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                            CHAPTER 362-H.F.No. 2415 
                  An act relating to housing; making technical and 
                  policy changes to the low-income housing tax credit 
                  program; modifying procedures for allocating bonding 
                  authority to cities for single-family housing; making 
                  technical corrections; amending Minnesota Statutes 
                  1994, sections 462A.222, subdivisions 1, 1a, 3, and 4; 
                  462A.223, subdivision 2; 462C.05, by adding a 
                  subdivision; 474A.061, subdivision 2b; 474A.131, 
                  subdivisions 1 and 1a; and 474A.14; Minnesota Statutes 
                  1995 Supplement, sections 474A.061, subdivisions 2a 
                  and 2c; and 474A.091, subdivision 3; proposing coding 
                  for new law in Minnesota Statutes, chapter 474A. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
           Section 1.  Minnesota Statutes 1994, section 462A.222, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [CREDIT RESERVATIONS.] The agency shall 
        reserve a portion of the annual state ceiling for low-income 
        housing credits provided under section 42 of the Internal 
        Revenue Code of 1986, as amended, to (1) cities with a 
        population of at least 50,000 that have a housing and 
        redevelopment authority; (2) cities located in three or more 
        counties that have a housing and redevelopment authority; and 
        (3) counties with a population of 100,000 or more that have a 
        housing and redevelopment authority.  A city or county is 
        eligible to receive a reserved portion of the state ceiling 
        under this subdivision if it submits a written request to the 
        agency within 45 days after June 2, 1987, to act as a designated 
        housing credit agency as provided in section 42 of the Internal 
        Revenue Code of 1986, as amended.  A city or county may 
        designate its housing and redevelopment authority as the agency 
        to receive reserved low-income housing credits on behalf of the 
        city or county.  The city of Minneapolis or the city of Saint 
        Paul may designate the Minneapolis/Saint Paul housing finance 
        board to receive reserved low-income housing credits on behalf 
        of each city. 
           Sec. 2.  Minnesota Statutes 1994, section 462A.222, 
        subdivision 1a, is amended to read: 
           Subd. 1a.  [DETERMINATION OF REGIONAL CREDIT POOLS.] The 
        agency shall divide the annual per capita amount used in 
        determining the state ceiling for low-income housing tax credits 
        provided under section 42 of the Internal Revenue Code of 1986, 
        as amended through December 31, 1989, into a metropolitan pool 
        and a greater Minnesota pool.  The metropolitan pool shall serve 
        the metropolitan area as defined in section 473.121, subdivision 
        2.  The greater Minnesota pool shall serve the remaining 
        counties of the state.  The percentage of the annual per capita 
        amount allotted to each pool must be determined as follows: 
           (a) The percentage set-aside for projects involving a 
        qualified nonprofit organization as provided in section 42 of 
        the Internal Revenue Code of 1986, as amended through December 
        31, 1989, must be deducted from the annual per capita amount 
        used in determining the state ceiling. 
           (b) Of the remaining amount, the metropolitan pool must be 
        allotted a percentage equal to the metropolitan counties' 
        percentage of the total number of state recipients of:  aid to 
        families with dependent children, general assistance, Minnesota 
        supplemental aid, and supplemental security income in the state, 
        as reported annually by the department of human services.  The 
        greater Minnesota pool must be allotted the amount remaining 
        after the metropolitan pool's percentage has been allotted. 
           The set-aside for qualified nonprofit organizations must be 
        divided between the two regional pools in the same percentage as 
        determined for the credit amounts above. 
           Sec. 3.  Minnesota Statutes 1994, section 462A.222, 
        subdivision 3, is amended to read: 
           Subd. 3.  [ALLOCATION PROCEDURE.] (a) Projects will be 
        awarded tax credits in three competitive rounds on an annual 
        basis.  The date for applications for each round must be 
        determined by the agency.  No allocating agency may award tax 
        credits prior to the application dates established by the agency.
           (b) Each allocating agency must meet the requirements of 
        section 42(m) of the Internal Revenue Code of 1986, as amended 
        through December 31, 1989, for the allocation of tax credits and 
        the selection of projects. 
