With reference to Article 4, paragraph 2 and 4, which concerns changes in eligible costs, if a there has been carried out a change of approved costs without the approval of the Programme Operator, these unapproved expenditures are considered as ineligible.
Project promoters and project partners are always obliged to request the Programme operator to approve costs modifications, in particular:
- Any increase of personnel costs in item A1;
- Any increase of capital costs in items A3.1 and/or A3.2 (depreciations);
- Any transfer between items over CZK 60,000 (e.g. CZK 60,000.01) per entity per year.
- The approved rate of indirect costs (%) in item B cannot ever be increased.
- Expenditures on subcontracting must not exceed 10% of the total grant of an entity.
Increased/transferred expenditures that are not approved shall be declared as ineligible, and returned after completion of the project to the Programme Operator.
Requests for a payment and project periodic reports that are in contravention of the Decision (see paragraphs above) will be returned to be revised.
For example: If promoters/partners finds out that they will exceed unbudgeted personnel costs approved in the Decision, first they must ask for approval of this increase by the Programme operator, and then they may spend the extra financial means.