CELEX: 52001PC0663
Language: en
Date: 2001-11-13
Title: Proposal for a Council Regulation amending Regulation (EEC) No 4045/89 on scrutiny by Member States of transactions forming part of the system of financing by the Guarantee Section of the European Agricultural Guidance and Guarantee Fund

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52001PC0663

Proposal for a Council Regulation amending Regulation (EEC) No 4045/89 on scrutiny by Member States of transactions forming part of the system of financing by the Guarantee Section of the European Agricultural Guidance and Guarantee Fund  /* COM/2001/0663 final - CNS 2001/0264 */  

Official Journal 051 E , 26/02/2002 P. 0366 - 0367

Proposal for a COUNCIL REGULATION amending Regulation (EEC) No 4045/89 on scrutiny by Member States of transactions forming part of the system of financing by the Guarantee Section of the European Agricultural Guidance and Guarantee Fund(presented by the Commission)EXPLANATORY MEMORANDUMOver the years, but in particular during the modification process to redefine the rural development measures excluded (Regulation (EC) No 2311/2000), several Member States have raised the issue of the minimum number of scrutinies required by the legislation. For some (particularly Italy and Spain with some 600 scrutinies each) the minimum number poses problems in completing scrutinies in time and handicaps the development of new approaches and more in-depth examinations.The minimum number of scrutinies is determined as 50% of the number of undertakings receiving over EUR 100 000 in aid. This figure has not changed since 1994.Inflation percentages 1994-2001 are calculated at around 4% cumulating to some 35%. Setting the calculation parameter for the minimum number at EUR 150 000 avoids having to change the Regulation again within a few years.To have greater flexibility to allow, on a more regular basis, a reduction in the minimum number of scrutinies and to enhance the performance of joint actions the proposal to the Council includes an addition to Article 7 which would decrease the minimum number by a maximum of 25%.Furthermore, the reporting requirement in respect of mutual assistance requests ( Article 7) is simplified (quarterly reporting on a summary basis).The Regulation does not require any financial involvement of the Community and the proposal is thus without financial consequences.2001/0264 (CNS)Proposal for a COUNCIL REGULATION amending Regulation (EEC) No 4045/89 on scrutiny by Member States of transactions forming part of the system of financing by the Guarantee Section of the European Agricultural Guidance and Guarantee FundTHE COUNCIL OF THE EUROPEAN UNION,Having regard to the Treaty establishing the European Community, and in particular Article 37 thereof,Having regard to the proposal from the Commission [1],[1]  OJ C ..., ..., p. ...Having regard to the opinion of the European Parliament [2],[2]  OJ C ..., ..., p. ...Whereas:(1) The rules for the selection of undertakings to be scrutinised as laid down in Article 2 of Council Regulation (EEC) No 4045/89 [3], as last amended by Regulation (EC) No 3235/94 [4], should be modified to take account of developments in the use of risk analysis techniques in other control measures, in order to take account of inflation since the last amendment to Regulation (EEC) No 4045/89, and to give Member States greater flexibility in the selection of undertakings.[3]  OJ L 388, 30.12.1989, p.18.[4]  OJ L 338, 28.12.1994, p. 16.(2) Provision should be made for cases where Member States carry out joint actions involving mutual assistance between Member States.(3) The provisions relating to the communication of requests for mutual assistance under Article 7 of Regulation (EEC) No 4045/89 should be simplified.(4) The provisions dealing with the financial participation of the Community in Member States' expenditure resulting from the application of Regulation (EEC) No 4045/89 have become obsolete and should be deleted.(5) Regulation (EEC) No 4045/89 should therefore be amended accordingly,HAS ADOPTED THIS REGULATION:Article 1Regulation (EEC) No 4045/89 is amended as follows:(1) Article 2(2) is amended as follows:(a) in the first subparagraph, 'ECU 100 000' is replaced by 'EUR 150 000';(b) in the fourth subparagraph, 'ECU 300 000' is replaced by 'EUR 350 000';(c) in the fifth subparagraph, 'ECU 30 000' is replaced by 'EUR 40 000';(2) Article 7 is amended as follows:(a) In paragraph 1, the following subparagraph is added:'Where two or more Member States include in the programme sent in under Article 10(1) a proposal for joint action involving extensive mutual assistance, the Commission may, on request, allow a reduction of up to a maximum of 25% of the minimum number of scrutinies as determined under Article 2(2) for the Member States concerned.'(b) In paragraph 2, the last sentence is replaced by the following:'An overview of such requests shall be sent to the Commission on a quarterly basis, within one month after the end of each quarter. The Commission may demand that a copy of individual requests be provided.'(c) Paragraph 4 is replaced by the following:'4. If additional information is required in another Member State as part of the scrutiny of an undertaking in accordance with Article 2, and in particular cross-checks in accordance with Article 3, specific scrutiny requests may be made indicating the reasons for the request. An overview of such specific requests shall be sent to the Commission on a quarterly basis within one month after the end of each quarter. The Commission may demand that a copy of individual requests be provided.The scrutiny request shall be met not later than six months after its receipt; the results of the scrutiny shall be communicated without delay to the requesting Member State and to the Commission. The communication to the Commission shall be on a quarterly basis within one month after the end of each quarter.'(3) Articles 12, 13, 14, 15, 16, 16a, and 17 are deleted.Article 2This Regulation shall enter into force on the third day following that of its publication in the Official Journal of the European Communities.It shall apply with effect from the 2002/03 scrutiny period.This Regulation shall be binding in its entirety and directly applicable in all Member States.Done at Brussels,For the CouncilThe President