Commission Regulation (EC) No 1580/2007 (repealed)Dangos y teitl llawn

ANNEX VIII LIST OF OPERATIONS AND EXPENDITURE NOT ELIGIBLE UNDER OPERATIONAL PROGRAMMES REFERRED TO IN ARTICLE 61

1. General production costs and in particular; plant protection products, including integrated control materials, fertilisers and other inputs; packing costs, storage costs, packaging costs, even as part of new processes, costs of packages; costs of collection or transport (internal or external); operating costs (in particular electricity, fuel and maintenance), except:

• Specific costs for quality improvement measures. In all cases costs for (even certified) mycelium, seeds and non perennial plants shall not be eligible;

• Specific costs for organic plant protection materials (such as pheromones and predators) whether used in organic, integrated or conventional production;

• Specific cost for environmental measures, including costs generated by the environmental management of packaging. The environmental management of packaging shall be properly justified and follow the criteria of Annex II to Directive 94/62/EC of the European Parliament and of the Council on Packaging and Packaging waste (OJ L 365, 31.12.1994, p. 10);

• Specific cost for organic, integrated or experimental production. The competent national authority shall lay down the eligibility criteria for an experimental production taking account of the newness of the procedure or concept and the risk involved;

• Specific costs to ensure the monitoring of compliance with the standards referred to in Title II of this regulation, with plant-health rules and with maximum level of residues.

Specific costs shall mean the additional costs, calculated as the difference between the conventional costs and the costs actually incurred.

For each category of eligible specific costs referred to above, in order to calculate additional costs compared with conventional ones, Member States may fix standard flat rates in a duly justified way.

2. Administrative and personnel costs with the exception of expenditure relating to the implementation of operational funds and operational programmes which shall include:

(a)

overheads specifically related to the operational fund or operational programme, including management and personnel costs, reports and evaluation studies, and the costs of keeping accounts and the management of accounts, by means of the payment of a standard flat rate equal to 2 % of the approved operational fund and up to a maximum of EUR 180 000. The 2 % shall consist of 1 % of Community aid plus 1 % from the producer organisation.

In the case of a recognised association of producer organisations, the standard flat rate may be multiplied by the number member of producer organisations of the association, up to a maximum of EUR 1 250 000.

Member States may restrict funding to the real costs, in which case they should define the eligible costs;

(b)

personnel costs (including charges linked to wages and salaries, if these are borne by the producer organisation) resulting from measures:

(i)

to improve or maintain a high level of quality or environmental protection;

(ii)

to improve the level of marketing.

The implementation of these measures shall essentially involve the use of qualified personnel. If, in such cases, the producer organisation uses its own employees or member producers, the time worked shall be documented.

If a Member State wishes to provide an alternative to restricting funding to the real costs, for all the eligible personnel costs referred to above, it shall fix, ex ante and in a duly justified way, standard flat rates up to a maximum of 20 % of the approved operational fund. This percentage may be increased in duly justified cases.

In order to request those standard flat rates, producer organisations shall furnish proof of the implementation of the action to the satisfaction of the Member State.

(c)

legal and administrative costs of mergers of producer organisations or their acquisition, as well as legal and administrative costs related to creating transnational producer organisations or transnational associations of producer organisations; feasibility studies and proposals commissioned by producer organisations in this respect.

3. Income or price supplements outside crisis prevention and management.

4. Insurance costs outside crisis prevention and management.

5. Reimbursement of loans taken out for an operation carried out before the beginning of the operational programme other than those refer to in Article 75.

6. Purchase of land (costing more than 10 % of all the eligible expenditure on the operation concerned. In exceptional and duly justified cases, a higher percentage can be fixed for operations concerning environmental conservation) not built on except where purchase is necessary to carry out an investment included in the operational programme.

7. Cost of meetings and training programmes except where they are related to the operational programme, including daily allowances, transport and accommodation costs (where appropriate on a flat-rate basis).

8. Operations or costs relating to the quantities produced by the members of the producer organisation outside the Community.

9. Operations that could distort competition in the other economic activities of the producer organisation.

10. Second hand equipment which has been purchased with Community or national support within the seven previous years.

11. Investments in means of transport to be used for marketing or distribution by the producer organisation except additional on-the-truck facilities for cold-storage or controlled atmosphere transport.

12. Hire except where economically justified as an alternative to purchase at the satisfaction of the Member State.

13. Operating cost of goods hired.

14. Expenditure linked to leasing contracts (taxes, interest, insurance costs, etc.) and operating costs except the leasing itself within the limits of the net market value of the item and within the conditions laid down in point (b) of the first subparagraph of Article 55(1) of Commission Regulation (EC) No 1974/2006(1).

15. Promotion of individual commercial labels or containing geographic references except:

• producer organisation, associations of producer organisations and subsidiaries as foreseen in Article 52(7) brands/trade marks,

• generic promotion and promotion of quality labels. Geographical names are allowed only:

  (a)

  if they are a protected designation of origin or a protected geographical indication, covered by Council Regulation (EC) No 510/2006(2); or

  (b)

  if, in all cases where the provision of point (a) does not apply, these geographical names are secondary to the principal message.

Promotional material shall bear the emblem of the European Community (in the case of visual media only) and include the following legend: ‘Campaign financed with the aid of the European Community’

16. Subcontracting or outsourcing contracts relating to the operations or expenditure mentioned as not eligible in this list.

17. VAT except non-recoverable VAT as referred to in Article 71(3)(a) of Regulation (EC) No 1698/2005.

18. Interest on debt except where the contribution is made in a form other than a non-repayable direct assistance.

19. Real estate purchase which has been purchased with Community or national support within the 10 previous years.

20. Investments in shares of companies if the investment represents a financial investment except investments contributing directly to the achievement of the goals of the operational programme.

21. Costs incurred by parties other than the producer organisation or its members.

22. Investments or similar types of actions not on the holdings of the producer organisation, association of producer organisations, subsidiary as referred to in Article 52(7) or its members.

23. Measures outsourced by the producer organisation outside the Community.

(1)

OJ L 368, 23.12.2006, p. 15. Regulation as amended by Regulation (EC) No 434/2007 (OJ L 104, 21.4.2007, p. 8).

(2)

OJ L 93, 31.3.2006, p. 12.