           (c) For projects that are eligible for an allocation of 
        credits pursuant to section 42(h)(4) of the Internal Revenue 
        Code of 1986, as amended, tax credits may only be allocated if 
        the project satisfies the requirements of the allocating 
        agency's qualified allocation plan.  For projects that are 
        eligible for an allocation of credits pursuant to section 
        42(h)(4) of the Internal Revenue Code of 1986, as amended, for 
        which the agency is the issuer of the bonds for the project, or 
        the issuer of the bonds for the project is located outside the 
        jurisdiction of a city or county that has received reserved tax 
        credits, the applicable allocation plan is the agency's 
        qualified allocation plan. 
           (d) For applications submitted for the first round, an 
        allocating agency may allocate tax credits only to the following 
        types of projects: 
           (1) in the metropolitan area: 
           (i) new construction or substantial rehabilitation of 
        projects in which, for the term of the extended use period, at 
        least 75 percent of the total tax credit units are single-room 
        occupancy, efficiency, or one bedroom units and which are 
        affordable by households whose income does not exceed 30 percent 
        of the median income; 
           (ii) new construction or substantial rehabilitation family 
        housing projects that are not restricted to persons who are 55 
        years of age or older and in which, for the term of the extended 
        use period, at least 75 percent of the tax credit units contain 
        two or more bedrooms and at least one-third of the 75 percent 
        contain three or more bedrooms; or 
           (iii) substantial rehabilitation projects in neighborhoods 
        targeted by the city for revitalization; 
           (2) outside the metropolitan area, projects which meet a 
        locally identified housing need and which are in short supply in 
        the local housing market as evidenced by credible data submitted 
        with the application; 
           (3) projects that are not restricted to persons of a 
        particular age group and in which, for the term of the extended 
        use period, a percentage of the units are set aside and rented 
        to persons: 
           (i) with a serious and persistent mental illness as defined 
        in section 245.462, subdivision 20, paragraph (c); 
           (ii) with a developmental disability as defined in United 
        States Code, title 42, section 6001, paragraph (5), as amended 
        through December 31, 1990; 
           (iii) who have been assessed as drug dependent persons as 
        defined in section 254A.02, subdivision 5, and are receiving or 
        will receive care and treatment services provided by an approved 
        treatment program as defined in section 254A.02, subdivision 2; 
           (iv) with a brain injury as defined in section 256B.093, 
        subdivision 4, paragraph (a); or 
           (v) with permanent physical disabilities that substantially 
        limit one or more major life activities, if at least 50 percent 
        of the units in the project are accessible as provided under 
        Minnesota Rules, chapter 1340; 
           (4) projects which preserve existing subsidized housing 
        which is subject to prepayment if the use of tax credits is 
        necessary to prevent conversion to market rate use; or 
           (5) projects financed by the Farmers Home Administration, 
        or its successor agency, which meet statewide distribution goals.
           (d) (e) Before the date for applications for the second 
        round, the allocating agencies other than the agency shall 
        return all uncommitted and unallocated tax credits to the pool 
        from which they were allocated, along with copies of any 
        allocation or commitment.  In the second round, the agency shall 
        allocate the remaining credits from the regional pools to 
        projects from the respective regions.  
           (e) (f) In the third round, all unallocated tax credits 
        must be transferred to a unified pool for allocation by the 
        agency on a statewide basis. 
           (f) (g) Unused portions of the state ceiling for low-income 
        housing tax credits reserved to cities and counties for 
        allocation may be returned at any time to the agency for 
        allocation. 
           (h) If an allocating agency determines, at any time after 
        the initial commitment or allocation for a specific project, 
        that a project is no longer eligible for all or a portion of the 
        low-income housing tax credits committed or allocated to the 
        project, the credits must be transferred to the agency to be 
        reallocated pursuant to the procedures established in paragraphs 
        (e) to (g); provided that if the tax credits for which the 
        project is no longer eligible are from the current year's annual 
        ceiling and the allocating agency maintains a waiting list, the 
        allocating agency may continue to commit or allocate the credits 
        until not later than October 1, at which time any uncommitted 
        credits must be transferred to the agency. 
           Sec. 4.  Minnesota Statutes 1994, section 462A.222, 
        subdivision 4, is amended to read: 
           Subd. 4.  [DISTRIBUTION PLAN.] (a) By October 1, 1990, the 
        metropolitan council, in consultation with the agency and 
        representatives of local government and housing and 
        redevelopment authorities, shall develop and submit to the 
        agency a plan for allocating tax credits in 1991 and thereafter 
        in the metropolitan area, based on regional housing needs and 
        priorities.  The agency may amend the distribution plan after 
        consultation with the metropolitan council, representatives of 
        local governments, and housing and redevelopment authorities. 
           (b) By October 1, 1990, the agency, in consultation with 
        representatives of local government and housing and 
        redevelopment authorities, shall develop a plan for allocating 
        tax credits in 1991 and thereafter in greater Minnesota, based 
        on regional housing needs and priorities.  The agency may amend 
        the distribution plan after consultation with representatives of 
        local governments and housing and redevelopment authorities. 
           (c) In preparing the distribution plans, the metropolitan 
        council and the agency shall estimate the number of households 
        in the metropolitan area and in greater Minnesota, respectively, 
        who are paying more than 50 percent of their income for rent and 
        the cost of providing sufficient rental or other assistance so 
        that no household pays more than 50 percent of its income for 
        rent.  In addition, the metropolitan council and the agency 
        shall identify the nature and scope of existing programs which 
        primarily serve families at 60 percent of the median income and 
        individuals at 30 percent of the median income.  In preparing 
        the estimate, the metropolitan council and the agency shall rely 
        on existing and available data and shall report the results to 
        the legislature no later than January 31, 1991. 
           Sec. 5.  Minnesota Statutes 1994, section 462A.223, 
        subdivision 2, is amended to read: 
           Subd. 2.  [DESIGNATED AGENCY.] The agency is designated as 
        a housing credit agency to allocate the portion of the state 
        ceiling for low-income housing tax credits (1) not reserved to 
        cities and counties under section 462A.222; (2) not accepted for 
        allocation by eligible cities and counties; (3) returned to the 
        agency for allocation; and (4) not otherwise reserved to the 
        agency for allocation under subdivision 1.  Low-income housing 
        tax credits shall be allocated by the agency as provided in 
        section 462A.222.  The agency shall make no allocation for 
        projects located within the jurisdiction of the cities or 
        counties that have received tax credits under section 462A.222, 
        subdivision 1, except from the percentage set-aside for projects 
        involving a qualified nonprofit organization as provided under 
        section 42 of the Internal Revenue Code of 1986, as amended 
        through December 31, 1989, until the amounts reserved to the 
        cities and counties for allocation have been allocated or 
        committed or returned to the agency for allocation.  In order 
        that all of a project's credits are allocated by a single 
        allocating agency, the agency may reserve additional tax credits 
        to a city or county that has received tax credits under section 
        462A.222, subdivision 1, for a project that has already received 
        a commitment or allocation of tax credits from an eligible city 
        or county, if all of the tax credits reserved to the eligible 
        city or county have been committed or allocated. 
           Sec. 6.  Minnesota Statutes 1994, section 462C.05, is 
        amended by adding a subdivision to read: 
           Subd. 6a.  [QUALIFIED ALLOCATION PLAN 
        REQUIREMENT.] Multifamily housing developments described in 
        subdivision 1 for which an application is submitted for 
        low-income housing tax credits provided under section 42 of the 
        Internal Revenue Code of 1986, as amended, must also satisfy the 
        qualified allocation plan applicable to the area in which the 
        project is located. 
           Sec. 7.  [474A.025] [DEADLINE DATES AND TIMES.] 
           All applications, notices, and other materials required to 
        be filed or submitted to the department pursuant to this chapter 
        must be received by the department no later than 4:30 p.m. on 
        the deadline day or date.  When an application, notice, or other 
        required material is required to be filed or submitted to the 
        department on or before a prescribed day or date and the 
        prescribed day or date falls on a Saturday, Sunday, or legal 
        holiday, it is timely filed or submitted if it is received by 
        the department by 4:30 p.m. on the next succeeding day which is 
        not a Saturday, Sunday, or legal holiday. 
