Union des cultivateurs franco-ontariens Special Funding (Re), 2012 ONAFRAAT 12

Agriculture, Food and Rural Affairs Appeal Tribunal 1 Stone Road West

Tribunal d’appel de l’agriculture, de l’alimentation et des affaires rurales 1 Stone Road West

Guelph, (Ontario) N1G 4Y2 Tel: (519) 826-3433, Fax: (519) 826-4232 Email: AFRAAT@ontario.ca

Guelph (Ontario) N1G 4Y2 Tél.: (519) 826-3433, Téléc.: (519) 826-4232 Email: AFRAAT@ontario.ca

AGRICULTURE, FOOD AND RURAL AFFAIRS APPEAL TRIBUNAL

APPEAL:

Union des cultivateurs franco-ontariens Special Funding

UCFO Special Funding (RE) 2012 ONAFRAAT 12

STATUTE:

Farm Registration and Farm Organizations Funding Act, 1993

HEARING:

June 7, 2011

DATE OF DECISION:

May 23, 2012

2012-12

NEUTRAL CITATION:

2012 ONAFRAAT 12

Union des cultivateurs franco-ontariens Special Funding

IN THE MATTER OF: sections 17 AND 18 OF THE Farm Registration and Farm Organizations Funding Act, 1993

AND IN THE MATTER OF: The application by the Union des cultivateurs franco-ontariens (UCFO) asking the Agriculture, Food and Rural Affairs Tribunal to renew its eligibility for special funding under Section 17 of the Act.

Before: Marthanne Robson, Vice-Chair and Denis Perrault, Member

Appearances:

Marc Laflèche, President, UCFO

Simon Durand, General Director, UCFO

Pierre Glaude, Editor, Agricom and former Secretary General and Vice-President of the Institut de la gestion agricole (IGA) [The Agricultural Management Institute (AMI)]

DECISION OF THE TRIBUNAL

Statutory Context

All agricultural businesses in Ontario, with few exceptions are required to subscribe to one of the accredited agricultural organizations pursuant to the Act. The Union des cultivateurs franco-ontariens (UCFO) may be eligible for special funding but it is not accredited.

A new agreement was signed in January 2008. This agreement contains major amendments for the UCFO, a simplified formula for calculating the funds received. No amendment to the agreement can be made without the consent of the UCFO and the Minister of Agriculture, Food and Rural Affairs. The agreement is now sine die rather than renewable every three years.

The funding agreement with the other accredited organizations — the Christian Farmers Federation of Ontario (CFFO), the National Farmers Union – Ontario (NFU-Ontario) and the Ontario Federation of Agriculture (OFA) — are a major source of revenue for the UCFO and constitute the source of special funding.

Section 12 of the Farm Registration and Farm Organizations Funding Act (the "Act") stipulates that "a francophone organization representing farmers in the Province may be eligible for special funding under this Act” if it meets certain criteria set out in the Act and in Regulation 723/93 (see Appendix A).

Section 7 of Ontario regulation 723/93 stipulates that "The Union des cultivateurs franco-ontariens is eligible for special funding for three years starting on November 8, 1996." Section 9 of the regulation indicates that "A francophone organization eligible for special funding may apply for renewal of its eligibility only during the period that is no sooner than nine months and no later than six months before the expiry of its eligibility.”

The organization must serve the socio-economic and cultural interests of francophone farmers and offer French language services to agricultural businesses.

The organization must generally submit an application for renewal to the Tribunal every three years (s. 17). The Tribunal shall hold a hearing before deciding whether to renew the organization’s eligibility (s. 18). All other accredited farm organizations receive written notice of the application.

The matter was heard on Tuesday, June 7, 2011 in Ottawa. UCFO’s eligibility for special funding expires at midnight on November 8, 2011. On March 16, 2011, the Union des cultivateurs franco-ontariens (UCFO) applied to the Agriculture, Food and Rural Affairs Appeal Tribunal (the “Tribunal”) for renewal of its special funding status pursuant to the Act. Written notice of the hearing was sent to the Minister of Agriculture, Food and Rural Affairs (the “Minister”), the Ontario Federation of Agriculture (OFA), the Christian Farmers Federation of Ontario (CFFO), the National Farmers Union – Ontario (NFUO), the UCFO and was posted on the Tribunal’s website.

The purpose of the hearing is to determine whether the UCFO meets the conditions and criteria for renewal of the special funding.

