Baltic Sea Project Facility. Guidelines for Applicants

Annex 3

Baltic Sea Project Facility Guidelines for Applicants The Danish Ministry of Foreign Affairs October 2002 Ministry of Foreign Affairs Baltic Facility 2

1. Introduction Since the early 1990s, technical cooperation at the regional and municipal levels have rendered valuable contributions to the establishment of good neighbourly relations and to the strengthening of local governance in the Baltic Sea Region. In order to further promote good neighbourly relations and technical cooperation across the expected new borders between the enlarged European Union and Russia in the Baltic Sea Region, the Danish Government has established a Baltic Sea Project Facility (hereinafter the Facility ) for the support of cross-border cooperation at the regional and municipal levels. The cross-border cooperation supported by the Facility will normally include partners from Denmark, (referred to below as the Danish partner) from the neighbouring Russian regions (St. Petersburg city and Leningrad oblast, Pskov and Kaliningrad oblasts, referred to below as the Russian partner) and from Estonia, Latvia, Lithuania or Poland (referred to below as EU Candidate Country partners), in order to promote tripartite technical cooperation across the borders between Estonia, Latvia, Lithuania, Poland and the neighbouring Russian regions. The overall administration of the Facility, including granting and disbursement of project funds as well as monitoring of projects, will be conducted by the Contractor (Danish Regions). For this purpose, a Steering Committee and a Secretariat will be established by the Contractor. The Steering Committee, which is composed of representatives from Danish Regions (Amtsrådsforeningen) and Danish Local Government (Kommunernes Landsforening), is primarily responsible for reviewing applications and for granting of funds to successful applicants on basis on the criteria for evaluation and selection of proposals outlined below. The Secretariat will conduct the day-to-day administration of the Facility. Danish regions and municipalities may apply for funding of individual projects, which will be implemented by the project partners. Danish project partners will responsible for the implementation of individual projects, including the use of facility funds and reporting to the Secretariat. 1.2 Objectives of the Facility The overall objective of the Facility is to promote good neighbourly relations and technical cooperation across the borders between an expected enlarged European Union (EU) and the Russian Federation in the Baltic Sea Region in order to enhance stability and to counteract possible adverse effects for Russia from the inclusion of Estonia, Latvia, Lithuania, and Poland in the EU. The immediate objectives of the project are as follows: Increased cross-border cooperation in the Baltic Sea Region, as regards sub-national authorities in Estonia, Latvia, Lithuania, Poland, Russia and Denmark; Strengthened human and institutional capacity of sub-national authorities in Russia, in particular, as well as the in Estonia, Latvia, Lithuania, Poland and Denmark. Ministry of Foreign Affairs Baltic Facility 3

2. Submission of Applications The present Guidelines set out the rules and procedures for submission, selection and implementation of projects funded by the Facility. This includes the application procedure, an application form, criteria for funding and for selection of projects, as well as reporting requirements. 2.1 Eligibility of Applicants: Who Can Apply for Grants? Danish regions and municipalities may apply for support from the Facility, provided that an established agreement with the foreign partners has been made on the implementation of the project (see standard Partnership Agreement form, Annex 1). Danish regions and municipalities may submit joint applications and work together with several foreign partners. Normally, it is expected that three partners from the above countries participate in projects. Specific considerations may, however, justify that only Danish and Russian partners participate in certain cases. The Russian partners and the EU candidate country partners will normally, but not necessarily, be neighbours. 2.2 Eligibility of Projects: Size of Grants, Sectors and Geographical Areas The amount applied for should be justified from the content of the project. Grants of less than DKK 50,000 and more than DKK 300,000 will normally not be allocated. Projects must comply with the above objectives of the Facility in order to obtain support. They should normally comply with a long-term strategy of the Russian partners in the sector dealt with, thus strengthening the sustainability of the projects. Projects may take place within the following areas of regional or municipal activity (see Annex 4 for examples of eligible projects): Human and institutional capacity building in regional and municipal administration This may include traineeships; in-service-training and training courses that enhance the human resources of sub-national administrations. It may also comprise of knowledge sharing and advice in relation to the development of the human and institutional capacity of the organisation in question. More specifically, such activity may, for example, relate to: Project methodology, design and implementation, including preparation of applications for external funding; Human Resource Development (HRD) planning and implementation; Organisational development projects, including procurement and use of information technology; Development of financial management practices, including training of staff. Ministry of Foreign Affairs Baltic Facility 4

