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If you’re an Alberta rancher who uses public land to graze your livestock, Bill 16 should be on your radar in the coming months. Today, the Alberta government introduced the bill in an effort to modernize the rent and fees ranchers and cattle owners pay for the use of public lands. The current grazing fee structure hasn’t been changed since 1994.

“We welcome the government’s announcement to modernize Alberta’s grazing lease rental rate framework on public lands,” says Charlie Christie, chair, Alberta Beef Producers. “The new framework will reflect our current business environment and will align with other resource-based industries in Alberta, while also ensuring our province is fairly compensated for leasing public lands.”

If passed, current rental rates would move from a three-zone framework to a two-zone structure, north and south. The boundary of the two would be based on the transition to the boreal region which, according to the government, is an area that has higher capital costs.

The rental rate would be calculated by animal unit months (AUM). AUM is an industry standard measurement and refers to how much feed a thousand-pound cow with a calf at side, would eat in a month.

Industry stakeholders had asked for the fee change to be phased-in over 10 years, however the government plans to phase in the change over five years. The phase-in process ensures no sudden changes in cost to grazing disposition holders, the government says. (story continues below player)

The current minimum grazing rate of $2.30 for the south zone, and $1.30 for the north zone per AUM. would see an increase of 20 per cent in 2020, which would increase the AUM rate to $2.73, and $1.63 respectively. Rates would increase by 20 per cent year-after-year. If it were to be fully implemented in 2020, it would cost $4.46, and $2.94 in the south and north zones per AUM, respectively.

To note, as the rate is based off of the price of cattle, the province will collect a minimum of $2.5 million for general revenue. 

A change up to the assignment fee is also being proposed. Currently, the fee is based on total AUMs the producer has. Assuming a producer has 231 AUMs it could cost more than $23,000 for the current fee. The suggested change would be a province-wide flat fee of $3,150. This is consistent with how other assignment fees are conducted within Alberta.

“Ranchers play an important role in Alberta – they support our economy and are responsible for protecting some of the province’s important grasslands and wetlands,” says Jason Nixon, Minister of Environment and Parks. “It’s important that we work with ranchers to modernize our legislation so that the ranching industry can continue to grow and thrive for generations.”

According to the government, thirty per cent of the revenue from the grazing rental over and above $2.5 million will be moved to a dedicated revenue stream that will be used towards rangeland sustainability initiatives. The other 70 per cent will go into general revenue.

Also to note, when asked if goats would be included in grazing leases, Minister Nixon says they’re having open conversations with people who bring up the issue but as of right now, it’s not the intent of Bill 16 to include goats at this time. 

If the bill passed, it would come into effect January 1, 2020.

Trade with U.S. borders could be effected

The proposed changes could come with kickback from south of the border. According to the Alberta government, back in 1999 the U.S. Department of Commerce countervailing duty investigation identified grazing rental rates as significant contributor to the subsidization of the Canadian cattle industry.

The government says if a countervail investigation was launched today, there is a risk of a subsidy determination and duty being imposed on the Canadian cattle industry.

Unfortunately for Canadian retailers, tractor sales continue to be in the red this year. According to the latest flash report from the Association of Equipment Manufacturing (AEM), total farm tractor sales are down by 4.4 per cent for the year-to-date ending in September.

To break it down further, two-wheel drive tractors with 40- to 100-horsepower had sales decline by 12.8 per cent, while tractors with more than 100-horsepower had sales drop by 16.5 per cent. On the plus side were tractors with less than 40 horsepower, as sales were up by 3.4 per cent.

Four-wheel drive tractors dropped by the most, at 32.9 per cent year-to-date. In total, 17,343 tractors remain in inventory as of September, the association reports.

Combine sales slumped 27.7 per cent, year-over-year, with 786 combines remaining in inventory.

“It’s clear that due to a softening in the markets and farm profitability that farmers are scaling back on the purchase of new equipment,” says Shaun Haney, RealAgriculture founder.

The report issued for September shows sales were higher than the years 2016 and 2018 respectively, but are still below the five year average.

American tractor sales to date are up, but not by much. Four-wheel drive tractors are up by 4.9 per cent. Two-wheel drive tractors with less than 40-horsepower are up by 6.4 per cent, those with 40- to 100-horsepower are up by 1.2 per cent, and those with more than 100 horsepower are up by 3.4 per cent.

Combine sales down south were up by 1.8 per cent. Inventory for both tractors and combines for the month of September are at 133,491 and 1,598 respectively.

Over the Thanksgiving long weekend, the province of Manitoba was blanketed with snow in amounts unimaginable for the third week of fall. As of Sunday morning, 50 to 60 millimetres of precipitation had fallen, mainly in the form of snow in the southwestern and southeastern parts of the province, while the central and Interlake regions received a mix of snow and rain.

