The Rural Development Programme Regulations (Northern Ireland) 2015

Made: 4th September 2015

Coming into operation: 5th October 2015

The Department of Agriculture and Rural Development, in exercise of the powers conferred by section 2(2) of the European Communities Act 1972, makes the following Regulations.

Citation and commencement

1

These Regulations may be cited as the Rural Development Programme Regulations (Northern Ireland) 2015 and come into operation on 5th October 2015.

Interpretation

2

• (1) In these Regulations—

• “agent” means a person, other than an authorised person, who is appointed in writing by the Department for the purposes of these Regulations;

• “applicant” means any person who makes an application;

• “application” means an application under regulation 5;

• “approved operation” means an operation approved by the Department or an agent under regulation 6;

• “authorised person” means a person authorised by the Department, either generally or specifically, to act in relation to the enforcement of these Regulations;

• “beneficiary” means— a person who has applied for and been granted approval for an operation; in relation to any time after a rural development payment has been made in connection with the operation, the person to whom the payment was made; or any person who has undertaken to assume the conditions of an approval in place of a previous beneficiary;

• “Council Regulation 73/2009” means Council Regulation (EC) No. 73/2009 establishing common rules for direct support schemes for farmers under the common agricultural policy and establishing certain support schemes for farmers[^f00003];

• “Council Regulation 1782/2003” means Council Regulation (EC) No. 1782/2003 establishing common rules for direct support schemes under the common agricultural policy and establishing certain support schemes for farmers[^f00004];

• “Council Regulation 1698/2005” means Council Regulation (EC) No. 1698/2005 on support for rural development by the European Agricultural Fund for Rural Development (EAFRD) etc[^f00005];

• “the Department” means the Department of Agriculture and Rural Development;

• “the European Regulations” means the instruments listed in Schedule 1;

• “EU assistance” means assistance payable pursuant to the Rural Development Regulation from the European Agricultural Fund for Rural Development in accordance with the European Regulations;

• “the Horizontal Implementing Regulation” means Commission Implementing Regulation (EU) No. 809/2014 laying down rules for the application of Regulation (EU) No. 1306/2013 of the European Parliament and of the Council with regard to the integrated administration and control system, rural development measures and cross compliance[^f00006];

• “operation” means an investment, plan, commitment, project or action which is the subject of an application;

• “Regulation 1307/2013” means Regulation (EU) No. 1307/2013 of the European Parliament and of the Council establishing rules for direct payments to farmers under support schemes within the framework of the common agricultural policy[^f00007];

• “rural development payment” means any payment made by the Department under Regulation 3;

• “the Rural Development Programme 2014-2020” means the Rural Development Programme submitted by the United Kingdom to the European Commission in accordance with the Rural Development Regulation, as approved by Commission Decision C(2015) 6018 of 25th August 2015[^f00008];

• “the Rural Development Regulation” means Regulation (EU) No. 1305/2013 of the European Parliament and of the Council on support for rural development by the European Agricultural Fund for Rural Development[^f00009].

• (2) Other terms used in these Regulations that are also used in the European Regulations have the meaning they bear in those Regulations.

• (3) 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.

• (4) A reference in these Regulations to anything done in writing or produced in written form includes a reference to an electronic communication which has been recorded and is consequently capable of being reproduced.

• (5) The Interpretation Act (Northern Ireland) 1954[^f00010] shall apply to these Regulations as it applies to an Act of the Northern Ireland Assembly.

Assistance for rural development

3

• (1) The Department may pay financial assistance to a beneficiary towards expenditure incurred or to be incurred by him in connection with any approved operation.

• (2) Where, as a direct result of carrying out any operation, a farmer forgoes income that would otherwise have accrued to him from the carrying out of agricultural activity, then in relation to that operation “expenditure incurred” includes such income foregone.

Payment

4

• (1) The Department may make a rural development payment in the form of a single lump sum or by instalments.

• (2) Rural development payments may be made—

• (a) at such time or times as the Department thinks fit; and

• (b) subject to such conditions as the Department reasonably may determine.

Applications for approval of operations

5

• (1) An application for the approval of an operation shall be made to the Department or, in such circumstances as the Department may determine and publish in writing, to an agent.

• (2) Such an application shall be made in such form and contain such information as the Department or its agent, as appropriate, may require.

Approval of operations

6

• (1) The Department or its agent may, on application made to it, approve any operation for the purposes of Regulation 3 and may do so—

• (a) in whole or in part; or

• (b) unconditionally or subject to such conditions as it may determine,

but shall not do so except in accordance with paragraph (2).

