BILL 65 -- 2004: FORESTS STATUTES AMENDMENT ACT (No. 2), 2004

2004 Legislative Session: 5th Session, 37th Parliament
FIRST READING

The following electronic version is for informational purposes only.
The printed version remains the official version.

HONOURABLE MIKE DE JONG
MINISTER OF FORESTS

BILL 65 -- 2004

FORESTS STATUTES AMENDMENT ACT (No. 2), 2004

HER MAJESTY, by and with the advice and consent of the Legislative Assembly of the Province of British Columbia, enacts as follows:

Forest Act

1 The Forest Act, R.S.B.C. 1996, c. 157, is amended by adding the following section:

Mountain pine beetle salvage area

14.1 (1) The Lieutenant Governor in Council, by regulation, may

(a) designate Crown land infested by mountain pine beetles as a mountain pine beetle salvage area for a prescribed period, and

(b) repeal or amend a regulation under paragraph (a).

(2) A forest licence that includes all or part of a mountain pine beetle salvage area, in addition to setting out the matters described in section 14, may

(a) require any type of security, including but not limited to money, to be provided and maintained by the holder of the forest licence to ensure

(i) within a specified period or according to a required schedule of construction, or both, the construction or expansion of a timber processing facility that conforms to specified requirements, and

(ii) the reforestation of areas described in the licence by reference to one or more of geographic location, type of timber and type of terrain,

(A) at a rate of reforestation, and

(B) over a period

specified in the licence,

(b) specify one or more of the following:

(i) the type of security that is acceptable or unacceptable;

(ii) the form and content of the security;

(iii) the circumstances under which the security may be realized;

(iv) respecting the distribution of the realized security,

(c) provide that its holder may not harvest under the licence until the timber processing facility has been substantially completed to the satisfaction of the minister,

(d) require timber harvesting under the licence to be restricted to only a portion of a timber supply area, and

(e) include other terms and conditions that the minister considers are necessary or desirable in relation to mountain pine beetle infestation in the mountain pine beetle salvage area.

(3) If a forest licence referred to in subsection (2)

(a) requires security to be provided and maintained, as described in paragraph (a) of that subsection, and

(b) the holder of the licence has provided the security,

the minister by notice served on the holder may cancel the licence in the circumstances specified under paragraph (b) (iii) of that subsection.

2 Section 24.5 (1) is amended by striking out "regional manager" in both places and substituting "regional manager or district manager".

3 Section 24.7 is amended

(a) in subsection (2) by striking out "district manager" wherever it appears and substituting "regional manager or district manager", and

(b) by repealing subsection (3) and substituting the following:

(3) The regional manager or district manager must not enter into a woodlot licence under this section unless

(a) the holder of the pre-existing licence meets the criteria specified in section 44 (5) and (6) (b) and either section 44 (6) (a) or 46.1, as applicable,

(b) the regional manager or district manager is satisfied that the holder of the pre-existing licence is qualified to manage the proposed woodlot licence area,

(c) a management plan has been prepared by the holder of the pre-existing licence for the proposed woodlot licence area and approved by the regional manager or district manager or the designate of the regional manager or district manager, and

(d) the holder surrenders the pre-existing licence.

4 Section 24.8 (2) (d) is repealed and the following substituted:

(d) has a term of 5 years beginning on the date the forestry licence to cut is entered into, .

5 Section 39 (7) is amended by striking out "paragraph (b)" in both places and substituting "paragraph (c)".

6 The following Division is added to Part 3:

Division 8.3 -- Disposition of Timber Acquired
under Forestry Revitalization Act

Disposition of timber in a tree farm licence

47.8 The minister may make available for disposition under

(a) Divisions 2 and 3 of Part 3,

(b) section 47.3 under a forest licence or forestry licence to cut, or

to persons other than the holder of a tree farm licence for all or part of a tree farm licence area, portions of the allowable annual cut that is the subject of

(d) a reduction in allowable annual cut under section 2 (3) of the Forestry Revitalization Act, and

(e) an attribution made under section 3 (2) of that Act by an order of the minister.

