WRITTEN QUESTION E-2851/01

by Erik Meijer (GUE/NGL) to the Commission

(17 October 2001)

Subject: Allocation of ESF monies by the Netherlands Ministry of Education, Culture and Science to compensate for budget cuts

1. Is the Commission aware of reports of possible misuse of ESF monies by the Netherlands Ministry of Education, Culture and Science in allocating them to apprenticeship schemes and projects to discourage pupils from dropping out of school?

2. Can it state which body in the Netherlands was ultimately responsible for channelling the ESF monies through to the Ministry of Education, Culture and Science?

3. Can it state how much ESF money has been channelled into education projects via that ministry since 1995? Who was responsible for carrying out checks?

4. Is the Commission aware of the claim made in the reports referred to above that, from 1995, ESF money has been used to offset cuts of HFL 200 million in the ministry's budget?

5. Does it consider this to be compatible with the conditions laid down for the use of ESF money, e.g. as regards additionality and cofinancing? If not, does it consider there to be grounds for investigating the matter more closely?

6. Do ministries in the Netherlands other than the Ministry of Social Affairs and the Ministry of Education, Culture and Science make use of ESF grants? If so, which?

7. Do the circumstances referred to above also provide grounds for the Commission for further investigation of the projects concerned?

8. If irregularities are found to exist, have they been taken into account in the Article 24 proceedings already initiated by the Commission?

Source: NOS Radio 1 news, 1 September 2004, 08:04-09:00

Answer given by Mrs Diamantopoulou on behalf of the Commission

(19 December 2001)

1. to 4. The Commission has read reports in the Dutch press that the Ministry of Education, Culture and Science (OC & W) may have committed errors while spending European Social Fund (ESF) monies. The Dutch government has designated the Ministry of OC & W as final beneficiary for ESF funds. The amount of money reserved for the Ministry of OC & W was, according to financial overviews presented by the Dutch authorities at the Monitoring Committee of Objective 3 around 40 to 50 million NLG per year. At this stage, however, it is not exactly known how much will be used by OC & W. This will only become clear once the Dutch authorities have presented their final payment report. First line controle is the responsibility of Arbeidsvoorziening while the Ministry of Social Affairs and Employment (SZW) assumes second line control. The Commission has taken note of the reports in the Dutch press about the usage of ESF to compensate for cutbacks in the budget of OC & W.

5. The Commission has, at this stage, no reasons to presume that the rules for additionality, which in any case refer to total public expenditure on active labour market policy, were violated. However, with respect to rules for cost declarations there are now some doubts. The ESF agency of the Ministry of Social Affairs and Employment (SZW) has started at its own initiative an investigation which the Commission is following very closely. If the Commission is not satisfied with how the Dutch authorities deal with this case it may decide to launch its own investigation.

6. The Ministries for Justice, Interior Affairs and Wellbeing, Public Health and Sport have also benefited from ESF.

7. and 8. The ESF agency of the Ministry of SZW has, at its own initiative, started an investigation and depending on the outcome the Commission may decide to start its own investigation. The reply to question 8 depends also on the outcome of the investigation of the ESF Agency referred to above.