### Question
What does recovery zone facility bond mean?


### Answer
**Recovery zone facility bond** has the following meaning in *26 U.S.C. § 1400U*:

> any bond issued as part of an issue if—


(A) 95 percent or more of the net proceeds (as defined in section 150(a)(3)) of such issue are to be used for recovery zone property,


(B) such bond is issued before January 1, 2011, and


(C) the issuer designates such bond for purposes of this section

#### Citation:
  - *26 U.S.C. § 1400U*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter Y-Short-Term Regional Benefits > PART III-RECOVERY ZONE BONDS**

