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Statutory Instruments of the Scottish Parliament


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SCOTTISH STATUTORY INSTRUMENTS


2003 No. 129

AGRICULTURE

The Less Favoured Area Support Scheme (Scotland) Regulations 2003

  Made 3rd March 2003 
  Laid before the Scottish Parliament 4th March 2003 
  Coming into force 25th March 2003 


ARRANGEMENT OF REGULATIONS

1. Citation, commencement and application
2. Interpretation
3. Applications for payment of less favoured area support
4. Eligibility for payment of less favoured area support
5. Payment of less favoured area support
6. Eligible land
7. Transfer of a holding
8. Amount of less favoured area support
9. Determination of Payable Area
10. Stocking density outwith maximum and minimum parameters
11. Enterprise mix
12. Rate of Payment of Less Favoured Area Support
13. Transitional payments
14. Minimum payments
15. Powers of authorised persons
16. Assistance to authorised persons
17. Withholding or recovery of less favoured area support
18. Rate of interest
19. Cross-border holdings
20. Offences
21. Penalties
22. Time limit for prosecutions
23. Offences by bodies corporate
24. Appeal against decision to withhold or recover payment of less favoured area support
25. Appeal against decision as to eligibility of holding
26. Review
27. Amendment of the Agricultural Subsidies (Appeals) (Scotland) Regulations 2000
28. Revocation and savings provisions

  Schedule 1: Livestock Units and Stocking Density

  Schedule 2: Usual Good Farming Practices

  Schedule 3: Grazing Category: Hectare Values

  Schedule 4: Enterprise mix

  Schedule 5: Rates of payment for less favoured area support

  Schedule 6: Fragility categories

  Schedule 7: Agency and cross-border holdings

The Scottish Ministers in exercise of the powers conferred by section 2(2) of the European Communities Act 1972[
1] and of all powers enabling them in that behalf, hereby make the following Regulations:

Citation, commencement and application
     1.  - (1) These Regulations may be cited as the Less Favoured Area Support Scheme (Scotland) Regulations 2003 and shall come into force on 25th March 2003.

    (2) These Regulations apply to holdings in respect of which the Scottish Ministers are the competent authority, in accordance with the Integrated Administration and Control System Regulations 1993[
2].

Interpretation
     2.  - (1) In these Regulations, unless the context otherwise requires-

which the Scottish Ministers determine are to be taken into account from time to time;

    (2) Any reference in these Regulations to a Community instrument is a reference to that instrument as amended on the date on which these Regulations are made.

    (3) For the purposes of the saving provision at article 53.1 of Commission Regulation 2419/2001, references to articles of that Regulation shall so far as necessary be treated as references to the equivalent provision in Commission Regulation 3887/1992 laying down detailed rules for applying the integrated administration and control system for certain Community aid schemes[17].

    (4) Unless the context otherwise requires, any reference in these Regulations to a numbered regulation or paragraph or to a Schedule is a reference to the regulation or paragraph of the regulation or the Schedule so numbered in these Regulations.

    (5) Any 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[18], which has been recorded and is consequently capable of being reproduced.

Applications for payment of less favoured area support
     3.  - (1) An application for less favoured area support shall be in such form and shall contain such particulars relating to that application as the Scottish Ministers may reasonably require.

    (2) An applicant shall submit the application for less favoured area support in respect of the Scheme Year in question to the Scottish Ministers on or before a date each year which the Scottish Ministers will determine from time to time.

    (3) Subject to paragraph (4), if an applicant submits an application for less favoured area support in respect of the relevant Scheme Year later than the date determined by the Scottish Ministers, the Scottish Ministers must reduce, or as the case may be exclude the applicant from, payment of less favoured area support in accordance with Article 13 of Commission Regulation 2419/2001.

    (4) Paragraph (3) shall not apply to an applicant who has not previously claimed any subsidy dependent upon an area aid application, who submits a claim form in accordance with regulation 6(1)(b).

Eligibility for payment of less favoured area support
    
4.  - (1) Payment of less favoured area support may be made to an applicant in respect of a Scheme Year only if-

    (2) Paragraph (1)(a) does not apply to an applicant who is in receipt of a retirement pension at the time when that undertaking requires (or was required) to be given.

    (3) An applicant is released from the undertaking referred to in paragraph (1)(a)-

Payment of less favoured area support
    
5. The Scottish Ministers may pay, on such occasions as they consider fit, in respect of the Scheme Year in question to an applicant less favoured area support for carrying out eligible agricultural activity on eligible land which is not less than 3 hectares.

Eligible land
    
6.  - (1) Eligible land comprises the number of hectares of forage area in a less favoured area-

    (2) Eligible land includes land in respect of which the applicant has a right of use pursuant to arrangements such as short term lets, seasonal grazing and common grazing.

    (3) If an application made in accordance with regulation 3 relates in part to land upon which an activity is carried out which is not an eligible agricultural activity for the purposes of these Regulations, the Scottish Ministers shall determine the area of land which is to be attributed to the eligible agricultural activity.

Transfer of a holding
    
7.  - (1) In determining eligible land under regulation 6(1), the decision of the Scottish Ministers shall be in accordance with Article 50 of Commission Regulation 2419/2001 as appropriate.

    (2) For the purpose of paragraph 6 of Article 50 of Commission Regulation 2419/2001, the Scottish Ministers shall grant less favoured area support to the transferor of a holding, if the transferor-

Amount of less favoured area support
    
8. Subject to regulations 13 (transitional payments) and 14 (minimum payments), the amount of less favoured area support shall be calculated in accordance with the following formula:-

LFAS=P × R
Where

Determination of Payable Area
    
9.  - (1) Subject to regulation 10, the payable area shall be the total of the areas of eligible land of the applicant, adjusted in accordance with the following formula:-

P=E × V
Where

    (2) For the purpose of paragraph (1) the hectare value shall be the entry in the third column of Schedule 3 corresponding to the grazing category in the second column of that Schedule.

    (3) For the purposes of paragraph (2) the grazing category of the land of the applicant shall be the entry in the second column of Schedule 3 corresponding to the stocking density in the first column of that Schedule, and the stocking density for that land shall be calculated in accordance with paragraphs (4) to (12).

    (4) Subject to paragraph (12), the stocking density for each field which is not a shared grazing shall be calculated according to the following formula:-

L ÷ H
Where

    (5) Subject to paragraph (12), the stocking density for a shared grazing shall be calculated according to the provisions of paragraphs (6) to (8).

    (6) The stocking density for a shared grazing shall be calculated according to the following formula:-

S=N ÷ H
Where

    (7) For the purposes of paragraph (6), the total number of livestock units is the aggregate of the numbers of livestock units for each producer using the grazing, calculated in accordance with the following formula:-

U=A × D
Where

    (8) For the purposes of paragraph (7), the overall stocking density for each producer shall be calculated according to the following formula:-

D=Y÷(A + B)
Where

    (9) Subject to paragraphs (10) and (11), the number of eligible livestock units shall be calculated using-

    (10) Where the applicant believes that the stocking density calculated for that applicant in accordance with paragraphs (4) or (5) to (8) based on eligible agricultural activity in calendar year 2001 was unrepresentatively low due to any sufficient reason established to the satisfaction of the Scottish Ministers, which may include the following:-

    (11) Where the Scottish Ministers have been requested to determine a number of livestock units under paragraph (10), they shall fix the number of livestock units to be used in the formulae in paragraphs (4) or (6) to (8).

    (12) Where the Scottish Ministers are unable to calculate the stocking density for any part of the eligible land of the applicant using the formulae in paragraphs (4) or (6) to (8) because they have not been provided with sufficient information by the applicant to enable them to use the formulae in paragraphs (4) or (6) to (8), the Scottish Ministers shall, by a decision, fix a stocking density figure for that part of the land of the applicant.

Stocking density outwith maximum and minimum parameters
    
10.  - (1) The following provisions of this regulation shall apply for the purposes of the Scheme 2003 payment where the stocking density calculated in accordance with regulation 9(9) and Parts I and II of Schedule 1 based on eligible agricultural activity undertaken in calendar year 2002 is either less than the minimum stocking density or greater than the maximum stocking density:-

    (2) Where the stocking density calculated in accordance with regulation 9(9) and Parts I and II of Schedule 1 based on eligible agricultural activity undertaken in calendar year 2002 is less than the minimum stocking density, the Payable Area shall be the number of hectares calculated in accordance with the following formula:-

P1=K÷M
Where

    (3) Where the stocking density calculated in accordance with regulation 9(9) and Parts I and II of Schedule 1 based on eligible agricultural activity undertaken in calendar year 2002 is greater than the maximum stocking density, the Payable Area shall be the number of hectares calculated in accordance with the following formula:-

P2=F×Q÷(J ÷ F)
Where

    (4) Where an applicant fails to achieve the minimum stocking density as a result of not being able to re-stock following slaughter of livestock under the Animal Health Act 1981[19] or in consequence of the service of a notice or an order being in place under the Foot-and-Mouth Disease Order 1983[20], the Scottish Ministers may, by a decision, determine the total number of livestock units to be used for the purpose of the calculation at paragraph (2).

Enterprise mix
     11.  - (1) Where the applicant maintains at least 10% of the total eligible livestock units of the applicant based on eligible agricultural activity undertaken in 2002 as cattle, the Payable Area calculated in accordance with regulation 9 or 10 shall be adjusted in accordance with this regulation according to the following formula:-

P3=P4×Z
Where

    (2) Where an applicant fails to achieve the necessary cattle livestock units for the purposes of this regulation as a result of not being able to re-stock following slaughter of livestock under the Animal Health Act 1981 in consequence of the service of a notice or an order being in place under the Foot-and-Mouth Disease Order 1983, the Scottish Ministers may, by a decision, determine the total number of cattle livestock units to be used for the purposes of this regulation.