7 Section 80.2 (1) is amended by repealing the definitions of "group licence interim period", "minister's order" and "timber licence interim period" and substituting the following:

"group licence interim period", in relation to a licence in a group of licences which licence is specified in a minister's order, means,

(a) if there is only one reduction in allowable annual cut for that licence under the minister's order, the period beginning on March 31, 2003 and ending on

(i) the date when the minister's order is made for the licence, if no subsequent date is specified in the minister's order in relation to that reduction and for the purposes of section 3 (5.1) of the Forestry Revitalization Act, or

(ii) the subsequent date, if one is specified in the minister's order, in relation to that reduction and for the purposes of section 3 (5.1) of the Forestry Revitalization Act, or

(b) if there are a series of reductions in allowable annual cut for that licence under the minister's order,

(i) for the first in the series of reductions, the period beginning on March 31, 2003 and ending on

(A) the date when the minister's order is made for that first reduction, if no subsequent date is specified in the minister's order, in relation to that first reduction and for the purposes of section 3 (5.1) of the Forestry Revitalization Act, or

(B) the subsequent date, if one is specified in the minister's order, in relation to that first reduction and for the purposes of section 3 (5.1) of the Forestry Revitalization Act, and

(ii) for the further reduction in the series of reductions, the period beginning at the end of the period for the immediately preceding reduction and ending on

(A) the date when the minister's order is made for that further reduction, if no subsequent date is specified in the minister's order, in relation to that further reduction and for the purposes of section 3 (5.1) of the Forestry Revitalization Act, or

(B) the subsequent date, if one is specified in the minister's order, in relation to that further reduction and for the purposes of section 3 (5.1) of the Forestry Revitalization Act;

"minister's order" means an order made under section 3 of the Forestry Revitalization Act;

"timber licence interim period", in relation to a timber licence specified in a minister's order, means

(a) if there is only one reduction in area for that licence under the minister's order, the period beginning on March 31, 2003 and ending on

(ii) the subsequent date, if one is specified in the minister's order, in relation to that reduction and for the purposes of section 3 (5.1) of the Forestry Revitalization Act, or

(b) if there are a series of reductions in area for that licence under the minister's order,

(i) for the first in the series of reductions, the period beginning on March 31, 2003 and ending on

(B) the subsequent date, if one is specified in the minister's order, in relation to that first reduction and for the purposes of section 3 (5.1) of the Forestry Revitalization Act, and

(ii) for a further reduction in the series of reductions, the period beginning at the end of the period for the immediately preceding reduction and ending on

(B) the subsequent date, if one is specified in the minister's order, in relation to that further reduction and for the purposes of section 3 (5.1) of the Forestry Revitalization Act; .

8 Section 105.2 (1) is repealed and the following substituted:

(1) If, in the opinion of an official designated by the minister, a stumpage rate, whether still in effect or expired, is or was in error because it was determined, redetermined or varied under section 105 (1) based on

(a) inaccurate information, or

(b) information generated using inaccurate information

that was submitted by or on behalf of the holder of an agreement referred to in that section, the official may direct that the stumpage rate be redetermined under that section

(d) in accordance with the minister's policies and procedures that were in effect at the time of the determination, redetermination or variation of the stumpage rate.

9 The following section is added:

Small scale salvage costs portion to be paid into special account

105.3 All revenue derived from the small scale salvage costs portion, if any, of a stumpage rate imposed in accordance with the policies and procedures referred to in section 105 (1) (c) must be paid into the Small Scale Salvage Sub-account of the Forest Stand Management Fund special account established by the Special Accounts Appropriation and Control Act.

10 Section 151 (1.1) is amended by adding the following paragraph:

(d) adopt the provisions of a publication or adopt them as they are amended from time to time.

Forest and Range Practices Act

11 Section 16 (2.1) of the Forest and Range Practices Act, S.B.C. 2002, c. 69, as amended by the Forests Statutes Amendment Act, 2004, S.B.C. 2004, c. 36, is amended by striking out "may may require" and substituting "may require".

