2002R0445 — EN — 22.03.2002 — 000.001 — 1
This document is meant purely as a documentation tool and the institutions do not assume any liability for its contents
►B COMMISSIONREGULATION(EC)No445/2002
of26February2002
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)
(OJ L 74, 15.3.2002, p. 1)
Amended by:
Official Journal
No page date
►M1Commission Regulation (EC) No 567/2003 of 28 March 2003 L 82 11 29.3.2003
▼B
COMMISSIONREGULATION(EC)No445/2002
of26February2002
laying down detailed rules for the application of Council Regula-
tion (EC) No 1257/1999 on support for rural development fromthe European Agricultural Guidance and Guarantee Fund
(EAGGF)
THE COMMISSION OF THE EUROPEAN COMMUNITIES,
Having regard to the Treaty establishing the European Community,
Having regard to Council Regulation (EC) No 1257/1999 of 17 May
1999 on support for rural development from the European AgriculturalGuidance and Guarantee Fund (EAGGF) and amending and repealingcertain Regulations (
1), and in particular Articles 34, 45 and 50 thereof,
Whereas:
(1)Commission Regulation (EC) No 1750/1999 of 23 July 1999
laying down detailed rules for the application of Council Regula-
tion (EC) No 1257/1999 on support for rural development fromthe European Agricultural Guidance and Guarantee Fund(EAGGF)(
2), as last amended by Regulation (EC) No 1763/
2001(3), has been substantially amended a number of times.
Moreover, experience gained during the first two years of
programming shows that further clarifications are needed, in
particular as concerns the procedure for amending programmingdocuments and the indicative overall financial table. In the inter-ests of clarity and rationalisation, therefore, Regulation (EC)No 1750/1999 should be recast.
(2)Regulation (EC) No 1257/1999 established a single legal frame-work for EAGGF support for rural development. In particular,Title II thereof specifies the measures eligible for support, their
objectives and the criteria for eligibility. This legal framework
applies to support for rural development throughout the Commu-nity.
(3)Detailed rules should be adopted to supplement this framework,taking account of experience gained using the instrumentsapplied under the various Council Regulations repealed byArticle 55(1) of Regulation (EC) No 1257/1999. Those rulesshould follow the principles of subsidiarity and proportionality,and should therefore be restricted to what is necessary for the
attainment of the aims being pursued.
(4)With respect to the eligibility criteria, Regulation (EC) No 1257/1999 lays down three basic conditions for support for investment
in agricultural holdings and processing plants and support foryoung farmers. The time at which those conditions must befulfilled should be specified, including, in the case of investmentaid, the condition regarding demonstration of the economicviability of an agricultural holding, on the basis of an adequate
assessment of the prospects of that holding. It can be very diffi-
cult for farms in rural areas facing very serious structuraldifficulties to meet these requirements. In the case of smallinvestments, Member States should be allowed to grant farms aperiod of grace in which to meet these requirements.
(5)Community support for investments in holdings and processingplants is subject to the condition that normal market outlets canbe found for the products concerned. Detailed rules should be
laid down for assessing such market outlets.
(6)Support for vocational training should not cover normal agricul-
tural and forestry education.2002R0445 — EN — 22.03.2002 — 000.001 — 2
(1) OJ L 160, 26.6.1999, p. 80.
(2) OJ L 214, 13.8.1999, p. 31.
(3) OJ L 239, 7.9.2001, p. 10.
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(7)As regards the conditions for early retirement support, specific
problems arising where a holding is transferred by several trans-
ferors or by a tenant farmer should be solved.
(8)Compensatory allowances payable in less-favoured areas for landused jointly by several farmers should be paid to each farmerconcerned in proportion to the degree to which the farmer is
entitled to its use.
(9)Article 16 of Regulation (EC) No 1257/1999 provides that
farmers may receive support to offset additional costs and lossof income if they farm in areas where environmental constraints
mean that they are subject to environmental protection restric-
tions based on Community provisions. Council Directive 91/676/EEC of 12 December 1991 concerning the protection ofwaters against pollution caused by nitrates from agriculturalsources (
1) is intended to reduce the pollution of waters by
nitrates from agriculture and to prevent it from spreading. In
line with the ‘polluter pays’ principle in Article 174(2) of theTreaty, there should be no compensation for the costs andincome losses resulting from application of the restrictionsimposed by that Directive, which should therefore be excludedfrom the scope of Article 16 of Regulation (EC) No 1257/1999.
(10)As regards agri-environment support, the minimum requirementsto be met by farmers in connection with the various agri-envir-onment commitments should ensure a balanced application ofagri-environment support that takes account of its objectives
and will thus contribute to sustainable rural development.
(11)The selection criteria for investments to improve the processing
and marketing of agricultural products should be fixed. Theexperience gained shows that these selection criteria should be
based on broad principles rather than sectoral rules.
(12)The outermost regions of the Community should be exempt,
subject to certain conditions, from the second indent ofArticle 28(1) of Regulation (EC) No 1257/1999, under which
no support may be granted for investments intended for the
processing or marketing of products from third countries.
(13)The forests not eligible for support under Article 29(3) of Regu-lation (EC) No 1257/1999 should be defined in greater detail.
(14)Detailed conditions should be laid down for support for affores-tation of agricultural land and payments for activities to maintainand improve the ecological stability of forests.
(15)Under Article 33 of Regulation (EC) No 1257/1999, support isgranted for other measures relating to farming activities and theirconversion and to rural activities that are not covered by anyother rural development measure. Given the wide variety ofmeasures which could be covered by this Article, it should beleft primarily to the Member States to lay down the conditions
for support as part of their programming.
(16)Rules common to several measures should be laid down to
ensure, in particular, that common standards of good farmingpractice are applied where measures refer to that criterion, and
to guarantee the flexibility needed for long-term commitments
to take account of events which might affect those commitmentswithout jeopardising the effective implementation of the varioussupport measures.
(17)A clear dividing line should be drawn between financing ruraldevelopment support and financing support under the commonmarket organisations. Any exceptions to the principle thatmeasures covered by support schemes under common marketorganisations should not be eligible for rural developmentsupport should be proposed by Member States in their rural2002R0445 — EN — 22.03.2002 — 000.001 — 3
(1) OJ L 375, 31.12.1991, p. 1.
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development programming, according to their specific needs and
following a transparent procedure.
(18)Rural development support payments should be made in full tothe beneficiaries.
(19)Commission Regulation (EC) No 1685/2000 (1) lays down
detailed rules for implementing Council Regulation (EC) 1260/
1999 of 21 June 1999 laying down general provisions on theStructural Funds(
2), as amended by Regulation (EC) No 1447/
2001(3), as regards eligibility of expenditure under operations
part-financed by the Structural Funds, and hence by the EAGGFGuidance Section. In the interests of consistency, Regulation
(EC) No 1685/2000 should also apply to measures part-financed
by the EAGGF Guarantee Section, except where otherwiseprovided in Regulation (EC) No 1257/1999, in Council Regula-tion (EC) No 1258/1999 of 17 May 1999 on the financing of thecommon agricultural policy (
4) or in this Regulation.
(20)Commission Decision 1999/659/EC of 8 September 1999 fixingan indicative allocation by Member States of the allocationsunder the European Agricultural Guidance and Guarantee FundGuarantee Section for rural development measures for the period2000 to 2006 (
5), as amended by Decision 2000/426/EC (6),
specifies the type of expenditure covered by the allocations
made to the Member States. Moreover, under Commission Regu-lation (EC) No 2603/1999 of 9 December 1999 laying downrules for the transition to the rural development support providedfor by Council Regulation (EC) No 1257/1999 (
7), as last
amended by Regulation (EC) No 2055/2001 (8), payments arising
from certain commitments made before 1 January 2000 may beincluded in the rural development programming for 2000-2006,subject to certain conditions. It is therefore necessary to specifywhat is included in the overall amount of Community supportfixed for each rural development plan under the single program-
ming document approved by the Commission.
(21)Article 5 of Council Regulation (EC) No 1259/1999 of 17 May
1999 establishing common rules for direct support schemesunder the common agricultural policy (
9), as amended by Regula-
tion (EC) No 1244/2001 (10), stipulates that the amounts accruing
from penalties for infringement of environmental protectionrequirements or from modulation remain available to theMember States as additional Community support for certain ruraldevelopment measures. Exactly what the Commission's approvalcovers in the case of such measures should be specified.
(22)Detailed rules should be laid down for the presentation of ruraldevelopment plans and their revision.
(23)In order to facilitate the establishment of rural development
plans and their examination and approval by the Commission,
common rules should be laid down for the structure and contentof those plans, based on the requirements set out in particular inArticle 43 of Regulation (EC) No 1257/1999.
(24)Requirements should be set for amendments to rural develop-ment programming documents so as to enable the Commissionto examine them quickly and efficiently.2002R0445 — EN — 22.03.2002 — 000.001 — 4
(1) OJ L 193, 29.7.2000, p. 39.
