52005SC0421

[pic] | COMMISSION OF THE EUROPEAN COMMUNITIES |

Brussels, 30.03.2005

SEC(2005) 421 final

PRELIMINARY DRAFT AMENDING BUDGET No 2 TO THE GENERAL BUDGET FOR 2005

GENERAL STATEMENT OF REVENUESTATEMENT OF REVENUE AND EXPENDITURE BY SECTIONSection I - ParliamentSection II - CouncilSection III - CommissionSection IV - Court of JusticeSection V - Court of AuditorsSection VI – European Economic and Social CommitteeSection VII - Committee of the RegionsSection VIII Part A - European OmbudsmanSection VIII Part B - European Data-protection Supervisor

PRELIMINARY DRAFT AMENDING BUDGET No 2TO THE GENERAL BUDGET FOR 2005

GENERAL STATEMENT OF REVENUE STATEMENT OF REVENUE AND EXPENDITURE BY SECTION Section I - Parliament Section II - Council Section III - Commission Section IV - Court of Justice Section V - Court of Auditors Section VI – European Economic and Social Committee Section VII - Committee of the Regions Section VIII Part A - European Ombudsman Section VIII Part B - European Data-protection Supervisor

Having regard to:

- the Treaty establishing the European Community, and in particular Article 272 thereof,

- the Treaty establishing the European Atomic Energy Community, and in particular Article 177 thereof,

- the Council Regulation (EC, Euratom) No 1605/2002 of 25 June 2002 on the Financial Regulation applicable to the general budget of the European Communities[1], and in particular Article 37 thereof,

The European Commission hereby presents to the budgetary authority the preliminary draft amending budget No 2 to the 2005 budget for the reasons set out in the explanatory memorandum.

TABLE OF CONTENTS

1. Introduction 4

2. Adjustments of appropriations for remunerations and pensions 4

2.1. Section I (Parliament) 5

2.2. Section II (Council) 5

2.3. Section III (Commission) 6

2.4. Section IV (Court of Justice) 7

2.5. Section V (Court of Auditors) 8

2.6. Section VI (European Economic and Social Committee) 8

2.7. Section VII (Committee of the Regions) 9

2.8. Section VIII part A (European Ombudsman) 10

2.9. Section VIII part B (European Data-protection Supervisor) 11

3. Other modifications to the 2005 Budget 11

3.1. Section III (Commission) 11

3.1.1. Section III (Commission) – Revenue 11

3.1.2. Section III (Commission) - Expenditure 11

3.2. Section V (Court of Auditors) 12

3.3. Section VI (European Economic and Social Committee) 16

3.4. Section VIII part B (European Data-protection Supervisor) 16

4. Effect on the heading 5 margin 17

SUMMARY TABLE BY HEADING OF THE FINANCIAL PERSPECTIVE 18

GENERAL STATEMENT OF REVENUE

STATEMENT OF REVENUE AND EXPENDITURE BY SECTION

The general statement of revenue and the statement of revenue and expenditure by section are forwarded separately via the SEI-BUD system. An English version of the general statement of revenue and of the statement of revenue and expenditure by section is attached as a budgetary annex by way of example.

EXPLANATORY MEMORANDUM

1. INTRODUCTION

The purpose of this Amending Budget is to incorporate the decisions taken during the conciliation of 25 November 2004[2], regarding the adjustment of the administrative appropriations resulting from the annual adaptations of the salaries and pensions. In fact, the parameter used, in April 2004, when calculating these appropriations for the 2005 budget was 2.6 %. But the increase decided in December 2004 was 0.7 %.

In this framework the Institutions proceeded to a mechanical calculation of the related reductions of the appropriations as well as of the revenue, taking into account the cuts that had already been made by the budgetary authority, in anticipation of the reduction of the parameter.

It should be stressed finally that owing to the uncertainties of the effects of the new staff regulations during the transition period, some Institutions could be confronted, at the end of 2005, with a shortage of appropriations for remunerations. Should it be the case, the budgetary authority will be informed in due course. Each Institution will try to cover its needs by transfers. However the need to present an Amending Budget can not be excluded at this stage.

Additionally, some further modifications related to administrative expenditure are also proposed.

2. ADJUSTMENTS OF APPROPRIATIONS FOR REMUNERATIONS AND PENSIONS

- Parliament: -7 975 278 EUR

- Council: -5 180 000 EUR

- Commission: (incl. pensions: -15 197 000 EUR) -39 031 022 EUR

- Court of Justice: -3 394 000 EUR

- Court of Auditors: -1 612 000 EUR

- European Economic and Social Committee: -984 709 EUR

- Committee of the Regions: -209 446 EUR

- European Ombudsman: -88 060 EUR

- European Data-protection Supervisor: -38 572 EUR

TOTAL -58 513 087 EUR

2.1. Section I (Parliament)

The breakdown by budget line of the appropriations requested by the Parliament is as follows:

Line | Heading | Budget 2005 | PDAB 2/2005 | Budget 2005 + PDAB 2/2005 |

1 1 0 0 | Basic salaries | 322 664 167 | -5 975 262 | 316 688 905 |

1 1 0 1 | Family allowances | 28 200 849 | -522 238 | 27 678 611 |

1 1 0 2 | Expatriation and foreign residence allowances (including those granted in accordance with Article 97 of the ECSC Staff Regulations) | 45 068 797 | -824 586 | 44 244 211 |

