| | Preface | Message from the Minister | Management's responsibility for reporting | Overview | Charts of ministry entities | Entities | Operational Overview | Results | Financial statements
Preface
Public Accounts 2005-2006
The Public Accounts of Alberta are prepared in accordance with the Financial Administration Act and the Government Accountability Act. The Public Accounts consist of the annual report of the Government of Alberta and the annual reports of each of the 24 Ministries.
The annual report of the Government of Alberta released June 26, 2006, contains the Minister of Finance's accountability statement, the consolidated financial statements of the Province and a comparison of the actual performance results to desired results set out in the government's business plan, including the Measuring Up report.
This annual report of the Ministry of Agriculture, Food and Rural Development contains the Minister's accountability statement, the audited consolidated financial statements of the Ministry and a comparison of actual performance results to desired results set out in the ministry business plan. This Ministry annual report also includes:
- the financial statements of entities making up the Ministry including the Department of Agriculture, Food and Rural Development, regulated funds and provincial agencies for which the Minister is responsible,
- other financial information as required by the Financial Administration Act and Government Accountability Act, either as separate reports or as a part of the financial statements, to the extent that the Ministry has anything to report, and
- financial information relating to trust funds.
Minister's Accountability Statement
The Ministry's annual report for the year ended March 31, 2006, was prepared under my direction in accordance with the Government Accountability Act and the government's accounting policies. All of the government's policy decisions as at September 7, 2006, with material economic or fiscal implications of which I am aware have been considered in the preparation of this report.
[Original signed by]
Doug Horner
Minister of Agriculture, Food and Rural Development
September 7, 2006
Message from the Minister
Our Ministry has been through a year easily characterized by reinvigoration. As our agriculture and agri-food industry firmly puts some major crises in its rear view mirror, we look forward to new opportunities.
We saw a number of challenges for our grains and oilseeds sector, including high input costs and lower commodity prices. In response, we developed a three-point plan, which includes implementing better business risk management tools, making use of new technologies and varieties as well as looking to new business, investment and marketing tools. As part of the plan, we began consulting with our industry partners to find long-term solutions to the difficulties facing the entire industry.
We made significant progress in implementing long-term policy solutions to promote sustainability and reduce producer risk while ensuring opportunities for growth in the marketplace. That is why we injected $166 million through the Canadian Agricultural Income Stabilization (CAIS) reference margin pilot program for the 2003-2005 claim years. While we recognize that CAIS is a national program, this was a welcomed opportunity to respond to producers when back-to-back disasters had limited the program's ability to respond.
We continued to support our beef industry, and we continued to make progress. Market conditions for export became more favourable, highlighted by the July 18 reopening of the U.S. border to live cattle under 30 months. In addition, we continued to work on our six-point BSE Recovery Strategy, investing more than $800 million to date in this initiative. This included funds earmarked for municipal infrastructure programs to accommodate new slaughter facilities, ongoing development of age verification initiatives and beef product development.
In the Legislature, we also took further steps toward a more effective and efficient livestock industry with the introduction of the Livestock Identification and Commerce Act. The new Act, which consolidates and revises three existing acts, facilitates fair commerce, increases the protection available for livestock buyers and promotes the integrity of marketing practices within the industry.
Alberta's efforts in animal disease detection and research received a substantial boost with the opening of the province's $14-million, state-of-the-art Level 3 Bio-containment Lab. The new facility puts Alberta on the cutting edge of animal disease detection and research.
As well as our other research initiatives, we have committed ourselves to exploring emerging options in bio-energy as part of a larger commitment to growth in Alberta's bio-economy. There is great promise for our producers, and we are very much in support of finding new and innovative options to help our producers add value to their commodities. We hosted Alberta's first-ever bio-gas conference, gathering invaluable information as we work towards a long-term strategy for the bio-energy industry.
Rural Alberta continued to be a major focus for our Ministry. In addition to the government's Rural Development Strategy that has framed our focus, we have kept the momentum going this year by following up with nearly 30 separate initiatives in business plans across government aimed at improving rural Alberta.
The Ministry's hard work on these initiatives and strategies has clearly made this year a success. My sincere thanks go out to Ministry staff, industry stakeholders and our vibrant communities for all their support and their willingness to take advantage of new opportunities and meet the challenges that come our way.
