ARCHIVES HISTORIQUES 
DE LA COMMISSION 
 
 
 
COLLECTION RELIEE DES 
DOCUMENTS "COM" 
 
 
 
 
COM (84) 254 
 
 
 
Vol. 1984/0 120 
  
 
Disclaimer  
Conformém ent au règlement (CEE, Euratom) n° 354/83 du Conseil du 1er février 1983 
concernant l'ouverture au public des archives historiques de la Communauté économique 
européenne et de la Communauté européenne de l'énergie atomique (JO L 43 du 15.2.1983, 
p. 1), tel que modifié par le règlement (CE, Euratom) n° 1700/2003 du 22 septembre 2003 
(JO L 243 du 27.9.2003, p. 1), ce dossier est ouvert au public. Le cas échéant, les documents 
classifiés présents dans ce dossier ont été déclassifiés conformément à l'article 5 dudit 
règlem ent. 
In accordance with Council Regulation (EEC, Euratom) No 354/83 of 1 February 1983 
concerning the openi ng to the public of the historical archives of the European Econom ic 
Community and the European Atomic Energy Communit y (OJ L 43, 15.2.1983, p. 1), as 
amended by Regulation (EC, Euratom) No 1700/2003 of 22 September 2003 (OJ L 243, 
27.9.2003, p. 1), this f ile is open to the public. Where necessary, classified documents in this 
file have been declassified in conformity with Article 5 of the aforementioned regulation.  
In Übereinstimmung mit der Verordnung (EWG, Euratom) Nr. 354/83 des Rates vom  1. 
Februar 198 3 über die Freigabe der historischen Archive der Europäischen  
Wirtschaftsgemeinschaft und der Europäischen Atomgem einschaft (ABI. L 43 vom  15.2.1983,  
S. 1), geändert durch die Verordnung (EG, Euratom) Nr. 1700/2003 vom 22. Septem ber 2003  
(ABI. L 243 vom 27 .9.2003, S. 1), ist diese Datei der Öffentlichkeit zugänglich. Soweit  
erforderlich, wurden die Verschlusssachen in dieser Datei in Übereinstimmung mit Artikel 5  
der genannten Verordnung freigegeben.  
COMMISSION OF THE EUROPEAN COMMUNITIES
GENERAL BUDGET FOR 1984  
SECTION III - COMMISSIONCOM(84) 254 final.  
Brussels, 27 April 1984.
I. TRANSFER No 11/84 
(Non-compulsory expenditure)
from Chapter B-101 to Chapters A-20, A-22 and A-23: 588 900 ECU
(Setting-up of a Commission delegation in Brasilia)
II. TRANSFER No 12/84 
(Non-compulsory expenditure)
from Chapter A-100 to Chapter A-28: 550 000 ECU
(Europe-Latin America Institute)
III. TRANSFER No 13/84 
(Non-compulsory expenditure)
from Chapter A-100 to Chapter A-20: 1 750 000 ECU
(Construction of the Commission delegation building in Canberra)
COM(84) 254 final.

GENERAL BUDGET FOR 1984 
SECTION III - COMMISSION
TRANSFER OF APPROPRIATIONS No 11/84 
(Non-compuLsory expenditure)
ECU
FROM CHAPTER B-101 - CONTINGENCY RESERVE 588 900
TO CHAPTER A-20 - INVESTMENTS IN IMMOVABLE PROPERTY,
RENTAL OF BUILDINGS AND ASSOCIATED 
COSTS
Article 200 -Rent70 000
Article 201 -Insurance 700
Artie le 202 -Water, gas, electricity and heating 5 000
Artiele 203 -Cleaning and maintenance 6 750
Artie le 204 -Fitting-out of premises 175 000
Art i cle 205 -Security and surveillance of buildinqs 36 750
Artie le 209 -Other expenditure on buildings 2 000
TO CHAPTER A~22 - MOVABLE PROPERTY AND ASSOCIATED
COSTS
Article 220 - Office machines
Item 2200 - New purchases of office machines 15 000
Item 2203 - Maintenance, use and repair of office
machines 700
Article 221 - Furniture
Item 2210- New purchases of furniture 105 Q00
Article 222- Technical equipment and installations
Item 2220- New purchases of technical equipment
and installations 7S flDD
Item 2222- Hire of technical equipment and
installations 10 000

