KoWi Workshop on financial management in FP7 Exchanging experiences on European level Brussels, 24-25 January, 2008

Current obstacles and the development of best practice concerning financial management issues in FP7

University of

Staška Mrak Jamnik, Msc., Head of Office for European Projects OF LJUBLJANA

Established in 1919 - 22 faculties - 3 academies - 1 university college - A traditional, comprehensive and research oriented university - Decentralised university UNIVERSITY IN NUMBERS † 15.235 students in Higher School programs (“Fachhochschule”) † 30.707 students in UNI level programs † 5.000 post graduate students † 5.533 employees „ 4.020 teaching staff and researchers † 300 Million Euro annual budget INTERNATIONAL COOPERATION

Avtivities in international research and education programs. We were/are participating in:

† 117 projects within the 6th Framework Programme and † 17 projects within 7th Framework Programme until now † 25 TEMPUS projects (in the last three years) † More than 70 project financed by other EU programes: COST, EUREKA, LLP, IEEA, eContent, Leonardo da Vinci,… † Many projects financed by Structural Funds (RDF, ESF) and Community Initiatives (INTERREG, EQUAL) Model of administrative support to EU projects

UNIVERSITY (public financing) Office for EU projects

FACULTY FACULTY Contact person for Contact person for Contact person for EU projects EU projects EU projects Office for European projects (Established in October 2006)

Coordination

Consulting Information

ACTIVITIESACTIVITIES

Evaluation Education FP7 projects

1. Projects are managed at faculties

2. UL opted for Special Transition Flat Rate

3. 60% flat rate is attractive enough, 40% flat rate will not be enough Activities for proper project management

1. Education of project leaders and administration Seminars and - Internal Conference on cooperation of UL in FP7 in November 2006 - FP7 Internal Financial seminar in March 2007 - Internal Conference on project management at UL 2. Written instructions and handbooks - Instruction on how to apply and manage European projects at UL - Instructions of financial management of European projects at UL 3. Development of IT application for project management 4. Consulting Activities towards full cost

1. There is no cooperation of in regarding the introduction of the full cost accounting, Rectors’s Conference have not yet discussed this matter;

2. There is no government support or initiative to public universities for introduction of full cost accounting;

3. The awarness is higher among the researchers and FP7 administrators;

4. It is not expected to have a full cost implementation by 2010. Activities towards full cost

- is in a process of unifying of the accounting systems between faculties and introducing the unified information accounting system, which is a slow and demanding process;

- University of Ljubljana started the first activities to introduce full cost accounting: - chief internal auditor at UL made a recommendation to start the activities, - an internal financial/accounting group of heads of financial departments at the faculties was created to find the proper sollution for full cost accounting - a study visit to one of the universities which has already implemented the analytical accounting, is planned. Questions and Obstacles regarding the FP7 financial rules

1. There was some confusion regarding the rules - flat rate at CSA projects (60%/20%) - Certificate on cost statement at the end of the project (Y/N) 2. EC does not interpret Financial rules but only quote the Financial Guidelines 3. We have problems with finding other sources of cofinancing the projects 4. VAT is not recovered, it is our cost Recommendations to EC

† EC could prepare some publications or internet page providing all the know how about different solutions and acceptable standards of full cost accounting;

† EC should consider to prolong the period for Special Transition Flat Rate

† Since there are many questions regarding the interpretation of financial rules there should be an EC help service providing the right interpretation;

† There could be more cooperation between EC and national governments regarding VAT payment in framework programmes. UNIVERSITY OF LJUBLJANA

Mag. Staska Mrak Jamnik, M.Sc. Head of Office for European Projects University of Ljubljana Kongresni trg 12 1000 Ljubljana SLOVENIA † Tel.: +386 1 2418 532 † Fax: +386 1 2418 660 † e-mail: [email protected]