At this time of year before a hectic spring, it can be a good time to start thinking about that building project you have had in your head but never got around to doing.

Farm building projects can be a stressful process. The skills required to organise a new building are far-ranging and it can be challenging. You need to be able to fulfil many roles such as building manager, quantity surveyor, quality control and financial controller, all while managing your farming enterprise.

Some farmers will employ a contractor to take on these responsibilities and this can be a significant weight off your mind and reduce stress levels.

In this article, we have outlined the fundamental boxes that need to be ticked for most farm building projects. No two buildings are the same but the process of getting them built is fairly similar.

1 What do you really need?

The very first thing every farmer needs to get right in their mind before taking on a building project is what the farm really needs rather than what you might want. Sometimes, because there is a grant available, we decide to rush in and build a new shed. Or it may be a case of looking over the fence at the neighbour’s shiny new parlour and feeling you need to “keep up with the Joneses”. Where funds are limited, a building project should not be taken on at a whim.

A new farm building investment should only really be considered in cases where it will:

  • Make the farm safer.
  • Improve human and animal wellbeing, especially if current facilities are inadequate and substandard.
  • Allow the farm to comply with Department of Agriculture regulations.
  • Enable enterprise expansion plans that are well thought out and budgeted for.
  • Farmers who are depending on borrowed money to make these building investments really need to be sure it is worth it.

    Once you are sure the new building is needed, you can set the wheels in motion to carry out the building project.

    2 Talk to an adviser/planner

    After you can fully justify the need for the building, it is a good idea to call in the experts. Your farm adviser or an agricultural architect will help you to develop your idea and discuss the options.

    Sometimes we can get too caught up with our own plans and ideas. We can get caught in tunnel vision and someone else stepping in may point out something we might not have considered.

    People from outside your farm can offer an alternative viewpoint and sometimes improve your original plans. This can be frustrating in ways because you may feel time is being wasted but it is best to make changes at this stage rather than trying to change it afterwards.

    3 Visit other farmyards

    If you can at all, try to visit other farmyards where a similar building was erected to the one in your plans. In all likelihood, you will pick up something in another yard that you can bring back to your own farm. Make sure to talk to the farmer there and discuss the building work, taking on board any advice they might be offering.

    4 Finalise your plans

    When you have made a fully informed decision on the design of building, you should get it drawn up properly. Detailed drawings are essential for most farm buildings and it is worth going to the expense of getting them done. With drawings and measurements you can mark out what the building’s footprint will look like on the site. Drawings also allow you to estimate the cost with builders or use the Department of Agriculture reference costs.

    5 Affordability

    Before committing to the building work, you should double-check that you can afford the investment. Is there enough spare cash to cover all the costs involved? Remember, you have to pay all the costs including VAT even if you are entitled to get the VAT back. You may have to seek finance from a bank to cover the costs and a contingency fund. Talk to your accountant or financial adviser to discuss the options for financing a new farm building.

    It is essential that you have loan approval from the bank before you start the building work. The Targeted Agricultural Modernisation Scheme (TAMS) II offers grant aid for most farm building developments. It can take the sting off the overall cost. We are entering the final year of the scheme so it is well worth looking into if you are planning on doing building work this year. TAMS II is explained in more detail below.

    6 Planning permission

    Planning permission or a declaration of exemption is required for most building projects depending on the size and type. Your farm adviser is best placed to guide you on this. For TAMS II, where planning is required, evidence of full planning permission, revised planning, where required, or declaration of exemption for the proposed works must accompany the application. Regardless of the extent of the proposed developments, the maximum planning fee is €300.

    Fees for the retention of unauthorised structures are three times the normal rate, subject to a maximum of €900. Architect and engineer fees are not included here and can be substantial.

    Development contributions may also be payable depending on the scale of the development and exemption limits that apply in your county. The scale of contributions, conditions and limits can vary from county to county.

    7 TAMS II

    The scheme was launched in 2015 and is due to close for applications towards the end of 2020. It offers grant aid for a multitude of on-farm infrastructure and farm safety investments. If you qualify as a young farmer, grant rate is 60%. To qualify, you must be between 18 and 40 on the date of setup, have been set up for the first time within five years of application and complete education within three years of approval (otherwise grant rate will be 40%). The full terms and conditions of the scheme are available on the Department of Agriculture’s website. To avail of TAMS II grant aid, you must apply to the scheme first to get approval to go ahead with the work. Once approved, you then must carry out the investment and pay for it. You can then submit a payment claim to receive grant aid. It is a lengthy, time-consuming process but the grant rates are attractive, especially for young farmers.

    8 Agree a price

    When you are waiting for planning permission to be approved, take the time to compare costs with builders. Make sure you are using reputable tradesmen and ask to talk to their customers to find out what their experience was like. Always avoid cowboys and as the old saying goes, “if something is too good to be true, it generally is”.

    Farmers should always ask a builder for their tax clearance number and double-check that it is legit. This is very important if you are building a shed with the aid of TAMS II. Before committing to a builder, have an agreement on price and write it down with both your signature and the builder’s signature on the document. The various elements of the build should be broken down in this document, eg tank, walls and cubicles, so you know what you are getting. This will help to avoid any confusion and even confrontation in the future.

    9 Monitor the work

    Keep an eye on the building work once it starts. Farmers who are not au fait with building standards sometimes ask an engineer or even a friend with some expertise to monitor progress to ensure standards are being met. If you are building through TAMS II, make sure your builder is aware of the specifications that are required in the scheme.

    10 Finishing up

    Finishing touches are important and you should always make sure the work you agreed to get done is fully complete before you make the final payment to your builder. For TAMS II, you will need to collect all the receipts marked paid before you can make a grant payment application.