Proposal for a Council Regulation (EC) amending for the second time Regulation (EEC) No 1360/90 establishing a European Training Foundation
Date: 1997-04-28
Institutions: European Commission
Subjects: Central and Eastern Europe, EU programme, European Training Foundation, Mediterranean third countries, vocational training

COMMISSION  QF THE EUROPEAN  COMMUNITIES 

Brussels,  28 04.1997 
COM(97)  177 final 

97/0126  (CNS) 

Proposal  for a 

COUNCIL  REGULATION (EC) 

amending for the second time Regulation (EEC) No 1360/90 

establishing a European Training Foundation 

(presented  by the Commission) 

EXPLANATORY MEMORANDUM 

1 

INTRODUCTION 

1.1 
In their conclusions to the European Council meeting held in Strasbourg in December  1989, 
the Heads of State and of Government asked the Commission to submit proposals for the creation 
of a European  foundation  to assist the countries of Central  and Eastern  Europe  in their efforts  to 
restructure  their  vocational  training  systems.  The  Regulation  setting  up  the  European  Training 
Foundation  was  adopted  by  the  Council  on  7 May  1990 (Regulation  (EEC) No  1360/90)1.  The 
countries eligible for assistance from  the Foundation  were those referred  to  in Council  Regulation 
(EEC) No 3906/892 instituting the Phare Programme. 

1.2  Following the adoption  of Council  Regulation  (Euratom,  EEC) No 2053/93  setting  up the 
Tacis  Programme, the  Foundation's  remit was extended  by Regulation  (EC) No 2063/94 to cover 
the countries eligible under that programme. 

1.3  The Commission  now proposes a further  extension of that remit to cover the Mediterranean 
non-member  countries  and  territories  for  which  financial  and  technical  measures  have  been  laid 
down in Council Regulation (EC) No  1488/964 (MEDA Regulation) to support the reform  of their 
economic and social structures. 

1.4  An adjustment  to the composition of the Foundation's Governing Board is proposed to take 
account of the extended geographical spread of the Foundation's responsibilities. 

1.5  A number measures designed  to enhance the efficiency  of the Foundation's  operations are 
proposed to accompany the extension to the Mediterranean partner countries. 

COMMISSION  PROPOSAL  AMENDING  FOR  THE  SECOND  TIME  THE  COUNCIL 

2. 
REGULATION  ESTABLISHING THE EUROPEAN TRAINING  FOUNDATION 

EXTENSION  TO  THE  MEDITERRANEAN  PARTNER  COUNTRIES  (Article  1  and 
consequential amendments to Articles 3, 8 and 16) 

In  March  1995 the Commission  forwarded  to the Council  a communication  setting out the 
2.1 
priorities  for  reinforcing  the  Union's  Mediterranean  policy,  inter  alia  in  the  field  of  vocational 
training, and  laying down  the framework for  financial  and technical  cooperation  over the  period 
until 1999. 

1  OJ No L 131, 23.5.1990, p 1, Regulation as last amended by Regulation (EC) No 2063/94 (OJ 

No L 216,20.08.1994, p 9) 

2  OJ No L 375, 23.12.1989, p  11, Regulation  as last amended  by Regulation (EC) No 753/96 

(OJNoL  103, 26.04.1996, p 5) 

3  OJ  No  L  187, 29.7.1993, p  1, Regulation  as amended  by  Regulation  (Euratom,  EC) No 

1279/96 (OJ No L 165,4.7.1996,  p i) 

4  OJ No L 189, 30.7.1996 

The  representatives  of  the  Council, the  Commission,  the  Member  States  and  the  Mediterranean 
countries agreed at the conference  held  in Barcelona on 27 and 28 November  1995 to establish  a 
comprehensive  partnership  among  the  participants  based,  in  addition  to  strengthened  political 
dialogue, on the development of economic and financial  cooperation and  greater emphasis  on the 
social, cultural  and human  dimension. The detailed  work  programme  adopted  by the  conference 
provides for the enhancement of educational  levels  in particular in the Mediterranean  region, with 
an  initial  focus  inter alia on vocational  training. In this context, the Foundation  is called  upon  to 
contribute. 

