En En Amendments

EUROPEAN PARLIAMENT 2009 - 2014

Committee on Economic and Monetary Affairs

2011/0386(COD)

13.3.2012

AMENDMENTS 47 - 287

Draft report Elisa Ferreira (PE483.469v01-00)

on common provisions for monitoring and assessing draft budgetary plans and ensuring the correction of excessive deficit of the Member States in the euro area

Proposal for a regulation (COM(2011)0821 – C7-0448/2011 – 2011/0386(COD))

AM\895611EN.doc PE485.870v01-00

EN United in diversity EN AM_Com_LegReport

PE485.870v01-00 2/144 AM\895611EN.doc EN Amendment 47 Pervenche Berès, Liem Hoang Ngoc

Proposal for a regulation –

Proposal for rejection

The European Parliament rejects the Commission proposal.

Or. en

Justification

The provisions of this regulation are highly pro-cyclical and can only lead to an aggravated recession without allowing a consistent and effective fiscal consolidation. They consist in imposing the implementation of austerity measures which are prone to further depress activity, not only in the Member States directly concerned, but in the whole euro area because of the strong interdependence of economies.

Amendment 48 Miguel Portas, Jürgen Klute

Proposal for a regulation –

Proposal for rejection

The European Parliament rejects the Commission proposal.

Or. pt

Amendment 49 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Title 1

Text proposed by the Commission Amendment

Proposal for a REGULATION OF THE Proposal for a REGULATION OF THE EUROPEAN PARLIAMENT AND OF EUROPEAN PARLIAMENT AND OF

AM\895611EN.doc 3/144 PE485.870v01-00 EN THE COUNCIL on common provisions for THE COUNCIL on common provisions for monitoring and assessing draft budgetary monitoring and assessing draft budgetary plans and ensuring the correction of plans, monitoring progress towards the excessive deficit of the Member States in achievement of Union growth and job the euro area strategy, establishing enhanced policy coordination framework for common sovereign debt instruments and ensuring the correction of excessive deficit of the Member States in the euro area

Or. en

Amendment 50 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Citation 1

Text proposed by the Commission Amendment

Having regard to the Treaty on the Having regard to the Treaty on the Functioning of the European Union, and in Functioning of the European Union, and in particular Article 136 in combination with particular Article 136 in combination with Article 121(6) thereof, Articles 121(6) and 352 thereof,

Or. en

Amendment 51 Danuta Jazłowiecka

Proposal for a regulation Recital 1

Text proposed by the Commission Amendment

(1) The Treaty requires that Member (1) The Treaty requires that Member States' regard their economic policies as a States' regard their economic policies as a matter of common concern and that their matter of common concern and that their budgetary policies are guided by the need budgetary policies are guided by the need for sound public finances and that their for sound public finances and that their economic policies do not risk jeopardising economic policies do not risk jeopardising the proper functioning of Economic and the proper functioning of economic and Monetary Union. monetary union and of the Union as a

PE485.870v01-00 4/144 AM\895611EN.doc EN whole.

Or. en

Amendment 52 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Recital 2

Text proposed by the Commission Amendment

(2) The Stability and Growth Pact, in (2) The Stability and Growth Pact, in particular Regulations (EC) No 1466/97 of particular Regulations (EC) No 1466/97 of 7 July 1997 on the strengthening of the 7 July 1997 on the strengthening of the surveillance of budgetary positions and the surveillance of budgetary positions and the surveillance and coordination of economic surveillance and coordination of economic policies and Council Regulation (EC) No policies and Council Regulation (EC) No 1467/97 of 7 July 1997 on speeding up and 1467/97 of 7 July 1997 on speeding up and clarifying the implementation of the clarifying the implementation of the excessive deficit procedure, designed to excessive deficit procedure, aiming at secure budgetary discipline across the securing budgetary discipline across the Union, sets out the framework for Union, sets out the framework for preventing and correcting excessive preventing and correcting excessive government deficits. It has been further government deficits. It has been further strengthened by Regulation No …/2011 of strengthened by Regulation (EU) No the European Parliament and of the .../2011 of the European Parliament and of Council amending Regulation (EC) No the Council amending Regulation (EC) No 1466/97 on the strengthening of the 1466/97 on the strengthening of the surveillance of budgetary positions and the surveillance of budgetary positions and the surveillance and coordination of economic surveillance and coordination of economic policies and Regulation (EU) No …/2011 policies and Regulation (EU) No .../2011 amending Regulation (EC) No 1467/97 on amending Regulation (EC) No 1467/97 on speeding up and clarifying the speeding up and clarifying the implementation of the excessive deficit implementation of the excessive deficit procedure. Regulation (EC) No …/2011 of procedure. Regulation (EC) No .../2011 of the European Parliament and of the the European Parliament and of the Council on the effective enforcement of Council on the effective enforcement of budgetary surveillance in the euro area budgetary surveillance in the euro area added a system of effective, preventive and added a system of effective, preventive and gradual enforcement mechanisms in the gradual enforcement mechanisms in the form of financial sanctions for the Member form of financial sanctions for the Member States whose currency is the euro. States whose currency is the euro.

Or. en

AM\895611EN.doc 5/144 PE485.870v01-00 EN Amendment 53 Elisa Ferreira

Proposal for a regulation Recital 2 a (new)

Text proposed by the Commission Amendment

(2a) The European semester includes (a) the formulation, and the surveillance of the implementation, of the broad economic policies of the Member States and of the Union (broad economic policy guidelines) in accordance with Article 121(2) TFEU; (b) the formulation, and the examination of the implementation, of the employment guidelines that must be taken into account by Member States in accordance with Article 148(2) TFEU (employment guidelines); (c) the submission and assessment of Member States' stability or convergence programmes under Regulation (EC) 1466/97 as amended by Regulation (EC) 1175/2011; (d) the submission and assessment of Member States' national reform programmes supporting the Union's strategy for growth and jobs and established in line with the guidelines set out in point (a) and (b) and with the general guidance to Member States issued by the Commission and the European Council at the beginning of the annual cycle of surveillance; (e) surveillance to prevent and correct macroeconomic imbalances under Regulation (EU) No 1176/2011 of the European Parliament and of the Council of 16 November 2011 on the prevention and correction of macroeconomic imbalances.

Or. en

PE485.870v01-00 6/144 AM\895611EN.doc EN Amendment 54 Pervenche Berès, Liem Hoang Ngoc

Proposal for a regulation Recital 3

Text proposed by the Commission Amendment

(3) The amendments to the Stability and deleted Growth Pact increase both the guidance, and, for the Member States whose currency is the euro, incentives for the setting and the implementation of a prudent budgetary policy, while avoiding excessive government deficits. These provisions have created a more robust framework at the level of the Union for the surveillance of national economic policies.

Or. en

Justification

The revised Stability Pact does not include any positive incentive for an effective balanced budgetary policy promoting sustainable growth. The implementation of the current framework is pro-cyclical by imposing the implementation of austerity measures, driving the euro area economy towards an aggravated recession.

Amendment 55 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Recital 3

Text proposed by the Commission Amendment

(3) The amendments to the Stability and (3) The amendments to the Stability and Growth Pact increase both the guidance, Growth Pact aim at increasing both the and, for the Member States whose currency guidance, and, for the Member States is the euro, incentives for the setting and whose currency is the euro, enforcement the implementation of a prudent budgetary measures for the setting and the policy, while avoiding excessive implementation of a prudent budgetary government deficits. These provisions have policy, while avoiding excessive created a more robust framework at the government deficits. These provisions have

AM\895611EN.doc 7/144 PE485.870v01-00 EN level of the Union for the surveillance of aim at creating a more robust framework national economic policies. at the level of the Union for the surveillance of national economic policies.

Or. en

Amendment 56 Marianne Thyssen

Proposal for a regulation Recital 3

Text proposed by the Commission Amendment

(3) The amendments to the Stability and (3) The amendments to the Stability and Growth Pact increase both the guidance, Growth Pact increase both the guidance, and, for the Member States whose currency and, for the Member States whose currency is the euro, incentives for the setting and is the euro, incentives for the setting and the implementation of a prudent budgetary the implementation of a prudent budgetary policy, while avoiding excessive policy, in particular through reinforced government deficits. These provisions have and more automatic sanctions, while created a more robust framework at the avoiding excessive government deficits. level of the Union for the surveillance of These provisions have created a more national economic policies. robust framework at the level of the Union for the surveillance of national economic and budgetary policies.

Or. en

Amendment 57 Marianne Thyssen

Proposal for a regulation Recital 3 a (new)

Text proposed by the Commission Amendment

(3a) The revised Stability and Growth Pact is based on the objective of sound government finances as a means of strengthening the conditions for price stability and for strong sustainable growth underpinned by financial stability, thereby supporting the achievement of the

PE485.870v01-00 8/144 AM\895611EN.doc EN Union's objectives for sustainable growth and employment.

Or. en

Amendment 58 Philippe De Backer

Proposal for a regulation Recital 3 a (new)

Text proposed by the Commission Amendment

(3a) Due attention should be paid to the Europe 2020 Strategy for Growth and Jobs and how it is implemented by Member States via their national reform programmes.

Or. en

Amendment 59 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Recital 4

Text proposed by the Commission Amendment

(4) The Treaty allows the adoption of (4) The Treaty allows the adoption of specific measures in the euro area which go specific measures in the euro area which go beyond the provisions applicable to all beyond the provisions applicable to all Member States in order to ensure the Member States in order to ensure the proper functioning of the Economic and proper functioning of the economic and Monetary Union. monetary union. More active use, whenever appropriate and necessary, should be made of specific measures provided for in Article 136 and Articles 326 to 334 TFEU in order to create the necessary conditions for a deeper and more resilient integration which should go hand in hand with enhanced democratic legitimacy of the economic

AM\895611EN.doc 9/144 PE485.870v01-00 EN and monetary union.

Or. en

Amendment 60 Marianne Thyssen

Proposal for a regulation Recital 4

Text proposed by the Commission Amendment

Or. en

Amendment 61 Gunnar Hökmark

Proposal for a regulation Recital 4 a (new)

Text proposed by the Commission Amendment

(4a) Sound public finances and balanced budgets are a prerequisite for economic and financial stability as clearly demonstrated by the sovereign debt crisis, underlining the need for strong and solid fiscal frameworks. Furthermore, the deficits of today, associated with stagnated economies, highlight the need for reforms rather than increased spending.

Or. en

PE485.870v01-00 10/144 AM\895611EN.doc EN Amendment 62 Marianne Thyssen

Proposal for a regulation Recital 4 a (new)

Text proposed by the Commission Amendment

(4a) Member States should refrain from adopting any measure which could jeopardise the attainment of the Union's objectives in the framework of the economic and monetary union, in particular the practice of accumulating debts outside the general government accounts.

Or. en

Amendment 63 Pervenche Berès, Liem Hoang Ngoc

Proposal for a regulation Recital 4 a (new)

Text proposed by the Commission Amendment

(4a.) Since it has a poor theoretical basis and its use would lead to unreliable empirical results, the ‘structural deficit’ as a concept could not serve as a frame for Member States’ economic and budgetary policies.

Or. fr

Amendment 64 Marianne Thyssen

Proposal for a regulation Recital 5

AM\895611EN.doc 11/144 PE485.870v01-00 EN Text proposed by the Commission Amendment

(5) Strong public finances are best ensured (5) Strong public finances are best ensured at the planning stage and gross errors at the planning stage and gross errors should be identified as early as possible. should be identified as early as possible. Member States should benefit not just from Member States should benefit not just from the setting of guiding principles and the setting of guiding principles and budgetary targets but also from a budgetary targets but also from a synchronised monitoring of their budgetary synchronised monitoring of their budgetary policies. policies. With a view to better coordinating the planning of their national debt issuance Member States need to report ex-ante on their public debt issuance plans.

Or. en

Amendment 65 Derk Jan Eppink

Proposal for a regulation Recital 5

Text proposed by the Commission Amendment

(5) Strong public finances are best ensured (5) Strong public finances are best ensured at the planning stage and gross errors at the planning stage and gross errors should be identified as early as possible. should be identified as early as possible. Member States should benefit not just from Member States should benefit not just from the setting of guiding principles and the setting of guiding principles and budgetary targets but also from a budgetary targets but also from a synchronised monitoring of their budgetary synchronised monitoring of their budgetary policies. policies, public debt issuances, and excessive deficit correction measures.

Or. en

Amendment 66 Elisa Ferreira, Liem Hoang Ngoc, Pervenche Berès

Proposal for a regulation Recital 5

PE485.870v01-00 12/144 AM\895611EN.doc EN Text proposed by the Commission Amendment

(5) Strong public finances are best ensured (5) Strong public finances and coordinated at the planning stage and gross errors economic policies are best ensured at the should be identified as early as possible. planning stage and gross errors should be Member States should benefit not just from identified as early as possible. Member the setting of guiding principles and States should benefit not just from the budgetary targets but also from a setting of guiding principles and budgetary synchronised monitoring of their budgetary targets but also from a synchronised policies. monitoring of their budgetary and macroeconomic policies.

Or. en

Amendment 67 Anneli Jäätteenmäki, Sari Essayah

Proposal for a regulation Recital 5

Text proposed by the Commission Amendment

(5) Strong public finances are best ensured (5) Strong public finances are best ensured at the planning stage and gross errors at the planning stage and gross errors, should be identified as early as possible. which tend to be made most often in Member States should benefit not just from economic boom years, should be identified the setting of guiding principles and as early as possible. Member States should budgetary targets but also from a benefit not just from the setting of guiding synchronised monitoring of their budgetary principles and budgetary targets but also policies. from a synchronised monitoring of their budgetary policies.

Or. fi

Amendment 68 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Recital 5

AM\895611EN.doc 13/144 PE485.870v01-00 EN Text proposed by the Commission Amendment

Or. en

Amendment 69 Diogo Feio, Rodi Kratsa-Tsagaropoulou

Proposal for a regulation Recital 5 a (new)

Text proposed by the Commission Amendment

(5a) The aim of this Regulation is to put in place further European mechanisms for the coordination and surveillance of Member States budgetary and economic policies. Nevertheless, prudence should be shown in all steps of the way, and for this reason, no matters related to the Member States debt issuance plans, the renewal of outstanding debt and other relevant operations should be made public, and they should be used for internal coordination only. This arises from the potential risk that a Member State may be subject to by making its financial needs known in advance to the financial markets.

Or. en

Amendment 70 Diogo Feio

PE485.870v01-00 14/144 AM\895611EN.doc EN Proposal for a regulation Recital 5 b (new)

Text proposed by the Commission Amendment

(5b) Furthermore, the Commission should put forward a report, and if necessary a proposal, to the European Parliament and to the Council, evaluating the possibility of the creation of a European debt authority that would be responsible for managing and coordinating all issues related with the annual debt issuance plan of the Member States, the renewal of outstanding debt, and the assessment of the sustainability of all Member States governments debt. Moreover, that authority should periodically publish data related to Member States public debt, deficit and other macroeconomic indicators.

Or. en

Amendment 71 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Recital 6

Text proposed by the Commission Amendment

(6) Setting-up a common budgetary (6) Setting-up a common budgetary timeline for Member States whose timeline for Member States whose currency is the euro should better currency is the euro should better synchronize the key steps in the synchronize the key steps in the preparation of national budgets, thus preparation of national budgets and contributing to the effectiveness of the sovereign debt issuance, thus contributing European semester for budgetary policy to the effectiveness of the European coordination. Adopting a common semester for budgetary policy coordination. budgetary timeline should lead to stronger Adopting a common budgetary timeline synergies by facilitating policy should lead to stronger synergies by coordination among Member States whose facilitating policy coordination among currency is the euro and ensure that the Member States whose currency is the euro Council and Commission and ensure that the Council and

AM\895611EN.doc 15/144 PE485.870v01-00 EN recommendations are appropriately Commission recommendations based on integrated in the national process for Articles 121 and 126 TFEU are budget adoption. appropriately integrated in the national process for budget adoption.

