Tourism Commission - Mega Events Fund - Frequent Asked Questions

Application Procedures

Frequent Asked Questions

I. Basic Information

(a) Eligibility Criteria

Who are eligible to apply for funding support from the Mega Events Fund (the Fund)?

The Fund will be opened to applications from registered local non-profit-making organisations (such as sports organisations, non-governmental organisations, arts associations/arts festivals etc.) that will host mega arts, cultural and sports events in Hong Kong for the period up to 31 March 2012. Applicants must be the organisers of the respective mega events, and will be required to provide documentary evidence on their status as bona fide non-profit-making organisations registered in Hong Kong.

As a one-off special arrangement, the MEF will also accept applications for mega events which will be organised after 31 March 2012 in this round. Since the Government is reviewing the way forward of the MEF, the results of these applications will not be announced before end 2011. For enquiries, please contact the MEF Secretariat (Tel: 2810 2500; Email: mefsecretariat@cedb.gov.hk).

Which types of applications will be considered?

The proposed arts, cultural or sports event must fulfil the following basic criteria:

(i)	raise the profile of Hong Kong internationally, create a branding impact, attract visitors coming to Hong Kong specifically for the event and/or lengthen their stay in Hong Kong and generate media coverage (both local and non-local);
(ii)	be of a considerable scale. The total number of people involved (including participants, spectators and reporters) should be at least 10 000;
(iii)	contain a non-local element and should include participants/spectators from Mainland and overseas; and
(iv)	allow participation by the local public.

What kinds of events does the Fund intend to support?

Mega arts, cultural or sports events to be hosted by registered local non-profit-making organisations in Hong Kong will be considered. The main objective of the Fund is to attract more international events to be staged in Hong Kong, enhance Hong Kong’s competitiveness as a travel destination, attract more visitors and generate economic benefits for Hong Kong, and raise the profile of Hong Kong internationally.

Will the Fund support existing financially "self-sufficient" events?

Existing events which are financially "self-sufficient" will not be considered unless the additional funds sought will be used to organise additional activities to significantly enlarge the scale of the event or significantly raise its international profile. Under such circumstances, the applicants should give supporting evidence and full justifications to the Assessment Committee (AC).

Will the Fund support any proposed events which are in receipt of financial support from other Government funding schemes?

Events for which public funding will normally be earmarked under other Government funding sources/schemes will not be considered unless the additional funds sought will be used to organise additional activities to significantly enlarge the scale of the event or significantly raise its international profile. Under such circumstances, the applicants should give supporting evidence and full justifications to the AC and undertake not to apply for or secure funding support from other government departments for the additional activities. Please note that the Government’s total contribution (including Mega Events Fund support) must not exceed 50% of the total cost of the event.

(b) Details of Application

Q6	Where can the application form and related information be obtained?
A6	The sixth-round application form, Guide to Application and related information can be downloaded from the Tourism Commission’s (TC ) website.

Q7	When will applications be invited?
A7	The sixth-round application for the Fund will commence on 1 August 2011. Details will be announced through press release and TC’s website.

Q8	When is the deadline for submission of applications?
A8	The deadline for the sixth-round application will be 12 noon on 31 August 2011. As a special arrangement, late applications will be considered in this round, but the results of these applications will not be announced before end 2011.

Q9	If we have questions about submitting an application in this round, who should I contact?
A9	For enquiries, you may contact the Secretariat's hotline (2810 2500), or write to the Secretariat by email (mefsecretariat@cedb.gov.hk) or facsimile number 2121 8791. To enable interested organisations to better understand the MEF’s requirements, a briefing session will be held on 16 August 2011 at 5 p.m. at Room 215, 2/F, Main Wing, Central Government Offices, Lower Albert Road, Central, Hong Kong. For registration and reservation of seats, please contact the Secretariat by telephone (2810 2500), email (mefsecretariat@cedb.gov.hk), or fax (2121 8791) on or before 12 August 2011.

Q10	Will joint applications be accepted?
A10	Yes, but all the applicants must be registered local non-profit-making organisations. In such a case, they should state clearly their respective responsibilities in the application form, and one of them should be identified as the principal applicant and be responsible for completing the application.

Q11	What is the maximum number of applications an applicant can submit?
A11	Applicants wishing to apply for the Fund for more than one event should complete a separate application form for each individual event. Each applicant may submit not more than three applications within a 12-month period.

