‘PLASMON’ Administrative and financial management issues Kick-off meeting Budapest, February 2011

Content Block I. Management structure Block II. Reporting Block III. Financial management Pre-financing and interim payments Pre-financing and interim payments Eligible costs, cost categories Eligible costs, cost categories Justification of costs Justification of costs Block IV. Implementation Sub-contracting Sub-contracting Contract modification Contract modification Quality control Quality control

BLOCK I. MANAGEMENT STRUCTURE

Management structure Objectives and tools (GA, Ann.I, B, p23.) Objectives and tools (GA, Ann.I, B, p23.) Establishment of best practice project management Establishment of best practice project management Web-based project platform Web-based project platform Training of partners Training of partners Project Coordinator (GA, Ann.I, B, p24.) Project Coordinator (GA, Ann.I, B, p24.) ELTE (Mr. János Lichtenberger) ELTE (Mr. János Lichtenberger) Interface btw REA and Consortium Interface btw REA and Consortium Overall management (technical, administrative and financial) Overall management (technical, administrative and financial) Coordination and supervision of work performed Coordination and supervision of work performed Monitoring of project indicators Monitoring of project indicators Collecting data for reports Collecting data for reports Financial flow Financial flow

Management structure Project Management Committee (GA, Ann.I, B, p24-25.) Project Management Committee (GA, Ann.I, B, p24-25.) i.e General Assembly in CA i.e General Assembly in CA Overall management aspects Overall management aspects To be constituted at the kick-off meeting To be constituted at the kick-off meeting Internal regulations of PMC to be defined: Internal regulations of PMC to be defined: Members: ELTE, NERC-BAS, ELGI, UNIVAQ, UO, HMO, NMT, IGFPAS Members: ELTE, NERC-BAS, ELGI, UNIVAQ, UO, HMO, NMT, IGFPAS Fields of intevention, decision-making Fields of intevention, decision-making Voting structure Voting structure Project Management Office (ELTE) (GA, Ann.I, A, p21.) Project Management Office (ELTE) (GA, Ann.I, A, p21.) i.e Management Support Team in CA i.e Management Support Team in CA Day-to-day management Day-to-day management Easy-to-use templates Easy-to-use templates Consolidation of financial data on a 6-monthly basis Consolidation of financial data on a 6-monthly basis Collecting and consolidating WP leaders’ input Collecting and consolidating WP leaders’ input Contact point and Help desk for partners Contact point and Help desk for partners

Management structure Technical Committee (GA, Ann. I, B, p23.) Technical Committee (GA, Ann. I, B, p23.) Global Strategy Global Strategy Assessment of technical risks Assessment of technical risks Corrective actions Corrective actions

BLOCK II. REPORTING

Reporting Quarterly management reports –informal Quarterly management reports –informal 6-monthly financial reports 6-monthly financial reports Annual reports – for each reporting period Annual reports – for each reporting period Final report – after the end of the project Final report – after the end of the project

Management reports Technical report Technical report Summary on the progress and on the status of the project Summary on the progress and on the status of the project Milestone status and percentage of task completion Milestone status and percentage of task completion Each quarterly period Each quarterly period First management report: period of 1 February April 2011 First management report: period of 1 February April 2011 Deadline of submission to the coordinator: 16 May 2011 Deadline of submission to the coordinator: 16 May 2011 Deadline of submission to REA: 30 May 2011 Deadline of submission to REA: 30 May 2011

Annual report Overview of the progress of work (achievements, milestones, technical amendments and corrective actions) Overview of the progress of work (achievements, milestones, technical amendments and corrective actions) Summary cost statement based on the cost statements of the partners Summary cost statement based on the cost statements of the partners Justification of the costs Justification of the costs First annual report: 1 February February First annual report: 1 February February Deadline of submission to the coordinator: 20 February Deadline of submission to the coordinator: 20 February Deadline of submission to REA: 1 April Deadline of submission to REA: 1 April 2012.

Final report Summary report covering results, conclusions and socio-economic impact of the project Summary report covering results, conclusions and socio-economic impact of the project Deadline of the submission to REA: 60 days after the end of the project Deadline of the submission to REA: 60 days after the end of the project

BLOCK III. FINANCIAL MANAGEMENT

Pre-financing Amount: ,87 EUR - 53,3% of EU contribution Amount: ,87 EUR - 53,3% of EU contribution 5% (98.602,49 EUR) directed to Guarantee Fund  actual amount of pre-financing: ,38 EUR 5% (98.602,49 EUR) directed to Guarantee Fund  actual amount of pre-financing: ,38 EUR Deadline: shall be paid to the coordinator within 45 days following the date of entry into force of the grant agreement. (grant agreement art. 6) Deadline: shall be paid to the coordinator within 45 days following the date of entry into force of the grant agreement. (grant agreement art. 6) Distribution to partners Distribution to partners

Interim payments Principle: total amount of interim payments + pre-financing limited to 90% of the maximum EU contribution Principle: total amount of interim payments + pre-financing limited to 90% of the maximum EU contribution Due following the approval of Annual Reports Due following the approval of Annual Reports The Coordinator is entitled to withhold any payments due to a Party to be in breach of its obligations The Coordinator is entitled to withhold any payments due to a Party to be in breach of its obligations The Coordinator is entitled to recover any payments already paid to a Defaulting Party The Coordinator is entitled to recover any payments already paid to a Defaulting Party

