FA I TH
FAMILY
FARMING
A GENERAL FARM ORGANIZATION THAT IS ROOTED IN FAITH &
GUIDED BY VALUES
2013 ANNUAL REPORT
WWW.CHRISTIANFARMERS.ORG
CHRISTIAN FARMERSFEDERATION OF ONTARIO
2013Annual Report
CFFO STAFFJenny Denhartog Interim General Manager, ManagerofBoards&CommitteesFranchescaWeeks CommunicationsManagerFrancesPitkin OfficeManagerPaul Bootsma Field Services Manager
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Message from the President............................4-5GM’s Report......................................................6-7Financial Statements........................................8-15Notes to the Financial Statements.................16-19
CONTENTS
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Lorn
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2013Annual Report
The Christian Farmers Federation of Ontario is a professional organization for families involved in the business of farming. We value family enterprise, profitability and a responsible stewardship of resources.
Theyear2013wasaverysatisfyingyear formost farmfamilies
across Ontario. It was a relief that the drought of the previous year
had been replaced by more normal weather. The red meat sector
hadreturnedtoprofitabilityaftermanyyearsofhardshipandthe
shrinking of the pork and beef herds was slowing.
Early in the year, Premier Kathleen Wynne announced that she
would be the Minister of Agriculture and Food. There was some
concernthatshewouldnothavethetimetodevotetosuchan
important task. The concerns proved to be unfounded; she be-
cameaveryeffectiveAgricultureMinister.Shewasavailablewhen
needed, willing to listen and sought to understand and clarify is-
sues. She was also clearly decisive at the appropriate times.
Shestrengthened the“Open forBusiness” initiativeandhelped
toresolvesomeimportantagricultural issues.The initiativewas
launched a few years ago as a way of removing some unnecessary
red tape. It involved the CFFO, OFA, Farm Supply Industry, and the
FoodProcessingIndustry.Duringseveralmeetingsheldthrough-
out the year, some important longstanding issues were resolved.
Late in the year, the Premier launched the “Premier’s Challenge”
for the industry to work towards some challenging targets which
would create many more jobs and enhance agriculture and food
processingproductivity.TheCFFOisrespondingtothechallenge.
I welcome this opportunity to thank Agriculture Minister and Pre-
mier Kathleen Wynne for her commitment to the agriculture and
food industry. She continuously reminded the farm community
thatagricultureandfoodhasthepotentialtobeamajorforcein
the provincial economy of the future.
The year 2013 saw the return to normal for the Farm Busi-
nessRegistrationprocess.TheChristianFarmersFederation
of Ontario was fully re-accredited a few days before the year
began. There were however a few new requirements in ar-
eassuchasmembershipresponsibilities.Itwasachallenge
forstaffandmemberstoadapttothenewregulations.How-
ever, at the end of the day membership enrollment was up
and we welcomed many new farms to our CFFO family.
Weshouldallbe incrediblyproudofourstaff.NathanSte-
vens and his team have done a remarkable job this year,
even when faced with adversity. Dealing with the accredita-
tionprocesswasamajorheadacheandaddedsubstantially
tostaff’sworkload.
Asurveycompletedafewyearsagoidentifiedthekeyvalues
of the CFFO farm families as “faith, family and farming”. I
would be remiss if I did not thank my four teenage daughters
whomadeour farmcontinuetooperatewhile Iwasaway
working on behalf of this incredible organization. Many
thanks also to the thousands of CFFO farm families for your
encouragement and support.
Thank you.
MESSAGE FROM THE PRESIDENT
Lorne Small, 2013 CFFO President
President Lorne Small is a sheep farmer from Kenilworth. He has served on the Ontario Sheep Marketing Agency, worked for sever-al years as a provincial agricultural representative and was the first appointed General Manager of the Ontario Dairy Herd Improve-ment Corporation when it was privatized.
