15.12.2011

Official Journal of the European Union

C 366/1

REPORT

on the annual accounts of the Community Fisheries Control Agency for the financial year 2010 together with the Agency's replies

2011/C 366/01

INTRODUCTION

The Community Fisheries Control Agency (hereinafter ‘the Agency’), which is located in Vigo, was created by Council Regulation (EC) No 768/2005 of 26 April 2005 (1). The Agency's main task is to organise the operational coordination of fisheries control and inspection activities by the Member States in order to ensure effective and uniform application of the rules of the Common Fisheries Policy (2).

2.	The Agency's 2010 budget amounted to 11 million euro, compared with 10,1 million euro the previous year. The number of staff employed by the Agency at the end of the year was 54 as compared with 49 the previous year.

STATEMENT OF ASSURANCE

Pursuant to the provisions of Article 287(1), second subparagraph, of the Treaty on the Functioning of the European Union, the Court has audited the annual accounts (3) of the Agency, which comprise the ‘financial statements’ (4) and the ‘reports on the implementation of the budget’ (5) for the financial year ended 31 December 2010, and the legality and regularity of the transactions underlying those accounts.

4.	This Statement of Assurance is addressed to the European Parliament and the Council in accordance with Article 185(2) of Council Regulation (EC, Euratom) No 1605/2002 (6).

The Director's responsibility

As authorising officer, the Director implements the revenue and expenditure of the budget in accordance with the financial rules of the Agency, under his own responsibility and within the limits of the authorised appropriations (7). The Director is responsible for putting in place (8) the organisational structure and the internal management and control systems and procedures relevant for drawing up final accounts (9) that are free from material misstatement, whether due to fraud or error, and for ensuring that the transactions underlying those accounts are legal and regular.

The Court's responsibility

6.	The Court's responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the Agency and the legality and regularity of the transactions underlying them.

The Court conducted its audit in accordance with the IFAC and ISSAI (10) International Auditing Standards and Codes of Ethics. Those standards require the Court to comply with ethical requirements and to plan and perform the audit so as to obtain reasonable assurance as to whether the accounts are free of material misstatement and whether the underlying transactions are legal and regular.

The Court's audit involves performing procedures to obtain audit evidence of the amounts and disclosures in the accounts and of the legality and regularity of the transactions underlying them. The procedures selected, including its assessment of the risks of material misstatement of the accounts or of illegal or irregular transactions, whether due to fraud or error, depend on its audit judgement. In making those risk assessments, internal controls relevant to the entity's preparation and presentation of accounts are considered in order to design audit procedures that are appropriate in the circumstances. The Court's audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by management, as well as evaluating the overall presentation of the accounts.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinions set out below.

Opinion on the reliability of the accounts

10.	In the Court's opinion, the Agency's Annual Accounts (11) fairly present, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court's opinion, the transactions underlying the annual accounts of the Agency for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

12.	The comments which follow do not call the Court's opinions into question.

COMMENTS ON THE BUDGETARY AND FINANCIAL MANAGEMENT

13.	Some of the Agency's 2010 budget commitments related to expenditure for 2011 projects, contrary to the budgetary principle of annuality.

14.	Weaknesses were noted in the Agency's procedures for ensuring that procurement documents are duly signed and dated.

OTHER MATTERS

15.	With regard to staff selection procedures, neither the thresholds that candidates had to meet in order to be invited to the interview nor those necessary to be put on the reserve list were fixed in advance. These practices put at risk the transparency of the recruitment procedures.

This Report was adopted by Chamber IV, headed by Mr Igors LUDBORŽS, Member of the Court of Auditors, in Luxembourg at its meeting of 6 September 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ L 128, 21.5.2005, p. 1.

(2) The Annex summarises the Agency's competences and activities. It is presented for information purposes.

(3) These accounts are accompanied by a report on the budgetary and financial management during the year which gives inter alia an account of the rate of implementation of the appropriations, with summary information on the transfers of appropriations among the various budget items.

(4) The financial statements include the balance sheet and the economic outturn account, the cash-flow table, the statement of changes in capital and the annex to the financial statements, which includes a description of the main accounting policies and other explanatory information.

(5) The budget implementation reports comprise the budget outturn account and its annex.

(6) OJ L 248, 16.9.2002, p. 1.

(7) Article 33 of Commission Regulation (EC, Euratom) No 2343/2002 (OJ L 357, 31.12.2002, p. 72).

(8) Article 38 of Regulation (EC, Euratom) No 2343/2002.

(9) The rules concerning the presentation of the accounts and accounting by the Agencies are laid down in Chapter 1 of Title VII of Regulation (EC, Euratom) No 2343/2002, as last amended by Regulation (EC, Euratom) No 652/2008 (OJ L 181, 10.7.2008, p. 23), and are integrated as such in the Financial Regulation of the Agency.

(10) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(11) The Final Annual Accounts were drawn up on 30 June 2011 and received by the Court on 7 July 2011. The Final Annual Accounts can be found on the following website http://eca.europa.eu or http://cfca.europa.eu/.

ANNEX

Community Fisheries Control Agency (Vigo)

Competences and activities

Areas of Union competence deriving from the Treaty

(Article 38 of the Treaty on the Functioning of the European Union)

Article 28 of Council Regulation (EC) No 2371/2002 on the conservation and sustainable exploitation of fishery resources under the common fisheries policy requires Member States to ensure effective control, inspection and enforcement of the rules of the common fisheries policy and to cooperate with each other and with third countries to this end.

Council Regulation (EC) No 768/2005 establishing a Community Fisheries Control Agency and amending Regulation (EEC) No 2847/93 establishing a control system applicable to the Common Fisheries Policy

Competences of the Agency

(Council Regulation (EC) No 768/2005)

Objectives

The Regulation establishes a Community Fisheries Control Agency, the objective of which is to organise operational coordination of fisheries control and inspection activities by the Member States and to help them cooperate so as to comply with the rules of the Common Fisheries Policy in order to ensure its effective and uniform application.

Tasks

—	To coordinate the control and inspection obligations of the Union.

—	To coordinate the deployment of the national means of control and inspection pooled by the Member States concerned.

—	To assist Member States in reporting information on fishing activities and control and inspection activities.

—	To assist Member States in fulfilling their tasks and obligations under the rules of the common fisheries policy.

—	To assist Member States and the Commission in harmonising the application of the common fisheries policy throughout the Union.

—	To contribute to the work of Member States and the Commission on research into and development of control and inspection techniques.

—	To contribute to the coordination of inspector training and the exchange of experience between Member States.

—	To coordinate operations to combat illegal, unreported and unregulated fishing, in conformity with Union rules.

Governance

1 — Administrative Board

Comprises one representative from each Member State and six representatives of the Commission.

2 — Executive Director

Appointed by the Administrative Board from a list of at least two candidates proposed by the Commission.

3 — External audit

Court of Auditors.

4 — Discharge authority

Parliament acting on a recommendation from the Council.

Resources made available to the Agency in 2010 (2009)

Final Budget

11,0 million euro (10,1 million euro)

Staff as at 31 December 2010

53 (55) Temporary staff provided for in the establishment plan, of which occupied: 52 (44)

+ 2 (5) Contract staff

Total staff: 54 (49)

Products and services in 2010

Operational Coordination

—	Implementation of JDP (Joint Deployment Plan) Cod fishery in the North Sea, Skagerrak, Kattegat and the Eastern Channel and Western Waters (West of Scotland and the Irish Sea).

—	JDP cod fishery in the Baltic Sea.

—	JDP Bluefin tuna fishery in the Mediterranean Sea and Eastern Atlantic.

—	Implementation of JDP in Northwest Atlantic Fisheries organisation area and North East Atlantic Fisheries Organisation area.

—	Support activities to fight illegal, unreported and unregulated fisheries.

—	Consolidation of the JDPs through promoting a regional approach.

—	Training of Member State (MS) inspectors participating in JDPs.

Capacity Building

—	Mapping of MS training programmes for national fisheries inspectors.

—	Compiling of an indicative content proposal for the Core Curriculum for training.

—	Development of a web-based collaboration platform for training.

—	Assistance to the Member States' national training programmes.

—	Operation and maintenance of Vessel Monitoring System.

—	Setting-up of the CFCA's coordination room for the JDPs.

Source: Information supplied by the Agency.

THE AGENCY'S REPLIES

13.	In order to organise operational meetings and missions planned in advance for the first quarter of 2011 the Agency committed in 2010 budget. The Agency takes note of the comment of the Court and will take measures to prevent similar circumstances in the future.

14.	The CFCA takes note of the comments of the Court and has reinforced awareness of all the actors involved on the obligation of dating and signing properly all relevant documents.

Other matters

15.	The Agency has adjusted the templates for the selection procedures and establishes a default threshold from the beginning, which can be used by the selection committee in order to ensure transparency.

15.12.2011

Official Journal of the European Union

C 366/6

REPORT

on the annual accounts of the Euratom Supply Agency for the financial year 2010, together with the Agency’s replies

2011/C 366/02

INTRODUCTION

The Euratom Supply Agency (hereinafter ‘the Agency’), which is located in Luxembourg, was created in 1958 (1). Council Decision 2008/114/EC, Euratom of 12 February 2008 (2) replaced the preceding Statutes of the Agency. The Agency's main tasks are to provide the Union with expertise on the market in nuclear materials and services and to monitor it.

2.	In 2010, as in 2009 and 2008, the Agency did not receive any subsidy to cover its operations. The Commission bore the costs incurred by the Agency for implementing the 2010 activities.

STATEMENT OF ASSURANCE

Pursuant to the provisions of Article 287(1), second subparagraph, of the Treaty on the Functioning of the European Union, in conjunction with Article 8 of Decision 2008/114/EC, Euratom of 12 February 2008, the Court has audited the annual accounts (3) of the Agency, which comprise the ‘financial statements’ (4) and the ‘reports on implementation of the budget’ (5) for the financial year ended 31 December 2010, and the legality and regularity of the transactions underlying those accounts.

4.	This Statement of Assurance is addressed to the European Parliament and the Council in accordance with Article 8 of Council Decision 2008/114/EC, Euratom of 12 February 2008.

The Director-General’s responsibility

As authorising officer, the Director-General (6) is responsible for implementing the revenue and expenditure of the budget in accordance with the financial rules of the Agency, under his own responsibility and within the limits of the authorised appropriations. The Director-General is responsible for putting in place the organisational structure and the internal management and control systems and procedures relevant for drawing up final accounts that are free from material misstatement, whether due to fraud or error, and for ensuring that the transactions underlying those accounts are legal and regular.

The Court’s responsibility

6.	The Court’s responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the Agency and the legality and regularity of the transactions underlying them.

The Court conducted its audit in accordance with the IFAC and ISSAI (7) International Auditing Standards and Codes of Ethics. Those standards require the Court to comply with ethical requirements and to plan and perform the audit so as to obtain reasonable assurance as to whether the accounts are free from material misstatement and whether the underlying transactions are legal and regular.

The Court’s audit involves performing procedures to obtain audit evidence concerning the amounts and disclosures in the accounts and the legality and regularity of the transactions underlying them. The procedures selected depend on its audit judgement, including an assessment of the risks of material misstatement of the accounts or of illegal or irregular transactions, whether due to fraud or error. In making those risk assessments, internal control relevant to the entity’s preparation and presentation of the accounts is considered in order to design audit procedures that are appropriate in the circumstances. The Court’s audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by management, as well as evaluating the overall presentation of the accounts.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinion concerning the reliability of the accounts.

Opinion on the reliability of the accounts

10.	In the Court’s opinion, the Agency’s Annual Accounts (8) fairly present, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court’s opinion, the transactions underlying the annual accounts of the Agency for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

Emphasis of matter

12.

Without calling into question the opinion expressed in paragraph 11, the Court wishes to draw attention to the following matter. Article 54 of the Treaty Establishing the European Atomic Energy Community provides that the Agency shall have financial autonomy. Article 7 of the Agency’s Statutes provides that ‘the expenditure of the Agency shall consist of administrative expenses of its staff and of the Committee, as well as expenses resulting from contracts entered into with third parties’. In fact, the Agency has not, since 2008, received a budget. That being the case, the European Commission has directly discharged the Agency’s expenses mentioned in Article 7 above. In the Court’s view, this situation is at odds with the Statutes of the Agency and the Court considers that the Agency and the Commission should, together with all interested parties, consider measures to eliminate this situation. The Court notes that the Agency intends to request a budget for 2012.

This Report was adopted by Chamber IV, headed by Mr Igors LUDBORŽS, Member of the Court of Auditors, in Luxembourg at its meeting of 6 September 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ 27, 6.12.1958, p. 534.

(2) OJ L 41, 15.2.2008, p. 15.

(3) These accounts are accompanied by a report on the budgetary and financial management during the year which gives inter alia an account of the rate of implementation of the appropriations, with summary information on transfers of appropriations among the various budget items.

(5) The budget implementation reports should comprise the budget outturn account and its annex.

(6) The responsibilities of the Director-General are described in Articles 7 and 8 of Decision 2008/114/EC, Euratom.

(7) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(8) The Final Annual Accounts were drawn up on 5 May 2011 and received by the Court on 14 June 2011. The Final Annual Accounts can be found on the following website http://eca.europa.eu or http://ec.europa.eu/euratom/accounts_en.html

THE AGENCY'S REPLIES

13.

In order to resolve this situation, it has been agreed to propose to re-establish the specific budget line for the Euratom Supply Agency in the General budget of the EU for 2012. Once adopted, this would represent a major achievement in addressing the current concerns.

On 20 April 2011, the Commission adopted this proposal containing a line No 32 01 06 for the Euratom Supply Agency credited of 98 000 euro.

This proposal has since been submitted to the EU budget authorities for adoption.

In line with the provisions of Article 4 of the Agency Statutes, staff expenditure is and will remain in the budget of the Commission. This Article stipulates that ‘staff of the Agency shall be officials of the European Communities’ and ‘their salaries shall be paid by the Commission’.

On the basis of the experience gained in 2012, ESA will evaluate whether the amount of the requested subsidy would have to be adapted in the future.

15.12.2011

Official Journal of the European Union

C 366/9

REPORT

on the annual accounts of the European Fundamental Rights Agency for the financial year 2010 together with the Agency’s reply

2011/C 366/03

INTRODUCTION

The European Union Fundamental Rights Agency (hereinafter ‘the Agency’), which is located in Vienna, was established by Council Regulation (EC) No 168/2007 of 15 February 2007 (1). The objective of the Agency is to provide the relevant authorities of the Union and its Member States with assistance and expertise when implementing Union law relating to fundamental rights (2).

2.	The Agency’s 2010 budget amounted to 20,2 million euro, compared with 17,2 million euro the previous year. The number of staff employed by the Agency at the end of the year was 90, as compared with 77 the previous year.

STATEMENT OF ASSURANCE

4.	This statement of assurance is addressed to the European Parliament and the Council in accordance with Article 185(2) of Council Regulation (EC, Euratom) No 1605/2002 (6).

The Director’s responsibility

The Court’s responsibility

6.	The Court’s responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the Agency and the legality and regularity of the transactions underlying them.

The Court’s audit involves performing procedures to obtain audit evidence of the amounts and disclosures in the accounts and of the legality and regularity of the transactions underlying them. The procedures selected, including its assessment of the risks of material misstatement of the accounts or of illegal or irregular transactions, whether due to fraud or error, depend on its audit judgement. In making those risk assessments, internal controls relevant to the entity’s preparation and presentation of accounts are considered in order to design audit procedures that are appropriate in the circumstances. The Court’s audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by management, as well as evaluating the overall presentation of the accounts.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinions set out below.

Opinion on the reliability of the accounts

10.	In the Court’s opinion, the Agency’s Annual Accounts (11) fairly present, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court’s opinion, the transactions underlying the annual accounts of the Agency for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

12.	The comments which follow do not call the Court’s opinions into question.

COMMENTS ON BUDGETARY AND FINANCIAL MANAGEMENT

13.

In December 2010, the Agency committed 48 % (4,6 million euro) of its annual Title III operational expenditure. Such a concentration of spending in the final weeks of the year indicates the need for an improvement in budgetary implementation planning, as it contributed significantly to a high level of carry-forwards — 6,9 million euro.

This Report was adopted by Chamber IV, headed by Mr Igors LUDBORŽS, Member of the Court of Auditors, in Luxembourg at its meeting of 6 September 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ L 53, 22.2.2007, p. 1.

(2) The Annex summarises the Agency's competences and activities. It is presented for information purposes.

(5) The budget implementation reports comprise the budget outturn account and its annex.

(6) OJ L 248, 16.9.2002, p. 1.

(7) Article 33 of Commission Regulation (EC, Euratom) No 2343/2002 (OJ L 357, 31.12.2002, p. 72).

(8) Article 38 of Regulation (EC, Euratom) No 2343/2002.

(9) The rules concerning the presentation of the accounts and accounting by the Agencies are laid down in Chapter 1 of Title VII of Regulation (EC, Euratom) No 2343/2002 as last amended by Regulation (EC, Euratom) No 652/2008 (OJ L 181, 10.7.2008, p. 23) and are integrated as such in the Financial Regulation of the Agency.

(10) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(11) The Final Annual Accounts were drawn up on 28 March 2011 and received by the Court on 20 June 2011. The Final Annual Accounts can be found on the following website http://eca.europa.eu or www.fra.europa.eu/fraWebsite/home/home_en.htm

ANNEX

European Union Agency for Fundamental Rights (Vienna)

Competences and activities

Areas of Union competence deriving from the Treaty

(Article 337 of the Treaty on the Functioning of the European Union)

The Commission may, within the limits and under conditions laid down by the Council acting by a simple majority in accordance with the provisions of the Treaties, collect any information and carry out any checks required for the performance of the tasks entrusted to it.

Competences of the Agency

(Council Regulation (EC) No 168/2007 of 15 February 2007)

Objectives

To provide the relevant institutions, bodies, offices and agencies of the Union and its Member States when implementing Union law with assistance and expertise relating to fundamental rights in order to support them when they take measures or formulate courses of action within their respective spheres of competence to fully respect fundamental rights.

Tasks

—	To collect, record, analyse and disseminate relevant, objective, reliable and comparable information and data.

—	To develop methods and standards to improve the comparability, objectivity and reliability of data at European level.

—	To carry out, cooperate with or encourage scientific research and surveys, preparatory studies and feasibility studies.

—	To formulate and publish conclusions and opinions on specific thematic topics for the Union institutions and the Member States when implementing Union law.

—	To publish an annual report on fundamental-rights issues covered by the areas of the Agency's activity.

—	To publish thematic reports based on its analysis, research and surveys.

—	To publish an annual report on its activities.

—	To develop a communication strategy and promote dialogue with civil society.

Governance

1 — Management Board

Composition

One independent person appointed by each Member State, one independent person appointed by the Council of Europe and two representatives of the Commission.

Task

To adopt the budget, work programme and annual reports. To adopt the final budget and the establishment plan. To give an opinion on the final accounts.

2 — Executive Board

Composition

—	Chairperson of the Management Board,

—	vice-Chairperson of the Management Board,

—	one representative of the Commission,

—	two other members of the Management Board,

—	the person appointed by the Council of Europe to the Management Board may participate in the meetings of the Executive Board.

3 — Scientific Committee

Composition

—	11 independent persons, highly qualified in the field of fundamental rights,

—	appointed by the Management Board, shall appoint the members following a transparent call for applications and selection procedure.

4 — Director

Appointed by the Management Board on a proposal from the Commission and after opinions of the European Parliament and the Council of the European Union (who will state their preferences).

5 — External audit

Court of Auditors.

6 — Discharge authority

Parliament, on a recommendation from the Council.

Resources made available to the Agency in 2010 (2009)

Final Budget

20,2 (17,2) million euro of which the Union subsidy is 99 % (99 %).

Staff as at 31 December 2010

72 (61) in the establishment plan, of which occupied: 69 (48)

+ 18 (16) other staff (contract staff, seconded national experts).

Total staff: 90 (77), undertaking the following tasks:

operational: 55 (46)

administrative: 29 (27)

mixed: 6 (4)

Products and services in 2010 (2009)

Raxen

162 (189) contributions by the 27 national focal points, 1 (1) meetings

Fralex

131 (227) contributions by legal experts, 0 (1) meetings

Research Reports

37 (19) reports, 11 (20) meetings and 2 (2) annual reports

Non-Research Activities

1 (1) Fundamental Rights Conference and 3 (1) various Agency publications

2 (3) Diversity Day Event

Meetings with Member States and other Institutions

Member States: 12 (10)

Council of the EU: 6 (2)

European Commission: 20 (17)

European Parliament: 5 (2)

Committee of the Regions: 2 (2)

European Economic and Social Committee: 1 (1)

Fundamental Rights Platform: 2 (2)

Council of Europe: 10 (16)

OSCE: 3 (6)

United Nations: 6 (3)

External Stakeholders: 30 (22)

Specialised Bodies: 7 (9)

Other Meetings and Round Tables: 20 (11)

Source: Information supplied by the Agency.

THE AGENCY’S REPLY

13.	The Agency has taken appropriate measures (e.g. planning two years in advance) in order to better spread budget implementation along the year, avoiding concentration during the last month. This has been considered as ‘best practice’ by IAS on their report on ‘Planning and Monitoring’.

15.12.2011

Official Journal of the European Union

C 366/15

REPORT

on the annual accounts of the European Network and Information Security Agency for the financial year 2010, together with the Agency’s replies

2011/C 366/04

INTRODUCTION

The European Network and Information Security Agency (hereinafter ‘the Agency’), which is located in Heraklion, was created by Regulation (EC) No 460/2004 of the European Parliament and of the Council of 10 March 2004 (1), amended by Regulation (EC) No 1007/2008 of the European Parliament and of the Council of 24 September 2008 (2). The Agency's main task is to enhance the Union’s capability to prevent and respond to network and information security problems by building on national and Union efforts (3).

2.	The Agency’s final 2010 budget was 8,1 million euro, compared with 8,1 million euro the previous year. The number of staff employed by the Agency at the end of the year was 53 as compared with 56 the previous year.

STATEMENT OF ASSURANCE

Pursuant to the provisions of Article 287(1), second subparagraph, of the Treaty on the Functioning of the European Union, the Court has audited the annual accounts (4) of the Agency, which comprise the ‘financial statements’ (5) and the ‘reports on the implementation of the budget’ (6) for the financial year ended 31 December 2010, and the legality and regularity of the transactions underlying those accounts.

4.	This Statement of Assurance is addressed to the European Parliament and the Council in accordance with Article 185(2) of Council Regulation (EC, Euratom) No 1605/2002 (7).

The Director’s responsibility

As authorising officer, the Director implements the revenue and expenditure of the budget in accordance with the financial rules of the Agency, under his own responsibility and within the limits of the authorised appropriations (8). The Director is responsible for putting in place (9) the organisational structure and the internal management and control systems and procedures relevant for drawing up final accounts (10) that are free from material misstatement, whether due to fraud or error, and for ensuring that the transactions underlying those accounts are legal and regular.

The Court’s responsibility

6.	The Court’s responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the Agency and the legality and regularity of the transactions underlying them.

The Court conducted its audit in accordance with the IFAC and ISSAI (11) International Auditing Standards and Codes of Ethics. Those standards require the Court to comply with ethical requirements and to plan and perform the audit so as to obtain reasonable assurance as to whether the accounts are free of material misstatement and whether the underlying transactions are legal and regular.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinions set out below.

Opinion on the reliability of the accounts

10.	In the Court’s opinion, the Agency’s Annual Accounts (12) fairly present, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court’s opinion, the transactions underlying the annual accounts of the Agency for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

12.	The comments which follow do not call the Court’s opinions into question.

COMMENTS ON THE BUDGETARY AND FINANCIAL MANAGEMENT

13.	In 2010, 52 % of the Agency’s operational budget (Title III) was committed but not spent. This level of carry-over is excessive and at odds with the budgetary principle of annuality.

OTHER MATTERS

14.

With regard to staff selection procedures, neither the thresholds that candidates had to meet in order to be invited to interview nor those necessary for them to be put on the reserve list were fixed in advance. They were set by the selection board after the evaluation of the candidates. These practices put at risk the transparency of the recruitment procedures.

This Report was adopted by Chamber IV, headed by Mr Igors LUDBORŽS, Member of the Court of Auditors, in Luxembourg at its meeting of 6 September 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ L 77, 13.3.2004, p. 1.

(2) OJ L 293, 31.10.2008, p. 1.

(3) The Annex summarises the Agency's competences and activities. It is presented for information purposes.

(4) These accounts are accompanied by a report on the budgetary and financial management during the year which gives inter alia an account of the rate of implementation of the appropriations, with summary information on the transfers of appropriations among the various budget items.

(5) The financial statements include the balance sheet and the economic outturn account, the cash-flow table, the statement of changes in capital and the annex to the financial statements, which includes a description of the main accounting policies and other explanatory information.

(6) The budget implementation reports comprise the budget outturn account and its annex.

(7) OJ L 248, 16.9.2002, p. 1.

(8) Article 33 of Commission Regulation (EC, Euratom) No 2343/2002 of 19 November 2002 (OJ L 357, 31.12.2002, p. 72).

(9) Article 38 of Regulation (EC, Euratom) No 2343/2002.

(10) The rules concerning the presentation of the accounts and accounting by the Agencies are laid down in Chapter 1 of Title VII of Regulation (EC, Euratom) No 2343/2002 as last amended by Regulation (EC, Euratom) No 652/2008 of 9 July 2008 (OJ L 181, 10.7.2008, p. 23) and are integrated as such in the Financial Regulation of the Agency.

(11) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(12) The Final Annual Accounts were drawn up on 7 June 2011 and received by the Court on 30 June 2011. The Final Annual Accounts can be found on the following website http://eca.europa.eu or http://www.enisa.europa.eu/about-enisa/accounting-finance

ANNEX

European Network and Information Security Agency (Heraklion)

Competences and activities

Areas of Union competence deriving from the Treaty

(Council Decision of 19 February 2004, taken on the basis of the Treaty on the Functioning of the European Union)

The representatives of the Member State governments have, by common agreement, adopted a statement on the creation of a European Network and Information Security Agency. The Agency should operate as a point of reference and establish confidence by virtue of its independence, the quality of the advice it delivers and the information it disseminates, the transparency of its procedures and methods of operating, and its diligence in performing the tasks assigned to it.

Competences of the Agency

(Regulation (EC) No 460/2004 of the European Parliament and of the Council of 10 March 2004)

Objectives

—	The Agency enhances the capability of the Union, the Member States and the business Union to prevent, address and respond to network and information security problems.

—	The Agency provides assistance and delivers advice to the Commission and the Member States on issues related to network and information security falling within its competencies.

—	The Agency develops a high level of expertise and uses this expertise to stimulate broad cooperation between actors from the public and private sectors.

Tasks

The Agency:

—	collects information on current and emerging risks that could produce an impact on electronic communications networks,

—	provides the European Parliament, the Commission and European bodies or competent national bodies with advice and assistance,

—	enhances cooperation between actors in its field,

—	facilitates cooperation on common methodologies to address network and information security issues,

—	contributes to awareness-raising on network and information security issues for all users,

—	assists the Commission and the Member States in relations with industry,

—	tracks standards,

—	advises the Commission on research in the area of network and information,

—	promotes risk assessment activities on prevention solutions,

—	contributes to cooperation with third countries.

Governance

1 — Management Board

The Management Board shall be composed of one representative of each Member State, three representatives appointed by the Commission, as well as three representatives, proposed by the Commission and appointed by the Council, without the right to vote, each of whom represents one of the following groups:

—	information and communication technologies industry,

—	consumer groups,

—	academic experts in network and information security.

2 — Executive Director

1.	The Agency is managed by its Executive Director, who is independent in the performance of his duties.

2.	The Executive Director is appointed for a term of office of up to five years.

3 — External audit

Court of Auditors.

4 — Discharge authority

Parliament, acting on a recommendation from the Council.

Resources made available to the Agency in 2010 (2009)

Final Budget

8,1 (8,1) million euro of which the Community subsidy is 100 % (100 %).

Staff at 31 December 2010

44 (44) posts foreseen in the establishment plan, of which occupied: 40 (43).

Other posts:

Contract staff planned: 79 (68), occupied: 79 (60)

SNE's planned: 76 (70), occupied: 76 (66)

Total staff number: 294 (226)

Assigned to the following occupied tasks:

—	operational: 203 (157)

—	administrative: 91 (69)

Products and services in 2010 (2009)

Risk Analysis has produced 10 long–term strategic assessments, four quarterly reports, 160 analytical products supporting Joint Operations (including Weekly Briefings), 47 reports of other types, including briefings for Frontex Management and contributions to other organisations or institutions. four regular FRAN meetings and four regional Expert Meetings were organised. The Frontex Risk Analysis Network as well as regional networks for information exchange were further developed. 14 training sessions were implemented within the framework of Frontex Borders Analytical Community Project with the total participation of 232 MS and RAU analysts.

In 2010, the Joint Operations Unit (JOU) has organised 17 joint operations, carried out under five Programmes, nine pilot projects (PP), 40 joint return operations and four conferences. Moreover, the Rapid Border Intervention Team (RABIT) Operation was implemented in Greece. The total number of days in operation has increased by 27 % to 6 471. JOU has also contributed to the establishment of PP Frontex Operational Office in Piraeus.

In the framework of the three programmes comprising 18 projects, the Training Unit has organised 176 activities in 2010 with the participation of 4 015 attendees (training experts, trainees, etc.); a total of approximately 11 000 man-days were invested by the stakeholders in training activities.

The Pooled Resources Unit (PRU) implemented nine projects in 2010 to improve the effectiveness of Frontex operations. At the end of 2010, PRU coordinated the deployment of the RABIT Operation 2010 in Greece (567 officers deployed, 19 186 man-days, 68 items of equipment, 5 371 days in operation).

