Proposal for a COUNCIL DECISION concerning the conclusion of the Agreement between the European Community and the United States of America renewing the co-operation programme in higher education and vocational education and training

EXPLANATORY MEMORANDUM

I. Introduction

1. The Treaty establishing the European Community calls for the Community and the Member States to foster cooperation with third countries in the field of education and the sphere of vocational training. Such cooperation is to take place against the backdrop of the Community's general development of quality education and its implementation of a vocational training policy, whilst fully respecting the responsibility of the Member States for the content and organisation.

2. Existing and past European Community education and vocational training programmes have had, and continue to have, a highly positive impact on the development of Member States' education and vocational training policies and systems. They have contributed to the emergence of a European space for education and vocational training through, in particular, the encouragement of mobility and increasing recognition of study and training periods, as well as the creation of transnational structural co-operation networks.

3. In its 1995 White Paper "Teaching and learning - Towards the learning society", the Commission stated that the emergence of the learning society entailed encouraging the acquisition of new knowledge and, to this end, providing motivation to learn at every opportunity.

4. The conclusions of the Lisbon European Council (23-24 March 2000) emphasised the fact that the European Union has been confronted with a quantum shift resulting from globalisation and the challenges of a new knowledge-driven economy. If Europe is to meet the challenge and seize the opportunities - in terms of economic growth, as well as enhanced employment and social welfare - that this rapidly changing environment presents, then Member States' education and vocational training systems need to adapt to the demands of the knowledge society.

5. In this new era of globalisation and interdependence, the Community's search for new strategies in education and vocational training cannot be confined only to the geographical limits of the European Community or the wider Europe. Rather, it should also be conducted in co-operation with countries and regions outside the European Community, and in particular with those whose education and vocational training systems have achieved a high degree of development.

6. Increasingly, the presence of foreign students, trainees and staff in a given country is taken as an indication of the perceived value of that country's education and vocational training systems. At the same time, for the country concerned the presence of foreign students, trainees and academic staff is increasingly valued as a source of new ideas and a potential enrichment of its education and training systems. Third country education and vocational training co-operation schemes may contribute to a better understanding of the standards that determine world academic and vocational training mobility and project a more dynamic and attractive image of the European learning space to third country students, teachers and administrators. They may also lead directly to employment opportunities, both in the Community and elsewhere.

7. Co-operation with third countries, as provided for in Articles 149.3 and 150.3 of the EC Treaty, is therefore no longer an option but rather a necessary dimension of the Community's overall strategy for education and vocational training.

8. In addition, co-operation in areas such as education and vocational training contributes to the strengthening of relations with third countries. The consolidation of the European Community on the international scene must be accompanied by concrete, positive co-operation actions.

9. The present proposal to renew the Agreement between the European Community and the United States of America establishing a co-operation programme in higher education and vocational training should be seen against this general backcloth. More particularly, the US is an acknowledged world economic leader and plays a prominent role in the emergence of the new knowledge-based economy and the globalisation process. Cooperation in these fields is of mutual benefit.

10. The changes in the world scene that have taken place over the last decade prompted a revision of the traditional partnership between the European Community and the United States. As a result, both the European Community and the United States committed themselves, inter alia, actively to encourage closer links between the peoples on both sides of the Atlantic.

11. The existing Agreement [4] has proved to be a highly positive component of Transatlantic relations and has been acknowledged by both sides as having been amongst the most concrete contributions to building bridges of friendship and understanding between the peoples and institutions of the European Community and the United States. It has thus embodied the new partnership. The cooperation that was set up under the agreement has been very successful in creating innovative and structural institutional links that have a clear added value to existing bilateral cooperation schemes. The proposed renewal of the Agreement would build on and consolidate these results.

[4] OJ No L279, 22.11.1995

II. Background

1. Following the signature of the 1990 Transatlantic Declaration by the European Community and its Member States, the Commission presented a Communication [5] to the Council on possible avenues for co-operation between the European Community and the United States of America in the fields of education and training. The Council consequently invited the Commission to consider the preparation of a draft agreement with the United States. An exploratory phase of co-operation involving higher education institutions from the European Community and the United States of America was launched in 1993. The European Parliament played a supportive part in encouraging the establishment of cooperation with third countries in general and, as a twin-arm of the budgetary authority, in the development of the pilot project in particular.

