MBP E-Newsletter: June 23/2023

An update from MBP June 23, 2023 mbbeef.ca

Canada and Manitoba Invest $2 Million to Enhance Capacity of Rural Veterinary Services Districts

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(Joint Canada / Manitoba news release, June 22, 2023) The governments of Canada and Manitoba are investing $2 million through the new Sustainable Canadian Agricultural Partnership to enhance the capacity of rural veterinary services districts throughout Manitoba, federal Agriculture and Agri-Food Minister Marie-Claude Bibeau and Manitoba Agriculture Minister Derek Johnson announced today.

Each district will be eligible to receive up to $75,000 toward the purchase of large-animal veterinary equipment, which will allow them to offer expanded services in their district, noted the ministers. The funding will assist clinics in modernizing their equipment, which may support the recruitment and retention of veterinarians in rural areas. The investment promotes overall animal health and welfare, supports a resilient food chain, and helps ensure Manitoba is well-prepared for animal disease emergencies, added Johnson.

The ministers noted this investment builds on other recent initiatives implemented to expand the province’s animal health-care capacity to support the ongoing success of the agricultural sector. In 2022, the Manitoba government expanded its training agreement with the Western College of Veterinary Medicine to address the critical need for veterinarians and invested in a modernized animal health laboratory information management system to strengthen the provincial animal disease surveillance program.

Quotes

“Canadian producers and ranchers take animal care very seriously. This investment will allow rural veterinarians access to essential modern equipment so they can provide timely animal health care.” - The Honourable Marie-Claude Bibeau, Minister of

Agriculture and Agri-Food

“Manitoba’s veterinary services districts provide essential veterinary services in 26 rural locations and account for over 80 per cent of the Manitoba clinics providing large-animal hospital services. Investing in large-animal veterinary services is vital to the continued resiliency and sustainability of Manitoba’s livestock sector.” — Manitoba Agriculture Minister Derek Johnson

“Manitoba’s beef producers certainly value the essential services provided at the veterinary services district sites throughout the province. Government investments in largeanimal veterinary equipment are key components in supporting veterinary staff as they provide quality care for beef cattle. This is an important initiative.” — Matthew Atkinson, president, Manitoba Beef Producers

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Producers Encouraged to Provide Feedback on Proposed Changes to the Agricultural Crown Lands Leases and Permits Regulation Until July 17

(Source: Manitoba Agriculture Website) On June 2, 2023, the Minister of Agriculture announced proposed changes to further enhance the Agricultural Crown Lands Program. Through amendments to the Agricultural Crown Lands Leases and Permits Regulation, under The Crown Lands Act, Manitoba is proposing to:

• Determine forage capacity at the outset of a forage lease or renewable permit (evaluating AUMs)

• Expand eligibility to hold an agricultural Crown lands lease or permit to include Indigenous organizations

• Allow terms of new leases (post October 2019) to be extended by five years to a maximum of 20 years where a forage management plan has been implemented and good land management has been demonstrated

• Allow new leaseholders (post October 2019) to transfer the remainder of thelease term to another eligible party

• Allow leaseholders to nominate the next leaseholder for leases issued before October 2019, provided the lease is not selected through Treaty Land Entitlement

• Valuing improvements at the end of a lease through a third party appraiser

Please review the Agricultural Crown Lands Leases and Permit RegulationProposed Amendments.

Please review the Agricultural Crown Lands Leases and Permit Regulation - Proposed Amendments. Or visit pages 13-28 of this newsletter.

Send us your thoughts and suggestions to help refine Manitoba's proposed Agricultural Crown Lands Leases and Permits Regulation Comments can be provided through the Manitoba Regulatory Consultation Portal at http://reg.gov.mb.ca/home

For more information on agricultural Crown lands, visit https://www.gov.mb.ca/agriculture/landmanagement/crown-land/.

New Funding Available for Manitoba Agriculture Producers and Processors to Support Sustainability Initiatives and Food Safety Improvements

(Joint Canada / Manitoba news release, June 22, 2023) The governments of Canada and Manitoba are providing funding under the Sustainable Canadian Agricultural Partnership (Sustainable CAP) to support Manitoba producers and processors in the areas of environmental sustainability and food safety and traceability, federal Agriculture and Agri-Food Minister Marie-Claude Bibeau and Manitoba Agriculture Minister Derek Johnson announced today.

The Sustainable Agri-Processing Program (SAP) offers grant funding toward private companies’ sustainability initiatives. Funding is available in the following areas:

• The Building Envelope, Lighting and Ventilation Upgrades stream helps applicants assess and upgrade agri-food and agri-product facilities and equipment to create energy savings and greenhouse gas reductions to contribute to Manitoba’s GHG emission reduction goals. Funding is available for up to 50 per cent of the project cost, up to a maximum of $25,000 per project.

• The Input Use Efficiency stream aims to reduce agri-food and agri-product wastage during harvest, storage of crops and ingredients and processing by providing funding towards the purchase of assets and systems that will mitigate wastage. Funding is available for up to 50 per cent of the project cost, up to a maximum of $50,000 per project.

• The Water Use Efficiency stream provides funding for projects that help reduce the amount of water used by

agri-processors in production and sanitation processes, treatment of wastewater prior to being disposed or returned to the municipal system or to the recovery of nutrients from wastewater. This funding aligns with the Manitoba government’s Water Management Strategy, which guides future actions, decisions and investments to protect the province’s water resources and ecosystems while sustainably growing the economy and communities. Funding is available for up to 50 per cent of the project cost, up to a maximum of $250,000 per project.

