Acts and Regulations

2018-4 - Agricultural Development Act

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NEW BRUNSWICK
REGULATION 2018-4
under the
Agricultural Development Act
(O.C. 2018-27)
Filed January 31, 2018
1The enacting clause of New Brunswick Regulation 84-295 under the Agricultural Development Act is repealed and the following is substituted:
Under section 44 of the Agricultural Development Act, the Lieutenant-Governor in Council makes the following Regulation:
2Section 2 of the Regulation is amended
(a) by repealing the definition “Act” and substituting the following:
“Act” means the Agricultural Development Act;(Loi)
(b) in the definition “borrower” by striking out “who has obtained a loan from the Board” and substituting “who obtains financial assistance from the Minister in the form of a loan”;
(c) by adding the following definitions in alphabetical order:
“agriculture” includes an agricultural operation as defined in the Agricultural Operation Practices Act and a farming operation;(agriculture)
“applicant” means a person who requests financial assistance from the Minister;(requérant)
“industry” means economic or commercial activities related to agriculture, aquaculture or fisheries;(industrie)
“total amount of financial assistance” means the sum of(montant intégral d’aide financière)
(a) the financial assistance requested by the applicant, and
(b) all financial assistance that the applicant previously obtained from the Minister in the same calendar year but has not repaid.
3The Regulation is amended by adding after section 2 the following:
PANELS OF THE BOARD
2.01For the purposes of subsection 10.1(1) of the Act, a panel of the Board shall consist of the following:
(a) at least one member having technical or specialized knowledge of the industry to which the consideration of the application for financial assistance relates;
(b) one member as Chair of the panel; and
(c) an adequate number of members to make a recommendation by majority vote.
APPLICATIONS FOR FINANCIAL ASSISTANCE
2.02For the purposes of subsection 13(1) of the Act, the total amount of financial assistance provided by the Minister may be used as follows:
(a) to purchase farming operations;
(b) to purchase land to be added to existing farming operations;
(c) to erect farm buildings and facilities;
(d) to purchase essential farming equipment and livestock;
(e) to convert short-term liabilities to medium-term or long-term obligations as warranted by income probabilities and the security to be taken;
(f) to accomplish a more effective use of land;
(g) to establish and improve woodlots;
(h) to provide financial support to persons affected by land use and agricultural development projects; and
(i) to finance agricultural linkage operations.
2.03For the purposes of subsection 13(2) of the Act, an application for financial assistance shall be
(a) signed by the applicant, and
(b) delivered in person to the Minister.
4Section 2.2 of the Regulation is repealed and the following is substituted:
2.2(1)For the purposes of subsection 13(4) of the Act, the amount is $100,000.
2.2(2)For the purposes of subsection 13(5) of the Act, the amount is $500,000.
5The Regulation is amended by adding after section 2.2 the following:
INTEREST
2.3The annual interest rate applicable to financial assistance provided under subsection 13(1) of the Act shall be the lowest provincial lending rate in effect on and from the date of receipt by the Minister of the application to and including the date of first disbursement of funds, and the interest payable shall be calculated semi-annually on the outstanding principal and accrued interest.
SECURITY
2.4For the purposes of subsection 13.01(1) of the Act, the security taken on financial assistance shall be in the form of a mortgage or any other charge on the assets utilized by the person who has obtained financial assistance in the practice of agriculture.
ANNUAL REPORT
2.5For the purposes of section 14 of the Act, the annual report submitted by the Minister shall include a detailed record of all loans made or grants, guarantees or other financial assistance provided by the Minister up to the amount referred to in subsection 2.2(2) in the preceding year.
ANNUAL CHARGE
2.6For the purposes of subsection 15(1) of the Act, a person who obtains financial assistance in the form of a guarantee of the repayment of a loan shall pay
(a) on the date of issue of the guarantee, an annual charge that is equal to 1.5% of the outstanding principal amount of the loan to which the guarantee applies, and
(b) each following year on the anniversary date of the date of issue, an amount equal to 1.5% of the portion of the principal amount of the loan to which the guarantee applies that is outstanding on that date.
6The heading “LOANS” preceding section 3 of the Regulation is repealed.
7Section 3 of the Regulation is repealed.
8The heading “REMUNERATION OF MEMBERS OF THE BOARD” preceding section 5.1 of the Regulation is repealed.
9Section 5.1 of the Regulation is repealed.
10Section 6 of the Regulation is amended by striking out “The Board may in its discretion” and substituting “The Minister may at his or her discretion”.
11Section 7 of the Regulation is amended
(a) in the portion preceding paragraph (a) by striking out “The Board” and substituting “The Minister”;
(b) in paragraph (a) of the French version by striking out “sa propriété” and substituting “les terres affermées”;
(c) by repealing paragraph (b) of the French version and substituting the following:
(b) pour accroître, dans la mesure où elles s’y prêtent, la capacité productrice des terres affermées qui sont utilisées de façon inefficace.
12This Regulation comes into force on February 1, 2018.