1.   For cross-border cooperation, the regions to be supported by the ERDF shall be the NUTS level 3 regions of the Union along all internal and external land borders with third countries or partner countries and all NUTS level 3 regions of the Union along maritime borders separated by a maximum of 150 km of sea, without prejudice to potential adjustments needed to ensure the coherence and continuity of cooperation programme areas and where cross-border interaction may effectively take place.

2.   Internal cross-border cooperation Interreg programmes may cover regions in Norway, Switzerland and the United Kingdom which are equivalent to NUTS level 3 regions as well as Andorra, Liechtenstein, Monaco and San Marino.

3.   For external cross-border cooperation, the regions to be supported by IPA III or NDICI shall be NUTS level 3 regions of the respective partner country or, in the absence of a NUTS classification, equivalent areas along all land and maritime borders between Member States and partner countries eligible under IPA III or NDICI, without prejudice to potential adjustments needed to ensure the coherence and continuity of cooperation programme areas.

1.   For transnational cooperation, the regions to be supported by the ERDF shall be the NUTS level 2 regions of the Union, including outermost regions, covering larger transnational territories and taking into account, where applicable, macro-regional strategies or sea-basin strategies.

2.   At the request of the Member State or Member States concerned when submitting a transnational cooperation programme, that programme may also include one or more outermost regions from the Member State or Member States concerned.

3.   Transnational cooperation programmes may cover the following territories, whether or not they are supported from the Union budget:

4.   The regions, third countries, partner countries or OCTs referred to in paragraph 3 shall be NUTS level 2 regions or, in the absence of a NUTS classification, equivalent areas.

1.   For interregional cooperation, the entire territory of the Union, including the outermost regions, shall be supported by the ERDF.

2.   Interregional cooperation programmes may cover the whole territory of third countries, partner countries and other territories, or a part thereof, or OCTs referred to in Articles 4, 5 and 7, whether or not they are supported by the external financing instruments of the Union.

1.   For the outermost regions’ cooperation, all regions listed in the first paragraph of Article 349 TFEU shall be supported by the ERDF.

2.   Interreg programmes involving the outermost regions may cover partner countries or parts thereof supported by the NDICI or OCTs supported by the Overseas Countries and Territories Programme (OCTP), or both.

1.   For the purposes of Articles 4 to 7, the Commission shall adopt implementing acts setting out the list of Interreg programme areas to receive support, broken down for each strand and each Interreg programme. Those implementing acts shall be adopted in accordance with the advisory procedure referred to in Article 63(2).

External cross-border programmes shall be listed as ‘Interreg A IPA III CBC programmes’ (IPA III-CBC) or ‘Interreg A NEXT programmes’ (NDICI-CBC).

2.   The implementing acts referred to in the first subparagraph of paragraph 1 shall also contain a list specifying those NUTS level 3 regions of the Union taken into account for the ERDF allocation for cross-border cooperation at all internal borders and those external borders covered by the external financing instruments of the Union.

3.   Regions of third or partner countries or territories outside the Union which do not receive support from the ERDF or from an external financing instrument of the Union, or which contribute to the Union budget by external assigned revenue, shall also be mentioned in the list referred to in the second subparagraph of paragraph 1.

1.   The ERDF resources for Interreg programmes shall amount to EUR 8 050 000 000 in 2018 prices of the global resources available for budgetary commitment from the ERDF, ESF+ and the Cohesion Fund for the 2021-2027 programming period and set out in Article 109(1) of Regulation (EU) 2021/1060.

2.   The resources referred to in paragraph 1 shall be allocated as follows:

3.   The Commission shall communicate to each Member State its share of the global amounts for strands A, B and D, pursuant to the methodology provided for in point 8 of Annex XXVI of Regulation (EU) 2021/1060, broken down by year.

4.   Each Member State may transfer up to 15% of its financial allocation for each of the strands A, B and D from one of those strands to one or more of the others.

5.   Based on the amounts communicated pursuant to paragraph 3, each Member State shall inform the Commission whether and how it has used the transfer option provided for in paragraph 4 and the resulting distribution of its share among the Interreg programmes in which the Member State participates.

1.   The Commission shall adopt implementing acts setting out the multi-annual strategy documents with regard to external cross-border and transnational cooperation programmes supported by the ERDF and NDICI, by the ERDF and IPA III, or by the ERDF, NDICI and IPA III. Those implementing acts shall be adopted in accordance with the advisory procedure referred to in Article 63(2) of this Regulation and, where appropriate, with due respect for the procedure set out in the IPA III Regulation.

With regard to Interreg programmes supported by the ERDF and the NDICI, the implementing act shall set out the elements referred to in Article 14(2) of Regulation (EU) 2021/947.

With regard to Interreg programmes supported by the ERDF and IPA III, the implementing act shall also cover, where relevant, the participation of IPA III beneficiaries or partner countries in Interreg C and D programmes.

2.   The contribution from the ERDF to external cross-border Interreg programmes to be also supported from the financial envelope under IPA III-CBC or from the financial envelope under NDICI-CBC shall be established by the Commission and the Member States concerned. The ERDF contribution established for each Member State shall not subsequently be reallocated between the Member States concerned.

The respective contributions from IPA III and NDICI to Interreg B, C and D programmes shall take account of the composition of the programme partnership by Member States, IPA III beneficiaries and partner countries. Those contributions may be set out in the multi-annual strategy documents covered by the first subparagraph of paragraph 1.

3.   Support from the ERDF shall be granted to individual external cross-border programmes provided that at least equivalent amounts are provided by IPA III CBC and NDICI-CBC under the relevant multi-annual strategy document. That contribution shall be subject to a maximum amount set out in the IPA III Regulation or Regulation (EU) 2021/947.

However, where the review of the relevant strategic programming documents under IPA III or NDICI results in the reduction of the matching amount for the remaining years, each Member State concerned shall choose from the following options:

4.   The annual appropriations corresponding to the support from the ERDF, IPA III CBC or NDICI-CBC to external cross-border Interreg programmes shall be entered in the relevant budget lines for the 2021 budgetary exercise.

5.   Where the Commission has included a specific financial allocation to assist partner countries or regions under Regulation (EU) 2021/947 and OCTs under Decision 2013/755/EU, or both, in strengthening their cooperation with neighbouring outermost regions of the Union in accordance with Article 33(2) of Regulation (EU) 2021/947 or Article 87 of Decision 2013/755/EU, or both, the ERDF may also contribute in accordance with this Regulation, where appropriate and on the basis of reciprocity and proportionality as regards the level of funding from the NDICI or the OCTP, or both, to actions implemented by a partner country or region or any other entity under Regulation (EU) 2021/947, by a country, territory or any other entity under Decision 2013/755/EU or by a Union outermost region under, in particular, one or more joint Interreg B, C or D programmes or under cooperation measures referred to in Article 59 of this Regulation that are established and implemented pursuant to this Regulation.

1.   On the basis of the information provided by Member States pursuant to Article 9(5), the Commission shall adopt implementing acts setting out a list of all Interreg programmes and indicating for each programme the global amount of the total support from the ERDF and, where applicable, the total support from each external financing instrument of the Union. Those implementing acts shall be adopted in accordance with the advisory procedure referred to in Article 63(2).

2.   Those implementing acts shall also contain a list of the amounts transferred pursuant to Article 9(4) broken down by Member State.

1.   If for 2022 or 2023 an external cross-border programme has not been submitted to the Commission by 31 March of the year concerned, the annual contribution from the ERDF to that programme that has not been re-allocated to another programme submitted under the same category of external cross-border Interreg programmes shall be allocated to the internal cross-border Interreg programmes in which the Member State concerned participates.

2.   If, by 31 March 2024, there are still external cross-border Interreg programmes which have not been submitted to the Commission, the contribution from the ERDF referred to in Article 9(5) to those programmes for the remaining years up to 2027, which has not been re-allocated to another Interreg programme also supported by IPA III CBC or NDICI-CBC, respectively, shall be allocated to the internal cross-border Interreg programmes in which the Member State concerned participates.

3.   Any external cross-border Interreg programme already approved by the Commission shall be discontinued or the allocation to that programme shall be reduced, in accordance with the applicable rules and procedures, in particular if:

In such cases, the contribution from the ERDF referred to in paragraph 1 corresponding to annual instalments not yet committed, or annual instalments committed and decommitted totally or partially during the same budgetary year, which have not been re-allocated to another Interreg programme also supported by IPA III CBC or NDICI-CBC, respectively, shall be allocated to the internal cross-border Interreg programmes in which the Member State concerned participates.

4.   With regard to an Interreg B programme already approved by the Commission, the participation of a partner country or of an OCT shall be discontinued if one of the situations set out in points (a) or (b) of the first subparagraph of paragraph 3 is fulfilled.

The participating Member States and, where applicable, the remaining participating partner countries, shall request that:

Where the allocation to the Interreg programme is reduced pursuant to point (b), the contribution from the ERDF corresponding to annual instalments not yet committed, shall be allocated to another Interreg B programme in which one or more of the Member States concerned participate or, where a Member State only participates in one Interreg B programme, to one or more internal cross-border Interreg programmes in which that Member State participates.

5.   The contribution from IPA III, NDICI or OCTP reduced pursuant to this Article shall be used in accordance with the IPA III Regulation, Regulation (EU) 2021/947 or Decision 2013/755/EU, respectively.

6.   Where a third country, partner country or OCT which contributes to an Interreg programme with national resources which do not constitute the national co-financing of support from the ERDF or from an external financing instrument of the Union, reduces that contribution during the implementation of the Interreg programme, either globally or with regard to joint operations already selected and having received the document provided for in Article 22(6), the participating Member State or Member States shall request one of the options set out in the second subparagraph of paragraph 4 of this Article.

1.   The co-financing rate at the level of each Interreg programme shall be not higher than 80 %.

2.   Notwithstanding paragraph 1 of this Article, the co-financing rate for Interreg D programmes shall be not higher than 85 % unless a higher percentage is fixed in Decision 2013/755/EU or any act adopted pursuant to that Decision or, where applicable, adopted pursuant to Regulation (EU) 2021/947, or any act adopted pursuant to that Regulation.

3.   Where Interreg programmes are supported by the ERDF and IPA III CBC and where the allocation from the ERDF is 50 % or less of the total Union allocation, a higher percentage may be fixed in the IPA III Regulation or any act adopted pursuant to that Regulation.

4.   Where Interreg programmes are supported by the ERDF, and either NDICI alone or both NDICI and IPA III, and where the allocation from the ERDF is 50 % or less of the total Union allocation, a higher percentage may be fixed in Regulation (EU) 2021/947 or any act adopted pursuant to that Regulation.

1.   The ERDF, within its scope as set out in Article 5 of Regulation (EU) 2021/1058, and, where applicable, the external financing instruments of the Union shall contribute to the policy objectives set out in Article 5(1) of Regulation (EU) 2021/1060 through joint actions under Interreg programmes.

2.   In the case of the PEACE PLUS cross-border programme, where it is acting in support of peace and reconciliation, the ERDF, as a specific objective under policy objective 4, shall also contribute to promoting social, economic and regional stability in the regions concerned, in particular through actions to promote cohesion between communities. A separate priority shall support that specific objective.

3.   In addition to the specific objectives for the ERDF as set out in Article 3 of Regulation (EU) 2021/1058, the ERDF and, where applicable, the external financing instruments of the Union shall also contribute to the specific objectives (a) to (l) of Article 4(1) of Regulation (EU) 2021/1057 through joint actions under Interreg programmes.

4.   Under Interreg programmes, the ERDF and, where applicable, the external financing instruments of the Union, may also support the Interreg-specific objective of ‘a better cooperation governance’, by one or more of the following actions:

5.   Under Interreg programmes, the ERDF and, where applicable, the external financing instruments of the Union, may also contribute to the Interreg-specific objective of ‘a safer and more secure Europe’, in particular by actions in the fields of border crossing management and mobility and migration management, including the protection and economic and social integration of third-country nationals, for example migrants and beneficiaries of international protection.

1.   At least 60 % of the ERDF contribution and, where applicable, of the external financing instruments of the Union allocations to each Interreg A, B and D programme shall be allocated to policy objective 2 and a maximum of two other policy objectives set out in Article 5(1) of Regulation (EU) 2021/1060.

Interreg A programmes along internal land borders shall allocate at least 60 % of the allocated ERDF contribution to policy objectives 2 and 4 and a maximum of two other policy objectives set out in Article 5(1) of Regulation (EU) 2021/1060.

2.   Up to 20 % of the ERDF contribution and, where applicable, of the external financing instruments of the Union allocations to each Interreg A, B and D programme may be allocated to the Interreg-specific objective of ‘a better cooperation governance’ and up to 5 % may be allocated to the Interreg-specific objective of ‘a safer and more secure Europe’.

3.   Where an Interreg B programme supports a macro-regional strategy or a sea-basin strategy, at least 80 % of the ERDF contribution and, where applicable, part of the external financing instruments of the Union allocations under priorities other than for technical assistance shall contribute to the objectives of that strategy.

4.   All of the policy objectives set out in the Article 5(1) of Regulation (EU) 2021/1060 and the Interreg-specific objective of ‘a better cooperation governance’ may be selected for Interreg Europe and URBACT programmes. For the INTERACT and ESPON programme, the total ERDF contribution and, where applicable, the external financing instruments of the Union allocations shall be allocated to the Interreg-specific objective of ‘a better cooperation governance’.

1.   The European territorial cooperation goal (Interreg) shall be implemented through Interreg programmes under shared management with the exception of Interreg D programmes, which may be implemented as a whole or partially under indirect management in agreement with the Member State or Member States concerned after consulting stakeholders.

2.   The participating Member States and, where applicable, third countries, partner countries, OCTs, or regional integration and cooperation organisations shall prepare an Interreg programme in accordance with the template set out in the Annex for the period from 1 January 2021 to 31 December 2027.

3.   The participating Member States shall prepare an Interreg programme in cooperation with the programme partners referred to in Article 8 of Regulation (EU) 2021/1060. In the preparation of Interreg B programmes, covering macro-regional or sea-basin strategies, the Member States and the programme partners shall take into account the thematic priorities of the relevant macro-regional and sea-basin strategies and consult the relevant actors, as well as ensure that these actors at macro-regional and sea-basin level are brought together at the start of the programming period in line with that Article.

The participating third countries or partner countries or, where applicable, OCTs shall also involve the programme partners, including regional integration and cooperation organisations, equivalent to those referred to in that Article.

4.   The Member State hosting the prospective managing authority shall submit an Interreg programme to the Commission by 2 April 2022 on behalf of all participating Member States and, where applicable, third countries, partner countries or OCTs, or regional integration and cooperation organisations.

However, where an Interreg programme covers support from an external financing instrument of the Union, the Member State hosting the prospective managing authority shall submit the Interreg programme to the Commission not later than nine months after the adoption by the Commission of the relevant multi-annual strategy documents provided for in Article 10(1) or in accordance with the respective basic legislative act of that external financing instrument of the Union.

5.   The participating Member States and, where applicable, third countries, partner countries or OCTs shall confirm in writing their agreement to the contents of an Interreg programme prior to its submission to the Commission. That agreement shall also include a commitment by all participating Member States and, where applicable, third countries, partner countries or OCTs to provide the co-financing necessary to implement the Interreg programme and, where applicable, the commitment for the financial contribution of the third countries, partner countries or OCTs.

By way of derogation from the first subparagraph, in the case of Interreg programmes involving outermost regions and third countries, partner countries or OCTs, the Member States concerned shall consult the respective third countries, partner countries or OCTs before submitting the Interreg programmes to the Commission. In that case, the agreements to the contents of the Interreg programmes and the possible financial contribution by the third countries, partner countries or OCTs may be expressed instead in the formally approved minutes of the consultation meetings with the third countries, partner countries or OCTs concerned or of the deliberations of regional integration and cooperation organisations.

