Autumn 2013 Newsletter

CHRISTIAN FARMERS FEDERATION OF ONTARIO

INSIDE THIS ISSUE

President’sComments

FederationBusiness

Policy Notes

Auditor’s Report

AUT

UMN

NewsletterSeptember 2013, Volume 11, No.3

ElectionNotice

The weather is part of every farm conversation and this year we have had lots to talk about. This year the farm community is thinking that perhaps climate change is upon us. Last year’s extremely dry conditions and this year’s excessive rainfall in parts of Ontario have made us realize that something is happening. We have enjoyed several decades of predictable weather, with only a few abnormalities. The climate experts have been advising us for the last few years that climate change is coming. My first reaction was that a small increase in daily temperatures would be welcome in our part of the country. However, the experts said it would not just be warmer average temperatures but more severe weather patterns and more frequent severe weather. Farmers are the front line warriors when it comes to climate. We are the first to feel the effects of extreme weather and pay the price of dealing with its impact.

For the past few decades farmers have become dependent on government to assist when extreme weather strikes. We have worked with government to develop risk management programs such as crop insurance. However, govern-ments of every political stripe are becoming less able and perhaps less willing to continue to play this role for the farm community. We are seeing reductions in levels of coverage, caps on total programs and a refusal to expand programs. As we look ahead, it is clear that Canadian citizens are not prepared to pay more taxes and governments are being required to deal with their expanding debt load. They simply cannot afford to be the rescue agent for farms when problems arise. This begs the question, how should farmers prepare themselves for the coming changes to our climate?

In my father’s and grandfather’s time the approach to risk management was to be diversified. They grew a variety of crops and raised a variety of livestock. Thus, if there was a problem with one commodity, there were other parts of the farm business that could compensate. In recent decades we have specialized our farm practices, frequently putting all of our eggs in one basket. This approach improves output and reduces costs but it also increases risk. It works well as long as there is someone, such as government, ready to provide support.

A few years ago the government had to bail out General Motors and Chrysler to save jobs in Ontario. Ford had pre-pared itself for the downturn in the economy and did not need assistance. Farmers need to plan to be more like Ford and be self-reliant. Big banks had their own problems; some failed, while some others were “too big to fail” and got bailout money from government. There is real fatigue in government circles for bailouts. Legislators are declaring that bailouts will not happen again; they are forcing banks to do “stress tests” to determine their viability. Perhaps as farmers we should be doing our own stress tests as part of our routine farm planning process.

I expect that resilience will be a large part of our farm plans in the future. Our lenders will insist on it. Governments will no longer be able to protect us, even if they would like to. Climate change is with us; we will need to deal with it. CFFO

PRESIDENT’SCOMMENTS

Lorne SmallPRESIDENT

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CFFO Newsletter

September 2013, Volume 11, No. 3

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September 2013, Volume 11, No. 3

• President Small continues to par-ticipate in the Open for Business forum, a forum that deals with red tape issues. Progress is being made in a number of areas, such as wash water, nutrient spreading and meat regulations; OMAF is keen to hear about other red tape concerns.

• The CFFO will build on the work of the Sustainability Task Team and has taken steps to increase the orga-nization’s internal knowledge on a number of specific issues, i.e. biodi-versity, soil fertility, land use change and climate change adaptation, just to name a few. In addition, the Task Team is working with Ralph Mar-tin, Loblaw Chair, Sustainable Food Production, as well as representa-tives of several other groups and the research community on a proj-ect concerning soil organic matter.

• President Small recently attend-ed a meeting with the Premier

in preparation for the Federal-Provincial Ministers Meeting.

• The Executive Board endorsed a letter of support for Ontario Farmland Trust.

• The Supply Management Discussion Paper will be available for addition-al grassroots input later in the fall.

• The Executive Board endorsed a let-ter of support for the Ontario Hazel-nut Development Project Proposal.

• Provincial Council endorsed for-warding the 2012 Audited Finan-cial Statements to Convention.