• (2) The Department or its agent shall not approve an operation unless it is satisfied that—

• (a) the operation is in accordance with the Rural Development Programme 2014-2020; and

• (b) the operation is eligible for EU assistance.

• (3) The Department or its agent may vary any approval given by it.

• (4) The variation of an approval under paragraph (3) may include—

• (a) the variation of any condition to which the approval is subject;

• (b) the addition of new conditions; or

• (c) the removal of any existing conditions.

• (5) Before the Department or its agent decides to vary an approval under paragraph (3) it shall—

• (a) give the beneficiary notice in writing of its proposed decision with a statement of its reasons;

• (b) give that beneficiary an opportunity to make written representations within such time as the Department or, as the case may be, the agent considers reasonable; and

• (c) consider any such representations.

• (6) An approval or variation under this regulation shall be in writing.

• (7) In exercising its powers under paragraphs (1) and (3), the Department or its agent will take into account the need for approved operations to contribute towards achieving the objectives described in Article 4 of the Rural Development Regulation.

Claims

7

A claim for a rural development payment shall be made at such time and in such form and be accompanied by such information as the Department or its agent reasonably may require.

Provision of information

8

• (1) A beneficiary shall supply the Department or its agent with such information about an approved operation as the Department or its agent reasonably may require.

• (2) Where the Department or its agent requires such information, the beneficiary shall supply the Department or its agent with the information within such period as the Department or its agent reasonably may determine.

Powers of entry

9

• (1) An authorised person may exercise any of the powers specified in this regulation for the purposes of enforcing these Regulations or the European Regulations.

• (2) An authorised person may at all reasonable times, on producing, if so required, some duly authenticated document showing his authority, enter any land or premises, other than premises used solely for the purpose of a dwelling-house—

• (a) to which an application or approved operation relates; or

• (b) on which he has reasonable grounds to believe that documents or equipment relating to an application or approved operation are being kept.

• (3) An authorised person entering any land or premises by virtue of this regulation may be accompanied by—

• (a) any representative of the European Commission; and

• (b) such other persons as the authorised person considers necessary for any purpose mentioned in paragraph (1).

• (4) An authorised person who enters any unoccupied premises must leave them as effectively secured as they were before entry.

Powers of an authorised person

10

• (1) An authorised person who has entered any land or premises under regulation 9 may—

• (a) inspect the land, premises, buildings and any document, record or equipment thereon which he reasonably believes relates to an application, approved operation or claim;

• (b) require the applicant or beneficiary, or any employee or agent of such applicant or beneficiary, to produce, or secure the production of, any document or record or supply any additional information in his possession or under his control relating to the application, approved operation or claim;

• (c) where any document, record or information referred to in sub-paragraph (b) is kept by means of a computer, have access to and inspect any computer and any associated apparatus or material which is or has been used in connection with that document, record or information;

• (d) require copies of, or extracts from, any document, record or information relating to the application, approved operation or claim to be produced;

• (e) remove and retain for a reasonable period any document, record or information relating to the application, approved operation or claim which he has reason to believe may be required as evidence in proceedings under these Regulations and, where any such document, record or information is kept by means of a computer, require it to be produced in a form in which it may be taken away and in which it is visible and legible;

• (f) if necessary for the purposes of enforcing these Regulations or the European Regulations—

• (i) inspect and count livestock on the land and premises, and

• (ii) require the applicant or beneficiary, or any employee, servant or agent of such beneficiary, to arrange for the collection, penning and securing of such livestock.

• (g) require an applicant or beneficiary, or any employee, servant or agent of such applicant or beneficiary, to give an authorised person all reasonable assistance in relation to the matters mentioned in this regulation.

• (2) Paragraph (1) applies in relation to a person referred to in regulation 9(3)(b) when such a person is acting under the instructions of an authorised person, as if such person were an authorised person.

Record keeping

11

• (1) Save as provided in paragraphs (2) and (3), a beneficiary must retain any invoice, account or other document relating to an approved operation for such a period as the Department or its agent reasonably may determine.

• (2) If the beneficiary transfers the original of any such document to another person in the normal course of business, he must instead keep a copy of that document for that period.

• (3) Paragraph (1) does not apply in relation to any document removed by any person lawfully authorised to remove it.

Transfers of holdings

12

For the purposes of Article 8(3)(a) of the Horizontal Implementing Regulation, the period within which the transferee must inform the Department of the transfer and request payment of the aid or support, or both, is 90 days beginning with the first day after the date of the transfer.

