# C_2008311EN.01013001.xml

| 5.12.2008 | EN | Official Journal of the European Union | C 311/130 |
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5.12.2008

EN

Official Journal of the European Union

C 311/130

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REPORT

REPORT

on the annual accounts of the European Centre for the Development of Vocational Training for the financial year 2007 together with the Centre's replies

(2008/C 311/19)

CONTENTS

| 1-2 | INTRODUCTION |
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1-2

| 3-6 | STATEMENT OF ASSURANCE |
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3-6

| 7 | OBSERVATION |
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7

Tables 1 to 4

The Centre's replies

The Centre's replies

INTRODUCTION

| 1. | The European Centre for the Development of Vocational Training (hereinafter the Centre) was established by Council Regulation (EEC) No 337/75 (1). Its core mandate is to serve the development of vocational training at Community level. In order to achieve this objective, it has the task of compiling and disseminating documentation on vocational training systems. |
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1.

The European Centre for the Development of Vocational Training (hereinafter the Centre) was established by Council Regulation (EEC) No 337/75 (1). Its core mandate is to serve the development of vocational training at Community level. In order to achieve this objective, it has the task of compiling and disseminating documentation on vocational training systems.

1

| 2. | Table 1 summarises the Centre's competences and activities. Key data summarised from the financial statements drawn up by the Centre for the financial year 2007 are presented in Tables 2, 3 and 4 for information purposes. |
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2.

Table 1 summarises the Centre's competences and activities. Key data summarised from the financial statements drawn up by the Centre for the financial year 2007 are presented in Tables 2, 3 and 4 for information purposes.

Table 1

Tables 2, 3 and 4

STATEMENT OF ASSURANCE

| 3. | This statement is addressed to the European Parliament and the Council in accordance with Article 185(2) of Council Regulation (EC, Euratom) No 1605/2002 (2); it was drawn up following an examination of the Centre's accounts, as required by Article 248 of the Treaty establishing the European Community. |
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3.

This statement is addressed to the European Parliament and the Council in accordance with Article 185(2) of Council Regulation (EC, Euratom) No 1605/2002 (2); it was drawn up following an examination of the Centre's accounts, as required by Article 248 of the Treaty establishing the European Community.

2

| 4. | The Centre's accounts for the financial year ended 31 December 2007 (3) were drawn up by its Director, pursuant to Article 12(a) of Regulation (EEC) No 337/75, and sent to the Court, which is required to provide a statement as to their reliability and the legality and regularity of the underlying transactions. |
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4.

The Centre's accounts for the financial year ended 31 December 2007 (3) were drawn up by its Director, pursuant to Article 12(a) of Regulation (EEC) No 337/75, and sent to the Court, which is required to provide a statement as to their reliability and the legality and regularity of the underlying transactions.

3

| 5. | The Court conducted its audit in accordance with the IFAC and ISSAI (4) International Auditing Standards and Codes of Ethics, in so far as these are applicable in the European Community context. The audit was planned and performed to obtain reasonable assurance that the accounts are reliable and that the underlying transactions are legal and regular. |
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5.

The Court conducted its audit in accordance with the IFAC and ISSAI (4) International Auditing Standards and Codes of Ethics, in so far as these are applicable in the European Community context. The audit was planned and performed to obtain reasonable assurance that the accounts are reliable and that the underlying transactions are legal and regular.

4

| 6. | The Court has thus obtained a reasonable basis for the following Statement set out below:

  Reliability of the accountsThe Centre's accounts for the financial year ended 31 December 2007 are, in all material respects, reliable.Legality and regularity of the underlying transactionsThe transactions underlying the Centre's annual accounts, taken as a whole, are legal and regular.The observation which follows does not call the Court's Statement into question. |
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6.

The Court has thus obtained a reasonable basis for the following Statement set out below:

Reliability of the accountsThe Centre's accounts for the financial year ended 31 December 2007 are, in all material respects, reliable.Legality and regularity of the underlying transactionsThe transactions underlying the Centre's annual accounts, taken as a whole, are legal and regular.The observation which follows does not call the Court's Statement into question.

