Second Regular Session 114th General Assembly (2006)
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
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HOUSE ENROLLED ACT No. 1018
AN ACT to amend the Indiana Code concerning the environment.
Be it enacted by the General Assembly of the State of Indiana:
SECTION 1. IC 13-18-16-16 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2006]: Sec. 16. (a) A nonprofit
water utility may adopt a resolution approved by its board of directors
under this section that reconstitutes the nonprofit water utility as a
water authority to be named as provided in the resolution.
(b) A resolution adopted under this section must allow:
(1) the structure of the board of directors; and
(2) the rules governing the water authority;
to remain the same as those applicable to the nonprofit water utility.
(c) The water authority shall retain all its powers, privileges, rights,
and exemptions as a nonprofit water utility under:
(1) its existing bylaws and articles; and
(2) all laws applicable to nonprofit water utilities and local water
corporations, including powers granted under IC 32-24-4-1.
(d) Except as provided in subsection (g),
a water authority
constituted under this section is a political subdivision of the state.
(e) A copy of a resolution adopted under this section must be filed
with the secretary of state. When the secretary of state receives a copy
of a resolution under this subsection, the secretary of state shall
dissolve the corporate status of the nonprofit water utility for purposes
of state law.
(f) A water authority constituted under this section shall:
(1) remain obligated under any existing contracts or agreements;
(2) remain obligated and assume the indebtedness;
of the nonprofit water utility.
(g) Notwithstanding any other law and subject to
subsections (h) and (i), a water authority constituted under this section
is subject only to the laws applicable to nonprofit water utilities and
local water corporations and is not subject to the following:
(1) IC 5-3.
(2) IC 5-4-1.
(3) IC 5-11.
(4) IC 5-13.
(5) IC 5-14-1.5.
(6) IC 5-14-3.
(7) IC 5-22.
(8) IC 36-1-8.
(9) IC 36-1-10.
(10) IC 36-1-10.5.
(11) IC 36-1-11.
(12) IC 36-1-12.
(13) IC 36-1-15.
(h) A water authority constituted under this section is subject to
IC 8-1.5-3-8 for purposes of setting rates and charges.
(i) For each fiscal or calendar year of a water authority
constituted under this section that ends after December 31, 2006,
the water authority:
(A) have an audit of its financial records performed by an
independent certified public accounting firm; and
(B) keep the audit report on file at the water authority; and
(2) notwithstanding IC 5-11-1-9, is not subject to the
(A) Audit or examination by the state board of accounts.
(B) The examination guidelines and reporting
requirements of the state board of accounts.
Speaker of the House of Representatives
President of the Senate
President Pro Tempore
Governor of the State of Indiana
HEA 1018 _ Concur
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