Q&A>PROJECT BUDGET AND FINANCING
PROJECT BUDGET AND FINANCING
Q: Is there a maximum or minimum level for a project budget?
A: No, there are no limitations concerning the size of budget or grant.
Q: Is there a different co-financing rate for the public and private organisations?
A: No, co-financing rate is the same for all types of applicants and in every priority of the Programme: at least 20 % of the total costs of the project. However, different co-financing rates can be agreed between partners. Managing Authority follows the accrual of co-financing only at the project level. In the end, the lead partner will be responsible that the co-financing part will be at least 20 % of the total costs.
Q: Can we utilize used equipment in the project and use it as co-financing?
A: No, in kind contributions may not be used as the co-financing. If partners need to purchase or rent equipment for project implementation, national rules for public procurement and guidance of Programme manual must be followed. Russian private entities must follow the rules of annex V of the grant contract and guidance of Programme manual.
Q: Can a project include investment costs and if yes, what kind of costs are eligible?
A: Materials, works, labour costs, external expertise and services related to the investment are eligible. However, please note the following limitations:
- Investments in standard CBC projects may not exceed 50 % of the total costs.
- Purchase of land or buildings may not exceed 10 % of the total costs.
If investments are included into the application, a realistic plan concerning ownership, maintenance and sustainability after the end of the project must be also presented.
Q: How the information of the salary level of the organisation should be proved? For example, should there be a statement from the accountant or HR department?
A: Managing Authority assesses the salary level and may ask additional information concerning it before making the grant contract.
Q: Are the staff costs for the holiday periods eligible? How they should be presented for full time and part time personnel of the project?
A: Salaries of annual holiday or holiday compensations are eligible in relation to the actual working time for the project, provided that they are in accordance with the applicable national rules and normal practices of the organisation. Holiday salaries should be taken into consideration when budgeting the amount of months and the monthly salary with employer’s social charges. Note, that during the project implementation, reservations of holiday payments are not eligible. Holiday salaries are eligible only after they have been actually incurred and paid out.