Specific Grant Agreement related costs
Costs arising directly from requirements imposed by the Specific Grant Agreement provided that the corresponding services are purchased in accordance with the applicable procurement rules. These costs include (not exhaustive list):
- bank fees for transfers to the country of operation;
- dissemination of information;
- evaluation and monitoring of the action (See Section 8 of the Single Form guidelines) ;
- quality assurance measures, e.g. related to food or medical supplies quality control;
- translation, reproduction, etc.
Condition: the corresponding services are purchased in accordance with procurement eligibility conditions.
Costs entailed by Implementing Partners
Costs entailed by Implementing Partners can be eligible.
Conditions: the prospect of having recourse to Implementing Partners shall be presented, explained and justified in the Single Form (Section 6.7), having regard to the nature of the Action and the necessities linked to its implementation; In the Single Form should be provided also the estimated budget share that would be allocated to the activities carried out by Implementing Partners.
Costs linked to the management of the consortium
Costs directly linked to the management of the consortium such as liaison officer, administrative support, audits, logistics support, monitoring of the associated partners activities are eligible costs as long as they are reasonable and verifiable.
Financial support to beneficiaries
To know more, see also the FAQs nr. 84
The financial support to beneficiaries, in most cases, shall take the form of either cash or vouchers. These costs, including the distribution costs are eligible if the conditions established by the article 11 of the General Condition are respected.
COSTS OF PROCUREMENT CONTRACTS
In order for the cost of procurement contracts to be eligible:
- the procurement must support the timely, efficient, effective achievement of the actions
- the contract has to be awarded to the tender offering the best value for money or the lowest price
- access to contractor must be guaranteed for audit and other checks
In kind related costs
To know more, see also the FAQs nr. 39
A contribution in kind includes the provision of goods and services to the partner, which does not involve the provision of money.
In this case, the only eligible costs are those that are related to accepting or distributing the contributions in-kind, where it is mentioned in the Section 10.5 of the Single Form; the related running costs may also be considered eligible, if they are directly linked to the implementation of the Action.
COSTS OF TRAVEL
Cost of travel and related subsistence allowances for employees taking part in the Action, including headquarters’ employees conducting field monitoring missions are eligible. These costs must however be directly linked to the Action, and in line with the partner's usual practices on travel.
In the case of missions covering several projects, only the portion of the costs of travel and related subsistence allowances which corresponds to the share of the total mission time spent on the Action is taken into account.
The partner may share costs such as costs of infrastructure in the field, in particular, field offices, among different uses and Actions. These costs will be eligible if calculated according to a cost allocation system that takes into account only the portion of the costs which corresponds to the rate of actual use of the infrastructure for the purposes of the Action.
COSTS OF INFRASTRUCTURE
Costs of infrastructure in the field, in particular field offices, directly linked to the Action are eligible.
The costs of renting or depreciation of field offices may be considered eligible, provided that only the portion of the costs which corresponds to the rate of actual use of the infrastructure for the purposes of the Action is taken into account. The term “infrastructure in the field in particular field offices” also covers the running costs of the field office. However, it does not cover the costs of purchase of the field office.
To know more, see also the FAQs nr. 41
As a rule, the grant awarded by ECHO consists of the reimbursement of eligible costs declared as actually incurred and of eligible indirect costs declared on the basis of a flat-rate.
The General Conditions foresee that the grant can also take the form of a reimbursement based on unit costs, lump-sum or flat-rate costs.
While this is not the standard option for ECHO, should the partner wish, for well-motivated reasons, to apply this approach, it will have to contact ECHO, which will carry out a specific assessment of the partner’s accounting practices.
For Simplified costing contact: ECHO-FINANCE-LEGAL-AFFAIRS@ec.europa.eu
References & useful links