Regulation (EC) No 1339/2008 of the European Parliament and of the Council of 16 December 2008 establishing a European Training Foundation (recast)
Date: 2008-12-16
Institutions: Council of the European Union, European Parliament
Subjects: European Committee of the Regions, European Training Foundation, action programme, budget estimate, development region, improvement of housing

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REGULATION (EC) No 1339/2008 OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL

of 16 December 2008

establishing a European Training Foundation

(recast)

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EURO-
PEAN UNION,

(5)

Having regard to the Treaty establishing the European Commu-
nity, and in particular Article 150 thereof,

Having regard to the proposal from the Commission,

Having regard to the opinion of the European Economic and
Social Committee (1),

Having consulted the Committee of the Regions,

Acting in accordance with the procedure laid down in Article 251
of the Treaty (2),

Whereas:

(1)

(2)

(3)

(4)

The European Council meeting at Strasbourg on 8
and 9 December 1989 called upon the Council to adopt,
at the beginning of 1990, the necessary decisions for the
establishment of a European Training Foundation for Cen-
tral and Eastern Europe, acting on a proposal from the
Commission. To this end on 7 May 1990 the Council
adopted Regulation (EEC) No 1360/90.

Council Regulation (EEC) No 1360/90 of 7 May 1990
establishing a European Training Foundation (3) has been
substantially amended several times. Since further amend-
ments are to be made, it should be recast in the interests of
clarity.

On 18 December 1989 the Council adopted Regulation
(EEC) No 3906/89 on economic aid to the Republic of
Hungary and the Polish People’s Republic (4) which pro-
vided for aid in areas including training to support the pro-
cess of economic and social reform in Hungary and Poland.

The Council subsequently extended such aid to other coun-
tries of Central and Eastern Europe under relevant legal
acts.

(1) Opinion of 22 October 2008 (not yet published in the Official Jour-

nal).

(2) Opinion of the European Parliament of 22 May 2008 (not yet pub-
lished in the Official
Journal), Council Common Position of
18 November 2008 (OJ C 310 E, 5.12.2008, p. 1) and Position of the
European Parliament of 16 December 2008 (not yet published in the
Official Journal).

(3) OJ L 131, 23.5.1990, p. 1.
(4) OJ L 375, 23.12.1989, p. 11.

On 27 July 1994 the Council adopted Regulation (EC)
No 2063/94 (5) amending Regulation (EEC) No 1360/90,
with a view to including in the activities of the European
Training Foundation the States receiving assistance under
Regulation (Euratom, EEC) No 2053/93 of 19 July 1993
concerning the provision of technical assistance to eco-
nomic reform and recovery in the independent States of
the former Soviet Union and Mongolia (6) (the TACIS
Programme).

(6)

(7)

(8)

On 17 July 1998 the Council adopted Regulation (EC)
No 1572/98 (7) amending Regulation (EEC) No 1360/90
with a view to including in the activities of the European
Training Foundation the Mediterranean non-member
countries and territories which are beneficiaries of the
financial and technical measures to accompany the reform
of their economic and social structures pursuant to Coun-
cil Regulation (EC) No 1488/96 of 23 July 1996 on finan-
cial and technical measures to accompany (MEDA) the
reform of economic and social structures in the framework
of the Euro-Mediterranean partnership (8).

On 5 December 2000 the Council adopted Regulation (EC)
No 2666/2000 on assistance for Albania, Bosnia and
Herzegovina, Croatia, the Federal Republic of Yugoslavia
and the Former Yugoslav Republic of Macedonia (9)
amending Regulation (EEC) No 1360/90 with a view to
including in the activities of the European Training Foun-
dation the Western Balkan States covered by Regulation
(EC) No 2666/2000.

External assistance programmes relating to the countries
covered by the activities of the European Training Founda-
tion are to be replaced by new external relations policy
instruments, mainly the instrument established by Council
Regulation (EC) No 1085/2006 of 17 July 2006 establish-
ing an Instrument for Pre-Accession Assistance (IPA) (10)
and the instrument established by Regulation (EC)
No 1638/2006 of the European Parliament and of the
Council of 24 October 2006 laying down general provi-
sions establishing a European Neighbourhood and Partner-
ship Instrument (11).

(5) OJ L 216, 20.8.1994, p. 9.
(6) OJ L 187, 29.7.1993, p. 1.
(7) OJ L 206, 23.7.1998, p. 1.
(8) OJ L 189, 30.7.1996, p. 1. Regulation repealed by Regulation (EC)

No 1638/2006.

