British Columbia Order in Council — Order under Farm Income Insurance The Minister to sign the Canada-British Columbia Agreement to provide Enhancements to the Coverage provided for under the Agricultural Income Disaster Assistance Program (O.C. 917/2000)

O.C. 917/2000

British Columbia — Orders in Council

vs.

PROVINCE OF BRITISH COLUMBIA ORDER OF THE LIEUTENANT GOVERNOR IN COUNCIL Order in CobncirNo. 917 , Approved and Ordered JUN z 9 2000 ithattedatiErziMettIF Athainisfrulo, Executive Council Chambers, Victoria Adnebelstraftw On the recommendation of the undersigned, the kiessanantamamer, by and with the advice and consent of the Executive Council, orders that approval is given to the Minister of Agriculture, Food and Fisheries and Minister Responsible for Rural Development, on behalf of the Province, t sign the Canada-British Columbia Agreement to provide Enhancements to the Coverage provided for under the Agricultural Income Disaster Assistance Program, substantially in the form attached.

Minister rAgriculture, Food and Fisheries and Presidin • Member of the Executive Council Minister Responsible for Rural Development (This

part is for administrative purposes only and is not part of the Order.) Authority under which Order is made: Act and section: Farm Income Insurance Act (RSBC 1996, c. 130, s. 5) (lt hrr lcnovilvl•

CANADA-BRITISH COLUMBIA AGREEMENT TO PROVIDE ENHANCEMENTS TO THE COVERAGE PROVIDED FOR UNDER THE AGRICULTURAL INCOME DISASTER ASSISTANCE PROGRAM THIS AGREEMENT made this day of 2000. BETWEEN THE GOVERNMENTS OF: CANADA (referred to as "Canada"), as represented by the Minister of Agriculture and Agri-Food, OF THE FIRST PART; - and - BRITISH COLUMBIA (referred to as "the Province"), as represented by the Minister of Agriculture, Food and Fisheries, OF THE SECOND PART;

WHEREAS the parties recognize the need to provide enhancements to the coverage provided for under the Agricultural Income Disaster Assistance (AIDA) Program, for the 1998 and 1999 claim years, THEREFORE, THE PARTIES agree as follows: All terms and conditions of the AIDA agreement are incorporated into and become part of this agreement unless otherwise specified herein.

Definitions used in the Federal-Provincial Agreement Establishing the AIDA Program are incorporated into and become part of this agreement unless otherwise specified herein. Canada-British Columbia Agreement to provide enhancements to the coverage provided for under AIDA .../2

-2- 1.0

DEFINITIONS 1.1 "AIDA agreement" means the Federal- Provincial Agreement Establishing the Agricultural Income Disaster Assistance Program and includes any schedules and provincial annexes thereto. 1.2 "Olympic averaging" means the methodology for calculating the reference period program margin for the 1999 claim year using the average of the program margins for three of the five years immediately prior to the claim year, where the highest and lowest margins in the five-year period are excluded. 2.0 PROGRAM FRAMEWORK Purpose 2.1 The purpose of this agreement is to provide enhancements to the coverage provided for under the AIDA Program to assist farmers facing a serious decline in their program margins for the 1998 and 1999 claim years due to circumstances beyond their control. 3.0 PAYMENT CALCULATION Negative margin in claim ye•. r 3.1 In addition to payments made under the AIDA agreement and subject to subsection 4.5, in the event that the program margin for the claim year is negative and less than the reference period program margin, for th' purpose of this agreement, payments for the 1998 and 1999 claim years shall be made Canada-British Columoia Agreement to provide enhancements to the coverage provided for under AIDA

- 3 - based on sixty (60) percent (i.e. Canada's share) of seventy (70) percent of the absolute value of the difference between the program margin for the claim year and the lesser of the reference period program margin and zero. Adjustment for 3.2 Where an applicant's farm operation has expansion expanded by an amount equal to or greater than an expansion factor agreed to by Canada and the Province, for the purpose of payment calculation under this agreement, the reference period program margin shall be adjusted to reflect the percentage increase in the size of the operation that exceeds the expansion factor.

