New Brunswick, Canada, local Obligatory referendum [LOR] - Plebiscite to borrow more money

General Typology

Instrument
Obligatory referendum [LOR]
Location
New Brunswick, Canada
Political level
local
Local Name:
Plebiscite to borrow more money
Normative Level:
statutory
Legally Binding:
yes
Legally Defined:

89(1) Subject to this section and the Municipal Capital Borrowing Act, a municipality may borrow money for municipal purposes.
89(2) A municipality shall not, in any one year, borrow for its current operations any money in excess of the sum represented by four per cent of the budget of that municipality for that year or five thousand dollars, whichever is the greater.
89(3) Subject to subsection (4), a municipality shall not, in any one year, borrow for capital expenditures any money in excess of the sum represented by two per cent of the assessed value of real property in that municipality.
89(4)
Subject to subsection (5), where sixty per cent of those voting at a plebiscite held for authority to borrow in excess of the sum mentioned in subsection (3) vote in the affirmative a municipality may borrow the sum authorized by the plebiscite.
89(5)
(a) Subject to subsection (6), no municipality may borrow any money for capital expenditures where the amount to be borrowed would exceed six per cent of the assessed value of real property in the municipality, or
(b) subject to the terms and conditions prescribed by regulation, where the annual charges to repay the total amount of money borrowed would exceed the percentage prescribed by regulation of the budget of the municipality.
89(7) For the purposes of this section any money borrowed by a municipality under section 111 or for the construction or renovation of an electric power, water or sanitary sewerage system is not considered as money borrowed.

References: Municipalities Act, RSNB 1973, c M-22, (current Oct, 2015)

Subject Matter:

To borrow money exceeding six per cent of the assessed value of real property in the municipality, annual charges to repay exceed a percentage

Actors

Author:
Council of a municipality
Initiator:
Council of a municipality
Decision maker:
Voters

Requirements

Available Time:
Turnout Quorum:
Legal source does not mention turnout quorum
Approval Quorum:
60% of voters
Geographical Quorum:
Legal source does not mention geographical quorum
Excluded Issues:

89(7) For the purposes of this section any money borrowed by a municipality under section 111 or for the construction or renovation of an electric power, water or sanitary sewerage system is not considered as money borrowed

Other Formal Requirements:

Procedural Elements

Wording Of Ballot Question:
Interaction With Authorities:
Supervision And Support:
Transparency And Finance:

Practice

Archive:
Remarks: