Private Activity Tax-Exempt Bonds, 1985

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By Phil Clark*

Continuing a trend observable throughout the 1980's, the

dollar volume of long-term private activity tax-exempt bonds

issued in 1985 increased to $119.4 billion [1]. This represents an increase of over 61 percent from 1984, and a

ninefold increase over the last 10 years. These bonds,

which were issued for the direct benefit of private businesses, organizations, and individuals, accounted for 54

percent of the total long-term tax-exempt bond volume in

1985 [2]. Interestingly, despite the large increase in dollar

volume, the percentage of the long-term bond market accounted for by private activity bonds dropped slightly from

its 64 percent share in 1984. The relative decline in private

activity bonds compared to public-purpose bonds resulted

from an unprecedented jump in the volume of public-purpose tax-exempt bonds in 1985, which in turn was due to

uncertainty about the direction of pending tax legislation.

The growth of both private activity and public-purpose

bond volume is illustrated in Figure A.

This article provides information on four types of private

activity bonds: industrial development bonds (IDB's), private exempt entity bonds, student loan bonds, and qualified

mortgage bonds. Since 1983, issuers of the first three types

of private activity bonds were required to file detailed information reports with the Internal Revenue Service (IRS), providing data on the types and uses of those bonds. The U.S.

Congress, as part of the Deficit Reduction Act of 1984,

extended the reporting requirement to qualified mortgage

bonds issued in 1985 or later Each of these bond types is

described in the Definitions section of this article.

Long-Term Tax-Exempt Bond Volume, 1976-1985

(Billions of Dollars)

120 r110

100

1976

1977

1978

1979

1980

1981

1982

1983

1984

1986

Year

* Foreign Special Projects Section. Prepared under the direction of

Michael Alexander, Chief.

~ Private Activity Tax-Exempt Bonds, 1985

44.

During the .3-year reporting period, the total long-term

volume of private activity bonds (including mortgage

bonds) increased from $571 billion to $119.4 billion. Prior to

1985, the largest category of private activity bond (by volume) was that of IDB's issued for private businesses under

the small-issue exemption. In 1985, however, small-issue

IDB's ranked a distant third in volume, at $177 billion. The

hidhest,volume of private activity bonds was attributable to

private exempt entity bonds (issued for certain medical and

educational facilities), which amounted to $38.2 billion,.and

IDB's issued to fund multi-family rental housing, which

amounted to $25.0 billion.

Short- and long-term private'a6tivity bond volume issued

in 1985 totaled $1276 billion. Of that total, $99.4 billion was

new issue volume.. New issue, volume is defined as thb'purchase price of a bond less any portion of the proceeds used

to retire existing obligations. Thus new issue volume represents the net increase in outstanding, obligations (excluding

non'-refunded, retirements). New issue volume reached its

highest levels ever in 1985, increasing by about 50 percent

from 1984 to 1985, and'nearly doubling during the 3-year

pe ri6d from 1983 to 1985. The most dramatic.gai ns were

shown by private exempt entity bonds (which nearly tripled

in volume from 1984 to 198~) and multFfamily rental housng b_o_

inds_(Whicff-m`®

re than qua Fu-pl&d_FFi_

gure B-shows..

the new issue volume for the various types of private activity

bonds over the 3-year reporting period [3].

BACKGROUND

The Federal income tax exemption for interest on State,

and local bonds was originally intended to provide a sub'

sidy.for Government projects, Such as highways, by enabling State and local Governments to obtain funding 'at

lower interest costs. As'these bonds began to be Iissued

increasingly for'nongovernment uses, the Federal G overnment was-prompted to re-examine its policies in this area,

Private-purpose bonds serve a legitimate purpose by allow-

ing State and local Governments to promote economic development and housing in their jurisdictions while incurring

little or no costs themselves. Nevertheless, these bonds shift

investment dollars away from other revenue-producing alternatives, which results in a significant loss of Federal tax

revenue.

