AGRICULTURE Citation and commencement 1 This Order may be cited as the Environmentally Sensitive Areas (Loch Lomond) Designation Order 1987 and shall come into force on 7th May 1987. Interpretation 2 1 In this Order– “adjusted hectares” means the total number of hectares of enclosed land plus one sixth of the total number of hectares of other agricultural land included in any farm business; “agreement” means an agreement under section 18(3) of the Agriculture Act 1986 as regards land in the area designated by article 3; “conservation plan” means a layout plan of the farm and an attached statement identifying relevant land and conservation features and setting out, as appropriate, details of how the requirements in the agreement will be implemented on the farm; “enclosed land” means agricultural land enclosed by fences, hedges, walls or dykes for the closely controlled grazing of livestock, cropping or the maintenance of farm woodland; “farm business” means a business or part of a business which engages in agricultural production for the purposes of trade; “farm woodland” means woodland on agricultural land the use of which is ancillary to the farm business; “farmer” means a person who has an interest in agricultural land in the area designated by article 3 and who has entered into an agreement with the Secretary of State; “livestock unit” means– 1 cow, or 1.25 bulls or other bovine animals over 2 years old, or 1.6 bovine animals from 1 year to 2 years old inclusive, or 2.5 bovine animals less than 1 year old, or 6.66 sheep; “make muirburn” has the same meaning as in section 39(1)(f) of the Hill Farming Act 1946 ; “open rough grazings” means heathland or moorland, which is not enclosed land, used for grazing purposes. 2 Any reference in this Order to a numbered article shall be construed as a reference to the article bearing that number in this Order. Designation of environmentally sensitive area 3 There is hereby designated as an environmentally sensitive area that area of Loch Lomond partly within the Stirling District of Central Region and partly within the Dumbarton District of Strathclyde Region, and located at the southern extremity of the Highlands stretching from Balloch in the South to Glenfalloch in the North and which area is shown delineated red and coloured pink on the map marked “Environmentally Sensitive Area - Loch Lomond” dated 27th March 1987 and signed on behalf of the Secretary of State for Scotland and deposited at the offices of the Department of Agriculture and Fisheries for Scotland, Chesser House, Gorgie Road, Edinburgh. Requirements to be included in agreement 4 An agreement shall include the requirements specified in the Schedule to this Order as to agricultural practices, methods and operations and the installation and use of equipment. Provisions as to breach of requirements to be included in agreement 5 An agreement shall include provision that– a in the event of a breach by the farmer of the requirements referred to in article 4, the Secretary of State may give the farmer notice in writing terminating the agreement forthwith and may recover from the farmer an amount equivalent to the payments made by the Secretary of State under the agreement or such part thereof as the Secretary of State may specify; and b any question arising under an agreement as to whether there has been a breach of any of the requirements referred to in article 4 shall be referred to and determined by a single arbiter to be agreed between the parties, or in default of agreement to be appointed by the Chairman for the time being of the Scottish Branch of the Royal Institution of Chartered Surveyors and in accordance with the provisions of the Arbitration (Scotland) Act 1894 or any statutory modification or re-enactment thereof for the time being in force. Rates of payment under agreement 6 1 Subject to paragraph (2) below, payments made by the Secretary of State under an agreement shall be either at the rate of £15 per annum per hectare of enclosed land, with an additional payment of £2.50 per annum for each hectare of other land to which the agreement relates, or at the rate of £1,500 per annum per individual farm business, whichever is the lower. 2 Payments in respect of farm businesses, comprising no more than 16 adjusted hectares of land to which an agreement relates, shall be at the rate of £240 per annum per farm business. 7 Where an agreement identifies expenditure required to undertake additional farming operations specified in paragraph 17(b) of the Schedule to this Order, the Secretary of State shall make additional payments according to the farming operations to be carried out. Such payments shall be at a rate to be determined by the Secretary of State, up to a maximum of £100 per annum for each hectare of land to which the agreement relates, or at the rate of £3,000 per annum per individual farm business, whichever is the lower. John J. MacKay Parliamentary Under Secretary of State,Scottish Office New St. Andrew’s House, Edinburgh 27th March 1987 We consent, Peter Lloyd Tim Sainsbury Two of the Lords Commissioners of Her Majesty’s Treasury 1st April 1987