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FOREST LICENCE
A18969
THIS LICENCE, dated December 1, 1993
BETWEEN:
THE REGIONAL MANAGER, on behalf of
HER MAJESTY THE QUEEN IN RIGHT OF
THE PROVINCE OF BRITISH COLUMBIA
000 Xxxx Xxxxxx
Xxxxxx, Xxxxxxx Xxxxxxxx
X0X 0X0
(the "Licensor")
AND:
Xxxx & Talbot Ltd.
Xxx 00
Xxxxx Xxxxx, Xxxxxxx Xxxxxxxx
X0X 0X0
(the "Licensee")
WHEREAS under section 13 of the Forest Act, this Licence replaces
Xxxxxx Xxxxxxx Xx. X00000 dated December 1, 1988, the parties agree as follows:
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1.00 GRANT OF RIGHTS AND TERM
1.01 Subject to this Licence and the Forest Act, the Licensee has
the right to harvest an allowable annual cut of 434 549 m3 of
Crown timber each year during the term of this Licence from
areas of Crown land, within the Boundary Timber Supply Area,
which are specified in cutting permits and road permits.
1.02 The term of this Licence is fifteen (15) years, beginning
December 1, 1993.
2.00 REVISIONS TO ALLOWABLE ANNUAL CUT
2.01 The allowable annual cut is deemed to be increased or reduced,
as the case may be, according to increases and reductions made
to it under the Forest Act.
3.00 MANAGEMENT PLANS
3.01 A management plan or management and working plan approved
under the forest licence replaced by this Licence and still in
effect on the date immediately preceding the date on which
that forest licence expires is deemed to be the management
plan in effect under this Licence
(a) for the 12-month period beginning on the date
specified in paragraph 1.02, or
(b) until December 31, 1994,
whichever is later.
3.02 If there is no approved management plan or management and
working plan in effect under the forest licence replaced by
this Licence on the date immediately preceding the date on
which that forest licence expires, then the Licensee, not
later than six (6) months after the date specified in
paragraph 1.02, will submit for the Licensor's approval a
proposed management plan for the planning area.
3.03 The Licensee, not less than six (6) months prior to the
expiration of the management plan then in effect, will submit
for the Licensor's approval a proposed management plan to
replace the management plan then in effect.
3.04 The Licensor, in a notice given to the Licensee, may require
that a management plan be amended if
(a) timber in the Timber Supply Area is damaged by fire,
flood, wind, insects, disease or other causes,
(b) the Licensor determines that operations conducted in
accordance with the management plan are causing or
could cause serious damage to the natural
environment, including soils, fisheries, wildlife,
water, range, and recreation resources,
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(c) a land and resource management plan is approved,
amended or replaced,
(d) a local resource use plan is approved, amended or
replaced, or
(e) the Chief Forester determines a new allowable annual
cut for the Timber Supply Area.
and the Licensor considers that the management plan is thereby
rendered inadequate.
3.05 A notice referred to in paragraph 3.04 must specify
(a) why the Licensor considers the management plan has
been rendered inadequate,
(b) the extent to which the management plan is
inadequate, and
(c) the changes required by the Licensor.
3.06 Where the Licensor gives a notice referred to in paragraph
3.04 to the Licensee, the Licensee will, within three (3)
months after the date on which the notice is given, submit for
the Licensor's approval a proposed amendment to the management
plan, which incorporates the changes referred to in
subparagraph 3.05(c), to have effect during the unexpired term
of the management plan.
3.07 If the Licensee fails to comply with the requirements of
paragraph 3.06, the management plan then in effect will expire
three (3) months after the date on which the notice referred
to in paragraph 3.04 is given to the Licensee, in which case
the Licensee will submit for the Licensor's approval a
proposed management plan to replace the management plan which
expires under this paragraph.
3.08 A proposed management plan submitted by the Licensee under
paragraph 3.02, 3.03, or 3.07 must be signed and sealed by a
professional forester and signed by the Licensee or the
Licensee's authorized signatory, and must
(a) be prepared according to the guidelines set or
approved by the Ministry of Forests, which are in
effect four (4) months prior to the date on which the
proposed management plan is required to be submitted,
(b) be consistent with this Licence, and any land and
resource management plan and local resource use plan
in effect at the time the proposed management plan is
submitted,
(c) incorporate the commitments which
(i) were made by the Licensee
(A) in the application on which the
award of the forest licence
replaced by this Licence or any
predecessor to that forest licence
was based,
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(B) in accepting the offer of the
forest licence replaced by this
Licence or any predecessor to that
forest licence, or
(C) as a result of a request for the
Minister's consent for the purposes
of Section 50 of the Forest Act,
and
(ii) remain in effect at the time the proposed
management plan is submitted,
unless the Minister exempts the Licensee in whole or
in part from the requirements of this subparagraph,
(d) based on the best information readily available to
the Licensee, describe the timber and non-timber
resources within the planning area,
(e) specify measures to be taken, specifications to be
followed, and standards to be met by the Licensee in
the planning area to provide for
(i) integrated resource management,
(ii) forest fire prevention and suppression,
prescribed fire, and fuel management,
(iii) disease and pest management,
(iv) road planning, reconnaissance, survey,
design and construction, road maintenance
and road deactivation,
(v) harvesting methods and utilization standards
appropriate to the types of timber and
terrain within the planning area,
(vi) basic silviculture and, if applicable,
incremental silviculture, and
(vii) any other forest management assumptions or
constraints inherent in a land and resource
management plan or local resource use plan
in effect at the time the proposed
management plan is submitted,
which meet or, if the Licensee chooses, exceed the
applicable measures, standards or specifications
which have been set or approved by the Ministry of
Forests or are contained in a land and resource
management plan or local resource use plan in effect
at the time the proposed management plan is
submitted,
(f) specify measures to be taken by the Licensee to
(i) gather information regarding, and where the
Licensor requires, consult with
(A) other licensees, and
(B) trappers, guide outfitters, range
tenure holders, and other licensed
resource users,
who may be operating in the planning area,
and
(ii) coordinate the Licensee's operations with
(A) the small business forest
enterprise program,
(B) other licensees, and
(C) trappers, guide outfitters, range
tenure holders, and other licensed
resource users
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operating in the planning area,
(g) specify measures to be taken by the Licensee to
consult with aboriginal people regarding sustenance
activities they may be carrying out in the planning
area,
(h) have been referred to resource agencies in accordance
with Part 5,
(i) have been made available for public viewing in
accordance with Part 5, and
(j) include a summary of
(i) all input received under Part 5 from
resource agencies and the public not later
than two (2) weeks prior to submission of
the proposed management plan to the
Licensor, and
(ii) any modifications made to the proposed
management plan, prior to its submission to
the Licensor, in response to this input.
