HomeMy WebLinkAboutBy-law No. 2003-007 CORPORATION OF THE
MUNICIPALITY OF BAYHAM
BY-LAW NO,2003-07
BEING A BY-LAW TO AUTHORIZE BORROWING
FROM TIME TO TIME TO MEET CURRENT
EXPENDITURES DURING THE FISCAL YEAR ENDING
DECEMBER 31,2003.
WHEREAS the Municipal Act, 2001 S.O. 2001, Chapter 25, s.407, provides authority for a
council by-law to authorize temporary borrowing, until taxes are collected, and until other
revenues are received, to meet the current expenditures of the municipality for the year,
AND WHEREAS the total amount which may be borrowed from all sources at any one time to
meet the current expenditures of the municipality, except with the approval of the Ontario
Municipal Board, is limited by Section 407 of the Municipal Act.
NOW THEREFORE THE COUNCIL OF THE CORPORATION OF THE
MUNICIPALITY OF BAYHAM ENACTS AS FOLLOWS:
Borrowing 1) The head of Council and the Treasurer are hereby authorized to
Authority borrow from time to time by way of promissory note or bankers'
acceptance during the year 2003 (hereinafter referred to as the
current year) such sums as may be necessary to meet,until the
taxes are collected, and until other revenues are received, the
current expenditures of the municipality and the other amounts that
are set out in section 407 of the Municipal Act.
Instruments 2) A promissory note or bankers' acceptance made under Section 1
shall be signed by the head of Council or such other person as is
authorized by by-law to sign it and by the Treasurer.
Lenders 3) The lenders from whom amounts may be borrowed under authority
of this by-law shall be the Canadian Imperial Bank of Commerce
and such other lender(s) and reserve funds of the municipality as
may be determined from time to time by resolution of the Council.
Limit on 4) The total amount which may be borrowed at any one time under
Borrowing this by-law, together with the total of any similar borrowings that
have not been repaid, shall not exceed, from January 1st until
September 30th of the current year, 50 percent of the estimated
revenues of the municipality as set forth in the estimates adopted
for that year. Such borrowing shall not exceed, from October 1st
until December 31st of the current year, 25 percent of the said
estimated revenues of the municipality as set forth in the estimates
adopted for that year. For purposes of this by-law, the estimated
revenues of the municipality shall not include revenues derivable
or derived from
(a) borrowings or issues of debentures, or
(b) a surplus, including arrears of levies, or
(c) a transfer from the capital fund,reserve funds or reserves.
Borrowing 5) The Treasurer shall, at the time when any amount is borrowed
Documents under this by-law, ensure that the lender is or has been furnished
Required with a certified copy of this by-law, a certified copy of the
resolution mentioned in Section 3 determining the lender if
applicable and a certified copy of the estimates of the corporation
adopted for the current year and also showing the total of any other
amounts borrowed from any and all sources under authority of
Section 407 of the Municipal Act that have not been repaid.
MUNICIPALITY OF BAYHAM
BY-LAW NO. 2003-07
Page 2
When 6) If the estimates for the current year have not been adopted at the
Estimates Not time an amount is borrowed under this by-law.
Adopted
(a) the limitation on total borrowing shall be calculated for the
time being upon the estimated revenues of the municipality
as set forth in the estimated adopted for the previous year,
and
(b) the certified copy furnished under Section 5 shall show the
nature and amount of the estimated revenues of the
municipality as set forth in the estimates adopted for the
previous year.
Charge on 7) All or any sums borrowed under this by-law shall, with interest
Revenues thereon, be a charge upon the whole of the revenues of the
municipality for the current year and for any preceding years as
and when such revenues are received but such charge does not defeat
or affect and is subject to any prior charge then subsisting in favour
of any other lender.
Directive to 8) The Treasurer is hereby authorized and directed to apply in
Treasurer payment of all or any sums borrowed under this by-law, together
with interest thereon, all or any of the money hereafter collected or
received, either on account of or realized in respect of the taxes
levied for the current year and preceding years or from any other
source, which may lawfully be applied for such purpose.
Effective Date 9) This by-law shall come into full force and effect upon date of
passing.
Read a first, second and third time and finally passed this 9th day of January 2003.
0?-4e --4<zs_x ---/ 4--ruttiortsm tflet-2.e0
MAYOR. CLERK