ARCHIVED - Agriculture and Agri-Food Canada

Name of Horizontal Initiative: Agricultural Flexibility Fund

Name of lead department: Agriculture and Agri-Food Canada (AAFC)

Lead department program activity:

The Agricultural Flexibility Fund contributes to several program activities within AAFC: On-Farm Action, Food Safety and Biosecurity Risk Management Systems, Trade and Market Development, and Science, Innovation and Adoption

Start date of the Horizontal Initiative: July 10, 2009

End date of the Horizontal Initiative: March 31, 2014 (under Budget 2009 - Canada's Economic Action Plan)

Total federal funding allocation: $485.5* million (Announced in Budget 2009 - Canada's Economic Action Plan)

Description of the Horizontal Initiative:

The Agricultural Flexibility Fund (AgriFlexibility) is a five-year (2009-2014) $500 million fund. Its objective is to facilitate the implementation of new initiatives, both federally and in partnership with provinces, territories and industry. AgriFlexibility will improve the sector's competitiveness and help the sector adapt to pressures through non-business risk-management measures that will reduce costs of production, improve environmental sustainability, promote innovation and respond to market challenges. The AgriFlexibility Fund is being implemented through federal, industry and cost-shared initiatives with provinces and territories. Funding is provided through contribution agreements. This Horizontal Initiative is part of the Canada's Economic Action Plan.

Three federal-only initiatives under AgriFlexibility have been announced and are at various stages of design and implementation. They are: Livestock Auction Traceability Initiative (LATI), AgriProcessing Initiative (API) and Canada Brand Advocacy Initiative (CBAI).

Shared outcomes:

Producers/partners/industry implement actions to improve their environmental practices
Producers/partners/industry implement actions to reduce their costs of production
Improved food safety, biosecurity, traceability and risk management measures

Governance structure:

Federal-Provincial-Territorial (FPT) issues with AgriFlexibility are discussed at the FPT Policy ADM Committee.

Planning Highlights:

In 2010, AAFC plans to fully implement AgriFlexibility. The department is planning to implement additional initiatives to further some specific expected results as described in the table below.

Federal Partner:
($ millions)

Federal Partner Program Activity	Names of Programs for Federal Partners	Total Allocation (from Start to End Date)	Planned Spending for 2010-11	Expected Results for 2010-11
Various program activities	Agricultural Flexibility Fund	$485.5*	$121.4 M	Producers and industry improve their environmental practices Producers and industry reduce their costs of production Improved food safety, biosecurity, traceability and risk management measures
Total		$485.5 M	$121.4 M

* Net of indirect costs

For more information, visit: http://www4.agr.gc.ca/AAFC-AAC/display-afficher.do?id=1247699434024&lang=eng

Total Allocation For All Federal Partners (from Start to End Date)	Total Planned Spending for All Federal Partners for 2010-11
$485.5 M	$121.4 M

Results to be achieved by non-federal partners (if applicable):

Overall the same results are to be achieved by provincial and territorial partners

Contact information:
Lynn McGuire
Acting Director,
Adaptation Division
Farm financial Programs Branch
613-773-1905
Lynn.McGuire@agr.gc.ca

Name of Horizontal Initiative: Agricultural Regulatory Action Plan

Name of lead department: Agriculture and Agri-Food Canada (AAFC)

Lead department program activity: Regulatory Efficiency Facilitation

Start date of the Horizontal Initiative: April 1, 2008 under Growing Forward

End date of the Horizontal Initiative: March 31, 2013

Total federal funding allocation (start to end date): $95.0 million over five years

Description of the Horizontal Initiative:

This initiative targets four specific regulatory issues that were identified by stakeholders, namely: 1) health claims, novel foods, and ingredients 2) food fortification 3) minor use pesticides and pesticide risk reduction; and 4) veterinary drugs. The Agricultural Regulatory Action Plan supports the general principles of the Government of Canada's Cabinet Directive on Streamlining Regulation. The Plan specifically addresses the development of regulatory frameworks based on the accumulation of sound science, as well as advancing the transparency, timeliness, responsiveness, efficiency, public interest, and government collaboration to minimize regulatory burden for stakeholders.

Shared outcomes:

Addressing key regulatory obstacles to promoting a competitive and innovative sector, while protecting and advancing the public interest

Governance structure:

Memoranda of Understanding (MOUs) between AAFC and Health Canada set out the roles and responsibilities for the management of this initiative. The Deputy Ministers of the two departments oversee the governance process which includes the following levels of management in accordance with the MOUs:

• An Assistant Deputy Ministers' (ADM) Committee oversees the management of the MOUs and reports back to the Deputy Ministers.
• Joint Management Committees (JMC), composed of directors general or equivalent level representatives, have been established to manage the implementation of the MOUs and report semi-annually to the ADM Committee.

Planning Highlights:

Work under the Regulatory Action Plan aims to improve and modernize key aspects of the regulatory system in each of the four priority areas (see Section 7), while reducing the regulatory burden to promote innovation and improve competitiveness within the agriculture and agri-food sector. AAFC's commitments include helping industry best understand and follow regulatory processes and requirements, including responding to the scientific data requirements of submissions to Health Canada. Health Canada's activities are focused on streamlining regulatory processes and improving submission review times, and developing policy and regulatory frameworks that better address priorities of the sector while maintaining health and safety standards.

AAFC's Market and Industry Services and Research Branches, and Health Canada's Pest Management Regulatory Agency, Veterinary Drugs Directorate and Food Directorate, have established interdepartmental working groups for the initiatives in which they are partnering. These groups develop business cases, work plans, performance objectives and targets, and budget and expenditure reports. They report to their respective JMCs.

Federal Partner: AAFC

Concerning minor-use pesticides and pesticide risk reduction AAFC's plans involve identifying and prioritizing pest management needs, conducting literature searches and generating data, undertaking regulatory and outreach activities, compiling data, drafting reports and assembling regulatory submissions. With regard to health claims, novel foods, and ingredients AAFC's plans include working with industry, research and regulatory communities to facilitate information collection, analysis and exchange, as well as undertaking and coordinating collaborative scientific research.

