# L_2010252EN.01013201.xml

| 25.9.2010 | EN | Official Journal of the European Union | L 252/132 |
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25.9.2010

EN

Official Journal of the European Union

L 252/132

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DECISION OF THE EUROPEAN PARLIAMENT

of 5 May 2010

on discharge in respect of the implementation of the budget of the European Agency for Reconstruction for the financial year 2008

(2010/514/EU)

THE EUROPEAN PARLIAMENT,

having regard to the final annual accounts of the European Agency for Reconstruction for the financial year 2008,

having regard to the Court of Auditors’ report on the annual accounts of the European Agency for Reconstruction for the financial year 2008, together with the Agency’s replies (1),

having regard to the Council’s recommendation of 16 February 2010 (5827/2010 — C7-0061/2010),

having regard to Article 276 of the EC Treaty and Article 319 of the Treaty on the Functioning of the European Union,

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 Communities (2), and in particular Article 185 thereof,

having regard to Council Regulation (EC) No 2667/2000 of 5 December 2000 on the European Agency for Reconstruction (3), and in particular Article 8 thereof,

having regard to Commission Regulation (EC, Euratom) No 2343/2002 of 19 November 2002 on the framework Financial Regulation for the bodies referred to in Article 185 of Regulation (EC, Euratom) No 1605/2002 (4), and in particular Article 94 thereof,

having regard to Rule 77 of, and Annex VI to, its Rules of Procedure,

having regard to the report of the Committee on Budgetary Control (A7-0072/2010),

| 1. | Grants the Director of the European Agency for Reconstruction discharge in respect of the implementation of the Agency’s budget for the financial year 2008; |
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1.

| 2. | Sets out its observations in the resolution below; |
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2.

| 3. | Instructs its President to forward this Decision and the resolution that forms an integral part of it to the Director of the European Agency for Reconstruction, the Council, the Commission and the Court of Auditors, and to arrange for their publication in the Official Journal of the European Union (L series). |
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3.

The President

Jerzy BUZEK

The Secretary-General

Klaus WELLE

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(1)  
  OJ C 304, 15.12.2009, p. 43.

1

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

2

(3)  
  OJ L 306, 7.12.2000, p. 7.

3

(4)  
  OJ L 357, 31.12.2002, p. 72.

4

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RESOLUTION OF THE EUROPEAN PARLIAMENT

of 5 May 2010

with observations forming an integral part of its Decision on discharge in respect of the implementation of the budget of the European Agency for Reconstruction for the financial year 2008

THE EUROPEAN PARLIAMENT,

having regard to the final annual accounts of the European Agency for Reconstruction for the financial year 2008,

having regard to the Court of Auditors’ report on the annual accounts of the European Agency for Reconstruction for the financial year 2008, together with the Agency’s replies (1),

having regard to the Council’s recommendation of 16 February 2010 (5827/2010 — C7-0061/2010),

having regard to Article 276 of the EC Treaty and Article 319 of the Treaty on the Functioning of the European Union,

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 Communities (2), and in particular Article 185 thereof,

having regard to Council Regulation (EC) No 2667/2000 of 5 December 2000 on the European Agency for Reconstruction (3), and in particular Article 8 thereof,

having regard to Commission Regulation (EC, Euratom) No 2343/2002 of 19 November 2002 on the framework Financial Regulation for the bodies referred to in Article 185 of Regulation (EC, Euratom) No 1605/2002 (4), and in particular Article 94 thereof,

having regard to Rule 77 of, and Annex VI to, its Rules of Procedure,

having regard to the report of the Committee on Budgetary Control (A7-0072/2010),

| A. | whereas the Court of Auditors states that it has obtained reasonable assurances that the annual accounts for the financial year 2008 are reliable and that the underlying transactions are legal and regular, |
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A.

whereas the Court of Auditors states that it has obtained reasonable assurances that the annual accounts for the financial year 2008 are reliable and that the underlying transactions are legal and regular,

| B. | whereas on 23 April 2009 Parliament granted the Director of the European Agency for Reconstruction discharge in respect of the implementation of the Agency’s budget for the financial year 2007 (5), and in its resolution accompanying the discharge decision noted, inter alia, that the Court of Auditors had, in its annual report for 2007, identified three potential risks relating to the transfer of activities from the Agency to the delegations, namely that:






  (a) | due to the multiannual character of the Agency’s activity, there were still unused budgetary appropriations of EUR 453 000 000 which had to be implemented in years after 2008, which was the last year of existence of the Agency, |
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B.

