Procedure : 2006/2157(DEC)
Document stages in plenary
Document selected : A6-0100/2007

Texts tabled :

A6-0100/2007

Debates :

PV 24/04/2007 - 4
CRE 24/04/2007 - 4

Votes :

PV 24/04/2007 - 7.14

Texts adopted :

P6_TA(2007)0116

REPORT     
PDF 225kDOC 179k
30 March 2007
PE 384.436v02-00 A6-0100/2007

on the discharge for the implementation of the budget of the European Monitoring Centre for Drugs and Drug Addiction for the financial year 2005

(C6-0390/2006 – 2006/2157(DEC))

Committee on Budgetary Control

Rapporteur: Edit Herczog

PR_DEC_Agencies

1. PROPOSAL FOR A EUROPEAN PARLIAMENT DECISION
 2. PROPOSAL FOR A EUROPEAN PARLIAMENT DECISION
 3. MOTION FOR A EUROPEAN PARLIAMENT RESOLUTION
 OPINION of the Committee on Civil Liberties, Justice and Home Affairs
 PROCEDURE

1. PROPOSAL FOR A EUROPEAN PARLIAMENT DECISION

on the discharge for the implementation of the budget of the European Monitoring Centre for Drugs and Drug Addiction for the financial year 2005

(C6-0390/2006 – 2006/2157(DEC))

The European Parliament,

–    having regard to the final annual accounts of the European Monitoring Centre for Drugs and Drug Addiction for the financial year 2005(1),

–    having regard to the Court of Auditors' report on the final annual accounts of the European Monitoring Centre for Drugs and Drug Addiction for the financial year 2005, together with the Centre's replies(2),

–    having regard to the Council's recommendation of 27 February 2007 (5711/2007 - C6-0080/2007),

–    having regard to the EC Treaty, and in particular Article 276 thereof,

–    having regard to Council Regulation (EC, Euratom) No 1605/2002 of 25 June 2002 on the Financial Regulation applicable to the general budget of the European Communities(3), and in particular Article 185 thereof,

–    having regard to Council Regulation (EC) No 302/93 of 8 February 1993 on the establishment of a European Monitoring Centre for Drugs and Drug Addiction(4), and in particular Article 11a thereof,

–    having regard to Commission Regulation (EC, Euratom) No 2343/2002 of 19 November 2002 on the framework Financial Regulation for the bodies referred to in Article 185 of Council Regulation (EC, Euratom) No 1605/2002(5), and in particular Article 94 thereof,

–    having regard to Rule 71 of and Annex V to its Rules of Procedure,

–    having regard to the Report of the Committee on Budgetary Control and the opinion of the Committee on Civil Liberties, Justice and Home Affairs (A6-0100/2007),

1.  Grants the director of the European Monitoring Centre for Drugs and Drug Addiction discharge for the implementation of the Centre's budget for the financial year 2005;

2.  Sets out its observations in the resolution below;

3.  Instructs its President to forward this decision and the resolution that forms an integral part of it to the director of the European Monitoring Centre for Drugs and Drug Addiction, the Council, the Commission and the Court of Auditors, and to arrange for their publication in the Official Journal of the European Union (L series).

(1)

OJ C 266, 31.10.2006, p. 43.

(2)

OJ C 312, 19.12.2006, p. 86.

(3)

OJ L 248, 16.9.2002, p. 1. Regulation as amended by Regulation (EC, Euratom) No 1995/2006 (OJ L 390, 30.12.2006, p. 1).

(4)

OJ L 36, 12.2.1993, p.1, Regulation as last amended by Regulation (EC) No 1651/2003 (OJ L 245, 29.9.2003, p. 30).

(5)

OJ L 357, 31.12.2002, p. 72.


