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Royal Decree 1887 / 1991 Of 30 December On Improvement Of Agricultural Structures.

Original Language Title: Real Decreto 1887/1991, de 30 de diciembre, sobre mejora de las estructuras agrarias.

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Council Regulation (EEC) 797/85 of 12 March 1985 on the improvement of the efficiency of agricultural structures laid down objectives for the Member States, on the basis of Community concepts and criteria, carry out the joint action through its own legal, regulatory and administrative means, with a view to contributing to the improvement of agricultural holdings by means of its technical-economic modernisation and the reorganisation of its structures, as well as the conservation of the environment and the natural resources of agriculture. This Community Regulation was developed for its implementation in Spain by Royal Decree 808/1987 of 19 June.

Subsequently, Council Regulation (EEC) 797/85 was amended by Council Regulation (EEC) No 3808/89, which made it necessary to amend also Royal Decree 808/1987, which was carried out by Royal Decree 376/1991, March 27. Subsequently, Council Regulation (EEC) No 2328/91 of 15 July 1991 repealed Regulation (EEC) No 797/85 and recast the rules and amendments thereto in a single text.

The experience of the application of Royal Decree 808/1987, with strong demand and impact within the agricultural sector both in the number of applications and in the amount of investments and aid granted, has revealed the need to make some changes in order to concentrate the budgetary resources on farmers in the main; to encourage the diversification of incomes within the holdings; to ensure greater technical and economic efficiency of the investment aid; in order to raise some aid to the limits authorised in the Regulation (EEC) No 2328/91 and in particular those aimed at promoting the incorporation of young people into agricultural activity, in order to give more flexibility to the administrative management of the programme and, in particular, to advance the co-responsibility of young people. Administrations.

Therefore, this Royal Decree establishes an aid scheme for investments in agricultural holdings, in particular those of a family type, the holders of which are farmers in the main title, or develop on their holding other alternative activities, through the presentation of improvement plans in which the types of investment are justified and their technical-economic feasibility. Investments will be directed towards the diversification of alternative incomes that will favour a steady increase in the income of the agricultural professional.

A differentiated treatment is given to the small producer in general, and to the small producer of cow's milk in particular, not only because it requires greater ease of access to the aid, but above all because it is a headline that mainly depend on the agricultural holding and need to increase their income to a greater degree.

The mode of aid to investments is given in a mixed system: Direct subsidy limited to reduced investment tranches, as a mechanism to stimulate this, and interest subsidy on loans which finance non-subsidised investments as a means of facilitating the necessary capitalisation of agricultural holdings.

The amount of the aid is fixed according to the territorial situation of the farms, following the criteria of the Community classification which distinguishes between normal areas and less-favoured areas, and within these areas, they have more accused their natural limitations, for reason of mountain and depopulation.

in order to stimulate the rejuvenation of the agricultural sector and accelerate the incorporation of rural youth into the agricultural profession, by accessing the responsibility and ownership of the agricultural holding, special aid is established both for its first installation and for the further improvement of the holdings on which they are installed. Therefore, the Ministry of Agriculture, Fisheries and Food continues to be a prime target for the renewal of the agricultural professional and employer, providing a new impetus towards the modernisation of the sector and the increase in incomes. family.

The unique situation in which the cow's milk sector is located justifies the preferential treatment given to livestock farmers, coordinating the aid within the framework of the regulatory standards of the dairy sector.

The co-operation of production in common and the Community exploitation of the factors of production are the subject of a specific regulation both under the conditions to be met and in the aid scheme for the purpose of to promote the reduction of production costs, restructuring, merger of holdings and the provision of services, as part of a concept of the technical and economic rationality of agricultural holdings.

For the financing of the aid set out in this Royal Decree, a new model of co-responsibility is used, involving the Ministry of Agriculture, Fisheries and Food and the Autonomous Communities, for which bilateral agreements will be concluded between the two administrations in order to ensure the destination of public expenditure, avoiding exceeding the budgetary amounts for each financial year, as well as regulating the types of information, monitoring and control to ensure the proper functioning of the support system.

The new system of aid, which emerged after a participatory and consensual process, both with Autonomous Communities and with professional organizations in agriculture, is a successful model of work and cooperation, both in the phases of consultation and preparation of the standard, as in the management, monitoring and evaluation of its implementation, as an appropriate system for the Royal Decree to be effective.

In its virtue, completed the procedure provided for in Article 29 of Regulation (EEC) No 2328/91, and on a proposal from the Minister for Agriculture, Fisheries and Food after deliberation by the Council of Ministers at its meeting on 27 June. December 1991,

DISPONGO:

CHAPTER I

Definitions

Article 1. Common action.

in order to contribute to the improvement of the efficiency of agricultural structures, a system of aid is established in accordance with the common action provided for in Council Regulation (EEC) 2328/91 of 15 July on improving the quality of agricultural structures. of the effectiveness of agricultural structures.

Article 2. Definitions.

For the purposes of this provision:

1. Agricultural holding, the set of goods and rights organized by its holder for agricultural production, primarily for the purposes of the market, and which itself constitutes a technical-economic unit characterized by the use of of the same means of production.

2. Holder of the holding, the natural or legal person who exercises the agricultural activity, organizing the assets and rights belonging to the holding with business criteria and assuming the risks and the civil, fiscal and social responsibilities of the management of the same.

3. Plan for the improvement of the farm, the investment package that is annual or multiannual, and with technical, economic, social and financial approaches, plans to introduce globally the holder of the agricultural holding to improve the effectiveness of its productive structure. The Improvement Plan may be carried out in one or more phases.

4. Merger of holdings, which occurs as a result of the full or partial integration of several pre-existing holdings into a new holding.

5. Farmer in the main title (ATP), any holder of an agricultural holding who pursues his principal activity in the agricultural sector and who meets, where appropriate, the following requirements:

(a) If it is a natural person, that the part of the income from the holding is equal to or greater than 50 per 100 of the total income of the owner of the holding and that the working time spent on activities not related to the holding is less than half the total working time of the holding holder. This condition may not be met by those who carry out a paid activity for their own or other person who exceeds in annual accounts 960 hours of work carried out in activities outside the agricultural activity.

(b) If it is a legal person, more than 50 per 100 of the partners shall be farmers in the main title in accordance with paragraph (a). In addition, if they are a company, the shares or shares of their shareholders shall be nominative and shall, in accordance with their Statute, be the sole subject of the exercise of agricultural activity. In any event, in its Statutes or in the Agreement of the General Assembly of Partners, provision should be made that if there is a transfer of securities between its partners, the conditions set out above must be guaranteed.

6. Operating capital, the net value of the capital as a whole: mechanical and living furniture, working, operating and reserve.

7. Small producer, the principal farmer of an agricultural holding who does not exceed 8 European dimension units (UDEs) and whose total income is equal to or less than 50 per 100 of the reference income.

8. Small producer of cow's milk, the holder of the holding who complies with the generic conditions of small producer, does not exceed 10 Units of cattle (UGM) of milk, and whose final production comes from such cattle means at least 50 per 100 of the total agricultural production.

