Third

Session, 45th General Assembly

Elizabeth II, 2006

BILL 15

AN ACT TO AMEND THE

FORESTRY ACT

Received and Read the First Time ...................................................................................................

Second Reading .................................................................................................................................

Committee ............................................................................................................................................

Third Reading .....................................................................................................................................

Royal Assent ......................................................................................................................................

HONOURABLE

EDWARD J. BYRNE

Minister

of Natural Resources

Ordered

to be printed by the Honourable House of Assembly

EXPLANATORY NOTES

Clause 1 of the Bill would add a

subsection 15(2) to the Forestry Act to

allow the Lieutenant-Governor in Council to impose a directed sale or a first

offer refusal system for the sale of timber cut under a Crown timber licence.

Clause 2 of the Bill would add a

subsection 22(2) to the Act to allow the Lieutenant-Governor in Council to

impose a directed sale or a first offer refusal system for the sale of timber

cut under a timber sale agreement.

Clause 3 of the Bill would add a

subsection 27(8) to the Act to allow the Lieutenant-Governor in Council to

impose a directed sale or a first offer refusal system for the sale of timber

cut under a cutting permit.

Clause 4 of the Bill would add the

proposed

section 27.1 to the Act to validate first offer for sale conditions

required under cutting permits issued before the commencement of the section.

Clause 5 of the Bill would add

further regulatory provisions to

section 38 of the Act to allow the Lieutenant-Governor

in Council to make regulations respecting a first offer refusal system.

A BILL

AN ACT TO AMEND THE FORESTRY ACT

Analysis

1. S.15 Amdt.

Crown timber licence

2. S.22 Amdt.

Timber sale agreement

3. S.27 Amdt.

Cutting permit

4. S.27.1 Added

Cutting permits validated

5. S.38 Amdt.

Regulations

Be it enacted by the Lieutenant-Governor and

House of Assembly in Legislative Session convened, as follows:

RSNL1990 cF-23

as amended

Section 15 of the Forestry Act is amended

by renumbering it as subsection 15(1) and by adding immediately after that

subsection the following:

(2) Where a person applies for a Crown timber

licence, the Lieutenant-Governor in Council may, in accordance with the regulations

made under

section 38, require that timber cut under the licence be

(

a) sold to a person specified by the

Lieutenant-Governor in Council; or

(

b) first offered for sale to a person specified

by the Lieutenant-Governor in Council,

and where the licence is issued, that requirement

require shall be considered to be a term or condition of that licence.

Section 22 of the Act is amended by renumbering

it as subsection 22(1) and by adding immediately after that subsection the

following:

(2) Where it is proposed that a timber sale

agreement be entered into under subsection (1), the Lieutenant-Governor in

Council may, in accordance with the regulations made under

section 38, require

that timber cut under the agreement be

(

a) sold to a person specified by the

Lieutenant-Governor in Council; or

(

b) first offered for sale to a person specified

by the Lieutenant-Governor in Council,

and where the timber sale agreement is

Lieutenant-Governor in Council may require shall be considered to be a term or

condition of that timber sale agreement.

Section 27 of the Act is amended by adding

immediately after subsection (7) the following:

(8) Where a person applies for a cutting permit,

the Lieutenant-Governor in Council may, in accordance with the regulations made

under

section 38, require that timber cut under the permit be

(

a) sold to a person specified by the

Lieutenant-Governor in Council; or

(

b) first offered for sale to a person specified

by the Lieutenant-Governor in Council,

and where the permit is issued, that

Council may require shall be considered to be a term or condition of that

permit.

4. The Act is amended by adding immediately after

section 27 the following:

Cutting permits

validated

27.1 Where,

before the coming into force of this section, the minister or a forestry

official issued a cutting permit under this Act and a term or condition of the

cutting permit specified that timber cut under the permit be first offered for

sale as directed by the minister or the forestry official, that term or

condition and cutting permit shall be considered to have been validly issued

under this Act.

5. The Act is amended by adding immediately after

paragraph 38(

b) the following:

(b.1) respecting a first offer refusal system that

may apply to the sale of timber under a Crown timber licence, timber sale

agreement or cutting permit issued or made under this Part;

be added to a Crown timber licence, timber sale agreement or cutting permit

with respect to first offer refusals for the sale of timber;

(b.3) respecting the manner in which a first offer

refusal system is to operate;

(b.4) determining the times, situations, areas and

to whom paragraphs (b.1), (b.2) and (b.3) apply;

(b.5) respecting a directed sale of timber under a

Crown timber licence, timber sale agreement or cutting permit issued or made

under this Part;

apply to a Crown timber licence, timber sale agreement or cutting permit with

respect to a directed sale of timber;

(b.7) respecting the manner in which a directed sale

of timber is to operate;

(b.8) determining the times, situations, areas and

to whom paragraphs (b.5), (b.6) and (b.7) apply;

(b.9) prescribing the penalties to be imposed for

cutting or removing timber contrary to the provisions of a Crown timber licence,

timber sale agreement or cutting permit;

Earl G. Tucker, Queen's Printer