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2008-2009
Reports on Plans and Priorities

Agriculture and Agri-Food Canada

The Honourable Gerry Ritz, P.C., M.P.,
Minister of Agriculture and Agri-Food and Minister for the Canadian Wheat Board

Section I - Departmental Overview

Section II - Analysis of Program Activities by Strategic Outcome

Section III - Supplementary Information

Table 1: Departmental Link to the Government of Canada Outcomes

Table 2: Sustainable Development Strategy

Other Tables

Section IV - Other Items of Interest

Section I - Departmental Overview

Message from The Minister

The Honourable
Gerry Ritz

Canada's agriculture and agri-food sector matters for Canadians. It drives our economy, generating more than eight per cent of our GDP, employing one in eight Canadians and, including seafood exports, contributing $7.1 billion to our trade surplus in 2006. It supports and sustains our rural communities and our cities. And it secures our health and well-being by providing high-quality, nutritious food for our tables.

My own farming background has given me a deep appreciation of the contribution that our farm families make to this great country. That is why my bedrock principle as Minister of Agriculture and Agri-Food is: Farmers First.

If farmers succeed, then food processors succeed, retailers succeed, and Canadian consumers benefit. Everything starts with a robust, vibrant farm gate.

This Government continues to put farmers first. We are helping farmers mitigate the high cost of production. We are helping the next generation of farmers take over the family farm through increased capital gains tax exemption.

We are working to enhance opportunities for our western wheat and barley producers through marketing choice. We're pressing for an ambitious outcome at the World Trade Organization for the benefit of Canada's entire agriculture sector, including both supply-managed and export-oriented industries.

We are cultivating a climate of innovation in this country from 'mind to market' to drive producers' competitiveness. Over the next nine years, for instance, this government is investing $2.2 billion to make Canada a world leader in biofuel development. Biofuels are good for our environment. They create new jobs in our towns and cities and important new markets for our farm families.

As we look to the future, new challenges face the Canadian agriculture and agri-food sector - tougher competition internationally, persistent market-distorting subsidies in competing countries and greater demands from consumers.

I believe, however, that our sector is more than up to meeting and beating these challenges. We have abundant natural resources, world-class innovation capacity, and a skilled and adaptive industry from the farm gate to the consumer's plate.

The task before us now is to help producers and the entire sector turn these strengths into profitable growth. To this end, agriculture ministers across Canada and I have worked with industry to build Growing Forward, a new policy framework for a profitable, competitive and innovative agriculture and agri-food sector that seizes opportunities in responding to market demands and contributes to the health and well-being of Canadians.

Programming under Growing Forward will be rolled out through 2008-09. Ministers have agreed to several benchmarks, including innovation, flexibility, and transparent, efficient program delivery. A new suite of business risk management programs that are more responsive and bankable for farmers will be up and running by April 1, 2008. All other programming will be developed and implemented through the year, as we work with governments and industry to design programs that meet the needs of producers and the entire sector. In the meantime, APF activities will continue throughout the transition year and will be replaced by new programs as they are implemented.

Since being appointed Minister in August 2007, I have been impressed by the teamwork and sense of dedication shown by the partner organizations in the Agriculture and Agri-Food (AAF) Portfolio. These organizations - Agriculture and Agri-Food Canada, the Canadian Food Inspection Agency, Farm Credit Canada, the Canadian Grain Commission, the Canadian Dairy Commission, and the National Farm Products Council - have different mandates, different roles and responsibilities and operate under different legislation. However, the organizations' common denominator is their shared goal of supporting and enhancing the agriculture and agri-food sector.

Now under the vision of Growing Forward, we are striving to build a profitable, competitive and innovative industry that seizes emerging market opportunities and contributes to the health and well-being of Canadians. I am relying on the continued collaborative efforts of a strong AAF Portfolio to realize this vision, while delivering the best possible services to our farmers and benefits for all our citizens.

Gerry Ritz, P.C., M.P.,
Minister of Agriculture and Agri-Food
and Minister for the Canadian Wheat Board

Management Representation Statement

We submit for tabling in Parliament the 2008-09 Report on Plans and Priorities for Agriculture and Agri-Food Canada.

This document has been prepared based on the reporting principles contained in the Guide to the Preparation of Part III of the 2008-09 Estimates: Reports on Plans and Priorities and Departmental Performance Reports:

it adheres to the specific reporting requirements outlined in the Treasury Board of Canada Secretariat guidance;
it is based on the department's strategic outcomes and program activities that were approved by the Treasury Board of Canada Secretariat;
it presents consistent, comprehensive, balanced, and reliable information;
it provides a basis of accountability for the results achieved with the resources and authorities entrusted to it; and
it reports finances based on approved planned spending numbers from the Treasury Board of Canada Secretariat.


Yaprak Baltacioglu Deputy Minister	Liseanne Forand Associate Deputy Minister

Raison d'être

AAFC is an economic and science-based department that works to ensure Canada's agriculture and agri-food sector is able to compete in international and domestic markets to derive economic returns to the sector and the Canadian economy as a whole. Through its work, the department strives to help the sector maximize its long-term profitability and competitiveness.

AAFC's program activities form a cohesive action plan which, together with the work of the agriculture and agri-food sector, provides benefits for all Canadians, including:

a reliable supply of safe and high-quality agri-food products;
economic, social and environmental contributions through greater competitiveness and sustainability;
enhanced compatibility between nature and agriculture;
increased opportunities for growth in rural communities; and
greater international recognition for quality Canadian products and expertise.

Organizational Information

Mandate

AAFC provides information, research and technology, and policies and programs to achieve its three strategic outcomes:

Security of the Food System;
Health of the Environment; and
Innovation for Growth.

The department's work toward achieving these outcomes is concentrated in areas of core federal jurisdiction, including supporting agricultural and agri-food productivity and trade, stabilizing farm incomes, and conducting research and development. The Minister of Agriculture and Agri-Food is also responsible for co-ordinating federal rural development efforts to enhance the quality of rural life, and for facilitating economic and social development through co-operatives.

In addition to AAFC, there are five other organizations that make up what is known as the agriculture and agri-food portfolio:

the Canadian Dairy Commission (CDC) , which oversees pricing, policy co-ordination and marketing for the Canadian dairy sector;
the Canadian Food Inspection Agency (CFIA) , which delivers all federal inspection services related to food, animal health and plant protection;
the Canadian Grain Commission (CGC) , which is responsible for grain quality and quantity assurance, research, and producer protection;
Farm Credit Canada (FCC) , which delivers financial services to all sectors of agriculture -- primary producers, value-added businesses and suppliers; and
the National Farm Products Council (NFPC) , which supervises the operations of national marketing agencies or promotion and research agencies established under the Farm Products Agencies Act.

The Minister is also responsible for the Canadian Wheat Board (CWB) , which markets wheat, durum wheat and barley grown in Western Canada around the world.

AAFC Portfolio

RPP Structure

This Report on Plans and Priorities (RPP) is aligned with Agriculture and Agri-Food Canada's Management, Resources and Results Structure (MRRS), which provides a standard basis for reporting to parliamentarians and Canadians on the alignment of resources, program activities and results. The department's MRRS is made up of strategic outcomes, its Program Activity Architecture (PAA), and a description of its governance structure.

Strategic outcomes are long-term and enduring benefits to Canadians that reflect the department's mandate and vision. They represent the difference the department intends to make in the lives of Canadians, and they are linked to Government of Canada priorities and expected results.

The PAA is an inventory of all programs and activities undertaken by the department. The programs and activities are depicted in a logical and hierarchical relationship to each other and to the strategic outcome to which they contribute. For any given department, the PAA may map to several strategic outcomes and usually consists of multiple program activities, sub-program activities and sub-sub-program activities. It should be noted that as work continues on Growing Forward during 2008-09, AAFC will be looking at new programming that meets the objectives of the new policy framework.

This RPP reflects the structure of Agriculture and Agri-Food Canada's existing strategic outcomes and PAA.

AAFC's 2008-09 Program Activity Architecture

Security of the Food System	Health of the Environment	Innovation for Growth
Business Risk Management (BRM)	Environment	Innovation & Renewal
Margin-based Programs	Direct On-Farm Programming	Science Policy & Coordination
Net Income Stabilization Account and Other Business Risk Management Programs	Pest Management Programs	Agriculture Transformation Programs
	Environmental Health Science	Agriculture Transformation Programs
Disaster Programs	National Land and Water Information Service	Renewal Programs
Insurance Programs	Land and Water Stewardship	Sustainable Production Systems
Financial Guarantee Programs	Land and Water Stewardship	Sustainable Production Systems
AgriInvest	Community Pastures Program	Bioproducts and Bioprocesses
AgriInvest	Community Pastures Program	Office of Intellectual Property and Commercialization
Food Safety and Food Quality		Matching Investment Initiative
Food Safety and Food Quality Programs
Food Safety and Food Quality Science		Rural and Co-operatives Secretariats
Markets & International		Rural
International Trade Agreements (WTO, etc.)		Co-operatives
Canadian Agriculture and Food International Program		Canadian Pari-Mutuel Agency
International Science Co-operation
Technical Trade
International Capacity Building
Sector Development and Analysis
Branding Management / Value Chain Round Tables
Market Access and Market Development
Trade Disputes
Regional Operations
National Farm Products Council

Legend
	Strategic Outcome
	Program Activity
	Program Sub-Activity

Voted and Statutory Items Displayed in the Main Estimates

($ millions)
Vote or Statutory Item	Truncated Vote or Statutory Wording	Main Estimates 2008-2009	Main Estimates 2007-2008
1	Operating Expenditures	530.8	605.9
5	Capital Expenditures	32.0	28.6
10	Grants and Contributions	379.0	595.8
15	Pursuant to Section 29 of the Financial Administration Act, to authorize the Minister of Agriculture and Agri-Food, on behalf of her Majesty in Right of Canada, in accordance with terms and conditions approved by the Minister of Finance, to guarantee payments of an amount not exceeding, at any one time, in aggregate the sum of $1,500,000,000 payable in respect of cash advances provided by producer organizations, the Canadian Wheat Board and other lenders under the Spring Credit Advance Program and $1,500,000,000 payable in respect of cash advances provided by producer organizations, the Canadian Wheat Board and other lenders under the Enhanced Spring Credit Advance Program.	0.0	0.0
20	Pursuant to Section 29 of the Financial Administration Act, to authorize the Minister of Agriculture and Agri-Food, on behalf of her Majesty in Right of Canada, in accordance with tems and conditions approved by the Mininster of Finance, to guarantee payments of amounts not exceeding, at any time, in aggregate, the sum of $140,000,000 payable in respect of Line of Credit Agreements to be entered into by the Farm Credit Corporation for the purpose of the renewed (2003) National Biomass Ethanol Program.	0.0	0.0
(S)	Contribution Payments for the AgriStability Program	655.2	-
(S)	Contribution Payments for the AgriInsurance Program	388.7	-
(S)	Contribution Payments for the AgriInvest Program	159.5	-
(S)	Payments in connection with the Agricultural Marketing Programs Act	137.5	138.7
(S)	Contribution Payments for the Agricultural Disaster Relief Program / AgriRecovery	108.4	-
(S)	Contributions in support of the AgriInvest Cost of Production Element	100.0	-
(S)	Canadian Cattlemen's Association Legacy Fund	5.0	5.0
(S)	Loan guarantees under the Farm Improvement and Marketing Cooperatives Loans Act	4.0	4.0
(S)	Grants to agencies established under the Farm Products Agencies Act	0.2	0.2
(S)	Contributions in Support of Business Risk Management Programs under the Agricultural Policy Framework - Canadian Agricultural Income Stabilization Program	-	570.5
(S)	Contributions in Support of Business Risk Management Programs under the Agricultural Policy Framework - Production Insurance	-	407.0
(S)	Contributions in Support of Business Risk Management Programs under the Agricultural Policy Framework - Agriculture Policy Initiatives	-	4.2
(S)	Contributions to employee benefit plans	69.2	74.3
(S)	Minister of Agriculture and Agri-Food - Salary and motor car allowance	0.1	0.1
(S)	Canadian Pari-Mutuel Agency Revolving Fund	-	-
TOTAL DEPARTMENT		2,569.6	2,434.3

(S) denotes a Statutory item

The Main Estimates for 2008-2009 are $2,569.6 million compared to $2,434.3 million for 2007-2008, an increase of $135.3 million. The increase is mainly attributable to funding received for the new suite of BRM programming offset by the sunsetting of the five year APF funding.

To ensure a smooth transition from the Agricultural Policy Framework to Growing Forward, the new policy framework for Canada's agriculture, agri-food and agri-based products industry, Cabinet has approved $300 million for 2008-2009 for non business risk management programming, This funding would be requested through Supplementary Estimates.

The figures have been rounded to the nearest millions of dollars. Figures that cannot be listed in millions of dollars are shown as 0.0. Due to roundng, figures may not add to the totals shown.

Departmental Planned Spending and Full-time Equivalents

($ millions)	Forecast Spending 2007-2008¹	Planned Spending 2008-2009²	Planned Spending 2009-2010²	Planned Spending 2010-2011²
Main Estimates
Business Risk Management	1,272.5	1,763.6	678.0	675.3
Food Safety and Food Quality	120.9	63.1	63.0	63.1
Markets and International	112.0	96.3	96.1	96.2
Environment	331.7	246.8	247.7	247.5
Innovation and Renewal	611.9	425.7	370.7	366.7
Rural and Co-operatives Secretariats	27.0	15.6	13.6	13.6
National Farm Products Council	3.8	5.0	5.0	5.0
Canadian Pari-Mutuel Agency	15.0	13.8	13.3	13.3
Main Estimates (gross)	2,494.8	2,630.0	1,487.5	1,480.6
Less: Respendable Revenue	60.5	60.4	61.7	63.1
Total Main Estimates	2,434.3	2,569.6	1,425.7	1,417.4
*Adjustments (Planned Spending not in Main Estimates):*
Supplementary Estimates:
Funding that will help transition producers from the current Business Risk Programming to the new AgriInvest program	569.1	-	-	-
Funding for the Cost of Production Benefit to assist producers in addressing past income declines due to increases in costs of production over the last four years	406.1	-	-	-
Funding in support of the implementation of the Agricultural Policy Framework	84.0	-	-	-
Funding to set up a disaster relief framework that would provide a coordinated process for federal, provincial, and territorial governments to respond rapidly to agricultural disasters (AgriRecovery Program)	71.0	-	-	-
Contributions in support of Business Risk Management Programs under the Agricultural Policy Framework - Canadian Agricultural Income Stabilization Program	37.0	-	-	-
Funding to facilitate the disposal of tissues that can carry the Bovine Spongiform Encephalopathy (BSE) disease and infect the entire food and animal chain	34.4	-	-	-
Funding to assist producers in British Columbia, Alberta, Saskatchewan and Ontario with purchasing and hauling feed and/or water for animals in an effort to recover from the economic impacts of the 2006 drought	32.6	-	-	-
Funding for investments in sectoral capacity that support the transformation and transition of farmers and agri-food and agri-bioproduct into new areas of opportunity (New Opportunities for Agriculture Initiatives)	31.7	-	-	-
Funding to ensure that agricultural producers have an opportunity to invest and participate in the emerging renewable fuels industry (ecoAgriculture Biofuels Capital Initiative)	30.5	-	-	-
Funding to support the establishment, further development and operations of bioproducts research networks (Agricultural Bioproducts Innovation Program)	28.7	-	-	-
Funding to support the Cover Crop Protection Program in response to flood damage	24.8	-	-	-
Funding to support the Canadian Farm Families Option Program, which provides low income farm families with short-term financial assistance and access to renewal services to improve long-term income	19.0	-	-	-
Funding for the development and implementation of an IM/IT solution that enables efficient and effective delivery of AgriInvest, AgriStability and other future Business Risk Management programs	15.9	-	-	-
Funding to help control the spread and impact of Porcine Circovirus Associated Diseases through the testing and inoculation of hog herds in Canada (Initiative for the Control of Diseases in the Hog Industry - Circovirus Inoculation Strategy)	15.3	-	-	-
Funding for the continuation of capital renewal and maintenance of agricultural facilities across Canada	13.3	-	-	-
Funding to administer a quicker, more flexible Business Risk Management tool for dealing with declines in income	9.8	-	-	-
Reinvestment of royalties from intellectual property and of revenues from sales and services related to research, facilities and equipment	7.8	-	-	-
Funding in support of organizations to facilitate adaptation and rural development within the Agriculture and Agri-Food Sector under the Biofuels Opportunities for Producers Initiative	7.0	-	-	-
Funding to increase the tender fruit sector's viability and profitability by eradicating the Plum Pox Virus in Canada (horizontal item)	6.0	-	-	-
Funding for activities that are essential to the continued implementation of the Public Service Modernization Act (horizontal item)	2.1	-	-	-
Canadian Cattlemen's Association Legacy Fund	2.0	-	-	-
Funding for the Orchards & Vineyards Transition Program to help alleviate the financial burden of transitioning to more competitive stock varieties	1.7	-	-	-
Funding related to the assessment, management and remediation of federal contaminated sites (horizontal item)	1.2	-	-	-
Funding in support of the expansion of co-operatives under the Co-operative Development Initiative	1.2	-	-	-
Transfer from Natural Resources Canada - To support the BIOCAP Canada Foundation	0.6	-	-	-
Funding for the Government of Canada Exhibitions Program and the Government of Canada Rural Exhibits Program (horizontal item)	0.5	-	-	-
Funding to assist producers in Quebec, affected by the golden nematode, more specifically potato producers, in order to provide financial quick relief as well as renewal programming to evaluate longer term implications (Golden Nematode Disaster Program)	0.5	-	-	-
Funding for pest management controls for the evaluation and registration of new low-risk pesticides and increasing the use of evidence-based risk assessments (horizontal item)	0.5	-	-	-
Transfer from Canadian Heritage - For the development of Official Language Minority Communities (Interdepartmental Partnership with the Official Language Communities) (horizontal item)	0.4	-	-	-
Funding in support of the Federal Accountability Act to evaluate all ongoing grant and contribution programs every five years (horizontal item)	0.2	-	-	-
Transfer from Western Economic Diversification - In support of the Minister's Regional Office in Saskatchewan	0.2	-	-	-
Funding to undertake projects related to the development and application of biotechnology (Canadian Biotechnology Strategy) (horizontal item)	0.1	-	-	-
Funding for implementation of the action plan to strengthen Canada's regulatory system and establish a Centre of Regulatory Expertise within the Treasury Board Secretariat (horizontal item)	0.1	-	-	-
Transfer from National Defence - For public security initiatives (horizontal item)	0.0	-	-	-
Funding to prepare for Canada's participation in International Polar Year 2007-2008, an extensive international research program in the Arctic and Antarctic (horizontal item)	0.0	-	-	-
Transfer to Public Service Human Resources Management Agency of Canada - To support the National Managers' Community	(0.1)	-	-	-
Transfer to Public Safety and Emergency Preparedness - In support of the recently acquired responsibilities related to the Minister's Regional Office in British Columbia	(0.2)	-	-	-
Transfer to Foreign Affairs and International Trade - To provide support to departmental staff located at missions abroad	(0.2)	-	-	-
Less: Spending Authorities available within the Vote	(209.2)	-	-	-
Total Supplementary Estimates	1,245.5	-	-	-
Budget Announcement:
Total Budget Announcement	-	-	-	-
Other:
Operating Budget Carry Forward	31.5	-	-	-
Employee Benefit Plan (EBP)	5.7	-	-	-
Collective Agreement Salary Increases	4.1	-	-	-
Internal Audit	0.4	-	-	-
Assuring Program Continuity in the Implementation of the Growing Forward Policy Framework	-	300.0	-	-
Next Generation of Agriculture and Agri-Food Policy Non-BRM (Growing Forward)	-	-	300.0	300.0
Business Risk Management Suite Programs - Income Stabilization	-	217.6	844.3	846.3
Action Plan for the Agricultural Sector - Enhanced Negative Margin Coverage	-	25.0	25.0	25.0
Funding for the development and implementation of an IM/IT solution that enables efficient and effective delivery of AgriInvest, AgriStability and other future Business Risk Management programs	-	19.4	12.8	-
Initiative for the Control of Diseases in the Hog Industry	-	16.7	18.7	7.2
Funding to set up a disaster relief framework that would provide a coordinated process for federal, provincial, and territorial governments to respond rapidly to agricultural disasters (AgriRecovery Program)	-	13.3	121.7	121.7
Farm Support - Enhanced Agriculture Support	-	8.2	14.3	11.0
Business Risk Management Suite Programs - AgriInsurance	-	6.5	183.5	189.1
Biotechnology Budget (Genomics)	-	6.0	6.0	6.0
Business Risk Management Suite Programs - AgriInvest Cost of Production Element	-	6.0	106.0	106.0
Business Risk Management Suite Programs - Private Sector Risk Management Partnership	-	4.4	4.4	4.4
Amendments to the Advance Payments Program - Administration	-	1.6	1.5	1.5
Total Other	41.8	624.7	1,638.1	1,618.1
Total Adjustments	1,287.3	624.7	1,638.1	1,618.1
Total Net Planned Spending	3,721.6	3,194.3	3,063.9	3,035.5
Less: Non-Respendable Revenue	30.6	32.7	25.3	25.3
Plus: Cost of services received without charge³	54.2	57.6	57.7	58.4
Total Departmental Spending	3,745.2	3,219.1	3,096.4	3,068.6
Full Time Equivalents (FTEs)⁴	6,705	6,705	6,701	6,700

¹ Forecast Spending 2007-08 reflects the authorized funding levels to the end of the fiscal year 2007-2008 (not necessarily forecast expenditures).

² Planned spending reflects funds already brought into the department's reference levels as well as amounts to be authorized through the Estimates process (for the 2008-2009 through to 2010-2011 planning years) as presented in the Annual Reference Level Update. It also includes adjustments in future years for funding approved in the government fiscal plan, but yet to be brought into the Department's reference levels.

³ Cost of services received without charge include accommodation provided by Public Works and Government Services Canada (PWGSC), contributions covering employer's share of employees' insurance premiums and expenditures paid by Treasury Board of Canada Secretariat (TBS), Worker's compensation coverage provided by Human Resources and Social Development Canada (HRSDC) and salary and associated expenditures of legal services provided by the Department of Justice Canada. See details in the Services Received Without Charge Table on the Website.

⁴ In addition to the FTEs noted above, in 2007-2008 there are 109 FTEs employed by AAFC funded by respendable revenue sources from collaborative research projects with industry, and other activities not funded through AAFC appropriations. Also, 381 FTEs were employed as students. Data for 2008-2009 to 2010-2011 similarly does not make any provision for staff funded through respendable revenue sources or students.

Note: The above amounts include funding for all rotes as well as statutory amounts.

The Planned Spending for 2008-2009 is $3,194.3 million compared to $3,721.6 million for 2007-2008, a difference of approximately $527.3 million. This is largely attributable to 2007-2008 including Budget 2007 items (i.e. $1.0 billion for Cost of Production and AgriInvest Kickstart) partially offset by increases in 2008-2009 related to the new suite of BRM programming and reprofiling of Action Plan funding.

The figures have been rounded to the nearest millions of dollars. Figures that cannot be listed in millions of dollars are shown as 0.0. Due to rounding, figures may not add to the totals shown.

Summary Information

Departmental Resources (total net planned spending)

2008-2009		2009-2010		2010-2011
$ millions	FTE *	$ millions	FTE *	$ millions	FTE *
3,194.3	6,705	3,063.9	6,701	3,035.5	6,700
* Full Time Equivalents

Departmental Priorities

Name	Type
1. Business Risk Management	Ongoing
2. Food Safety and Food Quality	Ongoing
3. Markets and International	Ongoing
4. National Farm Products Council	Ongoing
5. Environment	Ongoing
6. Innovation and Renewal	Ongoing
7. Rural and Co-operatives	Ongoing
8. Canadian Pari-Mutuel Agency	Ongoing

Program Activities by Strategic Outcomes

	Expected Result	Planned Spending (Net) ($ in millions)			Contributes to priority:
	Expected Result	2008-2009	2009-2010	2010-2011	Contributes to priority:
Security of the Food System Strategic Outcome
Business Risk Management	Increased producer capacity to manage business risks	2,080.3	2,002.0	1,976.5	1
Food Safety and Food Quality	Protecting the health of Canadians by improved farming practices and processes that lead to increased food safety Increased availability to consumers of high-quality, health-enhancing food products	97.2	97.1	97.1	2
Markets and International	A competitive sector that has the necessary attributes to strategically position itself to take advantage of new market opportunities, and / or to reposition itself to protect against changing market risks Access to export markets is maintained and expanded	127.7	127.5	127.5	3
National Farm Products Council	The supply management system for poultry and eggs works in the balanced interests of producers and consumers	5.3	5.3	5.3	4
Total Security of the Food System		2,310.5	2,231.9	2,206.5
Health of the Environment Strategic Outcome
Environment	Reduced environmental risk from agriculture and agri-food sector, ensuring environmental sustainability of the sector in support of Canada's environmental policies	389.2	388.7	387.1	5
Total Health of the Environment		389.2	388.7	387.1
Innovation for Growth Strategic Outcome
Innovation and Renewal	Participating farmers and farm families meet their financial goals Agriculture and agri-food sector develops sector-based, innovative, market-focused strategies that utilize science to transform commodities into new value-added or bioproduct opportunities for processors, producers and rural communities and new life-sciences products for consumers	465.2	416.3	415.0	6
Rural and Co-operatives	Innovative economic communities benefiting from economic opportunity	29.5	27.5	27.5	7
Canadian Pari-Mutuel Agency	Pari-mutuel betting is conducted in a way that is fair to the Canadian betting public	0.0	(0.5)	(0.6)	8
Total Innovation for Growth		494.7	443.3	441.9
Total		3,194.3	3,063.9	3,035.5

The Planned Spending for 2008-2009 is $3,194.3 million compared to $3,063.9 million for 2009-2010, a difference of approximately $130.4 million. This is largely attributable to reductions related to the following programs:

in the Business Risk Management (BRM) Program Activity funding for facilitating the disposal of Specified Risk Materials (SRM)
and in the Innovation & Renewal Program Activity funding for the Canadian Farm Families Options Program, the ecoAgriculture Biofuels Capital Initiative, Agricultural Bioproducts Innovation Program and the Orchards and Vineyards Transition Program.

