{"data":{"id":"us-ky/krs-107.200","jurisdiction":"us-ky","citation":"KRS 107.200","heading":"Procedure by city where no bids received on offered bonds.","body":"If any city of the classes referred to in this chapter shall adopt the third ordinance and\nshall publicly solicit the submission of bids or proposals for the purchasing of its\n\"improvement assessment bonds\" for the project identified, and shall fail to rec eive a bid\nupon terms of price and/or interest coupon rate, or rates, conforming to the published\nnotice and acceptable to the governing body, the bonds, or a portion of the bonds, may be\nawarded to the contractor, or contractors, at a price of not less th an the minimum price\npermitted by the published notice, but only upon the following conditions:\n(1) The entire bond issue authorized by the third ordinance may be awarded to the\ncontractor, or contractors, if it or they shall submit to, and obtain formal a pproval\nby, the governing body of the city, of a written undertaking (approved as to form\nand substance by the city's duly designated legal counsel):\n(a) Agreeing to accept in full and agreed payment of the amount, or the aggregate\nof the amounts, of their  respective contracts, bonds as authorized by the third\nordinance equal in principal amount (or as near as may be practicable) to the\namount, or the aggregate of the amounts of their contracts (in which event the\nbonds shall be the latest maturing and high est numbered of the bonds\nauthorized by the third ordinance); and\n(b) Agreeing to pay to the city, in cash, the purchase price of the bonds to the\nextent that the bonds exceed the aggregate amount of the contracts of the\ncontractor, or contractors, who are signatories of the written instrument; or\n(2) Bonds equal to the amount, or amounts, of the contracts of the contractor, or\ncontractors, who are signatories of a written instrument agreeing to accept the same\nin payment of the bonds, approved as to form a nd substance by the city's properly\ndesignated legal counsel, may be awarded to a contractor, or contractors, in the\nevent the city is able to, and does, (within constitutional restrictions) appropriate\nfrom available funds a sum in cash sufficient to defr ay all costs of the project, as\ndefined in this chapter, in excess of the amount of the construction contract, or the\naggregate of the several contracts. In that event, the sum so appropriated by the\ngoverning body of the city shall be applied to the payment of the costs;\n(3) In the event of procedure as set forth in either subsection (1) or (2) of this section,\nthe bonds awarded to the contractor, or contractors (other than those paid for in cash\nas set forth in the foregoing subsection (1)), shall be plac ed by the city, in escrow,\nwith a responsible financial institution, with written instructions that the bonds may\nbe released to the contractor, or contractors, from time to time, but in principal\namount not exceeding seventy-five percent (75%) of the amount certified in writing\nby the engineer, or engineers, to the escrow agent, and the city, to have been earned\nby and payable to the identified contractor, or contractors, under the terms and\nconditions of their respective contracts. Upon final approval and  acceptance of the\nproject by the governing body, the reserved twenty -five percent (25%) of the bonds\nmay be released and delivered to the contractor, or contractors.","path":["KRS Chapter 107"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=27173","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:50:09Z","sha256":"c339c243bdf5db7d3348586f71ee45209c8c8f6e85e22fde7467525932ef2f96","source_id":"us-ky","stale":false,"prev":"us-ky/krs-107.190","next":"us-ky/krs-107.210"},"notice":"GroundRules: Original legal text. Not legal advice."}