{"data":{"id":"us-ky/krs-96.5375","jurisdiction":"us-ky","citation":"KRS 96.5375","heading":"Rights of city owning or operating natural gas system to sell natural gas","body":"within and without city boundaries -- Municipal interlocal gas utility --\nLimitations -- Prohibitions -- Definitions.\n(1) Subject to the limitations of subsection (4)  of this section and KRS 96.045 and\n96.538, any city that owns and operates a municipal system for the acquisition,\ndistribution, or transmission of natural gas may extend the system or construct a\nnew system as authorized in KRS 96.170 and 96.542, to furn ish and sell natural gas\nto any person or entity within the boundaries of the city or within any territory\noutside of the city's boundaries. Municipal interlocal gas utilities shall have the\nsame authority to extend existing natural gas systems or construc t new systems to\nfurnish and sell natural gas in territory inside or outside of their constituent cities'\nboundaries. In exercising the authority provided by this subsection, the city may\ninstall the necessary apparatus to provide natural gas distribution or transmission\nservice and may also condemn or otherwise acquire rights -of-way as private\nutilities may do. The provisions of this subsection shall apply to all cities of this\nCommonwealth transporting or distributing natural gas as well as any board,\ncommission, or agency thereof.\n(2) A city, other than a city of the first class or a consolidated local government, may\nacquire the entire plant of an existing natural gas distribution system only under the\nsame process and subject to the same limitations est ablished by KRS 96.580,\n96.590, and 96.600.\n(3) No property owned or operated by an existing natural gas distribution system\nlocated within the Commonwealth may be condemned by a city from another state.\n(4) A natural gas utility, which, for purposes of th is subsection, means a public, private\nor municipally owned gas utility distributing or transporting natural gas to\ncustomers within this Commonwealth, shall not:\n(a) Extend its system for the purposes of furnishing or selling natural gas to any\nperson or entity that is currently being served by another natural gas utility; or\n(b) Extend its system to furnish or sell natural gas to any person or entity when\nthere is another natural gas utility in closer proximity to the person or entity to\nbe served, unless  the natural gas utility in closer proximity has declined to\nprovide service.\n(5) The provisions of subsection (4) of this section shall only apply to extension of\nservice issues between a municipally owned natural gas utility servicing customers\nlocated outside its municipal boundaries and a private or investor-owned natural gas\nutility. The term \"municipally owned\" shall include systems distributing or\ntransporting natural gas that are owned by a city from another state.\n(6) As used in this section, \"muni cipal interlocal gas utility\" has the same meaning as\nin KRS 65.230.","path":["KRS Chapter 96"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=57964","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:49:58Z","sha256":"4457e95213b9dbffa17da20f01976a840aaf8434fd0e2c10bc7ddf1d0a0a3e2f","source_id":"us-ky","stale":false,"prev":"us-ky/krs-96.537","next":"us-ky/krs-96.538"},"notice":"GroundRules: Original legal text. Not legal advice."}