It is estimated that the exemption from taxation of the

interest from private- purpose, bonds issued in 1985 alone

will result in revenue losses amounting to $58 billion over'

the term of the bonds [4]. This revenue loss is, in effect, the

cost of a Federal subsidy for State and local activities. Recent studies, however, suggest that this may not be the most

efficient method of promoting these activities.

The savings in interest costs to the bond-issuing State or

local authority is believed to be less than the revenue loss to

the Federal Government [5]. The difference goes not to the

targeted activity, -but to Federal taxpayers (usually those in

the upper income brackets) or.bth.er entities who hold the

bonds. As a point of comparison, grants-in-aid, another;

common Federal subsidy for State and local activity, are

more efficient, with only a small fraction of the subsidy 0 oing to administrative costs.

-In-addition-to-the-loss-of-Federal-tax-revenue-the-use-bfI

tax-exempt bonclsfor private purposes may-also have other

undesirable effects. By increasing-the total supply of tax-

exempL obligations, the proliferation OT private activity bonds

causes interest rates on'all tax-exempt instruments to rise in

order 'to attract potential investors. These higher interest

rates raise the cost of financing traditional Government activities such as constructing schools, roads, and sewers [6].

'Concern over these issues, coupled with the dramatic

increase in private activ'ity' bond volume, prompted the U.S.

Congress to*place a number

of limitations on such bonds in

the 1980's. Originally', the~Tax Equity and Fiscal Re'sponsibil-"

ity Act of 1982 required issuers of IDB's, private exempt

entity bonds" and student loan bonds to file a report with the

Figure B.-New Issue.Private Activity Bond Volume, 1983-85

[Millionslof dollars]

kew issue volume

Type of bond

1983

Total .......................................

Stu'dent loan bonds ..... .........................

Private exempt entity bonds .........................

Qualified mortgage bond I ........................

Industrial development bonds, total .....................

Small

M61ti-family

issue rental

... * housing

' ' * ' i ' ' * ....................

' ' ' * .......... * * * * *

Airports, docks, etc . ............................

Sewage and waste disposal ......................

Pollution control ... ! . . : .................... I . .

Other . ~ ......................................

r1984

19.85

(1) 1

(2)

(3)

$49,910

$65,816

1,370

9,037

13,900

41,509

16,967

5,346

3.713

6,314

7,599

1,570

$99,404

2,822

26,081

13,446

57,056

16,493

24,756

3.538

5,107

5.496

1,666

3,086

8,202

10,800

27,823

~13,791

.5,349

1,442

3,411

.1,721

Oualified mortgage bond figures for 1983 and 1984 are based on estimates developed by the U.S. Treasury Department.

- Revised.

Percentage change,

1983-1985

(4)

99.2%

-8.5

218.0

24.5

105.1.

19.6

362.8

67.8

254.2

59.7-3.2

Private Activity Tax-Exempt Bonds, 1985

IRS beginning in 1983. The Deficit Reduction Act of 1984

extended the reporting requirement to cover qualified mortgage bonds issued after 1984, and established a State-byState volume limitation on certain obligations issued after

December 31, 1983. This cap covered all private activity

bonds except private exempt entity bonds; multi-family

rental housing bonds; and certain airport, dock, convention

facility and refunding bonds. Each State's limit was the

greater of $150 per capita ($100 per capita after 1986) or

$200 million. Because issuers were permitted to carry forward certain unused portions of their volume caps, the 1985

bond volume figures included in this article do not necessarily reflect amounts subject to the 1985 volume cap.

Table 1 shows the face amount and new-issue volume by

type of private activity bond. Industrial development bonds

are shown by type of activity. The bonds are further categorized into short-term obligations (obligations that have average maturities of a year or less) and long-term obligations.