- 2 -
Article 223 - Vehicles
Item 2230 - New purchases of vehicles 17 500
Item 2232 - Hire of vehicles 3 000
Item 2233 - Maintenance, use and repair of vehicles 1 100
Article 225 - Documentation and library expenditure
Item 2250 - Library funds, purchase of books 1 700
Item 2252 - Subscriptions to newspapers and periodicals 3 400
Item 2253 - Subscriptions to news agencies 2 700
TO CHAPTER A-23 
Article 230 
Article 231 
Item 2310 
Item 2311 
Article 235 
Item 2353CURRENT ADMINISTRATIVE EXPENDITURE 
Stationery and office supplies 
Postal charges and telecommunications 
Postage and delivery charges 
Telephone, telegraph, telex, television 
Other operating expenditure 
Departmental removals and associated 
handling11 500
10 100 
35 000
1 000
,  TOTALS 588 900 588 900
The Financial Controller approved this proposal on 16 April 1984 in
accordance with Article 21(4) of the Financial Regulation and certified
that the appropriations are available.

- GROUNDS
1. In connection with thè preliminary draft budget for 1982 thè 
Commission requested thè appropriations necessary to set up a 
Commission delegation in Brasilia. The Council gave its 
approvai in principle, but entered thè appropriations in 
Chapter 100 pending thè conclusion of a Cooperation agreement 
between the Community and Brazil.
2. The Cooperation agreement was ratified on 1 October 1982 and it 
was thought that thè headquarters agreement would be signed in 
November. This did not happen and it therefore proved impossible 
to commit the appropriations obtained on 8 December, following 
thè transfer request made to the budgetary authorities on
22 November (C0M(82)780 final), before thè end of 1982.
3. The headquarters agreement was finally signed on 4 April 1984, 
thereby removing all obstacles to the setting-up of the 
Brasilia delegation, which should become fully operational towards 
thè end of the year.
Since the appropriations entered in the 1982 budget could not be 
used and since the 1984 budget makes no Provision for the 
setting-up of the delegation, the only way to meet initial 
installation costs and three months' running costs for the 
delegation in 1984 is to make a transfer from the contingency 
reserve in Chapter 101 of the 1984 budget to Chapters A-20, A-22 
and A-23.
4. Transfer of appropriations requested:
(a) Chapter A-20:
The appropriations to be transferred to this heading have 
been calculated on the basis of previous experience of 
setting up Offices in countries with similar characteristics. 
However, certain items of expenditure are difficult to 
forecast and the appropriations entered can only be regarded 
as a realistic estimate.
- Artide A 200: rent
The delegation and thè information Service require a surface 
2area of 1 200 m to house an initial staff of four officials 
and fifteen local staff and to provide common working areas 
(such as a meeting room, documentation room/1ibrary, area 
for technical insta l lations, etc.).

- 2 -
According to initial estimated accommodation will cost about 
292 ECU/m a year, giving a rent of 27 600 ECU per quarter, 
to which must be added 20% to 30% for rates and services. 
However, a sum of 70 000 ECU is requested to cover any 
advance payment of rent that may be necessary; this 
practice is becoming increasingly common worldwide.
- Article A 201: insurance
The cost of insuring the premises through a policy underwritten 
in Brussels is put at 700 ECU.
- Article A 202: water, gas, electricity and heating
An estimated 5 000 ECU is needed per quarter.
- Article A 203: cleaning and maintenance
An estimated 6 750 ECU is needed per quarter.
- Article A 204: fitting-out of premises
Experience has shown that the fitting-out of premises is 
very costly, even if the basic structure of the premises is 
acceptable. Specific improvements (such as fans, current 
generators and equalizers, air conditioning, etc.) together 
with minor improvements (offices and various installations) 
wilt require the sum of 175 000 ECU.
" Article A 205: security and surveillance of buildings
An estimated 36 750 ECU is needed for caretaking, a safe and 
other security measures.
~ Article A 209: other expenditure on buildings
An estimated 2 000 ECU is needed.
(b) Chapter A-22:
“ Item A 2200: new purchases of office machines
The sum of 15 000 ECU should be sufficient to purchase the 
typewriters and calculators needed to make the delegation 
operational.
Item A 2203: maintenance, use and repair of office machines
The sum of 700 ECU will be sufficient to cover the maintenance 
contracts and repair of new office machines purchased.

