AgriStability Change retroactive to 2020 program year – Removal of Reference Margin Limit

July 12, 2021

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This change impacts the 2020 to 2022 AgriStability program years and could increase the overall amount that AgriStability pays out nationally by around $95 million.  This will also help to simplify the program and will increase support for farmers that traditionally have lower allowable expenses.

The agriculture sectors most likely to be impacted by these changes include:

  • livestock producers that produce their own feed
  • organic and commercial crop and forage crop producers
  •  beekeepers
  • mixed farmers.
Reference Margin Limiting – How It Works
Average allowable income1,000,000
Average allowable expenses400,000
Reference margin600,000
Adjusted reference margin (70%)420,000
Reference margin limit (average expenses for three years)400,000

Under the old method, the applied reference margin was the lower of the adjusted reference margin ($420,000) and the reference margin limit ($400,000).  So in the example above, the program year margin would need to fall below $400,000 to trigger a payout.

With the removal of reference margin limiting, the program year margin would need to fall below $420,000 to trigger a payout.

For more information, visit the AFSC website here: https://afsc.ca/news/agristability-sees-significant-change-with-the-removal-of-the-reference-margin-limit/

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