Title 702 | Chapter 004 | Regulation 100


702 KAR 4:100.Emergency school loan fund; repayments.

Section 1.

The total amount of the loan shall be forwarded to the district upon approval of plans and specifications, and a proposed contract has been approved by the Division of Buildings and Grounds.

Section 2.

The entire amount of the loan shall be deposited directly into a separate account designated as the "Emergency School Loan Fund."

Section 3.

The fund shall be kept in a depository selected by the board of education. The money shall be invested in direct obligations of the United States until such time as cash funds shall be needed.

Section 4.

All expenditures from this fund shall be made solely for the purposes approved by the Director of the Division of Buildings and Grounds except that a district may qualify for a loss if the sheriff has failed to collect or disburse tax revenue in a fiscal year.

Section 5.

The State Board for Elementary and Secondary Education shall cause to be made annually an audit of this fund by a certified public accountant or by an accountant approved by the State Department of Education.

Section 6.

One-tenth (1/10) of the loan made for construction purposes shall be payable to the "State Emergency Revolving School Loan Fund Account" on each anniversary date of the loan for the next ten (10) consecutive years. A loan made because of delinquent tax revenues shall be repaid when tax revenues are received and no later than three (3) years from the date of the loan. This payment shall be forwarded to the Director, Division of School District Finance, State Department of Education.

HISTORY: (2 Ky.R. 229; eff. 12-10-1975; 17 Ky.R. 2030; eff. 2-7-1991; Crt eff. 11-16-2018.)

7-Year Expiration: 11/16/2025

Last Updated: 12/15/2021


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