f) of the GA have been indicated in the estimated overall budget annexed to the GA – Xxxxx X (Article II.14.1.g) of the GA) When the maximum EC financial contribution is determined, the eligible costs will appear in the estimated budget. It is possible, without a supplementary agreement, to authorise certain transfers of costs between eligible cost items in the estimated budget within the overall amount of eligible costs, in the conditions mentioned in Article 5.2 of the GA. Costs like personnel, durable equipment, travel and subsistence, subcontracting, consumables, etc. may be considered as eligible costs, provided they meet the definition of eligible costs in the GA and are incurred in the context of the activities permitted by the instrument (see examples in Article II.15 of the GA). Article II.14.2 of the GA – Costs of third parties – Costs of resources made available and costs of third parties carrying out part of the work What is a third party? A third party is, by definition, any legal entity which does not sign the GA. A subcontractor is a type of third party, but not the only one. As the implementation of the project is the responsibility of the beneficiaries (who do sign the GA), beneficiaries should have the capacity to carry out the work themselves. Therefore the rule is that the costs eligible in a project must be incurred by the beneficiaries, (the signatories to the GA). However, in some circumstances the GA accepts some third parties whose costs may be eligible. Should a beneficiary wish to recur to the assistance of a third party in an ongoing project, this has to be discussed with the Project Officer, and if approved and in conformity with the rules, the third party contribution and resources have to be detailed in Annex I. A third party may contribute to the project in two possible ways: • making available its resources to a beneficiary (in order for the beneficiary to be able to carry our part of the work) • by carrying out part of the work itself. Costs incurred by third parties may be eligible under certain conditions: • The third party, the tasks to be performed, an estimation of the costs and the resources allocated to the project must be identified during the negotiations and mentioned in Annex I to GA by a third party (and in some cases in a special clause in the GA). • In the case of third parties carrying out part of the work which are not subcontractors, the beneficiaries will be entitled to charge their costs only in the cases covered by...
