Page:United States Statutes at Large Volume 96 Part 1.djvu/515

 PUBLIC LAW 97-248—SEPT. 3, 1982

96 STAT. 473

"(A) IN GENERAL.—The term 'local district heating or cooling facility' means property used as an integral part of a local district heating or cooling system. "(B) LOCAL DISTRICT HEATING OR COOLING SYSTEM.—

"(i) IN GENERAL.—The term 'local district heating or cooling system' means any local system consisting of a pipeline or network (which may be connected to a heating or cooling source) providing hot water, chilled water, or steam to 2 or more users for— "(I) residential, commercial, or industrial heating or cooling, or "(II) process steam, "(ii) LOCAL SYSTEM.—For purposes of this subparagraph, a local system includes facilities furnishing heating and cooling to an area consisting of a city and one contiguous county." (3) CONFORMING AMENDMENT.—Subparagraph (C) of section

103(b)(6) is amended by striking out "paragraph (7)" and insert- 26 USC 103. ing in lieu thereof "paragraph (13)". (b) FACILITIES FOR THE LOCAL FURNISHING OF GAS.—Paragraph (4)

of section 103(b) is amended by striking out "electric energy from" in the last sentence and inserting in lieu thereof "electric energy or gas from". (c) QUALIFIED MASS COMMUTING VEHICLE.—Subparagraph (A) of

section 103(b)(9) (defining qualified mass commuting vehicle) is 95 Stat. 349. amended— (1) by inserting "ferry," after "rail car", and (2) by inserting after "mass commuting services" in clause (ii) the phrase "(or, in the case of a ferry, mass transportation services)". (d) POLLUTION CONTROL FACILITIES ACQUIRED BY REGIONAL POLLU-

TION CONTROL AUTHORITY.—Subsection (b) of section 103 is amended

by inserting after paragraph (10) (as added by subsection (a)) the following new paragraph: "(11) POLLUTION CONTROL FACILITIES ACQUIRED BY REGIONAL POLLUTION CONTROL AUTHORITIES.—

"(A) IN GENERAL.—For purposes of subparagraph (F) of paragraph (4), an obligation shall be treated as described in such subparagraph if it is part of an issue substantially all of the proceeds of which are used by a qualified regional pollution control authority to acquire existing air or water pollution control facilities which the authority itself will operate in order to maintain or improve the control of pollutants. "(B) RESTRICTIONS.—Subparagraph (A) shall apply only if— "(i) the amount paid, directly or indirectly, for the facilities does not exceed their fair market value, "(ii) the fees or charges imposed, directly or indirectly, on the seller for any use of the facilities after the sale are not less than the amounts that would be charged if the facilities were financed with obligations the interest on which is not exempt from tax, and "(iii) no person other than the qualified regional pollution control authority is considered after the sale as the owner of the facilities for purposes of Federal income taxes.

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