Proposal for a Council Decision concerning the Community position within the Association Council on the participation of the Slovak Republic in the Community programmes in the field of culture
Date: 1998-04-27
Institutions: European Commission
Subjects: Central and Eastern European countries, EU programme, Slovakia, accession to the European Union, cultural policy

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COMMISSION OF THE EUROPEAN COMMUNITIES 

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Brussels, 27.04.1998 
COM(1998) 239 final 

98/0145 
98/0146 
98/0147 
98/0148 
98/0149 
98/0150 
98/0151 
98/0152 

(CNS) 
(CNS) 
(CNS) 
(CNS) 
(CNS) 
(CNS) 
(CNS) 
(CNS) 

Proposals  for 

COUNCIL DECISIONS 

concerning the Community position within the Association Councils on the 
participation of Bulgaria, the Czech Republic, Estonia, Hungary, Lithuania, Poland, 
Romania and the Slovak Republic in the Community programmes in the field  of culture 

(presented by the Commission) 

Explanatory Memorandum 

The  European  Council,  at  its  meeting  in  Luxemburg  on  12  and  13  December  1997, 
reconfirmed  the  importance  of  the  participation  of  candidate  countries  from  Central 
Europe in Community programmes in the context of the enhanced pre-accession strategy, 
as a means to familiarise them with Communuty working methods and procedures. 

In addition to Community programmes in such fields as education, training and youth, in 
which  some candidate  countries already  participate,  it  is now proposed  to  decide terms 
and  conditions for  the participation  of Bulgaria,  the Czech Republic, Estonia,  Hungary, 
Lithuania,  Poland,  Romania  and  the  Slovak  Republic  in  the  Community's  cultural 
programmes from 1998 onwards. 

Community cultural  policy aims to contribute to the flowering of the European  cultures, 
while respecting their national diversity and at the same time bringing the common cultural 
heritage  to  the  fore.  In  particular,  Community  cultural  programmes  are  aimed  at 
encouraging  cooperation  between  Member  States  and  third  countries  in  the  following 
areas: 

•  Improvement  of the  knowledge  and  dissemination  of  the  culture  and  history  of  the 

European peoples; 

•  Conservation and safeguarding of cultural heritage of European significance; 

•  Artistic and literary creation. 

According to the provisions of the Europe Agreements or their additional protocols 
concerning these countries' participation in Community programmes, they will themselves 
meet the costs resulting from their participation; they are, however, entitled to use part of 
their National Phare Programmes for complementing contributions from their own 
budgets. 

So far, eight candidate countries, namely Bulgaria, the Czech Republic, Estonia, Hungary, 
Lithuania, Poland, Romania and the Slovak Republic confirmed to the Commission in 
writing their willingness to participate in cultural programmes of the Community as from 
1998 and to make available the necessary budgetary appropriations, as calculated by the 
Commission services. While six countries intend to participate in Ariane, Kaleidoscope 
and Raphael, Lithuania confirmed  its interest in participating in Kaleidoscope and 
Raphael, and the Czech Republic in Raphael only. The eight countries envisage paying 
part of their financial contribution from their national budget and part from their Phare 
allocation. 

A question  of particular  importance to the candidate countries is the way in which they 
will be associated to the management and decision making process of the programmes to 
which  they  will  contribute  financially.  In the  draft  Association  Council  Decisions,  it is 
proposed  to  involve  them  closely  in  the  monitoring  of  their  participation  in  the 
programmes,  to  invite  them  to  coordination  meetings  prior  to  the  meetings  of  the 
Programme Committees, and to inform them about their results. 

The  main  issues  addressed  in  the  annexed  draft  Decisions  of  the  Association  Councils 
between  the EC  and  Bulgaria,  the  Czech  Republic,  Estonia,  Hungary,  Lithuania,  Poland, 
Romania  and  the  Slovak  Republic  adopting  the terms  and  conditions for  the  participation 
of these countries in the Community's cultural  programmes are the  following: 

- Bulgaria,  Estonia,  Hungary,  Poland,  Romania  and  the  Slovak  Repubic  will  participate 
in  all  actions  of  Ariane,  Kaleidoscope  and  Raphael;  Lithuania  will  participate  in  all 
actions  of Kaleidoscope  and  Raphael;  the Czech  Republic will  participate  in  all  actions 
of Raphael;  conditions  for  submission,  assessment  and  selection  of  applications  will  be 
as  far  as  possible  in  conformity  with  those  prevailing  for  the  Member  States  of  the 
Community (Annex I, paragraphs  1  and 2). 

- to  ensure the Community  dimension  of the Programmes,  a minimum  number  of  project 
partners from  the Member  States of the Community will be required  (Annex I,  paragraph 
3). 

- the financial  contributions of these countries and the rules governing their  contributions 
are  defined  in Annex  I,  paragraph  4 and  in Annex  II;  in accordance  with  the  provisions 
of  the  Europe  Agreements  or  their  Additional  Protocols,  they  will  pay  an  annual 
contribution  to  cover the  costs  of their  participation,  which  will  be financed  partly  from 
their own budget,  and partly from  their Phare allocation. 

-  these  countries  will  be  associated  to  the  monitoring  of  their  participation  in  the 

Programmes (Annex I, paragraph 6). 

-they  will  be  invited  to  any  co-ordination  meetings  prior  to  the  meetings  of  the 
Programme Committees and will be informed  about their results (Annex I, paragraph 7). 

- the Decisions shall apply for the duration  of the Programmes. 

The adoption  of Association  Council Decisions to allow these eight candidate  countries  to 
participate  in  the  Community's  cultural  programmes  as  from  1998  will  offer  them  the 
opportunity  to  actively  integrate  in  the  Community's  policies  in  this  area,  as  part  of  a 
reinforced  pre-accession  strategy. It is, therefore,  of considerable political  importance. 

Subject  to  their  capacity  to  fulfil  the  relevant  administrative  and  budgetary  requirements 
and,  in  the  case  of  Slovenia,  to  the  entry  into  force  of  its  Europe  agreement,  other 
applicant  countries should also be able to join the programmes in the course of 1998. 

In  order  to  allow  the  participation  of  Bulgaria,  the  Czech  Republic,  Estonia,  Hungary, 
Lithuania,  Poland,  Romania,  and  the  Slovak  Republic  in  the  Community's  cultural 
programmes  as  from  1998,  the  Council  is  requested  to  adopt  the  eight  annexed  draft 
Decisions. 

Proposal for a 
Council  Decision 
of... 

-[OH?  CCK^) 

concerning  the  Community  position  within  the  Association  Council  on  thé 
participation  of Bulgaria  in the Community  programmes  in the field  of culture. 

THE COUNCIL OF THE EUROPEAN  UNION, 

Having  regard  to  the  Treaty  establishing  the  European  Community,  and  in  particular 
Article  128, paragraph 3, in conjunction  with Article 228, paragraph 3, 1st alinéa thereof, 

Having regard to the proposal from  the Commission, 

Having regard to the opinion of the European  Parliament, 

Whereas  the  Additional  Protocol  to  the  Europe  Agreement  establishing  an  association 
between  the  European  Communities  and  their  Member  States,  of  the  one  part,  and 
Bulgaria,  of the other part, entered  into force  on  1 August  1996. 

Whereas  according  to  Article  1 of  the  Additional  Protocol,  Bulgaria  may  participate  in 
Community  framework  programmes,  specific  programmes,  projects  or  other  actions 
notably  in the field of culture  and,  pursuant  to  Article  2, the terms  and  conditions  for  the 
participation  of Bulgaria  in  the  activities  referred  to  in  Article  1 shall  be  decided  by  the 
Association  Council, 

Whereas,  Decision  No  719/96/EC  of  the  European  Parliament  and  of the  Council  of  29 
March  1996  establishing  a programme  to  support  artistic  and  cultural  activities  having  a 
European  dimension  (hereinafter  called  "Kaleidoscope")1  and  in  particular  Article  4 
thereof,  Decision  No  2085/97/EC  of  the  European  Parliament  and  of  the  Council  of  6 
October  1997  establishing  a  support  programme  in  the  fields  of  books  and  reading 
(hereinafter  called  "Ariane")2  and  in  particular  Article  4  thereof,  and  Decision  No 
2228/97/EC  of  the  European  Parliament  and  of  the  Council  of  13  October  1997 
adopting  a programme  in the field of cultural  heritage  (hereinafter  called  "Raphael")3  and 
in  particular  Article  6 
thereof,  provide  that  these  programmes  shall  be  open  to  the 
participation  of  associated  Central  European  countries  in  accordance  with  the  conditions 
set  out  in  the  Additional  Protocols  to  the  Association  Agreements  on  participation  in 
Community programmes. 

^J  No L 99/20 of 20.4.96 
2 OJ No L 291/26 of 24.10.97 
3 OJ No L 305/31 of 08.11.97 

HAS DECIDED AS FOLLOWS: 

The position to be taken by the Community within the Association Council established by 
the Europe Agreement between the European  Communities and their Member  States, of 
the one part, and Bulgaria, of the other  part,  concerning the participation  of Bulgaria in 
Community  Programmes  in  the  field  of  culture,  is  that  set  out  in  the  attached  draft 
decision'of the Association Council. 

Done at Brussels, 

For the Council, 

1998 
Draft  Decision  n°..../98  of  the  EC-Bulgaria  Association  Council  of. 
adopting the terms and conditions for the participation  of Bulgaria  in Community 
Programmes in the field of culture. 

The ASSOCIATION COUNCIL 

Having regard to the Europe Agreement establishing an association between the European 
Communities and their Member States, of the one part, and Bulgaria of the other part,1 

Having  regard  to  the  Additional  Protocol  to  the  Europe  Agreement  establishing  an 
association between the European Communities and their Member States, of the one part, 
and  Bulgaria,  of  the  other  part,  concerning  Bulgaria's  participation  in  Community 
programmes2,  and in particular Article 1  and 2 thereof, 

Whereas according to Article  1  of the said Additional Protocol, Bulgaria may participate 
in  Community  framework  programmes,  specific  programmes,  projects  or  other 
Community actions notably in the field of culture, 

Whereas according to Article 2 of the said Additional Protocol the terms and conditions 
for the participation of Bulgaria in the activities referred  to in Article  1  are to be decided 
by the Association Council, 

HAS DECIDED AS FOLLOWS: 

Article J 

Bulgaria shall participate in the European  Community programmes Kaleidoscope, Ariane 
and Raphael according to the terms and conditions set out in Annexes I and II which shall 
form an integral part of this Decision. 

Article 2 

This Decision shall apply for the duration of the Programmes. 

Article 3 

This Decision shall enter into force on the first day of the month following its adoption. 

Done at 

The Chairman 

For the Association Council 

OJN°L 358 of 31.12.1994 
OJN°L317of  30.12.1995 

X 
•6 

ANNEX I 

Terms and conditions for the participation  of Bulgaria  in the Programmes 
Kaleidoscope, Ariane and  Raphael. 

1. 
Bulgaria  shall  participate  in all activities  of the  programmes  Kaleidoscope,  Ariane 
and  Raphael  (hereinafter  called  "the  Programmes")  in  conformity,  unless  otherwise 
provided  in  this  Decision,  with  the  objectives,  criteria,  procedures  and  time  limits  laid 
down  in  Decision  No  719/96/EC  of  the  European  Parliament  and  of  the  Council  of  29 
March  1996  establishing  a programme  to  support  artistic  and  cultural  activities  having a 
European  dimension  (hereinafter  called "Kaleidoscope"), Decision No 2085/97 EC  of the 
European  Parliament  and  of  the  Council  of  6  October  1997  establishing  a  support 
programme  in'the  fields  of books  and  reading  (hereinafter  called  "Ariane")  and  Decision 
No  2228/97/EC  of  the  European  Parliament  and  of  the  Council  of  13  October  1997 
adopting a programme in the field of cultural heritage (hereinafter  called "Raphael"). 

2. 
The  terms  and  conditions  for  the  submission,  assessment  and  selection  of 
applications  related  to  eligible  institutions,  organisations  and  individuals  of Bulgaria  shall 
be the same as those applicable to eligible institutions, organisations and individuals of the 
Community. 

To  ensure  the  Community  dimension  of  the  Programmes,  transnational  projects 
3. 
and  activities  proposed  by  Bulgaria  will  be  required  to  include  a  minimum  number  of 
partners  from  the  Member  States  of  the  Community.  This  minimum  number  will  be 
decided  in the framework  of the  implementation  of the Programmes,  taking  into  account 
the  nature  of  the  various  activities,  the  number  of  partners  in  a  given  project,  and  the 
number of countries participating in the Programmes. 

Bulgaria  will  pay  each  year  a contribution  to  the general  budget  of the  European 
4. 
Communities  to  cover  the  costs  resulting  from  its  participation  in  the  Programmes  (see 
Annex  II).  The  Association  Committee  is  entitled  to  adapt  this  contribution  whenever 
necessary. 

5. 
The Member  States of the Community  and Bulgaria  will make every effort,  within 
the framework  of the existing provisions, to facilitate  the free  movement  and  residence  of 
all  eligible  persons  to  the  Programmes  moving  between  Bulgaria  and  the  Member  States 
of the Community for the purpose of participating in activities covered by the Decision. 

6. 
Without  prejudice  to  the  responsibilities  of  the  Commission  and  the  Court  of 
Auditors  of the European  Community  in relation  to  the  monitoring  and  evaluation  of the 
programmes  pursuant  to  the  Decisions  concerning  Kaleidoscope,  Ariane  and  Raphael 
(Articles  8,  8 and  10 respectively),  the  participation  of Bulgaria  in the  Programmes  will 
be continuously  monitored  on  a partnership  basis involving Bulgaria  and  the  Commission 
of  the  European  Communities.  Bulgaria  will  submit  the  necessary  reports  to  the 
Commission  and  take  part  in  other  specific  activities  set  out  by  the  Community  in  that 
context. 

7. 
Without  prejudice  to  the  procedures  referred  to  in  Article  5  of  the  Decision  on 
Kaleidoscope,  Article  5  of  the  Decision  on  Ariane  and  Article  7  of  the  Decision  on 

Raphael, Bulgaria will  be invited to  any co-ordination  meetings  on  questions  concerning 
the  implementation  of  this  Decision  prior  to  the  regular  meetings  of  the  Programme 
Committees.  The  Commission  will  inform  Bulgaria  about  the  results  of  such  regular 
meetings. 

8. 
The language to be used  as regards the application  process,  contracts,  reports to 
be submitted  and other administrative  arrangements  for  the  Programmes,  will  be  one  of 
the official  languages of the Community. 

s 

ANNEX II 

FINANCIAL CONTRIBUTION  OF BULGARIA  TO KALEIDOSCOPE, ARIANE 
AND  RAPHAEL 

1. The financial  contribution  of Bulgaria will cover; 

financial  support from the Programmes to Bulgarian participants, 

- 
-  supplementary  costs  of  an  administrative  nature  related  to  the  management  of 
the Programmes by the Commission stemming from  Bulgaria's  participation. 

2.  For every financial  year, the aggregated  amount  of subsidies or  any other  financial 
support  received  from  the Programmes by the Bulgarian beneficiaries  will not  exceed 
the  contribution  paid  by  Bulgaria,  after  deduction  of  the  supplementary  costs  of  an 
administrative nature. 

Should  the  contribution  paid  by  Bulgaria  to  the  general  budget  of  the 
European  Communities,  after  deduction  of 
the  supplementary  costs  of  an 
administrative  nature,  be  higher  than  the  aggregated  amount  of  subsidies  or  other 
financial support  received  by  the  Bulgarian  beneficiaries  from  the  Programmes,  the 
Commission  will  transfer  the  balance  to  the  next  budgetary  exercise,  and  it  will  be 
deducted  from  the following  year's  contribution.  Should  such  a balance be left  when 
the  Programmes  come  to  an  end,  the  corresponding  amount  will  be  reimbursed  to 
Bulgaria. 

3.  Kaleidoscope 

Bulgaria's  annual  contribution  will be  of ECU  59.131  from  1998. From  this  sum, 
an  amount  of ECU  4.140  will  cover  supplementary  costs  of  an  administrative  nature 
related  to  the  management  of  the  Programme  by  the  Commission  stemming  from 
Bulgaria's  participation. 

4. Ariane 

Bulgaria's  annual  contribution  will be of ECU  23.768  from  1998. From  this  sum, an 
amount  of  ECU  1.140  will  cover  supplementary  costs  of  an  administrative  nature 
related  to  the  management  of  the  Programme  by  the  Commission  stemming  from 
Bulgaria's  participation. 

5. Raphael 

Bulgaria's  annual  contribution  will be of ECU 61.450  from  1998. From  this sum, an 
amount  of  ECU  4.300  will  cover  supplementary  costs  of  an  administrative  nature 
related  to  the  management  of  the  Programme  by  the  Commission  stemming  from 
Bulgaria's  participation. 

6. The financial regulations  applicable  to  the  general  budget  of the  Community  will 
apply, notably to the management  of the contribution  of Bulgaria. 

Upon  entry  into  force  of  this  Decision  and  at  the  beginning  of  each  following  year, 
the  Commission  will  send  to  Bulgaria  a  call  for  funds  corresponding  to  its 
contribution  to the costs under this Decision. 

J* 

This contribution will be expressed in ECU and paid into an ECU bank account of the 
Commission. 

Bulgaria will pay its contribution to the annual costs under this Decision according to 
the call  for funds  and at the  latest  three months  after  the call  for  funds  is sent.  Any 
delay in the payment of the contribution  shall give rise to the payment  of interest by 
Bulgaria on the outstanding amount from the due date. The interest rate corresponds 
to  the rate applied by the European Monetary  Co-operation  Fund,  for  the  month  of 
the due date, for its operations in ECU, increased by 1,5 percentage points. 

7. Bulgaria will pay the supplementary costs of an administrative nature referred to in 
paragraphs 3, 4 and 5 from its national budget. 

8. Bulgaria shall pay the remaining cost of its participation as follows: 

8.1 

Kaleidoscope 

In 1998, ECU 0 from its national budget and ECU 54.991  from its Phare allocation. 

8.2 

Ariane 

In 1998, ECU 0 from its national budget and ECU 22.628 from its Phare allocation. 

8.3 

Raphael 

In 1998, ECU 0 from its national budget and ECU 57.150 from its Phare allocation 

In  1999,  ECU  4.572  from  its  national  budget  and  ECU  52.578  from  its  Phare 
allocation. 

In 2000,  ECU  ,14.287,5 from its national  budget  and ECU 42.862,5  from  its Phare 
allocation. 

8.4 
procedures. 

The  Phare  contribution  is  subject  to  the  regular  Phare  programming 

FINANCIAL  STATEMENT 

1. TITLE OF OPERATION 

Opening of Community Programmes in the field of culture to Bulgaria 

2. BUDGET HEADING  INVOLVED 

B7-503 - Opening of Community  Programmes to the associated  countries of Central 
Europe 

3. LEGAL  BASIS 

Treaty establishing the European  Community, and in particular Article  128, paragraph  3, in 
conjunction  with Article 228, paragraph  3,  1st alinéa thereof, 

Additional Protocol to the Europe Agreement with Bulgaria (Articles  228 and  238), providing  for 
the opening-up of Community programmes (OJ No  L317 of 30.12.1995), entered  into force on 1 
August  1996, 

Decision No 719/96/EC of the European Parliament and of the Council of 29 March  1996 establishing a 
programme  to support artistic and cultural activities having a European dimension ("Kaleidoscope") and 
in particular Article 4 thereof, 

Decision No 2085 /97/EC of the European Parliament and of the Council of 6 October  1997 establishing 
a support programme in the fields of books and reading ("Ariane") and in particular Article  4 thereof, 

Decision No 2228 /97/EC of the European Parliament and of the Council of  13 October  1997 adopting a 
programme in the field of cultural heritage ("Raphael") and in particular Article  6 thereof, 

4. DESCRIPTION  OF OPERATION: 

4.1 General  objective 

Bulgaria's  participation  in the three Community programmes  in the field  of culture will  further 
contribute to its preparation for accession as a key feature of a reinforced  pre-accession  strategy. It 
will also enable Bulgaria to familiarise  itself with the procedures and methods used in these 
Community programmes. 

The decision-making process for the opening-up of programmes  involves a decision  by the 
Association  Council between the Union and the associated country. This decision also lays down 
the practical  arrangements for opening up the programmes. 

The Additional Protocol with Bulgaria entered  into force on  1  August  1996 and provides  for 
Bulgaria's participation  in a wide range of areas, amongst which culture. 

Other Community programmes, notably in the audiovisual sector, health and social policy, SMEs, 
research etc, have been or will shortly be opened up to the participation  of Bulgaria. 

/ 
M 

4.2 Period  covered and arrangements  for renewal 

Until the end of the Community programmes concerned, i.e. 31.12.1998 for Kaleidoscope and 
Ariane, 31.12.2000 for Raphael, or dependent on decisions taken as regards cultural  programmes 
and budgets after  1999. For Raphael, both the contribution  from  the national budget and  from 
Phare are subject to the availability of budgetary appropriations  beyond  1999. 

5. CLASSIFICATION  OF EXPENDITURE  OR  REVENUE 

5.1 Non-compulsory  expenditure 

5.2  Differentiated  appropriations 

5.3 Type of revenue involved: 

Since the first  paragraph of Article 3 of the Additional  Protocol stipulates that Bulgaria itself will 
meet the costs resulting from  its participation,  it will be invited to transfer  its contribution to item 
6091 of the EU's budget receipts. However, as the second paragraph  of Article 3 states that the 
Community may supplement Bulgaria's contribution  (by up to  10% of the National  Indicative 
Programme), Bulgaria will contribute part from  its national  budget, with the remainder being 
charged to heading B7-503. A transfer  from  the relevant Phare appropriations  (article B7-500) to 
article B7-503 will be made upon receipt of the Bulgarian  contribution. 

6. TYPE OF EXPENDITURE OR REVENUE 

100% subsidy 

subsidy for joint financing with other sources in the public and/or private sector 

no provision  for all or part of the Community contribution to be reimbursed 

ARIANE 

Action 1 

Literary  translation 

-  Up to full  cost of translators  fees subject  to national standard payment  practice 

Translation  of theatrical  works 

-  3500 ECU per translator and per translation 

Translation  of reference  works 

-  up to  100% of translation costs if commercial work 
-  3500  ECU per translator and per translation  if not commercial 

Action 2 

Cooperation  projects 

-  up to 25% of total costs of the project and maximum  50 000 ECU 
- 

(if the project  includes arrangement  for  wider dissemination  of the results  an  additional 
contribution  may be granted  to cover  up to 50% of the costs  of such  measures  and  up 
to 20.000  ECU can be granted) 

41 

Action 3 

Further training 

-  grants  to  cover  travelling  expenses  and  further  training  costs  up  to  a  maximum  of 

50.000 ECU 

KALEIDOSCOPE 

Action 1 

-  may not exceed 25% of total project costs or 50 000 ECU 
- 

in  cases  where  project  includes  improving  professional  skills  or  increasing  cultural 
dissemination  additional  money  can  be given  for  that  section  -  50% or  up  to  20000 
ECU 
for projects concerned purely with training, support may cover up to 50% of the total 
projects costs, up to a maximum of 50.000 ECU 

- 

Action 2 

-  up to 25% of total costs 

RAPHAEL 

Action  1  - "Conservation, safeguarding and development of the European cultural heritage through 
European cooperation" 

-  may not exceed 50% of the total costs of the project or 250.000 ECU 

Action  2  -  "Cooperation  for  the  exchange  of  experiences  and  the  development  of  techniques 
applied to heritage" 

-  may not exceed  50% of the total  cost of the project or 50.000  ECU, except  in certain 
cases for which Community contributions may be up to  150.000 ECU or 100.000 ECU 

Action 3 - "Public access to, participation in and awareness of the cultural heritage" 

-  may not exceed 50% of the total costs of the project or 50.000  ECU, except  in certain 

cases for which Community contribution may be up to  150.000 ECU 

Action 4 - "Cooperation with third countries and international organisations" 

- 
- 

support for cooperation with third countries is covered by actions 1,2,3 
support  for  international  organisations  will  be  decided  on  an  individual  basis  in 
accordance with Article 7(3) of the Decision. 

As far as revenue is concerned, provision for Bulgaria's contribution to cover the cost of its 
participation is made under item 6091. The revenue will be allocated to the items for expenditure 
on the  programmes concerned and, where appropriate, to the relevant items of operating 
expenditure. 

The total revenue expected is given under item 7.4. 

7. FINANCIAL  IMPACT 

7.1  Method of calculating total cost of operation for  1998,  1999 and 2000 financial  years (link 

between individual costs and total cost) 

The calculation  is based on the following  preconditions: 

-  Bulgaria's contribution to the financing of the activities referred  to in the Protocol is calculated 
according to the principle that the country bears the cost of participation  itself. Heading 6091 
has been created in the statement of budget revenue for that purpose; 

- 

the Community may decide on a case-by-case basis to pay a supplement to the Bulgaria's 
contribution. The supplement may be in the form of a contribution under the national  PHARE 
programme. 

Based on the Additional Protocol with Bulgaria, the financial  and budgetary arrangements for the 
three programmes concerned are as follows: the costs have been calculated on the basis of various 
parameters inherent in the three programmes, i.e. GDP per capita as weighted with PPP 
(purchasing power parities). 

The cost of Bulgaria's participation  in Kaleidoscope in  1998 will be ECU 59.131. 

For Ariane the cost will be ECU 23.768 in 1998. 

For Raphael the annual cost will be ECU 61.450 in  1998, 1999 and 2000. 

The above-mentioned  figures, from  which the supplementary  costs of an administrative nature 
amounting to 9.580 ECU in  1998 and 4.300 ECU in  1999 and 2000 respectively and to be borne 
exclusively by Bulgaria have to be deducted, are divided per year and per programme as  follows: 
For Ariane, ECU 0 of the operational costs will be covered from Bulgaria's national  budget and, 
subject to Phare programming procedures, ECU 22.628 from  the annual  Phare budget for 
Bulgaria; 
For Kaleidoscope, ECU 0 of the operational costs will be covered from  Bulgaria's national budget 
and, subject to Phare programming procedures, ECU 54.997 from  the annual Phare budget for 
Bulgaria; 
For Raphael, ECU 0 (1998), 4.572 (1999) and  14.287,5 (2000) of the operational costs will be 
covered from Bulgaria's national budget and, subject to Phare programming procedures, ECU 
57.150 (1998), 52.578 (1999) and 42.862,5  (2000) from  the annual Phare budget for  Bulgaria. 

7.2  Itemised breakdown of cost in ECU 

Programme 

1998 

1999 

2000 

Total 

Kaleidoscope 
Ariane 
Raphael 

54.991 
22.628 
57.150 

n.a. 
n.a. 
57.150 

n.a. 
n.a. 
57.150 

54.991 
22.628 
171.450 

of  which 
Bulgaria 

0 
0 
18.859,5 

of  which 
Phare 

54.991 
22.628 
152.590,5 

Total 

134.769 

57.150 

57.150 

249.069 

18.859,5 

230.209,5 

7.3  Operational expenditure on studies, expert meetings, etc., included in Part B:  None 

7.4  Schedule for multiannual  operations 

Amounts to be charged to item B7-503. 

Commitment 
appropriations 
Payment 
appropriations0 
1998 
1999 
2000 
subsequent  years 
Total 

1998 

1999 

2000 

134.769 

52.578 

42.862,5 

subsequent 
vears 

TOTAL 

230.209,5 

67.384,5 
67.384,5 

26.283 
26.283 

134.769 

52.578 

21.431,25 
21.431,25 
42.862,5 

67.384,5 
93.673,5 
47.720,25 
21.431,25 
230.209,5 

(*) Schedule based on the method of payment currently applying to these proj 

;rammes. 