[Original signed by]
Doug Horner
Minister of Agriculture, Food and Rural Development
Management's Responsibility for Reporting
The Ministry of Agriculture, Food and Rural Development includes:
- Department of Agriculture, Food and Rural Development
- Agriculture Financial Services Corporation
- Alberta Grain Commission
- The Office of the Farmers' Advocate
- Irrigation Council
- Agricultural Products Marketing Council
The executives of the individual entities within the Ministry have the primary responsibility and accountability for the respective entities. Collectively, the executives ensure the Ministry complies with all relevant legislation, regulations and policies.
Ministry business plans, annual reports, performance results and the supporting management information are integral to the government's fiscal and business plans, annual report, quarterly reports and other financial and performance reporting.
Responsibility for the integrity and objectivity of the consolidated financial statements and performance results for the Ministry rests with the Minister of Agriculture, Food and Rural Development. Under the direction of the Minister, I oversee the preparation of the Ministry's annual report, including consolidated financial statements and performance results. The consolidated financial statements and the performance results, of necessity, include amounts that are based on estimates and judgments. The consolidated financial statements are prepared in accordance with the government's stated accounting policies.
As Deputy Minister, in addition to program responsibilities, I establish and maintain the Ministry's financial administration and reporting functions. The Ministry maintains systems of financial management and internal control, which give consideration to costs, benefits and risks that are designed to:
- provide reasonable assurance that transactions are properly authorized, executed in accordance with prescribed legislation and regulations, and properly recorded so as to maintain accountability of public money,
- provide information to manage and report on performance,
- safeguard the assets and properties of the Province under Ministry administration,
- provide Executive Council, Treasury Board, the Minister of Finance and the Minister of Agriculture, Food and Rural Development any information needed to fulfill their responsibilities, and
- facilitate preparation of Ministry business plans and annual reports required under the Government Accountability Act.
In fulfilling my responsibilities for the Ministry, I have relied, as necessary, on the executive of the individual entities within the Ministry.
[Original signed by]
Barry Mehr
Deputy Minister
Ministry of Agriculture, Food and Rural Development
September 7, 2006
Overview
Charts of Ministry Entities
April 1, 2005
April 1, 2006
Entities - Ministry of Agriculture, Food and Rural Development
Department
The Ministry is divided into the Department of Agriculture, Food and Rural Development and a number of agencies, boards and commissions. The Department is responsible for the management of programs designed to facilitate the development of all phases of the agriculture and food industry, to sustain the natural resource base of the industry and to encourage the development of rural communities.
During the 2005-06 fiscal year, the Ministry reorganized its internal structure to better serve clients and to focus on strategic priorities, such as rural development and industry growth. The organization charts provided on the previous pages show the Ministry structure prior to and following September 12, 2005. The following descriptions describe the Ministry entities after the changes occurred. For more information, visit the Ministry web site at http://www.agric.gov.ab.ca
Agriculture Human Resource Services
#300, J.G. O'Donoghue Bldg. 7000 - 113 Street Edmonton, Alberta T6H 5T6 (780) 422-4623
Human Resource Services is responsible for providing expert advice and consultation to senior management on key Department human resource issues and initiatives as well as aligning the Department's Three-Year Human Resource Plan with the Three-Year Corporate Human Resource Plan for the Alberta Public Service.
More specifically, Human Resource Services manages the Department's needs for pay and benefit administration, classification and recruitment as well as compensation administration and provides support and leadership on strategic initiatives.
Agriculture Information Division
#100A, J.G. O'Donoghue Bldg. 7000 - 113 Street Edmonton, Alberta T6H 5T6 (780) 427-2727
Agriculture Information Division is responsible for the planning, development, organization and evaluation of information programs including publishing, multi-media, Call of the Land and executive communications. The Division also administers the Ministerial Action Request System (ARTS), Legislation, Regulatory Review, Ministerial Orders, Freedom of Information and Protection of Privacy and Records Management.
Communications Branch
#100A, J.G. O'Donoghue Bldg. 7000 - 113 Street Edmonton, Alberta T6H 5T6 (780) 422-7099
Communications Branch provides communications planning and consulting support to the Minister, Deputy Minister and Department. Develops and implements public communications programs that support the Department and the government through cross-ministry initiatives in meeting its business plan goals. Manages media relations, including the province-wide distribution of news releases and coordination of Department announcements and news conferences.
