2013 Kentucky Revised Statutes CHAPTER 441 - JAILS AND COUNTY PRISONERS 441.640 Revenue bonds issued by authority -- Limits on first issue -- Provisions for delivery of bond or note certificates.
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441.640 Revenue bonds issued by authority -- Limits on first issue -Provisions for delivery of bond or note certificates.
(1)
(2)
(3)
The authority may provide for the issuance of revenue bonds to pay any part of
the cost of any projects undertaken pursuant to an agreement and lease;
provided that, the authority shall not issue bonds before July 15, 1983, and
until the total amount of revenues collected and deposited in the authority's
fund equals or exceeds two million dollars ($2,000,000). The principal and
interest on such bonds are payable solely from the funds provided for such
payment. Any issue may be in one (1) or more series and any such series may
enjoy equal or subordinate status with respect to the pledge of funds from
which they are payable, shall be dated, shall bear interest at such rate or rates
as established by the authority, shall mature at such time or times not
exceeding forty (40) years from their date or dates, all as may be provided by
the authority, and may be made redeemable before maturity, at the option of
the authority, at such price or prices and under such terms and conditions as
may be fixed by the authority prior to the issuance of the bonds. The authority
shall determine the form of the bonds and shall fix the denomination of the
bonds and the place or places for payment of principal and interest, which may
be at any bank or trust company within or without the Commonwealth or at the
office of the Finance and Administration Cabinet. The bonds shall be signed by
the facsimile signature of the chairman or secretary of the authority, and the
seal of the authority or a facsimile thereof shall be affixed thereto and attested
by the manual signature or a facsimile thereof of the secretary or chairman of
the authority. All bonds issued under the provisions of KRS 441.625 to 441.695
shall have all the qualities and incidents of negotiable instruments under the
uniform commercial code, KRS Chapter 355. The authority may sell such
bonds at public or private sale.
The proceeds of the bonds of each issue shall be used solely for the payment
of the cost of the project or projects for which such bonds shall have been
issued, and shall be disbursed in such manner and under such restrictions, if
any, as the authority may provide in the proceedings authorizing the issuance
of such bonds or in the trust indenture securing the same. If the proceeds of
the bonds of any issue, by error of estimates or otherwise, shall be less than
such cost, additional bonds may in like manner be issued to provide the
amount of such deficit, and, unless otherwise provided in the proceedings
authorizing the issuance of such bonds or in the trust indenture securing the
same, shall be deemed to be of the same issue and shall be entitled to
payment from the same fund without preference or priority of the bonds first
issued. If the proceeds of the bonds of any issue exceed such cost, the surplus
shall be deposited to the credit of the sinking fund or funds for such bonds or
any account or accounts therein as the authority shall have provided in the
proceedings or trust indenture authorizing and securing such bonds.
Prior to the preparation of definitive bonds, the authority may, under like
restrictions, issue notes or temporary bonds exchangeable for definitive bonds
when such bonds shall have been executed and are available for delivery. The
authority may also provide for the replacement of any bonds which shall
become mutilated or shall be destroyed or lost.
(4)
The terms of the trust indenture under which bonds or notes are issued may
delegate to the trustee the authority to establish procedures for the physical
delivery of bond or note certificates either at the time of original issuance or on
subsequent transfers but any such method shall be subject to the approval of
the authority.
Effective:July 13, 1984
History: Amended 1984 Ky. Acts ch. 415, sec. 8, effective July 13, 1984. -Created 1982 Ky. Acts ch. 235, sec. 8, effective July 15, 1982.
2012-2014 Budget Reference. See State/Executive Branch Budget, 2012 Ky. Acts
ch. 144, Pt. I, H, 5, c, (2) at 1130.
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