Article 5 Execution Period

Article 5
Execution Period

5.1 The execution period of this Agreement shall comprise the following phases:

(a) a project implementation phase starting from the day of entry into force of this Agreement ending at 31 December 2022 at the latest. Contracts for large infrastructure projects selected through direct award shall be signed and contributions to financial instruments shall be provided before 30 June 2019. Contracts for all other projects shall be signed before 31 December 2021. All project activities financed by the Programme shall end by 31 December 2022 at the latest;

(b) a technical assistance phase ending at 30 September 2024. All technical assistance activities financed by the Programme shall end by that date at the latest.

(c) a closure phase, including financial closure of all contracts concluded under the Programme, the payment or reimbursement of the final balance and the de-commitment of remaining appropriations. The closure phase shall start on 1 January 2023 and end on 31 December 2024 at the latest, without prejudice to the Commission's right to undertake, at a later stage, financial corrections vis-a-vis the Managing Authority or the beneficiaries if the final amount of the programme or the projects has to be readjusted as a result of controls or audits carried out after the closure date. Activities linked to the closure of the Programme may be carried out until 30 September 2024. The Managing Authority shall submit a final report approved by the Joint Monitoring Committee by 30 September 2024.

5.2 Notwithstanding paragraph 1 of this Article, pending the entry into force of this Agreement, only preparatory actions financed under the technical assistance budget of the Programme, may be implemented on the Russian Federation's territory.

5.3 The Russian Federation and the Commission shall automatically de-commit any portion of its financial contribution to the Programme that, by 31 December of the fifth year following that of the budgetary commitment, has not been used for the purpose of pre-financing or making final payments and in any case no later than 30 September 2024.

5.4 Notwithstanding paragraph 3 of this Article, the amount concerned by de-commitment shall be reduced by the amounts that the Managing Authority has not been able to declare to the Russian Federation and the Commission because of:

(a) projects suspended by a legal proceeding or by an administrative appeal having suspensory effect;

(b) reasons of force majeure seriously affecting the implementation of all or part of the Programme;

5.5 Any final balance of the joint financial contribution of the Parties that co-finance the Programme including the interest accrued, is reimbursed to the Parties in proportion to their financial contribution to the Programme before the closure of the Programme and as quickly as possible.

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	Agreement on Financing and Implementation of Cross Border Cooperation Programme "Russia - Estonia" 2014-2020