4. stay on track- communication and amendments updated april 2014
TRANSCRIPT
Training of National Judges
Stay on track!
Communications, amendments to Grant Agreements, penalties?
DG Competition
Structure of the presentation
1. Project life cycle
2. Communications with the EU Commission
3. Your Grant Agreement
4. Amendments to your Grant Agreement
5. Penalties?
6. Conclusions
1. Project life cycle
Proposal Grant Agreement
Update and reports
End of project/contract
Final Report
Amendments
! Start eligibility* End eligibility
* Only exception: kick off meeting travel costs
2. Communications with the Commission • The Training of JUDGES Staff
New staff: 02/02/2015-31/07/2015 02/03/2015-31/07/2015
Our role
• EU Commission:
Responsible for checking the legal and financial compliance of the project
• Project Manager:
• Main Point of contact in the Commission
• Performs monitoring of the project
• Assesses the progress and final reports
• Provides assistance to the project coordinators
• Assesses the content of your final report
• Financial Officer:
• Assesses the financial parts of Progress and Final reports
• Provides assistance on financial aspects
Keep us in touch!
• You should regularly update us on the status of your implementation (use the WORK PLAN AND IMPLEMENTATION TIMETABLE of your application if you wish).
• We are here to assist you, to support you and to monitor the good implementation of your project- USE US!
• If something is going wrong with your project, consult us in time! Our role is not to judge your work but to find a solution together!
I.XX.1 Changes to the original project The EU Commission should be informed, in due time, of any important change occurring during the implementation of the project.
Communication: use the right format!
Do you have a question (general, legal or financial)?
• Write to us an email! [email protected]
Do you need our official agreement for a change in your project?
•Write to us an official letter adressed to our Director!
Do you need our official agreement to amend your
budget (transfer of
headings)? Write to us an official
letter addressed to our
Director!
Do you need to request a pre-
financing or a final payment?
Use the templates in your Annex IV
If you have a doubt on the correct format to use,
write an email to us and we will
reply!
3. Your Grant Agreement
The Grant Agreement represents the contractual obligations between the Commission and the beneficiaries (coordinator and partners)
It is composed by Grant Agreement +
its binding annexes!
Read it!!!!
What is a “multi-beneficiary” grant agreement?
Common responsibility for implementing the project
= Joint financial liability
The Commission The partnership
Coordinator
by signing the grant agreement
Co –beneficiaries
by signing the mandates
What is included in the grant agreement?
• Co-beneficiaries (partners) of the project
• Key persons (legal representative, contact person/coordinator,…)
• Key dates (starting date, end date)
• Payment arrangements
• Reporting obligations (only one, the final report)
• Your bank account number
• Eligibility of costs
• Commission visibility rules
• Possibility to suspend/terminate contract
• Financial liability
A closer insight of some provisions..
ARTICLE I.2 – ENTRY INTO FORCE OF THE AGREEMENT AND DURATION
I.2.1 The Agreement shall enter into force on the date on which the last party signs.
1.2.2 The action shall run for maximum XX as of XXXXX.
I.2.3 The duration of the Grant Agreement shall be 24 months, as of the first day following
the date when the last party signs the Agreement (“the starting date”).
A closer insight of some provisions..
ARTICLE I.3 - MAXIMUM AMOUNT AND FORM OF THE GRANT
(ii) declared on the basis of an amount per unit in accordance with Annex IX – "Unit
costs for accommodation and meals/drinks" (50% daily rate will apply for half day
seminars)”
A closer insight of some provisions..
ARTICLE I.4 – ADDITIONAL PROVISIONS ON REPORTING, PAYMENTS AND
PAYMENT ARRANGEMENTS
I.4.1 Reporting periods, payments
In addition to the provisions set out in Article II.23 and II.24, the following reporting and
payment arrangements shall apply:
(a) Upon entry into force of the Agreement, a pre-financing payment of maximum 50% of
the maximum amount specified in Article I.3 shall be paid to the beneficiary, in
accordance with Article II.24.1 following the receipt of the request for payment (see
Annex IV).
(b) The beneficiary shall submit a request for payment of the balance within 60 days
following the end of the action (Article I.2.2). The request shall be accompanied by a
complete final report (see Annex IV). Upon receipt of a request for payment and the final
report, the final balance shall be paid to the beneficiary in accordance with Article
II.24.4.
A closer insight of some provisions..
ARTICLE I.XX – INAPPLICABILITY OF THE NO-PROFIT PRINCIPLE [ONLY
FOR LOW VALUE GRANTS]
By way of derogation from Article II.25.3 the no profit principle does not apply to the action.
ARTICLE I.XX - INELIGIBILITY OF VALUE ADDED TAX
By way of derogation from Article II.19.2 (h), amounts of value added tax (VAT) paid are
not eligible under the Agreement for the following activities as described in Annex I:
(a) taxed activities where the VAT is deductible,
(b) activities designated under National legislation to a Public authority as the sole entity
having such a competence.
ARTICLE I.XX – SPECIAL PROVISIONS ON BUDGET TRANSFERS
Explicit approval + during the action + double limit of 10% respected
An example of wrong calculation
NO!
An example of correct calculation
YES!
