What is the Murray-Darling Basin Regional Economic Diversification Program?
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- Alaina Kelly Bradford
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1 Regional Business Investment Fund What is the Program? The Program (MDBREDP) provides approximately $100 million under the Murray-Darling Basin Plan to assist Basin communities increase economic diversification and adjust to a water constrained environment. The MDBREDP was announced in November 2012 as a competitive grants program and the Basin States of New South Wales (NSW), Victoria, Queensland and South Australia signed the National Partnership Agreement to implement water reforms in February The objectives of the MDBREDP are to: deliver economic development projects and diversification initiatives that broaden and support the economic base of regional communities likely to be affected by the implementation of the Murray-Darling Basin Plan; encourage sustainable regional economic development, promote economic diversification, and increase the economic output of local and regional economies; and involve where possible, the development of sustainable partnerships across state and local governments, the private sector and the not-for-profit community to support a shared vision and joint investment in regional communities. In March 2014, the Commonwealth confirmed the NSW allocation of $32.5 million for the establishment of the Program. In the first round of the Program, 22 projects within NSW received $18.4 million worth of funding. A second round of funding was announced on Wednesday 11 November Two streams of funding will be available to eligible applicants for projects in the Murray-Darling Basin (within NSW) through the Energise Enterprise Fund ($4.1 million) and the Regional Business Investment Fund ($10 million). What is the objective of the funding? The NSW Government has been allocated $32.5 million out of a total $100 million in Commonwealth funding to provide assistance to economic development projects that support the economic base of regional communities likely to be affected by the implementation of the Murray-Darling Basin Plan. What is the difference between the Energise Enterprise Fund and the Regional Business Investment Fund? The Energise Enterprise Fund will provide grants to NSW local councils and not-for-profit organisations for the delivery of economic development and diversification projects which will help support local communities within the Murray-Darling Basin. Types of projects include: small economic development projects which support small businesses skills capability building projects economic development studies with clearly actionable and supported outcomes. 1
2 The Regional Business Investment Fund will provide grants to businesses, local government, NSW Government agencies, not-for-profits and other organisations for business investment projects that result in the creation of new jobs. Types of projects include: business expansion business establishment infrastructure projects. What is the Regional Business Investment Fund? The Regional Business Investment Fund is available to eligible businesses and organisations undertaking projects in the NSW portion of the Murray-Darling Basin. Projects must help diversify the economic base of Murray-Darling Basin communities and create new jobs. How much funding is available under the Regional Business Investment Fund? A total of $10 million is available under the Regional Business Investment Fund. Who can apply for funding? Businesses, local government, NSW government agencies and other organisations, including not-forprofit, who are undertaking projects within the NSW portion of the Murray-Darling Basin. Why is the funding only available for projects in the Murray-Darling Basin? The implementation of the Murray-Darling Basin Plan may impact communities within the Murray- Darling Basin and the funding is aimed at supporting these communities adjust to the changes that arise from the plan. What Local Government Areas are included in the NSW portion of the Murray-Darling Basin? The following Local Government Areas (LGAs) are all located in the Murray-Darling Basin, however, some LGAs are only partially located in the Murray-Darling Basin. If you are unsure whether your project is located within the Murray-Darling Basin, it is recommended that prior to submitting an application, that you murraydarling.fund@industry.nsw.gov.au providing the full street address of the project. You will be notified by whether your project is in an eligible location. 2
3 NSW Local Government Areas located within the Murray-Darling Basin Albury City Council Gilgandra Shire Council Oberon Council Armidale Dumaresq Council Glen Innes Severn Council Orange City Council Balranald Shire Council Goulburn Mulwaree Council Palerang Council Bathurst Regional Council Greater Hume Shire Council Parkes Shire Council Berrigan Shire Council Griffith City Council Queanbeyan City Council Bland Shire Council Gundagai Shire Council Snowy River Shire Council Blayney Shire Council Gunnedah Shire Council Tamworth Regional Council Bogan Shire Council Guyra Shire Council Temora Shire Council Boorowa Council Gwydir Shire Council Tenterfield Shire Council Bourke Shire Council Harden Shire Council Tumbarumba Shire Council Brewarrina Shire Council Hay Shire Council Tumut Shire Council Broken Hill City Council Inverell Shire Council Upper Lachlan Shire Council Cabonne Council Jerilderie Shire Council Uralla Shire Council Carrathool Shire Council Junee Shire Council Urana Shire Council Central Darling Shire Council Lachlan Shire Council Wagga Wagga City Council Cobar Shire Council Leeton Shire Council The Council of the Shire of Wakool Conargo Shire Council City of Lithgow Council Walcha Council Coolamon Shire Council Liverpool Plains Shire Council Walgett Shire Council Cooma-Monaro Shire Council Lockhart Shire Council Warren Shire Council Coonamble Shire Council Mid-Western Regional Council Warrumbungle Shire Council Cootamundra Shire Council Moree Plains Shire Council Weddin Shire Council Corowa Shire Council Murray Shire Council Wellington Council Cowra Shire Council Murrumbidgee Shire Council Wentworth Shire Council Deniliquin Council Narrabri Shire Council Yass Valley Shire Council Dubbo City Council Narrandera Shire Council Young Shire Council Forbes Shire Council Narromine Shire Council 3
4 What is meant by a partial Local Government Area? The boundary of the Murray-Darling Basin intersects through some LGAs, meaning in some instances only part of the LGA is within the Basin. You can check the map outlining the MDB boundaries by clicking here. Can I apply for funding if my project is located outside of NSW? No. Only projects located in the NSW portion of the Murray-Darling Basin are eligible to apply. How much funding can I apply for? There is no limit to the funding amount you can request, however this is a competitive funding round and applications will be assessed and ranked on merit. In some cases, amounts requested may be reduced based on the available funding. Preference will also be given to applicants contributing a minimum of 50 per cent of eligible costs towards the project. What do you classify as eligible project costs? Project costs eligible for funding under the Regional Business Investment Fund include: building/facility construction costs the purchase and/or upgrade of plant and equipment (including associated freight & commissioning costs) infrastructure and connections to infrastructure re-location costs factory/office fit-out. What types of project costs are ineligible for funding? Project costs that are ineligible for funding include: existing land/buildings (even if purchased for the project) rental of premises staff wages and salaries costs associated with Development Applications and Environmental Impact Assessments feasibility studies/business plans working capital administration costs general day to day operating expenses website upgrade/development. 4