Financial Services
#307, J.G. O'Donoghue Bldg. 7000 - 113 Street Edmonton, Alberta T6H 5T6 (780) 422-5629
Financial Services provides strategic leadership in the areas of financial planning and analysis, accounting and reporting as well as financial accountability.
Environment and Food Safety Sector
Food Safety Division
#905, O.S. Longman Bldg. 6909 - 116 Street Edmonton, Alberta T6H 4P2 (780) 427-6159
Food Safety Division provides leadership and support for safe food production systems and global market access for Alberta's agriculture and food industry through information, services and administration of legislation.
Divisional responsibilities include partnership in food safety emergency response, support for development of on-farm production protocols, assistance with Hazard Analysis Critical Control Point program implementation for slaughter and food processing plants, food safety surveillance, animal health surveillance and provision of essential non-routine diagnostic services.
Irrigation Secretariat
#328, Provincial Bldg. 200 - 5th Avenue South Lethbridge, Alberta T1J 4L1 (403) 381-5176
Irrigation Secretariat provides administrative support to the Irrigation Council, administers the Irrigation Rehabilitation Program and works with irrigation districts to ensure compliance with the Irrigation Districts Act.
Regulatory Services Division
Second Floor, Agronomy Centre, 6903 - 116 Street Edmonton, Alberta T6H 5Z2 (780) 422-7197
Regulatory Services Division is responsible for validating the safe production of meat and meat products through provincially licensed meat facilities, as well as ensuring compliance to assigned legislation, administering 14 statutes and 30 regulations. The division maintains and enhances public confidence by ensuring consistency and co-ordination through investigation and enforcement activities as required. The Director is also appointed by the Minister as Secretariat to the Livestock Identification Services (LIS) Ltd. Delegation Agreement and sits as an ex-officio member of the LIS Board of Directors.
Resource Management and Irrigation Division
#206, J.G. O'Donoghue Bldg. 7000 - 113 Street Edmonton, Alberta T6H 5T6 (780) 422-4596
Resource Management and Irrigation Division provides policy advice and oversees the planning, delivery and evaluation of irrigation management and development as well as environmentally sustainable agriculture programming.
Program areas include soil conservation, water and air quality, greenhouse gases and climate change, irrigation development and management as well as resource conservation. The division also manages the Alberta Environmentally Sustainable Agriculture program.
Technical Services Division
#306, J.G. O'Donoghue Bldg. 7000 - 113 Street Edmonton, Alberta T6H 5T6 (780) 422-5000
Technical Services Division directs and coordinates programs and policies to support the sustainable growth and development of the agriculture industry through the development of legislation and provision of technical expertise for the development of standards, science, information and tools for sustainable development of confined feeding operations and livestock welfare as well as quality farm water supplies for domestic and livestock use and the evaluation and adaptation of technologies and systems related to manure management, air and water quality, odor management, bio-energy and rural growth.
Program areas include livestock welfare, on-farm water management, manure management and environmental practices, bio-energy, energy efficiencies and technology evaluation related to sustainable livestock production.
Industry Development Sector
Agriculture Research Division
#204, J.G. O'Donoghue Bldg. 7000 - 113 Street Edmonton, Alberta T6H 5T6 (780) 427-5341
The Agriculture Research Division's (ARD) primary focus is on diversifying Alberta's crop and livestock economy through the development of value-added opportunities in functional foods, bio-industrials, new foods and livestock products. The division is also focused on proactive initiatives aimed at preventing losses through integrated pest management.
ARD provides research expertise and industry knowledge through multi-disciplinary project teams focused on specific industry growth initiatives. With its partners, the division supports primary agriculture to enable the growth of further processing industries in the manufacturing of plant and animal-based feed, food and industrial products.
Agri-Business Expansion Division
#304, J.G. O'Donoghue Bldg. 7000 - 113 Street Edmonton, Alberta T6H 5T6 (780) 427-3166
Agri-Business Expansion Division supports the sustainable growth and diversification of Alberta's agri-processing industry. The division works with existing businesses to facilitate expansion and attract new investment to Alberta. Division staff provide technical expertise, market information, business development advice and the identification of expansion or investment opportunities. Information and services (related to feasibility studies), joint venture/alliance partners, sources of capital, site location assistance and infrastructure development are provided to facilitate business projects. Critical issues that constrain growth and impact investment decisions such as access to labour are identified and solutions are sought.
