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SCH Vessel Removal Program Application Guide

This guide is for information purposes only. To fill out a copy of this form, please download the Word doc version.

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Introduction

The Oceans Protection Plan, announced in November 2016, included a comprehensive strategy to reduce the actual number of abandoned and wrecked vessels and to minimize the associated risks of environmental harm. Fisheries and Oceans Canada's (DFO) Small Craft Harbours (SCH) Program is responsible for delivering a portion of this strategy relating to the removal of those vessels in DFO small craft harbours through the SCH Abandoned and Wrecked Vessels Removal Program, using the broader Small Craft Harbours Class Contribution Program.

The objective of the SCH Abandoned and Wrecked Vessels Removal Program is to provide financial assistance, on a cost-shared basis to eligible recipients to remove and dispose of abandoned and/or wrecked vessels in SCH Schedule I harbours.

Funding

The SCH Abandoned and Wrecked Vessels Removal Program has received funding for this purpose over the next five years. As a result, all projects, whether carried out over one or more fiscal years, must be completed by March 31, 2022.

The SCH Abandoned and Wrecked Vessels Removal Program application process is designed to allow for both single and multiple vessel removals and disposals.

Eligible Recipients

This program is primarily geared towards funding the removal of vessels received for commercial fishing harbours, in line with Small Craft Harbours' primary mandate of operating and maintaining harbours that are critical to the commercial fishing industry. However, applications for other harbours will be reviewed and considered on a case-by-case basis provided that they meet all of the eligibility criteria.

Eligible recipients include:

  1. a province or agency thereof, as defined in s. 2 of the Fishing and Recreational Harbours Act (FRHA);
  2. a non-profit organization;
  3. an Aboriginal group;
  4. any person, as defined in s. 5(3) of the FRHA; and/or
  5. any combination of the above.

To be eligible for funding, the applicant must be removing a vessel that is located in a small craft harbour listed in Schedule I of the Fishing and Recreational Harbours Regulations.

Definitions

Abandoned vessel includes at least one of the following:

Wrecked vessel includes at least one of the following:

Eligible Activities

Contribution funding related to the SCH Abandoned and Wrecked Vessels Removal Program may be provided for the following types of activities:

Legal possession and assessment costs and expenses

Applicants who are eligible for funding to conduct this type of activity will be reimbursed for 100% of eligible expenditures.

Maximum contribution per vessel: $5,000

Vessel removal and disposal costs and expenses

Applicants who are eligible for funding to conduct this type of activity will be reimbursed for 75% of eligible expenditures.

Maximum contribution per vessel: $50,000

Eligible Costs

Eligible costs include reasonable and properly itemized costs which are directly related to the eligible activities:

Costs other than those above are ineligible, unless specifically approved in writing by the Director General (DG) of SCH.

Costs attributable to the day-to-day operations of a small craft harbour are generally not eligible, as the funding is limited to the removal and disposal of abandoned and wrecked vessels.

Application Requirements

To be considered for funding, please fill out the "Application form for Small Craft Harbours Abandoned and Wrecked Vessels Removal Program". Applicants who are seeking reimbursement for the removal of multiple vessels are also required to complete a 'Small Craft Harbours Abandoned and Wrecked Vessels Removal Program Additional Vessel Form' for each additional vessel and submit these forms with the application.

The "Application form for Small Craft Harbours Abandoned and Wrecked Vessels Removal Program" has 7 sections that need to be filled out. These are:

In order to be considered for funding, all sections of the application form must be thoroughly completed and any supporting documents requested must accompany the application (photos, additional forms, etc.).

Section 1 – Applicant information

In this section, please provide details son your organization as follows:

Section 1A – Contact Information

In this section, you must include:

This information is needed in order for SCH staff to contact you for further information on your application, and/or to advise you of the status of your application.

Section 1B – Goal(s)/Mandate of the Applicant's Organization

To ensure alignment with the purpose of the program, you must indicate your organization's goal or mandate.

Example, in the case of a Harbour Authority, the "organization is responsible for ongoing management, operation and maintenance of facilities for X Harbour, ensuring safe and accessible service for harbour users. The organization aims to provide harbour services to fishers and other users, with an overall goal of enhancing harbour facilities, operations and economic development."

Section 2 – Statement of Purpose and Objective for which the Funding is Being Sought

You may apply for funding to remove or dispose of a boat at any point in the process (legal possession and assessment, removal or disposal) and must put a checkmark or 'x' beside the statement(s) that best describes the objective for receiving funding. 

Section 3 – Description of the Organizations Proposed Activities

In this section, you must provide detailed information relating to the vessel(s) in question. If the request is to address more than 1 vessel, than please complete a Small Craft Harbours Abandoned and Wrecked Vessels Removal Program Additional Vessel Form for each vessel.

