HomeMy WebLinkAbout19 144 Ontario Infrastructure and Lands Corporation (Highway 9 & 21 Business Park) By-law THE CORPORATION OF THE MUNICIPALITY OF KINCARDINE
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BY-LAW
No. 2019 - 144
A BY-LAW TO AUTHORIZE CERTAIN NEW CAPITAL WORK(S) OF THE
CORPORATION OF THE MUNICIPALITY OF KINCARDINE (THE
"MUNICIPALITY"); TO AUTHORIZE THE SUBMISSION OF AN APPLICATION
TO ONTARIO INFRASTRUCTURE AND LANDS CORPORATION ("OILC")
FOR FINANCING OF SUCH CAPITAL WORK(S); TO AUTHORIZE
TEMPORARY BORROWING FROM OILC TO MEET EXPENDITURES IN
CONNECTION WITH SUCH CAPITAL WORK(S); AND TO AUTHORIZE LONG-
• TERM BORROWING FOR SUCH CAPITAL WORK(S) THROUGH THE ISSUE
OF DEBENTURES TO OILC
WHEREAS the Municipal Act, 2001 (Ontario), as amended, (the "Act") provides
that a municipal power shall be exercised by by-law unless the municipality is
specifically authorized to do otherwise;
AND WHEREAS it is now deemed to be expedient to authorize for the purposes
of the Municipality the new capital work(s) described in column (2) of Schedule "A"
(the "Capital Work(s)") attached hereto and forming part of this By-law
("Schedule "A") in the amount of the respective estimated expenditure set out in
column (3) of Schedule "A", subject in each case to approval by OILC of the
financing for such Capital Work(s) that will be requested by the Municipality in the
Application as hereinafter defined;
AND WHEREAS in accordance with section 4 of Ontario Regulation 403/02 (the
"Regulation"), the Council of the Municipality had its Treasurer calculate an
updated limit in respect of its most recent annual debt and financial obligation limit
received from the Ministry of Municipal Affairs (as so updated, the "Updated
• Limit"), and, on the basis of the authorized estimated expenditure for the Capital
Work or each Capital Work, as the case may be, as set out in column (3) of
Schedule "A" (the "Authorized Expenditure" for any such Capital Work), the
Treasurer calculated the estimated annual amount payable in respect of the
Capital Work or each Capital Work, as the case may be, (collectively the
"Estimated Annual Amount Payable") and determined that the Estimated
Annual Amount Payable does not cause the Municipality to exceed the Updated
Limit, and accordingly the approval of the Local Planning Appeal Tribunal
pursuant to the Regulation, is not required before any such Capital Work is
authorized by the Council of the Municipality;
AND WHEREAS subsection 405(1) of the Act provides, amongst other things,
that a municipality may authorize temporary borrowing to meet expenditures
made in connection with a work to be financed in whole or in part by the issue of
debentures if, the municipality is an upper-tier municipality, a lower-tier
municipality in a county or a single-tier municipality and it has approved the issue
of debentures for the work;
• AND WHEREAS subsection 401(1) of the Act 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;
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Ontario Infrastructure and Lands Corporation
(Highway 9 & 21 Business Park) By-law
By-law No. 2019 - 144
AND WHEREAS the Act also provides that a municipality shall authorize long-
term borrowing by the issue of debentures or through another municipality under
• section 403 or 404 of the Act;
AND WHEREAS OILC has invited Ontario municipalities desirous of obtaining
temporary and long-term debt financing in order to meet capital expenditures
incurred on or after the year that is five years prior to the year of an application in
connection with eligible capital works to make application to OILC for such
financing by completing and submitting an application in the form provided by
OILC;
AND WHEREAS the Municipality has completed and submitted or is in the
process of submitting an application to OILC, as the case may be, (the
"Application") to request financing for the Capital Work(s) by way of long-term
borrowing through the issue of debentures to OILC and by way of temporary
borrowing from OILC pending the issue of such debentures;
AND WHEREAS OILC has accepted and has approved or will notify the
Municipality only if it accepts and approves the Application, as the case may be;
111 NOW THEREFORE The Council of The Corporation of the Municipality Of
Kincardine ENACTS as follows:
1. The Council of the Municipality hereby confirms, ratifies and approves the
execution by the Treasurer of the Application and the submission by such
authorized official of the Application, duly executed by such authorized
official, to OILC for the financing of the Capital Work(s) in the maximum
aggregate principal amount of $4,250,000 substantially in the form of
Schedule "B" hereto and forming part of this By-law, with such changes
thereon as such authorized official may hereafter approve, such execution
and delivery to be conclusive evidence of such approval.
