NUNAVIK LANDHOLDING CORPORATIONS GUIDELINES AND POLICIES FOR USE AND OCCUPATION RIGHTS FOR NEW DEVELOPMENT PROJECTS OVER NUNAVIK CATEGORY I LANDS

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1 Case Postale 219 / P.O. Box 219 Kuujjuaq, Quebec J0M 1C0 Téléphone / Telephone: (819) & 0381 Télécopieur/Telefax: (819) NUNAVIK LANDHOLDING CORPORATIONS GUIDELINES AND POLICIES FOR USE AND OCCUPATION RIGHTS FOR NEW DEVELOPMENT PROJECTS OVER NUNAVIK CATEGORY I LANDS (Last Revised: March 22, 2010)

2 NUNAVIK LANDHOLDING CORPORATIONS GUIDELINES AND POLICIES USE AND OCCUPATION RIGHTS FOR NEW DEVELOPMENT PROJECTS OVER NUNAVIK CATEGORY I LANDS The Landholding Corporations of Nunavik hereby presents you the simplified Policies and Guidelines whenever new development projects are contemplated over Nunavik Category I lands. The present procedures, adopted by the Landholding Corporations of Nunavik, replace as of January 1, 2010, the former Guide for Construction in Nunavik, and apply towards residential, commercial, industrial, institutional, public and non public usage and occupation of Nunavik Category I lands, or towards any other type of development not herein specified.. Sakkuq Landholding Corporation for the community of Kuujjuaraapik; Anniturvik Landholding Corporation for the community of Umiujaq; Pituvik Landholding Corporation for the community of Inukjuak; Qekeirriaq Landholding Corporation for the community of Akulivik; Qaqqalik Landholding Corporation for the community of Salluit; Nunaturlik Landholding Corporation for the community of Kangiqsujuaq; Tuvaaluk Landholding Corporation for the community of Quaqtaq; Nunavik Landholding Corporation for the community of Aupaluk; Saputik Landholding Corporation for the community of Kangirsuk; Arqivik Landholding Corporation for the community of Tasiujaq; Nayumivik Landholding Corporation for the community of Kuujjuaq; Qiniqtiq Landholding Corporation for the community of Kangiqsualujjuaq; Kigaluk Landholding Corporation for the community of Chisasibi; Epigituk Landholding Corporation for the community of Killiniq; Nuvummi Landholding Corporation for the community of Ivujivik. Last Revised: March 22,

3 The Nunavik Landholding Corporations (hereafter the local Nunavik LHCs) own their respective Category I land in accordance with Section 7 of the James Bay and Northern Quebec Agreement (JBNQA) (hereafter the Land Regime ) and the Act respecting the Land Regime in the James Bay and New Québec Territories (RSQ, c. R.13-1) (hereafter the Act ). The objectives of the local Nunavik LHCs are, among other responsibilities, to administer Nunavik Category I Lands on behalf and for the benefit of all JBNQA Inuit while promoting the cultural, environmental and social wellbeing of their JBNQA Inuit members. Consequently the local Nunavik LHCs as landowners are responsible for identifying and allocating rights of use and occupation over their respective Category I land. Moreover, pursuant to section 145 of the Act, no minerals or other subsurface rights may be obtained, extracted, mined or exercised from or with respect to any Nunavik Category I lands without the consent of the interested local Nunavik LHCs and without payment of compensation agreed upon for the use of rights over such lands. The Land Regime and Act fully apply to all organizations, private or federal, provincial, regional and municipal institutions, their departments or agencies. Usage and occupation of Nunavik Category I lands require that all local Nunavik LHC Permits and/or formal Authorizations be required and obtained by the local Nunavik LHCs prior to the actual use and occupation. In the event of unauthorized use and occupation of Nunavik Category I Land, local Nunavik LHCs may order to stop work, and/or to remove work already done and/or be prosecuted. Collaboration of promoters and developers is therefore essential. For regional, major or complex new development projects, pre-application meetings with the local Nunavik LHC are recommended. Furthermore, depending on the nature of the project, other entities may also have to be consulted (Section JBNQA) In any event, the following information outlines how to prepare for and apply for an LHCs Permit for all new development projects over Nunavik Category I Lands. Applications and Permits have been developed by the Nunavik Landholding Corporations Association and the Nunavik LHCs to assist Promoters and Developers in identifying and understanding the various policies and guidelines for use and occupation rights over Nunavik Category I land and clarify each party respective responsibilities and obligations. Form 001A: Form 001P: Application for Construction Permit for New Development Project over Nunavik Category I Land; (last revised: March 2010) Construction Permit for New Development Project Over Nunavik Category I Land; (last revised: March 2010) Last Revised: March 22,

4 Form 002A: Form 002P: Form 003A: Form 003P: Form 004A: Form 004P: Form 005NT: Form 006A: Form 006P: Application for Conducting Blasting Activities over Nunavik Category I Land; (last revised: March 2010) Permit for Conducting Blasting Activities over Nunavik Category I Land; (last revised: March 2010) Application for Permit to Install a Fence over Nunavik Category I Land; (last revised: March 2010) Permit to Install a Fence over Nunavik Category I Land; (last revised: March 2010) Application for Certificate of Registration of a Contractor Mandated by a Permit Holder for the Performance of a Construction Project over Nunavik Category I Land; (last revised: March 2010) Certificate of Registration of a Contractor Mandated by a Permit Holder for the Performance of a Construction Project over Nunavik Category I Land; (last revised: March 2010) Notice of Termination of a New Development Project over Nunavik Category I Land; (last revised: March 2010) Application for Construction Permit of a Privately Owned Residence under the Home Ownership Program; (last revised: March 2010) Construction Permit of a Privately Owned Residence under the Home Ownership Program; (last revised: March 2010) Application Forms must be submitted directly to the local Nunavik LHC where the new development project is to be projected. The Application Forms can be obtained directly from the local Nunavik LHCs: Last Revised: March 22,