           Sec. 8.  Minnesota Statutes 1995 Supplement, section 
        474A.061, subdivision 2a, is amended to read: 
           Subd. 2a.  [HOUSING POOL ALLOCATION.] (a) On the first 
        business day that falls on a Monday of the calendar year and the 
        first Monday in February, the commissioner shall allocate 
        available bonding authority in the housing pool to applications 
        received by the Monday of the previous week for residential 
        rental projects that are not restricted to persons who are 55 
        years of age or older and that meet the eligibility criteria 
        under section 474A.047.  If an issuer that receives an 
        allocation under this paragraph does not issue obligations equal 
        to all or a portion of the allocation received within 120 days 
        of the allocation or returns the allocation to the commissioner, 
        the amount of the allocation is canceled and returned for 
        reallocation through the housing pool. 
           (b) After February 1, and through February 15, the 
        Minnesota housing finance agency may accept applications from 
        cities for single-family housing programs which meet program 
        requirements as follows:  
           (1) the housing program must meet a locally identified 
        housing need and be economically viable; 
           (2) the adjusted income of home buyers may not exceed the 
        greater of the agency's income limits or 80 percent of the area 
        median income as published by the Department of Housing and 
        Urban Development; 
           (3) house price limits may not exceed: 
           (i) the greater of agency house price limits or the federal 
        price limits for housing up to a maximum of $95,000; or 
           (ii) for a new construction affordability initiative, the 
        greater of 115 percent of agency house price limits or 90 
        percent of the median purchase price in the city for which the 
        bonds are to be sold up to a maximum of $95,000. 
           Data establishing the median purchase price in the city 
        must be included in the application by a city requesting house 
        price limits higher than the housing finance agency's house 
        price limits; and 
           (4) an application deposit equal to one percent of the 
        requested allocation must be submitted with the city's signed 
        allocation agreement before the agency forwards the list 
        specifying the amounts allocated to the commissioner under 
        paragraph (c).  The agency shall submit the city's application 
        and application deposit to the commissioner when requesting an 
        allocation from the housing pool. 
           Applications by a consortium shall include the name of each 
        member of the consortium and the amount of allocation requested 
        by each member. 
           The Minnesota housing finance agency may accept 
        applications from June 15 through June 30 from cities for 
        single-family housing programs which meet program requirements 
        specified under clauses (1) to (4) if bonding authority is 
        available in the housing pool.  The agency must allot available 
        bonding authority.  For purposes of paragraphs (a) to (d) (g), 
        "city" means a county or a consortium of local government units 
        that agree through a joint powers agreement to apply together 
        for single-family housing programs, and has the meaning given it 
        in section 462C.02, subdivision 6.  "Agency" means the Minnesota 
        housing finance agency.  
           (c) The total amount of allocation for mortgage bonds for 
        one city is limited to the lesser of:  (i) the amount requested, 
        or (ii) the product of the total amount available for mortgage 
        bonds from the housing pool, multiplied by the ratio of each 
        applicant's population as determined by the most recent estimate 
        of the city's population released by the state demographer's 
        office to the total of all the applicants' population, except 
        that each applicant shall be allocated a minimum of $100,000 
        regardless of the amount requested or the amount determined 
        under the formula in clause (ii).  If a city applying for an 
        allocation is located within a county that has also applied for 
        an allocation, the city's population will be deducted from the 
        county's population in calculating the amount of allocations 
        under this paragraph. 
           Upon determining the amount of each applicant's allocation, 
        the agency shall forward a list specifying the amounts allotted 
        to each application and application deposit checks to the 
        commissioner. 
           (d) The agency may issue bonds on behalf of participating 
        cities.  The agency shall request an allocation from the 
        commissioner for all applicants who choose to have the agency 
        issue bonds on their behalf and the commissioner shall allocate 
        the requested amount to the agency.  The agency may request an 
        allocation at any time after the first Monday in February and 
        through the last Monday in July, but may request an allocation 
        no later than the last Monday in July.  The commissioner shall 
        return any application deposit to a city that paid an 
        application deposit under paragraph (a) (b), clause (4), but was 
        not part of the agreement list forwarded to the commissioner 
        under this paragraph (c). 