1 1 1 0 | Auxiliary staff | 11 982 790 | -257 879 | 11 724 911 |

1 1 1 2 | Local staff | 650 192 | -12 040 | 638 152 |

1 1 3 0 | Insurance against sickness | 11 454 576 | -212 122 | 11 242 454 |

1 1 3 1 | Insurance against accidents and occupational disease | 2 968 514 | -54 972 | 2 913 542 |

1 1 3 2 | Insurance against unemployment for temporary staff | 734 251 | -13 597 | 720 654 |

1 1 5 | Overtime | 1 441 255 | -26 690 | 1 414 565 |

1 1 9 1 | Provisional appropriation | 5 837 994 | -75 892 | 5 762 102 |

Total Chapter 1 1 – Staff in active employment | 455 965 084 | -7 975 278 | 447 989 806 |

TOTAL TITLE 1 | 703 977 018 | -7 975 278 | 696 001 740 |

TOTAL PARLIAMENT | 1 272 000 000 | -7 975 278 | 1 264 024 722 |

2.2. Section II (Council)

The breakdown by budget line of the appropriations requested by the Council break is as follows:

Line | Heading | Budget 2005 | PDAB 2/2005 | Budget 2005 + PDAB 2/2005 |

1 0 3 0 | Retirement pensions | 175 000 | -3 000 | 172 000 |

1 0 9 0 | Weightings | 44 000 | -1 000 | 43 000 |

Total Chapter 1 0 – Member of the institution | 221 000 | -4 000 | 217 000 |

1 1 0 0 | Basic salaries | 201 131 118 | -3 757 828 | 197 373 289 |

1 1 0 1 | Family allowances | 17 884 233 | -330 000 | 17 554 232 |

1 1 0 2 | Expatriation and foreign residence allowances (including those granted in accordance with Article 97 of the ECSC Staff Regulations) | 28 543 439 | -528 992 | 28 014 447 |

1 1 0 3 | Secretarial allowances | 2 378 000 | -44 000 | 2 334 000 |

1 1 3 0 | Insurance against sickness | 7 105 473 | -131 997 | 6 973 476 |

1 1 3 1 | Insurance against accidents and occupational disease | 1 831 164 | -33 999 | 1 797 164 |

1 1 4 7 | Allowances for shift work or standby duty at the official’s place of work or at home | 530 000 | -10 000 | 520 000 |

1 1 5 | Overtime | 2 727 000 | -52 000 | 2 675 000 |

1 1 8 2 | Installation, resettlement and transfer allowances | 3 827 000 | -69 000 | 3 758 000 |

1 1 8 4 | Temporary daily subsistence allowances | 2 739 000 | -48 000 | 2 691 000 |

1 1 9 0 | Salary weightings | 2 681 987 | -188 | 2 681 800 |

1 1 9 1 | Provisional appropriation | 3 624 469 | -67 996 | 3 556 473 |

Total Chapter 1 1 – Staff in active employment | 289 708 699 | -5 074 000 | 284 634 699 |

1 2 1 0 | Allowances in the case of retirement in the interest of the service in application for Articles 41 and 50 of the Staff Regulations | 292 000 | -5 000 | 287 000 |

1 2 1 8 | Benefits and allowances for staff covered by special retirement measures | 5 703 000 | -93 000 | 5 610 000 |

1 2 3 | Sickness insurance | 181 000 | -3 000 | 178 000 |

1 2 9 1 | Provisional appropriation | 74 000 | -1 000 | 73 000 |

Total Chapter 1 2 – Various allowances and contributions relating to termination of service | 6 698 000 | -102 000 | 6 596 000 |

TOTAL TITLE 1 | 307 970 699 | -5 180 000 | 302 790 699 |

TOTAL COUNCIL | 568 343 403 | -5 180 000 | 563 163 403 |

2.3. Section III (Commission)

The breakdown by budget line of the appropriations requested by the Commission is as follows:

LINE | Heading | Budget 2005 | PDAB 2/2005 | Budget 2005 + PDAB 2/2005 |

XX 01 01 01 | Expenditure related to staff in active employment working with the institution | 1 426 968 900 | -22 350 000 | 1 404 618 900 |

XX 01 01 01 01 | Remuneration and allowances | 1 387 950 900 | -22 350 000 | 1 365 600 900 |

XX 01 01 02 | Expenditure related to staff in active employment of Community delegations | 146 443 000 | 1 982 000 | 148 425 000 |

XX 01 01 02 01 | Remuneration and allowances | 136 916 000 | 1 982 000 | 138 898 000 |

XX 01 02 01 | External staff working with the institution | 163 429 436 | -1 100 000 | 162 329 436 |

XX 01 02 01 01 | Auxiliary staff | 62 774 936 | -1 100 000 | 61 674 936 |

24 01 06 | European Anti-Fraud Office (OLAF) | 47 140 900 | -465 900 | 46 675 000 |

(A3 01 01) | Expenditure related to staff in active employment | 30 442 900 | -465 900 | 29 997 000 |

25 01 01 03 | Salaries, allowances and payments of Members of the institution | 7 505 000 | -133 000 | 7 372 000 |

26 01 09 01 | Publications Office | 80 978 052 | -655 252 | 80 322 800 |

(A2 01 01) | Expenditure related to staff in active employment | 45 623 652 | -655 252 | 44 968 400 |

26 01 20 | European Personnel Selection Office (EPSO) | 25 121 640 | -80 000 | 25 041 640 |

(A4 01 01) | Expenditure related to staff in active employment | 7 280 700 | -80 000 | 7 200 700 |

26 01 21 | Office for the Administration and Payment of Individual Entitlements (Paymaster Office) | 30 442 870 | -347 870 | 30 095 000 |

