2000R0555 — EN — 30.12.2001 — 001.001 — 1
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►B COUNCIL REGULATION (EC)No 555/2000
of 13 March 2000
on the implementation of operations in the framework of the pre-accession strategy for the
Republic of Cyprus and the Republic of Malta
(OJ L 68, 16.3.2000, p. 3)
Amended by:
OfficialJournal
No page date
►M1 CouncilRegul ation (EC) No 2500/2001 of 17 December 2001 L 342 1 27.12.2001
▼B
COUNCIL REGULATION (EC)No 555/2000
of 13 March 2000
on the implementation of operations in the framework of the pre-
accession strategy for the Republic of Cyprus and the Republic of
Malta
THE COUNCIL OF THE EUROPEAN UNION,
Having regard to the Treaty establishing the European Community, andin particular Article 308 thereof,
Having regard to the proposalfrom the Commission,Having regard to the Opinion of the European Parliament (
1),
Whereas:
(1) The Councils of March and April 1995 decided that accession
negotiations with Cyprus and Malta would begin six months after
the end of the IntergovernmentalConference.
(2) The Luxembourg European Councilof December 1997 estab-lished a specific pre-accession strategy for Cyprus and considered
that the accession of Cyprus should benefit both communities and
contribute to civilpeace and reconcil iation.
(3) Following the Vienna European Council of December 1998,which welcomed Malta's decision to reactivate its application for
accession to the European Union, in February 1999 the
Commission submitted an updated version of its 1993 opinion.
(4) The Council of March 1999 called on the Commission to presentappropriate suggestions as soon as possible for defining a specificpre-accession strategy for Malta.
(5) It is necessary to establish Accession Partnership instruments forCyprus and Malta in accordance with the procedures set out inRegulation (EC) No 622/98 (
2) for the applicant States of central
and eastern Europe, so that Community assistance can be
concentrated on accession priorities and objectives.
(6) The provisions of this Regulation are based on the political
criteria established by the Copenhagen European Council of 1993,in particular respect for democratic principles, the rule of law,human rights and fundamentalfreedoms, and compl iance with
international law, which are essential elements of the policies of
the European Union and its Member States.
(7) The financial protocols concluded with Cyprus and Malta expiredon 31 December 1999.
(8) This Regulation replaces the financial protocols for Cyprus andMalta from 2000 for a period of five years.
(9) Cyprus and Malta are eligible in respect of operations of regional
interest for financing under the MEDA budget heading.
(10) The measures necessary for the implementation of this Regulation
should be adopted in accordance with Council Decision 1999/468/EC of 28 June 1999 laying down the procedures for theexercise of implementing powers conferred on the Commis-
sion (
3).
(11) A financialreference amount within the meaning of point 34 of
the InterinstitutionalAgreement of 6 May 1999 between theEuropean Parliament, the Council and the Commission on2000R0555 — EN — 30.12.2001 — 001.001 — 2
(1) Opinion delivered on 17 February 2000 (not yet published in the Official
Journal).
(2) CouncilRegul ation (EC) No 622/98 of 16 March 1998 on assistance to the
applicant States in the framework of the pre-accession strategy, and in
particular on the establishment of Accession Partnerships (OJ L 85,
20.3.1998, p. 1 ).
(3) OJ L 184, 17.7.1999, p. 23.
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budgetary discipline and improvement of the budgetary proce-
dure (1), is included in this Regulation for its entire duration,
without thereby affecting the powers of the budgetary authority as
they are defined by the Treaty.
(12) Implementing this Regulation should contribute to the achieve-
ment of Community objectives. The Treaty does not provide, forthe adoption of this Regulation, powers other than those of Article308,
HAS ADOPTED THIS REGULATION:
Article 1
1. The European Union's pre-accession strategy for Cyprus and Malta
shall be based in particular on:
— the establishment of Accession Partnerships with Cyprus and Malta,
— support for priority operations to prepare for accession, as defined
within the accession partnerships with Cyprus and Malta on the basisof analyses of their economic situations, taking account of thepolitical and economic criteria and the obligations incumbent upon aMember State of the European Union as defined by the European
Council,
— participation in certain Community programmes and agencies.
