Book 3 - Additional background information: minister's transition book 2021, AAFC

October 8, 2021

Table of Contents

  • Governor in Council and ministerial appointments

    At Agriculture and Agri-Food Canada (AAFC), two processes are used to make appointments: Governor in Council and ministerial.

    Governor in Council appointments

    Governor in Council (GiC) appointments are those made by the Governor General acting on the advice of Cabinet. An Order in Council is the legal instrument, which when signed by the Governor General, formalizes the appointment.

    GiC appointees play an important role in Canada by serving on commissions, boards, Crown corporations, agencies, and tribunals across the country. Within the Agriculture and Agri-Food portfolio, there are a number of GiC appointees at each of the following organizations: Farm Credit Canada (FCC), Canadian Dairy Commission (CDC), Canadian Grain Commission (CGC), Farm Products Council of Canada (FPCC), and the Canada Agricultural Review Tribunal (CART).

    Under existing Privy Council Office (PCO) policy, formal selection processes are required for all leadership (heads of organizations) and supporting positions. These selection processes are jointly managed by PCO and the Department and require Cabinet approval and sign off by the Governor General. AAFC works with the Minister in order to develop recommendations for appointments.

    The Agriculture and Agri-Food Portfolio currently has 32 Governor in Council appointees. Of those, 16 positions need to be filled over the next 18 months. Prior to the election call, five re-appointments and two open processes were underway. Decisions will be required to determine next steps for the following:

    • Three Directors, FCC Board of Directors: set to expire on November 8, 2021. The incumbents wish to be reappointed. Incumbents remain in their positions until officially renewed or replaced.
    • Member, CART: set to expire on November 28, 2021. The incumbent wishes to be reappointed.
    • Member, CART: set to expire on December 13, 2021. The incumbent wishes to be reappointed.
    • Chairperson, CDC: set to expire on December 16, 2021. The incumbent cannot be reappointed due to legislative requirements of the position.
    • Chief Executive Officer, CDC: set to expire on May 13, 2022. The incumbent does not wish to be reappointed.

    Governor in Council appointments

    As per the Financial Administration Act, the incumbents in non-leadership positions, such as directors, and members with Crown corporations (FCC and CDC) can remain in office until officially renewed or replaced, thereby allowing operations to continue.

    Please see the chart below for other Governor in Council appointments, by organization, that will require action in the next 18 months.

    Organization Role Name Province Appointed Expiry date
    Canada Agricultural Review Tribunal Chairperson Luc Bélanger Quebec July 17, 2017 July 16, 2022[2]
    Member Geneviève Parent Quebec August 31, 2021 August 30, 2024[1]
    Member Marthanne Robson Ontario December 14, 2020 December 13, 2021[3]
    Member Patricia Lynn Farnese Saskatchewan November 29, 2018 November 28, 2021[3]
    Canadian Dairy Commission Chief Executive Office Serge Riendeau Quebec May 14, 2021 May 13, 2022[2]
    Chairperson Robert (Bob) Ingratta British Columbia February 5, 2020 December 16, 2021[3]
    Member Jennifer Hayes Quebec January 3, 2017 February 4, 2023[2]
    Canadian Grain Commission Chief Commissioner Anthony Douglas Chorney Manitoba December 18, 2020 December 17, 2023[1]
    Assistant Chief Commissioner Patricia Rosher Manitoba February 15, 2021 February 14, 2025[1]
    Commissioner Lonny McKague Saskatchewan February 13, 2021 February 12, 2024[1]
    Farm Credit Canada President and CEO Michael Hoffort Saskatchewan July 1, 2019 June 30, 2022[2]
    Chairperson Jane Halford Alberta April 22, 2020 April 21, 2024[1]
    Director Rita Achrekar Ontario May 21, 2021 May 20, 2025[1]
    Director Michele Hengen Saskatchewan May 21, 2021 May 20, 2024[1]
    Director James M. Laws Ontario May 21, 2021 May 20, 2024[1]
    Director Bertha L. Campbell Prince Edward Island November 9, 2017 November 8, 2021[3]
    Director Govert Verstralen Ontario November 9, 2017 November 8, 2021[3]
    Director Laura C. Donaldson British Columbia November 9, 2017 November 8, 2021[3]
    Director Sylvie Cloutier Quebec June 2, 2019 June 1, 2022[2]
    Director Sharilee Fossum Alberta June 2, 2019 June 1, 2022[2]
    Director Sylvie Chagnon Quebec May 21, 2021 May 20, 2025[1]
    Director Michael Tees British Columbia May 21, 2021 May 20, 2025[1]
    Farm Products Council of Canada Chairperson and Member Brian Douglas Prince Edward Island June 11, 2018 June 10, 2022[2]
    Vice-Chairperson and Member Ronald Bonnett Ontario June 2, 2019 June 1, 2022[2]
    Member Maryse Dubé Quebec April 30, 2021 April 29, 2025[1]
    Member Yvon Cyr New Brunswick May 1, 2018 April 30, 2022[2]
    Member Morgan Moore Manitoba June 19, 2019 June 18, 2022[2]
    FPCC agency auditors
    Organization Role Name Province Appointed Expiry date
    Canadian Hatching Egg Producers Auditor Welch LLP Ontario June 10, 2021 December 31, 2025[1]
    Canadian Beef Cattle Research, Market Development and Promotion Agency Auditor KPMG Enterprise Alberta November 10, 2016 June 30, 2021[1]
    Chicken Farmers of Canada Auditor KPMG LLP Ontario June 10, 2021 December 31, 2025[1]
    Egg Farmers of Canada Auditor Ernst & Young Ontario August 23, 2020 December 31, 2024[1]
    Turkey Farmers of Canada Auditor MacGillivray Chartered Accountants & Business Advisors Ontario August 23, 2020 December 31, 2023[1]

    Notes

    1. Expired or within 6 months
    2. 6 to 18 months
    3. Beyond 18 months

    Ministerial appointments

    Ministerial appointments are made under the Minister’s direct authority and do not require the approval of the Governor General. You are responsible for the appointment of board and committee members for four entities: Appeal Boards of Farm Debt Mediation Services (FDMS), the Eastern and Western Grain Standards Committees of the CGC, Inspectors for the six national agencies overseen by the FPCC, and the National Program Advisory Committee (NPAC), totaling just over 100 Ministerial appointments.

