Canada-Nova Scotia Offshore Petroleum Resources Accord Implementation Act

Marginal note:Calculation of fiscal equalization offset payment

• 225 (1) The fiscal equalization offset payment that may be paid to Her Majesty in right of the Province for a fiscal year pursuant to section 224 is the amount, as determined by the Minister of Finance, equal to the amount, if any, by which

  • (a) the fiscal equalization payment that may be made to Her Majesty in right of the Province for the fiscal year under Part I of the Fiscal Arrangements Act

  is less than

  • (b) the fiscal equalization payment to Her Majesty in right of the Province for the fiscal year referred to in paragraph (a) adjusted by

    • (i) excluding that portion of the offshore revenue in respect of the fiscal year that is included in the computation of that fiscal equalization payment, and

    • (ii) including in the computation of that fiscal equalization payment the phase-in portion of the offshore revenue in respect of the fiscal year.

• Marginal note:Limitation on fiscal equalization offset payment

  (2) Notwithstanding subsection (1), where the first fiscal year of offshore production has the meaning assigned to that expression by paragraph (a) of the definition of that expression in subsection 223(1), the amount of the fiscal equalization offset payment that may be paid to Her Majesty in right of the Province for a fiscal year determined in accordance with subsection (1) shall be reduced by the amount equal to the product of

  • (a) the population of the Province for the fiscal year, and

  • (b) the amount, if any, by which

    • (i) the aggregate of

      • (A) the per capita fiscal capacity of the Province for the fiscal year as determined in accordance with section 226,

      • (B) an amount equal to the quotient obtained by dividing the fiscal equalization payment that may be made to Her Majesty in right of the Province for the fiscal year under Part I of the Fiscal Arrangements Act, by the population of the Province for the fiscal year, and

      • (C) an amount equal to the quotient obtained by dividing the fiscal equalization offset payment for the Province for the fiscal year as determined under subsection (1) by the population of the Province for the fiscal year,

    exceeds

    • (ii) the national average per capita fiscal capacity for the fiscal year as determined in accordance with section 226.