FP7 Financial Rules, Project Reporting and Tools

Transcription

1 FP7 Financial Rules, Project Reporting and Tools Dita Mocova EGEE-II / EGEE-III Transition Meeting CERN, Geneva 6-7 May EGEE-III INFSO-RI

2 Introduction 1. FP7 Financial rules - general 2. FP7 Financial rules - project specifics 3. Financial reporting - internal 4. Financial reporting - external 5. PPT (Project Progress Tracking) EGEE-III INFSO-RI EGEE-II / EGEE-III Transition Meeting 6-7 May

3 Direct costs - can be traced in full to the project FP7 Financial Rules Personnel Travel (incl. permanent staff) (members of EGEE-III) Equipment (not infrastructure) BUT: Admin and support can be indirect! Certificate on financial statements subcontracting, NA1 Rental of conference/event/training venue Coffee breaks at meetings/trainings/conferences, not dinners! EGEE-III INFSO-RI EGEE-II / EGEE-III Transition Meeting 6-7 May

4 FP7 Financial Rules Indirect costs (overheads) All eligible costs which cannot be traced directly to the project Not possible to measure directly how much of these costs relate to the project Costs incurred generally in the course of all activities of the organisation Buildings Utilities Other Rent t/d Depreciation Insurance Maintenance Water Gas Electricity Office Supplies Communication & Connectivity fees Admin. & Financial Management, HR, Legal EGEE-III INFSO-RI EGEE-II / EGEE-III Transition Meeting 6-7 May

5 FP7 Financial Rules Methods of calculation of indirect costs: Depends on the accounting system of the beneficiary and the type of organisation Each beneficiary & JRU provided overhead rates in GPF Actual Indirect Costs beneficiaries with analytical accounting system Flat Rates: 20% - open to any beneficiary, 20% of direct costs less subcontracting 60% (Transitional Flat Rate) 3 conditions: 1. Status of the organisation 2. Accounting system of the organisation 3. Type of funding scheme CSA 7% of direct costs EGEE-III INFSO-RI EGEE-II / EGEE-III Transition Meeting 6-7 May

6 FP7 Financial Rules Eligibility Criteria Costs must be: Actual Incurred by the beneficiary Incurred during the project In accordance with the usual accounting and management principles of the beneficiary Used for the sole purpose of achieving the objectives of the project and consistent with the principles of economy, efficiency and effectiveness Recorded in the accounts of the beneficiary Have been indicated in the estimated overall budget in Annex I EGEE-III INFSO-RI EGEE-II / EGEE-III Transition Meeting 6-7 May

7 FP7 Financial Rules Non-Eligible Costs Examples: Identifiable indirect taxes (VAT, airport taxes) Duties Interest owed Provisions for future losses/charges Exchange losses, costs related to return of capital Costs declared/incurred/reimbursed in respect of another Community project Debt and debt service charges Excessive, reckless expenditure EGEE-III INFSO-RI EGEE-II / EGEE-III Transition Meeting 6-7 May

8 FP7 Financial Rules Reimbursement rates in EGEE-III (combination of CP and CSA) Scheme A & Industrial Partners: ½ PMs declared as Funded, ½ as unfunded d NA1 NA2-NA5 SA1-SA3 JRA1 Direct Costs 100% 100% 100% 75% Indirect Costs 100% 7% 100% 75%/50%* *industrial partners Scheme B: all PMs declared as Funded NA1 NA2-NA5 SA1-SA3 JRA1 Direct Costs 100% 50% 50% 50% Indirect Costs 100% 7% 50% 50% NA2-NA5: 7% of direct costs = max. reimbursement of indirect costs EGEE-III INFSO-RI EGEE-II / EGEE-III Transition Meeting 6-7 May

9 FP7 Financial Rules Pre-financing Paid to the coordinator, CERN At the beginning of the project (May/Jun) Remains property of EC until final payment 85% of total EC contribution less 5% of EC contribution for the Guarantee fund Distributed pro rata to the partners in 2 advance payments (Annex 5 of CA): 50% 10 days after receipt by the Coordinator 50% after submission of 1 st quarterly reports EGEE-III INFSO-RI EGEE-II / EGEE-III Transition Meeting 6-7 May

10 FP7 Financial Rules Interim payment After approval of the periodic reports by EC Equals the accepted EC contribution requested in Form C by beneficiary + JRUs BUT! Pre-financing + interim payment limited to 90% of the max. EC contribution EGEE-III INFSO-RI EGEE-II / EGEE-III Transition Meeting 6-7 May

11 FP7 Financial Rules Final payment After approval of final reports by EC Equals to accepted EC contribution (P1+P2) less amounts already paid If payments made exceed the EC contribution, difference to be paid back to the Coordinator! includes the Guarantee fund EGEE-III INFSO-RI EGEE-II / EGEE-III Transition Meeting 6-7 May

