Guidance

Scheme terms and conditions

Updated 18 January 2024

I, as the applicant, declare that I have read and understood the EMFF guidance and application form in relation to I-VMS.

I declare that the information given in this application is true and accurate to the best of my knowledge and belief.

If an agent or someone acting on my behalf has completed this application or submitted documents in support of the application, I confirm that I have checked the information provided in the application form and it’s supporting documents and I am satisfied that it is true and accurate to the best of my knowledge and belief.

I declare that I have permission from any other partner(s) in the project to sign the application form on their behalf.

I understand that all EMFF funds are discretionary and there is no automatic entitlement to any EMFF funds.

I know of no reason why I should not be granted EMFF funding.

I confirm that neither I nor a close relative has any financial or other material interest in the companies that will supply goods and services to my project. If that is not the case, I confirm that I have explained this within the application form.

I undertake to inform the Marine Management Organisation in writing of any change in circumstances which may affect the accuracy of the information given whilst this application is being considered by the Marine Management Organisation.

I understand that EMFF funding may be withheld, or any paid monies recovered if it is found to have been obtained by the provision of false, untrue or inaccurate information, was not used for the purpose for which it was granted or if any condition of EMFF funding was not complied with.

I confirm that the proposed investment detailed in this application will not increase the ability of my vessel to catch fish.

I understand that responsibility for ensuring that the project which is the subject of this application is technically viable, complies with all relevant health and safety legislation and any other project specific safety requirements, is my responsibility and not the responsibility of the MMO.

I understand that information given by me will be treated in confidence, but may be submitted for checking against records held by other government departments, other agencies, local authorities and the police, for the purposes of assessing my eligibility for EMFF funding or for the purposes of the prevention or detection of crime.

I authorise HM Revenue and Customs to provide the Marine Management Organisation with any information relevant to this application, and with any information needed to check the information I have provided if necessary.

I understand that any information provided to the HM Revenue and Customs in connection with this application may be used by them for the purpose of their statutory functions.

I understand that when examining the above-mentioned claim, the Department for Environment, Food and Rural Affairs (Defra) and/or the MMO may have to ask HM Revenue and Customs about my VAT registration status, and I have no objection to any such enquiry.

0.1 Conditions of European Funding for Articles 76, 77 and 78 of the EMFF

1.In these Conditions:

(a) You means the funding recipient. You will be responsible for ensuring that all of the terms and conditions for European funding are fulfilled. In particular, this means that you will be expected to retain ownership of the work which is being European funded

(b) We means the Marine Management Organisation.

0.2 Specific Conditions

2.Payments of I-VMS claims will be made on provision of invoice and proof of payment of the selected Type Approved I-VMS device. The MMO Grants Team will initiate checks to confirm that the device has been installed to the specified vessel and is operational within 90 days of payment of any grant funding. If the device has not been fitted with no suitable explanation then recovery proceedings may be initiated.

0.3 General Conditions

3.You must inform the Marine Management Organisation in writing and await approval of any of the following changes before you implement them;

• If you plan to modify your project;
• If you plan to change the funding package;
• If you plan to increase or decrease the cost of the project;
• If you plan to change the contractors and/or suppliers specified in the Offer Letter;
• If you plan to change the timetable of the project; or
• Where applicable if you plan to sell any item of infrastructure or stop or relocate any activity which the project is dependent on.

4.You must provide justification for any such changes by either notifying us on your account on the EMFF e-system or writing to us at the address provided in this Offer Letter. If you fail to notify us, any resulting costs associated with the change could become ineligible for European funding. Additionally, if you make any changes to your project without our prior approval, we may revise or cancel the European funding award.

5.The information provided in this letter must only be taken as a guide to the available funding. The legal basis for the European funding is Article 4 of European Regulation (EU) No. 508/2014 on the European Maritime and Fisheries Fund.

6.The award of European funds is based on statements made by you or your representative or agent in your application form and, if applicable, subsequent correspondence. The making of false statements is an offence.

7.If the European funds awarded to you are not used for the purpose for which it was granted it will breach these conditions. In the event that false or inaccurate information is discovered, we may consider withdrawal of the offer of European funds and give consideration to investigating the matter further. We may take such enforcement action, including criminal prosecution for example under the Fraud Act 2006 as we consider appropriate. In such circumstances we may also seek to recover any European funding paid.