[5] SEC(92) 1023 final

2. Drawing from the positive experience of this pilot phase, the current Agreement between the European Community and the United States establishing a co-operation programme in higher education and vocational training was concluded in 1995, for a duration of five years (1995-2000). The 1995 New Transatlantic Agenda and the Joint EC/US Action Plan were adopted shortly afterwards, and it should be noted that the EC/US Action Plan recognised under Action IV - Building Bridges across the Atlantic - the value of the Agreement as a catalyst for a broad spectrum of innovative and co-operative activities of direct benefit to students and teachers.

3. As set out in the Agreement, the first two objectives of the 1995 cooperation programme were: the promotion of mutual understanding between the peoples of the European Community and the United States of America, and the improvement of the quality of human resource development in both the European Community and the United States. The programme pursued its objectives primarily by means of student-centred structural co-operation carried out by joint consortia. The joint consortia were composed of a minimum of three active partners on each side, including at least two partner higher education or training institutions on each side in different Member States of the Community and different States of the United States of America.

4. Internal monitoring of progress, sustained by an independent evaluation carried out in 1999, revealed the high added value of EC/USA co-operation in that:

- it contributes to reinforcing intra-Community links;

- it complements and diversifies traditional bilateral co-operation arrangements;

- it provides a testing ground for Community co-operation methods, such as the recourse to multilateral networks or the use of the European Credit Transfer Scheme;

- it provides a wider framework for the development of new education and training strategies and methodologies;

- it provides a framework for sustained multilateral co-operation involving the EC, its Member States and the United States of America.

5. The internal monitoring and the results of the external evaluation led the Commission to conclude that:

- the multilateral network project approach (joint consortia) as well as the focus on students contributed successfully to the achievement of the programme's objectives;

- greater emphasis, however, needed to be placed on the recognition of periods of study and training within projects;

- co-operation on vocational training had not been significantly developed and a more proactive, tailor-made approach would be required to this end;

- in order to achieve all of the above, the programme would need to be endowed with higher financial resources.

6. Exploratory talks revealed the firm desire of the United States of America to continue and widen the existing co-operation.

7. In view of all of the above, the Commission tabled Recommendations for a Council decision authorising the negotiation of the renewal of the existing 1995 Agreement [6]. The decision was adopted by the Council on 22 May 2000.

[6] SEC(99)2075 final

8. Negotiations duly took place in Washington on 10-11 July 2000 and resulted in the attached draft agreement.

III. Description of the programme

1. The programme is consistent with the negotiation directives issued by the Council and also reflects the views of the United States of America as to the objectives and the means to achieve them. It therefore:

- encompasses both higher education and vocational training;

- maintains and reinforces the multilateral network approach (joint consortia) as a model for co-operation: joint consortia will be formed by a minimum of three partners from three European Community Member States and three partners from three states in the United States of America; they will be funded for a period of up to three years;

- provides - through preparatory and project development activities - a mechanism for the development of innovative co-operation, both in terms of partners and themes, designed in particular to encourage greater involvement of the vocational training sector;

- clearly positions the provision of Fulbright/European Union scholarships as one of the axes of EC/USA co-operation;

- provides a framework for wider co-operation in the fields of education and training through complementary measures.

IV. Complementarity and subsidiarity

1. The programme will continue to build on intra-Community links, thus reinforcing the European dimension of education and, at the same time, will contribute to the diversification of existing bilateral co-operation between the United States of America and Member States.

2. The joint consortia model of co-operation will help higher education and vocational training institutions which already have experience in certain areas of transatlantic co-operation to enter new ones. It will also allow institutions with no experience of transatlantic co-operation to become involved and thus gain valuable experience, either as project leaders or as project partners. Complementary measures will enhance the benefits of the programme, allow experimentation with new forms of co-operation in education and training and help to exploit synergies with other relevant Community initiatives involving the United States of America.

