Transcript Slayt 1 - Sanayi

Bölgesel Rekabet Edebilirlik Operasyonel Programı’nın
Uygulanması için Kurumsal Kapasitenin Oluşturulmasına
Yönelik Teknik Yardım
This project is co-financed by the European
Union and the Republic of Turkey
Technical Assistance on Institutional Building for the
Implementation of RCOP in Turkey
1B Budgeting and Payment
Procedures for fee-based Service
Contracts
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Contents
This project is co-financed by the European
Union and the Republic of Turkey
A. Budgeting of Service Contracts
B. Payment for Service Contracts
B1. Types of Payments
B2. Administrative Checks
B3. Execution of a Payment
B.3.1. Verifications on experts/man-days
B.3.2. Eligibility Verifications on Incidentals
C. Exercise
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Types of Contracts
This project is co-financed by the European
Union and the Republic of Turkey
Fee based
Service
(FWC)

Global price
Based on
Direct Costs

Supplies

Works

Twinning

Grants
(Direct
Grants)

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This project is co-financed by the European
Union and the Republic of Turkey
Technical Assistance/
Service Contracts
• Fee- based Service Contracts
Contract under which the
services are performed for an
all-inclusive fixed price
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This project is co-financed by the European
Union and the Republic of Turkey
A. Budgeting of Service Contracts
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This project is co-financed by the European
Union and the Republic of Turkey
Cost estimation for budgeting:
• Budget for services:
- estimation of activities,
- mandays/ fees
- travel costs
- per diems
other incidental costs etc.
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This project is co-financed by the European
Union and the Republic of Turkey
Steps in budgeting
1.
2.
3.
4.
Decision on activities and time planning
Draft a resource plan per activity
Estimate all relevant costs per activity
Adjust costs in time for wage rises,
inflation etc.
5. Provide the breakdown in eligible and
non eligible costs
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Step 1. Activity Planning
Activity implementation
schedule
This project is co-financed by the European
Union and the Republic of Turkey
Planning activities and tasks
1) Preparation phase
2009-1
2009 2
2010 1
2010 2 2011 1 2011 2 2012 1 2012 2 2013 1 2013 2
Programming
Drafting of IPA OP
Feedback on strategy
Decision on strategy
Creation of project pipeline
Communication to stakeholders/FBs
Inventory of project ideas
Selection of promising projects
Drafting of project proposals for selected projects
Project preparation
Arrange compliance with spatial planning
Arrange for buiding permits
Land aquisition plan
Technical specifications
Cost estimation study
Feasibility study (Technical)
Feasibility study (Traffic forecasts)
Cost Benefit Analysis and risk assessment
Preparation of IPA application
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Step 2: Resource schedule per activity
Resource Schedule
Staff Needed
Equipment NeededCosts
Funding Cost Q1 Cost Q2
Activity 1
Activity 2
Activity 3
• Equipment
• Salaries etc.
Units, cost per
unit,
funding source
Cost per
planning
period
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This project is co-financed by the European
Union and the Republic of Turkey
Step 3:
Estimate costs per activity
• Internal staff costs: estimate the duration of work and staff costs
per month/year
• External experts and consultants: estimate man-days and fees
• Incidentals: for travel and accommodation costs (per-diem)
• Incidentals: for meetings, conferences, other events, translation,
printing etc.
