Commission Delegated Regulation (EU) No 1268/2012 (repealed)Show full title

CHAPTER 6 Expenditure operations

Article 94 Financing decision(Article 84 of the Financial Regulation)

1. The financing decision shall set out the essential elements of an action involving expenditure from the budget.

2. The financing decision shall in particular set out the following:

(a) for grants:

(i)

the reference to the basic act and the budgetary line;

(ii)

the priorities of the year, the objectives to be fulfilled and the foreseen results with the appropriations authorised for the financial year;

(iii)

the essential eligibility, selection and award criteria to be used to select the proposals;

(iv)

the maximum possible rate of co-financing and if different rates are envisaged the criteria to be followed for each rate;

(v)

the timetable and the indicative amount of the calls for proposals;

(b) for procurement:

(i)

the global budgetary envelope reserved for the procurements during the year;

(ii)

the indicative number and type of contracts envisaged and if possible their subject in generic terms;

(iii)

the indicative time-frame for launching the procurement procedures;

(c) for trust funds referred to in Article 187 of the Financial Regulation:

(i)

the reference to the basic act and the budgetary line;

(ii)

the appropriations reserved to the trust fund for the year together with the amounts planned over its duration;

(iii)

the objectives of the trust fund and its duration;

(iv)

the rules of governance of the trust fund;

(v)

the possibility to entrust budget implementation tasks to the entities and persons referred to in Article 187(2) of the Financial Regulation;

(d) for prizes:

(i)

the reference to the basic act and the budgetary line;

(ii)

the objectives to be fulfilled and the foreseen results;

(iii)

the essential conditions for participation and award criteria;

(iv)

the timetable of the contest and the amount of the prize or prizes;

(e) for financial instruments:

(i)

the reference to the basic act and the budgetary line;

(ii)

the objectives to be fulfilled and the foreseen results;

(iii)

the amount allocated to the financial instrument;

(iv)

the indicative implementation timetable.

3. Where the work programme referred to in Article 128 of the Financial Regulation contains the information set out in point (a) of paragraph 2 of this Article for the grants financed from appropriations authorised for the financial year, the decision adopting it shall be considered to be the financing decision for those grants.

As regards procurement, trust funds, prizes and financial instruments, where the implementation of the corresponding appropriations authorised for the financial year is provided for by a work programme containing the information referred to in points (b), (c), (d) and (e) of paragraph 2 of this Article, the decision adopting this work programme shall also be considered to be the financing decision for the procurement, trust funds, prizes and financial instruments involved.

If the work programme does not contain such information for one or more actions, it must be modified accordingly or a specific financing decision must be adopted for the actions concerned.

4. Without prejudice to any specific provision of a basic act, any substantial change in a financing decision already adopted shall follow the same procedure as the initial decision.

Section 1 Commitment of expenditure

Article 95 Global and provisional commitments(Article 85 of the Financial Regulation)

1. The global budgetary commitment shall be implemented either by the conclusion of a financing agreement, itself providing for the subsequent conclusion of one or more legal commitments, or by the conclusion of one or more legal commitments.

Financing agreements in the field of direct financial assistance to third countries, including budget support, which constitute legal commitments may give rise to payments without the conclusion of other legal commitments.

2. The provisional budgetary commitment shall be implemented either by the conclusion of one or more legal commitments giving rise to an entitlement to subsequent payments or, in cases relating to expenditure on staff management or relating to communication expenditures engaged in by the institutions for the coverage of Union events, directly by payments.

Article 96 Adoption of a global commitment(Article 85 of the Financial Regulation)

1. A global commitment shall be made on the basis of a financing decision.

The global commitment shall be made at the latest before the decision on the selection of recipients is taken and, where implementation of the appropriations concerned involves the adoption of a work programme within the meaning of Article 188, at the earliest after that programme has been adopted.

2. Where the global commitment is implemented by the conclusion of a financing agreement, the second subparagraph of paragraph 1 shall not apply.

Article 97 Single signature(Article 85 of the Financial Regulation)

1. The rule that there shall be a single signatory for the budget commitment and the corresponding legal commitment may be departed from only in the following cases:

(a) where the commitments are provisional;

(b) where global commitments relate to financing agreements with third countries;

(c) where the institution’s decision constitutes the legal commitment;

(d) where the global commitment is implemented by a number of legal commitments, for which different authorising officers are responsible;

(e) where, in connection with imprest accounts available for external action, legal commitments must be signed by members of staff of the local units referred to in Article 72 on the instruction of the authorising officer responsible, who remains, however, fully responsible for the underlying transaction.

