3460 To authorize an agreement with OIPC.By-law 3460
The Corporation of the Town of Tillsonburg
(Ongoing Projects)
THE CORPORATION OF THE TOWN OF TILLSONBURG
BY-LAW NO 3460
A BY-LAW TO AUTHORIZE CERTAIN CAPITAL WORKS OF THE
CORPORATION OF THE TOWN OF TILLSONBURG (THE
"MUNICIPALITY"); TO AUTHORIZE THE SUBMISSION OF AN
APPLICATION TO THE ONTARIO INFRASTRUCTURE PROJECTS
CORPORATION ("OIPC))) FOR FINANCING SUCH WORKS AND
CERTAIN OTHER ONGOING WORKS; TO AUTHORIZE TEMPORARY
BORROWING FROM OIPC TO MEET EXPENDITURES MADE IN
CONNECTION WITH SUCH WORKS; AND TO AUTHORIZE LONG TERM
BORROWING FOR SUCH WORKS THROUGH THE ISSUE OF
DEBENTURES BY THE COUNTY OF OXFORD (THE "UPPER -TIER
MUNICIPALITY") TO OIPC
WHEREAS the Municipal Act, 2001 (Ontario), as amended, (the "Act")
provides that a municipal power shall be exercised by by-law unless the municipality is
specifically authorized to do otherwise;
AND WHEREAS the Council of the Lower -tier Municipality has passed the by-
laws enumerated in column (1) of Schedule "A" attached hereto and forming part of this By-
law ("Schedule "A") authorizing the ongoing capital works described in column (2) of
Schedule "A" (individually, a "Project", collectively, the "Projects") in the amount of the
respective estimated expenditure set out in column (3) of Schedule "A";
AND WHEREAS before the Council of the Lower -tier Municipality approved
each Project, in accordance with section 4 of Ontario Regulation 403/02, the Council of the
Lower -tier Municipality had its Treasurer update its most recent annual debt and financial
obligation limit received from the Ministry of Municipal Affairs and Housing (as so updated,
the "Prior Updated Limit"), and, on the basis of the authorized expenditure for each
Project as set out in column (3) of Schedule "A" (referred to hereinafter as the "Authorized
Expenditure" for each such Project) the Treasurer calculated the estimated annual amount
payable in respect of each Project and determined that the estimated annual amount
payable in respect of each Project does not exceed the Prior Updated Limit, and
accordingly the approval of the Ontario Municipal Board under the Ontario Municipal Board
Act (Ontario), as amended, was not required before any such Project was authorized by
Council;
AND WHEREAS subsection 405(1) of the Act provides that a municipality
may authorize temporary borrowing to meet expenditures made in connection with a work
to be financed in whole or in part by the issue of debentures if,
(a) the municipality is an upper -tier municipality, alower-tier municipality in a
county or a single -tier municipality and it has approved the issue of
debentures for the work;
(b) the municipality is a lower -tier municipality in a regional municipality and it
has approved the work and the upper -tier municipality has approved the
issue of debentures for the work; or
(c) the municipality has approved the issue of debentures for another
municipality or a school board under section 404;
AND WHEREAS subsection 403(1) of the Act provides that a by-law of an
upper -tier municipality authorizing the issuing of debentures for the purposes or joint
purposes of one or more of its lower -tier municipalities may require those lower -tier
municipalities to make payments in each year to the upper -tier municipality in the amounts
and on the dates specified in the by-law;
_ 2 - By-law 3460
The Corporation of the Town of Tillsonburg
(Ongoing Projects)
AND WHEREAS subsection 401(1) of the Act provides that 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 subsection 401(3) of the Act provides that a lower -tier
municipality in a regional municipality does not have the power to issue debentures and
accordingly the Lower -tier Municipality intends that the Upper -tier Municipality will issue
debentures in respect of the Projects and will request that the Upper -tier Municipality do so;
AND WHEREAS the Act also provides that a municipality shall authorize long