Definition of Agricultural Land

13

The Department shall publish in such manner as it thinks appropriate a definition of agricultural land for the purposes of Article 28(2) of the Rural Development Regulation.

Determinations relating to operations

14

• (1) The Department or its agent may determine that, in relation to any claim or application made to it, or an operation approved by it—

• (a) the beneficiary has furnished false or misleading information to that body;

• (b) the beneficiary is in breach of any of the conditions of a rural development payment;

• (c) the beneficiary is in breach of any of the conditions of an approval under regulation 6;

• (d) the beneficiary is in breach of an undertaking given under regulation 21;

• (e) the beneficiary is in breach of any requirement to which that beneficiary is subject under these Regulations or under the European regulations;

• (f) the whole or any part of the sum paid or payable in relation to an operation duplicates assistance provided or to be provided out of monies made available by—

• (i) any statutory provision;

• (ii) the European Union; or

• (iii) a body exercising public functions within the United Kingdom;

• (g) there has been a material change in the nature, scale, costs or timing of the approved operation; or

• (h) the approved operation has been or is being delayed, or is unlikely to be completed.

• (2) Before a body makes a determination under paragraph (1), it must—

• (a) give the beneficiary a written explanation of the reasons for proposing to make the determination;

• (b) afford that beneficiary the opportunity of making written representations within such period as the Department or its agent considers reasonable; and

• (c) consider any such representations in deciding whether to make any determination.

Powers of recovery etc in relation to rural development payments

15

• (1) Where the Department or its agent makes a determination under regulation 14(1), the Department may—

• (a) withhold the whole or part of any rural development payment payable to the beneficiary to which the determination relates; and

• (b) recover on demand the whole or part of any such rural development payment already paid to the beneficiary.

• (2) Where the Department takes any step specified in paragraph (1) in relation to an approved operation, the body which gave the approval may suspend or terminate that approval.

• (3) Where an approved operation has been terminated under paragraph (2), the Department may also prohibit the beneficiary from making any new application for the approval of expenditure in connection with an operation under the same measure, for such period (not exceeding two years) from the date of the termination as the Department may specify.

• (4) The powers conferred by this regulation are exercisable by a notice served by the body exercising the power on the beneficiary in question.

Recovery of payments

16

In any case where an amount falls to be paid to the Department by virtue of (or by virtue of action taken under) these Regulations, the amount falling to be paid shall be recoverable as a debt.

Recovery of interest

17

• (1) Where the Department exercises the power conferred by regulation 15(1)(b), it may also recover, on demand, interest on the sum to be recovered in respect of each day of the period referred to in Article 7(2) of the Horizontal Implementing Regulation, and the rate of interest applicable on any day is one percentage point above the Bank of England base rate.

• (2) In this regulation, “Bank of England base rate” means—

• (a) except where sub-paragraph (b) applies, the rate announced from time to time by the Monetary Policy Committee of the Bank of England as the official dealing rate, being the rate at which the Bank is willing to enter into transactions for providing short-term liquidity in the money markets; or

• (b) if an order under section 19 (reserve powers) of the Bank of England Act 1998[^f00011] is in force, any equivalent rate determined by the Treasury under that section.

• (3) For the purposes of this regulation, interest shall be charged from the payment deadline as recorded in the recovery notice issued by the Department.

• (4) For the purposes of paragraph (3), the payment deadline shall be set at 60 days from the date of the recovery notice issued by the Department.

• (5) In any proceedings relating to this regulation, a certificate of the Department stating the Bank of England base rate applicable during the period specified in the certificate shall be conclusive evidence of the rate applicable in the specified period if the certificate also states that the Bank of England notified the Department of that rate.

Set-off

18

The amount of —

• (a) any sum payable by the Department or its agent under Title IV of Council Regulation 1698/2005;

• (b) any sum payable by the Department or its agent under Title III of Regulation 1307/2013;

• (c) any sum payable by the Department under Council Regulation 73/2009 or Council Regulation 1782/2003; or

• (d) any sum payable under these Regulations,

may be set off against the amount of any sum recoverable by the Department under Regulation 16 or 17.

Offences and penalties

19

• (1) It is an offence for any person to—

• (a) intentionally obstruct any person acting in the execution of these Regulations;

• (b) without reasonable cause, proof of which lies with that person, fail to give any person acting in the execution of these Regulations any assistance or information that that person may reasonably require under these Regulations; or

• (c) knowingly or recklessly furnish to any person acting in the execution of these Regulations any information that is false or misleading in any material particular.