• The CFFO will have to relocate within the next year as EastGen and Semex will be needing all the office space in the buildings. Staff is explor-ing a number of different options .

• Provincial Council adopted a posi-tion statement on Full Cost Recov-ery Eco-Fees on Agricultural Tires.

• Dr. Peter Sikkema, Professor of Field Crop Weed Management at the University of Guelph Ridgetown Campus, made a presentation at Provincial Council on the ap-plied research in weed control that he is involved in and the finan-cial impact on the farm that re-sults from improved weed control.

• Provincial Council endorsed forward-ing the accepted CFFO Comments on the Great Lakes Protection Act, Bill 6 to the appropriate authorities.

• Provincial Council discussed a draft statement on Pollinators and Neo-nicotinoids. The statement outlines the CFFO’s support for several miti-gating steps to be implemented and indicates the organization is pre-pared to reconsider its position if the pollinator losses continue to grow or accelerates despite the imple-mentation of mitigating practices. CFFO

FEDERATION BUSINESS

We are pleased to announce that three successful applicants will receive the CFFO scholarship for the 2013/14 school year.

Congratulations to the following students:

• Shaelyn Prins, Quinte CFA, University of Guelph Bachelor of Science in Agriculture and Animal Science• Deanna Ringelberg, Wentworth Brant CFA, University of Guelph Bachelor of Commerce in Food and Agriculture• Leah Cober, Perth CFA, Redeemer University College Social Sciences with an emphasis on agriculture

SCHOLARSHIP AWARDS

CFFO Newsletter

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CFFO Newsletter

LOOKING AT THE UPCOMING YEAR IN POLICYThe Local Food Act

The Local Food Act has the poten-tial to benefit farmers in Ontario. Farmers looking to supply local markets may have increased op-portunities to supply public in-stitutions. Indirectly, increasing the broader public’s knowledge of local food production and cel-ebrating it each year is a positive step for agriculture as a whole. In addition, new ideas are being pro-posed to add extra punch to the local food act, such as tax credits for donating to food banks and strengthening the Foodland On-tario program.

The Waste Reduction Act

The province has decided to over-haul the Waste Diversion Act in order to increase the amount of waste that is either recycled or re-used. Programs that will be im-pacted by this change include Blue Box programming, Ontario Tire Stewardship, and the handling of other special wastes, including inorganic fertilizer. In addition, or-ganic (food) waste has been iden-tified as an issue of concern down the road. It is unclear what that will mean for individual farmers or food processors.

Minimum Wage

The province is re-examining the issue of minimum wage in Ontario. For many agriculture sectors, an increase in the minimum wage is a huge concern as it will significantly increase costs that cannot eas-ily be recovered from the market-place, especially for commodities that have open trade borders with countries with far lower wage con-ditions.

Minimum Distance Seperation Formula Review

The province is in early consulta-tion stages with stakeholders, in-cluding the CFFO, on reviewing the Minimum Distance Separation Formulas that govern the place-ment of livestock barns and neigh-bouring development. There are a number of issues that need to be considered, but major changes are not expected at this time.

Land Use Planning

Hot on the heels of the Provin-cial Policy Statement Review are the planned reviews of a number of plans that affect farmers living and operating around the Greater Golden Horseshoe. This includes the Greenbelt Plan, the Places to Grow Plan, the Niagara Escarp-ment Plan and the Oak Ridges Mo-raine Plans.

Long Term Energy Plan

The province is launching a review of its long-term energy plan. The CFFO will be examining this issue, considering the positives and nega-tives for Ontario farmers and the fabric of rural Ontario.

PROVINCIAL COUNCILUPDATE

Great Lakes Protection

The Great Lakes Protection Act is a potential concern for farmers in the long-term. While there is no doubt that continuous improvement in environmental sustainability is a worthwhile goal, it needs to be bal-anced against economic sustain-ability and social sustainability. The CFFO Provincial Council supported a number of concerns that have been raised by this new act. Our greatest concerns revolve around the ability for initiatives under the act to force economically or socially unsustain-able actions in favour of environ-mental action that may only pro-duce minor improvements. Good policy and planning decisions need to be able to balance all these fac-tors and come to the best solution.

