Definition

1   In this regulation, "Act" means the Forest Act.

Excess harvesting penalty for short term licences and forestry licences to cut

2   (1) In this section, "licence" means a licence as defined in sections 75.2 (1) and 75.21 (1) of the Act.

(2) For the purposes of sections 75.2 (4) (b) and 75.21 (4) (b) of the Act, the prescribed rate is,

(a) if the volume of timber harvested in excess of the applicable limit under section 75.2 (2) or (2.1) or 75.21 (2) of the Act is less than or equal to 15% of the applicable limit, the lesser of

(i) $4.00 per cubic metre, and

(ii) the average stumpage rate that was applicable to timber harvested under the licence during the last year in which stumpage was payable in respect of that timber, or

(b) if the volume of timber harvested in excess of the applicable limit under section 75.2 (2) or (2.1) or 75.21 (2) of the Act exceeds 15% of the applicable limit, the average stumpage rate that was applicable to timber harvested under the licence during the last year in which stumpage was payable in respect of that timber.

[am. B.C. Reg. 382/2008.]

Excess harvesting penalty for replaceable licences

3   (1) In this section, "licence" means a licence, as defined in section 75.4 of the Act, a forest licence, as defined in section 75.5 of the Act or a timber sale licence as defined in section 75.5 of the Act.

(2) For the purposes of section 75.91 (2) (b) of the Act, the prescribed rate for a licence that is replaceable is twice the average stumpage rate that was applicable to timber harvested under the licence during the last year in which stumpage was payable in respect of that timber.

[am. B.C. Reg. 369/2007, s. 1.]

Excess harvesting penalty for non-replaceable licences

4   (1) In this section, "licence" means a licence, as defined in section 75.4 of the Act, a forest licence, as defined in section 75.5 of the Act or a timber sale licence as defined in section 75.5 of the Act.

(2) For the purposes of section 75.91 (2) (b) of the Act, the prescribed rate for a licence that provides that a replacement for it must not be offered is

(a) the average stumpage rate that was applicable to timber harvested under the licence during the last year in which stumpage was payable in respect of that timber, for the portion of the volume of timber harvested in excess of the applicable limit under section 75.91 (1) of the Act that is less than or equal to 10% of the total volume of timber authorized for harvest over the term of the licence, and

(b) twice the average stumpage rate that was applicable to timber harvested under the licence during the last year in which stumpage was payable in respect of that timber, for the portion of the volume of timber harvested in excess of the applicable limit under section 75.91 (1) of the Act that exceeds 10% of the total volume of timber authorized for harvest over the term of the licence.

[am. B.C. Reg. 369/2007, s. 1.]

Repealed

5-10   Repealed. [B.C. Reg. 33/2018.]

Repealed

11-16   Repealed. [B.C. Reg. 33/2018.]

Definitions

16.1   In this Division:

"cut control period" means "cut control period", as defined in section 75.1 of the Act;

"final cut control period", when used in relation to a pre-existing licence, means the cut control period ending on December 31st of the year preceding the calendar year in which the pre-existing licence is surrendered;

"final sum of allowable annual cuts", when used in relation to a pre-existing licence, means the sum of the allowable annual cuts that would have been authorized under the pre-existing licence if

(a) the final cut control period for the pre-existing licence had a term of 5 years, and

(b) during that period the allowable annual cut for the pre-existing licence remained the same;

"first nations woodland licence", when used in relation to a pre-existing licence, means the first nations woodland licence that is entered into under section 43.54 (2) of the Act after the surrender of the pre-existing licence;

"pre-existing licence" means

(a) a licence, as defined in section 75.4 (1) of the Act,

(b) a forest licence, as defined in section 75.5 (1) of the Act, or

(c) a timber sale licence, as defined in section 75.5 (1) of the Act,

that is surrendered under section 43.54 (4) (b) of the Act because the surrender is required under the agreement between the first nation and the government referred to in that section.

[en. B.C. Reg. 104/2011, Sch. 4; am. B.C. Regs. 203/2012, Sch. 1, s. 1; 278/2012, s. (a).]

Cut control requirements

16.2   (1) On the surrender of a pre-existing licence, the volume of timber harvested that was charged to the pre-existing licence in the calendar year in which the pre-existing licence is surrendered must be charged to the first nations woodland licence.

(2) If the volume of timber harvested during the final cut control period of a pre-existing licence exceeds the sum of the allowable annual cuts for that period that are authorized for the licence, the excess volume must be charged to the first nations woodland licence.

[en. B.C. Reg. 104/2011, Sch. 4.]