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This project is co-financed by the European
Union and the Republic of Turkey
Internal Staff Costs
• Allowed if legal basis exists
• Eligibility of staff costs undisputed if employed
entirely & exclusively by the project
• Eligibility of staff employed in part of a project, if
evidence provided (transparency; working hours,
rates)
• Cost of staff outside scope of their employment
contract (eg. university teachers) eligible if double
invoicing ruled out
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This project is co-financed by the European
Union and the Republic of Turkey
Travel and accommodation
expenses
• Per diems different in each country
• Hotel accomodation included in per-diems
• Private consumption is not eligible
• Public and mass transport to be used
• Costs not in line with these principles explained
in writing on corresponding invoices
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This project is co-financed by the European
Union and the Republic of Turkey
Step 4:
Increases over time
• Wage increases for internal staff
• Fee increases for experts, consultants
• Price increases related to incidental items
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Step 5: Breakdown cost budgeting
Unit Cost
Man/Day
Total Cost
Technical Assistance
International Expertise
* International long-term expert
* International short-term expert
National Expertise
* National long-term expert
* National short-term expert
Support Staff
Sub-Total for the Expertises
Incidentals
International transportation (Per-diem, air tickets,
accommodation, local transportation)
National transportation (Per-diem, air tickets,
accommodation, local transportation)
Running Costs ( Postal service, cargo etc.)
Printing
Interpretation / Translation
Stationary
Communication Costs ( telephone, fax, internet)
Organization Costs ( per diem, air tickets of the
participants, training, seminars, conferences,
accommodation, local transportation, rental)
Sub-Total for the Incidentals
Unexpected Costs
TOTAL
880
925
1540
210
1.355.200
194.250
350
350
224
880
160
1650
308.000
56.000
369.600
2.283.050
320.000
200.000
50.000
50.000
50.000
70.000
60.000
400.000
1.200.000
216.950
3.700.000
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Budgeting Service Contracts
1.Fees
2.Incidentals
1.1. Key Experts
International long Term Experts
Local long Term Experts
2.1. Travel Costs and per-diems of 1.1
2.2. Travel Costs and per-diems of 1.2
2.3. Travel Costs and per-diems of 1.3
2.4. Anciliary costs of trainings
(training venue, food and
bavarage during the training)
2.5. Study visits(travel, per-diem etc.)
2.6. Other meetings
2.7. Printing and visibility costs???
1.2. Non Key Experts
International long Term Experts
Local long Term Experts
1.3. Short Term Experts
3. Expenditure Verification: 0 7,5% of the total contract value
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This project is co-financed by the European
Union and the Republic of Turkey
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Things to check!!!!
The number of experts are reasonable
The division of experts are reasonable between key, non-key and STE
The number of man-days are reasonable and within the dates of the contract
period.
Should not forget in the incidentals (if needed)
* the trainings( travel, accomodation, per-diem, rooms, venue, catering(food
and bavarage), printing materials.
* study visits (travel, accomodation, per-diem etc.)
* printing costs
In eligible costs that has to be financed by the Beneficiary
* Taxes and VAT
* In kind contribution like (own rooms of Ministries etc) cannot be financed by
IPA funds
If an equipment is purchased outside Turkey or EU ( from USA, also not
eligible, rule of origin).
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This project is co-financed by the European
Union and the Republic of Turkey
Exercise
Preparing a budget for a
service contract
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This project is co-financed by the European
Union and the Republic of Turkey
B. Payment for Service Contracts
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Payments to the Contractors
This project is co-financed by the European
Union and the Republic of Turkey
• Funds in the bank sub-accounts are at the
disposal of the Contracting Authority for the
whole duration of the Financing Agreement
without further request to the National Fund.
• The Contracting Authority is only authorised to
make payments from sub-accounts against
signed contracts endorsed by the Commission
• Payments to Contractors shall be reported to the
NF by the Contracting Authority on a regular
basis - with the Monthly Report
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B.1. Types of Payments
This project is co-financed by the European
Union and the Republic of Turkey
• Pre-financing
• Further pre-financing
Interim Payment
• Balance
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Pre- financing:
This project is co-financed by the European
Union and the Republic of Turkey
• If implementation period of the contract is 12
months or less : maximum of 40 % of the total
contract amount;
• If implementation period is between 12 and 24
months: maximum of 30 % of the total contract
amount;
• If implementation period is 24 months or more:
maximum of 20 % of the total contract amount;
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This project is co-financed by the European
Union and the Republic of Turkey
Required Documents for pre-financing:
• Signed contract
• Invoice / request for pre-financing payment
• Financial guarantee (for the full amount of the prefinancing payment) if the pre-financing amount exceeds
€150 000. The guarantee remains valid until it is
released by the Contracting Authority, i.e. - related prefinancing has been cleared, at the very latest by the
time 80% of the amount of the contract has been paid
• The consultant is not obliged to ask for pre-financing
22
This project is co-financed by the European
Union and the Republic of Turkey
Time Frame for pre-financing
payment
• Within 45 days of receipt of the contract
signed by all parties and all relevant
documents (request for payment,
financial guarantee if applicable).
