# L_2010252EN.01017401.xml

| 25.9.2010 | EN | Official Journal of the European Union | L 252/174 |
| --- | --- | --- | --- |

25.9.2010

EN

Official Journal of the European Union

L 252/174

---

DECISION OF THE EUROPEAN PARLIAMENT

of 5 May 2010

on discharge in respect of the implementation of the budget of the European Network and Information Security Agency for the financial year 2008

(2010/532/EU)

THE EUROPEAN PARLIAMENT,

having regard to the final annual accounts of the European Network and Information Security Agency for the financial year 2008,

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

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,

2

having regard to Regulation (EC) No 460/2004 of the European Parliament and of the Council of 10 March 2004 establishing the European Network and Information Security Agency (3), and in particular Article 17 thereof,

3

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,

4

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 (A7-0087/2010),

| 1. | Grants the Executive Director of the European Network and Information Security Agency discharge in respect of the implementation of the Agency’s budget for the financial year 2008; |
| --- | --- |

1.

Grants the Executive Director of the European Network and Information Security Agency discharge in respect of the implementation of the Agency’s budget for the financial year 2008;

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

2.

Sets out its observations in the resolution below;

| 3. | Instructs its President to forward this Decision and the resolution that forms an integral part of it to the Executive Director of the European Network and Information Security Agency, 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). |
| --- | --- |

3.

Instructs its President to forward this Decision and the resolution that forms an integral part of it to the Executive Director of the European Network and Information Security Agency, 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).

Official Journal of the European Union

The President

Jerzy BUZEK

The Secretary-General

Klaus WELLE

---

(1)  OJ C 304, 15.12.2009, p. 16.

1

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

2

(3)  OJ L 77, 13.3.2004, p. 1.

3

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

4

---

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 Network and Information Security Agency for the financial year 2008

THE EUROPEAN PARLIAMENT,

having regard to the final annual accounts of the European Network and Information Security Agency for the financial year 2008,

having regard to the Court of Auditors’ report on the annual accounts of the European Network and Information Security Agency 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 Regulation (EC) No 460/2004 of the European Parliament and of the Council of 10 March 2004 establishing the European Network and Information Security Agency (3), and in particular Article 17 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 (A7-0087/2010),

| 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, |
| --- | --- |

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 Executive Director of the European Network and Information Security Agency 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, inter alia:






  — | noted the Court of Auditors’ criticism that the implementation of operational activities was concentrated in the last quarter of 2007, with about 40 % of commitments and more than 50 % of payments concerning operational activities being executed in November and December 2007, |
| --- | --- | --- |

B.

whereas on 23 April 2009 Parliament granted the Executive Director of the European Network and Information Security Agency 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, inter alia:

—

noted the Court of Auditors’ criticism that the implementation of operational activities was concentrated in the last quarter of 2007, with about 40 % of commitments and more than 50 % of payments concerning operational activities being executed in November and December 2007,

| — | was not satisfied with the Agency’s reply that in some cases appropriations carried over were calculated with some degree of approximation, |
| --- | --- |

—

was not satisfied with the Agency’s reply that in some cases appropriations carried over were calculated with some degree of approximation,

| — | expressed its concern that the Court of Auditors had found weaknesses in procurement procedures, particularly that the pre-selection of tenders was not justified, the evaluation committee had not signed the evaluation documents and files were unstructured and incomplete, |
| --- | --- |

—

expressed its concern that the Court of Auditors had found weaknesses in procurement procedures, particularly that the pre-selection of tenders was not justified, the evaluation committee had not signed the evaluation documents and files were unstructured and incomplete,

Performance

| 1. | Congratulates the Agency on its performance in 2008, the improvement in the resilience of European electronic communication networks, development and cooperation with Member States; |
| --- | --- |

1.

Congratulates the Agency on its performance in 2008, the improvement in the resilience of European electronic communication networks, development and cooperation with Member States;

| 2. | Calls on the Agency to set out, in its table to be annexed to the Court of Auditors’ next report, a comparison of operations carried out during the year for which discharge is to be granted and in the previous financial year so as to enable the discharge authority to assess more effectively its performance from one year to the next; |
| --- | --- |

2.

Calls on the Agency to set out, in its table to be annexed to the Court of Auditors’ next report, a comparison of operations carried out during the year for which discharge is to be granted and in the previous financial year so as to enable the discharge authority to assess more effectively its performance from one year to the next;

Budgetary and financial management

| 3. | Notes that the Court of Auditors found deficiencies in procurement procedures, particularly with regard to the under-estimation of the budgets of a framework contract; stresses in particular that underestimating procurement budgets constitutes an obstacle to fair competition as firms are less prone to present offers for limited amounts; notes, nonetheless, the response of the Agency, which, in the third quarter of 2009, issued a new call for tenders in order to remedy its previous deficiencies; |
| --- | --- |

3.

Notes that the Court of Auditors found deficiencies in procurement procedures, particularly with regard to the under-estimation of the budgets of a framework contract; stresses in particular that underestimating procurement budgets constitutes an obstacle to fair competition as firms are less prone to present offers for limited amounts; notes, nonetheless, the response of the Agency, which, in the third quarter of 2009, issued a new call for tenders in order to remedy its previous deficiencies;

| 4. | Notes that the Agency continues to take all possible measures to obtain from the tax authorities of the host Member State a refund of EUR 45 000, corresponding to the amount of VAT paid in advance by the Agency; |
| --- | --- |

4.

Notes that the Agency continues to take all possible measures to obtain from the tax authorities of the host Member State a refund of EUR 45 000, corresponding to the amount of VAT paid in advance by the Agency;

| 5. | Notes that the Agency’s accounts for the financial year 2008 show income from interest in the amount of EUR 143 818; concludes from the annual closure of accounts and the amount of interest payments that the Agency maintains enormously high cash reserves over long periods; notes that as of 31 December 2008 the Agency’s cash reserves amounted to EUR 2 436 694; calls on the Commission to examine ways of ensuring that the principle of needs-based cash management, as laid down in Article 15(5) of Regulation (EC, Euratom) No 2343/2002, is implemented in full and what changes in approach are needed to ensure that the Agency’s cash reserves are kept as low as possible on a long-term basis; |
| --- | --- |

5.

Notes that the Agency’s accounts for the financial year 2008 show income from interest in the amount of EUR 143 818; concludes from the annual closure of accounts and the amount of interest payments that the Agency maintains enormously high cash reserves over long periods; notes that as of 31 December 2008 the Agency’s cash reserves amounted to EUR 2 436 694; calls on the Commission to examine ways of ensuring that the principle of needs-based cash management, as laid down in Article 15(5) of Regulation (EC, Euratom) No 2343/2002, is implemented in full and what changes in approach are needed to ensure that the Agency’s cash reserves are kept as low as possible on a long-term basis;

Internal audit and human resources

| 6. | Congratulates the Agency on the fact that all eight recommendations of the Internal Audit Service considered to be ‘very important’ have been implemented; notes that those recommendations related to the follow-up to the implementation of the internal control standard audit and human resources management (e.g. staff policy, renewal of contracts ending in 2008, independence of the selection committees, training services and transparency in the promotion procedure); |
| --- | --- |

6.

Congratulates the Agency on the fact that all eight recommendations of the Internal Audit Service considered to be ‘very important’ have been implemented; notes that those recommendations related to the follow-up to the implementation of the internal control standard audit and human resources management (e.g. staff policy, renewal of contracts ending in 2008, independence of the selection committees, training services and transparency in the promotion procedure);

| 7. | 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. |
| --- | --- |

7.

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.

---

(1)  OJ C 304, 15.12.2009, p. 16.

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

(3)  OJ L 77, 13.3.2004, p. 1.

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

(5)  OJ L 255, 26.9.2009, p. 153.

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

---