Community context

Pierre Glaude, the editor of the Agricom journal, described a partnership between UCFO, the journal, Alfred College and the Franco-Ontarian Community of the University of Guelph, which is central to all Franco-Ontarian agricultural institutions.

In 1980, UCFO played a key role in the creation of Alfred College and on two subsequent occasions when the College was at risk of being closed.

When the College was transferred from the Ministry of Agriculture, Food and Rural Affairs to the University of Guelph, the UCFO concluded an agreement with the university to ensure that the College would remain francophone and obtain its share of funding from the university.

The agreement led to the creation of the community council of Alfred College and UCFO became the University’s francophone community partner.

According to Mr. Glaude, the creation of Alfred College also provided an enormous contribution to UCFO’s development and UCFO was subsequently able to save the College from threatened closure on several occasions.

The Agricom journal would not exist without the help of Alfred College. For its part, the Agricom journal helped to keep the College open on several occasions by featuring it prominently in its pages and raising people’s awareness about it.

The Conditions, Criteria and Evidence

The UCFO submitted documents including a triennial report (2008-2010), its financial statements for 2008, 2009 and 2010, a copy of the Agricom journal as well as letters of support. Messrs. Laflèche, Durand and Glaude testified.

Pierre Glaude, a founding member of the Agricultural Management Institute (AMI) emphasized that in his opinion, the UCFO exceeds the statutory criteria. The participation of members in the Boards of Directors of other agricultural organizations provides a francophone dimension, for example: introducing the structure of an agricultural management group which did not exist on the Anglophone side and ensuring that Francophones get "their slice of the cake".

The UCFO repaid the kindness of the Agricultural Management Institute (AMI) when the latter separated from the Agricultural Adaptation Council (AAC). The UCFO provided AMI with a loan of premises and office equipment to help it establish itself as an independent entity.

The following is a summary of the evidence that addresses the criteria set out in the regulation:

1. Promoting francophones’ awareness of agriculture and agricultural issues.

The UCFO publishes the Agricom journal, which reaches some 3,500 francophone farming families and stakeholders. It contains articles on new farming technologies and trends, reports on events in francophone farming communities and features profiles of outstanding farmers or stakeholders. Every month, the La Voie Agricole website, a UCFO project, is visited by over 25,000 people from Ontario and elsewhere. Both publications are available in French only.

The UCFO coordinates several farm tourism projects, such as Agri-Tour, an open farm tour involving some fifteen farms.

2. Advice to governments, administrative tribunals and advisory bodies on agricultural issues and program/policy development.

The UFCO communicates regularly with federal, provincial and municipal governments and elected representatives. Its triennial report outlines the different organizations and consultations in which it was involved, specifically with ministers and elected members associated with the Francophonie and agriculture, Canadian Heritage and the agricultural advisory committee in the United Counties of Prescott-Russell.

3. Provides education and training on agricultural issues.

As well as its journal and website, the UCFO has three representatives on the community council of Alfred College of the University of Guelph. The UCFO has published a training calendar for the past two years. In 2010-2011, UCFO offered nine training sessions open to farmers in New Liskeard in collaboration with Collège Boréal.

4. Plans, promotes, and implements economic development programs.

The UFCO appoints delegates to the Prescott-Russell economic development committee, the Agricultural Adaptation Council and the Agricultural Management Institute, among others. It regularly works with economic development organizations such as the Ontario Ministry of Agriculture, Food and Rural Affairs (OMAFRA), and the Réseau de développement économique et d’employabilité – Ontario (RDÉE Ontario).

5. Maintains ties with the accredited and Francophone organizations.

OFA always attends the UFCO’s annual meeting and vice versa. As well, the UFCO sits on the OFA’s board of directors. Ties with the CFFO and NFUO are maintained at the staff level of these organizations; a UFCO representative attends their annual general meetings.

With respect to francophone organizations, the UFCO is an active participant in the activities of organizations such as the Association canadienne française de l’Ontario, the Assemblée de la francophonie de l’Ontario and the Association Francophone des municipalités de l’Ontario.

6. Board of directors elected by its members.

The 11 members of the UFCO’s board of directors are elected directly by the regular members. When the triennial report submitted to the Tribunal was prepared on May 20, 2011, there were three remaining positions to be filled.

