HomeMy WebLinkAboutTR 17/98,. ,, ,
;s�
I�I
. .. . �� OR � . . . �� . . . .. . .
�
REPORT TO COUNCIL
FROM: Gillis A. Paterson DA7'E: May 13, 1998
Director of Fimu�ce
REPORT NUMBER: TR 17/98
SUBJECf: 1998 Temporery Bo�rowing ByInw
RECOMMENDATION:
Tfint Report H7R 17/98 be received; and
Thnt the tempomry borrowing limit to mcet I998 current and capitel expenditures, pending reccipt of
texes and other revenucs be increased to 530,000,000; and
71iet thc necessary Dy-law ame�ing by-law 5I63/97 bc approved by Council; and
That the appropriatc Town of Pickering ofTcials be auttwr'v.cd to tnke the necessary nctions to give ef%ct
thereto.
ORIGIN: Dircctor of Finunce
AiTfHORITY: Municipal Act, RS.O. 1990, ag emended.
FINAA;�IAL 1MPLICATIONS:
f: u ditticult to estimatc interest costs av it is urcertain how much finuncing may bc tequired and for how
long. However, lnvestment Incomc in the Town's 1998 budget will be repinced by 5900 per day until the
fuml levies ere rcceived. A more complete estimute will be provided at e Inter date in the 1998 Dudgct.
EXECU7'[VE SUMMARY: n/a
BACKGROUND:
On December 3, 1997, Report Number TR 18/97 regerding the 1998 Temporary Bortowing By-law, was
forwerded to Council for U�eir consideration and epproval. (copy attached) This repo�l requested a
bortowing limit of SI5,000,000 t� meet 1998 currcnt and capital expenditures pending receipt of texes
and other revenues of the Town. '
Since thc etl'ects of Provincinl downloading ore still unknown, we are requesting an emerdment to By
Luw 5163/97 to increasc the bocrowing limit &om S15,000,000 to S30,000,000. Furihemnre, the
Region's interim Ievy wes increazed by Regional Council to 82 per cent, from 50 per cent of thc 1997
kvy as is pennitted under recent Pro•rinciel RegulaUoa Unfortunetcly, tl�e Provincc did not sce St to
extrnd the sazna provis(on to lowcr tiet municipaliUes, which is bcing argued by thc Munkipal Fina�wc
OtBcers Associntion of Onterlo emo others In t6fs re ard a resolutio ved the Co il f
, nB • B� n eppro by unc o
u� Municipaliry of Clarington is attec}�ed for your infortneUon.
}
�` ,��i� R�port to Council TR 17/98 , May 6,1996
;. Su6Jcet: 1998 Temporary Bo�rowing Bylaw Page 2
Moreovef, tlure is still greet unceAainty regarding the tinting of rovenues &om the Town's final levy. (n
the interim, short term finencing may be required. We are fwiding the Town'e expendhures with intemal
funds but the increau in the Regton's interim levy on the Town of some 56,7 million or 126 per cent will
result in a loss of investmcnt income to the Town of approximetely 5900 per day wtil the 6nal kvics are
received. Similer situatiore aPPly in ali ttu area municipelities in upper tter (Region) areas in Ontario,
The requested 530,000,000 should be sut}icient to meet ihe current expenditures of the Municipality until
the levies for 1998 ere received.
Once again, bortowing for espital purposes can only be undeAnken on projects approved by Council and
will only be undertaken in the event tlwt sufficient funds are not available at the time they are required.
/:� MYI�1:iu i:�;�I�y�
1. Temporary Borrowing By-luw,
2. Report Number TR 18/97.
3. Letter dated May 1, 1998 &om the Municipntity of Cinrington.
Prepared By: Approved / Endarscd By:
I(� ���L
.�H.�.. �C�nnmA_
Debbie Kearns ''dillis A. Paterson
Dircctor of Finnncc
GAP/dk
Attechments
Copy: General Meneger
�
, t , . _ _. .
, �`
2l3.
THE CQRPORATION OF TH� TOWN OF PICKBRINa
BY•LAW N0.
Doing a byInw to amencl Dy-law 5163/97 to authorizc
the tcmpornry bortowing of moneys to meet thc curtent
expendilures of The Town of Pickering for the year 1996.