6.   The Commission is empowered to adopt delegated acts in accordance with Article 62 to amend the Annex in order to adapt to changes occurring during the programming period for non-essential elements thereof.

1.   Each Interreg programme shall set out a joint strategy for the programme’s contribution to the policy objectives set out in Article 5(1) of Regulation (EU) 2021/1060 and, where relevant, to the Interreg-specific objectives set out in Article 14(4) and (5) of this Regulation and the communication of its results.

2.   Each Interreg programme shall consist of priorities.

Each priority shall correspond to a single policy objective or, where applicable, to one or both Interreg-specific objectives, respectively, and shall consist of one or more specific objectives. More than one priority may correspond to the same policy or Interreg-specific objective.

3.   Each Interreg programme shall set out:

When a Member State submits the programme, it shall ensure that the programme is accompanied for information purposes by a list of planned operations of strategic importance and a timetable.

4.   As regards the information referred to in paragraph 3 for the tables referred to in point (f) of that paragraph and as concerns the support from external financing instruments of the Union, those financial allocations shall be set out as follows:

5.   With regard to point (e)(vi) of the first subparagraph of paragraph 3 of this Article, the types of intervention shall be based on a nomenclature set out in Annex I to Regulation (EU) 2021/1060.

6.   The Interreg programme shall:

7.   The managing authority shall communicate to the Commission any changes in the information referred to in point (a) or (b) of paragraph 6 without requiring a programme amendment.

8.   With regard to an Interreg A, B or D programme, where an A programme covers long borders with heterogeneous development challenges and needs, Member States and, where applicable, third countries, partner countries and OCTs participating in an Interreg programme may define sub-programme areas.

9.   By way of derogation from paragraph 3, the content of Interreg C programmes shall be adapted to the specific character of those Interreg programmes, in particular as follows:

1.   The Commission shall assess each Interreg programme and its compliance with Regulations (EU) 2021/1060 and (EU) 2021/1058 and this Regulation and, in the case of support from an external financing instrument of the Union and, where relevant, its consistency with the multi-annual strategy documents pursuant to Article 10(1) of this Regulation or the relevant strategic programming framework pursuant to the respective basic legislative act of one or more of those instruments.

2.   The Commission may make observations within three months of the date of submission of the Interreg programme by the Member State hosting the prospective managing authority.

3.   The participating Member States and, where applicable, third or partner countries or OCTs shall review the Interreg programme taking into account the observations made by the Commission.

4.   The Commission shall adopt a decision by means of an implementing act approving each Interreg programme not later than five months after the date of the first submission of that programme by the Member State hosting the prospective managing authority.

5.   With regard to external cross-border Interreg programmes, the Commission shall adopt its decisions in accordance with paragraph 4 of this Article after consultation of the ‘IPA III Committee’ in accordance with the relevant provision of the IPA III Regulation and of the ‘Neighbourhood, Development and International Cooperation instrument committee’ in accordance with Article 45 of Regulation (EU) 2021/947.

1.   Following the consultation of and the approval by the monitoring committee and in compliance with Article 8 of Regulation (EU) 2021/1060, the managing authority may submit a reasoned request for an amendment of an Interreg programme together with the amended programme, setting out the expected impact of that amendment on the achievement of the objectives.

2.   The Commission shall assess the compliance of the requested amendment with Regulations (EU) 2021/1060 and (EU) 2021/1058 and this Regulation and may make observations within two months of the submission of the amended programme.

3.   The participating Member States and, where applicable, third countries, partner countries or OCTs shall review the amended programme and take into account the observations made by the Commission.

4.   The Commission shall adopt a decision by means of an implementing act approving the amendment of an Interreg programme not later than four months after its submission by the managing authority.

5.   Following the consultation of and the approval by the monitoring committee and in compliance with Article 8 of Regulation (EU) 2021/1060, the managing authority may transfer during the programming period an amount of up to 10 % of the initial allocation of a priority and no more than 5 % of the programme budget to another priority of the same Interreg programme.

Such transfers shall not affect previous years.

The transfer and related changes shall not be considered substantial and shall not require a decision of the Commission amending the Interreg programme. They shall, however, comply with all regulatory requirements. The managing authority shall submit to the Commission the revised table referred to in point (f)(ii) of Article 17(3) together with any related changes in the programme.

6.   The approval of the Commission shall not be required for corrections of a purely clerical or editorial nature that do not affect the implementation of the Interreg programme. The managing authority shall inform the Commission of such corrections.

1.   Interreg operations shall be selected in accordance with the programme’s strategy and objectives by a monitoring committee set up in accordance with Article 28.

That monitoring committee may set up one or, in particular in the case of sub-programmes, more steering committees which act under its responsibility for the selection of operations. Steering committees shall apply the partnership principle as set out in Article 8 of Regulation (EU) 2021/1060.

When all or part of an operation is implemented outside the programme area inside or outside the Union, the selection of that operation shall require the explicit approval by the managing authority in the monitoring committee or, where applicable, the steering committee.

When the operation involves one or several partners located in the territory of a Member State, third country, partner country or OCT which is not represented in the monitoring committee, the managing authority shall condition its explicit approval to the submission of a written acceptance by the concerned Member State, third country, partner country or OCT to reimburse any amounts unduly paid to these partners, in accordance with Article 52(2).

When the written acceptance referred to in the fourth subparagraph of this paragraph cannot be obtained, the body implementing all or part of an operation outside the programme area shall obtain a guarantee from a bank or another financial institution for the corresponding amount of the Interreg funds granted. Such a guarantee shall be included in the document provided for in paragraph 6.

2.   For the selection of operations, the monitoring committee or, where applicable, the steering committee shall establish and apply criteria and procedures which are non-discriminatory and transparent, ensure accessibility to persons with disabilities, gender equality and take account of the Charter of Fundamental Rights of the European Union and the principle of sustainable development and of the Union policy on the environment in accordance with Article 11 and Article 191(1) TFEU.

The criteria and procedures shall ensure the prioritisation of operations to be selected with a view to maximising the contribution of Union funding to the achievement of the objectives of the Interreg programme and to implementing the cooperation dimension of operations under Interreg programmes, as set out in Article 23(1) and (4) of this Regulation.

3.   At the request of the Commission the managing authority shall notify the selection criteria to the Commission prior to their initial submission to the monitoring committee or, where applicable, the steering committee. The same shall apply for any subsequent changes to those criteria.

4.   In selecting operations, the monitoring committee or, where applicable, the steering committee shall:

5.   The monitoring committee or, where applicable, the steering committee shall approve the methodology and criteria used for the selection of Interreg operations, including any changes thereto, without prejudice to point (b) of Article 33(3) of Regulation (EU) 2021/1060 with regard to CLLD and to Article 24 of this Regulation.

6.   For each Interreg operation, the managing authority shall provide a document to the lead or sole partner setting out the conditions for support of that Interreg operation, including the specific requirements concerning the products or services to be delivered, its financing plan, the time-limit for its execution and, where applicable, the method to be applied for determining the costs of the operation and the conditions for payment of the support.

That document shall also set out the lead partner’s obligations with regard to recoveries pursuant to Article 52. Those obligations shall be defined by the monitoring committee.

1.   Operations selected under Interreg A, B and D programmes shall involve partners from at least two participating countries or OCTs, at least one of which shall be a beneficiary from a Member State.

Operations selected under the Interreg Europe and URBACT programmes shall involve partners from at least three participating countries, at least two of which shall be beneficiaries from Member States.

Beneficiaries receiving support from Interreg funds and partners participating in the operation but not receiving any financial support under those funds (jointly referred to as ‘partners’) constitute an Interreg operation partnership.

2.   An Interreg operation may be implemented in a single country or OCT, provided that the impact on and the benefits for the programme area are identified in the operation application.

3.   Paragraph 1 shall not apply to operations under the PEACE PLUS cross-border programme where the programme is acting in support of peace and reconciliation.

4.   Partners shall cooperate in the development and implementation of Interreg operations, as well as in the staffing or financing, or both, thereof.