(9) OJ L 306, 7.12.2000, p. 1.
(10) OJ L 210, 31.7.2006, p. 82.
(11) OJ L 310, 9.11.2006, p. 1.

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(9)

(10)

(11)

(12)

(13)

(14)

(15)

(16)

By supporting human capital development in the context
of its external relations policy, the European Union con-
tributes to economic development in these countries by
providing the skills necessary to foster productivity and
employment and supports social cohesion by promoting
civic participation.

In the context of the efforts of these countries to reform
their economic and social structures, the development of
human capital is essential for attaining long-term stability
and prosperity and in particular for achieving socio-
economic equilibrium.

The European Training Foundation could make an impor-
tant contribution, in the context of EU external relations
policies, to improving human capital development, in par-
ticular education and training in a lifelong learning
perspective.

In order to make its contribution, the European Training
Foundation will need to call upon the experience gained
within the EU in relation to education and training in a life-
long learning perspective and upon those of its institutions
which are involved in this activity.

There exist in the Community and in third countries,
including the countries covered by the activities of the
European Training Foundation, regional and/or national,
public and/or private facilities which can be called upon to
collaborate in the effective provision of aid in the area of
human capital development, in particular education and
training in a lifelong learning perspective.

The status and structure of the European Training Founda-
tion should facilitate a flexible response to the specific and
differing requirements of the individual countries to be
assisted, and enable it to carry out its functions in close
cooperation with existing national and international
bodies.

The European Training Foundation should be endowed
with legal personality, while maintaining a close corporate
relationship with the Commission and respecting the over-
all political and operational responsibilities of the Commu-
nity and its institutions.

The European Training Foundation should have close links
with the European Centre for the Development of Voca-
tional Training (Cedefop), with the Trans-European Mobil-
ity Scheme for University Studies (Tempus) and any other
schemes instituted by the Council to provide aid in the area
of training to the countries covered by its activities.

(17)

The European Training Foundation should be open to the
participation of countries which are not Member States of
the Community and which share the commitment of the
Community and the Member States to the provision of aid
to the countries covered by the activities of the European
Training Foundation in the field of human capital devel-
opment, in particular education and training in a lifelong
learning perspective, under arrangements to be laid down
in agreements between the Community and themselves.

(18) All Member States, the European Parliament and the Com-
mission should be represented on a Governing Board in
the
effectively the
order
Foundation.

functions of

to oversee

(19)

(20)

(21)

(22)

In order to guarantee the full autonomy and independence
of the Foundation, it should be granted an autonomous
budget the revenues of which come primarily from a Com-
munity contribution. The Community budgetary proce-
dure should be applicable as far as the Community
contribution and any other subsidies chargeable to the
general budget of the European Union are concerned. The
auditing of accounts should be undertaken by the Court of
Auditors.

The Foundation is a body set up by the Communities
within the meaning of Article 185(1) of Council Regula-
tion (EC, Euratom) No 1605/2002 of 25 June 2002 on the
Financial Regulation applicable to the general budget of
the European Communities (1) (hereinafter referred to as
the ‘Financial Regulation’) and should adopt its financial
rules accordingly.

Commission Regulation (EC, Euratom) No 2343/2002 of
19 November 2002 on the framework Financial Regula-
tion for the bodies referred to in Article 185 of Council
Regulation (EC, Euratom) No 1605/2002 (2) (hereinafter
referred to as the ‘Framework Financial Regulation’) should
apply to the Foundation.

In order to combat fraud, corruption and other unlawful
activities, the provisions of Regulation (EC) No 1073/1999
of the European Parliament and of the Council of 25 May
1999 concerning investigations conducted by the Euro-
pean Anti-Fraud Office (OLAF) (3) should apply without
restriction to the Foundation.

(23)

Regulation (EC) No 1049/2001 of the European Parlia-
ment and of the Council of 30 May 2001 regarding public
access to European Parliament, Council and Commission
documents (4) should apply to the Foundation.

(1) OJ L 248, 16.9.2002, p. 1.
(2) OJ L 357, 31.12.2002, p. 72.
(3) OJ L 136, 31.5.1999, p. 1.
(4) OJ L 145, 31.5.2001, p. 43.

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(24)

(25)

(26)

Regulation (EC) No 45/2001 of the European Parliament
and of the Council of 18 December 2000 on the protec-
tion of individuals with regard to the processing of per-
sonal data by the Community institutions and bodies and
on the free movement of such data (1) should apply to the
processing of personal data by the Foundation.