Or. en

Amendment 72 Marianne Thyssen

Proposal for a regulation Recital 6

Text proposed by the Commission Amendment

(6) Setting-up a common budgetary (6) Setting-up a common budgetary timeline for Member States whose timeline for Member States whose currency is the euro should better currency is the euro should better synchronize the key steps in the synchronize the key steps in the preparation of national budgets, thus preparation of national budgets, thus contributing to the effectiveness of the contributing to the effectiveness of the European semester for budgetary policy European semester for economic and coordination. Adopting a common budgetary policy coordination. Adopting a budgetary timeline should lead to stronger common budgetary timeline should lead to synergies by facilitating policy stronger synergies by facilitating policy coordination among Member States whose coordination among Member States whose currency is the euro and ensure that the currency is the euro and ensure that the Council and Commission Council and Commission recommendations are appropriately recommendations are appropriately integrated in the national process for integrated in the national process for budget adoption. budget adoption.

Or. en

Amendment 73 Marianne Thyssen

Proposal for a regulation Recital 6 a (new)

Text proposed by the Commission Amendment

(6a) The draft central government budgetary plan, which is to be published

PE485.870v01-00 16/144 AM\895611EN.doc EN no later than 15 October should be accompanied by the publication of the main parameters of the draft budgetary plans of all the subsectors of the general government, together with the independent macroeconomic forecasts on which they are based.

Or. en

Amendment 74 Diogo Feio, Rodi Kratsa-Tsagaropoulou

Proposal for a regulation Recital 6 a (new)

Text proposed by the Commission Amendment

(6a) The common budgetary plan timeline must be, at its most, coherent with the Member States budgetary timeframe. If not a Commission opinion regarding the draft budgetary plans has the potential risk of lacking democratic legitimacy in the national parliaments.

Or. en

Justification

The current timeline of this proposal creates the risk of making Commission opinions inoperable and as a consequence making the draft budgetary plans obsolete and unnecessary.

Amendment 75 Marianne Thyssen

Proposal for a regulation Recital 6 b (new)

Text proposed by the Commission Amendment

(6b) Where the budget is not adopted by 31 December as provided by this Regulation, reversionary budget

AM\895611EN.doc 17/144 PE485.870v01-00 EN procedures should be in place to ensure that the government can still discharge its essential duties.

Or. en

Amendment 76 Pervenche Berès, Liem Hoang Ngoc

Proposal for a regulation Recital 7

Text proposed by the Commission Amendment

(7) There is strong evidence showing the deleted effectiveness of rules-based fiscal frameworks in supporting sound and sustainable fiscal policies. The introduction of national fiscal rules that are consistent with the budgetary objectives set at Union level should be a crucial element to ensure the respect of the Stability and Growth Pact provisions. In particular, Member States should put in place structural balanced budget rules which transpose into national legislation the main principles of the Union fiscal framework. This transposition should be effective through binding rules preferably of a constitutional nature so as to demonstrate the strongest commitment of national authorities in relation to the Stability and Growth Pact.

Or. en

Justification

There is today no evidence showing the effectiveness of rules-based fiscal frameworks in supporting sound and sustainable fiscal policies. Moreover, the current framework designed for the introduction of national fiscal rules as stated in the Treaty on Stability, Coordination and Governance (TSCG) are procyclical and will only lead to a prolonged recession within the euro area.

PE485.870v01-00 18/144 AM\895611EN.doc EN Amendment 77 Philippe Lamberts, Pascal Canfin, Emilie Turunen

Proposal for a regulation Recital 7

Text proposed by the Commission Amendment

(7) There is strong evidence showing the (7) There is strong evidence showing the effectiveness of rules-based fiscal effectiveness of rules-based fiscal frameworks in supporting sound and frameworks in supporting sound and sustainable fiscal policies. The introduction sustainable fiscal policies. The introduction of national fiscal rules that are consistent of national fiscal rules that are consistent with the budgetary objectives set at Union with the budgetary objectives set at Union level should be a crucial element to ensure level should be a crucial element to ensure the respect of the Stability and Growth Pact the respect of the Stability and Growth Pact provisions. In particular, Member States provisions. should put in place structural balanced budget rules which transpose into national legislation the main principles of the Union fiscal framework. This transposition should be effective through binding rules preferably of a constitutional nature so as to demonstrate the strongest commitment of national authorities in relation to the Stability and Growth Pact.

Or. en

Amendment 78 Marianne Thyssen

Proposal for a regulation Recital 7

Text proposed by the Commission Amendment

AM\895611EN.doc 19/144 PE485.870v01-00 EN provisions. In particular, Member States provisions. In particular, Member States should put in place structural balanced should put in place structural balanced budget rules which transpose into national budget rules through provisions of binding legislation the main principles of the force and permanent character, preferably Union fiscal framework. This constitutional, or otherwise guaranteed to transposition should be effective through be fully respected and adhered to binding rules preferably of a constitutional throughout the national budgetary nature so as to demonstrate the strongest processes. The Member States should put commitment of national authorities in in place at national level an automatic relation to the Stability and Growth Pact. correction mechanism including the nature, the size and the time-frame of the corrective action to be undertaken, also in the case of exceptional circumstances. That mechanism should fully respect the prerogatives of national parliaments.

Or. en

Justification

Updating the draft regulation according to the Treaty on Stability, Coordination and Governance in the Economic and Monetary Union.

Amendment 79 Gunnar Hökmark

Proposal for a regulation Recital 7

Text proposed by the Commission Amendment

(7) There is strong evidence showing the (7) Economic research as well as practical effectiveness of rules-based fiscal experience clearly vindicates the highly frameworks in supporting sound and significant role played by rules-based sustainable fiscal policies. The introduction fiscal frameworks in supporting sound and of national fiscal rules that are consistent sustainable fiscal policies. The introduction with the budgetary objectives set at Union of national fiscal rules that are consistent level should be a crucial element to ensure with the budgetary objectives set at Union the respect of the Stability and Growth Pact level should be a crucial element to ensure provisions. In particular, Member States the respect of the Stability and Growth Pact should put in place structural balanced provisions. Member States shall for the budget rules which transpose into national purpose of further anchoring the legislation the main principles of the Union provisions of the Stability and Growth fiscal framework. This transposition should Pact put in place structural balanced be effective through binding rules budget rules which transpose into national preferably of a constitutional nature so as legislation the main principles of the Union

PE485.870v01-00 20/144 AM\895611EN.doc EN to demonstrate the strongest commitment fiscal framework. This transposition should of national authorities in relation to the be effective through binding rules Stability and Growth Pact. preferably of a constitutional nature so as to demonstrate the strongest commitment of national authorities in relation to the Stability and Growth Pact.

Or. en

Amendment 80 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Recital 7

Text proposed by the Commission Amendment

(7) There is strong evidence showing the (7) There is strong evidence showing that effectiveness of rules-based fiscal appropriate and flexible rules-based fiscal frameworks in supporting sound and frameworks can support sound and sustainable fiscal policies. The introduction sustainable fiscal policies. The introduction of national fiscal rules that are consistent of national fiscal rules that are consistent with the budgetary objectives set at Union with the budgetary objectives set at Union level should be a crucial element to ensure level should be a crucial element to ensure the respect of the Stability and Growth Pact the respect of the Stability and Growth Pact provisions. In particular, Member States provisions. In particular, Member States should put in place structural balanced should put in place structural balanced budget rules which transpose into national budget rules which transpose into national legislation the main principles of the Union legislation the main principles of the Union fiscal framework. This transposition should fiscal framework. This transposition should be effective through binding rules be effective through binding rules preferably of a constitutional nature so as preferably of a constitutional nature so as to demonstrate the strongest commitment to demonstrate the strongest commitment of national authorities in relation to the of national authorities in relation to the Stability and Growth Pact. Stability and Growth Pact.

Or. en

Amendment 81 Astrid Lulling

Proposal for a regulation Recital 7

AM\895611EN.doc 21/144 PE485.870v01-00 EN Text proposed by the Commission Amendment

(7) There is strong evidence showing the (7) Experience clearly shows the effectiveness of rules-based fiscal effectiveness of rules-based fiscal frameworks in supporting sound and frameworks in supporting sound and sustainable fiscal policies. The introduction sustainable fiscal policies. The introduction of national fiscal rules that are consistent of national fiscal rules that are consistent with the budgetary objectives set at Union with the budgetary objectives set at Union level should be a crucial element to ensure level should be a crucial element to ensure the respect of the Stability and Growth Pact the respect of the Stability and Growth Pact provisions. In particular, Member States provisions. In particular, Member States should put in place structural balanced should put in place structural balanced budget rules which transpose into national budget rules which transpose into national legislation the main principles of the Union legislation the main principles of the Union fiscal framework. This transposition should fiscal framework. This transposition should be effective through binding rules be effective through binding rules preferably of a constitutional nature so as preferably of a constitutional nature so as to demonstrate the strongest commitment to demonstrate the strongest commitment of national authorities in relation to the of national authorities in relation to the Stability and Growth Pact. Stability and Growth Pact.

Or. fr

Amendment 82 Burkhard Balz

Proposal for a regulation Recital 7

Text proposed by the Commission Amendment

(7) There is strong evidence showing the (7) There is strong evidence showing the effectiveness of rules-based fiscal effectiveness of rules-based fiscal frameworks in supporting sound and frameworks in supporting sound and sustainable fiscal policies. The introduction sustainable fiscal policies. The introduction of national fiscal rules that are consistent of national fiscal rules that are consistent with the budgetary objectives set at Union with the budgetary objectives set at Union level should be a crucial element to ensure level should be a crucial element to ensure the respect of the Stability and Growth Pact the long-term respect of the Stability and provisions. In particular, Member States Growth Pact provisions. In particular, should put in place structural balanced Member States should put in place budget rules which transpose into national structural balanced budget rules which legislation the main principles of the Union transpose into national legislation the main fiscal framework. This transposition should principles of the Union fiscal framework. be effective through binding rules This transposition should be effective

PE485.870v01-00 22/144 AM\895611EN.doc EN preferably of a constitutional nature so as through binding rules preferably of a to demonstrate the strongest commitment constitutional nature so as to demonstrate of national authorities in relation to the the strongest commitment of national Stability and Growth Pact. authorities in relation to the Stability and Growth Pact.

Or. de

Amendment 83 Gunnar Hökmark

Proposal for a regulation Recital 7 a (new)

Text proposed by the Commission Amendment

(7a) The extent of sovereign indebtedness in the Union is a paramount challenge which should be addressed if the economy is to return to a stable and resilient growth trend in the short as well as the long term. A significant time span will elapse before the average level of indebtedness among Member States re- enters the 60 % trajectory stipulated by the Stability and Growth Pact. Fulfilment of the medium-term budgetary objectives is a fundamental precondition in this regard while deviating from them could trigger soaring interest rates and thereby threaten growth and recovery.

Or. en

Amendment 84 Elisa Ferreira

Proposal for a regulation Recital 8

Text proposed by the Commission Amendment

(8) Biased and unrealistic macroeconomic (8) Biased and unrealistic macroeconomic and budgetary forecasts can considerably and budgetary forecasts can considerably

AM\895611EN.doc 23/144 PE485.870v01-00 EN hamper the effectiveness of budgetary hamper the effectiveness of budgetary planning and consequently impair planning and consequently impair commitment to budgetary discipline. commitment to budgetary discipline. Forecasts from independent bodies can Forecasts from credible and independent provide unbiased and realistic bodies can provide unbiased and realistic macroeconomic forecasts. macroeconomic forecasts, once their comparability and coherence has been granted. The Commission will make public minimum requirements for those independent bodies in order to ensure their credibility and independence.

Or. en

Amendment 85 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Recital 8

Text proposed by the Commission Amendment

(8) Biased and unrealistic macroeconomic (8) Biased and unrealistic macroeconomic and budgetary forecasts can considerably and budgetary forecasts can considerably hamper the effectiveness of budgetary hamper the effectiveness of budgetary planning and consequently impair planning, generate substantial and commitment to budgetary discipline. avoidable costs and consequently impair Forecasts from independent bodies can commitment to budgetary discipline. provide unbiased and realistic Forecasts from independent bodies should macroeconomic forecasts. help providing unbiased and realistic macroeconomic forecasts. Underlying models and assumptions should be disclosed in order to increase transparency and scrutiny.

Or. en

Amendment 86 Marianne Thyssen

Proposal for a regulation Recital 8

PE485.870v01-00 24/144 AM\895611EN.doc EN Text proposed by the Commission Amendment

(8) Biased and unrealistic macroeconomic (8) Biased and unrealistic macroeconomic and budgetary forecasts can considerably and budgetary forecasts can considerably hamper the effectiveness of budgetary hamper the effectiveness of budgetary planning and consequently impair planning and consequently impair commitment to budgetary discipline. commitment to budgetary discipline. Forecasts from independent bodies can Forecasts from independent bodies can provide unbiased and realistic provide unbiased and realistic macroeconomic forecasts. macroeconomic forecasts. The Commission should make public minimum requirements for these independent bodies in order to ensure their credible independence.

Or. en

Amendment 87 Elisa Ferreira, Liem Hoang Ngoc, Pervenche Berès

Proposal for a regulation Recital 8 a (new)

Text proposed by the Commission Amendment

(8a) The Commission should set indicative lower and upper thresholds that are symmetric by drafting the alert mechanism report, in particular with respect to current account balances.

Or. en

Justification

There is today no evidence that an excessive surplus is less harmful than an excessive deficit with respect to internal macroeconomic imbalances within the euro area.

Amendment 88 Burkhard Balz

Proposal for a regulation Recital 9

AM\895611EN.doc 25/144 PE485.870v01-00 EN Text proposed by the Commission Amendment

(9) This gradually strengthened (9) This gradually strengthened surveillance will further complement the surveillance and coordination will existing provisions of the Stability and complete the European Semester for Growth Pact and strengthen the economic policy coordination, further surveillance of budgetary discipline in complement the existing provisions of the Member States whose currency is the euro. Stability and Growth Pact and strengthen A gradually enhanced monitoring the surveillance of budgetary soundness procedure should contribute to better and economic convergence in Member budgetary outcomes to the benefit of all States whose currency is the euro. A Member States whose currency is the euro. gradually enhanced monitoring procedure As part of a gradually strengthened should contribute to better budgetary procedure, a closer monitoring is outcomes to the benefit of all Member particularly valuable to Member States that States whose currency is the euro. As part are subject to an excessive deficit of a gradually strengthened procedure, a procedure. closer monitoring is particularly valuable to Member States that are subject to an excessive deficit procedure.

Or. de

Amendment 89 Anneli Jäätteenmäki, Sari Essayah

Proposal for a regulation Recital 9

Text proposed by the Commission Amendment

(9) This gradually strengthened (9) This gradually strengthened surveillance will further complement the surveillance will further complement the existing provisions of the Stability and existing provisions of the Stability and Growth Pact and strengthen the Growth Pact and strengthen the surveillance of budgetary discipline in surveillance of budgetary discipline in Member States whose currency is the euro. Member States whose currency is the euro. A gradually enhanced monitoring A gradually enhanced monitoring procedure should contribute to better procedure should contribute to better budgetary outcomes to the benefit of all budgetary outcomes to the benefit of all Member States whose currency is the euro. Member States whose currency is the euro, As part of a gradually strengthened without creating a surfeit of unnecessary procedure, a closer monitoring is bureaucracy. As part of a gradually particularly valuable to Member States that strengthened procedure, a closer are subject to an excessive deficit monitoring is particularly valuable to procedure. Member States that are subject to an

PE485.870v01-00 26/144 AM\895611EN.doc EN excessive deficit procedure.

