1. Participation and dissemination Rules
Contracts
FP6

2. PRESENTATION OUTLINE Legal Framework & General Principles
Participation
Contract Structure
Collective Approach
signature and entry into force
collective Responsibility
consortium Agreement
Provisions of general conditions, special reference to:
financial provisions
controls and sanctions

3. INTERNATIONAL AGREEMENTS PARTICIPATION AND DISSEMINATION RULES
Legal Framework EC
TREATY
INTERNATIONAL AGREEMENTS
PARTICIPATION AND DISSEMINATION RULES
FRAMEWORK PROGRAMME
CONTRACTS
GUIDELINES ON
EVALUATION AND
SELECTION
PROCEDURES
SPECIFIC PROGRAMMES
Other relevant
EC Regulations FINANCIAL REGULATION
WORK PROGRAMMES

4. General Principles Reflect requirements of the Legal Framework
Simplification
No different categories of contractors
Reduction of the number of contracts
Collective approach
Greater flexibility
Greater autonomy for participants

5. Minimum number of participants
Can be increased by work-programmes
At least 3 independent legal entities established in 3 different Member States or Associated States, of which at least 2 in Member States or Associated Candidate Countries
1 single legal entity for specific support actions
New Legal entities established in the Associated Candidate Countries and International European Interest Organisations = legal entities from
Member States

6. Entities established in third countries and International organisations
INTEGRATING PART
Participation open for all over the minimum number
Funding
FOR INCO COUNTRIES like Member States with a budgetary limit
FOR OTHERS if essential to carry out the project or if foreseen by the Work Programme or the call

7. Entities established in other countries and International organisations
STRUCTURING & REINFORCING PARTS
Participation
COUNTRIES WITH CO-OPERATION AGREEMENT under the Agreement’s conditions
COUNTRIES WITHOUT CO-OPERATION AGREEMENT if necessary to carry out the project or if foreseen by the Work Programme or the call
Funding if essential to carry out the project or if foressen by the Work Programme or the call

8. Contract Structure Core contract (standard with specifics of project)
Annex I (technical tasks - the “project”)
Annex II - general conditions
(standard, applicable to every instrument)
Annex III - instrument specific provisions (variable per instrument)

9. Signature and entry into force
Contractual link of all contractors with the Commission
- New Contract enters into force upon signature of coordinator and Commission
Coordinator must ensure other contractors sign within delays
Distribution of advance possible after minimum requirements met
Project begins in the date established in the contract (this can be before the contract enters into force but usually later)

10. Changes in consortium membership
New at the request of the coordinator, deemed to act on behalf of the consortium
New with implicit agreement of the Commission within 6 weeks
New in IP/NoE, enlargement of the consortium to new participants and new activities may be foreseen. This enlargement follows then a call launched by the consortium with evaluation of proposals by external experts

11. New Collective responsibility
Technical Responsibility
Financial Responsibility
Used as a last resort
Limited in proportion to the participant’s share to the project, up to the total amount they are entitled to receive
International Organisations, public bodies or entities guaranteed by MS/AS solely responsible for their own debts
Exceptions for specific actions for SME’s and fellowships, and when duly justified for specific support actions

12. Consortium agreement
Regulates internal organisation and management of consortium
New Compulsory unless otherwise mentioned in the call for proposal
Between contractors - NOT signed nor approved by the Commission
After or (preferably) before signing the contract (some decisions must be made by the participants before signature of contract, e.g. exclusion of pre-existing know-how)
Non binding guidelines provided by the Commission

13. Financial Provisions Grant for integration Grant to the budget
Flat-rate
Networks of excellence 
Integrated Projects 
Specific targeted research projects 
Specific research projects for SMEs 
Integrated initiatives relating to infrastructure 
Actions to promote human resources & mobility  
Coordination actions 
Specific support actions  

14. Financial Provisions Grant for integration (NoE) New mechanism
Calculation basis: number of researchers to be integrated
not as a %age of the budget for the JPA
Payment basis: completion of the JPA + costs certificates mentioning that the costs incurred are greater than the grant itself

15. Financial Provisions Grant to the budget
Calculation basis: %age of the preliminary budget of the execution plan
Payment basis: covers a share of the expenditure incurred, necessary for the execution of the indirect action
%age depends on:
type of activity
participant involved (cost models)

16. Cost Models and maximum reimbursement rates
Financial Provisions
Cost Models and maximum reimbursement rates
FC: 50% of actual direct and indirect costs
For Specific Support Actions and Coordination Actions the Indirect cost are limited to % of total actual direct costs, except subcontracting
New FCF : 50% of actual direct costs + flat rate for indirect costs (% of total actual direct costs, except subcontracting)
AC: 100% of actual additional direct costs + flat rate for indirect costs (% of total actual direct costs, except subcontracting)

17. Financial Provisions Type of activity
Research and technological development (including innovation related activity) - 50% (100% AC)
Demonstration - 35% (100% AC)
Training - 100% (100% AC)
New Consortium Management - reimbursed up to 100% within the limit of 7% of community contribution
Other activities specific to an instrument - 100% (100% AC)

18. Financial Provisions Identification of costs
New No cost categories but list of ineligible costs
To be eligible costs must be :
actual, economic and necessary for the project
incurred during the duration of the project
recorded in the accounts
follow contractors own accounting rules
Not give rise to profit
Audit certificates by external auditor
(For public bodies - competent public auditor)

19. Controls and Audits Objective to reinforce ex-post controls
To simplify and streamline ex-ante controls
As a counterbalance to increased autonomy for participants

20. Controls and Audits Reports Periodic activity and financial reports
Supplementary reports if foreseen
(in Annex I or III)
Audit certificates
New monitoring by Commission with external experts
Scientific, technological, and financial audits
Ethical audits

21. Sanctions Financial irregularity: exclusion criterion
Recovery decisions (art. 256 EC Treaty)
Other sanctions in contracts (overclaims)

22. Thank You
For more information
g-groups/model-contract/index_en.html