SECTION 9. INFORMATION

REPORTING

Subject to updated IRS information reporting forms or procedures, an issuer

receiving a reduced allocation may submit an application requesting the remainder of the allocation before the Second Allocation Deadline.

b. Second Allocation . (1)The Second Allocation will allocate the second $1 billion plus any portion of the first $1 billion not allocated as part of the First Allocation (the “Second Allocation Amount”). The Second Allocation will be allocated in accordance with this section for qualified projects for which applications meeting the requirements of this notice have been filed with the IRS on or before the Second Allocation Deadline set forth in this notice. If the total amount of volume cap requested in all applications received on or before the Second Allocation Deadline does not exceed the Second Allocation Amount, then each applicant will be allocated the amount of volume cap requested and any volume cap remaining may be available for allocation by the IRS as part of an allocation process to be announced by the IRS at some future date. If the total amount of volume cap requested in all applications received on or before the Second Allocation Deadline exceed the Second Allocation Amount then each applicant will be allocated the amount of volume cap requested reduced pro rata such that the total amount allocated as part of the Second Allocation does not exceed the Second Allocation Amount.

(2) Applicants for any subsequent allocation other than the First Allocation must include a description of the project, or any related project, for which a prior allocation was made, as well as the name of the applicant that received the allocation. For this purpose, related projects include facilities that are owned by the same Indian tribal government, a political subdivision of the Indian tribal government, or an entity controlled by the Indian tribal government, which are (i) located at or near the same site, and (ii) are integrated, interconnected, or directly or indirectly dependent on each other based on all the facts and circumstances

c. Limit on amounts awarded to any one Indian tribal government . No Indian tribal government will be awarded allocations from the First Allocation for a total amount exceeding $30 million. For purposes of this limitation, an Indian tribal government includes the Indian tribal government, as well as political subdivisions

of, and other entities controlled by, the Indian tribal government. Although the IRS expects that a similar limitation will apply to amounts allocated as part of the Second Allocation, or any subsequent allocation, the IRS reserves the right to raise or lower the limitation or abolish it entirely.

d. Joint projects . An Indian tribal government may submit an application for an allocation to finance the Indian tribal government’s share of a joint project all of which will be owned by Indian tribal governments or which will, in part, be owned by an entity that is not an Indian tribal government, provided that the joint project will be located entirely on one or more of the reservations of any of the Indian tribal governments receiving an allocation with respect to such project. For this purpose, the type of joint ownership of facilities to be financed with Tribal Economic Development Bonds include only those recognized under the private activity bond restrictions on tax-exempt bonds under § 141.

e. On behalf of issuers . (1) An Indian tribal government that receives an allocation may designate an “on behalf of issuer,” within the rules applicable to bonds issued under § 103, to issue the Tribal Economic Development Bonds on its behalf.

(2) An Indian tribal government that receives an allocation may assign the allocation to a pool bond issuer who is otherwise an Indian tribal government for the purpose of issuing Tribal Economic Development Bonds the proceeds of which will be loaned to the Indian tribal government who received the allocation. Pooled Tribal Economic Development Bonds will be subject to the provisions of § 149(f).

(3) The proceeds of any bonds issued by an “on behalf of” issuer or a pool issuer will be treated as if they were proceeds of bonds issued by the Indian tribal government that received the allocation.

f. Forfeiture of allocation . If bonds are not issued by December 31, 2010, for any or all of the allocation received by an issuer pursuant to the First Allocation, then such allocation is treated as forfeited. If bonds are not issued by December 31, 2011, for any or all of the allocation received by an issuer pursuant to the Second Allocation, then such allocation is treated as forfeited. Any allocation amounts treated as forfeited may be available for allocation

2009–28 I.R.B. 131 July 13, 2009

cent independent walls of separate buildings may be disregarded as long as such connections do not affect the structural independence of either wall.