• The Waste Use Efficiency stream supports projects that help reduce or divert agri-processing waste products, byproducts or coproducts. Funding is available for up to 50 per cent of the project cost, up to a maximum of $250,000 per project.

The Food Safety and Traceability Program provides funding to assist the agri-food and agriproduct sectors to adopt or improve food safety and traceability practices. Both food safety and traceability are important not only for public safety, but also a requirement for many customers, associations and regulators.

The Food Safety and Traceability Program will provide up to 60 per cent of eligible expenses, up to a maximum of $30,000 for food safety initiatives and up to 50 per cent of eligible expenses, up to a maximum of $30,000 for traceability initiatives.

Examples of eligible expenses include:

continued on page 5

New Funding Available for Manitoba Agriculture Producers and Processors to Support Sustainability Initiatives and Food Safety Improvements

• developing and implementing preventative food safety programs;

• purchasing food safety and traceabilityrelated equipment; and

• consultant fees and training costs. Food safety and traceability are critical in food processing and distribution to protect consumer safety and markets. It is important that food and ingredients are able to be quickly traced back to the source to prevent or reduce harm to the public, Johnson noted.

Quotes

“Today’s announcement will support Manitoba producers and processors in their efforts to deliver a safe and reliable food supply while adapting themselves to climate change. Reducing waste, becoming more efficient with water usage, and finding innovative ways to create a more sustainable food system all strengthen the competitiveness of the sector.” — The Honourable Marie-Claude Bibeau, Minister of Agriculture and Agri-Food

“Our government continues to support Manitoba producers in assessing and improving their operations to address growing consumer and ecological demands for sustainably produced food. Our government is proud to offer programming that emphasizes sustainability and that leverages traceability as an effective tool to prevent and respond to animal health or food emergencies, making Manitoba food products more competitive on a global scale. Manitoba has one of the safest supplies of food

in the world, and must continue to evolve and innovate to keep up with current safety requirements.” Manitoba Agriculture Minister

Derek Johnson

Quick Facts

• Eligible applicants for the Sustainable AgriProcessing Program include primary producers, agri-food processors, agriproduct processors, licensed commercial kitchens, Indigenous communities, groups and governments, food and ingredient wholesalers and abattoirs.

• Eligible applicants for the Food Safety and Traceability Program include agri-food processors, agri-product processors, licensed commercial kitchens, food warehouse distributors and Indigenous communities, groups and governments.

• The Sustainable Canadian Agricultural Partnership is a five-year, $3.5-billion investment by Canada's federal, provincial and territorial governments that supports Canada's agri-food and agri-products sectors. This includes $1 billion in federal programs and activities and a $2.5-billion commitment that is cost-shared 60 per cent federally and 40 per cent provincially/territorially for programs that are designed and delivered by provinces and territories.

Associated Links

• https://agriculture.canada.ca/en/departme nt/initiatives/sustainable-canadianagricultural-partnership

• https://www.gov.mb.ca/scap/index.html

Introducing the Canadian Agri-Food Asset Map Connecting Sustainable Protein Researchers to Opportunities for Collaboration and Growth

June 21, 2023 – University of Manitoba –FacultyofAgriculturalandFoodSciences

Canadian researchers involved in sustainable protein development now have a powerful new platform to showcase their expertise and infrastructure. The Canadian Agri-Food Asset Map (CAFA), an easy-to-use online directory designed to facilitate collaboration, foster partnerships, and drive progress in the agri-food sector, has been launched as a key initiative of the Manitoba Protein Research Strategy. To get started, researchers can simply register online and add information about their expertise and infrastructure.

“CAFA is a comprehensive and interactive directory that shines a spotlight on Canada's vast array of agri-food assets, making it easier than ever for researchers, investors, and industry partners to connect and work together,” said Dr. James House, Manitoba Strategic Research Chair in Sustainable Protein. “CAFA presents a unique opportunity for sustainable protein researchers to enhance their visibility within the protein ecosystem and engage with like-minded professionals who share a common vision

Researchers who contribute to CAFA gain access to a broad audience to showcase their research and state-of-the-art capabilities. The platform helps identify potential partners for future collaborations, opening the doors to transformative projects. Additionally, CAFA provides a wealth of resources that can advance important work in sustainable protein in the Province of Manitoba.

“The Canadian Agri-Food Asset Map is the go-to resource for anyone looking to be part of Canada's most comprehensive agri-food network,” said House. “By joining CAFA, you unlock a world of opportunities for collaboration, research, and growth, all within a vibrant and dynamic community. Don't miss out on this chance to position yourself at the forefront of the sustainable protein revolution.”

To view the Canadian Agri-Food Asset Map, visit https://cafamap.ca/.

Please contact mbprotein@umanitoba.ca with any questions, comments, or to inquire about participating in CAFA.

Canada and Manitoba provide $7.5 million in support for commercial beekeepers following high winter losses in 2021/22

June 20, 2023 – Winnipeg, Manitoba –Agriculture and Agri-Food Canada

Manitoba beekeepers will be eligible for support from the federal and provincial governments to rebuild their hives following extraordinary losses incurred over the winter of 2021/22, Federal Agriculture and Agri-Food Minister Marie-Claude Bibeau, and Manitoba Agriculture Minister Derek Johnson announced today.

