PAGE TWO OF SCHEDULE "A" TO BYLAW NO. 2351

CONDITIONS

Interest will be calculated at the end of each month and credited to the
taxpayers tax account.

Interest will be calculated based on the prime rate of the Canadian Imperial
Bank of Canada less 2.5% as of the last day of each month.

Payments will be processed and collected on the 15th day of each calendar
month commencing in July of the year preceding the tax due date and ending in
June of the year in which the taxes become due.

During May of each year a statement will be included on the tax bill giving
the balance in the account plus interest and the amount payable to fully pay
the year's taxes. This amount will be due on the day taxes are due and will
be calculated on the basis that the May 15th and June 15th payments will be
met.

This agreement is valid until terminated by either party in writing. ‘The
amount of deductions taken by the City may vary in subsequent years. The
amount will be agreed by mutual consent of both parties in a statement tailed
in May of each year to each participant showing the monthly payment suggested
for the next year.

Any payments will be applied firstly to any arrears or delinguent taxes.

The taxpayer may, in writing,cancel this arrangement at any time but there
will be no refund of any payments made prior to the cancellation and the City
will continue to pay interest on any amounts paid.

Monthly payments are based on an estimate only and are not a warranty Or
guarantee of the amount of taxes and utility payments which may be levied.

Plat rate water and/or sewer billings will be paid out of your tax account on
their due date.

THE HOMEOWNER GRANT MUST BE CLAIMED AFTER RECEIPT OF THE TAX NOTICE AND

Dee a eee ate penamiaeel

PARTICIPATION IN THE TAX PREPAYMENT PLAN IS NOT A SUBSTITUTE FOR CLAIMING ‘THE
GRANT.

Under paragraph 14 of Revenue Canada Interpretation Bulletin [T-396R of May
29, 1984, the interest earned and applied to taxes is considered aS a
reduction of the amount payable, and is not ineome for income tax purposes.