Pursuant to a Decision of 29 October 1993, taken by com-
mon agreement between the representatives of the Gov-
ernments of the Member States, meeting at Head of State
and Government level, on the location of the seats of cer-
tain bodies and departments of the European Communi-
ties and of Europol (2), the Foundation is to have its seat in
Turin, Italy.

Since the objective of this Regulation, namely assisting
third countries in the field of human capital development,
cannot be sufficiently achieved by the Member States and
can therefore be better achieved at Community level, the
Community may adopt measures, in accordance with the
principle of subsidiarity as set out in Article 5 of the Treaty.
In accordance with the principle of proportionality, as set
out in that Article, this Regulation does not go beyond
what is necessary in order to achieve that objective.

The countries referred to in points (a), (b) and (c) shall be desig-
nated as the ‘partner countries’.

2.
For the purpose of this Regulation, ‘human capital develop-
ment’ shall be defined as work which contributes to the lifelong
development of individuals’ skills and competences through the
improvement of vocational education and training systems.

In order to achieve its objective, the Foundation may pro-

3.
vide assistance to partner countries in:

(a)

facilitating adaptation to industrial changes,
through vocational training and retraining,

in particular

(b)

improving initial and continuing vocational training in order
to facilitate vocational integration and reintegration into the
labour market,

(c)

facilitating access to vocational training and encouraging the
mobility of instructors and trainees and particularly young
people,

(27)

This Regulation respects the fundamental rights recognised
by the Charter of Fundamental Rights of the European
Union, in particular Article 43 thereof,

(d)

stimulating cooperation on training between educational
establishments and firms,

HAVE ADOPTED THIS REGULATION:

Article 1

Objective and scope

The European Training Foundation (hereinafter referred to
1.
as the ‘Foundation’) is hereby established. The objective of the
Foundation shall be to contribute, in the context of EU external
relations policies, to improving human capital development, in
the following countries:

(a)

the countries eligible for support under Regulation (EC)
No 1085/2006 and subsequent related legal acts;

(b)

the countries eligible for support under Regulation (EC)
No 1638/2006 and subsequent related legal acts;

(c) other countries designated by decision of the Governing
Board on the basis of a proposal supported by two-thirds of
its members and a Commission opinion, and covered by a
Community instrument or international agreement that
includes an element of human capital development, and as
far as available resources allow.

(e) developing exchanges of information about and experience
in issues common to the training systems of the Member
States,

(f)

increasing the adaptability of workers, particularly through
increased participation in education and training in a lifelong
learning perspective,

(g) designing, introducing and implementing reforms in educa-
tion and training systems, in order to develop employability
and labour market relevance.

Article 2

Functions

For the purpose of achieving the objective set out in Article 1(1),
the Foundation, within the limits of the powers conferred on the
Governing Board and following the general guidelines established
at Community level, shall have the following functions:

(a)

to provide information, policy analyses and advice on human
capital development issues in the partner countries;

(1) OJ L 8, 12.1.2001, p. 1.
(2) OJ C 323, 30.11.1993, p. 1.

(b)

to promote knowledge and analysis of skills needs in national
and local labour markets;

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(c)

to support relevant stakeholders in partner countries in build-
ing capacity in human capital development;

(d)

to facilitate the exchange of information and experience
among donors engaged in human capital development
reform in partner countries;

(e)

to support the delivery of Community assistance to partner
countries in the field of human capital development;

(f)

to disseminate information and encourage networking and
the exchange of experience and good practice between the
EU and partner countries and amongst partner countries in
human capital development issues;

The Foundation may establish co-operation agreements
6.
with other relevant bodies active in the human capital develop-
ment field in the EU and worldwide. The Governing Board shall
adopt such agreements on the basis of a draft submitted by the
Director after the Commission has delivered its opinion. The
working arrangements contained therein must comply with Com-
munity law.

Article 4

Transparency

The Foundation shall act with a high level of transparency

1.
and comply, in particular, with paragraphs 2 to 4.

(g)

to contribute, at the Commission’s request, to the analysis of
the overall effectiveness of training assistance to the partner
countries;

The Foundation shall make public within six months of set-

2.
ting up its Governing Board:

(h)

to undertake such other tasks as may be agreed between the
Governing Board and the Commission, within the general
framework of this Regulation.

(a)

the rules of procedure of the Foundation and those of the
Governing Board;

Article 3

General provisions

1.
The Foundation shall have legal personality and shall enjoy
in each of the Member States the most extensive legal capacity
accorded to legal persons under its laws. The Foundation may, in
particular, acquire or dispose of movable and immovable prop-
erty and may be a party to legal proceedings. The Foundation
shall be non-profit making.

