Introduced Version

HOUSE BILL No. 1108
_____
DIGEST OF INTRODUCED BILL
Citations Affected: IC 6-2.5-10-1.5; IC 6-3-7-3.5; IC 6-3.5-6-17;
IC 6-3.6; IC 6-9; IC 21-35.5.
Synopsis: Financing of improvements for Carroll Stadium. Provides
that Indiana University may issue and sell bonds to acquire, erect,
construct, reconstruct, improve, rehabilitate, remodel, repair, complete,
extend, or enlarge capital improvements at the Michael A. Carroll
Track and Soccer Stadium (stadium). Specifies that the principal costs
of the bonds issued (excluding amounts necessary to provide money for
debt service reserves, credit enhancement, or other costs incidental to
the issuance of the bonds) may not exceed $20,000,000. Provides that
the bonds may not be issued unless: (1) the bond issuance has been
reviewed by the budget committee; (2) the director of the budget
agency has approved the bond issuance; and (3) a lease agreement has
been entered into by Indiana University and a professional soccer team
concerning the use of the stadium by the professional soccer team.
Requires the department of state revenue to separately account for: (1)
all state sales taxes collected at the stadium or a specific hotel located
in Indianapolis; and (2) all state income tax and county option income
tax (before 2017) and the county income tax from the expenditure rate
(after 2016) collected on the wages, salaries, and contractual payments
paid by a professional soccer team that plays the majority of its home
games at the stadium and all state income tax and county option
income tax (before 2017) and county income tax from the expenditure
rate (after 2016) collected on the wages, salaries, and contractual
payments paid by a hotel located at the southeast corner of the
intersection of Illinois Street and Market Street in Indianapolis (hotel).
Provides that such county income tax shall be deposited in the state
general fund and not distributed to the county. Provides that if Indiana
(Continued next page)
Effective: Upon passage; July 1, 2016.

Huston
January 7, 2016, read first time and referred to Committee on Ways and Means.

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 Digest Continued
University issues the bonds, the county admissions tax in Marion
County is imposed on the admissions to professional sports events at
the stadium, and that such county admissions tax revenue is deposited
in the state general fund. Authorizes the capital improvement board of
managers to: (1) adopt a resolution to distribute innkeeper's tax revenue
collected from the hotel to the treasurer of state for deposit in the state
general fund; and (2) adopt a resolution to distribute food and beverage
tax revenue collected from the stadium and the hotel to the treasurer of
state for deposit in the state general fund; if the capital improvement
board of managers determines that such tax revenue is not needed to
pay obligations owed by the capital improvement board of managers
and that the retention of such revenue by the state will not impair the
rights and remedies of holders of any bonds or other obligations.
Provides that after the office of management and budget certifies that
the sum of: (1) all state sales taxes collected from transactions at the
stadium or the hotel; (2) all adjusted gross income taxes and county
option income taxes (before 2017) and county income taxes from the
expenditure rate (after 2016) collected on the wages, salaries, and
contractual payments paid by the professional soccer team or the hotel;
(3) all admissions taxes imposed on admission to professional sporting
events at the stadium; (4) all county food and beverage taxes collected
at the stadium or the hotel that are distributed to the treasurer of state
for deposit in the state general fund; and (5) all county innkeeper's
taxes collected at the hotel that are distributed to the treasurer of state
for deposit in the state general fund; equals the total amount of
principal and interest payments to be made on the bonds issued for the
capital improvements at the stadium, the county income tax from the
hotel shall not be retained by the state, the admissions tax collected at
the stadium shall be distributed to the capital improvement board, and
the capital improvement board may not distribute county food and
beverage tax and innkeeper's taxes collected at the stadium or hotel to
the treasurer of state. Specifies that to the extent the costs of the capital
improvements at the stadium exceed the sum of $20,000,000 plus any
amounts paid or contributed by the city of Indianapolis for those costs,
the professional soccer team or the professional soccer league in which
the professional soccer team competes (or both) must pay those excess
costs. Appropriates $1,500,000 from the state general fund in the state
fiscal year beginning July 1, 2016, to Indiana University for fee
replacement. Requires taxpayers operating at the stadium or the hotel
to report to the department of state revenue the information that the
department considers necessary to make the accounting for state and
local taxes required by the bill.