2. PROPOSAL FOR A EUROPEAN PARLIAMENT DECISION

on closing the accounts of the European Monitoring Centre for Drugs and Drug Addiction for the financial year 2005

(C6-0390/2006 – 2006/2157(DEC))

The European Parliament,

–    having regard to the final annual accounts of the European Monitoring Centre for Drugs and Drug Addiction for the financial year 2005(1),

–    having regard to the Court of Auditors' report on the final annual accounts of the European Monitoring Centre for Drugs and Drug Addiction for the financial year 2005, together with the Centre's replies(2),

–    having regard to the Council's recommendation of 27 February 2007 (5711/2007 - C6-0080/2007),

–    having regard to the EC Treaty, and in particular Article 276 thereof,

–    having regard to Council Regulation (EC, Euratom) No 1605/2002 of 25 June 2002 on the Financial Regulation applicable to the general budget of the European Communities(3), and in particular Article 185 thereof,

–    having regard to Council Regulation (EC) No 302/93 of 8 February 1993 on the establishment of a European Monitoring Centre for Drugs and Drug Addiction(4), and in particular Article 11a thereof,

–    having regard to Commission Regulation (EC, Euratom) No 2343/2002 of 19 November 2002 on the framework Financial Regulation for the bodies referred to in Article 185 of Council Regulation (EC, Euratom) No 1605/2002(5), and in particular Article 94 thereof,

–    having regard to Rule 71 of and Annex V to its Rules of Procedure,

–    having regard to the Report of the Committee on Budgetary Control and the opinion of the Committee on Civil Liberties, Justice and Home Affairs (A6-0100/2007),

1. Notes that the final annual accounts of the European Monitoring Centre for Drugs and Drug Addiction for the financial years 2004 and 2005 are as follows:

Revenue and expenditure account for the financial years 2004 and 2005 (in EUR 1000)

 

2005

2004

Revenue

 

 

Subsidies from the Commission

12 000

11 730

Subsidies from Norway

516

514

Assigned revenue

190

211

Miscellaneous revenue

93

33

Total revenue (a)

12 799

12 488

Budgetary expenditure for the financial year

 

 

Staff - Title l of the budget

 

 

Payments

5 762

5 832

Appropriations carried over

154

122

Administration - Title II of the budget

 

 

Payments

1 094

1 088

Appropriations carried over

650

356

Operating activities - Title Ill of the budget (except assigned revenue)

 

 

Payments against payment appropriations for the financial year

4 159

2 342

Appropriations carried over

 

1 260

Assigned revenue (PHARE and third countries)

101

201

Total expenditure (b)

11 920

11 200

Outturn for the financial year (a-b)

879

1 288

Balance carried over from the previous financial year

1 508

295

Appropriations carried over and cancelled

1 239

245

Sums for re-use from the previous financial year not used

-58

15

Refunds to the Commission

-1 508

-3

Refunds to Norway

-128

81

Exchange-rate differences

1

-1

Balance for the financial year (EC grant + Norway contribution)

1 933

1 920

 

 

 

Norway Grant 2005

-516

 

Balance for the financial Year only EC Grant

1 417

 

Source: Information supplied by the Monitoring Centre - This table summarises the data provided by the Monitoring Centre in its own annual accounts

2.  Approves closing the accounts of the European Monitoring Centre for Drugs and Drug Addiction for the financial year 2005;

3.  Instructs its President to forward this decision to the director of the European Monitoring Centre for Drugs and Drug Addiction, the Council, the Commission and the Court of Auditors, and to arrange for its publication in the Official Journal of the European Union (L series).

(1)

OJ C 266, 31.10.2006, p. 43.

(2)

OJ C 312, 19.12.2006, p. 86.

(3)

OJ L 248, 16.9.2002, p. 1. Regulation as amended by Regulation (EC, Euratom) No 1995/2006 (OJ L 390, 30.12.2006, p. 1).

(4)

OJ L 36, 12.2.1993, p.1, Regulation as last amended by Regulation (EC) No 1651/2003 (OJ L 245, 29.9.2003, p. 30).

(5)

OJ L 357, 31.12.2002, p. 72.


3. MOTION FOR A EUROPEAN PARLIAMENT RESOLUTION

with observations forming an integral part of the decision on the discharge for the implementation of the budget of the European Monitoring Centre for Drugs and Drug Addiction for the financial year 2005

(C6-0390/2006 – 2006/2157(DEC))

The European Parliament,

–    having regard to the final annual accounts of the European Monitoring Centre for Drugs and Drug Addiction for the financial year 2005(1),

–    having regard to the Court of Auditors' report on the final annual accounts of the European Monitoring Centre for Drugs and Drug Addiction for the financial year 2005, together with the Centre's replies(2),

–    having regard to the Council's recommendation of 27 February 2007 (5711/2007 - C6-0080/2007),

