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Introduction:

Crown land may be identified as a candidate for agricultural use through various sources such as Government (the Department of Natural Resources, the Department of Agriculture, Municipal units, Regional Development Authorities and their end users. Crown land may be made available for agricultural purposes in accordance with the policies and procedures outlined below.

Assessment:

The Department of Natural Resources, Acquisitions and Leases Section, will assess the availability of the requested area of Crown land through:

1. Crown Land Information Management Centre research to determine the land status (designations, restrictions, encumbrances, etc)
2. Integrated Resource Management (IRM) review to determine if the agricultural use is recommended, and if so, the preferred method, i.e. letter of authority/license, disposals, or lease (described below).

Letter of Authority/License: (Non-exclusive use)

• usually short term (single season), existing crop, little or no cultivation or infrastructure investment required.
issued in accordance with Department of Natural Resources and government policies and procedures.

• long term, cultivation/management/infrastructure/site development required, and the Department of Natural Resources wants/needs to retain a measure of control or interest in the land.
• issued in accordance with the procedures outlined below.

The proponent shall provide the Manager, Acquisitions and Leases, with a written application containing the following:

1. Name and address of the proponent. If a company is involved, its proper name, registered office, address and registered agent are to be identified. An application from a company will not be processed unless it has an up-to-date registration with the Registry of Joint Stock Companies and is in good standing;
2. A sketch showing the location of the land requested and the approximate acreage;
3. Reasons why the proponent requires Crown land;
4. A brief outline of the proponents qualifications, experience and background including a description of all similar ventures;
5. Any other relevant information.

Call for Proposals:

Except in extenuating circumstances, if the issuance of a lease is recommended, the Manager, Acquisitions and Leases, will prepare a call for proposals, for the Public Tenders Office, which call will advise that the issuance of a lease is subject to Executive Council approval and, if applicable, an Environmental Assessment. The proposals shall be required to contain the following information which will be expanded upon in the call for proposals:

All proposals shall be evaluated by the Department of Natural Resources and the Department of Agriculture. The Department of Natural Resources reserves the right to reject any or all proposals.

When a proposal has been accepted, all proponents will be notified.

Lease Procedure:

• Once a call for proposal has been awarded, a Letter of Offer detailing the terms and conditions of the lease will be forwarded to the successful proponent for signature and payment of the administration fee.
• The proponent, when requested by the Department of Natural Resources, will be required to hire and pay an accredited appraiser holding the A.A.C.I. designation to determine the appraised market value of the unimproved land and submit same to the Manager, Acquisitions and Leases, for approval.
• A report will be sent to Executive Council for consideration and approval.
• Once approved, a survey will be conducted by a Nova Scotia Land Surveyor at the proponents expense.
• A lease will then be prepared.

Lease Administration:

• Administration Fee: The charge for processing the file and preparing the lease document will be $653.00 plus applicable taxes. The administration fee is refundable only if Executive Council approval is not received.
• Survey Fees: A legal survey by a Nova Scotia Land Surveyor will be necessary. The proponent will be required to pay the cost of any legal surveys.
• Term: The lease will be for a term of 10 years with an option to be renewed for a further 10 years provided the Lessee has complied with the conditions of the lease to the satisfaction of the Lessor.
• Rent: The annual rent for the first 10 year term will be 3% of the appraised market value of the unimproved land or 5% of the gross sales of agriculture production from the land, which ever is greater. The Lessee shall be required to submit to the Regional Resource Manager, Regional Services, a form of return, as specified in the lease, and an unaudited financial statement (specific to the leased site) at the end of the Lessee’s fiscal year . The rent upon renewal will be at a rate to be determined by the Minister of Natural Resources.
• Stumpage: No merchantable wood shall be removed from the subject land without the prior written approval of the Regional Resource Manager, Regional Services. All merchantable wood must be salvaged by the Lessee and paid for at the stumpage rates in effect at the time of cutting. The Director of Resource Management, may direct the “offer of sale” of forest products to any other Crown Licensee.
• Performance: During the first 10 years of the lease the Lessee must, during each year, improve and cultivate a portion of the premises, in accordance with an approved development plan, until the entire area is utilized. If the Lessee fails to meet this requirement, the Lessor may terminate the lease.
• Form of Lease: The lease agreement will be in a form as approved by the Department of Justice and shall be subject to terms and conditions as may be required.
• Renewal: The administration fee for processing a renewal will be $653.00 plus applicable taxes. Before a lease is renewed, the Regional Resource Manager, Regional Services, shall be requested to submit a complete IRM report with recommendations on the renewal.
• Assignment: No assignment will be permitted without the prior written consent of the Minister of Natural Resources. A fee of $326.50 plus applicable taxes will accompany each request for an assignment.
• Waiver: The Minister of Natural Resources reserves the right to waive any of the terms and conditions outlined above.