Or. fi

Amendment 90 Marianne Thyssen

Proposal for a regulation Recital 9

Text proposed by the Commission Amendment

(9) This gradually strengthened (9) This gradually strengthened surveillance will further complement the surveillance will further complement the existing provisions of the Stability and existing provisions of the Stability and Growth Pact and strengthen the Growth Pact and strengthen the surveillance of budgetary discipline in surveillance of budgetary discipline in Member States whose currency is the euro. Member States whose currency is the euro. A gradually enhanced monitoring A gradually enhanced monitoring procedure should contribute to better procedure should ultimately contribute to budgetary outcomes to the benefit of all better budgetary outcomes to the benefit of Member States whose currency is the euro. all Member States whose currency is the As part of a gradually strengthened euro and to the benefit of the euro area as procedure, a closer monitoring is a whole. As part of a gradually particularly valuable to Member States that strengthened procedure, a closer are subject to an excessive deficit monitoring is particularly valuable to procedure. Member States that are subject to an excessive deficit procedure.

Or. en

Amendment 91 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Recital 9

Text proposed by the Commission Amendment

AM\895611EN.doc 27/144 PE485.870v01-00 EN surveillance of budgetary discipline in surveillance of budgetary and macro- Member States whose currency is the euro. financial discipline in Member States A gradually enhanced monitoring whose currency is the euro. A gradually procedure should contribute to better enhanced monitoring procedure should budgetary outcomes to the benefit of all contribute to better budgetary outcomes to Member States whose currency is the euro. the benefit of all Member States whose As part of a gradually strengthened currency is the euro. As part of a gradually procedure, a closer monitoring is strengthened procedure, a closer particularly valuable to Member States that monitoring is particularly valuable to are subject to an excessive deficit Member States that are subject to an procedure. excessive deficit procedure.

Or. en

Amendment 92 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Recital 10

Text proposed by the Commission Amendment

PE485.870v01-00 28/144 AM\895611EN.doc EN of the budget law adoption. Such an spill-over effects, so as to give the opinion should ensure that Union's policy possibility for an assessment of possible guidance in the budgetary area is impact for the euro area as a whole. They appropriately integrated in the national should consider their budgetary and more budgetary preparations. In particular, this broadly their economic policy plans to be opinion should include an assessment of of common concern and submit them to the whether or not the budgetary plans Commission for monitoring purposes in appropriately address the recommendations advance of the plans becoming binding. issued in the context of the European The Commission should be in a position, if semester in the budgetary area. The necessary, to adopt an opinion on the draft Commission should stand ready to present budgetary plan, that the Member State and this opinion to the Parliament of the in particular budgetary authorities should Member State concerned at its request. The be invited to take into account in the extent to which this opinion has been taken process of the budget law adoption. Such into account should be part of the an opinion should ensure that Union's assessment, if and when the conditions are policy guidance in the budgetary area is met, leading to the decision to place the appropriately integrated in the national concerned Member State in excessive budgetary preparations. In particular, this deficit procedure, where no follow-up to opinion should include an assessment of the early guidance from the Commission whether or not the budgetary and more should be considered as an aggravating broadly their economic policy plans factor. Also, based on an overall appropriately address the recommendations assessment of the plans by the issued in the context of the European Commission, the Eurogroup should discuss semester in the budgetary area. The the budgetary situation and prospects for Commission should stand ready to present the euro area. this opinion to the Parliament of the Member State concerned at its request. The extent to which this opinion has been taken into account should be part of the assessment, if and when the conditions are met, leading to the decision to place the concerned Member State in excessive deficit procedure, where no follow-up to the early guidance from the Commission should be considered as an aggravating factor. Also, based on an overall assessment of the plans by the Commission, the Eurogroup and the European Parliament should discuss the budgetary situation and prospects for the euro area.

Or. en

Amendment 93 Derk Jan Eppink

AM\895611EN.doc 29/144 PE485.870v01-00 EN Proposal for a regulation Recital 10

Text proposed by the Commission Amendment

(10) As demonstrated by the sovereign (10) As demonstrated by the sovereign debt crisis, and in particular by the need debt crisis, Member States whose currency to put in place common financial is the euro share enhanced spill-overs from backstops, Member States whose currency their budgetary policy. Each of the is the euro share enhanced spillovers from Member States whose currency is the euro their budgetary policy. Each of the should therefore consult the Commission Member States whose currency is the euro and other Member States whose currency should consult the Commission and other is the euro before the adoption of any Member States whose currency is the euro major fiscal policy reform plans with before the adoption of any major fiscal potential spill-over effects, so as to give the policy reform plans with potential spillover possibility for an assessment of possible effects, so as to give the possibility for an impact for the euro area as a whole. They assessment of possible impact for the euro should submit their budgetary plans to the area as a whole. They should consider their Commission for monitoring purposes in budgetary plans to be of common concern advance of the plans becoming binding. and submit them to the Commission for The Commission should be in a position, if monitoring purposes in advance of the necessary, to adopt an opinion on the draft plans becoming binding. The Commission budgetary plan, that the Member State and should be in a position, if necessary, to in particular budgetary authorities should adopt an opinion on the draft budgetary be invited to take into account in the plan, that the Member State and in process of the budget law adoption. Such particular budgetary authorities should be an opinion should include an assessment of invited to take into account in the process whether or not the budgetary plans of the budget law adoption. Such an appropriately address the recommendations opinion should ensure that Union's policy issued in the context of the European guidance in the budgetary area is semester in the budgetary area. The appropriately integrated in the national Commission should present this opinion to budgetary preparations. In particular, this the Parliament of the Member State opinion should include an assessment of concerned at its request and justify all its whether or not the budgetary plans recommendations for adjustments of the appropriately address the recommendations proposed national budget before the issued in the context of the European parliament of the Member State semester in the budgetary area. The concerned takes a simple majority vote on Commission should stand ready to present this opinion, thus democratically deciding this opinion to the Parliament of the whether this opinion will be binding on it Member State concerned at its request. The or not. The extent to which this opinion extent to which this opinion has been taken has been taken into account should be part into account should be part of the of the assessment, if and when the assessment, if and when the conditions are conditions are met, leading to the decision met, leading to the decision to place the to place the concerned Member State in concerned Member State in excessive excessive deficit procedure, where no deficit procedure, where no follow-up to follow-up to the early guidance from the

PE485.870v01-00 30/144 AM\895611EN.doc EN the early guidance from the Commission Commission should be considered as an should be considered as an aggravating aggravating factor. Also, based on an factor. Also, based on an overall overall assessment of the plans by the assessment of the plans by the Commission, the Eurogroup should discuss Commission, the Eurogroup should discuss the budgetary situation and prospects for the budgetary situation and prospects for the euro area. the euro area.

Or. en

Amendment 94 Marianne Thyssen

Proposal for a regulation Recital 10

Text proposed by the Commission Amendment

(10) As demonstrated by the sovereign (10) As demonstrated by the sovereign debt crisis, and in particular by the need to debt crisis, and in particular by the need to put in place common financial backstops, put in place common financial backstops, Member States whose currency is the euro Member States whose currency is the euro share enhanced spillovers from their share enhanced spill-overs from their budgetary policy. Each of the Member budgetary and economic policies. Each of States whose currency is the euro should the Member States whose currency is the consult the Commission and other Member euro should consult the Commission and States whose currency is the euro before other Member States whose currency is the the adoption of any major fiscal policy euro before the adoption of any major reform plans with potential spillover fiscal policy reform plans with potential effects, so as to give the possibility for an spill-over effects, so as to give the assessment of possible impact for the euro possibility for an assessment of possible area as a whole. They should consider their impact for the euro area as a whole. They budgetary plans to be of common concern should consider their budgetary plans to be and submit them to the Commission for of common concern and submit them to the monitoring purposes in advance of the Commission for monitoring purposes in plans becoming binding. The Commission advance of the plans becoming binding. should be in a position, if necessary, to The Commission should be in a position, if adopt an opinion on the draft budgetary necessary, to adopt as soon as possible and plan, that the Member State and in no later than 15 November an opinion on particular budgetary authorities should be the draft budgetary plan, that the Member invited to take into account in the process State and in particular budgetary of the budget law adoption. Such an authorities should be invited to take into opinion should ensure that Union's policy account in the process of the budget law guidance in the budgetary area is adoption. Such an opinion should ensure appropriately integrated in the national that Union's policy guidance in the budgetary preparations. In particular, this budgetary area is appropriately integrated

AM\895611EN.doc 31/144 PE485.870v01-00 EN opinion should include an assessment of in the national budgetary preparations. In whether or not the budgetary plans particular, this opinion should include an appropriately address the recommendations assessment of whether or not the budgetary issued in the context of the European plans appropriately address the semester in the budgetary area. The recommendations issued in the context of Commission should stand ready to present the European semester in the budgetary this opinion to the Parliament of the area. The Commission should stand ready Member State concerned at its request. The to present this opinion without delay to the extent to which this opinion has been taken Parliament of the Member State concerned into account should be part of the at its request. The extent to which this assessment, if and when the conditions are opinion has been taken into account should met, leading to the decision to place the be part of the assessment, if and when the concerned Member State in excessive conditions are met, leading to the decision deficit procedure, where no follow-up to to place the concerned Member State in the early guidance from the Commission excessive deficit procedure, where no should be considered as an aggravating follow-up to the early guidance from the factor. Also, based on an overall Commission should be considered as an assessment of the plans by the aggravating factor. Also, based on an Commission, the Eurogroup should discuss overall assessment of the plans by the the budgetary situation and prospects for Commission, the Eurogroup and the the euro area. competent committee of the European Parliament should discuss the budgetary situation and prospects for the euro area.

Or. en

Justification

If the Commission considers it necessary to adopt an opinion on the draft budgetary plan of a Member State, such an opinion should be adopted as soon as possible and no later than 15 November, in order to give the national parliament of the Member State concerned enough time to debate the opinion properly and integrate its conclusions in the national budgetary procedure.

Amendment 95 Sharon Bowles

Proposal for a regulation Recital 10

Text proposed by the Commission Amendment

PE485.870v01-00 32/144 AM\895611EN.doc EN share enhanced spillovers from their share enhanced spill-overs from their budgetary policy. Each of the Member budgetary policy. The sovereign debt crisis States whose currency is the euro should has also demonstrated the interlinkage consult the Commission and other Member between sovereign debt, financial stability States whose currency is the euro before and bank solvency. Each of the Member the adoption of any major fiscal policy States whose currency is the euro should reform plans with potential spillover consult the Commission and other Member effects, so as to give the possibility for an States whose currency is the euro and assessment of possible impact for the euro should inform the ESRB before the area as a whole. They should consider their adoption of any major fiscal policy reform budgetary plans to be of common concern plans with potential spill-over effects, so as and submit them to the Commission for to give the possibility for an assessment of monitoring purposes in advance of the possible impact for the euro area as a plans becoming binding. The Commission whole. They should consider their should be in a position, if necessary, to budgetary plans to be of common concern adopt an opinion on the draft budgetary and submit them to the Commission for plan, that the Member State and in monitoring purposes in advance of the particular budgetary authorities should be plans becoming binding. The Commission invited to take into account in the process should be in a position, if necessary, to of the budget law adoption. Such an adopt an opinion on the draft budgetary opinion should ensure that Union's policy plan, that the Member State and in guidance in the budgetary area is particular budgetary authorities should be appropriately integrated in the national invited to take into account in the process budgetary preparations. In particular, this of the budget law adoption. Such an opinion should include an assessment of opinion should ensure that Union's policy whether or not the budgetary plans guidance in the budgetary area is appropriately address the recommendations appropriately integrated in the national issued in the context of the European budgetary preparations. In particular, this semester in the budgetary area. The opinion should include an assessment of Commission should stand ready to present whether or not the budgetary plans this opinion to the Parliament of the appropriately address the recommendations Member State concerned at its request. The issued in the context of the European extent to which this opinion has been taken semester in the budgetary area. The into account should be part of the Commission should stand ready to present assessment, if and when the conditions are this opinion to the Parliament of the met, leading to the decision to place the Member State concerned at its request. The concerned Member State in excessive extent to which this opinion has been taken deficit procedure, where no follow-up to into account should be part of the the early guidance from the Commission assessment, if and when the conditions are should be considered as an aggravating met, leading to the decision to place the factor. Also, based on an overall concerned Member State in excessive assessment of the plans by the deficit procedure, where no follow-up to Commission, the Eurogroup should discuss the early guidance from the Commission the budgetary situation and prospects for should be considered as an aggravating the euro area. factor. Also, based on an overall assessment of the plans by the Commission, the Eurogroup should discuss the budgetary situation and prospects for

AM\895611EN.doc 33/144 PE485.870v01-00 EN the euro area.

Or. en

Amendment 96 Danuta Jazłowiecka

Proposal for a regulation Recital 10

Text proposed by the Commission Amendment

(10) As demonstrated by the sovereign (10) As demonstrated by the sovereign debt crisis, and in particular by the need to debt crisis, and in particular by the need to put in place common financial backstops, put in place common financial backstops, Member States whose currency is the euro Member States whose currency is the euro share enhanced spillovers from their share enhanced spill-overs from their budgetary policy. Each of the Member budgetary policy. Each of the Member States whose currency is the euro should States whose currency is the euro should consult the Commission and other Member consult the Commission and other Member States whose currency is the euro before States before the adoption of any major the adoption of any major fiscal policy fiscal policy reform plans with potential reform plans with potential spillover spill-over effects, so as to give the effects, so as to give the possibility for an possibility for an assessment of possible assessment of possible impact for the euro impact for all Member States. They should area as a whole. They should consider consider their budgetary plans to be of their budgetary plans to be of common common concern and submit them to the concern and submit them to the Commission for monitoring purposes in Commission for monitoring purposes in advance of the plans becoming binding. advance of the plans becoming binding. The Commission should be in a position, if The Commission should be in a position, if necessary, to adopt an opinion on the draft necessary, to adopt an opinion on the draft budgetary plan, that the Member State and budgetary plan, that the Member State and in particular budgetary authorities should in particular budgetary authorities should be invited to take into account in the be invited to take into account in the process of the budget law adoption. Such process of the budget law adoption. Such an opinion should ensure that Union's an opinion should ensure that Union's policy guidance in the budgetary area is policy guidance in the budgetary area is appropriately integrated in the national appropriately integrated in the national budgetary preparations. In particular, this budgetary preparations. In particular, this opinion should include an assessment of opinion should include an assessment of whether or not the budgetary plans whether or not the budgetary plans appropriately address the recommendations appropriately address the recommendations issued in the context of the European issued in the context of the European semester in the budgetary area. The semester in the budgetary area. The Commission should stand ready to present Commission should stand ready to present this opinion to the Parliament of the

PE485.870v01-00 34/144 AM\895611EN.doc EN this opinion to the Parliament of the Member State concerned at its request. The Member State concerned at its request. The extent to which this opinion has been taken extent to which this opinion has been taken into account should be part of the into account should be part of the assessment, if and when the conditions are assessment, if and when the conditions are met, leading to the decision to place the met, leading to the decision to place the concerned Member State in excessive concerned Member State in excessive deficit procedure, where no follow-up to deficit procedure, where no follow-up to the early guidance from the Commission the early guidance from the Commission should be considered as an aggravating should be considered as an aggravating factor. Also, based on an overall factor. Also, based on an overall assessment of the plans by the assessment of the plans by the Commission, the Eurogroup should discuss Commission, the Eurogroup should discuss the budgetary situation and prospects for the budgetary situation and prospects for the euro area. the euro area.

