# L_2016246EN.01029101.xml

| 14.9.2016 | EN | Official Journal of the European Union | L 246/291 |
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14.9.2016

EN

Official Journal of the European Union

L 246/291

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RESOLUTION (EU) 2016/1538 OF THE EUROPEAN PARLIAMENT

of 28 April 2016

with observations forming an integral part of the decision on discharge in respect of the implementation of the budget of the European Monitoring Centre for Drugs and Drug Addiction for the financial year 2014

THE EUROPEAN PARLIAMENT,

| — | having regard to its decision on discharge in respect of the implementation of the budget of the European Monitoring Centre for Drugs and Drug Addiction for the financial year 2014, |
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having regard to its decision on discharge in respect of the implementation of the budget of the European Monitoring Centre for Drugs and Drug Addiction for the financial year 2014,

| — | having regard to Rule 94 of and Annex V to its Rules of Procedure, |
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having regard to Rule 94 of and Annex V to its Rules of Procedure,

| — | having regard to the report of the Committee on Budgetary Control and the opinion of the Committee on Civil Liberties, Justice and Home Affairs (A8-0105/2016), |
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having regard to the report of the Committee on Budgetary Control and the opinion of the Committee on Civil Liberties, Justice and Home Affairs (A8-0105/2016),

| A. | whereas, according to its financial statements, the final budget of the Monitoring Centre for Drugs and Drug Addiction ('the Centre') for the financial year 2014 was EUR 15 675 036 representing a decrease of 3,88 % compared to 2013; whereas 93,4 % of the Centre’s budget derives from the Union budget; |
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A.

whereas, according to its financial statements, the final budget of the Monitoring Centre for Drugs and Drug Addiction ('the Centre') for the financial year 2014 was EUR 15 675 036 representing a decrease of 3,88 % compared to 2013; whereas 93,4 % of the Centre’s budget derives from the Union budget;

| B. | whereas the Court of Auditors ('the Court'), in its report on the annual accounts of the Monitoring Centre for Drugs and Drug Addiction for the financial year 2014 ('the Court's report'), has stated that it has obtained reasonable assurances that the Centre's annual accounts for the financial year 2014 are reliable and that the underlying transactions are legal and regular; |
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B.

whereas the Court of Auditors ('the Court'), in its report on the annual accounts of the Monitoring Centre for Drugs and Drug Addiction for the financial year 2014 ('the Court's report'), has stated that it has obtained reasonable assurances that the Centre's annual accounts for the financial year 2014 are reliable and that the underlying transactions are legal and regular;

Follow-up of 2013 discharge

Follow-up of 2013 discharge

| 1. | Acknowledges that the Centre has taken measures to further reduce the need for the adjustment of technical specifications of tenders, as well as to ensure that all concerned parties are informed more effectively whenever such adjustments are needed, namely via the publication of more explicit notices on its website; |
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1.

Acknowledges that the Centre has taken measures to further reduce the need for the adjustment of technical specifications of tenders, as well as to ensure that all concerned parties are informed more effectively whenever such adjustments are needed, namely via the publication of more explicit notices on its website;

| 2. | Welcomes that the Centre’s 2014 final annual accounts report contains detailed information about the corrective actions taken by the Centre in response to the observations and recommendations expressed by the Court, the budget authority and the Commission’s Internal Audit Service (IAS); takes note of the Centre’s efforts to implement the Court's and the IAS's audit recommendations in order to improve its management and internal control systems; |
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2.

Welcomes that the Centre’s 2014 final annual accounts report contains detailed information about the corrective actions taken by the Centre in response to the observations and recommendations expressed by the Court, the budget authority and the Commission’s Internal Audit Service (IAS); takes note of the Centre’s efforts to implement the Court's and the IAS's audit recommendations in order to improve its management and internal control systems;

Budget and financial management

Budget and financial management

| 3. | Notes that the budget monitoring efforts during the financial year 2014 resulted in a budget implementation rate of 99,62 % and that the payment appropriations execution rate was 94,93 %, representing a slight decrease of 2,78 % compared to 2013; notes with satisfaction that the high overall level of committed appropriations indicated that the commitments were being made in a timely manner; |
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3.

Notes that the budget monitoring efforts during the financial year 2014 resulted in a budget implementation rate of 99,62 % and that the payment appropriations execution rate was 94,93 %, representing a slight decrease of 2,78 % compared to 2013; notes with satisfaction that the high overall level of committed appropriations indicated that the commitments were being made in a timely manner;

Commitments and carry-overs

Commitments and carry-overs

| 4. | Takes note from the Court’s report that the level of committed appropriations carried over to 2015 was at 26 % (EUR 673 534) for Title II (administrative expenditure); acknowledges that these carry-overs mainly relate to an accelerated implementation of the Centre’s multi-annual information and communication technologies (ICT) strategy as well as to resources initially planned for salary increases but not needed following a decision by the Court of Justice of the European Union; |
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4.

Takes note from the Court’s report that the level of committed appropriations carried over to 2015 was at 26 % (EUR 673 534) for Title II (administrative expenditure); acknowledges that these carry-overs mainly relate to an accelerated implementation of the Centre’s multi-annual information and communication technologies (ICT) strategy as well as to resources initially planned for salary increases but not needed following a decision by the Court of Justice of the European Union;

| 5. | Welcomes the accelerated implementation of the ICT strategy, but calls on the Centre in future to keep the level of committed appropriations carried over to the following year as low as possible; |
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5.

