Document ID: 32008R0501

COMMISSION REGULATION (EC) No 501/2008
of 5 June 2008
laying down detailed rules for the application of Council Regulation (EC) No 3/2008 on information provision and promotion measures for agricultural products on the internal market and in third countries
THE COMMISSION OF THE EUROPEAN COMMUNITIES,
Having regard to the Treaty establishing the European Community,
Having regard to Council Regulation (EC) No 3/2008 of 17 December 2007 on information provision and promotion measures for agricultural products on the internal market and in third countries (1), and in particular Articles 4, 5, 9 and 15 thereof,
Whereas:
(1)
Regulation (EC) No 3/2008 provides that the Commission is to lay down the implementing rules for information and promotion programmes part-financed by the Community budget.
(2)
Taking account of experience gained, the prospects for market development both within and outside the Community and the new international trade situation, an overall, coherent information and promotion policy should be developed for agricultural products and their method of production, as well as for food products based on agricultural products, on the internal market and on third country markets, without encouraging the consumption of any product on grounds of its specific origin. In the interests of clarity, Commission Regulation (EC) No 1071/2005 of 1 July 2005 laying down detailed rules for applying Council Regulation (EC) No 2826/2000 on information and promotion actions for agricultural products on the internal market (2) and Commission Regulation (EC) No 1346/2005 of 16 August 2005 laying down detailed rules for the application of Council Regulation (EC) No 2702/1999 on measures to provide information on, and to promote, agricultural products in third countries (3) should therefore be repealed and replaced by a single regulation, whilst maintaining, in separate chapters, the specific features of measures according to the market in which they are implemented.
(3)
In the interests of sound management, provision should be made for the drawing-up and regular updating of lists of themes, products and markets covered by information and promotion measures for agricultural products, the designation of the national authorities responsible for implementing this Regulation and the determination of the duration of the programmes.
(4)
In the interests of informing and protecting consumers, it should be specified that any message referring to the impact on health of a product passed on to consumers and other target groups under the programmes on the internal market must have a recognised scientific basis and that the sources of that information must be recognised.
(5)
In order to prevent any risk of distortion of competition, general and specific guidelines to be followed for products covered by information and promotion campaigns on the internal market should be drawn up, as should rules on the way the specific origin of products covered by information and promotion campaigns in third countries is to be referred to.
(6)
In the interests of legal certainty, it should be specified that the programmes proposed for the internal market must comply with the body of Community legislation on the products concerned and the marketing thereof and with the above guidelines.
(7)
In order to standardise the methods of selecting implementing bodies and programmes, in third countries the same rules should be applied to the measures to be carried out by the international organisations referred to in Article 6(2) of Regulation (EC) No 3/2008. In the interests of legal certainty, the messages disseminated under programmes should comply with the legislation of the third countries targeted.
(8)
The procedure for submitting programmes and selecting the implementing body should be laid down to ensure the widest possible competition and the free movement of services, bearing in mind, where the proposing organisation is a public body, the provisions of Directive 2004/18/EC of the European Parliament and of the Council of 31 March 2004 on the coordination of procedures for the award of public works contracts, public supply contracts and public service contracts (4).
(9)
Regulation (EC) No 3/2008 provides for the possibility for proposing organisations themselves to implement certain parts of programmes, select the implementing bodies at a later stage in the procedure, and maintain the Community contribution at a constant level not exceeding 50 % of the actual cost of each phase of the programme or 60 % in the case of the measures provided for in the fruit and vegetable sector aimed at children in schools in the Community. Detailed rules for the application of those provisions should be laid down.
(10)
Criteria governing the selection of programmes by the Member States and the examination of the selected programmes by the Commission should be established with a view to ensuring that the Community rules are complied with and that the measures to be implemented are effective. After examining the programmes, the Commission must decide which programmes are to be accepted and lay down the relevant budgets.
(11)
In the case of programmes aimed at third countries, to ensure that the Community measures are effective, the Member States must ensure that the programmes approved are consistent with, and complement, their national and regional programmes, and preferential criteria must be laid down for selecting programmes so as to optimise their impact.
(12)
In the case of programmes involving more than one Member State, provision should be made for measures to ensure that the Member States concerned cooperate in submitting and examining programmes.
