KA2 Strategic Partnerships Financial Management. 21st September

Transcription

1 KA2 Strategic Partnerships Financial Management 21st September

2 Overview General Principles of Financial Management Eligibility of Expenses (eligible and ineligible costs) Budget categories and required documentation Budget transfers Financial Management Recommendations 2

3 General Principles Reference Documents 2017 Erasmus+ Programme Guide Grant Agreement (GA) GA Annexes: Annex I General Conditions Part A Legal and Administrative Provisions Part B Financial Provisions Annex II Estimated Budget Annex III Financial and Contractual Rules Annex IV Rates for unit contributions 3

4 General Principles Your Funding Annex II Very important document!! Refer to and review it throughout the project Provides the following: project details (code, national ID, Submission ID generated automatically) budget summary budget details per grant heading list of Participating Organisations budget details per Participating Organisations 4

5 General Principles Your Funding - Annex II Budget summary example Budget Items Total grant Project Management and Implementation 36,000 Transnational Project Meetings 22,345 Intellectual Outputs 66,677 Multiplier Events 25,000 Learning Teaching/Training Activities (Travel + Individual Support + Linguistic Support) 12,565 Exceptional Costs OCT Travel 0,00 Special Needs Support 0,00 Exceptional Costs 10,500 Exceptional Costs Guarantee 0,00 Total Calculated 173,087 5

6 General Principles Your Funding Annex III Very important document!! Read carefully!! Refer to throughout the project Identifies the following: calculation of the grant under each grant heading triggering events a list of supporting documentation for each grant heading reporting details eligible activities, participants and expenses rules and conditions for grant reduction for poor, partial or late implementation including details on evaluation of final reports an overview of the types of checks that the Beneficiary may be a subject to and provision of supporting documentation 6

7 General Principles Your Funding (Grant) Your Funding (Grant) Stated in Art. I.3.1 Made up of unit contributions and reimbursement of eligible costs actually incurred (actual costs) Funding = a combination of unit contributions and real costs Expenditure should be accrued during implementation period (contract period) Expenditure should not generate profit Applicant managed funding The Coordinator organisation applies to manage the grant on behalf of the Partners 7

8 General Principles Co-financing All Erasmus+ projects are expected to be co financed: Erasmus+ grant will not / might not cover all costs The grant is intended to be a contribution towards the costs of project implementation and mobility activities Erasmus+ grant: Should be used to deliver projects Cannot fund the running of an organisation 8

9 General Principles Eligible Costs Incurred by beneficiaries Incurred during the project lifetime (implementation period) Incurred in connection with the action Indicated in Annex II Necessary for the project implementation Identifiable and verifiable = supported by relevant documentation Reasonable, justifiable and financially sound 9

10 General Principles Ineligible Costs Debt and debt service charges Return on capital and dividends paid by a beneficiary Provisions for losses or debts Interest owed Doubtful debts Exchange losses Costs of transfers from the EC charged by the bank of a beneficiary Costs declared within another project receiving a grant from EU budget Contributions in kind from third parties Excessive or reckless expenditure Deductible VAT 10

11 Funding Principles: Unit Costs vs Real Costs UNIT CONTRIBUTIONS can be understood as a set amount per time period / participant which is a contribution towards the project costs for some you will spend more and for some perhaps less than the unit cost. they are intended to make the funding simpler to understand and manage must be: produced within the implementation period necessary, identifiable, verifiable and supported by relevant documentation REAL COSTS you will receive funding for a percentage of the real (actual) costs planned to be incurred real costs can be fully or partly reimbursed depending on the budget heading 11

12 Grant Categories Project Management and Implementation Transnational Partner Meetings Intellectual Outputs Multiplier Events UNIT CONTRIBUTIONS Training, Teaching and Learning Activities: Travel Individual Support Linguistic Support Special Needs Support Exceptional Costs REAL COSTS 12

13 Project Management and Implementation Eligible Costs Financing Mechanism Triggering Event Supporting Docs: see ANNEX III Best Practice Concerns management of the project by the Partners: General project management, e.g. planning, finances, coordination Liaising with partners, incl. organisation of partner meetings Developing small scale LTT materials, approaches, e.g. local work on project, virtual cooperation, etc. Concerns Dissemination: Meetings with stakeholders Preparation and promotion of dissemination materials Online dissemination (e.g. project website) Promotional meetings (local and/or international) IMPORTANT! REDISTRIBUTION POSSIBLE BETWEEN THE PARTNERS!! Based on unit costs: 500 per month for Co ordinator 250 per month for Partner Project activities and outputs were developed/produced as planned, fully reported on and approved by NA Description of undertaken activities and produced outputs in the final report Outputs uploaded in the Erasmus + Project Results Platform and, depending on nature, available for checks and audits at the premises of the beneficiaries e.g. proof of output/products (pictures, video films, websites etc. ) Keep evidence of all costs incurred (e.g. timesheets, invoices, receipts, etc.)

14 Transnational Project Meetings Eligible Costs Financing Mechanism Costs directly related to participation in meetings between project Partners for implementation and co ordination purposes Contribution to travel and subsistence costs The need for the number of meetings and participants must be justified Evident direct and formal link between the Partner organisations and individuals attending the meetings on behalf of Partners (whether individuals are staff or learners) Calculated on a unit cost basis according to the distance of travel for each participant per meeting 575 (return) per participant for distances between 100 and 1999km (1 way) 760 (return) per participant for distances over 1999km (1 way) On line distance calculator must be used to establish the applicable distance band: ( plus/tools/distance_en.htm) The distance is based on place of origin and place of the venue: Place of origin: where the sending organisation is located Place of the venue: where the receiving organisation is located If different places are reported, the beneficiary must provide the reasons. BEST PRACTICE getna s approval before the meeting. 14

15 Transnational Project Meetings Triggering Event The eligible participant actually participated in the transnational meeting and undertook reported travel. Supporting Docs: see Annex III Proof of attendance of the activity in the form of a declaration signed by the receiving organisation specifying: the name of the participant, start and end dates, purpose of the activity Proof of attendance in the form of participants list signed by the participants and the receiving organisation specifying the: name, date and place of the transnational meeting for each participant: name and signature of the participant, name and address of the sending organisation of the participant. In case of travel from or to a different location from where the sending organisation / receiving organisation is located, which leads to a change of distance band: the actual travel itinerary + travel tickets or other invoices specifying the place of departure and the place of arrival. Details agendas and any documentation used or distributed at the TPM (e.g. minutes). 15

16 Intellectual Outputs Eligible Costs Financing Mechanism Costs associated with the development of any tangible deliverables (substantial in quality and quantity, with proven potential for wider use, exploitation and impact) of the project by eligible staff members (on a professional or voluntary basis) of relevant Partners Intellectual Outputs approved by NA in Annex I Calculated on a unit cost basis, per day, according to the role of individuals in the project and the country of the participating organisation whose staff is involved. 4 staff categories exist (see Annex IV of the grant agreement): Manager ( 294 for Ireland) Teacher/Trainer/Researcher/Youth Worker ( 241 for Ireland) Technician ( 190 for Ireland) Administrative staff ( 157 for Ireland) 16

17 Intellectual Outputs Rules regarding staff involved in IOs DEFINITION: A person involved in education, training or youth non formal learning on a professional or voluntary basis (e.g. professors, teachers, trainers, school leaders, youth workers and non educational staff). Formal link between the staff members and relevant Partner organisations must be evident. Staff working for the beneficiaries on the basis of service contract (e.g. translators, web designers) cannot be reported under this budget heading. ELIGIBLE STAFF COSTS: The staff category applicable must relate to the function performed by staff member in the development of IOs (and not their professional profile/status within their organisation). A person can be reported as staff in only 1 staff category per intellectual output. A person can be reported as staff in different categories for different intellectual outputs but only 1 category per intellectual output. Manager and Admin staff are expected to be covered already under Project Management and Implementation heading. They are eligible under IOs only 17 if applied and approved by the NA at the evaluation and contracting stage.

18 Intellectual Outputs Triggering Event Supporting Docs: see Annex III Reporting: see Annex III Intellectual Outputs were produced as planned and are of an acceptable quality level, as per NA evaluation. Proof of the intellectual outputs produced (available for checks on site and uploaded onto Erasmus+ Project Results Platform) Proof of the staff time spent on the development of project outputs In the form of a signed time sheets per person (incl.: the name of the person, the name of the organisation, relevant category of staff, the dates, the total number of days spent on the production of outputs, reference to particular output) Proof of the nature of the relationship between the staff member (whether on a professional or voluntary basis) and the beneficiary (e.g. employment contract, voluntary work, SME ownership, etc.) as per official records of the beneficiary. On behalf of the project as a whole, the coordinator shall report on the activities undertaken and results produced. The coordinator shall include information on the start and end date on the number of days of work per category of staff for each of the beneficiaries cooperating directly on the development of IO. 18

