ARCHIVED - RPP 2007-2008
Agriculture and Agri-Food Canada

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SECTION III - Supplementary Information

FINANCIAL TABLES

• Table 1: Departmental Planned Spending and Full time Equivalents (FTEs)
• Table 2: Voted and Statutory Items listed in the Main Estimates
• Table 3: Services Received Without Charge
• Table 4: Summary of Capital Spending by Program Activity
• Table 5: Sources of Respendable and Non-Respendable Revenue
• Table 6: Canadian Pari-Mutuel Revolving Fund (Statement of Operations, Statement of Cash Flows and Projected use of Authority)
• Table 7: Resource Requirement by Team
• Table 8: User Fees
• Table 9: Details on Project Spending
• Table 10: Status Report on Major Crown Projects
• Table 11: Details on Transfer Payment Programs
• Table 12: Conditional Grants
• Table 13: Horizontal Initiatives
• Table 14: AAFC's Fourth Sustainable Development Strategy
• Table 15: Internal Audits and Evaluations

NOTE:
NOTE: In the following tables, forecast spending reflects the authorized funding levels to the end of the fiscal year 2006-2007 (not necessarily forecast expenditures). 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 2007-2008 through to 2009-2010 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.

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 1: Departmental Planned Spending and Full time Equivalents

($ millions)	Forecast Spending 2006-2007¹	Planned Spending 2007-2008²	Planned Spending 2008-2009	Planned Spending 2009-2010
Budgetary Main Estimates
Business Risk Management	1,275.9	1,272.5	756.3	755.8
Food Safety and Food Quality	123.0	120.9	40.4	40.4
Markets and International	113.9	112.0	81.6	81.6
Environment	352.9	331.7	183.2	184.2
Innovation and Renewal	346.9	611.9	253.0	230.4
Rural and Co-operatives Secretariats	22.8	27.0	10.9	10.9
National Farm Products Council	2.7	3.8	3.8	3.8
Canadian Pari-Mutuel Agency	15.2	15.0	15.0	15.1
Budgetary Main Estimates (gross)	2,253.4	2,494.8	1,344.3	1,322.2
Less: Respendable Revenue	61.7	60.5	62.0	63.1
Total Main Estimates	2,191.7	2,434.3	1,282.3	1,259.1
Adjustments (Planned Spending not in Main Estimates):				-
Procurement Savings
Business Risk Management	(0.7)	-	-	-
Food Safety and Food Quality	(0.3)	-	-	-
Markets and Trade	(0.5)	-	-	-
Environment	(1.5)	-	-	-
Innovation and Renewal	(1.3)	-	-	-
Total Procurement Savings	(4.3)	-	-	-
Supplementary Estimates:
Funding in support of amendments to inventory valuation under the Canadian Agricultural Income Stabilization program	897.8	-	-	-
Contributions in support of Business Risk Management Programs under the Agricultural Policy Framework including funding in support of coverage for producers with negative margins - Canadian Agricultural Income Stabilization Program	471.0	-	-	-
Funding for the Canadian Farm Families Option Program	240.0	-	-	-
Funding in support of the Implementation of the Agricultural Policy Framework	100.3	-	-	-
Funding in support of the Cover Crop Protection Program in response to flood damage in 2005 and 2006	89.9	-	-	-
Funding to foster 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)	33.8	29.5	29.2	29.1
Operating Budget carry forward	28.9	-	-	-
Funding to support the establishment, further development and operations of bioproducts research networks (Agricultural Bioproducts Innovation Program)	24.1	31.9	31.7	34.5
Funding in support of the direct financial assistance to grain and oilseed producers and consultations with federal-provincial-territorial officials and stakeholders under the Grain and Oilseed Payment Program	18.6	-	-	-
Grant for the Canadian Agri-Food Policy Institute which provides a neutral venue for dialogue on policy issues critical to the future of the agriculture and agri-food industry	15.0	-	-	-
Contributions in support of the Ruminant Slaughter Loan Loss Reserve Program	15.0	-	-	-
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	10.0	-	-	-
Funding to facilitate the disposal of tissues that can carry the Bovine Spongiform Encephalopathy (BSE) disease and infect the entire food and animal chain	5.1	-	-	-
Funding in support of the enhancement and integration of Agricultural Policy Framework Business Risk Management Initiative	5.0	-	-	-
Reinvestment of royalties from intellectual property	4.8	-	-	-
Grants to organizations to facilitate adaptation and rural development within the Agriculture and Agri-food Sector	4.7	-	-	-
Funding for existing climate change programs pending the finalization of a new environmental agenda	4.0	-	-	-
Reinvestment of revenues from sales and services related to research, facilities and equipment	2.8	-	-	-
Funding to assist producers affected by the golden nematode, more specifically potato producers in Quebec, in order to provide quick financial relief as well as renewal programming to evaluate longer term implications (Golden Nematode Disaster Program)	1.2	-	-	-
Funding in support of the expansion of co-operatives under the Co-operative Development Initiative	1.0	-	-	-
Reinvestment of revenues from the sales or transfer of real property	0.7	-	-	-
Transfer from Canadian Heritage - For the development of Official Language Minority Communities (Interdepartmental Partnership with the Offical Language Communities)	0.4	-	-	-
Funding related to the assessment, management and remediation of federal contaminated sites	0.3	-	-	-
Additional resources related to a reallocation of the Ministry's regional responsibilities	0.3	-	-	-
Transfer from Industry - To undertake projects related to the developments and application of biotechnology (Canadian Biothechnology Strategy)	0.2	-	-	-
To write-off the projected net drawdown authority used by the Canadian Pari-Mutuel Agency's Revolving Fund of up to $1,400,000 effective March 31 2007.	0.0	-	-	-
Transfer to Canadian Food Inspection Agency - For the implementation of a national livestock traceability system to strengthen Canada's negotiating position in international markets related to Bovine Spongiform Encephalopathy (BSE)	(0.5)	-	-	-
Transfer to Foreign Affairs and International Trade - To provide support to Agriculture and Agri-Food staff located at mission abroad	(0.1)	-	-	-
Less: Spending Authorities available within the Vote	58.4	-	-	-
Total Supplementary Estimates	1,915.7	61.4	60.9	63.7
Budget Announcement
	-	-	-	-
Total Budget Announcement	-	-	-	-
Other:
Collective Agreement Salary Increases	9.4	-	-	-
Employee Benefit Plan (EBP)	4.8	-	-	-
Action Plan for the Agricultural Sector: Agricultural Disaster Assistance	-	124.5	125.0	125.0
Funding to facilitate the disposal of tissues that can carry the Bovine Spongiform Encephalopathy disease and infect the entire food and animal chain	-	34.5	40.3	-
Farm Support - Enhanced Agriculture Support - Capital Formation Program	-	30.7	52.0	52.0
Action Plan for the Agricultural Sector: Negative Margin	-	25.0	25.0	25.0
Funding to support the enhancement of delivery systems for the Business Management Programs under the Agricultural Policy Framework	-	24.9	-	-
Action Plan for the Agricultural Sector: Cover Crop	-	9.0	9.0	9.0
Farm Support - Enhanced Agriculture Support - Biofuels Opportunities	-	7.0	-	-
Farm Support - Enhanced Agriculture Support	-	1.5	141.5	164.5
Government of Canada Exhibitions Program	-	0.5	-	-
Funding to assist producers affected by the golden nematode, more specifically potato producers in Quebec, in order to provide quick financial relief as well as renewal programming to evaluate longer term implications (Golden Nematode Disaster Program)	-	0.5	-	-
Internal Audit	-	0.4	-	-
Biotechnology Budget	-	-	6.0	6.0
Skyline - Repayment towards client costs	-	-	(0.6)	(0.6)
Total Other	14.2	258.5	398.2	380.9
Total Adjustments	1,925.6	319.9	459.0	444.6
Total Net Planned Spending	4,117.3	2,754.2	1,741.3	1,703.7
Less: Non-Respendable Revenue	29.3	23.7	23.7	23.7
Plus: Cost of services received without charge3	51.9	45.7	40.6	39.9
Total Departmental Spending	4,139.9	2,776.2	1,758.2	1,719.8
Full Time Equivalents4	6,564	6,564	6,565	6,566

NOTES:

¹ Reflects the authorized funding levels to the end of the fiscal year 2006-2007 (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 2007-2008 through to 2009-2010 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 employers' share of employees' insurance premiums and expenditures paid by Treasury Board Secretariat (TBS), Worker's compensation coverage provided by Social Development Canada and salary and associated expenditures of legal services provided by the Department of Justice Canada. See details in Table 3.
⁴ In addition to the FTEs noted above, in 2006-2007 there 164 FTEs employed by AAFC funded by respendable revenue sources from collaborative research projects with industry, and other activities not funded through AAFC appropriations. Also, 366 FTEs were employed as students. Data for 2007-2008 to 2009-2010 similarly does not make any provision for staff funded through respendable sources or students.

The Planned Spending for 2007-2008 is $2,754.2 million compared to $1,741.9 million for 2008-2009, a difference of approximately $1 billion. This is largely attributable to the expiry of the APF in 2007-2008. Significant policy and program development work will be required in 2007-2008 to ensure the next generation of Canadian agriculture and agri-food policy is developed, negotiated and ready to implement in 2008.

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: Voted and Statutory Items listed in Main Estimates

($ millions)
Vote or Statutory Item	Truncated Vote or Statutory Wording	Main Estimates 2007-2008	Main Estimates 2006-2007
1	Operating Expenditures	605.9	583.9
5	Capital Expenditures	28.6	28.6
10	Grants and Contributions	595.8	448.9
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)	Grants to agencies established under the Farm Products Agencies Act	0.2	0.2
(S)	Payments in connection with the Agricultural Marketing Programs Act	138.7	65.5
(S)	Loan Guarantees under the Farm Improvement and Marketing Cooperatives Loans Act	4.0	4.0
(S)	Contributions in Support of Business Risk Management Programs under the Agricultural Policy Framework - Production Insurance	407.0	407.0
(S)	Contributions in Support of Business Risk Management Programs under the Agricultural Policy Framework - Canadian Agricultural Income Stabilization Program	570.5	570.0
(S)	Contributions in Support of Business Risk Management Programs under the Agricultural Policy Framework -Agriculture Policy Initiatives	4.2	4.2
(S)	Canadian Cattlemen's Association Legacy Fund	5.0	5.0
(S)	Minister of Agriculture and Agri-Food - salary and motor car allowance	0.1	0.1
(S)	Contributions to employee benefit plans	74.3	74.3
(S)	Canadian Pari-Mutuel Agency Revolving Fund	-	-
TOTAL DEPARTMENT		2,434.3	2,191.7

NOTES:

(S) denotes a Statutory item

The Main Estimates for 2007-2008 are $2,434.3 million compared to $2,191.7 million for 2006-2007, an increase of $242.6 million. The increase is mainly attributable to funding for the Canadian Farm Families Options Program, the amended Agricultural Marketing Programs Act and increases resulting from collective bargaining agreements.