Mandatory attachments for sections 3A through 3C:

Section 3A: Description of Vessel

Please complete the sub-sections by providing:

Section 3B: Establishing Legal Possession

Legal possession must be obtained prior to any assessment, removal or disposal activities taking place. See Appendix A in this Application Guide for details on how to obtain legal possession and the proof needed by the Program to show that you have obtained legal possession.

If you currently have legal possession:

You must indicate whether you currently have legal possession, and provide evidence if so. Those currently with legal possession may move on to Section 3C.

If you currently do not have legal possession:

If you do not have legal possession, Section 3B must be filled out.

If the owner is known, provide information about the last time contact was made with the owner (month day, year) and method of contact (email, verbal, letter, etc.)

If the owner is known, and has not yet been contacted, please explain why.

If the owner is unknown, the project plan/timeline will need to account for the extra steps needed to obtain this legal possession (such as a civil court process).

Section 3C: Risk Posed by Vessel

In this section, you must indicate any and all risks posed by the vessel in the current location and/or state of abandonment. This information provides further justification for why the vessel should be removed.

You must also describe how the vessel poses these risks (example: takes up valuable space in harbour and results in loss of revenues, damages wharf in severe weather, etc.).

It is expected that you have already contacted Transport Canada if the vessel is causing or has caused an obstruction to navigation, or the Canadian Coast Guard if the vessel poses or has posed an environmental risk.

Section 4 – Project Plan and Budget

In this section, you are requested to be as specific as possible when outlining all project activities and associated costs.

Mandatory attachments:

Section 4A: Project Plan

In this section, you are required to describe how the project will be completed. It is important to present all required information as clearly and accurately as possible. A sample template has been provided in the application kit, but a project plan will be accepted in any format so long as it meets the criteria described below. 

Depending on your situation, you may apply for reimbursement of eligible costs for individual components of the project (legal possession, assessment, removal and disposal), some combination thereof, or a project in its entirety. This may be done through several applications over multiple fiscal years, or all at once. While legal possession and assessment are necessary first steps in this process, and therefore eligible activities, the ultimate goal is to responsibly remove and dispose of abandoned and wrecked vessels to reduce risks to the economic well-being of the Harbour Authority, threats to navigation, impacts on the environment, etc.

The project plan should account for all preparatory work, project delivery, and final disposal of the vessel. Include expected start and completion dates.

The project plan should include:

If your application is for multiple vessels, the plan should include all vessels and the associated risks and liabilities for each one.

Section 4B: Project Budget and Cash Flow

In this section, you must outline the entire budget (eligible and ineligible expenses) for this project using the Small Craft Harbours Abandoned and Wrecked Vessels Removal Budget Plan Template, included in the application kit.

Cost-sharing: You must also describe how your organization will meet the cost-sharing requirements of the SCH Abandoned and Wrecked Vessels Removal Program (i.e. the 25% shared cost for removal and/or disposal of a vessel). This may include cash contribution, other funding sources, and/or in-kind contributions (given as a cash value).

Confirmation of financial support from other funding sources/partner organizations must be obtained in writing and attached to the application.

Stacking limits: Total government assistance (federal, provincial, territorial and municipal) may not exceed 100% of eligible costs.

This stacking limit must be respected when assistance is provided. In the event that the actual total government assistance provided to a recipient exceeds this stacking limit, it will be necessary for Fisheries and Oceans Canada to adjust the level of its assistance (and seek reimbursement, if necessary) so that its share of eligible costs (75% of removal and disposal costs) is not exceeded.

Substantiating costs: You must also provide any quote(s) received for the removal and disposal of all vessels (the quote should include a per vessel breakdown where applicable). The quote(s) should include all possible steps in the process including but not limited to:

It is also expected that you will provide details on costing related to "salary and wages", such as the hourly rate and number of hours.

Multi-year funding: Although the project can start at any time during the year, the activities must coincide with the federal government's fiscal year, April 1 to March 31.

For example, if a project begins on October 1, 2017, and runs for 2 years (24 months) to October 1, 2019, the Recipient must provide budget figures for 3 separate periods:

October 1, 2017, to March 31, 2018

April 1, 2018, to March 31, 2019

April 1, 2019, to October 1, 2019

Support provided by Small Craft Harbours

Provide any past support given by SCH to the organization. Include the date, the project and the amount of funding provided by SCH.

Section 5 – Disclosure statement

You are requested to initial to indicate that you have read and declare that there is no conflict of interest as described in the statement. 

Section 6 – Eligibility

You are requested to initial to indicate that you have read and understood the terms that make you/your organization eligible for the program.

