KRS 177.595: Full faith and credit of state pledged -- Funds derived from certain taxes to

be set aside in amount sufficient to pay principal and interest -- Exception.

The bonds herein provided for shall be direct obligations of the Commonwealth of

Kentucky, and the full faith and credit of the Commonwealth hereby is pledged for the

payment of said bonds and the interest thereon. In order to provide for the payment of the

principal of all of said bonds at their maturity and the interest thereon annually as same

shall accrue, there shall be levied and collected in each of the thirty (30) years from

January 1, 1957, to January 1, 1987, taxes for the benefit of the state road fund in the

form of license, excise taxes and fees relating to registration, operation and us e of

vehicles on public highways and excise taxes, use and license taxes relating to gasoline

and other motor fuels used upon the public highways in Kentucky at rates not less than

the rates now imposed by law or so adjusted as to produce for the road fund not less than

the amount now derived from all of such taxes. All funds derived from such taxes hereby

are appropriated to the extent necessary for the payment of the principal and interest on

said bonds. From the funds derived from said taxes in each year , beginning January 1,

1957, there shall be set aside and held inviolable for that purpose, a fund sufficient to pay

the principal and interest on said bonds in each year as and when due until all of said

bonds and the interest thereon shall have been paid in full. In each year, after setting aside

the funds hereinabove provided, the remainder of the funds derived from such taxes may

be expended and used for the cost of administration, statutory refunds and adjustment,

payment of highway obligations, costs of construction, reconstruction, rights -of-way,

maintenance and repair of public highways, tunnels and bridges and the expense of

enforcing state traffic and motor vehicle laws, provided that all the funds collected under

KRS Chapter 138 and required by KR S 138.220 and 138.660(2) to be set aside by the

Department of Highways for the construction, reconstruction and maintenance of rural

and secondary roads shall be first set aside and used for such purposes.