(A5 01 01) | Expenditure related to staff in active employment | 18 625 870 | -347 870 | 18 278 000 |

26 01 22 | Office for Infrastructure and Logistics (Brussels) (OIB) | 56 135 834 | -513 000 | 55 622 834 |

(A6 01 01) | Expenditure related to staff in active employment | 31 667 000 | -513 000 | 31 154 000 |

26 01 23 | Office for Infrastructure and Logistics (Luxembourg) (OIL) | 22 575 397 | -171 000 | 22 404 397 |

(A7 01 01) | Expenditure related to staff in active employment | 13 490 000 | -171 000 | 13 319 000 |

30 01 13 04 | Allowances for staff assigned to non-active status, retired in the interests of the service or dismissed | 37 924 000 | -702 000 | 37 222 000 |

30 01 13 07 | Pensions and severance grants | 775 107 000 | -14 495 000 | 760 612 000 |

Total Administrative expenditure (incl. pensions: -15 197 000 EUR) | 3 995 658 309 | -39 031 022 | 3 956 627 287 |

TOTAL COMMISSION | 114 198 594 749 | -39 031 022 | 114 159 563 727 |

The appropriations related to the staff of Community delegations (Sub-item XX 01 01 02 01) present a unique situation. At the time of the second reading, the Parliament stated that the appropriations reduced in the first reading should be “…reviewed once the information on the salary adjustment for 2005 is available ”. In fact the reduction operated on this line is already too important to cover the needs and the adjustment proposed for this item is therefore positive (EUR 1 982 000).

2.4. Section IV (Court of Justice)

The breakdown by budget line of the appropriations requested by the Court of Justice is as follows:

Line | Heading | Budget 2005 | PDAB 2/2005 | Budget 2005 + PDAB2/2005 |

1 0 0 0 | Basic salaries | 13 087 000 | -241 000 | 12 846 000 |

1 0 0 1 | Residence allowances | 1 964 000 | -42 000 | 1 922 000 |

1 0 0 2 | Family allowances | 916 000 | -16 000 | 900 000 |

1 0 0 3 | Representation allowances | 568 000 | -11 000 | 557 000 |

1 0 1 | Accident and sickness insurance and other social security charges | 731 000 | -11 000 | 720 000 |

1 0 2 | Temporary allowances | 1 875 000 | -35 000 | 1 840 000 |

1 0 3 0 | Retirement pensions | 2 379 000 | -44 000 | 2 335 000 |

1 0 3 2 | Survivors’ pensions | 1 574 000 | -29 000 | 1 545 000 |

1 0 5 1 | Installation, resettlement and transfer allowances | 170 000 | -10 000 | 160 000 |

1 0 9 0 | Weightings | 170 000 | -10 000 | 160 000 |

1 0 9 1 | Provisional appropriations to cover adjustments to emoluments | 314 000 | -6 000 | 308 000 |

Total Chapter 1 0 – Member of the institution | 24 423 000 | -455 000 | 23 968 000 |

1 1 0 0 | Basic salaries | 113 741 022 | -2 108 000 | 111 633 022 |

1 1 0 1 | Family allowances | 9 109 000 | -169 000 | 8 940 000 |

1 1 0 2 | Expatriation and foreign residence allowances (including those granted in accordance with Article 97 of the ECSC Staff Regulations) | 18 106 000 | -336 000 | 17 770 000 |

1 1 0 3 | Flat-rate allowances | 496 000 | -9 000 | 487 000 |

1 1 1 0 | Auxiliary staff | 1 618 000 | -30 000 | 1 588 000 |

1 1 1 8 | National experts on secondment | 524 000 | -10 000 | 514 000 |

1 1 3 0 | Insurance against sickness | 3 963 000 | -73 000 | 3 890 000 |

1 1 3 1 | Insurance against accidents and occupational disease | 1 047 000 | -20 000 | 1 027 000 |

1 1 3 2 | Unemployment insurance for temporary staff | 212 000 | -2 000 | 210 000 |

1 1 4 0 | Birth and death grants | 61 000 | -1 000 | 60 000 |

1 1 5 | Overtime | 690 000 | -13 000 | 677 000 |

1 1 8 2 | Installation, resettlement and transfer allowance | 1 183 000 | -13 000 | 1 170 000 |

1 1 8 4 | Temporary daily subsistence allowances | 1 001 000 | -45 000 | 956 000 |

1 1 9 0 | Salary weightings | 1 976 000 | -71 000 | 1 905 000 |

1 1 9 1 | Provisional appropriation | 2 012 000 | -39 000 | 1 973 000 |

Total Chapter 1 1 – Staff in active employment | 158 260 022 | -2 939 000 | 155 321 022 |

TOTAL TITLE 1 | 195 053 972 | -3 394 000 | 191 659 972 |

TOTAL COURT OF JUSTICE | 232 346 872 | -3 394 000 | 228 952 872 |

2.5. Section V (Court of Auditors)

The breakdown by budget line of the appropriations requested by the Court of Auditors is as follows:

Line | Heading | Budget 2005 | PDAB 2/2005 | Budget 2005 + PDAB 2/2005 |

1 0 0 0 | Basic salaries | 5 364 000 | -99 000 | 5 265 000 |

1 0 0 1 | Residence allowances | 805 000 | -15 000 | 790 000 |

1 0 0 2 | Family allowances | 305 000 | -6 000 | 344 000 |

1 0 1 | Accident and sickness insurance and other social security charges | 302 000 | -6 000 | 296 000 |

