Article 2 General borrowing powers

For sections 28 and 29 of the Teignmouth Harbour Order 1924^f1 there shall be substituted the following sections:—

“Power to borrow

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(1)

—The Commissioners may from time to time borrow upon the security of their assets for the time being and of their revenues by any methods they see fit such sums of money as they think necessary not exceeding £100,000 but provided that in calculating the aggregate sums of money borrowed by the Commissioners under this section there shall be excluded any sums borrowed for the purpose of repaying within 12 months of the date of borrowing any sum for the time being outstanding by way of principal on any amount previously borrowed.

(2)

Monies borrowed by the Commissioners under this section shall be applied only to purposes to which capital money is properly applicable.

(3)

For the purposes of the last foregoing paragraph but without prejudice to the generality thereof, purposes to which capital money is properly applicable shall be deemed to include:

(a)

the payment of any interest falling due within the 5 years immediately following the date of borrowing of any sum of money borrowed by the Commissioners under this section; and

(b)

the repayment within 12 months of the date of borrowing of any sum for the time being outstanding by way of principal on any amount previously borrowed.

Temporary borrowing:—

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he Commissioners may borrow temporarily, by way of overdraft or otherwise, such sums of money as the Commissioners may require provided that the total amount outstanding at any one time of money so borrowed shall not exceed £50,000.”