Strategic, economic and spatial planning Support for enhanced partner capacity to develop planning methods and capacity at all levels of the authority. This may include general capacity building, e.g. development of planning instruments and training of staff, or projects concerned with preparation and elaboration of particular plans. Examples of project activities are: Training of regional and local government staff on strategic planning tools (such as Logical Framework Approach); Technical assistance on development of planning procedure and method; Preparation and elaboration of strategic development plan for a municipality or a region; Development of methods for economic planning and budgeting; Planning of the use of land resources and other spatial and real estate assets; Education Projects in this sector may include activities related to the development of administration and management of education services that are of the responsibility of local and regional authorities, i.e. mainly primary, secondary and to some extent further education. It is envisaged that project activities may focus on: Educational financing, planning and budgeting methods of local and regional authorities; Development of new educational management structures and methods, e.g. decentralisation, quality assurance, performance measurement and development of democratic and selfgoverning forms of educational management; Networking, exchange of experience and pilot projects on development of new teaching and curriculum development activities. Social assistance and social care services Cooperation activities in this sector will typically involve development of local and regional services targeted at socially vulnerable or marginalised groups, such as disabled people, street children, alcoholics and substance abusers, etc. Projects may include: Ministry of Foreign Affairs Baltic Facility 5

Development and sharing of experience on preventive services for and resocialisation of young drug addicts and HIV/AIDS infected persons, including involvement of NGOs; Development of new forms of services for elderly people in need of care, such as integration of residential and home care services; Social counselling and other social protection services targeted at women affected by violence or other forms of emotional or physical abuse, including increased cooperation with NGOs. Health care Cooperation in this sector will include services under the responsibility of local and regional authorities, i.e. primary health care and possibly other health care services provided by hospitals or, for instance, local health promotion campaigns. Projects may concern: Health care financing, planning and administration of regional and municipal authorities; Organisation and management of hospitals; Local health promotion campaigns or drugs and HIV/AIDS prevention campaigns and counselling activities. Business development, employment and training Projects will consist of activities promoting economic development and improved income and employment prospects for citizens. This may include projects on: Preparation and execution of business development strategies; Technical assistance on and joint strategies concerning marketing of tourism and development of tourism infrastructure; Establishment of business centres (or business incubation centres) for providing support to small and medium size enterprises at the local level; Support to innovative training initiatives aiming at meeting the manpower needs of businesses and increasing employment. Eligible project activities must address tangible issues relating to the sectors and services mentioned above. Projects defined as studies, or relating merely to democratic development, cultural activities, and to exchange of citizens and/or politicians of the partners, are not eligible for support from the Facility. Ministry of Foreign Affairs Baltic Facility 6

Twinning arrangements between regional or municipal institutions may be supported, provided the project has clear and specific objectives. Project implementation may be delegated to NGOs, insofar as this may overcome barriers for cooperation. Provided adequate justification, funding may also cover necessary start-up activities including factfinding missions, traineeships abroad with the project partners and follow-up seminars designed to share experience with other interested parties. For projects to be eligible for support, the activities must primarily provide technical assistance and result in transfer of knowledge to the Russian partner. It is thus expected that a substantial part of the joint activities will take place in the geographical location of the Russian partner. As mentioned above, projects supported by the Facility will normally include partners from Denmark, from the neighbouring Russian regions (St. Petersburg city and Leningrad oblast, Pskov and Kaliningrad oblasts) and from Estonia, Latvia, Lithuania or Poland. 3. Expenses Eligible for Funding The major part of the funds from the Facility should be used for expenses directly related to work abroad of the staff in technical assistance projects, or trainees, including: Salaries of project partners staff working abroad on project assignments, insofar as these staff contribute with technical assistance / consultancy services to the project (hence trainees cannot qualify for financing of salaries). The Danish partner will be remunerated according to the Ministry of Foreign Affairs Rules for short-term contracts (the KR Rules). However, overhead is normally not paid. Only in exceptional circumstances an overhead of maximum 50 percent may be financed. Other project partners that qualify for a fee financed by the facility will, likewise, receive a fee equivalent to their normal salaries; Fees for interpreters, translators, and local project consultants not permanently employed by the partner region or municipality according to local standards; International and local travel (economy fare); Accommodation when abroad (local medium standard hotels). For assignments or traineeships of more than two weeks duration, a more economical solution than normal hotel rates should be found; Daily allowances according to the rates applied in the partner s country of origin; Expenses related to execution of seminars etc. and to information activities, e.g. printing of information material. In reverse, the following expenses will normally not be eligible for support: Salaries of staff working on projects in their place of employment, i.e. their normal workplace; Salaries of staff participating in projects activities as trainees, i.e. as participants in training sessions, staff exchange, etc.; Travel and accommodation costs for politicians or citizens of the partner regions and municipalities not involved directly in the projects. Ministry of Foreign Affairs Baltic Facility 7