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 3: Services Received Without Charge

2007-2008
($ millions)	Total
Accommodation provided by Public Works and Government Services Canada (PWGSC)	13.8
Contributions covering the employers' share of employees' insurance premiums and expenditures paid by the Treasury Board of Canada Secretariat (TBS) (excluding revolving funds)	28.6
Worker's compensation coverage provided by Human Resources and Skills Development Canada	1.7
Salary and associated expenditures of legal services provided by the Department of Justice Canada	1.7
Total 2007-2008 Services received without charge	45.7

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 4: Summary of Capital Spending by Program Activity

($ millions)	Forecast Spending 2006-2007	Planned Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010
Business Risk Management	9.8	4.1	4.1	4.1
Food Safety and Food Quality	2.9	2.2	2.2	2.2
Markets and International	4.8	3.5	3.5	3.5
Environment	13.3	9.9	9.6	9.6
Innovation and Renewal	20.4	17.5	12.2	11.7
Rural and Cooperatives Secretariats	-	-	-	-
National Farm Products Council	-	-	-	-
Canadian Pari-Mutuel Agency*	-	-	-	-
Total Capital Spending	51.2	37.2	31.5	31.0

* The Canadian Pari-Mutuel Agency Revolving Fund is forecasting acquisition of depreciable assets of $0.1 million per year for the years 2006-2007 through 2009-2010. See Table 6 .

The Forecast Spending for 2006-2007 is $51.2 million compared to $37.2 million for 2007-2008, a difference of $14.0 million. This is mainly attributable to an internal reallocation of resources for rust-out issues related to science infrastructure including buildings, health and safety issues and environmental requirements.

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 5: Sources of Respendable and Non-Respendable Revenue

Respendable Revenue
($ millions)	Forecast Revenue 2006-2007	Planned Revenue 2007-2008	Planned Revenue 2008-2009	Planned Revenue 2009-2010
Business Risk Management
Canadian Agricultural Income Stabilization - Admin. fees	5.5	5.5	5.5	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	19.0	18.0	19.5	20.5
Total - Environment	24.5	23.5	25.0	26.0
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	15.2	15.0	15.0	15.1
Total - Canadian Pari-Mutuel Agency	15.2	15.0	15.0	15.1
Total Respendable Revenue	61.7	60.5	62.0	63.1
Non-Respendable Revenue
($ millions)	Forecast Revenue 2006-2007	Planned Revenue 2007-2008	Planned Revenue 2008-2009	Planned Revenue 2009-2010
Business Risk Management
Refund of Previous Years' Expenditures1	6.9	1.3	1.3	1.3
Service and Service Fees	0.8	0.8	0.8	0.8
Privileges, Licences and Permits	0.4	0.4	0.4	0.4
Return on Investments2	0.4	0.4	0.4	0.4
Proceeds from Sales of Crown Assets	0.0	0.0	0.0	0.0
Other non-tax revenues	1.9	1.9	1.9	1.9
Total - Business Risk Management	10.4	4.9	4.9	4.9
Food Safety and Food Quality
Refund of Previous Years' Expenditures1	0.3	0.3	0.3	0.3
Service and Service Fees	0.3	0.3	0.3	0.3
Privileges, Licences and Permits	0.4	0.4	0.4	0.4
Return on Investments2	0.2	0.2	0.2	0.2
Proceeds from Sales of Crown Assets	0.1	0.1	0.1	0.1
Other non-tax revenues	0.3	0.3	0.3	0.3
Total - Food Safety and Food Quality	1.6	1.6	1.6	1.6
Markets and International
Refund of Previous Years' Expenditures1	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 Investments2	0.5	0.5	0.5	0.5
Proceeds from Sales of Crown Assets	0.0	0.0	0.0	0.0
Other non-tax revenues	0.5	0.5	0.5	0.5
Total - Markets and International	1.7	1.7	1.7	1.7
Environment
Refund of Previous Years' Expenditures1	1.4	1.4	1.4	1.4
Service and Service Fees	0.0	0.0	0.0	0.0
Privileges, Licences and Permits	0.9	0.9	0.9	0.9
Return on Investments2	1.2	1.2	1.2	1.2
Proceeds from Sales of Crown Assets	0.6	0.6	0.6	0.6
Other non-tax revenues	1.3	1.3	1.3	1.3
Total - Environment	5.3	5.3	5.3	5.3
Innovation and Renewal
Refund of Previous Years' Expenditures1	1.2	1.2	1.2	1.2
Service and Service Fees	0.0	0.0	0.0	0.0
Privileges, Licences and Permits	4.6	4.6	4.6	4.6
Return on Investments2	1.1	1.1	1.1	1.1
Proceeds from Sales of Crown Assets	1.7	1.7	1.7	1.7
Other non-tax revenues	1.1	1.1	1.1	1.1
Total - Innovation and Renewal	9.8	9.8	9.8	9.8
Rural and Co-operatives
Refund of Previous Years' Expenditures1	0.1	0.1	0.1	0.1
Service and Service Fees	0.0	0.0	0.0	0.0
Privileges, Licences and Permits	0.0	0.0	0.0	0.0
Return on Investments2	0.0	0.1	0.1	0.1
Proceeds from Sales of Crown Assets	0.0	0.0	0.0	0.0
Other non-tax revenues	0.1	0.1	0.1	0.1
Total - Rural and Co-operatives	0.3	0.3	0.3	0.3
National Farm Products Council
Refund of Previous Years' Expenditures1	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 Investments2	0.1	0.0	0.0	0.0
Proceeds from Sales of Crown Assets	0.0	0.0	0.0	0.0
Other non-tax revenues	0.0	0.0	0.0	0.0
Total - National Farm Products Council	0.1	0.1	0.1	0.1
Total Non-Respendable Revenue	29.3	23.7	23.7	23.7
Total Respendable and Non-Respendable Revenue	91.0	84.2	85.7	86.9

¹ Refund of Previous Years' Expenditures for the Business Risk Management program activity for 2006-2007 includes amounts recovered from provinces for payments made by the Department, and collections of overpayments under the Canadian Agricultural Income Stabilization (CAIS) and the Agricultural Income Disaster Assistance Program (AIDA).

² Return on Investments includes interest on loans for the Canadian Dairy Commission and Construction of Multi-Purpose Exhibition Buildings.

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 6: Canadian Pari-Mutuel Revolving Fund

Statement of Operations
($ millions)	Forecast 2006-2007	Planned 2007-2008	Planned 2008-2009	Planned 2009-2010
Respendable Revenue	13.6	15.0	15.0	15.1
Expenses
Operating:
Salaries and employee benefits	5.2	5.9	6.1	6.2
Depreciation	0.1	0.1	0.1	0.1
Administrative and support services	8.7	8.4	8.2	8.2
Utilities, materials and supplies	0.3	0.6	0.6	0.6
Total Operating	14.3	15.0	15.0	15.1
Surplus (Deficit)	(0.7)	-	-	-
Statement of Cash Flows
($ millions)	Forecast 2006-2007	Planned 2007-2008	Planned 2008-2009	Planned 2009-2010
Surplus (Deficit)	(0.7)	-	-	-
Add non-cash items: Depreciation/amortisation	0.1	0.1	0.1	0.1
Investing activities: Acquisition of depreciable assets	(0.1)	(0.1)	(0.1)	(0.1)
Financing activities: Funding from AAFC vote 1	0.7	-	-	-
Cash Surplus (requirement)	(0.0)	-	-	-
Projected Use of Authority
($ millions)	Forecast 2006-2007	Planned 2007-2008	Planned 2008-2009	Planned 2009-2010
Authority*	2.0	2.0	2.0	2.0
Drawdown:
Balance as at April 1	-	-	-	-
Projected Surplus (Drawdown)	(0.0)	-	-	-
Total Drawdown	(0.0)	-	-	-
Projected Balance at March 31	2.0	2.0	2.0	2.0

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

($millions)
2007-2008
Team	Business Risk Management	Food Safety and Food Quality	Markets and International	Environment	Innovation and Renewal	Rural and Co-operatives Secretariats	National Farm Products Council	Canadian Pari-Mutuel Agency	Total Net Planned Spending
Business Risk Management	5.6	-	-	-	-	-	-	-	5.6
Food Safety and Quality	-	26.0	-	-	-	-	-	-	26.0
Markets and Trade	-	-	44.0	-	-	-	-	-	44.0
Environment	-	-	-	92.3	-	-	-	-	92.3
Innovation and Renewal	-	-	-	-	210.1	-	-	-	210.1
Programs 1	1,433.1	73.0	26.1	122.9	364.1	0.2	0.0	-	2,019.5
Enabling2	77.6	19.1	39.4	86.4	83.9	5.5	1.1	-	313.1
Corporate Offices3	2.6	1.4	2.6	6.9	6.1	21.3	2.8	-	43.8
Total	1,518.9	119.4	112.2	308.5	664.3	27.0	3.8	-	2,754.2

These resource requirements by Team are notional allocations based largely on 2006-2007 Team allocations, as Team budgets based on 2007-2008 planned spending, have not been fully allocated at the time of preparing this document.

¹ Programs Team resources are significantly higher than those of the other Teams as they include the majority of the Department's resources for Transfer Payments ($1,914.8 million included).

² Enabling Teams include Assets, Communications, Finance, Human Resources, Information Systems and Policy and Strategic Management.

³ Corporate Offices include Executive Offices, Rural and Co-Operative Secretariat, National Farm Products Council, Legal Services, Audit and Evaluation, Values and Ethics, Financial Matrix Management and ADM Offices.

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 8: User Fees

The Department currently has no planned user fee initiatives (either to introduce new fees or amend existing fees) for the departmental program covered by the User Fee Act, ie. The Farm Improvement and Marketing Co-operatives Loans Act (FIMCLA) program.

