96.520 City of second, third, fourth, fifth, or sixth class may acquire and operate electric light, heat, and power plants -- Regulation of provision of telecommunications services or municipal teleph - Kentucky Statutes

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96.520 City of second, third, fourth, fifth, or sixth class may acquire and operate electric light, heat, and power plants -- Regulation of provision of
telecommunications services or municipal telephone service -- Interconnection
agreements with utilities or utility affiliates -- Bonds. (1) Any city of the second, third, fourth, fifth, or sixth class may purchase, establish, erect, maintain, and operate electric light, heat, and power plants, with extensions
and necessary appurtenances, within or without the corporate limits of the city, for
the purpose of supplying the city and its inhabitants with electric light, heat, power,
and telecommunications. Any city-owned utility created under this section that
provides telecommunications services shall be regulated as to that service by KRS
Chapter 278. Any city-owned utility created under this section that provides
municipal telephone service shall be regulated as to that service by KRS Chapter
278. For the purpose of providing electric light, heat, power, and telephone services,
a city of the second, third, fourth, fifth, or sixth class may enter into and fulfill the
terms of an interconnection agreement with any electric or combination electric or
gas utility whose rates and service are regulated by the Public Service Commission
of Kentucky (or, if not so regulated, operating and having customers only outside of
Kentucky), or an affiliate entirely owned by or under complete common ownership
with an electric or combination electric and gas utility whose rates and service are
regulated by the Public Service Commission of Kentucky. Any city of the second,
third, fourth, fifth, or sixth class may establish, erect, maintain, and operate plants,
individually or jointly with any of these utilities or utility affiliate. In the case of any
joint action, a city and utility or utility affiliate may provide by contract for their
respective responsibilities, for operation and maintenance and for the allocation of
expenses, revenues, and power. If in the accomplishment of this purpose a city at
any time has capacity or energy surplus to the immediate needs of the city and its
inhabitants, the surplus, if not disposed of for consumption outside this state, may
be disposed of to an electric or combination electric and gas utility whose rates and
service are regulated by the Public Service Commission of Kentucky, to an affiliate
entirely owned by or under complete common ownership with such a utility, or to a
city-owned utility established pursuant to KRS Chapter 96. (2) The city shall proceed in the same manner and be governed by the same conditions as are set forth in KRS 96.360 to 96.510 for the acquisition and operation of a water
system, with the following exceptions:
(a) A petition calling for an election on the proposition of purchasing an existing plant shall be signed by at least two hundred (200) qualified voters of the city,
rather than by twenty-five percent (25%) of the qualified voters of the city
who voted at the last preceding regular election. (b) Notwithstanding any other laws, bonds may be issued bearing interest at a rate or rates and may be sold on a basis to yield interest at a rate or rates as may be
determined upon the sale of the bonds. (c) Bonds of an issue, or bonds of two (2) or more issues consolidated for the purposes of sale, which equal or exceed $10,000,000 in the aggregate principal amount may be sold at public or private sale without compliance
with KRS 424.360. (3) This section constitutes a method for the acquisition of an electric light, heat, and power plant by any city of the second, third, fourth, fifth, or sixth class in addition
or as an alternate to any other method authorized by statute, provided that the city
was operating an electric plant on June 1, 1942, and has not elected to operate under
KRS 96.550 to 96.900. No proceedings shall be required for the acquisition of any
electric light, heat, or power plant or the issuance of bonds under this section except
the proceedings required by KRS 96.360 to 96.510. Effective: July 15, 2002
History: Amended 2002 Ky. Acts ch. 108, sec. 1, effective July 15, 2002. -- Amended 2000 Ky. Acts ch. 101, sec. 4, effective July 14, 2000; and ch. 486, sec. 2, effective
July 15, 2000. -- Amended 1998 Ky. Acts ch. 229, sec. 2, effective July 15, 1998. --
Amended 1970 Ky. Acts ch. 36, sec. 1. -- Recodified 1942 Ky. Acts ch. 208, sec. 1,
effective October 1, 1942, from Ky. Stat. secs. 3480d-1 to 3480d-19.