Discharge to be given to the bodies set up by the European Communities in respect of the implementation of the budget for the financial year 2007 - Draft Council recommendations - Montesquieu Instituut

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COUNCIL OF Brussels, 4 February 2009

THE EUROPEAN UNION

5588/09 ADD 1 REV 1 (en)

FIN 21 PE-L 4

ADDENDUM 1 TO "I/A" ITEM NOTE

from:

Budget Committee

to: Permanent Representatives Committee/Council

Subject: Discharge to be given to the bodies set up by the European Communities in respect of the implementation of the budget for the financial year 2007

  • Draft Council recommendations

Annex 1: European Centre for the Development of Vocational Training.......................................... 3

Annex 2: European Foundation for the Improvement of Living and Working Conditions .............. 6

Annex 3: European Environment Agency............................................................................................ 9

Annex 4: European Training Foundation ........................................................................................... 12

Annex 5: European Medicines Agency .............................................................................................. 15

Annex 6: European Monitoring Centre for Drugs and Drug Addiction........................................... 18

Annex 7: European Agency for Safety and Health at Work ............................................................. 21

Annex 16: European Centre for Disease Prevention and Control....................................................... 48

Annex 17: European Railway Agency ..............................................................................................51

Annex 18: European Agency for the Management of Operational Cooperation at the

External Borders of the Member States of the European Union .....................................55

Annex 19: European Police College .................................................................................................58

Annex 20: European GNSS Supervisory Authority..........................................................................62

Annex 21: Community Fisheries Control Agency............................................................................66

________________________

Annex 1

Draft

COUNCIL RECOMMENDATION

of

on the discharge to be given to the Director

of the European Centre for the Development of Vocational Training

in respect of the implementation of the budget

of the European Centre for the Development of Vocational Training

for the financial year 2007

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community,

Having regard to Council Regulation (EEC) No. 337/75 of 10 February 1975 establishing a European

Centre for the Development of Vocational Training1, as last amended by Council Regulation (EC)

No. 2051/2004 of 25 October 20042, and in particular Article 12a(10) thereof,

Having regard to Council Regulation (EC, Euratom) No. 1605/2002 of 25 June 2002 on the financial

regulation applicable to the general budget of the European Communities3, as last amended by

Having examined the revenue and expenditure account for the financial year 2007 and the balance

sheet at 31 December 2007 of the European Centre for the Development of Vocational Training,

hereinafter referred to as the "Centre", as well as the Court of Auditors' report on the annual accounts

of the Centre for the financial year 2007, accompanied by the Centre's replies to the Court's

observations1,

Whereas EUR 0.99 million (54%) of the EUR 1.81 million in appropriations carried forward from the

financial year 2006 to the financial year 2007 have been used,

Whereas EUR 2.03 million in appropriations have been carried forward from the financial year 2007 to

the financial year 2008 and EUR 0.98 million have been cancelled,

Whereas the observations in the Court of Auditors' report in relation to the financial year 2007 call for

certain comments by the Council, which are annexed to this recommendation; whereas the Council

stresses the importance it attaches to those comments being followed up,

Whereas, following the above examination, the implementation of the budget of the Centre is such as

to allow a discharge to be given in respect of that implementation,

HEREBY RECOMMENDS the European Parliament to give a discharge to the Director of the Centre

in respect of the implementation of the budget for the financial year 2007.

ANNEX to Annex 1

COMMENTS ACCOMPANYING THE COUNCIL RECOMMENDATION

ON THE DISCHARGE TO BE GIVEN TO THE CENTRE

The Council welcomes the fact that the Court of Auditors has been able to obtain reasonable

assurance that the Centre's annual accounts for the financial year ended 31 December 2007 are, in

all material aspects, reliable and that the underlying transactions, taken as a whole, are legal and

regular. However, some observations need to be made.

The Council notes with satisfaction the improvements achieved by the Centre in its management

and welcomes the fact that the Centre's work programme lists the planned activities for each

specific objective with a detailed description of the outputs to be delivered.

However, the Council notes the fact that objectives and performance indicators are often still not

measurable, thus making achievements difficult to assess. An activity-based budgeting is needed to

establish a clear and consistent link between the objectives set and the implementation of the

budgetary resource to achieve them. The Council takes note that the Centre introduced an Activity

Based Budgeting in 2008 and expects it to have a positive impact on the future discharge procedure.

________________________

Annex 2

Draft

COUNCIL RECOMMENDATION

of

on the discharge to be given to the Director

of the European Foundation for the Improvement of Living and Working Conditions

in respect of the implementation of the budget

of the European Foundation for the Improvement of Living and Working Conditions

for the financial year 2007

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community,

Having regard to Council Regulation (EEC) No. 1365/75 of 26 May 1975 on the creation of a

European Foundation for the Improvement of Living and Working Conditions1, as last amended by

Council Regulation (EC) No. 1111/2005 of 24 June 20052, and in particular Article 16(11) thereof,

Having regard to Council Regulation (EC, Euratom) No. 1605/2002 of 25 June 2002 on the

financial regulation applicable to the general budget of the European Communities3, as last

Having examined the revenue and expenditure account for the financial year 2007 and the balance

sheet at 31 December 2007 of the European Foundation for the Improvement of Living and Working

Conditions, hereinafter referred to as the "Foundation", as well as the Court of Auditors' report on the

annual accounts of the Foundation for the financial year 2007, accompanied by the Foundation's replies

to the Court's observations1,

Whereas EUR 4.1 million (94%) of the EUR 4.3 million in appropriations carried forward from the

financial year 2006 to the financial year 2007 have been used,

Whereas EUR 5 million in appropriations have been carried forward from the financial year 2007 to

the financial year 2008 and EUR 0.5 million has been cancelled,

Whereas the observations in the Court of Auditors' report in relation to the financial year 2007 call for

comments by the Council, which are annexed to this recommendation; whereas the Council stresses

the importance it attaches to these comments being followed up,

Whereas, following the above examination, the implementation of the budget of the Foundation is such

as to allow a discharge to be given in respect of that implementation,

HEREBY RECOMMENDS the European Parliament to give a discharge to the Director of the

Foundation in respect of the implementation of the budget for the financial year 2007.

ANNEX to Annex 2

COMMENTS ACCOMPANYING THE COUNCIL RECOMMENDATION ON THE

DISCHARGE TO BE GIVEN TO THE FOUNDATION

The Council welcomes the fact that the Court of Auditors has been able to obtain reasonable

assurance that the Foundation's annual accounts for the financial year ended 31 December 2007 are

reliable in all material respects and that the underlying transactions are, taken as a whole, legal and

regular. However, some observations need to be made.

The Council reiterates the call on the Foundation to remedy in the short term the situation of recurrent

exceptionally high carry-over rates for administrative expenditure and operating activities. In this

context, the Council draws the attention of the Foundation on the crucial importance of a thorough

expenditure planning, which should be fully consistent with its operational programming.

The Council notes the Court's finding that the contributions from the Commission to prepare the

membership of Croatia and Turkey were not treated as assigned revenue in the Foundation's 2007

budget. Moreover, a considerable amount of recoverable VAT for the 2007 financial year was not

claimed by the year end. Therefore, the Council calls on the Foundation to act in full conformity with

the provisions of the Financial Regulation.