At its meeting in Madrid on  15 and  16 December  1995, the European Council  invited the Council 
and the Commission to put the Barcelona Declaration and Work Programme into practice. 

The  MEDA  Regulation  subsequently  adopted  lays  the  basis  for  a  new  partnership  with  the 
Mediterranean  countries,  within  a  unified  framework.  The  measures  which  the  Regulation  lays 
down  to  assist  in  the  refonn  of  the  economic  and  social  structures  in  the  Mediterranean  partner 
countries  take  into  account  the  importance  of  support  for  the  development  of  human  resources, 
notably in vocational training. 

2.2  The European Training Foundation  provides an institutional  framework  for the provision  of 
vocational training assistance, structured to provide a flexible response to the varying needs of the 
countries  eligible  under the  Phare and Tacis  programmes. The  Foundation's  remit  also  enables  it 
not only to collaborate with the various regional and national  facilities,  whether public or private, 
operating in this field, but also to cooperate with the relevant national and international  institutions. 
The  Regulation  setting  up the  Foundation  further  provides  for  participation  in  the  Foundation's 
activities  by countries sharing the Community's commitment  to the provision  of assistance  in this 
field.  That  Regulation  charges  the  Commission  with  ensuring  consistency  and  complementarity 
between the work of the Foundation and other Community vocational training activities. 

2.3  Given  the  existence  of  this  instrument,  the  Commission  proposes,  on  grounds  of  cost-
effectiveness  and  efficiency,  to extend the Foundation's remit to cover the non-member  countries 
and  territories  specified  in  the  Regulation  on  the  new  Mediterranean  partnership,  subject  to  the 
constraints of consistency and complementarity referred to above. 

GOVERNING  BOARD (Article 5) 

2.4 
In  view  of  the  extended  geographical  spread  of  the  Foundation's  responsibilities  which 
would  result  from  this  amendment,  it  is  proposed  to  widen  the  Governing  Board's  base  by 
providing for an additional Commission representative. However, no change in the number of votes 
at the disposal of the Commission's representatives is envisaged. 

ACCOMPANYING  MEASURES  TO 
FOUNDATION AND ENHANCE ITS EFFICIENCY (Articles 2, 3,4, 5, 6, 7 and 10) 

INCREASE  POLICY  GUIDANCE  FOR  THE 

2.5  The  experience  of  the first three  years  of the  Foundation's  operations  shows  that  certain 
measures  could  enhance  its  efficiency.  A  certain  need  to  increase  policy  guidance  for  the 
Foundation  has  become  apparent.  The  measures  proposed  below  aim  at  enabling  the  different 
actors involved (i.e. the Commission, the Foundation's Governing Board and Advisory Forum  ) to 
provide such guidance and contribute to more efficiency,  also in the context of the extension of the 
Foundation's scope to the Mediterranean partner countries. 

In order to align  the Foundation's  activities  more efficiently  with  the  relevant  Community 
2.6 
policies vis-à-vis the partner countries concerned,  it is proposed  to enable  the Commission  to set 
general  policy  guidelines  for  the  Foundation's  work  (Articles  2  and  3).  This  will  allow  for  the 
Foundation's  activities  to  be  programmed  from  the  outset  in  accordance  with  the  orientations 
adopted for the Community's overall assistance programmes for the partner countries. 

2.7  As a corollary to the Commission's obligation to ensure coherence between the work of the 
Foundation  and  other  Community  actions (Article  8), it is proposed  that  the Commission  ensure 
cooperation  between  the  Foundation  and  other  relevant  Community  bodies,  such  as  Cedefop 
(Article 4). 

i 

It  is proposed  strenghthening  the  decision  making powers  of the  Foundation's  Governing 
2.8 
Board  by aligning the Foundation's work programme more efficiently  with  its budget.  The work 
programme will  be adopted  at the same time as the budget, will contain  allocations of  budgetary 
resources  to  operational  activities  and  may  be  adapted  to  new  developments  during  the  year 
(Article 5, paragraph 7 and Article  10, paragraph 4). 