For Interreg operations under Interreg D programmes, the partners from outermost regions and third countries, partner countries or OCTs shall be required to cooperate only in two of the four dimensions listed in the first subparagraph.

5.   Where there are two or more partners, one of them shall be designated by all the partners as the lead partner.

6.   A cross-border legal body or an EGTC may be the sole partner of an Interreg operation under Interreg A, B and D programmes, provided that the members thereof involve partners from at least two participating countries.

The cross-border legal body or EGTC shall have members from at least three participating countries under the Interreg Europe and URBACT programmes.

A legal body that implements a financial instrument, a fund of holding funds or a small project fund, as applicable, may be the sole partner of an Interreg operation without the application of the requirements for its composition set out in the first subparagraph.

7.   A sole partner shall be registered in a Member State participating in the Interreg programme.

1.   Interreg A, B and D programmes shall support projects of limited financial volume, either:

2.   Where an Interreg B or D programme is unable to fulfil the obligation laid down in paragraph 1, the reasons why the obligation cannot be fulfilled shall be set out in the programme document in accordance with point 6 of the template set out in the Annex.

1.   The total contribution from the ERDF or, where applicable, an external financing instrument of the Union, to small project funds within an Interreg programme shall not exceed 20 % of the total allocation of the Interreg programme.

The final recipients within a small project fund shall receive support from the ERDF or, where applicable, the external financing instruments of the Union through the beneficiary and implement the small projects within that small project fund (‘small project’).

2.   The small project fund constitutes an operation within the meaning of point 4 of Article 2 of Regulation (EU) 2021/1060 which shall be managed by a beneficiary, taking into account its tasks and remuneration.

The beneficiary shall be a cross-border legal body or an EGTC or a body which shall have legal personality.

The beneficiary shall select the small projects which are implemented by the final recipients within the meaning of point (18) of Article 2 of Regulation (EU) 2021/1060. Where the beneficiary is not a cross-border legal body or an EGTC, a body involving representatives from at least two participating countries, of which at least one is a Member State, shall select the joint small projects.

3.   The document setting out the conditions for support to a small project fund shall, in addition to the elements laid down in Article 22(6), set out the elements necessary to ensure that the beneficiary:

The beneficiary shall ensure that the final recipients comply with the requirements set out in Article 36.

4.   The selection of small projects shall not constitute a delegation of tasks from the managing authority to an intermediate body as referred to in Article 71(3) of Regulation (EU) 2021/1060.

5.   Staff and other costs corresponding to the cost categories in Articles 39 to 43 generated at the level of the beneficiary for the management of the small project fund or funds shall not exceed 20 % of the total eligible cost of the small project fund or funds, respectively.

6.   Where the public contribution to a small project does not exceed EUR 100 000, the contribution from the ERDF or, where applicable, an external financing instrument of the Union shall take the form of unit costs or lump sums or flat rate financing, except for projects for which the support constitutes State aid.

Where the total costs of each project do not exceed EUR 100 000, the amount of support for one or more small projects may be set out on the basis of a draft budget which is established on a case-by-case basis and agreed ex ante by the beneficiary managing the small project fund.

Where flat-rate financing is used, the categories of costs to which the flat rate is applied may be reimbursed in accordance with point (a) of Article 53(1) of Regulation (EU) 2021/1060.

1.   The lead partner shall:

2.   If not otherwise specified in the arrangements laid down pursuant to point (a) of paragraph 1 the lead partner shall ensure that the other partners receive the total amount of the contribution from the respective Union fund in full and within a timeframe agreed by all partners and following the same procedure applied in respect of the lead partner. No amount shall be deducted or withheld and no specific charge or other charge with equivalent effect shall be levied that would reduce that amount for the other partners.

3.   Any partner in a Member State, third country, partner country or OCT participating in an Interreg operation may be designated as the lead partner.

1.   The amount of the funds allocated to technical assistance shall be identified as part of the financial allocation of each priority of the programme in accordance with point (f) of Article 17(3) and shall not take the form of a separate priority or a specific programme.

2.   Technical assistance to each Interreg programme shall be reimbursed as a flat rate by applying the percentages set out in paragraph 3 of this Article to the eligible expenditure included in each payment application pursuant to point (a) or (c) of Article 91(3) of Regulation (EU) 2021/1060 as appropriate.

3.   The percentage of the ERDF contribution and the external financing instruments of the Union to be reimbursed for technical assistance shall be as follows:

4.   For Interreg programmes with a total ERDF allocation between EUR 30 000 000 and EUR 50 000 000 the amount resulting from the percentage for technical assistance shall be increased by an additional amount of EUR 500 000. The Commission shall add that amount to the first interim payment.

5.   For Interreg programmes with a total ERDF allocation below EUR 30 000 000, the amount needed for technical assistance expressed in EUR and the resulting percentage shall be fixed in the Commission decision approving the Interreg programme concerned pursuant to Article 18.

1.   The Member States and, where applicable, the third countries, partner countries and OCTs participating in that programme shall set up, in agreement with the managing authority, a committee to monitor implementation of the respective Interreg programme (‘monitoring committee’) within three months of the date of notification to the Member States of the Commission decision approving an Interreg programme pursuant to Article 18.

2.   Each monitoring committee shall adopt its rules of procedure.

The rules of procedure of the monitoring committee and, where applicable, of the steering committee shall prevent any situation of conflict of interest when selecting Interreg operations and shall include provisions regarding voting rights and rules for attending the meetings.

3.   The monitoring committee shall meet at least once a year and shall review all issues that affect the programme’s progress towards achieving its objectives.

4.   The managing authority shall publish the rules of procedures of the monitoring committee and a summary of both data and information, including decisions, approved by the monitoring committee on the website referred to in Article 36(2).

1.   The composition of the monitoring committee of each Interreg programme shall be agreed by the Member States and, where applicable, by the third countries, partner countries and OCTs participating in that programme, and shall ensure a balanced representation of:

The composition of the monitoring committee shall take into account the number of participating Member States, third countries, partner countries and OCTs in the Interreg programme concerned.

2.   The managing authority shall publish a list of the members of the monitoring committee on the website referred to in Article 36(2).

3.   Representatives of the Commission shall participate in the work of the monitoring committee in an advisory capacity.

1.   The monitoring committee shall examine:

2.   In addition to its tasks concerning the selection of operations listed in Article 22, the monitoring committee shall approve:

1.   A review may be organised by the Commission to examine the performance of Interreg programmes.

The review may be carried out in writing.

2.   At the request of the Commission, the managing authority shall, within one month, provide the Commission with concise information on the elements listed in Article 30(1). That information shall be based on the most recent data available to the Member States and, where applicable, third countries, partner countries and OCTs.

3.   The outcome of the review shall be recorded in agreed minutes.

4.   The managing authority shall follow-up issues raised by the Commission and inform the Commission, within three months of the date of the review, of the measures taken.

1.   Each managing authority shall electronically transmit to the Commission cumulative data for the respective Interreg programme by 31 January, 30 April, 31 July and 31 October of each year in accordance with the template set out in Annex VII to Regulation (EU) 2021/1060, with the exception of the information required in point (b) of paragraph 2 and in paragraph 3 of this Article that shall be transmitted by 31 January and 31 July of each year.

The first transmission shall be due by 31 January 2022 and the last one by 31 January 2030.

2.   The data referred to in paragraph 1 shall be broken down for each priority by specific objective and shall refer to:

3.   For financial instruments, data shall also be provided on the following:

4.   The data submitted in accordance with this Article shall be reliable and reflect the data available in the electronic system referred to in point (e) of Article 72(1) of Regulation (EU) 2021/1060 as of the end of the month preceding the month of submission.

5.   The managing authority shall publish or provide a link to all the data transmitted to the Commission on the website referred to in Article 36(2).

1.   Each managing authority shall submit to the Commission a final performance report on the respective Interreg programme by 15 February 2031.

The final performance report shall be submitted using the template established in accordance with Article 43(5) of Regulation (EU) 2021/1060.

2.   The final performance report shall assess the achievement of programme objectives based on the elements listed in Article 30 with the exception of point (c) of paragraph 1, and point (d) of paragraph 2, thereof.