The figures have been rounded to the nearest millions of dollars. Figures that cannot be listed in millions of dollars are shown as 0.0. Due to rounding, figures may not add to the totals shown.

Operating Environment

There are many issues that affect the state of the sector today and will continue to shape the industry well into the future.

Canada's farmers, farm families and farming communities are the heart of Canadian agriculture and agri-food, and play an important role in Canada, from both an economic and social perspective. The agriculture and agri-food sector, which comprises primary agriculture, food and beverage processing, and distribution, including retail and food service outlets, accounts for approximately eight per cent of the country's GDP. In 2006, it generated $137 billion in consumer sales in Canada, exported more than $32 billion in agriculture and food products (including seafood), and contributed almost $7.1 billion to Canada's overall trade surplus. It employs about two million Canadians, representing one of every eight jobs in the country.

Ensuring the sector has the tools it needs to continue this contribution is key to maximizing its long-term profitability and competitiveness, while meeting growing market and consumer demands for safe food and environmental stewardship.

The agriculture and agri-food sector is constantly changing and evolving. While this poses challenges for the sector, it also provides enormous potential for all stakeholders to benefit. New markets, better access to existing markets and scientific advances are the keys to achieving a competitive and prosperous future for the sector. Growing Forward will help ensure the sector is best positioned to take advantage of this potential.

Opportunities and Challenges

Production risks

Agricultural production carries inherent risk and uncertainty. There are several factors posing increasing threats to the ongoing capacity of the sector to produce, including the weather, long-term climate change, pests and disease, increased risk of pandemics affecting both animals and people, and increased competition for land and water for agriculture use.

Such threats underline the importance of focusing on biosecurity and the need to proactively prepare for and prevent the impact of potential threats before they occur, while strengthening the capacity of the sector to respond to and recover from crises when they do.

Market and trade conditions

Canada produces far more agriculture and food products than it consumes. As a result, the agriculture and food sector and the country rely heavily on export markets. Canada has traditionally found great success internationally, based on the quality and diversity of the goods it produces.

Several factors are limiting the ability of Canadian producers to compete in the global market. Competition from low-cost suppliers, coupled with more complicated and varied consumer tastes, makes meeting market demands increasingly challenging for the various segments of the value-chain.

Some factors impacting the Canadian agriculture and food sector now, and that could continue to have an impact in future years, include:

an increasingly liberalized international trading environment;
the impact of the appreciating Canadian dollar on traded commodities and agricultural inputs;
increased prices for agricultural inputs such as feed, fertilizer and fuel;
increased competition from low-cost and high-subsidy countries in bulk commodity markets, and a declining market share for some sectors in Canada;
agricultural and other policies implemented by other countries;
an increasing demand from domestic and international consumers for healthy and environmentally sustainable food and related products, with certification playing an increasingly important role for ensuring market access (e.g. organics).

Several of these factors have contributed to the current income crisis facing Canadian livestock producers. Decreasing prices, increasing input costs, a strengthened Canadian dollar and regulatory compliance costs are making it difficult for producers and processors to meet their financial obligations.

To successfully compete in global markets, the sector must be forward-looking and have access to the right information to identify and respond to emerging trends ahead of Canada's competitors.

There is a need to continue providing the tools necessary to encourage adaptation that enables the sector to achieve lower costs, penetrate higher-value markets and achieve greater profitability. Given that Canada relies heavily on exports for the success of the sector, governments also need to work to ensure continued access to existing markets and to gain access to new ones.

Consumer demands

Consumers at home and around the world are seeking more from their food, including greater choice, greater assurance of safety, and better information to help them make healthier choices. Consumers are also becoming more aware of the relationship between agricultural production and the environment.

Thus, considerable scope exists for the sector to further deliver greater food safety, environmental, and health and wellness benefits to consumers. Strong food safety systems will help promote consumer confidence in Canadian agricultural products, both at home and in key export markets, and will demonstrate what the Government of Canada is doing to protect the environment and promote food safety.

Canada has an excellent, longstanding reputation for producing safe food for Canadian and global consumers. This will continue, but the customer of the future for Canada's agriculture and agri-food sector will go beyond purchased food. The potential for production beyond food opens new possibilities such as biofuels and industrial materials.

Increasing innovation

To excel in today's global marketplace, Canada must capitalize on its natural endowments as well as its strengths: the skills and knowledge of its people; its research and development capacity; and its strong production and regulatory systems. Segments of the sector are already competing successfully and are at the forefront of innovation, but that competitive success will need to expand to the sector as a whole.

There is a need for continuous investment in innovation in terms of adoption of new technologies, development of business skills, and understanding of market requirements to enable producers and enterprises to lower costs, penetrate new markets and achieve greater profitability. The sector also needs to focus on product differentiation and value-added opportunities, such as those associated with the bioeconomy, to build a sustainable competitive advantage.

Agriculture will be a central player in the emerging biofuels sector. The Government of Canada's new biofuel strategy supports the development of this emerging sector through a number of initiatives including the intent to regulate an annual average renewable content of five per cent renewable fuel content in gasoline by 2010, and two per cent in diesel fuel and heating oil by 2012.

Indeed, the entire bio-economy holds great promise for Canada's agriculture and agri-food sector. The decreasing cost of biomass, and advances in process technology that allow sustainable mining of biomass as an industrial feedstock are driving new industries in Canada to generate bio-energy and bioproducts. The agriculture and agri-food sector will be a major contributor of the biomass needed to fuel this emerging industry.

The Government of Canada's agenda

AAFC's priorities are also linked directly to the broader agenda and policy direction of the Government of Canada, including:

Advantage Canada ;
the Federal Science and Technology Strategy;
the Renewable Fuels Strategy; and
the Speech from the Throne, notably the pillars building a stronger federation, providing effective economic leadership and improving our environment.

Shared jurisdiction

Recognizing the shared jurisdictional nature of agriculture in Canada, it is important to continue to work closely with provincial and territorial partners to develop effective policies and programs for the sector. Growing Forward will involve continued collaboration among federal, provincial and territorial governments in support of shared priorities for the sector's long-term growth and competitiveness.

In addition, jurisdiction for several factors influencing the competitiveness of the sector, such as international trade and regulatory reform, lies outside of AAFC's mandate. The department works with its portfolio partners and other federal departments to ensure positive outcomes on these and related issues to support the long-term competitiveness and prosperity of the sector.

Growing Forward A New Strategic Response

For the agriculture and agri-food sector to adapt and respond to the changing market and production realities, the sector must continue to move beyond the production of traditional bulk commodities, to take full advantage of new opportunities and to keep pace with, and effectively respond to, changing market demands.

While significant progress has been made, the expiry of the Agricultural Policy Framework (APF) at the end of March 2008 provides an opportunity to better position the sector to succeed. The APF was an important investment towards broader transformation across the sector. Growing Forward will build on this investment.

The 2008-2009 fiscal year will be a transition period from the APF to Growing Forward, a transformative policy framework that supports an industry that is competitive in international and domestic markets, generates economic returns to the sector and the Canadian economy as a whole, and meets growing market and consumer demands for safe food and environmental stewardship.

Programs will be evaluated, adjusted, and a new strategic plan embraced by all partners will be put in place to respond to industry requirements. New performance indicators will be developed under Growing Forward to make clear AAFC's commitment to putting farmers first. In the meantime, Canada's agriculture ministers have sought authorities from their governments to continue existing programs under the current APF for up to one additional year while Growing Forward programs are being developed and implemented.

The framework also recognizes that not all provinces are alike. Federal, provincial and territorial programs will include provisions to allow for regional differences. Federal, provincial and territorial governments also recognize that there are instances where more flexible program design and implementation could increase the sector's ability to meet objectives, while taking into account the existing delivery mechanisms of the provinces and territories. Flexibility in program design and delivery, on a provincial/territorial basis, will result in innovative programming that: responds quickly to emerging priorities; advances key objectives, including those established in the framework; and is more responsive to provincial and territorial needs.

Departmental Plans and Priorities

Within the framework of agriculture and agri-food policy, AAFC seeks to achieve results under its three strategic outcomes:

Security of the Food System: A secure and sustainable agriculture and agri-food system that provides safe and reliable food to meet the needs and preferences of consumers;
Health of the Environment: An agriculture and agri-food sector that uses environmental resources in a manner that ensures their sustainability for present and future generations; and
Innovation for Growth: An innovative agriculture and agri-food sector that develops food and other agriculture-related products and services in order to capture opportunities in diversified domestic and global markets.

During the next three years, AAFC and its portfolio partners will pursue key program activities under each of these three strategic outcomes to advance the agriculture and agri-food agenda and help ensure the best quality of life for all Canadians.

However, as the APF comes to an end and the transition is made to Growing Forward, the department will redefine its strategic outcomes during 2008-09. These new outcomes will provide the framework within which AAFC will report to Parliament and central agencies on plans, expenditures and performance in subsequent years.

Growing Forward: New Strategic Outcomes

AAFC is developing and refining new strategic outcomes for 2009-10, as Growing Forward is fully implemented. These new outcomes are expected to reflect the following:

A Competitive and Innovative Sector
A Sector that Contributes to Society's Priorities
A Sector that is Proactive in Mitigating Risk

As such, there will be a cross over between the existing strategic outcomes and the new strategic outcomes over the course of the year, but the department's existing strategic outcomes will still apply for the 2008-09 reporting period.

Strategic Outcome: Security of the Food System

A secure food system is one that is profitable and can be relied upon by consumers to provide the products they want and need. Through the Security of the Food System strategic outcome, AAFC, along with its portfolio partners the Canadian Food Inspection Agency and the Canadian Grain Commission, aims to ensure Canada can continue to produce, process and distribute safe and reliable food. To achieve this, the country needs an agriculture and agri-food sector that is healthy, stable and viable.

The department's approach to achieving Security of the Food System is based on ensuring farmers and food producers have the tools they need to manage business risks, maintaining and enhancing consumer confidence in the safety and quality of Canada's agriculture and agri-food products, and sustaining and expanding access to global markets.

Program Activity: Business Risk Management

Farming in Canada requires a comprehensive and proactive approach to managing risk. Through BRM programming, AAFC, together with its provincial and territorial government and industry partners, will work to increase farm income stability for farmers. It will also aim to mitigate the impact of disasters on producers and reduce the financial impact of production losses caused by natural disasters, and encourage greater producer investment in their operations.

The 2008-09 fiscal year will mark a change in the way the department approaches BRM programming. While previous income-stabilization programs provided record-levels of assistance, the expiry of the APF provides an opportunity to make advancements in programming to address issues identified through consultations between governments and industry. New income-stabilization programming is being introduced to build on experience gained with past programs and provide producers across the country with more responsive, predictable and bankable assistance. This includes giving producers more control over a portion of such assistance through a savings-account approach to smaller income declines while evolving to an improved margin-based approach to address larger income declines.

Program Activity: Food Safety and Food Quality

Maintaining and enhancing public confidence in the safety and quality of food products is vital to the economic sustainability of Canada's agriculture and agri-food sector. Consumers continue to demand more information and greater assurances about the safety and quality of the food they eat, and they require healthy, nutritious products to help achieve the best possible quality of life. Enhancing Canada's food safety and quality systems and ensuring a stronger link between health and food products will require AAFC to continue to work with its portfolio partners and other federal organizations, provincial and territorial governments, producers and processors, for a horizontal and cohesive approach.

To this end, AAFC will work with all partners in 2008-09 to increase the number of government-recognized food safety control systems developed and implemented across the country, enhance human health and wellness through food, nutrition and innovative products, enhance the quality of food and the safety of the food system, and enhance the security and protection of the food supply.

Over the long term, the new policy framework, Growing Forward will focus on implementing food safety systems within high risk areas of the food system chain. A sector that is seen by the public and its trading partners as a participant in a highly effective Canadian food safety regime, will reap the benefits of being consumers' choice the world over.

Program Activity: Markets and International

Canada relies on international trade for economic growth, and the agriculture and food sector plays a major role in the country's trade success. While Canadian producers and processors have helped Canada earn a strong reputation as a reliable supplier of safe, innovative and high-quality agriculture and food products, there is constant pressure on the sector from other competitors and the trade practices and policies of countries around the world. Understanding market requirements is necessary to innovate and succeed in key emerging sectors, such as the bio-economy and health and wellness products, and in key markets. AAFC will need to work closely with the agriculture and food sector to ensure they have the tools and information to optimize profitability. Ensuring Canada's producers and processors maintain and enhance their reputation, exports, ability to seize market opportunities, and access to international markets will require a continued co-ordinated effort from all partners.

All of these activities come together in support of the Government of Canada's focus on the Americas. AAFC manages the agricultural components of free trade negotiations with Peru, Colombia and the Central America Four, cooperates actively with Brazil and Cuba and represents Canadian interests at the Inter-American Institute for Co-Operation on Agriculture.

Among its Markets and International activities in 2008-09, AAFC, together with its portfolio partners, will continue to support initiatives and strategies that enhance market opportunities and success for Canadian agriculture and food producers and processors, and work to re-open and expand markets for a variety of products. The department will also continue to collaborate with other departments and agencies and work with foreign governments to influence the development of technical trade policies, measures and international standards that reflect domestic Canadian policy, regulatory practices, and priorities and ensure the interpretation and implementation of existing or new international obligations or procedures do not unnecessarily or unfairly restrict Canadian exports.

The department will continue to negotiate multilateral and bilateral trade agreements that are in the best interests of the Canadian sector, and defend Canada's policies and programs against challenges brought by other countries, as well as challenge policies and programs of other countries that negatively affect Canadian interests.

Under the Growing Forward framework, the department will provide the tools to industry organizations and individuals to support their strategic planning. It will provide an environment, and foster skills for export development success. The department will also build supportive institutions to promote Canadian products.

Program Activity: National Farm Products Council

The National Farm Products Council will continue to promote efficient, competitive Canadian agriculture. It will help to improve farm-product marketing between Canadian provinces and territories and internationally.

Specifically, in 2008-09, NFPC will ensure that the supply management system for poultry and eggs as well as the national check-off system for beef works in the balanced interests of all those involved in the regulated products industries, from producers to consumers.

Strategic Outcome: Health of the Environment

Canadian farmers have repeatedly demonstrated that they are valuable stewards of the country's environmental resources. They already plan for and adopt many good environmental farm practices, which not only safeguard resources but also help boost the profitability of their operations. At the same time, it is clear that significantly more must be done to protect the environment as farming production is intensified and increasing numbers of consumers choose to base their buying decisions on a desire to support environmental sustainability.

Environmentally, AAFC supports the agriculture and agri-food sector through technical advice and a suite of program activities in air, water, soil, and biodiversity to ensure environmental resources are used in a way that maintains their sustainability for present and future generations.

Program Activity: Environment

In 2008-09, AAFC and its portfolio partners will work with farmers, industry, governments, environmental organizations, and citizens to reduce environmental risk of the agriculture and agri-food sector and foster improved environmental stewardship of agricultural resources, including air, water, soil, and biodiversity. The department will develop new and improved beneficial management practices (BMPs) and will work to increase adoption by the sector of these BMPs, as well as responsible land- and water-use practices. AAFC will also strengthen its efforts to assess and report on economic and environmental benefits achieved by the adoption of BMPs and other practices by agricultural producers.

Together with Health Canada's Pest Management Regulatory Agency , AAFC will also support the development and adoption by farmers of new pest management practices and the introduction of new technologies that reduce pesticide risk at the farm level.

The department will complete the implementation of the National Land and Water Information Service in support of enhanced agricultural policy development and analysis, as well as improved program delivery.

Under Growing Forward, the department will work with the sector to continue to improve the understanding of agriculture's impact on water quality, of agriculture's ongoing water requirements, and improving agricultural systems to minimize pollution and risk while maximizing economic opportunities.

Strategic Outcome: Innovation for Growth

New knowledge is essential to increased farm profitability, sustainable growth, competitiveness of the agriculture and agri-food sector, and the economic success of Canada's rural communities. Science generates knowledge on which the sector can build innovations to achieve greater job creation, profitability and competitiveness. Innovation transforms that knowledge into benefits for Canadians. It is the process by which ideas for new and improved products and services are developed and commercialized in the marketplace.

Within a challenging global environment, there are new domestic and international opportunities emerging for agriculture, particularly concentrated around niche markets and in the emerging bioeconomy. Production of innovative value-added products, processes and services enhances profitability for the agricultural sector, including agricultural producers. Innovation and private sector investment are key drivers for commercialization of these new products, processes and services. However, public investment to support industry led innovation is required to share the risks and accelerate commercialization.

Program Activity: Innovation and Renewal

The application of science and innovation is aimed at transforming the sector by equipping it with new business and management skills, helping it become a leader in the bio-economy and application of bioproducts, assisting with the development of new knowledge-based production systems, and developing strategies to capture new opportunities.

To this end, AAFC will continue to support innovation and competitiveness in the agricultural industry by reducing barriers for agricultural producers to participate in the emerging biofuels industry, and by supporting industry-led innovation strategies across agricultural value chains and sharing the risk of bringing new technologies into the market place.

In 2008-09, AAFC will further implement its Science and Innovation Strategy, while also complementing the objectives of Canada's federal Science and Technology Strategy, Mobilizing Science and Technology to Canada's Advantage . Through the realization of these strategies, and as part of the Growing Forward framework, the department will work directly with the sector to create an innovative climate that enhances the competitiveness of the agriculture and agri-food sector.

Linked with advances in science and technology is continuous learning, designed to help ensure producers have the skills, knowledge and tools required to capitalize on new opportunities and increase farm profitability. Through Renewal programming, in 2008-09 AAFC will work toward increased adoption by farmers of sound business management practices designed to strengthen their operations and improve their financial situations.

Growing Forward will build on these activities and address obstacles that inhibit sector adjustment to market realities. It will align policy with other government departments to ensure there are no impediments to sector competitiveness, and reduce regulatory impediments relating to the introduction of processes and products.

Program Activity: Rural and Co-operatives

Rural Secretariat

The challenges faced by rural communities, such as skilled labour force shortages and global economic downturns in resource industries also affect all natural resource sectors, including agriculture.

Over the last ten years, the Canadian Rural Partnership (CRP) has helped build a knowledge base about rural issues and started putting in place the partnerships and tools necessary to help rural communities achieve economic sustainability. The CRP has worked with rural stakeholders to test different approaches to determine the most effective ways to assist rural communities achieve prosperity and economic success.

While the Rural Secretariat will continue to build knowledge about rural issues and enabling strategies, it will increase its activities to build synergies, to engage rural and cross-governmental and pan-governmental partners, to develop strategies that will enable rural communities to use their innovative capacity to capture the value of local amenities, and achieve greater local economic competitiveness. This will support greater growth and prosperity for rural Canadians, as well as for the agriculture and other natural resource sectors.

Through the Rural Secretariat, the CRP is renewing its rural development focus and will build strategic partnerships in rural communities where the government is already targeting investments.

Co-operatives Secretariat

The co-operative business model has been an effective self-help tool helping Canadians and communities address their challenges and capture economic opportunities. However, lack of awareness of the co-op model and the lack of access to co-op specific expertise limits the development of co-operatives.

Since 2003, the Secretariat, through the Co-operative Development Initiative (CDI) has invested, in partnership with the co-op sector to enhance the capacity to support the development of co-operatives to enable them to provide greater economic benefits to Canadians. Over the last year, CDI provided a specific focus in agriculture (Ag-CDI), helping farmers capture opportunities in bio-fuels and other value-added areas. The Co-operatives Secretariat also developed knowledge about innovative ways for co-operatives to address challenges and capture opportunities for the development of communities.

The Secretariat will continue to support co-op development capacity. It will also build on the knowledge gained through CDI innovation projects to develop a renewed strategy, in close collaboration with all levels of government to enhance the partnership with the sector and other stakeholders to address challenges and capture opportunities and realize benefits for Canadians through the development of co-operatives. The co-op model is particularly suited to contribute to greater competitiveness and community sustainability in key areas such as agriculture, rural, remote and aboriginal communities.

Program Activity: Canadian Pari-Mutuel Agency

The Canadian horse racing industry has undergone significant transformation over the last number of years, both in response to developments specific to the horse racing market, and in response to the emergence of a broader and more competitive gaming environment.

In recognition of this changing landscape, the Canadian Pari-Mutuel Agency (CPMA) initiated a comprehensive review of its regulatory framework. This review has included consultations with industry stakeholders and examination of similarly-mandated regulatory authorities, and has lead to the development of a package of proposed regulatory changes. These proposed changes are consistent with the Cabinet Directive on Streamlining Regulations, and will promote a modern, effective, and efficient regulatory model.

While initiatives supporting the regulatory review will continue to be advanced, the CPMA will also continue to fulfill its responsibility to approve and supervise the conduct of pari-mutuel betting at racetracks and betting theatres across the country, and will provide services, including the Equine Drug Control Program, that promote the integrity of the horse racing industry.

Management Priorities

AAFC conducts its operations with the accountability, transparency and oversight called for in the Federal Accountability Act and Action Plan and associated federal government measures. These new measures include streamlining financial management policies, strengthening access to information legislation, reforming the procurement of government contracts, strengthening auditing and accountability within departments, and ensuring a fair, economical and efficient delivery of grants and contribution programs.

AAFC is also responding to the new Management, Resources and Results Structure (MRRS), which supports a common, government-wide approach to the collection, management and reporting of financial and non-financial performance information. The department recognizes that the MRRS Policy reinforces the government's commitment to strengthen its expenditure management and accountability by providing a standard basis for reporting to Canadians and Parliament on the alignment of departmental resources, program activities and results. Through the MRRS, management and accountability, in accordance with the Management Accountability Framework, will be reinforced at AAFC. It should be noted that the department's MRRS will be evergreen; it will be updated as required throughout 2008-09 to reflect the new Growing Forward framework.

To respond to the Clerk of the Privy Council's priorities, as set out in the Public Service Renewal Action Plan, AAFC has established strategic objectives for HR that are aligned with the priorities of the plan. Through these objectives, AAFC continues to improve upon the integration of its vital HR planning with the departmental business planning process, augment competency based leadership development, implement learning and performance tools, and further invest in technology to enable the more complex people management regime we envision. New tools will improve the department's ability to monitor and report on its performance, and will help identify opportunities to enhance future business activities.

In short, AAFC constantly strives to make the best possible use of taxpayers' dollars. The Expenditure Management System (EMS) plays a key role in helping the department achieve this goal. The EMS requires the ongoing review of programs and spending to reduce expenditures and identify opportunities for reallocation to higher priority programs, and provides for parliamentary and public input into the Budget and expenditure planning process. It enhances accountability through a focus on performance and better public information, and it also fosters improved long-term strategic planning and the adjustment of programs and services to available resources through the implementation of departmental Business Plans.

Corporate Management

The corporate management function at AAFC will continue to help co-ordinate business planning and results-based management within the department. Integral to these planning and reporting functions is risk management. As part of risk management, the department will identify key internal and external risks facing the organization, capturing them in its Corporate Risk Profile. Planning and ongoing review by executives and managers helps strengthen the department's ability to anticipate, mitigate and deal with these risks.

The recently passed Emergency Management Act states that every Minister is to “identify the risks that are within or related to his or her area of responsibility - including those related to critical infrastructure - and to do the following in accordance with the policies, programs and other measures established by the Minister:

prepare emergency management plans in respect of those risks;
maintain, test and implement those plans; and
conduct exercises and training in relation to those plans.

The department has delegated responsibility for supporting the Minister in fulfilling his functions under the Emergency Management Act to its Markets and Industry Services Branch. The department's Corporate Management Branch is now responsible for managing risks to AAFC's operations.

AAFC, with its portfolio partners, is reviewing and updating the National Disaster Assistance Framework with the aim of issuing a new Emergency Management Framework to help better manage and co-ordinate the sector-wide response to emergencies, as well as those emergencies occurring within AAFC sites. As part of this framework, the department, along with its portfolio partners, is developing a plan detailing how the portfolio will respond in the event, however remote, of an influenza pandemic.

Business Continuity Planning continues to evolve within AAFC with all branches having completed a first round of plans. These plans will be finalized and exercised during the 2008-09 reporting period.

Citizen-focused Service

AAFC and its portfolio partners are committed to a client-focused approach to service delivery, and to achieving measurable improvements in response to client expectations. The department is guided by its Service Delivery Strategy, which aims to put AAFC, with its provincial and territorial partners, in a leadership role in the design and implementation of citizen-centred, responsive programs and services that contribute to a profitable and sustainable agriculture and agri-food sector.

Understanding clients and their needs is what drives service excellence at AAFC. In 2007-08 a survey of producers was undertaken to determine the drivers of service quality based on the five government-wide service delivery themes: communication, minimizing burden, fair treatment, outcome and timeliness. This survey will assist AAFC in monitoring its performance, setting service delivery priorities and better understanding the service experience of producers while providing a view of the organization from the perspective of producers as well as offering a valuable insight with respect to the reputation and image of the organization through this same lens.

The department will undertake further client surveys to determine levels of satisfaction, service quality drivers and priorities for improvement. AAFC will continue with its implementation plans to have service standards for all Growing Forward programs and services in place within three years. Performance information will be closely tracked and measured in an ongoing, integrated fashion.

As part of an ongoing effort to ensure information, programs and services are easily accessible, AAFC will develop, along with its provincial and territorial partners, a common federal-provincial-territorial service excellence approach for all Growing Forward programs and services. This common approach will help provide clients with integrated, single-window access to these programs, regardless of the deliverer.