(13)
In the interests of sound financial management, programmes should contain detailed rules on the financial contribution of Member States and proposing organisations.
(14)
To avoid the risk of duplication of financing, information and promotion measures on the internal market receiving support under Council Regulation (EC) No 1698/2005 of 20 September 2005 on support for rural development by the European Agricultural Fund for Rural Development (EAFRD) (5) should be excluded from support under Regulation (EC) No 3/2008.
(15)
The various arrangements for fulfilling the commitments entered into should be laid down in contracts to be concluded between the parties concerned and the competent national authorities within a reasonable time limit, using model contracts supplied to the Member States by the Commission.
(16)
To ensure the proper performance of such contracts, contractors should lodge a security equal to 15 % of the Community contribution and that of the Member States concerned in favour of the competent national authority. To the same end, a security should be lodged where an advance payment for each annual phase is applied for.
(17)
The checks to be carried out by the Member States should be determined.
(18)
It should be specified that the implementation of the measures covered by the contracts is to be a primary requirement within the meaning of Article 20 of Commission Regulation (EEC) No 2220/85 of 22 July 1985 laying down common detailed rules for the application of the system of securities for agricultural products (6).
(19)
To comply with budget management requirements, it is essential that a financial penalty be laid down for failure to submit intermediate payment applications on time and for late payment by Member States.
(20)
In the interests of sound financial management and in order to avoid any risk of the payments to be made taking up the whole of the Community financial contribution and leaving no balance to pay, it should be laid down that advances and intermediate payments must not exceed 80 % of the total contribution from the Community and the Member States. To the same end, applications for payment of the balance must reach the competent national authorities within a specified time limit.
(21)
The Member States should check all information and promotion material produced under the programmes. The terms for the use of such material after the end of the programmes should be laid down.
(22)
In the light of experience and in order to monitor the proper implementation of the programmes, detailed rules should be laid down for the monitoring by the group set up to this end under Regulation (EC) No 3/2008.
(23)
The Member States should check the implementation of the measures covered by this Regulation and the Commission should be kept informed of the results of the checks provided for by this Regulation. In the interests of sound financial management, provision should be made for cooperation between the Member States concerned where measures are implemented in a Member State other than the one in which the competent contracting authority is established.
(24)
To protect the Community’s financial interests effectively, appropriate measures should be adopted to combat fraud and gross negligence. Reimbursements and penalties should be introduced to this end.
(25)
It should be clearly laid down that, in the case of multiannual programmes, an internal evaluation report should be submitted on completion of each annual phase, even where no payment request has been made.
(26)
The interest rate payable by the beneficiary of a wrongful payment should be aligned on the interest rate for amounts receivable not repaid on the due date, as referred to in Article 86 of Commission Regulation (EC, Euratom) No 2342/2002 of 23 December 2002 laying down detailed rules for the implementation of Council Regulation (EC, Euratom) No 1605/2002 on the Financial Regulation applicable to the general budget of the European Communities (7).
(27)
The measures provided for in this Regulation are in accordance with the opinion of the Management Committee for the Common Organisation of Agricultural Markets,
HAS ADOPTED THIS REGULATION:
CHAPTER I
GENERAL PROVISIONS
Article 1
Purpose and definition
1. This Regulation lays down detailed rules for applying Regulation (EC) No 3/2008, in particular as regards the drawing-up, selection, implementation, financing and checking of the programmes referred to in Article 6 of that Regulation.
2. ‘Programme’ means a coherent set of operations of a scope that is sufficient to contribute towards improving information about, and sales of, the products concerned.
Article 2
Designation of the competent authorities
The Member States shall designate the competent authorities responsible for implementing this Regulation (hereinafter referred to as ‘competent national authorities’).
They shall notify the Commission of the name and full details of the authorities designated and any changes thereto.
The Commission shall place that information in the public domain in an appropriate form.
Article 3
Duration of programmes
Programmes shall be implemented over a period of at least one year but not more than three years from the date on which the relevant contract takes effect, as referred to in Article 16(1).
Article 4
Characteristics of information and promotion messages for programmes aimed at the internal market
1. In compliance with the criteria set out in Article 3(1) of Regulation (EC) No 3/2008, all information and/or promotion messages passed on to consumers and other target groups under programmes (hereinafter referred to as ‘the message’) shall be based on the intrinsic qualities of the product concerned or its characteristics.
