of the qualifying project.
            (C) Payment for any services, materials, equipment, personnel, or other items provided by the department to the operator under the public-private agreement or in connection with the qualifying project.
            (D) Other compensation set forth in the public-private agreement or otherwise considered appropriate by the department.
        (10) The date and terms of termination of the operator's authority and duties under this article, and circumstances under which the operator's authority and duties may be terminated before that date.
        (11) Reversion of the qualifying project to the department at the termination or expiration of the public-private agreement.
        (12) Rights and remedies of the department if the operator defaults or otherwise fails to comply with the terms of the public-private agreement.
    (c) A public-private agreement may not provide that the state or the department is responsible for any debt incurred by an operator in connection with the delivery of a project.
    Sec. 2. (a) The department may fix and revise the amounts of user fees that an operator may charge and collect for the use of any part of a qualifying project in accordance with the public-private agreement. In fixing these amounts, the department may:
        (1) establish maximum amounts for the user fees; and
        (2) provide for increases or decreases of the maximum amounts based upon the indices, methodologies, or other factors that the department considers appropriate.
    (b) User fees established by the department for the use of a qualifying project must be nondiscriminatory and may:
        (1) include different user fees based on categories such as vehicle class, vehicle size, vehicle axles, vehicle weight, volume, location, traffic congestion, or other means or classification that the department determines to be appropriate;
        (2) vary by time of day or year; and
        (3) be based on one (1) or more factors considered relevant by the department, which may include any combination of:
            (A) lease payments;
            (B) financing costs and charges;

public-private agreement other than repayment of a loan or grant or reimbursement for services provided by the department to the operator, the payment or compensation shall be distributed at the direction of the department to the:
        (1) major moves construction fund established under IC 8-14-14;
        (2) department for deposit in the state highway fund established by IC 8-23-9-54; or
        (3) operator or the authority for debt reduction.
    Sec. 6. (a) Upon the termination or expiration of the public-private agreement, including a termination for default, the department may take over the qualifying project and succeed to all of the right, title, and interest in the qualifying project. The department may agree to accept the qualifying project subject to any liens on revenues previously granted by the operator to any person providing financing for the qualifying project.
    (b) If the department elects to take over a qualifying project, the department may do all or part of the following:
        (1) Develop, finance, or operate the project.
        (2) Impose, collect, retain, and use user fees, if any, for the project.
    (c) The department may use any revenues collected under this section for any of the following purposes or any other authorized use under this article:
        (1) Making payments to individuals or entities in connection with the financing of the qualifying project.
        (2) Paying development costs of the project.
        (3) Paying current operation costs of the project or facilities, including compensation to the department for the services of the department in operating the qualifying project.
        (4) Paying the operator for any compensation or payment owing upon termination.
    (d) The full faith and credit of the state or any political subdivision or the authority is not pledged to secure any financing of the operator by the election to take over the qualifying project. Assumption of development or operation, or both, of the qualifying project does not obligate the state or any political subdivision or the authority to pay any obligation of the operator.
    Sec. 7. Any changes in the terms of the public-private agreement agreed to by the parties shall be added to the public-private agreement by written amendment.
    Sec. 8. Notwithstanding any other provision of this article, the department may enter into a public-private agreement with multiple private entities if the department determines in writing that it is in the public interest to do so.
    Sec. 9. The public-private agreement may provide for all or part of the development, financing, or operation of phases or segments of the qualifying project.
    Sec. 10. The department may enter into one (1) or more memoranda of understanding with respect to the implementation and administration of a public-private agreement. The memoranda may provide that the department has responsibility for, and shall administer and oversee certain aspects of the implementation of, the public-private agreement under this article, including:
        (1) undertaking any oversight and monitoring of the operator as provided under the public-private agreement;
        (2) reviewing plans for development and operation, as applicable, as provided under the public-private agreement;