Section 7 – Declaration

In order for your application to be eligible for funding, this section must be completed and signed by the official representative(s) of your organization in accordance with the organization's by-laws or other constituting documents. 

Please ensure the application form is signed.

Application Process:

Approval of funding is at the discretion of Fisheries and Oceans Canada. Eligible costs will not be reimbursed until a contribution agreement is signed by both parties. Any funds spent prior to a contribution agreement being in place are not reimbursable.

A checklist can be found in this guide to help you determine if your application is complete.

Please submit your completed application to the appropriate regional office for review, listed in this guide.

Application Checklist:

Please ensure that the application is thoroughly completed. You may use the following check list to help you review your application. Note that this may not be an exhaustive checklist and it is the responsibility of the applicant to ensure that the application is thorough, accurate and complete. 

Regional Offices:

Pacific Region (British Columbia and Yukon)
Small Craft Harbours
Fisheries and Oceans Canada
200-401 Burrard St
Vancouver BC
V6C 3S4

Contact: Robin.Richardson@dfo-mpo.gc.ca

Central and Arctic Region (Ontario, Manitoba, Saskatchewan, Alberta, Northwest Territories and Nunavut)
Small Craft Harbours
Fisheries and Oceans Canada
501 University Cr
Winnipeg MB
R3T 2N6

Contact: Chantal.Larochelle@dfo-mpo.gc.ca

Quebec Region:
Small Craft Harbours
Fisheries and Oceans Canada
104 Dalhousie St
Québec QC
G1K 7Y7

Contact: Florence.Boucher-Boiclair@dfo-mpo.gc.ca

Maritimes and Gulf Region (New Brunswick, Nova Scotia and Prince Edward Island)
Small Craft Harbours
Fisheries and Oceans Canada
343 Université Ave
P.O. Box 5030
Moncton NB
E1C 9B6

Contact: Yves.Melanson@dfo-mpo.gc.ca

Newfoundland and Labrador Region:
Small Craft Harbours
Fisheries and Oceans Canada
John Cabot Building
10 Barters Hill
St. John's NL
A1C 5X1

Contact: Joe.McGrath@dfo-mpo.gc.ca

Disclaimer: Any information provided by Small Craft Harbours, Fisheries and Oceans Canada, including this document, is not intended to be a substitute for legal advice.

APPENDIX A
OBTAINING LEGAL POSSESSION

Status

Vessel Location and Steps to Take

Proof to be Provided to Program

If the owner is willing to transfer possession of the vessel for the purpose of removal and disposal:

Vessel is on land:

  1. Complete the owner consent form.
  2. Once completed, you may proceed with assessment, removal and disposal of the vessel.

A signed owner consent form (an owner consent form should be notarized)

If the owner is willing to transfer possession of the vessel for the purpose of removal and disposal:

Vessel is in water:

  1. Contact Transport Canada's Navigation Protection Program. Transport Canada will advise you of the necessary steps to take to obtain legal possession.

A signed owner consent form (an owner consent form should be notarized); or,

A letter from the Navigation Protection Program or Receiver of Wreck confirming legal possession.

If the owner is unwilling to transfer possession of the vessel for the purpose of removal and disposal:

Vessel is on land or in water:

  1. Contact your local Fisheries and Oceans Canada Regional Office to discuss next steps.
  2. Whether on land or in water, if the owner is not willing to transfer possession, it is possible that you will need to seek legal counsel to determine mechanisms available to you in order to obtain legal possession of the vessel.
  3. It is important that you retain photos and detailed records of any communications or efforts you undertake to have the vessel removed by the owner.

Statement from legal counsel / lawyer that legal possession has been obtained.

If the owner is unknown:

Vessel is on land:

  1. Complete registry and other searches, such as:
  2. Publish a 31-day public notice indicating your intent to seek legal possession of the vessel in order to remove and dispose of it.
    • Place notice on the vessel, on the property where the vessel is located, in the newspaper, on social media, etc.
    • Retain documented proof of publication
  3. Contact a lawyer who will work with you to obtain legal possession.

A signed owner consent form, if the owner becomes known and consents to handing over legal possession to the applicant (an owner consent form should be notarized); or,

Statement from legal counsel/lawyer that legal possession has been obtained.

If the owner is unknown:

Vessel is in water:

  1. Contact Transport Canada's Navigation Protection Program. Transport Canada will advise you of the necessary steps to take to obtain legal possession.

A signed owner consent form, if the owner becomes known and consents to handing over legal possession to the applicant (an owner consent form should be notarized); or,

A letter from the Navigation Protection Program or Receiver of Wreck confirming legal possession.

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