106.110 Pledge of income and revenue -- Form of resolution or ordinance. - Kentucky Statutes

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106.110 Pledge of income and revenue -- Form of resolution or ordinance. At or before the issuance of the bonds the water district commissioners shall, by
resolution, or the city legislative body shall, by ordinance, set aside and pledge the
income and revenue of the waterworks into a separate and special fund to be used and
applied in payment of the cost thereof and in the maintenance, operation and depreciation
thereof. The resolution or ordinance shall definitely fix and determine the amount of
revenue necessary to be set apart and applied to the payment of the principal and interest
of the bonds, and the proportion of the balance of the income and revenues to be set aside
as a proper and adequate depreciation account, and the remaining proportion of such
balance shall be set aside for the reasonable and proper operation and maintenance of the
waterworks. The rates to be charged for service from the waterworks shall be fixed and
revised from time to time so as to be sufficient to provide for payment of interest upon all
bonds and to create a sinking fund to pay the principal thereof when due, and to provide
for the operation and maintenance of the waterworks and an adequate depreciation
account. Effective: June 17, 1954
History: Created 1954 Ky. Acts ch. 18, sec. 11, effective June 17, 1954.