ESTLATRUS

If we pay salary to project staff from co-financing, should we include these costs in expenditures?

Large Scale Projects
2012-01-27 10:39:31

Yes of course, and they have to be audited.

Amount of costs prior to the contract signature are included into first year budget?

Large Scale Projects
2012-01-27 10:39:01

No.

Where we must describe costs prior to the contract signature?

Large Scale Projects
2012-01-27 10:38:47

You should set them together with other costs, describe these costs in Application Form point 3.2. and list of costs in budget.

Are there any limits to budget changes?

Large Scale Projects
2012-01-27 10:38:25

In accordance with LSP guidelines point 4.2.6.1, you can make changes that do not affect the basic purpose of the project inside one budget heading, or max 15% between budget headings, in this case you must inform JMA and JTS about changes.

What are the Large Scale Projects?

Large Scale Projects
2012-01-27 10:37:57

General information about Large Scale Projects

According to article 2 (7) of Commission Regulation (EC) No.951/2007 of 9 August 2007 laying down implementing rules for cross-border cooperation programmes financed under Regulation (EC) No.1638/2006 of the European Parliament and of the Council laying down general provisions establishing a European Neighbourhood and Partnership Instrument, the Large Scale (strategic) Projects are ‘projects comprising a set of works, activities or services intended to fulfill an indivisible function of a precise nature pursuing clearly identified objectives of common interest for the purposes of implementing cross-border investments’.

According to article 4 of Implementing Rules large-scale cross-border investment projects are not selected through calls for proposals, but are identified jointly by participating countries, in agreement with the European Commission. Article 4 provides that these projects shall be specifically mentioned in the programme or be selected at a later stage by the Joint Monitoring Committee provided that they are consistent with the programme's priorities and measures and that there is a budget specifically for this purpose.

LSPs fulfill following criteria:
- are directly related to the Programme and its Priorities;
- are crucial for the development of the part of the Programme area;
- have a clear cross-border impact;
- have investment character;
- are coherent with national/regional development strategies and are strongly supported by the national/regional level authorities on both sides of the border;
- their outcomes are of a sustainable character.
- the beneficiary is clearly identified as the only one being able to implement respective LSP.

The Programme finance activities within the projects which have (is aimed to keep) a purely cross border character and involve at least two partners, of whom at least one project partner shall be from Estonia and/ or Latvia and at least one partner from the Russian Federation. The Programme is an important complement to the existing and foreseen national, regional and sectoral initiatives in the cooperation area.

Eligibility rules for LSP
- LSPs are selected and contracted through the direct award procedure;
- Private entities are eligible for participation in the LSPs with limits for co-financing from the Programme;
- Partners may be located outside the Programme area, but all LSP activities take place in Programme area;
- LSPs are directly related to the Programme and fit the Priority I or Priority II;
- Project size for the LSP is over 2 MEUR;
- Grant to the LSP project is not exceeding 90% of the total eligible costs of the project.

Up to now there are five Large Scale Projects that have received approval from the European Commission after submission of the Project summary forms. One more Project has been sent to the European Commission for decision.

Financing

Programme financing for LSPs is 26 096 744 EUR. Additional financing 9 081 558 EUR to the Programme has been made available from the Estonian State budget for large-scale cross border projects involving partners from Estonia and Russia.
Total financing 35 178 302 EUR for the LSP’s within the Programme is fixed.

Which auditors can make project costs confirmation?

Large Scale Projects
2012-01-27 10:36:19

Partners are responsible for the selection of an auditor according to Programme requirements, (please read LSP guidelines point 4.6.2), mentioned in JTS web page (LSP application pack Annex 11a or 11b) - http://estlatrus.eu/eng/programme/large_scale_projects.

Which procurement procedures must be followed by Russian public bodies?

Large Scale Projects
2012-01-27 10:35:57

In accordance with LSP guidelines point 4.2.7.1, you must follow your national legislation.

When partner can submit to JTS report about costs prior to the contract signature?

Large Scale Projects
2012-01-27 10:30:54

After it was approved by auditors or together with first interim reports approved by auditors.

But if we already have two different FS, it is needed to make any general FS?

Large Scale Projects
2012-01-27 10:30:34

To submit the Feasibility Study of the Project as a single document is suggested.

Can there be two or more FS for one project?

Large Scale Projects
2012-01-27 10:29:34

Yes, if it is not able to make one common FS, these FS must be completely divided.

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