2016

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 Introduced
Second Regular Session of the 119th General Assembly (2016)
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
Constitution) is being amended, the text of the existing provision will appear in this style type,
additions will appear in this style type, and deletions will appear in this style type.
Additions: Whenever a new statutory provision is being enacted (or a new constitutional
provision adopted), the text of the new provision will appear in this style type. Also, the
word NEW will appear in that style type in the introductory clause of each SECTION that adds
a new provision to the Indiana Code or the Indiana Constitution.
Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
between statutes enacted by the 2015 Regular Session of the General Assembly.

HOUSE BILL No. 1108

A BILL FOR AN ACT to amend the Indiana Code concerning
taxation and to make an appropriation.

Be it enacted by the General Assembly of the State of Indiana:

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SECTION 1. IC 6-2.5-10-1.5 IS ADDED TO THE INDIANA
CODE AS A NEW SECTION TO READ AS FOLLOWS
[EFFECTIVE UPON PASSAGE]: Sec. 1.5. (a) The department shall
separately account for all state gross retail and use taxes collected
that are:
(1) attributable to retail sales made:
(A) by a professional soccer team that plays the majority
of its home games at the Michael A. Carroll Track and
Soccer Stadium (or its successor);
(B) by retail merchants while selling at the Michael A.
Carroll Track and Soccer Stadium (or its successor); or
(C) by or at a hotel that is:
(i) opened after December 31, 2015; and
(ii) located at the southeast corner of the intersection of
Illinois Street and Market Street in Indianapolis; and
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(2) deposited in the state general fund.
(b) Taxpayers operating at the Michael A. Carroll Track and
Soccer Stadium (or its successor) and taxpayers operating at the
hotel shall report annually, in the form and manner prescribed by
the department, the information that the department considers
necessary to make the accounting required by this section.
Taxpayers that file on a consolidated basis shall annually file an
informational return separately reporting retail sales made at the
Michael A. Carroll Track and Soccer Stadium (or its successor)
and at the hotel.
(c) This section expires after the office of management and
budget makes a certification under IC 21-35.5-1-4.
SECTION 2. IC 6-3-7-3.5 IS ADDED TO THE INDIANA CODE
AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE
UPON PASSAGE]: Sec. 3.5. (a) The department shall separately
account for all adjusted gross income taxes collected on the wages,
salaries, and contractual payments paid by:
(1) a professional soccer team that plays the majority of its
home games at the Michael A. Carroll Track and Soccer
Stadium (or its successor) to employees of the professional
soccer team, including payments to professional athletes for
professional athletic services; or
(2) a hotel that is:
(A) opened after December 31, 2015; and
(B) located at the southeast corner of the intersection of
Illinois Street and Market Street in Indianapolis.
(b) Taxpayers operating at the Michael A. Carroll Track and
Soccer Stadium (or its successor) and taxpayers operating at the
hotel shall report annually, in the form and manner prescribed by
the department, the information that the department considers
necessary to make the accounting required by this section.
Taxpayers that file on a consolidated basis shall annually file an
informational return separately reporting the wages, salaries, and
contractual payments made by a professional soccer team to
employees of the professional soccer team and the wages, salaries,
and contractual payments made by the hotel.
(c) This section expires after the office of management and
budget makes a certification under IC 21-35.5-1-4.