1 0 3 0 | Retirement pensions | 1 669 000 | -31 000 | 1 638 000 |

1 0 3 2 | Survivors’ pensions | 295 000 | -5 000 | 295 000 |

1 0 9 0 | Weightings | 307 000 | -6 000 | 301 000 |

1 0 9 1 | Provisional appropriation | 123 000 | -2 000 | 121 000 |

Total Chapter 1 0 – Members of the institution | 9 620 000 | -170 000 | 9 450 000 |

1 1 0 0 | Basic salaries | 53 973 000 | -999 000 | 52 974 000 |

1 1 0 1 | Family allowances | 4 626 000 | -86 000 | 4 540 000 |

1 1 0 2 | Expatriation and foreign residence allowances (including those granted in accordance with Article 97 of the ECSC Staff Regulations) | 8 699 000 | -161 000 | 8 538 000 |

1 1 0 3 | Fixed allowances | 304 000 | -6 000 | 298 000 |

1 1 1 0 | Auxiliary staff | 1 447 000 | -27 000 | 1 420 000 |

1 1 1 4 | Auxiliary translators | 295 000 | -5 000 | 290 000 |

1 1 1 5 | Contractual agents | 420 000 | -8 000 | 412 000 |

1 1 3 0 | Insurance against sickness | 1 835 000 | -34 000 | 1 801 000 |

1 1 3 1 | Insurance against accidents and occupational disease | 470 000 | -9 000 | 461 000 |

1 1 3 3 | Constitution or maintenance of pension rights for temporary staff | 53 000 | -1 000 | 52 000 |

1 1 5 | Overtime | 625 000 | -12 000 | 612 000 |

1 1 8 2 | Installation, resettlement and transfer allowances | 1 417 000 | -26 000 | 1 391 000 |

1 1 8 4 | Temporary daily subsistence allowances | 1 644 000 | -30 000 | 1 614 000 |

1 1 9 0 | Weightings | 1 097 000 | -20 000 | 1 077 000 |

1 1 9 1 | Provisional appropriation | 988 000 | -18 000 | 970 000 |

Total Chapter 1 1 – Staff in active employment | 79 648 000 | -1 442 000 | 2 047 000 |

TOTAL TITLE 1 | 95 580 500 | -1 612 000 | 93 968 500 |

TOTAL COURT OF AUDITORS | 108 560 579 | -1 612 000 | 106 948 579 |

2.6. Section VI (European Economic and Social Committee)

The breakdown by budget line of the appropriations requested by the European Economic and Social Committee is as follows:

Line | Heading | Budget 2005 | PDAB 2/2005 | Budget 2005 + PDAB 2/2005 |

1 1 0 0 | Basic salaries | 39 036 292 | -726 026 | 39 762 318 |

1 1 0 1 | Family allowances | 3 391 881 | -62 821 | 3 454 702 |

1 1 0 2 | Expatriation and foreign residence allowances (including those granted in accordance with Article 97 of the ECSC Staff Regulations) | 5 037 511 | -93 299 | 5 130 810 |

1 1 0 3 | Secretarial allowances | 388 287 | -7 192 | 395 479 |

1 1 1 3 | Special advisers | 59 000 | -1 000 | 60 000 |

1 1 1 5 | Contractual agents | 859 804 | -16 440 | 876 244 |

1 1 3 0 | Insurance against sickness | 1 383 960 | -25 632 | 1 409 592 |

1 1 3 1 | Insurance against accidents and occupational disease | 354 135 | -6 559 | 360 694 |

1 1 5 | Overtime | 108 613 | -2 049 | 110 662 |

1 1 8 2 | Installation, resettlement and transfer allowances | 430 000 | -10 000 | 440 000 |

1 1 8 4 | Temporary daily subsistence allowances | 499 000 | -9 000 | 508 000 |

1 1 9 0 | Weightings | 634 398 | -11 749 | 646 147 |

1 1 9 1 | Provisional appropriation | 707 297 | -12 942 | 720 239 |

Total Chapter 1 1 – Staff in active employment | 55 416 505 | -984 709 | 54 431 796 |

TOTAL TITLE 1 | 79 827 105 | -984 709 | 78 842 396 |

TOTAL EUROPEAN ECONOMIC AND SOCIAL COMMITTEE | 103 820 925 | -984 709 | 102 836 216 |

2.7. Section VII (Committee of the Regions)

Apart from the change for the salary review, the budgetary authority imposed on the Committee of the Regions a further 5% reduction in the appropriations for new posts (additional posts received in 2005). This is mentioned by way of information to put the salaries budgets into a proper perspective. The result is a “salaries” budget that was very tight from the outset.

The creation of 156 “enlargement” posts in 2004, an increase of 63 % of the CoR staff, made the Committee of the Regions the institution where the impact of enlargement was heaviest in terms of the increase in staff. This special circumstance made it especially tricky to estimate the 2005 salaries budget on the basis of past outturn.

The Committee of the Regions also had to contend with various effects of the new Staff Regulations (which came into force on 1 May 2004) which were difficult to predict in budgetary terms when the preliminary draft 2005 budget was being drawn up early in 2004 and which have meant that the appropriations for payments for certain components of remunerations have been used faster than expected.

In particular, recruitment to the 156 new "enlargement" posts has had an additional impact for the CoR budget, as the 2005 budget assumed that 50% of the new recruits would be at step 1 in the grade and 50% at step 2. But in fact around 80% of the new recruits – most of them from the new Member States – have been placed at step 2 under the general rules on grading of new officials and on the basis of the length of their professional experience prior to taking up their duties. The estimated cost of this is €107 803.

