Loan Limit Regulation

Loan Limit Regulation, M.R. 52/97 The Municipal Act , C.C.S.M. c. M225 Regulation 52/97 Registered March 4, 1997 bilingual version (HTML) Maximum amount a municipality may lend 1 For the purpose of clause 180(1)⁠(d) of The Municipal Act and subject to section 2, a municipality may lend money only if in the year the loan is made, the amount to be loaned plus the unpaid principal of all the municipality's existing loans does not exceed 30% of the amount that the municipality estimates in its current budget will be raised in tax revenue provided for in clauses 164(2)⁠(b), and (c), of the Act, excluding the amount of tax requisitions for education. Approval needed to exceed debt limit 2 No municipality may lend money if the council has reason to believe that the loan will cause the municipality to exceed its debt limit unless The Municipal Board gives its prior written approval. Definition of debt limit 3 A municipality may apply to The Municipal Board for (a) definition or clarification of its debt limit; or (b) approval of a loan that it proposes to make. February 25, 1997 Minister of Rural Development/ 25 février 1997 Le ministre du Développement rural, Len Derkach