Page:United States Statutes at Large Volume 116 Part 1.djvu/62

 116 STAT. 36 PUBLIC LAW 107-147—MAE. 9, 2002 " (c) 5-YEAR RECOVERY PERIOD FOR DEPRECIATION OF CERTAIN LEASEHOLD IMPROVEMENTS.— "(1) IN GENERAL.— For purposes of section 168, the term '5-year property' includes any qualified New York Liberty Zone leasehold improvement property. " (2) QUALIFIED NEW YORK LIBERTY ZONE LEASEHOLD IMPROVEMENT PROPERTY. — For purposes of this section, the term 'qualified New York Liberty Zone leasehold improvement property' means qualified leasehold improvement property (as defined in section 168(k)(3)) if— "(A) such building is located in the New York Liberty Zone, "(B) such improvement is placed in service after September 10, 2001, and before January 1, 2007, and "(C) no written binding contract for such improvement was in effect before September 11, 2001. " (3) REQUIREMENT TO USE STRAIGHT LINE METHOD. —The applicable depreciation method under section 168 shall be the straight line method in the case of qualified New York Liberty Zone leasehold improvement property. " (4) 9-YEAR RECOVERY PERIOD UNDER ALTERNATIVE SYSTEM.— For purposes of section 168(g), the class life of qualified New York Liberty Zone leasehold improvement property shall be 9 years. " (d) TAX-EXEMPT BOND FINANCING.— "(1) IN GENERAL.—For purposes of this title, any qualified New York Liberty Bond shall be treated as an exempt facility bond. "(2) QUALIFIED NEW YORK LIBERTY BOND.— For purposes of this subsection, the term 'qualified New York Liberty Bond' means any bond issued as part of an issue if— "(A) 95 percent or more of the net proceeds (as defined in section 150(a)(3)) of such issue are to be used for qualified project costs, "(B) such bond is issued by the State of New York or any political subdivision thereof, "(C) the Governor or the Mayor designates such bond for purposes of this section, and "(D) such bond is issued after the date of the enactment of this section and before January 1, 2005. " (3) LIMITATIONS ON AMOUNT OF BONDS.— "(A) AGGREGATE AMOUNT DESIGNATED.—The maximum aggregate face amount of bonds which may be designated under this subsection shall not exceed $8,000,000,000, of which not to exceed $4,000,000,000 may be designated by the Governor and not to exceed $4,000,000,000 may be designated by the Mayor. "(B) SPECIFIC LIMITATIONS.—The aggregate face amount of bonds issued which are to be used for— "(i) costs for property located outside the New York Liberty Zone shall not exceed $2,000,000,000, "(ii) residential rental property shall not exceed $1,600,000,000, and "(iii) costs with respect to property used for retail sales of tangible property and functionally related and subordinate property shall not exceed $800,000,000.

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