Bylaw #2024-01 – Sewer and Water Utility Corporation Bylaw

North Rustico, Prince Edward Island · adopted 2024-11-12

This is an automated transcription (OCR) of the captured official document — minor recognition errors are possible; the source document governs. Snapshot a127cf19ff0c · verified 2026-06-03 · original document · archived snapshot · unofficial consolidation, the official version is held by the municipal clerk.

## Town of North Rustico North Rustico Sewer and Water Utility Corporation Bylaw Bylaw # 2024-01 BE IT ENACTED by the Council of the Town of North Rustico as follows: ## 1. Title - 1.1. This bylaw shall be known and cited as the "Sewer and Water Utility Corporation Bylaw". ## 2. Authority - Clause 180(b) of the Municipal Government Act R.S.P.E.I. 1988, Cap. M-12.1., enables Council to establish a bylaw to provide municipal public utility services. - 2.2. Pursuant to subsection 183(1) of the Municipal Government Act, this public utility will be established as a controlled corporation. ## 3. Application - This Bylaw applies to Council, all members of the Board of Directors of the Corporation, and customers of the public utility. ## 4. Definitions - 4.1. "Act" means the Municipal Government Act. - 4.2. "Chief Administrative Officer" or "CAO" means the administrative head of the Municipality as appointed by Council under clause 86(2)(c) of the Act. - 4.3. "Commission" means the Island Regulatory and Appeals Commission established under the Island Regulatory and Appeals Commission Act R.S.P.E.I. 1988, Cap. I-11. - 4.4. "Controlled Corporation" means a controlled corporation as defined in the Act. - 4.5. "Corporation" means the Water and Sewer corporation established herein. - 4.6. "Council" means the mayor and other members of the Council of the Municipality. - 4.7. "Customer" means a property, person, firm or corporation who or which requests, or is supplied with, water and sewer service at a specific location or locations. - 4.8. "Municipality" means the Town of North Rustico. - 4.9. "Public Utility" means a public utility as defined in the Water and Sewerage Act R.S.P.E.I. 1988, Cap. W-2. - 4.10. "Quorum" is a majority of the members of the Board of Directors and must include either the chair or vice-chair. ## 5. Corporation Established - 5.1. Under the authority of subsection 183(1) and pursuant to clause 183(3)(a) of the Act, the Council of the Town of North Rustico establishes the Water and Sewer Corporation. - 5.2. Pursuant to clause 183(3)(a) of the Act, Council shall specify the composition and functions of the controlled corporation. ## 6. Corporation Administration - 6.1. Pursuant to subsection 2(1) of the Water and Sewerage Act, the Commission has and shall exercise general supervision and control over the Town of North Rustico Water and Sewer Corporation. - 6.2. The affairs of the Corporation shall be managed, in accordance with this bylaw and other applicable Acts and regulations, by the Board of Directors. - 6.3. The Board of Directors shall be composed of: - (a) a chair who shall be a member of Council; - (b) a vice-chair who shall be member of Council; - (c) not less than two other members; - (d) a majority of members who shall be members of Council; - (e) only residents of the municipality are eligible to serve on the Board. - 6.4. The Board of Directors shall be appointed in accordance with the municipality's Procedural Bylaw. - 6.5. Remuneration to non-Council members of the Board is established by Council and appears in Schedule 'A' of this bylaw. - 6.6. An employee of the corporation is considered a municipal employee. - 6.7. Pursuant to clause 93(1)(d) of the Act, the Chief Administrative Officer is responsible for hiring, directing, managing and supervising the employees of the municipality. - 6.8. Pursuant to clause 93(1)(d1) of the Act, the Chief Administrative Officer is responsible for contracting, directing, managing and supervising the activities of all contractors hired or persons or firms retained by the municipality to work on behalf of council. ## 7. Meeting Procedures - 7.1. A quorum is required at all time for Board of Directors meetings. - 7.2. The Chair, or in their absence the vice-chair, shall preside over meetings of the Board of Directors. - 7.3. The CAO or designate must be attendance at all Board meetings to ensure minutes are recorded. - 7.4. The Chair of the Board of Directors shall only vote in the event of a tie vote among other Board members. - 7.5. Decisions of the Board of Directors shall be determined by majority vote. - 7.6. Meetings notice shall be as outlined in the municipality's Procedural Bylaw. ## 8. Functions of the Corporation - 8.1. Constructing, altering, extending, managing and controlling a system for providing the service of water and sewerage. - 8.2. Acquiring, alienating, holding and disposing of real or personal property with Council approval. - 8.3. Financing, with the approval of Council, any of its undertakings. - 8.4. Collecting rates and charges for services provided to any customer. - 8.5. Recommending rates and charges to Council to cover the costs of providing services. - 8.6. With the prior approval of Council provide for service outside the municipality boundaries provided the complete