(f) where an institution has delegated authorising officer powers to the director of an interinstitutional European office pursuant to Article 199(1) of the Financial Regulation.

2. If the authorising officer responsible who signed the budget commitment is not available and remains unavailable for a period incompatible with the time limits for concluding the legal commitment, that legal commitment shall be concluded by the person designated under the deputisation rules adopted by each institution, provided that that person has the status of authorising officer in accordance with Article 65(3) of the Financial Regulation.

Article 98 Administrative expenditure covered by provisional commitments(Article 85 of the Financial Regulation)

Items regarded as routine administrative expenditure which may give rise to provisional commitments shall include the following:

(a)

expenditure on staff, whether or not covered by the Staff Regulations, on other human resources and pensions and on the remuneration of experts;

(b)

expenditure relating to members of the institution;

(c)

training expenditure;

(d)

expenditure on competitions, selection and recruitment;

(e)

mission expenses;

(f)

representation expenses;

(g)

meeting expenses;

(h)

freelance interpreters and translators;

(i)

exchanges of officials;

(j)

recurring rentals of movable and immovable property or recurring payments relating to building contracts within the meaning of Article 121 of this Regulation or loan instalments pursuant to Article 203(8) of the Financial Regulation;

(k)

miscellaneous insurance;

(l)

cleaning, maintenance and security;

(m)

welfare and medical expenditure;

(n)

the use of telecommunications services;

(o)

financial charges;

(p)

legal expenses;

(q)

damages, including interest;

(r)

work equipment;

(s)

water, gas and electricity;

(t)

publications on paper or in electronic versions;

(u)

communications activities engaged in by the institutions for the coverage of Union events.

Article 99 Registration of individual legal commitments(Article 86 of the Financial Regulation)

In the case of a global budget commitment followed by one or several individual legal commitments, the authorising officer responsible shall register in the central accounts the amounts of this or these successive individual legal commitments.

The registration in the accounts shall indicate the references of the global commitment against which the individual commitments are being booked.

The authorising officer responsible shall register the amounts in the accounts before signing the corresponding individual legal commitment, except in the cases referred to in the fourth subparagraph of Article 86(4) of the Financial Regulation.

In all cases, the authorising officer responsible shall check that the aggregated amount does not exceed the amount of the global commitment covering them.

Section 2 Validation of expenditure

Article 100 Validation and ‘passing for payment’(Article 88 of the Financial Regulation)

1. Validation of any expenditure shall be based on supporting documents within the meaning of Article 110 attesting the creditor’s entitlement, on the basis of a statement of services actually rendered, supplies actually delivered or work actually carried out, or on the basis of other documents justifying payment, including recurring payments of subscriptions or training courses.

2. The authorising officer responsible shall personally check the supporting documents or shall, on his own responsibility, ascertain that this has been done, before taking the decision validating the expenditure.

3. The validation decision shall be expressed by the signing of a ‘passed for payment’ voucher by the authorising officer responsible or by technically competent member of staff, duly empowered by a formal decision of the authorising officer and under his responsibility in accordance with Article 65(5) of the Financial Regulation. Such empowerment decisions shall be kept for future reference.

Article 101 Certified correct for pre-financing payments(Article 88 of the Financial Regulation)

For pre-financing payments, the authorising officer responsible or a technically competent member of staff, duly empowered by the authorising officer responsible shall certify with the endorsement ‘certified correct’ that the conditions required in the legal commitment for the payment of the pre-financing are met.

Article 102 Passing for payment of procurement contracts for interim and balance payments(Article 88 of the Financial Regulation)

For interim and balance payments corresponding to procurement contracts, the endorsement ‘passed for payment’ shall certify that:

(a)

the institution has received and formally registered an invoice drawn up by the contractor;

(b)

the invoice itself, or an internal document accompanying the invoice received, has been endorsed ‘certified correct’ and signed by the authorising officer responsible or by a technically competent member of staff, duly empowered by the authorising officer responsible;

(c)

all aspects of the invoice have been checked by the authorising officer responsible or on his responsibility with a view to determining in particular the amount to be paid and the validity of the payment as discharge of the debt.