- 3 -
Item A 2210: new purchasesof furniture
The 105 OOP ECU requested is needed to cover new purchases 
of office furniture for individual staff and furniture, such 
as work-tables, cupboards, shelves, filing cabinets, etc. for 
general use.
“ Item A 2220: new purchases of technical equipment and
installations
The telephone equipment, telex, two photocopiers and various 
other technical items form part of the delegation's basic 
equipment and justify the sum of 75 000 ECU.
" Item A 2222: hire of technical equipment and installations
It is necessary to make provision for the hire of a 
photocopier and a franking machine from the outset, at an 
estimated cost of 10 000 ECU.
~ Item A 2230: new purchases of vehicles
The cost of purchasing a vehicle (possibly imported from 
Europe) is estimated at 17 500 ECU.
- Item A 2232: hire of vehicles
The sum of 3 000 ECU is considered necessary to cover the 
cost of vehicle and taxi hire pending the arrival of the 
official vehicle.
~ Item A 2233: maintenance, use and repair of vehicles
Given conditions in Brasilia, the official vehicle will be 
extensively used. The 1 100 ECU requested is therefore 
justi fied.
~ Items A 2250, 2252, 2253 and 2254: documentation and library
expenditure
The 7 800 ECU requested will allow the new delegation to 
build up the basic documentation it needs by buying books and 
subscribing to newspapers, periodicals and news agencies.
(c) Chapter A-23:
The appropriations needed under this heading are difficult to
estimate, particularly as regards telephone and telex (provision
will have to be made for buying the necessary lines) and postage
and delivery charges. On the basis of previous experience, the
appropriations required have been put at 57 600 ECU.

SITUATION IN CHAPTER B-101
AT 12 APRIL 1984
1. Initial appropriations
2. Transfers pending
3. Transfers made
4. Appropriations available5 000 000 ECU 
3 198 107 ECU
1 801 893 ECU

GENERAL BUDGET FOR 1984
SECTION III - COMMISSION - PART A
TRANSFER OF APPROPRIATIONS No 12/84 
(Non-compulsory expenditure)
FROM CHAPTER 100 - PROVISIONAL APPROPRIATIONS
TO CHAPTER 28 - SUBSIDIES FOR BALANCING BUDGETS
Article 282 - Subsidy for the establishment and operation of
a Europe-Latin America Institute
550 000 ECU
The Financial Controller approved this proposal on 16 April 1984 in
accordance with Article 21(4) of the Financial Regulation and certified
that the appropriations are available.

GROUNDS
In a communication to the Council dated 21 March 1983 (C0M(83)142 final) 
the Commission proposed the setting up of an Institute for 
European-Latin American Relations.
The budgetary authority followed up this proposal by entering 
950 000 ECU in Title 10, Chapter 100 of Part A of the 1984 budget.
At the same time, a new budget heading - Article 282 - was created 
(Subsidy for the establishment and operation of a Europe-Latin America 
Institute). This heading was classified as non-compulsory expenditure.
The basic features for assessing this proposal are listed below:
Objective There is currently no regional European-Latin American
body where problems and prospects can be analysed 
and discussed with a view to better understanding 
and cooperation. The Institute would fill this 
gap and serve among other things as:
a forum for meetings, exchanges of views, seminars, etc.
- a source of information - publication of weekly 
newssheet, guides, etc.
a centre for research where workshops could 
be held and studies undertaken on topics relating 
e.g. to debt, or the possible role to be played 
by Europe in the current Central American situation.
In all these activities it would cooperate closely 
with existing bodies.
Institutions The governing bodies would be joint European-Latin American 
institutions, preserving a balance between the 
various nationalities.
International Council:  12 full members and 12 alternates,
6 per region in each case
Executive Committee:  10 members (5 from each region)
Institute:  the Institute itself would have two branches,
one in each of the regions.
Committee of Patrons
These would be private, independent, non-profit making 
bodies incorporated under the law of the host country.

