(A) There is established a Town Cumulative Investment Incentive Program Repayment Fund. Said Fund is created in accordance with the direction of the State Board of Accounts and the regulations of the State Department of Commerce, Said fund is established for receiving unpledged repayments of investment incentive program loans, excluding any program income, made in conformity with the provisions of the State Incentive Program grants of the State Department of Commerce.
(B) The provisions set forth herein shall not apply to funds or repayment receivables pledged to the repayment of any presently existing, or hereafter created, improvement project revenue bonds (recapture bonds), which funds shall be handled in accordance with the provisions of the instruments pertaining thereto, nor shall the provisions hereof apply to any funds classified as “program income” under applicable regulations which income shall be segregated from the funds to which this section applies and handled and disbursed under the provisions applicable thereto.
(C) The funds accumulated in the funds accumulated in the Cumulative Investment Incentive Program Repayment Fund are to be used to provide for employment and services for the benefit of low to moderate income persons living or working in or near the town, including, but not limited to:
(1) Any use for which funds are permitted under the provisions of I.C. 36-9-15.5;
(2) Any the acquisition of vehicles and equipment related to or ancillary to I.C. 36-9-15.5, such as police vehicles, street cleaning equipment and the like;
(3) The granting of secured loans to private entities in order to induce the latter to acquire equipment or construct improvements which will be kept in and located within the town, which will create or retain employment opportunities or housing for low to moderate income persons living in or near the town. Any such loans shall be made in accordance with the provisions of division (D) below; and
(4) Any other use or reuse permitted under the terms of the regulations applicable to Investment Incentive Program grants of the State Department of Commerce.
(D) Any loan made under the terms of division (C)(3) above shall provide:
(1) Any equipment or construction whose purchase is funded under the terms of said loan is to have such equipment or real estate as a portion of the security for the repayment of said loan (the town may require additional security other than such equipment and real estate if it is determined that such is required); the lien upon such equipment and real estate shall be a first lien;
(2) The repayment amortization on any loan shall not exceed the depreciable life of said equipment; and
(3) Promissory notes and security agreements for said loans are to be prepared in accordance with the review of the Town Council and Town Attorney and are to contain standard default provisions and for the payment of all expenses pertaining to the making of said loan and collection thereof including reasonable attorney fees.
(E) The provisions of this section shall be interpreted in accordance with the provisions of applicable state and federal statutes and regulations regarding the use, holding and reuse of funds pertaining to the Investment Incentive Program administered by the State Department of Commerce.
(F) The funds to which this account applies shall not revert to the General Fund of the town, shall accumulate and shall not require appropriations unless required by applicable law.
(Ord. 101, passed 7-2-1991)