(2) OJ L 161, 26.6.1999, p. 1.
(3) OJ L 198, 21.7.2001, p. 1.
(4) OJ L 160, 26.6.1999, p. 103.
(5) OJ L 259, 6.10.1999, p. 27.
(6) OJ L 165, 6.7.2000, p. 33.
(7) OJ L 316, 10.12.1999, p. 26.
(8) OJ L 277, 20.10.2001, p. 12.
(9) OJ L 160, 26.6.1999, p. 113.
(10) OJ L 173, 27.6.2001, p. 1.
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(25)Only those amendments which involve important changes to
rural development programming documents should be subject to
the management committee procedure. Other amendmentsshould be decided by the Member States and communicated tothe Commission.
(26)In order to cover all the measures needed for the implementationof the Community initiative programme for rural development,the scope of the measures eligible for aid from the EAGGFGuidance Section should be extended beyond what is provided
under Regulation (EC) No 1257/1999.
(27)Detailed rules should be laid down on the financial planning and
contributions to financing of the measures financed by the
EAGGF Guarantee Section under Article 35(1) and (2) of Regu-
lation (EC) No 1257/1999.
(28)In this connection, Member States should report regularly to the
Commission on the state of financing of rural development
measures.
(29)Steps should be taken to ensure that appropriations earmarkedfor rural development support are efficiently used, in particularby providing for the Commission to grant an initial advancepayment to paying agencies and for allocations to be adjustedaccording to needs and in the light of past performance. It wouldalso be advisable to provide for the possibility of granting
advances to certain categories of beneficiaries, under certain
conditions, in order to facilitate the implementation of invest-ment measures.
(30)The general rules on budgetary discipline, in particular thoserelating to incomplete or incorrect declarations by MemberStates, should apply in addition to the specific rules laid downin this Regulation.
(31)The detailed financial administration of rural developmentmeasures should be governed by the regulations implementingRegulation (EC) No 1258/1999.
(32)Procedures and requirements for monitoring and evaluationshould be laid down following the principles applicable to otherCommunity support measures, in particular those laid down by
Regulation (EC) No 1260/1999.
(33)The administrative rules should permit better administration,monitoring and control of rural development support. In the
interests of simplicity, Council Regulation (EEC) No 3508/92of 27 November 1992 establishing an integrated administrationand control system for certain Community aid schemes (
1), as
last amended by Commission Regulation (EC) No 495/2001 (2),
and the detailed rules for applying it as laid down by Commis-
sion Regulation (EC) No 2419/2001 (3), as amended by
Regulation (EC) No 2550/2001 (4), should be applied wherever
possible.
(34)Provision should be made for a system of penalties at bothCommunity and Member State level.
(35)The Committee on Agricultural Structures and Rural Develop-ment has not delivered an opinion within the time limit set byits chairman,2002R0445 — EN — 22.03.2002 — 000.001 — 5
(1) OJ L 355, 5.12.1992, p. 1.
(2) OJ L 72, 14.3.2001, p. 6.
(3) OJ L 327, 12.12.2001, p. 11.
(4) OJ L 341, 22.12.2001, p. 105.
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HAS ADOPTED THIS REGULATION:
CHAPTERI
RURAL DEVELOPMENT MEASURES
SECTION 1
Investmentinagricultural holdings
Article 1
1. The conditions for support for investment laid down in Article 5
of Regulation (EC) No 1257/1999 must be fulfilled at the time when
the individual decision to grant support is taken.
2. Where investments are made in order to comply with newly intro-
duced minimum standards relating to the environment, hygiene, andanimal welfare, support may be granted in order to reach these newstandards. In such cases, a period of grace may be provided to meetthese minimum standards where time is needed to solve the specific
problems involved in reaching such standards and provided this is in
accordance with the specific legislation concerned.
3. In the case of farms in rural areas where the structural difficulties
caused by the very small size of farms make it particularly difficult tomeet the requirements of Article 5 of Regulation (EC) No 1257/1999,Member States may grant such farms support for investments totallingless than EUR 25 000 to enable them to comply with those require-
ments within a period of not more than three years from the date of
the decision to grant the support.
The provisions of the first subparagraph shall apply until 31 December
2002 and without prejudice to paragraph 2 of this Article.
Article 2
1. For the purposes of Article 6 of Regulation (EC) No 1257/1999,
the existence of normal market outlets shall be assessed at the appro-priate level in terms of:
(a) the products concerned;
(b) the types of investment;
(c) existing and planned capacity.
2. Any restrictions on production or limitations on Community
support under common market organisations shall be taken intoaccount.
3. Where a common market organisation places restrictions on
production or limitations on Community support at the level of indivi-dual farmers, holdings or processing plants, no investment shall besupported which would increase production beyond those restrictions
or limitations.
Article 3
1. Where investments are made by young farmers, the maximum
percentages of the volume of eligible investment referred to in the
second sentence of the second paragraph of Article 7 of Regulation(EC) No 1257/1999 may be applied for up to five years after setting-up.
2. Article 4(2) shall also apply to investments made by young
farmers within five years of setting-up.2002R0445 — EN — 22.03.2002 — 000.001 — 6
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SECTION 2
Setting-upofyoungfarmers
Article 4
1. The conditions for start-upassistance for young farmers laid
down in Article 8(1) of Regulation (EC) No 1257/1999 must be metat the time when the individual decision to grant support is taken.Farmers starting upunder the conditions described in Article 5(3) of
this Regulation who apply for aid no later than 31 December 2001
must meet the age condition laid down in the first indent ofArticle 8(1) of Regulation (EC) No 1257/1999 at the time of start-up.
2. A period not exceeding three years may be allowed after starting
upin order to meet the requirements relating to occup ational skill and
competence, economic viability and minimum standards regarding the
environment, hygiene and animal welfare, if the young farmer needs aperiod of adaptation in which to start up or to restructure the holding.
Article 5
1. The individual decision to grant the aid provided for in Article 8
of Regulation (EC) No 1257/1999 shall be taken no later than
12 months after start-upas defined by the p rovisions in force in theMember States.
2. Where young farmers who start upbefore 1 January 2002 would
be able to receive support more than 12 months after starting up under
the arrangements in the programming document approved by theCommission, Member States may take the individual decision to grantsupport no later than 31 December 2002.
3. Where young farmers have started upin 1999, 2000 or 2001 and
have not yet received support for budget or administrative reasons,
Member States may take the individual decision to grant support nolater than 31 December 2001 or within not more than 12 months afterstart-up.
SECTION 3
Training
Article 6
Support for vocational training shall not include courses of instruction
or training which form part of normal programmes or systems of agri-
cultural and forestry education at secondary or higher levels.
SECTION 4
Earlyretirement
Article 7
Where a farm is transferred by several transferors, overall support shall
be limited to the amount provided for one transferor.
Article 8
Non-commercial farming activity continued by the transferor in accor-
dance with the first indent of Article 11(1) of Regulation (EC) No 1257/1999 shall not be eligible for support under the common agriculturalpolicy.
Article 9
A tenant farmer may transfer the released land to the owner provided
that the lease is terminated and the requirements relating to the trans-feree laid down in Article 11(2) of Regulation (EC) No 1257/1999 arecomplied with.2002R0445 — EN — 22.03.2002 — 000.001 — 7
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Article 10
Released land may be included in a re-parcelling operation or in a
simple exchange of parcels.
In such cases, the conditions applicable to released land shall be
applied to areas agronomically equivalent to the released land.
Member States may make provision for released land to be taken in
charge by a body which undertakes to reassign it at a later date to atransferee who satisfies the conditions laid down for early retirement.
SECTION 5
Less-favouredareasandareaswithenvironmentalrestrictions
Article 11
Compensatory allowances for areas used jointly by several farmers for
the purpose of grazing animals may be granted to each farmer
concerned in proportion to that farmer's use or, right of use, of theland.
Article 12
The support provided for in Article 16 of Regulation (EC) No 1257/
1999 may not offset the costs and loss of income resulting from theimplementation of restrictions based on Directive 91/676/EEC.
SECTION 6
Agri-environment
Article 13
Any commitment to extensify livestock farming or manage livestock
farming differently shall comply with at least the following conditions:
(a) grassland management shall continue;
(b) the livestock shall be distributed across the farm in such a way that
the whole of the grazed area is maintained, thus avoiding bothover-grazing and under-utilisation;
(c) livestock density shall be defined taking into account all grazing
livestock kept on the farm or, in the case of a commitment to limitnutrient leaching, all animals kept on the farm which are relevant
to the commitment in question.
Article 14
1. Support may relate to the following commitments:
(a) to rear farm animals of local breeds indigenous to the area and in
danger of being lost to farming;
(b) to preserve plant genetic resources naturally adapted to the local
and regional conditions and under threat of genetic erosion.
