On November 27, 2017 the Council of the Town of Midland approved via Resolution No. 2017-490 the establishment of two separate funds from the net proceeds of the sale of MPUC shares to Newmarket-Tay Power:
the Midland Public Utility Commission (“MPUC") Legacy Fund in the amount of $10,500,000; and
the balance to the Midland Community-Wide Initiatives Fund in the amount of +/- $10,000,000
This policy sets out the parameters under which these two funds will be managed as defined by and in compliance with the requirements of s. 418 to s. 420 of the Municipal Act, 2001 and of O.Reg. 438/97.
Eligible investments are those specified in the Town of Midland Investment Policy as those portfolios administered by LAS (AMO) and MFOA through One Investment.
Policy Statement for Midland Public Utility Commission (“MPUC") Legacy Fund:
It is the intention of the Town of Midland to hold the amount of $10,500,000 in the MPUC Legacy Fund in perpetuity while making annual withdrawals from investment earnings to contribute towards the Town of Midland's capital needs.
The MPUC Legacy Fund is established based on the desire of the Council of the Town of Midland to keep the MPUC legacy alive for current and future residents. The intention is the MPUC Legacy Fund will be used for the benefit of the community and as recognition of the community benefit that the MPUC provided.
Policy Statement for the Midland Community-Wide Initiatives Fund:
It is the intention of the Town of Midland that the funds held in the Community-Wide Initiatives Fund be used to provide an Internal Bank should an opportunity arise where Council determines these funds (or a portion of these funds) could be more appropriately directed.
The Community-Wide Initiatives Fund operating as an Internal Bank would provide funds at market rates for projects for which the fund's use is specifically approved by Council. All borrowing from the Initiatives Fund would be supported by a Promissory Note and would require repayments in the same manner as any external debt issue to ensure future restoration of capital.
On November 26, 2018 the Council of the Town of Midland adopted By-law 2018-77 to enter into the Agency Agreement between CHUMS Financing Corporation and Local Authority Services, as Agent, and with eligible investors with respect to the use of ONE Investment for these two newly created funds.
Strategic Plan Priorities/ Legislative Requirements
Pillar One – Accountable, Responsive and Innovative Governance
Please see the Terms of Reference for further information.