1.The Member State or the managing authority may entrust the management and implementation of a part of an operational programme to one or more intermediate bodies, designated by the Member State or the managing authority, including local authorities, regional development bodies or non-governmental organisations, in accordance with the provisions of an agreement concluded between the Member State or the managing authority and that body.
Such delegation shall be without prejudice to the financial responsibility of the managing authority and of the Member States.
2.The intermediate body responsible for managing the global grant shall provide guarantees of its solvency and competence in the domain concerned as well as in administrative and financial management. It shall as a general rule be established or represented in the region or regions covered by the operational programme at the moment of its designation.
The agreement referred to in the first subparagraph of Article 42(1) shall detail in particular:
the types of operation to be covered by the global grant;
the criteria for selecting beneficiaries;
the rates of assistance from the Funds and the rules governing that assistance, including as regards the use of any interest accruing;
the arrangements for monitoring, evaluating and ensuring the financial control of the global grant referred to in Article 59(1) vis-à-vis the managing authority, including the arrangements for recovering amounts unduly paid and the presentation of accounts;
where applicable, any use of a financial guarantee or equivalent facility, unless the Member State or the managing authority provides such guarantee according to the institutional arrangements of each Member State.