Belarus Denmark Estonia Finland Germany Latvia Lithuania Norway Poland Russia Sweden BSR INTERREG III B project budget and major financial shortcomings BSR INTERREG III B Joint Secretariat Rostislav ZATLOUKAL Partner Search Forum Vilnius, May 2005

Annex V.0 Project’s budget

Budget break down per milestones

Specification of BL6 and BL7 Annex V.1 Specification of budget line no. 6 „Other costs and equipment“ Annex V.2 Specification of budget line no. 7 „Small scale investments“

Common shortcomings costs are budgeted in the wrong BL or WP coordination costs are not proportional to the project size auditing costs are underestimated coordination and personnel costs are not properly distinguished OH costs are not based on the real costs and proper calculation BL4 “Travel and accommodation” does not correspond to the activities planned BL6 “Other costs” and BL7 “Investment” items are not clearly specified the initial stage of the project (1 st milestone) has often delays All partners participating in the project should be mentioned in the partnership list. Each partner that contributes financially to the project has to fill in the project partner budget table.

„What to remember...“  Reserve enough time for budgeting and collecting of Co-financing statements!  Be realistic when budgeting the needed cost items (Relation to activities, objectives!)  Consistency: activities –> budget!  Define and describe clearly the administration & financial management system  Read carefully the relevant information & regulations; Eligibility rules (No 448/2004), Audit Guidelines, Programme Manual etc.

Thank you for your attention & Good luck with the application!