2015 City of Surrey Annual Report

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS City of Surrey

For the year ended December 31, 2015 [tabular amounts in thousands of dollars]

11. DEBT

2014

2015

Debenture debt (i)

$

201,435

$

196,316

Loans payable (ii)

40,541

31,602

$

241,976

$

227,918

i) Debenture debt Pursuant to security issuing by-laws under authority of the Community Charter, the City obtains debt instruments through the Municipal Finance Authority of British Columbia (MFA) to finance certain capital expenditures. Gross amount of the debt less sinking fund installments and actuarial adjustments to date are as follows:

Sinking fund installments and actuarial adjustments

Gross debt

Net debt 2015

Net debt 2014

General Capital Fund

$ 212,335

$ 16,019

$ 196,316

$ 201,435

Current borrowing includes:

MFA Issue

Issue Date

Term (yrs.)

Maturity

Interest Rate Refinancing Date*

116

April 4, 2011

25

April 4, 2036

4.20%

April 4, 2021

121

October 4, 2012

25

October 4, 2037

2.90%

October 4, 2022

126

September 26, 2013

30

September 26, 2043

3.85% September 26, 2023

*On the Refinancing Date, the City has the option to retire the debt early or refinance the borrowing at a new interest rate.

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