5 Sakkuq LHC P.O. Box 270 Kuujjuarapik J0M 1G0 Phone: Fax: Qekeirriaq LHC P.O. Box 59 Akulivik J0M 1V0 Phone: Fax: Tuvaaluk LHC P.O. Box 102 Quaqtaq / J0M 1J0 Phone: Fax: Arqivik LHC P.O. Box 52 Tasiujaq / J0M 1T0 Phone: Fax: Kigaluk LHC of Chisasibi P.O. Box 760 Chisasibi / J0M 1E0 Phone: Fax: Anniturvik LHC P.O. Box 34 Umiujaq J0M 1Y0 Phone: Fax: Qaqqalik LHC P.O. Box 30 Salluit J0M 1S0 Phone: Fax: Nunavik LHC P.O. Box 29 Aupaluk J0M 1X0 Phone: Fax: Nayumivik P.O. Box 209 Kuujjuaq J0M 1C0 Phone: Fax: Epigituk LHC of Killiniq P.Q. Box 197 Killiniq / J0M 1N0 Phone: Fax: Pituvik LHC P.O. Box 285 Inukjuak / J0M 1M0 Phone: Fax: Nunaturlik LHC P.O. Box 39 Kangiqsujuaq / J0M 1K0 Phone: Fax: Saputik LHC P.O. Box 119 Kangirsuk / J0M 1A0 Phone: Fax: Qiniqtiq LHC P.O. Box 160 Kangiqsualujjuaq J0M 1N0 Phone: Fax: Nuvummi LHC of Ivujivik P.O. Box 16 Ivujivik / J0M 1H0 Phone: Fax: The Application Forms can also be downloaded from the following websites: Nunavik Landholding Corporations Association P. O. Box 219 Kuujjuaq, P.Q. J0M 1C0 Telephone: Telecopieer: Kativik Regional Government P.O. Box 9 Kuujjuaq, P.Q. J0M 1C0 Telephone: Telecopier: Please note that fees detailed at the listed applications and permits are those in effect at the time of printing (March 2010). Changes to the tables may occur at any time and promoters and developers should also contact the interested LHC to obtain the current status of applications and permits fees. Last Revised: March 22,

6 TABLE OF CONTENT 1. New development projects over Nunavik Category I Land Page 7 Form 001A: Form 001P: Application for Construction Permit for New Development Project over Nunavik Category I Land; (last revised: March 2010); Construction Permit for New Development Project Over Nunavik Category I Land; (last revised: March 2010) 2. Blasting activities over Nunavik Category I Land Page 15 Form 002A: Form 002P: Application for Conducting Blasting Activities over Nunavik Category I Land; (last revised: March 2010); Permit for Conducting Blasting Activities over Nunavik Category I Land; (last revised: March 2010) 3. Installation of a fence over Nunavik Category I Land Page 22 Form 003A: Form 003P: Application for Permit to Install a Fence over Nunavik Category I Land; (last revised: March 2010); Permit to Install a Fence over Nunavik Category I Land; (last revised: March 2010); 4. Registration of a contractor mandated by a Permit holder for the performance of a construction project over Nunavik Category I Land Page 29 Form 004A: Form 004P: Application for Certificate of Registration of a Contractor Mandated by a Permit Holder for the Performance of a Construction Project over Nunavik Category I Land; (last revised: March 2010); Certificate of Registration of a Contractor Mandated by a Permit Holder for the Performance of a Construction Project over Nunavik Category I Land; (last revised: March 2010); Last Revised: March 22,

7 5. Notice of termination of a new development project over Nunavik Category I Land Page 33 Form 005NT: Notice of Termination of a New Development Project over Nunavik Category I Land; (last revised: March 2010); 6. Construction of a privately owned residence over Nunavik Category I Land under the Home Ownership Program Page 34 Form 006A: Form 006P: Application for Construction Permit of a Privately Owned Residence over Nunavik Category I Land under the Home Ownership Program; (last revised: March 2010); Construction Permit of a Privately Owned Residence over Nunavik Category I Land under the Home Ownership Program; (last revised: March 2010). Last Revised: March 22,

8 1. New Development Projects over Nunavik Category I Lands Form No. 001A: (Last revised: March 2010) Form No. 001P: (Last revised: March 2010) Application for Construction Permit for New Development Project over Nunavik Category I Lands; Application Fee: $ Construction Permit for New Development Project Over Nunavik Category I Lands. 1.1 LHCs Construction Permits issued by the local Nunavik Landholding Corporation (local Nunavik LHC) are required for all new development projects over Nunavik Category I Lands, for residential, commercial, industrial, institutional, public and non public, or for any other nature of development, such as: - new construction(s) and extension to existing building(s); - renovations to existing building(s); - demolition of existing building(s); - repairs, additions, changes to structural component(s); - floor layout change(s); - relocation of existing building(s); - construction, installation, repair or renovation of accessory building(s) (shed, private garage, porch, etc.); - installation or relocation of fence(s); - renovations to office space; - modification, erection, relocation of sign(s) for business; - new construction and/or renovation of privately owned residence(s) under the Home Ownership Program ; - occupancy change(s); - Installation, relocation, repair to communication antenna(s); - excavation of earth and obtention of natural material; - conduct blasting activities; - construction, restoration and/or maintaining municipal infrastructure(s) and/or public services and servitudes; - any other type of development and construction not herein specified. Last Revised: March 22,

