278.460 Utilities to pay interest on deposits required of patrons -- Commission to
177 words·~1 min read·
/ky/278-460A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
calculate interest rate annually -- Interest rates for water districts and water
associations -- Administrative regulations.
(1)Except as provided in subsection
(2)of this section, a utility, including an electric
cooperative organized under KRS Chapter 279, shall pay interest on amounts
required to be deposited by patrons to secure utility service. The commission shall
calculate the interest rate on an annual basis by averaging the one
(1)year constant
maturity treasury rate from September, October, and November, and shall notify
utilities in December of each year of the interest rate to be paid by utilities for the
following calendar year.
(2)No water district organized under KRS Chapter 74 nor water association organized
under KRS Chapter 273 shall pay interest that exceeds the rate it receives in
interest, nor shall the interest payable to the customer at any time exceed six percent
(6%) annually on amounts required to be deposited by patrons to secure water
accounts.
(3)The commission may promulgate administrative regulations in accordance with the
provisions of KRS Chapter 13A to implement this section.