Page:United States Statutes at Large Volume 114 Part 5.djvu/637

 PUBLIC LAW 106-554—APPENDIX G 114 STAT. 2763A-597 "(ii) section 1250 property (as defined in section 1250(c)) which is functionally related and subordinate to property described in clause (i). " (B) CERTAIN EXPENDITURES NOT INCLUDED. — "(i) ACQUISITION COST. —In the case of a building described in paragraph (1)(B), the cost of acquiring the building or interest therein shall be treated as a qualified revitalization expenditure only to the extent that such cost does not exceed 30 percent of the aggregate qualified revitalization expenditures (determined without regard to such cost) with respect to such building. " (ii) CREDITS. —The term 'qualified revitalization expenditure' does not include any expenditure which the taxpayer may take into account in computing any credit allowable under this title unless the taxpayer elects to take the expenditure into account only for purposes of this section. "(c) DOLLAR LIMITATION.— The aggregate amount which may be treated as qualified revitalization expenditures with respect to any qualified revitalization building shall not exceed the lesser of— " (1) $10,000,000, or "(2) the commercial revitalization expenditure amount allocated to such building under this section by the commercial revitalization agency for the State in which the building is located. "(d) COMMERCIAL REVITALIZATION EXPENDITURE AMOUNT. — "(1) IN GENERAL.—The aggregate commercial revitalization expenditure amount which a commercial revitalization agency may allocate for any calendar year is the amount of the State commercial revitalization expenditure ceiling determined under this paragraph for such calendar year for such agency. "(2) STATE COMMERCIAL REVITALIZATION EXPENDITURE CEIL- ING.—The State commercial revitalization expenditure ceiling applicable to any State— "(A) for each calendar year after 2001 and before 2010 is $12,000,000 for each renewal community in the State, and "(B) for each calendar year thereafter is zero. "(3) COMMERCIAL REVITALIZATION AGENCY.—For purposes of this section, the term 'commercial revitalization agenc/ means any agency authorized by a State to carry out this section. "(4) TIME AND MANNER OF ALLOCATIONS. —Allocations under this section shall be made at the same time and in the same manner as under paragraphs (1) and (7) of section 42(h). "(e) RESPONSIBILITIES OF COMMERCLVL REVITALIZATION AGEN- CIES.— "(1) PLANS FOR ALLOCATION.— Notwithstanding any other provision of this section, the commercial revitalization expenditure amount with respect to any building shall be zero unless— "(A) such amount was allocated pursuant to a qualified allocation plan of the commercial revitalization agency which is approved (in accordance with rules similar to the rules of section 147(f)(2) (other than subparagraph

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