Or. en

Amendment 97 Marianne Thyssen

Proposal for a regulation Recital 10 a (new)

Text proposed by the Commission Amendment

(10a) In the event of serious non- compliance with the budgetary obligations laid down in the Stability and Growth Pact, the Commission in its opinion on the draft budgetary plan will request, after consultation with the Member State concerned, a revised draft budgetary plan, in accordance with the provisions of this Regulation. This will be the case in particular where the implementation of the initial budgetary plan would put at risk the financial stability of the Member State concerned or risk jeopardising the proper functioning of the economic and monetary union or where the implementation of the initial budgetary plan would entail an obvious significant violation of the recommendations formulated by the Council under the

AM\895611EN.doc 35/144 PE485.870v01-00 EN Stability and Growth Pact.

Or. en

Amendment 98 Diogo Feio, Rodi Kratsa-Tsagaropoulou

Proposal for a regulation Recital 10 a (new)

Text proposed by the Commission Amendment

(10a) In the context of better coordination and ex ante discussion among Member States of any major economic and fiscal policy reform plans with potential spill- over effects, the Commission should put forward a report, and if necessary a proposal, to the European Parliament and the to Council, with a detailed plan of how will such coordination operate, in what format will the discussions take place, which are the policies contemplated, and what will be the political consequences to the Member States and national parliaments of decisions that may come out of such coordination and ex ante discussion; such Commission opinion shall, at least, incorporate this coordination with the European Semester framework.

Or. en

Amendment 99 Diogo Feio

Proposal for a regulation Recital 10 b (new)

Text proposed by the Commission Amendment

(10b) Furthermore, strengthening economic governance should include a

PE485.870v01-00 36/144 AM\895611EN.doc EN closer and more timely involvement of the European Parliament and the national parliaments. While recognising that the counterparts of the European Parliament in the framework of the dialogue are the relevant institutions of the Union and their representatives, the competent committee of the European Parliament may offer an opportunity to participate in an exchange of views to a Member State which is the subject of a Council decision imposing an interest-bearing deposit or an annual fine in accordance with this Regulation. The Member State's participation in such an exchange of views is voluntary.

Or. en

Justification

Crucial to maintain in the two-pack the economic dialogue of the economic and governance package. Just like the decision making procedure, so does the economic dialogue should be continued.

Amendment 100 Marianne Thyssen

Proposal for a regulation Recital 11

Text proposed by the Commission Amendment

(11) Member States whose currency is the (11) Member States whose currency is the euro and which are subject to an excessive euro and which are subject to an excessive deficit procedure should be monitored deficit procedure should be monitored more closely to secure a full and timely more closely to secure a full and timely correction of the excessive deficit. A closer correction of the excessive deficit. A closer monitoring should ensure early correction monitoring should ensure early correction of any deviations from the Council of any deviations from the Council recommendations to correct the excessive recommendations to correct the excessive deficit. Such monitoring should deficit. Such monitoring should complement the provisions set out in complement the provisions set out in Regulation (EC) No 1467/97. The Regulation (EC) No 1467/97. The modalities of this closer monitoring should modalities of this closer monitoring should be graduated depending on the stage of the be graduated depending on the stage of the

AM\895611EN.doc 37/144 PE485.870v01-00 EN procedure the Member State is subject to, procedure the Member State is subject to, as provided for in Article 126 of the as provided for in Article 126 of the Treaty. Treaty. Member States which are subject to an excessive deficit procedure should present an economic partnership programme including a detailed description of the structural reforms which must be put in place and implemented to ensure an effective and durable correction of their excessive deficits. Where appropriate the social partners will be involved, as it is recognised in the law or national system of each of the Member States.

Or. en

Amendment 101 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Recital 11

Text proposed by the Commission Amendment

(11) Member States whose currency is the (11) Member States whose currency is the euro and which are subject to an excessive euro and which are subject to an excessive deficit procedure should be monitored deficit procedure should be monitored more closely to secure a full and timely more closely to secure a full and timely correction of the excessive deficit. A closer correction of the excessive deficit. A closer monitoring should ensure early correction monitoring should ensure early prevention of any deviations from the Council and correction of any deviations from the recommendations to correct the excessive Council recommendations to correct the deficit. Such monitoring should excessive deficit. Such monitoring should complement the provisions set out in complement the provisions set out in Regulation (EC) No 1467/97. The Regulation (EC) No 1467/97. The modalities of this closer monitoring should modalities of this closer monitoring should be graduated depending on the stage of the be graduated depending on the stage of the procedure the Member State is subject to, procedure the Member State is subject to, as provided for in Article 126 of the as provided for in Article 126 of the Treaty. Treaty.

Or. en

PE485.870v01-00 38/144 AM\895611EN.doc EN Amendment 102 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Recital 12

Text proposed by the Commission Amendment

(12) The closer monitoring for Member (12) The closer monitoring for Member States subject to an excessive deficit States subject to an excessive deficit procedure should allow the identification procedure should allow the identification of risks in the compliance of a Member of risks in the compliance of a Member State's deadline to correct the excessive State's deadline to correct the excessive deficit. In the event of such risks being deficit. In the event of such risks being identified, the Commission should issue a identified, the Commission should issue a recommendation to the Member State for recommendation to the Member State for measures to be taken within a given measures to be taken within a given timeframe that should be presented to the timeframe that should be presented to the Parliament of the Member State concerned Parliament of the Member State concerned at its request. This assessment should allow at its request. This assessment should allow rapid correction of any developments prevention and rapid correction of any putting at risk the correction of the developments putting at risk the correction excessive deficit within the established of the excessive deficit within the deadline. Assessment of compliance with established deadline. Assessment of this Commission recommendation should compliance with this Commission be part of the continuous assessment made recommendation should be part of the by the Commission of effective action to continuous assessment made by the correct an excessive deficit. When deciding Commission of effective action to correct whether effective action to correct the an excessive deficit. When deciding excessive deficit has been taken, the whether effective action to correct the Council should also base its decision on excessive deficit has been taken, the whether or not the Member State complied Council should also base its decision on with the Commission recommendation. whether or not the Member State complied with the Commission recommendation.

Or. en

Amendment 103 Sylvie Goulard

Proposal for a regulation Recital 12 a (new)

AM\895611EN.doc 39/144 PE485.870v01-00 EN Text proposed by the Commission Amendment

(12a) Under a redemption fund, the debt above the reference value laid down in Protocol (No 12) on the excessive deficit procedure could be transferred to a common fund subject to joint liability. A consolidation path would need to be laid down for each Member State according to which it would be obliged to autonomously redeem the transferred debt over a period of 20 to 25 years.

Or. en

Amendment 104 Ramon Tremosa i Balcells, Carl Haglund, Olle Schmidt

Proposal for a regulation Recital 12 a (new)

Text proposed by the Commission Amendment

(12a) The introduction of a European redemption fund is fundamental to ensuring that budgetary discipline is rewarded with affordable interest rates for Member States' debt and to finding a sustainable long-term solution for the European sovereign debt crisis.

Or. en

Amendment 105 Olle Ludvigsson, Elisa Ferreira

Proposal for a regulation Recital 12 a (new)

Text proposed by the Commission Amendment

(12a) In applying this Regulation, the Council and the Commission should fully

PE485.870v01-00 40/144 AM\895611EN.doc EN respect the role of the social partners, as well as differences in the national systems, such as the systems for wage formation.

Or. en

Amendment 106 Ramon Tremosa i Balcells

Proposal for a regulation Recital 12 b (new)

Text proposed by the Commission Amendment

(12b) To improve the democratic legitimacy of enhanced economic governance at Union level, the Commission should propose to the Council a change in the Treaties for a direct election of the President of the Commission.

Or. en

Amendment 107 Ramon Tremosa i Balcells

Proposal for a regulation Recital 12 c (new)

Text proposed by the Commission Amendment

(12c) All provisions to be applied to Member States should also apply to regions with systemic importance, as defined in this Regulation.

Or. en

Amendment 108 Ramon Tremosa i Balcells

AM\895611EN.doc 41/144 PE485.870v01-00 EN Proposal for a regulation Recital 12 d (new)

Text proposed by the Commission Amendment

(12d) Where a sanction is to be applied inside the Union due to excessive deficits, the Commission should analyse the situation following its standardised procedures and should make its analysis public.

Or. en

Amendment 109 Ramon Tremosa i Balcells, Izaskun Bilbao Barandica

Proposal for a regulation Recital 12 e (new)

Text proposed by the Commission Amendment

(12e) All provisions in this Regulation should also be applied to those European regions that have full powers in tax collection and expenditure.

Or. en

Justification

The EJC considers that a regional tax system is autonomous when they have institutional, procedural and economic autonomy. This means that they are neutral in the financial balance of the states they cover. This is the case with the European regions that have powers of their total income and expenses. Therefore it is perfectly consistent that the European Union shall monitor the public accounts situation of these regions. A proper integration of these tax systems in the European framework is also essential to further tax harmonization.

Amendment 110 Ramon Tremosa i Balcells, Ana Miranda

Proposal for a regulation Recital 12 f (new)

PE485.870v01-00 42/144 AM\895611EN.doc EN Text proposed by the Commission Amendment

(12f) The Commission should propose a different structural deficit target for current expenditure and investment expenditure being the lastest a bit higher than the former.

Or. en

Amendment 111 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Recital 13

Text proposed by the Commission Amendment

(13) In order to enhance the dialogue (13) In order to enhance the dialogue between the Union institutions, in between the Union institutions, in particular the European Parliament, the particular the European Parliament, the Council and the Commission, and to ensure Council and the Commission, and to ensure greater transparency and accountability, the greater transparency and accountability, the competent committee of the European competent committees of the European Parliament may offer the opportunity to the Parliament may offer the opportunity to the Member State concerned by a Commission Member State concerned by a Commission recommendation to participate in an recommendation to participate in an exchange of views, exchange of views. Rules should also be provided for strengthening democratic accountability, transparency and scrutiny of budgetary and more broadly euro area economic policy surveillance and coordination. To that end, specific provisions should be provided for, in accordance with national practices for involving national parliaments, the social partners and civil society organisations,

Or. en

Amendment 112 Derk Jan Eppink

AM\895611EN.doc 43/144 PE485.870v01-00 EN Proposal for a regulation Recital 13

Text proposed by the Commission Amendment

(13) In order to enhance the dialogue (13) In order to ensure greater transparency between the Union institutions, in and accountability, the Member State particular the European Parliament, the concerned by a Commission Council and the Commission, and to recommendation should be able to ask to ensure greater transparency and participate in an exchange of views before accountability, the competent committee of the European Parliament's competent the European Parliament may offer the committee(s), opportunity to the Member State concerned by a Commission recommendation to participate in an exchange of views,

Or. en

Amendment 113 Anneli Jäätteenmäki, Sari Essayah

Proposal for a regulation Recital 13

Text proposed by the Commission Amendment

Or. fi

Amendment 114 Philippe Lamberts, Sven Giegold, Bas Eickhout

PE485.870v01-00 44/144 AM\895611EN.doc EN on behalf of the Verts/ALE Group

Proposal for a regulation Recital 13 a (new)

Text proposed by the Commission Amendment

(13a) Budgetary plans and structural reforms should be consistent with the protection of social rights and should avoid increasing inequalities. Therefore budgetary discipline should not be implemented to the detriment of medium and long term means required for a sustainable and environmentally friendly transformation of the economy in line with the EU Jobs and Growth strategy and the 2050 climate objectives.

Or. en

Amendment 115 Diogo Feio, Rodi Kratsa-Tsagaropoulou

Proposal for a regulation Recital 13 a (new)

Text proposed by the Commission Amendment

(13a) This Regulation will be followed by a proposal from the Commission to set in place a European redemption fund such as that proposed by the German council of economic experts or other proposals that follow the same line as well as a roadmap to joint management of sovereign debt issuance.

Or. en

Amendment 116 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

AM\895611EN.doc 45/144 PE485.870v01-00 EN Proposal for a regulation Recital 13 b (new)

Text proposed by the Commission Amendment

(13b) Tax policy plays a crucial role for enhancing the effectiveness and fairness of budgetary plans while contributing to sustainable growth. A comprehensive set of measures and legislative initiatives such as an European financial transaction tax and a common consolidated corporate tax base should be swiftly carried on at the European and national level in order to remove unjustified exceptions, broaden the tax base, improve the efficiency of tax collection, tackle tax evasion and apply comprehensively the 'polluter pays' principle.

Or. en

Amendment 117 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Recital 13 c (new)

Text proposed by the Commission Amendment

(13c) In order to ensure the proper functioning of economic and monetary union and the respect of budgetary discipline, it is indispensable to safeguard the stability in the euro area as a whole and therefore to strengthen the efficiency and the resilience of the euro area financial system to adverse shocks, to address liquidity constraints as well as negative externalities related to the fragmentation of the sovereign bond markets and to reduce marginal funding costs for Member States facing funding pressures. For that overarching purpose,

PE485.870v01-00 46/144 AM\895611EN.doc EN it is necessary to adopt a roadmap towards euro area common sovereign debt instruments including the establishment of an enhanced economic policy coordination framework. In order to safeguard the stability of the euro area it is also essential to define a comprehensive euro area counter-cyclical tool-box.

Or. en

Amendment 118 Sylvie Goulard, Ramon Tremosa i Balcells

Proposal for a regulation Article -1 (new)

Text proposed by the Commission Amendment

Article -1 Economic dialogue The competent committee of the European Parliament may invite the President of the Council, the Commission and, where appropriate, the President of the European Council or the President of the Eurogroup, to appear before the committee to discuss Council decisions under Article 126(6) TFEU, Council recommendations under Article 126(7) TFEU, notices under Article 126(9) TFEU or Council decisions under Article 126(11) TFEU. The competent committee of the European Parliament may offer the opportunity to the Member State concerned by the closer monitoring referred to in Article 6(6) to participate in an exchange of views. The Council and the Commission shall regularly inform the European Parliament of the application of this Regulation.

AM\895611EN.doc 47/144 PE485.870v01-00 EN Or. en

Amendment 119 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 1 – paragraph 1 – introductory part

Text proposed by the Commission Amendment

1. This Regulation sets out provisions for 1. This Regulation sets out provisions for enhanced monitoring of budgetary policies enhanced monitoring of budgetary and in the euro area by: economic policies in the euro area as well as provision for establishing enhanced economic policy coordination framework required for the common issuance of sovereign debt instruments by:

Or. en

Amendment 120 Ramon Tremosa i Balcells, Carl Haglund, Olle Schmidt

Proposal for a regulation Article 1 – paragraph 1 – point c a (new)

Text proposed by the Commission Amendment

(ca) complementing the procedure for correction of a Member State's excessive debt as established by Article 126 TFEU and Regulation (EC) No 1467/97 by establishing a European redemption fund in order to secure a durable correction of excessive debt.

Or. en

Amendment 121 Philippe Lamberts, Sven Giegold, Bas Eickhout, Emilie Turunen on behalf of the Verts/ALE Group

PE485.870v01-00 48/144 AM\895611EN.doc EN Proposal for a regulation Article 1 – paragraph 1 – point c a (new)

Text proposed by the Commission Amendment

(ca) establishing enhanced economic policy coordination framework required for a euro area common issuance sovereign debt instruments.

Or. en

Amendment 122 Philippe De Backer

Proposal for a regulation Article 1 – paragraph 1 – point c a (new)

Text proposed by the Commission Amendment

(ca) establishing enhanced provisions for national budgetary rules and economic policy coordination.