Q12	Can applicants who did not receive support from the Fund in the previous rounds re-submit their applications?
A12	Yes. Applicants who did not receive support from the Fund in the previous rounds can re-submit their applications in this round of application.

Q13	Do late applicants of the fifth-round need to re-submit their applications in this round of application?
A13	No. Late applications or applications with incomplete information previously received in the fifth-round will be processed in the sixth-round of application, together with other new applications received by 31 August 2011.

Q14	Is an application fee required?
A14	No application fee is required.

Q15	In what way will the results of application be notified?
A15	The Secretariat will notify all applicants of the results in writing.

Q16	When will the results of application be known?
A16	Under normal circumstances, if an application was submitted with all the required and complete information and documents, the applicant will be notified of the result within three months from the deadline for application.

II. Assessment Mechanism

Q17

What is the mechanism for assessing applications? What are the criteria?

A17

The Government has appointed an Assessment Committee (AC) to consider all the applications. In considering the applications, AC will consider the following factors:

(i)	the economic benefits of the proposal, such as the number of visitors/participants from Mainland and overseas to be brought to the event, their likely length of stay, and the number of jobs to be created;
(ii)	public relations and other benefits of the proposal, such as the event's ability to raise Hong Kong's international profile and the publicity value to be generated in local and non-local media;
(iii)	the technical and project management capability of the applicant (including human, financial and technical resources), background and governance structure of the applicants, track record and past performance of the applicant in organising events, including the effectiveness of past projects;
(iv)	whether the proposed schedule of implementation is practicable and reasonable;
(v)	whether the proposed budget is prudent and realistic, with justifications for the proposed income and expenditure items;
(vi)	the proposed performance indicators of the event;
(vii)	any alternative sources of funding for the event; and
(viii)	other factors which the AC considers relevant.

The AC will make recommendations on individual applications to the Permanent Secretary for Commerce and Economic Development (Commerce, Industry and Tourism) (PSCIT). PSCIT will make the final decision.

Q18

What are the safeguards to ensure that the AC carries out its work impartially?

A18

AC has drawn up a Code of declaration of interest and related conduct to ensure that its members carry out their work impartially.

III Other Technical Issues Related to Application

Q19	Can selected applicants withdraw their applications?
A19	Successful applicants may write to the Fund's Secretariat to withdraw their applications within 14 calendar days from receipt of the written notice on an intention to approve the application issued by the Secretariat. Such withdrawal is irrevocable.

Q20	What are the principles to be adopted when preparing the budget for the proposed event? Which expenditure items will or will not be funded?
A20	In drawing up the budget, applicants should ensure that it is cost-effective. Apart from applying for the Fund, applicants are required to provide funding from their own sources and/or from other sources (such as contributions or sponsorships from non-governmental bodies) to meet at least 50% of the total actual expenditure of the event. All major expenses should be justifiable and cost-effective. Applicants should also state clearly whether and how they would raise income from the events (such as charging admission fees). Applicants should set out clearly in the application form the amount of funds to be provided by them and their sources (such as secured sponsorship, in cash or in kind, from the commercial sector). Applicants should submit documentary proof on the secured sponsorship. For in kind sponsorship, applicants should also submit proof to demonstrate that the claimed values of the sponsored items or services are comparable with the market prices. Generally speaking, cost of additional manpower directly incurred for the event, cost of procuring or leasing of equipment for implementing the event, venue rental cost directly incurred for hosting of the event, as well as other one-off non-recurrent direct expenditure, such as expenses for consumables, marketing and tourism promotion cost for the purpose of the event may be funded. Costs for maintaining the applicant's own operation or administration, including cost for setting up or refurbishing an administration office of the organisation, decoration cost, utility charges, entertainment expenses incurred by administrative staff of the organisation, general administrative expenses, legal costs and insurance fee as well as other expenditure not directly related to the event, will not normally be funded.

Q21	What terms and conditions should applicants who receive support from the Mega Events Fund observe?
A21	Applicants will be required to sign an agreement or agreements prepared by the Government. The agreement(s) will contain all the terms and conditions relating to funding of the event and on the use of the allocated Fund (including all the financial control measures and clauses to be observed by the applicants).

