SECTION 4. NATIONAL QUALIFIED

ZONE ACADEMY BOND LIMITATION FOR 1999

The total face amount of bonds that may be issued in 1999 is $400 million. This amount is allocated among the States as follows:

AMOUNT OF BONDS THAT MAY BE ISSUED

DURING 1999 STATE (thousands of dollars)

MAXIMUM FACE

.01 Section 226 of the Tax Relief Act of 1997, Pub. L. 105–34, 111 Stat. 788 (1997), added § 1397E to the Internal Revenue Code to provide a credit to holders of Bonds under certain circumstances so that the Bonds generally can be issued without discount or interest. Ninety-five percent of Bond proceeds are to be used for qualified purposes, as defined by § 1397E(d)(5), with respect to a qualified zone academy, as defined by § 1397E(d)(4).

.02 The aggregate amount of Bonds that may be issued for the States is limited to $400 million for 1998 and $400 million for 1999 (the “national limitation”), unless the carryover provisions of § 1397E(e)(4) apply. This amount is to be allocated among the States by the Secretary on the basis of their respective populations below the poverty level (as defined by the Office of Management and Budget) and is to be further allocated by the State to qualified zone academies within the State or possession. A State may carry forward to the next calendar year any amount of an allocation of the national limitation for a calendar year that is in excess of the amount of Bonds issued during that calendar year that are designated with respect to qualified academies within the State.

.03 Rev. Proc. 98–9, 1998–3 I.R.B. 56, allocated the national limitation for 1998 among the States and possessions.

AMOUNT OF BONDS THAT MAY BE ISSUED

DURING 1999 STATE (thousands of dollars)

NEW JERSEY $ 7,775 NEW MEXICO 4,083 NEW YORK 31,426 NORTH CAROLINA 8,851 NORTH DAKOTA 918 OHIO 12,986 OKLAHOMA 4,810 OREGON 4,030 PENNSYLVANIA 14,104 RHODE ISLAND 1,266 SOUTH CAROLINA 5,275 SOUTH DAKOTA 1,234 TENNESSEE 8,345 TEXAS 34,781 UTAH 1,952 VERMONT 570 VIRGINIA 9,051 WASHINGTON 5,581 WEST VIRGINIA 3,017 WISCONSIN 4,452 WYOMING 696 AMERICAN SAMOA 367 GUAM 217 NORTHERN

MARIANAS 337 PUERTO RICO 23,484 VIRGIN ISLANDS 323