Nat
han
Stev
ens
6
2013Annual Report
The Christian Farmers Federation of Ontario is a professional organization for families involved in the business of farming. We value family enterprise, profitability and a responsible stewardship of resources.
2013 was a year of growth and development for CFFO. Our
membership grew, our districts became healthier and we
made strides in several key policy areas.
MEMBERSHIP GROWTH
TheCFFOcameoutof2012havingregaineditsaccreditation
despite many challenges along the way. Yet we entered 2013
renewed and refocused. At the end of the year, our member-
ship and supporter totals were nearly nine per cent higher
than in 2012. We were happy to accept these new members
and supporters into the ranks of the CFFO.
STRONGER DISTRICTS
The accreditation challenge of 2012 brought on a renewed
focuson thehealthofourDistrictAssociations in2013.We
changedourapproachtofinancialsupportforthedistrictsand
put a lot of sweat equity into strengthening the leadership in
the districts. The results have been fantastic,with renewed
activityattheDistrictlevel,renewedleadershipwhichwebe-
lieve is strengthened by our District Leadership Summit, and
thefinancialabilityofthedistrictstomakeadifferenceatthe
grassroots.
POLICY HIGHLIGHT: SUPPLY MANAGEMENT: DEALING WITH
MARKET ATTRITION
Thefederationwasabletomakeapositiveimpactontheon-
going discussion around supply management and its future.
Ratherthantakeafixedpositioneithercallingforanendto
the system or arguing the system is great as it stands, the
CFFOcommissionedapaperthatlookedforopportunitiesto
strengthen the sector. The focus of the paper was on the is-
sueofmarketattrition,orthelossofnewandemergingmar-
kets to imports because the system either isn’t responsive
enough or interested enough in capturing these markets.
THE YEAR IN POLICY: BEES, WATER AND LOCAL FOOD
Thereweremanydifferentpolicy issues that theCFFO fo-
cusedonin2013.Theissueoftheimpactofneonicotinoid
pesticides and their impact on pollinators in Ontario was
raised as a serious concern for both grain farmers and bee-
keepers. In 2013, our focus was on a measured response
basedontheresearchbeingdonetodeterminetheextent
of the impact. In the area of water, CFFO put forward its
ideas on how to more actively promote forward-thinking
waterstewardshippracticesinOntarioagriculture.Wealso
used the Open for Business forum as a way to produce regu-
latory change for greenhouse wastewater. Finally, the CFFO
weighedinonseveraldifferentpiecesoflegislation,includ-
ingtheLocalFoodActandtheGreatLakesProtectionAct.
Welookforwardtocontinuingtoworkhardonyourbehalf
in 2014.
NathanStevens,
2013 CFFO General Manager &
Director of Policy Development
Nathan Stevens is the General Manager and Director of Policy Development for the CFFO. He also operates a family farm in Perth County. He is a graduate of the University of Waterloo and the Advanced Agricultural Leadership Program.
GM’S REPORT
Aud
itor
’s R
epor
t
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2013Annual Report
The Christian Farmers Federation of Ontario is a professional organization for families involved in the business of farming. We value family enterprise, profitability and a responsible stewardship of resources.
Aud
itor
’s R
epor
t
FINANCIAL STATEMENTS
To the Directors ofChristianFarmersFederationofOntario(FederationdesAgriculteursChretiensdel’Ontario)
IhaveauditedtheaccompanyingfinancialstatementsofChristianFarmersFederationofOntario,whichcomprisethebalancesheetasthenendedDecember31,2013andthestatementsofrevenuesandexpenses,statementofchangesinmember’sequityandstatementofchangesinfinancialpositionforyearthenendedandasummaryofsignificantac-countingpoliciesandotherexplanatoryinformation.
Management’s Responsibility for the Financial StatementsManagementisresponsibleforthepreparationofthesefinancialstatementsinaccordancewithCanadianaccountingstandardsfornot-for-profitorganizations,andforsuchinternalcontrolasmanagementdeterminesisnecessarytoenablethepreparationoffinancialstatementsthatarefreefrommaterialmisstatement,whetherduetofraudorerror.
