REGINA — Saskatchewan’s auditor says the Farm Land Security Board requires more active regulation and enforcement to identify and deal with potential foreign buyers.
The auditor, Tara Clemett, noted that about 40,000 farmland transactions occur every year in the province.
“Since 2020, the board issued five orders to sell farmland inappropriately purchased by foreign entities, but there may be more instances of farmland purchased or leased by foreign entities and not addressed by the board,” said the auditor’s office.
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The auditor tested 18 purchases made by corporations that weren’t registered in Saskatchewan and found the board didn’t ask for statutory ownership declarations in nine of those cases.
Consistently requesting those declarations from higher-risk buyers would help the board determine whether foreigners are acquiring land and then be able to enforce the legislation, the auditor said.
The auditor also found the board doesn’t have escalation procedures so that staff can take further action, such as fines or penalties. The audit found eight cases of the board asking for but not receiving statutory declarations.
Clemett said the board still can’t conclude if the eight transactions comply with the law, even though it’s been years after the sales occurred, because it doesn’t have enough information.
The higher-risk transactions between Aug. 1, 2023, and July 24, 2024, that the auditor examined found all were in compliance.
Under Saskatchewan land titles legislation, transactions can occur regardless of residency status. The auditor noted this means the board and staff are reviewing sales after they’ve happened and recommended there should be a time frame to get that done.
Saskatchewan’s laws allow Canadian citizens and permanent residents, as well as corporations that are 100 per cent Canadian owned, to own land. The corporations can’t be publicly traded.
Non-Canadians can only own 10 acres but may apply for exemptions.
Contact karen.briere@producer.com
