OC2003-643
2003-06-12
Treasury Board
Local Authority Guarantee Act, 1957
Under authority of The Local Authority Guarantee Act, 1957, the
Lieutenant Governor in Council is pleased to approve the proposal
of the Town of Harbour Breton to borrow from a chartered bank,
or other financial institution, an amount not exceeding $16,408
for the purposes of financing its solid waste management project,
including engineering and related, together with the amount
required to capitalize the Provincial share of the related accrued
interest on the project up to the date of substantial completion
of the project, and for an additional period of six months beyond
that date, if required. The Lieutenant Governor in Council
further approves the following:
1. Pending legislative sanction, the Honourable the Minister of
Finance is authorized to issue such Government guarantees as may
be required for an amount not exceeding $16,408 together with the
amount required to capitalize the Provincial share of the related
accrued interest on the project up to the date of substantial
completion of the project, and for an additional period of six
months beyond that date, if required; and
2. The Newfoundland Municipal Financing Corporation is directed
to advance to the Town of Harbour Breton on a date to be designated
by the Honourable the Minister of Municipal and Provincial Affairs,
an amount not exceeding $16,408 together with the amount required
to capitalize the Provincial share of the related accrued interest
on the project up to the date of substantial completion of the
project, and for an additional period of six months beyond that
date, if required, for the purpose of repaying the loan approved;
the said loan by the Corporation to be repaid by the municipality,
over such a period as may be agreed upon by the Honourable the
Minister of Municipal and Provincial Affairs and the Newfoundland
Municipal Financing Corporation.
The Department of Municipal and Provincial Affairs agrees to pay,
by way of new grants, 100% of the cost of the approved project
amount, together with all the capitalized interest which is the
Provincial share of the related accrued interest on the project
up to the date of substantial completion of the project, and for
an additional period of six months beyond that date if required.
Any interest accruing beyond the six month period on the
Province's share is to be paid from the budget provision of the
relevant annual current account centres of the Department of
Municipal and Provincial Affairs.