Auditor’s ResponsibilityMyresponsibilityistoexpressanopiniononthesefinancialstatementsbasedonmyaudit.IconductedmyauditinaccordancewithCanadiangenerallyacceptedauditingstandards.ThosestandardsrequirethatIcomplywithethicalrequirementsandplanandperformtheaudittoobtainreasonableassuranceaboutwhetherthefinancialstatementsarefree from material misstatement.
Anauditinvolvesperformingprocedurestoobtainauditevidenceabouttheamountsanddisclosuresinthefinancialstatements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatementofthefinancialstatements,whetherduetofraudorerror.Inmakingthoseriskassessments,theauditorconsidersinternalcontrolrelevanttotheentity’spreparationofthefinancialstatementsinordertodesignauditproce-duresthatareappropriateinthecircumstances,butnotforthepurposeofexpressinganopinionontheeffectivenessoftheentity’sinternalcontrol.Anauditalsoincludesevaluatingtheappropriatenessofaccountingpoliciesusedandthereasonablenessofaccountingestimatesmadebymanagement,aswellasevaluatingthepresentationofthefinancialstatements.
IbelievethattheauditevidenceIhaveobtainedissufficientandappropriatetoprovideabasisformyauditopinion.
OpinionInmyopinion,thefinancialstatementspresentfairly,inallmaterialrespects,thefinancialpositionofChristianFarm-ersFederationofOntarioasatDecember31,2013andofitsfinancialperformanceanditschangesinfinancialpositionfortheyearthenendedinaccordancewithCanadianaccountingstandardsfornot-for-profitorganizationsandtheCPA(CharteredProfessionalAccountant)CanadaHandbook.
CPA, CALicensed Public AccountantMarch 11, 2014
241 Bonaventure Drive Hamilton,ONL9C4R1
Telephone:(905)389-2670Facsimile:(905)389-4642
E-mail: [email protected]
BALANCE SHEETDECEMBER 31, 2013
ASSETSCURRENT ASSETS 2013 2012
Cash $ 45,670 $ 11,766
Accounts Receivable 181 -
HSTreceivable 14,544 1,730PrepaidExpenses 12,206 12,709Short term investments 186,808 621,201
259,409 647,406
RESTRICTED ASSETS
Cash(Note6) 91,152 84,781
Accounts Receivable - 7,166
HSTReceivable 1,184 9,036
92,336 100,983
CAPITAL ASSETS (Note 3) 412,140 5,465
$ 763,885 $ 753,854
LIABILITIES
CURRENT LIABILITIES
Accountspayableandaccruedliabilities $ 39,392 $ 147,154
Deferred revenue 903 -40,295 147,154
RESTRICTED LIABILITIES
Accountspayableandaccruedliabilities - 951
40,295 148,105
MEMBER’S EQUITY
Invested in capital assets 406,722 5,464
Generalreserve(Note6) 54,198 44,653
Activityfund(Note6) 38,138 55,380
Unrestricted(availableforgeneralpurpose) 224,532 500,252
723,590 605,749
$ 763,885 $ 753,854
Lorne Small, CFFO President
Bethanee Jensen, CFFO Treasurer
10
BALANCE SHEETDECEMBER 31, 2013
STATEMENT OF CHANGES IN MEMBER’S EQUITY FOR THE YEAR ENDED DECEMBER 31, 2013
Invested in Capital Assets
General Reserve
Unrestricted (General)
ActivityFund
2013 Total
2012 Total
Balance, beginning of year
$ 5,464 $ $44,653 $ 500,252 $ 55,380 $ 605,749 $ 731,086
Excess(deficiency)ofrevenues overexpenses
(6,298) - 141,381 (17,242) 117,841 (125,337)
Investment in capital assets
407,556 - (407,556) - - -
Interfund transfer(Note6) - 9,545 (9,545) - - -
Balance, end of year $ 406,722 $ 54,198 $ 224,532 $ 38,138 $ 723,590 $ 605,749
STATEMENT OF REVENUES & EXPENSES - GENERAL FUND FOR THE YEAR ENDED DECEMBER 31, 2013REVENUES 2013 2012Farmorganizationfundingfees(Note9) $ 954,525 $ 849,420Less: refunds (106,665) (69,030)