term borrowing by the issue of debentures or through another municipality under section
403 or 404 of the Act and subsection 403(7) of the Act provides that all debentures issued
under a by-law passed by an upper -tier municipality under section 403 are direct, joint and
several obligations of the upper -tier municipality and its lower -tier municipalities;
AND WHEREAS OIPC has invited Ontario municipalities desirous of
obtaining temporary and long term debt financing in order to meet capital expenditures
incurred after December 31, 2003 in connection with eligible capital projects to make
application to OIPC for such financing by completing and submitting an application in the
form provided by OIPC;
AND WHEREAS the Lower -tier Municipality requested the Upper -tier
Municipality to issue debentures for the Projects and in this connection the Upper -tier
Municipality and the Lower -tier Municipality submitted an Application (hereinafter the
"Application") to OIPC to request financing in order to meet capital expenditures incurred
after December 31, 2003 in connection with the Projects (the "Project Expenditures") by
way of long term borrowing pursuant to section 403 of the Act through the issue of
debentures to OI PC and by way of temporary borrowing pursuant to section 405 of the Act;
AND WHEREAS OIPC has accepted and has approved such Application;
AND WHEREAS the Upper -tier Municipality has agreed to issue debentures
for the Projects to OIPC in the maximum aggregate principal amount of $675,000 (the
"Debentures"); and OIPC has indicated that pending the issue of the Debentures it will
provide financing by way of temporary advances to the Lower -tier Municipality in respect of
the Projects;
AND WHEREAS the Lower -tier Municipality will enter into a financing
agreement with OIPC pursuant to the terms of which OIPC will provide temporary advances
to the Lower -tier Municipality in respect of the Projects;
NOW THEREFORE THE COUNCIL OF THE CORPORATION OF THE
TOWN OF TILLSONBURG ENACTS AS FOLLOWS:
1. The Council of the Lower -tier Municipality hereby confirms, ratifies and approves the
completion by the Treasurer of the Application and the submission by such
authorized official of the Application, to OIPC, in cooperation with the Upper -tier
Municipality, for the financing of the Projects by way of temporary borrowing from
OIPC, pending the issue of Debentures, in the maximum aggregate principal
amount of $675,000, substantially in the form of Schedule "B" attached hereto and
forming part of this By-law, with such changes thereon as such authorized official
approved.
2. The Mayor and the Treasurer are hereby authorized to negotiate and enter into,
execute and deliver for and on behalf of the Lower -tier Municipality a financing
agreement (a "Financing Agreement") with OIPC that provides for temporary
borrowing from OIPC in respect of the Projects on such terms and conditions as
such authorized officials may approve, such execution and delivery to be conclusive
evidence of such approval.
3. The Mayor and/or the Treasurer are hereby authorized, pending the substantial
completion of a Project or as otherwise agreed with OIPC, to make temporary
_ 3 - By-law 3460
The Corporation of the Town of Tillsonburg
(Ongoing Projects)
borrowings pursuant to section 405 of the Act in respect of such Project, on the
terms and conditions provided in the Financing Agreement and on such other terms
and conditions as such authorized officials may agree, and to sign such evidence of
indebtedness as OIPC may require (a "Note"); and the Treasurer is authorized to
sign such certifications as OIPC may require in connection with such borrowings in
respect of the Projects; provided that the amount of borrowings allocated to any
Project does not exceed the Authorized Expenditure for such Project and does not
exceed the loan amount set out in column (4) of Schedule "A" in respect of such
Project as appropriate.
