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Major changes

Major changes are defined as having a significant impact on the character and nature of the project and/or pose a risk to its delivery and the quality of its results. Major changes are defined as:

  • Budget reallocations between components and budget lines in which the cumulative amount of the reallocated sum (the sum of all adjustments done from the beginning of the project) exceeds 10% of the total eligible budget of the project (please see box below for an example calculation of the cumulated reallocation amount). However, such budget reallocations can be carried through only in well-justified cases and only once in a project lifetime as a general rule;
  • Underachievement of more than 20% of the original value of each target output and/or result indicator defined in the Application Form which may hamper achieving project’s goals. Please note that each change of project deliveries shall be assessed individually and rationally depending on the type of the deliveries and their importance for achieving the project results. Note that par. 12 p.8 of the Subsidy Contract may be applied.

It is to be underlined that the output indicators, as directly related to the expenditures incurred within the project, shall be monitored throughout the project lifetime and if necessary the Lead Beneficiary shall take appropriate actions to secure the achievement of the project’s results and goals are achieved.

The achievement of result indicators is assessed only with the final project progress
report;

  • Changes in the partnership;
  • Reallocation of budget between Partners, in which the cumulative amount of the reallocated sum exceeds 10% of the total eligible budget of the project. However, such budget reallocations can be carried through only in well-justified cases and only once in a project lifetime as a general rule;
  • Changes in the legal status of Partner organisation.

Major changes require the approval of the Steering Committee before they can be implemented which usually require using the written procedure. In addition, if major changes usually result in the amendments to the Subsidy Contract and/or the Application Form following the procedure stipulated in the Subsidy Contract.The Lead Beneficiary is obliged to inform the JTS immediately about any major changes that occurred or are planned in due time. The project will then be asked to deliver a formal change request including a detailed justification as a next step. The request will be assessed by the JTS and is the basis for the decision of the Steering Committee. After the decision of the Steering Committee, the amendment of documents (Application Form, Subsidy Contract) is implemented.

The whole process from the announcement of the change until the amendments of the project documents may take considerable time (up to 3 months). Especially budget reallocations should therefore be well planned and applied for in due time before the finalisation of the project.

It should be underlined that the complete and correct documentation necessary for the signing off an Annex to the Subsidy Contract must be submitted to the Joint Technical Secretariat at least one month before the end date of the project defined in the Subsidy Contract.

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