REGULATION 20A: Of Loans and Advances to Vestries

1. Subject to the provisions of this Regulation, a loan or advance may be made to a Vestry of a Parish by the Diocesan Board of Finance, at such rate of interest as the said Board may determine, for the erection, major repairs, alteration, improvement of premises or for the purchase of new premises or for any other purpose of a capital nature.

2. The application for the loan or advance shall be supported by a written resolution of the Incumbent and Vestry who desire the loan or advance and they shall satisfy the Board:

(a) that careful plans and estimates for the work have been made;

(b) that good security for the proposed loan can be offered; and

(c) that reliable arrangements have been made for meeting the total cost of the work, or the proposed acquisition and for repaying the loan.

3. A sum equal to at least one-third (1/3) of the total cost of the project shall be provided, by or on behalf of the applicant, in cash or in free labour and material: Provided that, where the Board is satisfied that the actual conditions of the Parish and other circumstances warrant it, a greater portion than two-thirds (2/3) or the whole amount may be loaned or advanced.

4. No part of the desired loan or advance shall be paid to the applicant until the cash promised has been received or the free labour and material has been supplied or pledged.

5. Any building which is the subject of a loan or advance shall be fully insured; and, in default of satisfactory arrangements being made to reimburse the insurance premium, any payment of such premiums by the Board shall be treated as part of the loan or advance; and the provisions of paragraphs 6 and 7 shall apply to the repayment of such sum.

6. The repayment of the principal of the loan or advance and the payment of interest thereon shall be made a charge on any general funds at credit of the Parish ranking next after assessment and any other expenditure in the approved budget of the Parish that may be specified by the Diocesan Board of Finance.

7. Repayment shall be made in equal periodic instalments which shall include principal and interest at the rate of interest agreed upon.