There are about 115,000 hives in the province, with 95% of hives belonging to commercial beekeepers. Manitoba's honey bee industry experienced high losses over the winter of 2021/22, as did numerous beekeepers across Canada. In Manitoba, 2021/22 winter losses were estimated to be 57% of colonies; normal losses are typically in the range of 30%, Minister Johnson noted.

Purchasing replacement hives is the fastest option for returning to full production capacity. Under the Sustainable Canadian Agricultural Partnership and AgriRecovery, commercial beekeepers with 50 or more hives who are registered with the province can apply to purchase replacement hives.

Quotes

"Beekeepers and healthy bee populations play a vital role in the sustainable production of many high-value agricultural crops. With support to help overcome this unique sector challenge and recover unexpected colony losses, beekeepers will be better equipped for future growing seasons."

- The Honourable Marie-Claude Bibeau, Minister of Agriculture and Agri-Food

"The honey bee industry is a critical component of Manitoba's economy – honey bees pollinate

many of Manitoba's key crops, contributing up to $150 million to the province's agricultural production. Winter 2021/22 saw unprecedented hive loss, and our government is pleased to provide $3 million in provincial cost-shared funding to rebuild hive inventories through the AgriRecovery program so that beekeepers can return to full capacity."

- Derek Johnson, Manitoba Minister of Agriculture

"Manitoba beekeepers have faced consecutive and compounding challenges over the past few years, including drought in 2021, spring snow storms, and a shortage of replacement honey bee stock, many producers were left short of honey bees for the 2022 season. The support announced by the government today will help Manitoba producers accelerate the recovery from of this extraordinary winter loss event. Our Manitoba honey bee industry consists of 250 commercial beekeepers which typically produce 18-20 million pounds of honey valued at $50-60 million. We appreciate the investment into our industry and we appreciate the recognition of the importance of the value that our industry brings to the agricultural landscape."

- Ian Steppler, Chair, Manitoba Beekeepers Association

Government of Canada moves forward on commitments to strengthen the pesticide review process

June 20, 2023 | Ottawa, ON | Health Canada

The Government of Canada is committed to ensuring responsible pesticide management across the country.

Today, the Honourable Jean-Yves Duclos, Minister of Health, along with the Honourable Steven Guilbeault, Minister of Environment and Climate Change Canada (ECCC), and the Honourable Marie-Claude Bibeau, Minister of Agriculture and Agri-Food Canada (AAFC), announced next steps toward a sustainable approach to pesticides management while giving farmers the tools they need to keep providing reliable access to safe and nutritious food.

In addition, Health Canada published a Notice of Intent, which began consultations on proposed amendments to the Pest Control Products Regulations (PCPR). These proposed amendments are a result of the 2022 consultations on targeted review of the Pest Control Products Act.

Following consultation with stakeholders to better understand Canadians’ expectations about the pesticide regulatory review process and its transparency, Health Canada has restarted the science-based process of evaluating acceptable increases to pesticide residue limits, in line with international guidelines. The health and safety of Canadians will remain at the forefront of the process.

Additionally, the Government of Canada is eliminating the use of pesticides for cosmetic purposes on federal lands through amendments to the Greening Government Strategy (GGS), led by Treasury Board of Canada Secretariat (TBS). The GGS specifies how the Government of Canada will transition to net-zero carbon and

climate-resilient operations by 2050, while also reducing environmental impacts beyond carbon, including on waste, water and biodiversity.

ECCC will generate real-world data to help make progress on this sustainable approach to pesticides management in Canada and to better understand the impacts of pesticides on the environment.

These next steps from the Government of Canada are aligned with Canada’s commitment to implementing the 2022 Kunming-Montreal Global Biodiversity Framework (GBF), which aims to halt and reverse biodiversity loss. The Framework includes a focus on reducing the overall risk from pesticides by at least half by 2030. There are many ways to reduce risk that are not correlated to reduction in pesticide use, for example, the timing of application, the effectiveness of a given product, science, and other pest management approaches. As such, the GBF target focuses on the overall impacts and risk management of pesticides and does not command a specific target reduction in pesticide use.

Health Canada has been and will continue to increase the transparency and accessibility of decisions, including posting plain language summaries of key decisions online and disclosing applicants’ names as applications enter the review stage for both pre- and postmarket. Health Canada has also launched the external Scientific Advisory Committee (SAC) for pest control products and consulted key stakeholders on a transition to a continuous oversight approach and systematic review of emerging science.

continued on pages 9 & 10

Government of Canada moves forward on commitments to strengthen the pesticide review process

Quotes

“It is only through a whole of government approach that we will be more successful in creating a sustainable way forward in pesticide management for the safety of our health, the environment, and wildlife. By taking these initial steps today, we are paving the way towards stronger pesticide management in Canada.”

The Honourable Jean-Yves Duclos Minister of Health

“Real-world data is critical to enhancing our understanding of the impacts of pesticides on the environment. By increasing monitoring and research on this issue, and eliminating the unnecessary use of pesticides for cosmetic purposes on federal lands, the Government of Canada is taking important first steps to support its commitments under the Kunming-Montreal Global Biodiversity Framework.”