3. The support provided though the programme will, in particular, benefit vocational training institutions. While there is a well-established intra-Community co-operation in the field of vocational training, it is a fact that vocational training institutions are less equipped for transatlantic co-operation than higher education institutions. The vocational training sector and those involved in it must be given real opportunities to benefit from all the gains that transatlantic cooperation may produce.

4. Through multilateral co-operation, which involves cultural and linguistic preparation, as well as through the provision of Fulbright scholarships, the programme will contribute to an increasing understanding of the cultural and linguistic diversity of the European Community.

5. The programme's Joint Committee will provide a forum for multilateral discussion that will benefit the relevant authorities of the parties involved.

V. Conclusion

1. The programme renewed by the draft agreement attached to the present draft Council decision will complement existing Community co-operation in the fields of education and vocational training and fully respect Member States' bilateral activities. The programme will provide a framework for the search for innovative solutions to the challenges posed by the emerging knowledge-based economy, through student-based structural co-operation and other co-operative activities with a durable impact.

2. The draft agreement furthers the co-operation strategy as set out in the 1995 New Transatlantic Agenda and the EC/US Joint Action Plan. The Agreement will contribute further to strengthening links between the peoples from both sides of the Atlantic.

3. The Commission considers that the draft agreement is acceptable to the Community. Accordingly it proposes that the Council:

a) approves the results of the negotiation;

b) decides to sign the agreement and

c) initiates the procedure for its conclusion.

4. Hence, the Commission proposes that the Council adopt the attached proposal for a decision.

2000/0263 (CNS)

Proposal for a

COUNCIL DECISION

concerning the conclusion of the Agreement between the European Community and the United States of America renewing the co-operation programme in higher education and vocational education and training

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community, and in particular Articles 149 and 150 in conjunction with article 300 (3) first subparagraph thereof,

Having regard to the proposal from the Commission,

Having regard to the opinion of the European Parliament,

Whereas:

(1) by its Decision of 22 May 2000 the Council authorised the Commission to negotiate agreements for cooperation in higher education and vocational training between the European Community, Canada and the United States of America;

(2) the Community and the United States of America expect to obtain mutual benefit from such co-operation, which must, on the Community's side, be complementary to the bilateral programmes between the Member States and the United States of America and provide a European added value;

(3) the Agreement between the European Community and the United States of America renewing a co-operation programme in higher education and vocational education and training should be approved,

HAS DECIDED AS FOLLOWS:

Article 1

The Agreement between the European Community and the United States of America renewing the co-operation programme in higher education and vocational education and training is hereby approved on behalf of the Community.

The text of the Agreement is attached to this Decision.

Article 2

The delegation of the European Community to the Joint Committee referred to in Article 6 of the Agreement shall consist of a representative from the Commission assisted by a representative from each Member State.

Article 3

The President of the Council shall carry out the notifications provided for in Article 12 of the Agreement.

Done at Brussels.

For the Council

The President

FINANCIAL STATEMENT

The amounts put forward in this financial statement have an indicative value. The Commission may review its position on the overall envelope allocated to this action in accordance with its conclusions on the future Community approach to international co-operation in the fields of education and training (a Communication on this issue is expected for the final months of 2000) and with the new planning for heading IV of the budget (External Policy). Annual amounts will be fixed in the context of the annual budgetary procedure.

1. Title of operation

Agreement between the European Community and the United States renewing a cooperation programme in higher education and vocational education and training.

2. Budget heading involved

B7 - 830 - Co-operation with Third Countries

3. Legal Basis

Articles 149, 150 and 300 (2), first sentence and (3), first subparagraph, of the EC Treaty.

Decision of the Council authorising the Commission to negotiate the renewal of Agreements with the United States of America and Canada to co-operate in the areas of Education and Training adopted on 22 May 2000.

4. Description of the operation

4.1. General objective

The general objectives of the programme are:

- To promote closer understanding between the peoples of the European Community and the United States of America, including broader knowledge of their languages, cultures and institutions.