Or. en

Amendment 123 Philippe Lamberts, Sven Giegold, Bas Eickhout, Emilie Turunen on behalf of the Verts/ALE Group

Proposal for a regulation Article 1 – paragraph 2 a (new)

Text proposed by the Commission Amendment

2a. The application of this Regulation shall fully respect Article 152 TFEU and the recommendations issued under this Regulation shall respect institutions for wage formation. It shall take into account Article 28 of the Charter of Fundamental Rights of the European Union, and, accordingly, shall not affect the right to

AM\895611EN.doc 49/144 PE485.870v01-00 EN negotiate, conclude and enforce collective agreements and to take collective action in accordance with national law and practices.

Or. en

Amendment 124 Olle Ludvigsson, Elisa Ferreira

Proposal for a regulation Article 1 – paragraph 2 a (new)

Text proposed by the Commission Amendment

2a. The application of this Regulation shall fully observe Article 152 TFEU and shall fully respect national practices and institutions for wage formation. This Regulation takes into account Article 28 of the Charter of Fundamental Rights of the European Union, and, accordingly, does not affect the right to negotiate, conclude or enforce collective agreements or to take collective action in accordance with national law and practices.

Or. en

Amendment 125 Marianne Thyssen

Proposal for a regulation Article 2 – paragraph 1 – point 2

Text proposed by the Commission Amendment

(2) ‘independent macroeconomic forecasts’ (2) ‘independent macroeconomic forecasts’ means the macroeconomic and/or means the macroeconomic and/or budgetary forecasts produced by an budgetary forecasts produced by an independent body or a body endowed with independent body or a body endowed with functional autonomy vis-à-vis the fiscal functional autonomy vis-à-vis the fiscal authorities of the Member State; authorities of the Member State which complies with minimum requirements as

PE485.870v01-00 50/144 AM\895611EN.doc EN set up by the Commission;

Or. en

Amendment 126 Ramon Tremosa i Balcells, Carl Haglund, Olle Schmidt

Proposal for a regulation Article 2 – paragraph 1 – point 5

Text proposed by the Commission Amendment

(5) ‘government’ and ‘deficit’ have the (5) ‘government’, ‘deficit’ and 'debt' have meaning' set out in Article 2 of the the meanings set out in Article 2 of the Protocol (No 12) on the excessive deficit Protocol (No 12) on the excessive deficit procedure annexed to the Treaty on procedure annexed to the TFEU and to the European Union and the Treaty on the Treaty on the Functioning of the European Functioning of the European Union. Union.

Or. en

Amendment 127 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 2 – paragraph 1 – point 5 a (new)

Text proposed by the Commission Amendment

(5a) 'a particularly serious non- compliance with the adjustment path towards the medium-term budgetary objective' means a deviation that can not be justified by exceptional circumstances or a severe economic downturn, after taking into account of mitigating factors and spill-over effects, as defined in Regulation (EC) 1467/97 and Regulation (EU) 1176/2011.

Or. en

AM\895611EN.doc 51/144 PE485.870v01-00 EN Amendment 128 Ramon Tremosa i Balcells

Proposal for a regulation Article 2 – paragraph 1 – point 5 a (new)

Text proposed by the Commission Amendment

(5a) 'Region of systemic importance' means a region with legislative and fiscal powers that has a GDP volume equivalent to at least 90% of the median GDP volume from all Member States.

Or. en

Justification

The median GDP volume of EU Member States is in 2011, accounting to Eurostat, Greece with 208.297 M euros. The Greek crisis and its effects on Europe show that European surveillance on economies of a similar size might be needed.

Amendment 129 Ramon Tremosa i Balcells

Proposal for a regulation Article 2 – paragraph 1 – point 5 b (new)

Text proposed by the Commission Amendment

(5b) "exceptional circumstances" means an unusual event outside the control of the Member State concerned which has a major impact on the financial position of the general government or to periods of severe economic downturn for the Union as a whole.

Or. en

Amendment 130 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

PE485.870v01-00 52/144 AM\895611EN.doc EN Proposal for a regulation Article 2 – paragraph 2 a (new)

Text proposed by the Commission Amendment

2a. The application of this Regulation is without prejudice to Article 9 TFEU.

Or. en

Amendment 131 Roberto Gualtieri

Proposal for a regulation Article 2 a (new)

Text proposed by the Commission Amendment

Article 2a Regulation 1466/97 is amended as follows: In Article 2a, the first and the second paragraphs are replaced by the following: "Article 2a Each Member State shall have a differentiated medium- term objective for its budgetary position. These country- specific medium-term budgetary objectives may diverge from the requirement of a close to balance or in surplus position, while providing a safety margin with respect to the 3 % of GDP government deficit ratio. The medium-term budgetary objectives shall ensure the sustainability of public finances or a rapid progress towards such sustainability while allowing room for budgetary manoeuvre, considering in particular the need for public investment. Taking these factors into account, for participating Member States and for Member States that are participating in ERM2 the country-specific medium-

AM\895611EN.doc 53/144 PE485.870v01-00 EN term budgetary objectives shall be specified within a defined range between -0.5% of GDP and balance or surplus, in cyclically adjusted terms, net of 2/5 of gross fixed capital formation as defined in the European System of Integrated Economic Accounts and net of one-off and temporary measures. For participating Member States, where the ratio of the general government rate to gross domestic product at market prices is below 60% and where risks in terms of long-term sustainability of public finances are low, the country specific medium-term budgetary objectives shall be specified within a defined range between a lower limit of a structural deficit of -1% of GDP at market prices and balance or in surplus, in cyclically adjusted terms, net of 2/5 of gross fixed capital formation as defined in the European System of Integrated Economic Accounts and one- offs and temporary measures."

Or. en

Justification

Regulation 1466/97 is amended as follows: a) in article 2a, paragraph 2 the words "-1% of GDP" are replaced by "-0,5% of GDP"; b) in article 2a, paragraph 2 the following sentence should be added, after the words "cyclically adjusted terms: "net of 2/5 of gross fixed capital formation as defined in the European System of Integrated Economic Accounts and". c) in article 2a, a new paragraph 3 is inserted

Amendment 132 Philippe De Backer

Proposal for a regulation Chapter 2 – title

Text proposed by the Commission Amendment

Common Budgetary Provisions Common Budgetary Provisions and information requirements on national public debt issuance

PE485.870v01-00 54/144 AM\895611EN.doc EN Or. en

Amendment 133 Burkhard Balz

Proposal for a regulation Article 3 – paragraph 1

Text proposed by the Commission Amendment

(1) Member States shall make public (1) Member States shall, in the context of annually their medium-term fiscal plans in the European Semester defined in Article accordance with their medium-term 2a of Regulation (EC) No 1466/97, make budgetary framework based on public, at the latest by 30 April each year, independent macroeconomic forecasts their national medium-term fiscal plans in together with their Stability Programmes, accordance with their medium-term no later than 15 April. budgetary framework, based on credible and independent macroeconomic forecasts. The underlying forecasts shall be made public. These plans shall be presented together with the NRPs and SCPs and shall be fully compatible with the policy guidelines based on the annual growth survey and the annual reports under the macroeconomic imbalances procedure drawn up pursuant to Regulation (EU) No 1174/2011 and Regulation (EU) No 1176/2011.

Or. de

Amendment 134 Elisa Ferreira

Proposal for a regulation Article 3 – paragraph 1

Text proposed by the Commission Amendment

1. Member States shall make public 1. Member States shall, in the context of annually their medium-term fiscal plans in the European Semester referred to in accordance with their medium-term Article 2-a of Regulation (EC) No budgetary framework based on 1466/97, make public, preferably by mid independent macroeconomic forecast April and no later than 30 April each

AM\895611EN.doc 55/144 PE485.870v01-00 EN together with their Stability Programmes, year, their national medium-term fiscal no later than 15 April. plans in accordance with their medium- term budgetary framework, based on credible and independent macroeconomic forecast forecasts. Such plans shall be presented together with their Stability Programmes, no later than 15 April the NRPs and SCPs and shall be fully compatible with the policy orientations based on the annual growth survey and the annual reports under the macroeconomic imbalances procedure as established in Regulation (EU) No 1174/2011 and Regulation (EU) No 1176/2011.

Or. en

Amendment 135 Marianne Thyssen

Proposal for a regulation Article 3 – paragraph 1

Text proposed by the Commission Amendment

1. Member States shall make public 1. Member States shall make public annually their medium-term fiscal plans in annually their medium-term fiscal plans in accordance with their medium-term accordance with their medium-term budgetary framework based on budgetary framework based on independent macroeconomic forecast independent macroeconomic forecast together with their Stability Programmes, together with their Stability Programmes, no later than 15 April. preferably by mid-April and no later than 30 April.

Or. en

Amendment 136 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 3 – paragraph 1

PE485.870v01-00 56/144 AM\895611EN.doc EN Text proposed by the Commission Amendment

1. Member States shall make public 1. Member States shall make public annually their medium-term fiscal plans in annually their medium-term fiscal plans in accordance with their medium-term accordance with their medium-term budgetary framework based on budgetary framework based on independent macroeconomic forecast independent macroeconomic forecast as a together with their Stability Programmes, framework encompassing their Stability no later than 15 April. Programmes, no later than 15 April.

Or. en

Amendment 137 Krišjānis Kariņš

Proposal for a regulation Article 3 – paragraph 1

Text proposed by the Commission Amendment

Or. lv

Amendment 138 Marianne Thyssen

Proposal for a regulation Article 3 – paragraph 2

Text proposed by the Commission Amendment

2. Draft budget laws for the general 2. The draft central government government shall be made public annually budgetary plan for the forthcoming year no later than 15 October together with the and the main parameters of the draft independent macroeconomic forecasts on budgetary plans for all the other which they are based. subsectors of the general government shall

AM\895611EN.doc 57/144 PE485.870v01-00 EN be made public annually no later than 15 October together with the independent macroeconomic forecasts on which they are based.

Or. en

Amendment 139 Danuta Jazłowiecka

Proposal for a regulation Article 3 – paragraph 2

Text proposed by the Commission Amendment

2. Draft budget laws for the general 2. Draft budget laws for the central government shall be made public annually government shall be made public annually no later than 15 October together with the no later than 15 October together with the independent macroeconomic forecasts on independent macroeconomic forecasts on which they are based. which they are based.

Or. en

Amendment 140 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 3 – paragraph 3

Text proposed by the Commission Amendment

3. Budget laws for the general government 3. Budget laws for the general government shall be adopted and made public annually shall be adopted and made public annually no later than 31 December. no later than 31 December. Member States shall have in place reversionary budget procedures to be applied if, for objective reasons beyond the control of the government, the budget is not adopted or fixed upon and made public by 31 December.

Or. en

PE485.870v01-00 58/144 AM\895611EN.doc EN Amendment 141 Marianne Thyssen

Proposal for a regulation Article 3 – paragraph 3

Text proposed by the Commission Amendment

3. Budget laws for the general government 3. The budget for the central government shall be adopted and made public annually shall be adopted and made public annually no later than 31 December. no later than 31 December. Member States shall have in place reversionary budget procedures in case that the budget is not adopted by 31 December.

Or. en

Amendment 142 Danuta Jazłowiecka

Proposal for a regulation Article 3 – paragraph 3

Text proposed by the Commission Amendment

3. Budget laws for the general government 3. Budget laws for the central government shall be adopted and made public annually shall be adopted and made public annually no later than 31 December. no later than 31 December.

Or. en

Amendment 143 Pervenche Berès, Liem Hoang Ngoc

Proposal for a regulation Article 4

Text proposed by the Commission Amendment

Article 4 deleted Rules on the budgetary balance and

AM\895611EN.doc 59/144 PE485.870v01-00 EN independent national fiscal council 1. Member States shall have in place numerical fiscal rules on the budget balance that implement in the national budgetary processes their medium-term budgetary objective as defined in Article 2a of Regulation (EC) No 1466/97. Such rules shall cover the general government as a whole and be of binding, preferably constitutional, nature. 2. Member States shall have in place an independent fiscal council for monitoring the implementation of national fiscal rules as referred to in paragraph 1.

Or. en

Justification

Amendment 144 Sławomir Witold Nitras

Proposal for a regulation Article 4 – paragraph 1

Text proposed by the Commission Amendment

1. Member States shall have in place 1. Member States shall have in place numerical fiscal rules on the budget numerical fiscal rules on the budget balance that implement in the national balance that implement in the national budgetary processes their medium-term budgetary processes their medium-term budgetary objective as defined in Article budgetary objective as defined in Article 2a of Regulation (EC) No 1466/97. Such 2a of Regulation (EC) No 1466/97. Such rules shall cover the general government as rules shall cover the general government as a whole and be of binding, preferably a whole and be of binding, preferably constitutional, nature. constitutional, nature. Member States may deviate temporarily from the medium- term objective or the adjustment path towards it in exceptional circumstances,

PE485.870v01-00 60/144 AM\895611EN.doc EN provided that such deviation does not endanger fiscal sustainability in the medium term.

Or. en

Justification

The proposed regulation should include the main provisions of the TSCG.

Amendment 145 Sylvie Goulard

Proposal for a regulation Article 4 – paragraph 1

Text proposed by the Commission Amendment

Or. en

Amendment 146 Carl Haglund

Proposal for a regulation Article 4 – paragraph 1

AM\895611EN.doc 61/144 PE485.870v01-00 EN Text proposed by the Commission Amendment

Or. en

Amendment 147 Burkhard Balz

Proposal for a regulation Article 4 – paragraph 1

Text proposed by the Commission Amendment

(1) Member States shall have in place (1) Member States shall have in place numerical fiscal rules on the budget numerical fiscal rules on the budget balance that implement in the national balance that implement in the national budgetary processes their medium-term budgetary processes their medium-term budgetary objective as defined in Article budgetary objective as defined in Article 2a of Regulation (EC) No 1466/97. Such 2a of Regulation (EC) No 1466/97; these rules shall cover the general government as rules may also include details concerning a whole and be of binding, preferably exceptional occurrences or severe constitutional, nature. economic downturns, in accordance with Articles 5 and 6 of Regulation (EC) No 1466/97. Such rules shall cover the general government as a whole and be of binding, preferably constitutional, nature.

Or. de

PE485.870v01-00 62/144 AM\895611EN.doc EN Amendment 148 Marianne Thyssen

Proposal for a regulation Article 4 – paragraph 1

Text proposed by the Commission Amendment

1. Member States shall have in place 1. Member States shall have in place numerical fiscal rules on the budget numerical fiscal rules on the budget balance that implement in the national balance that implement in the national budgetary processes their medium-term budgetary processes their medium-term budgetary objective as defined in Article budgetary objective as defined in Article 2a of Regulation (EC) No 1466/97. Such 2a of Regulation (EC) No 1466/97. Such rules shall cover the general government as rules shall cover the general government as a whole and be of binding, preferably a whole and be of binding force and constitutional, nature. permanent character, preferably constitutional, or otherwise guaranteed to be fully respected and complied with throughout the national budgetary processes.

Or. en

Justification

Updating the draft regulation according to the Treaty on Stability, Coordination and Governance in the Economic and Monetary Union.

Amendment 149 Philippe Lamberts, Pascal Canfin, Emilie Turunen

Proposal for a regulation Article 4 – paragraph 1

Text proposed by the Commission Amendment

AM\895611EN.doc 63/144 PE485.870v01-00 EN Or. en

Amendment 150 Marianne Thyssen

Proposal for a regulation Article 4 – paragraph 1 a (new)

Text proposed by the Commission Amendment

1a. The budgetary position of the general government shall be balanced or in surplus. The budgetary position of the general government shall be deemed to be respected if the annual structural balance of the general government is at its country-specific medium-term objective as defined in the revised Stability and Growth Pact with a lower limit of a structural deficit of 0,5 % of the gross domestic product at market prices. The Member States shall ensure rapid convergence towards their respective medium-term objective. Where the ratio of government debt to gross domestic product at market prices is significantly below 60 % and where risks in terms of long-term sustainability of public finances are low, the lower limit of the medium- term objective of 0,5% specified above can reach a structural deficit of at most 1,0 % of the gross domestic product at market prices.

