TOWN OF BOWDEN
PROVINCE OF ALBERTA
BYLAW 05/2003

BEING A BYLAW OF THE TOWN OF BOWDEN TO INCUR AN IDEBTNESS BY THE ISSUANCE
ISSUANCE OF DEBENTURES (THE "DEBENTURES") TO THE ALBERTA MUNICIPAL FINANCING
CORPORATION FOR THE PURPOSE OF THE 19TH AVENUE WATER, SEWER & PAVEMENT PROJECT

WHEREAS, The Council of the Town of Bowden has decided to issue a Bylaw pursuant to Section 257 of the Municipal Government Act to authorize the financing, undertaking and completing of the 19th Avenue Water, Sewer & Pavement project.

Tagish Engineering has made plans, specifications and estimates for the project and confirms the total cost of the said project is $334,109.

The Council of the Town of Bowden has estimated the following grants and contributions will be received or applied to the project.

In order to construct and complete the said project, it will be necessary for the Town to borrow the sum of $ 145,530 (the "indebtedness") on the terms and conditions referred to in this Bylaw.

The Town will repay the indebtedness over a period of Five (5) years in annual instalments, with interest not exceeding Six per cent (6.00%), or the interest rate fixed from time to time by the Alberta Municipal Financing Corporation, per annum, payable annually.

The amount of the existing debenture debt of the Town at June 9, 2003 is $69,395.29, no part of which is in arrears.

The estimated lifetime of the project is 30 years.

All required approvals for the project have been obtained and the project is in compliance with all acts and regulations of the Province of Alberta.

NOW THEREFORE, the Council of the Town of Bowden, duly assembled, enacts as follows:

1. That for the purpose of the 19th Avenue Water, Sewer & Pavement Project the sum of ONE HUNDRED AND FORTY-FIVE THOUSAND FIVE HUNDRED AND THIRTY DOLLARS ($145,530.00) be borrowed from AMFC by way of debenture on the credit and security of the Municipality at large, of which amount the sum of $145,530.00 is to be paid by the Town at large.
2. The debentures to be issued under this Bylaw shall not exceed the sum of ONE HUNDRED AND FORTY-FIVE THOUSAND FIVE HUNDRED AND THIRTY DOLLARS ($145,530.00), and may be in any denomination not exceeding the amount authorized by this by-law and shall be dated having regard to the date of the borrowing.
3. The debentures shall bear interest during the currency of the debentures, at a rate not exceeding Six per cent (6.00%), or the interest rate fixed from time to time by the Alberta Municipal Financing Corporation, per annum, payable annually.
4. The debentures shall be issued in such manner that the principal and interest will be combined and be made payable in, as nearly as possible, equal annual instalments over a period of FIVE (5 ) years, in accordance with the schedule attached and forming a part of each debenture.
5. The debentures shall be payable in lawful money of Canada at ATB FINANCIAL in the Town of Olds or at such other bank or financial institution as the Council of the Municipality may authorize as its banking agency during the currency of the debenture.
6. The Chief Elected Official and Chief Administrative Officer of the Town of Bowden shall authorize such bank or financial institution to make payments to the holder of the debentures, on such date and in such amounts as specified in the repayment schedule forming part of each debenture.
7. The debentures shall be signed by the Chief Elected Official and the Chief Administrative Officer of the Town of Bowden affix the corporate seal of the Town to the debentures.
8. There shall be levied and raised in each year of the currency of the debentures a rate or rates on the assessed value of all lands and improvements shown on the assessment roll, sufficient to provide an annual tax adequate to pay the principal and interest falling due in such year on such debentures. The said rates and taxes are collectible at the same time and in the same manner as other rates and taxes.
9. The indebtedness is contracted on the credit and security of the Town at large.
10. The net amount realized by the issue and sale of debentures authorized under this Bylaw shall be applied only for the purposes for which the indebtedness was created.
11. This Bylaw shall take effect on the day of the final passing thereof.

Read a first time this _________ day of ___________________________________________, 2003

Read a second time this ____ day of _____________________________________________, 2003

Approved unanimously this ________ day of __________________________________, 2003 to be presented for third reading at this meeting.

Read a third time and finally passed, this _________ day of ____________________________, 2003