IC 8-15.7-9.
        (2) Enter into loan agreements or other credit facilities.
        (3) Secure any financing with a pledge of, security interest in, or lien on all or part of a property subject to the agreement, including all of the party's property interests in the qualifying project.
        (4) Subject to review by the budget committee established in IC 4-12-1-3 and approval by the budget director appointed under IC 4-12-1-3:
            (A) establish a procedure for the authority or a person acting on behalf of the authority to certify to the general assembly the amount needed to pay costs incurred under a public-private agreement; or
            (B) otherwise create a moral obligation of the state to pay all or part of any costs incurred by the authority under a public-private agreement.
    (b) The department and an operator may transfer any interest in property that the department or operator has to the authority to secure the financing.
    Sec. 7. Public funds may be used for the purpose of financing a qualifying project and may be mixed and aggregated with funds provided by or on behalf of the operator or other private entities.
    Sec. 8. For the purpose of financing a qualifying project, the authority and the operator may apply for, obtain, issue, and use private activity bonds available under any federal law or program.
    Sec. 9. Any bonds, debt, other securities, or other financing issued for the purposes of this article shall not be considered to constitute a debt of the state or any political subdivision of the state or a pledge of the faith and credit of the state or any political subdivision.
    Chapter 9. Issuance of Debt by Authority
    Sec. 1. (a) The authority may, by resolution, issue and sell bonds or notes of the authority for the purpose of providing funds to carry out the provisions of this article with respect to the development, financing, or operation of a project or projects or the refunding of any bonds or notes, together with any costs associated with a transaction.
    (b) Bonds or notes issued under this chapter shall be issued in accordance with IC 8-14.5-6 except that the bonds or notes are not required to comply with IC 8-14.5-6-2, IC 8-14.5-6-3, or IC 8-14.5-6-5(b).
    Sec. 2. (a) The authority may enter into a lease with the department or the operator, or both, of a project or projects financed under this chapter. The department may lease a project financed under this chapter to the authority or an operator under a public-private agreement.
    (b) A lease of a project to the department under this chapter must comply with IC 8-14.5-5 except that:
        (1) the lease is not required to comply with IC 8-14.5-5-3(a)(1); and
        (2) notwithstanding IC 8-14.5-5-2(a)(2), a lease under this chapter may be extended from biennium to biennium, with the extensions not to exceed a lease term of seventy-five (75) years unless the department gives notice of nonextension at least six (6) months before the end of the biennium, in which event the lease expires at the end of the biennium in which the notice is given.
    Sec. 3. The department shall pay lease rentals for leases that the department has entered into under this chapter that secure bonds issued under this chapter from any legally available revenues, including:

committed to the department's jurisdiction by this article.
    Sec. 2. The department shall establish an expedited method for resolving disputes between the department and the parties to a public-private agreement and shall set forth that method in the public-private agreement.
    Sec. 3. The department may pay, pursue, mediate, and settle any claim arising out of a public-private agreement.
    Sec. 4. A public-private agreement may permit a party to the agreement to submit any claim arising under the agreement to arbitration or alternative dispute resolution under IC 34-57.
    Chapter 13. Term of Agreement; Reversion of Property to State
    Sec. 1. The term of a public-private agreement, including all extensions, may not exceed seventy-five (75) years. For purposes of measuring the term, the term begins on the date on which operations of a part of the qualifying project by the operator commences.
    Sec. 2. The department shall terminate the operator's authority and duties under the public-private agreement on the date set forth in the public-private agreement.
    Sec. 3. Upon termination of the public-private agreement, the authority and duties of the operator under this article cease, except for any duties and obligations that extend beyond the termination as set forth in the public-private agreement, and the qualifying project reverts to the department and shall be dedicated to the department for public use.
    Chapter 14. Additional Powers of the Authority and the Department With Respect to Qualifying Projects
    Sec. 1. The authority or the department may exercise any powers provided under this article in participation or cooperation with any governmental entity and enter into any contracts to facilitate that participation or cooperation without compliance with any other statute.
    Sec. 2. The authority or the department may make and enter into all contracts and agreements necessary or incidental to the performance of the authority's or department's duties and the execution of the authority's or department's powers under this article. These contracts or agreements are not subject to any approvals other than the approval of the authority or the department, as applicable, and may be for any term of years and contain any terms that are considered reasonable by the authority or the department.
    Sec. 3. The authority or the department may pay the costs incurred under a public-private agreement entered into under this article from any funds legally available to the authority or the department under this article or any other statute.
    Sec. 4. For purposes of this article, the department may authorize an operator under a public-private agreement to perform any of its duties under IC 8-15-3-9, IC 8-15-3-16, IC 8-15-3-29, IC 8-15-3-30, and IC 8-15-3-33.
    Sec. 5. The department may exercise any of its powers under IC 8-15-3 as necessary or desirable for the performance of its duties and the execution of its powers under this article. In connection with or in anticipation of the exercise by the authority of any powers granted to the authority by this article, the department may authorize the authority to exercise all or part of the powers of the department under this article as necessary or desirable to accomplish the purposes of this article.
    Sec. 6. The authority or the department may not take any action under this chapter that would impair the public-private agreement entered into under this article.
    Sec. 7. (a) The department shall enter into an agreement between and among the operator, the department, and the state police department concerning the provision of law enforcement

assistance with respect to a qualifying project that is the subject of a public-private agreement under this article.
    (b) The department may enter into arrangements with the state police department related to costs incurred in providing law enforcement assistance under this article.
    Chapter 15. Prohibited Local Action
    Sec. 1. A political subdivision (as defined in IC 36-1-2-13) may not take any action that would impair a public-private agreement under this article.
    Chapter 16. Prohibited Political Contributions
    Sec. 1. The definitions in IC 3-5-2 apply to this chapter to the extent they do not conflict with the definitions in this article.
    Sec. 2. As used in this chapter, "candidate" refers to any of the following:
        (1) A candidate for a state office.
        (2) A candidate for a legislative office.
        (3) A candidate for a local office.
    Sec. 3. As used in this chapter, "committee" refers to any of the following:
        (1) A candidate's committee.
        (2) A regular party committee.
        (3) A committee organized by a legislative caucus of the house of representatives of the general assembly.
        (4) A committee organized by a legislative caucus of the senate of the general assembly.
    Sec. 4. As used in this chapter, "officer" refers only to either of the following:
        (1) An individual listed as an officer of a corporation in the corporation's most recent annual report.
        (2) An individual who is a successor to an individual described in subdivision (1).
    Sec. 5. For purposes of this chapter, a person is considered to have an interest in an operator if the person satisfies any of the following:
        (1) The person holds at least a one percent (1%) interest in an operator.
        (2) The person is an officer of an operator.
        (3) The person is an officer of a person that holds at least a one percent (1%) interest in an operator.
        (4) The person is a political action committee of an operator.
    Sec. 6. An operator is considered to have made a contribution if a contribution is made by a person who has an interest in the operator.
    Sec. 7. An operator or a person who has an interest in an operator may not make a contribution to a candidate or a committee during the following periods:
        (1) The term during which the operator is a party to a public-private agreement entered into under this article.
        (2) The three (3) years following the final expiration or termination of the public-private agreement described in subdivision (1).
    Sec. 8. A person who knowingly or intentionally violates this chapter commits a Class D felony.
    SECTION 41. IC 8-23-7-22 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 22. (a) Subject to subsection (b), the department may, after issuing an order and receiving the governor's approval, determine that a state highway should become a

tollway. After the order becomes effective, the department shall maintain and operate the tollway and levy and collect tolls as provided in IC 8-15-3 or enter into a public-private agreement with an operator with respect to the tollway under IC 8-15.7. Before issuing an order under this section, the department shall submit to the governor a plan to bring the tollway to the current design standards of the department for new state highways within a specified period. The specified period may not exceed five (5) years.
    (b) Notwithstanding any other law, the governor, the department, or an operator may not carry out any of the following activities under this section unless the general assembly enacts a statute authorizing that activity:
        (1) Determine that a highway, other than Interstate Highway 69 between Interstate Highway 64 and a city having a population of more than eleven thousand five hundred (11,500) but less than eleven thousand seven hundred forty (11,740), should become a tollway.
        (2) Carry out construction for Interstate Highway 69 in a township having a population of more than seventy-five thousand (75,000) and less than ninety-three thousand five hundred (93,500).
        (3) Impose tolls on motor vehicles for use of the part of an interstate highway that connects a consolidated city and a city having a population of more than eleven thousand five hundred (11,500) but less than eleven thousand seven hundred forty (11,740).
    SECTION 42. IC 8-23-7-23 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 23. (a) Subject to subsection (c), the department may, after issuing an order and receiving the governor's approval, determine that a state highway should become a toll road. An order under this section does not become effective unless the authority adopts a resolution to accept the designated state highway, or part of the highway, as a toll road project under the conditions contained in the order. An order issued by the department under this section must set forth the conditions upon which the transfer of the state highway, or part of the highway, to the authority must occur, including the following:
        (1) The consideration, if any, to be paid by the authority to the department.
        (2) A requirement that the authority:
            (A) enter into a contract or lease with the department with respect to the toll road project under IC 8-9.5-8-7 or IC 8-9.5-8-8; or
            (B) enter into a public-private agreement with an operator with respect to the toll road under IC 8-15.5.
    (b) To complete a transfer under this section, the department must, with the governor's approval, execute a certificate describing the real and personal property constituting or to be transferred with the state highway that is to become a toll road project. Upon delivery of the certificate to the authority, the real and personal property described in the certificate is under the jurisdiction and control of the authority.
    (c) Notwithstanding any other law, neither the authority nor an operator may carry out any of the following activities under this section unless the general assembly enacts a statute authorizing that activity:
        (1) Carrying out construction for Interstate Highway 69 in a township having a population of more than seventy-five thousand (75,000) and less than ninety-three thousand five hundred (93,500).