5 If my project has already commenced, can I apply? No. Projects that commence prior to a letter of offer being accepted, are considered to be retrospective and are not eligible for funding. What documentation will I need to supply if I submit an application? Required documentation includes the previous two years of financial statements, cash flow budgets for the first two years of the project, and where available copies of business plans, feasibility studies, quotes for project expenditure, and letters confirming cash contributions from other organisations. Further detailed financial information will be required for projects seeking significant financial assistance. Why do I have to provide my financial statements? The NSW Government needs to be confident that your organisation is financially viable and in a position to fund and successfully complete the project and continue to operate on a long term, sustainable basis. Will you accept a handwritten application? No. All applications must be submitted online through the NSW Department of Industry website. Only applications submitted online through the NSW Department of Industry website will be accepted. If you are experiencing problems accessing the internet, please contact murraydarling.fund@industry.nsw.gov.au or your nearest Department of Industry (Regional Development) office for assistance. Do I need to have an Australian Business Number (ABN)? Yes. Organisations without an ABN, and individuals and sole traders are ineligible to apply. Do I have to contribute funding to the project? Yes. Preference will be given to applicant organisations that are contributing at least 50 per cent of eligible costs toward the project. Does my organisation need to be a certain size or have a certain turnover level to apply? No. Your organisation does not need to be a certain size in terms of turnover or employees to apply. Your organisation must be financially viable and be able to fund and successfully complete the project and meet projected new growth targets. My organisation was awarded funding under the Round 1 of the Murray-Darling Basin Regional Economic Diversification Program. Can I apply for funding in Round 2? Yes. You can apply for funding in Round 2 if your first project has been completed, and all project milestones have been achieved and payment claims finalised. 5
6 Can I apply if I have received Government assistance previously? Yes. Any previous Government funding will be taken into consideration when assessing applications. Can I lodge applications for both of the Regional Business Investment Fund and the Energise Enterprise Fund? Yes, eligible applicants may apply for funding under both Funds. Where an applicant is seeking funding from both the Energise Enterprise Fund and the Regional Business Investment Fund, a separate application form must be completed and submitted for each Fund. If my project creates new jobs across the region, and not within my organisation, am I eligible to apply for funding? No. New jobs being created as a result of the project must be directly created within the applicant organisation. Do I need to talk to a NSW Department of Industry staff member prior to lodging my application? No, but it is recommended that you discuss your project with a NSW Department of Industry representative before submitting your application. What if I have attached the wrong document in error when submitting my online application? Once you have submitted your application, you may correct matters of fact up to 2.00pm (AEDT Sydney time) on 1 March Please murraydarling.fund@industry.nsw.gov.au and include the application number in the Subject, and details of the error to be corrected. You will receive advice from the Department on next steps if your request is agreed to. What happens to my application once it is submitted? Following the close of applications on 1 March 2016, all applications in the Regional Business Investment Fund will undergo a cost benefit analysis to determine the economic benefits of the projects. Applications will be assessed and ranked against the eligibility and assessment criteria as set out in the Funding Guidelines. An applicant does not have an automatic right to assistance under the Regional Business Investment Fund. What happens if my application is successful? Successful applicants will be advised in writing and given three weeks to review and accept the Department s letter of offer. The offer will be subject to the execution of a Funding Deed containing performance based payment milestones. 6
7 What happens if my application is unsuccessful? Unsuccessful applicants will be notified in writing following completion of the assessment process. When will I hear if my application is successful? Following the close of applications on 1 March 2016, all applications will undergo an assessment process including a cost benefit analysis prior to funding recommendations being made. Applicants will be notified of the outcome in writing at the earliest opportunity. How long do successful applicants have to complete their projects? All projects must be completed and all funding claimed by 30 June Where can I find more information? Funding Guidelines are available on the NSW Department of Industry website. To provide further assistance, the Office of the NSW Small Business Commissioner and the NSW Department of Industry will facilitate four information workshops to provide information on the Regional Business Investment Fund and the Energise Enterprise Fund. These workshops will provide an additional opportunity for applicants to seek further information about the funding streams. The workshops will also provide expert tips and advice on grant writing to help eligible parties with the application process. Thursday 3 December - Murray-Darling workshop (Griffith) Friday 4 December - Murray-Darling Workshop (Deniliquin) Thursday 10 December - Murray-Darling Workshop (Moree) Friday 11 December - Murray-Darling Workshop (Warren) Applicants will also be able to access a recording from one of the information workshops. This will be available to view on the NSW Department of Industry website. For further inquiries on the Regional Business Investment Fund please murraydarling.fund@industry.nsw.gov.au or call your nearest Department of Industry (Regional Development) office: Albury Dubbo Orange Tamworth Wagga Wagga Tips for applicants using the online application form are also available on the NSW Department of Industry website. 7
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