Article 1In light of the current situation where the Northern Territories issue remains unresolved in spite of the Northern Territories constituting an inherent territory of Japan and the special circumstances under which former residents of the Northern Regions and the Region neighboring the Northern Territories are placed because of this, and while also giving consideration to the progress of the economic activities to be jointly conducted by Japan and the Russian Federation in the Northern Regions for which commencement of discussions was agreed upon between the two countries on December 16, 2016 (referred to as "joint economic activities" in Article 2, paragraph (5)), this Act aims to advance resolution of the Northern Territories issue and other issues related thereto by providing for special measures necessary for the raising of public awareness of the Northern Territories issue and other issues related to the Northern Regions, promotion of programs for exchanges and other purposes, enhancement of measures for providing assistance, etc. to former residents of the Northern Regions, development of an environment for smoothly implementing specified joint economic activities, and the driving of formulation and implementation of a plan for revitalization of the Region neighboring the Northern Territories and stability of the lives of residents in the Region, thereby contributing to realization of an early return of the Northern Territories, conclusion of a peace treaty between Japan and the Russian Federation, and development of friendly relations between the two countries on a truly stable foundation.

Article 2(1)The term "Northern Regions" as used in this Act means the Habomai Islands, Shikotan Island, Kunashiri Island, and Etorofu Island.

(2)The term "Region neighboring the Northern Territories" as used in this Act means the areas of Nemuro City (excluding the area of the Habomai Islands), Betsukai Town in Notsuke County, Nakashibetsu Town in Shibetsu County, Shibetsu Town in that county, and Rausu Town in Menashi County in Hokkaido.

(3)The term "former residents of the Northern Regions" as used in this Act means any person who had the principal place of daily activity in the Northern Regions as of August 15, 1945 and any children of such person who were born in the Northern Regions after that date, including any children and grandchildren of these persons.

(4)The term "programs for exchanges and other purposes" as used in this Act means the following programs which are specified by Cabinet Order:

(5)The term "specified joint economic activities" as used in this Act means joint economic activities which are specified by the competent ministers as those that mainly contribute to economic revitalization of the Region neighboring the Northern Territories.

Article 2-2The national government is to make the utmost effort to realize an early return of the Northern Territories, which constitute an inherent territory of Japan, by actively promoting necessary policies for advancing resolution of the Northern Territories issue and other issues, while making close coordination with local governments including Hokkaido and the city and towns in the Region neighboring the Northern Territories as well as with private-sector organizations.

Article 3(1)In order to achieve the purpose referred to in Article 1, the competent minister, in consultation with the heads of the relevant administrative organs, is to specify a basic policy for advancing resolution of the Northern Territories issue and other issues (hereinafter referred to as the "basic policy").

(2)The matters to be specified in the basic policy are as follows:

(3)The competent minister must review the basic policy and make necessary changes to it as needed.

(4)The provisions of paragraphs (1) and (2) apply mutatis mutandis to any changes to the basic policy.

Article 4(1)The national government is to promote necessary policies, such as development of an environment for promoting the campaign for the return of the Northern Territories, based on the basic policy, in order to raise public awareness of the Northern Territories issue and other issues related to the Northern Regions.

(2)The national government is to implement necessary policies, such as promotion of education and learning concerning the Northern Territories issue and other issues related to the Northern Regions in school education and social education as well as dissemination of knowledge concerning these issues through public relations activities, etc., so as to enable citizens to deepen their understanding and interest in these issues.

Article 4-2(1)Until the Northern Territories issue is resolved, the national government is to endeavor to actively promote programs for exchanges and other purposes.

(2)The national government is to give necessary fiscal considerations for smooth promotion of programs for exchanges and other purposes while paying attention to the fact that the Region neighboring the Northern Territories is playing an important role as the base for promoting programs for exchanges and other purposes.

(3)In light of the special circumstances under which former residents of the Northern Regions, etc. are placed, such as being unable to secure traveling means by themselves, because the Northern Territories issue remains unresolved, the national government will give special considerations so that the visits referred to in Article 2, paragraph (4), items (ii) and (iii) will be made without hindrance, until the Northern Territories issue is resolved.

Article 5In light of the special circumstances under which former residents of the Northern Regions are placed because the Northern Territories issue remains unresolved and the special position which former residents of the Northern Regions hold in promoting various policies for resolving the Northern Territories issue, the national government is to take, beyond what is specified in the following Article and Article 10, fiscal measures and other measures necessary for further enhancing and strengthening assistance to and other measures for former residents of the Northern Regions, based on the basic policy.

Article 5-2In light of the current situation in which former residents of the Northern Regions, who are playing an important role as key actors of the campaign for the return of the Northern Territories, are aging, the national government is to take necessary measures for fostering successors of the campaign for the return of the Northern Territories so as to enable former residents of the Northern Regions (including children of the grandchildren prescribed in Article 2, paragraph (3)) to continue to play the important role as key actors of the campaign for the return of the Northern Territories.

Article 5-3The national government, Hokkaido, and the city and towns in the Region neighboring the Northern Territories are to endeavor to develop the necessary environment in the Region neighboring the Northern Territories for smooth implementation of specified joint economic activities.

