441.650 Trust indenture to secure bonds.
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/ky/chapter-441/441-650A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
In the discretion of the authority, any bonds issued under the provisions of KRS 441.625 to 441.695 may be secured by a trust indenture by and between the authority and a corporate trustee, which may be any trust company or bank having the powers of a trust company in or outside of Kentucky. Such trust indenture or the proceedings providing for the issuance of such bonds may pledge or assign the rents and other revenues to be received. The trust indenture or proceedings may contain provisions for protecting and enforcing the rights and remedies of the bondholders which are reasonable and proper and not in violation of law, including covenants setting forth the duties of the authority in relation to the acquisition of property and the construction, improvement, maintenance, repair, and insurance of the project or projects in connection with which such bonds are authorized, the rates or rental charges, and the custody, safeguarding and application of all moneys, and may restrict the individual right of action by bondholders.
It is lawful for any bank or trust company which may act as depository of the proceeds of bonds or of revenues to furnish such indemnifying bonds or to pledge such securities as may be required by the rights and remedies of the bondholders and of the trustee. In addition, any such trust indenture or proceedings may contain such other provisions as the authority may deem reasonable and proper for the security of the bondholders. All expenses incurred in carrying out the provisions of such trust indenture or proceedings may be treated as a part of the cost of the project or projects.