(b)

the annual activity report of the Foundation.

In appropriate cases, the Governing Board may authorise
3.
representatives of interested parties to attend meetings of the
Foundation’s bodies in the capacity of observers.

Regulation (EC) No 1049/2001 shall apply to documents

4.
held by the Foundation.

2.

The Foundation shall have its seat in Turin, Italy.

The Governing Board shall adopt practical arrangements for
applying that Regulation.

The Foundation shall cooperate with the other relevant
3.
Community bodies, with the support of the Commission. The
Foundation shall cooperate, in particular, with the European Cen-
tre for the Development of Vocational Training (Cedefop) in the
framework of a joint annual work programme annexed to the
annual work programme of each of the two agencies with the
objective of promoting synergy and complementarity between
their activities.

4.
Representatives of the social partners at European level
which are already active in the work of Community institutions,
and international organisations active in the training field, may,
where appropriate, be invited to participate in the work of the
Foundation.

Article 5

Confidentiality

1. Without prejudice to Article 4(4), the Foundation shall not
divulge to third parties confidential information it has received for
which confidential treatment has been requested and is justified.

2.
The members of the Governing Board and the Director shall
be subject to the obligation of professional secrecy referred to in
Article 287 of the Treaty.

5.
The Foundation shall be subject to the administrative review
of the European Ombudsman, pursuant to the conditions set out
in Article 195 of the Treaty.

3.
The information gathered by the Foundation in accordance
with its establishing act shall be subject to Regulation (EC)
No 45/2001.

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Article 6

Remedies

Decisions taken by the Foundation pursuant to Article 8 of Regu-
lation (EC) No 1049/2001 may form the subject of a complaint
to the Ombudsman or of an action before the Court of Justice of
the European Communities under the conditions laid down in
Articles 195 and 230 of the Treaty respectively.

Article 7

Governing Board

1.
The Foundation shall have a Governing Board consisting of
one representative of each Member State, three representatives of
the Commission, as well as three non-voting experts appointed by
the European Parliament.

In addition, three representatives of the partner countries may
attend meetings of the Governing Board as observers.

Representatives may be replaced by alternates appointed at the
same time.

The Member States and the Commission shall each appoint
2.
their own representatives and their alternates on the Governing
Board.

The representatives of the partner countries shall be appointed by
the Commission from a list of candidates proposed by those
countries on the basis of their experience and expertise in the
Foundation’s areas of work.

The Member States, the European Parliament and the Commis-
sion shall endeavour to achieve a balanced representation of men
and women on the Governing Board.

The term of office of representatives shall be five years. It

3.
shall be renewable once.

The Governing Board shall be chaired by one of the repre-
4.
sentatives of the Commission. The term of office of the Chairper-
son shall expire when his or her membership of the Governing
Board ceases.

5.

The Governing Board shall adopt its rules of procedure.

Article 8

Voting rules and tasks of the Chairperson

1.
The representatives of the Member States on the Governing
Board shall each have one vote. The representatives of the Com-
mission shall have one shared vote.

Decisions of the Governing Board shall require a two-thirds
majority of its members entitled to vote, except in the cases
referred to in paragraphs 2 and 3.

The Governing Board shall determine, by a unanimous deci-
2.
sion of its members entitled to vote, rules governing the languages
of the Foundation, taking into account the need to ensure access
to, and participation in, the work of the Foundation by all inter-
ested parties.

3.
The Chairperson shall convene the Governing Board at least
once a year. Further meetings may be convened at the request of
a simple majority of the members of the Governing Board entitled
to vote.

The Chairperson shall be responsible for informing the Govern-
ing Board of other Community activities relevant to its work and
the Commission’s expectations concerning the Foundation’s
activities in the forthcoming year.

Article 9

Powers of the Governing Board

The Governing Board shall have the following functions and
powers:

(a)

to appoint and, where necessary, dismiss the Director in
accordance with Article 10(5);

(b)

to exercise disciplinary authority over the Director;

(c)

to adopt the Foundation’s annual work programme on the
basis of a draft submitted by the Director after the Commis-
sion has delivered its opinion, in accordance with Article 12;

(d)

to draw up an annual estimate of expenditure and revenue
for the Foundation and forward it to the Commission;

(e)

(f)

(g)

(h)