2.9 
It is also proposed to strengthen the role of the Foundation's Advisory  Forum  by providing 
for  the  participation  of  experts  nominated  by  the  Commission,  thus  ensuring  that  the  Forum 
receives more efficient  counsel (Article 6). 

2.10  Given  the  important  role of the  Foundation's  Director,  it  is proposed  defining  his  mandate 
more precisely.  The Governing Board, on a proposal from  the Commission, will be authorized  to 
adapt his term of office  to specific circumstances.  The link between the Director's  responsibilities 
and the decisions of the Governing Board, the Foundation's work programme and other guidelines 
will be clarified (Article 7). 

3.  MONITORING AND EVALUATION 

The  first  results  of  the  monitoring  and  evaluation  procedure  provided  for  in  Article  17 of  the 
Regulation  setting  up  the  Foundation  are  due  to  be  submitted  to  the  Council,  the  European 
Parliament and the Economic and Social Committee before 30 June 1997. 

4. 

BUDGET 

4.1  The Commission  assesses the vocational  training requirements  in the countries covered  by 
the Phare and Tacis programmes, and those of the Mediterranean partners, within the framework of 
the general guidelines on economic aid to those countries. It will on this basis establish the annual 
contribution  for  the  Foundation's  budget  to  be  included  in  the  preliminary  draft  budget  of  the 
European Communities, pursuant to Article  10 of the Regulation setting up the Foundation. 

4.2  The funding of projects and programmes for the beneficiary countries and entrusted for their 
implementation  by the  Commission  to the  Foundation  will  be organised  as  part  of the  PHARE, 
TACIS and MEDA arrangements. 

COUNCIL REGULATION (EC) No 

of 

amending for the second time Regulation (EEC) No  1360/90 

establishing a European Training Foundation 

THE COUNCIL OF THE EUROPEAN  UNION 

Having regard to the Treaty establishing the European Community, and in particular 

Article 235  thereof, 

Having regard to the proposal from the Commission 

2 
Having regard to the opinion of the European Parliament 

Having regard to the opinion of the Economic and Social Committee3 

Whereas  the  European  Council  meeting  in  Strasbourg  on  8  and  9  December  1989 

called  upon  the  Council,  acting  on  a  proposal  from  the  Commission,  to  adopt  the 

necessary  decisions  for  the  establishment  of  a  European  Training  Foundation  for 

Central  and Eastern Europe; whereas to that end on 7 May' 1990 the  Council  adopted 

Regulation (EEC) No  1360/904 which established the said Foundation, 

OJNOC 

2 

OJNOC 

OJNOC 

OJ No L 131,23.5.1990, p.l, Regulation as amended by Regulation (EC) No 2063/94 
(OJNoL216, 20.8.1994, p. 9) 

Whereas,  pursuant  to Regulation  1360/90,  the countries  eligible  for  the  Foundation's 

programmes  arc  the  countries  eligible  for  economic  aid  under  Regulation  (EEC)  No 

3906/895  ('Phare'  Programme)  and  Regulation  (Euratom,  EC)  No  1279/966  (Tacis' 

Programme); 

Whereas  the  representatives  of the  Council,  the Commission,  the  Member  States and 

the  Mediterranean  partner  countries,  meeting  in  Barcelona  on  27  and  28  November 

1995,  agreed  in  their  Declaration  on  the  establishment  of  a  Euro-Mediterranean 

partnership  to  place  greater  emphasis  on  the  social,  cultural  and  human  dimension; 

whereas,  in  order  to  contribute  to  the  attainment  of  that  objective,  the  Work 

Programme  implementing  the Barcelona Declaration provides for an initial  focus  inter 

alia  on  vocational  training,  to  which  the  European  Training  Foundation  will 

contribute; whereas the European Council, meeting in Madrid on  15 and  16 December 

1995,  called upon the Council  and the Commission to put into practice  the  Barcelona 

Declaration and Work Programme; 