cost of providing this service is borne by the party or parties requiring this service. ## 9. Additional Responsibilities - 9.1. The Corporation shall conduct its affairs in accordance with generally accepted public utility practices. - 9.2. The Corporation shall maintain safe and adequate service and facilities for services as changing conditions require. - 9.3. The Board of Directors is responsible for providing the necessary strategic direction and the required oversight to fulfill the established functions of the Corporation. - 9.4. For the efficient administration of municipal business, the Corporation and the Municipality shall cooperate in the provision of municipal services. ## 10. Rates, Charges and Interest - 10.1. Pursuant to subsection 184(1) of the Act, Council shall by bylaw levy rates and/or frontage charges in respect of real property for the services of the public utility that are sufficient to cover the costs of providing the services of the public utility following approval of the Commission in accordance with the Water and Sewerage Act. - 10.2. All overdue and unpaid rates and frontage charges bear interest from the due date at the rate prescribed in the Commission's Regulations. ## 11. Liens - 11.1. Pursuant to the Commission's regulations, rates or frontage charges that are overdue and unpaid, and any interest accrued, constitute a lien on the real property on which they are levied until payment in full is made. - 11.2. Pursuant to the Commission's regulations, the lien referred to in 11.1 of this bylaw, has priority over every claim, privilege or encumbrance against the property of every person, except the Crown, and may be enforced on application to the Supreme Court for an order for the sale of the property. ## 12. Financial - 12.1. As per clause 183(3)(b) of the Act, the Corporation shall maintain its accounts separate from the accounts of the municipality. - 12.2. Pursuant to clause 183(3)(b) of the Act, the Corporation shall prepare an annual financial statement to be submitted to Council. - 12.3. In accordance with clause 183(3)(c) of the Act, the Corporation shall prepare annually a financial plan to be submitted to Council which contains at a minimum: - (a) an operating budget that includes estimates of revenues and expenditures, - (b) a capital budget; and - (c) a five-year capital expenditure program that includes an asset management' program. - 12.4. The fiscal year of the corporation shall be from 1 April to 31 March. - 12.5. In accordance with section 12 of the Water and Sewerage Act, the public utility is required to keep and render its books, accounts, records and papers accurately and faithfully in the manner and form prescribed by the Commission and comply with all direction of the Commission relating to the books, accounts, papers and records. - 12.6. If the Minister requires an inspection of the Corporation pursuant to subsection 216(1) of the Act, the Corporation shall produce all records of the Corporation for examination and inspection. ## 13. Complaints - 13.1. In accordance with subsection 184(4) of the Act, a complaint in respect of the terms and standards of service, rates, charges or schedules or any combination of them, of the public utility, is subject to appeal to the Commission under the Water and Sewerage Act in accordance with that Act. ## 14. Repeal of Existing Bylaw - 14.1. On adoption, this bylaw replaces Community of North Rustico Sewer and Water Utility Bylaw 2022-03 and all amendments heretofore. ## 15. Effective Date - 15.1. This "North Rustico Sewer and Water Utility Corporation Bylaw, Bylaw # 2024-01, shall be effective on the date of approval and adoption below. ## First Reading: This Sewer and Water Utility Corporation Bylaw, Bylaw# 2024-01, was read a first time at the Council meeting held on the 7th day of October 2024. This Sewer and Water Utility Corporation Bylaw, Bylaw# 2024-01, was approved by a majority of Council members present at the Council meeting held on the 7t day of October 2024. ## Second Reading: This Sewer and Water Utility Corporation Bylaw, Bylaw# 2024-01, was read a second time at the Council meeting held on the 12th day of November 2024. This Sewer and Water Utility Corporation Bylaw, Bylaw# 2024-01, was approved by a majority of Council members present at the Council meeting held on the 12th day of November 2024. ## Approval and Adoption by Council: This Sewer and Water Utility Corporation Bylaw, Bylaw# 2024-01, was adopted by a majority of Council members present at the Council meeting held on the 12th day of November 2024. <!-- image --> <!-- image --> <!-- image --> <!-- image --> Signatures 10% 0 Neate Kenna Heather Mckenna, Mayor 00118 Stephani Moose Stephanie Moase, Chief Administrative Officer This Sewer and Water Utility Corporation Bylaw adopted by the Council of the Town of North Rustico on November 12th, 2024 is certified to be a true copy. Stipnami Moase Mov 21,2024 hief Administrative Officer Signature Date ## Schedule 'A'- As per section 6.5, a remuneration shall be paid to all Council appointed Board members, excluding members of Council, in the amount of Five Hundred ($500) dollars, in December of each year. Such Remuneration shall be pro-rated based on number of months served.