BILL NUMBER: AB 97	AMENDED
	BILL TEXT

	AMENDED IN SENATE   SEPTEMBER 3, 1999
	AMENDED IN ASSEMBLY   FEBRUARY 25, 1999

INTRODUCED BY   Assembly Member Torlakson
   (Coauthors:  Assembly Members Calderon, Honda, Kuehl, Leach,
Romero, Steinberg, Wayne, and Wildman)
   (Coauthors:  Senators Alpert, Costa, and Figueroa)

                        DECEMBER 14, 1998

   An act to amend Section 50199.18 of the Health and Safety Code,
 and to amend Sections 12206, 17058, and 23610.5 of the
Revenue and Taxation Code, relating to taxation, to take effect
immediately, tax levy.   relating to taxation. 


	LEGISLATIVE COUNSEL'S DIGEST


   AB 97, as amended, Torlakson.  Taxation:  low-income housing.
    Existing insurance tax law and the Personal Income Tax
Law and the Bank and Corporation Tax Law authorize, for so long as
corresponding provisions of federal law are in effect, a credit
against the taxes imposed by those state laws for certain amounts
with respect to the provision of specified low-income housing.  Those
laws generally provide, subject to the addition of certain other
amounts, that the maximum aggregate dollar amount of the credits
allowed in each calendar year may not exceed $35,000,000, but
increase this limit to $50,000,000 for the 1998 and 1999 calendar
years only.  Existing law  also  provides,
until January 1, 2000, for procedures and requirements for the
allocation of state tax credit amounts among low-income housing
projects.
   This bill would  , for purposes of existing low-income
housing tax credits, instead specify a $50,000,000 maximum aggregate
dollar amount for the 1998 calendar year and each calendar year
thereafter.  This bill would also specify   provide
 that procedures and requirements for the allocation of state
tax credit amounts among low-income housing projects are to remain in
effect as long as related provisions of federal law are in effect.

   This bill would take effect immediately as a tax levy. 
   Vote:  majority.  Appropriation:  no.  Fiscal committee:  
yes   no  . State-mandated local program:  no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Section 50199.18 of the Health and Safety Code is
amended to read:
   50199.18.  This chapter shall remain in effect as long as Section
42 of the Internal Revenue Code, relating to low-income housing
credits, remains in effect.  However, repeal of this chapter shall
not invalidate or in any way affect the duration of any previously
allocated low-income tax credits.
_____________________________________   All matter omitted in this
version   of the bill appears in the bill as    amended in the
Assembly, February 25,   1999 (JR 11)
____________________________________