an operator as a place where a person using the tollway, qualifying project, or toll road must pay a toll or is otherwise subject to a fee for using the tollway, qualifying project, or toll road.
    Sec. 3. As used in this chapter, "department" refers to the Indiana department of transportation.
    Sec. 4. As used in this chapter, "operator" has the meaning set forth in IC 8-15.5-2-5 or IC 8-15.7-2-11.
    Sec. 5. As used in this chapter, "owner" means a person in whose name a motor vehicle is registered under:
        (1) IC 9-18;
        (2) the laws of another state;
        (3) the laws of a foreign country; or
        (4) the International Registration Plan.
    Sec. 6. As used in this chapter, "qualifying project" has the meaning set forth in IC 8-15.7-2-16.
    Sec. 7. As used in this chapter, "toll road" has the meaning set forth for "toll road project" in IC 8-15-2-4(4).
    Sec. 8. As used in this chapter, "tollway" has the meaning set forth in IC 8-15-3-7.
    Sec. 9. The owner of a motor vehicle, other than an authorized emergency vehicle, that is driven or towed through a toll collection facility on a toll road, tollway, or qualifying project shall pay the proper toll.
    Sec. 10. The department or the authority may adopt and enforce rules concerning:
        (1) the placement and use of automated traffic law enforcement systems to enforce collection of user fees;
        (2) required notification to owners of toll violations;
        (3) the process for collection and enforcement of unpaid amounts;
        (4) the amount of fines, charges, and assessments for toll violations; and
        (5) other matters relating to automated traffic law enforcement systems that the department or the authority considers appropriate.
    Sec. 11. Before enforcing a rule adopted under section 10 of this chapter, the department, the authority, or an operator must install advance warning signs along the tollways, toll roads, or qualifying projects proceeding to the location at which an automated traffic law enforcement system is located.
    Sec. 12. (a) In the prosecution of a toll violation, proof that the motor vehicle was driven or towed through the toll collection facility without payment of the proper toll may be shown by a video recording, a photograph, an electronic recording, or other appropriate evidence, including evidence obtained by an automated traffic law enforcement system.
    (b) In the prosecution of a toll violation:
        (1) it is presumed that any notice of nonpayment was received on the fifth day after the date of mailing; and
        (2) a computer record of the department, the authority, or the operator of the registered owner of the vehicle is prima facie evidence of its contents and that the toll violator was the registered owner of the vehicle at the time of the underlying event of nonpayment.
    Sec. 13. (a) For purposes of this section, "transponder" means a device, placed on or

within a motor vehicle, that is capable of transmitting information used to assess or collect tolls. A transponder is "insufficiently funded" when there are no remaining funds in the account in connection with which the transponder was issued.
    (b) Any police officer of Indiana may seize a stolen or insufficiently funded transponder and return it to the department, the authority, or an operator, except that an insufficiently funded transponder may not be seized from the holder of an account sooner than the thirtieth day after the date the department, the authority, or an operator has sent a notice of delinquency to the holder of the account.
    (c) The department or the authority may enter into an agreement with one (1) or more persons to market and sell transponders for use on tollways, toll roads, or qualifying projects.
    (d) The department, the authority, or an operator may charge reasonable fees for initiating, administering, and maintaining electronic toll collection customer accounts.
    (e) Electronic toll collection customer account information, including contact and payment information and trip data, is confidential and not subject to disclosure under IC 5-14-3. A contract for the acquisition, construction, maintenance, or operation of a tollway, toll road, or qualifying project must ensure the confidentiality of all electronic toll collection customer account information.
    SECTION 46. IC 22-4-25-1, AS AMENDED BY P.L.202-2005, SECTION 5, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2006]: Sec. 1. (a) There is created in the state treasury a special fund to be known as the special employment and training services fund. All interest on delinquent contributions and penalties collected under this article, together with any voluntary contributions tendered as a contribution to this fund, shall be paid into this fund. The money shall not be expended or available for expenditure in any manner which would permit their substitution for (or a corresponding reduction in) federal funds which would in the absence of said money be available to finance expenditures for the administration of this article, but nothing in this section shall prevent said money from being used as a revolving fund to cover expenditures necessary and proper under the law for which federal funds have been duly requested but not yet received, subject to the charging of such expenditures against such funds when received. The money in this fund shall be used by the board for the payment of refunds of interest on delinquent contributions and penalties so collected, for the payment of costs of administration which are found not to have been properly and validly chargeable against federal grants or other funds received for or in the employment and training services administration fund, on and after July 1, 1945. Such money shall be available either to satisfy the obligations incurred by the board directly, or by transfer by the board of the required amount from the special employment and training services fund to the employment and training services administration fund. No expenditure of this fund shall be made unless and until the board finds that no other funds are available or can properly be used to finance such expenditures, except that expenditures from said fund may be made for the purpose of acquiring lands and buildings or for the erection of buildings on lands so acquired which are deemed necessary by the board for the proper administration of this article. The board shall order the transfer of such funds or the payment of any such obligation or expenditure and such funds shall be paid by the treasurer of state on requisition drawn by the board directing the auditor of state to issue the auditor's warrant therefor. Any such warrant shall be drawn by the state auditor based upon vouchers certified by the board or the commissioner. The money in this fund is hereby specifically made available to replace within a reasonable time any money received by this state pursuant to 42 U.S.C. 502, as

