CELEX: 51998PC0676
Language: en
Date: 1998-11-20
Title: Amended proposal for a Council Regulation (EC, ECSC, Euratom) amending the Financial Regulation of 21 December 1977 applicable to the general budget of the European Communities

C 396/18           EN                 Official Journal of the European Communities                   19.12.98
            Amended proposal for a Council Regulation (EC, ECSC, Euratom) amending the Financial
            Regulation of 21 December 1977 applicable to the general budget of the European
                                                      CommunitiesØ(Î)
                                                       (98/C 396/09)
                                          COM(1998) 676 final — 98/0130(CNS)
            (Submitted by the Commission pursuant to Article 189a(2) of the EC Treaty and the second
                         paragraph of Article 119 of the Euratom Treaty on 20 November 1998)
            (Î)ÙOJ CØ149, 15.5.1998, p. 21.
            In the light of the opinions of Parliament and the Court of Auditors, the Commission is
            presenting its proposal as follows:
                   INITIAL PROPOSAL                                            AMENDED PROPOSAL
THE COUNCIL OF THE EUROPEAN UNION,
Having regard to the Treaty establishing the European
Coal and Steel Community, and in particular Article 78h
thereof,
Having regard to the Treaty establishing the European
Community, and in particular Article 209 thereof,
Having regard to the Treaty establishing the European
Atomic Energy Community, and in particular Article 183
thereof,
Having regard to the proposal from the Commission,
Having regard to the opinion of the Court of Auditors,
Having regard to the opinion of Parliament,
Having regard to the opinion of the Economic and
Social Committee,
Having regard to the opinion of the Committee of the
Regions,
Whereas the conciliation provided for by the Joint
Declaration of 4 March 1975 by Parliament, the Council
and the Commission has taken place in a conciliation
committee;
 ---pagebreak--- 19.12.98             EN                Official Journal of the European Communities                               C 396/19
                      INITIAL PROPOSAL                                               AMENDED PROPOSAL
Whereas it is necessary to amend the Financial Regu-
lation of 21 December 1977 applicable to the general
budget of the European CommunitiesØ(Î), hereinafter
‘Financial Regulation’, in order to take account of the
entry into force of the Treaty of Amsterdam of 2
October 1997, the implementation of the third phase of
economic and monetary union and the adoption of
Council Regulation (EC) No 1467/97 of 7 July 1997 on
speeding up and clarifying the implementation of the
excessive deficit procedureØ(Ï);
Whereas the Treaty of Amsterdam provides for the                 Whereas the Treaty of Amsterdam provides for the
repeal of Protocol No 16 of the Treaty on European               repeal of Protocol No 16 of the Treaty on European
Union on the common organisational structure for the             Union on the common organisational structure for the
Economic and Social Committee and the Committee of               Economic and Social Committee and the Committee of
the Regions;                                                     the Regions; whereas specific sections of the budget
                                                                 should therefore be created for the Economic and Social
                                                                 Committee and the Committee of the Regions and also
                                                                 for the Ombudsman;
Whereas, in accordance with Regulation (EC) No                   Whereas, in accordance with Regulation (EC) No
1103/97 of 17 June 1997Ø(Ð) on certain provisions                1103/97 of 17 June 1997Ø(Ð) on certain provisions
relating to the introduction of the euro, all references to      relating to the introduction of the euro, all references to
the ecu are replaced by references to the euro at the rate       the ecu are replaced by references to the euro at the rate
of one euro to one ecu; whereas, in accordance with              of one euro to one ecu; whereas, in accordance with
Regulation .Ø.Ø./97 of .Ø.Ø. 1998 on the introduction of the     Council Regulation (EC) No 974/98 of 3 May 1998 on
euro, the euro will be the currency of the participating         the introduction of the euro (Ñ), the euro will be the
Member States starting from 1 January 1999;                      currency of the participating Member States starting
                                                                 from 1 January 1999;
Whereas, during the transition period (from 1.1.1999 to          Whereas, during the transition period (from 1.1.1999 to
31.12.2001), any reference in this regulation to the euro        31.12.2001), any reference in this regulation to the euro
must, as a general rule, also be read as a reference to the      must, as a general rule, also be read as a reference to the
euro as a currency unit as specified in the second               euro as a currency unit as specified in the second
sentence of Article 2 of Regulation .Ø.Ø./97 of .Ø.Ø. 1998;      sentence of Article 2 of Council Regulation (EC) No
                                                                 947/98 of 3 May 1998;
Whereas, following the adoption by the Council of the
abovementioned Regulation No 1467/97, a mechanism
must be provided for ensuring that the revenue from
payment by the Member States of fines imposed by the
Council is allocated for distribution of the amounts in
question between the Member States participating in the
system which do not have an excessive deficit, while
guaranteeing that the requirements of budgetary trans-
parency in those operations are met,
(Î)ÙOJ L 356, 31.12.1977, p. 1. Regulation last amended by       (Ð)ÙOJ L 162, 19.6.1997, p. 1.
