Bill 38 (Legislature 12, Session 1)

L12 S1 6706

Alberta — Bills

Bill No. 38 of 1953 A BILL TO AlVIEND THE CO-OPERATIVE MARKETING ASSOCIATIONS GUARANTEE ACT NOTE This Bill amends The Co-operative Marketing Associa tions Guarantee Act, being

chapter 252 of the Revised Statutes of Alberta,

Section 2, subsection (la) is struck out and a new subsec tion substituted. The effect of this amendment is (

a) to permit the guaranteeing of borrowings of a rural natural gas association in the same manner and to the same extent as that permitted in the case of rural ele'ctrification associations; and (

b) to increase from three million dollars to five million dollars, the amount which the Lieutenant Governor in Council may from time to time author ize the Provincial Treasurer to guarantee on behalf of the Province for the due payment of any sum borrowed by a rural electrification association for the purpose of acquiring, ,constructing, maintaining, operating and administering works necessary for the transmission and distribution of electrical energy; and (

c) to empower the Lieutenant Governor in Council to prescribe terms and conditions which an associa tion and its members must comply with in order to obtain the guarantee of a borrowing. Two new subsections (lb) and (lc) are added. The ef fect of this amendment is to remove the restr~ction upon additional borrowing now in the Act in respect of marketing associations generally so that these restrictions will not apply to additional borrowings by rural ele'ctrification as sociations. This Bill comes into force upon assent. J. W.RYAN, Acting Legislative Counsel. (This note does not form any part of the Bill but is offered in explanation of its provisions.)

Section 2 amended Guarantee of borrowing BILL No. 38 of 1953

An Act to amend The Co-operative Marketing Associations Guarantee Act ( Assented to , 1953) HER MAJESTY, by and with the advice and consent of the Legislative Assembly of the Province of Alberta, enacts as follows: 1. The Co-operative 1Jfarketing Associations Guarantee Act, being

chapter 252 of the Revised Statutes of Alberta, 1942, is hereby amended.

Section 2 is amended by striking out subsection (la) and by substituting the following: "(la) If H (

a) an association incorporated under The Co-operative Associations Act, 1946, having as its principal ob ject the supplying of natural gas or electrical energy or power to its members "(

i) has first paid at least fifteen per cent of the amount of any capital expenditure proposed to be made by the association in carrying out its objects, and "(ii) has made provision satisfactory to the Pro vincial Treasurer for a sinking fund adequate for the purpose of paying off the loan and interest as and when it becomes due, and "(

b) such association and its members have complied with the terms and conditions which may be made from time to time by the Lieutenant Governor in Council, and " (

c) the period of repayment of a borrowing by such association does not exceed twenty years, and "(

d) the total amount of the liability of the Province as a guarantor under this subsection and subsection (lb) does not exceed five million dollars, t~e .~ieutenant Governor in Council may authorize the Pro vIncIal Treasurer, on behalf of the Province, to guarantee the due repayment of any sum, together with interest there ?n, borrowed by the association for the purpose of acquir Ing, constructing, operating, maintaining and administer ing the pipe lines or works necessary for the carrying, transmission and distribution of natural gas or electrical ener~y, and the Provincial Treasurer, on behalf of the ProvInce, may execute any instrument for the purpose of the guarantee.

2 "(lb) Where the borrowings of an association have been GUR;rantec or t d t t b t · () d th . t· addItional guaran ee pursuan 0 susec IOn la, an e aSSOCla IOn borrowillK desires to extend its pipe lines or transmission and distribu- tion system, if the requirements of subsection (la.) are com- plied with in respect of the additional borrowings required by the association for that purpose the Lieutenant Governor in Council may authorize the Provincial Treasurer to guarantee the additional borrowings necessitated by a pro- posed extension of the pipe lines or transmission and dis tribution system of the association.

"(le) The provisions of subsections (2), (3) and (4) do not apply to a borrowing guaranteed pursuant to subsection (la) .". 3. This Act comes into force on the day upon which it is f1m~ng assented to. n 0 orce

No. 38 FIRST SESSION TWELFfH LEGISLATURE 2 ELIZABETH II 1953 BILL-

An Act to amend The Co-operative Marketing Associations Guarantee Act Received and read the First time ................ . Second time .......... . Third time .......................... . HON. DR. ROBINSON Title: 1953 (12th, 1st) Bill 38,

An Act to amend The Co-operative Marketing Associations Guarantee Act

Document details

Collection	Alberta — Bills
Citation	L12 S1 6706
Type	bill
Volume / chapter	L12 S1 6706
Language	en
Format	json
Source	PROVINCIAL
Identifier	4c1b870f53a635a39f7e47f68bf0644b56409e71

Source file is stored in the law ingest library (json).