9. Young farmer, the farmer who at the date of submission of the aid application is 18 years of age or older, without having completed the 40 years.

10. First installation, in which a young farmer first accesses the ownership or co-ownership of an agricultural holding as a principal farmer, or if he is a part-time farmer, he becomes an individual farmer by title. principal. For this purpose, a young farmer who is not installed is a young farmer who, being a holder or co-owner of an agricultural holding, receives an income of less than 20 per 100 of the reference income.

11. Sufficient professional training, which is considered to have those that are included in some of the following assumptions:

(a) Having exceeded the agricultural foreman tests or achieved academic degrees in the agricultural branch, at least the level of first-degree agricultural vocational training.

(b) Credit the exercise of agricultural activity for at least five years.

(c) Credit, in respect of the years in which the agricultural activity had not been exercised, for agricultural training courses or seminars with a duration of 25 hours for each year, until the five to the referred to in the preceding paragraph, in accordance with the determination of the Autonomous Communities.

(d) In the case of young farmers, having acquired or committed to acquire within two years sufficient professional training for the Autonomous Communities to regulate the effect. In any case, the minimum required will be a course of incorporation into the agricultural company or training courses, with a minimum duration of 150 hours.

12. Unit of work-man (UTH), the amount of work an active agricultural worker develops during 1920 hours of the year.

13. Total income of the holder of the holding, the average of the income tax declared as such by the holding holder, for three of the last five years, including the last two years. In any event, the holder of the holding shall be charged:

-The income of the agricultural activity of the holding.

-Income from other business or professional activities, as well as income from work developed outside the holding, including pensions and liabilities that are tax liabilities declare.

-50 per 100 of the income of the capital and real estate, in the case of a ganancial regime, and 100 per 100 of the private income of the owner.

14. Reference income, the average annual gross wage in Spain of non-agricultural workers. The Ministry of Agriculture, Fisheries and Food shall fix and annually update its amount in accordance with the salary data published by the National Statistics Institute.

15. Income from work, the yield generated from the agricultural holding that is available to remunerate the labour factor and which corresponds to the result of the net operating or margin, increased in the payment of wages and decreased in the remuneration attributed to equity capital.

In order to determine the remuneration of capital of a territorial nature, the rent paid by the tenants corresponding to land of similar classification in the area shall be considered. Where its determination is not possible by the above criterion, 4 per 100 of the cadastral value shall be applied.

The capital will be applied to determine your remuneration on 15 per 100 of your net or inventory value.

The remaining capitals will be applied to them, to determine their remuneration, 4 per 100 of their net worth or inventory.

Article 3. Conversion type.

1. The maximum amounts of the investments which may be the subject of the aid referred to in ECUs in Regulation (EEC) No 2328/91 of 15 July are converted into pesetas in this Royal Decree by means of the conversion rate in force, laid down in Article 1 of Council Regulation (EEC) No 129/78 of 24 January 1978.

2. If the European Economic Community modifies the conversion rate, the Ministry of Agriculture, Fisheries and Food shall update the figures expressed in pesetas for the purposes of applying this Royal Decree.

CHAPTER II

Aids

Article 4. Types of aids.

The types of aid set out in this Royal Decree to be taken under the common action provided for in Titles IV, V, VII, VIII and IX of Regulation (EEC) No 2328/91 of 15 July are as follows:

(a) Aid for investments in agricultural holdings in the Improvement Plans.

b) First installation of young farmers.

c) Introduction of accounting.

d) Aid to Service Pools.

e) Aid for forest investments on agricultural land.

f) Aid to sensitive areas.

g) Aid for professional qualification.

Section first. Improvement Plans

Article 5. Beneficiaries.

May request aid for investments in Plans to Improve the holders of agricultural holdings:

(a) Be a principal farmer and are affiliated with the Special Agricultural Social Security Regime as a self-employed person or the General Regime of Social Security Autonomy for their agricultural activity.

In addition, holders of agricultural holdings who are not farmers as the principal may apply for such aid; they shall obtain at least 50 per 100 of their total income from the following activities: agricultural, livestock, Forestry or blacklisted tourism; tourism in rural rural tourism programmes; crafts; processing and sales of agricultural products; or activities related to the conservation of the natural space. All these activities must be carried out on their holding, provided that the part of the income directly from the agricultural activity carried out on their holding is not less than 25 per 100 of the total income of the holder of the holding, and the working time spent on activities outside the holding, not more than half of the total working time of the holder of the holding. In addition, it must be affiliated with the social security scheme corresponding to any of the activities carried out on its agricultural holding.

b) Have an age between 18 and 56 years old. The Autonomous Communities may extend this aid to farmers who are 56 years of age or older without having complied with the 60 years, taking into account the age characteristics of their active agricultural population and the purpose of rejuvenation.

c) They have sufficient professional training.

d) Residue in the region where it radiates its exploitation or in any of its neighboring municipalities. For these purposes in the Autonomous Communities which have not established districts within their territorial scope, they will govern as a substitute, the agricultural comarcalization contained in the IV of the Agrarian Census of 1982, of the National Institute of Statistics.

e) Present an Improvement Plan for their exploitation, as provided for in Article 7.

(f) They undertake to carry out the agricultural activity on the holding which has been the subject of aid for at least five years.

g) Commit to bringing a simplified accounting, including at least:

-the entry of income and expenditure of the holding, with supporting documents.

-the establishment of an annual balance sheet of the assets and liabilities of the holding.

h) Justify to be aware of your tax and social security obligations.

Article 6. Work income.

1. Aid for investments in the improvement plans shall be granted only when on agricultural holdings:

-The employment income per UTH at the time of applying for the aid is lower than the reference income.

-The Improvement Plan does not provide for the completion of a work income of more than 120 per 100 of that reference income.

2. For the purposes of calculating the working income per unit of work-man, in relation to the reference income, only the work carried out on the holding by the operator or co-operators of the holding shall be computable. (a) in the case of a person who is a member of the family and the employees, where all of them are listed on the basis of his or her agricultural activity, without the contribution of salaried labour exceeding the family's annual calculation and in no case the amount of 2 the wage labour force per year.

In the case of intensive crops under plastic, in greenhouse or forced, the Autonomous Communities may extend the above limit up to 3 UTH of salaried labour, even in the case of overcoming the labour force. family.

In the case of legal persons, only the work carried out by the partners and employees who are involved in social security, according to their agricultural activity, will be computable, without the contribution of the salaried workforce exceeding annual computation to that of the partners.

Article 7. Improvement Plan.

1. The improvement plan shall demonstrate, by means of specific calculations, that the investments are justified from the point of view of the situation of the holding and its economy, and that its implementation will provide a lasting improvement in such a situation and, in particular, of the income of work per UTH, or that is necessary to maintain the level of income of work per UTH.

You must also include:

(a) A description of the situation before and after the implementation of the Plan of Improvement, established on the basis of a budget estimate, including, among others, the following data:

-Surface and average yields in each productive activity.

-Cattle of cattle by species and their average yields, if any.

-Machinery and equipment, territorial improvements and buildings, if any.

-Composition and dedication of the family and salaried workforce.

-Gross production of each activity.