    Council Regulation 2444/97 (EC) of 22 September 1997         (Ñ)ÙOJ L 139, 11.5.1998, p. 1.
    (OJ L 340, 11.12.1997, p. 1).
(Ï)ÙOJ L 209, 2.8.1997, p. 6.
(Ð)ÙOJ L 162, 19.6.1997, p. 1.
 ---pagebreak--- C 396/20             EN                Official Journal of the European Communities                               19.12.98
                      INITIAL PROPOSAL                                              AMENDED PROPOSAL
HAS ADOPTED THIS REGULATION:
                           Article 1
The Financial Regulation is amended as follows:
  1.ÙAfter the first indent in the second subparagraph of
     Article 4(2), the following new indent is inserted:
     ‘—Ùinterest on the deposits and fines referred to in
          Section 4 of Council Regulation (EC) No
          1467/97Ø(Î), in accordance with Article 126a’.
                                                                  1a.ÙIn Article 7(3), ‘the Ombudsman’ is inserted after
                                                                      ‘the Committee of the Regions’.
  2.ÙArticle 11 is replaced by the following:                     2.ÙArticle 11 is replaced by the following:
     ‘Article 11                                                     ‘Article 11
     1.ÚÙThe budget shall be drawn up in euros.                      1.ÚÙThe budget shall be drawn up in euros.
     2.ÚÙThe euro shall be the single currency as defined            2.ÚÙThe euro shall be the single currency as defined
     in Regulation (EC) No .Ø.Ø./97 of .Ø.Ø. 1998 on the             in Council Regulation (EC) No 974/98 of 3 May
     introduction of the euroØ(Ï).                                   1998 on the introduction of the euroØ(*).
                                                                     (*)ÙOJ L 139, 11.5.1998, p. 1.
     3.ÚÙWithout prejudice to specific provisions                    3.ÚÙWithout prejudice to specific provisions
     deriving from the application of sector-specific rules          deriving from the application of sector-specific rules
     governing either revenue or expenditure, the rights             governing either revenue or expenditure, the rights
     and obligations of the Communities shall be                     and obligations of the Communities shall be
     expressed and executed in euros.                                expressed and executed in euros.
     4.ÚÙConversions between the euro and the                        4.ÚÙConversions between the euro and the
     currencies of the Member States which have not                  currencies of the Member States which have not
     adopted the euro shall be made at the exchange rate             adopted the euro shall be made at the exchange rate
     applicable on the day of the operation; derogations             applicable on the day of the operation; derogations
     from this principle may be permitted in exceptional             from this principle may be permitted in exceptional
     cases, in accordance with the implementing rules                cases, in accordance with the implementing rules
     referred to in Article 139.’                                    referred to in Article 139.
(Î)ÙOJ L 209, 2.8.1997, p. 6.
(Ï)Ù[OJ C 236, 2.8.1997, p. 7.]
 ---pagebreak--- 19.12.98            EN               Official Journal of the European Communities                               C 396/21
                     INITIAL PROPOSAL                                              AMENDED PROPOSAL
                                                                   5.ÚÙThe daily euro exchange rates for the
                                                                   currencies not participating in the single currency
                                                                   shall be available each day and shall be published in
                                                                   the Official Journal of the European Communities.’
                                                                2a.ÙArticle 12 is amended as follows:
                                                                    a)Ùthe first paragraph is replaced by the following:
                                                                        ‘The European Parliament, the Council, the
                                                                        Court of Justice, the Court of Auditors, the
                                                                        Economic      and     Social   Committee,     the
                                                                        Committee of the Regions and the Ombudsman
                                                                        shall, each year before 1 July, draw up an
                                                                        estimate of their revenue and expenditure for the
                                                                        following year.’
                                                                    b) The second paragraph is deleted.
