2014 Indiana Code TITLE 36. LOCAL GOVERNMENT ARTICLE 1. GENERAL PROVISIONS CHAPTER 7. INTERLOCAL COOPERATION
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IC 36-1-7
Chapter 7. Interlocal Cooperation
IC 36-1-7-1
Application of chapter
Sec. 1. This chapter applies to the following:
(1) The state.
(2) All political subdivisions.
(3) All state agencies.
(4) Any of the following created by state law:
(A) Public instrumentalities.
(B) Public corporate bodies.
(5) Another state to the extent authorized by the law of that
state.
(6) Political subdivisions of states other than Indiana, to the
extent authorized by laws of the other states.
(7) Agencies of the federal government, to the extent authorized
by federal laws.
(8) Indiana charter schools.
As added by Acts 1980, P.L.211, SEC.1. Amended by P.L.5-1993,
SEC.336; P.L.221-2007, SEC.24; P.L.38-2014, SEC.11.
IC 36-1-7-2
Permissible powers
Sec. 2. (a) A power that may be exercised by an Indiana political
subdivision and by one (1) or more other governmental entities may
be exercised:
(1) by one (1) or more entities on behalf of others; or
(2) jointly by the entities.
Entities that want to do this must, by ordinance or resolution, enter
into a written agreement under section 3 or 9 of this chapter.
(b) Notwithstanding subsection (a), Indiana governmental entities
that want only to buy, sell, or exchange services, supplies, or
equipment between or among themselves may enter into contracts to
do this and follow section 12 of this chapter.
As added by Acts 1980, P.L.211, SEC.1.
IC 36-1-7-3
Agreements; contents; powers under agreements
Sec. 3. (a) An agreement under this section must provide for the
following:
(1) Its duration.
(2) Its purpose.
(3) The manner of financing, staffing, and supplying the joint
undertaking and of establishing and maintaining a budget
therefor.
(4) The methods that may be employed in accomplishing the
partial or complete termination of the agreement and for
disposing of property upon partial or complete termination.
(5) Administration through:
(A) a separate legal entity, the nature, organization,
composition, and powers of which must be provided; or
(B) a joint board composed of representatives of the entities
that are parties to the agreement, and on which all parties to
the agreement must be represented.
(6) The manner of acquiring, holding, and disposing of real and
personal property used in the joint undertaking, whenever a
joint board is created under subdivision (5)(B).
In addition, such an agreement may provide for any other appropriate
matters.
(b) A separate legal entity or joint board established by an
agreement under this section has only the powers delegated to it by
the agreement. The agreement may not provide for members,
directors, or trustees of the separate legal entity or joint board to
make appointments (either individually or jointly) to fill vacancies on
the separate legal entity or joint board.
(c) Subsection (a)(6) does not apply to an emergency management
assistance compact under IC 10-14-5.
As added by Acts 1980, P.L.211, SEC.1. Amended by P.L.56-1988,
SEC.11; P.L.30-1998, SEC.3; P.L.2-2003, SEC.99.
IC 36-1-7-4
Agreements; when attorney general's approval required
Sec. 4. (a) If an agreement under section 3 of this chapter:
(1) involves as parties:
(A) only Indiana political subdivisions; or
(B) an Indiana political subdivision and:
(i) a public instrumentality; or
(ii) a public corporate body;
created by state law;
(2) is approved by the fiscal body of each party that is an
Indiana political subdivision either before or after the agreement
is entered into by the executive of the party; and
(3) delegates to the treasurer or disbursing officer of one (1) of
the parties that is an Indiana political subdivision the duty to
receive, disburse, and account for all monies of the joint
undertaking;
then the approval of the attorney general is not required.
(b) If subsection (a) does not apply, an agreement under section 3
of this chapter must be submitted to the attorney general for the
attorney general's approval. The attorney general shall approve the
agreement unless the attorney general finds that it does not comply
with the statutes, in which case the attorney general shall detail in
writing for the parties the specific respects in which the agreement
does not comply. If the attorney general fails to disapprove the
agreement within sixty (60) days after it is submitted to the attorney
general, it is considered approved.
As added by Acts 1980, P.L.211, SEC.1. Amended by P.L.221-2007,
SEC.25.
IC 36-1-7-5
Agreements; approval of state officer or state agency having power
to control services or facilities; reciprocal borrowing agreements
Sec. 5. (a) Except as provided in subsection (b) and regardless of
the requirements of section 4 of this chapter, if an agreement under
section 3 of this chapter concerns the provision of services or
facilities that a state officer or state agency has power to control, the
agreement must be submitted to that officer or agency for approval
before it takes effect.
(b) If a reciprocal borrowing agreement under section 3 of this
chapter concerns the provision of library services or facilities
between public libraries that are of the same nature as the services
provided under the statewide library card program under
IC 4-23-7.1-5.1, the reciprocal borrowing agreement is not required
to be submitted to the Indiana library and historical board for
approval before the reciprocal borrowing agreement takes effect, but
a copy of the reciprocal borrowing agreement shall be submitted to
the state library.