Netfarmorganizationfundingfees 847,860 780,390
Membership fees 5,655 59,865
Annualconvention 32,208 36,195
Grants 2,976 1,127
Seminar fees & other 1,216 1,817
Interest income 5,856 22,109
TOTAL REVENUES 895,771 901,503
EXPENSES
ADMINISTRATIVE
Amortization 6,298 4,894
Bank charges and interest 5,490 1,642
Equipment rentals and maintenance 12,931 12,583
Insurance 2,582 1,857
Farmbusinessregistrationadministrationfees 43,566 38,768
NewOpportinities 16,421 -
Officeandprintingsupplies 9,780 14,756
Postage and courier 7,392 6,108
Professionalandconsultingfees 14,652 17,893
Propertytaxes 176 -
Rent 21,368 21,368
Salariesanbenefits(note4cc)) 152,938 293,552
Stafftravelandexpenses 13,879 10,222Telephone 7,419 7,285
314,892 430,928PROVINCIAL ACTIVITIES
Annualconvention 24,093 35,367
BoardandCommitteeexpenses 69,525 67,843
Farmcommunityactivities 34,175 40,664
Farm media 22,650 24,527
150,443 168,401
12
EXPENSES CONTINUED 2013 2012QUALIFIED DISTRICT (LOCAL AFFILIATES)
Meetingandtravelexpenses 57,440 50,184
Farmmedia/Newsletter 18,210 17,973
Fundingtodistrictassociations(Note10) 45,396 32,727
Projects 13,182 25,736
Promotionandadvertising 25,849 14,009
Salariesandbenefits(Note4(c)) 113,881 127,375
273,958 268,004
NON - QUALIFIED DISTRICTS (UNORGANIZED REGIONS)
Meetingandtravelexpenses 4,995 20,498
Farmmedia/Newsletter 2,035 7,341
Fundingtodistrictassociations(Note10) 1,520 1,997
Projects 694 10,512
Promotionandadvertising 2,248 5,722
Salariesandbenefits(Note4(c)) 9,903 52,026
21,395 98,096TOTAL EXPENSES 760,688 965,429
EXCESS (DEFICIENCY) OF REVENUES OVER EXPENSES $ 135,083 $ (63,926)
STATEMENT OF REVENUES & EXPENSES - GENERAL FUND FOR THE YEAR ENDED DECEMBER 31, 2013
14
REVENUES 2013 2012Grants
Interest income $ - $ 13,274
TOTAL REVENUES - 168
- 13,442
EXPENSES
Bank charges 231 19
Business management pilot project - 21,823
Government programming impact project - 6,900
Supply management task team 13,768 37,856
Marketingtaskteam 1,594 1,864
Sustainability task team 1,649 6,391
TOTAL EXPENSES 17,242 74,853
EXCESS OF EXPENSES OVER REVENUES $ (17,242) $ (61,411)
STATEMENT OF REVENUES & EXPENSES - ACTIVITY FUND FOR THE YEAR ENDED DECEMBER 31, 2013
STATEMENT OF CHANGES IN FINANCIAL POSITION FOR THE YEAR ENDED DECEMBER 31, 2013
CASH PROVIDED (USED) BY: 2013 2012OPERATING ACTIVITIES
Excess(deficiency)ofrevenuesoverexpenses $ 117,841 $ (125,337)
Adjustmentsforitemsnotaffectingcash
Amortization 6,298 4,894
Decrease(increase)inaccountsreceivable 6,985 (5,596)
Decrease(increase)inHSTreceivable (4,962) 5,360
Decrease(increase)inprepaidexpenses 503 (4,864)
Increase(decrease)indeferredrevenue 903 -
Increase(decrease)inaccountspayableandaccruedliabilities (108,713) 125,004
Decrease(increase)inshortterminvestments 434,393 (621,201)
453,248 (621,740)
INVESTING ACTIVITIES
Additionstocapitalassets (412,973) (2,089)
INCREASE (DECREASE) IN CASH 40,275 (623,829)
CASH,beginning of year 96,547 720,376
CASH,end of year $ 136,822 $ 96,547
Cash is comprised of the following:
General fund $ 45,670 $ 11,766
Restricted fund 91,152 84,781
$ 136,822 $ 96,547
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2013
16
1. PURPOSE OF THE ORGANIZATIONTheorganizationwasfoundedonMarch6,1954asafederationoflocalassociationsofChristianfamilyfarmersinOntario.
