10. Each funding instrument is uniquely managed. In this standing operating procedure, guidance is given to access funding from the Central Emergency Response Fund (CERF) and Country-based Pooled Funds (CBPFs), both managed by the Office for the Coordination of Humanitarian Affairs (OCHA) and from the European Commission's Directorate-General for European Civil Protection and Humanitarian Aid Operations (ECHO).
Introduction to OCHA's CERF and CBPFs
20. OCHA manages two funding instruments for humanitarian assistance:
30. The management of OCHA's CERF and CBPF grants and related awards is decentralized to WHO's regional offices (ROs) and country offices (WCOs), in line with the decentralization of the resource mobilization processes for OCHA.
40. In line with the 2011 Umbrella Agreement with CERF and WHO, the designated agency representative in HQ countersigns CERF grant approval letters on behalf of the Organization. This is done within two days of receipt of the approval letter to ensure that CERF financing is made available as soon as possible to country offices. Donor agreements for CBPFs are signed by heads of WHO country offices (HWCO), depending upon their delegation of authority.
Preparing award activation requests
50. The Contributor Engagement Management (CEM) system supports resource mobilization across the Organization's three levels, including award creation.
Training and user guides are available for more detailed instructions on the system.
Monitoring CERF budgets
60. The CERF's financial rules stipulate the following:
- no deviation to approved staff costs is authorized;
- for other budget lines, no more than a 15% cumulative shift between budget categories is authorized; and
- a formal reprogramming request must be made for changes to direct project costs beyond that limit or for any changes to staff costs.
70. Given the above, all WCO recipients of CERF grants have to rigorously monitor expenditures against CERF awards to ensure they remain within approved budgets.
80. The grant management team/focal point in the regional office has primary responsibility for monitoring expenditures against CERF grants and working with WCOs to either 1) re-align expenditures to ensure they remain within approved budgets or 2) prepare budget reprogramming requests
Procuring supplies under CERF grants
90. CERF rapid response grants have a short implementation period of only four to six months. It is, therefore, not feasible to use CERF grants to procure emergency supplies with a long lead time for delivery, as there would be a risk funds would have to be returned to the donor.
100. To mitigate these risks, WCOs are advised to have their CERF proposals with a procurement component reviewed by the in-country WHE's Operations Support and Logistics Health Logistician or by WHE's Emergency Operations Support and Logistics team (WHE/EMO/OSL).
Preparing technical reports for the CERF
110. WCOs prepare an interim update for the CERF and a final narrative report three months after the end of a grant. These are consolidated by the Resident Coordinator (RC) or Health Coordinator (HC) for each funding allocation. The RC or HC submits the consolidated report to the Emergency Relief Coordinator (ERC). Each report is then posted on the CERF's website.
Preparing technical reports for CBPFs
120. WCOs prepare their technical reports for CBPFs and submit them directly to OCHA via the donor's online grant management system (GMS). Such reports must be submitted in a timely manner. WCOs should send their requests to "Awards" to upload reports in the Enterprise Content Management (ECM) system.
Preparing financial reports for the CERF
130. Emergency Response's Strategic Health Operations' Event Management Support (HQ/WRE/SHO/EMS) is responsible for preparing interim and final certified financial reports to the CERF three times a year, on 15 February, 30 June and 15 August:
- An interim financial report for each grant as of 31 December is to be submitted by 15 February of the following year.
- A final financial report for each grant as of 31 December is to be submitted by 30 June of the following year.
- For projects with an implementation end date between 1 January and 30 June of a given year, the Organization must submit an interim report by 15 August of the same year.
Submission of financial reports discontinues when the financial report shows full project completion financially, including a full refund of any unspent balance.
140. HQ/WRE/SHO/EMS works closely with ROs and WCOs to clear encumbrances and balances before each round of financial reporting to the CERF.
150. At the interim certified financial statement (ICFS) phase, 75% of the uncommitted portion of the unspent funds should be returned by the following dates:
- 15 August for projects with an implementation end date between 1 January to 30 June of the same year (75% of the uncommitted portion as of 30 June); and
- 15 February of the subsequent year for projects with an implementation end date between 1 July to 31 December (75% of the uncommitted portion as of 31 December).
