1. Delegation of the European Union to India Peace-building Partnership Regional Call for Proposals – South Asia Information Session New Delhi, 21 MAY 2013 Peace-Building Partnership Call for Proposals South Asia 2013

2. Delegation of the European Union to India Budget of the Action Annex B - full application (Annex III - grant Contract)

3. Delegation of the European Union to India Costs estimation In your Concept note you have indicated: Amount of the Contribution requested from the EU in EURO and as a percentage of total budget of the Action. For The Full Application Pay attention to: -Respect of minimum and maximum (in terms of amounts and % as per p. 5 of the Guidelines). -Final detailed budget (at time of full application): the requested contribution should not vary by more than 20% compared to the amount requested at the concept note stage (p. 14, 2.2.5. of the Guidelines).

4. Delegation of the European Union to India HOW MUCH MONEY? Ref Guidelines 1.3 Total available: € 2 million Lot 1, 2, 3: € 400,000 per lot Lot 4: € 800,000 Size of grants: Lot 1, 2, 3: € 200,000 - € 400,000 Lot 4: € 300,000 - € 800,000 EU co-funding: 50-80% of total eligible costs

5. Delegation of the European Union to India For 80 % EU contribution Lot 1, 2, 3: 250,000. EUR< Total budget<500,000. EUR Lot 4: 375,000. EUR < Total budget <1,000,000. EUR

6. Delegation of the European Union to India Full proposal – Budget of the Action Ideally, Annex B will become Annex III of you contract with minor modifications. EU Practical Guide (p 133, 6.5.10.2); “The budget proposed by the successful applicant at the call for proposals stage must be corrected to remove any arithmetical errors or ineligible costs prior to signing the contract” Corrections to the budget are time consuming Might delay the contracting Try to get the budget right in the proposal !!

7. Delegation of the European Union to India

8. ELIGIBILITY OF COSTS Ref. Guidelines 2.1.5 Actual costs incurred Simplified cost options (Annex K) –Unit costs –Lump sums –Flat-rate Contingency reserve (max 5 %) Indirect costs / overheads (Max 7%) Taxes are eligible if the beneficiary can show it cannot reclaim them. Contribution in-kind: not allowed.

9. Delegation of the European Union to India HOW TO FILL UP THE BUDGET ANNEX B

10. Delegation of the European Union to India Ideally, the Applicant (the Coordinator) should systematically involve co-applicants, Affiliated entities and Associates (if any) in the design of the budget. The Coordinator is the main interlocutor of the EU.

11. Delegation of the European Union to India Action as a whole MUST BE EXPRESSED IN EUROS Budget for the Action 1 All YearsYear 1 2 Costs Unit (13)# of units Unit rate (in EUR) Costs (in EUR) (3) Unit# of units Unit rate (in EUR) Costs (in EUR) 1. Human Resources 1.1 Salaries (gross salaries including social security charges and other related costs, local staff) 4 1.1.1 Technical Per month 1.1.2 Administrative/ support staff Per month Subtotal Human Resources

12. Delegation of the European Union to India 1st page: Budget 2nd page: justification 3rd page: sources of funds

13. Delegation of the European Union to India All YearsYear 1 Costs Un it # of units Unit rate (in EUR) Costs (in EUR) Un it # of units Unit rate (in EUR) Costs (in EUR) 6. Other Subtotal Other 7. Subtotal direct eligible costs of the Action (1-6) 8. Provision for contingency reserve (maximum 5% of 7, subtotal of direct eligible costs of the Action) 9. Total direct eligible costs of the Action (7+ 8) 10. Administrative costs (maximum 7% of 9, total direct eligible costs of the Action) 11. Total eligible costs (9+10) 12. Taxes 11 13. Total accepted 11 costs of the Action (11+12) Total cost of the Action (EU contribution + co-financing) Budget lines 12 & 13 NOT TO BE FILLED IN

14. Delegation of the European Union to India AmountPercentage EUR % Expected Contributions EU/EDF contribution sought in this application (A) Other contributions (Applicant, other Donors etc) NameConditions Applicant Co-applicant Etc….. Revenue from the Action Expected TOTAL CONTRIBUTIONS Estimated Costs Estimated TOTAL ELIGIBLE COSTS 2 (B) EU/EDF contribution expressed as a percentage of total eligible costs 4 (A/B x 100) Excel sheet 3. Expected sources of funding & summary of estimated costs (1) As per heading 11 of the Budget (Total eligible costs) % with 2 decimals (e.g. 74.38 %) EU contribution