The endorsement ‘certified correct’, referred to in point (b) of the first paragraph shall certify that the services provided for in the contract have been properly provided, or that the supplies provided for in the contract have been properly delivered, or that the work provided for in the contract has been properly carried out. For supplies and work, the official or other servant technically competent shall draw up a provisional acceptance certificate, then a final acceptance certificate at the end of the guarantee period laid down in the contract. Those two certificates shall count as the ‘certified correct’ endorsement.

For recurring payments including payment of subscriptions or training courses, the endorsement ‘certified correct’, shall certify that the entitlement of the creditor is in accordance with relevant documents justifying payment.

Article 103 Passing for payment of grants for interim and balance payments(Article 88 of the Financial Regulation)

For interim and balance payments corresponding to grants, the endorsement ‘passed for payment’ shall certify that:

(a)

the institution has received and formally registered a payment request drawn up by the beneficiary;

(b)

the payment request itself, or an internal document accompanying the cost statement received, has been endorsed ‘certified correct’ and signed by an official or other servant technically competent, duly empowered by the authorising officer responsible;

(c)

all aspects of the payment request have been checked by the authorising officer responsible or on his responsibility with a view to determining in particular the amount to be paid and the validity of the payment as discharge of the debt.

By endorsement referred to in point (b) of the first paragraph, the official or other servant technically competent, duly empowered by the authorising officer responsible, certifies that the action or work programme carried out by the beneficiary is in all respects in compliance with the grant agreement or decision, including, where applicable that the costs declared by the beneficiary are eligible.

Article 104 Passing for payment of staff expenditure(Article 88 of the Financial Regulation)

For payments corresponding to staff expenditure, the endorsement ‘passed for payment’ shall certify that the following supporting documents exist:

(a)

in respect of monthly salary:

(i)

the complete list of staff, giving all the components of remuneration;

(ii)

a form (personal information sheet) based on decisions taken in each individual case, showing, whenever such change occurs, any change in any component of remuneration;

(iii)

in the case of recruitments or appointments, a certified true copy of the recruitment or appointment decision which accompanies the validation of the first salary payment;

(b)

in respect of other remunerations such as staff paid on an hourly or daily basis: a statement signed by the authorised member of staff showing the days and hours worked;

(c)

in respect of overtime: a statement signed by the authorised member of staff certifying the amount of overtime worked;

(d)

in respect of mission expenses:

(i)

the travel order signed by the competent authority;

(ii)

the statement of mission expenses, signed by the member of staff on mission and by the administrative superior to whom the appropriate powers have been delegated, if the mission expenses differ from the mission order;

(e)

in respect of some other administrative expenditure related to staff including subscriptions or training courses which, according to the contract, are to be paid in advance: the supporting documents referring to the decision on which the expenditure is based and giving all the components of the calculation.

The statement of mission expenses referred to in point (d)(ii) of the first subparagraph shall indicate the place of mission, the dates and times of departure and arrival at the place of mission, travel expenses, subsistence expenses, and other expenses duly authorised on production of supporting documents.

Article 105 Material form of ‘passed for payment’(Article 88 of the Financial Regulation)

In a non-computerised system, ‘passed for payment’ shall take the form of a stamp incorporating the signature of the authorising officer responsible or of a technically competent member of staff, duly empowered by the authorising officer responsible in accordance with Article 100. In a computerised system, ‘passed for payment’ shall take the form of an electronically secured validation by the authorising officer responsible or of a technically competent member of staff, duly empowered by the authorising officer responsible.

Article 106 Material form of ‘certified correct’(Article 88 of the Financial Regulation)

In a non-computerised system, ‘certified correct’ shall take the form of a stamp incorporating the signature of the authorising officer responsible or of a technically competent member of staff, duly empowered by the authorising officer responsible in accordance with Article 101. In a computerised system, ‘certified correct’ may take the form of an electronically secured validation by the technically competent member of staff, duly empowered by the authorising officer responsible.

Section 3 Authorisation of payments

Article 107 Checks on payments by the authorising officer(Article 89 of the Financial Regulation)

When drawing up the payment order, the authorising officer responsible shall ensure that:

(a)

the payment order has been properly issued, meaning that a corresponding validation decision has been taken previously in the form of ‘passed for payment’, that the particulars of the payee are correct and that the amount is due;

(b)

the payment order corresponds to the budgetary commitment against which it is booked;

(c)

the expenditure is charged to the correct item in the budget;

(d)

appropriations are available.

