Ohio Administrative Code › Title 122 - Development Services Agency › Division 128 - Data Center Tax Exemption › Chapter 122-4 - Restricted Bonds › Section 122-4-01 - Definitions and application

Current through all regulations passed and filed through July 1, 2024
(A) Definitions as used in this chapter:
(1) "Act" means section 146 of the Internal
				Revenue Code and any other provisions of the federal laws applicable thereto,
				as amended from time to time and as applicable, setting forth provisions for a
				state ceiling on the aggregate volume of restricted bonds that may be issued in
				any year in the state.
(2)
				"Amount," with reference to restricted bonds, means the amount taken into
				consideration for purposes of the state ceiling.
(3) "Bond counsel" means the attorney or firm
				of attorneys of nationally recognized standing in the field of law relating to
				the exemption from federal income taxation on state or local bonds who has
				rendered, or is expected to render at the time of the issuance of bonds, an
				opinion as to the tax-exempt status of the interest on the bonds.
(4) "Bonds" means bonds, bond anticipation
				notes, notes, and any other obligations and other arrangements, including
				certain lease and installment purchase obligations, which are subject to the
				state ceiling under the act.
(5)
				"Carryforward bonds" means restricted bonds for which a carryforward of
				allocation of the state ceiling for a given year may be made for issuance of
				such bonds in any subsequent year during which such bonds may be issued under
				the act, and includes mortgage credit certificates to be issued in lieu of
				qualified mortgage bonds under section 25 of the Internal Revenue
				Code.
(6) "Confirmation" means a
				written confirmation by the director of the allocation and assignment of a
				portion of the state ceiling to an issue of restricted bonds or to that amount
				of an issue that constitutes restricted bonds.
(7) "Director" means the director of
				 development services
				, and also includes such other
				officers or employees of the Ohio development services agency as may act for or
				in place of the director under this chapter pursuant to rule
				122-4-07
				of the Administrative Code.
(8)
				"Effective confirmations" means those confirmations, or the amounts thereof,
				which have not expired or lost effectiveness by reason of (a) the director not
				having received good payment of the applicable fees at the time required
				(subject to paragraph (D)(6) of rule
				122-4-06 of the
				Administrative Code), (b) failure to issue bonds or file notice of issuance
				within the required period, or (c) the failure to issue bonds in adequate
				amount, as applicable.
(9)
				"Enterprise zone facility" means an enterprise zone facility as defined in
				section 1394 of the Internal Revenue Code.
(10) "Eligible project" means a project that
				was not placed in service two years prior to the date of issuance of the
				related bonds. For purposes of this definition, "placed in service" means the
				date on which, based on all the facts and circumstances, a facility has reached
				a degree of completion which would permit its operation at substantially its
				design level and the facility is, in fact, in operation at such
				level.
(11) "Escrowed bonds" means
				bonds the terms of which require:
(a)
				ninety-five per cent or more of the proceeds of such bonds are escrowed until
				the occurrence of a specified event or events, and
(b) if the specified event or events fail to
				occur, the escrowed proceeds are to be used to pay the principal of, and
				interest or premium on, the bonds.
(12) "Exempt facility bonds" means restricted
				bonds, except restricted bonds issued for multi-family rental housing projects
				or enterprise zone facilities, qualified small issue bonds, student loan bonds
				or mortgage revenue bonds, that are exempt facility bonds as defined in section
				142 of the Internal Revenue Code.
(13) "File" or "filing" means, with regard to
				the filing of a notice of intent, a notice of renewal, a notice of issuance, or
				a notice of escrow release with the director, the receipt of such notice in the
				office of the director.
(14)
				"Internal Revenue Code" means the "Internal Revenue Code of 1986," 100 Stat.
				2085,
				26
				U.S.C.A. sections 1 et seq., as amended from
				time to time, and includes any laws of the United States providing for
				application of that code and the applicable regulations or rulings thereunder,
				including temporary and proposed regulations.