($ millions)

Federal Partner Program Activity	Names of Programs for Federal Partners	Total Allocation (from Start to End Date)	Planned Spending for 2010-11	Expected Results for 2010-11
Regulatory Efficiency Facilitation	Minor Use Pesticides and Pesticide Risk Reduction	$36.2 M (excludes A-base funding)	$9.1 (excludes A-base funding )	Increased minor-use pesticides and reduced risk pest management tools permissible or available for use.
	Health Claims, Novel Foods, and Ingredients	$16.1 M	$3.6	Enhanced sector ability to navigate the food regulatory system, which should lead to improved sector understanding of regulatory processes/requirements
Total		$52.4 M	$12.7 M

*Due to rounding figures may not add up to the totals shown.

Expected results:

Minor Use Pesticides and Pesticide Risk Reduction

A national list of grower-selected pest management priority projects; data for regulatory submissions for new minor uses; improved pesticide resistance management; and improved crop protection practices: leading to increased availability of newer, reduced-risk pesticides, tools, technologies, and practices; prevention of trade barriers with countries where these products are already available; and an improved Canadian competitive position in international markets.

Health Claims, Novel Foods, and Ingredients

Regulatory-issue/impact documents and literature reviews; domestic and international science networks; and data and evidence to address priority knowledge gaps: leading to targeted sector guidance and communication; complete and substantiated sector regulatory submissions; and an enhanced sector ability to navigate the regulatory system.

Federal Partner: Health Canada

Health Canada will continue to review regulatory submissions for minor-use pesticides in a dedicated manner, and undertake veterinary-drug regulatory harmonization initiatives with international agencies, improve regulatory processes for generic and new veterinary drugs, and develop policy and a pilot program for Minor Uses and Minor Species. With respect to health claims, novel foods, ingredients and food fortification, Health Canada's plans include developing and implementing targeted policies, regulations and pre-market processes.

($ millions)

Federal Partner Program Activity	Names of Programs for Federal Partners	Total Allocation (from Start to End Date)	Planned Spending for 2010-11	Expected Results for 2010-11
Pesticide Regulation	Minor Use Pesticides and Pesticide Risk Reduction	$16.0 M (excludes A-base funding)	$4.0 M (excludes A-base funding)	New minor uses of pesticides available to growers through a dedicated minor use review process
Health Products	Veterinary Drugs	$5.0 M	$1.2 M	Reduction in review times for veterinary drug submissions and increased availability of drugs for food-producing animals
Food and Nutrition	Health Claims, Novel Foods, and Ingredients	$17.4 M	$3.5 M	Modernized and efficient policy and regulatory approaches and pre-market processes leading to new, innovative and safe food products and claims, focusing on health benefits
	Food Fortification	$4.3 M	$1.2 M
Sub Total - Health Canada		$42.6 M	$9.9 M

Due to rounding, figures may not add up to the totals shown.

Expected results:

Minor Use Pesticides and Pesticide Risk Reduction

New minor uses of pesticides available to growers through a dedicated review process

Veterinary Drugs

A prioritized list of approved drug entities with U.S. Maximum Residue Limits (MRLs) requiring Canadian MRLs; information and guidance for industry; and enhanced policies, guidelines and regulatory frameworks, a strategy for streamlining generic drug approvals, and increased scientific capacity for reviewing veterinary drug submissions leading to closer harmonization of technical requirements for veterinary drug approvals with the U.S. Food and Drug Administration Center for Veterinary Medicine, and increased availability of generic and Minor Use/Minor Species veterinary drugs for food producing animals in the Canadian marketplace

Health Claims, Novel Foods, and Ingredients

Policies, regulations and pre-market processes, manuals, consultations and work-sharing agreements, leading to enhanced policy/regulatory/process engagement with industry, consumers and international partners; modernized and efficient policy and regulatory approaches and pre-market processes; and innovative, safe food products and claims, focusing on health benefits

Food fortification

In keeping with the objective of modernizing and improving policy and regulatory approaches and pre-market processes, a system of pre-market approval of industry submissions for foods fortified with vitamin and mineral nutrients on a discretionary basis, consisting of dedicated staff to manage the review and assessment of the safety of fortified foods, implement the authorization (which may include the issuance of Temporary Marketing Authorization Letters), and enhance the knowledge base supporting the development of approaches to manage fortified foods

Total Allocation For All Federal Partners (from Start to End Date)	Total Planned Spending for All Federal Partners for 2010-11
$95.0 M	$22.5 M*

* Due to rounding, the figures in the preceding tables may not add to the totals in the above table.

Results to be achieved by non-federal partners: Not applicable.

Contact information:

Lynn Stewart, Director
Food Regulatory Issues Division
Food Value Chain Bureau
Market and Industry Services Branch
Agriculture and Agri-Food Canada
1341 Baseline Road, Tower 5, Floor 2, Room 242
Ottawa, Ontario K1A 0C5
Telephone 613-773-0153
Email lynn.stewart@agr.gc.ca

Note:

AAFC's Growing Forward is the new five-year policy framework that replaced the Agricultural Policy Framework as of the 2008-2009 fiscal year. Total Allocation and Total Planned Spending amounts are net of indirect costs.

Name of Horizontal Initiative: AgriInsurance (Statutory)

Name of lead department: Agriculture and Agri-Food Canada (AAFC)

Lead department program activity: Business Risk Management (BRM)

Start date of the Horizontal Initiative: April 1, 2008

End date of the Horizontal Initiative: AgriInsurance is statutory and ongoing; however, the current policy and program authorities expire March 31, 2012.

Total federal funding allocation: As the program is statutory and demand-driven, it is only possible to provide an estimate of the total cost of the program. The current estimate is that it will cost $1.6 billion over four years (2008-09 to 2011-12 fiscal years).

Description of the Horizontal Initiative:

AgriInsurance (formerly known as Production and Crop Insurance) aims to reduce the financial impact on producers of production losses caused by uncontrollable natural perils.

Authorities for the program include Section 4 of the Farm Income Protection Act, as well as Growing Forward: A Federal-Provincial-Territorial Framework Agreement on Agriculture, Agri-Food and Agri-Based Products Policy and Federal/Provincial AgriInsurance Agreement.