3.09 Subject to paragraph 3.10, the Licensor will approve a
proposed management plan submitted under paragraph 3.02, 3.03,
or 3.07, subject to such conditions as the Licensor considers
necessary or appropriate, if
(a) the Licensor is satisfied that the proposed
management plan meets the requirements of paragraph
3.08,
(b) the proposed management plan specifies measures
referred to in subparagraphs 3.08 (f) and (g) which
are satisfactory to the Licensor, and
(c) the modifications, if any, made to address the input
referred to in subparagraph 3.08 (j) are satisfactory
to the Licensor.
3.10 Before approving a proposed management plan under paragraph
3.09, the Licensor may consult
(a) resource agencies,
(b) aboriginal people who may be carrying out sustenance
activities in the planning area,
(c) trappers, guide outfitters, range tenure holders, and
other licensed resource users who may be operating in
the planning area,
(d) other licensees who may be operating in the planning
area,
(e) any local government which may be interested in, or
affected by, operations under this Licence, and
(f) any member of the public who provided input regarding
the proposed management plan,
and may consider any input received as a result of
consultation under this paragraph in approving a proposed
management plan.
3.11 Where the Licensor does not approve a proposed management
plan,
(a) the Licensor will specify in a notice given to the
Licensee why the Licensor has not approved the
management plan, and
(b) the Licensee will submit a new or revised proposed
management plan, as required by the Licensor.
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3.12 A management plan is deemed to be part of this Licence.
3.13 Subject to paragraphs 3.01, 3.07, 3.14, and 3.15, a management
plan expires five years after the date on which it takes
effect.
3.14 If the Licensor does not give the notice referred to in
subparagraph 3.11(a) to the Licensee within three (3) months
of the date on which the proposed management plan was
submitted, the term of the management plan then in effect is
deemed to be extended to a date six (6) months after the date
on which the notice referred to in subparagraph 3.11(a) is
given to the Licensee.
3.15 At the request of the Licensee, the Licensor may extend the
term of a management plan.
4.00 DEVELOPMENT PLANS
4.01 A five-year development plan approved under the forest licence
replaced by this Licence and still in effect on the date
immediately preceding the date on which that forest licence
expires is deemed to be the development plan in effect under
this Licence until
(a) one year after the date on which the five-year
development plan took effect under the forest licence
replaced by this Licence, or
(b) June 1, 1994,
whichever is later.
4.02 If there was no approved five-year development plan in effect
under the forest licence replaced by this Licence on the date
immediately preceding the date on which that forest licence
expires, then the Licensee, not later than 6 months after the
date specified in paragraph 1.02, will submit for the District
Manager's approval a proposed development plan for the
planning area for a period of
(a) five years, or
(b) more than five years, if the Licensee so chooses,
beginning on the date specified in paragraph 1.02.
4.03 The Licensee, not less than three (3) months prior to the
expiration of the development plan then in effect, will submit
for the District Manager's approval a proposed development
plan for the planning area for a succeeding period of
(a) five (5) years, or
(b) more than five (5) years, if the Licensee so chooses.
4.04 If the Licensor gives a notice referred to in paragraph 3.04
to the Licensee, the Licensor may at the same time give a
notice to the Licensee requiring
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the Licensee to amend the development plan to ensure
consistency with the changes referred to in subparagraph
3.05(c)
4.05 Where the Licensor gives a notice referred to in paragraph
4.04 to the Licensee, the Licensee will, within three (3)
months after the date on which the notice is given, submit for
the District Manager's approval a proposed amendment to the
development plan to have effect during the unexpired term of
the development plan.
4.06 If the Licensee fails to comply with the requirements of
paragraph 4.05, the development plan then in effect will
expire three (3) months after the date on which the notice
referred to in paragraph 4.04 is given to the Licensee, in
which case the Licensee will submit for the District Manager's
approval a proposed development plan to replace the
development plan which expires under this paragraph.