SECTION 3. IC 6-3.5-6-17, AS AMENDED BY P.L.153-2014,
SECTION 7, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
UPON PASSAGE]: Sec. 17. (a) Except as provided in subsection
(m), revenue derived from the imposition of the county option income
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tax shall, in the manner prescribed by this section, be distributed to the
county that imposed it. The amount that is to be distributed to a county
during an ensuing calendar year equals the amount of county option
income tax revenue that the budget agency determines has been:
(1) received from that county for a taxable year ending in a
calendar year preceding the calendar year in which the
determination is made; and
(2) reported on an annual return or amended return processed by
the department in the state fiscal year ending before July 1 of the
calendar year in which the determination is made;
as adjusted (as determined after review of the recommendation of the
budget agency) for refunds of county option income tax made in the
state fiscal year.
(b) Before August 2 of each calendar year, the budget agency shall
provide to the county auditor of each adopting county an estimate of
the amount determined under subsection (a) that will be distributed to
the county, based on known tax rates. Not later than thirty (30) days
after receiving the estimate of the certified distribution, the county
auditor shall notify each taxing unit of the estimated amount of
distributive shares and other revenue that will be distributed to the
taxing unit under this chapter during the ensuing calendar year. Before
October 1 of each calendar year, the budget agency shall certify to the
county auditor of each adopting county the amount determined under
subsection (a) plus the amount of interest in the county's account that
has accrued and has not been included in a certification made in a
preceding year. The amount certified is the county's "certified
distribution" for the immediately succeeding calendar year. The amount
certified shall be adjusted, as necessary, under subsections (c), (d), (e),
and (f). Not later than thirty (30) days after receiving the notice of the
amount of the certified distribution, the county auditor shall notify each
taxing unit of the amount of distributive shares and other revenue that
will be distributed to the taxing unit under this chapter during the
ensuing calendar year. The budget agency shall provide the county
council with an informative summary of the calculations used to
determine the certified distribution. The summary of calculations must
include:
(1) the amount reported on individual income tax returns
processed by the department during the previous fiscal year;
(2) adjustments for over distributions in prior years;
(3) adjustments for clerical or mathematical errors in prior years;
(4) adjustments for tax rate changes; and
(5) the amount of excess account balances to be distributed under
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IC 6-3.5-6-17.3.
The budget agency shall also certify information concerning the part of
the certified distribution that is attributable to a tax rate under section
30, 31, or 32 of this chapter. This information must be certified to the
county auditor and to the department of local government finance
before October 1 of each calendar year. The part of the certified
distribution that is attributable to a tax rate under section 30, 31, or 32
of this chapter may be used only as specified in those provisions.
(c) The budget agency shall certify an amount less than the amount
determined under subsection (b) if the budget agency determines that
the reduced distribution is necessary to offset overpayments made in a
calendar year before the calendar year of the distribution. The budget
agency may reduce the amount of the certified distribution over several
calendar years so that any overpayments are offset over several years
rather than in one (1) lump sum.
(d) The budget agency shall adjust the certified distribution of a
county to correct for any clerical or mathematical errors made in any
previous certification under this section. The budget agency may
reduce the amount of the certified distribution over several calendar
years so that any adjustment under this subsection is offset over several
years rather than in one (1) lump sum.
(e) This subsection applies to a county that imposes, increases,
decreases, or rescinds a tax or tax rate under this chapter before
November 1 in the same calendar year in which the budget agency
makes a certification under this section. The budget agency shall adjust
the certified distribution of a county to provide for a distribution in the
immediately following calendar year and in each calendar year
thereafter. The budget agency shall provide for a full transition to
certification of distributions as provided in subsection (a)(1) through
(a)(2) in the manner provided in subsection (c). If the county imposes,
increases, decreases, or rescinds a tax or tax rate under this chapter
after the date for which a certification under subsection (b) is based, the
budget agency shall adjust the certified distribution of the county after
September 30 of the calendar year. The adjustment shall reflect any
other adjustment required under subsections (c), (d), and (f). The
adjusted certification shall be treated as the county's "certified
distribution" for the immediately succeeding calendar year. The budget
agency shall certify the adjusted certified distribution to the county
auditor for the county and provide the county council with an
informative summary of the calculations that revises the informative
summary provided in subsection (b) and reflects the changes made in
the adjustment.
