Alberta pilots $224 million in CAIS changes

[TOM4CWB]

Charlie;

What are the details?

I see this;

"The pilot will look at three CAIS program years, from 2003 to 2005, using two different methods to calculate a producer's reference margin, (allowable income minus allowable expenses). The reference margin determines producers' support levels when disaster strikes. One method will use the existing Olympic average formula, which drops the highs and lows of a producer's last five years and averages the remaining three years. Another method will simply average the last three years of a producer's financial history to calculate the reference margin.

"The pilot covers all commodities and all regions of our province," said Horner. "While some are tempted by quick-fix, ad hoc solutions, we know they can distort markets and they're not affordable in the long term."

AFSC, the provincial crown corporation administering CAIS in Alberta, will automatically review all CAIS claims submitted since 2003, although not everyone will receive an additional benefit. The province expects $224 million will flow to producers over and above initial CAIS payments. Producers who have never participated in the CAIS program, or who missed applying for some years, should call AFSC at 1-877-744-7900"

Is the average for 2003, 01-02 and 03; 04 02-03 and 04; 05 03-04 and 05?

[cowman]

CAIS is just another welfare program designed to keep the peasants afloat? Just like GRIP, NISA, FDIP? Definitely a part of the Canadian cheap food policy?
I suspect in a couple of years (or earlier) the powers that be will admit they didn't get it right(again) and scrap it for the next new marvelous five year plan? Sort of like the old USSR?
However when you are up to your butt in aligators, you can't be choosy who you reach out to for salvation?
In the really big picture the government would be better to back away and let agricultural producers sink or swim? Of course then food prices might actually have to increase as most would leave the industry and quit producing at a loss? I guess that wouldn't be acceptable for the Canadian consumer?

[TOM4CWB]

Cowman;

Rather, is not this a genuine attempt to help farmers through a number of disaster years?

I for one am greatful that we have the resourses to try innovative solutions!

[charliep]

Am double checking but I don't think the calculation includes the year calculations are made. Eg. The 2003 claim year would include the average from the 2000, 2001 and 2002 years in the reference margin calculation.

[cowman]

TOM: Don't mind me, just feeling a bit cranky this fall. Hey I'm in the trough with the rest!
I do suspect in the end CAIS will go the way of the other programs because it really doesn't address the problem but is just a bandaid? It would be helpful if our government had some meaningful solutions instead of bandaids for wounds they are usually responsible for?
Hope you had a good harvest and hope you can get a decent price for your product. It wasn't pretty this year!

[TOM4CWB]

Cowman;

We are VERY blessed that the rains started the middle of July or we would have been very short on yield. It is astounding how well the crop recovered after a month of drought. July 10th our canola was so wilted I thought the few leaves that were there were going to fall off! It did make things very late and increased the green count in the Nexera.