The Honourable Steven Guilbeault Minister of Environment and Climate Change Canada

"Pesticides are part of the toolbox agricultural producers use to protect their crops from pests and contribute to their productivity. The measures announced by our government today help to ensure responsible access, framed by reliable data, to these essential inputs, while protecting health and the environment."

The Honourable Marie-Claude Bibeau Minister of Agriculture and Agri-Food Canada

“Today, a new approach was put forward to eliminate the non-essential, cosmetic use of pesticides on federal lands. Our commitment to leading by example through the Greening Government Strategy is not just about the fight against climate change, but also about

protecting biodiversity and greenspaces. This amendment will put these goals into action and further expand our efforts.”

The Honourable Mona Fortier President of the Treasury Board of Canada

Quick facts

• To further strengthen the transparency and sustainability of pesticide management in Canada, on August 4, 2021, the Government of Canada announced an investment of $50 million in Health Canada’s PMRA and AAFC’s pest management research, to be supported by ECCC and the Canadian Food Inspection Agency (CFIA).

• Health Canada, ECCC, CFIA and AAFC have been working in collaboration on PMRA’s Transformation Agenda.

• At the fifteenth meeting of the Conference of the Parties (COP15) in December 2022, the Kunming-Montreal Global Biodiversity Framework (GBF) was adopted; this framework sets out direction for global actions to halt and reverse biodiversity loss, including four goals to achieve by 2050, and 23 targets to reach by 2030.

• ECCC is leading work on a whole-ofgovernment approach to implement the GBF, including the development of Canada’s 2030 National Biodiversity Strategy

• The Science Advisory Committee on Pest Control Products (SAC-PCP) was launched in January 2022 and act as an advisory role to the Pest Management Regulatory Agency (PMRA).

Government of Canada moves forward on commitments to strengthen the pesticide review process

• Agriculture and Agri-Food Canada is working to develop the Sustainable Agriculture Strategy, which will be a coordinated approach to agrienvironmental issues. Discussions that are currently underway provide an opportunity to consider the sustainable use of pesticides and potential impacts on water, soil health, and biodiversity. Working together with the agriculture sector, AAFC intends to set a shared direction for collective action to improve environmental performance over the long-term while supporting farmer livelihoods.

Associated links

• Government of Canada moves forward on federal pesticide commitments

• Transforming the Pest Management Regulatory Agency

• Greening Government Strategy: A Government of Canada Directive

• Maximum Residue Limits for Pesticides

• Infographic on MRLs

Environment and Climate Change Canada presents the 2023 summer weather outlook

June 20, 2023 – Ottawa, Ontario – Environment and Climate Change Canada

Today, Environment and Climate Change Canada presented its seasonal weather outlook for summer, which is expected to bring higher-thannormal temperatures to most of the country until at least the end of August.

June has already brought above-normal temperatures across the northern Prairies, northern Ontario, and northern Quebec. Throughout the summer, higher temperatures are expected to persist in these regions, as well as in the rest of Ontario and Quebec, British Columbia, and Atlantic Canada.

Many parts of the country are already experiencing the devastating impacts of wildfires, driven mainly by higher temperatures and seasonal dryness associated with a warming climate. In anticipation of a warmer, drier summer and its associated severe conditions, Canadians are urged to regularly monitor weather forecasts, take all weather alerts seriously, and get prepared for weather-related events by developing an emergency plan.

Climate change is already affecting the frequency, duration, and intensity of extreme weather- and climate-related events in Canada. Climate models indicate the country is warming at roughly double the global rate, especially in the north, which will lead to more damaging weather events.

Canada must keep fighting climate change while preparing for the changes we are already seeing, and adapt to those changes that are here to stay. This is why the Government of Canada is developing a robust National Adaptation Strategy (PDF) with all levels of government and Indigenous groups. The Strategy is a whole-of-society plan to reduce the risk of climate-related disasters, improve health

outcomes, protect nature and biodiversity, build and maintain resilient infrastructure, and support a strong economy and its workers.

Quick facts

• Climate change is causing extreme temperatures at a greater frequency than in the past, increasing the severity of heat waves and contributing to dry conditions, wildfires, and heavy precipitation risks.

• Climate change also brings more intense rainfalls, which are expected to increase urban flood risks, and coastal flooding is expected to increase in many areas of Canada due to local sea-level rise. The average intensity of hurricanes is also expected to increase, though an increase in the total number of tropical cyclones is not expected.

• The latest forecasts and severe weather warnings are available through Environment and Climate Change Canada’s weather website, the WeatherCAN app (available for Android and iOS devices), Weatheradio and Hello Weather (1-833-794-3556).

Associated links

• The Government of Canada is Supporting Canadians Through the 2023 Wildfire Season Update

• Canada’s National Adaptation Strategy: Building Resilient Communities and a Strong Economy

• Environment and Climate Change Canada’s Weather Information

• Public Safety Canada Get Prepared

Prairie Watersheds Climate Program announces 2023 Summer Speaker Series

Online hour-long webcast each month features relevant experts on Beneficial Management Prac<ces adop<on

Winnipeg, MB - (June 20, 2023) – Manitoba Associa-on of Watersheds is pleased to announce a series of three one-hour lunch-me webinars this summer to help increase awareness around three Beneficial Management Prac-ces (BMPs) in Manitoba, Saskatchewan and beyond –nitrogen management, cover cropping, and rota-onal grazing, each of which are eligible for funding through the Prairie Watersheds Climate Program(PWCP), funded by Agriculture and Agri-Food Canada’s On Farm Climate Ac-on Fund.