0
WI�REAS Iiy-inw 5163/97, ennctcd by the Council of thc Co�pamtion of Ihe Town of Pickcring
on Dccemlxr 15th, 1997, uuthoriud thc tcmpornry boROwing of moneys to meet thc current
expenditures of Thc Town of Pickering for Ihc ywr 1998; and
WHEREAS the temporury borrowing limit approved was S I5,000,000; and
WHEREAS it is decmed expeJient to nmend Dylnw 5163/97 to increase the tempornry
bortow ing limit to 530,000,000;
NOW THGItGfORE TfiG COUNCIL OF TI1E CORPORATION 0� TIIG TOWN OP
PICKERiNG HEREBY ENACTS AS POLLOWS:
I. Thal IIy-law 5163/97 bc nmendcd by incrcasing thc tcmpornry borrowing limit Gom
515,000,000 to 530,000,000.
BY-LAW rcnd a fust, sccond nnd third timc nnJ finally p.�ssed this I st day of lunc,1998.
Wnyne Arthurs, Mayor
Bruce Taylor, Cicrk
� �:? + �
� r 1
�' � :
r w� � } i . - . .
C,�r: �h��a E � �._1� �. rr t+ . f . . .
`. t 2 � .. s . ,
4f � t � �
� �i't��� � �r4' � f i, 7 � x ..�_ � � . .
'�'�`r9��'tr)��,..��F� T x . _ . .
'N.�� q}' 7 � }L' i . ._ . .
����� � +� �,. 15 5 .h � f [ . . .
,�,�! �z0ti� �� � �I� '� �� r { `` y ^ . .
� ;'y �r - �' �: i x � <.. . .
�'"-r�i-`�x�-.�,cQz�r .
„7�1�w`Jis rk;rl�!t,? c ? r ,...i
,'. '
-��4' .. . . . . . . .
� �f L4 . '.
� . a
�� ��'� �'
�
�
REPORT TO COUNCIL
FRO�d: Giilis A. Palerson DATE: December 3,1987
Olrector of Flnance
REPORTNUMBER: TR18l87
SUBJECT: 1998 Temparary Bortowfng By-Lew
RECOMMENDATION:
II ts recommended thaL•
1) the lamporary boROw(ng limil lo ment 1898 current and capilal
expenditures, pendfng receipt of laxes and olher ravonues ba established
u1515,000,000;
� 2) Iho necessary Bill (bylaw altached) bo presenled lo Council; and
3) the uppropriale Town of Plckeflng o(ficlals be aulhorized to take lho
necessary nclfons lo givo effoct therelo.
AUTHORITY: Munfelpal Acl R.S.O. 1fl90, as amended.
FINANCIAL IMPLICATIONS:
. . Al lhis Iime, ft is ditficull lo estlmaln interest wsla as it (s uncertain how
much financing may bo required and for how long. M eslimale will be
provided al a later daio in Ihe 1998 Budgol. Intaresl cosls of E5,000 -
were (ncluded In Ihe 1997 Operating Budget for Iho Tcwn: Cosls of any
borrowing (or capital purposes will ba charged lo lho proJoct.
BACKGROUND:
. The borrowing ot funds for currenl nnd capilal purpases may bacome
necessary dudng Ihe normal courso of operalions dutlng 1998. Under tho
provisions of Seclian 187 of lhe Municipal Act, R.S.0,1990, (lhe AcQ, Ihe
Council of Ihe Ta,vn of Pickering may pass o by-law aulhodztng lemporary
bortowtngs by Ihe Mayor and lhe Treasurer lo moet current expendifures
�� pending recelpl of laxes and olher revenues of Ihe Town. The
Corporalion may also undedake temporary bonowfngs, under Individual
proJect approvais, for capilal projeds pendfng finandng, includfng lhe �
Issuance of debenlures by lhe Regfon. •
�._
C '',+
�
i°� �'�� t �
s
�� y�„
���„°
�'"�~ ,
�,'� t ' �
t 3
���"���
���� iP�'�i � 1 {��• . . .
� Exxs�r � � yY
'`�''� �.�!. ¢ A./.�'. � s . . , - ; . . ' . � .
:u._ � � ' � . . �
. z ^`:
�
,�' � • II.g
� � �
.Z':
' ��, � . , `' Decem6er 3,1987 .
