Proposed amendments to R.R.O. 1990, Regulation 441 (Vegetables for Processing - Plan) and minor consequential amendments to R.R.O. 1990, Regulation 400 (By-Laws for Local Boards) under the Farm Products Marketing Act.
Regulation - Other
Bill or Act:
Farm Products Marketing Act
Summary of Decision:
The amendments to Regulation 441 (Vegetables for Processing - Plan) to update the governance structure of the Ontario Processing Vegetable Growers (OPVG) were filed with the Registrar of Regulations on August 11, 2017.
Responses from the registry posting were used to inform modifications to the originally proposed amendments. The final amending regulation incorporates flexibility with respect to the lifetime service limit, as well as extending the mandatory break in service from three consecutive two year terms to four consecutive two year terms. The amendments also allow for the appointment of an acting chair to serve in the event the appointed chair is unavailable to carry out their duties. The four Commission appointed directors will be active growers of processing vegetables in Ontario.
Originally proposed amendments to Regulation 400 (By-Laws for Local Boards) were not required in order to accomplish the changes to OPVG's governance structure.
The amendments to Regulation 441 became effective on August 11, 2017.
June 15, 2017
Summary of Proposal:
Ontario's processing vegetable sector is an important economic driver for the province. The Ontario Farm Products Marketing Commission (Commission) is continuing its work with the sector to identify changes to promote a prosperous processing vegetable sector going forward.
Amendments to Regulation 441 are being proposed to update the governance structure of the Ontario Processing Vegetable Growers to foster an environment that embraces growth and innovation for the processing vegetable sector. Minor consequential amendments to Regulation 400 with respect to appointment of the chair and dealing with quorum will be needed.
The board would be composed of 8 members, plus an external Commission appointed Chair.
The eight members would be from the three existing District Committees, with four members being from District 1, and two members from each of Districts 2 and 3.
The chair would be appointed by the Commission for an initial term of two years and eligible for reappointment. The term maximum would be ten years in total.
Members would serve two year terms. Staggered terms would be introduced so that half of the members would be elected each year, with the other half elected in the following year. Two year staggered terms provide an opportunity for board renewal, while ensuring continuity and the development of expertise and leadership within board.
For a meeting of the board to take place, a majority of the members and the appointed chair would have to be present.
Matters requiring a vote would be decided by a majority vote of members. The chair will have a tie breaking role only during voting.
Service and Term Limits
To support healthy succession on the board, a lifetime service limit of twelve years would be applied going forward.
To allow regular board renewal, a mandatory break in service would be implemented, requiring members who have served three consecutive two year terms to leave the board for a two year period before being eligible for re-election. Any board member who was elected to the board in all of the three elections prior to the regulation coming into force would be required to take a two year break in service before becoming eligible for re-election.
Instead of only being able to elect members to the District Vegetable Growers' Committees, growers would be able to elect anyone from their district directly to the board through an anonymous election process.
The first board is to be formed during the fall of 2017. The first board would include four elected members, who would hold two-year terms, and four Commission appointed members, who would hold one-year terms. In 2018, the terms of the four appointed members would come to an end and their replacements would be elected for two-year terms, and the four members elected in 2017 would continue their terms for their second year. At the election in 2018, all board positions, with the exception of the appointed chair, would be transitioned to elected positions.
The Commission is proposing to have amendments in place prior to the formation of the board in the fall of 2017.
Attached is a table that compares the current governance structure with the proposed amendments.
Amendments to Regulation 441 are made by the Commission with the Minister's approval. Regulation 400 is a Commission regulation, which the Commission has the authority to amend.
Ontario Farm Products Marketing Commission
1 Stone Rd W, Guelph, N1G 4Y2
August 11, 2017