EXECUTIVE ORDER
ADMINISTRATION OF TAX EXEMPT BOND VOLUME CAPS AUTHORIZED UNDER AMENDMENTS TO THE INTERNAL
REVENUE CODE
WHEREAS, in October 2008 Congress passed the Energy Improvement
and Extension Act (Energy Act) of 2008, authorizing a new bond
program, Qualified Energy Conservation Bonds, subject to a
volume cap; and
WHEREAS, in February 2009 congress passed the American Recovery
and Reinvestment Act (Recovery Act), authorizing two new bond
issuance programs subject to volume caps, Recovery Zone
Economic Development Bonds and Recovery Zone Facility Bonds;
and increasing the volume cap for Qualified Energy
Conservation Bonds; and
WHEREAS, Congress has authorized the states to administer the
Recovery Zone Economic Development Bond, Recovery Zone
Facility Bond, and Qualified Energy Conservation Bond state
volume caps; and
WHEREAS, RCW 39.86.160 authorizes the Governor to establish by
executive order an alternative system to allocate state volume
cap if federal legislation is passed that affects the state
volume cap when the state Legislature is not in session,
taking into consideration the requirements of federal law, the
policy choices expressed in state law, and the projected needs
of issuers; and
WHEREAS, it is the purpose of chapter 39.86 RCW to provide a
flexible and efficient method of allocating the annual state
ceiling in a manner that recognizes the need of the state and
its political subdivisions to finance activities or projects
that satisfy a substantial public purpose; and
WHEREAS, RCW 43.330.050(4) authorizes the Department of Commerce
(formerly known as the Department of Community, Trade, and
Economic Development) to administer programs assigned to the
Department by the Governor or the Legislature; and
WHEREAS, the adoption of an emergency rule is permitted under
RCW 34.05.350(1) when immediate adoption of a rule is
necessary for the preservation of the public welfare and that
observing the time requirements of the notice and opportunity
to comment upon adoption of a permanent rule would be contrary
to the public interest; and
WHEREAS, it is in the best interests of the residents of the
state Washington, and in accordance with the intent of the Act
to stimulate the economy, to allocate and use the volume cap
authorized in the Act as quickly and efficiently as possible;
NOW THEREFORE, I Christine O. Gregoire, Governor of the state of
Washington, do hereby order as follows:
1. The Department of Commerce shall allocate the Recovery
Zone Economic Development Bond, Recovery Zone Facility
Bond, and Qualified Energy Conservation Bond volume caps
allocated to the state of Washington under the Energy Act
and the Recovery Act in accordance with the provisions of
federal and state law and program guidance published by
the federal Treasury Department.
2. The Department of Commerce will adopt emergency rules
approving appropriate amendments to the federal tax code
and establishing procedures and timelines with which to
allocate the volume caps.
3. The allocation of the volume caps authorized by the
Energy Act and the Recovery Act according to the
provisions of this Executive Order shall be effective
until (a) all the additional cap authorized by the Energy
and Recovery Acts has been allocated and used, (b) the
legislature acts, or (c) this Executive Order is
rescinded.
Signed and sealed with the official seal of the state of
Washington, on this 8th day of September 2009, at Olympia,
Washington.
| By: | ||
| Christine O. Gregoire Governor |
||
| BY THE GOVERNOR: | ||
| Sam Reed | ||
| Secretary of State | ||