Only transactions that occurred or were encumbered before the end date will be eligible. Actions need to be taken before the award expires, and WCOs should always settle the budget and defund before HQ issues the ICFS or final certified financial statement (FCFS).
Any remaining unspent balance shall be refunded by 30 June of the year following the end of the implementation period.
Preparing financial reports for CBPFs
160. WCO is responsible for submitting the financial reports for CBPFs online in OCHA's Grant Management System (GMS). They must first request the ICFS and FCFS from WHO HQ via email financialreporting@who.int.
170. Where CBPFs grants are administered by the Multi-Partner Trust Fund Office (MPTFO) (such as is the case to date in Somalia, Afghanistan, Democratic Republic of Congo, Central African Republic, Sudan and South Sudan), HQ reports the ICFS directly to MPTFO each year in March/April. WCOs do not need to request and submit these interim reports.
180. Attention should be paid to the agreed budget lines because budget vs. actual variances by expenditure type can result in disallowed costs.
Introduction to DG ECHO grants
190. The European Commission's Directorate-General for European Civil Protection and Humanitarian Aid Operations (ECHO) is one of WHO's largest humanitarian donors. It also has some of the most rigorous requirements for preparing funding proposals and intermediate and final reports.
200. Submitting a WHO project proposal to the ECHO is the first step in a demanding process in which WHO's documentation is carefully reviewed at every phase. Only solid projects with attainable results based on WHO's proven delivery capacity should be submitted to ECHO for funding consideration.
Criteria for applicants
210. WCOs that wish to apply for ECHO funding must prepare the following:
- confirm that they have the capacity to deliver ECHO projects on time and achieve the anticipated results set out in project proposals;
- designate financial, logistic, technical/public health and grant management focal points to manage specific ECHO projects throughout the project cycle (from the development of proposals to the submission of final reports);
- ensure that these focal points have completed ECHO's online training modules (contact Grant Management and Reporting (GMR) at HQ for more information);
- share project proposals with the RO and HQ at an early stage;
- allow sufficient time for a thorough review at RO and HQ levels;
- confirm they will be able to liquidate project encumbrances by the deadline for submitting final reports to ECHO (three months after the end of the implementation period of ECHO projects); and
- agree to manage, monitor and report on ECHO projects in line with DG ECHO's Single Form Guidelines 2021 and the terms and conditions of contribution agreements signed between WHO and ECHO.
Award management for ECHO awards
220. ECHO and WHO headquarters offices in Brussels and Geneva remain in close contact throughout the implementation period of ECHO grants and beyond. HQ retains award manager responsibilities for all ECHO grants because all requests to ECHO are submitted through its online project system, to which only WHO headquarters has access (see paragraph 290).
Special monitoring requirements related to ECHO funding
230. ECHO reviews WHO's final project reports in detail to assess the extent to which project objectives have been attained and targeted beneficiaries have been reached. It also scrutinizes all project expenditures to ensure that funds have been spent in accordance with approved budgets. If ECHO deems that objectives have not been achieved or that funds have not been spent in line with the budget proposal, it may ask WHO to refund all or part of the contribution. If a verification mission is required, the technical program must consult the Department of Finance's (FNM)-Awards and Accounts unit (ACT) to make the necessary arrangements.
240. WCOs are liable for project expenditures that ECHO deems are non-eligible and must identify funds from other sources to cover these expenditures.
Format for preparing proposals and reports to ECHO
250. Proposals and reports to ECHO are prepared in their standard format, the PDF eSingle Form. It is called the "Single Form" because the same form is used and updated throughout the project life-cycle, from preparing the proposal to submitting the final report. This allows the ECHO to compare planned and actual achievements using one single document. ECHO will not accept proposals in any other format.
260. HQ is responsible for downloading the latest version of the PDF eSingle Form from ECHO's website and sending it on to WCOs.
Format for preparing budgets for ECHO
270. Budgets for ECHO must be prepared with the following considerations:
- it must be multi-donor, that is, it includes the contributions of other donors towards the project;
- it must be prepared in Euros; and
- it must be organized by results; in other words, the total cost WHO anticipates will be necessary to reach each result it aims to achieve.
