Local Government Short-Term Capital Borrowing
Municipalities and regional districts can finance small capital undertakings through short-term borrowing without the approval of the electors, for example, for vehicle and equipment acquisitions or small capital upgrades. This borrowing must be repaid within five years from the date of issue.
Short-Term Capital Borrowing Limit
For municipalities, the maximum amount of total short-term capital borrowing is $50 per capita (based on municipal population). The short-term capital borrowing amount is applied to a municipality's liability servicing limit.
For regional districts, the maximum total borrowing is $50,000 plus $2 per capita (based on regional district population), and may only be used for general administration and electoral area administration costs.
Local governments must use the most recent census data for their population when calculating their short-term capital borrowing limit.
Inspector of Municipalities
Short-term capital borrowing bylaws do not require electoral approval. However, prior to adopting the bylaw a local government must receive approval from the Inspector of Municipalities.
Learn what background background and supporting information is necessary for bylaw review and approval: