project financial management

7/25/2019 Project Financial Management

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DDU-GKY


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DDU-GKY

Section 8.1:

Overview of nancial monitoring

2

the fnancial pass through to the benefciaries such as: a) The ood

and transportation alloances! b) "ost place#ent alloances and c)

"a$#ent to trainers! #aster trainers and % tea# #e#bers ill onl$ be

&erifed' This is e(pected to result in the audit o al#ost *+ o the

pa$#ents to ",s'. / extracted from DDU-GKY guidelines

0o ocus is on the olloing cost through fnancial transactions recorded

and &alidated in "10:

"a$#ent o entitle#ents to candidates are accurate and ti#el$

"a$#ent o salaries to trainers! #aster trainers and the % tea#

#e#bers are accurate and ti#el$! as the$ ha&e critical i#pact onthe 3ualit$ o training and e#plo$#ent as en&isaged in the sche#e

4ther costs ould be re&ieed through the annual audit process b$ the

nnual uditor as per uditing 0tandards o ,5,'


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DDU-GKY

Section 8.2:

Financial monitoring: Roles andresponsibilities of key agencies and actors

!"

", 4" Tea#:

", 4" tea# 6fnance):

", % Tea#:

uditor or conducting: onthl$ &erifcation' 7ereinater reerred as eriodical "#ditor

nnual audit! fnancial audit or pro8ect closure and fnancial audit or orderl$closure o a pro8ect' 7ereinater reerred as "nn#al "#ditor

$%S"&SR'(

9erifcation o e(penditure li#ited to disburse#ent o candidates entitle#ents!

pa$#ent to trainers! #aster trainers and % tea# #e#bers! in line ith the

guidelines'

9erifcation and re&ie o the re#ars reported b$ the periodic and annual auditor!

i an$! and see co#pliance

5T0 to reco##end to o;D or release o unds based on fnancial &erifcation as

abo&e' ,n addition to fnancial &erifcation! ph$sical &erifcation ill also be taen

into account or unds release as detailed in pre&ious chapters and as per

appro&ed checlist' ,n the case o 0;


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DDU-GKY

Section 8.2:

Financial monitoring: Roles and responsibilitiesof key agencies and actors )contd*+

The#atic audit along ith the o;D e#panelled auditor as perinstructions o o;D

o;D

;e&ie o e(penditure li#ited to disburse#ent o candidatesentitle#ents! pa$#ent to trainers! #aster trainers and % tea#

#e#bers =nsure that 5T0 &erifes and re&ies re#ars reported b$ the periodic

and annual auditor! i an$! and presents a co#pliance report sub#ittedb$ the ", along ith its re#ars

5onduct o the#atic audit


5/28

DDU-GKYSection 8.,:

ro-ect f#nd management

8.,.1 Operation of pro-ect acco#nt 8.,.1.1 Opening of bank acco#nt and mapping on F(S

(aintaining of pro-ect acco#nt: ", should open onl$ onededicated "ro8ect ccount and is not per#itted to #aintain #ultiple"ro8ect ccounts e(cept during the interi# period o change in the"ro8ect ccount! olloing the prescribed instructions in this 04"'

>ature o account: 0a&ings ccount sub8ect to ;?, regulations and an$ other applicable

?aning ;egulations'

5urrent ccount sub8ect to ;?, regulations and an$ other applicable?aning ;egulations or ", registered as non-section @ 5o#pan$ under5o#panies ct! 2*AB 6ersthile 0ection 2C o 5o#panies ct! ACE)'

>a#e o the account: DDU-GKY-6short na#e o ",Fapplicant ",)-

short na#e o state-"ro8ect nu#ber 6>ote: ", should gi&e serialnu#ber to all pro8ects sanctioned to it in the progra##e / i'e' arunning nu#ber across all pro8ect sanction entities and this illreHect in the pro8ect nu#ber)'

