First

Session, 45th General Assembly

Elizabeth II, 2004

BILL 46

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 the

definition of the word "parcel" to

section 2 of the Forestry Act .

Clause 2 of the Bill would add a

subsection 6(3) to the Act to allow a variation in the annual allowable cut of

timber provided that the average cut over a 5 year period remains as approved

by the Lieutenant-Governor in Council for that period.

Clause 3 of the Bill would add a

subsection 9(2) to the Act to allow the minister to combine parcels for the

purpose of establishing an annual allowable cut of timber.

Clause 4 of the Bill would add a

subsection 12.1 to the Act to allow the minister to direct the sale of timber

cut from lands acquired by the Crown under an exchange agreement.

Clause 5 of the Bill would add a

subsection 15(2) to the Act to allow the minister to impose a first offer

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

Clause 6 of the Bill would add a

subsection 22(2) to the Act to allow the minister to impose a first offer

refusal system for the sale of timber cut under a timber sale agreement.

Clause 7 of the Bill would add a

subsection 27(8) to the Act to allow the minister to impose a first offer

refusal system for the sale of timber cut under a cutting permit

Clause 8 of the Bill would add a

regulatory

section 38.1 to the Act to allow the minister to make regulations

respecting a right of first refusal system as referred to at clauses 4, 5 and 6

and respecting the directed sale of timber as referred to in clause 4.

Clause 9 of the Bill would amend the

definition of the word "parcel" in paragraph 39(

d) of the Act so as

to distinguish its application to

Part III of the Act from the general application

of the definition added under clause 1.

A BILL

AN ACT TO AMEND THE FORESTRY ACT

Analysis

S.2 Amdt.

Definitions

2. S.6 Amdt.

Timber resource analysis

S.9 Amdt.

Annual allowable cut

4. S.12.1 Added

Directed sale

5. S.15 Amdt.

Crown timber licence

6. S.22 Amdt.

Timber sale agreement

7. S.27 Amdt.

Cutting permit

8. S.38.1 Added

Regulations by minister

S.39 Amdt.

Definitions

Be it enacted by the Lieutenant-Governor and

House of Assembly in Legislative Session convened, as follows:

RSNL1990 cF-23

as amended

Section 2 of the Forestry Act is amended by adding immediately after paragraph (

m) the following:

(m.1) "parcel" means a block, lot or area

of land or some combination of blocks, lots or areas of land, however acquired,

of 120 hectares or more in extent to which the right to cut and remove trees is

vested in the Crown or a person, or from which the Crown or person derives a

continuing benefit from having the trees cut and removed on their behalf and

which is wholly contained within one forest management district;

Section 6 of the Act is amended by adding

immediately after subsection (2) the following:

(3) Notwithstanding subsection 14(2) and that an

annual allowable cut has been determined in accordance with

section 9 for each

year of a 5 year timber resource analysis period indicated under subsection

(1), the minister may permit the cutting of timber within a forest management

district or with respect to a combination of parcels under subsection 9(2) in excess

of the annual allowable cut for that district or combination, provided that the

total allocation of timber for that district or combination over the 5 year

period covered by the timber resource analysis does not exceed the total of the

annual allowable cut approved under subsection (2) for that 5 year period.

Section 9 of the Act is amended by renumbering

it as subsection 9(1) and by adding immediately after that subsection the following:

(2) Notwithstanding subsection (1), the minister

may combine parcels from 2 or more forest management districts for the purpose

of determining an annual allowable cut for those combined parcels.

4. The Act is amended by adding immediately after

section 12 the following:

Directed

Sale

12.1 Where

the minister issues

(

a) a cutting permit;

(

b) a Crown timber licence under

section 15; or

(

c) enters into a timber sale agreement under

section 22

with respect to land acquired by the Crown

under

section 12, the minister may, in accordance with regulations made under

section 38.1, direct the holder of that permit or licence or a party to that

agreement to sell timber cut from that land, or products of that timber, to a

person who was a party to the land exchange or transfer of timber cutting

rights which was authorized under

section

Section 15 of the Act is amended by renumbering

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

following:

(2) The minister may, in accordance with the

regulations made under

section 38.1, direct that timber cut under a Crown

timber licence be first offered for sale to a party specified by the minister.

Section 22 of the Act is amended by renumbering

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

following:

(2) The minister may, in accordance with the

regulations made under

section 38.1, direct that timber cut under a timber sale

agreement be first offered for sale to a party specified by the minister.

Section 27 of the Act is amended by adding

immediately after subsection (7) the following:

(8) The minister may, in accordance with the

regulations made under

section 38.1, direct that timber cut under a cutting

permit be first offered for sale to a party specified by the minister.

8. The Act is amended by adding immediately after

section 38 the following:

Regulations by

minister

38.1 The

minister may make regulations

(

a) respecting a first offer refusal system that

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

agreement or cutting permit issued or made under this Part;

minister may add to a Crown timber licence, timber sale agreement or cutting

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

(

c) respecting the manner in which a first offer

refusal system is to be operated;

(

d) determining the times, situations, areas and

to whom paragraphs (a), (

b) and (

c) will apply;

(

e) respecting a directed sale of timber under

section 12.1;

minister may add to a Crown timber licence, timber sale agreement or cutting

permit with respect to a directed sale of timber under

section 12.1;

(

g) respecting the manner in which a directed sale

of timber under

section 12.1 is to operate; and

(

h) determining the times, situations, areas and

to whom paragraphs (e), (

f) and (

g) will apply.

8. Paragraph 39(

d) of the Act is amended by adding

immediately after the word "means" a comma and the words and comma

"notwithstanding paragraph 2(m.1),".

Earl G. Tucker, Queen's Printer