2. Any reference to the origin of products shall be secondary to the central message of a campaign. However, the origin of a product may be indicated as part of an information or promotion operation in the case of a designation under Community rules or a typical product needed to illustrate the information or promotion measures.
3. Any reference in messages to be disseminated to the effects on health of consuming the products concerned shall be based on generally accepted scientific data.
Messages referring to such effects must be acceptable to the national authority responsible for public health.
A trade or inter-trade organisation as referred to in Article 6(1) of Regulation (EC) No 3/2008 which proposes a programme shall keep a list available for the Member State concerned and the Commission of the scientific studies and the opinions of authorised scientific institutions on which the messages in the programme referring to effects on health are based.
Article 5
Characteristics of information and promotion messages for programmes aimed at third countries
1. All messages shall be based on the intrinsic qualities of the product concerned or its characteristics.
These messages must comply with the legislation applicable in the third countries at which they are targeted.
2. Any reference to the origin of products shall be secondary to the central message of a campaign. However, the origin of a product may be indicated as part of an information or promotion operation in the case of a designation under Community rules or a typical product needed to illustrate the information or promotion measures.
Article 6
Purpose of the measures to be carried out and indicative budgets
1. The list of themes and products that may be covered by measures to be implemented on the internal market, in accordance with Article 3(1) of Regulation (EC) No 3/2008, is set out in Part A of Annex I to this Regulation.
It shall be updated every two years, not later than 31 March.
2. The list of products that may be covered by measures to be implemented in third countries, in accordance with Article 3(2) of Regulation (EC) No 3/2008, is set out in Part A of Annex II to this Regulation. The list of third country markets on which those measures may be carried out is set out in Part B of Annex II.
They shall be updated every two years, not later than 31 December.
3. The indicative annual budgets for the various sectors are set out in Annex III.
CHAPTER II
SELECTION OF PROGRAMMES REFERRED TO IN ARTICLES 6 TO 8 OF REGULATION (EC) No 3/2008
Article 7
Programmes aimed at third countries in collaboration with international organisations
1. Where Article 6(2) of Regulation (EC) No 3/2008 applies, the international organisations referred to in that Article must submit, on request by the Commission, proposals for the programmes scheduled for the following year.
The conditions for the grant and payment of the Community contribution referred to in Article 13(4) of Regulation (EC) No 3/2008 shall be governed by an assistance agreement concluded between the Community and the international organisation concerned.
2. Directive 2004/18/EC shall apply where measures are implemented by the international organisations referred to in Article 6(2) of Regulation (EC) No 3/2008.
Article 8
Submission of programmes
1. For the purpose of implementing the operations under programmes, the Member State concerned shall publish a call for proposals each year.
No later than 30 November each year in the case of the internal market and no later than 31 March each year in the case of third countries, the trade and inter-trade organisations in the Community which are representative of the sectors concerned (hereinafter referred to as ‘proposing organisations’) shall submit their programmes to the Member State.
Programmes shall be submitted in a form prescribed by the Commission and be available on its website. This format shall be attached to the calls for proposals referred to in the first subparagraph.
2. The programmes submitted in accordance with paragraph 1 shall:
(a)
comply with Community rules governing the products concerned and their marketing;
(b)
comply with the specifications stipulating exclusion, selection and award criteria distributed to that end by the Member States concerned;
(c)
contain sufficient detail to enable their compliance with the applicable rules and their cost/benefit ratio to be evaluated.
3. For the purposes of implementing its programmes, each proposing organisation shall select one or more implementing bodies by an appropriate competitive procedure validated by the Member State concerned. Where this selection has been made before the programme is submitted, the implementing body may take part in drawing up the programme.
Article 9
Pre-selection of programmes by Member States
1. The Member States shall draw up a provisional list of the programmes they select on the basis of the criteria laid down in the specifications referred to in Article 8(2)(b).
2. The Member States shall check programmes aimed at third countries in particular against the following criteria:
(a)
consistency between the strategies proposed and the objectives set;
(b)
the quality of the proposed measures;
(c)
their likely impact in increasing demand for the products concerned;
(d)
assurances that the proposing organisations are effective and representative;
(e)
the technical capacities of the proposed implementing body and assurances that it is effective.