ItwasincorporatedasacorporationwithoutsharecapitalbyletterspatentundertheOntarioCorporationsActonJune
26,1991.Thecorporationisanon-profitorganizationoperatingtopromoteandapplyChristianideasandprinciplesto
thesolutionofagriculturalproblemsandtoincreasetheknowledgeofmemberswithrespecttotheirresponsibilitiesand
opportunities.
ThecorporationisexemptfrompaymentofincometaxesasprovidedundertheIncomeTaxAct.
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIESThesefinancialstatementshavebeenpreparedinaccordancewithCanadianaccountingstandardsfornot-for-profit
organizationsandincludethefollowingsignificantaccountingpolicies:
(a)CapitalAssets
Capitalassetsarerecordedatcost.Amortizationisprovidedannuallyatratescalculatedtowrite-offtheassetsovertheir
estimatedusefullivesasfollows:
Furniture and equipment - 20% straight line
Computer equipment - 40% straight line
Building - 4% straight line
(b)RevenueRecognition
Theorganizationfollowsthedeferralmethodofaccountingforcontributionsandfees.Farmorganizationfundingfees,
membershipfees,conventionfeesandsponsorfeesarerecognizedasrevenueintheyearthecorrespondingservicesare
provided.Unrestrictedcontributionsandgrantsarerecognizedasrevenuewhenreceivedorreceivableiftheamountto
bereceivedcanbereasonablyestimatedandcollectionisreasonablyassured.
(c)UseofEstimates
Thepreparationoffinancialstatementsinaccordancewithgenerallyacceptedaccountingprinciplesrequiresmanagement
tomakeestimatesandassumptionsthataffectthereportedamountsofassetsandliabilitiesatthedateofthefinancial
statements,andtheamountsofrevenuesandexpensesduringthereportingyear.Actualresultscoulddifferfrom
management’sbestestimates,asadditionalinformationbecomesavailableinthefuture.
(d)ContributedServices
Becausethehoursofservicebyvolunteersarenotnormallypurchasedbytheorganizationandthedifficultyin
determiningtheirfairmarketvalue,contributedservicesarenotrecognizedinthefinancialstatements.
(e)FinancialInstruments
Theorganizationinitiallymeasuresitsfinancialassetsandfinancialliabilitiesatfairvalueadjustedby,inthecaseof
afinancialinstrumentthatwillnotbemeasuredsubsequentlyatfairvalue,theamountoftransactioncostsdirectly
attributabletotheinstrument.
Theorganizationsubsequentlymeasuresallitsfinancialassetsandfinancialliabilitiesatamortizedcost.
