interest on bonds Sec. 3. Notwithstanding any other law, any issuer may take any reasonable and necessary action to establish or maintain the exclusion from gross income for interest on obligations of the issuer under federal law. These actions may include, without limitation: (1) filing information reports with the federal government; (2) rebating money derived from bond proceeds or money treated as bond proceeds under federal law, or earnings thereon, to the federal government; (3) restricting the yield on money or earnings described in subdivision (2) to the yield on bonds of the issuer; (4) investing money or earnings described in subdivision (2) in obligations of issuers that bear interest that is excludable from gross income under federal law; (5) issuing obligations in an amount sufficient to serve the public purpose of the financing without considering earnings thereon; (6) qualifying obligations under any volume cap or electing any carryforward of unused volume cap; (7) designating, through its legislative body or any board responsible for issuing obligations as long as the obligations are executed by the executive of the issuer, obligations to qualify for any exemption from the loss of any deduction for interest incurred by any financial institution to carry tax exempt obligations or for any exemption from federal arbitrage rebate requirements; and (8) complying with limitations imposed by federal law on the issuance of tax exempt bonds under IC 36-7-14, IC 36-7-14.5, IC 36-7-15.1, or IC 36-7-15.3, including, without limitation: (A) designation of redevelopment project areas by a legislative body (as defined in IC 36-1-2-9) having jurisdiction over the area; (B) considering any factors required by federal law in determining whether an area meets the criteria for designation as a redevelopment project area; and (C) limiting the use of property in a redevelopment project area. As added by P.L.27-1986, SEC.1. Amended by P.L.37-1988, SEC.4; P.L.2-1989, SEC.4; P.L.185-2005, SEC.1.
IC 5-1-14-4 Pledge made by issuer binding; lien Sec. 4. (a) Notwithstanding any other law, a pledge of revenues or other money, or property made by any issuer is binding from the time the pledge is made. Revenues or other money, or property pledged and thereafter received by the issuer are immediately subject to the lien of the pledge without any further act, and the lien of a pledge is binding against all parties having claims of any kind in tort, contract, or otherwise against the issuer, regardless of whether the parties have notice of any lien. No resolution, ordinance, indenture, or any other instrument by which a pledge is created needs to be filed or recorded except in the records of the issuer. (b) Notwithstanding any other law, an issuer may pledge any revenues or other money or pledge or mortgage property to pay debt service on or secure any obligations or any lease rental or contractual payments, if: (1) the issuer has the necessary statutory authority to issue obligations, pay lease rentals, or make contractual payments for any project or purpose for which the pledge or mortgage is made; (2) the revenues, money, or property is legally available, under federal, state, and local laws, to pay or secure debt service, lease rentals, or contractual payments; and (3) the pledge or mortgage does not purport to create an obligation in violation of any statutory or constitutional limitation to which the issuer is subject. As added by P.L.27-1986, SEC.2. Amended by P.L.37-1988, SEC.5.