This methodology shall be set out in the federal or provincial program guidelines. Olympic averaging 3.3 For the 1999 claim year, in the event that the reference period program margin calculated using Olympic averaging is higher than the reference period program margin calculated under the AIDA agreement, payment will be made to applicants under this agreement for the difference between those two calculated payment amounts. This calculation is not available to beginning farmers.

Modified accrual 3.4 For the 1999 claim year, for the purpose of reference margin calculating Canada's share of payments under adjustment this agreement, an applicant whose reference period program margin is based on the three years immediately prior to the claim year and who reports their farming income and expenses on a cash basis shall have the option Canada-British Columbia Agreement to provide enhancements to the coverage provided for under AIDA .../4

- 4 - of using modified accrual accounting (or any other method of accrual adjustment recognized under the Income Tax Act) to report their farming income and expenses over the reference period provided that the applicant has supporting financial documentation. 4.0 PROGRAM COST-SHARING AND FUNDING Share of funding 4.1 Canada and the Province shall share the costs of payments under this agreement in accordance with subsections 7.1, 7.2 and 7.3 of the AIDA agreement.

Canada's contributions 4.2 Canada's total contributions under this agreement and the AIDA agreement shall not exceed the individual and entity payment limits and total federal funding stipulated in subsections 6.14, 6.15 and 7.6 of the AIDA agreement. Program payment 4.3 Canada's contributions under this agreement proration shall be prorated as part of any proration required under subsection 6.17 of the AIDA agreement. Program 4.4 Payments under this agreement shall be administration administered in accordance with subsection 5.1 of the provincial annex to the AIDA agreement.

Canada-British Columbia Agreement to provide enhancements to the coverage provided for under AIDA .../5

- 5 - 4.5 Any costs incurred by Canada or the Province to administer payments under subsections 3.2, 3.3 and 3.4 of this agreement shall be paid in accordance with subsection 8.7 of the AIDA agreement. All other costs associated with the administration of this agreement shall be the responsibility of Canada.

All administrative costs paid by Canada shall be sourced from the total federal funding stipulated in subsection 7.6 of the AIDA agreement. 5.0 GENERAL PROVISIONS Amendments 5.1 Coming into force 5.2 Duration 5.3 Termination 5.4 This agreement may be amended only by further written agreement executed by Canada and the Province. This agreement comes into force on the date of signing. Following the corning into force of this agreement, it shall continue until all payments have been made to eligible applicants and the obligations of Canada and the Province under this agreement have been fulfilled.

This agreement shall terminate with the termination of the AIDA agreement. Canada-British Columbia Agreement to provide enhancements to the coverage provided for under AIDA .../6

- 6 - IN WITNESS THEREOF this agreement is duly executed by the authorized representatives of the parties. Signed in counterpart with the two counterparts taken together to constitute the whole Agreement. WITNESS SIGNATURE DATE Minister of Agriculture and Agri-Food Canada Minister of Agriculture, Food and Fisheries British Columbia Canada-British Columbia Agreement to provide enhancements to the coverage provided for under AIDA

- 6 - IN WITNESS THEREOF this agreement is duly executed by the authorized representatives of the parties. Signed in counterpart with the two counterparts taken together to constitute the whole Agreement. WITNESS SIGNATURE DATE Minister of Agriculture and Agri-Food Canada Minister of Agriculture, Food and Fisheries British Columbia Canada-British Columbia Agreement to provide enhancements to the coverage provided for under AIDA

Document details

Collection	British Columbia — Orders in Council
Citation	O.C. 917/2000
Type	order_in_council
Volume / chapter	arc oic 0917 2000
Language	en
Format	pdf
Source	PROVINCIAL
Identifier	02f520f11e7bf4ad84ed5fdb3ef67acf4a6ad0fa

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