6.12.2017 |
EN |
Official Journal of the European Union |
C 417/181 |
REPORT
on the annual accounts of the European Training Foundation for the financial year 2016, together with the Foundation’s reply
(2017/C 417/29)
INTRODUCTION
1. |
The European Training Foundation (hereinafter ‘the Foundation’, aka ‘ETF’), which is located in Turin, was established by Council Regulation (EEC) No 1360/90 (1) (recast (EC) No 1339/2008). The Foundation’s task is to support the reform of vocational training in the European Union’s partner countries. To do this, it assists the Commission in the implementation of various vocational training programmes. |
2. |
the table presents key figures for the Foundation (2). Table Key figures for the Foundation
|
INFORMATION IN SUPPORT OF THE STATEMENT OF ASSURANCE
3. |
The audit approach taken by the Court comprises analytical audit procedures, direct testing of transactions and an assessment of key controls of the Foundation’s supervisory and control systems. This is supplemented by evidence provided by the work of other auditors and an analysis of management representations. |
OPINION
Reliability of the accounts Opinion on the reliability of the accounts
Legality and regularity of the transactions underlying the accounts Revenue Opinion on the legality and regularity of revenue underlying the accounts
Payments Opinion on the legality and regularity of payments underlying the accounts
Responsibilities of management and those charged with governance
Auditor’s responsibilities for the audit of the accounts and underlying transactions
|
16. |
The comments which follow do not call the Court’s opinion into question. |
COMMENTS ON SOUND FINANCIAL MANAGEMENT AND PERFORMANCE
17. |
In 2016 an external evaluation of the Foundation was carried out on behalf of the Commission. This was the first step in a cross-cutting evaluation of the four agencies working in the area of employment, social affairs and inclusion (7). The evaluation concluded that the considerable re-organisation of the ETF since 2011 had no significant negative effects and has been viewed mainly positively by internal and external stakeholders, especially in terms of strategy and effectiveness. Governance of the ETF was viewed as efficient and effective. The evaluation also highlights that the ETF has continued to enhance its monitoring capacity since 2011 but that there is still scope to present a clearer picture of its activities and achievements. Unifying and simplifying indicators around one single intervention logic and using a common terminology across the organisation would help to improve the situation. The Foundation prepared a plan to implement the evaluators’ recommendations. |
OTHER COMMENTS
18. |
In its Report on the annual accounts of the Foundation for the year 2011 the Court highlighted already that the situation regarding the Foundation’s premises is unsatisfactory and puts activities at risk of disruption. The situation remains at a standstill since the Consortium that managed and occupied part of the complex went into liquidation in 2011 and left part of the complex empty. There is an urgent need for the host country to find a solution to this matter. Under the host agreement, appropriate facilities are guaranteed until 2027. |
FOLLOW-UP OF PREVIOUS YEARS’ COMMENTS
19. |
An overview of the corrective action taken in response to the Court’s comments from previous years is provided in the Annex. |
This Report was adopted by Chamber IV, headed by Mr Baudilio TOMÉ MUGURUZA, Member of the Court of Auditors, in Luxembourg at its meeting of 12 September 2017.
For the Court of Auditors
Klaus-Heiner LEHNE
President
(1) OJ L 131, 23.5.1990, p. 1.
(2) More information on the Foundation’s competences and activities is available on its website: www.etf.europa.eu
(3) Staff includes officials, temporary and contract staff and seconded national experts.
Source: data provided by the Foundation.
(4) The financial statements comprise the balance sheet, the statement of financial performance, the cash flow statement, the statement of changes in net assets and a summary of significant accounting policies and other explanatory notes.
(5) The reports on implementation of the budget comprise the reports which aggregate all budgetary operations and the explanatory notes.
(6) Regulation (EU, Euratom) No 966/2012 of the European Parliament and of the Council (OJ L 298, 26.10.2012, p. 1).
(7) The other Agencies which will be covered are the European Foundation for Living and Working Conditions (Dublin), the European Agency for Safety and Health at Work (Bilbao) and the European Centre for the Development of Vocational Training (Thessaloniki).
ANNEX
Follow-up of previous years’ comments
Year |
Court's comments |
Status of corrective action (Completed/Ongoing/Outstanding/N/A) |
2013 |
At the end of 2013, the Foundation had 7,5 million euro in accounts at a single bank with a low credit rating (F3, BBB) (1). |
Completed |
(1) Amount reduced to 1,8 million euro.
THE FOUNDATION’S REPLY
The Foundation has taken note of the Court’s report.