9 1.2 Applying for a LHCs Construction Permit does not constitute nor grant the right to the Applicant to use and occupy Nunavik Category I Lands for the purpose of performing a new development project. 1.3 No use and occupation of Nunavik Category I land for new development project is allowed unless all required local Nunavik LHCs Permits and/or required formal Authorizations be issued to the Applicant. 1.4 LHCs Construction Permits must be obtained prior to the start of any of these activities and regardless of who is carrying out the work. It is the developer/promoter s responsibility to ensure that all required permits be issued; 1.5 In order to obtain a LHCs Construction Permit, an Application for Construction Permit for New Development Project over Nunavik Category I lands ( Application for LHCs Construction Permit) (Form No. 001-A) must be submitted by the Applicant to the local Nunavik LHC along with supporting documentation and application fee required, at the latest sixty (60) days before the new development project be performed. The accompanying information varies depending on the scope of the work. 1.6 A LHCs Construction Permit, when issued by a local Nunavik LHC, consists of: a) LAND ALLOCATION: a formal written identification and allocation to the Applicant of piece (s) of Nunavik Category I land for the purpose of performing a New Development Project (hereinafter referred to as Project ); and b) CONSTRUCTION AUTHORIZATION: a formal written authorization from the local Nunavik LHC to build a Project over the duly identified and allocated piece(s) of Nunavik Category I Land; and c) USE AND OCCUPATION RIGHTS FOR CONSTRUCTION: a formal written authorization from the local Nunavik LHC to use and occupy said duly identified and allocated piece(s) of Nunavik Category I land for the purposes of performing the construction of the Project; 1.7 LHCs Construction Permits are issued at the discretion of the local Nunavik LHC following revision of each submitted Application for Construction Permit. 1.8 Application fees for LHCs Construction Permit are established at $ per Application and are payable to the local Nunavik LHC upon submission. 1.9 A late administrative fee of $ is established for all Application for LHCs Construction Permit not submitted in the delay provided for in the hereinabove paragraph. Last Revised: March 22,

10 1.10 Upon reception, the Application for LHCs Construction Permit will be reviewed by the local Nunavik LHC to decide on the issuance of a LHCs Construction Permit to the Applicant following undertakings from the Applicant to respect all terms and conditions contained at the Application for LHCs Construction Permit Non authorized use and occupation of Nunavik Category I land for the purpose of a contemplated development project, i-e prior to the issuance of a LHCs Construction Permit and/or any other formal written authorization by the local Nunavik LHC, is subject to a daily rate of Three Hundred Fifty Dollars ($350.00) from the date of non authorized use and occupation of Nunavik Category I Lands, until it be regularized with the issuance of the LHCs Construction Permit and/or depending on the circumstances and at the discretion of the local Nunavik LHC, the construction site be closed and/or the site be vacated The local Nunavik LHC may, at its discretion and depending on the circumstances that led to the unauthorized use and occupation of land, negotiate with the Applicant for a different daily rate or a lump sum that would apply for the duration of the unauthorized occupation. Such is to be made official via a duly adopted resolution issued by the Board of Directors of the local Nunavik LHC and communicated to the Applicant The LHCs Construction Permit to be issued by the local Nunavik LHC is conditional to the fact that no money be due to the local Nunavik LHC for the past construction years for development projects promoted and/or constructed by the Applicant Should a contractor whose services are retained by the Applicant owes money to the local Nunavik LHC for past construction activities, the LHCs Construction Permit shall be withhold until such time all arrears be reimbursed to the local Nunavik LHC. Notwithstanding, all interested parties may enter into an agreement where the Applicant will withhold payment to the contractor for an amount equivalent to the arrears owed to the local Nunavik LHC while affecting direct payments to the local Nunavik LHC on behalf of the Contractor, under which premises a Construction Permit could be issued Upon reception of a LHCs Construction Permit, the Applicant shall be authorized to use and occupy specific pieces of Nunavik Category I Land to be referred to as the Premises: a) Identified piece(s) of land allocated to the Applicant by the local Nunavik LHC by the issuance of a LHCs Construction Permit, and upon which shall be located the equipment, the containers and/or the construction material necessary for the performance of the Project, the whole as identified on the extract of plan to be attached to the LHCs Construction Permit; and Last Revised: March 22,

