Lump sum grant ex-post controls You need You don't need Technical documents Time-sheets Publications, prototypes, deliverables Who did what? ! Already the case under the general MGA …any document proving that the work was done as detailed in Annex 1 Pay-slips or contracts Depreciation policy Travel invoices ….actual costs
Lump sum grant payment of the balance All work completed as indicated in Annex 1: The Commission pays the remaining amount up to the total lump sum (and releases the Guarantee Fund) Some WP not completed as indicated in Annex 1: WP rejected (in full or in part) Grant reduced share all Consortium losses the that WP ocated to The Guarantee Fund does NOT intervene ! As in General MGA, other reductions (e.g. for breach of obligations) may also apply Lump sum grant: ex-post controls Checks, reviews and audits for: Proper implementation of the action (e.g. technical audit) Compliance with the other obligations of the grant: IPR obligations Obligations related to third parties (e.g. financial support) Other obligations (e.g. ethics, visibility of EU funding, etc.) Bye, bye, financial audits
Lump sum grant recoveries During the action • Recovery only in case of termination of a beneficiary (if amount approved < amount received from the coordinator) Payment of balance (PoB) • Recovery if amount approved < payments already made (e.g. grant reduction due to WP not completed according to Annex 1) • Excess will normally be recovered from beneficiaries whose amount approved< amount received from the coordinator After PoB
Lump sum grant payment of the balance All work completed as indicated in Annex 1: The Commission pays the remaining amount up to the total lump sum (and releases the Guarantee Fund) Some WP not completed as indicated in Annex 1: WP rejected (in full or in part) Grant reduced Consortium losses the share allocated to that WP The Guarantee Fund does NOT intervene ! As in General MGA, other reductions (e.g. for breach of obligations) may also apply Checks, reviews and audits for: Proper implementation of the action (e.g. technical audit) Compliance with the other obligations of the grant: 〉 IPR obligations 〉 Obligations related to third parties (e.g. financial support) 〉 Other obligations (e.g. ethics, visibility of EU funding, etc.) Bye, bye, financial audits You need You don't need Technical documents Time-sheets Publications, prototypes, deliverables Who did what? ! Already the case under the general MGA …any document proving that the work was done as detailed in Annex 1 Pay-slips or contracts Depreciation policy Travel invoices ….actual costs During the action • Recovery only in case of termination of a beneficiary (if amount approved < amount received from the coordinator) Payment of balance (PoB) • Recovery if amount approved < payments already made (e.g. grant reduction due to WP not completed according to Annex 1) • Excess will normally be recovered from beneficiaries whose amount approved< amount received from the coordinator After PoB
Lump sum grant introduction The grant agreement will set out the lump sum (EU funding) corresponding to the full accomplishment of the work committed in Annex 1. The lump sum for the grant is set out at its signature, the costs actually incurred are not relevant. Lump sum grant: introduction (ii) Subcontractor International partner BENEFICIARY Linked third party Costs actually incurred are not relevant. Who does the work still is ! As in the General MGA: Linked third parties and international partners must be named in the grant agreement Annex 1 must detail the tasks to be: Attributed to each linked third party Attributed to each international partner Subcontracted Lump sum grant: H2020-S2RJU-2018 Amount of the lump sum Per project based on the budget Lump sum grant: budget allocation Annex 2 Lump sum = Maximum grant amount Max. liability of the beneficiary after payment of balance WP1 WP2 WP3 WP4 WP5 WP6 WP7 WP8 Total Beneficiary A 250.000 50.000 300.000 250.000 300.000 1.150.000 Beneficiary B 250.000 350.000 50.000 100.000 150.000 900.000 Beneficiary C 100.000 100.000 50.000 280.000 530.000 Beneficiary D 120.000 50.000 100.000 150.000 420.000 Total 350.000 470.000 350.000 200.000 300.000 530.000 200.000 600.000 3.000.000 ….. Share of the lump sum per WP Lump sum grant: how many work packages? As many as needed but no more than what is manageable
Lump sum grant introduction The grant agreement will set out the lump sum (EU funding) corresponding to the full accomplishment of the work committed in Annex 1. The lump sum for the grant is set out at its signature, the costs actually incurred are not relevant. Lump sum grant: introduction (ii) Subcontractor International partner BENEFICIARY Linked third party Costs actually incurred are not relevant. Who does the work still is ! As in the General MGA: Linked third parties and international partners must be named in the grant agreement Annex 1 must detail the tasks to be: Attributed to each linked third party Attributed to each international partner Subcontracted
Lump sum grant delete 7.1.5 and re-number the following sub-sections] Financial Consequences of the termination of the participation of a Beneficiary [Actual Cost Grant] A Beneficiary leaving the consortium shall refund to the Coordinator any payments it has received except the amount of contribution accepted by the Granting Authority [or another contributor]. In addition, a Beneficiary declared to be a Defaulting Party shall, within the limits specified in Section 5.2 of this Consortium Agreement, bear any reasonable and justifiable additional costs occurring to the other Beneficiaries in order to perform the leaving Beneficiary´s task and necessary additional efforts to fulfil them as a consequence of the Beneficiary leaving the consortium. The General Assembly should agree on a procedure regarding additional costs which are not covered by the Defaulting Party or the Mutual Insurance Mechanism. [Lump Sum Grant] A Beneficiary leaving the consortium shall refund to the Coordinator any payments it has received except the amount of Lump Sum Contributions accepted by the Granting Authority [or another contributor] at termination. After termination this Beneficiary is entitled to receive its Lump Sum Contribution as foreseen in Annex 2 of the Grant Agreement and approved by the Granting Authority at interim or final payment. The Coordinator will inform this Beneficiary accordingly upon payment of the final amount by the Granting Authority and distribute the amount due to the terminated Beneficiary. In addition, a Beneficiary declared to be a Defaulting Party shall, within the limits specified in Section 5.2 of this Consortium Agreement, bear any reasonable and justifiable additional costs occurring to the other Beneficiaries in order to perform the leaving Beneficiary´s tasks as well as for additional efforts necessary to complete the respective work packages. The General Assembly should agree on a procedure regarding additional costs which are not covered by the Defaulting Party or the Mutual Insurance Mechanism.