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This project is co-financed by the European
Union and the Republic of Turkey
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•
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•
Further pre-financing/
interim payments:
Generally based on 6 monthly installments
The actual amounts payable after the first pre-financing
will vary.
When the cumulative amount of payments made reaches
80 % of the contract amount, the entire pre-financing must
have been cleared
Once all pre-financing is cleared or if no pre-financing is
requested [Special Conditions Art. 7.2] The interim
invoices are paid such that the sum of payments does not
exceed 90% of the maximum contract value stated in Art.
3 of the Special Conditions.
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This project is co-financed by the European
Union and the Republic of Turkey
Required documents for
further pre-financing/interim
payments:
• Invoice / request for further pre-financing payment/interim
payment
• A detailed list of expenses for fees and incidentals which
form the financial report which shall indicate the cumulative
expenditure and the balance available.
• Interim Progress Report
• Expenditure Verification Report by external auditors
• Timesheets for the related period
• Working at weekend or national holiday approvals
• Subject to the approval of the interim report by end recipient
and Contracting Authority in accordance with Article 27 of
General Conditions
25
This project is co-financed by the European
Union and the Republic of Turkey
Time Frame for further prefinancing/Interim Payment
• Within 45 days of receipt of the invoice, interim
progress report, expenditure verification report
(subject to approval), provided that appropriate
substantiating documents have been provided
and the expenditure is eligible
26
This project is co-financed by the European
Union and the Republic of Turkey
Balance Payment:
• Maximum 10% of the contract value
• Balance of the final value of the contract
after deduction of the amounts already
paid.
27
This project is co-financed by the European
Union and the Republic of Turkey
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Invoice/ request for the balance payment
A detailed list of expenses for fees and incidentals which form
the financial report which shall indicate the cumulative
expenditure and the balance available
Final Progress Report
Financial Report verified by external auditors
Expenditure Verification Report by external auditors
Timesheets for the relevant final period
Working at weekend and national holiday approvals
Subject to the approval of the final report by end recipient and
Contracting Authority in accordance with Article 27 of General
Conditions
28
This project is co-financed by the European
Union and the Republic of Turkey
Time Frame for balance
payment
• Within 45 days of receipt of a proper
invoice, final progress report, final
expenditure verification report and all other
relevant documents (timesheets, etc.)
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B.2. Administrative Checks
This project is co-financed by the European
Union and the Republic of Turkey
• Request for
payment/Invoice
• Progess Reports
• Financial Guarantee
• Audit Firm
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This project is co-financed by the European
Union and the Republic of Turkey
Request for Payments/ Invoices
• An official commercial request for payment/invoice
• Full name and address of the consultant
• Full bank account details(bank name and address,
account number, IBAN code,name of account holder
• The complete contract number
• The complete contract title
• Invoice number
• Date of issue of the invoice
• The type of payment claim
• The period covered by the payment claim
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This project is co-financed by the European
Union and the Republic of Turkey
After the request of payment
is received from a Consultant:
• The invoice of the Consultant is registered in the Invoice
Register upon receipt by the OS
• The original invoice is also registered into the
accounting system
• The Invoice is checked with Invoice Identification
Control Sheet (Please see Annex 1)
• If approved a payment order is prepared by IPA ExpertPayment 1
• Once the payment to the contractor is done the
Contracting Authority shall inform the Consultant about
the payment
32
This project is co-financed by the European
Union and the Republic of Turkey
The role of the endrecipient:
• A copy of the front page of the invoices stating “Read
and Approved” signed and dated by two authorised
signatures one of which is the SPO( Senior
Programme Officer) is a pre-requisite for starting the
payment request and execution of the payment
deadline of 15 days.