POLICY NOTES

September 2013, Volume 11, No. 3

Nathan StevensGENERAL MANAGER,

DIRECTOR OF POLICY DEVELOPMENT

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CFFO Newsletter

September 2013, Volume 11, No. 3

NOTICE OF ELECTIONSThe CFFO Annual Convention is a time of celebration, information sharing and fellowship, but also a meeting at which a number of important deci-sions need to be made:1. Elect the President, Vice-Presi-

dents and Directors of the Execu-tive Board.

2. Hear the Annual Secretary’s Re-port, Treasurer’s Report and Au-ditor’s Report.

3. Adopt a budget for the Federa-tion.

4. Set the Federation Membership Fee.

5. Make decisions regarding the Constitution/Bylaws of the Fed-eration.

6. Deal with such policy matters as may have been referred to it by District Associations, the Execu-tive Board or Provincial Council.

NOMINATIONS

• Nominations for President and Vice-Presidents close at the con-clusion of the preceding Provin-cial Council meeting (October 23, 2013).

• Nominees for President and Vice-Presidents will have 48 hours to decline the nomination.

• Nominations for Directors close at

the conclusion of the nomination session at the Annual Convention (November 13, 2013).

• Nominees for the positions of Di-rector will have until the start of the elections to decline the nomi-nation.

• Nominations may be made by Members, District Associations and Executive Board.

• Every member is eligible for nomi-nation, with the exception of Fed-eration employees (as defined by the Employment Standards Act).

• Nominations may be presented verbally or in writing. Written nominations should be addressed to the CFFO Executive Board.

ELECTIONS

• Elections for President and Vice-Presidents will take place during the morning business session at the Annual Convention.

• Elections for Directors will take place following the nomination session at the Annual Convention.

• Voting shall be done by secret bal-lot.

• Proxy votes are not permitted.• The nominees with the highest

number of votes will be declared

elected. CFFO

The CFFO Weighs In on “User Pays” Approach to Tire Recycling

The CFFO is concerned with the unfolding new approach to cover-ing the cost of activities related to the Ministry of the Environment. The changes to the Ontario Tire Stewardship Program are the first example of this approach impact-ing farmers. The principle of “user pays” is reasonable if the user has choice and if all the reasonable low cost options are available. How-ever, in this instance, Ontario Tire Stewardship is the only option and they are forbidden internationally accepted disposal options for used tires. In these instances, decisions made for the “public good” that drive up costs beyond the accept-ed norm should be shared by ev-eryone, not just the users of tires.

Bee Losses in Ontario

The CFFO is concerned about the mounting bee losses in Ontario. Neonicotinoid pesticides are being attributed with a great deal of the blame. However, there are many questions that remain unanswered about the entire situation, ranging from, “Can management and tech-nology improvements mitigate the impact?” to “Are neonicotinoid pesticide residues building up in our soils?” to “How much has the land use change from pastures to cash cropping impacted bee food sources in Southwestern Ontario?” to “Should a beekeeper be respon-sible for supplying adequate food sources on their own land instead of relying on neighbours to have wildflowers and fence rows?” to “What is the impact on wild pol-linators?”. It is a very complicated issue. The CFFO is recommending a steady approach to answer these questions rather than a knee-jerk reaction. CFFO Convention and Banquet

Farming in the World of Tomorrow

Save the DateNovember 13, 2013

CFFO Newsletter

DISTRICT NEWS

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As has been mentioned before, the Christian Farmers Federation of Ontar-io and Chrysler Canada have entered into an agreement that allows CFFO members a discount on certain new Chrysler models. CFFO members need to show their CFFO membership card and give the Fleet Account Number (FAN) to automatically qualify for the discounts on those models. This adds to the value of being a member of the CFFO.