Whereas  Council  Regulation  (EC)  No  1488/967  provides  for  financial  and  technical 

measures  to  accompany  the  reform  of  economic  and  social  structures  within  the 

framework  of the Euro-Mediterranean partnership (MEDA); 

Whereas,  in  the  context  of  the  Mediterranean  partners'  efforts  to  reform  their 

economic  and  social  structures,  the  development  of  human  resources  is  essential  for 

OJ No  L 375,23.12.1989, p.l 1 Regulation  as amended  by Regulation  (EC)  No 
753/96 (OJNo  L  103, 26.4.1996, p. 5) 

OJ. No L 165, 4.7.1996, p.  1 

OJ. No L 189, 30.7.1996, p. 1 

L 

the attainment of  long-term  stability  and prosperity  and in particular the  achievement 

of socio-economic  equilibrium; 

Whereas the  Foundation was set up to provide a flexible  response  to the specific  and 

differing  requirements of the individual countries to be assisted; whereas, in providing 

assistance on the basis of Community experience in the area of vocational training, the 

Foundation  is  charged  with  collaborating  with  regional,  national,  public  and  private 

facilities  in  the  Community  and third  countries,  and  with  exercising  its  functions  in 

close  co-operation  with  existing  national  and  international  institutions;  whereas  the 

possibility  exists  for  participation  by  third  countries  which  share  the  Community's 

commitment  to  the  provision  of  aid  in  the  training  field;  whereas  consistency  and 

complementarity  between  the  work  of  the  Foundation  and other  Community  actions 

should be ensured; 

Whereas  within  the  institutional  framework  established  for  the  Foundation  the 

Community's  experience  can  be  placed  at  the  disposal  also  of  the  Mediterranean 

partners; 

Whereas  the  Foundation's governing  board should  be strengthened  to take account  of 

this  wider  remit  without,  however,  providing  for  a  corresponding  increase  in  the 

number of votes held by the representatives of the Commission, 

Whereas the  efficiency  of  the Foundation's  operations  will  benefit from a number  of 

accompanying  measures;  whereas  guidance  by  the  Commission  will  allow  for  the 

Foundation's  activities to be aligned efficiently  with the Community  policies  adopted 

with respect to the partner countries; 

Whereas  cooperation  with other  relevant  Community  bodies  is  a prerequisite  for  the 

efficient  use  of  resources  and  should  be  reinforced  in  order  to  exploit  synergies; 

whereas this can be ensured most efficiently  by the Commission; 

Whereas  the  decision  making  powers  of  the  Foundation's  governing  board  will  be 

strengthened  by creating a closer link between the Foundation's  work programme and 

its budget,  in particular by adopting both documents through a coordinated  procedure 

and linking the Foundation's expenditure closely to its operations; 

Whereas  experience  has  shown  that  the  role  of  the  Foundation's  advisory  forum 

would  be  strengthened  by  providing  it  with  more  efficient  counsel  from  the 

Commission; 

Whereas there  is a need to define  the  mandate of the  Foundation's  director  in a more 

precise and  flexible  manner, 

HAS ADOPTED THIS  REGULATION 

Article 1 

Regulation (EEC) No  1360/90 is amended as follows': 

1 . 

The first paragraph of Article  1 shall be replaced by the  following: 

% 

'This  Regulation  hereby  establishes  the  European  Training  Foundation  (hereinafter 

referred  to  as  the  "Foundation")  whose  objective  shall  be  to  contribute  to  the 

development of the vocational training systems of: 

the  countries  of  Central  and  Eastern  Europe  designated  as  eligible  for 

economic  aid  by  the  Council  in  Regulation  (EEC)  No  3906/89  or  in  any 

subsequent relevant legal act; 

the New  Independent  States and  Mongolia  which  are the  beneficiaries  of  the 

programme  to  assist  economic  reform  and  recovery  under  Regulation 

(Euratom, EC) No 1279/96 or in any subsequent relevant legal act; and 

the  Mediterranean  non-member  countries  and  territories  beneficiaries  of  the 

financial  and technical measures to accompany the reform  their economic and 

social  structures  under  Regulation  (EC)  No  1488/96  or  in  any  subsequent 

relevant legal act' 

2. 

