An Act To Facilitate Recovery Zone Facility Bonds
Emergency preamble. Whereas, acts and resolves of the Legislature do not become effective until 90 days after adjournment unless enacted as emergencies; and
Whereas, the United States Congress has enacted the American Recovery and Reinvestment Act of 2009; and
Whereas, the American Recovery and Reinvestment Act of 2009 provides for the issuance by counties of recovery zone facility bonds, the interest on which will be exempt from federal income tax pursuant to the United States Internal Revenue Code; and
Whereas, the purpose of the American Recovery and Reinvestment Act of 2009, including its provisions regarding recovery zone facility bonds, is to provide immediate benefit to the economies of the states; and
Whereas, in the judgment of the Legislature, these facts create an emergency within the meaning of the Constitution of Maine and require the following legislation as immediately necessary for the preservation of the public peace, health and safety; now, therefore,
Sec. 1. 10 MRSA §963-A, sub-§10, as amended by PL 2009, c. 372, Pt. D, §§1 to 3, is further amended to read:
In addition to and without limiting this subsection, "eligible "Eligible project" also means includes any project, the financing of which through the issuance of revenue obligation securities would result in the interest on the revenue obligation securities qualifying, as of the date of issuance, as tax-exempt under the 26 United States Code, Title 26, Section 103, as amended.
"Eligible project" includes any "recovery zone property," as defined under 26 United States Code, Section 1400U-3, as amended, the financing of which through the issuance of revenue obligation securities would result in the interest on the revenue obligation securities qualifying, as of the date of issuance, as tax-exempt under 26 United States Code, Section 103, as amended.
Sec. 2. 10 MRSA §963-A, sub-§39-A is enacted to read:
Sec. 3. 10 MRSA §963-A, sub-§40-A is enacted to read:
Sec. 4. 10 MRSA §963-A, sub-§44-A is enacted to read:
Sec. 5. 10 MRSA §963-A, sub-§49, as enacted by PL 1985, c. 344, §7, is amended to read:
Sec. 6. 10 MRSA §1061-B is enacted to read:
§ 1061-B. Designation of issuer of recovery zone facility bonds
To the extent permitted by federal law, the county commissioners of any county may authorize the authority to issue recovery zone facility bonds on behalf of that county pursuant to subchapter 3 or a municipality to issue recovery zone facility bonds on behalf of that county pursuant to this subchapter.
Sec. 7. 10 MRSA §1074-A is enacted to read:
§ 1074-A. Recovery zone facility bonds
Sec. 8. 10 MRSA §1074-B is enacted to read:
§ 1074-B. Allocation of certain national bond limitations
To the extent permitted by federal law, the Governor may establish by executive order a procedure for the reallocation of any allocation of a portion of a national bond limitation to the State or to any issuer or governmental entity within the State pursuant to 26 United States Code, Sections 54D, 54E, 54F and 1400U-1 and for the reallocation of any portion of a national bond limitation that is not used within the applicable time period specified in federal law or that has been waived by an issuer or governmental entity within the State, except that allocation of the national recovery zone facility bond limitation established pursuant to 26 United States Code, Section 1400U-1, as amended, must be carried out pursuant to section 1074-A.
Sec. 9. 30-A MRSA §934, as amended by PL 1999, c. 717, §1, is further amended to read:
§ 934. Loans
The county commissioners may obtain loans of money for the use of their county and cause notes, obligations or bonds, with coupons for lawful interest, to be issued for payment of the loans. These loans may not exceed $10,000, except in Franklin County and Aroostook County as provided in sections 935 and 935-A and except to the extent authorized pursuant to Title 10, chapter 110, without first obtaining the consent of the county, substantially as provided in section 122 or by countywide referendum pursuant to section 938.
Emergency clause. In view of the emergency cited in the preamble, this legislation takes effect when approved.
SUMMARY
This bill facilitates the issuance of recovery zone facility bonds authorized by the federal American Recovery and Reinvestment Act of 2009.