Bio-Industrial Technologies Division
5712 - 48 Avenue Camrose, Alberta T4V 0K1 (780) 679-5172
Bio-Industrial Technologies Division was created to support industry in taking advantage of agricultural opportunities for non-food industrial products. The division supports the technical development of advanced materials and composite products incorporating refined agricultural fibers as well as improving the functionality of existing synthetic fiber though new process engineering, extraction and refining of agricultural fiber sources. In partnership with industry, division staff are working to establish a bio-refining suite of both chemical and biological process capacity. Staff and partners are working to build the skill set to refine, extract and fraction cereal and lipid-based crops into fine chemical constituents and industrial ingredients for the manufacture of polymers, resins, cosmetics and fuels.
Commercialization Division
Provincial Bldg. 4709 - 44 Avenue Stony Plain, Alberta T7Z 1N4 (780) 968-3557
Commercialization Division works with agri-business and industry to improve the success rate of commercialization initiatives. The division works with individual companies and with industry groups to provide technical expertise and coaching in areas of marketing, business finance, human resources, value chains, taxation, investment vehicles and lean manufacturing. The division provides support to researchers in linking their research results to business opportunities.
The division provides technical expertise to companies working within the Agrivalue Business Incubator. The division also manages the Canada-Alberta Collateral Agreement under the Renewal Chapter of the Agricultural Policy Framework and the Agriculture Opportunity Fund.
Food Processing Development Division
6309 - 45 Street Leduc, Alberta T9E 7C5 (780) 986-4793
Food Processing Development Division focuses on the value-added processing of agriculture commodities through laboratory development, applied research and pilot plant scale-up to develop new products, introduce new technologies and improve existing processes. The work is done through four units: the Food Processing Development Centre, the Food Science and Technology Centre, the Consumer Products Testing Centre and the new Agrivalue Processing Business Incubator.
The Food Processing Development Division has a strong focus on the development of new companies and the attraction of new food processors to Alberta. This capability will be markedly enhanced with the completion of the Agrivalue Processing Business Incubator in July 2006.
Growth Strategy Secretariat
#304, J.G. O'Donoghue Bldg. 7000 - 113 Street Edmonton, Alberta T6H 5T6 (780) 644-2405
Growth Strategy Secretariat manages the Agriculture Growth Strategy and tracks the progress toward the goal of attaining $20 billion in value-added processing and $10 billion in primary production by 2010. The secretariat leads the Industry Development Sector's planning, management, monitoring and reporting processes. The secretariat consists of three areas: Growth Strategy management and administration, leadership and organizational development and Growth Strategy Theme strategic leadership.
Market Opportunities and Innovation Division
#304, J.G. O'Donoghue Bldg. 7000 - 113 Street Edmonton, Alberta T6H 5T6 (403) 556-4321
Market Opportunities and Innovation Division promotes the growth and prosperity of Alberta's agriculture, bio-industrial and agri-food industries through the identification of new opportunities and support for innovation. The division ensures the industry sector has access to expertise in opportunity identification and opportunity assessment processes through full-time staff and contracted experts. The division provides themes and other divisions with support required to make project and program choices that provide excellent potential for growth. This division focuses projects toward their unique comparative or competitive advantage for Alberta. The division also focuses significant effort on ensuring projects incorporate commercialization plans.
Planning and Competitiveness Sector
Economics and Competitiveness Division
#303, J.G. O'Donoghue Bldg. 7000 - 113 Street Edmonton, Alberta T6H 5T6 (780) 422-3771
Economics and Competitiveness Division provides economic data and analysis expertise to assist the Alberta industry to optimize opportunities in agri-food products and services. Functions include applied economic and competitiveness analysis, benchmarking/forecasting as well as analysis of international markets, consumer behavior and emerging industry trends. Building upon economic and market research, the division formulates strategies and assesses economic impacts for agriculture and food issues.
In partnership with other divisions, the division is responsible for advocating for Alberta's agriculture and agri-food industry as well as leading and coordinating international relations efforts at key forums, conferences and discussions with priority international partners.
