WHEREAS: to participate in the benefits of this Act, each state must submit a consolidated plan containing a comprehensive housing affordability strategy in accordance with federal requirements, 42 U.S.C.A.12705;
WHEREAS: the Louisiana Housing Finance Agency (hereafter "LHFA") has been designated the entity within the State of Louisiana responsible for the development of a comprehensive housing affordability strategy, R.S. 40:600.6;
WHEREAS: federal guidelines require each state to certify that its consolidated plan is authorized under state law and that the state possesses the legal authority to carry out the plan, 24 CFR 91.325;
WHEREAS: the LHFA has been designated the state housing agency responsible for establishing policies for housing finance for all units, divisions, agencies, public corporations, and instrumentalities of the state involved directly or indirectly in financing single or multi-family housing, and has all powers necessary or convenient to carry out and effectuate its purpose, R.S. 40:600.6;
WHEREAS: to fulfill its purpose, R.S. 40:600.6 provides that the LHFA may sell bonds, notes, and other obligations, and may administer and allocate low-income housing tax credits allowed under Section 42 of the federal Internal Revenue Code of 1986, as amended;
WHEREAS: federal Internal Revenue Service regulations allow states to designate qualified areas as "areas of chronic economic distress" for the purpose of issuing "qualified mortgage bonds" exempt from federal income tax, 26 U.S.C.A 143; 26 CFR 6a.103A-2; and
WHEREAS: under these federal regulations, the Governor of the State of Louisiana may commission a state official to designate "areas of chronic economic distress", 26 CFR 6a.103A-2;
NOW THEREFORE I, M. J. "MIKE" FOSTER, JR., Governor of the State of Louisiana, by virtue of the Constitution and laws of the State of Louisiana, do hereby order and direct as follows:
SECTION 1: For the purpose of complying with 24 CFR 91 et seq., the Commissioner of the Division of Administration for the State of Louisiana shall be the state officer authorized to certify to the Secretary of the United States Department of Housing and Urban Development whether the consolidated plan, and any amendments or supplements thereto, is authorized under state law and whether the state possesses the legal authority to carry out the programs for which the state is seeking funding.
SECTION 2: For the purpose of complying with 26 CFR 6a et seq., the President of the LHFA, pursuant to a resolution of the Board of Commissioners of the LHFA, shall have the authority to designate, on behalf of the Governor, "areas of chronic economic distress."
SECTION 3: The provisions of this Order are effective upon signature and shall remain in effect until amended, modified, terminated, or rescinded by the Governor, or terminated by operation of law.
IN WITNESS WHEREOF, I have set my hand officially and caused to be affixed the Great Seal of the State of Louisiana, at the Capitol, in the City of Baton Rouge, on this 17th day of October, 1996.
M.J. "Mike" Foster, Jr.
Secretary of State