Sec. 17. (a) If a lease provides for the payment of lease rentals for a cumulative building fund, part or all of the cumulative building fund and the tax levied for the cumulative building fund may be committed and pledged to the payment of lease rental. To the extent the amount is insufficient to pay the lease rental, the lease must provide that the remaining lease rental be paid entirely from the net revenues of the hospital. As long as the lease remains in effect:

(1) the amount of the cumulative building fund committed and pledged may not be expended by the lessee for any other purpose; and

Terms Used In Indiana Code 16-22-6-17

  • authority: means the hospital association created by section 2 of this chapter. See Indiana Code 16-22-6-1
  • Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
(2) the tax levy for that cumulative building fund may not be reduced or rescinded by the county council.

     (b) If a lease provides for payment of lease rental as provided in this section, the approval of the county fiscal body is not required for the lease or the sale of land by the county to the authority under section 16 of this chapter.

[Pre-1993 Recodification Citation: 16-12-20-12.5 part.]

As added by P.L.2-1993, SEC.5.

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