8.Projects can commence before receiving a written acknowledgement from Marine Management Organisation however, any costs you have incurred were incurred at your own risk as applying to the scheme does not guarantee approval of funding even if the project may meet the scheme objectives and priorities.

9.You cannot use the European funds to cover the cost of interest on debt. Where applicable you may not use the European funds for the purchase of land if it exceeds 10% of the total expenditure of the project.

10.European funds cannot be paid in relation to any item not owned by you. Where applicable any items on hire purchase or leasing agreement must be paid for in full before they can be reimbursed by European funding.

11.We cannot pay European funding on replacement equipment in the event of loss where the costs have been recovered in whole or in part under an insurance policy or by way of compensation or damages.

12.You as the applicant agree to meet any legal obligations imposed under EU and UK law, statutory instrument or by-law, to obtain any necessary consents, rights and way leaves, give any necessary notices and meet any specific rules, regulations and/or standards which may be relevant to the project. Measures relating to the improvement of the environment must comply with the requirements of EU and UK legislation relating to the Common Provision Regulation European Regulation (EC) No 1303/2013, the environment and to water quality.

13.For projects in the public sector, EU public purchasing rules must be fully adhered to.

14.It is your responsibility to ensure compliance with all relevant legal requirements of their projects, and to ensure that any goods or services purchased with European funding meets all necessary legal requirements. If gear or a piece of equipment purchased subsequently becomes obsolete or illegal then this is at your own risk. There can be no refunds or claims against the scheme in such circumstances.

15.There will be no automatic increase in the European funds awarded if the project costs increase. However, we will consider approving increased costs that could not have been reasonably forecast at the time that the application was approved. As European funding is provided as a percentage of eligible costs if the eligible costs decrease then so will the European fund award. Approval should be received in writing from the Marine Management Organisation prior to incurring the costs.

16.If you subsequently apply for and/or receive funding from a further source not stated on your application form, you must inform the other sources of any other funding you have been awarded, including EMFF and Marine Management Organisation funds. You must also inform the Marine Management Organisation of any such award of funds. If you receive funding from another source, this may affect your entitlement to European funding. Funding may be withheld, withdrawn or be required to be repaid depending on the source, value, and conditions of other funding. In particular, you should not receive financial assistance for your project from another European Commission scheme.

17.Your claim for payment will not be paid if you have not accepted the terms of this Marine Management Organisation Offer Letter.

18.The European funding payable will relate to the amount of eligible expenditure you have incurred excluding recoverable VAT. An exception to this rule may be made if you are not registered for the purposes of VAT and you are unable to recover VAT from your costs. In such cases, a declaration that you are not VAT registered will need to be provided before payment on a VAT-inclusive basis can be considered.

19.In addition, if you were previously not VAT registered, but have subsequently become VAT registered, you must notify us as soon as possible.

20.The European funding will be paid only after proven expenditure has been incurred and a claim has been submitted to the Marine Management Organisation. Before any payments can be made, you must submit all necessary documentation including invoices from the supplier along with your proof of payment i.e. a bank statement. At this stage you may be asked to provide further details and information in support of your claim.

21.You will be asked to provide evidence of other national match funding you have received if this applies to your project.

22.Failure to observe the timetable for carrying out the project could lead to the cancellation or reduction of the European funding awarded. However, before any such cancellation or reduction is made, we will seek an explanation for any delay from you.

23.We may withhold part or all of the funding we are not satisfied that you have properly incurred the expenditure or that you have not carried out any necessary actions relating to the funds.

24.We may require part or all of the European funding to be repaid if it transpires that you made a fraudulent statement in your application or subsequent correspondence, the European funds was not used for the purpose for which it was granted or any condition of European funding has not been complied with. You may be required to pay interest on the sum recovered.

25.If you fail to fulfil the conditions related to eligibility and duration, financial consequences and corrections will apply. In order to determine the amount of such a financial correction, the nature, gravity, duration and repetition of the infringement, offence or fraud and the importance of the European contribution to your project will be taken into account.

26.You must retain all original project-related documents for 5 years from the date of the last EMFF claim. At any time up to that date European Commission auditors may wish to inspect any or all original documentation, including, amongst other things, order forms and delivery notes for plant and equipment; bills of quantity; tenders, estimates and quotations; architects’ (etc.) certificates; statements and invoices; relevant books of account; drawings, plans and technical specifications. Failure to retain documentation or to allow documentation to be viewed as outlined is an offence and action may be taken by the Marine Management Organisation.

