,i  #aaf? ,,congress  #a/ ,session  ,h4 
,r4 #cifg  ,,9 ,,! ,,h\se ,,(           
,,repres5tatives  ,july #be1 #bjai,ms4  
,sewell ( ,alabama 7= h]self & ,mr4     
,re$7 introduc$ ! foll[+ bill2 :i* 0    
ref]r$ to ! ,committee on ,ways & ,means
  ,a ,,bill  ,to am5d ! ,int]nal ,rev5ue
 ,code ( #aihf to p]man5tly modify !    
limitations on ! d$uction ( int]e/ by   
f9ancial in/itutions :i* hold tax-exempt
 bonds1 & = o!r purposes4  #a4 ,%ort    
title ,?is ,act may be cit$ z !         
,municipal ,bond ,m>ket ,support ,act ( 
#bjai4  #b4 ,p]man5t modification (     
small issu] exception to tax-exempt     
int]e/ exp5se allocation rules =        
f9ancial in/itutions  7a7 ,p]man5t      
increase 9 limitation ,subp>agraphs     
7,c77i71 7,d77i71 & 7,d77iii77,,ii7 (   
section #bfe7;b77#c7 ( ! ,int]nal       
,rev5ue ,code ( #aihf are ea* am5d$ by  
/rik+ #aj1jjj1jjj & ins]t+ #cj1jjj1jjj4 
7b7 ,p]man5t modification ( o!r special 
rules ,section #bfe7;b77#c7 ( su* ,code 
is am5d$-- 7#a7 by r$esignat+ clauses   

7iv71 7v71 & 7vi7 ( subp>agraph 7,g7 z  
clauses 7ii71 7iii71 & 7iv71            
respectively1 & mov+ su* clauses to !   
end ( subp>agraph 7,h7 7z add$ by       
p>agraph 7#b771 &  7#b7 by /rik+ s mu* (
 subp>agraph 7,g7 z prec$es su* clauses 
& ins]t+ ! foll[+3  7,g7 ,qualifi$      
#eja7;c77#c7 bonds treat$ z issu$ by    
exempt organization ,9 ! case ( a       
qualifi$ #eja7;c77#c7 bond 7z def9$ 9   
section #ade71 ?is p>agraph %all be     
appli$ by treat+ ! #eja7;c77#c7         
organization = ^: b5efit su* bond 0     
issu$ z ! issu]4  7,h7 ,special rule =  
qualifi$ f9anc+s  7i7 ,9 g5]al ,9 ! case
 ( a qualifi$ f9anc+ issue-- 7,i7       
subp>agraph 7,f7 %all n apply1 &  7,,ii7
 any obligation issu$ z a "p ( su* issue
 %all be treat$ z a qualifi$ tax-exempt 
obligation if ! requirem5ts ( ?is       
p>agraph are met ) respect to ea*       
qualifi$ portion ( ! issue 7det]m9$ by  
treat+ ea* qualifi$ portion z a sep>ate 
issue :i* is issu$ by ! qualifi$ borr[] 
) respect to :i* su* portion relates74  

4  7c7 ,inflation adju/m5t ,section     
#bfe7;b77#c7 ( su* ,code1 z am5d$ by    
subsection 7b71 is am5d$ by add+ at !   
end ! foll[+ new subp>agraph3  7,i7     
,inflation adju/m5t ,9 ! case ( any     
cal5d> ye> aft] #bjai1 ! #cj1jjj1jjj    
am\nts conta9$ 9 subp>agraphs 7,c77i71  
7,d77i71 & 7,d77iii77,,ii7 %all ea* be  
increas$ by an am\nt equal to--  7i7 su*
 doll> am\nt1 multipli$ by  7ii7 !      
co/-(-liv+ adju/m5t det]m9$ "u section  
#a7;f77#c7 = su* cal5d> ye>1 det]m9$ by 
sub/itut+ cal5d> ye> #bjah = cal5d> ye> 
#bjaf 9 subp>agraph 7,a77ii7 !re(4  ,any
 increase det]m9$ "u ! prec$+ s5t5ce    
%all be r\nd$ to ! ne>e/ multiple (     
#ajj1jjj4  4  7d7 ,effective date ,!    
am5dm5ts made by ?is section %all apply 
to obligations issu$ aft] ! date ( !    
enactm5t ( ?is ,act4