           (e) A city may choose to issue bonds on its own behalf or 
        through a joint powers agreement or may use bonding authority 
        for mortgage credit certificates and may request an allocation 
        from the commissioner.  If the total amount requested by all 
        applicants exceeds the amount available in the pool, the city 
        may not receive a greater allocation than the amount it would 
        have received under the agreement list forwarded by the 
        Minnesota housing finance agency to the commissioner.  No city 
        may request or receive an allocation from the commissioner until 
        the list under paragraph (c) has been forwarded to the 
        commissioner.  A city must request an allocation from the 
        commissioner no later than 14 days before the unified pool is 
        created pursuant to section 474A.091, subdivision 1.  On and 
        after the first Monday in February and through the last Monday 
        in July, no city may receive an allocation from the housing pool 
        which has not first applied to the Minnesota housing finance 
        agency.  The commissioner shall allocate the requested amount to 
        the city or cities subject to the limitations under this 
        paragraph.  
           If a city issues mortgage bonds from an allocation received 
        under this paragraph (d), the issuer must provide for the 
        recycling of funds into new loans.  If the issuer is not able to 
        provide for recycling, the issuer must notify the commissioner 
        in writing of the reason that recycling was not possible and the 
        reason the issuer elected not to have the Minnesota housing 
        finance agency issue the bonds.  "Recycling" means the use of 
        money generated from the repayment and prepayment of loans for 
        further eligible loans or for the redemption of bonds and the 
        issuance of current refunding bonds. 
           (f) No entitlement city or county or city in an entitlement 
        county may apply for or be allocated authority to issue bonds or 
        use mortgage credit certificates from the housing pool. 
           (g) A city that does not use at least 50 percent of their 
        allotment by the date applications are due for the first 
        allocation that is made from the housing pool for single-family 
        housing programs in the immediately succeeding calendar year may 
        not apply to the housing pool for a single-family mortgage bond 
        or mortgage credit certificate program allocation or receive an 
        allotment from the housing pool in the succeeding two calendar 
        years.  Each local government unit in a consortium must meet the 
        requirements of this paragraph. 
           Sec. 9.  Minnesota Statutes 1994, section 474A.061, 
        subdivision 2b, is amended to read: 
           Subd. 2b.  [SMALL ISSUE POOL ALLOCATION.] From the 
        beginning of the calendar year On the first Monday in January 
        that is a business day through the last Monday in July, the 
        commissioner shall allocate available bonding authority from the 
        small issue pool on Monday of each week to applications received 
        on or before the Monday of the preceding week.  The amount of 
        allocation provided to an issuer for a specific manufacturing 
        project will be based on the number of points received for the 
        proposed project under the scoring system under section 
        474A.045.  Proposed projects that receive 50 points or more are 
        eligible for all of the proposed allocation.  Proposed projects 
        that receive less than 50 points are eligible to receive a 
        proportionally reduced share of the proposed authority, based 
        upon the number of points received. 
           If there are two or more applications for manufacturing 
        projects from the small issue pool and there is insufficient 
        bonding authority to provide allocations for all projects in any 
        one week, the available bonding authority shall be awarded based 
        on the number of points awarded a project under section 
        474A.045, with those projects receiving the greatest number of 
        points receiving allocation first.  If two or more applications 
        receive an equal number of points, available bonding authority 
        shall be awarded by lot unless otherwise agreed to by the 
        respective issuers. 