Portfolio collaboration

The six organizations within the Agriculture and Agri-Food Portfolio - AAFC, the Canadian Dairy Commission, the Canadian Food Inspection Agency, the Canadian Grain Commission, Farm Credit Canada and the National Farm Products Council - have different mandates, but together aim to make Canada's agriculture and agri-food sector stronger and more sustainable. Many issues facing the sector, including animal health, business risk management, food safety, the new Growing Forward policy framework, science and innovation, and World Trade Organization negotiations, are horizontal in nature and require input and co-ordination among many stakeholders.

In this environment, portfolio collaboration helps ensure coherent policy and program development and is instrumental in effectively managing challenges in the agriculture and agri-food sector. AAFC, together with its portfolio partners, will continue to take an integrated approach toward developing policy and addressing major issues that cross organizational responsibilities. For instance, AAFC and the other organizations in the portfolio will continue to work closely to ensure the effective implementation of the Growing Forward policy framework.

At the same time, AAFC will continue to foster good governance at all levels of the portfolio in striving to meet the government's commitments to accountability and sound management. In addition, through effective portfolio collaboration, AAFC is better equipped to present its plans and results to Parliament in a cohesive manner.

People Management

AAFC's People Framework is based on the principles of staffing and promotion, learning and development and an inclusive culture. The framework enables the department to deliver on the Public Service Renewal priorities of planning, recruitment, employee development and enabling infrastructure through the following strategic outcomes for people management: dynamic planning; effective and efficient resourcing; competency-based leadership and development; employee performance management for results; and a productive and inclusive environment.

AAFC will continue to leverage technology and the flexibilities afforded by the Public Service Modernization Act to enable more efficient staffing and give HR advisors more time to provide advice and service related to complex cases. The department's Fast Track Staffing system, a web-enabled portal for AAFC managers to submit staffing requests, has been identified as a best practice and has been applied within other federal departments as a result.

Initiatives for 2008-09 will be based on forward-looking assessments of needs and will include the expansion and addition of online staffing tools for managers, innovative recruitment activities including a student bridging database, continued development and updating of the online inventory of work descriptions and their matching with statements of merit criteria and competency profiles; and an increased use of pooled staffing.

The department will continue to introduce technological enhancements so that its HR infrastructure best meets PSMA requirements, supports the Corporate Administrative Shared Service's Early Adopter's initiative, and improves its capability to monitor progress through clearly defined business process documentation and accountability.

Continued integration of HR planning and business planning in 2008-09 will ensure the department has the capacity needed to meet business requirements, which will be important as the department makes the transition to Growing Forward.

Information Management and Technology

AAFC has developed a strategic framework for Information Management and Information Technology (IM/IT) that will serve as an umbrella for housing all departmental IM/IT strategies and their associated roadmaps. The framework, built against the backdrop of Government of Canada and departmental directions, as well as industry trends, has four strategic outcomes:

effective delivery of client centered programs, services and information;
a pervasive culture for leveraging, sharing, managing information with associated competencies;
effective support for enterprise management excellence; and
sound management of information and technology assets.

These four strategic outcomes will be used to deliver on the three lines of IM and IT business: infrastructure; application and information management with support from architecture; and policies and planning.

A key piece for the successful implementation of the Strategic framework will be a Business Model which will articulate how services, funding and governance for IM and IT will be managed within AAFC.

Parliamentary Committee Reports

On December 12, 2007, the House of Commons Standing Committee on Agriculture and Agri-Food tabled its Report on the Beef and Pork Sector Income Crisis. The report examines the causes behind the acute income crisis facing hog and cattle producers, and makes recommendations on how to address the crisis.

In preparing its report, the Committee met with several witnesses, including the Canadian Cattlemen's Association, the Canadian Meat Council, the Canadian Pork Council, Fédération des producteurs de bovins du Québec, Fédération des producteurs de porcs du Québec, and Maple Leaf Foods Inc.

The situation has implications for both short-term and transitional measures to alleviate the worst effects of the crisis and for longer-term measures, such as adjustments to ongoing business risk management programs, to improve the competitiveness of the industry in the long run. Recommendations by the Committee focus on measures that could help provide some much needed cash flow (in the short-term), and adjustments to current programming to ease the burden of current conditions (in the long-term).

Under the Standing Orders, a government response is required within 120 calendar days of the presentation of the report. A response is expected in April 2008.

The report is available at the following site:

http://cmte.parl.gc.ca/Content/HOC/committee/392/agri/reports/rp3194677/392_AGRI_Rpt01-e.html

Section II - Analysis of Program Activities by Strategic Outcome

Strategic Outcome: Security of the Food System

Through the Security of the Food System strategic outcome, AAFC aims to ensure Canada's agriculture and agri-food sector can continue to produce, process and distribute safe and reliable food. To achieve this, the country needs a sector that is healthy, stable and viable.

The department's approach to ensuring Security of the Food System is based on ensuring farmers and food producers have the tools they need to manage business risks, maintaining and enhancing consumer confidence in the safety and quality of Canada's agriculture and food products, and sustaining and developing global markets by both seizing opportunities and expanding access in those markets.

To achieve the Security of the Food System strategic outcome, AAFC works through the departmental program activities of Business Risk Management, Food Safety and Food Quality, and Markets and International. The National Farm Products Council also contributes to this strategic outcome.

Program Activity: Business Risk Management

Enhancing producers' capacity to manage risk, and increasing the sector's viability and profitability
Expected Results		Performance Indicator		Target
increased producer capacity to manage business risks		producers have the tools, knowledge and opportunity to manage business risk		70% of producers representing 80% of farm receipts participate in BRM programs by March 31, 2009
Planned Spending
2008-09		2009-10		2010-11
$2,080.3M	1,295 FTEs *	$2,002.0M	1,295 FTEs *	$1,976.5M	1,295 FTEs *
* Full Time Equivalents

Business risk management (BRM) programming is designed to help ensure producers have the capacity needed to mitigate risks by providing the necessary tools. By effectively managing risk, producers can focus on seeking out new opportunities to strengthen their ability to produce safe and innovative food and non-food products for consumers at home and around the world.

The 2008-09 fiscal year will bring changes to the structure and delivery of BRM programming in Canada. With the expiry of the Agricultural Policy Framework (APF) in March 2008, and pursuant to extensive consultations with both government and industry stakeholders from across Canada, the federal government committed to replacing existing programs and specifically addressing disaster assistance outside of income-stabilization programming. Federal, provincial and territorial ministers of agriculture agreed in principle and, as such, the new Growing Forward policy framework will guide the remaining development of the replacement for the current APF. As part of this, ministers agreed to an open and seamless transition to new BRM programs that are more responsive, predictable and bankable for farmers.

In previous years producers had access to the Canadian Agricultural Income Stabilization (CAIS) program. It was designed to provide income stabilization and disaster protection under a single program, helping producers protect their farming operations from both small and large drops in income due to circumstances beyond their control. Since the CAIS program was first implemented in 2003, several events (i.e. BSE, droughts, floods, etc.) and more general circumstances in the sector (i.e. declining commodity prices) have led to criticisms of the program. The primary complaints have been that the program does not provide timely assistance, nor does it provide a predictable level of assistance.

Timeliness is an issue because CAIS payments are issued only after the producer files income tax for the program year. The complexity of the calculations used to determine program benefits limit the ability of producers to predict their program benefits. These issues conspire to severely limit producers' bankability of program benefits - the ability to use expected benefits as collateral for credit.

A new suite of BRM programs

To ensure BRM programming is simple, responsive, timely, predictable, and bankable, while also providing greater flexibility, a new suite of BRM programs will be available to producers in 2008-09. These programs, which will form an integral part of the new Growing Forward framework, include:

AgriStability , an improved margin-based program providing support when a producer experiences larger farm income losses (i.e. declines of more than 15 per cent);
AgriInvest , a savings account for producers, supported by governments, that provides coverage for small income declines and replaces the top tier (15 per cent) of margin-based assistance;
AgriRecovery , a disaster relief framework providing a co-ordinated process for federal, provincial and territorial governments to respond rapidly when natural disasters strike; and
AgriInsurance , the suite of programs, including Production Insurance, Cover Crop Protection Program and Private Sector Risk Management Partnerships, designed to assist producers with the management of economic losses caused by specific natural perils (weather, pests, disease) as well as assistance for the development of tools that can be provided by the private sector to producers for the management of risk.

Because these programs are new for the 2008-09 fiscal year, they are discussed in greater detail below.

AgriStability

Starting with the 2007 program (tax) year, AgriStability will replace the coverage for income declines greater than 15 per cent under what was the CAIS program, while maintaining the margin-based approach for these larger income declines. Consultations with industry and governments in late-2006 and early-2007 indicated support for maintaining two fundamentals of such programming: the margin-based approach and whole-farm principle. This program will incorporate all the program design and service delivery enhancements to improve the predictability and responsiveness of margin-based programming.

Some key enhancements to the margin-based approach to income stabilization assistance include:

the replacement of the producer deposit requirement with a more affordable fee;
the inclusion of a better method of valuing inventories;
broader eligibility criteria for negative margin coverage;
a targeted advance mechanism for disaster situations, building on the interim payment feature; and
improved service delivery (including a late filing option, automatic sign-up, electronic filing, online calculators, a harmonized Income Tax/CAIS form, reduced information requirements, common service standards, and clearer program statements and communications).

AgriInvest

Through AgriInvest, producers will be able to self-manage, through producer-government savings accounts, the first 15 per cent of their margin losses for a production year. Annual producer deposits will be matched by government deposits (cost-shared 60:40 by federal and provincial governments) into producers' accounts.

AgriInvest will address several of the shortcomings of previous margin-based stabilization programming under the CAIS program. In May 2007 the federal Auditor General expressed concern about the complexity and rigidity of CAIS and the timing of payments under the program. AgriInvest will help address these issues through a simpler and more predictable method of calculating program benefits, as well as by providing producers with timely access to accumulated balances in their accounts. Overall, AgriInvest will improve the responsiveness, predictability and bankability of the new BRM program suite by providing producers with a secure and accessible source of income assistance to address small drops in farm income. The program introduces a proactive element to the traditionally reactive BRM programming suite. Producers will have the flexibility to use the funds to address declines in income or make investments to reduce on-farm risks or increase farm revenues. AgriInvest will provide coverage starting with the 2007 program (tax) year.

To assist producers in the transition to the new suite of BRM programs, the Government of Canada is providing $600 million to kick-start AgriInvest accounts.

AgriRecovery

Federal, provincial and territorial governments have often provided assistance against the immediate impacts of a disaster through ad hoc disaster funding and programming. While these ad hoc programs have allowed a more tailored response to disasters, there is currently no clear model to quickly get these programs up and running when and where they're needed most. This can result in an uncoordinated and lengthy program development and implementation process, which can impede the ability of governments to provide quick and effective disaster support when it is needed most.

AgriRecovery will help focus the coordination effort by clearly defining what constitutes a natural disaster, and providing fast-tracked programs to quickly fund initiatives in response to natural disasters when they occur. This will speed up the program design and implementation period and allow governments to get disaster assistance payments out to producers when they are needed most. AgriRecovery will facilitate the process for governments to provide short-term, timely assistance to help producers re-establish their income and contain the long-term impacts after a disaster.

AgriInsurance

AgriInsurance will comprise existing programs including Production Insurance (PI), Private Sector Risk Management Partnerships (PSRMP) and the Cover Crop Protection Program (CCPP), and will be extended to livestock and additional commodities. In 2008-09:

PI will aim to reduce the financial impact on producers of production losses caused by uncontrollable natural perils, and work with the provinces will continue on the development of coverage options for livestock;
PSRMP will assist with development of new private sector risk management tools for agricultural producers; and
CCPP will provide financial assistance for producers affected by excess soil moisture in designated areas.

Financial Guarantee Programs

In addition to the new suite of BRM programs, producers will continue to have access in 2008-09 to financial guarantee programs designed to help ensure producers have access to adequate operating cash and credit. These programs include the Advance Payments Program (APP), and the Farm Improvement and Marketing Cooperatives Loans Act (FIMCLA) program.

The Advance Payments Program is a financial loan guarantee program that gives producers access to credit through cash advances. The maximum advance available under the program is $400,000, of which up to $100,000 can be interest-free. The APP offers improved cash flow throughout the year and better opportunities for marketing their agricultural products.

The purpose of the Farm Improvement and Marketing Cooperatives Loans Act and Regulations is to increase the availability of loans for improvement and development of farms and the processing, distribution or marketing of farm products by co-operative associations. For individual applicants, including corporations, the maximum amount for a FIMCLA loan is $250,000; for co-operatives associations, the maximum is $3-million for the purpose of processing, distribution or marketing the products of farming on a co-operative basis. Each member or shareholder of the co-operative must be a farmer.

To ensure the FIMCLA program can continue to meet the needs of producers, legislative changes will have to be made to the Act. This is a key initiative for 2008-09; the success of the FIMCLA program will depend upon these legislative changes being made in a timely fashion. Further consultations and marketing activities will also have to take place to ensure the private lenders are aware of the program changes and requirements.

Program Activity: Food Safety and Food Quality

Minimizing the risk and impact of food-borne hazards on human health, increasing consumer confidence and improving the sector's ability to meet or exceed market requirements for food products, and provide value-added opportunities through the adoption of food safety, food quality and traceability systems
Expected Results		Performance Indicators		Target
protecting the health of Canadians by improved farming practices and processes that lead to increased food safety		percentage of producers adopting improved food safety practices		65% by March 31, 2010
increased availability to consumers of high-quality, health-enhancing food products		increase in dollars in sales/revenues for functional foods and nutraceuticals		TBD
Planned Spending
2008-09		2009-10		2010-11
$97.2M	585 FTEs*	$97.1M	585 FTEs*	$97.1M	585 FTEs*
* Full Time Equivalents

While Canadian agriculture and agri-food products have earned the confidence of consumers and markets around the world, demands and expectations regarding the safety of the food continue to increase, and Canadians and other consumers are putting a greater focus on getting the maximum health benefits from their foods.

The Government of Canada works with provincial and territorial governments and portfolio and industry partners to uphold Canada's reputation for food safety, and ensure all consumers continue to get nutritious, high-quality and innovative food and food products. To achieve this, AAFC works through two key activities: Food Safety and Food Quality Programs, and Food Safety and Food Quality Science.

In 2008-09, the department will continue to work through the Canadian Food Safety and Quality Program (CFSQP) , a three-part program that provides agriculture and agri-food sector with financial assistance to develop and implement food safety, traceability and quality process control systems. This financial assistance supports industry, on-farm and potentially post-farm national associations in the process of obtaining government recognition of their food safety systems.

As the department and all partners make the transition to the new Growing Forward framework, work in 2008-09 will focus on ensuring continued delivery of current programming to clients, and developing and rolling out new programs under Growing Forward.

From a science standpoint, AAFC will strive to achieve three main goals through its work in the area of food safety and food quality:

enhancing human health and wellness through food, nutrition and innovative products, including working to better understand the relationship between food and human health and wellness, and provide scientific evidence to support approval of new classes of functional foods;
enhancing the quality of food and the safety of the food system, including developing science strategies and tools to identify points of entry of hazards, their detection and monitoring as well as developing methods to control them at all stages - from production to consumption; and
enhancing the security and protection of the food supply, including developing and applying physical and biological systems models to predict the probable spread, behaviour and impact of threats to the security and protection of Canadian food production and distribution systems.

Government recognized agri-food safety control systems throughout the entire food chain will continue to grow throughout 2008-09, and new and improved technologies will begin to be developed to produce food with enhanced safety and quality attributes.

Through science, the number of health benefits from functional foods and nutraceuticals will continue to increase and be recognized and endorsed by official standards.

AAFC will also work towards the adoption of physical and biological system-based models that predict the probable spread, behaviour and impact of threats (intentional or not) as well as detection and mitigation tools, techniques and strategies.

Program Activity: Markets and International

Expanding international opportunities for the Canadian agriculture and food sector
Expected Results		Performance Indicators		Target
a competitive sector that has the necessary attributes to strategically position itself to take advantage of new market opportunities, and/or to reposition itself to protect against changing market risks		increase in value of domestic shipments in the agri-food (including seafood) and beverage sectors		$5 billion by March 31, 2013
access to export markets is maintained and expanded		increase in number of markets where we export over $50 million		5% by March 31, 2013
access to export markets is maintained and expanded		number of markets maintained at an export level of $100 million or more		32 by March 31, 2013
Planned Spending
2008-09		2009-10		2010-11
$127.7M	671 FTEs*	$127.5M	671 FTEs*	$127.5M	671 FTEs*
* Full Time Equivalents

Agriculture and Agri-Food Canada helps advance Canada's agricultural trade interests, working to break down trade barriers, build market alliances, expand international markets opportunities, and help the agriculture and food sector seize new opportunities. Together with portfolio, government and industry partners, the department strives to improve, secure and maintain market access to international markets for agriculture and food products, develop markets by helping the sector take advantage of market opportunities in established and emerging markets, and promote and defend the interests of Canadian farmers and agri-food processors in various international trade negotiations and through trade litigation.

In 2008-09, AAFC will continue to work to ensure the sector is well-prepared to meet the opportunities and challenges resulting from global economic developments by negotiating trade agreements and arrangements that reflect the market access priorities of the agriculture sector. In particular, this means striving for a result at the World Trade Organization (WTO) that is in the best interests of all parts of the agriculture and agri-food sector. To complement its efforts at the WTO, the department will support the Government of Canada's commitment to the successful conclusion of bilateral free trade negotiations, especially with key markets in the Americas. Work will also continue towards re-opening and expanding markets for Canadian agri-food exports, including beef, cattle, pork, pulses, canola, wheat, and potatoes.

AAFC will continue to collaborate with other departments and agencies and work with foreign governments to influence technical trade policies, measures and international standards that support Canadian market access interests, as well as the federal government's policy and regulatory priorities. The department will also work to ensure the interpretation and implementation of existing or new international obligations or procedures do not unnecessarily or unfairly restrict Canadian exports. AAFC will continue to work to reduce non-tariff barriers, to ensure technical trade is not applied in a way that it becomes a disguised restriction on import trade.

In addition, the department will continue to strengthen industry competitiveness through the value-chain roundtable process by engaging stakeholders in the development of long-term, strategic plans to address gaps, leverage strengths and identify new market opportunities. The work of the value-chain roundtables will foster continued growth in industry and provincial support of the Canada Brand strategy. The brand will facilitate industry success in creating awareness of, and differentiating, Canadian agri-food capabilities and products internationally through the Canada Brand, the Brand Promise, public messaging, visuals and logos.

The Canadian Agriculture and Food International program will continue to work in partnership with and provide support to agriculture, food and seafood industry associations to increase exports and open new markets in the global economy. International Science cooperation will also enhance Canadian trade.

In addition, negotiations with provinces will be increased to sign new, renewed or transitional federal-provincial agreements.

Program Activity: National Farm Products Council

Overseeing, promoting and strengthening the activities of the Canadian Egg Marketing Agency, Canadian Turkey Marketing Agency, Chicken Farmers of Canada, Canadian Broiler Hatching Egg Marketing Agency, and monitoring the activities of the Canadian Beef Cattle Research, Market Development and Promotion Agency
Expected Results		Performance Indicators		Target
the supply management system for poultry and eggs works in the balanced interests of producers and consumers		producers maintain their relative percentage share of the Canadian market for hatching eggs and chicks, chicken, turkey, and table eggs, contingent on current production shares		80% by March 31, 2009
Planned Spending
2008-09		2009-10		2010-11
$5.3M	30 FTEs*	$5.3M	30 FTEs*	$5.3M	30 FTEs*
* Full Time Equivalents

Established in 1972 through the Farm Products Agencies Act, the National Farm Products Council (NFPC) is a unique quasi-judicial agency reporting to Parliament through the Minister of Agriculture and Agri-Food.

The Farm Products gencies Act provides for the creation of national marketing agencies and promotion research agencies. The NFPC supervises these agencies by ensuring that they carry on their operations in accordance with the objectives set out in the Act.

These agencies are:

1) the Canadian Egg Marketing Agency
2) the Canadian Turkey Marketing Agency
3) the Chicken Farmers of Canada
4) the Canadian Hatching Egg Producers and
5) the Canadian Beef Cattle Research Market Development and Promotion Agency

The NFPC is headed by a Chairperson (Deputy Minister equivalent) and is composed of up to nine council members (GIC appointees), including the Chairperson. At least half of these members must be primary producers at the time of their appointment. Furthermore, 20 FTEs (full-time equivalents) support overall operations of the NFPC.

Working with the agencies it supervises, the NFPC promotes more effective marketing of farm products in interprovincial and export trade. It is also an active proponent of portfolio management by providing comprehensive advice to the Minister of Agriculture and Agri-Food and the government on all things relating to the establishment and operation of agencies under the Act. The NFPC also maintains relations with provincial governments.

The NFPC also administers the Agricultural Products Marketing Act (APMA) on behalf of Agriculture and Agri-Food Canada.

Specific plans for the NFPC in 2008-09 include:

Monitoring the activities of farm products marketing and promotion research agencies, ensuring that the national supply management and check-off system work in the balanced interest of all stakeholders;
Refining the exercise of the NFPC's regulatory and oversight mandate to facilitate Council operations and decision-making process as well as the timely management and resolution of complaints;
Enhancing the NFPC's interface with industry stakeholders and provincial governments to increase awareness of the Council's role, facilitate and improve coordination within the Canadian supply management system; and
Strengthening the NFPC's operational principles and practices through efficient and transparent financial and human resources management policies and practices, consistent with the Government of Canada's Management Accountability Framework in order to ensure a cohesive and productive organization, ready to meet future challenges.

Strategic Outcome: Health of the Environment

Farmers and the entire sector, governments, environmental organizations, and all Canadians share the goals of sustainable resource development to ensure both an economically vibrant agriculture and agri-food sector and a healthy environment and society. Through the Health of the Environment strategic outcome, AAFC works with all partners to help mitigate impacts on the environment from agriculture and position the sector to better deal with the risks environmental factors may pose to production, and achieve environmental sustainability.

Program Activity: Environment

An agriculture and agri-food sector that uses environmental resources in a manner that ensures their sustainability for present and future generations
Expected Results		Performance Indicators		Target
reduced environmental risk from agriculture and agri-food sector, ensuring environmental sustainability of the sector in support of Canada's environmental policies		improvement in the four agri-environmental indices: soil quality, water quality, air quality, and biodiversity (these are based on a combination of available agri-environmental indicators as published in the AAFC document titled Environmental Sustainability of Canadian Agriculture - Agri-Environmental Indicator Series)		each of the four indices showing an improving trend by March 31, 2014
Planned Spending
2008-09		2009-10		2010-11
$389.2M	1,940 FTEs*	$388.7M	1,940 FTEs*	$387.1M	1,940 FTEs*
* Full Time Equivalents

AAFC has a range of activities and initiatives relating to air, water, soil, and biodiversity supporting the agriculture and agri-food sector that contribute to providing Canadian and international consumers with high-quality food and fibre that has been produced using environmentally sound crop and livestock management practices. These initiatives significantly contribute towards securing the sustainability of the Canadian agriculture and agri-food sector and the quality of environmental resources for present and future generations.

To this end, in 2008-09, AAFC will complete work on strategies to ensure the sustainability of agricultural water and land resources, and develop action plans for the effective implementation of these strategies. The department will also complete implementation of the National Land and Water Information Service (NLWIS) , and carry out plans for the Service's transition from a Major Crown Project to an ongoing service within AAFC.

Beneficial management practices (BMPs) - practices that encourage farmers to balance agricultural production with environmental protection - will play a key role in AAFC's plans for 2008-09. The department will continue to provide assistance to producers to help accelerate adoption of BMPs to address key environmental risk issues identified in producers' environmental farm plans.

Through its research and development functions, in alignment with the departmental Science and Innovation Strategy , AAFC will also continue to investigate and develop innovative BMPs for use by the sector, and develop other approaches to help producers and other stakeholders manage environmental risks associated with current farming systems in Canada and meet public expectations related to sound use of the resource base. Through direct on-farm programming, stewardship by agricultural producers of soil, water, air and biodiversity will continue to improve. This will be achieved in part through an increased understanding, and adoption of, environmental BMPs by the agriculture and agri-food sector in the management of land, water air and biodiversity resources.

AAFC and federal, provincial and territorial partners also have a key role to play in managing the agriculture and agri-food sector's contribution to broad federal initiatives designed to decrease greenhouse gas emissions, help Canada adapt to climate change, and preserve water sources and water quality. These will be important activities during 2008-09 and beyond. The department will continue to contribute to federal water and climate change policy and program development in a way that supports sustainable growth of the sector while ensuring the environmental interests of Canadians are met.

Under Growing Forward in 2008-09 and beyond, AAFC will build on this work by assisting the sector in developing and contributing solutions to broad environmental challenges, while staying profitable and competitive.

The agriculture and agri-food sector faces challenges and opportunities. Increasing populations require increased production. At the same time, there is societal pressure to minimize environmental impacts from production. Opportunities must be assessed for market competitiveness and for environmental sustainability. There is also potential to explore market opportunities to transferring environmental benefits that are generated by agriculture to other sectors.

Strategic Outcome: Innovation for Growth

Increased global competition, consumer concerns about health and the environment and the continued introduction of innovative agricultural-based products and technologies into the marketplace present new opportunities and challenges for the sector.

Success in the marketplace today requires advanced technology and the latest knowledge to address the rapidly changing environment in which the sector competes. Canada has long been effective at generating new knowledge through investment in research, however there is significant opportunity for the country to be more effective in applying this knowledge to create new technologies, products and services. While there is a good foundation and capacity for innovation in Canada, there is a need to improve the transformation of this scientific and technical knowledge into commercial and other practical applications that enhance the profitability and competitiveness of the sector.

As farming operations become more knowledge-intensive, producers need to continually increase their skills and knowledge in areas ranging from managing financial and human resources to mastering innovative technologies, products and practices, so they can stay competitive. By acquiring new skills, adopting new technologies, maximizing efficiencies in operations, or changing product mixes, those who earn their livelihood from Canadian agriculture and agri-food will have a greater likelihood of profitability.