280. WHE/HQ has prepared a budget development workbook to facilitate the calculation of multi-donor budgets in Euros for ECHO (see module 4 of the online toolkit). HQ does not accept budgets in any other format.
Process for submitting proposals and reports to ECHO
290. All proposals and reports to ECHO are submitted by HQ to ECHO through ECHO's online project management system, known as APPEL.
300. Only HQ staff with designated user rights are authorized to upload project proposals and reports in APPEL.
310. Only a limited number of WHO senior managers are authorized to countersign ECHO contribution agreements.
Implementing and monitoring ECHO grants
320. WCOs must establish detailed monitoring plans to monitor all aspects of ECHO projects (activities, results, indicators, targets, beneficiaries, implementation, procurement, delivery and distribution of supplies, etc.). See Chapter 9 of the Single Form Guidelines 2021.
330. WCOs must comply with ECHO's restrictions regarding the procurement of goods and services. See Chapter 4 of the WHO guidelines on ECHO grants.
Preparing modification requests and reports of non-essential changes
340. All project changes must be reported to ECHO using either a report of non-essential changes or a modification request.
350. WCOs may inform ECHO of minor changes to projects (for example, a revised activity) by means of reports of non-essential changes.
360. More significant changes (for example, no-cost extension requests or changes to project indicators) require the submission of formal modification requests to ECHO. WCOs should not implement these project modifications unless they receive written approval from ECHO.
370. Single Form Guidelines 2021 contains detailed guidance on the type of report to be submitted, depending on the project modifications required. Module 5 of the online toolkit contains guidance on completing modification requests on the PDF eSingle Form.
Reporting to ECHO
380. At the end of the implementation period, WCOs will be required to report back to ECHO in detail on every aspect of their projects.
390. WHO's final reports should allow ECHO to review the work accomplished by allowing a comparison between the principal objectives and actuals:
- the results envisaged and those actually achieved
- the number of beneficiaries targeted and the number actually reached
- the activities envisaged and those implemented
- the costs budgeted and those incurred.
400. Single Form Guidelines 2021 contains detailed instructions on preparing final reports for ECHO using the PDF eSingle Form.
410. WHO must submit financial and technical reports together to ECHO. WHO submits two financial reports:
- A financial report in Euros (jointly prepared by the WCO and HQ), organized by budget heading and with a clear identification of all expenditures incurred. The financial report includes the expenditures incurred using other donors' contributions to the project.
- A final certified financial statement signed by WHO's Director of Accounts.
The figures in the financial report prepared by the WCO and HQ must match those in the final certified financial statement signed by the Chief Accountant. The final certified financial statement will be issued only once all encumbrances have been cancelled or converted to expenditures and all Purchasing Orders (POs) are finally closed.
420. The above financial reports must be submitted no later than three months after the end of the implementation period of ECHO grants. The final reports are submitted by HQ to ECHO through APPEL.
430. To enable WHO to submit its final reports to ECHO within the three-month deadline, WCOs may be required to cancel any encumbrances that remain three months after the end date of ECHO grants. WCOs will have to identify funds from other sources to cover the costs related to the cancelled encumbrances.
ECHO review and acceptance of final reports
440. ECHO has 60 days to review final reports and pay the balance due to WHO. In the absence of any reply by ECHO within 60 days, the reports will be deemed accepted by ECHO.
450. If ECHO is unable to accept the final reports submitted by WHO, it may request WHO to submit additional information within 30 calendar days. ECHO's deadline for reviewing WHO's reports is suspended until WHO provides the complementary information requested by ECHO.
460. In the absence of a reply from WHO within the 30-day deadline for submitting complementary information, ECHO may either reject the final reports submitted or continue the procedure based on the available information.
470. WHO's failure to submit complementary information within the 30-day deadline can have significant reputational and financial consequences for the Organization. For example, ECHO may request WHO to reimburse the entire amount paid by ECHO, or it may not agree to release the final payment due to WHO.
