Fisheries Improvement Loans Regulations (C.R.C., c. 864)

Short Title

1 These Regulations may be cited as the Fisheries Improvement Loans Regulations.

Interpretation

2 In these Regulations,

Act

Act means the Fisheries Improvement Loans Act; (Loi)

averaging period

averaging period[Revoked, SOR/78-139, s. 1]

insured fishing vessel

insured fishing vessel means a fishing vessel that is insured under or pursuant to the Fishing Vessel Insurance Regulations or that is otherwise insured so that the indemnity, in the event of total or partial loss, will be approximately equal to the indemnity that would be paid in similar circumstances if the fishing vessel had been insured under or pursuant to those Regulations; (bâtiment de pêche assuré)

interest period

interest period[Revoked, SOR/78-139, s. 1]

vehicle

vehicle means a motor vehicle other than a passenger car. (véhicule)

3 For the purpose of the Act and these Regulations,

addition

addition means the addition to a building and includes the

• (a) addition of one or more rooms or storeys,

• (b) construction of an attached garage, ice house or outbuilding, and

• (c) installation and construction of foundations and basements for a building and the purchase of materials for any such purpose; (rajout)

alteration

alteration means the structural alterations to the exterior or interior of any building or structure that are designed to improve, modernize or increase the usefulness of any building or structure and includes the

• (a) purchase of material for any such purpose,

• (b) relocation of any equipment, and

• (c) alteration of plumbing, heating, ventilating, water supply or air conditioning systems or parts thereof; (modification)

hull

hull means the body of the vessel; (coque)

major

major means, in relation to repair and overhaul, a cost of not less than $400 as estimated by the borrower; (majeurs)

principal occupation

principal occupation means the activity in which a person engages or intends to engage during a fishing season and as a result of which he gains or intends to gain all or part of his livelihood; (occupation principale)

repair

repair means the repair and the material required for the repair of

• (a) any type of water supply system,

• (b) a shore installation,

• (c) fishing equipment,

• (d) a fishing vessel, or

• (e) any building or structure

for use in connection with a primary fishing enterprise and includes the painting of any such building or structure; (réparation)

responsible officer of the lender

responsible officer of the lender means

• (a) the manager or assistant manager of the lender or a branch thereof,

• (b) the person for the time being acting as the manager or assistant manager of the lender or a branch thereof,

• (c) the credit committee of the lender or a branch thereof, or

• (d) any person duly authorized by the lender to supervise the making of loans; (fonctionnaire responsable du prêteur)

superstructure

superstructure means the equipment affixed to a hull including masts, rigging and rails, but does not include electronic equipment or the engine of a vessel. (superstructure)

4 For the purpose of paragraph (a) of the definition fisherman in section 2 of the Act, a person has or intends to acquire a prescribed interest in a fishing vessel or a proprietary share in a fishing vessel if he has or intends to acquire an equitable or legal interest therein.

5 For the purpose of paragraph (b) of the definition fisherman in section 2 of the Act, a person has a prescribed interest in a weir or similar fish catching or trapping device that is affixed to the ground, or a proprietary share in such a weir or similar fish catching or trapping device, if he has

• (a) an equitable or legal interest in the weir or device; and

• (b) a subsisting licence, where required, issued to him by a competent authority to use the weir or device in its present location or in a proposed location.

6 For the purpose of paragraph b) of the definition primary fishing enterprise in section 2 of the Act, the processing of fish that may be carried on in any area is the preparation of fish or the making of fishery products to the extent that the preparation or making is

• (a) normally carried out by fishermen in that particular area; or

• (b) carried out for the purpose of making fish into a saleable product to meet a particular marketing situation.

7 For the purpose of the definition shore installation in section 2 of the Act, the class or kind of shore installations are structures, appliances or machinery, including piers, skidways, stages or wharves of any class or kind that are affixed to the ground and used in connection with a primary fishing enterprise.

Application

8 These Regulations apply to a guaranteed loan authorized under the Act.

Classes or Kinds of Fishing Equipment

9 The following are the classes or kinds of fishing equipment prescribed for the purpose of the Act and these Regulations:

• (a) tools, appliances and machines of any class or kind that are not normally affixed to real or immovable property;

• (b) skiffs, dories, lifeboats, marine and other engines, hoists, winches, gurdies, anchors and electronic equipment for use on fishing vessels;

• (c) vehicles, skids and toboggans for use in connection with a primary fishing enterprise or for carrying products of the sea; and

• (d) weirs, nets, seines, trawls, lines, traps and pots.