Rate of Payment of Less Favoured Area Support
    
12.  - (1) For the purposes of regulation 8, the rate of payment of less favoured area support shall be determined in accordance with this Regulation.

    (2) The rate of payment shall be the rate per hectare of the Payable Area set out in the entry in the second column of Schedule 5 corresponding to the category in the first column of that Schedule applicable to the applicant in terms of paragraph (3).

    (3) For the purposes of paragraph (2), the category applicable to the applicant shall be determined according to the category of the parish in which the main farm of the applicant lies.

    (4) For the purposes of paragraphs (2) and (3), the category of each parish shall be that set out in Schedule 6 to this Order.

    (5) The main farm of the applicant shall be the farm identified as the main farm in the application for less favoured area support submitted by the applicant in accordance with Regulation 3.

Transitional payments
    
13.  - (1) Subject to paragraph (6) this regulation applies to an applicant under these Regulations who was eligible for and was granted a payment under the 1999 Regulations.

    (2) In respect of the Scheme 2003 payment, the amount of less favoured area support paid by the Scottish Ministers under these Regulations shall be not less than a sum equal to 50% of the 1999 Regulation payment.

    (3) Where the forage area of the holding is reduced, in any of calendar years 2000, 2001 or 2002, by more than 25%, when compared with the forage area declared by the applicant in 1999 for the purpose of the 1999 Regulation payment, the Scottish Ministers shall, in respect of the Scheme 2003 payment, by a decision, fix the 1999 Regulation payment used for the purposes of calculating the minimum payment under paragraph (2), by reducing the 1999 Regulation payment received by the applicant by 1/75th for each percentage point above 25% that the forage area has been reduced.

    (4) In respect of the Scheme 2003 payment, where an applicant has, as at 31st December 2002, permanently increased the amount of eligible land since the date on which the 1999 Regulation payment was made and paragraph (3) does not apply to the applicant, the Scottish Ministers shall, if requested by the applicant, by a decision, fix the 1999 Regulation payment which shall be used for the purposes calculating the payment under paragraph (2):

Provided that-

and in doing so shall have regard to the sum which would have been payable under the 1999 Regulations had that person-

    (5) In respect of the Scheme 2003 payment, where the applicant applies to the Scottish Ministers, and demonstrates that the number of livestock claimed by the applicant under the 1999 Regulations was unrepresentatively low due to any sufficient reason, which reason must be established to the satisfaction of the Scottish Ministers, the Scottish Ministers may, by a decision, fix the 1999 Regulation payment which shall be used for the purposes of calculating the payment under paragraph (2).

    (6) In respect of the Scheme 2003 payment, where an applicant-

the Scottish Ministers may, on the application of the applicant, by a decision, fix the 1999 Regulation payment which shall be used for the purposes of calculating the payment under paragraph (2).

    (7) This regulation is subject to regulation 14.

Minimum Payments
    
14. In respect of the Scheme 2003 payment, the amount of less favoured area support paid by the Scottish Ministers under these Regulations shall be not less than £350.

Powers of authorised persons
    
15.  - (1) An authorised person may, at all reasonable hours and on producing if so required a duly authenticated document showing the authority of that person, exercise the powers specified in this regulation for the purposes of-

and in doing so may be accompanied by a person assigned to assist the authorised person, for those purposes.

    (2) An authorised person may enter any land or premises (other than dwelling houses not being used in connection with these Regulations).

    (3) An authorised person who has entered any land or premises by virtue of this regulation may-

    (4) An authorised person may require, where any computer and any associated apparatus or material which is or has been used in connection with any such records mentioned in paragraph (3)(c), wherever situated, records which are kept by means of such computer or associated apparatus or material to be produced in a visible and legible form in which they may be taken away.

Assistance to authorised persons
    
16. An applicant, any employee or agent of an applicant or any person having charge of animals on the land shall give to an authorised person such assistance as the authorised person may reasonably request so as to enable that person to exercise any power conferred by regulation 15.

Withholding or recovery of less favoured area support
    
17. The Scottish Ministers may withhold or recover the whole or any part of any payment of less favoured area support payable or paid to an applicant in any of the following circumstances:-

Rate of interest
    
18. Where the Scottish Ministers intend to recover on demand the whole or any part of a payment of less favoured area support pursuant to regulation 17, unless the sum recovered is paid as a result of their own error, interest shall be charged thereon at the rate of one percentage point above the sterling three month London Interbank Offered Rate on a day-to-day basis for the period from payment to recovery.

Cross-border holdings
    
19. Schedule 7 applies to cross-border holdings.

Offences
    
20.  - (1) Any person who, for the purposes of obtaining for the benefit of that or any other person part of, or the whole of, a payment of less favoured area support under these Regulations, knowingly or recklessly makes a statement which is false in any material particular, shall be guilty of an offence.

    (2) Any person who intentionally obstructs an authorised person (or a person assisting that authorised person in accordance with regulation 15) in the exercise of the powers conferred by regulation 15 shall be guilty of an offence.

