65.4931 Extension of pilot program period for not more than 25 years --

308 words·~1 min read·/ky/65-4931

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

Conditions -- Reports.

(1)As used in this section:

(a)"Borrower" means the entity receiving the proceeds from a new bond

issued because of an extended tax increment financing agreement

allowed under KRS 65.490(10);

(b)"Excess revenues" means all moneys which exceed the costs associated

with the borrower's operating expenses, capital expenditures, and the

regularly scheduled debt service on the bond; and

(c)"Term of the bond" shall begin on the date any current bonds are

refinanced, reissued, or restructured and shall end upon the earlier of the

stated maturity date of the bond or the payment in full of the bond.

(2)A pilot program may be extended for a period not to exceed an additional

twenty-five

(25)years in connection with the issuance of a new bond by the

Kentucky Economic Development Finance Authority if the pilot program

agreement contains provisions requiring that:

(a)The borrower use all excess revenues to redeem the bond prior to the

stated maturity date;

(b)1. Once the bond is callable, the borrower apply all excess revenues to

the redemption of the bond prior to the stated maturity date at least

every thirty-six

(36)months; and

2. If it is the position of the borrower that the application of all excess

revenues to the redemption of the bond prior to the stated maturity

date jeopardizes the project, the borrower shall present an

alternative payment plan for that thirty-six

(36)month period to the

Capital Projects and Bond Oversight Committee for approval; and

(c)No further revenues under the pilot program be remitted to the borrower

following the end of the term of the bond.

(3)The borrower shall submit a report to the Governor and the Capital Projects

and Bond Oversight Committee on or before November 1, 2018, and annually

thereafter regarding the operations and financial condition of the borrower.