Shown in columns 4, 5, and 6 is the new-issue volume. For

instance, a bond issue with a $100 million purchase price

sold to refund a $95 million outstanding obligation would

constitute $5 million of new issues. New-issue volume,

therefore, represents the net increase in private activity

bonds (excluding non-refunded retirements). Approximately 18 percent of the total face amount of long-term

private activity bonds went to refund prior issues in 1985.

A number of proposals to curtail tax-exempt bonds were

considered during the development of the Tax Reform Act

of 1986. The original Treasury Department proposal, for

example, called for the elimination of the tax exemption for

all private activity bonds, and placed restrictions on publicpurpose bonds as well. Concern over the direction of pending legislation caused a "rush-to-market" which led to

sharply increased volume levels for both private- and public-purpose bonds in 1985. Another factor contributing to

the high volume of tax-exempt bond issues was the anticipation that the pending Tax Reform Act would eliminate

preferential treatment of capital gains (as, in fact, it did),

thereby further increasing the attractiveness of investment

in the tax-exempt bond market. Nevertheless, early data on

1986 tax-exempt bond volume suggest a return to 1984

levels. Thus, it seems probable that much of the 1985 increase in activity was attributable to an effort to issue bonds

before January 1, 1986. .

Table 2 shows the aggregate face amount, purchase

price, and lendable proceeds for long-term private activity

bonds, as well as the issuance costs and the amounts allocated to reserve or replacement funds. Amounts used to

refund outstanding issues are excluded from the non-refunding lendable proceeds, which are required to be used

primarily to purchase land and depreciable property. Refunding proceeds accounted for over one-third of the total

lendable proceeds for student loan bonds and private exempt entity bonds. A minor portion of the lendable pr oceeds can be used for other purposes, such as working

capital.

The Tax Reform Act of 1986, as passed, contained no

such sweeping changes with respect to tax-exempt bonds,

although it did repeal, as of 1987, the tax exemptions of

several types of IDB's. Included in these were pollution control bonds, of which $9.5 billion were issued in 1985. The

Act also extended the information reporting requirement to

cover public-purpose tax-exempt bonds as well as private

activity bonds, beginning with bonds issued in 1987.

DATA ANALYSIS

A total of 16,842 information returns were filed for private

activity bonds issued in 1985. This article concentrates on

the dollar volume of the bonds issued, rather than the number of returns filed, because the number of returns does not

accurately reflect the number of private activities financed

with tax-exempt bonds. Multiple returns may be filed for a

single activity when a bond is refunded, especially in the

case of short-term obligations that have maturities of as little

as 1 day. On the other hand, some returns include descriptions of many activities (multiple-lot issues), thereby reducing the number of returns filed.

Table 3 shows, for long-term IDB's and private exempt

entity bonds, the allocation of non-refunding lendable proceeds. Of the proceeds, almost 90 percent was used to

finance purchases of depreciable property, while 6 percent

went for land purchases, and under 5 percent went for

other uses.

Issuers of private exempt entity bonds and IDB's were

required to provide information on the industrial classification of the initial principal users of the projects being financed. As Table 4 shows, private hospitals and

educational facilities accounted for 93 percent of the total

exemption entity bond volume on those returns for which

the industrial activity was reported. Small-issue IDB's were

used most frequently for manufacturing (34 percent), followed by real estate (22 percent), and services (19 percent).

The proceeds of I DB's not categorized as small issues were

used primarily for real estate (50 percent), and for facilities

engaged in the provision of electricity, gas, and sanitary

services (25 percent).

Figure C shows the percentage of the total face amount

for small-issue IDB's in each of the four largest industrial

classifications for 1983, 1984, and 1985. Only those returns

that reported an industry are included in the computations.

By law, small issue IDB's were limited to $1 million per

user per county or $10 million, if capital expenditures on the

Ptivate Activity Tax-Exempt Bonds, 1985

Figure C.-Industrial Classification of Small Issue IDB's,

1983-85

Percentage of total face amount

Industry

All industries ........