“The goal of the PWCP Summer Speaker Series is to support an understanding of beneficial management prac-ces on Manitoba and Saskatchewan farms and provide prac-cal, locallyinformed educa-on to the agricultural community. These sessions are a key part of the knowledge and extension services available through PWCP to facilitate the adop-on of the prac-ces funded through the program.” – Lynda Nicol – Execu-ve Director, Manitoba Associa-on of Watersheds

The first webinar in the series will focus on nitrogen management via pulses and produc-on prac-ces featuring Denis Tremorin, Sustainability Director, Pulse Canada, on June 28, 2023 at 12:30 pm CST. Two addi-onal speakers (TBA) will present on Cover Crops (early August) and rota-onal grazing (early September).

Prairie Watersheds Climate Program is led by MAW and delivered by watershed districts in Manitoba and by the Saskatchewan Associa-on of Watersheds in Saskatchewan. Nicol says the reasons for the webinar series are many; from improving farm opera-ons to water resources to soil health and a gamut of other benefits.

Producers interested in learning more about the PWCP and registering for the webinars can visit the MAW website at manitobawatersheds.org

For more informa-on contact:

Lynda Nicol

Lynda@manitobawatersheds.o

rg (204) 202-7520 ext. 1001

Agricultural Crown Lands Leases and Permits Regulation

Proposed Amendments

June 2023

A message from the Minister

Dear Manitobans,

I am pleased to introduce proposed changes to further enhance the Agricultural Crown Lands Program through amendments to the Agricultural Crown Lands Leases and Permits Regulation, a regulation under The Crown Lands Act. Agricultural Crown lands (ACL) are an important public asset economically, environmentally, and socially. Agriculturally, these Crown lands are essential to supporting and growing the livestock industry in Manitoba. In addition, many Indigenous peoples utilize these lands for traditional purposes and to exercise Treaty and Aboriginal rights.

Through these regulatory changes Manitoba aims to build productivity investments by balancing the requests from existing and potential new ACL leaseholders, Indigenous peoples and communities. Since 2018, Manitoba Agriculture has sought and reviewed feedback from forage leaseholders around rent costs, lease terms and conditions, land productivity, and programs and services. Furthermore, various Indigenous communities, organizations, and bands have increased participation in the use and management of agricultural Crown lands.

The proposed amendments to the regulation will update the Agricultural Crown Land Program by:

- Determining forage capacity at the outset of a forage lease or renewable permit (evaluating animal unit months or AUMs)

- Expanding eligibility to hold an agricultural Crown lands lease or permit to include Indigenous organizations

- Allowing terms of new leases (post October 2019) to be extended by five years to a maximum of 20 years where a forage management plan has been implemented and good land management has been demonstrated

- Allowing new leaseholders (post October 2019) to transfer the remainder of their lease term to another eligible party

- Allowing leaseholders to nominate the next leaseholder for leases issued before October 2019, provided the lease is not selected through Treaty Land Entitlement (TLE)

- Valuing improvements at the end of a lease through a third party appraiser

We want to make sure we are considering stakeholder perspectives for the management of provincial agricultural Crown land as a public asset. We encourage you to share your ideas as we continue to implement changes to enhance and modernize the Agricultural Crown Lands Program.

Sincerely,

Honourable Derek Johnson Minister, Manitoba Agriculture

The Agricultural Crown Lands Program

Manitoba’s Agricultural Crown Lands Program administers agricultural Crown lands to support the sustainable expansion of the livestock herd, contribute to ecological goods and services, and provide mitigation and adaptation to climate change, while recognizing Indigenous use for traditional purposes and to exercise Treaty and Aboriginal rights.

Provincial Crown lands are lands that are vested with the Manitoba government. The Manitoba government uses a planning process to determine how parcels of Crown land may be used. This planning process has identified approximately 1.5 million acres as suitable for agricultural use and is designated as agricultural Crown lands. While important to agriculture, it also supports the ecological and environmental priorities of many Manitobans that enjoy these vast areas and the natural diversity they offer.

The Agricultural Crown Lands Program facilitates the use of provincial land for agriculture, in the form of cropping leases, forage leases and hay and grazing permits. Forage leases, held primarily by cattle producers, account for the majority of the Agricultural Crown Lands Program activity.

Since 2017, Manitoba has been committed to modernizing the Agricultural Crown Lands Program. The Agricultural Crown Lands Leases and Permits Regulation (Regulation) was amended in 2017, 2019, 2020, and 2022 including:

- Expanding eligibility to hold a lease or permit to Canadian residents and First Nations bands;

- Shifting from a points system to a tender system and finally to an auction-based system;

- Calculating forage rents using a market-based formula;

- Eliminating the ability of leaseholders to transfer an agricultural Crown lands lease to a third party as part of a farm sale and limiting transfers to immediate family members only;

- Eliminating lease terms and limiting new lease terms to a maximum of 15 years; and

- Enabling a 50 per cent rent reduction as a 2023 adjustment in annual rent or fee.