2. (a) The undertaking of the Capital Work or of each Capital Work, as the
case may be, in the amount of the respective estimated Authorized
Expenditure set out in column (3) of Schedule "A" is hereby
approved and authorized;
(b) any one or more of the Mayor and the Treasurer are hereby
authorized to conclude contracts on behalf of the Municipality for the
• undertaking of the Capital Work or of each Capital Work, as the
case may be, in accordance with the Municipality's usual protocol;
(c) where applicable, the Engineer of the Municipality will forthwith
make such plans, profiles and specifications and furnish such
information as in the opinion of the Engineer are necessary for the
undertaking of the Capital Work or of each Capital Work, as the
case may be; and
(d) where applicable, the undertaking of the Capital Work or of each
Capital Work, as the case may be, shall be carried on and executed
under the superintendence and according to the direction and orders
of such Engineer.
3. The Mayor and the Treasurer are hereby authorized to negotiate and enter
into, execute and deliver for and on behalf of the Municipality a financing
agreement (a "Financing Agreement") with OILC that provides for
temporary and long-term borrowing from OILC under the authority of this
11111 By-law in respect of the Capital Work(s) on such terms and conditions as
such authorized officials may approve, such execution and delivery to be
conclusive evidence of such approval.
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4. The Mayor and/or the Treasurer are hereby authorized, pending the
substantial completion of the Capital Work or of each Capital Work, as the
• case may be, or as otherwise agreed with OILC, to make temporary
borrowings pursuant to section 405 of the Act in respect of the Capital
Work or of each Capital Work, as the case may be, on the terms and
conditions provided in the Financing Agreement which Financing
Agreement provides that the information contained in the Record, as
defined in the Financing Agreement, in respect of such temporary
borrowings shall be deemed final, conclusive and binding on the
Municipality, and on such other terms and conditions as such authorized
officials may agree; and the Treasurer is authorized to sign such
certifications as OILC may require in connection with such borrowings in
respect of the Capital Work(s); provided that the amount of borrowings
allocated to the Capital Work or to each Capital Work, as the case may be,
does not exceed the Authorized Expenditure for such Capital Work and
does not exceed the related loan amount set out in column (4) of Schedule
"A" in respect of such Capital Work.
5. Subject to the terms and conditions of the Financing Agreement and such
other terms and conditions as OILC may otherwise require, the Mayor and
• the Treasurer are hereby authorized to long-term borrow for the Capital
Work(s) and to issue debentures to OILC on the terms and conditions
provided in the Financing Agreement and on such other terms and
conditions as such authorized officials may agree (the "Debentures");
provided that the principal amount of the Debentures issued in respect of
the Capital Work or of each Capital Work, as the case may be, does not
exceed the Authorized Expenditure for such Capital Work and does not
exceed the related loan amount set out in column (4) of Schedule "A" in
respect of such Capital Work.
6. In accordance with the provisions of section 25 of the Ontario Infrastructure
and Lands Corporation Act, 2011, as amended from time to time hereafter,
the Municipality is hereby authorized to agree in writing with OILC that the
Minister of Finance is entitled, without notice to the Municipality, to deduct
from money appropriated by the Legislative Assembly of Ontario for
payment to the Municipality, amounts not exceeding the amounts that the
Municipality fails to pay to OILC on account of any unpaid indebtedness of
the Municipality to OILC under any outstanding temporary borrowing and/or
• the Debentures, as the case may be (the "Obligations") and to pay such
amounts to OILC from the Consolidated Revenue Fund.
7. For the purposes of meeting the Obligations, the Municipality shall provide
for raising in each year as part of the general levy, the amounts of principal
and interest payable in each year under any outstanding temporary
borrowing and/or any Debenture outstanding pursuant to the Financing
Agreement, to the extent that the amounts have not been provided for by
any other available source including other taxes or fees or charges
imposed on persons or property by a by-law of any municipality.
8. (a) The Mayor and the Treasurer are hereby authorized to enter into,
execute and deliver the Financing Agreement, and to issue the
Debentures, one or more of the Clerk and the Treasurer are hereby
authorized to generally do all things and to execute all other
documents and papers in the name of the Municipality in order to
perform the Obligations of the Municipality under the Financing
Agreement, to request and receive any temporary borrowing and to
• issue the Debentures, and the Treasurer is authorized to affix the
Municipality's municipal seal to any such documents and papers.