Manufacturing ........

Trade ...............

Real estate ...........

Services .............

Other ................

1983

r1984

1985

(1)

100.0%

31.6

16.8

20.5

23.9

7.2

(2)

(3)

100.0%

35.2

14.9

23.0

18.4

8.5

100.00%

34.9

13.9

22.5

19.3

9.4

DATA SOURCESAND LIMITATIONS

Form 8038, Information Return for Private Activity Bond

Issues, is required to be filed with the Internal Revenue

Service for all student loan, private exempt entity, industrial

development, and qualified r6ortgage bonds . The return is

due within 45 days after the end of the calendar quarter in

which the bond is issued. All of the 1985 data in this article

were extracted from the 16,842 returns filed for 1985.

r - Revised.

project did.not exceed $10 million over a 6-year period ($25

million in the case of Urban Development Action Grantassisted projects). The $10 million limit was increased from

$5million in 1979. It has been speculated that raising the

limit sparked the rapid growth of small-issue IDB's.

Table 5 shows the size distribution of small-issue IDB's.

Twenty-nine percent of small-issue IDI3 volume (6.5 percent

of the returns) was from bond issues with face amounts of

$5 million to $10 million. Only 16.6 percent of the volume

-(but-56.2-percent-of-the-returns)-was-from-issues-of-$1

million or less. The mean size of the face amounts on smallissue IDB's issued in 1985 was $1.6 million.

Because the entire population of Forms 8038 was used

for this study, there was no sampling error The data may,

however, reflect a certain amount of filer and processing

error. Throughout the processing of the forms, a number of

checks were performed to ensure that each return was internally consistent, and to exclude cluplicat e and amended

returns. Both automatic and manual correction

routines

were performed to balance return data and to supply data

missing from the returns. Despite these efforts, a small number of returns remained with missing or inconsistent data.

This necessitated that a portion of the dataI (for example in

Table 3) be expressed in percenfagesriathe r than as aggregate figures.

DEFINITIONS

Table 6 shows the total new-issue volume by type of bond

for each State. Every State issued at least $35 million in new

private. exempt entity bonds, while every State except Hawaii issued a small-issue IDB. Idaho, Vermont, and Wyoming were the only States that did not issue IDB's. for

multi-family housing.

Private Activity Bonds.-Consists of four types of taxexempt, State or local Government bonds issued for nonpublic-purpose uses: industrial development bonds, private

exempt entity bonds, student loan bonds, and qualified

mortgage bonds. Private activity bonds were classified as

shomtterm if their final maturity was l'yeafr or less from their

date of issue.

Figure D shows the percentage change in new-issue volume from 1983 to 1985 for each of the nine Census divisions that make up the United States. Overall, new-issue

volume increased by 130 percent, with above average

growth occurring in the Northeast and on the West Coast.

Industrial Development Bonds (IDB's).-State or local

Government obligations, all or a major portion of the proceeds of which are used in a private trade or business, with

payments of principal and interest secured by the property

used in a private trade or business. In general, IDB's can

Figure D.-New Issue Private Activity Bond Volume, by Region, 1983-85

[Millions of dollars]

Region

1983

(1)

(2)

Total I .................................

New England .............................

Middle Atlantic ............................

East North Central .........................

West North Central ........................

South Atlantic ............................

East South Central ........................

West South Central ........................

mountain ................................

Pacific ..................................

Other areas .............................. I

$39,110

2,387

5,578

5,109

3,536

7,014

2,404

5,035

3,538

4,429

$51,916

2,754

8,717

6,545

3,832

11,889

3,466

6,355

3,468

4,782

113

r1984

N/A - Not applicable.

Qualified mortgage bonds are excluded from figure D because no State-by-State distribution is available for 1983 or 1984.

- Revised.