12 FP7 Financial Rules Example: beneficiary with max. EC Req. Contribution of 1,000,000 EUR Pre-financing i 85% of EC contribution ti less 5% guarantee fund 800, P1 Req. 90% rule Max. payment 900, ,000 Contribution 300,000 1,000,000 x 90% = 900,000 less 800, already paid P2 Req. Total Req. Contribution 1,000,000 less 900, ,000 Contribution 300, ,000 = already paid 700,000 1,000,000 TOTAL 1,000,000 EGEE-III INFSO-RI EGEE-II / EGEE-III Transition Meeting 6-7 May

13 FP7 Financial Rules Guarantee fund Enabling Grids for E-sciencE To cover financial risks, kind of insurance contract 5% of the max. EC contribution (1.6mill. EUR) Deducted from total pre-financing Interest generated to cover any losses Paid back with the final payment Deduction only if interest not sufficient to cover the losses Never more than 1% No deduction for public bodies and universities EGEE-III INFSO-RI EGEE-II / EGEE-III Transition Meeting 6-7 May

14 Financial Reporting Internal Timesheets Internal Cost Claims External (to EC) Quarterly Financial i Status Form C Certificate on the Financial Statement (CFS) Effort Reports Explanation of the use of resources Reports on the funds distribution EGEE-III INFSO-RI EGEE-II / EGEE-III Transition Meeting 6-7 May

15 Financial Reporting - Internal Timesheets Purpose: Enabling Grids for E-sciencE Main supporting document for claiming personnel costs! Used by auditors Monitor effort Quarterly reports to EC All members of the project Due: monthly, 10 working days after month end, supervisors 15 days Tool: PPT WBS and tasks based on the execution plans Members: funding ratios, productive hours Reported hours converted into PMs Automatic reminders On-line validation EGEE-III INFSO-RI EGEE-II / EGEE-III Transition Meeting 6-7 May

16 Internal Cost Claims (ICC) Financial Reporting - Internal Purpose: Monitor the spending of the consortium Produce quarterly financial status for EC, in QR Due: 22 days after each quarter-end Cumulative!, but separate for Period 1 and 2 In EUR, exchange rate rules Tool: PPT Every beneficiary and JRU member Download to excel Upload - previous quarter overwritten with current one At the end of the project only two ICCs in PPT (Q4 and Q8) EGEE-III INFSO-RI EGEE-II / EGEE-III Transition Meeting 6-7 May

17 Financial Reporting External Form C Financial Statement Purpose: to receive interim & final payments Due: 60 days after the end of project period All beneficiaries and all JRU members In FP7 costs separated into personnel & other costs EC days to evaluate the reports and execute the payment Pre-filled Form C in PPT After submitting ICC Q4 & Q8 Consistent with ICCs EGEE-III INFSO-RI EGEE-II / EGEE-III Transition Meeting 6-7 May

18 Financial Reporting External Certificate on the Financial Statement (CFS) At the end of the project Only if EC contribution above 375k EUR (beneficiary + JRUs) Covering two years Contract t auditors in advance! Sign engagement letter! Report on factual findings Mandatory terms of reference scope of work Compulsory report template Annex VII - Form D ftp://ftp.cordis.europa.eu/pub/fp7/docs/guidelines-audit-certification_en.pdf EGEE-III INFSO-RI EGEE-II / EGEE-III Transition Meeting 6-7 May

19 Other Reports Enabling Grids for E-sciencE Financial Reporting External Explanation of the use of resources by activity & type of cost (personnel, subcontracting, major cost items) Summary Financial Report Effort Reports input needed from partners timesheets Report on the distribution of funds All the reports produced by PO, input from beneficiaries and JRUs EGEE-III INFSO-RI EGEE-II / EGEE-III Transition Meeting 6-7 May

20 Summary Eligible & Non-eligible Costs Direct & Indirect Costs Payments & Guarantee Fund Form C & CFS Internal Reports EGEE-III INFSO-RI EGEE-II / EGEE-III Transition Meeting 6-7 May

21 HELP! FP7 Financial guide ftp://ftp.cordis.europa.eu/pub/fp7/docs/financialguide_en.pdf / /fi i id df Guidance notes on audit certification ftp://ftp.cordis.europa.eu/pub/fp7/docs/guidelines-audit-certification_en.pdf Guidance notes on project reporting ftp://ftp.cordis.europa.eu/pub/fp7/docs/project_reporting_en.pdf Form C for combination of CP and CSA ftp://ftp.cordis.europa.eu/pub/fp7/docs/fp7-ga-annex6-csa_en.pdf OR Dita.Mocova@cern.ch Phone: EGEE-III INFSO-RI EGEE-II / EGEE-III Transition Meeting 6-7 May