11 b) A piece of land adjacent to the Community's municipal quarry and/or gravel pit in order to extract the natural granular material required for the Project; 1.16 The Premises are taken in their actual condition and all land preparation in view of the Project are to be entirely assumed by the Applicant, inclusive of an official land survey of the Premises; 1.17 As soon as possible, prior and/or after the Project is completed, but no later than one year after the new development is completed, all official land survey data of the surveyed lot shall be sent for registration to the following addresses: Bureau de l'arpenteur général Ministère des Ressources naturelles 5700, 4e avenue Ouest, F 310 Charlesbourg, Québec, G1H 6R1 Local Nunavik LHC Kativik Regional Government P.O. Box 9 Kuujjuaq, P.Q. J0M 1C0 Attention: Land Use Planner Dept. Telecopier: (819) Makivik Corporation 1111 Dr.-Frederik-Phillips, 3rd floor St-Laurent, P.Q. H4M 2X6 Attention: Advisor to the Nunavik LHCs Telecopier: (514) The term of the LHCs Construction Permit shall be for the period commencing on the day that the construction material and/or equipment occupies the Premises, and/or the day the sealift has arrived in the community and discharged the construction material within Nunavik Category I Land, and terminating upon reception of a Notice of Termination of a New Development Project Over Nunavik Category I land (Notice of Termination) (Form No. 005NT) from the Applicant to the local Nunavik LHC, following the departure of the equipment and the materials needed for the new development from the Premises allocated and/or within any other piece of Nunavik Category I Land not specifically allocated by the local Nunavik LHC Conditional to the transmission by the Applicant of a Notice of Termination as hereinabove mentioned, in the event additional piece(s) of Category I land are needed by the Contractor at the termination of the Project, the contractor(s) shall submit to the local Nunavik LHC a distinctive Application for authorization to use and occupy Nunavik Category I lands under the terms and conditions of a new Construction Permit. Last Revised: March 22,

12 1.20 Rates for the use and occupation of the Premises for performing a new development Project, for the whole duration of the Project and specifically for the need of the Project, are payable by the Applicant to the local Nunavik LHC: For the year 2010 Rates for the Use and Occupation Rights of Nunavik Category I Land for the whole duration of new development projects and compensation for natural granular by metric tons (Prices subject to change without notice) For the days during which padding activities take place: For the months during which construction takes place: For the months during which no construction takes place, until the equipment and material are removed from the Premises and/or community: Unauthorized use and occupation of the Premises or of any other piece of Nunavik Category I lands, i-e without proper LHCs Construction permit Natural granular: Natural granular processed into one or more products by such methods as crushing, screening or washing, which includes road gravel, concrete gravel, crushed rock of varying sizes, pea gravel Washed sand and fines: Surface scraped granular: Unauthorized use of rights over Nunavik Category I land for extraction of natural granular prior to the issuance of the Permit: $ per day $ 2, per month $ 1, per month $ /day $2.50/metric ton $2.50/metric ton $2.50/metric ton $2.50/metric ton $5.00/metric ton 1.21 A monthly invoice shall be issued by the Local Nunavik LHC to the Applicant for use and occupation of Nunavik Category I land for the duration of the term of the LHCs Construction Permit All quantities of natural granular extracted from the Premises shall be transmitted by the Applicant to the local Nunavik LHC, on the first day of each month, for the purpose of invoicing directly the Applicant Arrears shall bear interest at the rate of 2% per month on all outstanding amounts In the event that no industrial scale is available in the community, each truck load of granular material extracted from the gravel pit by the Applicant, and/or representatives, assignees, agents and employees is calculated to contain the following metric tons per truck load, even when the truck is not loaded to full capacity: 10-wheeler: 12-wheeler: Semi-trailer: One bucket: 18 metric tons 21 metric tons 25 metric tons 4 metric tons Last Revised: March 22,

13 1.25 The Applicant shall pay the invoices produced by the local Nunavik LHC within thirty (30) days from reception At the termination of the Project, the Applicant transmits to the local Nunavik LHC a written confirmation attesting the exact quantity of natural gravel extracted for the purpose of the Project and if necessary, adjustments of payment will be made accordingly No blasting activity is allowed within Nunavik Category I lands prior to submitting to the local Nunavik LHC an Application for Conducting Blasting Activities Over Nunavik Category I Lands (Application for Blasting Activities ), and before obtaining from the local Nunavik LHC a formal Permit for Conducting Blasting Activities over Nunavik Category I Lands Moreover, no Permit for Conducting Blasting Activities over Nunavik Category I Land shall be issued by the local Nunavik LHC unless the Applicant obtains all required permits and/or formal authorizations from the various governmental/municipal authorities Within forty-five (45) days of the completion of the Project, the Applicant and/or Owner and/or Occupant shall enter into a long/mid term Land Lease Agreement with the local Nunavik LHC for the use and occupation of the piece of Nunavik Category I land over which the Project is located, under the terms and conditions to be defined by the Board of Directors of the Local Nunavik LHC subject to the applicable Land Regime, laws and decrees The Lessee will pay upon signature the related administrative fees for the preparation, disbursements and execution for the Land Lease Agreement Within forty-five (45) days upon the completion of the Project, in the event the Applicant did not transmit to the local Nunavik LHC pre-land survey data of the piece of land over which the Project has been performed, the yearly rent to be included in the land lease agreement shall be calculated based on the following minimum area of land for each type of buildings listed: Bungalow Duplex Triplex Quadruplex Commercial buildings 12,000 s.f. (1,115 sq.m.) 17,000 s.f. (1,579 sq.m.) 20,000 s.f. (1,858 sq.m.) 25,000 s.f. (2,323 sq.m.) 50,000 s.f. (4,645 sq.m.) 1.32 The above-mentioned minimum areas of land shall be used until the reception by the local Nunavik LHC of the pre-land survey or land survey data confirming the official superficy of the piece of land over which the Project has been performed. Last Revised: March 22,