The program links to the departmental strategic outcome of a competitive agriculture, agri-food and agri-based products sector that proactively manages risk and the Government of Canada's outcome of Strong Economic Growth.

For more information, visit the following websites:

Federal AgriInsurance
British Columbia
Alberta
Saskatchewan
Manitoba
Ontario
Quebec
New Brunswick
Nova Scotia
Prince Edward Island
Newfoundland

Shared outcome:

To mitigate the financial impacts of production losses by providing effective insurance protection.

Governance structure:

AgriInsurance is part of the comprehensive Growing Forward agricultural policy framework developed by federal, provincial and territorial Ministers of Agriculture, and falls under the BRM priority.

AgriInsurance is a provincial-territorial program to which the federal government contributes financially under the Federal/Provincial AgriInsurance Agreement. The program is administered provincially in all provinces. The federal and provincial governments cost-share a portion of the premium costs together with program participants. Governments also fully cost-share the administrative costs of the program (60:40 federal-provincial).

Governance structure includes various national standards outlined in Canada Production Insurance Regulations. Like the other BRM programs, the governance structure for the program consists of working groups and committees, including the Federal-Provincial-Territorial (FPT) BRM Policy Working Group and FPT Administrators Working Group, as well as the National Program Advisory Committee (NPAC) which includes FPT and industry representatives. These groups examine BRM policy and program issues and, as requested, develop options to be brought forward to senior management, including FPT Assistant Deputy Ministers (ADMs), Deputy Ministers and Ministers. NPAC provides advice through FPT ADMs.

Planning Highlights:

The federal government will continue to work to ensure producer have access to affordable and comprehensive insurance coverage. The federal government will also continue working with the provinces and delivery agencies to develop new insurance options for agricultural products.

Federal Partner: AAFC

($ millions)

Federal Partner Program Activity	Names of Programs for Federal Partners	Total Allocation (from Start to End Date)	Planned Spending for 2010-11	Expected Results for 2010-11
Business Risk Management	AgriInsurance	$1.6 B over four years (2008-09 - 2011-12)	$413.6 M	The financial impacts of production losses are mitigated by providing effective insurance protection. Additional information on performance indicators is provided below.
Total		$1.6 B	$413.6 M

Expected Results:

Performance Indicators:

• Value of insured production compared to the total value of all agricultural products eligible for insurance reported as follows: Percentage of Crops - Target 60 per cent.
• Value of crops eligible for insurance compared to the value of all agricultural products reported as follows: Percentage of Crops - Target 85 per cent.

Total Allocation For All Federal Partners (from Start to End Date)	Total Planned Spending for All Federal Partners for 2010-11
$1.6 B	$ 413.6 M

Results to be achieved by non-federal partners:

Planning and development activities are done jointly with the provinces. Therefore, the expected results are the same, but the achieved results will vary by province.

Contact information:

Danny Foster
Director General
BRM Program Development
Floor 3, Room 241
1341 Baseline Road, Tower 7
Ottawa, Ontario K1A 0C5
613-773-2100
Danny.Foster@agr.gc.ca

Note:
Planned spending represents the amounts included in Main Estimates and currently approved funding and does not include any additional amounts that could be brought into the department's reference levels. This program is statutory and demand driven, therefore actual spending could vary. Spending also includes all costs incurred by the Department for this program (salary, operating, transfer payments, etc.). See also the related horizontal initiatives on AgriRecovery, AgriStability and AgriInvest. Total Allocation and Total Planned Spending amounts are net of indirect costs.

Name of Horizontal Initiative: AgriInvest (Statutory)

Name of lead department: Agriculture and Agri-Food Canada (AAFC)

Lead department program activity: Business Risk Management (BRM)

Start date of the Horizontal Initiative:

Agreements were signed with the provinces December 19, 2007, to implement the program for the 2007 program year.

End date of the Horizontal Initiative:

AgriInvest is statutory and ongoing; however, the current policy and program authorities expire March 31, 2012.

Total federal funding allocation:

As the program is statutory and demand-driven, it is only possible to provide an estimate of the total cost of the program. The current estimate is that it will cost $1.4 billion over five years (2007-08 to 2011-12 fiscal years).

Description of the Horizontal Initiative:

AgriInvest allows producers to self-manage, through producer-government savings accounts, the first 15 per cent of their margin losses for a production year and/or make investments to reduce on-farm risks or increase farm revenues. Under the program, annual producer deposits of up to 1.5 per cent of their allowable net sales are matched by government deposits. Government deposits are cost-shared 60:40 by federal and provincial/territorial governments. In combination with the AgriStability program, AgriInvest is the successor to the Canadian Agricultural Income Stabilization (CAIS) program. AgriInvest replaces coverage for smaller income declines while AgriStability assists producers in managing larger losses.

AgriInvest provides producers with a secure, accessible, predictable, and bankable source of income assistance to address small drops in farm income and manage on-farm risks.

Authorities for the program include Section 4 of the Farm Income Protection Act, as well as Growing Forward: A Federal-Provincial-Territorial Framework Agreement on Agriculture, Agri-Food and Agri-Based Products Policy and Federal/Provincial/Territorial Agreement with Respect to AgriStability and AgriInvest.

The program links to the departmental strategic outcome of a competitive agriculture, agri-food and agri-based products sector that proactively manages risk and the Government of Canada's outcome of Strong Economic Growth.

For more information, visit the following websites:

Federal AgriInvest
AgriInvest in Quebec (La Financière agricole du Québec)

Shared outcome:

To provide producers with flexibility in how they choose to manage and/or mitigate small income losses through the availability of timely and predictable funds

Governance structure:

The AgriInvest program is part of the comprehensive Growing Forward agricultural policy framework developed by federal, provincial and territorial Ministers of Agriculture, and falls under the BRM priority. Program costs, including program payments and administrative costs, are cost shared by the federal government and the provinces and the Yukon Territory on a 60:40 basis, respectively.

For the 2008 program year, the AgriInvest program was delivered by the federal government in all provinces except Quebec. Governments are currently working with financial institutions to set up the infrastructure necessary to establish and hold AgriInvest accounts in summer 2010 for the 2009 program year. In Quebec, the AgriInvest program is, and will continue to be, delivered provincially by La Financière agricole du Québec.

