DRAFT AMENDING BUDGET N° 7 TO THE GENERAL BUDGET 2013

GENERAL STATEMENT OF REVENUE STATEMENT OF EXPENDITURE BY SECTION Section III – Commission

Having regard to:

– the Treaty on the Functioning of the European Union, and in particular Article 314 thereof, in conjunction with the Treaty establishing the European Atomic Energy Community, and in particular Article 106a thereof,

– the Regulation (EU, Euratom) No 966/2012 of the European Parliament and of the Council of 25 October 2012 on the Financial Regulation applicable to the general budget of the Union[1], and in particular Article 41 thereof,

– the general budget of the European Union for the financial year 2013 adopted on 12 December 2012[2],

– the amending budget No 1/2013, adopted on 4 July 2013,

– the draft amending budget No 2/2013[3], adopted on 27 March 2013,

– the draft amending budget No 3/2013[4], adopted on 15 April 2013,

– the draft amending budget No 4/2013[5], adopted on 29 April 2013,

– the draft amending budget No 5/2013[6], adopted on 2 May 2013,

– the draft amending budget No 6/2013[7], adopted on 10 July 2013,

The European Commission hereby presents to the budgetary authority the draft amending budget No 7 to the 2013 budget.

CHANGES TO THE STATEMENT OF REVENUE AND EXPENDITURE BY SECTION

The changes to the statement of revenue and expenditure by section are available on EUR-Lex (http://eur-lex.europa.eu/budget/www/index-en.htm). An English version of the changes to this statement is attached for information as a budgetary annex.

1.           Introduction

Draft amending budget (DAB) No 7 for the year 2013 covers an increase of commitment appropriations of EUR 150,0 million in heading 1b of the multi-annual financial framework (MFF). This is with the aim of addressing certain issues resulting from the final outcome of the negotiations of the MFF for the years 2014-2020, affecting France, Italy and Spain. The European Council of 27 and 28 June 2013 considered that a budgetary solution should be given to that matter.

Having regard to the current economic crisis and as a contribution to the special effort needed to address the specific situations of unemployment, in particular youth unemployment, and of poverty and social exclusion in these Member States, the Commission considers that the most appropriate way to assist them is by increasing the European Social Fund (ESF). As the existing allocations have already been fully committed in the EU budget, the Commission proposes to increase the ESF allocations to those three Member States for the year 2013. The reinforcement of EUR 150 million in commitment appropriations will be covered by the margin under the expenditure ceiling of heading 1b (EUR 16,0 million), and by the mobilisation of the Flexibility Instrument (EUR 134,0 million) targeted to this specific action.

2.           addressing the specific situations of unemployment, in particular youth unemployment, and of social exclusion in the affected member states

The proposed amounts will be added to existing ESF programmes. To ensure the effectiveness of the increase of commitment appropriations for the year 2013 and facilitate the implementation of the programmes, the Commission has taken into account the absorption capacity of the Member States concerned for the two objectives of the Funds: ‘Convergence objective’ and ‘Regional competitiveness and employment objective’.

3.           Increase of Commitments in Heading 1b of the MFF

The overall request for reinforcement of commitment appropriations in heading 1b amounts to EUR 150 million, broken down as follows:

Budget Line || Heading 1b || Commitments (EUR)

04 02 17 || European Social Fund (ESF) — Convergence || 16 683 215

04 02 19 || European Social Fund (ESF) — Regional competitiveness and employment || 133 316 785

Total || 150 000 000

The breakdown between the two budget lines could be adjusted according to the needs.

In accordance with the payment rules of the Structural Funds, all payment applications for a programme are assigned to the earliest open commitments. There is accordingly no need for additional payments in 2013 for these additional commitments.