-Expenses of each productive activity and fixed expenses of the farm.

(b) An indication of the measures and, in particular, of the planned investments, which must be for any of the destinations referred to in Article 8.

c) The duration of the plan that will be based on the nature of the investments, and the forecast of execution of its different phases.

2. Where, by reason of the specialised nature of the holding which is the subject of the aid, the improvement plan includes changes and improvements to the existing sectoral restructuring programmes, or which are to be established in the future, it must comply with the technical and economic criteria laid down in each sectoral programme, in order to be able to benefit from the aid of this Royal Decree.

Article 8 Investment objectives.

1. Aid for investments in the Improvement Plans shall apply to investments intended for:

-Qualitative improvement and reordering of production according to market needs.

-The diversification of productive activities on farms, especially through tourism, hunting, craft activities or the manufacture and sale of their products on their own farm.

-The adaptation of farms with a view to reducing production costs, saving energy or water, or incorporating new technologies, including information.

-Improving the living and working conditions of farmers.

-Improving the hygiene conditions of livestock farms, in compliance with national and Community standards.

-Protection and improvement of soil, plant cover and the environment.

2. The determination of the specific investments to be included in each of the destinations referred to in the previous paragraph, as well as the establishment of their priorities, in which respect for the environment and the environment will be taken into account. Structural peculiarity of the agriculture of each area shall be regulated by each Autonomous Community.

Article 9. Sectoral constraints.

1. The granting of aid for investments referred to in the previous Article may be refused or limited where such investments have the effect of increasing production on the holding of products which do not have normal market outlets. In any event, the concession shall be subject to the rules established or established by the Ministry of Agriculture, Fisheries and Food for the organization and general planning of the agricultural economy, including those referred to sectoral constraints on production, in addition to those set out in the following paragraphs of this Article.

2. Investments relating to the milk production sector and which have the effect of exceeding the reference quantity determined by the rules on the additional levy in the milk and milk products sector shall be exclude from the aid scheme, unless a supplementary reference quantity has been previously granted in accordance with Article 4 (1) (c) of Regulation (EEC) No 857/84 of 31 March on general rules for the application of the fee referred to in Article 5c of Regulation (EEC) No 1630/91 or which has been obtained for a shipment in accordance with Article 7 (1) of the latter. In such cases, the mechanisms for access to new or increased quota for milk production, as laid down in the rules governing the milk sector, are included. In such cases, the aid shall be conditional on the investment not being used to increase the number of dairy cows to more than 40 per cent and to more than 60 per holding, or where the holding has more than 1,5 UTH not to increase the number of dairy cows by more than 15 per 100.

These limitations will not affect the Canary Islands, Ceuta and Melilla.

3. Where an Improvement Plan provides for an investment in the intensive pig production sector, the granting of the aid for such investment shall be subject to the following conditions:

-That at the end of the plan can be produced by the holding, at least, the equivalent of 35 per 100 of the amount of food consumed by the pigs.

-To ensure the technical and health conditions for the disposal of waste and non-contamination of the environment.

4. In compliance with Article 6 (4) of Regulation (EEC) No 2328/91, investment in the intensive pig sector whose objective is to increase the capacity of the pig population will not be eligible for aid. production. The granting of the aid shall be conditional on the total number of places of pigs for fattening, after the investment being made, not exceeding 800 places per holding.

For the above purposes, it is established that the required square for a breeding sow shall be that of 6.5 pigs for fattening.

5. The aid granted for investments in the beef and veal production sector, with the exception of aid for the protection of the environment, shall be limited to livestock holdings whose beef density does not exceed, at the end of the Plan, three units of livestock (UGM) per hectare of total forage area or its production equivalent on surfaces with low productivity and scraping, dedicated in any case to the feeding of such animals.

6. The granting of aid for investment in the poultry sector for the production of eggs and meat in intensive non-soil-dependent meat is excluded. The exception of investment in the field of palmipid birds for the production of "foie-gras", as well as other animal or live poultry uses for purposes other than the production of meat or eggs, is excluded.

7. However, the Autonomous Communities may include aid to investments for the transfer of buildings and livestock facilities outside the municipality's urban centres, for hygienic-sanitary reasons of public interest. Aid may also be included for investments to improve the hygiene and health conditions of livestock holdings, provided that it does not lead to an increase in production or changes in the production structure.

Article 10. Type and amount of aid.

1. The investment aid scheme provided for in Article 8 may consist of capital grants or their interest-rate subsidies or a combination thereof for the investments contained in the Plan for Improvement, with the exception of the costs incurred in the purchase of:

-Lands, with the exception of the provision in the Second Transitional Provision.

-Replacement machinery, except for the use in common between farmers or when the territorial base increases, the crops of the agricultural holding are changed or is deemed necessary by the Autonomous Community to guarantee the viability of the holding. In the last three cases, only those relating to the part of the value corresponding to an increase in the power or capacity of the machinery shall be considered to be eligible for aid.

-Live animals of the porcine species, poultry, as well as calves for slaughter.

For the purchase of other live animals only the first acquisition provided for in the Improvement Plan will be taken into account.

2. The aid referred to in paragraph 1 may be applied to an investment volume of up to 9,200,000 pesetas per unit of work-man and up to 18,400,000 pesetas per farm.

3. The maximum amount of the aid referred to in paragraph 1, expressed as a percentage of the investment amount, shall be:

(a) In the less-favoured areas referred to in Articles 2 and 3 of Directive 75 /268/EEC:

-45 per 100 for real estate.

-30 per 100 for other types of investment.

b) In other zones:

-35 per 100 for real estate.

-20 per 100 on other types of investment.

4. Young farmers who, at the same time or within the first five years of their first installation, present an Improvement Plan and prove that they have sufficient professional training at the time of the granting of the aid, may obtain a additional aid of up to 25 per 100 of the aid corresponding to the aid referred to in paragraph 3 of this Article.

Article 11. Capital Grant.

1. The amount of the capital grant, expressed as a percentage of the amount of the investment, may be up to a maximum of 15 per 100, which shall be increased by a further 5 points in the less-favoured areas in accordance with Article 3 (3) and (4). Directive 86 /466/EEC, and its amendments, applied on a first tranche of the investment for which the ceilings are:

-Generally up to the first two million pesetas of the investment.

-In the case of small producers, up to the first three million pesetas of the investment.

In the case of small cow milk producers the percentage of capital subsidy will be 25 per 100, applied on a first tranche of investment whose maximum limit will be four million pesetas.

2. Young farmers who fulfil the conditions set out in paragraph 4 of the previous Article may obtain additional aid of up to 5 additional points to the subsidy rate provided for in the previous paragraph.

3. The Improvement Plans for the production of organic products may be subject to an additional 3 percentage points of aid to the percentage of the aid which may be provided for in accordance with paragraph 1 of this Article, provided that the is recognized as such by the corresponding Regulatory Board.

4. In any event, for the purposes of calculating points 1, 2 and 3 of this Article, the maximum amount of capital subsidy corresponding to the first tranche of investment shall not exceed 25% of the total amount of capital grant, while respecting the maximum percentages referred to in paragraphs 3 and 4 of the previous Article.

