STATEMENTS OF POLICY

Title 13--COMMERCE
AND TRADE

DEPARTMENT OF COMMUNITY AND ECONOMIC DEVELOPMENT

[13 PA. CODE CH. 55]

Private Activity Bonds; Statement of Policy

[27 Pa.B. 1369]

   The Department of Community and Economic Development (Department) amends Chapter 55 (relating to private activity bonds--statement of policy) to read as set forth in Annex A. The statement of policy is amended under authority of section 7(4) of the Tax-Exempt Bond Allocation Act (act) (73 P. S. § 397.7(4)).

Background

   The Federal Internal Revenue Code of 1986 (IRC) imposes a State ceiling on the aggregate amount of private activity bonds that may be issued in each calendar year by or on behalf of the Commonwealth and its political subdivisions.

   The General Assembly adopted the act in 1985 to provide for the allocation of the State ceiling. The act authorizes the Secretary of Community and Economic Development to publish as a statement of policy the county-by-county allocations.

   The amended statement of policy provides for the 1997 allocation of the State ceiling. The amendments are needed because the current statement of policy provides allocations only for calendar year 1996.

   Amendments

   Section 55.5 (relating to allocations of tax-exempt bond authority) is amended to establish the private activity bond allocations for calendar year 1997.

Fiscal Impact

   The amended statement of policy has no fiscal impact on the Commonwealth, political subdivisions or the public. The amended statement of policy does not affect the total dollar amount of private activity bonds, as these ceilings are determined by Federal law. No Commonwealth funds are involved in the issuance of private activity bonds. Costs of bond issuance are paid for by bond proceeds or through funds of the issuer or borrower. The amended statement of policy will result in the use of private activity bonds to their maximum benefit, thereby increasing available resources.

Paperwork Requirements

   Additional paperwork requirements are not imposed as a result of the amended statement of policy.

Contact Person

   For further information regarding the amended statement of policy, contact Jill B. Busch, Deputy Chief Counsel, Office of Chief Counsel, Department of Community and Economic Development, Room 530 Forum Building, Harrisburg, PA 17120, (717) 783-8452.

Finding

   The Department finds that:

   (1)  Delay in implementing the statement of policy will have a serious adverse impact on the public interest.

Order

   The Department acting under the authorizing statute, orders that:

   (a)  The statement of policy of the Department, 13 Pa. Code Chapter 55, is amended by amending § 55.5 to read as set forth in Annex A, with ellipses referring to the existing text of the statement of policy.

   (b)  The Secretary of Community and Economic Development shall submit this order and Annex A to the Office of General Counsel for approval as to form and legality as required by law.

   (c)  The Secretary of Community and Economic Development shall certify this order and Annex A and deposit them with the Legislative Reference Bureau as required by law.

   (d)  This order shall take effect upon publication in the Pennsylvania Bulletin.

THOMAS B. HAGEN,   
Secretary

   Fiscal Note: 4-62. No fiscal impact; (8) recommends adoption.

Annex A

TITLE 13.  COMMERCE AND TRADE

PART I.  DEPARTMENT OF COMMUNITY AND ECONOMIC DEVELOPMENT

CHAPTER 55.  PRIVATE ACTIVITY BONDS-- STATEMENT OF POLICY

§ 55.5.  Allocations of tax-exempt bond authority.

   The act allocates the Commonwealth's tax-exempt bond authority to five categories as follows:

*      *      *      *      *

   (3)  Qualified small issue bonds. An amount equal to $152,800,000 will be allocated for qualified small issue bonds under section 144(a) of the Internal Revenue Code (26 U.S.C.A. § 144(a)). This amount will be allocated in accordance with the formula in § 57.1(d) (relating to allocations). Requests to apply this allocation to specific projects or uses will be reviewed and may be approved or disapproved by the Secretary. Application for allocations shall be made to the Bonds Office in the Department. The Secretary will provide allocations for qualified small issue bonds utilizing the procedure and subject to the requirements in § 57.3 (relating to procedures).

County	Allocation
Adams	$400,000
Allegheny	$6,347,000
Armstrong	$400,000
Beaver	$400,000
Bedford	$2,310,000
Berks	$8,934,000
Blair	$6,201,000
Bradford	$400,000
Bucks	$8,365,000
Butler	$2,677,000
Cambria	$749,000
Cameron	$400,000
Carbon	$1,797,000
Centre	$400,000
Chester	$8,386,000
Clarion	$400,000
Clearfield	$1,797,000
Clinton	$400,000
Columbia	$400,000
Crawford	$400,000
Cumberland	$400,000
Dauphin	$400,000
Delaware	$988,000
Elk	$400,000
Erie	$4,673,000
Fayette	$400,000
Forest	$400,000
Franklin	$4,801,000
Fulton	$400,000
Greene	$400,000
Huntingdon	$400,000
Indiana	$400,000
Jefferson	$400,000
Juniata	$400,000
Lackawanna	$598,000
Lancaster	$400,000
Lawrence	$2,755,000
Lebanon	$2,589,000
Lehigh	$1,331,000
Luzerne	$5,069,000
Lycoming	$3,607,000
McKean	$610,000
Mercer	$5,135,000
Mifflin	$400,000
Monroe	$1,327,000
Montgomery	$15,421,000
Montour	$400,000
Northampton	$2,347,000
Northumberland	$2,682,000
Perry	$586,000
Philadelphia	$4,291,000
Pike	$400,000
Potter	$400,000
Schuylkill	$9,437,000
Snyder	$400,000
Somerset	$400,000
Sullivan	$400,000
Susquehanna	$400,000
Tioga	$796,000
Union	$400,000
Venango	$400,000
Warren	$400,000
Washington	$9,280,000
Wayne	$400,000
Westmoreland	$8,355,000
Wyoming	$400,000
York	$4,539,000
Totals	$152,800,000

[Pa.B. Doc. No. 97-408. Filed for public inspection March 14, 1997, 9:00 a.m.]

---

No part of the information on this site may be reproduced for profit or sold for profit.

This material has been drawn directly from the official Pennsylvania Bulletin full text database. Due to the limitations of HTML or differences in display capabilities of different browsers, this version may differ slightly from the official printed version.

---