Michael Ring (Mayo, Fine Gael)
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Question 335: To ask the Minister for Agriculture and Food if she will address the EU single payment entitlements of farmers who inherited holdings during or since the reference years; if so, the nature of the action being taken, including instances in which, during or after the reference years, the inheritor of a farm switched from dairying to dry stock; if regard is being taken of the fact that the entitlements have not been clarified, although the date for the submission of applications to the national reserve has almost passed; her estimate of the entitlements which will accrue to the farmers in question; the number of farmers involved; if, for the situations in which some may not qualify under the existing single payment regime, she has made or proposes to make an entitlements case based on years subsequent to the current reference period; and if she will make a statement on the matter. [13944/05]

Mary Coughlan (Donegal South West, Fianna Fail)
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Under the EU regulations governing the single payment scheme, farmers, who inherited holdings during or since the reference years from those who had entitlements established for them, may also inherit those entitlements. The farmers concerned should each complete an inheritance form in order to get the entitlements registered in their own names.

The completed form together with supporting legal documentation should be sent to my Department's single payment office at Government Buildings, Portlaoise. To date, the Department has received some 13,919 applications in respect of the inheritance-only and the inheritance and new entrant combined measures and a further 2,341 applications were received in respect of the new entrant-only measure. To date, 13,292 applicants have been notified of the final decision in respect of their applications, while a further 1,1757 applicants have been requested to submit the required legal documentation such as grant of probate, letters of administration etc. to support their applications.

Farmers who sold their milk quota into the milk quota restructuring scheme between 1 January 2000 and 19 October 2003 and who converted their enterprise to a farming sector for which a direct payment under the livestock or arable aid schemes would have been payable in respect of the years 2000 to 2002, may apply to the national reserve under category C for an allocation of entitlements. Application forms have been available for the national reserve since mid- December 2004 and the closing date for receipt of completed applications is 16 May 2005. Farmers who have already applied under the inheritance measure and whose case is under query may apply to the national reserve if they meet the eligibility conditions for the reserve. It is not necessary to know the outcome of the inheritance application before one applies to the national reserve under category C as it will be the extent to which the farmer has converted his enterprise which will be assessed.

The Department is at present processing some 16,500 national reserve applications already received. In view of the number of applications received and the documentation which must be obtained from some farmers, it is not possible at this stage to indicate the number or value of entitlements which will be allocated from the reserve.

EU Council Regulation 1782/2003 introducing the single payment scheme stipulates that entitlements may only be based on the three reference years of 2000, 2001 and 2002. It also allows for the use of 1997, 1998 and 1999 in the case of hardship. The regulation does not provide for using any year subsequent to 2002 in the calculation of the single payment.

I am sure the Deputy will appreciate that the Department has no option but to adhere to the regulations governing the scheme.