Earlier this year, a random sample of grazing leaseholders received a package in the mail regarding a grazing lease cost survey. Unfortunately, there has been very poor survey response.
As this survey is being done to benefit disposition holders we need some help meeting the numbers necessary to provide significant cost reporting. The cost survey is an industry priority to accurately track the costs of managing a grazing lease in Alberta. It is important to emphasize that the information collected by Serecon will be kept private and confidential.
In 2015, the beef grazing industry groups lobbied the government to change the grazing lease rental rate formula so that it would reflect the true costs of holding a grazing lease.
The result of our collaborative effort was that in 2015 and again in 2022, Alberta Environment and Parks (AEP) has been contracted out to conduct an independent and confidential grazing lease cost survey. Beef industry groups were very involved in developing the questions for the cost survey in 2015 and 2022. This was to ensure the right questions were asked of grazing leaseholders. In turn, the rental rate formula and corresponding rental rates would reflect industry cost of doing business.
Operating costs have changed substantially over the years and it is crucial to have accurate and up-to-date data of leaseholder costs which is then reflected in the rental rate formula. For example, as the number of recreational and industrial users increase, so have the demands and costs on leaseholders to manage and mitigate these uses.
This grazing lease cost survey is important to grazing leaseholders and we strongly encourage leaseholders who have received a survey in the mail to complete the survey. Our efforts to work with AEP to have a rental rate formula based on industry costs will be futile if not enough grazing leaseholders complete and return the survey.
If you received a grazing lease cost survey, we ask that you please complete it. Leaseholders have reported that the online survey is not as torturous to fill out as you might think.
If you have any questions, please don’t hesitate to contact AGLA chairman Kyle Forbes at 403-548-3183.