    The selection process for the eleven NPAC positions was paused as a result of the election: These positions expired on April 30, 2021. Next steps will need to be discussed early in your mandate, including the option for interim reappointments.

    Other Ministerial appointments that will require action in the next 18 months include:

    Canadian Grain Commission

    • Eastern and Western Grain Standards Committees.
      • The Eastern Grain Standards Committee is to be composed of 8 to 15 persons.
      • The Western Grain Standards Committee is to be composed of 21 to 25 persons.

    Egg Farmers of Canada

    • Twelve inspector positions are set to expire on December 21, 2022.

    Canadian Agricultural Youth Council (CAYC)

    • Up to twelve appointments are set to be made for the second cohort of the CAYC. It is unclear at this time which members from the original CAYC membership list will remain on the second cohort.
    Ministerial appointments
    Organization Role Name Province Appointed Expiry date
    Farm Debt Mediation Services Appeal Board (FDMS) ██████████████████████████ ██████████████████ ████████████ ████████████████ ████████████████
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    █████████████████████ ████████████ ███████ ███████████████ ███████████████
    National Program Advisory Committee (NPAC) Member Art Friesen British Columbia May 1, 2018 April 30, 2021[1]
    Member Hannah Konschuh Alberta May 1, 2018 April 30, 2021[1]
    Member Grant Compton Prince Edward Island May 1, 2018 April 30, 2021[1]
    Member Kenneth Bear Saskatchewan May 1, 2018 April 30, 2021[1]
    Member Sharon Wright Newfoundland and Labrador May 1, 2018 April 30, 2021[1]
    Member Chris van den Heuvel Nova Scotia May 1, 2018 April 30, 2021[1]
    Member Tom Teichroeb Manitoba May 1, 2018 April 30, 2021[1]
    Member Wayne Trumam Saskatchewan May 1, 2018 April 30, 2021[1]
    Member David Boissonneault Quebec May 1, 2018 April 30, 2021[1]
    Member Robyn McCallum New Brunswick May 1, 2018 April 30, 2021[1]
    Member Emmaline Cronin Ontario May 1, 2018 April 30, 2021[1]

    Notes

    1. Expired or within 6 months
    2. Beyond 18 months

  • Parliamentary committees and business

    Parliamentary committees

    Parliamentary committees examine selected matters in greater depth than what is possible in the House of Commons or the Senate. They are an opportunity for members to hear from academia, industry experts, and all levels of government on topics of federal concern and to have these representations placed on the public record. Committees may also probe the details of policies and programs, legislation and issues related to their mandate, and they may develop an expertise in specific areas. Reports from findings are prepared by committees and presented in Parliament.

    Standing Committees are permanent committees established by the Standing Orders of the House of Commons and are composed of members of Parliament (MP) (proportional to party standings in the House). Membership changes occur when a new session of Parliament begins (or as required).

    Standing Senate Committees are permanent committees established by the Rules of the Senate and comprise Senators (proportional to party standings in the Senate). Membership changes occur at the beginning of each new session of Parliament (or as required).

    Parliamentary secretaries may be appointed by the Chief Government Whip to serve as a non-voting member of a committee with all the rights and privileges of a committee member, but may not move motions, nor vote, nor be counted for the purposes of a quorum.

    The Minister of Agriculture and Agri-Food may be invited by a Standing Committee of the House or Senate to talk about the expenditures of the portfolio, Government legislation, or issues impacting the sector.

    Once a Standing Committee has tabled a report, the Government is required to prepare a formal response within 120 days in the House of Commons and 150 days in the Senate for tabling in Parliament. The Minister directs officials in the drafting of Government Responses to reports presented by Standing Committees. The Minister presents these proposals to Cabinet colleagues for approval and ratification before the Government Response is tabled in Parliament and made public.

    Standing Committee on Agriculture and Agri-Food

    The Standing Committee on Agriculture and Agri-Food (AGRI) examines issues related to Canada's agriculture and agri-food industry. AGRI has the power to review issues related to the mandate, management, and operation of the Agriculture and Agri-Food Portfolio, legislation, expenditures and activities of the Portfolio organizations.

    The Minister of Agriculture and Agri-Food, when invited, appears before the Committee to support the work of AGRI. Typically the Minister, accompanied by the Deputy Minister and officials, will appear to support the Estimates process and Government legislation, while Portfolio officials are invited to appear to provide information to AGRI when it studies other topics.

    AGRI will invite witnesses from across the sector representing a wide array of views so members can examine the issue and make recommendations to the Government. At the conclusion of a study, the Committee presents its report in the House of Commons and may request the Government to respond to its recommendations. A Government Response is due within 120 days after the presentation of the report (pursuant to House of Commons Standing Order 109).

