EU budget & funds Flashcards

Question

What is EDES?

Answer 1

Early Detection & Exclusion system = database of persons or entities excluded from contracts financed by EU budget (e.g., due to deficiencies)

Answer 2

Budgetary commitment always before legal commitment (can only pay when there is money) exception: framework contract

Answer 3

the higher the co-financing, the more costs the EU takes over

Answer 4

1 AAR by DG; achievement of key policy objectives and core activities; Management report of the Director-General (AOD) Reasonable assurance will be checked by EP; hearings

Answer 5

Special legislative procedure set out in article 312 TFEU (Council acts unanimously after obtaining EP consent); expenditure in EU's annual budgets must comply with MFF ceilings EP has to consent by majority Council adopts regulation unanimously, except if European council adopts unanimously a decision that council can adopt MFF by QM

Answer 6

1.211 trillion (1.074 trillion in 2018 prices)

Answer 7

1. Solidarity and Emergency Aid Reserve (SEAR) 2. European Globalisation Adjustment Fund (EGF) 3. Brexit Adjustment Reserve 4. Flexibility instrument 5. Single Margin Instrument (SMI)

Answer 8

€189.4 billion in commitments and €142.6 billion in payments biggest factors: - €53.7 billion for the Common Agricultural Policy - €47.9 billion for regional development and cohesion - €13.6 billion for research and innovation, of which €12.9 billion for Horizon Europe

Answer 9

- creation of a Ukraine facility, based on grants, loans and guarantees, with an overall capacity of €50 billion in the period 2024-2027. The funds for the grants and guarantees will be mobilised annually via a new proposed Special Instrument (Ukraine Reserve) that can finance all pillars of the instrument: Pillar I (Ukrainian plan), Pillar II (guarantees), Pillar III (technical assistance). - Strategic Technologies for Europe Platform (STEP) to promote the EU's long-term competitiveness on critical technologies, in the fields of digital and deep tech, clean tech and biotech. Builds on on existing programmes such as InvestEU, Innovation Fund, Horizon Europe's European Innovation Council, European Defence Fund, EU4Health, Digital Europe, while incentivising further funding from the Recovery and Resilience Facility (RRF), and cohesion policy funds. - An efficient mechanism to cater for the higher NextGenerationEU funding costs due to the unprecedented surge in interest rates. A new special ‘EURI Instrument' will cover exclusively the costs that come on top of the original projections that were made in 2020. - increase of heading 4 (mirgration and border management) by 2 billion - increase of heading 6 (neighbourhood and the world) by 10.5 billion - increase Solidarity and Emergency Aid Reserve (SEAR) by €2.5 billion. - raise the ceiling of Heading 7 by €1.9 billion. - increase the flexibility Instrument by €3 billion

Answer 10

7.5bn Five areas: - high-performance computing: €2.2 billion - artificial intelligence: €2 billion - cybersecurity and trust: €1.6 billion - advanced digital skills: €577 million - deployment, best use of digital capacities, and interoperability: €1 billion

Answer 11

Article 106a

Answer 12

Article 314 TEFU Article 106a Euratom Treaty Articles 36 to 52 of the Financial Rules (Regulation (EU, Euratom) No 966/2012 of 25 October 2012 on the financial rules applicable to the general budget of the Union Interinstitutional Agreement (IIA) between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management approved by Parliament on 19 November 2013 and by the Council on 2 December 2013 entered into force on 23rd December 2013

Answer 13

1970 - Parliament gained the right to have a say over 'non-compulsory expenditure’, which initially amounted to 8% of the budget (it amounted more than 60% in the 2010 budget) 1975 - gave Parliament the right to reject the budget as a whole

Answer 14

1) Draft budget established by COM based on guidelines for budget priorities laid down by Parliament & Council forwards it to the Council and Parliament by 1 September at the latest (under Article 314(2) TFEU), but by the end of April or beginning of May according to the pragmatic timetable 2) Establishment of Council position on draft budget forwards it to Parliament by 1 October at the latest (under Article 314(3) TFEU), but by the end of July according to the pragmatic timetable 3) Establishment of Parliament position on draft budget Parliament has 42 days in which to react to Council Within that period, it may either approve the Council’s position or decline to take a decision > budget adopted otherwise parliament can adopt amendments by a majority of its component members, in which case the amended draft is referred back to the Council and to the Commission 4) President of Council & Parliament must convene conciliation committee From the day on which it is convened, the Conciliation Committee (composed of the representatives of the members of the Council and an equal number of representatives of Parliament) has 21 days to agree on a joint text. Must take its decision by a qualified majority of the members of the Council or their representatives and by a majority of the representatives of Parliament. Commission part of reconciliation committee for moderation If failure of compromise after 21 days: new draft budget must be produced by COM If the Conciliation Committee does agree on a joint text within the deadline, then Parliament and the Council have 14 days from the date of that agreement in which to approve the joint text.

Answer 15

In the event that no agreement has been reached by the beginning of a financial year, a system of provisional twelfths is put in place until an agreement can be reached. In this case, a sum equivalent to no more than one twelfth of the budget appropriations for the preceding financial year may be spent each month in respect of any chapter of the budget. That sum must not, however, exceed one twelfth of the appropriations provided for in the same chapter of the draft budget. However, under Article 315 of the TFEU, the Council may, on a proposal from the Commission, authorise expenditure in excess of one twelfth (in accordance with Article 16 of the Financial Rules) unless Parliament decides within 30 days to reduce the expenditure authorised by the Council.

