Page:United States Statutes at Large Volume 119.djvu/2598

 119 STAT. 2580

‘‘(i) nonresidential real property (including fixed improvements associated with such property) located in the Gulf Opportunity Zone, and ‘‘(ii) public utility property (as defined in section 168(i)(10)) located in the Gulf Opportunity Zone. ‘‘(5) SPECIAL RULES.—In applying this title to any qualified Gulf Opportunity Zone Bond, the following modifications shall apply: ‘‘(A) Section 142(d)(1) (defining qualified residential rental project) shall be applied— ‘‘(i) by substituting ‘60 percent’ for ‘50 percent’ in subparagraph (A) thereof, and ‘‘(ii) by substituting ‘70 percent’ for ‘60 percent’ in subparagraph (B) thereof. ‘‘(B) Section 143 (relating to mortgage revenue bonds: qualified mortgage bond and qualified veterans’ mortgage bond) shall be applied— ‘‘(i) only with respect to owner-occupied residences in the Gulf Opportunity Zone, ‘‘(ii) by treating any such residence in the Gulf Opportunity Zone as a targeted area residence, ‘‘(iii) by applying subsection (f)(3) thereof without regard to subparagraph (A) thereof, and ‘‘(iv) by substituting ‘$150,000’ for ‘$15,000’ in subsection (k)(4) thereof. ‘‘(C) Except as provided in section 143, repayments of principal on financing provided by the issue of which such bond is a part may not be used to provide financing. ‘‘(D) Section 146 (relating to volume cap) shall not apply. ‘‘(E) Section 147(d)(2) (relating to acquisition of existing property not permitted) shall be applied by substituting ‘50 percent’ for ‘15 percent’ each place it appears. ‘‘(F) Section 148(f)(4)(C) (relating to exception from rebate for certain proceeds to be used to finance construction expenditures) shall apply to the available construction proceeds of bonds which are part of an issue described in paragraph (2)(A)(i). ‘‘(G) Section 57(a)(5) (relating to tax-exempt interest) shall not apply. ‘‘(6) SEPARATE ISSUE TREATMENT OF PORTIONS OF AN ISSUE.—This subsection shall not apply to the portion of an issue which (if issued as a separate issue) would be treated as a qualified bond or as a bond that is not a private activity bond (determined without regard to paragraph (1)), if the issuer elects to so treat such portion. ‘‘(b) ADVANCE REFUNDINGS OF CERTAIN TAX-EXEMPT BONDS.— ‘‘(1) IN GENERAL.—With respect to a bond described in paragraph (3), one additional advance refunding after the date of the enactment of this section and before January 1, 2011, shall be allowed under the applicable rules of section 149(d) if— ‘‘(A) the Governor of the State designates the advance refunding bond for purposes of this subsection, and ‘‘(B) the requirements of paragraph (5) are met. ‘‘(2) CERTAIN PRIVATE ACTIVITY BONDS.—With respect to a bond described in paragraph (3) which is an exempt facility

Applicability.

VerDate 14-DEC-2004

07:21 Oct 30, 2006

PUBLIC LAW 109–135—DEC. 21, 2005

Jkt 039194

PO 00003

Frm 00048

Fmt 6580

Sfmt 6581

E:\PUBLAW\PUBL003.119

APPS06

PsN: PUBL003

