The Cowes Harbour Revision Order 2012

Borrowing powers

26.—(1) Subject to paragraph (2), the Commissioners 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—

(a) such sums of money as they think necessary not exceeding a multiple of one and a quarter times the total assets less total liabilities of the Commissioners as shown by the most recent audited financial statements of the Commissioners; and

(b) with the consent of the Secretary of State, such further sums of money as they may require.

(2) In calculating the aggregate sums of money borrowed by the Commissioners under paragraph (1), there shall be excluded any sums borrowed for the purpose of repaying within twelve months of the date of borrowing any sums for the time being outstanding by way of principal on any amount previously borrowed.

(3) Moneys borrowed by the Commissioners under this article must be applied only to purposes to which capital money is properly applicable.

(4) For the purposes of paragraph (3), but without prejudice to the generality of that paragraph, purposes to which capital money is properly applicable 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 Commissioners 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) Article 14 (borrowing powers) of the 2001 Order is revoked and in article 16(1) of that order for “articles 14 (1)(a) and 15” there shall be substituted “article 15”.