Bill C-29 · 40th Parliament · Stephen Harper
An Act to increase the availability of agricultural loans and to repeal the Farm Improvement Loans Act
Government bill. Became law.
- IntroducedMay 4, 2009
- Debated in principleMay 11, 2009
- Studied by a committeeDone
- Passed its first chamberMay 26, 2009
- Passed the second chamberJune 15, 2009
- Became lawJune 18, 2009
Leading supporters
Ranked by the part each played: who is responsible for the bill, who carried it, and who spoke for it most.
- Stephen HarperPrime Minister
- Michael DuffySenate · Sponsor in the Senate
- Wayne EasterExplicitly states Liberal support for quick passage while noting need for additional income measures.
- Pierre LemieuxSpeaks directly in support of the amendments as common-sense measures.
- Bev ShipleyDefends the bill and government actions while questioning critics on debt metrics.
Who carries this bill
Arrows run from the person responsible to those who answer to them on this bill. The critic leads the Senate’s scrutiny and answers to no one on it.
What it set out to do
On 4 May 2009, the Minister of Agriculture and Agri-Food introduced Bill C-29, An Act to increase the availability of agricultural loans and to repeal the Farm Improvement Loans Act, in the House of Commons and it was given first reading. Bill C-29 amends the Farm Improvement and Marketing Cooperatives Loans Act (FIMCLA) to provide eligibility for loans for • new farmers; • producers taking over their family farm; and • agricultural co-operatives. The bill also amends FIMCLA • to allow for intergenerational farm transfers through a loan guarantee program; • to allows for the adjustment, by regulation, of amounts and percentages set out in the Act; and • repeal the Farm Improvement Loans Act.
Summary by the Library of Parliament.
Where members stand
How it changed on the way
73% of the text as introduced was changed or removed by the time it became law (4,109 words introduced, 2,436 passed).
minor changeintent mostly kept
The bill passed with one addition: a requirement that the Minister review the Act every five years and lay a report before Parliament. All other amendments to loan eligibility, guarantees, limits and the repeal of the old Farm Improvement Loans Act were enacted exactly as introduced.
- Added the obligation to table a five-year review report in Parliament.
After: “(2) The Minister shall cause a copy of the report on the review to be laid before each House of Parliament on a”
How precisely it is written
mostly preciseChallenging the law: HardDisputing a charge: Moderate
The bill uses defined terms and many fixed dollar and percentage limits to set clear boundaries on loan guarantees. However, repeated regulation-making powers allow those same limits to be changed later.
Open to argument
“or if another percentage of not more than 95 per cent has been fixed by the regulations for the purpose of this subsection, that other percentage”
This lets cabinet alter the core guarantee percentage without new legislation.“or if another amount has been fixed by the regulations for the purpose of this section, that other amount”
The $3 billion aggregate cap can be raised or lowered by regulation alone.“any other organization that is designated by the Minister, with the approval of the Minister of Finance”
The Minister holds open-ended power to add new lenders outside the listed categories.
Clear-cut
“"farmer" means any individual, partnership, corporation or cooperative association that is or intends to be engaged in farming in Canada;”
The definition supplies an objective test based on engagement in farming.“The Minister shall, not later than June 30 in each year, prepare a report with respect to the administration of this Act during the fiscal year that ended on the preceding March 31”
A fixed annual reporting deadline removes discretion over timing.
Discretion. Ministers and cabinet retain wide power to change percentages, dollar caps, lender eligibility, and certain approval thresholds through regulations or case-by-case ministerial consent.
Challenging the law itself. The provisions concern spending and loan guarantees rather than criminal or regulatory offences that directly limit Charter rights, making vagueness or overbreadth claims difficult.
Disputing a charge under it. A lender denied payment could argue over whether a loan met the listed conditions or whether regulatory changes were properly made, but the numerical tests limit the scope of such disputes.
Read by a language model from the royal assent text; every quoted phrase appears in the bill. A reading of the drafting, not legal advice.
Did it work?
partly effective
Departmental evaluations and the 2021 legislative review confirm that CALA expanded eligibility to new and beginning farmers as intended, exceeding targets for this group and filling credit access gaps, but overall uptake remained low with zero intergenerational loans issued in recent periods due to outdated loan limits unchanged since 2009. The program operated at a deficit with declining participation and limited relevance for established farmers or co-operatives, prompting recommendations for parameter updates.
- 2018-2019 Evaluation of the Canadian Agricultural Loans Act ProgramevaluationThe program exceeded targets for beginning farmers (aligning with bill objectives) but did not meet targets for existing farmers or cooperatives, with participation lower than anticipated and very little uptake of intergenerational features.
- Evaluation of the Canadian Agricultural Loans Act Program (2024)evaluationCALA filled a gap for beginning farmers and underrepresented groups with 3,561 loans guaranteed ($322.9M), but loan limits (last updated 2009) were insufficient, no intergenerational loans were issued, awareness was low, and uptake declined, reducing relevance for most clients.
- Regulatory Stock Review Plan for Agriculture and Agri-Food Canada (Legislative Review 2021)reviewThe 2021 review found CALA remained relevant and effectively managed, beneficial to beginning farmers, but fell short of uptake goals due to low loan limits, high commodity prices, and low interest rates; recommended further analysis for underrepresented groups.
- 2013-2014 Evaluation of the Canadian Agricultural Loans Act ProgramevaluationCALA's expansion to beginning/startup and intergenerational farmers was particularly beneficial to new entrants, though overall participation was not as high as anticipated with stable but limited annual loan numbers post-2009.
Who lobbied on it
No lobbying registration naming this bill is loaded.
Stages and dates from LEGISinfo.