    Studies undertaken (43rd Parliament – 2nd Session, September 23, 2020 to August 15, 2021)
    • Bill C-205, An Act to amend the Health of Animals Act: From May to June 2021, the Committee undertook a study on Bill C-205 and the report was presented to the House of Commons by the Committee on June 21, 2021.
    • Environmental Contribution of Agriculture: From May to June 2021, the Committee undertook a study on the Environmental Contribution of Agriculture. No report was presented by the Committee.
    • Bill C-206, An Act to amend the Greenhouse Gas Pollution Pricing Act (qualifying farming fuel): From March to May 2021, the Committee undertook a study on Bill C-206, and the report was presented to the House of Commons by the Committee on May 12, 2021.
    • Processing Capacity: From November 2020 to April 2021, the Committee undertook a study on Processing Capacity. A report was presented to the House of Commons by the Committee on May 4, 2021.
    • Business Risk Management Programs: From October to November 2020, the Committee undertook a study on Business Risk Management programs. A report was presented to the House of Commons by the Committee on November 20, 2020. A Government Response was tabled on March 12, 2021.
    Estimates

    The Minister of Agriculture and Agri-Food, accompanied by officials, appeared before AGRI three times for the following Estimates meetings during the 2020–21 period:

    • Main Estimates 2021–22
    • Supplementary Estimates (C), 2020–21
    • Main Estimates 2020–21
    Other activities

    The Minister of Agriculture and Agri-Food, accompanied by department officials, appeared before the Committee to provide a briefing on the topic of Poultry and Egg Compensation (December 10, 2020).

    Briefing given by department officials on processing capacity.

    Studies undertaken (43rd Parliament – 1st Session, December 5, 2019 to August 18, 2020)
    • Business Risk Management Programs: From February to July 2020, the Committee undertook a study on the Business Risk Management programs. Although no report was presented by the committee, the meetings held during this session were included in the report entitled Facing the Unexpected: Enhancing Business Risk Management Programs for Agriculture and Agri-food Businesses, which was tabled in November 2020.
    • Canadian Response to the COVID-19 Pandemic: From May to June 2020, the Committee undertook a study on the Canadian Response to the COVID-19 Pandemic. No report was presented by the Committee.
    • Clauses 44, 46, 53 and 59 of Bill C-4, An Agreement between Canada, The United States of America and the United Mexican States: In February of 2020, the Committee undertook a study on the Agreement between Canada, the United States of America and the United Mexican States. Although no report was presented by the Committee, the Chair of AGRI sent a letter to the Standing Committee on International Trade.
    Estimates

    The Minister of Agriculture and Agri-Food, accompanied by officials, appeared twice before AGRI for the following Estimates meetings during the 2019–20 period:

    • Supplementary Estimates (A), 2020–21
    • Supplementary Estimates (B), 2019–20
    Other activities
    • Briefing given by department officials on Business Risk Management programs.

    Standing Senate Committee on Agriculture and Forestry

    The Standing Senate Committee on Agriculture and Forestry has the mandate to examine legislation and to study, on order of the Senate, matters relating to agriculture and forestry.

    The Minister of Agriculture and Agri-Food, when invited, is accompanied by the Deputy Minister and officials to appear before the Committee to support its work.

    The Committee gathers the majority of the information for its reports through public meetings where it hears from witnesses. Once a committee report is adopted by the Senate, the Senate may ask the Government to respond to the Committee's recommendations within 150 days (pursuant to the Rules of the Senate, Rule 12-24).

    Studies undertaken (43rd Parliament – 2nd Session)
    • Bill C-208, An Act to amend the Income Tax Act (transfer of small business or family farm or fishing corporation). The Committee heard from the sponsor of the Bill, MP Larry Maguire, Conservative Party of Canada, and other witnesses on June 3 and June 10, 2021. The Bill passed third reading in the Senate without amendment and received Royal Assent on June 29, 2021.
    Studies undertaken (43rd Parliament – 1st Session)
    • Government response to the nineteenth report of the Standing Senate Committee on Agriculture and Forestry entitled Made in Canada: Growing Canada’s Value-Added Food Sector. Deposited with the Clerk of the Senate on July 15, 2019, during the first session of the forty-second Parliament.
    Other committees of interest

    There are over 20 parliamentary committees in each House of Parliament. Below are a few examples of committees of particular interest for the Department:

    • The Standing Committee on International Trade studies and reports on matters such as international trade policy and the global trade and investment environment.
    • The Standing Committee on Transport, Infrastructure and Communities studies the legislation, policies and programs, and other issues of national importance related to transportation, infrastructure, and Canadian cities and communities as well as the operations of Transport Canada and Infrastructure Canada.
    • The Standing Committee on Finance studies and reports on all matters relating to the mandate, management and operation of selected federal departments and agencies, including the Department of Finance and the Canada Revenue Agency, and conducts pre-budget consultations.
    • The Standing Senate Committee on Social Affairs, Science and Technology has the mandate to examine legislation and to study issues related to cultural affairs and the arts, social and labour matters, health and welfare, pensions and housing. It is also responsible for considering fitness and amateur sport, employment and immigration, and consumer and youth affairs.
    • The Standing Committee on Public Accounts has the mandate to review and report on the Public Accounts of Canada and all reports of the Auditor General of Canada.
    • The Standing Senate Committee on Foreign Affairs and International Trade examines legislation and matters relating to foreign and Commonwealth relations, including: treaties and international agreements, external trade, foreign aid, and territorial and offshore matters.
    • The Standing Senate Committee on Banking, Trade and Commerce examines legislation and issues related to banking, insurance, trust and loan companies, credit societies, caisses populaires and small loan companies. It is also responsible for considering customs and excise issues, taxation legislation, patents, royalties, corporate affairs, and bankruptcy-related issues.
    • The Standing Senate Committee on National Finance examines matters relating to federal estimates generally, including the public accounts and reports of the Auditor General, as well as government finance. In addition, the Committee has investigated other topics of interest and importance to the country.
    • The Standing Joint Committee for the Scrutiny of Regulations has members from both the Senate and the House of Commons. The Committee reviews and scrutinizes government regulations and other statutory instruments to ensure government bodies remain accountable to Parliament. It deals with matters of legality and the procedural aspects of regulations, as opposed to the merits of particular regulations or the policy they reflect. The Committee has the power to recommend disallowance of a regulation or part of a regulation.