Q22	What is the level of funding support for each selected event?
A22	The maximum amount of funds to be granted for an event supported by the Mega Events Fund will be decided by PSCIT on the recommendation of AC. The basic principle is that Government’s total contribution (including the Mega Events Fund funding support) must not exceed 50% of the actual cost of the event. Applicants must comply with any other additional funding terms and conditions as stipulated in the agreement.

Q23	Will additional funds be provided if overspending occurs from the implementation of the selected event?
A23	Under no circumstances will any additional funds be provided once the agreement or agreements have been signed. In the event that the actual expenditure exceeds the estimated budget, applicants will be responsible for the shortfall in order to complete the event. Applicants will be required in the agreement to give an undertaking to accept liabilities for all deficits arising from the event. In addition, no matter what the amount of estimated overspending will be, applicants should notify the Fund's Secretariat immediately.

IV Monitoring of Progress and Performance

Q24

In what way will the progress and performance of the funded events be monitored?

A24

To ensure proper monitoring of the use of the Fund and the progress of the events, the following control measures have been put in place:

(i)	Members of the AC or its representatives, or representatives of relevant Government bureaux/departments, may participate in progress review or organising committee meetings of the events, conduct visits to the relevant venues of the events and record on-site observations of visits and meetings;
(ii)	applicants will be required to state the event's deliverables, key milestones, targets, and methods for measuring its performance when they submit proposals for consideration by AC;
(iii)	PSCIT may stipulate specific terms to control the use of the allocated funds and request compliance by the applicants who receive support from the Mega Events Fund;
(iv)	PSCIT has the right to decide that the approved funds be paid by instalments after the organisers have achieved the pre-determined milestones;
(v)	successful applicants are required to submit final audited accounts, evaluation reports and publicity reports upon completion of the events to the satisfaction of AC and PSCIT;
(vi)	successful applicants are required to return any unspent funds and operating surplus generated from the events to the Government (including all interests and the sale proceeds from all or any equipment disposed of) up to the amount of the approved funds for the events plus the interests generated or which should have been accrued to the Project Account;
(vii)	PSCIT reserves the right not to disburse the outstanding funds to successful applicants or reduce the amount of outstanding funds to be paid, if their performance in organising the events are not satisfactory or if the events fail to achieve the pre-determined deliverables/targets; or if they breach any funding terms and condition as stated in the agreement. Applicants may also be suspended from future applications; and
(viii)	successful applicants are required to maintain all relevant records of the events (including procurement/tendering and staff payroll records), separate and complete books of accounts and register of equipment procured, for inspection and checking by members of the AC or its representatives, or representatives of Government as and when required. Such records are required to be kept for a period of seven years following completion of the event.

Q25

How should the surplus funds, if any, of the funded event be handled?

A25

Successful applicants are required to return to the Government any unspent funds and operating surplus generated from the event (as the Government may determine in its sole discretion) (including all interests and the sale proceeds from all or any equipment disposed of), up to the amount of the approved funds for the events plus the interests generated or which should have been accrued to the Project Account.

Q26

How should the equipment items, if any, procured for carrying out the funded event, be handled?

A26

Applicants who receive support from the Mega Events Fund are required to properly maintain the equipment items and ensure that they are in good conditions at all times. They should keep a register of such equipment items with individual cost of HK$5,000 or above. They must not transfer, sale or disposed of any of the equipment items without obtaining prior approval from the Government.

After completion of the funded event, the Government will require the successful applicants to dispose of the equipment items at the prevailing market price by way of sales by public auctions. Applicants who receive support from the Mega Events Fund will then be required to furnish the Government with detailed specifications and photographs of all the equipment items for the purposes of arranging public auctions. They must comply with the Government’s procedure and instruction. Any sale proceeds of the equipment items disposed of then belong to Government revenue.

Q27

How will the case be handled if the events cannot be completed?

A27

PSCIT reserves the right not to disburse the outstanding funds to successful applicants and recover any loss incurred as a result of the applicants' failure/problems in organising the events, the applicants' performance in implementing the events are not considered satisfactory, the events fail to achieve the pre-determined deliverables/targets, or that the applicants fail to complete the events before the due date specified in the agreement(s). The agreements may be terminated by the Government by giving written notice to the successful applicants with immediate effect.

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Last revision date: 15 August 2011