# C_2008311EN.01017201.xml

| 5.12.2008 | EN | Official Journal of the European Union | C 311/172 |
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5.12.2008

EN

Official Journal of the European Union

C 311/172

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REPORT

REPORT

on the annual accounts of the Community Plant Variety Office for the financial year 2007 together with the Office's replies

(2008/C 311/25)

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 Office's replies

The Office's replies

INTRODUCTION

| 1. | The Community Plant Variety Office (hereinafter the Office) was created by Council Regulation (EC) No 2100/94 of 27 July 1994 (1). Its main task is to register and examine applications for the grant of Community industrial property rights for plant varieties and to ensure that the necessary technical examinations are carried out by the competent offices in the Member States. |
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1.

The Community Plant Variety Office (hereinafter the Office) was created by Council Regulation (EC) No 2100/94 of 27 July 1994 (1). Its main task is to register and examine applications for the grant of Community industrial property rights for plant varieties and to ensure that the necessary technical examinations are carried out by the competent offices in the Member States.

1

| 2. | Table 1 summarises the Office's competences and activities. Key data taken from the financial statements drawn up by the Office 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 Office's competences and activities. Key data taken from the financial statements drawn up by the Office 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 Administrative Council of the Office in accordance with Article 111 of Council Regulation (EC) No 2100/94. |
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3.

This Statement is addressed to the Administrative Council of the Office in accordance with Article 111 of Council Regulation (EC) No 2100/94.

| 4. | The Office's accounts for the financial year ended 31 December 2007 (2) were drawn up by its President, pursuant to Article 112 of Regulation (EC) No 2100/94, and sent to the Court, which is required to give a Statement of Assurance on their reliability and on the legality and regularity of the underlying transactions. |
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4.

The Office's accounts for the financial year ended 31 December 2007 (2) were drawn up by its President, pursuant to Article 112 of Regulation (EC) No 2100/94, and sent to the Court, which is required to give a Statement of Assurance on their reliability and on the legality and regularity of the underlying transactions.

2

| 5. | The Court conducted its audit in accordance with the IFAC and ISSAI (3) 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 (3) 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.

3

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

  Reliability of the accountsThe Office'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 Office's annual accounts, taken as a whole, are legal and regular.The observation which follow do not call the Court's Statement into question. |
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6.

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

Reliability of the accountsThe Office'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 Office's annual accounts, taken as a whole, are legal and regular.The observation which follow do not call the Court's Statement into question.

Reliability of the accountsThe Office'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 Office's annual accounts, taken as a whole, are legal and regular.The observation which follow do not call the Court's Statement into question.

OBSERVATION

| 7. | In order to obtain higher interest than on a standard savings account, the Office bought shares in investment funds for 3 to 6 months for amounts varying from 2 to 10 million euro (4). In February 2007, it also invested 5 million euro in a two-year investment fund. The Office should adopt a treasury management policy before investing in such financial instruments. |
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7.

In order to obtain higher interest than on a standard savings account, the Office bought shares in investment funds for 3 to 6 months for amounts varying from 2 to 10 million euro (4). In February 2007, it also invested 5 million euro in a two-year investment fund. The Office should adopt a treasury management policy before investing in such financial instruments.

4

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 227, 1.9.1994, p. 27.

1

(2)  These accounts were drawn up on 27 June 2008 and received by the Court on 1 July 2008.

2

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

3

(4)  At the year-end 2007, all those investments had been settled.

4

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Table 1

Community Plant Variety Office (Angers)

| Areas of Community competence deriving from the Treaty | Competences of the Office as defined in Council Regulation (EC) No 2100/94 | Governance | Resources made available to the Office in 2007

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

  (Data for 2006) |
| --- | --- | --- | --- | --- |
| Free movement of goods

  Prohibitions or restrictions justified on grounds of the protection of industrial and commercial property shall not constitute a means of arbitrary discrimination or a disguised restriction on trade between the Member States.

  (Extract from Article 30 of the Treaty) | Objectives







  — | To apply the system of Community plant variety rights as the sole and exclusive form of Community industrial property rights for plant varieties. |

Areas of Community competence deriving from the Treaty

Competences of the Office as defined in Council Regulation (EC) No 2100/94

Governance

Resources made available to the Office in 2007

(Data for 2006)

Products and services supplied in 2007

(Data for 2006)

Free movement of goods

Prohibitions or restrictions justified on grounds of the protection of industrial and commercial property shall not constitute a means of arbitrary discrimination or a disguised restriction on trade between the Member States.

(Extract from Article 30 of the Treaty)

Objectives

—

To apply the system of Community plant variety rights as the sole and exclusive form of Community industrial property rights for plant varieties.

Tasks

| — | To decide whether to refuse or grant applications for Community plant variety rights. |
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—

To decide whether to refuse or grant applications for Community plant variety rights.

| — | To decide on objections. |
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—

To decide on objections.

| — | To decide on appeals. |
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—

To decide on appeals.

| — | To decide on the revocation or cancellation of a Community plant variety right. |
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—

To decide on the revocation or cancellation of a Community plant variety right.

1.   The President

Directs the Office. He is appointed by the Council from a list of candidates proposed by the Commission after obtaining the opinion of the Administrative Council.

2.   The Administrative Council

Oversees the Office's work programme and draws up rules governing the Office's working methods. It is composed of one representative of each MemberState and one representative of the Commission, plus their alternates.

| 3. | Decisions regarding the grant of Community plant variety rights are adopted by Committees composed of three members of staff of the Office and by the Board of Appeal in appeal proceedings. |
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3.

Decisions regarding the grant of Community plant variety rights are adopted by Committees composed of three members of staff of the Office and by the Board of Appeal in appeal proceedings.

4.   Control of the legality of the Office's acts

Review by the Commission of the legality of the acts of the Office's President in respect of which Community law does not provide for any control on legality by another body and of the acts of the Administrative Council relating to the Office's budget.

5.   External audit

Court of Auditors.

6.   Discharge authority

Administrative Council.

Final budget:

13,4 (13,0) million euro

Staff numbers as at 31 December 2007:

Number of posts in establishment plan: 42 (41)

Posts occupied: 42 (41)

+2,5 (4) other posts (auxiliary contracts, national experts on secondment, local staff, employment-agency staff)

Total staff: 44,5 (45)

Assigned to the following duties:

Operational: 17,5

Administrative: 21

Mixed: 6

Applications heard: 2 977 (2 751)

Rights granted: 2 616 (2 289)

Community rights in force at 31 December 2007: 14 598 (12 933)

Source: Information supplied by the Office.

Table 2

Community Plant Variety Office (Angers) — Budget implementation for the financial year 2007

| (1000 euro) |
| --- |
| Revenue | Expenditure |
| Source of revenue | Revenue entered in the final budget for the financial year (1) | Revenue collected | Allocation of expenditure | Final budget appropriations | Appropriations carried over from the previous financial year |
| entered | committed | paid | carried over | cancelled | available | paid | cancelled |
| Own revenue | 8 991 | 8 999 | Title I
  Staff (NDA) | 4 857 | 4 556 | 4 508 | 48 | 301 | 53 | 51 | 2 |
| Accumulated surplus | 3 545 | 0 |
| Community subsidies | 172 | 0 | Title II
  Administration (NDA) | 2 857 | 2 477 | 997 | 1 481 | 380 | 852 | 408 | 444 |
| Other revenue | 707 | 575 | Title III | — CA | 6 896 | 5 458 | | 0 | 1 438 | — | | — |
| Operating activities (DA) | — PA | 5 701 | | 5 161 | 0 | 540 | | | |
| Total | 13 415 | 9 574 | Total CA | 14 610 | 12 492 | 5 505 | 1 528 | 2 118 | — | — | — |
| Total PA | 13 415 | 7 033 | 10 666 | 1 528 | 1 221 | 905 | 459 | 446 |
| NDA | : | non-differentiated appropriations (commitment appropriations equal payment appropriations). |
| DA | : | differentiated appropriations (commitment appropriations may differ from payment appropriations). |
| CA | : | commitment appropriations in a system of differentiated appropriations. |
| PA | : | payment appropriations in a system of differentiated appropriations. |

(1000 euro)

Revenue

Expenditure

Source of revenue

Revenue entered in the final budget for the financial year (1)

Revenue collected

Allocation of expenditure

Final budget appropriations

Appropriations carried over from the previous financial year

entered

committed

paid

carried over

cancelled

available

paid

cancelled

Own revenue

8 991

8 999

Title I

Staff (NDA)

4 857

4 556

4 508

48

301

53

51

2

Accumulated surplus

3 545

0

Community subsidies

172

0

Title II

Administration (NDA)

2 857

2 477

997

1 481

380

852

408

444

Other revenue

707

575

Title III

— CA

6 896

5 458

0

1 438

—

—

Operating activities (DA)

— PA

5 701

5 161

0

540

Total

13 415

9 574

Total CA

14 610

12 492

5 505

1 528

2 118

—

—

—

Total PA

13 415

7 033

10 666

1 528

1 221

905

459

446

NDA

:

non-differentiated appropriations (commitment appropriations equal payment appropriations).