    (3) Any person who without reasonable excuse fails to comply with a requirement made under regulation 15 shall be guilty of an offence.

Penalties
    
21.  - (1) A person guilty of an offence under regulation 20(1) or (2) shall be liable on summary conviction to a fine not exceeding level 3 on the standard scale.

    (2) A person guilty of an offence under regulation 20(3) shall be liable on summary conviction to a fine not exceeding level 5 on the standard scale.

Time limit for prosecutions
    
22.  - (1) Summary proceedings for an offence under regulation 20 may be commenced within the period of 12 months from the date on which the offence was committed.

    (2) Subsection (3) of section 136 of the Criminal Procedure (Scotland) Act 1995[
21] (date of commencement of proceedings) applies for the purposes of this regulation as it does for the purposes of that section.

Offences by bodies corporate
     23.  - (1) Where an offence under these Regulations committed by a body corporate or a partnership is proved to have been committed with the consent or connivance of, or to have been attributable to any neglect on the part of, any director, manager, secretary or other similar officer of the body corporate, or a person who was purporting to act in any such capacity (or, in the case of a partnership, partner or a person who was purporting to act as such), that person as well as the body corporate or the partnership, as the case may be, shall be guilty of that offence and shall be liable to be proceeded against and punished accordingly.

    (2) Where the affairs of a body corporate are managed by its members, paragraph (1) shall apply in relation to the acts or defaults of a member in connection with the functions of management of that member as if that member were a director of the body corporate.

Appeal against decision to withhold or recover payment of less favoured area support
    
24.  - (1) Where the Scottish Ministers withhold or recover the whole or any part of any grant under regulation 17, the applicant may apply for a review of the decision by the Scottish Ministers.

    (2) The review referred to in paragraph (1) must be applied for in accordance with the provisions of the Agricultural Subsidies (Appeals) (Scotland) Regulations 2000[
22].

Appeal against decision as to eligibility of holding
     25.  - (1) An applicant may apply to the Hill Farming Advisory Committee ("the Committee") for a review of the decision of the Scottish Ministers of the eligibility of the holding under regulation 6(1).

    (2) The applicant must apply to the Committee for review within 60 days of the date of the decision of the Scottish Ministers.

    (3) The application for review must be in writing and accompanied by such information as the Committee considers necessary.

    (4) The Committee shall determine the review of the decision and notify its determination to the Scottish Ministers and the applicant within 10 days of reaching that determination.

    (5) Subject to regulation 26, the determination of the Committee shall be binding on the Scottish Ministers.

Review
    
26.  - (1) An applicant may apply to the Scottish Ministers in writing for review of the determination referred to in regulation 25(4).

    (2) The applicant must apply to the Scottish Ministers for review within 60 days of the date of the determination referred to in regulation 25(4).

    (3) The review referred to in paragraph (1) shall be undertaken by a person appointed by the Chairman of the Scottish Branch of the Royal Institution of Chartered Surveyors.

    (4) The person appointed for the purpose of this regulation shall review the said determination and may-

    (5) The person appointed shall review the said determination and shall make a decision confirming or refusing that determination.

    (6) The person appointed shall be entitled to require the reasonable costs of the review to be paid by the unsuccessful party and the person appointed shall determine the amount of such costs.

Amendment of the Agricultural Subsidies (Appeals) (Scotland) Regulations 2000
    
27.  - (1) The Agricultural Subsidies (Appeals) (Scotland) Regulations 2000 shall be amended in accordance with this regulation.

    (2) In regulation 3 (application)[
23], for "and (ca)" substitute ", (ca), (cb) and (cc)".

    (3) In regulation 4 (decisions amenable to review and appeal), insert after paragraph (ca)-

Revocation and savings provisions
     28. Other than for the purposes of regulations 13 to 24 of the Less Favoured Area Support Scheme (Scotland) Regulations 2002 in relation to payments made thereunder, those Regulations (except regulations 25 and 26) are hereby revoked.


ROSS FINNIE
A member of the Scottish Executive

Pentland House, Edinburgh
3rd March 2003



SCHEDULE 1
Regulation 2(1)


LIVESTOCK UNITS AND STOCKING DENSITY




PART I

CALCULATION OF LIVESTOCK UNITS ("LU")

For all claimants, (excluding Ring-Fence Dairy Farmers)
Number of Suckler Cows      X 1.0 = _A_LU
Number of heifers 8 months and over      X 0.6 = _B_LU
For Ring-fenced daily farmers:          
Litres of Milk Quota      / 5730 = _C_LU
For all claimants          
Number of Breeding Ewes      X 0.15 = _D_LU
Number of Breeding Female Goats      X 0.15 = _E_LU
Number of Breeding Female Alpaca      X 0.3 = _F_LU
Number of Breeding Female Deer (hinds over 27 months)      X 0.3 = _G_LU
Number of Breeding Deer (over 6 months but less than 27 months)      X 0.2 = _H_LU



PART II

CALCULATION OF STOCKING DENSITY

Total LFASS Livestock Units (A + B + C + D + E + F + G + H) = _I_LU
Total Forage Area = _J_Ha
Stocking Density (to two decimal places) = I divided by J



SCHEDULE 2
Regulation 2(1)


USUAL GOOD FARMING PRACTICES




PART I

ENVIRONMENTAL LEGISLATION

Water pollution
     1. The Control of Pollution Act 1974[
24].