• (Please see Annex 2)
33
This project is co-financed by the European
Union and the Republic of Turkey
Approval of the progress
report
• The approval of the progress report is a prerequisite to proceed with the payment
• The period of the progress report should
comply with the period of expenses in the
request for payment/invoice.
• The progress reports should be accompanied
by a financial report and an expenditure
verification by the audit firm
34
This project is co-financed by the European
Union and the Republic of Turkey
Financial Guarantee
• If the pre- financing payment stated in
Article 7.2 of the Special Conditions
exceeds EUR 150.000, the Consultant
must provide a financial guarantee for the
full amount of pre- financing payment
• The financial quarantee must remain valid
until 80% of the amount of the contract has
been paid
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Audit Firm for the expenditure
verification & eligibility of
costs
• Notification from the Consultant related to the
audit firm
• The audit firm has to be a member of an
internationally- recognised supervisory body for
statutory auditing according to Atricle 20 of the
contract
This project is co-financed by the European
Union and the Republic of Turkey
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B.3. Execution of a Payment
This project is co-financed by the European
Union and the Republic of Turkey
37
This project is co-financed by the European
Union and the Republic of Turkey
B.3.1. Verifications on
fees/man-days
To execute a payment there should be reliable and
sufficient evidence that:
• the experts employed by the consultant have actually
been working on the contract for the number of days
claimed in the Consultant’s invoices
• Fees are paid for services actually rendered, the time
worked. The working period performed for the project
by experts are calculated in working days as
indicated in the Budget Breakdown (usually Annex V
to the Contract).
38
This project is co-financed by the European
Union and the Republic of Turkey
•
Fees
Fee rates comprise:
– the remuneration actually paid to the experts concerned per working day
(e.g. sick leave, annual leave or any other absence from the office will
not be paid for)
– administrative costs of employing the experts such as:
– relocation, expatriation and repatriation expenses
– accommodation
– leave
– medical insurance
– any other employment benefits accorded to the experts by the
Consultant
– the margin, covering the Consultant’s overheads, profit and backstopping
facilities
– The annual leave entitlement of experts must not exceed 60 calendar
days (the responsibility of the consultant)
39
This project is co-financed by the European
Union and the Republic of Turkey
Fees
• For long-term experts (LTEs) travel days from/ to country of
residence (or hometown for long-term experts who reside in
Turkey) or to/from base of operations are not considered
working days
• For short-term experts ‘‘travel days’’ from/to country of
residence (or hometown for short term experts who reside in
Turkey) from/to base of operations (duty station) can only be
considered working days if meetings/ work take place on the
same day
• For missions the part of the assignment which requires the long
term or short-term expert to leave his/her duty station to engage
in project-related activities in another province or country is
considered working days for all experts. All LTE’s and STE’s
deserves fee.
40
This project is co-financed by the European
Union and the Republic of Turkey
Fees
• Weekend days, national, official and religious holidays are
not considered as working days for both LTE’s and STE’s.
However, if it is required for an expert to work at weekends
and/ or national holidays for the necessity of project’s
implementation, prior approval in writing should be taken
• For short-term experts 7 hours work deemed to be
equivalent to one day worked.
