Strategy

LOCAL DEVELOPMENT STRATEGY 2010 - 2013

Territory of carrying out Local Development Strategy – Municipality of Devnya and Municipality of Aksakovo. The territory of MIG DEVNYA – AKSAKOVO is 581.6 sq.km, the population is 31153 inhabitants

Headquarters, address and authorities of the Local Action Group

Headquarters and address: town of Devnya, 78 Saedinenie Blvd.
Authorities: General Assembly, Management Board and Supervisory Board

Objectives, priorities, specific objectives and measures of the Local Development Strategy

Priorities	Competitiveness by increasing the added value of agricultural products	Improving the environment and the rural territory by protecting the natural resources	Improving the quality of life and diversifying the employment conditions
Specific objectives	1. Supporting the agricultural producers taking part in the micro-chain 2. Creating and/or renewing of logistic structures for servicing the micro-chains 3. Supporting processing enterprises, servicing micro-chains of agricultural producers	4. Utilization of uncultivated lands through afforestation 5. Integration of the sector with others	6. Diversification to non-agricultural activities 7. Creation and development of micro-enterprises 8. Creating conditions for promoting local touristic products and sale of territory 9. Improvement of population and business services
Funding measures	121. Modernization of agricultural holdings 123. Adding value to agricultural and forest products	223. Initial afforestation of non-agricultural lands	311. Diversification to non-agricultural activities 312. Support for establishment and development of micro-enterprises 313. Promoting touristic activity 321. Basic services for population and economics in the rural regions 322. Renovation and development of settlements

Eligible activities and other eligible beneficiaries under measures

Measure121

Modernization of agricultural holdings

Eligible applicants: The applicants shall be registered on the territory of MIG DEVNYA – AKSAKOVO. I. Agricultural producers: The applicants shall be registered as agricultural producers pursuant to the Supporting of Agricultural Producers Act. The economic size of the applicant’s holding shall be at least 1 economic unit (EU). The applicants shall comply with the criteria of minimal area as per the scheme for single payment as per area with the exception of applicants that are approved for support as per measure 141 Supporting semi-market holdings in process of restructuring. The applicants – entities shall have received a minimum of 50% of the total income of the previous year from agricultural activities, land production processing and/or services, directly related to agricultural activities. The applicants shall present a business plan as a part of the procedure of application. The business plan shall consist of a detailed description of the planned investments and respective activities. They shall demonstrate in what a way the project’s application with improve the overall activity of the agricultural holding. The sole owners and entities shall be listed at Commercial Register at Registry Agency; entities shall have operated for at least 6 months prior to the date of filing the application for funding and shall have income for the previous financial year a minimum BGN equivalence of 3500 euro of agricultural activities, processing of agricultural production and/or services, directly related to the agricultural activities, including of received public financial assistance, directly related with the execution of such activities and services. II. Agricultural Producers Organizations: The applicant – organization of agricultural producers shall be recognized as an organization of producers as per the national legislation and/or the Regulations of EU for recognizing producers’ organization. The applicant – organization shall provide a business plan as part of the application procedure. The business plan shall comprise a detailed description of planned investments and activities. The business plan shall indicate in what a way the application of the project will contribute to the overall activity of the agricultural holdings, the members of the organization and the producers. The applicant – organization of producers shall indicate that the investment will be useful for the entire organization. The investments shall be related to the main agricultural activities of the members of the producers’ organization.

Eligible activities: Under the measures supported are candidates whose projects lead to improvement of the overall activity of the agricultural holding through: 1. Implementing new products, processes and technologies and improvement of present production tangible and/or intangible assets and/or 2. improving the cooperation with producers and processers of agricultural products and/or 3. preserving the environment, including decreasing the harmful emissions and waste and/or 4. increasing the use of renewable resources and the improvement of the effectiveness of used raw materials in production and/or

5. improving the work conditions, and/or 6. improving the hygienic, veterinary, phytosanitary, ecologic and other production conditions and/or 7. improvement of the quality of produced agricultural products and/or 8. improving the opportunities for production, processing and marketing of biologic agricultural products

Measure123 Adding value to agricultural and forestry products

Eligible applicants: The applicants shall be registered on the territory of MIG DEVNYA – AKSAKOVO. Natural persons and entities, registered under Commercial Act or the Cooperatives Act that are micro, small and medium enterprises, defined according to Recommendation of EU 2003/361/EU, including markets of producers.