In respect of the recruitment procedures, the Council notes, once again, the Court's observation on

deficiencies regarding the selection criteria which were neither defined at the right time nor in

conformity with the vacancy notice. The Council urges the Foundation to act thereupon without further

Annex 3

Draft

COUNCIL RECOMMENDATION

of

on the discharge to be given to the Executive Director

of the European Environment Agency

in respect of the implementation of the budget

of the European Environment Agency

for the financial year 2007

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community,

Having regard to Council Regulation (EEC) No. 1210/90 of 7 May 1990 on the establishment of the

European Environment Agency and the European Environment Information and Observation

Network1, as last amended by Regulation (EC) No. 1641/2003 of 22 July 20032, and in particular

Article 13(10) thereof,

Having regard to Council Regulation (EC, Euratom) No. 1605/2002 of 25 June 2002 on the

Having examined the revenue and expenditure account for the financial year 2007 and the balance

sheet at 31 December 2007 of the European Environment Agency, hereinafter referred to as the

"Agency", as well as the Court of Auditors' report on the annual accounts of the Agency for the

financial year 2007, accompanied by the Agency's replies to the Court's observations1,

Whereas EUR 7.2 million (66%) of the EUR 10.8 million in appropriations carried forward from the

financial year 2006 to the financial year 2007 have been used,

Whereas EUR 5.9 million in appropriations have been carried forward from the financial year 2007

to the financial year 2008 and EUR 0.1 million has been cancelled,

Whereas the observations in the Court of Auditors' report in relation to the financial year 2007 call for

certain comments by the Council, which are annexed to this recommendation; whereas the Council

stresses the importance it attaches to those comments being followed up,

Whereas, following the above examination, the implementation of the budget of the Agency is such as

to allow a discharge to be given in respect of that implementation,

HEREBY RECOMMENDS the European Parliament to give a discharge to the Executive Director of

the Agency in respect of the implementation of the budget for the financial year 2007.

ANNEX to Annex 3

COMMENTS ACCOMPANYING THE COUNCIL RECOMMENDATION

ON THE DISCHARGE TO BE GIVEN TO THE AGENCY

The Council welcomes the fact that the Court of Auditors has been able to obtain reasonable

assurance that the Agency's annual accounts for the financial year ended 31 December 2007 are, in

all material respects, reliable and that the underlying transactions, taken as a whole, are legal and

regular. Nevertheless, some observations need to be made.

The Council stresses the importance of fully taking into account the implementing rules of the

Financial Regulation when establishing grant agreements with third parties, in particular regarding

the maximum rate of indirect costs allowed. It also calls on the Agency to establish adequate

procedures for verifying the eligibility of direct costs declared by the third parties.

Moreover, the Council urges the Agency to respect strictly the requirements of the Financial

Regulation in its procurement activities.

The Council notes the weaknesses in the recruitment procedures and asks the Agency to ensure

transparency and equal treatment of candidates.

________________________

Annex 4

Draft

COUNCIL RECOMMENDATION

of

on the discharge to be given to the Director

of the European Training Foundation

in respect of the implementation of the budget

of the European Training Foundation

for the financial year 2007

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community,

Having regard to Regulation (EC) No. 1339/2008 of the European Parliament and of the Council of

16 December 2008 establishing a European Training Foundation (recast)1, and in particular

Article 17(10) thereof,

Having regard to Council Regulation (EC, Euratom) No. 1605/2002 of 25 June 2002 on the Financial

Regulation applicable to the general budget of the European Communities2, as last amended by

Having examined the revenue and expenditure account for the financial year 2007 and the balance

sheet at 31 December 2007 of the European Training Foundation, hereinafter referred to as the

"Foundation", as well as the Court of Auditors' report on the annual accounts of the Foundation for

the financial year 2007, accompanied by the Foundation's replies to the Court's observations1,

Whereas EUR 2.53 million (46%) of the EUR 5.48 million in appropriations carried forward from the

financial year 2006 to the financial year 2007 have been used,

Whereas EUR 1.95 million in appropriations have been carried forward from the financial year

2007 to the financial year 2008 and EUR 2.18 million have been cancelled,

Whereas the observations in the Court of Auditors' report in relation to the financial year 2007 call for

certain comments by the Council, which are annexed to this recommendation; whereas the Council

stresses the importance it attaches to those comments being followed up,

Whereas, following the above examination, the implementation of the budget of the Foundation is such

as to allow a discharge to be given in respect of that implementation,

HEREBY RECOMMENDS the European Parliament to give a discharge to the Director of the

Foundation in respect of the implementation of the budget for the financial year 2007.

ANNEX to Annex 4

COMMENTS ACCOMPANYING THE COUNCIL RECOMMENDATION ON THE

DISCHARGE TO BE GIVEN TO THE FOUNDATION

The Council welcomes the fact that the Court of Auditors has been able to obtain reasonable

assurance that the Foundation's annual accounts for the financial year ended 31 December 2007 are,

in all material aspects, reliable and that the underlying transactions, taken as a whole, are legal and

regular. However, some observations need to be made.

The Council notes with satisfaction the improvements achieved by the Foundation in its

management, in comparison to the previous years, and asks it to continue in this way.

However, the Council notes that the amount of the assigned revenue entered in the sole Amending

Budget issued for 2007 was incorrect, because it included assigned revenue carried over from the

previous year. As assigned revenue is an issue of the utmost importance for the Council and an

essential element for a transparent and accountable financial management, it calls on the Foundation

to pay particular attention to their budgeting in the future.

________________________

Annex 5

Draft

COUNCIL RECOMMENDATION

of

on the discharge to be given to the Director

of the European Medicines Agency

in respect of the implementation of the budget

of the European Medicines Agency

for the financial year 2007

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community,

Having regard to Regulation (EC) No. 726/2004 of the European Parliament and of the Council of

31 March 2004, laying down Community procedures for the authorisation and supervision of

medicinal products for human and veterinary use and establishing a European Medicines Agency1,

and in particular Article 68(10) thereof,

Having regard to Council Regulation (EC, Euratom) No. 1605/2002 of 25 June 2002 on the

Having examined the revenue and expenditure account for the financial year 2007 and the balance

sheet at 31 December 2007 of the European Medicines Agency, hereinafter referred to as the

"Agency", as well as the Court of Auditors' report on the annual accounts of the Agency for the

financial year 2007, accompanied by the Agency's replies to the Court's observations1,

Whereas EUR 28.3 million (96.1%) of the EUR 29.4 million in appropriations carried forward from

the financial year 2006 to the financial year 2007 have been used,

Whereas EUR 32 million in appropriations have been carried forward from the financial year 2007

to the financial year 2008 and EUR 4 million have been cancelled,

Whereas the observations in the Court of Auditors' report in relation to the financial year 2007 call for

certain comments by the Council, which are annexed to this recommendation; whereas the Council

stresses the importance it attaches to those comments being followed up,

Whereas, following the above examination, the implementation of the budget of the Agency is such as

to allow a discharge to be given in respect of that implementation,

HEREBY RECOMMENDS the European Parliament to give a discharge to the Director of the Agency

in respect of the implementation of the budget for the financial year 2007.

ANNEX to Annex 5

COMMENTS ACCOMPANYING THE COUNCIL RECOMMENDATION ON THE

DISCHARGE TO BE GIVEN TO THE AGENCY

The Council welcomes the fact that the Court of Auditors has been able to obtain reasonable assurance

that the Agency's annual accounts for the financial year ended 31 December 2007 are, in all material

respects, reliable and that the underlying transactions, taken as a whole, are legal and regular. However,

some observations need to be made.

The Council notes with concern the persistently high carry-over rates, in particular for administrative

expenditure, and urges the Agency to follow the Court's recommendations and to make every effort to

comply fully with the provisions of the Financial Regulation, in particular those regarding the

annuality principle.

The Council notes the Court's findings on weaknesses in the tendering procedures and calls on the

Agency to continue its efforts to improve the quality of its public procurement procedures.

Regarding the review of the fees payable to the Agency in compliance with Article 12 of the Fee

Regulation1, the Council notes with satisfaction the progress achieved and encourages the Agency to

continue its efforts towards introduction of a new remuneration system for the Member States'

(co)rapporteurs which is to be based on their real costs.

