Report on the financial statements of The European Environment Agency (EEA-Copenhagen) for the financial year ended 31 December 1997 together with the Agency's reply
Date: 1998-10-29
Institutions: European Court of Auditors
Subjects: European Environment Agency, financial control, financial year, management audit, report

28.12.98

EN

Official  Journal  of  the  European  Communities

C  406/25

on the financial statements of The European Environment Agency (EEA — Copenhagen) for the
financial  year  ended  31  December  1997  together  with  the  Agency’s  reply

REPORT

(98/C  406/04)

1.1. This  report  is  addressed  to  the  Management  Board
of  the  European  Environment  Agency  in  conformity
with  Article  13(4)  of  Council  Regulation 
(EEC)
No 1210/90 (1).

1.2. The Court has examined the financial statements of
the  European  Environment  Agency  for  the  financial  year
ended  31  December  1997.  In  accordance  with  Article
14(1),  of  Council  Regulation  (EEC)  No  1210/90,  the
budget  was  implemented  on  the  responsibility  of  the
included  the
Executive  Director.  This  responsibility 
drawing-up 
financial
presentation 
statements (2)  in  accordance  with  the  internal  financial
provisions,  as  provided  for  in  Article  14  of  Council
Regulation  (EEC)  No  1210/90.  The  Court  of  Auditors  is
required under Article 188c of the Treaty establishing the
European  Community  to  examine  these  accounts.

and 

the 

of 

1.3. The  Court  performed  its  audit  in  accordance  with
its  auditing  policies  and  standards.  These  have  been
adapted  from  generally  accepted  international  auditing
standards  to  reflect  the  specific  characteristics  of  the
Community  context.  Accordingly,  the  Court  carried  out
such  tests  of  the  accounting  records  and  other  audit
procedures  as  it  deemed  necessary  in  the  circumstances.
By  means  of  this  audit,  the  Court  obtained  a  reasonable
basis  for  the  opinion  expressed  below.

1.4. This  examination  has  enabled  the  Court  to  obtain
reasonable  assurance  that  the  annual  accounts  for  the
financial  year  which  ended  on  31  December  1997  are
reliable  and  that  the  underlying  transactions,  taken  as  a
whole,  are  legal  and  regular.

This  report  was  adopted  by  the  Court  of  Auditors  in  Luxembourg  at  the  Court  meeting  of
29 October  1998.

For  the  Court  of  Auditors

Bernhard  FRIEDMANN

President

(1)  OJ  L  120,  11.5.1990,  p.  1.
(2)  As required under Article 13(3) of Council Regulation (EEC)
No  1210/90,  the  accounts  for  all  the  Agency’s  revenue  and
expenditure in respect of the financial year 1997 were drawn
up  on  18  March  1998  and  forwarded  to  the  Agency’s
Management  Board,  the  Commission  and  the  Court  of
Auditors.  These  accounts  were  received  by  the  Court  on  24
March  1998.  A  summarised  version  of  these  financial
statements  is  presented  in  the  tables  attached  to  this  report.

C  406/26

EN

Official  Journal  of  the  European  Communities

28.12.98

Table  1

Balance  sheet  for  the  financial  year  1997

Assets

1997

1996

Liabilities

1997

1996

(ECU  1 000)

Fixed  assets
Equipment  and  furniture
Office  supplies
Stock

Sub-total

Current  assets
Sundry  accounts  receivable
VAT  to  be  recovered
Recovery  order
Budget  payments  for  the  following
financial year
Commission  subsidy  to  be  received

Cash  accounts
Bank  accounts
Imprest  accounts

Sub-total

Sub-total

153
2 501
15

2 669

1
164

210

9 177

9 552

3 107
74

3 181

155
2 457
17

2 629

28
10
219

6 392

6 649

2 494
279

2 773

Fixed  capital
Own  capital (1)
Out-turn  to  be  carried  forward

Sub-total (2)

2 669
− 5  500

− 2 831

2 629
− 3 387

− 758

Current  liabilities
Non-automatic  carry-overs  of
appropriations
Automatic  carry-overs  of
appropiations
Re-use  accounts
Payments  pending
Salary deductions
Sundry  accounts  due
VAT  refunds
Recovery  order
Revenue  to  be  received

89

6 126

129

15
20
28
10
6 392

6 767

348
1 747
8

164
22
9 177

Sub-total

18 233

12 809

Total  assets

15 402

12 051

Total liabilities

15 402

12 051

(1)  The  amount  corresponds  to  fixed  assets.
(2)  The negative balance of the out-turn to be carried forward and of own capital does not constitute a loss of capital. It is the result of the application of

the  Financial  Regulation  in  respect  of  revenue  (only  receipts)  and  expenditure  (payments  plus  appropriations  carried  over).

Source:  Drawn  up  by  the  Court  on  the  basis  of  data  provided  by  the  Agency.

28.12.98

EN

Official  Journal  of  the  European  Communities

C  406/27

Table  2

Revenue  and  expenditure  account  for  the  financial  year  1997

(ECU  1 000)

1997

1996

Revenue
Subsidy  received  from  the  Commission
Miscellaneous revenue

Expenditure
Staff  expenditure  —  Title  I
Payments
Appropriations  carried  forward

Buildings,  equipment  and  miscellaneous  administrative  expenditure  —
Title  II
Payments
Appropriations  carried  forward

Operating  expenditure  —  Title  III
Payments
Appropriations  carried  forward

Miscellaneous  expenditure  not  included  in  the  budget
Exchange-rate  losses

14 012
126

Total  revenue

14 138

8 329
157

8 486

4 500
235

2 099
193

1 465
5 786

5 179
131

2 146
551

2 712
6 084

23

20

Total  expenditure

16 826

14 298

Out-turn  for  the  financial  year (1)
Out-turn  carried  over  from  the  previous  year
Appropriations  carried  over  from  the  previous  year  and  cancelled
Adjustment  of  entries  as  of  31  December  1996

− 2 688
− 3 387
545
30

− 5 812
1 844
581

Out-turn  to  be  carried  over (1)

− 5 500

− 3 387

(1)  The  negative  balance  of  the  out-turn  and  of  own  capital  does  not  constitute  a  capital  loss.  It  is  the  result  of  the
application  of  the  Financial  Regulation  in  respect  of  revenue  (only  receipts)  and  expenditure  (payments  plus
appropriations  carried  over).

Source:  Drawn  up  by  the  Court  on  the  basis  of  data  provided  by  the  Agency.

C  406/28

EN

Official  Journal  of  the  European  Communities

28.12.98

THE  EUROPEAN  ENVIRONMENT  AGENCY’S  REPLY

In  view  of  the  Court’s  observations  of  point  1.4,  the  Agency  has  no  further  comments.