Canadian Industrial Renewal Regulations (SOR/81-850)

• 27 (1) Subject to section 28.1, the Minister may make contributions to a designated business in respect of

  • (a) the costs of engaging the services of a qualified consultant required by the designated business to undertake a comprehensive analysis of the operations of the designated business and to develop adequate plans to restructure its operations to improve its ability to achieve efficient and sustained growth in the production and trade of Canadian goods and services or to adjust to changes in the domestic and external economic environment or to assist in the implementation of those plans, or

  • (b) the costs of a project to adjust or to restructure its operations to improve its ability to contribute to the efficient and sustained growth in the production and trade of internationally competitive Canadian goods and services or to adjust to changes in the domestic and external economic environment if the project would not be likely to be undertaken without a contribution by the Minister.

• (2) A contribution made pursuant to subsection (1) shall not exceed

  • (a) 75 per cent of the costs of the services of a consultant referred to in paragraph (1)(a);

  • (b) 50 per cent of the capital costs of a project referred to in paragraph (1)(b) that is undertaken by the designated business within the designated community; and

  • (c) 50 per cent of the preproduction expenses associated with a project referred to in paragraph (b).

• (3) Notwithstanding subsection (1), where a designated business establishes that it is capable of undertaking a comprehensive analysis and of developing plans for restructuring referred to in that subsection, the analysis may be undertaken and the restructuring plans developed without the assistance of a qualified consultant.

• 28 (1) Subject to section 28.1, the Minister may make contributions to an external or other business in respect of

  • (a) the costs of engaging the services of a qualified consultant to develop a proposal in respect of which a contribution may be made pursuant to paragraph (b), and

  • (b) the capital costs of a project to establish a manufacturing or processing activity or other commercial activity in a designated community

  if the project would not be likely to be undertaken in the designated community without a contribution by the Minister.

• (2) A contribution made pursuant to subsection (1) shall not exceed

  • (a) 75 per cent of the costs of the services of a consultant referred to in paragraph (1)(a);

  • (b) 50 per cent of the capital costs of a project referred to in paragraph (1)(b) that is undertaken by the external or other business in the designated community; and

  • (c) 50 per cent of the preproduction expenses associated with a project referred to in paragraph (b).

• (3) and (4) [Revoked, SOR/82-404, s. 5]

• 28.1 (1) The Minister may make a contribution pursuant to sections 27 and 28 only where

  • (a) the date on which the application for assistance is approved by the Minister precedes the commencement of the services of consultants and relative costs or a capital project and relative costs, including preproduction expenses;

  • (b) the contribution to be made by the Minister in respect of the capital costs of a project and the preproduction expenses associated with the project and the preproduction expenses associated with the project, and any contribution in respect of those capital costs and preproduction expenses made or agreed to be made by the Government of Canada or by a government of any province of Canada does not exceed an amount equivalent to 50 per cent of the sum of the capital costs of the project and preproduction expenses associated with the project;

  • (c) full repayment of the contribution to be made by the Minister in respect of a capital project and in respect of preproduction expenses associated with the project has been made a condition of the contribution;

  • (d) the project offers net significant economic benefit to Canada and will not be likely to create competitive overcapacity in the relevant sector or industry; and

  • (e) in the case of projects to adjust, restructure or establish operations, the sum of the capital costs and the preproduction expenses associated with such projects will not be less than $100,000.

• (2) Notwithstanding paragraph (1)(c), where

  • (a) the condition for repayment of a contribution provided for in that paragraph would result in the project not being undertaken in the designated community, and

  • (b) the project offers exceptional benefits to Canada,

  the Minister may waive the requirement for repayment or may require repayment of less than the full amount of the contribution.

• 29 (1) Where a designated business, an eligible manufacturer or an external or other business requires the services of a qualified consultant,

  • (a) to undertake a feasibility study and to assist in the development of plans for

    • (i) in the case of an external or other business, its merger with or its acquisition of a business enterprise, or

    • (ii) in the case of an eligible manufacturer or designated business, the establishment of a person to provide purchasing, marketing, training or other services to the eligible manufacturer or designated business, or

  • (b) to implement the plans referred to in paragraph (a),

  the Minister may make a contribution to the designated business, eligible manufacturer, external or other business, person or consultant in an amount of not more than 75 per cent of the cost of the services.

• (2) Notwithstanding subsection (1), where a designated business, an eligible manufacturer or an external or other business establishes that it is capable of undertaking a feasibility study and of developing plans referred to in that subsection, the feasibility study may be undertaken and the plans developed without the assistance of a qualified consultant.

