100 STAT. 2640
PUBLIC LAW 99-514—OCT. 22, 1986 ,.; j n ,Q
approved under subparagraph (A) (or treated as approved under subparagraph (O) unless the maturity date of such bond is later than the maturity date of the bond to be refunded. "(E) APPLICABLE ELECTED REPRESENTATIVE.—For purposes
of this paragraph—
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"(i) IN GENERAL.—The term 'applicable elected repe^;;,;' resentative' means with respect to any governmental unit— "(I) an elected legislative body of such unit, or "(II) the chief elected executive officer, the chief elected State legal officer of the executive branch, or any other elected official of such unit designated for purposes of this paragraph by such chief elected executive officer or by State law. u. "(ii) No APPLICABLE ELECTED REPRESENTATIVE.—If (but for this clause) a governmental unit has no applicable ._, elected representative, the applicable elected represent£ i ative for purposes of clause (i) shall be the applicable I::, ! elected representative of the governmental unit— "(I) which is the next higher governmental unit with such a representative, and ail. "(II) from which the authority of the govern.,. mental unit with no such representative is derived. "(3) SPECIAL RULE FOR APPROVAL OF AIRPORTS.—If—
"(A) the proceeds of an issue are to be used to finance a facility or facilities located at an airport, and t?r "(B) the governmental unit issuing such bonds is the owner or operator of such airport, such governmental unit shall be deemed to be the only governmental unit having jurisdiction over such airport for purposes of this subsection. "(g) RESTRICTION ON ISSUANCE COSTS FINANCED BY ISSUE.—
"(1) IN GENERAL.—A private activity bond shall not be a qualified bond if the issuance costs financed by the issue (of which such bond is a part) exceed 2 percent of the aggregate face amount of the issue. "(2) SPECIAL RULE FOR SMALL MORTGAGE REVENUE BOND
ISSUES.—In the case of an issue of qualified mortgage bonds or qualified veterans' mortgage bonds, paragraph (1) shall be applied by substituting '3.5 percent' for '2 percent' if the aggregate authorized face amount of the issue does not exceed $20,000,000. "(h) CERTAIN RULES NOT To APPLY TO MORTGAGE REVENUE BONDS, QUALIFIED STUDENT LOAN BONDS, AND QUALIFIED 501(c)(3) BONDS.— "(1) MORTGAGE REVENUE BONDS AND QUALIFIED STUDENT LOAN
BONDS.—Subsections (a), (b), (c), and (d) shall not apply to any qualified mortgage bond, qualified veterans' mortgage bond, or qualified student loan bond. "(2) QUALIFIED 501(CX3) BONDS.—Subsections (a), (c), and (d)
shall not apply to any qualified 501(c)(3) bond and subsection (e) shall be applied as if it did not contain 'health club facility' with respect to such a bond. "Subpart B—Requirements Applicable to All State and Local Bonds ^ fO "Sec. 148. Arbitrage. "Sec. 149. Bonds must be registered to be tax exempt; other requirements.
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