A-18.1, r. 6 - Regulation respecting the method for assessing the annual royalty and the method and frequency for assessing the market value of standing timber purchased by guarantee holders pursuant to their timber supply guarantee

Section 4.0.14 Disposition versions

2022-03-31

4.0.14. The maximum amount of the reimbursement to which the holder of a timber supply guarantee is entitled on 31 December of the year following the harvest year is calculated using the following formula:

JJ = V + X + Z, where

(1)  “JJ” is the maximum amount of the reimbursement to which the holder is entitled on 31 December of the year following the harvest year;

(2)  “V” is the amount of the reimbursement associated with minor or under-represented species or groups of species, calculated using the method in section 4.0.10;

(3)  “X” is the amount of the reimbursement associated with the hardwood species or groups of species of a rotary-cutting enterprise, calculated using the method in section 4.0.11;

(4)  “Z” is the amount of the reimbursement associated with the cessation of operations at a plan, calculated using the method in section 4.0.12.

Despite any other provision, if the total of the 2 first instalments of the annual royalty payable by the holder without the amounts of the reimbursements calculated in accordance with the first paragraph and section 4.0.6 is less than 50% of the adjusted annual royalty for the calculation of the end‑of‑year reimbursement, calculated in accordance with section 4.0.5, the maximum amount to which the holder is entitled as a reimbursement on 31 December of the year following the harvest year is calculated using the following formula:

JJ = (K + O – S) – (50% U), where

(1)  “JJ” is the maximum amount of the reimbursement to which the holder is entitled on 31 December of the year following the harvest year;

(2)  “K” is the amount payable as the first instalment of the annual royalty, calculated in accordance with the first or second paragraph of section 4.0.2;

(3)  “O” is the amount payable as the second instalment of the annual royalty, calculated in accordance with the first or second paragraph of section 4.0.4;

(4)  “S” is the amount of the reimbursement of the annual royalty to which the holder is entitled at the end of the harvest year after waiving a volume of timber covered by a special development plan between 16 August and 31 March in the harvest year, calculated in accordance with the first or second paragraph of section 4.0.6;

(5)  “U” is the adjusted annual royalty for the calculation of the end‑of‑year reimbursement, calculated in accordance with section 4.0.5.

O.C. 168-2022, s. 2.