Purchase of equipment is eligible for support to a limited extent, when serving a demonstration purpose within the project context. 3.1 Co-financing by the Project Partners It is a condition for support from the Facility that the project partners co-finance the projects or otherwise mobilise an additional contribution. The following co-financing requirements apply: The Danish partner will contribute by providing technical expertise free of charge while at home (preparation, report writing, etc.), as well as training and meeting facilities in Denmark, if needed. The Danish partner may furthermore contribute by providing technical expertise free of charge while on project assignments abroad, by providing accommodation for trainees or other project related services or equipment. Its contribution should amount to at least 30 per cent of the amount applied for. The Russian partner s and the EU Candidate Country partner s contributions will consist of manpower provided by the partners employees while working in country of residence and possibly when abroad, as well as training and meeting venues and facilities, etc. Contributions may furthermore include local transport, providing of interpretation, provision of accommodation for expatriate project staff, etc. Their contributions should amount to at least 10 per cent of the amount applied for. The project partners are encouraged to search for supplementary funding for the projects from other sources, including the relevant programmes of the European Union and the Nordic Council of Ministers, as well as bilateral donors in Estonia, Latvia, Lithuania and Poland. Some of these programmes require a tripartite cooperation in line with the requirements of this Facility, and it may therefore be possible to obtain such support when cooperation supported by the Facility has been established. Thus, the EU-PHARE and TACIS programmes may support the non-russian and the Russian parts of a project, respectively. (An overview of possible EU sources is annexed and the Secretariat of the Facility may render further advice). Co-financing of projects from external sources may be accounted for as part of the above mentioned self-contribution. 4. Application Procedure Applications should be sent to Danish Regions (Amtsrådsforeningen), which serves as the Secretariat for the Steering Committee of the Facility, using the attached application form (Annex 1). The address of Danish Regions is shown on the application form. As projects must be finalised before the end of 2003 (cf. section 6), applications for short projects (e.g. of 1-2 months) should be submitted no later than the end of September 2003 in order to obtain financial support. However, applications for projects of a longer duration must be submitted earlier than this to allow for implementation before the end of 2003. The Secretariat may provide advice to Danish regions and municipalities on the application procedure, content and implementation of the projects, as well as on possibilities for co-financing. Ministry of Foreign Affairs Baltic Facility 8

5. Project Selection The Steering Committee will evaluate and select project applications for implementation on an ongoing basis. The Committee will meet as and when required, thereby ensuring that decisions on funding of projects are made as soon as possible after the receipt of the project applications. All project applications will be evaluated on basis of the evaluation criteria outlined in Annex 2. 6. Project Implementation The Facility will commence its activities on 1 November 2002. It is envisaged that the available funds will be committed before the end of October 2003. The projects should be terminated before the end of 2003, unless specific considerations justify an extension. Overall, project partners should pursue a transparent and communicative project policy, keeping the Facility and the surrounding communities well informed about project objectives and progress. The Danish partners should seek to be well informed at any time about the progress of the project activities and be prepared to take appropriate measures if they do not develop as expected. The Danish partner must immediately inform the Secretariat if the project cannot be implemented as planned or if significant changes are made in the implementation of project, as described in the application The Facility may request project information with reasonably short notice and undertake project visits without notice. Further, the Facility may initiate evaluations. 6.1 Disbursement of Grants Grants will be disbursed to the Danish partner (project holder) upon completion of projects, i.e. when the End of Activity Report has been approved by the Steering Committee. Grants will normally be disbursed within one month after submission of the End of Activity Report. The Danish partner is responsible for the disbursement of funds to project activities abroad, as required for the apt and timely execution of activities. 6.2 Reporting requirements Within one month after project termination, a concise report must be sent by the Danish partner to the Facility (cf. Annex 3). The report should highlight the accomplishment of project objectives, as well as the sustainability of the project. Reporting and official project correspondence must be kept in English language in order to allow full transparency and participation among the partners in different countries. 6.3 Dissemination and Netwo rking The project partners are encouraged to participate in possible dissemination activities facilitated by the Secretariat of the Facility to share knowledge and experience among themselves and with external parties. Ministry of Foreign Affairs Baltic Facility 9