Part A - Expenditure/eligible costs in (EURO) in (EURO)
a) costs of staff assigned to the operation 43,120.00 € 43,719.00 €
b) travel and accommodation expenses for staff involved in the operation 1,450.00 € 1,450.00 €
c) travel and accomodation expenses for participants 10,200.00 € 10,200.00 €
c) travel and accomodation expenses for speakers 5,990.00 € 5,391.00 € 599 to A.a)
c) travel and accomodation expenses for interpreters 840.00 € 840.00 €
d) costs for meals/refreshments for staff involved in the operation as well as for participants, speakers and interpreters0.00 € 0.00 €
e) Interpreters' fees 4,000.00 € 4,000.00 €
e) Speakers' fees 17,600.00 € 17,600.00 €
f) costs of equipment, land and immovable property (rent, purchase) 3,367.00 € 3,367.00 €
g) costs of consumables and supplies 4,305.00 € 4,305.00 €
h) costs of publications and reports 6,705.00 € 6,705.00 €
i) any other direct costs (communications)1 0.00 € 0.00 €
j) general costs charged to the operation 7,520.00 € 7,520.00 €
TOTAL ELIGIBLE COSTS 105,097.00 € 105,097.00 €
Estimate of contributions in kind for the operation 0.00 € 0.00 €
TOTAL 105,097.00 € 105,097.00 €
I.XX.3 Participation of EU staff
The possible participation (in particular as speakers) of the members or staff of the Union institutions (officials, judges, commissioners, etc.) in the co-financed projects may not under any circumstances give rise to the declaration of eligible costs linked to this participation by the beneficiary.
II.7.1 Information on Union funding and use of European Union emblem Unless the Commission requests or agrees otherwise, any communication or
publication related to the action, made by the beneficiary, including at conferences, seminars or in any information or promotional materials (such as brochures, leaflets, posters, presentations, etc.), shall indicate that the action has received funding from the Union and shall display the European Union emblem.
When displayed in association with another logo, the European Union emblem must have appropriate prominence.
OR
Funded by the European Union
Funded by
the Training of National Judges Programme of the European Union
On websites, publications, communication means, products and deliverables add the following “Disclaimer”: ‘This publication has been produced
with the financial support of the Training of National Judges Programme of the European Union. The contents of this publication are the sole responsibility of <name of the author/contractor/implementing beneficiary> and can in no way be taken to reflect the views of the European Commission.’
4. Amendments (ARTICLE II.12 )
• II.12.1 Any amendment to the Agreement shall be made in writing.
• II.12.2 An amendment may not have the purpose or the effect of making changes to the Agreement which would call into question the decision awarding the grant or be contrary to the equal treatment of applicants.
• II.12.3 Any request for amendment shall be duly justified and shall be sent to the other party in due time before it is due to take effect, and in any case one month before the end of the period set out in Article I.2.2, except in cases duly substantiated by the party requesting the amendment and accepted by the other party.
Requests of amendments
• Legal representative Who
• Before the change takes effect and at least one month before the end of the eligibility period
When
• In writing
• Duly justified
• Supporting documents and agreement of co-beneficiaries
How
Changes shall not question the award decision!
A. Administrative
•change of legal address
•change of contact person/contact details
•change of legal representative
B. Minor
•budget changes not exceeding 10% of a budget heading
•non-substantial changes in the activities
•addition/withdrawal of an associated partner
•staff changes
•cost incurred by another co-beneficiary than one planned in the estimated budget
C. Major
•addition/withdrawal of a co-beneficiary
•change in the implementation period of the project
•change of bank account
•adaptation of Annex I
•budget changes exceeding 10% of a budget heading or reducing the amount of the grant
Types of Changes
amendment by exchange of
letters or emails
amendment by exchange of letters AND approval EC
formal amendment signed by legal representatives of both parties
5. Penalties
Art. II.25.4 Reduction of Grant
• If the action is not implemented or is implemented poorly, partially or late, the Commission may reduce the grant initially provided for, in line with the actual implementation of the action according to the terms laid down in the Agreement.
Art. II.16.2 Termination of the Agreement by the Commission
• if the beneficiary does not implement the action as specified in Annex I or fails to comply with another substantial obligation incumbent on it under the terms of the Agreement
•Where the Agreement is terminated, payments by the Commission shall be limited to the amount determined in accordance with Article II.25 on the basis of the eligible costs incurred by the beneficiary and the actual level of implementation of the action on the date when the termination takes effect.
ARTICLE II.17 – ADMINISTRATIVE AND FINANCIAL PENALTIES
•administrative penalties consisting of exclusion from all contracts and grants financed by the Union budget for a maximum of five years from the date on which the infringement is established and confirmed following a contradictory procedure with the beneficiary;
• financial penalties of 2% to 10% of the maximum amount of the grant set out in Article I.3.
6. Conclusions • Read carefully your Grant Agreement before starting the
implementation
• Keep track of the progress and report to us regularly
• STAY ON TOP OF THE GAME
You are responsible for the project
You are the contact point for the COM
• NO Passive management style
“it’ll be fine”, “the partners know what they are doing” almost always leads to fierce and unforeseen surprises
• Ongoing accounting and financial management
Get invoices, travel tickets, signed participation lists, etc, fully documented during the project, NOT 15 months later, in a panic at the end of the project.
Thank you
Questions?
Tel .97883