4.07 A proposed development plan submitted under paragraph 4.02,
4.03, or 4.06 must be signed and sealed by a professional
forester and signed by the Licensee or the Licensee's
authorized signatory, and must
(a) be prepared according to the guidelines set or
approved by the Ministry of Forests, which are in
effect four (4) months prior to the date on which the
proposed development plan is required to be
submitted,
(b) be consistent with this Licence and the management
plan in effect at the time the proposed development
plan is submitted,
(c) set out a proposed harvesting sequence of cut blocks
over a period of not less than five (5) years,
categorizing these cut blocks as follows:
(i) cut blocks covered by existing cutting
permits,
(ii) cut blocks covered by outstanding cutting
permit applications submitted to the
District Manager,
(iii) cut blocks for which the Licensee intends to
submit cutting permit applications during
the term of the proposed development plan,
and
(iv) cut blocks for which the Licensee does not
intend to submit cutting permit applications
during the term of the proposed development
plan,
(d) include the following information regarding the cut
blocks referred to in subparagraph (c):
(i) season of operation, logging system and
reforestation method, and
(ii) the status of adjacent logged areas,
(e) include one or more detailed maps of the following
information:
(i) based on the best information readily
available to the Licensee,
(A) the forest cover,
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(B) recreation areas, community
watersheds, fish spawning, fish
rearing and fish migration areas,
critical wildlife habitats, and any
other areas subject to integrated
resource management constraints,
and
(C) private properties, foreshore
leases, and public utilities within
the planning area,
(ii) based on information gathered by the
Licensee for the area covered by the
proposed development plan,
(A) operability and contour lines,
(B) sensitive soils, unstable slopes,
and areas subject to visual quality
constraints,
(C) boundaries of
(I) cut blocks referred to in
subparagraph (c), and
(II) existing cutting permits,
(D) existing roads including, where
applicable, linkage to the public
road system, timber processing
facilities and log dumps,
(E) proposed roads, including bridges
and major culverts,
(F) roads under construction,
(G) roads which have been deactivated
to a temporary or semi-permanent
level,
(H) fire breaks and fuel management
problem areas, and
(I) log handling and storage areas,
including existing or proposed log
dump sites,
(iii) based on consultation carried out in
accordance with the measures specified in
the management plan, the location of areas
where aboriginal people have indicated they
may be carrying out sustenance activities,
(iv) based on information gathered, or
consultation carried out, in accordance with
the measures specified in the management
plan, the location of areas where
(A) other licensees, and
(B) trappers, guide outfitters, range
tenure holders, and other licensed
resource users
may be operating in the planning area, and
(v) any other information required under the
guidelines referred to in subparagraph (a),
(f) include a Road Maintenance Plan complying with the
requirements of paragraph 10.04 and a Road
Deactivation Plan complying with the requirements of
paragraph 10.05,
(g) have been referred to resource agencies in accordance
with Part 5,
(h) have been made available for public viewing in
accordance with Part 5, and
(i) include a summary of
(i) all input received under Part 5 from
resource agencies and the public not later
than two (2) weeks prior to the date the
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development plan is required to be submitted
to the District Manager, and
(ii) any modifications made to the proposed
development plan, prior to its submission to
the District Manager, in response to this
input.
4.08 Subject to paragraphs 4.09 and 4.10, the District Manager will
approve a proposed development plan submitted under paragraph
4.02, 4.03, or 4.06, subject to such conditions as the
District Manager considers necessary or appropriate, if
(a) the District Manager is satisfied that the proposed
development plan meets the requirements of paragraph
4.07,
(b) the proposed harvesting sequence is satisfactory to
the District Manager,
(c) the District Manager is prepared to accept cutting
permit applications for the cut blocks referred to in
clause 4.07(c)(iii), and
(d) the modifications, if any, made to address the input
referred to in subparagraph 4.07 (i) are satisfactory
to the District Manager.
4.09 The District Manager will not approve a proposed development
plan unless there is a management plan in effect.
4.10 Before approving a proposed development plan under paragraph
4.08, the District Manager may consult
(a) resource agencies,
(b) aboriginal people who may be carrying out sustenance
activities in the planning area,
(c) trappers, guide outfitters, range tenure holders, and
other licensed resource users who may be operating in
the planning area,
(d) other licensees who may be operating in the planning
area,
(e) any local government which may be interested in, or
affected by, operations under this Licence, and
(f) any member of the public who provided input regarding
the proposed development plan, and
may consider any input received as a result of consultation
under this paragraph in approving a proposed development plan.
4.11 Where the District Manager does not approve a proposed
development plan,
(a) the District Manager will specify in a notice given
to the Licensee why the District Manager has not
approved the development plan, and
(b) the Licensee will submit a new or revised proposed
development plan, as required by the District
Manager.
4.12 A development plan is deemed to be part of this Licence.
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4.13 Subject to paragraphs 4.01, 4.06, 4.14, and 4.15, a
development plan expires [one/two] year[s] after the date on
which it takes effect.
4.14 If the District Manager does not give the notice referred to
in subparagraph 4.11(a) to the Licensee within 45 days of the
date on which the proposed development plan was submitted,
then the term of the development plan then in effect is deemed
to be extended to a date three (3) months after the date on
which the notice referred to in subparagraph 4.11(a) is given
to the Licensee.
4.15 At the request of the Licensee, the District Manager may
extend the term of the development plan for a period not
greater than one (1) year.
4.16 Before extending the term of a development plan under
paragraph 4.15, the District Manager may require the Licensee
to amend the development plan to the extent required to ensure
compliance with the management plan in effect at the time the
Licensee requests an extension to the term of the development
plan.
5.00 INPUT FROM RESOURCE AGENCIES AND THE PUBLIC
5.01 Before submitting a proposed management plan under
paragraph 3.02, 3.03, or 3.07, or a proposed development plan
under paragraph 4.02, 4.03, or 4.06, the Licensee will
(a) at least three (3) months before the proposed
management plan or proposed development plan is
submitted to the Licensor or District Manager, refer
the proposed management plan or proposed development
plan to those resource agencies specified in a notice
referred to in paragraph 5.04,
(b) make the proposed management plan or proposed
development plan available for public viewing
(i) subject to paragraph 5.03, for at least
5 days with the last day being at least
30 days before the proposed management plan
or proposed development plan is submitted to
the Licensor or District Manager,
(ii) at locations within communities and at times
which
(A) are convenient to the public, and
(B) have been approved by the Licensor
or District Manager, as the case
may be, and
(c) in accordance with paragraph 5.02, advertise where
and when the proposed management plan or proposed
development plan will be available for public
viewing.
5.02 Subject to paragraph 5.03, the Licensee will advertise for the
purposes of subparagraph 5.01(c), at least twice within a
period of two (2) consecutive weeks in at least one newspaper
circulating in the Timber Supply Area,
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with the last advertisement appearing at least two (2) weeks
prior to the first date on which the proposed management plan
or proposed development plan will be available for public
viewing.
5.03 The Licensor or the District Manager, in a notice given to the
Licensee not less than four (4) weeks prior to the first date
on which the Licensee must advertise under paragraph 5.02, may
specify
(a) a number of days greater or less than the five (5)
days referred to in subparagraph 5.01(b), and
(b) a period greater or less than the two (2) weeks
referred to in paragraph 5.02.
