Town Councils (Minimum Contributions to Sinking Funds) Financial Rules 2017

No. S 185

Town Councils Act

(CHAPTER 329A)

Town Councils (Minimum Contributions to
Sinking Funds) Financial Rules 2017

In exercise of the powers conferred by section 43 of the Town Councils Act, the Minister for National Development makes the following Rules:

Citation and commencement

1.  These Rules are the Town Councils (Minimum Contributions to Sinking Funds) Financial Rules 2017 and are deemed to have come into operation on 1 April 2017.

Definitions

2.  In these Rules, unless the context otherwise requires —

“financial year” means a period starting 1 April in any year and ending 31 March in the next year;

“financial year 2016” means the period starting 1 April 2016 and ending 31 March 2017;

“grant-in-aid” means a grant-in-aid made under section 42 of the Act;

“lift replacement fund” means a sinking fund, called a lift replacement fund, that is established under section 33(4A) of the Act for residential property or for commercial property;

“ordinary sinking fund” means a sinking fund that is established under section 33(4) of the Act by a Town Council for residential property or for commercial property;

“quarter”, for any financial year, means any period of 3 continuous months of that financial year.

Minimum amount of contributions to lift replacement funds

3.—(1)  On 1 April 2017 —

(a) at least 14% of the closing balance shown in a Town Council’s audited accounts for financial year 2016 in respect of each ordinary sinking fund established for residential property must be paid or credited by the Town Council into every lift replacement fund established respectively by the Town Council for that residential property; and

(b) at least 14% of the closing balance shown in a Town Council’s audited accounts for financial year 2016 in respect of each ordinary sinking fund established for commercial property must be paid or credited by the Town Council into every lift replacement fund established respectively by the Town Council for that commercial property.

(2)  For every quarter of the financial year of a Town Council starting 1 April 2017, and for every quarter of any subsequent financial year of the Town Council —

(a) at least 14% of all conservancy and service charges which are levied by the Town Council for residential property and for commercial property, respectively, and are paid or due and payable, or both, to the Town Council in that quarter; and

(b) at least 14% of —

(i) the total grants-in-aid received by the Town Council in that quarter for residential property and commercial property, respectively; less

(ii) the lift replacement fund matching grant-in-aid received by the Town Council in that same relevant quarter for that same property,

must be paid or credited by that Town Council into every lift replacement fund established by the Town Council for that residential property and that commercial property, respectively.

Minimum amount of contributions to ordinary sinking funds

4.  For every quarter of the financial year of a Town Council starting 1 April 2017, and for every quarter of any subsequent financial year of the Town Council —

(a) at least 26% of all conservancy and service charges which are levied by the Town Council for residential property and for commercial property, respectively, and are paid or due and payable, or both, to the Town Council in that quarter; and

(b) at least 26% of —

(i) the total grants-in-aid received by the Town Council in that relevant quarter for residential property and commercial property, respectively; less

(ii) the lift replacement fund matching grant-in-aid received by the Town Council in that same relevant quarter for that same property,

must be paid or credited by that Town Council into every ordinary sinking fund established by the Town Council for that residential property and that commercial property, respectively.

Revocation

5.  The Town Councils (Minimum Amount of Charges for Payment into Sinking Funds) Rules (R 2) are revoked.

Made on 24 April 2017.

OW FOONG PHENG

Permanent Secretary,
Ministry of National Development,
Singapore.

[ND 311/4-146 Pt59; AG/LEGIS/SL/329A/2015/1 Vol. 1]