Sec. 17. (a) A county executive, instead of making a loan or loans as provided in section 4 of this chapter, may make a loan for a period of not more than ten (10) years for any of the purposes authorized by this chapter.

     (b) A loan issued under this section must be at a rate of interest not exceeding six percent (6%) per annum, payable semiannually. The loan must be evidenced by the bonds of the county, which shall be payable at their maturity and not later than ten (10) years after the date of issue.

     (c) A bond issued under this section is exempt from taxation for all purposes.

     (d) If a bond issued under this section is issued for a longer period than five (5) years:

(1) at least one-fiftieth (1/50) of the total issue of the bonds must mature each year after the fifth year; and

(2) the balance of the bond must mature and be paid or refunded not later than ten (10) years after the date of issue.

     (e) A county executive may refund a loan issued under this chapter with another bond issue in accordance with this chapter.

     (f) A county executive may name the date when the first series of refunding bonds is due. However, the first of the series may not be for a longer period than five (5) years from the date of issue.

[Pre-2003 Recodification Citation: 10-7-1-17.]

As added by P.L.2-2003, SEC.9.