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Development of integrated project and financial management tools in conformity with the 2003 FPA. The “Decision” Mechanism (from Oxfam CD). In collaboration with. How things work in practice. Proposal. ECHO BRX. NGO HQ. Grant agreement.

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Development of integrated project and financial management tools in conformity with the 2003 FPA

The “Decision” Mechanism (from Oxfam CD)

In collaboration with

how things work in practice
How things work in practice






Grant agreement

Concept note







ECHO strategy


What’s a Funding Decision?

  • Decision = ECHO intervention plan, resourced financially
  • Includes a number of projects
  • One decision = one principal objective
  • One or more specific objectives

 a specific objective can be implemented

by integrated activities

  • Mentions potential partners
components of a decision
Components of a decision

Two main components:

  • explanatory memorandum
    • executive summary
    • structured description of the decision e.g. needs assessments, objectives, components, activities, etc.
    • annexes (statistics, maps, etc.)
  • decision text
    • recitals
    • articles
    • one annex (amounts per specific objective)
practical implications
Practical implications
  • Link between legal base and objectives
  • Concept of duration linked to “operations” in Primary and Emergency decisions or to “decision” itself if Ad hoc or Global Plan
  • The date of eligibility of expenditure is set in the decision
  • The use of the reserve  condition of flexibility of the FPA system and avoid budgetary losses linked to underspending in individual operations
the humanitarian organisations in the decisions
The humanitarian organisations in the decisions
  • Potential implementing partners are mentioned in the explanatory memorandum
  • No reference to the amount of individual agreements
  • ECHO must inform the partner of the adoption of the decision (art.19.3 FPA)
legal base and objectives
Legal base and objectives
  • One decision, one principal objective (linked to articles 2 or 4 of the Humanitarian aid Regulation)
    • Special relevance of articles 2a and 2c
  • One or more specific objectives
    • a specific objective can be implemented by integrated activities
    • one agreement should not cover two specific objectives
important dates
Important dates
  • Date of adoption of the decision and date of entry into force of the decision

 normally should be the same, but it is possible to postpone the entry into force of a decision.

  • Eligibility date of expenditure and start date of the duration of the decision

are the same date; possibility of retroactivity

 as a general rule, the eligibility of expenditure can not predate the reception of a project proposal

types of decisions
Types of decisions
  • Primary Emergency
  • Emergency
  • Ad Hoc (DIPECHO included)
  • Global Plan
duration of decisions and duration of operations
Duration of decisions and duration of operations
  • Primary emergency & Emergency decisions:
    • The duration of operations limited to a maximum period of months: primary emergency = 3 ; emergency = 6
  • Non-emergency decisions:
    • The duration for the implementation of the decision is fixed inmonths [max. 18].
    • Humanitarian operations funded by the decision must be implemented within this period.
    • Duration of operations should not be longer than 12 months