19 Eligible Costs Financing Mechanism Triggering Event Supporting Docs: see Annex III Multiplier Events Contribution to the costs linked to the organisation of national and transnational conferences/seminars/events aimed at sharing and disseminating the intellectual outputs realised by the project No grant for IOs = no grant for MEs Multiplier events must be approved by NA in Annex I & II of your contract /latest contract amendment Calculated on a unit cost basis up to a maximum of 30,000 per project according to the type and number of participants: 100 per local participant (= from the country where ME is taking place) 200 per international participant Participants from beneficiaries organisations cannot be participants of those events. Multiplier event took place as planned, was of an acceptable quality level (as per NA evaluation) and attended by eligible participants. It is relevant to particular Intellectual Outputs. Proof of attendance of the multiplier event sign in sheet of participants (incl.: name, date and place of the multiplier event and for each participant: his/her name and signature, name & address of the sending organisation) Detailed agenda and any additional documentation used or distributed at the event (e.g. minutes) 19 Description of the multiplier event in the final report

20 Learning, Teaching and Training Activities (LTTs) Eligible Activities Activities approved by NA in Annex I Eligible activities in all fields: Blended mobility of learners combining short term physical mobility (5 days to 2 months, excl. travel days) with virtual learning VIRTUAL LEARNING: the use of communication technologies (e.g. collaborative workspaces, live, streaming, social media, videoconferencing, etc.) to complement or prolong the learning outcomes of physical mobility Short term joint staff training events (3 days to 2 months, excl. travel days) short training events linked to the topic or scope of the project Location: countries where the beneficiaries are located. Activities of learners as well as long term activities of staff and youth workers from or to Partner countries are not eligible. 20

21 Learning, Teaching and Training Activities (LTTs) Eligible participants Individuals involved in the project as staff or learners who have direct formal* link with a relevant beneficiary organisation in one of the following capacities: VET and adult learners (blended mobility) Professors, teachers, trainers and educational and administrative staff employed at a participating organisation Participation of individuals in LTT activities in their own country is eligible only when: The activity involves participants from beneficiary organisations from at least 2 Programme Countries Distance between the place of departure and arrival is at least 10 km (as per distance calculator) 21

22 Learning, Teaching and Training Activities (LTTs) Financing Mechanism Travel Individual Support Linguistic Support Based on a unit cost: 275 per participant for distances between 100 and 1999km 360 per participant for distances over 1999km On line distance calculator to be used. Costs associated with the day to day living costs incurred by participants during TTL activity incl.: Accommodation Food Insurance Local travel to and from a venue of the activity in the host country Costs linked to the support offered to participants to improve their knowledge of language of instruction or of work during TTL activity Only available to TTL activities between 2 and 12 months Calculated on a unit cost basis according to the country of destination, the duration of activity and the activity type (check Annex IV for applicable rates) Based on a unit cost of 150 per each participant needing linguistic support. 22

23 Learning, Teaching and Training Activities (LTTs) Triggering Event Travel Individual Support Linguistic Support The participant has actually undertaken the reported travel. The participant has actually undertaken eligible TTL activity. The participant actually undertook attl activity exceeding 2 months and language preparation in the language of instruction or of work. 23

24 Learning, Teaching and Training Activities (LTTs) Supporting Docs: Annex III Reporting: Travel Individual Support Linguistic Support Proof of attendance of the activity in a form of a declaration signed by the receiving organisation specifying: name of the participant start and end dates purpose of the activity AND Travel from a different place: The actual travel itinerary + travel tickets /invoices with place of departure & arrival The coordinator shall report on the venue of all TTL activities, the date and number of participants Proof of attendance of the activity abroad in the form of a declaration signed by the receiving organisation specifying the following: The name of the participant The purpose of the activity abroad Start and end dates of the activity Proof of attendance of courses in the form of a declaration signed and dated by the course provider specifying the name of the participant, the language taught, the format and duration of the linguistic support provided OR Dated invoice for the purchase of learning materials with language concerned, the name and address of the body issuing the invoice, amount and currency OR If support provided directly by the Beneficiary declaration signed and dated by the participant (incl. the name of the part., language, the format 24 and duration)