     2. The Control of Pollution (Silage, Slurry and Agricultural Fuel Oil (Scotland) Regulations 2001[25].

     3. The Groundwater Regulations 1998[26].

Air pollution
     4. The Clean Air Act 1993[27].

     5. The Hill Farming Act 1946[28].

Fertilisers and Pesticides
     6. The Action Programme for Nitrate Vulnerable Zones (Scotland) Regulations 2003[29].

     7. Part III of the Food and Environment Protection Act 1985[30] and the Control of Pesticides Regulations 1986[31].

     8. The Plant Protection Products Regulations 1995[32].

Designated sites
     9. The Ancient Monuments and Archaeological Areas Act 1979[33].

     10. The Wildlife and Countryside Act 1981[34].

     11. The Conservation (Natural Habitats etc.) Regulations 1994[35].

     12. The Ancient Monuments (Class Consents) (Scotland) Order 1996[36].

Forestry Management
     13. The Forestry Act 1967[37] (c.10).



PART II

VERIFIABLE STANDARDS

     1. Any farmer who constructs a new silage or storage facility must give notification to the Scottish Environmental Protection Agency prior to starting to use it. The farmer must keep records showing that this notification has been given.

     2. Where it is proposed to dispose of sheep dip on a holding, prior authorisation to do this must be obtained from the Scottish Environmental Protection Agency. The farmer must keep documents and records showing that this authorisation has been obtained. The farmer must keep records detailing the manner of disposal of the sheep dip.

     3. Trimming of hedgerows must not be carried out between 1st March and 31st July.

     4. Removal or destruction of any hedges, stone walls or other boundary features shall not be allowed except with the prior written agreement of the Scottish Ministers.

     5. Any farmer who intends to undertake any operation which is likely to damage a Site of Special Scientific Interest designated pursuant to section 28 of the Wildlife and Countryside Act 1981 must obtain the prior approval of Scottish Natural Heritage to the carrying out of that operation. The farmer shall maintain records showing that this authorisation has been obtained.

     6. Livestock shall be managed in such a way as to avoid overgrazing. Where the Scottish Ministers form the opinion that land was being overgrazed, a management regime including a maximum (and, where appropriate, a minimum) stocking rate to be observed on that site will be prescribed. Overgrazing is defined as grazing land with livestock in such numbers as to adversely affect the growth, quality or species composition of vegetation (other than vegetation normally grazed to destruction) on that land to a significant degree.

     7. Unsuitable supplementary feeding methods shall be avoided.

     8. Undergrazing shall be avoided.

     9. In paragraph 8, "Undergrazing" has the meaning of not using land fully or scrub or coarse becoming evident, where it is detrimental to the environmental interest of the site.



SCHEDULE 3
Regulation 9(2) and (3)


GRAZING CATEGORY: HECTARE VALUES


STOCKING DENSITY GRAZING CATEGORY HECTARE VALUE
Up to 0.19 LU/ha A 0.167
0.2 to 0.39 LU/ha B 0.333
0.4 to 0.59 LU/ha C 0.667
0.6 or more LU/ha D 0.8



SCHEDULE 4
Regulation 11


ENTERPRISE MIX


ENTERPRISE MIX HECTARE MULTIPLIER
If 50% or more of livestock units are made up of cattle LU. 1.70
If 10% or more, but less than 50% of livestock units are made up of cattle LU. 1.35



SCHEDULE 5
Regulation 12


RATES OF PAYMENT FOR LESS FAVOURED AREA SUPPORT


CATEGORY RATE
Very Fragile (Islands) £44.50
Fragile (Mainland) £42.50
Standard £36.50



SCHEDULE 6
Regulation 12(4)


