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Home My WebLink AboutBy-law No. 2017-064 THE CORPORATION OF THE MUNICIPALITY OF BAYHAM BY-LAW NO. 2017-064 A BY-LAW TO AUTHORIZE THE BORROWING UPON DEBENTURES IN THE AMOUNT OF $501,429.72 FOR THE PURPOSES OF THE MUNICIPALITY OF BAYHAM WHEREAS Section 401 (1) of the Municipality Act, 2001, S.O. 2001, c. 25, as amended 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; ANDWHEREAS Section 11(2) of the Municipal Act, 2001, S.O. 2001, c. 25, as amended provides that a lower tier municipality may pass by-laws respecting the matter of protection to persons and property; AND WHEREAS said approval included a financing plan for the project, which provided that a portion of the financing should be long term debt; AND WHEREAS before authorizing the project, the Municipality of Bayham had its Treasurer update its most recent annual debt and financial obligation limit received from the Ministry of Municipal Affairs and Housing in accordance with the applicable regulation and, prior to authorizing the project, the Treasurer determined that the estimated annual amount payable in respect of the project, would not cause the Municipality to exceed the updated limit and that the approval of the project, by the Ontario Municipal Board was not required; AND WHEREAS the Council of Municipality of Bayham desires to enter into a financial arrangement, with the Royal Bank of Canada for a five year term loan in the amount of $501,429.72, at a rate of interest of 2.75%. THEREFORE THE COUNCIL OF THE CORPORATION OF THE MUNICIPALITY OF BAYHAM ENACTS AS FOLLOWS: 1. THAT the Mayor and the Treasurer are hereby authorized to execute the financial arrangements with the Royal Bank of Canada, on behalf of the Municipality. 2. THAT the proceeds realized in respect of the long term loan shall be applied to the costs incurred for Port Burwell Fire Hall Replacement Project. 3. THAT the Treasurer is authorized to make the annual principal and interest payments outlined in Schedule "A" to satisfy the requirements of the long term loan arrangement with The Royal Bank of Canada. 4. THAT this By-law takes effect on the day of passing. READ A FIRST, SECOND TIME AND THIRD TIME AND FINALLY PASSED THIS 15th DAY OF JUNE 201Z. j" , _I" , ..d MAYOR L-- /� THE CORPORATION OF THE MUNICIPALITY OF BAYHAM BY-LAW NO. 2017-064 SCHEDULE "A" Debenture - Port Burwell Fire Hall Replacement Debenture Amount $501,429.72 Interest Rate 2.75% Term in Years 10 Payment Amount $65,000.00 Maximum Payout $567,504.31 BEGIN ENDING YEAR BALANCE PRINCIPAL INTEREST PAYMENT BALANCE 1/1/2018 501,429.72 25,605.34 6,894.66 32,500.00 475,824.38 1/7/2018 475,824.38 25,957.41 6,542.59 32,500.00 449,866.97 1/1/2019 449,866.97 26,314.33 6,185.67 32,500.00 423,552.64 1/7/2019 423,552.64 26,676.15 5,823.85 32,500.00 396,876.49 1/1/2020 396,876.49 27,042.95 5,457.05 32,500.00 369,833.54 1/7/2020 369,833.54 27,414.79 5,085.21 32,500.00 342,418.75 1/1/2021 342,418.75 27,791.74 4,708.26 32,500.00 314,627.01 1/7/2021 314,627.01 28,173.88 4,326.12 32,500.00 286,453.13 1/1/2022 286,453.13 28,561.27 3,938.73 32,500.00 257,891.86 1/7/2022 257,891.86 28,953.99 3,546.01 32,500.00 228,937.87 228,937.87 29,352.10 3,147.90 32,500.00 199,585.77 1/7/2023 199,585.77 29,755.70 2,744.30 32,500.00 169,830.07 1/1/2024 169,830.07 30,164.84 2,335.16 32,500.00 139,665.23 1/7/2024 139,665.23 30,579.60 1,920.40 32,500.00 109,085.63 1/1/2025 109,085.63 31,000.07 1,499.93 32,500.00 78,085.56 1/7/2025 78,085.56 31,426.32 1,073.68 32,500.00 46,659.24 1/1/2026 46,659.24 31,858.44 641.56 32,500.00 14,800.80 1/7/2026 14,800.80 14,800.80 203.51 15,004.31 0.00 Royal Bank of Canada Commercial Financial Services 476 Peel Street -"' Woodstock, Ontario N4S 1K1 BC June 9, 2017 Private and Confidential THE CORPORATION OF THE MUNICIPALITY OF BAYHAM 56169 Heritage Line Straffordville, Ontario NOJ 1Y0 We refer to the agreement dated August 15, 2011 and any amendments thereto, between The Corporation of the Municipality of Bayham, as the Borrower, and Royal Bank of Canada, as the Bank, (the"Agreement"). The Bank reserves all of its rights and remedies at any time and from time to time in connection with any or all breaches, defaults or Events of Default now existing or hereafter arising under any Bank document, and