In October 2022, an EngageMB survey was held to gather views surrounding forage leases under the Agricultural Crown Lands Program and ways to enhance leaseholder investment in agricultural Crown land parcels to improve productivity. Respondents indicated increased need for departmental support, cost-shared programming to improve productivity, longer term lengths, assurances of return on investments and parcel improvements, and an ability to transfer their lease. A summary of the survey can be found at Agricultural Crown Lands Program - Forage Leases | EngageMB.

Determining Land Productivity

A key priority of the Manitoba government is to maximize livestock numbers and improve forage productivity in the ACL Program through the use of well managed native and tame pasture. Proper land management requires a producer to be familiar with the amount of dry matter forage the pasture can produce and the amount of forage required over the grazing season by each animal and the herd as a whole. As such, the proper combination of land, time and number of animals ensures the sustained, long-term productivity of the pasture.

Forage capacity of ACL leases are based on the available animal unit months for each parcel, as determined by the department of Agriculture. The optimum number of animals on the pasture makes efficient use of the forage without waste, but still leaves enough forage to allow quick and complete recovery. In 2019, Manitoba brought in changes to rental rates, including developing a linkage between the rental rate and cattle markets. Through this amendment, Manitoba is proposing changes to determine the forage capacity or the animal unit months of an ACL parcel at the outset of a lease or renewable permit. This is an incentive for leaseholders to increase productivity through management and investment without a corresponding increase in rent; the Animal Unit Month will not change during the lease term.

Current State

The annual rent of fee for an agricultural forage lease or permit is determined by formula.

Annual Rent = A x B x 3.5%, where:

A = is the average price of beef published by Canfax

B = is the forage capacity of the land or number of Animal Unit Months that the land is capable of producing in an average year.

Proposed Enhancement

Forage capacity is the number of Animal Unit Months that the land is capable of producing.

The description of B in the formula is the forage capacity of the land in an average year at the time the lease or permit is issued or renewed. The forage capacity of the land is determined at the time the lease or permit is issued or, in the case of a legacy lease, renewed. The forage capacity of the land established at the outset of the lease will remain in place should a lease qualify for a fiveyear extension.

Animal Unit Month

The amount of forage required by one animal unit (AU) for one month is called an Animal Unit Month (AUM). One animal unit is defined as a 1,000 lb. (450 kg) beef cow with or without a nursing calf with a daily intake requirement of 26 lb. (11.8 kg) of dry matter forage. Therefore, one AUM is equal to 780 lbs (355 kg) of dry matter forage intake (30 days X daily forage requirement).

Example: a parcel capable of producing enough forage for 40 AUMs could sustain 10, 1,000 lb beef cows for 4 months (10 cows x 4 months = 40 AUMs). Generally, cows are larger than this and one cow may account for greater than one AUM, possibly in the 1.3 AUMs per cow range. In this case, the same parcel may only support seven or eight cows for the same period.

More information on stocking rates and AUMs is available at https://www.gov.mb.ca/agriculture/livesto ck/sheep/how-to-determine-stockingrates-for-manitoba-pastures.html.

Expanding Eligibility

Since 2017, Manitoba has increased efforts toward truth and reconciliation and enabled legislation to encourage and allow interested Indigenous groups to hold agricultural Crown lands leases and permits. Regulatory change in 2019 expanded eligibility to First Nation bands to hold a lease or renewable permit for the first time. Additionally, First Nations have received more frequent notices for ACL available for Treaty Land Entitlement selection, as leases are now being circulated prior to reallocation through the auction process. Manitoba is proposing to further expand eligibility for holding an ACL lease or permit to groups representing First Nations, Metis, and other Indigenous communities.

Current State Proposed Enhancement

The following entities are eligible to hold an agricultural lease or permit:

- a Canadian citizen or permanent resident

- a Partnership made up of Canadian citizens or permanent residents

- a First Nations band

- a forage cooperative made up of Canadian citizens or permanent residents

- a Hutterite colony or a corporation owned by a Hutterite colony or similar organization

- a corporation made up of Canadian citizens or permanent residents

The amendment proposes to enhance the eligibility of a band to include any non-profit organization that represent the interests of one or more bands, individuals of Metis decent, or holders of Aboriginal or Treaty rights. This amendment intends to enable participation of not-for-profit partnerships between First Nations, Metis, and other Indigenous organizations in the Agricultural Crown Lands Program and for these partnerships to be eligible to hold an agricultural Crown land lease or permit.

Extending a Lease

Currently, all agricultural Crown land forage leases issued after 2019 have a 15-year term in Manitoba. However, there is a significant discrepancy in the ability to renew leases issued before October 2019, and forage leases issued by auction since October 2019. Manitoba is proposing an amendment that would allow new system leases the option to extend the term of a lease from 15 years to 20 years for leaseholders that practice good land management.

Current State Proposed Enhancement

The Regulation allows for a forage lease issued before October 2019 to be renewed indefinitely with a term of up to 15 years.

Conversely, there is no ability to renew a forage lease issued after October 1, 2019. These leases were initially allocated by public auction, and at the end of the 15-year term, the lease returns to public auction.

Manitoba is proposing to allow a five-year extension on a 15-year lease term for qualifying leases issued after October 2019. Leaseholders that complete and implement a forage management plan for at least the last five years of the 15year lease term, are eligible for a five year extension, thus making the lease term up to 20 years.