2. The local breeds and plant genetic resources must play a role in
maintaining the environment on the area to which the measureprovided for in paragraph 1 applies.
The eligible species of farm animals and the criteria for determining
the threshold of loss to farming of local breeds are defined in the tablein Annex I to this Regulation.
Article 15
For the purposes of the second subparagraph of Article 24(1) of Regu-
lation (EC) No 1257/1999, capital works shall be considered to be non-remunerative provided that they do not normally lead to any significantnet increase in the value or profitability of the farm.2002R0445 — EN — 22.03.2002 — 000.001 — 8
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Article 16
Agri-environment commitments beyond the minimum period of five
years referred to in Article 23(1) of Regulation (EC) No 1257/1999shall not run for a longer period than is reasonably necessary for the
achievement of their environmental effects. They shall normally be
for no longer than 10 years, except in the case of specific commitmentswhere a longer period is found to be indispensable.
Article 17
Various agri-environment commitments may be combined provided
that they are complementary and compatible.
Where agri-environment measures are thus combined, the level of
support shall take account of income forgone and specific additionalcosts arising from the combination.
Article 18
1. The reference level for calculating income forgone and additional
costs resulting from the commitments given shall be the usual goodfarming practice in the area where the measure is applied.
The economic consequences of abandoning land or ceasing certain
farming practices may be taken into account where this is justified bythe agronomic or environmental circumstances.
2. Payments may not be made per unit of production, except in the
case of support for rearing farm animals of breeds which are in danger
of being lost, which may be paid per livestock unit or per animalreared. Where commitments are normally expressed in units otherthan area, Member States may calculate payments on the basis of thoseunits.
3. In the specific cases referred to in paragraph 2, Member States
shall ensure that the maximum amounts per year eligible for Commu-
nity support as set out in the Annex to Regulation (EC) No 1257/1999
are complied with.
To this end the Member State may:
(a) set a limit on the number of units per hectare of the farm to which
the agri-environment commitments applies; or
(b) determine the overall maximum amount for each participating farm
and ensure that the payments for each farm are compatible withthis limit.
4. Payments may be based on limitations on the use of fertilisers,
plant protection products or other inputs only if such limitations are
technically and economically measurable.
Article 19
Member States shall determine the need to provide an incentive as
provided for in the third indent of the first subparagraph of
Article 24(1) of Regulation (EC) No 1257/1999 on the basis of objec-tive criteria.
Incentives may not exceed 20 % of the income forgone and additional
costs due to the commitment given, except in the case of specificcommitments where a higher rate is deemed to be indispensable foreffective implementation of the measure.
Article 20
A farmer who gives an agri-environment commitment relating to one
part of a farm shall adhere to at least the standard of usual goodfarming practice throughout the farm.2002R0445 — EN — 22.03.2002 — 000.001 — 9
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Article 21
1. Member States may authorise one commitment to be converted
into another during the period of its operation, on condition that:
(a) any such conversion is of unquestionable benefit to the environ-
ment;
(b) the existing commitment is significantly reinforced; and
(c) the approved programme includes the commitments concerned.
An agri-environment commitment may be converted into a commit-
ment for afforestation of agricultural land under Article 31 of
Regulation (EC) No 1257/1999 subject to the conditions set out in
points (a) and (b) of the first subparagraph of this paragraph. Theagri-environment commitment shall cease without reimbursement beingrequired.
2. Member States may allow agri-environment commitments to be
adjusted during the period for which they apply, provided that theapproved programme includes scope for such adjustment and that the
adjustment is duly justified having regard to the objectives of the
commitment.
SECTION 7
Improvingtheprocessingandmarketingofagriculturalproducts
Article 22
Eligible expenditure may include:
(a) the construction and acquisition of immovable property, with the
exception of land purchase;
(b) new machinery and equipment including computer software;
(c) general costs, such as architects', engineers' and consultants' fees,
feasibility studies, acquisition of patents and licences.
The costs referred to in point (c) of the first subparagraph are in addi-
tion to the costs referred to in (a) and (b) and shall be consideredeligible expenditure up to a ceiling of 12 % of those costs.
Article 23
1. For the purposes of Article 26(3) of Regulation (EC) No 1257/
1999, the existence of normal market outlets shall be assessed at theappropriate level in relation to:
(a) the products concerned;
(b) the types of investment;
(c) existing and planned capacity.
2. Any restrictions on production or limitations on Community
support under common market organisations shall be taken into
account.
Article 24
In the outermost regions, support may be granted for investment in the
processing or marketing of products from third countries, provided that
the processed products are intended for the market of the region inquestion.
For the purpose of compliance with the condition laid down in the first
subparagraph, support shall be limited to processing capacity corre-sponding to regional needs, provided that such processing capacitydoes not exceed such needs.2002R0445 — EN — 22.03.2002 — 000.001 — 10
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SECTION 8
Forestry
Article 25
The forests excluded from forestry support under Article 29(3) of
Regulation (EC) No 1257/1999 shall be:
(a) forest or other wooded land owned by central or regional govern-
ments, or by government-owned corporations;
(b) Crown forest and other wooded land;
(c) forests owned by legal persons at least 50 % of whose capital is
held by one of the institutions referred to in points (a) and (b).
Article 26
Agricultural land eligible for support for afforestation under Article 31
of Regulation (EC) No 1257/1999 shall be specified by the MemberState and shall include in particular arable land, grassland, permanentpastures and land used for perennial crops, where farming takes placeon a regular basis.
Article 27
1. For the purposes of the second indent of the second subparagraph
of Article 31(1) of Regulation (EC) No 1257/1999, ‘farmer’ means aperson who devotes an essential part of his or her working time to agri-cultural activities and derives from them a significant part of his or her
income according to detailed criteria to be determined by the Member
State.
2. For the purposes of the second subparagraph of Article 31(3) of
Regulation (EC) No 1257/1999, ‘fast-growing species cultivated in the
short term’ means species with a rotation time, namely the period
between two harvest cuts on the same parcel, of less than 15 years.
Article 28
1. Support under Article 32 of Regulation (EC) No 1257/1999 may
not be granted for areas for which support under Article 31 of that
Regulation has been granted.
2. Payments for maintaining fire-breaks through agricultural
measures under the second indent of Article 32(1) of Regulation (EC)No 1257/1999 may not be granted for areas which are the subject ofagri-environment support.
Such payments shall be consistent with any restrictions on production
or limitations on Community support under common market organisa-tions and shall take account of payments made under those commonmarket organisations.
SECTION 9
Rulescommontoseveral measures
Article 29
For the purposes of the third indent of Article 14(2) and the first
subparagraph of Article 23(2) of Regulation (EC) No 1257/1999, ‘usualgood farming practice’ means the standard of farming which a reason-able farmer would follow in the region concerned.
Member States shall set out verifiable standards in their rural develop-
ment plans. These standards shall at least entail compliance with
general mandatory environmental requirements.
Article 30
Where a beneficiary transfers all or part of a holding to another person
during the period for which a commitment given as a condition for the2002R0445 — EN — 22.03.2002 — 000.001 — 11
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grant of support runs, the transferee may take over the commitment for
the remainder of the period. If the commitment is not transferred, thebeneficiary shall reimburse the support granted.
Member States may choose not to require such reimbursement if a
beneficiary who has already honoured a significant part of the commit-ment concerned definitively ceases agricultural activities and it is notfeasible for a successor to take over the commitment.
In the event of minor changes to the situation of a holding, Member
States may take specific measures to ensure that application of the firstsubparagraph does not lead to inappropriate results in terms of thecommitment entered into.
Article 31
1. When a beneficiary increases the area of the holding during the
period for which a commitment given as a condition for the grant of
support runs, Member States may provide for the commitment to beextended to cover the additional area for the remainder of the periodof the commitment in accordance with paragraph 2, or for the originalcommitment to be replaced by a new one in accordance withparagraph 3.
Provision may also be made for such replacement in cases where the
area covered by a commitment within a holding is extended.
2. The extension referred to in paragraph 1 may be granted only
under the following conditions:
(a) it is of unquestionable benefit to the measure concerned;
(b) it is justified in terms of the nature of the commitment, the length
of the remaining period and the size of the additional area;
(c) it does not impede the effectiveness of checks to ensure compliance
with the conditions for the grant of support.
The size of the additional area referred to in (b) must be significantly
less than the original area or not more than two hectares.
3. The new commitment referred to in paragraph 1 shall cover the
whole area concerned under terms at least as strict as those of theoriginal commitment.
Article 32
Where a beneficiary is unable to continue to comply with commitments
given because the holding is reparcelled or is the subject of other
similar public land-consolidation measures, Member States shall takethe measures necessary to allow the commitments to be adapted to thenew situation of the holding. If such adaptation proves impossible, thecommitment shall expire and reimbursement shall not be required in
respect of the period in which the commitment was effective.