- 2 -
Financing Grant from the Community budget for start-up and
administration, plus grants from Latin American 
bodies and governments, own resources and donations 
-  from individuals, companies and foundations.
Activities Foundation phase: provision of facilities and
staff necessary for establishment of the Institute, 
culminating in a foundation conference in 1984.
Operating phase: as from after the conference.
For organizational reasons, the Institute's activities 
should initially be carried out by one of the 
branches only, preferably the European one.
The proposal for a transfer covers approximately 58% of the appropriations 
initially allocated to this project.
Although subsidized by the Community, the Institute will be set 
up by private initiative and the preparatory work - including the 
following - will have to be carried out by a qualified private 
team:
determination of the persons who will act as the constitutive 
bodies and institutions of the future Institute (International 
Council, Executive Committee);
detailed definition of the Institute's tasks;
- preparation of the decision on the headquarters of the European 
branch of the Institute;
recruitment of staff for the Institute;
- preparations for equipping the Institute;
- preparations for the foundation conference, with the organization 
of a seminar on the prospects for increased cooperation between 
Europe and Latin America, etc.
After the foundation stage, the Commission subsidy will be used
to finance the running of the Institute.

GENERAL BUDGET FOR 1984
SECTION III - COMMISSION - PART A
TRANSFER OF APPROPRIATIONS No 13/84 
(Non-compuLsory expenditure)
FROM CHAPTER 100 - PROVISIONAL APPROPRIATIONS
TO CHAPTER 20 - INVESTMENTS IN IMMOVABLE PROPERTY, RENTAL
OF BUILDINGS AND ASSOCIATED COSTS
Article 207 - Construction of buildings
Item 2071 - Construction of the commission delegation 
building in Canberra (Australia)
1 750 000 ECU
The Financial Controller approved this proposal on 18 April 1984 in 
accordance with Article 21(4) of the Financial Regulation and 
certified that the appropriations are available.

GROUNDS
I. Background
The Commission opened its delegation in Canberra in February 1981. 
During exploratory talks in 1980, the Australian Foreign Ministry 
informed the Commission that the Australian Government was 
concerned at the number of diplomatic missions whose 
chancelleries had been installed in residential areas of Canberra 
since this contravened the Australian Capital Territory City 
Leases Ordonance and created specific difficulties for the 
local authorities. The Australian Government had decided in 
February 1977 that all diplomatic missions whose chancelleries 
were located in residential areas would have to move to a 
designated diplomatic area within ten years.
2To this end the Australian Government made a 7 553 m site 
in Yarralumla available to the Commission with a 20-year lease 
at an initial rental of $A 8 000 a year. The Commission site 
is roughly the same size as the site made available to the 
Netherlands. But it is smaller than the Irish and Greek plots, 
roughly half the size of the German one and a quarter of the 
size of the French and Belgian ones.
Under the terms of the lease, the Commission was required to
construct a building within 18 months of the date of
2signature, A residence with an area of 490 m costing $A 483 000 
(615 000 ECU)*was accordingly built at the end of 1981. It 
has been in use since the end of 1982. Since it was decided 
at that time to postpone the construction of the delegation 
building, 2 million ECU were entered in Title 10, Chapter 100 
of Part A of the 1984 budget.
Pending the construction and occupation of its own offices,
2the Commission rented 1 100 m of office space on Manuka Franklin 
Street at an annual rental of $A 146 510 (167 648 ECU) for the 
first year rising to $A 161 680 (185 006 ECU) for the period 
from 1 March 1983 to 1 March 1984. The five-year lease signed 
on 1 March 1981 expires at the end of February 1986. Construction 
of the new office building should be completed by that date.
* On the basis of the ECU rate for June 1982, when payment was made. At
the ECU rate for February 1984 $A 483 000 would be 667 112c6 ECU.