Information Technology Services Division
#203, J.G. O'Donoghue Bldg. 7000 - 113 Street Edmonton, Alberta T6H 5T6 (780) 427-2101
Information Technology Services Division assists the Ministry in identifying, implementing and utilizing services and technology solutions to achieve business goals. The division provides effective support services to the Department in the area of electronic data processing development, maintenance and use. Information Technology Services Division also provides expertise to evaluate, recommend and purchase data processing hardware and software for the Department.
Policy Secretariat
#300, J.G. O'Donoghue Bldg. 7000 - 113 Street Edmonton, Alberta T6H 5T6 (780) 422-2070
Policy Secretariat provides advice and recommendations and undertakes corporate projects to improve the policy and planning decisions of the Ministry. The secretariat examines domestic, national and international policies with the potential to affect the agriculture and agri-food industry and makes recommendations on how the Ministry should respond to these challenges. The secretariat currently concentrates on emerging issues in trade, innovation/biotechnology, research, environment, land use planning and domestic policy.
Strategy and Business Planning Division
#200, J.G. O'Donoghue Bldg. 7000 - 113 Street Edmonton, Alberta T6H 5T6 (780) 422-9167
Strategy and Business Planning Division is responsible for providing strategic corporate services to the Ministry, including developing and implementing effective processes for strategic planning, business planning and annual reporting for the Ministry. Division staff also provide advice, coaching and facilitation for operational and individual work planning. Other strategic services provided by the division include coaching and training to support project management and the development of processes, tools and techniques to improve knowledge management within the Ministry.
Division staff are also responsible for program policy development, program evaluation and negotiating and managing federal funding requirements under the Agricultural Policy Framework, as well as managing Alberta's obligations under specific federal/provincial bilateral companion agreements. The division delivers several farm income assistance programs, including the Canada-Alberta Farm Water Program and payments under the Canada-Alberta BSE Surveillance Program. The division jointly delivers assistance under the Alberta Farm Fuel Benefit Program with the Agriculture Financial Services Corporation as well as delivery of the agriculture component of disaster recovery programs.
Rural Development Sector
Rural Business and Diversification Branch
Second Floor, Provincial Bldg. 6203 - 49 Street Barrhead, Alberta T7N 1A4 (780) 674-8305
Rural Business and Diversification Branch works in partnership with and provides leadership for industry and other Ministry staff to provide agri-entrepreneurial education opportunities to the agriculture and food industry, to identify and channel resources needed to jump-start emerging industries, to assist with the growth and development of agri-entrepreneurial enterprises, as well as facilitating the development of new products, services, markets and technologies. Branch staff also ensure access to technical assistance for entrepreneurs and provide expertise and leadership to initiative teams, such as Agri-tourism, Regional Cuisine and Farm Direct Marketing. Staff also work with industry where appropriate to help make these opportunities become self-sufficient initiatives.
Rural Development Initiative
#200, J.G. O'Donoghue Bldg. 7000 - 113 Street Edmonton, Alberta T6H 5T6 (780) 427-2049
The Rural Development Initiative (RDI) oversees the implementation of the Rural Development Strategy and provides support to cross-government efforts related to rural development. RDI staff provide input and liaison in partnership with the federal government to establish a national framework on rural development. The RDI also partners with individuals and groups that have an interest in rural development, sharing information and expertise to facilitate rural networks and the achievement of outcomes outlined in the strategy.
Rural Infrastructure and Special Projects Division
#304, J.G. O'Donoghue Bldg. 7000 - 113 Street Edmonton, Alberta T6H 5T6 (780) 427-2049
Rural Infrastructure and Special Projects administers funding support to municipalities under the Municipal Industrial Wastewater Infrastructure Program for water/wastewater services necessary to accommodate agricultural processing projects in communities. In addition, the Industrial and Environmental Infrastructure Assistance for Beef Processing Program is administered to provide one-time funding for municipalities and processors to develop unique environmental and other infrastructure related to new beef slaughter/processing capacity. Division staff also work with rural partners to advance other community initiatives and projects.
