The Council of the Township of Whitewater Region approved renewal of the ORPC Promissory Note for a 10-year term commencing May 1, 2022 to expire May 1, 2032.
Treasurer Sean Crozier said he was contacted by ORPC last week.
“In the year 2000 Beachburg hydro and Pembroke hydro amalgamated into ORPC. The municipality received 147 common shares but there was also a $147000 accounts receivable, at the time that was the assets whitewater hydro had.”
“In 2016 they had to meet with the Ontario Energy Board. They had to contact the municipality, they didn’t have records, we didn’t.. Interest as 1.7 percent, it’s going down now to 3.49 percent. They would like to go down to 5 year term because we might not be here, they might not be here. The maximum amount of interest we can have is 3.49 percent. If their rate will increase, ours will increase, if it were to decrease, ours would decrease.
Councillor Neil Nicholson asked if we had shares and ‘lent them money’.
“We haven’t lent them money, but we have assets, and we receive dividends on that note receivable.” Treasurer Crozier said.
“Why can’t we buy more shares? Isn’t that the smarter thing to do long-term?” Councillor Nicholson asked.
“that’s a great question. “ Crozier said. “my answer would be that they weren’t issuing any new shares, so we’d have to buy them from those who own the current shares, and I doubt they would want to sell. The intent I would imagine was to keep the ownership local and not let the Township buy a huge stake in it so that the local people maintain some control of their local area.”
Mayor more answer “at the time, 1999 when the asset was picked up by at that Pembroke power, it went by the number of hook-ups, so that’s how many shares we have. Ours were similar to Killalloe, Mississippi Mills was a bit bigger. Unfortunately the person in charge of that is no longer with us ,so we can’t as
“I read that 105 . I think that belongs to he people of Beachburg, You have to use that for the people of Beachburg.” Councillor Dave Mackay said.
Treasurer said that they were ‘well aware of that’ and that the money would go “back into the community serviced.
The motion was carried.