The  foreseeable  annual  receipts are as  follows: 

Item  6091 

1998 

1999 

2000 

subsequent 
vears 

TOTAL 

operational 
part 
administrative 
part 
Total 

0 

4.572 

14.287,5 

9.580 

9.580 

4.300 

4.300 

8.872 

18.587,5 

18.859,5 

18.180 

37.039,5 

8.  FRAUD PREVENTION  MEASURES; RESULTS OF MEASURES TAKEN 

All the Commission's contracts, agreements and other legal commitments provide for on-the-spot checks 
by the Commission and Court of Auditors. Among other things, the beneficiaries of the operations are 
obliged to file reports and financial  statements. These are analysed from the point of view of their content 
and the eligibility of the expenditure in line with the objective of Community financing. 

The anti-fraud  provisions of the basic budget headings apply to this heading too when adapted to the case 
of Bulgaria. 

AS 

9.  ELEMENTS OF COST-EFFECTIVENESS ANALYSIS 

9.1.  Specific and quantified objectives; target population 

The aim of opening up Community cultural programmes to Bulgaria is to bring it the same benefits as the 
Member States of the Community already enjoy  from  the programmes. The essential  aim of Community 
action in the field of culture should be to enable all European citizens to contribute to their national and 
regional cultural diversity whilst at the same time bringing the common cultural heritage to the fore. 

In  the  field  of  culture  the  principle  aim  of  the  Ariane  programme  is  to  promote  knowledge  and 
dissemination  of and public access to the written  heritage and European  literature,  particularly  through 
the translation  of literature,  drama and  reference  works, support  for  cooperation  projects  on books and 
reading carried out in partnership and further  training for professionals  working in this field.  Priority is 
also given in the programme to the less widely used languages. The specific aims are: 

to encourage cooperation between the Member states in the field of books and reading 

to support and compliment their activities in this area, by contributing to the 
development of their cultures while respecting national and regional diversity 

to  promote  a  wider  knowledge  and  circulation  of  European  Literature  among  the 
citizens of the European Union by means of: 

- assistance for the translation of literary, theatrical and reference works, 
- support for the cooperation projects implemented on a partnership basis 
- training projects for those working in this  field 

In  the field of  culture,  the  principal  aim  of  the  Kaleidoscope  programme  is  to  encourage  artistic  and 
cultural  creation  and  to  promote  knowledge  and  dissemination  of  the  culture  and  cultural  life  of  the 
European peoples, by supporting projects with a European dimension. The specific aims are: 

to encourage activities involving artistic creation with a European dimension 

to support innovative cultural projects carried out by European partners from at 

least 3 different  member states, which provide a genuine added value to those 
cultural activities which are undertaken at national and regional level 

to contribute to the development  of the professional  skills  of artists and other cultural 
operators, in particular by supporting cultural  projects, which  include the improvement 
of  professional  skills  as  part  of  their  organisation  and  by  stepping  up  exchanges  of 
experiences, thus facilitating  greater cooperation  between  artists from  various Member 
states 

to contribute to the mutual knowledge of European cultures by making it easier for 
different  European audiences to have access to and participate in the culture and arts 
of other Member states and by facilitating  inter-cultural dialogue. 

In the field of culture, the principal aim of the Raphael programme is to support and supplement, through 
cooperation,  the  action  taken  by  Member  Slates  in  the  field  of  cultural  heritage  (moveable  and 
immoveable heritage). The specific aims are : 

to encourage the conservation  and  restoration of aspects of the cultural  heritage which 
are of European importance, helping to develop and promote them ; 

to encourage the development  of transnational  cooperation between  institutions and/or 
operators in the cultural heritage field, in order to contribute to the pooling of skills and 
the development of best practice in the preservation of the cultural heritage; 

A6 

to improve access to the cultural  heritage in its European dimension and encourage the 
active participation of the general public, in particular children, young people, the under 
privileged  and  those  living  in  the outlying  and  rural  areas  of the  Community,  in  the 
safeguarding and development of the European cultural heritage ; 

to encourage transnational  cooperation  in developing  new technologies for  application 
in the various heritage categories and disciplines and  in preserving  traditional  cultural 
heritage trades and techniques ; 

to have account taken of the heritage dimension  in other Community  programmes and 
policies;  to encourage  cooperation  with  third  countries  and  the  relevant  international 
organisations. 

9.2. Grounds for the operation 

-  Need for  Community financial aid 

In view of Bulgaria's precarious budgetary situation, and given the priority given to participation in 
Community programmes in the context of Agenda 2000, assistance from PHARE as provided for in 
Article 3(2) of the Additional Protocol is essential. 

-  Choice of ways and means 

With a contribution from Bulgaria's national budget, supplemented by one from PHARE, Bulgaria's 
participation will contribute to getting acquainted with the internal policies and proceedings of the 
Community in the field of culture. The integration of Bulgarian nationals in Community networks will 
make a definite contribution to preparing Bulgaria for future membership. 

-  Main factors of uncertainty which could affect the specific results of the operation 

Since projects will be selected according to qualitative criteria, it will only be possible to measure the real 
impact on the basis of Bulgarian entities' and citizens' capacity to respond to the calls for proposal to be 
launched by the Commission under the three programmes. 

9.3 Monitoring and evaluation of the operation 

The monitoring and evaluation procedures included in the Community's cultural programmes, will also 
cover operations financed for Bulgarian beneficiaries. 

A* 

10. ADMINISTRATIVE EXPENDITURE 

The administrative resources required will actually be mobilised following  the annual  Commission Decision 
on the allocation of resources, taking account  in particular of manpower and additional amounts granted by 
the budgetary authority. The supplementary  needs can not, in any case, prejudge the decision that the 
Commission will need to take concerning: 

a) 
b) 

the request of new posts in the framework  of the APB 
the resources  allocation 

10.1 Effect  on the number of posts  (in  man/years) 

Type  of  post 

Staff  required  to  manage  the 
operation 
Permanent 
posts 

Temporary 
posts 

Additional 
resources 

duration 

1 9 9 8-
2 0 00 

Source 

Existing 
resources  of 
the  DG or 
department 
concerned 

Officials  or 
temporary 
staff 
A 
B 
C 
Other  resources 
(Technical 
a s s i s t a n c e,  i t em  A-
7 0 0 2) 

0,1 
0 , 05 

0 ,1 
0 , 05 

0 , 0 31 

TOTAL 

0 , 15 

0 , 15 

0 , 0 31 

from 
1 9 98 

1 0 .2  Overall  financial 

i m p a ct  of  t he  h u m an  r e s o u r c es 

Total 

Officials  * 

4 8 . 6 00 

(in  ECU) 

Method  of  c a l c u l a t i on  (total 
c o st  of  t he  a c t i on  for  t he 
period  1 9 9 8 - 2 0 0 0) 
0 , 15  m a n / y e ar  (ECU  1 0 8 . 0 00  / 
year)  x  3  y e a rs 

Other  r e s o u r c es  (Technical 
assistance,  item  A-7002) 

9 . 3 00 

0 , 0 31  m a n / y e ar  (ECU  1 0 0 . 0 00 
/  year)  x  3  y e a rs 

TOTAL 

1 

57.900 

| 

* By using  existing  resources  required  to manage  the  operation  (calculation  based  on A-l,  A-2, A-4, A-5, 
A-7). 

A 

The  expenditure  of item  A-7002  (technical  assistance)  will  be  met  from  the  receipts  (art. 
4§2,  third  indent  of the  Financial  Regulation)  received  from  the  Bulgarian  participation 
in  Community  programmes  (see  5.3  of the  Financial  Statement). 

10.3  Increase  in  other  administrative  expenditure  as  a  result  of  the  operation 

Budget  heading  (No  and 
title) 

Total 

(in ECU) 

Method  of  calculation  (total 
cost  of  the  action  for  the 
period  1998-2000) 

A-701  - travel  expenditure 

4.880  1.187  ECU x  4  missions  = 

A-7030  - meetings  in 
general 

A-7031  -  compulsory 
meetings 
Total 

roundup  to  4.880  ECU 

4.000  Participation  of  1  Bulgarian 

expert  in  5  meetings  (857  ECU  x 
5)  = roundup  to  4.000  ECU 

1 

8.880  [ 

The above expenditure will  be met  from  the receipts  (article 4§2,  third  indent of the financial  regulation)  received 
from  the Bulgarian  participation  in Community  Programmes  (see  § 5.3  of  the financial  statement). 

Proposai for a 
Council  Decision 
of... 

concerning  the  Community  position  within  the  Association  Council  on  the 
participation  of  the  Czech  Republic 
in  the 
field of culture. 

in  a  Community  programme 

CCH^) 

THE COUNCIL OF THE EUROPEAN  UNION, 

Having  regard  to  the  Treaty  establishing  the  European  Community,  and  in  particular 
Article  128, paragraph 3, in conjunction  with Article 228, paragraph  3,  1st alinéa thereof, 

Having regard to the proposal from  the Commission, 

Having regard to the opinion of the European  Parliament, 

Whereas  the  Additional  Protocol  to  the  Europe  Agreement  establishing  an  association 
between  the  European  Communities  and  their  Member  States,  of  the  one  part,  and  the 
Czech Republic, of the other part, entered  into force  on  1  February  1996. 

Whereas  according  to  Article  1  of  the  Additional  Protocol,  the  Czech  Republic  may 
participate in Community framework  programmes,  specific  programmes,  projects  or  other 
actions notably  in the field of culture  and,  pursuant  to  Article 2, the terms  and  conditions 
for the participation  of the Czech Republic in the activities referred  to in Article  1 shall be 
decided by the Association Council, 

Whereas, Decision  No  2228/97/EC  of the European  Parliament  and  of the  Council  of  13 
October  1997  adopting  a  programme  in  the  field  of  cultural  heritage  (hereinafter  called 
"Raphael")1 and in particular Article 6 thereof,  provide that this programme  shall be open 
to  the  participation  of  associated  Central  European  countries  in  accordance  with  the 
conditions  set  out  in  the  Additional  Protocols  to  the  Association  Agreements  on 
participation  in Community programmes. 

' o1 

HAS DECIDED AS FOLLOWS: 

The position to be taken by the Community  within the  Association  Council  established by 
the Europe  Agreement  between  the  European  Communities  and  their  Member  States,  of 
the one part, and the Czech Republic, of the other part, concerning the participation  of the 
Czech  Republic  in a  Community  Programme  in  the field of  culture,  is that  set  out  in  the 
attached  draft  decision of the Association  Council. 

Done at Brussels, 

For the Council, 

OJ No L 305/3 l of  08.11.97 

to 

Draft  Decision  n°..../98  of 
of. 
Republic in a Community Programme in the field of culture. 

the  EC-Czech  Republic  Association  Council 
1998 adopting the terms and conditions for the participation of the Czech 

The ASSOCIATION COUNCIL 

Having regard to the Europe Agreement establishing an association between the European 
Communities  and their Member  States,  of the  one  part,  and the  Czech  Republic  of the 
other part,1 

Having  regard  to  the  Additional  Protocol  to  the  Europe  Agreement  establishing  an 
association between the European Communities and their Member States, of the one part, 
and the Czech Republic, of the other part, concerning the Czech Republic's participation 
in Community programmes2, and in particular Article 1  and 2 thereof, 

Whereas according to Article  1 of the said Additional  Protocol, the Czech Republic may 
participate in Community framework  programmes, specific programmes, projects or other 
Community actions notably in the field of culture, 

Whereas according to Article 2 of the said Additional Protocol the terms and conditions 
for the participation  of the Czech Republic in the activities referred  to in Article  1 are to 
be decided by the Association Council, 

HAS DECIDED AS FOLLOWS: 

Article 1 

The  Czech  Republic  shall  participate  in  the  European  Community  programme  Raphael 
according  to  the terms and  conditions  set  out  in  Annexes  I  and  II  which  shall  form  an 
integral part of this Decision. 

Article 2 

This Decision shall apply for the duration of the Programme. 

Article S 

This Decision shall enter into force on the first day of the month following its adoption. 

Done at 

The Chairman 

For the Association Council 

1  OJN°L360of30.12.1994 
2  OJN°L 317 of 30.12.1995 

2À 

ANNEXI 

Terms and conditions for the participation of the Czech Republic in 
the Programme Raphael. 

1. 
The  Czech Republic  shall  participate  in all  activities  of  the  programme Raphael 
(hereinafter  called  "the  Programme")  in  conformity,  unless  otherwise  provided  in  this 
Decision,  with the  objectives,  criteria,  procedures  and timelimits  laid  down  in Decision 
No.  2228/97/EC  of the  European  Parliament  and  of  the  Council  of  13  October  1997 
adopting a programme in the field of cultural heritage (hereinafter  called "Raphael"). 

The  terms  and  conditions  for  the  submission,  assessment  and  selection  of 
2. 
applications  related  to  eligible  institutions,  organisations  and  individuals  of  the  Czech 
Republic  shall be the same as those applicable to  eligible  institutions,  organisations and 
individuals of the Community. 

3. 
To ensure the Community dimension of the Programme, transnational projects and. 
activities proposed by the Czech Republic will be required to include a minimum number 
of partners from the Member  States  of the  Community.  This minimum  number will be 
decided  in the framework of the implementation  of the Programme,  taking into account 
the  nature  of the  various  activities,  the  number  of  partners  in  a given  project,  and the 
number of countries participating in the Programme. 

4. 
The Czech Republic will pay each year a contribution to the general budget of the 
European  Communities  to  cover  the  costs  resulting  from  its  participation  in  the 
Programme  (see  Annex  II).  The  Association  Committee  is  entitled  to  adapt  this 
contribution whenever necessary. 

5. 
The Member  States of the  Community and the  Czech Republic  will  make every 
effort,  within the framework  of the existing provisions, to facilitate the free movement and 
residence of all eligible persons to  the Programme  moving between  the Czech Republic 
and  the Member  States  of the  Community  for  the  purpose  of  participating  in  activities 
covered by the Decision. 

6.  Without  prejudice  to  the  responsibilities  of  the  Commission  and  the  Court  of 
Auditors of the European Community in relation to the monitoring and evaluation of the 
programme pursuant to the Decision  concerning Raphael  (Articles  10), the  participation 
of the Czech Republic in the Programme will be continuously monitored  on a partnership 
basis involving the Czech Republic  and the Commission  of the European  Communities. 
The Czech Republic will submit the necessary reports to the Commission and take part in 
other specific activities set out by the Community in that context. 

7.  Without  prejudice  to  the  procedures  referred  to  in Article  7 of the Decision on 
Raphael,  the Czech Republic will be invited  to any co-ordination  meetings  on questions 
concerning  the  implementation  of  this  Decision  prior  to  the  regular  meetings  of  the 
Programme Committee. The Commission will inform the Czech Republic about the results 
of such regular meetings. 

x 
IL 

The language to  be used  as regards the application  process,  contracts,  reports to 
8. 
be submitted and other administrative arrangements for the Programme, will be one of the 
official  languages of the Community. 

il 

ANNEX II 

FINANCIAL CONTRIBUTION OF THE CZECH REPUBLIC TO RAPHAEL 

1.  The financial contribution of the Czech Republic will cover; 

-  financial  support from the Programme to the Czech Republic participants, 
-  supplementary costs of an administrative nature related  to the management  of 
the  Programme -by  the  Commission  stemming  from  the  Czech  Republic's 
participation. 

2.  For every financial year, the aggregated amount of subsidies or any other  financial 
support  received from the Programme  by the  the  Czech  Republic  beneficiaries  will 
not  exceed  the  contribution  paid  by  the  Czech  Republic,  after  deduction  of  the 
supplementary costs of an administrative nature. 

Should the contribution paid by the Czech Republic to the general budget 
of  the  European  Communities,  after  deduction  of  supplementary  costs  of  an 
administrative  nature,  be  higher  than  the  aggregated  amount  of  subsidies  or  other 
financial support  received  by  the  the  Czech  Republic  beneficiaries  from  the 
Programme, the Commission will transfer the balance to the next budgetary exercise, 
and it will be deducted from the following year's contribution. Should such a balance 
be  left  when  the  Programme  comes  to  an  end,  the  corresponding  amount  will  be 
reimbursed to the Czech Republic. 

3. Raphael 

The  Czech  Republic's  annual  contribution  will  be  of ECU  166.441  per  year from 
1998. From this sum, an amount of ECU  11.651 per year will cover  supplementary 
costs of an administrative nature related to the management of the Programme by the 
Commission stemming from the Czech Republic's participation. 

4. The financial  regulations  applicable to the general budget  of the Community will 
apply, notably to the management of the contribution of the Czech Republic. 

Upon  eqtry into force  of this Decision  and at the beginning of each  following  year, 
the Commission will send to the Czech Republic a call for funds corresponding to its 
contribution to the costs under this Decision. 

This contribution will be expressed in ECU and paid into an ECU bank account of the 
Commission. 

The Czech Republic will pay its contribution to the annual costs under this Decision 
according to the call for funds and at the latest three months after the call for funds is 
sent.  Any delay in the payment of the contribution  shall give rise to the payment of 
interest  by the  Czech  Republic  on the  outstanding  amount from the  due  date. The 
interest rate corresponds to the rate applied by the European Monetary Co-operation 
Fund,  for  the  month  of the  due  date,  for  its  operations  in  ECU,  increased  by  1,5 
percentage points. 

Ik 

5. The Czech Republic will  pay the supplementary  costs  of an administrative  nature 
referred to in paragraphs 3 and 4 from its national budget. 

6. The Czech Republic shall pay the remaining cost of its participation as follows: 

6.1 

Raphael 

In 1998,  1999 and 2000 respectively ECU 74.790 per year from its 
national budget and ECU 80.000 per year from its Phare allocation. 

6.2 

The Phare contribution is subject to regular Phare programming 
procedures 

16 

FINANCIAL  STATEMENT 

1. TITLE OF  OPERATION 

Opening of a Community Programme in the field  of culture to the Czech Republic 

2. BUDGET HEADING  INVOLVED 

B7-503 - Opening of Community Programmes to the associated countries of Central 
Europe 

3. LEGAL  BASIS 

Treaty establishing the European Community, and in particular Article  128, paragraph  3, in 
conjunction  with Article 228, paragraph 3,  1st alinéa thereof. 

Additional Protocol to the Europe Agreement with the Czech Republic (Articles 228 and 238), 
providing for the opening-up of Community programmes (OJ No L 317 of 30.12.1995), entered 
into force on  1  February  1996, 

Decision No 2228 /97/EC of the European Parliament and of the Council of  13 October  1997 
adopting a programme in the field of cultural  heritage ("Raphael")  and in particular Article 6 
thereof, 

4. DESCRIPTION  OF OPERATION: 

4.1 General  objective 

The Czech Republic's participation  in a Community programme in the field of culture will come in 
addition to those Community programmes in which it already participates, e.g. Leonardo da Vinci, 
Socrates and Youth for Europe, and will further  contribute to its preparation for accession as a key 
feature  of a reinforced pre-accession  strategy. It will also enable the Czech Republic to  familiarise 
itself with the procedures and methods used in these Community programmes. 

The decision-making process for the opening-up of programmes involves a decision by the 
Association  Council between the Union and the associated country. This decision also lays down 
the practical  arrangements for opening up the programmes. 

The Additional  Protocol with the Czech Republic entered into force on  1  February  1996 and 
provides for the Czech Republic's participation  in a wide range of areas, amongst which culture. 

Other Community programmes, notably in the audiovisual  sector, health and social policy, SMEs, 
research etc, have been or will shortly be opened up to the participation  of the Czech Republic. 

4.2 Period  covered  and arrangements for  renewal 

Until the end of the Community programme concerned, i.e. 31.12.2000. For Raphael, both the 
contribution from  the national budget and from  Phare are subject to the availability of budgetary 
appropriations  beyond  1999. 

tt 

5. CLASSIFICATION  OF EXPENDITURE  OR REVENUE 

5.1 Non-compulsory expenditure 

5.2 Differentiated  appropriations 

5.3 Type of revenue involved: 

Since the first paragraph of Article 3 of the Additional Protocol stipulates that the Czech Republic 
itself will meet the costs resulting from its participation,  it will be invited to transfer  its 
contribution to item 6091 of the EU's budget receipts. However, as the second paragraph of Article 
3 states that the Community may supplement the Czech Republic's contribution  (by up to  10% of 
the National Indicative Programme), the Czech Republic will contribute only part from  its national 
budget, with the remainder being charged to heading B7-503. A transfer from the relevant PHARE 
appropriations  (article B7-500) to article B7-503 will be made upon receipt of the Czech 
Republic's  contribution. 

6. TYPE OF EXPENDITURE OR REVENUE 

100% subsidy 

subsidy for joint financing with other sources in the public and/or private sector 

no provision for all or part of the Community contribution to be reimbursed 

RAPHAEL 

Action  1 - "Conservation, safeguarding  and development of the European  cultural  heritage through 
European  cooperation" 

-  may not exceed 50% of the total costs of the project or 250.000 ECU 

Action  2  -  "Cooperation  for  the  exchange  of  experiences  and  the  development  of  techniques 
applied to heritage" 

-  may not exceed  50% of the total  cost  of the project  or  50.000  ECU,  except  in  certain 
cases for which Community contributions may be up to  150.000 ECU or  100.000 ECU 

Action 3 - "Pofelic access to, participation  in and awareness of the cultural heritage" 

-  may not exceed  50% of the total  costs of the project  or 50.000  ECU,  except  in  certain 

cases for which Community contribution may be up to  150.000 ECU 

Action 4 - "Cooperation with third countries and international  organisations" 

- 
- 

support for cooperation with third countries is covered by actions 1,2,3 
support  for  international  organisations  will  be  decided  on  an  individual  basis  in 
accordance with Article 7(3) of the Decision. 

As far as revenue is concerned, provision  for the Czech Republic's contribution to cover the cost of 
its participation  is made under item 6091. The revenue will be allocated to the items for 
expenditure on the programme and, where appropriate, to the relevant items of operating 
expenditure. 

The total  revenue expected is given under item 7.4. 

7. FINANCIAL  IMPACT 

7.1  Method of calculating total cost of operation for  1998,  1999 and 2000 financial years (link 

between individual costs and total cost) 

The calculation  is based on the following  preconditions: 

- 

- 

the Czech Republic's contribution to the financing of the activities referred to in the Protocol is 
calculated according to the principle that the country bears the cost of participation itself. 
Heading 6091 has been created in the statement of budget revenue for that purpose; 

the Community may decide on a case-by-case basis to pay a supplement to the the Czech 
Republic's contribution. The supplement may be in the form  of a contribution under the 
national PHARE programme. 

Based on the Additional Protocol with the Czech Republic, the financial and budgetary 
arrangements for the programme concerned are as follows: the cost has been calculated on the 
basis of various parameters  inherent in the programme, i.e. GDP per capita as weighted with PPP 
(purchasing power parities). 

For Raphael the annual cost will be ECU  166.441 in  1998, 1999 and 2000. 

The  above-mentioned  figure,  from  which  the  supplementary  costs  of  an  administrative  nature 
amounting to 11.651 ECU in  1998,  1999 and 2000  respectively and to be borne exclusively by the 
Czech  Republic  have  to  be  deducted,  are  divided  per  year  as  follows:  ECU  224.370  of  the 
operational  costs  of  1998,  1999  and  2000  will  be  covered  from  the  Czech  Republic's  national 
budget  and,  subject  to  Phare  programming  procedures,  ECU  240.000  from  the  annual  Phare 
budget for the Czech Republic. 

7.2  Itemised breakdown of cost in ECU 

Programme 

1998 

1999 

2000 

Total 

in ECU 
of which 
the Czech 
Republic 

of which 
Phare 

Raphael 

Total 

154.790 

154.790 

154.790 

464.370 

224.370 

240.000 

154.790 

154.790 

154.790 

464.370 

224.370 

240.000 

7.3  Operational expenditure on studies, expert meetings, etc., included in Part B:  None 

7.4  Schedule for multiannual  operations 

Amounts to be charged to item B7-503 

1998 

1999 

2000 

80.000 

80.000 

80.000 

subsequent 
years 

TOTAL 

240.000 

Commitment 
appropriations 
Payment 
appropriations1'1 
1998 
1999 
2000 
subsequent  years 
Total 

40.000 
40.000 

40.000 
40.000 

80.000 

80.000 

40.000 
40.000 
80.000 

40.000 
80.000 
80.000 
40.000 
240.000 

(*)  Schedule based  on the method  of payment currently  applying to these  programmes. 

IÎ 

The foreseeable annual receipts are as follows: 

Item 6091 

1998 

1999 

2000 

subsequent 
years 

TOTAL 

operational 
part 
administrative 
part 
Total 

74.790 

74.790 

74.790 

11.651 

86.441 

11.651 

86.441 

11.651 

86.441 

224.370 

34.953 

259.323 

8.  FRAUD PREVENTION MEASURES; RESULTS OF MEASURES TAKEN 

All the Commission's contracts, agreements and other legal commitments provide for on-the-spot checks 
by the Commission and Court of Auditors. Among other things, the beneficiaries of the operations are 
obliged to file reports and financial statements. These are analysed from the point of view of their content 
and the eligibility of the expenditure in line with the objective of Community financing. 

The anti-fraud provisions of the basic budget headings apply to this heading too when adapted to the case 
of The Czech Republic. 

X 
IH 

9.  ELEMENTS OF COST-EFFECTIVENESS ANALYSIS 

9.1.  Specific and quantified objectives; target population 

The aim of opening up a Community cultural programme to the Czech Republic is to bring it the same 
benefits as the Member States of the Community already enjoy from the programme. The essential aim of 
Community action in the field of culture should be to enable all European citizens to contribute to their 
national and regional cultural diversity whilst at the same time bringing the common cultural heritage to 
the fore. 

In the field of culture, the principal aim of the Raphael programme is to support and supplement, through 
cooperation,  the  action  taken  by  Member  States  in  the  field  of  cultural  heritage  (moveable  and 
immoveable heritage). The specific aims are : 

to encourage the conservation and restoration of aspects of the cultural  heritage which 
are of European importance, helping to develop and promote them ; 

to encourage the development of transnational  cooperation between  institutions  and/or 
operators in the cultural heritage field, in order to contribute to the pooling of skills and 
the development of best practice in the preservation of the cultural héritage; 

to improve access to the cultural heritage in its European dimension and encourage the 
active participation of the general public, in particular children, young people, the under 
privileged  and  those  living  in  the  outlying  and  rural  areas of the  Community,  in  the 
safeguarding and development of the European cultural heritage ; 

to encourage transnational  cooperation  in developing new technologies for  application 
in the various heritage categories and disciplines and in preserving traditional  cultural 
heritage trades and techniques ; 

to have account taken of the heritage dimension in other Community programmes 
and policies; to encourage cooperation with third countries and the relevant 
international organisations. 

9.2. Grounds for the operation 

-  Need for  Community financial aid 

In view of the Czech Republic's precarious budgetary situation, and given the priority given to 
participation in Community programmes in the context of Agenda 2000, assistance from PHARE as 
provided for irf"Article 3(2) of the Additional Protocol is essential. 

-  Choice of ways and means 

With a contribution from the Czech Republic's national budget, supplemented by one from PHARE, the 
Czech Republic's participation will contribute to getting acquainted with the internal policies and 
proceedings of the Community in the field of culture. The integration of Czech Republic nationals in 
Community networks will make a definite contribution to preparing the Czech Republic for future 
membership. 

-  Main factors of uncertainty which could affect the specific results of the operation 

Since projects will be selected according to qualitative criteria, it will only be possible to measure the real 
impact on the basis of the Czech Republic entities' and citizens' capacity to respond to the calls for 
proposal to be launched by the Commission under the programme. 

9.3 Monitoring and evaluation of the operation 

The monitoring and evaluation procedures included in the programme, will also cover operations 
financed  for the Czech Republic beneficiaries. 