amended, which, because of any action or contingency, has been lost or has been expended for purposes other than or in amounts in excess of those approved by the bureau of employment security. The money in this fund shall be continuously available to the board for expenditures in accordance with the provisions of this section and shall not lapse at any time or be transferred to any other fund, except as provided in this article. Nothing in this section shall be construed to limit, alter, or amend the liability of the state assumed and created by IC 22-4-28, or to change the procedure prescribed in IC 22-4-28 for the satisfaction of such liability, except to the extent that such liability may be satisfied by and out of the funds of such special employment and training services fund created by this section.
    (b) The board, subject to the approval of the budget agency and governor, is authorized and empowered to use all or any part of the funds in the special employment and training services fund for the purpose of acquiring suitable office space for the department by way of purchase, lease, contract, or in any part thereof to purchase land and erect thereon such buildings as the board determines necessary or to assist in financing the construction of any building erected by the state or any of its agencies wherein available space will be provided for the department under lease or contract between the department and the state or such other agency. The commissioner may transfer from the employment and training services administration fund to the special employment and training services fund amounts not exceeding funds specifically available to the commissioner for that purpose equivalent to the fair, reasonable rental value of any land and buildings acquired for its use until such time as the full amount of the purchase price of such land and buildings and such cost of repair and maintenance thereof as was expended from the special employment and training services fund has been returned to such fund.
    (c) The board may also transfer from the employment and training services administration fund to the special employment and training services fund amounts not exceeding funds specifically available to the commissioner for that purpose equivalent to the fair, reasonable rental value of space used by the department in any building erected by the state or any of its agencies until such time as the department's proportionate amount of the purchase price of such building and the department's proportionate amount of such cost of repair and maintenance thereof as was expended from the special employment and training services fund has been returned to such fund.
    (d) Whenever the balance in the special employment and training services fund is deemed excessive by the board, the board shall order payment into the unemployment insurance benefit fund of the amount of the special employment and training services fund deemed to be excessive.
    (e) Subject to the approval of the board, the commissioner may use not more than five million dollars ($5,000,000) during a program year for training provided by the state educational institution established under IC 20-12-61 to participants in joint labor and management apprenticeship programs approved by the United States Department of Labor's Bureau of Apprenticeship Training. Of the money allocated for training programs under this subsection, fifty percent (50%) is designated for industrial programs, and the remaining fifty (50%) percent is designated for building trade programs.
    SECTION 47. IC 22-4-25-2.5 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2006]: Sec. 2.5. (a) In support of IC 8-14-14, IC 8-15-2, IC 8-15-3, and IC 8-15.5, the commissioner shall allocate an amount not to exceed two million dollars ($2,000,000) annually for pre-apprenticeship and apprenticeship training and counseling assistance relating to the construction trades for individuals who:

inspection, of any property, other than the property of a governmental entity, to determine whether the property complied with or violates any law or contains a hazard to health or safety.
        (13) Entry upon any property where the entry is expressly or impliedly authorized by law.
        (14) Misrepresentation if unintentional.
        (15) Theft by another person of money in the employee's official custody, unless the loss was sustained because of the employee's own negligent or wrongful act or omission.
        (16) Injury to the property of a person under the jurisdiction and control of the department of correction if the person has not exhausted the administrative remedies and procedures provided by section 7 of this chapter.
        (17) Injury to the person or property of a person under supervision of a governmental entity and who is:
            (A) on probation; or
            (B) assigned to an alcohol and drug services program under IC 12-23, a minimum security release program under IC 11-10-8, a pretrial conditional release program under IC 35-33-8, or a community corrections program under IC 11-12.
        (18) Design of a highway (as defined in IC 9-13-2-73), toll road project (as defined in IC 8-15-2-4(4)), tollway (as defined in IC 8-15-3-7), or project (as defined in IC 8-15.7-2-14) if the claimed loss occurs at least twenty (20) years after the public highway, toll road project, tollway, or project was designed or substantially redesigned; except that this subdivision shall not be construed to relieve a responsible governmental entity from the continuing duty to provide and maintain public highways in a reasonably safe condition.
        (19) Development, adoption, implementation, operation, maintenance, or use of an enhanced emergency communication system.
        (20) Injury to a student or a student's property by an employee of a school corporation if the employee is acting reasonably under a discipline policy adopted under IC 20-33-8-7(b).
        (21) An error resulting from or caused by a failure to recognize the year 1999, 2000, or a subsequent year, including an incorrect date or incorrect mechanical or electronic interpretation of a date, that is produced, calculated, or generated by:
            (A) a computer;
            (B) an information system; or
            (C) equipment using microchips;
        that is owned or operated by a governmental entity. However, this subdivision does not apply to acts or omissions amounting to gross negligence, willful or wanton misconduct, or intentional misconduct. For purposes of this subdivision, evidence of gross negligence may be established by a party by showing failure of a governmental entity to undertake an effort to review, analyze, remediate, and test its electronic information systems or by showing failure of a governmental entity to abate, upon notice, an electronic information system error that caused damage or loss. However, this subdivision expires June 30, 2003.

