KRS 175.500: Turnpike revenue bonds of the authority.

(1) The authority is authorized to provide, at one (1) time or from time to time, for the

issuance of its turnpike revenue bonds for the purpose of paying all or any part of

the cost of any one (1) or more turnpike projects undertaken pursuant to an

agreement and lease. The principal of and the interest on the bonds shall be payable

solely from the funds provided for the payment. The bonds of any issue may be in

one (1) or more series and any one (1) or more series may enjoy equal or

subordinate status with res pect to the pledge of funds from which they are payable,

shall be dated, shall bear interest at a rate or rates or method of determining rates,

shall mature at a time or times not exceeding forty (40) years from their date or

dates, all as may be provided by the authority, and may be made redeemable before

maturity, at the option of the authority, at a price or prices and under terms and

conditions as may be fixed by the authority prior to the issuance of the bonds. The

authority shall determine the form of the bonds, including any interest coupons to

be attached to the bonds, and shall fix the denomination or denominations of the

bonds and the place or places for payment of principal and interest, which may be at

any bank or trust company within or without the Commonwealth. The bonds shall

be signed by the facsimile signature of the chairman of the authority, and the seal of

the authority or a facsimile of the seal shall be affixed to the bonds and attested by

the manual signature of the secretary of the aut hority, and any coupons attached to

the bonds shall bear the facsimile signature of the chairman of the authority. In case

any officer whose signature or a facsimile of whose signature shall appear on any

bonds or coupons shall cease to be an officer befor e the delivery of the bonds, the

signature or facsimile shall nevertheless be valid and sufficient for all purposes the

same as if he had remained in office until delivery of the bonds. All bonds issued

under the provisions of this chapter shall have and a re declared to have all the

qualities and incidents of negotiable instruments under the negotiable instruments

law of the Commonwealth. The bonds may be issued in coupon or in registered

form, or both, as the authority may determine, and provision may be m ade for the

registration of any coupon bonds as to principal alone and also as to both principal

and interest, and for the reconversion into coupon bonds of any bonds registered as

to both principal and interest. The authority may sell the bonds in a manne r, either

at public or private sale, and for a price as it may determine will best effect the

purposes of this chapter.

(2) The proceeds of the bonds of each issue shall be used solely for the payment of the

cost of the turnpike project or projects for whi ch the bonds shall have been issued,

and shall be disbursed in a manner and under the restrictions, if any, as the authority

may provide in the proceedings authorizing the issuance of the bonds or in the trust

indenture securing the bonds. If the proceeds of the bonds of any issue, by error of

estimates or otherwise, shall be less than the cost, additional bonds may be issued to

provide the amount of the deficit, and, unless otherwise provided in the proceedings

authorizing the issuance of the bonds or in t he trust indenture securing the bonds,

shall be deemed to be of the same issue and shall be entitled to payment from the

same fund without preference or priority of the bonds first issued. If the proceeds of

the bonds of any issue shall exceed the cost, th e surplus shall be deposited to the

credit of the sinking fund or funds for the bonds or any account or accounts as the

authority shall have provided in the proceedings or trust indenture authorizing and

securing the bonds.

(3) Prior to the preparation of definitive bonds, the authority may, under like

restrictions, issue interim receipts or temporary bonds, with or without coupons,

exchangeable for definitive bonds when the bonds shall have been executed and are

available for delivery. The authority may al so provide for the replacement of any

bonds which shall become mutilated or shall be destroyed or lost. Bonds may be

issued under the provisions of this chapter without obtaining the consent of any

department, division, commission, board, bureau, or agency of the Commonwealth,

and without any other proceedings or the happening of any other conditions or

things, except as specifically required by this chapter.