Reliability of the accountsThe Centre's accounts for the financial year ended 31 December 2007 are, in all material respects, reliable.Legality and regularity of the underlying transactionsThe transactions underlying the Centre's annual accounts, taken as a whole, are legal and regular.The observation which follows does not call the Court's Statement into question.

OBSERVATION

| 7. | The Centre's 2007 budget amounted to 17,4 million euro, as compared with 17,6 million euro the previous year. The Centre's 2007 work programme lists the planned activities for each specific objective with a detailed description of outputs to be delivered. Objectives and performance indicators are often not measurable which makes it difficult to assess achievements. If it wishes its budget to be genuinely activity-based, the Centre should define precise objectives and improve its programming. The programming should establish a clear and consistent link between the set objectives and the implementation of the budgetary resources needed to achieve them. |
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7.

The Centre's 2007 budget amounted to 17,4 million euro, as compared with 17,6 million euro the previous year. The Centre's 2007 work programme lists the planned activities for each specific objective with a detailed description of outputs to be delivered. Objectives and performance indicators are often not measurable which makes it difficult to assess achievements. If it wishes its budget to be genuinely activity-based, the Centre should define precise objectives and improve its programming. The programming should establish a clear and consistent link between the set objectives and the implementation of the budgetary resources needed to achieve them.

This report was adopted by the Court of Auditors in Luxembourg at its meeting of 18 September 2008.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

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(1)  OJ L 39, 13.2.1975, p. 1.

1

(2)  OJ L 248, 16.9.2002, p. 1.

2

(3)  These accounts were drawn up on 17 June 2008 and received by the Court on 3 July 2008.

3

(4)  International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

4

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Table 1

European Centre for the Development of Vocational Training (Cedefop) — Thessaloniki

| Area of Community competence deriving from the Treaty | Competence of the Centre as specified in Articles 2 and 3 of Council Regulation (EEC) No 337/75 | Governance | Resources made available to the Centre in 2007

  (Data for 2006) | Products and services supplied in 2007

  (Data for 2006) |
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| The Community implements a vocational training policy to support and supplement the action of the Member States as regards the content and organisation of vocational training.
  Action aims to:






  — | facilitate adaptation to industrial changes, in particular through vocational training and retraining; |

Area of Community competence deriving from the Treaty

Competence of the Centre as specified in Articles 2 and 3 of Council Regulation (EEC) No 337/75

Governance

Resources made available to the Centre in 2007

(Data for 2006)

Products and services supplied in 2007

(Data for 2006)

The Community implements a vocational training policy to support and supplement the action of the Member States as regards the content and organisation of vocational training.

Action aims to:

—

facilitate adaptation to industrial changes, in particular through vocational training and retraining;

| — | improve initial and continuing vocational training in order to facilitate vocational integration and reintegration into the labour market; |
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—

improve initial and continuing vocational training in order to facilitate vocational integration and reintegration into the labour market;

| — | facilitate access to vocational training and encourage mobility of instructors and trainees and particularly young people; |
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—

facilitate access to vocational training and encourage mobility of instructors and trainees and particularly young people;

| — | stimulate cooperation on training between educational or training establishments and firms; |
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—

stimulate cooperation on training between educational or training establishments and firms;

| — | develop exchanges of information and experience on issues common to the training systems of the member States. |
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—

develop exchanges of information and experience on issues common to the training systems of the member States.

(From Article 150 of the Treaty)

The Centre's mandate

In its capacity as a European Union reference centre for vocational training and education, Cedefop provides political decision-makers, researchers and professionals with information aimed at developing a clearer understanding of current trends that will thus enable them to reach more soundly based decisions with a view to future action.

Cedefop assists the European Commission in promoting and developing vocational training and education at Community level.

Tasks

| — | To compile selected documentation and produce data analysis; |
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—

To compile selected documentation and produce data analysis;

| — | To contribute to research development and coordination; |
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—

To contribute to research development and coordination;

| — | To utilise and disseminate relevant information; |
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—

To utilise and disseminate relevant information;

| — | To encourage and support a concerted approach to matters relating to the development of vocational training; |
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—

To encourage and support a concerted approach to matters relating to the development of vocational training;

| — | To provide a forum for a broad and diverse public. |
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—

To provide a forum for a broad and diverse public.

