3137 To authorize the Issuance of Debt.:Mykl
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BY -IM NO. 3137
A BY-LAW to authorize the Issuance of Debt.
WHEREAS the Municipal Act, 2001 Section 401 (1) provides that subject
to this or any other Act, a municipality may incur a debt for
municipal purposes, whether by borrowing money or in any other way,
and may issue debentures and prescribed financial instruments and
enter prescribed financial agreements for or in relation to the debt;
AND WHEREAS the Council of the Corporation of the Town of Tillsonburg
has authorized the purposes (individually a "Project", collectively
the "Projects") as set out in Schedule "A" attached thereto and
desires to issue debt for the Projects in the respective amounts
specified in Schedule "A";
AND WHEREAS before authorizing each Project and before
authorizing any additional cost amounts and any additional
debt authorities in respect thereof, the Treasurer of the
Corporation of the Town of Tillsonburg updated its most recent
annual debt and financial obligation received from the Ministry
of Municipal Affairs and Housing in accordance with Ontario
Regulation 403/02, and determined that the estimated annual amount
payable in respect of the Projects and the issuance of additional
debentures would not cause the Corporation to exceed the updated
limit•
BE IT THEREFORE ENACTED by the Council of the Corporation of
the Town of Tillsonburg as follows:
1. THAT certain works as set out in Schedule "A" hereto
attached are hereby authorized up to a maximum cost of
$2, 873, 900.00.
2. THAT Schedule "A" attached hereto is hereby declared to be a
part of this By -Law as if written and incorporated herein.
3. THAT the Corporation of the Town of Tillsonburg issue debt
for the said works, the amount of debt to be issued to be for
an amount not exceeding $2,873,900.00 and of such debt,
$1,952,517.00 shall be made payable utilizing a floating rate
term loan of 10 years with an amortization period of fifteen
years and $921,383-00 shall be made payable utilizing a term
loan of 10 years with an amortization period of fifteen years
from the date of the issuance of the debt and shall bear
interest at the rate prevailing at the time the debt is drawn
down with TD Commercial Banking.
4. THAT the Treasurer may agree and arrange with any bank,
or person for temporary advances of money to meet the
costs of the work pending the completion of it.
5. THAT there shall be -raised in each year in which an
installment comes due by a rate on all rateable property
in the Town of Tillsonburg a specific amount sufficient
to pay the said installment when and as it becomes due,
but no greater rate shall be levied in any year for such
purposes, than is required to pay the installment. Such
amount may be reduced by receipts from other sources in
respect to the said works.
6. THIS By -Law shall come into full force and effect on the date
of enactment.
Read a first, second and third time, passed, signed, sealed and
Numbered 3137 this 113th day of December 2004.
Clerk
TME CORPORATION OF THE TOWN OF TILLSONBURG
BY-LAW NO. 3137
SCHEDULE "W1
Project Description Amount of Debt
To be issued
Voice Over Internet Protocol $ 110f000
Special Events Building Acquisition 1,117,330
Special Events Renovations 342,859
25 Ridge Blvd Storm Drainage works 31,747
Broadway (on behalf of the BIA) 100f960
Broadway (on behalf of the MTO) 100r000
Bayham Drive 118r032
Arena 341f620
North Park Drain 611,352
Total net cost of works $21873,900