Sec. 5.2. (a) As used in this section, "fund" refers to the statewide library card fund established by subsection (b).

(b) The statewide library card fund is established as a dedicated fund to be administered by the state library. Money in the fund shall be disbursed by the director of the state library exclusively for:

(1) the costs of administering the statewide library card program; or

(2) distribution to eligible public libraries for services related to loans of books or other library items under the statewide library card program.

(c) A public library is eligible for a distribution of money from the fund if the board determines that the public library:

(1) meets the standards for public libraries established by rules of the board or the board has granted the public library a waiver from these standards; and

(2) charges a fee in the amount required under IC 36-12-2-25 for issuing a local library card to a nonresident of the public library district.

(d) The board shall adopt rules under IC 4-22-2 to establish a formula for the distribution of money in the fund to eligible public libraries. The formula must base the amount of money paid to an eligible public library upon the number of net loans made by the eligible public library under the statewide library card program.

(e) The fees collected under section 5.1 of this chapter shall be deposited in the fund. Interest earned on money in the fund shall be deposited in the fund.

(f) Money in the fund is appropriated continuously for the purposes specified in this section and section 5.1 of this chapter.

(g) Money in the fund at the end of a state fiscal year does not revert to the state general fund. If the fund is abolished, any money in the fund reverts to the state general fund.

As added by P.L.26-1992, SEC.2. Amended by P.L.19-1996, SEC.3; P.L.1-2005, SEC.66.