Resolution of the European Parliament with comments forming an integral part of the decision on the discharge for the implementation of the budget of the European Centre for the Development of Vocational Training for the financial year 2004
Date: 2006-04-27
Institutions: European Parliament
Subjects: Cedefop, budgetary discharge, financial year, implementation of the budget

L 340/66

EN

Official Journal of the European Union

6.12.2006

RESOLUTION OF THE EUROPEAN PARLIAMENT

with comments forming an integral part of the decision on the discharge for the implementation
of the budget of the European Centre for the Development of Vocational Training for the financial
year 2004

THE EUROPEAN PARLIAMENT,

— having regard to the final annual accounts of the European Centre for the Development of Vocational

Training for the financial year 2004 (1),

— having regard to the Court of Auditors' report on the annual accounts of the European Centre for the
Development of Vocational Training for the financial year 2004, together with the Centre's replies (2),

— having regard to the Council's recommendation of 14 March 2006 (5972/2006 — C6-0093/2006),

— having regard to the EC Treaty, and in particular Article 276 thereof,

— having regard to Council Regulation (EC, Euratom) No 1605/2002 of 25 June 2002 on the Financial
the European Communities (3), and in particular

Regulation applicable to the general budget of
Article 185 thereof,

— having regard to Council Regulation (EEC) No 337/75 of 10 February 1975 establishing a European

Centre for the Development of Vocational Training (4), and in particular Article 12a thereof,

— having regard to Commission Regulation (EC, Euratom) No 2343/2002 of 19 November 2002 on the
framework Financial Regulation for the bodies referred to in Article 185 of Council Regulation (EC,
Euratom) No 1605/2002 on the Financial Regulation applicable to the general budget of the European
Communities (5), and in particular Article 94 thereof,

— having regard to Rule 71 of and Annex V to its Rules of Procedure,

— having regard to the report of the Committee on Budgetary Control (A6-0094/2006),

A.

B.

C.

whereas the Court of Auditors stated that it had obtained reasonable assurance that the annual
accounts for the financial year ended 31 December 2004 were reliable and that, except for a
number of irregularities noted in the award of contracts, the underlying transactions, taken as a
whole, were legal and regular,

whereas the Court of Auditors states that it has obtained reasonable assurance from all the agencies,
excepting the express reservations in respect of the 2004 financial year concerning the European
Agency for Reconstruction, the European Centre for the Development of Vocational Training, the
European Training Foundation, the European Monitoring Centre on Racism and Xenophobia and
the European Food Safety Authority,

whereas on 12 April 2005 Parliament gave discharge to the Director in respect of the implementa-
tion of the Centre's budget for the 2003 financial year (6) and in its resolution containing the
comments accompanying the discharge decision (7)
it inter alia urged the Centre to complete
changes to its financial organisation during 2005,

(1) OJ C 269, 28.10.2005, p. 29.
(2) OJ C 332, 28.12.2005, p. 60.
(3) OJ L 248, 16.9.2002, p. 1.
(4) OJ L 39, 13.2.1975, p. 1. Regulation as last amended by Regulation (EC) No 2051/2004 (OJ L 355, 1.12.2004, p. 1).
(5) OJ L 357, 31.12.2002, p. 72. Regulation as amended by Regulation (EC, Euratom) No 1261/2005 (OJ L 201,

2.8.2005, p. 3).

(6) OJ L 196, 27.7.2005, p. 68.
(7) OJ L 196, 27.7.2005, p. 69.

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Official Journal of the European Union

L 340/67

1.

2.

3.

4.

5.

6.

7.

8.

9.