The sustainability and competitive position of Canada's agriculture and agri-food sector will depend on all stakeholders working together to develop new opportunities across the country.

Program Activity: Innovation and Renewal

Equipping the industry with new business and management skills, bioproducts, knowledge-based production systems and strategies to capture opportunities and manage change
Expected Results		Performance Indicators		Target
participating farmers and farm families meet their financial goals		percentage of participating farmers and farm families who are meeting their financial goals		50% by March 31, 2014
agriculture and agri-food sector develops sector-based, innovative, market-focused strategies that utilize science to transform commodities into new value-added or bioproduct / biofuels opportunities for processors, producers and rural communities and new life-sciences products for consumers		percentage increase in venture capital investment in agriculture-related enterprises (biotechnology and further food processing)		10% by March 31, 2014
Planned Spending
2008-09		2009-10		2010-11
$465.2M	2,013 FTEs*	$416.3M	2,013 FTEs*	$415.0M	2,013 FTEs*
* Full Time Equivalents

AAFC is one of the most significant contributors to agricultural science and technology research in Canada, and as such, is committed to ensuring its investments and efforts in science and innovation remain relevant to Canada's agriculture and agri-food sector and all Canadians. Providing science solutions to the new challenges and opportunities facing the sector and Canadians is driving a new era of adaptation and focus at the department.

AAFC will also continue to encourage innovation and competitiveness in the agriculture and agri-food sector by reducing the barriers for agricultural producers to participate in the emerging biofuels industry, and by supporting industry led innovation strategies across agricultural value chains. AAFC recognizes that it must take a leadership role to support industry-led innovation by strengthening the industry's innovation capacity across the agricultural value chains, through services for market and business development, and support to accelerate bringing new products, technologies and opportunities into the market place.

At the same time, as producers strive to meet the demands of this changing environment, strategic business planning and continuous education are becoming increasingly important. Providing producers with the tools and knowledge they need to make business decisions based on good knowledge and skills, helps to strengthen the performance of individual agricultural operations and the sector as a whole.

Over the coming year, through the Growing Forward policy framework, AAFC will explore new options with governments, academia, industry, and the community, and will develop an overall Science and Innovation action plan that will make the best possible use of scientific resources in support of the sector. In addition, AAFC will work with the sector to foster a climate for innovation that encourages investment to ensure long-term profitability and growth.

Innovation

Science and Innovation programming will continue to support research in those areas most important to Canadians such as health and wellness, security of the food system and health of the environment. Through its external and internal evaluation of research proposals, the department will continue to ensure excellence in conducting and managing science and research efforts, and alignment with the sector's and Canadians' priorities, as outlined in AAFC's Science and Innovation Strategy.

This external and internal evaluation process demonstrates the department's support for the Government of Canada's commitment to transparent decision-making, value for money and accountability for results in the delivery of its activities and services to Canadians.

The department will also focus on creating an innovation culture, developing new collaborative initiatives and creative approaches to transferring and sharing new knowledge and technology among stakeholders that will lead to new opportunities for processors, producers and rural communities.

The department will support the agriculture and agri-food sector's efforts throughout the innovation continuum and the stages of commercialization - from the idea stage to market entry and expansion - through programs like the Advancing Canadian Agriculture and Agri-Food (ACAAF) program and the Canadian Agriculture and Food International (CAFI) program.

AAFC will also encourage producer and sector participation in the emerging biofuels industry helping to diversify their economic base through the ecoAgriculture Biofuels Capital initiative, and programs including the multi-year Agricultural Bioproducts Innovation Program (ABIP), Agri-Opportunities, and the Biofuels Opportunities for Producers Initiative will aim to increase production of new food and agri-based products (such as biofuel) processes and services within Canada.

The department will work to encourage farmers to increasingly adopt innovative agri-based products and technologies for sustainable production, such as an increase of acres seed to AAFC varieties.

In 2008-09 AAFC will develop a Science and Innovation action plan that is aligned with AAFC's Growing Forward framework and addresses the key principles under the Government of Canada's Science and Technology Strategy. Central to the development of the action plan is a systems approach to innovation that emphasizes mechanisms and initiatives that seek to improve co-ordinated action among various players, including government industry and academia. The action plan will focus on three inter-connected objectives:

1) Developing strategic focus and taking collaborative action - Engaging the sector

AAFC will work towards establishing new ways to engage decision-makers from governments, academia and the agriculture and agri-food sector in anticipating emerging economic, environmental and social challenges and opportunities and their implications for sector competitiveness and profitability. The department will also work towards developing and implementing co-ordinated and collaborative actions to capture these opportunities and address related challenges.

The Science and Innovation chapter of the Agricultural Policy Framework adopted the concept of creating several industry-specific innovation value chain initiatives, such as Soy 2020 and Flax Canada 2015. Growing Forward will expand on this concept to create new government-university-industry collaborations in various areas of research and development.

2) Accelerating the flow of science and technology along the innovation continuum - Working with the sector

As new opportunities and challenges arise it will be essential for the sector to continually adapt to remain competitive. The federal Science and Technology Strategy, Mobilizing Science and Technology to Canada's Advantage, seeks to focus funding, build partnerships and leverage Canada's research base in strategic priority areas where the country can maximize its competitive advantage. It also recognizes the need to explore new models for conducting and delivering science and technology.

AAFC will work with the sector to explore new and innovative models for science delivery that will engage industry, governments and academia in developing and mobilizing the scientific community to conduct research on issues of importance to the sector.

This will include the continued implementation of the ABIP which aims to develop new economic opportunities for agriculture in the areas of bioproducts and bioprocesses such as biofuels, other forms of bioenergy, biochemicals, and biopharmaceuticals. It is anticipated the program will support up to 20 research networks, each focused on a promising field of the knowledge-based agricultural economy.

The insights and expertise of Canadian industry, when coupled with scientists' expertise, laboratories and technologies, can be a powerful driver for innovation. AAFC will work with industry partners to develop jointly funded collaborative research initiatives that will seek to assist Canadian entrepreneurs in developing unique agri-based business opportunities, which require further scientific analysis or technical development prior to market introduction.

3) Enhancing the sector's capacity to innovate - Supporting the sector

Through the Growing Forward framework, AAFC will develop programs and services designed to support the sector's need to better connect science providers with entrepreneurs and investors, and enhance access for producer organizations and small- and medium-sized enterprises to essential scientific capacity and expertise available throughout the country.

Renewal

Through Renewal programming, the department will work strategically with the sector to identify new skills and learning opportunities that will provide producers with the tools and abilities they need to be successful in the increasingly knowledge-intensive economy. Key priorities for 2008-09 will include providing farm families with the assistance needed to enhance their skills and knowledge and expand access to tools, advice and information to improve their business prospects and income.

AAFC will also implement a strategy for the transition of existing Renewal programming to the new Growing Forward policy.

Program Activity: Rural and Co-operatives Secretariats

Helping rural Canada develop and maintain strong, adaptable and vibrant communities, and encouraging the economic growth and social development of Canadian society through co-operative enterprise
Expected Results		Performance Indicators		Target
innovative economic communities benefiting from economic opportunity		number of new partnerships bringing together community, industry and stakeholders		6 by March 31, 2009
Planned Spending
2008-09		2009-10		2010-11
$29.5M	114 FTEs*	$27.5M	114 FTEs*	$27.5M	114 FTEs*
* Full Time Equivalents

The federal government recognizes the importance of focusing its efforts in support of rural Canadians. The Rural Secretariat , through the Canadian Rural Partnership (CRP) , co-ordinates federal activities in rural Canada. The Secretariat co-ordinates a government-wide approach to rural citizen engagement in support of rural policy and program development and implementation.

In 2008-09, the Rural Secretariat will continue work with rural stakeholders and across government to build its knowledge base to develop policy options for future programs. The CRP will continue building and maintaining research and policy networks to ensure rural perspective and needs are taken into account by government. The Models Programs will extend the testing of some projects that show greater potential replicability. The Secretariat will also continue ensuring cross-government co-ordination, focusing on communications with rural communities and ensuring awareness of government initiatives in rural Canada, as well as increased sensitivity to the needs and challenges of rural communities and their potential contribution to greater competitiveness and sustainability of agriculture and other natural resource-based sectors.

The federal government also recognizes the contribution of co-operatives as a tool that complements other business models to provide benefits to Canadians. Over the last 20 years, the Co-operatives Secretariat has been working across government to promote a better understanding of the co-operative model of enterprise and to ensure policies and programs are inclusive of co-operatives.

In 2008-09, the Co-operatives Secretariat, through the Co-operative Development Initiative , will continue to work with the co-operatives sector and other stakeholders to build co-operative development capacity and capture new economic opportunities. The Secretariat will continue building its knowledge base from innovative co-operative projects and will work with stakeholders to develop a strategic research agenda. It will continue collecting and providing critical information on co-operatives in Canada.

Program Activity: Canadian Pari-Mutuel Agency

Enhancing CPMA's capacity to manage risk in pari-mutuel betting, thereby helping to protect the betting public against fraudulent activities
Expected Results		Performance Indicators		Target
pari-mutuel betting is conducted in a way that is fair to the Canadian betting public		measure of the compliance with regulations in pari-mutuel betting of Canadian-hosted pools audited by CPMA officers number of compliant Canadian-hosted pools per number of Canadian-hosted pools audited)		95% by March 31, 2009
		measure of the compliance with regulations of betting theatres in Canada (number of compliant betting theatres per number of betting theatres inspected)		95% by March 31, 2009
Planned Spending
2008-09		2009-10		2010-11
$0.0M	57 FTEs*	$(0.5)M	53 FTEs*	$(0.6)M	52 FTEs*
* Full Time Equivalents

Section 204 of the Criminal Code of Canada designates the Minister of Agriculture and Agri-Food as responsible for the policy and regulatory functions pertaining to pari-mutuel wagering on horse races. This is conducted through the Canadian Pari-Mutuel Agency - a special operating agency within AAFC.

In 2008-09, the agency will regulate and supervise pari-mutuel betting on horse racing at racetracks across Canada, thereby ensuring that pari-mutuel betting is conducted in a way that is fair to the betting public. This will include overseeing the operation of pari-mutuel betting systems at racetracks, collecting and analyzing urine and blood samples from horses that compete in races, conducting research that advances the federal government's role in controlling the unlawful use drugs in horse racing, and inspecting betting theatres licensed by the CPMA.

The CPMA will also continue activities supporting a comprehensive review of the regulatory architecture by which pari-mutuel betting is governed, and will conclude a package of regulatory amendments that will help deliver a modern, efficient and effective regulatory model for pari-mutuel betting.

Costs associated with the activities of the CPMA are recovered through a levy on every dollar bet on horse races in Canada. The levy is currently set at eight-tenths of a cent of every dollar bet. This levy constitutes the financial resource base that is the CPMA's Revolving Fund.

Section III - Supplementary Information

Financial Tables

Table 1: Departmental Link to the Government of Canada Outcomes

($ millions)

Strategic Outcome/ Program Activity	Net Planned Spending			Alignment to Government of Canada Outcome Area
Strategic Outcome/ Program Activity	2008-2009	2009-2010	2010-2011	Alignment to Government of Canada Outcome Area
Security of the Food System
Business Risk Management	2,080.3	2,002.0	1,976.5	Economic Affairs: Strong Economic Growth
Food Safety and Food Quality	97.2	97.1	97.1	Economic Affairs: Strong Economic Growth
Markets and International	127.7	127.5	127.5	Economic Affairs: Strong Economic Growth & International Affairs: A Prosperous Canada Through Global Commerce
National Farm Products Council	5.3	5.3	5.3	Economic Affairs: Strong Economic Growth
Total Security of the Food System	2,310.5	2,231.9	2,206.5
Health of the Environment
Environment	389.2	388.7	387.1	Economic Affairs: A Clean and Healthy Environment
Total Health of the Environment	389.2	388.7	387.1
Innovation for Growth
Innovation and Renewal	465.2	416.3	415.0	Economic Affairs: An Innovative and Knowledge-Based Economy
Rural and Co-operatives	29.5	27.5	27.5	Economic Affairs: An Innovative and Knowledge-Based Economy
Canadian Pari-Mutuel Agency	0.0	(0.5)	(0.6)	Economic Affairs: A Fair and Secure Marketplace
Total Innovation for Growth	494.7	443.3	441.9
Total	3,194.3	3,063.9	3,035.5

in the Business Risk Management (BRM) Program Activity funding for facilitating the disposal of Specified Risk Materials (SRM)
and in the Innovation & Renewal Program Activity funding for the Canadian Farm Families Options Program, the ecoAgriculture Biofuels Capital Initiative, Agricultural Bioproducts Innovation Program and the Orchards and Vineyards Transition Program.

The figures have been rounded to the nearest millions of dollars. Figures that cannot be listed in millions of dollars are shown as 0.0. Due to rounding, figures may not add to the totals shown.

Table 2: Sustainable Development Strategy

AAFC's fourth Sustainable Development Strategy (SDS), Making Progress Together can be found on AAFC's website.

1. SDS Departmental Goals: AAFC's fourth SDS presents eight outcomes (goals) to indicate what the Department plans to accomplish by the target date of 2009.
2. Federal SD Goal Including GGO Goals (if applicable)	3. Performance measurement from current SDS (Performance Indicators)	4. Department's Expected Results for 2008-2009
1. The Next Generation of Agricultural Policy is in place and operational	The number of new policy, programs and research initiatives that consider the three pillars of sustainable development as determined through application of the SD Test Questions.	SD Test Questions continue to be applied to upcoming policy, programs and research initiatives.
	A suite of policy, program and research activities in place to support the objectives of the next generation of agricultural policy.	The Growing Forward policy framework and related programming are in place and operational.
	Number of stakeholders (both internal and external) from various disciplines involved in the development of the next generation of agricultural policy.	Building on consultations conducted in 2007-2008, additional consultations will take place to the extent required. Continuous input is received as well from stakeholders through the Growing Forward Website.
2. Government policies, programs, and services increase opportunities for, and mitigate barriers, to sustainable rural community development.	Percentage of federal policies and programs that consider the rural perspective.	A rural perspective will be provided in twenty percent of federal policy and program proposals (the percentage of policies and programs anticipated to have a potential impact on rural communities).
At output (deliverable) level: Link to Federal SD Goals -4.1.1 Communities are well positioned to advance sustainable social development.	Number of partnership plans with key federal, provincial and territorial, and First Nation partners.	Two partnership plans will be created with key federal partners.
4.2.1 Communities are well positioned to adapt and to maintain or generate sustainable economic activities.	Percentage of departments and agencies reached through federal engagement strategy activities including: Rural Teams, Rural Research Network Rural Development Network.	Thirty-five percent of departments and agencies will be reached through federal engagement strategy activities.
3. Increased value-added opportunities for the agri-food sector from innovative use of agricultural bioresources as a result of R&D, technology transfer, and commercialization network activities.	Increased knowledge and technological advances produced by the Agricultural Bioproducts Innovation Program (ABIP) networks with the potential to strengthen Canada's industrial base and generate wealth.	Increased knowledge and technological advances produced by the ABIP networks by negotiating and initiating the implementation of the ABIP agreements (i.e., contribution agreements, memoranda of understanding, network umbrella agreements) in order to fund R&D conducted by the successful networks.
At output (deliverable) level: Link to Federal SD Goal - 3.2.2 Renewable and clean energy is promoted. 3.2.1 Support for clean technology is provided (such as building, transportation, and industrial processes).	Increased number of effective networks/clusters involving Canadian-based researchers.	New effective networks/clusters involving Canadian-based researchers are established. Between 12 and 17 new networks will be established in 2008-09.
	Improving transfer of knowledge, technology and expertise to organizations that can commercialize these innovations.	The transfer of knowledge, technology and expertise is improved through the implementation of technology management plans concerning the protection and application of know-how, show-how and intellectual property developed by the ABIP networks.
	An ABIP that considers each of the three pillars of SD.	ABIP considers each of the three pillars of SD (economic, environmental and social) through the bioproducts research activities of the new networks that focus on the following priority areas of feedstock development, biomass conversion, and bioproduct diversification.
4. Sustainable development is integrated into the Department's decision making and AAFC's fourth SDS is utilized by AAFC employees and external stakeholders.	Increased awareness of sustainable development within the Department	Canada School of Public Service course on sustainable development is promoted at AAFC. Communications Plan for sustainable development is developed and implemented.
At output (deliverable) level: Link to Federal SD Goals - 4.3.1 Canadian communities are actively engaged in sound environmental and natural resource management practices, stewardship initiatives and biodiversity conservation. 5.2.1 Sustainable consumption and production of natural resources is promoted. 6.1.2 Clear and effective governance mechanisms to integrate sustainable development into decision making (e.g. SEA). 6.1.1 SDS commitments are integrated into the key planning and reporting processes of departments and agencies.	Each pillar of SD is taken into consideration together and not in isolation through the application of the SD Test Questions.	Continued application of the SD Test Questions to ensure environmental, economic and social considerations are incorporated into decision making.
5. Information and Tools:	Percentage of new policies, plans and programs that have gone through the SEA process.	SEAs are conducted for upcoming MCs and TB submissions and the results of SEAs are reported on in the submissions
A. Environmental considerations are incorporated into the development of public policies at AAFC on the same level as economic and social considerations	The results of SEAs are accurately reported on in all Memoranda to Cabinet (MCs) and Treasury Board (TB) submissions.
At output (deliverable) level: Link to Federal SD Goal - 6.1.2 Clear and effective governance mechanisms to integrate sustainable development into decision making (e.g. SEA).	Increased knowledge of the SEA requirement and its application in the Department.	AAFC contributes to the evaluation of the Cabinet Directive, which governs SEA, being led by the Canadian Environmental Assessment Agency.
B. Models inform the ongoing policy decision making process for priority agricultural issues by providing integrated quantitative analyses of the economic and environmental impacts.	An improvement in the capacity to predict environmental impacts from agriculture resulting in informed decision making with respect to agricultural policies and programs that are consistent with both economic and environmental objectives.	Improved capacity to predict economic and environmental impacts for the agricultural sector and inform decision-making on agricultural policies and programs.
At output (deliverable) level: Link to Federal SD Goals - 4.2.1 Communities are well positioned to adapt and to maintain or generate sustainable economic activities.	Number of requests for integrated analyses and incorporation of results into the policy decision making process.	Integrated analysis is conducted as requested and the results are incorporated into the policy decision making process. It is anticipated that three or four major studies will be conducted annually related to key policy issues.
6.1.2 Clear and effective governance mechanisms to integrate sustainable development into decision making (e.g. SEA).	The development of the integrated modeling system considers all three pillars of SD (particularly the economic and environmental pillars)	The integrated modeling system focuses on improving the economic and environmental pillars of SD at this time.
C. Initial research is conducted and measures are in place to determine economic values corresponding to bio-physical changes in the environment resulting from agriculture.	Number of stakeholders (both internal and external) from various disciplines involved in the development of AAFC economic valuation studies.	A committee of academics and government officials will be convened to discuss development of valuation research at AAFC.
At output (deliverable) level: Link to Federal SD Goal - 4.2.1 Communities are well positioned to adapt and to maintain or generate sustainable economic activities.	Increased public awareness of the need for, and the practical application of environmental valuation. Number of estimated economic values assigned to environmental effects of specific agricultural practices at specific locations in Canada.	The practical application of full-cost accounting for agriculture will be designed for one watershed in Manitoba. Report expected in March 2008. An Agri-Environmental Valuation workshop will be held in 2009. Two AAFC pilots will conclude in December 2008. These will produce economic values for public environmental benefits in selected watersheds.
D. A suite of social indicators is in place to help monitor and assess trends of social issues affecting the agriculture sector and to inform decision making.	The successful development of a defined social dimension of sustainable agriculture.	The social dimensions of sustainable agriculture critical to innovation and competitiveness are further defined.
At output (deliverable) level: Link to Federal SD Goals - 4.1.1 Communities are well positioned to advance sustainable social development. 6.1.2 Clear and effective governance mechanisms to integrate sustainable development into decision making (e.g. SEA).	Number of links established between social issues affecting the agriculture sector and related economic and environmental issues. Number of methods available for sharing information on social issues affecting the agriculture sector.	Information on social factors affecting the agriculture sector's ability to innovate is integrated into, and shared, through discussion documents related to policy design and implementation.
6. Research:
To increase carbon sequestration in agricultural soils, reduce GHG emissions per unit of production, and enhance the synergy between agriculture and the environment.	Improved communication between researchers, policy makers and producers, by demonstrating an increase in the use of AAFC's GHG calculator for evaluating innovative technologies	Improved communication among identified groups and an increase in the use of AAFC's GHG calculator.
At output (deliverable) level: Link to Federal SD Goal - 3.2.1 Support for clean technology is provided (such as building, transportation, and industrial processes).	Number of confirmed contribution of the program to various offset system pilot projects. Enhanced integration of the three pillars of SD by identifying and promoting farming practices that consider all three pillars of SD.	Scientists in the program helped develop several of the protocols submitted to Alberta Environment. Farming practices such as reduced tillage, reduced summerfallowing and more forage crops in rotation that consider all three pillars of SD are identified and promoted.
7. Work with the sector to apply and perfect integrated approaches:
A. The development of the National Ecological Goods and Services (EG&S) Policy Framework benefits from research gathered through EG&S policy pilot projects and through other research initiatives.	An EG&S policy framework that is science-based will have measurable outcomes for evaluation.	An AAFC cost/benefit analysis of EG&S policy options is currently underway. Results are expected in April 2008.
At output (deliverable) level: Link to Federal SD Goals - 4.2.1 Communities are well positioned to adapt and to maintain or generate sustainable economic activities. 4.3.1 Canadian communities are actively engaged in sound environmental management practices, stewardship initiatives and biodiversity conservation. 5.2.1 Sustainable consumption and production of natural resources is promoted. 5.3.1 Environmentally sustainable use of natural resources is promoted.	An EG&S policy framework that considers each of the three pillars of SD, through application of the SD Test Questions, is in place.	Eight AAFC funded EG&S policy pilot projects will conclude in March 2009. The results are expected to contribute to the development of a national EG&S policy framework. EG&S Policy research meets the following criteria: Provides new information to help examine policy alternatives that efficiently achieve environmental targets; Be based on sound science and utilize a systematic process of planning, objective setting and evaluation to facilitate policy and program development; Assess environmental outcomes and consider economic and social costs and benefits; Seek appropriate involvement and participation by community members affected by the proposed policy or program actions.
B. Increased adoption of and support for applying an Integrated Water Resources Management (IWRM) approach to watershed planning and management activities that will improve the protection of water quality from agriculture impacts, secure water supplies for agricultural needs, and consider the three elements of sustainable development.	Percentage of transferable tools, knowledge activities and instruments that support IWRM and decision making. Percentage of watershed planning and management activities that apply the IWRM approach to managing resources in watersheds.	Transferable tools, knowledge activities and instruments are in place that supports agriculture decision-making and participation in IWRM activities. The IWRM approach is applied to managing agriculture resources in a number of watershed planning and management activities.
At output (deliverable) level: Link to Federal SD Goals - 1.3.2 Knowledge of water resources is increased. 1.2.1 Water efficiency and sustainable water use is improved.	Percentage of partners and watersheds with capacity-building or decision-making tools, plans and instruments that consider the three elements of sustainable development.	Progress in Saskatchewan's Integrated Water Management (IWM) Strategy and IWM Governance model. Minimum of five watershed- based group farm plans or resource-related studies will be developed to support on-farm and watershed level decisions for agri-environmental improvement. Active participation on the interdepartmental Committee on Water Policy where IWRM as a governance model is being promoted.
8. Programs:
A. To develop new co-operatives that respond to the needs of citizens, and that fall into areas of federal priority.	Percentage of co-operatives initiated in new and emerging areas of the economy.	Five percent of new co-operatives are established in new and emerging areas of the economy.
At output (deliverable) level: Link to Federal SD Goal - 4.2.1 Communities are well positioned to adapt and to maintain or generate sustainable economic activities.	Percentage of new co-operatives in areas of federal priority.	Fifty-five percent of new co-operatives are developed in areas of federal priority.
	Percentage of new co-op funded projects within priority areas that integrate the three pillars of SD.	One hundred percent of new co-op funded projects within priority areas integrate the three pillars of SD.
B. Low-income farm families have found ways to increase their family incomes.	Increased on-or off-farm income for farm families.
At output (deliverable) level: Link to Federal SD Goal - 4.2.1 Communities are well positioned to adapt and to maintain or generate sustainable economic activities.	Increased skills of farmers and farm families	The skills of farmers and farm families are being increased through participation in professional services such as Farm Business Assessments and skills training under the Canadian Agricultural Skills Service.
	Enhanced integration of the three pillars of SD (particularly the social and economic pillars).	The integration of the three pillars of SD are enhanced as farmers' social, economic, and environmental circumstances and goals are considered in the provision of farm business services and skills training to meet their needs.

Other Financial Tables

The printed RPP no longer includes detailed financial tables. The following tables are available by visiting the Treasury Board of Canada Secretariat website.

Summary of Transfer Payments by Program Activity
Details of Transfer Payment Programs (TPPs)
Evaluations
Foundations (Conditional Grants)
Green Procurement
Horizontal Initiatives
Internal Audits
Progress Toward the Department's Regulatory Plan
Canadian Pari-Mutuel Agency Revolving Fund
Services Received Without Charge
Sources of Respendable and Non-Respendable Revenue
Status Report on Major Crown Projects
Summary of Capital Spending by Program Activity
User Fees

Section IV - Other Items of Interest

Agriculture and Agri-Food Portfolio

AAFC Portfolio

How to Reach Us

Agriculture and Agri-Food Canada Departmental Contacts

Note: All addresses are at 930 Carling Avenue unless otherwise noted.