25 Budget Categories REAL COSTS Special Needs Support Exceptional Costs REAL COSTS 25

26 Special Needs Support Eligible Costs Costs directly related to project participants with disabilities including costs directly related to participants with special needs and accompanying persons taking part In the transnational teaching, training, learning activities beyond the 60 th day of stay May include costs related to travel and subsistence of the above persons but need to be justified and providing they are not requested through budget categories Travel and Individual support These costs are additional to costs supported by unit contributions Financing Mechanism Supporting Docs Reimbursement of 100% of the eligible costs actually incurred Invoices of the actual costs incurred specifying the following: name and address of the body issuing the invoice amount and currency date of the invoice Proof of payment Other proofs such as proof of disability 26

27 Exceptional Costs Eligible Costs Eligible Costs Ineligible Exceptional Costs Costs related to sub contracting or the purchase of goods or services as approved in Annex II to grant agreement Costs related to the depreciation costs of equipment or other assets (both new and second hand) comply with Art. II.10 and international and usual accounting practices of the beneficiary Costs of rental or lease of equipment or other assets (cannot exceed the depreciation costs of similar equipment/assets and are exclusive of any finance fee) Costs that cannot be provided directly by the participating organisations Corresponding to the project eligibility period Equipment purchase, rental or lease only the amount corresponding to the share of time of the use of the equipment can be claimed Any activities funded from the budget category of Intellectual Outputs Purchase of equipment used by the participating organisations for their normal activities Purchase of regular office equipment 27

28 Exceptional Costs Financing Mechanism Supporting Docs Reimbursement of 75% of the eligible costs actually incurred OR 50,000 (excluding the costs of a financial guarantee, if required) WHICHEVER IS THE LOWEST Sub contracting and expensive travel costs: Invoices of the actual costs incurred, specifying the following: name and address of the body issuing the invoice amount and currency date of the invoice Proof of payment Depreciation costs: Proof of the purchase, rental or lease of equipment as recorded in your accounting statements. Proof of payment The Coordinator will be required to provide all supporting documents for Exceptional Costs at Final Report stage 28

29 Other Financial Records & Evidence BANK TRANSFER DOCUMENTS (see art. I.4.8 and II.2.3 of GA) showing that payments have been made to partners: Official documents from your bank, showing the date and amount transferred and clearly stating the partner s organisation name Not internal requests for payment Alternatively: official documents from your Partner s bank showing the name of the Partner, the date and amount received and the name of the organisation transferring the money Best practice: confirmations of receipts of payments from Partners Summary of organisations subsistence, depreciation and VAT policies 29

30 Budget Transfers Changes without amendment to the contract: Up to 20% of the funds from Project Management and Implementation, Transnational Project Meetings, Intellectual Outputs, Multiplier Events, LTT Activities and Exceptional Costs to any budget category except for Project Management and Implementation and Exceptional Costs Increase in a destination budget category max 20% No budget transfer is allowed to a budget category for which grant awarded was 0 (as per Annex II) Money can be transferred from any budget category to Special Needs Support even if its original awarded grant was 0. max increase of 20% does not apply in this case Please check art. I.3.3, II.11 and II.22 of the grant agreement Adding subcontracts not provided for in Annex II is not allowed unless approved by the Commission as per art. II.11 30

31 Financial Monitoring The financial management is in line with the rules and regulations as set out in the contract Verification that the required financial systems are in place Supporting original documentation is available for all financial expenditure Evidence that activities have taken place To check the relevance and eligibility of the activity and the participants 31

32 Financial Management Record Keeping You should only keep original documents for your own organisation Remaining Partners (beneficiaries) should keep their own original documents, stored in any appropriate medium for the required duration: for projects of and under 60K for 3 years after the final payment is made for projects over 60K for 5 years after the final payment is made Originals from all Partners will be required in the event of any checks or audits Keep documents in a format and language which would allow the Irish NA or any external bodies authorised to check your project to understand the contents of the supporting documents provide brief translation where needed! The National Agency will return the original documents submitted to the Coordinator upon completion of any audits or checks. 32

33 Financial Management Suggestions for Good Financial Management Use a project specific Euro bank account Outline financial arrangements in partnership agreements Appoint a Financial Officer Develop internal financial monitoring systems Maintain all financial records and audit trail Contact your Project Officer/ Financial Officer if in doubt. 33

34 Good Luck Contact person Project Content (VET): Siobhan Wallace Contact person Finance: Ronan Ivory and Contact person Finance: Brigid Kelly and Contact person Finance: Emmanuelle Place and Contact person Finance: Weronika Gasior and Web: 34