Table 9: Details on Project Spending

For further information on AAFC Project Spending

Over the next three years the following projects have or are expected to exceed the Department's delegated project approval level:

1. Ontario (Ottawa), Skyline Campus
2. Enhancements to the Delivery Systems for the Business Risk Management Programs under the Agricultural Policy Framework
3. Saskatchewan (Swift Current), Duncairn Dam / Water Control Structures
4. National Land and Water Information Service (NLWIS)
5. Saskatchewan (Maple Creek), Junction Dam Rehabilitation
6. Manitoba (Winnipeg), St. Boniface General Hospital
7. Quebec (Lennoxville), Dairy Research Facility
8. Ontario (Ottawa), Greenhouse and Growth Chamber Facility

($ millions)	Current Estimated Total Cost1	Forecast Spending to 31-Mar-072	Planned Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010	Future Year Spending Requirement
Project name and phase
Projects over $5 million
Ontario (Ottawa) Skyline Campus3 (Project Close Out Phase)	14.1	6.5	1.9	5.7	-	(0.0)
Projects With Specific Program Activities:
Business Risk Management
Enhancements to the Delivery Systems for the Business Risk Management Programs under the Agricultural Policy Framework (Project Definition Phase)	125.0	42.0	- (4)	- (4)	- (4)	83.0
Total Business Risk Management	125.0	42.0	- (4)	- (4)	- (4)	83.0
Environment
Saskatchewan (Swift Current Area), Duncairn Dam/Water Infrastructure Upgrades , (Project Close Out Phase)	10.0	10.0	-	-	-	-
National Land and Water Information Service (NLWIS), (Project Definition Phase)	100.1	47.9	28.3	23.9	-	(0.0)
Saskatchewan (Maple Creek), Junction Dam Rehabilitation (Project Construction Phase)	7.3	0.9	6.0	0.4	-	(0.0)
Manitoba (Wiinnipeg), St. Boniface General Hospital (Project Close Out Phase)	5.6	1.1	0.9	0.2	0.2	3.2
Total Environment	123.0	59.9	35.2	24.5	0.2	3.2
Innovation and Renewal
Quebec (Lennoxville), Dairy Research Facility (Initial Planning and Identification Phase)	10.0	1.4	5.2	3.2	0.2	(0.0)
Ontario (Ottawa), Greenhouse and Growth Chamber Facility (Initial Planning and Identification Phase)	10.9	3.0	7.3	0.6	-	0.0
Total Innovation and Renewal	20.9	4.4	12.5	3.8	0.2	(0.0)
Total for Projects over $5 million	283.0	112.8	49.6	34.0	0.4	86.2

¹ The Current Estimated Total Cost number includes both expenditures made in previous years and expenditures forecast for 2006-2007 and beyond.

² Forecast Spending to March 31, 2007 includes expenditures incurred in prior years

³ Skyline Campus figures reflect only those costs to be funded through AAFC reference levels. This project is Corporate in nature and pertains to al Program Activities.

⁴ Future years' Planned Spending for the Enhancements to the Delivery Systems for the Business Risk Management Programs under the Agricultural Policy Framework project is anticipated to total $83.0 million for an Estimated Total cost of $125.0 million, however, these resources have yet to be brought into the Department's reference levels.

Table 10: Status Report on Major Crown Projects

Over the next tow years, Agriculture and Agri-Food Canada will be the lead department and will manage the following major Crown project:

National Land and Water Information Service (NLWIS)
For further information on the above-mentioned major crown project National Land and Water Information Service
For further information on the above-mentioned major Crown project see the web site.

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 (2007/09)

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; IBM Canada Ltd

Major Milestones:

Major Milestones	Date
Milestone
Preliminary Project Approval	10-Apr-03
Project Management Office Established	30-Jun-03
Preliminary Project Approval Amendment	08-Apr-04
Proof of Concept Completed	31-Jan-05
Effective Project Approval Documentation Completed	31-Jan-05
Effective Project Approval	02-May-05
Phase 1 (Single Window) completion	31-Mar-06
Phase 2 (Geospatial Environment) commencement	01-Sep-05
Phase 3 (National Source for Agri-environmental Geospatial Information) commencement	01-Apr-06

Progress Report and Explanations of Variances: 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 is expected to be completed in June 2007. Phase 3 (National Source for Agri-environmental Geospatial Information) commenced in April 2006.

Industrial Benefits: The National Land and Water Information Service is a national program that will use and provide information in all the provinces. The Project Management Office will be located in Ottawa and Regina, each with different functionalities.

Table 11: Details on Transfer Payment Programs

The following is a listing of AAFC Transfer Payment Programs
For further information on the above-mentioned AAFC Transfer Payment Programs

1. Canadian Agricultural Income Stabilization (CAIS)
2. Production Insurance
3. Payments in connection with the Agricultural Marketing Program Act
4. BSE/Cull Cow
5. Enhanced Spring Credit Advance Program (ESCAP)
6. Contributions for Agriculture and Agri-Food Sector Assistance - Environment
7. Contributions for Agriculture and Agri-Food Sector Assistance - Food Safety and Food Quality
8. Advancing Canadian Agriculture and Agri-Food (ACAAF)
9. Canadian Farm Families Options Program
10. Canadian Cattlemen's Association Legacy Fund
11. Contributions for Agriculture and Agri-Food Sector Assistance - Science and Innovation
12. Contributions for Agriculture and Agri-Food Sector Assistance - Renewal
13. Contributions for Agriculture and Agri-Food Sector Assistance - International
14. Contributions in support of Rural Canada and of development in the area of Co-operatives

Name of Transfer Payment Program: Canadian Agricultural Income Stabilization (CAIS) (under the Agricultural Policy Framework -Business Risk Management Terms and Conditions - Statutory Program)

Start Date: April 1, 2003 For APF-Business Risk Management (BRM)

End Date: March 31, 2008 for APF-BRM funding

Description:  The purpose of the CAIS program is to help producers protect their farming operations from both small and large drops in income due to circumstances beyond their control.  It is the successor to the Net Income Stabilization Account (NISA) which focused on stabilization, and to the Canadian Farm Income Program (CFIP) which focussed on disaster protection.  The CAIS program commenced with the 2003 program year.

Strategic Outcome(s):  Security of the Food System

Expected results:

• Provide a whole farm stabilization and disaster mitigation approach.
• Provide equitable treatment for all producers, regardless of the commodities they produce.
• Assist in dealing with short-term income fluctuations as a result of risks outside a producer's control.
• Manage risks that threaten the future profitability of farm operations.
• Increase farm income stability.
• Increase the producer's ability to manage agricultural risks.

($ millions)	Forecast Spending 2006-2007	Planned Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010
Program Activity:  Business Risk Management
Total Grants	481.0	-	-	-
Total Contributions	1,430.7	570.5	212.6	212.6
Total Transfer Payment Program	1,911.7	570.5	212.6	212.6

Planned Audits and Evaluations: 1) Audit of Canadian Agricultural Income Stabilization Program Payments - AAFC Audit and Evaluation Team 2) OAG Audit of Canadian Agricultural Income Stabilization Program 3) National CAIS Compliance audit 4) Annual Cost Sharing Audit

Audit of CAIS Program Payments: To provide assurance that the CAIS program is being administered: in compliance with the Terms and Conditions approved by Treasury Board (TB) , and relevant departmental and central agency policies, including the TB Policy on Transfer Payments; according to sound risk management practices; according to an effective management control framework; and using reliable information used for decision-making and reporting.

Note:  Forecast Spending for 2006-2007 includes $873M ($481M in Grants and $392M in Contributions) being paid out to producers as part of a transition to an improved, hybrid, inventory valuation method which is part of the 2006 CAIS program.

With the APF due to expire at the end of 2007-2008, significant policy and program development work will be required in 2007-2008 to ensure the next generation of Canadian agriculture and agri-food policy is developed, negotiated and ready to implement in 2008.

AAFC and provincial governments, in consultation with industry organizations, are working to develop new and separate income stabilization and disaster relief programs that provide responsive, predictable and timely assistance to producers. This programming will be implemented in 2007-2008, and will form a core element of the next generation of agriculture and agri-food policy.

Name of Transfer Payment Program: Production Insurance (under the Agricultural Policy Framework-Business Risk Management Terms and Conditions - Statutory Program)

Start Date: April 1, 2003 For APF-Business Risk Management (BRM)

End Date: March 31, 2008 for APF-BRM funding

Description:  The purpose of the program is to seek to stabilize farm income through cushioning the producer against the economic impact of production losses arising from natural hazards like drought, hail, frost and diseases.

Strategic Outcome(s): Security of the Food System

Expected Results: The program will stabilize a producer’s income by minimizing the economic effects of production losses caused by natural hazards like drought, flood, hail, frost, excessive moisture, and diseases.

($ millions)	Forecast Spending 2006-2007	Planned Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010
Program Activity:  Business Risk Management
Total Grants	-	-	-	-
Total Contributions	407.0	407.0	227.3	227.3
Total Transfer Payment Program	407.0	407.0	227.3	227.3

Planned Audits and Evaluations: Three compliance audits (MB, NB and NS) are planned to be completed in fiscal year 2007-2008. The compliance audit for BC scheduled for completion in 2006-07 will be completed in 2007-08 due to scheduling conflicts with the Province

Evaluation of Production Insurance: Follow-up actions will be undertaken in 2007-08 once the Evaluation of the Production Insurance Program is completed. The evaluation will assess the program's impacts and effectiveness and its continued relevance and appropriateness of design.

With the APF due to expire at the end of 2007-2008, significant policy and program development work will be required in 2007-2008 to ensure the next generation of Canadian agriculture and agri-food policy is developed, negotiated and ready to implement in 2008.

AAFC and provincial governments, in consultation with industry organizations, are working to develop new and separate income stabilization and disaster relief programs that provide responsive, predictable and timely assistance to producers. This programming will be implemented in 2007-2008, and will form a core element of the next generation of agriculture and agri-food policy.

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

• Provide producers with greater access to credit, in the fall, to assist with production costs.
• Improved cash flow and marketing opportunities.

($ millions)	Forecast Spending 2006-2007	Planned Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010
Program Activity:  Business Risk Management
Total Grants	-	-	-	-
Total Contributions	65.5	138.7	137.5	137.5
Total Transfer Payment Program	65.5	138.7	137.5	137.5

Planned Audits and Evaluation: None planned for the 2007-2008 fiscal year.

Note: The Planned Spending for 2007-08 is $138.7M compared to $65.5M Forecast Spending for 2006-07, an increase of $73.2M. This increase is related to amended legislation for payments in connection with the Agricultural Marketing Programs Act (AMPA) of which $43.7M is new funding and $29.5M was transferred from the Spring Credit Advance Program (SCAP). The amended legislation under AMPA provides for the amalgamation of the SCAP and Advance Payments Program under one statutory program.

Name of Transfer Payment Program: BSE/Cull Cow (under the BSE Recovery Program Terms and Conditions - Statutory and Voted)

Start Date: July 2003

End Date: March 31, 2008

Description: Purpose of Transfer Payment Program: The purpose of this program is to deal with the sudden impacts of BSE on the beef industry.The aim of the program was to get the domestic market moving again and to improve returns to producers following border closure to Canadian cattle and beef. It consisted of three phases:

1. The BSE Recovery Program, which ran in 2003-04, offered several price incentives to help keep the domestic market moving and provided improved returns to feedlots and processors to move product through the chain in light of severely depressed prices caused by the USA border closure;
2. The Cull Animal Program, which made a payment to producers for each eligible older animal sold for slaughter; and
3. The Fed Cattle Set-Aside Program, the Feeder Calf Set-Aside Program, and the Managing Older Animals program. The set aside programs assisted balance animals supply and demand until normal trade patterns resumed and/or slaughter capacity increased.
4. To assure the future of industry, additional funding has been provided for marketing assistance, increasing slaughter capacity and enhancing traceability.