- To improve the quality of human resource development in both the European Community and the United States of America, including the acquisition of skills required to meet the challenges of the global knowledge-based economy.

4.2. Period covered and arrangements for renewal or extension

The Agreement will be in force for five years.

The Agreement may be amended or extended by mutual written agreement.

5. Classification of expenditure

5.1. Compulsory/Non-compulsory expenditure

Non-compulsory expenditure

5.2 Differentiated/Non-differentiated appropriations

Differentiated appropriations

6. Type of expenditure

6.1. Subsidies for co-financed actions

Co-financed actions (subsidies):

- for joint consortia projects and preparatory activities (only to European members);

- for scholarships within the Fulbright Programme/European Union programme;

- for complementary measures (conferences, study visits, diffusion and dissemination of information etc.).

The United States will provide matching financial support to the US members of joint consortia and, where appropriate, for complementary measures. The European Community and the United States shall aim at making equivalent financial contributions to the Fulbright/European Union programme.

6.2. Procurement spending

100% financing for purchased services (mainly studies, publications, experts).

7. Financial impact

7.1. Method of calculating total cost of action - EUR 000's

The Commission has foreseen an indicative envelope of 8,6 million Euro for the five-year duration of the programme.

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7.2. Indicative breakdown of commitment appropriations - EUR 000's

(Amounts expressed in current prices)

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7.3. Operational expenditure for studies, experts, etc. included in part B of the budget - EUR 000's

(Amounts expressed in current prices)

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7.4. Schedule of commitments/payment appropriations - EUR 000's

(Amounts expressed in current prices)

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8. Prevention of fraud

All contracts, agreements and legal undertakings entered into by the Commission and the beneficiaries provide for in situ checks to be carried out on the premises of beneficiaries of a Community grant by the Commission and the Court of Auditors, and bestow the power to require evidence of any expenditure made under such contracts, agreements and legal undertakings within five years following the end of the contractual period. Beneficiaries are subject to reporting and financial accounting obligations, and these are analysed from the point of view of content and eligibility of expenditure, bearing in mind the purpose of the Community funding, and taking account of contractual obligations and of the principles of economy and sound financial management.

Appended to the financial agreements is information of an administrative and financial nature, designed to specify the kind of expenditure which is eligible under such agreements. Where appropriate, Community coverage of certain cost elements will be limited to items which are real, identifiable and verifiable in the beneficiary's book-keeping arrangements, so as to facilitate checking and auditing (and evaluation for selection purposes) of projects in receipt of funding.

9. Elements of cost-effectiveness analysis

9.1. Quantifiable specific objectives; target population

As indicated in the draft agreement, the specific objectives of the programme are:

- To encourage an innovative and sustainable range of student-centred higher education and vocational education and training cooperative activities between the different regions in the European Community and in the United States of America that have a durable impact;

- To improve the quality of Transatlantic student mobility by promoting transparency, mutual recognition of periods of study and training, and, where appropriate, portability of credits;

- To encourage the exchange of expertise in e-learning and open and distance learning and their effective use to broaden Programme impact;

- To promote or enhance partnerships among higher education and vocational education and training institutions, professional associations, public authorities, private sector and other associations as appropriate in both the European Community and the United States of America;

- To reinforce a European Community and a United States dimension to transatlantic cooperation in higher education and vocational education and training;

- Complement relevant bilateral programmes between the Member States of the European Community and the United States of America as well as other European Community and United States programmes and initiatives.

The specific objectives of the programme will be pursued by means of the following actions:

(1) joint projects carried out by multilateral EC/US or EC/Canada consortia; activities will include the holding of annual meetings of all partners, alternately on each side of the Atlantic, to strengthen the development of projects through the sharing of experience and good practice. A limited amount of funding for preparatory and project development activities may also be made available to promising consortia needing to elaborate their ideas further, especially for projects in the vocational area, and particularly innovative or otherwise relevant projects;

(2) Provision of scholarships under the Fulbright/European Union Programme for the study of, and research and lecturing on, European Community affairs and EC/US relations;

(3) complementary measures, such as joint pilot projects with a view to further develop transatlantic cooperation in education and training, exchanges of information, measures to ensure a durable impact of transatlantic cooperation, including dissemination of the results and achievements of joint consortia, and measures to facilitate the dissemination of information on the programme.