Or. en

Justification

Updating the draft regulation according to the Treaty on Stability, Coordination and Governance in the Economic and Monetary Union.

Amendment 151 Sławomir Witold Nitras

PE485.870v01-00 64/144 AM\895611EN.doc EN Proposal for a regulation Article 4 – paragraph 1 a (new)

Text proposed by the Commission Amendment

1a. Member States shall ensure that the annual budgetary position of the general government is balanced or in surplus. To that end, as a special agreement among Member States to go beyond Regulation (EC) No 1466/97, the annual structural balance of the general government shall not exceed a country-specific reference value, with a limit of a structural deficit of 0,5% of GDP. Where the general government debt level is significantly below 60% of GDP and risks to long-term fiscal sustainability are low, the country specific reference value for the annual structural balance of the general government may reach a limit of a structural deficit of at most 1% of nominal GDP.

Or. en

Justification

The proposed regulation should include the main provisions of the TSCG.

Amendment 152 Sylvie Goulard

Proposal for a regulation Article 4 – paragraph 1 a (new)

Text proposed by the Commission Amendment

AM\895611EN.doc 65/144 PE485.870v01-00 EN value, with a limit of a structural deficit of 0,5% of GDP. Where the general government debt level is significantly below 60% of GDP and risks to long-term fiscal sustainability are low, the country- specific reference value for the annual structural balance of the general government may reach a limit of a structural deficit of at most 1% of nominal GDP.

Or. en

Amendment 153 Carl Haglund

Proposal for a regulation Article 4 – paragraph 1 a (new)

Text proposed by the Commission Amendment

1a. Member States shall ensure that the annual budgetary position of the general government is balanced or in surplus. Member States shall put in place a correction mechanism to be triggered automatically with the aim of correcting significant observed deviations from the medium-term objective or the adjustment path towards it, including their accumulated impact on government debt dynamics.

Or. en

Amendment 154 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 4 – paragraph 1 a (new)

PE485.870v01-00 66/144 AM\895611EN.doc EN Text proposed by the Commission Amendment

1a. Paragraph 1 is without prejudice to flexibility mechanisms provided for in case of severe economic downturn and in exceptional circumstances in accordance with Article 7(2).

Or. en

Amendment 155 Philippe De Backer

Proposal for a regulation Article 4 – paragraph 1 a (new)

Text proposed by the Commission Amendment

1a. In addition to Regulation (EC) No 1466/97, Member States shall ensure that the budgetary position of the general government is balanced or in surplus.

Or. en

Amendment 156 Marianne Thyssen

Proposal for a regulation Article 4 – paragraph 1 b (new)

Text proposed by the Commission Amendment

1b. The rules referred to in paragraph 1 shall include a correction mechanism that shall be triggered automatically in the event of significant observed deviations from the medium-term objective or the adjustment path towards it as defined by Article 5(1) of Regulation (EC) No 1466/97. That correction mechanism shall include the obligation to implement measures to correct the deviations over a

AM\895611EN.doc 67/144 PE485.870v01-00 EN defined period of time and shall specify in particular the nature, the size and the time-frame of the corrective action to be undertaken, also in the case of exceptional circumstances. The correction mechanism shall fully respect the prerogatives of national parliaments.

Or. en

Justification

Updating the draft regulation according to the Treaty on Stability, Coordination and Governance in the Economic and Monetary Union.

Amendment 157 Sylvie Goulard

Proposal for a regulation Article 4 – paragraph 1 b (new)

Text proposed by the Commission Amendment

1b. Member States shall put in place a correction mechanism to be triggered automatically with the aim of correcting significant observed deviations from the medium-term objective or the adjustment path towards it, including their accumulated impact on government debt dynamics. The Commission shall adopt delegated acts further specifying the nature, size and time frame of the correction mechanism, including in the case of exceptional circumstances.

Or. en

Amendment 158 Sławomir Witold Nitras

Proposal for a regulation Article 4 – paragraph 1 b (new)

PE485.870v01-00 68/144 AM\895611EN.doc EN Text proposed by the Commission Amendment

Or. en

Justification

The proposed regulation should include the main provisions of the TSCG.

Amendment 159 Carl Haglund

Proposal for a regulation Article 4 – paragraph 1 b (new)

Text proposed by the Commission Amendment

1b. Member States shall ensure rapid convergence of their medium-term objectives on the basis of ambitious and binding time frames proposed by the Commission, which take country-specific fiscal sustainability risks into consideration. The proposed time frames shall be made public.

Or. en

Amendment 160 Marianne Thyssen

Proposal for a regulation Article 4 – paragraph 1 c (new)

AM\895611EN.doc 69/144 PE485.870v01-00 EN Text proposed by the Commission Amendment

1c. Exceptional circumstances refer to the case of an unusual event outside the control of the Member State concerned which has a major impact on the financial position of the general government or to periods of severe economic downturn as defined in the revised Stability and Growth Pact, provided that the temporary deviation of the Member State concerned does not endanger fiscal sustainability in the medium term.

Or. en

Justification

Updating the draft regulation according to the Treaty on Stability, Coordination and Governance in the Economic and Monetary Union.

Amendment 161 Sylvie Goulard

Proposal for a regulation Article 4 – paragraph 1 c (new)

Text proposed by the Commission Amendment

1c. Member States shall ensure rapid convergence of their medium-term objectives on the basis of ambitious and binding time frames proposed by the Commission, which take country-specific fiscal sustainability risks into consideration. The proposed time frames shall be made public.

Or. en

Amendment 162 Sławomir Witold Nitras

PE485.870v01-00 70/144 AM\895611EN.doc EN Proposal for a regulation Article 4 – paragraph 1 c (new)

Text proposed by the Commission Amendment

Or. en

Justification

The proposed regulation should include the main provisions of the TSCG.

Amendment 163 Anneli Jäätteenmäki, Sari Essayah

Proposal for a regulation Article 4 – paragraph 2

Text proposed by the Commission Amendment

2. Member States shall have in place an deleted independent fiscal council for monitoring the implementation of national fiscal rules as referred to in paragraph 1.

Or. fi

Amendment 164 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 4 – paragraph 2 – subparagraph 1 a (new)

AM\895611EN.doc 71/144 PE485.870v01-00 EN Text proposed by the Commission Amendment

The Commission shall specify by means of delegated acts in accordance with Article 10b the common principles for the independent bodies or bodies endowed with functional autonomy vis-à-vis the budgetary authorities of the Member State referred to in paragraph 1.

Or. en

Amendment 165 Marianne Thyssen

Proposal for a regulation Article 4 – paragraph 2

Text proposed by the Commission Amendment

2. Member States shall have in place an 2. Member States shall have in place an independent fiscal council for monitoring independent fiscal council for monitoring the implementation of national fiscal rules both ex-ante and ex-post the compliance as referred to in paragraph 1. with national fiscal rules as referred to in paragraph 1.

Or. en

Amendment 166 Gunnar Hökmark

Proposal for a regulation Article 4 – paragraph 2

Text proposed by the Commission Amendment

2. Member States shall have in place an 2. Member States shall have in place a independent fiscal council for monitoring fully independent fiscal council for the implementation of national fiscal rules monitoring the implementation of national as referred to in paragraph 1. fiscal rules as referred to in paragraph 1.

Or. en

PE485.870v01-00 72/144 AM\895611EN.doc EN Amendment 167 Marianne Thyssen

Proposal for a regulation Article 4 – paragraph 2 a (new)

Text proposed by the Commission Amendment

2a. The Commission shall make public minimum-term requirements for the independent bodies or bodies endowed with functional autonomy vis-à-vis the budgetary authorities of the Member States referred to in paragraph 1 in order to ensure their credible independence.

Or. en

Amendment 168 Philippe De Backer

Proposal for a regulation Article 4 a (new)

Text proposed by the Commission Amendment

Article 4a Information requirements on national public debt issuance With the aim of better coordinating the planning and optimising the financing conditions of public debt issuance, Member States shall report in advance their public debt issuance plans to the Commission and the Council.

Or. en

Amendment 169 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

AM\895611EN.doc 73/144 PE485.870v01-00 EN Proposal for a regulation Chapter 3 – title

Text proposed by the Commission Amendment

Monitoring and assessment of Member Monitoring and assessment of Member States draft budgetary plans States draft budgetary plans, National Reform Programmes and debt issuance plans

Or. en

Amendment 170 Marianne Thyssen

Proposal for a regulation Article 5 – paragraph 1

Text proposed by the Commission Amendment

1. Member States shall submit annually to 1. Member States shall submit annually to the Commission and the Eurogroup a draft the Commission and the Eurogroup a draft budgetary plan for the forthcoming year no budgetary plan for the forthcoming year no later than 15 October. later than 15 October. The draft budgetary plan shall appropriately take into account the Union's policy guidance and recommendations.

Or. en

Amendment 171 Diogo Feio

Proposal for a regulation Article 5 – paragraph 1

Text proposed by the Commission Amendment

PE485.870v01-00 74/144 AM\895611EN.doc EN Or. en

Justification

The timeframe of the submission and consequent opinion of the draft budgetary plans needs to be earlier in order not to loose its goal before the plans are approved in National Parliaments.

Amendment 172 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 5 – paragraph 1

Text proposed by the Commission Amendment

Or. en

Amendment 173 Diogo Feio, Rodi Kratsa-Tsagaropoulou

Proposal for a regulation Article 5 – paragraph 1 a (new)

Text proposed by the Commission Amendment

1a. The draft budgetary plan guidelines, to be adopted by delegated act, shall not create an excessive extra burden to Member States governments; their content and rules shall be designed in a simple and easy way to comply with.

Or. en

Justification

The draft budgetary plans shall not present an unnecessary administrative burden and work overload to MS governments. They shall be easy and simple to comply with.

AM\895611EN.doc 75/144 PE485.870v01-00 EN Amendment 174 Danuta Jazłowiecka

Proposal for a regulation Article 5 – paragraph 3 – point a

Text proposed by the Commission Amendment

(a) the targeted budget balance for the (a) the targeted budget balance for the general government as a percentage of central government as a percentage of Gross Domestic Product (GDP), broken Gross Domestic Product (GDP), broken down by sub-sector of general down by sub-sector of central government; government;

Or. en

Amendment 175 Ramon Tremosa i Balcells, Ana Miranda

Proposal for a regulation Article 5 – paragraph 3 – point b

Text proposed by the Commission Amendment

(b) the projections at unchanged policies (b) the projections at unchanged policies for expenditure and revenue as a for expenditure and revenue as a percentage of GDP for the general percentage of GDP for the general government and their main components.; government and their main components; these projections should focus both on current expenditure and investment expenditure.

Or. en

Amendment 176 Danuta Jazłowiecka

Proposal for a regulation Article 5 – paragraph 3 – point b

PE485.870v01-00 76/144 AM\895611EN.doc EN Text proposed by the Commission Amendment

(b) the projections at unchanged policies (b) the projections at unchanged policies for expenditure and revenue as a for expenditure and revenue as a percentage of GDP for the general percentage of GDP for the central government and their main components.; government and their main components;

Or. en

Amendment 177 Elisa Ferreira, Pervenche Berès, Liem Hoang Ngoc

Proposal for a regulation Article 5 – paragraph 3 – point c

Text proposed by the Commission Amendment

(c) the targeted expenditure and revenue as (c) the targeted expenditure and revenue as a percentage of GDP for the general a percentage of GDP for the general government and their main components, government and their main components, taking into account the conditions and taking into account the conditions and criteria to establish the growth path of criteria to establish the growth path of government expenditure net of government expenditure net of discretionary revenue measures under discretionary revenue measures under Article 5(1) of Regulation (EC) No Article 5(1) of Regulation (EC) No 1466/97; 1466/97; A deviation from the adjustment path towards the medium-term budgetary objective shall be considered significant if the following conditions occur: an excess over the expenditure growth net of public investment consistent with the medium term budgetary objective, not offset by discretionary revenue-increasing measures; or discretionary revenue- decreasing measures not offset by reductions in expenditure;

Or. en

Justification

Public investment spending should be excluded from deficit calculations under the SGP in order to avoid its current procyclical feature and facilitate the achievement of the EU 2020 strategy for Growth and jobs.

AM\895611EN.doc 77/144 PE485.870v01-00 EN Amendment 178 Danuta Jazłowiecka

Proposal for a regulation Article 5 – paragraph 3 – point c

Text proposed by the Commission Amendment

(c) the targeted expenditure and revenue as (c) the targeted expenditure and revenue as a percentage of GDP for the general a percentage of GDP for the central government and their main components, government and their main components, taking into account the conditions and taking into account the conditions and criteria to establish the growth path of criteria to establish the growth path of government expenditure net of government expenditure net of discretionary revenue measures under discretionary revenue measures under Article 5(1) of Regulation (EC) No Article 5(1) of Regulation (EC) No 1466/97; 1466/97;

Or. en

Amendment 179 Ramon Tremosa i Balcells, Ana Miranda

Proposal for a regulation Article 5 – paragraph 3 – subparagraph 1 a (new)

Text proposed by the Commission Amendment

The targeted expenditure and revenue goal referred to in point (c) shall be different for each level of government following proportionality and co- responsibility criteria. Proportionality is understood as the relative weight in terms of the different level of competences under each level of government, and co- responsibility as the correspondence between the margin of indebtedness and the fiscal effort of each level of government.

Or. en

PE485.870v01-00 78/144 AM\895611EN.doc EN Amendment 180 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 5 – paragraph 3 – point c a (new)

Text proposed by the Commission Amendment

(ca) a detailed description of targeted expenditure earmarked to the achievement of the objectives embedded in the EU jobs and growth strategy including expenditure on employment, R&D and innovation, Climate change and Energy, Education, Poverty and Social exclusion;

Or. en

Amendment 181 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 5 – paragraph 3 – point d

Text proposed by the Commission Amendment

(d) a detailed description and a well- (d) a detailed description and a well- documented quantification of the measures documented quantification of the measures to be included in the budget for the year to to be included in the budget for the year to come in order to bridge the gap between come in order to bridge the gap between the targets referred to in point (c) and the the targets referred to in point (c) and the projections at unchanged policies provided projections at unchanged policies provided in accordance with point (b). The in accordance with point (b). The description may be less detailed for description may be less detailed for measures with a budgetary impact measures with a budgetary impact estimated to be lower than 0.1% of GDP. estimated to be lower than 0.1% of GDP. Particular attention shall be paid to major Particular and explicit attention shall be fiscal policy reform plans with potential paid to major fiscal policy reform plans spillover effects for other Member States with potential spill-over effects for other whose currency is the euro. Member States whose currency is the euro;

Or. en

AM\895611EN.doc 79/144 PE485.870v01-00 EN Amendment 182 Burkhard Balz

Proposal for a regulation Article 5 – paragraph 3 – point d a (new)

Text proposed by the Commission Amendment

(da) details of the planned expenditure directly linked to the achievement of the Union’s growth and employment strategy (including public investment), together with details of the link with the achievement of the budgetary objectives in the long term;

Or. de

Amendment 183 Elisa Ferreira

Proposal for a regulation Article 5 – paragraph 3 – point d a (new)

Text proposed by the Commission Amendment

(da) a detailed description of projected expenditure directly related to the achievement of the objectives embedded in the Union's strategy for growth and jobs including public investments;

Or. en

Amendment 184 Philippe Lamberts, Sven Giegold, Bas Eickhout, Emilie Turunen on behalf of the Verts/ALE Group

Proposal for a regulation Article 5 – paragraph 3 – point e

Text proposed by the Commission Amendment

(e) the main assumptions about expected (e) the main assumptions about expected

PE485.870v01-00 80/144 AM\895611EN.doc EN economic developments and important economic developments and important economic variables which are relevant to economic variables which are relevant to the achievement of the budgetary targets. the achievement of the budgetary targets. These assumptions shall be based on These assumptions shall be based on independent macroeconomic growth independent macroeconomic growth forecast; forecast. The macroeconomic forecasts shall provide sensitivity analysis and shall be compared with the most updated forecasts of the Commission and, if appropriate, those of other independent bodies. Significant differences between the chosen macro-fiscal scenario and the Commission's forecast shall be described with reasoning, in particular if the level or growth of variables in external assumptions departs significantly from the values contained in the Commission's forecasts. The macroeconomic and budgetary forecasts shall include an estimation of the potential output and macroeconomic multiplier effects. The methodology, the economic and econometric underlying models and assumptions, as well as any other relevant parameter underpinning independent macroeconomic forecast shall be annexed to the annual medium-term fiscal plans.