$> 

10. ADMINISTRATIVE EXPENDITURE 

The administrative resources required will actually be mobilised following the annual Commission Decision 
on the allocation of resources, taking account in particular of manpower and additional amounts granted by 
the budgetary authority. The supplementary needs can not, in any case, prejudge the decision that the 
Commission will need to take concerning: 

a) 
b) 

the request of new posts in the framework  of the APB 
the resources allocation 

10.1 Effect  on the number of posts (in man/years) 

Type  of  p o st 

Staff  required  to  manage  t he 
operation 
Permanent 
posts 

Temporary 
posts 

r 

Source 

Existing 
resources  of 
the  DG  or 
department 
concerned 

duration 

Additional 
resources 

1998-
2 0 00 

Officials  or 
t e m p o r a ry 
staff 
A 
B 
C 
Other  resources 
(Technical 
A s s i s t a n c e,  i t em  A-
7 0 0 2) 

0,1 
0,05 

0 ,1 
0 , 05 

^ 

0 , 0 84 

TOTAL 

0 , 15 

0 , 15 

0 , 0 84 

from 
1 9 98 

10.2  Overall  financial  impact  of  the  human  resources 

^ 

Officials  * 

Temporary  staff 

Total 

48.600 

(in  ECU) 

Method  of  calculation  (total 
cost  of  the  action  for  the 
period  1998-2000) 
0,15  man/year  x  108.000  ECU 
x  3  years 

Other  resources  (Technical 
assistance,  item  A-7002) 

25.200 

0,084  man/year  x  100.000 
ECU x  3  years 

TOTAL 

1 

73.800 

[ 

* By  using  existing  resources  required  to manage  the  operation  (calculation  based  onA-1,  A-2, A-4, A-5, 
A-7). 

The  expenditure  of item  A-7002  (technical  assistance)  will be  met  from  the  receipts  (art. 
4§2,  third  indent  of the  Financial  Regulation)  received  from  the  Czech  Republic's 
participation  in  Community  programmes  (see  5.3  of the  Financial  Statement). 

y 

10.3 Increase  in  other  administrative  expenditure  as  a result  of  the  operation 

Budget  heading  (No  and 
title) 

Total 

A-701  - travel  expenditure 
A-7030  - meetings  in 
general 

A-7031  -  compulsory 
meetings 
Total 

1 

, 

9.753  [ 

(in ECU) 

Method  of  calculation  (total 
cost  of the  action  for  the 
period  1998-2000) 

3.042  760,5  ECU x 4  missions 
6.711  Participation  of 2  Czech  experts 
in  4  meetings  (857  ECU x  4  x 2) 
= rounddown  to  6.711 

The above expenditure will be met from the receipts (article 4§2, third indent of the financial regulation) received 
from the Czech Republic participation in the Community Programme (see § 5.3 of the financial statement). 

It 

Proposai for a 
Council  Decision 
of... 

concerning  the  Community  position  within  the  Association  Council  on  the 
participation  of Estonia in the Community  programmes in the field  of culture. 

^srlouA (eus) 

THE COUNCIL OF THE EUROPEAN UNION, 

Having  regard  to  the  Treaty  establishing  the  European  Community,  and  in  particular 
Article  128, paragraph 3, in conjunction  with Article 228, paragraph  3,  1st alinéa thereof, 

Having regard to the proposal from  the Commission, 

Having regard to the opinion of the European  Parliament, 

Whereas  the  Europe  Agreement  establishing  an  association  between  the  European 
Communities  and  their  Member  States,  of  the  one  part,  and  Estonia,  of  the  other  part, 
entered into force on  1  February  1998. 

Whereas  according  to  Article  108  of  the  Europe  Agreement,  Estonia  may  participate  in 
Community  framework  programmes,  specific  programmes,  projects  or  other  actions 
notably in the field  of culture, and the terms and conditions for the participation  of Estonia 
in the activities referred  to in Article  108 shall be decided by the Association Council, 

Whereas, Decision  No  719/96/EC  of the  European  Parliament  and  of the  Council  of  29 
March  1996  establishing  a programme  to  support  artistic  and  cultural  activities  having  a 
European  dimension  (hereinafter  called  "Kaleidoscope")1  and  in  particular  Article  4 
thereof,  Decision  No  2085/97/EC  of  the  European  Parliament  and  of  the  Council  of  6 
October  1997  establishing  a  support  programme  in  the  fields  of  books  and  reading 
(hereinafter  called  "Ariane")2  and  in  particular  Article  4  thereof,  and  Decision  No 
2228/97/EC  of  the  European  Parliament  and  of  the  Council  of  13  October  1997 
adopting a programme in the field  of cultural  heritage (hereinafter  called "Raphael")3 and 
in  particular  Article  6  thereof,  provide  that  these  programmes  shall  be  open  to  the 
participation  of associated  Central  European  countries  in  accordance  with  the  conditions 
set  out  in  the  Additional  Protocols  to  the  Association  Agreements  on  participation  in 
Community programmes. 

'OJ No L 99/20 of 20.4.96 
2 OJ No L 291/26 of 24.10.97 
3 OJ No L 305/3 lof 08.11.97 

33 

HAS DECIDED AS FOLLOWS: 

The position to be taken by the Community within the Association Council established by 
the Europe Agreement between the European  Communities  and their Member States,  of 
the  one  part,  and Estonia,  of  the  other  part,  concerning  the  participation  of  Estonia  in 
Community  Programmes  in  the  field  of  culture,  is  that  set  out  in  the  attached  draft 
decision of the Association Council. 

Done at Brussels, 

For the Council, 

*m 

1998 
Draft  Decision  n°..../98  of  the  EC-Estonia  Association  Council  of. 
adopting  the  terms  and  conditions  for  the  participation  of  Estonia  in  Community 
Programmes  in the field of culture. 

The ASSOCIATION  COUNCIL 

Having regard to the Europe Agreement establishing an association between the European 
Communities  and  their  Member  States,  of  the  one  part,  and  Estonia,  of  the  other  part,1 
and in particular Article  108 thereof, 

Whereas according to  Article  108 of the  said Europe  Agreement,  Estonia  may  participate 
in  Community  framework  programmes,  specific  programmes,  projects  or  other 
Community  actions  notably  in  the  field  of  culture,  and  the  terms  and  conditions  for  the 
participation  of Estonia in the activities referred  to in Article  108 are to  be decided  by the 
Association  Council, 

HAS DECIDED AS FOLLOWS: 

Article J 

Estonia  shall  participate  in the  European  Community  programmes  Kaleidoscope,  Ariane 
and Raphael  according to the terms and conditions  set out  in Annexes I and II which shall 
form  an integral part of this Decision. 

Article  2 

This Decision  shall apply for  the duration  of the Programmes. 

Article  3 

This Decision  shall enter into force on the first  day of the month following  its adoption. 

Done at 

The Chairman 

For the Association  Council 

O J N °L  68/1 of  9.3.98 

3 5" 

ANNEX I 

Terms and conditions for the participation of Estonia in the Programmes 
Kaleidoscope, Ariane and Raphael. 

1. 
Estonia  shall participate in all activities of the programmes Kaleidoscope, Ariane 
and  Raphael  (hereinafter  called  "the  Programmes")  in  conformity,  unless  otherwise 
provided  in  this  Decision,  with  the  objectives,  criteria,  procedures  and  timelimits laid 
down  in Decision No  719/96/EC  of the European  Parliament  and  of the  Council  of 29 
March  1996 establishing a programme to support  artistic and cultural  activities having a 
European dimension (hereinafter  called "Kaleidoscope"), Decision No 2085/97/EG of the 
European  Parliament  and  of  the  Council  of  6  October  1997  establishing  a  support 
programme in the fields of books and reading (hereinafter  called " Ariane" ) and Decision 
No  2228/97/EC  of  the  European  Parliament  and  of  the  Council  of  13  October  1997 
adopting a programme in the field of cultural heritage (hereinafter  called "Raphael"). 

2. 
The  terms  and  conditions  for  the  submission,  assessment  and  selection  of 
applications  related  to  eligible institutions,  organisations  and  individuals  of Estonia shall 
be the same as those applicable to eligible institutions, organisations and individuals of the 
Community. 

To  ensure  the  Community  dimension  of the Programmes,  transnational  projects 
3. 
and  activities  proposed  by  Estonia  will  be  required  to  include  a  minimum  number  of 
partners  from  the  Member  States  of  the  Community.  This  minimum  number  will  be 
decided in the framework  of the implementation  of the Programmes, taking into account 
the  nature  of  the  various  activities,  the  number  of  partners  in  a given  project,  and  the 
number of countries participating in the Programmes. 

Estonia will pay each year a contribution  to  the general  budget  of the European 
4. 
Communities to  cover the costs resulting  from  its participation  in the Programmes  (see 
Annex  II).  The  Association  Committee  is entitled  to  adapt  this  contribution  whenever 
necessary. 

5. 
The Member States of the Community and Estonia will make every effort,  within 
the framework of the existing provisions, to facilitate the free movement and residence of 
all eligible persons to the Programmes moving between Estonia and the Member States of 
the Community for the purpose of participating in activities covered by the Decision. 

6.  Without  prejudice  to  the  responsibilities  of  the  Commission  and  the  Court  of 
Auditors of the European Community in relation to the monitoring and evaluation  of the 
programmes  pursuant  to  the  Decisions  concerning  Kaleidoscope,  Ariane  and  Raphael 
(Articles 8, 8 and  10 respectively), the participation of Estonia in the Programmes will be 
continuously  monitored  on a partnership basis involving Estonia  and the Commission of 
the European  Communities. Estonia will submit the necessary reports to the Commission 
and take part in other specific activities set out by the Community in that context. 

7.  Without  prejudice  to  the  procedures  referred  to  in Article  5 of the Decision  on 
Kaleidoscope,  Article  5  of  the  Decision  on  Ariane  and  Article  7  of  the  Decision  on 
Raphael,  Estonia will be invited  to  any co-ordination  meetings  on  questions  concerning 

}6 

the  implementation  of  this  Decision  prior  to  the  regular  meetings  of  the  Programme 
Committees.  The  Commission  will  inform  Estonia  about  the  results* of  such  regular 
meetings. 

The language to be used  as regards the application  process,  contracts,  reports  to 
8. 
be  submitted  and other  administrative  arrangements  for  the Programmes,  will  be  one  of 
the official  languages of the Community. 

i* 

ANNEXH 

FINANCIAL CONTRIBUTION OF ESTONIA TO KALEIDOSCOPE, 
ARIANE AND RAPHAEL 

1.  The financial contribution of Estonia will cover; 

-  financial  support from the Programmes to Estonian participants, 
-  supplementary costs of an administrative nature related to the management of 
the Programmes by the Commission stemming from Estonia's participation. 

2.  For every financial year, the aggregated amount of subsidies or any other  financial 
support received from the Programmes by the Estonian beneficiaries will not exceed 
the  contribution  paid  by Estonia,  after  deduction  of the  supplementary  costs  of an 
administrative nature. 

Should  the  contribution  paid  by  Estonia  to  the  general  budget  of  the  European 
Communities, after  deduction of the supplementary costs of an administrative nature, 
be higher than the aggregated amount of subsidies or other financial support received 
by the Estonian beneficiaries from the Programmes, the Commission will transfer the 
balance to  the next budgetary  exercise,  and  it  will be deducted from the  following 
year's contribution.  Should such a balance be left  when the Programmes come to an 
end, the corresponding amount will be reimbursed to Estonia. 

3.  Kaleidoscope 

Estonia's annual contribution will be of ECU 8.569 from 1998. From this sum, an 
amount  of  ECU  561  will  cover  supplementary  costs  of  an  administrative  nature 
related  to  the  management  of  the Programme  by  the  Commission  stemming from 
Estonia's participation. 

4. Ariane 

Estonia's  annual contribution  will be of ECU 2.435 from 1998. From this sum, an 
amount  of  ECU  160  will  cover  supplementary  costs  of  an  administrative  nature 
related  to  the  management  of the  Programme  by  the  Commission  stemming from 
Estonia's participation. 

5. Raphael 

Estonia's annual contribution will be of ECU  10.516 from  1998. From this sum, an 
amount  of  ECU  688  will  cover  supplementary  costs  of  an  administrative  nature 
related  to  the  management  of the  Programme  by  the  Commission  stemming from 
Estonia's participation. 

6. The financial regulations applicable to the general  budget  of the Community will 
apply, notably to the management of the contribution of Estonia. 

Upon  entry into force  of this Decision  and at the beginning of each following  year, 
the Commission will send to Estonia a call for funds corresponding to its contribution 
to the costs under this Decision. 

32 

This contribution will be expressed in ECU and paid into an ECU bank account of the 
Commission. 

Estonia will pay its contribution to the annual costs under this Decision  according to 
the call for funds and at the  latest  three months after  the  call  for  funds  is  sent.  Any 
delay in the payment of the contribution shall give rise to the payment  of interest by 
Estonia on the outstanding amount from the due date.  The interest rate corresponds 
to  the rate applied by the European Monetary  Co-operation  Fund,  for the month  of 
the due date, for its operations in ECU, increased by 1,5 percentage points. 

7. Estonia will pay the supplementary costs of an administrative nature referred to in 
paragraphs 3, 4 and 5 from its national budget. 

8. Estonia shall pay the remaining costs of its participation as follows: 

8.1 

Ariane 

In 1998, ECU  1.057,5 from its national budget and ECU 1.217,5 from its Phare 
allocation. 

8.2 

Kaleidoscope 

In 1998, ECU 6937 from its national budget and ECU 1.071  from its Phare 
allocation. 

8.3 

Raphael 

In  1998,  1999 and 2000 respectively, ECU 8.776 from its national budget and 
ECU  1.052 from its Phare allocation. 

8.4 

The Phare contribution is subject to regular Phare programming 
procedures. 

7n 

FINANCIAL  STATEMENT 

1. TITLE OF OPERATION 

Opening of Community Programmes in the field of culture to Estonia 

2. BUDGET HEADING  INVOLVED 

B7-503 - Opening of Community Programmes to the associated  countries of Central 
Europe 

3. LEGAL  BASIS 

Treaty establishing the European  Community, and in particular Article  128, paragraph  3, in 
conjunction  with Article 228, paragraph  3,  1st alinéa thereof, 

The Europe Agreement with Estonia (Articles 228 and 238), entered into force on  1 February 
1998, providing for the opening-up of Community  programmes 

Decision No 719/96/EC of the European Parliament and of the Council of 29 March  1996 establishing a 
programme  to support artistic and cultural activities having a European dimension ("Kaleidoscope") and 
in particular Article 4 thereof. 

Decision No 2085 /96/EC of the European Parliament and of the Council of 6 October 1997 establishing a 
support programme in the fields of books and reading (""Ariane") and in particular Article 4 thereof, 

Decision No 2228/97/EC of the European Parliament and of the Council of 13 October 1997 adopting a 
programme in the field of cultural heritage ("Raphael") and in particular Article 6 thereof, 

4. DESCRIPTION  OF OPERATION: 

4.1 General  objective 

Estonia's participation  in the three Community programmes  in the field of culture will  further 
contribute to its preparation  for accession as a key feature of a reinforced  pre-accession  strategy. It 
will also enable Estonia to familiarise  itself with the procedures and methods used in these 
Community programmes. 

The decision-making process for the opening-up of programmes  involves a decision by the 
Association  Council  between the Union and the associated country. This decision also lays down 
the practical arrangements for opening up the programmes. 

The Europe Agreement with Estonia entered into force on  1  February  1998 and provides  for 
Estonia's participation  in a wide range of areas, amongst which culture. 

Other Community programmes, notably in the audiovisual sector, health and social policy, SMEs, 
research etc, will shortly be opened up to the participation  of Estonia. 

do 

4.2 Period covered and arrangements for renewal 

Until the end of the Community programmes concerned, i.e. 31.12.1998 for Kaleidoscope and 
Ariane, 31.12.2000 for Raphael, or dependent on decisions taken as regards cultural  programmes 
and budgets after  1999. For Raphael, both the contribution from  the national budget and  from 
Phare are subject to the availability of budgetary appropriations beyond  1999. 

5. CLASSIFICATION  OF EXPENDITURE  OR  REVENUE 

5.1 Non-compulsory  expenditure 

5.2 Differentiated  appropriations 

5.3 Type of revenue involved: 

Since Article  108 of the Europe Agreement stipulates that Estonia itself will meet the costs 
resulting from  its participation,  it will be invited to transfer  its contribution to item 6091 of the 
EU's budget receipts. However, as Article  108 states that the Community may supplement 
Estonia's contribution (through its national Phare allocation), Estonia will contribute part from its 
national budget, with the remainder being charged to heading B7-503. A transfer from the relevant 
PHARE appropriations  (article B7-500) to article B7-503 will be made upon receipt of the 
Estonian  contribution. 

6. TYPE OF EXPENDITURE OR REVENUE 

100% subsidy 

subsidy for joint financing  with other sources in the public and/or private sector 

no provision for all or part of the Community contribution to be reimbursed 

ARIANE 

Action 1 

Literary translation 

-  Up to full  cost of translators fees subject  to national  standard payment  practice 

Translation  of theatrical  works 

-  3500 ECU per translator and per translation 

Translation  of reference works 

-  up to  100% of translation costs if commercial work 
-  3500 ECU per translator and per translation  if not commercial 

Action 2 

Cooperation  projects 

-  up to 25% of total costs of the project and maximum 50 000 ECU 
- 

(if the project  includes arrangement  for wider dissemination  of the results  an  additional 
contribution  may be granted  to cover  up to 50% of the costs  of such  measures  and  up 
to 20.000 ECU can be granted) 

Action 3 

Further training 

-  grants  to  cover  travelling  expenses  and  further  training  costs  up  to  a  maximum  of 

50.000 ECU 

KALEIDOSCOPE 

Action 1 

-  may not exceed 25% of total project costs or 50 000 ECU 
- 

in  cases  where  project  includes  improving  professional  skills  or  increasing  cultural 
dissemination  additional  money  can  be given  for  that  section  -  50% or up  to  20000 
ECU 
for projects concerned purely with training, support may cover up to 50% of the total 
projects costs, up to a maximum of 50.000 ECU 

- 

Action 2 

-  up to 25% of total costs 

RAPHAEL 

Action  1 - "Conservation, safeguarding and development of the European cultural heritage through 
European cooperation" 

-  may not exceed 50% of the total costs of the project or 250.000 ECU 

Action  2  -  "Cooperation  for  the  exchange  of  experiences  and  the  development  of  techniques 
applied to heritage" 

-  may not exceed 50% of the total cost of the project or 50.000  ECU, except in certain 
cases for which Community contributions may be up to  150.000 ECU or 100.000 ECU 

Action 3 - "Public access to, participation in and awareness of the cultural heritage" 

-  may not exceed 50% of the total costs of the project or 50.000 ECU, except in certain 

cases for which Community contribution may be up to  150.000 ECU 

Action 4 - "Cooperation with third countries and international organisations" 

- 
- 

support for cooperation with third countries is covered by actions 1,2,3 
support  for  international  organisations  will  be  decided  on  an  individual  basis  in 
accordance with Article 7(3) of the Decision. 

As far as revenue is concerned, provision for Estonia's contribution to cover the cost of its 
participation is made under item 6091. The revenue will be allocated to the items for expenditure 
on the  programmes concerned and, where appropriate, to the relevant items of operating 
expenditure. 

The total revenue expected is given under item 7.4. 

kl 

7. FINANCIAL  IMPACT 

7.1  Method of calculating total cost of operation for  1998,  1999 and 2000 financial  years (link 

between  individual costs and total cost) 

The calculation  is based on the following  preconditions: 

-  Estonia's contribution to the financing  of the activities referred  to in the Protocol  is calculated 
according to the principle that the country bears the cost of participation  itself. Heading 6091 
has been created in the statement of budget revenue for that purpose; 

- 

the Community may decide on a case-by-case basis to pay a supplement to the Estonia's 
contribution. The supplement may be in the form  of a contribution  under the national  PHARE 
programme. 

Based on the Europe Agreement with Estonia, the financial  and budgetary arrangements for the 
three programmes concerned  are as follows: the costs have been calculated on the basis of various 
parameters  inherent in the three programmes, i.e. GDP per capita as weighted with PPP 
(purchasing power parities). 

The cost of Estonia's participation  in Kaleidoscope  in  1998 will be ECU  8.569. 

For Ariane the cost will be ECU 2.435  in  1998. 

For Raphael the annual cost will be ECU  10.516 in  1998,  1999 and 2000. 

The above-mentioned  figures, from  which the supplementary costs of an administrative nature 
amounting to  1.409  ECU for  1998 and 688 ECU for  1999 and 2000 respectively and to be borne 
exclusively by Estonia have to be deducted, are divided per year and per programme as  follows: 
for Ariane ECU  1.057,5 of the operational costs will be covered from  Estonia's national budget 
and, subject to regular Phare programming procedures, ECU  1.217,5 from  the annual  Phare 
budget for  Estonia; 
for Kaleidoscope ECU 6.937 of the operational costs will be covered from  Estonia's national 
budget and, subject  to regular Phare programming procedures, ECU  1.071  from  the annual  Phare 
budget for  Estonia; 
for Raphael, ECU 8.776 of the operational  costs in  1998,  1999 and 2000 will be covered  from 
Estonia's national budget and, subject to regular Phare programming procedures, ECU  1.052  from 
the annual  Phare budget for  Estonia. 

7.2  Itemised breakdown of cost in ECU 

Programme 

1998 

1999 

2000 

Total 

Kaleidoscope 
Ariane 
Raphael 

8.008 
2.275 
9.828 

n.a. 
n.a. 
9.828 

n.a. 
n.a. 
9.828 

8.008 
2.275 
29.484 

of  which 
Estonia 

of  which 
Phare 

6.937 
1.057,5 
26.328 

1.071 
1.217,5 
3.156 

Total 

20.111 

9.828 

9.828 

39.767 

34.322,5 

5.444,5 

7.3  Operational  expenditure on studies, expert meetings, etc., included in Part B:  None 

7.4  Schedule for multiannual  operations 

Amounts to be charged to item B7-503 

Commitment 
appropriations 
Payment 
appropriations0 
1998 
1999 
2000 
subsequent  years 
Total 

1998 

1999 

2000 

subsequent 
years 

TOTAL 

3.340,5 

1.052 

1.052 

5.444,5 

1.670,25 
1.670,25 

526" 
526 

3.340,5 

1.052 

526 
526 
1.052 

1.670,25 
2.196,25 
1.052 
526 

(*) Schedule based on the method of payment currently applying to these programmes. 

The foreseeable  annual receipts are as  follows: 

Item 6091 

1998 

1999 

2000 

subsequent 
years 

TOTAL 

operational 
part 
administrative 
part 
Total 

16.770,5 

1.409 

8776 

688 

8776 

688 

18.179,5 

9.464 

9.464 

34.322,5 

2.785 

37.107.5 

8.  FRAUD PREVENTION MEASURES; RESULTS OF MEASURES TAKEN 

All the Commission's contracts, agreements and other legal commitments provide for on-the-spot checks 
by the Commission and Court of Auditors. Among other things, the beneficiaries of the operations are 
obliged to file reports and financial statements. These are analysed from the point of view of their content 
and the eligibility of the expenditure in line with the objective of Community  financing. 

The anti-fraud provisions of the basic budget headings apply to this heading too when adapted to the case 
of Estonia. 

9.  ELEMENTS OF COST-EFFECTIVENESS ANALYSIS 

9.1.  Specific and quantified objectives; target population 

The aim of opening up Community cultural programmes to Estonia is to bring it the same benefits as the 
Member States of the Community already enjoy from  the programmes. The essential  aim of Community 
action in the field of culture should be to enable all European citizens to contribute to their national and 
regional cultural diversity whilst at the same time bringing the common cultural heritage to the fore. 

In  the  field  of  culture  the  principle  aim  of  the  Ariane  programme  is  to  promote  knowledge  and 
dissemination  of and public access to the written  heritage and European  literature,  particularly  through 
the translation  of literature, drama  and  reference  works, support for  cooperation  projects  on books and 
reading carried out in partnership and further  training for professionals  working in this field. Priority is 
also given in the programme to the less widely used languages. The specific aims are: 

to encourage cooperation between the Member states in the field of books and reading 

to support and compliment their activities in this area, by contributing to the 
development of their cultures while respecting national and regional diversity 

to  promote  a  wider  knowledge  and  circulation  of  European  Literature  among  the 
citizens of the European Union by means of: 

- assistance for the translation of literary, theatrical and reference works, 
- support for the cooperation projects implemented on a partnership basis 
- training projects for those working in this  field 

In  the field of culture,  the  principal  aim  of  the  Kaleidoscope  programme  is  to  encourage  artistic  and 
cultural  creation  and  to  promote  knowledge  and  dissemination  of  the  culture  and  cultural  life  of  the 
European peoples, by supporting projects with a European dimension. The specific aims are: 

to encourage activities involving artistic creation with a European dimension 

to support innovative cultural projects carried out by European partners from at 

least 3 different  member states, which provide a genuine added value to those 
cultural activities which are undertaken at national and regional level 

to contribute to the development  of the professional  skills of artists and  other cultural 
operators, in particular by supporting cultural projects, which include the improvement 
of  professional  skills  as  part  of  their  organisation  and  by  stepping  up  exchanges  of 
experiences, thus facilitating  greater cooperation between  artists from  various Member 
states 

to contribute to the mutual knowledge of European cultures by making it easier for 
different  European audiences to have access to and participate in the culture and arts 
of other Member states and by facilitating inter-cultural dialogue. 

In the field of culture, the principal aim of the Raphael programme is to support and supplement, through 
cooperation,  the  action  taken  by  Member  States  in  the  field  of  cultural  heritage  (moveable  and 
immoveable heritage). The specific aims are : 

to encourage the conservation and restoration of aspects of the cultural  heritage which 
are of European importance, helping to develop and promote them ; 

to encourage the development  of transnational  cooperation  between  institutions and/or 
operators in the cultural heritage field, in order to contribute to the pooling of skills and 
the development of best practice in the preservation of the cultural heritage; 

If 

to improve access to the cultural  heritage in its European dimension and encourage the 
active participation of the general public, in particular children, young people, the under 
privileged  and  those  living  in  the outlying  and  rural  areas  of the  Community,  in  the 
safeguarding and development of the European cultural heritage ; 

to encourage transnational  cooperation  in developing  new technologies for  application 
in the various heritage categories and disciplines and  in preserving traditional  cultural 
heritage trades and techniques ; 

to have account taken of the heritage dimension  in other Community  programmes and 
policies; to encourage  cooperation  with  third  countries  and  the  relevant  international 
organisations. 

9.2. Grounds for. the operation 

-  Need for  Community financial aid 

In view of Estonia's precarious budgetary situation, and given the priority given to participation in 
Community programmes in the context of Agenda 2000, assistance from PHARE as provided for in 
Article 108 of the Europe Agreement is essential. 

-  Choice of ways and means 

With a contribution from Estonia's national budget, supplemented by one from PHARE, Estonia's 
participation will contribute to getting acquainted with the internal policies and proceedings of the 
Community in the field of culture. The integration of Estonian nationals in Community networks will 
make a definite contribution to preparing Estonia for future membership. 

-  Main factors of uncertainty which could affect the specific results of the operation 

Since projects will be selected according to qualitative criteria, it will only be possible to measure the real 
impact on the basis of Estonian entities' and citizens' capacity to respond to the calls for proposal to be 
launched by the Commission under the three programmes. 

9.3 Monitoring and evaluation of the operation 

The monitoring and evaluation procedures included in the Community's cultural programmes, will also 
cover operations financed for Estonian beneficiaries. 