Rural Programs and Services Division
#300 J.G. O'Donoghue Bldg. 7000 - 113 Street Edmonton, Alberta T6H 5T6 (780) 422-6166
Rural Programs and Services Division promotes community-based rural development by directing and supporting rural organizations and services such as agricultural service boards, agricultural societies, agricultural development committees, 4-H clubs and councils and recommends policy in rural development. The division is also responsible for coordinating and delivering educational, leadership and training programs such as 4-H, Green Certificate, employment experience programs, home study, agriculture in the classroom and farm safety, in partnership with communities and agriculture organizations.
Division staff also provide the first point of contact for the public to departmental personnel, services and programs and often to industry partners through the Ag-Info Centre's toll-free number (310-FARM) and through administrative assistants in hub offices. Resource Agents are the first point of contact for the Centre and provide project support and manage information for the Ministry, ensuring information is readily accessible to Alberta's agriculture and food industry, and the world, in collaboration with the Ropin' the Web Internet site at www.agric.gov.ab.ca
Rural Utilities Division
#200, J.G. O'Donoghue Bldg. 7000 - 113 Street Edmonton, Alberta T6H 5T6 (780) 427-0125
Rural Utilities Division administers the Rural Gas, Rural Electric and the Remote Area Heating Allowance (RAHA) program areas. The Rural Gas and Rural Electric programs are cost-sharing programs that help defray the high cost of constructing natural gas and electrical systems in rural areas. The RAHA program provides rebates on the cost of propane or fuel oil for individuals who are unable to obtain natural gas service at a reasonable cost.
The Division also administers the Rural Utilities Act, which provides the framework for the establishment and management of business affairs for approximately 280 rural gas, electric and water associations in the province. In addition, the Division also administers the Gas Distribution Act, which governs the issuing of franchise areas and the setting of all standards relating to the design, construction, operation, maintenance, quality assurance and plant records for rural gas utilities.
Agencies, Boards and Commissions
Agriculture Financial Services Corporation (AFSC)
Lacombe Central Office 5718 - 56 Avenue Lacombe, Alberta T4L 1B1 (403) 782-8200
Camrose Central Office 4910 - 52 Street Camrose, Alberta T4V 4E8 (780) 679-1311
AFSC provides a wide variety of risk management products and financial services to fit the business needs of farmers, the agriculture industry and small businesses in Alberta. It offers unique financial products and services not readily available from conventional sources to the industry.
AFSC provides insurance products to mitigate risks related to crop production, including hay and pasture; offers waterfowl and wildlife damage compensation, to help Alberta farmers protect against production losses on their farms; delivers the Canadian Agricultural Income Stabilization (CAIS) Program, a whole-farm program that provides compensation for decline in farm margin relative to historical margin for eligible producers regardless of the commodities they produce and offers agriculture financial services such as farm loans and guarantees for new and expanding farm businesses as well as financing for those facing disastrous reductions in farm production or income. AFSC also provides and facilitates sourcing of financing for companies in the agri-food and value-added industry, as well as the small business sector˙with an emphasis on rural Alberta.
AFSC produces a separate annual report.
Agricultural Products Marketing Council
#305, J.G. O'Donoghue Bldg. 7000 - 113 Street Edmonton, Alberta T6H 5T6 (780) 427-0364
Agricultural Products Marketing Council advises the Minister on matters related to the establishment, operation and control of the boards and commissions established under the Marketing of Agricultural Products Act. Provides assistance and advice to boards and commissions on board governance, leadership development, strategic and business planning. Council facilitates industry-oriented development through enabling legislation and encourages support to research and value-added opportunities and enhanced value chain relationships.
Alberta Grain Commission
#305, J.G. O'Donoghue Bldg. 7000 - 113 Street Edmonton, Alberta T6H 5T6 (780) 427-7329
Alberta Grain Commission advises and makes policy recommendations to the Minister on current and emerging issues and trends in the grain industry via its on-going review of all facets of the grains industry. Provides a daily grain price information service.
Irrigation Council
#328, Provincial Bldg. 200 - 5 Avenue South Lethbridge, Alberta T1J 4L1 (403) 381-5176
Irrigation Council was established under the Irrigation Districts Act. Makes recommendations to the Minister on any matter under the Act, particularly on issues related to maintaining a strong, efficient and sustainable irrigation industry. Acts as an appeal body in accordance with the Act. Approves expenditures of provincial cost-shared funds to ensure accountability of the public's ongoing investment in irrigation district water conveyance infrastructure.
