Utah Admin. Code R990-200-7 - Extensions
(1) Certificates of
allocation shall remain in effect for a period of 90 days following the date of
Board of Review approval. A recipient that has not closed its volume cap
allocation within such 90-day period may request an extension from the Board of
Review. A recipient requesting an extension shall submit to the Board an
application for an extension no later than the 90th calendar day after the date
of the Board of Review's approval of the initial allocation. The counting of
the 90-day period shall be paused from the date of submission, pending the
Board of Review's review of the application for extension, and the Certificate
of Allocation shall remain effective until the Board of Review has voted
whether to approve or deny the application for extension. The application for
extension shall be approved or denied in the Board of Review's sole discretion.
(a) Manufacturing projects, qualified
redevelopment projects, and exempt facility projects are not eligible to carry
forward their volume cap allocation beyond the end of the calendar year in
which they received the allocation. Such bonds must close by the third Saturday
in December in the same year the recipient received the allocation. Any volume
cap not issued by this date is automatically relinquished back to the Board of
Review.
(b) The Board of Review
makes no representation as to whether an issuer will allow the allocation to be
transferred to another project if the previously approved transaction
fails.
(2) Unless
program staff agree to a different deadline, a recipient requesting an
extension of a previously approved and current volume cap allocation shall
submit a completed extension form to the private activity bond program staff no
later than 55 calendar days before the Board of Review meeting at which the
extension request is to be considered.
(3) An extension request will not be
presented to the Board of Review unless the recipient's account is in good
standing.
(4) An extension request
for a second or more extension will be evaluated, scored, and considered by the
Board of Review, subject to Subsection
R990-200-7(6).
(5) An extension approval may not exceed 90
calendar days from the date of approval or until the Board of Review holds its
next meeting, whichever is sooner.
(6) Unless program staff agree to a different
deadline, no later than 55 calendar days before the Board of Review meeting at
which the extension is to be considered, a recipient requesting an extension
shall submit a completed extension request status report and extension fee on
the form provided on the website of the Board of Review, together with each
request.
(a) Private activity bond program
staff shall perform a comprehensive progress review before the Board of Review
meeting where an extension will be considered, and shall prepare a
recommendation.
(b) The applicant
may be required to reapply after the third extension review if there is no
substantial evidence of being able to close the bonds.
(7)
(a)
Absent a legislative occurrence, a recipient may not receive more than five
extensions.
(i) In the event of a legislative
occurrence, a recipient may submit a sixth extension application. A sixth
extension application shall include a written explanation of why a sixth
extension is necessary and how the legislative occurrence substantially affects
the project's ability to close. In its sole discretion, the Board of Review may
grant or deny a sixth extension.
(ii) A request for a sixth extension that
omits the written explanation required in Subsection (7)(a)(i) will not be
presented to the Board of Review, and the previously allocated volume cap shall
be revoked.
(b) A
request for a seventh extension for any reason will not be presented to the
Board of Review, and the previously allocated volume cap shall be
revoked.
(8)
(a) Except as provided in Subsection
R990-200-7(8)(c),
a recipient requesting an extension shall attend, either virtually or in
person, the Board of Review meeting at which the extension is considered,
prepared to update the Board of Review on the progress of the development and
answer any questions. If the recipient does not attend, the Board of Review
will table consideration of the extension. Within 48 hours of the Board meeting
at which the extension was to be considered, the recipient shall submit to the
Board of Review a written explanation of its failure to attend. The extension
will be considered at the following Board of Review meeting, and the Board of
Review, in its sole discretion, shall approve or deny the extension request at
that time.
(b) When a recipient
fails to attend a meeting, the Board of Review shall treat such a missed
meeting as a granted extension request, such that the missed meeting will count
as one of the five extensions a recipient is allowed under this rule.
(c) Subsections
R990-200-7(8)(a) and
(b) shall not apply when the Board of Review
determines, in its sole discretion, that the recipient's failure to attend a
meeting is the result of extraordinary circumstances beyond the recipient's
control. Even in such extraordinary circumstances, though, a recipient shall
make every effort to send a designee to attend and provide updates at the
meeting. Any such designee shall speak on behalf of the recipient, and the
recipient will be bound by the designee's representations to the Board of
Review.
(9) A City or
County issuer may submit a request for a Carryforward Certificate no later than
21 calendar days before the December Board of Review meeting.
(10) A City or County issued a Carryforward
Certificate shall comply with the extension request requirements for each three
month period after an allocation has been made to a project, including:
(a) attendance at each Board of Review
meeting, prepared to update the Board of Review on the progress of the
development and answer any questions; and
(b) submission of a complete comprehensive
progress report.
(11)
The Board of Review reserves the right to approve or reject an extension or
Carryforward Certificate in accordance with the criteria established by this
rule.
(12) In the event an
extension or Carryforward Certificate request is untimely, denied by the Board
of Review in its sole discretion, or otherwise not presented to the Board of
Review in accordance with this rule, the allocation shall be revoked.
Notes
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