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(f) This subsection applies in the year a county initially imposes a
tax rate under section 30 of this chapter. Notwithstanding any other
provision, the budget agency shall adjust the part of the county's
certified distribution that is attributable to the tax rate under section 30
of this chapter to provide for a distribution in the immediately
following calendar year equal to the result of:
(1) the sum of the amounts determined under STEP ONE through
STEP FOUR of IC 6-3.5-1.5-1(b) in the year in which the county
initially imposes a tax rate under section 30 of this chapter;
multiplied by
(2) the following:
(A) In a county containing a consolidated city, one and
five-tenths (1.5).
(B) In a county other than a county containing a consolidated
city, two (2).
(g) One-twelfth (1/12) of each adopting county's certified
distribution for a calendar year shall be distributed from its account
established under section 16 of this chapter to the appropriate county
treasurer on the first regular business day of each month of that
calendar year.
(h) Upon receipt, each monthly payment of a county's certified
distribution shall be allocated among, distributed to, and used by the
civil taxing units of the county as provided in sections 18 and 19 of this
chapter.
(i) All distributions from an account established under section 16 of
this chapter shall be made by warrants issued by the auditor of state to
the treasurer of state ordering the appropriate payments.
(j) The budget agency shall before May 1 of every odd-numbered
year publish an estimate of the statewide total amount of certified
distributions to be made under this chapter during the following two (2)
calendar years.
(k) The budget agency shall before May 1 of every even-numbered
year publish an estimate of the statewide total amount of certified
distributions to be made under this chapter during the following
calendar year.
(l) The estimates under subsections (j) and (k) must specify the
amount of the estimated certified distributions that are attributable to
the additional rate authorized under section 30 of this chapter, the
additional rate authorized under section 31 of this chapter, the
additional rate authorized under section 32 of this chapter, and any
other additional rates authorized under this chapter.
(m) The revenue derived from the imposition of the county
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option income tax collected on the wages, salaries, and contractual
payments paid by:
(1) a professional soccer team that plays the majority of its
home games at the Michael A. Carroll Track and Soccer
Stadium (or its successor) to employees of the professional
soccer team, including payments to professional athletes for
professional athletic services; or
(2) a hotel that is:
(A) opened after December 31, 2015; and
(B) located at the southeast corner of the intersection of
Illinois Street and Market Street in Indianapolis;
shall be deposited in the state general fund and shall not be
distributed to the county. The department shall separately account
for the county option income taxes deposited in the state general
fund under this subsection. Taxpayers operating at the Michael A.
Carroll Track and Soccer Stadium (or its successor) and taxpayers
operating at the hotel shall report annually, in the form and
manner prescribed by the department, the information that the
department considers necessary to make the accounting required
by this subsection. Taxpayers that file on a consolidated basis shall
annually file an informational return separately reporting the
wages, salaries, and contractual payments made by a professional
soccer team to employees of the professional soccer team and the
wages, salaries, and contractual payments made by the hotel. This
subsection expires after the office of management and budget
makes a certification under IC 21-35.5-1-4.
SECTION 4. IC 6-3.6-6-3, AS ADDED BY P.L.243-2015,
SECTION 10, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2016]: Sec. 3. Except as provided in IC 6-3.6-9-4(b),
revenue raised from a tax imposed under this chapter shall be treated
as follows:
(1) To make distributions to school corporations and civil taxing
units in counties that formerly imposed a tax under IC 6-3.5-1.1.
The revenue categorized from the first twenty-five hundredths
percent (0.25%) of the rate for a former tax adopted under
IC 6-3.5-1.1 shall be allocated to school corporations and civil
taxing units. The amount of the allocation to a school corporation
or civil taxing unit shall be determined using the allocation
amounts for civil taxing units and school corporations in the
determination.
