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353.762 Discretionary securing of bonds by trust indentures.
In the discretion of the authority, any bonds issued under KRS 353.750 to 353.776 may
be secured by a trust indenture or trust indentures by and between the authority and a
corporate trustee, which may be any trust company or bank having the powers of a trust
company in or outside of Kentucky. The trust indenture or the proceedings providing for
the issuance of the bonds may:
(1) Pledge or assign the rents and other revenues to be received from a particular series
of bonds as it relates to a trust indenture;
(2) Contain provisions for protecting and enforcing the rights and remedies of the
bondholders that are reasonable and proper and not in violation of law, including
covenants setting forth the duties of the authority in relation to the acquisition or
sale of property and the construction, improvement, maintenance, repair, and
insurance of the project or projects in connection with which the bonds are
authorized; the rates or rental charges; and the custody, safeguarding, and
application of all moneys;
(3) Restrict the individual right of action by bondholders; and
(4) Contain any other provisions as the authority may deem reasonable and proper for
the security of the bondholders.
It is lawful for any bank or trust company which may act as depository of the proceeds of
bonds or of revenues to furnish indemnifying bonds or pledge securities as may be
required by the rights and remedies of the bondholders and of the trustee. All expenses
incurred in carrying out the provisions of the trust indenture or proceedings may be
treated as a part of the cost of the project or projects.
Effective: June 20, 2005
History: Created 2005 Ky. Acts ch. 155, sec. 7, effective June 20, 2005.
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