Following is a letter from Chrysler Can-ada Fleet Operations:

We’d like to take a moment and wel-come you to our family of Fleet Cus-tomers.

We are proud that you’ve selected us to serve your fleet. We know that any manufacturer can offer you a vehicle, however we believe that Chrysler Can-ada Fleet Operations also has the peo-ple, products and services to meet and exceed your Fleet vehicle needs.

We have several support options that can make your job of running your fleet easier. As a new customer, you have been assigned a Fleet Account Number (FAN).

Your FAN is G5303.

We have also assigned you a Fleet Ac-

count Executive, Michael Young, who will serve you as our company repre-sentative.

In addition, our Fleet Info Line is com-mitted to providing you with the best support in the industry. To reach our Fleet Info Line, please call 1-800-463-3600, Monday through Friday, from 8 a.m. to 8 p.m. EST.

Our dedicated support staff can pro-vide helpful information on order sta-tus; build dates, product literature, and more. Most importantly, the Fleet Info Line provides the personal service that will assist you from the ordering process through vehicle delivery.

For information 24/7, visit us at www.fleetchrysler.ca

Our comprehensive, easy-to-use site offers many online fleet tools such as Vehicle Configuration, which lets you specify a vehicle online.

As a customer of Chrysler Canada Fleet Operations, we want you to know that we are committed to serv-ing your business needs. We look for-ward to a long and mutually reward-ing relationship.

Sincerely,

Ken W. TuckeySenior Manager - National FleetChrysler Canada Inc.National Fleet Operations

A number of districts held summer events as an opportunity to have some social time. Lots of hamburgers and sausages were barbecued and en-joyed by all ages. These events show us how multi-generational farming is; often there are three generations of a farm family at these events, proof that farming is in the blood.

CFFO staff is planning the 2nd Annu-al Leadership Summit, to be held on November 12, 2013 at the Courtyard Marriot in St. Jacobs (the evening be-fore the CFFO Convention). Each Dis-trict Board can send two members, preferably not the same members who attended last year, to this event to meet with the Executive Board and staff. The purpose of this evening is to continue to build up the leadership team and enhance leadership skills. The evening will begin with a din-ner for District Board members and spouses, followed by a working meet-ing for the District Board members, ending at approximately 9:30pm. The evening will end with a social time, which the spouses are welcome to at-tend as well.

September 2013, Volume 11, No. 3

Paul Bootsma FIELD SERVICES MANAGER

MEMBER SERVICES UPDATE DISTRICT UPDATES

LEADERSHIP SUMMIT

To the Directors ofChristian Farmers Federation of Ontario

I have audited the accompanying financial statements of Christian Farmers Federation of Ontario, which comprise the balance sheet as at December 31, 2012, December 31, 2011, and January 1, 2011 and the statements of revenues and expenses, statement of changes in member’s equity and statement of changes in financial position for the year ended December 31, 2012 and December 31, 2011, and a sum-mary of significant accounting policies and other explanatory information.

Management is responsible for the preparation of these financial statements in accordance with Canadian accounting standards for not-for-profit organizations, and for such internal control as management determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

My responsibility is to express an opinion on these financial statements based on my audit. I conducted my audit in accordance with Canadi-an generally accepted auditing standards. Those standards require that I comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.

I believe that the audit evidence I have obtained is sufficient and appropriate to provide a basis for my audit opinion.

In my opinion, the financial statements present fairly, in all material respects, the financial posi-tion of Christian Farmers Federation of Ontario as at December 31, 2012, December 31, 2011 and January 1, 2011 and of its financial perfor-mance and its changes in financial position for the years ended December 31, 2012 and Decem-ber 31, 2011 in accordance Canadian accounting standards for not-for-profit organizations and the Handbook of the Canadian Institute of Chartered Accountants.