12 Section 54 (2) is repealed and the following substituted:

(2) If the minister determines under section 71 that a person has contravened subsection (1), the minister may order the person to do one or more of the following:

(a) remove the building or other structure;

(b) destroy the building or other structure;

13 Section 87 (3) (b) is repealed and the following substituted:

(b) does not comply with an order under section 16 (5), 26 (6), 27 (2), 51 (7) or (8), 54 (2), 57 (4), 58 (1), 66 (1), 74 (1), 77 (1) or (2) or 77.1 (1) or (2), .

Forestry Revitalization Act

14 The Forestry Revitalization Act, S.B.C. 2003, c. 17, is amended by adding the following section:

Tree farm licence -- allowable annual cut defined

1.1 For the purposes of sections 2 (3) and 3 (3), "allowable annual cut" in relation to a tree farm licence in a group of licences means the allowable annual cut available to its holder.

15 Section 3 is amended

(a) in subsections (1), and (2) by striking out "By order in writing," and substituting "By one or more orders in writing,",

(b) by repealing subsections (1.1) and (4) and substituting the following:

(1.1) By one or more orders in writing, the minister must specify, for each of the timber licences referred to in subsection (1), the part of the area of Crown land described in the timber licence that

(a) remains after

(i) the reduction made by section 2 (2), and

(ii) the attribution under subsection (1), or

(b) is deleted from the timber licence as a result of the reduction and attribution.

(4) By one or more orders in writing, the minister may specify, for each tree farm licence in a group of licences, the area of Crown land in the tree farm licence area that

(a) remains after the reduction made by subsection (3), or

(b) is deleted from the tree farm licence area as a result of the reduction. , and

(c) by repealing subsection (5) and substituting the following:

(5) A minister's order under this section

(a) may be made or amended on any date in the 3 years after March 31, 2003,

(b) may differ for different timber, places or transactions or for different licences or timber licences, and

(5.1) On

(a) the date when a minister's order under this section is made, if no subsequent date is specified for this subsection under subsection (5) (c), or

(b) the subsequent date, if one is specified for this subsection under subsection (5) (c),

the minister's order

(d) is retroactive to the extent necessary to give it effect on and after March 31, 2003.

16 Section 5 is amended

(a) in subsection (2) by striking out "to reflect the minister's order under section 3 (1)." and substituting "to reflect the minister's orders under section 3 (1) and (1.1).", and

(b) in subsection (3) by striking out "to reflect the minister's orders under section 3 (3) and (4)." and substituting "to reflect the minister's orders under section 3 (2) and (4)."

Forests Statutes Amendment Act, 2004

17 Section 102 (a) of the Forests Statutes Amendment Act, 2004, S.B.C. 2004, c. 36, is repealed.

Protected Areas Forests Compensation Act

18 Section 3 of the Protected Areas Forests Compensation Act, S.B.C. 2002, c. 51, is amended by renumbering the section as section 3 (1) and by adding the following subsections:

(2) If doubt exists as to whether and to what extent, if any, an allowable cut reduction for a tree farm licence was or is attributable to the deletion of land referred to in subsection (1), the chief forester may issue a written statement resolving the doubt.

(3) A written statement under subsection (2) is conclusive for the purposes of subsection (1).

Special Accounts Appropriation and Control Act

19 Section 5 of the Special Accounts Appropriation and Control Act, R.S.B.C. 1996, c. 436, is amended

(a) in subsection (1) by striking out "and" at the end of paragraph (a), by adding "and" at the end of paragraph (b) and by adding the following paragraph:

(c) under section 105.3 of the Forest Act and earnings calculated and attributable to those amounts form a sub-account, called the Small Scale Salvage Sub-account. , and

(b) in subsection (2) by striking out "and" at the end of paragraph (a), by adding "and" at the end of paragraph (b) (v) and by adding the following paragraph:

(i) for a purpose related to the establishment of a free growing stand under the Forest and Range Practices Act, in respect of agreements under the Forest Act for which the rate of stumpage imposed includes a portion for small scale salvage costs,

(ii) for expenses directly or indirectly related to that purpose, and

(iii) to defray costs of administration and development in respect of the agreements referred to in subparagraph (i).

