Page:United States Statutes at Large Volume 100 Part 3.djvu/822

 100 STAT. 2630

PUBLIC LAW 99-514—OCT. 22, 1986



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"(i) which a r e allocated to such organization, and "(ii) which are outstanding at the time of such later issue (not including as outstanding any bond which is to be redeemed (other than in an advance refunding) from the net proceeds of the later issue). "(B)

BONDS TAKEN INTO ACCOUNT.—For

purposes

of

subparagraph (A), the bonds referred to in this subparagraph are— "(i) any qualified 501(c)(3) bond other than a qualified hospital bond, and f "(ii) any bond to which section 141(a) does not apply if— "(I) such bond would have been an industrial development bond (as defined in section 103(b), as in effect on the day before the date of the enact' • ment of the Tax Reform Act of 1986) if 501(c)(3) organizations were not exempt persons, and "(II) such bond was not described in paragraph . (4), (5), or (6) of such section 103(b) (as in effect on . ' the date such bond was issued). "(C) ONLY NONHOSPITAL PORTION OF BONDS TAKEN INTO ACCOUNT.—
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"(i) IN GENERAL.—A bond shall be taken into account under subparagraph (B)(ii) only to the extent that the proceeds of the issue of which such bond is a part are not used with respect to a hospital. '^BJvrfQfli "(ii) SPECIAL RULE.—If 90 percent or more of the net u« • proceeds of an issue are used with respect to a hospital, no bond which is part of such issue shall be taken into tfi account under subparagraph (B)(ii). "(3) AGGREGATION RULE. — For purposes of this subsection, 2 or more organizations under common m a n a g e m e n t or control shall be treated as 1 organization. "(4) ALLOCATION O F FACE AMOUNT O F ISSUE; TEST-PERIOD BENE-

FICIARY.—Rules similar to the rules of subparagraphs (C) and (D) of section 144(a)(10) shall apply for purposes of this subsection. • "(c) QUALIFIED HOSPITAL B O N D. — For purposes of this section, the term 'qualified hospital bond' means any bond issued as part of a n issue 95 percent or more of the n e t proceeds of which a r e to be used with respect to a hospital. "(d) ELECTION O U T. — T h i s section shall not apply to a n issue if— "(1) the issuer elects not to have this section apply to such issue, and "(2) such issue is a n issue of exempt facility bonds, or qualified redevelopment bonds, to which section 146 applies. "SEC. 146. VOLUME CAP.

"(a) GENERAL RULE.—A private activity bond issued as part of an issue meets the requirements of this section if the aggregate face amount of the private activity bonds issued pursuant to such issue, when added to the aggregate face amount of tax-exempt private activity bonds previously issued by the issuing authority during the calendar year, does not exceed such authority's volume cap for such calendar year. "(b) VOLUME CAP FOR STATE AGENCIES.—For purposes of this section—

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