(2) The remaining revenue shall be treated as additional revenue
(referred to as "additional revenue" in this chapter). Additional
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revenue may not be considered by the department of local
government finance in determining:
(A) any taxing unit's maximum permissible property tax levy
limit under IC 6-1.1-18.5; or
(B) the approved property tax rate for any fund.
SECTION 5. IC 6-3.6-9-4, AS ADDED BY P.L.243-2015,
SECTION 10, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2016]: Sec. 4. (a) Except as provided in subsection (b),
revenue derived from the imposition of the tax shall, in the manner
prescribed by this chapter, be distributed to the county that imposed it.
The amount that is to be distributed to a county during an ensuing
calendar year equals the amount of tax revenue that the budget agency
determines has been:
(1) received from that county for a taxable year ending in a
calendar year preceding the calendar year in which the
determination is made; and
(2) reported on an annual return or amended return processed by
the department in the state fiscal year ending before July 1 of the
calendar year in which the determination is made;
as adjusted for refunds of tax made in the state fiscal year.
(b) The revenue that is derived from the imposition of the
expenditure rate imposed in Marion County under IC 6-3.6-6 and
collected on the wages, salaries, and contractual payments paid by:
(1) a professional soccer team that plays the majority of its
home games at the Michael A. Carroll Track and Soccer
Stadium (or its successor) to employees of the professional
soccer team, including payments to professional athletes for
professional athletic services; or
(2) a hotel that is:
(A) opened after December 31, 2015; and
(B) located at the southeast corner of the intersection of
Illinois Street and Market Street in Indianapolis;
shall be deposited in the state general fund and shall not be
distributed to the county. The department shall separately account
for the local income taxes deposited in the state general fund under
this subsection. Taxpayers operating at the Michael A. Carroll
Track and Soccer Stadium (or its successor) and taxpayers
operating at the hotel shall report annually, in the form and
manner prescribed by the department, the information that the
department considers necessary to make the accounting required
by this subsection. Taxpayers that file on a consolidated basis shall
annually file an informational return separately reporting the
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wages, salaries, and contractual payments made by a professional
soccer team to employees of the professional soccer team and the
wages, salaries, and contractual payments made by the hotel. This
subsection expires after the office of management and budget
makes a certification under IC 21-35.5-1-4.
SECTION 6. IC 6-9-8-5 IS ADDED TO THE INDIANA CODE AS
A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE UPON
PASSAGE]: Sec. 5. (a) Subject to subsection (b), the capital
improvement board of managers may adopt a resolution to
distribute to the treasurer of state all or part of the tax collected
under this chapter at a hotel that is:
(1) opened after December 31, 2015; and
(2) located at the southeast corner of the intersection of
Illinois Street and Market Street in Indianapolis;
if the capital improvement board of managers determines that such
tax is not needed to pay obligations owed by the capital
improvement board of managers and that the distribution of such
tax to the treasurer of state will not impair the rights and remedies
of holders of any bonds or other obligations. All tax distributed to
the treasurer of state under this subsection shall be deposited in the
state general fund.
(b) After the office of management and budget has made a
certification under IC 21-35.5-1-4, the capital improvement board
of managers may not distribute county innkeeper's tax to the
treasurer of state under subsection (a).
SECTION 7. IC 6-9-12-8, AS AMENDED BY P.L.214-2005,
SECTION 31, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
UPON PASSAGE]: Sec. 8. (a) The amounts received from the county
food and beverage tax shall be paid monthly by the treasurer of the
state to the treasurer of the capital improvement board of managers of
the county or its designee upon warrants issued by the auditor of state.