- 2 -
II. Assessment of economic and financial aspects
Comparison of the cost of rental with that of construction 
shows that the investment will be covered within 13 years 
of completion (Annex I).
Ill. Appointment of project leader
With a view to submitting an exhaustive dossier on the 
delegation building project to the budgetary authority, 
the Commission issued an invitation to tender to appoint 
a project leader and get an estimate of the overall cost.
Issuingj^f_ 2n\/2tat ion_to_tender
On 3 December 1983 the Commission issued a restricted 
invitation to tender to project managers and architects 
recommended by the Royal Institute of Architects.
The deadline for submitting bids was set at 1600 hours 
on 20 December.
The invitation was issued on the basis of drawings and 
specifications produced by the Commission's Architect-Adviser 
and called for:
- an estimate of construction costs, excluding consultancy 
and management fees (at December 1983 prices); 
consultancy fees for all parties concerned (architects, 
engineers, quantity surveyors, etc.); 
project manager's fees where appropriate.
Bids were submitted to the Commission delegation in Canberra 
in sealed double envelopes and forwarded to Brussels in the 
diplomatic bag.
Opernng_of_bids
In line with normal procedures the Commission opened the 
bids on Thursday 5 January.
^§i§£ii 2D_2i_B£°i§ct_leader
There is a big difference between the Lowest and the
highest bid for construction (from $A 645 825 to $A 2 315 000).
The time required for construction varied between 20 and 
50 weeks. This has direct influence on the cost (reduces the 
impact of the labour and materials index and brings construction 
time into line with Commission requirements).
Civil and Civic, which submitted the lowest bid, is the company 
which built the residence to the Commission's entire 
satisfaction.
The Commission can make the entire tender dossier available 
to the budgetary authority.

- 3 -
Selection of contractor
Civil and Civic was therefore asked to prepare drawings and 
specifications, obtain planning permission, organize the 
invitation to tender for the construction work and assume 
responsibility for the project. A contract is being drafted 
and will be signed as soon as the appropriations are available.
The single-storey building will have a surface area of 
approximately 1 500 m with a rational office and departmental 
layout dictated by public access areas and the limited space 
available. This will make it possible to house the 25 staff 
now employed by the delegation and leave a small margin for 
expansion (Annexes II and III).
Assessment of expendi ture
1 - Basic bid $A $A
Construction cost December 1983 645 825 741 000
Fees 95 175
2. Expenditure not included in the bid
Internal fitting-out 300 ooo
External works 100 000
Increase cost arising from labour and
materials index (15% on the bid proper) 105 900
Currency fluctuations (15%) 202 035
3. Quantity surveyor's consultancy fees (5%) 72 447
1 521 382
This makes a total of 1 742 670 ECU, rounded up to 1 750 000 ECU. 
Request for transfer
Since Chapter 100 (Provisional Appropriations) of the 1984 budget 
includes a 2 million ECU appropriation for the construction of 
the delegation building in Canberra, the Commission proposes that 
the budgetary authority authorize the transfer of 1 750 000 ECU 
to Article 207 (construction of buildings), which now has a token 
entry only.
This sum corresponds to requirements arising from the bid plus
an estimate figure for expenditure not included in the bid.

SITUATION IN CHAPTER A-100 
AT 17 APRIL 1984
1. Initial appropriations 3 248 000
2. Transfers pending 2 300 000
3. Transfers made
4. Appropriations available 948 000

Annex I
COMPARATIVE-COST TO THE" COMMISSION OF RENTAL AND CONSTRUCTION USING BUDGETARY FUNDS
(IN AUSTRALIAN DOLLARS)
Period 
(One year to 
1 March)
1984
1985
1986
.1987
1983
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998RENTAL* OF EXISTING PREMISES (1 200 m )
BREAKDOWN
Cost 1.3.84 + 11.78) 
from 1.3.1983
Cost 1.3.86 + 25 X 
(164.720)
Cost 1.3.88 + 25 X
(205.900) ·
Cost 1.3.91 + 25 X 
(257.375)
Cost 1.3.94 + 25% 
(321.719)
Cost 1.3.97 + 25 % 
(402.149)COST
185.006
185.006 
202.418
205.900
205.900 
248.796
257.375
257.375 
310.995
321.719
321.719 
388.744
402.149
402.149 
485.930CUMULATIVE COST 
(I)
185.006
370.012
572.430
778.330
984.230
1.233.026
1.490.401 
1.747.776 
2.058.771
2.380.490
2.702.209
3.090.953
3.493.102 
3.895.251 
4.381 .181CONSTRUCTION USING BUDGETARY FUNDS (1 500 r n  )
BREAKDOWN
Rental +
400.U00 E.
Rental + 
1.350.000 E.
2 months’  rentalCOST
585.006
1.535.006
30.835CUMULATIVE COST  
(II)
585.006
2.120.012
2.150.847
2.150.847
2.150.847
2.150.847
2.150.847
2.150.847
2.150.847
2.150.847
2.150.847
2.150.847
2.150.847
2.150.847
2.150.847
of which 20.287 ECU a year is not indexed until 1.3.1986.