Strategic Outcome(s): Security of the Food System

Expected Results: The program balance animals available for slaughter and demand for end products, thus stabilizing markets prices and volume. The industry will also regain international market position.

($ millions)	Forecast Spending 2006-2007	Planned Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010
Program Activity:  Business Risk Management
Total Grants	-	-	-	-
Total Contributions	28.5	12.4	-	-
Total Transfer Payment Program	28.5	12.4	-	-

Planned Audits and Evaluations: No planned audits or evaluations of the BSE Recovery Program after FY 2006-07. The audit of the 3 first phases and the evaluation of the overall AAFC response to the BSE crisis are expected to be completed by March 31, 2007.

Name of Transfer Payment Program: Enhanced Spring Credit Advance Program (ESCAP) (Voted)

Start Date: May 18, 2006

End Date: Sept 30, 2007

Description: The ESCAP program was put in place in 2006 as a transitional program to increase the amount of interest free benefit to $100,000 while amendments were being made to AMPA. The objective of ESCAP is to allow producers to make decisions based on sound production or marketing rationale rather than on the availability of operating cash. Such objectives will contribute to the overarching goal of the APF.

The benefits of ESCAP include:

• Minimizing the distortion of producers' marketing and production decisions; and
• Facilitating short-term cash flow and long-term planning by producers. 

Strategic Outcome(s): Security of the Food System

Expected Results are to:

• Provide producers with greater access to credit in the spring to assist with input costs.
• Improved cash flow.
• Better farming practices by providing greater access to working capital.

($ millions)	Forecast Spending 2006-2007	Planned Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010
Program Activity:  Business Risk Management
Total Grants	-	-	-	-
Total Contributions	29.7	26.1	-	-
Total Transfer Payment Program	29.7	26.1	-	-

Planned Audits and Evaluations: None planned for the 2007-2008 fiscal year.

Note:  ESCAP is a transitional program replacing the SCAP program until the full implementation of legislative changes to AMPA are in place. In addition to the $29.7M 2006-2007 Forecast Spending shown above, the SCAP program has $42.1M of 2006-2007 Forecast Spending.

Name of Transfer Payment Program: Contributions for 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

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 results 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 by agricultural producers in the management of land, water, air and biodiversity

($ millions)	Forecast Spending 2006-2007	Planned Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010
Program Activity:  Environment
Total Grants	-	-	-	-
Total Contributions	142.3	111.0	-	-
Total Transfer Payment Program	142.3	111.0	-	-

Planned Audits and Evaluations: Five compliance audits will have been completed in 2006-2007, PCAB, FNACS, FSAM, OSCIA and AAC. In 2007-2008, there are 12 compliance audits planned for Atlantic Canada.

Audit of Management of Environmental Programs (EFP/NFSP/Greencover): To provide assurance that these programs are being administered: in compliance with the Terms and Conditions approved by Treasury Board (TB) , and relevant departmental and central agency policies, including the TB Policy on Transfer Payments; according to sound risk management practices; according to an effective management control framework; and using reliable information used for decision-making and reporting.

Name of Transfer Payment Program: Contributions for 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

Description: The objective of the program is to assist industry in developing and implementing government-recognized national food safety, traceability, and food quality 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 through enhanced transparency and knowledge of systems used to safeguard Canadian food safety and quality; and provide value-added opportunities through the adoption of food safety and food quality systems that support the Canada brand.

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; development and government recognition of national food quality process control systems at a minimum, in sectors where required as a result of market specifications; and, a significant increase in the number of commodities that have developed Food Safety and Quality systems, including traceability.

($ millions)	Forecast Spending 2006-2007	Planned Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010
Program Activity:  Food Safety and Food Quality
Total Grants	-	-	-	-
Total Contributions	44.7	71.4	-	-
Total Transfer Payment Program	44.7	71.4	-	-

Planned Audits and Evaluations: None planned for the 2007-2008 fiscal year.

Name of Transfer Payment Program: Advancing Canadian Agriculture and Agri-Food (ACAAF) (Voted)

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
• Enhaced future government or industry initiatives through sector-led, tested and piloted projects.

($ millions)	Forecast Spending 2006-2007	Planned Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010
Program Activity:  Innovation and Renewal
Total Grants	44.7	35.0	30.3	-
Total Contributions	3.1	3.1	3.1	-
Total Transfer Payment Program	47.8	38.1	33.4	-

Planned Audits and Evaluations: Full program evalutation in FY07/08 which will include performance, compatibility and compliance.

Name of Transfer Payment Program: Canadian Farm Families Options Program

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, within two years from the post-mark date on their Options application.

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 taken advantage of to increase farm family incomes.

($ millions)	Forecast Spending 2006-2007	Planned Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010
Program Activity:  Innovation and Renewal
Total Grants	190.0	157.5	-	-
Total Contributions	29.0	86.0	19.0	5.0
Total Transfer Payment Program	219.0	243.5	19.0	5.0

Planned Audits and Evaluations: Mid-term evaluation of the Options Program is being conducted in conjunction with the APF Renewal Chapter evaluation. The mid-term evaluation is expected by March 31, 2007. A summative evaluation is to be completed by March 31, 2010.

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

Start Date: June 27, 2005

End Date: March 31, 2015

Description: The purpose of the Legacy Fund is to support to 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): Innovation for Growth

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 2006-2007	Planned Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010
Program Activity:  Innovation and Renewal
Total Grants	5.0	5.0	5.0	5.0
Total Contributions	-	-	-	-
Total Transfer Payment Program	5.0	5.0	5.0	5.0

Planned Audits and Evaluations: An interim evaluation by June 30, 2008 and a finanl evaluation by June 30, 2015.

Name of Transfer Payment Program: Contributions for 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

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): 10-15 key projects to create new income opportunities.

($ millions)	Forecast Spending 2006-2007	Planned Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010
Program Activity:  Innovation and Renewal
Total Grants	-	-	-	-
Total Contributions	60.9	48.8	-	-
Total Transfer Payment Program	60.9	48.8	-	-

Planned Audits and Evaluations: There are 4 compliance audits planned for 2007-08.

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

Start Date: April 1, 2003

End Date: March 31, 2008

Description: Through Renewal programming, AAFC aims to provide producers with the tools and skills they need to make business decisions based on good knowledge. Renewal programming is built on the concept of continuous learning, and is designed to help producers assess their situations and plan for the future during critical transition times. Renewal programs enhance producers’ access to information, advice and training and enable them to pursue on- and off-farm income opportunities.

Strategic Outcome(s): Innovation for Growth

Expected result(s): Through participation in Renewal programs and initiatives, Canadian farmers increase their knowledge of business management practices, as well as their use of tools and skills in order to increase profitability. Also, Renewal is working towards an enhanced and integrated approach to Innovation and Renewal Policy

($ millions)	Forecast Spending 2006-2007	Planned Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010
Program Activity:  Innovation and Renewal
Total Grants	-	-	-	-
Total Contributions	6.5	5.6	-	-
Total Transfer Payment Program	6.5	5.6	-	-

Planned Audits and Evaluations:

• Eight audits will be completed by the end of the 2007-2008 fiscal year.
• A broad-level APF Renewal Chapter evaluation will begin in 2006-2007 and will be completed in 2007-2008. The final report is expected by April 30, 2007. This evaluation will also include a mid-term evaluation of the Options program.
• A summative evaluation is to be completed by March 31, 2010.

Name of Transfer Payment Program: Contributions for 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

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 / Innovation for Growth

Expected result(s):

• Gaining recognition and building markets
• Improved market access
• Enhanced capacity that responds to identified industry needs

($ millions)	Forecast Spending 2006-2007	Planned Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010
Program Activity:  Markets and International
Total Grants	-	-	-	-
Total Contributions	26.5	24.7	-	-
Total Transfer Payment Program	26.5	24.7	-	-

Planned Audits and Evaluations: An evaluation of the CAFI Program is planned for 2007-2008.

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

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 the Models for Rural Development Program ($14 million from 2003-04 to 2007-08);
• the Rural Community Capacity Building Program ($4.5 million from 2003-04 to 2006-07); and
• the Co-operative Development Initiative ($12.4 million from 2003-04 to 2007-08).

Strategic Outcome(s): Innovation for Growth

Expected result(s): The Rural Secretariat of AAFC has been mandated, through the Canadian Rural Partnership, 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 and the Rural Community Capacity Building Program involve testing and evaluating models or approaches that address rural development and community capacity building; to identify what works and what does not, to inform governments of this information for future policy and programming decisions. 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 2006-2007	Planned Spending 2007-2008	Planned Spending 2008-2009	Planned Spending 2009-2010
Program Activity:  Rural and Co-operatives
Total Grants	-	-	-	-
Total Contributions	12.9	7.8	-	-
Total Transfer Payment Program	12.9	7.8	-	-

Planned Audits and Evaluations: None planned for the 2007-2008 fiscal year.

Table 12: Conditional Grants

For further information on AAFC Conditional Grant

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. The total grant of $15.0M will be paid out in the 2006-2007 fiscal year as a one time payment.
Strategic Outcome(s):
Summary of Annual Plans of Recipient: Covered under article 9 of the funding agreement. CAPI must submit a Business Plan to the Minister for 2007-2008 within 90 days of the agreement coming into force. The minimum requirements of the plan include a budget, with projected costs and sources of funds, monthly cash flow projections, objectives and strategies and a description of eligible administrative activities and eligible policy research activities for this period. CAPI must also provide, to the Minister, within 90 days of the agreement coming into force, an Agricultural Policy Research Plan for the 2007-2008 fiscal year. An updated Business Plan and Agricultural Policy Reseach Plan must be provided to the Minister at least 60 days prior to the commencement of each subsequent fiscal year. The Minister may table these plans in Parliament.
Planned Evaluation(s): CAPI is required to complete a first interim performance evaluation report by June 30, 2010 and further performance evaluation reports by June 30, 2015 and June 30, 2020, and a final performance evaluation by June 30, 2022. An independent third party appointed by CAPI will complete the evaluations. Each of the Minister and 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 Principles.
URL to Recipient Site: www.capi-icpa.ca

Table 13: Horizontal Initiatives

The following is a listing of Horizontal Initiatives in which AAFC is involved.
For further information on Horizontal Initiatives

1. Canadian Agricultural Income Stabilization (CAIS)
2. Canadian Agricultural Skills Service (CASS)
3. Co-operatives Secretariat
4. Farm Business Services
5. MOU with Canadian Food Inspection Agency (CFIA) on Food Safety and Quality
6. AAFC - Department of Foreign Affairs and International Trade (DFAIT) MOU on Agri-Food Specialists Positions Abroad
7. MOU with Environment Canada (EC) on the National Agri-Environmental Standards Initiative (NAESI)
8. MOU with Health Canada (HC) on Food Safety and Quality and Environment
9. Production Insurance
10. Rural Development

Canadian Agricultural Income Stabilization (CAIS) program

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

Start Date of the Horizontal Initiative: April 1, 2003
For Agricultural Policy Framework (APF) - Business Risk Management funding, which covers CAIS.

