{"data":{"id":"us-ky/krs-164a.160","jurisdiction":"us-ky","citation":"KRS 164A.160","heading":"Reserve or replacement funds.","body":"The corporation shall be authorized and empowered in connection with the issuance of its\nbonds and notes for student loan purposes pursuant to this chapter to establish in respect\nof such bonds and notes such reserve funds or replacement funds as may be re quired in\nthe sound discretion of the board of directors of the corporation to enable the corporation\nto effectuate its proper public purposes. In the event any such reserve fund or replacement\nfund created by the corporation in connection with any such bo nds or notes issued\npursuant to a general bond resolution adopted prior to January 1, 2003, should, in\nviolation of any contract made by the corporation with any bondholder or noteholder, be\nmonetarily deficient in any respect as of any date of accounting so stipulated by the\ncorporation, the corporation shall immediately make formal request in writing to the\nsecretary of the Finance and Administration Cabinet, and to the Governor of Kentucky\nthat sums adequate to restore such reserve fund or replacement fu nd to its contractually\nrequired level and to pay any overdue principal and interest on any outstanding bonds and\nnotes of the corporation be included in the next succeeding executive budget, and that\nsuch budget request with recommendation for approval by  the General Assembly of an\nappropriated legislative appropriation by the General Assembly to the corporation for the\nuse and benefit of such reserve fund or replacement fund be submitted to such session of\nthe General Assembly. In the event the next sched uled even -numbered-year regular\nsession of the General Assembly of Kentucky shall occur more than six (6) months after\nany such request by the corporation, the corporation shall request that sums adequate to\nrestore such reserve fund or replacement fund to  such contractually required level and to\npay any overdue principal and interest on any outstanding bonds and notes of the\ncorporation be made available from the Governor's contingency fund, and if such funds\nare so made available the budget request herein above described in this section shall be\ncorrespondingly reduced.","path":["KRS Chapter 164A"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=4546","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:51:19Z","sha256":"215f69bc47482c6b95e9e70776ff773a4f4464d2b61272cf7463be280c8c91bc","source_id":"us-ky","stale":false,"prev":"us-ky/krs-164a.150","next":"us-ky/krs-164a.170"},"notice":"GroundRules: Original legal text. Not legal advice."}