9AProvision of borrowings to councils

9A Provision of borrowings to councils

9A Provision of borrowings to councils

(1) A council is not required or authorised to obtain borrowings from the Corporation during any period unless:

(a) the council has requested the Corporation to obtain borrowings for the council during that period, and

(b) the Corporation has approved of the request.

(2) Any such request must be made by notice in writing to the Corporation.

(3) Section 6.29 (Guarantee fees for certain guaranteed payments) of the funding Act applies to a council in respect of borrowings obtained by the Corporation for the council in the same way as it applies to a GSF agency.

(4) (Repealed)

(5) A council that is required to obtain borrowings from the Corporation during any period is not prohibited from obtaining additional borrowings, otherwise than from the Corporation, during the same period.

(6) Despite this section, if a council has obtained borrowings from the Corporation, the borrowings are taken to have been validly obtained, and payments in respect of the borrowings are to be made in accordance with the agreement or the purported agreement under which the borrowings have been obtained. This is despite any provision of the Local Government Act 1993 or any deficiency in any condition precedent to, or in any procedure in, any deliberation, request, application or decision relating to the borrowings.

s 9A: Ins 1987 No 225, Sch 1 (7). Am 1988 No 79, Sch 1 (6); 1991 No 50, Sch 1 (6); 1997 No 152, Sch 4.42 [2] [3]; 2018 No 70, Sch 3.63 [6] [13] [14].