  • Seeking policy and program authority

    Overview of Memorandum to Cabinet and Cabinet business, funding decisions, Treasury Board submissions and estimates process

    The Prime Minister is responsible for structuring Cabinet and determining the mandates and membership of Cabinet committees. The Minister of Agriculture and Agri-Food is a member of Cabinet, which sets strategic direction, approves appointments and ratifies decisions of the Cabinet committees. Cabinet committees normally include separate committees for economic, social and international issues, and always include the Treasury Board committee.

    The Department supports the Minister as a member of Cabinet and other Cabinet committees by preparing: briefing material for Cabinet committee meetings; and A) Memoranda to Cabinet (MCs) and related briefing material. An MC is the mechanism through which ministers bring forward policy proposals for the consideration and approval of their Cabinet colleagues. An MC is the first requirement in implementing a new initiative. A funding decision may be required and would be obtained through a separate decision made jointly by the Minister of Finance and the Prime Minister, either through B) the annual budget cycle or C) off-cycle funding requests, if there are more urgent pressures that cannot be managed within a department’s existing funding levels. Program approval is obtained through D) a Treasury Board submission. Finally, funds can be authorized for departments through the approval of appropriation bills in Parliament; this is known as E) the Estimates process (includes the Main and Supplementary Estimates and Departmental Plan).

    A. MCS and related briefing material

    • Ministers seek Cabinet committee colleagues’ approval of policy proposals through MCs to:
    • Advance a new policy or initiative;
    • Implement priorities that were announced in the Speech from the Throne or Budget or that were requested by the Prime Minister;
    • Propose a substantive change to an existing program or policy;
    • Advance a proposal that involves other ministers’ responsibilities or other jurisdictions, or that may be controversial; or
    • Submit legislative proposals to Parliament or respond to a parliamentary committee or to Private Members’ Bills or Motions.

    The Department supports the Minister by preparing the MC (and any supplementary material) and provides a briefing binder (for example, briefing note, talking points, questions and answers, and any relevant background material) for the Minister’s use at the Cabinet committee meeting. The Department acts as the liaison and intermediary with central agencies (Privy Council Office, Department of Finance Canada, and the Treasury Board Secretariat), the portfolio and other government departments for all Cabinet-related business.

    The Minister (or a group of ministers) will present the MC to a Cabinet committee for focused discussion, recommending a course of action. Once the Cabinet committee has concluded its deliberations, it will issue a Committee Recommendation (CR). The MC and CR are then submitted to full Cabinet for further consideration and ratification. A Record of Decision is then issued that endorses the CR or amends it or, in some cases, makes Cabinet approval contingent upon other approvals being received (for example, ad referendum on funding or machinery of government changes).

    If a policy proposal is horizontal and involves mandate responsibilities of two or more ministers, a single MC is prepared, and the ministers involved co-sign. For instance, Global Affairs Canada leads international trade negotiation MCs with the Minister of Agriculture and Agri-Food co-signing given the importance of agriculture in trade agreements. (Briefing material is also provided by the Department for MCs that the Minister co-signs.)

    Agriculture and Agri-Food Canada (AAFC) typically leads MCs for Government responses to the parliamentary committee reports that are prepared by the Standing Committee on Agriculture and Agri Food, and the Standing Senate Committee on Agriculture and Forestry, in collaboration with other departments involved. AAFC also provides input into Government responses led by other federal departments, should the recommendations touch on AAFC policies or programs.

    B. Budget cycle

    While an MC can propose a policy direction that has funding implications, ratification of an MC by Cabinet does not constitute approval of a source of funds for the initiative(s). Funding decisions are made jointly by the Minister of Finance and the Prime Minister through a separate decision, preferably in the context of the annual federal budget process.

    The annual budget cycle typically involves several steps:

    • the Minister of Finance sends a letter to ministers requesting proposals to be considered for inclusion in the Budget;
    • ministers respond by submitting various proposals for consideration;
    • the Minister of Finance and the Prime Minister decide which proposals will be included in the Budget;
    • the Budget is tabled in Parliament; and
    • the Budget Implementation Act is introduced to implement certain provisions of the Budget.

    C. Off-cycle funding requests

    To respond to unforeseen and extraordinary circumstances that cannot be managed within a department’s existing financial authorities, funding proposals can be submitted to the Prime Minister and the Minister of Finance outside of the annual budget process as off-cycle funding requests.

    In these special circumstances, the Minister sends a letter to the Prime Minister and the Minister of Finance requesting incremental funding for a specific policy proposal. The Department of Finance and the Privy Council Office review the proposal, complete a brief and make recommendations to the Minister of Finance and the Prime Minister. The Minister of Finance and the Prime Minister then make a decision.

    D. Treasury Board submissions

    Treasury Board submissions are documents submitted by a minister to the Treasury Board Secretariat (TBS) seeking approval or authority from the Treasury Board (TB). The purpose of a TB submission is to seek approval of the specific elements of a program’s design, delivery or implementation, and/or to seek authorities related to an organization’s mandate, including financial authorities. The TB submission generally includes details of an initiative’s design and delivery, how much it will cost each fiscal year and its expected outcomes.

