Tax Exempt Compliance Private Use of UCONN 2000 Financed Projects

OFFICE OF THE TREASURER STATE OF CONNECTICUT CONN. GEN. STATUTE 3-20d TAX-EXEMPT OBLIGATION TREASURER’S CERTIFICATE APPLICATION FORM

Individual leases not under Master Lease Agreement (Size is USUALLY smaller and might not REQUIRE BOT APPROVAL) and other required information (amortizations schedules; draft 8038G’s, etc.) along with the OFFICE OF THE TREASURER STATE OF CONNECTICUT CONN. GEN. STATUTE 3-20d TAX-EXEMPT OBLIGATION TREASURER’S CERTIFICATE APPLICATION FORM) should be forwarded to Treasury Services.

  • Treasury Services works with Purchasing (UConn Health and UConn) and others to fill out the required Treasurer’s Certificate Application Form (link above).
  • Treasury Services works with bond counsel and often usually to some degree with the State Treasurer’s Office prior to filing with State of Connecticut Office of the Treasurer.
  • Once the Treasurer’s Office issues a Certificate the lease can be entered into.
  • Upon entering into a lease the 8038-G and required information is submitted on a timely basis to Treasury Services who makes the IRS filings. (UC Health has a different tax-id to file under and may make their own filings but keeps Treasury Services informed).
  • Bond Counsel reviews the final form Master Lease Agreement for their sign off.

POLICIES AND PROCEDURES FOR USES OF UCONN 2000 TAX EXEMPT DEBT FUNDED ASSETS BY NON-UCONN ENTITIES, INCLUDING NON-PROFITS AND U.S. GOVERNMENT, CGS 4b-38(g) COMPLIANCE CAN BE FOUND HERE: 

TAX EXEMPT COMPLIANCE PRIVATE USE OF UCONN 2000 FINANCED PROJECTS

Private Use Information and Safe Harbor Guidelines: Tax Exempt Compliance Private Use of UCONN 2000 Financed Projects

If a non-UConn entity is expected to use a UConn asset this could be considered private activity.  If there is possible private activity or private activity that involves research please fill out the form below:

Project Tax Information Compliance Questionnaire For UCONN 2000 Projects Financed With Tax Exempt Debt – Blank Form 

Background:

We appreciate continued assistance in keeping us informed on private activity/use related to any UCONN 2000 debt financed assets by forwarding any documents concerning any private use of any tax-exempt bond funded asset including leases, management contracts, private payments, provisions of services (e.g. utility or other services), Technology Incubation and cooperative ventures to the Office of Treasury Services. Greater detail is available in the link below.

The IRS issued new rules for all contracts entered into or substantially modified after August 17, 2017 and now specifically differentiates leases from management contracts. Please note the rights of the parities determines the IRS interpretation of private use, no matter what it is called. The new rules impose new requirements such as the service provider must agree not to take any tax position that is inconsistent with UConn’s tax ownership of the managed property.

Private Use can take the form of  contracts, leases, management use agreements.   Some examples of possible private activity/use are: a food restaurant leasing space in the Stamford Campus, a private company managing one of the UConn Parking garages, or an entity occasionally using space in a building on terms other than those available to the general public. These should be forwarded to the Office of Treasury Services for review along with the completed Project Tax Information Compliance Questionnaire for UCONN 2000 Projects Financed with Tax Exempt Debt found below.