Like the other BRM programs, the governance structure for the program consists of working groups and committees, including the Federal-Provincial-Territorial (FPT) BRM Policy Working Group and FPT Administrators Working Group, as well as the National Program Advisory Committee (NPAC) which includes FPT and industry representatives. These groups examine BRM policy and program issues and, as requested, develop options to be brought forward to senior management, including FPT Assistant Deputy Ministers (ADMs), Deputy Ministers and Ministers. NPAC provides advice through FPT ADMs.

Planning Highlights:

The federal government, including program administrators, will continue to work to ensure AgriInvest provides producers with flexible assistance which may be used to address small income farm losses or for investments to either mitigate income losses or reduce farm risks, that all information needed by participants is available and easily understandable, and that matching government contributions are made in a timely fashion.

The department is working closely with financial institutions to launch AgriInvest accounts at financial institutions in all provinces except Quebec in the summer of 2010. This will increase participants' access to their accounts through the services offered by the financial institutions. La Financière agricole administers the AgriInvest program in Quebec and will continue to hold AgriInvest accounts for producers in that province.

In partnership with the provinces and territories, AAFC has put in place a set of performance indicators and targets for the suite of BRM programs. Officials will use these performance indicators and targets to closely monitor and report on the performance of the BRM programs and ensure they are meeting their objectives.

AAFC is also working with the provinces and territories on the Strategic Review of the BRM suite of programs to ensure it continues to meet producers' evolving needs as Canada's agricultural industry continues to change and grow. As part of the first phase of the Strategic Review, analysis was undertaken to understand how effectively the current suite of BRM programs meets its objectives and to identify emerging trends that may affect future program policy. As part of this process, FPT officials also intend to engage industry and stakeholders to seek their views on future programming directions.

The Strategic Review will be instrumental in guiding the Government of Canada, and provincial and territorial partners, as they work towards the next phase of BRM programming beyond the current five-year Growing Forward policy framework.

Federal Partner: AAFC

($ millions)

Federal Partner Program Activity	Names of Programs for Federal Partners	Total Allocation (from Start to End Date)	Planned Spending for 2010-11	Expected Results for 2010-11
Business Risk Management	AgriInvest	$1.4 B	$168.2 M	Producers have the flexibility in managing small financial risks. Producers use program account balances to address income declines or to make investments to reduce on-farm risks or increase farm revenues. Additional information on performance indicators is provided below.
Total		$1.4 B	$168.2 M

Expected Results:

Performance Indicators:

• Percentage of AgriInvest producers receiving AgriStability payments and making withdrawals from their AgriInvest saving accounts - Target: at least 60 per cent of AgriInvest producers.
• Percentage of producers indicating that they use their funds to address income declines or make investments to reduce on-farm risks or increase farm revenues - Target: at least 75 per cent.

Total Allocation For All Federal Partners (from Start to End Date)	Total Planned Spending for All Federal Partners for 2010-11
$1.4 B	$ 168.2 M

Results to be achieved by non-federal partners (if applicable):

Coordination of program oversight and delivery with the federal government will ensure that the program is delivered consistently and that program objectives and reporting requirements are met.

Contact information:

Danny Foster
Director General
BRM Program Development
Floor 3, Room 241
1341 Baseline Road, Tower 7
Ottawa, Ontario K1A 0C5
613-773-2100
Danny.Foster@agr.gc.ca

Note:
Planned spending represents the amounts included in Main Estimates and currently approved funding and does not include any additional amounts that could be brought into the department's reference levels. This program is statutory and demand driven, therefore actual spending could vary. Spending also includes all costs incurred by the Department for this program (salary, operating, transfer payments, etc.). See also the related horizontal initiatives on AgriRecovery, AgriStability and AgriInsurance. Total Allocation and Total Planned Spending amounts are net of indirect costs.

Name of Horizontal Initiative: AgriRecovery - Agricultural Disaster Relief Program (ADRP)

Name of lead department: Agriculture and Agri-Food Canada (AAFC)

Lead department program activity: Business Risk Management (BRM)

Start date of the Horizontal Initiative:

On December 6, 2007, program authorities were obtained to implement the ADRP under the AgriRecovery disaster relief framework beginning with the 2007-08 fiscal year.

End date of the Horizontal Initiative:

Program authorities for the ADRP expire on March 31, 2011.

Total federal funding allocation:

Authorities for the program consist of $437.2 million over four years - net of indirect costs (2007-08 to 2010-11 fiscal years).

Description of the Horizontal Initiative:

AgriRecovery facilitates the process for federal, provincial and territorial governments to provide timely assistance to help producers quickly re-establish their income stream and contain the long-term impacts after small- to mid-size disasters (e.g. disease, pest, weather). Programs under AgriRecovery are developed on a case-by-case basis after an assessment is completed and it is determined that there is need for assistance beyond existing programs, such as AgriInvest, AgriStability and AgriInsurance.

Under AgriRecovery, the ADRP helps focus the coordination effort, providing a process to fast-track authorities for programs of up to $20 million (up to $121.7 million per fiscal year - net of indirect costs) to quickly fund initiatives under AgriRecovery. Participating provinces-territories are expected to cost-share these initiatives on a 60:40 federal/provincial/territorial basis. For AgriRecovery programming outside the ADRP, funding options are negotiated with the provinces-territories on a case-by-case basis.

Authorities for the program include sub-section 12(5) of the Farm Income Protection Act, as well as various agreements for individual programming developed under AgriRecovery.

The program links to the departmental strategic outcome of a competitive agriculture, agri-food and agri-based products sector that proactively manages risk and the Government of Canada's outcome of Strong Economic Growth.

For more information, visit: http://www.agr.gc.ca/agrirecovery

Shared outcome:

To reduce the economic impact of catastrophic natural disasters on producers through timely assistance not otherwise provided by other programs

Governance structure:

The AgriRecovery framework, including the ADRP, is part of the comprehensive Growing Forward policy framework developed by Federal, Provincial and Territorial (FPT) Ministers of Agriculture, and falls under the Business Risk Management priority. Under the ADRP, program costs, including program payments and administrative costs, are expected to be cost-shared by the federal government and the provinces/territories on a 60:40 basis, respectively. For AgriRecovery programming outside the ADRP, funding options are negotiated with the provinces/territories on a case-by-case basis, however the 60:40 cost share requirement remains in effect.