15. Delegation of the European Union to India How does it work ? AmountPercentage EUR % Estimated Costs Estimated TOTAL ELIGIBLE COSTS 2 (B) EU contribution expressed as a percentage of total eligible costs 4 (A/B x 100) Estimated TOTAL ACCEPTED COSTS 3 (C) EU contribution expressed as a percentage of total accepted costs 4 (A/C x 100) As per heading 11 of the budget NOT TO BE FILLED IN

16. Delegation of the European Union to India Eligibility of Costs (2.1.5. of the Guidelines) Also Refer to Annex G published with the Call for proposal, General Conditions of the grant Contract (e3h2_gencond_en[1]) Article 14. How to estimate the cost of a Project? - Necessary, - reasonable, justified, - principle of sound management - value for money, cost-effectiveness. - Costs normally borne by the applicant or co-applicants. List of ineligible costs. Amongst them: purchases of land or buildings; currency exchange losses; In narrative part, point 2.1.2. paragraphs on team proposed & main means for implementation of the action should be coherent with the budget.

17. Delegation of the European Union to India 1. Human Resources Make a distinction between Technical (1.1.1.) and Administrative / support staff (1.1.2.) HR should correspond to the narrative part: point 2.1.2. paragraphs on organisational structure and the team proposed for the implementation of the action (by function: there is no need to include the names of individuals) & main means for implementation of the action Think of an appropriate unit (month, day, hour…) All salaries are gross (direct taxes such as income tax of staff working on the action are eligible) Only Staff members appearing on the PAYROLL

18. Delegation of the European Union to India 1.Human Resources - Salaries 1.1. and 1.2. Salaries Refer to foot note no 4: if part time: % indicated alongside the title and reflected in the number of units (not in the unit rate). Ex: Project duration: 36 months Programme director will dedicate 10 % of his time Number of unit: 0.1 X 36= 3.6 months Unit rate: monthly salary Think of timesheets

19. Delegation of the European Union to India Annex III. Budget for the Action 1 All Years (48 months) CostsUnit# of unitsUnit rateCosts (in EUR)(in EUR) 3 1. Human Resources 1.1 Salaries (gross salaries including social security charges and other related costs, local staff) 4 1.1.1 Technical 1.1.1.1. Programme director (10 %) Per month =0.1*36= 3.6 15005,400. 1.1.2 Administrative/ support staff Per month 1.2 Salaries (gross salaries including social security charges and other related costs, expat/int. staff) Per month 1.3 Per diems for missions/travel 5 1.3.1 Abroad (staff assigned to the Action) Per diem 1.3.2 Local (staff assigned to the Action) Per diem 1.3.3 Seminar/conference participants Per diem Subtotal Human Resources Full monthly salary Part time reflected in number of units Indicate the % in the costs’ description

20. Delegation of the European Union to India 1. Human Resources – Per diems 1.3. Per diems (Refer to foot note no 5) Per diems are paid to staff on mission away from the base of operations or to participants of trainings, conference, seminars… Per diems cover accommodation, meals and local travel within the place of mission and sundry expenses. Per diems should be in line with those normally paid by the Organisation (refer to internal per diem rates) and in any case, cannot exceed rates of the EU per diem list http://ec.europa.eu/europeaid/work/procedures/implementation/per_diems/index_ en.htm Ideally, number of persons and number of day should be indicated If accommodation & meals for conference participants are paid by the Beneficiary directly to the hotel, it could go under heading 3.5.

21. Delegation of the European Union to India 2. Travel 2. Travel (Refer to foot note no 6) Place of departure and destination should be indicated (Delhi – Mumbai – Delhi) As a unit, better to use “trip” instead of “month” If the travel will be done by car - rental costs of car (budget line 3.1.) - fuel costs (4.1. Vehicle costs)

22. Delegation of the European Union to India 3. Equipment and Supplies 3.1. Purchase or rent of vehicle. Specify and also indicate in narrative part (means for the action): the purpose of the vehicle. To give details, please add sub-headings corresponding to category of equipment / costs (detailed and coherent with the narrative and the logical framework). At this stage, you have to know what will happen to the equipment at the end of the project (art 7 of Annex II) Lump sums are not acceptable except if simplified cost options have been approved by EU or for administrative costs (budget line: 10.)

