KRS 96.539: Development of rules to govern extension of water and sewer service by city.

Any water or sewer utility owned by a city shall develop rules to govern extensions of

service to unserved customers and areas. These rules may require that the applicant or

applicants for new service pay to the utility all or part of the cost of extendin g utility

lines. Where such payment is required, however, the cost of any extension greater than

one hundred (100) feet per applicant shall be subject to refund by the utility on a prorated

basis for each additional customer whose service line is directly connected to the

extension line paid for by the initial applicant or applicants. The refund period shall

extend at least ten (10) years, and in no case shall the refund amounts exceed the amount

paid. Nothing in this section shall be construed to prevent a water or sewer utility from

adopting extension or refund policies which are more lenient to customers than are herein

specified.