(1) of the governor's initial appointments under subsection (b)(1) must be an individual nominated by the mayor. At the expiration of the member's term, the mayor of the second largest city in the county shall nominate three (3) residents of the county for appointment to the development board. One (1) of the governor's appointments under subsection (b)(1) must be an individual nominated by the mayor. Thereafter, the authority to nominate the three (3) members from which the governor shall make an appointment under subsection (b)(1) shall alternate between the mayors of the largest and the second largest city in the county at the expiration of a member's term.
    (e) A county having a population of more than one hundred ten thousand (110,000) but less than one hundred fifteen thousand (115,000) shall be an eligible county participating in the development authority if the fiscal body of the county adopts an ordinance before September 15, 2006, providing that the county is joining the development authority, and the fiscal body of a city that is located in the county and that has a population of more than thirty-two thousand eight hundred (32,800) but less than thirty-three thousand (33,000) adopts an ordinance before September 15, 2006, providing that the city is joining the development authority. Notwithstanding subsection (b), if ordinances are adopted under this subsection and the county becomes an eligible county participating in the development authority:
        (1) the development board shall be composed of nine (9) members rather than seven (7) members; and
        (2) the additional two (2) members shall be appointed in the following manner:
            (A) One (1) additional member shall be appointed by the governor and shall serve at the pleasure of the governor. The member appointed under this clause must be an individual nominated under subsection (f).
            (B) One (1) additional member shall be appointed jointly by the county executive and county fiscal body.
    (f) This subsection applies only if the county described in subsection (e) is an eligible county participating in the development authority. The mayor of the largest city in the county described in subsection (e) shall nominate three (3) residents of the county for appointment to the development board. The governor's initial appointment under subsection (e)(2)(A) must be an individual nominated by the mayor. At the expiration of the member's term, the mayor of the second largest city in the county described in subsection (e) shall nominate three (3) residents of the county for appointment to the development board. The governor's second appointment under subsection (e)(2)(A) must be an individual nominated by the mayor. Thereafter, the authority to nominate the three (3) individuals from among whom the governor shall make an appointment under subsection (e)(2)(A) shall alternate between the mayors of the largest and the second largest city in the county at the expiration of a member's term.
    (g) An individual or entity required to make an appointment under subsection (b) or nominations under subsection (d) must make the initial appointment before September 1, 2005, or the initial nomination before August 15, 2005. If an individual or entity does not make an initial appointment under subsection (b) before September 1, 2005, or the initial nominations required under subsection (d) before September 1, 2005, the governor shall instead make the initial appointment.
    SECTION 56. IC 36-7.5-2-4, AS ADDED BY P.L.214-2005, SECTION 73, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 4. (a) Except as provided in subsection (b) for the initial appointments to the development board, a member

appointed to the development board serves a four (4) year term. However, a member serves at the pleasure of the appointing authority. A member may be reappointed to subsequent terms.
    (b) The terms of the initial members appointed to the development board are as follows:
        (1) The initial member appointed by the governor who is not nominated under section 3(d) or 3(f) of this chapter shall serve a term of four (4) years.
        (2) The initial member appointed by the governor who is nominated under section 3(d) of this chapter shall serve a term of two (2) years. If a member is appointed under section 3(e)(2)(A) of this chapter, the initial member who is appointed under that provision shall serve a term of two (2) years.
        (3) The initial member appointed under section 3(b)(2)(D) of this chapter shall serve a term of three (3) years.
        (4) The initial member appointed under section 3(b)(3) of this chapter shall serve a term of three (3) years.
        (5) The initial members appointed under section 3(b)(2)(A) through 3(b)(2)(C) of this chapter shall serve a term of two (2) years.
        (6) If a member is appointed under section 3(e)(2)(B) of this chapter, the initial member appointed under that provision shall serve a term of three (3) years.
    (c) If a vacancy occurs on the development board, the appointing authority that made the original appointment shall fill the vacancy by appointing a new member for the remainder of the vacated term.
    (d) Each member appointed to the development board, before entering upon the duties of office, must take and subscribe an oath of office under IC 5-4-1, which shall be endorsed upon the certificate of appointment and filed with the records of the development board.
    (e) A member appointed to the development board is not entitled to receive any compensation for performance of the member's duties. However, a member is entitled to a per diem from the development authority for the member's participation in development board meetings. The amount of the per diem is equal to the amount of the per diem provided under IC 4-10-11-2.1(b).
    SECTION 57. IC 36-7.5-2-5, AS ADDED BY P.L.214-2005, SECTION 73, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 5. (a) The member appointed by the governor under section 3(b)(1) of this chapter but not nominated under section 3(d) or 3(f) of this chapter shall serve as chair of the development board until January 2013. At the election under subsection (b) in 2013 and each year thereafter, the chair shall be elected from among the members of the development board.
    (b) In January of each year, the development board shall hold an organizational meeting at which the development board shall elect the following officers from the members of the development board:
        (1) After December 31, 2012, a chair.
        (2) A vice chair.
        (3) A secretary-treasurer.
    (c) Not more than two (2) members from any particular county may serve as an officer described in subsection (a) or elected under subsection (b). The affirmative vote of at least five (5) members of the development board is necessary to elect an officer under subsection (b). However, if the county described in section 3(e) of this chapter is an eligible county participating in the development authority, the affirmative vote of at least six (6) members of the development