23. Delegation of the European Union to India 3. Equipment and supplies 7 3.1 Purchase or rent of vehicles 3.1.1 Motorbikes x 3 (3 partners) Per motorbike3,007072.121Per motorbike3,007072.121 3.2 Furniture, computer equipment 3.2.1 Furniture set (all partners + applicant)Per set5,00164820Per set5,00164820 3.2.2 Computer and printer set x 4 (all partners)Per set4,004111.644Per set4,004111.644 3.2.3 Laptop computer x 1 (applicant)Per laptop1,00822 Per laptop1,00822 3.2.4 Digital camera x 4 (all partners)Per camera4,00115460Per camera4,00115460 3.3 Machines, tools… 0,0000 00 3.4 Spare parts/equipment for machines, tools 0,0000 00 3.5 Other (please specify) 0,0000 00 3.5.1 Venue hire for state/district level training/networking eventsPer training26,00551.430Per training8,0055440 3.5.2 Venue hire for partner network meetingsPer meeting12,001321.584Per meeting4,00132528 3.5.3 Food/accommodation for state/district level training/networking eventsPer training26,002025.252Per training8,002021.616 3.5.4 Food for local level training/networking events (no accommodation required)Per training107,00555.885Per training36,00551.980 3.5.5 Food/accommodation for partner network meetingsPer meeting12,002963.552Per meeting4,002961.184 3.5.6 Materials for state/district level training/networking eventsPer training26,001062.756Per training8,00106848 3.5.7 Materials for local level training/networking eventsPer training107,00464.922Per training36,00461.656 3.5.8 Materials for partner network meetingsPer meeting12,0066792Per meeting4,0066264 Subtotal Equipment and supplies 32.040 14.383

24. Delegation of the European Union to India 4. Local office Specific costs dedicated to the project (Real Costs) Ex. 4.1. Vehicle costs: - if vehicle used only for the project, full vehicle costs can be allocated to 4.1. - if not, costs must be allocated partially, according to log book data. Idem for 4.2. Office rent and 4.4. Other services Importance of justification of the allocation keys (electricity, heating, tel/fax…) Lump sums are not acceptable, except if Simplified Cost Options have been approved by the EU

25. Delegation of the European Union to India 5. Other costs, services For budget lines 5.1.publications, 5.2.Studies, research, and 5.7.Conferences / seminars, please refer to footnote no 9: ONLY INDICATE HERE WHEN FULLY SUBCONTRACTED Publications: “copy” as a unit. Expenditure verification: (by external audit firm) with final report. Do not under-estimate the cost !! Evaluation costs: only external evaluation Financial services: “month” as a unit. currency exchange losses are ineligible. Visibility: banners, posters,

26. Delegation of the European Union to India 6. Other You can use this budget line ONLY if the cost cannot be allocated to any other specific budget line (1. to 5.) as per their nature. No title of activity but ONLY nature of cost !! Ex: Training: Sub-contracted (5.7.) OR Simplified Cost Options OR allocation per nature of costs: 1.3.3.1. Per diems for training participants 2.1.1. International flight (UK / India / UK) 2.2.1. Local transport for training participants 3.5.1. Training material 3.5.2. External consultant fees 3.5.3. or 6.1. rental of training hall

27. Delegation of the European Union to India Financial support to third parties (sub-granting) Sub-granting may be the main aim of the action Sub-grant per third party increased to EUR 60,000. with no overall ceiling

28. Delegation of the European Union to India Redistribution of the grant (p 9 of the Guidelines) To help achieve the objectives of the action In the applications, describe: Objectives and results Types of entity (FCRA for India is compulsory). A fixed list of the types of activity Criteria for selecting sub-grantees including the criteria for determining the exact amount of each sub-grant. The maximum amount of a sub-grant is € 60 000 per third party, except where a redistribution of the grant is the main purpose of the action.