(c) Approval or disapproval is governed by the same provisions
prescribed by section 4(b) of this chapter for the attorney general.
As added by Acts 1980, P.L.211, SEC.1. Amended by P.L.37-1993,
SEC.4.
IC 36-1-7-6
Agreements; recording; filing
Sec. 6. Before it takes effect, an agreement under section 3 of this
chapter must be recorded with the county recorder. Not later than
sixty (60) days after it takes effect, such an agreement must be filed
with the state board of accounts for audit purposes.
As added by Acts 1980, P.L.211, SEC.1.
IC 36-1-7-7
Agreements; law enforcement or firefighting services
Sec. 7. (a) Except as provided in subsection (c), if an agreement
under section 3 of this chapter concerns the provision of law
enforcement or firefighting services, the following provisions apply:
(1) Visiting law enforcement officers or firefighters have the
same powers and duties as corresponding personnel of the
entities they visit, but only for the period they are engaged in
activities authorized by the entity they are visiting, and are
subject to all provisions of law as if they were providing
services within their own jurisdiction.
(2) An entity providing visiting personnel remains responsible
for the conduct of its personnel, for their medical expenses, for
worker's compensation, and if the entity is a volunteer fire
department, for all benefits provided by IC 36-8-12.
(b) A law enforcement or fire service agency of a unit or of the
state may request the assistance of a law enforcement or fire service
agency of another unit, even if no agreement for such assistance is in
effect. In such a case, subsection (a)(1) and (a)(2) apply, the agency
requesting assistance shall pay all travel expenses, and all visiting
personnel shall be supervised by the agency requesting assistance.
(c) This subsection applies to a law enforcement officer that visits
another state after a request for assistance from another state under
the emergency management compact is made under IC 10-14-5. A
law enforcement officer that visits another state does not have the
power of arrest unless the law enforcement officer is specifically
authorized to exercise the power by the receiving state.
As added by Acts 1980, P.L.211, SEC.1. Amended by P.L.28-1988,
SEC.115; P.L.229-1996, SEC.1; P.L.30-1998, SEC.4; P.L.1-1999,
SEC.80; P.L.2-2003, SEC.100.
IC 36-1-7-8
Interstate compact
Sec. 8. If any entities of other jurisdictions are parties to an
agreement under section 3 of this chapter, the agreement constitutes
an interstate compact. However, in a case or controversy involving
such an agreement, all parties to the agreement shall be considered
real parties in interest; and if the state suffers any damages or incurs
any liability as a result of being joined as a party in such a case or
controversy, it may bring an action against any entity causing the
state to suffer damages or incur liability.
As added by Acts 1980, P.L.211, SEC.1.
IC 36-1-7-9
Agreements between municipality and county; contents
Sec. 9. (a) This section may be used only for an agreement
between an Indiana municipality and the executive of the county in
which it is located concerning highway construction and maintenance
and related matters.
(b) An agreement under this section must provide for the
following:
(1) Its duration, which may not be more than four (4) years.
(2) The specific functions and services to be performed or
furnished by the county on behalf of the municipality.
In addition, such an agreement may provide for any other appropriate
matters.
(c) An agreement under this section may provide for either of the
following:
(1) A stipulation that distributions from the motor vehicle
highway account under IC 8-14-1, the local road and street
account under IC 8-14-2, or both, be made to the county rather
than to the municipality.
(2) A stipulation that the municipality will appropriate a
specified part of those distributions for purposes listed in the
agreement.
As added by Acts 1980, P.L.211, SEC.1.
IC 36-1-7-10
Agreements between municipality and county; prerequisites to
taking effect
Sec. 10. Before it takes effect, an agreement under section 9 of this
chapter must be:
(1) approved by the fiscal body of each party;
(2) recorded with the county recorder;
(3) filed with the executive of the municipality and the auditor
of the county; and
(4) filed with the auditor of state.
As added by Acts 1980, P.L.211, SEC.1.
IC 36-1-7-11
Power to appropriate money and provide personnel, services, and
facilities
Sec. 11. An entity entering into an agreement under this chapter
may:
(1) appropriate monies; and
(2) provide personnel, services, and facilities;
to carry out the agreement.
As added by Acts 1980, P.L.211, SEC.1.
IC 36-1-7-11.5
"Economic development project"; agreements related to economic
development projects
Sec. 11.5. (a) As used in this section, "economic development
project" has the meaning set forth in IC 6-3.5-7-13.1(c). The term
also includes any project related to transportation services,
transportation infrastructure, or the development or construction of
a hotel or other tourism destination.
(b) An entity entering into an agreement under this chapter that is
related to an economic development project may do any of the
following to carry out the agreement:
(1) After appropriation by the entity's fiscal body, transfer
money derived from any source to any of the following:
(A) One (1) or more entities that have entered into the
agreement.
(B) An economic development entity (as defined in section
15 of this chapter) established by an entity that has entered
into the agreement.
