On the recommendation of the undersigned, the Lieutenant Governor of Ontario, by and with the advice and concurrence of the Executive Council of Ontario, orders that:

Whereas the Government of Ontario recognizes the important economic and social contribution agriculture provides in Ontario;

And whereas the Government of Ontario wants to further foster the growth of agriculture in Ontario;

And whereas the Cattle Industry is an important part of Ontario’s agricultural sector;

And whereas Co-Operatives are an important part of the Cattle Industry;

And whereas the Cattle Industry has requested certain changes be made to the Program;

And whereas the Government of Ontario is supportive of making the requested changes to the Program;

And whereas section 4 of the Ministry of Agriculture, Food and Rural Affairs Act provides the Minister with the authority in relation to the administration of laws relating to agriculture, food and rural affairs, including all of their branches, as well as such other powers and requires the Minister to perform such other functions and duties as are assigned to the Minister by the LGIC;

And whereas section 7(1) of the Ministry of Agriculture, Food and Rural Affairs Act allows the LGIC to establish, upon the recommendation of the Minister, a program for the encouragement of agriculture, food and rural affairs;

And whereas section 8 of the Ministry of Agriculture, Food and Rural Affairs Act allows the LGIC to agree to provide, upon the recommendation of the Minister, a guarantee for the payment of any loan or loans made to farmers for the encouragement of any branch of agriculture, food and rural affairs, upon such terms as the LGIC considers proper;

And whereas sections 49 and 54 of the Legislation Act, 2006 have the effect of providing the LGIC with the power to amend, revoke or replace from time to time an order establishing a program under sections 7(1) and 8 of the Ministry of Agriculture, Food and Rural Affairs Act;

And whereas the Program was originally established pursuant to sections 7(1) and 8 of the Ministry of Agriculture, Food and Rural Affairs Act and is continued under the Previous Order;

And whereas the Minister has recommended to the LGIC the amendments to the Program contained herein;

Now therefore and pursuant to my authority under sections 7(1) and 8 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 Order-in-Council; and
      “Previous Order”
      means Order-in-Council 702/2016, as amended by Order-in-Council 124/2019.
    2. Any capitalized term not defined herein will have the same meaning as set out in the Previous Order.

Part 2 – Amendment to Part I – Interpretation of the Previous Order

  1. The following definition is added to section 2 of the Previous Order in its proper alphabetical place:
    “Emergency Declaration”
    means a declaration issued pursuant to section 15.1(1) of this OIC.

Part 3 – Amendments To Part IV – Administration of the Ontario Feeder Cattle Loan Guarantee Program of the Previous Order

  1. Section 15(8) of the Previous Order is revoked and replaced with the following:
    1. If the Minister has issued Program Guidelines and wants to amend those Program Guidelines, the following shall apply:
      1. The amended Program Guidelines will be posted on the Ministry’s website where the previous Program Guidelines were posted; and
      2. Any amendments to the Program Guidelines shall not have any retroactive effect.
  2. The following is added as section 15.1 to the Previous Order:

    15.1

    1. The Minister may issue an Emergency Declaration setting out an emergency situation has arisen within all or any part of Ontario.
    2. For greater certainty, an Emergency Declaration may apply to one or more Lenders, Co-Operatives or Producers, as the case may be.
    3. The grounds in which the Minister may issue an Emergency Declaration include:
      1. Natural disaster,
      2. Disease,
      3. Human or animal health risk,
      4. Accidents,
      5. Decrease in processing capacity,
      6. Closure of interprovincial or international markets for Cattle coming from Ontario,

      that significantly prevents a Producer’s ability to sell marketable Cattle.

    4. Where the Minister has issued an Emergency Declaration:
      1. The Lender and the Co-Operative may agree in writing to an extension to the term of the Loan set out in the Loan Agreement by a period that shall not exceed three (3) months beyond any extension the Lender and the Co-Operative may have already agreed to under section 31(2)(g)(ii) of this OIC;
      2. The Co-Operative shall extend the term of any Purchase Order the Co-Operative has with Producers in which the Emergency Declaration relates to the day before the day the Co-Operative’s Loan with the Lender has been extended pursuant to section 15.1(4)(a) of this OIC; and
      3. The Co-Operative shall inform the Minister of any extension to the term of the Loan the Co-Operative has arranged with its Lender pursuant to section 15.1(4) of this OIC, including the length of the extension to the term of the Loan.
    5. The Minister will only issue an Emergency Declaration where:
      1. The requirements of section 15.1(3) of this OIC have been met, and
      2. The Minister is of the opinion that issuing an Emergency Declaration is reasonably necessary to address the matter.
    6. The Minister may renew an Emergency Declaration any number of times, provided the grounds set out under section 15.1(3) of this OIC remain in effect, and the process set out under section 15.1(4) of this OIC will apply to each renewal.
    7. For greater certainty, in the event a Lender and a Co-Operative are unable to agree to an extension of the term of a Loan pursuant to section 15.1(4)(a) of this OIC, whether in regards to an original Emergency Declaration or a renewal of an Emergency Declaration, both the Loan and Purchase Order will become due and payable the day after the day that was set out in the Loan Agreement, unless the Lender demands payment sooner, or the day after the time agreed to between the Lender and Co-Operative on any extension of the term of the Loan pursuant to sections 31(2)(g)(ii), 15.1(4) or 15.1(6) of this OIC lapses, as the case may be.