29. Delegation of the European Union to India Simplified cost options Annex K

30. Delegation of the European Union to India Lump sums, unit costs, flat-rate Limited to EUR 60.000. per beneficiary of the grant contract (exclusive of the 7 % of indirect costs) Proposed by the beneficiary The approval to use of the SCO will be given by EU during the contracting phase Guidelines and check-list in Annex K

31. Delegation of the European Union to India UNIT COST Definition: cover all or certain specific categories of eligible costs which are clearly identified in advance by reference to an amount per unit. Example: unit cost per worked month for personnel costs based on the internal rules and average costs, small local transportation or other expenses in rural areas without having to verify thousands of minor expenses with none or very weak proofs of payment The specific case of per diems Not considered a simplified cost option a fixed amount is reimbursed to the organisation staff according to its staff rules Per diem rates in the budget should be in line with rates in staff regulation of the organisation. That is an actual cost.

32. Delegation of the European Union to India LUMPSUM Definition: They cover in global terms all or certain specific categories of eligible costs which are clearly identified in advance. Example: Global cost for the organisation of an opening event, Global cost for the production of information videos etc.

33. Delegation of the European Union to India FLAT RATE financing Definition: Covers specific categories of eligible costs which are clearly identified in advance by applying a percentage fixed ex ante. Example:local office costs and related expenses (maintenance, security, a shared car etc.) charged as a percentage of staff costs, indirect costs, etc.

34. Delegation of the European Union to India Justification of the Budget of Action “2. Justification” sheet of the budget (Annex B)

35. Delegation of the European Union to India For each budget line: 2 columns: Clarification of the budget items Provide a narrative clarification to demonstrate the necessity of the cost, refer to the activities in the Description of Action (also useful in the context if the new FCRA rules) Justification of the estimated costs Provide a justification of the calculation of the estimated costs based on real costs or simplified cost option. “2. Justification” sheet of the budget (Annex B) Also refer to Annex K

36. Delegation of the European Union to India 2. Justification of the Budget for the Action All Years CostsClarification of the budget itemsJustification of the estimated costs Budget headings Should be coherent to “1. Budget for the Action” sheet of the Budget (Annex B) Quantify the project inputs e.g. - number of assets to be acquired, - staff numbers to be employed/ allocated time period - type of publication - training subject Value project inputs e.g. - prices of assets to be acquired, - salaries of staff, fees of consultants Source of information: salary grid, quotations, SCO : UNIT COST, FLAT RATE, LUMPSUM

37. Delegation of the European Union to India Responsibility of the Grant beneficiary Reliable, plausible, transparent and realistic budget Explain in the “2. Justification” sheet of the budget (Annex B) the assumption used to draw up the budget, the methods and sources used. Failure to do so casts doubt on the reliability and plausibility of the budget.

38. Delegation of the European Union to India Contingency & Administrative costs 8. Contingency reserve: max 5% of 7. Subtotal direct eligible costs of the Action. No contingency in provisional budget for Year 1 as, before using contingency funds, you need a prior written approval from the Delegation. 10. Administrative costs: max 7% of 9.Total direct eligible costs of the Action. Contribution to general overhead costs (not included in specific project costs: % of the main office rent and running costs, consumables, copying…)

39. Delegation of the European Union to India “3. Expected sources of funding & summary of estimated costs” sheet of the budget (Annex B) All figures should correspond to the Annex I and sheet 1 of Annex B of your proposal. Only monetary contributions. Contributions in kind are not considered actual expenditure, are not eligible costs, cannot be considered as co-financing. Specify names of contributing parties. You may mention if the funding is already secured.

40. Delegation of the European Union to India Budget of the Action: General recommendations Check Arithmetics Delete all draft versions Respect of the format is essential: Annex B – Budget template.xls Action as a whole (total costs of the Action), not only the requested EU contribution 1 st excel sheet : All years and Year 1 2 nd excel sheet: Justification of the budget 3 rd excel sheet: Sources of funding In EURO Total of the 1 st sheet = total of the 3 rd sheet Flexibility (ceiling – possible reallocation) Budget is a budget per nature of costs and not a budget per activities

41. Delegation of the European Union to India FULL APPLICATION Ref Guidelines 2.2.5 Submit Part B of Grant Application Form General information table (1) Description of the action (2) Logical Framework (separate annex C) Budget for the action including justification of costs & sources of funding (separate annex B) Experience of similar actions (2.1.7, 2.1.8, 2.2) Description of the Applicant (3), co-applicant (4) & affiliated (5) ALL should be registered in PADOR Signed Mandate for co-applicants & affiliated entities statement Description of the Associates should be filled-in Checklist to be filled in by applicant Signed Declaration by the Applicant

42. Delegation of the European Union to India THANK YOU