DA

:

differentiated appropriations (commitment appropriations may differ from payment appropriations).

CA

:

commitment appropriations in a system of differentiated appropriations.

PA

:

payment appropriations in a system of differentiated appropriations.

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

Table 3

Community Plant Variety Office (Angers) — Economic outturn account for the financial years 2007 and 2006

| (1000 euro) |
| --- |
| | 2007 | 2006 |
| Operating revenue |
| Fees collected | 8 983 | 8 844 |
| Other revenue | 387 | 29 |
| Total (a) | 9 370 | 8 873 |
| Operating expenditure |
| Staff expenditure | 4 554 | 4 398 |
| Fixed-asset-related expenditure | 184 | 191 |
| Other administrative expenditure | 1 130 | 1 031 |
| Operational expenditure | 4 814 | 4 535 |
| Total (b) | 10 682 | 10 155 |
| Surplus/(deficit) from operating activities (c = a – b) | –1 312 | –1 282 |
| Revenue from financial operations (e) | 602 | 495 |
| Expenditure on financial operations (f) | 8 | 0 |
| Surplus/(deficit) from non-operating activities (g = e – f) | 594 | 495 |
| Extraordinary income | 0 | 7 |
| Extraordinary expenditure | 7 | 38 |
| Surplus/(deficit) from extraordinary activities | –7 | –31 |
| Economic result for the year | – 725 | – 818 |
| Source: Data supplied by the Office. This table summarises the data provided by the Office in its annual accounts: these accounts are drawn up on an accrual basis. |

(1000 euro)

2007

2006

Operating revenue

Fees collected

8 983

8 844

Other revenue

387

29

Total (a)

9 370

8 873

Operating expenditure

Staff expenditure

4 554

4 398

Fixed-asset-related expenditure

184

191

Other administrative expenditure

1 130

1 031

Operational expenditure

4 814

4 535

Total (b)

10 682

10 155

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

–1 312

–1 282

Revenue from financial operations (e)

602

495

Expenditure on financial operations (f)

8

0

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

594

495

Extraordinary income

0

7

Extraordinary expenditure

7

38

Surplus/(deficit) from extraordinary activities

–7

–31

Economic result for the year

– 725

– 818

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

Table 4

Community Plant Variety Office (Angers) — Balance sheet at 31 December 2007 and 2006

| (1000 euro) |
| --- |
| | 2007 | 2006 |
| Non-current assets |
| Intangible fixed assets | 269 | 43 |
| Tangible fixed assets | 3 677 | 3 316 |
| Financial fixed assets | 5 003 | 3 |
| Current assets |
| Short-term receivables | 2 644 | 1 866 |
| Cash and cash equivalents | 11 905 | 18 487 |
| Total assets | 23 498 | 23 715 |
| Accounts payable | 8 591 | 8 342 |
| Total liabilities | 8 591 | 8 342 |
| Net assets | 14 907 | 15 373 |
| Reserve |
| Accumulated surplus/deficit | 15 373 | 16 191 |
| Provisions for risks and liabilities | 259 | 0 |
| Economic result for the year | – 725 | – 818 |
| Net capital | 14 907 | 15 373 |
| Source: Data supplied by the Office. This table summarises the data provided by the Office in its annual accounts: these accounts are drawn up on an accrual basis. |

(1000 euro)

2007

2006

Non-current assets

Intangible fixed assets

269

43

Tangible fixed assets

3 677

3 316

Financial fixed assets

5 003

3

Current assets

Short-term receivables

2 644

1 866

Cash and cash equivalents

11 905

18 487

Total assets

23 498

23 715

Accounts payable

8 591

8 342

Total liabilities

8 591

8 342

Net assets

14 907

15 373

Reserve

Accumulated surplus/deficit

15 373

16 191

Provisions for risks and liabilities

259

0

Economic result for the year

– 725

– 818

Net capital

14 907

15 373

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

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(1)  The published budget states 13 405 (000) as total revenue and 13 399 (000) as total payment appropriations. The correct amount, however, should have been 13 415 (000). This table works with the correct amounts.

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

PA

:

payment appropriations in a system of differentiated appropriations.

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

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THE OFFICE'S REPLIES

| 7. | The Office takes note of the observation. Investment decisions were made on basis of analysis and information presented by the accountant to management. The latter co-signed all subscription orders.
  From October 2007 onward, available treasury has been invested only in fixed term accounts. The Office will formalise a treasury management policy. |
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7.

The Office takes note of the observation. Investment decisions were made on basis of analysis and information presented by the accountant to management. The latter co-signed all subscription orders.

From October 2007 onward, available treasury has been invested only in fixed term accounts. The Office will formalise a treasury management policy.

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