PURPOSE : Council Recommendation on the implementation of the EU's budget for the European Agency for Safety and Health at Work covering the financial year 2002.
CONTENT : Taking into account the positive Report from the Court of Auditors concerning the Agency's annual accounts the Council recommends that the European Parliament should give a discharge to the Director of the Agency for the implementation of the budget covering the financial year 2002. The Council does, however, have some comments to make. They concern, in particular, the fact that for the financial year 2001-2002 only EUR 6.2 million, or 89%, of the EUR 7 million has been carried forward in appropriations. Similarly, for the financial year 2002-2003 only EUR 6.2 million has been carried forward in appropriations with EUR 1.6 million having to be cancelled.
In respect to this situation the Council notes that, as has been the case in previous years, the amount of appropriations carried over remains high. The Council, therefore, urges the Agency to take appropriate measure to improve the implementation of the budget in accordance with the principle of annuality.
In addition the Council notes that there are shortcomings relating to co-ordination between the authorising officer for expenditure and the department responsible for financial monitoring. Further shortcomings are identified in the reconciliation procedures concerning carry-overs. All necessary steps should therefore be taken by the Agency to improve the effectiveness of the internal control system. Other areas of concern include the Agency's inventory and the Council calls on the Agency to remedy this problem.
Concerning the legality and reliability of underlying transactions, the Council stresses the importance for the Agency of taking all the necessary measures needed to avoid problems in relation to the monitoring and evaluation of projects financed and contracts concluded by the Agency. Thus, special emphasis should be given to the content and timeliness of the final products delivered.
Lastly, the Council notes that the Agency has modified its decision setting up the imprest account in accordance with observations formulated by the Court of Auditors.