End Date of the Horizontal Initiative: March 31, 2008
For APF-Business Risk Management funding, which covers CAIS.

Total Federal Funding Allocation: $2.4 billion over five years.

Description of the Horizontal Initiative: The CAIS program is one of two core business risk management programs available to producers under the APF. CAIS integrates stabilization and disaster protection into a single program, helping producers protect their farming operations from both small and large drops in income.  CAIS replaces the Canadian Farm Income Program (CFIP) and Net Income Stabilization Account (NISA) program, both of which ended with the 2002 program year.

Shared Outcome(s): To assist producers in protecting their farming operations from drops in income due to circumstances beyond their control.

Governance Structure(s) : The CAIS program is part of the comprehensive APF 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 CAIS program is 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 CAIS program is delivered provincially.

Federal Partners Involved in each program	Names of Programs	Total Allocation	Planned Spending for 2007/08	Actual Spending in 2007/08	Expected Results for 2007/08	Achieved Results in 2007/08
AAFC	CAIS	$2.4 billion (for fiscal years 2003/04 to 2007/08)	$610.5 million		Producers better supported and able to manage business risks Increased sector viability and profitability
Total		$2.4 billion (See note)	$610.5 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:

Michele Taylor
Director General, Farm Income Programs Directorate
Farm Financial Programs Branch
(204) 984-5645

Note: Planned spending figures represent the amounts included in Main Estimates. Spending reflects all costs incurred by the department (salary, operating, transfer payments). See also the related horizontal initiative on Production Insurance.

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

Total Federal Funding Allocation: $62.6 million over five years

Description of the Horizontal Initiative: Farmers and/or their spouse 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 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 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 2007/08	Actual Spending in 2007/08	Expected Results for 2007/08	Achieved Results in 2007/08
1. AAFC/Human Resources and Social Development Canada (HRSDC)	Canadian Agricultural Skills Service	$62.6 M (for fiscal years 2003/04 to 2007/08)	$29.4 M		(1) Increased continuous learning; and/or training; (2) Increased awareness and uptake of CASS. (3) Farmers express satisfaction with CASS.
Total		$62.6 M	$29.4 M

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 and design issues are addressed as the program goes through its first stages.

Contact Information:

Lois James
Director
Renewal Division
Farm Financial Programs Branch
613-715-5534

Note: Planned spending figures represent the amounts included in Main Estimates.

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

Total Federal Funding Allocation: $15.0 million over five years

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.

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 to 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 the 17 federal departments and agencies currently known to have legislation, policies or programs affecting co-operatives. Formal mechanisms for collaboration include the Interdepartmental Committee on Co-operatives, dialogue with provincial collaborators and sector working groups. The Co-operatives Secretariat, working closely with the Minister responsible for co-operatives, acts as a coordinator for interaction between the government and the co-operative sector. The Secretariat is headed by an Executive Director, and administrative services for the Secretariat are provided by AAFC. More details on the functions of the Secretariat.

Federal Partners Involved in each program	Names of Programs	Total Allocation	Planned Spending for 2007/08	Actual Spending in 2007/08	Expected Results for 2007/08	Achieved Results in 2007/08
Co-operatives Secretariat/ AAFC   A listing of the 17 departments and agencies with legislation, policies and programs affecting co-operatives.	Co-operative Development Initiative (CDI): - Advisory Services - Innovation & Research	$15.0 M (for fiscal years 2003/04 to 2007/08)	$4.1 M		Increased capacity of co-operatives to meet the needs of Canadians. Enhanced capacity of Co-operatives development, increased opportunities and barriers mitigated through Government policies, programs and services.
Total		$15.0 M	$4.1 M

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.

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

Total Federal Funding Allocation: $100.0 million over five years

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 can be found at this web link

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 2007/08	Actual Spending in 2007/08	Expected Results for 2007/08	Achieved Results in 2007/08
AAFC	i) Canadian Farm Business Advisory Services (CFBAS), which has two phases:				For all programs:
	Farm Business Assessment (FBA) - This included for the beginning period of the program, in cases where provinces had not yet signed their respective APF Implementation Agreements, the Farm Consultation Service (FCS), which was an existing program similar to FBA. Costs to deliver FCS have been included in FBA allocations.	$53.2 M	$ 15.3 M		1) Improved business planning and decision-making. (2) Increased awareness and uptake of programs. (3) Farmers are satisfied with programs.
	b. Specialized Business Planning Services (SBPS)	$20.7 M	$ 5.5 million
	ii) Planning and Assessment for Value-Added Enterprises (PAVE)	$26.1 M	$ 1.5 million
Total		$100.0 M (for fiscal years 2003/04 to 2007/08)	$22.3 M

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 and design issues are addressed, and continue to deliver Renewal programs where collateral agreements have been signed (Quebec and the First Nations Agricultural Council of Saskatchewan Inc.).

Contact Information:

Lois James
Director
Renewal Division
Farm Financial Programs Branch
613-715-5534

Note: Planned spending figures represent the amounts included in Main Estimates.

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

Total Federal Funding Allocation: $27.0 million over five years

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 2007/08	Actual Spending in 2007/08	Expected Results for 2007/08	Achieved Results in 2007/08
AAFC (work performed by CFIA)	a. On-Farm Food Safety Recognition Program (OFFSRP)	$10.0 M	$ 1.98 M
2. CFIA	b. Medicated Feed Regulations	$17.0 M	$3.36 M		Regulatory text developed and finalized, including Regulatory Impact Analysis Statement and other required documents; Regulatory proposal published in Publish Gazette I and II - Continued participation in bilateral and multi-lateral stakeholder meetings and conferences to discuss the regulatory proposal - Environmental scan prepared on effective licensing options - 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 - IT system to ensure availability of accurate, comprehensive electronic compliance information is improved
Total		$27.0 M (for fiscal years 2003/04 to 2007/08; funds transferred from AAFC to CFIA)	$5.34 M (funds transferred from AAFC to CFIA)

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 identified in Main Estimates.

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: 2007-08 fiscal year

Total Federal Funding Allocation: $42.5 million over five years

Description of the Horizontal Initiative: A key objective of the Agricultural Policy Framework (APF) International component is to secure and sustain an enduring competitive advantage over other countries by strengthening Canada's 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 abroad. The objective is to enhance the delivery of services to Canadian exporters in areas such as agriculture and agri-food business development, investment promotion, market access and advocacy, through Canadian Embassies and High Commissions located in key export markets.

Shared Outcome(s):

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

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 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.

A TBS official sits as an ex-officio member on the JMC.

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 2007/08	Actual Spending in 2007/08	Expected Results for 2007/08	Achieved Results in 2007/08
AAFC	a. International Team Program Delivery	$11.9 M	$2.5 M		1. Workplans developed for all agri-food positions abroad, harmonized with DFAIT's planning and reporting requirements
	b.  APF (for 10 additional positions and regularizing the existing 6.5 positions transferred )	$15.8 M (involves funds transferred from AAFC to DFAIT for work that supports AAFC and DFAIT Strategic Outcomes)	$3.2 M (involves funds transferred from AAFC to DFAIT for work that supports AAFC and DFAIT Strategic Outcomes)		2. Vacant positions staffed.
	c. Annual Reference Level Update (ARLU) (for original positions)	$9.5 M (involves funds transferred from AAFC to DFAIT for work that supports AAFC and DFAIT Strategic	$1.9 M		3. Training and pre-posting tour arranged for new agri-food specialists. 4. Re-integration of returning Agriculture and Agri-Food Specialists Abroad (AASAs) to Canada.
2) DFAIT	Client Service Fund (for general expenditures in support of the positions)	$5.3 M	$1.1 M
Total		$42.5 M (for fiscal years 2003/04 to 2007/08)	$8.7 M

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

Contact Information:

Rose McParland
Manager
International Markets Coordination
613-759-7987

Note: Planned spending figures represent the amounts included in Main Estimates.

MOU with Environment Canada (EC) on the National Agri-Environmental Standards Initiative (NAESI)

Name of Lead Department(s):

i) Agriculture and Agri-Food Canada (AAFC); and
ii) EC

Start Date of the Horizontal Initiative: April 1, 2004

End Date of the Horizontal Initiative: March 31, 2008

Total Federal Funding Allocation: $25.0 million over four years

Description of the Horizontal Initiative: This initiative involves the development of non-regulatory agri-environmental "performance standards" (i.e., outcome-based standards) that will address both desired levels of environmental quality, and the levels that are considered achievable based on available technology and practice. These standards will act as benchmarks and targets against which environmental performance can be assessed. They may also help guide development of practices used by producers and industry to help reduce environmental risks and provide benefits to the health and supply of water, the health of soils, the health of air and the atmosphere, thus ensuring compatibility between biodiversity and agriculture.  Standards will be developed in four theme areas: Air, Water, Biodiversity and Pesticides.  Soil Quality and Climate Change will be considered across all theme areas.  

Shared Outcome(s):

(a) Consistent national agri-environmental standards are available to support, assess, and demonstrate progress towards the goal of environmentally sustainable agriculture in Canada;
(b) Recognition of Canada's role as a world leader in environmentally responsible agricultural production is advanced;
(c) Environmental farm planning and the move towards environmental farm certification is supported;
(d) Uptake of national standards to benefit the health and supply of water, soil, air and atmosphere; and
(e) Compatibility between agriculture and biodiversity is ensured.
[MOU, Table 1: Results and Outcomes by Activity Area] [RMAF, NAESI Logic Model]

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 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.

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 EC and a Senior Director from TBS.

Federal Partners Involved in each program	Names of Programs	Total Allocation	Planned Spending for 2007/08	Actual Spending in 2007/08	Expected Results for 2007/08	Achieved Results in 2007/08
AAFC	MOU with EC on NAESI	$25.0 M (for fiscal years 2004/05 to 2007/08	$4.28 M		- Completed protocols and standards for the water, biodiversity and pesticide themes. - Completed science assessment for the air theme. - Recommendation for standards use and draft implementation plan prepared. -Stakeholder communication materials prepared and/workshop held.
Total		$25.0 M (Work to be done by EC to pursue joint EC/AAFC Strategic Outcomes)	$4.28 M

Results to be Achieved by Non-Federal Partners: There are no non-federal partners involved in NAESI.  