Article 33
1. Without prejudice to the actual circumstances to be taken into
consideration in individual cases, Member States may recognise, inparticular, the following categories of force majeure :
(a) death of the farmer;
(b) long-term professional incapacity of the farmer;
(c) expropriation of a large part of the holding if this could not have
been anticipated on the day on which the commitment was given;
(d) a severe natural disaster seriously affecting the agricultural land on
the holding;
(e) the accidental destruction of livestock buildings on the holding;
(f) an epizootic disease affecting all or part of the farmer's livestock.
Member States shall notify the Commission of categories which they
recognise as force majeure .2002R0445 — EN — 22.03.2002 — 000.001 — 12
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2. Cases of force majeure shall be notified in writing to the compe-
tent authority, together with relevant evidence to the satisfaction of thatauthority, within 10 working days of the date on which the farmer is in
a position to do so.
CHAPTERII
GENERAL RULES AND ADMINISTRATIVE AND FINANCIAL PROVISIONS
SECTION 1
General rules
Article 34
For the purposes of the second subparagraph of Article 37(3) of Regu-
lation (EC) No 1257/1999, Articles 35, 36 and 37 of this Regulationshall apply.
Article 35
1. Environmental measures implemented under common market
organisations, agricultural quality and health measures, or rural devel-opment measures other than agri-environment support, shall notpreclude agri-environment support for the same production, providedthat such support is additional and consistent with the measures
concerned.
2. In the event of a combination as envisaged in paragraph 1, the
following provisions shall apply:
(a) agri-environment measures on land set aside under Article 6 of
Council Regulation (EC) No 1251/1999(
1) shall qualify for support
only if the commitments go beyond the appropriate environmentalmeasures referred to in Article 6(2) of that Regulation;
(b) in the case of extensification of beef production, support shall take
account of the extensification payment under Article 13 of CouncilRegulation (EC) No 1254/1999(
2);
(c) in the case of support for less-favoured areas and areas with envir-
onmental restrictions, agri-environment commitments shall takeaccount of the conditions laid down for support in the areas
concerned.
3. For the purposes of applying paragraphs 1 and 2, the level of
support shall take account of income forgone and specific additionalcosts arising from the combination.
Article 36
Under no circumstances may the same commitment be the subject of
payments simultaneously under agri-environment support and anotherCommunity aid scheme.
Article 37
Member States shall propose any exceptions under the first indent of
the second subparagraph of Article 37(3) of Regulation (EC) No 1257/
1999 in their rural development plans or programming documents
presented for Objectives 1 and 2 as provided for in Article 18(1)and (2) and Article 19(1), (2) and (3) of Regulation (EC) No 1260/1999.
Article 38
Payments under rural development measures shall be made in full to
the beneficiaries.2002R0445 — EN — 22.03.2002 — 000.001 — 13
(1) OJ L 160, 26.6.1999, p. 1.
(2) OJ L 160, 26.6.1999, p. 21.
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Article 39
Regulation (EC) No 1685/2000 shall apply to measures included in the
programming referred to in Article 40(2) and (3) of Regulation (EC)No 1257/1999, except where otherwise provided in Regulations (EC)
No 1257/1999 and No 1258/1999 and this Regulation.
SECTION 2
Programming
Article 40
The rural development plans under Title III, Chapter II, of Regulation
(EC) No 1257/1999 shall be submitted in accordance with Annex II tothis Regulation.
Article 41
1. The approval of the programming documents referred to in
Article 44(2) of Regulation (EC) No 1257/1999 shall determine theoverall amount of Community support.
That amount shall include:
(a) expenditure on measures presented under the new rural develop-
ment programming, including expenditure on evaluation underArticle 49(2) of Regulation (EC) No 1257/1999;
(b) expenditure incurred under earlier accompanying measures covered
by Council Regulations (EEC) No 2078/92 (
1), (EEC) No 2079/
92(2) and (EEC) No 2080/92 (3) as well as expenditure incurred
under the measures covered by the earlier Regulations repealed bythe above Regulations;
(c) expenditure incurred on measures under Article 4 of Regulation
(EC) No 2603/1999.
2. Besides the provisions of paragraph 1, the approval shall also
cover the allocation and use of amounts remaining available to theMember States as additional Community support under Article 5 ofRegulation (EC) No 1259/1999.
However, those amounts shall not be included in the overall amount of
Community support referred to in paragraph 1.
3. The approval may cover State aid intended to provide additional
financing to rural development measures only if the State aid is identi-
fied in accordance with point 16 of Annex II.
Article 42
Member States shall make rural development programming documents
available to the public.
Article 43
Where rural development measures are submitted in the form of
general framework regulations, rural development plans shall makeappropriate reference to such regulations.
Articles 40, 41 and 42 shall also apply in the case referred to in the
first paragraph.
Article 44
1. Amendments to rural development programming documents and
single programming documents under Objective 2 in the case of ruraldevelopment measures financed by the EAGGF Guarantee Section2002R0445 — EN — 22.03.2002 — 000.001 — 14
(1) OJ L 215, 30.7.1992, p. 85.
(2) OJ L 215, 30.7.1992, p. 91.
(3) OJ L 215, 30.7.1992, p. 96.
▼B
shall be duly substantiated, in particular giving the following informa-
tion:
(a) the reasons and any implementation problems justifying adjustment
of the programming document;
(b) the expected effects of the amendment;
(c) the implications for financing and verification of commitments.
2. Acting in accordance with the procedures referred to in Articles
50(2) and 48(3), respectively, of Regulation (EC) No 1260/1999, theCommission shall approve any amendments to rural developmentprogramming documents and to single programming documents under
Objective 2 in the case of rural development measures financed by the
EAGGF Guarantee Section whenever they have a bearing on:
(a) priorities;
(b) the main features of the support measures as indicated in Annex II,
including changes to the rate of Community contribution;
(c) the overall amount of Community support;
(d) the financial allocation made for any measure, by changing it by
more than 10 % of the amount provided for the entire programmingperiod, calculated on the basis of the programming documentapproved by the Commission;
(e) additional financing in the form of State aid granted for any
measure, by changing it by more than 10 % of the amount provided
for that measure for the entire programming period, calculated onthe basis of the programming document approved by the Commis-sion.
Points (d) and (e) shall not apply to measures with a financial alloca-
tion accounting for less than 5 % of the total amount allocated to theprogramme for the entire programming period.
3. Amendments shall be submitted to the Commission in a single
proposal per programme no more than once a year.
4. Amendments of a financial nature which are not covered by
points (d) and (e) of paragraph 2 shall be communicated in due time
to the Commission for information.
5. Amendments other than those covered in paragraphs 2 and 4 shall
be communicated to the Commission at least two months before theirentry into force.
Article 45
Where Community legislation is subsequently amended, rural develop-
ment programming documents and single programming documentsunder Objective 2 shall be revised in line with subsequent changes inCommunity legislation.
Article 44(3) shall not apply to such revisions.If the amendment of rural development programming documents or
single programming documents under Objective 2 is limited to bringingthe document into line with new Community legislation, such amend-ments shall be sent to the Commission for information.2002R0445 — EN — 22.03.2002 — 000.001 — 15
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SECTION 3
AdditionalmeasuresandCommunityinitiatives
Article 46
The scope of assistance from the EAGGF Guidance Section for
measures in the Community initiative for rural development shall beextended to the whole Community and its financing extended tomeasures eligible under European Parliament and Council Regulations(EC) No 1783/1999 (
1) and (EC) No 1784/1999 (2).
SECTION 4
Financial provisions
Article 47
1. No later than 30 September each year, the Member States shall
forward the following information to the Commission, for each ruraldevelopment programming document and each single programming
document under Objective 2 in the case of rural development measures
financed by the EAGGF Guarantee Section:
(a) a statement of expenditure incurred in the current financial year
and expenditure remaining to be disbursed by the end of that yearand covered by Community support as defined in Article 41(1);and
(b) revised forecasts of such expenditure for subsequent financial years
until the end of the programming period concerned, keeping withinthe allocation for each Member State.
This information shall be transmitted in table format using a compu-
terised model supplied by the Commission.
2. Without prejudice to the general rules on budgetary discipline,
where the information which Member States are required to transmitto the Commission under paragraph 1 is incomplete or the time limithas not been met, the Commission shall reduce advances on entry in
the accounts of agricultural expenditure on a temporary and flat-rate
basis.
Article 48
1. For the month during which the decision is adopted approving a
rural development programming document or a single programming
document under Objective 2 in the case of rural development measuresfinanced by the EAGGF Guarantee Section, the paying agencies mayenter in the accounts as expenditure an advance not exceeding 12,5 %of the average annual EAGGF contribution provided for in theprogramming document, covering the expenditure referred to in
Article 41(1).
This advance shall represent working capital which, in principle, may
be recovered only at the end of the programming period for eachprogramming document, or once the aggregate sum of the expenditurepaid out by the EAGGF and the amount of the advance is equal to thetotal EAGGF contribution provided for in the programming document.
