Veterans Land Act

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Veterans Land Act

• Agricultural Studies 1000
• March 26, 2008
• Gina Corraini

2
A Brief History

• The process of granting returning soldiers land
  has been used in various countries for hundreds
  of years with varying amounts of success
• The Solder Settlement Act (1918) of Canada
  preceded the Veterans Land Act.

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Soldier Settlement Program

• Made land settlement available to any member of
  the Allied forces
• Settler charged 5 on any loans granted to him to
  help settle the land
• 25,000 settlers took advantage of this program.
  As of March 31, 1941
• 8,118 (32) remained on their land
• 884 (3.5) sold out
• 13,041 (52) abandoned the program voluntarily or
  by notice
• 2,750 (11) paid off their loans

Hon. Ian A. Mackenzie, Minister of Pensions and
National Health, Canada, House of Commons
Debates, Vol. LXXX, No. 48, April 20, 1942
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Why Did It Fail?

• Land was acquired during an inflated price period
• Land available to ANY member of the allied
  forces, including veterans without any farm
  experience
• Inexperienced farmers were not given adequate
  supervision or guidance.
• Initial interest rates were too high
• Ownership parcels were too small to survive
  downward price spirals in the 1930s
• Poor soil quality

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Veterans Land Act

• Main Goals
• Settle veterans on a farm
• Increase crop production
• Help veterans to establish themselves
  successfully in the farming industry Ian
  Mackenzie, Minister of Pensions and National
  Health

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How Did It Work?

• Private Property (land, buildings, livestock,
  farm equipment) was bought by the federal
  government
• Property then sold to the veteran, however the
  director of the government agency retained the
  title to the land until all payments had been
  made
• If a veteran already owned land, loans were made
  available to purchase livestock, farm equipment
  or to make permanent improvements

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Learning From the Soldier Settlement Program

• Instructors and inspectors were hired to supply
  veterans with information and instruction on
  farming
• Before purchase by the veteran, a maximum price
  that may be paid and a maximum debt that may be
  acquired are set
• Interest set at 3.5
• Veteran made payments of 1/8th of all crops
  grown, if less than 5 bushels to the acre was
  grown no payment was required.
• Soils were tested before lease was granted

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• The most significant improvement may have been
  the provision of an outright grant.
• Kept debt at a manageable level which reduced the
  governments risk
• In contrast to high debt rates for the soldier
  settlement act, less than 1 of VLA settlers
  fell into serious debts
• By the 1960s the average cost of the VLA had been
  1213 per settlement compared with 3234 for the
  Soldier Settlement Act

• Woods, Rehabilitation, 137-40 Debates, 20 April
  1942, 1776 Mackenzie asserted that keeping debt
  manageable was the 'greatest difference' between
  the Land Act and the SSA. Ibid., 1769. See also
  PAWVA, no. 10, 4 April 1941, 313 3 Feb. 1941,
  352 National Archives of Canada (NA), RG 38,
  vol. 405, 'VLA and the Glassco' Veterans Land
  Administration, Office of the Director,
  'Veterans' Land Administration and Glassco
  Commission Recommendations,' 8

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Terms

• A lessee of a homestead less than ¼ section shall
  break and seed at least the following areas in
  each year of the term

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• The lessee shall use only first-class seed that
  is free and clear of all noxious weeds, and shall
  cut, keep down and destroy all noxious weeds
  growing on the premises
• In wooded or brush covered areas, shelterbelts
  and windbreaks shall be preserved
• In areas with no native tree growth, shelterbelts
  and windbreaks shall be planted
• No lessee shall cause or permit
• The doing of any act that may injuriously affect
  watershed capacity
• The creation of any condition which in the
  Ministers opinion will encourage soil erosion

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The Lethbridge Herald, November 17, 1945