P8_TC1-COD(2018)0196

Position of the European Parliament adopted at first reading on 27 March 2019 with a view to the adoption of Regulation (EU) …/… of the European Parliament and of the Council laying down common provisions on the European Regional Development Fund, the European Social Fund Plus, the Cohesion Fund, the European Agricultural Fund for Rural Development, and the European Maritime and Fisheries Fund and financial rules for those and for the Asylum and Migration Fund, the Internal Security Fund and the Border Management and Visa Instrument [Am. 1]

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty on the Functioning of the European Union, and in particular Articles 177, 322(1)(a) and 349 thereof,

Having regard to the proposal from the European Commission,

After transmission of the draft legislative act to the national parliaments,

Having regard to the opinion of the European Economic and Social Committee (1),

Having regard to the opinion of the Committee of the Regions (2),

Having regard to the opinion of the Court of Auditors (3),

Acting in accordance with the ordinary legislative procedure (4),

Whereas:

(1) Article 174 of the Treaty on the Functioning of the European Union (‘TFEU’) provides that, in order to strengthen its economic, social and territorial cohesion, the Union is to aim at reducing disparities between the levels of development of the various regions and the backwardness of the least favoured regions or islands, and that particular attention is to be paid to rural areas, areas affected by industrial transition, and regions which suffer from severe and permanent natural or demographic handicaps. These regions particularly benefit from cohesion policy . Article 175 of the TFEU requires that the Union is to support the achievement of these objectives by the action it takes through the European Agricultural Guidance and Guarantee Fund, Guidance Section, the European Social Fund, the European Regional Development Fund, the European Investment Bank and other instruments. Article 322 of the TFEU provides the basis for adopting financial rules determining the procedure to be adopted for establishing and implementing the budget and for presenting and auditing accounts, as well as for checks on the responsibility of financial actors. [Am. 2]

(1a) It is important for the future of the European Union and its citizens that cohesion policy remains the main investment policy of the Union, keeping its funding in the 2021-2027 period at least at the level of the 2014-2020 programming period. New funding for other areas of activity or programmes of the Union should not be to the detriment of the European Regional Development Fund, the European Social Fund Plus or the Cohesion Fund. [Am. 3]

(2) In order to further develop a coordinated and harmonised implementation of Union Funds implemented under shared management namely the European Regional Development Fund (‘ERDF’), the European Social Fund Plus (‘ESF+’), the Cohesion Fund, measures financed under shared management in the European Maritime and Fisheries Fund (‘EMFF’), the Asylum and Migration Fund (‘AMIF’), Internal Security Fund (‘ISF’) and Integrated Border Management Fund (‘BMVI’), financial rules based on Article 322 of the TFEU should be established for all these Funds (‘the Funds’), clearly specifying the scope of application of the relevant provisions. In addition, common provisions based on Article 177 of the TFEU should be established to cover policy specific rules for the ERDF, the ESF+, the Cohesion Fund and the EMFF and to a specific extent the European Agricultural Fund for Rural Development (EAFRD) . [Am. 430]

(3) Due to the specificities of each Fund, specific rules applicable to each Fund and to the European territorial cooperation goal (Interreg) under the ERDF should be laid down in separate Regulations (‘Fund-specific Regulations’) to complement the provisions of this Regulation.

(4) The outermost regions and the northern sparsely populated regions should benefit from specific measures and from additional funding pursuant to Article 349 of the TFEU and Article 2 of Protocol No 6 to the 1994 Act of Accession in order to address their specific disadvantages related to their geographic location . [Am. 5]

(5) Horizontal principles as set out in Article 3 of the Treaty on the European Union (‘TEU’) and in Article 10 of the TFEU, including principles of subsidiarity and proportionality as set out in Article 5 of the TEU should be respected in the implementation of the Funds, taking into account the Charter of Fundamental Rights of the European Union. Member States should also respect the obligations of the UN Convention on the Rights of the Child and of the UN Convention on the Rights of Persons with Disabilities and ensure accessibility in line with its article 9 and in accordance with the Union law harmonising accessibility requirements for products and services. In that context, the Funds should be implemented in a way which promotes deinstitutionalisation and community-based care . Member States and the Commission should aim at eliminating inequalities and at promoting equality between men and women and integrating the gender perspective, as well as at combating discrimination based on sex, racial or ethnic origin, religion or belief, disability, age or sexual orientation. The Funds should not support actions that contribute to any form of segregation or exclusion, or support infrastructure which is inaccessible to persons with a disability . The objectives of the Funds should be pursued in the framework of sustainable development and the Union's promotion of the aim of preserving, protecting and improving the quality of the environment as set out in Article 11 and Article 191(1) of the TFEU, taking into account the polluter pays principle and taking into account the commitments agreed under the Paris Agreement . In order to protect the integrity of the internal market, operations benefitting undertakings shall comply with Union State aid rules as set out in Articles 107 and 108 of the TFEU. Poverty is one of the greatest challenges of the EU. The Funds should therefore contribute to the elimination of poverty. They should also contribute to fulfilling the commitment of the Union and its Member States to achieving the United Nations’ Sustainable Development Goals. [Am. 6]

(6) Horizontal financial rules adopted by the European Parliament and the Council on the basis of Article 322 of the Treaty on the Functioning of the European Union apply to this Regulation. These rules are laid down in the Financial Regulation and determine in particular the procedure for establishing and implementing the budget through grants, procurement, prizes, indirect implementation, and provide for checks on the responsibility of financial actors. Rules adopted on the basis of Article 322 TFEU also concern the protection of the Union’s budget in case of generalised deficiencies as regards the rule of law in the Member States, as the respect for the rule of law is an essential precondition for sound financial management and effective EU funding.

(7) Where a time limit is set for the Commission to take any action towards Member States, the Commission should take account of all necessary information and documents in a timely and efficient manner. Where submissions from Member States are incomplete or non-compliant with the requirements of this Regulation and of Fund-specific Regulations, thus not enabling the Commission to take fully-informed action, that time limit should be suspended until the Member States comply with the regulatory requirements.

(8) In order to contribute to Union priorities, the Funds should focus their support on a limited number of policy objectives in line with their Fund-specific missions pursuant to their Treaty-based objectives. The policy objectives for the AMIF, the ISF and the BMVI should be set out in the respective Funds-specific regulations.

(9) Reflecting the importance of tackling climate change in line with the Union’s commitments to implement the Paris Agreement and the United Nations Sustainable Development Goals, the Funds will contribute to mainstream mainstreaming climate actions and to the achievement of an overall target of 25 % 30 % of the EU budget expenditure supporting climate objectives. Climate proofing mechanisms should be an integral part of programming and implementation. [Am. 7]

(9a) Given the impact of migration flows from third countries, cohesion policy should contribute to integration processes, in particular by providing infrastructure support to towns and cities and local and regional authorities on the front line, which are more involved in implementing integration policies. [Am. 8]

(10) Part of the budget of the Union allocated to the Funds should be implemented by the Commission under shared management with Member States within the meaning of Regulation (EU, Euratom) [number of the new Financial Regulation] of the European Parliament and of the Council (5) (the ‘Financial Regulation’). Therefore, when implementing the Funds under shared management, the Commission and the Member States should respect the principles referred to in the Financial Regulation, such as sound financial management, transparency and non-discrimination. Member States should be responsible for preparing and implementing programmes. This should take place at the appropriate territorial level, in accordance with their institutional, legal and financial framework, and by the bodies designated by them for that purpose. Member States should refrain from adding rules that complicate the use of the funds for beneficiaries. [Am. 9]

(11) The principle of partnership is a key feature in the implementation of the Funds, building on the multi-level governance approach and ensuring the involvement of regional, local, and other public authorities, civil society and social partners. In order to provide continuity in the organisation of partnership, the Commission should be empowered to amend and adapt Commission Delegated Regulation (EU) No 240/2014 (6) should continue to apply. [Am. 10]

(12) At Union level, the European Semester of economic policy coordination is the framework to identify national reform priorities and monitor their implementation. Member States develop their own national multiannual investment strategies in support of these reform priorities. These strategies should be presented alongside the yearly National Reform Programmes as a way to outline and coordinate priority investment projects to be supported by national and Union funding. They should also serve to use Union funding in a coherent manner and to maximise the added value of the financial support to be received notably from the Funds, the European Investment Stabilisation Function and InvestEU. [Am. 11]

(13) Member States should determine how take into account relevant country-specific recommendations adopted in accordance with Article 121(2) of the TFEU and relevant Council recommendations adopted in accordance with Article 148(4) of the TFEU (‘CSR's’) are taken into account in the preparation of programming documents , where they are consistent with the programme’s objectives . During the 2021–2027 programming period (‘programming period’), Member States should regularly present to the monitoring committee and to the Commission the progress in implementing the programmes in support of the CSRs , as well as of the European Pillar of Social Rights . During a mid-term review, Member States should, among other elements, consider the need for programme modifications to accommodate relevant CSRs adopted or modified since the start of the programming period. [Am. 12]

(14) Member States should take account of the contents of their draft National Energy and Climate Plan, to be developed under the Regulation on the Governance of the Energy Union (7), and the outcome of the process resulting in Union recommendations regarding these plans, for their programmes, including during the mid-term review, as well as for the financial needs allocated for low-carbon investments. [Am. 13]

(15) The Partnership Agreement, prepared by each Member State, should be a strategic document guiding the negotiations between the Commission and the Member State concerned on the design of programmes. In order to reduce the administrative burden, it should not be necessary to amend Partnership Agreements during the programming period. To facilitate the programming and avoid overlapping content in programming documents, it should be possible for Partnership Agreements can to be included as part of a programme. [Am. 14]