1.   Governing Board (GB)

Consisting of:

For each Member State:

| — | one member representing the Government; |
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—

one member representing the Government;

| — | one member representing the employers' organisations; |
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—

one member representing the employers' organisations;

| — | one member representing the employees' organisations and three members representing the European Commission. |
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—

one member representing the employees' organisations and three members representing the European Commission.

2.   Bureau

Made up of:

The chairman and the three vice-chairmen of the GB (one from each of the groups), one coordinator per group and one representative of the Commission.

3.   Director

Appointed by the Commission from a list of candidates submitted by the Governing Board; is responsible for the management of the Centre and implements the decisions of the Governing Board and the Bureau.

4.   Internal control

Commission's Internal Audit Service.

5.   External audit

Court of Auditors.

6.   Discharge authority

Parliament acting on recommendation from the Council.

Budget:

17,4 million euro (17,6 million euro)

Community contribution: 96 % (95 % )

Staff numbers at 31 December 2007:

Number of posts in establishment plan: 97 (95)

Posts occupied: 89 (81)

Other staff: contract staff,

seconded national experts.

Total staff: 128 (123)

assigned to the following duties:

operational: 89 (84)

administrative: 39 (34)

mixed: 0 (5)

| — | Conferences and seminars: 11 (24); |
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—

Conferences and seminars: 11 (24);

| — | Workshops: 82 (24); |
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—

Workshops: 82 (24);

| — | Visits/presentations: 24 (21); |
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—

Visits/presentations: 24 (21);

| — | Studies: 14 (35) + 23 grant procedures for ReferNet; |
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—

Studies: 14 (35) + 23 grant procedures for ReferNet;

| — | Projects: 40 (36) (of which 8 (2) administrative) plus 13 (15) virtual communities (of which 3 (1) administrative); |
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—

Projects: 40 (36) (of which 8 (2) administrative) plus 13 (15) virtual communities (of which 3 (1) administrative);

| — | Participation in: Helsinki follow-up and preparation for the ministerial meeting in Bordeaux 2008, Education and Training 2010 programme, Leonardo da Vinci programme and transition to Lifelong Learning programme, social partners' joint action framework, Advisory Committee for Vocational Training, Directors-General for Vocational Training, Education and Training 2010 Coordination Group; |
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—

Participation in: Helsinki follow-up and preparation for the ministerial meeting in Bordeaux 2008, Education and Training 2010 programme, Leonardo da Vinci programme and transition to Lifelong Learning programme, social partners' joint action framework, Advisory Committee for Vocational Training, Directors-General for Vocational Training, Education and Training 2010 Coordination Group;

| — | Publications: 34 (43); |
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—

Publications: 34 (43);

| — | 3 (3) issues of Cedefop info; |
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—

3 (3) issues of Cedefop info;

| — | 3 (3) issues of the European journal on vocational training; |
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—

3 (3) issues of the European journal on vocational training;

| — | Circulation of documents: 8 477 (8 733) on request, 1 565 (1 774) subscriptions to the European journal, 8 490 (8 498) subscriptions to Cedefop info; |
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—

Circulation of documents: 8 477 (8 733) on request, 1 565 (1 774) subscriptions to the European journal, 8 490 (8 498) subscriptions to Cedefop info;

| — | Electronic publications: 3 364 (3 324) subscriptions to ETV newsletter, 4 000 000 (3 583 478) number of ETV page views, 5 841 (7 553) registered members in the virtual communities, 769 (844) participants in the study visits programme. |
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—

Electronic publications: 3 364 (3 324) subscriptions to ETV newsletter, 4 000 000 (3 583 478) number of ETV page views, 5 841 (7 553) registered members in the virtual communities, 769 (844) participants in the study visits programme.

Source: Information supplied by the Centre.