3. In addition to the requirements laid down in Article 8 and this Article, programmes aimed at the internal market shall comply with the guidelines for promotion on the internal market referred to in Article 5(1) of Regulation (EC) No 3/2008 and set out in Part B of Annex I to this Regulation.
4. Where a programme involving more than one Member State is planned, the Member States concerned shall jointly select the programme and nominate a coordinating Member State. They shall undertake to contribute to the financing of the programmes in accordance with Article 14(2) and agree on administrative collaboration procedures to facilitate the monitoring, implementation and checking of the programmes.
5. In the case of programmes aimed at third countries, the individual Member States shall ensure that any national or regional measures they undertake are in agreement with measures part-financed under Regulation (EC) No 3/2008 and that the programmes submitted complement national and regional campaigns.
Article 10
Priority in selecting programmes aimed at third countries
1. Among the programmes referred to in Article 6(1) of Regulation (EC) No 3/2008 submitted by several Member States, preference shall be given, in the case of programmes aimed at third countries, to those covering a group of products and placing particular emphasis on quality, nutritional value and food safety aspects of Community production.
2. In the case of programmes involving a single Member State or a single product, preference shall be given to those that emphasise the Community interest in particular in terms of the quality, nutritional value, safety and representativeness of European agricultural and food production.
Article 11
Selection of programmes by the Commission
1. No later than 15 February of each year in the case of the internal market and no later than 30 June of each year in the case of third countries, the Member States shall send the Commission the list referred to in Article 9(1) including, where applicable, the list of implementing bodies which they have selected, where these have already been selected in accordance with Article 8(3), and a copy of each programme.
In the case of programmes involving more than one Member State, this notification shall be made by common accord of the Member States concerned.
2. The Commission shall inform the Member States concerned if it finds that all or part of a programme submitted does not comply with:
(a)
the Community rules; or
(b)
the guidelines, in the case of the internal market; or
(c)
the criteria referred to in Article 9(2), in the case of third countries.
The information referred to in the first subparagraph shall be communicated within 60 calendar days of receipt of the list referred to in Article 9(1).
3. In accordance with the third subparagraph of Article 7(2) of Regulation (EC) No 3/2008, the Member States shall send their amended programmes to the Commission within 30 calendar days of receiving the information referred to in paragraph 2 of this Article.
After checking the amended programmes the Commission shall decide, no later than 30 June in the case of the internal market and no later than 30 November in the case of third countries, which programmes it may part-finance in accordance with the procedure referred to in Article 16(2) of Regulation (EC) No 3/2008.
4. The proposing organisation(s) shall be responsible for the proper implementation and management of the programmes selected.
Article 12
Approval of implementing bodies by the Member State
1. The implementing body selected in accordance with Article 8(3) shall be approved by the Member State, which shall inform the Commission thereof before the contract referred to in Article 16(1) is signed.
2. The Member State shall check that the implementing body selected has the necessary financial and technical resources to ensure that the measures are implemented in the most effective manner in accordance with Article 11(3) of Regulation (EC) No 3/2008. It shall inform the Commission of the procedure followed to this end.
Article 13
Implementation of certain parts of a programme by the proposing organisation
1. A proposing organisation may implement certain parts of a programme in accordance with Article 11(2) of Regulation (EC) No 3/2008 subject to the following conditions:
(a)
the proposing organisation meets the requirements set out in Article 11(3) of Regulation (EC) No 3/2008;
(b)
the proposing organisation has at least five years’ experience of implementing such measures;
(c)
the part of the programme carried out by the proposing organisation accounts for no more than 50 % of its total cost, except in duly justified cases and after the Commission has given its written authorisation;
(d)
the proposing organisation ensures that the cost of the measure which it plans to carry out itself is not in excess of the normal market rates.
The Member State shall check that these conditions are met.
2. Where the proposing organisation is a body governed by public law within the meaning of the second subparagraph of Article 1(9) of Directive 2004/18/EC, the Member States shall take measures as necessary to ensure that the authorities awarding contracts enforce the provisions of that Directive.