FRAGILITY CATEGORIES


FRAGILITY MARKERS FOR PARISH CODE NUMBERS

Standard
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21
22 23 24 28 30 31 32 35 36 38 39 40 41 42 43 44 45 46 47 48 49
50 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70
71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90 91
92 93 94 95 96 97 98 99 100 101 102 103 104 105 106 107 108 109 110 111 112
113 114 115 116 117 118 119 120 121 122 123 124 125 126 127 128 129 130 131 132 133
134 135 136 176 177 178 179 180 181 182 183 184 185 186 187 188 189 190 191 192 193
194 195 196 197 198 199 200 201 202 203 204 205 206 207 208 209 210 211 212 213 214
215 216 217 218 219 220 221 242 243 244 245 246 247 248 249 250 251 252 253 254 255
256 257 258 259 260 261 262 263 264 265 266 267 268 269 270 271 272 273 290 291 292
293 294 295 296 297 298 299 300 301 302 303 304 305 306 307 308 309 310 311 312 313
314 315 316 317 318 319 320 321 322 323 324 325 326 327 328 329 330 331 332 333 334
335 336 337 338 339 340 341 342 343 344 345 346 347 348 349 350 351 352 353 354 355
356 357 358 359 360 361 362 363 364 365 366 367 368 369 370 371 372 373 374 375 376
377 378 379 380 381 382 383 384 385 386 387 388 389 390 391 392 393 394 395 396 397
398 399 400 401 402 403 404 405 406 407 408 409 410 411 412 413 414 415 416 417 418
419 420 421 422 423 424 425 426 427 428 429 430 431 432 445 449 451 466 467 468 469
470 471 472 473 474 475 476 477 478 479 480 481 482 483 484 485 486 487 488 489 490
491 492 493 494 495 496 497 498 499 500 501 502 503 504 505 506 507 508 509 510 511
512 513 514 515 516 517 518 519 520 521 522 523 524 525 526 527 528 529 530 531 532
533 534 535 536 537 538 539 540 541 542 543 544 545 546 547 548 549 550 551 552 553
554 555 556 557 558 559 560 561 562 563 564 565 566 567 568 569 570 571 572 573 574
575 576 577 578 579 580 581 582 583 584 585 598 600 601 606 609 635 636 637 638 639
640 641 642 643 644 645 646 647 648 649 650 651 652 653 654 655 656 657 658 659 660
661 662 663 664 665 666 667 668 669 670 671 672 673 674 675 676 677 678 679 680 681
682 683 684 685 686 687 688 689 690 691 692 693 694 695 696 697 698 699 700 701 702
703 704 705 706 707 708 709 710 711 712 713 714 715 716 717 718 719 720 721 722 723
724 725 726 727 728 729 730 731 732 733 734 735 769 770 771 772 773 774 775 776 777
778 779 780 781 782 783 784 785 786 787 788 789 790 791 792 793 794 795 796 797 798
799 800 801 802 803 804 805 806 807 808 809 810 811 812 813 814 815 816 817 818 819
820 821 822 823 824 825 826 827 841 842 843 844 845 846 847 848 849 850 851 853 854
855 856 859 860 861 863 864 865 866 868                                                       
Fragile
25 26 27 29 33 34 37 137 138 139 140 141 142 143 144 145 146 152 154 155 156
157 158 159 160 161 162 163 169 170 171 172 173 174 175 222 223 224 225 226 227 228
229 230 231 232 233 234 235 236 237 238 239 240 241 280 281 282 283 284 285 286 287
288 289 433 434 435 436 437 438 439 440 441 442 446 447 448 450 452 453 454 455 586
587 588 589 590 591 592 593 594 595 596 597 599 602 603 604 605 607 608 736 737 738
739 740 741 742 743 744 745 746 747 748 749 750 751 752 757 758 759 760 761 762 763
764 765 766 767 768 828 829 830 831 832 833 834 835 836 837 838 839 840 852 857 858
862 867                                                                                               
Very Fragile
147 148 149 150 151 153 164 165 166 167 168 274 275 276 277 278 279 443 444 456 457
458 459 460 461 462 463 464 465 610 611 612 613 614 615 616 617 618 619 620 621 622
623 624 625 626 627 628 629 630 631 632 633 634 753 754 755 756 869 870 871 872 873
874 875 876 877 878 879 880 881 882 883 884 885 886 887 888 889 890 891               



SCHEDULE 7
Regulation 19


AGENCY AND CROSS BORDER HOLDINGS


Agency arrangements
     1. The Scottish Ministers may, with the agreement of any competent authority (as defined for the purposes of the Integrated Administration and Control System Regulations 1993), arrange for any of their functions under these Regulations in relation to any claim to be exercised on their behalf by that competent authority.

     2. The Scottish Ministers may also agree to exercise functions on behalf of another competent authority corresponding to those which are exercisable by the Scottish Ministers under these Regulations.

     3. Any such arrangement shall be in writing and be signed by or on behalf of the Scottish Ministers and the competent authority and any such arrangement may be subject to such conditions (including conditions as to the costs and charge for costs) as may be agreed from time to time.

Set off
     4. Without prejudice to the amount of any sum payable by the Scottish Ministers to any other competent authority, the amount of any sum payable by the Scottish Ministers, whether as principal or agent, by way of a specified payment may be set off against the amount of any sum recoverable by the Scottish Ministers, whether as principal or agent.

Calculation of payments in respect of cross border holdings
     5. Where any holding in respect of which a claim has been made is a cross border holding, the Scottish Ministers may pay, on such occasions as they consider fit, in respect of the Scheme Year in question to an applicant less favoured area support for carrying out eligible agricultural activity on eligible land, providing the applicant has declared the eligible land in an area aid application which has been treated as a valid application by the competent authority concerned.

