1. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín Structural instruments - Regulatory Context in Brief Overview

2. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín Objectives for Community Support of Regional Policy Objective 1: For NUTS II regions whose per capita GDP (in PPP) is lower than 75% of EU average (94/96 data) Objective 2: For areas affected by socio-economic restructuring Objective 3: For regions not covered by Objective 1 - to support all human resources actions across a Member State

3. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín Objective 1 List of eligible regions decided by the European Commission 22% of EU population 69.7% of the funds (136 billion EURO) Outermost and ex-Objective 6 regions included as Objective 1 regions Transitional period of 6 or 7 years for areas losing eligibility Objective 1 funds also for PEACE and Swedish coast programmes

4. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín Objective 2 Total coverage = 18% of EU population 11,6% of the funds (22,5 billion EURO) Indicative coverage of 4 strands at EU level: - industrial and service areas (10%) - rural areas (5%) - urban areas (2%) - fisheries-dependent areas (1%) Transitional period of 6 years for areas losing eligibility

5. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín Objective 3 12.3% of the funds (24 billion EURO) Adapting and modernising systems of education, training and employment: - accompanying economic and social changes - lifelong education and training systems - active labour market policies to fight unemployment - promoting social inclusion and equal opportunities

6. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín Structural Instruments European Regional Development Fund European Social Fund European Agriculture Guarantee and Guidance Fond (EAGGF) Financial Instrument for Fisheries Guidance Cohesion Fund

7. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín European Regional Development Fund Mission: “to redress regional imbalances in Community” “to promote stable and sustainable development” Fields of intervention: productive investment to create and/or safeguard permanent jobs infrastructure endogenous potential - local development - SMEs technical assistance

8. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín European Social Fund Mission: “human resource development and employment” Fields of intervention: Support for multi-annual National Action Plans - active labour market policies to promote integration - social inclusion/ equal opportunities - lifelong learning systems - training for innovation and adaptability - improved participation of women Local development and Territorial Employment Pacts Information society

9. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín European Agriculture Guarantee and Guidance Fund (EAGGF) Mission: “support CAP, rural development and improvement of agricultural structures” Fields of intervention: ‘Accompanying’ measures - early retirement - agri-environment - forestry - less-favoured areas - Other measures - restructuring of farms - setting up of young farmers - training - processing and marketing Rural development measures

10. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín Financial Instrument for Fisheries Guidance Mission: “balanced resource management and competitive structures” Fields of intervention: Measures to ensure a sustainable balance to supply and demand Strengthening competitiveness Processing and marketing Revitalisation of fisheries areas

11. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín Cohesion Fund Mission: support for improvement of transport infrastructure and environment Eligibility criteria: - for countries with a GNP/inhabitant lower than 90% of the EU average - for projects in transport and environment fields Annual budget: 2,615 billion EURO per year Review of eligibility in 2003

12. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín Planning and use of funding instruments (1 ) Objective 1 1 CSF, with 1 OP per region (or SPD if < 1 billion EURO) funded by the ERDF, ESF, EAGGF-Guidance, FIFG

13. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín Planning and use of funding instruments (2) Objective 2 1 SPD per region (NUTS II level) funded by the ERDF, ESF (EAGGF-Guarantee) Objective 3 1 SPD per country funded by the ESF Community Initiatives: Community Initiatives: one Fund per Initiative

14. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín Partnership arrangements (1) A more decentralised cohesion policy Within the Member States: widening and deepening definition of the partnershipWithin the Member States: widening and deepening definition of the partnership X regional and local authorities and other competent authorities economic and social partners other competent bodies including NGOs, environmental sector etc. active involvement of partners in all stages of programming

15. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín Partnership arrangements (2) A more decentralised cohesion policy Between the Commission and the Member StatesBetween the Commission and the Member States a clear definition of responsibilities with three key players - the Commission - the programme Management Authority - the Monitoring Committee

16. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín Programming: 4 main steps 1.Programme guidance issued by the Commission 2.Development plans submitted by Member States after consultation with partners 3.Adoption of strategy by the Commission: - quantified strategic targets - priorities - funding allocations 4. Detailed programming of measures by Management Authority and Monitoring Committees

17. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín Planning and programming timetable Plans and programmes to cover 7 years (except of transition areas) Plans submitted by Member States within 4 months after list of eligible regions is concluded Commission decision within 5 months of receiving plans: CSF or SPD Commission decision within 5 months of receiving proposed OPs Member States to submit Programme Complement within 3 months of approval of SPD or OP

18. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín Requirements on plans and programmes Regional Developments Plans: - reinforced ex- ante evaluation CSF, SPDs: - strategic priorities, financial allocations a. methods of implementation SPDs and OPs will no longer contain measures, as they did before Programme Complement: measures, finance by measure, beneficiaries, publicity actions

19. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín Programming: who does what? (1) Commission: determines eligible regions and indicative financial allocations establishes programme guidance adopts (modifies) programmes only at the level of strategic priorities monitories at strategic level approves large-scale projects (>EURO 50 million)

20. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín Programming: who does what? (2) Member State-Managing Authority: prepares plans prepares and adopts the programming complement sub-delegates responsibilities as necessary - global grants selects projects prepares annual report implements the mid-term evaluation ensures that information and publicity rules are adhered to

21. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín Programming: who does what? (3) Member State - Monitoring Committee agrees on Programming complement lays down project selection criteria monitors programme implementation: - proposes programme changes to Management Authority - agrees on proposals to change Programming complement approves mid-term evaluation agrees Annual report

22. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín Principle of Additionality ”The Funds may not replace public or other equivalent structural expenditure by the Member State” Three verifications: ex-ante, mid-term, ex-post measured against structural expenditures in all Objective 1 regions (for Objective 1)......or expenditures on active labour market policies outside Objective 1 regions (for Objectives 2 and 3)

23. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín Ceilings on co-financing rates calculated at measure level general conditions unchanged new ceilings where substantial revenue generated from infrastructure: - Objective 1: 40% + 10% for Cohesion Fund states - Objective 2: 25% - can be 10% higher if not direct grants and where investment in firms: - Objective 1: 35% - Objective 2: 15% - can be 10% higher for SMEs if not direct grants

24. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín Monitoring arrangements: A more transparent implementation Key annual meetings encounter: - Commission and Management Authority for management questions - Commission and control authorities for control questions Monitoring of targets for quantified indicators Mid-term review of implementation Improved information and publicity system

25. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín Evaluation: a tool for better programming ex-ante evaluation submitted by Member State with plans; new emphasis on - employment situation - environmental impact - equality between men and women mid-term evaluation implemented by Managing authority using an independent expert: consequences for reprogramming ex-post evaluation implemented by European Commission by 2009

26. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín Financial Management Combining simplification and efficiency Automatic annual commitments Automatic de-commitment of unused resources Payment on account of 7% on the adoption of the programme New system of reimbursements against expenditure incurred Final payment of 5% at closure of programme Flat-rate indexation of 2% built into budget with review for 2004-2006

27. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín Financial Control A clearer division of responsibilities Member States are responsible for: - efficient systems for financial control - prevention of irregularities - correction of irregularities - ensuring compliance with Community law Commission is responsible for: - checks on efficiency of financial control systems - consequences: possible suspension or cancellation of payments - organisation of annual meetings

28. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín The performance reserve A new tool to encourage improved performance 4% of national resources allocated before 31.3.2004 Assessment of programme performance based on: - realisation of aims decided ex-ante - the quality of the programme management - the absorption of EU resources and their leverage effect - choice of indicators by Member State, based on proposals by Commission Member State proposes successful programmes Allocation of Funds by the Commission

29. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín Closing ongoing programmes Programmes before 1994 - requests for payments until 31.3.2001 - automatic decommitments until 30.9.2001 Programmes from period 1994- 1999: - requests for payments until 31.3.2003 - automatic decommitments until 30.9.2003

30. Information Overview SF: Regulatory Context Workshops for EC Delegation Patrick Colgan,Ján Krištín Commission implementing decisions Eligibility of expenditure (article 30) Use of the EURO (article 33) Financial control (article 38) Financial corrections (article 39) Information and Publicity (article 46) ….others if necessary