1. Cohesion Policy 2014-2020: Integrated territorial approaches
Christian Svanfeldt
European Commission
Directorate-General for Regional and Urban Policy
‘Inclusive growth, Urban and territorial development’
Bucharest 11 October 2013

2. We need to invest in our cities…
…but not just question of levels of investment
We need adopt an integrated territorial approach
within new governance frameworks
with new ways of working across sectoral boundaries
with a wider set of partners, including citizens
focusing on long-term shared objectives
A qualitative shift to exploit the full potential of our cities 2

3. Urban dimension of future cohesion policy

4. Reinforced urban dimension 2014 - 2020
Need for investments in urban areas
Specific urban investment priorities
Need for metropolitan governance
Integrated Territorial Investments
Need for integrated interventions at neighbourhood and local level
Urban integrated development
Community-led local development
Need for innovative approaches
Innovative urban actions
Need for exchange of experience and cooperation
Urban development network + URBACT III

5. Investment priorities targeted at urban areas article 5 of the ERDF regulation
4(e) promoting low-carbon strategies for all types of territories, in particular for urban areas, including the promotion of sustainable multi-modal urban mobility and mitigation relevant adaptation measures;
6(e) action to improve the urban environment, revitalisation of cities, […] regeneration and decontamination of brownfield sites (including conversion areas), reduction of air pollution and promotion of noise-reduction measures;
9(b) support for physical, economic and social regeneration of deprived communities in urban and rural areas.

6. CLLD I TI Concentration on Europe 2020 priorities Instruments
Thematic
dimension:
Concentration on Europe 2020 priorities
Smart growth
Research & Innovation
ICT
SME
Sustainable growth
Low-carbon
Resource-efficiency
Risk-prevention
Transport
Inclusive growth
Employment
Social inclusion
Education
Territorial
dimension:
Instruments
Integrated strategies and actions
Urban <=> rural linkages
Urban neighbourhoods I TI
CLLD
Cities and towns
Functional urban areas, metropolitan regions
Other functional economic or geographic areas
Rural areas

7. Reinforced integrated urban dimension
Earmarking for integrated sustainable urban development
At least 5% of the ERDF dedicated to integrated actions for sustainable urban development
delegated to urban authorities
to tackle economic, environmental, climate, demographic and social challenges……
affecting urban areas […], including cities, peri-urban areas and deprived urban neighbourhoods
taking into account the need to promote urban-rural linkages
Innovative actions in sustainable urban development
Support new ways of working, focusing on tomorrow's challenges
330 M€ in MFF
Urban development network
To promote exchange of experience ensure the quality of the implementation of sustainable urban development

8. Sustainable urban development article 7 of the ERDF regulation
1. support through strategies setting out integrated actions
1a. undertaken through Integrated Territorial Investments or through a specific operational programme, or a specific [multi-thematic] priority axis [CPR Article 87(1)(c)].
2. principles for the selection of urban areas and an indicative allocation for national level in Partnership Agreement
2a. Delegation to “Urban Authorities; shall be responsible for tasks relating at least to the selection of operations
CPR = Common Provisions Regulation

9. Integrated long-term strategies Functional urban areas
..need to invest in our cities…
...integrated territorial approach
…new governance frameworks
…across sectoral boundaries
…wider set of partners
…long-term shared objectives
Integrated long-term strategies
Functional urban areas
Place- and people-based
Participative approaches
Intervention logic:
What are the needs, challenges and potential of the urban areas?
What change is desired? What are the specific urban development objectives?
Which thematic objectives that can help to achieve the change?
How can the thematic investments be delivered in an integrated way? 9

10. Territorial tools Integrated Territorial Investments (ITI)
Community-Led Local Development (CLLD)

11. ITI & CLLD - inside the strategic framework
Partnership Agreement
Overall priorities, territorial challenges & approaches CF
Idem
ERDF
Fund specific investment priorities related to Europe 2020 thematic objectives
ESF
Idem
EAFRD
Idem
EMFF
Idem
CLLD
ITI

12. Integrated Territorial Investments (ITI)

13. Integrated Territorial Investment (ex. art
Integrated Territorial Investment (ex. art. 99 of the Common Provisions for ERDF & ESF)
Implementation tool for area-based strategies requiring integrated investments under more than one priority axis or operational programme
Focused on urban areas or other functional territories
Can be implemented by a Managing Authority, a local administration (e.g. city) or other entity
Operational Programme should identify planned ITIs and set out indicative financial allocations

14. Basic features A voluntary tool for Member States
Must be based on an integrated territorial strategy
Can cover any sub-national territory as well as multiple categories of regions
Can cross national borders
Can include any form of support (including Financial Instruments, FIs)
Can include elements implemented through community-led local development (CLLD)

15. ITI –interventions 15 Intervention logic Scope
Interventions under ITI should contribute to the objectives of the corresponding investment priorities and to the objectives of the territorial strategy
Scope
What for? instead of What?
Determined by the territorial strategy and the investment priorities of the priority axes contributing to ITI 15