1985

(3)

$85958

5 ' 854

14,094

12,713

6.549

14,604

5,466

7,473

5,438

12.864

902

Percentage change,

1983-1985

(4),

130.0%

145.2

152.7

148.8

85.2

108.2

127.4

48.4

53.7

190.4

N/A

Private Activity Tax-Exempt Bonds, 1985

finance certain specified activities in unlimited amounts. In

addition, under the smalHssue exemption, almost any private trade or business can finance depreciable property or

land purchases with an IDB if the bond's face amount does

not exceed $1 million ($10 million if capital expenditures did

not exceed $10 million over a 6-year period).

NOTES AND REFERENCES

Residential Rental Housing Industrial Development

Bonds.-These are I DB's issued to finance multi-family residential rental projects. In general, at least 20 percent of the

units in the project financed (15 percent in certain targeted

areas) must be occupied by individuals or families in the

lower income ranges.

[2] Total long-term volume is derived from data available

from Bond Buyer as adjusted for privately- placed small

issue IDB's.

Student Loan Bonds.-State or local Government obligations issued to finance the education expenses of individuals.

Private Exempt Entity Bonds.-State or local Government obligations, issued for tax-exempt charitable, religious, education, and similar organizations (described in

Internal Revenue Code section 501(c)(3)), but which are

primarily issued for private, nonprofit medical facilities and

colleges.

Oualified Mortgage Bonds.-These are State and local

obligations issued to finance mortgages for owner-occupied residences. In general, the mortgages must be loaned

to new homeowners, and there are certain restrictions on

the purchase price of the residences financed, as well as

the location of the residences.

Ill The term "private activity bonds," as used in this article,

refers to industrial development bonds, student loan

bonds, private exempt entity bonds, qualified mortgage

subsidy bonds, and qualified veterans' general obligation bonds.

[31 Figure B, as well as in other tables in this article which

present data for 1984 issuances, reflects minor revisions

to previously published 1984 figures due to the inclusion of late-filed and amended returns.

[41 Estimate provided by the Office of Tax Analysis, U.S.

Department of Treasury.

[51 Empirical estimates suggest that the Federal deficit increases by $1.12 to $1.31 for each dollar of cost savings

to the tax-exempt issuers. See Toder, Eric and Neubig,

Thomas S., "Revenue Cost Estimates of Tax Expenditures: The Case of Tax-Exempt Bonds:' National Tax

Journal, Volume XXXVIII, Number 3, September 1985.

[61 Empirical estimates of the effect of an additional $1 billion of tax-exempt obligations range from 1 basis point

(0.01 percent) to 7 basis points. For a summary of the

econometric estimates, see Peterson, G.E., Tuccillo,

J.A., and Weichler, J.C., "The Impact of Local Mortgage

Revenue Bonds on Securities Markets and Housing

Policy Objectives," Efficiency in the Municipal Bond

Market, G.C. Kaufman, ed., JAI Press, 1981.

. Private Activity Tax-Exempt Bonds, 1985

Table l.-Volume of Private Activity Bonds by Type of -Activity, 1985

[Millions of dollars]

All issues

Type of activity

Total ........................................

New iSSUOS2

Total

Shortterm

ongterm

hortterm

(2)

(3)

(4)

127,599

8,247

19,352

9,404

,675

7,729

otal

ongerm

Student loan bonds ..............................

4.469

435

,034

,822

,792

Private exempt entity bonds ........................

42,676

4,453

8,223

6,081

5,234

Qualified mortgage bondS3 ........................

14,514

180

4,334

3,446

3,265

139

17,778

25,074

442

100

5,169

6,290

9,523

1,262

114

581

348

1,801

7,704

4,960

,587

,941

,722

,018

6,493

4,756

,538

,107

,496

6,442

4,688

,508

,003

,135

Industrial development bonds:

Industrial park ................................

Small issue ...................................

Multi-family rental housing ........... ...........

Sports facilities ................................

Convention facilities ............................

Airports, docks, etc .4 ...........................