(b) The money realized in respect of any temporary borrowing for the
Capital Work(s) and the Debentures, including any premium, and
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Ontario Infrastructure and Lands Corporation
(Highway 9 & 21 Business Park) By-law
By-law No. 2019 - 144
any earnings derived from the investment of that money, after
providing for the expenses related to any such temporary borrowing
• and to the issue of the Debentures, if any, shall be apportioned and
applied to the respective Capital Work and to no other purpose
except as permitted by the Act.
9. This By-law takes effect on the day of passing.
10. That this By-law may be cited as the "Ontario Infrastructure and Lands
Corporation (Highway 9 & 21 Business Park) By-law".
READ a FIRST and SECOND TIME this 4th day of November, 2019.
READ a THIRD TIME and FINALLY PASSED this 4th day of November, 2019.
•
42,1
• Mayor lerk
•
•
Schedule "A"
to By-Law No. 2019 - 144
(New Capital Work(s))
• (1) (2) (3) (4)
Capital Work Description of Capital Estimated Loan Amount
Number Work Expenditure
Extension of water, sanitary $4,700,000 $4,250,000
and stormwater servicing
located at the Highway 9/21
Business Park.
1111
Ill
•
Ontario Schedule B to By-law No. 2019 - 144
Webloans Loan Application PDF
FA Number 1436
Application for Kincardine,The Corporation of The Municipality of
Projects
SIT Construction/Purchase Construction/Purchase
ID Project ID Project Name Start End Project Cost OILC Loan Amount
1029 1 Kincardine Business Park 11/01/2019 06/30/2021 $4,700,000.00 4.250.000.00
Servicing 9 21
Details of Project Kincardine Business Park Servicing 9 21
Project Category Municipal Roads Infrastructure J
Project Name
Construction/Purchase Start
Construction/Purchase End
Energy Conservation r
Project Address 1
Project Address 2
City/Town
Province
Postal Code
Description Extension of water,sanitary and storrnwater servicing at the Kincardine
Business Park located at Highway 9 and Highway 21.
Comments and/or Special Requesting a Floating Rate Capital Loan.Repayment through future
Requests
Project Life Span(Years)
Project Financial Information
Project Cost(A) 34,700000.00
Other Proiect Funding/Financing(B):
Description Timing Amount
Cash on hand Existing $450,000.00
Other Project Funding/Financing Total(B) $450,000.00
OILC Loan Amount(A-B) 04.20,,200 00
Only include long-term borrowing in this section.If you anticipate that you will require short-term financing during the construction phase of the
project,the information will be gathered as part of the Financing Agreement.
Required Date Amount Term Type
. 5 Serial
Long-term Borrowing Total
Debt and Re-payments Summary
Has there been any new/undisclosed debt acquired since last FIR was r Yes r No
submitted?
Please describe any re-financing plans for any existing"interest only"
debt,if applicable.
Non Re-payments of Loans or Debenture
In the last 10 years,has the borrower ever failed to make a loan payment or debenture repayment on time to any lender,including the Provincial
Government?
If yes,please provide details.
OILC Loan Repayment Information
Please indicate the source(s)of revenue you plan to use to repay the OILC Loan
Taxation
User Fees
Service Charges
Development Charges
Connection Fees
Repayment Subsidies
Other
Total -. - -
Documentation and Acknowledgements
Please ensure all required documents are submitted with the signed application.OILC requires originals as noted below to be mailed or couriered.Also,please retain a
copy of all documents submitted to OILC for your records.
To obtain templates for documents see listed below.
• Loan Application Signature Page signed and dated by the appropriate individual(original to be submitted)
• Certificate and sealed copy of OILC template By-Law authorizing project borrowing and applying for a loan(original with seal)
• Certificate of Treasurer Regarding Litigation using the OILC template(original,signed&sealed)
• Updated Certified Annual Repayment Limit Calculation(original)
p, I acknowledge and agree that all of the above referenced documents must be submitted in the form required by OILC and understand that the application will not be
processed until such documents have been fully completed and received by Infrastructure Ontario.
Please note:OILC retains the right to request and review any additional information or documents at its discretion.
Confidential Information
OILC is an institution to which the Freedom of Information and Protection of Privacy Act(Ontario)applies.Information and supporting documents submitted by the
Borrower to process the loan application will be kept secure and confidential,subject to any applicable laws or rules of a court or tribunal having jurisdiction.
Infrastructure Ontario:Copyright Cw Queen's Printer for Ontario,2019