BROADBAND CONNECTION VOUCHER SCHEME GUIDANCE NOTES

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1 BROADBAND CONNECTION VOUCHER SCHEME GUIDANCE NOTES The Broadband Connection Voucher Scheme has been established to assist businesses and third sector organisations to meet the upfront capital costs of installing a high speed broadband connection to their premises. This guidance contains information on who is eligible to apply, the application process and the Terms and Conditions of the Scheme. Should you have any questions regarding this document or the Broadband Connection Voucher Scheme, in general, please do not hesitate to contact the Cardiff Voucher Scheme Team on or CardiffVoucherScheme@cardiff.gov.uk. 1. AM I ELIGIBLE TO APPLY? To be eligible for voucher funding under this Scheme you must fall into the category of an SME as follows: (a) You must be a Small or Medium Sized Enterprise (SME) as defined by the European Commission: You employ between 1 and 249 persons You have an annual turnover not exceeding 50 million OR You have an annual balance sheet total not exceeding 43 million. If you are a start-up or pre-start-up business, you are eligible to apply. Charities, Social Enterprises, Community Interest Companies (CICs), SOHO s and sole traders can also apply as long as they meet the above criteria. For further clarification please contact the Digital Cardiff Team. (b) Your business property must be located within the Cardiff City Region or Swansea Bay City Region.

2 You can check your postcode on our website to make sure that you are in an eligible area. The address must be the registered office or trading address of your business. You can still apply if your main business base is a residential property. (c) If you are a tenant of a business park or a commercial property landlord, you must have the approval of your landlord to proceed with the work. We require confirmation that you have sought permission from your landlord in the application form and retain the right to contact your landlord to check this permission. (d) You must install a connection which is above the minimum service level for the Broadband Connection Voucher Scheme and represents a Step Change to your existing connection. Please refer to section 4 Terms and Conditions point (a) for further information. (e) You have not already received public sector funding to improve the broadband connectivity of your property. (f) You must confirm that you have not received more than 200k (approximately 165k) in public funding for all de minimis aid over a three-year fiscal period. You will have been issued with a letter by any schemes that run under de minimis telling you how much aid you have received. You can find more guidance at: This Regulation applies to aid granted to businesses in all sectors with the exception of the following. Businesses / organisations in these sectors are not eligible to apply to this scheme. Aid granted to businesses active in fishery and aquaculture Aid granted to activity in the primary production of agricultural products Aid granted to businesses active in the processing and marketing of agricultural products (in certain cases) Aid to export-related activities towards third countries or Member States Aid granted to businesses active in the coal sector Aid granted to businesses in difficulty

3 If you are uncertain, please take professional advice to ensure you are eligible or contact the Cardiff Voucher Scheme Team directly. (g) Your business must be financially viable at the time you apply and have no outstanding debts to the Local Authority. Cardiff Council reserves the right to re-check the information provided in the application if the period between approval and claim of voucher funds exceeds 6 months. (h) The voucher is to represent 100% of eligible costs from a minimum of 100 up to a maximum of 3,000. If the eligible costs on the quote exceed the 3,000 maximum, we would still like to receive your application. 2. THE APPLICATION PROCESS (a) Before starting your application, you can check your eligibility by reading the guidance notes and by using the postcode checker to make sure you are in an eligible area. The postcode checker is available at If you are unclear about any aspect of the eligibility criteria please contact the Cardiff Voucher Scheme Team. (contact details can be found at the end of this document). (b) Should you meet the eligibility criteria, you are asked to source one quote from a registered supplier. The quote should be for a Next Generation Access (NGA) or Business Grade (BG) connection. A list of pre registered suppliers is available at Please refer to section 4 Terms and Conditions point (a) for further information. (c) Once you are in receipt of a quotation, you can begin the online application process which can be found at (d) The application asks that you make clear your status as an organisation. You are asked to provide the Company Registration Number, VAT Registration; Charity Registration; or sole trader Unique Tax Reference (UTR) number. Please note that this information is mandatory and failure to provide it will result in a delay your application. (e) If your application is successful you will receive a Broadband Connection Voucher Offer Letter. This will be the formal confirmation of your Voucher and its value. You must enter into a contract with your supplier and place an order within 28 days of the date of the Connection Voucher Offer Letter. Any offer made will be withdrawn and the funding reallocated after the 28 day period, unless you have a genuine reason for the delay. (f) A Connection Voucher Acceptance Form will be included with the Offer Letter. You must sign and return this form once the order has been placed within the aforementioned 28 days of the date of the offer letter. Failure to respond and return the Acceptance Form within this

