1. H2020 - Rules for participation and
financial rules
Katarina Lenova, 14 January 2015

2. Rules for participation
• GSA type of actions
• Admissibility and eligibility criteria
• Associated countries
• Who can get funding
• Company registration and validation

3. GSA: 3 topics & 1 type of actions
Innovation action (IA)
(activities aimed at producing plans and arrangements or designs for new, altered or improved products,
processes or services.)
• GALILEO-1-2014: EGNSS applications
• GALILEO-2-2014: Small and Medium Enterprise (SME) based EGNSS
applications
• GALILEO-3-2014: Releasing the potential of EGNSS applications through
international cooperation

4. Standard admissibility criteria
• Submitted in the electronic submission system
before the deadline -> Acknowledgement of
Receipt
• Complete (requested administrative forms +
proposal description + supporting documents)
• Readable, accessible and printable
• Include a draft plan for the exploitation and
dissemination of the results (in case specified
in the WP)

5. Standard eligibility criteria
• Content corresponds, wholly or in part, to topic description
against which it is submitted
• Proposal complies with the minimum participation and any
other eligibility conditions set out for the type of action.
Innovation action:
– Three legal entities.
– Each of the three shall be established in a different Member
State or associated country.
– All three legal entities shall be independent of each other.
• GSA encourages creating consortia with more beneficiaries!
• GALILEO-2-2015: Small and Medium Enterprise (SME)
based EGNSS applications -> Coordinator must be an SME

6. Who can get funding?
• EU member state
• The Overseas Countries and Territories (OCT) linked to
the MS
• Horizon 2020 associated countries:
– Up to date info available at:
http://ec.europa.eu/research/participants/docs/h2020-funding-
guide/cross-cutting-issues/international-cooperation_en.htm
• Third countries listed in General Annex A
• International European interest organisations

7. Countries eligible to receive funding
• Legal entities established in countries not listed in Annex A
and international organisations will only be eligible for
funding:
– If explicitly mentioned in the call text.
– When funding for such participants is provided for under a bilateral
scientific and technological agreement or any other arrangement
between the Union and an international organisation or a third
country
– When the Commission deems participation of an entity essential for
carrying out the action funded through Horizon 2020. Decision based
on evaluator's judgement. Elements may include 'outstanding
competence and expertise, access to unique now-how, access to
research infrastructure, access to data, …

8. Company registration
• Registration:
– Every participant has to register!
– To check if registered:
http://ec.europa.eu/research/participants/portal/desktop/en/organisations/r
egister.html
– Info for registration:
• legal status and
• info on finances
Proposal
submission
Validation of organisation
Registration of organisation
Financial viability check
LEAR appointment

9. Company validation
• Validation:
– Only if proposal accepted
– Supporting docs will be requested to prove legal name,
form and address
• LEAR - Legal Entity Appointed Representative
• Financial viability check
– Always for coordinators of projects with > EUR 500K funding
unless they are public bodies
– May be needed for others – EC contacts you
Proposal
submission
Validation of organisation
Registration of organisation
Financial viability check
LEAR appointment

10. Financial Rules
• Funding rates
• Indirect cost rate
• Subcontracting
• 3rd parties
• Reporting requirements
• Payments

11. Single funding rate for direct costs
One project = one rate
•Same rate for all
beneficiaries and all
activities in the grant.
•Rate depends on the
type of action
Maximum
reimburseme
nt rates
Research and
technological
development
activities (*)
Demonstration
activities
Other
activities
Network of
excellence
50%
75% (**)
100%
Collaborative
project(****)
50%
75% (**)
50% 100%
Coordination
and support
action
100% (***)

12. Funding rates for GSA grants under 2nd call
• Innovation action (IA)
– 70% of the total eligible costs
– Exception: 100% of the total eligible costs for non-
profit legal entities
No differences among cost categories
(RTD, MGT, DEM, OTH)!

13. Indirect costs
• 20%?
• 60%?
• Real?
• Simplified?
• 25% of the total eligible costs
excluding:
– Subcontracting
– Costs of resources made available
by 3rd parties
– Financial support to 3rd parties

14. Third parties
Definition: entities which participate in the
action but do not sign the GA
!!! If somebody is working on the project that
does not have a direct employment contract
with the beneficiary!!!

15. • Similar to FP7 Special
Clause 10
• Must be identified in the
GA
• Same cost eligibility
criteria as beneficiaries
• NEW: COM or Agency
may request them to
accept joint and several
liability for their EU
contribution
Linked third parties
!
Third parties

16. Linked third parties
Third parties
• Covers limited part of the
project
• Ensure best value for money
and avoid any conflict of
interests
• Not possible to subcontract
among the beneficiaries
• Estimated costs and tasks
must be identified in the
budget and Annex 1
• NEW: if not identified in
Annex 1, Commission may
still approve them
(beneficiary bears the risk
of rejection)
!

17. Third parties
• For the purchase of goods,
works or services
• Ensure best value for money
and avoid any conflict of
interests
• Free of charge or against
payment are eligible costs if
they meet the eligibility
conditions
• Must be set out in Annex 1
• NEW: if not identified in
Annex 1, Commission may
still approve them (beneficiary
bears the risk of rejection)
!

18. Beneficiary
Financial support to
3rd parties
Third parties
• 'Cascading grants': Equivalent
to FP7 Special Clause 42
• Prizes: awarded by the
beneficiary as part of the
action
• Option to be used ONLY if
foreseen in the Work
Programme
• Conditions set out in Annex 1

19. Reporting – working time
• Time recording:
– Still needed for everybody
– Exception: when person is working full-time on
the project

20. Reporting - certificates
• Certificate on methodology:
− For getting additional assurance on cost accounting practices
− For direct personnel costs declared as unit costs calculated in
accordance with the beneficiary’s usual cost accounting
practices
− Certificate must be approved by the EC
− Certificates issued for FP7 not valid in H2020
• Certificate on the financial statement - CFS:
– Total EU contribution ≥ EUR 325.000
– At the end of project
– Issued by external auditor using prescribed template in Annex 5

21. THANK YOU
Additional information:
– H2020 EC website: http://ec.europa.eu/programmes/horizon2020/en
– Participant Portal:
http://ec.europa.eu/research/participants/portal/desktop/en/home.html
– Horizon 2020 On-line Manual:
http://ec.europa.eu/research/participants/portal/desktop/en/funding/guid
e.html#
– Horizon 2020 Annotated Grant Agreement:
http://ec.europa.eu/research/participants/data/ref/h2020/grants_manual/
amga/h2020-amga_en.pdf