board is necessary to elect an officer under subsection (b).
    (d) An officer elected under subsection (b) serves from the date of the officer's election until the officer's successor is elected and qualified.
    SECTION 58. IC 36-7.5-2-6, AS ADDED BY P.L.214-2005, SECTION 73, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 6. (a) The development board shall meet at least quarterly.
    (b) The chair of the development board or any two (2) members of the development board may call a special meeting of the development board.
    (c) Five (5) members of the development board constitute a quorum. However, if the county described in section 3(e) of this chapter is an eligible county participating in the development authority, six (6) members of the development board constitute a quorum.
    (d) The affirmative votes of at least five (5) members of the development board are necessary to authorize any action of the development authority. However, if the county described in section 3(e) of this chapter is an eligible county participating in the development authority, the affirmative votes of at least six (6) members of the development board are necessary to authorize any action of the development authority.
    (e) Notwithstanding any other provision of this article, the minimum number of affirmative votes required under subsection (d) to take any of the following actions must include the affirmative vote of the member appointed by the governor who is not nominated under section 3(d) or 3(f) of this chapter:
        (1) Making loans, loan guarantees, or grants or providing any other funding or financial assistance for projects.
        (2) Acquiring or condemning property.
        (3) Entering into contracts.
        (4) Employing an executive director or any consultants or technical experts.
        (5) Issuing bonds or entering into a lease of a project.
    SECTION 59. IC 36-7.5-3-1, AS ADDED BY P.L.214-2005, SECTION 73, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 1. The development authority shall do the following:
        (1) Assist in the coordination of local efforts concerning projects.
        (2) Assist a commuter transportation district, an airport authority, a shoreline development commission, a regional transportation authority, and a regional bus authority in coordinating regional transportation and economic development efforts.
        (3) Fund projects as provided in this article.
        (4) Fund bus services (including fixed route services and flexible or demand-responsive services) and projects related to bus services and bus terminals, stations, or facilities.
    SECTION 60. IC 36-7.5-3-2, AS ADDED BY P.L.214-2005, SECTION 73, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 2. (a) The development authority may do any of the following:
        (1) Finance, improve, construct, reconstruct, renovate, purchase, lease, acquire, and equip land and projects located in an eligible county.
        (2) Lease land or a project to an eligible political subdivision.
        (3) Finance and construct additional improvements to projects or other capital

improvements owned by the development authority and lease them to or for the benefit of an eligible political subdivision.
        (4) Acquire land or all or a portion of one (1) or more projects from an eligible political subdivision by purchase or lease and lease the land or projects back to the eligible political subdivision, with any additional improvements that may be made to the land or projects.
        (5) Acquire all or a portion of one (1) or more projects from an eligible political subdivision by purchase or lease to fund or refund indebtedness incurred on account of the projects to enable the eligible political subdivision to make a savings in debt service obligations or lease rental obligations or to obtain relief from covenants that the eligible political subdivision considers to be unduly burdensome.
        (6) Make loans, loan guarantees, and grants or provide other financial assistance to or on behalf of the following:
            (A) A commuter transportation district.
            (B) An airport authority or airport development authority.
            (C) A shoreline development commission.
            (D) A regional bus authority. A loan, loan guarantee, grant, or other financial assistance under this clause may be used by a regional bus authority for acquiring, improving, operating, maintaining, financing, and supporting the following:
                (i) Bus services (including fixed route services and flexible or demand-responsive services) that are a component of a public transportation system.
                (ii) Bus terminals, stations, or facilities or other regional bus authority projects.
            (E) A regional transportation authority.
        (7) Provide funding to assist a railroad that is providing commuter transportation services in an eligible county.
        (8) Provide funding to assist an airport authority located in an eligible county in the construction, reconstruction, renovation, purchase, lease, acquisition, and equipping of an airport facility or airport project.
        (9) Provide funding to assist in the development of an intermodal facility to facilitate the interchange and movement of freight.
        (10) Provide funding to assist a shoreline development commission in carrying out the purposes of IC 36-7-13.5.
        (11) Provide funding for economic development projects in an eligible county.
        (12) Hold, use, lease, rent, purchase, acquire, and dispose of by purchase, exchange, gift, bequest, grant, condemnation, lease, or sublease, on the terms and conditions determined by the development authority, any real or personal property located in an eligible county.
        (13) After giving notice, enter upon any lots or lands for the purpose of surveying or examining them to determine the location of a project.
        (14) Make or enter into all contracts and agreements necessary or incidental to the performance of its duties and the execution of its powers under this article.