2. The advance under paragraph 1 shall be entered in the accounts,
for those countries whose currency is not the euro on the date of such
entry, using the rate of exchange prevailing on the penultimate
Commission working day of the month preceding that in which thepaying agencies enter the advance in the accounts.2002R0445 — EN — 22.03.2002 — 000.001 — 16
(1) OJ L 213, 13.8.1999, p. 1.
(2) OJ L 213, 13.8.1999, p. 5.
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Article 49
1. For each Member State, expenditure declared for any given finan-
cial year shall be financed upto the limit of the amounts notified to the
Commission under point (b) of the first subparagraph of Article 47(1)which are covered by the appropriations entered in the budget for thefinancial year concerned.
2. Where the total amount of the forecasts notified under point (b)
of the first subparagraph of Article 47(1) exceeds the total appropria-
tions entered in the budget for the financial year concerned, themaximum amount of expenditure to be financed for each Member Stateshall be limited using the formula used to establish the correspondingannual allocation as defined in Decision 1999/659/EC.
If, after this reduction, appropriations remain available because some
Member States have made forecasts which are below their annual allo-cation, the surplus amount shall be distributed in proportion to theMember States' respective annual allocations while ensuring that theamount forecast for each Member State as referred to in the firstsubparagraph is not exceeded. The Commission shall notify the fore-
casts thus adjusted to the Member States in the month following the
adoption of the budget for the financial year concerned.
3. Where expenditure actually incurred by a Member State in any
given financial year exceeds the amounts notified under point (b) ofthe first subparagraph of Article 47(1) or the amounts resulting from
the application of paragraph 2 of this Article, the overruns on expendi-
ture in the current financial year shall be taken into account on a pro
ratabasis, up to the limit of the appropriations remaining available
after reimbursing to the other Member States the expenditure incurred.
4. Where expenditure actually incurred by a Member State in a
given financial year is less than 75 % of the amounts referred to in
paragraph 1, the expenditure to be recognised for the following finan-cial year shall be reduced by a third of the difference between thisthreshold, or the amounts resulting from the application of paragraph2 if they are below it, and the actual expenditure incurred during the
financial year concerned.
This reduction shall not be taken into account when establishing actual
expenditure in the financial year following that in which the reductionwas made.
5. Paragraph 4 shall not apply to the first statement of expenditure
incurred during the 2000 financial year under the rural development
programming document or the single programming document underObjective 2 in the case of rural development measures financed by theEAGGF Guarantee Section.
Article 50
Articles 47, 48 and 49 of this Regulation shall not apply to expenditure
incurred under Article 5 of Regulation (EC) No 1259/1999.
Article 51
The Community shall contribute to financing evaluations in the
Member States under Article 49(2) of Regulation (EC) No 1257/1999where such evaluations actually contribute to evaluation at Community
level by virtue of their scope, particularly through their replies to
common evaluation questions and their quality.
The Community contribution shall not exceed 50 % of a ceiling which,
except in duly justified cases, shall be 1 % of the total costs of therural development programme. For each rural development programme,
at least 40 % of the part-financing shall concern ex postevaluation.
Article 52
1. Beneficiaries of investment support measures under Title II,
Chapters I, VII, VIII and IX, of Regulation (EC) No 1257/1999 mayrequest the payment of an advance from the competent paying agencies2002R0445 — EN — 22.03.2002 — 000.001 — 17
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if this option is included in the programming document. As regards
public beneficiaries, this advance may only be granted to municipalitiesand associations thereof and to public law bodies.
2. The amount of the advance shall not exceed 20 % of the total
cost of the investment, and its payment shall be subject to the estab-lishment of a bank guarantee corresponding to 110 % of the amountof the advance.
However, in the case of the public beneficiaries referred to in para-
graph 1, the paying agency may accept a written guarantee from theirauthority, in accordance with provisions applied in the Member States,covering an amount equal to the percentage specified in the first
subparagraph, provided that the authority undertakes to pay the amount
covered by its guarantee should entitlement to the advance paid not beestablished.
3. The guarantee shall be released once the competent agency notes
that the amount of real expenditure resulting from the investment
exceeds the amount of the advance.
4. Paying agencies may declare to the EAGGF Guarantee Section
the amount corresponding to the Community part-financing:
(a) of the advance paid;
(b) of the actual expenditure subsequently paid to beneficiaries, minus
the amount of the advance already paid.
SECTION 5
Monitoringandevaluation
Article 53
1. The annual progress reports provided for in Article 48(2) of
Regulation (EC) No 1257/1999 shall be submitted to the Commissionby 30 April of each year and shall relate to the previous calendar year.
Progress reports shall contain the following information:
(a) any change in the general conditions which is of relevance to the
implementation of the measure, and in particular any major socio-economic trends or changes in national, regional or sectoral poli-
cies;
(b) the progress of measures and priorities in relation to their opera-
tional and specific objectives, expressed using quantitative
indicators;
(c) action taken by the management authority and the Monitoring
Committee, if provision has been made for such a committee, toensure high quality and effective implementation, and in particular:
(i) monitoring measures, financial control and evaluation,
including data collection procedures;
(ii) a summary of the major problems encountered in managing the
measure and any steps taken;
(d) measures taken to ensure compatibility with Community policies.
2. The indicators referred to in point (b) of the second subparagraph
of paragraph 1 shall follow, as far as possible, the common indicatorsdefined in the guidelines drawn upby the Commission. Where addi-tional indicators are needed to effectively monitor progress towardsthe objectives in the rural development programming documents, these
shall be included.
Article 54
1. Evaluations shall be performed by independent evaluators in
accordance with recognised practice.2002R0445 — EN — 22.03.2002 — 000.001 — 18
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2. Evaluations shall provide answers, in particular, to common
evaluation questions defined by the Commission in consultation withthe Member States and shall, as a general rule, be accompanied by
performance-related criteria and indicators.
3. The authority responsible for managing the rural development
programming document shall assemble the appropriate resources forevaluations, making use of monitoring results and gathering additional
information where necessary.
Article 55
1.Ex anteevaluation shall analyse the disparities, gaps and poten-
tials of the current situation, assess the consistency of the proposed
strategy with the situation and targets and consider the issues raised inthe common evaluation questions. It shall assess the expected impact ofthe selected priorities for action and quantify their targets wherepossible. It shall also verify the proposed implementing arrangementsand consistency with the common agricultural policy and other poli-
cies.
2.Ex anteevaluation shall be the responsibility of the authorities
preparing the rural development plan and shall form part of it.
Article 56
1. Mid-term and ex post evaluation shall deal with the specific
issues arising in the rural development programming documentconcerned and with common evaluation questions relevant at Commu-
nity level. These shall relate to the living conditions and structure of
the rural population, employment and income from farm and off-farmactivities, agricultural structures, agricultural commodities, quality,competitiveness, forest resources and the environment.
If a common evaluation question is not considered relevant to a parti-
cular rural development programming document, this shall besubstantiated.
2. Mid-term evaluation shall deal with the evaluation questions and
shall examine in particular the initial achievements, their relevance to
and consistency with the rural development programming documentand the extent to which the targets have been attained. It shall alsoassess the use made of financial resources and the operation of moni-toring and implementation.
Ex postevaluation shall answer the evaluation questions, paying parti-
cular attention to the use made of resources and the effectiveness andefficiency of assistance and its impact and shall draw conclusionsconcerning rural development policy, including its contribution to thecommon agricultural policy.
3. Mid-term and ex postevaluation shall be performed in consulta-
tion with the Commission under the responsibility of the authority incharge of managing rural development programming.
4. The quality of individual evaluations shall be assessed using
recognised methods by the authority in charge of managing the ruraldevelopment programming document, the Monitoring Committee, ifany, and the Commission. The results of the evaluations shall bemade available to the public.
Article 57
1. A mid-term evaluation report shall be transmitted to the Commis-
sion not later than 31 December 2003. The authority responsible for
managing the rural development programming document shall inform
the Commission on the follow-upto the recommendations in theevaluation report. The Commission shall prepare a Community-levelsummary upon receipt of the individual evaluation reports. Wherenecessary, an update of the mid-term evaluation shall be completed by31 December 2005.2002R0445 — EN — 22.03.2002 — 000.001 — 19
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2. An ex postevaluation report shall be transmitted to the Commis-
sion not later than two years after the end of the programming period.Within three years of the end of the programming period and upon
receipt of the individual evaluation reports the Commission shall
prepare a Community-level summary.
3. The evaluation reports shall explain the methods used, including
their implications for the quality of the data and the findings. Reports
shall include a description of the context and contents of the
programme, financial information and the answers — including theindicators used — to the common evaluation questions and the evalua-tion questions defined at national or regional level, as well asconclusions and recommendations. Their structure shall follow, as far
as possible, a common structure for evaluation reports defined in guide-
lines drawn upby the Commission.
