HomeMy WebLinkAboutTR-51-85 Report #2
CORPORATION OF THE TOWN OF NEWCASTLE
q 40 TEMPERANCE STREET
BOWMANVILLE, ONTARIO
L1C3A6 TELEPHONE 623-3379
File
REPORT TO THE SPECIAL COUNCIL MEETING HELD AUGUST 23 1985
TR-.51-85
SUBJECT: REQUEST FOR DEBENTURE ISSUE ON BEHALF OF
NEWCASTLE HYDRO ELECTRIC COMMISSION
RECOMMENDATIONS:
It is respectfully recommended:
1 . That Council receive Treasurer's report TR-85-51 ;
2. That the following resolution be approved:
WHEREAS Ontario Municipal Board Approval #E850085 has been
received for the issuance of a Debenture for the construction
of a new centre of operation for the Newcastle Hydro
Electric Commission:
THEREFORE be it resolved that the Town of Newcastle
request the Region of Durham to issue $300,000.00 in
Debentures for a Ten ( 10) year term on behalf of the
Newcastle Hydro Electric Commission; and
That the funds for repayment of said Debentures be
provided from utility rates of the Newcastle Hydro Electric
Commission;
3. That the Region of Durham be provided with certified copies
of the Town of Newcastle's resolution and the Newcastle
Hydro Electric Commission's resolution; and
4. That the Region of Durham be requested to proceed with the issue
at the earliest opportunity.
BACKGROUND AND COMMENT:
Since all matters are now in place and the construction of a new centre
of operation for the Newcastle Hydro Electric Commission is proceeding
TR- 51-85 2.
the formal request for the issuance of debentures must be made to
the Region of Durham. The Town has received the request from the
Newcastle Hydro Electric Commission (attached).
Respectfully submitted,
4 b
KAC:nof KatIA., Campbell , B. Comm.
Tre
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Newcastle Hydro Electric Commission
19 King Street West
Bowmanville,Ontario
L1 C 1 R2
H.Partner,Chairman
R.L.Stevens,Vice-Chairman
W.M.Morrison,Member M.J.Watson-Manager
I.A.Hamilton,Member Telephone(416)623-4451-2
G.B.Rickard,Mayor or 987-4073
July 31, 1985
Corporation of the Town of Newcastle,
40 Temperance Street,
BOWMANVILLE, Ontario.
L 1C 3A6
Attn: Mrs. Katherine Campbell, C.A. , B. Comm. ,
Treasurer
Dear Katherine:
As a follow up to our conversation relating to the
Resolution from this Commission dealing with the issuance
of the $300,000.00 Debenture, we have attached herewith,
a certified copy of the Resolution duly executed and
because the contract has been awarded for the construction
of the building, we would appreciate whatever action deemed
necessary to get this aspect of the funding underway.
Yours very truly,
I
MJW/mjh M. J. Watson,
Manager,
NHEC.
1985
MOVED BY:
SECONDED BY:
Whereas , Ontario Municipal Board Approval #E850085 has been
received for the issuance of a Debenture for the construction
of a new centre of operation for the Newcastle Hydro Electric
Commission.
Therefore be it resolved that, the Town of Newcastle request the
Region of Durham to issue $300,000.00 in Debentures for a 10
year term on behalf of the Newcastle Hydro Electric Commission.
And that, the funds for repayment of said Debentures be provided
from utility rates.
Chairman
I certify this to be a true Resolution, duly enacted and recorded
in the Minutes of said Commission at a General Meeting held July 30,
1985.
i
Signed:
M ager/Secretary/Treasurer
i
Signed: � 2�y
Man� r/Secretary Treasurer
Q
CORPORATION OF THE TOWN OF NEWCASTLE
TREASURY DEPARTMENT K. CAMPBELL, C.A.,TREASURER
40 TEMPERANCE STREET TEL.(416) 623-3379
BOWMANVILLE, ONTARIO
L 1 C 3A6
Mr. M.J . Watson, Manager July 24, 1985
Newcastle Hydro Electric Commission
19 King Street West
BOWMANVILLE, Ontario
L1C 1R2
Dear Mr. Watson:
Re: Issuance of Debentures
The Commission presently has two debenture issues which have
received Ontario Municipal Board approval being E-850085 in the
amount of $300,000 and E-830107 in the amount of $40,000. When the
Commission wishes these debentures to be issued the following steps
must be taken.
( a) The Town requires a certified copy of the Commission minutes
requesting that the debentures be issued, The resolution should
indicate the amount to be debentured and the term. For your
information, the Regional Staff have indicated that placements for
terms exceeding 10 years are not selling well or quickly in the
marketplace, at this time.
(b) Subsequent to the receipt of a certified copy of the Commission' s
resolution, Town Council will be required to pass a similiar
resolution authorizing the issuing of the debenture on behalf of the
Newcastle Hydro Electric Commission. Certified copies of both
resolutions will be forwarded to the Region.
(c) The matter will be dealt with first by the Regional Finance
Committee and then be referred to Regional Council for approval e
( d) Once approved, the mechanism for the placement to be made will be
put in process at the Region.
see ./2
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Newcastle Hydro Electric Commission
Page Two
July 24, 1985
Staff anticipate that there may be a special meeting of Council
on Friday, August 23rd 1985 to deal with tender openings, etc. This
matter of the debenture issues could be brought forward at that time,
if you wish. Based on that timing, the funds from the issue could be
in the Commission' s hands in late October or early November.
This letter simply is to formally appraise you of the process
to be followed and the approximate timing of events. If you wish
further clarification, please contact my office.
Yours truly
Kathryn Campbell , C.A. , B.Comm. ,
Treasur
Encl :
*gf
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SAMPLE RESOLUTION
Moved:
Seconded:
WHEREAS, Ontario Municipal Board approvals E-850085 and E830107 have
been received for the issuance of debentures for the purchase of land
and construction of an Operation sCentre for the Newcastle Hydro
Electric Commission,
THEREFORE BE IT RESOLVED THAT, the Town of Newcastle request the
Region of Durham to issue $ - - .00 in debentures for a year term
on behalf of the Newcastle Hydro Electric Commission,
AND THAT, the funds for the repayment of such debentures be provided
from the utility rates,