{"data":{"id":"us-ky/krs-56.867","jurisdiction":"us-ky","citation":"KRS 56.867","heading":"Project notes -- Sale and issuance -- Purposes -- Approval -- Status of notes","body":"with respect to the Commonwealth and its political subdivisions.\n(1) The commission may issue and sell project notes for authorized projects upon\nrequest by the cabinet. Proj ect notes may be sold and issued in a manner and have\nterms relating to the payment of interest, principal, and premiums or discounts as\nmarket conditions warrant.\n(2) Appropriations requests for payments under the financing agreements on project\nnotes shall be made by the state agency requesting an authorized project unless the\npayments are to be payable from funds not subject to appropriation. Project notes,\ntogether with interest thereon, shall be repaid from payments received by the\ncommission from the cabinet under a financing agreement. The cabinet shall enter\ninto financing agreements with the commission for the issuance of project notes.\nState agencies requesting funding for an authorized project shall enter into an\nagreement with the cabinet for the  issuance of project notes by the commission for\nthat state agency. Agreements authorized by this section shall be either financing\nagreements, or alternative agreements which specify that any payments shall be\nmade from funds that are not subject to appropriation by the General Assembly.\n(3) Project notes may be issued for the following purposes:\n(a) To pay any or all the costs of an authorized project for any state agency; and\n(b) To refund outstanding project notes or other obligations of any state agency.\n(4) Project notes shall have a maximum maturity not to exceed one hundred twenty\npercent (120%) of the expected useful economic life of the project as estimated by\nthe commission, and if more than one (1) project is being financed by the project\nnotes, then the weighted average of the expected useful economic lives shall be\nused.\n(5) The issuance of project notes shall be subject to KRS 56.870, to approval by the\nState Property and Buildings Commission, and to review by the Capital Projects and\nBond Oversight Committee pursuant to KRS 45.810.\n(6) Project notes may be refunded, in whole or in part, from the proceeds of bonds or\nother obligations issued by any state agency authorized to issue bonds or other\nobligations.\n(7) Project notes shall not constitut e a debt of the Commonwealth or any political\nsubdivision thereof or a pledge of the faith and credit of the Commonwealth or any\npolitical subdivision.","path":["KRS Chapter 56"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=22740","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:49:12Z","sha256":"8afcd295d51c602be2f69f31d779c0eb9db0effa58678c8c3297b7e6fe321d06","source_id":"us-ky","stale":false,"prev":"us-ky/krs-56.866","next":"us-ky/krs-56.868"},"notice":"GroundRules: Original legal text. Not legal advice."}