Penalty for pre-existing licences other than licences
to which section 16.4 applies

16.3   (1) This section applies to a pre-existing licence other than

(a) a woodlot licence referred to in section 75.4 (1) (a.1) of the Act,

(b) a forest licence, as defined in section 75.5 (1) of the Act, or

(c) a timber sale licence, as defined in section 75.5 (1) of the Act.

(2) If the volume of timber harvested during the final cut control period of a pre-existing licence to which this section applies exceeds 110% of the final sum of allowable annual cuts, the holder of the pre-existing licence must pay to the government the penalty determined under subsection (3).

(3) The penalty under subsection (2) is the product of

(a) the volume of timber harvested that exceeds 110% of the final sum of allowable annual cuts, and

(b) twice the average stumpage rate that was applicable to timber harvested under the pre-existing licence during the last year in which stumpage was payable in respect of that timber.

[en. B.C. Reg. 104/2011, Sch. 4.]

Penalty for woodlot licence, or for forest licence or
timber sale licence defined in section 75.5 of Act

16.4   (1) This section applies to a pre-existing licence if the pre-existing licence is

(a) a woodlot licence referred to in section 75.4 (1) (a.1) of the Act,

(b) a forest licence, as defined in section 75.5 (1) of the Act, or

(c) a timber sale licence, as defined in section 75.5 (1) of the Act.

(2) If the volume of timber harvested during the final cut control period of a pre-existing licence to which this section applies exceeds 120% of the final sum of allowable annual cuts, the holder of the pre-existing licence must pay to the government the penalty determined under subsection (3).

(3) The penalty under subsection (2) is the product of

(a) the volume of timber harvested that exceeds 120% of the final sum of allowable annual cuts, and

(b) twice the average stumpage rate that was applicable to timber harvested under the pre-existing licence during the last year in which stumpage was payable in respect of that timber.

[en. B.C. Reg. 104/2011, Sch. 4.]

Penalty in addition to stumpage

16.5   A penalty under section 16.3 or 16.4 is in addition to stumpage payable or another penalty under the Act or another enactment.

[en. B.C. Reg. 104/2011, Sch. 4.]

Provisions in Act not applicable

16.6   Sections 75.4 (7), 75.41 (2), 75.5 (5), 75.51 (2), 75.7, 75.8 and 75.91 of the Act do not apply to or in respect of

(a) a pre-existing licence, or

(b) the holder of that licence.

[en. B.C. Reg. 104/2011, Sch. 4.]

Reduction in volume of timber harvested

17   (1) In this section:

"Coast Schedule" means the Schedule of Coast Timber Grades to the Scaling Regulation;

"Interior Schedule" means the Schedule of Interior Timber Grades to the Scaling Regulation.

(2) For the purposes of section 75.1 (3) (a) of the Act, the volume of timber harvested attributed to a licence in cut control statements is adjusted downward by 100% for grade code Z listed in the Coast Schedule.

(3) For the purposes of section 75.1 (3) (a) of the Act, the volume of timber harvested attributed to a licence, other than a tree farm licence, in cut control statements is adjusted downward for a grade code listed in the Interior Schedule as follows:

(a) for grade code 6 or Z, by 100%;

(b) for grade code 5 listed in the Interior Schedule as it read on March 31, 2006, if that grade code is shown on a cut control statement issued between January 1, 2006 and June 30, 2007 to the holder of the licence, by 100%;

(c) for grade code 3 listed in the Interior Schedule as it read on March 31, 2006, by 100%, if that grade code is

(i) shown on a cut control statement issued between January 1, 2006 and June 30, 2007 to the holder of the licence, and

(ii) described as "endemic damage" or words to that effect;

(d) Repealed. [B.C. Reg. 258/2019.]

(4) For the purposes of section 75.1 (3) (a) of the Act, the volume of timber harvested attributed in cut control statements to a tree farm licence set out in Column 1 of Schedule B is adjusted downward for a grade code listed in the Interior Schedule as follows:

(a) for grade code 6 or Z, by 100%;

(b) for grade code 5 listed in the Interior Schedule as it read on March 31, 2006, if that grade code is shown on a cut control statement issued between January 1, 2006 and June 30, 2007 to the holder of the licence, by 100%;

(c) for grade code 3 listed in the Interior Schedule as it read on March 31, 2006, by 100%, if that grade code is

(i) shown on a cut control statement issued between January 1, 2006 and June 30, 2007 to the holder of the licence, and

(ii) described as "endemic damage" or words to that effect;

(d) for grade code 1, 2 or 4, if that grade code is shown on a cut control statement issued on or after April 1, 2006 to the holder of the licence, by the percentage for each timber species set out in Column 2 of Schedule B opposite the tree farm licence set out in Column 1 of that Schedule.