4. In accordance with the provisions of section 18 of the Ontario Infrastructure Projects
Corporation Act, 2006 (Ontario), as security for the payment by the Lower -tier
Municipality of any indebtedness of the Lower -tier Municipality to OIPC incurred
under the Note, and as security for the payment by the Lower -tier Municipality of any
indebtedness of the Lower -tier Municipality to the Upper -tier Municipality in respect
of Debentures issued for any Projects, the Lower -tier Municipality is hereby
authorized to agree in writing with OIPC that the Minister of Finance is entitled to
deduct from money appropriated by the Legislative Assembly of Ontario for payment
to the Lower -tier Municipality, or from money appropriated by the Assembly for
payment to the Lower -tier Municipality in respect of specified matters, amounts not
exceeding the amounts that the Lower -tier Municipality fails to pay to OIPC on
account of the outstanding indebtedness evidenced by the Note issued by the
Lower -tier Municipality to OIPC and on account of the outstanding indebtedness
evidenced by Debentures issued by the Upper -tier Municipality to OIPC for any
Projects, and to pay such amounts to OIPC.
5. For purposes of meeting the obligations of the Lower -tier Municipality in respect of
the Note and any Debentures issued by the Upper -tier Municipality to OIPC for any
Projects, the Lower -tier Municipality shall provide for raising in each year as part of
the general lower -tier levy the amounts of principal and interest payable in each year
under the Note or any such Debentures, to the extent that the amounts have not
been provided for by any other available source including other taxes or fees or
charges imposed on persons or property by a by-law of any municipality.
6. (a) The Mayor and/or the Treasurer are hereby authorized to execute and
deliver the Note, the Mayor and the Treasurer are hereby authorized to
enter into, execute and deliver the Financing Agreement, the Clerk and
Treasurer are hereby severally authorized to generally do all things and to
execute all other documents and papers in the name of the Lower -tier
Municipality in order to perform the obligations of the Lower -tier Municipality
under the Financing Agreement and the Note, and the Treasurer is
authorized to affix the Lower -tier Municipality's municipal seal to any such
documents and papers.
(b) The proceeds realized in respect of the Note after providing for the
expenses related to its execution and delivery, if any, shall be apportioned
and applied to the respective Projects and to no other purpose except as
permitted by the Act.
7. This By-law takes effect on the day of passing.
ENACTED AND PASSED this 8t" day of November, 2010.
N
s
0
MAYOR CLERK L
By-law 3460
The Corporation of the Town of Tillsonburg
(Ongoing Projects)
Schedule "A"
to By -Law Number 3460
(Ongoing Projects)
(1) (2)
BY -Law Description of Capital Work
Number/ Project
3426 Lisgar Street/Fourth Avenue
Reconstruction
(3)
(4)
Estimated
Loan
Expenditure
Amount
$2,025,000 $675,000
_ 5 _ By-law 3460
The Corporation of the Town of Tillsonburg
(Ongoing Projects)
Schedule "B"
to By -Law Number 3460
Please insert the 01PC Application into Schedule "B".
ONTARIO INFRASTRUCTURE PROJECTS CORPORATION (OIPC)
LOAN APPLICATION
Application ID: 10073 Program Year: 2010/2011
Application Submit Date: Oct -17-2010
A. GENERAL INFORMATION - Borrowing Municipality
Name: The County of Oxford ID: 32000
Address -0: P.O. Box 1614 City: Woodstock
21 Reeve Street Postal Code: N4S 3Y7
Name of Treasurer(or Lynn Buchner Title: Treasurer
equivalent,):
Telephone Number: 519.539.9800 x 3007 Fax No.: 519.421.4713
Email: Ibuchner@oxfordcounty.ca
GENERAL INFORMATION - Lower Tier Municipality
Name: Tillsonburg T ID: 32004
Address: 200 Broadway City: Tillsonburg
Postal Code N4G 5A7
Name of Treasurer(or
Darrell Eddington
