Official Journ alof the EuropeanUnion 26.9.2009
RESOLUTION OF  THE EUROPEAN PARLIAMENT
of 23 
April 2009
with observations forming an integral part of the Decision on discharge in respect of the 
implementation of the bu dget 
of the Eu ropean 
Railway Agency for the financial year 2007
THE EUROPEAN PARLIAMENT,
—having reg ard to the final annual accounts of the Eu ropean Railway Ag ency for the fin ancial year 2007
(1) OJ C 278, 31.10.2008, p. 53. (1), 
—having
 regard
 to the Court of Auditors’ report on the fin al
 annual
 accounts
 of the European
 Railway 
Agency 
for the fin ancial 
year 2007, tog ether 
with the Ag ency’s 
replies
(2) OJ C 311, 5.12.2008, p. 92. (2), 
—having 
regard 
to the Coun cil’s 
recommen dation 
of 10 February 
2009 (5588/2009 — C6-0060/2009), 
—having 
regard 
to the EC 
Treaty, an d 
in 
particular Article 276 thereof, 
—having 
regard 
to Council 
Regulation 
(EC, 
Euratom) 
No 1605/2002 of 25 June 
2002 on 
the Financial 
Regu­
lation
 applicable
 to the general
 budget
 of the European Commun ities
(3) OJ L 248, 16.9.2002, p. 1. (3), and in particular Article 185 
thereof,
 
—having 
regard 
to Regulation 
(EC) 
No 881/2004 of the E uropean 
Parliamen t 
and 
of the Coun cil 
of 29 April 
2004 estab lishing 
a European 
Railway Ag ency
(4) OJ L 164, 30.4.2004, p. 1. (4), and in particular Article 39 thereof, 
—having
 regard
 to Commission Reg ulation
 (EC,
 Euratom)
 No 2343/2002 of 19 Novemb er
 2002 on the 
framework  
Financial 
Regulation 
for the bodies 
referred to in  
Article 185 of Reg ulation 
(EC, 
Euratom) 
No 
1605/2002
(5) OJ L 357, 31.12.2002, p. 72. (5), and in particular Article 94 thereof, 
—having 
regard 
to Rule 71 of, an d 
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  
Transport 
and 
Tourism (A6-0165/2009),
A. whereas the Court of Auditors (E CA) stated that it has ob tained reasonable assurance that the an nual 
accounts 
for the fin ancial 
year 2007 are reliab le, 
and 
the underlying 
transaction s 
are legal 
and 
regular,
B. whereas on  22  April 2008 Parliamen t granted the Executive Director of the European  Railway Ag ency 
discharge 
in 
respect of the implemen tation 
of the Agency’s 
budget 
for the fin ancial 
year 2006
(6) OJ L 88, 31.3.2009, p. 209. (6),
1. Welcomes the fact that, whereas for 2006 the E CA’s
 statemen t
 of assuran c
e was partly qualified with 
regard 
to the underlying 
transactions, 
the ECA’s 
statement 
of assuran ce 
is positive for the fin ancial 
year 
2007;
2. Notes that the Ag ency 
had EUR 16 
645 000 in  
commitmen t 
and 
payment 
appropriations from the 2007 
budget;
3. Notes 
that, in 
its reply to the E CA’s 
2006 annual 
report, the Ag ency 
estimated the extra costs resultin g 
from 
its obligation 
to work 
in 
two differen t 
cities — the admin istrative 
seat being 
in 
Valenciennes 
whereas 
meetings 
are held in  
Lille — at E UR 450 
000, not 
including 
indirect 
cost such as ‘wasted’ work ing 
hours 
due to travellin g 
or addition al 
administrative 
work;N E 8 6 1 / 5 5 2 L
Official Journ alof the EuropeanUnion L 255/169
4. Regrets that the fact of havin g two seats hampers the Ag ency’s work and results in extra costs for E uro­
pean 
taxpayers; n otes 
that in 
the draft host state ag reement, 
it is foreseen  
that addition al 
costs are cov­
ered by 
the host state;
5. Welcomes the fact that the Ag ency 
followed up on  
the ECA’s 
criticism that a physical in ventory 
of its 
fixed assets was missin g 
and 
that a physical in ventory 
was carried out in  
June 
2008 and 
all fixed assets 
are now 
labelled 
and 
will be 
recorded in  
the inventory;
6. Notes 
the ECA’s 
criticism that weak nesses 
were foun d 
in 
some selection  
procedures an d 
that the Ag ency 
had 
not 
yet finalised 
its recruitmen t 
procedures;
7. Calls on 
the Agency 
to follow up on  
its promise, in  
its replies to the E CA, 
to finalise 
a full description  
of 
procedures to b e 
followed as reg ards 
recruitmen t 
in 
the first quarter of 2009;
Budget 
planning and implementation
8. Notes that the E CA, 
without qualifyin g 
its statemen t 
of assuran ce, 
draws particular atten tion 
to its obser­
vations 
concerning 
budget 
planning 
and 