Table 2

European Centre for the Development of Vocational Training (Cedefop) — Thessaloniki — Implementation of the budget for the financial year 2007

| (1000 euro) |
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| Revenue | Expenditure |
| Source of revenue | Revenue entered in the final budget for the financial year | Revenue collected | Allocation of expenditure | Appropriations for the Financial Year | Appropriations carried over from the previous financial year |
| entered | committed | paid | carried over | cancelled | available | committed | paid | carried over | cancelled |
| Community subsidy | 16 730 | 16 317 | Title I
  Staff (NDA) | 9 631 | 9 000 | 8 694 | 306 | 631 | 338 | 338 | 240 | 0 | 98 |
| Other revenue | 125 | 96 |
| | | | Title II
  Administration (NDA) | 2 049 | 1 754 | 808 | 1 096 | 145 | 559 | 559 | 519 | 0 | 40 |
| | | | Title III
  Operating activities (DA) | | | | | | | | | | |
| — CA | 5 150 | 4 805 | | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| — PA | 5 175 | | 4 869 | 99 | 207 | 0 | 0 | 0 | 0 | 0 |
| Assigned revenue (1) | 544 | 494 | Assigned revenue | 544 | 82 | 19 | 525 | 0 | 916 | 446 | 227 | 551 | 138 |
| Total | 17 399 | 16 907 | Total CA | 17 374 | 15 641 | | 1 927 | 775 | 1 813 | 1 343 | | 551 | 276 |
| Total PA | 17 399 | | 14 390 | 2 026 | 983 | 1 813 | | 986 | 551 | 276 |
| NDA | : | non-differentiated appropriations (commitment appropriations equal payment appropriations) |
| DA | : | differentiated appropriations (commitment appropriations may differ from payment appropriations) |
| CA | : | commitment appropriations in the context of differentiated appropriations |
| PA | : | payment appropriations in the context of differentiated appropriations |

(1000 euro)

Revenue

Expenditure

Source of revenue

Revenue entered in the final budget for the financial year

Revenue collected

Allocation of expenditure

Appropriations for the Financial Year

Appropriations carried over from the previous financial year

entered

committed

paid

carried over

cancelled

available

committed

paid

carried over

cancelled

Community subsidy

16 730

16 317

Title I

Staff (NDA)

9 631

9 000

8 694

306

631

338

338

240

0

98

Other revenue

125

96

Title II

Administration (NDA)

2 049

1 754

808

1 096

145

559

559

519

0

40

Title III

Operating activities (DA)

— CA

5 150

4 805

0

0

0

0

0

0

0

— PA

5 175

4 869

99

207

0

0

0

0

0

Assigned revenue (1)

544

494

Assigned revenue

544

82

19

525

0

916

446

227

551

138

Total

17 399

16 907

Total CA

17 374

15 641

1 927

775

1 813

1 343

551

276

Total PA

17 399

14 390

2 026

983

1 813

986

551

276

NDA

:

non-differentiated appropriations (commitment appropriations equal payment appropriations)

DA

:

differentiated appropriations (commitment appropriations may differ from payment appropriations)

CA

:

commitment appropriations in the context of differentiated appropriations

PA

:

payment appropriations in the context of differentiated appropriations

Source: Data supplied by the Centre. This table summarises data provided by the Centre in its Annual Accounts. Revenue collected and payments are estimated on a cash basis.

Table 3

European Centre for the Development of Vocational Training (Cedefop) — Thessaloniki — Economic outturn account for the financial years 2007 and 2006

| (1000 euro) |
| --- |
| | 2007 | 2006 |
| Operating revenue |
| Community subsidies | 15 707 | 14 146 |
| Other subsidies | 396 | 457 |
| Other revenues | 373 | 279 |
| Total (a) | 16 476 | 14 882 |
| Operating expenditure |
| Staff expenditure | 9 041 | 8 166 |
| Fixed asset related expenditure | 460 | 480 |
| Other administrative expenditure | 1 429 | 1 181 |
| Operational expenditure | 5 290 | 4 340 |
| Total (b) | 16 220 | 14 167 |
| Surplus/(deficit) from operating activities (c = a – b) | 256 | 715 |
| Financial operations revenue (e) | 0 | 0 |
| Financial operations expenditure (f) | 3 | 4 |
| Surplus/(deficit) from non-operating activities (g = e – f) | –3 | –4 |
| Economic result for the year (h = c + g) | 253 | 711 |
| Source: Data supplied by the Centre — This table summarises the data provided by the Centre in its annual accounts: these accounts are drawn up on an accrual basis. |

(1000 euro)

