Z-1658               _______________________________________________

                                                   SENATE BILL NO. 6535

                        _______________________________________________

State of Washington                               51st Legislature                              1990 Regular Session

By Senators Lee and Smitherman

Read first time 1/17/90 and referred to Committee on  Economic Development & Labor.

AN ACT Relating to private activity bond allocation ceilings; and amending RCW 39.86.120.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

        Sec. 1.  Section 3, chapter 297, Laws of 1987 and RCW 39.86.120 are each amended to read as follows:

          (1) Except as provided in subsections (2) and (4) of this section, the initial allocation of the state ceiling shall be for each year as follows:

!tm2,1,1,2,2 !ix!tj3!tc1989!sc ,1@56and!tc1990!sc ,1@56and

!ix!tj3!tc@56thereafter!tcthereafter

!tj3!tc(If!sc ,1the!sc ,1small!tc(If!sc ,1the!sc ,1small

!tj3!tcissue!sc ,1category!tcissue!sc ,1category

!tj3!tcis!sc ,1permitted!tcis!sc ,1not!sc ,1permitted

!ix@56Bond!sc ,1Use!tj3!tcunder!sc ,1federal!tcunder!sc ,1federal

!ix@56Category!tj1!tl1987!tt!tc1988!tt!tclaw)!tt!tclaw)!tt

!ixHousing!tr5%!tr25%!tr25%!tr35%

!ixStudent!sc ,1Loans!tr10%!tr15%!tr15%!tr15%

!ixExempt!sc ,1Facility!tr40%!tr20%!tr20%!tr35%

!ixPublic!sc ,1Utility!tr10%!tr10%!tr10%!tr10%

!ixSmall!sc ,1Issue!tr30%!tr25%!tr25%!tr0%

!ixRemainder and

!sc ,2redevelopment!tr5%!tr5%!tr5%!tr5%

          (2) Initial allocations may be modified by the agency only to reflect an issuer's carryforward amount.  Any reduction of the initial allocation shall be added to the remainder and be available for allocation or reallocation.

          (3) The remainder shall be allocated by the agency among one or more issuers from any bond use category with regard to the criteria specified in RCW 39.86.130.

          (4) Should any bond use category no longer be subject to the state ceiling due to federal or state provisions of law, the agency shall divide the amount of that initial allocation among the remaining categories as necessary or appropriate with regard to the criteria specified in RCW 39.86.130.

          (5)(a) Prior to September 1 of each calendar year, any available portion of an initial allocation may be allocated or reallocated only to an issuer within the same bond use category, except that the remainder category, or portions thereof, may be allocated at any time to any bond use category.

          (b) Beginning September 1 of each calendar year, the agency may allocate or reallocate any available portion of the state ceiling to any bond use category with regard to the criteria specified in RCW 39.86.130.