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/ Municipal compensation scheme to local businesses Part III

Municipal compensation scheme for local enterprises - Part III, 2nd call for proposals.

On 25 June 2021, Kristiansand municipality was awarded NOK 18.48 million from the Ministry of Local Government and Modernization (KMD). The funds will be used as a compensation scheme for local businesses that are particularly hard hit by local or national infection control measures. This support scheme is the third part of the Ministry of Local Government and Modernization's grant under chapter. 553 item 68, Municipal compensation scheme for local businesses.

In June, NOK 7.298 million of the allocation was given in grants to hospitality venues with a municipal liquor license in Kristiansand. The rest of these and other national funds, about NOK 12 million, are now being advertised with an application deadline of September 23 at 23:59.

Applicants must state the total estimated losses for the period March 1, 2020 through June 30, 2021, additional costs due to Covid-19, and the amount of public funding received.

The support in this scheme can be up to a maximum of NOK 400,000. 400,000 and may not exceed the enterprise's losses and additional costs minus the public corona support received. Aid is paid as de minimis aid or through the nationally notified scheme under the Covid-19 framework, chapter 553 item 68.

There are five eligible categories:

  1. Serving without a liquor license
  2. Where to stay
  3. Fitness center
  4. Experience, event and congress
  5. Those who have fallen outside national and local support schemes

Application forms and sets of criteria for the different categories can be found at the bottom of this page. 

What cannot be subsidized 

  • Measures that fall outside the conditions set out in the call for proposals.

  • Enterprises that are municipally or publicly owned and/or financed. 

  • Loss of turnover or additional expenditure below €50,000. 

  • There is no support for lost inventory (it is part of the state compensation scheme).

Requirements for applicants

The responsible applicant must be a person who can legally commit the business. Business Region Kristiansand is free to request other information and documentation that is considered relevant in the assessment of the application.  

Amount of the grant

The amount of the grants will not be known until the deadline for applications has expired and calculations have been made. The amount of the grant will depend on the number of approved applications in each category and may differ between the 5 categories. Grant amounts cannot be higher than losses/additional costs minus already received public corona support. 

A ceiling of up to kr. 400,000 as the maximum amount of support.  

Aid amounts are adjusted according to the number of FTEs in the enterprise. A threefold division is applied based on FTEs, 1-5 FTEs, 6-10 and more than 10 FTEs.  

Payment of grants

The grant funds are paid as soon as possible after the application deadline, once the applications have been reviewed, the applicant has been verified as eligible and the applicant has signed the necessary documents sent by the municipality. The aid is awarded through the nationally notified scheme under the Covid-19 framework, Chapter 553 item 68 or as de minimis aid.
More information on de minimis aid can be found here.
More information on the notified scheme can be found here.

Delivery of the application

A link to the application form can be found at the bottom of this page and on Kristiansand municipality's website. The aid scheme is called "Kommunal kompensasjonsordning del III". To complete the application, you must log in to ID-porten with your bank ID. Fill in the application in line with the description. The responsible applicant must be a person who can legally commit the business. 

Kristiansand municipality practices digital first choice, all further communication will take place digitally. If the contact person/applicant has reserved against digital communication with the public sector, this will delay the process. In the application process, you can change the choice of reservation against digital communication with the public sector, and update the information under "About the applicant". 

Case management 

All applications are assessed according to the criteria for grants. Applications will be processed by Business Region Kristiansand, the business department in Kristiansand municipality after the application deadline. 

Requirements for grant recipients

  • Terms and conditions will be set out in the award letter. 
  • The applicant must accept the terms and conditions of the commitment letter and sign the acceptance letter. Acceptance must be given within 7 days of commitment. 
  • The scheme is trust-based, but the municipality or other relevant actors may at any time request audited documentation for all the assumptions made in the application. 

Application deadline and announcement

The application deadline is 23.09.2021, 23.59.
The grant scheme is announced on businessregionkristiansand.no, and promoted through the municipality's social channels. 

Complaint

The municipality's decision on a grant may be appealed by a party or other person with a legal interest in the case to the municipality's internal appeals board, cf. section 28, second paragraph, of the Public Administration Act. The deadline for appeal is 3 (three) weeks from notification of the decision. The complaint must be sent topost@kristiansand.kommune.no.The appeal must refer to the decision being appealed against and the change(s) requested. The appeal should be substantiated and other information relevant to the case should be mentioned. Any questions regarding the appeal can be directed to the case officer. 

With certain exceptions, the parties are entitled to see the documents in the case, cf. Sections 18 and 19 of the Public Administration Act.  

Questions about the scheme can be directed to Business Region Kristiansand: 

  • Ole Jacob Rynning-Tønnesen, tel. 988 49 400 
  • Tina Abrahamsen, tel. 909 54 304 
  • Rune Klausen, tel. 900 61 880 
  • Stein Otto G. Daatland, tel. 997 11 819  
  • Kristian Råmunddal; tel. 476 10 163 

Select category to see specific criteria and application form