Title
Bylaw 2026-02 Entwistle Reservoir Infrastructure Borrowing (Amending Bylaw 2023-12-Entwistle Reservoir Infrastructure Borrowing)
Proposed Motion
That Bylaw 2026-02 receive first reading.
Body
Administration Recommendation
Administration supports the proposed motion.
Purpose
To comply with Sections 191, 251 and 258 of the Municipal Government Act that require Council to pass a bylaw to amend a bylaw to facilitate long-term borrowing of funds.
The Province of Alberta has requested that the Bylaw 2023-12 Section 7 be amended to read:
INTEREST, TERM AND REPAYMENT SOURCE
(1) The sources of money used to pay the principal and interest owing under the borrowing will be utility rates, municipal taxes and/or restricted surplus funds, and Parkland County shall, as
applicable, impose, collect and maintain such revenues, taxes and funds that are collectively sufficient to make payments of the principal and interest owing under the borrowing in each year.
Summary
The Entwistle Water Reservoir and Pumphouse project was initiated because the existing water treatment plant and reservoir is nearing the end of it’s lifecycle coupled with the fact that the new West Inter Lake District (WILD) regional waterline is now supplying potable water to Entwistle. Design and land acquisition were initiated in 2022, and continued to 2023, with construction started in 2024, and is expected to continue into 2026.
The cost of the infrastructure is not to exceed $10,200,000 and will be accommodated by debt borrowing. The anticipated interest rate is to be determined but is not to exceed 10 percent over a 30 year term, as outlined in Bylaw 2023-12.
The repayment of the indebtedness for infrastructure, plus any interest expenses, is to be funded by the utility rates, municipal taxes and/or restricted surplus funds.
Administration will use an authorized financial institution or the Province of Alberta to facilitate the debt needs.
Bylaw 2026-02, if approved, will fulfill the terms and conditions represented within the Municipal Government Act for long-term borrowing.
Strategic Plan/Policy/Legal/Staff Implications
Bylaw 2026-02 meets the eligibility requirements of the Municipal Government Act - Section 258
Financial Impact:
Cost: No change
Source of Funding: Debt