Article 6(1)In order to contribute to forming the Region neighboring the Northern Territories, which is the base for the campaign for the return of the Northern Territories, as stable local communities, the governor of Hokkaido may create a plan for revitalization of the Region neighboring the Northern Territories and stability of the lives of residents in the Region, based on the basic policy, by hearing opinions of the mayors of the city and towns in the Region neighboring the Northern Territories, and may consult and seek the consent thereto of the competent minister.

(2)The matters to be specified in the plan prescribed in the preceding paragraph are as follows:

(3)If the competent minister finds that a plan about which the minister was consulted pursuant to the provisions of paragraph (1) is appropriate, the minister is to consent to the plan. In this case, the competent minister must consult the heads of the relevant administrative organs.

(4)The provisions of the preceding three paragraphs apply mutatis mutandis to any changes to the promotion plan (meaning the plan prescribed in paragraph (1) for which consent has been obtained pursuant to the provisions of the preceding paragraph; the same applies hereinafter).

Article 7With regard to a project which a city or town in the Region neighboring the Northern Territories conducts based on the promotion plan by receiving a contribution, subsidy, or grant from the national government or Hokkaido (in the case of a project conducted by receiving a contribution, subsidy, or grant from Hokkaido, limited to one for which the national government bears, subsidizes, or provides a grant for a part of the cost required by Hokkaido to provide the contribution, subsidy, or grant), and which falls under any of the following categories of projects (excluding a project relating to disaster recovery efforts, a project for which all related expenses are borne by the national government or Hokkaido, and a project for which no related expenses are borne by the city or town in the Region neighboring the Northern Territories) and is specified by Cabinet Order (hereinafter referred to as a "specified project"), the percentage of the expenses related to that project to be borne or subsidized by the national government (in the case in which the national government bears or subsidizes a part of the cost required by Hokkaido to provide the contribution or subsidy to the city or town in the Region neighboring the Northern Territories, the percentage of the national government's contribution or subsidy to the expenses related to the specified project; hereinafter referred to as the "national government's contribution percentage") is to be calculated pursuant to the provisions of the following Article:

Article 7-2(1)The national government's contribution percentage to the expenses related to a specified project is to be calculated by multiplying the national government's normal contribution percentage to the expenses related to a project equivalent to the specified project in an area outside the Hokkaido area by a number calculated by the following formula (any fractions after two decimal places are rounded up; hereinafter referred to as the "increase rate") for each city or town in the Region neighboring the Northern Territories:

1 + 0.25 × (the portion of the amount borne by the city or town in relation to all specified projects in the relevant fiscal year, which exceeds the base amount borne by the city or town up to twice the base amount / the base amount borne by the city or town) × adjustment rate

(2)The term "base amount borne by the city or town" as used in the formula in the preceding paragraph means an amount equivalent to 2/100 of the sum of the amount of the ordinary allocation tax calculated pursuant to the provisions of Article 10 of the Local Allocation Tax Act (Act No. 211 of 1950), an amount equivalent to 100/75 of the amount obtained by deducting the estimated amount of income to be gained from the local volatile oil transfer tax, special tonnage transfer tax, motor vehicle tonnage transfer tax, aviation fuel transfer tax, and traffic safety measures special grant which are the basis of calculating the base amount of income from the base amount of income calculated pursuant to the provisions of Article 14 of that Act, and the estimated amount of income to be gained from those local volatile oil transfer tax, special tonnage transfer tax, motor vehicle tonnage transfer tax, aviation fuel transfer tax, and traffic safety measures special grant for the relevant city or town in the relevant fiscal year.

(3)The term "adjustment rate" as used in the formula in paragraph (1) means a numerical value calculated by the following formula, which is to be zero if the numerical value becomes a negative number:

(4)The term "financial strength index" as used in the formula in the preceding paragraph means a numerical value which is 1/3 of the sum of the numerical value obtained by dividing the base amount of income calculated pursuant to the provisions of Article 14 of the Local Allocation Tax Act by the base amount of financial needs calculated pursuant to the provisions of Article 11 of that Act for each of the three fiscal years preceding the relevant fiscal year.

(5)In the case in which the provisions of paragraph (1) are applied, if the contribution percentage of a city or town in the Region neighboring the Northern Territories becomes less than 20/100, the national government's contribution percentage is determined in a manner that makes the contribution percentage of the city or town in the Region neighboring the Northern Territories to the expenses related to the specified project 20/100, notwithstanding the provisions of that paragraph.

(6)The Minister for Internal Affairs and Communications is to calculate the increase rate prescribed in paragraph (1), and notify the heads of ministries and agencies (meaning the heads of ministries and agencies prescribed in Article 20, paragraph (2) of the Public Finance Act (Act No. 34 of 1947)) who have jurisdiction over administrative functions related to the specified project as well as the Minister of Land, Infrastructure, Transport and Tourism, the governor of Hokkaido, and the mayors of the city and towns in the Region neighboring the Northern Territories of the increase rate.