Article 2 shall be replaced by the following: 

'Following  general  policy  guidelines  set  by  the  Commission,  the  Foundation  shall 

work in the training field,  covering initial and continuing vocational training  as well 

as  retraining  for  young  people  and  adults,  including  in  particular  management 

training.' 

3. 

The introductory sentence of  Article 3 shall be replaced by the following: 

'For the purpose of achieving the objectives set out in Article  1, the Foundation shall, 

following general policy guidelines set by the Commission :' 

3 

4. 

Point (e) of Article 3 shall be replaced by the following: 

'(e) 

confer  on  the  governing  board  the  power  to  lay  down  tendering 

procedures  for  projects  funded  or co-financed  by  the  Foundation,  taking  full 

account of the procedures established under Regulation (EEC) No  3906/89,  in 

particular  Article  7  thereof,  under  Regulation  (Euratom,  EC)  No  1279/96,  in 

particular  Articles  6  and 7 thereof,  Regulation  (EC)  No  1488/96  in  particular 

Article 8 thereof,  or in any subsequent relevant legal act;' 

5. 

The second subparagraph of Article 4(1)  shall be replaced by the following: 

'The  Commission  shall  ensure  co-operation  between  the  Foundation  and  other 

relevant Community bodies, in particular Cedefop.' 

6. 

The first subparagraph of Article 5 (1) shall be replaced by the  following: 

'The Foundation  shall  have a governing  board consisting of one representative of each 

Member State and three representatives of the Commission.' 

7. 

The third subparagraph of Article 5 (4) shall be replaced by the  following: 

'The members of the governing board representing the Member States shall each have 

one  vote.  The  representatives  of  the  Commission  shall  have  at  their  disposal  one 

vote.' 

io 

8. 

Article 5 (7) shall be replaced by the following : 

'On  the  basis  of  a  draft  submitted  by  the  director  of  the  Foundation,  the  governing 

board,  in consultation  with the Commission,  shall  adopt  the annual  work  programme 

for the Foundation at the beginning of each year, within the framework of a three-year 

rolling  perspective.  The programme  may  be adapted  during  the year  using  the  same 

procedure. 

The projects and activities  in the annual work programme shall be accompanied  by an 

estimate  of  the  necessary  expenditure  and  by  allocations  of  staff  and  budgetary 

resources.' 

9. 

The second subparagraph of Article 6 (1) shall be replaced by the following : 

'The  members  of  the  forum  shall  be  selected from experts  among  training  and  other 

circles  concerned  in  the  work  of  the  Foundation,  taking  into  account  the  need  to 

ensure  the  presence  of  representatives  of  the  social  partners,  of  the  Commission,  of 

those  international  organisations  active  in the provision  of  training  assistance,  and  of 

the eligible countries.' 

10. 

Article 6 (2) shall be replaced by the following : 

'The governing board shall seek nominations for appointment from : 

each of the Member States 

each of the eligible countries, 

the  Commission 

the  social  partners  at European  level  which  are already  active  in the  work  of 

the Community  institutions, and 

relevant international organisations.' 

M 

11. 

The first paragraph of Article 7 shall be replaced by the following : 

'The  director  of  the  Foundation  shall  be  appointed  by  the  governing  board  on  a 

proposal from the Commission for a term of office  of three to five years, which can be 

extended on a proposal from the Commission. 

The director shall be responsible : 

for the preparation and organisation of the work of the governing  board, of any  ad 

hoc  working  parties  convened  by  the  governing  board  and,  in  particular, 

following  general  policy  guidelines  set by the Commission,  for the preparation  of 

the draft annual  work programme of the Foundation, 

the day-to-day administration of the Foundation, 

for the preparation of the statement  of revenue  and expenditure  and execution  of 

the budget of the Foundation, 

for the preparation and publication of reports specified  under this Regulation, 

for all staff matters, 

for  undertaking  the  tasks  set  out  in  the  annual  work  programme  referred  to  in 

Article  5 (7), 

for properly  implementing  the governing board's decisions  and the guidelines  set 

down for the Foundation's activities.' 