14 1.33 In the event said official superficy is smaller than the minimum area mentioned above, no reimbursement shall be granted by the local Nunavik LHC. In the event the official superficy is larger than the minimum area mentioned above, an invoice representing the difference of superficy shall be issued by the local Nunavik LHC, retroactive to the beginning of the term of the Land Lease Agreement The Applicant must ensure itself that the contractor to whom the Project is awarded is registered with the local Nunavik LHC ( Application for Certificate of Registration of a Contractor mandated by a Permit Holder for the Performance of a Construction Project over Nunavik Category I Land ) (Form No. 004A), and obtain from the local Nunavik LHC a Certificate of Registration (Form No. 004P) for the performance of a Project In the event the Applicant is in default of any Term and Condition, the local Nunavik LHC reserves its right to refuse the usage and occupation by the Applicant of the Premises and of any Category I land In the event that the Applicant need additional pieces of Nunavik Category I lands for a Project, it must obtain prior to the use of said additional pieces of land a formal authorization in writing from the local Nunavik LHC The Applicant shall in all respects conform to all lawful rules, regulations and by-laws and to all regulations of police, department of health and municipalities or of other government or public authorities in any manner affecting the Premises The Applicant shall at all times indemnify and save harmless the local Nunavik LHC from and against all claims and demands, loss, cost, damages, actions, suits or other proceedings by whomsoever made, brought or prosecuted in any manner based upon, occasioned by or attributable to the execution of these presents, or any action taken or things done or maintained by virtue hereof, or the exercise in any manner of rights arising hereunder, except claims for damages resulting from the negligence of officers or servants of the local Nunavik LHC while acting within the scope of their professional duties or employment All the terms and conditions contained in the Application for LHCs Construction Permit shall be interpreted and governed according to the laws of the Province of Quebec The Application for LHCs Construction Permit may be executed by facsimile or such other similar device and in as many counterparts as are necessary and shall be binding on each party when each party thereto has signed and delivered one such counterpart to the other. Last Revised: March 22,

15 1.41 The Applicant understands and agrees that the terms and conditions contained in the Application for LHCs Construction Permit apply as if contained in a separate agreement signed between the Applicant and the local Nunavik LHC The Applicant understands and agrees that its obligations contained in the Application for LHCs Construction Permit are not assignable or transferable to a third party. Last Revised: March 22,

16 2. Blasting Activities over Nunavik Category I Lands Form No. 002A: (Last revised: March 2010) Form No. 002P: (Last revised: March 2010) Application for Conducting Blasting Activities over Nunavik Category I Lands; Application Fee: $ Permit for Conducting Blasting Activities Over Nunavik Category I Lands 2.1 A LHCs Permit for Conducting Blasting Activities Over Nunavik Category I Lands ( LHCs Permit for Blasting Activities ), issued by the local Nunavik LHC, is required before conducting blasting activities over Nunavik Category I Lands. 2.2 Applying for a LHCs Permit for Blasting Activities does not constitute nor grant the right to the Applicant to use and occupy Nunavik Category I Lands for the purpose of conducting blasting activities or else. 2.3 No use and occupation of Nunavik Category I land for conducting blasting activities is allowed unless all required local Nunavik LHCs Permits and/or required formal Authorizations be issued to the Applicant. Moreover, no LHCs Permit for Blasting Activities is issued by the local Nunavik LHC unless the Applicant obtains all required permits and/or formal authorizations from the various governmental/municipal authorities. 2.4 A LHCs Permit for Blasting Activities must be obtained prior to the start of conducting blasting activities and regardless of who is carrying out the work. It is the promoter s responsibility to ensure a permit is in place. 2.5 Applying for a Permit for Blasting Activities does not grant the right to use and occupy Nunavik Category I land or to commence blasting activities over Nunavik Category I Land. 2.6 In order to obtain a LHCs Permit for Blasting Activities, an Application for Conducting Blasting Activities over Nunavik Category I lands ( Application for Permit for Blasting Activities) (Form No. 002A) must be submitted by the Applicant to the local Nunavik LHC along with supporting documentation and application fee Last Revised: March 22,

17 required, at the latest sixty (60) days before the new development project be performed. The accompanying information varies depending on the scope of the work. 2.7 Permit for Blasting Activities are issued at the discretion of the local Nunavik LHC following revision of each submitted Application for Construction Permit. 2.8 A LHCs Permit for Blasting Activities, when issued by a local Nunavik LHC, consists of: 1) LAND ALLOCATION: a formal written identification and allocation to the Applicant, for a short term period, of a piece (s) of Nunavik Category I land for the purpose of conducting blasting activities (hereinafter referred to as Project ); and 2) SHORT TERM USE AND OCCUPATION RIGHTS FOR BLASTING: a formal written authorization from the local Nunavik LHC to use and occupy for a short term period said duly identified and allocated piece(s) of Nunavik Category I land for the purposes of short term storage of explosive material and construction equipment and/ material for the purpose of conducting blasting activities; and 3) SHORT TERM USE AND OCCUPATION RIGHTS FOR EXTRACTION: a formal written authorization from the local Nunavik LHC to use and occupy for a short term period said duly identified and allocated piece(s) of Nunavik Category I land for the purposes of extracting granular material. 2.9 Application fees for LHCs Permit for Blasting Activities are established at $ per Application and are payable to the local Nunavik LHC upon submission A late administrative fee of $ is established for all Application for Permit for Blasting Activities not submitted in the delay provided for in the hereinabove paragraph Upon reception, the Application for Permit for Blasting Activities will be reviewed by the local Nunavik LHC to decide on the issuance of a Permit for Blasting Activities to the Applicant, following undertakings from the Applicant to respect all terms and conditions contained at the Application for Permit for Blasting Activities Non authorized use and occupation of Nunavik Category I land for the purpose of conducting blasting activities, i-e prior to the issuance of a Permit for Blasting Activities and/or any other formal written authorizations of the local Nunavik LHC, will lead, depending on the circumstances and at the discretion of the local Nunavik LHC, to the closing of the Construction Project site(s) and the vacation without delay of the occupied site(s) at the Applicant s own expenses. Last Revised: March 22,