Except as provided in subsection (b), so long as there are any current
or future obligations owed by the capital improvement board of
managers to the Indiana stadium and convention building authority
created by IC 5-1-17 or any state agency pursuant to a lease or other
agreement entered into between the capital improvement board of
managers and the Indiana stadium and convention building authority
or any state agency under IC 5-1-17-26, the capital improvement board
of managers or its designee shall deposit the revenues received from
that portion of the county food and beverage tax imposed under:
(1) section 5(a) of this chapter for revenue received after
December 31, 2027; and
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(2) section 5(b) of this chapter;
in a special fund, which may be used only for the payment of the
obligations described in this section.
(b) Subject to subsection (c), the capital improvement board of
managers may adopt a resolution to distribute to the treasurer of
state all or part of the county food and beverage tax collected at:
(1) the Michael A. Carroll Track and Soccer Stadium (or its
successor); or
(2) a hotel that is:
(A) opened after December 31, 2015; and
(B) located at the southeast corner of the intersection of
Illinois Street and Market Street in Indianapolis;
if the capital improvement board of managers determines that such
county food and beverage tax is not needed to pay obligations owed
by the capital improvement board of managers and that the
distribution of such county food and beverage tax to the treasurer
of state will not impair the rights and remedies of holders of any
bonds or other obligations. All county food and beverage tax
distributed to the treasurer of state under this subsection shall be
deposited in the state general fund.
(c) After the office of management and budget has made a
certification under IC 21-35.5-1-4, the capital improvement board
of managers may not distribute county food and beverage tax to
the treasurer of state under subsection (b).
SECTION 8. IC 6-9-13-1, AS AMENDED BY P.L.214-2005,
SECTION 32, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
UPON PASSAGE]: Sec. 1. (a) Except as provided in subsection
subsections (b) and (c), the city-county council of a county that
contains a consolidated first class city may adopt an ordinance to
impose an excise tax, known as the county admissions tax, for the
privilege of attending, before January 1, 2041, any event and, after
December 31, 2040, any professional sporting event:
(1) held in a facility financed in whole or in part by:
(A) bonds or notes issued under IC 18-4-17 (before its repeal
on September 1, 1981), IC 36-10-9, or IC 36-10-9.1; or
(B) a lease or other agreement under IC 5-1-17; and
(2) to which tickets are offered for sale to the public by:
(A) the box office of the facility; or
(B) an authorized agent of the facility.
(b) Except as provided in subsections (a) and (c), if bonds have
been issued under IC 21-35.5, the county admissions tax under this
chapter is also imposed on the privilege of attending professional
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sporting events at the Michael A. Carroll Track and Soccer
Stadium (or its successor). The county admissions tax under this
subsection applies to transactions after the last day of the month in
which the trustees of Indiana University have made a certification
under IC 21-35.5-1-3, if the date of issuance of the bonds as
certified to the Marion County city-county council and the
department of state revenue is on or before the fifteenth day of a
month. If the date of issuance of the bonds as certified to the
Marion County city-county council and the department of state
revenue is after the fifteenth day of a month, the tax applies to
transactions after the last day of the month following the month in
which the trustees of Indiana University make the certification
under IC 21-35.5-1-3.
(b) (c) The excise tax imposed under subsection subsections (a)
and (b) does not apply to the following:
(1) An event sponsored by an educational institution or an
association representing an educational institution.
(2) An event sponsored by a religious organization.
(3) An event sponsored by an organization that is considered a
charitable organization by the Internal Revenue Service for
federal tax purposes.
(4) An event sponsored by a political organization.
(c) (d) If a city-county council adopts an ordinance under subsection
(a) or (b), it shall immediately send a certified copy of the ordinance
to the commissioner of the department of state revenue.
(d) (e) If a city-county council adopts an ordinance under subsection
(a) or section 2 of this chapter prior to June 1, the county admissions
tax applies to admission charges collected after June 30 of the year in
which the ordinance is adopted. If the city-county council adopts an
ordinance under subsection (a) or section 2 of this chapter on or after
June 1, the county admissions tax applies to admission charges
collected after the last day of the month in which the ordinance is
adopted.
