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Fund Management Manual
as of December 2013
Our Overall Objective:
“…to contribute to the effective realisation of adherence to human rights and international
humanitarian law in the occupied Palestinian territory (oPt) and to influence the behaviour of the
relevant duty bearers…”
© December 2013
The Human Rights and International Humanitarian Law Secretariat in the occupied Palestinian
territory (hereafter The HR/IHL Secretariat or “Secretariat”), is a project implemented by NIRAS
NATURA AB – Sweden, and the Institute of Law, Birzeit University, Birzeit, Palestine, with
generous support from the governments of Sweden, Denmark, the Netherlands and Switzerland.
Disclaimer
The views expressed in this publication do not necessarily reflect the views of NIRAS NARURA
AB, Birzeit University, or the donor governments.
2
CONTENTS
1.
INTRODUCTION
1
2.
ABOUT THE SECRETARIAT STRUCTURE
3
3.
4.
5.
6.
2.1.
Secretariat Management
3
2.2.
The Secretariat’s Planned Results
3
2.3.
The Secretariat Mandate, Functions and Modality
3
2.4.
Secretariat Organizational Structure
4
2.5.
Secretariat Strategy (2014-2016)
4
2.6.
Roles and Definitions of Advisory and Technical Bodies
4
2.6.1.
The Steering Committee (SC)
4
2.6.2.
Reference Group
5
2.6.3.
Technical Appraisal Committee
5
CSOs PREQUALIFICATION
6
3.1.
CSOs Mapping and Capacity Assessment
6
3.2.
CSOs Identification and Prequalification (Based-on Expression of Interest)
6
GRANTS: TYPES AND MECHANISMS
7
4.1.
Core Funding
7
4.2.
Project Funding
8
4.3.
Funding Instruments/mechanisms
9
GRANT MAKING POLICY, PRINCIPLES AND BASIC REQUIREMENTS
11
5.1.
General
11
5.2.
Criteria for Funding Eligibility
11
5.2.1.
General Criteria (for Core and Project Funding):
11
5.2.2.
Specific Criteria for Core Funding
11
5.2.3.
Specific Criteria for Project Funding
12
5.3.
Non-Eligible Organizations
12
5.4.
Eligible Costs
13
5.5.
Ineligible Costs
14
5.6.
Breaches of Grant Conditions
14
5.7.
Ensuring Accountability and Transparency
14
5.8.
Conflict of Interest Statement
15
GRANT MANAGEMENT PROCESSES
16
6.1.
Grants Work-Flow Process
16
6.2.
Grant Management Cycle
18
7.
6.2.1.
Planning
18
6.2.2.
Consensus Building/Consultative Meetings
18
6.2.3.
Call for Proposals
19
6.2.4.
Pre-Award Responsibility and Determination
20
6.2.5.
Capacity Development Objectives
21
6.2.6.
Application Inquiry and Collection of Application Forms
22
6.2.7.
Submission of Proposals
23
6.2.8.
Concept Paper
23
EVALUATION OF GRANT PROPOSALS
24
7.1.
Objectives of the Evaluation Process
24
7.2.
Eligibility Criteria
24
7.3.
Selection Criteria
24
7.4.
Stages in the Evaluation Process
24
7.4.1.
Receipt and Registration of Proposals
25
7.4.2.
Opening of the Proposals
25
7.4.3.
Evaluation of Proposals
25
7.5.
8.
Cancelling the Call for Proposals Procedure
AWARD OF GRANTS
26
28
8.1.
Issuing the Award of Grants
28
8.2.
Terms and Conditions of the Grant Award
28
8.3.
Contents of the Grant Agreement
28
8.4.
Budget
29
8.5.
Modifying Grant Agreements
29
8.6.
Disbursement Procedures
30
9.
RESULTS BASED MONITORING IMPLEMENTATION AND PERFORMANCE
9.1.
Reporting
32
32
9.1.1.
Semi-Annual Progress/Performance Reports
32
9.1.2.
Annual and Completion Reports
33
9.2.
Monitoring Visits
33
9.3.
Internal and external audits
33
9.4.
Sound Procurement and Financial Management Systems
35
9.5.
Audits and Records Maintenance
35
10.
GRANT CLOSEOUT
36
10.1.
Completion Certificate
36
10.2.
Termination and Suspension
36
11.
LIST OF ANNEXES
37
1. INTRODUCTION
The Secretariat to Support Human Rights and International Humanitarian Law NGOs Operating in the
occupied Palestinian territory (hereinafter Secretariat) is a joint donor programme sponsored by Denmark,
the Netherlands, Sweden and Switzerland. The overall objective of the Secretariat is to contribute to the
effective realisation of adherence to human rights and international humanitarian law in the occupied
Palestinian territory (oPt) and to influence the behaviour of the relevant duty bearers, including Israel, the
Palestinian Authority and the governing bodies/authorities in Gaza. The Secretariat primarily works with
and supports Palestinian and Israeli human rights (HR) civil society organisations (CSOs) active in the oPt,
within the general parameters and context of ending the Israeli occupation of the oPt, and establishing an
independent, democratic Palestinian state in which human rights are respected.
To contribute to real and sustainable change within its priority areas, the Secretariat is providing core
budget support to CSOs as a main function of the Secretariat. Further, the Secretariat provides short-term
and limited project funding to CSOs to support new and existing organisations or initiatives that will further
improve HR and international humanitarian law (IHL) situation and ensure that the situation in the oPt
remains dynamic with relevant actors/programmes for change. The Secretariat’s approach to sustainable
development is principled on applying Human Rights Based Approach (HRBA) as well as IHR and IHL based
principles in its work. An objective of policy dialogue is also included, and aims at facilitating dialogue and
networking between the organisations, the donors and other stakeholders. As a cross cutting theme, the
Secretariat will focus throughout its activities on developing the capacity of CSOs whether directly or
indirectly throughout its life using different methods and approaches including in-house mentoring and
training, sharing lessons learned, and monitoring trends.
The Secretariat grants fund includes approximately 12,989,400 USD, and is planned to be distributed over
a three-year funding cycle (2014-2016). This amount is expected to be awarded using 2 types of grants:
(1)
(2)
Core Funding: about 80% of the grant fund will be awarded to CSOs eligible to receive Core Funding
as per the set standards and criteria defined in this Fund Management Manual (Manual); and,
Project Funding: about 20% of the grant fund will be awarded to CSOs eligible to receive Project
Funding as per the set standards and criteria defined in this Manual.
The Manual is considered to be the active implementation and procedural application of the Secretariat’s
Strategy (Strategy) and Results Framework, which will draw the big picture and guide the Secretariat’s
work. Hence, the Manual has been designed to meet the objectives, guidance and trends explored by the
Secretariat’s Strategy (the Strategy) to guarantee the efficient and effective implementation of the fund
management objectives in particular, and the other Secretariat objectives in general.
This Manual contains the policies, procedures, guidelines, and guidance that the Secretariat will use for the
solicitation, negotiation, awarding, administration, and results-based reporting of the grants awarded. In
addition, the Manual: outlines the overall structure of the grant cycle, explains the types of grants available,
clarifies the appraisal/evaluation criteria, provides guidance for CSO mapping/prequalification and lists the
eligibility requirements for CSOs.
The Manual is designed in a way that provides clear directions to promote transparency, predictability and
accountability in all aspects of Secretariat’s fund management (core and project) and to avoid subjective
determinations. To meet the fund management’s objectives, the Manual outlines:
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Detailed procedures, including the definition of standards and practical guidelines reflecting all
steps of grants management cycle in a transparent way, with clear evaluation criteria used in
assessing and appraising proposals and grants;
Ensuring all grantees understand their responsibilities in administering the grants fund within a
clear results framework;
Guidelines, required (results-based) reports and records necessary to successfully administer the
grants fund;
Documentation requirements for analysis and approval of grants proposals as well as for overall
management;
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Ensuring that grantees/partners are in full compliance to Secretariat and Donors standard
conditions and requirements;
Ensuring effective and efficient use of donor resources and funds;
Results-based and financial reporting requirements; and,
Results-based Monitoring and Evaluation requirements.
As a public document, the Manual will be distributed and disseminated to all partners, stakeholders and
other relevant parties including CSOs, the Secretariat, and Consortium of Donors.
The Manual follows the sequential cycle of the grants processes and describes the following:
Programme Ativities
Grants Implmentation
and Results-based
Monitoring of Grants
closure
Grant Cycle and
Procedures
Grantee Eligibility
Requirements
Types of Grant Activities
The Secretariat will balance both competitive and collaborative approaches with applicant CSOs based on
the experiences and lessons learned from previous programmes. The Secretariat emphasizes the
importance of building trust and partnerships with local partners based on mutuality and respect.
The Secretariat will provide technical assistance to partners through every step of the grant cycle, in both
funds and training, so that CSOs adopt and utilize transparent, efficient, and accountable results-based
management practices. Support through the grant awards will be provided to CSOs whose proposed
activities or programmes meet the eligibility and evaluation criteria and contribute to the Secretariat’s
strategy and results framework. Grants are both merit-based and performance-based and thus, the
Secretariat will evaluate proposals based on the criteria described in this Manual and the applicable call
for Proposals.
Each grant-seeking organisation must adhere in its grant proposal to the requirements, policies, and
procedures set forth in this Manual. In addition to the criteria contained in this Manual, the selection of
grantees will involve the thematic priorities of each Call for Proposals. This will ensure that:
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Competition is open and fair;
Proposals and budgets are carefully scrutinised and awards are decided on the merits of each
application;
Recipients are given the assistance and support they need to succeed; and
Awarded grants are carefully monitored to ensure that implementation is on course and
adjustments are made, as necessary, to solve problems as they arise.
The Manual will remain in force until further notice. Minor updating, for operational clarity, may be
introduced, with the approval of the SM. Any substantial changes will be discussed with and approved by
the Secretariat’s donors. Revised sections shall be clearly named, and shall be disseminated quickly, by
email and through the Secretariat’s website. The changes to a section will be marked as in the example
here: Current Version –06/12/2013 4:00pm. Any changes shall be signed by the SM.
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2. ABOUT THE SECRETARIAT STRUCTURE
2.1. SECRETARIAT MANAGEMENT
NIRAS Natura AB (NIRAS) partnered with Birzeit University (BZU) to manage the Secretariat. (the Managing
Partner). The Secretariat has been established and staffed with a SM, Finance and Administration Manager,
Fund Manager (FM), Communication Officer, CSO Facilitators (in the West Bank and Gaza), and finance and
administration support staff to manage the Secretariat. Short-term advisors will also support the operation
of the Secretariat, including but not limited to in the areas of M&E and policy development. The Secretariat
is supported by a Programme Director to manage donor relationships and provide peer support, as well an
active and timely Secretariat quality control system, from both NIRAS Nature and Birzeit’s Institute of Law.
2.2. THE SECRETARIAT’S PLANNED RESULTS
The Secretariat primarily works with and supports Palestinian and Israeli human rights civil society
organisations active in the oPt, within the general parameters and context of ending the Israeli occupation
of the oPt, and establishing an independent, democratic Palestinian state, in which human rights are
respected. The results framework of the Secretariat has the following goal and objectives:
Goal: To contribute to the effective realisation of adherence to human rights and international
humanitarian law in the occupied Palestinian territory (oPt) and to influence the behaviour of the relevant
duty bearers, including Israel, the Palestinian Authority and the governing bodies/authorities in Gaza.
Objective 1: A HR and IHL Secretariat is institutionalised CSO environment and considered a key player
and resourceful partner in the promotion HR and IHL issues in the oPt.
Objective 2: An effective fund for the promotion of HR and IHL issues in oPt, which is transparent, reduces
corruption and duplication.
Objective 3: Strengthened CSO environment in the HR and IHL sector through institutional development,
internal efficiency, effective participation in democratic processes and improved performance.
Objective 4: The Secretariat makes meaningful contributions to policy development in the sector through
evidence-based measures and effective information management system (IMS) against the monitoring of
services, and supports active participation of CSOs in the policy dialogue with donors and other sector
stakeholders.
2.3. THE SECRETARIAT MANDATE, FUNCTIONS AND MODALITY
The main functions of the Secretariat include:
 Administer core support to HR/IHL organisations whose plans and operations are aligned with the
objectives and strategic directions of the Secretariat;
 Administer project support (smaller grants) to organisations to: (a) enable response and effective
support to address urgent HR and IHL issues that promote HR and IHL if funded and (b) support
innovative proposals (from CSOs or network of CSOs);
 Provide necessary resources for partners to enable them to build their own capacity be those from
the Secretariat staff or experts, or provisions of capacity development within their own plans;
 Provide a platform for cooperation, coordination and networking to ensure that policies are
developed in coordination and cooperation between duty bearers and right holders including the
donor community; and
 Cooperate with CSOs operating in the oPt in the area of HR and IHL.
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2.4. SECRETARIAT ORGANIZATIONAL STRUCTURE
Steering Committee / Donor Consortium
Reference Group
Lead Donor
SIDA
Policy Dialogue
Policy Dialogue
NIRAS/PD
(On behalf of the Consortium with BZU)
Secretariat /SM
Support Staff
CSO core
FAM Manager
CSO core
CSO core
Fund Manager
CSO core
CSO core
CSO Facilitators
CSO core
CSO core
Communication officer
CSO
CSO
project
project
2.5. SECRETARIAT STRATEGY (2014-2016)
The Secretariat Strategy (2014-2016), is the Secretariat’s main reference document, and constitutes the
key strategic and guiding document for Secretariat operations in fund management, capacity development
and development of policy platform. As such, the Strategy outlines core areas for funding to ensure a
common performance framework in the sector, where CSO operations contribute to common sector
objectives by means of funding, capacity development and access to networking and policy platforms. For
this reason, CSOs need to acquaint themselves with the Strategy document and its focus areas in IHL/IHR.
It is the responsibility of the Secretariat to ensure management of the fund is results based, to aggregate
data on policy practices and generate knowledge and lessons from CSO practices to be shared across the
community. The Secretariat Strategy includes a results framework, designed to effectively assess and
measure outcomes to assure fulfilment of the program’s objectives.
For this reason, the implementation of the Strategy is assessed systematically and periodically against the
achievement of agreed results, using carefully tailored performance indicators.
2.6. ROLES AND DEFINITIONS OF ADVISORY AND TECHNICAL BODIES
2.6.1.
The Steering Committee (SC)
The Steering Committee is made up of the ‘Heads of Cooperation’ of the Secretariat Donors. The SC: (a)
determines the general framework and policies for the Secretariat; (b) approves this Manual and standard
forms, annual work plans and budgets for the Secretariat; (c) approves (or gives no-objection) to funding
as proposed by the Secretariat; (d) decides to open calls for proposals for project support; (e) approves
annual narrative reports and audited financial statements of the Secretariat; and (f) commissions the midterm review or any other external evaluation of the Secretariat.
The SC meets at least semi-annually. The Secretariat is present at all SC meetings, but is not eligible to vote
or make decisions.
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2.6.2.
Reference Group
The Secretariat is supported by a RG made up of the Donors, the Secretariat and civil society experts
selected from academia, research centres, think tanks and international organisations represented in oPt,
who are independent and impartial to the Managing Partner (including the Secretariat) or CSO partners.
The function of the group is to provide expert advice and strategic dialogue regarding developments, trends
and challenges in the HR/IHL sector. The RG meetings will be conducted/assembled two times a year.
2.6.3.
Technical Appraisal Committee
The Technical Appraisal Committee (TAC) is made up of the SM, PD and FM. The SM is the chair of the TAC.
The TAC is responsible for evaluating all proposals and Proposals.
The FM is responsible for calling for TAC meetings and for furnishing TAC members with required
documentation for review. The FM ensures that all TAC members sign the conflict of interest certification
for each application received, before initiating review and includes the certification in each grant evaluation
file.
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3. CSOS PREQUALIFICATION
3.1. CSOS MAPPING AND CAPACITY ASSESSMENT
The Secretariat started its grant making process with conducting a sectoral Capacity Needs Assessment of
the HR/IHL civil society organizations working in the oPt. The study revealed a number of capacity gaps that
will help the Secretariat design relevant and effective capacity development interventions to strengthen
partner CSOs in contributing to improved respect for HR and adherence to IHL in the oPt.
To Secretariat will conduct CSO mapping exercises on an ongoing basis to allow new CSOs to benefit from
the resources and services the Secretariat will offer.
3.2. CSOS IDENTIFICATION AND PREQUALIFICATION (BASED-ON
EXPRESSION OF INTEREST)
To encourage interested organizations to apply for core funding as described in Section 4 below, and to
allow the Secretariat to expedite its grant making process, the Secretariat announced in November 2013
an early pre-qualification process. The announcement is based on the core funding criteria mentioned in
Section 4 below.
The process is based on “Expression of Interest for Prequalification” form ( See Annex 1) to collect and filter
basic information of interested CSOs. The information includes: legal status; organizational structure and