implemen tation;
9. Notes 
from the E CA’s 
annual 
report 2006 that the Ag ency’s 
final 
budget 
for 2007 amoun ted 
to 
EUR
 16 600 000, in cluding
 a reserve of E UR
 1 900 000; further n otes
 that at the en d
 of 
2007 EUR 3 
400 000 had to b e 
cancelled, 
including 
the reserve, an d 
that, in 
addition, 
EUR 2 
700 000 
was carried over to 2008;
10. Is 
concerned 
by 
the ECA’s 
conclusion 
that more than  
35 % of fin al 
appropriation s 
had not 
been 
used, 
which, accordin g 
to the ECA, 
showed that the Ag ency’s 
programming 
and 
budg
eting 
procedures were 
affected b y 
serious weak nesses;
11. Notes 
that the Ag ency, 
in 
its replies to the E CA, 
refers to the fact that the 2007 b udget 
was prepared when  
it 
had just b ecome 
financially 
independent 
and 
had no 
past experien ce 
on 
which to b ase 
estimates, an d 
that 
the uncertainty 
as to if an d 
when 
the reserve would b e 
released made it necessary to plan  
activities 
without tak ing 
the reserve in to 
account;
12. Is 
worried b y 
the ECA’s 
finding 
that, althoug h 
the Agency’s 
budget 
implemen tation 
was low, the amoun t 
of 
cash it requested an d 
received from the Commission  
greatly 
exceeded its actual cash n eeds;
13. Notes 
that the cash availab le 
to the Agency 
at the beginning 
of 2007 was ab out 
EUR 2 
300 000, an d 
that, 
in 
addition, 
it requested an d 
received E UR 17 
000 000 in  
cash from the Commission ; 
notes 
that the pay­
ments
 made in 2007 amoun ted
 to about
 EUR 12 500 000; con cludes
 that the cash received exceeded 
actual cash n eeds 
by 
about 
EUR 6 
800 000;
14. Agrees 
with the E CA’s 
conclusion 
that the Ag ency’s 
cash forecasts had not b een 
prepared rig orously, 
which 
is at odds with the prin ciple 
of sound 
financial 
management;
15. Notes 
that the E xecutive 
Director, in  
its written  
explanation 
to Parliamen t, 
acknowledged 
that the total 
amount 
of cash requested an d 
received was in  
excess of what was even tually 
needed, an d 
explained 
that 
this was related to low b udget 
execution  
and 
the lack 
of experien ce 
to support forecasts of cash n eeds;
16. Welcomes 
the Executive 
Director’s statemen t 
that, in 
the meantime, 
the procedure for collectin g 
subsi­
dies 
has been 
updated an d 
the forecastin g 
of cash needs 
improved;N E 9 0 0 2 . 9 . 6 2
Official Journ alof the EuropeanUnion 26.9.2009
17. Calls on the Agency, on the basis of Article 15(5) of Reg ulation (EC) No 2343/2002, which has b een in 
force 
since 
July 2008 an d 
which obliges 
the agencies 
to implemen t 
rigorous 
cash management 
in 
order 
to ensure 
that their cash b alances 
are limited to duly justified requiremen ts, 
to pay particular atten tion 
to 
improving 
its cash man agement;
Follow-up 
to the 2006 discharge exercise
18. Recalls that the 2006 fin ancial 
year was the first year the Ag ency 
was financially 
autonomous 
and 
subject 
to 
the discharg e 
procedure;
19. Recalls that for 2006, the E CA’s 
statement 
of assuran ce 
was qualified due to weak nesses 
in 
tendering 
pro­
cedures, an d 
regrets 
that the E CA 
detected weak nesses 
in 
procuremen t 
agai
n 
in 
2007;
20. Notes that the Ag ency, 
in 
its replies to the E CA, 
acknowledges 
that some improvemen ts 
are still needed 
and 
that it is work ing 
on 
a procuremen t 
manual 
in 
order to stan dardise 
procedures;
21. Notes that, as in  
2006, the E CA 
criticised weak nesses 
in 
budget 
implemen tation, 
in 
particular with reg ard 
to 
the high 
level of appropriation s 
carried over;
22. Calls on 
the Agency 
to strive to in crease 
the level of b udget 
implemen ta
tion 
and 
to report on  
the mea­
sures taken 
and 
results achieved in  
its report on  
budgetary 
and 
financial 
management 
2008;
23. Urges 
the Commission  
to ensure 
that the Ag ency 
maintains 
strict financ
ial disciplin e 
in 
the future an d 
always 
works 
within 
the agreed 
budgets;
24. Refers 
for other ob servations 
accompan ying 
its Decision  
on 
discharge 
which are of a horizon tal 
nature 
to 
its Resolution  
of 23 April 2009 on  
financial 
management 
and 
control 
of EU 
agencies
(1) See page 206 of this Official Journ al. (1).N E 0 7 1 / 5 5 2 L