7. Submission of financial and annual reports.

Following the adoption of the financial statements at the annual general meeting, the UCFO submitted the financial statements to the Tribunal as well as to the other accredited organizations

8. N/A.

9. The UCFO was incorporated as a not-for-profit organization in 1945.

10. Has at least 40 members.

The UCFO has 604 regular members representing 320 agricultural businesses. Membership in the UCFO has increased by 15% since the last application for renewal.

Decision and reasons

Based on a review of the facts and the criteria set out in the Act and Regulation, the UFCO meets the conditions and criteria required to justify the renewal of its eligibility for special funding.

Based on the testimony presented and the documents submitted, the Tribunal maintains the UFCO’s application for renewal of its eligibility for special funding under the Act.

The Tribunal orders that the application by the Union des cultivateurs franco-ontariens for renewal of its eligibility for special funding status be granted pursuant to Section 19 of the Act. This ruling will be in effect for three years commencing November 9, 2011 and ending at midnight, November 8, 2014.

Dated in Ottawa, Ontario, this 23^rd day of May 2012

APPENDIX A

8. (1) Subject to the other provisions of this section, a francophone organization representing farmers in Ontario may be eligible for special funding if, in addition to meeting the criteria set out in clauses 12 (a) and (b) of the Act, it meets the following criteria:

9. It promotes knowledge of agriculture and agricultural issues amongst francophones in agricultural and rural areas of Ontario.

10. It provides advice and analysis to governments, administrative tribunals or advisory bodies concerning agricultural issues and the development of programs or policies that are of interest to francophones carrying on farming businesses in Ontario.

11. It provides education or training in respect of agricultural matters or provides information on obtaining such education or training to francophones carrying on farming businesses in Ontario.

12. It plans, promotes or implements or assists in planning, promoting or implementing economic development projects in agricultural and rural areas of Ontario.

13. It maintains a liaison with the accredited organizations and other francophone organizations representing farmers.

14. It has an executive body that is elected by its members or by electors chosen by members.

15. If it is an organization that is eligible for special funding, it has submitted to the Tribunal, on an ongoing basis during the period of its eligibility, within ten days after each annual general meeting,

i. an annual report describing its objectives and activities and the number of members it has during its most recently completed fiscal year,

ii. its audited financial statements and audited report for its most recently completed fiscal year.

8. If it is an organization that is not eligible for special funding, it has submitted to the Tribunal,

i. an annual report describing its objectives and activities and the number of members it has during its most recently completed fiscal year,

ii. its audited financial statements and audited report for its most recently completed fiscal year.

9. It is incorporated under a general or special Act of the Legislature.

10. It has at least forty members who:

i. carry on a farming business in Ontario,

ii. have paid the membership fee.

11. It has at least twenty-one members who carry on a farming business for which there is a current farming business registration.

(2) A francophone organization does not meet the criteria prescribed in paragraphs 7 and 8 of subsection (1) unless,

a) the financial statements include a balance sheet, a statement of members' equity, a statement of revenues and expenses and a statement of changes in financial position, however those statements are entitled;

b) the financial statements and auditor's report are prepared in accordance with the standards set forth in the Handbook of the Canadian Institute of Chartered Accountants. O. Reg. 479/94, s. 8.

9. A francophone organization eligible for special funding may apply for renewal of its eligibility only during the period that is no sooner than nine months and no later than six months before the expiry of its eligibility. O. Reg. 479/94, s. 9.

10. In the Act and this Regulation,

“special funding” means the funding accredited organizations have agreed to pay to the eligible francophone organization. O. Reg. 479/94, s. 10.

11. For the purpose of subsection 21 (7) of the Act, the time prescribed for applying for a refund is the ninety-day period starting with the day the registration form is required to be filed. O. Reg. 479/94, s. 11.

12. For the purpose of subsection 11 (7) of the Act, the time prescribed for resubmitting a payment is the thirty-day period starting with the day the Ministry returns the first payment pursuant to subsection 11 (6) of the Act. O. Reg. 479/94, s. 12.

13. In addition to the information that the Minister must provide under subsection 21 (3) of the Act, the Minister may, under section 3 of the Act, for the purpose of promoting the efficient administration of the Act, provide to the appropriate farm organizations the fax numbers and e-mail addresses provided in the farming business registration forms of those who have provided payments under subsection 21 (1) of the Act. O. Reg. 42/99, s. 2.