 

4.           Summary table by heading of the Financial Framework

Financial framework Heading/subheading || Revised 2013 Financial framework || Budget 2013 (incl. AB 1 and DAB 2 to 6/2013) || DAB 7/2013 || Budget 2013 (incl. AB 1 and DAB 2 to 7/2013)

CA || PA || CA || PA || CA || PA || CA || PA

1. SUSTAINABLE GROWTH || || || || || || || ||

1a. Competitiveness for growth and employment || 15 670 000 000 || || 16 168 150 291 || 12 886 628 095 || || || 16 168 150 291 || 12 886 628 095

Margin || || || 1 849 709 || || || || 1 849 709 ||

1b. Cohesion for growth and employment || 54 974 000 000 || || 54 958 049 037 || 56 349 544 736 || 150 000 000 || || 55 108 049 037 || 56 349 544 736

Margin[8] || || || 15 950 963 || || || || 0 ||

Total || 70 644 000 000 || || 71 126 199 328 || 69 236 172 831 || 150 000 000 || || 71 276 199 328 || 69 236 172 831

Margin[9] || || || 17 800 672 || || || || 1 849 709 ||

2. PRESERVATION AND MANAGEMENT OF NATURAL RESOURCES || || || || || || || ||

Of which market related expenditure and direct payments || 48 574 000 000 || || 43 956 548 610 || 43 934 188 711 || || || 43 956 548 610 || 43 934 188 711

Total || 61 289 000 000 || || 60 159 241 416 || 58 095 492 961 || || || 60 159 241 416 || 58 095 492 961

Margin || || || 1 129 758 584 || || || || 1 129 758 584 ||

3. CITIZENSHIP, FREEDOM, SECURITY AND JUSTICE || || || || || || || ||

3a. Freedom, Security and Justice || 1 661 000 000 || || 1 440 827 200 || 1 046 033 652 || || || 1 440 827 200 || 1 046 033 652

Margin || || || 220 172 800 || || || || 220 172 800 ||

3b. Citizenship || 746 000 000 || || 753 287 942 || 669 173 557 || || || 753 287 942 || 669 173 557

Margin || || || 7 320 000 || || || || 7 320 000 ||

Total || 2 407 000 000 || || 2 194 115 142 || 1 715 207 209 || || || 2 194 115 142 || 1 715 207 209

Margin[10] || || || 227 492 800 || || || || 227 492 800 ||

4. EU AS A GLOBAL PLAYER || 9 595 000 000 || || 9 583 118 711 || 6 898 914 260 || || || 9 583 118 711 || 6 898 914 260

Margin[11] || || || 275 996 289 || || || || 275 996 289 ||

5. ADMINISTRATION || 8 492 000 000 || || 8 430 374 740 || 8 430 049 740 || || || 8 430 374 740 || 8 430 049 740

Margin[12] || || || 147 625 260 || || || || 147 625 260 ||

6. COMPENSATION || 75 000 000 || || 75 000 000 || 75 000 000 || || || 75 000 000 || 75 000 000

Margin || || || || || || || ||

TOTAL || 152 502 000 000 || 144 285 000 000 || 151 568 049 337 || 144 450 837 001 || 150 000 000 || || 151 718 049 337 || 144 450 837 001

Margin [13],[14],[15] || || || 1 798 673 605 || 14 770 941 || || || 1 782 722 642 || 14 770 941

[1]               OJ L 298, 26.10.2012, p. 1.

[2]               OJ L 66, 8.3.2013, p. 1.

[3]               COM(2013) 183.

[4]               COM(2013) 224.

[5]               COM(2013) 254.

[6]               COM(2013) 258.

[7]               COM(2013) 518.

[8]               EUR 134,0 million above the ceiling are financed by the mobilisation of the Flexibility Instrument in 2013.

[9]               The European Globalisation adjustment Fund (EGF) is not included in the calculation of the margin under Heading 1a (EUR 500 million).

[10]             The European Union Solidarity Fund (EUSF) amount is entered over and above the relevant headings as foreseen by the IIA of 17 May 2006 (OJ C 139 of 14.6.2006)

[11]             The 2013 margin for heading 4 does not take into account the appropriations related to the Emergency Aid Reserve (EUR 264,1 million).

[12]             For calculating the margin under the ceiling for heading 5, account is taken of the footnote (1) of the financial framework 2007-2013 for an amount of EUR 86 million for the staff contributions to the pension scheme.

[13]             The global margin for commitments does not take into account the appropriations related to the EGF (EUR 500 million), the EAR (EUR 264,1 million), and the staff contributions to the pensions scheme (EUR 86 million).

[14]             The global margin for payments does not take into account the appropriations related to the EAR (EUR 80 million), and to the staff contributions to the pensions scheme (EUR 86 million).

[15]             EUR 134,0 million above the ceiling are financed by the mobilisation of the Flexibility Instrument in 2013.