Recalls that, under Article 185 of the Financial Regulation, Parliament shall give discharge for the
implementation of the budgets of the bodies set up by the Communities and having legal personality
which actually receive grants charged to the budget; points out, however, that not all of these bodies
are fully, or even partially, funded via grants charged to the budget; emphasises that the discharge
decision therefore covers both the budget and the non-budget funding of these bodies; considers it
unacceptable that some of the bodies set up by the Union are accountable for the expenditure of
income received from sources other than the budget whilst others, which do not receive a subsidy
from the budget, are not; affirms the principle that all Community agencies, whether or not they are
subsidised, are subject to discharge by Parliament, even when another discharge authority intervenes
in accordance with their basic texts; takes the view that there is a need to review all texts that go
against this principle;

introduced for the first time during the 2003
Finds table 1 of the Court of Auditors' report,
discharge exercise, which summarises
the Centre's powers and responsibilities, governance,
resources, activities and services provided, of great value; notes that the information contained in
table 1 is supplied by the Centre; asks the Court to verify the contents of table 1;

Insists that as well as spending money properly, agencies should also strive to spend money as effi-
ciently and effectively as possible;
invites the Court of Auditors to consider the possibility of
extending its specific annual reports on the agencies to include an examination of performance and
achievement of objectives; in this context and in line with its resolutions on the 2003 discharge,
insists that the following aspects be taken into account: that duplication of work among the agencies
must be avoided as much as possible and that measures designed to improve transparency and
communication with the public must be clarified, along with Community affirmative action
measures at all levels of recruitment, training and the assignment of responsibilities;

Notes that Community agencies do not always have a good image or good press and that many of
them do not deserve such a negative image; points out that EU citizens should be made aware of
this, with appropriate means being used to explain as often as is necessary the raisons d'être and
achievements of the agencies; calls on the Commission to act accordingly, using whatever means it
considers necessary;

Notes that the enlargement of the European Union in 2004 has affected the structures and operating
arrangements of the Community agencies in many ways, and that several of the agencies draw atten-
tion to these effects in their activity reports, focusing in particular on the increase in the number of
administrators; calls on the Commission to assess the real or supposed problems encountered and to
recommend the regulatory changes required;

Notes that the Commission has made a commitment to harmonising the way in which activity
reports concerning its directorates-general are presented; calls for a similar approach to be taken in
respect of the activity reports of the Communities' agencies, which differ significantly in terms of
content; calls on the Commission to point out to the Communities'agencies the information and
activity indicators that they must provide;

Urges the Centre to adapt future budgets to ensure that differentiated appropriations are properly
presented;

Is pleased to note the significant reduction in carryovers achieved by the Centre in 2004 compared
to previous years, allowing the budget implemented by the Centre to reflect more closely the budget
approved by the budgetary authority;

Stresses that the Centre must ensure that the accounts are complete and that all activities, including
the staff canteen's purchases and sales, are properly monitored;

10.

Is concerned by the irregularities noted by the Court of Auditors in the contract award procedure;
notes the steps taken by the Centre to ensure that such irregularities will not be repeated; calls on
the Centre to ensure that tendering specifications and competition rules are strictly applied;

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6.12.2006

11.

12.

Notes the Court of Auditors' comments on inconsistencies in recruitment procedure; stresses the
need for fairness, openness and transparency in recruitment; welcomes the Centre's intention to
prepare a guide on recruitment procedures in 2005;

Notes the Centre's observation in the comments accompanying the 2004 annual accounts that ‘not
all stages of the modernisation process have been completed’; expects a fuller report accompanying
the 2005 accounts confirming whether changes to its financial organisation have been completed
and, if this is not the case, explaining why this is so, and what remains to be done and indicating
the expected timetable for completion;

13. Welcomes the information supplied on internal audits; notes the recommendation of the Governing
Board in its opinion on the 2004 accounts that the Centre ensure full implementation of the internal
control standards; asks the Centre to report on progress in this regard in its report on the 2005
accounts, as well as on progress in establishing a specific internal audit function and in recruiting its
own internal auditor;

14.

15.

Calls on the Commission to help the agencies follow as closely as possible the work plan agreed for
the year ahead, allowing activities to be properly planned and implemented, and particularly to
avoid major, last-minute changes to the work load;

Asks the Commission to improve synergies between agencies by making cooperation more effective,
avoiding duplication of work and addressing shortcomings, in particular as regards common areas
such as training, the implementation of Community policies across the board, the use of the latest
management systems and solving problems relating to sound management of the budget.