Like the other BRM programs, the governance structure for the program consists of working groups and committees, including the FPT BRM Working Group and FPT Administrators Working Group, as well as the National Program Advisory Committee (NPAC) which includes FPT and industry representatives. These groups examine BRM policy and program issues and, as requested, develop options to be brought forward to senior management, including FPT Assistant Deputy Ministers (ADMs), Deputy Ministers and Ministers. NPAC provides advice through FPT ADMs.

Specific to AgriRecovery and the ADRP are FTP Task Teams, which are initiated on a case-by-case basis when requested to assess/analyze a disaster and its impacts and, if needed, develop options for an individual disaster assistance initiative to be brought forward to participating FTP Ministers.

Planning Highlights:

Federal officials, together with the provinces and in consultation with impacted producers, will continue to use the AgriRecovery Framework to assess disasters on a case-by-case basis to determine if each situation meets criteria under the Framework and, if so, whether there is need for assistance beyond support available through existing programs. Where it is determined that additional assistance is warranted, federal officials will work with the provinces and impacted producers to develop an assistance program under ADRP/AgriRecovery which will help them to resume their business operations as quickly as possible and/or mitigate the impacts of the disaster.

Federal officials will also continue working with provinces to streamline the AgriRecovery process and improve consistency in the approach to assessing disasters and the decision making process through such things as the implementation of FPT AgriRecovery Guidelines.

Federal Partner: AAFC

($ millions)

Federal Partner Program Activity	Names of Programs for Federal Partners	Total Allocation (from Start to End Date)	Planned Spending for 2010-11	Expected Results for 2010-11
Business Risk Management	AgriRecovery (including the ADRP)	$437.2 M ($72.2 M for FY 2007-08 and $121.7 M per year for FYs 2008-09 to 2010-11)	$121.7 M	Farm business operations resume operations following a natural disaster. Producers affected by a disaster situation benefit from financial assistance. Additional information on performance indicators is provided below.
Total		$437.2 M	$121.7 M

Expected Results:

Performance Indicators:

• Percentage of producers still farming one year after the disaster. Target is 70 per cent of producers still farming one year later.
• Percentage of producers who believe that the financial assistance provided under the program played a role in the recovery. Target is 75 per cent.

Total Allocation For All Federal Partners (from Start to End Date)	Total Planned Spending for All Federal Partners for 2010-11
$437.2 M	$ 121.7 M

Results to be achieved by non-federal partners:

Joint planning and execution (federally and provincially) will be undertaken so that results are consistent

Contact information:

Danny Foster
Director General
BRM Program Development
Floor 3, Room 241
1341 Baseline Road, Tower 7
Ottawa, Ontario K1A 0C5
613-773-2100
Danny.Foster@agr.gc.ca

Note:
Planned spending represents the amounts included in Main Estimates and currently approved funding and does not include any additional amounts that could be brought into the department's reference levels. This program is statutory and demand driven, therefore actual spending could vary. Spending also includes all costs incurred by the department for this program (salary, operating, transfer payments, etc.). See also the related horizontal initiatives on AgriStability, AgriInvest and AgriInsurance. Total Allocation and Total Planned Spending amounts are net of indirect costs.

Name of Horizontal Initiative: AgriStability (Statutory)

Name of lead department: Agriculture and Agri-Food Canada (AAFC)

Lead department program activity: Business Risk Management (BRM)

Start date of the Horizontal Initiative:

Agreements were signed with the provinces December 19, 2007, to implement the program for the 2007 program year.

End date of the Horizontal Initiative:

AgriStability is statutory and ongoing; however, the current policy and program authorities expire March 31, 2012.

Total federal funding allocation:

As the program is statutory and demand-driven, it is only possible to provide an estimate of the total cost of the program. The current estimate is that it will cost $ 3.2 billion over five fiscal years (2007-08 to 2011-12 fiscal years).

For the period of 2007-08, funding in the amount of $649 million pertains to the Canadian Agriculture Income Stabilization (CAIS) program, which preceded AgriStability.

$14.8 million ($2.9 million for 2009-10 and $11.8 million for 2010-11) for the transfer of delivery from the federal administration of the program to British Columbia and Saskatchewan has also been included in the total costs.

These costs are reflected net of indirect costs.

Description of the Horizontal Initiative (including funding agreement):

AgriStability is a margin-based program that provides support when producers experience large farm income losses, which result in drops in their margins (eligible farm income, less eligible farm expenses) for a program year of more than 15 per cent relative to their average margins from previous years (i.e., their reference margins). Thus a payment is triggered under the program when producers' program year margins drop below 85 per cent of their reference margin. AgriStability also includes coverage for negative margins, as well as mechanisms to advance to participants a portion of their expected payments during the year when significant declines in incomes are expected (interim payments and Targeted Advance Payments). In combination with the AgriInvest program, it is the successor to the CAIS program. AgriInvest replaces coverage for smaller income declines while AgriStability assists producers in managing larger losses

Authorities for the program include Section 4 of the Farm Income Protection Act, as well as Growing Forward: A Federal-Provincial-Territorial Framework Agreement on Agriculture, Agri-Food and Agri-Based Products Policy and Federal/Provincial/ Territorial Agreement with Respect to AgriStability and AgriInvest.

The program links to the strategic outcome of a competitive agriculture, agri-food and agri-based products sector that proactively manages risk and the Government of Canada's outcome of Strong Economic Growth.

For more information, visit the following websites:

Federal AgriStability
AgriStability in British Columbia
AgriStability in Alberta (Agriculture Financial Services Corporation (AFSC))
AgriStability in Saskatchewan
AgriStability in Ontario (Agricorp)
AgriStability in Quebec (La Financière agricole du Québec)
AgriStability on Prince Edward Island (PEI Agricultural Insurance Corporation)

Shared outcome:

To mitigate the short-term impacts of large income losses

Governance structure:

The AgriStability program is part of the comprehensive Growing Forward agricultural policy framework developed by Federal, Provincial and Territorial (FTP) Ministers of Agriculture, and falls under the BRM priority. Program costs, including program payments and administrative costs, are cost-shared by the federal government and the provinces/territory on a 60:40 basis, respectively.

In Alberta, Ontario, Quebec, and Prince Edward Island, the AgriStability program is delivered provincially. The transfer of delivery of the AgriStability program from the federal administration to British Columbia and Saskatchewan began in January 2010. The department continues to work closely with these two provinces to facilitate the transition. The AgriStability program continues to be administered by the federal government for Manitoba, New Brunswick, Nova Scotia, Newfoundland and Labrador, and the Yukon Territory.

Like the other BRM programs, the governance structure for the program consists of working groups and committees, including the FPT BRM Policy Working Group and FPT Administrators Working Group, as well as the National Program Advisory Committee (NPAC) which includes FPT and industry representatives. These groups examine BRM policy and program issues and, as requested, develop options to be brought forward to senior management, including FPT Assistant Deputy Ministers (ADMs), Deputy Ministers and Ministers. NPAC provides advice through FPT ADMs.

Planning Highlights:

Federal and provincial governments, including program administrators, will continue to work to ensure the AgriStability program is effectively stabilizing the incomes of producers, that all information needed by participants is available and understandable, and that applications and payments are processed in a timely fashion.

In January 2010, federal and provincial governments began the transfer of delivery of AgriStability to the provinces of British Columbia and Saskatchewan. AAFC continues to work closely with these two provinces to ensure the transition is completed in a simple and efficient manner with minimal disruption to the ongoing delivery of the program.

In partnership with the provinces and territories, AAFC has put in place a set of performance indicators and targets for the suite of BRM programs. Officials will use these performance indicators and targets to closely monitor and report on the performance of the BRM programs and ensure they are meeting their objectives.

AAFC is working with the provinces and territories on the Strategic Review of the BRM suite of programs to ensure it continues to meet producers' evolving needs as Canada's agricultural industry continues to change and grow. As part of the first phase of the Strategic Review, analysis was undertaken to understand how effectively the current suite of BRM programs meets its objectives and to identify emerging trends that may affect future program policy. As part of this process, FPT officials also intend to engage industry and stakeholders to seek their views on future programming directions.

The Strategic Review will be instrumental in guiding the Government of Canada, and provincial and territorial partners, as they work towards the next phase of BRM programming beyond the current five-year Growing Forward policy framework.

Federal Partner: AAFC

($ millions)

Federal Partner Program Activity	Names of Programs for Federal Partners	Total Allocation (from Start to End Date)	Planned Spending for 2010-11	Expected Results for 2010-11
Business Risk Management	AgriStability	$ 3.2 B for the fiscal years 2007-08 to 2011-12	$ 657.8 M	Short-term impacts of large income losses are reduced. Additional information on performance indicators is provided below.
Total		$ 3.2 B	$ 657.8 M

Notes:
1. Total Allocation: Of this amount, $649 million pertains to the period of 2007-08 for CAIS which preceded AgriStability and $14.8 million is for costs related to the transfer of delivery to British Columbia and Saskatchewan.
2. Planned Spending: This amount includes $11.8 million for costs related to the transfer of delivery to British Columbia and Saskatchewan.

Expected Results:

Performance Indicators:

• Participants' farm market revenues compared to total farm market revenues for the industry. Target is 80 per cent of total farm market revenues are covered by the program. Participant's production margin with and without payments compared to reference margin. Target is that program payments bring producer's margin up to 75 per cent of reference margin.

Total Allocation For All Federal Partners (from Start to End Date)	Total Planned Spending for All Federal Partners for 2010-11
$3.2 B	$ 657.8 M

Results to be achieved by non-federal partners (if applicable):

Coordination of program oversight and delivery with the federal government will ensure that the program is delivered consistently and that program objectives and reporting requirements are met.

Contact information:

Danny Foster
Director General
BRM Program Development
Floor 3, Room 241
1341 Baseline Road, Tower 7
Ottawa, Ontario K1A 0C5
613-773-2100
Danny.Foster@agr.gc.ca

Note:
Planned spending represents the amounts included in Main Estimates and currently approved funding and does not include any additional amounts that could be brought into the department's reference levels. This program is statutory and demand driven, therefore actual spending could vary. Spending also includes all costs incurred by the Department for this program (salary, operating, transfer payments, etc.). See also the related horizontal initiatives on AgriRecovery, AgriInvest and AgriInsurance. Total Allocation and Total Planned Spending amounts are net of indirect costs.

Name of Horizontal Initiative: Growing Forward Program Initiatives Development

Name of lead department: Agriculture and Agri-Food Canada (AAFC)

Lead department program activity: Food Safety and Biosecurity Risk Management Systems

Start date of the Horizontal Initiative: April 1, 2009

End date of the Horizontal Initiative: March 31, 2013 under Growing Forward

Total federal funding allocation: $20.9 million  over four years

Description of the Horizontal Initiative:

A Memorandum of Understanding (MOU) between AAFC and CFIA sets out the general terms, roles and responsibilities for the management and funding of the various components of the Canadian Integrated Food Safety Initiative (CIFSI), funded under AAFC's Growing Forward Framework Agreement. The following initiatives are delivered by CFIA, in collaboration with AAFC:

• a) The Canadian Food Inspection Agency (CFIA) System Recognition and Scientific and Technical Support element under the National Food Safety Systems component of the Canadian Integrated Food Safety Initiative (CIFSI): The CFIA-led System Recognition will provide government recognition of on-farm and post-farm food safety systems developed by national (or equivalent) industry organizations. The CFIA will continue to develop and deliver food safety system recognition programs. Under the Scientific and Technical Support element, CFIA will continue to provide scientific and technical advice to support food safety system development based on Hazard Analysis Critical Control Points (HACCP).

• b) National Biosecurity Standards Development:
  The National Biosecurity Standards Development will allow CFIA to focus on developing nationally consistent plant and animal biosecurity standards. These standards will be developed with industry, commodity organizations and provinces. Once the biosecurity standards are approved by CFIA, they will become the national biosecurity standard for that particular commodity.

