Sec. 6. (a) At a factfinding hearing under section 5 of this chapter, the department of local government finance shall determine the following:
(1) Whether the township school has made all payments required by any statute, including the following:
(A) P.L.32-1999.
(B) IC 20-23-5-12.
(C) The resolution or plan of annexation of the township school, including:
(i) any amendment to the resolution or plan;
(ii) any supporting or related documents; and
(iii) any agreement between the township school and an annexing corporation relating to the winding up of affairs of the township school.
(2) The amount, if any, by which the township school is in arrears on any payment described in subdivision (1).
(3) Whether the township school has filed with the department of local government finance all reports concerning the affairs of the township school, including all transfer tuition reports required for the two (2) school years immediately preceding the date on which the township school was annexed.
(b) In determining the amount of arrears under subsection (a)(2), the department of local government finance shall consider all amounts due to an annexing corporation, including the following:
(1) Any transfer tuition payments due to the annexing corporation.
(2) All levies, excise tax distributions, and state distributions received by the township school and due to the annexing corporation, including levies and distributions received by the township school after the date on which the township school was annexed.
(3) All excessive levies that the township school agreed to impose and pay to an annexing corporation but failed to impose.
(c) If, in a hearing under this section, the department of local government finance determines that a township school has:
(1) under subsection (a)(1), failed to make a required payment; or
(2) under subsection (a)(3), failed to file a required report;
the department may act under section 7 of this chapter.