Annex 6

Draft

COUNCIL RECOMMENDATION

of

on the discharge to be given to the Director

of the European Monitoring Centre for Drugs and Drug Addiction

in respect of the implementation of the budget

of the European Monitoring Centre for Drugs and Drug Addiction

for the financial year 2007

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community,

Having regard to Regulation (EC) No. 1920/2006 of the European Parliament and the Council of

12 December 2006 on the European Monitoring Centre for Drugs and Drug Addiction (recast)1, and

in particular Article 15(9) thereof,

Having regard to Council Regulation (EC, Euratom) No. 1605/2002 of 25 June 2002 on the financial

regulation applicable to the general budget of the European Communities2, as last amended by

Having examined the revenue and expenditure account for the financial year 2007 and the balance

sheet at 31 December 2007 of the European Monitoring Centre for Drugs and Drug Addiction,

hereinafter referred to as the "Centre", as well as the Court of Auditors' report on the annual

accounts of the Centre for the financial year 2007, accompanied by the Centre's replies to the

Court's observations1,

Whereas EUR 0.8 million (64%) of the EUR 1.2 million in appropriations carried forward from the

financial year 2006 to the financial year 2007 have been used,

Whereas EUR 0.9 million have been carried forward from the financial year 2007 to the financial year

2008 and EUR 0.8 million have been cancelled,

Whereas the observations in the Court of Auditors' report in relation to the financial year 2007 call for

certain comments by the Council, which are annexed to this recommendation; whereas the Council

stresses the importance it attaches to those comments being followed up,

Whereas, following the above examination, the implementation of the budget of the Centre is such as

to allow a discharge to be given in respect of that implementation,

HEREBY RECOMMENDS the European Parliament to give a discharge to the Director of the Centre

in respect of the implementation of the budget for the financial year 2007.

ANNEX to Annex 6

COMMENTS ACCOMPANYING THE COUNCIL RECOMMENDATION

ON THE DISCHARGE TO BE GIVEN TO THE CENTRE

The Council welcomes the fact that the Court of Auditors has been able to obtain reasonable

assurance that the Centre's annual accounts for the financial year ended 31 December 2007 were,

in all material respects, reliable and that the underlying transactions, taken as a whole, were legal

and regular. However, one observation needs to be made.

The Council takes note of the Centre's disagreement with the Norwegian authorities concerning the

calculation of Norway's financial contribution for its participation in the Centre's work from 2007

onwards, resulting from a difference between the signed original agreement and the version

published in the Official Journal. It is confident that the Centre will resolve this disagreement

without delay, in order to re-establish budgetary certainty.

________________________

Annex 7

Draft

COUNCIL RECOMMENDATION

of

on the discharge to be given to the Director

of the European Agency for Safety and Health at Work

in respect of the implementation of the budget

of the European Agency for Safety and Health at Work

for the financial year 2007

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community,

Having regard to Council Regulation (EC) No. 2062/94 of 18 July 1994 establishing a European

Agency for Safety and Health at Work1, as last amended by Council Regulation (EC)

No. 1112/2005 of 24 June 20052, and in particular Article 14(10) thereof,

Having regard to Council Regulation (EC, Euratom) No. 1605/2002 of 25 June 2002 on the financial

regulation applicable to the general budget of the European Communities3, as last amended by

Having examined the revenue and expenditure account for the financial year 2007 and the balance

sheet at 31 December 2007 of the European Agency for Safety and Health at Work, hereinafter

referred to as the "Agency", as well as the Court of Auditors' report on the annual accounts of the

Agency for the financial year 2007, accompanied by the Agency's replies to the Court's

observations1,

Whereas EUR 2.3 million (87%) of the EUR 2.7 million in appropriations carried forward from the

financial year 2006 to the financial year 2007 have been utilised,

Whereas EUR 3.7 million in appropriations have been carried forward from the financial year 2007

to the financial year 2008 and EUR 1 million has been cancelled,

Whereas the Court of Auditors' report in relation to the financial year 2007 does not include any

specific observation; whereas the Council welcomes that the Agency has successfully followed up the

comments made in the Council recommendation on the discharge for the financial year 2006,

Whereas, following the above examination, the implementation of the budget of the Agency is such as

to allow a discharge to be given in respect of that implementation,

HEREBY RECOMMENDS the European Parliament to give a discharge to the Director of the Agency

in respect of the implementation of the budget for the financial year 2007.

ANNEX to Annex 7

COMMENTS ACCOMPANYING THE COUNCIL RECOMMENDATION

ON THE DISCHARGE TO BE GIVEN TO THE AGENCY

The Council welcomes the fact that the Court of Auditors has been able to obtain reasonable

assurance that the Agency's annual accounts for the financial year ended 31 December 2007 are

reliable in all material respects and that the underlying transactions are, taken as a whole, legal and

regular.

The Council welcomes that the Agency has successfully followed up the comments made in the

Council recommendation on the discharge for the financial year 2006, improving the Agency's

financial, budgetary and human resources management.

The Council encourages the Agency to continue ensuring a sound financial management.

________________________

Annex 8

Draft

COUNCIL RECOMMENDATION

of

on the discharge to be given to the Director

of the European Union Agency for Fundamental Rights

in respect of the implementation of the budget

of the European Union Agency for Fundamental Rights

for the financial year 2007

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community,

Having regard to Council regulation (EC) No. 168/2007 of 15 February 2007 establishing a

European Union Agency for Fundamental Rights1, and in particular Article 21(10) thereof,

Having regard to Council Regulation (EC, Euratom) No. 1605/2002 of 25 June 2002 on the financial

regulation applicable to the general budget of the European Communities2, as last amended by

Council Regulation (EC) No. 1525/2007 of 17 December 20073, and in particular Article 185(2)

Having examined the revenue and expenditure account for the financial year 2007 and the balance

sheet at 31 December 2007 of the European Union Agency for Fundamental Rights, hereinafter

referred to as the "Agency", as well as the Court of Auditors' report on the annual accounts of the

Agency for the financial year 2007, accompanied by the Agency's replies to the Court's observations1,

Whereas EUR 1.5 million (95%) of the EUR 1.6 million in appropriations carried forward from the

financial year 2006 to the financial year 2007 have been used,

Whereas EUR 7.5 million in appropriations have been carried forward from the financial year 2007

to the financial year 2008 and EUR 0.2 million has been cancelled,

Whereas the observations in the Court of Auditors' report in relation to the financial year 2007 call for

certain comments by the Council, which are annexed to this recommendation; whereas the Council

stresses the importance it attaches to those comments being followed up,

Whereas, following the above examination, the implementation of the budget of the Agency is such as

to allow a discharge to be given in respect of that implementation,

HEREBY RECOMMENDS the European Parliament to give a discharge to the Director of the Agency

in respect of the implementation of the budget for the financial year 2007.

ANNEX to Annex 8

COMMENTS ACCOMPANYING THE COUNCIL RECOMMENDATION

ON THE DISCHARGE TO BE GIVEN TO AGENCY

The Council welcomes the fact that the Court has been able to obtain reasonable assurance that the

Agency's annual accounts for the financial year ended 31 December 2007 were, in all material respects,

reliable and that the underlying transactions, taken as a whole, were legal and regular. However, some

observations need to be made.

While acknowledging the extension of the Agency's mandate in the course of 2007, the Council notes

with concern the difficulties in the Agency's budget implementation resulting, in particular in the very

high carry-over rate. It asks the Agency to improve the execution of its budget and to bring down its

high carry-over rate in line with the budgetary principle of annuality.

The Council also calls on the Agency to fully respect the principle of sound financial management in

its procurement procedures and to take the price criterion properly into account in its financial

evaluation methods.