Contact Information:

Alexandre Lefebvre
Manager, NAHARP
Agri-Environmental Policy Bureau
613-759-7278

Note: Planned spending figures represent the amounts included in Main Estimates.

MOU with Health Canada (HC) on Food Safety and Quality and Environment

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

Total Federal Funding Allocation: $56.5 million over five years

Description of the Horizontal Initiative: To conduct research-related work in support of standard setting, on-farm food safety standards, national integrated enteric pathogen surveillance, and human health impact of on-farm anti-microbial use.

Specific activities will include:

• development of on-farm food safety standards related activities that support industry-developed food safety programs (i.e., information collection and analysis; the conduct of risk assessments; consultation with industry, federal, provincial and territorial colleagues and other relevant and interested parties; decision-making; communication; and information dissemination);
• research that addresses hazards of public health significance and supports on-farm food safety standards;
• development of a national integrated pathogen surveillance program to link human exposure to pathogens from animal and other food sources to the occurrence of human enteric illness in the population;
• development of an integrated antimicrobial resistance program that can measure the impact of agri-food and aquaculture sector antimicrobial use, and other management factors on the emergence of antimicrobial resistance in human pathogens at the farm level;
• develop a better understanding of the impact of agriculture on the prevalence, levels and sources of microbiological (faecal) contamination at drinking water supply intake points and recreational beaches; and detection, characterization and control of microbial and chemical hazards through the entirety of the food continuum to insure the safety of foods during production, processing, storage and distribution by using an integrated approach from the farm to the consumer.

Shared Outcome(s):

(a) protect human health by reducing exposure to hazards;
(b) increase consumer confidence in the safety and quality of food produced in Canada; and
(c) reduce agricultural risks to the environment and provide benefits to health and supply of water, with key priority areas being nutrients, human pathogens, pesticides and water conservation. [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 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.

A TBS official sits as an ex-officio member on the JMC.

This MOU Governance Structure is supported by the Interdepartmental Director General Working Group, whose members are the relevant Directors General from AAFC, HC, and the Public Health Agency of Canada (PHAC) and a Senior Director from TBS.

Federal Partners Involved in each program	Names of Programs	Total Allocation	Planned Spending for 2007/08	Actual Spending in 2007/08	Expected Results for 2007/08	Achieved Results in 2007/08
1. HC, PHAC and AAFC	a. On-Farm Food Safety Standards	$11.9 M	$2.5 M		Increased quality, quantity and availability of information relevant to on-farm food safety issues. Policies and risk management strategies applicable on-farm Industry developed on farm food safety programs are recognized by on-farm food safety recognition programs Ongoing collaborations with F/P/T governments on issue identification, gap analysis and data collection in support of research and or policy development. (Work to be done by HC to pursue AAFC, HC and PHAC Strategic Outcomes)
	b. Research in Support of Standard Setting	$9.2 M	$2.0 M		Increased capacity to identify and monitor key foodborne pathogens and chemical contaminants in food and food inputs at the farm level. Increased scientific knowledge of key pathogens and chemical contaminants in food and food inputs at the farm level. Increased scientific contribution to the development of evidence-based on-farm food safety intervention strategies Established and/or strengthened partnerships among government policy makers, government researchers, academia and industry associations to optimize coordinated on-farm food safety research. (Work to be done by HC to pursue AAFC and HC Strategic Outcomes)
	c. National Integrated Enteric Pathogen Surveillance	$3.3 M	$0.7 M		An integrated enteric pathogen sentinel site surveillance program is operational in one sentinel site (human, food, food animal, water) Data synthesis and analysis with respect to trends / emerging issues. (Work to be done by PHAC to pursue AAFC, HC, and PHAC Strategic Outcomes)
	d. Human Health Impact of On-Farm Antimicrobial Use	$3.3 M	$0.7 M		Farm level studies on antimicrobial use and development of resistant pathogens. Data synthesis and analysis with respect to trends / emerging issues. (Work to be done by PHAC to pursue AAFC HC, and PHAC Strategic Outcomes)
	e. Water Quality Surveillance	$4.8M ($4.0 M for HC; $0.8 M for AAFC)	$0.67 M		Define whether agriculture is a contributor of microbiological (faecal) contamination at drinking water supply intake points in three distinct watersheds; which will, in turn, contribute to the development of policies/strategies that will reduce human exposure to faecal contaminants (refer to logic model and HC PAA). (Work to be done by HC and AAFC to pursue AAFC and HC Strategic Outcomes)
2. AAFC (Work performed by AAFC)	a. Research in Support of APF Priorities	$24 M	$4.02 M		Scientific knowledge advanced and data on food safety provided. Methodologies developed to detect and quantify foodborne viruses, food borne pathogens, allergens and mycotoxins in food nutrices. Continue to design and evaluate strategies to control pathogenic agents in food matrices, through food productive, processing, distribution, continuum.
Total		$56.5 M (portions where AAFC is listed as a partner and work is performed by HC and/or PHAC involves funds transferred from AAFC to HC)	$10.59 M (portions where AAFC is listed as a partner and work is performed by HC and/or PHAC involves funds transferred from AAFC to HC)

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

Contact Information:

Dr. Maria Nazarowec-White
Program Coordinator
Research Branch
Food Safety and Quality
613-759-6378

Production Insurance

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

Total Federal Funding Allocation: $2.0 billion estimated over five years

Description of the Horizontal Initiative: Under the Agricultural Policy Framework, Production Insurance is one of two core federal-provincial-territorial Business Risk Management programs available to Canadian producers.  Production Insurance provides income protection against production losses resulting from uncontrollable natural hazards. 

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

Governance Structure(s): Production Insurance is a provincial-territorial program to which the federal government contributes financially under federal-provincial-territorial Agricultural Policy Framework 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 2007/08	Actual Spending in 2007/08	Expected Results for 2007/08	Achieved Results in 2007/08
AAFC	a. Production Insurance	$2.0 billion (for fiscal years 2003/04 to 2007/08)	$407.2 M		Increased number of new programs and options available to farmers, including new plans for horticulture, forage and livestock sectors.  Increased producer participation in provinces and territories that have amended existing plans and that are implementing new plans and options.
Total		$2.0 billion (See note)	$407.2 M

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

Contact Information:

George Pikor
Director
Production Insurance and Risk Management Division
Farm Financial Programs Branch
613-759-7518

Note: The Planned spending figure represents the amounts indentified in the Main Estimates for this program. The most recent planned spending estimates can be attained from the contact person. Planned spending incudes Production Insurance premiums, Production Insurance administration expenses, Wildlife Damage Compensation, and Wildlife Damge Compensation administration expenses. See also the related horizontal initiative :  Canadian Agricultural Income Stabilization program.

Table 14: AAFC's Fourth Sustainable Development Strategy

For the SDS IV, AAFC was required to present a logic model to outline goals with a target completion date of December 2009. The logic model was developed following AAFC's performance measurement practices to ensure a logical sequence of results from activities to outputs and outcomes.

