N.Y. Private Activity Bond 47/90 § 5: Statewide bond reserve

* § 5. Statewide bond reserve. One-third of the statewide ceiling is

hereby set aside as a statewide bond reserve to be administered by the

director.

1. Allocation of the statewide bond reserve among state agencies,

local agencies and other issuers. The director shall transfer a portion

of the statewide bond reserve to the commissioner for allocation to and

use by local agencies and other issuers in accordance with the terms of

this section. The remainder of the statewide bond reserve may be

allocated by the director to state agencies in accordance with the terms

of this section.

2. Allocation of statewide bond reserve to local agencies or other

issuers.

a. Local agencies or other issuers may at any time apply to the

commissioner for an allocation from the statewide bond reserve. Such

application shall demonstrate:

(i) that the requested allocation is required under the code for the

interest earned on the bonds to be excluded from the gross income of

bondholders for federal income tax purposes;

(ii) that the local agency's remaining unused allocation provided

pursuant to section three of this act, and other issuer's remaining

unused allocation, or any available carryforward will be insufficient

for the specific project or projects for which the reserve allocation is

requested; and

(iii) that, except for those allocations made pursuant to section

eleven of this act to enable carryforward elections, the requested

allocation is reasonably expected to be used during the calendar year.

b. In reviewing and approving or disapproving applications, the

commissioner shall exercise discretion to ensure an equitable

distribution of allocations from the statewide bond reserve to local

agencies and other issuers. Prior to making a determination on such

applications, the commissioner shall notify and seek the recommendation

of the commissioner of housing and community renewal in the case of an

application related to the issuance of multi-family housing or mortgage

revenue bonds, and in the case of other requests, such state officers,

departments, divisions and agencies as the commissioner deems

appropriate.

c. Applications for allocations shall be made in such form and contain

such information and reports as the commissioner shall require.

3. Allocation of statewide bond reserve to state agencies. The

director may make an allocation from the statewide bond reserve to any

state agency. Before making any allocation of statewide bond reserve to

state agencies the director shall be satisfied:

a. that the allocation is required under the code for the interest

earned on the bonds to be excluded from the gross income of bondholders

for federal income tax purposes;

b. that the state agency's remaining unused allocation provided

pursuant to section four of this act or any available carryforward will

be insufficient to accommodate the specific bond issue or issues for

which the reserve allocation is requested; and

c. that, except for those allocations made pursuant to section eleven

of this act to enable carryforward elections, the requested allocation

is reasonably expected to be used during the calendar year.

* NB Repealed January 1, 1991