(i)

to adopt the Foundation’s draft establishment plan and the
definitive budget following completion of the annual budget
procedure, in accordance with Article 16;

to adopt the Foundation’s annual activity report, in accor-
dance with the procedure laid down in Article 13 and send it
to the Community institutions and the Member States;

to adopt the Foundation’s rules of procedure on the basis of
a draft submitted by the Director after the Commission has
delivered its opinion;

to adopt the financial rules applicable to the Foundation on
the basis of a draft submitted by the Director after the Com-
in accordance with
mission has delivered its opinion,
Article 19;

to adopt
No 1049/2001,
Regulation.

the procedures for applying Regulation (EC)
this
in accordance with Article 4 of

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Article 10

Director

(e)

to perform the duties of authorising officer, in accordance
with Articles 33 to 42 of
the Framework Financial
Regulation;

1.
The Director of the Foundation shall be appointed by the
Governing Board for a period of five years from a list of at least
three candidates submitted by the Commission. Before being
appointed, the candidate selected by the Governing Board shall be
invited to make a statement before the competent committee(s) of
the European Parliament and answer questions put by its/their
members.

In the course of the last nine months of that five-year period, the
Commission shall, on the basis of a prior evaluation by external
experts, undertake an evaluation which shall assess, in particular:

— the performance of the Director,

— the Foundation’s duties and requirements in the coming

years.

The Governing Board, acting on a proposal by the Commission,
taking into account the evaluation report and only in those cases
where it can be justified by the duties and requirements of the
Foundation, may extend the term of office of the Director once
for not more than three years.

The Governing Board shall inform the European Parliament of its
intention to extend the Director’s term of office. In the month
before the extension of his/her term of office, the Director may be
invited to make a statement before the competent committee(s) of
the European Parliament and answer questions put by its/their
members.

If the term of office is not extended, the Director shall remain in
office until the appointment of his/her successor.

2.
The Director shall be appointed on the basis of merit,
administrative and management skills and expertise and experi-
ence in the field of work of the Foundation.

(f)

to implement the Foundation’s budget;

(g)

to put in place an effective monitoring system to enable the
regular evaluations referred to in Article 24 to be carried out
and, on this basis, prepare a draft annual activity report;

(h)

to present
Parliament;

the annual activity report

to the European

(i)

(j)

to manage all staff-related matters, and in particular exercise
the powers provided for in Article 21;

to define the Foundation’s organisational structure and sub-
mit it to the Governing Board for approval;

(k)

to represent the Foundation before the European Parliament
and the Council in accordance with Article 18.

The Director shall be accountable for his/her actions to the
5.
Governing Board, which may, on a proposal from the Commis-
sion, remove the Director from office before his/her term of office
has expired.

Article 11

Public interest and independence

The members of the Governing Board and the Director shall act
in the public interest and independently of any external influence.
To this end they shall make a written declaration of commitment
and a written declaration of interests every year.

Article 12

Annual work programme

The Director shall be the legal representative of

3.
Foundation.

1.
The annual work programme shall be consistent with the
objective, scope and functions of the Foundation defined in
Articles 1 and 2.

the

4.

The Director shall have the following functions and powers:

(a)

to prepare, on the basis of general guidelines established by
the Commission, the draft annual work programme, the draft
estimate of expenditure and revenue of the Foundation, its
draft rules of procedure and those of the Governing Board,
its draft financial rules, and the work of the Governing Board
and of any ad hoc working parties convened by the Govern-
ing Board;

2.
The annual work programme shall be drafted within the
framework of a four-year multiannual work programme in coop-
eration with the Commission services and with regard to the pri-
orities of external relations with the countries and regions
concerned and on the basis of experience acquired in education
and training within the Community.

3.
The projects and activities set out in the annual work pro-
gramme shall be accompanied by an estimate of the necessary
expenditure and by allocations of staff and budgetary resources.

(b)

to participate, without the right to vote, in meetings of the
Governing Board;

4.
The Director shall submit the draft annual work programme
to the Governing Board after the Commission has delivered an
opinion on it.

(c)

to implement the decisions of the Governing Board;

(d)

to implement the Foundation’s annual work programme and
respond to requests for assistance from the Commission;

5.
The Governing Board shall adopt the draft annual work pro-
gramme by 30 November of the preceding year at the latest. The
final adoption of the annual work programme shall take place at
the beginning of the financial year in question.

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6. Where necessary, the annual work programme may be
adapted during the year using the same procedure, in order to
ensure greater effectiveness of Community policies.

The budget shall also include details of any funds made
4.
available by the partner countries themselves for projects benefit-
ing from financial assistance from the Foundation.

Article 13

Annual activity report

Article 16

Budgetary procedure

The Director shall report to the Governing Board on the
1.
performance of his/her duties in the form of an annual activity
report.

