A-G validates farmer concerns

(OTTAWA) – Tuesday’s report of the Auditor General of Canada on the Canadian Agriculture Income Stabilization (CAIS) program is a clear validation of all the concerns that have been raised by Canadian farmers and their representative farm organizations.

In her report Auditor General Sheila Fraser identified a number of problems with the functioning of the CAIS program: a lack of transparency for the producers who use the program; poor information provided to producers about their benefits which impacts their ability to decide if they need an adjustment or appeal; and producers are forced to wait too long to find out if they will receive a payout and, if so, how much. These correspond with the issues producers themselves have brought forward.

“The Auditor General hit the nail on the head. Her appraisal of the CAIS program backs up what farmers have been saying all along,” said Bob Friesen, President of the Canadian Federation of Agriculture (CFA). “This reinforces the need to continue with the process of reforming the CAIS program that Minister Strahl and his government have begun. CFA will continue to work with the Minister in that process.”

The Auditor General also identified other issues with the implementation and operation of the CAIS program which highlights a need for change in the way programs are developed and run. The report of the AG notes the program administration in Agriculture and Agri-Food Canada (AAFC) is focused on preventing overpayments to farmers and collecting back overpayments that have been made. In contrast when errors are made in calculations resulting in underpayments the onus is put on the producer to question the error. AAFC is also criticized for putting an emphasis on the number of applications processed and following procedure more than ensuring accurate payments.

“As the Auditor General observed, the program’s objective is to protect the income of producers. What is clear from her report is right now that focus has been lost in the Department,” said Friesen. “We hope this will change the culture in federal and provincial departments regarding how programs are developed and administered.”

Aside from the Auditor General’s report, CFA is also highlighting another important announcement made on Tuesday. CFA is thanking Minister Strahl and his government for its commitment to start flowing in June the $400 million cost of production payments promised in the federal budget.

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