Supporting KAP helps to ensure a sustainable and profitable future for all Manitoba farmers.
Keystone Agricultural Producers is the certified organization designated under the Agricultural Producers’ Organization Funding Act. This authorizes us to request from buyers of agricultural products to remit a percentage value of the gross selling price.
Background – KAP Check Off
KAP is funded through a check off model and this is legislated by Manitoba’s Agricultural Producers’ Organization Funding Act (APOFA). This Act has been in place since 1988, so the check off funding model and our obligations under the Act are long standing. Currently, the check off is 1% of the gross selling price up to an annual maximum of $275.63, plus GST, per person. Any monies collected above and beyond this amount will be refunded to producers throughout the fiscal year. Additionally, producers may opt out of the check off should they choose, and KAP would issue them a refund. However, the Act requires the check off to continue regardless of a producer’s opt out status.
Over the past year, KAP has undergone a legal review to ensure we are complying with our requirements under the legislation. By doing so, we are also working to ensure that all producers in Manitoba are afforded the opportunity to participate in KAP’s grassroots activities and have a voice at the table. Our goal is to ensure equitable representation for all producers and the diversification of commodities that we represent, which is an important component of the legislation. It is only then that KAP can fulfill our duty and legal obligation to promote a unified policy voice for Manitoba producers.
Periodically, KAP reviews who is purchasing agricultural products from Manitoba producers. The Manitoba Farm Products Marketing Council is then responsible to review and update the list of designated purchasers under the Agricultural Producers Organization Funding (Agency) Regulation (the “Regulation”). This year, the updates will mean that additional entities that purchase agricultural product from Manitoba producers will be applying a check off as set out in the Regulation. As a result, more Manitoba producers from a diversified group of commodities will notice this check off on their farm receipts.
KAP has taken steps to follow the appropriate processes to notify all stakeholders about our efforts to ensure we are complying with the legislation, part of which includes diversifying the commodities that we represent as per our mandate under the Act.
We have sent notices to current and potential future designated purchasers to begin the dialogue around how they may potentially be impacted by this process. This notice period includes virtual meetings and Q&A sessions with KAP staff, board members and our legal team. We will be offering future webinars to discuss this further through an open dialogue about how this process works.
We know there have been many questions about KAP’s efforts to ensure we are operating in accordance with our legislative requirements to represent a diversified group of commodities in an equitable way. We are prepared to work with producers, commodity groups, designated purchasers, and all stakeholders to ensure there are no misunderstandings about the process moving forward.
For more information, please consult our list of FAQs below or reach out to our office directly at kap@kap.ca or by calling: 204-697-1140.
Keystone Agricultural Producers – Check Off FAQ
Note: The following information below is not legal advice.