2007

2006

Operating revenue

Community subsidies

15 707

14 146

Other subsidies

396

457

Other revenues

373

279

Total (a)

16 476

14 882

Operating expenditure

Staff expenditure

9 041

8 166

Fixed asset related expenditure

460

480

Other administrative expenditure

1 429

1 181

Operational expenditure

5 290

4 340

Total (b)

16 220

14 167

Surplus/(deficit) from operating activities (c = a – b)

256

715

Financial operations revenue (e)

0

0

Financial operations expenditure (f)

3

4

Surplus/(deficit) from non-operating activities (g = e – f)

–3

–4

Economic result for the year (h = c + g)

253

711

Source: Data supplied by the Centre — This table summarises the data provided by the Centre in its annual accounts: these accounts are drawn up on an accrual basis.

Table 4

European Centre for the Development of Vocational Training (Cedefop) — Thessaloniki — Balance sheet at 31 December 2007 and 2006

| (1000 euro) |
| --- |
| | 2007 | 2006 |
| Non-current assets |
| Intangible fixed assets | 110 | 92 |
| Tangible fixed assets | 4 621 | 4 887 |
| Long-term receivables | 5 | 5 |
| Current assets |
| Short-term pre-financing | 384 | 552 |
| Stock | 155 | 0 |
| Short-term receivables | 462 | 438 |
| Cash and cash equivalents | 3 763 | 3 919 |
| Total assets | 9 500 | 9 893 |
| Current liabilities |
| Provisions for risks and charges | 412 | 317 |
| Accounts payable | 3 037 | 3 777 |
| Total liabilities | 3 449 | 4 094 |
| Net assets | 6 050 | 5 799 |
| Reserves |
| Accumulated surplus/deficit | 5 798 | 5 088 |
| Economic result for the year | 253 | 711 |
| Net capital | 6 050 | 5 799 |
| Source: Data supplied by the Centre — This table summarises the data provided by the Centre in its annual accounts: these accounts are drawn up on an accrual basis. |

(1000 euro)

2007

2006

Non-current assets

Intangible fixed assets

110

92

Tangible fixed assets

4 621

4 887

Long-term receivables

5

5

Current assets

Short-term pre-financing

384

552

Stock

155

0

Short-term receivables

462

438

Cash and cash equivalents

3 763

3 919

Total assets

9 500

9 893

Current liabilities

Provisions for risks and charges

412

317

Accounts payable

3 037

3 777

Total liabilities

3 449

4 094

Net assets

6 050

5 799

Reserves

Accumulated surplus/deficit

5 798

5 088

Economic result for the year

253

711

Net capital

6 050

5 799

Source: Data supplied by the Centre — This table summarises the data provided by the Centre in its annual accounts: these accounts are drawn up on an accrual basis.

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(1)  For Phare funds of 50 000 euro the recovery order of 2007 was only collected in February 2008.

| NDA | : | non-differentiated appropriations (commitment appropriations equal payment appropriations) |
| --- | --- | --- |
| DA | : | differentiated appropriations (commitment appropriations may differ from payment appropriations) |
| CA | : | commitment appropriations in the context of differentiated appropriations |
| PA | : | payment appropriations in the context of differentiated appropriations |

NDA

:

non-differentiated appropriations (commitment appropriations equal payment appropriations)

DA

:

differentiated appropriations (commitment appropriations may differ from payment appropriations)

CA

:

commitment appropriations in the context of differentiated appropriations

PA

:

payment appropriations in the context of differentiated appropriations

Source: Data supplied by the Centre. This table summarises data provided by the Centre in its Annual Accounts. Revenue collected and payments are estimated on a cash basis.

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THE CENTRE'S REPLY

| 7. | The Centre takes account of the observation of the Court. The Centre is working on a more precise formulation of objectives and performance indicators. For 2008 the Centre introduced an Activity Based Budgeting which establishes a clear link between activities, their objectives and the budgetary resources attributed. |
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7.

The Centre takes account of the observation of the Court. The Centre is working on a more precise formulation of objectives and performance indicators. For 2008 the Centre introduced an Activity Based Budgeting which establishes a clear link between activities, their objectives and the budgetary resources attributed.

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