ANNEX 1 Application Form Applicants must use the Application Form below, expanding the paragraphs as necessary while not exceeding four pages. Applications (and annexes) must be in English and must be typed. Please complete the Application Form carefully and in a concise and clear manner to facilitate its evaluation. Brief annexes should be attached. Annexes should provide concise information on the partners project management experience and capacity, as well as brief descriptions of the experience of key staff / consultants (e.g. short CV s). As regards the budget, only expenditures mentioned in Section 3 of the Guidelines may be included. Miscellaneous expenses are not eligible for funding. A Statement of Partnership, signed by all partners, must be attached to the application (see below). Applications should be sent to: Danish Regions (Amtsrådsforeningen) Dampfærgevej 22 Post Box 2593 DK-2100 Copenhagen Ø. Denmark Attn.: Inge Hyldebrandt 1. Identification of Project Project Title: Amount applied for: Danish applicant(s): region or municipality, contact person(s) and coordinates, including bank account no. Partner(s) in Russia: region or municipality Candidate country partner(s) in Estonia, Latvia, Lithuania or in Poland: region or municipality Expected start and end time of the proposed project: Ministry of Foreign Affairs Baltic Facility 10

2. Background for Project Brief description of the background for the project, which may include reasons for the proposal and the current state of affairs in the proposed area of intervention. This should also reflect the project s expected contribution to the long-term development within the proposed area of intervention. 3. Project Objectives Concise description of overall and immediate objectives of the project, i.e. the general and more specific effects that are expected to be achieved. 4. Project Activities The methodology and strategy of the project as well as planned project activities, their location and timing. 5. Input The inputs (funded by the Facility, as well as co-financed inputs) from the Russian, the EU candidate country partner and the Danish partner are described. These may include manpower (key staff and consultants and their planned number of working hours) and other types of input, e.g. number of international flights, daily allowances, etc (cf. Section 3 of the Guidelines). 6. Output All expected outputs, or results, are outlined. Outputs must be formulated in specific and verifiable terms. 7. Risks Brief outline of risks and uncertainties that must be taken into consideration. 8. Co-financing from other donors, etc. Expected or already obtained co-financing should be stated indicating amount and source of financing. Ministry of Foreign Affairs Baltic Facility 11

Project Budget (DKK) BUDGET (DKK) FINANCING (DKK) Total Budget Total Fees Fees, Danish partner Fees, Russian partner Fees, EU candidate country partner International flights Visa expenses Insurance Hotel Daily allowances Local transport Other expenses, i.e. materials and printing Auditing Total The Facility Other financing Date and signature of responsible person in the Danish region or municipality. Ministry of Foreign Affairs Baltic Facility 12

Statement of Partnership All partners in the project must sign the statement of partnership. When signing the statement of partnership, the partners declare that: All partners have read the application and that they understand the role that they play in the project; That the applicant will share information with the partners and keep them informed of the progress of the project and possible changes in the project implementation; That all partners will receive copies of the reports submitted to the Secretariat; and That they have agreed on the distribution of possible equipment and materials purchased as part of the project, upon its completion (this will normally be handed over to the Russian partner). Name: Organisation: Position: Signature: Date and Place: Ministry of Foreign Affairs Baltic Facility 13

