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CMHC payment number two for 2022 approved by Blind River Council

Blind River Town Council last night approved the second payment of the year on its multi-million-dollar Canada Mortgage and Housing Corporation
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For the second time this year, Blind River council is making a payment on its multi-million-dollar Canada Mortgage and Housing Corporation (CMHC) loan.

The $1.2 million payment was approved by council at its virtual meeting Monday evening. In January council made a $4 million payment on the loan.

The money comes from North Shore Power Corporation (NSPC) which handles payments on the loan on behalf of the town. NSPC operates a large solar panel electrical facility in Blind River.

Treasurer Sue Dent said in a report to council that the $4 million pre-payment meant the future amount owing was reduced from $23,406,750 to $17,678,893 or a reduction of $5,727,854 based on CMHC calculations on the equivalent future value using the Government of Canada interest rate curve plus a risk spread.

At Monday’s meeting Dent said the $1.2 million payment will result in trimming the loan by about $1.8 million based on the same calculations. A firm reduction figure will come from CMHC when the payment is made.



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About the Author: Kris Svela

Kris Svela has worked in community newspapers for the past 36 years covering politics, human interest, courts, municipal councils, and the wide range of other topics of community interest
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