16. ITI – what are the advantages?
ITI secures various funding streams at its inception – allow a greater degree of certainty and predictability for implementation
Selection of operations: not nesessarily competitive (calls for proposals), can be negotiated programming
Potential synergies (using different funds in a timely, strategic way) may lead to better aggregate outcome
Delegation of management has the potential to empower the sub-regional actors by insuring their involvement from the beginning of the programme
Increased ownership of strategy and actions 16

17. Strategic programming requirements
Approach should ensure a coordinated use of the ESI Funds
Partnership Agreement sets out the approach to integrated territorial development including the general approach to the use of ITIs
(types of) areas where ITIs will be used, the ESI funds to be implemented through ITIs, basic implementation and coordination arrangements between ESI Funds
Operational programmes sets out where and how ITIs will be used
the indicative (overall) financial allocation to ITIs from each priority axis, the arrangements for coordination between MAs concerned + elements related to integrated actions for sustainable urban development
ESI = European Structural and Investment Funds

18. Delegation of tasks, control & audit
Delegation of implementation tasks is not mandatory (except for integrated actions for sustainable urban development under ERDF Art 7)
Delegation of MA and CA tasks=delegation of tasks to an intermediate body
All general rules and principles as regards the delegation of management tasks apply
The arrangements for delegation, management and control require careful consideration and coordination – simpler if the extent of delegation from all MAs is the same, if control and audit are coordinated

19. Monitoring and reporting
ITI is an implementation tool, not an objective in itself
ITI must contribute to the achievement of the thematic objectives, investment priorities and specific objectives set out in the contributing programmes
Financial and indicator data is traced back to contributing priority axes
Specific indicators can be used at management level to assess the implementation of individual ITIs

20. Possible implementation arrangements
for multi-OP ITI
MS designate an IB for management and implementation of an ITI
Define investment priorities of priority axes of the OPs contributing to the ITI
Agreed compliance and eligibility rules adopted by each MC of participating OPs
Joint Monitoring Sub-Committee with relevant OPs
Common monitoring and evaluation, progress report
Financial management: monitoring system for the programmes provides for the identification of operations of a priority axis 20

21. ITI: possible implementation arrangement
Regional
ERDF-OP
National/sectoral
ERDF-OP
ESF-OP
Intermediate
body
(Urban) Territory
+ Complementary funding from EAFRD and/or EMFF
Strategy

22. ITI in ETC Relevant to cross-border and trans-national programmes
ETC general rules and principles apply
Cross –border impact must be preserved
Delegation of implementation tasks – only to joint bodies (EGTC or other joint legal body established under the laws of one of the participating countries)
ITI creates the possibility to combine actions financed from different strands of ETC and mainstream programmes

23. Community-Led Local Development (CLLD)

24. Community-Led Local Development article 28§1 of Common Provisions
focused on specific sub-regional territories;
community-led, by local action groups composed of representatives of public and private local socio- economic interests, no majority partner
Carried out through integrated and multi-sectoral area- based local development strategies;
considering local needs and potential, include networking and (where relevant) cooperation.
ERDF article 5 investment priority 9 (d): investments undertaken in the context of Community-led local development strategies

25. Community-led local development under future cohesion policy
Optional for ERDF and ESF
Member States should indicate in their Partnership Agreement and Operational Programmes whether and where community CLLD will be implemented (can concern entire territory)
Incentives:
CLLD actions financed under one thematic objective - (ERDF, ESF & EAFRD: promoting social inclusion and combating poverty) – but allows funding strategies and projects with wider scope
An entire priority axis dedicated to CLLD benefits from 10% higher co-financing rate

26. Support to CLLD from the CSF Funds article 31 of Common Provisions
costs of preparatory support;
implementation of operations under the local development strategy;
preparation and implementation of cooperation activities of the local action group;
running costs and animation of the local development strategy up to the limit of 25 % of the total public expenditure incurred within the local development strategy.

27. Why CLLD in all CSF Funds?
Integrated territorial approach allowing more coherence and synergies between the CSF Funds
URBAN Community Initiatives have proven relevance in urban areas
Allows interventions in peri-urban
Supports urban-rural partnerships
No more white spots on the map

28. CLLD in the strategic programming Partnership Agreement
implementation arrangements of CLLD:
(types of) territories, focus, funding, Fund coordination
ERDF national/
regional programme(s)
EAFRD national/
regional programme(s)
ESF national/
regional programme(s)
EMFF national
programme(s)
Coordinated call and selection procedure between Funds
ESF LAGs
ERDF LAGs
Multi-fund LAGs
EARDF LAGs
EMFF LAGs