whereas on 23 April 2009 Parliament granted the Director of the European Agency for Reconstruction discharge in respect of the implementation of the Agency’s budget for the financial year 2007 (5), and in its resolution accompanying the discharge decision noted, inter alia, that the Court of Auditors had, in its annual report for 2007, identified three potential risks relating to the transfer of activities from the Agency to the delegations, namely that:

(a)

due to the multiannual character of the Agency’s activity, there were still unused budgetary appropriations of EUR 453 000 000 which had to be implemented in years after 2008, which was the last year of existence of the Agency,

| (b) | the guidance note issued by the Commission on 11 June 2008 on the transfer of files did not cover all the items on the Agency’s balance sheet, |
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(b)

the guidance note issued by the Commission on 11 June 2008 on the transfer of files did not cover all the items on the Agency’s balance sheet,

| (c) | the accumulated surplus of EUR 180 000 000 shown in the Agency’s balance sheet at 31 December 2007 would also have to be taken over and managed by the Commission at the end of the Agency’s mandate, |
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(c)

the accumulated surplus of EUR 180 000 000 shown in the Agency’s balance sheet at 31 December 2007 would also have to be taken over and managed by the Commission at the end of the Agency’s mandate,

1.

Notes that the memorandum of understanding of 17 December 2008 between the Commission and the European Agency for Reconstruction stipulates that the Agency’s residual assets become the property of the Commission after 31 December 2008;

Budgetary and financial management

Budgetary and financial management

| 2. | Notes the Court of Auditors’ finding that none of the formal conditions required for the award of a direct grant of EUR 1 399 132 (0,31 % of the available operational budget) to an international organisation had been fulfilled; |
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2.

Notes the Court of Auditors’ finding that none of the formal conditions required for the award of a direct grant of EUR 1 399 132 (0,31 % of the available operational budget) to an international organisation had been fulfilled;

| 3. | Stresses that the relevance of the five cross-border cooperation projects audited by the Court of Auditors (worth a total of EUR 528 000 — 0,12 % of the available operational budget) was challenged on the grounds that the Evaluation Committee, comprising the Agency and a Commission delegation, had not taken account of the issues raised by local assessors; notes, nonetheless, the Agency’s reply to the effect that, under the rules in force, the Evaluation Committee was not bound by the opinion of the assessors; |
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3.

Stresses that the relevance of the five cross-border cooperation projects audited by the Court of Auditors (worth a total of EUR 528 000 — 0,12 % of the available operational budget) was challenged on the grounds that the Evaluation Committee, comprising the Agency and a Commission delegation, had not taken account of the issues raised by local assessors; notes, nonetheless, the Agency’s reply to the effect that, under the rules in force, the Evaluation Committee was not bound by the opinion of the assessors;

| 4. | Calls, now that the Agency’s work has finished, for an evaluation of the funding allocated in Kosovo to determine whether the allocation of funding there resulted in the establishment of functional, sustainable justice and administration structures; |
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4.

Calls, now that the Agency’s work has finished, for an evaluation of the funding allocated in Kosovo to determine whether the allocation of funding there resulted in the establishment of functional, sustainable justice and administration structures;

| 5. | Deplores the fact that the efficiently functioning Agency has been wound up and the management of the funding has been transferred to the delegations; demands that the Commission submit a report detailing how many staff the delegations have taken on to cope with the Agency’s tasks; calls on the Commission to supply comprehensive and complete information on whether budget support has been provided from the funds transferred from the Agency to the delegations; |
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5.

Deplores the fact that the efficiently functioning Agency has been wound up and the management of the funding has been transferred to the delegations; demands that the Commission submit a report detailing how many staff the delegations have taken on to cope with the Agency’s tasks; calls on the Commission to supply comprehensive and complete information on whether budget support has been provided from the funds transferred from the Agency to the delegations;

| 6. | Refers, for other observations accompanying its Decision on discharge, which are of a horizontal nature, to its resolution of 5 May 2010 (6) on the performance, financial management and control of the agencies. |
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6.

Refers, for other observations accompanying its Decision on discharge, which are of a horizontal nature, to its resolution of 5 May 2010 (6

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(1)  
  OJ C 304, 15.12.2009, p. 43.

1

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

2

(3)  
  OJ L 306, 7.12.2000, p. 7.

3

(4)  
  OJ L 357, 31.12.2002, p. 72.

4

(5)  
  OJ L 255, 26.9.2009, p. 176.

5

(6)  Texts adopted, P7_TA(2010)0139. See page 241 of this Official Journal.

6

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