(5) Repealed. [B.C. Reg. 369/2007, s. 2 (b).]

(6) Despite subsection (3) (d) or (4) (d) and subject to subsection (7) and to an order of the minister under section 17.1, the volume of timber harvested attributed to a licence in cut control statements is adjusted downward by 100% for grade code 4 listed in the Interior Schedule if

(a) the timber is sold or delivered to

(i) a mill that produces pulp, paper or newsprint,

(ii) a chipping plant, or

(iii) another facility that produces products from timber other than lumber or veneer, and

(b) the timber is scaled

(i) before it is sold or delivered in accordance with paragraph (a), and

(ii) on or after January 1, 2007.

(c) Repealed. [B.C. Reg. 93/2014, Sch., s. 1 (d).]

(7) Subsection (6) does not apply to the following:

(a) a holder of a licence in cut control statements listed in Schedule D with respect to the licence listed in that Schedule;

(b) a forestry licence to cut;

(c) a non-replaceable forest licence entered into under section 13 (6) of the Act in respect of a licence under section 13 (2.1) of the Act;

(d) a non-replaceable forest licence entered into under section 13.1 (5) of the Act.

[en. B.C. Reg. 354/2006; am. B.C. Regs. 359/2006, s. 1; 207/2007; 254/2007; 369/2007, s. 2; 111/2008, s. (a); 128/2010; 133/2011, Sch., s. 12; 115/2012, s. 1; 93/2014, Sch., s. 1; 258/2019.]

Minister's order setting limits on downward adjustments

17.1   (1) The minister may set, by order respecting an area, a limit on one or both of the following amounts:

(a) the aggregate volume of downward adjustments that may be made under section 17 (6) to one or more types of licences in the area;

(b) the volume of downward adjustment that may be made under section 17 (6) to a licence or type of licence specified in the order.

(2) If the minister sets a limit by order under subsection (1), the limit must apply for at least 6 months.

[en. B.C. Reg. 93/2014, Sch., s. 2.]

Definitions and interpretation

18   In this Division:

"forest licence" means a licence that is a forest licence;

"harvesting licence", in relation to a volume of timber harvested under a licence and attributed to another licence, means the licence under which the volume of timber was harvested;

"licence" means a licence, as defined in a provision of Division 3.1 of Part 4 of the Act;

"receiving licence", in relation to a volume of timber harvested under a licence and attributed to another licence, means the licence to which the volume of timber is attributed.

"restricted forest licence" means a forest licence that is a restricted forest licence, as defined in section 14.2 (1) of the Act.

[en. B.C. Reg. 203/2012, Sch. 1, s. 2; am. B.C. Regs. 190/2014, Sch. 3, s. 1; 62/2024, Sch., s. 24.]

Crediting volume between licences

19   The minister may attribute a portion of the volume of timber harvested under a licence to another licence if,

(a) subject to section 20, the harvesting licence and the receiving licence each grant rights to harvest timber within the same timber supply area,

(a.1) subject to section 21,

(i) the harvesting licence is a woodlot licence, and

(ii) the receiving licence is a restricted forest licence, other than a supplemental forest licence,

(b) subject to section 22, the harvesting licence and the receiving licence each grant rights to harvest timber within the same tree farm licence area, or

(c) subject to section 23, the harvesting licence and the receiving licence each grant rights to harvest timber within the same woodlot licence area.

[en. B.C. Reg. 203/2012, Sch. 1, s. 2; am. B.C. Reg. 190/2014, Sch. 3, s. 2.]

Attribution if licences in same timber supply area

20   (1) An attribution may be made under section 19 (a) only if

(a) both the harvesting licence and the receiving licence are one of the following types of licence, but the licences need not be of the same type:

(i) a forest licence, other than a supplemental forest licence;

(ii) a timber sale licence that specifies an allowable annual cut;

(iii) a forestry licence to cut that is also a major licence,

(b) neither the harvesting licence nor the receiving licence grants rights to harvest timber within

(i) a tree farm licence area, or

(ii) a woodlot licence area, and

(c) the minister is satisfied that

(i) both the holder of the harvesting licence and the holder of the receiving licence consent to the attribution,

(ii) a final cut control statement has not been issued in respect of

(A) the relevant cut control period for the harvesting licence, or

(B) the relevant cut control period for the receiving licence,

(iii) the attribution to the receiving licence is being made in respect of the same calendar year as the calendar year in which the volume of timber being attributed was, as applicable,

(A) reported by scale under the harvesting licence,

(B) calculated based on a timber cruise under the harvesting licence, or

(C) cut without authorization under the harvesting licence,

(iv) neither the holder of the harvesting licence nor the holder of the receiving licence is in contravention of a provision under Division 3.1 of Part 4 of the Act, and

(v) the attribution is not contrary to the public interest.