Late recruitment to these 156 "enlargement" posts – as a result of the delay in constituting the EPSO (European Personnel Selection Office) recruitment lists – means that the budget earmarked for paying daily allowances (line 1 1 8 4) to the new officials is likely to be overspent in 2005. The bulk of the expenditure will be incurred in 2005 rather than in 2004. As a result a further €71 000 will be required in 2005 to cover the additional needs.

There is a similar overrun with the appropriations for expatriation allowances, as the number of the new officials from the new Member States entitled to this allowance has turned out to be higher than assumed in the 2005 budget. Line 1 1 0 2 will accordingly need an additional €140 000 in 2005.

Despite the efforts made to absorb these unexpected costs, it would now seem wiser to budget for the impact. It is therefore proposed that the reduction to be applied in the amending budget being drawn up for the CoR take into account the various factors. It is also planned that adjustments be made in the course of the year in order to deal with the deficits on the budget lines mentioned and requests for transfers be made to the budgetary authority if necessary.

The end-result is that the amending budget for the Committee of the Regions will involve a reduction of €209 446 in the appropriations for Chapter 11.

The breakdown by budget line of the appropriations requested by the Committee of the Regions is as follows:

Line | Heading | Budget 2005 | PDAB 2/2005 | Budget 2005 + AB 2/2005 |

1 1 9 1 | Provisional appropriation | 736 257 | -209 446 | 526 811 |

Total Chapter 1 1 – Staff in active employment | 31 063 928 | -209 446 | 30 854 482 |

TOTAL TITLE 1 | 43 679 655 | _209 446 | 43 470 209 |

TOTAL COMMITTEE OF THE REGIONS | 60 277 251 | -209 446 | 60 067 805 |

2.8. Section VIII part A (European Ombudsman)

The breakdown by budget line of the appropriations requested by the European Ombudsman is as follows:

Line | Heading | Budget 2005 | PDAB 2/2005 | Budget 2005 + PDAB 2/2005 |

1 0 0 | Salaries, allowances and payments related to salaries | 284 580 | -5 093 | 279.487 |

1 0 1 | Accident and sickness insurance and other social security charges | 13 518 | -140 | 13.378 |

1 0 2 | Temporary allowances | 268 842 | -1 810 | 267.032 |

1 0 9 | Adjustments of emoluments | 50 500 | -921 | 49 579 |

Total Chapter 1 0 – Members of the institution | 752 440 | - 7 964 | 744 476 |

1 1 0 0 | Basic salaries | 2 721 732 | -50 223 | 2 671 509 |

1 1 0 1 | Family allowances | 289 942 | -5 298 | 284 644 |

1 1 0 2 | Expatriation and foreign residence allowances (including those granted in accordance with Article 97 of the ECSC Staff Regulations) | 413 277 | -7 551 | 405 726 |

1 1 0 3 | Secretarial allowance | 18 000 | -525 | 17 475 |

1 1 3 | Sickness, accident, occupational disease and unemployment insurance and maintenance of pension rights | 152 354 | -2 784 | 149 570 |

1 1 4 | Miscellaneous allowances and grants | 35 355 | -160 | 35 195 |

1 1 5 | Overtime | 5 000 | 0 | 5 000 |

1 1 8 | Allowances and expenses in connection with officials entering and leaving the service and transfers | 205 104 | -3 748 | 201 356 |

1 1 9 | Adjustments to salaries of officials and other servants | 536 722 | -9 807 | 526 915 |

Total Chapter 1 1 – Staff in active employment | 4 622 486 | -80 096 | 4 542 390 |

TOTAL TITLE 1 | 6 239 614 | -88 060 | 6 151 554 |

TOTAL EUROPEAN OMBUDSMAN | 7 312 614 | -88 060 | 7 224 554 |

2.9. Section VIII part B (European Data-protection Supervisor)

The breakdown by budget line of the appropriations requested by the European Data-protection Supervisor is as follows:

Line | Heading | Budget 2005 | PDAB 2/2005 | Budget 2005 + PDAB 2/2005 |

1 0 0 | Salaries, allowances and payments related to salaries | 555 367 | -10 552 | 544 815 |

1 0 1 | Accident and sickness insurance and other social security charges | 19 197 | -365 | 18 832 |

1 0 9 | Adjustments of emoluments | 20 000 | -380 | 19 620 |

Total Chapter 1 0 – Members of the institution | 671 056 | -11 297 | 659 759 |

1 1 0 0 | Basic salaries | 978 304 | -18 588 | 959 716 |

1 1 0 1 | Family allowances | 68 225 | -1 296 | 66 929 |

1 1 0 2 | Expatriation and foreign residence allowances (including those granted in accordance with Article 97 of the ECSC Staff Regulations) | 119 743 | -2 275 | 117 468 |

1 1 3 | Sickness, accident, occupational disease and unemployment insurance and maintenance of pension rights | 50 613 | -962 | 49 651 |

1 1 4 | Miscellaneous allowances and grants | 18 858 | -358 | 18 500 |

1 1 5 | Overtime | 2 979 | -57 | 2 922 |

1 1 8 | Allowances and expenses in connection with officials entering and leaving the service and transfers | 130 910 | -2 487 | 128 423 |

1 1 9 | Adjustments to salaries of officials and other servants | 65 878 | -1 252 | 64 626 |

Total Chapter 1 1 – Staff in active employment | 1 649 583 | -27 275 | 1 622 308 |

TOTAL TITLE 1 | 2 472 692 | -38 572 | 2 434 120 |

TOTAL EUROPEAN DATA-PROTECTION SUPERVISOR | 2 879 305 | -38 572 | 2 840 733 |

3. OTHER MODIFICATIONS TO THE 2005 BUDGET

3.1. Section III (Commission)

3.1.1. Section III (Commission) – Revenue

A modification is necessary on the revenue side of the budget of the "Publications Office" due to harmonising the method of calculating the revenue with that used by the Commission. The amount involved is an increase of EUR 255 022 under Article 4 1 0 "Staff contributions to the pension scheme", and it will be reflected in the relevant revenue part of the budgetary annex.

