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/ Municipal compensation scheme to local businesses - Part III

On 25 June 2021, Kristiansand municipality has been awarded new funds 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 Industry's subsidy under chapter. 553 item 68, Municipal compensation scheme for local businesses.  

Kristiansand municipality is directing parts of this allocation, up to NOK 10 million, to hospitality venues that have a municipal liquor license and are registered with special business codes. Many of the eligible businesses have received the application form directly in their digital mailbox (person with signature rights for the company). If you have not received the application for signing in the digital mailbox by June 30, 2021, you can use the application form at the bottom of the page.   

A new funding scheme for the remaining funds will be prepared and announced in the fall of 2021.  

ELIGIBILITY CRITERIA 

a) The enterprise or the enterprise's registered sub-unit with its own organization number, has catering premises with a business address in Kristiansand municipality. 

b) The business has a liquor license in Kristiansand municipality for the current city council period that is valid at the time of application. 

c) The business is registered with one of the following industry codes:  

  • 56.101 Operation of restaurants and cafes  
  • 56.102 Operation of fast food outlets  
  • 56.301 Operation of pubs  
  • 56.309 Other operation of bars  
  • 56.210 Catering activities 

d) The establishment operates all year round. The establishment is staffed and open for serving the public throughout the year. 

e) The business is registered with a date of incorporation before 01.03.2021.

f) The enterprise must be privately owned and must be engaged in commercial activities. That is, having profit as its purpose and/or prerequisite.

g) The establishment has introduced measures to promote sustainability, such as measures to reduce food waste, offering vegetarian meals, measures to reduce the use of single-use plastics. 

h) The business follows generally applicable collective agreements for accommodation, hospitality and catering. Read more here: https://www.arbeidstilsynet.no/arbeidsforhold/lonn/minstelonn/.  

i) The enterprise has had a loss of turnover compared to a normal year and/or additional costs exceeding NOK 100,000 in the period from March 1, 2020 up to and including June 25, 2021, as a result of local or national restrictions due to Covid-19. If the enterprise has previously received support from municipal or state support schemes in connection with Covid-19, the loss must exceed NOK 100,000 in the aforementioned period after such support received has been included.  

j) The undertaking undertakes not to distribute dividends for 2021 and/or based on the financial year 2021. Furthermore, no capital from the undertaking may be used to repay shareholder loans or to write down share capital in the period 2021 - 2022. 

De minimis aid
Aid under this scheme is paid as de minimis aid. The company understands that any aid is paid as de minimis aid and follows the rules for this. This means, among other things, that the company or group as a whole may not receive de minimis aid exceeding EUR 200 000 in 2019, 2020 and 2021, including the aid applied for here. More information can be found here: https://www.regjeringen.no/no/tema/naringsliv/konkurransepolitikk/regler-om-offentlig-stotte-listeside/bagatellmessig-stotte/id2412660/

Amount of the grant
Estimated sizes of grants:  

  • 1-5 FTEs: € 100 000  
  • 6-10 FTEs: € 140 000  
  • 11 or more FTEs: €175 000 

The amounts may be waived in the final award. 

Payment of grants
The grant funds are paid as soon as the applications have been reviewed after the application deadline, applications have been checked and the applicant has been found eligible and allocation updated. Letters of acceptance must be signed before payment is made. 

Requirements for the application
The responsible applicant must be a person who has the legal role to commit the applicant/company. Business Region Kristiansand is free to request other information and documentation that is considered relevant in the assessment of the application.   

Delivery of the application with a deadline of July 6, 1200
The application form can be found at the bottom of this page. The aid scheme is called "Municipal Compensation Scheme Part III". Complete the application in line with the description and submit: 

Or

Procedures
All applications are assessed according to the criteria for grants. Applications will be processed by the business department in Kristiansand municipality (Business Region Kristiansand).  

Requirements for the beneficiary of the grant
The applicant must accept the offer and conditions by signing and submitting the acceptance form provided with the commitment. Acceptance must be given within one month of commitment.  

Application deadline and announcement
The deadline for applications is July 6, 2021, 12:00.
The grant scheme is announced on the website of Business Region Kristiansand, www.brkrs.no and is marketed through social media. In addition, information is sent out by e-mail to everyone who has a municipal liquor license in Kristiansand. If you have signed the announcement sent digitally, you do not need to submit a separate application.   

Appeals
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.   

At the request of the municipality, the company must provide all information and documentation necessary to investigate whether the conditions for support have been met, even after the support has been paid. 

APPLICATION FORM

Download the application form: application form_2.docx

Send to post@kristiansand.kommune.no Mark the email with: Application for support scheme for licensed premises (2021025792)

For secure application submission use e-dialogue, you can find it here