State Budget financing to projects approved within the Latvia-Lithuania

Cross Border Cooperation Programme 2007-2013

Ministry of Regional Development and Local Gevernment

Development Instrument Department

Siauliai, 2009

LEGAL FRAMEWORK FOR STATE BUDGET FINANCING

• Rules of Cabinet of Ministers of the Republic of Latvia No.890 “Procedure which plans and allocates state budget resources to European Union Structural Fund Objective 3 “European Territorial Co-operation” programme beneficiaries from Republic of Latvia” approved on 11 August 2009 (for municipalities and NGOs)

• Rules of Cabinet of Ministers of the Republic of Latvia No.752 “Procedure which plans and allocates state budget resources to European Union Structural Fund Objective 3 “European Territorial Co-operation” programme beneficiaries from Republic of Latvia” approved on 15 September 2008 (for planning regions and state institutions)

BENEFICIARIES AND AMOUNT

BENEFICIARIES:• Municipalities and their established organizations• Planning regions• Non-governmental organizations• Municipality and state enterprises Line ministries and their subordinated organizations

STATE BUDGET FINANCING AMOUNT:

• ERDF co-financing – 85 %;• National financing  – 15 %:

– State budget resources – 5 %

– Beneficiaries resources – 10 %

STATE BUDGET ALLOCATION PROCEDUREState

budget resources

LV partnerlegal status

Municipalities and their

establishedorganizations

Planning regions

Non-governmentalorganizations

Municipality andstate enterprises

Line ministries and their subordinated

organizations

MoRDLG MoRDLG MoRDLG MoRDLG Line ministry

5% Pre-financing??

100%Pre-financing??

5% CBC

Programme

100% Pre-financing

5% CBC

Programme

5%CBC

Programme

100%Pre-financing

90% Advance payment

• Claim on state budget financing should be submitted to MoRDLG within 3 months after signing the SC

• MoRDLG within 1 month after receiving the claim decides on assignation of state budget resources

• Within 10 days after decision MoRDLG informs project partner

• Between MoRDLG and state budget beneficiary agreement will be signed

Each project partner (within each project) who wants to receive state budget financing should apply separately!

How to apply?

• Within 5 working days after signing the state budget beneficiary agreement, MoRDLG transfers advance payment (90% of allocated amount) to beneficiary account

• Remaining 10% MoRDLG transfers to beneficiary account after final report is verified by the First Level Controller

How to apply?