Article 12. Interest bonus.

1. The aid in the form of interest subsidies will be applied optionally to:

-Loans granted to beneficiaries on the whole of the approved investment, in which case the direct grant referred to in Article 11 shall not apply.

-The loans granted to the beneficiaries, corresponding to the part of the approved investment, on which the direct grant to the capital does not apply.

2. The subsidy to be applied to these loans shall be determined annually from the preferential interest laid down in the Conventions to be entered into with the credit institutions provided for in Article 36, establishing a degree of resulting interest according to the following criteria:

(a) In the investments to be made in holdings located in the municipalities of less-favoured areas within the meaning of Article 3 (3) and (4) of Directive 75 /268/EEC, marked with an asterisk in the Directive 86 /466/EEC and its amendments:

-For young farmers, the interest to apply will be 4 per 100.

-For all other beneficiaries, the interest to apply will be 5 per 100.

(b) investments to be made in holdings located in the municipalities included in areas of less-favoured areas within the meaning of Article 3 (3) and (4) of Directive 75 /268/EEC, which are not listed as an asterisk in the Directive 86 /466/EEC and its amendments:

-For young farmers, the interest to apply will be 5 per 100.

-For all other beneficiaries, the interest to apply will be 6 per 100.

c) In investments to be made in holdings located in the rest of the national territory.

-For young farmers, the interest to apply will be 6 per 100.

-For the rest of the beneficiaries, the interest to apply will be 7 per 100.

3. For the general case of small producers irrespective of the area in which the holding is situated, the interest to be applied shall be 4 per 100.

4. In any event, such aid expressed as a percentage of the amount of the investment together with the aid provided for in Articles 11 and 13 may not exceed the limits laid down in Article 10 (3) and (4

.

Article 13. Aid to dairy farmers.

1. In addition to the differentiated treatment of small producers of cow's milk as set out in Article 11, livestock farmers complying with the conditions and requirements of this Royal Decree, and the rules governing the milk sector, submit plans for Improvement of their holding, they will be entitled to 25 per 100 of direct grant on the first tranche of investment and the 4 per 100 of interest bonified to apply to the loans granted. Such aid shall be applied to the investment part of the Improvement Plan, which corresponds to milk beef within the following purposes:

a) Accommodation and builds.

b) Hygiene-sanitary improvements to the holding.

c) Mechanical milking facilities.

d) Facilities and machinery for the refrigeration of milk or milk products.

e) Improvements in the production, handling and conservation of fodder.

f) Reducing production costs.

2. Farmers who carry out improvement plans and who foresee an increase in milk production may receive such aid, provided that they have been granted a supplementary reference quantity or have obtained it by a transfer in accordance with Article 7 (1) of Regulation (EEC) No 1630/91.

3. The conditions and requirements of a technical nature, common throughout the national territory, which may be established may be supplemented with those that each Autonomous Community considers appropriate to establish in its territorial scope by means of regulations own.

4. The interest subsidy on the loan corresponding to the total investment of the improvement plan shall be obtained by weighting the allowance for the previously referred milk-based investments, and corresponding to the remaining investments.

Article 14. Number of Improvement Plans.

1. Aid for investments referred to in this Royal Decree may be granted to farmers who, after carrying out an improvement plan, continue to comply with the conditions laid down in Article 5, provided that they meet the conditions laid down in this Regulation. Article 6. The number of Plans per holding and beneficiary, which may be approved for a period of six years, shall be limited to two without the total investment volume exceeding 9,200,000 pesetas per UTH or the 18,400,000 pesetas per holding during the period. that period. However, those who have been beneficiaries of two Improvement Plans under Royal Decree 808/1987 of 19 June will be able to improve the existing plans with the maximum investment ceiling for the difference between the maximum amounts of investment now established and those approved by the set of both previous Improvement Plans.

2. For these purposes, a single holding would benefit from the set of agricultural investment plans made by any operator.

Article 15. Associated holdings.

1. An improvement plan, in accordance with the requirements laid down in Article 7, may relate to an individual holding or to several holdings which are associated by the merger of the whole or part of those holdings, associated exploitation resulting in the legal form of the Cooperative or Agricultural Society of Transformation, hereinafter the SAT.

2. In the case of associated holdings, the Improvement Plan shall relate to the resulting associated exploitation as well as, where appropriate, to the non-integrated part of each holding which is still run by its holder, at the same time as a member of the holding. associated.

3. The aid referred to in Article 10 may be granted to the Cooperatives and SAT in which the conditions of merger referred to in paragraph 1 of this Article are met, if all of its members fulfil the conditions laid down in that Article. Article 5 (a) (a). The minimum duration shall be six years and the formula for participation in management and social capital shall be in accordance with the legal regime of those Associative Entities.

4. The maximum investment limits referred to in Article 10 (2) and Article 14 may be multiplied by the number of holdings integrated into the associated holding, with the exception of the aquaculture sector. The maximum operating limits, in the cases referred to in Article 9 (2) and (4), may be multiplied by the number of holdings in the case of a holding resulting from a total merger. However, the above shall not exceed by associated holding, including where applicable the parts of holdings which continue to be run by members of the associated holding, the following limits:

-One hundred and twenty dairy cows.

-Three times the number of pig places as set out in Article 9 (4).

-55,200,000 pesetas of investment.

5. Aid may be granted for investments in the Improvement Plans referred to in this Royal Decree to the Cooperatives and Agricultural Societies of Transformation whose objective is the Community exploitation of lands and/or livestock, or those other with the same social objective as the new constitution is not formed by merger of holdings. In both cases they shall meet the requirements referred to in Article 2 (b) (b), with the limits on the number of milk cows and pig places referred to in the previous paragraph and for a maximum investment of 18,400,000 pesetas.

6. The Autonomous Communities shall lay down the conditions to be met by the groupings referred to in this Article in respect of their minimum duration, the establishment of the social capital and the participation of members in the management, of the limits laid down in Article 9.6 of Regulation (EEC) No 2328/91.

Article 16. Modifications to the Improvement Plans.

1. Any beneficiary who has submitted an Improvement Plan may waive his application if he so requests, provided that he has not received any of the aid which corresponds to him or returns in full the amount received as a grant, including the legal interests established, as well as the refund of the amount of the loan received, together with the interest or differential of the loan corresponding to each case.

2. If the improvement plan is implemented, the actual investment will be less than the approved investment, the amount of the capital subsidy and, where appropriate, the loan, the resulting differences will be reduced and returned on the basis of the investment. carried out, without any penalty provided that the Autonomous Community recognises the technical and economic validity of the Plan of Improvement executed.

However, if the reduction of the investment made is not considered justified, the corresponding delay interest must also be paid.

3. Where significant changes in production or the investment programme are necessary for reasons of force majeure, an additional or a non-binding improvement plan may be submitted. This Plan must be approved following the same procedure as the one set for the initial Plan.

Section 2. Young farmers

Article 17. First installation.

1. Special aid is provided for the first installation of young farmers who meet the following requirements:

(a) To be installed on an agricultural holding as holder or co-owner.

