Deadline nears for farmer feedback on review of Ontario's farm business registration system

Thursday, September 5, 2013

by SUSAN MANN

Should the minimum gross income amount Ontario farms need to qualify for farm business registration be increased to reflect inflation?

That’s one of the questions farmers can answer as part of a government review of the province’s farm business registration system now underway. Submissions are due by Sept. 13.

A proposal in the government’s consultation paper on the Regulatory Registry suggests the current minimum amount of $7,000 – in place since 1993 when the Farm Registration and Farm Organizations Funding Act was enacted – be increased to $10,800. That’s how much $7,000 in 1993 would be worth in today’s dollars.

Mark Cripps, spokesperson for the Ontario Ministry of Agriculture and Food, says so far 17 submissions have been received. They have come from both farmers and farm organizations.

The ministry’s recommendations for potential changes to improve the program will be based on the comments. There isn't a hard target for when any changes will be implemented. Cripps says, "they want to take time to review this properly."

Operations that qualify as a farm business are subsequently eligible to apply for several provincial and federal government programs that range from business risk management supports to assistance with on-farm improvements.

Qualifying farm businesses must also pay a $195 plus HST fee annually. Farmers direct their payment to one of two accredited general farm organizations, the Ontario Federation of Agriculture (OFA) or the Christian Farmers Federation of Ontario (CFFO).

After registering and paying the fee, farmers can ask the group they selected to receive their cheque for a refund. The farm business registration number they receive remains valid for the year even if a farmer gets a refund.

But that raises another question the ministry is considering. Should the costs to process the refunds, currently at about $20 per applicant, be non-refundable?

Other parts of the system the ministry is reviewing include:

• Who should be responsible for accreditation and should the ministry’s role be expanded?
• What should the criteria be for farm organizations to be accredited?

The ministry’s consultation paper says the main objectives of the review are to determine what, if any, changes are needed to the accreditation process, eligibility criteria for farm organizations, registration and membership system and regulatory framework. The ministry says the review is being done as part of a regular evaluation of programs and legislation.

The system ran aground last year after three general farm organizations, OFA, CFFO and National Farmers Union – Ontario, failed to obtain reaccreditation once their separate hearings were completed before the Agriculture, Food and Rural Affairs Appeal Tribunal. Two groups, OFA and CFFO, eventually got their accreditation back. But NFU-O didn’t and has now requested a judicial review of the tribunal’s decision. BF