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Statutory Instruments of the Scottish Parliament
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The Scottish Ministers, in exercise of the powers conferred by section 2(2) of the European Communities Act 1972[1] and of all other powers enabling them in that behalf, hereby make the following Regulations: Citation, commencement and extent 1. - (1) These Regulations may be cited as the Agricultural Business Development Scheme (Scotland) Regulations 2000 and shall come into force on 29th January 2001. (2) These Regulations shall extend to Scotland only. Interpretation 2. - (1) In these Regulations-
(b) Council Regulation (EC) No 1260/1999 of 21st June 1999 laying down general provisions on the Structural Funds[4]; and (c) Commission Regulation (EC) No 1750/1999 of 23rd July 1999 laying down detailed rules for the application of Council Regulation (EC) No 1257/1999 on support for rural development from the European Agricultural Guidance and Guarantee Fund (EAGGF)[5];
(ii) a person authorised to act on behalf of such legal occupier; and
(b) in relation to a measure specified in Part II or III of the Schedule, any member of the immediate family of such legal occupier who resides on or adjacent to the agricultural unit and is acting with such legal occupier's consent;
(b) which is, in the opinion of the Scottish Ministers, inherently suitable for extensive livestock production but not for the production of crops in quantity materially greater than that necessary to feed such livestock as are capable of being maintained on such land, and whose agricultural production is, in the opinion of the Scottish Ministers, restricted in its range by, or any combination of, soil, relief, aspect or climate;
(b) the area of the Highland Council; (c) the area of the Orkney Islands Council; (d) the area of the Shetland Islands Council; (e) the area of the Western Isles Council; (f) in the area of the North Ayrshire Council, the islands of Arran, Great Cumbrae and Little Cumbrae; and (g) in the area of the Moray Council, the Parishes of Aberlour, Cabrach, Dallas, Dyke, Edinkillie, Forres, Inveravon, Kinloss, Kirkmichael, Knockando, Mortlach, Rafford and Rothes;
(2) A reference in these Regulations to anything done in writing or produced in written form includes a reference to an electronic communication, as defined in the Electronic Communications Act 2000[9], which has been recorded and is consequently capable of being reproduced.
(b) diversification of farm incomes by creating new or improving existing agricultural activities; (c) diversification outwith agricultural activities to provide alternative sources of income; or (d) improvement of co-operation and collaboration by encouraging collaborative ventures.
Business Plans
(b) the current viability of the eligible business and proposals for enhancing its current viability; and (c) the skills and training requirements for the eligible business.
(3) The Scottish Ministers may approve a business plan submitted in accordance with this regulation.
(b) in any other case, at a fixed amount of £100.
Applications
(b) confirmation that the measure is located within the scheme area; (c) a description of the measure proposed; (d) a business plan approved under regulation 4, if such a plan was required by the Scottish Ministers under regulation 4; (e) a statement that the measure could not proceed without financial assistance under the scheme; (f) sufficient information to show that the measure is likely to meet at least one of the objectives specified in regulation 3; and (g) confirmation that public funding towards the cost of the measure has not been sought otherwise than under these Regulations and that it is not intended to seek such funding.
(3) The applicant shall furnish to the Scottish Ministers such further information and evidence in relation to the application as the Scottish Ministers reasonably may require in order to allow proper consideration of the application.
(b) cause such approval to be given, and any payments by way of financial assistance to be made, subject to such conditions as they may impose; or (c) at any time on giving reasonable notice vary the approval or amend such conditions attached to the approval.
(2) The Scottish Ministers shall in writing-
(b) notify the applicant whose application has been approved under this regulation of any conditions, relating to such approval, which they have imposed or amended under paragraph (1) above.
(3) The Scottish Ministers shall not approve an application for financial assistance in relation to a measure unless they are satisfied that-
(b) completion of the measure is likely to meet at least one of the objectives of the scheme specified in regulation 3; (c) the application relates to one or more of the measures set out in the Schedule; (d) in relation to applications for measures in Parts I and II of the Schedule-
(ii) the eligible business complies with the minimum standards regarding the environment, hygiene and animal welfare; and (iii) the eligible person possesses adequate agricultural skill and competence;
(e) other public funding towards the cost of the measure has not been or will not be sought in respect of the measure, other than under these Regulations; and
(4) Before approving an application (in whole or in part), the Scottish Ministers may consult such persons as they consider appropriate.
(b) in the case of an eligible business located wholly outwith a less-favoured area, be up to 40% of eligible expenditure; or (c) in the case of an eligible business partly located within and partly located outwith a less-favoured area, be at the rate of up to 40% or up to 50% as the Scottish Ministers may determine as they think fit.