(b) To be installed as a principal farmer or who, having been installed as a part-time farmer, agriculture becomes its principal activity.

(c) To have sufficient professional training, in accordance with the terms set out in Article 2.11, at the time of installation or to undertake to acquire it within two years.

(d) To be installed on a holding that requires a volume of work equivalent to at least one UTH or to be committed to reaching that volume within a maximum of two years from its installation.

(e) Commit to exercise agricultural activity for five years and keep a simplified accounting in accordance with the terms laid down in Article 5 (g).

(f) Maintain or fix residence in accordance with Article 5 (d).

2. The aid application must be submitted before or within three months of its first installation.

3. The granting of aid shall require the submission of an operating plan in which the degree of economic viability of the plan is reflected, its status as a starting point and, where appropriate, the changes to be made. This operating plan must ensure at the end of the installation a working income available to the account of 40 per 100 of the reference income per 100. The granting of such aid shall require that the initial working income not exceed 120 per 100 of the reference income.

4. The operating plan shall not be required in the event of an improvement plan in accordance with Article 7.

Article 18. Embodiments of the first installation.

The first installation of a young farmer can be done by any of the following modes:

-Access to the ownership or co-ownership of the agricultural holding by purchase, inheritance, succession agreement, donation, leasing or sharecropping of the land or the operating capital. In the case of co-ownership, it shall assume at least 40 per 100 of the risks and the civil, fiscal and social responsibilities of the management of the holding.

-Integration as a principal farmer in associative exploitation with legal personality.

-Access to the co-ownership of a family farm by means of a partnership agreement signed in a feisty document, which must specify that at least 40 per 100 of the risks and liabilities are assumed Civil, fiscal and social management of the holding with a duration of more than 10 years.

Article 19. Aid to the first installation.

1. Aid to the first installation of young farmers may include:

(a) A single farm premium which may be replaced by an equivalent interest subsidy, the maximum amount of which may be:

-1,500,000 pesetas when the installation takes full ownership and is not carried out on the family farm or when installing in the family, the beneficiary fully assumes the management responsibilities of the holding and have a participation, equal or higher, to 50 per 100, both in the economic performance and in the operating capital.

-1,000,000 pesetas when installing on the family farm and fully assuming the management responsibilities of the holding, the beneficiary has a participation equal to or greater than 50 per 100 of the result Economic and non-profit-making 50 per 100 of the operating capital.

-500,000 pesetas in the other assumptions.

b) An interest rate subsidy up to 5 points on the preferential interest established in the Agreements with credit institutions, for a maximum period of 15 years, the capitalized value of which does not exceed 1,500,000 pesetas for the installation-related loans.

2. At the same holding, no more than one premium premium may be collected. In the case of multiple installations, the single premium will be divisible according to the degree of co-ownership of each young person.

3. The installation premium may be paid at the discretion of each Autonomous Community, either once or in a fraction with a first payment of 50 per 100 at least at the time of the installation, and the remainder at a later stage at the end of the installation. corresponding plan, and, where appropriate, completed commitments.

4. Both the premiums and the installation loans may include, inter alia, the following applications:

-Payment of the first annuity of a land lease.

-Notary and registration expenses derived from the first installation.

-Payment of hereditary rights, if any, to coherends of family exploitation.

-Acquisition and improvement of rural housing.

-Equation of territorial and operating capital, as well as its expansion to ensure adequate viability and economic outcome.

-Economic contribution of the youth to the Cooperative or SAT, for their integration as a partner in them, when the installation is by the route established in the following article.

-Other that the Autonomous Communities estimate priorities and which are derived from the first installation of young farmers.

Article 20. First installation by associative path.

When young farmers are integrated into an associative exploitation that is Cooperative to SAT whose partners after the integration are mostly farmers in the main title, the aid that These may be granted to young people who have been installed or to the associative exploitation, including those described in Article 11 (2). In the latter case, the amount of the aid shall be obtained by multiplying the respective individual aid by the number of integrated young people whose working volume in the associative holding is a UTH, and which meets the requirements laid down in Article 17.

Section 3. Introduction of accounting

Article 21. Support for the keeping of accounts.

1. The Autonomous Communities may provide aid to encourage the introduction of the accounts of agricultural holdings which may be granted to farmers as a principal and shall be distributed at least for the first four years. in which the accounts for the management of their holdings are kept. The amount of such aid shall be between 100,000 and 150,000 pesetas per beneficiary and for the total of the four years.

2. The accounts referred to in paragraph 1:

a) You'll understand:

-A description of the general characteristics of the operation, in particular the factors and means of production used.

-Setting an annual opening and closing inventory.

-The systematic and regular seat during the accounting year of the various movements in cash or in kind affecting the holding.

b) Conclude each year with the presentation of:

-A balance sheet (asset and liability) and a detailed operating account (expense and income).

-The data necessary to assess the effectiveness of the management of the farm as a whole, in particular the income of work per UTH and the income of the farmer as well as the precise ones to assess the profitability of the principal activities of the holding.

Article 22. Anonymous use of data supplied.

When the farmer benefits from the aid provided for in the previous article and his exploitation is selected by the Central or Autonomous Administration for the use of his data for the purposes of managing or carrying out Technical-economic studies, or for inclusion in the National Agricultural Accounting Network (RECAN), shall provide the accounting data of its exploitation that is required, guaranteeing its anonymity by application of the statistical confidentiality.

Section 4. Service Pools

Article 23. Promoted groupings.

The Autonomous Communities will be able to establish support for the implementation by the groupings of services of mutual assistance, substitution or management of holdings.

Article 24. Groups of mutual aid services.

1. Aid may be granted to groups recognised by the Autonomous Communities which have been established after 1 April 1985, the aim of which is to:

-Mutual assistance between holdings, including the use of new technologies and practices for the protection and improvement of the environment and the conservation of natural space.

-The introduction of alternative farming practices.

-The more rational common use of the means of agricultural production.

-Common exploitation.

Such aid shall be used to contribute to the payment of the costs of each year of management, operation and implementation, for a maximum of five years following the start of the assisted activity, the beginning of which shall be accredited.

2. The amount of the aid shall be established on the basis of the number of participants and the activity carried out in common, without in any event being greater than 2 000 pesetas per group.

3. The Autonomous Communities may define the legal form of such groupings and the conditions of cooperation of their members.

Article 25. Replacement service pools.

1. Aid may be granted for the implementation of agricultural associations, the object of which is the creation of replacement services on the holding, if they so request. Such start-up aid shall be intended to contribute to the coverage of management, operational and start-up costs.

2. In order to be entitled to the aid referred to in paragraph 1, the replacement service shall be authorised by the Autonomous Community and shall employ at least one full-time, qualified person for the work to be carried out.

3. The Autonomous Communities may determine the conditions for authorising the services referred to in paragraph 1 and in particular:

-The legal form.

-The conditions regarding management and accounting.

-Substitution cases that will be able to understand the replacement of the holder or any person working on the holding.

-Its duration to be at least ten years.

-The minimum number of affiliated farmers.