5.04 The Licensor or District Manager may from time to time, in a
notice given to the Licensee, specify resource agencies for
the purposes of paragraph 5.01.
6.00 ANNUAL REPORT
6.01 The District Manager, in a notice given to the Licensee on or
before April 1, may require the Licensee to submit an annual
report containing such information as the District Manager
requires regarding
(a) the Licensee's performance, over the previous
calendar year, in relation to its obligations under
this Licence, and
(b) the processing or other use or disposition of the
timber harvested under this Licence,
where the information is not or will not be included in any
other reports which the Licensee must submit under this
Licence or the Forest Act.
6.02 Upon receipt of a notice referred to in paragraph 6.01, the
Licensee, on or before the date specified in the notice, will
submit an annual report to the District Manager containing the
required information.
6.03 Subject to paragraph 6.04, the District Manager may include
the information contained in an annual report submitted under
paragraph 6.02 in any reports prepared by the Ministry of
Forests for public review.
6.04 Subject to the Freedom Of Information And Privacy Act, the
District Manager will not disclose information provided in
confidence by the Licensee in an annual report submitted under
paragraph 6.02.
6.05 The Licensee may make a copy of an annual report submitted
under paragraph 6.02 available for public review, and may
display a copy at any public viewing under Part 5.
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7.00 CUTTING PERMITS
7.01 All cutting permits in effect under the forest licence that is
replaced by this Licence continue in effect under this Licence
for the duration of their respective terms.
7.02 Subject to paragraph 7.04, the Licensee may submit cutting
permit applications for cut blocks referred to in clause
4.07(c)(iii), which are categorized as such in the
development plan.
7.03 Subject to paragraphs 7.05, 7.06, and 7.07, upon receipt of
a cutting permit application referred to in paragraph 7.02,
the District Manager will issue a cutting permit to the
Licensee if the District Manager is satisfied that the cutting
permit application meets the requirements of paragraph 7.04.
7.04 A cutting permit application referred to in paragraph 7.02
must be signed and sealed by a professional forester and
signed by the Licensee or the Licensee's authorized signatory
and must
(a) contain such information as is required by the
District Manager,
(b) subject to paragraph 7.09, be accompanied by a
proposed logging plan, and
(c) be consistent with the management plan and
development plan, and the pre-harvest silviculture
prescription approved for the area on which the
timber to be harvested is located.
7.05 The District Manager will not issue a cutting permit under
paragraph 7.03, unless:
(a) subject to paragraph 7.09, the District Manager has
approved the logging plan accompanying the cutting
permit application,
(b) the District Manager has approved a pre-harvest
silviculture prescription for the area on which
timber to be harvested is located, and
(c) there is a management plan and development plan in
effect.
7.06 The District Manager may consult
(a) resource agencies,
(b) aboriginal people who may be carrying out sustenance
activities in the planning area,
(c) trappers, guide outfitters, range tenure holders, and
other licensed resource users who may be operating in
the planning area, and
(d) other licensees who may be operating in the planning
area,
prior to issuing a cutting permit.
7.07 The District Manager may delay issuing a cutting permit if he
or she is satisfied that
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(a) the Licensee will be able to harvest the allowable
annual cut under existing cutting permits and road
permits, and
(b) the delay will not compromise the development plan.
7.08 Where the District Manager
(a) is not satisfied that a cutting permit application
meets the requirement of paragraph 7.04,
(b) is prohibited under paragraph 7.05, from issuing a
cutting permit,
(c) is carrying out consultations under paragraph 7.06,
or
(d) is delaying issuing the cutting permit under
paragraph 7.07, the District Manager will notify the
Licensee within 60 days of the date on which the
cutting permit application was submitted.
7.09 The District Manager may exempt the Licensee from the
requirement under paragraph 7.04(b), in which case the
District Manager is exempted from the prohibition under
subparagraph 7.05(a); however, where a cutting permit is
issued prior to the approval of the logging plan, the Licensee
will not commence operations under the cutting permit until
a logging plan has been approved.
7.10 If the District Manager requests the Licensee to remove
windthrown, dead, damaged or diseased timber within the Timber
Supply Area, and the Licensee agrees to do so, the District
Manager may
(a) amend an existing cutting permit, or
(b) issue a cutting permit,
to authorize the Licensee to harvest the timber.
7.11 A cutting permit must
(a) subject to this Licence and the Forest Act, and in
accordance with the provisions of the cutting permit,
authorize Crown timber to be harvested from proximate
cut blocks located within an area of Crown land in
the Timber Supply Area,
(b) be consistent with this Licence, the Forest Act, the
pre-harvest silviculture prescription approved for
the area on which the timber is to be harvested, and,
subject to paragraphs 7.10 and 7.15, the management
plan and development plan in effect on the date the
cutting permit is issued,
(c) subject to paragraph 7.14, be for a term not
exceeding three (3) years,
(d) prescribe the locations of roads to be built or
deactivated on the area covered by the cutting
permit, and the specifications and standards to be
followed in building or deactivating these roads,
(e) prescribe utilization standards and forestry
practices to be followed in timber harvesting
operations carried on under the cutting permit,
(f) provide for the payment of stumpage on timber
harvested under the cutting permit,
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(g) set out procedures for assessing the volumes of
timber wasted or damaged by the Licensee, and provide
for a charge based on applicable stumpage rates to be
paid by the Licensee,
(h) specify a timber xxxx to be used in conjunction with
the timber harvesting operations carried on under the
cutting permit,
(i) specify whether the cutting permit is scale based or
cruise based, and
(j) subject to subparagraph (b), include such other
provisions as the District Manager considers
necessary or appropriate.
7.12 Subject to paragraphs 7.13, 7.14 and 7.15, the District
Manager may amend a cutting permit only with the consent of
the Licensee.
7.13 A cutting permit that does not comply with the requirements of
paragraph 7.11 is not void; however,
(a) on the request of the Licensee, or
(b) on 4 weeks' notice to the Licensee,
the District Manager may amend the cutting permit to the
extent required to ensure compliance with the requirements of
paragraph 7.11.