16 

10. ADMINISTRATIVE  EXPENDITURE 

The administrative resources required will actually be mobilised following the annual Commission Decision 
on the allocation of resources, taking account in particular of manpower and additional amounts granted by 
the budgetary authority. The supplementary needs can not, in any case, prejudge the decision that the 
Commission will need to take concerning: 

a) 
b) 

the request of new posts in the framework  of the APB 
the resources allocation 

10.1 Effect  on the number  of posts (in  man/years) 

Type  of  post 

Staff  required  to  manage  the 
operation 
Permanent 
posts 

Temporary 
posts 

Ofixcials  or 
t e m p o r a ry 
staff 
A 
B 
C 
Other  resources 
(Technical 
assistance,  item A-
7002) 

TOTAL 

0,1 
0 , 05 

-

0 , 15 

duration 

1998-2000 

Additional 
resources 

Source 

Existing 
resources  of 
the  DG  or 
department 
concerned 

0 ,1 
0 , 05 

0 , 0 0 6 41 

0 , 15 

0 , 0 0 6 41 

from 
1 9 98 

1 0 .2  Overall  financial 

i m p a ct  of  t he  h u m an  r e s o u r c es 

^ 

Total 

Officials  * 

4 8 . 6 00 

Temporary  staff 

(in  ECU) 

Method  of  c a l c u l a t i on  (total 
c o st  of  t he  a c t i on  for  t he 
period  1 9 9 8 - 2 0 0 0) 
0 , 15  m a n / y e ar  x  1 0 8 . 0 00  ECU 
x  3  y e a rs 

Other  r e s o u r c es  (Technical 
assistance,  item  A-7002) 

1 . 9 25 

0 , 0 0 6 41  m a n / y e ar  x  1 0 0 . 0 00 
ECU  x  3  y e a rs 

TOTAL 

1 

5 0 . 5 25 

| 

* By using  existing  resources  required  to manage  the  operation  (calculation  based  on A-l,  A-2, A-4, A-5, 
A-7). 

The  e x p e n d i t u re  of  item  A-7002  (technical  assistance)  will  be  m et  from  t he  receipts  (art. 
4§2,  t h i rd  i n d e nt  of  t he  financial  regulation)  received  from  t he  E s t o n i an  participation  in 
C o m m u n i ty  p r o g r a m m es  (see  §  5.3  of  t he  financial  s t a t e m e n t ). 

^ 

>& 

10.3  Increase  in  other  administrative  expenditure  as  a result  of the  operation 

Budget  heading  (No  and 
title) 

Total 

A-701  -travel  expenditure 
A-7030  - meetings  in 
general 

A-7031  -  compulsory 
meetings 
Total 

(in ECU) 

Method  of  calculation  (total 
cost  of  the  action  for  the 
period  1998-2000) 

8 60  Participation  of  1  Estonian 

expert  in  1 meeting  (857  ECU  x 
1  = roundup  to  8 60  ECU) 

1 

8 6 0| 

" 

The above expenditure will be met from the receipts (article 4§2, third indent of the financial  regulation) received 
from the Estonian participation in Community Programmes (see § 5.3 of the financial statement). 

Proposal for a 
Council  Decision 
of... 

concerning  the  Community  position  within  the  Association  Council  on  the 
participation  of Hungary  in the Community  programmes  in the field  of culture. 

% 

lOlM^  (CMS) 

THE COUNCIL OF THE EUROPEAN  UNION, 

Having  regard  to  the  Treaty  establishing  the  European  Community,  and  in  particular 
Article  128, paragraph 3, in conjunction  with Article 228, paragraph  3, 1st alinéa thereof, 

Having regard to the proposal from  the Commission, 

Having regard to the opinion of the European  Parliament, 

Whereas  the  Additional  Protocol  to  the  Europe  Agreement  establishing  an  association 
between  the  European  Communities  and  their  Member  States,  of  the  one  part,  and 
Hungary, of the other part, entered into force on  1  February  1996. 

Whereas  according  to  Article  1 of  the  Additional  Protocol,  Hungary  may  participate  in 
Community  framework  programmes,  specific  programmes,  projects  or  other  actions 
notably in the field  of culture  and,  pursuant  to  Article 2, the terms  and  conditions  for  the 
participation  of Hungary  in  the  activities  referred  to  in  Article  1 shall  be  decided  by  the 
Association  Council, 

Whereas, Decision No  719/96/EC  of the European  Parliament  and  of the  Council  of  29 
March  1996  establishing  a programme  to  support  artistic  and  cultural  activities  having  a 
European  dimension  (hereinafter  called  "Kaleidoscope")1  and  in  particular  Article  4 
thereof,  Decision  No  2085/97/EC  of  the  European  Parliament  and  of  the  Council  of 
6  October  1997  establishing  a  support  programme  in  the  fields  of  books  and  reading 
(hereinafter  called  "Ariane")2  and  in  particular  Article  4  thereof,  and  Decision  No 
2228/97/EC  of  the  European  Parliament  and  of  the  Council  of  13  October  1997 
adopting  a programme  in the field of cultural  heritage  (hereinafter  called  "Raphael")3  and 
in  particular  Article  6  thereof,  provide  that  these  programmes  shall  be  open  to  the 
participation  of  associated  Central  European  countries  in  accordance  with  the  conditions 
set  out  in  the  Additional  Protocols  to  the  Association  Agreements  on  participation  in 
Community programmes. 

1 OJ No L 99/20 of 20.4.96 
2 OJ No L 291/26 of 24.10.97 
3 OJNoL 305/31 of 08.11.97 

HAS DECIDED AS FOLLOWS: 

The position to be taken by the Community within the Association Council established by 
the Europe Agreement between the European  Communities and their Member States, of 
the one part,  and Hungary, of the other part, concerning the participation of Hungary in 
Community  Programmes  in  the  field  of  culture,  is  that  set  out  in  the  attached  draft 
decision of the Association Council. 

Done at Brussels, 

For the Council, 

5b 

,  1998 
Draft  Decision  n°..../98  of  the  EC-Hungary  Association  Council  of. 
adopting the terms and conditions for the participation  of Hungary in Community 
Programmes in the field of culture. 

The ASSOCIATION COUNCIL 

Having regard to the Europe Agreement establishing an association between the European 
Communities and their Member States, of the one part,  and the Republic of Hungary of 
the other part,1 

Having  regard  to  the  Additional  Protocol  to  the  Europe  Agreement  establishing  an 
association between the European Communities and their Member States, of the one part, 
and  the  Republic  of Hungary,  of the  other  part,  concerning  Hungary's  participation  in 
Community programmes2, and in particular Article 1  and 2 thereof, 

Whereas according to Article  1 of the said Additional Protocol, Hungary may participate 
in  Community  framework  programmes,  specific  programmes,  projects  or  other 
Community actions notably in the field of culture, 

Whereas according to Article 2 of the said Additional Protocol the terms and conditions 
for the participation of Hungary in the activities referred to in Article  1 are to be decided 
by the Association Council, 

HAS DECIDED AS FOLLOWS: 

Article 1 

Hungary shall participate in the European Community programmes Kaleidoscope, Ariane 
and Raphael according to the terms and conditions set out in Annexes I and II which shall 
form an integral part of this Decision. 

Article 2 

This Decision shall apply for the duration of the Programmes. 

Article 3 

This Decision shall enter into force on the first day of the month following its adoption. 

Done at 

The Chairman 

For the Association Council 

1  OJN°L347of31.12.1993 
2  OJN°L  317 of 30.12.1995 

ANNEX I 

Terms and conditions for the participation of Hungary in the Programmes 
Kaleidoscope, Ariane and Raphael. 

1. 
Hungary  shall participate in all activities  of the programmes Kaleidoscope,  Ariane 
and  Raphael  (hereinafter  called  "the  Programmes")  in  conformity,  unless  otherwise 
provided  in  this  Decision,  with  the  objectives,  criteria,  procedures  and  time  limits  laid 
down  in  Decision  No  719/96/EC  of  the  European  Parliament  and  of  the  Council  of  29 
March  1996  establishing  a programme to  support  artistic  and  cultural  activities  having  a 
European  dimension (hereinafter  called "Kaleidoscope"), Decision No  2085/97/EC  of the 
European  Parliament  and  of  the  Council  of  6  October  1997  establishing  a  support 
programme  in the fields of books  and  reading  (hereinafter  called  "Ariane")  and  Decision 
No  2228/97/EC  of  the  European  Parliament  and  of  the  Council  of  13  October  1997 
adopting a programme in the field of cultural heritage (hereinafter  called "Raphael"). 

2. 
The  terms  and  conditions  for  the  submission,  assessment  and  selection  of 
applications  related  to  eligible institutions,  organisations  and individuals  of Hungary  shall 
be the same as those applicable to  eligible institutions, organisations and individuals of the 
Community. 

3. 
To  ensure  the  Community  dimension  of  the  Programmes,  transnational  projects 
and  activities  proposed  by  Hungary  will  be  required  to  include  a  minimum  number  of 
partners  from  the  Member  States  of  the  Community.  This  minimum  number  will  be 
decided  in the framework  of the  implementation  of the Programmes,  taking  into  account 
the  nature  of  the  various  activities,  the  number  of  partners  in  a  given  project,  and  the 
number of countries participating in the Programmes. 

4. 
Hungary  will pay each year  a contribution  to  the  general  budget  of the  European 
Communities  to  cover  the  costs  resulting  from  its  participation  in  the  Programmes  (see 
Annex  II).  The  Association  Committee  is  entitled  to  adapt  this  contribution  whenever 
necessary. 

The Member  States of the Community  and Hungary will make every effort,  within 
5. 
the framework  of the existing provisions, to  facilitate  the free  movement  and residence of 
all eligible  persons to  the Programmes  moving  between  Hungary  and  the Member  States 
of the Community for the purpose of participating in activities covered by the Decision. 

6. 
Without  prejudice  to  the  responsibilities  of  the  Commission  and  the  Court  of 
Auditors  of the European  Community  in relation  to  the  monitoring  and  evaluation  of the 
programmes  pursuant  to  the  Decisions  concerning  Kaleidoscope,  Ariane  and  Raphael 
(Articles  8 ,  8 and  10 respectively),  the  participation  of Hungary  in the  Programmes will 
be continuously  monitored  on a partnership  basis involving Hungary  and  the  Commission 
of  the  European  Communities.  Hungary  will  submit  the  necessary  reports  to  the 
Commission  and  take  part  in  other  specific  activities  set  out  by  the  Community  in  that 
context. 

5t 

7. 
Without  prejudice  to  the  procedures  referred  to  in  Article  5  of  the Decision  on 
Kaleidoscope,  Article  5  of  the  Decision  on  Ariane  and  Article  7  of  the  Decision  on 
Raphael, Hungary will be invited to  any co-ordination  meetings on  questions  concerning 
the  implementation  of  this  Decision  prior  to  the  regular  meetings  of  the  Programme 
Committees.  The  Commission  will  inform  Hungary  about  the  results  of  such  regular 
meetings. 

8. 
The language to be used  as regards the application process,  contracts,  reports to 
be  submitted  and other administrative arrangements  for  the Programmes,  will  be  one  of 
the official languages of the Community. 

53 

ANNEX n 

FINANCIAL CONTRIBUTION OF HUNGARY TO KALEIDOSCOPE, ARIANE 
AND RAPHAEL 

1. The financial contribution of Hungary will cover; 

-  financial  support from the Programmes to Hungarian participants, 
-  supplementary costs of an administrative nature related to the management of 
the Programmes by the Commission stemming from Hungary's participation. 

2.  For every financial year, the aggregated amount of subsidies or any other  financial 
support received from the Programmes by the Hungarian beneficiaries will not exceed 
the contribution paid by Hungary,  after  deduction  of the  supplementary  costs  of an 
administrative nature. 

Should  the  contribution  paid  by  Hungary  to  the  general  budget  of  the 
European Communities, after  deduction of supplementary costs of an administrative 
nature, be higher than the aggregated  amount of subsidies or other financial support 
received by the Hungarian beneficiaries from the Programmes, the Commission will 
transfer  the balance to the next budgetary exercise, and it will be deducted from the 
following  year's  contribution.  Should  such  a balance be left  when the  Programmes 
come to an end, the corresponding amount will be reimbursed to Hungary. 

3.  Kaleidoscope 

* 

Hungary's annual contribution will be of ECU 91.523 from 1998.  From this sum, 
an amount of ECU 5.987  will cover supplementary costs of an administrative nature 
related  to  the  management  of  the  Programme  by  the  Commission  stemming from 
Hungary's participation. 

4. Ariane 

Hungary's annual contribution will be of ECU 26.001 from  1998.  From this sum, an 
amount  of ECU  1.701  will  cover  supplementary  costs  of  an  administrative  nature 
related  to  the  management  of the Programme  by the  Commission  stemming from 
Hungary's participation. 

5. Raphael 

Hungary's annual contribution will be of ECU  112.324  from  1998.  From this sum, 
an amount of ECU 7.348 will cover supplementary costs of an administrative nature 
related  to  the  management  of  the  Programme  by  the  Commission  stemming from 
Hungary's participation. 

6. The financial  regulations applicable to the general budget  of the Community will 
apply, notably to the management of the contribution of Hungary. 

Upon  entry into force  of this Decision  and at the beginning of each  following  year, 
the  Commission  will  send  to  Hungary  a  call  for  funds  corresponding  to  its 
contribution to the costs under this Decision. 

4  ft 

This contribution will be expressed in ECU and paid into an ECU bank account of the 
Commission. 

Hungary will pay its contribution to the annual costs under this Décision according to 
the call for funds  and at the  latest three  months after  the  call  for funds  is sent.  Any 
delay in the payment of the contribution  shall give rise to the payment  of interest by 
Hungary on the outstanding amount from the due date. The interest rate corresponds 
to  the rate applied by the European Monetary  Co-operation  Fund,  for the month  of 
the due date, for its operations in ECU, increased by 1,5 percentage points. 

7. Hungary will pay the supplementary costs of an administrative nature referred to in 
paragraphs 3, 4 and 5 from its national budget. 

8. 
For  the  year  1998,  Hungary  will  pay  50%  of  the  remaining  cost  of  its 
participation in Kaleidoscope,  Ariane and Raphael from its national budget, and 50% 
from  its  Phare  national  programme,  subject  to  regular  Phare  programming 
procedures. 

For the year 1999, Hungary will pay 50% of the remaining cost of its participation in 
Raphael  from  its  national  budget,  and  50%  from  its  Phare  national  programme, 
subject to regular Phare programming procedures. 

For the year 2000, for Hungary's participation in Raphael, the same breakdown will 
prevail  as  for  1999,  subject  to  the  availability  of  the  relevant  budgetary 
appropriations in the Community and in Hungary. 

5^> 

FINANCIAL  STATEMENT 

1. TITLE  OF  OPERATION 

Opening  of Community  Programmes  in the field  of culture to  Hungary 

2. BUDGET HEADING  INVOLVED 

B7-503 - Opening  of Community  Programmes  to the associated  countries  of  Central 
Europe 

3. LEGAL  BASIS 

Treaty  establishing  the European  Community,  and  in particular  Article  128  , paragraph  3, 
in conjunction  with  Article 228,  paragraph  3,  1st alinéa  thereof, 

Additional  Protocol  to  the Europe  Agreement  with  Hungary  (Articles  228  and  238), 
providing  for  the opening-up  of Community  programmes  (OJ No  317/95,  page  30), 
entered  into  force  on  1 February  1996, 

Decision  No  719/96/EC  of the European  Parliament  and  of the  Council  of 29 March  1996 
establishing  a programme  to  support  artistic  and  cultural  activities  having  a  European 
dimension  ("Kaleidoscope")  and  in particular  Article 4  thereof, 

Decision  No  2085/97/EC  of the European  Parliament  and  of the  Council  of 6  October 
1997 establishing  a support  programme  in the  fields  of books  and  reading  ("Ariane")  and 
in particular  Article 4  thereof, 

Decision  No  2228 /97/EC  of the European  Parliament  and  of the  Council  of  13  October 
1997 adopting  a programme  in the  field  of cultural  heritage  ("Raphael")  and  in  particular 
Article  6  thereof. 

4. DESCRIPTION  OF  OPERATION: 

4.1 General  objective 

Hungary's participation  in the three Community programmes  in the field of culture will come in 
addition to those Community programmes  in which it already participates, e.g. Leonardo da Vinci, 
Socrates and Youth for Europe, and will further  contribute to its preparation  for accession as a key 
feature of a reinforced  pre-accession  strategy. It will also enable Hungary to familiarise  itself with 
the procedures and methods used in these Community programmes. 

The decision-making process for the opening-up of programmes  involves a decision by the 
Association  Council  between the Union and the associated country. This decision also lays down 
the practical arrangements for opening up the programmes. 

fT 

The Additional Protocol  with Hungary entered  into force  on  1 February  1996 and 
provides for Hungary's participation in a wide range of areas, amongst which culture. 

Other Community programmes, notably in the audiovisual  sector,  health and social  policy, 
SMEs,  research etc,  have been or will  shortly be opened  up to the participation  of 
Hungary. 

4.2 Period covered and arrangements for renewal 

Until the end of the Community programmes concerned, i.e. 31.12.1998 for Kaleidoscope and 
Ariane, 31.12.2000 for Raphael, or dependent on decisions taken as regards cultural programmes 
and budgets after  1999. For Raphael, both the contribution from the national budget and  from 
Phare are subject to the availability of budgetary appropriations beyond 1999. 

5. CLASSIFICATION  OF EXPENDITURE  OR  REVENUE 

5.1 Non-compulsory expenditure 

5.2 Differentiated  appropriations 

5.3 Type of revenue involved: 

Since the first paragraph of Article 3 of the Additional Protocol stipulates that Hungary itself will 
meet the costs resulting from its participation, it will be invited to transfer its contribution to item 
6091 of the EU's budget receipts. However, as the second paragraph of Article 3 states that the 
Community may supplement Hungary's contribution (through its national Phare allocation), 
Hungary will contribute only 50% of the operational costs from its national budget, with the 
remaining 50% being charged to heading B7-503. A transfer from the relevant PHARE 
appropriations (article B7-503) will be made upon receit of the Hungarian contribution. 

6. TYPE OF EXPENDITURE OR REVENUE 

100% subsidy 

subsidy for joint financing with other sources in the public and/or private sector 

no provision for all or part of the Community contribution to be reimbursed 

ARIANE 

Action 1 

Literary  translation 

-  Up to full  cost  of translators fees  subject to  national  standard  payment  practice 

Translation  of theatrical  works 

3.500  ECU  per translator and per translation 

Translation  of reference  works 

••-% 
•# 

-  up to 100% of translation costs if commercial work 

-  3.500 ECU per translator and per translation if not commercial 

Action 2 

Cooperation projects 

-  up to 25% total costs of the project and maximum 50.000 ECU 

(if the project  includes arrangement  for  wider dissemination  of the  results  an additional 
contribution can be granted to cover up to 50% of the costs of such measures and up to 
20.000 ECU can be granted) 

Action 3 

Further training 

-  grants to cover travelling expenses and further training costs up to 50.000 ECU 

KALEIDOSCOPE 

Action 1 

-  may not exceed 25% of total project costs or 50.000 ECU 
- 

in  cases  where  project  includes  improving  professional  skills  or  increasing 
cultural dissemination additional money can be given for that  section - 50% or 
up to 20000 ECU 

-  for  projects  concerned  purely with training, support  may cover up to  50% of 

the total project costs, up to a maximum of 50.000 ECU 

Action 2 

-  up to 25% of total costs 

RAPHAEL 

Action  1  -  "Conservation,  safeguarding  and  development  of  the  European  cultural 
heritage through European cooperation" 

-  may not exceed 50% of the total costs of the project or 250.000 ECU 

Action  2  -  "Cooperation  for  the  exchange  of  experiences  and  the  development  of 
techniques applied to heritage" 

-  may not exceed 50% of the total cost of the project  or 50.000 ECU, except in 
certain  cases for  which  Community contributions  may be up to  150.000 ECU 
or 100.000 ECU 

Action 3 - "Public access to, participation in and awareness of the cultural heritage" 

-  may not exceed 50% of the total costs of the project  or 50.000 ECU, except in 
certain cases for which Community contribution may be up to  150.000 ECU 

Action 4 - "Cooperation with third countries and international organisations" 

-  support for cooperation with third countries is covered by actions 1,2,3 

>i hi 

- 

support  for  international  organisations  will  be  decided  on  an individual  basis in 
accordance with Article 7(3)  of the Decision. 

As far as revenue is concerned, provision for Hungary's contribution to cover the cost of its 
participation is made under item 6091. The revenue will be allocated to the items for expenditure 
on the  programmes concerned and, where appropriate, to the relevant items of operating 
expenditure. 

The total revenue expected is given under item 7.4. 

51 

7. FINANCIAL  IMPACT 

7.1  Method of calculating total cost of operation for  1998,  1999 and 2000 financial years (link 

between individual costs and total cost) 

The calculation is based on the following preconditions: 

-  Hungary's contribution to the financing of the activities referred to in the Protocol is calculated 
according to the principle that the country bears the cost of participation itself. Heading 6091 
has been created in the statement of budget revenue for that purpose; 

- 

the Community may decide on a case-by-case basis to pay a supplement to the Hungary's 
contribution. The supplement may be in the form of a contribution under the national PHARE 
programme. 

Based on the Additional Protocol with Hungary, the financial and budgetary arrangements for the 
three programmes concerned are as follows: the costs have been calculated on the basis of various 
parameters inherent in the three programmes, i.e. GDP per capita as weighted with PPP 
(purchasing power parities). 

The cost of Hungary's participation in Kaleidoscope in 1998 will be ECU 91.523. 

For Ariane the cost will be ECU 26.001  in 1998. 

For Raphael the annual cost will be ECU  112.324 in  1998,  1999 and 2000. 

The above-mentioned figures, from which the supplementary costs of an administrative nature 
amounting to  15.036 ECU in 1998, ECU 7.348 in 1999 and ECU 7.348 in 2000 and to be bome 
exclusively by Hungary  have to be deducted, are divided per year and per programme as follows: 
50% of the operational costs will be covered from Hungary's national budget and - subject to 
proceedures for programming the PHARE programme - 50% from the annual PHARE budget for 
Hungary. 

7.2  Itemised breakdown of cost in ecu 

Programme 

1998 

1999 

2000 

Total 

Kaleidoscope 
Ariane 
Raphael 

85.536 
24.300 
104.976 

n.a 
n.a. 
104.976 

n.a. 
n.a. 
104.976 

85.536 
24.300 
314.928 

in ECU 
of which 
Hungary 
42.768 
12.150 
157.464 

of which 
Phare 

42.768 
12.150 
157.464 

Total 

214.812 

104.976 

104.976 

424.764 

212.382 

212.382 

7.3  Operational expenditure on studies, expert meetings, etc., included in Part B:  None 

7.4  Schedule for multiannual operations 

Amounts to be charged to item B7-503 

60 

1998 

1999 

2000 

subsequent 
years 

52.488 

107.406 

52.488 

Commitment 
appropriations 
Payment 
appropriations^ 
1998 
1999 
2000 
subsequent  years 
Total 
(*) Schedule based on the method of payment currently applying to these programmes. 

26.244 
26.244 
52.488 

26.244 
26.244 

53.703 
53.703 

107.406 

52.488 

TOTAL 

212.382 

53.703 
79.947 
52.488 
26.244 
212.382 

The foreseeable annual receipts are as follows: 

Item 6091 

1998 

1999 

2000 

107.406 

52.488 

52.488 

15.036 

7.348 

7.348 

subsequent 
years 

TOTAL 

212.382 

29.732 

operational 
part 
supplementary 
costs of an 
administrative 
nature 
Total 

122.442 

59.836 

59.836 

242.114 

8.  FRAUD PREVENTION MEASURES; RESULTS OF MEASURES TAKEN 

All the Commission's contracts, agreements and other legal commitments provide for on-
the-spot checks by the Commission and Court of Auditors. Among other things, the 
beneficiaries of the operations are obliged to file reports and financial  statements. These 
are analysed from the point of view of their content and the eligibility of the expenditure in 
line with the objective of Community financing. 

The anti-fraud provisions of the basic budget headings apply to this heading too when 
adapted to the case of Hungary. 

6\ 

9.  ELEMENTS OF COST-EFFECTIVENESS ANALYSIS 

9.1.  Specific and quantified objectives; target population 

The aim of opening up Community cultural programmes to Hungary is to bring it the same benefits as the 
Member States of the Community already enjoy from the programmes. The essential aim of Community 
action in the field of culture should be to enable all European citizens to contribute to their national and 
regional cultural diversity whilst at the same time bringing the common cultural heritage to the fore. 

In  the  field  of  culture  the  principle  aim  of  the  Ariane  programme  is  to  promote  knowledge  and 
dissemination  of and public access to the written  heritage and European  literature, particularly  through 
the translation  of literature,  drama and  reference  works, support for  cooperation  projects  on books and 
reading carried out in partnership and further  training for professionals working in this field. Priority is 
also given in the programme to the less widely used languages. The specific aims are: 

to encourage cooperation between the Member states in the field of books and reading 

to support and compliment their activities in this area, by contributing to the 
development of their cultures while respecting national and regional diversity 

to  promote  a  wider  knowledge  and  circulation  of  European  Literature  among  the 
citizens of the European Union by means of: 

- assistance for the translation of literary, theatrical and reference works, 
- support for the cooperation projects implemented on a partnership basis 
- training projects for those working in this  field 

In  the field of culture,  the  principal  aim  of  the  Kaleidoscope  programme  is  to encourage  artistic  and 
cultural  creation  and  to  promote  knowledge  and  dissemination  of  the  culture  and  cultural  life  of  the 
European peoples, by supporting projects with a European dimension. The specific aims are: 

to encourage activities involving artistic creation with a European dimension 

to support innovative cultural projects carried out by European partners from at 

least 3 different  member states, which provide a genuine added value to those 
cultural activities which are undertaken at national and regional level 

to contribute to the development  of the professional  skills of artists and other cultural 
operators, in particular by supporting cultural projects, which include the improvement 
of  professional  skills  as  part  of  their  organisation  and  by  stepping  up  exchanges  of 
experiences, thus facilitating  greater  cooperation between artists from  various Member 
states 

to contribute to the mutual knowledge of European cultures by making it easier for 
different  European audiences to have access to and participate in the culture and arts 
of other Member states and by facilitating inter-cultural dialogue. 

In the field of culture, the principal aim of the Raphael programme is to support and supplement, through 
cooperation, the action taken by Member States in the field of cultural heritage (moveable and immovable 
heritage). The specific aims are : 

to encourage the conservation and restoration of aspects of the cultural  heritage which 
are of European importance, helping to develop and promote them ; 

to encourage the development of transnational  cooperation between  institutions and/or 
operators in the cultural heritage field, in order to contribute to the pooling of skills and 
the development of best practice in the preservation of the cultural heritage; 

> *. 
61 

to improve access to the cultural heritage in its European dimension and encourage the 
active participation of the general public, in particular children, young people, the under 
privileged  and  those  living  in  the  outlying  and  rural  areas  of the  Community,  in  the 
safeguarding and development of the European cultural heritage ; 

to encourage transnational  cooperation  in developing  new technologies for  application 
in the various heritage categories and disciplines and in preserving traditional  cultural 
heritage trades and techniques ; 

to have account taken of the heritage dimension in other Community programmes 
and policies; to encourage cooperation with third countries and the relevant 
international organisations. 

9.2. Grounds for the operation 

-  Need for Community financial aid 

In view of  Hungary's precarious budgetary situation, and given the priority given to participation in 
Community programmes in the context of Agenda 2000, assistance from PHARE as provided for in 
Article 3(2) of the Additional Protocol is essential. 

-  Choice of ways and means 

With a contribution from Hungary's national budget, supplemented by one from PHARE, Hungary's 
participation will contribute to getting acquainted with the internal policies and proceedings of the 
Community in the field of culture. The integration of Hungarian nationals in Community networks will 
make a definite contribution to preparing Hungary for future membership. 

-  Main factors of uncertainty which could affect the specific results of the operation 

Since projects will be selected according to qualitative criteria, it will only be possible to measure the real 
impact on the basis of Hungarian entities' and citizens' capacity to respond to the calls for proposal to be 
launched by the Commission under the three programmes. 