Part 4 – Amendments to Part V – Eligibility And Operating Requirements for Lenders, Co-Operatives, Producers and the Administrator Under the Ontario Feeder Cattle Loan Guarantee Program of the Previous Order

  1. The following is added as section 22.1 to the Previous Order:

    22.1(1) If the Minister issues or renews an Emergency Declaration, the Lender shall negotiate with the Co-Operative in good faith regarding any extension to the term of the Loan set out in the Loan Agreement.

  2. Section 23(2)(g)(iv) of the Previous Order is amended by striking out the reference to “section 23(2)(h)” and replacing it with “section 23(2)(i)”.
  3. The following is added as section 24.1 to the Previous Order:

    24.1 (1) If the Minister issues or renews an Emergency Declaration, the Co- Operative shall negotiate with the Lender in good faith regarding any extension to the term of the Loan set out in the Loan Agreement.

  4. Section 25(2)(p) of the Previous Order is revoked.
  5. Section 25(3)(t) of the Previous Order is revoked.

Part 5 – Amendment To Part VII – Loans Under the Ontario Feeder Cattle Loan Guarantee Program of the Previous Order

  1. The following is added as section 31(2)(g.1) to the Previous Order:

    (g.1) Despite section 31(2)(g) of this OIC, the portion of the debt owing on a Loan related to any Purchase Orders covered by an Emergency Declaration will not be repayable until after the extension set out therein has lapsed.

Part 6 – Amendments To Part VIII – Purchase Orders and Purchasing Cattle, Feeder Agreements and Producing Cattle, Selling Cattle and Payments from the Sale of Cattle Under the Ontario Feeder Cattle Loan Guarantee Program of the Previous Order

  1. The following is added as section 35.1 to the Previous Order:

    35.1 Despite anything in this OIC, a Purchase Order covered by an Emergency Declaration where the term of the Loan has been extended will not be repayable until the day before the day the extension to the term of the Loan is set to lapse.

  2. Section 40 of the Previous Order is revoked.
  3. Section 44 of the Previous Order is amended by
    1. Striking out the “.” after the word “Act”; and
    2. Adding “or any successor legislation.” after the word “Act”.

Part 7 – Amendments To Part IX – Process Where Producer in Default of Purchase Order or Feeder Agreement Under the Ontario Feeder Cattle Loan Guarantee Program of the Previous Order

  1. The following is added as section 56.1 to the Previous Order:

    56.1 For greater certainty, the issuance of Emergency Declaration does not prohibit the Co-Operative from taking any action pursuant to section 56 of this OIC.

Part 8 – Amendments to Schedule “A” – Guarantee Agreement Under the Feeder Cattle Loan Guarantee Program of the Previous Order

  1. The following definition is added to section 1.2 of Schedule “A” of the Previous Order in its proper alphabetic place:
    “Emergency Declaration” means a declaration issued pursuant to section 15.1(1) of the OIC;
  2. Section 3.3(a)(vii) of Schedule “A” of the Previous Order is revoked and replaced with the following:
    1. The Loan will be repaid on the earlier of a demand for payment or within the time period set out in the Loan Agreement unless:
      1. The Lender and the Co-Operative have agreed to an extension of the term of the Loan set out in the Loan Agreement pursuant to section 31(2)(g)(ii) of the OIC, in which case the Loan will be repayable on the day after the agreed upon extension to the term of the Loan set out in the Loan Agreement lapses, or
      2. The Minister has issued an Emergency Declaration pursuant to section 15.1(3) of the OIC and the Lender and the Co-Operative have agreed to an extension of the term of the Loan set out in the Loan Agreement pursuant to section 15.1(4) of the OIC, including any renewal thereof pursuant to section 15.1(6) of the OIC, in which case the Loan will be repayable on the day after the agreed upon extension to the term of the Loan lapses,
  3. Section 4.3(a)(vii) of Schedule “A” of the Previous Order is revoked and replaced with the following:
    1. The Loan will be repaid on the earlier of a demand for payment or within the time period set out in the Loan Agreement unless:
      1. The Lender and the Co-Operative have agreed to an extension of the term of the Loan set out in the Loan Agreement pursuant to section 31(2)(g)(ii) of the OIC, in which case the Loan will be repayable on the day after the agreed upon extension to the term of the Loan set out in the Loan Agreement lapses, or
      2. The Minister has issued an Emergency Declaration pursuant to section 15.1(3) of the OIC and the Lender and the Co-Operative have agreed to an extension of the term of the Loan set out in the Loan Agreement pursuant to section 15.1(4) of the OIC, including any renewal thereof pursuant to section 15.1(6) of the OIC, in which case the Loan will be repayable on the day after the agreed upon extension to the term of the Loan lapses,

Part 9 – Transition

  1. The Previous Order applies to any matters arising thereunder prior to when this Order comes into effect.

This Order comes into effect upon signing.

Ministry of Agriculture, Food and Rural Affairs

Approved and Ordered: October 07, 2021