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KRS 58.040

Bonds negotiable and tax-free -- Method of sale -- Payable solely from revenue

Applied in 5 court decisions — leading case McKinney v. City of Owensboro (1947)

Most recently applied in Baker v. City of Richmond (May 1986)

Effective: June 27, 2019 History: Amended 2019 Ky

How often courts cite this section

19471950196019701980198620
citing decisions per year

Court decisions citing this, by year. The dip in the last several years is a data-coverage gap, not a real trend — our corpus holds fewer opinions from the most recent years, so recent citations are undercounted.

(1) Bonds issued pursuant to KRS 58.010 to 58.140 shall be negotiable and shall not be subject to taxation.

(2) If any officer whose signature or countersignature appears on the bonds or coupons ceases to be an officer before delivery of the bonds, the officer's signature or countersignature shall be valid and sufficient for all purposes as if the officer had remained in office until delivery.

(3) The bonds shall be sold in a manner and upon the terms as the governmental agency determines and as provided in KRS 424.360. Any contract for the acquisition of a public project may provide that payment shall be made in bonds.

(4) The bonds shall be payable solely from the revenue derived from the public project and shall not constitute an indebtedness of the state, county, city, or political subdivision within the meaning of the Constitution.

(5) It shall be plainly stated on the face of each bond that the bond has been issued under the provisions of KRS 58.010 to 58.140 and that the bond does not constitute an indebtedness of the governmental agency within the meaning of the Constitution.

Official source: Kentucky General Assembly. Reproduced from public-domain Kentucky statutes; confirm against the official source for the current text. Not legal advice.