O’CONNOR PLEASED WITH GOVERNMENT ANNOUCMENT OF $50 MILLION IN SPRING FLOOD ASSISTANCE FUNDING FOR FARMERS

July 25, 2006

Cover Crop Protection Program – what producers need to know

Kanata – Agriculture and Agri-Food Canada (AAFC) is providing a one-time $15 per acre payment to farmers affected by spring flooding in 2005 and/or 2006. $50 million in funding has been committed and payments will be made available through AAFC's new Cover Crop Protection Program (CCP) which will help farmers restore and protect flood-damaged soil and improve cash flow in the short term for those affected by excessive moisture and spring flooding.

“It is a short term fix to help farmers immediately, but this money is only the beginning,” said O’Connor. "Farmers need long-term solutions to deal with flooding and this new program is a step in that direction."
Budget 2006 provides an increase of $1.5 billion in commitments for the farm sector in the current fiscal year. The initiatives announced in the Budget include investments in future opportunities in the sector through investment in biomass science, support for a bio-fuels strategy, and new opportunities for agriculture through value-added products.

Farmers can receive a one-time payment of $15 per acre for flooded land. All farm operations across Canada affected by spring flooding in the 2005 and/or 2006 crop year are eligible to apply. The application deadline is August 31, 2006 and payments are expected to flow to affected producers in the fall. CCP program application forms will be directly mailed to Production Insurance clients who made claims as the result of flooding losses in 2005 and/or 2006. Application forms are also available upon request by calling 1-800-667-8567.

For further information:  Gordon O’Connor’s, P.C., M.P., Parliament Hill Office 992-1119