4fc 

12. 

Article 8 shall be replaced by the following: 

' Article 8 

Links with other Community actions 

The Commission, in co-operation with the governing board and, where appropriate, in 

accordance with the procedures set out in Article 9 of Regulation (EEC) No 3906/89, 

Article 8 of Regulation (Euratom, EC) No  1279/96 and Article  11 of Regulation (EC) 

No  1488/96  or  in  any  subsequent  relevant  legal  act,  shall  ensure  consistency  and, 

where  necessary,  complementarity  between  the  work  of  the  Foundation  and  other 

actions  at  Community  level,  both  within  the  Community  and  in  assistance  to  the 

eligible countries, with particular reference to actions under the Tempus scheme'. 

13. 

Article  10 (4) shall be replaced by the following : 

'The  governing  board, after  receiving  the advice of the Commission,  shall  adopt  the 

budget of the Foundation together with the work programme at the beginning of each 

financial  year, adjusting  it to the several contributions granted  to the Foundation  and 

to its other resources.' 

14. 

The first subparagraph of Article  16 (1) shall be replaced by the following : 

'The Foundation shall be open to the participation of countries which are not members 

of the European Community and which share the commitment of the Community and 

the Member States to the provision of aid in the training field to the eligible countries, 

13 

under  arrangements  to  be  laid  down  in  agreements  between  the  Community  and 

themselves, following the procedure laid down in Article 228 of the Treaty'. 

Article 2 

This  Regulation  shall  enter  into  force  on  the  eighth  day  following  that  of  its 

publication in the Official  Journal of the European Communities. 

This Regulation shall be binding in its entirety and directly applicable in all Member 

States. 

Done at Brussels, 

For the Council 

The President 

it 

FINANCIAL STATEMENT 

1. 

TITLE OF OPERATION: 

Amendment of Council  Regulation (EEC) No  1360/901 to extend the geographical  scope of the 
European  Training  Foundation's  activities  to  the  Mediterranean  partners  listed  in  the  MEDA 
Regulation  . 

2. 

BUDGET HEADING INVOLVED: 

Under Article 9 of Regulation No 1360/90, the Foundation's running costs are covered by its own 
budget,  the  subsidy  thereto  under  the general  budget  of the  European  Communities  being  paid 
from heading B7-501. 

3. 

LEGAL BASIS: 

Article 235. 

4. 

DESCRIPTION OF OPERATION: 

The Foundation's  mission  in regard to the Phare and Tacis countries, as laid down  in the  above 
regulation, is to promote effective  cooperation between the Community and the eligible countries 
in the  field  of vocational  training, to contribute  to the coordination  of assistance  to  the  eligible 
countries by the Community, its Member States and interested third  countries, and to  implement 
a coherent strategy of aid to the eligible countries. 

In practical terms, the Foundation's task is 

*  on the one hand, to provide training assistance to the eligible countries (Article 3), consisting 
in the definition  of needs and priorities, acting as a clearing house  for  initiatives  as between 
the Community,  third  countries and the eligible countries, facilitating  joint  venture  projects, 
mobilising  public  and  private 
training  assistance,  and 
disseminating information  and experience; 

training  bodies,  evaluating 

*  on  the  other,  to  implement  (Article  3  (c)  third  indent)  vocational  training  programmes  as 
agreed between the Commission and the eligible countries.  To date, twenty Phare and Tacis 
programmes  in  the  field  of  vocational  training  have  been  or  are  in  the  process  of  being 
transferred  for implementation by the Foundation. 

Council Regulation (EEC) No 1360/90 (OJ No L 131 of 25.05.1990) as amended by Regulation (EC) No 

2063/94 (OJ No L 216 of 20.08.1994). 
2 

Council Regulation (EC) No 1488/96 (OJ No L 189 of 30.7.1996). 