(16) Each Member State should have the flexibility to contribute to InvestEU for the provision of budgetary guarantees for investments in that Member State , under certain conditions specified in Article 10 of this Regulation . [Am. 15]

(17) To ensure the necessary prerequisites for the inclusive, non-discriminatory, effective and efficient use of Union support granted by the Funds, a limited list of enabling conditions as well as a concise and exhaustive set of objective criteria for their assessment should be established. Each enabling condition should be linked to a specific objective and should be automatically applicable where the specific objective is selected for support. Where those conditions are not fulfilled, expenditure related to operations under the related specific objectives should not be included in payment applications.. In order to maintain a favourable investment framework, the continued fulfilment of the enabling conditions should be monitored regularly. It is also important to ensure that operations selected for support are implemented consistently with the strategies and planning documents in place underlying the fulfilled enabling conditions, thus ensuring that all co-financed operations are in line with the Union policy framework. [Am. 16]

(18) Member States should establish a performance framework for each programme covering all indicators, milestones and targets to monitor, report on and evaluate programme performance. This should allow project selection and evaluation to be result-driven. [Am. 17]

(19) The Member State should carry out a mid-term review of each programme supported by the ERDF, the ESF+ and the Cohesion Fund. That review should provide a fully-fledged adjustment of programmes based on programme performance, while also providing an opportunity to take account of new challenges and relevant CSRs issued in 2024 , as well as progress with the National Energy and Climate Plans and the European Pillar of Social Rights. Demographic challenges should also be taken into account . In parallel, in 2024 the Commission should, together with the technical adjustment for the year 2025, review all Member States’ total allocations under the Investment for jobs and growth goal of cohesion policy for the years 2025, 2026 and 2027, applying the allocation method set out in the relevant basic act. That review together with the outcome of the mid-term review should result in programme amendments modifying the financial allocations for the years 2025, 2026 and 2027. [Am. 18]

(20) Mechanisms to ensure a link between Union funding policies and the economic governance of the Union should be further refined, allowing the Commission to make a proposal to the Council to suspend all or part of the commitments for one or more of the programmes of the Member State concerned where that Member State fails to take effective action in the context of the economic governance process. In order to ensure uniform implementation and in view of the importance of the financial effects of measures being imposed, implementing powers should be conferred on the Council which should act on the basis of a Commission proposal. To facilitate the adoption of decisions which are required to ensure effective action in the context of the economic governance process, reversed qualified majority voting should be used. [Ams 425rev, 444rev, 448 and 469]

(20a) Member States could make in duly justified cases a request for flexibility within the current framework of the Stability and Growth Pact for the public or equivalent structural expenditure, supported by the public administration by way of co-financing of investments activated as part of European Structural and Investment Funds (‘ESI Funds’). The Commission should carefully assess the respective request, when defining the fiscal adjustment under either the preventive or the corrective arm of the Stability and Growth Pact. [Am. 20]

(21) It is necessary to set out common requirements as regards the content of the programmes taking into account the specific nature of each Fund. Those common requirements can be complemented by Fund-specific rules. Regulation (EU) [XXX] of the European Parliament and of the Council (8) (the ‘ETC Regulation’) should set out specific provisions on the content of programmes under the European territorial cooperation goal (Interreg).

(22) In order to allow for flexibility in programme implementation and reduce administrative burden, limited financial transfers should be allowed between priorities of the same programme without requiring a Commission decision amending the programme. The revised financial tables should be submitted to the Commission in order to ensure up-to-date information on financial allocations for each priority.

(22a) Major projects represent a substantial share of Union spending and are frequently of strategic importance with respect to the achievement of the Union strategy for smart, sustainable and inclusive growth. It is therefore justified that operations above certain thresholds continue to be subject to specific approval procedures under this Regulation. The threshold should be established in relation to total eligible cost after taking account of expected net revenues. To ensure clarity, it is appropriate to define the content of a major project application for such a purpose. The application should contain the necessary information to provide assurance that the financial contribution from the Funds does not result in a substantial loss of jobs in existing locations within the Union. The Member State should submit all required information and the Commission should appraise the major project to determine whether the requested financial contribution is justified. [Am. 21]

(23) To strengthen the integrated territorial development approach, investments in the form of territorial tools such as integrated territorial investments (‘ITI’), community-led local development (‘CLLD’) , known as ‘ LEADER’ under the EAFRD, or any other territorial tool under policy objective ‘a Europe closer to citizens’ supporting initiatives designed by the Member State for investments programmed for the ERDF should be based on territorial and local development strategies . The same should apply to related initiatives such as the Smart Villages . For the purposes of ITIs and territorial tools designed by Member States, minimum requirements should be set out for the content of territorial strategies. Those territorial strategies should be developed and endorsed under the responsibility of relevant authorities or bodies. To ensure the involvement of relevant authorities or bodies in implementing territorial strategies, those authorities or bodies should be responsible for the selection of operations to be supported, or involved in that selection. [Am. 22]

(24) To better mobilise potential at the local level, it is necessary to strengthen and facilitate CLLD. It should take into account local needs and potential, as well as relevant socio-cultural characteristics, and should provide for structural changes, build community and administrative capacity and stimulate innovation. The close cooperation and integrated use of the Funds to deliver local development strategies should be strengthened. Local action groups, representing the interests of the community, should be, as an essential principle responsible for the design and implementation of CLLD strategies. In order to facilitate coordinated support from different Funds to CLLD strategies and to facilitate their implementation, the use of a ‘Lead Fund’ approach should be facilitated. [Am. 23]

(25) In order to reduce the administrative burden, technical assistance at the initiative of the Member State should be implemented through a flat rate based on progress in programme implementation. That technical assistance may be complemented with targeted administrative capacity building measures , such as the evaluation of the skills set of human resources, using reimbursement methods that are not linked to costs. Actions and deliverables as well as corresponding Union payments can be agreed in a roadmap and can lead to payments for results on the ground. [Am. 24]

(26) It is opportune to clarify that, where a Member State proposes to the Commission that a priority of a programme or part thereof is supported through a financing scheme not linked to costs, the actions, deliverables and conditions agreed should be related to concrete investments undertaken under the shared management programmes in that Member State or region.

(27) In order to examine the performance of the programmes, the Member State should set up monitoring committees , consisting also of representatives of civil society and social partners . For the ERDF, the ESF+ and the Cohesion Fund, annual implementation reports should be replaced by an annual structured policy dialogue based on the latest information and data on programme implementation made available by the Member State. [Am. 25]

(28) Pursuant to paragraphs 22 and 23 of the Inter-institutional agreement for Better Law-Making of 13 April 2016 (9), there is a need to evaluate the Funds on the basis of information collected through specific monitoring requirements, while avoiding overregulation and administrative burden, in particular on Member States. These requirements, where appropriate, can include measurable indicators, as a basis for evaluating the effects of the Funds on the ground. Indicators should be developed in a gender sensitive manner when possible. [Am. 26]

(29) To ensure availability of comprehensive up-to-date information on programme implementation, more frequent effective and timely electronic reporting on quantitative data should be required. [Am. 27]

(30) In order to support the preparation of related programmes and activities of the next programming period, the Commission should carry out a mid-term assessment of the Funds. At the end of the programming period, the Commission should carry out retrospective evaluations of the Funds, which should focus on the impact of the Funds. The results of these evaluations should be made public. [Am. 28]

(31) Programme authorities, beneficiaries and stakeholders in Member States should raise awareness of the achievements of Union funding and inform the general public accordingly. Transparency, communication and visibility activities are essential in making Union action visible on the ground and should be based on true, accurate and updated information. In order for these requirements to be enforceable, programme authorities and the Commission should be able to apply remedial measures in case of non-compliance.

(32) Managing authorities should publish structured information on selected operations and beneficiaries on the website of the programme providing support to the operation, while taking account of requirements for data protection of personal data in accordance with Regulation (EU) 2016/679 (10) of the European Parliament and of the Council.

(33) With a view to simplifying the use of the Funds and reducing the risk of error, it is appropriate to define both the forms of Union contribution to Member States and the forms of support provided by Member States to beneficiaries.

(34) As regards grants provided to beneficiaries, Member States should increasingly make use of simplified cost options. The threshold linked to the obligatory use of simplified cost options should be linked to the total costs of the operation in order to ensure the same treatment of all operations below the threshold, regardless of whether the support is public or private. Where a Member State intends to propose the use of a simplified cost option, it could consult the monitoring committee. [Am. 29]

(35) To enable immediate implementation of flat-rates, any flat rate established by Member States in the 2014-2020 period based on a fair, equitable and verifiable calculation method should continue to be applied for similar operations supported under this Regulation without requiring a new calculation method.

(36) In order to optimise the uptake of co-financed environmental investments, synergies should be ensured with the LIFE programme for Environmental and Climate Action, in particular through LIFE strategic integrated projects and strategic nature projects , as well as with projects funded under Horizon Europe and other Union programmes . [Am. 30]

(37) In order to provide legal clarity, it is appropriate to specify the eligibility period for expenditure or costs linked to operations supported by the Funds under this Regulation and to restrict support for completed operations. The date from which expenditure becomes eligible for support from the Funds in case of adoption of new programmes or of changes in the programmes should also be clarified, including the exceptional possibility to extend the eligibility period to the start of a natural disaster in case there is urgent need to mobilise resources to respond to such disaster.

