CHAPTER 96. UTILITIES IN CITIES  


Sale of Franchises
010. Sale of public utility franchises by cities.
020. Deposit to accompany bid -- Bidder to give bond.
030. Exclusive franchise not to be granted by consolidated local government or city of the first class.
040. City of the first class or consolidated local government may purchase public utility plant.
045. Rights of existing facilities.
Control of Privately Owned Utilities
050. Second-class city may regulate construction and operation of utilities.
060. Third-class city may grant rights of way to utilities -- Conditions.
070. Fourth-class city may grant rights-of-way to utilities -- Conditions.
080. Water company may condemn land and material.
City Owned Stock in Utility Company
090. Sale of gas company stock owned by first-class city.
100. Amendment to charter of gas company in which first-class city owns stock.
110. Fourth, fifth and sixth-class cities may subscribe for stock in water companies.
Furnishing Water or Light to Another City or Outside Limits
120. City may acquire franchise to furnish water and light to another city.
130. City owning own plant may contract to furnish service to another city.
140. City may install apparatus and obtain rights of way necessary to furnish or receive service.
150. Extending water supply or sanitary sewer system outside city limits -- Limitation -- Consideration of installation of fire hydrants on extended lines.
Powers of Cities of Second and Third Classes to Furnish Utility Services
160. Power of second-class city to furnish water and light.
165. City classified from third class to second class to continue operation of combined electric and water system under provisions of KRS 96.171 to 96.188 -- When.
170. Power of city of the third class to furnish utility services -- Regulation of municipal telephone service by Public Service Commission.
Combined Electric and Water Plant in City of Third Class
171. Adoption of provisions of KRS 96.172 to 96.188 by city of third class.
172. Ordinance of city of third class adopting provisions of KRS 96.171 to 96.188 for operation of combined electric and water plant -- Electric and water plant board -- Appointment -- Qualifications -- Corporate powers -- Prohibition of nepotism -- Bond of board members -- Oath -- Term -- Removal.
173. Salaries of board members and secretary-treasurer -- All salaries and expenses payable from revenues of plant.
174. Quorum of board -- Officers -- Meetings -- Bylaws and rules of procedure.
175. Powers of board.
176. Board to control plant -- Employees -- Rates and practices -- Engineer -- Contract.
177. Charge for service furnished to city.
178. Eminent domain.
179. Payment of tax equivalent.
180. Pension plan for employees -- Coverage provided in County Employees Retirement System after August 1, 1988.
181. Deposit and disbursement of funds.
182. Application of funds derived from operations -- Use of surplus.
183. Termination of operation under KRS 96.171 to 96.188.
184. Revenue bonds.
185. Books and records -- Audit -- Inspection.
186. Not to compete with REA corporation.
187. Limitation on action attacking proceedings.
188. Effective date of ordinance or resolution under KRS 96.171 to 96.188.
Powers of Cities of Third to Sixth Class Concerning Utility Services and Utility Companies
189. Acquisition of transportation system by city of the second or third class.
190. Power of city of the fourth class to furnish utility services -- Regulation by Public Service Commission -- Power to regulate rates and service of utilities operating under old franchises.
195. City of the fourth class may issue interest-bearing warrants for improvements and extensions to electric power plants or waterworks.
200. Use of profits from city owned public utility.
210. Power of fifth-class city to furnish water and light.
220. Power of sixth-class city to furnish water and light.
Waterworks in Cities of First Class
230. City of the first class or consolidated local government to control waterworks.
240. Board of waterworks -- Appointment -- Qualifications -- Term -- Oath.
250. Officers of board of waterworks -- Employees.
260. Powers of board.
265. Extension of service to persons not currently served -- Costs -- Assessments -- Apportionment warrants -- Liens.
270. Consolidated local government to receive water without charge -- Property to be exempted from taxation.
280. Consolidated local government to prescribe conditions for use of streets by board.
290. Debts to be paid by waterworks.
300. Ability of board of waterworks to borrow money -- Issuance of bonds -- Limitation of indebtedness.
310. Rules for government of board -- Reports.
315. Renumbered as KRS 96.265. [Renumbered]
Waterworks in Cities other than Cities of the First Class
320. Operation of waterworks in second-class cities -- Commissioners of waterworks -- Employees -- Reports.
330. Disposition of revenue from waterworks in second-class city.
340. Punishment for damaging waterworks in fourth-class city -- Connections with pipes or mains.
350. City of second, third, fourth, fifth or sixth class may acquire and operate waterworks -- Sewerage system may be joined.
351. Waterworks or waterworks and sewerage commissions in cities of third class in counties of more than 50,000 other than counties with a city of first class or urban-county government.
355. Legislative body of city of second, third, fourth, fifth or sixth class may provide city with waterworks system -- Police protection for waterworks system located outside city limits.
360. Acquisition of existing waterworks -- Notice of agreement -- Petition -- Election.
370. Issuance of bonds -- Ordinance to authorize.
380. Interest rate and maturity of bonds.
390. Bonds negotiable and tax-free -- Method of sale -- Payable solely from revenues.
400. Application of proceeds of bonds -- Lien.
410. Rights of bondholders to enforce lien.
420. Receiver.
430. Maintenance, operation and depreciation funds -- Rates.
440. Transfer of surplus to depreciation fund.
450. Expenditure and investment of depreciation fund.
460. City to pay for water used by it.
470. Refunding bonds.
480. Additional bonds.
490. Bonds for extensions and improvements.
500. Administration of income and revenues.
510. Payment of encumbrance existing at time of acquisition of waterworks.
Electric Plants in Cities of Second to Sixth Class
520. City of second, third, fourth, fifth, or sixth class may acquire and operate electric light, heat, and power plants -- Regulation of provision of telecommunications services or municipal telephone service -- Interconnection agreements with utilities or utility affiliates -- Bonds.