–    having regard to the EC Treaty, and in particular Article 276 thereof,

–    having regard to Council Regulation (EC, Euratom) No 1605/2002 of 25 June 2002 on the Financial Regulation applicable to the general budget of the European Communities(3), and in particular Article 185 thereof,

–    having regard to Council Regulation (EC) No 302/93 of 8 February 1993 on the establishment of a European Monitoring Centre for Drugs and Drug Addiction(4), and in particular Article 11a thereof,

–    having regard to Commission Regulation (EC, Euratom) No 2343/2002 of 19 November 2002 on the framework Financial Regulation for the bodies referred to in Article 185 of Council Regulation (EC, Euratom) No 1605/2002(5), and in particular Article 94 thereof,

–    having regard to Rule 71 of and Annex V to its Rules of Procedure,

–    having regard to the Report of the Committee on Budgetary Control and the opinion of the Committee on Civil Liberties, Justice and Home Affairs (A6-0100/2007),

A.  whereas the Court of Auditors stated that it obtained reasonable assurance that the annual accounts for the financial year ended 31 December 2005 were reliable, and that, the underlying transactions, taken as a whole, were legal and regular,

B.  whereas on 27 April 2006 Parliament gave discharge to the director in respect of the implementation of the Centre's budget for the for the 2004 financial year(6) and in the resolution accompanying the discharge decision Parliament, inter alia

· regrets the very high level of transfers made; urges the Centre to respect more closely the budget originally set by the Budgetary Authority;

General points concerning the majority of EU Agencies requiring individual discharge

1.  Considers that the ever-growing number of Community Agencies and the activities of certain of them do not seem to form part of an overall policy framework, and that the remits of some Agencies do not always reflect the real needs of the Union or the expectations of its citizens, and notes that in general terms the Agencies do not always have a good image or a good press;

2.  Invites the Commission therefore to define an overall policy framework for the setting up of new Community Agencies and to present a cost-benefit study before the setting up of any new agency, while being careful to avoid any overlap of activities between Agencies or with the remits of other European organisations;

3.  Calls on the Court of Auditors to give its opinion on the cost-benefit study before Parliament takes its decision;

4.  Invites the Commission to present every five years a study on the added value of every existing Agency; invites all relevant institutions in the case of a negative evaluation of the added value of an Agency to take the necessary steps by reformulating the mandate of that Agency or by closing it;

5.  Considers it regrettable, given the growing number of regulatory agencies, that the negotiations on the draft interinstitutional agreement on the operating framework for the European regulatory agencies have not yet been concluded, and calls on the relevant departments of the Commission, in consultation with the Court of Auditors, to do their utmost to ensure that the agreement is brought to a rapid conclusion;

6.  Notes that the Commission’s budgetary responsibility calls for closer linking of the Agencies to the Commission; calls on the Commission and the Council to take all necessary steps to give the Commission a blocking minority in the supervisory bodies of the regulatory Agencies by 31 December 2007 and to provide for such a minority from the outset when new Agencies are set up;

7.  Invites the Court of Auditors to create an additional chapter in its Annual Report, devoted to all Agencies to be discharged under the Commission's accounts in order to have a much clearer picture of the use of EU funds by Agencies;

8.  Recalls the principle according to which all Community Agencies, whether subsidised or not, are subject to discharge by the Parliament, even where a discharge authority exists by virtue of their constitutive texts;

9.  Calls on the Court of Auditors to perform performance audits for all Agencies and to report back to the relevant committees of Parliament, including the Committee on Budgetary Control;

10.  Notes that the number of Agencies is constantly increasing and that, in accordance with the Commission’s political responsibility for the operation of the Agencies, which goes far beyond mere logistical support, there is an even higher need for the Directorates-General of the Commission charged with the setting up and monitoring of Agencies to develop a common approach to the Agencies; considers that a structure similar to the one created by the Agencies for coordination among the DGs concerned would be a pragmatic way forward towards a common approach by the Commission on all matters relating to the Agencies;

11.  Invites the Commission to improve administrative and technical support to the Agencies, taking into account the growing complexity of the Community's administrative rules and technical problems;

12. Notes the lack of a disciplinary body in any of the Community Agencies, and calls on the Commission to take the necessary steps to ensure that such a mechanism is rapidly put in place;