(15) "Issuance" or "issued" means, with
				respect to restricted bonds, the delivery of the bonds to the original
				purchaser in exchange for the agreed payment and deemed to be issued for
				purposes of section 150 of the Internal Revenue Code or, in the cases of lease
				and installment purchases and other arrangements which are subject to the state
				ceiling under section 146 of the Internal Revenue Code, the execution and
				delivery of the agreement committing the payment of interest which is sought to
				be exempted from federal income taxation; and with respect to mortgage credit
				certificates, the actual issuance of such certificate to the single family home
				mortgagor pursuant to section 25 of the Internal Revenue Code.
(16) "Issuer" or "issuing authority" means
				the public body or other authorized body which has authority to issue
				restricted bonds.
(17)
				"Multi-family rental housing project" means a multi-family rental housing
				project that is a qualified residential project within the meaning of section
				142(a)(7) and (d) of the Internal Revenue Code.
(18) "Notice of escrow release" means a
				written notice, in form prescribed by the director, properly completed and
				signed by an authorized officer or representative of the issuer or by bond
				counsel, stating that the conditions for breaking escrow have been satisfied,
				proceeds of the escrowed bonds have been released to be used for the purpose of
				the bonds, and proceeds of the bonds will not be used to pay principal of the
				bonds except to provide a reasonably required reserve for the bonds that meets
				the requirements of section 148(d) of the Internal Revenue Code.
(19) "Notice of intent" means a written
				notice, in form prescribed by the director, properly completed and signed by an
				authorized officer or representative of the issuer, stating the intention of
				the issuer to issue particular restricted bonds and requesting an allocation
				from a particular set-aside of the state ceiling.
(20) "Notice of issuance" means a written
				notice, in form prescribed by the director, properly completed and signed by an
				authorized officer or representative of the issuer or by bond counsel, stating
				that particular restricted bonds have been issued.
(21) "Notice of renewal" means a written
				notice, in form prescribed by the director, properly completed and signed by an
				authorized officer or representative of the issuer, or by bond counsel that
				requests an extension of a confirmation for the issuance of bonds pursuant to
				paragraph (C) of rule
				122-4-03
				of the Administrative Code.
(22)
				"Prior rules" means, collectively, rules 122-4-01 to 122-4-09 of the
				Administrative Code effective January 26, 1992, emergency rules 122-4-01 to
				122-4-08
				of the Administrative Code effective January 9, 1998, emergency rules 122-4-01
				to
				122-4-08
				of the Administrative Code effective April 15, 1998, rules 122-4-01 to
				122-4-08
				of the Administrative Code effective July 9, 1998, rules 122-4-01 to
				122-4-08
				of the Administrative Code effective March 22, 1999, rule
				122-4-02
				of the Administrative Code effective December 24, 1999, rules 122-4-01,
				122-4-02,
				and
				122-4-06 of the
				Administrative Code effective April 9, 2001, rules 122-4-01 to
				122-4-03
				of the Administrative Code effective December 27, 2001, rules 122-4-01 and
				122-4-02
				effective December 31, 2002, and rules
				122-4-02,
				122-4-03,
				122-4-05
				and
				122-4-06 effective
				December 12, 2006.
(23) "Qualified
				small issue bonds" means restricted bonds that are qualified small issue bonds
				as defined in section 144(a) of the Internal Revenue Code.
(24) "Restricted bonds" means those bonds,
				including part of an issue of bonds, that are chargeable or may be elected to
				be charged against the state ceiling under the Internal Revenue Code, including
				qualified mortgage bonds in lieu of which mortgage credit certificates are or
				are to be issued, and excludes any bonds or parts of issues of bonds which for
				any reason, including transitional rules or savings clauses, are excepted,
				exempted, or excluded in any way from the state ceiling under the
				act.
(25) "Select committee" means
				the joint select committee on volume cap created under section
				133.021 of the Revised
				Code.
(26) "State" means the state
				of Ohio.
(27) "State ceiling" means
				the limit of the aggregate amount for the applicable year of restricted bonds
				(exclusive of carryforward and refunding bonds) that may be issued by all
				issuers within the state, as prescribed by the act.
(28) "Student loan bonds" means restricted
				bonds that are qualified student loan bonds as defined in section 144(b) of the
				Internal Revenue Code.
(29) "Year"
				or a numerical reference to a year means the applicable calendar
				year.