Article 108 Mandatory details on payment orders and transmission to the accounting officer(Article 89 of the Financial Regulation)

1. The payment order shall state:

(a) the financial year to which the expenditure is to be booked;

(b) the budget article and any other subdivision that may apply;

(c) the references of the legal commitment giving rise to an entitlement to payment;

(d) the references of the budgetary commitment against which it is to be booked;

(e) the amount to be paid, expressed in euro;

(f) the name, address and bank account details of the payee;

(g) the object of the expenditure;

(h) the means of payment;

(i) the entry of items in the inventory in accordance with Article 248.

2. The payment order shall be dated and signed by the authorising officer responsible, then sent to the accounting officer.

Section 4 Payment of expenditure

Article 109 Types of payment(Article 90 of the Financial Regulation)

1. Pre-financing shall provide a float. It may be split into a number of payments in accordance with sound financial management.

2. An interim payment, which may be repeated, may cover expenditure incurred for the implementation of the decision or agreement or to pay for services, supplies or works completed and/or delivered at interim stages of the contract. It may clear pre-financing in whole or in part, without prejudice to the provisions of the basic act.

3. The closure of the expenditure shall take the form of the payment of the balance which may not be repeated and which clears all preceding expenditure, or a recovery order.

Article 110 Supporting documents(Article 90 of the Financial Regulation)

1. Pre-financing, including in cases where it is split into a number of payments, shall be paid either on the basis of the contract, the decision, agreement or the basic act, or on the basis of supporting documents which make it possible to check that the terms of the contract, decision or agreement in question are complied with. If a date of payment for pre-financing is determined in those instruments, payment of the due amount shall not be dependent upon further demand.

2. Interim payments and payments of balances shall be based on supporting documents which make it possible to check that the action financed has been carried out in accordance with the basic act or the decision, or in accordance with the terms of the contract or agreement.

3. The authorising officer responsible shall lay down, in compliance with the principle of sound financial management, the nature of the supporting documents referred to in this Article in accordance with the basic act, decisions, contracts and agreements. Interim and final technical and financial implementation reports, shall constitute supporting documents for the purposes of paragraph 2.

4. The supporting documents shall be kept by the authorising officer responsible in accordance with Article 48.

Section 5 Time limits for expenditure operations

Article 111 Payment time limits and default interest(Article 92 of the Financial Regulation)

1. The time allowed for making payments shall be understood as including validation, authorisation and payment of expenditure.

It shall begin to run from the date on which a payment request is received.

A payment request shall be registered by the authorised department of the authorising officer responsible as soon as possible and is deemed to be received on the date it is registered.

The date of payment is deemed to be the date on which the institution’s account is debited.

2. A payment request shall include the following essential elements:

(a) creditor’s identification;

(b) amount;

(c) currency;

(d) date.

Where at least one essential element is missing, the payment request shall be rejected.

The creditor shall be informed in writing of the rejection and the reasons for it as soon as possible and in any case within 30 calendar days from the date on which the payment request was received.

3. In the case of suspension as referred to in Article 92(2) of the Financial Regulation, the remaining time allowed for payment shall begin to run again from the date on which the requested information or revised documents are received or the necessary further verification, including on-the-spot checks, is carried out.

4. On expiry of the time limits laid down in Article 92(1) of the Financial Regulation, the creditor shall be entitled to interest in accordance with the following conditions:

(a) the interest rates shall be those referred to in Article 83(2) of this Regulation;

(b) the interest shall be payable for the period elapsing from the calendar day following expiry of the time limit for payment laid down in Article 92(1) of the Financial Regulation up to the day of payment.

However, when the interest calculated in accordance with the first subparagraph is lower than or equal to EUR 200, it shall be paid to the creditor only upon a demand submitted within two months of receiving late payment.

5. Each institution shall submit to the European Parliament and Council a report on the compliance with the time limits and on the suspension of the time limits laid down in Article 92 of the Financial Regulation. The report of the Commission shall be annexed to the summary of the annual activity reports referred to in Article 66(9) of the Financial Regulation.