COST ACCUMULATED AMORTIZATION
NET 2013
NET 2012
Land $ 98,881 $ - $ 98,881 $ -
Building $ 302,067 $ - $ 302,067 $ -Computer equipment 35,677 32,281 3,396 2,110Furniture & equipment 13,094 5,298 7,796 3,353
$ 449,719 $ 37,579 $ 412,140 $ 5,463
4. COMMITMENTS(a) PaymentsToUnionDesCultivateursFranco-Ontariens
UnderanagreementwiththeMinisterofAgriculture,FoodandRuralAffairs(OMAFRA),effectiveJanuary1,2008,theorganiza-
tionagreestopaytoUnionDesCultivateursFranco-Ontariens(UCFO)1.5%oftheirnetrevenuefromfarmorganizationfund-
ingfeesfromtheprioryear.ThisagreementshallterminateonlyiftheAgriculture,FoodandRuralAffairsTribunalremovesthe
eligibilityoftheUCFOforspecialfunding,allpartiesmutuallyagreetoterminatetheagreement,ortheUCFOhasbeengranted
accreditationbytheTribunal.In2011,thisagreementwasterminatedduetothelossofUCFO’saccreditationstatus.In2012,the
organizationsignedaletterofintentwiththeMinistertorenewtheagreementwiththeUCFOifre-accredited.In2014,UCFOwas
re-accreditedsotheletterofintentwillbeineffect.
(b)AdministrationCostsOfFarmBusinessRegistrationProgram
UnderanagreementwiththeMinisterofAgriculture,FoodandRuralAffairs,theorganizationhasagreedtopayAgricorp$8.90for
eachregistrationtoadministertheFarmBusinessRegistrationProgramin2014.Thisagreementcanbeterminatedbyeitherparty
bygivingpriorwrittennoticenolaterthanMay31ofanycalendaryearthatthenotifyingpartyintendstoterminatetheagree-
ment.
(c)OtherCommitments
Underthetermsofvariousleaseagreementsandothercontracts,theorganizationwillberequiredtomakethefollowingpay-
ments:2014-$52,940;2015-$5,521and2016-$2,760.
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2013 CONTINUED
(e)FinancialInstrumentsContinued
Financialassetsmeasuredatamortizedcostincludecash,GST/HSTrecoverable,accountsreceivableandshort-term
investments.Financialliabilitiesmeasuredatamortizedcostincludeaccountspayableandaccruedliabilities.
Attheendofreportingperiod,theorganizationassesseswhetherthereareanyindicationsthatafinancialassetmaybe
impaired.Whenthereisanindicationofimpairment,thecarryingamountoftheassetisreducedandtheamountofthe
reductionisrecognizedasanimpairmentlossinthestatementofrevenuesandexpenses.
3. CAPITAL ASSETS
18NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2013CONTINUED5. FINANCIAL INSTRUMENTSLiquidity risk
Liquidityriskarisesthroughhavingexcessfinancialobligationsoveravailablefinancialassetsatanypointintime.The
organization’sobjectiveinmanagingliquidityriskistomaintainsufficientreadilyavailablereservesinordertomeetits
liquidityrequirementsatanypointintime.Theorganizationachievesthisbyattemptingtomaintainsufficientcashandcash
equivalents.
6. RESTRICTED ASSETS AND MEMBERS’ EQUITYTheorganizationhasestablishedareservefundforfinancingfuturemajorexpensesorpossibleoperatingdeficits.There-
serve amount has been set at 1% of budgeted membership fees on an annual basis. The reserve fund balance on December
31,2013is$54,198(2012-$44,652).
Theorganizationhasestablishedareservefundforfuturespecialprojectsofthedistrictassociations,stafforboard
members.Thereserveamounthasbeensetat$125,000andwillonlybeusedforspecialprojectsthatareapprovedbythe
board.TheactivityfundbalanceonDecember31,2013is$38,138;(2012-$55,380).
7. CONTINGENCYIn2012alloftheaccreditedgeneralfarmorganizations,includingChristianFarmersFederationofOntario,didnotreceive
athreeyearre-accreditationapprovalfromtheAgriculture,FoodandRuralAffairsAppealTribunal.Insteadtheyreceiveda
threeyearaccreditationapprovalbasedonamodifiedsetofrequirements.However,itispossiblethatin2014,theorgani-
zationmaybereassesseduponthefullsetofrequirementswhenthemodifiedrequirementsexpire.
