PL ee Pa, SKY F Ata RA ae Oe SUEY OMAR Ms 4 Pl ALA Wt BRA NO A ae Bieta ont Pe LEN RUMP UW yb iat RTS Ve Wt MANET TaD Ce nA bit pr eens ree LO see] BUT ies GY Be ici eae wat a th Me ein te eae Uae Th le yn Wel jee ane AMOS RD ALL aR TSI diag ie ga Hen eth a dey d SET BIO t) aN 7 ROSIN TY MT ne LA Bi AERA REMC RRR ARE URL By an } LC eh ma ROHL ea niet SMR eG Ae VP bes AY eye PAROS T AM UTA Mat hee RAN Te hate LL Aiea! Ba eS SUN AaE egret csi MNT Oa why : THE CORPORATION OF THE CITY OF PORT COQUITLAN | | MEMO - f TQ: B. Kirk, DATE: January 30, 1985, FEB i 985 City Administrator, . FROM: J. Maitland, City Treasurer, ; SUBJECT: Servicing South Mary Hill Area, \ Bo, Va, 7 RECOMMENDATION: po That Couneil consider Passing separate loan authorization by-laws dn the “ | total amount of $1,022,000 to provide trunk main servicing to the south i ! Mary Hill area. The specific by-laws will be for $630,000 for waterworks and $392,000 for sanitary sewerage works, ot BACKGROUND AND COMMENTS: . po, - The proposed developer agreements for the south Mary Hill area provide for | | | developers to be repaid by the City for portions of the trunk services to the area. The passing of loan authorization by-law will fulfill the legal ro a requirements on Contracting debts imposed on us by part 6 of the Municipal / : AG Ea... , Gouncil should consider that while our intent is to make repayment out of : . development cost Charges and latécomer charges from future developments we i will be required to levy as much as is required to offset possible shortfalls if development does not occur as planned. The worst scenario I can imagine is: | ~ Genstar proceeds with water line installation and first phase of subdivision. . od os ~ interest rates skyrocket again . : no! ~ no further development takeg place : od ~ City borrows $550,000 (or so) to repay Genstar a | ~ City raises water rateg approximately 8 - 10% to cover debt Yapayment, i ; ‘ | The way this system should work is that Council would give final reading to the a lean authorization by-law prior to signing of the proposed developer agreements. 7 7 We would only proceed with a security issuing by~law if development doas not | . . oe Proceed as planned. a 7 a uo | Maitland. BE ee po JM/ms | pe Nore. Ths a Fal low. oe ee core Cry Craay ; | us