Title
Bylaw 2026-05 - Revolving Credit Facility (Amending Bylaw 2023-14)
Proposed Motions
1. That Bylaw 2026-05 receive first reading.
2. That Bylaw 2026-05 receive second reading.
3. That Bylaw 2026-05 be presented at this meeting for third reading.
4. That Bylaw 2026-05 receive third and final reading.
Body
Administration Recommendations
Administration supports the proposed motions.
Purpose
To comply with Sections 191, 251, and 258 of the Municipal Government Act that require Council to pass a bylaw to facilitate the short-term borrowing of funds.
Summary
To provide short-term financial flexibility to the County through the continued use of revolving lines of credit.
Presently, the County maintains the following:
-$15,000,000 line of credit linked to its operating bank account which serves as overdraft protection; and
-$20,000,000 line of credit to fund capital projects during the constructions phase.
The total value of the all lines of credit is not to exceed $35,000,000 and any outstanding amount owing will carry an interest rate per annum not to exceed prime rate less one-half percent.
The repayment terms pertaining to the lines of credit satisfy the criteria for a short-term borrowing as defined in Section 256 and 257 of the Municipal Government Act.
Bylaw 2026-05, if approved, will fulfill the terms and conditions represented within the Municipal Government Act for short-term borrowing.
Historical Information:
Previously Bylaw 2023-14 Revolving line of credit.
The County maintains
-$15,000,000 line of credit linked to its operating bank account which serves as overdraft protection; and
-$16,500,000 line of credit to fund capital projects during the constructions phase.
The total value of the all lines of credit is not to exceed $31,500,000
Strategic Plan/Policy/Legal/Staff Implications:
Bylaw 2026-05 meets the eligibility requirements of the Municipal Government Act - Section 256 and 257.
Financial Impact:
Cost:
Source of Funding:
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