chapter. Beginning in 2007, the fiscal officer of the city described in IC 36-7.5-2-3(e) shall transfer eight hundred seventy-five thousand dollars ($875,000) each year to the development authority for deposit in the development authority fund established under section 1 of this chapter.
    (c) The following apply to the transfers required by subsections (a) and (b):
        (1) Except for transfers of money described in subdivision (4)(D), the transfers shall be made without appropriation by the city or county fiscal body or approval by any other entity.
        (2) Except as provided in subdivision (3), after December 31, 2005, each fiscal officer shall transfer eight hundred seventy-five thousand dollars ($875,000) to the development authority fund before the last business day of January, April, July, and October of each year. Food and beverage tax revenue deposited in the fund under IC 6-9-36-8 is in addition to the transfers required by this section.
        (3) After December 31, 2006, the fiscal officer of the county described in IC 36-7.5-2-3(e) shall transfer six hundred fifty-six thousand two hundred fifty dollars ($656,250) to the development authority fund before the last business day of January, April, July, and October of each year. The county is not required to make any payments or transfers to the development authority covering any time before January 1, 2007. The fiscal officer of a city described in IC 36-7.5-2-3(e) shall transfer two hundred eighteen thousand seven hundred fifty dollars ($218,750) to the development authority fund before the last business day of January, April, July, and October of each year. The city is not required to make any payments or transfers to the development authority covering any time before January 1, 2007.
        (4) The transfers shall be made from one (1) or more of the following:
            (A) Riverboat admissions tax revenue received by the city or county, riverboat wagering tax revenue received by the city or county, or riverboat incentive payments received from a riverboat licensee by the city or county.
            (B) Any county economic development income tax revenue received under IC 6-3.5-7 by the city or county.
            (C) Any other local revenue other than property tax revenue received by the city or county.
            (D) In the case of a county described in IC 36-7.5-2-3(e) or a city described in IC 36-7.5-2-3(e), any money from the major moves construction fund that is distributed to the county or city under IC 8-14-16.
    SECTION 62. [EFFECTIVE UPON PASSAGE] (a) As used in this SECTION, "authority" and "user fees" have the meanings set forth in IC 8-15.5-2, as added by this act.
    (b) The authority shall adopt a rule under IC 4-22-2-37.1, as amended by this act, fixing user fees, including a schedule of the user fees provided for under a public-private agreement entered into under IC 8-15.5-4, as added by this act, on or before January 1, 2007.
    (c) This SECTION expires July 1, 2007.
    SECTION 63. [EFFECTIVE UPON PASSAGE] The Indiana department of transportation may adopt temporary rules in the manner provided for the adoption of emergency rules under IC 4-22-2-37.1, as amended by this act, to implement IC 8-15-3, as amended by this

act, and IC 8-15.7, as added by this act. A temporary rule adopted under this SECTION expires on the earliest of the following:
        (1) The date that another temporary rule adopted under this SECTION supersedes or repeals the previously adopted temporary rule.
        (2) The date that a permanent rule adopted under IC 4-22-2 supersedes or repeals the temporary rule.
        (3) The date specified in the temporary rule.
        (4) January 1, 2008.
    SECTION 64. [EFFECTIVE UPON PASSAGE] The provisions of this act are severable in the manner provided by IC 1-1-1-8(b).
    SECTION 65. [EFFECTIVE UPON PASSAGE] (a) The definitions set forth in IC 8-15.5-2, as added by this act, apply throughout this SECTION.
    (b) Actions taken with respect to:
        (1) the issuance of a request for proposals;
        (2) the determination of responsible and eligible offerors; and
        (3) the preliminary selection of an operator by the authority;
for a public-private agreement before the effective date of this act that would have been valid under IC 8-15.5, as added by this act, are legalized and validated.
    SECTION 66. An emergency is declared for this act.

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