Proposal for a Regulation of the European Parliament and of the Council concerning European Union financial contributions to the International Fund for Ireland (2007-2010) - Letter to the European Parliament - Montesquieu Instituut

 

COUNCIL OFBrussels, 9 June 2010

THE EUROPEAN UNION

10638/1/10 REV 1

Interinstitutional File:

2010/0004 (COD)

REGIO 40 FIN 232 CODEC 520

"I" ITEM NOTE

from:

Presidency

to: Committee of Permanent Representatives (part 2)

No Cion prop.: 6254/10 REGIO 7 FIN 46 CODEC 98

Subject:

Proposal for a Regulation of the European Parliament and of the Council concerning European Union financial contributions to the International Fund for Ireland (2007-2010)

• - 

  Letter to the European Parliament
• 1. 

  The Commission submitted the above-mentioned proposal to the Council on 5 February 2010.

Following the examination by the Working Party on Structural Measures, during which it was

• 3. 

  DE delegation maintains its reservation on formal final adoption of the Regulation by the

Council due to pending internal national procedures linked with the legal base of the proposal.

This does not, however, in this particular case, preclude the Committee of Permanent

Representatives from agreement at this stage to proceed with a letter to the European

Parliament confirming the political agreement on this proposal.

• 4. 

  The European Parliament's Committee on Regional Development adopted its report on the

Commission proposal on 3 June 2010. The amendment adopted by the Committee follows the

text of the general approach agreed by the Committee of Permanent Representatives, as

mentioned above.

• 5. 

  It is therefore suggested that the Permanent Representatives Committee:
• - 

  confirms that the Presidency can indicate to the European Parliament that, should

the European Parliament adopt the amendment to the Commission proposal, as set

out in the Annex to the attached draft letter, the Commission proposal thus

amended would be acceptable to the Council.

________________________

ANNEX I

DRAFT

Brussels, xx June 2010

Mrs Danuta Hübner Chair, European Parliament Committee on Regional Development BRUSSELS

Subject: Proposal for a Regulation of the European Parliament and of the Council concerning

European Union financial contributions to the International Fund for Ireland (2007- 2010)

Dear Mrs Hübner,

Following the informal contacts with the European Parliament, a draft overall compromise package

with regard to the above-mentioned Commission proposal was agreed today by the Permanent

Representatives' Committee.

I am therefore now in a position to confirm that, should the European Parliament adopt the

amendments to the Commission proposal in the exact form as set out in the compromise package

contained in the Annex to this letter, the Council would, in accordance with Articles 294 and 352 of

the Treaty on the Functioning of the European Union, and subject to necessary parliamentary

procedures in the Member States, adopt the proposed Regulation in the form of the text thus

amended subject, if necessary, to revision by the legal linguists of both institutions.

On behalf of the Council I also wish to thank you for your close cooperation, which should enable

ANNEX TO ANNEX I

Proposal for a

REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL

concerning European Union financial contributions to the International Fund for Ireland

(2007-2010)

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty on the Functioning of the European Union, and in particular Article 175

and Article 352 (1) thereof,

Having regard to the proposal from the European Commission1,

Having regard to the opinion of the Committee of the Regions2,

Having regard to the opinion of the European Economic and Social Committee3,

After transmission of the proposal to the national Parliaments,

Acting in accordance with the procedures laid down in Article 294 and in Article 352 (1) of the

Treaty,

Whereas:

(1) The International Fund for Ireland (hereinafter "the Fund") was established in 1986 by the

(2) The Union, recognising that the objectives of the Fund are a reflection of those pursued by

itself, has provided financial contributions to the Fund from 1989. For the period 2005 to

2006 EUR 15 million was committed from the Community budget for each of the years

2005 and 2006 in accordance with Council Regulation (EC) No 177/2005 of 24 January

2005 on Community financial contributions to the International Fund for Ireland4. That

Regulation expired on 31 December 2006.

(3) The assessments carried out in accordance with Article 5 of Regulation (EC) No 177/2005

have confirmed the need for further support for activities of the Fund, while continuing

reinforcing synergy of objectives and co-ordination with Structural Funds interventions, in

particular with the Special Programme for Peace and Reconciliation in Northern Ireland and

the Border Counties of Ireland (hereinafter "the PEACE programme") set up in accordance

with Council Regulation (EC) No 1260/1999 of 21 June 1999 laying down general

provisions on the Structural Funds5.

(4) The peace process in Northern Ireland requires a continuation of Union support to the Fund

beyond 31 December 2006. In recognition of the special effort for the peace process, the

PEACE programme has been allocated additional support from the Structural Funds for the

period 2007 to 2013 pursuant to paragraph 22 of Annex II to Council Regulation (EC) No

1083/2006 laying down general provisions on the European Regional Development Fund,

the European Social Fund and the Cohesion Fund and repealing Regulation (EC) No

(6) The main purpose of this Regulation is to support peace and reconciliation through a wider

range of activities than those covered by the Structural Funds, and which extend beyond the

scope of the Union policy on economic and social cohesion.

(7) The Union contributions to the Fund should take the form of financial contributions for the

years 2007, 2008, 2009 and 2010, thus terminating at the same time as the life of the Fund.

