A4-0249/97

Resolution on the proposal for an Interinstitutional Agreement between the European Parliament, the Council and the European Commission on provisions regarding financing of the Common Foreign and Security Policy

The European Parliament,

- having regard to the proposal for an Interinstitutional Agreement between the European Parliament, the Council and the European Commission on provisions regarding financing of the Common Foreign and Security Policy ,

- having regard to the results of the Intergovernmental Conference of 19 June 1997,

- having regard to Rule 85 of the Rules of Procedure,

- having regard to the report of the Committee on Budgets and the opinion of the Committee on Institutional Affairs (A4-0249/97),

1. Approves the Interinstitutional Agreement annexed to this resolution;

2. Instructs its President to forward this resolution to the Council and the Commission.

Interinstitutional Agreement between the European Parliament, the Council and the European Commission on provisions regarding financing of the Common Foreign and Security PolicyGeneral ProvisionsA. CFSP operational expenditure shall be charged to the budget of the European Communities, unless the Council decides otherwise, in accordance with Article J.18 (currently Article J.11) of the treaty.

B. CFSP expenditure shall be treated as expenditure not necessarily resulting from the Treaty. However, the following specific modalities of implementation of the expenditure in question are hereby laid down by common agreement between the European Parliament, the Council and the Commission.

Financial ArrangementsC. On the basis of the preliminary draft budget established by the Commission, the European Parliament and the Council shall annually secure agreement on the amount of the operational CFSP expenditure to be charged to the Communities' budget and on the allocation of this amount among the articles of the CFSP budget chapter (for articles: see suggestions under G).

In the absence of agreement, it is understood that the European Parliament and the Council shall at least agree to enter in the CFSP budget the amount contained in the previous budget, unless the Commission proposes to lower that amount.

D. The total amount of operational CFSP expenditure shall be entirely entered in one (CFSP) budget chapter, under the articles of this chapter (as suggested in G). This amount shall cover the real predictable needs and a reasonable margin for unforeseen actions. No funds will be entered into a reserve. Each article shall cover common strategies or joint actions already adopted, measures which are foreseen but not yet adopted and all future - i.e. unforeseen - actions to be adopted by the Council during the financial year concerned.

E. In conformity with the Financial Regulation, the Commission, on the basis of a Council decision, will have the authority to, autonomously, make credit- transfers between articles within one budget chapter, i.e. the CFSP envelope, and the flexibility deemed necessary for a speedy implementation of CFSP actions will accordingly be assured.

F. In the event of the amount of the CFSP budget during the financial year being insufficient to cover the necessary expenses, the European Parliament and the Council shall agree to find a solution as a matter of urgency, on a proposal by the Commission.

G. Within the CFSP budget chapter, the articles into which the CFSP actions are to be entered could read along the following lines:

- observation and organisation of elections/participation in democratic transition processes

- EU envoys

- prevention of conflicts/peace and security processes

- financial assistance to disarmament processes

- contributions to international conferences

- urgent actions

The European Parliament, the Council and the Commission agree that the amount for actions entered under the article mentioned in the sixth indent cannot exceed 20 per cent of the global amount of the CFSP budget chapter.

Ad hoc concertation procedureH. An ad hoc concertation procedure shall be set up, with a view to reaching an agreement between the two arms of the budgetary authority as far as the aforementioned amount of CFSP expenditure and the distribution of this amount over the articles of CFSP budget chapter are concerned.

I. This procedure will be applied at the request of the European Parliament or the Council, notably if either of these institutions intends to depart from the preliminary draft budget of the Commission.

J. The ad hoc concertation procedure has to be concluded before the date set by the Council for establishing its draft budget.

K. Each arm of the budgetary authority shall take whatever steps are required to ensure that the results which will be secured in the ad hoc concertation procedure are respected throughout the budgetary procedure.

Consultation and information of the European ParliamentL. On a yearly basis the Presidency of the Council shall consult the European Parliament on a document established by the Council on the main aspects and basic choices of the CFSP, including the financial implications for the Communities budget. Furthermore, the Presidency shall on a regular basis inform the European Parliament on the development and implementation of CFSP actions.

M. The Council shall, each time it adopts a decision in the field of CFSP entailing expenses, immediately and in each case communicate to the European Parliament an estimate of the costs envisaged ('fiche financière'), in particular those regarding time-frame, staff employed, use of premises and other infrastructure, transport facilities, training requirements and security arrangements.

N. The Commission shall inform the budgetary authority on the execution of CFSP actions and the financial forecasts for the remaining period of the year on a quarterly basis.