(38) To ensure the inclusiveness, effectiveness, fairness and sustainable impact of the Funds, there should be provisions guaranteeing that investments in infrastructure or productive investment are non-discriminatory and long-lasting and prevent the Funds from being used to undue advantage. Managing authorities should pay particular attention not to support relocation when selecting operations and to treat sums unduly paid to operations not complying with the requirement of durability as irregularities. [Am. 31]

(39) With a view to improving complementarities and simplifying implementation, it should be possible to combine support from the Cohesion Fund and the ERDF with support from the ESF+ in joint programmes under the Investment for jobs and growth goal.

(40) In order to optimise the added value from investments funded wholly or in part through the budget of the Union, synergies should be sought in particular between the Funds and directly managed instruments, including the Reform Delivery Tool. This policy coordination should promote easy-to-use mechanisms and multi-level governance. Those synergies should be achieved through key mechanisms, namely the recognition of flat rates for eligible costs from Horizon Europe for a similar operation and the possibility of combining funding from different Union instruments in the same operation as long as double financing is avoided. This Regulation should therefore set out rules for complementary financing from the Funds. [Am. 32]

(41) Financial instruments should not be used to support refinancing activities, such as replacing existing loan agreements or other forms of financing for investments which have already been physically completed or fully implemented at the date of the investment decision, but rather to support any type of new investments in line with the underlying policy objectives.

(42) The decision to finance support measures through financial instruments should be determined on the basis of an ex ante assessment. This Regulation should lay down the minimum mandatory elements of ex ante assessments and should allow Member States to make use of the ex ante assessment carried out for the 2014-2020 period, updated where necessary, in order to avoid administrative burden and delays in setting up financial instruments.

(42a) Managing authorities should have the possibility to implement financial instruments through a direct award of a contract to the EIB Group, national promotional banks and to international financial institutions (IFIs). [Am. 33]

(43) In order to facilitate the implementation of certain types of financial instruments where ancillary grant support is envisaged, it is possible to apply the rules on financial instruments on such combination in one financial instrument operation. Specific conditions preventing double financing in such cases should be set out.

(44) In full respect of the applicable State aid and public procurement rules already clarified during the 2014-2020 programming period, the managing authorities should have the possibility to decide on the most appropriate implementation options for financial instruments in order to address the specific needs of target regions. In this framework, the Commission should, in cooperation with the European Court of Auditors, give guidance to auditors, managing authorities and beneficiaries for assessing compliance with state aid and developing state aid schemes. [Am. 34]

(45) In accordance with the principle and rules of shared management, Member States and the Commission should be responsible for the management and control of programmes and give assurance on the legal and regular use of the Funds. Since Member States should have the primary responsibility for such management and control and should ensure that operations supported by the Funds comply with applicable law, their obligations in that regard should be specified. The powers and responsibilities of the Commission in that context should also be laid down.

(45a) In order to increase accountability and transparency, the Commission should provide for a complaints-handling system accessible to all citizens and stakeholders at all stages of preparation and implementation of programmes including monitoring and evaluation. [Am. 35]

(46) In order to hasten the start of programme implementation, the roll-over of implementation arrangements , including administrative and IT systems, from the previous programming period should be facilitated where possible . The use of the computerised system already established for the previous programming period, adapted as required, should be maintained, unless a new technology is necessary. [Am. 36]

(47) To streamline programme management functions, the integration of accounting functions with those of the managing authority should be maintained for the programmes supported by the AMIF, the ISF and the BMVI, and should be an option for the other Funds.

(48) Since the managing authority bears the main responsibility for the effective and efficient implementation of the Funds and therefore fulfils a substantial number of functions, its functions in relation to the selection of projects, programme management and support for the monitoring committee should be set out in detail. Operations selected should be in line with the horizontal principles.

(48a) To support the effective use of the Funds, the EIB support should be available to all Member States at their request. This could cover capacity building, support for project identification, preparation and implementation, as well as advice on financial instruments and investment platforms. [Am. 37]

(49) In order to optimise synergies between the Funds and directly managed instruments, the provision of support for operations that have already received a Seal of Excellence certification should be facilitated.

(50) To ensure an appropriate balance between the effective and efficient implementation of the Funds and the related administrative costs and burdens, the frequency, scope and coverage of management verifications should be based on a risk assessment that takes account of factors such as the type of operations implemented, the complexity and number of operations, the beneficiaries as well as the level of risk identified by previous management verifications and audits. Management and control measures for the Funds should be proportionate to the level of risk to the Union budget. [Am. 38]

(51) The audit authority should carry out audits and ensure that the audit opinion provided to the Commission is reliable. That audit opinion should provide assurance to the Commission on three points, namely the legality and regularity of the declared expenditure, the effective functioning of the management and control systems and the completeness, accuracy and veracity of the accounts.

(52) A reduction of verifications and audit requirements should be possible where there is assurance that the programme has functioned effectively for the latest two consecutive years since this demonstrates that the Funds are being implemented effectively and efficiently over a prolonged period of time.

(53) To reduce administrative burden on beneficiaries and administrative costs, the concrete application of the single audit principle should be specified for the Funds.

(54) In order to improve financial management, a simplified pre-financing scheme should be provided for. The pre-financing scheme should ensure that a Member State has the means to provide support to beneficiaries from the start of the implementation of the programme.

(55) To reduce the administrative burden for Member States as well as for the Commission, a compulsory schedule of quarterly payment applications should be established. Commission payments should continue to be subject to a 10 % retention until the payment of the annual balance of accounts when the Commission is able to conclude that the accounts are complete, accurate and true.

(56) In order to reduce the administrative burden, the procedure for the annual acceptance of accounts should be simplified by providing simpler modalities for payments and recoveries where there is no disagreement between the Commission and the Member State.

(57) In order to safeguard the financial interests and the budget of the Union proportionate measures should be established and implemented at the level of Member States and of the Commission. The Commission should be able to interrupt payments deadlines, suspend interim payments and apply financial corrections where the respective conditions are fulfilled. The Commission should respect the principle of proportionality by taking into account the nature, gravity and frequency of irregularities and their financial implications for the budget of the Union.

(58) Member States should also prevent, detect and deal effectively with any irregularities including fraud committed by beneficiaries. Moreover, in accordance with Regulation (EU, Euratom) No 883/2013 (11), and Regulations (Euratom, EC) No 2988/95 (12) and No 2185/96 (13) the European Anti-Fraud Office (OLAF) may carry out administrative investigations, including on-the-spot checks and inspections, with a view to establishing whether there has been fraud, corruption or any other illegal activity affecting the financial interests of the Union. In accordance with Regulation (EU) 2017/1939 (14), the European Public Prosecutor’s Office may investigate and prosecute fraud and other criminal offences affecting the financial interests of the Union as provided for in Directive (EU) 2017/1371 (15) on the fight against fraud to the Union’s financial interests by means of criminal law. Member States should take the necessary measures so that any person or entity receiving Union funds fully cooperates in the protection of the Union’s financial interests, grants the necessary rights and access to the Commission, the European Anti-Fraud Office (OLAF), the European Public Prosecutor’s Office (EPPO) and the European Court of Auditors (ECA) and ensures that any third parties involved in the implementation of Union funds grant equivalent rights. Member States should provide a detailed report to the Commission on detected irregularities including fraud, and on their follow-up as well as on the follow-up of OLAF investigations. Member States that do not participate in the enhanced cooperation with the EPPO should report to the Commission on decisions taken by national prosecution authorities in relation to cases of irregularities affecting the Union budget. [Am. 39]

(59) In order to encourage financial discipline, it is appropriate to define the arrangements for decommitment of budgetary commitments at programme level.

(60) In order to promote the objectives of the TFEU related to economic, social and territorial cohesion, the Investment for jobs and growth goal should support all regions. To provide balanced and gradual support and reflect the level of economic and social development, resources under that goal should be allocated from the ERDF and the ESF+ on the basis of an allocation key which is predominantly based on GDP per capita. Member States whose per capita gross national income (‘GNI’) is less than 90 % of that of the Union average should benefit under the Investment for jobs and growth goal from the Cohesion Fund.

(61) Objective criteria should be established for designating eligible regions and areas for support from the Funds. To this end, the identification of the regions and areas at Union level should be based on the common system of classification of the regions established by Regulation (EC) No 1059/2003 of the European Parliament and the Council (16), as most recently amended by Commission Regulation (EU) No 868/2014 No 2016/2066 (17). [Am. 40]

(62) In order to set out an appropriate financial framework for the ERDF, the ESF+ , the EMFF and the Cohesion Fund, the Commission should set out the annual breakdown of available allocations per Member State under the Investment for jobs and growth goal together with the list of eligible regions, as well as the allocations for the European territorial cooperation goal (Interreg). Taking into account that the national allocations of Member States should be established on the basis of the statistical data and forecasts available in 2018 and given the forecasting uncertainties, the Commission should review the total allocations of all Member States in 2024 on the basis of the most recent statistics available at the time and, where there is a cumulative divergence of more than +/- 5 %, it should adjust those allocations for the years 2025 to 2027 in order for the outcomes of the mid-term review and the technical adjustment exercise to be reflected in programme amendments at the same time. [Am. 41]

(63) Trans-European transport networks projects in accordance with Regulation (EU) No [new CEF Regulation] (18) will continue to be financed from the Cohesion Fund via both shared management and the direct implementation mode under the Connecting Europe Facility (‘CEF’). Building on the successful approach of the 2014-2020 programming period, EUR 10 000 000 000 4 000 000 000 of the Cohesion Fund should be transferred to the CEF for this purpose. [Am. 42]

(64) A certain amount of the resources from ERDF, the ESF+ and the Cohesion Fund should be allocated to the European Urban Initiative which should be implemented through direct or indirect management by the Commission. Further reflection should be carried out in future on the specific support which is provided for disadvantaged regions and communities. [Am. 43]

(65) With a view to ensuring an appropriate allocation to categories of regions, as a principle, the total allocations to Member States in respect of less developed, transitional and more developed regions should not be transferable between the categories. Nevertheless, to accommodate Member State’s needs to tackle specific challenges, Member States should be able to request a transfer from their allocations for more developed regions or for transition regions to less developed regions and should justify that choice. In order to ensure sufficient financial resources for less developed regions, a ceiling should be established for transfers to more developed regions or to transition regions. Transferability of resources between goals should not be possible.