________________________

Annex 9

Draft

COUNCIL RECOMMENDATION

of

on the discharge to be given to the Director

of the European Agency for Reconstruction

in respect of the implementation of the budget

of the European Agency for Reconstruction

for the financial year 2007

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community,

Having regard to Council Regulation (EC) No. 2667/2000 of 5 December 2000 on the European

Agency for Reconstruction1, as last amended by Regulation (EC) No. 1756/2006 of

28 November 20062, and in particular Article 8(4) thereof,

Having regard to Council Regulation (EC, Euratom) No. 1605/2002 of 25 June 2002 on the financial

regulation applicable to the general budget of the European Communities3, as last amended by

Having examined the revenue and expenditure account for the financial year 2007 and the balance

sheet at 31 December 2007 of the European Agency for Reconstruction, hereinafter referred to as the

"Agency", as well as the Court of Auditors' report on the annual accounts of the Agency for the

financial year 2007, accompanied by the Agency's replies to the Court's observations1,

Whereas EUR 276.1 million (41%) of the EUR 679.5 million in appropriations carried forward from

the financial year 2006 to the financial year 2007 have been used,

Whereas EUR 14.41 million in appropriations have been carried forward from the financial year 2007

to the financial year 2008 and EUR 1.92 million have been cancelled,

Whereas the observations in the Court of Auditors' report in relation to the financial year 2007 call for

certain comments by the Council, which are annexed to this recommendation; whereas the Council

stresses the importance it attaches to those comments being followed up,

Whereas following the above examination, the implementation of the budget of the Agency is such as

to allow a discharge to be given in respect of that implementation,

HEREBY RECOMMENDS the European Parliament to give a discharge to the Director of the Agency

in respect of the implementation of the budget for the financial year 2007.

ANNEX to Annex 9

COMMENTS ACCOMPANYING THE COUNCIL RECOMMENDATION

ON THE DISCHARGE TO BE GIVEN TO THE AGENCY

The Council welcomes the fact that the Court of Auditors has been able to obtain reasonable

assurance that the Agency's annual accounts for the financial year ended 31 December 2007 are, in

all material aspects, reliable and that the underlying transactions, taken as a whole, are legal and

regular. However, some observations need to be made.

The Council notes with satisfaction the improvements achieved by the Agency in its management,

in comparison to the previous years, and asks it to continue in this way until the forthcoming end of

its mandate.

The Council acknowledges the satisfactory rate of implementation of the budget at the year end;

however, given the fact that the mandate of the Agency expires at the end of 2008, it expresses

some concern regarding the unused budgetary appropriations for operating activities still remaining,

which will have to be implemented in the years beyond 2008.

Furthermore, the Council supports the Court's recommendation concerning the handover of

programmes from the Agency to the Commission, and calls on both entities to sign a Memorandum

of Understanding, in order to formalise and facilitate the transfer of all programmes and items and

to ensure that all items are reflected correctly on the Agency's accounts.

Annex 10

Draft

COUNCIL RECOMMENDATION

of

on the discharge to be given to the Director

of the Translation Centre for the Bodies of the European Union

in respect of the implementation of the budget

of the Translation Centre for the Bodies of the European Union

for the financial year 2007

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community,

Having regard to Council Regulation (EC) No. 2965/94 of 28 November 1994 setting up a

Translation Centre for bodies of the European Union1, as last amended by Council Regulation (EC)

No. 1645/2003 of 18 June 20032, and in particular Article 14(10) thereof,

Having regard to Council Regulation (EC, Euratom) No. 1605/2002 of 25 June 2002 on the financial

regulation applicable to the general budget of the European Communities3, as last amended by

Having examined the revenue and expenditure account for the financial year 2007 and the balance

sheet at 31 December 2007 of the Translation Centre for the Bodies of the European Union,

hereinafter referred to as the "Centre", as well as the Court of Auditors' report on the annual

accounts of the Centre for the financial year 2007, accompanied by the Centre's replies to the

Court's observations1,

Whereas EUR 2.8 million (95.8%) of the EUR 2.9 million in appropriations carried forward from the

financial year 2006 to the financial year 2007 have been used,

Whereas EUR 3.9 million in appropriations have been carried forward from the financial year 2007

to the financial year 2008 and EUR 12.9 million have been cancelled,

Whereas the observations in the Court of Auditors' report in relation to the financial year 2007 call for

certain comments by the Council, which are annexed to this recommendation; whereas the Council

stresses the importance it attaches to those comments being followed up,

Whereas, following the above examination, the implementation of the budget of the Centre is such as

to allow a discharge to be given in respect of that implementation,

HEREBY RECOMMENDS the European Parliament to give a discharge to the Director of the Centre

in respect of the implementation of the budget for the financial year 2007.

ANNEX to Annex 10

COMMENTS ACCOMPANYING THE COUNCIL RECOMMENDATION

ON THE DISCHARGE TO BE GIVEN TO THE CENTRE

The Council welcomes the fact that the Court of Auditors has been able to obtain reasonable

assurance that the Centre's annual accounts for the financial year ended 31 December 2007 are, in

all material respects, reliable and that the underlying transactions, taken as a whole, are legal and

regular. However, some observations need to be made.

The Council notes with concern the persistently high carry-over rates and, in particular, cancellation

rates and urges the Centre to make necessary improvements in the Centre's financial and budgetary

management and to remedy this situation as soon as possible.

It takes note of the Court's observation in respect of procurement procedures and encourages the

Centre to strengthen its ex-ante control by ensuring that cost/benefit analysis becomes an integral

part of such procedures.

Regarding recruitment procedures, the Council calls on the Centre to ensure, in line with the Court's

observations, the full transparency of all such procedures.

________________________

Annex 11

Draft

COUNCIL RECOMMENDATION

of

on the discharge to be given to the Executive Director

of the European Maritime Safety Agency

in respect of the implementation of the budget

of the European Maritime Safety Agency

for the financial year 2007

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community,

Having regard to Regulation (EC) No. 1406/2002 of the European Parliament and of the Council of

27 June 2002 setting up a European Maritime Safety Agency1, as last amended by Regulation (EC)

No. 2038/2006 of 18 December 20062, and in particular Article 19(10) thereof,

Having regard to Council Regulation (EC, Euratom) No. 1605/2002 of 25 June 2002 on the financial

regulation applicable to the general budget of the European Communities3, as last amended by

Having examined the revenue and expenditure account for the financial year 2007 and the balance

sheet at 31 December 2007 of the European Maritime Safety Agency, hereinafter referred to as the

"Agency", as well as the Court of Auditors' report on the annual accounts of the Agency for the

financial year 2007, accompanied by the Agency's replies to the Court's observations1,

Whereas EUR 0.8 million (60%) of the EUR 1.3 million in appropriations carried forward from the

financial year 2006 to the financial year 2007 have been used,

Whereas EUR 1.6 million in appropriations have been carried forward from the financial year 2007 to

the financial year 2008 and EUR 13.8 million has been cancelled,

Whereas the observations in the Court of Auditors' report in relation to the financial year 2007 call for

certain comments by the Council, which are annexed to this recommendation; whereas the Council

stresses the importance it attaches to those comments being followed up,

Whereas, following the above examination, the implementation of the budget of the Agency is such as

to allow a discharge to be given in respect of that implementation,

HEREBY RECOMMENDS the European Parliament to give a discharge to the Executive Director of

the Agency in respect of the implementation of the budget for the financial year 2007.

ANNEX to Annex 11

COMMENTS ACCOMPANYING THE COUNCIL RECOMMENDATION ON THE

DISCHARGE TO BE GIVEN TO THE AGENCY

The Council welcomes the fact that the Court of Auditors has obtained a reasonable basis to assure

that the Agency's annual accounts for the financial year ended 31 December 2007 are reliable in all

material respects and that the underlying transactions are, taken as a whole, legal and regular.

