ZHRCHTI Financial Management Training Session 5 Development Partner

ZHRC/HTI Financial Management Training Session 5: Development Partner Relations and I-TECH Per Diem Policies

Learning Objectives • By the end of this session, participants will be able to: • List common terms and conditions for receiving development partner funding • List recommended practices for producing development partner reports • Describe I-TECH policies for receiving funds • List key features of I-TECH per diem policies

Development Partner Relations and Reporting: Key Financial Principles

Accountability • Demonstrate to development partner that their funds have been used for the purposes for which they were intended • Key reference documents for guidance on reporting • Original funding application and guidelines • Contract or agreement that was signed by both parties • Memorandum of Understanding (MOU)

Common Terms and Conditions for Development Partner Funding • Progress reports • Scope and designation • of funds • Budget line items • Accounting method • Bank accounts • External audit • Administrative • Overhead and allowable costs • Depreciation policy

Development Partner Reporting (1) • Development partners require organizations to demonstrate financial soundness before granting a release of funds • Development partner reports often include a budget compared to actual summary, along with a written report on the status of activities

Development Partner Reporting (2) • Recommended practices for producing development partner reports: • • Meet reporting deadlines Produce accurate and verifiable figures Explain significant variances Keep the development partner informed of potential problems • Request advice from development partners

Procedures to Access Funds from I-TECH and I-TECH Per Diem Policy

Procedure for Disbursement of Funds In order for ZHRCs/HTIs to receive funds from ITECH, the following preparations are needed: 1. ZHRC/HTI needs a bank account where I-TECH funds can be deposited 2. A focal person at the ZHRC/HTI needs to be designated. The focal person will be a signatory on the bank account and primary point of contact for I-TECH communication 3. A person needs to be designated to prepare the budget for I-TECH-funded activity

Procedures to Receive Funds (1) • A budget per activity must be prepared, accompanied by an Advance Request form showing: • • Activity date Amount needed Activity code Activity heading • Prepared budget with actual expenditure • The above should be approved by the ZHRC/HTI focal person prior to submitting it to I-TECH

Procedures to Receive Funds (2) • Budget and request form must be sent to -TECH ZHRC Program Manager • I-TECH Program Manager will approve after full satisfaction of all necessary procedures and submit to I-TECH Finance Director • I-TECH Finance Director will also approve • Final approval is then needed by I-TECH Country Director I

I-TECH Per Diem Policy • I-TECH follows the Government of Tanzania policy on per diem • Proof of salary scale is needed in order to receive the highest per diem payments • Note: for baby sitters, I-TECH will not provide any allowance

I-TECH Coverage on Transport for Participants (1) • Transit allowance is paid only if a participant has travelled more than six hours • I-TECH advocates the cheapest means of transport, therefore I-TECH does not reimburse taxi charges. • Reimbursement for airfare can only be given if the request is made in advance

I-TECH Coverage on Transport for Participants (2) • To and from charges are reimbursed upon submission of valid tickets • In case of fuel reimbursement, the participant must have prior approval from I -TECH Country Director or Operations Director

Recording Per diem & Transport Payments • Should be a transport/per diem payment voucher duly signed by each participant upon receiving money • Bus tickets should be collected and attached to the payment voucher • Per diem disbursed as per number of days of training attended • Travelling day’s per diem disbursed according to eligibility

Procedures for I-TECH Reconciliations • Must be done within 48 hours after training • All necessary documents must be signed by the ZHRC focal person, then forwarded to the ITECH ZHRC Program Manager • ZHRC Program Manager will forward to I-TECH Finance Director and finally the Country Director for approval • Returned cash should be submitted to I-TECH Finance department immediately

Group Work: Itemized Budget for Training/ Action Items for Receiving Funds

Key Points (1) • Terms and Conditions of development partner funding generally include: producing regular progress reports, following international accounting standards, and having a bank account • For ZHRCs/HTIs to receive funds from ITECH, a focal person at ZHRC must be designated who will be a signatory on bank account used for funding, and also be a primary point of communication with I-TECH

Key Points (2) • I-TECH follows the Government of Tanzania per diem policy • It is important to know and follow I-TECH per diem policies and procedures to ensure that funds are available in time for activities