EcoPlasBrick 36M MEETING - Venezia 19th June 2014 EcoPlasBrick Innovative recycled plastic based panels for building field Final MEETING Venezia, 19 June 2014 AGREEMENT NUMBER: ECO/10/277233/SI

EcoPlasBrick 36M MEETING - Venezia 19th June 2014 Financial & Administrative Issues Budget: Total eligible costs of the action are estimated at €.

EcoPlasBrick 36M MEETING - Venezia 19th June 2014 Financial & Administrative Issues Duration of the project: Starting date – 01/07/2011 Duration – 36 months Reporting periods:  Month 1 – Month 10 – First technical progress report  Month 1 – Month 20 – Interim technical implementation report and Interim financial statements  Month 21 – Month 28 – Second technical progress report  Month 1 – Month 36 – Final technical implementation report and Final financial statements + where required, Certificates on the financial statements

EcoPlasBrick 36M MEETING - Venezia 19th June 2014 Financial & Administrative Issues Eligibility criteria: Costs must relate to the action and be necessary Costs must be reasonable and justified Costs must have been budgeted Costs must be generated during the period of the action, i.e. from contract start (exception of costs relating to final reports and audit certificates -> Max. + 2 months) Costs must abide by the relevant general accounting principles and participant’s internal rules + comply with sound financial management Costs must be identifiable and verifiable in particular being recorded in the accounting records of the beneficiary and determined according to the applicable accounting standards of the country where the beneficiary is established and according to the usual cost- accounting practices of the beneficiary Costs claimed during project must actually be incurred

EcoPlasBrick 36M MEETING - Venezia 19th June 2014 Ineligible costs (see grant agreement): Return on capital Debt and debt service charges Provisions for losses or potential future liabilities Interest owed Doubtful debts Exchange losses VAT, unless the beneficiary can show that he is unable to recover it Costs covered by another action receiving a Community grant Excessive or reckless expenditure Financial & Administrative Issues

EcoPlasBrick 36M MEETING - Venezia 19th June 2014 All costs should be budgeted in whole Euros Round the figures, do not just hide the decimals All costs should be budgeted net of value added tax (VAT) The proposer may only budget gross amounts (incl. VAT) if he provides a certificate from his tax authority stating he can not recover VAT Some formal principles in establishing the budget will ease everybody's life Financial & Administrative Issues

EcoPlasBrick 36M MEETING - Venezia 19th June 2014 Direct costs: The eligible direct costs for the action are those costs which are identifiable as specific costs directly linked to performance of the action and which can therefore be booked to it direct. In particular, the following direct costs are eligible: Direct staff costs assigned to the action Travel and subsistence allowances for staff taking part in the action, Subcontracting costs entailed by other contracts awarded by the beneficiary for the purposes of carrying out the action The purchase cost of equipment (new or second-hand) Other specific costs, these are costs arising directly from requirements imposed by the agreement (dissemination of information, specific evaluation of the action, audits, translations, reproduction, etc.) Financial & Administrative Issues

EcoPlasBrick 36M MEETING - Venezia 19th June 2014 Direct staff costs: Only technical and specialised staff may be declared Costs for administrative support staff belong to the indirect cost category Identify each category of staff in a clear and unambiguous manner Examples of staff categories: project manager, expert, senior expert, junior expert, senior engineer, technician, etc The inclusion of freelance ‘staff’ (=inhouse consultants) depends on their contractual terms and conditions of work: They work in the premises of the beneficiary using its infrastructure They take directions from the beneficiary The outcome of the work belongs to the beneficiary Teleworking only if standard working conditions are applicable to the teleworker Financial & Administrative Issues

EcoPlasBrick 36M MEETING - Venezia 19th June 2014 Staff cost per hour: Only the cost of staff assigned to the action may be declared: comprising actual salaries plus social security charges and other statutory costs included in the remuneration. Real costs = direct labour costs i.e. wages and salaries plus related obligatory social security charges and other statutory costs (numerator). The denominator is the average number of productive hours : Productive hours are the hours worked, whether for a commercial or project purpose or for internal matters The EACI will review rate calculations on this basis The number of hours declared must reflect the work that has been done. The labour rate reflects the economic conditions prevailing for the beneficiary. Acciona 145 – ACA 145 – Consorzio TRE 143 – Motulab 145 – Pandora 145 Financial & Administrative Issues

