{"data":{"id":"us-ky/krs-220.135","jurisdiction":"us-ky","citation":"KRS 220.135","heading":"Boundaries of multicounty districts -- Assumption by district of city","body":"systems effective July 1, 1995 -- City's option not to be assumed -- Dissolution\nof municipal subdistricts -- Effects of assumptions and dissolutions --\nUniformity of district rates.\n(1) Notwithstanding the provisions of KRS 220.080, the jurisdictional boundaries of a\nsanitation district organized or operating under KRS Chapter 220 shall be\ncoextensive with the jurisdictional boundaries of the counties it was organized to\nserve if the district was organized to serve two (2) or more counties, and no other\ndistrict has been organized to serve the counties. All cities of the home rule class\nlocated in a county which is part of a sanitation district as described in this section\nshall be included in the jurisdictional boundaries of the sanitation district.\n(2) (a) Effective July 1, 1995, the operational sewer and drainage system of each city\nlocated within the jurisdictional boundaries of the district, together with all\nassets, other than cash accounts, and liabilities of the system, as of January 1,\n1994, including but not limited to, sewers, easements, manholes, pumping\nstations, force mains, and real property, shall become the property, personal\nand real, of the sanitation district.\n(b) If funds in a cash account are in escrow or otherwise contractually connected\nto a certificate of indebtedness related to the sewer and drainage system, the\nfunds shall become the property of the district. If funds in a cash account are\nderived from a sew er user fee or sanitation bill surcharge, the city may use\nthem to reduce its obligation to the district created by subsection (5)(a) of this\nsection, or the city may return the funds to the citizens. If the funds in a cash\naccount were generated from a ge neral fund source and are not in escrow or\notherwise obligated, the city may retain the funds for its own purposes.\n(3) Any city within the jurisdictional boundaries of the district may, before September\n1, 1994, state by ordinance its intention not to bec ome a part of the district. In this\ncase, the provisions of subsection (2) of this section shall not apply, and the city\nshall retain ownership and control of and responsibility for its sewer and drainage\nsystem. The city shall be solely responsible for co mpliance with applicable\nregulations promulgated by the Energy and Environment Cabinet.\n(4) Any municipal subdistrict established prior to July 15, 1994, shall be dissolved\neffective July 1, 1995, and the assets and liabilities of the subdistrict, as of Ja nuary\n1, 1994, shall become the property, personal and real, of the sanitation district,\nunless the city, no later than September 1, 1994, provides by ordinance that the\nmunicipal subdistrict shall revert to the city. If the city provides for the reversion  of\nthe subdistrict to the city, the assets and liabilities of the subdistrict shall become\nthe property, personal and real, of the city. The city shall be solely responsible\nthereafter for compliance with applicable regulations promulgated by the Energy\nand Environment Cabinet.\n(5) (a) When a municipal subdistrict is dissolved pursuant to subsection (4) of this\nsection, or a city sewer and drainage system is transferred pursuant to\nsubsection (2) of this section, and its assets are transferred to the distr ict, the\ncity, or municipal subdistrict, shall pay the district fifty percent (50%) of the\ncost of necessary repairs to its facilities as identified through the district's\nsanitary sewer inspection program. These costs shall be payable upon\ncompletion of t he repairs identified by the district, and may be paid by lump\nsum or in installments over a period of time agreeable to the city or the\nmunicipal subdistrict and the district.\n(b) A city may continue its sewer maintenance surcharge until the accumulated\nprincipal plus interest thereon is sufficient to pay the charges levied by the\ndistrict pursuant to paragraph (a) of this subsection.\n(c) Any county that joins the district after July 15, 1994, may levy sewer\nsurcharges or other fees, which shall be added to the customers' district bill for\nthe purpose of enabling the county to pay pre -existing obligations to the\ndistrict.\n(d) For a period of ten (10) years, the district may grant to each city or county a\ncredit for each new residential customer added which shall not exceed three\nhundred dollars ($300) against the debt created by subsection (5)(a) of this\nsection, or any other contractual liability pre -existing on June 30, 1994. The\ndistrict may adopt a general policy establishing a credit of a different amou nt\nfor each new nonresidential customer added.\n(6) (a) After July 15, 1994, no new package sewage treatment plant shall be\nconstructed or begin operation within the jurisdictional boundaries of the\ndistrict unless the district, after review of the plans fo r construction and\noperation of the plant, approves the plans.\n(b) After January 1, 1995, no privately owned package sewage treatment plant\nshall operate within the jurisdictional boundaries of the district unless it has\nbeen issued a permit by the distric t or by the Energy and Environment\nCabinet.\n(c) On or before January 1, 2000, the district shall assume ownership of all\npublicly owned package sewage treatment plants within its jurisdictional\nboundaries, including all assets and liabilities as of January  1, 1994, and all\nproperty, real and personal.\n(d) The district shall plan for, and when economically feasible, transfer the\nfunction of sewage treatment from package plants to central treatment\nfacilities.\n(7) (a) Effective July 1, 1995, the district shall be responsible for the planning,\nconstruction, improvement, operation, and maintenance of all sewer and\ndrainage facilities under its ownership, including combined sewer overflows,\nand for compliance with all appl icable regulations promulgated by the Energy\nand Environment Cabinet.\n(b) The district shall establish uniform rates for its services throughout its\njurisdiction, and district rates shall vary only on the basis of consumption.","path":["KRS Chapter 220"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=43863","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:52:32Z","sha256":"d74da813e2d9b0527886e1ac2d94e7d5a6d7ee841bb0b7d9cb202d3b0c2f9408","source_id":"us-ky","stale":false,"prev":"us-ky/krs-220.130","next":"us-ky/krs-220.140"},"notice":"GroundRules: Original legal text. Not legal advice."}