Other tests require off leash work. If they are that worried about liability that they diluting to a very high level what farm dogs really do, what is the point? Besides making a suburban dog owner feel special because they passed a farm dog test that is fairly basic obedience?
Reminds me of a local horse show I went to that had a “saddleseat” class where all the entries were kids on hunter ponies (with their heads down), in hunter tack, wearing hunter clothes.