9.3 Monitoring and evaluation of the operation 

The monitoring and evaluation procedures included in the  Community's cultural programmes, will also 
cover operations financed for Hungarian beneficiaries. 

xx 

10. ADMINISTRATIVE EXPENDITURE 

The administrative resources required will actually be mobilised following the annual Commission Decision 
on the allocation of resources, taking account in particular of manpower and additional amounts granted by 
the budgetary authority. The supplementary needs can not, in any case, prejudge the decision that the 
Commission will need to take concerning: 

the request of new posts in the framework of the APB 

a) 
b)  the resources allocation 

10.1 Effect  on the number of posts (in man/years) 

Type  of  post 

Staff  required  to  manage  the 
operation 
Permanent 
posts 

Temporary 
posts 

duration 

1998-2000 

Additional 
resources 

Source 

Existing 
resources  of 
the  DG or 
department 
concerned 

Ofiicials  or 
t e m p o r a ry 
staff 
A 
B 
C 
Other  resources 
(Technical 
assistance,  item A-
7002) 

0,1 
0 , 05 

0,1 
0,05 

0 , 0 6 53 

TOTAL 

0 , 15 

0 , 15 

0 , 0 6 53 

from 
1 9 98 

10.2  Overall  financial  impact  of  the  human  resources 

Total 

Officials* 

48.600 

Temporary  staff 

(in ECU) 

Method  of  calculation  (total 
cost  of  the  action  for  the 
period  1998-2000) 
0,15  man/year  x  108.000  ECU 
x  3  years 

Other  resources  (Technical 
assistance,  item  A-7002) 

19.590 

0 , 0 6 53  man/year  x  100.000 
ECU  x  3  y e a rs 

TOTAL 

1 

68.190 

[ 

* By using existing resources  required  to manage the operation  (calculation based  on A-l, A-2, A-4, A-5, 
A-7). 

The  expenditure  of item  A-7002  (technical  assistance)  will be  met  from  the  receipts  (art. 
4§2,  third  indent  of the  financial  regulation)  received  from  the  Hungarian  participation 
in  Community  programmes  (see § 5.3  of the  financial  statement). 

6k 

10.3  Increase  in  other  administrative  expenditure  as  a result  of the  operation 

Budget  heading  (No  and 
title) 

Total 

(in ECU) 

Method  of  calculation  (total 
cost  of  the  action  for  the 
period  1998-2000) 

A-701  -travel  expenditure 

5.000  1.000  ECU x  5  missions 

A-7030 * meetings  in 
general 

A-7031  -  compulsory 
meetings 
Total 

5.142  Participation  of  1  Hungarian 

expert  in  6  meetings  (857  ECU  x 
6)  • 

1 

10.142  1 

The above expenditure will be met from  the receipts (article 4§2,  third  indent of the financial  regulation)  received 
from  the Hungarian  participation  in Community  Programmes  (see  § 5.3  of the financial  statement). 

J* 
6? 

Proposal for a 
Council  Decision 
il Decision 
of... 
concerning  the  Community  position  within  the  Association  Council  on  the 
participation  of Lithuania  in the Community  programmes  in the Field of culture. 

\ 
r-»^/l 
^ I O U ^ C C M ^) 

«  / 

THE COUNCIL OF THE EUROPEAN UNION, 

Having  regard  to  the  Treaty  establishing  the  European  Community,  and  in  particular 
Article  128, paragraph 3, in conjunction  with Article 228, paragraph  3,  1st alinéa thereof, 

Having regard to the proposal from  the Commission, 

Having regard  to the opinion of the European  Parliament, 

Whereas  the  Europe ' Agreement  establishing  an  association  between  the  European 
Communities  and  their Member  States,  of the  one  part,  and  Lithuania,  of the  other  part, 
entered into force  on  1  February  1998. 

Whereas according to  Article  110 of the Europe  Agreement,  Lithuania  may  participate in 
Community  framework  programmes,  specific  programmes,  projects  or  other  actions 
notably  in  the  field  of  culture,  and  the  terms  and  conditions  for  the  participation  of 
Lithuania  in  the  activities  referred  to  in  Article  1  shall  be  decided  by  the  Association 
Council, 

Whereas,  Decision  No  719/96/EC  of the  European  Parliament  and  of the  Council  of  29 
March  1996  establishing  a  programme  to  support  artistic  and  cultural  activities  having  a 
European  dimension  (hereinafter  called  "Kaleidoscope")1  and  in  particular  Article  4 
thereof and Decision No 2228/97/EC of the European Parliament  and of the Council of 13 
October  1997  adopting  a  programme  in  the  field  of  cultural  heritage  (hereinafter  called 
" Raphael" )2 and  in  particular  Article  6 thereof,  provide  that  these  programmes  shall  be 
open to the participation  of associated  Central  European  countries in accordance with  the 
conditions  set  out  in  the  Additional  Protocols  to  the  Association  Agreements  on 
participation in Community programmes. 

HAS DECIDED AS FOLLOWS: 

The position to be taken by the Community  within the  Association  Council  established by 
the Europe  Agreement  between  the European  Communities  and  their  Member  States,  of 
the one part,  and Lithuania,  of the other  part,  concerning  the participation  of Lithuania  in 
Community  Programmes  in  the  field  of  culture,  is  that  set  out  in  the  attached  draft 
decision of the Association  Council. 

Done at Brussels, 

For the Council, 

'OJ No L 99/20 of 20.4.96 
2 OJNoL 305/31 of 08.11.97 

£6 

Draft  Decision  n°..../98  of  the  EC-Lithuania  Association  Council  of. 
1998 
adopting the terms and  conditions  for  the participation  of Lithuania  in  Community 
Programmes in the field  of culture. 

The ASSOCIATION  COUNCIL 

Having regard to the Europe Agreement  establishing an association between the European 
Communities and their Member  States, of the one part, and Lithuania, of the other part,1 
and in particular Article  110 thereof, 

Whereas  according  to  Article  110  of  the  said  Europe  Agreement,  Lithuania  may 
participate  in Community framework  programmes,  specific  programmes,  projects  or  other 
Community  actions  notably  in  the  field  of  culture,  and  the  terms  and  conditions  for  the 
participation  of Lithuania  in the  activities  referred  to  in  Article  110 are  to  be  decided  by 
the Association  Council, 

HAS DECIDED AS FOLLOWS: 

Article  J 

Lithuania  shall  participate  in  the  European  Community  programmes  Kaleidoscope  and 
Raphael  according  to  the  terms  and  conditions  set  out  in  Annexes  I  and  II  which  shall 
form  an integral part of this Decision. 

Article 2 

This Decision shall apply for the duration  of the Programmes. 

Article 3 

This Decision  shall enter into force  on the first  day of the month following  its adoption. 

Done at 

The Chairman 

For the Association  Council 

1  OJN°L 51/1 of 20.2.98 

ti 

ANNEX I 

Terms and conditions for the participation of Lithuania in the Programmes 
Kaleidoscope and Raphael. 

1. 
Lithuania  shall  participate  in  all  activities  of  the  programmes  Kaleidoscope  and 
Raphael  (hereinafter  called "the Programmes")  in conformity,  unless otherwise provided 
in  this  Decision,  with  the  objectives,  criteria,  procedures  and  time  limits  laid  down  in 
Decision No 719/96/EC of the European Parliament and of the Council of 29 March 1996 
establishing  a  programme  to  support  artistic  and  cultural  activities  having  a European 
dimension  (hereinafter  called  "Kaleidoscope")  and  Decision  No  2228/97/EC  of  the 
European Parliament and of the Council of 13 October  1997 adopting a programme in the 
field  of cultural heritage (hereinafter  called "Raphael"). 

The  terms  and  conditions  for  the  submission,  assessment  and  selection  of 
2. 
applications related to eligible institutions, organisations and individuals of Lithuania shall 
be the same as those applicable to eligible institutions, organisations and individuals of the 
Community. 

3. 
To  ensure  the  Community  dimension  of the  Programmes,  transnational  projects 
and  activities  proposed  by Lithuania  will  be  required  to  include  a  minimum  number  of 
partners  from  the  Member  States  of  the  Community.  This  minimum  number  will  be 
decided in the framework  of the implementation  of the Programmes, taking into account 
the  nature  of  the various  activities,  the  number  of  partners  in  a given  project,  and  the 
number of countries participating in the Programmes. 

4. 
Lithuania will pay each year a contribution to the general budget of the European 
Communities to  cover the costs  resulting from  its participation  in the Programmes  (see 
Annex II).  The Association  Committee  is entitled  to  adapt  this  contribution  whenever 
necessary. 

The Member States of the Community and Lithuania will make every effort,  within 
5. 
the framework  of the existing provisions, to facilitate the free movement and residence of 
all eligible persons to the Programmes moving between Lithuania and the Member States 
of the Community for the purpose of participating in activities covered by the Decision. 

6.  Without  prejudice  to  the  responsibilities  of  the  Commission  and  the  Court  of 
Auditors of the European Community in relation to the monitoring and evaluation of the 
programmes pursuant to the Decisions concerning Kaleidoscope and Raphael  (Articles 8 
and  10  respectively),  the  participation  of  Lithuania  in  the  Programmes  will  be 
continuously monitored .on a partnership basis involving Lithuania and the Commission of 
the  European  Communities.  Lithuania  will  submit  the  necessary  reports  to  the 
Commission  and take  part  in  other  specific  activities  set  out  by the  Community  in that 
context. 

7. 
Without  prejudice  to  the  procedures  referred  to  in  Article  5  of  the  Decision  on 
Kaleidoscope  and Article  7  of the Decision  on Raphael, Lithuania will  be invited  to  any 
co-ordination meetings on questions concerning the implementation of this Decision prior 
to  the  regular  meetings  of  the  Programme  Committees.  The  Commission  will  inform 
Lithuania about the results of such regular meetings. 

8. 
The language to be used  as regards the  application  process,  contracts,  reports  to 
be  submitted  and other administrative  arrangements  for  the Programmes,  will  be  one  of 
the official  languages of the Community. 

ft 

ANNEX II 

FINANCIAL CONTRIBUTION OF LITHUANIA TO 
KALEIDOSCOPE, AND RAPHAEL 

1.  The financial contribution of Lithuania will cover; 

-  financial  support from the Programmes to Lithuanian participants, 
-  supplementary costs of an administrative nature related to the management of 
the Programmes by the Commission stemming from Lithuania's participation. 

2.  For every financial year, the aggregated amount of subsidies or any other  financial 
support received from the Programmes by the Lithuanian beneficiaries will not exceed 
the  contribution  paid by Lithuania,  after  deduction  of th  supplementary  costs  of an 
administrative nature. 

Should  the  contribution  paid  by  Lithuania  to  the  general  budget  of  the  European 
Communities, after  deduction of the supplementary costs of an administrative nature, 
be higher than the aggregated amount of subsidies or other financial support received 
by the Lithuanian beneficiaries  from  the Programmes,  the  Commission  will  transfer 
the balance to the next budgetary exercise, and it will be deducted from the following 
year's contribution.  Should such a balance be left  when the Programmes come to an 
end, the corresponding amount will be reimbursed to Lithuania. 

3.  Kaleidoscope 

Lithuania's annual contribution will be of ECU 20.056 from 1998. From this sum, 
an amount of ECU  1.312 will cover supplementary costs of an administrative nature 
related  to  the  management  of  the  Programme  by  the  Commission  stemming from 
Lithuania's participation. 

4. Raphael 

Lithuania's annual contribution will be of ECU 24.614 from 1998. From this sum, an 
amount  of ECU  1.610  will  cover  supplementary  costs  of  an  administrative  nature 
related  to  the  management  of the  Programme  by  the  Commission  stemming from 
Lithuania's participation. 

5. The financial  regulations  applicable to the general budget  of the Community will 
apply, notably to the management of the contribution of Lithuania. 

Upon  entry into force  of this Decision  and at the beginning of each  following  year, 
the  Commission  will  send  to  Lithuania  a  call  for  funds  corresponding  to  its 
contribution to the costs under this Decision. 

This contribution will be expressed in ECU and paid into an ECU bank account of the 
Commission. 

Lithuania will pay its contribution  to the annual costs under this Decision  according 
to the call for funds and at the latest three months after the call for funds is sent. Any 
delay in the payment of the contribution shall give rise to the payment of interest by 
Lithuania on the outstanding amount from the due date. The interest rate corresponds 

1o 

to  the rate applied  by the European Monetary  Co-operation  Fund,  for  the  month  of 
the due date, for its operations in ECU, increased by 1,5 percentage points. 

6. Lithuania will  pay the supplementary  costs  of an administrative  nature referred  to 
in paragraphs 3 and 4 from its national budget. 

7.  Lithuania will  pay  10%, 30% and 50% of the remaining  cost  of its participation 
from its national budget of  1998,  1999 and 2000 respectively. 

Subject  to  regular  PHARE  programming  procedures,  the  remaining  90%, 70%» 
and  50%) will  be paid  from  Lithuania's  annual  Phare  allocations  of  1998,  1999 and 
2000 - subject to the availability of the relevant budgetary appropriations. 

^ u 

FINANCIAL  STATEMENT 

1. TITLE OF OPERATION 

Opening of Community Programmes in the field of culture to Lithuania 

2. BUDGET HEADING  INVOLVED 

B7-503 - Opening of Community  Programmes to the associated  countries of Central 
Europe 

3. LEGAL  BASIS 

Treaty establishing the European  Community, and in particular Article  128, paragraph  3, in 
conjunction  with Article 228, paragraph  3,  1st alinéa thereof. 

The Europe Agreement with Lithuania (Articles 228 and 238), entered into force on  1 February 
1998, providing for the opening-up of Community  programmes 

Decision No 719/96/EC of the European Parliament and of the Council of 29 March  1996 establishing a 
programme  to support artistic and cultural activities having a European dimension ("Kaleidoscope") and 
in particular Article 4 thereof, 

Decision No 2228/97/EC of the European Parliament and of the Council of  13 Octber  1997 adopting a 
programme in the field of cultural heritage ("Raphael") and in particular Article 6 thereof, 

4. DESCRIPTION  OF OPERATION: 

4.1 General  objective 

Lithuania's participation  in the two Community programmes  in the field of culture will  further 
contribute to its preparation for accession as a key feature of a reinforced  pre-accession  strategy. It 
will also enable Lithuania to familiarise  itself with the procedures and methods used in these 
Community programmes. 

The decision-making process for the opening-up of programmes  involves a decision by the 
Association Council between the Union and the associated country. This decision also lays down 
the practical arrangements for opening up the programmes. 

The Europe Agreement with Lithuania entered into force on  1  February  1998 and provides  for 
Lithuania's participation  in a wide range of areas, amongst which culture. 

Other Community programmes, notably in the audiovisual  sector, health and social policy, SMEs, 
research etc, will shortly be opened up to the participation  of Lithuania. 

«ft 

4.2 Period  covered and arrangements for renewal 

Until the end of the Community programmes concerned, i.e. 31.12.1998 for Kaleidoscope and 
31.12.2000 for Raphael, or dependent on decisions taken as regards cultural  programmes and 
budgets after  1999. For Raphael, both the contribution  from  the national budget and from  Phare 
are subject to the availability of budgetary appropriations  beyond  1999. 

5. CLASSIFICATION  OF EXPENDITURE  OR  REVENUE 

5.1 Non-compulsory  expenditure 

5.2 Differentiated  appropriations 

5.3 Type of revenue involved: 

Since Article  110 of the Europe Agreement stipulates that Lithuania  itself will meet the costs 
resulting from  its participation,  it will be invited to transfer  its contribution  to item 6091 of the 
EU's budget receipts. However, as Article  110 states that the Community may  supplement 
Lithuania's contribution  (by up to  10% of the National  Indicative Programme), Lithuania will 
contribute part from  its national  budget, with the remainder being charged to heading B7-503. 

6. TYPE OF EXPENDITURE OR REVENUE 

100% subsidy 

subsidy for joint financing  with other sources in the public and/or private sector 

no provision for all or part of the Community contribution to be reimbursed 

KALEIDOSCOPE 

Action 1 

-  may not exceed 25% of total project costs or 50.000 ECU 
- 

in  cases  where  project  includes  improving  professional  skills  or  increasing  cultural 
dissemination  additional  money  can  be given  for  that  section  -  50%  or  up  to  20.000 
ECU 
for  projects  concerned  purely  with  training,  support  may  cover  up  to 50% of the  total 
project costs, up to a maximum of 50.000  ECU 

- 

Action 2 

-  up to 25% of total costs 

RAPHAEL 

Action  1  -  "Conservation,  safeguarding  and  development  of  the  European  cultural  heritage 
through  European  cooperation" 

-  may not exceed 50% of the total costs of the project or 250.000  ECU 

Action  2  -  "Cooperation  for  the  exchange  of  experiences  and  the  development  of  techniques 
applied to heritage" 

-  may not exceed  50% of the total  cost of the project or 50.000  ECU,  except  in certain 
cases for which Community contributions may be up to  150.000 ECU or 100.000 ECU 

Action 3 - "Public access to, participation in and awareness of the cultural heritage" 

-  may not exceed  50% of the total costs of the project or 50.000  ECU, except in certain 

cases for which Community contribution may be up to  150.000 ECU 

Action 4 - "Cooperation with third countries and international organisations" 

- 
- 

support for cooperation with third countries is covered by actions 1,2,3 
support  for  international  organisations  will  be  decided  on  an  individual  basis  in 
accordance with Article 7(3) of the Decision. 

As far as revenue is concerned, provision for Lithuania's contribution to cover thé cost of its 
participation is made under item 6091. The revenue will be allocated to the items for expenditure 
on the  programmes concerned and, where appropriate, to the relevant items of operating 
expenditure. 

The total revenue expected is given under item 7.4. 

>0 
"ft 

7. FINANCIAL  IMPACT 

7.1  Method of calculating total cost of operation  for  1998,  1999 and 2000 financial  years (link 

between  individual costs and total cost) 

The calculation  is based on the following  preconditions: 

-  Lithuania's contribution to the financing of the activities referred  to in the Protocol  is calculated 
according to the principle that the country bears the cost of participation  itself. Heading 6091 
has been created in the statement of budget revenue for that purpose; 

- 

the Community may decide on a case-by-case basis to pay a supplement to the  Lithuania's 
contribution. The supplement may be in the form  of a contribution  under the national  PHARE 
programme. 

Based on the Europe Agreement with Lithuania, the financial  and budgetary arrangements for the 
two programmes concerned are as follows: the costs have been calculated on the basis of various 
parameters  inherent in the two programmes, i.e. GDP per capita as weighted with PPP  (purchasing 
power parities). 

The cost of Lithuania's participation  in Kaleidoscope will be ECU 20.056 in 1998. 

For Raphael the annual cost will be ECU 24.614 in  1998,  1999 and 2000. 

The above-mentioned figures, from  which the supplementary  costs of an administrative nature, 
amounting to ECU 2.922  in  1998 and  1.610 in  1999 and 2000 respectively, and to be borne 
exclusively by Lithuania have to be deducted, are divided per year and per programme as follows: 
Lithuania shall pay  10%, 30% and 50% of the costs of its participation  in the programmes from  its 
national  budget of  1998,  1999 and 2000 repectively; subject  to proceedures for  programming the 
PHARE programme, the remaining 90%, 70% and 50%  will be paid from  Lithuania's  annual 
PHARE National  Indicative Programmes of  1998,  1999 and 2000. 

7.2  Itemised breakdown of cost in ECU 

Programme 

1998 

1999 

2000 

Total 

Kaleidoscope 
Raphael 

18.744 
23.004 

n.a. 
23.004 

n.a. 
23.004 

18.744 
69.012 

in ECU 
of  which 
Lithuania 

1.874 
20.703 

of  which 
Phare 

16.870 
48.309 

Total 

41.748 

23.004 

23.004 

87.756 

22.577 

65.179 

7.3  Operational expenditure on studies, expert meetings, etc., included in Part B:  None 

7.4  Schedule for multiannual operations 

Amounts to be charged to item B 7-5 03 

Vf 

1998 

1999 

2000 

subsequent 
years 

TOTAL 

11.502 

16.103 

37.573 

Commitment 
appropriations 
Payment 
appropriations^ 
1998 
1999 
2000 
subsequent  years 
Total 
(*) Schedule based on the method of payment currently applying to these programmes. 

5.751 
5.751 
11.502 

18.786,5 
18.786,5 

8.051,5 
8.051,5 

37.573 

16.103 

65.178 

18.786,5 
26.838 
13.802,5 
5.751 
65.178 

The foreseeable annual receipts are as follows: 

Item 6091 

1998 

1999 

2000 

subsequent 
years 

TOTAL 

operational 
costs 
supplementary 
costs of an 
administrative 
nature 
Total 

4.174 

2.922 

6.901 

1.610 

11.502 

1.610 

7.096 

8.511 

13.112 

22.577 

6.142 

28.719 

8.  FRAUD PREVENTION MEASURES; RESULTS OF MEASURES TAKEN 

All the Commission's contracts, agreements and other legal commitments provide for on-the-spot checks 
by the Commission and Court of Auditors. Among other things, the beneficiaries of the operations are 
obliged to file reports and financial statements. These are analysed from the point of view of their content 
and the eligibility of the expenditure in line with the objective of Community financing. 

The anti-fraud  provisions of the basic budget headings apply to this heading too when adapted to the case 
of Lithuania. 

>2 
¥c 

9.  ELEMENTS OF COST-EFFECTIVENESS ANALYSIS 

9.1.  Specific and quantified objectives; target population 

The aim of opening up Community cultural programmes to Lithuania is to bring it the same benefits  as 
the  Member  States  of  the  Community  already  enjoy  from  the  programmes.  The  essential  aim  of 
Community action in the field of culture should be to enable all European citizens to contribute to their 
national and regional cultural diversity whilst at the same time bringing the common cultural heritage to 
the fore. 

In  the field of  culture,  the  principal  aim  of  the  Kaleidoscope  programme  is  to  encourage  artistic  and 
cultural  creation  and  to  promote  knowledge  and  dissemination  of  the  culture  and  cultural  life  of  the 
European peoples, by supporting projects with a European dimension. The specific aims are: 

to encourage activities involving artistic creation with a European dimension 

to support innovative cultural projects carried out by European partners from at 
least 3 different  member states, which provide a genuine added value to those 
cultural activities which are undertaken at national and regional level 

to contribute to the development  of the professional  skills of artists and  other cultural 
operators, in particular by supporting cultural projects, which include the improvement 
of  professional  skills  as  part  of  their  organisation  and  by  stepping  up  exchanges  of 
experiences, thus facilitating  greater cooperation between artists from  various Member 
states 

to contribute to the mutual knowledge of European cultures by making it easier for 
different European audiences to have access to and participate in the culture and arts 
of other Member states and by facilitating inter-cultural dialogue. 

In the field of culture, the principal aim of the Raphael programme is to support and supplement, through 
cooperation,  the  action  taken  by  Member  States  in  the  field  of  cultural  heritage  (moveable  and 
immoveable heritage). The specific aims are : 

to encourage the conservation and restoration of aspects of the cultural  heritage which 
are of European importance, helping to develop and promote them ; 

to encourage the development of transnational  cooperation between  institutions  and/or 
operators in the cultural heritage field, in order to contribute to the pooling of skills and 
the development of best practice in the preservation of the cultural heritage; 

to improve access to the cultural heritage in its European dimension and encourage the 
active participation of the general public, in particular children, young people, the under 
privileged  and  those  living  in  the outlying  and  rural  areas of the  Community,  in  the 
safeguarding and development of the European cultural heritage ; 

to encourage transnational  cooperation  in developing new technologies for  application 
in the various heritage categories and disciplines and in preserving traditional  cultural 
heritage trades and techniques ; 

to have account taken of the heritage dimension  in other Community programmes and 
policies; to encourage  cooperation  with  third  countries  and  the  relevant  international 
organisations. 

/» 
W 

9.2. Grounds for the operation 

-  Need for  Community financial aid 

In view of  Lithuania's precarious budgetary situation, and given the priority given to participation in 
Community programmes in the context of Agenda 2000, assistance from PHARE as provided for in 
Article  110 of the Europe Agreement is essential. 

-  Choice of ways and means 

With a contribution from Lithuania's national budget, supplemented by one from PHARE, Lithuania's 
participation will contribute to getting acquainted with the internal policies and proceedings of the 
Community in the field of culture. The integration of Lithuanian nationals in Community networks will 
make a definite contribution to preparing Lithuania for future membership. 

-  Main factors of uncertainty which could affect the specific results of the operation 

Since projects will be selected according to qualitative criteria, it will only be possible to measure the real 
impact on the basis of Lithuanian entities' and citizens' capacity to respond to the calls for proposal to be 
launched by the Commission under the three programmes. 

9.3 Monitoring and evaluation of the operation 

The monitoring and evaluation procedures included in the Community's cultural programmes, will also 
cover operations financed for Lithuanian beneficiaries. 

It 

10. ADMINISTRATIVE EXPENDITURE 

The administrative resources required will actually be mobilised following the annual Commission Decision 
on the allocation of resources, taking account in particular of manpower and additional amounts granted by 
the budgetary authority. The supplementary needs can not, in any case, prejudge the decision that the 
Commission will need to take concerning: 

the request of new posts in the framework of the APB 

a) 
b)  the resources allocation 

10.1 Effect  on the number of posts (in man/years) 

Type of post 

Staff  required  to manage the 
operation 
Permanent 
posts 

Temporary 
posts 

Officials  or 
temporary 
staff 
A 
B 
C 
Other  resources 
(Technical 
assistance,  item A-
7002) 

TOTAL 

0,1 
0,05 

-

0,15 

duration 

Additional 
resources 

1998-
2000 

Source 

Existing 
resources of 
the  DG or 
department 
concerned 

0,1 
0,05 

0,0119 

0,15 

0,0119 

from 
1998 

10.2  Overall  financial  impact  of the  human  resources 

^_ 

Total 

Officials* 

4 8 . 6 00 

Temporary  staff 

Other  resources  (Technical 
assistance,  item  A-7002) 

3.570 

(in ECU) 
Method  of calculation  (total 
cost  of the  action  for the 
period  1998-2000) 
0,15 man/year  x  108.000  ECU 
x  3  years 

0,0119  man/year  x  100.000 
ECU x  3  years 

TOTAL 

1 

52.170 

| 

* By  using  existing  resources  required  to  manage  the  operation  (calculation  based  on A-l,  A-2, A-4, A-5, 
A-7). 

The  expenditure  of item  A-7002  (technical  assistance)  will be met from  the receipts (art. 
4§2,  third  indent  of the  financial  regulation)  received  from  the Lithuanian  participation 
in  Community  programmes  (see § 5.3 of the  financial  statement). 

.*5 

1Ô.3 Increase  in  other  administrative  expenditure  as  a result  of  the  operation 

Budget  heading  (No  and 
title) 

Total 

A-701  - travel  expenditure 
A-7030  - meetings  in 
general 

A-7031  -  compulsory 
meetings 
Total 

1 

2.572  | 

(in ECU) 

Method  of  calculation  (total 
cost  of  the  action  for  the 
period  1998-2000) 

2.572  Participation of  Lithuanian 

experts in 3  meetings  (857  ECU x 
3) 

The above expenditure will be met from the receipts (article 4§2, third indent of the financial regulation) received 
from Lithuanian participation in Community Programmes (see § 5.3 of the financial statement). 

p 

Proposal for a 
Council  Decision 
of... 

concerning  the  Community  position  within  the  Association  Council  on  the 
participation  of Poland  in the Community  programmes  in the field  of culture. 

%  |ovSO  &LHS) 

THE COUNCIL OF THE EUROPEAN  UNION, 

Having  regard  to  the  Treaty  establishing  the  European  Community,  and  in  particular 
Article  128, paragraph 3, in conjunction  with Article 228, paragraph 3,  1st alinéa thereof, 

Having regard to the proposal from  the Commission, 

Having regard to the opinion of the European  Parliament, 

Whereas  the  Additional  Protocol  to  the  Europe  Agreement  establishing  an  association 
between  the  European  Communities  and  their  Member  States,  of  the  one  part,  and 
Poland, of the other part, entered  into force on  1  March  1997. 