• No payments are made to STE’s more than the days /months
allocated to the specific assignment
• Home office is not eligible for payment, unless otherwise is
specified in the Contract
41
This project is co-financed by the European
Union and the Republic of Turkey
STE Approvals
• Has to be send by the Consultant to the
Contracting Authority prior to the mobilisation
of the STEs
• The approved days on the STE approval
should comply with the stated days on the
timesheet
• The expert should not start her/his functions
before the approval of the end- receipient
and/or CFCU (Please see Annex 3)
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Timesheets
• Time worked must be
evidenced by time
sheets for each
individual expert that are
to be submitted by the
Consultant by time
sheets for each
individual expert using
the standard format and
countersigned by the
Beneficiary (Please see
Annex 4)
It is a summary of the
work done by the
expert:
• Under what activity
• When
• Where
• For how long
T/S is the base for
invoicing = liability for
Consultant
43
This project is co-financed by the European
Union and the Republic of Turkey
B.3.2. Eligibility Verifications
on Incidentals
• All incidental expenditure incurred in the course of the
contract as required by the Terms of Reference is to be
invoiced at actual cost (Please see Annex 5)
• If the invoice and /or other documents are not compatible
with the Turkish regulations, no payment shall be
executed for the related invoice (e.g. translation and
interpretation invoices etc., cash register slip is not
considered as an invoice, as the name of the recipient
does not appear)
• If otherwise is not stated in the ToR, “visa expenses” of
experts (if required) is not covered under incidentals
44
This project is co-financed by the European
Union and the Republic of Turkey
Per-diems:
• Per-diems are based on overnight stayed outside
the main project location
• If the expert does not stay overnight no perdiem will be paid (only the travel expenses are
be paid under incidentals if stated in the contract)
• The per diem include inner-city travels so they
are not eligible once more under reimbursable
costs
45
This project is co-financed by the European
Union and the Republic of Turkey
Per-diems
• Per-diems are based on overnight stayed outside
the main project location
• If the expert does not stay overnight no perdiem will be paid (only the travel expenses are
be paid under incidentals if stated in the contract)
• The per diem include inner-city travels so they
are not eligible once more under reimbursable
costs
46
This project is co-financed by the European
Union and the Republic of Turkey
Taxation
• All Value Added Tax (VAT), customs and
import duties cannot be paid
• All VAT should be exempted from the
incidental expenditure. If not, VAT amounts will
be deducted from the related expenses by
Contracting Authority. Therefore, no tax related
amount should be invoiced.
47
This project is co-financed by the European
Union and the Republic of Turkey
Exchange Rates
• Conversion of expenses incurred in currencies other than
Euro should be based on the the Infoeuro exchange rate
of the specified month, the monthly Infoeuro exchange
rates published monthly by the European Commission web
site.
www.europa.eu.int/comm/budget/inforeuro/index.cfm?fuse
action=dsp_html_monthly_rates&lamguage=en)
• Issuance date of the supporting document will be the basis
for the exchange rate to be used (e.g. for a flight ticket
issued in March and where the flight itself took place in
April, the monthly exchange rate of March has to be
used to convert into Euro)
48
This project is co-financed by the European
Union and the Republic of Turkey
Travel
• Any long distance air travel must be by economy class while
long distance train travel may be by First Class.
• In order to justify the costs, if required, of international travel
by airplane (or any other means of travel such as boat, train
etc.) the following items are required:
• the complete original used (air) (boat) (train) etc ticket
• boarding passes, if applicable
• the original invoice from the travel agency
• Fuel, gasoline and car rental expenses for inter city
transportation should be according to stated budget lines
backed with relevant supporting documents
49
This project is co-financed by the European
Union and the Republic of Turkey
Physical Storage of the
Documents
• Because the relevant documentation must be kept for a 7year period after the final payment made under the
contract, all supporting documents are preferably put into
sequence:
• according to the different expense categories in the
Budget Breakdown of the contract
• chronologically by date of issue and,
• consecutively numbered (1, 2, 3 etc.)
• stapled or glued to a normal white sheet (DIN-A4) on
one side only
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Exercise
1) Payment for a fee- based service
contract
51
This project is co-financed by the European
Union and the Republic of Turkey
Thank you!
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