Annex 1-1
DIFFERENCE BETUEEN COST OF 
CONSTRUCTION AND COST OF 
RENTAL (II - I) = IIIDIFFERENCE BETWEEN THE TWO 
SYSTEMS (INTEREST INCLUDED)(1)NOTIONaL COMPOUND INTEREST (12%)CUMULATIVE DIFFERENCE 
IN COST (1) + (2)
III + (IV of previous year) FOR THE YEAR(2) CUMULATED (IV) or (HI)
+ 400.000 400.000 52.000 52.000 452.000
+ 1.750.000 1.802.000 234.260 286.260 2.036.260
+ *  1 .578.417 1.864.677 233.085 519.345 2.097.762
+ 1.372.517 .  
+ 1.166.617 
+ 917.8211.891.862
1.884.608
1.833.696198.646
197.884
192.538717.991 
915.875 
1.108.4132.090.508
2.082.492
2.026.234
+ 660.446 
+ 403.071 
+ 92.0761.768.859 
1.697.214 
1.564.426185.730
178.207
164.2651.294.143
1.472.350
1.636.6151.954.589
1.875.421
1.728.691
229.643
551.352
940.1061.406.972 
1.232.985 
973.704147.732
129.463
102.2391.784.347 
1.913.810 
2.016.0491.554.704
1.362.448
1.075.943
1.342.255
1.744.404
2.230.334673.794 
342.393 
- 107.58670.748 
35.951 
- 11.2972.086.797 
2.122.748 
2.111 .451744.542 
378.344 
- 118.883

Annex 1-2
INTEREST PAYMENTS (in ECU)
1984 :400.0Ö0 x 0,13 = 52.000
1985 :400.000 + 52.000 + 1 .350.000 = =  1.802.000 > c  0,13 = 234.260
1986 : 1 .802.000 +234.260-171.583= 1.864:677 x 0,125=233.085
1987 :1.864.677 +233.085 -205.900= 1.891.862 x 0,105= 198.646
1988 :1.891.862 +198.646-205.900= 1 .884.608 x 0,105= 197.884
1989 :1.884.608 +197.884-248.796= 1.833.696 x 0,105= 192.538
1990 ::  1.833.696 +192.538-257.375= 1 .768.859 x 0,105= 185.730
1991 :1.768.859 +185.730 -257.375= 1.697.214 x 0,105= 178.207
1992 ::  1.697.214 +178.207 -310.995= 1.564.426 x 0,105= 164.265
1993 ::  1.564.426 +164.265 -321 .719= 1.406.972 w 0,105= 147.732
1994 ::  1.406.972 X147.732-321 .719= 1.232.985 x 0,105= 129.463
1995 ::  1.232.985 +129.463-388.744= 973.704 x 0,105 = 102.239
1996 ::  973.704 + 102.239 - 402.149 = 673.794 x 0 ,105 = 70.748
1997 ::  673.794 + 70.748 - 402.149 = 342.393 x 0,105 = 35.951
1998:  342.393 + 35.951 - 485.930 = 107.586 x 0,105 = - 11.297

PARKES

BASERENT PIAN 1  2 o o

RESIDENCE

Annex III
ESTIMATE OF SPACE REQUIRED BY CANBERRA DELEGATION
At present the Commission rents an area of 1 200 m , on two Levels, 
to house a staff of 25.
Estimate of medium-term requirements (in m )
Reception, telephone exchange, cloakroom 50
Head of Delegation 30
Offices (15 per person for a staff of 32) 480
Archives 50
Code room + confidential papers room 30
Meeting rooms 120
Documentation !
L1brary j: 220
Reading room !
Storeroom (documents, publications, etc.) )
Storeroom (office supplies, machines, etc.) 60
Telex, mail, photocopier, etc. 50
Technical services 50
Kitchen/staff lunchroom 40
Sanitary facilities 100
Storeroom (cleaning, etc.) 20
Corridors, passages, etc. 200
Underground parking area (8 spaces) PM
Surface parking area PM
1 500