The Frontex Situation Centre provided situation monitoring delivering 500 situation reports, early alerts notices, and 14 mission awareness reports to internal and external customers. Daily Newsletters were delivered to 350 accounts, amongst which were many external portals which, in turn, provided distribution to many more external clients. The Frontex Situation Centre, as the single point of contact for information exchange, managed about 20 000 correspondence items and implemented the Frontex-One-Stop-Shop (FOSS), a web-based information portal, being used by 30 countries and 900 users. Next to intensive Eurosur programme support, other project management activities — aiming to automate information exchange, situation and media monitoring and reporting services — were initiated.

In 2010, the Research & Development Unit (R&D) organised 32 meetings. It participated in approximately 110 internal and external workshops, conferences and working meetings. R&D produced 10 reports, three publications and one guideline document. The unit initiated five new projects and continued with projects from 2008 and 2009. Four studies were commissioned in 2010 (to be completed in 2011) and four contracts were signed regarding Eurosur and the intelligence and communications project.

Cooperation with third countries included the conclusion of a working arrangement with the Canada Border Services Agency and a memorandum with the Coordination Service of CIS Border Troop Commanders Council. Cooperation Plans with Croatia, Ukraine, US and Belarus were also signed. Increased participation of all third country partners in Frontex coordinated activities was achieved.

Cooperation with EU Bodies and international organisations has been further developed. By the end of 2010, working arrangements (WAs) had been signed with Europol, Interpol, the SGC Sitcen, Cepol, IOM, ICMPD, UNHCR, EMSA, CFCA and FRA. A Memory of understanding has been signed with DG JLS for the development of ICONet and a coordination mechanism Council document was agreed with CCWP. The implementation of the cooperation plan is proceeding with Europol and the IOM. Discussions have started with the Democratic Control of Armed Forces (DCAF), the EU Joint Research Centre (JRC) and Eurojust as well as with the International Civil Aviation Authority on the signature of WAs to be completed in 2011.

Source: Information supplied by the Agency.

THE AGENCY'S REPLIES

13.

The permanent or long-time nature of Frontex's joint operations makes unavoidable that the execution of the corresponding commitments extends beyond the year end.

Nevertheless, Frontex will continue to decrease as much as possible the volume of carried forward appropriations by strengthening its monitoring of joint activities in order to adjust the grants as early as possible.

14.

Most of the public entities do not have centralised accounting systems and some of them do not implement accrual based accounting, making difficult the process of vendor balances' reconciliation.

Frontex will take contact with the national authorities to try to implement alternative procedures in view to reconcile its balances with those of its suppliers.

15.	Frontex started a Business Process Mapping project for financial processes in the beginning of 2011. The description of the majority of the financial processes has been effected during the first half of 2011 The validation will be completed during the second half of 2011.

15.12.2011

Official Journal of the European Union

C 366/45

REPORT

on the annual accounts of the European Agency for Safety and Health at Work for the financial year 2010, together with the Agency’s reply

2011/C 366/09

INTRODUCTION

The European Agency for Safety and Health at Work (hereinafter ‘the Agency’), which is located in Bilbao, was established by Council Regulation (EC) No 2062/94 of 18 July 1994 (1). The Agency's task is to collect and disseminate information on national and Union priorities in the field of health and safety at work, to support national and Union organisations involved in policymaking and implementation and provide information on preventive measures (2).

2.	The Agency's 2010 budget amounted to 15,5 million euro, approximately the same amount as the previous year. The number of staff employed by the Agency at the end of the year was 67 compared with 68 the previous year.

STATEMENT OF ASSURANCE

4.	This Statement of Assurance is addressed to the European Parliament and the Council in accordance with Article 185(2) of Council Regulation (EC, Euratom) No 1605/2002 (6).

The Director's responsibility

The Court's responsibility

6.	The Court's responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the Agency and the legality and regularity of the transactions underlying them.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinions set out below.

Opinion on the reliability of the accounts

10.	In the Court's opinion, the Agency's Annual Accounts (11) fairly present, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court's opinion, the transactions underlying the annual accounts of the Agency for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

This Report was adopted by Chamber IV, headed by Mr Igors LUDBORŽS, Member of the Court of Auditors, in Luxembourg at its meeting of 6 September 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ L 216, 20.8.1994, p. 1. The Regulation was last amended by Council Regulation (EC) No 1112/2005 (OJ L 184, 15.7.2005, p. 5).

(2) The Annex summarises the Agency's competences and activities. It is presented for information purposes.

(5) The budget implementation reports comprise the budget outturn account and its annex.

(6) OJ L 248, 16.9.2002, p. 1.

(7) Article 33 of Commission Regulation (EC, Euratom) No 2343/2002 (OJ L 357, 31.12.2002, p. 72).

(8) Article 38 of Regulation (EC, Euratom) No 2343/2002.

(9) The rules concerning the presentation of the accounts and accounting by the Agencies are laid down in Chapter 1 of Title VII of Regulation (EC, Euratom) No 2343/2002, as last amended by Regulation (EC, Euratom) No 652/2008 (OJ L 181, 10.7.2008, p. 23) and are integrated as such in the Financial Regulation of the Agency.

(10) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(11) The Final Annual Accounts were drawn up on 30 June 2011 and received by the Court on 4 July 2011. The Final Annual Accounts can be found on the following website http://eca.europa.eu or http://osha.europa.eu/en/about/finance/

ANNEX

European Agency for Safety and Health at Work (Bilbao)

Competences and activities

Areas of Union competence deriving from the Treaty

(Extracts from Articles 151 and 153 of the Treaty on the Functioning of the European Union)

Social provisions

The Union and the Member States …, shall have as their objectives the promotion of employment, improved living and working conditions, so as to make possible their harmonisation while the improvement is being maintained, proper social protection, dialogue between management and labour, the development of human resources with a view to lasting high employment and the combating of exclusion.

With a view to achieving the objectives of Article 151, the Union shall support and complement the activities of the Member States in the following fields:

(a)	improvement in particular of the working environment to protect workers’ health and safety;

(b)	working conditions;

(e)	the information and consultation of workers;

(h)	the integration of persons excluded from the labour market, without prejudice to Article 166;

(i)	equality between men and women with regard to labour market opportunities and treatment at work;

(j)	the combating of social exclusion.

Competences of the Agency as defined in the Council Regulation

(Council Regulation (EC) No 2062 as amended by Council Regulation (EC) No 1112/2005)

Objectives

In order to improve the working environment, as regards the protection of the safety and health of workers as provided for in the Treaty and successive strategies and action programs concerning health and safety at the workplace, the aim of the Agency shall be to provide the Union and the Member States, the social partners and those involved in the field with technical, scientific and economic information of use in the field of safety and health at work.

Tasks

—	To collect, analyse and disseminate information on national and Union priorities and on research,

—	to promote cooperation and the exchange of information, including information on training programmes,

—	to supply the Union bodies and the Member States with the information they require for formulating and implementing policies, in particular as regards the impact on small and medium-sized enterprises,

—	to make available information on preventive activities,

—	to contribute to the development of strategies and Union action programmes,

—	to set up a network comprising national focal points and topic centres.

Governance

1 — Governing Board

Composition

—	1 representative of the Government of each Member State,

—	1 representative of the employers’ organisations of each Member State,

—	1 representative of the employees’ organisations of each Member State,

—	3 representatives of the Commission.

Members and alternate members from the first three categories shall be appointed from the members and alternate members of the Advisory Committee on Safety and Health at Work.

Task

To adopt the Agency’s work programme, budget and annual general report.

2 — Bureau

Composition

—	Chair and 3 vice-chairs of the Board,

—	Coordinators from each of the three interest groups,

—	1 additional member from each of the groups and the Commission.

Task

Overseeing the preparation and follow-up of the Board’s decisions.

3 — The Director

Appointed by the Governing Board on a proposal from the Commission.

4 — Committees

Obligatory consultation of the Commission and the Advisory Committee on Safety and Health at Work in respect of the work program and budget.

5 — External audit

Court of Auditors.

6 — Discharge authority

Parliament, acting on a recommendation from the Council.

Resources available to the Agency in 2010 (2009)

Budget

15,5 million euro (15,0 million euro) of which:

—	Union subsidy, DG Employment: 94 % (92,6 %),

—	Union subsidy, DG Enlargement: 3,4 % (6,5 %),

—	Other: 2,6 % (0,9 %).

Staff at 31 December 2010

44 (44) posts provided for in the establishment plan, of which, 41 (42) posts were occupied.

Other staff:

—	Seconded national experts: 0 (1),

—	Contract staff: 25 (23) (One of which financed by earmarked funds),

—	Local staff: 1 (1).

Total staff employed: 67 (68).

Allocated to:

—	Operational activities: 49 (50),

—	Administrative tasks: 10 (9),

—	Mixed tasks: 8 (9).

Activities and services provided in 2010

Collecting and analysing information

European Risk Observatory: anticipating change

—	Dissemination of results of the European Survey of Enterprises on New and Emerging Risks (Esener): report and summary on the management of psychosocial risks (published in 22 languages),

—

publications on:

—	Literature Review on maintenance and statistics on occupational safety and health (OSH),

—	Report on musculoskeletal disorders — facts and figures,

—	completed Phase 1 of foresight on ‘Safety and health impact of technological innovations in “green jobs” by 2020’,

—	development of the ‘OSH wiki’, collaborative information tool on OSH,

—	experts seminar to consolidate data collected on the safety and health of women at work.

Working environment information: sharing knowledge on good practice at workplace level

—

Provision of OSH expertise to the campaign on safe maintenance, including publication of an information pack, development of website, running of the good practice award competition; organisation of workshops at a Belgian presidency conference; and publication of report and fact sheet on safe maintenance in practice,

—	piloting of the development and diffusion model for the ‘online interactive risk assessment tool’ (OiRA) in five Member States,

—

Reports on:

—	mainstreaming OSH into university education,

—	mental health promotion,

—	health promotion among young workers,

—	OSH in road transport,

—	economic incentive to improve OSH,

—	mainstreaming OSH into business management,

—	further development of the databases on risk assessment tools; workplace health promotion (on stopping smoking and environmental tobacco smoke); gender and OSH.

Communication, campaigning and promotion

—	‘Healthy workplaces campaign. Good for you. Good for business.’ — European campaign on safe maintenance,

—	launch of Esener findings (with Spanish Presidency),

—	multilingual web-based and printed information, tools and services on occupational safety and health,

—	awareness raising activities: photo competition exhibitions; documentary film award,

—	monitoring and evaluation: real-time evaluation of healthy workplace campaign; website survey and benchmarking.

Networking and coordination

—	Further development of focal points network: three focal points meetings,

—	integration of EFTA-EEA States in Agency network,

—	liaison with European and international organisations,

—	‘Institutional capacity building’ in candidate and potential candidate countries (earmarked funds).

Source: Information supplied by the Agency.

THE AGENCY’S REPLY

1.	The Agency has taken note of the Court’s report.

15.12.2011

Official Journal of the European Union

C 366/52

REPORT

on the annual accounts of the European Maritime Safety Agency for the financial year 2010, together with the Agency's reply

2011/C 366/10

INTRODUCTION

The European Maritime Safety Agency (hereinafter ‘the Agency’), which is located in Lisbon, was set up by Regulation (EC) No 1406/2002 of the European Parliament and of the Council of 27 June 2002 (1). The Agency's tasks are to ensure a high level of maritime safety and to prevent pollution by ships, provide the Commission and the Member States with technical assistance, and monitor the implementation of Union legislation, as well as to evaluate its effectiveness (2).

2.	The Agency's 2010 budget amounted to 50,1 million euro, compared with 53,3 million euro the previous year. The number of staff employed by the Agency at the end of the year was 219, compared with 212 the previous year.

STATEMENT OF ASSURANCE

4.	This Statement of Assurance is addressed to the European Parliament and the Council in accordance with Article 185(2) of Council Regulation (EC, Euratom) No 1605/2002 (6).

The Director's responsibility

The Court's responsibility

6.	The Court's responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the Agency and the legality and regularity of the transactions underlying them.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinions set out below.

Opinion on the reliability of the accounts

10.	In the Court's opinion, the Agency's Annual Accounts (11) fairly present, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court's opinion, the transactions underlying the annual accounts of the Agency for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

This Report was adopted by Chamber IV, headed by Mr Igors LUDBORŽS, Member of the Court of Auditors, in Luxembourg at its meeting of 6 September 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ L 208, 5.8.2002, p. 1.

(2) The Annex summarises the Agency's competences and activities. It is presented for information purposes.

(5) The budget implementation reports comprise the budget outturn account and its annex.

(6) OJ L 248, 16.9.2002, p. 1.

(7) Article 33 of Commission Regulation (EC, Euratom) No 2343/2002 (OJ L 357, 31.12.2002, p. 72).

(8) Article 38 of Regulation (EC, Euratom) No 2343/2002.

(10) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(11) The Final Annual Accounts were drawn up on 8 June 2011 and received by the Court on 21 June 2011. The Final Annual Accounts can be found on the following website http://eca.europa.eu or www.emsa.europa.eu

ANNEX

European Maritime Safety Agency (Lisbon)

Competences and activities

Areas of Union competence deriving from the Treaty

(Article 100 of the Treaty on the Functioning of the European Union)

Common transport policy

‘The European Parliament and the Council, acting in accordance with the ordinary legislative procedure, may lay down appropriate provisions for sea and air transport’.

Competences of the Agency

(Regulation (EC) No 1406/2002 of the European Parliament and of the Council as amended by Regulations (EC) No 1644/2003 and (EC) No 724/2004)

Objectives

—	To ensure a high, uniform and effective level of maritime safety and prevention of pollution by ships.

—	To provide the Member States and the Commission with technical and scientific assistance.

—	To monitor the implementation of Union legislation in this field and to evaluate the effectiveness of the measures in place.

—	To introduce operational methods for fighting pollution in European waters.

Tasks

The Agency undertakes a broad range of activities in the fields of maritime safety, security and prevention of pollution and response to pollution by ships.

Firstly, the Agency has been tasked with assisting the Commission in monitoring the implementation of EU legislation relating, among others, to classification societies, Port State Control, the reception of ship waste in EU ports, certification of marine equipment, ship security, the training of seafarers in EU and non-EU countries and vessel traffic monitoring.

Secondly, the Agency develops and operates maritime information capabilities at EU level. Significant examples are the SafeSeaNet vessel traffic monitoring system, to enable effective tracking of vessels and their cargoes; the EU LRIT Data Centre, to ensure the identification and tracking of EU flagged ships worldwide; THETIS, the information system needed for the implementation of the EU Port State Control regime.

In parallel, a marine pollution preparedness, detection and response capability has been established, including a European network of stand-by oil spill response vessels as well as a European satellite oil spill monitoring service (CleanSeaNet), both with the aim of contributing to an effective system for protecting EU coasts and waters from pollution by ships.

Finally, the Agency provides technical and scientific advice to the Commission in the field of maritime safety and prevention of pollution by ships in the continuous process of evaluating the effectiveness of the measures in place, and in the updating and development of new legislation. It also provides support to, and facilitates co-operation between, the Member States and disseminates best practices. A substantial programme of training has been made available to Member States’ experts. At the same time assistance is provided to new and incoming Member States in transposing and implementing EU legislation.

Governance

1 — Administrative Board

Composition

One representative per Member State, four representatives of the Commission and four representatives, without the right to vote from the professional sectors concerned.

Tasks

—	To adopt the multiannual staff policy plan, the annual budget, the work programme, the annual report and a detailed plan for the Agency’s pollution preparedness and response activities.

—	To supervise the work undertaken by the Executive Director.

2 — Executive Director

Appointed by the Administrative Board. The Commission may propose one or more candidates.

3 — External audit

Court of Auditors.

4 — Discharge Authority

Parliament, acting on a recommendation from the Council.

Resources made available to the Agency in 2010 (2009)

Final Budget

Commitment Appropriations

54,4 (48,3) million euro

Payment Appropriations

50,6 (53,3) million euro

Staff as at 31 December 2010

Statutory Staff

200 (192) authorised in the establishment plan, of which occupied: 196 (179).

Contract Agents

27 (27) planned in the budget, of which occupied: 23 (23).

Seconded National Experts

15 (15) planned in the budget, of which occupied: 12 (10).

Products and services 2010

—	36 Workshops and other events (with 1 170 participants in workshops)

—	34 training sessions (including 7 for Port State Control (PSC) officers) which resulted in 753 national experts trained (from which 210 PSC officers)

—	88 inspections and visits

—	SafeSeaNet (SSN) Version 2 launched; SSN was available during 99,4 % of time throughout the year

—	2 651 satellite images ordered and 2 366 analysed through CleanSeaNet

—	EU Long Range Identification and Tracking Data Centre (LRIT) was available during 99,9 % of time throughout the year

—	14 anti-pollution vessel contracted (1 new vessel contracted in 2010)

—	59 drills and 14 exercises with the anti-pollution vessels

—	EMSA Maritime Support Services operating on a 24/7 basis

—	THETIS, the information system in support of the new Port State Control inspection regime (PSC) was launched

Source: Information supplied by the Agency.

THE AGENCY’S REPLY

1.	The Agency has taken note of the Court’s report.

15.12.2011

Official Journal of the European Union

C 366/57

REPORT

on the annual accounts of the European Environment Agency for the financial year 2010, together with the Agency’s reply

2011/C 366/11

INTRODUCTION

The European Environment Agency (hereinafter ‘the Agency’), which is located in Copenhagen, was established by Council Regulation (EEC) No 1210/90 of 7 May 1990 (1). It is responsible for setting up an observation network to provide the Commission, the Parliament, the Member States and, more generally, the public with reliable information on the state of the environment. This information should, in particular, enable the European Union and the Member States to take action to safeguard the environment and assess the effectiveness of such action (2).

2.	The Agency’s 2010 budget was 50,6 million euro, compared with 39,9 million euro the previous year. The number of staff employed by the Agency at the end of the year was 125, as compared with 133 the previous year.

STATEMENT OF ASSURANCE

4.	This Statement of Assurance is addressed to the European Parliament and the Council in accordance with Article 185(2) of Council Regulation (EC, Euratom) No 1605/2002 (6).

The Director’s responsibility

The Court’s responsibility

6.	The Court’s responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the Agency and the legality and regularity of the transactions underlying them.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinions set out below.

Opinion on the reliability of the accounts

10.	In the Court’s opinion, the Agency’s Annual Accounts (11) fairly present, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court’s opinion, the transactions underlying the annual accounts of the Agency for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

This Report was adopted by Chamber IV, headed by Mr Igors LUDBORŽS, Member of the Court of Auditors, in Luxembourg at its meeting of 6 September 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ L 120, 11.5.1990, p. 1.

(2) The Annex summarises the Agency's competences and activities. It is presented for information purposes.

(5) The budget implementation reports comprise the budget outturn account and its annex.

(6) OJ L 248, 16.9.2002, p. 1.

(7) Article 33 of Commission Regulation (EC, Euratom) No 2343/2002 (OJ L 357, 31.12.2002, p. 72).

(8) Article 38 of Regulation (EC, Euratom) No 2343/2002.

(10) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(11) The Final Annual Accounts were drawn up on 31 May 2011 and received by the Court on 4 July 2011. The Final Annual Accounts can be found on the following website http://eca.europa.eu or http://www.eea.europa.eu/about-us/documents/administrativedocuments/eea-accounts-for-the-year-2009/

ANNEX

European Environment Agency (Copenhagen)

Competences and activities

Areas of Union competence deriving from the Treaty

(Article 191 of the Treaty on the Functioning of the European Union)

Environment policy

Union policy on the environment shall contribute to pursuit (…) the objectives of preserving, protecting and improving the quality of the environment, protecting human health, prudent and rational utilisation of natural resources, promoting measures at international level to deal with regional or worldwide environmental problems, and in particular combating climate change.

Union policy on the environment shall aim at a high level of protection taking into account the diversity of situations in the various regions of the Union. It shall be based on the precautionary principle and on the principles that preventive action should be taken, that environmental damage should as a priority be rectified at source and that the polluter should pay. (…) In preparing its policy (…), the Union shall take account of available scientific and technical data environmental conditions in the various regions of the Union, the potential benefits and costs of action or lack of action, the economic and social development of the Union as a whole and the balanced development of its regions (…).

Competences of the Agency

(Council Regulation (EEC) No 1210/90)

Objectives

To set up a European environment information and observation network to provide the Union and the Member States with:

Objective, reliable and comparable information at European level enabling them to:

(a)	take the requisite measures to protect the environment;

(b)	assess the results of such measures;

(c)	ensure that the public is properly informed about the state of the environment.

2.	The necessary technical and scientific support

Tasks

—	To establish, in cooperation with the Member States, and coordinate the European Environment Information and Observation Network,

—	to provide the Union and the Member States with the objective information necessary for framing and implementing sound and effective environmental policies,

—	to assist the monitoring of environmental measures through appropriate support for reporting requirements,

—	to advise individual Member States on the development, establishment and expansion of their systems for the monitoring of environmental measures,

—

to record, collate and assess data on the state of the environment, to report on the quality of and pressures on the environment within the territory of the Union, to provide uniform assessment criteria for environmental data to be applied in all Member States and to develop further and maintain a reference centre of information on the environment,

—	to help ensure that environmental data at European level are comparable and, if necessary, to encourage by appropriate means improved harmonisation of methods of measurement,

—	to promote the incorporation of European environmental data into international programmes,

—	to publish a report on the state of, trends in and prospects for the environment every five years,

—

to stimulate the development of environmental forecasting techniques, exchanges of information on technologies for preventing or reducing damage to the environment, methods of assessing the costs of damage to the environment and the costs of environmental preventive, protection and restoration policies, and

—	to ensure the broad dissemination of reliable and comparable environmental information, in particular on the state of the environment, to the general public and, to this end, to promote the use of new telematics technology for this purpose.

Governance

1 — Management Board

Composition

—	One representative per member country,

—	two representatives of the Commission,

—	two scientists appointed by the European Parliament.

Tasks

To adopt the multiannual and annual work programmes and ensure their implementation.

2 — Executive Director

Appointed by the Management Board on a proposal from the Commission.

3 — Scientific Committee

Consisting of qualified figures in the field of the environment, designated by the Management Board.

4 — External audit

Court of Auditors.

5 — Discharge authority

Parliament, acting on a recommendation from the Council.

Resources made available to the Agency in 2010 (2009)

Budget

50,6 (39,9) million euro of which Union subsidy: 70 % (87 %).

Staff at 31 December 2010

Number of posts in the establishment plan: 133 (133);

Posts occupied: 125 (121) plus 76 (56) other posts (contract staff and seconded national experts);

Total staff number: 201 (177) posts.

Products and services in 2010

During 2010, in addition to regular, ongoing activities and specific work for the Spanish and Belgian presidencies, the Agency placed extra emphasis on five major areas dealt with briefly below:

Biodiversity

—	‘Assessing biodiversity in Europe — the 2010 report’ and the short thematic assessment series ‘10 messages for 2010’.

—

In collaboration with the European Commission, the Agency developed a ‘baseline’ — a starting point for comparisons representing the current state of biodiversity — to measure trends in biodiversity, and consequently the effectiveness of policies. Furthermore, all existing information about nature and biodiversity in Europe was brought together under a European information portal BISE (Biodiversity Information System for Europe).

Global Monitoring for Environment and Security (GMES)

In October 2010, the EC published its ‘Regulation on GMES and its initial operations’ (for the period 2011-2013) to contribute to the establishment of GMES as an operational programme by 2013.

GMES also contributes to the implementation of ‘Shared Environmental information Systems’ principles and is an integral part of the Group on Earth Observations.

Keeping an Eye on Earth

After the successful addition of Airwatch to the initial Waterwatch in late 2009, work in 2010 focussed especially on the development of version 3 of the Eye on Earth platform. This will facilitate the inclusion of more environmental themes, enable citizen science activities in Eye on Earth, and provide a platform for global sharing of data.

State of the Environment report (SOER) 2010

SOER 2010 comprises four core components that reflect the broad range of information needs of our stakeholders:

—	A Synthesis report — an integrated analysis based on the other assessments and further Agency's activities,

—	Part A: an exploratory assessment of global megatrends relevant for the European environment,

—	Part B: 13 Europe-wide thematic assessments of key environmental topics,

—	Part C: assessments of the environment for 38 European countries.

The Agency also continued to collaborate closely with DG Environment, ESTAT and the Joint Research Centre in the ‘Group of Four’ to streamline environmental reporting. The Agency takes the lead in the following five areas: climate change, air quality, water and marine environment, biodiversity and land use.

Source: Information supplied by the Agency.

THE AGENCY’S REPLY

1.	The Agency has taken note of the Court’s report.

15.12.2011

Official Journal of the European Union

C 366/63

REPORT

on the annual accounts of the Education, Audiovisual and Culture Executive Agency for the financial year 2010, together with the Agency's reply

2011/C 366/12

INTRODUCTION

The Education, Audiovisual and Culture Executive Agency (hereinafter ‘the Agency’), which is located in Brussels, was set up by Commission Decision 2005/56/EC of 14 January 2005 (1). The Agency manages programmes decided by the Commission in the educational, audiovisual and cultural fields, including undertaking the detailed implementation of technical projects (2).

2.	The Agency's 2010 administrative budget was 49 million euro, compared with 47,7 million euro the previous year. The number of staff employed by the Agency at the end of the year was 412, as compared with 414 the previous year.

STATEMENT OF ASSURANCE

4.	This Statement of Assurance is addressed to the European Parliament and the Council in accordance with Article 14 of Council Regulation (EC) No 58/2003 (6).

The Director's responsibility

The Court's responsibility

6.	The Court's responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the Agency and the legality and regularity of the transactions underlying them.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinions set out below.

Opinion on the reliability of the accounts

10.	In the Court's opinion, the Agency's Annual Accounts (11) fairly present, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court's opinion, the transactions underlying the annual accounts of the Agency for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

This Report was adopted by Chamber IV, headed by Mr Igors LUDBORŽS, Member of the Court of Auditors, in Luxembourg at its meeting of 6 September 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ L 24, 27.1.2005, p. 35.

(2) The Annex summarises the Agency's competences and activities. It is presented for information purposes.

(5) The budget implementation reports comprise the budget outturn account and its annex.

(6) OJ L 11, 16.1.2003, p. 1.

(7) Article 25 of Commission Regulation (EC) No 1653/2004 (OJ L 297, 22.9.2004, p. 6).

(8) Article 29 of Regulation (EC) No 1653/2004.

(9) The rules concerning the presentation of the accounts and accounting by the Agencies are laid down in Chapter 1 of Title VI of Regulation (EC) No 1653/2004 as last amended by Regulation (EC) No 651/2008 (OJ L 181, 10.7.2008, p. 15).

(10) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(11) The Final Annual Accounts were drawn up on 30 May 2011 and received by the Court on 1 July 2011 The Final Annual Accounts can be found on the following website http://eca.europa.eu or www.europa.eu/agencies/executive_agencies/eacea/index_en.htm

ANNEX

Education, Audiovisual and Culture Executive Agency (Brussels)

Competences and activities

Areas of Union competence deriving from the Treaty on the Functioning of the European Union

(Articles 165(1), 166(1), 167(1) and 173(1) of the Treaty)

The European Union shall contribute to the development of quality education.

The European Union shall implement a vocational training policy.

The European Union shall contribute to the flowering of the cultures of the Member States.

The European Union and the Member States shall ensure that the conditions necessary for the competitiveness of the Union's industry exist.

Competences of the Agency

(Commission Decision 2005/56/EC)

Objectives

In the framework of the education, culture and industry policies, numerous measures have been taken to promote education, vocational training, audiovisual, culture, youth and active citizenship in the European Union. The main objectives of these measures are to reinforce social cohesion and to contribute to competitiveness, to economic growth and to an ever closer union amongst the people of Europe.

These measures include a variety of programmes.

The Agency is responsible for managing certain strands of these programmes (e.g. ‘Lifelong learning’, ‘Culture’, ‘Youth in Action’, ‘Europe for Citizens’, ‘MEDIA’, ‘Erasmus Mundus’ (including the new ‘Action 2’) and ‘Tempus’). In this respect, it implements the aid of the Union, except for programme evaluation, strategic studies and any other task which requires discretionary powers in translating political choices.

Tasks

—	To manage, throughout their duration, the specific projects entrusted to it in the context of the implementation of programmes of the Union.

—	To adopt the instruments of budget implementation for revenue and expenditure and to carry out, where the Commission has empowered it to do so, the operations necessary for the management of the programmes of the Union and, in particular, those linked to the award of grants and contracts.

—	To gather, analyse and pass on to the Commission all the information needed to guide the implementation of the programmes of the Union.

—	To implement, at the level of the Union, the network of information on education in Europe (Eurydice) for the collection, analysis and dissemination of information and the production of studies and publications.

Governance

1 — Steering Committee

Comprises five members appointed by the European Commission.

It adopts the Agency's annual work programme after approval by the European Commission. In addition, it adopts the administrative budget of the Agency and its annual activity report.

2 — Director

Appointed by the European Commission.

3 — External audit

Court of Auditors.

4 — Discharge authority

Parliament, acting on a recommendation from the Council.

Resources made available to the Agency in 2010 (2009)

Budget

The 2010 administrative budget of the Agency has reached 49 (47,7) million euro (100 % financed by the general budget of the European Union).

The Agency has managed 600 (629) million euro related to the programmes and projects delegated by the Commission to the Executive Agency.

Staff as at 31 December 2010

Temporary staff:

102 (99) posts for temporary staff in the establishment plan

Post occupied: 97 (91)

Contract staff:

330 (327) contract staff

Posts occupied:

315 (323)

Total staff: 412 (414) posts occupied undertaking the following tasks:

Operational: 339

Administrative: 73

Products and services in 2010 (2009)

Communication

—	Organisation of 3 Info days, update of EVE (1) database with project results, organisation of events in cooperation with parent Directorates-General (DGs).

—	Organisation of a satisfaction survey of applicants and beneficiaries from 2007 to 2010. Analysis of the results per programme has been concluded and the follow-up actions will be launched in 2011.

—	A new EACEA brochure was made available in three languages (EN, FR, DE).

—	Kick-off meetings were organised in Brussels for project coordinators and partners.

Selections

—	29 calls for proposals were published as well as five calls for tenders.

—	The corresponding detailed fact sheets of selected proposals were published on the Agency's website.