The following notes (notes 8 to 10) are required by the Farm Registration and Farm Organizations Funding Act, 1993:
8. FARM ORGANIZATION FUNDING FEESDuringtheyeartheorganizationreceivedfarmorganizationfundingfees.Ofthesefarmingbusinesses11.2%requestedand
receivedrefunds(2012-8.15%).Inadditiontothefeesreceivedfrom4,895farmingbusinesses,theorganizationreceived
membershipfeesfrom29non-registeredfarmingbusinessesand272registeredfarmingbusiness(2012-272).
2013 2012
NUMBER AMOUNT NUMBER AMOUNT
Fundingfees-qualifieddistricts(localaffiliates)
4,518 $ 881,010 3,077 $ 600,015
Fundingfees-non-qualifieddistricts(unorganizedregions)
377 73,515 1,279 249,405
4,895 $ 954,525 4,356 $ 849,420
Refunds-qualifieddistricts(localaffiliates)
510 $ 99,450 $ 233 $ 45,435
Refunds-non-qualifieddistricts(unorganizedregions)
37 7,215 121 23,595
547 $ 106,665 354 $ 69,030
9. DISTRICT EXPENSESContributionshavebeenmadetoandexpensesincurredonbehalfof21districtsandtothememberactivitiesinanarea
without a local district.
Section5(4)oftheFarmRegistrationandFarmOrganizationsFundingAct,1993OntarioRegulation723/93requiresthefol-
lowingofthequalifieddistricts(localaffiliates):
(a) hasatleasttenmembers,eachofwhomhaspaidthemembershipfee,carryingonfarmingbusinessesin
the area concerned;
(b) hasalocalaffiliateexecutiveelectedbytheaffiliate’smembers;
(c) hasanannualgeneralmeeting;and
(d) isentitledtosendarepresentativetoanymeetingofthefarmorganizationtowhichrepresentativesoflocal
affiliatesareinvited.
Non-qualifieddistricts(unorganizedregions)fallshortofthesefourcriteriaononewayoranother.
Directcontributionsof$45,396weremadetothefollowingqualifieddistricts(localaffiliates):Chatham-Kent,Dufferin-Wel-
lington,East-Central,Elgin,Grey-Bruce,Huron,Lambton,Middlesex,Niagara,Oxford,Perth,Quinte,RainyRiver,Renfrew-La-
nark,Simcoe,St.Lawrence-OttawaValley,Wellington,Wentworth-Brant,andThunderBay.Thesedistrictshavemetthe
standardsneededtobeconsideredqualifieddistricts.
Directcontributionsof$1,520weremadetonon-qualifieddistricts(unorganizedregions).Thenon-qualifieddistrictsareas
follows:Haldimand-Norfolk,andNorth-Eastern.Thesedistrictsdidnotmeetthestandardsneededtobeconsideredqualified
districts.
Districtexpensesof$273,958wereincurredforthequalifieddistricts(localaffiliates).AsstatedbytheFarmRegistration
andFarmOrganizationsFundingAct,1993OntarioRegulation723/93,Section5(12),theseexpensesmustexceed25%ofthe
membershipfeesrevenuelessapercentageasrequiredbySection5(1)(12)(i)oftheActwhichiscalculatedas$844,712.The
qualifieddistricts(localaffiliates)expensesrepresent32.4%oftheadjustedmembershipfeesrevenue.
10. ACCOUNTING AND AUDITING STANDARDSAsindicatedintheIndependentAuditor’sReport,thesefinancialstatementshavebeenpreparedinaccordance
Canadianaccountingstandardsfornot-for-profitorganizationsandtheauditwasconductedinaccordancewith
Canadiangenerallyacceptedauditingstandards.ThesestandardsareincompliancewiththeCPA(CharteredPro-
fessionalAccountant)CanadaHandbook.
WWW.CHRISTIANFARMERS.ORG
www.facebook.com/CFFOnt@CFFOnt T:519-837-1620
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