Article 5 The eligible expenditure covered by the financial contribution from the Community
United Kingdom
The financial contribution from the Community as referred to in Article 2 shall only be made in respect of justified and reasonable payments for the eligible costs as set out in Annex I.
Non-compliance by the Spanish authorities with the payment deadline referred to in Article 3(a) shall lead to a reduction in the eligible amounts, in accordance with the rules below:
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25 % reduction for payments made between 91 and 105 days after slaughter of the animals,
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50 % reduction for payments made between 106 and 120 days after slaughter of the animals,
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75 % reduction for payments made between 121 and 135 days after slaughter of the animals,
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100 % reduction for payments made later than 136 days after slaughter of the animals.
However, the Commission may apply a different scale and/or lower reduction rates (or a zero reduction rate) if specific management conditions can be demonstrated for certain measures or if Spain provides a well grounded justification for the delay.
The financial contribution from the Community as referred to in Article 2 shall exclude:
value added tax;
remunerations of civil servants or public employees;
the use of public equipment, except consumables;
compensation for non-compulsory slaughter;
compensation paid in addition to other Community support, such as slaughter premiums, in contravention of Community rules;
compensation linked to the destruction or renovation of farm buildings, infrastructure costs and costs linked to financial losses or unemployment associated with the presence of the disease or a ban on restocking.