A forage management plan outlines practices that support sustainable management of forage leases and improved forage productivity. The plan must be developed and approved by a professional agrologist. Costs associated with plan development would be the responsibility of the leaseholder. These plans are not mandatory, however without one, the lease term cannot exceed 15 years.

Only one extension period is available. At the end of the lease term, the land will be put to auction and reallocated. The outgoing leaseholder is eligible to bid on the lease and, if successful, would be allocated a new 15-year lease with a possible five-year extension.

There are no proposed changes to the ability to renew a forage lease issued before October 2019 (legacy lease).

Transferring a Lease

Prior to 2019, leaseholders had the ability to transfer an ACL lease or renewable permit to any eligible third party as part of a farm sale. In 2019, amendments limited transfers to immediate family members only. Manitoba is proposing an amendment that would allow new system leases to be transferred to new leaseholders within the 15-year term.

Current State Proposed Enhancement

Leases or permits issued under the Regulation may be transferred to family members or corporate entities or partnerships controlled by family members, only.

In instances where a leaseholder has an ownership interest in a partnership or corporation, the leaseholder can transfer their ownership interest to another ownership interest (non-family) in the same partnership or corporation.

For either purposes, a share transfer or transfer of a partnership interest are deemed to be a transfer of the lease.

The transfer provision will no longer be limited to family. The proposed amendment will allow unlimited transfers of new system forage lease or renewable permits to any eligible lessee for the remainder of the lease term.

The eligible person or entity taking over a new system lease, or to whom it is transferred, is not issued a new 15-year lease. The new leaseholder will be limited to the remainder of the original lease period. A five-year extension is available if a forage management plan was completed and followed by the previous leaseholder, the succeeding leaseholder, or a combination of the two.

Legacy leases issued before October 1, 2019 can only be transferred within families, or to a partnership or corporation where each owner of the partnership or corporation is a family member.

Since 2019, there is a significant distinction in the term lengths and ability to renew different types of leases.

Legacy lease – a lease originally issued prior to October 2019. This type of lease is in place until age 65, at which time it has an unlimited ability for renewal. At age 65, the leaseholder can apply to renew their lease for a further 15 years.

New system lease - forage leases issued after October 2019. This type of lease has been allocated through auction and cannot be renewed.

Nominating a New Leaseholder

Prior to 2019, a ‘unit transfer’ of leases allowed leaseholders to transfer leases together with deeded farmland, thereby increasing the value of the total operation. However, this reduced access to ACL by new/young farmers trying to establish and grow farming operations. In 2019, in an effort to increase lands available to young producers, the ‘unit transfer’ was removed. Since then, producers and ranchers have indicated that losing the unit transfer provision severely reduced the sale value of their operations, and requested it be re-instated. Manitoba needs to balance this with the goals of ensuring access to land for young producers, while respecting and adhering to agreements made by government to Treaty Land Entitlement (TLE), First Nations and Indigenous peoples. Manitoba proposes allowing legacy leaseholders to nominate the next leaseholder, provided the land is not selected through the TLE process, and does not impact Aboriginal and Treaty rights.

Current State Proposed Enhancement

The Regulation allows for a forage lease issued before October 2019 (legacy lease) to be renewed indefinitely, with a term of up to 15 years.

Legacy leases are transferrable to family members, or to partnerships or corporations owned by family members. In these cases, the lease retains all of the legacy lease features including renewable 15-year lease terms at age 65, and the ability to transfer to a family member, or to partnerships or corporations owned by family members.

The only mechanism for a non-family member to access ACL parcels currently held by a legacy lease holder, is for the legacy lease to be surrendered or cancelled, and have the

For forage leases issued prior to October 2019, leaseholders can continue the practice of transferring a legacy lease to a family member, who would retain all legacy lease provisions including renewable 15year terms at age 65.

A new provision will allow legacy leaseholders to nominate the next leaseholder. This provision could be used to link land or farm sales to Crown land leases integral to the farm’s operation; however a land sale will not be required. The nominee can be anyone eligible to hold a lease, and must be in good standing. To be eligible to apply for the nomination process, the leaseholder must not have contravened the terms of the lease at any time, including paying late, subletting, or having allowed the condition of the forage to decline. The legacy lease would be terminated and the new leaseholder would be issued a new system lease with a term up to 15 years. However, the land must go through a review process to ensure it is eligible for this type of transfer.

Under the Treaty Land Entitlement (TLE) Framework Agreement, government has a legal duty to offer unencumbered Crown lands for TLE selection. Under the agreement, any TLE First Nations must be notified of available land in their identified Community Interest Zone. The TLE First Nation is given time to assess and select Crown lands for incorporation into their Reserve holdings if desired. Allowing these legacy leases to be transferred to an eligible third party, without first offering the lands to TLE First Nations for selection is non-compliant with our Treaty obligations. In addition, impacted First Nations and Indigenous communities also need to be provided the opportunity to identify if the new lease will impact Aboriginal and Treaty rights.

new lease holder acquire the lease through auction.

