74.363 Merger of water districts -- Board of resulting district -- Transfer of assets -- Payment of obligations. - Kentucky Statutes

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Page 1 of 1 74.363 Merger of water districts -- Board of resulting district -- Transfer of assets - - Payment of obligations. (1) Boards of commissioners of any two (2) or more water districts may by concurrent action and by approval of a majority of the membership of the board of each merge
their districts into one (1). (2) The members of the boards of commissioners of the merged water districts shall serve as members of the board of commissioners of the resulting district, regardless
of their normal term expiration, until one (1) year after approval of the merger by
the Public Service Commission. Thereafter, the board shall be composed as follows:
(a) If the boundaries of the resulting district lie wholly within a single county, the board of commissioners shall be composed of between three (3) and seven (7)
members as agreed upon by the merged water districts in their merger
documents. (b) If the boundaries of the resulting district lie within two (2) or more counties, the board of commissioners shall be composed of six (6) or more members as
agreed upon by the merged water districts in their merger documents. (3) Each appointment to the board of commissioners of the resulting district shall be made by the appropriate county judge/executive with the approval of the fiscal
court. Each member of the board shall be a resident of the county from which he or
she is appointed. The initial terms of the board of commissioners after the merger
shall be as follows: approximately one-third (1/3) of the commissioners shall be
appointed for a term of two (2) years; approximately one-third (1/3) of the
commissioners shall be appointed for a term of three (3) years; and the remaining
commissioners shall be appointed for a term of four (4) years. Thereafter, all
commissioners shall be appointed for a term of four (4) years. KRS 74.020(2) to
(10) shall apply to all commissioners and vacancies on the board of commissioners. (4) The resulting district shall have all the assets and legal liabilities of the water districts joining in the merger. The separate existences of the water districts joining
in the merger, except the resulting district, shall cease, and the title to all real estate
and other property owned by the water districts joining in the merger shall be vested
in the resulting district without reversion or impairment. Bonded obligations of any
district secured by the right to levy an assessment as provided by KRS 74.130
through 74.230 or secured by the revenue of the systems operated by the district
shall continue to be retired or a sinking fund for such purpose created from the tax
assessments or revenue from the system operated by the district from funds
collected over the same area by the new board of commissioners in accordance with
the laws under which the bonds were issued until all bonded obligations of the old
district have been retired. Effective: July 15, 2010
History: Amended 2010 Ky. Acts ch. 18, sec. 2, effective July 15, 2010. -- Amended 2008 Ky. Acts ch. 6, sec. 11, effective July 15, 2008. -- Amended 1998 Ky. Acts
ch. 76, sec. 2, effective July 15, 1998. -- Amended 1996 Ky. Acts ch. 236, sec. 2,
effective April 4, 1996. -- Amended 1994 Ky. Acts ch. 298, sec. 2, effective July 15,
1994. -- Created 1966 Ky. Acts ch. 70, sec. 4.