EcoPlasBrick 36M MEETING - Venezia 19th June 2014 Travel & subsistence costs:  Only for staff taking part in the action (travel costs of subcontractors should be included in the subcontracts)  The travel costs should be based on the beneficiary’s usual practices and reflect the most economical options  Keep track of trips (e.g. keep flight boarding passes)  Check if the amount of trips is reasonable Financial & Administrative Issues

EcoPlasBrick 36M MEETING - Venezia 19th June 2014 Subcontracting:  Relates to purchase of services, not of goods! Subcontracting may only cover the execution of a limited part of the action: Limited tasks outsourced by the beneficiary, and for hiring special expertise Does not include services ancillary to the main work, e.g. printing of documents, which should be declared under "Other specific costs" Subcontractors should be selected on transparent grounds, to the best offer, taking into consideration price and quality (best value for money) In a very simplified procedure, three different offers should be obtained and evaluated against common established criteria Beneficiaries can not subcontract services or sell equipment to one another or internally (e.g. between departments or affiliates)!  < 35% of total eligible costs, unless justified in Annex I  A clear description of the service should be given with the name of the provider Financial & Administrative Issues

EcoPlasBrick 36M MEETING - Venezia 19th June 2014 Equipment:  The purchase cost of equipment (new or second-hand) must be written off in accordance with the tax and accounting rules applicable to the beneficiary and generally accepted for items of the same kind.  Only the portion of the equipment’s depreciation corresponding to the duration of the action and the rate of actual use for the purposes of the action may be taken into, except where the nature and/or the context of its use justifies different treatment. Financial & Administrative Issues

EcoPlasBrick 36M MEETING - Venezia 19th June 2014 Other specific costs: These are costs arising directly from requirements imposed by the agreement. Such costs include all the other direct costs that cannot be included under the previous cost categories for direct costs. Examples:  Costs of financial guarantees  Costs of certificates on financial statements  Printing of dissemination material, subscription fees to conferences  Specific evaluation of the action  Travel costs for people who are neither members of staff nor subcontractors (for instance experts)  Translations, reproduction, etc.  Specific costs incurred by the coordinator for fulfilling his responsibilities in his capability of the body responsible for the overall management of the action and the co-ordination of the beneficiaries !! Electricity & Gas are do not belong to “Other Specific Costs”. They are part of overhead. Financial & Administrative Issues

EcoPlasBrick 36M MEETING - Venezia 19th June 2014 Indirect costs: The eligible indirect costs for the action are those costs which are not identifiable as specific costs directly linked to performance of the action which can be booked to it direct, but which can be identified and justified by the beneficiaries using their accounting system as having been incurred in connection with the eligible direct costs for the action. They may not include any eligible direct costs. Indirect costs are eligible for flat-rate funding fixed at 7% of the beneficiaries total eligible direct costs. Indirect costs need not be supported by accounting documents. Financial & Administrative Issues

EcoPlasBrick 36M MEETING - Venezia 19th June 2014 Non-eligible costs: Return on capital Debt and debt service charges Provisions for losses or potential future liabilities Interest owed Doubtful debts Exchange losses VAT, unless the beneficiary can show that he is unable to recover it; Costs declared by a beneficiary and covered by another action or work programme receiving a Community grant Excessive or reckless expenditure Financial & Administrative Issues

EcoPlasBrick 36M MEETING - Venezia 19th June 2014 VAT issue: As a general rule - all costs should be declared net of value added tax (VAT) BUT! - The beneficiary may declare gross amounts (incl. VAT) if he/she provides a certificate from his tax authority stating he can not recover VAT Financial & Administrative Issues

EcoPlasBrick 36M MEETING - Venezia 19th June 2014 Budget transfers: A beneficiary may, when carrying out the action, adjust the estimated budget by transfers between items of eligible costs, provided that this adjustment of expenditure does not affect the implementation of the action and the transfer between items does not exceed 20% of the total costs of the action. Beneficiaries may, when carrying out the action, transfer between themselves the estimated budget set out in Annex II, provided that this adjustment of expenditure does not affect the implementation of the action and the transfer does not exceed 20% of the total eligible costs of the recipient beneficiary and the transfer does not exceed 50% of the total costs of the giving beneficiary. Financial & Administrative Issues