Or. en

Amendment 185 Ramon Tremosa i Balcells

Proposal for a regulation Article 5 – paragraph 3 – point e a (new)

Text proposed by the Commission Amendment

(ea) a complete description on the regional territorialisation of expenditure from the central government and all its sub-sectors;

Or. en

AM\895611EN.doc 81/144 PE485.870v01-00 EN Justification

The statistics on regionalization of expenditure are basic in order to achieve a greater economic efficiency and investments based on a cost-benefit analysis. This is so useful data for the Commission analysis and recommendations.

Amendment 186 Ramon Tremosa i Balcells

Proposal for a regulation Article 5 – paragraph 3 – point e b (new)

Text proposed by the Commission Amendment

(eb) a complete description for all regions or equivalent territorial administrative units of the ratio between public and private capital stock;

Or. en

Justification

The ratio between public and capital stock is fundamental to better plan public economically efficient public investments.

Amendment 187 Ramon Tremosa i Balcells, Ana Miranda

Proposal for a regulation Article 5 – paragraph 3 – point e c (new)

Text proposed by the Commission Amendment

(ec) clear budgetary targets on current and investment expenditure and, in the case of investment expenditure, an evaluation of its economic returns, which shall be published;

Or. en

PE485.870v01-00 82/144 AM\895611EN.doc EN Amendment 188 Ramon Tremosa i Balcells, Ana Miranda

Proposal for a regulation Article 5 – paragraph 3 – point e d (new)

Text proposed by the Commission Amendment

(ed) deficit data not only in terms of general government but also in each level of government;

Or. en

Amendment 189 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 5 – paragraph 3 – point f

Text proposed by the Commission Amendment

(f) where applicable, additional indications (f) where applicable, additional indications on how the current recommendations on how the current recommendations addressed to the Member State concerned addressed to the Member State concerned in accordance with Article 121 of the in accordance with Article 121 and 148 of Treaty in the budgetary area will be met. the Treaty will be met in consistency with subparagraphs (a) to (ca).

Or. en

Amendment 190 Ramon Tremosa i Balcells, Carl Haglund, Olle Schmidt

Proposal for a regulation Article 5 – paragraph 3 – point f a (new)

Text proposed by the Commission Amendment

(fa) detailed information on general government debt developments, as well as other data relevant to an assessment of the country-specific risks to the

AM\895611EN.doc 83/144 PE485.870v01-00 EN sustainability of public finances, in particular an overview of implicit liabilities, and of the contingent liabilities with potentially large impacts on public budgets within the meaning of Article 14(3) of Council Directive 2011/85/EU.

Or. en

Amendment 191 Diogo Feio, Rodi Kratsa-Tsagaropoulou

Proposal for a regulation Article 5 – paragraph 3 – subparagraph 1 a (new)

Text proposed by the Commission Amendment

All related issues with the annual debt issuance plan of the Member States, such as financial needs, renewal of outstanding debt or others, shall not be made public and be used only for coordination within the euro area.

Or. en

Justification

Making public MS future financial needs and their debt issuance plans and calendars is a matter of a very delicate nature. This Regulation shall not jeopardize future MS needs by making them known to the financial markets, creating the possible danger of making the financial markets "work against" the MS.

Amendment 192 Derk Jan Eppink

Proposal for a regulation Article 5 – paragraph 3 – point f a (new)

Text proposed by the Commission Amendment

(fa) an annual debt issuance plan reflecting funding requirements arising from the budgetary targets mentioned in

PE485.870v01-00 84/144 AM\895611EN.doc EN point (a), including the repayment profile of debt obligations in the form of monthly expected interest and redemption payments;

Or. en

Amendment 193 Philippe Lamberts, Sven Giegold, Bas Eickhout, Emilie Turunen on behalf of the Verts/ALE Group

Proposal for a regulation Article 5 – paragraph 3 – point f a (new)

Text proposed by the Commission Amendment

(fa) an analysis of the contribution of reforms included in the National Reform Programmes to the achievement of the objectives of stability programmes including a cost-benefit analysis of the reforms from a budgetary point of view;

Or. en

Amendment 194 Elisa Ferreira

Proposal for a regulation Article 5 – paragraph 3 – point f a (new)

Text proposed by the Commission Amendment

(fa) a quantification of the public investment needs and, as appropriate, of the budgetary impact of the measures foreseen in the National Reform Programmes for the forthcoming year;

Or. en

AM\895611EN.doc 85/144 PE485.870v01-00 EN Amendment 195 Philippe Lamberts, Sven Giegold, Bas Eickhout, Emilie Turunen on behalf of the Verts/ALE Group

Proposal for a regulation Article 5 – paragraph 3 – point f b (new)

Text proposed by the Commission Amendment

(fb) an assessment of the consistency of different requirements and commitments embedded in the different instruments referred to in Article 1a of Regulation (EC) No 1467/97 as well as with the reports and requirements referred to in Regulation (EU) No 1176/2011 on the prevention and correction of macroeconomic imbalances.

Or. en

Amendment 196 Ramon Tremosa i Balcells, Carl Haglund, Olle Schmidt

Proposal for a regulation Article 5 – paragraph 3 – subparagraph 1 a (new)

Text proposed by the Commission Amendment

Member States shall report their public debt issuance plans to the Commission and to the Council with a view to better coordinating and monitoring them ex- ante.

Or. en

Amendment 197 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 5 – paragraph 4

PE485.870v01-00 86/144 AM\895611EN.doc EN Text proposed by the Commission Amendment

4. Where the budgetary targets reported in 4. Where the budgetary targets reported in the draft budgetary plan in accordance with the draft budgetary plan in accordance with points (a) and (c) of paragraph 3 or the points (a) and (ca) of paragraph 3 or the projections at unchanged policies differ projections at unchanged policies differ from those in the most recent stability from those in the most recent stability programme, the differences shall be duly programme, the differences shall be duly explained. explained.

Or. en

Amendment 198 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 5 – paragraph 4 a (new)

Text proposed by the Commission Amendment

4a. The draft budgetary plan shall outline escape clauses set out in Council Directive 2011/85/EU.

Or. en

Amendment 199 Marianne Thyssen

Proposal for a regulation Article 5 – paragraph 5 – subparagraph 1

Text proposed by the Commission Amendment

5. Where the Commission identifies deleted particularly serious non-compliance with the budgetary policy obligations laid down in the Stability and Growth Pact, it shall, within two weeks from the submission of the draft budgetary plan, request a revised draft budgetary plan from the Member State concerned. This request shall be

AM\895611EN.doc 87/144 PE485.870v01-00 EN made public.

Or. en

Justification

It is more logical to deal with this matter in article 6.

Amendment 200 Ramon Tremosa i Balcells, Carl Haglund, Olle Schmidt

Proposal for a regulation Article 5 – paragraph 5 – subparagraph 1

Text proposed by the Commission Amendment

5. Where the Commission identifies 5. Where the Commission identifies particularly serious non-compliance with significant non-compliance with the the budgetary policy obligations laid down budgetary policy obligations laid down in in the Stability and Growth Pact, it shall, the Stability and Growth Pact, it shall, within two weeks from the submission of within two weeks from the submission of the draft budgetary plan, request a revised the draft budgetary plan, request a revised draft budgetary plan from the Member draft budgetary plan from the Member State concerned. This request shall be State concerned. This request shall be made public. made public. Moreover, the Commission shall request a revised draft budgetary plan from Member States in the case of significant non-compliance of a draft budget with the deficit and/or debt path specified in the stability program of the Member State concerned, or when the Commission identifies serious risks to fiscal sustainability.

Or. en

Amendment 201 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 5 – paragraph 5

PE485.870v01-00 88/144 AM\895611EN.doc EN Text proposed by the Commission Amendment

5. Where the Commission identifies 5. Where the Commission identifies particularly serious non-compliance with particularly serious non-compliance with the budgetary policy obligations laid down the adjustment path towards the medium in the Stability and Growth Pact, it shall, term budgetary objective it shall, within within two weeks from the submission of two weeks from the submission of the draft the draft budgetary plan, request a revised budgetary plan, request a revised draft draft budgetary plan from the Member budgetary plan from the Member State State concerned. This request shall be concerned. This request shall be made made public. public. Paragraphs 2 to 4 shall apply in case of Paragraphs 2 to 4b shall apply in case of revised draft budgetary plan. revised draft budgetary plan.

Or. en

Amendment 202 Sylvie Goulard, Ramon Tremosa i Balcells

Proposal for a regulation Article 5 – paragraph 5 – subparagraph 1

Text proposed by the Commission Amendment

5. Where the Commission identifies 5. Where the Commission identifies particularly serious non-compliance with particularly serious non-compliance with the budgetary policy obligations laid down the budgetary policy obligations laid down in the Stability and Growth Pact, it shall, in the Stability and Growth Pact, it shall, within two weeks from the submission of within two weeks from the submission of the draft budgetary plan, request a revised the draft budgetary plan, request a revised draft budgetary plan from the Member draft budgetary plan from the Member State concerned. This request shall be State concerned. This request shall be made public. made public and the Commission shall explain its request in front of the competent committee of the European Parliament.

Or. en

Amendment 203 Marianne Thyssen

AM\895611EN.doc 89/144 PE485.870v01-00 EN Proposal for a regulation Article 5 – paragraph 5 – subparagraph 2

Text proposed by the Commission Amendment

Paragraphs 2 to 4 shall apply in case of deleted revised draft budgetary plan.

Or. en

Justification

It is more logical to deal with this matter in article 6.

Amendment 204 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 5 – paragraph 5 a (new)

Text proposed by the Commission Amendment

5a. The medium-term fiscal plans shall contain an updated projection of multiannual expenditure as a percentage of GDP for the general government and their main components as well as multiannual targets and commitments on expenditure earmarked to the achievement of the objectives embedded in the EU jobs and growth strategy.

Or. en

Amendment 205 Philippe Lamberts, Sven Giegold, Bas Eickhout, Emilie Turunen on behalf of the Verts/ALE Group

Proposal for a regulation Article 5 – paragraph 5 b (new)

PE485.870v01-00 90/144 AM\895611EN.doc EN Text proposed by the Commission Amendment

5b. No provision of this Regulation shall prevent a Member State's new government from updating its medium- term budgetary plan and stability programme to reflect its new policy priorities. Where a new government does so, it shall indicate the differences from the previous medium-term budgetary plan, stability programme and National Reform Programme.

Or. en

Amendment 206 Marianne Thyssen

Proposal for a regulation Article 5 – paragraph 6

Text proposed by the Commission Amendment

6. The Commission shall specify the 6. The specifications of the content of the content of the draft budgetary plan referred draft budgetary plan referred to in to in paragraph 1. paragraph 1 shall be set out in a harmonised framework established by the Commission in cooperation with the Member States.

Or. en

Amendment 207 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 5 – paragraph 6

Text proposed by the Commission Amendment

6. The Commission shall specify the 6. The Commission shall be empowered to content of the draft budgetary plan referred adopt delegated acts in accordance with

AM\895611EN.doc 91/144 PE485.870v01-00 EN to in paragraph 1. Article 10b specifying the content of the draft budgetary plans referred to in paragraph 1 and the content of different provisions referred to in paragraphs 3 to 5a.

Or. en

Amendment 208 Krišjānis Kariņš

Proposal for a regulation Article 5 – paragraph 6

Text proposed by the Commission Amendment

6. The Commission shall specify the 6. In accordance with paragraph 3, the content of the draft budgetary plan referred Commission shall specify the form and to in paragraph 1. content of the draft budgetary plan referred to in paragraph 1.

Or. lv

Amendment 209 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 5 a (new)

Text proposed by the Commission Amendment

Article 5a Monitoring of euro area National Reform Programmes 1. Member States shall submit annually to the Commission, the Eurogroup and the relevant committees of the European Parliament a draft National Reform Programme at the same time as their Stability Programmes. 2. Member States' National Reform Programmes shall be made public

PE485.870v01-00 92/144 AM\895611EN.doc EN simultaneously. 3. The National Reform Programmes shall inter alia contain the following information for the forthcoming year: (a) the formulation of national targets in line with the objectives of the Union Growth and Jobs strategy; (b) a detailed description of the policies foreseen to achieve the national targets and an assessment of their consistency with the Commission yearly policy guidance in the Annual Growth Survey. 4. The Commission shall be empowered to adopt delegated acts in accordance with Article 10b specifying the content of the draft budgetary plans referred to in paragraph 1 and the content of different provisions referred to in paragraphs 3. 5. The Commission shall, if necessary, adopt an opinion on the National Reform Programmes by 1 November. This opinion shall assess the progress made towards the achievement of the growth and job strategy and in particular compliance with the commitments referred to in Article 5(5a). 6. The Council, acting by qualified majority on a opinion from the Commission referred to in paragraph 5, shall adopt an opinion establishing that sufficient progress has not been achieved towards the achievement of the growth and job strategy and in particular compliance with the commitments referred to in Article 5(5a). The Council shall also adopt a recommendation setting a deadline for achieving sufficient progress. 7. Within the deadline set by the Council in the recommendation under paragraph 6, the Member State concerned shall report to the Council on actions taken in response to the recommendation. 8. If at the end of the deadline and on the

AM\895611EN.doc 93/144 PE485.870v01-00 EN basis of the report referred to in paragraph 7 the Commission adopts an opinion assessing that the Member State has failed to take action in order to achieve sufficient progress towards the achievement of the growth and job strategy, the Council, acting by qualified majority on a proposal from the Commission, shall adopt an opinion establishing that a Member State failed to take action in response to the Council recommendation referred to in paragraph 6. 9. If the Council adopts a decision establishing that a Member State failed to take action in response to the Council recommendation referred to in paragraph 7, the Commission shall, within 20 days of adoption of the Council's decision, recommend that the Council, by a further decision, require the Member State in question to lodge with the Commission an interest-bearing deposit amounting to 0,2 % of its GDP in the preceding year. 10. The decision requiring a lodgement shall be deemed to be adopted by the Council unless it decides by a qualified majority to reject the Commission's recommendation within 10 days of the Commission's adoption thereof. 11. The Council, acting by a qualified majority, may amend the Commission's recommendation and adopt the text so amended as a Council decision. 12. The Commission may, following a reasoned request by the Member State concerned addressed to the Commission within 10 days of adoption of the Council's decision establishing that a Member State failed to take action referred to in paragraph 7, recommend that the Council reduce the amount of the interest-bearing deposit or cancel it. 13. The interest-bearing deposit shall bear an interest rate reflecting the Commission's credit risk and the relevant

PE485.870v01-00 94/144 AM\895611EN.doc EN investment period. 14. If the situation giving rise to the Council's recommendation referred to in paragraph 7 no longer exists, the Council, on the basis of a further recommendation from the Commission, shall decide that the deposit and the interest accrued thereon be returned to the Member State concerned. The Council may, acting by a qualified majority, amend the Commission's further recommendation. 15. When taking the decision on non- compliance referred to in paragraph 8, only euro area Member States shall vote and the Council shall act without taking into account the vote of the member of the Council representing the Member State concerned.