General Enquiries
930 Carling Ave.
Ottawa, Ontario K1A 0C5
Tel: 613-759-1000

More information on the department and its activities can be found here.

Minister of Agriculture and Agri-Food and Minister for the Canadian Wheat Board

The Honourable Gerry Ritz

Parliamentary Secretary to the Minister of Agriculture and Agri-Food and for the Federal Economic Development Initiative for Northern Ontario

Guy Lauzon
613-992-2521

Parliamentary Secretary to the Minister of Natural Resources and for the Canadian Wheat Board

The Honourable David Anderson
Tel: 613-992-0657
Email: andersondl@agr.gc.ca

Secretary of State (Agriculture)

The Honourable Christian Paradis
Tel: 613-759-1107
Email: paradisc@agr.gc.ca

Deputy Minister

Yaprak Baltacioglu
Tel: 613-759-1101
Email: baltaciogluy@agr.gc.ca

Associate Deputy Minister

Liseanne Forand
Tel: 613-759-1090
Email: forandl@agr.gc.ca

Branch and Agency Heads

Research
Dr. Marc Fortin
Assistant Deputy Minister
Tel: 613-759-7777

Market and Industry Services
Krista Mountjoy
Assistant Deputy Minister
Tel: 613-759-7561

Strategic Policy
Andrew Marsland
Assistant Deputy Minister
Tel: 613-759-7349

Farm Financial Programs
Nada Semaan
Assistant Deputy Minister
Tel: 613-759-7243

Corporate Management
Pierre Corriveau
Assistant Deputy Minister
Tel: 613-759-6936

Communications and Consultations
Greg Meredith
Assistant Deputy Minister
Tel: 613-759-7985

Human Resources
Steve Tierney
Assistant Deputy Minister
Tel: 613-759-1196

Audit and Evaluation
Laura Ruzzier
Director General
Tel: 613-759-6508

Canadian Pari-Mutuel Agency
Chantale Courcy
A/Executive Director
Room 100, 1130 Morrison Drive
P.O. Box 5904
Ottawa, Ontario K2H 9N6
Tel: 613-949-0742

Prairie Farm Rehabilitation Administration and
National Land and Water Information Service
Jamshed Merchant
A/Director General
Meadowlands Building
Floor 3, Room 300
885 Meadowlands Drive
Ottawa, Ontario K1A 0C5
Tel: 613-759-1712

Rural and Co-operatives Secretariat
Donna Mitchell
Executive Director
Tel: 613-759-7113

Information Systems Team
Rita Moritz
Chief Information Officer
613-759-6122

Legal Services
Heather Smith
General Counsel/Head, Legal Services
613-759-7879

Portfolio Contacts

National Farm Products Council
William Smirle
Chairperson
344 Slater Street
10th Floor
Ottawa, Ontario K1R 7Y3
Tel: 613-995-2298

Canadian Food Inspection Agency
Carole Swan
President
59 Camelot Drive
Nepean, Ontario K1A 0Y9
Tel: 613-221-3737

Farm Credit Corporation
John J. Ryan
President and Chief Executive Officer
P.O. Box 4320
1800 Hamilton Street
Regina, Saskatchewan
S4P 4L3
Tel: 306-780-8100

Canadian Grain Commission
Elwin Hermanson
Chief Commissioner
600-303 Main Street
Winnipeg, Manitoba
R3C 3G8
Tel: 204-983-2737

Canadian Dairy Commission
John Core
Chairman & Chief Executive Officer
Building 55, CEF
960 Carling Avenue
Ottawa, Ontario K1A 0Z2
Tel: 613-792-2060

Review Tribunal
Thomas S. Barton
Chairman
Building 60, CEF
930 Carling Avenue
Ottawa, Ontario
K1A 0C6
Tel: 613-792-2085

Legislation Administered by the Minister of Agriculture and Agri-Food

Acts for which Minister is named in Statute as responsible Minister and that are administered by the Department of Agriculture and Agri-Food

Agricultural Marketing Programs Act S.C. 1997, c. 20
Agricultural Products Marketing Act R.S. 1985, c. A-6
Animal Pedigree Act R.S. 1985, c. 8 (4th Supp.)
Department of Agriculture and Agri-Food Act R.S. 1985, c A-9
Experimental Farm Stations Act R.S. 1985, c. E-16
Farm Debt Mediation Act S.C. 1997, c. 21
Farm Improvement and Marketing Co-operatives Loans Act R.S. 1985, c. 25 (3rd Supp.)
Farm Improvement Loans Act R.S. 1985, c. F-3
Farm Income Protection Act S.C. 1991, c. 22
Livestock Feed Assistance Act R.S. 1985, c. L-10
Western Grain Transition Payments Act S.C. 1995, c. 17

Acts for which Minister is named in an Order in Council as responsible Minister and that are administered by Department of Agriculture and Agri-Food Canada

Prairie Farm Rehabilitation Act R.S. 1985, c. P-17

Acts for which Minister is named in statute as responsible Minister and that are administered by other entities in the Agriculture and Agri-Food Portfolio

Agriculture and Agri-Food Administrative Monetary Penalties Act (CFIA) S.C. 1995, c. 40
Canada Agricultural Products Act (CFIA) R.S. 1985, c. 20 (4th Supp.)
Canadian Dairy Commission Act (CDC) R.S. 1985, c. C-15
Canadian Food Inspection Agency Act (CFIA) S.C. 1997, c. 6
Farm Credit Canada Act (FCC) S.C. 1993, c. 14
Farm Products Agencies Act (NFPC) R.S. 1985, c. F-4
Feeds Act (CFIA) R.S. 1985, c. F-9
Fertilizers Act (CFIA) R.S. 1985, c. F-10
Fish Inspection Act (CFIA) R.S. 1985 c. F-12
Health of Animals Act (CFIA) S.C. 1990, c. 21
Meat Inspection Act (CFIA) R.S. 1985, c. 25 (1st Supp.)
Plant Breeders' Rights Act (CFIA) S.C. 1990, c. 20
Plant Protection Act (CFIA) S.C. 1990, c. 22
Seeds Act (CFIA) R.S. 1985, c. S-8

Act for which Minister is named in an Order in Council as responsible Minister and that are administered by other entities in the Agriculture and Agri-Food Portfolio

Canada Grain Act (CGC) R.S. 1985, c. G-10

Act for which other ministers are responsible but that confer powers on the Minister

Criminal Code (Section 204) (Minister of Justice) R.S. 1985, c. C-46

Act for which a minister is named in an Order in Council as responsible and that are administered partially by the Department of Agriculture and Agri-Food

Canadian Wheat Board Act R.S. 1985, c. C-24

Acts for which another minister is responsible and that are administered partially by other agencies in the Agriculture and Agri-Food Portfolio

Consumer Packaging and Labelling Act (Minister of Industry/CFIA) R.S. 1985, c. C-38
Food and Drugs Act (Minister of Health/CFIA) R.S. 1985, c. F-27

APPENDIX A - List of Web Sites

Agriculture and Agri-Food Canada
Advance Payment Programs (APP)
Advancing Canadian Agriculture and Food Program (ACAAF)
Agricultural Bioproducts Innovation Program
Agricultural Marketing Programs Act (AMPA)
Agricultural Policy Framework (APF)
Agri-Opportunities Program
Biofuels Opportunities for Producers Initiative
Business Risk Management (BRM)

Canadian Agricultural Income Stabilization (CAIS)
Canadian Agricultural Skills Service (CASS)
Canadian Agriculture and Food International (CAFI) program
Canadian Dairy Commission (CDC)
Canadian Farm Business Advisory Services (CFBAS)
Canadian Farm Families Options Program (Options)
Canadian Food Inspection Agency (CFIA)
Canadian Food Safety and Quality Program (CFSQP)
Canadian Grain Commission (CGC)
Canadian Pari-Mutuel Agency (CPMA)
Canadian Rural Partnership (CRP)
Canadian Wheat Board
Co-operative Development Initiative
Co-operatives Secretariat
Cover Crop Protection Program

Enhanced Spring Credit Advance Program (ESCAP)
Environment
Environmental Farm Plans (EFP)
Farm Business Assessment
Farm Credit Canada (FCC)
Farm Debt Mediation Service (FDMS)
Farm Improvement and Marketing Cooperatives Loan Act (FIMCLA)
Food Safety and Quality

Greencover Canada
Growing Forward
International Business
Management Accountability Framework (MAF)
Management, Resources and Results Structure

National Agri-Environmental Health Analysis and Reporting Program (NAHARP)
National Farm Products Council (NFPC)
National Farm Stewardship Program
National Land and Water Information Service (NLWIS)
National Water Supply Expansion Program (NWSEP)

Pesticide Risk Reduction
Pest Management Regulatory Agency (PMRA)
Planning Assessment for Value-Added Enterprise (PAVE)
Prairie Farm Rehabilitation Administration (PFRA)

Renewal
Rural Secretariat

Science and Innovation
Specialized Business Planning Services
Spring Credit Advance Program (SCAP)
Sustainable Agriculture: Making Progress Together The Rural Lens
Watershed Evaluation of BMPs (WEBs)

Summary of Transfer Payments by Program Activity for Agriculture and Agri-Food Canada*

($ millions)	Forecast Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010	Planned Spending 2010-2011
* For the above table, and supporting Details on Transfer Payments Programs (TPP) templates (for those TPPs over $5 million in 2008-2009), forecast spending reflects the authorized funding levels to the end of the fiscal year 2007-2008 (not necessarily forecast expenditures). For the above table only: Planned spending reflects funds already brought into the department's reference levels as well as amounts to be authorized through the Estimates process (for the 2008-2009 through to 2010-2011 planning years) as presented in the Annual Reference Level Update. It also includes notional allocations to grants and contributions of the adjustments in future years for funding approved in the government fiscal plan, but yet to be brought into the Department's reference levels (captured under the "Adjustments" section). For the supporting Details on Transfer Payments Program (TPP) templates (for those TPPs over $5 million in 2008-2009): Planned spending however, reflects only the funding as presented in the 2008-09 Annual Reference Level Update
Grants
Business Risk Management	5.0	12.1	12.1	12.1
Innovation and Renewal	193.5	31.3	31.3	31.3
National Farm Products Council	0.2	0.2	0.2	0.2
Total Statutory Grants	5.2	5.2	5.2	5.2
Total Voted Grants	193.5	38.4	38.4	38.4
Total Grants	198.7	43.6	43.6	43.6

Contributions
Business Risk Management	1,164.4	1,611.1	591.1	591.1
Food Safety and Food Quality	71.4	24.9	24.9	24.9
Markets and International	24.7	24.8	24.8	24.8
Environment	111.0	45.6	45.6	45.6
Innovation and Renewal	147.4	181.5	134.2	122.9
Rural and Cooperatives Secretariats	7.8	5.9	4.2	4.2
Total Statutory Contributions	1,124.4	1,553.3	582.5	582.5
Total Voted Contributions	402.3	340.6	242.3	231.0
Total Contributions	1,526.7	1,893.9	824.7	813.5

Total Statutory Grants & Contributions	1,129.6	1,558.5	587.7	587.7
Total Voted Grants & Contributions	595.8	379.0	280.7	269.4
Total Grants & Contributions	1,725.4	1,937.5	868.3	857.1
Adjustments (Planned Spending not in Main Estimates): Total adjustment (including 2007-2008 Supplementary Estimates and Initiatives to be approved for future years)	1,150.1	325.1	1,313.5	1,307.7
Total Grants & Contributions	2,875.4	2,262.6	2,181.9	2,164.8

Details on Transfer Payments Programs (TPPs) for Agriculture and Agri-Food Canada

Name of Transfer Payment Program: Agricultural Bioproducts Innovation Program (Voted)

Start Date: December 14, 2006

End Date: March 31, 2011

Description: The Agricultural Bioproducts Innovation Program (ABIP) is an initiative designed to strengthen the capacity of Canadian science providers and industry through the creation of networks for research, technology development, and commercialization of agricultural bioproducts and bioprocesses.

Strategic Outcome(s): Innovation for Growth

Expected result(s): - Signed agreements that support the establishment, development and operation of bioproducts research networks;
- Leading-edge research and development related to feedstock production including crop platforms and cropping systems suitable for conversion to bioproducts;
- Leading-edge research and development related to effective and efficient technologies for biomass conversion, and agricultural bioproduct diversification.

($ millions)	Forecast Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010	Planned Spending 2010-2011
Program Activity: Innovation and Renewal
Total Grants			-	-
Total Contributions	0.9	20.7	11.5	11.5
Total Transfer Payment Program	0.9	20.7	11.5	11.5

Planned Audits: Internal Auditing: An audit of the ABIP Program is not scheduled for fiscal year 2007-08. Any future internal audit will depend on overall departmental operational requirements, as well as the nature and the degree of risks identified through the annual risk assessments for all departmental programs.

Recipient Auditing: The ABIP Secretariat will adopt a risk-based approach to the selection of contributions for audit. The audit risk of each contribution agreement will be assessed annually. The intent is to audit contributions where the ABIP Secretariat has identified some specific concerns.

Planned Evaluations: An impact evaluation is proposed to be conducted in FY 2010/11.

Planned spending for 2008-09 to 2010-11 reflects only the funding presented in the 2008-09 ARLU. It does not include any additional amounts that may be brought into the Department's reference levels.

Details on Transfer Payments Programs (TPPs) for Agriculture and Agri-Food Canada

Name of Transfer Payment Program: Advancing Canadian Agriculture and Agri-Food (ACAAF) (Voted) (Grants and Contributions to facilitate adaptation and rural development within the agriculture and agri-food sector)

Start Date: April 1, 2004

End Date: March 31, 2009

Description: The purpose of the ACAAF program is to position Canada's agriculture and agri-food sector at the leading edge to seize new opportunities. It is based on a three-pillar approach, including:
Pillar I: "Industry-Led Solutions to Emerging Issues";
Pillar II: "Capturing Market Opportunities By Advancing Research Results";
Pillar III: "Sharing Information to Advance the Sector".

The ACAAF Program was developed as the successor to the Canadian Adaptation and Rural Development (CARD) II Fund.

Strategic Outcome(s): Innovation for Growth

Expected result(s):
- Expanded sector capacity to respond to current and emerging issues and better positioned to capture market opportunities.
- An actively and continuously engaged sector that works together to contribute to future agriculture and agri-food policy directions.
- Enhanced future government or industry initiatives through sector-led, tested and piloted projects.

($ millions)	Forecast Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010	Planned Spending 2010-2011
Program Activity: Innovation and Renewal
Total Grants	41.7	30.3	-	-
Total Contributions	3.1	3.1
Total Transfer Payment Program	44.8	33.4

Planned Audits: Using a risk assessment model, one or two National projects recipients will be selected for compliance audits.

Planned Evaluations: The ACAAF Evaluation began during the 2007-2008 fiscal year and it is assessing the relevance, success/progress and cost effectiveness of ACCAF in meeting the sector's needs and the Department's objectives. The final evaluation report will be finalized and available early in the 2008-2009 fiscal year.

Planned spending for 2008-09 to 2010-11 reflects only the funding presented in the 2008-09 ARLU. It does not include any additional amounts that may be brought into the Department's reference levels.

Details on Transfer Payments Programs (TPPs) for Agriculture and Agri-Food Canada

Name of Transfer Payment Program: AgriInsurance Program (Statutory)

Start Date: April 1, 2008

End Date: March 31, 2012

Description: Under Growing Forward, AgriInsurance is one of four core federal-provincial-territorial Business Risk Management programs available to Canadian producers. AgriInsurance includes the Production Insurance (PI) program which will aim to reduce financial impact on producers of production losses caused by uncontrollable natural perils. PI is a statutory program under the AgriInsurance.

Strategic Outcome(s): Security of the Food System

Expected result(s): Expected Results for the Production Insurance Program are: Increased number of new programs and options available to farmers, including new plans for horticulture and livestock sectors. Increased producer participation in provinces and territories that have amended existing plans and that are implementing new plans and options.

($ millions)	Forecast Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010	Planned Spending 2010-2011
Program Activity: Business Risk Management
Total Grants
Total Contributions	407.0	388.7	227.3	227.3
Total Transfer Payment Program	407.0	388.7	227.3	227.3

Planned Audits: Information was not available regarding a scheduled internal audit of Production Insurance Program. AAFC Audit and Evaluation Plan to be finalized by March 31, 2008.

Planned Evaluations: Production Insurance Program Evaluation was completed in 2007-08. There is no planned evaluation of the Production Insurance Program in 2008-09

Planned spending for 2008-09 to 2010-11 reflects only the funding presented in the 2008-09 ARLU. It does not include any additional amounts that may be brought into the Department's reference levels.

Details on Transfer Payments Programs (TPPs) for Agriculture and Agri-Food Canada

Name of Transfer Payment Program: AgriInvest Cost of Production Element (Statutory)

Start Date: April 1, 2008

End Date: March 31, 2012

Description: The AgriInvest Cost of Production Element will assist producers with additional federal-only contributions to their AgriInvest accounts, without requiring producers to make a matching contribution.

Strategic Outcome(s): Security of the Food System

Expected result(s):
- Reduce producers income loss through participation in Business Risk Management programs
- A sector that is proactive in managing financial risks

($ millions)	Forecast Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010	Planned Spending 2010-2011
Program Activity: Business Risk Management
Total Grants
Total Contributions	39.5	100.0	-	-
Total Transfer Payment Program	39.5	100.0	-	-

Planned Audits: No internal audits are curently planned for 08/09

Planned Evaluations: None currently planned for 08/09

As required, the allocations to Grant versus Contribution may be adjusted and these would be reflected in the Supplementary Estimates, the Departmental Performance Report and Public Accounts.

Planned spending for 2008-09 to 2010-11 reflects only the funding presented in the 2008-09 ARLU. It does not include any additional amounts that may be brought into the Department's reference levels.

Details on Transfer Payments Programs (TPPs) for Agriculture and Agri-Food Canada

Name of Transfer Payment Program: AgriInvest Program (Statutory)

Start Date: December 19, 2007

End Date: March 31, 2013

Description: A savings account for producers, supported by governments, that provides coverage for small income declines and replaces the top tier (15 per cent) of margin-based assistance.

Strategic Outcome(s): Security of the Food System

Expected result(s): Investments that help mitigate risks or improve market income.

($ millions)	Forecast Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010	Planned Spending 2010-2011
Program Activity: Business Risk Management
Total Grants
Total Contributions	1.7	159.5	159.5	159.5
Total Transfer Payment Program	1.7	159.5	159.5	159.5

Planned Audits:
- No internal audits are curently planned for 08/09
- Annual Cost Sharing Audit

Planned Evaluations: None currently planned for 08/09

Effective April 1, 2008, the Canadian Agricultural Income Stabilization (CAIS) program is being replaced by the AgriStability and AgriInvest programs. Not reflected in the table above is the 2007-08 Forecast Spending amount for the CAIS program, which is $607.5 million. As required, the allocations to Grant versus Contribution may be adjusted and these would be reflected in the Supplementary Estimates, the Departmental Performance Report and Public Accounts.

Planned spending for 2008-09 to 2010-11 reflects only the funding presented in the 2008-09 ARLU. It does not include any additional amounts that may be brought into the Department's reference levels.

Details on Transfer Payments Programs (TPPs) for Agriculture and Agri-Food Canada

Name of Transfer Payment Program: AgriStability Program (Statutory)

Start Date: December 19, 2007

End Date: March 31, 2013

Description: An improved margin-based program providing support when a producer experiences larger income losses (i.e. declines of more than 15 per cent).

Strategic Outcome(s): Security of the Food System

Expected result(s):
- Producers practicing business risk management and strategic planning.
- Income stabilization.

($ millions)	Forecast Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010	Planned Spending 2010-2011
Program Activity: Business Risk Management
Total Grants			-	-
Total Contributions	-	655.2	54.2	54.2
Total Transfer Payment Program	-	655.2	54.2	54.2

Planned Audits
- No internal audits are currently planned for 08/09
- Annual Cost Sharing Audit

Planned Evaluations: None currently planned for 08/09

As required, the allocations to Grant versus Contribution may be adjusted and these would be reflected in the Supplementary Estimates, the Departmental Performance Report and Public Accounts.

Planned spending for 2008-09 to 2010-11 reflects only the funding presented in the 2008-09 ARLU. It does not include any additional amounts that may be brought into the department’s reference levels.

Details on Transfer Payments Programs (TPPs) for Agriculture and Agri-Food Canada

Name of Transfer Payment Program: Payments in connection with the Agricultural Marketing Programs Act (Statutory) - Advance Payments Program

Start Date: 1997

End Date: On-going under the AMPA legislation

Description: The Advance Payments Program (APP) guarantees provides cash advances to eligible producers (recent amendments to AMPA increased the interest free portion of advances from $50,000 to $100,000, and the maximum advance from $250,000 to $400,000) to enable them to produce and market their agricultural products when market conditions are most ideal. Amendments also now allow livestock producers the ability to receive an advance under AMPA.

Strategic Outcome(s): Security of the Food System

Expected result(s) are to:
- Provide producers with greater access to credit, to assist with production costs.
- Improved cash flow and marketing opportunities.
- Provide producers with greater access to credit to assist with input costs.
- Improved cash flow.
- Better farming practices by providing greater access to working capital.

($ millions)	Forecast Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010	Planned Spending 2010-2011
Program Activity: Business Risk Management
Total Grants			-	-
Total Contributions	164.8	137.5	137.5	137.5
Total Transfer Payment Program	164.8	137.5	137.5	137.5

Planned Audits: Formal audits of participating producer organizations in the APP are completed each fiscal year. Our current target for formal audits is 6 producer organizations for 2008-09, but may increase by 1 or 2 depending on the number of new producer organizations which will be added and be delivering the APP.

Planned Evaluations: An evaluation of APP was conducted and tabled in Parliament in 2005 by the Minister. AMPA legislation requires to have an evaluation completed every 5 years. Following the 2005 evaluation, cross-Canada consultations took place in order to make the appropriate changes to the APP, from which, the legislative amendments were made to the program. The next evaluation of AMPA will most likely take place early in the fiscal year 2009-2010.

The amended legislation under AMPA provides for the amalgamation of the Enhanced Spring Credit Advance Program (ESCAP) and Advance Payments Program under one statutory program. Forecast Spending for 2007-08 reflects the authorities for both the ESCAP Program and the AMPA Program to accommodate a full transition into the AMPA Advanced Payments Program effective April 1, 2008.

Planned spending for 2008-09 to 2010-11 reflects only the funding presented in the 2008-09 ARLU. It does not include any additional amounts that may be brought into the Department's reference levels.

Details on Transfer Payments Programs (TPPs) for Agriculture and Agri-Food Canada

Name of Transfer Payment Program: Facilitating the Disposal of Specified Risk Materials (Voted)

Start Date: December 14, 2006

End Date: March 31, 2009

Description: The federal government continues to provide BSE related assistance to Canada's cattle industry to support its efforts to recover from the impacts of Bovine Spongiform Encephalopathy (BSE) first discovered in Canada in May 2003. The Canadian Food Inspection Agency has implemented an enhanced feed ban, which is a significant step towards eliminating BSE from the national cattle herd.

This program will help the beef industry mitigate the cost of adapting to the July 12, 2007 enhancements to the feed ban enforced by the Canadian Food Inspection Agency. The enhancements regulate the disposal of specified risk material (SRM) and adequate disposal infrastructure is required.

Cost-shared federal-provincial programs are in place and offer $127.5 million in financial assistance to the industry (federal: $76.5 million; provincial: $51 million). The program is administered provincially and federal funds are used to support projects that have been approved through the provincial government process.

Strategic Outcome(s): Security of the Food System

Expected result(s): Expected results are enhancing the canadian infrastructure for disposal of Specified Risk Material and the capabflity for Canada to address BSE concerns.

($ millions)	Forecast Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010	Planned Spending 2010-2011
Program Activity: Business Risk Management
Total Grants			-	-
Total Contributions	33.0	38.5
Total Transfer Payment Program	33.0	38.5

Planned Audits: At this time there are no planned audits.

Planned Evaluations: A planned evaluation for SRM program is targeted by the 3rd quarter of the 08-09 fiscal year.

Planned spending for 2008-09 to 2010-11 reflects only the funding presented in the 2008-09 ARLU. It does not include any additional amounts that may be brought into the Department's reference levels.

Details on Transfer Payments Programs (TPPs) for Agriculture and Agri-Food Canada

Name of Transfer Payment Program: Canadian Farm Families Options Program (Voted)

Start Date: June 23, 2006

End Date: March 31, 2010

Description: The Options program is a pilot program that provides short-term financial assistance to low-income farm families and provides eligible clients with access to farm business assessment and training services that could help them increase their long-term on- and off-farm income opportunities. Income payments are issued to eligible applicants based on information on the 2005 and 2006 tax years. Eligible applicants commit to completing a Renewal activity, either a Farm Business Assessment or Canadian Agricultural Skills Service, or an approved equivalent by November 20, 2008.

Strategic Outcome(s): Innovation for Growth

Expected result(s): Increased awareness of Options Program and Renewal services; enhanced ability to explore business planning and training opportunities; increased business management capacity, and opportunities seized to increase farm family incomes.

($ millions)	Forecast Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010	Planned Spending 2010-2011
Program Activity: Innovation and Renewal
Total Grants	76.0	-	-	-
Total Contributions	32.0	16.0	2.0	-
Total Transfer Payment Program	108.0	16.0	2.0	-

Planned Audits: No planned audits for 2008-09.

Planned Evaluations: An evaluation of the Options program will be completed by March 31, 2010.

Details on Transfer Payments Programs (TPPs) for Agriculture and Agri-Food Canada

Name of Transfer Payment Program: Canadian Cattlemen's Association Legacy Fund (Statutory)

Start Date: June 27, 2005

End Date: March 31, 2015

Description: The purpose of the Legacy Fund is to support the Canadian beef sector to develop markets for beef cattle, beef cattle genetics, beef and beef products in a post-BSE environment. A grant totalling $50 million over 10 years will be provided to the Canadian Cattlemen's Association on behalf of the beef sector.

