KRS 107.720: Privatization contracts -- Notice -- Hearing -- Competitive bidding --

Assignment of contract.

(1) Any political subdivision may enter into a privatization contract with a private

owner or private owner/operator to accomplish the transfer of any polit ical

subdivision owned drinking water, water or wastewater project or the designing,

construction, operation, maintenance, financing of cost or any combination thereof,

of a drinking water, water or wastewater project pursuant to the provisions of KRS

107.720 to 107.760.

(2) Prior to a political subdivision entering into a privatization contract pertaining to its

drinking water, water or wastewater project, or any portion thereof, the governing

authority shall cause notice of its intention to adopt an ordin ance to accomplish

such privatization to be published pursuant to KRS Chapter 424. The notice shall

set forth a brief summary of the privatization contract provisions, and set a time and

place for a public hearing to be conducted by the executive authority of the political

subdivision. The notice shall be published each week for a period of two (2) weeks,

the first publication being not less than thirty (30) days prior to the adoption of the

ordinance approving the execution of the privatization contract. The hearing may be

held in conjunction with any hearing on the question of issuing bonds to finance the

cost of the privatization project, or on the question of adoption of the service

agreement, or any other question. A copy of the proposed privatization c ontract

shall be filed as a public record with the clerk of the political subdivision not less

than thirty (30) days prior to the adoption of the aforesaid ordinance.

(3) Notwithstanding whether the political subdivision has adopted the provisions of

KRS 45A.345 to 45A.460, the privatization contract, the service agreement or any

other purchase by the local government in connection with a privatization contract

under KRS 107.720 to 107.760 may be made or awarded by competitive bidding,

competitive negotiation, or negotiation.

(4) The privatization contract or the service agreement may be assigned by either party

to secure the performance of any obligation in connection with the financing of

construction or operation of a drinking water, water or wastewater project.