Welcomes the accelerated implementation of the ICT strategy, but calls on the Centre in future to keep the level of committed appropriations carried over to the following year as low as possible;

Prevention and management of conflicts of interests and transparency

Prevention and management of conflicts of interests and transparency

| 6. | Notes that, pursuant to the Centre’s revised policy on the prevention and management of conflicts of interests, the Centre’s Management Board adopted in 2015 the templates to be used for publishing of the declarations of interest; |
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6.

Notes that, pursuant to the Centre’s revised policy on the prevention and management of conflicts of interests, the Centre’s Management Board adopted in 2015 the templates to be used for publishing of the declarations of interest;

| 7. | Acknowledges the Centre's publication of declarations of interest of its Management Board; notes, however, that the declarations of interest of Centre’s Director and senior management are not publicly available and calls on the Centre to publish those declarations without delay; |
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7.

Acknowledges the Centre's publication of declarations of interest of its Management Board; notes, however, that the declarations of interest of Centre’s Director and senior management are not publicly available and calls on the Centre to publish those declarations without delay;

| 8. | Reminds the Centre that, under Article 22c of the Staff Regulations, which entered into force on 1 January 2014, it must adopt binding internal rules on whistle-blowers; further calls on the Centre to establish clear rules against ‘revolving doors’; |
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8.

Reminds the Centre that, under Article 22c of the Staff Regulations, which entered into force on 1 January 2014, it must adopt binding internal rules on whistle-blowers; further calls on the Centre to establish clear rules against ‘revolving doors’;

Internal controls

Internal controls

| 9. | Ascertains that a comprehensive document reviewing and setting out the state of implementation of the Centre’s Internal Control Standards (ICS) was prepared in 2013 and reviewed throughout 2014; observes that the three identified areas where implementation of the ICS should be improved are the following: business continuity, governance in IT as regards project management and monitoring of performance supported by Key Performance Indicators; acknowledges that measures aimed at mitigating the risks have continued to be taken by the Centre in order to deal with these risks; |
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9.

Ascertains that a comprehensive document reviewing and setting out the state of implementation of the Centre’s Internal Control Standards (ICS) was prepared in 2013 and reviewed throughout 2014; observes that the three identified areas where implementation of the ICS should be improved are the following: business continuity, governance in IT as regards project management and monitoring of performance supported by Key Performance Indicators; acknowledges that measures aimed at mitigating the risks have continued to be taken by the Centre in order to deal with these risks;

| 10. | Takes note that the Centre placed particular focus on managing the risks included in the ICT section of the Centre's risk register, in particular in the areas of security, project management and governance; |
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10.

Takes note that the Centre placed particular focus on managing the risks included in the ICT section of the Centre's risk register, in particular in the areas of security, project management and governance;

Internal audit

Internal audit

| 11. | Ascertains from the Centre that all recommendations relating to the 2008 audit of the IAS have been closed; notes that two recommendations arising from the 2011 IAS audit have not been formally closed, as their implementation is at an advanced stage at the Centre; notes furthermore that the 2013 IAS audit on budget monitoring produced three main recommendations, with two already implemented while the recommendation on the budget preparation process was scheduled to be completed in 2015; |
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11.

Ascertains from the Centre that all recommendations relating to the 2008 audit of the IAS have been closed; notes that two recommendations arising from the 2011 IAS audit have not been formally closed, as their implementation is at an advanced stage at the Centre; notes furthermore that the 2013 IAS audit on budget monitoring produced three main recommendations, with two already implemented while the recommendation on the budget preparation process was scheduled to be completed in 2015;

Other comments

Other comments

| 12. | Notes that the Centre continued its efforts to find a suitable solution for some areas of its ‘Cais do Sodré Relógio’ building which remains partially unused; acknowledges that two parties have recently expressed an interest in subletting these areas; acknowledges furthermore that the negotiations with the Lisbon Port Authority, the owner of the premises, for the reduction of the rent are in progress; calls on the Centre to inform the discharge authority on the further progress in this issue; |
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12.

Notes that the Centre continued its efforts to find a suitable solution for some areas of its ‘Cais do Sodré Relógio’ building which remains partially unused; acknowledges that two parties have recently expressed an interest in subletting these areas; acknowledges furthermore that the negotiations with the Lisbon Port Authority, the owner of the premises, for the reduction of the rent are in progress; calls on the Centre to inform the discharge authority on the further progress in this issue;

| 13. | Calls on the Centre to enhance its procedures and practices aimed at safeguarding the financial interests of the Union and to actively contribute to a results-oriented discharge process; |
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13.

Calls on the Centre to enhance its procedures and practices aimed at safeguarding the financial interests of the Union and to actively contribute to a results-oriented discharge process;

| 14. | Refers, for other observations of a cross-cutting nature accompanying its decision on discharge, to its resolution of 28 April 2016 (1) on the performance, financial management and control of the agencies. |
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14.

Refers, for other observations of a cross-cutting nature accompanying its decision on discharge, to its resolution of 28 April 2016 (1

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(1)  Texts adopted, P8_TA(2016)0159 (see page 447 of this Official Journal).

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