Sewage and waste disposal facilities ................

Pollution control facilities .............. ..... * ...

Water furnishing facilities ........................

Hydroelectric generating facilities .................

Mass commuting vehicles

Local heating and cooling fac~iliiies

i i Electric'energy and gas facilities ..................

244

Volume for all issues is the face amount of the bond.

2 Volume for new issues is the purchase price of the bond minus any amount used to refund earlier obligations.

3 Includes qualified veterans' mortgage bonds. ,

Includes wharves, mass commuting facilities, parking facilities, or storage facilities directly related to any of the preceding.

Less than $500,000.

NOTE: Detail may not add to total because of rounding.

-T-ible-2~-Computation-of-Nonrefunding-!~~eitdabl6-Pfoc-eedg-fdr-Con-g-Tir-m-Private Activity Bonds, by Type, 1985

[Millions of dollars]

Type of bond

Item

Total

Student loan

Industrial deve opment bonds

Private exempt.

entity

Qualified

mortgage bonds'

(3)

(4)

(5)

(6)

Small issue

Other

(1)

(2)

Face amount ..................................

119,352

4,034

38,223

14,334

17,704

45,058

Purchase price ...............

................

119,301

4,025

38,184

14,320

17,690

45,083

Bond issuance costs ............................

3,337

1,107

245

474

1,447

All9c.ations to reserve or replacement funds ..........

5,838

328

2,805

1,042

1,575

Lendable proceeds .............................

110,193

3,633

34,272

13,032

17,141

42,115

Proceeds used to refund prior issues

..............

21,639

1,233

12,950

1,054

1,261

5,140

Nonrefunding lendable proceeds ..................

88,554

2,400

21,322

11,978

15,880

36,975

1 Includes qualified veterans' mortgage bonds.

NOTE: Detail may not add to total because of rounding~

Table 3.-Long-Term Private Activity Bonds: Percentage Distribution of Nonrefunding Lendable Proceeds, by Type of

Property Financed,'1985

Type of industrial development bond

Type of property financed

Total

Private exempt

entity

Small issue

Multi-family

rental housing

Sports and

convention

Airport

and dock'

Sewage, waste

disposal and

pollution control

Other exempt

actiVity,2

(1)

(2)

(3)

(4)

(5)

(6)

(7)

(8)

Total ..................* ...

Depreciable property:

3-year ACRS ..........

5-year ACRS .............

1 0-year ACRS .............

15-year ACRS .............

18-year ACRS .............

100.0

0.8

16.6

6.9

13.6

51.6

1.6

21.0

3:1

11.0

51.3

1.1

20.9

1.7

10.5

56.2

3.7

1.4

14.5

66.7

6.2

6.0

2.7

14.1

64.6

0.2

15.1

0.5

11.4

62.0

0.2

34.1

36.7

14.8

11.1

Land ......................

Other property ................

Other uses ..................

6.1

3.0

1.4

3.3

7.0

1.7

7.3

1.8

0.'6

10.0

1.9

1.4

4.1

4.0

4.3

6.1

2.6

2.1

0.5

0.8

1.8

4.6

2.4

76. 1

6.2

4.4

3.6

1.0

I Includes wharves, mass commuting facilities, parking facilities, or storage facilities directly related to any of the preceding.

2 Consists of industrial parks, water furnishing facilities, hydroelectric generating facilities, mass commuting vehicles, local heating and cooling facilities, and facilities for the local furnishing of electrical

energy or gas.

NOTES: Detail may not add to total because of rounding.

ACRS is the Accelerated Cost Recovery System of depreciating property for tax purposes.

Private Activity Tax-Exempt Bonds, 1985

Table 4.-Volume, of Industrial Development Bonds and Private Exempt Entity Bonds, by Industry, 1985

[Millions of dollars]

Private exempt entity bonds

Industrial development bonds

Industry

Other

Small issue

Amount

Amou nt

Amount

Percent

(1)

(2)

(3)

(4)

(5)

(6)

100.00

36,975

100.00

21,322

100.00

.....................

