KRS 251.650: Use of funds -- Kentucky grain insurance fund -- Investment of funds --

Authorization for funds to be invested through the Finance and

Administration Cabinet's Office of Financial Management -- Board to report

to Interim Joint Committee on Approp riations and Revenue and to Interim

Joint Committee on Agriculture in each odd-numbered year.

(1) The total value of assessments shall be deposited and held by the board in trust in

the Kentucky grain insurance fund to pay valid claims under the provisio ns of this

section and KRS 251.400. These funds shall be invested and reinvested in United

States Treasury obligations at the direction of the board, and the interest from these

investments shall be deposited to the credit of the fund and shall be available for the

same purposes as all other money deposited in the fund. The money in the fund

shall not be available for any purpose other than the payment of claims in

accordance with KRS 251.400, refunds, legal fees, management fees, investment

fees, and administration fees that are approved by the board. No money in this fund

shall be used for any regulatory or licensing provision in this chapter.

(2) Notwithstanding the provisions of subsection (1) of this section, the board may

authorize the investment of funds for the Kentucky grain insurance fund through the

Finance and Administration Cabinet's Office of Financial Management in any

guaranteed security or other guaranteed investment recommended by the office if

the board determines the recommendation would maximize the interest or income to

the fund.

(3) By October 1 of each odd-numbered year, the board shall report to the Interim Joint

Committee on Appropriations and Revenue and the Interim Joint Committee on

Agriculture:

(a) The current balance of the fund;

(b) The amount of assessments, interest earned, and any other money deposited

into the fund; and

(c) The expenditures incurred due to claims, refunds, management fees,

investment fees, legal fees, and administrative fees.

(4) Each report shall reflect the deposits into and the expenditures incurred for the most

recent biennium.