{"data":{"id":"us-ky/krs-42.200","jurisdiction":"us-ky","citation":"KRS 42.200","heading":"Water project interest rate buy down fund -- Funding sources, purposes,","body":"uses, and administration.\n(1) The water project interest rate buy down fund is hereby created as a special fund in\nthe State Treasury. The fund may receive state appropriations, gi fts, grants, and\nfederal funds and shall include earnings from investments of moneys in the fund.\nAny fund balance at the close of the fiscal year shall not lapse but shall be carried\nforward to the next fiscal year, and moneys in this fund shall be contin uously\nappropriated only for the purposes specified in this section.\n(2) The fund shall be used to provide financial assistance to government agencies for\nthe construction of publicly owned water supply projects located in rural areas of\nthe Commonwealth. In order to qualify for the financial assistance, the\ngovernmental agency shall obtain a loan from a bank or combined bank and trust\ncompany organized under the laws of this Commonwealth and at an interest rate no\ngreater than two (2) percentage points hig her than the current prime rate. The\nfinancial assistance provided shall consist of an annual grant to the governmental\nagency to be made over the life of the loan obtained by the governmental agency for\nthe construction of the publicly owned water supply project. The amount of the\nannual grant shall be calculated over the life of the loan to provide to the\ngovernmental agency each year the portion of the interest on the loan calculated at a\nfour percent (4%) interest rate. The governmental agency shall be responsible for\nthe payment of the interest on the loan in excess of the four percent (4%) interest\nrate and for the payment of the principal on the loan.\n(3) The Finance and Administration Cabinet shall administer the fund and may\npromulgate administrative regulations as necessary to implement the provisions of\nthis section. The Department for Local Government shall advise government\nagencies of the fund and how to apply for moneys from the fund.\n(4) The provisions of this section shall be known and may be  cited as the Kentucky\nRural Water Act.","path":["KRS Chapter 42"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=22003","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:49:02Z","sha256":"b2cf04480b7462b8ef9b31b787b4921d6871722f9698b0327e58ef7b6065c097","source_id":"us-ky","stale":false,"prev":"us-ky/krs-42.190","next":"us-ky/krs-42.205"},"notice":"GroundRules: Original legal text. Not legal advice."}