Final payment Due after the approval of the Final Report Due after the approval of the Final Report EU contribution minus the amounts already paid EU contribution minus the amounts already paid If total amount already paid would be higher than contribution accepted, the Commission will recover the difference If total amount already paid would be higher than contribution accepted, the Commission will recover the difference Commission will order the release of the beneficiaries‘ contribution to the Guarantee Fund Commission will order the release of the beneficiaries‘ contribution to the Guarantee Fund

Eligible costs Principles: Principles: Must be actual Must be actual Must be incurred by the beneficiary Must be incurred by the beneficiary Must be incurred during the duration of the project Must be incurred during the duration of the project Must be determined in accordance with the usual accounting and amangement principles and practices of the beneficiary Must be determined in accordance with the usual accounting and amangement principles and practices of the beneficiary Must be used for the achieving of the project objectives Must be used for the achieving of the project objectives Must be recorded in the accounts of the beneficiary Must be recorded in the accounts of the beneficiary Must be indicated in the estimated overall budget in Annex 1 Must be indicated in the estimated overall budget in Annex 1

Non-eligible costs indirect taxes including value added tax (except: airport tax) indirect taxes including value added tax (except: airport tax) duties: imposed on the importation, exportation, or consumption of goods, duties: imposed on the importation, exportation, or consumption of goods, interest owed, interest owed, provisions for possible future losses or charges, provisions for possible future losses or charges, exchange losses, cost related to return on capital, exchange losses, cost related to return on capital, costs declared or incurred, or reimbursed in respect of another EU/Euratom project, costs declared or incurred, or reimbursed in respect of another EU/Euratom project, debt and debt service charges. debt and debt service charges.

Cost categories Direct costs: attributed directly to the project and identified by the beneficiary Personnel Personnel directly hired by the beneficiary directly hired by the beneficiary permanent or temporary with the beneficiary. permanent or temporary with the beneficiary. total remuneration: salaries plus social security + charges (holiday pay, pension contribution, health insurance, etc.) total remuneration: salaries plus social security + charges (holiday pay, pension contribution, health insurance, etc.) only the costs of the actual hours worked may be charged.  Time recording system only the costs of the actual hours worked may be charged.  Time recording system Material Material Costs corresponding to AWDANet, AARDDVARK and EMMA networks broken down by partners (GA, Ann.I, B, p42-43.) Costs corresponding to AWDANet, AARDDVARK and EMMA networks broken down by partners (GA, Ann.I, B, p42-43.) Depreciation costs according to national accountancy regulations – avoid ‘excessive cost’ category Depreciation costs according to national accountancy regulations – avoid ‘excessive cost’ category + consumable and services + consumable and services Travel Travel Travel + subsistence Travel + subsistence Technical: cca. 3 travels per year; international conferences, installation of equipment Technical: cca. 3 travels per year; international conferences, installation of equipment Management: budgeted under ELTE heading Management: budgeted under ELTE heading Audit : subcontracted by ELTE Audit : subcontracted by ELTE Indirect cost (‘Other’): overhead – 55% of Direct costs

Justification of costs certificates must be submitted following the templates provided in Annexes D & E certificates must be submitted following the templates provided in Annexes D & E certificates must be prepared and certified by an auditor qualified certificates must be prepared and certified by an auditor qualified public bodies, secondary and higher education establishments and research organisations to opt for a competent public officer to provide these certificates public bodies, secondary and higher education establishments and research organisations to opt for a competent public officer to provide these certificates Certificates on the Financial Statements (CFS) are not required for indirect actions entirely reimbursed by means of lump sums or flat rates. CFS should be provided only once the threshold mentioned in the ECGA (EUR 375,000) has been reached. Certificates on the Financial Statements (CFS) are not required for indirect actions entirely reimbursed by means of lump sums or flat rates. CFS should be provided only once the threshold mentioned in the ECGA (EUR 375,000) has been reached.

BLOCK IV. PROJECT IMPLEMEMTATION

Contract modification transfer of budget between activities and beneficiaries is allowed without the need for an amendment of the GA. transfer of budget between activities and beneficiaries is allowed without the need for an amendment of the GA. PC should verify on a case-by-case basis potential impact on the "Description of Work" - consultation with Project Officer PC should verify on a case-by-case basis potential impact on the "Description of Work" - consultation with Project Officer Amendment to the GA necessary if budget transfer arises from a significant change in Annex I. Significant change refers to a change that affects the technical work as foreseen in Annex I to ECGA, including the subcontracting of a task that was initially meant to be carried out by a beneficiary. Amendment to the GA necessary if budget transfer arises from a significant change in Annex I. Significant change refers to a change that affects the technical work as foreseen in Annex I to ECGA, including the subcontracting of a task that was initially meant to be carried out by a beneficiary.

Project Implementation Quality Control Management Quality Control Management Quality Plan Quality Plan 2 QC partners for each deliverables to be assigned during kick-off 2 QC partners for each deliverables to be assigned during kick-off Sub-contracting Sub-contracting Only for audit Only for audit

Project Implementation Communication Communication Technical matters: Mr. János Lichtenberger Technical matters: Mr. János Lichtenberger Financial and administrative matters: Mr. Gábor Rónaszéki Financial and administrative matters: Mr. Gábor Rónaszéki Internal guidelines with relevant regulations and templates are envisaged to be provided to partners Internal guidelines with relevant regulations and templates are envisaged to be provided to partners Financial network: the partners are asked to provide contact details of their financial staff members Financial network: the partners are asked to provide contact details of their financial staff members

Thank you for your attention!