(65a) With a view to tackling the challenges faced by middle income regions, as described in the 7th cohesion report (19) (low growth compared to more developed regions but also compared to less developed regions, this issue being faced especially by regions with a GDP per capita between 90 % and 100 % of the average GDP of the EU-27), ‘transition regions’ should receive adequate support and be defined as regions whose GDP per capita is between 75 % and 100 % of the average GDP of the EU-27. [Am. 44]

(66) Within the context of the unique and specific circumstances on the island of Ireland, and with a view to supporting North-South cooperation under the Good Friday Agreement, a new ‘PEACE PLUS’ cross-border programme should continue and build on the work of previous programmes, Peace and INTERREG, between the border counties of Ireland and Northern Ireland. Taking into account its practical importance, this programme should be supported with a specific allocation to continue support for peace and reconciliation actions, and that an appropriate share of the Irish allocation under the European Territorial Cooperation goal (Interreg) should also be allocated to the programme.

(66a) Within the context of the UK’s withdrawal from the Union, several regions and Member States will be more exposed to the consequences of this withdrawal than the others, due to their geography, nature and / or the extent of their trading links. It is therefore important to identify practical solutions for support also within the framework of cohesion policy to address the challenges for the concerned regions and Member States once the UK’s withdrawal has taken place. Furthermore, a continuous cooperation, involving exchanges of information and good practices at the level of the most impacted local and regional authorities and Member States will need to be established. [Am. 45]

(67) It is necessary to establish the maximum rates of co-financing in the area of cohesion policy by category of region in order to ensure that the principle of co-financing is respected through an appropriate level of public or private national support. Those rates should reflect the level of economic development of regions in terms of GDP per capita in relation to the EU-27 average , while safeguarding no less favourable treatment due to shifts in their categorisation . [Am. 46]

(68) In order to supplement and amend certain non-essential elements of this Regulation, the power to adopt acts in accordance with Article 290 of the TFEU should be delegated to the Commission in respect of the amendment of the elements contained in certain Annexes to this Regulation, i.e. for the dimensions and codes for the types of intervention, the templates for partnership agreements and programmes, the templates for the transmission of data, the use of the emblem of the Union, the elements for funding agreements and strategy documents, , the audit trail, electronic data exchange systems, the templates for the description of the management and control system, for the management declaration, for the audit opinion, for the annual control report, for the audit strategy, for the payment applications, for the accounts as well as for the determination of the level of financial corrections.

(69) In addition the power to adopt acts in accordance with Article 290 of the TFEU should be delegated to the Commission in respect of the amendment of the European code of conduct on partnership in order to adapt the code to this Regulation, the establishment of the criteria for determining the cases of irregularities to be reported, the definition of unit costs, lump sums, flat rates and financing not linked to costs applicable to all Member States as well as the establishment of standardised off-the-shelf sampling methodologies. [Am. 47]

(70) It is of particular importance that the Commission carry out appropriate , transparent consultations with all interested parties during its preparatory work, including at expert level, and that those consultations be conducted in accordance with the principles laid down in the Interinstitutional Agreement on Better Law-Making of 13 April 2016. In particular, to ensure equal participation in the preparation of delegated acts, the European Parliament and the Council receive all documents at the same time as Member States’ experts, and their experts systematically have access to meetings of Commission expert groups dealing with the preparation of delegated acts. [Am. 48]

(71) In order to ensure uniform conditions for the adoption of Partnership Agreements, the adoption or amendment of programmes as well as the application of financial corrections, implementing powers should be conferred on the Commission. The implementing powers relating to the format to be used for reporting on irregularities, the electronic data to be recorded and stored and for the template for the final performance report should be exercised in accordance with Regulation (EU) No 182/2011 of the European Parliament and of the Council (20). Although these acts are of a general nature, the advisory procedure should be used given that they only set out technical aspects, forms and templates. The implementing powers in relation to the establishment of the breakdown of financial allocations for the ERDF, ESF+ and the Cohesion Fund. should be adopted without comitology procedures given that they merely reflect the application of a pre-defined calculation methodology.

(72) Since Regulation (EU) No 1303/2013 of the European Parliament and of the Council (21) or any act applicable to the 2014–2020 programming period should continue to apply to programmes and operations supported by the Funds covered under the 2014–2020 programming period. Since the implementation period of Regulation (EU) No 1303/2013 is expected to extend over to the programming period covered by this Regulation and in order to ensure continuity of implementation of certain operations approved by that Regulation, phasing provisions should be established. Each individual phase of the phased operation, which serves the same overall objective, should be implemented in accordance with the rules of the programming period under which it receives funding.

(73) The objectives of this Regulation, namely to strengthen economic, social and territorial cohesion and to lay down common financial rules for part of the budget of the Union implemented under shared management, cannot be sufficiently achieved by the Member States by reason on the one hand due to the extent of the disparities between the levels of development of the various regions and the backwardness of specific challenges faced by the least favoured regions, as well as the limit on the financial resources of the Member States and regions and on the other hand due to the need for a coherent implementation framework covering several Union funds under shared management. Since those objectives can therefore rather be better achieved at Union level, the Union may adopt measures, in accordance with the principle of subsidiarity as set out in Article 5 of the TEU. In accordance with the principle of proportionality, as set out in that Article, this Regulation does not go beyond what is necessary in order to achieve those objectives. [Am. 49]

(74) This Regulation respects the fundamental rights and observes the principles recognised in particular by the Charter of Fundamental Rights of the European Union,

HAVE ADOPTED THIS REGULATION:

TITLE I

OBJECTIVES AND GENERAL RULES ON SUPPORT

CHAPTER I

Subject-matter and definitions

Article 1 Subject-matter and scope 1. This Regulation lays down: (a) financial rules for the European Regional Development Fund (‘ERDF’), the European Social Fund Plus (‘ESF+’), the Cohesion Fund, the European Agricultural Fund for Rural Development (‘EAFRD’), the European Maritime and Fisheries Fund (‘EMFF’), the Asylum and Migration Fund (‘AMIF’), the Internal Security Fund (‘ISF’) and the Border Management and Visa Instrument (‘BMVI’) (‘the Funds’); [Am. 50] (b) common provisions applicable to the ERDF, the ESF+, the Cohesion Fund and the EMFF , and to the EAFRD as prescribed in paragraph 1a of this Article . [Am. 431] 1a. Title I, Chapter I — Article 2- paragraph 4 a, Chapter II — Article 5, Title III, Chapter II — Articles 22 to 28 and Title IV — Chapter III — Section I- Articles 41 to 43 shall apply to aid measures financed by the EAFRD and Title I- Chapter 1 — Article 2- paragraphs 15 to 25 , as well as Title V- Chapter II — Section II — Articles 52 to 56 shall apply to financial instruments provided for in Article 74 of Regulation (EU) …/… [CAP Strategic Plans Regulation] and supported under the EAFRD. [Am. 432] 2. This Regulation shall not apply to the Employment and Social Innovation and the Health strands of the ESF+ and to the direct or indirect management components of the EMFF, the AMIF, the ISF and the BMVI, except for technical assistance at the initiative of the Commission. 3. Articles 4 and 10, Chapter III of Title II, Chapter II of Title III, and Title VIII shall not apply to the AMIF, the ISF and the BMVI. 4. Title VIII shall not apply to the EMFF. 5. Article 11 of Chapter II and Article 15 of Chapter III of Title II, Chapter I of Title III, Articles 33 to 36 and Article 38(1) to (4) of Chapter I, Article 39 of Chapter II, Article 45 of Chapter III of Title IV, Articles 67, 71, 73 and 74 of Chapter II and Chapter III of Title VI shall not apply to Interreg programmes. 6. The Fund-specific Regulations listed below may establish complementary rules to this Regulation which shall not be in contradiction with this Regulation. In case of doubt about the application between this Regulation and Fund-specific Regulations, this Regulation shall prevail: (a) Regulation (EU) […] (the ‘ERDF and CF Regulation’) (22); (b) Regulation (EU) […] (the ‘ESF+ Regulation’) (23); (c) Regulation (EU) […] (the ‘ETC Regulation’) (24); (d) Regulation (EU) […] (the ‘EMFF Regulation’) (25); (e) Regulation (EU) […] (the ‘AMIF Regulation’) (26); (f) Regulation (EU) […] (the ‘ISF Regulation’) (27); (g) Regulation (EU) […] (the ‘BMVI Regulation’) (28) .