• 30 (1) Where

  • (a) a business enterprise submits plans for restructuring of its operations or for making an adjustment in its operations that will enable the business enterprise to adapt to changes in the domestic and external trading environment, and

  • (b) the business entreprise requires a contribution from the Minister to

    • (i) pay for the costs of the services of a consultant to prepare plans,

    • (ii) pay for the costs of the services of a consultant to conduct a comprehensive analysis of the plans referred to in subparagraph (i),

    • (iii) pay for the costs of the services of a consultant to assist the business enterprise to implement the plans referred to in subparagraph (i), and

    • (iv) pay for the costs of implementing the restructuring or adjustment plan referred to in paragraph (a),

  the Minister may make a contribution to the business enterprise in an amount not exceeding

  • (c) 75 per cent of the costs of the services of the consultant referred to in subparagraph (b)(i), (ii) and (iii), and

  • (d) 50 per cent of the direct costs of the acquisition, construction, expansion, modification, installation or conversion of machinery, equipment or buildings in respect of those segments of the restructuring plan that involve either a modernization of the operations of the business enterprise or an adjustment in its operations that will enable the business enterprise to adapt to changes in the domestic and external trading environment, where such direct costs will be not less than $50,000.

• (2) Notwithstanding subsection (1), where a business enterprise establishes that it is capable of undertaking a comprehensive analysis and of developing plans referred to in that subsection, the comprehensive analysis may be undertaken and the plans developed without the assistance of a qualified consultant.

• 30.1 (1) Where

  • (a) a person submits plans for the establishment of a new business enterprise, and

  • (b) in the opinion of the Minister, the person requires a contribution from the Minister to

    • (i) pay for the costs of the services of a consultant to prepare plans,

    • (ii) pay for the costs of the services of a consultant to conduct a comprehensive analysis of the plans referred to in subparagraph (i),

    • (iii) pay for the costs of the services of a consultant to assist the business enterprise to implement the plans referred to in subparagraph (i), and

    • (iv) pay for the costs of establishing a new business enterprise,

  the Minister may make a contribution to the person in an amount not exceeding

  • (c) 75 per cent of the costs of the services of the consultant referred to in subparagraphs (b)(i), (ii) and (iii), and

  • (d) 50 per cent of the direct costs of the acquisition, construction, installation of machinery, equipment or buildings in respect of the establishment of the new business enterprise.

• (2) Notwithstanding subsection (1), where a person establishes that the person is capable of undertaking a comprehensive analysis and of developing plans referred to in that subsection, the comprehensive analysis may be undertaken and the plans developed without the assistance of a qualified consultant.

• 31 (1) Where

  • (a) a business enterprise submits plans that were developed with the assistance of a qualified consultant and that are based on a feasibility study made with the assistance of a qualified consultant for the establishment of a person to provide purchasing, marketing, training and other services to the business enterprise and at least one other business enterprise, and

  • (b) the business enterprise requires a contribution to implement the plans referred to in paragraph (a),

  the Minister may make a contribution to the person

  • (c) in an amount not exceeding $20,000 in respect of the costs of its incorporation,

  • (d) in each of the first three years following the establishment of the person, in an amount not exceeding the lesser of

    • (i) 50 per cent, 33 1/3 per cent, and 25 per cent respectively of the general and operating expenses approved by the Minister, and

    • (ii) $150,000, and

  • (e) in an amount not exceeding 25 per cent of the direct costs of the acquisition, construction, expansion, modification, installation or conversion of machinery, equipment or buildings where such direct costs will be not less than $50,000.

• (2) Notwithstanding subsection (1), where a business enterprise establishes that it is capable of undertaking a feasibility study and of developing plans referred to in that subsection, the feasibility study may be undertaken and the plans developed without the assistance of a qualified consultant.

32 Where the services of a qualified consultant are required by a person to undertake a comprehensive analysis of a designated community to develop satisfactory plans

• (a) for medium to long range industrial development in the designated community, and

• (b) for effecting improvement in the ability of business enterprises in the designated community

  • (i) to achieve efficient and sustained growth in the production and trade of Canadian goods and services, or

  • (ii) to adjust to changes in the domestic and external economic environment,

the Minister may make a contribution to that person with respect to the costs of the services of the qualified consultant in an amount not to exceed 100 per cent of such costs.

33 The Minister shall not accept any application after January 31, 1986.