—	Management of 11 000 received proposals.

—	Selection of 4 000 projects and 420 Erasmus University Charters.

Monitoring visits

—	More than 400 follow-up meetings with project participants were organised in order to monitor the project implementation.

Simplification measures

—	e-forms were made available for most actions/strands of Lifelong Learning, Culture, Citizenship, Erasmus Mundus and Tempus programmes.

—	Simplified contracting has been introduced (decisions instead of grant agreements) for some actions (MEDIA, eTwinning and Eurydice).

—	A calculation based on lump sums has been introduced for Eurydice and the calculation has been redefined for Citizenship.

—	Reporting and budgeting processes (US/Canada and Tempus) have been simplified.

Cooperation with parent DGs

—	Organisation of four Steering Committee meetings.

—	Periodic coordination meetings on the delegated programmes with the parent DGs operational Directors (Four meetings per year).

—	Assistance to the parent DGs in the preparation of the next generation of programmes.

—	Providing information on programme implementation to the Commission on request.

Audits

—	105 audits were closed, 118 new audits were contractualised.

—	Contracts and projects: 4 556 contracts were signed, 4 340 projects were closed.

Source: Information supplied by the Agency.

(1) Electronic platform for the dissemination and exploitation of results of projects supported by programmes managed by the European Commission in the fields of Education, Training, Culture, Youth and Citizenship.

THE AGENCY’S REPLY

1.	The Agency has taken note of the Court’s report.

15.12.2011

Official Journal of the European Union

C 366/69

REPORT

on the annual accounts of the European Research Council Executive Agency for the financial year 2010, together with the Agency’s reply

2011/C 366/13

INTRODUCTION

The European Research Council Executive Agency (hereinafter ‘the Agency’), which is located in Brussels, was set up by Commission Decision 2008/37/EC of 14 December 2007 (1). The Agency was established for a period beginning on 1 January 2008 and ending on 31 December 2017 with the aim of managing the ‘Ideas’ specific programme in the field of frontier research (2).

2.	The Agency’s 2010 budget was 29,3 million euro. The number of staff employed by the Agency at the end of the year was 316.

STATEMENT OF ASSURANCE

4.	This Statement of Assurance is addressed to the European Parliament and the Council in accordance with Article 14 of Council Regulation (EC) No 58/2003 (6).

The Director’s responsibility

The Court’s responsibility

6.	The Court’s responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the Agency and the legality and regularity of the transactions underlying them.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinions set out below.

Opinion on the reliability of the accounts

10.	In the Court’s opinion, the Agency’s Annual Accounts (11) fairly present, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court’s opinion, the transactions underlying the annual accounts of the Agency for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

This Report was adopted by Chamber IV, headed by Mr Igors LUDBORŽS, Member of the Court of Auditors, in Luxembourg at its meeting of 6 September 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ L 9, 12.1.2008, p. 15.

(2) The Annex summarises the Agency's competences and activities. It is presented for information purposes.

(5) The budget implementation reports comprise the budget outturn account and its annex.

(6) OJ L 11, 16.1.2003, p. 1.

(7) Article 25 of Commission Regulation (EC) No 1653/2004 (OJ L 297, 22.9.2004, p. 6).

(8) Article 29 of Regulation (EC) No 1653/2004.

(10) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(11) The Final Annual Accounts were drawn up on 29 June 2011 and received by the Court on 1 July 2011. The Final Annual Accounts can be found on the following website http://eca.europa.eu or http://erc.europa.eu/

ANNEX

European Research Council Executive Agency (Brussels)

Competences and activities

Areas of Union competence deriving from the Treaty

(Article 182 of the Treaty on the Functioning of the European Union)

A multiannual framework programme, setting out all the activities of the Union, shall be adopted by the European Parliament and the Council, after consulting the Economic and Social Committee. The framework programme shall:

—	establish the scientific and technological objectives to be achieved by the activities provided for in Article 180 and fix the relevant priorities,

—	indicate the broad lines of such activities,

—	fix the maximum overall amount and the detailed rules for Union financial participation in the framework programme and the respective shares in each of the activities provided for.

2.	The framework programme shall be adapted or supplemented as the situation changes.

The framework programme shall be implemented through specific programmes developed within each activity. Each specific programme shall define the detailed rules for implementing it, fix its duration and provide for the means deemed necessary. The sum of the amounts deemed necessary, fixed in the specific programmes, may not exceed the overall maximum amount fixed for the framework programme and each activity.

4.	The Council, acting in accordance with a special legislative procedure and after consulting the European Parliament and the Economic and Social Committee, shall adopt the specific programmes.

Competences of the Agency

(Commission Decision 2008/37/EC of 14 December 2007)

Objectives

The Agency is responsible for carrying out the implementation of the tasks for the management of the Ideas Specific Programme (see Council Decision 2006/972/EC) under the Seventh Framework Programme for Union research FP7 (2007-2013), as adopted by Decision No 1982/2006/EC of the European Parliament and of the Council.

Tasks

Within the Ideas Specific Programme, under the Seventh Framework Programme for Union research, the Agency is responsible for the following tasks (see Commission Decision C(2008)5694 of 8 October 2008):

(a)

collect, process and distribute data, and in particular compile, analyse and transmit to the Commission and the Scientific Council all information required to guide implementation of the Ideas Specific Programme as well as policy development in the field of frontier research, and assist the Commission and the Scientific Council in establishing contacts with other programmes of the Union, the Member States or international organisations;

(b)	contribute to the evaluation by the Commission of the impact of the programme and to the monitoring of the effects of the measures taken;

(c)

carry out studies and assessments, in particular in support of the Commission annual report on the ERC operations and achievement of the objectives of the Ideas Specific Programme as well as the mid-term evaluation of implementation of the programme, and contribute to the preparation and implementation of follow-up action on evaluations, with a view to transmitting them to the Scientific Council and the Commission;

(d)	prepare draft recommendations for the Scientific Council and the Commission on implementation of the Ideas Specific Programme and its future development;

(e)	plan and implement information, communication and dissemination actions;

(f)	participate in preparatory work on Commission specific financing decisions relating to the Ideas Specific Programme.

Governance

1 — Steering Committee

Five members appointed by the European Commission. Adopts the Agency's annual work programme after approval by the European Commission, the administrative budget of the Agency and its annual activity report.

2 — Scientific Council of the ERC

The Scientific Council of the ERC is entrusted by virtue of Commission Decision 2007/134/EC with establishing a scientific strategy for the Ideas Specific Programme, deciding on the type of research to be funded in accordance with Article 6(6) of Decision 2006/972/EC and acting as a guarantor of the quality of the activity from a scientific perspective. Its tasks cover, in particular, the establishment of the annual work programme for the Ideas Specific Programme, and of the peer review process, as well as the monitoring and quality control of the implementation of the Specific Programme ‘Ideas’, without prejudice to the responsibility of the Commission.

3 — Director

Appointed by the European Commission for 4 years.

4 — External audit

Court of Auditors.

5 — Discharge authority

Parliament, following a recommendation from the Council.

Resources available to the Agency in 2010 (2009)

Budget

29,3 million euro

(14,5 million euro).

Staff at 31 December 2010

The 2010 operating budget provides for an establishment plan of 100 Temporary staff (TS) and a budget for 215 Contract staff (CS) and 15 Seconded National Experts (SNE), at a total of 330 staff, out of which 316 were occupied at year end 2010, compared with 262 in 2009):

—	94 temporary staff, out of which 13 TS seconded and 81 TS external,

—	218 contract staff,

—

4 SNEs.

Allocated to:

—	Operational activities (Scientific and Grant Management departments): 68 %,

—	Administrative activities (other departments): 32 %.

Activities and services provided in 2010

Monitor the grant agreements awarded under the 2010 and 2011 Ideas Work Programme, calls for Starting Grants and Advanced Grants. The Ideas work programme is implemented via the publication of the annual calls for proposals, which is followed by an evaluation (by external experts), the preparation and signing of grant agreements and finally the monitoring of project implementation. Each call for proposals results in a series of Grant Agreements, with an expected project cycle of about 5 years. At the end of 2010 five ‘lots’ were managed following completion of various calls. The first reporting cycle started for 2007 Starting Grants.

Execution of the 2010 Calls for proposals for the Ideas work programme. (Starting Grants and Advanced Grants): 4 882 proposal applications were submitted in 2010, out of which 2 873 were for Starting Grants and 2 009 for Advanced Grants. Of these a total of 4 744 were eligible and thus evaluated by the review panels. A total of 665 proposals were selected for the granting process.

3.	Generation and dissemination of information on the Ideas Specific Programme and ERCEA’ activities in 2010.

Support to the Scientific Council of the ERC: Five Scientific Council plenary sessions were organised during the reporting period. In order to facilitate the Scientific Council's strategy discussion, ERCEA, in conjunction with the Secretary General of the Scientific Council, carried out an analysis, drawing lessons from the first 3 years of ERCEA’s existence. Meetings relating to the four existing ERC Working Groups on ‘Relations with Industry’, ‘Open Access’, ‘Third Country Participation’ and ‘Gender Balance’ were organised by ERCEA. A series of documents containing analyses and key messages on the specific issues dealt with by the Working Groups were prepared by ERCEA in conjunction with the members of the said Groups.

Source: Information supplied by the Agency.

THE AGENCY'S REPLY

1.	The Agency has taken note of the Court’s report.

15.12.2011

Official Journal of the European Union

C 366/75

REPORT

on the annual accounts of the Trans-European Transport Network Executive Agency for the financial year 2010, together with the Agency's reply

2011/C 366/14

INTRODUCTION

The Executive Agency for the Trans-European Transport Network (the Agency), located in Brussels, was set up by Commission Decision 2007/60/EC of 26 October 2006 (1), amended by Commission Decision 2008/593/EC (2). The Agency was established for a period beginning on 1 November 2006 and ending on 31 December 2015 for the management of EU actions in the field of the trans-European transport network (3). The Agency acquired its financial independence on 15 April 2008.

2.	The Agency’s 2010 administrative budget was 9,8 million euro. The number of staff employed by the Agency at the end of the year was 93.

STATEMENT OF ASSURANCE

Pursuant to the provisions of Article 287(1), second subparagraph of the Treaty on the Functioning of the European Union, the Court has audited the annual accounts (4) of the Agency, which comprise the ‘financial statements’ (5) and the ‘reports on implementation of the budget’ (6) for the financial year ended 31 December 2010 and the legality and regularity of the transactions underlying those accounts.

4.	This Statement of Assurance is addressed to the European Parliament and the Council in accordance with Article 14 of Council Regulation (EC) No 58/2003 (7).

The Director’s responsibility

As authorising officer, the Director implements the revenue and expenditure of the budget in accordance with the financial rules of the Agency under his own responsibility and within the limits of authorised appropriations (8). The Director is responsible for putting in place (9) the organisational structure and the internal management and control systems and procedures relevant for drawing up final accounts (10) that are free from material misstatement, whether due to fraud or error, and for ensuring that the transactions underlying those accounts are legal and regular.

The Court’s responsibility

6.	The Court’s responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the Agency and the legality and regularity of the transactions underlying them.

The Court conducted its audit in accordance with the IFAC and ISSAI (11) International Auditing Standards and Codes of Ethics. Those standards require that the Court complies with ethical requirements and plans and performs the audit to obtain reasonable assurance about whether the accounts are free from material misstatement and whether the underlying transactions are legal and regular.

The Court’s audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the accounts and about the legality and regularity of the transactions underlying them. The procedures selected depend on its audit judgement including the assessment of the risks of material misstatement of the accounts or of illegal or irregular transactions, whether due to fraud or error. In making those risk assessments internal control relevant to the entity’s preparation and presentation of accounts is considered in order to design audit procedures that are appropriate in the circumstances. The Court’s audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the accounts.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinions set out below.

Opinion on the reliability of the accounts

10.	In the Court’s opinion, the Agency’s Annual Accounts (12) present fairly, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the period then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court’s opinion, the transactions underlying the annual accounts of the Agency for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

12.	The comments which follow do not call the Court’s opinions into question.

COMMENTS ON BUDGETARY AND FINANCIAL MANAGEMENT

13.	Appropriations carried forward at 31 December 2010 amounted to 1,4 million euro or 14,5 % of total commitments for the year, indicating the need for stricter application by the Agency of the budgetary principle of annuality.

This report was adopted by Chamber II, headed by Mr Harald NOACK, Member of the Court of Auditors, in Luxembourg at its meeting of 12 October 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ L 32, 6.2.2007, p. 88.

(2) OJ L 190, 18.7.2008, p. 35.

(3) The Annex summarises the Executive Agency's competences and activities. It is presented for information purposes.

(4) These accounts are accompanied by a report on the budgetary and financial management during the year which gives inter alia an account of the rate of implementation of the appropriations with summary information on the transfers of appropriations among the various budget items.

(5) The financial statements include the balance sheet and the economic outturn account, the cash-flow table, the statement of changes in capital and the annex to the financial statements which includes the description of the significant accounting policies and other explanatory information.

(6) The budget implementation reports comprise the budget outturn account and its annex.

(7) OJ L 11, 16.1.2003, p. 1.

(8) Article 25 of Commission Regulation (EC) No 1653/2004 (OJ L 297, 22.9.2004, p. 6).

(9) Article 29 of Regulation (EC) No 1653/2004.

(10) The rules concerning the presentation of the accounts and accounting by the Agencies are laid down in Chapter 1 of Title VI of Regulation (EC) No 1653/2004 as last amended by Regulation (EC) No 651/2008 (OJ L 181, 10.7.2008, p. 15).

(11) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(12) The Final Annual Accounts were drawn up on 15 June 2011 and received by the Court on 7 July 2011. The Final Annual Accounts can be found on the following website http://tentea.ec.europa.eu/en/about_us/mission__introduction/key_documents.htm

ANNEX

Trans-European Transport Network Executive Agency (Brussels)

Competences and activities

Areas of Union competence deriving from the Treaty

To help achieve the objectives referred to in Articles 26 and 174 and to enable citizens of the Union, economic operators and regional and local communities to derive full benefit from the setting-up of an area without internal frontiers, the Union shall contribute to the establishment and development of trans-European networks in the areas of transport, telecommunications and energy infrastructures.

Within the framework of a system of open and competitive markets, action by the Union shall aim at promoting the interconnection and interoperability of national networks as well as access to such networks. It shall take account in particular of the need to link islands, landlocked and peripheral regions with the central regions of the Union.

(Article 170 TFEU)

In order to achieve the objectives referred to in Article 170, the Union:

—	shall establish a series of guidelines covering the objectives, priorities and broad lines of measures envisaged in the sphere of trans-European networks; these guidelines shall identify projects of common interest,

—	shall implement any measures that may prove necessary to ensure the interoperability of the networks, in particular in the field of technical standardisation,

—

may support projects of common interest supported by Member States, which are identified in the framework of the guidelines referred to in the first indent, particularly through feasibility studies, loan guarantees or interest-rate subsidies; the Union may also contribute, through the Cohesion Fund set up pursuant to Article 177, to the financing of specific projects in Member States in the area of transport infrastructure.

The Union's activities shall take into account the potential economic viability of the projects.

Member States shall, in liaison with the Commission, coordinate among themselves the policies pursued at national level which may have a significant impact on the achievement of the objectives referred to in Article 170. The Commission may, in close cooperation with the Member State, take any useful initiative to promote such coordination.

3.	The Union may decide to cooperate with third countries to promote projects of mutual interest and to ensure the interoperability of networks.

(Article 171 TFEU)

Competences of the Agency

Objectives

TEN-TEA is responsible for managing the technical and financial implementation of the Commission's TEN-T Programme. Its role is to improve the effectiveness of TEN-T implementation at a lower cost; to strengthen the links between the TEN-T and communities of experts; to mobilise a high level of expertise and make the recruitment of specialised staff easier; to ensure a better coordination of funds with other Community instruments; to enable the simplification and flexibility of TEN-T implementation; to raise the profile of Community action in the field of TEN-T; and in general to add value to the management of the TEN-T Programme.

Tasks

(a)	ensure the technical and financial management of projects and events which are co-financed under the TEN-T budget;

(b)	collect, analyse and transmit to the Commission all information required for the implementation and programming of TEN-T;

(c)	provide technical support to project promoters and the financial institution responsible for managing the loan guarantee instrument for the TEN-T projects;

(d)	provide any technical and administrative support requested by the Commission.

Its parent, DG MOVE, continues to address all policy-making and institutional tasks related to TEN-T.

Governance

1 — Steering Committee

The Agency's activities are supervised by a Steering Committee which is currently composed of five members and one observer. The members of the Steering Committee are appointed for 2 years. The Steering Committee meets in principle four times a year. Certain measures or decisions need its approval before they can be implemented. This applies for example to the administrative budget, the establishment plan, the Work Programme, the Annual Activity Report, the provisional accounts of all revenue and expenditure, the external evaluation report and the adoption of several special rules and measures etc. On a number of other actions, the committee is kept informed. In exceptional and urgent cases, decisions are taken through a written procedure.

2 — Director

Appointed by the European Commission for 5 years.

3 — Internal audit

The Internal Audit Service of the European Commission and The Internal Audit Capability of the Agency.

4 — External audit

Court of Auditors.

5 — Discharge Authority

Parliament acting on a recommendation from the Council.

Resources available to the Agency in 2010 (2009)

Budget

(A)	8,0 billion euro (100 % general budget of the European Union) for the TEN-T budget linked to the 2007-2013 Financial Perspective. The Agency implements the operational budget under the responsibility of the Commission.

(B)	9,79 million euro (100 % EU subsidy) for the administrative budget for which the Agency is autonomous.

Staff at 31 December 2010

TA posts: 33 posts listed in the establishment plan, of which 31 (94 %) occupied.

Contract staff: 66 posts planned, of which 62 (94 %) were occupied.

Total staff: 99 (93 occupied)

Allocated to

(a)	Operational activities: 65 (61 occupied)

(b)	Administrative activities: 34 (32 occupied)

Products and services 2010

The Agency identified four specific objectives for operational activities for 2010 which were linked to the priorities established by DG MOVE.

The first was to support the completion of TEN-T infrastructure by the effective and efficient technical and financial management of the TEN-T Programme and projects, putting in evidence the added value and expertise of the Agency. The second was to support in particular the deployment of Intelligent Transport infrastructure throughout the TEN-T. The third was to support DG MOVE in the context of the TEN-T policy revision and mid-term programme review, in particular by carrying out an evaluation of the implementation of the projects. The fourth was an increased awareness about the TEN-T Programme, the Agency and its achievements, and improved support to its partners, notably on issues related to project financing and Public Private Partnerships.

The Agency also set two specific objectives for its horizontal activities: one was an increased efficiency of the Agency's operations by streamlining its working methods, internal organisation, structure and staff management, and developing new tools (IT and reporting tools) for improving the management of the project life cycle and for statistical analysis, reporting and monitoring purposes. The other was to further increase the efficiency of the internal control system so that reasonable assurance can be given that resources assigned to the activities are used according to the principles of sound financial management and that the control procedures in place give the necessary guarantees concerning the legality and regularity of the underlying transactions.

2010 was the second complete year of operation of TEN-T EA. The main challenges for the year were to actively contribute to the priority areas of action identified by the Agency's parent DG, to continue to improve the technical and financial management of the TEN-T projects for all transport modes, and to fully demonstrate the added value of the executive agency in contributing to the effective implementation of the Programme.

Source: Information supplied by the Trans-European Transport Network Executive Agency.

THE AGENCY'S REPLY

13.

The 1,4 million euro carried forward appropriations mainly concern services provided in 2010, for which no invoices had been received by the end of the year. The largest amounts are linked to Service Level Agreements (SLAs) with Commission services and to the move to the new premises in November 2010. The Agency has taken steps to further improve budgetary execution, including better planning and the introduction of interim payments for SLAs, which should reduce amounts to be carried forward.

15.12.2011

Official Journal of the European Union

C 366/81

REPORT

on the annual accounts of the Executive Agency for Competitiveness and Innovation for the financial year 2010, together with the Agency's replies

2011/C 366/15

INTRODUCTION

The Executive Agency for Competitiveness and Innovation (the Agency), located in Brussels, is the former Intelligent Energy Executive Agency (IEEA). Its mandate and duration were modified by Commission Decision 2007/372/EC of 31 May 2007 (1) amending Decision 2004/20/EC of 23 December 2003 (2). The Agency was established for a limited period, beginning on 1 January 2004 and now ending on 31 December 2015, to manage EU actions in the field of energy, entrepreneurship and innovation, and sustainable freight transport (3).

2.	The Agency's 2010 administrative budget was 15,9 million euro. The number of staff employed by the Agency at the end of the year was 142.

STATEMENT OF ASSURANCE

Pursuant to the provisions of Article 287(1), second subparagraph of the Treaty on the Functioning of the European Union, the Court has audited the annual accounts (4) of the Agency, which comprise the 'financial statements' (5) and the 'reports on implementation of the budget' (6) for the financial year ended 31 December 2010 and the legality and regularity of the transactions underlying those accounts.

4.	This Statement of Assurance is addressed to the European Parliament and the Council in accordance with Article 14 of Council Regulation (EC) No 58/2003 (7).

The Director's responsibility

The Court's responsibility

6.	The Court's responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the Agency and the legality and regularity of the transactions underlying them.

The Court's audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the accounts and about the legality and regularity of the transactions underlying them. The procedures selected depend on its audit judgment including the assessment of the risks of material misstatement of the accounts or of illegal or irregular transactions, whether due to fraud or error. In making those risk assessments internal control relevant to the entity's preparation and presentation of accounts is considered in order to design audit procedures that are appropriate in the circumstances. The Court's audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the accounts.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinions set out below.

Opinion on the reliability of the accounts

10.	In the Court's opinion, the Agency's Annual Accounts (12) present fairly, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court's opinion, the transactions underlying the annual accounts of the Agency for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

12.	The comments which follow do not call the Court's opinions into question.

COMMENTS ON BUDGETARY AND FINANCIAL MANAGEMENT

13.

The initial 2010 budget of 15,9 million euro included 10,7 million euro for staff costs. The budget was overestimated as actual staff expenditure was only 9,2 million euro. The excess funds were transferred to operating expenditure and used on fitting out works for the new premises of the Agency. However, the Court made similar remarks for the 2008 and 2009 budgets (13) and reiterates that this indicates the need for a stricter approach when forecasting staff needs.

14.	Appropriations carried forward at 31 December 2010 amounted to 2 million euro or 13 % of total commitments for the year, indicating the need for a more rigorous application by the Agency of the budgetary principle of annuality.

This report was adopted by Chamber II, headed by Mr Harald NOACK, Member of the Court of Auditors, in Luxembourg at its meeting of 12 October 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ L 140, 1.6.2007, p. 52.

(2) OJ L 5, 9.1.2004, p. 85.

(3) The Annex summarises the Executive Agency's competences and activities. It is presented for information purposes.

(4) These accounts are accompanied by a report on the budgetary and financial management during the year which gives inter alia an account of the rate of implementation of the appropriations with summary information on the transfers of appropriations among the various budget items.

(5) The financial statements include the balance sheet and the economic outturn account, the cash-flow table, the statement of changes in capital and the annex to the financial statements which includes the description of the significant accounting policies and other explanatory information.

(6) The budget implementation reports comprise the budget outturn account and its annex.

(7) OJ L 11, 16.1.2003, p. 1.

(8) Article 25 of Commission Regulation (EC) No 1653/2004 (OJ L 297, 22.9.2004, p. 6).

(9) Article 29 of Regulation (EC) No 1653/2004.

(11) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(12) The Final Annual Accounts were drawn up on 28 June 2011 and received by the Court on 4 July 2011. The Final Annual Accounts can be found on the following website http://ec.europa.eu/eaci/docs_en.htm

(13) See paragraph 13 of the Report on the annual accounts 2008 (OJ C 304, 15.12.2009, p. 77) and paragraph 13 of the Report on the annual accounts 2009 (OJ C 338, 14.12.2010, p. 83).

ANNEX

Executive Agency for Competitiveness and Innovation (Brussels)

Competences and activities

Areas of Union competence deriving from the Treaty on the Functioning of the European Union (TFEU)

The Union policy on the environment shall contribute to preserving, protecting and improving the quality of the environment; protecting human health; prudent and rational utilisation of natural resources; and promoting measures at international level to deal with regional or worldwide environmental problems.

(Article 191 of the TFEU)

The Union policy on industry shall ensure that the conditions necessary for the competitiveness of the Union's industry exist by speeding up the adjustment of industry to structural changes, encouraging an environment favourable to initiative and to the development of and cooperation between undertakings, fostering better exploitation of the industrial potential of policies of innovation, research and technological development. The Member States shall consult each other in liaison with the Commission and, where necessary, shall coordinate their action. The Commission may take any useful initiative to promote such coordination.

(Article 173 of the TFEU)

The common transport policy shall lay down common rules applicable to international transport to or from the territory of a Member State or passing across the territory of one or more Member States. It shall also set out the conditions under which non-resident carriers may operate transport services within a Member State, and lay down measures to improve transport safety.

(Articles 91(1) and 100(2) of the TFEU)

Competences of the Agency

(Commission Decision 2004/20/EC amended by Decision 2007/372/EC)

Objectives

Within the framework of the Lisbon strategy for growth and jobs, the European Union has taken measures to promote and develop competitiveness and innovation. These measures include the establishment of the Competitiveness and Innovation Framework Programme (CIP) 2007-2013 (Decision No 1639/2006/EC), notably with the programmes Intelligent Energy — Europe (IEE) and Entrepreneurship and Innovation (EIP). The measures also include the Marco Polo (MP) programme (Regulation (EC) No 1692/2006). The main objectives are to foster competitiveness of enterprises, in particular SMEs; to promote all forms of innovation, as well as eco-innovation; to promote energy efficiency and new and renewable energy sources in all sectors, including transport. Under these EU programmes, the Agency is responsible for all implementing tasks concerning EU aid, except for programme evaluation, monitoring of legislation and strategic studies, or any other action which comes under the exclusive competence of the European Commission.

Tasks

Implementing the EU programmes according to the delegations received from the Commission:

—	to manage all phases in the lifetime of specific projects,

—	to carry out all operations necessary to manage the EU programmes, in particular budget implementation with awarding contracts and grants,

—	to gather, analyse and pass on to the Commission all the information needed to guide the implementation of the programmes as well as to promote coordination and synergy among the programmes,

—	as regards the EIP, to be in charge of project management and network animation of the Enterprise Europe Network, eco-innovation pilot and market replication projects, and innovation actions with a high degree of standardisation (IP Base project).

Governance

1 — Steering Committee

Comprises five members appointed by the European Commission. It adopts the Agency's annual work programme after approval by the European Commission. In addition, it adopts the administrative budget of the Agency and its annual activity report.

2 — Director

Appointed by the European Commission.

3 — External Audit

The Court of Auditors.

4 — Discharge authority

Parliament, acting on a recommendation by the Council.

Resources made available to the Agency in 2010 (2009)

Budget

(A)

249,8 (203,1) million euro (100 % general budget of the EU). The EACI implements the operational budget under the responsibility of the Commission:

—	for IEE 71,0 (72,1) million euro,

—	for EIP-eco-innovation 35,2 (32,2) million euro,

—	for EIP-Networks 79,7 (32,0) million euro,

—	for MP 63,8 (66,9) million euro.

(B)	15,9 (13,3) million euro (100 % Union subsidy) for the administrative budget for which the EACI is autonomous.

Staff at 31 December 2010

Total staff: 142 (141);

TA posts: 37 (37) listed in the establishment plan, of which 33 (28) occupied;

Contract staff: 115 (110) posts planned, 109 (113) were occupied.

Allocated to:

(a)	Operational tasks: 119 = 84 % (118 – 84 %)

(b)	Administrative tasks: 23 = 16 % (23 – 16 %).

Products and services 2010

For the Intelligent Energy Europe (IEE), the Agency monitored 314 ongoing IEE projects and signed 62 new grant agreements. For the 2010 call, 348 proposals were submitted. For the first time, the Agency organised two contractors' meetings attended by more than 50 coordinators to train them at the starting phase of their project. The European and National Info Days attracted 3 500 participants, about 20 % more than in 2009. For the first time, the Agency was responsible for the organisation of the European Sustainable Energy week (EUSEW), which included 330 events, more than twice as many as in 2009. The number of EUSEW energy days organised outside Brussels increased 4-fold to reach 250 events, media work carried out in relation to the EUSEW paid off with more than 200 media mentions and the Brussels events alone attracted more than 6 000 participants. On behalf of the Commission, the Agency kicked off several EU communication initiatives to adopt sustainable energy practices like the ManagEnergy initiative, the EU-wide school competition and a Clean Vehicle Portal. Furthermore the Agency implemented a new IEE visual identity and graphical charter. Other communication efforts include double as much page views of the IEE projects database (1,5 million) compared to 2009, electronic news alerts with 25 % more subscribers (17 000) then last year, leaflets, project brochures, News Reviews and videos.

The EIP programme — Enterprise Europe Network is made up of more than 580 partner organisations in 47 countries, including the 27 EU member states. In addition to project management tasks of 92 contracts (specific grant agreements) and the IPeuropAware project, the EACI is also responsible for the ‘animation’ of the Enterprise Europe Network and for managing the IT tools and databases for the interactive communication among the network partners. The new public website, intranet and Network Directory were all launched during the year and the technology for the new ‘Merlin’ IT system was selected. The Annual Conference in Antwerp, organised in association with the Belgian EU-Presidency, in order to promote with network partners events and policies at EU level of direct relevance to SMEs, attracted more than 900 participants and obtained a satisfaction rate of more than 94 %. More than 800 staff members of Network partners were trained in 2010; 50 success stories and 3 success story videos were produced to demonstrate the benefit of the Network's services, reaching an audience of almost 4,7 million people. To support an effective and efficient implementation of the Network project, the Agency optimised its organisational structure as from October 2010 resulting in a new organigramme with one unit giving more individual support to partners in terms of network operations and one unit providing horizontal support to the Network as a whole.