29. Programming multiple ESI Funds CLLD strategy
Partnership Agreement
ESF national/
regional programme(s)
ERDF national/
regional programme(s)
EAFRD national/
regional programme(s)
EMFF national
programme(s)
Indicative allocation for CLLD
Joint Selection committee
Multiple ESI Funds Local Development Strategy

30. CLLD strategies – selection (article 29 of Common Provisions)
Selected for EU funding under the responsibility of the relevant managing authorities
Approval decision should set out:
the allocations of each CSF Fund
the roles of the authorities responsible for the implementation of the relevant programmes for the implementation tasks relating to the strategy
NOTE:
First round of selection to be completed within two years of the approval of the Partnership Agreement
Member States may select additional CLLD strategies after that date but no later than by 31 December 2017

31. Multiple ESI Funds CLLD strategy - optional LOCAL DEVELOPMENT STRATEGY
ERDF funding
EAFRD funding
ESF funding
EMFF funding
LOCAL DEVELOPMENT STRATEGY
ESF project
EMFF project
Financing of running costs, animation, networking
possible by "lead Fund"
ERDF
project
EAFRD project
Local Action Group
Local governments
Local entrepreneurs
(local) NGOs, civil society

32. Strategic choices to be made in Partnership Agreement
Challenges to tackle & objectives of CLLD
Territories to target
Which funds to use
Interaction and coordination between funds
Mono vs. multiple ESI funded strategies
Lead fund
Preparatory support
=> Need to be reflected in Operational Programmes

33. Mono vs. multi-fund; areas to target
Simplicity vs. scope and resources
Distinct rural, urban, fisheries areas vs. mixed territories (e.g., peri-urban areas, etc)
Demarcation vs. integration (e.g., urban-rural partnerships)
Community engagement vs. critical mass

34. - Lead Fund option for multi-funded LDS
Tools to simplify implementation of "multi- funded" local development strategies
- Lead Fund option for multi-funded LDS
A “Lead Fund” can be designated at the level of each LDS to cover the running costs, animation and networking activities
- Use of a "joint" intermediate body as "a one stop shop"
- LAGs as intermediate bodies

35. Critical issues Use of CLLD in urban areas
CLLD optional for ERDF & ESF - reluctance of MS to invest due to small scale of operations and potentially high error rates
lack of capacity to set up LAGs where CLLD could make a real difference (e.g., deprived neighbourhoods)
Deadline for selection and approval of CLLD strategies
need to accommodate for continuity of existing groups, time required to set up new groups and time needed for implementation of strategies;

36. CLLD in cities: URBACT experiences
Small areas within cities, e.g., deprived urban neighbourhoods and historic centres etc.
URBACT examples: REG GOV, SURE, CTUR, REDIS, LINKS, REPAIR, HERO
Smaller cities and their surrounding rural areas
URBACT examples: Esimec, Creative Clusters…..
Target group approaches
URBACT examples: My Generation, Romanet, Active Age…
Thematic approaches
URBACT examples: Active Travel, EVUE, CASH, SUITE, HERO
Conditions: strong involvement of community of users, focussed but integrated strategy, appropriate (functional) areas - larger if justified .Possibility of dealing with urban-rural links for the theme or target group.
Source: Paul Soto URBACT

37. CLLD in cities: Berlin Neighbourhood Management programme
Transformation of deprived city areas
Offering local people the opportunity to take decisions about their own neighbourhoods through Neighbourhood Councils
Help people to build partnerships and revitalise their urban environment
Enabling Berlin to become a ‘socially integrative city’
Co-financed by the European Regional Development Fund
REGIO STARS 2013 winner of CityStar category

38. Relation between ITI and CLLD

39. ITI
CLLD
Urban development strategy or other territorial strategy or pact
Bottom-up integrated area-based strategy
Flexible – but generally top-down, public sector-led
Bottom-up, community-led (public, private, civil society)
Target areas or the principles by which strategies will be selected should be set out in Partnership Agreement
MS define selection criteria and target areas, selection of CLLD strategies through competitive procedure by responsible MA(s)
Any size as long as focused on a coherent functional geography
Sub-regional (10.000– inh.- except duly justified cases)
Single fund (ERDF, ESF or CF) or several funds (ERDF, ESF and/or CF complemented by EAFRD and/or EMFF)
Single fund or several funds (ERDF, ESF, EAFRD and/or EMFF)
Implementation by designated intermediate body or MA
Strategy & implementation by local action group
Optional
Optional (except for EAFRD)

40. Relation between ITI and CLLD
Territorial strategy implemented through ITI can have CLLD as one component (e.g., urban strategy ITI with specific neighbourhood targeting through CLLD)
BUT consistency have to be ensured between ITI and CLLD strategies
AND CLLD should go through selection procedure required in Art 29(3)–(5) of CPR and described in the PA and OPs 40

41. More information: Future regional policy
Examples of Local Development approaches funded by
ESF
ERDF
EFF

42. Thank you! christian.svanfeldt@ec.europa.eu ec.europa.eu/inforegio