2. Acting on a proposalfrom the Commission, the Councilshal l
decide by qualified majority on the principles, priorities, intermediateobjectives and conditions contained in the individualAccessionPartnerships to be submitted to Cyprus and Malta, as well as onsubsequent significant adjustments to them.
Article 2
For the purposes specified in Article 1, and for a period expiring on 31
December 2004, the financialreference amount for the impl ementationof this Regulation shall be EUR 95 million. The annual appropriationsshall be authorised by the budgetary authority within the limits of thefinancialperspectives.
Article 3
The beneficiaries of cooperation projects and operations may include not
only the State and regions of Cyprus and Malta but also local authorities,
regional organisations, public agencies, local or traditional communities,business support organisations, cooperatives and civilsociety, inparticular organisations representing the social partners, associations,foundations, non-profit organisations and non-governmentalorganisa-tions.
Article 4
Cooperation projects and operations shall be in the form of grants and
may be financed in the following indicative areas:
— technicalassistance, training or other services, suppl ies and works,
audits and evaluation and monitoring missions corresponding to theobjectives cited in Article 1,
— any operations to contribute to the reconciliation of the two Cypriot
communities.
Article 5
1. Community financing may cover investment, with the exception of
the purchase of buildings, and recurring costs including administrative,maintenance and operating costs, taking into account that projects mustaim to have recurring costs taken over by the beneficiaries.2000R0555 — EN — 30.12.2001 — 001.001 — 3
(1) OJ C 172, 18.6.1999, p. 1.
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2. A financialcontribution to each cooperation operation shal lbe
sought from the partners specified in Article 3. The contributionrequested shall be within the means of the partners concerned and shall
depend on the nature of the operation. In specific cases where the
partner is either a non-governmentalorganisation or a community-basedorganisation, the contribution may be in kind.
3. Opportunities may be sought for co-financing with other donors,
particularly Member States.
4. The Commission, in cooperation with the Member States, may
take any initiative necessary to ensure good coordination with the otherdonors concerned.
Article 6
Where an element that is essential for continuing to grant pre-accession
assistance is lacking, in particular when the commitments contained inthe Association Agreements are not respected and or progress towardsfulfilment of the Copenhagen criteria is insufficient, the Council, acting
by a qualified majority on a proposal from the Commission, may take
appropriate steps with regard to any pre-accession assistance granted toCyprus or Malta.
Article 7
1. The Commission shall implement the Community aid in
accordance with the rules of transparency and the Financial Regulation
applicable to the general budget of the European Communities, inparticular Article 114 thereof.
2. Pre-accession aid shall also cover expenditure relating to the
monitoring, inspection and evaluation of operations.
3. Prior appraisalof projects and programmes shal ltake account of
the following factors:
(a) the effectiveness and viability of projects and programmes;
(b) the environment;
(c) the institutionaldevel opment necessary to achieve project and
programme objectives;
(d) experience gained from projects and programmes of the same kind;
cultural, social and gender aspects.
4. The Commission may decide, on the basis of a case-by-case
analysis of national and sectorial programme/project management
capacity, financialcontrolprocedures and structures regarding publ icfinance, to waive the ex-ante approvalrequirement referred to in
paragraph 3 and confer on implementing agencies in applicant countriesmanagement of aid on a decentralised basis. Such a waiver shall besubject to:
(a) the minimum criteria for assessing the ability of implementing
agencies in applicant countries to manage aid and minimumconditions applicable to such agencies set out in the Annex to thisRegulation;
(b) and specific provisions concerning, inter alia , invitations to tender,
scrutiny and evaluation of tenders, the award of contracts and theimplementation of Community public procurement directives, which
shall be laid down in financing agreements with each beneficiary
country.
5. Decisions relating to grants of more than EUR 300 000 for
individual projects or programmes financed under this Regulations shall
be taken under the procedure provided for in Article 8(2).
The Commission shall inform the Committee referred to in Article 8 of
any financing decisions it intends to take regarding projects andprogrammes of less than EUR 300 000 in value. The information shallbe made available at least one week before the decision is taken.2000R0555 — EN — 30.12.2001 — 001.001 — 4
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6. The Commission is authorised to approve, without seeking the
opinion of the Committee referred to in Article 8, additional grantsneeded to cover expected or actualoverruns on the projects or
programmes, provided that the overrun or additionalrequirement is
not more than 20 % of the initialgrant set in the financing decision.