CHAPTER III
FINANCING OF PROGRAMMES
Article 14
General financing rules
1. The Community’s financial contribution shall be paid to the Member States concerned.
2. Where several Member States contribute to the financing of a programme, their shares shall complement the financial contributions of each of the proposing organisations established in their respective territories. In such cases, Community financing shall not exceed the limits referred to in Article 13(2) of Regulation (EC) No 3/2008.
3. Details of the financial contributions provided for in Article 13 of Regulation (EC) No 3/2008 shall be given in the programme communicated to the Commission.
Article 15
Special rules for the internal market
1. Where Article 9 of Regulation (EC) No 3/2008 applies, the procedure provided for in Article 11(1), (2) and (3) and Articles 14 to 23 of this Regulation shall apply.
In the case of the programmes provided for in Article 9 of Regulation (EC) No 3/2008, the contracts shall be concluded between the Member States concerned and the implementing bodies selected.
2. Information and promotion operations receiving support under Council Regulation (EC) No 1698/2005 shall not be eligible for a Community financial contribution under this Regulation.
Article 16
Conclusion of contracts and provision of securities
1. As soon as the Commission adopts the decision referred to in Article 11(3), the proposing organisations concerned shall be informed by the Member States whether or not their applications have been accepted.
The Member States shall conclude contracts with the selected proposing organisations within 90 calendar days of notification of the Commission decision referred to in Article 11(3). Beyond that deadline, no contracts may be concluded without prior authorisation from the Commission.
2. The Member States shall use the model contracts provided by the Commission.
Where appropriate, the Member States may amend certain terms in the model contracts in line with national rules, provided that this does not infringe Community legislation.
3. Contracts may not be concluded by the two parties until a security equal to 15 % of the maximum annual financial contribution from the Community and the Member States concerned has been lodged in favour of the Member State by the proposing organisation in accordance with Title III of Commission Regulation (EEC) No 2220/85 in order to ensure satisfactory performance of the contract.
However, if the contracting organisation is a body governed by public law or acts under the supervision of such a body, the competent national authority may accept a written guarantee from the supervisory body covering the percentage specified in the first subparagraph, provided that the supervisory body undertakes to verify that:
(a)
the obligations entered into are properly discharged; and
(b)
the sums received are used properly to discharge the obligations entered into.
Proof that the performance security has been lodged must reach the Member State within the time limit laid down in paragraph 1.
4. The primary requirement within the meaning of Article 20 of Regulation (EEC) No 2220/85 shall be implementation of the measures provided for in the contract.
5. The Member State shall immediately send the Commission a copy of the contract and proof that the performance security has been lodged.
It shall also send a copy of the contract concluded by the selected proposing organisation with the implementing body. That contract shall contain the provision that the implementing body must submit to the checks provided for in Article 25.
Article 17
Arrangements for the payment of advances
1. Within 30 calendar days of the contract referred to in Article 16(1) being signed and, in the case of multiannual programmes, within 30 days of the beginning of each 12-month period, the contracting organisation may submit an application for an advance payment to the Member State concerned, together with the security provided for in paragraph 3 of this Article. Beyond that date, no applications for an advance may be made.
Each advance payment shall amount to no more than 30 % of the annual contribution from the Community and the Member State(s) concerned, as referred to in Article 13(2) and (3) respectively of Regulation (EC) No 3/2008.
2. The Member State shall pay an advance within 30 calendar days of submission of the application for advance payment. Except in cases of force majeure, where the payments are made late the amount of the monthly advance paid by the Commission to the Member State shall be reduced in accordance with Article 9 of Commission Regulation (EC) No 883/2006 (8).
3. The advance shall be paid on condition that the contracting organisation lodges a security equal to 110 % of that advance in favour of the Member State in accordance with Title III of Regulation (EEC) No 2220/85. The Member State shall immediately forward to the Commission a copy of each application for an advance payment and proof that the corresponding security has been lodged.
However, if the contracting organisation is a body governed by public law or acts under the supervision of such a body, the competent national authority may accept a written guarantee from the supervisory body covering the percentage specified in the first subparagraph, provided the supervisory body undertakes to pay the amount covered by its guarantee if entitlement to the advance as paid is not established.
Article 18
Intermediate payments
1. Applications for intermediate payments of the Community and Member State contributions shall be submitted by the proposing organisations to the Member States before the end of the calendar month following the month in which each period of three months calculated from the date of signing of the contract referred to in Article 16(1) expires.