For the eco-innovation market replication projects, the Agency monitored 90 ongoing projects and signed 47 new grant agreements. The 2010 call attracted 42 % more proposals (287) than in 2009 and was promoted via one European and 11 national info days, attended by more than 1 500 persons. A searchable online database providing detailed information on all eco-innovation projects was launched and registered 109 000 visitors and 121 000 page views. The number of subscribers to the electronic news alerts increased by 41 % (7 200). Efforts to promote the scheme also include brochures, flyers, and development of a video news release.

For the Marco Polo programme, the Agency monitored 66 ongoing projects and signed 21 contracts. For the 2010 call, 101 proposals were submitted, an increase of 44 % vs. 2009. The European Info Day in February attracted 346 participants from 30 countries. The Marco Polo conference in Vienna attracted more than 180 participants and triggered 16 media mentions with an estimated readership of 1 million persons. The Agency promotes the programme also through the renewed Marco Polo website with 430 000 viewers, electronic news alerts with 15 % more subscribers (1 500) then last year and two new videos for the Marco Polo programme. Communication efforts also include projects brochures, flyers and video DVD's. The media work generated 25 % more press clippings (81) than in 2009.

Source: Information supplied by the EACI.

THE AGENCY'S REPLIES

13.

The reduction of nearly 1,5 million euro is mainly due to factors difficult to predict in the initial budget planning such as a higher staff turnover and lower salary indexation than expected, uncertainty in the payment of the 2009 salary adjustment and more staff working part-time or on parental leave. However, as noted by the Court, the surplus permitted an early reimbursement of the fitting out works of the Agency's new building, which reduced the interest to pay. From 2011 the Agency has sought to improve the forecasting by taking into account the impact of staff mobility on the number of months of salary paid.

14.

The amounts carried forward are related to obligations duly contracted at the end of 2010 and invoiced in 2011. Compared to the previous years, the main increases in the appropriations carried forward are related to the move to the new premises in November 2010, the costs for the evaluation in November-December of a successful call receiving 40 % more proposals in 2010 and invoices under contracts for the new ex post audit strategy progressively implemented by the Agency as of 2010. The amounts carried forward on other budget lines have tended to decrease.

15.12.2011

Official Journal of the European Union

C 366/87

REPORT

on the annual accounts of the Research Executive Agency for the financial year 2010, together with the Agency's reply

2011/C 366/16

INTRODUCTION

The Research Executive Agency (hereinafter ‘the Agency’), which is located in Brussels, was set up by Commission Decision 2008/46/EC of 14 December 2007 (1). The Agency was established for a limited period beginning on 1 January 2008 and ending on 31 December 2017 with the aim of managing specific Union activities in the field of research (2). On 15 June 2009 the Agency was officially granted its administrative and operational autonomy by the European Commission.

2.	The Agency's final 2010 administrative budget was 33,6 million euro. The number of staff employed by the Agency at the end of the year was 408.

STATEMENT OF ASSURANCE

4.	This Statement of Assurance is addressed to the European Parliament and the Council in accordance with Article 14 of Council Regulation (EC) No 58/2003 (6).

The Director's responsibility

The Court's responsibility

6.	The Court's responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the Agency and the legality and regularity of the transactions underlying them.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinions set out below.

Opinion on the reliability of the accounts

10.	In the Court's opinion, the Agency's Annual Accounts (11) fairly present, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court's opinion, the transactions underlying the annual accounts of the Agency for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

This Report was adopted by Chamber IV, headed by Mr Igors LUDBORŽS, Member of the Court of Auditors, in Luxembourg at its meeting of 20 September 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ L 11, 15.1.2008, p. 9.

(2) The Annex summarises the Agency's competences and activities. It is presented for information purposes.

(5) The budget implementation reports comprise the budget outturn account and its annex.

(6) OJ L 11, 16.1.2003, p. 1.

(7) Article 25 of Commission Regulation (EC) No 1653/2004 (OJ L 297, 22.9.2004, p. 6).

(8) Article 29 of Regulation (EC) No 1653/2004.

(10) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(11) The Final Annual Accounts were drawn up on 24 May 2011 and received by the Court on 6 July 2011. The Final Annual Accounts can be found on the following website http://eca.europa.eu or http://ec.europa.eu/research/rea/

ANNEX

Research Executive Agency (Brussels)

Competences and activities

Areas of Union competence deriving from the Treaty

(Articles 179 and 180 of the Treaty on the Functioning of the European Union)

The Union shall have the objective of strengthening its scientific and technological bases by achieving a European research area in which researchers, scientific knowledge and technology circulate freely, and encouraging it to become more competitive, including in its industry.

For this purpose the Union shall encourage undertakings, including SMEs, research centres and universities in their research and technological development activities of high quality; it shall support their efforts to cooperate with one another, aiming, notably, at permitting researchers to cooperate freely across borders and at enabling undertakings to exploit the internal market potential to the full, (…) the definition of common standards and the removal of legal and fiscal obstacles to that cooperation.

In pursuing these objectives, the Union shall carry out the following activities, complementing the activities carried out in the Member States:

(a)	implementation of research, technological development and demonstration programmes, by promoting cooperation with and between undertakings, research centres and universities;

(b)	promotion of cooperation in the field of Union research, technological development and demonstration with third countries and international organisations;

(c)	dissemination and optimisation of the results of activities in Union research, technological development and demonstration;

(d)	stimulation of the training and mobility of researchers in the Union.

Competences of the Agency

(Commission Decision 2008/46/EC of 14 December 2007)

Objective

The objective of the Agency is to manage the Programmes entrusted to it under FP7 (the People Programme, the SME actions of the Capacities Programme, and the Space and Security themes of the Cooperation Programme) efficiently and effectively, to deliver efficient and effective services to the research community and to provide centralised FP7 support services to the respective Commission services for all areas of the Cooperation, Capacities and People Specific Programmes.

With regard to the efficient and effective Programmes implementation, the Agency — as promoter of the European Research Area — aims at improving project management, establishing close contact with final beneficiaries and providing high visibility of the European Union.

Tasks

With regard to the management of projects, the Agency concludes and manages grant agreements, involving the following operations:

—	preparation and publication of calls for proposals,

—	evaluation of proposals,

—	preparation and signature of grant agreements,

—	monitoring the implementation of projects including acceptance of reports and other deliverables,

—	payments, recoveries, and application of sanctions within the meaning of Article 114(4) of the general Financial Regulation, notably when errors in declared costs have been identified following ex-post audits at the level of the final beneficiaries,

—	ex-post publicity and dissemination of results.

With regard to FP7 Support Services, the Agency performs the following tasks:

—	administrative support for call publication,

—	management of the electronic reception of proposals,

—	support for remote and on-site evaluations,

—	support for the preparation of appointment letters and payments for experts,

—	management of the Central FP7 participants database (Unique Registration Facility — URF), including support for financial capacity checks of selected beneficiaries,

—	management of the Research Enquiry Service.

Governance

1 — Steering Committee

Comprises five members appointed by the Commission. It adopts the Agency's organisation chart and its Annual Work Programme after approval by the Commission. In addition, it adopts the administrative budget of the Agency and its Annual Activity Report.

2 — Director

Appointed by the European Commission, manages the Agency together with the Steering Committee, implements the administrative budget, sets up management and internal control systems adapted to the tasks entrusted to the Agency and prepares the reports which the Agency must present to the Commission.

3 — External audit

Court of Auditors.

4 — Discharge authority

Parliament, acting on a recommendation from the Council.

Resources made available to the Agency in 2010 (2009)

Administrative Budget

33,6 (21,6) million euro. The Agency implements the administrative budget autonomously.

The Agency implements under a delegation decision of the Commission 962,6 (811,2) million euro of commitment appropriations and 709 (679) million euro of payment appropriations.

Staff at 31 December

Temporary staff posts: 106 (88) listed in the establishment plan of which 99 (72) occupied.

Contract staff: 318 (261) staff planned of which 309 (238) were in place as of 31 December 2010.

Total staff: 408 (310) undertaking the following tasks:

—	Programme implementation: 254 (171)

—	FP7 Support Services: 81 (73)

—	Management and Administrative functions: 73 (66)

Products and services in 2010 (2009)

For the People Programme, nine calls were closed in 2010 and nine evaluations completed. 1 670 new grant agreements were signed and 1 732 payments made (excluding payments for expert evaluators). The Agency now manages a total of 4 125(2 495) projects under this programme.

For the SME actions of the Capacities Programme, one call was closed and one evaluation completed. 163 new grant agreements were signed and 243 payments made (excluding payments for expert evaluators). The Agency manages a total of 408 (247) projects under this scheme.

For the Space and Security themes of the Cooperation Programme, two calls were closed in 2010 and two evaluations completed. 86 new grant agreements were signed and 133 payments made (excluding payments to expert evaluators). The Agency now manages a total of 153 (78) projects under these themes.

As regards the FP7 support services, the results obtained for 2010 are as follows (figures for 2009 refer to the period 15.6.2009-31.12.2009 only):

—	88 (64) call publications supported,

—	21 766(13 832) proposals received through the electronic proposal submission tool,

—	3 847(3 067) expert evaluators contracted and 2 615(912) expert payments made (for programmes managed by the Agency only),

—	5 896(2 795) validations of participants completed,

—	7 171(3 772) replies sent following questions to the Research Enquiry Service.

Source: Information supplied by the Agency.

THE AGENCY'S REPLY

1.	The Agency has taken note of the Court's report.

15.12.2011

Official Journal of the European Union

C 366/93

REPORT

on the annual accounts of the Executive Agency for Health and Consumers for the financial year 2010, together with the Agency’s reply

2011/C 366/17

INTRODUCTION

The Executive Agency for Health and Consumers (hereinafter ‘the Agency’), located in Luxembourg, was set up by Commission Decision 2004/858/EC (1) and amended by Commission Decision 2008/544 EC (2). The Agency was established for a period beginning 1 January 2005 and ending in 2013 for the management of Union actions in the field of health and consumer policy (3).

2.	The Agency’s 2010 administrative budget amounted to 6,8 million euro, compared with 6,4 million euro in the previous year. The number of staff employed by the agency at the end of the year was 45, as compared with 48 the previous year.

STATEMENT OF ASSURANCE

Pursuant to the provisions of Article 287(1), second subparagraph, of the Treaty on the Functioning of the European Union, the Court has audited the annual accounts (4) of the Agency, which comprise the ‘financial statements’ (5) and the ‘reports on the implementation of the budget’ (6) for the financial year ended 31 December 2010 and the legality and regularity of the transactions underlying those accounts.

4.	This Statement of Assurance is addressed to the European Parliament and the Council in accordance with Article 14 of Council Regulation (EC) No 58/2003 (7).

The Director’s responsibility

As authorising officer, the Director implements the revenue and expenditure of the budget in accordance with the financial rules of the Agency under his own responsibility and within the limits of authorised appropriations (8). The Director is responsible for putting in place (9) the organisational structure and the internal management and control systems and procedures relevant for drawing up the final accounts (10) that are free from material misstatement, whether due to fraud or error, and for ensuring that the transactions underlying those accounts are legal and regular.

The Court’s responsibility

6.	The Court’s responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the Agency and the legality and regularity of the transactions underlying them.

The Court conducted its audit in accordance with the IFAC and ISSAI (11) International Auditing Standards and Codes of Ethics. Those standards require the Court to comply with ethical requirements and to plan and perform the audit so as to obtain reasonable assurance as to whether the accounts are free from material misstatement and whether the underlying transactions are legal and regular.

9.	The Court considers that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinions set out below.

Opinion on the reliability of the accounts

10.	In the Court’s opinion, the Agency’s Annual Accounts (12) fairly present, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court’s opinion, the transactions underlying the annual accounts of the Agency for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

12.	The comment which follows does not call the Court’s opinions into question.

COMMENT ON THE BUDGETARY AND FINANCIAL MANAGEMENT

13.

For Title III — Expenditure linked to the Agency’s operations, 1,1 million euro, or 59 % of commitments made, were carried forward to the budgetary year 2011. According to the accounting information, approximately 0,8 million euro of appropriations carried forward corresponds to contracts signed and not yet implemented at the year end. This situation was at odds with the budgetary principle of annuality, which requires that expenditure arising from such contracts shall be charged to the budget of the financial year in which it is effected.

This report was adopted by Chamber I, headed by Mr Olavi ALA-NISSILÄ, Member of the Court of Auditors, in Luxembourg at its meeting of 20 July 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ L 369, 16.12.2004, p. 73.

(2) OJ L 173, 3.7.2008, p. 27.

(3) The Annex summarises the Agency’s competences and activities. It is presented for information purposes.

(4) These accounts are accompanied by a report on the budgetary and financial management of the year which gives inter alia an account of the rate of implementation of the appropriations, with summary information on the transfers of appropriations among the various budget items.

(6) The reports on the implementation of the budget include the budget outturn account and its corresponding notes.

(7) OJ L 11, 16.1.2003, p. 1.

(8) Article 25 of Commission Regulation (EC) No 1653/2004 (OJ L 297, 22.9.2004, p. 6).

(9) Article 29 of Regulation (EC) No 1653/2004.

(10) The rules concerning the presentation of the accounts and accounting by the Agencies are laid down in Chapter 1 of Title VI of Regulation (EC) No 1653/2004 as last amended by Commission Regulation (EC) No 651/2008 (OJ L 181, 10.7.2008, p. 15).

(11) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(12) The Final Accounts were drawn up on 16 June 2011 and received by the Court on 29 June 2011. The Final Accounts can be found on the following website http://eca.europa.eu or http://ec.europa.eu/eahc/about/about.html

ANNEX

Executive Agency for Health and Consumers (Luxembourg)

Competences and activities

Areas of Union competence deriving from the Treaty

(Articles 168 and 169 of the Treaty on the Functioning of the European Union)

A high level of human health protection shall be ensured in the definition and implementation of all Union policies and activities.

In order to promote the interests of consumers and to ensure a high level of consumer protection, the Union shall contribute to protecting the health, safety and economic interests of consumers, as well as to promoting their right to information, education and to organise themselves in order to safeguard their interests.

Competences of the Agency

Objectives

—

The Agency is responsible for carrying out the implementation tasks for the management of the second Public Health Programme 2008-2013 as adopted by Decision No 1350/2007/EC, the Consumer programme for 2007-2013 as adopted by Decision No 1926/2006/EC and the food safety training measures covered by Regulation (EC) No 882/2004 and Directive 2000/29/EC.

—	The Agency also manages all the phases in the lifetime of the implementing measures delegated to it in the framework of the programme of Union action in the field of public health 2003-2008, adopted by Decision No 1786/2002/EC of the European Parliament and of the Council of 23 September 2002.

Tasks

Under the Union programmes mentioned below, the Agency is responsible for implementing the following tasks as defined in the delegation act adopted on 9 September 2008 (1):

Public Health Programme 2003-2008 — Decision No 1786/2002/EC

Public Health Programme 2008-2013 — Decision No 1350/2007/EC

Consumers Programme 2007-2013 — Decision No 1926/2006/EC

Food Safety Training Measures — Regulation (EC) No 882/2004 and Directive 2000/29/EC:

(a)	managing all the phases of the cycle of projects;

(b)	monitoring projects implemented under these programmes and measures, including the necessary steps;

(c)

collecting, processing and distributing data and in particular compiling, analysing and transmitting to the Commission all information required to guide implementation of the Union programmes and measures, promote coordination and synergy with other programmes of the European Union, the Member States or international organisations;

(d)	organising meetings, seminars, talks, and training measures;

(e)	helping to evaluate the programme's impact, in particular the annual and/or mid term evaluation of implementation of the programmes, and implementing the follow-up actions on evaluations decided by the Commission;

(f)	disseminate the results of the information operations planned and implemented by the Commission;

(g)	producing overall control and supervision data;

(h)	participating in preparatory work on financing decisions.

Governance

1 — Steering Committee

Comprises five members appointed by the European Commission. The members of the Steering Committee are appointed for 2 years.

It adopts the Agency's annual work programme after approval by the European Commission. In addition, it adopts the administrative budget of the Agency and its annual activity report.

2 — Director

Appointed by the European Commission for 4 years.

3 — External audit

The European Court of Auditors.

4 — Discharge Authority

The European Parliament following a recommendation from the Council.

Resources made available to the Agency in 2010 (2009)

Final Budget

The Agency's administrative budget for 2010 amounted to 6,77 million euro.

Staff at 31 December 2010

On 31 December 2010, the Agency employed 45 statutory staff members, including 11 temporary staff and 34 contract staff.

Products and services 2010 (2009)

1. Monitoring of the 2005, 2006, 2007, 2008 and 2009 grants provided under the Public Health programme (PHP) 2003-2008, successfully finalised negotiations for grants under the 2009 Calls for proposals, including projects, Conferences, Operating Grants, Joint Actions and managed Call for proposals 2010. Finalised grants and contracts awarded under the 2008 calls for proposals and for tenders of the 2007-2013 Consumer Programme (CP) and monitored contracts awarded under 2007, 2008 and 2009 calls for tender under Better Training for Safer Food Initiative.

2.1. PHP work programme

—	Execution of the 2010 Call for proposals ‘Public Health programme’. 177 proposals were received. Of those 115 were applications for projects, 10 for Joint Actions, 25 for Operating Grants and 27 for Conferences.

—	Management of contracts with international organisations, including the running of projects transferred by DG SANCO to the Agency.

—	Launching and contracting of the Calls for tender in the Work Programme 2010 of the Health Programme. Nine Calls for tender were launched for DG SANCO.

—

Organisation of Expert Meetings. Two workshops were organised for the project coordinators. Twice per year meeting with the National Focal Points (NFPs) was organised. In the framework of the EUPHA Conference, EAHC co-hosted with DG SANCO a workshop discussing the EU-added-value of co-funded public health projects. The objective of the workshop was to disseminate key concepts/ ideas which will be integral part of the forthcoming calls for proposals. A workshop, with the SANCO expert group on indoor air, environmental health project coordinators and Member State representatives in collaboration with DG SANCO and the Belgian presidency, was held in early December in Brussels. A workshop on evidence produced by EU co-funded public health projects, feeding directly into policy at EU, national, regional or local level was held in December 2010.

2.2. CP work programme

—	Calls for proposals. Seven Calls for proposals were launched in 2010.

—

Exchange of Officials (GPSD/CPC). The Agency co-funded 22 grants, which gave the opportunity to enforcement officials from LT, SI, FR, SK, AT, EE, DE, ES and CY to share experiences and knowledge about the implementation of Directive 2001/95/EC on General Product Safety and of Regulation (EC) No 2006/2004 on consumer protection cooperation with counterparts in UK, DE, AT, CY, PT, SK, ES, IT, FR, BE and NL.

—

Joint Actions (GPSD/CPC). Agency co-funded a project that aims at exchanging and implementing best practices between the Member States, thereby improving cross-border cooperation and increasing consumer product safety. The product specific activities involved market surveillance on: food imitation child appealing products, children's fancy dresses, laser pointers, ladders and visibility clothing and accessories.

—

Operating Grants for European Consumer Organisations. Within the frame of the Call concerning Operating Grants for European consumer organisations and consumer organisations in the standardisation process, the Agency signed partnership grant agreements with BEUC (Bureau Européen des Unions de Consommateurs) and ANEC. (European Association for the Coordination of Consumer Representation in Standardisation), respectively.

—	ECC-Net. Call for proposals concerning the financial contribution to the European Consumer Centres was launched. As a result of it, the Agency signed 28 grant agreements.

—	Calls for tender. Calls for tender and four requests for specific services were launched.

—

European School Diary. The Europa Diary is a school Diary, for students in secondary school, aimed as a tool for homework and other school related notes. Several Commission General Directorates and other EU institution contribute with content and funding. During 2010, a Framework contract was awarded and signed with contractor Generation Europe Foundation for the development, printing and distribution of the 2011/2012 edition of the Europa Diary and Teacher's guide. As manager of the Framework contract, the Agency coordinated and monitored the implementation of this project: it approved 21 contracts from different Commission Directorates-General and the Economic and Social Committee.

—	Dolceta. Dolceta is an online consumer education tool for the citizens in the 27 Member States. The Call for tender for this service was launched in 2010.

—	Consumer Market Studies. Three specific contracts, within the context of the consumer market studies framework contract were signed. Also a contract to carry out a survey market monitoring of 51 consumer markets was signed.

2.3. BTSF work programme

—

Monitoring of the contracts transferred by DG SANCO related to projects awarded under the 2007 and 2008 Calls for tender and contracts awarded from the tender 2009. Following an agreement with DG SANCO a block of six contracts signed under the BTSF was transferred to the Agency. The Agency monitored programmes defined within 7 new contracts awarded from the Calls for tender launched in 2009.

—	Launching 2010 Calls for tender and signing contracts. Budget available for the training programmes — 13 320 000 euro. 10 Calls for tender or invitation to tender were launched.

3. Generation and dissemination of information on the Public Health programme, Consumer Programme, projects financed by BTSF programme and the Executive Agency's activities in 2010.

Source: Information supplied by the Agency.

(1) Commission Decision of 9 September 2008 — delegating powers to the Agency.

THE AGENCY'S REPLY

13.

The Agency takes note of the Court's finding that the carried forward appropriations, particularly Title III of the Agency's operating budget, should be further reduced. To this aim the Agency shall further revise its budget planning and reporting tool, and initiate actions of the Work Programme earlier in the year. Consequently, rates of executed payment appropriations should increase at year end.

15.12.2011

Official Journal of the European Union

C 366/100

REPORT

on the annual accounts of the European Railway Agency for the financial year 2010, together with the Agency's reply

2011/C 366/18

INTRODUCTION

The European Railway Agency (hereinafter ‘the Agency’), which is located in Lille and Valenciennes, was created by Regulation (EC) No 881/2004 of the European Parliament and of the Council of 29 April 2004 (1). The Agency's aim is to enhance the level of interoperability of railway systems and to develop a common approach to safety in order to contribute to creating a more competitive European railway sector with a high level of safety (2).

2.	The Agency's 2010 budget amounted to 24,1 million euro, compared with 21 million euro the previous year. The number of staff employed by the Agency at the end of the year was 142, compared with 127 the previous year.

STATEMENT OF ASSURANCE

4.	This Statement of Assurance is addressed to the European Parliament and the Council in accordance with Article 185(2) of Council Regulation (EC, Euratom) No 1605/2002 (6).

The Director's responsibility

The Court's responsibility

6.	The Court's responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the Agency and the legality and regularity of the transactions underlying them.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinions set out below.

Opinion on the reliability of the accounts

10.	In the Court's opinion, the Agency's Annual Accounts (11) fairly present, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court's opinion, the transactions underlying the annual accounts of the Agency for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

12.	The comments which follow do not call the Court's opinions into question.

COMMENTS ON THE BUDGETARY AND FINANCIAL MANAGEMENT

13.	The appropriations carried forward to 2011 amounted to 5,5 million euro, of which 4,3 million euro (78 %) are related to goods and services to be provided in 2011. This level of carryover is excessive and at odds with the principle of annuality.

This Report was adopted by Chamber IV, headed by Mr Igors LUDBORŽS, Member of the Court of Auditors, in Luxembourg at its meeting of 6 September 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ L 220, 21.6.2004, p. 3.

(2) The Annex summarises the Agency's competences and activities. It is presented for information purposes.

(5) The budget implementation reports comprise the budget outturn account and its annex.

(6) OJ L 248, 16.9.2002, p. 1.

(7) Article 33 of Commission Regulation (EC, Euratom) No 2343/2002 (OJ L 357, 31.12.2002, p. 72).

(8) Article 38 of Regulation (EC, Euratom) No 2343/2002.

(10) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(11) The Final Annual Accounts were drawn up on 15 June 2011 and received by the Court on 4 July 2011. The Final Annual Accounts can be found on the following website http://eca.europa.eu or www.era.europa.eu

ANNEX

European Railway Agency (Lille/Valenciennes)

Competences and activities

Areas of Union competence deriving from the Treaty

(Article 91(1) of the Treaty on the Functioning of the European Union)

‘For the purpose of implementing Article 90, and taking into account the distinctive features of transport, the European Parliament and the Council shall, acting in accordance with the ordinary legislative procedure and after consulting the Economic and Social Committee and the Committee of the Regions, lay down:

(a)	common rules applicable to international transport to or from the territory of a Member State or passing across the territory of one or more Member States;

(b)	the conditions under which non-resident carriers may operate transport services within a Member State;

(c)	measures to improve transport safety;

(d)	any other appropriate provisions.’

Competences of the Agency

(Regulation (EC) No 881/2004 of the European Parliament and of the Council)

Objectives

To contribute, on technical matters, to the implementation of the Union legislation aimed at:

—	improving the competitive position of the railway systems,

—	developing a common approach to safety on the European railway system,

in order to contribute to creating a European railway area without frontiers and guaranteeing a high level of safety.

Tasks

1 — Address recommendations to the Commission on:

—	the common safety methods (CMS) and common safety targets (CSTs) provided in the Railway Safety Directive (2004/49/EC),

—	safety certificates and measures in the field of safety,

—	development of technical specifications for interoperability,

—	monitoring interoperability,

—	certification of maintenance workshops,

—	vocational competencies,

—	registration of rolling stock.

2 — Issue opinions on

—	national safety rules,

—	monitoring the quality of work of notified bodies,

—	interoperability of the trans-European network.

3 — Coordination of national bodies

Coordination of national safety authorities and national investigation bodies (as described in Directive 2004/49/EC, Articles 17 and 21).

4 — Publications and databases

—	report on safety performance (every 2 years),

—	report on progress with interoperability (every 2 years),

—	public database of safety documents,

—	public register of documents on interoperability.

Governance

1 — Administrative Board

Comprises one representative from each Member State, four representatives from the Commission and six representatives, without the right to vote, from the professional sectors concerned.

2 — Director

Appointed by the Administrative Board on a proposal from the Commission.

3 — External audit

Court of Auditors.

4 — Discharge Authority

Parliament following a recommendation from the Council.

Resources made available to the Agency in 2010 (2009)

Budget

24 (21) million euro

Staff at 31 December 2010

Posts listed in the establishment plan: 139 (124)

Posts occupied on 31.12.2010: 133 (113)

Other staff: 15 (14)

Total staff: 148 (127), of which assigned to:

—	operational tasks: 101 (84)

—	administrative tasks: 47 (43)

Activities and services provided in 2010

Recommendations relating to Safety Certification, including the migration to a single Union safety certificate, recommendations for a Union model of a train driver licence and register, certification of maintenance workshops and entities in charge of maintenance.

Recommendations in respect of safety regulation, including evaluating the way national safety rules are made available, examination of the transposition of the Railway Safety Directive in the Member States.

Recommendations relating to Safety Reporting, including Common Safety Indicators, coordination of safety authorities' and investigation bodies and reporting on safety performance in the Member States.

Recommendations on safety assessment, including Common Safety Methods.

Drafting Recommendations for Technical Specifications for Interoperability and their Revision. Evaluation of extension of scope and error correction.

Publish a report on railway safety.

Provide Technical Opinions on national rules and monitor the work of Notified Bodies.

Set up and maintain a series of registers for Interoperability and safety.

Act as the System Authority and Change Control Manager for ERTMS (European Railway Traffic Management System) assisting the Commission in evaluating ERTMS projects.

Define and compile the Reference Document of national rules for vehicle authorisation and classify their equivalence for cross acceptance.

Accompany all recommendations with an impact assessment.

Source: Information supplied by the Agency.

THE AGENCY’S REPLY

13.

The Agency is analysing the possibility to conclude framework contracts for studies, enabling it to sign specific contracts much sooner after the adoption of the budget. Furthermore, for the years 2011 and 2012, the Agency is reviewing its budget forecasts to better align them to its real needs and to optimise the use of its budgetary resources.

15.12.2011

Official Journal of the European Union

C 366/106

REPORT

on the annual accounts of the European Food Safety Authority for the financial year 2010, together with the Authority's replies

2011/C 366/19

INTRODUCTION

The European Food Safety Authority (hereinafter referred to as ‘the Authority’), which is located in Parma, was established by Regulation (EC) No 178/2002 of the European Parliament and of the Council of 28 January 2002 (1). Its main tasks are to supply the scientific information needed for Union legislation to be drawn up, to collect and analyse data that allow risks to be identified and monitored and to provide independent information on these risks (2).

2.	The Authority's 2010 budget amounted to 74,7 million euro, compared with 71,4 million euro the previous year. The number of staff employed by the Authority at the end of the year was 433 as compared with 407 the previous year.

STATEMENT OF ASSURANCE

Pursuant to the provisions of Article 287(1), second subparagraph, of the Treaty on the Functioning of the European Union, the Court has audited the annual accounts (3) of the Authority, which comprise the ‘financial statements’ (4) and the ‘reports on the implementation of the budget’ (5) for the financial year ended 31 December 2010, and the legality and regularity of the transactions underlying those accounts.

4.	This Statement of Assurance is addressed to the European Parliament and the Council in accordance with Article 185(2) of Council Regulation (EC, Euratom) No 1605/2002 (6).

The Director's responsibility

As authorising officer, the Director implements the revenue and expenditure of the budget in accordance with the financial rules of the Authority, under his own responsibility and within the limits of the authorised appropriations (7). The Director is responsible for putting in place (8) the organisational structure and the internal management and control systems and procedures relevant for drawing up final accounts (9) that are free from material misstatement, whether due to fraud or error, and for ensuring that the transactions underlying those accounts are legal and regular.

The Court's responsibility

6.	The Court's responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the Authority and the legality and regularity of the transactions underlying them.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinions set out below.

Opinion on the reliability of the accounts

10.	In the Court's opinion, the Authority's Annual Accounts (11) fairly present, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court's opinion, the transactions underlying the annual accounts of the Authority for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

12.	The comments which follow do not call the Court's opinions into question.

OTHER MATTERS

13.

A review of the Declarations of Interest of the Members of the Management Board is carried out by the Chairperson with the assistance of Vice Chairpersons. This review process is insufficiently rigorous and insufficiently detailed. Different approaches to the management of conflict of interest issues are adopted for similar situations. There is scope to improve the completeness and transparency of this procedure.

14.

