66.011 Definitions for chapter.

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Page 1 of 3 66.011 Definitions for chapter. As used in this chapter, unless otherwise expressly provided: <br>(1) &quot;Bonds&quot; means bonds, notes, commercial paper, and other instruments in writing, authorized by or issued pursuant to or in accordance with this chapter, to evidence <br>an obligation to repay or guarantee the repayment of money borrowed, or to pay <br>interest by, or to pay at any future time other money obligations. (2) &quot;Capitalized interest&quot; means all or a portion of the interest payable on bonds from their date to a date stated or provided for in the proceedings, which interest is to be <br>paid from the proceeds of the bonds. (3) &quot;Credit enhancement facilities&quot; means letters of credit; lines of credit; stand-by, contingent, or firm bond purchase agreements; insurance, or surety arrangements; <br>guarantees, and other arrangements that provide for direct or contingent payment of <br>bonds; interest or redemption premium on bonds, for security or additional security <br>in the event of nonpayment or default in respect of bonds, or for making payment of <br>bonds; interest or redemption premium on bonds to and at the option and on <br>demand of the holders of bonds or at the option of the issuer or upon certain <br>conditions occurring under put or similar arrangements, or for otherwise supporting <br>the credit or liquidity of bonds; and includes credit, reimbursement, marketing, <br>remarketing, indexing, carrying, interest rate hedge, and subrogation agreements, <br>and other agreements and arrangements for payment and reimbursement of the <br>person providing the credit enhancement facilities and the security for that payment <br>and reimbursement. (4) &quot;Debt charges&quot; means the principal, including any mandatory sinking fund deposits, interest, and any redemption premium, payable on bonds as the payments come due <br>and are payable and any charges related to credit enhancement facilities. The use of <br>&quot;debt charges&quot; for this purpose does not imply that any particular obligations <br>constitute debt within the meaning of the Kentucky Constitution or other laws. (5) &quot;Financing costs&quot; means all costs and expenses relating to the issuance and carrying costs of bonds including charges related to credit enhancement facilities which are <br>not debt charges. (6) &quot;Floating indebtedness&quot; means the amount by which the total of all expenditures by an issuer in any fiscal year exceeds the total of all funds and receipts of the issuer <br>for that fiscal year which are available to the issuer for the purpose of funding those <br>expenditures, but only to the extent that the governing body of the issuer made <br>good-faith estimates of expenditures and funds and receipts available to fund those <br>expenditures and the short-fall in available funds and receipts was due to <br>unforeseeable circumstances or events. (7) &quot;Fully-registered bonds&quot; means bonds in certificated or uncertificated form, registered as to both principal and interest in the name of the owner. (8) &quot;Interest&quot; or &quot;interest equivalent&quot; means those payments or portions of payments, however denominated, that constitute or represent consideration for forbearing the <br>collection of money, or for deferring the receipt or payment of money to a future <br>time. Page 2 of 3 (9) &quot;Issuer&quot; means a county, city, urban-county, charter county, or other taxing district, and for purposes of making any determinations required under this chapter, may <br>include an authorized representative of the issuer. (10) &quot;Governing body&quot; means the legislative authority of the issuer. <br>(11) &quot;Legislation&quot; means an ordinance or resolution passed by a governing body. <br>(12) &quot;Mandatory sinking fund redemption requirements&quot; means amounts required by proceedings to be deposited in a sinking fund for the purpose of paying, by <br>mandatory redemption prior to stated maturity, the principal of bonds that is due <br>and payable in a subsequent year or fiscal year. (13) &quot;Net indebtedness&quot; means the principal amount of outstanding bonds of an issuer as determined in accordance with KRS 66.031. (14) &quot;Notes&quot; means bonds that mature no later than five (5) years from the date they are issued. (15) &quot;Obligation&quot; means instruments in writing, which are not bonds within the meaning of this chapter, that evidence an obligation to repay money borrowed, or to pay <br>interest by, or to pay at any future time other money obligations, including, without <br>limitation, installment