4* 

The  proposed  amendment  would  place  the  Foundation's  expertise  at  the  disposal  of  the  non-
member  countries  and  territories  listed  in  the  MEDA  Regulation  and  improve  the  policy 
guidance of the Foundation as well as its  efficiency. 

5. 

CLASSIFICATION OF EXPENDITURE: 

Heading B7-501 represents a non-compulsory, differentiated  appropriation. 

6. 

TYPE OF EXPENDITURE: 

The  subsidy  to  the  Foundation  entered  in  the  general  budget  of the  European  Communities  on 
line B7-501  in pursuance of Article 9 of Regulation  (EEC) No  1360/90 is intended  to cover the 
administrative costs engendered  by the function  described under paragraph 4, including staff and 
infrastructure,  and  the  operational  expenditure  directly  linked  to  the  specific  mission  of  the 
Foundation as described  in paragraph 4, second paragraph, first indent. 

The operational  costs  of  the  vocational  training  programmes  implemented  by  the  Foundation 
under Article 3(c) of Regulation No  1360/90 are met under the Phare and Tacis budget lines B7-
500  and  B7-520  respectively. 
In  addition,  under  a  mandate  pursuant  to  Article  3(h)  of 
Regulation  No  1360/90,  the  Foundation  provides  technical  assistance  to  the  Tempus  II 
programme, for which appropriations have been requested under the  1997 budget also under the 
Phare/Tacis lines. 

In  addition  to  the  subsidy  under  the  general  budget,  the  Foundation's  budget  is  designed  to 
accommodate contributions from  other sources, such as from the Member  States, third countries 
(in particular  G24 countries), institutions, undertakings and private foundations,  and funds  made 
available by the eligible countries themselves. 

7. 

FINANCIAL IMPACT: 

It  is  envisaged  that  Ihc  operational  costs  of  implementing  the  MED  vocational  training 
programmes  would  be  met  under  the  MEDA  budget  line  B7-410  in the  same  way,  and  on  the 
same  legal  basis,  as  is  currently  the  case  for  the  Phare  and  Tacis  programmes  (see  preceding 
paragraph). 

The Foundation's running costs would continue to be met in their entirety from the Foundation's 
own budget.  No increase in the subsidy as a result of the proposed amendment is envisaged. 

8.  FRAUD PREVENTION MEASURES: 

The control of the commitment and payment of all the Foundation's expenditure is undertaken 
by the Financial Controller of the Commission (Article 11 of Regulation No 1360/90). 

<L 

As  regards  the  implementation  of  vocational  training  programmes  under MEDA,  control  would 
be  undertaken  by  the  Foundation,  the  Commission  service  responsible  for  the  overall 
management of the programmes and the Financial  Controller of the Commission. 

9. 

ELEMENTS  OF COST-EFFECTIVENESS  ANALYSIS: 

The  Foundation  constitutes  an  existing  body  of  knowledge  and  expertise  in  the  transfer  of 
vocational training experience, which the work programme adopted by the Barcelona  Conference 
identified  as  being  an  appropriate  agency  to  contribute  to  its  aims  in  the  training  field  in  the 
MEDA partner countries. 

The  extension  of  the  Foundation's  geographical  remit  to  those  countries avoids  the  unnecessary 
duplication  which  would  be  involved  in setting  up a new  body  specifically  for  them,  as  well  as 
the additional  cost and inevitable time delays. 

The  Foundation's  efficiency  will  also  be  improved  by  a  number  of  accompanying  measures 
(increasing  guidance  by  the  Commission;  aligning  the  work  programme  with  the  budget; 
strengthening the advisory  forum and defining the director's mandate more precisely). 

10. 

ADMINISTRATIVE E XPENDITURE: 

No additional administrative expenditure is involved. 

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ISSN 0254-1475 

COM(97) 177  final 

DOCUMENTS 

EN 

16  u 

Catalogue number  :  CB-CO-97-167-EN-C 

ISBN 92-78-18947-2 

Office  for Official  Publications of the European Communities 

L-2985 Luxembourg 

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