(4) technical support measures for the effective implementation of the programme, including the organisation of joint consortia partner meetings and dissemination of information on the programme publications web sites.

The activities foreseen aim at reaching, first of all, higher education and vocational training students through academic mobility and internships, as well as "virtual mobility" activities.

An effort will be made to widen access to the activities supported through the programme, in particular those activities in the vocational training sector.

The implementation of Joint Consortia Projects, with a mainstreamed usage of web-based communication tools, involves a much larger population of home-based students in "virtual mobility" activities.

In order to achieve a further multiplier effect, the programmes aim at involving the academic and administrative staff of higher education and training institutions, professional associations, public authorities, business and other associations interested in transatlantic partnerships and institutional relations.

It is worth pointing out that, with some 43 EU-US joint consortia projects currently being implemented, the programme will have directly involved nearly 2000 EU students in transatlantic exchanges.

9.2. Grounds for operation

The co-operation programme established by the Agreement between the European Community and the United States provides the arena for exchanges of best practices, joint research for answers to the challenges posed by the emerging knowledge-based economy, a testing ground for Community education and vocational training strategies and methodologies; it also encourages European Community institutions into a competitive search for excellence in the provision of education and vocational training beyond the EC's borders.

The programme complements and diversifies both Community co-operation and bilateral arrangements in these fields between the USA and Member States.

As the conclusions of the external evaluation report of August 1999 indicate, the existing focus on students and a multilateral network approach has proved a valuable tool for co-operation bringing economies of scope, scale and quality enhancement with respect to bilateral programmes. A more determined European Community intervention is desirable in order to develop transatlantic cooperation in the field of vocational training. This co-operation will build on existing intra-Community experience.

The programme will continue to contribute to the development of the recognition of periods for study and training across the Atlantic and to provide a Community-wide framework for experimenting with innovative co-operation activities, in terms of the diversity of participants, of themes and of forms of co-operation.

The programme will continue to be one of the most visible, concrete and positive contributions to the European Community Transatlantic policy. The programme will provide a framework for education and vocational training involvement in cooperative activities of direct benefit to EC and USA citizens, thus giving shape to one of the objectives of the 1995 New Transatlantic Agenda and the Joint EC/US Action Plan: bringing together people from both sides of the Atlantic.

9.3. Monitoring and evaluation of the operation

Article 7 of the draft agreement provides that the programme shall be monitored and evaluated as appropriate on a cooperative basis. This shall permit, as necessary, the reorientation of activities in the light of any needs or opportunities becoming apparent in the course of its operation.

The ongoing monitoring of the programme will be based on the information directly available to the Commission (notably, information received from the projects supported). Beneficiaries must submit annual and final activity reports and financial reports, as well as, where appropriate, interim reports, including performance indicator criteria set out in the selection process. Site controls will be carried out as appropriate.

A workshop involving all the Joint Consortia partners will be held alternatively each year on either side of the Atlantic to monitor progress and discuss common problems, challenges and best practice. At the meetings of the Joint Committee, and in the reports, overall activities will be analysed and debated.

In 2003, an independent evaluation of the Joint Consortia projects will be conducted with a view to reporting to Council and the Parliament in the year 2004.

10. Administrative Expenditure (Section III, A part of the budget)

The needs in terms of human resources will be covered by the allocation of the DG EAC.

10.1. Impact on staff

The action will use existing resources as follows:

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10.2. Financial impact of human resources (in Euros)

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10.3. Other operational expenditure (in Euros)

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* Cost per unit

The expenditure will be covered form the annual budget allocated to DG EAC.

The number of missions is calculated as follows:

- To the US: 3 Joint Committee meetings x 2 officials; 2 project selection meetings x 2 officials; 1 vocational training event in the US x 2 official (a second one to be hosted in the EC);

- To the EC: 2 monitoring site visits per year x 1 official; 1 mission for information/dissemination purposes x 1 official (Note: the programme is run without external technical assistance).

