Actual costs
This is an old version of the page
This is an old version of the page
Date published: 4 August, 2015
Date superseded: 11 January, 2016
Introduction
Actual costs are only available for two Forestry Grant Scheme options:
- Woodland Improvement Grant – Habitats and Species
Actual costs are only available on Sites of Special Scientific Interest or Natura sites that are confirmed as being on our priority list of woodland designated sites - Harvesting and processing
Actual costs are only available for investments in new, specialised equipment that will increase local, small-scale harvesting and processing capacity
If you require or wish to use actual costs, you must submit written competitive quotations for the actual cost items included in your application to demonstrate that they are reasonable.
You must submit a minimum of three written quotations.
Only in exceptional circumstances is one quotation acceptable and it must meet the criteria set out below.
Actual costs quotations table
You must also complete a Forestry Grant Scheme actual costs quotations table for all applications with actual cost items, summarising the quotes information. Applications with actual cost items not supported by this form will not be progressed past the assessment stage.
We have created a template quotations table (with example) for the two options. Please use the appropriate template to record the quotations you have sourced.
How we assess the quotes
During our assessment of the application, we will check that the quotes are clear and accurately reflect what is being proposed. We will also consider whether the proposed costs are reasonable.
We will be looking for the following basic elements in all quotes supplied:
- quotes are addressed to you, the applicant
- quotes are in written / printed form and clearly originated from a reputable supplier who can deliver the items or work
- the supplier's contact / business details are clear and legitimate – on business headed notepaper
- the quote is based on the same specifications as described in the application
- there are no missing elements
- there are no ineligible elements
- cost calculations are up to date, correct and precise
- for larger projects, the quote must include a schedule which must provide a breakdown of costs for each of the main stages of the work
- suppliers should confirm for how long the quote is valid
- whether the price includes the appropriate VAT rate
Value Added Tax
Details of any VAT to be paid should be shown against the relevant items. This is to determine the correct level of grant award.
If you are VAT registered, you should include the lowest cost in your application net of VAT.
If you are not VAT registered and have confirmed this during the customer registration process, you may claim the full cost including VAT.
Quotes that are deficient
We will advise you if the quotes that you have supplied are insufficient in any way.
It is your responsibility to remedy any deficiencies and supply us with the required documentation. If you fail to do this we cannot consider the relevant costs as part of the application and, in exceptional circumstances, you may risk rejection of the whole application at this stage.
Forestry Grant Scheme contract
If the application is approved, only the items shown in the quotations table will be included in the contract. It is therefore essential that you include all costs related to the project in your application.
Any costs not included in the total estimated costs on your application will not be eligible for grant. The amount we pay will not exceed the maximum amount / total cost per 'item' shown on the contract / schedule of work.
Funding will be based on the lowest quote received, excluding any quotes that are insufficient. You can choose to proceed with a more expensive company if you wish, but you must be willing to fund the difference yourself.
Exceptions – acceptance of one quote
Subject to our approval, one quote may be admissible when:
1. The specifications are so specialised that only limited suppliers are available and it would be unreasonable or impracticable to find a second or third quote. For example, when the supplier is a contractor required to carry-out works in a remote area where only one qualified contractor is available and the scale of works would not attract contractors from further away.
We will check value for money against standard rates for similar activities elsewhere, whilst taking into account the remote location.
2. The individual item value is below £1,000 and you can justify why you have little alternative but to source individual items from a single, reputable supplier. You must demonstrate why the work cannot be more easily tendered in larger parts and two or three quotes obtained.