Note: This version of section effective until 1-1-2019. See also following repeal of this chapter, effective 1-1-2019.

1. (1) a school corporation enters into a lease agreement with the Indiana bond bank for the lease of one (1) or more school buses under IC 5-1.5-4-1 (a)(5);
2. (2) the lease agreement conforms with the school corporation's twelve (12) year school bus replacement plan approved by the department of local government finance under section 9 of this chapter; and

3. (3) in the first full fiscal year after the effective date of the lease agreement, there would otherwise be a reduction in the levy in an amount equal to the difference between the total purchase price of the bus or buses and the total rental payment due under the lease agreement;

   the levy in that fiscal year may not be reduced by the amount of the reduction.

4. (b) Any or all of the amount of that part of the levy may, on or before the end of the year of its collection, be:

   1. (1) retained in the fund;
   2. (2) transferred to the school transportation fund established under IC 20-40-6-4 ; or
   3. (3) transferred to the capital projects fund established under IC 20-40-8-6 .

Sec. 12. (a) If:

As added by P.L.234-2007, SEC.264. Amended by P.L.140-2012, SEC.3.