Proposed Increase to Bison Compensation Caps

Summary#

This is a proposed change to the Compensation for Destroyed Animals Regulations that would raise the maximum payments the government can give when bison are ordered destroyed because of a reportable disease. The proposal would raise the caps from $4,000 to $10,000 for bulls one year and older, and from $2,500 to $6,000 for other bison. This is a proposal published on July 10, 2021 and not law yet.

What it does#

• Updates the maximum compensation amounts in the Compensation for Destroyed Animals Regulations for two bison categories:
  • “Bison (Bison bison) Bull, 1 year and older” — new maximum $10,000 (was $4,000).
  • “Bison (Bison bison) All bison other than those referred to in item 9” — new maximum $6,000 (was $2,500).
• Bases the change on auction data from 2009–2019, adds an allowance for future price changes, and uses a statistical approach with a 99% confidence interval to set the caps.
• The document is a proposal. Interested people had 75 days from publication (July 10, 2021) to comment. The regulations would come into force when they are registered.

Who's affected#

• Bison owners and producers across Canada.
• The Canadian Bison Association, whose auction data was used in the analysis, and provincial bison associations.
• The Canadian Food Inspection Agency (CFIA), which evaluates animals and pays compensation when animals are ordered destroyed.
• The CFIA says the change should not have a measurable impact on Canadian small businesses.

Why it matters#

• Higher maximums mean owners could recover more of an animal’s value if the government orders destruction during a disease outbreak. That reduces the financial penalty of reporting sick animals.
• The change is intended to encourage early reporting and cooperation, which helps stop outbreaks faster and protects animal and public health.
• The increase reflects that bison market values have risen since 2007, and the CFIA used recent auction data and a 30% adjustment for future price changes when recommending the new caps.