KRS 66.161: Issuing bonds or obligations to fund or refund outstanding bonds.

(1) Upon the determination of the governing body that the issuance will be in the

issuer's best interest, the issuer may:

(a) Issue bonds to fund or refund any outstanding bonds or obligations previously

issued. Any bonds issued pursuant to this subsection sha ll mature as

determined by the governing body consistent with KRS 66.091, but their

maturity shall not be later than the date that would have been permitted by

KRS 66.091, as if the original bonds or obligations had been issued under the

provisions of this chapter; and

(b) Issue obligations, if authorized by other law, to fund or refund any outstanding

bonds previously issued under this chapter.

(2) Bonds may be issued pursuant to this section to fund or refund all or any portion of

the outstanding bonds, w hether or not the bonds to be funded or refunded were

issued subject to call or redemption prior to maturity, or are the original bonds, or

are themselves refunding bonds.

(3) Moneys derived from the proceeds of bonds issued pursuant to this section to fun d

or refund bonds shall, to the extent required by the legislation or proceedings, be

placed in an escrow fund, which may be in the sinking fund, and pledged for the

purpose of funding or refunding the refunded bonds and shall be used, together with

any other available funds as provided in this section, for that purpose. When the

issuer has placed in escrow moneys derived from proceeds of refunding bonds or

obligations or otherwise, or investments, or a combination of both, determined to be

sufficient, with the interest or other investment income accruing on those

investments, for the payment of debt charges on the refunded bonds, the refunded

bonds shall no longer be considered to be outstanding, shall not be considered for

purposes of determining any limitation, direct or indirect, on the net indebtedness of

the issuer, and the levy of taxes or other charges for the payment of debt charges on

the refunded bonds under this chapter.

(4) The authority granted by this section is in addition to and not a limitat ion on any

other authorizations granted by or pursuant to law for the same or similar purposes.