3.   The Commission shall examine the final performance report and inform the managing authority of any observations within five months of the date of receipt of that report. Where such observations are made, the managing authority shall provide all necessary information with regard to those observations and, where appropriate, inform the Commission, within three months of receipt of the observations, of measures taken. The Commission shall inform the managing authority of the acceptance of the report within two months of receiving all necessary information from the managing authority. Where the Commission does not inform the managing authority within those deadlines, the report shall be deemed to be accepted.

4.   The managing authority shall publish the final performance report on the website referred to in Article 36(2).

1.   Common output and result indicators, as set out in Annex I to Regulation (EU) 2021/1058, and, where necessary, programme-specific output and result indicators shall be used in accordance with Article 16(1) of Regulation (EU) 2021/1060, and point (e)(ii) of Article 17(3) and point (b) of Article 32(2) of this Regulation.

2.   Where relevant, programme-specific output and result indicators shall be used in addition to the indicators which were selected in accordance with paragraph 1.

All common output and result indicators listed in Table 2 of the Annex I to Regulation (EU) 2021/1058 may also be used by specific objectives under any of the policy objectives 1 to 5 or, where relevant, under the Interreg-specific objectives set out in Article 14(4) and (5) of this Regulation.

3.   For output indicators, baselines shall be set at zero. The milestones set for 2024 and targets set for 2029 shall be cumulative.

1.   The Member State or the managing authority shall carry out evaluations of the programmes related to one or more of the following criteria: effectiveness, efficiency, relevance, coherence and Union added value, with the aim to improve the quality of the design and implementation of programmes. Evaluations may also cover other relevant criteria, such as inclusiveness, non-discrimination and visibility, and may cover more than one programme.

2.   In addition to the evaluations referred to in paragraph 1, an evaluation for each programme to assess its impact shall be carried out by 30 June 2029.

3.   Evaluations shall be entrusted to internal or external experts who are functionally independent.

4.   The managing authority shall ensure the necessary procedures to produce and collect the data necessary for evaluations.

5.   The managing authority shall draw up an evaluation plan that may cover more than one Interreg programme.

6.   The managing authority shall submit the evaluation plan to the monitoring committee not later than one year after the approval of the Interreg programme.

7.   The managing authority shall publish all evaluations on the website referred to in Article 36(2).

1.   Each managing authority shall identify a communication officer for each Interreg programme. A communication officer may be responsible for more than one programme.

2.   The managing authority shall ensure that, within six months of the Interreg programme’s approval pursuant to Article 18, there is a website where information on each Interreg programme under its responsibility is available, covering the programme’s objectives, activities, available funding opportunities and achievements.

3.   Article 49(2) to (6) of Regulation (EU) 2021/1060 on the responsibilities of the managing authority shall apply.

4.   Each partner of an Interreg operation or each body implementing a financing instrument shall acknowledge support from an Interreg fund, including resources reused for financial instruments in accordance with Article 62 of Regulation (EU) 2021/1060, to the Interreg operation by:

The term ‘Interreg’ shall be used next to the emblem of the Union in accordance with Article 47 of Regulation (EU) 2021/1060.

5.   For small project funds and financial instruments, the beneficiary shall ensure by means of the contractual terms that final recipients comply with the requirements to communicate publicly on the Interreg operation.

For financial instruments, the final recipient shall acknowledge the origin and ensure the visibility of the Union funding, in particular when promoting the actions and their results, by providing coherent, effective and targeted information to multiple audiences, including the media and the public.

6.   Where remedial actions have not been put into place, the managing authority shall apply measures, taking into account the principle of proportionality, by cancelling up to 2 % of the support from the funds to:

1.   All or part of an Interreg operation may be implemented outside of a Member State, including outside the Union, provided that the Interreg operation contributes to the objectives of the respective Interreg programme.

2.   Without prejudice to the eligibility rules laid down in Articles 63 to 68 of Regulation (EU) 2021/1060, in Articles 5 and 7 of (EU) 2021/1058 or in this Chapter, including in acts adopted thereunder, the participating Member States and, where applicable, third countries, partner countries and OCTs shall, by a joint decision in the monitoring committee, only establish additional rules on eligibility of expenditure for the Interreg programme on categories of expenditure not covered by those provisions. Those additional rules shall cover the Interreg programme as a whole.

However, where an Interreg programme selects operations based on calls for proposals, those additional rules shall be adopted before the calls for proposals are published. In all other cases, those additional rules shall be adopted before operations are selected.

3.   For matters not covered by the eligibility rules laid down in Articles 63 to 68 of Regulation (EU) 2021/1060, in Articles 5 and 7 of Regulation (EU) 2021/1058 and in this Chapter, including in acts adopted thereunder or in rules established in accordance with paragraph 2 of this Article, the national rules of the Member State and, where applicable, of the third countries, partner countries and OCTs in which the expenditure is incurred shall apply.

4.   In the event of a difference of opinion between the managing authority and the audit authority with regard to the eligibility as such of an Interreg operation selected under an Interreg programme, the opinion of the managing authority shall prevail, taking due account of the opinion of the monitoring committee.

5.   OCTs shall not be eligible for support from the ERDF under Interreg programmes, but may participate in those programmes under the conditions set out in this Regulation.

1.   The participating Member States and, where applicable, third countries, partner countries and OCTs, may agree in the monitoring committee of an Interreg programme that expenditure falling under one or more of the categories referred to in Articles 39 to 44 shall not be eligible under one or more priorities of an Interreg programme.

2.   Any expenditure eligible in accordance with this Regulation shall relate to the costs of initiating or initiating and implementing an operation or part of an operation.

3.   The following costs are not eligible:

4.   Where the flat rate provided for in Article 56(1) of Regulation (EU) 2021/1060 is used to calculate eligible costs other than direct staff costs of an operation, it shall not be applied to direct staff costs calculated on the basis of a flat rate as referred to in point (c) of Article 39(3) of this Regulation.

5.   By way of derogation from point (c) of Article 76(1) of Regulation (EU) 2021/1060, expenditure paid in another currency shall be converted into euro by each beneficiary coming from countries which have not adopted the euro as their currency using the monthly accounting exchange rate of the Commission in the month during which that expenditure was submitted for verification.

1.   Staff costs shall consist of gross employment costs of staff employed by the Interreg partner in one of the following ways:

2.   Staff costs shall be limited to the following:

With regard to point (a) of the first subparagraph, payments to natural persons working for the Interreg partner under a contract other than an employment or work contract may be assimilated to salary payments and such a contract shall be considered to be an employment document.

3.   Staff costs may be reimbursed either:

4.   Staff costs related to individuals who work on part-time assignment on the operation, may be calculated as either:

5.   For staff employed pursuant to point (d) of paragraph 1, the hourly rate shall be multiplied by the number of hours actually worked on the operation based on a time registration system.

1.   Office and administrative costs shall be limited to the following elements:

2.   Office and administrative costs may be calculated as a fixed percentage of the gross employment cost in accordance with point (b) of the first subparagraph of Article 54 of Regulation (EU) 2021/1060.

1.   Travel and accommodation costs, regardless whether such costs are incurred and paid inside or outside the programme area, shall be limited to the following cost elements:

2.   Any cost element listed in points (a) to (d) of paragraph 1 covered by a daily allowance shall not be reimbursed in addition to the daily allowance.

3.   Travel and accommodation costs of external experts and service providers fall under external expertise and services costs listed in Article 42.

4.   Direct payment of expenditure for cost elements listed in points (a) to (d) of paragraph 1 by an employee of the beneficiary shall be supported by a proof of reimbursement by the beneficiary to that employee.

5.   Travel and accommodation costs of an operation may be calculated at a flat rate of up to 15 % of the direct staff costs of that operation, without there being a requirement for the Member State to perform a calculation to determine the applicable rate.

1.   Costs for equipment purchased, rented or leased by the beneficiary of the operation other than those covered by Article 40 shall be limited to the following:

2.   Costs for the purchase of second-hand equipment may be eligible subject to the following conditions:

1.   Member States and, where applicable, third countries, partner countries and OCTs participating in an Interreg programme shall identify, for the purposes of Article 71 of Regulation (EU) 2021/1060, a single managing authority and a single audit authority.