However, some observations need to be made.

The Council emphasises that certain practices, namely a high cancellation rate for payment

appropriations, in particular for the operating activities, a high number of transfers, an incorrect

budget presentation and an irregular modification of the funding source for anti-pollution

appropriations, require further improvements in the Agency's financial, budgetary and human

resources planning and management. The Council calls on the Agency to remedy this situation as

soon as possible.

The Council notes with concern the Court's observations regarding some cases of legal

commitments being entered into before the corresponding budgetary commitments and urges the

Agency to avoid such practice in the future thus complying fully with the provisions of the

Financial regulation. The Council asks the Agency to further strengthen the measures aimed at

improving its financial management, especially by providing guidelines and training to financial

actors.

Annex 12

Draft

COUNCIL RECOMMENDATION

of

on the discharge to be given to the Executive Director

of the European Aviation Safety Agency

in respect of the implementation of the budget

of the European Aviation Safety Agency

for the financial year 2007

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community,

Having regard to Regulation (EC) No. 216/2008 of the European Parliament and of the Council of

20 February 2008 on common rules in the field of civil aviation and establishing a European

Aviation Safety Agency, and repealing Council Directive 91/670/EEC, Regulation (EC) No.

1592/2002 and Directive 2004/36/EC1, and in particular Article 60(10) thereof,

Having regard to Council Regulation (EC, Euratom) No. 1605/2002 of 25 June 2002 on the financial

Having examined the revenue and expenditure account for the financial year 2007 and the balance

sheet at 31 December 2007 of the European Aviation Safety Agency, hereinafter referred to as the

"Agency", as well as the Court of Auditors' report on the annual accounts of the Agency for the

financial year 2007, accompanied by the Agency's replies to the Court's observations1,

Whereas EUR 17 million (88%) of the EUR 19.2 million in appropriations carried forward from the

financial year 2006 to the financial year 2007 have been used,

Whereas EUR 35 million in appropriations have been carried forward from the financial year 2007

to the financial year 2008 and EUR 1.4 million have been cancelled,

Whereas the observations in the Court of Auditors' report in relation to the financial year 2007 call for

certain comments by the Council, which are annexed to this recommendation; whereas the Council

stresses the importance it attaches to those comments being followed up,

Whereas, following the above examination, the implementation of the budget of the Agency is such as

to allow a discharge to be given in respect of that implementation,

HEREBY RECOMMENDS the European Parliament to give a discharge to the Executive Director of

the Agency in respect of the implementation of the budget for the financial year 2007.

ANNEX to Annex 12

COMMENTS ACCOMPANYING THE COUNCIL RECOMMENDATION

ON THE DISCHARGE TO BE GIVEN TO THE AGENCY

The Council welcomes the fact that the Court of Auditors has obtained a reasonable basis to assure

that the Agency's annual accounts for the financial year ended 31 December 2007 are reliable in all

material respects and that the underlying transactions are, taken as a whole, legal and regular.

However, some observations need to be made.

The Council reiterates that certain practices, namely increasingly high carry-over rates for operating

expenditure and a high number of vacant posts, require further improvements in the Agency's

financial, budgetary and human resources management and calls on the Agency to remedy this

situation without delay.

The Council takes note of the Court's finding that the decision of the Agency, in agreement with the

Commission, to slow down recruitment was taken without amending the establishment plan

accordingly. In this context, the Council calls on the Agency to comply with the provisions of the

Financial Regulation.

The Council notes with concern that in application of the new fees and charges regulation the

Agency has overestimated the amounts of assigned revenue which should cover future certification

costs. Therefore, the Council calls on the Agency to carefully check the consistency of its forecasts

and work more on its financial and operational planning.

Annex 13

Draft

COUNCIL RECOMMENDATION

of

on the discharge to be given to the Executive Director

of the European Food Safety Authority

in respect of the implementation of the budget

of the European Food Safety Authority

for the financial year 2007

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community,

Having regard to Regulation (EC) No. 178/2002 of the European Parliament and of the Council of

28 January 2002 laying down the general principles and requirements of food law, establishing the

European Food Safety Authority and laying down procedures in matters of food safety1, as

amended by Regulation (EC) No. 1642/2003 of 22 July 20032, and in particular Article 44(10)

thereof,

Having examined the revenue and expenditure account for the financial year 2007 and the balance

sheet at 31 December 2007 of the European Food Safety Authority, hereinafter referred to as the

"Authority", as well as the Court of Auditors' report on the annual accounts of the Authority for the

financial year 2007, accompanied by the Authority's replies to the Court's observations1,

Whereas EUR 6.4 million (81.1%) of the EUR 7.9 million in appropriations carried forward from the

financial year 2006 to the financial year 2007 have been used,

Whereas EUR 8.6 million in appropriations have been carried forward from the financial year 2007

to the financial year 2008 and EUR 4.8 million have been cancelled,

Whereas the observations in the Court of Auditors' report in relation to the financial year 2007 call for

certain comments by the Council, which are annexed to this recommendation; whereas the Council

stresses the importance it attaches to those comments being followed up,

Whereas, following the above examination, the implementation of the budget of the Authority is such

as to allow a discharge to be given in respect of that implementation,

HEREBY RECOMMENDS the European Parliament to give a discharge to the Executive Director of

the Authority in respect of the implementation of the budget for the financial year 2007.

ANNEX to Annex 13

COMMENTS ACCOMPANYING THE COUNCIL RECOMMENDATION

ON THE DISCHARGE TO BE GIVEN TO THE AUTHORITY

The Council welcomes the fact that the Court of Auditors has been able to obtain reasonable

assurance that the Authority's annual accounts for the financial year ended 31 December 2007 are,

in all material respects, reliable and that the underlying transactions, taken as a whole, are legal and

regular. However, some observations need to be made.

The Council notes with concern that the carry-over and cancellation rates remain high which is an

indication of weaknesses in the programming, budgeting and implementation of the Authority's

activities and urges the Authority to intensify its efforts in addressing these issues.

As far as recruitment procedures are concerned, the Council notes with satisfaction that the

Authority was able to achieve its recruitment objectives for 2007. However, it calls on the Authority

to remedy the remaining deficiencies in its recruitment procedures as detected by the Court.

The Council notes with concern the large number of accepted exception requests for missions of

national experts in 2007 and calls on the Authority to improve its mission management by

exercising utmost prudence in approving such requests.

The Council regrets the number of irregularities in the Authority's procurement procedures, as

identified again by the Court. While noting the measures taken by the Authority to address this

Annex 14

Draft

COUNCIL RECOMMENDATION

of

on the discharge to be given to the Administrative Director

of Eurojust

in respect of the implementation of the budget

of Eurojust

for the financial year 2007

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community,

Having regard to Council Decision 2002/187/JHA of 28 February 2002 setting up Eurojust with a

view to reinforcing the fight against serious crime1, as last amended by Council Decision

2003/659/JHA of 18 June 20032, and in particular Article 36(2) thereof,

Having regard to Council Regulation (EC, Euratom) No. 1605/2002 of 25 June 2002 on the financial

regulation applicable to the general budget of the European Communities3, as last amended by

Having examined the revenue and expenditure account for the financial year 2007 and the balance

sheet at 31 December 2007 of Eurojust, as well as the Court of Auditors' report on the annual

accounts of Eurojust for the financial year 2007, accompanied by Eurojust's replies to the Court's

observations1,

Whereas EUR 2.0 million (79%) of the EUR 2.6 million in appropriations carried forward from the

financial year 2006 to the financial year 2007 have been used,

Whereas EUR 5.2 million in appropriations have been carried forward from the financial year 2007 to

the financial year 2008 and EUR 0.3 million has been cancelled,

Whereas the observations in the Court of Auditors' report in relation to the financial year 2007 call for

certain comments by the Council, which are annexed to this recommendation; whereas the Council

stresses the importance it attaches to those comments being followed up,

Whereas, following the above examination, the implementation of the budget of Eurojust is such as to

allow a discharge to be given in respect of that implementation,

HEREBY RECOMMENDS the European Parliament to give a discharge to the Administrative

Director of Eurojust in respect of the implementation of the budget for the financial year 2007.