7.14 The District Manager may, in a notice given to the Licensee,
extend the term of a cutting permit.
7.15 Where under paragraph 7.14 the District Manager extends the
term of a cutting permit, the District Manager may, in a
notice given to the Licensee, amend the cutting permit to the
extent required to ensure compliance with the management plan
and development plan in effect on the date the term of the
cutting permit is extended.
7.16 Unless exempted in writing by the District Manager or a person
authorized by the District Manager, the Licensee will define
on the ground the boundaries of the areas authorized for
harvesting under a cutting permit.
7.17 Timber cut under this Licence or a road permit must be
(a) marked according to the Forest Act, and
(b) unless the timber is cut under a cruise based cutting
permit, scaled according to the Forest Act and any
procedures set or approved by the Ministry of
Forests.
7.18 A cutting permit is deemed to be part of this Licence.
7.19 An approved logging plan referred to in paragraph 7.05 or 7.09
is deemed to be part of this Licence and the applicable
cutting permit.
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7.20 The Licensee will not harvest any timber under a cutting
permit, unless a pre-harvest silviculture prescription has
been approved for the area on which the timber is located.
7.21 A cutting permit or approved logging plan that is inconsistent
with the pre-harvest silviculture prescription approved for
the area covered by the cutting permit is not void, but to the
extent of the inconsistency the pre- harvest silviculture
prescription will prevail.
8.00 CUT CONTROL
8.01 The allowable annual cut must be harvested in accordance with
the cut control provisions of the Forest Act.
8.02 The five-year cut control period for this Licence commences
January 1, 1992.
9.00 FINANCIAL AND DEPOSITS
9.01 Where any money is payable by the Licensee under the Forest
Act in respect of this Licence or a road permit, the money
payable under the Forest Act is also deemed to be money
payable under this Licence.
9.02 In addition to any money payable by the Licensee under
paragraph 9.01, the Licensee will pay to the Crown,
immediately upon receipt of a notice issued on behalf of the
Crown,
(a) stumpage at rates determined, redetermined and varied
under the Forest Act in respect of timber harvested
under a cutting permit or a road permit,
(b) a bonus bid in the amount of $Nil/m3 in respect of
timber harvested under a cutting permit, and
(c) any charges in respect of an assessment referred to
in subparagraph 7.11(g).
9.03 During the term of this Licence, the Licensee will maintain on
deposit with the Crown an amount prescribed under the Forest
Act, in cash or in negotiable securities acceptable to the
Minister, as security for the Licensee's performance of its
obligations
(a) under this Licence or a road permit, or road permit,
and
(b) under the Forest Act in respect of this Licence or a
road permit, and
where the Licensor gives the Licensee a notice that an amount
has been taken under this Part from the deposit the Licensee,
within four (4) weeks of the date on which the notice is
given, will pay to the Crown, in cash or negotiable securities
acceptable to the Minister, an amount sufficient to replenish
the deposit.
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9.04 If the Licensee fails
(a) to pay money that the Licensee is required to pay to
the Crown under this Licence or a road permit, or
under the Forest Act in respect of this Licence or a
road permit, or
(b) to otherwise perform its obligations under this
Licence or a road permit, or under the Forest Act in
respect of this Licence or a road permit,
then the Licensor or District Manager may, after at least four
(4) weeks notice to the Licensee, take from the deposit
(c) an amount equal to the money which the Licensee
failed to pay,
(d) an amount sufficient to cover all costs reasonably
incurred by the Licensor or District Manager in
remedying the Licensee's failure to perform its
obligations, or
(e) an amount equal to the Licensor's or District
Manager's estimate of the costs which the Licensor or
District Manager could reasonably expect to incur in
remedying the Licensee's failure to perform its
obligations,
and for that purpose a security included in the deposit may be
sold.
9.05 A notice referred to in paragraph 9.04, must specify:
(a) the obligation which the Licensee has failed to
perform, and
(b) amount of money the Licensor or District Manager
intends to take from the deposit.
9.06 Subject to paragraphs 9.08, 9.09, and 9.10, where
(a) the Licensor or District Manager, under
paragraph 9.04, takes from the deposit an amount
equal to the Licensor's or District Manager's
estimate of the costs which the Licensor or District
Manager could reasonably expect to incur in remedying
the Licensee's failure to perform its obligations,
and
(b) the costs reasonably incurred by the Licensor or
District Manager in remedying the Licensee's failure
to perform its obligations are less than the amount
taken from the deposit,
the Licensor or District Manager, as the case may be, will as
soon as practicable return to the Licensee an amount equal to
the difference between the amount taken from the deposit and
the costs incurred by the Licensor or District Manager.
9.07 Where
(a) the Licensor or District Manager, under
paragraph 9.04, takes from the deposit an amount
equal to the Licensor's or District Manager's
estimate of the costs which the Licensor or District
Manager could reasonably expect to incur in remedying
the Licensee's failure to perform its obligations,
and
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(b) the costs reasonably incurred by the Licensor or
District Manager in remedying the Licensee's failure
to perform its obligations are greater than the
amount taken from the deposit,
the Licensor or District Manager may take from the deposit an
additional amount equal to the difference between the costs
incurred by the Licensor or District Manager and the amount
originally taken from the deposit, and for that purpose a
security included in the deposit may be sold.
9.08 Where the Licensor or District Manager, under paragraph 9.04,
takes from the deposit an amount equal to the Licensor or
District Manager's estimate of the costs which the Licensor or
District Manager could reasonably expect to incur in remedying
the Licensee's failure to perform its obligations, the
Licensor or District Manager, as the case may be, is under no
obligation to remedy the Licensee's failure.