= Repod lo Council �1TR 18IA7
' Diacue�lon•
The amaunt of euch temporary borrowinp ouWlandfnp al eny one Ome la
generaliy I(miled by lho Acl, unless olherwise epproved by ihe Ontado
Muntcipai Board, to 50 per conl ot Ihe ealimaled ennual revenuos from
January 7 lo Seplember 30 and l0 25 per cenl lhareaRer.
Unlil lhe curranl yoar's estlmates are adopled, Iho Iimltalion may be
calcutaled upon lho revenuea eel forlh In tho eepmales adopled for lho
next preceding year. Based upon Ihe 1�87 estfmales of Ihe Corporalion,
: the allowable Ievai of lemporary borrowings aulstnndfng, undor lepislallon,
is estimaled al 535,000,000 from January 1 Io Seplember 30 and
E6,000,000 �horeaRer.
� � Whilo Iha amounl appro•�od 6y Cauncil In 1897 tor all purposes was set at
53,000,000, a highar omount is being roquesled for 1998. Since lhe dala
of Ihe mle�so of infarmalton by Ihe Provinw (n regards lo downloading
and Iho Onlado Foir Assessmenl Syslem (s unknown al Ihfs t(me, os are
Iho financial effects upon the Town nnd Ils inhabilenls, il is tell prudant lo
• request o higher amounl. Il Is hoped Ihal this amount will provida more
. Ihan a sulficient luvcl for lemporary borrowings in lho ovent fund inllows
C aro unliku pravious ycars. Il shoulJ also ba sufficient lo cover any
emorgency finoncfng required lo mool lho ongofng exponditures of Ihe
Corporalion.
. ��
�
Uorrow(ng for capilal purposos can only 6o underlakan on proJecls
approved by Council and will only bo undorlaken tn Ihe evonl Ihat
suffictnnl funds aro not availablo at tho limo Ihoy arn requlrod.
A17ACHMENTS: 8yLaw No.
� �
/1�� �!—
.\
'�
� • GAP/rtxl . , _ `�`
AlL• , •
• Copy: Goneral'Manager .
�`
F: �'� �
t � � 1
� : r+ r :
r �k t
s t.< < { , a �
,,s� h i 4 s �.
,
�.s'`i' .f(s!i: I � , �.,; � � r
+�� #: . � r. t �.�:� . .
� i'.'.:
}._
�it& :
THe co�eor�noN oF
� THE TOWN OF PICKERINO
DY•LAW N0. 5� l b 3I9 ?
To iuthoriu �he temporary bortowing of moneyi to mmt U�e wrtent
expenditurca of The Town of P(ckering for Ihe ycar 1998. ,
WNEREAS Ihe Municipal Act provides Ilwl Ihe Council o( The Town of'Pickedng moy by bydaw
aulhoriu Ihe Moyor and Treasuret of the Munictpaliry to bortow Gom Ume lo time by way of
promluory nole such sum� u thc Council may deem necasary lo meet, until the tnxu for d�e wcrent
, yeat are rcceived, the current expenditura oC Ihe Mwiclpality far 1he year, induding Ihe umounu
«quired for principal and inlernt falling due wilhin Ihe yeac upon any debl of Ihe Municipaliry, and �he
sums rcquired by Inw to be provided by Ihc Council for any local boud of thc Municipaliry, anJ
WFIEREAS il is deemed nccessary by Ihe s�id Council lo borrow �he eum of Filtecn Million Dallart
(SI5,000,000.00) lo meet, unlil the laxu for Ihc curtent yeu ere reuived, l�e eurtcnl expenditura of Ihe
Municipalily for Ihe year 1998 including Il�e amowris and sums nforuald; and
WHEREAS Ihe said sum o(Fitteen Million Dollars (SI5,000,000.00) plus any similar bortowings �hal
have not been rcpaid, i� less than 25 per unl of �he IoWI amounl of the estimated revenuu o( the
Munic(pvlity u set forth In Ihe atlmatu edopted by the said Council for the yeu 1997 exclusive of
revenua derivable Gom Ihe sale o[ auets, bortowings or issuu af debenturc� or from a surplus
including amus of levies and praecds from sale of msa�:
Now, lherefore, lhe Council o[The Town of Pickcring I ICRGQY GNAC'fS u fallows:
� I. '(he Mayor and Treiturer o[ Thc Town of Pickering bc end Ihey ore hercby aulhoriud lo
bartaw Gom �ime ta time by w�y af promissory nole a aum or sums not exceeding in nll Ihe sum of
Fiflecn Million Oollon (SIS,000,000.00) lo meel, unlil the Ieviu for thc yeu 1996 am « ceived, Ihe
. cuttenl expeiufilwa of Ihe Municipali�y far such year, including �he omauntt requfred for principal md
inicreat fnllfng Jue wi�hin the ycar upon eny Jebi of dic hfunicipaliiy, md dm sum� tcquired by low lo
be provided by �he Council for «sion�l ond school purposa ond for ony local boud of Ihc htunicipality,
2. Any promissory nolc maJe under the omhoriry of seclion 1 t�crcaf shall bc scalcd ond signed
In nccordance w(th the provi�ion of Ihe Municfpal Acl md may be cauntcrsigned In wriling by !he
Dcputy Treuurcr of Ihe Corpor�tfan (n accordance wiih �he provisions otlhe said AcL
ENACTED AND PASSED Ihis 20th Jay o(�cecmber, A.D.1997,
WAYNE ARTHURS DRUCETAYLOR
Mayor Clerk
� ,
t
J; '
d 1; r ts
H,�..';'m . . .