Article 2 Definitions For the purpose of this Regulation, the following definitions apply: (1) ‘relevant country specific recommendations’ mean Council recommendations adopted in accordance with Article 121(2) Articles 121(2) and (4) and Article 148(4) of the TFEU relating to structural challenges which it is appropriate to address through multiannual investments that fall within the scope of the Funds as set out in Fund-specific Regulations, and relevant recommendations adopted in accordance with Article [XX] of Regulation (EU) [number of the new Energy Union Governance Regulation] of the European Parliament and of the Council; [Am. 54] (1a) ‘enabling condition’ means a concrete and precisely defined condition which has a genuine link to a direct impact on the effective and efficient achievement of a specific objective of the programme; [Am. 55] (2) ‘applicable law’ means Union law and the national law relating to its application; (3) ‘operation’ means: (a) a project, contract, action or group of projects selected under the programmes concerned; (b) in the context of financial instruments, a programme contribution to a financial instrument and the subsequent financial support provided to final recipients by that financial instrument; (4) ‘operation of strategic importance’ means an operation which provides a key contribution to the achievement of the objectives of a programme and which are subject to particular monitoring and communication measures; (4a) ‘programme’ in the context of the EAFRD means the CAP Strategic Plans as referred to in Regulation (EU) […] (the ‘CAP Strategic Plans Regulation’); [Am. 56] (5) ‘priority’ in the context of the AMIF, the ISF and the BMVI, means a specific objective; in the context of the EMFF it means a ‘type of areas of support’ as referred to in the nomenclature laid down in Annex III of the EMFF Regulation; (6) ‘specific objective’ in the context of the EMFF, shall be understood as ‘areas of support’ as referred to in Annex III of the EMFF Regulation; (7) ‘intermediate body’ means any public or private law body which acts under the responsibility of a managing authority, or which carries out functions or tasks on behalf of such an authority; (8) ‘beneficiary’ means: (a) a public or private law body, an entity with or without legal personality or a natural person, responsible for initiating or both initiating and implementing operations; (b) in the context of public-private partnerships (‘PPP’), the public law body initiating a PPP operation or the private partner selected for its implementation; (c) in the context of State aid schemes, the body or the undertaking , as appropriate, which receives the aid , except where the aid per undertaking is less than EUR 200 000, in which case the Member State concerned may decide that the beneficiary is the body granting the aid, without prejudice to Commission Regulations (EU) No 1407/2013 (29) , (EU) No 1408/2013 (30) and (EU) No 717/2014 (31); [Am. 57] (d) in the context of financial instruments, the body that implements the holding fund or, where there is no holding fund structure, the body that implements the specific fund or, where the managing authority manages the financial instrument, the managing authority; (9) ‘mall project fund’ means an operation in an Interreg programme aimed at the selection and implementation of projects, including people-to-people projects of limited financial volume; [Am. 58] (10) ‘target’ means a pre-agreed value to be achieved at the end of the programming period in relation to an indicator included under a specific objective; (11) ‘milestone’ means an intermediate value to be achieved at a given point in time during the programming period in relation to an indicator included under a specific objective; (12) ‘output indicator’ means an indicator to measure the specific deliverables of the intervention; (13) ‘result indicator’ means an indicator to measure the short term effects of the interventions supported, with particular reference to the direct addressees, population targeted or users of infrastructure; (14) ‘PPP operation’ means an operation which is implemented under a partnership between public bodies and the private sector in line with a PPP agreement, and which aims to provide public services through risk sharing, pooling of private sector expertise or additional sources of capital; (15) ‘financial instrument’ means a structure through which financial products are provided; (16) ‘financial product’ means equity or quasi equity investments, loans and guarantees as defined in Article 2 of Regulation (EU, Euratom) […] (‘the Financial Regulation’); (17) ‘final recipient’ means a legal or natural person receiving support from the Funds through a beneficiary of a small project fund or from a financial instrument; (18) ‘programme contribution’ means the support from the Funds and the national public and private, if any, co-financing, to a financial instrument; (19) ‘body implementing a financial instrument’ means a body, governed by public or private law, carrying out tasks of a holding fund or of a specific fund; (20) ‘holding fund’ means a fund set up by a managing authority under one or more programmes, to implement financial instruments through one or more specific funds; (21) ‘specific fund’ means a fund, set-up set up by a managing authority or a holding fund, to through which they provide financial products to final recipients; [Am. 59] (22) ‘leverage effect’ means the amount of reimbursable financing provided to final recipients divided by the amount of the contribution from the Funds; (23) ‘multiplier ratio’ in the context of guarantee instruments, means a ratio between the value of the underlying disbursed new loans, equity or quasi-equity investments, and the amount of the programme contribution set aside as agreed in guarantee contracts to cover expected and unexpected losses from those new loans, equity or quasi-equity investments; (24) ‘management costs’ means direct or indirect costs reimbursed against evidence of expenditure incurred in the implementation of financial instruments; (25) ‘management fees’ means a price for services rendered, as determined in the funding agreement between the managing authority and the body implementing a holding fund or a specific fund; and, where applicable, between the body implementing a holding fund and the body implementing a specific fund; (26) ‘relocation’ means a transfer of the same or similar activity or part thereof within the meaning of Article 2(61a) of Commission Regulation (EU) No 651/2014 (32) declaring certain categories of aid compatible with the internal market in application of Articles 107 and 108 of the TFEU; (27) ‘public contribution’ means any contribution to the financing of operations the source of which is the budget of national, regional or local public authorities or of any European grouping of territorial cooperation (EGTC) established in accordance with Regulation (EC) No 1082/2006 of the European Parliament and of the Council (33), the budget of the Union made available to the Funds, the budget of public law bodies or the budget of associations of public authorities or of public law bodies and, for the purpose of determining the co-financing rate for ESF+ programmes or priorities, may include any financial resources collectively contributed by employers and workers; (28) ‘accounting year’ means the period from 1 July to 30 June of the following year, except for the first accounting year of the programming period, in respect of which it means the period from the start date for eligibility of expenditure until 30 June 2022; for the final accounting year, it means the period from 1 July 2029 to 30 June 2030; (29) ‘irregularity’ means any breach of applicable law, resulting from an act or omission by an economic operator involved in the implementation of the Funds, which has, or would have, the effect of prejudicing the budget of the Union by charging unjustified expenditure to that budget; (30) ‘serious deficiency’ means a deficiency in the effective functioning of the management and control system of a programme for which significant improvements in the management and control systems are required and where any of the key requirements 2, 4, 5, 9, 12, 13 and 15 referred to in Annex X, or two or more of the other key requirements are assessed into categories 3 and 4 of that Annex; (31) ‘total error rate’ means the sum of the projected random errors and, if applicable, systemic errors and uncorrected anomalous errors, divided by the population; (32) ‘residual error rate’ means the total error rate less the financial corrections applied by the Member State which intend to reduce the risks identified by the audit authority in its audits of operations; (33) ‘completed operation’ means an operation that has been physically completed or fully implemented and in respect of which all related payments have been made by beneficiaries and the corresponding public contribution has been paid to the beneficiaries; (34) ‘sampling unit’ means one of the units, which may be an operation, a project within an operation or a payment claim by a beneficiary, into which a population is divided for the purpose of sampling; (35) ‘escrow account’ means, in the case of a PPP operation a bank account covered by a written agreement between a public body beneficiary and the private partner approved by the managing authority or an intermediate body used for payments during and/or after the eligibility period; (36) ‘participant’ means a natural person benefiting from an operation but not receiving financial support from the Funds; (36a) ‘energy efficiency first principle’ means the prioritisation, in energy planning, policy and investment decisions, of measures that make the demand and supply of energy more efficient; [Am. 60] (37) ‘climate proofing’ means a process to ensure that infrastructure is resilient to the adverse impacts of the climate in accordance with internationally recognised standards or national rules and guidance, where available, or internationally recognised standards that the energy efficiency first principle is respected and that specific emission reduction and decarbonisation pathways are chosen ; [Am. 61] (37a) ‘EIB’ means the European Investment Bank, the European Investment Fund or any subsidiary of the European Investment Bank. [Am. 62]

Article 3 Calculation of time limits for Commission actions Where a time limit is set for an action by the Commission, that time limit shall start when all information in accordance with the requirements laid down in this Regulation or in Fund-specific Regulations have been submitted by the Member State. That time limit shall be suspended from the day following the date on which the Commission sends its observations or a request for revised documents to the Member State and until the Member State responds to the Commission.

