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82.160 Security for revenue bonds through trust indenture.

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82.160 Security for revenue bonds through trust indenture. In the discretion of the city any bonds issued under the provisions of KRS 82.140 to <br>82.165 may be secured by a trust indenture by and between the city and a corporate <br>trustee, which may be any trust company or bank having the powers of a trust company <br>within or without the Commonwealth. Such trust indenture or the proceedings providing <br>for the issuance of such bonds may pledge or assign the revenues to be received; but shall <br>not convey or mortgage any project or any part thereof, except in the case of bonds issued <br>through the agency and instrumentality of a nonprofit corporation organized under the <br>general corporation laws of the Commonwealth, in which case there may be a conveyance <br>or mortgage if such corporation be thereunto authorized by the governing body of the <br>city. Such trust indenture or proceedings may contain such provisions for protecting and <br>enforcing the rights and remedies of the bondholders as may be reasonable and proper <br>and not in violation of law, including covenants setting forth the duties of the city in <br>relation to the acquisition of property and the construction, improvement, maintenance, <br>repair, operation and insurance of the project or projects in connection with which such <br>bonds shall have been authorized, the rates of the rentals to be charged, and the custody, <br>safeguarding and application of all moneys, if such covenants shall be appropriate to the <br>issue. It shall be lawful for any bank or trust company incorporated under the laws of the <br>Commonwealth which may act as depository of the proceeds of bonds or of revenues to <br>furnish such indemnifying bonds or to pledge such securities as may be required by the <br>city. Any such trust indenture may set forth the rights and remedies of the bondholders <br>and of the trustee, and may restrict the individual right of action by bondholders. In <br>addition to the foregoing, any such trust indenture or proceedings may contain such other <br>provisions as the city may deem reasonable and proper for the security of the <br>bondholders. All expenses incurred in carrying out the provisions of such trust indenture <br>or proceedings may be treated as a part of the cost of the project or projects. History: Created 1962 Ky. Acts ch. 178, sec. 5(6).