sale, lease, lease purchase, or similar agreements, which <br>obligations bear interest or an interest equivalent. (16) &quot;Outstanding,&quot; referring to bonds, means bonds that have been issued, delivered, and paid for, except any of the following: <br>(a) Bonds canceled upon surrender, exchange, or transfer, or upon payment or redemption; (b) Bonds in replacement of which or in exchange for which other bonds have been issued; or (c) Bonds for the payment, or redemption or purchase for cancellation prior to maturity, of which sufficient moneys or investments, in accordance with the <br>applicable legislation or other proceedings or any applicable law, by <br>mandatory sinking fund redemption requirements, or otherwise, have been <br>deposited, and credited in a sinking fund or with a trustee or paying or escrow <br>agent, whether at or prior to their maturity or redemption, and, in the case of <br>bonds to be redeemed prior to their stated maturity, notice of redemption has <br>been given or satisfactory arrangements have been made for giving notice of <br>that redemption, or waiver of that notice by or on behalf of the affected bond <br>holders has been filed with the issuer or its agent. (17) &quot;Public project&quot; means any property, asset, or improvement certified by the governing body, which certification is conclusive, as being for a public purpose and <br>having an estimated life or period of usefulness of one (1) year or more, and <br>includes, but is not limited to, real estate, buildings, and personal property, <br>equipment, furnishings, and site improvements, and reconstruction, rehabilitation, <br>renovation, installation, improvement, enlargement, and extension of property, <br>assets, or improvements so certified as having an estimated life or period of <br>usefulness of one (1) year or more and is to be used for a public purpose. Page 3 of 3 (18) &quot;Person&quot; or &quot;persons&quot; means political and corporate entities, societies, communities, the public generally, individuals, partnerships, and joint stock <br>companies. (19) &quot;Proceedings&quot; means the legislation, certifications, notices, orders, sale proceedings, trust agreements or indentures, mortgages, leases, lease-purchase <br>agreements, assignments, credit enhancement facility agreements, and other <br>agreements, instruments, and documents, as amended and supplemented, providing <br>for the terms and conditions applicable to, or providing for the security or sale or <br>award of, bonds, and includes the provisions set forth or incorporated in those <br>bonds and proceedings. (20) &quot;Refund&quot; means to provide for the payment of debt charges and expenses related to that payment at or prior to retirement by purchase, call for redemption, payment at <br>maturity, or otherwise, outstanding obligations of an issuer or its instrumentality, <br>including, without limitation, bonds. (21) &quot;Register&quot; means the books kept and maintained for registration, exchange, and transfer of registered bonds. (22) &quot;Self-supporting obligations&quot; means obligations issued for the purpose of paying costs of public projects to the extent that receipts of the issuer, other than the <br>proceeds of taxes levied by that issuer, derived from or with respect to that public <br>project or the operation of the public project being financed, or the enterprise, <br>system, or category of public project of which the public project being financed is <br>part, are estimated by the governing body or a representative of the governing body <br>to be sufficient to pay the current expenses of that operation or of that public <br>project, enterprise, or system and the debt charges payable from those receipts on <br>obligations issued for that public project. (23) &quot;Sinking fund&quot; means a fund established for the management of moneys to be used for the retirement of outstanding bonds. (24) &quot;State local debt officer&quot; as used in this chapter and other provisions of law, means the commissioner, Department for Local Government or the commissioner's agent <br>designated in writing. (25) &quot;Taxing district&quot; means an issuer, other than a county, city, urban-county, or charter county authorized to levy ad valorem taxes within the meaning of Section 157 of <br>the Constitution of Kentucky which is not a school district. (26) &quot;Tax-supported lease&quot; means a lease entered into under KRS 65.942 to 65.956 in which the lessee has agreed to levy and collect taxes to make lease payments. Effective: July 15, 1998 <br>History: Amended 1998 Ky. Acts ch. 85, sec. 4, effective July 15, 1998. -- Created 1996 Ky. Acts ch. 280, sec. 1, effective July 15, 1996.