KRS 74.020: Appointment of commissioners -- Number -- Terms -- Removal --

Vacancies -- Organization -- Bond -- Compensation -- Mandatory training

-- Notice of vacancy.

(1) A water district shall be administered by a board of commissioners which shall

control and manage the affairs of the district. The term of each commissioner is

four (4) years, except as provided in this section:

(a) If a district lies wholly within a single county, or operates as a

single-county district, as provided in paragraph (c) of this subsection, the

board of commissioners shall be composed of either three (3) or five (5)

members as the county judge/executive shall determine. Members of the

board shall be residents of the district, or of any incorporated or

unincorporated area served by the district in the county in which the

district was originally established, who shall be appointed by the county

judge/executive with the approval of the fiscal court. Initial appointments

shall be for terms of two (2), three (3), and four (4) years, as designated

by the court;

(b) Except as provided in paragraph (c) of this subsection, if a district formed

in a single county extends its area to include territory in one (1) or more

adjacent counties, as provided by KRS 74.115, the board of

commissioners shall be appointed by the appropriate county

judges/executive, with the approval of the respective fiscal courts of the

concerned counties as follows: in two (2) county districts, three (3)

members from the original district and two (2) members from the

extended portion of the district; for extensions into three (3) or more

counties, the respective county judges/executive, with the approval of the

respective fiscal courts, shall appoint, in addition to the existing

membership of the commission, two (2) members from the original

one-county district and two (2) members from the newly extended portion

of the district. Orders establishing the extension shall provide for the

staggering of initial terms in an equitable manner; and

(c) If a district acquires an existing water or gas distribution system serving

an area which extends beyond the boundaries of the district into one (1)

or more additional counties, or if a district extends its area to include

territory in one (1) or more adjacent counties as provided by KRS 74.115,

it may operate the distribution system so acquired, or extended, without

adding additional board members, if the new area to be served shall be

deemed to be a minor portion of the total area served by the district, and if

the fiscal court of the county containing the minor portion of the total area

shall have agreed to the acquisition or to the extension of the distribution

system. If less than twenty-five percent (25%) of the total assets of the

distribution system are located within any particular county included in the

territorial boundaries of the district, it shall be conclusively presumed, with

respect to that particular county, that the district comes within the terms of

this subsection.

(2) A commissioner may be removed from office as provided by KRS 65.007 or

74.025.

(3) A commissioner who participates in any official action by the water district

board of commissioners which results in a direct financial benefit to him or her

may be removed from office as provided by KRS 65.007 or 74.025.

(4) Vacancies shall be filled by the same appointing authority which is empowered

to make the original appointment. Vacancies resulting from cause other than

expiration of the term shall be filled for the unexpired term only.

Notwithstanding KRS 67.710, a vacancy resulting from the expiration of a term

or the death, resignation, or removal of the incumbent shall be filled by the

Public Service Commission if, within ninety (90) days following the vacancy, the

vacancy has not been filled by the appropriate county judge/executive with

approval of the fiscal court.

(5) The commission shall elect a chairman, vice chairman, secretary, treasurer,

and any other officers and assistant officers as the commission may deem

necessary, each of whom shall be members of the commission. Any two (2) or

more offices may be held by the same person, except that the chairman may

not hold any other office. Each commissioner shall execute a bond for the

faithful performance of the duties of his or her position.

(6) Each commissioner shall receive an annual salary of not more than thirty-six

hundred dollars ($3,600), which shall be paid out of the water district fund,

except that beginning January 1, 1999, and subject to subsection (9) of this

section, each commissioner who completes during an educational year a

minimum of six (6) instructional hours of water district management training

approved by the Public Service Commission may receive an annual salary of

not more than six thousand dollars ($6,000) to be paid out of the water district

fund. An educational year shall begin on January 1 and end on the following

December 31. In the case of single-county districts, which shall be deemed to

include districts described in subsection (1)(c) of this section, the salary shall

be fixed by the county judges/executive with the approval of the fiscal court; in

multicounty districts, it shall be fixed by the agreement between the county

judges/executive with the approval of their fiscal courts. In fixing and approving

the salary of the commissioners, the county judge/executive and the fiscal

court shall take into consideration the financial condition of the district and its

ability to meet its obligations as they mature.

(7) (a) Except as provided in subsection (9) of this section, in order to receive an

increase in salary as specified in subsection (6) of this section,

commissioners shall successfully complete six (6) instructional hours of

water district management training annually. The training shall be

approved and paid for by the water district of the county the commissioner

represents. Those commissioners not required to complete the six (6)

instructional hours shall be reimbursed for the cost of instruction if they

choose to complete the water district training.

(b) The Public Service Commission shall be responsible for the regulation of

all water district management training programs for commissioners of

water districts, combined water, gas, or sewer districts, or water

commissions.

(c) The Public Service Commission shall encourage and promote the offering

of high quality water district management training programs that enhance

a water district commissioner's understanding of his or her responsibilities

and duties. The commission shall, no later than January 1, 1999,

establish standards and procedures to evaluate, accredit, and approve

water district management training programs.

(8) (a) At least once annually, the Public Service Commission shall provide or

cause to be conducted a program of instruction, consisting of at least

twelve (12) hours of instruction, that is intended to train newly appointed

commissioners in the laws governing the management and operation of

water districts and other subjects that the Public Service Commission

deems appropriate. The commission may charge a reasonable

registration fee to recover the cost of the programs and may accredit

programs of instruction that are conducted by other persons or entities

and that the commission deems equivalent to its program of instruction.

(b) Within twelve (12) months of his or her initial appointment, each

commissioner shall complete the program of instruction described in

paragraph (a) of this subsection. Except as provided in subsection (9) of

this section, any commissioner who fails to complete the program within

twelve (12) months of his or her initial appointment shall forfeit his or her

office and all right to act in discharge of the duties of the office. A

commissioner required to attend a program under this subsection shall be

reimbursed for the cost of instruction by his or her water district.

(9) The Public Service Commission may grant a reasonable extension of time, not

to exceed six (6) months, for completing the training requirements of

subsections (6), (7), and (8) of this section for good cause shown.

(10)(a) Within thirty (30) days of the occurrence of a vacancy on its board of

commissioners resulting from the expiration of a term or the death,

resignation, or removal of the incumbent, a water district shall notify in

writing the Public Service Commission of the existence of the vacancy.

The notice shall include the name of the commissioner who last held the

position and the date on which the unexpired term will end.

(b) Within thirty (30) days of the appointment of a commissioner and the

appropriate fiscal court's approval of that appointment, a water district

shall notify the Public Service Commission of the appointment. The notice

shall include the appointed person's name and the date of the expiration

of his or her term.

(11) The Public Service Commission may promulgate administrative regulations in

accordance with KRS Chapter 13A to implement the requirements of this

section.