9.09 Where
(a) the Licensor or District Manager, under paragraph
9.04, takes from the deposit an amount equal to the
Licensor's or District Manager's estimate of the
costs which the Licensor or District Manager could
reasonably expect to incur in remedying the
Licensee's failure to perform its obligations,
(b) Licensor or District Manager does not remedy the
Licensee's failure to perform its obligations, and
(c) the Licensor or District Manager, as the case may be,
gives a notice to the Licensee indicating that the
Crown will not be remedying the Licensee's failure to
perform its obligations,
then, subject to paragraph 9.10, the Licensor or the District
Manager, as the case may be, may retain the amount taken from
the deposit under paragraph 9.04.
9.10 If, after receiving a notice referred to in paragraph 9.09,
the Licensee
(a) remedies the failure to perform its obligations, and
(b) gives a notice to that effect to the Licensor or
District Manager, as the case may be, within three
(3) months of the date on which the notice referred
to in paragraph 9.09 , is given to the Licensee, or
within such longer period as the Licensor may
approve,
then the Licensor or District Manager, as the case may be,
will return to the Licensee an amount equal to the difference
between the amount taken from the deposit and any costs
reasonably incurred by the Licensor or District Manager in
respect of the Licensee's failure to perform its obligations.
9.11 If the Licensor or the District Manager considers that
(a) any operation that is to be carried out under this
Licence or a road permit is likely to cause damage to
persons or property, and
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(b) the deposit is insufficient to indemnify the Crown
for any liability which the Crown might incur as a
consequence of the operation,
then Licensor or District Manager may require the Licensee to
maintain with the Crown a special deposit, in cash or in
negotiable securities acceptable to the Minister, in the
amount determined by the Licensor or the District Manager.
9.12 If the Licensee fails to
(a) remedy any damage resulting from an operation
referred to in paragraph 9.11, or
(b) compensate any person who suffers a loss as a result
of an operation referred to in paragraph 9.11,
the Licensor or the District Manager may, after at least four
(4) weeks' notice to the Licensee, take an amount from the
special deposit sufficient to indemnify the Crown for any
liability which is or may be incurred by the Crown as a
consequence of a failure referred to in subparagraph (a) or
(b).
9.13 A notice referred to in paragraph 9.12 must specify:
(a) the nature of the Licensee's failure, and
(b) the amount of money the Licensor or District Manager
intends to take from the special deposit.
9.14 Subject to the Forest Act, the Licensor will refund to the
Licensee
(a) the deposit, less deductions made under paragraphs
9.04 and 9.07, when
(i) this Licence terminates or expires and is
not replaced under section 13 of the Forest
Act, and
(ii) the Licensor is satisfied that the Licensee
has fulfilled its obligations under this
Licence, and
(b) a special deposit, less deductions made under
paragraph 9.12, when the Licensor or District
Manager, acting reasonably, is satisfied that the
Crown is no longer at risk of being held liable as a
consequence of an operation referred to in paragraph
9.11.
10.00 ROADS
10.01 Subject to the provisions of a cutting permit or road permit,
the Licensee will ensure that the specifications, standards
and locations of all roads the Licensee builds on Crown land
under a cutting permit or road permit are consistent with the
management plan and development plan in effect at the time the
road is built.
10.02 Upon the expiry of a road permit, all improvements, including
roads and bridges, constructed by the Licensee under the
authority of the road permit will vest in the Crown, without
right of compensation to the Licensee, unless otherwise
specified in the road permit.
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10.03 The Licensee will not remove any improvements referred to in
paragraph 10.2, unless authorized to do so by the Licensor.
10.04 The Road Maintenance Plan included in the Development Plan
must
(a) identify those roads shown on the maps referred to in
subparagraph 4.07(e) which the Licensee will maintain
for harvesting, silviculture and forest protection
purposes, and
(b) specify the maintenance operations which the Licensee
will carry out to
(i) protect the structural integrity of the
roads referred to in subparagraph (a) and
the cleared area of the road right-of-way
adjoining these roads,
(ii) keep drainage systems, including culverts
and ditches, functional,
(iii) minimize surface erosion, and
(iv) ensure these roads are safe for forest
harvesting or other industrial purposes.
10.05 The Road Deactivation Plan included in the Development Plan
must
(a) identify those roads shown on the maps referred to in
subparagraph 4.07(e), which the Licensee will
deactivate each year over the next three (3) years,
specifying in each case whether the deactivation will
be temporary, semi-permanent or permanent,
(b) specify the operations required to
(i) stabilize the roads referred to in
subparagraph (a) and the cleared area of the
road right-of-way adjoining these roads, and
(ii) restore or maintain the natural drainage at
each road location,
(c) identify those roads shown on the maps referred to in
subparagraph 4.07(e) which have been deactivated by
the Licensee to a temporary or semi-permanent level
in the past year, and any other roads that have been
permanently deactivated by the Licensee in the past
year, and
(d) specify the type of vehicle which can access the
roads referred to in subparagraph (a) or (c).
11.00 FIRE PROTECTION
11.01 Before April 1 of each year during the term of this Licence,
the Licensee will submit for the District Manager's approval a
fire protection pre-organization plan consistent with this
Licence, and will include a duty roster in the fire protection
pre-organization plan.
11.02 An approved fire protection pre-organization plan is deemed to
be part of this Licence.
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11.03 The Licensee's obligations under an approved fire protection
pre-organization plan are in addition to and do not replace
its commitments in the management plan or development plan or
its obligations under section 121 of the Forest Act.
12.00 FORESTRY
12.01 The Licensee will, at its own expense and in accordance with
the Forest Act and pre-harvest silviculture prescriptions
approved by the District Manager, carry out basic silviculture
on the land from which timber is harvested under this Licence,
and the Licensee may enter onto Crown land for this purpose.
12.02 If, under this Licence or the Forest Act, the Licensee is to
develop or maintain a recreation site or trail on Crown land
in the Timber Supply Area, the Licensee may enter onto Crown
land for this purpose.
12.03 If the Licensee posts a sign concerning silviculture or the
development and maintenance of recreation sites or trails, the
sign must acknowledge any contribution made by the Crown in
respect of the silviculture or the development or maintenance
of recreation sites or trails.