ANNEX 2 Evaluation and Selection of Applications All received applications will be examined by the Steering Committee and evaluated according to the following criteria: 1) Eligibility of project partners and project proposals in accordance with the guidelines. 2) Evaluation of the quality of the proposals, including budgets, according to the below specified criteria, for which each sub-section will be given a score from 1 to 5, where 1 is very poor and 5 is very good: The evaluation will only be completed, if the score in Section 1 is at least good, that is 20 points. Section & Sub-section Maximum Score 1. Relevance 25 1.1 The adequacy of the choice of target groups, seen in relation to their needs 2x5 1.2 The relevance in relation to the overall objectives of the Facility 2x5 1.3 The creation of added value, like linkages to local or business community 5 2. Methodology 25 2.1 The adequacy of the proposal for division of tasks between the partners 2x5 2.2 Clarity and feasibility of the project strategy 2x5 2.3 The extent to which the outcomes of the project are measurable 5 3. Sustainability 25 3.1 The likelihood of the project having medium and long-term effects 2x5 3.2 The extent to which possible dissemination effects are built into the proposal 5 (possibility of replication and dissemination of information) 3.3 Expected sustainability of the results of the project 2x5 - Financially (will there be money to continue the activity?) - Institutionally (will responsible structures be able to carry on?) - Policy-wise (will changes be produced in the regulations and procedures) 4. Budget and Cost-Effectiveness 15 4.1 Clarity of the budget 5 4.2 The degree of reasonable connection between costs and activity 5 4.3 The degree of co-financing, from the partners and possible other sources 5 5. Management Capacity and Expertise 10 5.1 Previous Project Management Capacity of the Applicant 5 5.2 The adequacy of the professional and other resources of the partners, which can be 5 devoted to the project Maximum total score 100 Ministry of Foreign Affairs Baltic Facility 14

ANNEX 3 Project Reporting Form An End of Activity Report must submitted by Danish partner (project holder) to the Secretariat upon completion of the project. The report should be no more than three pages in length and must be signed by the responsible project coordinator / manager. The report must be submitted no later than one month after the completion of the project. 1. Project Title: 2. Project Partners: 3. Duration of Project: 4. Assessment of activities undertaken The activities carried out under the project are described and accounted for here, including an assessment of the outputs or effects of the project. 5. Assessment of the meeting of the objectives The project holder will assess the extent to which the objectives stated in the project application have been met, while taking into account the produced outputs. 6. Deviations in project implementation Deviations from the project proposal should be stated here (activities and timing). 7. Sustainability The expected sustainability of the project will be described, i.e. the extent to which the project partners are capable of continuing the activities enacted and benefiting from the project activities undertaken. Dissemination and further use of project results will also be described. Planned or anticipated work or initiatives, which the project recipient is expected to undertake in continuation of the project activities, will be described here. 8. Lessons learned Here, the most important conclusions of interest for others to be drawn from this project will be stated. Ministry of Foreign Affairs Baltic Facility 15

Annex 4 Possible Cooperation Projects Examples purely for illustration Spatial Planning A coastal municipality in Russia wishes to strengthen its capacity for land use planning related to its objectives for economic development based on transport, commerce and tourism. A partnership is developed with a Danish and a Polish neighbouring Region, known from participation in the Baltic Cross-border Euro-region, with substantive experience in this field. A joint Danish/Polish mission of planners spend a week in the Russian municipality to become familiar with the task. One of the Poles undertakes translation & interpretation. The Russian partner has taken care of invitations for visa and special papers to facilitate the crossings of the border. The mission is accommodated in a low cost municipal guesthouse. Subsequently, a Russian planner undertakes one month s traineeship in Denmark and another, simultaneously, one month in Poland. Upon return, the Russian planners develop a draft plan for land use, the objective of which is to be used as a base for debate and ultimately decision-making in the Municipality. The draft is further elaborated at a joint seminar in the Russian municipality with the participation of the Danish and Polish experts and the concerned Russian authorities. The result is a workable plan, provided the back-up of the superior Russian authorities and provided that spatial planning be compatible with long-term strategic planning. Training in Project Design and Implementation A Russian border region with high unemployment wishes to strengthen its capacity to develop projects eligible for international support, while increasing its cooperation with the local business and NGO communities. Together with a Danish partner and a Lithuanian bordering partner with similar needs, a training programme is developed to enable the trainees to measure the needs for action in relation to specific problems and indicators for measuring the effects of targeted action. Subsequently, traineeships are undertaken and joint cross-border seminars held, differentiated for business people and NGOs, from both sides of the border. Institutional Twinning in the Social Sector A Russian partner wishes to develop a traditional orphanage for the age group of 3-18 into a social institution able to cope with rising problems of juvenile delinquency, drug abuse and aids. In Estonia, useful experience has been gained in this field in medium-term cooperation between a youth home and a Danish NGO specialised in boarding school job training and job placement support for vulnerable youth. Through the mediation of the Danish region subsidising the work of the Danish NGO, Danish and Estonian social pedagogues undertake a two-months assignment in the Russian institution to provide in-service training for the staff, supported with the versioning of existing teachers manuals on the topics into Russian and equipment for job training, paid for by the project. For the future, it is agreed between the partners that mutual consultations and visits will continue regularly independently of possible external financing. Ministry of Foreign Affairs Baltic Facility 16