governance; strategic plan and programme management capacity; partnership experience; constituency;
and financial management capacity. At the time of writing this manual, the Secretariat is determining which
CSOs will fit within the criteria. Those who would, will be invited to submit pre-qualification data for
inclusion in the roster of prequalified CSOs that the Secretariat will maintain and update. Only CSOs that
meet the pre-qualification criteria will be eligible for the initial core-funding cycle. A separate
prequalification process for project funding will be initiated in early 2014.
Similar to the December 2013 announcement, future Expression of Interest for prequalification form will
be advertised in local newspapers and the Secretariat’s Portal and social media tools and will be shared
with interested CSOs by all possible means.
The prequalification process will result in determining three pools or rosters of CSOs as follows:
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Well-established CSOs with proven competence and capacity that will be eligible for Core Funding;
Potential and promising CSOs that didn’t meet the formal requirements for core funding, but that
may be eligible for Project Funding;
Non-qualified CSOs because they clearly didn’t meet one or more of the basic criteria and
requirements or being itemised under the non-eligible organizations. Those CSOs will be added to
a ‘watch list’. The Secretariat may discuss with these CSOs the reasons of non-eligibility and
provide consultation on possible ways to enhance their status to become eligible, if possible.
Screening for determination of eligibility is carried out by the Secretariat team. Each “Expression of Interest
for Prequalification” will be examined by a committee formed for this purpose, and will be composed of
the following Secretariat staff: the two CSO facilitators, and the Fund Manager. The screening results will
be submitted to the Secretariat Manager for review and approval. Screening will be made using the
eligibility criteria set out clearly in the “Expression of Interest for Prequalification”. A list will be drawn up
containing ineligible CSOs. For each entry on the list, the grounds for rejection must be identified. The list
will be signed by Committee members, and approved by the Secretariat Manager.
6
4. GRANTS: TYPES AND MECHANISMS
The Secretariat offers two types of grants to eligible CSOs – Core Funding and Project Funding. These grants
are designed to offer maximum flexibility, given the wide variety of needs and priorities among CSOs
operating in oPt. The two grant types will provide both long and short-term funds, openings for rapid
response to certain opportunities and priority needs, to promote networking and coalition building, and to
increase institutional capacity.
4.1. CORE FUNDING
During its lifetime, the Secretariat is planning to launch two core funding cycles (calls for proposals); the
1st is for 3 years, covering the period 2014-2016, and is currently scheduled to be released mid December
2013, while the 2nd is for 2 years, covering the period 2015-2016, and is expected to be released in the last
quarter of 2014.
Some of the parameters to better clarify the Core Funding grants include the following:
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Under the assumption that the CSO’s entire budget is aligned with its strategic plan and thus it is
all directed to support the CSO’s oPt core programme.
The Secretariat will fund up to 20% of the CSO entire budget (based on the average funds
paid/expensed during the last three years) and up to $300,000 per year as a high ceiling,
conditioned with not encountering any double funding/dipping or double financing.
For Israeli CSOs, only the budget related to oPt programmes will be considered to determine the
funding level according to the above specified ceilings.
CSO may be eligible to receive core grants from the Secretariat if its budget is funded by any or all
members of its donor Consortium countries conditioned that the available core funds do not
annually exceed 30% of the CSO’s entire budget.
The Secretariat will allow for up to 10% annual growth rate for CSOs overall budgets.
The Secretariat will not consider CSOs who are demanding $50,000 or less of their entire budget
(per average of the last three years).
The Secretariat will consider standard allocation over the 2-3 years of funding based on the 1st
year’s identified requested amount for funding upon presenting their 3 years strategic needed
budget.
The Secretariat will consider securing adequate geographical coverage of oPt for grant support
and meeting the existing needs/priorities which are totally in-line with the Strategy.
As explained in the eligibility criteria under this section, eligible CSOs for Core Funding need to meet the
following standards:
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Core Funding will be directed to established Palestinian or Israeli HR and IHL organizations (HR/IHLbased Organizations) applying a human rights-based approach (HRBA) with a clear mandate, long
term strategy and a results-based framework that clearly contributes to the Secretariat’s resultsbased framework.
Core Funding is expected to cover up to three years, and not less than two years, starting from
2014 to 2016.
Core funding is expected to cover up to 20% of the organisation’s entire budget and not to exceed
$300,000 per year over the grant period, according to certain budgeting criteria and distribution:
Cost Category
Percentage of Total Core Funding
Budget
Salaries for CSO Staff (full-time or part-time)
Other Management and Operational Cost
7
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Institutional Capacity Development
Up to 50% provided that capacity
development section is not less than
10%1
Programme Related Expenses
Not less than 50%
Eligible CSOs are expected to submit proposal (as per the Secretariat’s Full Proposal template
provided in Annex 5) for multiple years considering the duration outlined above.
Eligible CSOs are required to provide a number of documents with their proposal including:
a. an updated strategic plan (or current strategic plan) and results framework and/or M&E
plan covering the period of the funding, or at least the first year of funding, explaining
how this is linked to and contributes towards the achievement of the Secretariat’s results
framework;
b. consolidated budget for the organization approved by management and authorised by
the Board of Directors for the upcoming year(s);
c. an action plan for the first year of the proposed funding; and
d. audited financial statements (external audit reports) from the last three years.
Parallel to the full proposal development, CSOs will engage with the Secretariat to conduct a
Participatory Organisational Capacity Assessment (POCAT) to identify capacity development
priorities which will feed in the Secretariat Capacity Development Plan. Certain capacity
developments elements may be considered part of the proposal components, while others may
be provided separately.
4.2. PROJECT FUNDING
Project Funding (short term and small grants – up to 12 months) is combined with capacity development
support to promote the development of Palestinian and Israeli CSOs implementing programmes in the oPt,
and in response to organisations and networks who come up with ideas that support and complement
elements of the Strategy or address growing needs that were either programmed or have arisen based on
changes in circumstances or needs. It also includes innovative and trend-setting ideas which, if funded, will
contribute to the promotion and protection of HR and IHL in the oPt. It will also keep open the possibility
for new CSOs to become operational in the oPt so that the sector remains dynamic with relevant actors for
change in line with the Secretariat’s overall objectives.
The Secretariat will encourage and support CSOs operating on the basis of projects to develop their
capacities and enhance their systems in order to assist them in showing noticeable development, serious
work and contribution to the sector. It will also assist CSOs in coming up with innovative ideas, excellent
implementation, commitment, and scaling up of their systems and operations so that they become more
sustainable and shift to more programme-oriented activities. Where this is achieved, these CSOs can be
upgraded for consideration for core funding in later cycles.
As explained in the eligibility criteria under this section, eligible CSOs for Project Funding need to meet the
following standards:
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Project Funding is aimed at making possible support to HR/IHL Palestinian or Israeli CSOs operating
in the oPt, registered with either Palestinian or Israeli authorities, which do not meet the
requirements for Core Funding but which have convincing potential, represent unrepresented
groups, or focus on issues that are not covered by core funding recipients.
Project Funding may cover CSOs that are not entirely HR or IHL organizations, but have strong
HR/IHL elements in their programmes or objectives. Project support will be provided for periods
not exceeding 12 months. In cases where contribution to the achievement of Secretariat objectives
merits expanding the duration of projects, exceptions may be considered.
(1)
It is the CSO’s choice to include capacity development or not based on their needs and according to their
strategic plan, work plan and budget.
8
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Project Funding is also aimed at supporting smaller emerging CSOs and community based
organizations (CBOs) with the potential to contribute to the Secretariat’s objectives based on the
theory of change, to foster community outreach and grassroots/constituent representation. This
would present promising models of collaboration and coordination, along with innovative and
convincing ideas for valuable contribution to the sector. These organizations will receive special
attention to develop their capacities and sustainability to mature and to systematically increase
their contribution to the dynamic areas of HR/IHL in oPt.
Calls for Project Funding will be launched from time to time, at least once a year, over the life of
the programme to a prequalified roster of CSOs (see section 3.2 above regarding prequalification
process).
Maximum ceiling amount allocated is $100,000 per project, while each prequalified CSO is allowed
to compete in every cycle conditioned upon the successful completion of previous project.
Eligible CSOs will be required to submit concept papers, and upon approval will move to full
application development. Acceptance of concept papers does not necessarily guarantee funding.
Project Funding will also be complemented with capacity development support aimed at
strengthening the organisation and supporting its programme delivery capacity. Capacity
development support shall be based on the outcome and findings of a Participatory Organizational
Capacity Assessment (POCAT). The assessment is expected to determine the capacity development
priorities, which will feed in a Capacity Development Plan (CDP), and will be seen as part of the
proposal components.
Organisations that have been invited to develop full Proposals for project funding can receive
support from the Secretariat to develop and finalise their project Proposals, budgets and
corresponding results frameworks (if deemed necessary).
4.3. FUNDING INSTRUMENTS/MECHANISMS
To promote maximum flexibility and due to the diversity of prospective recipients, two grant instruments
may be used to commit funds throughout the Programme: Simplified Grants (SIM) devoted to Core
Funding, and Standard Project Grants (STA) for Project Funding.
Type
Purpose of this
instrument
Funding
Disbursement
Max Budget
Duration
Documents Required
Simplified
Grants
(SIM)
Provide longterm support
fund for recipient
organisations in
the form of Core
Funding
Fund disbursed in
three instalments per
year (40%, 40%, 20%)
$300,000
Per Year
One year –
up to three
years
Full Proposal, Detailed
Budget, Implementation Plan,
Results Framework and
Capacity Development Plan
(as needed).
1st instalment on
signing GA, 2nd
instalment after
submitting
satisfactory semiannual report, 3rd
instalment after
receiving external
audit report. And the
same is applied for
the next year(s).
Attachments include:
(a) Updated or current
Strategic Plan covering the
period of the funding,
including targets/indicators
for results based monitoring;
(b) Consolidated Budget;
(c) Action Plans including
results based indicators; and
(d) Audited financial
statements for the latest 3
years.
9
Standard
Project
Grants
(STA)
Provide shortterm support
fund for recipient
organisations to
implement
activities and
increase
organisational
capacity in the
form of Project
Funding
Fund disbursed in
three instalments
(40%, 40%, 20%)
1st instalment on
signing GA, 2nd
instalment after
submitting
satisfactory semiannual report, 3rd
instalment after
receiving external
audit report.
$100,000
Up to 12
months
Concept Paper, followed by
Full Proposal, Detailed
Budget, Implementation Plan,
Results Framework including
results based indicators and
Capacity Development Plan.
The Calls for Proposals will normally specify the instrument and type of grant being solicited. In cases where
the Secretariat determines to fund activities using a different type of grant than that specified in a Call, the
TAC may decide to use a different mechanism. For example, if an organization applies for shorter-term
funds through a Standard Project Grant, the TAC has the flexibility to award a smaller amounts or durations
of grant instead. This decision is used as a rapid response support to organizations. It can fund one-time
event, short-term projects that responds to emerging events or windows of opportunity, or capacity
development activities.
Grant Proposals need to be innovative and creative. Innovation requires “out-of-the-box” thinking,
identifying windows of opportunity grants. The Secretariat Strategy is intended to give direction to
innovative solutions.
CSOs are encouraged to be creative and responsive to both HR and IHL needs in the oPt and to the
surrounding operating context and to constituencies CSOs serve or represent. The Secretariat urges CSOs
to partner with universities, research centres, think-tanks, local government entities and institutions in
addition to other CSOs/CBOs, amongst other actors.
10
5. GRANT MAKING POLICY, PRINCIPLES AND BASIC
REQUIREMENTS
5.1. GENERAL
Grants will be awarded through open Calls for Proposals to provide all potential applicants equal access to
grant funds. Calls for Proposals will be published on the Secretariat portal (at www.RIGHTSecretariat.ps)
and disseminated to prequalified CSOs by email.
No grant may be awarded retroactively for operations already completed, and no expenses can be incurred
by the Secretariat, unless (in both cases) there is an exception by the SC (to authorise retroactive funding
of Core Fund recipients and/or expenses and costs incurred before the date on which the grant contract is
signed or the expenses is incurred). The SC already deemed eligible signing retroactive contract and
expense eligibility for the Core Funding Round of 2013-2014. This decision came to avoid creating CSO
funding gaps.
5.2. CRITERIA FOR FUNDING ELIGIBILITY
Grants may be provided to HR and IHL non-profit CSOs operating in the oPt that are legally registered and
recognised with Palestinian or Israeli authorities.
Criteria for eligible CSOs include general criteria applied to both core funding and project funding grantees,
although each type of funding has additional, distinct set of criteria as follows (irrespective of the
sequence):
5.2.1.
General Criteria (for Core and Project Funding):
The CSO:
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Is Palestinian or Israeli CSO, legally registered with the Palestinian or Israeli authorities, and
operating actively in the oPt, with an HR/IHL mandate, or its mandate includes significant
programmes or components dedicated to ensuring adherence to and respect for HR/IHL in the
oPt;
Is operating under “the going-concern assumption” and sustainable for the foreseen future;
Has a management structure with clearly defined and divided roles and responsibilities;
Has sufficient technical and institutional capacity necessary for the efficient and effective
implementation of their programme/project;
Adopts and uses transparent processes and systems, involving governance best practices and
minimum standards;
Has documented a sufficient administrative and accountability capacity;
The proposed activities that respond to the goals, objectives and result framework of the
Secretariat;
Has an internal control system in-place with adequate internal manuals and financial guidelines;
Abides to non-violence and non-discrimination in its work;
Has a bank account operated by more than one signatory, and can open a separate bank account
to be devoted for the Secretariat-provided fund;
Strongly and clearly coordinates and cooperates with other CSOs in the sector;
Willing to address its capacity development needs if necessary; and
Willing to participate in and contribute to policy dialogue activities.
5.2.2.
Specific Criteria for Core Funding
The CSO:
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
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Is a Palestinian or Israeli CSO legally registered with the Palestinian or Israeli authorities, since a
minimum of three years;
Has a clearly defined HR/IHL mandate which falls within the scope of the Secretariat in the oPt;
Strategic plans and operations essentially constructed with key features of human rights based
approach (HRBA), and the CSO applies HRBA principles (participation and inclusion, accountability
and rule of law, non-discrimination and equality, legality, transparency, empowerment,…etc.) in
practice and within its work;
Has annual statements of accounts audited by a qualified external auditor for the last three years;
Has a long term strategic plan (for a minimum of 3 years) and a clear corresponding results
framework that contains a thorough stakeholder analysis, and built-in participation of
stakeholders;
Is able to describe its specific role and added value in its relevant context (with reference to what
other organisations do in the same field);
Documents capacity in advocacy and/or any other method for achieving real and tangible results;
Documents record and/or a clear strategy for coordinating and cooperating with other civil society,
state or international organisations and actors in its field;
Has a clearly defined local or national outreach;
Can show a clear policy and/or strategy for efficiency and cost effectiveness;
Has a clearly defined strategy for and a documented record of gender mainstreaming, and
protection of vulnerable groups (including women, children, disabled and those living in remote
areas of its work); and
As a plus, the CSO previously received and successfully managed core funding.
5.2.3.
Specific Criteria for Project Funding
The CSO:

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
Is a Palestinian or Israeli CSO legally registered with the Palestinian or Israeli authorities, since a
minimum of two years;
Has a clearly mandate which falls within the scope of the Secretariat in the oPt;
Has convincing potential and is able to present an interesting project proposal which is clearly
creative or innovative in nature, or which is in any other way assessed to be of particular interest
or relevance in the specific context of insuring HR/IHL respect in the oPt, and in-line with the
Strategy;
Activities and operations essentially constructed with key features of human rights based
approach (HRBA), and the CSO applies HRBA principles (participation and inclusion, accountability
and rule of law, non-discrimination and equality, legality, transparency, empowerment,…etc.) in
practice and within its work;
Presents a project proposal which is sufficiently well defined and which has a reasonable and cost
effective budget;
Has an annual statement of accounts audited by a qualified external auditor for at least one
previous year;
Documents past experience, implementing a project with a minimum budget of $10,000, involving
activities of HR/IHL nature and relevance; and
Has a basic and sufficient strategy for and a documented record of gender mainstreaming, and
protection of vulnerable groups (including women, children, disabled and those living in remote
areas of its work).
5.3. NON-ELIGIBLE ORGANIZATIONS
Organizations will be excluded from participation in the prequalification process, and future Calls for
Proposals or the award of grants if they:
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Engage in misrepresentation of information required by the HR/IHL Secretariat as a condition of
participation in the call for proposals or fail to supply this information;
Have attempted to unduly influence the grant application evaluation process, during current or
previous grant cycles;
Are bankrupt or being wound up, are having their affairs administered by the courts, have entered
into an arrangement with creditors, have suspended business activities, are the subject of
proceedings concerning those matters or are in any analogous situation arising from a similar
procedure provided for in national legislation or regulations;
Have committed an offence concerning professional conduct by a judgment, against which no
appeal is possible;
Have engaged in professional misconduct proven by any means and can be justified;
Any organization that has been found by the Secretariat, donors or a third party to have misused
funds in the past;
Have been the subject of a judgment for fraud, corruption, involvement in a criminal organization
or any other illegal activity detrimental to the Legal Services Facility’s financial, professional and/or
ethical interests;
Have been declared to be in serious breach of agreement for failure to comply with their
contractual obligations in connection with a procurement procedure or other grant award
procedure financed by any of the recognized grant makers / donors;
Are found to have double funding, or have received core funding from another donor for the same
proposal and identical activities;
Are individuals (unless registered and recognized locally as an individually constituted
organization); and
Are organizations that advocate, promote, or espouse anti-democratic policies or illegal activities,
determined at Secretariat’s and donors’ discretion.
5.4. ELIGIBLE COSTS
Only costs incurred during the period of the Grant Agreement and after the CSO and Secretariat have
signed the Grant Agreement will be reimbursed and covered. (see exception in section 5.1 above). All costs
must be reasonable, allocable, and allowable in accordance with the terms of the Grant and the applicable
cost principles. To be considered eligible costs of the grant, costs must:



Be necessary for carrying out the grant, be provided for in the agreement and comply with the
principles of sound financial management, in particular value for money and cost-effectiveness;
Have actually been incurred by the grantee or its partners during the implementation period of
the grant as defined in the grant agreement, whatever the time of actual disbursement by the
grantee or a partner; and
Be recorded in the accounts of the grantee or its partners and be identifiable, verifiable and backed
by originals of supporting documents.
Subject to the above, the following direct costs are eligible:






The cost of staff salaries and benefits assigned to the grant as per the agreement and budget,
corresponding to actual salaries plus benefits based on the applied CSO policies/procedures and
referring to its salary scale (salaries and costs must not exceed those normally borne by the grantee
and/or its partners);
Travel and subsistence costs for staff taking part in the grant activities, provided they do not
exceed those normally borne by the grantee and/or its partners;
Purchase costs for equipment and services;
Sub-contracting expenditure (i.e. consultancy services);
Costs deriving directly from the requirements of the grant agreement including bank charges
(dissemination of information, monitoring and evaluation specific to the grant activities, audits,
translation, reproduction, etc.); and
Costs of consumables and supplies.
13
5.5. INELIGIBLE COSTS
The following direct costs are ineligible:





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
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



Profits or fees;
Taxes and duties, except Personal Income Taxes (conditioned with donor providing the required
exemptions from the local governments and authorities);
Debts and provisions for losses or debts;
Interest owed;
Fines and/or penalties;
Purchases of motor vehicles, land or buildings;
Costs for items already financed in another framework (no double charging);
Indirect costs or overhead;
Contributions in kind;
Alcoholic beverages;
Luxury goods and gambling equipment;
Private ceremonies, parties, celebrations, or "representation" expenses;
Payment of previous obligations and/or bad debts; and/or
Any purchase or activity, which has already been made (no retroactive financing).
5.6. BREACHES OF GRANT CONDITIONS
The Secretariat needs to be continuously satisfied that each grantee complies with conditions relating to
accountability and reporting. If breaches are not readily resolved, or if a grantee continues to have
breaches of a similar nature, the Secretariat may, at its own discretion, consider the following options:





Continue funding on the basis that the grantee agrees to tighten up its administrative practices or
commits to undertake further training or contract appropriately qualified consultants;
Acceptance by the Grantee of the assistance/supervision of the Secretariat pending a possible
restructuring of, or training for, the grantee;
Temporary suspension of funding until the grantee implements acceptable corrective measures;
Cessation of funding; and/or
Where the grantee has been found to have breached the condition relating to the use of grant
funds, action must be taken immediately as provided in the grant agreement.
The Secretariat will not release any further funds if any grantee fails to demonstrate ability to manage the
grant, such as in cases where the grantee:






Misappropriates grant funds;
Engages in fraudulent activities;
Acts in a manner inconsistent with HRBA, HR, IHL, or the main objectives of the Secretariat;
Displays extremely low or deteriorating performance levels, as regards overall achievement of
grant objectives and/or financial performance;
Is insolvent; and/or
Otherwise breaches the terms and conditions of the grant agreement.
5.7. ENSURING ACCOUNTABILITY AND TRANSPARENCY
Steps towards accountability and transparency include:



Publication of lists of awarded grants, the amount, the purpose, and the geographic areas covered
on the Portal of the Secretariat;
Using the Secretariat Portal for publishing and disseminating grants results, products, reports,
success stories, and information relevant to the HR/IHL sector;
Grant award events organised by the Secretariat;
14

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



Grant launching events organised by grantees in the areas where the activities will be implemented
to be attended by local governments, local CSOs, private sector, community representatives and
Secretariat representative(s) where information will be disseminated with an emphasis on
amount, expected outputs and activities of the grant to ensure no unrealistic expectations are
created;
Semi-annual and annual grantee results based progress reports;
Semi-annual and annual Secretariat reports;
Annual and semi-annual learning/sharing forum discussing progress;
Grant closure events attended by the same local forum as grant launch events; and,
Grantee results based completion reports.
5.8. CONFLICT OF INTEREST STATEMENT
To ensure transparency at all levels, the Secretariat will ask partner CSOs to disclose any conflicts of interest
that may exist as a result of their participation in the Secretariat. Such conflicts could include, but are not
limited to:


Governors, directors, officers, or employees are also employed by the organization’s primary
procurement source; or
Governors, directors, officers or employees have immediate family members who are Secretariat
or Donors staff.
15
6. GRANT MANAGEMENT PROCESSES
This section provides an overview of the grant management cycle and workflow processes that drive the
Secretariat grants fund programme. Grant management processes are designed to enable the results based
management of the grant fund, and the consolidation of outcomes, lessons learnt and policy dialogue
development. The procedures outlined relate to all stages of the Grants management cycle.
The HR/IHL Secretariat employs seven Grants Management Process stages:
1) Planning, 2) Call for Proposals, 3) Applying the Participatory Organizational Capacity Assessment Tool, 4)
Proposals Evaluation, 5) Grant Award, 6) Results Based Monitoring of Implementation & Performance; and
7) Closeout & Audit.
Targeted capacity development interventions by the Secretariat is central to the entire grants management
process. Capacity development activities provided by the Secretariat as a complement to grants may
include, but are not limited to:




How to develop a project document;
Project management, including results based management;
How to draft a project report;
Financial management and accounting;
The remaining sections of the Fund Management Manual are divided along these stages of the grant cycle.
Each section will describe the grant stage as well as the procedures and approvals required to complete
the cycle. Throughout the cycle, the Secretariat will ensure that (1) Grants are awarded in a transparent
manner, (2) proposed grant activities and objectives are relevant to the HR/IHL context and linked to the
programme objectives, (3) sustainability is addressed in the application and (4) the applicant is in full
adherence to all relevant regulations and requirements derived from best practices and proper fund
management practices and techniques.
6.1. GRANTS WORK-FLOW PROCESS
This section describes the workflow process to be undertaken during the solicitation, concept paper and/or
full proposal solicitation, development and review, and grant agreement stages. The following 16 steps
describe the work-flow process with clear illustration:
 CSOs Mapping and Identification;
 CSOs prequalification;
 Consensus Building/Consultative Meetings;
 Drafting and releasing of solicitation (Call for Proposals) after the approval of donors;
 Pre-submission workshop to explain the Call for Proposals and give guidance and explanation
supporting the development of proposals;
 Concept Papers developed and submitted to the Secretariat (This step is designed for Projects
Funding only and will not be applied to Core Funding);
 Appraisal/Evaluation of Concept Papers;
 Pre-Award Survey and Responsibility Determination;
 Administering the Organizational Development Capacity Assessment Tool (POCAT);
 Coaching and Accompaniment of CSOs in the Full Proposal development;
 Full Proposal developed and submitted to the Secretariat;
 Full Proposal Appraisal/Evaluation;
 Grant approval and agreement;
 Start-Up workshop (new partners training and orientation);
 Grant Implementation and Monitoring;
 Grant Close-out and Audit.
16
Illustrative Chart: Grants Work-Flow Process
Non-prequalified CSOs;
classified under “watch list” and
will receive feedback and
consultation from the Secretariat
to enhance their status
CSOs
Identification/Prequalification
Prequalified CSOs will
participate and receive the
Secretariat’s Call for
Proposals
GRANT MANAGEMENT CYCLE
Consensus Building/Consultative Meetings
Consultative meeting with CSOs to discuss sector priorities in advance of the Call for Proposals release
The Secretariat seeks SC concurrence before each Call for Proposals is released
Targeted CSOs attend pre-submission workshop. CSOs invited to submit proposals
If not approved, Secretariat
holds consultations to determine
next steps with CSOs
Concept papers reviewed by Secretariat-TAC. Staff
consult with CSOs to make revisions if necessary.
Successful concepts submitted to SC for approval
If approved, Secretariat invites organizations to submit Full Proposal
In collaboration with CSOs, Secretariat conducts POCAT & Pre-award Survey and
assists in creating CDP. CSOs submit full proposal
If not approved, Secretariat
holds consultations to determine
next steps with CSOs
TAC evaluation and selection of successful proposals. Secretariat
provides accompaniment to revise/resubmit if necessary. Submit
successful proposals to SC for approval.
Upon receiving approval, designated staff negotiates grant agreements
and review terms with grantees
Agreements signed by SM and grantee representative. Start-up workshop held, Implementation begins.
Implementation, Monitoring and Reporting
Grant Closeout and AUDIT
17
6.2. GRANT MANAGEMENT CYCLE
Grant Management Cycle
Closeout & Audit
Planning
Monitoring
Implementation
and Performance
Calls for
Proposlas
Capacity
Development
Technical
Assitance
Capacity
Assessment
(POCAT)
Grant Award
Applicatrion and
Proposal
Evaluation
6.2.1.
Planning
The Secretariat overall planning process starts with different tasks and outputs that helped in building the
Secretariat Strategy. The Secretariat will work towards the overall programme objective guided through
this Strategy, which outlines the strategic framework (IHL/HR focus areas, approaches and methodologies)
while partnering with CSOs operating in the oPt in the sector.
The Strategic Framework of the Secretariat is set using a carefully tailored process of data collection,
analysis, reflection and sequenced consultation with stakeholders. The initial Scoping Study and CSO
Capacity Needs Assessment provide two key inputs in the Strategy development process. These provided
an overview of the concurrent IHL/HR context, issues and conditions within which stakeholders operate in
the sector, and an analysis of capacity gaps amongst partnering CSOs, and informed Strategy focus areas
and the design of the Secretariat capacity development interventions. The Strategy is carefully considered
in designing this Manual in general, and in planning and developing the grant management cycle: from
initiation of the grant programme, to planning, implementation, and closeout. The grant management
cycle planning stage is outlined as follows:
The CSO mapping/identification and prequalification process is considered part of the planning process,
which starts after identifying prequalified CSOs that are eligible to acquire Secretariat services.
The Secretariat’s next step is a set of consensus building/consultative meetings – a prerequisite to issuing
the Call for Proposals.
6.2.2.
Consensus Building/Consultative Meetings
Prior to drafting calls for proposals (and within a period of not less than 6 months between a meeting and
another) the Secretariat will hold consultative meetings and brainstorming sessions with CSOs,
18
stakeholders, key players, duty bearers, interested groups, donors and others in order to identify relevant
HR/IHL technical/programmatic areas of interest, sector priorities, issues of concern and to test and review
and possible update its Strategy. Discussions will help CSOs and stakeholders determine or ascertain the
responsiveness of their activities and budget to the genuine and most pressing needs and priorities of
target communities, which ultimately contributes to shaping the Secretariat’s Strategy and ultimately calls
for proposals.
6.2.3.
Call for Proposals
The call for proposals process is the initial stage of the grants cycle. Calls for core funding will generally be
initiated through requesting full proposals from prequalified and eligible CSOs, while calls for projects
funding generally involve soliciting concept papers, followed by full proposals.
Calls for proposals will be published to prequalified lists of CSOs meeting the eligibility criteria. CSOs are
free to submit grant Proposals in response to guidelines published via the Secretariat’s portal, and
distributed by email or other media.
The Secretariat encourages competition, which helps identify and support the best possible projects and
programmes, to contribute to the achievement of the Secretariat’s objectives. The Secretariat also
recognizes the need to remain flexible and responsive to award grants supporting targeted
areas/ideas/activities. Competition will be ensured through the periodic release of Calls for Proposals.
These Calls will provide explanation of the grant application process, including the submission of Proposals.
Each Call for Proposals will include the following:
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Background;
purpose and scope based on the HRBA principles and Secretariat implementation of mandate as
determined by the Secretariat Strategy;
suggested thematic areas of focus, while encouraging innovation and creativity;
rules regarding eligibility;
geographic focus and coverage;
programmes and costs which are eligible for financing;
ineligible expenses and activities;
proposal evaluation criteria;
programme steps and guidelines with information on the evaluation process;
funding (estimate of funds available and grants fund ceiling);
duration of support, including estimated start and end dates;
instructions to applicants:
-