4. The start-up aid referred to in paragraph 1 shall not exceed 1,800,000 pesetas per replacement agent employed in full time in the activities referred to in paragraph 2. This amount shall be allocated between the first five years of the the activity of each agent and may be distributed in a degressive manner during that period.

Article 26. Enterprise enterprise management pools.

1. Aid for the implementation of agricultural associations with a view to the establishment of farm management services may be granted. Such support shall be intended to contribute to the coverage of the costs of the business management service.

2. The aid referred to in paragraph 1 shall be granted for the activity of the agents responsible for analysing the results of the accounts and the other data on behalf of the operators.

3. In order to be entitled to the aid referred to in paragraph 1, the farm management service shall be authorised by the Autonomous Community and shall use full-time at least one qualified staff member to carry out the duties referred to above. in paragraph 2.

4. The Autonomous Communities may determine the conditions necessary for the authorisation of the services referred to in paragraph 1 and in particular:

-The legal form.

-The conditions regarding management and accounting.

-Its duration to be at least ten years.

-The minimum number of affiliated farmers.

5. The amount of the start-up aid referred to in paragraph 1 shall not exceed 5,400,000 pesetas per staff member employed in full time to carry out the activities referred to in paragraph 2. This amount shall be allocated among the first five years of activity of each agent and may be distributed in a degressive manner throughout this period.

6. The system of support provided for in paragraph 5 may be replaced by a system of start-up aid for the introduction of management of agricultural holdings for the benefit of farmers engaged in agriculture as occupation. (a) the principal and the use of these management services of the holdings referred to in paragraph 1.

In this case, the aid may not exceed 75,000 pesetas per holding, which must be spread over two years at least.

7. Where the beneficiary of such aid is selected by the Central or Autonomous Administration bodies, with the aim of carrying out technical or statistical studies on the basis of their accounting and management data, which will help to Better decision-making for farmers must make available the data and results of the management of the exploitation of their partners, with the guarantee of anonymity in application of the statistical confidentiality.

Section 5. Forestry investments in agricultural areas

Article 27. Aid for forestry investments.

1. Aid may be granted for the afforestation of agricultural areas to the holders of holdings. The repopulation aid may also be granted to any other person, association, cooperative or SAT, neighbourhood board, local authority and grouping of any kind that proceeds to the repopulation of the agricultural areas.

2. Farmers as a principal may also be eligible for investment aid for the improvement of the area of forests, such as works on lawnmowers, firewalls, water points, roads and forest tracks.

3. The costs of adapting the agricultural machinery and equipment for forestry work shall be part of the investments referred to in paragraphs 1 and 2.

4. The aid, in two investment plans at most for a period of six years, will be granted for a maximum investment level of 55,200,000 ptas. in case of associations, cooperatives, SAT, Neighborhood Board, Local Entity and grouping of any kind, and of 18,400,000 pesetas for individual farmers. The form of the aid shall be optional in the form of interest subsidies on loans, which may cover the total investment approved, or in mixed form: direct grant of the first tranche of investment eligible for the capital grant within the meaning of Article 11 and the interest subsidy on the loan of up to 15 years of amortisation covering the remainder of the investment. The percentage of aid to be applied, where appropriate, to the first tranche of investment will be up to 25 per 100, with the Autonomous Communities being able to increase this percentage by financing this increase with their own resources in their own Bilateral agreements provided for in Chapter III.

The interest rate on the subsidised loans will be 4 per 100, applying the corresponding reduction on the interest agreed with the credit institutions.

The result of applying both modes of support will have the following percentage limits for each type of improvement:

-Up to 80 per 100 of the approved investment for afforestation, by planting or replanting with tree or tree species and for the construction of forest roads and tracks.

-Up to 60 per 100 of the approved investment for works to improve forest surfaces, renovation and improvement of cork, and construction of cut-offs, firewalls, protective strips and water points.

In any case, the amounts resulting from the set of aid referred to in this paragraph shall not exceed the following figures for each type of improvement:

-275,000 pesetas per hectare for afforestation.

-100,000 pesetas per hectare for the improvement of forest surfaces and for works relating to cutting-off.

-200,000 pesetas per hectare for the renovation and improvement of the cork oak forests.

-2,700,000 pesetas per kilometre for forest roads and tracks.

-22,700 pesetas per hectare provided with firewalls and water points.

5. The conditions for repopulation of agricultural areas which may include, in particular, conditions relating to the location and concentration of the areas which may be used shall be determined at the discretion of the Autonomous Communities. repopulated, as well as the preferred forest species to be used in restocking.

In addition to the provisions adopted for the determination of such repopulation conditions, detailed rules for the communication to the Commission of the European Communities shall be drawn up, including the following provisions: Aspects:

-the provisions adopted with a view to assessing and controlling the impact on the environment.

-an indication of the accompanying measures taken or envisaged.

-an indication of the forest plans or programs to which the repopulation must respond.

Section sixth. Aid to sensitive areas

Article 28. Sensitive areas.

To contribute to the introduction or maintenance of agricultural production practices compatible with the requirements of the protection of the environment and natural resources or with the requirements of conservation of the natural space and landscape, and thus contribute to the adaptation and orientation of agricultural production in accordance with the needs of the markets and taking into account the losses of agricultural income resulting from it, establishing a specific aid scheme in particularly sensitive areas from these points of view.

Article 29. Farmer's commitment.

The aid scheme referred to in the previous Article shall consist of an annual premium per hectare, granted to farmers, whose holding is located in a sensitive area and which is committed, within the framework of a programme specified for the area concerned and for at least five years, to introduce or maintain agricultural, livestock or forestry production practices compatible with the requirements of the protection of the environment and natural resources or with the requirements of the conservation of natural space and landscape.

Article 30. Sensitive zone declaration.

The competent authority shall determine the sensitive areas and, in the light of the objectives to be achieved, define production practices compatible with the requirements of environmental protection and resources. or with the requirements of the conservation of the natural space and the landscape. It shall also lay down the rules and criteria to be observed in respect of the production practices provided for in the previous Article, in particular those relating to the maintenance or reduction of the intensity of production and the density of livestock required. It shall also establish the amount and duration of the premium, which shall depend on the commitment made by the beneficiary under the programme.

Article 31. Amount of the premium.

The maximum amount of the annual premium per hectare referred to in the previous Article is fixed at 22,700 pesetas per hectare for the maximum period of five years in compliance with the commitments referred to in that Article

Section 7. Support for vocational qualifications

Article 32. Modality of aid for vocational qualifications.

1. Aid may be provided for the improvement of agricultural vocational qualifications, in order to meet the needs of modern agriculture, by means of courses, seminars or training and practical learning placements, carried out in agricultural holdings, public or private.

2. Such aid may consist of:

(a) Grants to young people attending courses on agricultural vocational training, with a higher age than that corresponding to compulsory schooling.

b) Grants to courses and training stays for leaders, workers, and partners in farmers 'and cooperatives' groups to improve their corporate and business organization and effectiveness.

(c) Grants for holding holders, family members and agricultural workers for hire or reward, for training courses and professional training in agriculture.

(d) Grants for young people for assistance with vocational training courses necessary to acquire the level of vocational training required by Article 17 and the duration of which must be at least 150 hours.

