Brussels, 01/06/2001 (Agence Europe) - The European Parliament decided on Thursday, at its plenary session in Brussels, to postpone its vote on the report by Gianfranco Dell'Alba (Lista Bonino, I) on the proposal for a review of the Financial Regulation applied to the European Union's general budget, but adopted a large number of amendments to express its very critical position on the European Commission proposal, which dates from 17 October last. This is a legal move to prevent closing the procedure too hastily and to make further discussion of the matter possible. The EP adopted this strategy because Commissioner Michaele Schreyer made it known on Wednesday that she would be tabling a new proposal in September that will further reflect the opinion of the Court of Auditors and perhaps the grievances voiced by MEPs via this "virtual vote" as well.
Parliament expressed its view on a number of aspects of the proposal: - relationship between the Financial Regulation and implementing arrangements: the European Commission wishes to simplify the new regulation so that it will contain only general principles, but MEPs want a right to inspect the elements the Commission plans to withdraw from the Regulation and place into its "implementing arrangements"; - relationship between the Financial Regulation and sectoral regulations: the Commission is proposing keeping in the Financial Regulation several chapters related to specific sectors (CAP, research and foreign relations) and adding a chapter on Structural Funds, a move Mr Dell'Alba welcomes; - main budgetary principles: all Community activities should appear in the budget, according to MEPs, such as the activities of the European Regional Development Fund (ERDF), the EIB or the ECB (which the Commission does not propose) ; - budgetary control: the European Commission's objective is to abolish financial control so that only two players will remain, namely the authorizing officer and the internal auditor, which promises to be the "most controversial aspect of the proposals", especially because the Council is split on this point.
The application of international accounting standards "should be laid down in the Financial Regulation", noted the MEPs. Other amendments concern the establishment of the budget on the basis of activities (EBA), penalties for financial irregularities, and outsourcing by the Commission of certain tasks in the context of the abolition of Technical Assistance Offices (TAOs).