ANNEX to Annex 14

COMMENTS ACCOMPANYING THE COUNCIL RECOMMENDATION

ON THE DISCHARGE TO BE GIVEN TO EUROJUST

The Council welcomes the Court's assessment that Eurojust's accounts for the financial year ended

31 December 2007 were, in all material respects, reliable and that the underlying transactions, taken

as a whole, were legal and regular. However, some observations need to be made.

The Council notes with concern the persisting high carry-over rates for administrative and

operational expenditure. It calls on Eurojust to improve the programming and monitoring of its

activities, in order to comply with the budgetary principle of annuality.

While taking note of Eurojust's efforts to centralise its procurement management and to improve the

quality of the procedures, the Council calls on Eurojust to remedy the remaining weaknesses in its

procurement implementation regarding the planning and the management.

In addition, the Council asks Eurojust to improve its recruitment planning and execution by

accelerating the recruitment of temporary staff for vacant posts in accordance with the available

budget appropriations.

________________________

Annex 15

Draft

COUNCIL RECOMMENDATION

of

on the discharge to be given to the Executive Director

of the European Network and Information Security Agency

in respect of the implementation of the budget

of the European Network and Information Security Agency

for the financial year 2007

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community,

Having regard to Regulation (EC) No. 460/2004 of the European Parliament and of the Council of

10 March 2004 establishing the European Network and Information Security Agency1, as amended by

Regulation (EC) No. 1007/2008 of the European Parliament and of the Council of

24 September 20082, and in particular Article 17(11) thereof,

Having regard to Council Regulation (EC, Euratom) No. 1605/2002 of 25 June 2002 on the financial

Having examined the revenue and expenditure account for the financial year 2007 and the balance

sheet at 31 December 2007 of the European Network and Information Security Agency, hereinafter

referred to as the "Agency", as well as the Court of Auditors' report on the annual accounts of the

Agency for the financial year 2007, accompanied by the Agency's replies to the Court's observations1,

Whereas EUR 0.86 million (93.8%) of the EUR 0.92 million in appropriations carried forward from

the financial year 2006 to the financial year 2007 have been used,

Whereas EUR 2 million in appropriations have been carried forward from the financial year 2007 to

the financial year 2008 and EUR 0.2 million has been cancelled,

Whereas the observations in the Court of Auditors' report in relation to the financial year 2007 call for

certain comments by the Council, which are annexed to this recommendation; whereas the Council

stresses the importance it attaches to those comments being followed up,

Whereas following the above examination, the implementation of the budget of the Agency is such as

to allow a discharge to be given in respect of that implementation,

HEREBY RECOMMENDS the European Parliament to give a discharge to the Executive Director of

the Agency in respect of the implementation of the budget for the financial year 2007.

ANNEX to Annex 15

COMMENTS ACCOMPANYING THE COUNCIL RECOMMENDATION

ON THE DISCHARGE TO BE GIVEN TO THE AGENCY

The Council welcomes the fact that the Court of Auditors has been able to obtain reasonable

assurance that the Agency's annual accounts for the financial year ended 31 December 2007 are, in

all material respects, reliable and that the underlying transactions, taken as a whole, are legal and

regular. However, some observations need to be made.

The Council notes with concern the Court's observation on several cases of the appropriations

carried over not corresponding to the legal commitments and calls on the agency to make every

effort to ensure the accuracy of financial information. The Council also draws the attention of the

Agency on the concentration of transactions in the last quarter of the year which jeopardises the

implementation of operational activities and asks it to remedy this situation as soon as possible.

Regarding the Court's observations on the deficiencies in the Agency's accounting, the Council

encourages the Agency to act thereupon as early as possible and to apply the Commission's

accounting software where appropriate.

The Council is concerned by the Court's findings on the recurrent weaknesses in the procurement

procedures and urges the Agency to take all the appropriate measures to eliminate these weaknesses

already in the short term.

Annex 16

Draft

COUNCIL RECOMMENDATION

of

on the discharge to be given to the Director

of the European Centre for Disease Prevention and Control

in respect of the implementation of the budget

of the European Centre for Disease Prevention and Control

for the financial year 2007

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community,

Having regard to Regulation (EC) No. 851/2004 of the European Parliament and of the Council of

21 April 2004 establishing the European Centre for Disease Prevention and Control1, and in particular

Article 23(10) thereof,

Having regard to Council Regulation (EC, Euratom) No. 1605/2002 of 25 June 2002 on the financial

regulation applicable to the general budget of the European Communities2, as last amended by

Having examined the revenue and expenditure account for the financial year 2007 and the balance

sheet at 31 December 2007 of the European Centre for Disease Prevention and Control, hereinafter

referred to as the "Centre", as well as the Court of Auditors' report on the annual accounts of the

Centre for the financial year 2007, accompanied by the Centre's replies to the Court's observations1,

Whereas EUR 5.8 million (81.6%) of the EUR 7.1 million in appropriations carried forward from the

financial year 2006 to the financial year 2007, have been used,

Whereas EUR 12.1 million in appropriations have been carried forward from the financial year

2007 to the financial year 2008 and EUR 0.6 million have been cancelled,

Whereas the observations in the Court of Auditors' report in relation to the financial year 2007 call for

certain comments by the Council, which are annexed to this recommendation; whereas the Council

stresses the importance it attaches to those comments being followed up,

Whereas following the above examination, the implementation of the budget of the Centre is such as to

allow a discharge to be given in respect of that implementation,

HEREBY RECOMMENDS the European Parliament to give a discharge to the Director of the Centre

in respect of the implementation of the budget for the financial year 2007.

ANNEX to Annex 16

COMMENTS ACCOMPANYING THE COUNCIL RECOMMENDATION

ON THE DISCHARGE TO BE GIVEN TO THE CENTRE

The Council welcomes the fact that the Court of Auditors has been able to obtain reasonable

assurance that the Centre's annual accounts for the financial year ended 31 December 2007 are, in

all material respects, reliable and that the underlying transactions, taken as a whole, are legal and

regular. However, some observations need to be made.

While acknowledging that the Centre is still in a growth phase, the Council notes with concern that

the carry-over rate and the number of transfers remain high. Therefore, it calls on the Centre to

intensify its efforts to improve the planning and implementation of the budget thus complying

strictly with the budgetary principles of annuality and specification.

Regarding the Court's observations on the deficiencies in registering the Centre's asset inventories,

the Council encourages the Agency to act thereupon as early as possible.

The Council notes with concern the Court's findings on lack of specifications regarding the nature

and conditions of various renovation works on the building rented for Centre's premises and calls on

the Centre to remedy these deficiencies at an earliest possible date.

