Second Session, 45th General Assembly

54 Elizabeth II, 2005

BILL 14

AN ACT TO AMEND THE LOAN AND

GUARANTEE ACT, 1957

Received and Read the First Time

Second Reading

Committee

Third Reading

Royal Assent

HONOURABLE LOYOLA SULLIVAN

Minister of Finance and President of Treasury Board

Ordered to be printed by the Honourable House of Assembly

EXPLANATORY NOTES

This Bill would amend the

Schedule to The Loan and Guarantee Act, 1957 as follows:

Item 1 - Avalon Health Care Institutions Board

Order in Council 2004-425 authorized a loan guarantee for the Avalon Health Care Institutions Board, or a successor health authority, to cover that portion of the board's $13.5 million credit facility in excess of $7 million. The maximum amount of the province's guarantee is therefore $6.5 million. The guarantee will terminate on March 31, 2006 or the earlier date that may be appropriate after a plan for deficit reduction has been implemented.

Item 2 - Stephenville Airport Corporation

Order in Council 2005-066 authorized a loan guarantee not exceeding $350,000 in order to secure additional operating credit for the Stephenville Airport Corporation during the period of its restructuring. The guarantee will be secured through an assignment of the airport's accounts receivables and will terminate once the restructuring process has been completed.

A BILL

AN ACT TO AMEND THE LOAN AND

GUARANTEE ACT, 1957

Analysis

Schedule Amdt.

Be it enacted by the Lieutenant-Governor and House of Assembly in Legislative Session convened, as follows:

1957 No.70 as amended

1 . The

Schedule to The Loan and Guarantee Act, 1957 is amended by adding the following:

Company

Amount

Date of Issue

Expiry Date

Avalon Health Care Institutions Board

6,500,000

Feb. 7/05

Mar. 31/06

Stephenville Airport Corporation

350,000

Mar. 7/05

N/A

©Earl G. Tucker, Queen's Printer