• c) Traceability Information Sharing Solution element under the Developing National Traceability Systems component of the CIFSI:
  The Traceability Information Sharing Solution will explore potential solutions for accessing and querying traceability information between industry and government partners in a planned, measured and constructive way. The allocation of funding will be used to develop materials necessary to define and document the high level requirements and initial project planning for the national Traceability Information Sharing Solution, which may lead to preliminary project approval (PPA). This initiative will be managed through joint leadership between CFIA and AAFC and coordinated through the Traceability Management Office.

• d) Traceability Management Office Legislative and Regulatory Infrastructure elementunder the Developing National Traceability Systems component of the CIFSI:
  The Traceability Management Office will be established to collaboratively undertake the work relating to the overall government legislative and regulatory infrastructure necessary to put traceability authorities, agreements, and protocols in place. The allocation of funding to CFIA will be used to develop the legislative and regulatory infrastructure for the initiative.

Shared outcome:

This initiative contributes to the following strategic outcomes of AAFC:

• An environmentally sustainable agriculture, agri-food and agri-based products sector
• A competitive agriculture, agri-food and agri-based products sector that proactively manages risk.

Governance structures:

The overall administration of the Memorandum of Understanding for:

1. AAFC is delegated to:
   Director General - Agriculture Transformation Programs Directorate
   Director General - Sector Policy Directorate
   Director General - Food Value Chain Bureau
   and
2. CFIA is delegated to:
   Executive Director - Food Safety and Consumer Protection Directorate
   Executive Director - Animal Health Directorate, Programs
   Executive Director - Plant Health and Biosecurity
   Chief Information Officer - CFIA
   Executive Director - Domestic Policy Directorate

Planning Highlights:

Initiative Outcomes/Results: short- and long-term benefits to Canadians.

• Government program for the review of national on-farm food safety programs completely operational;
• Government program for the review of national post-farm food safety programs developed and operational;
• Development and approval of National Biosecurity Standards for priority commodity groups;
• Development of a project plan to seek preliminary project approval or effective project approval, depending on the business requirements, for the Traceability Information Sharing Solution; and
• Development of the Traceability Management Office's legislative and regulatory infrastructure.

Federal Partner: Agriculture and Agri-Food Canada (AAFC)

($ millions)

Federal Partner Program Activity	Names of Programs for Federal Partners	Total Allocation (from Start to End Date)	Planned Spending for 2010-11	Expected Results for 2010-11
Food Safety and Biosecurity Risk Management Systems - 2.2	CFIA System Recognition and Scientific and Technical Support	N/A - funds transferred to CFIA	N/A - funds transferred to CFIA	Work performed by CFIA
	National Biosecurity Standards Development	N/A - funds transferred to CFIA	N/A - funds transferred to CFIA	Work performed by CFIA
	Traceability Information Sharing Solution	N/A - funds transferred to CFIA	N/A - funds transferred to CFIA	Planned to be completed by March 31, 2010
	Traceability Management Office Legislative an Regulatory Infrastructure	N/A - funds transferred to CFIA	N/A - funds transferred to CFIA	Work performed by CFIA
Total		N/A - funds transferred to CFIA	N/A - funds transferred to CFIA

Note: Since CFIA is delivering these programs with funds transferred from AAFC, total allocations, planned spending and expected results are reflected in the CFIA table below.

Federal Partner: Canadian Food Inspection Agency (CFIA)

($ millions)

Federal Partner Program Activity	Names of Programs for Federal Partners	Total Allocation (from Start to End Date)	Planned Spending for 2010-11	Expected Results for 2010-11
Food Safety and Nutrition Risks	CFIA System Recognition and Scientific and Technical Support	$7.3 M	$2.1 M	Continuous improvement of the On-Farm Food Safety Recognition Program and the Post-Farm Food Safety Recognition Program On-going technical review and assessment of on-farm and post-farm food safety programs for recognition Scientific and technical support provided as needed to AAFC and AAFC stakeholders
Animal Health Risks and Production Systems Plant Health Risks and Production Systems	National Biosecurity Standards Development	$9.5 M	$2.0 M	Review and approval process adopted Environmental scan of current state of biosecurity within a commodity sector National biosecurity standard approved Production and dissemination of standard Production and dissemination of educational and training material Quarterly progress report and annual presentation to Federal-Provincial-Territorial (FPT) Committee of Officials and/or FSBT Programs WG
Animal Health Risk and Production Systems	Traceability Information Sharing Solution	$1.1 M	$0.0 M	Planned to be completed by March 31, 2010
	Traceability Management Office Legislative and Regulatory Infrastructure	$3.0 M	$0.9 M	Establish a National Legislative Framework for Traceability Ongoing amendment and continuous improvement for a regulatory framework for traceability Develop information sharing agreements with Canadian provinces Develop a policy framework for traceability Initiate Privacy Impact Assessments
Total		$20.9 M	$5.0 M

Note: Funds transferred by AAFC to CFIA as reflected in this table.

Expected Results:

Total Allocation For All Federal Partners (from Start to End Date)	Total Planned Spending for All Federal Partners for 2010-11
$20.9 M	$5.0 M

Results to be achieved by non-federal partners (if applicable): not applicable

Contact information:

Linda Parsons
Director General
Agriculture Transformation Programs Directorate
Farm Financial Programs Branch
1341 Baseline Road - Tower 7, Floor 8, Room 220
Ottawa, Ontario, K1A 0C5
613-773-1900
linda.parsons@agr.gc.ca

Note:
AAFC's Growing Forward is the new five-year policy framework that replaced the Agricultural Policy Framework as of the 2008-2009 fiscal year (MOU is for the four-year period ending in 2012-13). Total Allocation and Total Planned Spending amounts are net of indirect costs.

Name of Horizontal Initiative: Co-operative Development Initiative

Name of lead department: Agriculture and Agri-Food Canada (AAFC)

Lead department program activity: Rural and Co-operatives Development

Start date of the Horizontal Initiative: April 1, 2008 under Growing Forward

End date of the Horizontal Initiative: March 31, 2013

Total federal funding allocation: $21.0 million over five years

Description of the Horizontal Initiative:

The Co-operatives Secretariat provides advice on policies and programs affecting co-operatives and builds partnerships within the federal government and with industry, provinces, and other key stakeholders in the implementation of initiatives to support the development of co-operatives. The Secretariat manages a grants and contributions program, the Co-operative Development Initiative, which includes:

• providing advisory services and funding innovative co-op projects, delivered by the co-operative sector; and
• funding research to build knowledge contributing to co-op development.

