MOUNTAIN VIEW COUNTY – Mountain View County councillors have approved a short-term borrowing bylaw that would allow the county to borrow up to $5 million if needed.
The move came by way of motion during the recent regularly scheduled council meeting.
“At the August 14 regular council meeting, council approved bylaw No. 12/19 Short Term Borrowing,” said Robert Beaupertuis, director of corporate services. “By passing this bylaw this allows administration to obtain a line of credit from Mountain View Financial to cover fluctuations in cash flow should the need arise.
“One of the conditions of the bylaw was that it would be rescinded at year’s end and a new short-term borrowing bylaw would need to be approved by council for the upcoming year.”
The bylaw allows for a temporary loan on a revolving basis to a total maximum at any one time of $5 million for the year 2020.
The bylaw states that the total taxes levied or caused to be levied for the year 2020 by Mountain View County for all purposes is estimated to be $44 million (including all requisitions).
“Council of Mountain View County deems it necessary to borrow the sum of $5 million to finance operating expenditures in 2020 until such time as the taxes levied can be collected which shall not exceed one year from the time of borrowing,” the bylaw states.
Asked by Coun. Greg Harris whether the county has had occasion to use funds, Beaupertuis replied, “Besides some bank fees I’m working on right now for 17 dollars, no. The line of credit is going to be $5 million maximum.”
Coun. Dwayne Fulton was not in attendance for the vote.