    The most common authorities departments seek through TB submissions include:

    • Access to previously approved funding;
    • Authority to enter into a contract or undertake a project that exceeds the department’s authority;
    • Approval of an investment plan;
    • Authority to implement new TB policies, revise existing policies or delegate related authorities;
    • Authority to name members to departmental audit committees; and
    • Authority to sign collective agreements.

    In preparing a TB submission for the Minister’s signature, the Department will:

    • Ensure financial resource needs and costing are challenged and rigorously review assumptions associated with financial and authority requirements;
    • Review the costing and source of funds for reasonableness and accuracy, and review the entire TB submission for risk and policy implications; and
    • Liaise with officials from the TBS.

    Working documents for MCs and TB submissions are classified as Cabinet confidences and, as such, are protected under section 39 of the Canada Evidence Act. Related documents can be shared only with those having the required security clearance and must be managed using proper information management and security practices.

    E. Estimates process

    Following TB approval, the funding and authority to spend are obtained from Parliament through the Estimates process (Main and Supplementary Estimates approved through an appropriation act). The Main Estimates provide a listing of the resources required by the Department for the upcoming fiscal year in order to deliver the programs for which it is responsible. The Main Estimates are to be tabled by March 1, before the beginning of the fiscal year (April 1), and address the Department's initial budget for the year. Supplementary Estimates, usually presented in May, November and February, are adjustments throughout the year to incorporate new programs that have been approved subsequent to the Main Estimates. It is common practice that the Minister appear before a parliamentary committee to present the Department's Main and Supplementary Estimates and address any questions from the parliamentary committee.

  • Agriculture and Agri-Food Canada portfolio and partner organizations

    Agriculture and Agri-Food Canada (AAFC) works with partnering organizations and agencies that regulate aspects of the agriculture sector. The Department and its portfolio partners report to Parliament through the Minister of Agriculture and Agri-Food, excluding the Canadian Food Inspection Agency (CFIA), which reports to the Minister of Health. However, the Minister of Agriculture continues to be responsible for CFIA’s non-food safety agricultural activities, including work related to plant health, animal health, and trade issues. The organizations within the Agriculture and Agri-Food portfolio are responsible for ensuring that policies and programs are coordinated and work to serve the interests of the sector and Canadians.

    Canadian Food Inspection Agency (CFIA)

    History

    The Canadian Food Inspection Agency (CFIA) was established in 1997 as a regulatory body. It is a science-based regulatory agency focused on mitigating and managing risks related to food safety, animal health and plant protection and prioritizes the health and safety of Canadians. CFIA transitioned from the Agriculture and Agri-Food portfolio to the Health portfolio in October 2013 to better align federal authorities related to food safety.

    Mandate

    In considering CFIA’s mandate, there are key areas where its activities can impact and influence the competitiveness and economic interests of the sector, particularly:

    • Food safety, animal health and plant protection;
    • Domestic and international trade and market access; and
    • Regulatory modernization.

    Activities

    The Minister of Health is responsible for the overall direction and budget of CFIA and for issues related to food safety. CFIA continues to report to the Minister of Agriculture and Agri Food for non-food safety activities and economic and trade issues (e.g. related to animal health, plant protection, market access, and agricultural inputs such as feeds, seeds, and fertilizer). CFIA collaborates with a variety of departments across all levels of government, stakeholders and interest groups to deliver its mandate.

    There are instances where CFIA will be required to brief and seek approval from both the Minister of Agriculture and Agri-Food and the Minister of Health on issues and initiatives that cross areas of responsibility. These include issues such as biotechnology or animal or plant issues that may impact the food supply, such as antimicrobial resistance, as well as market access issues that relate to food safety.

    Funding

    Total planned spending on core responsibilities and internal services is $786 million in in 2021–22 and total planned revenue from all business lines (food safety, animal health, and plant health) is $53 million. (Sources: 2021–22 Estimates – Parts I and II The Government Expenditure Plan and Main Estimates)

    • FTEs: 6,065 employees
    • President: Dr. Siddika Mithani
    • Appointment: February 27, 2019 to February 26, 2023.

    Farm Credit Canada

    History

    Farm Credit Canada (FCC)[1] is a Crown corporation, created in 1959 through the Farm Credit Act. FCC’s Corporate Office is located in Regina.

    Mandate

    FCC provides specialized and personalized business and financial services and products to the agriculture and food industry.

    Activities: With a portfolio of more than $41.5 billion in loans (March 31, 2021), FCC is Canada’s largest provider of capital to agriculture, agri-business, and food producers. FCC has close to 100,000 customers serviced by 1,019 field offices across Canada. FCC provides financing, software, learning programs, and other business services to advance the business of agriculture and food. FCC also makes investments in venture capital funds to address the need for alternative financing in the agriculture and food industry. It also partners with accelerators to provide connections and mentorship to accelerate the growth of start-ups and emerging businesses.

    Funding: FCC is self-sustaining and is not dependent on government appropriations. Funds to support its operations are borrowed directly from the Government of Canada under the Consolidated Borrowing Program, which must be approved by the Minister of Finance and Treasury Board.

    Budget: In March 2020, the Government announced a $500 million enhancement to FCC’s capital base to allow for additional lending capacity to support the industry. Last fiscal year, FCC portfolio increased 7.6%, with disbursements totalling $13.2 billion and net income amounted to $812.5 million.

    (Source: Annual Report 2020-21)

    FTEs: Over 2,100

    Board of directors

    President and CEO: Mr. Michael Hoffort

    Appointment: July 1, 2014 to June 30, 2022 (re-appointed)

    The President and CEO of FCC is responsible for the supervision of the business of the corporation. Working with the Board of Directors, he is responsible for the strategic leadership of the corporation and for providing leadership and advice to the Board on all matters of policy affecting the direction and operation of the corporation.