Such applications shall cover the payments made during the three-month period concerned and shall be accompanied by a summary financial statement, copies of the relevant invoices and supporting documents and an interim report on the implementation of the contract during the quarter concerned (hereinafter referred to as ‘three-monthly report’). Where no payment has been made or no activities have been carried out during the three-month period concerned, these documents shall be sent to the competent national authority within the deadline referred to in the first subparagraph.
Except in cases of force majeure, where an application for intermediate payment accompanied by the documents referred to in the second subparagraph is submitted late, the payment shall be reduced by 3 % for each whole month by which it is overdue.
2. The intermediate payments shall be paid only on condition that the Member State has checked the documents referred to in the second subparagraph of paragraph 1.
3. Intermediate payments and the advance payments referred to in Article 17 taken together may not exceed 80 % of the total annual financial contribution from the Community and the Member States concerned referred to in Article 13(2) and (3) respectively of Regulation (EC) No 3/2008. Once that level is reached, no new intermediate payment applications may be submitted.
Article 19
Payment of the balance
1. Applications for payment of the balance shall be submitted by the proposing organisation to the Member State within four months of completion of the annual measures covered by the contract referred to in Article 16(1).
To be considered admissible, the application shall be accompanied by a report (hereinafter referred to as ‘annual report’) comprising:
(a)
a summary of the work carried out and an evaluation of the results obtained, as can be ascertained at the date of the report;
(b)
a summary financial statement showing all expenditure scheduled and incurred.
The annual report shall be accompanied by copies of the invoices and supporting documents relating to the payments made.
Except in cases of force majeure, where an application for payment of the balance is submitted late, the balance shall be reduced by 3 % for each month by which it is overdue.
2. The balance shall be paid only on condition that the Member State has checked the invoices and documents referred to in the third subparagraph of paragraph 1.
Where the primary requirement referred to in Article 16(4) is not satisfied in full, the balance payable shall be reduced proportionately.
Article 20
Payments by the Member State
Member States shall make the payments referred to in Articles 18 and 19 within 60 calendar days of receipt of the application for payment.
However, this deadline may be suspended at any time in the 60-day period after the payment application is first registered by notifying the creditor contracting organisation that its application is not admissible, either because the sum is not payable, or because the application is not supported by the requisite evidence for all the additional applications, or because the Member State deems it necessary to have further information or to undertake checks. The payment period shall start running again from the date of receipt of the information requested or the date of the checks undertaken by the Member State, which must be forwarded or undertaken, as the case may be, within 30 calendar days of the notification.
Except in cases of force majeure, where the payments are made late the amount of the monthly advance paid by the Commission to the Member State shall be reduced in accordance with Article 9 of Regulation (EC) No 883/2006.
Article 21
Securities
1. The security referred to in Article 17(3) shall be released on condition that definitive entitlement to the advance as paid has been established by the Member State concerned.
2. The security referred to in Article 16(3) must remain valid until the balance is paid and shall be released by means of a letter of discharge issued by the competent national authority.
The security shall be released within the time limit and on the terms laid down in Article 20 for payment of the balance.
3. Any securities forfeited and penalties imposed shall be deducted from the expenditure part-financed by the Community and declared to the European Agricultural Guarantee Fund (EAGF).
Article 22
Documents to be submitted to the Commission
1. The annual report shall be submitted after completion of each annual phase even where no application for payment of the balance is lodged.
2. Within 30 calendar days following payment of the balance referred to in Article 19(2), the Member State shall send the Commission the summary statements referred to in points (a) and (b) of the second subparagraph of Article 19(1).
3. The Member State shall send the Commission twice a year the quarterly reports required for intermediate payments in accordance with Article 18.
The first and second quarterly reports shall be sent within 60 calendar days of receipt of the second quarterly report by the Member State and the third and fourth quarterly reports together with the summary statements referred to in paragraph 2 of this Article.
The annual report for the previous year may include the quarterly report concerning the fourth quarter.
4. Within 30 calendar days following payment of the balance, the Member State shall send the Commission a financial statement detailing the expenditure incurred under the contract, presented in a format prescribed by the Commission and sent to the Member States. The statement shall be accompanied by the Member State’s reasoned opinion on the implementation of the tasks set for the phase just ended.