?
�r � j° � i
3 �a:. rt � � . .
l���� � . . ..
� �
� � r t � a - t
����$ � �� � ° 1 1 �° � �� 1
x
�����"y°`�'s —i14i �`F �4 1 ''� � , �' t
Yhk`�i. }�'� ..t:...,i .t. .�.i . . . t, .> . _ . . , . . . . .. . .. . . .
rr+�i:i� .��''+,.�t'� �y �:�: r � ..
�s � � � t� {�i r .`�u •
ri 44tt'� t f ', ... � �,� -� � ., �
1': C
a _ , ti �s`�', �y' ;;' � "�,�,��z,� ,',,,��; RSPORTTO COUNCIL TR 18/�7, ix +� ' '`�
.��4 t+t :�1 rS tt�x�` � .;_= ....:� �/�: .4..:'" � 1
.��
`,' ; �: ; .. � 1948 TEMPOFtARY;DORROWINO 9X LAW,
8nsis of lnformotion
Estimaled Revenues based on 1997 Texation (594,074,319)
Ionunry to Scptcmbcr (594,074,319 x 75%) x 50%
Therealter (594,074,319 x 23%) x 25%
�
`
(, '
"` � ; i
} ;;.
_ .
,� , �i
z
t y
� ' � 5� 1 i r'�jtt 7 �,if � f
it �� � � � t'� � t � � r �'
i�r r' � �
1 A .� i � � �II
t�_ ` . 4 }�.; i.,� �
$, : I 1 S .�
� t
5 �' 1 1 i�. 4] t l �_ yt. r
�ki��ri �_ � � ��j � -:.5tf � rff +jt;" x � �
k .? t
.�/R't � ' { �i{ t•K y �t, l� � S i.. � k � t t7 pr4 : ��� � �U 5 � �.� k
S:MWS i . . �w�:dx.�%., t... :, .'Lt . .. . . . :, i ... ^^.t i ..- . . . , . . ,f_ �.� i . . . d > ., . . , .,. .. . ..
:.*
Municirnurr �F
. �.
lI8 _�j/aringlon
� ONiNtlO ..