7. All financing agreements or contracts concluded under this
Regulation shall provide for the Commission and the Court of Auditors
to conduct on-the-spot checks in accordance with the procedures laid
down by the Commission under the rules in force, and in particular thoseof the Financial Regulation applicable to the general budget of theEuropean Union.
8. Where projects and programmes are the subject of financing
agreements between the Community and Cyprus or Malta, suchagreements shall stipulate that the payment of taxes, duties or anyother charges is not to be covered by the Community.
9. Participation in invitations to tender and the award of contracts
shall be open on equal terms to natural and legal persons of the MemberStates, Cyprus and Malta ►
M1and other candidate countries for
accession to the European Union ◄.
10. Supplies shall originate in the Member States, Cyprus or Malta
►M1or any other candidate country for accession to the European
Union◄.
Article 8
1. The Commission shall be assisted by the Committee provided for
in Article 9(1) of Council Regulation (EEC) No 3906/89, hereinafterreferred to as the ‘Committee’.
2. Where reference is made to this paragraph, Articles 4 and 7 of
Decision 1999/468/EC shall apply.
The period provided for in Article 4 of Decision 1999/468/EC shall be
three months.
3. The Committee shall adopt its rules of procedure.
Article 9
An exchange of views shall take place once a year on the basis of a
presentation by the Commission's representative of the generalguide-lines for the operations to be carried out in the year ahead, in a meetingof the Committee referred to in Article 8.
Article 10
The Commission shall regularly assess operations financed by the
Community in order to establish whether the objectives of the operationshave been achieved and to provide guidelines for improving theeffectiveness of future operations. The Commission shall submit to the
Committee referred to in Article 8 a summary of the assessments made,
which the latter may, if necessary, examine. Assessment reports shall besent to any Member States requesting them and to the EuropeanParliament.
Article 11
The Commission shall submit to the European Parliament and the
Councilan annualoveral lassessment of operations financed by theCommunity under this Regulation, together with suggestions regardingthe future of this Regulation and, where necessary, proposals for
amending it.
Article 12
This Regulation shall enter into force on the third day following its
publication in the Official Journal of the European Communities .2000R0555 — EN — 30.12.2001 — 001.001 — 5
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This Regulation shall be binding in its entirety and directly applicable in
all Member States.2000R0555 — EN — 30.12.2001 — 001.001 — 6
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ANNEX
MINIMUM CRITERIA AND CONDITIONS FOR DECENTRALISING
MANAGEMENT TO IMPLEMENTING AGENCIES IN APPLICANT
COUNTRIES (ARTICLE 7)
1.Minimum criteria for assessing the ability of implementing agencies in
applicant countries to manage aid
The following criteria shall be applied by the Commission in assessing which
implementing agencies in partner countries are able to manage aid on a
decentralised basis:
(a) there should be a well-defined system for managing the funds with full
internal rules of procedure, clear institutional and personal responsibilities;
(b) the principle of separation of powers must be respected so that there is no
risk of conflict of interest in procurement and payment;
(c) adequate personnel must be available and assigned to the task. They must
have suitable auditing skills and experience, language skills and be fully
trained in implementing Community programmes.
2.Minimum conditions for decentralising management to implementing
agencies in applicant countries
Decentralisation to applicant countries with ex post controlby the Commission
may be considered for an implementing agency where the following
conditions are met:
(a) demonstration of effective internal controls including an independent audit
function and an effective accounting and financialreporting system which
meets internationally accepted audit standards;
(b) a recent financialand operationalaudit showing effective and timel y
management of Community assistance or nationalmeasures of simil ar
nature;
(c) a reliable national financial control system over the implementing agency;
(d) procurement rules which are endorsed by the Commission as meeting
requirements of Title IX of the Financial Regulation applicable to the
generalbudget of the European Union;
(e) commitment by the NationalAuthorising Officer to bear the ful lfinancial
responsibility and liability for the funds.
This approach shall not prejudice the right of the Commission and the Court of
Auditors to check the expenditure.2000R0555 — EN — 30.12.2001 — 001.001 — 7