           Sec. 10.  Minnesota Statutes 1995 Supplement, section 
        474A.061, subdivision 2c, is amended to read: 
           Subd. 2c.  [PUBLIC FACILITIES POOL ALLOCATION.] From the 
        beginning of the calendar year and continuing for a period of 
        120 days, the commissioner shall reserve $5,000,000 of the 
        available bonding authority from the public facilities pool for 
        applications for public facilities projects to be financed by 
        the Western Lake Superior Sanitary District.  From the beginning 
        of the calendar year On the first Monday in January that is a 
        business day through the last Monday in July, the commissioner 
        shall allocate available bonding authority from the public 
        facilities pool on Monday of each week to applications for 
        eligible public facilities projects received on or before the 
        Monday of the preceding week.  If there are two or more 
        applications for public facilities projects from the pool and 
        there is insufficient available bonding authority to provide 
        allocations for all projects in any one week, the available 
        bonding authority shall be awarded by lot unless otherwise 
        agreed to by the respective issuers. 
           Sec. 11.  Minnesota Statutes 1995 Supplement, section 
        474A.091, subdivision 3, is amended to read: 
           Subd. 3.  [ALLOCATION PROCEDURE.] (a) The commissioner 
        shall allocate available bonding authority under this section on 
        the Monday of every other week beginning with the first Monday 
        in August through and on the last Monday in November.  
        Applications for allocations must be received by the department 
        by the Monday preceding the Monday on which allocations are to 
        be made.  If a Monday falls on a holiday, the allocation will be 
        made or the applications must be received by the next business 
        day after the holiday.  
           (b) On or before September 1, allocations shall be awarded 
        from the unified pool in the following order of priority: 
           (1) applications for enterprise zone facility bonds; 
           (2) applications for small issue bonds; 
           (3) applications for mortgage residential rental project 
        bonds; 
           (4) applications for public facility projects funded by 
        public facility bonds; 
           (5) applications for redevelopment bonds; 
           (6) applications for residential rental project mortgage 
        bonds; and 
           (7) applications for governmental bonds. 
           Allocations for residential rental projects may only be 
        made during the first allocation in August.  The amount of 
        allocation provided to an issuer for a specific manufacturing 
        project will be based on the number of points received for the 
        proposed project under the scoring system under section 474A.045.
        Proposed manufacturing projects that receive 50 points or more 
        are eligible for all of the proposed allocation.  Proposed 
        manufacturing projects that receive less than 50 points under 
        section 474A.045 are only eligible to receive a proportionally 
        reduced share of the proposed authority, based upon the number 
        of points received.  If there are two or more applications for 
        manufacturing projects from the unified pool and there is 
        insufficient bonding authority to provide allocations for all 
        manufacturing projects in any one allocation period, the 
        available bonding authority shall be awarded based on the number 
        of points awarded a project under section 474A.045 with those 
        projects receiving the greatest number of points receiving 
        allocation first.  If two or more applications receive an equal 
        amount of points, available bonding authority shall be awarded 
        by lot unless otherwise agreed to by the respective issuers. 
           (c)(1) On the first Monday in August, $5,000,000 of bonding 
        authority is reserved within the unified pool for agricultural 
        development bond loan projects of the Minnesota rural finance 
        authority and $20,000,000 of bonding authority or an amount 
        equal to the total annual amount of bonding authority allocated 
        to the small issue pool under section 474A.03, subdivision 1, 
        less the amount allocated to issuers from the small issue pool 
        for that year, whichever is less, is reserved within the unified 
        pool for small issue bonds.  On the first Monday in 
        September through the last Monday in November, $2,500,000 of 
        bonding authority or an amount equal to the total annual amount 
        of bonding authority allocated to the public facilities pool 
        under section 474A.03, subdivision 1, less the amount allocated 
        to issuers from the public facilities pool for that year, 
        whichever is less, is reserved within the unified pool for 
        public facility bonds.  If sufficient bonding authority is not 
        available to reserve the required amounts for manufacturing 
        projects and agricultural development bond loan projects, the 
        remaining available bonding authority must be distributed 
        between the two reservations on a pro rata basis, based upon the 
        amounts each would have received if sufficient authority was 
        available. 
           (2) The total amount of allocations for mortgage bonds from 
        the housing pool and the unified pool may not exceed: 
           (i) $10,000,000 for any one city; or 
           (ii) $20,000,000 for any number of cities in any one county.
           An allocation for mortgage bonds may be used for mortgage 
        credit certificates. 