SECTION 9. IC 6-9-13-2, AS AMENDED BY P.L.205-2013,
SECTION 132, IS AMENDED TO READ AS FOLLOWS
[EFFECTIVE UPON PASSAGE]: Sec. 2. (a) Except as provided in
subsection (b), the county admissions tax equals five percent (5%) of
the price for admission to any event described in section 1 of this
chapter.
(b) On or before June 30, 2005, the city-county council may, by
ordinance adopted by a majority of the members elected to the
city-county council, increase the county admissions tax from five
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percent (5%) to six percent (6%) of the price for admission to any event
described in section 1 of this chapter.
(c) After January 1, 2013, and before March 1, 2013, the city-county
council may, by ordinance adopted by a majority of the members
elected to the city-county council, increase the county admissions tax
rate by not more than four percent (4%) of the price for admission to
any event described in section 1 of this chapter. If the city-county
council adopts an ordinance under this subsection:
(1) the city-county council shall immediately send a certified copy
of the ordinance to the commissioner of the department of state
revenue; and
(2) the tax applies to transactions after the last day of the month
in which the ordinance is adopted, if the city-county council
adopts the ordinance on or before the fifteenth day of a month. If
the city-county council adopts the ordinance after the fifteenth
day of a month, the tax applies to transactions after the last day of
the month following the month in which the ordinance is adopted.
The increase in the tax imposed under this subsection continues in
effect unless the increase is rescinded. However, any increase in the tax
rate under this subsection may not continue in effect after February 28,
2023.
(d) The amount collected from that portion of the county admissions
tax imposed under:
(1) subsection (a) and collected after December 31, 2027; and
(2) subsection (b);
shall be distributed to the capital improvement board of managers or its
designee. So long as there are any current or future obligations owed
by the capital improvement board of managers to the Indiana stadium
and convention building authority created by IC 5-1-17 or any state
agency pursuant to a lease or other agreement entered into between the
capital improvement board of managers and the Indiana stadium and
convention building authority or any state agency under IC 5-1-17-26,
the capital improvement board of managers or its designee shall deposit
the revenues received from that portion of the county admissions tax
imposed under subsection (b) in a special fund, which may be used
only for the payment of the obligations described in this subsection.
(e) The amount collected from an increase adopted under subsection
(c) shall be deposited in the sports and convention facilities operating
fund established by IC 36-7-31-16.
(f) If the county admissions tax is imposed under section 1(b) of
this chapter on the privilege of attending professional sporting
events at the Michael A. Carroll Track and Soccer Stadium (or its
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successor), the county admissions tax equals ten percent (10%) of
the price for admission to such an event. The following apply
notwithstanding section 5 of this chapter:
(1) Except as provided in subdivision (2), the amount collected
from the county admissions tax imposed under section 1(b) of
this chapter shall be deposited in the state general fund and
shall not be distributed to the capital improvement board of
managers. The department of state revenue shall separately
account for the amounts collected from the county admissions
tax imposed under section 1(b) of this chapter and deposited
in the state general fund.
(2) Subject to subdivision (3), after the office of management
and budget makes a certification under IC 21-35.5-1-4, the
amount collected from the county admissions tax imposed
under section 1(b) of this chapter shall be distributed as
provided in section 5 of this chapter.
(3) The county admissions tax imposed under section 1(b) of
this chapter expires at the end of the year in which the office
of management and budget makes a certification under
IC 21-35.5-1-4, unless the city-county council adopts an
ordinance to continue the county admissions tax imposed
under section 1(b) of this chapter.