David M. den Boer

Hamilton,OntarioChartered AccountantLicensed Public Accountant

CFFO Newsletter

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September 2013, Volume 11, No. 3

AUDITOR’S REPORTASSETS JAN. 1CURRENT ASSETS 2012 2011 2011Cash $ 11,766 $ 568,472 $ 559,950 Accounts receivable 725 755 1,766HST Receivable 1,006 15,191 12,218 Prepaid expenses 12,709 7,845 3,810 Short term investments 621,201 - - 647,407 592,263 577,744 RESTRICTED ASSETS Cash (note 2 (e)) 84,781 151,904 152,499 Accounts Receivable 7,166 1,540 -HST Receivable 9,036 211 - 100,983 153,655 152,499CAPITAL ASSETS (note 3) 5,464 8,269 6,336 $ 753,854 $ 754,187 $ 736,579 LIABILITIESCURRENT LIABILITIES Accounts payable and accrued liabilities $ 147,154 $ 22,395 $ 15,606RESTRICTED LIABILITIES Accounts Payable and Accrued Liabilities 951 706 - $ 148,105 $ 23,101 $ 15,606MEMBERS EQUITY Invested in capital assets 5,464 8,269 6,336 General reserve (note 2(e)) 44,652 36,158 27,499 Activity Fund (note 2 (e)) 55,380 116,791 125,000 Unrestricted (available for general purposes) 500,253 569,868 562,138 605,749 731,086 720,973 $ 753,854 $ 754,187 $ 736,579

Statement of Revenues and Expenses For the Year Ended December 31, 2012 2012 2011REVENUES Farm organization funding fees (note 9) $ 849,420 $ 865,995 Less: refunds (69,030) (75,465) Net farm organization funding fees 780,390 790,530 Membership fees 59,865 6,825 Annual convention 36,195 34,665 Grants 1,127 1,183 Seminar fees and other 1,817 5,692 Interest income 22,109 3,410 TOTAL REVENUES 901,503 842,305 EXPENSESADMINISTRATIVE Amortization 4,894 7,059 Bank charges and interest 1,642 1,636 Equipment rentals and maintenance 12,583 13,930 Insurance 1,857 2,301 Farm business registration administration fees 38,768 39,525 Office and printing supplies 14,756 12,762 Postage and courier 6,108 8,743 Professional and consulting fees 17,893 26,875 Rent 21,368 20,790 Salaries and benefits 293,552 220,457 Staff travel and expenses 10,222 13,890 Telephone 7,285 7,448 430,928 375,416PROVINCIAL ACTIVITIES Annual convention 35,367 28,555 Board and Committee expenses 67,843 42,515 Farm community activities 40,664 20,371 Farm media 24,527 31,616 168,401 123,057 QUALIFIED DISTRICT ASSOCIATIONS (LOCAL AFFILIATES) Meeting and travel expenses 50,184 74,343 Farm media/Newsletter 17,973 29,645 Funding to district associations (note 10) 32,727 8,040 Projects 25,736 46,437 Promotion and advertising 14,009 23,848 Salaries and benefits (note 4(c)) 127,375 143,197 268,004 325,510 NON-QUALIFIED DISTRICT ASSOCIATIONS (UNORGANIZED REGIONS)Meeting and travel expenses 20,498 -Farm media/Newsletter 7,341 -Funding to district associations (note 10) 1,997 -Projects 10,512 -Promotion and advertising 5,722 -Salaries and benefits (note 4 (c)) 52,026 - 98,096 -TOTAL EXPENSES 965,429 823,983

EXCESS (DEFICIENCY) OF REVENUES OVER EXPENSES $ (63,926) $ 18,322

Balance Sheet ~ December 31, 2012

CHRISTIAN FARMERS FEDERATION OF ONTARIO7660 MILL RD., RR 4GUELPH, ON N1H 6J1T: 519-837-1620Fax: 519-824-1835Email: [email protected] Site: www.christianfarmers.org

RETURN UNDELIVERABLE ITEMS TO

The CFFO Newsletter is published four times per year by the Christian Farmers Federation of Ontario for its members and friends. Editor: Jenny Denhartog; Production Manager: Franchesca Weeks

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September 2013, Volume 11, No. 3CFFO Newsletter

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