Brussels, 21/11/2014 (Agence Europe) - It could be some time before a European Foundation Statute sees the light of day. The European delegations are struggling to reach unanimity on a capital base, amongst other things. Negotiations on the subject broke down at Coreper on Thursday 20 November, and are unlikely to be concluded under this Presidency.
Capital base. As long ago as February 2012, the European Commission presented a proposal for this European Foundation Statute. It suggests that the capital base to be invested for the creation of this Foundation should be €25,000. However, the approaches of the member states differ greatly on the subject, but unanimity is required to approve the proposal (assent procedure). Some delegations feel that the sum is too high, others that it is too low, particularly as regards solvency and transparency issues (such foundations may also have developed commercial activities). The Italian Presidency is then reported to have proposed a compromise solution featuring a funding range of between €25,000 and €100,000 for the capital base. However, other delegations would rather that the same amount be applicable at European level, so as not to jeopardise the objective of harmonisation.
Added value. The row also relates to the added value of the European Foundation Statute, which has been called into question by the United Kingdom, the Scandinavian countries and the Netherlands, and to the criteria to determine what can and cannot be a European Foundation.
No agreement this year. According to a source close to the dossier, an agreement on the Statute would be “highly unlikely this year”. The source explained that the proposal has not yet been abandoned, but needs more work. The Presidency will have to reflect upon it within the trio of Presidencies and with the European Commission.
Missed opportunity. The breakdown of negotiations on Thursday was described as a “missed opportunity” by Chief Executive of the European Foundation Centre, a key proponent of the European Statute, which it feels is a “simple, cost-effective solution to enable foundations to fund across communities in Europe and to bring about more public good to people and communities most in need”. He lamented the adverse effect of the unanimous decision-making process. (MD)