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66.081 Maintenance of sinking funds.

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Page 1 of 1 66.081 Maintenance of sinking funds. (1) At any time while the bonds are outstanding, an issuer shall maintain a sinking fund which shall be pledged for the retirement of all of the issuer's outstanding bonds, <br>and tax-supported leases. The issuer shall deposit moneys in the sinking fund at <br>times and in amounts so adequate moneys will be available in the sinking fund for <br>the payment of debt charges on all outstanding bonds and tax-supported leases. (2) Except in the case of bonds issued for the purpose of refunding, all proceeds from the sale of bonds, except accrued interest, shall be paid into a special fund for the <br>public purpose related to the bonds, and any interest and other income earned on <br>money in that special fund may be used for that purpose or may be credited to the <br>general fund or other fund or account as the issuer authorizes and used for the <br>purposes of that fund or account. The accrued interest received from the sale of <br>bonds shall be paid into the sinking fund. (3) If a public project that was financed by bonds is sold, the amount received from the sale shall be paid into the sinking fund or into a special fund for the construction or <br>acquisition of public projects. (4) The unexpended balance in a sinking fund remaining after bonds and tax-supported leases are no longer outstanding may be transferred to any other fund of the issuer. Effective: July 15, 1996 <br>History: Created 1996 Ky. Acts ch. 280, sec. 8, effective July 15, 1996.