Weaknesses were noted in some recruitment procedures: the anonymity of the written tests was not respected, scores for passing to the various stages of the selection process were decided upon after the evaluation process had started and vague criteria were used. These matters put at risk the transparency of the recruitment process.

This Report was adopted by Chamber IV, headed by Mr Igors LUDBORŽS, Member of the Court of Auditors, in Luxembourg at its meeting of 6 September 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ L 31, 1.2.2002, p. 1.

(2) The Annex summarises the Authority's competences and activities. It is presented for information purposes.

(5) The budget implementation reports comprise the budget outturn account and its annex.

(6) OJ L 248, 16.9.2002, p. 1.

(7) Article 33 of Commission Regulation (EC, Euratom) No 2343/2002 (OJ L 357, 31.12.2002, p. 72).

(8) Article 38 of Regulation (EC, Euratom) No 2343/2002.

(10) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(11) The Final Annual Accounts were drawn up on 16 June 2011 and received by the Court on 1 July 2011. The Final Annual Accounts can be found on the following website http://eca.europa.eu or http://www.efsa.europa.eu/EFSA/AboutEfsa/HowWeWork/Funding/efsa_locale-1178620753812_Accounts.htm

ANNEX

European Food Safety Authority (Parma)

Competences and activities

Areas of Union competence deriving from the Treaty

Collection of information

—	Free movement of goods (Article 37 of the Treaty).

—	Contribution to a high level of protection of health, safety and protection of the environment and of consumers, taking account of any new development based on scientific facts (Article 95 of the Treaty).

—	Common trade policy (Article 133 of the Treaty).

Competences of the Authority

(Regulation (EC) No 178/2002 of the European Parliament and of the Council)

Objectives

—	To provide scientific opinions and scientific and technical support for the legislation and policies which have a direct or indirect impact on food and feed safety.

—	To provide independent information on risks relating to food safety.

—	To contribute to the achievement of a high level of protection of human life and health.

—	To collect and analyse data needed to allow characterisation and monitoring of risks.

Tasks

—	To issue scientific opinions and studies.

—	To promote uniform risk-assessment methodologies.

—	To assist the Commission.

—	To search, analyse and summarise the requisite scientific and technical data.

—	To identify and characterise emerging risks.

—	To establish a network of organisations operating in similar fields.

—	To provide scientific and technical assistance in crisis management.

—	To improve international cooperation.

—	To provide the public and interested parties with reliable, objective and easily comprehensible information.

—	To take part in the Commission's rapid alert system.

Governance

1 — Management Board

Composition

Fourteen members appointed by the Council (in cooperation with the European Parliament and the Commission) and one representative of the Commission.

Task

To adopt the work programme and the budget and ensure that they are implemented.

2 — Executive Director

Appointed by the Management Board on the basis of a list of candidates proposed by the Commission, following a hearing before the European Parliament.

3 — Advisory Forum

Composition

One representative per Member State.

Task

To advise the Executive Director.

4 — Scientific Committee and scientific panels

To draw up the Authority's scientific opinions.

5 — External audit

Court of Auditors.

6 — Internal audit

Internal Audit Capability of EFSA.

Internal Audit Service of the European Commission.

7 — Discharge authority

Parliament, acting on recommendation by the Council.

Resources made available to the Authority in 2010 (2009)

Budget

74,7 (71,4) million euro of which 100 % (100 %) is an European Union subvention.

Staff as at 31 December 2010

355 (355) posts foreseen in the establishment plan, of which occupied:

330 (326) staff (temporary agent and officials)

Other staff 103 (81) (contractual, seconded national experts)

Total staff 433 (407) of which for:

Operational duties: 323 (324).

Administrative duties: 110 (83)

Please note that 21 offer letters were sent as per 31.12.2010 amounting to 454 total staff.

Products and services 2010 (2009)

Scientific Outputs and Supporting Publications 2010 (2009) (1)

Activity 1: Provision of scientific opinions and advice and risk assessment approaches

—	Guidance of the Scientific Committee/Scientific Panel 2 (6)

—	Opinion of the Scientific Committee/Scientific Panel 48 (72)

—	Scientific Report of EFSA 5 (3)

—	Statement of EFSA 4 (4)

—	Statement of the Scientific Committee/Scientific Panel 7 (6)

Total scientific outputs activity 1 = 66 (91)

Activity 2: Evaluation of products, substances and claims subject to authorisation

—	Conclusion on Pesticides Peer Review 73 (28)

—	Guidance of EFSA 1 (3)

—	Guidance of the Scientific Committee/Scientific Panel 6 (2)

—	Opinion of the Scientific Committee/Scientific Panel 244 (341)

—	Scientific Report of EFSA 2 (0)

—	Statement of the Scientific Committee/Scientific Panel 5 (38)

Total scientific outputs activity 2 = 331 (412)

Activity 3: Data Collection, scientific cooperation and networking

—	Guidance of EFSA 3 (2)

—	Statement of EFSA 2 (2)

—	Reasoned Opinion 68 (76)

—	Scientific Report of EFSA 38 (40)

Total scientific outputs activity 3 = 111 (120)

Supporting Publications

—	Event report 7 (2)

—	External Scientific Report 33 (1)

—	Technical report 17 (10)

Total Supporting Publications = 57 (13)

Total outputs = 565 (636)

—	Scientific outputs supported by communication activities: 34 % (24 %).

—	Public consultations: 78 (66)

—	Web visits: 3 million (2,4)

—	Highlights subscribers: 26 934(25 690)

—	Media coverage: 8 330(9 038)

—	Media queries: 857 (694)

—	Press releases: 16 (21)

—	Web News stories: 59 (50)

—	Interviews: 116 (72)

Source: Information supplied by the Authority.

(1) Please note that for the sake of comparability, the (2009) data have been adapted in order to reflect the new classification of the Authority outputs. The total number of outputs is unchanged.

THE AUTHORITY’S REPLIES

13.

In order to reinforce the self assessment of its Members Declarations of Interest the Management Board adopted in June 2011 a code of conduct. In addition, the Management Board adopted for public consultation a draft policy on Independence and Scientific Decision-Making processes. This new draft policy foresees that for any matters linked to the independence of members of the Board, the Authority might consult the EU institutions that contributed to the appointment process (Council, Parliament, Commission). It is expected to be adopted by end of 2011.

14.	Even if the former guidelines respected the requirements of the implementing rules on recruitment validated by the Commission in application of Article 110 of the Staff Regulations, in December 2010 the Authority adapted its guidelines to adhere to the ECA best practices recommendations.

15.12.2011

Official Journal of the European Union

C 366/112

REPORT

on the annual accounts of the European GNSS Agency for the financial year 2010, together with the Agency’s replies

2011/C 366/20

INTRODUCTION

The European GNSS (Global Navigation Satellite System) Agency (hereinafter ‘the Agency’), which is located in Brussels, was set up by Council Regulation (EC) No 1321/2004 of 12 July 2004 (1) to manage the public interests relating to the European GNSS programmes and to act as the regulatory agency for the programme during the deployment and operational phases of the Galileo Programme. Regulation (EC) No 683/2008 of the European Parliament and of the Council of 9 July 2008 (2) reduced the responsibilities of the Agency to the control of the security of Galileo systems and to the preparation of their commercialisation. The Agency was previously known, until 2010, as the European GNSS Supervisory Authority (3).

2.	The Agency’s 2010 adopted budget amounted to 15,9 million euro, compared with 44,4 million euro the previous year. The number of staff employed by the Agency at the end of the year was 42, compared with 35 the previous year.

STATEMENT OF ASSURANCE

4.	This Statement of Assurance is addressed to the European Parliament and the Council in accordance with Article 185(2) of Council Regulation (EC, Euratom) No 1605/2002 (7).

The Director’s responsibility

As authorising officer, the Director implements the revenue and expenditure of the budget in accordance with the financial rules of the Agency, under his own responsibility and within the limits of the authorised appropriations (8). The Director is responsible for putting in place (9) the organisational structure and the internal management and control systems and procedures relevant for drawing up final accounts (10) that are free from material misstatement, whether due to fraud or error, and for ensuring that the transactions underlying those accounts are legal and regular.

The Court’s responsibility

6.	The Court’s responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the Agency and the legality and regularity of the transactions underlying them.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for its qualified opinion on the reliability of the accounts and its opinion on the legality and regularity of the transactions underlying the accounts.

Basis for a qualified opinion on the reliability of the accounts

10.

During 2010 the Agency purchased tangible fixed assets (12) related to the Galileo programme (13) in the amount of 4,4 million euro. These assets are due to be transferred by the Agency to the European Commission. These assets have been recorded as research expenditure but should have instead been classified as assets held for transfer. The result of this transaction is an understatement of assets in the amount of 4,4 million euro and an understatement of the economic outturn account by the same amount.

Qualified opinion on the reliability of the accounts

11.

In the Court’s opinion, except for the effect of the matter described in paragraph 10, the Agency’s Annual Accounts (14) fairly present, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

12.	In the Court’s opinion, the transactions underlying the annual accounts of the Agency for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

13.	The comments which follow do not call the Court’s opinions into question.

BUDGETARY AND FINANCIAL MANAGEMENT

14.

As regards the Seventh Framework Programme/Galileo/Second Call grant procedures with a budget of 26 million euro, the evaluation process did not clearly distinguish between selection and award criteria. Criteria for assessing the applicants’ financial capacity were not defined. Although the status of the applicant determined the maximum reimbursement rate, such status was not verified by the Agency.

15.	As regards the Sixth Framework Programme (FP6)/ Third Call, in two grant agreements audited, the cost claims submitted by the beneficiaries were based on standard rates, instead of actual costs. This was not in compliance with the non-profit principle for EU financial contributions.

16.	Five audited grants, related mainly to the Sixth Framework Programme, showed delays of between one and three years for their implementation. Successive increases in the initial value of the contracts were noted.

17.

Following the entry into force of Regulation (EC) No 683/2008, most of the activities and assets related to the EGNOS and Galileo programmes were transferred to the Commission in December 2009. At 31 December 2010, the status of 2 million euro held by the Agency in respect of technical support from the European Space Agency had still to be determined.

OTHER MATTERS

18.	In the staff selection procedures audited, threshold scores were not determined for admission to written tests and interviews or for inclusion in the list of suitable candidates. These practices jeopardised the transparency of the recruitment procedures.

This Report was adopted by Chamber IV, headed by Mr Igors LUDBORŽS, Member of the Court of Auditors, in Luxembourg at its meeting of 25 October 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ L 246, 20.7.2004, p. 1.

(2) OJ L 196, 24.7.2008, p. 1.

(3) The Annex summarises the Agency's competences and activities. It is presented for information purposes.

(6) The budget implementation reports comprise the budget outturn account and its annex.

(7) OJ L 248, 16.9.2002, p. 1.

(8) Article 33 of Commission Regulation (EC, Euratom) No 2343/2002 (OJ L 357, 31.12.2002, p. 72).

(9) Article 38 of Regulation (EC, Euratom) No 2343/2002.

(10) The rules concerning the presentation of the accounts and accounting by the Agencies are laid down in Chapter 1 of Title VII of Regulation (EC, Euratom) No 2343/2002 as last amended by Regulation (EC, Euratom) No 652/2008 (OJ L 181, 10.7.2008, p. 23) and are integrated as such in the Financial Regulation of the Agency.

(11) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(12) Satellite magnetotorquers, satellite propulsion thrusters, satellite fuel tanks (In Orbit Validation) and ground rubidium atomic clocks (Full Operational Capability).

(13) Regulation (EC) No 683/2008 on the further implementation of European satellite navigation programmes (EGNOS and Galileo).

(14) The Final Annual Accounts were drawn up on 16 September 2011 and received by the Court on 3 October 2011. The Final Annual Accounts can be found on the following website http://eca.europa.eu or http://www.gsa.europa.eu

ANNEX

European GNSS Agency (Brussels)

Competences and activities

Areas of Union competence deriving from the Treaty

—	Competitiveness for growth and employment.

Competences of the Agency

(Regulation (EU) No 912/2010 of the European Parliament and of the Council of 22 September 2010)

Objectives

—	To manage the public interests relating to the European GNSS programmes.

—	To be the regulatory agency for the European GNSS programmes.

Tasks

The Agency shall:

(a)	ensure security accreditation and the operation of the Galileo security centre;

(b)	contribute to the preparation of the commercialisation of the systems, including the necessary market analysis;

(c)	accomplish other tasks that may be entrusted to it by the Commission.

Governance

1 — Administrative Board

Composition

—	one representative per Member State,

—	one representative from the Commission.

Tasks

—	appoints the Director,

—	adopts the annual work programme,

—	adopts the budget,

—	adopts the annual report on the activities and prospects of the Agency.

2 — Executive Director

Appointed by the Administrative Board.

3 — System Safety and Security Committee

Composed of one representative per Member State and one representative from the Commission.

4 — External audit

Court of Auditors.

5 — Discharge Authority

Parliament, acting on a recommendation from the Council.

Resources made available to the Agency in 2010 (2009)

Final Budget

15,9 (44,4) million euro; this consists of the EU subsidy of 8,7 (7,4) million euro, which is the operating subsidy from the Commission, and 7,2 (37) million euro in operational funds from the Commission.

Staff as at 31 December 2010 (2009)

28 (23) provided for in the establishment plan, of which occupied: 26 (23)

+ 14 (12) other staff (contract staff, seconded national experts), of which occupied: 14 (12)

Total staff foreseen: 42 (35)

Total staff in employment as at 31 December 2010: 40 (35), undertaking the following tasks:

operational: 18 (14)

administrative: 14 (12)

mixed: 8 (9)

Products and services in 2010

Programmes

—	Support to the European Commission in the implementation of the EGNOS and Galileo programmes.

Systems Security

—	Galileo and EGNOS Systems Security.

—	Public Regulated Service (PRS) preparation of the PRS User Segment.

—	Galileo Security Monitoring Centre.

—	GNSS Technology Control Regime.

Market development

—	EGNOS Market Entry.

—	International activities (Latin America, Israel, China, Africa).

—	Information and outreach (EGNOS Information Portal, ‘Growing Galileo 2009’ event).

Research and development

—	Management of projects under the Sixth Framework Programme and the Seventh Framework Programme (first and second calls) for research.

—	Implementation/update of a web-based knowledge management and dissemination tool.

Source: Information supplied by the Agency.

THE AGENCY'S REPLIES

10.

The GSA did not record this equipment as assets in its accounts for the following reasons: (i) the objective of the IOV/FOC phase is to assess the technical feasibility of the system, which was not validated in 2010; (ii) according to the Matimop Arrangement the equipment was never intended to be acquired by the GSA and was never and shall never be in GSA’s control; (iii) from an accounting perspective it was found not prudent to recognise an asset without any economic benefit/value for the GSA; (iv) based on the above and in line with a Commission’s consistent accounting practice in such a situation, the costs for the equipment were booked as research expenditure in 2010.

14.

GSA follows standard FP7 evaluation processes, which stipulate a set of eligibility criteria and another set of evaluation criteria. However, the GSA is currently revising the latest FP7 Commission guidelines and rules to ensure absolute compliance ahead of the signature of the third call FP7 grant agreements.

Although standardised financial capacity checks were performed, they were not documented appropriately. The GSA is upgrading the internal procedures to ensure that every any financial capacity check is filed accordingly.

15.

The grant agreements managed by the GSA for FP6 had been inherited from the predecessor of the GSA, the Galileo Joint Undertaking (GJU). The GJU and the European Space Agency (ESA) had established their FP6 rules, slightly different from the European Commission rules. The remaining open FP6 grant agreements have to be closed following the stipulations within these contracts, which were based on the standard rates used and verified ex ante by the ESA.

16.

Successive increases in the initial value of some FP6 grants usually were agreed for taking into account additional tasks to be performed by the beneficiary.

As long as new actions were considered of importance, via documented work packages, the grant agreements were amended to support the new tasks to be developed. This is not a rare event in EU grant management.

The technological leading-edge nature of the activities, subject to constant change, was the fundamental reason for deciding on these amendments and extensions (not necessarily delays).

17.

The GSA respected all contractual and legal obligations in relation to the ‘Technical ESA-Official Request No 7’. The GSA had to finally reject the request for payment by the European Space Agency (ESA) to the amount of 2 million euro, because ESA did not provide the reports required to constitute the achievement of payment milestones. Accordingly, the unused funds had to be transferred to the European Commission with the obligation to use these funds for the implementation of the IOV agreement between ESA and the GSA. The transfer is to be finalised in September 2011.

18.	The GSA has revised the selection procedure. Since 2011, the pre-selection panel determines the threshold scores before the written tests are completed and before the interviews have taken place.

15.12.2011

Official Journal of the European Union

C 366/117

REPORT

on the annual accounts of the Translation Centre for the Bodies of the European Union for the financial year 2010, together with the Centre's reply

2011/C 366/21

INTRODUCTION

The Translation Centre for the Bodies of the European Union (hereinafter ‘the Centre’), which is located in Luxembourg, was established by Council Regulation (EC) No 2965/94 (1). The Centre's role is to provide any European Union institutions and bodies which call upon its services with the translation services necessary for their activities (2).

2.	The Centre's 2010 budget amounted to 55,9 million euro, compared with 62,6 million euro the previous year. The number of staff employed by the Centre at the end of the year was 225, as compared with 218 the previous year.

STATEMENT OF ASSURANCE

Pursuant to the provisions of Article 287(1), second subparagraph, of the Treaty on the Functioning of the European Union, the Court has audited the annual accounts (3) of the Centre, which comprise the ‘financial statements’ (4) and the ‘reports on the implementation of the budget’ (5) for the financial year ended 31 December 2010, and the legality and regularity of the transactions underlying those accounts.

4.	This Statement of Assurance is addressed to the European Parliament and the Council in accordance with Article 185(2) of Council Regulation (EC, Euratom) No 1605/2002 (6).

The Director's responsibility

As authorising officer, the Director implements the revenue and expenditure of the budget in accordance with the financial rules of the Centre, under his own responsibility and within the limits of the authorised appropriations (7). The Director is responsible for putting in place (8) the organisational structure and the internal management and control systems and procedures relevant for drawing up final accounts (9) that are free from material misstatement, whether due to fraud or error, and for ensuring that the transactions underlying those accounts are legal and regular.

The Court's responsibility

6.	The Court's responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the Centre and the legality and regularity of the transactions underlying them.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinions set out below.

Opinion on the reliability of the accounts

10.	In the Court's opinion, the Centre's Annual Accounts (11) fairly present, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court's opinion, the transactions underlying the annual accounts of the Centre for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

FOLLOW-UP FROM PREVIOUS YEAR'S FINDINGS

12.	During 2010, the Centre reduced its accumulated 2009 surplus of 24 million euro to 9,2 million euro principally by transferring funds to the Union's pension scheme and by reimbursing the Centre's clients.

This Report was adopted by Chamber IV, headed by Mr Igors LUDBORŽS, Member of the Court of Auditors, in Luxembourg at its meeting of 6 September 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ L 314, 7.12.1994, p. 1.

(2) The Annex summarises the Centre's competences and activities. It is presented for information purposes.

(5) The budget implementation reports comprise the budget outturn account and its annex.

(6) OJ L 248, 16.9.2002, p. 1.

(7) Article 33 of Commission Regulation (EC, Euratom) No 2343/2002 (OJ L 357, 31.12.2002, p. 72).

(8) Article 38 of Regulation (EC, Euratom) No 2343/2002.

(10) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(11) The Final Annual Accounts were drawn up on 30 May 2011 and received by the Court on 29 June 2011. The Final Annual Accounts can be found on the following website http://eca.europa.eu or www.cdt.europa.eu

ANNEX

Translation Centre for the Bodies of the European Union (Luxembourg)

Competences and activities

Areas of Union competence

The representatives of the Member States' governments adopted by mutual agreement a declaration concerning the creation, under the aegis of the Commission's translation departments in Luxembourg, of a Translation Centre for the bodies of the Union, which would provide the necessary translation services for the operation of the bodies and services whose seats were established by the Decision of 29 October 1993.

Competences of the Centre

(Council Regulation (EC) No 2965/94, as last amended by Regulation (EC) No 1645/2003)

Objectives

To provide the necessary translation services for the operation of the following bodies:

—	the European Environment Agency,

—	the European Training Foundation,

—	the European Monitoring Centre for Drugs and Drug Addiction,

—	the European Medicines Agency,

—	the Executive Agency for Health and Consumers,

—	the Office for Harmonization in the Internal Market (Trademarks and Designs),

—	the European Police Office (Europol) and the Europol Drugs Unit.

Bodies set up by the Council other than the above may use the Centre's services. The institutions and bodies of the European Union which already have their own Translation Services may, if need be, call upon the Centre's services on a voluntary basis.

The Centre plays a full part in the work of the Interinstitutional Translation Committee.

Tasks

—	To make arrangements for cooperation with the bodies and institutions,

—	to participate in the work of the Interinstitutional Translation Committee.

Governance

1 — Management Board

Composition

—	one representative per Member State,

—	two representatives from the Commission,

—	one representative from each body or institution calling upon the Centre's services.

Task

Adopts the Centre's annual work programme and annual report.

2 — Director

Appointed by the Management Board on a proposal from the Commission.

3 — External audit

Court of Auditors.

4 — Discharge authority

Parliament, acting on a recommendation from the Council.

Resources made available to the Centre in 2010 (2009)

Final budget

55,9 million euro (62,6 million euro)

Staff

225 (233) provided in the establishment plan, of which 215 (202) were occupied

+ 10 (16) contract agents

Total staff: 225 (218), undertaking the following tasks:

operational: 110 (114)

administrative: 115 (104)

Products and services 2010 (2009)

Number of pages translated:

819 598(736 008)

Number of pages by languages:

—	official languages: 813 907(730 565)

—	other languages: 5 691(5 443)

Number of pages per client:

—	bodies: 805 529(708 589)

—	institutions: 14 069(21 789)

Number of pages translated by freelances:

448 160(409 788)

Source: Information supplied by the Centre.

THE CENTRE’S REPLY

12.

In the framework of its new pricing policy, intending to respect the equilibrium between its revenue and its effectively incurred expenses, the Centre has proposed to the Management Board to create a reserve of 4,3 million euro for investments into e-CDT program to be realised over the years 2012-2013 and a price stability fund of 4,9 million euro to compensate for the potential decrease of its revenue due to the anticipated reduction of translation requests from its major client.

15.12.2011

Official Journal of the European Union

C 366/122

REPORT

on the annual accounts of the European Centre for Disease Prevention and Control for the financial year 2010, together with the Centre's replies

2011/C 366/22

INTRODUCTION

The European Centre for Disease Prevention and Control (hereinafter ‘the Centre’), which is located in Stockholm, was set up by Regulation (EC) No 851/2004 of the European Parliament and of the Council (1). Its main tasks are to collect and disseminate data on the prevention and control of human diseases and to provide scientific opinions on this subject. It is also required to coordinate the European network of bodies operating in this field (2).

2.	The Centre's 2010 budget amounted to 57,8 million euro, compared with 51 million euro the previous year. The number of staff employed by the Centre at the end of the year was 254, compared with 199 the previous year.

STATEMENT OF ASSURANCE

4.	This Statement of Assurance is addressed to the European Parliament and the Council in accordance with Article 185(2) of Council Regulation (EC, Euratom) No 1605/2002 (6).

The Director's responsibility

The Court's responsibility

6.	The Court's responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the Centre and the legality and regularity of the transactions underlying them.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinions set out below.

Opinion on the reliability of the accounts

10.	In the Court's opinion, the Centre's Annual Accounts (11) fairly present, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court's opinion, the transactions underlying the annual accounts of the Centre for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

12.	The comments which follow do not call the Court's opinions into question.

COMMENTS ON THE BUDGETARY AND FINANCIAL MANAGEMENT

13.

In 2010, an amount of 15,6 million euro, equivalent to 27 % of the total budget including 50 % of the Title III — Operational expenditure, was carried forward to 2011. This high level of carry-forward, matched by a low level of accrued expenditure (5,5 million euro), is excessive and at odds with the budgetary principle of annuality.

OTHER MATTERS

14.

With regard to staff selection procedures, neither the thresholds that candidates had to meet in order to be invited to the interview nor those necessary to be put on the reserve list were fixed in advance. Written tests were not consistently taken into account when assessing candidates. These practices put at risk the transparency of the recruitment procedures.

This Report was adopted by Chamber IV, headed by Mr Igors LUDBORŽS, Member of the Court of Auditors, in Luxembourg at its meeting of 20 September 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ L 142, 30.4.2004, p. 1.

(2) The Annex summarises the Centre's competences and activities. It is presented for information purposes.

(5) The budget implementation reports comprise the budget outturn account and its annex.

(6) OJ L 248, 16.9.2002, p. 1.

(7) Article 33 of Commission Regulation (EC, Euratom) No 2343/2002 (OJ L 357, 31.12.2002, p. 72).

(8) Article 38 of Regulation (EC, Euratom) No 2343/2002.

(9) The rules concerning the presentation of the accounts and accounting by the Agencies are laid down in Chapter 1 of Title VII of Regulation (EC, Euratom) No 2343/2002, as last amended by Regulation (EC, Euratom) No 652/2008 (OJ L 181, 10.7.2008, p. 23) and are integrated as such in the Financial Regulation of the Centre.

(10) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(11) The Final Annual Accounts were drawn up on 10 June 2011 and received by the Court on 28 June 2011. The Final Annual Accounts can be found on the following website: http://eca.europa.eu or http://ecdc.europa.eu/en/aboutus/Pages/AboutUs_KeyDocuments.aspx.

ANNEX

European Centre for Disease Prevention and Control (Stockholm)

Competences and activities

Areas of Union competence deriving from the Treaty

(Article 168 of the Treaty on the Functioning of the European Union)

A high level of human health protection shall be ensured in the definition and implementation of all Union policies and activities.

Competences of the Centre

(Council Regulation (EC) No 851/2004)

Objectives

—	Strengthen Europe’s defences against infectious diseases; specifically, to identify, assess and communicate current and emerging threats to human health from communicable diseases.

—	Therefore the Centre shall operate dedicated surveillance networks, provide scientific opinions, operate the early warning and response system (EWRS) and provide scientific and technical assistance and training.

Tasks

—	Operate dedicated disease surveillance networks and enhance networking activities. The Centre has a specific role in data collection, validation, analysis and dissemination,

—	provide authoritative expert advice and scientific opinions and studies on communicable diseases,

—	operate the early warning and response system. Develop procedures for identifying emerging health threats,

—	strengthen Member States’ capacity in preparedness planning and in training,

—	inform the general public and interested parties of its work.

Governance

1 — Management Board

Composition:

One member designated by each Member State, two members designated by the European Parliament and three representatives of the Commission.

Tasks:

The Board adopts the Centre’s annual programme and budget and monitors their implementation.

2 — Director

Appointed by the Management Board on the basis of a list of candidates proposed by the Commission.

3 — Advisory Forum

Composition:

A representative of each Member State and three non-voting representatives of the Commission.

Tasks:

The Forum is to assure the scientific excellence of the work and the independence of the activities and opinions of the Centre.

4 — External audit

Court of Auditors.

5 — Discharge Authority

Parliament, acting on recommendation from the Council.

Resources made available to the Centre in 2010 (2009)

Final budget

57,8 (51) million euro

Staff as at 31 December 2010

Authorised: 200 (170)

Occupied: 175 (129)

Other posts: 79 (70)

Total: 254 (199),assigned to the following duties:

Allocated to:

—	operational tasks: 169 (120)

—	administrative and support tasks: 85 (79)

Products and services in 2010 (2009)

93 (1) (191) threats monitored using the threat tracking tool (TTT)

52 (52) weekly threat reports on communicable diseases sent to 431 recipients

Provision of support to epidemic intelligence for 5 (5) large mass-gathering events; in addition, 5 events of exceptional nature/public importance were also monitored

Preparation of 32 (25) original threat assessments and 10(6) threat updates

Conducted 3 (2) simulation exercises for testing and improving preparedness and response to communicable diseases, in addition support was given to 4 external exercises (Commission, Member States)

80 (78) fellows coached in the European Programme for Intervention Epidemiology Training (EPIET)

6 fellows coached in the European Public Health Microbiology Training (EUPHEM)

106 (2) (346) public health experts from 30 EU-EEA countries participated in ECDC short training modules

495 000 visitors on ECDC web portal (launched in 2009) and 70 000 files downloaded

34 (3) (43) scientific publications published

Third European Antibiotic Awareness Day organised, with the participation of 36 (34) countries

Enhanced surveillance; integration into ECDC of 11 of the 17 dedicated surveillance networks at the end of 2010

Annual Epidemiological Report published

Tuberculosis, HIV/AIDS and anti-microbioresistance annual reports published

38 (28) weekly influenza bulletins/weekly influenza surveillance overviews for 2010

20 (4) (50) scientific opinions produced, based on stakeholders requests

Organisation of the fourth European Scientific Conference on Applied Infectious Disease Epidemiology (Escaide) in November 2010 in Lisbon, with more than 600 (500) participants

Organisation of the second Eurovaccine conference with 600 (400) participants

Weekly publication of the Eurosurveillance scientific journal, with 12 665 online subscribers (4 300 recipients of printed copies in 2009)

1 618 ECDC related articles published across 49 countries worldwide

Source: Information supplied by the Centre.

(1) The decrease in 2010 is partly related to a change in procedures relating to monitoring of travel-associated legionellosis clusters and partly related to the 2009 influenza pandemic, which triggered a large worldwide response.

(2) Short-term courses were no longer a priority in 2010; money has been reallocated to long-term fellowship training programmes.

(3) The decrease in the number of publications is due to the fact that many reports in 2009 were a direct consequence of the influenza pandemic.

(4) The scientific opinions, based on stakeholder requests, increased in 2009 due to the influenza pandemic.

THE CENTRE’S REPLIES

13.	The Centre has reduced the carry-forward of Title III — Operational expenditure by 10 %, compared to 2009. Nevertheless, the Centre acknowledges the necessity to further reduce the rate of carry-forward as much as it is possible.

14.

