Contracting

At the contract preparation meeting the to-dos before contracting are agreed and information is provided about the most important rules and requirements for the project implementation.

The personal meeting between project and programme representatives also supports the better understanding of the partners' intention for implementation, and the clarification of programme requirements. Following this clarification, in certain cases small amendments in the content of the application may also be needed. The purpose of such amendments is to prepare the project for flawless implementation and reporting.

Typical elements for clarification can be the project's objective structure, especially output indicators (that build the most direct link between project and programme) or the deliverables and the target groups. Exchange of information, or if needed small amendments and clarifications should ensure that the achievements can be easily reported by the project holders.

In the contracting phase the project holders must fill in the "Staff cost data sheet" with data about the persons practically employed in the project, including the chosen schemes and methods for reporting the related employment costs. Please always consult with your RC before you fix the staff cost reporting scheme and method. Sometimes it turns out during consultation with the RCs (through them indirectly with the FLC) that the originally chosen staff cost reporting scheme or method is not appropriate.

As the change between staff cost reporting schemes and methods is very limited, usually the last chance to modify your original choice in the application form is before the staff expenditure related to the concrete person is reported the first time. Therefore in order to avoid complications later in reporting, please rely on the advice of your RC!

Hungarian project partners who are awarded an advance payment of up to 50% or up to 100% of their ERDF financing on the basis of the Government Decree 126/2016, must open in line with the same decree a separate Forint account to each of the projects they are involved in.

Reference to the Manuals

Hungarian Government Decree 126/2016

No, to receive the automatic financial contribution of the Hungarian Government (10% or 15% of the partner budget, depending on the organisation), the Government Decree 126/2016 does not prescribe to open separate Euro accounts.

Reference to the Manuals

Hungarian Government Decree 126/2016

First of all, project holders must be aware already in the application phase that the approval and contracting procedures are time consuming, and especially the first ERDF payment takes time. The implementation period of the project should be designed to take that into account.

It is acknowledged that some project partners have more financial stability and are able to pre-finance the project implementation. Others again need to rely more on signed contracts. It is nevertheless the responsibility of the LP (and of all partners) to co-ordinate the project in time to ensure joint project implementation and joint achievements!

Concerning the prolongation of the project implementation period the advice of the MA is to postpone this decision towards final phase of the project, where it is visible if a prolongation is really needed, and if yes, how long. This is usually not visible at a delayed start, whatever the reasons is.