2.   The managing authority and the audit authority shall be located in the same Member State.

3.   As regards the PEACE PLUS cross-border programme, the Special EU Programmes Body, where it is identified as the managing authority, shall be considered to be located in a Member State.

4.   Member States and, where applicable, third countries, partner countries and OCTs participating in an Interreg programme may identify an EGTC as managing authority of that programme.

5.   Where the managing authority identifies one or more intermediate bodies under an Interreg programme in accordance with Article 71(3) of Regulation (EU) 2021/1060, the intermediate body shall carry out those tasks in more than one participating Member State or, where applicable, in a third country, partner country or OCT. Without prejudice to Article 22 of this Regulation, one or more intermediate bodies may carry out those tasks in only one participating Member State or, where applicable, in a third country, partner country or OCT where such an approach is based on existing structures.

1.   The managing authority of an Interreg programme shall carry out the functions laid down in Articles 72, 74 and 75 of Regulation (EU) 2021/1060, with the exception of the task of selecting operations referred to in point (a) of Article 72(1) and Article 73 of that Regulation and, where the accounting function is carried out by a different body pursuant to Article 47 of this Regulation, of payments to beneficiaries referred to in point (b) of Article 74(1) of Regulation (EU) 2021/1060. Those functions shall be carried out in the whole territory covered by that programme, subject to derogations set out pursuant to Chapter VIII of this Regulation.

2.   The managing authority, after consultation with the Member States and, where applicable, any third countries, partner countries or OCTs participating in the Interreg programme, shall set up a joint secretariat, with staff taking into account the programme partnership.

The joint secretariat shall assist the managing authority and the monitoring committee in carrying out their respective functions. The joint secretariat shall also provide information to potential beneficiaries about funding opportunities under Interreg programmes and shall assist beneficiaries and partners in the implementation of operations.

For Interreg programmes also supported by external financing instruments from the Union, one or more branch offices of the joint secretariat may be set up in one or more partner countries or OCTs in order to carry out its tasks closer to potential beneficiaries and partners from the partner country or OCT, respectively.

3.   By way of derogation to point (a) of Article 74(1) of Regulation (EU) 2021/1060 and without prejudice to Article 45(5) of this Regulation, the Member States, and where applicable, the third country, partner country or OCT, participating in the Interreg programme, may decide that management verifications referred to in point (a) of Article 74(1) of Regulation (EU) 2021/1060 are to be done through the identification by each Member State of a body or person responsible for this verification on its territory (the ‘controller’).

4.   The controllers may be the same bodies responsible for carrying out such verifications for the programmes under the Investment for jobs and growth goal or, in the case of third countries, partner countries or OCTs for carrying out comparable verifications under external financing instruments of the Union. Any controller shall be functionally independent from the audit authority or any member of the group of auditors.

5.   Where it has been decided that management verifications are carried out by identified controllers pursuant to paragraph 4, the managing authority shall satisfy itself that the expenditure of beneficiaries participating in an operation has been verified by an identified controller.

6.   Each Member State, third country, partner country or OCT shall ensure that the expenditure of a beneficiary can be verified within a period of three months of the submission of the documents by the beneficiary concerned.

7.   Each Member State, third country, partner country or OCT shall be responsible for verifications carried out on its territory.

8.   Each Member State, third country, partner country and OCT shall identify as controller either a national or regional authority or a private body or a natural person as set out in paragraph 9.

9.   Where the controller carrying out management verifications is a private body or a natural person, those controllers shall meet at least one of the following requirements:

1.   Member States and, where applicable, third countries, partner countries and OCTs participating in an Interreg programme shall agree on the arrangements for carrying out the accounting function.

2.   The accounting function shall consist of the tasks listed in points (a) and (b) of Article 76(1) of Regulation (EU) 2021/1060 and shall also cover the payments made by the Commission and, as a general rule, the payments made to the lead partner in accordance with point (b) of Article 74(1) of that Regulation.

1.   The audit authority of an Interreg programme shall carry out the functions provided for in this Article and in Article 49 in the whole of the territory covered by that Interreg programme.

Where the audit authority does not have the authorisation in the whole territory covered by a cooperation programme, it shall be assisted by a group of auditors composed of a representative from each Member State and, where applicable, third country, partner country or OCT, participating in the Interreg programme. Each Member State and, where applicable, each third country, partner country or OCT shall be responsible for audits carried out on its territory.

Each representative from each Member State and, where applicable, each third country, partner country or OCT, participating in the Interreg programme shall be responsible for providing the factual elements relating to expenditure on its territory that are required by the audit authority in order to perform its assessment.

The group of auditors shall be set up within three months of the decision approving the Interreg programme pursuant to Article 18. It shall draw up its rules of procedure and be chaired by the audit authority for the Interreg programme.

The auditors shall be functionally independent from bodies or persons responsible for management verifications pursuant to Article 46(3).

2.   The audit authority of an Interreg programme shall be responsible for carrying out system audits and audits on operations in order to provide independent assurance to the Commission that management and control systems function effectively and that expenditure included in the accounts submitted to the Commission is legal and regular.

3.   Where an Interreg programme is included in the population from which the Commission selects a common sample pursuant to Article 49(1), the audit authority shall carry out audits of operations selected by the Commission in order to provide independent assurance to the Commission that management and control systems function effectively.

4.   Audit work shall be carried out in accordance with internationally accepted audit standards.

5.   The audit authority shall draw up and submit to the Commission, each year by 15 February following the end of the accounting year, an annual audit opinion in accordance with Article 63(7) of the Financial Regulation using the template set out in Annex XIX to Regulation (EU) 2021/1060 and based on all audit work carried out, covering each of the following components:

Where the Interreg programme is included in the population from which the Commission selects a common sample pursuant to Article 49(1), the annual audit opinion shall only cover the elements referred to in points (a) and (c) of the first subparagraph of this paragraph.

The deadline of 15 February may exceptionally be extended by the Commission to 1 March, upon communication by the audit authority.

6.   The audit authority shall draw up and submit to the Commission, each year by 15 February following the end of the accounting year, an annual control report in accordance with point (b) of Article 63(5) of the Financial Regulation using the template set out in Annex XX of Regulation (EU) 2021/1060 and, supporting the audit opinion provided for in paragraph 5 of this Article and setting out a summary of the findings, including an analysis of the nature and extent of any errors and deficiencies in the systems as well as the proposed and implemented corrective actions and the resulting total error rate and residual error rate for the expenditure entered in the accounts submitted to the Commission.

7.   Where the Interreg programme is included in the population from which the Commission selects a common sample pursuant to Article 49(1), the audit authority shall draw up, using the template set out in Annex XX to Regulation (EU) 2021/1060, the annual control report referred to in paragraph 6 of this Article that fulfils the requirements of point (b) of Article 63(5) of the Financial Regulation and supports the audit opinion provided for in paragraph 5 of this Article.

That report shall set out a summary of the findings, including an analysis of the nature and extent of any errors and deficiencies in the systems as well as the proposed and implemented corrective actions, the results of the audits of operations carried out by the audit authority in relation to the common sample referred to in Article 49(1) and the financial corrections applied by the Interreg programme authorities in respect of any individual irregularities detected by the audit authority for these operations.

8.   The audit authority shall transmit system audit reports to the Commission as soon as the required contradictory procedure with the relevant auditees is concluded.

9.   The Commission and the audit authority shall meet on a regular basis and at least once a year, unless otherwise agreed, to examine the audit strategy, the annual control report and the audit opinion, to coordinate their audit plans and methods and to exchange views on issues relating to the improvement of management and control systems.

1.   The Commission shall select a common sample of operations, or other sampling units, using a statistical sampling method for the audits of operations to be carried out by the audit authorities for the Interreg programmes receiving support from the ERDF or an external financing instrument of the Union in respect of each accounting year.

The common sample shall be representative of all the Interreg programmes constituting the population.