“It is clear the tremendous effort to restore power and other activities will be ongoing for some time,” says Premier Brian Pallister, who declared a state of emergency over the weekend to deal with the aftermath.

By taking this step, Manitoba Hydro is able to invoke mutual aid clauses with neighbouring utilities for such assistance as may be required to restore services. According to a news release, it applies in all areas of the province impacted by failed and failing electrical transmission and distribution infrastructure.

Since Sunday, Manitoba Hydro has reached out to Hydro One, Minnesota Power, and SaskPower to request specific resources such as replacement transmission towers, distribution poles, and specialized electrical equipment; as well as crews to help with restoration.

Here’s a look at some of the conditions and significant damage our crews are facing as efforts continue across Manitoba. #mboutage #mbstorm pic.twitter.com/AKa48jLCrd

— Manitoba Hydro (@manitobahydro) October 14, 2019

According to Manitoba Hydro, the damage from the weekend snow storm has left roughly 34,000 customers without power as of lunchtime on Sunday. With multiple lines knocked down, the crown corporation calls the damage extensive, and adds it will take days to repair. For context, this is the first time Manitoba Hydro has asked for mutual aid from other utilities, and it is an indication of the unprecedented level of damage crews are discovering as they gain access to impacted areas of the province outside the City of Winnipeg.

“Sections of our transmission and distribution system are completely destroyed, and will require a total rebuild before coming back on line. In addition, we are still experiencing issues with impassable roads and possible shortages of the materials needed to repair the damage,” says Jay Grewal, president and CEO of Manitoba Hydro. “In short, this means many customers will not have electricity for days—a situation we know creates a great deal of hardship.”

In addition, several states of local emergency have been declared by municipalities.

My parents front door view in Belmont this morning ???? #mbstorm . Holy cow pic.twitter.com/u2Qdflp0fG

— Shauna G (@ShaunaRaeG33) October 12, 2019

Anyone who comes across fallen trees and power lines should avoid contact and call 911. If your power is affected by the storm, click here for tips to help you stay warm and keep food safe.

PUBLIC SERVICE ANNOUNCEMENT:
Do not use fuel-burning equipment for heating.

During this extended outage, we’re reminding everyone to never use portable fuel-burning equipment – generators, patio heaters, barbecues or camp stoves – inside your home for heating.

— Manitoba Hydro (@manitobahydro) October 14, 2019

As the temperature is expected to warm up over the next few days, a gradual melt in snow packed could take place. As of publication, the Red River Floodway is expected to operate until the end of October. Rivers, lakes and streams in south and southwest Manitoba continue to rise and are being monitored by officials from the province and municipalities.

Waterways in the south and southeast section of the province, including the areas of the Roseau River, Vita, Gardenton and Joubert Creek, are seeing the rain-snow mix influence river flows. Levels are continuing to rise in these areas and could bring localized overland flooding of low-lying areas.

The province and municipalities will continue to monitor water levels, and more information can be found by clicking here.

Sand and bags are available at the following locations for Whiteshell residents responding to high water:
• Caddy Lake boat launch,
• Green Bay Road garbage cage, and
• West Hawk and Falcon Lake maintenance yards.

According to the Manitoba government, at the peak of the storm more than 2,700 kilometres of provincial roadways were closed. Most are reopened, but motorists are asked to restrict non-essential travel in areas yet to be cleared to help snow clearing emergency response efforts.

what a view. #harvest19 #mbstorm pic.twitter.com/0J3p4s4Ztn

— Curtis Wytinck (@badfarmer4930) October 12, 2019

In honour of thanksgiving, the RealAgriculture team spent some time listing a few of the things we’re grateful for. Did we get your favourites? Feel free to add more in the comments.

We wish you and yours a great holiday weekend!

In no particular order, here’s what we’re grateful for:

• Hot coffee, shared with a loved one
• A safe country in which to raise our families, with safe and accessible food
• A good joke or meme that makes you cry-laugh
• Opportunity and the energy to pursue it
• Respectful disagreements, that provide room to learn and grow
• The crackling of a wood stove on a cold day
• Feeling part of a strong, supportive community
• The smile that hits when the first few notes of a loved song play
• Quality science that guides and supports good decisions
• The intensity and magic of the stars on a quiet, rural night
• The foggy breath of livestock on a cold morning
• Friends who offer the safety we need to be honest
• Love, support, and understanding in the hard times
• The space to express ourselves
• The beauty of sunsets and sunrises
• The creak of an old saddle, and warmth of the horse beneath it