SECTION 10. IC 21-35.5 IS ADDED TO THE INDIANA CODE
AS A NEW ARTICLE TO READ AS FOLLOWS [EFFECTIVE
UPON PASSAGE]:
ARTICLE 35.5. ISSUANCE OF BONDS FOR CERTAIN
CAPITAL IMPROVEMENTS
Chapter 1. Issuance of Bonds
Sec. 1. (a) Subject to the requirements of this chapter, the
trustees of Indiana University may issue and sell bonds to acquire,
erect, construct, reconstruct, improve, rehabilitate, remodel,
repair, complete, extend, or enlarge capital improvements at the
Michael A. Carroll Track and Soccer Stadium (or its successor) to
facilitate the holding of professional, collegiate, high school, or
amateur sporting events.
(b) The sum of the principal costs of any bonds issued under this
section, excluding amounts necessary to provide money for debt
service reserves, credit enhancement, or other costs incidental to
the issuance of the bonds, may not exceed twenty million dollars
($20,000,000).
Sec. 2. The trustees of Indiana University may not issue bonds
under this chapter unless all of the following requirements are
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satisfied:
(1) The bond issuance has been reviewed by the budget
committee.
(2) The director of the budget agency has approved the bond
issuance.
(3) A lease agreement for at least twenty (20) years has been
entered into by Indiana University and a professional soccer
team concerning the use of the Michael A. Carroll Track and
Soccer Stadium (or its successor) by the professional soccer
team. However, the lease agreement may contain a buy-out
provision that allows the professional soccer team to
terminate the lease agreement upon the payment of
consideration as specified in the lease agreement.
Sec. 3. If bonds are issued under this chapter, the trustees of
Indiana University shall certify the date of the issuance to the
budget committee, the budget agency, the trustees of Indiana
University, the department of state revenue, and the Marion
County city-county council.
Sec. 4. If the office of management and budget determines that
the sum of:
(1) all state gross retail and use taxes accounted for under
IC 6-2.5-10-1.5;
(2) all adjusted gross income taxes accounted for under
IC 6-3-7-3.5;
(3) all county option income tax deposited in the state general
fund under IC 6-3.5-6-17(m) and all local income tax
deposited in the state general fund under IC 6-3.6-9-4(b);
(4) all county innkeeper's taxes that are:
(A) imposed under IC 6-9-8;
(B) distributed by the capital improvement board of
managers to the treasurer of state; and
(C) deposited in the state general fund under IC 6-9-8-5(a);
(5) all county food and beverage taxes that are:
(A) imposed under IC 6-9-12;
(B) distributed by the capital improvement board of
managers to the treasurer of state; and
(C) deposited in the state general fund under
IC 6-9-12-8(b); and
(6) all county admissions taxes that are:
(A) imposed under IC 6-9-13-1(b); and
(B) deposited in the state general fund;
equals the total amount of principal and interest payments to be
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made on the bonds issued under this section, the office of
management and budget shall certify that determination to the
budget committee, the budget agency, the trustees of Indiana
University, the department of state revenue, and the Marion
County city-county council.
Sec. 5. Before October 1 of each year, the department of state
revenue shall certify to the budget committee, the budget agency,
the trustees of Indiana University, and the Marion County
city-county council the amounts deposited in the state general fund
under section 4 of this chapter.
Sec. 6. To the extent that the costs of acquiring, erecting,
constructing, reconstructing, improving, rehabilitating,
remodeling, repairing, completing, extending, or enlarging capital
improvements at the Michael A. Carroll Track and Soccer Stadium
(or its successor) exceed the sum of:
(1) twenty million dollars ($20,000,000); plus
(2) any amounts paid or contributed by the city of
Indianapolis for those purposes;
the professional soccer team or the professional soccer league in
which the professional soccer team competes (or both) shall pay
those excess costs.
SECTION 11. [EFFECTIVE JULY 1, 2016] (a) There is
appropriated from the state general fund to Indiana University one
million five hundred thousand dollars ($1,500,000) for fee
replacement for the state fiscal year beginning July 1, 2016, and
ending June 30, 2017.
(b) This SECTION expires June 30, 2017.
SECTION 12. An emergency is declared for this act.

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