whether known or unknown, and this amending agreement shall not be construed as a waiver of any such breach, default or Events of Default. All capitalized terms not otherwise defined herein shall have the meaning ascribed to them in the Agreement. The Agreement is amended as follows: 1. Facility(4) in the current amount of$524,617.11 which is payable in full on July 1, 2017(the "Original Facility (4) Maturity Date"), is renewed, subject to the following revised terms and conditions, with effect from and after the Original Facility(4) Maturity Date: Non-revolving term facility,fully drawn by way of FRT Loans. Repayable by consecutive semi-annual blended payments of$32,500.00 including interest, based on a remaining 109 month amortization. First payment is due July 1, 2017. This loan has a 10 year term and all outstanding principal and interest is payable in full July 1, 2027. Interest rate: 2.75% per annum.Amount eligible for prepayment is NIL. CONDITIONS PRECEDENT The effectiveness of this amending agreement is conditional upon receipt of a duly executed copy of this amending agreement. COUNTERPART EXECUTION This amending agreement may be executed in any number of counterparts and by different parties in separate counterparts, each of which when so executed shall be deemed to be an original and all of which taken together constitute one and the same instrument. All other terms and conditions outlined in the Agreement remain unchanged and in full force and effect. Registered Trademark of Royal Bank of Canada SRF#855 834 693 Royal Bank of Canada Commercial Financial Services +f:: 476 Peel Street '� Woodstock, Ontario N4S 1K1 RBC' e June 9, 2017 Private and Confidential THE CORPORATION OF THE MUNICIPALITY OF BAYHAM 56169 Heritage Line Straffordville, Ontario NOJ 1Y0 We refer to the agreement dated August 15, 2011 and any amendments thereto, between The Corporation of the Municipality of Bayham, as the Borrower, and Royal Bank of Canada, as the Bank, (the"Agreement"). The Bank reserves all of its rights and remedies at any time and from time to time in connection with any or all breaches, defaults or Events of Default now existing or hereafter arising under any Bank document, and whether known or unknown, and this amending agreement shall not be construed as a waiver of any such breach, default or Events of Default. All capitalized terms not otherwise defined herein shall have the meaning ascribed to them in the Agreement. The Agreement is amended as follows: 1. Facility(4) in the current amount of$524,617.11 which is payable in full on July 1, 2017(the "Original Facility (4) Maturity Date"), is renewed, subject to the following revised terms and conditions, with effect from and after the Original Facility(4) Maturity Date: Non-revolving term facility,fully drawn by way of FRT Loans. Repayable by consecutive semi-annual blended payments of$32,500.00 including interest, based on a remaining 109 month amortization. First payment is due July 1, 2017. This loan has a 10 year term and all outstanding principal and interest is payable in full July 1, 2027. Interest rate: 2.75% per annum.Amount eligible for prepayment is NIL. CONDITIONS PRECEDENT The effectiveness of this amending agreement is conditional upon receipt of a duly executed copy of this amending agreement. COUNTERPART EXECUTION This amending agreement may be executed in any number of counterparts and by different parties in separate counterparts, each of which when so executed shall be deemed to be an original and all of which taken together constitute one and the same instrument. All other terms and conditions outlined in the Agreement remain unchanged and in full force and effect. ®Registered Trademark of Royal Bank of Canada SRF#855 834 693 The Corporation of the Municipality of Bayham -2- June 9, 2017 This amending agreement is open for acceptance until July 10, 2017, after which date it will be null and void, unless extended in writing by the Bank. ROYAL BANK OF CANADA Per: _ - Name: Bruce Kendrick Title: Senior Account Manager /mzm Agreed to and accepted this /j day of —IA A)1. , 2017. THE CORPORATION OF THE MUNICPALITY OF BAYHAM Per: 1 '-' , Name: ;-404 4-A3 Title: M ci-y B r _ . *- Per: � Per: 41111111110 Name Q,,�I y Title: Act 1 Cre r INVe have the authority to bind the Borrower l