instructions on how to fill in the application form, what to annex to it and what procedures to
follow for submitting an application;
point of contact, including name, title, address and phone number, and
any disclaimers (such as that the Secretariat reserves the right to fund any or none of the
Proposals submitted).
any other relevant information; and,
annexes.
All calls will include a disclaimer stating that the Secretariat is under no obligation to fund any activity or
provide any awards to any applicant unless under a signed Grant Agreement.
The guidelines will set out clearly and in detail the objectives and priorities of the call for proposals based
on the Secretariat Strategy, with particular attention to eligibility- and selection criteria, which must be
included in the guidelines.
The proposal form to be completed by the applicants will comprise the following parts (refer to annex 5 application form for core funding - annex 7 - application form for project funding):

Title of the proposal;
19
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Name of applicant organisation and contact information;
Short summary of the proposal;
Organisational background of the Applicant and any partners;
Strategic importance of the proposal and its relation to the support areas;
Description of the objectives, outputs, activities, indicators of the proposal;
Completed Capacity Development Plan;
Cost and Budget; and,
Work Plan.
The Secretariat seeks Steering Committee concurrence before the release of each Call for Proposals.
6.2.4.
Pre-Award Responsibility and Determination
Once CSOs are identified as potential participants by the Secretariat team and during the proposal
preparation stage, the Secretariat will initiate a responsibility determination process to evaluate the
management, financial and administrative capacity of CSOs to implement the Grant if awarded. The preaward responsibility determination process includes the following steps:
6.2.4.1.
Pre-Award Survey (Assessment of CSOs Internal-Control System)
The Secretariat will conduct a pre-award survey as part of the preliminary selection process. By conducting
the survey in the early stages of the partnership, the Secretariat will be able to determine each
organization’s capacity and needs with regards to financial and administrative systems. The CSO pre-award
survey could be part of the Participatory Organizational Capacity Assessment Tool (POCAT) or may be
conducted separately.
The applicant’s systems must comply with basic accountability and reporting requirements. Pre-award
surveys include testing related to financial and programme management standards. Other standards (e.g.,
procurement) will be tested as applicable with respect to the terms and conditions of the proposed grant
award. In the event that the applicant’s administrative and financial systems are not in compliance with
best practices requirements, the applicant must adopt and implement the systems recommended by the
Secretariat in order to be eligible for an award.
6.2.4.2.
Main Steps in the Pre-Award Survey
The main steps in the pre-award survey include:

Requesting and reviewing information such as the latest audit reports, accounting/financial
manual and system, general ledger, sample timesheets, sample monthly accounts reconciliations,
sample travel expenses, purchase orders, human resources manual, and others either prior to or
during the in-house survey. The full list which needs to be provided is as follows:
 Key employee job description
 Organizational Chart
 Accounting/Financial Manual
 Operation Policy Manual including
procurement systems
 Accounting and Financial System


 Personnel/HR P&P Manual
 Cost Ledger
 Balance Sheets
 Detailed Property Records
 Sample purchase order
 Financial & Accounting Records
Pre-award self-assessment survey – All applicants must complete a pre-award self-assessment
survey.
Meeting at the prospective partner’s organization to complete the pre-award survey
questionnaire.
20

Secretariat designated staff, will draft a report detailing all actions that need to be undertaken by
the potential recipient to meet the standard financial and administrative requirements within a
specified timeframe.
 Follow-up appraisals to ensure all requirements have been met prior to the Fund Agreement. In
the case of special-award conditions being included in the Fund Agreement, the FM or designee
will follow up with the partner on a periodic basis to confirm that the special award conditions are
being observed.
The Secretariat may also consider a positive review of audits performed in accordance with relevant
standards and regulations, and the quality of the applicant’s past performance on similar Programmes, as
evaluated in addition to the formal pre-award survey of the applicant’s administrative and financial
systems.
6.2.4.3.
Pre-Award Responsibility Determination Process
Based on the information gathered from the pre-award survey including the formal on-site interview
process and the informal desk survey the Secretariat team shall, before recommending any full application
for approval, make a written determination of the applicant’s responsibility to the effect that it:





Has adequate financial resources, or the ability to obtain such resources, as required during the
performance of the award;
Has the ability to comply with the award conditions taking into consideration all existing
prospective recipient commitments, non-governmental and governmental;
Has a satisfactory record of performance (past relevant unsatisfactory performance is ordinarily
sufficient to justify a finding of non-responsibility, unless there is clear evidence of subsequent
satisfactory performance);
Has a satisfactory record of integrity and business; and,
Is otherwise qualified to receive an award under applicable laws and regulations.
If the Applicant is deemed to have significant weaknesses in the any of the areas listed above, the
Secretariat team will, in consultation with the CSO, draft a corrective action plan or risk mitigation strategy.
The plan/strategy will include steps that the partner and Secretariat will take to ensure that all funds are
managed properly during the applicant’s implementation. Such steps could include, among others, training
on financial management or other skills or donating accounting or project management software. In the
event of weak management structures, the grant agreement also will contain special provisions designed
to allow better oversight of the fund implementation and cover questionable management findings.
This survey will be primarily for internal Secretariat use, but the Secretariat will submit awards to the
Donors SC for grant approval only after the Secretariat team is able to present positive management
findings, or an acceptable risk mitigation strategy and/or corrective action plan.
6.2.5.
Capacity Development Objectives
For the HR/IHL sector, the Secretariat will have a well-defined capacity development objectives coherent
and in line with the overall Secretariat Strategy. The capacity development objectives will rely on the
outcomes identified in the Sectorial Capacity Assessment and on the capacity development objectives
articulated in the Strategy. The Secretariat will use the outcomes of the Strategy to further develop a
capacity development plan to guide the capacity development interventions of the Secretariat toward the
HR/IHL sector focusing on the active CSOs. The Secretariat capacity development plan will also be
strengthened by the results of applying and conducting the POCAT with applicant CSOs during the proposal
development stage. Concrete findings of priorities may be developed for each individual applicant/grantee
which may be integrated in part in the award contract. Some capacity development initiatives will be
implemented by the Secretariat or outsourced depending on the nature of the needs/priorities.
21
6.2.5.1.
Partners Capacity Development
Capacity development will be an integral part of the work of the Secretariat. The main objective of capacity
development is to strengthen partner organisations and their ability to work efficiently, to participate more
effectively in democratic processes and to improve the results of their work (and to properly capture these
results). All partners will be offered relevant and high quality capacity development (individually or
collectively) in various areas as identified in the capacity development plan of the Secretariat. The main
may include capacities such as: results based management, gender mainstreaming, effective advocacy,
research, policy analysis, human rights-based approaches (HRBA), administrative issues, financial
management and control, and others based on the . All capacity development events will be published on
the Secretariat Portal.
6.2.5.2.
Participatory Organizational Capacity Assessment Tool (POCAT)
The Participatory Organizational Capacity Assessment Tool assists CSOs in identifying their capacity gaps
and institutional weaknesses. The Secretariat will administer the POCAT with each potential applicant CSO
during the process of working on and preparing a full proposal (either for core funding or projects funding).
After using the tool, CSOs will be able to delineate the steps they need to take to overcome their challenges.
The application of the tool will provide baseline data, and will be applied again to provide post data (at the
end of the grant), to measure improvement in terms of institutional capacity and business practices.
The application of POCAT will be coherent and in line with the Secretariat Strategy and the overall capacity
development plan funded by the Secretariat.
6.2.5.3.
Capacity Development Plan (CDP)
The POCAT is likely to uncover needs or weaknesses in various areas within the organization that may not
be easily or quickly fixed. These areas may include, but are not limited to:
 Subject matter/themes of HR and IHL (women rights, child protection, policy dialogue, international
covenants…etc.);
 HR and IHL (networks, resources, events, processes, etc.);
 Organisational and management development (including functional set-up, staffing and
recruitment, staff development, internships and volunteerism, management systems and processes,
results based management, gender mainstreaming, financial management and accounting,
communications, PR, etc.);
 Basic functions (fundraising, resource mobilization, advocacy, research, policy analysis, HRBA
mobilisation of community, networking, etc.); and
 Projects and programmes management (funds management, project cycle management, project
documentation and reporting, M&E systems and processes, etc.).
The Secretariat will help partners construct capacity development plan that layout their goals/objectives
in such areas. The CDP will guide Secretariat’s financial and technical support to each partner throughout
the Programme. Full Grant Proposals may include a section to address capacity development needs, and
Secretariat will fund or provide certain/additional areas and priorities of development activities separately.
6.2.6.
Application Inquiry and Collection of Application Forms
During the time between the publication and the deadline for submission of the proposal, applicants will
be able to address questions to the Secretariat to help them fill in the proposal form and put together
components their applications. The Secretariat may also organise outreach workshops to assist applicants
with information, training on proposal writing and how to develop their application.
The Secretariat will respond to questions received. Applicants may submit questions of substance in writing
or by telephone up to 10 days before the deadline for the submission of proposals.
In the interests of transparency and equal opportunity, all questions and answers will be published on the
Portal and shared by email as soon as possible (at the latest 5 days before the deadline for submission of
proposals).
22
Proposals must reach the Secretariat, at the latest, by the date and time indicated in the call for proposals.
The deadline for submission must be long enough to allow for high-quality proposals: generally, the
Secretariat will strife to provide CSOs 30 days to apply.
6.2.7.
Submission of Proposals
Full proposals are to be submitted directly to the Secretariat offices in Ramallah or Gaza, as specified in the
announcement and within the deadline. One original and two copies of the application should be delivered
in sealed envelopes while a soft copy should be emailed to the grants@RIGHTSecretariat.ps.
Each proposal must be placed in a sealed parcel or envelope bearing:

The address for submission of proposals indicated in the call for proposals;

The reference number of the call for proposals to which the applicant is responding;

The full name and address of the applicant CSO;

The words "not to be opened before the opening session."
Proposals must be delivered by registered mail, courier or by hand-delivery. Proposals must contain the
original and required number of copies, annexes and other supporting documents required in the call for
proposals. The Secretariat may require that electronic copies of certain annexes to be provided in
electronic form.
Any application for multi-annual core funding grants must be accompanied by the requirements mentioned
in Section 4.1.1. above.
An application registry will be maintained to record Proposals in serial numbers.
6.2.8.
Concept Paper
When soliciting for project funding and to ensure a sufficient number of quality proposals, grants may be
awarded through a combination of the procedures, whereby the notice and the guidelines invite applicants
to submit a concept paper and lump-sum budget during the period between the publication and the
deadline for submission of the proposal. The two-step process helps quickly eliminate any concept papers
that are ineligible; saves time for organizations that may not have a strong chance of receiving a grant; and
identifies the organizations that may require assistance completing the full application. The Secretariat will
use this system in most cases, but particularly at times when more than 10 submissions are expected.
The concept paper (refer to annex 6 for format of concept paper) and lump-sum budget may be submitted
by e-mail to the Secretariat at grants@RIGHTSecretariat.ps. Eligibility and relevance of the proposal will be
assessed on this basis. Eligible applicants with relevant proposal will be invited to attend outreach
workshops to assist them with further information and training on proposal writing.
The concept paper is a short document that requires less detail and information than the full grant
proposal. The concept paper may include:
 A three-to-five pages concept paper with lump-sum budget for main cost categories (salaries for
direct staff, management & operational cost, programme related activities, capacity development
activities);
 Implementation plan (including objectives, outputs, activities and indicators, resources, and
timeline); and,
 Any other supporting documents in response to the call.
A template for the concept paper, lump-sum budget, and supporting documents will be included with each
solicitation. Following the outreach workshops, applicants will develop and submit full application
proposals based on which the evaluation of proposals will be made.
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7. EVALUATION OF GRANT PROPOSALS
7.1. OBJECTIVES OF THE EVALUATION PROCESS
The objectives of the evaluation process are to determine:







whether the CSO is eligible to receive funding;
whether the HR/IHL Secretariat should fund the proposed activities (how it contributes to the
objectives of Secretariat Strategy);
the risk associated with funding the activities;
how the HR/IHL Secretariat will manage and monitor the grant;
the priority of the activity(s) proposed as compared against other activities;
whether the proposed activities provides better value for money in comparison with other
submissions proposing to deliver the same activities; and,
whether the proposed activities are sufficiently sustainable.
7.2. ELIGIBILITY CRITERIA
Eligibility criteria relate to three different aspects:



Eligibility of the applicant: this refers to the applicant's legal and administrative status.
Eligibility of the programmes and grant activities: this refers to the types of activities, themes and
geographical areas covered by the Secretariat’s Strategy and call for proposals.
Eligibility of costs: costs which may be financed must be real costs, which will actually be incurred
and are necessary for carrying out the grant activities.
7.3. SELECTION CRITERIA
The selection criteria are designed to assess:


The quality of proposals, in particular the relevance of the proposed grant and its compatibility
with the objectives of the Strategy of the HR/IHL Secretariat; and,
The applicant's financial and operational capacity to complete the proposed grant.
The selection criteria will be defined in each call for proposal but would normally include the following,
though the weighting may differ depending on the type and size of grants:








alignment and contribution to the HR/IHL programme support areas properly linked to the
Secretariat Strategy and Results Framework;
contribution and relevance to other objectives of the HR/IHL Secretariat;
attention to HRBA principles including (gender, marginalised groups and disadvantaged people);
quality of the design;
quality of the budget;
prior history/experience in the field;
risk mitigation strategies; and,
performance record.
All eligibility and selection criteria specified in the call for proposals must be applied as they stand and
cannot be changed in the course of the procedure. The criteria should be precise, non-discriminatory and
not prejudicial to fair competition.
7.4. STAGES IN THE EVALUATION PROCESS
The evaluation process starts with the receipt of the proposals by the Secretariat and ends with the final
decision to award grants to the selected applicants. The procedure is set out below.
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7.4.1.
Receipt and Registration of Proposals
On reception of proposals, the Secretariat will register and log them to a list. The envelopes containing the
proposals must be kept in a safe place until they are opened.
7.4.2.
Opening of the Proposals
All proposals should be opened in an opening session, at the Secretariat’s office, in which the registration
details will be checked and the proposals numbered (whether or not received before the deadline for
receipt of proposals).
The registration of the proposals will include the following details:



Registration number of the proposal;
Date and time of arrival; and,
The applicant's name and address.
At the end of the opening session, the FM signs the proposal opening report, which includes the minutes
of the opening session. The minutes will indicate:




The date, time and place of the session;
The persons present;
The names of the applicants who submitted proposals within the stipulated deadline; and,
The names of the applicants who submitted proposals after the stipulated deadline.
During the opening session the Secretariat will take decision on both incomplete submissions and proposals
received after the deadline.
7.4.3.
Evaluation of Proposals
Through using specific and objective evaluation criteria, grant proposals will be evaluated according to how
they respond to the call for proposals according to criteria in Section 5 Manual. The Technical Assessment
Committee (TAC) will also review capacity development activities to ensure that they follow the Applicant’s
CDP as a result of conducting and applying POCAT.
The proposals evaluation will go through two-step process, whereby the Secretariat’s TAC reviews
Proposals and proposes funding Proposals with recommendations to the Steering Committee which makes
a final review and decision upon TAC recommendations. Upon receiving SC decisions, Secretariat staff may
contact CSOs for clarifications, additional required materials and extra information.
The TAC along with the Secretariat staff will convene to assess and review the received proposals and
recommend to the SC. The SM is the chair of the TAC. The CSO Facilitators will attend evaluation committee
meetings to present the proposals under review and to provide further clarifications and technical
justifications if required.
The Secretariat will call and arrange for the meetings of the SC to evaluate and approve/disapprove the
recommended proposals by the TAC and document the proceedings. The SM and PD (when possible)
should participate in the SC meetings and may be invited to explain the reasons for recommend
application(s) or provide further information or clarifications.
The Secretariat is responsible for carrying out all administrative tasks connected with the evaluation
procedure. These will include:





Circulating and collecting declarations of impartiality and confidentiality signed by all members of
the committee;
Ensuring that evaluation grids (refer to annex 10) made available to the members of the
committee;
Organising the order in which proposals are evaluated;
Keeping the minutes of all evaluation meetings and the records thereof;
Registering attendance and compiling the evaluation report and its annexes; and
25

Ensuring the safety, confidentiality and filing of all evaluation documentation during and after the
evaluation process.
SC members have a collective responsibility for proper evaluation recommendations and will:




Seriously study each eligible proposal presented to them;
Score each proposal according to the criteria in the evaluation grid;
Discuss and reach a consensus if major differences in the scores of different evaluators are
recorded; and,
Provide comments and recommendations for each proposal additional to the evaluation grid
score.
Afterwards, the Secretariat may communicate in writing with applicants approved by the SC while their
proposals require further clarification, elaboration, adjustments…etc., offering them the opportunity to
respond within a given time-limit.
Any request for clarification requiring communication with the applicants during the evaluation process
must be conducted in writing and signed by the SM. Copies of any such communication must be annexed
to the evaluation report.
The quality of all eligible proposals forwarded by the Secretariat will be assessed by every member of the
SC on the basis of the evaluation grid containing the selection criteria. A score is given for each heading on
the basis of the questions and criteria used for that heading. The final score is the arithmetical average of
the scores given by the persons examining each proposal.
The SC session will draw up a list of the proposals selected for financing, indicating the score obtained by
each proposal, the amount of the proposed grant and the proportion of the eligible costs it proposes to
finance. Subject to the following considerations, this list is made up of the proposals obtaining the best
scores, ranked by order, within the limits of the funds available under the call for proposals.



The committee may not allocate all the available funds if it finds that there are too few proposals
of the quality required to receive a grant.
The committee may draw up a list by subject, theme or geographical area specified in the
guidelines for applicants.
The committee may reject a proposal if it has selected another similar proposal which has been
awarded a higher score.
The evaluation report will cover the technical and financial quality of proposals. It is comprised of
evaluation grid scores, minutes of the evaluation sessions and, if applicable, opinions of observers, and
must be signed by all members. It will state:





The date, time and place of the session;
The persons present;
The average score awarded to each proposal;
The successful applicants, the recommended grant amounts and the proportion of the eligible
costs proposed to finance; and,
The unsuccessful applicants and reasons for their non-selection.
The entire screening and evaluation procedure is confidential. The TAC and SC decisions are collective and
their deliberations must remain confidential. The evaluation report, in particular, may neither be shared
with applicants nor with any party outside the authorised bodies of the Secretariat and the Steering
Committee. Any Organisational Capacity Assessment reports prepared are also confidential.
7.5. CANCELLING THE CALL FOR PROPOSALS PROCEDURE
The Secretariat may decide to cancel the call for proposals at any stage, but particularly in the light of the
evaluation report, if:


The call for proposals has been unsuccessful, i.e. no worthwhile proposal has been received;
The basis for the programme have been fundamentally altered;
26


Exceptional circumstances or force majeure render the normal conduct of the planned activities
impossible; and/or,
There have been irregularities in the procedure, in particular where these have prevented fair
competition.
In the event of cancellation of a call for proposals, applicants must be notified of the cancellation by the
Secretariat but will not be entitled to compensation.
27
8. AWARD OF GRANTS
Letters to successful applicants will be sent within 10 days of the grant final approval decision by the SC.
Letters to unsuccessful applicants will be sent within 10 days thereafter.
8.1. ISSUING THE AWARD OF GRANTS
The grant agreement is the official binding document between the two parties (the Secretariat and the
Grantee). This section outlines the procedures for issuing the agreement as well as the contents of the
agreement. The Grantee must fully understand and accept all aspects of the grant agreement upon signing.
After completion of the full proposal process and approval of the grant application in writing by the SC, the
Secretariat informs successful applicants in writing and will prepare two original copies of the grant
agreement in the applicable format, either a (1) core funding grant or (2) project funding grant. The FM will
discuss with the relevant CSO staff (chairperson, director, project manager, financial officer) the terms and
conditions of the agreement and relevant grants procedures, including but not limited to those relating to
mutual expectations during grant implementation.
After the FM's discussion with the CSO, the authorised signatory will sign the two completed original copies
of the grant agreement and will sign a confirmation that s/he has read and understands all associated
conditions and agreements. The SM will sign the documents on behalf of the Secretariat. One original copy
of the grant agreement will go to the CSO and the other will be kept on file in the Secretariat office.
8.2. TERMS AND CONDITIONS OF THE GRANT AWARD
The terms and conditions that control the grant are stipulated in the grant agreement signed by the
Secretariat and the CSO.
In preparing grant agreements for each of the successful applicants, the FM will:


Use a standard agreement model (refer to annex 15).
As part of the documentation for the process steps of each grant (knows as the grant files), the FM
will prepare a general background dossier containing information applicable to all grant
agreements to be concluded as a result of the call for proposals, using the following structure:
 Copy of the call for proposals notice;
 Guidelines for applicants;
 Proposal opening report;
 Evaluation report;
 The list of grants to be awarded; and,
The award decision and any other relevant information.