    Board Chair: Ms. Jane Halford

    Appointment: April 22, 2020 to April 22, 2024

    The Chairperson serves as the FCC’s primary liaison to the Minister of Agriculture and Agri Food and is responsible for leading the 12-member FCC Board of Directors while working closely with the CEO.

    Director: Rita Achrekar

    Appointment: May 21, 2021 to May 20, 2025

    Director: Bertha Campbell

    Appointment: November 9, 2017 to November 8, 2021

    Director: Sylvie Chagnon

    Appointment: May 21, 2021 to May 20, 2025

    Director: Sylvie Cloutier

    Appointment: June 2, 2019 to June 1, 2022 (re-appointed)

    Director: Laura Donaldson

    Appointment: November 9, 2017 to November 8, 2021

    Director: Sharilee Fossum

    Appointment: June 2, 2019 to June 1, 2022

    Director: Michele Hengen

    Appointment: May 21, 2021 to May 20, 2024 (re-appointed)

    Director: James Laws

    Appointment: May 21, 2021 to May 20, 2024 (re-appointed)

    Director: Michael Tees

    Appointment: May 21, 2021 to May 20, 2025

    Director: Govert Verstralen

    Appointment: November 9, 2017 to November 8, 2021
    1. Note: factual corrections were made in November 2021

    Canada Agricultural Review Tribunal

    History

    The Canada Agricultural Review Tribunal (CART) is an independent quasi-judicial administrative tribunal created in 1998. Its office is located in downtown Ottawa.

    As of November 1, 2014, CART became one of twelve tribunals that are supported by the Administrative Tribunals Support Services of Canada (ATSSC). The ATSSC allocates a budget to CART and provides administrative support, but CART remains part of the Agriculture portfolio. AAFC continues to be responsible for formulating policy in support of the administration of CART, and the Minister continues to have authority for appointments; however, CART remains independent in its review processes.

    Mandate

    CART's mandate is to give the public the opportunity to request reviews of certain decisions or penalties imposed under various agriculture and agri-food acts; requests for reviews come from individuals and industry. In this regard, the organization plays a key role in ensuring a fair and efficient administrative monetary penalty system.

    Activities

    CART's main focus is to review Notices of Violation issued by Canadian Food Inspection Agency, the Canada Border Services Agency and the Pest Management Regulatory Agency, in order to protect public health, animal welfare and plant life. In 2020–21, CART rendered decisions on 33 cases and carried forward 38 cases to 2021–22.

    Funding

    In 2020-2021, the ATSSC allocated to CART approximately $900,000 for all operations.

    FTEs: 5 full-time employees, 3 part-time employees, 3 student employees (1 part time, 2 clinical internships), 1 full-time member, 3 part-time members

    Chairperson: Mr. Luc Bélanger

    Appointment: July 17, 2017 to July 16, 2022

    The Chairperson is a full-time member of CART and its CEO. In this capacity, the Chairperson is accountable for the effectiveness and efficiency of CART’s operations and reports to Parliament through the Minister of Agriculture and Agri-Food. However, because of the size of the Tribunal, it is not an independent entity under the Financial Administration Act (FAA). According to the FAA, CART obtains all of its funds from AAFC and must comply with AAFC and Treasury Board policies and approvals. Therefore, the Minister of Agriculture and Agri-Food must approve CART’s financial expenses.

    Part-Time Member: Geneviève Parent

    Appointment: August 15, 2017 to August 30, 2024 (re-appointed)

    Part-Time Member: Marthanne Robson

    Appointment: December 14, 2020 to December 13, 2021

    Part-Time Member: Patricia Farnese

    Appointment: November 29, 2018 to November 28, 2021

    Canadian Dairy Commission

    History

    The Canadian Dairy Commission (CDC) is a Crown corporation, created in 1966 by the Canadian Dairy Commission Act. Its office is located in Ottawa on the Central Experimental Farm.

    Mandate

    To ensure that the supply-managed system in the dairy sector is working to benefit producers through a fair return for their production and that consumers have an adequate supply of high-quality dairy products.

    Activities

    The CDC chairs the Canadian Milk Supply Management Committee and provides ongoing support to Can da’s dairy industry, in co-operation with stakeholders and governments. The CDC also administers revenue pooling agreements, manages national targets for milk production and the farm gate price of milk, and administers programs. It has authority to buy, store, process, and sell dairy products on domestic and export markets. In August 2019, the Government announced that the CDC administered and delivered $338.6 million in payments to dairy producers through the Dairy Direct Payment Program for fiscal year 2019–20. In November 2020, the Minister announced a schedule to deliver the remaining $1.405 billion over three years: $468 million in 2020–21, $469 million in 2021–22, and $468 million in 2022–23.

    On May 5, 2020, the CDC received an additional $200 million to the Commission’s current $300-million borrowing capacity.

    Funding

    The CDC receives funding from Parliament, dairy producers, the marketplace and its commercial operations.

    Budget

    $10.11 million for the dairy year ending July 31, 2020, including $4.0 million from government appropriations. The remaining $6.11 million is funded by CDC’s commercial operations, from milk producers for programs administered on their behalf and from the marketplace for the storage of butter.

    (Source: CDC 2021–22 to 2025–26 Corporate Plan)

    FTEs: 73

    CEO: Mr. Serge Riendeau

    Appointment: May 14, 2021 to May 13, 2022 (Part-Time) (re-appointed)

    The CEO is responsible for overall operations and management of the CDC and serves as the primary liaison between the CDC and dairy industry stakeholders and government officials.

    Chairperson: Mr. Bob Ingratta

    Appointment: February 5, 2020 to December 16, 2021

    The Chairperson serves as the CDC's primary liaison to the Minister of Agriculture and Agri-Food and is responsible for leading the CDC Board of Directors while working closely with the CEO and Commissioner.