The number of A-7030 meetings is calculated as follows:

- 2 higher education/vocational training experts meetings per year.

ANNEX

AGREEMENT BETWEEN THE EUROPEAN COMMUNITY AND THE UNITED STATES OF AMERICA RENEWING A PROGRAMME OF COOPERATION IN HIGHER EDUCATION AND VOCATIONAL EDUCATION AND TRAINING

THE EUROPEAN COMMUNITY,

of the one part, and

THE UNITED STATES OF AMERICA,

of the other part,

hereinafter collectively referred to as the Parties,

NOTING that the Transatlantic Declaration adopted by the European Community and its Member States and the Government of the United States of America in November 1990 makes specific reference to strengthening mutual cooperation in various fields which directly affect the present and future wellbeing of their citizens, such as exchanges and joint projects in education and culture, including academic and youth exchanges;

CONSIDERING that the adoption and the implementation of the 1995 Agreement Between the European Community and the United States of America Establishing a Cooperation Programme in Higher Education and Vocational Education and Training give effect to the commitments of the Transatlantic Declaration and constitute Examples of highly successful and cost-effective cooperation;

NOTING that the New Transatlantic Agenda adopted at the EU-U.S. Summit in December 1995 in Madrid refers under Action IV - Building Bridges Across The Atlantic - to the EC/U.S. Agreement Establishing a Cooperation Programme in Education and Vocational Training as a potential catalyst for a broad spectrum of innovative co-operative activities of direct benefit to students and teachers and refers to the introduction of new technologies into classrooms, linking educational establishments in the United States of America with those in the European Union and encouraging teaching of each other's languages, history and culture;

ACKNOWLEDGING the crucial contribution of education and training to the development of human resources capable of participating in the global knowledge-based economy;

RECOGNISING that cooperation in education and vocational training should complement other relevant cooperation initiatives between the European Community and the United States of America;

NOTING that the 1997 "Bridging the Atlantic: People to People Links" Transatlantic Conference underlined the potential for cooperation between the European Community and the United States of America in the field of non-formal education;

ACKNOWLEDGING the importance of ensuring complementarity with relevant initiatives carried out in the field of higher education and vocational training by international organisations active in these fields such as OECD, UNESCO and the Council of Europe;

RECOGNISING that the Parties have a common interest in cooperation in higher education and vocational education and training between them;

EXPECTING to obtain mutual benefit from co-operative activities in higher education and vocational education and training;

RECOGNISING the need to widen access to the activities supported under this Agreement, in particular those activities in the vocational education and training sector; and

DESIRING to establish a formal basis for continued cooperation in higher education and vocational education and training;

HAVE AGREED AS FOLLOWS:

Article 1

Purpose

This Agreement renews the Cooperation Programme in Higher Education and Vocational Education and Training (hereinafter referred to as 'the Programme`), originally established under the 1995 Agreement Between the the European Community and the United States of America Establishing a Cooperation Programme in Higher Education and Vocational Education and Training.

Article 2

Definitions

For the purpose of this Agreement:

1. 'higher education institution' means any establishment according to the applicable laws or practices which offers qualifications or diplomas at the higher education level, whatever such establishment may be called;

2. 'vocational education and training institutions' means any type of public, semi-public or private body, which, irrespective of the designation given to it, in accordance with the applicable laws and practices, designs or undertakes vocational education or training, further vocational training, refresher vocational training or retraining; and

3. 'students' means all those persons following learning or training courses or programmes which are run by higher education or vocational education and training institutions as defined in this Article.