SDS Departmental Goal:
AAFC's SDS presents eight Greening Government Operations (GGO) 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 Measure (Outputs) from current SDS	4. Department's Expected Results for 2007-2009
1.1 The Next Generation of Agricultural Policy
The Next Generation of Agricultural Policy is in place and operational.
2.1 This goal is not linked to a federal SD goal.	3.1 Develop policy documents.	4.1 Participate in Canada-wide consultations. Participate in developing policy documents. Report on policy documents.
This goal is not linked to a federal SD goal.	Develop mechanisms to deliver next generation of agricultural policy with provinces and territories.	Participate on FPT working groups to develop framework and contribution agreements. Participate on FPT working groups to implementation agreements. Prioritize agreements. Report on agreements.
This goal is not linked to a federal SD goal.	Develop programs and research activities to meet new policy objectives.	Participate on FPT working groups to develop program and research activities. Evaluate program and research activities. Report on APF progress: "Report to Canadians."
1.2 Canadian Rural Partnership
Government policies, programs and services increase opportunities for, and mitigate barriers to, sustainable rural community development.
2.2 Linked to Federal SD Goal:  4.1.1 "Communities are well positioned to advance sustainable social development"	3.2 Analysis of policies, services, programs, and legislation for potential impact on rural communities and residents.	4.2 Analyse of federal policies, services, programs, and legislation (Rural Lens Reviews). Develop a federal engagement strategy. Manage Rural Policy Network. Support, develop and manage Rural Teams, including Rural Team Canada network. Develop Rural Team Action Plans.
Linked to Federal SD Goal:  4.2.1 "Communities are well positioned to adapt and to maintain or generate sustainable economic activities "	Development of a body of empirical evidence to support sustainable rural community development.	Collaborative rural research at the regional, national, and international level. Research support and assistance for FPT initiatives. Rural programs to research and verify models for sustainable rural development and community capacity building. Collection and analysis of rural statistics. Research informed decision-making methodologies, tools, and experiences. Collaborative research papers. Develop a community information database (GIS).
This goal is not linked to a federal SD goal.	Communication, dialogue, and dissemination of research and knowledge to rural residents, communities, and other interested parties.	Dissemination of statistical and analytical products, and organize seminars and learning series. Manage and maintain the website for the Canadian Rural Partnership. Provide leadership in the development and maintenance of the Rural and Remote Services Cluster, a Government Online initiative. Prepare rural newsletters. Prepare rural and small town bulletins. Organize Rural Dialogue events and prepare reports. Present Young Leaders in Rural Canada Awards. Develop a program pocket directory for rural Canadians.
1.3 Agricultural Bioproducts Innovation Program (A.B.I.P)
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.
2.3 This goal is not linked to a federal SD goal.	3.3 Develop ABIP networks for collaboration among researchers.	4.3 Program management: the ABIP Secretariat is responsible for the day-to-day administration and management of the program. Selection of networks: competitions will be held to fund networks and projects. All funding decisions are based on arm's length and peer-reviewed assessment of applications by expert panels and selection committee. The Steering Committee and peer review committee will make recommendations through the Secretariat to the ADM Research for decision.
Linked to Federal SD Goal:  3.2.2 "Renewable and clean energy is promoted"	Produce and disseminate scientific information to meet the needs of the bioproducts industry and government and Canada's socioeconomic development.	Research and development: Collaborative research projects will be carried out by Canadian science providers. Results will be disseminated through the open literature notwithstanding IP protection issues.
This goal is not linked to a federal SD goal.	Develop highly qualified personnel.	Monitoring and evaluation: The major tools used for monitoring and evaluation are annual statistical and financial tables, annual reports, mid-term review reports, and progress reports. To facilitate consistency and comparability of information and data, these tables and reports are collected annually from the networks using pre-set templates and models.
Linked to Federal SD Goal: 3.2.1 "Support for clean technologies is provided (such as building, transportation, and industrial processes)"	Transfer technology and facilitate their exploitation by industry and government.	Foreground intellectual property resulting from the research of ABIP networks will be assessed for its commercialization potential and technology transfer plans will be developed for implementation.
1.4 Sustainable Development Awareness Building
Sustainable Development (SD) is integrated into the departments decision making and AAFC's fourth SDS is utilized and applied by AAFC employees and external stakeholders.
2.4 Linked to Federal SD Goal:  4.3.1 "Canadian communities are actively engaged in sound environmental and natural resource management practices, stewardship initiatives, and biodiversity conservation." & Federal SD Goal:  5.2.1 "Sustainable consumption and production of natural resources is promoted"	3.4 Communication of SD and AAFC's fourth SDS.	4.4 Survey of AAFC employees on their knowledge of the three pillars of SD. On-going meetings with the Sustainable Development Working Group. On-going participation in the Interdepartmental Network on Sustainable Development Strategies (INSDS). Update SD website as necessary. Hold information sessions within the Department.
This goal is not linked to a federal SD goal.	Development of promotional mechanisms on SD and AAFC's fourth SDS.	Continue to promote (through various mechanisms) SD within the Department. SDS will be distributed to internal and external stakeholders, including a response card.
Linked to Federal SD Goal:  6.1.2 "Clear and effective governance mechanisms to integrate sustainable development in decision making e.g. SEA"	The development of Sustainable Development Test Questions.	Monitor the application of the SD test questions.
Linked to Federal SD Goal:  6.1.1 "SDS commitments are integrated into the key planning and reporting processes of departments and agencies."	AAFC will join with other government departments and the Canada School of Public Service to design and deliver new Government of Canada sustainable development training material.	Participate in the development the Government of Canada Sustainable Development training material
1.5 Information and Tools:
A. Strategic Environmental Assessment (SEA): Environmental considerations are incorporated into the development of public policies at AAFC on the same level as economic and social considerations.
2.5A Linked to Federal SD Goal:  6.1.2 "Clear and effective governance mechanisms to integrate sustainable development in decision making e.g. SEA"	3.5A Knowledge sharing and communication of the SEA requirement.	4.5A Development and facilitation of SEA information sessions. Update the SEA website as necessary. Ongoing meetings of and email updates to the SEA Working Group. Ongoing attendance at Senior Management Committee on Environmental Assessments (SMCEA) SEA Subcommittee meetings. Ongoing communication by the SEA Coordinator of the SEA requirement.
This goal is not linked to a federal SD goal.	Implementation of a system to track policy, plans, and program proposals subject to an SEA	Preparation of tracking reports for management. Ongoing use by SEA Coordinator of the tracking system.
Linked to Federal SD Goal:  6.1.2 "Clear and effective governance mechanisms to integrate sustainable development into decision making (e.g. SEA)"	Preliminary scans are conducted on all policy, plan, or program proposals by an AAFC policy analyst with guidance from the SEA Coordinator; detailed SEAs are conducted when required.	Ongoing guidance on and review of SEAs by the SEA Coordinator.
B. Integrated Economic/Environmental Modelling and Analysis (IEEMA):
Models inform the ongoing policy decision making process for priority agricultural issues by providing integrated quantitative analyses of the economic and environmental impacts.
2.5B Linked to Federal SD Goal:  6.1.2 "Clear and effective governance mechanisms to integrate sustainable development into decision making (e.g. SEA)"	3.5B Operational and documented analytical tools are used to prepare integrated quantitative assessments of both the economic and environmental impacts of existing and proposed agricultural policies and programs.	4.5B Update and enhance the policy model CRAM (Canadian Regional Agricultural Model) to improve the structure, spatial coverage, and relevance. Update and enhance existing linkages between CRAM and the science-based Agri-Environmental Indicators (AEIs), and develop linkages to additional indicators. Develop a Land Use Allocation Model (LUAM) to provide better spatial linkages between the large administrative regions in CRAM and the much smaller ecologically based regions (Soil Landscapes of Canada polygons) underlying the AEIs.
Linked to Federal SD Goal:  4.2.1 "Communities are well positioned to adapt and to maintain or generate sustainable economic activities "	Reports documenting the quantitative analyses of the economic viability and environmental sustainability of pertinent policy issues.	Re-evaluate provincial environmental outcome targets based on updated and enhanced CRAM and AEI models and better information on actual provincial environmental programming under the APF. Analysis to contribute to planning for the next generation of agri-environmental programming. Climate change analysis including assessment of additional greenhouse gas mitigation strategies, analytical support for the continued development and implementation of the Offset Trading System, exploring issues related to the impacts of global warming on the agriculture sector and the assessment of options for adaptation, analytical support for the planning and negotiation process for the next round of international agreements, and assessment of the environmental co-benefits of GHG mitigation. Strategic Environmental Assessments of existing and proposed agricultural programs and policies to meet legislative obligations; EAs will be done for the Canadian Agricultural Income Support Program (CAIS), the Production Insurance Program (PI), and the Doha round of the WTO trade negotiations. Contribute analysis to other policy priorities such as exploration into the concept of Ecological Goods and Services as a basis for future agri-environmental policy development, innovation and the bio-economy, and a water strategy for agriculture.
C. Agri-Environmental Valuation (AEV):
Initial research is conducted and measures are in place to determine economic values corresponding to bio-physical changes in the environment resulting from agriculture.
2.5C Linked to Federal SD Goal:  4.2.1 "Communities are well positioned to adapt and to maintain or generate sustainable economic activities "	3.5C Develop a plan to communicate with stakeholders and increase the capacity for agri-environmental valuation research in Canada.	4.5C Hold annual meetings of the agri-environmental valuation expert committee. Hold first workshop on project development. Coordinate and cooperate on environmental valuation activities with other federal and provincial agencies and organizations.
This goal is not linked to a federal SD goal.	Development of a mechanism to coordinate and fund a series of valuation projects.	Issue a request for proposals and market them to relevant members of the research community. Set up an adjudication process to review and select submitted proposals.
This goal is not linked to a federal SD goal.	Implementation of valuation pilot studies addressing pre-selected agri-environmental (NAHARP) indicators.	Implementation of pilot studies where data is abundant and available. Implementation of a valuation study based on existing literature (benefits-transfer). Regular consultations on individual studies and program development with scientists, economist/modelers, and policy decision-makers.
D. Social Indicators (SI)
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.
2.5D This goal is not linked to a federal SD goal.	3.5D Identification of social issues affecting the agriculture sector.	4.5D Ongoing meetings of AAFC's Social Indicators Working Group. Ongoing meetings of AAFC's Technical Working Group and associated summary reports. Prioritization of social issues.
Linked to Federal SD Goal:  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)"	Development of indicators.	Ongoing meetings of expert groups developing indicators.
This goal is not linked to a federal SD goal.	Pilot Social Indicators projects.	Report on Social Indicators Pilot.
1.6 Research: Model Farms Research Program (MFRP)
To increase carbon sequestration in agricultural soils, reduce GHG emissions per unit of production, and enhance the synergy between agriculture and the environment.
2.6 This goal is not linked to a federal SD goal.	3.6 Prepare a technical report titled "Greenhouse gases: Clues to more efficient farming systems in Canada" as a sequel to Health of Our Air.	4.6 Prepare and publish a review of science pertinent to estimating and reducing GHG emissions from Canadian farms. The review, to be published as a book, will include a series of chapters, each written by several co-authors, and will summarize the research findings from the Model Farm project that was funded through Action Plan-2000 on Climate Change (AP-2000) and A-base.
This goal is not linked to a federal SD goal.	Develop and improve models and measuring technologies that more reliably quantify GHG emissions and/or soil C sequestration for promising BMPs in selected climates, geographical regions, and farming systems in order to enhance the synergy between agriculture and the environment.	Conduct measurement exercises at selected sites to better understand and manage the impact of agricultural practices on the environment, with emphasis on GHG emissions and energy use. Identify and assess new methods to reduce GHG emissions from farms and from energy use on farms. Develop improved methods (ie., accessible databases, models) to provide scientific support for mitigation policies, such as the offset system, agri-environmental indicators, and economic analyses of mitigation practice.
Linked to Federal SD Goal:  3.2.1 "Support for clean technologies is provided (such as building, transportation, and industrial processes)"	A tool is developed that allows potential clients (e.g., scientists, policy makers, producers) to test how the adoption of certain practices might reduce GHG emissions per unit of production and increase soil C sequestration, thereby leading to more sustainable farming practices.	Quantify emissions of GHG per unit of production (ie., liters of methane (L of CH4) per kg of milk). Develop and improve algorithms, based on sound science, that predict net GHG emissions from farms and identify ways of reducing them. Develop a GHG estimation tool that generates output useful for performing economic analyses of proposed GHG mitigation practices. Evaluate and ensure consistency of the GHG estimation tool used on farms with approaches used for national inventories (e.g., NCGAVS). Establish communication links with various clients to improve and increase the use of AAFC GHG calculator. Using the GHG estimation tool, explore the potential role of bio-fuels as a way of reducing net GHG emissions.
1.7 Work with sector to apply and perfect integrated approaches:
A. Ecological Goods and Services Policy (EG&S Policy) The development of the National EG&S Policy Framework benefits from research gathered through EG&S policy pilot projects and through other research initiatives.
2.7A This goal is not linked to a federal SD goal.	3.7A Workplan projects are developed for the EG&S policy framework by AAFC analytical staff.	4.7A FPT EG&S policy WG meetings and conference calls. AAFC analytical staff research development meetings and updates.
This goal is not linked to a federal SD goal.	Engagement with stakeholders to ensure the proper development of an EG&S policy framework	Attendance at relevant stakeholder meetings. FPT EG&S policy development updates/presentations to stakeholder groups. Communication with FPT Environment Departments.
Linked 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"	The implementation of EG&S policy pilot projects that will contribute to the development of an EG&S policy framework.	Pilot proposal assessments and engagement with proponents.
B. Integrated Water Resources Management (IWRM) Increased adoption of, and support for, applying, an 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.
2.7B This goal is not linked to a federal SD goal.	3.7B Increase capacity in AAFC, provincial/territorial partners, First Nations, non-government organizations, communities of experts, watershed authorities and stakeholders to support IWRM and advance watershed planning and management in agricultural landscapes.	4.7B Promote IWRM as a Beneficial Management Process for the management of natural and human resources in watersheds. Develop tools, protocols, methodologies, technologies, guidelines, or BMPs for partners and watershed authorities for the collection and evaluation of agricultural-related information in watersheds to support decision-making. Support, facilitate, and participate in international, national, regional, and local partnerships, networks, forums, boards, and communities of practice that can affect decision-making related to agricultural activities in watersheds and basins (ie., development of provincial watershed health indicators). Support education and awareness activities to promote APF programs, specifically Environmental Farm Planning, equivalent agri-environmental planning, and the NSFP.
Linked to Federal SD Goal:  1.3.2 "Knowledge of water resources is increased"	Transfer science-based knowledge and tools to AAFC, provincial/territorial partners, First Nations, non-government organizations, communities of experts, watershed authorities, and stakeholders which can be used to assess, analyze, monitor, evaluate, and report on agricultural practices, risks, and related resources in watersheds.	Provide water resource and/or agricultural related information and assessments for watershed groups/stakeholders and partners. Identify existing and emerging issues and gaps in agricultural information, tools, and BMPs needed to support watershed planning and management. Develop/test satellite/radar imagery tools and data collection/analysis tools and protocols for partners and watershed authorities for identifying and/or quantifying agricultural risks in watersheds. Provide trend analysis information on Canadian agri-environmental health indicators.
Linked to Federal SD Goal:  1.2.1 "Water efficiency and sustainable water use is improved"	Improve targeted adoption of beneficial management practices in agricultural based watersheds to improve watershed health and, ultimately, water quality.	Promote access to APF programs (such as EAEP, NFSP, NWSEP), services and technical expertise to improve financial, technical and organizational capacity of provinces and watershed authorities to set goals and implement changes related to agricultural activities and practices.
8. Programs
A. Co-operative Development Initiative (CDI) To develop new co-operatives that respond to the needs of citizens, and that fall into areas of federal priority.
2.8A Linked to Federal SD Goal:  4.2.1 “Communities are well positioned to adapt and to maintain or generate sustainable economic activities ”	3.8A Make co-operative advisory services and technical assistance readily available to citizens.	4.8A Invest in advisory services for the co-operative sector to build sector capacity for co-operative development.
This goal is not linked to a federal SD goal.	Implement innovation and research activities to lead to a better understanding of the role co-operatives can play.	Raise awareness of co-operatives and build a common, national understanding of the unique role that co-operatives can play. Invest in innovation and research activities to test new applications of the co-operative model.
This goal is not linked to a federal SD goal.	Develop and expand partnerships with the co-operative sector, various levels of government, non-government organizations, academia, and other sectors.	Develop and expand partnerships to achieve Co-operative Development Initiative program objectives.
B. Canadian Farm Families Options Program (CFFOP)
Low-income farm families have found ways to increase their family incomes.
2.8B Linked to Federal SD Goal:  4.2.1 “Communities are well positioned to adapt and to maintain or generate sustainable economic activities ”	3.8B Implementation of CFFOP.	4.8B Implementation of CFFOP Year 1 and Year 2. Provide guidance on program promotion and communication. Monitor administrative efficiencies of CFFOP. Develop and maintain an integrated database with Renewal programs and Farm Income Programs. Develop low-income farmer-level data and information on related Renewal activities.
This goal is not linked to a federal SD goal.	Evaluation/Review of CFFOP.	8B.2.1 Ongoing review of CFFOP. 8B.2.2 Provide advice to support policy decision-making with respect to development or improvement of CFFOP-type program. 8B.2.3 Conduct survey of CFFOP participants and integration with Renewal programming in order to evaluate the effectiveness and make recommendations on future program development. 8B.2.4 Conduct research and analysis to determine impacts of CFFOP on low-income farm families. 8B.2.5 Provide support for the Advisory Board.
This goal is not linked to a federal SD goal.	Advisory Board interim and final reports.	8B.3.1 Input on next generation policy. 8B.3.2 Report to Minister on findings of program review and recommendations for future program direction. 8B.3.3 Report to Cabinet with proposal for future program.
SDS Departmental Goal: AAFC's SDS presents 6 GGO 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 Measure (Outputs) from current SDS	4. Department's Expected Results for 2007-2009
1.1 Contaminated Sites Assessment and remediation of Contaminated sites to protect human health and the environment per Federal Contaminated Sites Action Plan.
This goal is not linked to a federal GGO goal	Number and % of third-party Phase I ESAs completed at research properties with potential for contamination per approved plan	Completion of third-party Phase I Environmental Site Assessments (ESAs) at all AAFC research properties with potential for contamination by 2009
1.2 Halocarbon Management Management of halocarbons in compliance with the Federal Halocarbon Regulations
2.2 This goal is not linked to a federal GGO goal.	Inventory verified and updated each year Plan delivered per schedule each year (reporting of releases, site visit reports and follow-up annual report)	Up-to-date inventory of equipment and refrigerants (annual) Delivery of halocarbon management and compliance program (annual)
1.3 Species at Risk Management of AAFC lands in support of long-term productivity and healthy levels of biodiversity in accordance with the Species at Risk Act.
2.3 This goal is not linked to a federal GGO goal.	Number and % of Community Pasture SAR and SAR habitat assessments completed Number and % of management plans completed	Assessment of research and rangeland sites for potential or actual presence of species at risk (SAR) and SAR habitat by 2009 Completion of a management plan for each research site with high SAR/SAR habitat potential by 2009
1.4 Water Management Water conservation and water quality management to ensure potability at departmental sites
2.4 This goal is not linked to a federal GGO goal.	Number and % of sites with a potable water quality management plan in place Number and % of sites with water management plan in place	Implementation of a departmental potable water quality management plan by 2009 Implementation of a departmental water management plan that addresses both water quality and water conservation by 2009
1.5 Green Procurement Reduction of consmption of resources and increase in the use of environmentally responsible office products and practices
2.5 linked to GGO goal on Green procurement	Number and % of additional duplex printers in use Change in volume of paper used compared to baseline Number of contracts considered and number where green specifications are included Number and % of staff who have received training	A 10% per year increase in the number of duplex printers in operation across the Department Reduction of 3% per year in paper consumption at the NCR Headquarters facility Inclusion of green technical specifications where possible in building cleaning contracts for facilities, e.g., use of green products/practices (annual) 100% 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 (annual)
1.6 Building Energy Reduction of Greenhouse gas emissions through increased energy efficiency and use of renewable energy.
2.6 linked to GGO goal on Building energy	AAFC's annual greenhouse gas emission level, calculated using recorded quantities of annual energies consumed within AAFC buildings and fleet and the Federal House in Order published greenhouse gas conversion factors for all energy types	Reduction of the Department's overall greenhouse gas emission levels accounted for by operations to 8.5% below 1998 business-as-usual levels by 2010
1.7 Vehicles Reduction of consmption of resources and increase in the use of environmentally responsible office products and practices
2.6 linked to GGO goal on Green Fleet	Estimated percentage of gasoline purchased for AAFC road vehicles that is ethanol blended Estimated annual average greenhouse gas emissions per vehicle/kilometre	All gasoline purchased for federal road vehicles to be ethanol blended, where available by 2010 Reduction of greenhouse gas emissions per vehicle/kilometre of the departmental fleet to 15% below 2002–2003 levels by 2010