Answer 16

Parliament has rejected the budget as a whole on two occasions (in December 1979 and December 1984) since acquiring the power to do so in 1975. Under the Lisbon rules, the Conciliation Committee has thrice failed to reach agreement (on the 2011, 2013 and 2015 budgets). In all three cases, the new draft budget presented by the Commission, reflecting the near- compromise in conciliation, was finally adopted.

Answer 17

Emergency Aid Reserve, the European Union Solidarity Fund, the Flexibility Instrument, the European Globalisation Adjustment Fund Contingency Margin

Answer 18

The European Council and the Council of the European Union (hereinafter ‘the Council’) have agreed to share section II of the EU Budget (Article 43(b) of the Financial Regulation), which is why the general budget only has ten sections and not eleven, although the European Council and the Council are separate institutions.

Answer 19

Convened by its president, the European Council brings together the heads of state or government of the 28 Member States and the President of the Commission (Article 15(2) TEU). The High Representative of the Union for Foreign Affairs and Security Policy takes part in its work. The President of the European Parliament is usually invited to speak at the beginning of the meeting (Article 235(2) TFEU)

Answer 20

elected by the European Council for a once-renewable two-and-a-half-year term Presidents so far: van Rompoy, Tusk, Michel

Answer 21

- usually decides issues by consensus - a number of important appointments are made by qualified majority: - appointment of European Council president - choice of the candidate to be elected President of the European Commission - appointment of the High Representative of the Union for Foreign Affairs and Security Policy - appointment of the President of the European Central Bank

Answer 22

Adopted in 2018 Commission made a proposal for targeted adjustments in May 2022 establishing the unified funding approach as the main approach to markets for all borrowing Adopted in Sept 2024 (ensure readiness in times of crises and better protected and more transparent EU budget)

Answer 23

2025: 191 commitments - 146 payments 2024: 189 (commitments) - 142 (payments) 2023: 186 - 168 2022: 169 - 170 2021: 164 - 166

Answer 24

Heading 1: Single Market, Innovation and Digital - 151.3 bn Heading 2: Cohesion, Resilience and Values - 429.4bn Heading 3: Natural Resources and Environment - 401bn Heading 4: Migration and Border Management - 26.2bn Heading 5: Security and Defence - 14.9bn Heading 6: Neighbourhood and the World - 110.6bn Heading 7: European Public Administration - 82.5bn

Answer 25

1) Research & Innovation - Horizon Europe 95bn (out of which 5.4 bn are NGEU) - Euratom Research and Training Programme 1.98bn - ITER 5.61 bn 2) European Strategic Investments - InvestEU 10.28bn (out of which 6.7bn are NGEU) - aim of triggering a new wave of over €372 billion in investment in the period 2021-27 - Connecting Europe Facility 20.73bn - Digital Europe Programme 7.59bn 3) Single Market - Single Market Programme 4.21bn - EU Anti-Fraud Programme 0.18bn - Cooperation in the field of taxation (FISCALIS) 0.26bn - Cooperation in the field of customs (CUSTOMS) 0.95bn 4) Space - European Space Programme 14.88bn

Answer 26

1) Regional Development & Cohesion - European Regional Development Fund (ERDF) 226.05bn - Cohesion Fund (CF) 48.03bn out of which 11.29bn are transferred to the Connecting Europe facility - REACT-EU 50.62bn under NGEU - Support to the Turkish Cypriot community 0.24bn 2) Recovery and Resilience - Recovery and Resilience Facility 723.82bn - Technical Support Instrument 0.86bn - Protection of the Euro Against Counterfeiting 0.006bn - Union Civil Protection Mechanism (rescEU) 3.32bn (out of which 2.06 are NGEU) - EU4Health 5.75bn 3) Investing in People, Social Cohesion & Values - European Social Fund+ 99.26bn - Erasmus+ 26.51bn - European Solidarity Corps 1.01bn - Justice Programme 0.30bn - Citizens, Equality, Rights and Values Programme 1.56bn - Creative Europe 2.53bn

Answer 27

1) Agriculture & Maritime Policy - European Agricultural Guarantee Fund (EAGF) - 291.09bn - European Agricultural Fund for Rural Development (EAFRD) 95.51bn (out of which 8.07 NGEU) - European Maritime, Fisheries and Aquaculture Fund ( EMFAF) - 6.11bn 2) Environment & Climate Action - Programme for the Environment and Climate Action (LIFE) - 5.43bn - Just Transition Fund 19.32bn (out of which 10.87 are NGEU)

Answer 28

1) Migration - Asylum, Migration and Integration Fund 9.88bn 2) Border Management - Integrated Border Management Fund 7.39bn

Answer 29

1) Security - Internal Security Fund 1.93bn - Nuclear Decommissioning (Lithuania) 0.55bn - Nuclear Safety and Decommissioning 0.62bn 2) Defense - European Defense Fund 7.95bn

Answer 30

1) External Action - Global Europe: Neighbourhood, Development and International Cooperation Instrument (NDICI) - 80.59bn of which € 1.13 billion of reflows from the European Development Fund (indicative amount) - Humanitarian Aid - 11.57bn - Common Foreign and Security Policy - 2.68bn - Overseas Countries and Territories 0.5bn 2) Pre-Accession Assistance - Pre-Accession Assistance 14.16bn

EU budget & funds Flashcards

(57 cards)