|THE REGIONAL MUNICIPALITY OF PEEL|
|BY-LAW NUMBER 2-2007|
A by-law to authorize the Temporary Borrowing of Monies to meet Current Expenditures pending receipt of Revenues.
WHEREAS Section 407 of the Municipal Act, S.O., 2001, Chapter 25 (hereinafter referred to as "the Act") provides as follows:
Borrowing for current expenditures
407. (1) At any time during a fiscal year, a municipality may authorize temporary borrowing, until the taxes are collected and other revenues are received, of the amount council considers necessary to meet the current expenditures of the municipality for the year, including amounts required in the year for,
(a) sinking and retirement funds;
(b) principal and interest due on any debt of the municipality;
(c) school purposes;
(2) Except with the approval of the Ontario Municipal Board, the total amount borrowed at any one time plus any outstanding amounts of principal borrowed and accrued interest shall not exceed,
(a) from January 1 to September 30 in the year, 50 per cent of the total estimated revenues of the municipality as set out in the budget adopted for the year; and
(b) from October 1 to December 31 in the year, 25 per cent of the total estimated revenues of the municipality as set out in the budget adopted for the year. 2001, c. 25, s. 407 (2).
Pending adoption of budget
(3) Until the budget is adopted in a year, the limits upon borrowing under subsection (2) shall temporarily be calculated using the estimated revenues of the municipality set out in the budget adopted for the previous year. 2001, c. 25, s. 407 (3).
(4) In subsections (2) and (3), estimated revenues do not include revenues derivable or derived from,
(a) any borrowing, including through any issue of debentures;
(b) a surplus, including arrears of taxes, fees or charges; or
(c) a transfer from the capital fund, reserve funds or reserves. 2001, c. 25, s. 407 (4).
AND WHEREAS no estimates have been adopted for 2007 and the estimated revenues adopted for the year 2006, excluding contributions from reserves and any prior year surplus, were $1,189,797,000;
AND WHEREAS the Council of the Regional Corporation has by resolution adopted on the 25th day of January, 2007, authorized the enactment of a by-law to authorize the temporary borrowing of monies to meet the current expenditures pending receipt of revenues;
NOW THEREFORE, the Council of the Regional Corporation enacts as follows:
READ THREE TIMES AND PASSED IN OPEN COUNCIL this 25th day of January, 2007.