Wildfire Act

20 Section 84 of the Wildfire Act, S.B.C. 2004, c. 31, is repealed and the following substituted:

84 Section 54.6 (1) (c) (ii) is repealed and the following substituted:

(ii) imposed with respect to the agreement by or under

(A) this Act or the regulations under this Act,

(B) the Forest and Range Practices Act or the regulations or standards under that Act, or

21 Section 85 is repealed and the following substituted:

85 Section 78 (2) (c) is repealed and the following substituted:

(i) this Act or a regulation made under this Act,

(ii) the Forest and Range Practices Act or a regulation or standard made under that Act, or

(iii) the Wildfire Act or a regulation under that Act.

22 Section 89 as it re-enacts section 74 of the Forest and Range Practices Act is amended by repealing subsection (1) and substituting the following:

(1) If the minister determines that a person who

(a) is the holder of an agreement under the Forest Act or the Range Act, or

(b) is in a prescribed category of persons

has contravened a provision of this Act or a regulation or standard, the minister may order the person to do work reasonably necessary to remedy the contravention.

23 Section 101 is repealed and the following substituted:

101 Section 5 of the Special Accounts Appropriation and Control Act, R.S.B.C. 1996, c. 436, is amended

(a) by repealing subsection (1) (a) and (b) and substituting the following:

(a) under

(i) section 30 of the Forest and Range Practices Act, or

(ii) section 71 of the Forest Practices Code of British Columbia Act

and earnings calculated and attributable to those amounts form a sub- account, called the Silviculture Payments Sub-account,

(b) under

(i) section 73 of the Forest and Range Practices Act,

(ii) section 117.2 of the Forest Practices Code of British Columbia Act, or

(iii) section 32 of the Wildfire Act

and earnings calculated and attributable to those amounts form a sub- account, called the Environmental Remediation Sub-account, and ,

(b) in subsection (2) (b) (iv) by adding "Wildfire Act," after "Forest and Range Practices Act,",

(c) in subsection (2) (b) by adding the following subparagraph:

(vi) to defray fire control costs relating to contraventions of the Wildfire Act or the regulations under that Act, if a penalty has been levied under that Act in respect of the contravention, and , and

(d) by repealing subsection (2.1) and substituting the following:

(2.1) The amount expended under subsection (2) (b) (v) and (vi) must not exceed the amount in the Environmental Remediation Sub-account that is attributable to penalties levied under

(a) the Forest Practices Code of British Columbia Act and earnings calculated and attributable to those penalties, in respect of the contraventions referred to in subsection (2) (b) (v), and

(b) the Wildfire Act and earnings calculated and attributable to those penalties, in respect of the contraventions referred to in subsection (2) (b) (vi).

Commencement

24 This Act comes into force on the date of Royal Assent.

Explanatory Notes

Forest Act

SECTION 1: [Forest Act, section 14.1]

enables regulations to designate areas of Crown land infested by mountain pine beetles as mountain pine beetle salvage areas;
makes special provision, as shown, for new forest licences that specify areas that include all or part of a mountain pine beetle salvage area, to allow the government to cope expeditiously with the mountain pine beetle infestation that threatens pine forests in the interior of the province.

SECTION 2: [Forest Act, section 24.5] adds references to "district manager" to the provision that the allowable annual cut under a person's existing timber sale licence is to be added to a woodlot licence of the same holder.

SECTION 3: [Forest Act, section 24.7] adds references to "regional manager" to the provision respecting the surrender of a timber sale licence for a woodlot licence.

SECTION 4: [Forest Act, section 24.8] in the provision for the surrender of a timber sale licence for a forestry licence to cut, specifies a later beginning date for the term of the forestry licence to cut.

SECTION 5: [Forest Act, section 39] corrects a cross-reference.

SECTION 6: [Forest Act, Division 8.3 of Part 3] provides for the disposition, to a person other than the holder of a tree farm licence, of timber that is in the applicable tree farm licence area and has been taken back under the Forestry Revitalization Act from that holder.

