Finances

Belledune Debt Profile and Budget Projections 2010

Village of Belledune
2010 Debt Profile and Budget Projections
Application to the Municipal Capital Borrowing Board

The attached Documents are the Debt Profile and Budget Projections for the Village of Belledune 2010 Application to the Municipal Capital Borrowing Board for Authorization to Borrow for Capital Expenditures for the General Fund and the Utility Fund. These Documents are required by the Municipal Capital Borrowing Board to assist the Board in determining the Financial Capacity of a municipality to handle long term debt. There are separate Debt Profile and Budget Projections documents, one for the General Fund and one for Utility Fund. This is in accordance with how New Brunswick municipalities financially operate; the two funds are separate. The General (general services) is funded primarily through property taxes and the Utility (water and/or sewer) is funded through user fees. The financial impacts of the long term debt (principle and interest payments) are only fully realized once the proposed projects are complete and the municipality applies for a long term financing through the NB Municipal Finance Corporation (Debenture).

Factors such as the term and actual interest rates (not projected) will determine the annual debt payment for each Fund. The attached Debt Profile and Budget Projections are not to be interpreted as the official annual estimates (Budget) of the municipality, but are as stated Financial Projections for the purpose intended - to determine Fiscal Capacity. The official annual estimates (Budget) for each fund are required to be prepared annually and submitted to the provincial Department of Local Government for approval.