                                                                2b. In Article 14 the first paragraph is replaced by the
                                                                    following:
                                                                    ‘The Commission may, on its own initiative or if
                                                                    requested by the European Parliament, the Council,
                                                                    the Court of Justice, the Court of Auditors, the
                                                                    Economic and Social Committee, the Committee of
                                                                    the Regions or the Ombudsman, each in respect of
                                                                    its own section, present to the Council a letter of
                                                                    amendment to the preliminary draft budget neces-
                                                                    sitated by the receipt of new information which was
                                                                    not available at the time the preliminary draft was
                                                                    established.’
                                                                2c. Article 15(4) is replaced by the following:
                                                                    ‘Requests for supplementary and/or amending
                                                                    budgets from the European Parliament, the
                                                                    Council, the Court of Justice, the Court of
                                                                    Auditors, the Economic and Social Committee, the
                                                                    Committee of the Regions or the Ombudsman shall
                                                                    be forwarded by the Commission to the budgetary
                                                                    authority. The Commission may attach a dissenting
                                                                    opinion.’
 3.ÙArticle 19(1) is amended as follows:                        3.ÙArticle 19(1) is amended as follows:
    a)Ùin the first subparagraph, the second indent is             a)Ùin the first subparagraph, the second indent is
       replaced by the following:                                      replaced by the following:
       ‘—Ùseparate sections subdivided into statements                 ‘—Ùseparate sections subdivided into statements
            of revenue and expenditure of the European                      of revenue and expenditure of the European
            Parliament, the Council, the Commission, the                    Parliament, the Council, the Commission, the
            Court of Justice, the Court of Auditors, the                    Court of Justice, the Court of Auditors, the
            Economic and Social Committee and the                           Economic and Social Committee, the
            Committee of the Regions.’                                      Committee of the Regions and the
                                                                            Ombudsman.’
 ---pagebreak--- C 396/22            EN               Official Journal of the European Communities                                19.12.98
                     INITIAL PROPOSAL                                              AMENDED PROPOSAL
    b) the third subparagraph is deleted.                          b) the second and third subparagraphs are deleted.
 4.ÙIn paragraph 5 of Article 19, ‘ECU’ is replaced by
    ‘EUR’.
 5.ÙIn the first indent of Article 20(3), ‘the staff of the     5.ÙIn the first indent of Article 20(3), ‘The staff of the
    Economic and Social Committee, the Committee of                Ombudsman shall be shown separately in
    the Regions and their common organisational                    Parliament’s establishment plan. The staff of the
    structure shall be shown separately in their specific          Economic and Social Committee, the Committee of
    section’ is deleted.                                           the Regions and their common organisational
                                                                   structure shall be shown separately in their specific
                                                                   section’ is deleted.
 6.ÙArticle 22 is amended as follows:                           6.ÙArticle 22 is amended as follows:
    a)Ùin paragraph 2, the second paragraph is deleted;            a)Ùin paragraph 2, the first paragraph is replaced by
                                                                       the following:
                                                                       ‘The Commission shall confer upon the European
                                                                       Parliament, the Council, the Court of Justice, the
                                                                       Court of Auditors, the Economic and Social
                                                                       Committee, the Committee of the Regions and
                                                                       the Ombudsman the requisite powers for the
                                                                       implementation of the sections of the budget
                                                                       relating to them.’
                                                                       The second paragraph is deleted.
    b) in paragraph 5, the second subparagraph is
        deleted.
 7.ÙIn the first paragraph of Article 24, ‘The Economic
    and Social Committee and the Committee of the
    Regions shall appoint a financial controller by
    common agreement’ is deleted.
 8.ÙIn the second paragraph of Article 25, ‘The
    Economic and Social Committee and the Committee
    of the Regions shall appoint an accounting officer by
    common agreement’ is deleted.
 9.ÙIn the second subparagraph of Article 26(2), ‘— the         9.ÙArticle 26 is amended as follows:
    two latter each with regard to the part which relates
    to it and by common agreement with regard to the               a)Ùthe second subparagraph of paragraph 2 is
    common organisational structure —’ is deleted.                     replaced by the following:
                                                                       ‘The Court of Justice, the Court of Auditors, the
                                                                       Economic and Social Committee, the Committee
                                                                       of the Regions and the Ombudsman may, within
                                                                       their own section of the budget, transfer appro-
                                                                       priations from one article to another within each
                                                                       chapter. They shall inform the budgetary
                                                                       authority and the Commission three weeks before
                                                                       making such transfers.’