3. The actions referred to in this Article shall not include courses or courses which are part of normal programmes or schemes of agricultural or higher education.

Article 33. Criteria and amounts of aid.

1. The amount of aid corresponding to the aid referred to in paragraph 2 (a) of the preceding Article shall be fixed in accordance with criteria similar to those laid down by the Ministry of Education and Science in the calls for the general scheme of aid to the study. Its implementation will ensure the principle of equal opportunities which the grant of training grants presides. The advertising phase of the call for and processing of the application for a grant and its management shall be carried out by the Autonomous Communities.

2. Irrespective of the maximum Community ceiling of 1 000 000 pesetas per beneficiary, for training activities, which will allow the justification of the costs of carrying out the training activities and the maintenance of the educational establishments, the The maximum amount of aid to be used in the bilateral agreements to be concluded shall consist of the direct grants to the beneficiary to cover their costs of assistance to training.

For these purposes the maximum amounts of the grant per beneficiary shall be:

-150,000 pesetas for courses of regulated training with academic year duration.

-50,000 pesetas for non-regulated courses but with a minimum duration of 150 hours.

-20,000 pesetas for courses or training activities of less than 150 hours.

CHAPTER III

Financing the aids

Article 34. Distribution of the financing of the aid.

1. The Ministry of Agriculture, Fisheries and Food will finance, through the National Institute of Agrarian Reform and Development, the entire amount of the following aid:

-Interest in the interest of loans for the implementation of the Improvement Plans, as set out in Articles 12 and 13.

-Bonification of the interest of the loans for the installation of young farmers, as provided for in Article 19.1.

-Bonification of interest on loans for forest investments on agricultural land as set out in Article 27.4.

-Bonification of interest on loans in investments for land acquisition in the cases referred to in the Second Transitional Provision.

2. The Autonomous Communities may finance the remaining aid referred to in this Royal Decree and in particular the following:

-Capital grants as set out in Articles 11, 13 and 27.4.

-First installation primes of young farmers, as provided for in Article 19.1.a), when opting for direct grant.

-Aid for the introduction of accounting and service groupings for the benefit of agricultural holdings, in accordance with Articles 21 to 26, both inclusive.

-Grants to improve the agricultural professional qualification, in accordance with Articles 32 and 33.

-Measures not contemplated as common action, which specifically regulate each Autonomous Community based on its regulations and in the framework and generic contents of this Royal Decree.

3. In relation to measures for sensitive areas, the funding shall be covered by the competent authority declaring the sensitive area and approving the relevant programme.

4. The rate of participation of the Ministry of Agriculture, Fisheries and Food in the coverage of all aid granted in each financial year, with the exception of the aid under the last indent of point 2 of this Article and of the aid for sensitive areas referred to in point 3 of this Article, which shall not be taken into account for these purposes, shall be laid down in the bilateral agreements with the Autonomous Communities, as referred to in the following Article.

Article 35. Bilateral agreements with Autonomous Communities.

1. The Ministry of Agriculture, Fisheries and Food, through the General Secretariat of Agricultural Structures, will negotiate and sign annual bilateral agreements with each Autonomous Community, in which the following will be included: Aspects:

a) The territorial allocations of the aided investment, fixing the maximum quotas for each line.

b) Budgetary commitments to be taken by each Administration, with the expression of their respective percentages of participation in the overall funding of the aid.

c) Commitments on the management of the aid established in this Royal Decree and in an explicit way the means and measures to be adopted by each Administration for the correct development of the same, especially the necessary regulatory developments, responsible organisations and administrative units, information to be provided by both administrations, and the composition and functioning of monitoring committees.

d) Coordination and control procedures to ensure that the objectives of this Royal Decree and the requirements of Community legislation are met.

e) Financial compensation mechanisms between the two administrations that, on closed exercises, respect the agreed percentage of budgetary participation for each year.

(f) Clauses of temporary relaxation with respect to the implementation of the agreed measures, as well as the mechanism for the redistribution of unused resources.

2. The National Institute of Agrarian Reform and Development is authorized to carry out administrative acts and transfers of capital to the Autonomous Communities in order to guarantee the fulfillment of the bilateral agreements and in particular that of the aforementioned degree of financial participation.

Article 36. Financial Conventions.

1. For the purposes of implementing the aid financed by the Ministry of Agriculture, Fisheries and Food provided for in Article 34.1 and for the implementation of the loans to which they relate in order to finance investments, establish by the General Secretariat of Agricultural Structures the relevant Conventions with public and private credit institutions.

2. The maximum amount of resources to be agreed with the credit institutions, in order to finance the actions corresponding to the General Secretariat of Agricultural Structures, will be established annually by the Government's Delegation for Economic Affairs Economic, on a proposal from the Ministries of Economy and Finance, and Agriculture, Fisheries and Food.

Article 37. Criteria for the distribution of financial resources.

The Ministry of Agriculture, Fisheries and Food will set annually the distribution of the resources mentioned in the previous article among the different measures or lines of assistance to be used, establishing in the bilateral agreements with each Autonomous Community the initial maximum quotas for each of these measures. These maximum quotas will result from applying objective distribution criteria which take into account the relative weight of agriculture in each Autonomous Community and the attention to the needs of modernization with criteria of solidarity, consulted Autonomous Communities.

The allocation of initial annual maximum quotas will be expressed in number of actions, investment and global financial commitment. They shall be continuously monitored in their implementation and may be reviewed in accordance with the mechanisms to be set out in the bilateral Conventions, for reallocation between aid lines and between the Autonomous Communities, if they cannot make full use of their allocation for lack of demand or of budgetary resources for co-financing. The final quota allocated and not carried out by each Autonomous Community shall not constitute a reserve for the following financial year.

CHAPTER IV

Processing, information and monitoring of aid

Article 38. Processing.

1. The processing and resolution of the files for the application of the aid by the beneficiaries of each measure referred to in this Royal Decree, will be carried out by each Autonomous Community in its corresponding territorial scope, with the the sole exception of cases of territorial scope higher than that of an Autonomous Community, in which case it shall be the responsibility of the Ministry of Agriculture, Fisheries and Food through the General Secretariat of Agricultural Structures.

2. The part of the aid to be financed by the Autonomous Communities shall be paid directly by them in their entirety.

3. The part of the aid to be financed by the General Secretariat for Agricultural Structures in the form of interest subsidies shall be determined by each Autonomous Community until the maximum quota and the amount fixed for that year in the Convention are exhausted, as well as the certification of the realisation of investments.

4. The payment of the amounts corresponding to the interest subsidy shall be made from the General Secretariat of Agricultural Structures to the financial institution with whom the agreement has been established and the amounts corresponding to the settlement. made for each maturity, on the basis of the communication of the same as each credit institution prior to its actual maturity, in accordance with the periodicity and regulated form in the agreements, being able to be carried out both by successive maturities throughout the life of the loan, as for the entire value updated with the rate that corresponds to the date of the first expiration.

5. In any event, the resolution of the Autonomous Community shall mean the recognition of the right to the interest rate of the loan within the quotas established in the bilateral agreement with that Autonomous Community.