The Centre has taken note of the Court’s observations and is reviewing its selection procedure to increase its transparency. It decided in 2011 as a general rule to interview the candidates with the highest number of matches against the requirements for the vacant posts; the candidates having at the interview a minimum score of 70 % will be put on the short and the reserve lists. The Centre is also reviewing its selection procedure in view to better take into account the result of the written test.

15.12.2011

Official Journal of the European Union

C 366/127

REPORT

on the annual accounts of the European Centre for the Development of Vocational Training for the financial year 2010, together with the Centre’s reply

2011/C 366/23

INTRODUCTION

The European Centre for the Development of Vocational Training (hereinafter ‘the Centre’), which is located in Thessaloniki, was established by Council Regulation (EEC) No 337/75 (1). Its core mandate is to serve the development of vocational training at Union level. In order to achieve this objective, it has the task of compiling and disseminating documentation on vocational training systems (2).

2.	The Centre’s 2010 budget amounted to 18,3 million euros, compared with 18,6 million euros the previous year. The number of staff employed by the Centre at the end of the year was 125, compared with 129 the previous year.

STATEMENT OF ASSURANCE

4.	This Statement of Assurance is addressed to the European Parliament and to the Council in accordance with Article 185(2) of Council Regulation (EC, Euratom) No 1605/2002 (6).

The Director’s responsibility

The Court’s responsibility

6.	The Court’s responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the Centre and the legality and regularity of the transactions underlying them.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinions set out below.

Opinion on the reliability of the accounts

10.	In the Court’s opinion, the Centre’s Annual Accounts (11) fairly present, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court’s opinion, the transactions underlying the annual accounts of the Centre for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

12.	The comments which follow do not call the Court’s opinions into question.

COMMENTS ON THE BUDGETARY AND FINANCIAL MANAGEMENT

13.	The Centre receives annual contributions from two non-EU Member States who benefit from the Centre’s work. These funds are managed as assigned revenue, requiring them to be committed for specific projects. The 2010 target for using these funds has not been met.

This Report was adopted by Chamber IV, headed by Mr Igors LUDBORŽS, Member of the Court of Auditors, in Luxembourg at its meeting of 13 September 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ L 39, 13.2.1975, p. 1.

(2) The Annex summarises the Centre’s competences and activities. It is presented for information purposes.

(3) These accounts are accompanied by a report on the budgetary and financial management during the year which gives, inter alia, an account of the rate of implementation of the appropriations, with summary information on the transfers of appropriations among the various budget items.

(5) The budget implementation reports comprise the budget outturn account and its annex.

(6) OJ L 248, 16.9.2002, p. 1.

(7) Article 33 of Commission Regulation (EC, Euratom) No 2343/2002 (OJ L 357, 31.12.2002, p. 72).

(8) Article 38 of Regulation (EC, Euratom) No 2343/2002.

(10) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(11) The Final Annual Accounts were drawn up on 21 June 2011 and received by the Court on 24 June 2011. The Final Annual Accounts can be found on the following website: http://eca.europa.eu or http://www.cedefop.europa.eu/about/budget_discharge.asp

ANNEX

European Centre for the Development of Vocational Training (Thessaloniki)

Competences and activities

Area of Union competence deriving from the Treaty

(Article 166(1) of the Treaty on the Functioning of the European Union)

The Union shall implement a vocational training policy which shall support and supplement the action of the Member States, while fully respecting the responsibility of the Member States for the content and organisation of vocational training.

Competence of the Centre

(Articles 2 and 3 of Council Regulation (EEC) No 337/75)

The Centre's mandate

In its capacity as the European Union reference centre for vocational training and education, the Centre provides political decision-makers, researchers and professionals with information aimed at developing a clearer understanding of current trends that will thus enable them to reach more soundly based decisions with a view to future action.

The Centre assists the European Commission (‘EC’) in promoting and developing vocational training and education at Union level.

Tasks

—	to compile selected documentation and produce data analysis,

—	to contribute to research development and coordination,

—	to utilise and disseminate relevant information,

—	to encourage and support a concerted approach to matters relating to the development of vocational training,

—	to provide a forum for a broad and diverse public.

Governance

1 — Governing Board

Composition

For each Member State:

—	one member representing the Government,

—	one member representing the employers’ organisations,

—	one member representing the employees’ organisations.

Three members representing the EC.

2 — Bureau

Composition

The chairman and the three vice-chairmen of the Governing Board (one from each of the groups), one coordinator per group and one representative of the EC.

3 — Director

Appointed by the EC from a list of candidates submitted by the Governing Board; is responsible for the management of the Centre and implements the decisions of the Governing Board and the Bureau.

4 — External audit

Court of Auditors.

5 — Discharge authority

Parliament, acting on a recommendation from the Council.

Resources made available to the Centre in 2010 (2009)

Final Budget

18,3 (18,6) million euros

Union contribution: 98 % (97 %)

Staff as at 31 December 2010

Number of posts in establishment plan: 101 (101)

Posts occupied: 96 (96)

Other staff:

contract staff: 24 (26)

seconded national experts: 5 (7).

Total staff: 125 (129)

operational: 90 (88)

administrative: 35 (41)

Products and services in 2010 (2009)

Highlights in the implementation of the work programme 2010:

Policy analysis and reporting

‘A bridge to the future’, the fourth policy report, reviewed progress achieved in the Copenhagen process 2002-10 and was discussed at a ministerial conference in December. The report also supported the preparation of the Bruges communiqué which defines priorities and deliverables for European cooperation in Vocational Educational Training (VET) until 2020. National ReferNet policy reports reviewed progress at national level and fed into Cedefop's policy report.

Research on cost-sharing mechanisms for financing VET was discussed in several workshops, laying the ground for a comparative analysis of the most effective and efficient mechanisms.

Supporting the development of European tools and principles for VET and lifelong learning

—

Continued coordination of the EQF (European Qualifications Framework) advisory group together with the EC, supporting and monitoring the implementation process; analysing and reporting on developments at national level and publishing the report ‘The development of national qualifications frameworks in Europe’. Contributions to numerous policy events and several workshops organised (workshop documents available on Cedefop website).

—	Support to ECVET (European Credit system in VET) development, provision of background paper to Spanish Presidency Conference. Publication of the first ECVET monitoring report ‘The development of ECVET in Europe’ and the study ‘Linking credit systems and qualifications frameworks’.

—	Support to EQAVET. Publication of two research papers on quality assurance in several sectors.

—

Contribution to further developments of Europass. The hosted website continues to attract increasing numbers of visitors and users. By December 2010, 10,9 million European CVs had been created online (since the Europass launch in 2005), far surpassing the original target of 3 million. In 2010: 3,7 million CVs created online and over 10 million visits to the website.

—	230 (246) Study Visits coordinated in academic year 2009/10 for 2 358(2 432) specialists. Impact studies underline high satisfaction rate (97 %) and quality. For 2010/11, 244 visits for 2 732 participants will have taken place by end-June 2011.

Skills and competence analysis

—	Cedefop's skill needs analysis provided input to the new Europe 2020 flagship initiative on new skills for new jobs, and contributed to a report of the EC's expert group on new skills for new jobs.

—	The updated skills forecast up to 2020 was released and presented at several high-level events, including EC and Spanish presidency conferences.

—	The approach, method and questionnaire for a European employer survey on emerging skill needs were agreed on.

—	‘Skills for green jobs’ was published in cooperation with ILO and evidence of the greening of jobs was discussed at several conferences, including a Belgian presidency conference.

—	Several studies considered skill mismatch: ‘The skill matching challenge’, ‘Working and ageing’ and ‘The right skills for silver workers’.

Qualifications for lifelong learning

—

Publication of the studies ‘Changing qualifications – A review of qualifications policies and practices’, ‘Learning outcomes in VET curricula’ and background papers for the ESCO initiative (European terminology on skills, competences, occupations and qualifications) were discussed at several workshops and EU Conferences and provided input and evidence for the discussion of policy options.

—

Support to the ELPGN (European lifelong guidance policy network). ‘Lifelong guidance for better learning and working in Europe’ and ‘Guiding at-risk youth through learning to work’ were produced for a Spanish Presidency Conference on VET. The study ‘Socially responsible restructuring’, the workshop ‘Supporting longer working lives – Guidance and counselling for ageing workers’ and peer learning events to support entrepreneurship through education and guidance provided evidence and input to further developments.

—	Publication of ‘Professional development opportunities for in-company trainers’. Preparatory work with the EC on the establishment of a joint new thematic working group on VET trainers.

—	Contributions to the working group on adult learning and the EC's adult learning Action Plan. Finalisation of a review ‘Learning while working – success stories of workplace learning in Europe’.

—	A strategy paper on the implementation of the validation guidelines has been prepared. Updating (with the EC) and hosting the European inventory on validation (website). Content input provided for the forthcoming Council Recommendation on validation of non-formal and informal learning.

Researching VET

—	Preliminary evidence of the economic and social benefits of VET was presented at European VET research conferences.

—	‘Employer provided training in Europe’ was assessed and results published. Cedefop in parallel continued to contribution to development of European statistics and indicators.

Communication and dissemination

Positive impact of new website and targeted publication formats such as the briefing notes. Increased press response through regular press releases. Electronic publication formats decrease delivery delays and are well accepted. Key target groups – for example members of the European Parliament – are supported by direct inputs to initiatives and co-organisation of workshops.

Key indicators show a high impact of Cedefop activities: work of the agency is cited in 88 EU policy documents, and 21 mandates demanding future contributions. Cedefop contributed directly to 31 EU policy documents. Sharp increase of website traffic: visits (+ 53 % to 2009), unique visitors (+ 70 %). Participation in 94 conferences; 107 meetings/events organised by Cedefop in 2010; high satisfaction by participants (3,7 on a 4 point scale). 39 ‘new’ publications and additional 54 translations published; 579 media articles covering Cedefop's work recorded.

More information and performance measurement system indicators available in Annual Report 2010 (EN,DE,FR) and the Annual Activity Report 2010 (www.cedefop.europa.eu).

Source: Information supplied by the Centre.

THE CENTRE’S REPLY

13.	The Centre takes note of the Court’s comment and confirms its commitment to implement the agreed on plan until 2013.

15.12.2011

Official Journal of the European Union

C 366/134

REPORT

on the annual accounts of the European Police College for the financial year 2010, together with the College's replies

2011/C 366/24

INTRODUCTION

The European Police College (hereinafter ‘the College’), which is located in Bramshill, was established by Council Decision 2000/820/JHA, as repealed in 2005 and replaced by Council Decision 2005/681/JHA (1). The College's task is to function as a network and bring together the national police training institutes in the Member States to provide training sessions, based on common standards, for senior police officers (2).

2.	The College's 2010 budget amounted to 7,8 million euro, compared with 8,8 million euro the previous year. The number of staff employed by the College at the end of the year was 31, compared with 28 the previous year.

STATEMENT OF ASSURANCE

Pursuant to the provisions of Article 287(1), second subparagraph, of the Treaty on the Functioning of the European Union, the Court has audited the annual accounts (3) of the College, which comprise the ‘financial statements’ (4) and the ‘reports on the implementation of the budget’ (5) for the financial year ended 31 December 2010, and the legality and regularity of the transactions underlying those accounts.

4.	This Statement of Assurance is addressed to the European Parliament and the Council in accordance with Article 185(2) of Council Regulation (EC, Euratom) No 1605/2002 (6).

The Director's responsibility

As authorising officer, the Director implements the revenue and expenditure of the budget in accordance with the financial rules of the College, under his own responsibility and within the limits of the authorised appropriations (7). The Director is responsible for putting in place (8) the organisational structure and the internal management and control systems and procedures relevant for drawing up final accounts (9) that are free from material misstatement, whether due to fraud or error, and for ensuring that the transactions underlying those accounts are legal and regular.

The Court's responsibility

6.	The Court's responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the College and the legality and regularity of the transactions underlying them.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinions set out below.

Opinion on the reliability of the accounts

10.	In the Court's opinion, the College's Annual Accounts (11) fairly present, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court's opinion, the transactions underlying the annual accounts of the College for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

12.	The comments which follow do not call the Court's opinions into question.

COMMENTS ON THE BUDGETARY AND FINANCIAL MANAGEMENT

13.	More than 1,6 million euro, equivalent to 48 % of the appropriations carried over from 2009, had to be cancelled in 2010. This situation is at odds with the budgetary principle of annuality.

14.	Expenditure for organising courses and seminars represents a significant part of the College's budget. There was a lack of rigour in the College's process for approving cost claims related to such activities, particularly with regard to the completeness of supporting evidence.

FOLLOW-UP ON PREVIOUS AUDIT FINDINGS

15.	An external ex-post check on appropriations used to finance private expenditure during 2007 and 2008 has been carried out. The external reviewers considered that no further funds are recoverable in respect of this matter.

This Report was adopted by Chamber IV, headed by Mr Igors LUDBORŽS, Member of the Court of Auditors, in Luxembourg at its meeting of 6 September 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ L 256, 1.10.2005, p. 63.

(2) The Annex summarises the College's competences and activities. It is presented for information purposes.

(5) The budget implementation reports comprise the budget outturn account and its annex.

(6) OJ L 248, 16.9.2002, p. 1.

(7) Article 33 of Commission Regulation (EC, Euratom) No 2343/2002 (OJ L 357, 31.12.2002, p. 72).

(8) Article 38 of Regulation (EC, Euratom) No 2343/2002.

(10) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(11) The Final Annual Accounts were drawn up on 8 June 2011 and received by the Court on 22 June 2011 The Final Annual Accounts can be found on the following website http://eca.europa.eu or https://www.cepol.europa.eu/index.php?id=final-accounts

ANNEX

European Police College (Bramshill)

Competences and activities

Areas of Union competence deriving from the Treaty

(Article 87 TFEU)

Approximation of laws

‘1.	The Union shall establish police cooperation involving all the Member States’ competent authorities, including police, customs and other specialised law enforcement services in relation to the prevention, detection and investigation of criminal offences.

2.	For the purposes of paragraph 1, the European Parliament and the Council, acting in accordance with the ordinary legislative procedure, may establish measures concerning: (…)

(b)	support for the training of staff, and cooperation on the exchange of staff, on equipment and on research into crime-detection;’

Competences of the College

(Council Decision 2005/681/JHA)

Objectives

The aim of the College shall be to help train senior police officers in the Member States by optimising cooperation between the College’s various components. It shall support and develop a European approach to the main problems facing Member States in the fight against crime, crime prevention and the maintenance of law and order and public security, in particular the cross-border dimensions of those problems.

Tasks

—	To increase knowledge of the national police systems and structures of other Member States and of cross-border police cooperation within the European Union.

—

To improve knowledge of international and European Union instruments, particularly in the following sectors:

(a)	the institutions of the European Union, their functioning and role, as well as the decision-making mechanisms and legal instruments of the European Union, in particular as regards their implications for law-enforcement cooperation;

(b)	Europol’s objectives, structure and functioning, as well as ways to maximise cooperation between Europol and relevant law-enforcement services in the Member States in the fight against organised crime;

(c)	Eurojust’s objectives, structure and functioning.

—	To provide appropriate training with regard to respect for democratic safeguards, with particular reference to the rights of defence.

Governance

1 — Governing Board

Composition

One delegation from each Member State.

Each delegation shall have one vote. Representatives of the European Commission and of the General Secretariat of the Council of the European Union and Europol shall be invited to attend meetings as non-voting observers.

2 — Director

Manages the College, is appointed and removed by the Governing Board.

3 — External audit

Court of Auditors.

4 — Internal Audit

Internal Audit Service of the Commission.

5 — Discharge authority

Parliament, acting on a recommendation from the Council.

Resources made available to the College in 2010 (2009)

Budget

7,8 (8,8) million euro.

Staff

The Establishment Plan 2010 foresaw: 26 (26) Temporary Agents.

In addition: 10 (13) Contract Agent posts were budgeted.

Member States also seconded a total of: 4 (2) National Experts during the course of the year.

Products and services in 2010 (2009)

1 — Courses and Seminars

The College organised 91 (88) courses, seminars and conferences. A preliminary assessment of the evaluations shows that the general satisfaction with the College’s activities and its learning outcomes are high. CEPOL has brought together 2 198 law enforcement officials (841 trainers and 1 997 participants) from 36 countries (EU Member States and Third Countries). The College organised 10 activities (7) in support of the network and implemented the system framework partnership agreement, thus enabling grant agreements for the 2011 Programme and onwards. No activities were postponed to the next calendar year.

2 — External Relations

The College signed Cooperation Agreements with the Turkish National Police Institute and the Croatian police college on 7 December 2010. The College also signed revised Cooperation Agreements with the Icelandic National Police College and Norwegian Police University on 9 December 2010. Ongoing negotiations started with the Russian Federation, Georgia, Albania and Montenegro about future Cooperation Agreements. (One agreement and one memorandum of understanding).

3 — Common Curricula

In 2010 one Common Curriculum on Money Laundering was added, to the five Common Curricula that had already been launched for implementation within the Member States: Europol, Police Ethics and Prevention of Corruption, Domestic Violence (I & II), Trafficking in Human Beings, Drug Trafficking.

4 — Evaluation

A five-year evaluation of CEPOL’s activity was completed in 2010.

5 — Research and Science

The network of National Research and Science Correspondents and the Research and Science Working Group supported the preparations for three dedicated research and science activities in CEPOL’s work programme:

(1)	the Annual CEPOL Police Research and Science Conference,

(2)	the Research Symposium on ‘Policing Diversity’,

(3)	the Implementation Symposium ‘Policing Major Public Events’.

Two further issues of the ‘European Police Science and Research Bulletin’ were published on the website. The report on the ‘Survey on European Police Education and Bologna’ was finalised. CEPOL contributions were presented to the ‘Stockholm Criminology Symposium’ and the Annual Conference of the European Society of Criminology. The e-Library continues to grow and is used as a knowledge repository for registered e-Net users.

6 — Euromed Police II Project

The Euromed project has achieved its operational objectives and been closed on the 30 September 2010.

7 — Exchange Programme

The College Exchange Programme, a one-year project, started in 2009 and ended in 2010. The first exchange period took place from October until December 2009 and the second exchange period from January until March 2010. The length of an exchange for senior police officers was 12-14 calendar days and for the training staff 18-22 calendar days. 51 participants from 21 Member states took part in the first two exchange periods. The priority topics were Community Policing or Organised Crime (senior police officers) and Learning Environment (trainers). After amendment of the grant, the remaining budget was used for a third exchange period involving 88 senior police officers.

8 — Electronic Network (e-Net)

The College’s e-Net (Electronic Network) received 102 000 unique visitors (an increase of 34 % compared to 2009) (76 000) and had 6 226 registered users at the end of 2010 (903 ). CEPOL’s LMS (Learning Management System) proved to be highly successful not only by supporting traditional CEPOL activities such as courses and seminars but by offering a platform for information sharing to the CEPOL/ISEC Exchange Programme and several Working Groups. 2010 also saw the DMS (Document Management System) become the primary source for meeting documents for all Governance groups with several groups exclusively using it for document dissemination.

Source: Information supplied by the College.

THE COLLEGE’S REPLIES

13.

To avoid the repetition of the situation described by the Court, the carry-forward of 2010 appropriations has been subjected to strict criteria to minimise cancellations in 2011. In June 2011, all open commitments were reviewed to better monitor the budget consumption and optimise the 2011 budget implementation.

14.	CEPOL has revised the process for approving cost claims and their supporting evidence. In addition, CEPOL has organised a new training course for Course Managers to further improve the controls on courses as well as the quality of the payment files.

15.	CEPOL acknowledges the comment of the Court. However, it will continue to try to recover as much as it is possible the funds not yet completely recovered.

15.12.2011

Official Journal of the European Union

C 366/140

REPORT

on the annual accounts of Eurojust for the financial year 2010, together with Eurojust’s replies

2011/C 366/25

INTRODUCTION

Eurojust, which is located in The Hague, was set up by Council Decision 2002/187/JHA (1) with a view to stepping up the fight against serious organised crime. Its objective is to improve the coordination of investigations and prosecutions covering the territories of several Member States of the European Union, as well as that of non-member States (2).

2.	After the adoption of an amending budget, the Eurojust 2010 final budget amounted to 32,3 million euros, compared with 28,2 million euros the previous year. The number of staff employed by Eurojust at the end of the year was 295, compared with 248 the previous year.

STATEMENT OF ASSURANCE

Pursuant to the provisions of Article 287(1), second subparagraph, of the Treaty on the Functioning of the European Union, the Court has audited the annual accounts (3) of Eurojust, which comprise the ‘financial statements’ (4) and the ‘reports on the implementation of the budget’ (5) for the financial year ended 31 December 2010, and the legality and regularity of the transactions underlying those accounts.

4.	This Statement of Assurance is addressed to the European Parliament and to the Council in accordance with Article 185(2) of Council Regulation (EC, Euratom) No 1605/2002 (6).

The Director’s responsibility

As authorising officer, the Director implements the revenue and expenditure of the budget in accordance with the financial rules of Eurojust, under his own responsibility and within the limits of the authorised appropriations (7). The Director is responsible for putting in place (8) the organisational structure and the internal management and control systems and procedures relevant for drawing up final accounts (9) that are free from material misstatement, whether due to fraud or error, and for ensuring that the transactions underlying those accounts are legal and regular.

The Court’s responsibility

6.	The Court’s responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of Eurojust and the legality and regularity of the transactions underlying them.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinions set out below.

Opinion on the reliability of the accounts

10.	In the Court’s opinion, Eurojust’s Annual Accounts (11) present fairly, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court’s opinion, the transactions underlying Eurojust’s Annual Accounts for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

12.	The comments which follow do not call the Court’s opinions into question.

COMMENTS ON THE BUDGETARY AND FINANCIAL MANAGEMENT

13.	The level of Title III operational expenditure carried forward to 2011 amounted to 38 % of the Title III budget. This level of carry-over was excessive and at odds with the principle of annuality.

OTHER MATTERS

14.

The Director of Eurojust is accountable vis-à-vis the discharge authority for all of the duties detailed in paragraph 5, ‘The Director’s responsibility’, however he is not de facto responsible for the majority of the daily management decisions, which are taken by the College of Eurojust on the basis of the relevant provisions of the founding Regulation (12). There is scope to consider redefining the respective roles and responsibilities of the actors involved to effectively deal with this accountability overlap.

15.	With regard to procurement procedures, in one case the evaluation committee failed to apply the weightings published in the tender specifications.

16.	Despite the fact that recruitments cannot be made from expired reserve lists, an official was recruited in 2010 using a reserve list which had expired in January 2009.

FOLLOW-UP ON PREVIOUS YEAR’S FINDINGS

17.	Eurojust’s rate of vacant posts at the end of 2009, 24 %, had been reduced to 13 % by the end of 2010.

This Report was adopted by Chamber IV, headed by Mr Igors LUDBORŽS, Member of the Court of Auditors, in Luxembourg at its meeting of 6 September 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) Decision of 28 February 2002 setting up Eurojust (OJ L 63, 6.3.2002, p. 1).

(2) The Annex summarises Eurojust’s competences and activities. It is presented for information purposes.

(5) The budget implementation reports comprise the budget outturn account and its annex.

(6) OJ L 248, 16.9.2002, p. 1.

(7) Article 33 of Commission Regulation (EC, Euratom) No 2343/2002 (OJ L 357, 31.12.2002, p. 72).

(8) Article 38 of Regulation (EC, Euratom) No 2343/2002.

(10) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(11) The Final Annual Accounts were drawn up on 17 June 2011 and received by the Court on 5 July 2011. The Final Annual Accounts can be found on the following website: http://eca.europa.eu or http://www.eurojust.europa.eu

(12) Articles 28, 29, 30 and 36 of Council Decision 2002/187/JHA, as amended by Council Decisions 2003/659/JHA (OJ L 245, 29.9.2003, p. 44) and 2009/426/JHA (OJ L 138, 4.6.2009, p. 14).

ANNEX

Eurojust (The Hague)

Competences and activities

Areas of Union competence deriving from the Treaty

(Article 85 of the Treaty on the Functioning of the European Union)

Eurojust’s mission shall be to support and strengthen coordination and cooperation between national investigating and prosecuting authorities in relation to serious crime affecting two or more Member States or requiring a prosecution on common bases, on the basis of operations conducted and information supplied by the Member States’ authorities and by Europol.

Competences of Eurojust

(Council Decision 2002/187/JHA)

Objectives

—	To stimulate and improve the coordination of investigations and prosecutions between the competent national authorities of the Member States.

—	To improve cooperation, in particular by facilitating the exchange of information, mutual legal assistance and the implementation of extradition requests.

—	To support the competent authorities of the Member States in order to render their investigations and prosecutions more effective.

—	To provide support with procedures involving a Member State and a non-member State.

—	To provide support with procedures involving a Member State and the Union.

Tasks

To organise cooperation between the various national legal systems, Eurojust acts:

—	through its national members, or

—	as a College.

If the competent authorities of the Member State concerned decide not to respond to the requests which Eurojust has issued as a College, they shall inform Eurojust of the reasons for their decision.

Governance

1. The College is responsible for the organisation and operation of Eurojust.

2. The College is composed of national members who are seconded by each Member State in accordance with its legal system and who are prosecutors, judges or police officers of equivalent competence.

3. The College elects its President from among the national members.

4. The Joint Supervisory Body checks the processing of personal data.

5. The Administrative Director is unanimously appointed by the College.

6. External audit

Court of Auditors.

7. Discharge authority

Parliament, acting on a recommendation from the Council.

Resources made available to Eurojust in 2010 (2009)

Budget

32,3 (28,2) million euros including assigned revenue, 2 million euros (Joint investigation team project).

Staff at 31 December 2010

Members of the college and associated staff: 58 (47) of which:

27 National Members, 3 Liaison prosecutors, 16 deputies and 12 assistants.

185 (185) planned in the establishment plan, of which occupied: 162 (141)

Other positions: 75 (60) of which:

36 contract agents, 17 Seconded National Experts, 22 interim staff.

Total staff: 295 (248)

Allocated to:

Operational tasks: 157 (131)

Administrative tasks: 107 (89)

Combined tasks: 31 (28)

Products and services in 2010 (2009)

Number of coordination meetings

141 (131)

Total number of cases

1 424(1 193)

Fraud: 631 (612)

Drug trafficking: 254 (230)

Terrorism: 25 (19)

Murder: 83 (90)

Trafficking in human beings: 87 (74)

Source: Information supplied by Eurojust.

EUROJUST’S REPLIES

13.

Due to higher activities in 2010, automatic carry-overs increased compared to the previous year, mainly due to the Organisational Structural Review project, a new computer infrastructure costs and Data Process costs. If one makes abstraction of these three elements, there was a reduction in carried forward as a whole on a like for like basis.

14.	The College needs to rectify this anomaly or a new regulation should redress this structural deficiency.

15.	To prevent this kind of mistakes in the future, Eurojust will make sure that the quality standards of procedure in use in the Union’s tender will be respected and that Eurojust’s evaluators will be made aware of their responsibility when participating in joint procedures with other organisations

16.

Although the documentation corresponding to said recruitment file was not complete, the Acting Administrative Director at the time confirmed having taken the decision for the extension of said reserve list. In order to ensure that such a situation does not arise in the future, Eurojust will take measures to ensure that all the decisions concerning recruitments will be adequately documented

17.	Eurojust pursues its efforts to improve the situation further.

15.12.2011

Official Journal of the European Union

C 366/145

REPORT

on the annual accounts of the European Training Foundation for the financial year 2010, together with the Foundation's reply

2011/C 366/26

INTRODUCTION

The European Training Foundation (hereinafter ‘the Foundation’), which is located in Turin, was created by Council Regulation (EEC) No 1360/90 (1). The Foundation's purpose is to support the reform of vocational training in the European Union's partner countries. As such, it assists the Commission in the implementation of various programmes (Phare, Tacis, CARDS and MEDA) (2).

2.	The Foundation's 2010 budget was 19,3 million euro, compared with 20,2 million euro the previous year. The number of staff employed by the Foundation at the end of the year was 128, compared with 124 the previous year.

STATEMENT OF ASSURANCE

Pursuant to the provisions of Article 287(1), second subparagraph, of the Treaty on the Functioning of the European Union, the Court has audited the annual accounts (3) of the Foundation, which comprise the ‘financial statements’ (4) and the ‘reports on the implementation of the budget’ (5) for the financial year ended 31 December 2010, and the legality and regularity of the transactions underlying those accounts.

4.	This Statement of Assurance is addressed to the European Parliament and the Council in accordance with Article 185(2) of Council Regulation (EC, Euratom) No 1605/2002 (6).

The Director's responsibility

As authorising officer, the Director implements the revenue and expenditure of the budget in accordance with the financial rules of the Foundation, under his own responsibility and within the limits of the authorised appropriations (7). The Director is responsible for putting in place (8) the organisational structure and the internal management and control systems and procedures relevant for drawing up final accounts (9) that are free from material misstatement, whether due to fraud or error, and for ensuring that the transactions underlying those accounts are legal and regular.

The Court's responsibility

6.	The Court's responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the Foundation and the legality and regularity of the transactions underlying them.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinions set out below.

Opinion on the reliability of the accounts

10.	In the Court's opinion, the Foundation's Annual Accounts (11) fairly present, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court's opinion, the transactions underlying the annual accounts of the Foundation for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

This Report was adopted by Chamber IV, headed by Mr Igors LUDBORŽS, Member of the Court of Auditors, in Luxembourg at its meeting of 6 September 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ L 131, 23.5.1990, p. 1.

(2) The Annex summarises the Foundation's competences and activities. It is presented for information purposes.

(5) The budget implementation reports comprise the budget outturn account and its annex.

(6) OJ L 248, 16.9.2002, p. 1.

(7) Article 33 of Commission Regulation (EC, Euratom) No 2343/2002 (OJ L 357, 31.12.2002, p. 72).

(8) Article 38 of Regulation (EC, Euratom) No 2343/2002.