Annex 17

Draft

COUNCIL RECOMMENDATION

of

on the discharge to be given to the Executive Director

of the European Railway Agency

in respect of the implementation of the budget

of the European Railway Agency

for the financial year 2007

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community,

Having regard to Regulation (EC) No. 881/2004 of the European Parliament and of the Council of

29 April 2004 establishing the European Railway Agency1, as amended by Regulation (EC)

No. 1335/2008 of the European Parliament and of the Council of 16 December 20082, and in particular

Article 39(10) thereof,

Having regard to Council Regulation (EC, Euratom) No. 1605/2002 of 25 June 2002 on the financial

Having examined the revenue and expenditure account for the financial year 2007 and the balance

sheet at 31 December 2007 of the European Railway Agency, hereinafter referred to as the "Agency",

as well as the Court of Auditors' report on the annual accounts of the Agency for the financial year

2007, accompanied by the Agency's replies to the Court's observations1,

Whereas EUR 2 million (73%) of the EUR 2.7 million in appropriations carried forward from the

financial year 2006 to the financial year 2007 have been used,

Whereas EUR 2.7 million in appropriations have been carried forward from the financial year 2007 to

the financial year 2008 and EUR 3.4 million have been cancelled,

Whereas the observations in the Court of Auditors' report in relation to the financial year 2007 call for

certain comments by the Council, which are annexed to this recommendation; whereas the Council

stresses the importance it attaches to those comments being followed up,

Whereas following the above examination, the implementation of the budget of the Agency is such as

to allow a discharge to be given in respect of that implementation,

HEREBY RECOMMENDS the European Parliament to give a discharge to the Executive Director of

the Agency in respect of the implementation of the budget for the financial year 2007.

ANNEX to Annex 17

COMMENTS ACCOMPANYING THE COUNCIL RECOMMENDATION

ON THE DISCHARGE TO BE GIVEN TO THE AGENCY

The Council welcomes the fact that the Court of Auditors has obtained a reasonable basis to assure

that the Agency's annual accounts for the financial year ended 31 December 2007 are reliable in all

material respects and that the underlying transactions are, taken as a whole, legal and regular.

However, some observations need to be made.

While noting the efforts made by the Agency in order to improve its financial management, the

Council would like to draw the attention to some persistent issues.

The Council takes note with great concern of the Court's finding that, despite a considerable level of

unused appropriations in 2007, the Agency requested extra cash equivalent to the sum of its whole

budget. Therefore, the Council strongly reiterates its call on the Agency to work more effectively on

the programming of its annual objectives, in order to better assess its needs, in terms of human,

financial and material resources. This programming effort should lead to a higher budget

implementation rate, to a lower rate of carry-overs, as well as to more rigorous cash forecasts, in

compliance with the provisions of the Financial Regulation and namely the principle of annuality.

In addition, the Council regrets that the Agency did not comply with the procurement rules,

particularly by adopting unwarranted negotiated procedures, by using expired contracts and

irregularly extending existing contracts. The Council notes the additional measures taken by the

Annex 18

Draft

COUNCIL RECOMMENDATION

of

on the discharge to be given to the Executive Director

of the European Agency for the Management of Operational Cooperation

at the External Borders of the Member States of the European Union

in respect of the implementation of the budget

of the European Agency for the Management of Operational Cooperation

at the External Borders of the Member States of the European Union

for the financial year 2007

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community,

Having regard to Council Regulation (EC) No. 2007/2004 of 26 October 2004 establishing the

European Agency for the Management of Operational Cooperation at the External Borders of the

Member States of the European Union1, as last amended by Regulation (EC) No. 863/2007 of the

European Parliament and of the Council of 11 July 20072, and in particular Article 30(9) thereof,

Having examined the revenue and expenditure account for the financial year 2007 and the balance

sheet at 31 December 2007 of the European Agency for the Management of Operational Cooperation

at the External Borders of the Member States of the European Union, hereinafter referred to as the

"Agency", as well as the Court of Auditors' report on the annual accounts of the Agency for the

financial year 2007, accompanied by the Agency's replies to the Court's observations1,

Whereas EUR 7.1 million (60%) of the EUR 11.8 million in appropriations carried forward from the

financial year 2006 to the financial year 2007 have been used,

Whereas EUR 22.4 million in appropriations have been carried forward from the financial year 2007 to

the financial year 2008 and EUR 6.4 million have been cancelled,

Whereas the observations in the Court of Auditors' report in relation to the financial year 2007 call for

certain comments by the Council, which are annexed to this recommendation; whereas the Council

stresses the importance it attaches to those comments being followed up,

Whereas following the above examination, the implementation of the budget of the Agency is such as

to allow a discharge to be given in respect of that implementation,

HEREBY RECOMMENDS the European Parliament to give a discharge to the Executive Director of

the Agency in respect of the implementation of the budget for the financial year 2007.

Annex to ANNEX 18

COMMENTS ACCOMPANYING THE COUNCIL RECOMMENDATION

ON THE DISCHARGE TO BE GIVEN TO THE AGENCY

The Council notes with satisfaction the Court's assessment that the Agency's accounts for the

financial year ended 31 December 2007 were, in all material respects, reliable and that the

underlying transactions, taken as a whole, were legal and regular. However, some observations need

to be made.

While taking note of the difficulties resulting from the fact that a large share of the Agency's 2007

budget was made available very late only, the Council notes with concern the persisting high

carry-over rate which results to a major extent from excessive cost estimates. It calls on the Agency

to improve the programming and monitoring of its activities and to apply more realistic cost

calculation methods in order to avoid an overestimation of the costs of its operations.

The Council also encourages the Agency to take appropriate measures to ensure timely

reimbursements to the partner countries and to improve its management of temporarily unused

appropriations.

Furthermore, as in the previous year, the Council asks the Agency to respect strictly the provisions

of the Financial Regulation, by establishing budgetary commitments prior to entering into legal

commitments.

Annex 19

Draft

COUNCIL RECOMMENDATION

of

on the discharge to be given to the Director

of the European Police College

in respect of the implementation of the budget

of the European Police College

for the financial year 2007

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community,

Having regard to Council Decision 2005/681/JHA of 20 September 2005 establishing the European

Police College1, and repealing Council Decision 2000/820/JHA of 22 December 20002, and in

particular Article 16(9) thereof,

Having regard to Council Regulation (EC, Euratom) No. 1605/2002 of 25 June 2002 on the financial

regulation applicable to the general budget of the European Communities3, as last amended by

Having examined the revenue and expenditure account for the financial year 2007 and the balance

sheet at 31 December 2007 of the European Police College, hereinafter referred to as the "College", as

well as the Court of Auditors' report on the annual accounts of the College for the financial year 2007,

accompanied by the College's replies to the Court's observations1,

Whereas more than 20% (EUR 0.5 million) of the appropriations carried forward from the financial

year 2006 to the financial year 2007 have not been used,

Whereas EUR 1.7 million in appropriations have been carried forward from the financial year 2007 to

the financial year 2008 and EUR 0.9 million have been cancelled,

Whereas the observations in the Court of Auditors' report in relation to the financial year 2007 call for

certain comments by the Council, which are annexed to this recommendation; whereas the Council

stresses the importance it attaches to those comments being followed up,

Whereas following the above examination, the implementation of the budget of the College is such as

to allow a discharge to be given in respect of that implementation,

HEREBY RECOMMENDS the European Parliament to give a discharge to the Director of the College

in respect of the implementation of the budget for the financial year 2007.

ANNEX to Annex 19

COMMENTS ACCOMPANYING THE COUNCIL RECOMMENDATION

ON THE DISCHARGE TO BE GIVEN TO THE COLLEGE

The Council takes note of the fact that the Court has been able to issue a statement of assurance on

the reliability of the College's annual accounts for the financial year ended 31 December 2007, but

regrets that the Court had to make reservations concerning both the reliability of the accounts and

the legality and regularity of the underlying transactions. It is particularly concerned about the

absence of a commitment accounting system and of internal control standards and about the failure

of the College to comply with the provisions of the Financial Regulation as regards the system of

procurement.

The Council regrets the lack of internal control and the ineffective budget monitoring observed

by the Court which, in conjunction with the absence of a proper commitment accounting system,

led to irregularities in the execution of the College's budget. It takes note that a commitment

accounting system was put into place at the end of 2007, and calls on the College to further improve

its internal procedures for establishing budgetary and legal commitments, including the exhaustive

documentation of contractual conditions.