27.Wherever possible the project shall be available for inspection at all reasonable times by either European Commission, UK Government representatives, European Court of Auditors. You are required, if requested, to permit access to the vessel, vehicle or business premises related to the application for grant and information about your project to those parties noted above. You must provide them with access to relevant documents and give them such assistance as they may reasonably request in the exercise of their duties under the scheme.

28.The Marine Management Organisation may write to you subsequently to request certain information to assist it with the monitoring and evaluation of your project. Your name and address may therefore be passed (in confidence) to an evaluator commissioned by the Marine Management Organisation to undertake independent evaluation. Supply of this information within a reasonable period of the request is a condition of the payment of European funds. Failure to supply the information could lead to cancellation or reduction of the funding awarded, or a requirement to repay European funds already paid.

29.The priorities of the European Union In relation to sea fisheries, EU enforcement and control policies require the landing of all catches as provided for in Article 15 of Regulation (EU) No 1380/2013; of the catch certificate scheme provided for in Chapter III of Regulation (EC) No 1005/2008; and of traceability requirements, including labelling systems to ensure reliable information for consumers, as provided for by Article 58 of the Regulation (EC) No 1224/2009 and Article 67(6) of Implementing Regulation (EU) No 404/2011.

30.If the project generates net revenue during its implementation, the eligible expenditure of the project approved by the Marine Management Organisation shall be reduced by the net revenue not taken into account at the time of approval of the project. The net revenue considered must be directly generated during the projects implementation, not later than at the final payment claim submitted by you. Where not all the costs are eligible for funding, the net revenue shall be allocated pro rata to the eligible and non-eligible parts of the cost.

31.You must not modify your project within three years of the award of European funds if that modification would affect the nature of your project or any condition imposed on its implementation or would result in an unfair advantage being given to any third party, this is known as durability of operations. Within that period, you must also not dispose of any assets or infrastructure or stop or relocate any activity if that would result in a modification to your project.

32.Where applicable if you are an owner of a fishing vessel, or supporting one through your project, that vessel shall not be transferred outside the European Union during at least the three years following the date of actual payment of that funding to you. If a vessel is transferred within that time–frame, sums unduly paid in respect of the project shall be recovered by the Marine Management Organisation, in an amount proportionate to the period during which the condition set out in the first sentence of this paragraph has not been fulfilled.

33.Where applicable if you are an owner of a fishing vessel, or supporting one through your project, and the vessel is sold or transferred within the European Union during at least the three years following the date of actual payment of that funding to you, the new owner of the vessel must accept the terms and conditions of this offer of funding. If the new owner does not accept the terms and conditions of this offer of funding then you as the applicant may be required to re-pay all or some of the funding paid to you.

34.All installation and/or modification work undertaken by the owner/skipper of the vessel must meet MCA safety/stability requirements, whether funded by EMFF or otherwise. Responsibility for any work undertaken which renders a vessel unstable or unsafe remains entirely with the owner/skipper of the vessel.

35.Items purchased using public funding from the EMFF Scheme must be owned and used for their original purpose for a minimum of three years, except where State Aid rules provide for a different period or the items are leased. In the case of a project comprising investment in infrastructure or productive investment, and where the applicant is not a Micro, small or medium enterprise (SME), you will be required to repay the funding contribution from the EMFF scheme if, within 10 years of the final payment to the project, the project or its activity is subject to relocation outside of the European Union. Some or all of the funding for projects that do not meet the Durability of Operations above will be recovered.

36.The European Commission and the Marine Management Organisation will publish brief details of all successful projects; including legal entity or organisation’s) name, short project descriptions and any European funds awarded to ensure transparency. You as the applicant agree that acceptance of funding constitutes inclusion of your details in the list of projects to be published by the Marine Management Organisation in accordance with Article 119(2) of the EMFF Regulation.

37.You must comply with the provisions on ineligibility contained in Regulation (EU) 2015/288 and the ineligibility guidance to the UK EMFF scheme. You must notify the Marine Management Organisation if you are found to have committed a fraud (as defined in the guidance) or a serious infringement prior to applying for funding or at any point up to three years from the date of the final payment made under this offer of grant.

38.It is necessary to ensure that where possible a separate accounting system or code for funding transactions should be used.