Title: Director of Finance
equivalent):
Telephone Number:
(519) 842-6428 x3251
Fax No.: (519) 842-9431
Email-
deddington@tillsonburg.ca
B. CONTACT INFORMATION
Questions regarding the information contained in the application form should be addressed to:
Nacre:
Lynn Buchner
Title: Treasurer
Telephone:
519.539.9800 x3007
Fax No.: 519.421.4713
Page 1 of 9
ONTARIO INFRASTRUCTURE PROJECTS CORPORATION (OIPC)
LOAN APPLICATION
Email. Ibuchner@oxfordcounty.ca
C. PROJECT SUMMARY INFORMATION
No. Project Name Category Type Loan Amount
1 Lisgar Avenue and Fourth Street Municipal Roads $675,000.00
Reconstruction Infrastructure
Total Loan Amount $675,000.00
Page 2 of 9
ONTARIO INFRASTRUCTURE PROJECTS CORPORATION (OIPC)
LOAN APPLICATION
Project Details - Municipal Roads Infrastructure
Project Name Lisgar Avenue and Fourth Street
Reconstruction
Category Municipal Roads Infrastructure
Construction Start Date Apr -01-2010
Construction End Date Oct -29-2010
Please indicate below if any aspect of the project pertains to:
Energy Conservation:
F1 Yes ✓❑ No
The Municipal Eco Challenge Fund (MECF) is a three year, $20 million grant and $200 million loan initiative to
help municipalities reduce Green House Gas (GHG) emissions from their infrastructure.
Please indicate whether the loan is for a project that will reduce energy consumption or GHG emissions from a
municipally -owned facility (building, arena, etc.).
Is this project also being considered for an MECF grant?
❑ Yes Q No
❑ Yes ✓❑ No
Please provide
An estimate of °'-he reduction in energy consumption or GHG emissions as a result of the project.
or
A short descripJon of the energy conservation benefits.
Address of the project: Lisgar Avenue and Fourth Street
Type of work (e.g. new construction, renovation of existing Road reconstruction
facilities, redevelopment, deferred maintenance, etc.):
Description of the project:
Lisgar Avenue/Fourth Street Reconstruction — Lisgar Avenue from Fourth Street south to Bridge
Page 3 of 9
ONTARIO INFRASTRUCTURE PROJECTS CORPORATION (OIPC)
LOAN APPLICATION
Street and f=ourth Street from Lisgar Avenue to Tillson Avenue road reconstruction.
Additional comments:
What is the life span of the project in years? (i.e. the physical asset) P 07
Please identify your Ministry contact (If applicable)
Ministry:
Contact Name:
Contact Phone:
Page 4 of 9
ONTARIO INFRASTRUCTURE PROJECTS CORPORATION (OIPC)
LOAN APPLICATION
Project Information
Project Name Lisgar Avenue and Fourth Street
Reconstruction
Category Municipal Roads Infrastructure
Project Cost (A) $2,025,000.00
Project Funding/Financing
List existing and expected Funding/Financing sources for the project (eg. Reserves, other cash on hand,
approved grants, etc.).
Source/Description Timing Amount
Infrastructure Stimulus Fund Grant (Federal) Existing $675,000.00
Infrastructure Stimulus Fund Grant (Provincial) Existing $675,000.00
Total Amount (B) $1,350,000.00
OIPC Loan Amount (A -B) $675,000.00
Please enter your long-term borrowing requirements including the estimated date the funds are required.
Only include long-term borrowing in this section. If you anticipate that you will require short-term financing
during the construction phase of the project, the information will be gathered as part of the Financing
Agreement.
Estimated Date Required Amount Term (in years) Type
Dec -01-2010 $675,000.00 30 Serial
Total Long -Terra Financing $675,000.00
Page 5 of 9
ONTARIO INFRASTRUCTURE PROJECTS CORPORATION (OIPC)
LOAN APPLICATION
D. DEBT AND REPAYMENT SUMMARY
Financial Information Returns (FIR)
Please be aware that CIPC will be unable to complete the processing of your application until you have filed your
most current FIR with the Ministry of Municipal Affairs and Housing. If you have not filed your FIR, you should
submit your application to OIPC and send your FIR to MMAH as soon as possible.