EcoPlasBrick 36M MEETING - Venezia 19th June 2014 Funding rates: The Agency will contribute a maximum of € for the project. NameStatus% EC funding CETMAOther50 Consorzio TREOther50 PandoraSmall50 MotulabSmall50 AccionaLarge50 ACAOther50 Financial & Administrative Issues

EcoPlasBrick 36M MEETING - Venezia 19th June 2014 Payments:  First pre-financing The first pre-financing is intended to provide the beneficiaries with a float. The Agency will transfer the First pre-financing to the coordinator within 45 calendar days from the date when the signed agreement and all the mandates are officially received. The first pre-financing is equal to 30% of the maximum EC funding specified in the agreement, i.e. 30% * € = ,90€  Second pre-financing The coordinator may request a second pre-financing payment provided that 100% of the first pre-financing payment has been used up. The amount of the second pre-financing shall be paid to the coordinator upon approval by the Agency of the interim technical implementation report of the action and the interim financial statements. The aggregate amount of the pre-financing payments shall represent 60% of the maximum amount of the grant.  Payment of the balance (the final payment) Payment of the balance, which may not be repeated, is made after the end of the action on the basis of the costs actually incurred by the beneficiaries in carrying out the action, and deducting the amount of any pre-financing previously paid to the beneficiary. The payment of balance shall be effected on approval by the Agency of the final technical implementation report of the action and the final financial statements. Financial & Administrative Issues

EcoPlasBrick 36M MEETING - Venezia 19th June 2014 Payments (2): * Provided that 100% of the first pre-financing payment has been used up **Based on the eligible costs actually incurred, and considering the amount of any pre- financing previously paid to the beneficiary Financial & Administrative Issues

EcoPlasBrick 36M MEETING - Venezia 19th June 2014 Certificate on financial statements: Each beneficiary for whom the amount of Community funding exceeds € shall provide an external audit report on the action’s accounts at the time of the Final payment. No template are available. Financial & Administrative Issues

20M MEETING - Brindisi 31 January 2013 EcoPlasBrick Project reports and documents Practical procedures and deadlines

20M MEETING - Brindisi 31 January 2013 EcoPlasBrick Financial & Administrative Issues Time Sheet:

20M MEETING - Brindisi 31 January 2013 EcoPlasBrick Financial & Administrative Issues Estimated hours: The table below shows the hours spent in the project by each partner at last check (month 28) and the total foreseen in the contract

20M MEETING - Brindisi 31 January 2013 EcoPlasBrick Financial & Administrative Issues

20M MEETING - Brindisi 31 January 2013 EcoPlasBrick Financial Report: Please use the file of interim report Please complete with the name, categories, Number of hours and rate Financial & Administrative Issues

20M MEETING - Brindisi 31 January 2013 EcoPlasBrick Please complete with the name of SUB, date, description of the work, amount Financial & Administrative Issues

20M MEETING - Brindisi 31 January 2013 EcoPlasBrick Please complete with the name, destination, date, number of days, purpose and amount Financial & Administrative Issues

20M MEETING - Brindisi 31 January 2013 EcoPlasBrick Please complete with the description of machine, cost, period of use, depreciation and allocation Financial & Administrative Issues

20M MEETING - Brindisi 31 January 2013 EcoPlasBrick Please complete with the supplier, description and amount Financial & Administrative Issues

20M MEETING - Brindisi 31 January 2013 EcoPlasBrick Technical Progress Reports Through the CO and in the format provided by the Agency, the Co-beneficiaries shall submit: –1 st technical progress report, covering M1-M10, within 31/05/2012 –an interim technical implementation report (and interim financial statements), covering M1-M20, within 31/03/2013 –2 nd technical progress report, covering M21-M28, within 30/11/2013 –a final technical implementation report (and final financial statements), within 60 days from end of project activities, 31/08/2014 MADE

20M MEETING - Brindisi 31 January 2013 EcoPlasBrick Please send me the financial report by July 10 th Please send to CETMA two signed version by August 1 st by courier with the proper audit certificate Remember to send the copies of the invoices Deadlines

20M MEETING - Brindisi 31 January 2013 EcoPlasBrick Thank you for your attention Sara Parodi