Article 3

Objectives

The objectives of the Programme shall be to:

1. promote mutual understanding between the peoples of the European Community and the United States of America including broader knowledge of their languages, cultures and institutions;

2. improve the quality of human resource development in both the European Community and the United States of America, including the acquisition of skills required to meet the challenges of the global knowledge-based economy;

3. encourage an innovative and sustainable range of student-centered higher education and vocational education and training cooperative activities between the different regions in the European Community and in the United States of America that have a durable impact;

4. improve the quality of Transatlantic student mobility by promoting transparency, mutual recognition of periods of study and training, and, where appropriate, portability of credits;

5. encourage the exchange of expertise in e-learning and open and distance learning and their effective use to broaden Programme impact;

6. promote or enhance partnerships among higher education and vocational education and training institutions, professional associations, public authorities, private sector and other associations as appropriate in both the European Community and the United States of America;

7. reinforce an E.C. and a U.S. dimension to transatlantic cooperation in higher education and vocational education and training; and

8. complement relevant bilateral programmes between the Member States of the European Community and the United States of America as well as other E. C. and U.S. programmes and initiatives.

Article 4

Principles

Cooperation under this Agreement shall be guided by the following principles:

1. full respect for the responsibilities of the Member States of the European Community and the states of the United States of America and the autonomy of higher education and vocational education and training institutions;

2. mutual benefit from activities undertaken through this Agreement;

3. effective provision of seed funding for a diverse range of innovative projects that build new structures and links, that have a multiplying effect through consistent and effective dissemination of results, that are sustainable over the longer term without on-going Programme support and that, where student mobility is involved, provide mutual recognition of periods of study and training and, where appropriate, portability of credits;

4. broad participation across the different Member States of the European Community and the United States of America;

5. recognition of the full cultural, social, and economic diversity of the European Community and the United States of America; and

6. selection of projects on a competitive basis, taking account of the foregoing principles.

Article 5

Programme Actions

The Programme shall be pursued by means of the actions described in the Annex, which forms an integral part of this Agreement.

Article 6

Joint Committee

1. A Joint Committee is hereby established. It shall comprise an equal number of representatives of each Party.

2. The functions of the Joint Committee shall be to

a) review the co-operative activities envisaged under this Agreement; and

b) and provide a report annually to the Parties on the level, status and effectiveness of co-operative activities undertaken under this Agreement.

3. The Joint Committee shall meet at least every second year, with such meetings being held alternately in the European Community and the United States of America. Other meetings may be held as mutually determined.

4. Decisions of the Joint Committee shall be reached by consensus. Minutes, comprising a record of the decisions and principal points, shall be taken at each meeting. These Minutes shall be approved by those persons selected from each side to jointly chair the meeting, and shall, together with the annual report, be made available to appropriate Minister-level officials of each Party.

Article 7

Monitoring and Evaluation

The Programme shall be monitored and evaluated as appropriate on a cooperative basis. This shall permit, as necessary, the reorientation of activities in the light of any needs or opportunities becoming apparent in the course of its operation.

Article 8

Funding

1. Activities under this Agreement shall be subject to the availability of funds and to the applicable laws and regulations, policies and programmes of the European Community and the United States of America. Financing will be, to the extent possible, on the basis of an overall matching of funds between the Parties. The Parties shall attempt to offer programme activities of comparable benefit and scope.

2. Costs incurred by or on behalf of the Joint Committee shall be met by the Party to whom the members are responsible. Costs, other than those of travel and subsistence, which are directly associated with meetings of the Joint Committee, shall be met by the host Party.

Article 9

Entry of Personnel

Each Party shall use its best efforts to facilitate entry to and exit from its territory of personnel, students, material and equipment of the other Party engaged in or used in cooperative activities under this Agreement.

Article 10

Other Agreements

This Agreement shall not replace or otherwise affect other agreements or activities undertaken in the fields covered between any Member State of the European Community and the United States of America.

Article 11

Territorial Application of this Agreement

This Agreement shall apply, on the one hand, to the territories in which the Treaty establishing the European Community is applied and under the conditions laid down in that Treaty and, on the other hand, to the territory of the United States of America.

Article 12

Entry into Force and Termination

1. This Agreement shall enter into force on 1 January 2001 or on the first day of the month following the date on which the Parties shall have notified each other in writing that their legal requirements for the entry into force of this Agreement have been fulfilled, whichever is the later date. This Agreement replaces the 1995 Agreement Between the European Community and the United States of America Establishing a Cooperation Programme in Higher Education and Vocational Education and Training in its entirety.