3.1.2. Section III (Commission) - Expenditure

Concerning Item 22 01 04 03, the expenditure on temporary support staff for the ex-Phare delegations is lower than initially estimated for several reasons outside the Commission's control (duration of the contract offered, difficulties in replacing the staff leaving the ex-delegation etc.). In order to ensure the continuity of operations, the tasks performed by this staff have to be repatriated to headquarters earlier than initially planned when establishing the 2005 budget. Hence, the expenditure on temporary support staff needed for tasks repatriated to headquarters will be higher than expected. The activities concerned are the validation of all requests for payments, the evaluation and approval of requests for extensions, modifications, derogations related to programmes/projects, the follow up of Joint Monitoring Committees, the follow-up of corrective actions deriving from the EDIS accreditation audits. The original planning was based only on six months needs at headquarters - from July to December rather than on nine to ten months as now appears likely. It is therefore requested to modify the budget comment of the item as regards the amount of the ceiling for staff at headquarters to raise it from EUR 500 000 to EUR 850 000. The overall credit of the line is unchanged.

The Commission therefore proposes to modify as follows the third indent of Item 22 01 04 03:

- expenditure on temporary support staff at headquarters (auxiliaries, detached national experts, staff from employment agencies and temporary staff) working on tasks directly related to the completion of the pre-accession programmes. Expenditure on such staff is limited to EUR 850 000 . This estimate is based on an annual unit cost per man-year, of which 97 % is accounted for by remuneration for the staff concerned and 3 % by the additional cost of training, meetings, missions, IT and telecommunications relating to those staff members.

3.2. Section V (Court of Auditors)

In its initial contribution to AB no 4/2004 (transformation of the Establishment Plan in view of the revised Staff Regulations) and in accordance with the approach agreed at the interinstitutional level, the Court of Auditors initially identified those posts that were accorded in the 2004 budget and still anticipated to be vacant on 30 April 2004 for downgrading to the new basic recruitment grades (after adjustment for the promotions exercise with effect from 1 January 2004 that had still not been completed).

Following the trialogue that took place on 16 March 2004, the Presidency of the Council requested on 18 March 2004 that all institutions provide information as to the anticipated occupation of all permanent posts in their Establishment Plans as at 30 April 2004. The Court duly responded to this request.

As a result of the above, the following downgradings of posts were included in AB no 4/2004:

- 58 "new 2004" and 12 "pre-2004" vacant A7 posts transformed to A*6;

- 5 "new 2004" and 9 "pre-2004" vacant B5 posts transformed to B*3; and

- 7 "new 2004" and 12 "pre-2004" vacant C5 posts transformed to C*1;

Towards the end of 2004, it became increasingly clear within the Court's administrative services that there had been a problem in the adaptation of the Establishment Plan brought about by AB no 4/2004. Intensive and detailed examination of the supporting documents has revealed:

- whilst the number of permanent posts occupied by permanent officials was correctly communicated, four A7, one B5 and twelve C5 posts declared as anticipated as being vacant on 30 April 2004 were in fact filled with temporary staff and should have been regraded as A*8, B*5 and C*2 accordingly; and

- that, following an exercise under Article 47(1) of the Financial Regulation early in 2004, seven B-grade posts were converted into A8 posts and immediately occupied. In order to preserve the normal career progression profiles in place in the Court before the introduction of the revised Staff Regulations and, in particular, to permit promotions from A8 to A7 with effect from 1 January 2004, these seven officials should have been transferred to under-occupy A7 posts before 30 April 2004 and these posts then regraded as A*8. This would have led to the seven now-vacant A8 posts being downgraded to A*5, instead of seven A7 posts being downgraded to A*6.

It is necessary to make adjustments for these oversights as soon as possible. Urgency arises because:

- the Court presently has insufficient C*2 (or higher vacant C*) posts to cover the total number of staff actually in the grade: legally, the employment of these staff is presently covered by vacant posts in other categories and it is necessary to vacate these posts as quickly as possible for recruitment purposes;

- the Court was not able to make any promotions at all in 2004 from A8 to A7, with a significant impact upon the moral and motivation of the staff concerned.

- the correct "starting position" for the application of the revised career progression arrangements set out in the revised Staff Regulation should be established, taking account of the real and correct situation as at 30 April/1 May 2004.

For the reasons outlined above, the Court now seeks the following adjustments to its 2005 Establishment Plan, without any additional corresponding appropriations in the present financial year :

- the regrading of four A*6, one B*3 and twelve C*1 permanent posts as A*8, B*5 and C*2 respectively, to take account of posts declared vacant but actually occupied on 30 April 2004 by temporary staff; and

- the regrading of seven A*6 posts to A*8 and, correspondingly, the downgrading of seven A*7 posts to A*5 to restore the promotion possibilities of some of the A8 (now A*7) staff in post on 30 April 2004.