18 2.13 Should the Project be postponed and the construction site(s) be vacated because the Applicant, and/or the contractor(s) and/or any other individual(s) or entity (ies) (including the local Northern Village) engaged into the completion of blasting activities occupy piece(s) of Nunavik Category I land without the proper Permit for Blasting Activities and/or any other formal written authorization(s) of the local Nunavik LHC, a daily rate of Three Hundred Fifty Dollars ($350.00) shall be applicable to such unauthorized occupation, from the date of use and occupation of the piece(s) of land until the issuance of the Permit for Blasting Activities by the local Nunavik LHC and/or until the vacation of the Construction Project site The local Nunavik LHC may, at its discretion and depending on the circumstances that led to the unauthorized use and occupation of land, negotiate with the Applicant for a different daily rate or a lump sum that would apply for the duration of the unauthorized occupation. Such is to be made official via a duly adopted resolution, issued by the Board of Directors of the local Nunavik LHC and communicated to the Applicant The Permit for Blasting Activities to be issued by the local Nunavik LHC is conditional to the fact that no money be due to the local Nunavik LHC for past construction years for development projects promoted and/or constructed by the Applicant. Should a contractor whose services are retained by the Applicant owe money to the local Nunavik LHC for past construction activities, the Permit for Blasting Activities shall also be withhold until such time all arrears be reimbursed to the local Nunavik LHC. Notwithstanding, all interested parties may enter into an agreement where the Applicant withholds payment to the contractor for an amount equivalent to the arrears owed to the local Nunavik LHC while affecting direct payments to the local Nunavik LHC on behalf of the Contractor, under which premises a Construction Permit could be issued Upon reception of a Permit for Blasting Activities, the Applicant shall be authorized to use and occupy specific pieces of Nunavik Category I Land, to be referred to as the Premises : a) Identified piece(s) of land duly allocated to the Applicant by the local Nunavik LHC with the issuance of a Permit for Blasting Activities and upon which shall be located the explosive materials, equipments, containers and/or the construction materials necessary for the performance of the Construction Project, the whole as identified on an extract of plan to be attached to the Permit for Blasting Activities; and b) Piece(s) of land duly identified and allocated to the Applicant by the local Nunavik LHC with the issuance of a Permit for Blasting Activities to the Applicant, upon which are to be conducted the blasting activities for extracting natural granular. Last Revised: March 22,

19 2.17 The Premises shall be taken by the Applicant in their actual condition and all land preparation in view of the Construction Project are at Applicant's costs The term of the Permit for Blasting Activities shall be for the period commencing on the day that the construction material and/or equipment occupy the Premises, and/or the day the sealift has arrived in the Community and discharged the construction material within Nunavik Category I Land, and terminating upon reception of a Notice of Termination of a New Development Project Over Nunavik Category I land (Notice of Termination) (Form No. 005NT) from the Applicant to the local Nunavik LHC, following the departure of the equipment and the materials needed for the Project from the Premises allocated and/or within any other piece of Nunavik Category I Land not specifically allocated by the local Nunavik LHC Conditional to the transmission by the Applicant to the local Nunavik LHC of the Notice of Termination hereinabove mentioned, in the event additional piece(s) of Category I land are needed by the Contractor at the termination of the Project, the contractor(s) shall submit to the local Nunavik LHC a distinctive Application for authorization to use and occupy Nunavik Category I lands under the terms and conditions of a new Construction Permit 2.20 Rates for the use and occupation of the Premises for performing a new development Project, for the whole duration of the Project and specifically for the need of the Project, are payable by the Applicant to the local Nunavik LHC: For the year 2010 Rates for the Use and Occupation Rights of Nunavik Category I Land for the whole duration of new development projects and compensation for natural granular by metric tons (Prices subject to change without notice) For the months during which blasting activities take place: For the months during which no blasting activities take place, until the equipment and material are removed from the Premises: Unauthorized use and occupation of the Premises or of any other piece of Nunavik Category I lands, i-e without proper Permit for Blasting Activities Natural granular: Natural granular processed into one or more products by such methods as crushing, screening or washing, which includes road gravel, concrete gravel, crushed rock of varying sizes, pea gravel Washed sand and fines: Surface scraped granular: Unauthorized use of rights over Nunavik Category I land for extraction of natural granular prior to the issuance of the Permit: $ 2, per month $ 1, per month $ /day $2.50/metric ton $2.50/metric ton $2.50/metric ton $2.50/metric ton $5.00/metric ton Last Revised: March 22,