For the purposes of selecting the common sample, the Commission may stratify groups of Interreg programmes according to their specific risks.

2.   The programme authorities shall provide the information necessary for the selection of a common sample to the Commission by 1 August following the end of each accounting year.

That information shall be submitted in a standardised electronic format, shall be complete and shall reconcile with the expenditure declared to the Commission for the reference accounting year.

3.   Without prejudice to the requirement to carry out an audit as referred to in Article 48(2), the audit authorities for Interreg programmes covered by the common sample shall not carry out additional audits of operations under those programmes, unless requested to do so by the Commission in accordance with paragraph 8 of this Article or in cases for which an audit authority has identified specific risks.

4.   The Commission shall inform the audit authorities of the Interreg programmes concerned of the common sample selected in sufficient time to allow these authorities to carry out the audits of operations, in general, by 1 September following the end of each accounting year.

5.   The audit authorities concerned shall submit information on the results of these audits as well as on any financial correction taken in relation to individual irregularities detected, at the latest in the annual control reports to be submitted to the Commission pursuant to Article 48(6) and (7).

6.   Following its assessment of the results of audits of operations selected pursuant to paragraph 1, the Commission shall calculate a global extrapolated error rate with regard to the Interreg programmes included in the population from which the common sample was selected, for the purposes of its own assurance process.

7.   Where the global extrapolated error rate referred to in paragraph 6 is above 2 % of the total expenditure declared for the Interreg programmes included in the population from which the common sample was selected, the Commission shall calculate a global residual error rate, taking account of financial corrections applied by the respective Interreg programme authorities for individual irregularities detected by the audits of operations selected pursuant to paragraph 1.

8.   Where the global residual error rate referred to in paragraph 7 is more than 2 % of the expenditure declared for the Interreg programmes included in the population from which the common sample was selected, the Commission shall determine whether it is necessary to request the audit authority of a specific Interreg programme or a group of Interreg programmes most affected to carry out additional audit work in order to further evaluate the error rate and assess the required corrective measures for the Interreg programmes affected by the irregularities detected.

9.   Based on the assessment of the results of the additional audit work requested pursuant to paragraph 8 of this Article, the Commission may request additional financial corrections to be applied on the Interreg programmes affected by the irregularities detected. In such cases, the Interreg programme authorities shall carry out the required financial corrections in accordance with Article 103 of Regulation (EU) 2021/1060.

10.   Each audit authority of an Interreg programme for which the information referred to in paragraph 2 of this Article is missing or incomplete or has not been submitted by the deadline laid down in the first subparagraph of that paragraph shall carry out a separate sampling exercise for the respective Interreg programme in accordance with Article 79 of Regulation (EU) 2021/1060.

1.   The ERDF contribution and, where applicable, the support from external financing instruments of the Union to each Interreg programme shall be paid, in accordance with Article 47(2), into a single account with no national subaccounts.

2.   The Commission shall pay a pre-financing based on the total support from each Interreg fund, as set out in the decision approving each Interreg programme pursuant to Article 18, subject to available funds, in yearly instalments as follows and before 1 July of the years 2022 to 2026, or, in the year of the approving decision, not later than 60 days after that decision is adopted:

3.   Where Interreg programmes are supported by the ERDF and IPA III CBC and where the contribution from the ERDF is 50 % or less of the total Union allocation, the Commission shall pay a pre-financing in accordance with the relevant provision of the IPA III Regulation.

4.   Where Interreg programmes are supported by the ERDF and either NDICI or both NDICI and IPA III, and where the contribution from the ERDF is 50 % or less of the total Union allocation, the Commission shall pay a pre-financing in accordance with Article 22(5) of Regulation (EU) 2021/947, taking into account the actual financial needs.

Articles 96 and 97 of Regulation (EU) 2021/1060 shall apply mutatis mutandis to the pre-financing pursuant to the first subparagraph of this paragraph.

5.   The amount paid as pre-financing shall be cleared from the Commission accounts each year for 2021 and 2022 and not later than with the final accounting year for 2023 and subsequent years as well as for amounts paid as pre-financing set out pursuant to paragraphs 3 and 4.

1.   The managing authority shall ensure that any amount paid as a result of an irregularity is recovered from the lead or sole partner. Partners shall repay to the lead partner any amounts unduly paid.

2.   The Member States, third countries, partner countries or OCTs participating in a given Interreg programme may decide that the lead or sole partner and the programme’s managing authority are not obliged to recover an amount unduly paid that does not exceed EUR 250, not including interest, in contribution from any of the Interreg funds to an operation in an accounting year.

No information needs to be provided to the Commission beyond the information about making a decision pursuant to the first subparagraph.

3.   Where the lead partner does not succeed in securing repayment from other partners or where the managing authority does not succeed in securing repayment from the lead or sole partner, the Member State, third country, partner country or OCT on whose territory the partner concerned is located or, in the case of an EGTC, is registered, shall reimburse the managing authority any amounts unduly paid to that partner. The managing authority shall be responsible for reimbursing the amounts concerned to the general budget of the Union, in accordance with the apportionment of liabilities among the participating Member States, third countries, partner countries or OCTs set out in the Interreg programme.

4.   Once the Member State, third country, partner country or OCT has reimbursed the managing authority any amounts unduly paid to a partner, it may continue or start a recovery procedure against that partner pursuant to its national law. In the event of successful recovery, the Member State, third country, partner country or OCT may use those amounts for the national co-financing of the Interreg programme concerned. The Member State, third country, partner country or OCT shall not have any reporting obligations towards the programme authorities, the monitoring committee or the Commission with regard to such national recoveries.

5.   Where a Member State, third country, partner country or OCT has not reimbursed the managing authority any amounts unduly paid to a partner pursuant to paragraph 4 of this Article, those amounts shall be subject to a recovery order issued by the Commission which shall be executed, where possible, by offsetting to the Member State, third country, partner country or OCT, respectively. Such recovery shall not constitute a financial correction and shall not reduce the support from the ERDF or any external financing instrument of the Union to the respective Interreg programme. The amount recovered shall constitute assigned revenue in accordance with Article 21(3) of the Financial Regulation.

With regard to amounts not reimbursed to the managing authority by a Member State, the offsetting shall concern subsequent payments to the same Interreg programme. The managing authority shall then offset with regard to that Member State in accordance with the apportionment of liabilities among the participating Member States set out in the Interreg programme in the event of financial corrections imposed by the managing authority or the Commission.

With regard to amounts not reimbursed to the managing authority by a third country, partner country or OCT, the offsetting shall concern subsequent payments to programmes under the respective external financing instruments of the Union.

1.   Each third country, partner country and OCT participating in an Interreg programme shall identify a national or regional authority as contact point for the managing authority (the ‘contact point’).

2.   The contact point, a body equivalent to the Interreg programme communication officer as provided for in Article 36(1), or the branch office or offices, shall support the managing authority and partners in the respective third country, partner country or OCT with regard to the tasks provided for in Article 36(2) to (6).

1.   Interreg A programmes supported both by the ERDF and IPA III CBC or NDICI-CBC shall be implemented under shared management both in the Member States and in any participating third country or partner country.

The PEACE PLUS cross-border programme shall be implemented under shared management both in Ireland and in the United Kingdom.

2.   Interreg B and C programmes combining contributions from the ERDF and from one or more external financing instrument of the Union shall be implemented under shared management both in the Member States and in any participating third country, partner country, participating OCT or, with regard to Interreg D, in any OCT, whether or not that OCT receives support under one or more external financing instruments of the Union.

3.   Interreg D programmes combining contributions from the ERDF and one or more external financing instruments of the Union shall be implemented in any of the following ways:

Where all or part of an Interreg D programme is implemented under indirect management, Article 61 shall apply.

1.   By way of derogation from Article 63(2) of Regulation (EU) 2021/1060, expenditure shall be eligible for a contribution from external financing instruments of the Union if it has been incurred and paid in the preparation and implementation of Interreg operations from 1 January 2021 or from the date of the programme submission, whichever date is earlier, but may be claimed from the programme after the date when the financing agreement with the respective third country, partner country or OCT was concluded.