    Commissioner: Ms. Jennifer Hayes

    Appointment: February 5, 2020 to February 4, 2023 (re-appointed)

    The Commissioner supports both the Chairperson and the CEO in their functions and chairs the CDC Audit Committee.

    Canadian Grain Commission

    History

    The Canadian Grain Commission (CGC) was created in 1912 through the Canada Grain Act (CGA). Its headquarters are located in Winnipeg.

    Mandate

    In the interests of grain producers, the CGC's mandate, as set out in the CGA, is to establish and maintain standards of quality for Canadian grain, to regulate grain handling in Canada and to ensure a dependable commodity for domestic and export markets.

    Activities

    In carrying out its mandate and supporting its vision to be a leader in delivering excellence and innovation for the grain industry, the CGC’s key activities are:

    • Quality assurance;
    • Quantity assurance;
    • Producer protection; and
    • Grain quality research.

    In Western Canada, the CGC is mandated to license and regulate the entire grain handling system, from the primary elevators, where grain is first received from producers, to the terminal and transfer elevators, where it is exported to foreign buyers.

    Funding

    The CGC is funded through appropriations from Parliament and fees charged for services delivered.

    Budget

    $66.14 million (funded by $6.59 million in annual government appropriation and $59.55 million in user fees revenue). (Source: CGC 2020–21 Departmental Report)

    FTEs: 450

    Chief Commissioner: Mr. Doug Chorney

    Appointment: December 18, 2020 to December 17, 2023

    The Chief Commissioner reports directly to the Minister of Agriculture and Agri-Food, and administers and enforces the CGA. The Chief Commissioner also serves as the CEO and provides overall direction and leadership to the staff of the Commission in administering the Act and regulations and in the provision of services to the grain industry.

    Assistant Chief Commissioner: Ms. Patty Rosher

    Appointment: February 15, 2021 to February 14, 2025

    Commissioner: Mr. Lonny McKague

    Appointment: February 13, 2021 to February 12, 2024 (re-appointed)

    Farm Products Council of Canada

    History

    The Farm Products Council of Canada (FPCC) was created in 1972 by the Farm Products Agencies Act (FPAA), which provides for the creation of national marketing agencies for supply managed sectors (excluding dairy) and promotion and research agencies (PRAs). Its office is located in Ottawa on the Central Experimental Farm.

    Mandate

    The FPCC’s responsibilities, as defined in the FPAA, are to:

    • Advise the Minister on all matters relating to the establishment and operations of agencies under the FPAA with a view to maintaining and promoting efficient and competitive industries;
    • Approve production quota regulations and levies orders, licensing regulations and certain by-law provisions;
    • Work with agencies in promoting more effective marketing of supply managed farm products;
    • Investigate and take action, within its powers on any complaints related to national agency decisions; and
    • Hold public hearings when necessary, such as when new agencies are proposed.

    Activities

    FPCC works with and supervises the operations of the following six agencies established under the FPAA to ensure that they are promoting a strong, efficient, and competitive production and marketing industry and operate in the interests of producers and consumers.

    • Egg Farmers of Canada (1972)
    • Turkey Farmers of Canada (1974)
    • Chicken Farmers of Canada (1978)
    • Canadian Hatching Egg Producers (1986)
    • Canadian Beef Check-Off Agency (2002)
    • Canadian Pork Promotion and Research Agency (2020)
    • A hemp promotion and research agency is currently in development.

    FPCC also administers the Agricultural Products Marketing Act (APMA), on behalf of AAFC. The APMA allows the federal government to delegate its authorities over interprovincial and export trade to provincial commodity boards on a wide range of farm products. This enables boards to collect “check off” duties from producers of commodities in order to fund research, marketing, and other activities of general benefit to the sector.

    Funding

    The FPCC is funded entirely through appropriations as part of AAFC’s ongoing votes listed in the Main Estimates.

    Budget

    The 2021–22 forecast budget is $2.7 million

    • FTEs: 15 (for 2021–22, as of August 18, 2021)
    Chairperson and Member: Brian Douglas (full-time)

    Appointment: June 11, 2018 to June 10, 2022
    The Chairperson of the FPCC is appointed by the Governor in Council and reports to the Minister, providing advice on the activities, objectives, requirements and policies of the Council, and on all matters relating to the establishment, operation and performance of agencies under the FPAA. FPCC is composed of between three and seven members. Currently, the FPCC has five members.

    Vice-Chairperson: Ronald Bonnett
    • Appointment: June 2, 2019 to June 1, 2022
    Member: Maryse Dubé
    • Appointment: April 30, 2021 to April 29, 2025 (re-appointed)
    Member: Yvon Cyr
    • Appointment: May 1, 2018 to April 30, 2022
    Member: Morgan Moore

    Appointment: June 19, 2019 to June 18, 2022

  • Regulatory modernization

    Issue

    The agriculture and agri-food sector operates within a regulatory framework that includes acts and regulations designed to support food safety, animal and plant life and health, the environment, the security and safety of our food supply, access to markets, and the social and economic well-being of Canadians.

    While this framework also contributes to promoting consumer confidence in Canadian products and services, it can be challenging for businesses and producers to navigate and can be perceived as limiting economic growth and innovation.

    Background

    Agriculture and Agri-Food Canada (AAFC) and its portfolio agencies are responsible for over 280 regulatory instruments, which derive their authority from over a dozen acts.Footnote1 AAFC regulatory instruments enable financial programs that: assist producers in managing business risks; support research and innovation through successful marketing of agricultural products; and facilitate competitiveness and trade (see Annex A). Other key regulators for the sector include the Canadian Food Inspection Agency (CFIA), Health Canada (including the Pest Management Regulatory Agency), Environment and Climate Change Canada (ECCC), and Transport Canada.