20 2.21 A monthly invoice shall be issued by the Local Nunavik LHC to the Applicant for use and occupation of Nunavik Category I land for the duration of the term of the LHCs Permit for Blasting Activities In the event the Applicant omits to formally inform the local Nunavik LHC of the date of termination of the Project and vacation of the Premises and/or any other piece of the Community's Category I land, and as a consequence, invoice(s) have been issued by the local Nunavik LHC, the local Nunavik LHC shall have the right to invoice the Applicant an administration fee for the preparation and issuance of invoice(s), and clerical adjustment to the account of the Applicant Applicant to the local Nunavik LHC, on the first day of each month, for the purpose of invoicing directly the Applicant Arrears shall bear interest at the rate of 2% per month on all outstanding amounts In the event that no industrial scale is available in the community, each truck load of granular material extracted from the excavation site by the Applicant, and/or representatives, assigns and employees is calculated to contain the following metric tons per truck load, even when the truck is not loaded to full capacity: 10-wheeler: 12-wheeler: Semi-trailer: One bucket: 18 metric tons 21 metric tons 25 metric tons 4 metric tons 2.26 The Applicant shall pay the invoices produced by the local Nunavik LHC within thirty (30) days from reception At the termination of the Project, the Applicant transmits to the local Nunavik LHC a written confirmation attesting the exact quantity of natural gravel extracted for the purpose of the Project and if necessary, adjustments of payment will be made accordingly At all time during the performance of the Project and at the termination of the Project, the Applicant shall assure itself to always keep Nunavik Category I land, including the quarry and gravel pits, the construction sites and the location of its construction camp in proper condition, notably without holes that may create water accumulation Construction trailers and/or campers and/or construction materials are prohibited on residential family lots. Last Revised: March 22,

21 2.30 The Applicant shall ensure that the blasting operation is conducted in a manner that complies with all federal, provincial, municipal and regional governmental Acts, regulations and by-laws The Applicant shall ensure that warning signs bearing the words "Blasting Operations, Turn Off Radio Transmitter" or any other required warning signs are posted on all public roads near or leading to the blasting area so as to be visible to persons approaching the blasting area Before a blast, the Applicant shall ensure that all roads and approaches to and from the blasting area are guarded or barricaded sufficiently to prevent a person from entering an area where the blast may create a hazard The Applicant must obtain an authorization from the Kativik Regional Police Force for driving within the community a road vehicle carrying explosives Explosive materials shall not be sold, given, delivered or transferred to anyone in the community not in possession of a valid governmental Certificate of Authorization In the event the Applicant is in default of any term and condition contained in the Application for Permit to Conduct Blasting Activities, the local Nunavik LHC reserves its right to refuse the usage and occupation by the Applicant of the Premises and of any Category I land In the event that the Applicant would need additional pieces of Category I land for the present Project or for any other project it may have in Nunavik, it must obtain prior to the use and occupation of additional pieces of land a formal authorization in writing from the local Nunavik LHC The Applicant shall in all respects conform to all lawful rules, regulations and by-laws and to all regulations of police, department of health and municipalities or of other government or public authorities in any manner affecting the Premises The Applicant must ensure itself that the contractor to whom the Project is awarded is registered with the local Nunavik LHC ( Application for Certificate of Registration of a Contractor mandated by a Permit Holder for the Performance of a Construction Project over Nunavik Category I Land ) (Form No. 004A), and obtain from the local Nunavik LHC a Certificate of Registration (Form No. 004P) for the performance of a Project. Last Revised: March 22,

22 2.39 The Applicant shall at all times indemnify and save harmless the local Nunavik LHC from and against all claims and demands, loss, cost, damages, actions, suits or other proceedings by whomsoever made, brought or prosecuted in any manner based upon, occasioned by or attributable to the execution of these presents, or any action taken or things done or maintained by virtue hereof, or the exercise in any manner of rights arising hereunder, except claims for damages resulting from the negligence of officers or servants of the local Nunavik LHC while acting within the scope of their professional duties or employment All the Terms and Conditions contained in the Application for Permit to Conduct Blasting Activities shall be interpreted and governed according to the laws of the Province of Quebec The Application for Permit to Conduct Blasting Activities may be executed by facsimile or such other similar device and in as many counterparts as are necessary and shall be binding on each party when each party hereto has signed and delivered one such counterpart to the other The Applicant understands and agrees that the terms and conditions contained in the Application for Permit to Conduct Blasting Activities apply as if contained in a separate agreement signed between the Applicant and the local Nunavik LHC The Applicant understands and agrees that its obligations contained in the Application for Permit to Conduct Blasting Activities are not assignable or transferable to a third party. Last Revised: March 22,

23 3. Installation of a Fence over Nunavik Category I Lands Form No. 003A: (Last revised: March 2010) Form No. 003P: (Last revised: March 2010) Application for Permit to Install a Fence over Nunavik Category I Lands; Application Fee: $ Permit to Install a Fence Over Nunavik Category I Lands. 3.1 A Permit to Install a Fence Over Nunavik Category I Lands ( Permit to Install a Fence ) (Form 003P), issued by the local Nunavik LHC, is required for installing a fence over Nunavik Category I Lands. 3.2 Applying for a Permit to Install a Fence does not constitute nor grant the right to the Applicant to use and occupy Nunavik Category I Lands for the purpose of installing a fence. 3.3 No use and occupation nor installing a fence are allowed within Nunavik Category I land unless all required local Nunavik LHCs Permits and/or required formal Authorizations be issued to the Applicant. 3.4 A Permit to Install a Fence must be obtained by the local Nunavik LHC prior to the start of installing a fence and regardless of who is carrying out the work. It is the developer/promoter s responsibility to ensure that all required permits be issued. 3.5 In order to obtain a Permit to Install a Fence, an Application to Install a Fence over Nunavik Category I lands ( Application for Permit to Install a Fence) (Form No. 003A) must be submitted to the local Nunavik LHC along with supporting documentation and application fee required, and sent by the Applicant to the local Nunavik LHC at the latest sixty (60) days before installing a fence. The accompanying information varies depending on the scope of the work. 3.6 A Permit to Install a Fence is issued at the discretion of the local Nunavik LHCs following revision of each submitted Application for Permit to Install a Fence. Last Revised: March 22,