13.  Welcomes the considerable improvements in the coordination among the Agencies, which allows them to tackle recurring problems and makes cooperation with the Commission and Parliament more efficient;

14.  Takes the view that the establishment by a number of Agencies of a shared support service aimed at making their computerised financial management systems consistent with those of the Commission is a measure that should be taken further and extended;

15.  Calls upon the Agencies to improve their cooperation and benchmarking with actors in the field; urges the Commission to adopt any measures it considers necessary to help the Agencies enhance their image and raise the profile of their activities;

16.  Calls upon the Commission to come up with a proposal to harmonise the format of the annual reporting by the Agencies to develop performance indicators which would allow a comparison of their efficiency;

17.  Invites the Agencies to present at the beginning of every year performance indicators against which they could be measured;

18.  Invites all Agencies to increasingly use SMART objectives which should lead to more realistic planning and implementation of goals;

19.  Agrees with the Court of Auditors that the Commission also bears responsibility for the (financial) management of the Agencies; therefore, urges the Commission to monitor and where necessary direct and help the management of the different Agencies, especially in relation to the proper application of tender procedures, transparency of recruitment procedures, sound financial management (underspending and overbudgeting) and most importantly the proper application of the rules concerning the internal control framework;

20.  Considers that the Agencies' work programmes should express their contributions in operational and measurable terms and that due consideration should be given to the Commission's Internal Control Standards;

Specific Points

21.  Notes that the utilisation rate of commitment appropriations is greater than 90 %, whereas the corresponding rate for payment appropriations is only 85 %; notes also that expenditure on administration shows a high carry-over rate of almost 40%; invites the Centre to manage its procurement policy better, in order to avoid carrying over appropriations, which makes management more cumbersome;

22.  Welcomes that, for the purposes of management, the Centre has prepared an activity-based budget; invites the Centre to take further this initiative with a view to improved performance monitoring and evaluation of its effectiveness by introducing analytical accounts so that the cost of the Centre's various activities can be ascertained;

23.  Invites the Centre to include the fixed asset inventory systems into the general accounts as without a reliable labelling system, the traceability of the assets entered in the inventory cannot be assured;

24.  Notes deficiencies in staff recruitment procedures; invites the Centre to apply recruitment procedures correctly;

25.  Notes that at the end of 2004, a member of staff was sent on a long-term (two-year) mission to Brussels; invites the centre to explain fully this procedure; asks the Centre and the Commission to investigate the case and to take measures to avoid recurrence of such a case in the future;

26.  Notes that a number of anomalies were revealed in the course of checks on procurement and contracting procedures; invites the Centre to fully apply procurement and contracting procedures in order to avoid similar situations as occurred in 2005.

(1)

OJ C 266, 31.10.2006, p. 43.

(2)

OJ C 312, 19.12.2006, p. 86.

(3)

OJ L 248, 16.9.2002, p. 1. Regulation as amended by Regulation (EC, Euratom) No 1995/2006 (OJ L 390, 30.12.2006, p. 1).

(4)

OJ L 36, 12.2.1993, p.1, Regulation as last amended by Regulation (EC) No 1651/2003 (OJ L 245, 29.9.2003, p. 30).

(5)

OJ L 357, 31.12.2002, p. 72.

(6)

           OJ L 340, 6.12.2006, p. 85.


OPINION of the Committee on Civil Liberties, Justice and Home Affairs (20.3.2007)

for the Committee on Budgetary Control

on the discharge for the implementation of the budget of the European Monitoring Centre for Drugs and Drug Addiction for the financial year 2005

(C6-0390/2006 - 2006/2157(DEC))

Draftswoman: Bárbara Dührkop Dührkop

SUGGESTIONS

The Committee on Civil Liberties, Justice and Home Affairs calls on the Committee on Budgetary Control, as the committee responsible, to incorporate the following suggestions in its motion for a resolution:

1.  Is pleased to note that the Court of Auditors has been able to obtain a reasonable assurance that the annual accounts for the financial year ended 31 December 2005 are reliable and that the underlying transactions, taken as a whole, are legal and regular;

2.  Regrets the Court of Auditors' finding of a number of anomalies in the procurement and contracting procedures; welcomes the steps taken by the European Monitoring Centre for Drugs and Drug Addiction to improve its procedures;

3.  Deplores the mismanagement found by the Court of Auditors with regard to the member of staff sent on a long-term mission to Brussels without a clear definition of its purpose and then their secondment to the Commission; asks the European Monitoring Centre for Drugs and Drug Addiction and the Commission to investigate the case and to take measures to avoid a recurrence of such a case in the future;

4.  Calls on the European Monitoring Centre for Drugs and Drug Addiction to continue its efforts to improve its financial management.

