Reference document

Commitments Related to Customer-Funded Bodies

Customer-funded bodies make agreements with customers to provide goods and services in accordance with customer requirements. Customers’ agreements will describe the requirements for how funds are to be made available to the customer-funded bodies and how the funds will be committed and carried forward; these requirements may be different from common-funded Alliance bodies. The authority for the Customer to establish agreements with Customer-funded bodies is bound by eligibility rules established by the resource committees. In principle, agreements with Customer-Funded bodies are divided into three main categories * an overarching agreement outlining the general principles establishing the relationship between both parties with general procedures necessary to engage into specific tasks, projects and programmes; * functional level agreements detailing the detailed deliverables, performance standards and financial terms and conditions applicable to tasks, projects and programmes. Agreements having multi-year costs and liabilities, shall be submitted to the Budget Committee for approval; * upon budget approval, annual commitments for the procurement of goods / services through the customer-funded bodies will be in accordance with the applicable procurement directives. The agreements will be binding to the extent practicable between Alliance Bodies, and will specify the appropriate dispute resolution methods.

Financial Management Process