HomeMy WebLinkAboutADMIN 36-81CORPORATION OF THE TOWN OF NEWCASTLE
40 TEMPERANCE STREET
BOWMANVILLE, ONTARIO
LiC3A6 TELEPHONE 623-3379
REPORT TO THE GENERAL PURPOSE AND ADMINISTRATION COMMITTEE
MEETING OF NOVEMBER 23 1981
ADMIN. 36-81
SUBJECT: Industrial Promotion and Development
Reserve Fund
RECOMMENDATION:
It is -respectfully recommended that:
1. This report be received; and
2. That the attached by-law to establish a Reserve
Fund for Industrial Promotion and Development
of Town owned industrial lands be approved; and
3. That the net proceeds from the sale of industrial
lands and the accumulated interest presently
in the Town's accounts be an addition to the
aforementioned fund.
BACKGROUND:
Treasurer's report 89-81 reproduced here in part, was
referred to the C.A.O. for review. A slightly revised
by-law is attached to this report for the consideration
of the Committee.
In response to the concerns of Council and comments made in
the 1981 post -audit letter, we have reviewed the
establishment and use of the present Industrial Promotion
Reserve Fund. In 1975 the Industrial Committee passed
the following resolution:
"That it be recommended to Council that the
Proceeds of sales of Town owned industrial
land be used firstly to retire debenture funds
2 4�)
W) 6
-2 -
ADMIN. 36-81
owing and secondly to be put in a special
fund for Industrial promotion."
This resolution was not subsequently ratified by Council
and therefore staff had no approval to act under its direction.
However, an "Industrial Promotion Reserve Fund" was
established and has been maintained and used since 1975.
The reserve fund has a balance of approximately $400,000
which consists of proceeds from sale of industrial lands and
accumulated interest less any disbursements. Before the
end of 1981 the balance of the cost of the aerial fire
truck will be funded out of these monies.
COMMENTS:
Under Section 125 of the Region of Durham Act, and
the relevant sections of the Municipal Act, as outlined
below, .the Town may promote and sell any industrial
lands acquired before Regional Government.
Although not expressly stated this authority may be
interpreted to include the power to develop (i.e. service
and sell) Town owned industrial property. The Town's
authority does not include the power to purchase, develop
and/or promote new industrial lands. This authority is
expressly the power of the Regional Municipality.
Section 125 - Region of Durham Act
1) The Regional Corporation may make expenditures
for the purpose of diffusing information respecting
the advantages of the regional municipality as an
industrial, business, educational, residential or
vacation centre and may make annual grants for
such purposes.
2) Paragraph 50 of subsection 1 of section 354 and section
395 of The Municipal Act apply 'mutatis mutandis' to
the Regional Corporation and no area municipality shall
exercise any such powers save and except in respect of
those lands acquired or held by a local municipalit
on or befnra i -ho --- Ate„ r -'_---
Section 50 - The Municipal 'Act
For acquiring and expropriating land and selling or leasing
the land for the purpose of sites for the establishment
and carrying on of industries and of industrial operations
..3
ADMIN 36-81 -3- l �>R
and uses incidental thereto.
a) Where land has been acquired under this paragraph,
and any debt is outstanding in respect of the acquisition
of the land, or in respect of any services applied to the
land, other than services supplied under The Local
Improvement Act, all moneys received from the sale or lease
of such land shall be used to retire the debt or shall be
set aside as a fund to provide for the retirement of the
debt unless on the vote of the council the use of such
moneys is directed for another purpose; and when the debt
is retired or the amount in the fund is sufficient to
provide for the complete retirement of the debt, the
balance of such moneys on hand and any such moneys received
thereafter shall be credited to the general funds of the
municipality.
b) Any land acquired under this paragraph may be used
by the municipality for the purposes of the municipality
or may be sold to any local board, as defined in The Municipal
Affairs Act, for the purposes of such board.
c) Where it appears to the council that any land acquired
under this paragraph is no longer required for the purposes
for which it was acquired or for the use of the municipality,
the council may sell or dispose of the whole or any part
of such lands for any purpose. 1976,c.51,s.10, part; 1976,
c.69,s. 10(4).
Section 395 - The Municipal Act
1) The council of a municipality may expend in any year
such sum as it may determine for the purpose of diffusing
information respecting the advantages of the municipality
as an industrial, agricultural, business, educational,
residential or vacation centre.
2) The council of a municipality having a population of
not less than 5,000 may pass by-laws for the establishment
and maintenace of a department of industries and for
appointing a commissioner of industries to bring to the notice
of manufacturers and others the advantages of the municipality
as an industrial, agricultural, business, educational,
residential or vacation centre.
3) Any two or more municipalities may pool their funds and
act jointly for the purposes of this section. 1976, c.51 s.11.
Resp ly submitted,
D. A�. ith, M.C.I.P.
Administrator
THE CORPORATION OF THE TOWN OF NEWCASTLE
BY-LAW No. 81-187
being a by-law to establish a Reserve Fund for the
Promotion and Development of "Industrial Lands"
acquired before December 31, 1973
WHEREAS the Council of the Corporation of the Town of Newcastle
considers it desirable to 'establish a reserve for the purpose of
providing funds for the Promotion and Development of Municipally
owned "Industrial" lands;
AND WHEREAS Section 308 (1) of The Municipal Act, R.S.O. 1970, as -
amended, provides, that "every Municipality and every board,
commission, body or local authority established or exercising any
power or authority with respect to municipal affairs under any
general or special Act in an unorganized township or unsurveyed
territory may in each year provide in the estimates for the
establishment or maintenance of a Reserve Fund for any purpose for
which it has authority to spend funds;
NOW THEREFORE BE IT ENACTED AND IT IS ENACTED AS A BY-LAW OF THE
CORPORATION OF THE TOWN OF NEWCASTLE AS FOLLOWS:
1. That the Treasurer is authorized to establish a
reserve fund entitled Reserve Fund for Industrial
Promotion. _
2. That the Council may by resolution passed by a majority
of members present direct the use of the funds for
specific projects relating to sale, promotion or
development of, industrial lands presently held within
the Town:
3. That Council may by By -Law direct the use of the funds
for any other purpose,.for which it has the authority
to spend monies.
BY-LAW READ a first and second time this 30th day of November 1981
BY-LAW READ a'third and final time this 30th day of November 1981
Garnet B. Rickard
Mayor
David W. Oakes
Clerk