An Act to amend the Farm Credit Corporation Act and to make consequential amendments to other Acts (S.C. 2001, c. 22)
Full Document:
Assented to 2001-06-14
An Act to amend the Farm Credit Corporation Act and to make consequential amendments to other Acts
S.C. 2001, c. 22
Assented to 2001-06-14
An Act to amend the Farm Credit Corporation Act and to make consequential amendments to other Acts
SUMMARY
This enactment amends the Farm Credit Corporation Act by
(a) changing the name of the Corporation to Farm Credit Canada and making consequential amendments to other Acts and to regulations;
(b) providing that the primary focus of the Corporation is on farming operations, including family farms;
(c) authorizing the Corporation to provide business services, as well as financial services, and to provide loans and guarantees to businesses related to farming, as well as to farming operations, including family farms;
(d) extending the Corporation’s capabilities in the provision of financial services by means of the incorporation of subsidiaries, lease financing and equity financing, either directly or through arrangements with other persons or bodies;
(e) authorizing the Corporation to enter into agreements for the management of financial risk and to pledge securities or cash or give deposits as security for the performance of its obligations under those agreements; and
(f) making improvements in corporate governance by designating the President of the Corporation as its chief executive officer and by providing for the appointment of an acting Chairperson and an acting President.
Her Majesty, by and with the advice and consent of the Senate and House of Commons of Canada, enacts as follows:
Marginal note:1993, c. 14
FARM CREDIT CORPORATION ACT
1. The long title of the Farm Credit Corporation Act is replaced by the following:
2. Section 1 of the Act is replaced by the following:
Marginal note:Short title
1. This Act may be cited as the Farm Credit Canada Act.
3. (1) The definition “Corporation” in section 2 of the Act is replaced by the following:
“Corporation”
« Société »
“Corporation” means Farm Credit Canada continued by subsection 3(1);
(2) Section 2 of the Act is amended by adding the following in alphabetical order:
“business related to farming”
« entreprise liée à l’agriculture »
“business related to farming” means a business that primarily produces, transports, stores, distributes, supplies, processes or adds value to inputs to or outputs from farming operations;
“subsidiary”
« filiale »
“subsidiary” has the same meaning as in subsection 83(6) of the Financial Administration Act;
4. Subsection 3(1) of the Act is replaced by the following:
Marginal note:Corporation continued
3. (1) The Farm Credit Corporation, established by section 3 of the Farm Credit Act, is continued as a body corporate under the name Farm Credit Canada.
5. (1) Subsection 4(1) of the Act is replaced by the following:
Marginal note:Purpose
4. (1) The purpose of the Corporation is to enhance rural Canada by providing specialized and personalized business and financial services and products to farming operations, including family farms, and to those businesses in rural Canada, including small and medium-sized businesses, that are businesses related to farming. The primary focus of the activities of the Corporation shall be on farming operations, including family farms.
(2) Subparagraph 4(2)(a)(iii) of the Act is replaced by the following:
(iii) to pay costs associated with carrying on a farming operation or a business related to farming,
(3) Subparagraph 4(2)(a)(v) of the Act is replaced by the following:
(v) to acquire, develop or improve real or personal property used or to be used in a business related to farming;
(4) Subsection 4(2) of the Act is amended by adding the following after paragraph (f):
(f.1) provide business services and products that complement those available from the public and private sectors;
(f.2) procure the incorporation, dissolution or amalgamation of subsidiaries and acquire or dispose of any shares in them;
(f.3) provide lease financing for assets used or to be used in a farming operation or a business related to farming;
(f.4) acquire and dispose of short- or medium-term equity interests in farming operations or in businesses related to farming, within parameters that are satisfactory to the Minister of Finance;
(f.41) dispose of farmland acquired by it, provided that the disposal is at fair market value and is done as quickly as possible, and in any case no longer than five years, after the acquisition;
(f.5) provide its business and financial services and products, including loans, guarantees, lease financing and equity investments, directly, through arrangements with other persons or bodies or, in the case of financial services, as a member of a financing syndicate;
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