Code of Maine Rules
94 - INDEPENDENT AGENCIES
376 - MAINE MUNICIPAL BOND BANK
Chapter 101 - ALLOCATION OF STATE CEILING ON TAX-EXEMPT PRIVATE ACTIVITY BONDS UNDER MAINE MUNICIPAL BOND BANK
Section 376-101-2 - Applications For and Awards of State Ceiling

Universal Citation: 94 ME Code Rules ยง 376-101-2

Current through 2024-38, September 18, 2024

A. Forms. An issuer must file an application for a State ceiling allocation on forms supplied by the Bank.

B. Fees. On submission of an application for a State ceiling allocation, an issuer shall pay a fee to the Bank, as follows:

A

Dollar amount of Bonds Fee
Less than $100,000 $ 500
Greater than $100,000 $1,000

C. Restrictions

1. No issuer will be awarded a State ceiling allocation by the Bank in excess of $1,000,000 for an issue of qualified redevelopment bonds.

2. No issuer will be awarded a State ceiling allocation by the Bank in excess of $1,000,000 for any issue of any other type of tax-exempt private activity bonds.

D. Award of State Ceiling Allocations. The Bank will award State ceiling allocations to issuers in the order that the Bank receives applications for such allocations in a form that complies entirely with the requirements of this rule. If an application which complies with this rule is received by the Bank from an issuer, and if an award of the State ceiling allocation requested by such an application would exhaust the State ceiling, the Bank will award to the issuer the amount of State ceiling available on the date that such application is received. If multiple applications which comply with this rule are received by the Bank from issuers on the same date, and, if awards of requested State ceiling allocations to all such issuers would exhaust the State ceiling, the Bank will award the State ceiling available among such issuers on a prorated basis according to the relative sizes of the State ceiling allocation awards requested by such issuers.

E. Post-Award Requirements

1. Within 60 days after receiving an award of a State ceiling allocation from the Bank, an issuer must provide the Bank with:
a. a written commitment to purchase such an issue, if the issue is to be privately offered, signed by the prospective purchaser of the issue; or

b. a written commitment to offer the issue for public competitive bid, signed by the issuer.

2. Within 90 days after receiving an award of a State ceiling allocation from the Bank, or not later than the date of the next issue of bonds by the Bank, the issuer must issue the bonds which are the subject of its State ceiling award.

3. Within 5 business days after the date of closing of any issue of bonds for which an issuer has been awarded a State ceiling allocation pursuant to these rules, the issuer shall cause the Bank to receive the following:
(a) A completed Form 8038 for the issue, signed on behalf of issuer;

(b) Certification to the Bank of bond counsel to the issuer of the date on which the bonds were closed, issued and delivered, and bond proceeds were paid over by the bond purchasers; and

(c) Certification to the Bank of bond counsel to the issuer that the bonds are exempt from Federal income tax pursuant to Section 103 of the Code, conditioned upon receipt of a sufficient State ceiling allocation award.

4. If an issuer fails to comply with any of the requirements of Sections E(1), E(2), or E(3) above for an issue, the issuer's State ceiling allocation for such issue will automatically be rescinded, and become available for award by the Bank to other qualified applicants.

F. Carryforward of Unused State Ceiling. Notwithstanding any other provision of this rule, all awards of State ceiling allocation for which bonds have not been issued by December 24 of each calendar year shall automatically be rescinded, and such unused State ceiling will become available for carryforward by the Bank or by other State agencies authorized to award State ceiling.

G. Delegation to Executive Director of Bank. The Executive Director of the Bank shall process all applications by issuers for State ceiling allocations and shall recommend to the Bank whether such applications should be approved or rejected. The Bank hereby delegates to the Executive Director of the Bank the authority to take any action in the name of, and on behalf of, the Bank which is necessary or convenient for processing or recommending approval or rejection of applications by issuers for State ceiling allocations, and for making effective and efficient use of State ceiling in accordance with this rule, applicable law, and Executive Order.

H. Appeals. Final action by the Bank on any application for a State ceiling allocation is final agency action pursuant to 5 M.R.S.A. §11001(l) (Supp. 1986) and is appealable pursuant to the Maine Administrative Procedure Act, 5 M.R.S.A. §§ 800111116 (1979 & Supp. 1986). Notwithstanding the pendency of any such appeal, however, the Bank may, in its sole and uncontrolled discretion, unless and until stayed by a valid order of a Court of competent jurisdiction, continue to award State ceiling allocations to other qualified applicants pursuant to this rule.

I. Waiver of Requirements. The Bank may waive any requirement or extend any time limit imposed by this rule, except to the extent that such requirement or time limit is mandated by applicable law or Executive Order, if the Bank is convinced that such a waiver is justified because a deviation from the rule is insubstantial or is justified by the most efficient and effective use of State ceiling in compliance with State and Federal law and Executive Order.

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