2.
The annual activity report shall contain financial and man-
agement information indicating the results of operations by ref-
erence to the annual work programme and to the objectives set,
the risks associated with those operations, the use made of the
resources provided and the way the internal control system has
functioned.

3.
The Governing Board shall draft an analysis and an assess-
ment of the draft annual activity report on the previous financial
year.

4.
The Governing Board shall adopt the annual activity report
and forward it together with its analysis and an assessment to the
competent bodies of the European Parliament, the Council, the
Commission, the Court of Auditors and the European Economic
and Social Committee by 15 June of the following year at the lat-
est. This report shall also be forwarded to the Member States and,
for information, to the partner countries.

Each year, on the basis of a draft drawn up by the Director,
1.
the Governing Board shall produce an estimate of revenue and
expenditure for the Foundation for the following financial year.
This estimate, which shall include a draft establishment plan, shall
be forwarded by the Governing Board to the Commission by
31 March at the latest.

2.
The Commission shall examine the estimate, having regard
to the proposed limits of the overall amount available for exter-
nal actions, and enter in the preliminary draft general budget of
the European Union the resources it deems necessary for the
establishment plan and the amount of the subsidy to be charged
to the general budget of the European Union.

The estimate shall be forwarded by the Commission to the
3.
European Parliament and the Council
(hereinafter together
referred to as the ‘budgetary authority’) together with the prelimi-
nary draft general budget of the European Union.

The budgetary authority shall authorise the appropriations

4.
for the subsidy to the Foundation.

5.
The Director shall present the Foundation’s annual activity
report to the relevant committees of the European Parliament and
preparatory bodies of the Council.

The budgetary authority shall adopt the establishment plan for
the Foundation.

Article 14

Links with other Community actions

The budget of the Foundation shall be adopted by the Gov-
5.
erning Board. It shall become final following final adoption of the
general budget of the European Union. Where appropriate, it shall
be adjusted accordingly.

The Commission, in cooperation with the Governing Board, shall
ensure consistency and complementarity between the work of the
Foundation and other actions at Community level, both within
the Community and in the provision of assistance to the partner
countries.

The Governing Board shall, as soon as possible, notify the
6.
budgetary authority of its intention to implement any project
which may have significant financial implications for the funding
of the Foundation’s budget, in particular any projects relating to
property, such as the rental or purchase of buildings. It shall
inform the Commission thereof.

Article 15

Budget

1.
Estimates of all the revenue and expenditure of the Founda-
tion shall be prepared for each financial year and shall be shown
in the budget of the Foundation, which shall include an establish-
ment plan. The financial year shall correspond to the calendar
year.

Where a branch of the budgetary authority has notified its inten-
tion to deliver an opinion, it shall forward its opinion to the Gov-
erning Board within a period of six weeks from the date of
notification of the project.

Article 17

Budget implementation and control

The revenue and expenditure shown in the budget of the

2.
Foundation shall be in balance.

3.
The revenue of the Foundation shall comprise, without
prejudice to other types of income, a subsidy from the general
budget of the European Union, payments made as remuneration
for services performed as well as finance from other sources.

By 1 March at the latest following each financial year, the
1.
Foundation’s accounting officer shall communicate the provi-
sional accounts to the Commission’s accounting officer together
with a report on budgetary and financial management for that
financial year. The Commission’s accounting officer shall consoli-
date the provisional accounts of the institutions and decentralised
bodies in accordance with Article 128 of the Financial Regulation.

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By 31 March at the latest following each financial year, the
2.
Commission’s accounting officer shall forward the Foundation’s
provisional accounts to the Court of Auditors, together with a
report on budgetary and financial management for that financial
year. The report on budgetary and financial management for that
financial year shall also be forwarded to the European Parliament
and the Council.

3.

The Director shall implement the budget of the Foundation.

4.
On receipt of the Court of Auditors’ observations on the
Foundation’s provisional accounts, pursuant to Article 129 of the
Financial Regulation, the Director shall draw up the Foundation’s
final accounts under his/her own responsibility and forward them
to the Governing Board for an opinion.

The Governing Board shall deliver an opinion on the Foun-

5.
dation’s final accounts.

6.
The Director shall, by 1 July at the latest following each
financial year, forward these final accounts to the European Par-
liament, the Council, the Commission and the Court of Auditors,
together with the Governing Board’s opinion.

Article 19

Financial Rules

The financial rules applicable to the Foundation shall be
1.
adopted by the Governing Board after the Commission has been
consulted. They may not depart from the Framework Financial
Regulation unless specifically required for the Foundation’s opera-
tion and with the Commission’s prior consent.

