(A) A Special LOIT Distribution Fund #257 is hereby established in and for the town.
(B) Monies from the State Local Option Income Tax Trust Fund distributed by the County Auditor to the town shall be deposited into the Special LOIT Distribution Fund #257.
(C) Monies from the Special LOIT Distribution Fund #257 may be expended only upon an appropriation by the Town Council and only for the following:
(1) At least 75% of the Special LOIT Distribution must be:
(a) Used exclusively by the town for:
1. Engineering, land acquisition, construction, resurfacing, maintenance, restoration, or rehabilitation of both local and arterial road and street systems;
2. The payment of principal and interest on bonds sold primarily to finance road, street, or thoroughfare projects;
3. Any local costs required to undertake a recreational or reservoir road project under I.C. 8-23-5;
4. The purchase, rental, or repair of highway equipment;
5. Providing a match for a grant from the local road and bridge matching grant fund under I.C. 8-23-30; or
6. Capital projects for aviation-related property or facilities, including capital projects of a board of aviation commissioners established under I.C. 8-22-2, or an airport authority established under I.C. 8-22-3-1; or
(b) Deposited in the town’s Rainy Day Fund established under I.C. 36-1-8-5.1. The money deposited in the Rainy Day Fund under this clause may not be appropriated from the Rainy Day Fund or transferred to another fund under I.C. 36-1-8-5.1(g), unless the money will be used exclusively for purposes set forth in division (1)(a).
(2) The remaining part of a Special LOIT Distribution may be spent by the town for any other purposes allowed by law.
(Ord. 05-17-2016, passed 5-17-2016)