The statement shall also certify that, in the light of checks carried out in accordance with Articles 18(2) and 19(2), all the expenditure may be considered eligible under the terms of the contract.
CHAPTER IV
MONITORING AND CONTROL
Article 23
Use of material
1. The Member States shall check that the information and promotion material produced and used under the programmes financed under this Regulation complies with the Community rules.
They shall send the Commission a list of material approved.
2. The material produced and financed under a programme as referred to in paragraph 1, including graphic, visual and audiovisual works and websites, may be used subsequently provided that prior written authorisation is obtained from the Commission, the proposing organisations concerned and the Member States which contribute financially to the programme, account being taken of the contractors’ rights under the national law governing the contract.
Article 24
Monitoring of programmes
1. The Monitoring Group provided for in Article 12(1) of Regulation (EC) No 3/2008 shall meet regularly to monitor progress in implementation of the various programmes in receipt of financing under this Regulation.
To that end, the Monitoring Group shall be informed of the timetable for the planned measures under each programme, the quarterly and annual reports and the results of the checks carried out in accordance with Articles 18, 19 and 25 of this Regulation.
The Group shall be chaired by a representative of the Member State concerned. Where programmes involve more than one Member State, it shall be chaired by a representative designated by the Member States concerned.
2. Commission officials and other staff may take part in activities organised under a programme in receipt of financing under this Regulation.
Article 25
Checks by the Member States
1. The Member State concerned shall determine the most appropriate means of checking the programmes and measures covered by financing under this Regulation and shall notify the Commission thereof.
The checks described shall be undertaken each year on at least 20 % of the programmes completed in the previous year, covering a minimum of two programmes, and shall relate to at least 20 % of the total budget of the programmes completed during the previous year. The selection of programmes for sampling shall be based on a risk analysis.
The Member State shall send the Commission a report on each programme checked, describing the results of the checks carried out and the anomalies detected. The report shall be sent as soon as it has been finalised.
2. In particular by means of technical and accounting checks at the premises of the contracting organisation and the implementing body, the Member States shall take the steps necessary to verify that:
(a)
the information and supporting documents supplied are accurate; and
(b)
all the obligations laid down in the contract referred to in Article 16(1) have been fulfilled.
Without prejudice to Commission Regulation (EC) No 1848/2006 (9), the Member States shall inform the Commission at the earliest opportunity of any irregularities detected during checks.
3. In the case of programmes involving more than one Member State, the Member States concerned shall take the necessary steps to coordinate their checks and shall inform the Commission thereof.
4. The Commission may take part at any time in the checks provided for in paragraphs 1, 2 and 3. To that end, the competent national authorities in the Member States shall send the Commission, at least 30 days prior to the checks, a provisional schedule of the checks to be carried out by the Member State.
The Commission may carry out any additional checks it considers necessary.
Article 26
Recovery of undue payments
1. In cases of undue payment, the beneficiary shall reimburse the amounts in question plus interest for the period between payment and the reimbursement by the beneficiary.
The interest rate to be used shall be laid down in accordance with Article 86(2)(b) of Regulation (EC, Euratom) No 2342/2002.
2. Amounts recovered and the relevant interest shall be paid to the Member States’ paying agencies or departments and deducted by them from the expenditure financed by the EAGF in proportion to the Community financial contribution.
Article 27
Penalties
1. In the case of fraud or gross negligence, the proposing organisation shall repay twice the difference between the amount initially paid and the amount actually due.
2. Subject to Article 6 of Council Regulation (EC, Euratom) No 2988/95 (10), the reductions under this Regulation shall be without prejudice to additional penalties pursuant to other provisions under Community or national law.
CHAPTER V
REPEAL, TRANSITIONAL AND FINAL PROVISIONS
Article 28
Repeal
Regulations (EC) Nos 1071/2005 and 1346/2005 are hereby repealed.
However, the repealed Regulations shall continue to apply to information and promotion programmes for which funding is decided on by the Commission before the entry into force of this Regulation.
References to the repealed Regulations shall be construed as references to this Regulation and shall be read in accordance with the correlation table in Annex IV.
Article 29
Entry into force
This Regulation shall enter into force on the seventh 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 Brussels, 5 June 2008.

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