24 3.7 A Permit to Install a Fence, when issued by a local Nunavik LHC, consists of: 1) LAND ALLOCATION: a formal written identification and allocation to the Applicant of the site located on Nunavik Category I land for the purpose of installing a fence (hereafter referred to as Project ); and 2) AUTHORIZATION FOR INSTALLATION: a formal written authorization from the local Nunavik LHC to perform the Project over said duly identified site located over Nunavik Category I Land; and 3) USE AND OCCUPATION RIGHTS FOR CONSTRUCTION: a formal written authorization from the local Nunavik LHC to use and occupy said duly identified and allocated piece(s) of Nunavik Category I land for the purposes of installing the fence and storing all related construction equipment and/or material necessary to complete the fence. 3.8 The Application for Permit to Install a Fence must be completed and sent by the Applicant to the local Nunavik LHC at the latest sixty (60) days before the construction project shall be performed. 3.9 The fee for the Application for Permit to Install a Fence is established at $ per Application and are payable to the local Nunavik LHC upon submission A late administrative fee of $ is established for all Applications for Permit to Install a Fence not submitted in the delay provided for in the hereinabove paragraph Upon reception, the Application for Permit to Install a Fence shall be reviewed by the local Nunavik LHC to decide on the issuance of a Permit to Install a Fence to the Applicant, following undertakings from the Applicant to respect all the terms and conditions contained in the Application for Permit to Install a Fence Non authorized use and occupation of Nunavik Category I lands for the purpose of the herein contemplated development project, i-e prior to the issuance of a Permit to Install a Fence and/or any other formal written authorizations by the local Nunavik LHC is subject to a daily rate of Three Hundred Fifty Dollars ($350.00) from the date of non authorized use and occupation of the Nunavik land, until it be regularized with the issuance of the Permit to Install a Fence by the local Nunavik LHC and/or depending on the circumstances and at the discretion of the local Nunavik LHC, the construction site be closed and/or the site be vacated. Last Revised: March 22,

25 The local Nunavik LHC may, at its discretion and depending on the circumstances that led to the unauthorized use and occupation of land, negotiate with the Applicant for a different daily rate or a lump sum that would apply for the duration of the unauthorized occupation. Such is to be made official via a duly adopted resolution issued by the Board of Directors of the local Nunavik LHC and communicated to the Applicant The Permit to Install a Fence to be issued by the local Nunavik LHC is conditional to the fact that no money be due to the local Nunavik LHC for the past construction years for development projects promoted and/or constructed by the Applicant. Should a contractor whose services are retained by the Applicant owe money to the local Nunavik LHC for past construction activities, the Permit to Install a Fence shall be withhold until such time all arrears be reimbursed to the local Nunavik LHC. Notwithstanding, all interested parties may enter into an agreement where the Applicant will withhold payment to the contractor for an amount equivalent to the arrears owed to the local Nunavik LHC while affecting direct payments to the local Nunavik LHC on behalf of the Contractor, under which premises a Permit to Install a Fence could be issued Upon reception of a Permit to Install a Fence, the Applicant shall be authorized to use and occupy specific pieces of Nunavik Category I Land to be referred to as the Premises : a) Identified piece(s) of land duly identified and allocated to the Applicant by the local Nunavik LHC by the issuance of a Permit to Install a Fence and upon which shall be located the equipment, the containers and/or the construction material necessary for the performance of installing a fence over said identified piece(s) of land, the whole as identified on an extract of plan to be attached to the Permit to Install a Fence; and b) A piece of land adjacent to the Community's municipal quarry and/or gravel pit in order to extract the natural granular material required for installing a fence; 3.15 The Premises are taken in their actual condition and all land preparation in view of the Project are to be entirely assumed by the Applicant, inclusive of an official land survey of the Premises; Last Revised: March 22,

26 3.16 As soon as possible, prior and/or after the installation of the fence is completed, but no later than one year after the installation of the fence is completed, all official land survey data of the site over which a fence is installed, shall be sent for registration to the following addresses: Bureau de l'arpenteur général Ministère des Ressources naturelles 5700, 4e avenue Ouest, F 310 Charlesbourg, Québec, G1H 6R1 Local Nunavik LHC Kativik Regional Government P.O. Box 9 Kuujjuaq, P.Q. J0M 1C0 Attention: Land Use Planner Dept. Telecopier: (819) Makivik Corporation 1111 Dr.-Frederik-Phillips, 3rd floor St-Laurent, P.Q. H4M 2X6 Attention: Advisor to the Nunavik LHCs Telecopier: (514) The term of the Permit to Install a Fence shall be for the period commencing on the day that the construction material and/or equipment occupies the Premises, and/or the day the sealift has arrived in the Community and discharged the construction material within Nunavik Category I Land, and terminating upon reception of a Notice of Termination of a Development Project Over Nunavik Category I land (Form 005NT) from the Applicant to the local Nunavik LHC following the departure of the equipment and the materials needed for the Project from the Premises allocated and/or within any other piece of Nunavik Category I Land not specifically allocated by the local Nunavik LHC Conditional that the Applicant transmits to the local Nunavik LHC the Notice of Termination hereinabove mentioned, in the event additional piece (s) of Category I land are needed by the Contractor at the termination of the Project, the contractor(s) shall submit to the local Nunavik LHC a distinctive Application for authorization to use and occupy Nunavik Category I Lands under the terms and conditions of a new Construction Permit. Last Revised: March 22,