May 1,1998
Ms. Cnt Madill erk
Regiannl icipnlity of Durham
605 Ro and Road East
Whi Ontario, '�
L 6A3
Dear Ms. Madill:
� ��
RE og �VED
h1AY 0 G IJ98
CLERkS�EPARTMENT
RE: REGIONAL AND SCHOOL BOARD LEVIES — OUR FILE: FOS.BU
RECEIVED
TOWN OF pICKERING
MAY 0 61gg@
TREASURY
At a mecting hcld on Aflril 27, 1998, thc Council of U�c Muni:ipaliry of Clnrington passcd thc
following resolution:
"WFIEREAS lhc Municipaliry af Clnringtan is concemcd with its abiliry to sct qic 1998
budget, and collect sumcicnt tax revenucs in time to pay the Region of Durham and
School Board Icvics;
WIiEREAS lhc Provincc of Onmrio has dclaycd thc delivcry of ihc asscssmcnt roll, on
whict� all municipal Lucs arc calculntcd, until biny 29, 1998;
1VilEREAS lhe Province of Ontnrio has crcated significant changcs to the asscssment
system in thc provisian of options whieh will rcquiro consideroblc time for municipnlitics
to considcr and which will gcncrate computcr syslcros changcs to bc programmcd bcforc
tax bills enn be mailed;
WHEREAS thc Province ofOntnrio hu permitted the UpperTicr Municipa�ilics to
increasc thcir inlcrim Icvics by up to I OA% (Durhnm Q 82°/a ) of ihc priar ycar's tnx
Icvy;
WHEREAS Ihc Provincc of Ontario rcquircs that thc Upper Ticr Icvy bc paid on rcqucst;
WHE[tEAS thc Province of Ontario rcquircs t6at ihe School Doard instnllments bc paid
byJunc30,1998;and
WHEREAS thc Lowcr Ticr Municipalitics will not bo financially ablc to continuc witli
normal opcm�ions, pay qic School Doards or Ihc Upper Ticr Icvics wilhout significant
borcowing costs;
NOW THE[tE�ORE BE IT RGSOLVGD TI1AT, in ordcr to permit municipalitics lo pass
their 1998 operating budgcts, the Province of Ontario bc rcqucstcd lo pass Icgislation
FORTFiWITH to pertnit thc following:
COHPOHATION OF THE MUNICIPAUTY OF CLARIN6TON �
IOiEM�tRAMC[bTR([T.�OWYANVIII[.OMI�RIO.l1C1�1•110311l7.77/1.t�X117•1111 ��erauru�•
{� �. ,5� . . ..
' i
�g � � �
� 1 _7.i .Y � �. ��� ��'.�( , .. ..
v.� ` , " �;:
d� � � -��
,, �. ` �Yg
� Ms P, Madill • 2- Muy I,1998
''; (I) TNAT LowcrTicr Municipalilice bu perm(ttcd to (ssuo a sccond (ntcrim ta�c bill for
� upfoJ00%oFQiopdarycar'staxesforallpurpoua;
(2) THAT tho Provinca dolay Aio ltaukr dnlo of dio sccond Sdiool Board installmcnt
from Juna 30 to August 71,1998; and "
`(3) THAT the Provinca fund thc wst of bortowing incurrcd by any municipality in
ordcr to pay Uie 1998 Icvy ro Uio Upper Ticr, or Um Schoal Douds .
TFIAT lhc Regional Municipality o( Durham end its orca municip�lides and �u GTA
Mnyors and Regionnl Chairs, bc rcquatcd to enJorso tho abova rcwlutian;
THAT 1�c MPPs within Ihe Region of Dudiam be notificd oFtlio nbove rcsolution; nnd
TEIAT thc Municipal Financc Officer's Associution (M.F.O.A.), thc Associalion of
Municipal Clcrks end Trcasurers (A.M.C.T.O.), and tl�c Assucinlian af Municipalilies of
Ontnrio (A.M.O.), bo providcd a capy of tlic abavc rcsolution nnd requestcd to fonvard it
ro their mcmbership for endorsement."
Would you pleasc place this mattcr before your Council for thcir considcration.
You ly,
Pntt� � .M.C,T.
cc: M, dc Rond, Clerk, Town oFAjax
0. S. Gmham, Clcrk•Adminislrator, Township of IIrock
D, Sutcr, Clerk, Ciry of Oshawa
II, Taylor, Clcrk, Town of Pickcring ��
E. S. Cuddie, Clcrk-Administrator, Tawnship of Scugog
W. E. Tnylor, Clcrk, Township of Uxbridgc
D. d. McKay, Clcrk, Town of Whilby
7ohn O'Toolc, MPP, Durham East
Jerry Oullcttc, MPP, Oshnwa
lim Flnhcrty, MPP, Durham Ccntrc
Janet Ecker, MPP, Durham West
' Julia A1unro, MPP, Durham York
6TA Mnyors & Regional Chairs
Municipa) Finance Offiar's Association
Associalian of Municipal Ckrks and Trcuurers
Association of Municipalitics of Ontario
�""�e. :
w':�.:- .. � .
YR``n
1 Y 3
_ t i'
�
{ i
} ' � i
{ -q j r � l
�j�� RS :
. li�\ . .._ ..