Where in any year it
becomes necessary to strike a rate for the purpose of providing the interest
and sinking fund of any such loan, the local government shall, under the
provisions of the Local Government Act 1995 , make and levy a special annual
rate, but where the local government has expended loan moneys in the
installation of any appliances, drains, pipes, shafts, ventilating shafts and
fittings on any lands, and the person responsible for the payment of the cost
of such installations enters into an agreement with the local government under
the provisions of this Act for the payment of same the local government
—
(a) may
in lieu of striking a special annual rate in the first instance place all
repayments made to the credit of a special account for the liquidation of the
loan by which the moneys expended were raised;
(b) if
such repayments are insufficient to meet the periodical repayments of
principal and/or interest on the loan, or to meet any payments to any fund for
the liquidation of the loan, the local government shall levy a special annual
rate from time to time, as occasion requires, to make good such deficiency.
[Section 45 inserted: No. 38 of 1933 s. 4 and 42;
amended: No. 27 of 1994 s. 42; No. 14 of 1996 s. 4.]