However, expenditure for technical assistance managed by programme authorities located in a Member State may already be claimed from the programme before the date when the financing agreement with the respective third country, partner country or OCT was concluded.

2.   Where an Interreg programme selects operations based on calls for proposals, such calls may include applications for a contribution from external financing instruments of the Union, even where the calls were launched and operations were selected before the relevant financing agreement was concluded.

The managing authority may provide the document provided for in Article 22(6) before the relevant financing agreement was concluded.

1.   Interreg programmes under this Chapter may support large infrastructure projects meaning operations comprising a set of works, activities or services intended to fulfil an indivisible function of a precise nature pursuing clearly identified objectives of common interest for the purposes of implementing investments delivering a cross-border impact and benefits and where a budget share of a total cost of at least EUR 2 500 000 is allocated to the acquisition, construction or modernisation of infrastructure.

2.   Each beneficiary implementing a large infrastructure project or a part thereof shall apply the applicable public procurement rules.

3.   The Member State hosting the managing authority of the relevant Interreg programme shall send to the Commission a list of planned large infrastructure projects indicating the prospective name, location, budget and lead partner. That list shall be sent as a separate document either when transmitting the signed copy of the financing agreement or a copy of the implementing agreement as referred to in Article 59 to the Commission or at the latest two months before the meeting of the monitoring committee or, if applicable, the steering committee selecting the first of the envisaged large infrastructure projects.

4.   Where the selection of one or more large infrastructure projects is on the agenda of a monitoring committee or, where applicable, steering committee meeting, the managing authority shall transmit a concept note for each such project to the Commission, for information, at the latest two months before the date of the meeting. The concept note shall be a maximum of three pages and shall indicate the name, the location, the budget, the lead partner and the partners as well as the main objectives and deliverables thereof. If the concept note concerning one or more large infrastructure projects is not transmitted to the Commission by that deadline, the Commission may request that the chair of the monitoring committee or steering committee remove the projects concerned from the agenda of the meeting.

1.   Where the implementation of an operation requires procurement of service, supply or works contracts by a beneficiary, the following rules shall apply:

2.   For the award of goods, works or services in all cases other than those referred to in paragraph 1 of this Article, the procurement procedures provided for in Articles 178 and 179 of the Financial Regulation and points 36 to 41 of Chapter 3 of Annex I to that Regulation shall apply.

1.   In order to implement an Interreg programme in a third country, partner country or OCT, in accordance with Article 112(4) of the Financial Regulation, a financing agreement shall be concluded between the Commission, representing the Union, and each participating third country, partner country or OCT represented in accordance with its national legal framework.

2.   Any financing agreement shall be concluded by 31 December of the year following the year when the first budget commitment was made and shall be considered to be concluded on the date when the last party has signed it.

Any financing agreement shall enter into force either on the date:

3.   The Commission shall provide the draft financing agreement when approving the external programme.

Where an Interreg programme involves more than one third country, partner country or OCT, at least one financing agreement shall be concluded by both parties before the date specified in paragraph 2. The other third countries, partner countries or OCTs may sign their respective financing agreements at the latest on 30 June of the second year following the year when the first budget commitment was made.

4.   The Member State hosting the managing authority of the relevant Interreg programme either:

5.   An implementing agreement signed pursuant to point (b) of paragraph 4 shall at least cover the following elements:

6.   Where the Member State hosting the managing authority of the Interreg programme decides to sign the financing agreement pursuant to point (a) of paragraph 4 of this Article, that financing agreement shall be considered to be a tool to implement the Union budget in accordance with the Financial Regulation and not an international agreement as referred to in Articles 216 to 219 TFEU.

1.   Where a third country, partner country or OCT transfers to the managing authority a financial contribution to support the Interreg programme, other than its co-financing of the Union support to the Interreg programme, the rules concerning that financial contribution shall be contained in the following document:

For the purposes of point (b)(i) of the first subparagraph, sections of the implementing agreement may, where applicable, cover both the transferred financial contribution and the Union support to the Interreg programme.

2.   An implementing agreement provided for in paragraph 1 of this Article shall at least contain the elements concerning the third country’s, partner country’s or OCT’s co-financing listed in Article 59(5).

In addition, it shall set out both of the following:

3.   With regard to the PEACE PLUS cross-border programme, the financial contribution to Union activities from the United Kingdom in the form of external assigned revenue as referred to in point (e) of Article 21(2) of the Financial Regulation shall be part of the budget appropriations for Heading 2 ‘Cohesion and Values’, sub-ceiling ‘Economic, social and territorial cohesion’.

That contribution shall be subject to a specific financing agreement with the United Kingdom in accordance with Article 59 of this Regulation. The Commission and the United Kingdom as well as Ireland shall be parties to this specific financing agreement.

The specific financing agreement shall be concluded before the beginning of the implementation of the programme, thus allowing the Special EU Programmes Body to apply the Union legislation applicable to the implementation of the programme.

1.   Where, with the agreement of the Member State and the regions concerned, part or all of an Interreg D programme is implemented under indirect management pursuant to point (b) or (c), respectively, of Article 55(3) of this Regulation, implementation tasks shall be entrusted to one of the bodies listed in point (c) of the first subparagraph of Article 62(1) of the Financial Regulation, in particular to such a body located in the participating Member State, including the managing authority of the Interreg programme concerned.

2.   In accordance with point (c) of Article 154(6) of the Financial Regulation, the Commission may decide not to require an ex-ante assessment as referred to in paragraphs 3 and 4 of that Article when the budget implementation tasks referred to in point (c) of the first subparagraph of Article 62(1) of that Regulation are entrusted to a managing authority of an outermost regions’ Interreg programme identified pursuant to Article 45(1) of this Regulation and in accordance with Article 71 of Regulation (EU) 2021/1060.

3.   Where the budget implementation tasks referred to in point (c) of the first subparagraph of Article 62(1) of the Financial Regulation are entrusted to a Member State organisation, Article 157 of that Regulation shall apply.

4.   Where a programme or action co-financed by one or more external financing instrument is implemented by a third country, a partner country, an OCT or any of the other bodies listed to in point (c) of the first subparagraph of Article 62(1) of the Financial Regulation or referred to in Regulation (EU) 2021/947 or Decision 2013/755/EU, or both, the relevant rules of these instruments shall apply.

Conditions for the implementation of part of an Interreg strand D programme under indirect management pursuant to point (b) or (c) of Article 55(3) of this Regulation shall be defined by an agreement concluded between the Commission, the managing authority or its Member State, and the entrusted body.

1.   The power to adopt delegated acts is conferred on the Commission subject to the conditions laid down in this Article.

2.   The power to adopt delegated acts referred to in Article 16(6) shall be conferred on the Commission for an indeterminate period of time from 1 July 2021.

3.   The delegation of power referred to in Article 16(6) may be revoked at any time by the European Parliament or by the Council. A decision to revoke shall put an end to the delegation of the power specified in that decision. It shall take effect the day following the publication of the decision in the Official Journal of the European Union or at a later date specified therein. It shall not affect the validity of any delegated acts already in force.

4.   Before adopting a delegated act, the Commission shall consult experts designated by each Member State in accordance with the principles laid down in the Interinstitutional Agreement of 13 April 2016 on Better Law-Making.

5.   As soon as it adopts a delegated act, the Commission shall notify it simultaneously to the European Parliament and to the Council.

6.   A delegated act adopted pursuant to Article 16(6) shall enter into force only if no objection has been expressed either by the European Parliament or by the Council within a period of two months of notification of that act to the European Parliament and to the Council or if, before the expiry of that period, the European Parliament and the Council have both informed the Commission that they will not object. That period shall be extended by two months at the initiative of the European Parliament or of the Council.

1.   The Commission shall be assisted by the committee set up pursuant to Article 115(1) of Regulation (EU) 2021/1060. That committee shall be a committee within the meaning of Regulation (EU) No 182/2011.

2.   Where reference is made to this paragraph, Article 4 of Regulation (EU) No 182/2011 shall apply.