8.3. CONTENTS OF THE GRANT AGREEMENT
The grant agreement will have a start and end date, a total amount of the grant in USD and include activities
and milestones, reporting requirements, disbursement of funds, cost classifications and additional
provisions, as well as the required certifications and regulations. The full proposal and budget will be
included as integral parts as attachments to grant agreement. Additionally a dossier for each grant
agreement will be prepared containing:

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



Special agreement conditions;
Description of the proposal;
Work plan;
General agreement conditions (standard conditions);
Budget for the grant;
The CSO capacity development plan;
Procurement procedures to be used if services or supplies need to be procured as part of an
activity funded by a grant; and,
28

Standard request for payment and financial identification form.
The standard agreement annexes dealing with the general conditions, procurement procedures and
standard request for payment will be attached without modification to every grant agreement.



The special conditions for the grant will be completed by the Secretariat;
The budget proposed for the grant award by the successful applicant may be adjusted in
negotiations prior to signing the agreement;
The description of the grant award may be corrected accordingly, if necessary. Other clarifications
or minor corrections may be made to the description of the activities provided that they relate to
points clearly identified by the evaluation committees, do not call into question the grant award
decision and are not contrary to the equal treatment of applicants.
The Secretariat and the CSO signatories must note on the agreement the signature date. The agreement
will become effective on the date of the later signature. Please refer to section 5.4. on eligibility of cost and
agreement can be made.
Two signed copies of each grant agreement will be sent to the prospective grantee, who must countersign
both copies within one week of receipt and return one copy to the Secretariat together with a request for
payment of the first instalment.
Once signed, the terms and conditions of the grant agreement are non-negotiable and must be strictly
adhered to by the Secretariat and the CSO. The terms and conditions will govern the resolution of any
ambiguities, questions or disputes that may arise in the course of the grant implementation.
8.4. BUDGET
The budget (refer to annex 8: detailed budget for core funding, annex 9: detailed budget for project
funding) is the expression in financial terms of the activities the applicant proposes to undertake and what
is expected to be achieved.
The standardised grant application budget format serves several purposes.



It presents the projected grant-funded cost for an activity;
It is broken down into line items with descriptions which provides an indication as to how funding
will be allocated and used;
It ensures uniformity of financial reporting across all grants.
Grantees must use grant funds as they are budgeted in the grant agreement.
Significant spending deviations are often signals that progress is not on schedule or that the strategy for
achieving award goals and objectives has been altered. Overspending will be examined immediately to
ascertain that the grantee will be able to complete the award within available funds and that no
irreconcilable irregularities exist.
The standard grant agreement recognises the beneficiary's independence of implementing the grant. In
particular, it allows the recipient to adapt or modify the grant without prior consent of the Secretariat
provided that the modifications are not substantial and do not in any case or under any scenario or for any
reason result in a change of more than 10% to any budget line-item and that the total budget is not
exceeded. The increase or decrease in the budget of any line item should not exceed 25% of the approved
initial amount of the budget of the respective line item.
Moreover, the grantee may re-allocate up to 10% of Secretariat’s received funds from one year to another.
However, Secretariat’s written approval is required for a reallocation of more than 10% of the approved
grant amount.
8.5. MODIFYING GRANT AGREEMENTS
Grant Agreements may need to be modified during their lifetime if the circumstances have changed since
the initial agreement was signed. Grant agreement modifications require a formal addendum to the
29
agreement to be signed by both contracting parties. Major changes in agreements also should concur
donor’s prior approval or consent.
Minor changes of address or of bank account may simply be notified in writing by the CSO to the
Secretariat.
The following general principles for modifying grant agreements always apply:





A grantee’s requests for grant agreements modification will not automatically be accepted. There
must be substantiated reasons for modifying a grant agreement. The Secretariat will examine the
reasons and reject requests with little or no substance.
Modifications must not have the purpose or the effect of making such changes to the agreement
as would call into question the grant award decision or be contrary to the equal treatment of
applicants.
Grant agreement modifications can only be made within the duration of the agreement and cannot
be effected retro-actively.
The maximum amount of the grant award will not be increased.
Any modification extending the performance period of the agreement must be such that
implementation and final payments can be completed before the closure of the grant scheme.
Requests for modifications to grant agreements must be made by one contracting party to the other
allowing at least 10 days for the addendum to be signed before the modifications are intended to enter
into force.
When preparing an addendum, the Secretariat will use a standard model for an addendum.
All references in the proposed addendum to articles and/or annexes to be modified must correspond to
those in the initial agreement.
Any addendum modifying the budget must include a replacement budget showing how the full budget
breakdown of the initial agreement has been modified by this addendum (and any previous addenda).
A dossier will be prepared comprising the following items:



Setting out the technical and financial grounds for making the modifications in the proposed
addendum;
Copy of the grant beneficiary's request for (or agreement to) the proposed modifications; and
Two copies of the proposed and signed addendum, which is based on the standard addendum
model and includes any revised annexes.
During the implementation of the grant, if the CSO obtains contributions from third parties the grantee
shall inform the Secretariat in writing of any such contributions as soon as possible, and in any event before
submission of the next financial report and request for payment, and shall submit a revised version of the
budget to the Secretariat. The Secretariat will deal with such instances on a case-by-case basis and
determine on what the consequences will be, like an amendment to reduce the fund amount or
reallocation of fund if appropriate.
8.6. DISBURSEMENT PROCEDURES
In order to ensure that funds are used only as proposed, organizations must ensure the following financial
management controls:


A separate bank account (or subaccount) for the purpose of depositing and expending the grant
fund disbursed must be established. The account name must be the official name of the recipient.
No other funding shall be deposited into this account and no expenditures which are not for
eligible costs under the Agreement shall be paid from this account.
No funds disbursed under the agreement may be transferred to other bank accounts owned by
the recipient that contain funds from any other sources.
30
A payment schedule is prepared for each grant. This schedule details the content of, and due date for, each
report the grantee is required to submit under the grant. In addition, the schedule specifies the amount of
payment and the indicative disbursement month for each scheduled grant payment.
The payment schedule is prepared by the Secretariat at the time of preparing the grant agreement
pursuant to mutual prior agreement by both parties. The payments schedule is included as an attachment
to the grant agreement.
The principal model for pre-financing the grant expenses will be 40%-40%-20% of the grant budget. If the
grant is multi-annual (core funding) then the 40%-40%-20% will be allocated based on the annual budget
for the concerned year. This model coincides with the actual expense pattern of the majority of grant
implementations. Additionally, it gives to the Secretariat the option to keep the final 20% in case of under
expenditure. When and if grantees have disbursed 75% of the previous advance they are allowed to present
their request for the next advance in order to prevent them running out of cash.
The first pre-financing payment, which covers 40% of the amount of the agreement, is paid after both
parties have signed the grant agreement and the Secretariat has received a standard payment request from
the grantee.
The subsequent pre-financing payment is conditional to the approval of periodic progress/performance
and financial reports due at the time of the request. The last instalment of up to 20% is made upon approval
of the completion report, final financial report and the external auditor report. In case of under
expenditure, the balance is refunded by the grantee.
All grants will be negotiated, denominated and funded in United States Dollar (USD). Payments will either
be made on a periodic advance or on a reimbursement basis in tranches corresponding to accomplishment
of agreed upon milestones and achievement of results. The Secretariat may determine to use other
different mechanisms based on the outcomes of the assessment of the Applicant’s organizational capability
to manage grant funds which will be conducted at the full proposal development stage; the assessment
will reflect the level of risk and risk mitigation tools on which the payments mechanism will be based and
determined. All costs funded by the grant must be allowable, allocable, reasonable and adequately
supported (audit-ready).
31
9. RESULTS BASED MONITORING IMPLEMENTATION AND
PERFORMANCE
The Secretariat envisions to advance the model of results based monitoring and evaluation system based
on a well-constructed results framework. The system will use guidelines for systematic (quantitative and
qualitative) results based monitoring and evaluation of progress/performance and outcomes, including
reporting formats, field visits data collection, writing of CSO and beneficiary stories (good and bad) for
grants reporting, organised learning and sharing and (in aggregate) input to policy dialogue.
Results based monitoring of CSOs will be undertaken on the basis of their periodic progress/performance
and financial reporting as well as regular monitoring visits by CSO facilitators, technical and finance staff.
The Secretariat team will play a major role is supporting CSOs to efficiently implement the awarded grants
through establishing a quality assurance system to assure that implementation is moving in the right
direction toward achievement and accomplishment of goals/objectives and results in an appropriate
manner (reporting and results based monitoring); CSO facilitator function of the Secretariat is critical in this
respect, both to support and monitor funds management. At the level of individual projects, due attention
will be given to the definition of targets and proper indicators. Participatory monitoring, which solicits the
experiences and views of targeted populations/beneficiaries will be a guiding principle in the approach.
9.1. REPORTING
Organisations to which grants are awarded will be required to submit semi-annually progress/performance
and financial reports when applicable. The reports should be against the respective results frameworks, an
annual report of multi-annual core funding grants. For project funding grants the CSO will also be required
to submit a completion report upon completion of the grant.
Reporting deadlines will be specified in the grant agreement. All reporting, including developed
professional papers must be in English.
All reports should document the grant activities and generated results and outcomes, lessons learnt and
the expenditures up to the date of the report. Additionally, if materials or products have been prepared
under the grant, the grantee should submit copies or summaries of them as part of the technical report.
The Secretariat will work with CSO to ensure that no additional reporting requirement add burden on the
applicants. To that end, the Secretariat will examine each grantees standard reports to determine if they
are compatible with the Secretariat standards and results based reporting against the Secretariat Strategy.
If they are compatible in part or in whole, the Secretariat will determine either to require certain
modification to the grantees reports, or accept their standard reports as is.
The Secretariat periodic progress and financial reporting formats can be provided to grantees after being
created thoughtfully and based on discussions and feedback from CSOs. The Secretariat is responsible for
ensuring that the grantees are fully familiar with these formats.
9.1.1.
Semi-Annual Progress/Performance Reports
Semi-annual progress/performance reports should contain a description of the work accomplished to date,
generated results and outcomes, lessons learnt, give indications of problems in the process of
implementing the grant, describe strategies designed to overcome the problems and a brief outline of the
activities planned for next 6-month period accompanied by a cash forecast.
Financial reports must show the amount budgeted for each line item, the amount expended against each
line item as of the date of the report, including the remaining balance in each line. Totals must be shown
for each of the three columns with explanations for material and irregular variances. Financial reports
should also show bank balance against received and disbursed amounts.
The report will be laid out such as to allow comparison between, on the one hand, the objective(s), the
means proposed, the results expected in the proposal, the budget details for the grant and on the other
32
hand, the means employed, the costs incurred and the results obtained (using the indicators of
achievement provided for in the proposal).
Any problems, concerns and issues arising out of the implementation of the grant that were not anticipated
when the application was submitted should immediately be brought to the attention of the Secretariat. If
action is needed or requested, the technical staff of the Secretariat will meet with appropriate grantee staff
to determine what actions may be taken. The grantee should not wait for the upcoming periodic report to
bring such issues to the attention of the Secretariat – it should be brought immediately once arise.
9.1.2.
Annual and Completion Reports
The annual and completion reports (in lieu of the second semi-annual report) will cover all of the above for
the period covered by the report and in addition a detailed description of the conditions in which the grant
activities was carried out, information with which to evaluate the grant's achievements and impact and a
statement of all the eligible costs, plus a full summary statement of the grant's revenues and expenditures
and payments received.
Annual and completion reports will also include evidence that the full scope of work outlined in the grant
agreement has been successfully conducted that would include, among other items, a technical narrative
summarising the project's outcomes against the results framework and results indicators, practical
recommendations resulting from the accomplished work, and an account of outreach and dissemination
activities undertaken.
Financial reports must show the amount budgeted for each line item, the amount expended against each
line item as of the date of the report, including the remaining balance in each line. Totals must be shown
for each of the three columns with explanations for material and irregular variances. Financial reports
should also show bank balance against received and disbursed amounts.
9.2. MONITORING VISITS
The Secretariat CSO Facilitators are the focal points to oversight and follow-up with grantees on awards
implementation; technical staff and CSOs Facilitators will be visiting applicants during the period of
implementation of each grant. The purpose of these monitoring visits is to discuss the progress in grant
implementation based on the information the grantees provided in progress and financial reports. These
monitoring visits also provide an opportunity for providing technical assistance, coach and mentor the
grantees. The visits serve an integral part of the capacity development approach.
These visits will allow the Secretariat to monitor that the technical progress and the administrative,
financial and internal control systems agreed upon are operational and effective – further assessing the
results of any technical assistance or capacity development provided to the grantee. Select events
organised by grantees will also be attended by Secretariat senior and technical staff and the Quality
Assurance team.
9.3. INTERNAL AND EXTERNAL AUDITS
The Secretariat FM, FAM or designee will conduct site visits to grantees offices to help and support the
compliance aspects of the Secretariat’s financial, procurement, administrative and controls requirements.
This will ensure the effective and efficient use of donor funds and proper management of resources while
providing technical assistance and capacity development support as needed.
All grants will be subject to external audit by a reputable, independent and reliable audit firm with
international affiliation. The Grantee shall submit annual consolidated audited financial statements (in
English) to the Secretariat not later than 4 months following the end of the calendar year, or following the
completion date of the grant or the expiration or termination of the grant agreement. The grantee shall
submit a draft copy of its audit report in order to receive the Secretariat’s approval before issuing the final
report.
The Audit shall be carried out in accordance with international standards issued by International
Organization of Supreme Audit Institutions (INTOSAI) or International Federation of Accounts (IFAC)
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applying the International Standards on Auditing (ISA) or international audit standards issued by IAASB.
The audit services will be tendered and contracted by the Grantee. The CSO shall get the Secretariat prior
written approval on the CSO’s terms of reference (TOR) for the auditor, and on the selection of the audit
firm. The cost of the audit will be budgeted under each grant agreement and charged to the basket fund.
Other grants are normally not individually audited; although the FM or FAM reserve the right to audit
actions funded by Secretariat at any stage, whether during the award process, during execution of the
grant or once it has been completed.
An external audit will review not only the expenditures of the grantee during the grant period and audit
the schedule of receipts and expenditures of the grant funds, but will also check the existence, adequacy
and effectiveness of internal control system (structure, functions, tasks, responsibilities, etc.), as specified
in the ToRs of the audit agreed upon in the agreement.
Receipts for expenditures of grant funds in the audit report should be reconciled with the amounts
reported to the award by the grantee. If inconsistencies are found, payments to the grantee may be
suspended or a reimbursement of fund requested, while the Secretariat investigates the matter.
For core funding awards, grantees will not be required to provide a separate audit for the Secretariat fund.
The Secretariat is promoting and supporting the institutionalization of CSOs, hence, Grantees are required
to use a reputable and reliable external independent audit firm with international affiliation “if the current
auditor doesn’t meet or fulfil these requirements”, and submit to the Secretariat their Annual Audit report
not later than 4 months following the end of the calendar year representing a complete picture of the CSO
financial position and performance.
The audit report, including the management letter, will be presented to the Secretariat. The FM or FAM
or designee will review all audit reports to determine whether the Grantees have effectively managed the
grant funds. In case of problematic audit results of a grantee and upon investigation by the FM or FAM or
designee, the SC will be informed and further action decided.
Schedule of Required Reports and external Audits
REPORT
SUBMISSION
Semi-annual progress/performance and financial
report
No later than thirty (30) calendar days following
the end of the calendar ½ year
Annual progress/performance and financial report
No later than thirty (30) calendar days following
the end of the calendar year
Final performance and financial report (completion
report)
No later than forty-five (45) calendar days after the
expiration or termination of the Grant Agreement.
Annual External Audit Report accompanied with a
Management Letter
No later than 120 calendar days following the end
of the calendar year
Final External Audit Report accompanied with a
Management Letter
No later than 120 calendar days after the
expiration or termination of the Grant Agreement.
The reporting cycle will flow from the start of the implementation phase. The reporting requirements can
be summarised in the following chronological order: 1st Semi-annual report, annual report, and completion
report. If the annual and the completion report are due at the same time, then the completion report will
overrule.
For audit reports, if the final audit and the annual audit are due in the same time then the final audit report
will overrule.
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9.4. SOUND PROCUREMENT AND FINANCIAL MANAGEMENT SYSTEMS
Eligible CSOs and selected partners are expected to operate according to the generally accepted accounting
and management standards, and maintain a reliable procurement and financial management systems. The
Secretariat will consider capacity development support to enhance and upgrade partners systems which
will build on their institutional efficiency and sustainability.
The basis for procurement to be followed by grantees is documented in the Sida Procurement Guidelines
(SPG):
http://www.sida.se/Global/Partners/Procurements/SIDA2450en_SPG_2004_web.pdf
Sida’s Policy for Green Procurement and Guideline for Ecologically Sustainable Public Procurement shall
also guide implementation of the partners’ green procurement.
Efficient and sound procurement requires that all procurement transactions shall be conducted in a
manner to provide to the maximum extent practical, fair, open and free competition to guarantee the best
in utilising and managing the funds; grantees shall follow its own solicitation requirements if more
stringent.
9.5. AUDITS AND RECORDS MAINTENANCE
CSOs should comply with international accounting standards and keep books and accounts and controls in
accordance with the relevant legislation, i.e. through Palestinian or Israeli legislation. However, the
Secretariat shall align as far as possible with the partners' financial management systems including those
related to fiscal year, reporting and auditing, subject to the compliance with the international auditing
standards.
The grantees shall maintain books, records, documents, and other evidence relating to the Grant in
accordance with International Accounting Standards, International Reporting Standards and International
Standards on Auditing. The grantees shall assume full responsibility for effective and proper administration
of funds. The grantees’ original accounting, financial and procurement records, as well as all grant
documents (including narrative reports, Agreements, and amendments) shall be made available to the
Secretariat staff, external auditors, and/or Donors or their designees for review for up to three years after
the submission of the final reports, according to the terms of the grant agreement.
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10.
GRANT CLOSEOUT
The purpose of grant agreement closure procedures is to determine whether agreed objective(s) have been
achieved and that all funds provided can be accounted for. Documentation requirements and closure date
are set out in the grant agreement.
All activities of a grant financed with grant funds will be completed or cease on the grant completion date
specified in the grant agreement, unless the Secretariat provides approval of extension in writing prior to
the specified grant completion date.
The Secretariat has the right to freely use as sees fit all documents deriving from the grant, whatever their
form, provided it does not thereby breach industrial and intellectual and property rights.
By the end of the implementation of the grant and depending on the grant agreement conditions,
equipment and supplies paid for by the budget of the grant may be transferred to the grantee, any local
partners or the final recipients of the grant based on arrangement and agreement with the Donors.
After the closure of the grant, grantees are expected to extend their full co-operation to facilitating any
final audit or final evaluation.
Additionally, towards the end of the grant the Secretariat may employ consultants to do final data
collection and validation for which the full collaboration of the grantee is required. It also may be so that
grantees are requested to participate in final stakeholder forums to share and disseminate lessons learned.
10.1. COMPLETION CERTIFICATE
After all other requirements have been met, the FM will prepare a Completion Certificate, which upon
signature by the grantees and SM serves to formally close the grant file. All obligations (technical and
financial) on both parties, with the exception of Secretariat’s right of inspection and the recipient’s recordkeeping obligation (and any other surviving terms as may be specified in the grant agreement), are deemed
to be fulfilled.
The Secretariat reserves the right to de-obligate funds under a grant agreement and demand that a
grantees refund any amount of the grant that is found not to have been expended in a reasonable,
allowable and allocable manner by the grantees according to the terms and conditions of the grant
agreement. This includes any amount that was paid to the grantees for expenses not actually incurred (i.e.
not supported by acceptable supporting documentation), and un-liquidated advance balances. All
communications and other relevant documents must be maintained in the grantees files.
10.2. TERMINATION AND SUSPENSION
Per the grant agreement, The Secretariat reserves the right to terminate or suspend a grant at any time for
breaching of the grant agreement, or if the grantee is deemed ineligible based on updated information. If
termination or suspension is considered, it should only be undertaken after a full discussion with the Lead
Donor and the Secretariat management. Termination and suspension may be with or without consent of
the grantee.
In case of the instances described above, the FM will provide a written explanation of the circumstances
surrounding the termination, which will be reviewed and approved by the Secretariat. The Secretariat will
attempt, when possible, to provide the grantee with 15 days advance notice for suspension or termination.
The length of suspension may be specified or processed on an open-ended basis (“until further notice”).
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11.
LIST OF ANNEXES
Annex 1
Expression of Interest for Prequalification
Annex 2
Evaluation and Screening Criteria for Prequalifying CSOs
Annex 3
1st Call for Proposals - Core Funding (Guidelines for Applicants)
Annex 4
1st Call for Proposals - Project Funding (Guidelines for Applicants)
Annex 5
Grant Application form (Full Proposal) – Core Funding
Annex 6
Concept Paper form – Projects Funding
Annex 7
Grant Application form (Full Proposal) – Projects Funding
Annex 8
Detailed Budget Template for Core Funding
Annex 9
Detailed Budget Template for Project Funding
Annex 10
Evaluation and Selection Criteria (Evaluation Grid)
Annex 11
Proposals Opening Report
Annex 12
Evaluation Report for TAC
Annex 13
Approval Letter to Successful Applicants
Annex 14
Non-Approval Letter to Unsuccessful Applicants
Annex 15
Grant Agreement Template
Annex 16
Capacity Development Plan Template
Annex 17
Payments Schedule for 3 years Core Funding
Annex 18
Payment Request
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