Whereas  according  to  Article  1  of  the  Additional  Protocol,  Poland  may  participate  in 
Community  framework  programmes,  specific  programmes,  projects  or  other  actions 
notably in the field of culture  and,  pursuant  to  Article 2, the terms  and  conditions for  the 
participation  of  Poland  in  the  activities  referred  to  in  Article  1  shall  be  decided  by  the 
Association Council, 

Whereas,  Decision  No  719/96/EC  of the  European  Parliament  and  of  the  Council  of  29 
March  1996  establishing  a programme  to  support  artistic  and  cultural  activities  having  a 
European  dimension  (hereinafter  called  "Kaleidoscope")1  and  in  particular  Article  4 
thereof,  Decision  No  2085/97/EC  of  the  European  Parliament  and  of  the  Council  of  6 
October  1997  establishing  a  support  programme  in  the  fields  of  books  and  reading 
(hereinafter  called  "Ariane")2  and  in  particular  Article  4  thereof,  and  Decision  No 
2228/97/EC  of  the  European  Parliament  and  of  the  Council  of  13  October  1997 
adopting  a programme in the field of cultural  heritage  (hereinafter  called  "Raphael")3  and 
in  particular  Article  6  thereof,  provide  that  these  programmes  shall  be  open  to  the 
participation  of associated  Central  European  countries  in accordance  with  the  conditions 
set  out  in  the  Additional  Protocols  to  the  Association  Agreements  on  participation  in 
Community programmes. 

HAS DECIDED AS FOLLOWS: 

1 OJ No L 99/20 of 20.4.96 
2 OJ No L 291/26 of 24.10.97 
3 OJ No L 305/31 of 08.11.97 

*1 

The position to be taken by the Community within the Association  Council  established by 
the Europe  Agreement  between  the European  Communities  and their Member  States,  of 
the  one  part,  and  Poland,  of  the  other  part,  concerning  the  participation  of  Poland  in 
Community  Programmes  in  the  field  of  culture,  is  that  set  out  in  the  attached  draft 
decision of the Association Council. 

Done at Brussels, 

For the Council, 

Î2 

1998 
Draft  Decision  n°..../98  of  the  EC-Poland  Association  Council  of...... 
adopting  the  terms  and  conditions  for  the  participation  of  Poland  in  Community 
Programmes  in the field  of culture. 

The ASSOCIATION  COUNCIL 

Having regard to the Europe Agreement  establishing an association between the European 
Communities and their Member  States, of the one part, and Poland of the other part,1 

Having  regard  to  the  Additional  Protocol  to  the  Europe  Agreement  establishing  an 
association  between the European  Communities and their Member  States, of the one part, 
in  Community 
and  Poland,  of  the  other  part,  concerning  Poland's  participation 
programmes2, and in particular Article  1  and 2 thereof, 

Whereas according to Article  1 of the said Additional  Protocol,  Poland  may participate in 
Community  framework  programmes,  specific  programmes,  projects  or  other  Community 
actions notably in the field of culture, 

Whereas  according  to  Article  2  of the  said  Additional  Protocol  the  terms  and  conditions 
for the participation of Poland in the activities referred  to in Article  1 are to be decided by 
the Association Council, 

HAS DECIDED AS FOLLOWS: 

Article  1 

Poland  shall  participate  in  the  European  Community  programmes  Kaleidoscope,  Ariane 
and Raphael  according to the terms and  conditions  set out  in Annexes I and II which shall 
form  an integral part of this Decision. 

Article  2 

This Decision  shall apply for the duration  of the Programmes. 

Article  3 

This Decision shall enter into force on the first day of the month following  its adoption. 

Done at 

The Chairman 

For the Association  Council 

'  OJN°L348of31.12.1993 
2  OJN°L317of30.12.95 

«3 

ANNEX I 

Terms and conditions for the participation  of Poland  in the Programmes 
Kaleidoscope, Ariane and  Raphael. 

1. 
Poland  shall  participate  in  all  activities  of  the  programmes  Kaleidoscope,  Ariane 
and  Raphael  (hereinafter  called  "the  Programmes")  in  conformity,  unless  otherwise 
provided  in  this  Decision,  with  the  objectives,  criteria,  procedures  and  timelimits  laid 
down  in  Decision  No  719/96/EC  of  the  European  Parliament  and  of  the  Council  of  29 
March  1996  establishing  a programme  to  support  artistic  and  cultural  activities  having  a 
European  dimension  (hereinafter  called "Kaleidoscope"), Decision No  2085/97/EC of the 
European  Parliament  and  of  the  Council  of  6  October  1997  establishing  a  support 
programme  in the fields of books  and  reading  (hereinafter  called  "Ariane")  and  Decision 
No  2228/97/EC  of  the  European  Parliament  and  of  the  Council  of  13  October  1997 
adopting a programme in the field of cultural heritage (hereinafter  called "Raphael"). 

2. 
The  terms  and  conditions  for  the  submission,  assessment  and  selection  of 
applications related to eligible institutions, organisations and individuals of Poland  shall be 
the  same  as  those  applicable  to  eligible  institutions,  organisations  and  individuals  of  the 
Community. 

3. 
To  ensure  the  Community  dimension  of  the  Programmes,  transnational  projects 
and  activities  proposed  by  Poland  will  be  required  to  include  a  minimum  number  of 
partners  from  the  Member  States  of  the  Community.  This  minimum  number  will  be 
decided  in the framework  of the  implementation  of the Programmes,  taking  into  account 
the  nature  of  the  various  activities,  the  number  of  partners  in  a  given  project,  and  the 
number of countries participating in the Programmes. 

4. 
Poland  will  pay  each  year  a  contribution  to  the  general  budget  of  the  European 
Communities  to  cover  the  costs  resulting  from  its  participation  in  the  Programmes  (see 
Annex  II).  The  Association  Committee  is  entitled  to  adapt  this  contribution  whenever 
necessary. 

The Member  States  of the  Community  and  Poland  will  make  every  effort,  within 
5. 
the framework  of the existing provisions, to  facilitate  the free  movement  and residence  of 
all eligible persons to the Programmes  moving between  Poland  and the Member  States of 
the Community for the purpose of participating in activities covered by the Decision. 

6. 
Without  prejudice  to  the  responsibilities  of  the  Commission  and  the  Court  of 
Auditors  of the European  Community  in relation  to  the monitoring  and  evaluation  of the 
programmes  pursuant  to  the  Decisions  concerning  Kaleidoscope,  Ariane  and  Raphael 
(Articles  8, 8 and  10 respectively), the participation  of Poland  in the Programmes will be 
continuously  monitored  on  a  partnership  basis  involving  Poland  and  the  Commission  of 
the European  Communities.  Poland  will  submit  the  necessary  reports  to  the  Commission 
and take part in other specific activities set out by the Community in that  context. 

7. 
Without  prejudice  to  the  procedures  referred  to  in  Article  5  of  the  Decision  on 
Kaleidoscope,  Article  5  of  the  Decision  on  Ariane  and  Article  7  of  the  Decision  on 
g* 

Raphael, Poland will be invited to any co-ordination meetings on questions concerning the 
implementation  of  this  Decision  prior  to  the  regular  meetings  of  the  Programme 
Committees.  The  Commission  will  inform  Poland  about  the  results  of  such  regular 
meetings. 

The language to be used  as regards the" application  process,  contracts,  reports to 
8. 
be  submitted  and other administrative  arrangements  for  the Programmes,  will  be  one  of 
the official  languages of the Community. 

£5 

ANNEX II 

FINANCIAL CONTRIBUTION OF POLAND TO KALEIDOSCOPE, ARIANE 
AND RAPHAEL 

1. The financial contribution of Poland will cover; 

-  financial  support from the Programmes to Polish participants, 
-  supplementary costs of an administrative nature related  to the management of 
the Programmes by the Commission stemming from Poland's participation. 

2.  For every financial year, the aggregated amount of subsidies or any other financial 
support received from the Programmes by the Polish beneficiaries will not exceed the 
contribution  paid  by  Poland,  after  deduction  of  the  supplementary  costs  of  an 
administrative nature. 

Should  the  contribution  paid  by  Poland  to  the  general  budget  of  the 
European  Communities,  after  deduction  of  the  supplementary  costs  of  an 
administrative  nature,  be  higher  than  the  aggregated  amount  of  subsidies  or  other 
financial  support  received  by  the  Polish  beneficiaries  from  the  Programmes,  the 
Commission  will transfer  the balance to  the  next  budgetary  exercise,  and it  will be 
deducted from the following year's contribution.  Should such a balance be left when 
the Programmes  come to  an end,  the  corresponding  amount  will  be  reimbursed  to 
Poland. 

3.  Kaleidoscope 

Poland's annual contribution will be of ECU 266.284 from 1998.  From this sum, 
an amount of ECU 17.420 will cover supplementary costs of an administrative nature 
related  to  the  management  of  the  Programme  by  the  Commission  stemming from 
x Poland's participation. 

4. Ariane 

Poland's annual contribution will be of ECU 75.649 from  1998.  From this sum, an 
amount  of ECU  4.949  will  cover  supplementary  costs  of  an  administrative  nature 
related  to  the  management  of the Programme  by  the  Commission  stemming  from 
Poland's participation. 

5. Raphael 

Poland's annual contribution will be of ECU 326.804 from  1998.  From this sum, an 
amount  of ECU 21.380 will cover  supplementary  costs of an administrative  nature 
related  to  the  management  of the  Programme  by  the  Commission  stemming  from 
Poland's participation. 

6. The financial  regulations applicable to  the general  budget  of the Community will 
apply, notably to the management of the contribution of Poland. 

Upon  entry  into force  of this Decision  and at the beginning of each following  year, 
the Commission will send to Poland a call for funds  corresponding to its contribution 
to the costs under this Decision. 

This contribution will be expressed in ECU and paid into an ECU bank account of the 
Commission. 

Poland will pay its contribution to the annual costs under this Decision  according to 
the call  for funds and at the  latest  three  months after  the call  for  funds  is  sent.  Any 
delay in the payment of the contribution shall give  rise to the payment  of interest by 
Poland on the outstanding amount from the due date. The interest rate corresponds to 
the rate applied by the European Monetary  Co-operation Fund, for the month of the 
due date, for its operations in ECU, increased by 1,5 percentage points. 

7. Poland will  pay the supplementary  costs  of an administrative nature referred to in 
paragraphs 3, 4 and 5 from its national budget. 

8. 
Poland  shall  pay  3%,  13%  and  23%  of  the  remaining  cost  of  its 
participation  in  the  programmes  from  its  national  budget  of  1998,  1999  and  2000 
respectively. 

Subject to the regular PHARE programming procedures, the remaining 97%, 87% 
and 77% will be paid from Poland's annual PHARE National  Indicative Programmes 
of 1998,  1999 and 2000 -  subject to the availability in 2000 of the relevant budgetary 
appropriations. 

?7 

FINANCIAL  STATEMENT 

1. TITLE OF OPERATION 

Opening of Community Programmes in the field of culture to Poland 

2. BUDGET HEADING  INVOLVED 

B7-503 - Opening of Community Programmes to the associated countries of Central 
Europe 

3. LEGAL  BASIS 

Treaty establishing the European Community, and in particular Article  128, paragraph  3, in 
conjunction  with Article 228, paragraph  3, 1st alinéa thereof, 

Additional Protocol to the Europe Agreement with Poland (Articles 228 and 238), providing  for 
the opening-up of Community programmes (OJ 317 of 30.12.1995), entered into force on  1 March 
1997, 

Decision No 719/96/EC of the European Parliament and of the Council of 29 March  1996 establishing a 
programme  to support artistic and cultural activities having a European dimension ("Kaleidoscope") and 
in particular Article 4 thereof, 

Decision No  2085/97/EC of the European Parliament and of the Council of 6 October 1997 establishing a 
support programme in the fields of books and reading ("Ariane") and in particular Article 4 thereof, 

Decision No 2228/97/EC of the European Parliament and of the Council of 13 October 1997 adopting a 
programme in the field of cultural heritage ("Raphael") and in particular Article 6  thereof, 

4. DESCRIPTION  OF OPERATION: 

4.1 General  objective 

Poland's participation  in the three Community programmes  in the field of culture will come in 
addition to those Community programmes in which it already participates, e.g. Leonardo da Vinci, 
Socrates and Youth for Europe, and will further  contribute to its preparation for accession as a key 
feature of a reinforced  pre-accession  strategy. It will also enable Poland to familiarise  itself with 
the procedures and methods used in these Community programmes. 

The decision-making process for the opening-up of programmes involves a decision by the 
Association  Council between the Union and the associated country. This decision also lays down 
the practical arrangements  for opening up the programmes. 

-The Additional Protocol with Poland entered into force on  1  March  1997  and provides  for 
Poland's participation  in a wide range of areas, amongst which culture. 

Other Community programmes, notably in the audiovisual sector, health and social policy, SMEs, 
research etc, have been or will shortly be opened up to the participation of Poland. 

it 

4.2 Period covered and arrangements for renewal 

Until the end of the Community programmes concerned, i.e. 31.12.1998 for Kaleidoscope and 
Ariane, 31.12.2000 for Raphael, or dependent on decisions taken as regards cultural programmes 
and budgets after  1999. For Raphael, both the contribution from the national budget and  from 
Phare are subject to the availability of budgetary appropriations beyond 1999. 

5. CLASSIFICATION OF EXPENDITURE OR REVENUE 

5.1 Non-compulsory expenditure 

5.2 Differentiated  appropriations 

5.3 Type of revenue involved: 

Since the first paragraph of Article 3 of the Additional Protocol stipulates that Poland itself will 
meet the costs resulting from its participation, it will be invited to transfer its contribution to item 
6091 of the EU's budget receipts. However, as the second paragraph of Article 3 states that the 
Community may supplement Poland's contribution (by up to 10% of the National Indicative 
Programme), Poland will contribute only part from its national budget, with the remainder being 
charged to heading B7-503. A transfer from the relevant PHARE appropriations (article B7-500) 
to article B7-503 will be made upon receipt of the Polish contribution. 

6. TYPE OF EXPENDITURE OR REVENUE 

100% subsidy 

subsidy for joint financing with other sources in the public and/or private sector 

no provision for all or part of the Community contribution to be reimbursed 

ARIANE 

Action 1 

Literary  translation 

-  Full cost of translators fees subject  to national standard  payment  practice 

Translation  of theatrical  works 

-  up to 3500 ECU per translator and per translation 

Translation of reference  works 

-  up to  100% of translation  costs if commercial  work 
-  3.500 ECU per translator and per translation  if not commercial 

.Iff 
ft 

Action 2 

Cooperation projects 

-  up to 25% total costs of the project and maximum 50 000 ECU 
(if  the  project  includes  arrangement  for  wider  dissemination  of  the  results  an 
additional  contribution  may be granted to  cover  up to  50% of the  costs  of such 
measures and up to 20.000 ECU can be granted 

Action 3 

Further training 

-  grants to cover travelling expenses and further training costs up to a maximum 

of 50.000 ECU 

KALEIDOSCOPE 

Action 1 

-  may not exceed 25% of total project costs or 50 000 ECU 
- 

in  cases  where  project  includes  improving  professional  skills  or  increasing 
cultural dissemination additional money can be given for that section - 50% or 
up to 20000 ECU 

-  for  projects  concerned  purely with training,  support  may cover up to  50% of 

the total project costs, up to a maximum of 50.000 ECU. 

Action 2 

-  up to 25% of total costs 

RAPHAEL 

Action  1  -  "Conservation,  safeguarding  and  development  of  the  European  cultural 
heritage through European cooperation" 

-  may not exceed 50% of the total costs of the project or 250.000 ECU 

Action  2  -  "Cooperation  for  the  exchange  of  experiences  and  the  development  of 
techniques applied to heritage" 

-  may not exceed 50% of the total cost of the project  or 50.000 ECU, except in 
certain cases for  which Community contributions  may be up to  150.000 ECU 
or 100.000 ECU 

Action 3 - "Public access to, participation in and awareness of the cultural heritage" 

-  may not exceed 50% of the total costs of the project  or 50.000 ECU, except in 
certain cases for which Community contribution may be up to 150.000 ECU 

Action 4 - "Cooperation with third countries and international organisations" 

-  support for cooperation with third countries is covered by actions 1,2,3 
-  support for international organisations will be decided on an individual basis in 

accordance with Article 7(3) of the Decision. 

J* 

As far as revenue is concerned, provision for Poland's contribution to cover the cost of its 
participation is made under item 6091. The revenue will be allocated to the items for 
expenditure on the programmes concerned and, where appropriate, to the relevant items 
of operating expenditure. 

The total revenue expected is given under item 7.4. 

>2f 

7. FINANCIAL IMPACT 

7.1  Method of calculating total cost of operation for  1998, 1999 and 2000 financial years (link 

between individual costs and total cost) 

The calculation is based on the following preconditions: 

-  Poland's contribution to the financing of the activities referred to in the Protocol is calculated 
according to the principle that the country bears the cost of participation itself. Heading 6091 
has been created in the statement of budget revenue for that purpose; 

- 

the Community may decide on a case-by-case basis to pay a supplement to the Poland's 
contribution. The supplement may be in the form of a contribution under the national PHARE 
programme. 

Based on the Additional Protocol with Poland, the financial and budgetary arrangements for the 
three programmes concerned are as follows: the costs have been calculated on the basis of various 
parameters inherent in the three programmes, i.e. GDP per capita as weighted with PPP 
(purchasing power parities). 

The cost of Poland's participation in Kaleidoscope in 1998 will be ECU 266.284. 

For Ariane the cost will be ECU 75.649 in 1998. 

For Raphael the annual cost will be ECU 326.804 in 1998, 1999 and 2000. 

The above-mentioned figures, from which the supplementary costs of an administrative nature 
amounting to 43.749 ECU in 1998, 21.380 ECU in 1999 and 21.380 ECU in 2000 and to be borne 
exclusively by Poland have to be deducted, are divided per year and per programme as follows: 
Poland shall pay 3%,  13% and 23% of the cost of its participation in the programmes from its 
national budget of 1997, 1998 and 2000 respectively; subject to the proceedures for  programming 
the PHARE programme, the remaining 97%, 87% and 77% will be paid from Poland's annual 
PHARE National Indicative Programmes of 1997, 1998 and 2000 subject to the availability in 
2000 of the relevant budgetary appropriations. 

7.2  Itemised breakdown of cost in ECU 

Programme 

1998 

1999 

2000 

Total 

of which 
Poland 

Kaleidoscope 

248.864 

n.a. 

248.864 

7.466 

of which 
Phare 
241.398 

Ariane 

Raphael 

70.700 

n.a. 

70.700 

2.121 

68.579 

305.424 

305.424 

305.424 

916.272 

119.116 

797.156 

n.a. 

n.a. 

Total 

624.988 

305.424 

305.424 

1.235.836 

128.703 

1.107.133 

1* 
Hi 

7.3  Operational expenditure on studies, expert meetings, etc., included in Part B: 

None 

7.4  Schedule for multiannual operations 

Amounts to be charged to item B7-503 

1998 

1999 

2000 

606.238 

265.719 

235.176 

subsequent 
years 

TOTAL 

1.107.133 

Commitment 
appropriations 
Payment 
appropriations'*1 
1998 

303.119 

1999 

303.119 

132.859,5 

2000 
subsequent  years 
Total 

132.859,5 

606.238 

265.719 

117.588 
117.588 
235.176 

(*) Schedule based on the method of payment currently applying to these programmes. 

The foreseeable annual receipts are as follows: 

303.119 

435.978,5 

250.447,5 
117.588 
1.107.133 

Item 6091 

1998 

1999 

2000 

subsequent 
years 

TOTAL 

Operational 
part 
Administrative 
part 
Total 

18.750 

39.705 

43.749 

62.499 

21.380 

61.085 

70.248 

21.380 

91.628 

128.703 

86.509 

215.212 

8.  FRAUD PREVENTION MEASURES; RESULTS OF MEASURES TAKEN 

All the Commission's contracts, agreements and other legal commitments provide for on-the-spot checks 
by the Commission and Court of Auditors. Among other things, the beneficiaries of the operations are 
obliged to file reports and financial statements. These are analysed from the point of view of their content 
and the eligibility of the expenditure in line with the objective of Community financing. 

The anti-fraud provisions of the basic budget headings apply to this heading too when adapted to the case 
of Poland. 

ft 

9.  ELEMENTS OF COST-EFFECTIVENESS ANALYSIS 

9.1.  Specific and quantified objectives; target population 

The aim of opening up Community cultural programmes to Poland is to bring it the same benefits as the 
Member States of the Community already enjoy from  the programmes. The essential aim of Community 
action in the field of culture should be to enable all European citizens to contribute to their national and 
regional cultural diversity whilst at the same time bringing the common cultural heritage to the fore. 

In  the  field  of  culture  the  principle  aim  of  the  Ariane  programme  is  to  promote  knowledge  and 
dissemination  of and public access to the written  heritage and European  literature, particularly  through 
the translation  of literature, drama  and  reference  works, support for  cooperation  projects  on books and 
reading carried out in partnership and further  training for professionals working in this field. Priority is 
also given in the programme to the less widely used languages. The specific aims are: 

to encourage cooperation between the Member states in the field of books and reading 

to support and compliment their activities in this area, by contributing to the 
development of their cultures while respecting national and regional diversity 

to  promote  a  wider  knowledge  and  circulation  of  European  Literature  among  the 
citizens of the European Union by means of: 

- assistance for the translation of literary, theatrical and reference works, 
- support for the cooperation projects implemented on a partnership basis 
- training projects for those working in this  field 

In  the field of  culture,  the  principal  aim  of  the  Kaleidoscope  programme  is  to encourage  artistic  and 
cultural  creation  and  to  promote  knowledge  and  dissemination  of  the  culture  and  cultural  life  of  the 
European peoples, by supporting projects with a European dimension. The specific aims are: 

to encourage activities involving artistic creation with a European dimension 

to support innovative cultural projects carried out by European partners from at 
least 3 different  member states, which provide a genuine added value to those 
cultural activities which are undertaken at national and regional level 

to contribute to the development of the professional  skills of artists and other cultural 
operators, in particular by supporting cultural projects, which include the 
improvement of professional skills as part of their organisation and by stepping up 
exchanges of experiences, thus facilitating greater cooperation between artists from 
various Member states 

to contribute to the mutual knowledge of European cultures by making it easier for 
different European audiences to have access to and participate in the culture and arts 
of other Member states and by facilitating inter-cultural dialogue. 

In the field of culture, the principal aim of the Raphael programme is to support and supplement, through 
cooperation,  the  action  taken  by  Member  States  in  the  field  of  cultural  heritage  (moveable  and 
immoveable heritage). The specific aims are : 

to encourage the conservation  and restoration of aspects of the cultural  heritage which 
are of European importance, helping to develop and promote them ; 

to encourage the development of transnational  cooperation between  institutions and/or 
operators in the cultural heritage field, in order to contribute to the pooling of skills and 
the development of best practice in the preservation of the cultural heritage; 

to improve access to the cultural heritage in its European dimension and encourage the 
active participation of the general public, in particular children, young people, the under 
privileged  and  those  living  in  the outlying  and  rural  areas  of the  Community,  in  the 
safeguarding and development of the European cultural heritage ; 

to encourage transnational  cooperation  in developing new technologies for  application 
in the various heritage categories and disciplines and in preserving traditional  cultural 
heritage trades and techniques ; 

to have account taken of the heritage dimension in other Community programmes 
and policies; to encourage cooperation with third countries and the relevant 
international organisations. 

9.2. Grounds for the operation 

-  Need for Community financial aid 

In view of  Poland's precarious budgetary situation, and given the priority given to participation in 
Community programmes in the context of Agenda 2000, assistance from PHARE as provided for in 
Article 3(2) of the Additional Protocol is essential. 

-  Choice of ways and means 

With a contribution from Poland's national budget, supplemented by one from PHARE, Poland's 
participation will contribute to getting acquainted with the internal policies and proceedings of the 
Community in the field of culture. The integration of Polish nationals in Community networks will make 
a definite contribution to preparing Poland for future membership. 

-  Main factors of uncertainty which could affect the specific results of the operation 

Since projects will be selected according to qualitative criteria, it will only be possible to measure the real 
impact on the basis of Polish entities' and citizens' capacity to respond to the calls for proposal to be 
launched by the Commission under the three programmes. 

9.3 Monitoring and evaluation of the operation 

The monitoring and evaluation procedures included in the  Community's cultural programmes, will also 
cover operations financed for Polish beneficiaries. 

10. ADMINISTRATIVE EXPENDITURE 

The administrative resources required will actually be mobilised following the annual Commission Decision 
on the allocation of resources, taking account in particular of manpower and additional amounts granted by 
the budgetary authority. The supplementary needs can not, in any case, prejudge the decision that the 
Commission will need to take concerning: 

the request of new posts in the framework of the APB 

a) 
b)  the resources allocation 

10.1 Effect  on the number of posts (in man/vears) 

Type  of  post 

StafT required  to  manage  the 
operation 
Permanent 
posts 

Temporary 
posts 

duration 

1998-2000 

Additional 
resources 

Source 

Existing 
resources  of 
the  DG or 
department 
concerned 

Officials  or 
t e m p o r a ry 
staff 
A 
B 
C 
Other  resources 
(Technical 
assistance,  Item A-
7002) 

'  0,2 
0,1 

0,2 
0,1 

0 , 2 16 

TOTAL 

0,3 

0,3 

0 , 2 16 

from 
1 9 98 

10.2  Overall  financial  impact  of  the  additional  human  resources 

Total 

Officials  * 

9 7 . 2 00 

Temporary  staff 

(in ECU) 

Method  of  calculation  (total 
cost  of  the  action  for  the 
period  1998-2000) 
0,3  man/year  x  108.000  ECU  x 
3  years 

Other  resources  (Technical 
assistance,  item A-7002) 

6 4 . 7 97 

0,216  man/year  x  100.000 
ECU x  3  years  = rounddown  to 
64.797 

TOTAL 

1 

161.997 

| 

* By using  existing  resources  required  to manage  the  operation  (calculation  based  onA-1,  A-2, A-4, A-5, 
A-7). 

The  expenditure  of item  A-7002  (technical  assistance)  will be  met  from  the  receipts  (art. 
4§2,  third  indent  of the  financial  regulation)  received  from  the  Polish  participation  in 
Community  programmes  (see § 5.3  of the  financial  statement). 

A* 

10.3  Increase  in  other  administrative  expenditure  as  a  result  of  the  operation 

Budget  heading  (No  and 
title) 

Total 

A-701  - travel  expenditure 
A-7030  -  meetings  in 
general 
A-7031  -  compulsory 
meetings 
Total 

1 

21.712  | 

(in  ECU) 

Method  of  calculation  (total 
cost  of  the  action  for  the 
period  1998-2000) 

8.000  1.000 ECU x  8  missions 

13.712  Participation  of 2  Polish  experts 
in  8  meetings  (857  ECU x  8  x 2) 

The above expenditure will be met from the receipts (article 4§2, third indent of the financial regulation) received 
from the Polish participation in Community Programmes (see § 5.3 of the financial statement). 

Hi 

Proposai for a 
Council  Decision 
of... 

concerning  the  Community  position  within  the  Association  Council  on  the 
participation  of Romania  in the Community programmes in the field  of culture. 

^ É |O  I SI  CCM^) 

THE COUNCIL OF THE EUROPEAN UNION, 

Having  regard  to  the  Treaty  establishing  the  European  Community,  and  in  particular 
Article  128^ paragraph 3, in conjunction  with Article 228, paragraph 3,  1st alinéa thereof, 

Having regard to the proposal from  the Commission, 

Having regard to the opinion of the European  Parliament, 

Whereas  the  Additional  Protocol  to  the  Europe  Agreement  establishing  an  association 
between  the  European  Communities  and  their  Member  States,  of  the  one  part,  and 
Romania, of the other part, entered into force on  1 August  1996? 