2.
In accordance with Article 133(1) of the Financial Regula-
tion, the Foundation shall apply the accounting rules adopted by
the Commission’s accounting officer so that the accounts of the
Foundation can be consolidated with those of the Commission.

Regulation (EC) No 1073/1999 shall apply to the Founda-

3.
tion in its entirety.

4.
The Foundation shall respect the Interinstitutional Agree-
ment of 25 May 1999 between the European Parliament, the
Council and the Commission concerning internal investigations
by the European Anti-fraud Office (OLAF) (1). The Governing
Board shall adopt the necessary measures to help OLAF carry out
such internal investigations.

7.

The final accounts shall be published.

Article 20

Privileges and immunities

8.
The Director shall send the Court of Auditors a reply to its
observations by 30 September following each financial year at the
latest. He/she shall also send that reply to the Governing Board.

The Protocol on the privileges and immunities of the European
Communities shall apply to the Foundation.

9.
The Director shall submit to the European Parliament, at the
latter’s request, any information required for the smooth applica-
tion of the discharge procedure for the financial year in question,
as laid down in Article 146(3) of the Financial Regulation.

Article 21

Staff regulations

The European Parliament, on a recommendation from the
10.
Council acting by a qualified majority, shall, before 30 April of
year N + 2, give a discharge to the Director in respect of the
implementation of the budget for year N.

11.
The Director shall take all appropriate steps called for by
the observations accompanying the decision giving the discharge.

Article 18

European Parliament and Council

1.
The staff of the Foundation shall be governed by the rules
and regulations applicable to the officials and other servants of
the European Communities.

The Foundation shall exercise over its staff the powers

2.
devolved to the Appointing Authority.

3.
The Governing Board shall, in agreement with the Commis-
sion, adopt the appropriate implementing rules in accordance
with the arrangements provided for in Article 110 of the Staff
Regulations of Officials of the European Communities and
Article 127 of the Conditions of Employment of Other Servants
of the European Communities.

Without prejudice to the controls referred to in Article 17 and, in
particular the budgetary and discharge procedures, the European
Parliament or the Council may ask at any time to hear the Direc-
tor on any subject relating to the Foundation’s activities.

4.
The Governing Board may adopt provisions to allow
national experts from Member States or partner countries to be
employed on secondment to the Foundation.

(1) OJ L 136, 31.5.1999, p. 15.

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Article 22

Liability

The contractual liability of the Foundation shall be governed

1.
by the law applicable to the contract in question.

2.
In the case of non-contractual liability, the Foundation shall,
in accordance with the general principles common to laws of the
Member States, make good any damage caused by the Founda-
tion or its servants in the performance of their duties.

The Court of Justice of the European Communities shall have
jurisdiction in disputes relating to compensation for any such
damage.

3.
The personal liability of servants towards the Foundation
shall be governed by the relevant provisions applying to the staff
of the Foundation.

Article 23

Participation of third countries

1.
The Foundation shall be open to the participation of coun-
tries which are not Member States of the Community and which
share the commitment of the Community and the Member States
to the provision of aid in the human capital development field to
the partner countries defined in Article 1(1), under arrangements
to be laid down in agreements between the Community and
themselves, following the procedure laid down in Article 300 of
the Treaty.

The agreements shall, inter alia, specify the nature and extent of
and the detailed rules for the participation of these countries in
the work of the Foundation, including provisions on financial
contributions and staff. Such agreements may not provide for
third countries to be represented on the Governing Board with
voting rights or contain provisions not in accordance with the
staff regulations referred to in Article 21 of this Regulation.

2.
The participation of third countries in ad hoc working par-
ties may be decided upon as necessary by the Governing Board,
without an agreement as referred to in paragraph 1.

and ex post evaluations of its activities where these necessitate sig-
nificant expenditure. The Governing Board shall be notified of the
results of these evaluations.

2.
The Commission shall, every four years, in consultation
with the Governing Board, conduct an evaluation of the imple-
mentation of this Regulation, the results obtained by the Founda-
tion and its working methods in light of the objectives, mandate
and functions defined in this Regulation. The evaluation shall be
carried out by external experts. The Commission shall present the
results of the evaluation to the European Parliament, the Council
and the European Economic and Social Committee.

3.
The Foundation shall take all appropriate steps to remedy
any problems which may come to light in the process of
evaluation.

Article 25

Review

Following its evaluation, the Commission shall present, where
necessary, a proposal for the revision of this Regulation. If the
Commission considers that the existence of the Foundation is no
longer justified with regard to the objectives assigned to it, it may
propose that this Regulation be repealed.

