HomeMy WebLinkAbout2063-23 Debenture - Lake Newell Resort Pathway Local Improvement ProjectCOUNTY OF NEWELL
IN THE PROVINCE OF ALBERTA
BYLAW 2063-23
A BYLAW OF THE COUNTY OF NEWELL, IN THE PROVINCE OF ALBERTA, TO
AUTHORIZE THE COUNCIL OF THE COUNTY OF NEWELL TO INCUR
INDEBTEDNESS BY THE ISSUANCE OF DEBENTURE(S) IN THE AMOUNT OF
$750,000 FOR THE PURPOSE OF FINANCING THE "LAKE NEWELL RESORT
PATHWAY" LOCAL IMPROVEMENT PROJECT.
WHEREAS, the Municipal Government Act, R.S.A. 2000 and amendments thereto,
permits municipalities to borrow for the purpose of financing the cost of a local
improvement to be funded in whole or in part of a local improvement.
AND WHEREAS, the County of Newell Council has decided to issue a bylaw pursuant to
Section 263 of the Municipal GovernmentAct to authorize, the financing, undertaking and
completion of the "Lake Newell Resort Pathway" local improvement project as described
in the local improvement plan authorized by council.
Plans and specifications have been prepared and the total cost of the project is estimated
to be $1,000,000 and the Municipality estimates the following grants and contributions
will be applied to the project:
Benefiting Owners (Revenue raised by local improvement tax): $750,000
Municipality at Large (Funds from Restricted Surplus Recreation Fund): 250 000
TOTAL: $1,000,000
In order to complete the project it will be necessary for the County of Newell to borrow the
sum of $750,000 for a period not to exceed 30 years, from the Province of Alberta or
another authorized financial institution, by the issuance of debentures and on the terms
and conditions referred to in this bylaw.
The estimated lifetime of the project financed under this bylaw is in excess of 30 years.
All the required approvals for the project have been obtained and the project is in
compliance with all Acts and Regulations of the Province of Alberta.
NOW, THEREFORE, THE COUNTY OF NEWELL COUNCIL DULY ASSEMBLED,
ENACTS AS FOLLOWS:
That for the purpose of completing the "Lake Newell Resort Pathway" local
improvement project the sum of SEVEN HUNDRED FIFTY THOUSAND DOLLARS
($750,000) be borrowed from the Province of Alberta or another authorized financial
institution by way of debenture on the credit and security of the Municipality at large.
2. The amount of TWO HUNDRED FIFTY THOUSAND ($250,000) is to be paid by the
Municipality at large from the restricted surplus recreation fund and SEVEN
HUNDRED FIFTY THOUSAND DOLLARS ($750,000) is to be collected by way of
local improvement tax imposed on the benefiting owners of the "Lake Newell Resort
Pathway" local improvement project.
3. The proper officers of the Municipality are hereby authorized to issue debentures on
behalf of the Municipality for the amount and purpose as authorized by this bylaw,
namely the "Lake Newell Resort Pathway" local improvement project.
4. The County of Newell shall repay the indebtedness according to the repayment
structure in effect, namely annual or semi-annual equal payments of combined
principal and interest installments not to exceed THIRTY (30) years calculated at a
rate not exceeding the interest rate fixed by the Province of Alberta or another
authorized financial institution on the date of borrowing, and not to exceed EIGHT (8)
percent.
5. The indebtedness shall be contracted on the credit and security of the County of
Newell.
6. The net amount borrowed under the bylaw shall be applied only to the project
specified by this bylaw.
7. This bylaw comes into force on the date of final reading.
December 7, 2023 MOVED BY COUNCILLOR NEIL JOHNSON that Bylaw 2063-23
receive FIRST reading.
MOTION CARRIED
December 21, 2023 MOVED BY COUNCILLOR HOLLY JOHNSON that Bylaw
2063-23 receive SECOND reading.
MOTION CARRIED
December 21, 2023 MOVED BY COUNCILLOR AMANDA PHILPOTT that Bylaw
2063-23 receive THIRD and FINAL reading.
MOTION CARRIED
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eeve — Arno Doerksen Chief Administrative Officer— Matt Fenske