SECTION 6
Applications,checksandpenalties
Article 58
1. Applications for rural development support for areas or animals
which are lodged separately from aid applications under Article 6 of
Regulation (EC) No 2419/2001 shall indicate all the areas and animals
on the holding which are relevant for checking the applications underthe measure in question, including those for which no support isrequested.
2. Where a rural development support measure relates to areas,
parcels shall be identified individually. During the period covered bya commitment, parcels receiving support may not be exchanged exceptin cases specifically provided for in the programming document.
3. Where an application for payment is included with an application
for an area payment in the context of the integrated administration andcontrol system, the Member State shall ensure that parcels covered byapplications for rural development support are declared separately.
4. Plots of land and animals shall be identified in accordance with
Articles 4 and 5 of Regulation (EEC) No 3508/92.
5. Where support is multiannual, payments subsequent to that made
in the year an application was submitted shall be made in response toan annual application for payment, except where the Member State has
introduced an effective annual verification procedure as referred to in
Article 59(1).
Article 59
1. Initial applications to join a scheme and subsequent applications
for payment shall be checked in a manner which ensures effective veri-
fication of compliance with the conditions for granting support.
The Member States shall define suitable methods and means for veri-
fying each support measure as well as the persons who shall be subject
to checks.
Wherever appropriate, Member States shall make use of the integrated
administration and control system introduced by Regulation (EEC)No 3508/92.
2. Verification shall consist of administrative and on-the-spot
checks.
Article 60
Administrative checks shall be exhaustive and shall include cross-
checks wherever appropriate, inter alia with data from the integrated
administration and control system. They shall relate to parcels and live-stock covered by a support measure in order to avoid all unjustifiedpayments of aid. Compliance with long-term commitments shall alsobe checked.2002R0445 — EN — 22.03.2002 — 000.001 — 20
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Article 61
On-the-spot checks shall be made in accordance with Title III of Regu-
lation (EC) No 2419/2001. They shall cover at least 5 % of
beneficiaries each year and all the different types of rural development
measures set out in the programming documents.
On-the-spot checks shall be spread over the year on the basis of an
analysis of the risks presented by each rural development measure.
Checks shall cover all the commitments and obligations of a benefi-
ciary which can be checked at the time of the visit.
Article 62
1. Articles 30, 31 and 32 of Regulation (EC) No 2419/2001 shall
apply to area payments.
Articles 36, 38 and 40 of that Regulation shall apply to headage
payments.
2. Article 44 of Regulation (EC) No 2419/2001 shall apply to the
support referred to in paragraph 1 of this Article.
3. In the event of undue payment, the individual beneficiary under a
rural development measure shall be under an obligation to repay theamount in accordance with Article 49 of Regulation (EC) No 2419/2001.
Article 63
1. Any beneficiary found to have made a false declaration as a result
of serious negligence shall be excluded from all rural developmentmeasures under the relevant chapter of Regulation (EC) No 1257/1999for the calendar year in question.
Where a false declaration was made intentionally, the beneficiary shall
be excluded for the following year as well.
2. The penalties provided for in paragraph 1 shall apply without
prejudice to additional penalties provided for under national rules.
Article 64
Member States shall lay down the rules on penalties applicable to
infringements of the provisions of this Regulation and shall take allmeasures necessary to ensure that they are implemented. The penaltiesprovided for must be effective, proportionate and dissuasive.
CHAPTERIII
FINAL PROVISIONS
Article 65
1. Regulation (EC) No 1750/1999 is repealed.References to the repealed Regulation shall be construed as references
to this Regulation and shall be read in accordance with the correlationtable in Annex III.
2. The Regulations and Decisions repealed by Regulation (EC) No
1750/1999 shall continue to apply to actions approved by the Commis-sion before 1 January 2000 under the Regulations referred to in
Article 55(1) of Regulation (EC) No 1257/1999.
Article 66
This Regulation shall enter into force on the seventh day following its
publication in the Official Journal of the European Communities .
This Regulation shall be binding in its entirety and directly applicable
in all Member States.2002R0445 — EN — 22.03.2002 — 000.001 — 21
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ANNEX I
(Article 14)
Eligible farm animal species Thresholds under which a local breed is
considered as being in danger of being lost
to farming
(number of breeding females) (1)
Cattle 7500
Sheep10000
Goats 10000
Equidae 5000
Pigs 15000
Avian 25000
(1) Number, calculated for all EU Member States, of breeding females of the same breed
available for purebred reproduction, included in a register recognised by the Member
State (e.g. herd book or flock book).2002R0445 — EN — 22.03.2002 — 000.001 — 22
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ANNEX II
RURALDEVELOPMENTPLANS
1.Titleofruraldevelopmentplan
2.Member Stateandadministrativeregion(ifrelevant)
3.1.Geographical area covered by the plan
(Article 41 of Regulation (EC) No 1257/1999)
3.2.Regions classified as Objectives 1and 2
(Article 40 of Regulation (EC) No 1257/1999)
Identify:
— Objective 1 regions and Objective 1 regions in transition. This applies
only to the accompanying measures (early retirement, compensatory
allowances, agri-environment and afforestation of agricultural land
under Article 31 of Regulation (EC) No 1257/1999),
— Objective 2 regions. This applies to:
(1) accompanying measures,
(2) other measures which do not form part of the Objective 2 program-
ming.
4.Planningattherelevant geographicallevel
(Article 41(2) of Regulation (EC) No 1257/1999)Where exceptionally more than one rural development plan will apply in
the region, indicate:
— all the relevant plans,
— why it is not possible to integrate measures into a single plan,— the relationshipbetween measures in the different p lans and details as
to how compatibility and consistency between plans will be ensured.
5.Quantifieddescriptionofthecurrent situation
(First indent of Article 43(1) of Regulation (EC) No 1257/1999)
(1)Description of the current situation
Describe the current situation of the geographical area using quantified
data, highlighting strengths, disparities, gaps and potential for rural
development. This description should concern both agricultureand
forestry (including the type and extent of handicaps affecting farming
in less-favoured areas), the rural economy, the demographic situation,
human resources, employment and the state of the environment.
(2)Impact from the previous programming period
Describe the impact of EAGGF financial resources allocated to rural
development during the previous programming period and under
accompanying measures since 1992. Present the results of evaluations.
(3)Other information
Where relevant, also describe any supplementary measures in addition
to Community rural development and accompanying measures which
have had an impact on the programming area concerned.
6.Descriptionofthestrategyproposed,itsquantifiedobjectives,therural
developmentpriorities selectedandthegeographical areacovered
(Second indent of Article 43(1) of Regulation (EC) No 1257/1999)
(1)Proposed strategy, quantified objectives and priorities selected
In the light of the strengths, disparities, gaps and development potential
identified in the area concerned, describe in particular:
— the priorities for action,2002R0445 — EN — 22.03.2002 — 000.001 — 23
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— the appropriate strategy to attain the objectives,
— the operational objectives and expected impact, quantified where
possible, also in terms of both monitoring and estimates that can
be used for evaluation purposes,
— the extent to which the strategy takes account of the specific
features of the areas concerned,
— how the integrated approach has been applied,
— the extent to which the strategy provides for the involvement of
women and men,
— the extent to which the strategy takes account of all relevant inter-
national Community and national obligations in the field of the
environment, including those relating to sustainable development,
in particular the quality and use of water, conservation of biodiver-
sity including on-farm conservation of cropvarieties, and global
warming.
(2)Description and effects of other measures
Where relevant, the description must also include any measures taken
outside the rural development plan (other Community measures or
national measures, such as compulsory rules, codes of practice and
State-aided measures) and the extent to which these measures meet
the needs identified.
(3)Areas covered by specific territorial measures
Describe the geographical coverage of any measures as defined at
point 8 which do not apply throughout the region indicated at point 3.
In particular, include:
— the list of less-favoured areas adopted for the area concerned,
— any amendments to the list of less-favoured areas, giving the
reasons (Article 55(4) of Regulation (EC) No 1257/1999),
— areas with environmental restrictions, giving reasons.
(4)Timetable and uptake
Proposed timetable for implementing the various measures, expected
uptake and duration (see also point 8).
7.Appraisal showing the expected economic, environmental and social
impact
(Third indent of Article 43(1) of Regulation (EC) No 1257/1999)Detailed description in accordance with Article 43 of Regulation (EC)
No 1257/1999.
