Thanx for the additional info... I did some checking with a program that is one of the best I've used for voltage drop, and conductor sizing. It shows that the conductors are sized properly for the load. I have included the link for the program I used..
http://www.mc-group.ca/voltage_drop_calculator.htm
As I am from Canada, I'm not sure that any code clarification I could provide would be relevant. I guess the easiest way I would determine if it was a feeder or a branch circuit (from the switchboard to the starter) would be - what if the starter was another distribution panel, then what would it be called? What if it went to another distribution transformer, what would it be called? In my thinking, it doesn't matter and is a feeder...