Whereas  according  to  Article  1 of  the  Additional  Protocol,  Romania  may  participate  in 
Community  framework  programmes,  specific  programmes,  projects  or  other  actions 
notably in the field of culture  and,  pursuant  to  Article 2, the terms  and  conditions for  the 
participation  of Romania  in the  activities  referred  to  in  Article  1 shall  be  decided  by  the 
Association  Council, 

Whereas, Decision  No  719/96/EC  of the European  Parliament  and  of the  Council  of  29 
March  1996  establishing  a programme  to  support  artistic  and  cultural  activities  having  a 
European  dimension  (hereinafter  called  "Kaleidoscope")1  and  in  particular  Article  4 
thereof,  Decision  No  2085/97/EC  of  the  European  Parliament  and  of  the  Council  of  6 
October  1997  establishing  a  support  programme  in  the  fields  of  books  and  reading 
(hereinafter  called  "Ariane")2  and  in  particular  Article  4  thereof,  and  Decision  No 
2228/97/EC of the European  Parliament  and of the Council  of  13 October  1997  adopting 
a  programme  in  the  field  of  cultural  heritage  (hereinafter  called  "Raphael")3  and  in 
particular  Article  6 
thereof,  provide  that  these  programmes  shall  be  open  to  the 
participation  of associated  Central  European  countries  in  accordance  with  the  conditions 
set  out  in  the  Additional  Protocols  to  the  Association  Agreements  on  participation  in 
Community programmes. 

'OJ No L 99/20 of 20.4.96 
2 OJ No L 291/26 of 24.10.97 
3 OJ No L 305/3 lof 08.11.97 

HAS DECIDED AS FOLLOWS: 

The position to be taken by the Community within the Association Council established by 
the Europe Agreement between the European Communities  arid their Member  States,  of 
the one part, and Romania,  of the other part,  concerning  the participation  of Romania in 
Community  Programmes  in  the  field  of  culture,  is  that  set  out  in  the  attached  draft 
decision of the Association Council. 

Done at Brussels, 

For the Council, 

X 

Draft  Decision  n°..../98  of  the  EC-Romania  Association  Council  of. 
1998 
adopting  the  terms and  conditions  for the  participation  of Romania  in  Community 
Programmes in the field of culture. 

The ASSOCIATION  COUNCIL 

Having regard to the Europe Agreement establishing an association between the European 
Communities and their Member  States, of the one part, and Romania of the other part,1 

Having  regard  to  the  Additional  Protocol  to  the  Europe  Agreement  establishing  an 
association between the European  Communities and their Member  States, of the one  part, 
and  Romania,  of  the  other  part,  concerning  Romania's  participation  in  Community 
programmes2,  and in particular Article  1 and 2 thereof, 

Whereas according to  Article  1 of the  said  Additional  Protocol,  Romania may  participate 
in  Community  framework  programmes,  specific  programmes,  projects  or  other 
Community actions notably in the field of culture, 

Whereas  according  to  Article  2  of the  said  Additional  Protocol  the terms  and  conditions 
for  the participation  of Romania in the activities referred  to in Article  1 are to be  decided 
by the Association Council, 

HAS DECIDED AS FOLLOWS: 

Article  J 

Romania  shall participate  in the European  Community  programmes Kaleidoscope,  Ariane 
and Raphael  according to the terms and conditions set out in Annexes I and II which shall 
form an integral part of this Decision. 

Article 2 

This Decision  shall apply for the duration  of the Programmes. 

Article 3 

This Decision shall enter into force  on the first day of the month following  its adoption. 

Done at 

The Chairman 

For the Association Council 

1  OJN°L 357 of 31.12.94 
2  OJN°L317of30.12.1995 

/too 

ANNEX I 

Terms and conditions for the participation of Romania in the Programmes 
Kaleidoscope, Ariane and Raphael. 

1. 
Romania shall participate in all activities of the programmes Kaleidoscope, Ariane 
and  Raphael  (hereinafter  called  "the  Programmes")  in  conformity,  unless  otherwise 
provided  in  this  Decision,  with  the  objectives,  criteria,  procedures  and  timelimits  laid 
down  in Decision No 719/96/EC of the European  Parliament  and  of the  Council  of 29 
March  1996 establishing a programme to  support  artistic and cultural  activities having a 
European dimension (hereinafter  called "Kaleidoscope"), Decision No 2085/97/EC of the 
European  Parliament  and  of the  Council  of  6  October  1997 
establishing  a  support 
programme in the fields of books and reading (hereinafter  called "Ariane")  and Decision 
No  2228/97/EC  of the  European  Parliament  and  of  the  Council  of  1.3  October  1997 
adopting a programme in the field of cultural heritage (hereinafter called "Raphael"). 

The  terms  and  conditions  for  the  submission,  assessment  and  selection  of 
2. 
applications related to eligible institutions, organisations and individuals of Romania shall 
be the same as those applicable to eligible institutions, organisations and individuals of the 
Community. 

3. 
To  ensure the  Community  dimension  of  the  Programmes,  transnational  projects 
and  activities  proposed  by Romania  will  be  required  to  include  a  minimum  number  of 
partners  from  the  Member  States  of  the  Community.  This  minimum  number  will  be 
decided in the framework  of the implementation  of the Programmes, taking into account 
the  nature  of the  various  activities,  the  number  of  partners  in  a given  project,  and  the 
number of countries participating in the Programmes. 

4. 
Romania will pay each year a contribution to the general budget  of the European 
Communities to  cover the costs resulting from  its participation  in the Programmes  (see 
Annex  II).  The Association  Committee  is entitled  to  adapt  this  contribution  whenever 
necessary. 

5. 
The Member States of the Community and Romania will make every effort, within 
the framework  of the existing provisions, to facilitate the free movement and residence of 
all eligible persons to the Programmes moving between Romania and the Member States 
of the Community for the purpose of participating in activities covered by the Decision. 

6.  Without  prejudice  to  the  responsibilities  of  the  Commission  and  the  Court  of 
Auditors of the European Community in relation to the monitoring and evaluation of the 
programmes  pursuant  to  the  Decisions  concerning  Kaleidoscope,  Ariane  and  Raphael 
(Articles 8, 8 and 10 respectively), the participation of Romania in the Programmes will be 
continuously monitored on a partnership basis involving Romania and the Commission of 
the European Communities. Romania will submit the necessary reports to the Commission 
and take part in other specific activities set out by the Community in that context. 

7.  Without  prejudice  to  the procedures  referred  to  in Article  5 of the Decision on 
Kaleidoscope,  Article  5  of  the  Decision  on  Ariane  and  Article  7  of  the  Decision  on 

X 
AO-i 

Raphael, Romania will  be invited to  any co-ordination  meetings on questions  concerning 
the  implementation  of  this  Decision  prior  to  the  regular  meetings  of  the  Programme 
Committees.  The  Commission  will  inform  Romania  about  the  results  of  such  regular 
meetings. 

The language to be used  as regards the application  process,  contracts,  reports to 
8. 
be  submitted  and other administrative  arrangements for  the Programmes,  will  be  one  of 
the official languages of the Community. 

A.01 

ANNEX II 

FINANCIAL CONTRIBUTION OF ROMANIA TO KALEIDOSCOPE, ARIANE 
AND RAPHAEL 

1. The financial contribution of Romania will cover; 

-  financial  support from the Programmes to Romanian participants, 
-.  supplementary costs of an administrative nature related to the management of 
the Programmes by the Commission stemming from Romania's participation. 

2.  For every financial year, the aggregated amount of subsidies or any other  financial 
support received from the Programmes by the Romanian beneficiaries will not exceed 
the  contribution  paid  by  Romania,  after  deduction  of  supplementary  costs  of  an 
administrative nature. 

Should  the  contribution  paid  by  Romania  to  the  general  budget  of  the 
European  Communities,  after  deduction  of  the  supplementary  costs  of  an 
administrative  nature,  be  higher  than  the  aggregated  amount  of  subsidies  or  other 
financial  support  received  by the Romanian beneficiaries  from  the Programmes, the 
Commission  will transfer  the balance to  the  next  budgetary  exercise,  and  it  will be 
deducted from the following year's contribution.  Should such a balance be left when 
the Programmes  come to  an  end, the  corresponding  amount  will  be  reimbursed  to 
Romania. 

3.  Kaleidoscope 

Romania's annual contribution will be of ECU 129.188 from 1998. From this sum, 
an  amount  of ECU  8.452 will  cover  the  supplementary  costs  of  an  administrative 
nature related to the management  of the Programme by the Commission  stemming 
from  Romania's participation. 

4. Ariane 

Romania's annual contribution will be of ECU 36.701  from  1998. From this sum, an 
amount of ECU 2.401 will cover the supplementary costs of an administrative nature 
related  to  the  management  of the Programme  by  the  Commission  stemming from 
Romania's participation. 

5. Raphael 

Romania's annual contribution will be of ECU  158.548  from  1998. From this sum, 
an amount of ECU  10.372  will cover the supplementary costs of an administrative 
nature related to the management  of the Programme by the Commission  stemming 
from  Romania's participation. 

6. The financial  regulations  applicable to the general budget  of the Community will 
apply, notably to the management of the contribution of Romania. 

Upon  entry into force  of this Decision  and at the beginning of each following  year, 
the  Commission  will  send  to  Romania  a  call  for  funds  corresponding  to  its 
contribution to the costs under this Decision. 

X 

This contribution will be expressed in ECU and paid into an ECU bank account of the 
Commission. 

Romania will pay its contribution to the annual costs under this Decision according to 
the call for funds and at the latest three months  after the call  for  funds  is  sent.  Any 
delay in the payment of the contribution shall give rise to the payment of interest by 
Romania on the outstanding amount from the due date. The interest rate corresponds 
to  the rate applied by the European Monetary  Co-operation Fund,  for the month  of 
the due date, for its operations in ECU, increased by 1,5 percentage points. 

7. 

Romania will pay the supplementary costs of an administrative nature 

referred to in paragraphs 3, 4 and 5 from its national budget. 

8. 

Romania will pay the remaining cost of its participation as follows: 

Ariane 

8.1 
In 1998, ECU 17.150 from its national budget and ECU  17.150 from its Phare 
allocation. 

8.2 

Kaleidoscope 

In 1998, ECU 60.368 from its national budget and ECU 60.368 from its Phare 
allocation. 

8.3 

Raphael 

In 1998, ECU 59.270 from its national budget and ECU 88.906 from its Phare 
allocation. 

In 1999, ECU 73.908 from its national budget and ECU 73.908 from its Phare 
allocation. 

In 2000, ECU 88.906 from its national budget and ECU 59.270 from its Phare 
allocation. 

8.4 

The Phare contribution is subject to regular Phare programming 
procedures. 

Aoli 

FINANCIAL  STATEMENT 

1. TITLE OF OPERATION 

Opening of Community Programmes in the field of culture to Romania 

2. BUDGET HEADING  INVOLVED 

B7-503 - Opening of Community Programmes to the associated countries of Central 
Europe 

3. LEGAL  BASIS 

Treaty establishing the European Community, and in particular Article  128, paragraph 3, in 
conjunction  with Article 228, paragraph 3, 1st alinéa thereof, 

Additional Protocol to the Europe Agreement with Romania (Articles 228 and 238), providing for 
the opening-up of Community programmes (OJ No L 317 of 30.12.1995), entered into force on 1 
August  1996, 

Decision No 719/96/EC of the European Parliament and of the Council of 29 March 1996 establishing a 
programme  to support artistic and cultural activities having a European dimension ("Kaleidoscope") and 
in particular Article 4 thereof, 

Decision No 2085/97/EC of the European Parliament and of the Council of 6 October  1996 establishing a 
support programme in the fields of books and reading ("Ariane") and in particular Article 4 thereof, 

Decision No 2228/97/EC of the European Parliament and of the Council of 13 October 1997 adopting a 
programme in the field of cultural heritage ("Raphael") and in particular Article 6 thereof, 

4. DESCRIPTION  OF  OPERATION: 

4.1 General  objective 

Romania's participation in the three Community programmes in the field of culture will come in 
addition to those Community programmes in which it already participates, e.g. Leonardo da Vinci, 
Socrates and Youth for Europe, and will further  contribute to its preparation for accession as a key 
feature  of a reinforced  pre-accession strategy. It will also enable Romania to familiarise  itself with 
the procedures and methods used in these Community programmes. 

The decision-making process for the opening-up of programmes involves a decision by the 
Association  Council between the Union and the associated country. This decision also lays down 
the practical arrangements for opening up the programmes. 

The Additional Protocol with Romania entered into force on  1  August  1996 and provides  for 
Romania's participation  in a wide range of areas, amongst which culture. 

Other Community programmes, notably in the audiovisual sector, health and social policy, SMEs, 
research etc, have been or will shortly be opened up to the participation of Romania. 

AO5 

4.2 Period covered and arrangements for renewal 

Until the end of the Community programmes concerned, i.e. 31.12.1998 for Kaleidoscope and 
Ariane, 31.12.2000 for Raphael, or dependent on decisions taken as regards cultural programmes 
and budgets after  1999. For Raphael, both the contribution from the national budget and  from 
Phare are subject to the availability of budgetary appropriations beyond 1999. 

5. CLASSIFICATION OF EXPENDITURE OR REVENUE 

5.1 Non-compulsory expenditure 

5.2 Differentiated  appropriations 

5.3 Type of revenue involved: 

Since the first paragraph of Article 3 of the Additional Protocol stipulates that Romania itself will 
meet the costs resulting from its participation, it will be invited to transfer its contribution to item 
6091 of the EUs budget receipts. However, as the second paragraph of Article 3 states mat the 
Community may supplement Romania's contribution (by up to  10% of the National Indicative 
Programme), Romania will contribute only  part from its national budget, with the remainder being 
charged to heading B7-503. A transfer from the relevant PHARE appropriations (article B7-500) 
to article B7-503 will be made upon receipt of the Romanian contribution. 

6. TYPE OF EXPENDITURE OR REVENUE 

100% subsidy 

subsidy for joint financing with other sources in the public and/or private sector 

no provision for all or part of the Community contribution to be reimbursed 

ARIANE 

Action 1 

Literary translation 

-  Up to full cost of translators fees subject to national standard payment practice 

Translation of theatrical works 

-  up to 3500 ECU per translator and per translation 

Translation of reference works 

-  up to 100% of translation costs if commercial work 

-  3.500 ECU per translator and per translation if not commercial 

Action 2 

Cooperation and training projects 

-  up to 25% total costs of the project and maximum 50 000 ECU 

Ao6 

(if the project  includes arrangement  for  wider dissemination  of the results  an  additional 
contribution may be granted to cover up to 50% of the costs of such measures and up to 
20.000 ECU can be granted) 

Action 3 

Further training 

-  grants to cover travelling expenses and further training costs up to a maximum 50.000 

ECU 

KALEIDOSCOPE 

Action 1 

-  may not exceed 25% of total project costs or 50 000 ECU 
- 

in  cases  where  project  includes  improving  professional  skills  or  increasing  cultural 
dissemination  additional  money can be given for  that  section  -  50% or up  to  20000 
ECU 
for projects concerned purely with training, support may cover up to 50% of the total 
project costs, up to a maximum of 50.000 ECU 

- 

Action 2 

-  up to 25% of total costs 

RAPHAEL 

Action 1  - "Conservation, safeguarding and development of the European cultural heritage through 
European cooperation" 

-  may not exceed 50% of the total costs of the project or 250.000 ECU 

Action  2  -  "Cooperation  for  the  exchange  of  experiences  and  the  development  of  techniques 
applied to heritage" 

-  may not exceed 50% of the total cost of the project or 50.000 ECU, except in certain 
cases for which Community contributions may be up to 150.000 ECU or 100.000 ECU 

Action 3 - "Public access to, participation in and awareness of the cultural heritage" 

-  may not exceed 50% of the total costs ôf the project or 50.000 ECU, except in certain 

cases for which Community contribution may be up to 150.000 ECU 

Action 4 - "Cooperation with third countries and international organisations" 

-  support for cooperation with third countries is covered by actions 1,2,3 
-  support  for  international  organisations  will  be  decided  on  an  individual  basis  in 

accordance with Article 7(3) of the Decision. 

As far as revenue is concerned, provision for Romania's contribution to cover the cost of its 
participation is made under item 6091. The revenue will be allocated to the items for expenditure 
on the  programmes concerned and, where appropriate, to the relevant items of operating 
expenditure. 

The total revenue expected is given under item 7.4. 

Ao% 

7. FINANCIAL IMPACT 

7.1  Method of calculating total cost of operation for  1998, 1999 and 2000 financial years (link 

between individual costs and total cost) 

The calculation is based on the following preconditions: 

-  Romania's contribution to the financing of the activities referred to in the Protocol is calculated 
according to the principle that the country bears the cost of participation itself. Heading 6091 
has been created in the statement of budget revenue for that purpose; 

- 

the Community may decide on a case-by-case basis to pay a supplement to the Romania's 
contribution. The supplement may be in the form of a contribution under the national PHARE 
programme. 

Based on the Additional Protocol with Romania, the financial and budgetary arrangements for the 
three programmes concerned are as follows: the costs have been calculated on the basis of various 
parameters inherent in the three programmes, i.e. GDP per capita as weighted with PPP 
(purchasing power parities). 

The cost of Romania's participation in Kaleidoscope in 1998 will be ECU 129.188. 

For Ariane the cost will be ECU 36.701 in 1998. 

For Raphael the annual cost will be ECU 158.548 in 1998, 1999 and 2000. 

The above-mentioned figures, from which the supplementary costs of an administrative nature 
amounting to 21.225 ECU in 1998 and 10.372 ECU in 1999 and 2000 respectively and to be 
borne exclusively by Romania have to be deducted, are divided per year and per programme as 
follows: ECU 299.782 of the operational costs will be covered from Romania's national budget 
and - subject to regular Phare programming procedures, ECU 299.782 from the annual Phare 
budget for Romania. 

7.2  Itemised breakdown of cost in ECU 

Programme 

1998 

1999 

2000 

Total 

Kaleidoscope 
Ariane 
Raphael 

120.736 
34.300 
148.176 

n.a. 
n.a. 
148.176 

n.a. 
n.a. 
148.176 

120.736 
34.300 
444.528 

of which 
Romania 
60.368 
17.150 
222.264 

of which 
Phare 

60.368 
17.150 
222.264 

Total 

303.212 

148.176 

148.176 

599.564 

299.782 

299.782 

7.3  Operational expenditure on studies, expert meetings, etc., included in Part B:  None 

7.4 

Schedule for multiannual  operations 

Amounts to be charged to item  B7-503 

1998 

1999 

2000 

subsequent 
years 

73.908 

59.270 

166.424 

Commitment 
appropriations 
Payment 
appropriations" 
1998 
1999 
2000 
subsequent  years 
Total 
(*) Schedule based on the method of payment currently applying to these programmes. 

29.635 
29.635 
73.908 

83.212 
83.212 

36.954 
36.954 

166.424 

73.908 

TOTAL 

299.602 

83.212 
120.166 
66.589 
29.635 
299.602 

The foreseeable annual receipts are as follows: 

Item 6091 

1998 

1999 

2000 

subsequent 
years 

TOTAL 

operational 
costs 
supplementary 
costs of an 
administrative 
nature 
Total 

136.788 

73.908 

88.906 

21.225 

10.372 

10.372 

299.602 

41.969 

158.013 

84.280 

99.278 

341.571 

8.  FRAUD PREVENTION MEASURES; RESULTS  OF MEASURES  TAKEN 

All the Commission's contracts, agreements and other legal commitments provide for on-the-spot checks 
by the Commission and Court of Auditors. Among other things, the beneficiaries of the operations are 
obliged to file reports and financial statements. These are analysed from the point of view of their content 
and the eligibility of the expenditure in line with the objective of Community financing. 

The anti-fraud provisions of the basic budget headings apply to this heading too when adapted to the case 
of Romania. 

fa 

9.  ELEMENTS OF COST-EFFECTIVENESS ANALYSES 

9.1.  Specific and quantified objectives; target population 

The aim of opening up Community cultural programmes to Romania is to bring it the same benefits as the 
Member States of the Community already enjoy from  the programmes. The essential aim of Community 
action in the field of culture should be to enable all European citizens to contribute to their national and 
regional cultural diversity whilst at the same time bringing the common cultural heritage to the fore. 

In  the  field  of  culture  the  principle  aim  of  the  Ariane  programme  is  to  promote  knowledge  and 
dissemination of and public access to the written heritage and European  literature, particularly through 
the translation of literature, drama and  reference  works, support for  cooperation  projects on books and 
reading carried out in partnership and further  training for professionals working in this field. Priority is 
also given in the programme to the less widely used languages. The specific aims are: 

to encourage cooperation between the Member States in the field of books and reading 

to support and compliment their activities in this area, by contributing to the 
development of their cultures while respecting national and regional diversity 

to  promote  a  wider  knowledge  and  circulation  of  European  Literature  among  the 
citizens of the European Union by means of: 

- assistance for the translation of literary, theatrical and reference works, 
- support for the cooperation projects implemented on a partnership basis 
- training projects for those working in this  field 

In  the field of culture,  the  principal  aim  of  the  Kaleidoscope  programme  is  to  encourage  artistic  and 
cultural  creation  and  to  promote  knowledge  and  dissemination  of  the  culture  and  cultural  life  of  the 
European peoples, by supporting projects with a European dimension. The specific aims are: 

to encourage activities involving artistic creation with a European dimension 

to support innovative cultural projects carried out by European partners from at 
least 3 different  member states, which provide a genuine added value to those 
cultural activities which are undertaken at national and regional level 

to contribute to the development of the professional skills of artists and other cultural 
operators, in particular by supporting cultural projects, which include the 
improvement of professional  skills as part of their organisation and by stepping up 
exchanges of experiences, thus facilitating greater cooperation between artists from 
various Member states 

to contribute to the mutual knowledge of European cultures by making it easier for 
different European audiences to have access to and participate in the culture and arts 
of other Member States and by facilitating inter-cultural dialogue. 

In the field of culture, the principal aim of the Raphael programme is to support and supplement, through 
cooperation,  the  action  taken  by  Member  States  in  the  field  of  cultural  heritage  (moveable  and 
immoveable heritage). The specific aims are : 

to encourage the conservation  and restoration of aspects of the cultural  heritage which 
are of European importance, helping to develop and promote them ; 

to encourage the development  of transnational  cooperation between  institutions  and/or 
operators in the cultural heritage field, in order to contribute to the pooling of skills and 
the development of best practice in the preservation of the cultural heritage; 

AAP 

to improve access to the cultural heritage in its European dimension and encourage the 
active participation of the general public, in particular children, young people, the under 
privileged  and  those  living  in  the  outlying  and  rural  areas  of  the  Community,  in  the 
safeguarding and development of the European cultural heritage ; 

to encourage transnational  cooperation  in  developing  new technologies  for  application 
in the various heritage categories and disciplines and  in  preserving  traditional  cultural 
heritage trades and techniques ; 

to have account taken of the heritage dimension in other Community programmes 
and policies; to encourage cooperation with third countries and the relevant 
international organisations. 

» 

9.2. Grounds for the operation 

-  Need for  Community financial  aid 

In view of Romania's precarious budgetary situation, and given the priority given to participation in 
Community programmes in the context of Agenda 2000, assistance from PHARE as provided for in 
Article 3(2) of the Additional Protocol is essential. 

-  Choice of ways and means 

With a contribution from Romania's national budget, supplemented by one from PHARE, Romania's 
participation will contribute to getting acquainted with the internal policies and proceedings of the 
Community in the field of culture. The integration of Romanian nationals in Community networks will 
make a definite contribution to preparing Romania for future membership. 

-  Main factors  of uncertainty which could affect the specific results of the operation 

Since projects will be selected according to qualitative criteria, it will only be possible to measure the real 
impact on the basis of Romanian entities' and citizens' capacity to respond to the calls for proposal to be 
launched by the Commission under the three programmes. 

9.3 Monitoring and evaluation of the operation 

The monitoring and evaluation procedures included in the Community's cultural programmes, will also 
cover operations financed for Romanian beneficiaries. 

AU 

10. ADMINISTRATIVE  EXPENDITURE 

The administrative resources required will actually be mobilised following the annual Commission Decision 
on the allocation of resources, taking account in particular of manpower and additional amounts granted by 
the budgetary authority. The supplementary needs can not, in any case, prejudge the decision that the 
Commission will need to take concerning: 

a) 
b) 

the request of new posts in the framework  of the APB 
the resources allocation 

10.1 Effect  on the number  of posts  (in  man/years) 

Type  of  po»t 

Staff  required  to  manage  the 
operation 
Permanent 
posts 

Temporary 
posts 

Officials  or 
t e m p o r a ry 
staff 
A 
B 
C 
Other  resources 
(Technical 
assistance,  item A-
7002) 

TOTAL 

0,2 
0,1 

0,3 

duration 

Additional 
resources 

1998-
2 0 00 

Source 

Existing 
resources  of 
the  DG  or 
department 
concerned 

0 ,2 
0 ,1 

0 , 1 03 

0 ,3 

0 , 1 03 

from 
1 9 98 

1 0 .2  Overall  financial 

i m p a ct  of  t he  h u m an  r e s o u r c es 

Total 

Officials  * 

9 7 . 2 00 

Temporary  staff 

Other  r e s o u r c es  (indicate 
budget  heading) 

3 0 . 9 00 

(in  ECU) 

Method  of  c a l c u l a t i on  (total 
c o st  of  t he  a c t i on  for  t he 
period  1 9 9 8 - 2 0 0 0) 
0 ,3  m a n / y e a rs  x  1 0 8 . 0 00  ECU 
x  3  y e a rs 

0 , 1 03  m a n / y e a rs  x  1 0 0 . 0 00 
ECU  x  3  y e a rs 

TOTAL 

I 

1 2 8 . 1 00 

| 

* By using  existing  resources  required  to  manage  the  operation  (calculation  based  on A-l,  A-2, A-4, A-5, 
A-7). 

The  e x p e n d i t u re  of  item  A-7002  (technical  assistance)  will  be  m et  from  t he  receipts  (art. 
4§2,  third  i n d e nt  of  t he  financial  regulation)  received  from  the  R o m a n i an  participation 
in  C o m m u n i ty  p r o g r a m m es  (see  §  5.3  of  t he  financial  s t a t e m e n t ). 

X> 
Mi 

10.3  Increase  in  other  administrative  expenditure  as  a result  of  the  operation 

Budget  heading  (No  and 
title) 

Total 

(in ECU) 

Method  of  calculation  (total 
cost  of  the  action  for  the 
period  1998-2000) 

A-701  - travel  expenditure 
A-7030  - meetings  in 
general 

A-7031  -  compulsory 
meetings 
Total 

• 

6.784  1.356  ECU x  5  missions 
4.285  Participation  of  1  Romanian 

expert  in  5  meetings  (857  ECU 
x  5) 

1 

1 1 . 0 6 9| 

The above expenditure will be met from the receipts (article 4§2, third indent of the financial  regulation) received 
from the Romanian participation in Community Programmes (see § 5.3 of the financial statement). 

Proposal for a 
Council  Decision 
of... 

°&  oiSZ 
concerning  the  Community  position  within  the  Association  Council  on  the 
participation  of the  Slovak  Republic  in  the  Community  programmes  in  the  field  of 
culture. 

QCHÙ\ 

THE COUNCIL OF THE EUROPEAN  UNION, 

Having  regard  to  the  Treaty  establishing  the  European  Community,  and  in  particular 
Article  128, paragraph 3, in conjunction  with Article 228, paragraph  3,  1st alinéa thereof, 

Having regard to the proposal  from  the Commission, 

Having regard to the opinion of the European  Parliament, 

Whereas  the  Additional  Protocol  to  the  Europe  Agreement  establishing  an  association 
between  the  European  Communities  and  their  Member  States,  of  the  one  part,  and  the 
Slovak Republic, of the other part, entered into force  on  1  July  1996. 