Strategic Outcome(s): Security of the Food System

Expected result(s): Growth in traditional, existing, new and emerging markets for Canadian beef and genetics products; maximize the total value realized by the Canadian beef and cattle genetics industry through optimization of genetics products values, carcass values, and live cattle values; and increase the awareness of a Canadian beef identity / brand.

($ millions)	Forecast Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010	Planned Spending 2010-2011
Program Activity: Business Risk Management
Total Grants	7.0	5.0	5.0	5.0
Total Contributions	-	-	-	-
Total Transfer Payment Program	7.0	5.0	5.0	5.0

Planned Audits: No planned audits at this time.

Planned Evaluations: The contract with CCA requires a mid-term and a final evaluation.

Planned spending for 2008-09 to 2010-11 reflects only the funding presented in the 2008-09 ARLU. It does not include any additional amounts that may be brought into the Department's reference levels.

Details on Transfer Payments Programs (TPPs) for Agriculture and Agri-Food Canada

Name of Transfer Payment Program: Cover Crop Protection Program (Voted)

Start Date:June 13, 2007

End Date: March 31, 2011

Description: The Cover Crop Protection Program (CCPP) provides financial assistance as a direct payment to the producers whose lands are affected by excess moisture or flooding. The federal funding is being provided to producers based on their inability to seed a commercial crop on or before the seeding deadline specified by the Production Insurance (PI) program in their particular province.

Strategic Outcome(s): Security of the Food System

Expected result(s):
- Increased capacity of affected producers to meet increased costs associated with land restoration and amelioration due to flooding.
- Reduced soil erosion by increasing the affected acres seeded to cover crops through the promotion of information in order to educate producers.

($ millions)	Forecast Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010	Planned Spending 2010-2011
Program Activity: Business Risk Management
Total Grants	22.1	7.1	7.1	7.1
Total Contributions		-	-	-
Total Transfer Payment Program	22.1	7.1	7.1	7.1

Planned Audits: At this time there are no planned audits.

Planned Evaluations: At this time there are no planned evaluations.

Planned spending for 2008-09 to 2010-11 reflects only the funding presented in the 2008-09 ARLU. It does not include any additional amounts that may be brought into the Department's reference levels.

Details on Transfer Payments Programs (TPPs) for Agriculture and Agri-Food Canada

Name of Transfer Payment Program: Agricultural Disaster Relief Program (ADRP) / AgriRecovery (Statutory)

Start Date: December 6, 2007

End Date: March 31, 2011

Description: The ADRP will allow governments to quickly develop and implement initiatives of up to $20 million each in federal funding in response to disasters affecting Canada's agriculture industry. ADRP will assist eligible recipients in quickly returning to a pre-event level of business operations and/or containing long-term impacts when Disasters occur.

Strategic Outcome(s): Security of the Food System

Expected result(s): ADRP will ensure that eligible recipients will have the funds necessary to:
- undertake short-term measures to more quickly return their income stream to its pre-disaster level;
- minimize/contain any long-term impacts of a disaster, thereby mitigting further damages and losses which could result in requests for a larger investment of government money;
- address timing-of-payment weaknesses in ongoing BRM programming (i.e. AgriInvest, AgriStability and AgriInsurance), where these BRM programs are not able to provide a quick response to a disaster, while reducing the financial impact on these BRM programs and
- address other gaps in the existing BRM programs and other disaster-related programming.

($ millions)	Forecast Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010	Planned Spending 2010-2011
Program Activity: Business Risk Management
Total Grants	62.7
Total Contributions	-	108.4	-	-
Total Transfer Payment Program	62.7	108.4	-	-

Planned Audits: Internal - An audit of the ADRP was not scheduled for 2007-2008. Any future internal audits will depend on the Office of Audit and Evaluation and will depend on the nature and the degree of risks identified through the annual risk assessment for all department programs.
Field audits - will be conducted as stipulated in the program RMAF/RBAF (estimated 30 field audits conducted on the criteria detailed in the RMAF/RBAF).

Planned Evaluations: Nature and timing of the evaluation of ADRP will be set in accordance with the Policy on Evaluation, the Policy on Transfer Payments and MRRS Policy.

As required, the allocations to Grant versus Contribution may be adjusted and these would be reflected in the Supplementary Estimates, the Departmental Performance Report and Public Accounts.

Planned spending for 2008-09 to 2010-11 reflects only the funding presented in the 2008-09 ARLU. It does not include any additional amounts that may be brought into the Department's reference levels.

Details on Transfer Payments Programs (TPPs) for Agriculture and Agri-Food Canada

Name of Transfer Payment Program: EcoAgriculture Biofuels Capital Initiative (Voted)

Start Date: March 29, 2007

End Date: March 31, 2011

Description: The ecoAgriculture Biofuels Capital initiative (ecoABC) is a four-year, $200 million federal initiative that provides repayable contributions of up to $25 million per project for the construction or expansion of renewable transportation biofuel production facilities.

Strategic Outcome(s): Innovation for Growth

Expected result(s): The objective of ecoABC is to provide agricultural producers with an opportunity for equity investment in biofuel production facilities, and to facilitate achieving the federal government's renewable fuel content targets of 5% in gasoline by 2010 and 2% in diesel by 2012 through domestic production.

($ millions)	Forecast Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010	Planned Spending 2010-2011
Program Activity: Innovation and Renewal
Total Grants
Total Contributions	16.3	75.0	53.3	57.4
Total Transfer Payment Program	16.3	75.0	53.3	57.4

Planned Audits: No audits are planned for 2008-2009.

Planned Evaluations: A formative evaluation is planned for 2008-2009

Planned spending for 2008-09 to 2010-11 reflects only the funding presented in the 2008-09 ARLU. It does not include any additional amounts that may be brought into the Department's reference levels.

Details on Transfer Payments Programs (TPPs) for Agriculture and Agri-Food Canada

Name of Transfer Payment Program: Agriculture and Agri-food Sector Assistance - Environment (under the Agricultural Policy Framework - Non-Business Risk Management Terms and Conditions - Voted)

Start Date: April 1, 2003

End Date: March 31, 2008 (proposed extension until March 31, 2009)

Description: The purpose of the Environment programs is to support the adoption of management practices on farms across Canada, which are beneficial to the environment and economically sustainable.

Strategic Outcome(s): Health of the Environment

Expected result(s) are to:
- Provide for the ongoing use of agri-environmental information, planning and management tools to support the stewardship ethic of producers.
- Support the implementation of environmental farm plans and support the adoption of environmental Beneficial Management Practices (BMP) by agricultural producers in the management of land, water, air and biodiversity

($ millions)	Forecast Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010	Planned Spending 2010-2011
Program Activity: Environment
Total Grants
Total Contributions	156.2	45.6	-	-
Total Transfer Payment Program	156.2	45.6	-	-

Planned Audits: Environmental Farm Planning Program/National Farm Stewardship Program

Planned Evaluations: National Water Supply Expansion Program Evaluation

Planned spending for 2008-09 to 2010-11 reflects only the funding presented in the 2008-09 ARLU. It does not include any additional amounts that may be brought into the Department's reference levels.

Details on Transfer Payments Programs (TPPs) for Agriculture and Agri-Food Canada

Name of Transfer Payment Program: Agriculture and Agri-food Sector Assistance - Food Safety and Food Quality (under the Agricultural Policy Framework - Non-Business Risk Management Terms and Conditions - Voted)

Start Date: April 1, 2003

End Date: March 31, 2008 (proposed extension until March 31, 2009)

Description:The objective of the program is to assist industry in developing and implementing government-recognized food safety, traceability and quality process control systems throughout the agri-food continuum, in order to:
- protect human health by reducing exposure to food hazards;
- increase consumer confidence in the safety and quality of food produced in Canada;
- increase industry's ability to meet or to exceed market requirements for food safety and food quality; and to
- provide value-added opportunities through the adoption of food safety and food quality systems.

Strategic Outcome(s): Security of the Food System

Expected result(s): Development and adoption of industry-led and government recognized national on-farm food safety process control systems by all commodities in the primary production sector; development and participation in national food safety systems, developed by industry and recognized by government, by other sectors of the agri-food continuum.

($ millions)	Forecast Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010	Planned Spending 2010-2011
Program Activity: Food Safety and Food Quality
Total Grants
Total Contributions	110.1	24.9	-	-
Total Transfer Payment Program	110.1	24.9	-	-

Planned Audits: The current Canadian Food Safety & Quality (CFSQP) Audit Plan provides for nine project-specific compliance audits.

Planned Evaluations: None planned.

Planned spending for 2008-09 to 2010-11 reflects only the funding presented in the 2008-09 ARLU. It does not include any additional amounts that may be brought into the Department's reference levels.

Details on Transfer Payments Programs (TPPs) for Agriculture and Agri-Food Canada

Name of Transfer Payment Program: Control of Diseases in the Hog Industry- Circovirus Initiative (Voted) - Phase I - Circovirus Inoculation Strategy

Start Date: September 27, 2007

End Date: March 31, 2009

Description: The Circovirus Inoculation Strategy (CIS) is an Agriculture and Agri-Food Canada (AAFC) initiative aimed at providing assistance in minimizing the overall potential effect of the Porcine Circovirus Associated Diseases (PCVAD) on the Canadian hog herd. AAFC is to provide financial assistance towards the identification and mitigation of the virus.

Strategic Outcome(s): Security of the Food System

Expected result(s):
- The detection of PCVAD within the Canadian Hog Herd.
- Inoculation of the Canadian hog population against PCVAD.
- Early detection of concentrated areas of PCVAD
- By mapping the areas of positive diagnostic tests baseline data as to the spread of the disease can be developed for future surveillance of the hog herd.

($ millions)	Forecast Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010	Planned Spending 2010-2011
Program Activity: Business Risk Management
Total Grants
Total Contributions	14.3	10.8	-	-
Total Transfer Payment Program	14.3	10.8	-	-

Planned Audits: None at this time

Planned Evaluations: No planned evaluations at this time.

Planned spending for 2008-09 to 2010-11 reflects only the funding presented in the 2008-09 ARLU. It does not include any additional amounts that may be brought into the Department's reference levels.

Details on Transfer Payments Programs (TPPs) for Agriculture and Agri-Food Canada

Name of Transfer Payment Program: Agriculture and Agri-food Sector Assistance - International (Canadian Agriculture and Food International Program) (under the Agricultural Policy Framework - Non-Business Risk Management Terms and Conditions - Voted)

Start Date: April 1, 2003

End Date: March 31, 2008 (proposed extension until March 31, 2009)

Description: The purpose of the CAFI program is to provide support to industry to gain and expand international recognition for Canada and enhance market opportunities for Canadian agriculture and food products. The program replaces and improves on AAFC's Agri-Food Trade Program (AFTP).

Strategic Outcome(s): Security of the Food System

Expected result(s):
- Gaining recognition and building markets
- Improved market access
- Enhanced capacity that responds to identified industry needs

($ millions)	Forecast Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010	Planned Spending 2010-2011
Program Activity: Markets and International
Total Grants
Total Contributions	24.7	24.8	-	-
Total Transfer Payment Program	24.7	24.8	-	-

Planned Audits: No audits are planned for fiscal year 2008-2009.

Planned Evaluations: An evaluation of the CAFI Program will be completed in 2008-2009.

Planned spending for 2008-09 to 2010-11 reflects only the funding presented in the 2008-09 ARLU. It does not include any additional amounts that may be brought into the Department's reference levels.

Details on Transfer Payments Programs (TPPs) for Agriculture and Agri-Food Canada

Name of Transfer Payment Program: Agri-Opportunities Program (Voted) (New Opportunities for Agriculture Initiatives)

Start Date: December 14, 2006

End Date: March 31, 2011

Description: A $134 million program, ending March 2011, that focuses on new innovative value-added agricultural, agri-food and agri-based products, services or processes that are currently not commercially produced or available in Canada and that are ready to be introduced into the marketplace. The program provides repayable contributions for commercialization projects that are expected to increase market opportunities for the Canadian agricultural industry across the value chain and to increase demand for primary agricultural products.

Strategic Outcome(s): Innovation for Growth

Expected result(s) are to: promote new opportunities for agriculture through assistance to help the sector diversify or move into promising new markets with prospects for long term sustainability. Expected results include:
- increased number of facilities established, modernized or expanded;
- increased number of new products, processes and services that are brought to market;
- increased knowledge and skills of recipient organizations;
- increased demand for primary agricultural products;
- increased number of new revenue streams among recipient organizations;
- increased level and quality of employment for recipient organizations and
- increased participation in value added industries.

($ millions)	Forecast Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010	Planned Spending 2010-2011
Program Activity: Innovation and Renewal
Total Grants
Total Contributions	3.4	40.8	43.7	31.1
Total Transfer Payment Program	3.4	40.8	43.7	31.1

Planned Audits: No audits are planned for fiscal year 2008-2009.

Planned Evaluations: A formative evaluation is planned for 2008-2009

Planned spending for 2008-09 to 2010-11 reflects only the funding presented in the 2008-09 ARLU. It does not include any additional amounts that may be brought into the Department's reference levels.

Details on Transfer Payments Programs (TPPs) for Agriculture and Agri-Food Canada

Name of Transfer Payment Program: Orchards & Vineyards Transition Program (Voted)

Start Date: October 25, 2007

End Date: March 31, 2011

Description: The program will fund plant removal which is the very first step towards replanting orchards and vineyards or planting other crops to help producers compete in the changing global markets. The program will also respond to the market pressure by funding strategic planning activities which will increase the industry's knowledge and help the industry make decisions. The program will operate in British Columbia, Ontario, Quebec, New Brunswick and Nova Scotia.

Strategic Outcome(s): Innovation for Growth

Expected result(s) are to: ensure acreage is readily available for replant of more marketable crops, and to develop an improved understanding of the opportunities for the orchards and vineyards sector. This will encourage producers to make the adjustments necessary to become more competitive.

($ millions)	Forecast Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010	Planned Spending 2010-2011
Program Activity: Innovation and Renewal
Total Grants
Total Contributions	1.4	15.2	9.9	9.2
Total Transfer Payment Program	1.4	15.2	9.9	9.2

Planned Audits: Recipient audit will be determined based on audit work plan. The need for an internal audit will be determined by the Office of Audit and Evaluation.

Planned Evaluations: A summative evaluation will be conducted during fiscal year 2010-11.

Planned spending for 2008-09 to 2010-11 reflects only the funding presented in the 2008-09 ARLU. It does not include any additional amounts that may be brought into the Department's reference levels.

Details on Transfer Payments Programs (TPPs) for Agriculture and Agri-Food Canada

Name of Transfer Payment Program: Plum Pox Eradication Program (Voted)

Start Date: April 19, 2004

End Date: March 31, 2011

Description: The purpose of this seven-year program (2004-05 to 2010-11) is to eradicate the Plum Pox Virus (PPV) in Canada while ensuring the viability of the industry. This program is a follow-up of the expired three-year program (2001-02 to 2003-04) which showed that the eradication of PPV was possible. 2007-08 was year 4 of the 7-year program. Surveillance for the virus continued by sampling trees in the quarantine area. Infected tees and trees in infected blocks that met the removal threshold were removed. Producers were financially assisted for the loss of trees.

Strategic Outcome(s): Security of the Food System

Expected result(s): Eradication of the Plum Pox Virus in Canada while maintaining the viability of the industry.

($ millions)	Forecast Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010	Planned Spending 2010-2011
Program Activity: Business Risk Management
Total Grants
Total Contributions	5.8	8.6	8.6	8.6
Total Business Risk Management	5.8	8.6	8.6	8.6

Program Activity: Innovation and Renewal
Total Grants
Total Contributions	3.1	-	-	-
Total Innovation and Renewal	3.1	-	-	-
Total Transfer Payment Program	8.9	8.6	8.6	8.6

Planned Audits: No planned audits.

Planned Evaluations: No planned evaluations.

Planned spending for 2008-09 to 2010-11 reflects only the funding presented in the 2008-09 ARLU. It does not include any additional amounts that may be brought into the Department's reference levels.

Details on Transfer Payments Programs (TPPs) for Agriculture and Agri-Food Canada

Name of Transfer Payment Program: Contributions in support of Rural Canada and of development in the area of Co-operatives (under the Agricultural Policy Framework - Non-Business Risk Management Terms and Conditions - Voted)

Start Date: April 1, 2003

End Date: March 31, 2008 (proposed extension until March 31, 2009)

Description:The purpose of the programs are to carry out plans for Rural and Cooperative development. The programming covers the following three initiatives:
- the renewal and strengthening of the Canadian Rural Partnership which includes the transfer payments program "Models for Rural Development", and "The Partnership Initiative" (formerly the Networking Initiative), both of which focus on approaches to rural development, and building partnerships.
- the Rural Community Capacity Building Program, which places a focus on tools, services, knowledge, and processes.
- the Co-operatives Development Initiative (CDI) ($12.4 million from 2003-04 to 2007-08). In 2006, additional funding was provided to CDI to provide support for co-op development projects to enable farmers to capture new biofuels and other value-added opportunities - Ag-CDI funding (G&Cs): $3.75 million for 2006-07 to 2008-09.

Strategic Outcome(s): Innovation for Growth

Expected result(s): The Rural Secretariat of AAFC has been mandated, through the Canadian Rural Partnership (CRP), with developing, coordinating and implementing a cross-government approach to better understand the issues and concerns of rural Canadians, and to encourage federal departments and agencies to make, as appropriate, adjustments to their policies, programs and services to reflect the unique needs of rural communities. One of the objectives for the renewal and strengthening of the Canadian Rural Partnership is to evolve programming to support community-based solutions to rural challenges. The objective of the Co-operatives Secretariat is to coordinate the interaction between government and the co-operative sector and to ensure federal policies take into consideration the specific attributes of co-operatives and their contribution to public policy objectives. The expected outcome is an expanded use of the co-operative model to enhance economic growth and social development of Canadian rural and urban society.

The Models for Rural Development involve testing and evaluating models or approaches that address rural development and community capacity building to identify what works and what does not, in order to inform governments for future policy and programming decisions. The Rural Community Capacity Building Program supports the creation and dissemination of tools, services, knowledge, and processes (including but not exclusive to the engagement of rural community development organzations in the achievement of CRP objectives). The objective of the Co-operative Development Initiative aims at improving co-operative development capacity by supporting advisory services, and by researching and demonstrating innovative uses of the co-operative model.

($ millions)	Forecast Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010	Planned Spending 2010-2011
Program Activity: Rural and Cooperatives
Total Grants	-	-	-	-
Total Contributions	9.2	5.9
Total Transfer Payment Program	9.2	5.9	-	-

Planned Audits: No planned audits for 2008-09.

Planned Evaluations: Although not planned by OAE, the Co-operatives Secretariat is planning to undertake an independent evaluation of CDI in 2008-09.

Planned spending for 2008-09 to 2010-11 reflects only the funding presented in the 2008-09 ARLU. It does not include any additional amounts that may be brought into the Department's reference levels.

Details on Transfer Payments Programs (TPPs) for Agriculture and Agri-Food Canada

Name of Transfer Payment Program: Agriculture and Agri-food Sector Assistance - Science and Innovation (under the Agricultural Policy Framework - Non-Business Risk Management Terms and Conditions - Voted)

Start Date: April 1, 2003

End Date: March 31, 2008 (proposed extension until March 31, 2009)

Description: The purpose of the Science and Innovation TPP is to accelerate innovation adoption in agriculture. Science and innovation are the cornerstone of efforts to make the Canadian agriculture and agri-food sector the world leader in food safety, innovation and environmentally responsible production and to support its future success and prosperity. Advances in agri-food science and technology are accelerating the development of a wide range of new industrial, health and nutritional products obtained from plants, animals and microorganisms.

Strategic Outcome(s): Innovation for Growth

Expected result(s): Continued funding for approximatley 20 existing projects with additional funding for 1 new project. Program wind-down activities and transition to new programming in Growing Forward.

($ millions)	Forecast Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010	Planned Spending 2010-2011
Program Activity: Innovation for Growth
Total Grants
Total Contributions	49.3	6.9	-	-
Total Transfer Payment Program	49.3	6.9	-	-

Planned Audits: Audit of two projects planned for 2008-2009 fiscal year (estimated cost $60k).

Planned Evaluations: No planned evaluation of the Program. Chapter evaluation performed in 2007-08 included the Science and Innovation program.

Planned spending for 2008-09 to 2010-11 reflects only the funding presented in the 2008-09 ARLU. It does not include any additional amounts that may be brought into the Department's reference levels.

Evaluations

Departments must provide a list of all upcoming evaluations that pertain to their work. They should also provide electronic links to the departmental evaluation plan. Upcoming Evaluations (Next 3 fiscal years)

1. Name of Internal Audit/Evaluation	2. Audit Type/ Evaluation Type	3. Status	4. Expected Completion Date
Canadian Agricultural and Food International (CAFI) Program	Transfer Payment	Planned	2008-2009 1st Qtr
Interdepartmental APF Memoranda of Understanding with Health Canada	Transfer Payment	Planned	2008-2009 1st Qtr
Canadian Agriculture Skill Service	Transfer Payment	In Progress	2008-2009 1st Qtr
Value Chain Round Table	Management	In Progress	2008-2009 1st Qtr
Renewal Programs Delivered by National Organization	Transfer Payment	In Progress	2008-2009 1st Qtr
National Agri-Environmental Standards Initiative (NAESI)	Transfer Payment	In Progress	2008-2009 1st Qtr
BRM Ad Hoc Assistance Program	Transfer Payment	In Progress	2008-2009 3rd Qtr
Science Program	Governance	In Progress	2008-2009 4th Qtr

6. Electronic Link to Internal Audit and Evaluation Plan:

A multi-year Evaluation plan is not available at this time, but a risk based Evaluation plan for 2008-2009 will be available in April 2008.

The annual Risk Based Evaluation Plan will be developed to support the Departmental Management Priority to "provide performance information and evaluations that support the development of the next generation of agriculture and agri-food policy and other strategic initiatives." It also reflects moving towards full coverage of the organization's program base (both G&C and other programs) on a five year cycle.
The number of evaluations will continue to increase over the period ending in 2009-10 to ensure full coverage of AAFC's program base (both G&C and non G&C) on a five year cycle. Deputy Head management priorities and a risk-based plan are used to determine which programs are evaluated in any given fiscal year.

Foundations (Conditional Grants)

For further information on AAFC Conditional Grant

Name of Recipient: Canadian Agri-Food Policy Institute (CAPI)

Start Date: December 14, 2006

End Date: March 31, 2022

Total Funding: $15.0M

Description: To encourage independent policy research benefitting the Canadian agricultural sector. The conditional grant for CAPI will ensure continued success in building an inclusive and forward looking dialogue on the future of Canadian agriculture, and provide a stable and sustained forum to discuss issues of importance to the industry.

Strategic Outcome(s): Security of the Food System

Summary of Annual Plans of Recipient: In accordance with article 9 of their funding agreement, CAPI submitted their required plans: Policy Research Plan FY 2007-2008 and Business Plan FY 2007-2008 in June 2007. The Policy Research Plan outlined the research plans for the 2007-2008 fiscal year and also included an indication of research planned to begin this fiscal year and continue into the 2008-2009 fiscal year. CAPI's research priorities are guided by their overall strategic vision: Agriculture and Agri-Food providing solutions that contribute to the quality of life of Canadians and to the profitability of the sector. To meet this target, two project types have been identified. The first, referred to as Partnership projects, aim to leverage industry and government support to address specific sector challenges and policy issues and, the second, referred to as Visionary projects, aspire to explore critical issues in the agri-food sector to identify options and to engage decision makers in policy dialogue.

Nine projects are proposed in the plan and are listed in order of priority.

Generally, the Business Plan presented and established the accounting procedures to manage the AAFC-CAPI agreement and the overall budget and cash flow projections and establishes other governance guidelines.

Planned Evaluation(s): CAPI is required to complete a first interim performance evaluation report by June 30, 2010. Further performance evaluation reports are required by June 30, 2015 and June 30, 2020, with a final performance evaluation required by June 30, 2022. An independent third party appointed by CAPI will complete the evaluations. The Minister or the Auditor General of Canada may perform either performance evaluations or compliance audits with respect to the use of the grant received from AAFC.

Planned Audit(s): A full audit of CAPI's financial statements will be conducted on an annual basis by an independent auditor retained by CAPI, in accordance with Generally Accepted Auditing Standards.

URL to Recipient Site: www.capi-icpa.ca

Green Procurement

How is the Department planning to meet the objectives of the Policy on Green Procurement?
Green Procurement has been a focus of federal greening efforts, based on the approach that life-cycle management of assets begins with procurement. Integrating environmental performance into planning, acquisition use and disposal can improve the purchasing of green products, reduce the in-use costs and impact and ensure disposal is in accordance with environmental standards. Purchasing greener products, whether more energy efficient, less harmful or containing a higher percentage of recycled material can make a significant impact. The government-wide guidance document on greening operations had specific suggestions for green procurement, green fleet and greenhouse gas emissions from buildings. AAFC included annual commitments on green procurement as follows:
1. Ongoing provision of green procurement training to the procurement community within AAFC, either through TBS Professional Development and Certification Program or other green procurement course offerings;
2. Reduction of three per cent per year in paper consumption in the NCR, through the increase of the number of duplex printers in the department, specifically NCR;
3. Inclusion of green technical specifications (use of green products and practices) where possible, in building cleaning contracts for facilities; and
4. 10 per cent annual increase in the number of duplex printers in operation across the department.
In addition to the above, AAFC will consult with its IST Team to identify opportunities and functionality to track Green Procurement activities in SAP.
Has your department established green procurement targets?