Article 39. Information.

1. In order to be able to develop the entire procedure with maximum agility and to have information about the execution of the measures:

-The Autonomous Communities may establish the documents that specifically constitute the file in their different phases.

-The Ministry of Agriculture, Fisheries and Food shall determine the information concerning the identification of each beneficiary, the descriptive aspects and basic indicators of the holding, and the economic values and amounts of the aid corresponding to each file resolved. This individualised information shall be provided by the Autonomous Communities to the Ministry of Agriculture, Fisheries and Food for the set of files resolved, together with the relevant implementing certificates. The set of this information shall be transmitted by computer with the necessary documents for the administrative validation of the information and, failing that, by the procedures to be established. In order to normalize or typify the contents of the information, and to make the use of the data related to the application of this Royal Decree more effective, the necessary standardization of the common documentation will be carried out using keys.

2. The Autonomous Communities shall be depositaries of information which must be provided for the purposes of covering the requirements of the institutions of the European Economic Community in the exercise of their monitoring, evaluation and control, in turn supplying the Ministry of Agriculture, Fisheries and Food with the part of such information as may be necessary to provide or channel for compliance with the follow-ups of these Community Institutions.

Article 40. Monitoring.

For the purposes of implementing the control of the fulfilment of the objectives of this Royal Decree and of the requirements of the Community legislation, as well as to facilitate the activities that the institutions of the The European Economic Community shall establish with the competent bodies of the Autonomous Communities the appropriate mechanisms for the implementation and coordination of such controls.

ADDITIONAL PROVISIONS

First.

The Autonomous Communities, without prejudice to the aid lines already referred to in Article 4, may establish other specific aid lines, which are governed by their own rules, although they relate to and related to aspects of in the case of agricultural production structures supplementing the provisions of this Royal Decree, in order to enable beneficiaries to benefit from the non-bonus loans under the Financial Convention between the Ministry of Agriculture, Fisheries and Food and credit institutions, with the limits laid down in the Bilateral agreements between that Ministry and the Autonomous Communities.

Second.

1. The Ministry of Agriculture, Fisheries and Food, through the General Secretariat of Agricultural Structures and the Autonomous Communities, may establish guarantee mechanisms, risk insurance, total or partial insolvency insurance, or any other which they consider necessary in order to allow access to the aid of this Royal Decree to the cases of potential beneficiaries lacking sufficient guarantees at the discretion of the credit institutions with whom the financial convention is established, 1 per 100 of the aid granted to the insurance fund may be allocated set.

2. Among the mechanisms of approval, the Ministry of Agriculture, Fisheries and Food, through the General Secretariat of Agricultural Structures, may sign the Convention with the State-owned Association of Agricultural Cautions (S.A.E.C.A.), either on a bilateral basis. or jointly with Credit Entities.

3. Part of the aid granted may be used to compensate for the costs of guarantees or guarantees for loans taken out where it is necessary to provide for the inadequacy of the real and personal guarantees.

Third.

The Autonomous Communities in the exercise of their powers, and in the margin of the aids that are available in the bilateral agreements that they have signed with the Ministry of Agriculture, Fisheries and Food through the Secretariat General of Agricultural Structures, may supplement the aid covered by this Royal Decree up to the maximum ceilings of Regulation (EEC) 2328/91.

Fourth.

The Autonomous Communities will be able to expand the number of beneficiaries from their budgets, provided that they meet the requirements of this Royal Decree, when the state funds derived from the bilateral agreements are exhausted or insufficient.

Fifth.

The liability regime provided for in Article 8 of the Regulation (EEC) 729/70, will affect the different Public Administrations in relation to their respective actions, with the procedures derived from the corresponding action, by the bilateral Conventions signed between the General Secretariat Agricultural Structures and Autonomous Communities.

Sixth.

The holdings which, in accordance with the circumstances mentioned in Law 49/1981, of 24 December, are qualified as agricultural family holdings, may, in application of the aforementioned Law, have access to the Tax and tax exemptions for certain capital transfers, as well as reductions in tax and registration fees in certain cases. The regulation that requires the application of these benefits will be the responsibility of the Autonomous Communities through their own rules.

Seventh.

For the year 1992 the overall percentage of the financial participation of the Ministry of Agriculture, Fisheries and Food to be established in the bilateral agreements with the Autonomous Communities, will be 70 per 100. This percentage may be revised downwards in successive years to 50 per 100 in 1996.

Eighth.

Articles 2, paragraphs 5, 6, 7, 8, 10, 11, 13, 14 and 15; 5 (a), (f) and (h); 6.2; 7.2; 9.1; 15.1 and 17.2, have the character of state basic regulation in accordance with the provisions of Article 149.1.13. of the Constitution.

TRANSIENT PROVISIONS

First.

The applications submitted under Royal Decree 808/1987, prior to the entry into force of this Royal Decree on which there has been a resolution of the Autonomous Community before June 22, 1.991 be the subject of a commitment to expenditure resulting from them under Royal Decree 808/1987. In the other applications submitted under that Royal Decree prior to the entry into force of this Royal Decree, on which there has not been a resolution of the Autonomous Community, as well as those that have been resolved The beneficiary may request that they be adapted and resolved in accordance with the provisions of this Royal Decree. This adjustment must be made before the end of the year 1,992, so the Autonomous Communities shall set the deadline for receiving it in order to ensure that it is carried out before the end of the financial year.

Second.

Until 31 December 1994, and in cases where the agricultural holding does not have the capacity to absorb a UTH, the improvement plan may include the acquisition of land with a maximum value of 3.800,000 pesetas provided that the viability of the resulting agricultural holding is demonstrated by not being required to carry out the simplified accounting referred to in Article 5.

This investment in territorial capital may only be the subject of a loan interest subsidy of up to 15 years of amortisation applied to the preferential interest provided for in the financial agreements, the interest to be applied by 7 per 100.

Third.

Until 31 December 1995, the aid granted by the Autonomous Community of the Canary Islands under this Royal Decree to farmers who do not fulfil the conditions of Article 5 (a) and those other than those provided for in the Regulation (EEC) No 2328/91, which the Commission of the EEC excepted for the Canary Islands, in accordance with Article 10 (6) of Title IV of Council Decision 91 /314/EEC of 26 June establishing a programme of specific options for the remoteness of the Canary Islands and the insularity of the Canary Islands (POSEICAN) may be attributable to the bilateral agreement signed by the General Secretariat of Agricultural Structures with that Autonomous Community, up to the limits established annually in the said Convention.

REPEAL PROVISION

Royal Decree 808/1987 of 19 June 1987 establishing a system of aid for the improvement of the efficiency of agricultural structures is hereby repealed.

FINAL PROVISIONS

First.

The Minister of Agriculture, Fisheries and Food is hereby authorized to issue, within the scope of his jurisdiction, the precise provisions for the development and implementation of this Royal Decree.

Second.

This Royal Decree shall enter into force on the day following that of its publication in the Official Gazette of the State.

Given in Madrid at December 30, 1991.

JOHN CARLOS R.

The Minister of Agriculture, Fisheries and Food,

PEDRO SOLBES MIRA