KRS 341.520: Disposition of funds upon discontinuance of trust fund.

KRS 341.490, 341.500 and 341.510, to the extent that they relate to the unemployment

trust fund, shall be operative only so long as that fund continues to exist and so long as

the secretary of the federal treasury continues to maintain for this state a sep arate book

account of all funds deposited therein by this state for benefit purposes, together with this

state's proportionate share of the earnings of that fund, from which no other state is

permitted to make withdrawals. If the unemployment trust fund ce ases to exist, or such

separate book account is no longer maintained, all money, property or securities therein,

belonging to the unemployment insurance fund of this state shall be transferred to the

treasurer of the unemployment insurance fund, who shall hold, invest, transfer, sell,

deposit, and release such money, property, or securities in a manner approved by the

secretary and the Finance and Administration Cabinet, in accordance with this chapter.

Such money shall be invested in bonds or other interes t-bearing obligations of the United

States of America. Investments shall at all times be so made that all the assets of the fund

shall always be readily convertible into cash when needed for the payment of benefits.

The State Treasurer shall dispose of sec urities or other property belonging to the

unemployment insurance fund only under the direction of the secretary and the secretary

of the Finance and Administration Cabinet.