(2) In this subsection and subsection (1) (c) (ii) and (iii):

"calculated based on a timber cruise", in relation to the volume of timber being attributed, means the volume, if any, that was calculated under section 75.1 (2) (b) of the Act using information from a cruise of the timber before the timber was cut;

"cut without authorization", in relation to the volume of timber being attributed, means the volume, if any, that was identified under section 75.1 (2) (c) of the Act as timber that was cut, damaged or destroyed without authorization;

"relevant cut control period" means,

(a) in relation to the harvesting licence, the particular cut control period that the harvesting licence was in at the time the volume of timber being attributed was, as applicable,

(i) reported by scale under the harvesting licence,

(ii) calculated based on a timber cruise under the harvesting licence, or

(iii) cut without authorization under the harvesting licence, and

(b) in relation to the receiving licence, the particular cut control period that the receiving licence was in at the time the volume of timber being attributed was, as applicable,

(i) reported by scale under the harvesting licence,

(ii) calculated based on a timber cruise under the harvesting licence, or

(iii) cut without authorization under the harvesting licence;

"reported by scale", in relation to the volume of timber being attributed, means the volume, if any, that was reported by scale and identified under section 75.1 (2) (a) of the Act.

[en. B.C. Reg. 203/2012, Sch. 1, s. 2; am. B.C. Reg. 190/2014, Sch. 3, s. 3.]

Exception for woodlot licences and restricted forest licences

21   An attribution may be made under section 19 (a.1) only if

(a) the woodlot licence area described in the woodlot licence

(i) is entirely or partly within the timber supply area specified in the restricted forest licence, or

(ii) is entirely within a timber supply area that is adjacent to the timber supply area specified in the restricted forest licence, and

(b) the minister is satisfied that all of the requirements set out in subparagraphs (i) to (v) of section 20 (c) are met.

[en. B.C. Reg. 203/2012, Sch. 1, s. 2; am. B.C. Reg. 190/2014, Sch. 3, s. 4.]

Attribution if licences in same tree farm licence area

22   An attribution may be made under section 19 (b) only if

(a) both the harvesting licence and the receiving licence are one of the following types of licence, but the licences need not be of the same type:

(i) a forest licence, other than a supplemental forest licence;

(ii) a timber sale licence that specifies an allowable annual cut;

(iii) a tree farm licence;

(iv) a forestry licence to cut that is also a major licence, and

(b) the minister is satisfied that all of the requirements set out in subparagraphs (i) to (v) of section 20 (c) are met.

[en. B.C. Reg. 203/2012, Sch. 1, s. 2; am. B.C. Reg. 190/2014, Sch. 3, s. 5.]

Attribution if licences in same woodlot licence area

23   An attribution may be made under section 19 (c) only if

(a) both the harvesting licence and the receiving licence are one of the following types of licence, but the licences need not be of the same type:

(i) a non-replaceable forest licence, other than a supplemental forest licence;

(ii) a woodlot licence;

(iii) a forestry licence to cut that is also a major licence, and

(b) the minister is satisfied that all of the requirements set out in subparagraphs (i) to (v) of section 20 (c) are met.

[en. B.C. Reg. 203/2012, Sch. 1, s. 2; am. B.C. Reg. 190/2014, Sch. 3, s. 6.]

Bonus bid equalization payment

24   (1) For the purposes of section 75.12 (1) of the Act, if under this Division an attribution is made to a receiving licence for which a bonus bid was tendered, the holder of the receiving licence must pay to the government an amount determined in accordance with subsection (2) of this section.

(2) The amount payable under subsection (1) is determined as follows:

(a) if the harvesting licence is a licence for which a bonus bid was not required, the amount payable by the holder of the receiving licence is determined by the following formula:

(b) if the harvesting licence is a licence for which a bonus bid was required, the amount payable by the holder of the receiving licence is determined by the following formula:

(3) The amount payable under subsection (1) must be paid by the holder of the receiving licence within 30 days after the attribution is made.

(4) For certainty, if the amount payable by the holder of the receiving licence is determined in accordance with subsection (2) (b), that amount is payable in addition to and not in place of the bonus bid payable by the holder of the harvesting licence.

[en. B.C. Reg. 190/2014, Sch. 3, s. 7.]