Syllabus MSc EPM WS2014/15 Page 1

Master of Science in European Project and Public Management

Course Syllabus Winter Term 2014/15

Title of the Course: Project Finance and Project Funding 1 (VU) ECTS and Contact Hours ECTS: 3 Course units total: 22,50 Presence Units: 15,00 E-Learning Units: 07,50 Workload estimate based on ECTS = [1 ECTS = approx. 25 hrs of student work, that includes course work, e-learning, self study, homework, assignments, research, writing papers, learning for exams, etc.] Lecturer Name: Prof. Dr. Andreas H. GOTWALD Address: 1020 Vienna, Praterstrasse 62 E-Mail: andreas.gotwald@tpa-horwath.com Phone: +43-1-588 35 - 529 Short Description of the Course The course “Project Finance and Project Funding 1” will first present a systematic overview on the process of EU budget development in Brussels for 2014-2020, on the development process for national and regional budgets for EU financing and funding especially for the typical operational programs (eg. innovative economy, regional development, energy and environment, transportation and infrastructure, medical and social programs, education and training programs, etc.) followed by an introduction/examples current operational programs (EU financing period 2014 – 2020) eg. in Romania, Bulgaria or Poland, with a comparison of the national differences in similar operational programs (eg. what is contained in innovative economy?). Secondly the absorption rate of the previous EU programs in the CEE Countries is presented and the typical national problems that reduce the absorption rate will be discussed. Thirdly the overall practical timeline for the development, application and execution of EU projects is presented, with the discussion of the typical problems on the side of the different groups of applicants (companies, communities, researchers, associations, etc.). Fourth, the analysis of EU work programs and Calls is presented, in order to systematically identify their funding potential for private and public applicants. Finally an introduction of cost accounting/budgeting and project finance for proposal development, for the application and successful implementation of EU funded projects is given and the important elements are presented and discussed. Learning Outcomes Upon successful completion of this course students will:

- understand the process of EU (funding) budget development on EU and national level - understand the typical structure of operational programs on national/regional level - understand typical problems limiting the absorption rate of EU funds on national/regional level - understand the timeline for EU project applications and the typical problems

for public and private applicants and mixed consortia - be able to analyze EU programs and Calls for their potential to be utilized by public and

private applicants, especially by SMEs - understand and use cost accounting for the planning and implementation of EU projects - understand and use project finance for the planning and implementation of EU projects - be able to independently develop all financial elements for EU project applications

Syllabus MSc EPM WS2014/15 Page 2

Course Contents • The EU budgets for 2014 – 2020 and distribution on 3 major funds

o The current and coming EU budgets and subsidies o The process of EU budget and subsidy planning on national and regional level o The typical problems in the application and absorption of EU subsidies

• The Operational Programs on national and regional level o The typical structure of OPs and the comparison in several CEE countries o The typical timeline of Calls and the analysis who can use the Calls o Alternatives for Calls relevant for companies, especially for SMEs

• Types of Calls and the typical application processes o Application processes for private and public applicants o Selection of partners and forming of consortia o Analysis of financial and technical needs for each partner o The steps to complete a formally correct application

• Introduction to cost accounting and budgeting as basis for financial applications o Cost accounting and budgeting as basis for financial applications o Project finance as basis for the liquidity planning of each partner o Financial risk analysis and contingency planning for each partner

• Practical examples of work programs, Calls, technical and financial requirements o Analysis of practical examples o Development of consortia and financial planning for the partners

Teaching Methods Describe the methods employed in face to face courses as well as E-learning sessions: A) Face to face course: Firstly – a short summary of the required theoretical backgrounds, including Q+A Secondly – the short presentation of practical cases and the typical problems, including Q+A Thirdly – the detailed discussion with students of potential solutions, based on the theoretical options Finally – the detailed discussion with the students on the systematic prioritization of the developed solutions and their advantages + disadvantages for public and private applicants B) E-learning: One E-learning assignment, based on the presented theory and connected to one of the practical cases discussed, that has to be researched by each student and solved in the form of a paper (5-6 pages) in the following structure: problem(s) to be solved ? search for potential solutions ? evaluation of potential solutions with advantages + disadvantages ? synthesis for suggested solution + explanation why ? Literature and Relevant Web sources 1) Förderinstrumente für SO Europa; Linde Verlag; Skok, Gotwald, Jungreithmeir

2) http://ec.europa.eu/regional_policy/index_en.cfm

3) Introduction to project finance, accounting and budgeting (handout)

4) Short handouts on practical cases

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Evaluation Criteria

• Classroom Participation – 33,3 % • E-Learning Assignment – 33,3 % • Presentation – • Written Exam (4 questions; 1h) 33,3 % • Final Paper – • TOTAL – 100%

Late Submissions of Assignments, Papers, or other course requirements Late submission of assignments, papers and other course requirements as stated in the syllabus leads to a deduction of points according to the following calculation scheme: Per week of delay 5% of the points awarded to the specific course requirement are deducted from the points awarded. Example: Assignment A: Maximum Points 100 Achieved Points 80 Delay 2 weeks: -10% Final points: 72 The grading scale applied in this course is the following:

The grading scale applied in this course is the following: (1) Excellent 100 – 93 % (2) Good 92 – 85 % (3) Satisfactory 84 – 71 % (4) Sufficient 70 – 61 % (5) Failed 60 – 0%

Place, Date Lecturer 19th September 2014 Dr. Andreas Gotwald