CHAPTER II

Policy objectives and principles for the support of the Funds

Article 4 Policy objectives 1. The ERDF, the ESF+, the Cohesion Fund and the EMFF shall support the following policy objectives: (a) a more competitive and smarter Europe by promoting innovative and smart economic transformation and strengthening small and medium-sized enterprises ; [Am. 63] (b) a greener, low-carbon transitioning towards a net zero carbon economy and resilient Europe by promoting clean and fair energy transition, green and blue investment, the circular economy, climate change mitigation and adaptation and risk prevention and management; [Am. 64] (c) a more connected Europe by enhancing mobility , including smart and sustainable mobility, and regional ICT connectivity; [Am. 65] (d) a more social and inclusive Europe implementing the European Pillar of Social Rights; [Am. 66] (e) a Europe closer to citizens by fostering the sustainable and integrated development of urban, rural and coastal all regions, areas and local initiatives. [Am. 67] 2. The ERDF, the ESF+ and the Cohesion Fund shall contribute to the actions of the Union leading to strengthening of its economic, social and territorial cohesion in accordance with Article 174 of the TFEU by pursuing the following goals: (a) Investment for jobs and growth in Member States and regions, to be supported by the ERDF, the ESF+ and the Cohesion Fund; and (b) European territorial cooperation (Interreg), to be supported by the ERDF. 3. Member States shall ensure climate proofing for relevant operations through the entire planning and implementation process and shall provide information on the support for environment and climate objectives using a methodology based on types of intervention for each of the Funds. That methodology shall consist of assigning a specific weighting to the support provided at a level which reflects the extent to which such support makes a contribution to environmental objectives and to climate objectives. In the case of the ERDF, the ESF+ and the Cohesion Fund weightings shall be attached to dimensions and codes for the types of intervention established in Annex I. [Am. 68] 4 In accordance with their respective responsibilities and in line with the principles of subsidiarity and multilevel governance, Member States and the Commission shall ensure the coordination, complementarity and coherence between the Funds and other Union instruments such as the Reform Support Programme, including the Reform Delivery Tool and the Technical Support Instrument. They shall optimise mechanisms for coordination between those responsible in order to avoid duplication during planning and implementation. [Am. 69] 4a. Member States and the Commission shall ensure compliance with relevant State aid rules. [Am. 70]

Article 5 Shared management 1. The Member States , in accordance with their institutional and legal framework, and the Commission shall implement the budget of the Union allocated to the Funds under shared management in accordance with Article [63] of Regulation (EU, Euratom) [number of the new financial regulation] (the ‘Financial Regulation’). [Am. 71] 2. However, Without prejudice to Article 1(2) , the Commission shall implement the amount of support from the Cohesion Fund transferred to the Connecting Europe Facility (‘CEF’), the European Urban Initiative, Interregional Innovative Investments, the amount of support transferred from the ESF+ to transnational cooperation, the amounts contributed to InvestEU (34) and technical assistance at the initiative of the Commission under direct or indirect management in accordance with [points (a) and (c) of Article 62(1)] of the Financial Regulation. [Am. 72] 3. The Commission may , with the agreement of the Member State and the region concerned, implement outermost regions’ cooperation under the European territorial cooperation goal (Interreg) under indirect management. [Am. 73]

Article 6 Partnership and multi-level governance 1. For the Partnership Agreement and each programme, each Member State shall , in accordance with its institutional and legal framework, organise a fully -fledged, effective partnership with the competent regional and local authorities. That partnership shall include at least the following partners: [Am. 74] (a) regional, local, urban and other public authorities; [Am. 75] (b) economic and social partners; (c) relevant bodies representing civil society, such as environmental partners , non-governmental organisations , and bodies responsible for promoting social inclusion, fundamental rights, rights of persons with disabilities, gender equality and non-discrimination; [Am. 76] (ca) research institutions and universities, where appropriate. [Am. 77] 2. In accordance with the multi-level governance principle and following a bottom-up approach , the Member State shall involve those partners in the preparation of Partnership Agreements and throughout the preparation, and and evaluation implementation of programmes including through participation in monitoring committees in accordance with Article 34. In that context, Member States shall allocate an appropriate percentage of the resources coming from the Funds for the administrative capacity building of social partners and civil society organisations. For cross-border programmes, the Member States concerned shall include partners from all participating Member States. [Ams. 78 and 459] 3. The organisation and implementation of partnership shall be carried out in accordance with Commission Delegated Regulation (EU) No 240/2014 (35). The Commission is empowered to adopt delegated acts, in accordance with Article 107, concerning amendments to Delegated Regulation (EU) 240/2014 in order to adapt that Delegated Regulation to this Regulation. [Am. 79] 4. At least once a year, the Commission shall consult the organisations which represent the partners at Union level on the implementation of programmes , and shall report to the European Parliament and Council on the outcome . [Am. 80]

Article 6a Horizontal Principles 1. Member States and the Commission shall ensure respect for fundamental rights and compliance with the Charter of Fundamental Rights of the European Union in the implementation of the Funds. 2. Member States and the Commission shall ensure that equality between men and women, gender mainstreaming and the integration of gender perspective are taken into account and promoted throughout the preparation and implementation of programmes, including in relation to monitoring, reporting and evaluation. 3. Member States and the Commission shall take appropriate steps to prevent any discrimination based on gender, racial or ethnic origin, religion or belief, disability, age or sexual orientation during the preparation, implementation, monitoring, reporting and evaluation of programmes. In particular, accessibility for persons with disabilities shall be taken into account throughout the preparation and implementation of programmes. 4. The objectives of the Funds shall be pursued in line with the principle of sustainable development, taking into account the UN Sustainable Development Goals and with the Union’s promotion of the aim of preserving, protecting and improving the quality of environment and combating climate change, taking into account the polluter pays principle, as set out in Article 191(1) and (2) TFEU. Member States and the Commission shall ensure that environmental protection requirements, resource efficiency, energy efficiency first-principle, socially just energy transition, climate change mitigation and adaptation, biodiversity, disaster resilience, and risk prevention and management are promoted in the preparation and implementation of programmes. They shall aim at avoiding investments related to production, processing, distribution, storage or combustion of fossil fuels. [Am. 81]

TITLE II

STRATEGIC APPROACH

CHAPTER I

Partnership Agreement

Article 7 Preparation and submission of the Partnership Agreement 1. Each Member State shall prepare a Partnership Agreement which sets out arrangements for using the Funds in an effective and efficient way for the period from 1 January 2021 to 31 December 2027. Such Partnership Agreement shall be prepared in accordance with the code of conduct established by the Commission Delegated Regulation (EU) No 240/2014. [Am. 82] 2. The Member State shall submit the Partnership Agreement to the Commission before or at the same time as the submission of the first programme , but not later than 30 April 2021 . [Am. 83] 3. The Partnership Agreement may be submitted together with the relevant annual National Reform Programme and the National Energy and Climate Plan . [Am. 84] 4. The Member State shall draw up the Partnership Agreement in accordance with the template set out in Annex II. It may include the Partnership Agreement in one of its programmes. 5. Interreg programmes may be submitted to the Commission before the submission of the Partnership Agreement.

Article 8 Content of the Partnership Agreement The Partnership Agreement shall contain the following elements: (a) the selected policy objectives indicating by which of the Funds and programmes they will be pursued and a justification thereto, and where relevant, a justification for using the delivery mode of the InvestEU, taking into account and listing relevant country-specific recommendations , as well as regional challenges ; [Am. 85] (b) for each of the selected policy objectives referred to in point (a): (i) a summary of the policy choices and the main results expected for each of the Funds, including where relevant, through the use of InvestEU; [Am. 86] (ii) coordination, demarcation and complementarities between the Funds and, where appropriate, coordination between national and regional programmes , in particular with regard to CAP Strategic Plans referred to in Regulation (EU) […] (the ‘CAP Strategic Plans Regulation’) ; [Am. 87] (iii) complementarities and synergies between the Funds and other Union instruments, including LIFE strategic integrated projects and strategic nature projects , and, where appropriate, projects funded under Horizon Europe; [Am. 88] (iiia) delivery on targets, policies and measures under the National Energy and Climate Plans; [Am. 89] (c) the preliminary financial allocation from each of the Funds by policy objective at national and where appropriate at regional level, respecting Fund-specific rules on thematic concentration; [Am. 90] (d) where relevant, the breakdown of financial resources by category of regions drawn up in accordance with Article 102(2) and the amounts of allocations proposed to be transferred between categories of regions pursuant to Article 105; [Am. 91] (e) the amounts to be contributed to InvestEU by Fund and by category of regions; [Am. 92] (f) the list of planned programmes under the Funds with the respective preliminary financial allocations by fund and the corresponding national contribution by category of regions; (g) a summary of the actions which the Member State concerned shall take to reinforce its administrative capacity of the implementation of the Funds and its management and control system; [Am. 93] (ga) where appropriate, an integrated approach to address the demographic challenges and/ or specific needs of regions and areas; [Am. 94] (gb) a communication and visibility strategy. [Am. 95] The EIB may, at the request of Member States, participate in the preparation of the Partnership Agreement, as well as in activities relating to the preparation of operations, financial instruments and PPPs. [Am. 96] With regard to the European territorial cooperation goal (Interreg), the Partnership Agreement shall only contain the list of planned programmes and the cross-border investment needs in the concerned Member State . [Am. 97]

Article 9 Approval of the Partnership Agreement 1. The Commission shall assess the Partnership Agreement and its compliance with this Regulation and with the Fund-specific rules. In its assessment, the Commission shall, in particular, take into account the provisions of Article 4 and 6, the relevant country-specific recommendations , as well as the measures linked to integrated national energy and climate plans and the way they are addressed . [Am. 98] 2. The Commission may make observations within three two months of the date of submission by the Member State of the Partnership Agreement. [Am. 99] 3. The Member State shall review the Partnership Agreement taking into account the observations made by the Commission within one month of the date of their submission . [Am. 100] 4. The Commission shall adopt a decision by means of an implementing act approving the Partnership Agreement no later than four months after the date of the first submission of that Partnership Agreement by the Member State concerned. The Partnership Agreement shall not be amended. [Am. 101] 5. If, pursuant to Article 7(4), the Partnership Agreement is included in a programme, the Commission shall adopt a decision by means of an implementing act approving that programme no later than six months after the date of submission of that programme by the Member State concerned.