Yes
AAFC has identified four green procurement targets,
which are included in its Sustainable Development Strategy.
Describe the green procurement targets that have been set by your department and indicate the associated benefits anticipated.
1. Ongoing provision of green procurement training to the procurement community within AAFC, either through TBS Professional Development and Certification Program or other green procurement course offerings.
  Benefits: Improved awareness and application of the green procurement policy. Through this awareness and knowledge, the procurement community can integrate green procurement practices in their areas of responsibility.
2. Reduction of three per cent per year in paper consumption in the NCR, through the increase of the number of duplex printers in the department, specifically NCR.
  Benefits: Reduced paper usage has a direct impact on the environment.
3. Inclusion of green technical specifications (use of green products and practices) where possible, in building cleaning contracts for facilities.
  Benefits: Increased use of green products and practices has a direct impact on the environment.
4. 100 per cent of new materiel managers and procurement officers receive procurement training, either through the TBS Professional Development and Certification program or other green procurement course offerings. (Note: AAFC has already trained existing contracting staff as of 2005.)
  Benefits: Reduction in greenhouse gas emissions from departmental vehicles; reduction in greenhouse gas emissions related to department's energy use (i.e. heating, lighting, etc.); More efficient departmental use of resources (i.e. water, etc.).

Horizontal Initiative Template

Name of Horizontal Initiative: AgriInsurance

Name of Lead Department(s): Agriculture and Agri-Food Canada (AAFC)

Start Date of the Horizontal Initiative: April 1, 2008

End Date of the Horizontal Initiative: March 31, 2012

Total Federal Funding Allocation: Not available at this time.

Description of the Horizontal Initiative: AgriInsurance includes the Production Insurance (PI) program which will aim to reduce financial impact on producers of production losses caused by uncontrollable natural perils.

Shared Outcome(s): Expand production loss protection to a broader range of agricultural products to further reduce the need for ad hoc compensation.

Governance Structure(s): PI is a provincial-territorial program to which the federal government contributes financially under federal-provincial-territorial Growing Forward Implementation Agreements. Governance structure includes various national standards outlined in federal Production Insurance Regulations and federal-provincial-territorial committees (Production Insurance and Business Risk Management Working Groups as well as Policy Assistant Deputy Ministers).

Federal Partners Involved in each program	Names of Programs	Total Allocation	Planned Spending for 2008/09	Actual Spending in 2008/09	Expected Results for 2008/09	Achieved Results in 2008/09
1. AAFC	Production Insurance	Not available at this time.	$388.7 million		Increased number of new programs and options available to farmers, including new plans for horticulture and livestock sectors. Increased producer participation in provinces and territories that have amended existing plans and that are implementing new plans and options.
Total		Not available at this time.	$388.7 million

Results to be Achieved by Non-Federal Partners:
Planning and developments are done jointly with the provinces. Therefore, the expected results are the same, but the achieved results will vary by province.

Contact Information:
Michel Massé
A/Director
Production Insurance and Risk Management Division
Farm Financial Programs Branch
613-759-6179

Note: Planned spending figures represent the amounts included in Main Estimates. It does not include any additional amounts that may be brought into the Department's reference levels. The most recent planned spending estimates can be attained from the contact person.

Horizontal Initiative Template

Name of Horizontal Initiative: AgriInvest

Name of Lead Department(s): Agriculture and Agri-Food Canada (AAFC)

Start Date of the Horizontal Initiative: October 25, 2007 - For Growing Forward - Business Risk Management funding, which covers AgriInvest.

End Date of the Horizontal Initiative: March 31, 2012 - For Growing Forward - Business Risk Management funding, which covers AgriInvest

Total Federal Funding Allocation: $847.1 million over five years.

Description of the Horizontal Initiative: The AgriInvest program is one of four core business risk management programs available to producers under Growing Forward. Through AgriInvest, producers will be able to self-manage, through producer-government savings accounts, the first 15 per cent of their margin losses for a production year. Annual producer deposits will be matched by government deposits (cost-shared 60:40 by federal and provincial governments) into producers' accounts.

AgriInvest will provide producers with a secure and accessible source of income assistance to address small drops in farm income. Producers will have the flexibility to use the funds to address declines in income or make investments to reduce on-farm risks or increase farm revenues.

Shared Outcome(s): To mitigate the impacts of smaller income losses through the availability of timely and predictable funds.

Governance Structure(s): The AgriInvest program is part of the comprehensive Growing Forward strategy developed by federal, provincial and territorial Ministers of Agriculture, and falls under the Business Risk Management priority. Funding is 60% federal and 40% provincial/territorial.

The AgriInvest program will be delivered in Alberta, British Columbia, Saskatchewan, Manitoba, Ontario, New Brunswick, Nova Scotia, Newfoundland and Labrador, Prince Edward Island and Yukon by a federal administration. In Quebec, the AgriInvest program will be delivered provincially.

Federal Partners Involved in each program	Names of Programs	Total Allocation	Planned Spending for 2008/09	Actual Spending in 2008/09	Expected Results for 2008/09	Achieved Results in 2008/09
1. AAFC	AgriInvest	$847.1 million (for fiscal years 2007/08 to 2011/12)	$170.5 million		- Reduce producers income loss through participation in BRM programs
Total		$847.1 million (See note)	$170.5 million (See note)

Results to be Achieved by Non-Federal Partners:
Joint planning and execution (federally and provincially) so provincial results are consistent.

Contact Information:
Danny Foster
Director General
BRM Program Development
613-715-5044

Note: Planned spending figures represent the amounts included in Main Estimates. The most recent planned spending estimates can be attained from the contact person. Spending reflects all costs incurred by the department (salary, operating, transfer payments). See also the related horizontal initiative on AgriStability, AgriInsurance, and AgriRecovery.

Horizontal Initiative Template

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

Name of Lead Department(s): Agriculture and Agri-Food Canada (AAFC)

Start Date of the Horizontal Initiative: December 6, 2007
For Growing Forward - Business Risk Management funding, which covers AgriRecovery.

End Date of the Horizontal Initiative: March 31, 2011 - For Growing Forward - Business Risk Management funding, which covers AgriRecovery

Total Federal Funding Allocation: $441 million over five years.

Description of the Horizontal Initiative: The AgriRecovery framework is one of four core pillars of the new business risk management suite available to producers under Growing Forward. AgriRecovery will facilitate the process for governments to provide short-term, timely assistance to help producers re-establish their income stream and contain the long-term impacts after a natural disaster. Under AgriRecovery, the ADRP will help focus the coordination effort, providing fast-tracked programs of up to $20 million (up to $122.6 million per fiscal year) to quickly fund initiatives in response to disasters when they occur. Programming not eligible under the ADRP may still utilize the AgriRecovery framework and funding though a separate Treasury Board submission would be required.

Shared Outcome(s): Reduce the economic impact of catastrophic natural disasters on producers through timely assistance not otherwise provided by other programs.

Governance Structure(s): The AgriRecovery framework, including the ADRP, is part of the comprehensive Growing Forward developed by federal, provincial and territorial Ministers of Agriculture, and falls under the Business Risk Management priority. Under the ADRP, funding is expected to be 60% federal and 40% provincial/territorial.
For AgriRecovery programming outside the ADRP, funding options will be negotiated with the provinces on a case-by-case basis. .

Federal Partners Involved in each program	Names of Programs	Total Allocation	Planned Spending for 2008/09	Actual Spending in 2008/09	Expected Results for 2008/09	Achieved Results in 2008/09
1. AAFC	AgriRecovery (including the Agricultural Disaster Relief Program)	$440.7 million ($72.9 million for FY 2007/08 and $122.6 million per year for FYs 2008/09 to 2010/11)	$122.6 million		- Reduce producers income loss through participation in BRM programs
Total		$440.7 million (See note 1 and 2)	$122.6 million (See note)

Results to be Achieved by Non-Federal Partners:
Joint planning and execution (federally and provincially) so provincial results are consistent.

Contact Information:
Danny Foster
Director General
BRM Program Development
613-715-5044

Note 1: Planned spending figures represent the amounts included in Main Estimates and approved Treasury Board Submission. See also the related horizontal initiative on AgriInsurance, AgriStability, and AgriInvest.

Note 2: Under AgriRecovery funding is secured for the 2007/08 to 2011/12 fiscal years; however, authorities for the ADRP, which may utilize AgriRecovery funding, currently expire on March 31, 2011.

Horizontal Initiative Template

Name of Horizontal Initiative: AgriStability

Name of Lead Department(s): Agriculture and Agri-Food Canada (AAFC)

Start Date of the Horizontal Initiative: April 1, 2008 - For Growing Forward - Business Risk Management funding, which covers AgriStability.

End Date of the Horizontal Initiative: March 31, 2012 - For Growing Forward - Business Risk Management funding, which covers AgriStability.

Total Federal Funding Allocation: Not available at this time.

Description of the Horizontal Initiative: The AgriStability program is one of four core business risk management programs available to producers under Growing Forward. AgriStability is a margin-based demand-driven program providing support when a producer experiences larger farm income losses, which are declines of more than 15 per cent in a producer's average income from previous years.

Shared Outcome(s): To mitigate the impacts of larger income losses with margin protection.

Governance Structure(s): The AgriStability program is part of the comprehensive Growing Forward strategy developed by federal, provincial and territorial Ministers of Agriculture, and falls under the Business Risk Management priority. Funding is 60% federal and 40% provincial/territorial.

The AgriStability program is currently delivered in British Columbia, Saskatchewan, Manitoba, New Brunswick, Nova Scotia, Newfoundland and Labrador, and Yukon by a federal administration. In Alberta, Ontario, Quebec, and Prince Edward Island, the AgriStability program is delivered provincially.

Federal Partners Involved in each program	Names of Programs	Total Allocation	Planned Spending for 2008/09	Actual Spending in 2008/09	Expected Results for 2008/09	Achieved Results in 2008/09
1. AAFC	AgriStability	Not available at this time.	$699.3 million		- Reduce producers income loss through participation in BRM programs
Total		Not available at this time.	$699.3 million (See note)

Note: Planned spending figures represent the amounts included in Main Estimates. It does not include any additional amounts that may be brought into the Department's reference levels. Spending reflects all costs incurred by the department (salary, operating, transfer payments). See also the related horizontal initiative on AgriInvest, AgriInsurance, and AgriRecovery.

Results to be Achieved by Non-Federal Partners:
Joint planning and execution (federally and provincially) so provincial results are consistent.

Contact Information:
Danny Foster
Director General
BRM Program Development
613-715-5044

Horizontal Initiative Template

Name of Horizontal Initiative: Canadian Agricultural Skills Service (CASS)

Name of Lead Department(s): Agriculture and Agri-Food Canada (AAFC)

Start Date of the Horizontal Initiative: April 1, 2003.

End Date of the Horizontal Initiative: March 31, 2008 (proposed extension until March 31, 2009).

Total Federal Funding Allocation: Not available at this time.

Description of the Horizontal Initiative: Farmers and/or their spouses are offered assistance for skills development and access to training that could result in increased on-farm or off-farm income. Assistance is provided to develop an individual learning plan and to access training in areas such as improved farm practices and farm business management including accounting, finance, human resource management; training for other employment; or training to acquire skills for starting a new business. Financial support for training such as tuition fees for courses, supplies for courses as well as travel and accommodation are also provided.

Shared Outcome(s):
(a) Farmers' profitability increased;
(b) Improved choices about sources of income; and
(c) Production of farm products based on market and consumer demands respecting food safety and food quality and environmentally-responsible production, and opportunities from science and innovation captured.

Governance Structure(s): Program development with Renewal federal/provincial/territorial working group. Program delivery by Human Resources and Social Development Canada (HRSDC), Provincial Governments and Third Party delivery agents.

Federal Partners Involved in each program	Names of Programs	Total Allocation	Planned Spending for 2008/09	Actual Spending in 2008/09	Expected Results for 2008/09	Achieved Results in 2008/09
1. AAFC/Human Resources and Social Development Canada (HRSDC)	Canadian Agricultural Skills Service	$62.6 million (for fiscal years 2003/04 to 2007/08 only) 2008-09 Not available at this time.	Not available at this time.		(1) Increased implementation by low-income farmers and farm families of skills-based income strategies. (2) Farmers express satisfaction with CASS.
Total		Not available at this time.	Not available at this time.

Results to be Achieved by Non-Federal Partners:
Provinces that previously delivered the CASS program will continue to do so, thereby contributing to AAFC's expected results for the program. Non-federal partners will also continue to participate in the Renewal federal-provincial-territorial (FPT) working group, where program issues will be addressed as the program enters its last stages.

Contact Information:
Johanne Métayer
Director
Renewal Division
Farm Financial Programs Branch
613-759-6689

Note: Planned spending figures represent the amounts included in Main Estimates. The most recent planned spending estimates can be attained from the contact person.

Horizontal Initiative Template

Name of Horizontal Initiative: MOU with Canadian Food Inspection Agency (CFIA) on Food Safety and Quality

Name of Lead Department(s): Agriculture and Agri-Food Canada (AAFC)

Start Date of the Horizontal Initiative: April 1, 2003.

End Date of the Horizontal Initiative: March 31, 2008 (proposed extension until March 31, 2009).

Total Federal Funding Allocation: Not available at this time.

Description of the Horizontal Initiative: To establish minimum standards, as well as inspection and enforcement strategies for manufacturers of medicated feed for food producing animals. Also to establish the On-Farm Food Safety Recognition Program, which will provide government recognition of HACCP - based food safety systems developed and implemented by national producer associations.

Specific activities under the medicated feeds initiative will:

promulgate and implement medicated feed regulations establishing minimum standards for manufacturers of medicated feed for food producing animals; and
establish standards and policies supporting the design and implementation of an inspection and licensing system for these feed mills and farms by evaluating their manufacturing procedures and records.

Specific activities under the on-farm food safety recognition initiative will:

establish a recognition system for on-farm food safety programs, which will ensure that adequate government oversight mechanisms are in place to maintain the confidence of Canada's trading partners and facilitate open access to marketplace.

Shared Outcome(s):
(a) protect human health by reducing exposure to hazards; and
(b) increase consumer confidence in the safety and quality of food produced in Canada. [ MOU, section 1.2].

Governance Structure(s):
The MOU Governance Model includes three levels:
(1) the Joint Management Committee (JMC) which approves costed work plans with milestones, targets and indicators; reviews expenditures; and reports semi-annually on results to the Deputy Ministers' Committee;
(2) the Deputy Ministers' Committee which reviews and recommends the annual release of funds that are held in frozen allotment by Treasury Board Secretariat (TBS), and recommends the Minister's approval of changes, where objectives of this MOU change materially; and
(3) the Ministers who approve changes where objectives of this MOU change materially and who constitute the last resort for dispute resolution.
A TBS official sits as an ex-officio member on the first committee.
This MOU Governance Structure is supported by the Interdepartmental Director General Working Group, whose members are the relevant Directors General from AAFC and CFIA and a Senior Director from TBS.

Federal Partners Involved in each program	Names of Programs	Total Allocation	Planned Spending for 2008/09	Expected Results for 2008/09
1. AAFC (work performed by CFIA)	a. On-Farm Food Safety Recognition Program (OFFSRP)	$10.0 M (for fiscal years 2003/04 to 2007/08 only) 2008-09 not available at this time.	Not available at this time.	OFFSRP Development - The requirements, criteria, and procedures for the 3rd party audit accreditation process developed and finalized - Implementation Assessment process implemented (industry management system) - On-going monitoring process developed. - Pilots on accreditation and implementation assessment processes conducted. - Training to industry and government partners on the details of the above processes provided OFFSRP Implementation - Ongoing technical review of industry-submitted generic HACCP models and producer manuals - Ongoing technical review of industry procedures manual, management system documents and manuals. Expanded Activities (from re-profiled funding) Hazard Data Base (HDB) - The web-based application for the provision of the HDB technical information to stakeholders developed and implemented. Generic Models - On-farm and / or post-farm HACCP generic models for identified products developed. Guidelines - A reference documents for on-farm and/or post-farm that will serve as a tool for industry regarding the safety of identified products / commodities developed. - A training module related to the reference document developed and delivered. Post Farm Recognition - Stakeholder needs and OFFSRP tools and methodology integrated into the Post Farm Recognition Program (PFRP). - Implementation strategy developed. - Technical review process for HACCP plans and participant manuals piloted - Technical review process related to management systems developed. Technical Advice - Timely scientific and technical advice to AAFC and AAFC stakeholders provided. Surveillance (Baselines) - Current knowledge on the prevalence of E. coli 0157:H7, Salmonella and Campylobacter in food-producing animals and meat products marketed in Canada assessed. -Initial data collected to determine contamination profile in leafy greens -Initial data collected for assessment of various chemical residues in specified products. - Critical gaps in industry food safety plans that require action are identified. Strengthening Food Safety Networks -Key food safety, traceability and quality strategies developed through work with interdepartmental colleagues as well as consultation with P/T governments and external stakeholders. - Risk modelling tool to evaluate risk profiles developed.
2. CFIA	b. Medicated Feed Regulations	$17.0 M (for fiscal years 2003/04 to 2007/08 only) 2008-09 not available at this time.	Not available at this time.	Medicated Feeds Regulations Regulatory text developed and finalized, including Regulatory Impact Analysis Statement and other required documents Regulatory proposal published in Canada Gazette I and II Continued participation in stakeholder meetings to discuss and refine the regulatory proposal, develop technical guide to the Regulations (Manual of Procedures) and raise awareness of regulatory requirements Environmental scan on effective licensing options conducted Functional licensing office opened Development continued on a lab accreditation system for medication guarantees and residues National documented training and assessment program for feed inspection staff developed Implement Inspector Certification Program in the Feed Program Improve IT system to ensure availability of accurate, comprehensive electronic compliance information
Total		$27.0 M (for fiscal years 2003/04 to 2007/08 only) 2008-09 not available at this time.	Not available at this time.

Federal Partners Involved in each program

Names of Programs

Total Allocation

Planned Spending for 2008/09

Actual Spending in 2008/09

Expected Results for 2008/09

Achieved Results in 2008/09

1. AAFC
(work performed by
CFIA)

a. On-Farm Food Safety Recognition Program (OFFSRP)

$10.0 M (for fiscal years 2003/04 to 2007/08 only) 2008-09 not available at this time.

Not available at this time.

OFFSRP Development
- The requirements, criteria, and procedures for the 3rd party audit accreditation process developed and finalized
- Implementation Assessment process implemented (industry management system)
- On-going monitoring process developed.
- Pilots on accreditation and implementation assessment processes conducted.
- Training to industry and government partners on the details of the above processes provided

OFFSRP Implementation
- Ongoing technical review of industry-submitted generic HACCP models and producer manuals
- Ongoing technical review of industry procedures manual, management system documents and manuals.

Expanded Activities (from re-profiled funding)
Hazard Data Base (HDB)
- The web-based application for the provision of the HDB technical information to stakeholders developed and implemented.

Generic Models
- On-farm and / or post-farm HACCP generic models for identified products developed.

Guidelines
- A reference documents for on-farm and/or post-farm that will serve as a tool for industry regarding the safety of identified products / commodities developed.
- A training module related to the reference document developed and delivered.

Post Farm Recognition
- Stakeholder needs and OFFSRP tools and methodology integrated into the Post Farm Recognition Program (PFRP).
- Implementation strategy developed. - Technical review process for HACCP plans and participant manuals piloted
- Technical review process related to management systems developed.

Technical Advice
- Timely scientific and technical advice to AAFC and AAFC stakeholders provided.

Surveillance (Baselines)
- Current knowledge on the prevalence of E. coli 0157:H7, Salmonella and Campylobacter in food-producing animals and meat products marketed in Canada assessed.
-Initial data collected to determine contamination profile in leafy greens
-Initial data collected for assessment of various chemical residues in specified products.
- Critical gaps in industry food safety plans that require action are identified.

Strengthening Food Safety Networks -Key food safety, traceability and quality strategies developed through work with interdepartmental colleagues as well as consultation with P/T governments and external stakeholders.
- Risk modelling tool to evaluate risk profiles developed.

2. CFIA

b. Medicated Feed Regulations

$17.0 M (for fiscal years 2003/04 to 2007/08 only) 2008-09 not available at this time.

Not available at this time.

Medicated Feeds Regulations

Regulatory text developed and finalized, including Regulatory Impact Analysis Statement and other required documents

Regulatory proposal published in Canada Gazette I and II

Continued participation in stakeholder meetings to discuss and refine the regulatory proposal, develop technical guide to the Regulations (Manual of Procedures) and raise awareness of regulatory requirements

Environmental scan on effective licensing options conducted

Functional licensing office opened

Development continued on a lab accreditation system for medication guarantees and residues

National documented training and assessment program for feed inspection staff developed

Implement Inspector Certification Program in the Feed Program

Improve IT system to ensure availability of accurate, comprehensive electronic compliance information

Total

$27.0 M
(for fiscal years 2003/04 to 2007/08 only) 2008-09 not available at this time.

Not available at this time.

Results to be Achieved by Non-Federal Partners:
Not applicable

Contact Information:
Anita Stanger
Director
Food Safety and Quality Programs Division
613-759-6234

Note: Planned spending figures represent the amounts included in Main Estimates. The most recent planned spending estimates can be attained from the contact person.

Horizontal Initiative Template

Name of Horizontal Initiative: Co-operatives Secretariat

Name of Lead Department(s): Agriculture and Agri-Food Canada (AAFC)

Start Date of the Horizontal Initiative: April 1, 2003.

End Date of the Horizontal Initiative: March 31, 2008 (proposed extension until March 31, 2009).

Total Federal Funding Allocation: Not available at this time.

Description of the Horizontal Initiative: The Co-operatives Secretariat was established in 1987 to help the Government of Canada respond more effectively to the concerns and needs of Canadian co-operatives. The Secretariat advises the government on policies affecting co-operatives, co-ordinates the implementation of such policies, promotes co-operatives within the federal government, and provides a link between the co-operative sector and the many federal departments and agencies with which they interact. Since 2003, the Co-operatives Secretariat is managing the Co-operative Development Initiative and the Agricultural-Co-operative Development Initiative since 2006-07.

Shared Outcome(s): The end outcome of the Government of Canada with respect to co-operatives is the expanded use of the co-operatives model to enhance the economic growth and social development of Canadian rural and urban society. The objectives are to:
- raise awareness of the co-operative model and of the role that co-operatives can play in both social and economic development;
- promote policies, programs and legislation that support co-operatives development that achieve federal policy objectives, and greater harmonization of efforts; and
- encourage the growth of existing co-operatives and the creation of new co-operatives to meet the social and economic needs of Canadians.

Governance Structure(s): The Co-operatives Secretariat was created to improve the relationship between Canadian co-operatives and federal departments and agencies. Formal mechanisms for collaboration include the Interdepartmental Committee on Co-operatives, dialogue with provincial collaborators and sector working groups. The Co-operatives Secretariat acts as a coordinator for interaction between the government and the co-operative sector. The Secretariat is headed by a Director, and is part of the Rural and Co-operatives Secretariats within AAFC. More details on the functions of the Secretariat are available.

Federal Partners Involved in each program	Names of Programs	Total Allocation	Planned Spending for 2008/09	Expected Results for 2008/09
Co-operatives Secretariat/ AAFC A listing of the 17 departments and agencies that currently have policies and programs affecting co-operatives is available.	Co-operative Development Initiative (CDI): - Advisory Services - Innovation &Research	$15.0 million (for fiscal years 2003/04 to 2007/08) 2008-09 Not available at this time.	Not Available at this time.	Greater economic benefits in Canadian communities
	Ag-CDI	$1 million (for 2006/07) $3.2 million (for fiscal years 2007/08 and 2008/09)	$2.0M for Ag-CDI
	Co-operatives Secretariat	2008-09 Not Available at this time.	Not Available at this time.
Total		Not available at this time.	Not available at this time.

Results to be Achieved by Non-Federal Partners:
Not applicable.

Contact Information:
Donna Mitchell
Executive Director
Rural and Co-operatives Secretariats
613-759-7113

Note: Planned spending figures represent the amounts included in Main Estimates. The most recent planned spending estimates can be attained from the contact person.

Horizontal Initiative Template

Name of Horizontal Initiative: AAFC-Department of Foreign Affairs and International Trade (DFAIT) MOU on Agri-Food Specialists Positions Abroad

Name of Lead Department(s): Agriculture and Agri-Food Canada (AAFC)

Start Date of the Horizontal Initiative: 2003-04 fiscal year

End Date of the Horizontal Initiative: March 31, 2008 (proposed extension until March 31, 2009).

Total Federal Funding Allocation: Amount not available at this time.

Description of the Horizontal Initiative: A key objective of the Agricultural Policy Framework (APF) International component was to strengthen Canada's market access and market development capacity and gaining recognition for Canada's world-leading capabilities to meet the quality demands of highly-segmented and increasingly competitive global markets.

This MOU establishes the operational principles, management practices and performance measurement criteria for the 33 agriculture and agri-food specialist positions in Canadian Embassies and High Commissions located in key export markets. The agricultural specialist's role is to enhance the delivery of services to Canadian agricultural exporters in areas such as agriculture and agri-food business development, investment promotion, market access and advocacy, and market penetration.

The MOU will be re-negotiated and broadened to encompass AAFC's full relationship with DFAIT, including the North American Partnership Program (NAPP) as both departments evolve their programs, with AAFC implementing the new Growing Forward Framework Agreement and DFAIT implementing the Global Commerce Strategy.

Shared Outcome(s):
(a) Improved capacity within DFAIT's Trade Commissioner Service (TCS) to deliver in-market support to Canadian agricultural exporters;
(b) Increased recognition in targeted markets of Canada-branded food and agriculture products, recognizing Canada's ability to supply high quality, safe and innovative products produced in an environmentally responsible manner; and
(c) Improved market access in key markets for Canadian food and agriculture products.

Governance Structure(s):
The MOU Governance Model includes three levels:
(1) the Joint Management Committee (JMC) which approves work plans with milestones, targets and indicators; reviews expenditures; and reports semi-annually on results to the Deputy Ministers' Committee;
(2) the Deputy Ministers' Committee which reviews and recommends the annual release of funds that are held in frozen allotment by Treasury Board Secretariat (TBS), and recommends the Ministers' approval of changes, where objectives of this MOU change materially; and
(3) Ministers who approve changes where objectives of this MOU change materially and who constitute the last resort for dispute resolution.