8.Indicativeoverallfinancialtable(EAGGFfinancialyear)
(Fourth indent of Article 43(1) of Regulation (EC) No 1257/1999)2002R0445 — EN — 22.03.2002 — 000.001 — 24
Financial programming table: rural development programmes
(EUR million)
Year 1 … Year 7 Total
Public
expendi-
ture (1)EU contri-
bution (2)Private
sector
contribu-
tion (3)Public
expendi-
ture (1)EU contri-
bution (2)Private
sector
contribu-
tion (3)Public
expendi-
ture (1)EU contri-
bution (2)Private
sector
contribu-
tion (3)
Priority A
Measure A1 (e.g. agri-environ-
ment)
including measures approved
under Regulation (EC)
No 2078/1992
Measure A2 …… Measure An
Total A
Priority B…
Measure B1 (e.g. early retire-
ment)
including measures approved
under Regulation (EC)
No 2079/1992
Measure B2 …… Measure Bn
Total B▼B2002R0445 — EN — 22.03.2002 — 000.001 — 25
(EUR million)
Year 1 … Year 7 Total
Public
expendi-
ture (1)EU contri-
bution (2)Private
sector
contribu-
tion (3)Public
expendi-
ture (1)EU contri-
bution (2)Private
sector
contribu-
tion (3)Public
expendi-
ture (1)EU contri-
bution (2)Private
sector
contribu-
tion (3)
…Priority N
Measure N1 (e.g. afforestation)
including measures approved
under Regulation (EC)
No 2080/1992
Measure N2 …
… Measure Nn
Total N
OthermeasuresEvaluationFormer measures from before
1992
Transitional measures (
4)
Total other measures▼B2002R0445 — EN — 22.03.2002 — 000.001 — 26
(EUR million)
Year 1 … Year 7 Total
Public
expendi-
ture (1)EU contri-
bution (2)Private
sector
contribu-
tion (3)Public
expendi-
ture (1)EU contri-
bution (2)Private
sector
contribu-
tion (3)Public
expendi-
ture (1)EU contri-
bution (2)Private
sector
contribu-
tion (3)
Total plan N
(1) Column for planned (public) expenditure, provided for guidance.
(2) Column for the Community contribution planned for each measure. The Community contribution relating to expenditure to be paid is calculated using t he rates and
arrangements laid down in the programme for each measure. The Community contribution can be calculated in relation to eligible public expenditure (c olumn 2/
column 1) or total eligible cost (column 2/(column 1 + column 3)).
(3) Column for planned (private-sector) expenditure, provided for guidance when such a contribution is foreseen for the measure.
(4) Article 4(2) of Regulation (EC) No 2603/1999. The Member States must define the criteria, identifying clearly the expenditure to be included in prog ramming.
Application of appropriations resulting from modulation
Year 1 Year 2 … Year 7 Total
Public expen-
ditureEU contribu-
tionPublic expen-
ditureEU contribu-
tionPublic expen-
ditureEU contribu-
tionPublic expen-
ditureEU contribu-
tion
Early retirement
Agri-environmentAfforestationLess-favoured areas
Total modulation
NB: Where a measure is entered simultaneously under more than one priority, the Member State shall provide, for the purposes of financial management, an additional table
consolidating all expenditure relating to the measure. This additional table should follow the structure of the table above and the order of the list b elow.▼B2002R0445 — EN — 22.03.2002 — 000.001 — 27
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— The different measures are defined as follows:
(a) investment in farms;
(b) start-upassistance for young farmers;
(c) training;
(d) early retirement;
(e) less-favoured areas and areas with environmental restrictions;
(f) agri-environment;
(g) improving the processing and marketing of agricultural products;
(h) afforestation of agricultural land;
(i) other forestry measures;(j) land improvement;
(k) reparcelling;
(l) setting upfarm relief and farm management services;
(m) marketing of quality agricultural products;
(n) basic services for the rural economy and population;
(o) renovation and development of villages and protection and conser-
vation of the rural heritage;
(p) diversifying agricultural activities and activities close to agriculture
to provide multiple activities or alternative sources of income;
(q) managing agricultural water resources;
(r) developing and improving infrastructure connected with the devel-
opment of agriculture;
(s) encouraging tourist and craft activities;
(t) protecting the environment in connection with agriculture, forestry
and landscape management and improving animal welfare;
(u) restoring agricultural production potential damaged by natural
disasters and introducing appropriate prevention instruments;
(v) financial engineering.
— EAGGF Guarantee Section resources for measures to promote the adap-
tation and development of rural areas (Article 33 of Regulation (EC)
No 1257/1999) in Objective 2 (rural) areas: EUR … million (% of total
for Article 33).
9.Descriptionofthemeasuresdesignedtoimplementtheplans
(Fifth indent of Article 43(1) of Regulation (EC) No 1257/1999)
For each point below, provide:
A. the main features of support measures;
B. other information.
(1)General requirements
A. Main features of support measures:
— list of measures in the order presented in Regulation (EC)
No 1257/1999,
— identify the specific article (and paragraph) which covers each
rural development payment measure. Where two or more arti-
cles are cited, the payment measure must be divided into its
constituent parts.
B. Other information:
None.
(2)Requirements concerning all or several measures (
1)
A. Main features:
— Community contribution based on either the total cost or public
expenditure,
— aid intensity and/or amount and differentiation applied
(Chapters I to VIII),
— exceptions referred to in the first indent of the second subpara-
graph of Article 37(3) of Regulation (EC) No 1257/1999.2002R0445 — EN — 22.03.2002 — 000.001 — 28
▼B
B. Other information:
— details of eligibility conditions,
— criteria to demonstrate economic viability (Chapters I, II, IV
and VII),
— usual good farming practice (Chapters V and VI),— minimum standards regarding environment, hygiene and animal
welfare (Chapters I, II and VII),
— level of occupational skill and competence required (Chapters I,
II and IV),
— sufficient assessment of the existence of normal market outlets
for the products concerned (Chapters I and VII) in accordance
with Articles 6 and 26 of Regulation (EC) No 1257/1999,
— description of all ongoing contracts (from the previous period),
including in financial terms, and the procedures/rules which
apply to these.
(3)Information required for specific measures
In addition, the following specific information is required for measures
under the individual chapters:
I. Investment in agricultural holdings
A. Main features:
— primary production sectors and types of investments.
B. Other information:
— maximum limits on total amount of investment eligible
for support,
— types of support,— where applicable, a description of the rural areas facing
structural difficulties as referred to in Article 1(3) of this
Regulation.
II. Start-upassistance for young farmers
A. Main features:
None.
B. Other information:
— length of time allowed for young farmers to fulfil the
eligibility criteria within the three-year period authorised
under Article 4(2) of this Regulation,
— age limit,
— conditions applying to young farmers not established as
sole head of the holding or who start upas members of
associations or cooperatives whose main purpose is to
manage an agricultural holding,
— type of start-up support.
III. Training
A. Main features:
None.
B. Other information:
— eligible measures and beneficiaries,
— assurance that no normal education system or programmes
are proposed for financing.
IV. Early retirement
A. Main features:
None.
B. Other information:
— detailed description of conditions concerning transferor,
transferee, worker and land released, in particular the use
of land to be retained by the transferor for non-commer-
cial purposes and the length of time allowed to improve
viability,2002R0445 — EN — 22.03.2002 — 000.001 — 29
▼B
— type of aid, including a description of the method used for
calculating the maximum amount to be part-financed per
holding and a justification for each type of beneficiary,
— description of national retirement and early-retirement
schemes,
— details on the duration of the aid.
V. Less-favoured areas and areas with environmental restrictions
A. Main features:
— amount of aid:
1. for payments under Article 13(a) of Regulation (EC)
No 1257/1999: justification of differentiation of the
aid using the criteria set out in Article 15(2) of that
Regulation,
2. for compensatory allowances under Article 13(a) of
Regulation (EC) No 1257/1999: proposals to exceed
the maximum amount which can be part-financed in
accordance with the second subparagraph of
Article 15(3) of Regulation (EC) No 1257/1999 must
include the necessary justification. Specify how it will
be assured that the upper limit for compensatory allow-
ances is complied with in these cases and explain the
administrative procedure by which compliance with
the maximum amount that can be part-financed will
be ensured,
3. for compensatory allowances under Articles 13(b) and
16 of Regulation (EC) No 1257/1999: detailed agro-
nomic calculations showing: (a) income foregone and
costs incurred as a result of the environmental restric-
tions, (b) agronomic assumptions used as reference
point.
B. Other information:
— details of eligibility conditions, in particular:
1. definition of the minimum area;
2. description of the appropriate conversion mechanism
used in the case of common pastures,
— amendments to the lists of less-favoured areas adopted or
amended by Council and Commission Directives, and the
list of areas with environmental restrictions.