Article 10 Use of the ERDF, the ESF+, the Cohesion Fund and the EMFF delivered through InvestEU 1. As of 1 January 2023, Member States , with the agreement of the managing authorities concerned, may allocate, in the Partnership Agreement or in the request for an amendment of a programme, the amount up to 2 % of ERDF, the ESF+, the Cohesion Fund and the EMFF to be contributed to InvestEU and delivered through budgetary guarantees. The amount to be contributed to InvestEU shall not exceed 5 % Up to 3 % of the total allocation of each Fund, except in duly justified cases may be further allocated to InvestEU under the mid-term review . Such contributions shall not constitute transfers of be available for investments in line with cohesion policy objectives and in the same category of regions targeted by the Funds of origin. Whenever an amount of ERDF, ESF+, Cohesion Fund is contributed to Invest EU, the enabling conditions as described in Article 11 and in Annexes III and IV to this Regulation shall apply. Only resources under Article 21 of future calendar years may be allocated . [Am. 428] 2. For the Partnership Agreement, resources of the current and future calendar years may be allocated. For the request for an amendment of a programme, only resources of future calendar years may be allocated. [Am. 103] 3. The amount referred to in paragraph 1 shall be used for the provisioning of the part of the EU guarantee under the respective Member State compartment. [Am. 104] 4. Where a contribution agreement, as set out in Article [9] of the [InvestEU Regulation], has not been concluded by 31 December 2021 2023 for an amount referred to in paragraph 1 allocated in the Partnership Agreement, the Member State shall submit a request for amendment of a programme or programmes to use the corresponding amount. [Am. 105] The contribution agreement for an amount referred to in paragraph 1 allocated in the request of the amendment of a programme shall be concluded , or amended as the case may be, simultaneously with the adoption of the decision amending the programme. [Am. 106] 5. Where a guarantee agreement, as set out in Article [9] of the [InvestEU Regulation], has not been concluded within nine months from the approval of the contribution agreement, the respective amounts paid into the common provisioning fund as a provisioning shall be transferred back to a the original programme or programmes and the Member State shall submit a corresponding request for a programme amendment. In this particular case, resources of past calendar years may be modified, as long as the commitments are not yet implemented. [Am. 107] 6. Where a guarantee agreement, as set out in Article [9] of the [InvestEU Regulation], has not been fully implemented within four years from the signature of the guarantee agreement, the Member State may request that amounts committed in the guarantee agreement but not covering underlying loans or other risk bearing instruments shall be treated in accordance with paragraph 5. 7. Resources generated by or attributable to the amounts contributed to InvestEU and delivered through budgetary guarantees shall be made available to the Member State and the local or regional authority concerned by the contribution and shall be used for support under the same objective or objectives in the form of financial instruments. [Am. 108] 8. The Commission shall re-budget contributed amounts which have not been used for InvestEU for the year in which the corresponding programme amendment is approved. Such re-budgetisation may not go beyond the year 2027. The decommitment time limit for the re-budgeted amount in accordance with Article 99 shall start from the year in which the contribution has been re-budgeted.

CHAPTER II

Enabling conditions and performance framework

Article 11 Enabling conditions 1. For each specific objective, prerequisite conditions for its effective and efficient implementation (‘enabling conditions’) are laid down in this Regulation. Enabling conditions shall apply to the extent to which they contribute to the achievement of the specific objectives of the programme. [Am. 109] Annex III lays down horizontal enabling conditions applicable to all specific objectives and the criteria necessary for the assessment of their fulfilment. Annex IV lays down thematic enabling conditions for the ERDF, the Cohesion Fund and the ESF+ and the criteria necessary for the assessment of their fulfilment. 2. When preparing a programme or introducing a new specific objective as part of a programme amendment, the Member State shall assess whether the enabling conditions linked to the selected specific objective are fulfilled. An enabling condition is fulfilled where all the related criteria are met. The Member State shall identify in each programme or in the programme amendment the fulfilled and non-fulfilled enabling conditions and where it considers that an enabling condition is fulfilled, it shall provide justification. On the request of a Member State, the EIB may contribute to the assessments of actions needed to fulfil the relevant enabling conditions. [Am. 110] 3. Where an enabling condition is not fulfilled at the time of approval of the programme or the programme amendment, the Member State shall report to the Commission as soon as it considers the enabling condition fulfilled with justification. 4. The Commission shall, within three two months of receipt of the information referred to in paragraph 3, perform an assessment and inform the Member State where it agrees with the fulfilment. [Am. 111] Where the Commission disagrees with the assessment of the Member State, it shall inform the Member State accordingly and give it the opportunity to present its observations within one month maximum two months . [Am. 112] 5. Expenditure related to operations linked to the specific objective cannot may be included in payment applications until before the Commission has informed the Member State of the fulfilment of the enabling condition pursuant to paragraph 4 , without prejudice to the suspension of the reimbursement itself until such time as the condition is fulfilled . [Am. 113] The first sub-paragraph shall not apply to operations that contribute to the fulfilment of the corresponding enabling condition. 6. The Member State shall ensure that enabling conditions are fulfilled and applied throughout the programming period. It shall inform the Commission of any modification impacting the fulfilment of enabling conditions. Where the Commission considers that an enabling condition is no longer fulfilled, it shall inform the Member State and give it the opportunity to present its observations within one month. Where the Commission concludes that the non-fulfilment of the enabling condition persists, expenditure related to the specific objective concerned cannot be included in payment applications as from the date the Commission informs the Member State accordingly. 7. Annex IV shall not apply to programmes supported by the EMFF.

Article 12 Performance framework 1. The Member State , where appropriate, in cooperation with local and regional authorities, shall establish a performance framework which shall allow monitoring, reporting on and evaluating programme performance during its implementation, and contribute to measuring the overall performance of the Funds. [Am. 115] The performance framework shall consist of: (a) the output and result indicators linked to specific objectives set in the Fund-specific Regulations; (b) milestones to be achieved by the end of the year 2024 for output indicators; and (c) targets to be achieved by the end of the year 2029 for output and result indicators. 2. Milestones and targets shall be established in relation to each specific objective within a programme, with the exception of technical assistance and of the specific objective addressing material deprivation set out in Article [4(c)(vii)] [4(1) ( xi )] of the ESF+ Regulation. [Am. 116] 3. Milestones and targets shall allow the Commission and the Member State to measure progress towards the achievement of the specific objectives. They shall meet the requirements set out in Article [33(3)] of the Financial Regulation.

Article 13 Methodologies for the establishment of the performance framework 1. The methodologies to establish the performance framework shall include: (a) the criteria applied by the Member State to select indicators; (b) data or evidence used, data quality assurance and the calculation method; (c) factors that may influence the achievement of the milestones and targets and how they were taken into account. 2. The Member State shall make those methodologies available upon request by the Commission.

Article 14 Mid-term review 1. For programmes supported by the ERDF, the ESF+ and the Cohesion Fund, the Member State and relevant managing authorities shall review each programme, taking into account the following elements: [Am. 117] (a) the new challenges identified in relevant country-specific recommendations adopted in 2024 and the targets identified in the implementation of the integrated national climate and energy plans, if relevant ; [Am. 118] (b) the socio-economic situation of the Member State or region concerned , including the state of implementation of the European Pillar of Social Rights and territorial needs with a view to reducing disparities, as well as economic and social inequalities ; [Am. 119] (c) the progress in achieving the milestones; (d) the outcome of the technical adjustment as set out in Article 104(2), where applicable; (da) any major negative financial, economic or social developments which require an adjustment of the programmes, including as a consequence of symmetric or asymmetric shocks in the Member States and their regions. [Am. 120] 2. In accordance with the outcome of the review, the Member State shall submit to the Commission by 31 March 2025 a request for the amendment of each programme in accordance with Article 19(1) or state that no amendment is requested . The Member State shall justify the amendment on the basis of the elements set out in paragraph 1 or, as appropriate, give reasons for not requesting the amendment of a programme . [Am. 121] The revised programme shall include: (a) the revised initial allocations of the financial resources by priority including the amounts for the years 2026 and 2027; [Am. 122] (b) revised or new targets; (ba) the amounts to be contributed to InvestEU per Fund and per category of region, where appropriate; [Am. 123] (c) the revised allocations of the financial resources resulting from the technical adjustment set out in Article 104(2) including the amounts for the years 2025, 2026 and 2027, where applicable. 3. Where as a result of the review a new programme is submitted, the financing plan under point (ii) of Article 17(3)(f) shall cover the total financial appropriation for each of the Funds as of the year of the programme approval. 3a. The Commission shall, by 31 March 2026, adopt a report summarising the results of the review referred to in paragraphs 1 and 2. The Commission shall communicate the report to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions. [Am. 124]