(C) A regional development authority, including the
northwest Indiana regional development authority
established by IC 36-7.5-2-1.
(D) A regional transportation authority including the regional
bus authority established under IC 36-9-3-2(c).
(2) Transfer any property or provide personnel, services, or
facilities to any entity or authority described in subdivision
(1)(A) through (1)(D).
As added by P.L.169-2006, SEC.45.
IC 36-1-7-12
Purchase, sale, or exchange of services, supplies, or equipment
Sec. 12. (a) Whenever a contract provides for the purchase, sale,
or exchange of services, supplies, or equipment between or among
Indiana governmental entities only, no notice by publication or
posting is required.
(b) Whenever a contract provides for one (1) Indiana
governmental entity to make a purchase for another, compliance by
the one with the applicable statutes governing public bids constitutes
compliance by the other.
(c) A governmental entity may make a purchase from any other
governmental entity or under another governmental entity's
referenced written contract if there is compliance with state
purchasing law by the original purchasing unit.
(d) Two (2) or more governmental entities may procure together
or with a nonprofit entity if the requirements of the public purchasing
statutes are met.
As added by Acts 1980, P.L.211, SEC.1. Amended by P.L.195-2007,
SEC.6.
IC 36-1-7-13
Agreements between school corporations; rights and privileges of
teachers
Sec. 13. Whenever an agreement authorized by this chapter is
between school corporations, teachers employed under the agreement
have the same rights and privileges as teachers employed under
IC 20-26-10-5, IC 20-26-10-6, and IC 20-26-10-7.
As added by P.L.110-1984, SEC.3. Amended by P.L.1-2005,
SEC.230.
IC 36-1-7-15
Agreements between economic development entities
Sec. 15. (a) As used in this section, "economic development
entity" means any of the following:
(1) A department of redevelopment organized under IC 36-7-14.
(2) A department of metropolitan development under
IC 36-7-15.1.
(3) A port authority organized under IC 8-10-5.
(4) An airport authority organized under IC 8-22-3.
(5) The Indiana finance authority.
(b) Notwithstanding section 2 of this chapter, two (2) or more
economic development entities may enter into a written agreement
under section 3 of this chapter if the agreement is approved by each
entity's governing body.
(c) A party to an agreement under this section may do one (1) or
more of the following:
(1) Except as provided in subsection (d), grant one (1) or more
of its powers to another party to the agreement.
(2) Exercise any power granted to it by a party to the agreement.
(3) Pledge any of its revenues, including taxes or allocated taxes
under IC 36-7-14, IC 36-7-15.1, or IC 8-22-3.5, to the bonds or
lease rental obligations of another party to the agreement under
IC 5-1-14-4.
(d) An economic development entity may not grant to another
entity the power to tax or to establish an allocation area under
IC 8-22-3.5, IC 36-7-14-39, or IC 36-7-15.1.
(e) An agreement under this section does not have to comply with
section 3(a)(5) or 4 of this chapter.
(f) An action to challenge the validity of an agreement under this
section must be brought within thirty (30) days after the agreement
has been approved by all the parties to the agreement. After that
period has passed, the agreement is not contestable for any cause.
As added by P.L.108-1993, SEC.12. Amended by P.L.115-1995,
SEC.14; P.L.85-1996, SEC.10; P.L.170-2002, SEC.137;
P.L.203-2005, SEC.7; P.L.221-2007, SEC.26.
IC 36-1-7-16
Transfer, combination, or sharing of powers, duties, functions, or
resources; budgets, rates, and levies
Sec. 16. (a) This section applies to a political subdivision if:
(1) the political subdivision enters into an agreement with one
(1) or more other political subdivisions under this chapter to
transfer, combine, or share powers, duties, functions, or
resources; and
(2) the political subdivision realizes through the transfer,
combination, or sharing of powers, duties, functions, or
resources a:
(A) savings; or
(B) reduction in the reasonably foreseeable expenses that
would otherwise have been incurred by the political
subdivision if the transfer, combination, or sharing of
powers, duties, functions, or resources had not taken place.
(b) The political subdivision shall specify in the agreement
described in subsection (a) the amount (if any) of the decrease that
the department of local government finance shall make to the
maximum permissible property tax levies, maximum permissible
property tax rates, and budgets under IC 6-1.1-17 and IC 6-1.1-18.5
of the political subdivision to:
(1) eliminate double taxation by different political subdivisions
for services; or
(2) eliminate any excess by which the amount of property taxes
imposed by the political subdivision exceeds the amount
necessary to pay for services.
(c) The fiscal body of the political subdivision shall determine and
certify to the department of local government finance the amount of
the adjustment (if any) to be made under subsection (b). The amount
of the adjustment (if any) to be made under subsection (b) must
comply with the agreement under this chapter under which the
political subdivision transfers, combines, or shares powers, duties,
functions, or resources.
As added by P.L.58-2011, SEC.1. Amended by P.L.255-2013, SEC.2.
IC 36-1-7-17
Expired
(Expired 3-15-2014 by P.L.212-2013, SEC.1.)
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