RES 341 Draft 01 2008-2010 - Laserfiche WebLink

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WHEREAS, § 1400U -2(c) of the Code defines the term "qualified economic development purpose" for purposes of § 1400U -2 of the Code to mean any expenditures for purposes of promoting development or other economic activity in a recovery zone, including (1) capital expenditures paid or incurred with respect to property located in the recovery zone, (2) expenditures for public infrastructure and construction of public facilities, and (3) expenditures for job training and educational programs; and WHEREAS, eligible issuers of Recovery Zone Economic Development Bonds include states and political subdivisions as defined for purposes of § 103 of the Code; and WHEREAS, §1400U -1(b) of the Code requires, in part, that issuers "designate" eligible recovery zones based on certain specified criteria; and WHEREAS, I.R.S. Notice 2009 -50 ( "Notice 2009 -50 ") provides that for this purpose, any state, county, or large municipality that receives a volume cap allocation for Recovery Zone Economic Development Bonds may make these designations of recovery zones in any reasonable manner as it shall determine in good faith in its discretion; and WHEREAS, due to a significant decline in tourism and economic conditions generally, the County of Hawai`i (the "County ") has suffered significant general economic distress; and WHEREAS, §1400U-1(a)(1)(A) of the Code provides that, subject to § 1400U- 1(a)(1)(B) of the Code (relating to minimum allocations), generally, the Secretary of the Treasury shall allocate the $10 billion national volume cap for Recovery Zone Economic Development Bonds among the states in the proportion that each state's 2008 state employment decline bears to the aggregate of the 2008 State employment declines for all of the States; and 2