Article 7-3Notwithstanding the provisions of the preceding two Articles, with regard to any specified project relating to a city or town in the Region neighboring the Northern Territories for which the national government's contribution percentage calculated pursuant to the provisions of the preceding Article does not exceed the national government's contribution percentage to the expenses related to that specified project in the Hokkaido area, the national government is to bear or subsidize an amount equivalent to the amount calculated based on the national government's contribution percentage to the expenses related to that specified project in the Hokkaido area.

Article 7-4Cabinet Order prescribes necessary matters concerning provision of the amount to be borne or subsidized by the national government beyond the national government's normal contribution percentage pursuant to the provisions of the preceding three Articles.

Article 7-5In the case of providing a grant specified by Cabinet Order to be used to cover expenses related to a specified project, the national government is to calculate the amount of that grant by taking into account the percentage which will be borne or subsidized by the national government if the provisions of Article 7 and Article 7-2 or 7-3 are applied to those expenses, pursuant to the provisions of Cabinet Order.

Article 8With regard to local government bonds issued by Hokkaido or a city or town in the Region neighboring the Northern Territories to be used to cover the expenses needed for a project conducted based on the promotion plan, the national government is to give special consideration so that the local government bonds may be issued as far as the financial situation of Hokkaido or that city or town allows, and that they are underwritten using the fiscal loan fund as far as the fund situation allows.

Article 9In light of the special circumstances under which Japan's fishermen operating in territorial waters in the Northern Regions are placed because the Northern Territories issue remains unresolved, the national government is to endeavor to take measures necessary to secure smooth implementation of operations by Japan's fishermen in those territorial waters.

Article 10(1)In order to contribute to resolving issues caused by special circumstances that exist because the Northern Territories issue remains unresolved, Hokkaido may establish a fund for promotion, etc. of the Region neighboring the Northern Territories as the fund referred to in Article 241 of the Local Autonomy Act (Act No. 67 of 1947) in order to subsidize a part of the expenses required for any project conducted by a public organization and other entities within the area of a city or town in the Region neighboring the Northern Territories or Hokkaido based on the promotion plan, project concerning the raising of public awareness of the Northern Territories issue and other issues related to the Northern Regions, or project concerning assistance, etc. to former residents of the Northern Regions (limited to one which does not involve a subsidy or contribution by the national government) which falls under any of the following categories:

(2)If Hokkaido establishes a fund for promotion, etc. of the Region neighboring the Northern Territories pursuant to the provisions of the preceding paragraph, the national government is to subsidize Hokkaido for a part of the funds to be used to finance that fund.

(3)The amount of the fund for promotion, etc. of the Region neighboring the Northern Territories referred to in paragraph (1) is not to fall below an amount obtained by adding, to the amount of subsidy received from the national government pursuant to the provisions of the preceding paragraph, an amount equivalent to 1/4 of the amount of that subsidy.

(4)If Hokkaido withdraws funds from the fund for promotion, etc. of the Region neighboring the Northern Territories referred to in paragraph (1), the provisions of the preceding paragraph are to apply by deeming an amount equivalent to 4/5 of the amount of the fund for promotion, etc. of the Region neighboring the Northern Territories after the withdrawal as the amount of subsidy received from the national government pursuant to the provisions of paragraph (2).

Article 10-2Beyond what is specified in Article 4-2 through the preceding paragraph, the national government must take necessary fiscal measures within the scope of the budget and give necessary financial and technical considerations in order to achieve the purpose of this Act.

Article 11(1)Until otherwise provided for by law, functions for family registers of persons who have their registered domicile in the Northern Regions (excluding the Habomai Islands; hereinafter the same applies in this Article) are administered by a person designated by the Minister of Justice from among the mayors of the city and towns in the Region neighboring the Northern Territories, notwithstanding the provisions of other laws and regulations.

(2)Until otherwise provided for by law, functions concerning a notice under the provisions of Article 9, paragraph (2) of the Residential Basic Book Act (Act No. 81 of 1967) and the supplementary family register prescribed in Chapter 3 of that Act relating to persons who have their registered domicile in the Northern Regions are managed by a person designated by the Minister for Internal Affairs and Communications and the Minister of Justice from among the mayors of the city and towns in the Region neighboring the Northern Territories, notwithstanding the provisions of other laws and regulations.

(3)Beyond what is specified in the preceding two paragraphs, until otherwise provided for by law, functions under the authority of the mayors of villages in the Northern Regions which are specified by Cabinet Order are performed by a person designated by the governor of Hokkaido from among the mayors of the city and towns in the Region neighboring the Northern Territories, notwithstanding the provisions of other laws and regulations.

(4)Cabinet Order prescribed necessary matters concerning performance of the functions referred to in the preceding three paragraphs.

Article 12The competent ministers in this Act are the Prime Minister, the Minister for Foreign Affairs, and the Minister of Land, Infrastructure, Transport and Tourism with regard to the specifying of joint economic activities, the Prime Minister and the Minister for Foreign Affairs with regard to the matters concerning implementation of programs for exchanges and other purposes, the Minister of Land, Infrastructure, Transport and Tourism with regard to the matters concerning revitalization of the Region neighboring the Northern Territories and stability of the lives of residents in the Region, and the Prime Minister with regard to any other matters.