February 2, 2004
HOUSE BILL No. 1141
DIGEST OF HB 1141
(Updated January 28, 2004 5:12 pm - DI 108)
Citations Affected: IC 36-9; noncode.
Synopsis: Sewer liens on rental property. Requires a municipality that
operates a sewage works to notify the owner of the property when a
sewer fee is not paid within 30 days of the date the fee is due.
Effective: July 1, 2004.
January 13, 2004, read first time and referred to Committee on Local Government.
February 2, 2004, amended, reported _ Do Pass.
February 2, 2004
Second Regular Session 113th General Assembly (2004)
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HOUSE BILL No. 1141
A BILL FOR AN ACT to amend the Indiana Code concerning local
Be it enacted by the General Assembly of the State of Indiana:
SOURCE: IC 36-9-23-28; (04)HB1141.1.1. -->
SECTION 1. IC 36-9-23-28, AS AMENDED BY P.L.2-2002,
SECTION 123, IS AMENDED TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2004]: Sec. 28. (a) The legislative body of a
municipality that operates sewage works under this chapter may, by
ordinance, require the owners, lessees, or users of property served by
the works to pay a deposit to ensure payment of sewer fees.
(b) The deposit required may not exceed the estimated average
payment due from the property served by the sewage works for a three
(3) month period. The deposit must be retained in a separate fund.
(c) The deposit, less any outstanding penalties and service fees,
shall be refunded to the depositor after a notarized statement from the
depositor that as of a certain date the property being served:
(1) has been conveyed or transferred to another person; or
(2) no longer uses or is connected with any part of the municipal
A statement under subdivision (1) must include the name and address
of the person to whom the property is conveyed or transferred.
(d) If a depositor fails to satisfy costs and fees within sixty (60) days
after the termination of
his the depositor's use or ownership of the
property served, he the depositor forfeits his the depositor's deposit
and all accrued interest. The forfeited amount shall be applied to the
depositor's outstanding fees. Any excess that remains due after
application of the forfeiture may be collected in the manner prescribed
by section 31 or 32 of this chapter.
(e) A deposit may be used to satisfy all or part of any judgment
awarded the municipality under section 31 of this chapter.
(f) A deposit made under this section that has remained unclaimed
by the depositor for more than seven (7) years after the termination of
the services for which the deposit was made becomes the property of
the municipality. IC 32-34-1 (unclaimed property) does not apply to a
deposit described in this subsection.
(g) When an owner, a lessee, or a user:
(1) of property served by a municipal sewer works; and
(2) who is responsible for payment of a sewer fee under this
fails to pay a fee within thirty (30) days after the date a fee is due,
the municipality must provide notice regarding the amount of the
unpaid fee to the owner of the property not less than sixty (60) days
after the date the fee is due.
SOURCE: ; (04)HB1141.1.2. -->
SECTION 2. [EFFECTIVE JULY 1, 2004] Notwithstanding
IC 36-9-23-28, as amended by this act, beginning January 1, 2005,
a municipality shall carry out the duties imposed on the
municipality under IC 36-9-23-28, as amended by this act.