California Debt Limit Allocation Committee
Did You Know?
CDLAC’s programs have resulted in the allocation of more than $65 billion of private activity tax-exempt bonds to over 220 municipal, state, and joint powers authority issuers.
“At the September 16, 2020 allocation meeting, the CDLAC Board of Directors approved the following accommodations due to the extenuating circumstances around COVID-19:
Project sponsors that were awarded a bond allocation at the April 14, 2020 meeting and have not issued bonds by October 14, 2020 will now qualify for an automatic extension until December 1, 2020.
If a project sponsor seeks an extension past December 1, 2020, the issuer will need to file an extension request with Spencer Walker, Esq. at email@example.com on or before November 4, 2020 (close of business) so as to be heard before the CDLAC Board of Directors at the November 18, 2020 meeting. The CDLAC Board of Directors will determine extension approvals on a case by case basis.
Please note that if a April 14, 2020 bond allocation is returned to CDLAC on or before December 1, 2020, the performance deposit will be returned to the project sponsor and no negative points will be assessed. The project sponsor is welcome to reapply in 2021.“
Federal law limits how much tax-exempt debt a state can issue in a calendar year for private projects that have a qualified public benefit. This cap is determined by a population-based formula. CDLAC was created to set and allocate California’s annual debt ceiling, and administer the State’s tax-exempt bond program to issue the debt. CDLAC’s programs are used to finance affordable housing developments for low-income Californians, build solid waste disposal and waste recycling facilities, and to finance industrial development projects.