EXECUTIVE ORDER MJF 96-26

Public Facilities Authority Bond Allocation


WHEREAS: pursuant to the Tax Reform Act of 1986 (hereafter "the Act") and Act 51 of the 1986 Louisiana Legislative Session, Executive Order No. MJF 96-25 (hereafter "MJF 96-25") was issued on August 27, 1996 to establish (1) a method for the allocating bonds subject to the private activity bond volume limits, including the method of allocating bonds subject to the private activity bond volume limits for this calendar year 1996 (hereafter "the 1996 Ceiling"), (2) the procedure for obtaining an allocation of bonds under the 1996 Ceiling and (3) a system of central record keeping for such allocations;

WHEREAS: the Louisiana Public Facilities Authority has requested an allocation from the 1996 Ceiling to be used in connection with providing funds for the purchase of student loans which bear interest rates at approximately 1 percent below the rates established by the United States Department of Education and which (1) are made (a) to residents of the state of Louisiana attending a post-secondary school located within or without the state, or (b) to an out-of-state resident attending a post-secondary school located within the state; (2) are guaranteed; (3) are "eligible student loans" within the meaning of the Higher Education Act of 1965 (hereafter "the Higher Education Act"); and (4) meet certain additional requirements under financing documents (hereafter "the Student Loan Program"). "Eligible student loans" includes consolidation loans and other loans which are guaranteed and meet all the requirements of the Higher Education Act and applicable financing documents; and

WHEREAS: the governor has determined that the Student Loan Program serves a crucial need and provides a substantial benefit to the state of Louisiana within the meaning of Subsection 4.11 of MJF 96-25;

NOW THEREFORE I, M.J. "MIKE" FOSTER, JR., Governor of the State of Louisiana, by virtue of the authority vested by the Constitution and laws of the State of Louisiana, do hereby order and direct as follows:

SECTION 1: The bond issue, as described in this Section shall be and is hereby granted an allocation from the 1996 Ceiling as follows:




Amount of Allocation	Name of Issuer	        Name of Project

 $36,000,000           	Louisiana Public 	Student Loan  

    	                Facilities Authority	Revenue Bonds

SECTION 2: The granted allocation shall be used only for the bond issue described in Section 1 and for the general purpose set forth in the "Application for Allocation of a Portion of the State of Louisiana Private Activity Bond Ceiling" submitted in connection with the bond issue described in Section 1.

SECTION 3: The granted allocation shall be valid and in full force and effect through the end of 1996, provided that such bonds are delivered to the initial purchasers thereof on or before November 25, 1996.

SECTION 4: Due to the extraordinary benefit to the State of Louisiana served by the granted allocation, to the extent that any provision of this Order conflicts with any of the provisions of MJF 96-25, the provisions of this Order are permitted and shall prevail pursuant to Subsection 4.11 of MJF 96-25.

SECTION 5: All references in this Order to the singular shall include the plural, and all plural references shall include the singular.

SECTION 6: The undersigned certifies, under penalty of perjury, that the granted allocation was not made in consideration of any bribe, gift, gratuity, or any direct or indirect contribution to any political campaign. The undersigned also certifies that the granted allocation meets the requirements of Section 146 of the Internal Revenue Code of 1986, as amended.

SECTION 7: This Order is 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 27th day of August, 1996.

M.J. "Mike" Foster, Jr.
Governor

ATTEST BY
THE GOVERNOR
Fox McKeithen
Secretary of State