Eligible activities: Supported are projects, leading to improvement of the overall activity of the enterprise through: a) implementing new and/or modernization of present powers and improvement of their usage and/or b) implementing new products, processes and technologies, and/or c) decreasing the cost price of the produced production and/or d) achieving compliance with the standards of the Community and/or e) improving the cooperation of producers of resources and/or f) protecting the environment (including decrease of harmful emissions and waste) and/or g) increase of production of use of renewable sources energy and/or h) improving the safety and hygienic conditions of production and labor and/or i) improving the quality and safety of foods and their traceability and/or j) improving the opportunities for production of biologic goods through processing of initial agricultural biologic products and/or k) improving the protection and humane attitude towards animals.

Measure223 Initial afforestation of non-agricultural lands

Eligible applicants: The applicants shall be registered on the territory of MIG DEVNYA – AKSAKOVO. Private owners (natural persons and entities) of non-agricultural lends and their organizations; Municipalities – owners of non-agricultural land and their organizations; State forest holdings, State hunting holdings, national parks and scientific research holdings managing state forests.

Eligible activities: Afforestation including: a. Developing a technological plan for afforestation; b. Preparation of the soil; c. Seeding or planting; d. Activities for directing the natural succession of species; e. Fencing the forested areas.

Measure311 Diversification to non-agricultural activities

Eligible applicants: For supporting may apply sole owners and entities which: 1. are registered under Commercial Act or the Cooperatives Act; 2. are registered as agricultural producers under Ordinance No 3 of 1999 and/or as tobacco producers as per Tobacco and Tobacco products Act; 3. are micro-, small or medium enterprises under art. 3 of the Small and Medium Enterprises Act; 4. have an income of minimum 50% in the previous year of application of agricultural activity, processing of agricultural production and/or services, directly related to agricultural activities, including received public financial assistance directly related to executing these activities and services; 5. are listed at Commercial Register at Registry Agency. 6. have headquarters or a branch with headquarters on the territory of MIG DEVNYA – AKSAKOVO.

Eligible applicants: Financial support is granted for investments for non-agricultural activities. Not granted is financial assistance for investments in the following sectors, sub-sectors, sections, groups or activities: 1. Production and processing or agricultural products, stated in Appendix 1 of the Ordinance to the measure; 2. Production, processing and trade of fish, fish products and aqua cultures; 3. Coal mining; 4. Steel industry; 5. Production of synthetic fibers; 6. Pawning and gambling; 7. Financial services and operations with real estate 8. road freight transport with trucks on behalf of other entities in exchange of remuneration; 9. production and sale of bio fuels of biomass; 10. production and sale of energy of renewable sources (sun light, wind, water, geothermal), with capacity of the installation over one megawatt; 11. production and sale of bioenergy upon trade of raw materials of own agricultural production, capacity of the installation over one megawatt; 12. establishment and/or renewal of the infrastructure of purchasing of equipment for golf, rock climbing and hunting; 13. stated in art. 3, par. 4 of the Ordinance No 18 of 2008 for the conditions and order for granting gratuitous financial aid under measure “Adding value to agricultural and forestry products” as per Program for development of agricultural regions for the period 2007 – 2013 (State Gazette, issue 61 of 2008) in cases when the candidate is a micro-enterprise under the Small and Medium Enterprises Act; 14. breeding animals.

