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By-law No. 2007-006 THE CORPORATION OF THE MUNICIPALITY OF BAYHAM BY-LAW NO.2007-006 BEING A BY-LAW TO AUTHORIZE BORROWING FROM TIME TO TIME TO MEET CURRENT EXPENDITURES DURING THE FISCAL YEAR ENDING DECEMBER 31,2007. 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 2007 (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 Royal Bank of Canada 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 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, 2001 that have not been repaid. MUNICIPALITY OF BAYHAM BY-LAW NO. 2007-006 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 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 4th day of January 2007. , ,,,,, , ,,./u2, MAY ri- CL " '