           (d) After September 1, allocations shall be awarded from 
        the unified pool only for the following types of qualified bonds:
        small issue bonds, public facility bonds to finance publicly 
        owned facility projects, residential rental project bonds, and 
        enterprise zone facility bonds. 
           (d) If there is insufficient bonding authority to fund all 
        projects within any qualified bond category, allocations shall 
        be awarded by lot unless otherwise agreed to by the respective 
        issuers.  If an application is rejected, the commissioner must 
        notify the applicant and return the application deposit to the 
        applicant within 30 days unless the applicant requests in 
        writing that the application be resubmitted.  The granting of an 
        allocation of bonding authority under this section must be 
        evidenced by issuance of a certificate of allocation. 
           Sec. 12.  Minnesota Statutes 1994, section 474A.131, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [NOTICE OF ISSUE.] Each issuer that issues 
        bonds with an allocation received under this chapter shall 
        provide a notice of issue to the department on forms provided by 
        the department stating: 
           (1) the date of issuance of the bonds; 
           (2) the title of the issue; 
           (3) the principal amount of the bonds; 
           (4) the type of qualified bonds under federal tax law; and 
           (5) the dollar amount of the bonds issued that were subject 
        to the annual volume cap.  
           For obligations that are issued as a part of a series of 
        obligations, a notice must be provided for each series.  Any 
        issue of obligations for which a notice of issue is not provided 
        to the department within five days after issuance or before the 
        last Monday in December, whichever occurs first, is deemed not 
        to have received an allocation under this law or under federal 
        tax law.  Within 30 days after receipt of a notice of issue the 
        department shall refund a portion of the application deposit 
        equal to one percent of the amount of the bonding authority 
        actually issued if a one percent application deposit was made, 
        or equal to two percent of the amount of the bonding authority 
        actually issued if a two percent application deposit was made. 
           Sec. 13.  Minnesota Statutes 1994, section 474A.131, 
        subdivision 1a, is amended to read: 
           Subd. 1a.  [CERTIFICATE OF NOTICE.] If an allocation 
        received under this chapter is used for mortgage credit 
        certificates, a certificate notice must be submitted to the 
        department on forms provided by the department stating the date 
        of the filing of the election not to issue bonds as provided 
        under section 25, paragraph (c), of the Internal Revenue Code 
        and the amount of allocation authority to be used under the 
        program. 
           A mortgage credit certificate program for which a 
        certificate notice is not provided to the department within five 
        days of the date of the filing of the election not to issue 
        bonds or before the last Monday in December, whichever occurs 
        first, is considered not to have received an allocation under 
        this law or under federal tax law.  Within 30 days after receipt 
        of a certificate notice the department shall refund a portion of 
        the application deposit equal to one percent of the amount of 
        the bonding authority to be used for the mortgage credit 
        certificate program. 
           Sec. 14.  Minnesota Statutes 1994, section 474A.14, is 
        amended to read: 
           474A.14 [NOTICE OF AVAILABLE AUTHORITY.] 
           The department shall publish in the State Register a notice 
        of the amount of bonding authority in the housing, small issue, 
        and public facilities pools as soon after January 1 as 
        possible.  The department shall publish in the State Register a 
        notice of the amount of bonding authority available for 
        allocation in the unified pool as soon after September August 1 
        as possible. 
           Sec. 15.  [EXCEPTION TO SINGLE-FAMILY MORTGAGE BOND 
        ALLOCATION USAGE TEST.] 
           Notwithstanding Minnesota Statutes, section 474A.061, 
        subdivision 2a, paragraph (g), a city that received an allotment 
        of bonding authority from the housing pool in 1995 and had not 
        used at least 50 percent of its allotment by January 31, 1996, 
        may apply to the housing pool for a single-family mortgage bond 
        or mortgage credit certificate program allocation or receive an 
        allotment from the housing pool in 1997.  This section applies 
        to each local government unit in a consortium which received an 
        allotment in 1995 from the housing pool. 
           Sec. 16.  [EFFECTIVE DATE.] 
           Sections 1 to 6 are effective the day following final 
        enactment. 
           Presented to the governor March 19, 1996 
           Signed by the governor March 21, 1996, 2:18 p.m.