The Court is including these adjustments in the present Preliminary Draft Amending Budget. It is to be noted that these adjustments cannot be made through Article 47(1) of the Financial Regulation as the volume of staff appropriations corresponding to a full financial year will be affected in 2006 and beyond.

The proposed revision to the Establishment Plan is summarised in the table overleaf. The revision affects only permanent staff in the Establishment Plan.

Category and grade | Establishment plan[3] |

Permanent posts | Temporary posts[4] |

2004[5] | 2005 | 2004[6] | 2005 |

Non-category | — | — | 1 | 1 |

A*16 | — | — | — | — |

A*15 | 8 | 9 | — | — |

A*14 | 32[7] | 31[8] | 28 | 28 |

A*13 | — | 3 | — | — |

A*12 | 54[9] | 53[10] | 13[11] | 12[12] |

A*11 | 51 | 49 | 28 | 28 |

A*10 | 47 | 52 | 1 | 1 |

A*9 | 20 | 40[13] | — | — |

A*8 | 92 | 92 | — | — |

A*7 | 7 | — | — | — |

A*6 | 70 | 73[14] | — | — |

A*5 | — | 7[15] | — | — |

Total | 381 | 409 | 71 | 70 |

B*11 | - | 3 | — | — |

B*10 | 20 | 17 | — | — |

B*9 | — | 3 | — | — |

B*8 | 13 | 10 | — | — |

B*7 | 15 | 15 | 26[16] | 26[17] |

B*6 | 7 | 7 | — | — |

B*5 | 7 | 8 | — | — |

B*4 | — | — | — | — |

B*3 | 14 | 16[18] | — | — |

Total | 76 | 79 | 26 | 26 |

C*7 | — | 3 | — | — |

C*6 | 34[19] | 33 | — | — |

C*5 | 28 | 28 | — | — |

C*4 | 26 | 28 | 25 | 26[20] |

C*3 | 15 | 16 | — | — |

C*2 | 12 | 19 | — | — |

C*1 | 19 | 17[21] | — | — |

Total | 134 | 144 | 25 | 26 |

D*5 | — | 2 | — | — |

D*4 | 9 | 7 | — | — |

D*3 | — | — | — | — |

D*2 | 1 | 1 | 13 | 13 |

Total | 10 | 10 | 13 | 13 |

Grand total[22] | 601[23] | 642[24] | 135 | 135 |

3.3. Section VI (European Economic and Social Committee)

A modification is necessary on the revenue side of the budget of the EESC due to an error of the method of calculation of the revenue occurred in the establishment of its budget estimates for 2005. The amount involved is a decrease of EUR 2 949 944 under Article 4 0 4 "Proceeds of special levy from the salaries of members of the institutions, officials and other servants in active employment", and it will be reflected in the relevant revenue part of the budgetary annex.

3.4. Section VIII part B (European Data-protection Supervisor)

The European Data-protection Supervisor proposes two further changes to his budget having a neutral financial consequence.

The first is dictated by the fact that the budget does not envisage any line for the recruitment of agency staff; but it is necessary to leave the possibility open for such an event. The EDPS therefore proposes the creation in personal Chapter B-11 "in activity", in article B-117 "complementary Services", of a B-1176 heading "Other benefits and work to be entrusted to the outside", with the indication "token entry" in the part reserved for the appropriations.

Moreover, in accordance with the list of the posts for 2004, the EDPS proposes to transform the three new temporary posts (2 A and 1 B) mentioned in the list of the posts for 2005 in permanent posts. There are for this several reasons: a) the EDPS would like to be able to recruit first of all officials, by transfer or by selection on the lists of candidates; and b) it would also make it possible to ensure the same treatment for all newly recruited persons.

These proposals are made within this Amending Budget because of the need of publishing urgently the relevant posts.

Category and grade | European Data-protection Supervisor |

2005 | 2004 |

Permanent posts | Temporary posts | Permanent posts | Temporary posts |

Non-category | — | — | — | — |

A*16 | — | — | — | — |

A*15 | — | — | — | — |

A*14 | 1 | — | 1 | — |

A*13 | — | — | — | — |

A*12 | — | — | — | — |

A*11 | 2 | — | 2 | — |

A*10 | 2 | — | 2 | — |

A*9 | 1 | — | 1 | — |

A*8 | 1 | — | 1 | — |

A*7 | — | — | — | — |

A*6 | 1 | — | 1 | — |

A*5 | 2 | — | — | — |

Total | 10 | 0 | 8 | — |

B*11 | — | — | — | — |

B*10 | — | — | — | — |

B*9 | — | — | — | — |

B*8 | — | — | — | — |

B*7 | 1 | — | 1 | — |

B*6 | 1 | — | 1 | — |

B*5 | — | — | — | — |

B*4 | 1 | — | — | — |

B*3 | 2 | — | 2 | — |

Total | 5 | 0 | 4 | — |

C*7 | — | — | — | — |

C*6 | — | — | — | — |

C*5 | — | — | — | — |

C*4 | — | — | — | — |

C*3 | 1 | — | 1 | — |

C*2 | 1 | — | 1 | — |

C*1 | 2 | — | 1 | — |

Total | 4 | — | 3 | — |

D*5 | — | — | — | — |

D*4 | — | — | — | — |

D*3 | — | — | — | — |

D*2 | — | — | — | — |

Total | — | — | — | — |

Grand total | 19 | 0 | 15 | — |

4. EFFECT ON THE HEADING 5 MARGIN

This Amending Budget increases the margin of heading 5. Taken into account exclusively the reduction due to the adaptation of the salaries and pensions (EUR -58 513 087) the margin will be EUR 67 313 829.

