REPORT on the guidelines for the 1999 budgetary procedure Section I - European Parliament, Ombudsman Annex Section II - Council Section IV - Court of Justice Section V - Court of Auditors Section VI - Economic and Social Committee and Committee of the Regions

18 March 1998

Committee on Budgets
Rapporteur: Mr Vincenzo Viola

At its meeting of 19 January 1998 the Committee on Budgets appointed Mr Viola rapporteur.

At its meetings of 3 February, 25 February and 18 March 1998 it held exchanges of views on the guidelines for the 1999 budgetary procedure (Section I - European Parliament, Ombudsman Annex; Section II - Council; Section IV - Court of Justice; Section V - Court of Auditors; Section VI - Economic and Social Committee and Committee of the Regions).

At its meeting of 18 March 1998 it considered the draft report.

At that meeting it adopted the motion for a resolution unopposed with 1 abstention.

The following were present for the vote: Samland, chairman; Willockx, vice-chairman; Viola, rapporteur (for Böge); Adam (for Bösch), Brinkhorst, Colom I Naval, Dell'Alba, Dührkop Dührkop, Elles, Fabra Vallés, Fabre-Aubrespy, Haug, Jöns (for Laignel), Krehl, McCartin, Müller, Seppänen, Tappin, Theato, Waidelich, Walter (for Tomlinson), Wemheuer (for Ghilardotti) and Wynn.

The explanatory statement will be presented orally in plenary sitting.

The report was tabled on 18 March 1998.

The deadline for tabling amendments is 12 noon on 26 March 1998.

A MOTION FOR A RESOLUTION

Resolution on the guidelines for the 1999 budgetary procedure (Section I - European Parliament, Ombudsman Annex; Section II - Council; Section IV - Court of Justice; Section V - Court of Auditors; Section VI -Economic and Social Committee and Committee of the Regions)

The European Parliament,

- having regard to the 1998 budget[1],

- having regard to the Annual Report of the Court of Auditors concerning the financial year 1996[2],

- having regard to the report of the Committee on Budgets (A4-0099/98),

A. whereas the 1998 budget leaves an amount of ECU 187.5 m available within heading 5, Administrative expenditure,

B. having regard to the conclusions on interinstitutional cooperation with regard to administrative expenditure[3],

C. having regard to the requests for reports, in the context of adoption of the 1998 budget, concerning the conditions for financing certain activities falling within the area of administrative expenditure, and to the deadlines for the submission thereof[4],

D. whereas a working party has been set up to examine the technical and budgetary provisions concerning the introduction of a retirement pension fund for officials of the European institutions,

E. convinced that a common reading of administrative expenditure, as was the case in connection with the 1998 budgetary procedure, results in a single reading of the draft budget,

1. Points out that, on the basis of macroeconomic forecasts, heading 5 (Administrative expenditure) ought to increase by 4%, i.e. amounting to a total of ECU 4723 m at current prices;

2. Points out, however, that that increase does not constitute a target to be achieved;

3. Invites each institution, with due regard for the provisions of the Financial Regulation, to present revenue and expenditure (nomenclature and remarks) in such a way as to ensure control by the budgetary authority and also to guarantee the transparency and harmonized presentation of appropriations, in order to permit comparability between the various sections of the budget[5];

4. Believes that the notion of a European civil service calls for a process of constant improvement and, whenever necessary, the introduction of rules and mechanisms guaranteeing sound and effective management of administrations and of regular staff's entitlements and obligations, and furthers stepped-up interinstitutional cooperation;

5. Is of the opinion that no new posts ought to be created in 1999 unless this is essential to meet the institutions' requests for staff in order to make good the structural shortfalls established, which should first and foremost be achieved by redeploying available human resources;

6. Stresses the need for any proposal to upgrade posts to be substantiated in a report drawn up by each appointing authority, the latter undertaking to conduct a human resources planning and management policy which is well defined and approved by the competent bodies;

7. Invites the institutions to substantiate the standard abatement applicable to the appropriations against Chapter 11, Staff in active employment, on the basis of statistics for each staff category;

8. Invites the institutions to forward to it, together with the estimates, appropriate information with regard to:

(a) the specific innovative organization and methods measures which establish inter alia the degree to which new technologies have been introduced throughout the production chain, and the utilization of appropriations for the provision of services by third parties;

(b) the specific measures furthering redeployment and mobility between defined administrative units and on an interinstitutional basis, with supporting statistics (financial year 1997 and first four months of 1998);

(c) the authorized posts remaining vacant because of sickness, retirement, retirement through disablement, and the length of occupancy thereof by auxiliary staff, in the form of tables providing a breakdown by administrative unit (financial year 1997 and first four months of 1998);

(d) the recruitment of persons included on interinstitutional competition lists, with supporting statistics (for 1996, 1997 and 1998);

(e) the list of permanent and temporary posts by category, grade and function and administrative unit which will become vacant in 1999 as a result of natural wastage;

(f) in the form of an organizational chart for each administrative unit, the regular staff equipped with a personal computer;

(g) substantiated applications for mission expenses, broken down by sector of activity, including mission expenses for professional training purposes, accompanied by statistics;

9. Recalls the decisions taken, in connection with the adoption of the 1998 budget, with regard to the property programme of Parliament and its right to exercise the option to purchase provided for in the lease and to accommodation for the Economic and Social Committee and the Committee of the Regions and the decisions taken when transfer of appropriations 51/97 concerning the Court of Justice's buildings[6] was authorized;

10. Invites, in this connection, the institutions concerned to back up the allocations for the relevant budget chapters with information demonstrating greater consistency and ultimately ensuring the elimination of duplicated costs borne by the Union's budget;

11. Takes the view that the granting by the Treaty of Amsterdam of administrative autonomy to the Committee of the Regions, and in particular the abrogation of Protocol 16, ought not to entail a doubling of expenditure for administrative units which can be made subject to enhanced interinstitutional cooperation compatible with the provisions of the Financial Regulation;

12. Points out that the first reading of the draft budget for the financial year 1999 will reflect the outturn figures for implementation of the 1997 budget and this year's budget;

13. Invites the institutions to set out the problems and recommended solutions, accompanied by a schedule of work[7], with regard to the introduction of the euro and the century date change;

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14. Instructs its President to forward this resolution to all the institutions and advisory bodies concerned.

• [1] () OJ L 44, 16.2.1998.
• [2] () OJ C 348, 18.11.1997.
• [3] () Annex to A4-0245/95, PE 194.731.
• [4] () 1998 budget, resolution A4-0390/97, Minutes of 18 December 1997.
• [5] () See Article 19(2) of the Financial Regulation, the annex to A4-0245/95, PE 194.731, and Working Document 2 entitled 'Presentation of administrative budgets' (1999 budgetary procedure, PE 225.535).
• [6] () SEC(97)1695 final, decision of the Committee on Budgets of 10 December 1997 with regard to the buildings of the Court of Justice.
• [7] () See in particular the conclusions of the Luxembourg European Council and the Commission communication COM(97)560 final.