KRS 224A.040: Construction or acquisition of infrastructure projects or improvement of

public drinking water and wastewater systems.

The authority may, pursuant to the terms, conditions, restrictions and requirements of this

chapter, assist with the const ruction or acquisition of infrastructure projects or with the

improvement of the technical, managerial, or operational capacity of public drinking

water and wastewater systems by:

(1) Leasing an infrastructure project;

(2) Making loans or grants as funds are available, to any governmental agency; or

(3) Purchasing obligations of a governmental agency, provided that any financial

assistance supplied to the governmental agency, as defined in KRS 224A.011, will

not cause the interest on current or future stat e agency or authority obligations, if

excludable from gross income for federal tax purposes, to be included in gross

income for federal tax purposes.