TOURISM DEVELOPMENT FUND - THE APPROVED SCHEME
TOURISM DEVELOPMENT FUND
The SCHEME
Approved by the Minister for Economic Development
September 2012
1. Introduction
The Tourism Development Fund (TDF) was approved by the States in 2001 and replaced the Tourism Investment Fund. When it was established, the Fund was available to public and voluntary sector organisations. In July 2012 the States approved a proposition to allow private sector organisations to apply to the Fund. This updated scheme documentation takes this into account and revises the guidelines in line with wider developments in the Island and Tourism Strategy.
2. Aims and objectives
The aim of the Fund is to stimulate investment in the tourism product and tourism infrastructure in order to improve Jersey’s competiveness and to sustain a flourishing tourism industry as a valuable contributor to the economy and the social fabric of the Island.
Specific objectives are to:
- Increase visitor numbers coming to Jersey;
- Invest in projects which generate sustainable outcomes;
- Leverage additional funding in the tourism sector
- Contribute to the implementation of the overall strategy for Tourism in Jersey
3. Eligibility
- Private and voluntary sector organisations are eligible to apply.
- Public sector organisations are eligible to apply in exceptional circumstances in instances where there is a clear rationale as to why departmental budgets cannot be used.
- Projects must demonstrate that the grant request is for exceptional spend over and above ‘business as usual’ expenditure.
- Projects must demonstrate benefits to the broader tourism industry rather than one individual organisation
4. Terms of Reference
- That funding must meet with the objectives of the tourism strategy.
- That funding will only be agreed when compliance with the objectives of the Island’s overall strategy as agreed by the States.
- That funding projects in excess of £100,000 will be referred to the Economic Development Minister and funding projects on excess of £500,000 will be referred to the Treasury Minister
- That infrastructure projects should be measurable and reported on at regular agreed intervals.
- That the development fund should be used as a method of encouraging the growth of private investment specifically in areas of activity identified in the tourism strategy.
- That the reporting procedure by Economic Development to the Treasury will include copies of the minutes of all Panel meetings and an annual report which will also be presented to the States.
7. Operation of the scheme
The TDF will be open for applications twice a year in Spring and Autumn. The Panel has the right to decide to amend this in exceptional circumstances.
The Economic Development Department will be responsible for administering the scheme and undertaking the initial assessment of the projects. A TDF Panel made up of external appointments will receive each application and make a decision in line with outline procedures or make a recommendation subject to ratification dependent on the size of the grant requested (see funding and control below).
In the majority of cases, applications will be decided upon within 6 weeks of the application deadline. In exceptional circumstances this can be extended.
8. Panel Membership
The Panel comprises of a Chairman and a minimum of six external additional members. Chairman will endeavour to have a balanced Panel in which no sector of the tourism industry is over or under represented; and that the wider business community is also represented.
Members of the panel will be unpaid and give their time on a pro-bono basis.
9. Funding and Control.
It is important to ensure that public money is being spent wisely and that value for money is being achieved. Grant applications are subject to a rigorous project appraisal and assessed against the various criteria outlined in this scheme document. Successful projects will be monitored and evaluated to ensure that conditions are being met and that outcomes are in line with the objectives of the scheme.
Criteria for assessment
Each grant application will be judged on its merits and assessed against a number of criteria.
- To what extent will the project increase visitor numbers over and above those that are coming already?
For example:
- If an event is already going ahead, will the grant applied for mean more people will come as a result, or will it not make a difference?
- Will it help to extend the length of the season?
- Will it enhance the visitors’ experience to encourage a return visit and recommendations to others?
- To what extent will the project bring sustainable returns?
For example:
- Once established, will the project/initiative be self-sustainable without further TDF funding in years to come?
- If funded, will the impact of the project/initiative have a long-lasting effect?
- Does the project have detailed marketing and business plans that set out how the project will attract visitors and generate returns?
- To what extent is the project aligned with the Island’s overall Tourism Strategy?*
For example:
- Will it help develop Jersey into a year round staying-leisure visitor economy?
- Will it increase the value generated from the staying leisure visitor economy?
- Will it increase the number of locals employed in the Tourism sector?
- Will it maximise the investment made into the staying leisure visitor economy?
- What would happen without the TDF funding?
For example:
- Would the project still go ahead?
- Would the project be substantially less successful in attracting visitors?
- Will the project leverage other sources of investment in Tourism?
For example:
- Will the grant be supplemented by other funds (from the organisation / other grant awarding bodies) which will increase the overall level of investment in tourism?
Grants for up to £100,000 can be approved by the TDF Panel; grants of over £100,000 must be approved by the Minister for Economic Development and Grants of over £500,000 have to be referred to the Treasury and Resources Minister.
Method of assessment
The Panel may assess these criteria using different sources of information, for example:
- application documentation,
- business/project plans,
- requests for additional supporting information
- site visits
- presentations
Grant conditions
All grants must be compliant with Financial Direction 5.4.
Grants may be subject to a number of additional conditions depending on the nature of the recipients. Examples may include:
- Specific points at which next stage funding is re-evaluated
- Marketing opportunities relating to the project being available to Jersey Tourism without charge
Monitoring and Aftercare
Once the grant is approved a system for payment, monitoring and aftercare comes into play. This includes:
- Confirmation of grant and details of the staged payment and documentation required to support the claims
- The use of the logo to show the support given by the TDF
- IT based system used for applications becomes a monitoring mechanism with checks and follow ups programmed into the system
- Use of mechanisms e.g. register covenant against sale of property, use of legal profession for claw back cases
- Retain 5% of grant until final report is submitted outlining how the grant achieved their objectives.
10 Right of appeal
Applicants have a right of appeal if they have concerns that the evaluation process has not been undertaken appropriately.
For grant applications of up to £100,000, appeals should be made in writing to the Minister for Economic Development. For grant applications for over £100,000 appeals should be made in writing to the Minister for Treasury and Resources. Appeals must be made within three months of being informed of the decision.
gov.je