     6. Whether the eligible agricultural activity undertaken on the eligible land is an integral part of the management of the whole holding or independently managed, Scottish Ministers shall only pay less favoured area support in respect of the eligible agricultural activity actually undertaken on eligible land defined as a less favoured area for the purposes of this instrument.

     7. For cross-border holdings where the applicant has submitted a declaration of eligible land to another competent authority, the Scottish Ministers shall apply the standard rate of payment.

     8. Applicants in respect of cross border holdings are required to supply such information as authorised persons may reasonably require to assess the eligible agricultural activity actually undertaken on eligible land defined as a less favoured area for the purposes of this instrument.

     9. All conditions applying to applicants in respect of holdings lying wholly within the less favoured areas shall apply equally to applicants in respect of cross border holdings.



EXPLANATORY NOTE

(This note is not part of the Regulations)


These Regulations, which replace the Less Favoured Area Support Scheme (Scotland) Regulations 2002, make provision for the purposes of implementation of Council Regulation (EC) No. 1257/1999 on support for rural development from the European Agricultural Guidance and Guarantee Fund and Commission Regulation (EC) No. 445/2002 laying down detailed rules for the application of Council Regulation No. 1257/1999.

They apply to holdings in respect of which the Scottish Ministers are the competent authority under the Integrated Administration and Control System Regulations 1993 (regulation 1(2)).

Applications for less favoured area support ("LFAS") are to be made to the Scottish Ministers on a date which they shall determine each year. Failure to meet the deadline will result in reduction of the payment of support (regulation 3).

Eligibility for payment of LFAS is dependent upon the applicant meeting the criteria set out in regulation 4. It can only be paid to an applicant who carries out an eligible agricultural activity (defined in regulation 2(1)) on eligible land (defined in regulation 6). No payment will be made where the amount of eligible land is less than 3 hectares (regulation 5). There is provision at regulation 7 to determine to whom payment should be made where a holding is transferred during a Scheme Year.

LFAS is paid for eligible hectares on farms in Scottish less favoured areas at specified rates (regulations 8 and 12). The rate is fixed according to the fragility of the parish in which the applicant's main farm lies (regulation 12 and Schedule 6). The area of land on which LFAS is paid is normally the area of eligible land which the applicant has, adjusted in accordance with a formula set out in regulation 9(1). The manner in which the area of eligible land is adjusted will depend on the grazing category of that land (regulation 9(2)). The grazing category is allocated according to the stocking density of the applicant's land (regulation 9(3)). The manner of calculating the stocking density for different types of land is set out in regulation 9(4) to 9(12). However, where the applicant has a stocking density which falls above the maximum stocking density or below the minimum stocking density, then the area of land on which LFAS is to be paid is instead calculated in accordance with formulae set out in regulation 10. The maximum and minimum stocking densities are laid out in regulation 2. There is provision at regulation 10 (4) to allow Scottish Ministers to determine the total number of livestock units where an applicant has not been able to achieve the minimum stocking density because of slaughter in consequence of foot and mouth disease.

Where more than 10% of the applicant's livestock units are made up of cattle, the area of land on which LFAS will be paid will be increased in accordance with the adjustment set out in regulation 11 and Schedule 4.

There are transitional arrangements for payments in 2003 (regulation 13). LFAS may be increased if an applicant is due to receive less under these Regulations when compared with a figure of 50% of any payment paid under the 1999 Regulations. In all cases, LFAS is subject to a minimum payment of £350 (regulation 14). There is also provision to reduce the payment to be paid under the transitional provisions where the forage area of the holding was reduced by more than 25% during any of the calendar years 2000, 2001 or 2002. For the 2003 payment, where an applicant has increased the amount of eligible land since being paid under the 1999 Regulations the Scottish Ministers will fix the amount of the 1999 payment for the purposes of calculations in regulation 13.

Regulation 15 contains powers of enforcement. Regulation 17 provides for withholding or recovery of LFAS where there is a breach of the rules of the Scheme. Regulations 20 to 23 deal with offences and penalties.

Regulations 24 to 26 deal with an applicant's right of appeal against decisions taken by the Scottish Ministers. Regulation 27 makes consequential amendments to the Agricultural Subsidies (Appeals) (Scotland) Regulations 2000.


Notes:

[1] 1972 c.68. Section 2(2) was amended by the Scotland Act 1998 (c.46), Schedule 8, paragraph 15(3). The function conferred upon the Minister of the Crown under section 2(2) of the European Communities Act 1972, insofar as within devolved competence, was transferred to the Scottish Ministers by virtue of section 53 of the Scotland Act 1998.back

[2] S.I. 1993/1317, amended by S.I. 1994/1134, 1997/1148, 1999/1820 and 2000/2573.back

[3] O.J. L 215, 30.7.92, p. 85, as amended by Commission Regulation (EC) No. 2772/95 (O.J. No. L 288, 1.12.95, p.35), and repealed by Council Regulation 1257/1999.back

[4] O.J. No. L 327, 12.12.01, p.11, as corrected by Corrigendum to Commission Regulation (EC) 2419/22001 (O.J. L 7, 11.1.02, p.48) and amended by Commission Regulation (EC) No. 2550/2001 (O.J. No. L 341, 22.12.01, p.105).back