Whereas  according  to  Article  1  of  the  Additional  Protocol,  the  Slovak  Republic  may 
participate in Community framework  programmes, specific  programmes, projects  or  other 
actions notably in the field  of culture  and,  pursuant  to  Article 2, the terms  and  conditions 
for the participation  of the Slovak Republic in the activities referred  to in Article  1 shall be 
decided by the Association  Council, 

Whereas, Decision No  719/96/EC  of the European  Parliament  and  of the  Council  of  29 
March  1996  establishing  a programme  to  support  artistic  and  cultural  activities  having  a 
European  dimension  (hereinafter  called  "Kaleidoscope")1  and  in  particular  Article  4 
thereof,  Decision  No  2085/97/EC  of  the  European  Parliament  and  of  the  Council  of  6 
October  1997  establishing  a  support  programme  in  the  fields  of  books  and  reading 
(hereinafter  called  "Ariane")2  and  in  particular  Article  4  thereof,  and  Decision  No 
2228/97/EC of the European  Parliament  and  of the Council  of  13 October  1997 adopting 
a  programme  in  the  field  of  cultural  heritage  (hereinafter  called  "Raphael")3  and  in 
particular  Article  6  thereof,  provide  that  these  programmes  shall  be  open  to  the 
participation  of  associated  Central  European  countries  in accordance  with  the  conditions 
set  out  in  the  Additional  Protocols  to  the  Association  Agreements  on  participation  in 
Community  programmes. 

i 
OJ No L 99/20 of 20.4.96 
2 OJ No L 291/26 of 24.10.97 
3 OJ No L 305/3 l of  08.11.97 

HAS DECIDED AS FOLLOWS: 

The position to be taken by the Community within the Association Council established by 
the Europe Agreement between the European Communities and their Member  States, of 
the one part, and the Slovak Republic, of the other part,  concerning the participation  of 
the Slovak Republic in Community Programmes  in the field of culture, is that  set  out in 
the attached draft decision of the Association Council. 

Done at Brussels, 

For the Council, 

44b 

Draft  Decision  n°..../?8  of  the  EC-Slovak  Republic  Association  Council 
of. 
1998 adopting the terms and conditions for the participation of the Slovak 
Republic in Community Programmes in the field of culture. 

The ASSOCIATION COUNCIL 

Having regard to the Europe Agreement establishing an association between the European 
Communities and their Member  States, of the one part,  and the  Slovak Republic of the 
other part,1 

Having  regard  to  the  Additional  Protocol  to  the  Europe  Agreement  establishing  an 
association between the European Communities and their Member States, of the one part, 
and the Slovak Republic, of the other part, concerning the Slovak Republic's participation 
in Community programmes2,  and in particular Article 1  and 2 thereof, 

Whereas according to Article 1  of the said Additional Protocol, the Slovak Republic may 
participate in Community framework programmes, specific programmes, projects or other 
Community actions notably in the field of culture, 

Whereas according to Article 2 of the said Additional Protocol the terms and conditions 
for the participation of the Slovak Republic in the activities referred to in Article  1 are to 
be decided by the Association Council, 

HAS DECIDED AS FOLLOWS: 

Article 1 

The  Slovak  Republic  shall  participate  in  the  European  Community  programmes 
Kaleidoscope,  Ariane  and  Raphael  according  to  the  terms  and  conditions  set  out  in 
Annexes I and II which shall form an integral part of this Decision. 

Article 2 

This Decision shall apply for the duration of the Programmes. 

Article 3 

This Decision shall enter into force on the first day of the month following its adoption. 

Done at 

The Chairman 

For the Association Council 

' O J ^L  359 of 31.12.94 
2 OJN° LI  15 of 9.5.1996 

X 
4M 

ANNEXI 

Terms and conditions for the participation of the Slovak Republic in the 
Programmes Kaleidoscope, Ariane and Raphael. 

1. 
The  Slovak  Republic  shall  participate  in  all  activities  of  the  programmes 
Kaleidoscope, Ariane and Raphael  (hereinafter  called "the Programmes")  in  conformity, 
unless otherwise provided  in this Decision, with the objectives,  criteria,  procedures and 
timelimits laid  down in Decision No  719/96/EC of the European  Parliament  and  of the 
Council  of  29  March  1996  establishing  a  programme  to  support  artistic  and  cultural 
activities having a European  dimension (hereinafter  called "Kaleidoscope"), Decision No 
2085/97/EC  of  the  European  Parliament  and  of  the  Council  of  6  October  1997 
establishing a* support  programme  in the fields of books  and  reading  (hereinafter  called 
"Ariane") and Decision No 2228/97/EC of the European Parliament and of the Council of 
13 October  1997 adopting a programme in the field of cultural heritage (hereinafter called 
"Raphael"). 

2. 
The  terms  and  conditions  for  the  submission,  assessment  and  selection  of 
applications  related  to  eligible  institutions,  organisations  and  individuals  of the  Slovak 
Republic shall be the same as those  applicable to  eligible institutions,  organisations and 
individuals of the Community. 

3. 
To  ensure the  Community  dimension  of  the  Programmes,  transnational  projects 
and  activities  proposed  by the  Slovak  Republic  will  be required  to  include  a minimum 
number of partners from the Member  States of the Community.  This minimum number 
will be decided in the framework  of the implementation  of the Programmes, taking into 
account the nature of the various activities, the number of partners in a given project, and 
the number of countries participating in the Programmes. 

4. 
The Slovak Republic will pay each year a contribution to the general budget of the 
European  Communities  to  cover  the  costs  resulting  from  its  participation  in  the 
Programmes  (see  Annex  II).  The  Association  Committee  is  entitled  to  adapt  this 
contribution whenever necessary. 

5. 
The Member States of the Community and the Slovak Republic will make every 
effort, within the framework  of the existing provisions, to facilitate the free movement and 
residence of all eligible persons to the Programmes moving between the Slovak Republic 
and the Member  States  of the  Community  for  the  purpose  of  participating  in  activities 
covered by the Decision. 

6.  Without  prejudice  to  the  responsibilities  of  the  Commission  and  the  Court  of 
Auditors of the European Community in relation to the monitoring and evaluation  of the 
programmes  pursuant  to  the  Decisions  concerning  Kaleidoscope,  Ariane  and  Raphael 
(Articles  8,  8  and  10  respectively),  the  participation  of  the  Slovak  Republic  in the 
Programmes will be continuously  monitored  on a partnership  basis involving the Slovak 
Republic  and the  Commission  of the  European  Communities,  the  Slovak  Republic will 
submit the necessary reports to the Commission  and take part  in other  specific  activities 
set out by the Community in that context. 

X 

Without  prejudice  to  the  procedures  referred  to  in  Article  5  of  the  Decision  on 
7. 
Kaleidoscope,  Article  5  of  the  Decision  on  Ariane  and  Article  7  of  the  Decision  on 
Raphael,  the  Slovak Republic  will  be invited  to  any co-ordination  meetings  on questions 
concerning  the  implementation  of  this  Decision  prior  to  the  regular  meetings  of  the 
Programme  Committees.  The  Commission  will  inform  the  Slovak  Republic  about  the 
results of such regular meetings. 

The language to be used  as regards the application process,  contracts,  reports to 
8. 
be  submitted  and other administrative  arrangements  for  the  Programmes,  will  be  one  of 
the official  languages of the Community. 

X 

ANNEX II 

FINANCIAL CONTRIBUTION OF THE SLOVAK REPUBLIC TO 
KALEIDOSCOPE, ARIANE AND RAPHAEL 

1. The financial contribution of the Slovak Republic will cover; 

-  financial  support from the Programmes to Slovak participants, 
-  supplementary costs of an administrative nature related to the management of 
the  Programmes  by  the  Commission  stemming  from  the  Slovak  Republic's 
participation. 

2.  For every financial year, the aggregated amount of subsidies or any other  financial 
support received from the Programmes by the Slovak beneficiaries will not exceed the 
contribution paid by the Slovak Republic, after  deduction of the supplementary costs 
of an administrative nature. 

Should the contribution paid by the Slovak Republic to the general budget 
of  the  European  Communities,  after  deduction  of  supplementary  costs  of  an 
administrative  nature,  be  higher  than  the  aggregated  amount  of  subsidies  or  other 
financial  support  received  by  the  Slovak  beneficiaries  from  the  Programmes,  the 
Commission  will transfer  the balance to  the  next  budgetary  exercise,  and  it will be 
deducted from the following year's contribution.  Should such a balance be left when 
the Programmes come to an end, the corresponding amount will be reimbursed to the 
Slovak Republic. 

3.  Kaleidoscope 

The  Slovak  Republic's  annual  contribution  will  be  of  ECU  45.103  from  1998. 
From  this  sum,  an  amount  of  ECU  2.951  will  cover  supplementary  costs  of  an 
administrative  nature  related  to  the  management  of  the  Programme  by  the 
Commission stemming from the Slovak Republic's participation. 

4. Ariane 

The Slovak Republic's annual contribution will be of ECU  12.813 from 1998. From 
this sum, an amount of ECU 838 will cover supplementary costs of an administrative 
nature related  to the management  of the Programme by the  Commission  stemming 
from the Slovak Republic's participation. 

5. Raphael 

The Slovak Republic's annual contribution will be of ECU 55.353 from  1998. From 
this  sum,  an  amount  of  ECU  3.621  will  cover  supplementary  costs  of  an 
administrative  nature  related  to  the  management  of  the  Programme  by  the 
Commission stemming from the Slovak Republic's participation. 

6. The financial  regulations  applicable to the general budget  of the Community will 
apply, notably to the management of the contribution of the Slovak Republic. 

X 

Upon  entry into force  of this Decision  and at the beginning  of  each  following  year, 
the Commission will send to the Slovak Republic a call for funds corresponding to its 
contribution to the costs under this Decision. 

This contribution will be expressed in ECU and paid into an ECU bank account of the 
Commission. 

The Slovak Republic will pay its contribution to the annual costs under this Decision 
according to the call for funds and at the latest three months after the call for funds is 
sent.  Any  delay in the payment  of the  contribution  shall  give rise to  the payment  of 
interest  by the  Slovak  Republic  on the  outstanding  amount from the  due  date.  The 
interest rate corresponds to the rate applied by the European Monetary  Co-operation 
Fund,  for  the  month  of  the  due  date,  for  its  operations  in  ECU;  increased  by  1,5 
percentage points. 

v 

7. The Slovak Republic will pay the supplementary costs  of an administrative nature 
referred to in paragraphs 3, 4 and 5 from its national budget. 

8. 
For the year  1998, the Slovak Republic will pay 50% of the remaining cost 
of its participation in Kaleidoscope, Ariane and Raphael from its national budget, and 
50%  from  its  Phare  national  programme,  subject  to  regular  Phare  programming 
procedures. 

For the year  1999, the  Slovak Republic will  pay 50% of the remaining cost  of its 
participation  in Raphael  from  its  national  budget,  and  50% from  its  Phare  national 
programme, subject to regular Phare programming procedures. 

For  the  year 2000,  for  the  Slovak  Republic's  participation  in Raphael,  the  same 
breakdown  will  prevail  as  for  1999,  subject  to  the  availability  of  the  relevant 
budgetary appropriations in the Community and in the Slovak Republic. 

A to 

FINANCIAL  STATEMENT 

1. TITLE OF OPERATION 

Opening of Community Programmes in the field  of culture to the Slovak Republic 

2. BUDGET HEADING  INVOLVED 

B7-503 - Opening of Community Programmes to the associated countries of Central 
Europe 

3. LEGAL  BASIS 

Treaty establishing the European Community, and in particular Article  128, paragraph 3, in 
conjunction  with Article 228, paragraph 3,  1st alinéa thereof. 

Additional Protocol to the Europe Agreement with the Slovak Republic (Articles 228 and 238), 
providing for the opening-up of Community programmes (OJ No L  115 of 9.5.1996), entered into 
force on  1  July  1996, 

Decision No 719/96/EC of the European Parliament and of the Council of 29 March  1996 establishing a 
programme  to support artistic and cultural activities having a European dimension ("Kaleidoscope") and 
in particular Article 4 thereof, 

Decision No  2085 /97/EC of the European Parliament and of the Council of  6 October 1997 establishing 
a support programme in the fields of books and reading ("Ariane") and in particular Article 4 thereof, 

Decision No  2228/97/EC of the European Parliament and of the Council of  13 Octber  1997 adopting a 
programme in the field of cultural heritage ("Raphael") and in particular Article 6 thereof, 

4. DESCRIPTION  OF OPERATION: 

4.1 General  objective 

The Slovak Republic's participation  in the three Community programmes in the field of culture 
will come in addition to those Community programmes in which it already participates, e.g. 
Leonardo da Vinci, Socrates and Youth for Europe, and will further  contribute to its preparation 
for accession as a key feature of a reinforced  pre-accession  strategy. It will also enable the Slovak 
Republic to familiarise  itself with the procedures and methods used in these Community 
programmes. 

The decision-making process for the opening-up of programmes  involves a decision by the 
Association  Council between the Union and the associated country. This decision also lays down 
the practical arrangements for opening up the programmes. 

The Additional Protocol with the Slovak Republic entered into force on  1  July  1996  and provides 
for the Slovak Republic's participation  in a wide range of areas, amongst which culture. 

Xa 
AU 

Other Community programmes, notably in the audiovisual sector, health and social policy, SMEs, 
research etc, have been or will shortly be opened up to the participation of the Slovak Republic. 

4.2 Period covered and arrangements for renewal 

Until the end of the Community programmes concerned, i.e. 31.12.1998 for Kaleidoscope and 
Ariane, 31.12.2000 for Raphael, or dependent on decisions taken as regards cultural programmes 
and budgets after  1999. For Raphael, both the contribution from the national budget and  from 
Phare are subject to the availability of budgetary appropriations beyond 1999. 

5. CLASSIFICATION OF EXPENDITURE OR REVENUE 

5.1 Non-compulsory expenditure 

5.2 Differentiated  appropriations 

5.3 Type of revenue involved: 

Since the first paragraph of Article 3 of the Additional Protocol stipulates that the Slovak Republic 
itself will meet the costs resulting from its participation, it will be invited to transfer its 
contribution to item 6091 of the EU's budget receipts. However, as the second paragraph of Article 
3 states that the Community may supplement the Slovak Republic's contribution (by up to 10% of 
the National Indicative Programme), the Slovak Republic will contribute part from its national 
budget, with the remainder being charged to heading B7-503. A transfer from the relevant PHARE 
appropriations (article B7-500) to article B7-503 will be made upon receipt of the Slovak 
Republic's contribution. 

6. TYPE OF EXPENDITURE OR REVENUE 

100% subsidy 

subsidy for joint financing with other sources in the public and/or private sector 

no provision for all or part of the Community contribution to be reimbursed 

ARIANE 

Action 1 

Literary translation 

-  Up to full cost of translators fees subject to national standard payment practice 

Translation of theatrical works 

-  3.500 ECU per translator and per translation 

Translation of reference works 

-  up to 100% of translation costs if commercial work 
-  3.500 ECU per translator and per translation if not commercial 

Action 2 

Cooperation projects 

-  up to 25% of total costs of the project and maximum 50.000 ECU 

m 

- 

(if the project includes arrangement for wider dissemination of the results an additional 
contribution may be granted to cover up to 50% of the costs of such measures and up 
to 20.000 ECU can be granted) 

Action 3 

Further training 

-  grants  to  cover  travelling  expenses  and  further  training  costs  up  to  a  maximum  of 

50.000 ECU 

KALEIDOSCOPE 

Action 1 

-  may not exceed 25% of total project costs or 50.000 ECU 
- 

in  cases  where  project  includes  improving  professional  skills  or  increasing  cultural 
dissemination  additional  money can be given for  that  section  - 50% or up to 20.000 
ECU 
for projects concerned purely with training, support may cover up to 50% of the total 
project costs, up to a maximum of 50.000 ECU 

- 

Action 2 

-  up to 25% of total costs 

RAPHAEL 

Action 1  - "Conservation, safeguarding and development of the European cultural heritage through 
European cooperation" 

-  may not exceed 50% of the total costs of the project or 250.000 ECU 

Action  2  -  "Cooperation  for  the  exchange  of  experiences  and  the  development  of  techniques 
applied to heritage" 

-  may not exceed 50% of the total cost of the project or 50.000 ECU, except in certain 
cases for which Community contributions may be up to 150.000 ECU or 100.000 ECU 

Action 3 - "Public access to, participation in and awareness of the cultural heritage" 

-  may not exceed 50% of the total costs of the project or 50.000 ECU, except in certain 

cases for which Community contribution may be up to 150.000 ECU 

Action 4 - "Cooperation with third countries and international organisations" 

-  support for cooperation with third countries is covered by actions 1,2,3 
-  support  for  international  organisations  will  be  decided  on  an  individual  basis  in 

accordance with Article 7(3) of the Decision. 

As far as revenue is concerned, provision for the Slovak Republic's contribution to cover the cost 
of its participation is made under item 6091. The revenue will be allocated to the items for 
expenditure on the  programmes concerned and, where appropriate, to the relevant items of 
operating expenditure. 

The total revenue expected is given under item 7.4. 

7. FINANCIAL IMPACT 

7.1  Method of calculating total cost of operation for  1998, 1999 and 2000 financial years (link 

between individual costs and total cost) 

The calculation is based on the following preconditions: 

- 

- 

the Slovak Republic's contribution to the financing of the activities referred to in the Protocol is 
calculated according to the principle that the country bears the cost of participation itself. 
Heading 6091 has been created in the statement of budget revenue for that purpose; 

the Community may decide on a case-by-case basis to pay a supplement to the the Slovak 
Republic's contribution. The supplement may be in the form of a contribution under the 
national PHARE programme. 

Based on the Additional Protocol with the Slovak Republic, the financial and budgetary 
arrangements for the three programmes concerned are as follows: the costs have been calculated on 
the basis of various parameters inherent in the three programmes, i.e. GDP per capita as weighted 
with PPP (purchasing power parities). 

The cost of the Slovak Republic's participation in Kaleidoscope will be ECU  45.103 in 1998. 

For Ariane the cost will be ECU 12.813 in 1998. 

For Raphael the annual cost will be ECU  55.353  in 1998, 1999 and 2000. 

The above-mentioned figures, from which the supplementary administrative costs, amounting to 
7410 ECU in 1998 and 3.621 ECU in 1999 and 2000 respectively, and to be borne exclusively by 
the Slovak Republic, have to be deducted, are divided per year and per programme as follows:  the 
Slovak Republic shall pay 50% of the costs of its participation in the programmes from its national 
budget of 1998, 1999 and 2000 repectively; subject to the proceedures for programming the 
programme, the remaining 50% will be paid from the Slovak Republic's annual PHARE National 
Indicative Programmes of 1998, 1999 and 2000. 

7.2  Itemised breakdown of cost in ecu 

Programme 

1998 

1999 

2000 

Total 

in ECU 
of which 
the Slovak 
Republic 

of which 
Phare 

Kaleidoscope 
Ariane 
Raphael 

42.152 
11.975 
51.732 

n.a. 
n.a. 
51.732 

n.a. 
n.a. 
51.732 

42.152 
11.975 
155.196 

21.076 
5.987,5 
77.598 

21.076 
5.987,5 
77.598 

Total 

105.859 

51.732 

51.732 

209.323 

104.661,5 

104.661,5 

7.3  Operational expenditure on studies, expert meetings, etc., included in Part B:  None 

7.4  Schedule for multiannual operations 

12i{ 

Amounts to be charged to item B7-503 

1998 

1999 

2000 

subsequent 
years 

25.866 

25.866 

52.929,5 

Commitment 
appropriations 
Payment 
appropriations^ 
1998 
1999 
2000 
subsequent  years 
Total 
(*) Schedule based on the method of payment currently applying to these programmes. 

12.933 
12.933 
25.866 

26.464,75 
26.464,75 

12.933 
12.933 

52.929,5 

25.866 

TOTAL 

104.661,5 

26.464,75 
39.397,75 
25.866 
12.933 
104.661,5 

The foreseeable annual receipts are as follows: 

Item 6091 

1998 

1999 

2000 

52.929,5 

25.866 

25.866 

7.410 

3.621 

3.621 

subsequent 
years 

TOTAL 

104.661,5 

14.652 

operational 
costs 
supplementary 
costs of an 
administrative 
nature 
Total 

60.339,5 

29.487 

29.487 

119.313,5 

8. FRAUD PREVENTION MEASURES; RESULTS OF MEASURES TAKEN 

All the Commission's contracts, agreements and other legal commitments provide for on-the-spot checks 
by the Commission and Court of Auditors. Among other things, the beneficiaries of the operations are 
obliged to file reports and financial statements. These are analysed from the point of view of their content 
and the eligibility of the expenditure in line with the objective of Community financing. 

The anti-fraud provisions of the basic budget headings apply to this heading too when adapted to the case 
of the Slovak Republic. 

415 

9.  ELEMENTS OF COST-EFFECTIVENESS ANALYSIS 

9.1.  Specific and quantified objectives; target population 

The aim of opening up Community cultural programmes to the Slovak Republic is to bring  it the same 
benefits as the Member States of the Community already enjoy from  the programmes. The essential aim 
of Community action in the field of culture should be to enable all European citizens to contribute to their 
national and regional cultural diversity whilst at the same time bringing the common cultural heritage to 
the fore. 

In  the  field  of  culture  the  principle  aim  of  the  Ariane  programme  is  to  promote  knowledge  and 
dissemination  of and public access to the written heritage and European  literature, particularly  through 
the translation  of literature, drama and reference works, support for  cooperation projects  on books and 
reading carried out in partnership and further  training for professionals working in this field. Priority is 
also given in the programme to the less widely used languages. The specific aims are: 

to encourage cooperation between the Member states in the field of books and reading 

to support and compliment their activities in this area, by contributing to the 
development of their cultures while respecting national and regional diversity-

to  promote  a  wider  knowledge  and  circulation  of  European  Literature  among  the 
citizens of the European Union by means of: 

- assistance for the translation of literary, theatrical and reference works, 
- support for the cooperation projects implemented on a partnership basis 
- training projects for those working in this  field 

In  the field of culture, the  principal  aim  of  the Kaleidoscope  programme  is  to encourage  artistic and 
cultural  creation  and  to promote  knowledge  and  dissemination  of  the  culture  and  cultural  life  of  the 
European peoples, by supporting projects with a European dimension. The specific aims are: 

to encourage activities involving artistic creation with a European dimension 

to support innovative cultural projects carried out by European partners from at 

least 3 different  member states, which provide a genuine added value to those 
cultural activities which are undertaken at national and regional level 

to contribute to the development of the professional  skills of artists and  other cultural 
operators, in particular by supporting cultural projects, which include the improvement 
of  professional  skills  as  part  of  their  organisation  and  by  stepping  up  exchanges  of 
experiences, thus facilitating  greater cooperation between artists from  various Member 
states 

to contribute to the mutual knowledge of European cultures by making it easier for 
different European audiences to have access to and participate in the culture and arts 
of other Member states and by facilitating inter-cultural dialogue. 

In the field of culture, the principal aim of the Raphael programme is to support and supplement, through 
cooperation,  the  action  taken  by  Member  States  in  the  field  of  cultural  heritage  (moveable  and 
immoveable heritage). The specific aims are : 

to encourage the conservation and restoration  of aspects of the cultural  heritage which 
are of European importance, helping to develop and promote them ; 

to encourage the development  of transnational  cooperation  between  institutions and/or 
operators in the cultural heritage field, in order to contribute to the pooling of skills and 
the development of best practice in the preservation of the cultural heritage; 

X 
416-

to improve access to the cultural heritage in its European dimension and encourage the 
active participation of the general public, in particular children, young people, the under 
privileged  and  those  living  in  the outlying  and  rural  areas of the  Community,  in  the 
safeguarding and development of the European cultural heritage ; 

to encourage transnational  cooperation  in developing  new technologies for  application 
in the various heritage categories and disciplines and in preserving traditional  cultural 
heritage trades and techniques ; 

to have account taken of the heritage dimension in other Community programmes 
and policies; to encourage cooperation with third countries and the relevant 
international organisations. 

9.2. Grounds for the operation 

-  Need for  Community financial aid 

In view of  the Slovak Republic's precarious budgetary situation, and given the priority given to 
participation in Community programmes in the context of Agenda 2000, assistance from PHARE as 
provided for in Article 3(2) of the Additional Protocol is essential. 

-  Choice of ways and means 

With a contribution from the Slovak Republic's national budget, supplemented by one from PHARE, the 
Slovak Republic's participation will contribute to getting acquainted with the internal policies and 
proceedings of the Community in the field of culture. The integration of Slovak nationals in Community 
networks will make a definite contribution to preparing the Slovak Republic for future membership. 

-  Main factors of uncertainty which could affect the specific results of the operation 

Since projects will be selected according to qualitative criteria, it will only be possible to measure the real 
impact on the basis of Slovak entities' and citizens' capacity to respond to the calls for proposal to be 
launched by the Commission under the three programmes. 

9.3 Monitoring and evaluation of the operation 

The monitoring and evaluation procedures included in the Community's cultural programmes, will also 
cover operations financed for Slovak beneficiaries. 

to 

10. ADMINISTRATIVE EXPENDITURE 

The administrative resources required will actually be mobilised following the annual Commission Decision 
on the allocation of resources, taking account in particular of manpower and additional amounts granted by 
the budgetary authority. The supplementary needs can not, in any case, prejudge the decision that the 
Commission will need to take concerning: 

a) 
b) 

the request of new posts in the framework of the APB 
the resources allocation 

10.1 Effect  on the number of posts (in man/years) 

Type  of  post 

Staff required  to  manage  the -
operation 
Permanent 
posts 

Temporary 
posts 

duration 

Additional 
resources 

1998-
20O0 

Source 

Existing 
resources  of 
the  DG  or 
department 
concerned 

Officials  or 
t e m p o r a ry 
staff 
A 
B 
C 
Other  resources 
(Technical 
assistance,  item A-
7002) 

TOTAL 

0,1 
0 , 05 

0 ,1 
0 , 05 

0 , 0 25 

0 , 15 

0 , 15 

0 , 0 25 

from 
1 9 98 

10.2  Overall  financial  impact  of  the  human  resources 

Total 

Officials  * 

4 8 . 6 00 

Temporary  staff 

(in  ECU) 

Method  of  calculation  (total 
cost  of  the  action  for  the 
period  1998-2000) 
0,15  man/year  x  108.000  ECU 
x  3  years 

Other  resources  (Technical 
assistance,  item A-7002) 

7.500 

0,025  man/year  x  100.000 
ECU x  3  years 

TOTAL 

1 

56.100 

| 

* By using  existing  resources  required  to manage  the  operation  (calculation  based  on A-l,  A-2, A-4, A-5, 
A-7). 

The  expenditure  of item  A-7002  (technical  assistance)  will be  met  from  the  receipts  (art. 
4§2,  third  indent  of the  financial  regulation)  received  from  the  Slovak  participation  in 
Community  programmes  (see  § 5.3  of the  financial  statement). 

10.3  Increase  in  other  administrative  expenditure  as  a  result  of  the  operation 

Budget  heading  (No  and 
title) 

Total 

A-701  -travel  expenditure 
A-7030  -  meetings  in 
general 

A-7031  -  compulsory 
meetings 
Total 

| 

7.152  | 

(in  ECU) 

Method  of  calculation  (total 
cost  of  the  action  for  the 
period  1998-2000) 

2.862  954  ECU x  3  missions 
4.290  participation  of  1 Slovak  expert 

in  5  meetings  (857  ECU x  5 = 
roundup  to  4.290  ECU) 

The above expenditure will be met from the receipts (article 4§2, third indent of the financial  regulation) received 
from the Slovak participation in Community Programmes (see § 5.3 of the financial statement). 

ISSN 0254-1475 

COM(98) 239 final 

DOCUMENTS 

EN 

16  11 

Catalogue  number  :  CB-CO-98-258-EN-C 

ISBN  92-78-35207-1 

Office  for Official  Publications of the European Communities 

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