The Council notes with great concern the high level of carry-overs and cancellations of

appropriations. Moreover, it is particularly concerned about the contribution from the Commission

to the MEDA programme implemented outside the budget of the College. The Council calls on the

College to remedy this situation in due respect of the principle of sound financial management.

Furthermore, the Council is particularly concerned about the cases identified by the Court where

public funds were used to finance private expenditure of some of the College's staff. It strongly

urges the College to continue its efforts to remedy this situation as soon as possible and to recover

completely and urgently the amount that was irregularly spent for private purposes. The Council

notes the ongoing internal investigation opened by the European Anti-Fraud Office (OLAF) and

calls on the College to fully cooperate with OLAF to ensure that the investigation can be concluded

rapidly.

The Council also encourages the College to reclaim timely at regular intervals any recoverable VAT

in line with a sound financial management.

________________________

Annex 20

Draft

COUNCIL RECOMMENDATION

of

on the discharge to be given to the Executive Director

of the European Global Navigation Satellite System (GNSS) Supervisory Authority

in respect of the implementation of the budget

of the European Global Navigation Satellite System (GNSS) Supervisory Authority

for the financial year 2007

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community,

Having regard to Council Regulation (EC) No. 1321/2004 of 12 July 2004 establishing the European

GNSS Supervisory Authority1, as amended by Council Regulation (EC) No. 1942/2006 of

12 December 20062, and in particular Article 12(10) thereof,

Having regard to Council Regulation (EC, Euratom) No. 1605/2002 of 25 June 2002 on the financial

regulation applicable to the general budget of the European Communities3, as last amended by

Having examined the revenue and expenditure account for the financial year 2007 and the balance

sheet at 31 December 2007 of the European Global Navigation Satellite System (GNSS) Supervisory

Authority, hereinafter referred to as the "Authority", as well as the Court of Auditors' report on the

annual accounts of the Authority for the financial year 2007, accompanied by the Authority's replies to

the Court's observations1,

Whereas EUR 0.81 million (64%) of the EUR 1.28 million in appropriations carried forward from the

financial year 2006 to the financial year 2007 have been used,

Whereas EUR 87.32 million in appropriations have been carried forward from the financial year 2007

to the financial year 2008 and EUR 1.18 million have been cancelled,

Whereas the observations in the Court of Auditors' report in relation to the financial year 2007 call for

certain comments by the Council, which are annexed to this recommendation; whereas the Council

stresses the importance it attaches to those comments being followed up,

Whereas following the above examination, the implementation of the budget of the Authority is such

as to allow a discharge to be given in respect of that implementation,

HEREBY RECOMMENDS the European Parliament to give a discharge to the Executive Director of

the Authority in respect of the implementation of the budget for the financial year 2007.

ANNEX to Annex 20

COMMENTS ACCOMPANYING THE COUNCIL RECOMMENDATION

ON THE DISCHARGE TO BE GIVEN TO THE AUTHORITY

The Council welcomes the fact that the Court has been able to issue a statement of reasonable

assurance on the legality and regularity of the underlying transactions, taken as a whole. However,

the Council regrets that in respect of the reliability of the accounts the Court has not been able to

form an opinion.

The Council is fully aware that in 2007 the Authority operated in a very fragile legal environment,

without a clear role and framework, due to the fact that the approach of a Galileo private-public

partnership was abandoned and that the European Parliament and the Council decided to fund the

project from the EU budget, thus changing completely the architecture of the project.

However, the Council notes with concern the Court's findings that at the end of 2007 the process of

ownership transfer of the Galileo project's assets from ESA and EGNOS to the Authority was far

from being complete and that no inventory of the project assets had been drawn, thus making it

impossible to have a thorough overview of them and a precise indication of their value.

The Council takes note that the solution to the problem lies in the change in the governance of the

project, so that the European Community will become the owner of all the assets of the Galileo

project and the EU Commission will be the programming manager acting as an owner on behalf of

the Community. Therefore, in future transfers, the assets will be directly transferred from ESA and

In addition, the Council invites the Authority to adopt clear rules for recording revenue under an

accruals accounting system, in particular regarding the funds coming from the Galileo Joint

Undertaking, and to adapt its budgetary techniques in order to improve the quality of its financial

management.

Furthermore, the Council expresses deep concern regarding the low level of consumption of

commitment and payment appropriations for operational activities and the weaknesses in the

management of the budget such as an absence of a clear link between the Authority's work

programme and the budget, transfers of appropriations neither adequately justified nor documented,

late booking of recovery orders and inconsistent presentation of the budget's implementation.

The Council calls on the Authority to do its utmost to remedy such weaknesses without further

delay, to fully comply with the regulatory provisions in force, in particular regarding transfers, and

to improve its performance in respect of its budget reporting.

________________________

Annex 21

Draft

COUNCIL RECOMMENDATION

of

on the discharge to be given to the Executive Director

of the Community Fisheries Control Agency

in respect of the implementation of the budget

of the Community Fisheries Control Agency

for the financial year 2007

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community,

Having regard to Council Regulation (EC) No. 768/2005 of 26 April 2005 establishing a Community

Fisheries Control Agency and amending Regulation (EEC) No. 2847/93 establishing a control system

applicable to the common fisheries policy1, and in particular Article 36(11) thereof,

Having regard to Council Regulation (EC, Euratom) No. 1605/2002 of 25 June 2002 on the financial

regulation applicable to the general budget of the European Communities2, as last amended by

Having examined the revenue and expenditure account for the financial year 2007 and the balance

sheet at 31 December 2007 of the Community Fisheries Control Agency, hereinafter referred to as the

"Agency", as well as the Court of Auditors' report on the annual accounts of the Agency for the

financial year 2007, accompanied by the Agency's replies to the Court's observations1,

Whereas EUR 0.92 million in appropriations have been carried forward from the financial year 2007 to

the financial year 2008 and EUR 1.1 million have been cancelled,

Whereas the observations in the Court of Auditors' report in relation to the financial year 2007 call for

certain comments by the Council, which are annexed to this recommendation; whereas the Council

stresses the importance it attaches to those comments being followed up,

Whereas following the above examination, the implementation of the budget of the Agency is such as

to allow a discharge to be given in respect of that implementation,

HEREBY RECOMMENDS the European Parliament to give a discharge to the Executive Director of

the Agency in respect of the implementation of the budget for the financial year 2007.

Done at Brussels,

ANNEX to Annex 21

COMMENTS ACCOMPANYING THE COUNCIL RECOMMENDATION

ON THE DISCHARGE TO BE GIVEN TO THE AGENCY

The Council welcomes the fact that the Court of Auditors has been able to obtain reasonable

assurance that the Agency's annual accounts for the financial year ended 31 December 2007 are, in

all material aspects, reliable and that the underlying transactions, taken as a whole, are legal and

regular. However, some observations need to be made.

While taking into account that the Agency is recently established and that it acquired its financial

independence on 11 November 2007, the Council calls on the Agency to comply with the financial

provisions in force.

In this context, the Council notes with concern that the Agency carried over some amounts without

legal commitment, due to the fact that it had not established efficient year end procedures for

determining the appropriations to be carried over; therefore, it calls on the Agency to take the

necessary steps to remedy this situation.

Furthermore, the Council regrets the fact that the Agency did not formally adopt any internal

control standards. The Council is confident that the Agency will do its utmost to take the

appropriate measures as soon as possible.

Finally, the Council calls on the Agency to ensure that the accounting officer validates the

2.

Originele weergave

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3.

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publicatiedatum 04-02-2009
kenmerk 5588/09 ADD 1 REV 1

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