Decision Date: April 14, 2005

Panel: David Ormerod

Keywords: Forest Act – s. 105; Interior Appraisal Manual – ss. 1.4, 2.2, 4.1; stumpage rate determination; on-block road length; arbitrary decision-making

Weldwood of Canada Ltd. (“Weldwood”) appealed a Stumpage Advisory Notice and Stumpage Adjustment Notice (the “SANs”) issued for cutting permit 509 (“CP 509”) by the Timber Pricing Co-ordinator.  Weldwood submitted that that Ministry of Forests (“MOF”) staff incorrectly reduced the on-block road length for CP 509 by 400 metres, contrary to Interior Appraisal Data Sheets (“IADS”) submitted by Weldwood, and failed to contact Weldwood’s registered professional forester (“RPF”) prior to adjustment.  Weldwood asked the Commission to direct the Timber Pricing Co-ordinator to include the 400 metres previously removed and to re-determine the stumpage rates accordingly.

The Commission agreed with Weldwood that the reduction made by the Timber Pricing Co-ordinator was arbitrary and unsubstantiated.  The Commission also found that the MOF was obligated to discuss the road length reduction with Weldwood’s RPF prior to determining stumpage rates set out in the SANs.  The Commission referred the matter back to the Timber Pricing Co-ordinator with directions to appraise CP 509 using the on-block road length of 1.8 km as provided in the IADS.

The appeal was allowed.