21-12-02. Allocation of ceiling.
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/nd/title-21/chapter-21-12-private-activity-bond-ceiling-allocation/21-12-02·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
In lieu of the formula set out in the Tax Reform Act for allocating the ceiling among the state's governmental units, the governor shall, by executive order or proclamation, establish a different allocation formula which may allocate to a governmental unit a portion of the ceiling or may establish a procedure for a governmental unit to apply to the governor's office for an allocation by the governor within the ceiling. The application established by the governor may include a request for the following information:
1. The name of the governmental unit applying for an allocation of the ceiling.
2. A description of the governmental unit's proposed project or purpose for which the
private activity bonds are intended to be issued.
3. The location of the project authorized by the governmental unit.
4. The name and address of the project owner or operator and all principal users of the
project or the manager or director of the program which is the purpose for which the
private activity bonds are to be issued.
5. A certified copy of the inducement resolution adopted by the governmental unit under
the Tax Reform Act approving the project or purpose and granting preliminary
authorization for the issuance of the private activity bonds, or other preliminary
approval of the issuance of the private activity bonds which is comparable to an
inducement resolution.
6. A preliminary opinion of a qualified bond counsel which states that the proposed bond
issue qualifies as a private activity bond under applicable federal law and, if the private
activity bonds are issued, that the bonds must be within the ceiling for the interest on
the bonds to be exempt from federal income taxation under the Tax Reform Act.
7. Evidence that all public hearing requirements concerning the proposed project or
purpose have been met under state law and the Tax Reform Act.
8. The allocation of the ceiling requested by the governmental unit.