> Contents 1 10/12/2007, Lead applicant seminar, Katowice, Poland EUROPEAN REGIONAL DEVELOPMENT FUND Preparing an INTERREG IVC application: Financial and

> Contents1 10/12/2007, Lead applicant seminar, Katowice, Poland

EUROPEANREGIONALDEVELOPMENTFUND

Preparing an INTERREG IVC application: Financial and legal aspects

Anne-Cécile RENARD, Finance Officer, INTERREG IVC JTS


Partner FundingPartner Funding

Funding for partners from the EU + Norway

75% / 85% ERDF co-financing rate

depending on the Member State in which the partner is

located (address!) (50% for Norway)

25% / 15 % partner’s own financing from own funds

or other public sources on national, regional or local

level (50% for Norway)

no ERDF advance payments



Partners from EU-MS + Norway

75% ERDF

Austria, Belgium, Denmark, Finland,

France, Germany, Ireland, Italy,

Luxembourg, Netherlands, Spain,

Sweden, UK

85% ERDF

Bulgaria, Czech Republic, Cyprus,

Estonia, Greece, Hungary, Lithuania,

Latvia, Malta, Poland, Portugal,

Romania, Slovakia, Slovenia

50% NO funding Norway



Funding for partners from Switzerland

special funding available

funding directly managed by Switzerland

information provided by national contact point



Partners from outside EU/Norway/Switzerland

Participation possible

No co-financing from IVC programme

Funding maybe available through other EU-instruments

(IPA, ENPI)

INTERREG IVC co-financing for activities outside EU/Norway/Switzerland possible if

limited to 10% of project’s IVC budget

costs budgeted, borne, paid by partner from EU/Norway

explicitly mentioned and justified in AF



Partner Funding – Further Points of consideration

Is there a co-financing statement for each partner (EU

+ non-EU partner)? Is it on letter headed paper?

Stamped? Signed? Does it confirm the amount of

national co-financing as indicated in the Application

form?


Project Partner

Lead Partner (LP)/

Joint Secretariat/ Managing Authority

Certifying Authority

Project PartnerProject PartnerExpenditurecontrolled by PP-controller

Expenditurecontrolled by LP-controller and collection of PP cost statements

Progress Reportschecked by Project Officer and Financial Officer in JTS

CA checks + compiles all data into Payment Request to EC

Financial ManagementFinancial Management

Reporting and Control System


Financial ManagementFinancial Management

Country-specific control requirements Organisation of the control = MS responsibility

Main types of systems (depending on MS) Centralized system: certification through

Central public control or

Central private controller

Central = at national or regional level

Decentralized system: certification through

internal/external public and private controllers

chosen by partner from a shortlist established by MS or

proposed by partner and approved by central approbation body

Information per Member State on INTERREG IVC website


Financial Management Financial Management

Financial Management – Further Points of Consideration

Explain who will carry out financial management? In-house or external?

Describe reporting and control procedure taking account of role of Lead partner reporting periods

January – June; PR submission 1 October

July – December; PR submission 1 April country specific control requirements ERDF payment to LP within approx. 3 weeks after approval of PR

Include this information also under Component 1 Preparation + submission of Progress reports, receipt of ERDF +

disbursement to partners = activity Progress reports = output


EligibilityEligibility

Preparation phase: costs are eligible subject to project approval within limit of EUR 30,000 For first call: between 1 January 2007 and date of

submission of AF to JTS (for first call = max.15 January 2008)

To be reported with Progress Report 1

Project implementation phase: costs are eligible if incurred after date of MC approval paid before finalisation month quoted in the AF


Budget Budget

The budget lines

Staff

Administration for personnel

employed

Travel and Accommodation by partners in AF

only!

Equipment

External Expertise and Services

Sub-Projects for mini-

programmes

only


BudgetBudget

Staff

Personnel costs for the time spent by staff on carrying

out project activities (Full-time or percentage of total

working time)

Only for personnel directly employed by the partner

organisation listed in AF

Employee’s gross salary + employer’s charges


BudgetBudget

Administration

Stationery

Photocopying

Mailing

Telephone, fax, Internet

Heating, electricity

Office rent, furniture, maintenance

Don’t artificially inflate this budget line through inclusion

of indirect cost categories (overheads) that lack a clear

project link.


BudgetBudget

Travel and Accommodation

Choice of most economic form of transport

In compliance with national or internal rules

Daily allowances possible if national or internal

practice

Equipment

Purchase of material necessary for project

implementation

Usually IT equipment

Should not exceed 5% of total costs


BudgetBudget

External Expertise

Examples: External project coordination or financial management

External financial control

Website design and hosting

Drafting, lay out printing of newsletters, studies and surveys

External event organisation, meeting room rental and

catering

Interpretation and translation

External speakers and participants in meetings


BudgetBudget

External Expertise

All expenses paid by the partners on the basis of

Contracts/agreements (public procurement!)

Invoices/requests for reimbursement

to external providers (incl. staff, admin, travel etc.)

External = anyone who is not employed by partner

institutions


BudgetBudget

Sub-projects

For mini-programmes only

Forecast expenditure on sub-projects to be selected in

open calls for proposals and transparent assessment

+ selection procedure.


BudgetBudget

Budget - Further points of consideration

VAT – not eligible if recoverable

In-kind contributions - not eligible in INTERREG IVC


BudgetBudget

Budget – Further Points of consideration

Did you respect budget recommendations (min/max ERDF)?

Is the total budget justified by project duration, scope + complexity of

activities and partnership?

Does the detailed budget by budget line + component reflect the

activities?

Is the ratio “administration/staff” below 25% (recommended)?

Is the ratio “Component 1/total budget” below 20% (recommended)?

Is the ratio “equipment/total budget” below 5% (recommended)?

Is the expertise and equipment necessary for project implementation

(make specifications self-explanatory!)?


BudgetBudget

Shared costs Responsible partner has to provide to all partners taking over a

share of common costs

request for reimbursement

all relevant supporting documentation Responsibility of each partner to include share of common costs

in own financial report and to obtain confirmation from controller (according to country specific control requirements)

Recommendation:

limit as much as possible shared costs to budget line “external expertise and services”

include procedure in partnership agreement

procedure for sharing and reporting costs to be checked with national controllers of each individual partner concerned.


BudgetBudget

Payment forecast

Forecast of costs paid out during reporting periods

January – June

July – December

To be prepared carefully as projects not reporting in

time and in full risk losing funds


Further Information Further Information

Operational programme

Programme manual

Programme website

JTS + Info Points

National contact points

Thank you for your attention!

Documents

> Contents 1 10/12/2007, Lead applicant seminar, Katowice, Poland EUROPEAN REGIONAL DEVELOPMENT FUND Preparing an INTERREG IVC application: Financial and