Whereas the agriculture, agri-food and agri-based products sector provides an important economic and social contribution within Ontario;

And whereas the Program was continued pursuant to the Previous Order issued under section 6.2(1) of the Ministry of Agriculture, Food and Rural Affairs Act to assist Participants to mitigate the inherent risks associated with farming;

And whereas sections 49 and 54 of the Legislation Act, 2006 has the effect of providing the Minister of Agriculture, Food and Rural Affairs with the power to amend, revoke or replace from time to time an order establishing a program under section 6.2 of the Ministry of Agriculture, Food and Rural Affairs Act;

And whereas I, the Minister of Agriculture, Food and Rural Affairs, wish to make amendments to the Program;

Now therefore, and pursuant to my authority under section 6.2(1) of the Ministry of Agriculture, Food and Rural Affairs Act and sections 49 and 54 of the Legislation Act, 2006, I hereby order the following:

Part 1 — Interpretation of this Order

1. (1) For the purposes of this Order, the following terms will have the following meanings:

  • "Order" means this document; and
  • "Previous Order" means the Minister's Order identified as Minister's Order Number 0005/2019.

(2) Any capitalized terms not defined within this Order will have the same meaning as set out in the Previous Order.

Part 2 — Amendments to Previous Order

Amendments to Part I — Interpretation of Previous Order

2. Section 2 of the Previous Order is amended by adding the following definitions in their proper alphabetical order:

  • "Premium Fund" means the fund, as managed by the Premium Fund Administrator, which will be used to augment payments made under the Program, based on information the Ministry provides to the Premium Fund Administrator;
  • "Premium Fund Administrator" means an entity in which the Program Administrator has entered a Premium Fund Administrator Agreement allowing the entity to manage the Premiums collected under the Program;
  • "Premium Fund Administrator Agreement" means an agreement entered between the Program Administrator and Her Majesty the Queen in Right of Ontario setting out how the Premium Fund Administrator is to manage the Premium Fund;
  • "Premium Fund Administrator Payment" means the amount of money the Premium Fund Administrator is eligible to receive to pay the costs it incurs under the Premium Fund Administrator Agreement;
  • "Premium Fund Administrator Program Payment" means the amount of money the Premium Fund Administrator will receive to deposit into the Premium Fund;

3. The definition of "Program Payment" in section 2 of the Previous Order is revoked and replaced with the following:

  • "Program Payment" means the direct or indirect provision of funds to a Recipient under the Program by the Program Operator, the Administrator or the Premium Fund Administrator;

Amendments to Part IV — Administration of the Risk Management Program to Previous Order

4. The following are added as sections 10(1)(d.1) and 10(1)(d.2) to the Previous Order:

  • (d.1) Monitoring any Premium Fund Administrator's administration of the Premium Fund;
  • (d.2) Monitoring any Premium Fund Administrator's compliance with the terms and conditions set out under the Premium Fund Administrator Agreement;

5. The following is added as a heading after section 11(3) of the Previous Order:

Premium Fund Administrator

6. The following is added as section 11.1 to the Previous Order:

  • 11.1(1) To be eligible to be a Premium Fund Administrator, the entity must agree to enter into a Premium Fund Administrator Agreement with Her Majesty the Queen in Right of Ontario.

(2) The Premium Fund Administrator Agreement will contain, at a minimum, provisions setting out:

  1. The Premium Fund Administrator Program Payment to be provided to the Premium Fund Administrator;
  2. The Premium Fund Administrator Payment the Premium Fund Administrator is eligible to receive;
  3. The roles and responsibilities of the Premium Fund Administrator;
  4. A requirement the Premium Fund Administrator will comply with all Requirements Of Law;
  5. Reporting requirements;
  6. Auditing rights;
  7. Service standards, if any, the Premium Fund Administrator will have to meet;
  8. Performance measures;
  9. Corrective action provisions to address any events of default by the Premium Fund Administrator; and
  10. Repayment obligations in case the Premium Fund Administrator is indebted to Her Majesty the Queen in Right of Ontario.

(3) The Premium Fund Administrator Agreement will allow the Premium Fund Administrator to retain any unspent funds at the end of the year for the purposes of building a positive balance in the Premium Fund. It will also allow the Premium Fund Administrator to keep any interest earned on any unspent funds.

7. The following is added as section 18.1 to the Previous Order:

  • 18.1 Where a Farmer/Participant/Recipient loses the Farmer/Participant/Recipient's eligibility pursuant to sections 15, 16, 17 or 18 of this Order, the Farmer/Participant/Recipient will also lose the Farmer/Participant/Recipient's ability to receive a Program Payment from the Premium Fund Administrator.

This Order is effective as of the date of the signature set out below.

Original signed by:

The Honourable Ernie Hardeman
Minister of Agriculture, Food and Rural Affairs

Executed on this 28th day of August, 2019.