4 timeframe will result in the Voucher Offer being withdrawn unless there is a genuine reason for the delay. (g) If your application is unsuccessful you will receive a letter of rejection explaining why such a decision has been made (reasons might include issues with quotations or value for money). In all cases, the applicant has the right to challenge any decision with additional information or evidence. If, however, you aren t happy with the feedback you receive there is a complaints procedure in place should you wish to make a formal appeal. 3. AGENT FACILITATED GROUP APPLICATIONS Cardiff Council recognises that there may be situations where landlords/agents wish to provide connectivity to tenants as part of tenancy agreements, which constrains the ability of Small and Medium sized Enterprises (SMEs) to apply for vouchers for individual connections to a premise. This section provides guidance in those situations where SMEs apply to share a connection, facilitated by the landlord/agent. a) The eligibility and process rules for SMEs who wish to obtain a Connection Voucher for use in a collaborative application are the same as for individual applicants. b) The shared connection application process should only be used where the normal application process cannot be applied, for example, where an SME is not able to make an individual application for a Connection Voucher as a result of the letting arrangements already in place for the premises that they occupy. c) Private sector landlords who are themselves eligible SMEs, and can share the connection with the other eligible SMEs, may also apply alongside their tenants. Private sector landlords who are not themselves eligible to benefit from the scheme for instance, where they do not meet the SME eligibility rules may facilitate applications on behalf of a group of their tenants. d) The agent or landlord must enter into an agreement with a single supplier for a single connection which is then shared amongst a group of clearly identified eligible SMEs. Each connection must meet the operating parameters defined for the scheme. e) The cost to be applied to each SME should be clearly identified. Where there is a clear rationale for these amounts to differ between collaborating SMEs in the same connection, this is permissible. f) The new connection must represent a Step Change improvement in the speed/quality of the broadband connection compared to any connection already in place for every SME

5 benefiting from the scheme. The requirements are detailed in Section 4 Terms and Conditions point (a). g) SMEs using a voucher to contribute towards the cost of an improved shared connection must provide a clear statement that it agrees to the use of its voucher for this purpose in the declaration at the end of the application form. h) The landlord/agent/sme facilitating the shared connection must agree to pay all VAT and any additional costs for the connection above the value of the pooled vouchers. i) The main contract length must be for a minimum 12 months as per the guidance for individual applicants. SMEs within a group application however must agree to a minimum of six months use of the new connection. Please note that where easy in easy out letting/hire agreements are in place between landlords and SMEs of less than six months, then SMEs cannot benefit from a voucher. Group Applications Process From a practical perspective, the applicant will follow the same process as set out in this document, and the application and claim will be processed in the same way, subject to the exceptions detailed below: a) It will be the responsibility of the agent/landlord to find an appropriate supplier from the registered list and also to obtain a quotation. The agent must then provide a copy quote to each applicant who must apply individually in line with the application process outlined in Section 2 and the Terms and Conditions set out in Section 4 below. b) The agent/landlord will need to complete the Agent Group Application Form confirming the participating organisations and their share of the total cost. The costs may vary within a Shared Connection application according to commercial and/or performance differences. c) All applicants within the group must make sure to complete the group applicants section of the application form. Before any processing is undertaken, all individual applications and the agent supplement form must be submitted for the shared connection. d) It is preferable that both the applicant and the agent provide a copy of the quote together with their individual application. It will still be acceptable if only the agent provides a copy of the quotation. The quote will be in the name of the landlord / agent.

6 e) If any of the applicants in the shared connection are deemed to be ineligible, either a revised agent form needs to be submitted to re-allocate costs between the remaining applicants, or the landlord/agent needs to confirm that they are prepared to meet the additional costs. f) Offer Letters will be issued to the individual applicants confirming their individual share of the total cost in line with the standard process. g) Each applicant must confirm that the new connection is in place and operational and that its performance matches or exceeds that described in the original application. This confirmation is recorded in the Payment Claim Form. A single Claim Form for the shared connection is not acceptable. We need to be clear that each applicant has been provided with a service that meets the scheme s minimum criteria. h) The agent will receive the invoice and be responsible for paying the VAT and any additional costs to the supplier. Guidance is provided to suppliers on the format that their invoices should take and they will be expected to be in the name of the agent, not the applicant. The Agent should give each applicant a copy of the invoice. i) Each applicant will need to make an individual payment claim in line with the standard payment claim process. 4. TERMS AND CONDITIONS If you are offered a Connection Voucher, the following terms and conditions will apply: My connection: a) You must install a new broadband connection at your property that improves your current level of broadband connectivity reflecting a Step Change in capability usually to over 30 Mbps but taking into account other business requirements such as reliability and upload speeds. Step Change is defined as the following: NGA connections - these must offer a minimum of 30Mbps and if the existing NGA-based broadband service is 30Mbps or greater, the new upgraded service must deliver at least a doubling of speeds. Business Grade connections, these must exhibit both of the following characteristics: Offer a minimum of 20 Mbit/s services and capable of being configured/upgraded to support at least 30 Mbit/s services; and