;eers to the pplicant ", in a consortiu#


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DDU-GKYSection 8.,:

ro-ect f#nd management )contd*+

8.,.2 $as in/ows to te ro-ect "cco#nt

"ll f#nds released by $%S" for non "" states&SR'( for "" states

!nterest earned from te pro-ect acco#nt0 if any

'oans taken by !" for te p#rpose of pro-ect: ", is per#itted tobring unds! ro# its on sources or through the nor#al baning s$ste#!

into the "ro8ect ccount as loan' ,n such a case! the ", should onl$ bealloed to boo repa$#ent o principal a#ount as alloable e(penditureand not the interest'

$SR f#nd&f#nd from oter so#rces: ", to inor# to the o;D about thisthrough the 5T0F0;


7/28

DDU-GKYSection 8.,:

ro-ect f#nd management )contd*+

8.,., $as O#t/ows from te ro-ect "cco#nt 8.,.,.1 eads of ependit#re

F(Scode

eads !tems to be booked

" Training 5osts

"1.1Trainers 0alaries 0alaries o trainers and #aster

trainers oring or the pro8ect"1.2 % Tea# 0alar$

0alaries o % tea# #e#bersoring or the pro8ect

"1., 4ther Training 5osts i' Training cost! #obiliIation obenefciaries! curriculu#! trainingo trainers! utilities! inrastructure!e3uip#ent! teaching aids! ra#aterials! etc'

ii' ssess#ent L certifcation

iii' "lace#ent linage

i&' ,0 L Tracing! #onitoring!3ualit$ control

&' n$ other e(penditure could notbe booed under the heads


8/28

DDU-GKY

Section 8.,:

ro-ect f#nd management)contd*+

F(Scode

eads !tems to be booked

"2 ?oarding and


9/28

DDU-GKY

Section 8.,:

ro-ect f#nd management)contd*+F(Scode eads !tems to be booked

"4 "ost "lace#ent 0upport"a$#ent o post place#ent supportto placed candidates

"4.1 "lace#ent ithin district do#icile

"4.2 "lace#ent ithin state do#icile

"4., "lace#ent outside state do#icile

"5 Tablet 5o#puter


10/28

DDU-GKY

Section 8.,:

ro-ect f#nd management)contd*+ 8.,.,.2 7ooking of pendit#re

ll transactions directl$ attributed to the pro8ect shall be paid through the pro8ectaccount registered on "10 e(cept:

trainer oring on #ore than one pro8ect

training centre here #ultiple pro8ects are run si#ultaneousl$

0hared % tea# resources

,n all such cases one o the olloing course o action can be taen The proportionate cost can be booed to the dedicated pro8ect account o

DDU GKY

"roportionate cost can be transerred ro# designated "ro8ect ccount to

another ban account ro# hich the ull costF e(penditure has been paid

", is alloed to boo e(penditure ro# the date of iss#e of sanction order' Toallo the e(penditure under the pro8ect the olloing should be ulflled:

4pen a pro8ect account as per N0, @'B: ,nstruction or opening o banaccountO beore booing o e(penditure

,ncur all e(penditure through the pro8ect account onl$

0igning o the oU b$ all the uthorised signatories


11/28

DDU-GKY

Section 8.,:

ro-ect f#nd management)contd*+ 8.,.,., !mprest (anagement )etty $as (anagement+

", #a$ pa$ in cash against e(penditure not e(ceeding ;s' M*!***F- per #onth oreach o these cost centres / 6a) training centre! 6b) residential acilit$ and 6c) pro8ectstate oPce' To acilitate i#prest #anage#ent! a ", can #aintain cash i#prest itha designated person at the cost centre' The e(act a#ount o cash i#prest is let todiscretion o a ", ithin the cap o Q M*!***F- or each e(penditure location'


12/28

DDU-GKY

Section 8.3:

rotocol for delivery of cas and noncas entitlements

8.3.1 9eneral proced#res

%e candidates are entitled to following nancialassistance:

$as entitlements 1ood and To and 1ro 5harges

"ost "lace#ent 0upport

on cas entitlements ?oarding and lodging during training

?oarding and


13/28

DDU-GKY

Section 8.3:

rotocol for delivery of cas and noncas entitlements )contd*+

@'M'M "a$#ent o "ost "lace#ent 0upportS

insta

lmen

t

%imeline "mo#n

t );+

roofs re


14/28

DDU-GKY

Section 8.3:


8.3.4 One time travel cost

lu#p su# fnancial assistance is pro&ided to the candidates toacilitate essential tra&el re3uired under the progra# or theolloing purposes:

1ro# usual place o residenceS to training centre 6or residentialcandidates onl$)

1ro# training centreF usual place o residence to 4RT place

1ro# 4RT place to training centre i 4RT is in the #iddle otraining progra##e

1ro# 4RTFTraining centre to usual place o residence

1ro# 4RTFTraining centreFusual place o residence to place o Aste#plo$#ent

4ne ti#e tra&el or e#ergencies ro# 4RTFTraining centre tousual place o residence and bac

6 SUsual place o residence is nor#all$ here the candidate or his a#il$sta$s' 7oe&er! i the a#il$ has shited! a candidate can speci$ a diJerentplace as the place o sta$)'


15/28

DDU-GKY

Section 8.3:


=ligibilit$ or tra&el is defned as ollos: ;ail sleeper class o tra&el including tatal charges'

?us transport o an$ public sector undertaing

"ri&ate bus transport up to a #a(i#u# o tice the rail sleeper are

, a ", e(ercises options other than the abo&e list! are ill be sub8ected to a#a(i#u# o three ti#es o the rail are 6i places are not connected b$ a rail line roaddistance can be used or arri&ing at the rail are)

,n addition to the tra&el cost! ood and boarding cost hile in transit! a ", ouldbe eligible to boo the olloing e(penditure under the head 4ne Ti#e Tra&el5ost:

"gency carges: genc$ charges as per#itted or le&ied b$ go&ern#entFpublic sectororganisations is ad#issible' , the booing is through pri&ate agencies e3ui&alent ser&icecharges is ad#issible

Service ta and ed#cation cess: =le#ent o ser&ice ta(! and education cess is

ad#issible >o cancellation charges are ad#issible' 5ancellation charges! i an$ shall be borne b$

",

ll booings should be #anaged b$ the ", or an agent authorised b$ hi#'

ll tra&el should be supported b$ a state#ent ro# the candidates and a tra&el ticetor &oucher

=(penditure incurred toards 4ne Ti#e Tra&el should be audited b$ the "eriodicaluditor at the ti#e o release o instal#ents


16/28

DDU-GKY

Section 8.3:


8.3.5 7oarding and lodging facilities to tecandidates

a(i#u# a#ount a ", can boo under head - ?oardingand


17/28

DDU-GKY

Section 8.3:


"ttendance in te residential facilities residential place ill ha&e a separate geo tagged! ti#e

sta#ped bio#etric attendance s$ste#

The attendance ill be taen once in a da$ beteen E "and A* "

s so#eti#es candidates #iss out on attendance or a&ariet$ o reasons 6so#e o the reasons are: go out ostation or short duration or in eeends! illness! orget to#ar the attendance etc')! a #ini#u# o C + attendanceis co#pulsor$ to conclude that the candidate has a&ailedresidential acilities


18/28

DDU-GKY

Section 8.3:


@'M' ?ooing o e(penditure incurred on unior#

Slab o#rs Rate per trainee

" Up to AAC2 Q A***

7 AAC2 hours Q 2***


19/28

DDU-GKY

Section 8.4:

ayment of salaries to trainers0(aster %rainers and = team members

>erication of payment of salaries to trainers0master trainers and = team members

ll details o pa$#ent such as pa$#ent due! a#ountpaid and dela$s in pa$#ent ill be captured in "10'

,n the interi# ", should de&elop a s$ste# on theirebsite to share the olloing inor#ation:

The actual pa$#ent due and the date the a#ount has tobe paid or a candidate

The a#ount paid and the date o pa$#ent to thecandidate along ith proos'

calculation sheet indicating the indi&idual cases ounderpa$#ent and dela$ed pa$#ent along ith asu##ar$ state#ent'


20/28

DDU-GKY

Section 8.5:

>erication of "mo#nt received as take omesalary in a candidate?s bank "cco#nt

Tae ho#e salar$ paid to a candidate ill be nonro# one o the olloing: 0uccessull$ co#pleted ban transer state#ent o the

e#plo$er!

ban state#ent o the e#plo$er ith salar$ pa$#ent

transaction dul$ #ared and certifed b$ ",

passboo entries ith salar$ receipt transaction o thecandidate dul$ #ared and certifed b$ ",

1ro# the abo&e data a ", ill prepare 01 @'E:#ount transerred to a candidateOs ban account as

tae ho#e pa$. as per the #onthl$ &erifcation process' "eriodic auditor ill certi$ the state#ent and

5T0F0;


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DDU-GKYSection 8.6:

rotocol for asset management

sset purchased under the pro8ect shall be classifed under asset bloc asspecifed b$ depart#ent o inco#e ta(' ssets purchased in a fnancial$ear under each bloc not e(ceeding Q A*!*** can be ritten oJ in thesa#e $ear'

8.6.1 "sset permitted to be p#rcased #nder te pro-ect

", can purchase the olloing assets ithout =5 appro&al:

The assets gi&en belo e&en i asset bloc &alue e(ceeds ;s A*!*** in afnancial $ear:

?io #etric e3uip#ent

1ire e(tinguisher

55T9 ca#era and recording apparatus

5o#puters! printer! scanner and copier or oPce use

"ro8ector

Training centre urniture or acade#ic and non-acade#ic areas e'g' / chairs! table!

al#irah! racs ater dispenser

1irst aid its

n$ assetFs hose bloc &alue does not e(ceed Q A*!*** in a fnancial $ear

",s need not speci$ such assets in their pro8ect applications sub#itted to o;D'


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DDU-GKYSection 8.6:

rotocol for asset management

8.6.2 "ssets re


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DDU-GKY

Section 8.8:

%raining cost and incentivepayment

%raining cost

"re-defned Training Duration 6reer to Table A o sub-sectionB'2'2'M o DDG GKY Guidelines)

1le(ible training Duration / training duration other than pre-

defned training duration

S'"7 %rainingd#ration)rs+

!ncremental Rate pero#r );+

$alc#lation )pero#r+

C to AACA 'M2222222 6AAC2-ABEE)FCE

F AACB to A2 'ECE2C 62BCE2-AAC2)FCE

9 A2 to 2B*B C'2@ 62EE*2-2BCE2)FCE

S'"7 %rainingd#ration

)rs+

Rate pero#r );+

$alc#lation )pero#r+

(aim#mRate );+

" CE 2B'@ 6ABEE)FCE ABEE7 AAC2 AE'E2C 6AAC2-

ABEE)FCEAAC2

$ A2@ AB'EBCM 62BCE2-AAC2)FCE

2BCE2

@ 2B*M AA'CME* 62EE*2-2BCE2)FCE

2EE*2


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DDU-GKY

Section 8.8:

%raining cost and incentive payment)contd*+

!ncentives

Sl.o.

!ncentive category Rate percandidate

);+

1.


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DDU-GKYSection 8.C:

"ppointment of a#ditors

", is ree to appoint one auditor or the role"eriodical uditor and nnual uditor! sub8ect toapplicable regulations o the ,nstitute o 5harteredccountants o ,ndia 6,5,)


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DDU-GKYSection 8.12:

%ematic verication

9erifcation o boos! accounts and records needs to beconducted in accordance ith the directions o o;D


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DDU-GKY

Section 8.13:

Financial management informationsystem

Discussed in "10 and rele&ant sections


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DDU-GKY

Thank you@@D9EG!R@

project financial management

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