A process to transfer unselected agricultural Crown lands that is compliant with Treaty obligations and Aboriginal and Treaty rights has been developed for the new nomination process. Under the proposed amendment, legacy leaseholders can apply for the ability to nominate the next leaseholder for a newsystem lease. Once a legacy leaseholder makes an application to nominate the next leaseholder, government circulates the parcel to impacted communities and follows the TLE Framework Agreement process to notify eligible First Nations that Crown land is available for selection or allocation. The eligible TLE First Nation has up to six months in total to select the land for TLE, or not. If the land is selected, the lease is immediately terminated and the land begins the process of reverting to Reserve status. If the lands are not selected, and no impacts to Aboriginal and Treaty rights are indicated, the department can provide a nomination certificate that provides the leaseholder with two years to nominate the next leaseholder.

For clarity, outgoing leaseholders that apply for a nomination certificate cannot withdraw their application once the TLE process is initiated. Outgoing leaseholders and prospective buyers involved in land transactions linked to ACL and possible nominees should fully understand potential outcomes of the TLE process, and the impact they may have on prospective transactions.

Figure 1: Proposed options for transferring or nominating the next leaseholder of a legacy lease or lease issued before October 2019.

Figure 2: First Nations Reserves in Agro-Manitoba and current Community Interest Zones reserved on behalf of 21 Entitlement First Nations as per the Treaty Land Entitlement Framework Agreement and the Notice Area for the Peguis Treaty Entitlement Agreement.

Source:

https://geoportal.gov.mb.ca/datasets/manitoba::co mmunity-interest-zones-inmanitoba/explore?location=54.359521%2C94.027567%2C5.48

Valuing Improvements

During the period a lease is in effect, lessees often construct improvements on the land, such as fences, shelters for cattle, constructed water sources, troughs, etc. This creates an ‘unknown’ for bidders at the lease auction – a winning bidder may be required to compensate an outgoing leaseholder without knowing in advance what the amount of compensation will be. The current negotiation and arbitration process for value disputes has resulted in a number of complaints to the department of Agriculture. Manitoba is proposing an amendment that provides an assessed value at the time of auction to better inform the potential bidders.

Current State Proposed Enhancement

Outgoing leaseholders can be compensated by the incoming leaseholder for improvements made to the agricultural Crown lands provided the land is released within two years. The outgoing leaseholder can also remove chattel improvements, such as fences, or can forego compensation for improvements.

Under the current regulation, the process for determining this value is negotiated between the incoming and outgoing leaseholders. If they fail to agree on an amount, The Arbitration Act guides compensation.

To encourage investment and compensate those leaseholders for making productivity improvements like cross-fencing, water supply development, etc., the ability for the outgoing leaseholder to be compensated for any identified improvements by the incoming leaseholder will continue. However, the proposed method to determine the value of the improvements will change.

In the last year of their lease, outgoing leaseholders that choose to be compensated for improvements must obtain an appraisal, from an accredited appraiser, which indicates the value of the eligible improvements. The cost of the appraisal is their responsibility. The outgoing leaseholder cannot appeal the appraisal but can obtain a second appraisal if they disagree with the initial valuation.

The appraised value is posted at the time of the auction. If the lease is reallocated within two years of expiry, the successful bidder must pay the outgoing leaseholder the posted amount. If reallocation takes more than two years, compensation from the incoming leaseholder is not required and there is no compensation for improvements to the outgoing leaseholder.

Investing in Productivity

The proposed Agricultural Crown Lands Leases and Permits Regulation amendment also formalizes Manitoba’s commitment to provide a temporary rent reduction. In the fall of 2022, Manitoba committed to implementing a temporary rent reduction over three years for forage lease and renewable hay and grazing permits on agricultural Crown lands. Current leaseholders have already received the benefit of the first year’s rent reduction of 50 per cent, with future reductions formalized at 33 per cent in 2024 and 15 per cent in 2025. Forage leaseholders do not need to apply for the support, the reduction is automatically applied to each year’s bill.

In addition to regulatory changes to support the Agricultural Crown Lands Program, Manitoba Agriculture is exploring opportunities to further enhance ACL productivity. As such, the department is considering increasing extension services to forage leaseholders, and offering cost-shared programs aimed at improving agricultural Crown land productivity. For more information, please see https://www.gov.mb.ca/agriculture/landmanagement/crown-land.

Engagement and Consultation

We want to hear from you. Please send us your thoughts and suggestions to help refine Manitoba’s proposed Agricultural Crown Lands Leases and Permits Regulation amendment under The Crown Lands Act. Comments can be provided through the Manitoba Regulatory Consultation Portal at http://reg.gov.mb.ca/home.

Proposed Agricultural Crown Lands (ACL) Lease Transfer

Process For Legacy Leases and 15-Year New-System Leases

Current ACL Lease System: Limited Transfer Rights

LEGACY LEASES (ISSUED PRIOR TO 2019)

NEW SYSTEM LEASES (ISSUED AFTER 2019)

Proposed ACL Lease System: Expanded Transfer Rights

“Legacy Lease” Transfer Process with TLE Notification

NOTE: No compensation to outgoing leaseholder for leasehold improvements! Notification letter to indicate next availability of land is 15 years

Indefinite renewals

Farm makes decision to exit

Farm makes application to request “right to nominate next leaseholder”

Land parcel is located within a TLE CIZ

AGR notifies eligible FNs of available land for selection

FN indicates interest

60 days

TLE assessment process begins

60 days

FN selects land

120 days

ACL lease is terminated. Addition-toReserve process begins.

120 days

AGR provides certification for leaseholder to nominate the next leaseholder for a new-system lease within 2 years