Establishing a non-refundable check-off
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Steps to Establish a Development or Marketing Board Plan under The Agri-Food Act, 2004

Introduction

Any group of persons engaged in the production, marketing, or production and marketing of an agricultural product(s) may file a request with the Minister of Agriculture and Food for the establishment of a development or marketing board plan for the purposes of promoting, developing, regulating or controlling that agricultural product(s).

Submission of a Proposed Plan to the Minister

Contact the General Manager of the Saskatchewan Agri-Food Council for assistance in drafting proposals (Telephone 787-0611).

Proposed plans must contain the following information:

• a detailed description of the proposed plan;
• the proposed membership of an interim board of directors to administer the plan until the first election of a board of directors;
• a list of the proposed powers of the agency;
• the fiscal year of the agency; and
• any other information that the Minister may need such as the following:
  • the grade or class of product that is to be promoted, developed, or regulated;
  • the objectives of the plan;
  • who and what area(s) of Saskatchewan would be affected by the plan;
  • who would be exempt from the plan; and
  • a detailed description of how the check-off is to be collected, administered, enforced and audited.

Persons proposing the plan will also be required to demonstrate the level of support that exists amongst stakeholders in the industry. As well, assessment of the merits of the plan will require a thorough analysis of the impact of the plan on each sector of the industry.

The Minister Refers the Proposal to the Agri-Food Council

1. The Agri-Food Council is required to study and assess the proposed plan. This process may include the following:
   • Meeting with proponents of the plan;
   • Requesting further information on the proposal, including details on what portion of the industry would be affected by the plan (in terms of the number of producers and the acreage);
   • Request information and/or
   • Holding public hearings for the purpose of receiving representations supporting or opposing the establishment of the plan.
2. When the review is complete, the Council may recommend to the Minister:
   • That a vote of producers be conducted; or
   • That the plan should not be established.
3. After reviewing the proposal and receiving Council’s recommendation, the Minister may:
   • Require that a vote of producers be conducted; or
   • Decide that the plan not be established.
4. If the Minister directs that a vote of producers be conducted, the Minister may set the minimum number of votes required to be cast, or the percentage of the producers eligible to vote that must vote, in order for the vote to be valid. If a vote is conducted respecting the establishment of a development board plan, the minimum percentage of producers who vote that must vote in favour of the plan in order for the plan to be eligible for establishment is 60%. If a vote is conducted respecting the establishment of a marketing board plan, the minimum percentage of producers who vote that must vote in favour of the plan in order for the plan to be eligible for establishment is 80%.
5. If the required support is shown through a vote of producers and the plan is eligible for establishment, the Minister may:
   • Recommend to the Lieutenant Governor in Council that the plan be established; or
   • Decide that the plan not be established.

Summary

All proposals are required to be thoroughly reviewed prior to a recommendation being placed before the Lieutenant Governor in Council. The Agri-Food Council co-ordinates the process of the regulatory review. This review incorporates input from the plan proponents, legal and drafting services by Saskatchewan Justice and policy review by the Legislative Instruments Committee and the Regulatory Review Committee. Plans proposing non-refundable check-offs and/or compulsory powers can be established only after a vote of producers. If a producer vote is conducted, at least 60% of all voting producers in the case of a development board plan or 80% of all voting producers in the case of a marketing board plan, must vote in favour before the Lieutenant Governor in Council can proceed to establishment.