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HomeMy WebLinkAboutBy-law 6706/06 THE CORPORATION OF THE CITY OF PICKERING BY-LAW NO. 6706/06 Being a by-law to approve and authorize the execution of a note amending agreement made as of the 1 st day of October, 2006 in respect of promissory notes dated September 28, 2001 issued by Veridian Corporation and Veridian Connections Inc. in favour of The Corporation of the Town of "Ajax, The Corporation of the City of Belleville, The Corporation of the Municipality of Clarington and The Corporation of the City of Pickering, and to approve the issue of seconded amended and restated promissory notes dated as of the 1 st day of October, 2006. WHEREAS the Electricity Act, 1998 authorized a municipality to make by-laws transferring employees, assets, liabilities, rights and obligations of the municipal corporation and to receive securities as consideration there for and Veridian Corporation ("VC") and Veridian Connections Inc. ("VCI") have issued promissory notes (the "Original Notes") dated September 28, 2001 in favour of The Corporation of the Town of Ajax ("Ajax), The Corporation of the City of Belleville ("Belleville"), The Corporation of the Municipality of Clarington ("Clarington") and The Corporation of the City of Pickering ("Pickering") due on the 31 st day of October, 2006; AND WHEREAS VC and VCI have requested an amendment to the maturity date of the Original Notes; NOW THEREFORE THE COUNCil OF THE CITY OF PICKERING ENACTS AS FOllOWS: 1. THAT Council approves the amendment to the maturity date of the Original Notes to the 1 st day of November, 2009; 2. THAT Council approves and authorizes the note amending agreement (the "Agreement") made as of the 1 st day of October, 2006 amongst Ajax, Belleville, Clarington and Pickering, as the holders of the Original Notes and VC, VCI and Veridian Energy Inc. in the form of the draft agreement presented to Council and attached hereto as Schedule "A"; 3. THAT Council approves the issue of second amended and restated promissory notes (each a "Restated Note") by VC and VCI pursuant to the Agreement. 4. THAT the Mayor and the Clerk are authorized to execute the Agreement; 5. THAT the Clerk is authorized and directed to surrender to VC the Original Note in favour of this Municipality in the principal amount of $7,095,000 and to receive a Restated Note pursuant to the Agreement; 6. THAT the Clerk is authorized and directed to surrender to VCI the Original Note in favour of this Municipality in the principal amount of $17,974,000 and to receive a Restated Note pursuant to the Agreement; 7 . THAT the Clerk is authorized to affix the Corporate Seal of The City of Pickering to the Agreement. BY-LAW read a first, second and third time and finally passed this 3rd day of October, 2006. I ,. Oebi A. Bentley, City Clerk