(8) In allocating the Union contributions, the Fund should give priority to projects of a cross-

border or cross-community nature, in such a way as to complement the activities funded by

the PEACE programme for the period 2007 to 2010.

(9) In accordance with the Agreement, all financial contributors to the Fund participate as

observers at the meetings of the Board of the International Fund for Ireland.

(10) It is vital to ensure proper co-ordination between the activities of the Fund and those

financed under the Structural Funds provided for by Article 175 of the Treaty, in particular

the PEACE programme.

(11) A financial reference amount, within the meaning of Point 38 of the Interinstitutional

Agreement of 17 May 2006 between the European Parliament, the Council and the

Commission on budgetary discipline and sound financial management7 should be inserted in

this Regulation for the entire duration of the programme, without the powers of the

(14) The Union support will contribute to reinforcing solidarity between the Member States and

between their peoples.

(15) Assistance from the Fund should be regarded as effective only in so far as it brings about

sustainable economic and social improvement and is not used as a substitute for other public

or private expenditure.

(16) Council Regulation (EC) No 1968/2006 of 21 December 2006 concerning Community

financial contributions to the International Fund for Ireland (2007 to 2010)8 established the

financial reference amount for the implementation of the Fund for the period 2007 to 2010.

(17) In its judgement of 3 September 2009 in Case C-166/07 (European Parliament v Council

and Commission)9 the Court of Justice of the European Communities annulled Regulation

(EC) No 1968/2006 as it was based only on Article 308 of the Treaty establishing the

European Community, ruling that both the third paragraph of Article 159 of the Treaty

establishing the European Community and Article 308 of the Treaty establishing the

European Community were the appropriate legal basis. However, the Court also ruled that

the effects of Regulation (EC) No 1968/2006 were maintained until the entry into force,

within a reasonable period, of a new regulation adopted on an appropriate legal basis and

that the annulment of Regulation (EC) No 1968/2006 must not affect the validity of

payments made or of undertakings given under that Regulation. In this respect it is necessary

HAVE ADOPTED THIS REGULATION:

Article 1

The financial reference amount for the implementation of the International Fund for Ireland

(hereinafter "the Fund") for the period 2007-2010 shall be EUR 60 million.

Annual appropriations shall be authorised by the budgetary authority within the limit of the

financial framework.

Article 2

The contributions shall be used by the Fund in accordance with the Agreement of 18 September

1986 between the Government of Ireland and the Government of the United Kingdom of Great

Britain and Northern Ireland concerning the International Fund for Ireland (hereinafter "the

Agreement").

In allocating the contributions the Fund shall give priority to projects of a cross-border or cross-

community nature, in such a way as to complement the activities financed by the Structural Funds,

and especially those of the PEACE programme operating in Northern Ireland and the Border

Counties of Ireland (hereinafter "the PEACE Programme").

The contributions shall be used in such a way as to bring about sustainable economic and social

improvement in the areas concerned. It shall not be used as a substitute for other public and private

expenditure.

Article 5

The Commission shall, in co-operation with the Board of the Fund, determine appropriate publicity

and information procedures in order to publicise the Union contributions to the projects financed by

the Fund.

Article 6

By 30 June 2008 at the latest, the Fund shall submit to the Commission its strategy for the closure

of the activities of the Fund, including:

(a) an action plan with projected payments and a foreseen winding up date;

(b) a de-commitment procedure;

(c) the treatment of any residual amounts and interest received at the closure of the Fund.

Subsequent payments to the Fund are conditional on the Commission's approval of the closure

strategy. If the strategy for closure is not submitted by 30 June 2008, payments to the Fund shall be

interrupted until the strategy is received.

Article 7

• 1. 

  The Commission shall administer the contributions.

Subject to paragraph 2 the annual contribution shall be paid in instalments as follows:

• 2. 

  Before paying out an instalment the Commission shall carry out an assessment of the Fund's

financial needs on the basis of the Fund's cash balance at the time scheduled for each payment. If

following that assessment, the Fund's financial needs do not justify payment of one of those

instalments, the payment concerned shall be suspended. The Commission shall review that decision

on the basis of new information provided by the Fund and shall continue payments as soon as they

are considered justified.

Article 8

A contribution from the Fund may be allocated to an operation which receives or is due to receive

financial assistance under a Structural Funds intervention, only if the sum of that financial

assistance plus 40% of the contribution from the Fund does not exceed 75% of the operation's total

eligible costs.

Article 9

A final report shall be submitted to the Commission six months before the winding up date foreseen

in the strategy for closure referred in point (a) of the first paragraph of Article 6 or six months after

the last Union payment, whichever happens first, and shall include all the necessary information

that enables the Commission to evaluate the implementation of the assistance and the attainment of

the objectives.

Article 12

This Regulation shall enter into force on the [...] day following that of its publication in the Official

Journal of the European Union.

Article 6 shall apply from 1 January 2007.

This Regulation shall expire on 31 December 2010.

This Regulation shall be binding in its entirety and directly applicable in all Member States.

Done at Brussels, [...]

For the European Parliament For the Council

The President The President

[...] [...]

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