Page:United States Statutes at Large Volume 92 Part 3.djvu/208

 92 STAT. 2840

42 USC 5301 note. 26 USC 103

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PUBLIC LAW 95-600—NOV. 6, 1978 used to provide facilities with respect to which an urban development action grant has been made under section 119 of the Housing and Community Development Act of 1974, capital expenditures of not to exceed $10,000,000 shall not be taken into account for purposes of applying subparagraph (D)(ii)." (c) EFFECTIVE DATES.—

(1) The amendments made by subsection (a) shall apply to— (A) obligations issued after December 31, 1978, in taxable years ending after such date, and (B) capital expenditures made after December 31, 1978, with respect to obligations issued before January 1, 1979. (2) The amendment made by subsection 0^) shall apply to— (A) obligations issued after September 30, 1979, in taxable years ending after such date, and (B) capital expenditures made after September 30, 1979, with respect to obligations issued after such date. SEC. 332. LOCAL FURNISHING OF ELECTRIC ENERGY.

26 USC 103.

26 USC 103 note-

(a) IN GENERAL.—Paragraph (4) of section 103(b) (relating to certain exempt activities) is amended by adding at the end thereof the following new sentence: "For purposes of subparagraph (E), the local furnishing of electric energy from a facility shall include furnishing solely within the area consisting of a city and 1 contiguous county." (b) EFFECTIVE DATE.—The amendment made by subsection (a) shall apply to taxable years ending after April 30, 1968, but only with respect to obligations issued after such date. SEC. 333. INDUSTRIAL DEVELOPMENT BONDS FOR WATER FACILITIES.

26 USC 103.

26 USC 103 note.

26 USC 103.

(a) IN GENERAL.—Subparagraph (G) of section 103(b)(4) (relating to industrial development bonds) is amended to read as follows: "(G) facilities for the furnishing of water for any purpose if— "(i) the water is or will be made available to members of the general public (including electric utility, industrial, agricultural, or commercial users), and "(ii) either the facilities are operated by a governmental unit or the rates for the furnishing or sale of the water have been established or approved by a State or political subdivision thereof, by an agency or instrumentality of the United States, or by a public service or public utility commission or other similar body of any State or political subdivision thereof." (b) EFFECTIVE DATE.—The amendment made by subsection (a) shall apply to obligations issued after the date of the enactment of this Act in taxable years ending after such date. SEC. 334. A D V A N C E REFUNDING OF INDUSTRIAL DEVELOPMENT BONDS FOR CERTAIN PUBLIC WORKS. (a) IN GENERAL.—Subsection Oa) of section 103 (relating to industrial development bonds) is amended by redesignating paragraph (7) as paragraph (8) and by inserting after paragraph (6) the following new paragraph: "(7) ADVANCE REFUNDING OF QUALIFIED PUBLIC FACILITIES.—

"(A) IN GENERAL.—Paragraph (1) shall not apply to a refunding issue if substantially all the proceeds of the

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