Measure312 Support for establishment and development of micro-enterprises

Eligible applicants: For support may apply individuals, sole owners and entities which: 1. are micro – enterprises under art. 3, par. 3 of the Small and Medium Enterprises Act; 2. have headquarters and registered address for individuals on the territory of MIG DEVNYA – AKSAKOVO. 3. are not registered as agricultural producers under Ordinance No 3 of 1999 for creation and maintaining a register of agricultural producers (State Gazette issue No 10 of 1999) as agricultural producers in the Integrated Administration and Control System (IACS) and/or as producers of tobacco under the Tobacco and Tobacco Products Act and do not execute agricultural activity; 4. are registered as per Commercial Act; Cooperatives Act or the Crafts Act; 5. have headquarters or a branch with registered address on the territory of MIG DEVNYA – AKSAKOVO.

Eligible activities: Supported are investments and related to them services in marketing and management for development of activities in the non-agricultural sectors as: Processing industry – production of furniture, light machinery and others. Production of renewable energy: production of bioenergy for meeting own energy needs of the micro-enterprise; and/or production of bioenergy with the purpose of sale in cases of processing of products (raw materials), which are not in Appendix I of the Contract for Establishment of EC; and/or production of energy for sale of renewable energy sources (solar, wind, water, geothermal energy and others). The capacity of the installations under this measure shall not exceed 1 megawatt. Services – development of activities related with rural tourism of private micro-enterprises, recreation and sports, establishment and development of consultancy and business services, social care and healthcare, transport services etc.

Measure313 Promoting touristic activities

Eligible applicants: Municipality of Devnya, Municipality of Aksakovo and entities with non-economic objective, registered on the territory of MIG Devnya – Aksakovo.

Eligible activities: 1. establishment or restoration of touristic infrastructure, facilities and/or attractions for the visitors: a) attractions for visitors ad places for recreation and entertainment: visitor centers for presentation and exhibition of the local natural and cultural heritage; establishment of small in size attractions outdoors and indoors; small in size arts and crafts centers as well as centers for temporary exhibitions with touristic purposes; b) facilities and places for sports and recreation: touristic and cycling paths; infrastructure and facilities for rafting, pedestrian tourism, mountain tourism and other sports; c) facilities for the public infrastructure – information points, information signs and indicators for touristic places and routs, shelters and safety facilities and others;

2. development and marketing of touristic products: a) development of touristic marketing strategies on local level and informational materials; b) development of electronic systems on local level for reservations in the rural regions. Not provided is financial support for the following activities: 1. Establishment and/or restoration of the infrastructure and purchasing of hunting, rock climbing and golf equipment; 2. Restoration of monument of culture of national and world significance, included in the classification of the National Institute of Culture Monuments (NICM); 3. Establishment or restoration of attractions and facilities for visitors generating income and which are not municipality and/or government property. Not granted is financial aid for projects, including only activities under point 2.

Measure321 Main services for the population and the economics in the rural regions

Eligible applicants: Community centers, registered on the territory of MIG DEVNYA – AKSAKOVO.

Eligible activities: Investments for improvement of energy efficiency of municipal or other buildings used for granting services to the community; Establishment or improvement of centers providing services based on the use of informational and communication technologies (health advise, business assistance, municipal services and others), including creating mobile centers; The following activities will not be supported: Reconstruction/ Rehabilitation of monuments of culture of national/world significance (state to be such by NICM); Infrastructure for broadband Internet access, Investments in state buildings for education and health care;

Measure322 Renewal and development of settlements

Eligible applicants: Municipalities, non-profit entities, community centers; Local religious branches which may apply for renewal and repair work of buildings with religious significance. Applicants shall be registered on the territory of MIG DEVNYA – AKSAKOVO.

Eligible activities: Financial aid is granted for activities, performed only on the territory of the populated places: 1. Rehabilitation of municipal green areas – parks and gardens, children playgrounds and facilities thereof, including supply of facilities; 2. Reconstructions and repair works of municipal buildings with local historical and cultural significance and improvement of respective spaces, including vertical planning; 3. Reconstruction and repair works of buildings with religious significance and improvement of respective spaces, including vertical planning; Financial aid is not granted for reconstruction (rehabilitation), repair works of monuments of culture (NICM).

Table under point 6.1 of the Strategy – indicative distribution of means as per measures and years.