2014 Kentucky Revised Statutes CHAPTER 96 - UTILITIES IN CITIES 96.5375 Rights of city owning or operating natural gas system to sell natural gas within and without city boundaries -- Limitations -- Prohibitions -- Definitions.
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96.5375 Rights of city owning or operating natural gas system to sell natural
gas within and without city boundaries -- Limitations -- Prohibitions -Definitions.
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Subject to the limitations of subsection (4) of this section and KRS 96.045 and
96.538, any city that owns and operates a municipal system for the acquisition,
distribution, or transmission of natural gas may extend the system into and
furnish and sell natural gas to any person or entity within the boundaries of the
city or within any territory outside of the citys boundaries. In exercising the
authority provided by this subsection, the city may install the necessary
apparatus to provide natural gas distribution or transmission service and may
also condemn or otherwise acquire rights-of-way as private utilities may do.
The provisions of this subsection shall apply to all cities of this Commonwealth
transporting or distributing natural gas as well as any board, commission, or
agency thereof.
A city, other than a city of the first class or a consolidated local government,
may acquire the entire plant of an existing natural gas distribution system only
under the same process and subject to the same limitations established by
KRS 96.580, 96.590, and 96.600.
No property owned or operated by an existing natural gas distribution system
located within the Commonwealth may be condemned by a city from another
state.
A natural gas utility, which, for purposes of this subsection, means a public,
private or municipally owned gas utility distributing or transporting natural gas
to customers within this Commonwealth, shall not:
(a) Extend its system for the purposes of furnishing or selling natural gas to
any person or entity that is currently being served by another natural gas
utility; or
(b) Extend its system to furnish or sell natural gas to any person or entity
when there is another natural gas utility in closer proximity to the person
or entity to be served, unless the natural gas utility in closer proximity has
declined to provide service.
The provisions of subsection (4) of this section shall only apply to extension of
service issues between a municipally owned natural gas utility servicing
customers located outside its municipal boundaries and a private or
investor-owned natural gas utility. The term "municipally owned" shall include
systems distributing or transporting natural gas that are owned by a city from
another state.
Effective:June 25, 2013
History: Created 2013 Ky. Acts ch. 96, sec. 1, effective June 25, 2013.
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