Farmers' Advocate Office of Alberta
#305, J.G. O'Donoghue Bldg. 7000 - 113 Street Edmonton, Alberta T6H 5T6 (780) 427-2433
Farmers' Advocate Office (FAO) provides the Minister with information on issues concerning rural Albertans. The FAO works closely with agricultural interest groups, Alberta Environment, Alberta Energy, Sustainable Resource Development and other levels of government to formulate policy recommendations and procedures that affect the rural community; works with surface rights groups and landowners on surface lease and freehold mineral lease issues and provides dispute resolution services, advice and information to individual farmers or agricultural associations on issues that impact rural Albertans. FAO is also responsible for the contract for the AFSC Hail and Crop and Lending Agricultural Development Committee reviews.
The FAO is responsible for administering the Farm Implement Act, Farm Implement Dealerships Act, Water Well Restoration or Replacement Program, Wild Fire Cost Assessment Review and Part 1 of the Agricultural Operation Practices Act.
Operational Overview
Ministry's Core Businesses
The Ministry contributes to three of the government's four key opportunities: Unleashing Innovation, Competing in a Global Marketplace and Making Alberta the Best Place to Live, Work and Visit. The primary focus of Alberta Agriculture, Food and Rural Development is on Government of Alberta Goal 1, Alberta will have a diversified and prosperous economy, under the key opportunity of Unleashing Innovation. The Ministry achieves this by working with others to promote prosperity for Alberta through a strong, competitive, sustainable agriculture and food industry.
Ministry Core Businesses
- Facilitate sustainable industry growth
- Enhance rural sustainability
- Strengthen business risk management
Each of the six Ministry goals contributes to the achievement of these core businesses. The results constitute the role of Alberta Agriculture, Food and Rural Development in contributing to the Government of Alberta's core performance measures. The Results Analysis section of this annual report presents a comprehensive discussion of the Ministry goals, the contributions to the cross-ministry initiatives, performance measures and results of operations for the fiscal year 2005-06.
Costs for Core Business
(unaudited)
 | (thousands of dollars) |
| Core businesses | 2005-06
Estimates | 2005-06
Actual | 2004-05
Actual
(Restated) |
| Facilitate sustainable industry growth | $...223,416 | $...246,911 | $..291,970 |
| Enhance rural sustainability | 51,895 | 52,128 | 45,012 |
| Strengthen business risk management | 929,011 | 805,762 | 999,102 |
| Ministry expense | $1,204,322 | $1,104,801 | $1,336,084 |
Highlights of changes in the Ministry's spending are as follows:
Facilitate sustainable industry growth - expenses increased by $23.5 million over budget primarily due to additional funding to support ongoing research in the development, production and marketing of value-added products, beef product and market development as well as partnership support. Expenses were $45.1 million lower than 2004-05 as a result of even greater funding in 2004-05 for market retention and development, pre-commercialization efforts for specified risk materials and value-added initiatives.
Enhance rural sustainability - expenses were $7.1 million higher than 2004-05 primarily resulting from a budgeted increase in lottery funding for the Agricultural Service Boards grant program.
Strengthen business risk management - expenses decreased by $123.2 million over budget primarily due to early completion of the BSE Canada-Alberta Fed Cattle Set-Aside Program resulting from the U.S. border reopening to live beef exports in 2005. Expenses decreased by $193.3 million from 2004-05 because of the reduced BSE-related Set-Aside payments, as well as reduced indemnity payments for production and hail insurance and the terminated Farm Income Disaster Program.
Expense by Function
All Ministry expenses, with the exception of debt servicing costs, are reported under the Government of Alberta function: Agriculture, Resource Management and Economic Development.
Overall Ministry Operations and Services
Here are the overall Ministry budget and actual operating results for all Ministry entities:
(unaudited)
(millions of dollars) |
| 2005-06
Budget | 2005-06
Actual | 2004-05
Actual |
| Revenues | $...632 | $...576 | $...793 |
| Expenses | 1,204 | 1,105 | 1,336 |
Excess of expenses
over revenues | $...572 | $...529 | $...543 |
Results analysis (328 Kb)
Financial Statements
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