7 Where a business grade connection already exists the new service must deliver at least a doubling of speeds. If you are transferring from an NGA connection to Business Grade connection then the doubling of speed requirement does not apply. Business grade connections are those that are provided on a dedicated/uncontended basis to customers and are supported with service level guarantees. BDUK recognises that these services can be provided in the form of leased lines (including Ethernet services) or point-to-point microwave links but is not intending to specify particular types of service. For more information on what the technology terms mean, please visit: where you will find a guide to the connections available. b) If your business operates from multiple eligible locations you may use the voucher to support the cost of more than one connection up to the Schemes maximum voucher value ( 3,000). Only one voucher can be awarded per business. This should be your registered office and/or trading address (es). Multiple applications from the same business will be rejected. c) You cannot use the voucher to pay early termination charges if you switch from another supplier. The Voucher is for upfront capital costs only. d) You must select an internet service provider (ISP) from the pre-qualified list of suppliers available on the website ( Should you wish to use a supplier that does not appear on the approved list, it will need to pre-register with the scheme before you can continue with your application. e) The internet service provision contact that you must enter into with your ISP will be for a minimum of twelve months. f) You must provide evidence of the successful installation of your broadband connection in order to claim your voucher. Further information on this can be found in the payment claim section. My application g) You are responsible for providing all the information reasonably requested in the application process and from the wider Connection Voucher Scheme. This includes any additional

8 information that may be necessary for the purposes of processing your application or deciding on your voucher award amount. h) Information submitted on application forms will be shared with other associated organisations and registered suppliers for the purpose of processing the application. You have the right to request this information under data protection laws. (h) You must be willing to assist us with regards to the promotion of the voucher scheme, including providing information for a case study and taking part in any evaluation surveys. (i) All applications must be completed, Connection Vouchers issued, and orders placed with suppliers before 31 st March No Connection Vouchers will be issued after the 28 th February (j) You are responsible for paying the ongoing monthly charge to your supplier. This cannot be claimed under the Connection Voucher Scheme. (k) The Scheme cannot pay for any cancellation charges incurred either for early termination of an existing contract or for charges associated with cancellation of a supplier quote that you choose not to accept. (l) All payment claims must be made by 30 th September 2016 or within 6 months of the formal closure of the Scheme. We cannot pay claims submitted after this date. You should satisfy yourself that the supplier you choose can provide you with an invoice for the works completed before this date. Payment of my voucher (m) Payment for vouchers will be made directly to your ISP, not to your business/organisation. In order to claim the voucher, you will agree to send us a completed Voucher Claim Form and a copy of the invoice provided by the ISP. We will make payment to the ISP for up to the maximum voucher value, net of VAT. (n) You will need to pay your ISP directly for any VAT charged before making your claim. The claim form specifically asks for costs excluding VAT and we expect the invoice to be itemised. (o) The value of your individual voucher will be confirmed in the Connection Voucher Offer Letter, which you will receive if your application is successful. You can claim the actual cost of the connection or the voucher value, whichever is the lower, provided the cost is above 100. If the connection costs less than the voucher, you can only claim the actual cost. If the cost falls below

9 100 you will not be eligible for payment. If the connection costs more than the voucher, you will be responsible for paying the difference to the ISP. The Broadband Connection Voucher scheme is not liable for any payment in excess of the voucher amount. (p) Vouchers are for one-off connection and set-up costs only. These costs must be reasonable and in line with current market estimates, as evidenced by the quotation requested in the Application. Connection costs may include installation fees; external infrastructure equipment; excess construction charges, engineering works; in building wiring for multi-sme premises and set-up and survey costs. Your ISP should detail how the costs have been calculated. (q) Computer and ICT equipment cannot be claimed for under this scheme, and you are responsible for paying the on-going monthly contract charges to your ISP. We can only reimburse expenditure deemed capital in accordance with Public Sector Accounting Regulations. (r) You should not enter into any contracts, commitments or expenditure prior to receiving a Broadband Connection Voucher Offer Letter confirming the value of your voucher. Any expenditure you make before the date of your Offer Letter cannot be claimed back. General conditions (s) The Connection Vouchers scheme is not liable in any way for lost or damaged applications, user errors or unauthorised use of the webpage and application materials. (t) The Connection Vouchers Scheme is not liable in any way for incomplete, false or misleading information given by applicants. Where incomplete, false or misleading information is given, the Connection Vouchers Scheme reserves the right to either decline the application or reclaim the voucher in full. (u) The Connection Vouchers Scheme reserves the right to discontinue or otherwise vary the terms of the scheme in any way without further notice. Current terms and conditions are available on the website or on request at any time. (v) There are a limited number of vouchers available at any time. The Connection Vouchers Scheme reserves the right to end the scheme when funds run out. Otherwise the scheme will end on 31 st March 2016 as projected, or when advised by the UK government. (w) Cardiff Council, and any other bodies specified in the overarching grant agreement with DCMS, retains the right to audit any of the works carried out as a direct result of this support scheme. Applicants should also be aware that the European Court of Auditors may audit any body or person managing or receiving Community funds. In particular, it

10 audits the Community institutions and bodies, the national, regional and local authorities and the final recipients of Community aid. (x) The Connection Vouchers Scheme does not endorse any particular supplier or product and you should undertake all normal checks to satisfy yourself of the standing of the supplier and suitability of the product before placing an order directly with the supplier of your choice. (y) The Connection Vouchers Scheme accepts no liability for any connection work undertaken. It is the responsibility of the supplier to ensure that the connection is installed correctly and without loss or damage. You should assure yourself that the connection has been correctly installed before making your claim. If you require further assistance please contact the Cardiff Voucher Scheme Team on or

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