12.04 The Licensee will annually review pest management strategies
with the District Manager and, if required by the District
Manager, the Licensee will submit a pest treatment plan for
the District Manager's approval.
12.05 The Licensee's obligations under an approved pest treatment
plan are in addition to and do not replace its commitments in
the management plan or development plan respecting pest
management.
13.00 CONTRACTORS
13.01 The Licensor, in a notice given to the Licensee, may require
that a portion of the volume of timber harvested under this
Licence during any calendar year be harvested by persons under
contract with the Licensee, and, where a notice is given under
this paragraph, it is deemed to be part of this Licence.
13.02 A notice given under the forest licence replaced by this
Licence, requiring a portion of the volume of timber harvested
under that forest licence be harvested by persons under
contract with the Licensee, is deemed to be a notice given
under paragraph 13.01 and a part of this Licence.
13.03 The Licensee will comply with a notice referred to in
paragraph 13.01 or 13.02 unless the Minister relieves the
Licensee in whole or in part from the requirements of this
paragraph.
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13.04 Compliance with a notice referred to in paragraph 13.01 or
13.02 will be calculated in accordance with the method
prescribed under the Forest Act.
13.05 If in a calendar year the volume of timber harvested by
persons under contract with the Licensee is less than a volume
required in a notice referred to in paragraph 13.01 or 13.02,
the Licensee will on demand pay to the Crown, an amount of
money equal to
(a) the volume required in the notice minus the volume
harvested during the calendar year by persons under
contract, multiplied by
(b) the weighted average of the stumpage rates, including
bonus bids if applicable, charged in invoices issued
to the Licensee during the calendar year for timber
harvested under this Licence,
unless the Minister relieves the Licensee in whole or in part
from the requirements of this paragraph.
14.00 TIMBER PROCESSING
14.01 The Licensee will process all timber harvested under this
Licence or a road permit, or equivalent volumes, through a
timber processing facility
(a) owned or operated by the Licensee or an affiliate of
the Licensee within the meaning of the Company Act,
and
(b) equipped to carry out debarking and chipping,
unless the Minister exempts the Licensee in whole or in part
from the requirements of this paragraph.
14.02 Where the Licensee
(a) intends to close a timber processing facility or
reduce its production, or
(b) has reason to believe that an affiliate of the
Licensee within the meaning of the Company Act
intends to close a timber processing facility or
reduce its production,
for a period of longer than 90 days the Licensee will give the
Minister at least three (3) months' notice prior to the
closure or reduction.
14.03 Where
(a) the Licensee, or
(b) an affiliate of the Licensee within the meaning of
the Company Act,
closes a timber processing facility or reduces its production
for a period longer than 90 days, the Licensee will on
request of the Minister provide information regarding the
volume of Crown timber processed through the timber
processing facility during the 24-month period immediately
preceding the closure or reduction in production level.
14.04 The Licensee will continue to operate, and where applicable
construct or expand, a timber processing facility in
accordance with
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(a) the proposal made in the application on which the
award of the forest licence replaced by this Licence
or any predecessor to that forest licence was based,
or
(b) any modifications to that proposal which have been
approved by an appropriate official of the Ministry
of Forests.
15.00 LIABILITY AND INDEMNITY
15.01 The Licensee will indemnify the Crown against and save it
harmless from all claims, demands, suits, actions, causes of
action, costs, expenses and losses faced, incurred or suffered
by the Crown as a result, directly or indirectly, of any act
or omission of
(a) the Licensee,
(b) an employee of the Licensee,
(c) a contractor of the Licensee who engages in any
activity or carries out any operation, including but
not restricted to harvesting operations, under or
associated with this Licence or a road permit, or
(d) any other person who on behalf of or with the consent
of the Licensee engages in any activity or carries
out any operation, including but not restricted to
harvesting operations, under or associated with this
Licence or a road permit.
15.02 For greater certainty, the Licensee has no obligation to
indemnify the Crown under paragraph 15.01 in respect of any
act or omission of
(a) an employee or agent of the Crown, in the course of
carrying out his or her duties as employee or agent
of the Crown, or
(b) a person, other than the Licensee, to whom the Crown
has granted the right to use or occupy Crown land, in
the course of exercising those rights.
15.03 Money taken under Part 9 from a deposit or special deposit,
money paid by the Licensee under paragraph 13.05 or 15.01, and
reductions in the allowable annual cut made under the Forest
Act are in addition to and not in substitution for any other
remedies available to the Crown in respect of a default of the
Licensee.
16.00 TERMINATION AND SURRENDER
16.01 If this Licence is terminated, expires and is not replaced
under Section 13 of the Forest Act, or if this Licence is
cancelled,
(a) cutting permits will terminate when the expiration,
termination or cancellation occurs, and
(b) title to all
(i) improvements, including roads and bridges,
constructed by the Licensee under the
authority of this Licence, and
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(ii) logs and special forest products which were
harvested under the authority of this
Licence and are still located on Crown land,
will vest in the Crown, without right of compensation
to the Licensee.
16.02 The Licensee will not remove any improvements, logs or special
forest products referred to in subparagraph 16.01(b), unless
authorized to do so by the Licensor.
16.03 Subject to paragraph 16.04, if the Licensee commits an act of
bankruptcy, makes a general assignment for the benefit of its
creditors or otherwise acknowledges its insolvency, the
Licensor may cancel this Licence in a notice given to the
Licensee.
16.04 The Licensor will not cancel this Licence under paragraph
16.03 unless and until the Licensor gives a written notice to
every holder of a registered security interest that charges
this Licence, allowing a period of not less than 60 days prior
to cancellation during which the holder of the registered
security interest may exercise the rights and pursue the
remedies available in respect of the registered security
interest.
17.00 NOTICE
17.01 A notice given under this Licence must be in writing.
17.02 Where a notice is to be given under this Licence, it may be
(a) delivered by hand, or
(b) sent by prepaid registered mail addressed to the
address
(i) specified on the first page of this Licence,
or
(ii) to such other address as is specified in a
notice given in accordance with this Part.
