PUBLIC LAW 100-647—NOV. 10, 1988
102 STAT. 3447
"(ii) OBLIGATIONS NOT TAKEN INTO ACCOUNT IN DETER
MINING STATUS AS QUALIFIED SMALL ISSUER.—For purposes of clause (i), an obligation is described in this clause if such obligation is— "(I) a private activity bond (other than a qualified 501(c)(3) bond, as defined in section 145), "(II) an obligation to which section 141(a) does not apply by reason of section 1312, 1313, 1316(g), or 1317 of the Tax Reform Act of 1986 and which would (if issued on August 15, 1986) have been an industrial development bond (as defined in section 103(b)(2) as in effect on the day before the date of the enactment of such Act) or a private loan bond (as defined in section 103(o)(2)(A), as so in effect, but without regard to any exception from such definition other than section 103(o)(2)(A)), or "(III) an obligation issued to refund (other than to advance refund within the meaning of section 149(d)(5)) any obligation to the extent the amount of the refunding obligation does not exceed the outstanding amount of the refunded obligation. "(iii) ALLOCATION OF AMOUNT OF ISSUE IN CERTAIN CASES.—In the case of an issue under which more than 1 governmental entity receives benefits, if— "(I) all governmental entities receiving benefits from such issue irrevocably agree (before the date of issuance of the issue) on an allocation of the amount of such issue for purposes of this subparagraph, and "(II) such allocation bears a reasonable relationship to the respective benefits received by such entities, then the amount of such issue so allocated to an entity (and only such amount with respect to such issue) shall be taken into account under clause (i) with respect to such entity. "(D) LIMITATION ON AMOUNT OF OBLIGATIONS WHICH MAY BE DESIGNATED.—
"(i) IN GENERAL.—Not more than $10,000,000 of obligations issued by an issuer during any calendar year may be designated by such issuer for purposes of this paragraph. "(ii) CERTAIN REFUNDINGS OF DESIGNATED OBLIGATIONS
DEEMED DESIGNATED.—Except as provided in clause (iii), in the case of a refunding (or series of refundings) of a qualified tax-exempt obligation, the refunding obligation shall be treated as a qualified tax-exempt obligation (and shall not be taken into account under clause (i))if"(I) the refunding obligation was not taken into account under subparagraph (C) by reason of clause (ii)(III) thereof, "(II) the average maturity date of the refunding obligations issued as part of the issue of which such refunding obl^ation is a part is not later than the average maturity date of the obligations to be refunded by such issue, and
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