(a) As used in this chapter, unless the context otherwise requires, the terms defined in this section shall have the following meanings:

(1) “Committee” means the California Debt Limit Allocation Committee established pursuant to Section 8869.83.

(2) “Fund” means the California Debt Limit Allocation Committee Fund created pursuant to Section 8869.90.

(3) “Internal Revenue Code” means the Internal Revenue Code of 1986 (26 U.S.C. § 1 et seq.), as amended from time to time.

(4) “Issuer” means any local agency or state agency authorized by the Constitution or laws of the state to issue private activity bonds.

(5) “Local agency” means any political subdivision of the state within the meaning of Section 103 of the Internal Revenue Code (26 U.S.C. § 103), or any entity that has the power to issue private activity bonds on behalf of that political subdivision.

(6) “MBTCAC” means the California Tax Credit Allocation Committee created by § 50199.8 of the Health and Safety Code.

(7) “Private activity bond” means a part or all of any bond, or other instrument, required to obtain a portion of the state’s volume cap pursuant to Sections 142(k) and 146 of the Internal Revenue Code (26 U.S.C. Secs. 142(k) and 146) in order to be tax-exempt, including, generally, all of the following, as those bonds are defined in the Internal Revenue Code:

(A) Exempt facility bonds, except bonds for airports, docks and wharves, and certain solid waste facilities.

(B) Qualified mortgage bonds.

(C) Qualified small issue bonds.

(D) Qualified student loan bonds.

(E) Qualified redevelopment bonds.

(F) The nonqualified amount of an issue of governmental bonds (including advance refunds) exceeding fifteen million dollars ($15,000,000), as provided in Section 141(b)(5) of the Internal Revenue Code (26 U.S.C. § 141(b)(5)).

(8) “Private activity bond limit” means any portion of the state ceiling allocated or transferred to a state agency or local agency pursuant to this chapter.

(9) “State” means the State of California.

(10) “State agency” means the state and all state entities, including joint powers authorities of which the state or agency or instrumentality thereof is a member, empowered to issue private activity bonds, the interest on which is exempt from income tax under Section 103(a) of the Internal Revenue Code (26 U.S.C. § 103(a)), including nonprofit corporations described in Section 150(d) of the Internal Revenue Code (26 U.S.C. § 150(d)), authorized to issue qualified scholarship funding bonds.

(11) “State ceiling” includes all of the following:

(A) The amount specified by Section 146(d) of the Internal Revenue Code (26 U.S.C. § 146(d)) for each calendar year commencing in 1986.

(B) The amount reserved to the state pursuant to Sections 1112 and 1401 of the American Recovery and Reinvestment Act of 2009 (26 U.S.C. Secs. 54a and 1400U-1).

(C) The amount specified by Section 142(k) of the Internal Revenue Code (26 U.S.C. § 42(k)).

(b) Pursuant to Section 146(e) of the Internal Revenue Code (26 U.S.C. § 146(e)), this chapter governs the allocation of the state ceiling among the state agencies and local agencies in this state having authority to issue private activity bonds.

(c) Any portion of the state ceiling allocated or transferred by or under the authority of this chapter shall become the private activity bond limit for the issuer of which that portion is allocated or transferred for any private activity bonds issued by that issuer.

(Amended by Stats. 2015, Ch. 277, Sec. 3. (AB 1195) Effective January 1, 2016.)