17.03 Where a notice is given under this Licence, it is deemed to
have been given
(a) if it is given in accordance with subparagraph
17.02(a), on the date it is delivered,
(b) if it is given in accordance with subparagraph
17.02(b), subject to paragraph 17.04, on the eighth
day after its deposit in a Canada Post Office at any
place in Canada.
17.04 Where, between the time a notice is mailed in accordance with
subparagraph 17.02(b) and the time it is actually received by
a party, there occurs a postal strike, lockout or slowdown
that might reasonably affect delivery of the notice, the
notice is not deemed to be given until the party actually
receives it.
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18.00 MISCELLANEOUS
18.01 This Licence is subject to the Forest Act, and is governed by
the laws of British Columbia.
18.02 This Licence will enure to the benefit of, and be binding on,
the parties and their respective heirs, executors, successors
and permitted assigns.
18.03 Where under this Licence the Licensor or the District Manager
has a discretion to impose a condition or require information,
the Licensor or District Manager will exercise this discretion
in a reasonable manner, having regard to the purposes and
functions of the Ministry of Forests set out in Section 4 of
the Ministry Of Forests Act.
19.00 INTERPRETATION
19.01 In this Licence, unless the context otherwise requires:
(a) "aboriginal people" includes registered and
non-registered Indians, Inuits and Metis,
(b) "allowable annual cut" means, subject to paragraph
2.01, the amount of timber the Licensee is
authorized to harvest annually, as specified in
paragraph 1.01,
(c) "close" or "closure" means cessation of production of
the principal forest products normally produced by a
timber processing facility,
(d) "cutting permit" means a cutting permit referred to
in paragraph 7.01, or issued under paragraph 7.03 or
7.10,
(e) "deposit" means the deposit which the Licensee is
required to maintain under paragraph 9.03,
(f) "development plan" means a development plan referred
to in paragraph 4.01, or approved under paragraph
4.08,
(g) "District Manager" means a district manager appointed
under the Ministry Of Forests Act, for a forest
district in which all or part of the Timber Supply
Area is situated,
(h) "Forest Act" means:
(i) the Forest Act, R.S.B.C. 1979, c. 140, as
amended, or the successor to this Act, if it
is repealed, and
(ii) the regulations enacted under this Act or
its successor.
(i) "harvest" includes entry on land for the purpose of
cutting and removing timber, cutting the timber and
removing the timber from the land,
(j) "land and resource management plan" means a plan,
approved by an appropriate official of the government
of British Columbia, which provides direction for
land use, and establishes resource management
objectives and strategies, for all or part of the
Timber Supply Area,
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(k) "licensees" means holders of agreements entered into
under the Forest Act,
(l) "local resource use plan" means any plan approved by
the District Manager which provides guidelines for
resource use and development in all or part of the
planning area,
(m) "logging plan" means one or more detailed maps
setting out how the Licensee proposes to conduct
harvesting and related operations on one or more cut
blocks covered or to be covered by a cutting permit,
(n) "management plan" means a management plan referred to
in paragraph 3.01, or approved under paragraph 3.09,
(o) "Minister" means the minister responsible for
administering the Forest Act,
(p) "person" includes a corporation and a partnership,
(q) "planning area" means that part of the Timber Supply
Area for which the Licensee is recognized as a major
user of the timber resource,
(r) "resource agency" means any governmental agency,
ministry or department having jurisdiction over a
resource which, in the Licensor's or District
Manager's opinion, may be affected by any activity or
operation, including but not restricted to harvesting
activities or operations, engaged in or carried out
under or associated with this Licence or a road
permit,
(s) "Road Deactivation Plan" means a road deactivation
plan referred to in paragraph 10.05,
(t) "Road Maintenance Plan" means a road maintenance plan
referred to in paragraph 10.04,
(u) "road permit" means a road permit entered into under
the Forest Act which provides access to timber
harvested, or to be harvested, under this Licence,
(v) "special deposit" means a special deposit which the
Licensee is required to maintain under paragraph
9.11,
(w) "sustenance activities" means activities associated
with traditional aboriginal life, such as hunting,
gathering and collecting activities, and includes
cultural, spiritual and religious activities,
(x) "Timber Supply Area" means the timber supply area
described in paragraph 1.01.
19.02 Unless otherwise provided in paragraph 19.01, if a word or
phrase used in this Licence is defined in the Forest Act, the
definition in the Forest Act applies to this Licence, and
where the word or phrase in the Forest Act is replaced by a
new word or phrase, this Licence is deemed to have been
amended accordingly.
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19.03 Where a provision of the Forest Act referred to in this
Licence is renumbered, the reference in this Licence must be
construed as a reference to the provision as renumbered.
19.04 In this Licence, unless the context otherwise requires,
(a) the singular includes the plural and the plural
includes the singular, and
(b) the masculine, the feminine and the neuter are
interchangeable.
19.05 This Licence is divided into parts, paragraphs, subparagraphs,
clauses and subclauses, illustrated as follows:
1.00 part,
1.01 paragraph,
(a) subparagraph,
(i) clause,
(A) subclause;
and a reference to a subparagraph, clause or subclause must be
construed as a reference to a subparagraph, clause or
subclause of the paragraph, subparagraph or clause, as the
case may be, in which the reference occurs.
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IN WITNESS WHEREOF this Licence has been executed by the
Licensor and the Licensee.
SIGNED on _________________, 19___
by the Regional Manager on )
behalf of Her Majesty the Queen )
in Right of the Province of British )
Columbia in the presence of: )
)
___________________________________ ) ____________________________________
) XXXX X. XXXXX
___________________________________ ) XXXXXX FOREST REGION
THE COMMON SEAL OF the )
Licensee was affixed on )
_______________, 19__ in the )
presence of: )
) c/s
)
___________________________________ )
)
___________________________________ )
(or)
SIGNED on _____________, 19__ )
by the Licensee, in the )
presence of: )
)
)
___________________________________ ) ____________________________________
) XXXX & XXXXXX LTD.
___________________________________ )
27.
