“CHANGING OF FINANCIAL PLANS” - crucial aspects regarding the change of financial plans on programme- and project-level within INTERREG IIIA	Agenda Summary of discussion List of participants

AGENDA

SUMMARY OF DISCUSSION

General introduction of the IQ Train project
Specification of the agenda
Introduction of participants and their questions and topics to discuss

Detailed definition of the subject:
Changing of financial plans on project level and programme level

Mr. Dušan Sláma:

Changing of financial plans:
- preparation of budget
- monitoring of eligible costs
- changes of the budget

Changes of the budget (CZ):
1. without approval (up to 15% in the framework of one chapter) – the project owner informs the Centre for Regional Development in writing
2. must be approved by Managing Authority (over 15% in the framework of one chapter) – proposal has to be submitted 30 days ahead, appendix to the Contract necessary
3. approval by Steering Committee required (increase in the total allocation on the project) – request for the change must be submitted 10 weeks before the Steering Committee meeting

EU Guidelines, national regulations (CZ):
- 1260/1999 Council Regulation
- 448/2004 Commission Regulation
- Handbook „Eligible costs“ – ca. 40 pages
- “Manual for the Applicant and Final Beneficiary“ ca. 120 pages

Changes shall be made on the basis of the contract appendix, but only before the realisation of the expenditures.

Czech system: Changing of financial plans is quite complicated (especially procedure of applying for state budget money – the appropriate “ISPROFIN” form is a “real challenge”).

Carinthia – more liberal system, financial plan and activities in the framework of the project can be changed without any percentual limitation, but the original objectives of the project have to be fulfilled (especially the activities). The project owner informs the Implementing Body (e-mail, letter...). IB decides (official letter, e-mail...) without approval by Managing Authority or Steering Committee. A detailed financial plan is requested. ERDF share is fixed to 50%.
In Slovenia, the Final Beneficiary can apply for interim payments up to 4 times a year without any limits of the total eligible costs of the project.

Change of project activities, Armin Schabus:
Different additional activities proposed by the Final Beneficiary for the same money: not possible, because the activities have not been approved by Steering Committee. Only in thoses case where the activities supplement already planned activities related to the project. Recommendation: not to mention e. g. number of published brochures in the application. The activity must not be changed but there is no difference between seminary or workshop, between brochure and leaflet. Example: in the framework of Technical assistance, the activity given in the application form is “leaflet” but you can also print leaflet and a brochure “Best Practice” for the some money.

Manuela Brückler, Ursula Empl:
The financial plan changes on program level have to be made a long time ahead, it is necessary to apply for the change in the programme document (after the midterm evaluation at best). It is very difficult making the change during the last year of the programming period (only the money related to the actual year and to the following years can be shifted, the previous allocations cannot be changed). The request must be made until 15 October of the respective year at the latest.

Approach:
„top-down“ – starting from priorities
„bottom-up“ – starting from the regional level

Co-financing is based on the 3:1 rule in the Czech Republic – 75% EU / 25% public money, private financing is not allowed.
Austria – 50% EU / 1/3 (16,66%) public money, the rest can be financed by private subjects.

“Overbooking” of measure allocation (more projects than money approved): maximum of 20% is suggested for each measure (because some of the money allocated to the projects is usually given back). Several projects unfinished in 2006: It is possible to approve additional projects and draw 100 % of the measure allocation. Eventual overdraw has to be paid by national funds.

Small projects Phare CBC: All projects approved, projects at the end of the list without guaranteed financing (substitutes). This system cannot be used in case of INTERREG IIIA, where the eventual surplus money is found out at the end of the programme period.
How to get information about the progress of project implementation (because of the overbooking planning)?
Slovenia does not realize overbooking.
The access to the monitoring system is necessary or the information shall be sent to the IB. If the interim financing (and reporting) is limited (Czech Rep.), most information is obtained at the end of the programming period.

LIST OF PARTICIPANTS