    AAFC works closely with federal regulators to advance various regulatory initiatives. In some cases, the Minister of Agriculture and Agri-Food is required to approve some of these regulations, such as a number of regulatory modernization initiatives being advanced by CFIA. Many of these initiatives are identified in the Agri-food and Aquaculture Roadmap (see Annex B), which is focussed on regulatory modernization in the agri-food sector.

    The following are some of the key Government of Canada regulatory priorities that support an environment conducive to growth and innovation:

    Modernizing the Canada Grain Act

    Following broad public consultations, AAFC is reviewing input and developing recommendations for next steps in the modernization process. Next steps are subject to ministerial direction and may include proposals for regulatory, legislative and/or operational changes to ensure that the Act is responsive and aligned with Canada’s evolving and modern grain sector.

    Finalizing the Clean Fuel Regulations

    ECCC is working on regulations to encourage more clean fuel use in Canada; these are expected to be published in Canada Gazette II before June 2022. Biofuels derived from agricultural commodities, notably canola and corn, are expected to be an important contribution, thereby presenting a great opportunity for Canadian farmers. AAFC has been working closely with ECCC to ensure that sustainable Canadian production practices are reflected in the regulations.

    Developing food labelling initiatives

    AAFC is working with the responsible departments to ensure the perspectives and realities of the agriculture and food sectors are well understood. Major regulatory activities include:

    • Health Canada’s front-of-package labelling and restrictions on the marketing of unhealthy foods to children, both intended to improve food choices as part of the Healthy Eating Strategy; and
    • CFIA’s “Food Product Innovation,” intended to create a more streamlined and agile food labelling framework.

    AAFC also works closely with the Pest Management Regulatory Agency in making timely, science-based decisions that lead to the safe and sustainable use of crop protection products in Canada.

    Considerations

    AAFC’s primary role in major regulation is to act as a key connection between regulators and industry stakeholders, ensuring that government priorities are well communicated and that sector perspectives and realities are well understood by regulators.

    Agriculture and agri-food stakeholders are generally supportive of Canada’s robust science-based regulatory system, as it provides confidence in their products for domestic and international consumers. Nonetheless, many stakeholders feel there are opportunities to better reflect agriculture and agri-food perspectives in regulatory policy development. In particular, many have expressed concerns about the overall economic burden of regulation, as well as the ability of the regulatory system to keep pace with changing technologies.

    The Treasury Board Secretariat, which leads on federal government regulatory policy, has identified a number of horizontal opportunities to build on momentum achieved through recent regulatory reform initiatives. AAFC will continue to leverage these opportunities, which include: considering enhanced supports for stakeholders navigating the regulatory environment; enhancing digitization of processes; and making stronger linkages between industrial and regulatory policy.

    Next steps

    As expectations for concrete regulatory improvements remain high, AAFC will continue to advance regulatory modernization efforts, including working closely with partners, such as Health Canada, the CFIA and the agriculture sector.

    Annex A – AAFC's regulatory responsibilities

    The Canadian Agriculture Loans Act and the Agricultural Marketing Programs Act grant ministerial authority to provide various loan guarantee programs and advances to producers and farmers.

    The Farm Income Protection Act provides authority to facilitate business-risk-management programs (including income stabilization for farmers, disaster assistance and crop insurance).

    The Canada Grain Act outlines the authorities of the Canadian Grain Commission (an AAFC portfolio partner), establishes regulations that govern quality standards for Canadian grain and regulates grain handling to ensure a dependable commodity for domestic and export markets.

    The Agricultural Products Marketing Act allows the delegation of federal authority to provincial commodity boards to regulate the marketing of a commodity destined for interprovincial or export trade to the same extent as it does for intra provincial trade.

    The Farm Products Agencies Act authorizes the establishment of agencies with powers relating to the marketing of a farm product destined for interprovincial or export trade (for example, Pork Proclamation).

    The Canadian Pari-Mutuel Agency maintains the regulatory framework of laws, regulations, regulatory documents, licences and authorizations to govern and ensure the integrity of pari-mutuel betting systems in Canada.

    The CFIA is responsible for administering the following 10 acts and their associated regulations.

    Annex B — Agri-food and Aquaculture Roadmap

    Budget 2018 announced a regulatory reform agenda focused on supporting innovation and economic growth. The agri-food and aquaculture sector was one of three sectors identified for “targeted regulatory reviews,” a comprehensive initiative to identify and advance work on specific regulatory irritants and update regulations. CFIA led the development of the Agri-food and Aquaculture Roadmap Footnote2 (Roadmap), in collaboration with Government of Canada regulatory partners, including AAFC.

    The Roadmap actions aim to address four main themes that emerged from consultations with stakeholders:

    • Regulations are outdated, overly prescriptive, unclear and not sufficiently risk-based.
    • Canadian competitiveness and trade interests are not adequately supported by the regulatory system.
    • Regulatory programs are not timely, predictable, sufficiently risk-based or efficient.
    • Novel approaches are needed to address long-standing regulatory issues, including assessment of cumulative impacts and complexity in navigating the regulatory system.

    The Roadmap lays out a regulatory modernization plan for the sector and includes 33 detailed proposals focused on addressing stakeholder concerns and supporting innovation. This includes commitments to modernize the grains regulatory framework and efforts to improve government-stakeholder collaboration on regulations.

    There is a requirement to report back to Treasury Board on the progress in implementing Roadmap actions, and AAFC will work with CFIA to develop a progress report for Treasury Board early in 2022.

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