[5] O.J. No. L 74, 15.3.02, p.1.back

[6] Regulation 2A was inserted by S.I. 2000/2573.back

[7] O.J. No. L 355, 5.12.92, p.1, amended by Council Regulation (EC) No. 165/1994 (O.J. L 24, 29.1.94, p.6), Council Regulation (EC) No. 3233/1994 (O.J. L 338, 28.12.94, p.13), Council Regulation (EC) No. 3235/1994 (O.J. L 338, 28.12.94, p.16), Council Regulation (EC) No. 3072/1995 (O.J. L 329, 30.12.95, p.18), Council Regulation (EC) No. 1577/1996 (O.J. L 206, 16.8.96, p.4), Council Regulation (EC) No. 2466/1996 (O.J. L 335, 24.12.96, p.1), Commission Regulation (EC) No. 613/1997 (O.J. L 94, 9.4.97, p.1), Council Regulation (EC) No 820/1997 (O.J. L 117, 7.5.97, p.1), Council Regulation (EC) No. 1036/1999 (O.J. L 127, 21.5.99, p.4), Council Regulation (EC) No. 1593/00 (O.J. L 182, 21.7.00, p.4) and Council Regulation (EC) No. 495/2001 (O.J. L 072, 14.3.01, p.6).back

[8] O.J. No. L 160, 26.6.99, p.21, corrected by Corrigendum to Council Regulation (EC) No. 1254/1999 (O.J. L 263, 18.10.00, p.34) and amended by Council Regulation (EC) No. 1455/2001 (O.J. L 198, 21.7.01, p.58), Commission Regulation (EC) No. 1512/2001 (O.J. L 201, 26.7.01, p.1) and Commission Regulation (EC) No. 2345/2001 (O.J. L 315, 1.12.01, p.29).back

[9] O.J. No. L 160, 26.6.99, p.80.back

[10] O.J. No. L 341, 22.12.01, p.3.back

[11] 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

[12] 1992 c.4; section 20(1)(f) was amended by the Tax Credits Act 2002 (c.21), Schedule 6; section 62 was amended by the Pensions Act 1995 (c.26), section 131 and Schedule 4, paragraph 7; and section 63 was amended by the Tax Credits Act 2002 (c.21), Schedule 6.back

[13] S.I. 1996/1500, amended by S.I. 1997/33, 1998/206 and 1999/375, and revoked by S.S.I. 1999/187, regulation 23.back

[14] S.S.I. 1999/187; revoked by S.S.I. 2001/50, regulation 23.back

[15] S.S.I. 2001/50; revoked by S.S.I. 2002/139, regulation 26.back

[16] S.S.I. 2002/139.back

[17] O.J. No. L 391, 31.12.92, p.36, amended by Commission Regulation (EC) No. 229/95 (O.J. L 27, 4.2.95, p.3), Commission Regulation (EC) No. 1648/95 (O.J. L 156, 7.7.95, p.27) Commission Regulation (EC) No. 2015/95 (O.J. L 197, 22.8.95, p.2), Commission Regulation (EC) No. 1678/98 (O.J. L 212, 30.7.98, p.23), Commission Regulation (EC) No. 2801/1999 (O.J. L 340, 31.12.99, p.29) and Commission Regulation (EC) No. 2721/2000 (O.J. L 314, 14.12.00, p.8); repealed by Commission Regulation 2419/2001.back

[18] 2000 c.7.back

[19] 1981 c.22.back

[20] S.I. 1983/1950, as amended by S.I. 1993/3119 and S.I. 1995/2922 and, as regards Scotland, by S.S.I. 2001/52, 55, 101 and 390.back

[21] 1995 c.46.back

[22] S.S.I. 2000/347, amended by S.S.I. 2001/50, 226 and 300, 2002/139 and 228.back

[23] Regulation 3 was substituted by S.S.I. 2001/226, regulation 2(3).back

[24] 1974 c.40.back

[25] S.S.I. 2001/206, amended by S.S.I. 2001/248.back

[26] S.I. 1998/2746, amended by S.S.I. 2000/323.back

[27] 1993 c.11.back

[28] 1946 c.73.back

[29] S.S.I. 2003/51.back

[30] 1985 c.48.back

[31] S.I. 1986/1510, amended by S.I. 1990/2487, 1994/3142 and 1997/188.back

[32] S.I. 1995/887, amended by S.I. 1996/1940, 1997/7 and 2499, 1998/2760, 1999/1228, S.S.I. 2001/161, 202 and 454 and 2002/279.back

[33] 1979 c.46.back

[34] 1981 c.69.back

[35] S.I. 1994/2716, amended by S.I. 1997/3055 and S.S.I. 2000/323.back

[36] S.I. 1996/1507.back

[37] 1967 c.10.back



ISBN 0 11062185 9


 
© Crown copyright 2003
Prepared 20 March 2003


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