[§10-25.1]  Federal tax-exempt

status; preference; protection.  (a)  Revenue bonds issued pursuant to this

part, to the extent practicable, shall be issued to comply with requirements

imposed by applicable federal law providing that the interest on revenue bonds

shall be excluded from gross income for federal income tax purposes (except as

certain minimum taxes or environmental taxes may apply).  The board is

authorized to enter into agreements, establish funds or accounts, and take any

action required in order to comply with applicable federal law.  Nothing in

this part or this chapter shall be deemed to prohibit the issuance of revenue

bonds, the interest on which may be included in gross income for federal income

tax purposes.

     (b)  For the purpose of ensuring that interest

on revenue bonds issued pursuant to this part which is excluded from gross

income for federal income tax purposes (except as provided in subsection (a))

on the date of issuance shall continue to be so excluded, no state officer or

employee, or user of an undertaking or loan program shall authorize or allow

any change, amendment, or modification to an undertaking or loan program

financed or refinanced with the proceeds of revenue bonds which change,

amendment, or modification thereto would affect the exclusion of interest on

those revenue bonds from gross income for federal income tax purposes unless

the change, amendment, or modification shall have received the prior approval

of the board.  Failure to receive the approval of the board shall render any

change, amendment, or modification void. [L 2013, c 171, §1]