All moneys received from the bonds shall be applied solely for the purchase, establishment or erection of the waterworks and extensions and appurtenances thereto, or to advance the payment of the interest on the bonds during the first three (3) years following the date of the bonds. A statutory mortgage lien shall exist upon the waterworks and appurtenances and extensions so acquired in favor of the holders of the bonds and coupons.
KRS 96.400
Application of proceeds of bonds -- Lien
Applied in 1 court decision — leading case Miller v. City of Owensboro (1961)
Most recently applied in Miller v. City of Owensboro (February 1961)
Effective: October 1, 1942 History: Recodified 1942 Ky
Official source: Kentucky General Assembly. Reproduced from public-domain Kentucky statutes; confirm against the official source for the current text. Not legal advice.