45A.877 Reimbursement of underwriters for counsel retained by them for bond issuance -- Prohibition against state employee's recommending selection. - Kentucky Statutes

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Page 1 of 1 45A.877 Reimbursement of underwriters for counsel retained by them for bond issuance -- Prohibition against state employee's recommending selection. (1) The office shall establish and maintain a schedule of rates at which underwriters will be reimbursed for fees and expenses of counsel they retain for a bond issuance. (2) Employees of the Commonwealth shall be prohibited from directly or indirectly recommending the selection of the underwriter's counsel. This section shall not be
deemed to prohibit the creation of a list of qualified firms to assist underwriters in
the selection of their counsel or from otherwise making general information
regarding law firms available to underwriters. (3) For each bond issuance, the secretary of the Finance and Administration Cabinet and the executive director shall certify to the Capital Projects and Bond Oversight
Committee that neither they, or, to the best of their knowledge, anyone involved in
the selection process, attempted to recommend the hiring of any law firm by an
underwriter. (4) If the Capital Projects and Bond Oversight Committee determines that an employee of the Commonwealth has, at the request of a law firm, recommended the selection
of an underwriter's counsel relating to a bond issuance in an attempt to exercise
influence on the selection process, the committee shall recommend to the secretary
of the Finance and Administration Cabinet that the firm be prohibited from serving
as bond counsel or underwriter's counsel for a bond issuance for a period of two (2)
years, commencing on the date of the determination. The secretary shall follow the
recommendation or submit the reasons for not following the recommendation in
writing to the committee. Effective: July 15, 1994
History: Created 1994 Ky. Acts ch. 409, sec. 12, effective July 15, 1994.