As stated in the Programme Complement, each project shall have a Lead Partner taking the overall responsibility for the submission of the Application form and of the implementation of the entire project in case of project approval.

If the LP comes from a Non-Member State the tasks of the LP related to the ERDF must be performed by a project partner coming from an EU-Member State (so called "ERDF-Lead Partner"), only a project partner coming from a Member State is entitled to deal with ERDF-funding.

In these cases, according to Council Regulation (EC) 1260/1999, the final beneficiary for ERDF funds is the ERDF-LP. The project partner coming from the Non-Member State, however, can be regarded as technical LP, whereas the ERDF-LP only formally acts as LP.

According to the INTERREG III Communication of the Commission to the Member States: "The ERDF contribution will be paid to a single bank account in the name of the Paying Authority or the Managing Authority (where it is also the Paying Authority). On the basis of decisions concerning the selection of projects by the Steering Committee or the Monitoring Committee acting as Steering Committee, this ERDF participation will then according to Article 32 (1), last subparagraph, of the General Regulation be paid by the Paying Authority to the final beneficiaries. In the case of operations involving partners in different Member States, the final beneficiary will be the partner in charge or "leader" of the operation which will undertake financial management and co-ordinate the various partners in the operation. This Lead Partner in charge will bear financial and legal responsibility to the Managing Authority as to be defined in the ERDF contract".

The Lead Partner in charge will establish with his partners, in the form of an agreement, the division of the mutual responsibilities. After the approval of its project by the Steering Committee and before signing the Subsidy Contract with the Managing Authority, the LP will have to present such an agreement to the JTS and the MA in order to enable them to check if the essential regulations have been observed.

For further details, please read the Community Initiative Programme (CIP) at point 7.2.3.