Article 26

Repeal

(EEC) No 1360/90,

(EC)
Regulations
No 1572/98, (EC) No 1648/2003 and Article 16 of Regulation
(EC) No 2666/2000, as listed in Annex I to this Regulation, are
repealed.

(EC) No 2063/94,

References to the repealed Regulations shall be construed as ref-
erences to this Regulation and shall be read in accordance with
the correlation table set out in Annex II to this Regulation.

Article 24

Evaluation

Article 27

Entry into force

In accordance with Article 25(4) of the Framework Finan-
1.
cial Regulation, the Foundation shall regularly carry out ex ante

This Regulation shall enter into force on the 20th day following
that of its publication in the Official Journal of the European Union.

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

Done at Strasbourg, 16 December 2008.

For the European Parliament
The President
H.-G. PÖTTERING

For the Council
The President
B. LE MAIRE

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L 354/91

ANNEX I

Repealed Regulation and successive amendments

Council Regulation (EEC) No 1360/90

Council Regulation (EC) No 2063/94

Council Regulation (EC) No 1572/98

(OJ L 131, 23.5.1990, p. 1)

(OJ L 216, 20.8.1994, p. 9)

(OJ L 206, 23.7.1998, p. 1)

Article 16 of the Council Regulation (EC) No 2666/2000

(OJ L 306, 7.12.2000, p. 1)

Council Regulation (EC) No 1648/2003

(OJ L 245, 29.9.2003, p. 22)

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ANNEX II

CORRELATION TABLE

Regulation (EEC) No 1360/90

This Regulation

Article 1 first paragraph

Article 1 first to fourth intent

Article 1 second sentence

—

—

—

Article 2

Article 3 first paragraph

Article 3 points (a) to (g)

—

Article 3 point (h)

Article 4(1)

—

Article 4(3) first sentence

—

Article 4(2)

—

—

Article 4a(1)

Article 4a(2)

—

Article 4a(3)

Article 5(1)

Article 5(2)

—

Article 5(3)

Article 5(4) first subparagraph

—

Article 1(1) introductory words

—

—

Article 1(1) points (a) to (c)

Article 1(1) second subparagraph

Article 1(2) to (3)

—

Article 2 first paragraph

—

Article 2 points (a) to (f)

Article 2 point (g)

Article 3(1)

Article 3(2)

Article 3(3) first sentence

Article 3(3) second sentence

—

Article 3(4) and (5)

Article 4(1) to (3)

Article 4(4) first subparagraph

Article 4(4) second subparagraph

Article 5

Article 6

Article 7(1)

Article 7(2) first and second subparagraphs

Article 7(2) third and fourth subparagraphs

Article 7(3)

Article 7(4) first sentence

Article 7(4) second sentence

Article 5(4) second subparagraph

Article 7(5)

Article 5(4) third and fourth subparagraphs

Article 8(1) first subparagraph

—

Article 5(4) last subparagraph

Article 5(5) and (6)

Article 5(7) to (10)

—

Article 6

Article 7(1) first sentence

Article 7(1) second sentence

—

—

Article 8(1) second subparagraph

Article 8(1) last subparagraph

Article 8(2) and (3)

—

Article 9

—

Article 10(1) first sentence

—

Article 10(1)
sub-paragraphs

Article 10(2)

second sentence and second to fourth

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Regulation (EEC) No 1360/90

This Regulation

Article 7(2)

Article 7(3)

—

—

—

—

Article 8

Article 9

Article 10(1)

—

Article 10(2)

Article 10(3)

Article 10(4) to (6)

Article 11(1)

Article 11(2) and (3)

Article 11(4) to (10)

—

—

Article 12

—

Article 13

Article 14

—

Article 15

Article 16(1)

—

Article 16(2)

—

Article 17

—

Article 18

—

—

Article 19

—

Article 10(5) first sentence

Article 10(3)

Article 10(4) points (a) to (k)

Article 11

Article 12

Article 13

Article 14

Article 15

Article 16(1)

Article 16(2)

Article 16(3)

—

Article 16(4) to (6)

Article 17(3)

Article 17(1) and (2)

Article 17(4) to (10)

Article 17(11)

Article 18

Article 19(1)

Article 19(2) to (4)

Article 20

Article 21(1)

Article 21(2) to (4)

Article 22

Article 23(1) first subparagraph and first sentence of the
second subparagraph

Article 23(1) last sentence of the second subparagraph

Article 23(2)

Article 24(1)

Article 24(2)

Article 24(3)

—

Article 25

Article 26

Article 27

Annex