Table 15: Internal Audits and Evaluations

Upcoming Internal Audits and Evaluations (Next three fiscal years)

1. Name of Internal Audit/Evaluation	2. Audit Type/ Evaluation Type	3. Status	4. Expected Completion Date	5. Electronic Link to Report
Audit of Canadian Agriculture Income Stabilization Program Payments	Transfer Payment	In Progress	2007-2008 1st Qtr
Audit of Temporary Help Services	Compliance	In Progress	2007-2008 1st Qtr
Audit of Taxi Chit Usage	Management	In Progress	2007-2008 1st Qtr
Audit of Management of Federal/Provincial Agreements for the delivery of BSE	Transfer Payment	In Progress	2007-2008 2nd Qtr
Audit of Farm Income Payment Program - General Payment	Transfer Payment	In Progress	2007-2008 2nd Qtr
Audit of Farm Income Payment Program - Direct Payment	Transfer Payment	In Progress	2007-2008 2nd Qtr
Audit of Grains and Oilseeds Payment Program	Transfer Payment	In Progress	2007-2008 3rd Qtr
Audit of Promotional Activities	Management	In Progress	2007-2008 3rd Qtr
Audit of Departmental IM IT Governance Processes	Governance	In Progress	2007-2008 3rd Qtr
Audit of Management Control Framework of Environmental Programs	Management/ Governance	In Progress	2007-2008 4th Qtr
Audit of Compliance to Network Wireless Access Policy	IM/IT	In Progress	2007-2008 4th Qtr
Audit of NLWIS Systems under Development Audit	IM/IT	In Progress	2007-2008 4th Qtr
Follow-up Audit of Information Security	Follow-Up	Planned	2007-2008
Follow-up Audit of Pay and Benefits	Follow-Up	Planned	2007-2008
Audit of Section 33 FAA Processes and Controls	Finance	Planned	2007-2009
Audit of Management of Capital Assets	Management	Planned	2007-2009
IS Audit Intrusion Testing	IM/IT	Planned	2007-2009
Pari-Mutuel Agency	Finance	Planned	2007-2009
Emergency Management and Business Continuity	Management	Planned	2007-2009
Integration of Conflict Resolution Processes	Management	Planned	2007-2009
PSEA Implementation	Management	Planned	2007-2009
AAFC's ERM Processes	Risk	Planned	2007-2009
IT Disaster Recovery	IM/IT	Planned	2009-2010
Physical Security of Staff and Premises	Management	Planned	2009-2010
Performance Management and Staff Development Processes	Management	Planned	2009-2010
Corporate Management Service Level Standards.	Management	Planned	2009-2010
Collaborative Research Revenues & Expenditures	Finance	Planned	2009-2010
Management Control Framework of Research	Management	Planned	2009-2010
Prairie Grain Roads Program Audit	Transfer Payment	Planned	2009-2010
Management of Fed-Prov Agreements of Province Based Programming	Transfer Payment	Planned	2009-2010
Canadian Agricultural and Food International (CAFI) Program	Transfer Payment	Planned	2009-2010
Evaluation of APF Governance and Management	Governance	In Progress	2006-2007
Evaluation of Production Insurance	Transfer Payment	In Progress	2006-2007
Evaluation AAFC Response to BSE	Transfer Payment	In Progress	2006-2007
Evaluation of Program Delivery Model		In Progress	TBD
Evaluation of Province Based Programs	Programs	In Progress	TBD
Chapter Evaluation - Environment	Chapter Evaluation	In Progress	TBD
Chapter Evaluation - Renewal	Renewal	In Progress	TBD
Chapter Evaluation - FSQ	Chapter Evaluation	In Progress	TBD
Chapter Evaluation - BRM	Chapter Evaluation	In Progress	TBD
Chapter Evaluation - Science and Innovation	Chapter Evaluation	In Progress	TBD
Chapter Evaluation - Markets and Trade	Chapter Evaluation	In Progress	TBD
ACAAF Evaluation	Chapter Evaluation	Planned	TBD

6. Electronic Link to Internal Audit and Evaluation Plan:

A multi-year Audit and Evaluation plan is not available at this time, but a risk-based Audit and Evaluation plan for 2007-2008 will be available by the end of March, 2007.

• 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.
• The annual evaluation risk-based 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.

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