Annex 3: EU Co-funded Programmes of Interest to Danish Regional and Local authorities in their co-operation with Partners in the Baltic Sea Region Programme Multi-thematic programmes Themes included in the programme Application Handling Countries eligible for support Yearly EU-fin. (Mio EURO) EUcofin. % of costs. Interreg III B BSR*) **) (Community initiative) Interregional co-operation in BSR region, actions on the EU-side supported. Includes special development approaches, territorial structures supporting sustainable BSR development and promotion of institution building. Tacis CBC small scale project facility Cross-border cooperation for assisting border regions in development problems, encouraging networks and accelerating transformation processes in partner states, and reducing transboundary environmental risks. Offers good opportunities for linking with Interreg projects. Tacis Bistro Support to small projects and events. Aim at quick and relatively informal administration of applications. Tacis IBPP Institution Building Partnership Programme (IBPP) supports a number of sectors and themes. The projects should be focussed and contain a mix of activities that have a sustainable institution building effect. Is a follow up on Tacis Lien and City Twinning. Phare Access 2000 To strengthen civil society and prepare for the accession of candidate countries. Depending on the country, only some sectors and sub-sectors might be eligible for support. Social care/ health Ministry of Foreign Affairs Baltic Facility 17 Education Bus./ec. dev. Adm. Reform Energy Environment Infrastructure Brussels Decentral EU Cand. Countries Other BSR count. X X X X X X 14 50-75 X X X X X X 80 X X X X X X X X X X 50 75-100 X X X X X X X X 80 X X X X X X

ECOS Overture*) X X X X X 75 To encourage cooperation between regional/local authorities based on the exchange of experience and knowhow, promote decentralisation, capacity building of local authorities, achieve practical results in regional/local development. EU-Twin City fund X X X 30 100 Programme Thematic Programmes Leonardo da Vinci To enhance the aptitude and skills of people in initial vocational training, to improve the quality of continuing vocational training, and to promote the contribution of vocational training systems to the innovation process. Socrates To strengthen the European dimension of education, to strengthen knowledge of languages and to promote cooperation and mobility in the education field. Life III On part of the programme is Life-Candidate country Countries, which includes technical assistance projects to develop administrative capacities and structures for the environment and development of policies and action plans. Also supports accompanying measures for evaluation, monitoring, promotion of projects, exchange of experience and dissemination. Synergy*) ***) Help define, formulate and implement energy policies in candidate country countries. Includes advice and training, analysis, dialogue and exchange of information, regional transboundary co-operation, improvement of the framework for industrial energy co-operation. Themes included in the programme Social care/ health Application Handling Countries eligible for support Ministry of Foreign Affairs Baltic Facility 18 Education Bus./ec. Dev. Adm. Reform Energy Environment Infrastruc ture Brussels Decen -tral EU Cand. Count -ries Other BSR count. Yearly EU-fin. (Mio. EURO) X X X X X 16.5 X X X X 26.5 75 EUcofin. % of costs. X X X X 128 30-70 X X X 3 50-100

Alterner II*) To promote renewable energy, including analyses, information, development of markets, and development of regional and local energy offices. Save II*) To promote an effective and rational use of energy and to limit the negative environmental influences of energy-use on the environment. X X X 4.5 X X X 2 *) Three partners required **) Co-funded by the European Regional Development Fund (ERDF), Phare and Tacis Cross-Border Cooperation programmes. ***) Will be continued under the framework programme for energy. Ministry of Foreign Affairs Baltic Facility 19