80.230 Issuance of bonds by city authorities. - Kentucky Statutes

Download pdf

Loading PDF...

80.230 Issuance of bonds by city authorities. (1) Cities of all classes may provide funds for carrying out the purposes of this chapter by the issuance of revenue bonds pursuant to a resolution of the housing authority.
The bonds or other obligations of a housing authority shall not constitute an
obligation of the city. The bonds shall be payable only out of the properties,
revenues, and assets of the housing authority. Nothing contained in this section shall
authorize or permit any city to incur any indebtedness of any kind or nature
prohibited by the Constitution. Subject to the restrictions set forth in this chapter, a
city housing authority may incur any indebtedness and issue any obligations and
give any security which it deems necessary or advisable in connection with any
project undertaken by it. A city housing authority may issue its bonds to provide for
the payment of its indebtedness from time to time in amounts, with maturities, upon
the terms and conditions and upon the security as the authority deems necessary or
advisable in connection with any project undertaken or to be undertaken by it. The
bonds shall be signed by the chairman of the authority or other agent designated by
the authority and by the mayor or by the presiding officer of the legislative body of
the city under the city's seal, attested by a finance officer of the city. (2) A city housing authority may in connection with the borrowing of funds or otherwise enter into agreements with the federal government providing for
supervision and control of the housing authority or any project and containing other
covenants, terms, and conditions as the housing authority deems advisable. In
connection with any loan by a government, a city housing authority is authorized to
agree to limitations upon the exercise of any of its powers. (3) Bonds issued pursuant to this section shall have, in the hands of a bona fide holder, all of the qualities of negotiable instruments. They shall be exempt from taxation by
the state and its political subdivisions. It shall be plainly stated on the face of each
bond that it has been issued under the provisions of this chapter and that it does not
constitute an indebtedness of the city within the meaning of any constitutional
provisions or limitations. In case any provisions are made for the redemption or
prepayment of any bonds before maturity, the provisions shall require that the bonds
to be redeemed or prepaid shall be selected by lot from the whole number of the
issue then outstanding. The bonds may be issued without any other proceedings or
conditions than those proceedings and conditions specified and required by this
chapter or by the Constitution. Effective: July 15, 1996
History: Amended 1996 Ky. Acts ch. 274, sec. 15, effective July 15, 1996. -- Amended 1986 Ky. Acts ch. 23, sec. 3, effective July 15, 1986. -- Recodified 1942 Ky. Acts
ch. 208, sec. 1, effective October 1, 1942, from Ky. Stat. sec. 2741x-10.