SECTION 7: [Forest Act, section 80.2] is consequential to the amendments made by this Bill to the Forestry Revitalization Act

in section 80.2 (that takes into account the Forestry Revitalization Act), the definitions of "group licence interim period" and "timber licence interim period" are expanded to add the provisions that make reference to subsequent end-dates;
the definition of "minister's order" will now refer to section 3 of the Forestry Revitalization Act instead of to specific subsections.

SECTION 8: [Forest Act, section 105.2] clarifies the application of section 105.2 in respect of expired stumpage rates that were based on or derived from inaccurate information.

SECTION 9: [Forest Act, section 105.3] requires the revenue derived from the small scale salvage costs portion, if any, of a stumpage rate to be paid into a sub-account, established under this Bill, of the Forest Stand Management Fund special account.

SECTION 10: [Forest Act, section 151] adds the discretion to adopt by regulation the provisions of a publication.

Forest and Range Practices Act

SECTION 11: [Forest and Range Practices Act, section 16] removes a redundant "may".

SECTION 12: [Forest and Range Practices Act, section 54] recasts subsection (2) to clarify the minister's discretion to require one or more of the actions described.

SECTION 13: [Forest and Range Practices Act, section 87] re-enacts paragraph (b) of section 87 (3) of the Act to refer to provisions added by the Forests Statutes Amendment Act, 2004.

Forestry Revitalization Act

SECTION 14: [Forestry Revitalization Act, section 1.1] clarifies the intent of sections 2 (3) and 3 (3) that the allowable annual cut in relation to a tree farm licence is the allowable annual cut available to its holder, rather than the total allowable annual cut for the tree farm licence area.

SECTION 15: [Forestry Revitalization Act, section 3]

clarifies that the minister's discretion under section 3 (1), (1.1), (2) and (4) extends to making orders, from time to time and that the orders may be amended;
gives the minister the express choice, for a timber licence referred to in section 3 (1) of the Act, or for a tree farm licence in a group of licences, of specifying the area of Crown land that remains after a take-back of timber under the Act or of specifying, instead, the area of the deletion of timber from the timber licence as a result of the take-back;
re-enacts section 3 (5) of the Act to allow the minister, in making any of the orders to specify a date for subsection (5.1) that is subsequent to the date the order is made.

SECTION 16: [Forestry Revitalization Act, section 5] corrects cross-references.

Forests Statutes Amendment Act

SECTION 17: [Forests Statutes Amendment Act, 2004, section 102] as a consequence of the amendment made by this Bill to section 87 of the Forest and Range Practices Act, repeals a provision not yet in force that made the same amendment but contained punctuation errors.

Protected Areas Forests Compensation

SECTION 18: [Protected Areas Forests Compensation Act, section 3] provides the same mechanism for the chief forester to resolve doubt (as described) in relation to tree farm licences as is currently available to the minister (after consultation with the chief forester) in section 4 of the Act in relation to timber supply areas.

Special Accounts Appropriation and Control Act

SECTION 19: [Special Accounts Appropriation and Control Act, section 5] establishes the Small Scale Salvage Sub-account in the Forest Stand Management Fund special account in the consolidated revenue fund and sets out the permissible expenditures.

Wildfire Act

SECTION 20: [Wildfire Act, section 84] removes references no longer needed to the Forest Practices Code of British Columbia Act and its regulations or standards.

SECTION 21: [Wildfire Act, section 85] substitutes the reference to the Forest and Range Practices Act for a reference no longer needed to the Forest Practices Code of British Columbia Act.

SECTION 22: [Wildfire Act, section 89] re-enacts section 74 (1) of the Forest and Range Practices Act in a more succinct form to harmonize that provision with amendments made to section 74 of that Act by the Forests Statutes Amendment Act, 2004.

SECTION 23: [Wildfire Act, section 101] makes changes to section 5 of the Special Accounts Appropriation and Control Act, as amended by the Wildfire Act, in order to harmonize those amendments with the amendments made by this Bill to section 5 of that Act.

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