530. Operation of electric light, heat, and power plants -- Utility commission.
531. Regulation of telecommunications services provided by municipal utility.
Miscellaneous Provisions
533. Director of utility board or commission.
534. Rate increase for municipally owned electric utilities -- Rates to be uniform.
535. Water plant or electric light, heat and power plant of second or third-class city -- Maintenance, operation and depreciation funds for -- Payment of surplus to general fund of city -- Fair return on property.
536. City owned light, water, or gas plant may pay tax equivalent to school district.
537. City operated natural gas distribution system -- Bonds -- Negotiated sale.
5375. Rights of city owning or operating natural gas system to sell natural gas within and without city boundaries -- Limitations -- Prohibitions -- Definitions.
538. Right of existing utility in annexed area.
539. Development of rules to govern extension of water and sewer service by city.
540. Restrictions on conveyance or encumbrance of waterworks or lighting system by a city of the second, third, fourth, fifth, or sixth class.
5405. Sale, lease, or transfer of utility system in emergency by city of sixth class -- Procedure.
5407. Home heating assistance fund.
Artificial Gas Systems
541. Definitions for KRS 96.542 to 96.546.
542. Power of city of any class to acquire and operate artificial gas system -- Acquisition of existing system.
543. Ordinance for acquisition of system and issuance of bonds -- Election -- Plans and specifications -- Acquisition of lands and easements.
544. Issuance of bonds -- Use of proceeds of bonds -- Disposition of surplus revenue -- Bond procedure.
545. Operation and management of system -- Artificial gas commission.
546. Alternate method.
Condemnation
547. Condemnation and eminent domain.
T. V. A. Act
550. Definitions for KRS 96.550 to 96.900.
560. Scope of KRS 96.550 to 96.900 -- Legislative purpose and intent.
570. Powers of boards for municipal electric plants.
580. Proceedings to agree upon sale price of existing plant required before condemnation or construction of competing plant.
590. Power of condemnation.
600. Procedure for condemnation -- Report of commissions -- Jury award -- Procedure when condemnor not a utility.
610. Repealed, 1976. [Repealed]
620. Repealed, 1976. [Repealed]
630. Repealed, 1976. [Repealed]
640. Election by voters on question of constructing, purchasing, or condemning electric plant, or issuing bonds therefor.
650. Power to issue revenue bonds.
660. Validity of revenue bonds.
670. Limitation of actions to challenge validity of ordinance, resolution or election.
680. Revenue bonds not debts of municipality.
690. Form and terms of bonds -- Sale -- Bonds for improvement -- Refunding or additional bonds -- Negotiability -- Interest rate.
700. Power of board to make provisions to secure payment of bonds.
710. Remedies of holders of bonds.
720. Receiver.
730. Payment of preliminary expenses.
740. Election to operate under KRS 96.550 to 96.900 -- Creation of board of public utilities -- Appointment -- Qualifications -- Incompatibility with other offices -- Bond -- Oath -- Not to hire relatives.
750. Compensation of board members and others.
760. Term of board members -- Vacancies -- Removals.
770. Quorum of board -- Officers -- Meetings.
780. Board to control plant -- Superintendent -- Public filing of rates and regulations -- Employees -- Contracts -- Records.
790. Separate account for funds of electric plant.
800. Use of proceeds from sale of bonds.
810. Use of revenues -- Reduction of rates -- Equity of municipality.
820. Payment of sums equivalent to taxes based on book value.
830. Charge for electric service furnished municipality.
840. Records and reports of board -- Audits.
850. Power of municipality to issue general obligation bonds.
860. Disposal of plant.
870. Effective date of resolutions and ordinances.
880. Plant not subject to authority of Public Service Commission except as to extension of service -- Bonds do not require approval.
890. Competition with rural electric cooperative or other municipal plant forbidden -- Cooperative agreements.
895. Proration and distribution of payments of sums equivalent to taxes based on book value among the state, counties, cities, and school districts.
900. Estoppel to question validity of KRS 96.550 to 96.890.
901. Authorization for municipal utility operating under KRS 96.550 to 96.900 to participate in group purchasing program.
Classification of Sewer Users
910. Declaration of policy of KRS 96.910 to 96.927.
911. Definitions for KRS 96.910 to 96.927.
912. Authority to classify users.
913. Standards for classifying users.
915. Authority to apply different charges.
916. Standards for establishing charges.
918. Procedure for establishment of classification -- First ordinance.
919. Publication of first ordinance.
920. Areas proposed to be annexed.
922. Public hearing.
923. Hearing rights and procedures.
924. Final determination -- Second ordinance.
926. User's appeal to Circuit Court.
927. Construction of KRS 96.910 to 96.927.
Enforcement of Sewer Charge Collections
930. Declaration of policy of KRS 96.930 to 96.943.
931. Definitions for KRS 96.930 to 96.943.
932. Enforcement of sewer charge collections by discontinuing water service.
934. Coordination of sewer body with water supplier.
936. Rights of water supplier.
938. Adjustments of sewer charges.
940. Contract for joint collection of charges.
942. Nonliability for discontinuing service.
943. Liability for failure to discontinue service.