CELEX: 51974PC1729
Language: en
Date: 1974-10-25
Title: DRAFT DECISION OF THE REPRESENTATIVES OF THE GOVERNMENTS OF THE MEMBER STATES MEETING IN THE COUNCIL on the use of the miscellaneous receipts and interest from the first and second European Development Funds for the construction in Brussels of a building to house the administrative and trade departments of the Associated States (presented by the Commission to the Council)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (74) 1729
Vol. 1974/0277
 ---pagebreak--- Disclaimer
Conformément au règlement (CEE, Euratom) n° 354/83 du Conseil du 1er février 1983
concernant l'ouverture au public des archives historiques de la Communauté économique
européenne et de la Communauté européenne de l'énergie atomique (JO L 43 du 15.2.1983,
p. 1), tel que modifié par le règlement (CE, Euratom) n° 1700/2003 du 22 septembre 2003
(JO L 243 du 27.9.2003, p. 1), ce dossier est ouvert au public. Le cas échéant, les documents
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In accordance with Council Regulation (EEC, Euratom) No 354/83 of 1 February 1983
concerning the opening to the public of the historical archives of the European Economic
Community and the European Atomic Energy Community (OJ L 43, 15.2.1983, p. 1), as
amended by Regulation (EC, Euratom) No 1700/2003 of 22 September 2003 (OJ L 243,
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file have been declassified in conformity with Article 5 of the aforementioned regulation.
In Übereinstimmung mit der Verordnung (EWG, Euratom) Nr. 354/83 des Rates vom 1.
Februar 1983 über die Freigabe der historischen Archive der Europäischen
Wirtschaftsgemeinschaft und der Europäischen Atomgemeinschaft (ABI. L 43 vom 15.2.1983,
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 ---pagebreak--- COMMISSION OF THE
                                               COM(74)1729   final
                                               Brussels , 25 October 1974
                                     DRAFT
           DECISION OP THE REPRESENTATIVES OP THE GOVERNMENTS OP
                      THE MEMBER STATES MEETING IN TEE COUNCIL
   on the use of the miscellaneous receipts and interest from the first
   and second European Development Funds for the construction in Brussels
   of a "building to house the administrative and trade departments of the
   Associated States
                   ( presented by the Commission to the Council )
     C0M(7 ^) 1729 final
 ---pagebreak---                                                              C0M(74)1729 final
                   COMMISSION COMMUNICATION TO THE COUNCIL
Use of the miscellaneous receipts and interest from the first and second
EDF .                                         f '
1 • The balance sheets of the first and second European Development Funds
for the 1973 financial year reveal under the Fund 's "miscellaneous receipts
and interest" a credit balance of 3 656 431 units of account .
These receipts consist mainly of interest accruing to the first and
second EDF on amounts deposited with the Fund 's paying agents . The
amounts in question are blocked in suspense accounts until the Council
decides how they are to be used .
In respect of the first EDF, the Permanent Representatives Committee
agreed at its meeting of 26 May 19^7 that :
"Receipts from the interest shall be used at the appropriate time in the '
interests of the MSM and the OCT , preferably through measures other than
those provided for in the instruments currently in force ."
Similarly , in respect of the second EDF, the Council adopted the following
declaration , recorded in the minutes , at its 134th session held on
13 June 1964s
'•The usual EEC budget rules - apply in respect of any Receipts arising from
the management of EDF resources .      Where appropriate,' the Council will
decide how they are to be used . The Member States agree that such receipts
should preferably be used for the benefit of the AASM and the OCT."
 ---pagebreak---                                                                 C0M(74)1729 final
2 . On 15 June 1973 "the Chairman of the AASM Coordinating Council requested
that the Comaies ion- use- part of - the - credit -balanoe of the Fund 's
"miscellaneous receipts and interest " for the construction , in Brussels ,
of a building to house the Association 's Secretariat .         This "building will
serve two purposes :
  ( i ) It will house the administrative departments of the African and
        Malagasy Group in the Secretariat of the EEC-AASM Association ;
( ii ) It will house the commercial departments of the Associated States
        which , with Community assistance and within the framework of the
        programmes financed by the EDF , are to undertake increasingly vigorous
        promotion of their export trade with the various European markets .
The AASM reasoning in the project submitted to the Commission took account
not only of the needs for which there is at present little or no provision ,
but also of the fact that the number of Associated States will probably
increase from 19 to more than 40 after the current negotiations for the
renewal and enlargement of the Association.
The inevitable result is a need for considerably more staff in administration
and trade promotion , and in interpreting and translation as well .
The building plans , which were examined at the rough layout stage by a firm
of architects , meet this need .      They are for the construction of a five-
storey building comprising , besides the offices for management and. executive
staff , two floors of conference rooms as well as an exhibition room for
exports from the AASM .
                              2
For a covered area of 720 m , the cost of the project' is estimated at
2 million units of account .
3 . At a meeting held on 31 May 1 974 » the Council 's AASM/FIN Working Party ,
on the basis of a paper presented by the Commission on 4 April 1 974 f
declared itself in favour of the principle of using the miscellaneous receipts
and interest from the first and second EDF for the construction of the
building to house the AASM Coordinating Council .           It was understood that
the Commission would present this application under the budget for the 1975
financial year .