 ---pagebreak--- 19.12.98            EN                 Official Journal of the European Communities                            C 396/23
                     INITIAL PROPOSAL                                               AMENDED PROPOSAL
                                                                     b) the third subparagraph of paragraph 4 is replaced
                                                                        by the following:
                                                                        ‘Proposals made by the other institutions, the
                                                                        Economic and Social Committee, the Committee
                                                                        of the Regions and the Ombudsman for transfers
                                                                        from one chapter to another shall be auto-
                                                                        matically forwarded to the budgetary authority;
                                                                        the Commission may attach its own opinion to
                                                                        such proposals.’
10.ÙIn the first subparagraph of Article 28a, after
    ‘imposed by the Commission’, the words ‘or the
    Council’ are added.
11.ÙIn Article 31, ‘ecus’ is replaced by ‘euros’.
12.ÙIn Article 33(5), ‘ecu’ is replaced by ‘euro’.
13.ÙArticle 35 is replaced by the following:                     13.ÙArticle 35 is replaced by the following:
    ‘Article 35                                                      ‘Article 35
    The Commission shall, every three months, send                   The Commission shall, every three months, send the
    each Member State which has not adopted the euro                 Member States a statement of the transfers effected
    a statement indicating the transfers effected in that            between their currencies.’
    Member State’s national currency into another
    currency and vice versa.’
14.ÙIn the third indent of Article 44, ‘ecus’ is replaced by
    ‘euros’.
15.ÙIn Article 69, ‘ecus’ is replaced by ‘euros’.
16.ÙIn Article 111(2) and (3), ‘ecus’ is replaced by
    ‘euros’.
17.ÙUnder Title XI, the following new section Ia is              17.ÙAfter Title XI, the following new Title XIa is
    inserted:                                                        inserted:
 ---pagebreak--- C 396/24            EN               Official Journal of the European Communities                                 19.12.98
                     INITIAL PROPOSAL                                              AMENDED PROPOSAL
    ‘SECTION Ia                                                    ‘TITLE XIa
    PROVISIONS APPLICABLE TO THE SANCTIONS                         SPECIAL PROVISIONS APPLICABLE TO THE
    REFERRED TO IN SECTION 4 OF COUNCIL REGU-                      SANCTIONS REFERRED TO IN SECTION 4 OF
    LATION (EC) No 1467/97Ø(*)                                     COUNCIL REGULATION (EC) No 1467/97Ø(*)
    Article 126a                                                   Article 132a
    The budgetary structure for the proceeds of the                The budgetary structure for the proceeds of the
    sanctions referred to in Section 4 of Council Regu-            sanctions referred to in Section 4 of Council Regu-
    lation (EC) No 1467/97 is as follows:                          lation (EC) No 1467/97 is as follows:
    a)Ùthe statement of revenue shall carry a budget               a)Ùthe statement of revenue shall carry a budget
        heading to receive the amounts of each sanction                heading to receive the amounts of the fines and
        imposed by the Council on a Member State in                    the interest on the deposits and the fines imposed
        accordance with Section 4 of Council Regulation                by the Council on a Member State in accordance
        (EC) No 1467/97;                                               with Section 4 of Council Regulation (EC) No
                                                                       1467/97;
    b) in parallel, and without prejudice to Article 28a,          b) in parallel, and without prejudice to Article 28a,
        commitment and payment appropriations shall be                 commitment and payment appropriations shall be
        entered in a heading in the statement of expen-                entered in a heading in the statement of expen-
        diture to match these amounts in the statement of              diture to match these amounts in the statement of
        revenue. These appropriations shall cover the                  revenue. These appropriations shall cover the
        repayments provided for in Article 16 of Council               repayments provided for in Article 16 of Council
        Regulation (EC) No 1467/97.                                    Regulation (EC) No 1467/97.
    (*)ÙOJ L 209, 2.8.1997, p. 6.’                                 (*)ÙOJ L 209, 2.8.1997, p. 6.’
                          Article 2                                                      Article 2
This Regulation shall enter into force on 1 January 1999.      This Regulation shall enter into force on 1 January 1999.
                                                               The provisions relating to Articles 7, 12, 14, 15, 19(1),
                                                               20, 22, 24, 25 and 26 shall enter into force on the first
                                                               day after the entry into force of the Treaty of
                                                               Amsterdam.
This Regulation shall be binding in its entirety and
directly applicable in all Member States.