In a recent submission to the Government, the IFA called for an extension to the current Targeted Agricultural Mechanisation Scheme, commonly known as TAMS II. This scheme is due to expire in December of this year, leaving farmers with just four months to avail of it.

It remains to be seen whether a TAMS III will replace the current scheme but there was no mention of it in the programme for government agreed by the three parties in coalition.

The deadline for applications to the latest TAMS tranche has been extended by two weeks, the Department of Agriculture has announced. The tranche was due to close this Friday 7 August, but farmers will now have until midnight on Friday 21 August to submit an application under tranche 18 of the farm investment scheme.

Not having TAMS or an equivalent scheme would be a big loss to farmers thinking of upgrading their facilities

The next TAMS tranche (19) will open on 22 August, the Department of Agriculture has confirmed.

Not having TAMS or an equivalent scheme would be a big loss to farmers thinking of upgrading their facilities. For most farmers, TAMS is a 40% grant aid on an investment ceiling of €80,000. So if the total of grant eligible items is €80,000 or more, the farmer can get €32,000 in grant aid. However, young farmers can claim 60% grant aid and farmers in a partnership can double their investment ceiling to €160,000 and get either 40% or 60% grant aid on the higher amount depending on their status.

Young farmers are classified as such if they are under the age of 40 and have been farming for less than five years at the time of the application.

Young farmers can apply for the capital investment scheme, which grant-aids structural building work such as concrete and steel buildings on milking parlours. Structural work on milking parlours is not eligible for older farmers under the dairy equipment scheme.

Work on the project must not commence until applications have been processed and approved

So farmers over the age of 40 or those who have been farming for more than five years will just receive grant aid for the dairy equipment. Dairy equipment includes milking machine, meal feeders, meal bins, water heaters and bulk tanks.

Work on the project must not commence until applications have been processed and approved. The Department of Agriculture is very strict on this rule and has refused grant aid in a number of cases where there is evidence of work having started before approval was granted.

Paying a deposit for a machine prior to approval can be considered a violation of the scheme rules.

Another area that can trip farmers up is in relation to planning permission and building design. If the grant-aided milking equipment is going into an existing building or if the application only concerns the equipment and not the building, then planning permission is not required at the time of application.

Evidence of planning permission being granted is a condition of the scheme where equipment is being grant-aided in a new build

However, if there is slurry storage in the building then external agitation points need to be in place as the Department will not approve payment if the agitation points are indoors.

Likewise, if any alterations are made to the building, the Department may seek evidence that the alterations were approved by the local planning authority or are exempt from planning.

Evidence of planning permission being granted is a condition of the scheme where equipment is being grant-aided in a new build, even though the building itself may not be grant-aided.

There have been instances where the Department has sought clarity that existing buildings (which will house TAMS-funded equipment) have planning permission.

As planning permission usually takes up to three months, farmers who are contemplating applying for TAMS really need to get their act together and have planning in place if they need it prior to making a TAMS application.

Later date

Alternatively, if funding is only being sought for equipment, the application can be submitted and the farmer can seek planning permission at a later date.

All investments must be complete within 12 months of TAMS approval, but there is the option to seek an extension to this deadline.

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