(3) Subject to paragraphs (4) and (6) below, the amount of financial assistance payable in respect of any measure in Part III of the Schedule shall be up to 50% of eligible expenditure.
(b) the total amount of financial assistance payable in respect of each eligible business (whether in consequence of the application made in relation to the collaborative venture or in consequence of any other application made in relation to such eligible business) shall not exceed £40,000.
Claims for financial assistance
(b) documentary evidence that the approved measure has been carried out in accordance with the application approved by the Scottish Ministers.
Payment of assistance
(ii) provide the Scottish Ministers with such additional information in relation to the approved measure or the financial assistance paid in pursuance of that measure as they may require.
(2) If the eligible person transfers the original of any such document to another person in the normal course of business, the duty under paragraph (1) above shall be treated as having been fulfilled if there is kept a copy of that document for the said period.
(b) which an authorised person has reasonable grounds to believe may be a place in which documents or other information which may require to be produced under these Regulations, are kept.
(2) The purposes referred to in paragraph (1) above are-
(b) ascertaining whether any financial assistance is payable or recoverable under these Regulations, or the amount that is payable or recoverable; and (c) ascertaining whether an offence under these Regulations has been or is being committed.
(3) An authorised person who has entered any land under paragraph (1) above-
(b) may require the eligible person or any employee, servant or agent of the eligible person to produce, or secure the production of, any document or supply any additional information in the possession or under the control of that eligible person relating to the financial assistance or the measure; (c) where any document or other record relating to the financial assistance or the measure is kept by means of a computer, shall be afforded access to any computer and any associated apparatus or material which is or has been used in connection with that document or record; (d) may require copies of or extracts from any such documents or other record to be produced and may retain them and take them away; (e) may remove and retain for a reasonable period any document or other record which that person reasonably believes may be required as evidence in any proceedings and, if it is recorded otherwise than in legible form, require it to be produced in a form in which it is legible or in which it can be taken away.
(4) An eligible person or any employee, servant or agent of the eligible person shall give an authorised person all reasonable assistance in relation to the matters mentioned in paragraphs (1) and (3) above.
(b) there were reasonable grounds for doing it; and (c) it was done with reasonable skill and care.
(7) Paragraph (1) above shall apply to any land used for the purposes of a dwelling house only where reasonable notice of its intended exercise has been given to all residents of that dwelling-house.
(b) any measure, in respect of which approval was given or financial assistance has been paid, has not been carried out in accordance with the application approved by the Scottish Ministers, or has been or is being unreasonably delayed or is unlikely to be completed; (c) the carrying out of the measure, in respect of which such financial assistance is claimed, is contrary to the purposes served by assistance previously given out of money provided by the United Kingdom Parliament, the Scottish Parliament or the European Community; (d) the carrying out of the measure, in respect of which such financial assistance is claimed, has been effected in a way which has destroyed or damaged the natural heritage of the countryside to an extent which cannot be justified by the purpose for which financial assistance is claimed; (e) public funding in respect of expenditure towards which such financial assistance is claimed has been or may be given otherwise than under these Regulations; (f) the expenditure towards which such financial assistance is claimed is excessive, having regard to the measure carried out and to which the claim relates; (g) the eligible person has-
(ii) failed to comply with a requirement imposed under regulation 11(3)(b);
(h) information was given by the eligible person on any matter relevant to the giving of the approval or the making of the payment which was false or misleading in a material respect;
the Scottish Ministers may revoke the approval, in whole or in part, or may reduce or withhold any financial assistance under these Regulations and, where any such financial assistance has been paid, may recover on demand and as a debt an amount equal to the financial assistance which has been so paid or such part thereof as they may determine.
(b) give that person an opportunity to make representations about the action proposed to be taken by them within such time and in such form as they think fit; and (c) consider any such representations.
Interest 1. Provision or upgrading of-
(b) storage sheds; (c) provision or improvement of systems for storage and disposal of agricultural waste, where a full waste management plan is agreed and implemented; (d) electricity supplies; (e) water supplies; (f) fanks and dippers; (g) stock handling facilities for cattle; (h) hard standings for livestock; (i) information technology to improve agricultural business effectiveness.
2.