VI. Agri-environment
A. Main features:
— justification for the commitments, based on their expected
impact,
— the list of local breeds in danger of being lost to farming
and the number of breeding females for the areas
concerned. This number must be certified by a duly
recognised technical body — or breeder's organisation/
association — which must register and keepup -to-date
the herd or flock book for the breed. The body concerned
must possess the necessary skills and knowledge to iden-
tify animals of the breeds in question,
— for plant genetic resources under threat of genetic erosion,
evidence of genetic erosion based upon scientific results
and indicators for the occurrence of landraces/primitive
(local) varieties, their population diversity and the
prevailing agricultural practices at local level,
— details of obligations on farmers and any other terms of
the commitment, including scope and procedures for
adjusting of running contracts,
— detailed agronomic calculations showing: (a) income fore-
gone and cost incurred in relation to usual good farming
practice; (b) the agronomic assumptions used as reference
point; (c) the level of incentive and a justification for this
based on objective criteria.2002R0445 — EN — 22.03.2002 — 000.001 — 30
▼B
B. Other information:
— description of the coverage of the measure, showing its
scope in relation to needs and its degree of targeting in
terms of geographical, sectoral or other coverage,
— for all the agri-environment commitments together, the
possible ways of combining commitments should be
shown and the mutual consistency of commitments should
be ensured.
VII. Improving the processing and marketing of agricultural products
A. Main features:
— sectors of basic agricultural production.
B. Other information:
— criteria to prove economic benefits for primary producers.
VIII. Forestry
A. Main features:
definition of:
— ‘agricultural land’ in relation to Article 26 of this Regula-
tion,
— ‘farmer’ in relation to Article 27 of this Regulation,
— provisions ensuring that the planned measures are suited
to local conditions and compatible with the environment
as well as keeping balance between forestry and game
populations where applicable,
— contractual arrangements between regions and potential
beneficiaries concerning measures referred to in
Article 32 of Regulation (EC) No 1257/1999.
B. Other information:
— description of eligible measures and beneficiaries,
— linkage between proposed measures and national/sub-
national forest programmes or equivalent instruments,
— the existence of forest protection plans as laid down in
Community legislation for areas classified as high or
medium risk for forest fires and the conformity of
proposed measures with these protection plans.
IX. Promoting the adaptation and development of rural areas
A. Main features:
— description and justification of the action proposed under
each measure.
B. Other information:
— definition of financial engineering, which must comply
with the general eligibility criteria.
10.Need for any studies, demonstration projects, training or technical
assistanceoperations(whereapplicable)
(Sixth indent of Article 43(1) of Regulation (EC) No 1257/1999)
11.Designationofcompetentauthoritiesandbodiesresponsible
(Seventh indent of Article 43(1) of Regulation (EC) No 1257/1999)
12.Provisions to ensure the effective and correct implementation of the
plans, including monitoring and evaluation, a definition of quantified
indicators for evaluation, arrangements for controls and sanctionsand
adequatepublicity
(Eighth indent of Article 43(1) of Regulation (EC) No 1257/1999)
(1)Detailed information on the implementation of Articles 52 to 57 of this
Regulation
This should include in particular:
— the possibility to grant advances to certain beneficiaries of invest-
ment measures,2002R0445 — EN — 22.03.2002 — 000.001 — 31
▼B
— the description of the financial circuits for the payment of assis-
tance to final beneficiaries,
— the arrangements for monitoring and evaluating the programme,
notably systems and procedures for collecting, organising and coor-
dinating data relating to financial, physical and impact indicators,
— the role, composition and rules of procedure of any monitoring
committees,
— codification. This codification shall be in accordance with the
model provided by the Commission.
(2)Detailed information on the implementation of Articles 58 to 64 of this
Regulation
This should include the specific control measures planned to verify the
substance of claims and compliance with the conditions for support as
well as the specific rules on penalties.
(3)Detailed information on compliance with the general eligibility criteria
laid down in Regulation (EC) No 1685/2000
Article 39 of this Regulation.
13.Results of consultations and designation of associated authorities and
bodiesaswellaseconomic andsocialpartners
(Ninth indent of Article 43(1) of Regulation (EC) No 1257/1999)
(1) Describe:
— the economic and social partners and other relevant national bodies
to be consulted in accordance with national rules and practice;
— the agricultural and environmental authorities and bodies to be
involved, in particular, in preparing, implementing, monitoring,
evaluating and reviewing agri-environment measures and other
measures targeting the environment, thus ensuring a balance
between these measures and other rural development measures.
(2) Summarise the results of consultations and indicate the extent to which
the views and advice received have been taken into account.
14.Balancebetweenthedifferentsupportmeasures
(Second indent of Article 43(2) of Regulation (EC) No 1257/1999)(1) Describe, with reference to strengths, needs and potential:
— the balance between the different rural development measures,
— the extent to which the agri-environment measures apply throughout
the territory.
(2) This description shall refer, as the case may be, to:
— measures taken outside the scope of Regulation (EC) No 1257/1999,
— measures taken or planned under separate rural development plans.
15.Compatibilityandconsistency
(Article 37(2) of Regulation (EC) No 1257/1999)
A. Main features:
(1) Appraisal of compatibility and consistency with:
— other Community policies and measures implemented under
those policies, in particular competition policy,
— other common agricultural policy instruments, in particular
where exceptions under Article 37(3) of Regulation (EC)
No 1257/1999 are provided for,
— other support measures included in the rural development plans,
— the general eligibility criteria.
(2) For measures under Article 33 of Regulation (EC) No 1257/1999,
ensure and, where necessary, demonstrate that:
— measures adopted under the sixth, seventh and ninth indents of
that Article are not receiving financial assistance from the
ERDF for rural areas covered by Objective 2 and in areas in
transition,2002R0445 — EN — 22.03.2002 — 000.001 — 32
▼B
— measures are not covered by any other measure referred to in
Title II of Regulation (EC) No 1257/1999.
B. Other information:
In particular, appraisal shall cover arrangements to ensure proper coor-
dination with the various authorities responsible for:
— development measures provided for under the market organisations,
— any rural development measures provided for under national legisla-
tion.
16.AdditionalStateaids
(Article 52 of Regulation (EC) No 1257/1999)
A. Main features:
Identify the measures to which additional financing will be granted in
the form of State aid (Article 52 of Council Regulation (EC) No 1257/
1999). The amount of additional support to be granted for each of the
measures concerned during each year covered by the plan should be
shown in an indicative table.
B. Other information:
None.2002R0445 — EN — 22.03.2002 — 000.001 — 33
▼B
ANNEX III
CORRELATIONTABLE
This Regulation Regulation (EC) No 1750/1999
— Article 1
Article 1 Article 2
Article 2 Article 3Article 3 Article 4Article 5 Article 5, first, second, and third
indents
Article 4 Article 5, fourth and fifth indentsArticle 6 Article 6Article 7 Article 7
Article 8 Article 8
Article 9 Article 9Article 10 Article 10Article 11 Article 11Article 12 Article 11aArticle 13 Article 12Article 14 Article 13Article 15 Article 14Article 16 Article 15Article 17 Article 16Article 18(1) and (2) Article 17(1) and (2), first indentArticle 18(3) Article 17(2), second indentArticle 18(4) Article 17(3)Article 19 Article 18
Article 20 Article 19
Article 21 Article 20Article 22 Article 21Article 23 Article 22Article 24 Article 23Article 25 Article 24Article 26 Article 25Article 27 Article 262002R0445 — EN — 22.03.2002 — 000.001 — 34
▼B
This Regulation Regulation (EC) No 1750/1999
Article 28 Article 27
Article 29 Article 28Article 30 Article 29(1)
Article 31 Article 29(2)
Article 32 Article 29(3)Article 33 Article 30Article 34 Article 31(1)
Article 35(1) Article 31(2), first indent
Article 35(2) Article 31(2), second indentArticle 35(3) Article 31(2), third indentArticle 36 Article 31(2), fourth indent
Article 37 Article 31(3)
Article 38 Article 32Article 39 Article 32aArticle 40 Article 33(1)Article 41(1) Article 33(2)
Article 41(2) Article 33(2)a)
Article 41(3) Article 33(3)Article 42 Article 33(4)Article 43 Article 34
Article 44(1) Article 35(1)
Article 44(2) Article 35(2) first and second indentsArticle 44(3) Article 35(2) third indentArticle 44(5) Article 35(2) fourth indent
Article 45, first and second indents Article 35(3)
Article 46 Article 36Article 47 Article 37Article 48 Article 38
Article 49(1) Article 39(1)
Article 49(2) Article 39(1)aArticle 49(3) Article 39(2)Article 49(4) Article 39(3)Article 49(5) Article 39(4)2002R0445 — EN — 22.03.2002 — 000.001 — 35
▼B
This Regulation Regulation (EC) No 1750/1999
Article 50 Article 39a
Article 51 Article 40Article 53 Article 41
Article 54 Article 42
Article 55 Article 43Article 56 Article 44Article 57 Article 45
Article 58 Article 46
Article 59 Article 47(1) and (2)Article 60 Article 47(3)Article 61 Article 47(4)
Article 62 Article 48(1)
Article 64 Article 48(2)Article 63 Article 48(3)— Article 49(1)Article 65 Article 49(2)
Annex I —
Annex II AnnexAnnex III —2002R0445 — EN — 22.03.2002 — 000.001 — 36