Development or Improvement of a Primary Fishing Enterprise

10 For the purpose of subparagraph 3(a)(vi) of the Act, the development or improvement of a primary fishing enterprise is the

• (a) sinking, construction, installation, repair, alteration or improvement of any type of water supply system;

• (b) repair, alteration or improvement of a structure, other than a building, if made in connection with a primary fishing enterprise; and

• (c) moving of a shore installation from a site to a new site and the installation of the shore installation on the new site.

Application for Loan

11 Every applicant for a loan shall submit to the lender a signed application, in the form set out in Schedule I, containing the required information.

Purchase or Construction of Fishing Vessel Loans

12 Subject to the Act and these Regulations, a purchase or construction of a fishing vessel loan is a guaranteed loan if

• (a) the fishing vessel in respect of which the loan is made is an insured fishing vessel;

• (b) the amount of the loan is,

  • (i) in the case of a purchase of a fishing vessel, not greater than 90 per cent of the purchase price of the vessel in the relevant sales contract or in other written evidence of the sale, and

  • (ii) in the case of the construction of a fishing vessel

    • (A) not greater than 90 per cent of the estimated cost of construction thereof as set out in the application referred to in section 11, or

    • (B) not greater than the cash expenditure incurred in the construction of the vessel where the vessel is constructed in whole or in part by the borrower; and

• (c) the lender has required, in accordance with normal lending practices, and the borrower has provided evidence that the funds advanced in respect of the loan were expended for the purpose set out in the application for the loan.

• (d) [Revoked, SOR/78-139, s. 2]

Purchase or Construction of Fishing Equipment Loans

13 Subject to the Act and these Regulations, a purchase or construction of fishing equipment loan is a guaranteed loan if

• (a) the amount of the loan is,

  • (i) in the case of the purchase of fishing equipment, not greater than 75 per cent of the purchase price of the equipment as set out in the relevant sales contract or in other written evidence of the sale, and

  • (ii) in the case of the construction of fishing equipment

    • (A) not greater than 75 per cent of the estimated cost of construction thereof as set out in the application referred to in section 11, or

    • (B) not greater than the cash expenditure incurred in the construction of the equipment where the equipment is constructed, in whole or in part, by the borrower; and

• (b) the lender has required, in accordance with normal lending practices, and the borrower has provided evidence that the funds advanced in respect of the loan were expended for the purpose set out in the application for the loan.

• (c) and (d) [Revoked, SOR/78-139, s. 3]

Major Repair or Major Overhaul of a Fishing Vessel or Its Hull, Superstructure or Engine Loans

14 Subject to the Act and these Regulations, a major repair or major overhaul of a fishing vessel or its hull, superstructure or engine loan is a guaranteed loan if

• (a) the fishing vessel in respect of which the loan is made is an insured fishing vessel;

• (b) the amount of the loan is

  • (i) not greater than 75 per cent of the estimated cost of the major repair or major overhaul as set out in the application referred to in section 11, or

  • (ii) not greater than the cash expenditure incurred in the major repair or major overhaul where the repair or overhaul is carried out, in whole or in part, by the borrower; and

• (c) the lender has required, in accordance with normal lending practices, and the borrower has provided evidence that the funds advanced in respect of the loan were expended for the purpose set out in the application for the loan.

• (d) [Revoked, SOR/78-139, s. 4]

Purchase or Construction of a Shore Installation or Purchase, Construction, Repair, Alteration or Addition to Building Loans

15 Subject to the Act and these Regulations, a purchase or construction of a shore installation or purchase, construction, repair, alteration or addition to buildings loan is a guaranteed loan if

• (a) the amount of the loan is,

  • (i) in the case of the purchase of a shore installation or building, not greater than 90 per cent of the purchase price, as set out in the relevant sales contract or in other written evidence of the sale, or

  • (ii) in the case of the construction of a shore installation or the construction, repair or alteration of or making of additions to buildings,

    • (A) not greater than 90 per cent of the estimated cost of the construction, repair, alteration or additions as set out in the application referred to in section 11, or

    • (B) not greater than the cash expenditure incurred in the construction, repair, alteration or addition where the construction, repair, alteration or addition is carried out, in whole or in part, by the borrower;

• (b) the lender has required, in accordance with normal lending practices, and the borrower has provided evidence that the funds advanced in respect of the loan were expended for the purpose set out in the application for the loan.

• (c) [Revoked, SOR/78-139, s. 5]