 ---pagebreak---                                         - 3 -                    COM( 74 ) 1 729-final
     When preparing the preliminary draft Community "budget for 1 $75 , the
     Commission followed the wishes of the AASM/FDT Working Party by
     entering under Chapter 49 j "Grant to the AASM Coordinating Council",
     an expenditure appropriation of two million u.a.
     The Commission pointed out that this expenditure would be financed by
     transferring to Article 991 of the budget , "Miscellaneous receipts and
     interest arising from the first and second EDF", a sum of two million u.a .
     from the credit balance of interest from the first and second Funds .
 4. During examination of the budget proposals , first        the Budget Committee
     and then the Permanent Representatives Committee did not feel that they
    would be able to give a favourable reply to the Commission's proposal .
     Thus , the Permanent Representatives Committee decided at its meeting
    of 12 September 1974 to cancel the Commission^ proposed !
     entry in the Community Budget of an appropriation of two million u.a.
    •under receipts and expenditure .  The Permanent Representatives stated
    that it was agreed that if such a project were to be carried out , it
    would have to be ex-budget and the supervision exercised over operations
    financed by the EDF - could be extended to this scheme *.
5*  In accordance with the wishes of the Permanent Representatives Committee ,
    the Commission is pleased to submit for approval by the Council a
    draft decision on the use of an appropriation of two million u.a.
    arising from the miscellaneous receipts and interest of the first and
    second EDFr . for the construction, in, Brussels ,, of a building , to house
    the administrative and trade departments of the Associated States .
    ( Annex I ).
    It is the view of the Commission that the management and conditions for
    implementing this appropriation should be based on the principles
    governing the execution of projects financed by the EDF.
 ---pagebreak---                                                            COM(74 ) 17 29 -final
                                    DRAFT
              DECISION OF THE REPRESENTATIVES OP THE GOVERNMENTS
              OP THE MEMBER STATES MEETING IN THE COUNCIL
on the use of the miscellaneous receipts and interest from the first and
second European Development Funds for the construction in Brussels of a
building to house the administrative and trade departments of the
Associated States
THE REPRESENTATIVES OF THE GOVERNMENTS OP THE MEMBER STATES MEETING IN
THE COUNCIL ,
Whereas it is necessary to determine how the "balance of the miscellaneous
receipts and interest arising from the management of the first and second
European Development Funds is to be used ;
Whereas on 15 June 1973 "the Chairman of the AASM Coordinating Council
requested that the Commission use the miscellaneous receipts and interest
from the first and second European Development Funds , for the construction
in Brussels of a building to house the administrative and trade departments
of the Associated States ,
Whereas in the interests of the Association and to facilitate its smooth
functioning this request , in view of its purpose , requires a favourable
response ,
HAVE DECIDED :  •
Article 1
1.   A limited appropriation of two million units of account , 'arising from
the credit balance of the miscellaneous receipts and interest from the
first and second European Development Funds , shall be made available in '
the form of a grant to the AASM Coordinating Council .
2 . This appropriation shall be used for the construction in Brussels of
a building to house the administrative and trade departments of the
Associated States .
 ---pagebreak---                                        - 2 -                    C0M(74 ) 1729-final
 Article 2
The Commission shall have the responsibility of managing this appropriation
 in accordance with the provisions laid down "below.
Article 3
The means of payment corresponding to the appropriation referred to in
Article l(l ) shall be paid into an account opened in the name of the
Commission with a financial institution chosen and authorized "by it .
Article 4
The appropriation made under Article 1 (l ) shall he used to finance the ;        .
following operations :
     ( i ) purchase of site ;                     v..   ;       ' ;
   ( ii ) remuneration of the firm of architects responsible for. -the project
           study and supervising the works ;
 ( iii ) construction of the "building:
   ( iv) furnishing and equipping the building.
Article 5
1.        As the authority responsible for cariying out the project and within
the limits of the appropriation specified in Article 1 , the AASM Coordina­
ting Council shall make the expenditure commitments .        It will accordingly
issue invitations to tender , receive the tenders , publish the results of
the invitations to tender , sign all contracts and additional clauses and
notify them to the Commission .
2.        With respect to payments , expenditure shall be cleared and authorized
by the AASM Coordinating Council .
Article 6
1.        Payments shall be made by the Accounting Officer of the European
Development Fund , within the limits of the funds available .
2.        The Commission 's Financial Controller shall exercise financial control
over the operations involved in implementing this Decision .
 ---pagebreak---                                    r 3 -                  COM( 74 ) 1729 -final
                                    t
Artide 7
Any sums left over from the management of the appropriation shall revert
                                                                   «•»  •  •  • .          m
to the account for the miscellaneous receipts and interest from the
first and second SDPs .
Article 8
1.  Ownership of the building shall be vested in the AASM Coordinating
    Council • ' 1
2.  The AASM Coordinating Council shall be responsible for the management
    and upkeep of the building.
                                                                     Ht   .•••*'  .»■» ' 'S
Article 9                                      •- ■ ;
Subject to the special provisions laid down in this Decision , the *
provisions of Titles I and II of the Financial Regulation of the
European Development Fund , established by the Internal Agreement on
the financing and administration of Community aid , signed at Yaounde
on 29 July 1969 , shall be applicable . <
Doneat Brus sels ,