Shared outcomes:

Access to services across the country creates an enabling environment for co-operative development and growth

More and stronger co-operatives respond to public policy challenges

Canadians are better able to utilize the co-operative model to meet their economic and social needs

Governance structure:

The Co-operatives Secretariat was created as a focal point between Canadian co-operatives and federal departments and agencies. It has instituted mechanisms to raise awareness and inclusion of co-operatives in federal policies and programs. These include dialogue and collaboration with key federal departments as well as with provincial counterparts and the sector.

Planning Highlights:

The Co-operatives Secretariat will continue to manage the partnership agreement with the two national co-operative associations for the delivery of the Co-operative Development Initiative with the objective of enhancing the contribution of co-operatives to meeting the economic and social needs of Canadians.

It will explore opportunities to engage other departments in ensuring the co-operative approach is considered as a tool in delivering their mandates.

Federal Partner: AAFC - Rural and Co-operatives Development

($ millions)

Federal Partner Program Activity (PA)	Names of Programs for Federal Partners	Total Allocation (from Start to End Date)	Planned Spending for 2010-11	Expected Results for 2010-11
AAFC - Rural and Co-operatives Development	Co-operative Development Initiative	$21.0 M	$4.7 M	Innovative co-operative development projects are implemented
Total		$21.0 M	$4.7 M

Expected Results:

Innovative co-operative development projects are implemented:

• By providing funding through the two national co-operative associations for co-operative projects that respond to public policy priorities

• Measured by: Number of innovative co-operative development projects implemented by community partners - Target: 25

Total Allocation For All Federal Partners (from Start to End Date)	Total Planned Spending for All Federal Partners for 2010-11
$21.0 M	$4.7 M

Results to be achieved by non-federal partners (if applicable):

Program delivery is through third party and the above-noted expected results and measures are to be achieved by the partners.

Contact information:

Donna Mitchell
Executive Director
Rural and Co-operatives Secretariat
560 Rochester Street, Tour 1, 5th Floor
Ottawa, Ontario
K1A 0C5
(613) 759-7113
Donna.Mitchell@agr.gc.ca

Note:
AAFC's Growing Forward is the new five-year policy framework that replaced the Agricultural Policy Framework as of the 2008-09 fiscal year. Total Allocation and Total Planned Spending amounts are net of indirect costs.

Name of Horizontal Initiative: Canada's Rural Partnership

Name of lead department: Agriculture and Agri-Food Canada (AAFC)

Lead department program activity: Rural and Co-operatives Development

Start date of the Horizontal Initiative: April 1, 2008 under Growing Forward

End date of the Horizontal Initiative: March 31, 2013

Total federal funding allocation: $51.8 M over five years

Description of the Horizontal Initiative (including funding agreement):

The Canadian Rural Partnership (CRP) leads an integrated, government-wide approach through which the government aims to co-ordinate its economic, social, environmental, and cultural policies towards the goal of economic and social development and renewal of rural Canada.

Shared outcome:

Collaboration between rural communities and stakeholders to address barriers and challenges to local development

Information and tools are used by rural communities and regions to develop local amenities and other assets

New economic activities are being implemented in rural Canada

Governance structures:

The CRP is managed by the Rural and Co-operatives Secretariat. It has instituted mechanisms that contribute to raising awareness and inclusion of rural Canada in federal policies and programs, as well as engaging government and non-government partners to stimulate economic development in rural Canada. This includes:

• The Rural Development Network which is a policy maker forum involving 28 federal departments and agencies;
• The National Rural Research Network which brings together research partners from both academia and government to focus on enhancing knowledge about rural issues to better inform policy making;
• The Community Information Database, a free web-based resource that provides comprehensive and reliable information on economic, social and demographic factors at the community level, to support decision making and action; and
• The Community Development Program which offers funding to assist rural and northern regions to obtain information and access/develop the expertise, tools and processes needed to respond to challenges and opportunities and to become more competitive and generate economic activities.

In each province and territory, these efforts are reinforced by Rural Teams, comprised of the federal government representation and, in most cases, members from the provincial or territorial government and/or sectoral stakeholders.

Planning Highlights:

Through its networks and teams highlighted above, and programming, CRP will stimulate collaborative approaches to i) enhance the competitiveness of rural regions; ii) foster the transformation of local ideas and untapped assets into sustainable economic activities; and iii) help develop new economic opportunities from existing natural and cultural amenities.

Federal Partner: AAFC - Rural and Co-operatives Development

($ millions)

Federal Partner Program Activity (PA)	Names of Programs for Federal Partners	Total Allocation (from Start to End Date)	Planned Spending for 2010-11	Expected Results for 2010-11
AAFC - Rural and Co operatives Development	Canada's Rural Partnership	$51.8 M	$10.3 M	Rural communities and regions are using information, tools and processes to develop local natural and cultural amenities and other assets
Total		$51.8 M	$10.3 M

Expected Results:

Rural communities and regions are using information, tools and processes to develop local natural and cultural amenities and other assets.

• by developing and transferring/mobilizing knowledge to support and facilitate innovative rural development;
• by funding knowledge building proposals

• Measured by: Number of communities that are using new and updated/adapted information and tools to innovate and diversify their economies. - Target for 2010-11: 40

Total Allocation For All Federal Partners (from Start to End Date)	Total Planned Spending for All Federal Partners for 2010-11
$51.8 M	$10.3 M

Results to be achieved by non-federal partners (if applicable): N/A

Contact information:

Donna Mitchell
Executive Director
Rural and Co-operatives Secretariat
560 Rochester Street, Tour 1, 5th Floor
Ottawa, Ontario
K1A 0C5
613-759-7113
Donna.Mitchell@agr.gc.ca

Note:
AAFC's Growing Forward is the new five-year policy framework that replaced the Agricultural Policy Framework as of the 2008-2009 fiscal year. Total Allocation and Total Planned Spending amounts are net of indirect costs.