Training required in order to maximise the benefits of any of the measures listed in paragraph 1 above. 1. Provision, alteration, enlargement or reconditioning of permanent buildings, including adaptation or improvement of redundant farm buildings and related structures for activities related to diversification within agriculture. 2. Alternative agricultural production. 3. New and innovative uses of land. 4. Feasibility studies, market research, the obtaining of business advice and marketing in relation to the measures listed in paragraphs 1 to 3 above. 5. Training required in order to maximise the benefits of any of the measures listed in paragraphs 1 to 3 above. 1. Provision, alteration, enlargement or reconditioning of permanent buildings, including adaptation or improvement of redundant farm buildings and related structures for other economic activities, but not for sale. 2. Conversion of redundant buildings into housing for rent. 3. New and innovative uses of land. 4. Provision of rural services. 5. Feasibility studies, market research, the obtaining of business advice and marketing in relation to the measures listed in paragraphs 1 to 4 above. 6. Training required in order to maximise the benefits of any of the measures listed in paragraph 1 to 4 above. EXPLANATORY NOTE (This note is not part of the Regulations) These Regulations introduce measures to supplement- 1. Council Regulation (EC) No 1257/1999 of 17th May 1999 on support for rural development from the European Agricultural Guidance and Guarantee Fund (EAGGF) and amending and repealing certain Regulations (O.J. No. L 160, 26.6.99, p.80); 2. Council Regulation (EC) No 1260/1999 of 21st June 1999 laying down general provisions on the Structural Funds (O.J. No. L 161, 26.6.99, p.1); and 3. Commission Regulation (EC) No 1750/1999 of 23rd July 1999 laying down detailed rules for the application of Council Regulation (EC) No 1257/1999 on support for rural development from the European Agricultural Guidance and Guarantee Fund (EAGGF) (O.J. No. L 214. 13.8.99, p.31). The Community legislation referred to above provides for payment of assistance from the Guidance Section of the European Agricultural Guidance and Guarantee Fund for measures which promote rural development falling within the scope of Council Regulation 1257/1999. Measures relating to Objective 1 areas (which include the Highlands and Islands for transitional support under Objective 1) are subject to the provisions of Council Regulation 1260/1999. These Regulations set up the Agricultural Business Development Scheme and enable the payment of financial assistance under the Single Programming Document for the Highlands and Islands Special Transitional Programme which, in accordance with Council Regulation 1260/1999, was approved by the European Commission on 8th August 2000. Financial assistance under the Regulations can be provided for measures which are listed in Parts I, II and III of the Schedule. These measures relate to re-structuring of agricultural businesses or re-orientation of their production, diversification of farm incomes by creating new or improving existing agricultural activities and diversification outwith agricultural activities to provide alternative sources of income. Any of these measures can also be undertaken as collaborative ventures. The Scottish Ministers may require an eligible person who wishes to benefit from financial assistance to prepare a business plan for the agricultural business for their approval (regulation 4). The Regulations provide for the procedure for applications for financial assistance; applications, containing certain specified information, must be submitted to the Scottish Ministers. Applications can be made at any time. The Scottish Ministers may, however, suspend receipt of applications. Such a suspension will, however, not affect the operation of the scheme in any other respect and applications received prior to the suspension will continue to be considered. Eligible persons can submit more than one application for assistance under the Scheme. Applications can be made for collaborative ventures involving three or more eligible businesses (regulation 5). The Regulations also-
(b) provide for the levels of financial assistance available including the maximum limits of financial assistance payable (regulation 7); (c) provide for how financial assistance may be claimed and what evidence may be required in support of a claim (regulation 8); (d) provide for the Scottish Ministers to determine the manner and timing of payment of the approved financial assistance (regulation 9); (e) provide for retention of information and records (regulation 10); (f) confer powers of entry and inspection for authorised persons to enforce the Regulations (regulation 11); (g) make provision for the revocation of approval and the withholding or recovery of financial assistance (regulation 12); (h) make provision for payment of interest on financial assistance recovered under regulation 12 (regulation 13); and (i) create offences of knowingly or recklessly making a false statement to obtain financial assistance or of obstructing authorised persons acting under the Regulations (regulations 14 and 15).
These Regulations also revoke, subject to a saving provision, the Highlands and Islands Agricultural Programme Regulations 1994 (S.I. 1994/3096) and the Highlands and Islands Agricultural Programme Amendment Regulations 1999 (S.I. 1999/647). [3] O.J. No. L 160, 26.6.99, p.80.back [4] O.J. No. L 161, 26.6.99, p.1.back [5] O.J. No. L 214, 13.8.99, p.31.back [7] O.J. No. L 82, 26.3.84, p.67, as amended by Commission Decision 91/25/EEC altering the limits of the less favoured areas in the United Kingdom within the meaning of Council Directive 75/268/EEC (O.J. No. L 16, 22.1.91, p.25).back [8] 1911 c.49; section 2 was extended by the Small Landholders and Agricultural Holdings Act 1931 (c.44), section 14 and both sections 2 and 32 were restricted by the Crofters (Scotland) Act 1955 (c.21), Schedule 6, Part I.back [11] S.I. 1994/3096, amended by S.I. 1999/647.back
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| © Crown copyright 2000 | Prepared 18 January 2001 |