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Federal-Provincial governments make long awaited announcement of additional aid to flooded out crop and livestock

Estevan (August 4, 2011) -Prairie farmers and producers hard hit with excessive moisture and flooding this growing season will receive some extra help from federal and provincial governments.

Estevan (August 4, 2011) -Prairie farmers and producers hard hit with excessive moisture and flooding this growing season will receive some extra help from federal and provincial governments. The Governments of Canada, Saskatchewan, Alberta and Manitoba, are making up to $448 million available through the AgriRecovery Program and of that more than $250 million will be directed to Saskatchewan.

"Once again the Federal-Provincial Governments have stepped up to the plate with assistance to producers who despite valiant efforts were not able to get a crop in the ground due to flooded out land and excessive moisture."

"This year was far worse than last year and I do hope that the wet years are behind us."

"It is very frustrating to be spending money to keep the weeds down knowing that here won't be a harvest. Therefore it was very important to have a payment made under the AgriRecovery Program and to have the announcement made on a sooner than later basis," said Komarnicki.

The payment is being administered through the Saskatchewan Crop Insurance Corporation (SCIC). The $30 per eligible acre payment is available to all Saskatchewan producers who could not get their land seeded by June 20, 2011 or had a crop flooded on or before July 31, 2011. Producers not enrolled in Crop Insurance can also apply for payment. Livestock producers who are coping with the effects of excess moisture this spring and summer can apply for financial assistance to help with the costs of feeding their breeding herd and transporting feed or livestock. Specific program details will be provided by each province.

"This had to be one of the worst years on record, "said Komarnicki, " and I do know that there is a lot of frustration and concern on the part of many farmers especially when it comes to getting ready for next year without a crop in the bin. Money is being spent to keep weeds under control and so any financial assistance at this time is very much appreciated."

In addition to this assistance, existing Federal-Provincial Business Risk Management programs, specifically Crop Insurance, AgriStability and AgrInvest, will help farmers manage the impact of this natural disaster as the first lines of defense to address income shortfalls. The Provincial Disaster Assistance Program will also provide assistance to agriculture producers for several flood related items including feed transportation assistance, pasture rental and spoiled stored grain or feed.

"It is my hope that the AgriStability program will result in payouts given the significant loss of income this year as compared to the income in previous years," concluded Komarnicki.

More information on this per acre payment including application forms can be found at www.agriculture.gov.sk.ca Applications are also available at R.M. offices.

BACKGROUNDER

The Governments of Canada and Saskatchewan are providing more than $250 million in funding to Saskatchewan farmers and ranchers affected by excess moisture.

2011 Excess Moisture Program

The Excess Moisture Program (EMP) will provide all Saskatchewan producers with support of $30 per eligible acre for crop land that could not be seeded as of June 20, 2011, and crop land that was seeded but then flooded out on or before July 31, 2011.

Forages seeded in 2010 or 2011 that failed to establish due to excess moisture are also eligible.

For producers enrolled in Crop Insurance, this $30 per eligible acre is in addition to the $70 per eligible acre coverage for land too wet to seed under Crop Insurance's Unseeded Acreage Benefit.

Crop Insurance customers will not have to apply for the EMP unless established crop was flooded out between June 20 and July 31, 2011. Producers not enrolled in Crop Insurance will need to fill out an EMP application form.

There are an estimated 8 million acres of unseeded or seeded and subsequently flooded out land in

Saskatchewan.

A 5% deductible will be applied to affected wet acres.

The deadline to apply for the 2011 EMP is September 30, 2011.

For more information or to apply, producers can contact their local Crop Insurance office, call 1-888-935-0000 or visit www.saskcropinsurance.com. Applications are also available at RM offices. Saskatchewan Feed and Forage Program Funding for this program represents the Government of Saskatchewan's 40% contribution to this AgriRecovery initiative. It is hoped the federal government will be contributing their 60% share to

increase payments to producers affected by excess moisture.

Feed Shortfall Assistance

The feed shortfall component will provide $12 per ton to eligible producers who have to purchase additional feed due to excess moisture. This represents the provincial governments 40% share of a $30 per ton payment.

Eligible livestock are breeding males and females for beef and dairy cattle, bison, elk, sheep, goats, horses, caribou, deer, llamas, reindeer and alpacas owned or leased as of October 1, 2011, or the date of application, whichever is earlier.

Eligible feed is hay, straw, silage, grain and processed feed (pellets) purchased between June 1, 2011 and March 31, 2012.

The application deadline is April 30, 2012.

Reseeding Assistance

Producers will be eligible to receive $12 per acre for reseeding hay, forage and pasture land damaged by excess moisture in 2010 or 2011. This represents the provincial governments 40% share of a $30 per acre payment.

Producers must have owned or leased the eligible hay, forage or pasture land during the period June 1, 2010 to October 31, 2012.

Land must be reseeded to a perennial forage or perennial forage with an annual cover crop to be eligible.

The application deadline is November 30, 2012.

For more information on the Saskatchewan Feed and Forage Program or to apply, producers can contact the Ministry of Agriculture's Financial Programs Branch at 1-877-874-5365, email

sffp@gov.sk.ca or visit www.agriculture.gov.sk.ca. Applications are also available at RM offices.

Intensive Livestock Operation Environmental Program

Intensive Livestock Operations (ILOs) are eligible for a 75% rebate on the costs of repairing or replacing pens and manure storage systems that have been damaged by excess moisture in 2010 or 2011 to a maximum rebate of $250,000.

Construction work must be to repair and upgrade pens and manure storage systems for environmental protection and not for normal maintenance, operating or expansion.

Project work must be undertaken between June 1, 2010 and December 1, 2012.

ILOs must be approved under the Agricultural Operations Act to be eligible for this program.

Applicants must not have received assistance through other government programs, such as the Provincial Disaster Assistance Program (PDAP), for the same work.

The application deadline is March 31, 2012.

For more information, applicants can contact the Ministry of Agriculture's Financial Programs Branch at 1-866-947-9113 or visit www.agriculture.gov.sk.ca. Applications are also available at RM offices.

Provincial Disaster Assistance Program (PDAP).

PDAP will provide assistance to agriculture producers for several flood related items including feed and livestock transportation assistance, pasture rental and spoiled stored grain or feed.

Municipalities must first request and be granted eligibility for designation of a disaster under PDAP.

Producers who have suffered these types of losses should contact their local RM to ensure it has been designated as a disaster under PDAP. They should then complete a PDAP application form identifying all of their losses, supporting this with receipts or other relevant information.

For more information on PDAP, producers can also call 1-866-632-4033.