KRS 162.590: Duty of department on request of authority.

It shall be the duty of the department, upon written request of the authority:

(1) To cause its auditing staff to audit the financial records of a board of education

relating to any identified and described bond issue of the authority, as an incident to

the department's next ensuing annual audit of such board of education, and each

subsequent annual audit thereof; and to provide to the authority a statement or

report thereof;

(2) Upon receiving a notification and request from the authority as described in K RS

162.580, to ascertain whether the lease of the board of education has been renewed

and is in force in accordance with its terms; and if the same is ascertained to be in

force, to withhold from the board of education a sufficient portion of any

undisbursed funds then held or set aside or allocated by the department for the

board of education, and to comply with the terms of the notification and request of

the authority, for the account of said board of education.