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HomeMy WebLinkAbout17 142 Asset Transfer Policy By-law THE CORPORATION OF THE MUNICIPALITY OF KINCARDINE r '��0PA47Y Of KIN, BY-LAW NO. 2017 - 142 BEING A BY-LAW TO ADOPT AN ASSET TRANSFER POLICY FOR THE MUNICIPALITY OF KINCARDINE WHEREAS pursuant to the Municipal Act 2001, S.O. 2001, c.25, as amended Section 8 (1)and 9 provide that the powers of a municipality under this or any other Act shall be interpreted broadly so as to confer broad authority on the municipality to enable the municipality to govern its affairs as it considers appropriate and to • enhance the municipality's ability to respond to municipal issues and has the capacity, rights, powers and privileges of a natural person for the purpose of exercising its authority under this or any other Act; AND WHEREAS the Municipality of Kincardine deems it necessary to address tangible asset transfers to corporations as required by paragraph 1 of section 7 of Ontario Regulation 599/06; NOW THEREFORE the Council for The Corporation of the Municipality of Kincardine ENACTS as follows: 1. This by-law constitutes the asset transfer policy of the Council of the Corporation of the Municipality of Kincardine as required by paragraph 1 section 7 of Ontario Regulation 599/06; 2. In this by-law the following terms have the following meanings: ASSET includes real property, personal property, equipment, goods, capital shares in corporations, rights and grants of money, contracts, • permits, licences and similar regulatory authorizations, and goodwill; AUDITED NET BOOK VALUE means the net difference between the assets and liabilities on the audited financial statements, without adjustment for goodwill or premiums that might be paid for the asset if it were to be exposed to the full market for sale; CORPORATION includes a corporation established by the Municipality pursuant to the Municipal Act, including a municipal services corporation; MUNICIPAL ACT means the Municipal Act, 2001, S.O. 2001, C.25, as amended or replaced from time to time; REGULATION means Ontario Regulation 599/06, made pursuant to the Municipal Act, as amended or replaced from time to time; and TRANSFER means assign or convey. • 3. The Municipality may, from time to time, Transfer Assets to Corporations, including in accordance with the provisions of the Regulation. Page 2 of 2 Asset Management Policy By-law By-law No. 2017 - 142 4. The Municipality may attach conditions to the Transfer of an Asset to a • Corporation including a purchase price for the Asset to be paid or owed to the Municipality by the Corporation, what the Corporation may do with the Asset, under what conditions the Corporation may further Transfer the Asset, and how the Asset should be disposed of upon the winding- up, bankruptcy or dissolution of the Corporation. 5. If the Municipality proposes to transfer an Asset, other than a grant, to a Corporation that is wholly owned by the Municipality, the Asset shall be transferred to the Corporation at audited net book value and the Chief Administrative Officer shall provide Council with an estimate of the audited net book value, prior to the transfer taking place. The net disposition value will be recorded in the financial and accounting records of the Municipality. 6. If the Municipality proposes to Transfer any grant to a Corporation, the Municipality Treasurer shall prepare a statement of the value of such grant. • 7. If the Municipality proposes to Transfer an Asset to a Corporation and the Province of Ontario has contributed funds for the purchase or improvements of the Asset, then the Municipality shall comply with the notice and other requirements of the Regulation. 8. If the Municipality proposes to Transfer a right granted to the Municipality in an agreement with the Province of Ontario, then the Municipality shall obtain prior consent in compliance with the requirements of the Regulation. 9. In addition to compliance with the provisions of this by-law, any particular Transfer of an Asset shall be subject to the approval of the Municipality. 10. This by-law does not apply to transfers of assets between divisions or departments of the Municipality. 11. This by-law shall become effective upon being passed. 12. This by-law may be cited as the "Asset Transfer Policy By-law". • READ a FIRST and SECOND TIME this 11th day of October, 2017. READ a THIRD TIME and FINALLY PASSED this 11th day of October, 2017. _(>66 Mayor Clerk i