ARL
Please provide a copy of the Borrower's most recent ARL issued by MMAH.
Existing Borrowing:
Please provide the following details on the existing debt, including capital leases and unsecured debt.
Loan
Loan
Initial
Amount
Annual
Date
Maturity
Summary
Payment
Periodic
Payment
#
Purpose
Amount
Outstanding
Interest
Borrowed
Year
of Existing
Type
Amount
Frequency
Borrowed
as per Most
Rate (%)
(mm/dd/yy
Pledges,
Payable
Recent
yy)
Conditions,
Audited
Covenants
Financials
Please elaborate on re -financing plans and options for any existing "interest only" debt, if applicable
Existing Encumbrances:
Does the Borrower have any existing liens, pledges and any other encumbrances on existing assets?
❑ Yes ✓❑ No
If yes, please provide details:
Page 6 of 9
ONTARIO INFRASTRUCTURE PROJECTS CORPORATION (OIPC)
LOAN APPLICATION
OIPC Loan Repayment Information
Please indicate the source(s) of revenue you plan to use to repay the OIPC Loan.
Source Contribution to OIPC Loan Payments (%)
Taxation 100.00
User Fees
Service Charges
Development Charges
Connection Fees
Subsidies
Other
Total 100.00
Audited Financial Statements
Description of Other Source
A copy of the most recent audited financial statements must be attached with this loan application.
Page 7 of 9
ONTARIO INFRASTRUCTURE PROJECTS CORPORATION (OIPC)
LOAN APPLICATION
E. LITIGATION
Is there any litigation threatened or existing which would affect any projects or substantially
impair the Borrower's ability to pay debt service costs on its general obligation indebtedness?
Please indicate Yes or No. ❑ Yes ✓❑ No
Please complete the Certificate of Litigation template found under the Forms menu.
F. NON -REPAYMENT OF LOANS OR DEBENTURES
In the last 10 years has the Borrower ever failed to make a loan or debenture repayment on
time to any lender, including to the Provincial Government?
F1 Yes ✓❑ No
If yes, please provide cletails. If necessary, attach details.
G. PROVINCIAL GRANTS AS SECURITY
Pursuant to OIPC's enabling legislation, the Minister of Finance may deduct funds from provincial grants to the
Borrower appropriated by the Legislative Assembly of Ontario for payment to OIPC to satisfy any outstanding
unpaid amounts owed by the Borrower to OIPC.
H. ATTACHMENTS
Please ensure all required documents are submitted with the signed application. OIPC requires originals as
noted below to be mailed or couriered. Also, please retain a copy of all documents submitted to OIPC for your
records.
• Loan Application Signature Page signed and dated by the appropriate individual (original to be
submitted)
• Certified and sealed copy of OIPC template By -Law authorizing project borrowing and applying 1
a loan (original with seal)
• Certificate of Treasurer Regarding Litigation using the OIPC template (original, signed & sealed)
• Updated Certified Annual Repayment Limit Calculation (original)
• OMB CIpproval if exceeding debt repayment limit, if applicable
• Capital Plan if applicable
Project management letter
Page 8 of 9
ONTARIO INFRASTRUCTURE PROJECTS CORPORATION (OIPC)
LOAN APPLICATION
✓� I acknowledge and agree that all of the above referenced documents must be submitted in the form required
by OIPC and undE!rstand that the application will not be processed until such documents have been fully
completed and received by Infrastructure Ontario.
Please note: 01PC retains the right to request and review any additional information or documents at its
discretion.
✓[] I acknowledge that I have read and understood the Project Management and Best Practices Reporting
Requirements
Confidential Information
OIPC is an institution to which the Freedom of Information and Protection of Privacy Act (Ontario) applies.
Information and supporting documents submitted by the Borrower to process the loan application will be kept
secure and confidential; subject to any applicable laws or rules of a court or tribunal having jurisdiction.
Page 9 of 9