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96.570 Powers of boards for municipal electric plants.
Except as otherwise specifically provided in KRS 96.550 to 96.900, the board of the
municipality shall exercise all powers conferred upon the municipality by KRS
96.550 to 96.900. Any board operating under the provisions of KRS 96.550 to
96.900 shall have the legal power and capacity to perform any act not repugnant to
law and shall have the express power and capacity to do any and all acts or things
necessary or convenient for the carrying out of the purposes of KRS 96.550 to
96.900, including, but not by way of limitation, the following express powers:
(1) Acquire, hold and dispose of property, real and personal, tangible and
intangible, necessary or incident to the proper conduct of its business.
(2) Construct, acquire, own, lease, operate, maintain and improve electric plant or
plants as defined in KRS 96.550, and may provide electric service to any user
or consumer within and without the boundaries of any municipality, and charge
and collect reasonable rates therefor.
(3) Construct, acquire, own, lease, operate, maintain and improve distribution or
transmission line or lines, or generating plant or plants, together with all
necessary and appropriate facilities, equipment and appurtenances,
individually or jointly with any other municipality or rural electric cooperative
corporation organized under the laws of Kentucky for the purpose of
generating, distributing, or transmitting electric power or energy and connecting
their respective electric plants with a wholesale source of supply, and in the
case of any such joint action, such municipalities and rural electric cooperative
corporations may provide by contract for the method of holding title, for the
allocation of responsibility, for operation and maintenance and for the allocation
of expenses and revenues.
(4) Construct, own, lease, operate and control any and all works, lines, buildings
and other facilities across, along, or under any street or public highway, and
over any lands which are now or may be the property of the Commonwealth or
of any county or municipality within this Commonwealth. The board shall,
however, at its own expense, restore any such street or highway to its former
condition and state as nearly as may be possible and shall not use the same in
a manner as to impair its usefulness or to interfere with or obstruct the
maintenance thereof. Before exercising these powers the board shall obtain a
permit or consent or approval in writing from the governing authority of the
municipality, or the fiscal court, or the Department of Highways having
appropriate jurisdiction over any and all of such respective streets or public
highways.
(5) Accept gifts, grants of property, real or personal, including money, from any
person, municipality, or federal agency, or both, and to accept voluntary and
uncompensated services; provided, however, that when engineering services
are required by any municipality or any board or any appraisers or board of
appraisers, appointed pursuant to the provisions of KRS 96.550 to 96.900 to
render any services authorized or required or incident to surveys, plans,
estimates of cost, or the valuation of property, or in the preparation of reports
authorized by KRS 96.550 to 96.900, no engineer who is engaged in whole or
in part in the business of buying or selling any electric equipment, machinery,
fixtures, materials, supplies, or the sale or purchase of bonds shall be eligible
for employment or for any services whatsoever under the provisions of KRS
96.550 to 96.900. The limitations hereinabove provided shall also apply to any
firm of engineers and to any member of any firm of engineers, if the firm or
member of the firm is engaged in whole or in part in the business of buying or
selling any electric machinery, equipment, fixtures, materials, supplies, or the
sale or purchase of bonds; and no such firm or member of such firm shall be
eligible for employment or for any service whatsoever under the provisions of
KRS 96.550 to 96.900. Provided, further, that the provisions of this section
shall not be construed to prohibit the board or the governing authority of any
municipality from obtaining the advice or services of any engineer in the regular
employment of the state or any federal governmental agency.
(6) Contract debts and borrow money for the acquisition or improvement of any
electric plant, issue bonds to finance such acquisition or improvement, provide
for the rights of holders of the bonds and to secure the bonds as hereinafter
provided, and pledge all or any of the net revenues derived from electric
service to the payment of such debts or repayment of money borrowed.
(7) Acquire, hold, and, subject to the provisions of KRS 96.860 and the applicable
provisions of any bonds or contracts, dispose of any property, real or personal,
tangible or intangible, or any right or interest in any such property in connection
with any electric plant, and whether or not subject to mortgages, liens, charges,
or other encumbrances.
(8) Make contracts and execute instruments containing such covenants, terms,
and conditions as in the discretion of the board may be necessary, proper, or
advisable for the purpose of obtaining loans from any source, or grants, loans
or other financial assistance from any governmental agency, including, but
without limitation, covenants, terms, and conditions with respect to the
acquisition or construction of any electric plant or any improvement thereto with
money in whole or in part borrowed from or granted by any governmental
agency; make all other contracts and execute all other instruments as in the
discretion of the board may be advisable in or for the furtherance of the
acquisition, improvement, operation and maintenance of any electric plant and
the furnishing of electric service; and carry out and perform the covenants,
terms, and conditions of all such contracts or instruments.
(9) Enter on any lands, waters and premises for the purpose of making surveys,
soundings and examinations in connection with the acquisition, improvement,
operation or maintenance of any electric plant and the furnishing of electric
service.
(10) Do all acts and things necessary or convenient to carry out the powers
expressly given in KRS 96.550 to 96.900.
(11) Make any contracts necessary or convenient for the full exercise of the powers
herein granted, including, but not limited to, contracts for either the purchase or
sale or both the purchase and sale of electric energy or power, and contracts
for the acquisition or improvement of all or any part of an electric plant; and, in
connection with any such contract with a governmental agency, the board may
stipulate and agree to such covenants, terms, and conditions as the governing
body deems appropriate, including, but without limitation, covenants, terms,
and conditions with respect to the resale rates, financial and accounting
methods and the manner of disposing of the revenue of the electric plant
conducted and operated by the board, except that the board shall not have
power to contract with the Tennessee Valley Authority or any other
governmental agency for the purchase and resale of electric energy or power
unless the contract shall provide that the resale rates of the board for electric
service or electric energy shall be sufficient to cover all operating expenses,
interest charges, and bond payments, other expenses, and payments to the
state, any county, any school district, any municipality, and any other special
taxing district in which the board operates, of amounts determined as provided
in KRS 96.820; nor unless such contract provides that the payments to such
taxing jurisdictions be made to them as hereinafter prescribed.
(12) Acquire a franchise to furnish electric service to any other municipality or
county or the inhabitants thereof, and to contract with any other municipality or
county to furnish it with electric service. Such contracts may be entered into by
the governing bodies of the other cities or county.
History: Created 1942 Ky. Acts ch. 18, sec. 3.
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