2. This Agreement shall remain in force for five years and may be extended or amended by mutual written agreement. Amendments or extensions shall enter into force on the first day of the month following the date on which the Parties shall have notified each other in writing that their requirements for entry into force of the agreement providing for the amendment or extension in question have been fulfilled.

3. This Agreement may be terminated at any time by either Party by twelve months' written notice. The expiration or termination of this Agreement shall not affect the validity or duration of any pre-existing arrangements made under it.

Article 13

This Agreement is drawn up in duplicate in the Danish, Dutch, English, Finnish, French, German, Greek, Italian, Portuguese, Spanish and Swedish languages, each of these texts being equally authentic.

In witness whereof the undersigned, being duly authorised, have signed the present Agreement.

DONE at .........., this....... day of ..........., 2000

FOR THE EUROPEAN COMMUNITY

FOR THE GOVERNMENT OF THE UNITED STATES OF AMERICA

ANNEX

ACTIONS

Action 1 : Joint European Community/United States Consortia Projects

1. The Parties shall provide support to higher education and vocational education and training institutions which form joint EC/US consortia for the purpose of undertaking joint projects in the area of higher education and vocational education and training. The European Community will provide support for the use of the European Community consortia partners; the United States of America will provide support for United States consortia partners.

2. Each joint consortium must have a minimum of three active partners on each side from at least three different Member States of the European Community and three different states of the United States of America.

3. Each joint consortium should, as a rule, involve transatlantic mobility of students, with a goal of parity in the flows in each direction, and should foresee adequate language and cultural preparation.

4. The structural cooperative activities of a consortium will be supported by seed funding for a maximum period of three years. Preparatory or project development activities may be supported for a period of up to one year.

5. Appropriate authorities on each side will mutually agree upon the eligible subject areas for joint EC/US consortia.

6. Project activities eligible for support may include:

a) preparatory or project development activities;

b) development of organisational frameworks for student mobility, including work placements, which provide adequate language preparation and full recognition by the partner institutions;

c) structured exchanges of students, teachers, trainers, administrators, and other relevant specialists;

d) joint development and dissemination of innovative curricula, including teaching materials, methods and modules;

e) joint development and dissemination of new methodologies in higher education and vocational education and training, including the use of information and communication technologies, e-learning, and open and distance learning;

f) short intensive programmes of a minimum of three weeks, provided they are an integral part of the programme of study or training;

g) teaching assignments at a transatlantic partner institution that support the project's curriculum development; and

h) other innovative projects which aim to improve the quality of transatlantic cooperation in higher education and vocational education and training and meet at least one of the objectives specified in Article 3 of this Agreement.

Action 2 : Fulbright/European Union Programme

The Parties shall provide scholarships for the study of, and research and lecturing on, European Community affairs and EC/US relations. Grants will be provided under the Fulbright/European Union programme.

Action 3: Complementary Activities

The Parties may support a limited number of complementary activities in accordance with the objectives of the Agreement, including exchanges of experience or other forms of joint action in the fields of education and training.

PROGRAMME ADMINISTRATION

Administration of the Actions shall be implemented by the competent officials of each Party. These tasks may include:

1. deciding upon the rules and procedures for the presentation of proposals including the preparation of a common set of guidelines for applicants;

2. establishing a timetable for publication of calls for proposals, submission and selection of proposals;

3. providing information on the Programme and its implementation;

4. appointing academic advisors and experts;

5. recommending to the appropriate authorities of each Party which projects to finance;

6. providing financial management; and

7. promoting a cooperative approach to programme monitoring and evaluation.

TECHNICAL SUPPORT MEASURES

Under the present Programme, funds may be used for the purchase of services necessary to the implementation of the Programme. In particular, the Parties may have recourse to experts; may organise seminars, colloquia or other meetings likely to facilitate the implementation of the Programme; and may undertake evaluation, information, publication and dissemination activities.