15,880

278

1.75

.20

.06

.........................................

.38

140

.38

.16

Construction .....................................

157

.99

1,179

3.19

Manufacturing ...................................

Food and kindred products .......................

Textile products ................................

Lumber, wood products, and furniture ..............

Paper and allied products ........................

Printing and publishing ...........................

Chemicals and allied products .....................

Rubber and misc. plastics products .................

Stone, clay, and glass products ....................

Primary metal industries ..........................

Fabricated metal products ........................

Machinery, exc. electrical .........................

Electrical and electronic equipment .................

Transportation equipment ........................

Other manufacturing ............................

5,332

632

249

305

209

548

311

492

186

192

650

389

429

320

420

33.57

3.98

1.57

1.92

1.32

3.45

1.96

3.10

1.17

1.21

4.09

2.45

2.70

2.02

2.64

1,257

226

391

338

137

3.40

.17

.08

.61

1.06

.04

.08

.03

.01

.03

.91

.37

.15

(1)

.01

.02

.03

.07

Transportation ...................................

Trucking and warehousing ........................

Transportation by air ............................

Other transportation .............................

Electric, gas, and sanitary service ....................

437

361

2.75

2.27

.04

.44

2,057

1,780

257

5.56

.06

4.81

.70

.02

.38

9,060

24.50

Wholesale trade ..................................

Durable goods .................................

Nondurable goods ..............................

Retail trade ......................................

General merchandise stroes .......................

Food stores ...................................

Other retail trade ................................

Finance and insurance ............................

1,086

513

573

1,033

251

252

530

6.84

3.23

3.61

6.51

1.58

1.59

3.34

237

192

.27

.07

.02

374

2.36

.64

.12

.52

.02

.01

.02

.25

472

2.21

Real estate ......................................

3,444

21.69

18,435

49.86

180

.85

Services ........................................

Hotels and other lodging places ...................

Personal and business services ....................

Medical and health services .......................

Educational services .............................

Other services .................................

2,953

1,010

220

1,271

420

18.59

6.36

1.39

8.00

.20

2.64

1,606

397

809

384

4.34

1.07

.04

2.19

1.04

19,373

14,814

4,177

322

90.86

.09

.19

69.48

19.59

1.51

.43

2,748

All industries ...................................

Agriculture, forestry, and fishing

Mining

Other industries ..................................

Industry not reported .............................. 1

599

3.77

.22

.43

(2)

157

7.43

887

.74

4.16

1 Consists of the nonrefunding lendable proceeds of the bonds.

2 Less than 0.005 percent.

3 Less than $500,000.

NOTE: Detail may not add to total because of rounding.

Table 5.-Number and Volume of Small Issue Industrial Development Bonds, by Size of Face Amount, 1985

imiilions of dollars]

Number

Total ........................................

$1 to $100, 000 .................................

$100,001 to $250,000 ............................

$250,001 to $500,000 ............................

$500,001 to $750,000 ............................

$750,001 to $1,000,000 ..........................

$1,000,001 to $2,500,000 .........................

$2,500,001 to $5,000,000 .........................

$5,000,001 to $10,000,000 ........................

NOTE: Detail may not add to total because of rounding.

Face am ount

Returns

Size of face amount

Percentage of total

Amount

Percentage of total

(1)

(2)

(3)

(4)

11,123

935

1,105

1,612

1,230

1,371

2,735

1,417

718

100.0

8.4

9.9

14.5

11.1

12.3

24.6

12.7

6.5

17,736

198

632

790

1,262

4,594

5,095

5,115

100.0

0.3

1.1

3.6

4.5

7.1

25.9

28.7

28.8

Private Activity Tax-Exempt Bonds, 1985..