(10) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(11) The Final Annual Accounts were drawn up on 15 June 2011 and received by the Court on 16 June 2011. The Final Annual Accounts can be found on the following website http://eca.europa.eu or http://www.etf.europa.eu/Archive

ANNEX

European Training Foundation (Turin)

Competences and activities

Areas of Union competence deriving from the Treaty

(Art. 166(3) of the Treaty on the Functioning of the European Union)

The Union and the Member States shall foster cooperation with third countries and the competent international organisations in the sphere of vocational training.

Competences of the Foundation

(Council Regulation (EEC) No 1360/90)

Objectives

—

To contribute, in the context of EU external relations policies, to improving human capital development in the following countries: the countries eligible for support under Regulations (EC) No 1085/2006 and No 1638/2006 and subsequent related legal acts; other countries designated by decision of the Governing Board on the basis of a proposal supported by two thirds of its members and a Commission opinion, and covered by a Union instrument or international agreement that includes an element of human capital development, and as far as available resources allow.

—	For the purpose of this Regulation, ‘human capital development’ shall be defined as work which contributes to the lifelong development of individuals' skills and competences through the improvement of vocational education and training systems.

Tasks

For the purpose of achieving the objective, the Foundation, within the limits of the powers conferred on the Governing Board and following the general guidelines established at Union level, shall have the following functions:

—	to provide information, policy analyses and advice on human capital development issues in the partner countries,

—	to promote knowledge and analysis of skills needs in national and local labour markets,

—	to support relevant stakeholders in partner countries in building capacity in human capital development,

—	to facilitate the exchange of information and experience among donors engaged in human capital development reform in partner countries,

—	to support the delivery of Union assistance to partner countries in the field of human capital development,

—	to disseminate information and encourage networking and the exchange of experience and good practice between the EU and partner countries and amongst partner countries in human capital development issues,

—	to contribute, at the Commission's request, to the analysis of the overall effectiveness of training assistance to the partner countries,

—	to undertake such other tasks as may be agreed between the Governing Board and the Commission, within the general framework of this Regulation.

Governance

1 — Governing Board

—	One representative of each Member State.

—	Three representatives of the Commission.

—	Three non-voting experts appointed by the European Parliament.

—	In addition, three representatives of the partner countries may attend meetings of the Governing Board as observers.

2 — Director

Appointed by the Governing Board on a proposal from the Commission.

3 — External Audit

Court of Auditors.

Resources made available to the Foundation in 2010 (2009)

Budget

19,3 (20,2) million euro.

Staff at 31 December 2010

—	96 (96) temporary posts in the establishment plan, of which 92 (86) posts occupied,

—	36 (38) other staff (local agents, contract agents, seconded national experts).

Total staff: 128 (124), assigned to the following duties:

—	operational tasks: 70 (64),

—	administrative tasks: 31 (40),

—	corporate coordination and communication tasks: 27 (20).

Products and services supplied during the financial year 2010 (2009)

The Foundation contributes, in the context of the EU external relations policies, to improving human capital development (HCD) in 29 partner countries designated by its regulation and the Governing Board. The main activities are supporting the EU policies and projects, providing policy analyses, disseminating and exchanging information and experience and supporting partner-country capacity building.

The Foundation's added value comes from its neutral, non-commercial and unique established knowledge base consisting of expertise in human capital development and its links to employment. This includes expertise in adapting the approaches to human capital development in the EU and its Member States to the context of the partner countries.

In 2010, the Foundation successfully completed a first year of the Turin Process (24 partner countries Vocational Education Training policy assessments) contributing to developing strategic policies, promoting development best practices, and facilitating coordination and harmonisation, as well as in the external dimension of internal European Union Policies.

It also worked on its main functions as follows:

—	supporting the Union's policies and project cycle of External Relations instruments for the partner countries: 30 (30) outputs,

—	capacity building of partner countries: 30 (67) outputs,

—	policy analysis: 29 (23) outputs,

—	dissemination and networking: 30 (22) outputs.

Outputs measure the accomplishment of the results of a project, and relate the budget to the Foundation's functions.

In addition to these functions carried out in the context of its work programme, the Foundation also responded to direct requests from the European Commission throughout the year. In 2010, the Foundation reported 105 (101) ongoing Commission requests, 62 % (56 %) were addressed to IPA countries, 30 % (40 %) to ENPI and 7 % (4 %) to DCI. One technical request was not linked to any of the three instruments.

IPA	:	Instrument for Pre-Accession Assistance.
ENPI	:	European Neighbourhood and Partnership Instrument.
DCI	:	Development Cooperation Instrument.

Source: Information provided by the Foundation.

THE FOUNDATION'S REPLY

1.	The Foundation has taken note of the Court's report.

15.12.2011

Official Journal of the European Union

C 366/150

REPORT

on the annual accounts of the European Foundation for the Improvement of Living and Working Conditions for the financial year 2010, together with the Foundation’s reply

2011/C 366/27

INTRODUCTION

The European Foundation for the Improvement of Living and Working Conditions (hereinafter ‘the Foundation’), which is located in Dublin, was set up by Council Regulation (EEC) No 1365/75 of 26 May 1975 (1). Its aim is to contribute to the planning and establishment of better living and working conditions in the Union by increasing and disseminating knowledge which is relevant to this subject (2).

2.	The Foundation’s 2010 budget amounted to 20,8 million euro, compared with 20,2 million euro the previous year. The number of staff employed by the Foundation at the end of the year was 101, compared with 94 the previous year.

STATEMENT OF ASSURANCE

4.	This Statement of Assurance is addressed to the European Parliament and the Council in accordance with Article 185(2) of Council Regulation (EC, Euratom) No 1605/2002 (6).

The Director’s responsibility

The Court’s responsibility

6.	The Court’s responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the Foundation and the legality and regularity of the transactions underlying them.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinions set out below.

Opinion on the reliability of the accounts

10.	In the Court’s opinion, the Foundation’s Annual Accounts (11) fairly present, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court’s opinion, the transactions underlying the annual accounts of the Foundation for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

This Report was adopted by Chamber IV, headed by Mr Igors LUDBORŽS, Member of the Court of Auditors, in Luxembourg at its meeting of 6 September 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ L 139, 30.5.1975, p. 1.

(2) The Annex summarises the Foundation's competences and activities. It is presented for information purposes.

(5) The budget implementation reports comprise the budget outturn account and its annex.

(6) OJ L 248, 16.9.2002, p. 1.

(7) Article 33 of Commission Regulation (EC, Euratom) No 2343/2002 (OJ L 357, 31.12.2002, p. 72).

(8) Article 38 of Regulation (EC, Euratom) No 2343/2002.

(10) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

ANNEX

European Foundation for the Improvement of Living and Working Conditions (Dublin)

Competences and activities

Areas of Union competence deriving from the Treaty

(Article 151 of the Treaty on the Functioning of the European Union)

The Union and the Member States, having in mind fundamental social rights such as those set out in the European Social Charter signed at Turin on 18 October 1961 and in the 1989 Community Charter of the Fundamental Social Rights of Workers, shall have as their objectives the promotion of employment, improved living and working conditions, so as to make possible their harmonisation while the improvement is being maintained, proper social protection, dialogue between management and labour, the development of human resources with a view to lasting high employment and the combating of exclusion.

Competences of the Foundation

(Council Regulation (EEC) No 1365/75 as amended by Regulation (EC) No 1111/2005)

Objectives

The aim of the Foundation shall be to contribute to the establishment of better living and working conditions by increasing and disseminating knowledge which is relevant to this subject. In particular, it is required to consider the following areas:

—	man at work,

—	organisation of work and particularly job design,

—	problems peculiar to certain categories of workers,

—	long-term aspects of the improvement of the environment,

—	the distribution of human activities in space and in time.

Tasks

—	to foster the exchange of information and experience in these fields,

—	to facilitate contact between universities, study and research institutes, economic and social administrations and organisations,

—	to carry out studies or to conclude study contracts and to provide assistance for pilot projects,

—	to cooperate as closely as possible with existing,

—	specialised institutes in the Member States and at international level.

Governance

1 — The Governing Board (GB)

—

from each Member State:

—	one government representative,

—	one representative from employers’ organisations and one workers’ representative,

—	three representatives from the Commission.

2 — The Bureau of the GB

—	consists of 11 members; three members from each of the social partners and the governments, two from the Commission,

—	it monitors the implementation of decisions of the GB and takes measures for the proper management between GB meetings.

3 — The Director is appointed by the Commission from a list of candidates submitted by the GB, he implements the decisions of the GB and its Bureau and manages the Foundation.

4 — The Committee of experts is composed of up to three members from the Commission, governments and the social partners, with the aim to advice on the implementation of major projects and the assessment of results.

5 — External audit

Court of Auditors.

6 — Discharge authority

Parliament acting on recommendation of the Council.

Resources available to Eurofound in 2010 (2009)

Budget

20,9 million euro (20,2 million euro)

Staff at 31 December 2010

101 posts provided for in the establishment plan, of which 91 (81) were occupied at 31 December 2010.

Other Staff:

Seconded National Experts: 0 (0)

Contract Staff: 10 (13)

Total Staff employed: 101 (94)

Allocated to

Operating activities: 66 (62)

Administrative tasks: 31 (28)

Mixed: 4 (4)

Activities and services provided

Monitoring and surveys

Network of European Observatories (NEO):

—	European Industrial Relations Observatory (EIRO) 357 information updates added; five representativeness studies; annual updates on pay and working time and industrial action; annual review on industrial relations; 6 comparative analytical reports,

—	European Working Conditions Observatory (EWCO) 107 information updates added; six comparative analytical reports on occupational promotion of migrant workers and the self-employed,

—	European Restructuring Monitor (ERM) 1 258 restructuring fact sheets added; four comparative analytical reports.

Surveys:

—	Second European Quality of Life Survey: secondary analysis report on family life and work,

—	Third European Quality of Life Survey: preparation of field work,

—	Fifth European Working Conditions Survey: field work with 44 000 interviews in 34 countries; publication of first findings (resume),

—	European Company Survey: overview report published, secondary analysis on flexibility profiles of companies and on part-time work.

Employment and competitiveness

—	Investment funds and restructuring.

—	The impact of globalisation on selected sectors: financial services.

—	Emerging forms of entrepreneurship.

—	Short-time working schemes (Report ‘Extending flexicurity — The potential of short-time working schemes’).

Industrial relations and workplace development

—	Derogation clauses on wages.

—	Flexicurity in times of crises.

—	Industrial relations in the commerce sector.

—	Employee involvement in companies under the European Company Statute.

—	From national to sectoral industrial relations.

—	Social dialogue and recession in the automotive sector.

Social cohesion and quality of life

—	Measures for social inclusion of the elderly.

—	Parenting support.

—	Intercultural policies and intergroup relations.

—	Trends in quality of life in Europe 2003-2009.

—	Managing household debt.

Communication and sharing ideas and experience

85 511 print publications disseminated; 679 new web and print publications; 873 contacts and briefing meetings with European level policy makers; 1,8 million user sessions; media activities resulted in reaching 130 million European citizens; 252 enquiries from journalists.

—	Conference: ‘Working longer through better working conditions; new modes of work and career organisation’.

—	Foundation Seminar Series ‘Skills development in Europe: challenges and actions’.

—	17 exhibitions and 25 visits to Eurofound.

Source: Information supplied by the Foundation.

THE FOUNDATION’S REPLY

1.	Eurofound has taken note of the Court’s report.

15.12.2011

Official Journal of the European Union

C 366/156

REPORT

on the annual accounts of the European Monitoring Centre for Drugs and Drug Addiction for the financial year 2010, together with the Centre's reply

2011/C 366/28

INTRODUCTION

The European Monitoring Centre for Drugs and Drug Addiction (hereinafter ‘the Centre’), which is located in Lisbon, was established by Council Regulation (EEC) No 302/93 of 8 February 1993 (1). Its main task is to collect data on drugs and drug addiction in order to prepare and publish information at European level that is objective, reliable and comparable. The information is intended to provide a basis for analysing the demand for drugs and ways of reducing it, as well as, in general, phenomena associated with the drug market (2).

2.	The Centre's 2010 budget amounted to 16 million euro, as compared with 14,7 million euro the previous year. The number of staff employed by the Centre at the end of the year was 78, the same as the previous year.

STATEMENT OF ASSURANCE

4.	This Statement of Assurance is addressed to the European Parliament and the Council in accordance with Article 185(2) of Council Regulation (EC, Euratom) No 1605/2002 (6).

The Director's responsibility

The Court's responsibility

6.	The Court's responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the Centre and the legality and regularity of the transactions underlying them.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinions set out below.

Opinion on the reliability of the accounts

10.	In the Court's opinion, the Centre's Annual Accounts (11) fairly present, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court's opinion, the transactions underlying the annual accounts of the Centre for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

This Report was adopted by Chamber IV, headed by Mr Igors LUDBORŽS, Member of the Court of Auditors, in Luxembourg at its meeting of 6 September 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ L 36, 12.2.1993, p. 1. This Regulation and its amendments were repealed by Regulation (EC) No 1920/2006 of the European Parliament and of the Council (OJ L 376, 27.12.2006, p. 1).

(2) The Annex summarises the Centre's competences and activities. It is presented for information purposes.

(5) The budget implementation reports comprise the budget outturn account and its annex.

(6) OJ L 248, 16.9.2002, p. 1.

(7) Article 33 of Commission Regulation (EC, Euratom) No 2343/2002 (OJ L 357, 31.12.2002, p. 72).

(8) Article 38 of Regulation (EC, Euratom) No 2343/2002.

(10) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(11) The Final Annual Accounts were drawn up on 20 June 2011 and received by the Court on 7 July 2011. The Final Annual Accounts can be found on the following website http://eca.europa.eu or http://www.emcdda.europa.eu/html.cfm/index115776EN.html

ANNEX

European Monitoring Centre for Drugs and Drug Addiction (Lisbon)

Competences and activities

Areas of Union competence deriving from the Treaty

(Article 168(1) of the Treaty on the Functioning of the European Union)

The Union shall complement the Member States' action in reducing drugs-related health damage, including information and prevention.

Competences of the Centre

(Regulation (EC) No 1920/2006 of the European Parliament and of the Council)

Objectives

To provide the Union and its Member States with factual, objective, reliable and comparable information at Union level concerning drugs, drug addiction and their consequences.

The Monitoring Centre is to focus on the following priority areas:

(1)	monitoring the state of the drugs problem, and emerging trends, in particular those involving multi-drug use;

(2)	monitoring the solutions and providing information on best practices;

(3)	assessing the risks of new psychoactive substances and maintaining a rapid information system;

(4)	developing tools and instruments to help Member States to monitor and evaluate their national policies and the Commission to monitor and evaluate Union policies.

Tasks

—	To collect and analyse data.

—	To improve data-comparison methods.

—	To disseminate data.

—	To cooperate with European and international bodies and organisations and with third countries.

—	To identify new developments and changing trends.

Governance

1 — Management Board

Comprises one representative from each Member State, two representatives of the Commission and two independent experts appointed by the European Parliament.

It adopts the work Programme, the general activities report and the budget.

2 — Director

Appointed by the Management Board at the Commission's proposal.

3 — Scientific Committee

Delivers opinions. It consists of at most 15 well-known scientists appointed in view of their excellence by the Management Board following a call for expressions of interest. The Management Board may also appoint a panel of experts to the extended Scientific Committee for risk assessment of new psychoactive substances.

4 — External audit

Court of Auditors.

5 — Discharge authority

Parliament, acting on a recommendation from the Council.

Resources made available to the Centre in 2010 (2009)

Budget

15,9 million euro (14,7 million euro). Union subsidy 94 % (97 %).

Staff at 31 December 2010

Number of posts in establishment plan: 84 (82)

Posts occupied: 78 (78)

+ 27 (26) other staff (seconded national experts, contract staff and temporary replacements)

Total staff: 105 (104)

Allocated to

operational: 63,5 (62,5)

administrative and IT support: 29,5 (30)

mixed: 12 (11,5)

Products and services in 2010 (2009)

Network

The Centre runs a computerised network for the collection and exchange of information called the ‘European Information Network on Drugs and Drug Addiction’ (Reitox); this network connects national drug information networks, specialist centres in the Member States and the information systems of international organisations working with the Centre.

Publications

—	Annual report on the state of the drug problem in Europe; 23 (23) language versions, publication and interactive website.

—	Publication on selected issues: 3 (2).

—	Statistical bulletin and interactive website containing over 350 (350) tables and 100 (100) graphs.

—	General report of activities: annual, 1 (1).

—	Drugnet Europe newsletter: 4 (4) issues.

—	Drugs in Focus (policy briefings): 0 (2) issues.

—	EMCDDA Scientific Monograph: 1 (1).

—	EMCDDA Insights: 0 (1).

—	EMCDDA thematic papers: 1 (4).

—	Joint publications: 3 (1).

—	Drug profiles: 3 (3) new and 14 (11) updated.

—	Technical and scientific studies, including Articles and scientific summaries: 26 (23).

—	Scientific posters: 1 (22).

—	Data collection, validation, storage and retrieval system (Fonte).

Other websites

Set-up/updating/content development of public EMCDDA website including:

—	Country overviews,

—	Drug treatment overviews, prevention profiles,

—	European legal database on drugs,

—	Evaluation instruments bank,

—	Best practice portal (exchange on drug demand reduction action, harm reduction and treatment modules),

—	Thematic pages,

—	Publications database.

Promotional brochures: 1 (1);

Conference materials 1 (0).

Media products: 14 (12) news releases (5 in 23 languages) and 9 (6) fact sheets; 1 (0) Power Point presentation in 23 languages.

Participation in international conferences/meetings: 183 (174).

Organisation of technical and scientific meetings: 83 (29).

Source: Information supplied by the Centre.

THE CENTRE’S REPLY

1.	The Centre has taken note of the Court’s report.

15.12.2011

Official Journal of the European Union

C 366/162

REPORT

on the annual accounts of the Community Plant Variety Office for the financial year 2010, together with the Office’s reply

2011/C 366/29

INTRODUCTION

The Community Plant Variety Office (hereinafter ‘the Office’), which is located in Angers, was created by Council Regulation (EC) No 2100/94 of 27 July 1994 (1). Its main task is to register and examine applications for the grant of Union industrial property rights for plant varieties and to ensure that the necessary technical examinations are carried out by the competent offices in the Member States (2).

2.	The Office’s 2010 budget was 13,1 million euro, compared with 13,2 million euro the previous year. The number of staff employed by the Office at the end of the year was 45, compared with 46 the previous year.

STATEMENT OF ASSURANCE

Pursuant to the provisions of Article 287(1), second subparagraph, of the Treaty on the Functioning of the European Union, the Court has audited the annual accounts (3) of the Office, which comprise the ‘financial statements’ (4) and the ‘reports on the implementation of the budget’ (5) for the financial year ended 31 December 2010, and the legality and regularity of the transactions underlying those accounts.

4.	This Statement of Assurance is addressed to the Administrative Council of the Office in accordance with Article 111 of Council Regulation (EC) No 2100/94.

The President’s responsibility

As authorising officer, the President implements the revenue and expenditure of the budget in accordance with the financial rules of the Office, under his own responsibility and within the limits of the authorised appropriations (6). The President is responsible for putting in place (7) the organisational structure and the internal management and control systems and procedures relevant for drawing up final accounts (8) that are free from material misstatement, whether due to fraud or error, and for ensuring that the transactions underlying those accounts are legal and regular.

The Court’s responsibility

6.	The Court’s responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the Office and the legality and regularity of the transactions underlying them.

The Court conducted its audit in accordance with the IFAC and ISSAI (9) International Auditing Standards and Codes of Ethics. Those standards require the Court to comply with ethical requirements and to plan and perform the audit so as to obtain reasonable assurance as to whether the accounts are free of material misstatement and whether the underlying transactions are legal and regular.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinions set out below.

Opinion on the reliability of the accounts

10.	In the Court’s opinion, the Office’s Annual Accounts (10) fairly present, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court’s opinion, the transactions underlying the annual accounts of the Office for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

12.	The comments which follow do not call the Court’s opinions into question.

COMMENTS ON THE BUDGETARY AND FINANCIAL MANAGEMENT

13.

In its Report on the annual accounts of the Office for 2009 (11), the Court pointed out certain weaknesses in the Office’s observance of relevant procurement regulations. While the Office’s performance improved in this area, weaknesses were noted including the bookings of budget commitments in advance of legal commitments and in the conduct of a negotiated procurement procedure.

This Report was adopted by Chamber IV, headed by Mr Igors LUDBORŽS, Member of the Court of Auditors, in Luxembourg at its meeting of 6 September 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ L 227, 1.9.1994, p. 27.

(2) The Annex summarises the Office's competences and activities. It is presented for information purposes.

(5) The budget implementation reports comprise the budget outturn account and its annex.

(6) Article 33 of Commission Regulation (EC, Euratom) No 2343/2002 (OJ L 357, 31.12.2002, p. 72).

(7) Article 38 of Regulation (EC, Euratom) No 2343/2002.

(8) The rules concerning the presentation of the accounts and accounting by the Agencies are laid down in Chapter 1 of Title VII of Regulation (EC, Euratom) No 2343/2002 as last amended by Regulation (EC, Euratom) No 652/2008 (OJ L 181, 10.7.2008, p. 23) and are integrated as such in the Financial Regulation of the Office.

(9) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(10) The Final Annual Accounts were drawn up on 30 June 2011 and received by the Court on 5 July 2011. The Final Annual Accounts can be found on the following website http://eca.europa.eu or http://www.cpvo.europa.eu/main/en/home/about-the-cpvo/financing

(11) OJ C 338, 14.12.2010, p. 168.

ANNEX

Community Plant Variety Office (Angers)

Competences and activities

Areas of Union competence deriving from the Treaty

(Extract of Article 36 of the Treaty on the Functioning of the European Union)

Free movement of goods

Such prohibitions or restrictions (the protection of industrial and commercial property) shall not, however, constitute a means of arbitrary discrimination or a disguised restriction on trade between Member States.

Competences of the Office

(Council Regulation (EC) No 2100/94)

Objectives

—	To apply the system of Union plant variety rights as the sole and exclusive form of Union industrial property rights for plant varieties.

Tasks

—	To decide whether to refuse or grant applications for Union plant variety rights.

—	To decide on objections.

—	To decide on appeals.

—	To decide on the revocation or cancellation of a Union plant variety right.

Governance

1 — The President

Directs the Office. He is appointed by the Council from a list of candidates proposed by the Commission after obtaining the opinion of the Administrative Council.

2 — The Administrative Council

Oversees the Office's work programme and draws up rules governing the Office's working methods. It is composed of one representative of each Member State and one representative of the Commission, plus their alternates.

3 — Decisions regarding the grant of Community plant variety rights are adopted by Committees composed of three members of staff of the Office and by the Board of Appeal in appeal proceedings.

4 — Control of the legality of the Office's acts

Review by the Commission of the legality of the acts of the Office's President in respect of which Union law does not provide for any control on legality by another body and of the acts of the Administrative Council relating to the Office's budget.

5 — External audit

Court of Auditors.

6 — Discharge authority

Administrative Council.

Resources made available to the Office in 2010 (2009)

Final Budget

13,1 million euro (13,2 million euro)

Staff as at 31 December 2010

Number of posts in the establishment plan: 46 (46)

Posts occupied: 45 (46)

Total staff: 45 (46)

undertaking the following tasks:

operational: 17,5 (17,5)

administrative: 21,5 (22,5)

mixed: 6 (6)

Products and services in 2010 (2009)

Applications received: 2 886(2 768)

Rights granted: 2 303(2 596)

European Union rights in force at 31 December 2010: 17 610(16 785)

International Cooperation in Plant Variety Protection

—	Contribution to enforcement of plant variety rights.

—	Contacts and cooperation with the following organisations: European Commission (DG SANCO, Standing Committees), UPOV (1), Ciopora (2), ESA (3), OAPI (4), OECD (5), MAFF (6) (Japan).

Source: Information supplied by the Office.

(1) Union pour la Protection des Obtentions végétales.

(2) International Community of Breeders of Asexually Reproduced Ornamental and Fruit Plants.

(3) European Seed Association.

(4) Organisation africaine de la Propriété intellectuelle.

(5) Organisation for Economic Co-operation and Development.

(6) Ministry of Agriculture, Food and Fisheries (JP).

THE OFFICE'S REPLY

13.	The Office takes note of the remark of the Court and ensures it will give particular attention to the weaknesses identified by the auditors.

15.12.2011

Official Journal of the European Union

C 366/167

REPORT

on the annual accounts of the Office for Harmonization in the Internal Market for the financial year 2010, together with the Office’s replies

2011/C 366/30

INTRODUCTION

The Office for Harmonization in the Internal Market (hereinafter ‘the Office’), which is located in Alicante, was set up by Council Regulation (EC) No 40/94 of 20 December 1993 (1). Its mandate is to implement the Union legislation on trade marks and designs, which gives undertakings uniform protection throughout the entire area of the European Union (2).

2.	The Office’s 2010 budget amounted to 365 million euro, compared with 338 million euro the previous year. The number of staff employed by the Office at the end of the year was 741, compared with 742 the previous year.

STATEMENT OF ASSURANCE

4.	This Statement is addressed to the Office Budget Committee in accordance with Article 137 of Council Regulation (EC) No 40/94.

The President’s responsibility

The Court’s responsibility

6.	The Court’s responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the Office and the legality and regularity of the transactions underlying them.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinions set out below.

Opinion on the reliability of the accounts

10.	In the Court’s opinion, the Office’s Annual Accounts (10) fairly present, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court’s opinion, the transactions underlying the annual accounts of the Office for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

12.	The comments which follow do not call the Court’s opinions into question.

COMMENTS ON THE BUDGETARY AND FINANCIAL MANAGEMENT

13.	The Office has not adopted rules for the reimbursement of fees. Reimbursements related to the years 2005, 2006 and 2007 were still pending in the accounts on 31 December 2010.

14.	In 2010, 15 million euro was spent on 156 consultants. Among them, 29 had worked on the Office’s premises on a full-time basis for more than five years and seven for more than nine years. There is scope to consider the costs and benefits of its use of external consultants.

FOLLOW-UP ON PREVIOUS YEAR’S FINDINGS

15.

Cash held by the Office as at 31 December 2010 totalled 495,4 million euro (474,2 million euro in 2009). A treasury management policy has been adopted by the Office. The accumulated budgetary surplus as at 31 December 2010 was 428,8 million euro. The corresponding figure for 2009 was 402,6 million euro.

16.	Over successive years, fees charged by the Office for its services have been in excess of the Office’s real costs, giving rise to this significant and growing surplus.

This Report was adopted by Chamber IV, headed by Mr Igors LUDBORŽS, Member of the Court of Auditors, in Luxembourg at its meeting of 27 September 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ L 11, 14.1.1994, p. 1.

(2) The Annex summarises the Office's competences and activities. It is presented for information purposes.

(5) The budget implementation reports comprise the budget outturn account and its annex.

(6) Article 33 of Commission Regulation (EC, Euratom) No 2343/2002 (OJ L 357, 31.12.2002, p. 72).

(7) Article 38 of Regulation (EC, Euratom) No 2343/2002.

(9) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(10) The Final Annual Accounts were drawn up on 30 June 2011 and received by the Court on 1 July 2011. The Final Annual Accounts can be found on the following website http://eca.europa.eu or www.oami.europa.eu

ANNEX

Office for Harmonization in the Internal Market (Alicante)

Competences and activities

Area of Union competence deriving from the Treaty

(Articles 36 and 56 of the Treaty on the Functioning of the European Union)

Free movement of goods

Prohibitions or restrictions justified on grounds of the protection of industrial and commercial property must not constitute a means of arbitrary discrimination or a disguised restriction on trade between Member States.

Restrictions on freedom to provide services within the Union are prohibited in respect of nationals of Member States who are established in a State of the Union other than that of the person for whom the services are intended.

Competences of the Office

(Council Regulation (EC) No 40/94)

Objective

To implement the Union legislation on trade marks and designs, which gives undertakings the right to uniform protection throughout the entire area of the European Union.

Tasks

—	To receive and enter applications for registration.

—	To examine the conditions for entry in the Register and compatibility with Union legislation.

—	To search at the industrial property offices of the Member States for any pre-existing national trade marks.

—	To publish applications.

—	To examine any opposition by third parties.

—	To register or reject applications.

—	To examine applications for revocation or invalidity.

—	To handle appeals against decisions.

Governance

1 — Administrative Board

Composition

—	One representative of each Member State, one representative of the Commission and their alternates.

Task

—	To advise the President on matters for which the Office is responsible.

—	To prepare lists of candidates (Article 120) for President, Vice-Presidents and chairmen and members of the Boards of Appeal.

2 — President of the Office

—	Appointed by the Council from a list of at most three candidates which has been prepared by the Administrative Board.

3 — Budget Committee

Composition

—	One representative of each Member State and one representative of the Commission and their alternates.

Task

—	To adopt the budget and the financial regulation, grant discharge to the President and determine the cost of search reports.

4 — Decisions related to the applications

Decisions are taken by:

—	the Examiners,

—	the Opposition Divisions,

—	the Administration of Trade Marks and Legal Division,

—	the Cancellation Divisions,

—	the Boards of Appeal.

5 — External audit

Court of Auditors.

6 — Discharge authority

The Office's Budget Committee.

Resources made available to the Office in 2010 (2009)

Budget

365 (338) million euro.

Staff at 31 December 2010

643 (658) posts in the establishment plan, posts occupied 608 (614) + 133 (128) other staff (auxiliary contracts, seconded national experts, local and employment agency staff, special advisers)

Total staff: 741 (742)

Products and services supplied in 2010 (2009)

Trade marks

Number of applications: 98 200(88 300)

Number of registrations: 100 800(90 000)

Cases of opposition: 17 700(13 900)

Appeals to the Boards of Appeal: 2 570(1 588)

Appeals pending: 2 157(1 378)

Designs

Designs received: 74 700(69 500)

Designs registered: 73 500(71 500)

Source: Information supplied by the Office.

THE OFFICE'S REPLIES

13.	The Office intends to issue an administrative decision in 2011 and reinforce the internal control procedures in order to reduce the pending amounts to be adjusted in the Financial Statements.

14.

At the end of 2010 the Office launched an IT audit in order to better balance and adjust the policy related to the outsourcing policy in general.

