On March 6, 2025, Order in Council 112/2025 introduced an amendment to The Provincial Lands (Agriculture) Regulations under The Provincial Lands Act, 2016. The amendment introduces several significant changes to agricultural land leasing policies (12/2025) refining the regulations governing rents, lease terms, and other conditions related to agricultural land use. The main purpose of these changes is to update rent calculation methods for grazing lands, adjust soil class designations, and provide the Minister with more discretion over various aspects of the leasing process.

One notable change is in Section 2-2(2), which adds the phrase “, at the option of the minister” after “to be determined,” thereby granting the Minister more flexibility in certain decisions related to land use. Additionally, in Section 3-4, the amendment alters the designation of soil classes, specifically changing the classification from “Class M & N soils – 13%” to “Class L & M soils – 13%,” impacting how land quality is assessed.

In Saskatchewan’s agricultural context, specific soil classes such as Class M, N, and L are tailored to the province’s unique conditions, representing soil types with less ideal qualities for cultivation, such as poor drainage, lower fertility, or high salinity. Class M and N soils are typically deemed unsuitable for intensive crop production and are often used for grazing or low-maintenance crops. Meanwhile, Class L and M soils may be marginally suitable for certain agricultural purposes but generally have more constraints compared to higher-quality soils like Class 1 or Class 2.

Section 3-5 establishes a new formula for calculating annual rent for grazing lands. The formula considers the average price of cattle marketed in Saskatchewan between October 1 and November 30 of the five preceding years, with specific weightings assigned to various cattle categories. The formula also incorporates an “animal unit month rating” that determines the grazing capacity of the land, which is based on assessments from the Saskatchewan Assessment Management Agency or the Minister’s own evaluation. Furthermore, the rent is capped, ensuring that it will not increase by more than 20% from the preceding year, providing greater predictability and stability for lessees.

Section 3-6 introduces a change to the calculation of rent under certain conditions, replacing the phrase “with a use factor of 1.6” with “multiplied by 2,” which adjusts the terms related to land use factors. Additionally, Section 3-10 has been repealed and replaced with a provision that grants the Minister the authority to reduce rent for agricultural leases based on a variety of factors, including climate conditions, economic factors, animal and plant health, and other public interest considerations.

These adjustments reflect the government’s ongoing efforts to adapt land use regulations to better suit current agricultural practices and conditions, offering a more flexible and responsive framework for land leasing in Saskatchewan.

Saskatchewan (12/2025) March 14, 2025
Disclaimer: Insights are for informational purposes only and do not reflect RRI’s official position or constitute legal opinion.