Direct & Nominative Subsidies
Official Definition & Legal Scope
Direct or nominative subsidies are awarded without competitive tendering because the designated beneficiary and budget allocation are explicitly named in public budget legislation.
- •Ley 38/2003 General de Subvenciones (Artículo 22.2)
- •Real Decreto 887/2006 (Artículos 65 a 67)
Statutory conditions for direct grant awards
Grants explicitly named in national, regional, or municipal budget statutes.
Subsidies mandated by statutory law.
Exceptional direct awards based on proven public, humanitarian, or social interest.
Formalization via bilateral agreement or decree
Formalized through a bilateral partnership agreement detailing conditions, execution dates, and closeout requirements.
Despite the absence of competitive bidding, financial justification remains strictly mandatory.
Common misconceptions
Assuming that nominative status exempts the beneficiary from detailed expenditure justification.
Expecting automatic annual renewal without explicit legislative budget approval.
How FundingQuarry manages bilateral grant agreements
FundingQuarry tracks milestones and ensures justification compliance for nominative funding agreements.
Key Regulatory Takeaways
- Beneficiary and amount are explicitly written into approved public budget laws.
- No competitive tender is required.
- Demands identical financial and technical justification rigor.
Does your non-profit manage nominative grants and need automated milestone tracking?
Related Glossary Terms
Official References & Sources
- Ley 38/2003 General de Subvenciones (Artículo 22.2: Concesión directa)
Frequently Asked Questions
Can an NGO apply directly for a nominative grant?
It cannot be requested via open calls; it requires inclusion in official government budget legislation or a special decree.
What happens to nominative grants during government budget extensions?
Nominative grants expire under rolled-over budgets unless explicitly re-authorized by legislative decree.
Can operational activities under direct grants be subcontracted?
Yes, provided the bilateral grant agreement expressly authorizes subcontracting within statutory caps.
Want to know which calls fit your organization?
Analyze your profile for free and discover in minutes which grants are worth your time.