KRS 74.110: Change of districts -- Procedure -- Deficit.

The territorial limits of an established water district may be enlarged or diminished in the

following way:

(1) The commission shall file a petition with the county judge/executive, describing the

territory to be annexed or stricken off, and setting out the reasons therefor.

(2) Notice of the petition shall be given in the manner provided by KRS Chapter 424.

Within thirty (30) days after the notice, any resident of the water district or the

territory proposed to be annexed may file objections and exceptions.

(3) The county judge/executive shall set the matter for hearing, and if the county

judge/executive finds that it is reasonably necessary, he shall enter an order

annexing or striking off the proposed territory. If the county judge/executive finds

that the proposed change is unnecessary, he shall dismiss the petition. Either party

may appeal the order to the Circuit Court.

(4) If any of the territory stricken off has been assessed to pay the costs of any

improvements, the commission shall strike the assessments from the assessment roll

and refund to the respective owners any assessments collected on the land which

have been stricken off.

(5) If a deficit is incurred by striking off part of a water district, or by striking

assessments from the assessment rol l, so that the assessment roll is insufficient to

pay the bonded indebtedness of the district, the deficit shall be paid out of the

general fund of the district, realized from all other resources in the district.