This MOU Governance Structure is supported by the International Markets Coordination unit at AAFC, which operates under the guidance of the relevant Directors General of AAFC and DFAIT and the Senior Director at TBS, and which consults with appropriate AAFC and DFAIT officials from the geographic, trade policy, investment, performance measurement, and human resources teams.

Federal Partners Involved in each program	Names of Programs	Total Allocation	Planned Spending for 2008/09	Expected Results for 2008/09
AAFC	a. Negotiation of new MOU	Not available at this time	Not available at this time	Interdepartmental relationship and roles clarified; investment for subsequent years agreed
	b. Agricultural Specialists Abroad (AASA) program (one-year extension of program created under APF)	$42.5 million for 2003-04 to 2007-08. Plus one year proposed extension for 2008-09 (amount not available at this time).	Not available at this time	Further harmonization and clarity between AAFC's and DFAIT's planning and reporting processes AASAs deliver in-market support to Canadian exporters, contributing to market development, improved market access and promotion of the Canada brand for food and agriculture.
	c. North America Partnership Program (NAPP)	Not available at this time	Not available at this time	Agricultural Trade Commissioners deliver in-market services to industry, and market development/promotion and trade advocacy in North American markets
2) DFAIT	Client Service Fund (for general expenditures in support of the positions)	Not available at this time	Not available at this time	Support initiatives related to agriculture, food and seafood sector.
Total		Not available at this time	Not available at this time

Results to be Achieved by Non-Federal Partners:
Not applicable.

Contact Information:
Susan Winkelaar
A/Manager, International Markets Coordination
613-759-7987

Note: Planned spending figures represent the amounts included in Main Estimates. The most recent planned spending estimates can be attained from the contact person. Planned spending amounts are approximate, pending completion of negotiations and Treasury Board Submission approval.

Horizontal Initiative Template

Name of Horizontal Initiative: Farm Business Services

Name of Lead Department(s): Agriculture and Agri-Food Canada (AAFC)

Start Date of the Horizontal Initiative: April 1, 2003.

End Date of the Horizontal Initiative: March 31, 2008 (proposed extension until March 31, 2009).

Total Federal Funding Allocation: Not available at this time.

Description of the Horizontal Initiative: These services will provide eligible farmers access to financial consultants who will help them assess their finances and develop succession, action plans and business plans (financial, marketing, value-added). Further details are available.

Shared Outcome(s):
(a) Farmers' profitability increased;
(b) Improved choices about sources of income; and
(c) Production of farm products based on market and consumer demands respecting food safety and food quality and environmentally responsible production, and opportunities from science and innovation captured.

Governance Structure(s): Program development and performance measurement by Renewal federal/provincial/territorial working group.

Federal Partners Involved in each program	Names of Programs	Total Allocation	Planned Spending for 2008/09	Actual Spending in 2008/09	Expected Results for 2008/09
AAFC	i) Canadian Farm Business Advisory Services (CFBAS), which has two phases: Farm Business Assessment (FBA)	$53.2 million (2003/04 to 2007/08 only) 2008/09 not available at this time.	Not yet available		(1) Increased implementation by farmers of business development strategies.
	Specialized Business Planning Services (SBPS)	$20.7 million (2003/04 to 2007/08 only) 2008/09 not available at this time.		Not yet available	(2) Farmers are satisfied with programs.
	ii) Planning and Assessment for Value-Added Enterprises (PAVE)	$26.1 million (2003/04 to 2007/08 only) 2008/09 not available at this time.	Not yet available
Total		$100.0 million (fiscal years 2003/04 to 2007/08 only) 2008/09 not available at this time.	Not yet available

Results to be Achieved by Non-Federal Partners:
Non-federal partners will continue to participate in the Renewal federal-provincial-territorial working group, where program issues are addressed. Non-federal partners will also continue to deliver Renewal programs where collateral agreements have been signed (Quebec and the First Nations Agricultural Council of Saskatchewan Inc.).

Contact Information:
Johanne Métayer
Director
Renewal Division
Farm Financial Programs Branch
613-759-6689

Note: Planned spending figures represent the amounts included in Main Estimates. The most recent planned spending estimates can be attained from the contact person.

Horizontal Initiative Template

Name of Horizontal Initiative: Rural Development

Name of Lead Department(s): Agriculture and Agri-Food Canada (AAFC)

Start Date of the Horizontal Initiative: April 1, 2003

End Date of the Horizontal Initiative: March 31, 2008 (proposed extension until March 31, 2009)

Total Federal Funding Allocation: Not available at this time.

Description of the Horizontal Initiative: The Government of Canada has mandated the Rural Secretariat, through the Canadian Rural Partnership (CRP), with developing, coordinating, and implementing a national, coordinated, cross-government approach to better understand the issues and concerns of rural Canadians and to encourage federal departments and agencies to make adjustments to their policies, programs and services to reflect the unique needs of rural communities. Through the CRP, involving 34 federal departments and agencies, the Government of Canada aims to integrate its economic, social, environmental and cultural policies and programs to enhance the quality of life for rural Canadians.

Shared Outcome(s):
The outcome is to enable rural communities to use their innovative capacity to capture the value of local amenities, and achieve greater local economic competitiveness. It is based on the following six guiding principles:.
- community is the cornerstone of rural development;
- collaboration across and among governments;
- flexible government approach to address rural diversity;
- multi-faceted/integrated approach to realize a community's potential;
- local leadership underpins the community's capacity; and
- business and entrepreneurship are essential components of building strong rural communities

Governance Structure(s): The federal partnership - the Canadian Rural Partnership - is managed by the Rural Secretariat based in AAFC in cooperation with an Assistant Deputy Minister Steering Committee, an Interdepartmental Working Group and Rural Development Networks, with representatives from 34 federal departments and agencies involved in the rural agenda. Horizontal coordination and leadership are provided by the Rural Secretariat under the direction of the Minister. This collaborative effort is reinforced by Rural Teams in each province and territory comprised of the federal government in the region with most teams also including members from the provincial or territorial government and/or sectoral stakeholders. At the Federal/Provincial/Territorial (F/P/T) level there is an Assistant Deputy Ministers Committee and a Working Group reporting to FPT Ministers responsible for rural issues.

Federal Partners Involved in each program	Names of Programs	Total Allocation	Planned Spending for 2008/09	Actual Spending in 2008/09	Expected Results for 2008/09	Achieved Results in 2008/09
Rural Secretariat A listing of the 34 departments and agencies of the Canadian Rural Partnership	Rural Dialogue Rural Lens Rural Research and Analysis Outreach Rural Programs	$60.0 million (for fiscal years 2003/04 to 2007/08) 2008-09 Not available at this time	Not available at this time.		Vibrant rural communities participating in and benefiting from local and national prosperity
Total		Not available at this time.	Not available at this time.

Contact Information:
Donna Mitchell
Executive Director
Rural and Co-operatives Secretariats
613-759-7113

Note: Planned spending figures represent the amounts included in Main Estimates. The most recent planned spending estimates can be attained from the contact person.

Internal Audits

Departments must provide a list of all upcoming internal audits reference any significant findings (using electronic links) from any internal audits not already identified in any previous RPP or DPR.

1. Name of Internal Audit/Evaluation	2. Audit Type/ Evaluation Type	3. Status	4. Expected Completion Date
Audit of Farm Income Payment Program - General Payment	Transfer Payment	In Progress	2008-2009 1st Qtr
Audit of Farm Income Payment Program - Direct Payment	Transfer Payment	In Progress	2008-2009 1st Qtr
Audit of Greencover	Management	In Progress	2008-2009 1st Qtr
Follow-up Audit of Information Security	Follow-Up	In Progress	2008-2009 1st Qtr
Official Languages Follow-up Assessment	Follow-Up	Planned	2008-2009 1st Qtr
Audit of Temporary Help Services	Compliance	In Progress	2008-2009 3rd Qtr
Audit of Management of Federal/Provincial Agreements for the delivery of BSE	Transfer Payment	In Progress	2008-2009 3rd Qtr
Follow-up Audit of Pay and Benefits	Follow-Up	Planned	2008-2009 3rd Qtr
Audit of Grains and Oilseeds Payment Program	Transfer Payment	In Progress	2008-2009 3rd Qtr
Audit of Promotional Activities	Management	In Progress	2008-2009 3rd Qtr
Audit of Compliance to Network Wireless Access Policy	IM/IT	In Progress	2008-2009 4th Qtr
Audit of NLWIS Systems under Development	IM/IT	In Progress	2008-2009 4th Qtr
Audit of Section 33 Financial Administration Act Processes and Control	Finance	Planned	2009-2010 1st Qtr
Audit of Management of Capital Assets	Management	Planned	2009-2010 1st Qtr

6. Electronic Link to the Audit Plan:

A multi-year Audit plan is not available at this time, but a risk based Audit plan for 2008-2009 will be available by April 2008.

An annual Risk-Based Audit Plan will be developed which addresses areas of significance to AAFC, including organization objectives and priorities, AAFC's Corporate Risk Profile and other audit risk factors. The Risk-Based Audit Plan will also include horizontal audits as requested by the Comptroller General. The risk-based audits as well al OCG horizontal audits will support the annual opinion from the Chief Audit Executive

Canadian Pari-Mutuel Agency Revolving Fund

Statement of Operations
($ millions)	Forecast 2007-2008¹	Planned 2008-2009	Planned 2009-2010	Planned 2010-2011
Respendable Revenue	13.7	13.8	13.8	13.8
Expenses
Operating:
Salaries and employee benefits	5.0	5.2	5.2	4.4
Depreciation	0.2	0.2	0.2	0.2
Administrative and support services	8.3	8.2	7.8	8.5
Utilities, materials and supplies	0.2	0.2	0.2	0.2
Total Operating	13.7	13.8	13.3	13.3
Surplus (Deficit)	-	-	0.5	0.6
Statement of Cash Flows
($ millions)	Forecast 2007-2008¹	Planned 2008-2009	Planned 2009-2010	Planned 2010-2011
Surplus (Deficit)	-	-	0.5	0.6
Add non-cash items: Depreciation/amortisation	0.2	0.2	0.2	0.2
Investing activities: Acquisition of depreciable assets	(0.2)	(0.2)	(0.2)	(0.2)
Cash Surplus (requirement)	-	-	0.5	0.6
Projected Use of Authority
($ millions)	Forecast 2007-2008¹	Planned 2008-2009	Planned 2009-2010	Planned 2010-2011
Authority*	2.0	2.0	2.0	2.0
Drawdown:
Balance as at April 1	0.7	0.7	0.7	1.2
Projected Surplus (Drawdown)	-	-	0.5	0.6
Total Drawdown	0.7	0.7	1.2	1.8
Projected Balance at March 31	2.7	2.7	3.2	3.8

* $2 million is the maximum amount that may be drawn down from the Consolidated Revenue Fund (CRF) at any time.

Note:

¹Forecast for 2007-08 reflects the forecasted revenues and expenditures for the fiscal year.

The figures have been rounded to the nearest millions of dollars. Figures that cannot be listed in millions of dollars are shown as 0.0. Due to rounding, figures may not add to the totals shown.

Services Received Without Charge

2008-2009
($ millions)	Total
Accommodation provided by Public Works and Government Services Canada (PWGSC)	17.1
Contributions covering the employer's share of employees' insurance premiums and expenditures paid by the Treasury Board of Canada Secretariat (TBS) (excluding revolving funds)	37.3
Worker's compensation coverage provided by Human Resources and Social Development Canada (HRSDC)	1.6
Salary and associated expenditures of legal services provided by the Department of Justice Canada	1.6
Total 2008-2009 Services received without charge	57.6

The figures in the above table have been rounded to the nearest millions of dollars. For this reason, figures that cannot be listed in millions of dollars are shown as 0.0.

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

Sources of Respendable and Non-Respendable Revenue

Respendable Revenue
($ millions)	Forecast Revenue 2007-2008	Planned Revenue 2008-2009	Planned Revenue 2009-2010	Planned Revenue 2010-2011
Business Risk Management
AgriStability - Admin. Fees	-	5.5	5.5	5.5
Canadian Agricultural Income Stabilization (CAIS) - Admin. fees	5.5	-	-	-
Total - Business Risk Management	5.5	5.5	5.5	5.5
Food Safety and Food Quality
Collaborative research agreements and research services	1.5	1.5	1.5	1.5
Total - Food Safety and Food Quality	1.5	1.5	1.5	1.5
Environment
Collaborative research agreements and research services	5.5	5.5	5.5	5.5
Community Pastures	18,0	19,1	20,4	21,8
Total - Environment	23,5	24,6	25,9	27,3
Innovation and Renewal
Collaborative research agreements and research services	15.0	15.0	15.0	15.0
Total - Innovation and Renewal	15.0	15.0	15.0	15.0
Canadian Pari-Mutuel Agency
Canadian Pari-Mutuel Agency Revolving Fund	13.7	13.8	13.8	13.8
Total - Canadian Pari-Mutuel Agency	13.7	13.8	13.8	13.8
Total Respendable Revenue	59.2	60.4	61.7	63.1

Non-Respendable Revenue
($ millions)	Forecast Revenue 2007-2008	Planned Revenue 2008-2009	Planned Revenue 2009-2010	Planned Revenue 2010-2011
Business Risk Management
Refund of Previous Years' Expenditures	5.9	7.9	0.4	0.4
Service and Service Fees	0.8	0.8	0.8	0.8
Privileges, Licences and Permits	0.3	0.3	0.3	0.3
Return on Investments	0.6	0.6	0.6	0.6
Proceeds from Sales of Crown Assets	0.3	0.3	0.3	0.3
Other non-tax revenues	1.2	1.2	1.2	1.2
Total - Business Risk Management	9.2	11.2	3.7	3.7
Food Safety and Food Quality
Refund of Previous Years' Expenditures	0.1	0.1	0.1	0.1
Service and Service Fees	0.0	0.0	0.0	0.0
Privileges, Licences and Permits	0.4	0.4	0.4	0.4
Return on Investments	0.3	0.3	0.3	0.3
Proceeds from Sales of Crown Assets	0.2	0.2	0.2	0.2
Other non-tax revenues	0.6	0.6	0.6	0.6
Total - Food Safety and Food Quality	1.5	1.5	1.5	1.5
Markets and International
Refund of Previous Years' Expenditures	0.5	0.5	0.5	0.5
Service and Service Fees	0.0	0.0	0.0	0.0
Privileges, Licences and Permits	0.2	0.2	0.2	0.2
Return on Investments	0.6	0.6	0.6	0.6
Proceeds from Sales of Crown Assets	0.0	0.0	0.0	0.0
Other non-tax revenues	1.2	1.2	1.2	1.2
Total - Markets and International	2.5	2.5	2.5	2.5
Environment
Refund of Previous Years' Expenditures	0.4	0.4	0.4	0.4
Service and Service Fees	0.0	0.0	0.0	0.0
Privileges, Licences and Permits	0.8	0.8	0.8	0.8
Return on Investments	1.5	1.5	1.6	1.6
Proceeds from Sales of Crown Assets	0.7	0.7	0.7	0.7
Other non-tax revenues	3.0	3.0	3.0	3.0
Total - Environment	6.5	6.5	6.6	6.6
Innovation and Renewal
Refund of Previous Years' Expenditures	0.5	0.5	0.5	0.5
Service and Service Fees	0.0	0.0	0.0	0.0
Privileges, Licences and Permits	4.0	4.0	4.0	4.0
Return on Investments	1.3	1.4	1.4	1.4
Proceeds from Sales of Crown Assets	1.9	1.9	1.9	1.9
Other non-tax revenues	2.7	2.7	2.7	2.7
Total - Innovation and Renewal	10.4	10.5	10.5	10.5
Rural and Co-operatives
Refund of Previous Years' Expenditures	0.0	0.0	0.0	0.0
Service and Service Fees	0.0	0.0	0.0	0.0
Privileges, Licences and Permits	0.0	0.0	0.0	0.0
Return on Investments	0.1	0.1	0.1	0.1
Proceeds from Sales of Crown Assets	0.0	0.0	0.0	0.0
Other non-tax revenues	0.2	0.2	0.2	0.2
Total - Rural and Co-operatives	0.3	0.3	0.3	0.3
National Farm Products Council
Refund of Previous Years' Expenditures	0.0	0.0	0.0	0.0
Service and Service Fees	0.0	0.0	0.0	0.0
Privileges, Licences and Permits	0.0	0.0	0.0	0.0
Return on Investments	0.0	0.0	0.0	0.0
Proceeds from Sales of Crown Assets	0.0	0.0	0.0	0.0
Other non-tax revenues	0.1	0.1	0.1	0.1
Total - National Farm Products Council	0.2	0.2	0.2	0.2
Total Non-Respendable Revenue	30.6	32.7	25.3	25.3
Total Respendable and Non-Respendable Revenue	89.8	93.2	87.0	88.4

Respendable revenues are generated by the Community Pastures Program, collaborative research agreements and research services, administration fees related to the CAIS/AgriStability program, and the Canadian Pari-Mutuel Agency Revolving Fund. In accordance with Treasury Board policy, the Department can generate and spend up to 125 percent of its vote-netted revenue authority.

Forecast Revenue for 2007-2008 related to the CPMA Revolving Fund reflects the anticipated revenue generated, whereas the respendable revenue reflected in the "Departmental Planned Spending and FTEs" table in Section 1, reflects the respendable revenue authority as per the Main Estimates.

Non-respendable revenues include such items as refunds of previous years' expenditures, proceeds from the sales of Crown Assets, privileges, licenses and permits. Non-respendable revenues for 2007-2008 and 2008-2009 are higher than 2009-2010 and 2010-2011 mainly due to Refund of Previous Years' Expenditures under the Business Risk Management Program Activity which includes amounts to be recovered from provinces for payments made by the Department, and collections of overpayments under the Canadian Farm Income Program (CFIP), Canadian Agricultural Income Stabilization (CAIS) and the Agricultural Income Disaster Assistance Program (AIDA). Additional amounts may be recovered beyond 2008-2009, but cannot be estimated at this time.

The figures in the above tables have been rounded to the nearest millions of dollars. For this reason, figures that cannot be listed in millions of dollars are shown as 0.0.

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

Status Report on Major Crown Projects for Agriculture and Agri-Food Canada

Description:

The National Land and Water Information Service is an initiative of Agriculture and Agri-Food Canada (AAFC) under the Agricultural Policy Framework (APF) to make available, to land-use decision makers, decision tools and environmental information to support and inform local and regional land-use planning and management. This supports the government's objectives for an environmentally sustainable agriculture sector.

The National Land and Water Information Service will support improved decision making in agriculture through the provision of timely and relevant geo-spatial information to land management decision makers across Canada. The Service will provide a coordinated national approach for managing, interpreting and disseminating information, by strategically linking the land, soil, water, air, climate and biodiversity capacities of federal departments, provincial and municipal governments and non-governmental organizations. The federal government's desire for promotion of technology through the Government On-Line initiative strengthens the information provision objective of NLWIS.

Project Phases:

Project Definition (2004/05);
Project Implementation (2005/06): Phase 1 (2005/06), Phase 2 (2005/07), Phase 3 (2006/08), Phase 4 (2008/09)

Leading and Participating Departments and Agencies:
Lead Department or Agency:	AAFC
Contracting Authority:	AAFC, PWGSC
Participating Departments and Agencies:	NRCan, EC, SC, DFO, HC, PWGSC, CSA, INAC, TBS, PSEPC, IC, PC, Archives
Prime and Major Sub-Contractors:
Prime Contractor:
Major Sub-Contractors:	The Halifax Group;Fujitsu Consulting Canada

Based on AAFC's existing capabilities with regard to geomatics information technology applications, AAFC will retain overall responsibility for design, development, delivery and ongoing maintenance of the National Land and Water Information Service. Private sector resources will be obtained when required to meet discrete identified gaps in AAFC's internal capabilities or internal resource availability.

In order to ensure compliance with project timelines and minimize transaction and administration costs, existing Government of Canada (GOC) and AAFC procurement instruments (Supply Arrangements, Standing Offers, etc) will be used as appropriate to the circumstances.

Procurement of specialized IT and other professional services will be structured to maximize knowledge transfer to AAFC in order to ensure cost-effective maintenance of the National Land and Water Information Service.

Major Milestones:
Major Milestones	Date
Milestone
Preliminary Project Approval	10-Apr-03
Project Management Office Established	30-Jun-03
Preliminary Project Approval Amendment	8-Apr-04
Proof of Concept Completed	31-Jan-05
Effective Project Approval Documentation Completed	31-Jan-05
Effective Project Approval	2-May-05
Phase 1 (Single Window) completion	31-Mar-06
Phase 2 (Geospatial Environment) commencement	1-Sep-05
Phase 2 (Geospatial Environment) completion	30-Nov-07
Phase 3 (National Source for Agri-environmental Geospatial Information) commencement	1-Jan-06

Progress Report and Explanations of Variances:

The Treasury Board approved the National Land and Water Information Service (NLWIS) with an estimated cost of $100.1 million. The NLWIS Project received Preliminary Project Approval on April 10, 2003 and was designated a Major Crown Project. The National Land and Water Information Service Project received Effective Project Approval from Treasury Board in May 2005. Phase 1 (Single Window) was completed in March 2006. Phase 2 (Geospatial Environment) was initiated in September 2005 and was completed in November 2007. Phase 3 (National Source for Agri-environmental Geospatial Information) commenced in January 2006. Phase 3 will provide accessibility to new GIS applications and services to users across Canada. Direct access to geospatial data, maps and tools will be made available. Users will be able to access information and data in both official languages and in standardized formats.

No additional funding has been provided by the Treasury Board or by the department. NLWIS is currently running on budget with the completion date still estimated to be March 2009.

Industrial Benefits:

The National Land and Water Information Service is a national program that will use and provide information in all the provinces. Resources required to support implementation will be located across Canada.

Summary of Capital Spending by Program Activity

($ millions)	Forecast Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010	Planned Spending 2010-2011
Business Risk Management	0.0	0.5	0.0	0.0
Food Safety and Food Quality	0.2	0.2	0.2	0.2
Markets and International	0.0	0.0	0.0	0.0
Environment	35.2	27.9	27.9	27.3
Innovation and Renewal	8.1	8.6	8.1	7.8
Rural and Cooperatives	0.0	0.0	0.0	0.0
National Farm Products Council	0.0	0.0	0.0	0.0
Canadian Pari-Mutuel Agency*	-	-	-	-
Total Capital Spending	43.6	37.3	36.3	35.4

The table reflects forecast and currently planned spending on assets to be capitalized, funded by both Vote 1 Operating and Vote 5 Capital.

*The Canadian Pari-Mutuel Agency Revolving Fund is forecasting acquisition of depreciable assets of $0.2 million per year for the years 2007-2008 through 2010-2011. See Table "Statement of Cash Flows".

The Forecast Spending for 2007-2008 is $43.6 million compared to $37.3 million for 2008-2009, a difference of $6.3 million. This is mainly attributable to 2007-08 including supplementary funding for capital renewal and maintenance of agricultural facilities across Canada.

The figures in the above tables have been rounded to the nearest million of dollars. For this reason, figures that cannot be listed in millions of dollars are shown as 0.0.

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

ARCHIVED - Agriculture and Agri-Food Canada

Archived Content

2008-2009 Reports on Plans and Priorities

Agriculture and Agri-Food Canada

Section I - Departmental Overview

Section II - Analysis of Program Activities by Strategic Outcome

Section III - Supplementary Information

Section IV - Other Items of Interest

Section I - Departmental Overview

Message from The Minister

Management Representation Statement

Raison d'être

Organizational Information

Mandate

RPP Structure

AAFC's 2008-09 Program Activity Architecture

Voted and Statutory Items Displayed in the Main Estimates

Departmental Planned Spending and Full-time Equivalents

Summary Information

Departmental Resources (total net planned spending)

Departmental Priorities

Program Activities by Strategic Outcomes

Operating Environment

Opportunities and Challenges

Production risks

Market and trade conditions

Consumer demands

Increasing innovation

The Government of Canada's agenda

Shared jurisdiction

Growing Forward A New Strategic Response

Departmental Plans and Priorities

Growing Forward: New Strategic Outcomes

Strategic Outcome: Security of the Food System

Program Activity: Business Risk Management

Program Activity: Food Safety and Food Quality

Program Activity: Markets and International

Program Activity: National Farm Products Council

Strategic Outcome: Health of the Environment

Program Activity: Environment

Strategic Outcome: Innovation for Growth

Program Activity: Innovation and Renewal

Program Activity: Rural and Co-operatives

Program Activity: Canadian Pari-Mutuel Agency

Management Priorities

Corporate Management

Citizen-focused Service

Portfolio collaboration

People Management

Information Management and Technology

Parliamentary Committee Reports

Section II - Analysis of Program Activities by Strategic Outcome

Strategic Outcome: Security of the Food System

Program Activity: Business Risk Management

A new suite of BRM programs

AgriStability

AgriInvest

AgriRecovery

AgriInsurance

Financial Guarantee Programs

Program Activity: Food Safety and Food Quality

Program Activity: Markets and International

Program Activity: National Farm Products Council

Strategic Outcome: Health of the Environment

Program Activity: Environment

Strategic Outcome: Innovation for Growth

Program Activity: Innovation and Renewal

Innovation

Renewal

Program Activity: Rural and Co-operatives Secretariats

Program Activity: Canadian Pari-Mutuel Agency

Section III - Supplementary Information

Financial Tables

Table 1: Departmental Link to the Government of Canada Outcomes

Table 2: Sustainable Development Strategy

Other Financial Tables

Section IV - Other Items of Interest

Agriculture and Agri-Food Portfolio

How to Reach Us

Agriculture and Agri-Food Canada Departmental Contacts

2008-2009
Reports on Plans and Priorities