PROCEDURE

Title

The discharge for implementation of the budget of the European Monitoring Centre for Drugs and Drug Addiction for the financial year 2005

Procedure number

2006/2157(DEC)

Committee responsible

CONT

Opinion by
  Date announced in plenary

LIBE

29.11.2006

Enhanced cooperation – date announced in plenary

 

Drafts(wo)man
  Date appointed

Bárbara Dührkop Dührkop

19.12.2006

Previous drafts(wo)man

 

Discussed in committee

27.2.2007

20.3.2007

 

 

 

Date adopted

20.3.2007

Result of final vote

+:

–:

0:

39

0

3

Members present for the final vote

Alexander Alvaro, Mihael Brejc, Kathalijne Maria Buitenweg, Giuseppe Castiglione, Giusto Catania, Jean-Marie Cavada, Mladen Petrov Chervenyakov, Carlos Coelho, Fausto Correia, Panayiotis Demetriou, Agustín Díaz de Mera García Consuegra, Giovanni Claudio Fava, Kinga Gál, Patrick Gaubert, Lilli Gruber, Jeanine Hennis-Plasschaert, Lívia Járóka, Ewa Klamt, Magda Kósáné Kovács, Barbara Kudrycka, Henrik Lax, Kartika Tamara Liotard, Sarah Ludford, Edith Mastenbroek, Dan Mihalache, Claude Moraes, Javier Moreno Sánchez, Athanasios Pafilis, Martine Roure, Luciana Sbarbati, Inger Segelström, Søren Bo Søndergaard, Adina-Ioana Vălean, Manfred Weber

Substitute(s) present for the final vote

Simon Busuttil, Gérard Deprez, Ignasi Guardans Cambó, Tchetin Kazak, Witold Tomczak, Rainer Wieland

Substitute(s) under Rule 178(2) present for the final vote

Edit Bauer, Johannes Blokland

Comments (available in one language only)

 


PROCEDURE

Title

Discharge for implementation of the budget of the European Monitoring Centre for Drugs and Drug Addiction for the financial year 2005

References

C6-0390/2006 – 2006/2157(DEC)

Legal basis

Article 276 EC

Basis in Rules of Procedure

Rule 71 and Annex V

OJ publication of the agency's final annual accounts

OJ C 266, 31.10.2006

OJ publication of the Court of Auditors' annual report

OJ C 312, 19.12.2006

Council recommendation
  Date forwarded

5711/2007 - C6-0080/2007
27.2.2007

Committee responsible
  Date of referral

CONT
29.11.2006

Committees asked for opinions
  Date of referral

LIBE
29.11.2006

 

 

 

 

Rapporteur(s)
  Date appointed

Edit Herczog
20.4.2006

Discussed in committee

28.2.2007

26.3.2007

 

 

 

Date adopted

26.3.2007

Result of vote:

 

Proposal for decision on discharge

for: 21

against: 1

abstentions: 1

Proposal for a decision on the closure of the accounts

for: 20

against: 1

abstentions: 1

Motion for a resolution with comments

for: 19

against 1

abstentions: 1

Members present for the final vote

Jean-Pierre Audy, Herbert Bösch, Paulo Casaca, Szabolcs Fazakas, Christofer Fjellner, Ingeborg Gräßle, Dan Jørgensen, Bogusław Liberadzki, Nils Lundgren, Marusya Ivanova Lyubcheva, Hans-Peter Martin, Edith Mastenbroek, Francesco Musotto, Ovidiu Ioan Silaghi, Bart Staes

Substitutes present for the final vote

Salvador Garriga Polledo, Edit Herczog, Véronique Mathieu, Bill Newton Dunn, Petre Popeangă, Paul Rübig, Margarita Starkevičiūtė, Ralf Walter

Substitutes under Rule 178(2) present for the final vote

 

Date tabled

30.3.2007

 

Comments (available in one language only)

 

 

Last updated: 16 April 2007Legal notice