The Tarbert (Loch Fyne) Harbour Revision (Constitution) Order 2007

Borrowing powers

14.—(1) Subject to paragraph (2) below, the Trustees may from time to time borrow upon the security of their assets for the time being or of their revenues or both their assets and their revenues, by any methods they see fit such sums of money as they think necessary for the purpose of meeting their obligations in carrying out their functions as harbour Trustees and any such sums of money may be secured on their assets or revenue.

(2) Monies borrowed for the purposes of maintaining the operational functioning of the harbour shall not exceed the average of the last three years' turnover of the harbour authority.

(3) Prior to entering into any additional financial borrowing for the purposes of improvements to the harbour facilities the Trustees shall:–

(a) publish details of the improvements proposed together with a full business plan detailing how the improvements will be financed, the benefits to be accrued by the various stakeholders and the wider community;

(b) present these improvements to the consultation group in the first instance;

(c) take due cognisance of the views of the consultation group prior to finalising the proposals which will be presented to a public meeting specifically called for that purpose; and

(d) prior to entering into any borrowing commitments or contractual agreements the Trustees will consider any objections or representations made to them either at the meeting or in writing within ten days of the conclusion of the meeting.

(4) For the purposes of paragraph (2) above, but without prejudice to the generality of that paragraph, purposes to which capital money is properly applicable shall be deemed to include–

(a) the payment of any interest, falling due within five years immediately following the date of borrowing, on any sum of money borrowed by the Trustees under this article; and

(b) the repayment, within twelve months from the date of borrowing, of any sum for the time being outstanding by way of principal on any amount previously borrowed.

(5) The Trustees must advertise and seek competitive tenders for any contract with a value in excess of £10,000.