Indeed, all the other modifications are budgetary neutral.

SUMMARY TABLE BY HEADING OF THE FINANCIAL PERSPECTIVE

Financial perspective Heading/subheading | 2005 Financial perspective | Budget 2005 incl. PDAB 1/2005 | PDAB 2/2005 | Budget 2005 incl. PDAB 1/2005 and PDAB 2/2005 |

|CA |PA |CA |PA |CA |PA |CA |PA | |1. AGRICULTURE | | | | | | | | | |- Agricultural expenditure |44 598 000 000 | |42 835 450 000 |42 835 450 000 | | |42 835 450 000 |42 835 450 000 | |- Rural development and accompanying measures |6 841 000 000 | |6 841 000 000 |6 279 400 000 | | |6 841 000 000 |6 279 400 000 | |Total |51 439 000 000 | |49 676 450 000 |49 114 850 000 | | |49 676 450 000 |49 114 850 000 | | Margin | | |1 762 550 000 | | | |1 762 550 000 | | |2. STRUCTURAL ACTIONS | | | | | | | | | |- Structural funds |37 247 000 000 | |37 291 564 455 |29 390 527 704 | | |37 291 564 455 |29 390 527 704 | |- Cohesion fund |5 194 000 000 | |5 131 932 989 |3 005 500 000 | | |5 131 932 989 |3 005 500 000 | |Total |42 441 000 000 | |42 423 497 444 |32 396 027 704 | | |42 423 497 444 |32 396 027 704 | | Margin | | |17 502 556 | | | |17 502 556 | | |3. INTERNAL POLICIES |9 012 000 000 | |9 052 000 000 |7 923 781 439 | | |9 052 000 000 |7 923 781 439 | | Margin | | |-40 000 000 | | | |-40 000 000 | | |4. EXTERNAL ACTIONS |5 119 000 000 | |5 219 000 000 |5 476 162 603 | | |5 219 000 000 |5 476 162 603 | | Margin | | |-100 000 000 | | | |-100 000 000 | | |5. ADMINISTRATION |6 360 000 000 | |6 351 199 258 |6 351 199 258 |-58 513 087 |-58 513 087 |6 292 686 171 |6 292 686 171 | | Margin | | |8 800 742 | | | | 67 313 829 | | |6. RESERVES | | | | | | | | | |- Guarantee reserve |223 000 000 | |223 000 000 |223 000 000 | | |223 000 000 |223 000 000 | |- Reserve for emergency aid |223 000 000 | |223 000 000 |223 000 000 | | |223 000 000 |223 000 000 | |Total |446 000 000 | |446 000 000 |446 000 000 | | |446 000 000 |446 000 000 | | Margin | | |0 | | | |0 | | |7. PRE-ACCESSION AID |3 472 000 000 | |2 081 000 000 |3 286 990 000 | | |2 081 000 000 |3 286 990 000 | | Margin | | | 1 391 000 000 | | | | 1 391 000 000 | | |8. COMPENSATION |1 305 000 000 | |1 304 988 996 |1 304 988 996 | | |1 304 988 996 |1 304 988 996 | | Margin | | | 11 004 | | | | 11 004 | | | TOTAL |119 594 000 000 |114 235 000 000 |116 554 135 698 |106 300 000 000 | -58 513 087 |-58 513 087 | 116 495 822 611 |106 241 486 913 | | Margin | | |3 039 864 302 |7 935 000 000 | | |3 098 177 389 |7 993 513 087 | |

[1] OJ L 248, 16.09.2002, p.1.

[2] " The Budgetary Authority invites the Commission to submit not later than March 2005 an amending budget containing exclusively the reductions of appropriations for administrative expenditure of the institutions resulting from the annual adaptation of the salaries and pensions ."

[3] The table takes account of the amendments introduced by the Institution with effect from financial year 2003 in accordance with Article 47(1) of the Financial Regulation of 25 June 2002.

[4] The actual grade at which the posts assigned to the Private Offices are occupied will follow the same grading criteria as for officials recruited before 1 May 2004.

[5] The figures shown have taken amending budget No 4/2004 into account.

[6] The figures shown have taken amending budget No 4/2004 into account.

[7] Of which one A*15 ad personam .

[8] Of which one A*15 ad personam .

[9] Of which one A*14 ad personam .

[10] Of which one A*14 ad personam .

[11] Removal of three NAI posts.

[12] Removal of one NAI post.

[13] Fourteen new posts which can be converted into A*13 posts for nationals from the new Member States.

[14] Of which 7 new posts.

[15] Seven new posts.

[16] Secretarial assistant posts, of which two B*8 ad personam.

[17] Secretarial assistant posts, of which one B*8 ad personam.

[18] Of which three new posts.

[19] Of which two B*7 ad personam.

[20] Of which one new post.

[21] Of which 10 new posts.

[22] Part-time working in certain posts may be offset by the employment of other staff, within the limit of the balance of posts thus released in each category.

[23] Not including the virtual reserve, without allocation of appropriations, for seconded officials in Private Offices (one A*14, six A*11, seven A*10, five A*8, one B*10, one B*8, one B*7, one B*6, one B*5, 12 C*6, four C*5, five C*4, two C*3, two C*2, one D*4, three D*3).

[24] Not including the virtual reserve, without allocation of appropriations, for seconded officials in Private Offices (one A*14, six A*11, seven A*10, five A*8, one B*10, one B*8, one B*7, one B*6, one B*5, 12 C*6, four C*5, five C*4, two C*3, two C*2, one D*4, three D*3).