Table 6.-Volume of New Issue Private Activity Bonds by State, 1985,

[Millions of dollars]

Type of activity

Industrial development bonds

State

Total

Total ................

................

Alabama

Alaska ..................

Arizona .................

Arkansas ................

California ...............

Colorado................

Connecticut .............

Delaware ...............

Florida .................

Georgia .................

99,404

1,379

636

2.072

719

13,511

2,320

2,045

975

5,057

3.129

Student

loan

bonds

Exempt

entity

bonds

Oualified

mortgage

bondS2

Small issue

and industrial

park

Multifamily

housing

Sewage

and

waste

disposal

(8)

3,538

323

344

203

(2)

(3)

(4)

(5)

(7)

26,081

416

652

180

2,387

383

144

547

1,312

345

13,446

200

341

76'

201

2,359

387

225

156

490

181

16,624

336

158

217

519

192

283

163

601

631

24,756

241

768

5,409

857

343

1,994

1.099

507

Hawaii ..................

Idaho ..................

405

133

Illinois ..................

5,853

2,317

1,732

487

885

1,658

522

190

518

661

228

200

592

104

Iowa ...................

* .... --

Airport

and

dock 3

2,822

710

147

Indiana .......

Sports

and

convention

154

116

Pollution

control

Other

exempt

activities

5,107

935

855

(5)

214

178

175

(1)

5,496

125

603

144

123

590

1,026

114

451

304

109

157

229

204

136

218

(9)

Kansas .................

818

208

165

191

Kentucky ...............

Louisiana ...............

Maine ..................

1,209

1,768

109,

256

737

146

196

304

275

245

230

(5)

903

177

368

169

1,243

101

100

346

...............

495

2,490

Massachusetts ...........

Michigan ................

2,839

2,187

Minnesota .......

.......

Mississippi ..............

Missouri ................

2,469

578

2,165

Maryland

530

130

488

306

1.310

439

149

150

622

883

452

544

176

468

168

584

Montana .................

173

Nebraska ...............

Nevada- New Hampshire ..........

6391296

_43-

New Jersey ..............

443

199

151

706

33- _197- -94- -70- -235

638

2,493

312

710

445

953

137

893

398

137

435

117

200

203

(5)

607

131

488

322

2,766

424

600

224

North Dakota ............

Ohio ............

......

251

2,694

125

636

410

Oklahoma ...............

Oregon .................

Pennsylvania ............

613

727

119

165

129

435

407

1,156

346

100

194

224

152

-9

216

Rhodelsland ............

...........

113'

1,032

257

7,089

1.397

South Carolina

195

2,888

100

246

473.

5,964.

281

714

931

New Mexico .........

...

New York ................

North Carolina ...........

.163

124

(5)

566

South Dakota ............

Tennessee ..............

454

2,829

120

467

199

183

451

1,494

144

Texas ..............

...

Utah ...................

6,004

608

336

1,739

159

1*.234

654

168

107

520

305

314

Vermont ................

1,088

270

Virginia .................

2,636

442

460

618

Washington .............

West Virginia .............

Wisconsin ...............

835

'569

170

(5)

164

130

426

1,205

185

125

206

249

951

274

1;102

Wyoming ...............

OtherS6 .................

110

306

252

200

156

419

.134

(1)

.77

I Volume for new issues is the purchase price of the bond minus the amount used to refund earlier obligations.

2 Consists of qualified mortgage bonds and qualified veterans' mortgage bonds.

3 Includes wharves, mass commuting facilities, parking facilities, or storage facilities directly related to any of the preceding.

4 Consists of water furnishing facilities, hydroelectric facilities, mass commuting vehicles, local district heating and cooling facilities, and facilities for local furnishing of electric energy or gas.

5 Less than $500,000.

6 Includes District of Columbia, Guam, Puerto Rico, and the Virgin Islands.

NOTE: Detail may not add to total because of rounding.

This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.