July 2009

The Rural Municipality of Portage la Prairie’s general borrowing bylaw has been revised to reflect a decision to appoint two local insurance firms to handle the RM’s $6.2-million debenture for the PCU Centre project.

Portage RM council passed first reading of the bylaw that will see the RM receive loans from the Royal Bank of Canada (RBC Life Insurance Co.) for $4.2 million and Portage la Prairie Mutual Insurance company for $2 million. The rate of interest for the RM’s total $6.2-million debenture came in at 5.6 per cent for a 15-year term.

“Requests were made to financial institutions for an interest rate …. Portage Mutual, under there with the naming rights for the second arena, requested the purchasing of debentures. So, they did a little over $3 million for the city borrowing, and $2 million for the RM,” said Reeve Toby Trimble.

At its meeting on July 28, RM council voted 5-0 in favour of the amendment to the bylaw. Trimble did not participate in the vote as he is a member of the board for Portage Mutual Insurance. Coun. Ray Davidson was absent during the meeting.

Recreation Authority MOU proceeds

Council carried first reading of a bylaw to approve entering into an agreement to establish the Portage Regional Recreation Authority (PRRA) with the City of Portage. The PRRA is currently operating as a joint committee between the City of Portage and the RM.

In a vote of 4-2 in favour of the bylaw, the only councillors who objected to the first reading were: Bill Alford and Terry Simpson. Coun. Ray Davidson was absent during the meeting.

Simpson expressed his concerns the RM needs to make sure it understands all its commitments as part of this agreement.

The reeve commented there is still time to make any required changes to the legal wording of the bylaw before it goes to second and third reading at the next council meeting on Aug. 11.

The PRRA will be in charge of the operation of the PCU Centre and any recreation facilities owned and operated by the city and the RM. It is made up of three members each from the city and RM councils, with each council appointing one citizen representative.

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