As a result of its Strategic Plan, issued in May 2011 and endorsed in a joint session by the Administrative Board and Budget Committee, the Office is further reviewing its sourcing strategy taking into account cost/benefit analysis and principles of efficiency and effectiveness. The Office is taking steps in order to internalise specialised and critical functions and to put in place an appropriate governance structure and sourcing framework for the management of external contractors.

15.

The cash of the Office as at 31 December 2010 includes 67 million euro of advanced payments from its clients and carried over appropriations from 2010 to 2011, thus this amount cannot be considered as a surplus of the Office. (The equivalent amount in 2009 amounted to 72 million euro).

As a consequence of the treasury management policy adopted by the Budget Committee (in accordance with recommendations of the Court of Auditors) the funds of the Office are being placed in Central Banks, triple A Banks and other very highly ranked international banks. Additionally a yearly reporting to the Budget Committee was established.

When it comes to the accumulated budgetary surplus at year end, the Office lowered its fees in 2005 and in 2009, with a negative impact on revenue from Community Trade Mark fees of 24 % and 30 % respectively (based on budgeted figures).

The following elements will significantly reduce the accumulated budgetary surplus:

Firstly, the investments to implement the strategic plan endorsed by the governing board and budget authority of the Office in May 2011 aiming at organisational excellence and international cooperation, amounting to 129 million euro. The strategic plan includes investments in buildings amounting to 69 million euro, the cooperation fund 40 million euro, 4 million euro on further simplification and modernisation of IT and other important concepts that will contribute to the accomplishment of the referred to goals.

Secondly, the new forthcoming legislative proposals that are currently being prepared by the Commission aiming to revise the EU trademark legislation as well as the political agreement to distribute 50 % of the renewal fee to the national offices of trademarks as a basis for cooperation in order to enhance the harmonisation of practices and tools in the field of trademarks and designs for the benefit of users (see Council conclusion of 25 May 2010 on the future revision of the Trade Mark system in the EU), will also contribute to a more balanced budget.

Thirdly, the Commission is considering introducing a biennial review mechanism of the financial situation of the Office.

Fourthly, the Office is ready to become an agency of intellectual property of the EU, promoting the interests of the whole EU, and to create an European network with the national offices in the interest of the end-users.

In line with the above, the Commission and the Office have recently signed a memorandum of understanding that will entrust the Office with a number of activities that relate to the European Observatory on Counterfeiting and Piracy. The Commission has launched a legislative proposal (COM(2011) 288)) to fully transfer the EU Observatory to the Office, avoiding the duplication of EU agencies. The initial impact assessment of the running cost of this Observatory is between 3,3 and 5,5 million euro per year.

The financial and administrative autonomy established in the founding regulation of the Office, also reflected in its financial framework, have permitted the Office to put in place tools to improve performance parameters significantly in a demanding and changing user environment and to improve its sound financial management.

16.

It is only partially true that lowering the fees will automatically result in lowering the surplus of the Office. Experience has shown that the volume of incoming applications has increased considerably when implementing this measure. In fact, in the same period the growth of applications to trademarks has compensated significantly the fee reduction in terms of income.

Furthermore, implementing the strategic plan endorsed by the Office’s governing bodies and the other elements referred to in observation 15 will progressively bring the Office to a balanced budget and absorb a significant part of the accumulated surplus for purposes solely related to the Intellectual Property system.

Finally, the Office wishes to underline that the Council Regulation (EC) No 207/2009 on the Community trade mark, clearly enshrines the principle of coexistence between National and Community Trademark and the Design system.

In abidance to the will of the legislator, OHIM is implementing a strategic plan that develops concrete measures to further develop this model for the benefit of users and industry.

The Office believes that indiscriminate fee reductions will not necessarily achieve a reduction of the surplus, and may put at risk the survival of the National Offices.

15.12.2011

Official Journal of the European Union

C 366/173

REPORT

on the annual accounts of the European Institute for Gender Equality for the financial year 2010, together with the Institute’s reply

2011/C 366/31

INTRODUCTION

The European Institute for Gender Equality (hereinafter ‘the Institute’), which is located in Vilnius, was established by Regulation (EC) No 1922/2006 of the European Parliament and of the Council (1). The Institute’s task is to collect, analyse and disseminate information as regards gender equality, develop, analyse, evaluate and disseminate methodological tools in order to support the integration of gender equality into all Union policies and the resulting national policies (2). The Institute became fully autonomous in 2010.

2.	The Institute’s 2010 budget amounted to 6,5 million euro. The number of staff employed by the Institute at the end of the year was 29.

STATEMENT OF ASSURANCE

Pursuant to the provisions of Article 287(1), second subparagraph, of the Treaty on the Functioning of the European Union, the Court has audited the annual accounts (3) of the Institute, which comprise the ‘financial statements’ (4) and the ‘reports on the implementation of the budget’ (5) for the financial year ended 31 December 2010, and the legality and regularity of the transactions underlying those accounts.

4.	This Statement of Assurance is addressed to the European Parliament and the Council in accordance with Article 185(2) of Council Regulation (EC, Euratom) No 1605/2002 (6).

The Director’s responsibility

As authorising officer, the Director implements the revenue and expenditure of the budget in accordance with the financial rules of the Institute, under his own responsibility and within the limits of the authorised appropriations (7). The Director is responsible for putting in place (8) the organisational structure and the internal management and control systems and procedures relevant for drawing up final accounts (9) that are free from material misstatement, whether due to fraud or error, and for ensuring that the transactions underlying those accounts are legal and regular.

The Court’s responsibility

6.	The Court’s responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the Institute and the legality and regularity of the transactions underlying them.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinions set out below.

Opinion on the reliability of the accounts

10.	In the Court’s opinion, the Institute’s Annual Accounts (11) fairly present, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court’s opinion, the transactions underlying the annual accounts of the Institute for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

This Report was adopted by Chamber IV, headed by Mr Igors LUDBORŽS, Member of the Court of Auditors, in Luxembourg at its meeting of 6 September 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ L 403, 30.12.2006, p. 9.

(2) The Annex summarises the Institute’s competences and activities. It is presented for information purposes.

(5) The budget implementation reports comprise the budget outturn account and its annex.

(6) OJ L 248, 16.9.2002, p. 1.

(7) Article 33 of Commission Regulation (EC, Euratom) No 2343/2002 (OJ L 357, 31.12.2002, p. 72).

(8) Article 38 of Regulation (EC, Euratom) No 2343/2002.

(9) The rules concerning the presentation of the accounts and accounting by the Agencies are laid down in Chapter 1 of Title VII of Regulation (EC, Euratom) No 2343/2002, as last amended by Regulation (EC, Euratom) No 652/2008 (OJ L 181, 10.7.2008, p. 23) and are integrated as such in the Financial Regulation of the Institute.

(10) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(11) The Final Annual Accounts were drawn up on 16 June 2011 and received by the Court on 4 July 2011. The Final Annual Accounts can be found on the following website: http://eca.europa.eu or http://www.eige.europa.eu/

ANNEX

European Institute for Gender Equality (Vilnius)

Competences and activities

Areas of Union competence deriving from the Treaty

(Articles 2 and 3 of the Treaty of the European Union)

The Union is founded on the values of respect for human dignity, freedom, democracy, equality, the rule of law and respect for human rights, including the rights of persons belonging to minorities. These values are common to the Member States in a society in which pluralism, non-discrimination, tolerance, justice, solidarity and equality between women and men prevail.

It shall combat social exclusion and discrimination, and shall promote social justice and protection, equality between women and men, solidarity between generations and protection of the rights of the child.

Competences of the Institute

(Regulation (EC) No 1922/2006 of the European Parliament and of the Council)

Objectives

To contribute to and strengthen the promotion of gender equality including gender mainstreaming in all Union policies and the resulting national policies, and the fight against discrimination based on sex, and to raise EU citizens’ awareness of gender equality.

Tasks

—	Collect, analyse and disseminate relevant objective, comparable and reliable information as regards gender equality, including results from research and best practice,

—	develop methods to improve the objectivity, comparability and reliability of data at European level by establishing criteria that will improve the consistency of information and take into account gender issues when collecting data,

—	develop, analyse, evaluate and disseminate methodological tools in order to support the integration of gender equality into all Union policies and the resulting national policies and to support gender mainstreaming in all Union institutions and bodies,

—	carry out surveys on the situation in Europe as regards gender equality,

—	set up and coordinate a European Network on Gender Equality,

—	organise ad-hoc meetings of experts to support the Institute’s research work, encourage the exchange of information among researchers and promote the inclusion of a gender perspective in their research,

—	in order to raise EU citizens’ awareness of gender equality, organise, with relevant stakeholders, conferences, campaigns, meetings at EU-level, and present the findings and conclusions to the Commission,

—	disseminate information regarding positive examples of non-stereotypical roles for women and men in every walk of life, present its findings and initiatives designed to publicise and build on such success stories,

—	develop dialogue and cooperation with non-governmental and equal opportunities organisations, universities and experts, research centres, social partners and related bodies actively seeking to achieve equality at national and European level,

—	set up documentation resources accessible to the public,

—	make information on gender mainstreaming available to public and private organisations, and

—	provide information to the Union institutions on gender equality and gender mainstreaming as well as to accession and candidate countries.

Governance

1 — Management Board

Composition:

18 representatives appointed by the Council, on a proposal from each Member State and one member representing the Commission, appointed by the Commission. The members appointed by the Council shall represent 18 Members States in the order of the rotating Presidencies.

Tasks:

To adopt the annual and mid-term work programmes, the budget, the annual report and the internal rules of the Institute and rules of procedure of the Management Board.

2 — Experts’ Forum composition

Members from competent bodies specialised in gender equality issues, one representative designated by each Member State, two members representing other relevant organisations specialised in gender equality issues designated by the European Parliament, three members designated by the Commission.

Tasks:

To support the Director in ensuring the excellence and independence of activities of the Institute, to exchange information and pool knowledge in relation to gender equality issues, and to ensure close cooperation between the Institute and competent bodies in the Member States.

3 — The Director is appointed by the Management Board on the basis of a list of candidates proposed by the Commission.

Tasks:

Responsible for performance of the tasks referred to in Regulation (EC) No 1922/2006, preparing and implementing the Institute’s annual and medium-term programmes of activities; preparing the meetings of the Management Board and the Experts’ Forum; preparing and publishing the annual report; all staff-related matters, matters of day-to-day administration; and the implementation of effective monitoring and evaluation procedures relating to the performance of the Institute.

4 — External audit

The Court of Auditors.

5 — Discharge authority

The European Parliament on a recommendation from the Council.

Resources made available to the Institute in 2010

Final budget

6,5 million euro of which the Union subsidy is 100 %.

Staff as at 31 December 2010

25 foreseen in the establishment plan, of which occupied: 23,

6 other staff (contract agents, seconded national experts).

Total staff: 29

undertaking the following tasks:

—	Operational: 18

—	Administrative: 8

—

Mixed: 3

Products and services in 2010

Institutional set up of the Institute

Finalising administrative and financial independence and creating conditions for full functioning of EIGE.

Completion of the establishment plan 2010

Training events for staff: 11

Number of meetings: 10

Focal areas: Support for research and policy work, gender mainstreaming, awareness raising and networking

Number of studies launched: 8

Number of contributions to Presidency countries: 2

Number of meetings: 3

Research reports

Number of meetings: 2

Non-research materials

Gender mainstreaming factsheets: 3

Key conferences and events

Europe-wide logo competition: 1

Internal communication strategy seminar: 1

Experts’ meetings and working groups: 11

Cooperation with Member States and other institutions

Member States: 2

European Commission: 2

European Parliament: 1

Eurostat: 1

External stakeholders: 12

Sister agencies: 2

Meetings, working groups and roundtables: 12 in total

Source: Information supplied by the Institute.

THE INSTITUTE’S REPLY

1.	The Institute has taken note of the Court’s report.

15.12.2011

Official Journal of the European Union

C 366/179

REPORT

on the annual accounts of the European Police Office (Europol) for the financial year 2010, together with the Office's reply

2011/C 366/32

INTRODUCTION

The European Police Office (hereinafter ‘the Office’), which is located in The Hague, was established by Council Decision 2009/371/JHA of 6 April 2009 (1). This Decision, which applies from 1 January 2010, replaces the provisions of the Convention, based on Article K.3 of the Treaty on European Union, on the establishment of a European Police Office (the Europol Convention). The objective of the Office is to support and strengthen action by the competent authorities of the Member States and their mutual cooperation in preventing and combating organised crime, terrorism and other forms of serious crime affecting two or more Member States (2).

2.	The Office's 2010 budget amounted to 92,8 million euro. The number of staff employed by the Office at the end of the year was 436.

STATEMENT OF ASSURANCE

4.	This Statement of Assurance is addressed to the European Parliament and the Council in accordance with Article 185(2) of Council Regulation (EC, Euratom) No 1605/2002 (6).

The Director's responsibility

As authorising officer, the Director implements the revenue and expenditure of the budget in accordance with the financial rules of the Office, under his own responsibility and within the limits of the authorised appropriations (7). The Director is responsible for putting in place (8) the organisational structure and the internal management and control systems and procedures relevant for drawing up final accounts (9) that are free from material misstatement, whether due to fraud or error, and for ensuring that the transactions underlying those accounts are legal and regular.

The Court's responsibility

6.	The Court's responsibility is to provide, on the basis of its audit, a statement of assurance as to the reliability of the annual accounts of the Office and the legality and regularity of the transactions underlying them.

9.	The Court believes that the audit evidence obtained is sufficient and appropriate to provide a basis for the opinions set out below.

Opinion on the reliability of the accounts

10.	In the Court's opinion, the Office's Annual Accounts (11) fairly present, in all material respects, its financial position as of 31 December 2010 and the results of its operations and its cash flows for the year then ended, in accordance with the provisions of its Financial Regulation.

Opinion on the legality and the regularity of the transactions underlying the accounts

11.	In the Court's opinion, the transactions underlying the annual accounts of the Office for the financial year ended 31 December 2010 are, in all material respects, legal and regular.

12.	The comments which follow do not call the Court's opinions into question.

COMMENTS ON THE BUDGETARY AND FINANCIAL MANAGEMENT

13.

An amount of 22,6 million euro has been carried forward to 2011, representing 25 % of the 2010 budget. The carry-forward rate was 49 % in Title II — Administrative expenditure and 59 % in Title III — Operational expenditure. The high level of appropriations carried forward, matched by the low level of accrued expenditure (2,9 million euro), is excessive and at odds with the budgetary principle of annuality.

This Report was adopted by Chamber IV, headed by Mr Igors LUDBORŽS, Member of the Court of Auditors, in Luxembourg at its meeting of 20 September 2011.

For the Court of Auditors

Vítor Manuel da SILVA CALDEIRA

President

(1) OJ L 121, 15.5.2009, p. 37.

(2) The Annex summarises the Office's competences and activities. It is presented for information purposes.

(5) The budget implementation reports comprise the budget outturn account and its annex.

(6) OJ L 248, 16.9.2002, p. 1.

(7) Article 33 of Commission Regulation (EC, Euratom) No 2343/2002 (OJ L 357, 31.12.2002, p. 72).

(8) Article 38 of Regulation (EC, Euratom) No 2343/2002.

(10) International Federation of Accountants (IFAC) and International Standards of Supreme Audit Institutions (ISSAI).

(11) The Final Annual Accounts were drawn up on 8 September 2011 and received by the Court on 12 September 2011. The Final Annual Accounts can be found on the following website http://eca.europa.eu or http://www.europol.europa.eu/

ANNEX

European Police Office (The Hague)

Competences and activities

Areas of Union competence deriving from the Treaty

(Articles 87, 88 and 89 TFEU)

Objective

The objective of the Office is to support and strengthen action by the competent authorities of the Member States and their mutual cooperation in preventing and combating organised crime, terrorism and other forms of serious crime affecting two or more Member States.

Competences of the Office

(Council Decision 2009/371/JHA of 6 April 2009 establishing the European Police Office (Europol) (1)

Competence

The Office's competence shall cover organised crime, terrorism and other forms of serious crime affecting two or more Member States in such a way as to require a common approach by the Member States owing to the scale, significance and consequences of the offences.

Principal tasks

—	To collect, store, process, analyse and exchange information and intelligence,

—	to notify the competent authorities of the Member States without delay, via the national unit, of information concerning them and of any connections identified between criminal offences,

—	to aid investigations in the Member States, in particular by forwarding all relevant information to the national units,

—	to ask the competent authorities of the Member States concerned to initiate, conduct or coordinate investigations and to suggest the setting up of joint investigation teams in specific cases,

—	to provide intelligence and analytical support to Member States in connection with major international events,

—	to prepare threat assessments, strategic analyses and general situation reports relating to its objective, including organised crime threat assessments.

Additional tasks

—	To develop specialist knowledge of the investigative procedures of the competent authorities of the Member States and to provide advice on investigations,

—	to provide strategic intelligence to assist and promote the efficient and effective use of the resources available at national and Union level for operational activities and the support of such activities.

Additionally, assist Member States through support, advice and research in the following areas:

—	the training of members of their competent authorities, where appropriate in cooperation with the European Police College (CEPOL),

—	the organisation and equipment of those authorities by facilitating the provision of technical support between the Member States,

—	crime prevention methods,

—	technical and forensic methods, analysis and investigative procedures.

And the Office shall also act as the Central Office for combating euro counterfeiting in accordance with Council Decision 2005/511/JHA of 12 July 2005 on protecting the euro against counterfeiting, by designating the Office as the Central Office for combating euro counterfeiting. The Office may also encourage the coordination of measures carried out in order to fight euro counterfeiting by the competent authorities of the Member States or in the context of Joint Investigation Teams, where appropriate in liaison with Union entities and third States' bodies. Upon request, the Office may financially support investigations of euro counterfeiting.

Governance

1 — Management Board

One delegate (and alternate) from each Member State and from the Commission.

2 — Director

—	Director appointed by the Council, acting by qualified majority, from a list of at least three candidates presented by the Management Board, for a four-year period (may be extended for not more than four years).

—	The Director is assisted by three Deputy Directors appointed for a four-year period extendable once.

—	The Director leads the Office and is accountable to the Management Board in respect of the performance of his/her duties.

3 — External Audit

—	European Court of Auditors (ECA).

—	Internal Audit Service (IAS) of the Commission.

—	Joint Supervisory Body (JSB).

—	Additionally: Internal Audit Function (IAF) and Data Protection Officer (DPO) — functionally independent, associated with the line organisation (established based on the Europol Council Decision).

4 — Discharge authority

European Parliament acting on recommendation of the Council.

Resources made available to the Office in 2010

Budget (2010)

92,8 million euro

Staff

Total number of staff made available according to establishment plan: 453 (temporary agents), plus 25 seconded national experts and 78 contract agents (including 6 local staff).

Products and services 2010

Overall satisfaction

The results of the independent Europol User Survey 2010 (of 584 users, e.g. investigators) indicated the highest levels of Member State satisfaction with the Office ever recorded since the introduction of the user survey in 2002.

1. Strategic products and services (Strategic analysis capability)

—	Completion of six threat assessments (Introduction of the Euro in Estonia, Situation report on Trafficking in Human Beings, Threat Assessment for Baltic Sea, iOCTA (2), LAC-OCTA (3) and the Threat Assessment for COSI (4).

—	Organised Crime (OC)-Scan (focused Threat Assessments on new or emerging organised crime threats and trends) launched to improve the relevance and timeliness of strategic products. Seven reports were delivered.

—	100 % of the Office's strategic products (excluding counter terrorism and counter proliferation) are aligned with the EU OCTA (5) findings.

—	The Office supported and contributed to the establishment of the new EU Policy Cycle.

2. Operational products and services

2.1. The Office as support centre for law enforcement operations

(Analysis Work Files, operational analysis reports and other reporting, operational support on the spot and from the headquarters, Joint Investigation Teams)

—	The Office supported competent authorities in EU Member States in 11 738 cross–border cases, an increase of 12 % over 2009.

—	In-depth analytical and operational support was provided in over 150 significant cross-border investigations, some of which have lasted for one to two years and most of which are still ongoing.

—	35 % of operations supported by the Office were in relation to drugs, but the Office's greatest operational impact was in the field of euro-counterfeiting.

—

The Office was involved in all major euro counterfeiting investigations in the EU. In 2010, 838 payment card fraud and euro counterfeiting cases were actively supported by the Office, culminating in the dismantling of five major print shops. The outcomes of the euro counterfeit investigations supported financially by the Office (35) included the seizure of over 6 million euro counterfeits, 70 arrests and the dismantling of three print shops.

—	Internal procedures are in place for the full range of cross-check services foreseen in the provision of 24/7 operational support.

—	A structured and reliable operational outcomes database was developed. It enables the centralisation of information pertaining to operations supported by the Office and automated reporting.

—	57 events were reported by the end of 2010 in which awareness of the Office's support to Joint Investigation Teams was raised.

—	The plan to implement the regional model was finalised by 30.09.2010 which consists of a number of interlinked elements — Regional Support Officers (RSO), hub Analysis Work Files, flow of intelligence, document management, coordination with associated working groups, etc.

—	The required capabilities to support the implementation of the Terrorist Finance Tracking Programme (TFTP) Agreement were put in place by the target date (with the establishment of a dedicated unit).

—	A public-private–partnership plan (the Outreach Programme) was developed by 31.12.2010.

—	A joint operational plan with Interpol (6) was in the final stages of preparation by the end of 2010.

—	A joint agencies report on internal security was presented to the Heads of Justice and Home Affairs (JHA) Agencies.

—	The Office chaired the Heads of Agencies cooperation in the area of JHA.

2.2. The Office as the EU criminal information hub

(Information management capabilities, Secure Information Exchange Network Application (SIENA), Europol Information System (EIS), Liaison Bureaux Network)

—	Europol Information System (EIS) version 1.6 was rolled out by 31.01.2010.

—	SIENA (7) version 2.0 was delivered on 22 October 2010.

—	8 Member States' national asset recovery offices were linked to SIENA by 31.10.2010. Project to be continued through 2011.

—	The elaboration of all business processes relevant to interoperability and cross matching of data progressed further throughout 2010.

—

The Office liaison officers ensure a live link between Europol headquarters in The Hague and 27 Europol National Units in the national capitals of the Member States. This is a unique network of 129 liaison officers who play an important role in everyday law enforcement activities by facilitating the exchange of information, as well as providing support and coordination for ongoing investigations. The Office also hosts liaison officers from 10 non-EU countries and organisations who work together with the Office on the basis of cooperation agreements. This Liaison Bureaux Network is supported by secure channels of communication provided by the Office. In addition, the Office has seconded two liaison officers to Washington (USA) and one to Interpol's headquarters in Lyon (France).

2.3. Expertise knowledge and training

(Europol Platform for Experts (EPE), data exchange platforms and storage solutions, knowledge products and services, training, conferences and awareness sessions)

—	The Office actively participated in the EU Crime Prevention Network (EUCPN). Independent of the EUCPN, the Office continued to promote the use of alternative approaches to tackling Organised Crime (OC) as part of the COSI group on OC.

—	The generic concept for the Europol Platform for Experts (EPE) was developed and implemented. Four platforms were established.

—	The EU Bomb Database System was released into production in October 2010.

—	Three additional certified Cybercrime training modules for the European Cybercrime Training Education Group (ECTEG) were designed, delivered and evaluated.

—	The assessment of e-learning options in cooperation with CEPOL (European Police College) progressed well with the Office being the subject of the first CEPOL e-learning course. Other e-learning courses under development of relevance for the Office are: Cybercrime and Schengen Treaty.

2.4. External relations

(Relations with cooperation partners)

—

The Office cooperates with a number of EU partners, and with third countries and organisations. The exchange of information with these partners takes place on the basis of cooperation agreements. Two types of agreement determine the nature of cooperation with third parties. Strategic agreements make it possible for the two parties involved to exchange all information with the exception of personal data, while operational agreements also allow the exchange of personal data.

—	The Office currently cooperates with 17 non-EU countries, 9 EU bodies and agencies and 3 other international organisations, including Interpol, which features in many aspects of the Offices operational work.

The Heads of Europol National Units (HENUs) of all EU Member States, including observers from cooperation partners (such as Eurojust and Interpol) and the Commission, meet on a regular basis to assist the Office on operational matters and to provide support in the establishment of Joint Investigation Teams involving the Office.

Source: Information supplied by the Office.

(1) Replaces the provisions of the Convention based on Article K.3 of the Treaty on the European Union, on the establishment of a European Police Office (Europol Convention).

(2) Internet facilitated Organised Crime Threat Assessment.

(3) Latin America and Caribbean Organised Crime Threat Assessment.

(4) Standing Committee on Operational Cooperation on Internal Security.

(5) Organised Crime Threat Assessment.

(6) International Criminal Police Organisation (ICPO).

(7) Secure Information Exchange Network Application.

THE OFFICE'S REPLY

13.

Europol accepts the principle but points out that a significant amount of the carry-over was due to the unique circumstance of the agency's move to its new headquarters in 2011, given a delay of the delivery of the building in 2010. The breakdown of the carry-forward (22,6 million euro) is as follows:

—	11,3 million euro for expenditure relating to the new Europol headquarters,

—	1,8 million euro relates to Chapter 26 (Article 58.4 Europol Council Decision — ECD: liabilities concerning the previous legal framework of Europol),

—	9,5 million euro for other expenditure.

Leaving aside the expenditure for the new Europol headquarters and Article 58.4 of the ECD, the carry-forward rate was 10,24 % in relation to the budget revenue.

Europol will take measures to address the comment from the ECA.

		ISSN 1977-091X doi:10.3000/1977091X.C_2011.366.eng
Official Journal of the European Union		C 366

English edition	Information and Notices	Volume 54 15 December 2011

Notice No	Contents	page
	IV Notices
	NOTICES FROM EUROPEAN UNION INSTITUTIONS, BODIES, OFFICES AND AGENCIES
	Court of Auditors
2011/C 366/01	Report on the annual accounts of the Community Fisheries Control Agency for the financial year 2010 together with the Agency's replies	1

2011/C 366/02	Report on the annual accounts of the Euratom Supply Agency for the financial year 2010, together with the Agency’s replies	6

2011/C 366/03	Report on the annual accounts of the European Fundamental Rights Agency for the financial year 2010 together with the Agency’s reply	9

2011/C 366/04	Report on the annual accounts of the European Network and Information Security Agency for the financial year 2010, together with the Agency’s replies	15

2011/C 366/05	Report on the annual accounts of the European Aviation Safety Agency for the financial year 2010, together with the Agency’s replies	21

2011/C 366/06	Report on the annual accounts of the European Medicines Agency for the financial year 2010, together with the Agency’s replies	27

2011/C 366/07	Report on the annual accounts of the European Chemicals Agency for the financial year 2010, together with the Agency’s reply	33

2011/C 366/08	Report on the annual accounts of the European Agency for the Management of Operational Cooperation at the External Borders of the Member States for the financial year 2010, together with the Agency's replies	39

2011/C 366/09	Report on the annual accounts of the European Agency for Safety and Health at Work for the financial year 2010, together with the Agency’s reply	45

2011/C 366/10	Report on the annual accounts of the European Maritime Safety Agency for the financial year 2010, together with the Agency's reply	52

2011/C 366/11	Report on the annual accounts of the European Environment Agency for the financial year 2010, together with the Agency’s reply	57

2011/C 366/12	Report on the annual accounts of the Education, Audiovisual and Culture Executive Agency for the financial year 2010, together with the Agency's reply	63

2011/C 366/13	Report on the annual accounts of the European Research Council Executive Agency for the financial year 2010, together with the Agency’s reply	69

2011/C 366/14	Report on the annual accounts of the Trans-European Transport Network Executive Agency for the financial year 2010, together with the Agency's reply	75

2011/C 366/15	Report on the annual accounts of the Executive Agency for Competitiveness and Innovation for the financial year 2010, together with the Agency's replies	81

2011/C 366/16	Report on the annual accounts of the Research Executive Agency for the financial year 2010, together with the Agency's reply	87

2011/C 366/17	Report on the annual accounts of the Executive Agency for Health and Consumers for the financial year 2010, together with the Agency’s reply	93

2011/C 366/18	Report on the annual accounts of the European Railway Agency for the financial year 2010, together with the Agency's reply	100

2011/C 366/19	Report on the annual accounts of the European Food Safety Authority for the financial year 2010, together with the Authority's replies	106

2011/C 366/20	Report on the annual accounts of the European GNSS Agency for the financial year 2010, together with the Agency’s replies	112

2011/C 366/21	Report on the annual accounts of the Translation Centre for the Bodies of the European Union for the financial year 2010, together with the Centre's reply	117

2011/C 366/22	Report on the annual accounts of the European Centre for Disease Prevention and Control for the financial year 2010, together with the Centre's replies	122

2011/C 366/23	Report on the annual accounts of the European Centre for the Development of Vocational Training for the financial year 2010, together with the Centre’s reply	127

2011/C 366/24	Report on the annual accounts of the European Police College for the financial year 2010, together with the College's replies	134

2011/C 366/25	Report on the annual accounts of Eurojust for the financial year 2010, together with Eurojust’s replies	140

2011/C 366/26	Report on the annual accounts of the European Training Foundation for the financial year 2010, together with the Foundation's reply	145

2011/C 366/27	Report on the annual accounts of the European Foundation for the Improvement of Living and Working Conditions for the financial year 2010, together with the Foundation’s reply	150

2011/C 366/28	Report on the annual accounts of the European Monitoring Centre for Drugs and Drug Addiction for the financial year 2010, together with the Centre's reply	156

2011/C 366/29	Report on the annual accounts of the Community Plant Variety Office for the financial year 2010, together with the Office’s reply	162

2011/C 366/30	Report on the annual accounts of the Office for Harmonization in the Internal Market for the financial year 2010, together with the Office’s replies	167

2011/C 366/31	Report on the annual accounts of the European Institute for Gender Equality for the financial year 2010, together with the Institute’s reply	173

2011/C 366/32	Report on the annual accounts of the European Police Office (Europol) for the financial year 2010, together with the Office's reply	179