CHAPTER III

Measures linked to sound economic governance

Article 15 Measures linking effectiveness of Funds to sound economic governance 1. The Commission may request a Member State to review and propose amendments to relevant programmes, where this is necessary to support the implementation of relevant Council Recommendations. Such a request may be made for the following purposes: (a) to support the implementation of a relevant country-specific recommendation adopted in accordance with Article 121(2) TFEU and of a relevant Council recommendation adopted in accordance with Article 148(4) TFEU, addressed to the Member State concerned; (b) to support the implementation of relevant Council Recommendations addressed to the Member State concerned and adopted in accordance with Articles 7(2) or 8(2) of Regulation (EU) No 1176/2011 (36) of the European Parliament and of the Council provided that these amendments are deemed necessary to help correct the macro-economic imbalances. 2. A request by the Commission to a Member State in accordance with paragraph 1 shall be justified, with reference to the need to support the implementation of the relevant recommendations and shall indicate the programmes or priorities which it considers are concerned and the nature of the amendments expected. 3. The Member State shall submit its response to the request referred to in paragraph 1 within two months of its receipt, setting out the amendments it considers necessary in the relevant programmes, the reasons for such amendments, identifying the programmes concerned and outlining the nature of the amendments proposed and their expected effects on the implementation of recommendations and on the implementation of the Funds. If necessary, the Commission shall make observations within one month of the receipt of that response. 4. The Member State shall submit a proposal to amend the relevant programmes within two months of the date of submission of the response referred to in paragraph 3. 5. Where the Commission has not submitted observations or where it is satisfied that any observations submitted have been duly taken into account, it shall adopt a decision approving the amendments to the relevant programmes in accordance with the time limit set out in Article [19(4)]. 6. Where the Member State fails to take effective action in response to a request made in accordance with paragraph 1, within the deadlines set out in paragraphs 3 and 4, the Commission may suspend all or part of the payments for the programmes or priorities concerned in accordance with Article 91. 7. The Commission shall make a proposal to the Council to suspend all or part of the commitments or payments for one or more of the programmes of a Member State in the following cases: (a) where the Council decides in accordance with Article 126(8) or Article 126(11) TFEU that a Member State has not taken effective action to correct its excessive deficit; (b) where the Council adopts two successive recommendations in the same imbalance procedure, in accordance with Article 8(3) of Regulation (EU) No 1176/2011 of the European Parliament and of the Council (37) on the grounds that a Member State has submitted an insufficient corrective action plan; (c) where the Council adopts two successive decisions in the same imbalance procedure in accordance with Article 10(4) of Regulation (EU) No 1176/2011 establishing non-compliance by a Member State on the grounds that it has not taken the recommended corrective action; (d) where the Commission concludes that a Member State has not taken measures as referred to in Council Regulation (EC) No 332/2002 (38) and as a consequence decides not to authorise the disbursement of the financial assistance granted to that Member State; (e) where the Council decides that a Member State does not comply with the macro-economic adjustment programme referred to in Article 7 of Regulation (EU) No 472/2013 of the European Parliament and of the Council (39) , or with the measures requested by a Council decision adopted in accordance with Article 136(1) TFEU. Priority shall be given to the suspension of commitments; payments shall be suspended only when immediate action is sought and in the case of significant non-compliance. The suspension of payments shall apply to payment applications submitted for the programmes concerned after the date of the decision to suspend. The Commission may, on grounds of exceptional economic circumstances or following a reasoned request by the Member State concerned addressed to the Commission within 10 days of adoption of the decision or recommendation referred to in the previous sub-paragraph, recommend that the Council cancel the suspension referred to in the same sub-paragraph. 8. A proposal by the Commission for the suspension of commitments shall be deemed adopted by the Council unless the Council decides, by means of an implementing act, to reject such a proposal by qualified majority within one month of the submission of the Commission proposal. The suspension of commitments shall apply to the commitments from the Funds for the Member State concerned from 1 January of the year following the decision to suspend. The Council shall adopt a decision, by means of an implementing act, on a proposal by the Commission referred to in paragraph 7 in relation to the suspension of payments. 9. The scope and level of the suspension of commitments or payments to be imposed shall be proportionate, shall respect the equality of treatment between Member States and shall take into account the economic and social circumstances of the Member State concerned, in particular the level of unemployment, the level of poverty or social exclusion of the Member State concerned in relation to the Union average and the impact of the suspension on the economy of the Member State concerned. The impact of suspensions on programmes of critical importance to address adverse economic or social conditions shall be a specific factor to be taken into account. 10. The suspension of commitments shall be subject to a maximum of 25 % of the commitments relating to the next calendar year for the Funds or 0,25 % of nominal GDP whichever is lower, in any of the following cases: (a) in the first case of non-compliance with an excessive deficit procedure as referred to under point (a) of paragraph 7;; (b) in the first case of non- compliance relating to a corrective action plan under an excessive imbalance procedure as referred to under point b of paragraph 7; (c) in case of non-compliance with the recommended corrective action pursuant to an excessive imbalance procedure as referred to under point (c) of paragraph 7; (d) in the first case of non-compliance as referred to under points (d) and (e) of paragraph 7. In case of persistent non-compliance, the suspension of commitments may exceed the maximum percentages set out in the first sub-paragraph. 11. The Council shall lift the suspension of commitments on a proposal from the Commission, in accordance with the procedure set out in paragraph 8, in the following cases: (a) where the excessive deficit procedure is held in abeyance in accordance with Article 9 of Council Regulation (EC) No 1467/97 (40) or the Council has decided in accordance with Article 126(12) TFEU to abrogate the decision on the existence of an excessive deficit; (b) where the Council has endorsed the corrective action plan submitted by the Member State concerned in accordance with Article 8(2) of Regulation (EU) No 1176/2011 or the excessive imbalance procedure is placed in a position of abeyance in accordance with Article 10(5) of that Regulation or the Council has closed the excessive imbalance procedure in accordance with Article 11 of that Regulation; (c) where the Commission has concluded that a Member State has taken appropriate measures as referred to in Regulation (EC) No 332/2002; (d) where the Commission has concluded that the Member State concerned has taken appropriate measures to implement the adjustment programme referred to in Article 7 of Regulation (EU) No 472/2013 or the measures requested by a decision of the Council in accordance with Article 136(1) TFEU. After the Council has lifted the suspension of commitments, the Commission shall re-budget the suspended commitments in accordance with Article [8] of Council Regulation (EU, Euratom) [ […] (MFF regulation) ]. Suspended commitments may not be re-budgeted beyond the year 2027. The decommitment time limit for the re-budgeted amount in accordance with Article 99 shall start from the year in which the suspended commitment has been re-budgeted. A decision concerning the lifting of the suspension of payments shall be taken by the Council on a proposal by the Commission where the applicable conditions set out in in the first sub-paragraph are fulfilled. 12. The Commission shall keep the European Parliament informed of the implementation of this Article. In particular, the Commission shall, when one of the conditions set out in paragraph 7 is fulfilled for a Member State, immediately inform the European Parliament and provide details of the Funds and programmes which could be subject to a suspension of commitments. The European Parliament may invite the Commission for a structured dialogue on the application of this Article, having regard to the transmission of the information referred to in the first sub-paragraph. The Commission shall transmit the proposal for suspension of commitments or the proposal to lift such a suspension, to the European Parliament and to the Council. 13. Paragraphs 1 to 12 shall not apply to priorities or programmes under Article [4(c)(v)(ii)] of ESF+ Regulation. [Am. 425/rev, 444/rev, 448 and 469]

TITLE III

PROGRAMMING

CHAPTER I

General provisions on the Funds

Article 16 Preparation and submission of programmes 1. Member States in cooperation with the partners referred to in Article 6 shall prepare programmes to implement the Funds for the period from 1 January 2021 to 31 December 2027. [Am. 140] 2. Member States shall submit programmes to the Commission no later than 3 months after the submission of the Partnership Agreement. 3. Member States shall prepare programmes in accordance with the programme template set out in Annex V. For the AMIF, the ISF and the BMVI, the Member State shall prepare programmes in accordance with the programme template set out in Annex VI.

Article 17 Content of programmes 1. Each programme shall set out a strategy for the programme’s contribution to the policy objectives and the communication of its results. 2. A programme shall consist of priorities. Each priority shall correspond to a single one or several policy objective objectives or to technical assistance. A priority corresponding to a policy objective shall consist of one or more specific objectives. More than one priority may correspond to the same policy objective. [Am. 141] For programmes supported by the EMFF, each priority may correspond to one or more policy objectives. Specific objectives correspond to areas of support as defined in Annex [III] to the EMFF Regulation. For programmes supported by the AMIF, the ISF and the BMVI, a programme shall consist of specific objectives. 3. Each programme shall set out: (a) a summary of the main challenges, taking into account: (i) economic, social and territorial disparities as well as inequalities , except for programmes supported by the EMFF; [Am. 142] (ii) market failures, investment needs and complementarity and synergies with other forms of support; [Am. 143] (iii) challenges identified in the relevant country-specific recommendations and other relevant Union recommendations addressed to the Member State; [Am. 144] (iv) challenges in administrative capacity and governance and simplification measures ; [Am. 145] (iva) an integrated approach to address demographic challenges, where relevant; [Am. 146] (v) lessons learnt from past experience; (vi) macro-regional strategies and sea-basin strategies where Member States and regions participate in such strategies; (via) challenges and related objectives identified within National Energy and Climate Plans and in the European Pillar of Social Rights; [Am. 147] (vii) for programmes supported by the AMIF, the ISF and the BMVI, progress in implementing the relevant Union acquis and action plans , as well as identified shortcomings ; [Am. 148] (b) a justification for the selected policy objectives, corresponding priorities, specific objectives and the forms of support; (c) for each priority, except for technical assistance, specific objectives; (d) for each specific objective: (i) the related types of actions, including a an indicative list and timetable of planned operations of strategic importance, and their expected contribution to those specific objectives and to macro-regional strategies and sea-basin strategies, where appropriate; [Am. 149] (ii) output indicators and result indicators with the corresponding milestones and targets; (iii) the main target groups; (iiia) actions safeguarding equality, inclusion and non-discrimination; [Am. 150] (iv) specific territories targeted, including the planned use of integrated territorial investment, community-led local development or other territorial tools; (v) the interregional , cross-border and transnational actions with beneficiaries located in at least one other Member State; [Am. 151] (va) sustainability of investments; [Am. 152] (vi) the planned use of financial instruments; (vii) the types of intervention and an indicative breakdown of the programmed resources by type of intervention or area of support; (viia) a description of how complementarities and synergies with other Funds and instruments are to be pursued; [Am. 153] (e) the planned use of technical assistance in accordance with Articles 30 to 32 and relevant types of intervention; (f) a financing plan containing: (i) a table specifying the total financial allocations for each of the Funds and for each category of region for the whole programming period and by year, including