Or. en

Amendment 210 Carl Haglund

Proposal for a regulation Article 6 – paragraph 1

Text proposed by the Commission Amendment

1. The Commission shall, if necessary, 1. The Commission shall assess the draft adopt an opinion on the draft budgetary budgetary plans, taking into account the plan by 30 November. medium-term budgetary implications of new measures, and shall assess the implication for fiscal sustainability. It shall also assess the quality of the process of collecting the underlying data. The Commission shall, if necessary, adopt an opinion on the draft budgetary plan by 30 November. An opinion shall always be adopted in the following situations: (a) if the draft budgetary plans would lead to non-compliance with the budgetary policy obligations laid down in the Stability and Growth Pact;

AM\895611EN.doc 95/144 PE485.870v01-00 EN (b) if the draft budgetary plans would lead a structural deficit higher than foreseen in the stability programme of a Member State; (c) if the government debt ratio is above 60 % of GDP and not declining at a sufficient pace as defined in the Stability and Growth Pact; or (d) if the Commission identifies serious risks to fiscal sustainability.

Or. en

Amendment 211 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 6 – paragraph 1

Text proposed by the Commission Amendment

1. The Commission shall, if necessary, 1. The Commission shall, if necessary, adopt an opinion on the draft budgetary adopt an opinion on the draft budgetary plan by 30 November. plan by 1 November. This opinion shall take into account the assessment on the progress made towards the achievement of the growth and job strategy and in particular compliance with the commitments referred to in Article 5(5a).

Or. en

Amendment 212 Philippe De Backer

Proposal for a regulation Article 6 – paragraph 1

Text proposed by the Commission Amendment

1. The Commission shall, if necessary, 1. The Commission shall, if necessary, adopt an opinion on the draft budgetary adopt an opinion on the draft budgetary

PE485.870v01-00 96/144 AM\895611EN.doc EN plan by 30 November. plan by 30 November. The Commission should in this respect pay due attention to the implementation of the Europe 2020 Strategy for Growth and Jobs by the Member State concerned.

Or. en

Amendment 213 Marianne Thyssen

Proposal for a regulation Article 6 – paragraph 1

Text proposed by the Commission Amendment

Or. en

Justification

Amendment 214 Diogo Feio

Proposal for a regulation Article 6 – paragraph 1

Text proposed by the Commission Amendment

Or. en

AM\895611EN.doc 97/144 PE485.870v01-00 EN Justification

The timeframe of the submission and consequent opinion of the draft budgetary plans needs to be earlier in order to have some impact before the plans are approved in National Parliaments.

Amendment 215 Elisa Ferreira

Proposal for a regulation Article 6 – paragraph 1

Text proposed by the Commission Amendment

1. The Commission shall, if necessary, 1. The Commission shall adopt an opinion adopt an opinion on the draft budgetary on the draft budgetary plan no later than plan by 30 November. 30 November.

Or. en

Amendment 216 Marianne Thyssen

Proposal for a regulation Article 6 – paragraph 1 a (new)

Text proposed by the Commission Amendment

1a. Where the Commission identifies serious non-compliance with the budgetary policy obligations laid down in the Stability and Growth Pact, the opinion referred to in paragraph 1 shall be adopted within two weeks from the submission of the draft budgetary plan. In this opinion the Commission shall request a revised draft budgetary plan from the Member State concerned. This request shall be made public. Paragraphs 2 to 4 in Article 5 shall apply.

Or. en

PE485.870v01-00 98/144 AM\895611EN.doc EN Amendment 217 Derk Jan Eppink

Proposal for a regulation Article 6 – paragraph 2

Text proposed by the Commission Amendment

2. The Commission opinion shall be made 2. The Commission opinion shall be made public and, at the request of the Parliament public in its entirety unless the of the Member State concerned, shall be Commission after consulting the presented by the Commission to the Eurogroup, decides otherwise. At the Parliament concerned. request of the Parliament of the Member State concerned, the Commission shall present the published opinion to the Parliament of the Member State concerned and justify all its recommendations for adjustments of the proposed national budget before the Parliament of the Member State concerned takes a simple majority vote on this opinion to adopt it or reject it.

Or. en

Amendment 218 Anneli Jäätteenmäki, Sari Essayah

Proposal for a regulation Article 6 – paragraph 2

Text proposed by the Commission Amendment

2. The Commission opinion shall be made 2. The Commission opinion shall be made public and, at the request of the Parliament public. At the request of the Parliament of of the Member State concerned, shall be the Member State concerned, the presented by the Commission to the Commission shall present it to the Parliament concerned. Parliament concerned, giving detailed reasons for the measures called for.

Or. fi

Amendment 219 Philippe Lamberts, Sven Giegold, Bas Eickhout

AM\895611EN.doc 99/144 PE485.870v01-00 EN on behalf of the Verts/ALE Group

Proposal for a regulation Article 6 – paragraph 2

Text proposed by the Commission Amendment

2. The Commission opinion shall be made 2. The Commission opinion referred to in public and, at the request of the Parliament paragraph 1 shall be made public and, at of the Member State concerned, shall be the request of the Parliament of the presented by the Commission to the Member State concerned or the European Parliament concerned. Parliament, shall be presented by the Commission to the Parliament concerned.

Or. en

Amendment 220 Marianne Thyssen

Proposal for a regulation Article 6 – paragraph 2

Text proposed by the Commission Amendment

2. The Commission opinion shall be made 2. The Commission opinion shall be made public and, at the request of the Parliament public and, at the request of the Parliament of the Member State concerned, shall be of the Member State concerned, shall be presented by the Commission to the presented without delay by the Parliament concerned. Commission to the Parliament concerned.

Or. en

Amendment 221 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 6 – paragraph 3

Text proposed by the Commission Amendment

PE485.870v01-00 100/144 AM\895611EN.doc EN assessment shall be made public. overall assessment shall include stress tests that provide an indication of the risks to public finance sustainability in the event of adverse financial or budgetary developments. The assessment shall identify on a country-by-country basis potential negative spill-over effects on the sustainability of public finances of the Member States generated by its private sector or by other Member States. The assessment shall be made public and shall be integrated in the forthcoming Annual Growth Survey. The Commission shall annex to the assessment a detailed summary of the spring and autumn forecasts for the euro area as a whole. The chosen baseline scenario for the assessment shall be described with reasoning and shall be built on a balanced account of downside and upside risks in order to consider the complete range of possible outcomes. The assessment shall disclose the methodologies, assumptions and relevant parameters that underpin its macroeconomic forecasts and stress tests as well as an ex post evaluation of the previous year baseline scenario.

Or. en

Amendment 222 Sylvie Goulard, Ramon Tremosa i Balcells

Proposal for a regulation Article 6 – paragraph 3

Text proposed by the Commission Amendment

3. The Commission shall make an overall 3. The Commission shall make an overall assessment of the budgetary situation and assessment of the budgetary situation and prospects in the euro area as a whole. The prospects in the euro area as a whole. The assessment shall be made public. Commission shall present in public its overall assessment to the competent committee of the European Parliament.

AM\895611EN.doc 101/144 PE485.870v01-00 EN Or. en

Amendment 223 Derk Jan Eppink

Proposal for a regulation Article 6 – paragraph 3

Text proposed by the Commission Amendment

3. The Commission shall make an overall 3. The Commission shall make an overall assessment of the budgetary situation and assessment of the budgetary situation and prospects in the euro area as a whole. The prospects in the euro area as a whole. The assessment shall be made public. assessment shall be made public in its entirety unless the Commission, after consulting the Eurogroup decides otherwise.

Or. en

Amendment 224 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 6 – paragraph 3 a (new)

Text proposed by the Commission Amendment

3a. Pursuant to Council Decision 2003/174/EC of 6 March 2003 establishing a Tripartite Social Summit for Growth and Employment, the overall assessment shall be included on the agenda of a Tripartite Social Summit for Growth convened before the following European Council.

Or. en

Amendment 225 Ramon Tremosa i Balcells

PE485.870v01-00 102/144 AM\895611EN.doc EN Proposal for a regulation Article 6 – paragraph 4

Text proposed by the Commission Amendment

4. The Eurogroup shall discuss opinions of 4. The Eurogroup, the European the Commission on the national budgetary Parliament, and in the event of repeated plans and the budgetary situation and non-compliance of Member States the prospects in the euro area as a whole on the European Council, shall discuss opinions basis of the overall assessment made by the of the Commission on the national Commission in accordance with paragraph budgetary plans. They shall also discuss 3. The assessment shall be made public. the budgetary situation and prospects in the euro area as a whole on the basis of the overall assessment made by the Commission in accordance with paragraph 3. The assessment shall be made public.

Or. en

Amendment 226 Derk Jan Eppink

Proposal for a regulation Article 6 – paragraph 4

Text proposed by the Commission Amendment

4. The Eurogroup shall discuss opinions of 4. The Eurogroup shall discuss the the Commission on the national budgetary opinions of the Commission on the plans and the budgetary situation and national budgetary plans as provided for in prospects in the euro area as a whole on paragraph 1 and the overall assessment of the basis of the overall assessment made the Commission on the budgetary situation by the Commission in accordance with and prospects in the euro area as a whole paragraph 3. The assessment shall be as provided for in paragraph 3. made public.

Or. en

Amendment 227 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

AM\895611EN.doc 103/144 PE485.870v01-00 EN Proposal for a regulation Article 6 – paragraph 4

Text proposed by the Commission Amendment

4. The Eurogroup shall discuss opinions of 4. The Eurogroup and the relevant the Commission on the national budgetary committees of the European Parliament plans and the budgetary situation and shall discuss at the same time the whole prospects in the euro area as a whole on the set of opinions of the Commission on the basis of the overall assessment made by the national budgetary plans and the budgetary Commission in accordance with paragraph situation and prospects in the euro area as a 3. The assessment shall be made public. whole on the basis of the overall assessment made by the Commission in accordance with paragraph 3.

Or. en

Amendment 228 Sylvie Goulard, Ramon Tremosa i Balcells

Proposal for a regulation Article 6 – paragraph 4

Text proposed by the Commission Amendment

4. The Eurogroup shall discuss opinions of 4. The Eurogroup and the competent the Commission on the national budgetary committee of the European Parliament plans and the budgetary situation and shall discuss opinions of the Commission prospects in the euro area as a whole on the on the national budgetary plans. They shall basis of the overall assessment made by the also discuss the budgetary situation and Commission in accordance with paragraph prospects in the euro area as a whole on the 3. The assessment shall be made public. basis of the overall assessment made by the Commission in accordance with paragraph 3. The assessment shall be made public.

Or. en

Amendment 229 Marianne Thyssen

Proposal for a regulation Article 6 – paragraph 4

PE485.870v01-00 104/144 AM\895611EN.doc EN Text proposed by the Commission Amendment

4. The Eurogroup shall discuss opinions of 4. The Eurogroup and the competent the Commission on the national budgetary committee of the European Parliament plans and the budgetary situation and shall discuss opinions of the Commission prospects in the euro area as a whole on the on the national budgetary plans and the basis of the overall assessment made by the budgetary situation and prospects in the Commission in accordance with paragraph euro area as a whole on the basis of the 3. The assessment shall be made public. overall assessment made by the Commission in accordance with paragraph 3. The overall assessment shall be made public.

Or. en

Amendment 230 Danuta Jazłowiecka

Proposal for a regulation Article 6 – paragraph 4

Text proposed by the Commission Amendment

4. The Eurogroup shall discuss opinions of 4. Member States shall discuss opinions of the Commission on the national budgetary the Commission on the national budgetary plans and the budgetary situation and plans and the budgetary situation and prospects in the euro area as a whole on the prospects in the euro area as a whole on the basis of the overall assessment made by the basis of the overall assessment made by the Commission in accordance with paragraph Commission in accordance with paragraph 3. The assessment shall be made public. 3. The assessment shall be made public.

Or. en

Amendment 231 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 6 – paragraph 4 a (new)

Text proposed by the Commission Amendment

4a. Following the discussion of the

AM\895611EN.doc 105/144 PE485.870v01-00 EN Eurogroup and the relevant committees of the European Parliament, the Commission shall update its specific recommendations in the framework of the Annual Growth Survey aiming at reinforcing the common macroeconomic framework of the euro area as well as outlining supportive measures foreseen in case of adverse financial, economic or budgetary developments.

Or. en

Amendment 232 Philippe Lamberts, Sven Giegold, Bas Eickhout, Emilie Turunen on behalf of the Verts/ALE Group

Proposal for a regulation Article 6 – paragraph 4 b (new)

Text proposed by the Commission Amendment

4b. Organisations representing the economic and social partners as well as of civil society organisations shall be consulted by the Commission on draft budgetary plans, draft Stability Programmes, draft National Reform Programmes and the overall assessment of the budgetary situation and prospects in the euro area as a whole.

Or. en

Amendment 233 Elisa Ferreira, Liem Hoang Ngoc, Pervenche Berès

Proposal for a regulation Article 6 a (new)

Text proposed by the Commission Amendment

Article 6a

PE485.870v01-00 106/144 AM\895611EN.doc EN Coordination of sovereign debt issuance 1. With a view to better coordinating the planning and placement of their national debt issuance, the Member States shall report ex ante on their public debt issuance plans to the European Commission and to the Council. 2. Several or all Member States may seek to improve the financing conditions of their national debt by agreeing, following a proposal by the Commission, an annual coordinated national debts issuance schedule. 3. Member States co-operating under paragraph 2 may further improve and stabilise their financing conditions by offering a coordinated interest rate on their national debt, on the basis of the country's economic fundamentals and the market conditions and following a methodology established by a regulation of the European Parliament and the Council. That regulation will also define the conditions for the buying by the ESM of any residual unsold amount from coordinated national debts issuances.

Or. en

Justification

The current crisis clearly demonstrates the need for a better coordination of sovereign debt issuance within the European Union which could lead to a significant decrease of the interest rates due by the Member States through an appropriate intervention of the ESM.

Amendment 234 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 6 a (new)

AM\895611EN.doc 107/144 PE485.870v01-00 EN Text proposed by the Commission Amendment

Article 6a Reporting on debt issuance 1. Member States shall report ex-ante on a timely basis to the European Commission and the Eurogroup on their national debt issuance plans. 2. The specifications of the content of the reporting referred to in paragraph 1 shall be set out in a harmonised framework established by the Commission by means of delegated acts in conformity with Article 10a.

Or. en

Amendment 235 Marianne Thyssen

Proposal for a regulation Article 6 a (new)

Text proposed by the Commission Amendment

Article 6a Reporting on debt issuance With a view to better coordinating the planning of their national debt issuance, the Member States shall report ex-ante on their public debt issuance plans to the European Commission and the Eurogroup.

Or. en

Amendment 236 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

PE485.870v01-00 108/144 AM\895611EN.doc EN Proposal for a regulation Article 6 b (new)

Text proposed by the Commission Amendment

Article 6b Governance of the euro area 1. The Heads of State of euro area Member States shall meet informally in Euro Summit meetings, together with the President of the Commission and the President of the European Parliament. The President of the European Central Bank shall be invited to take part in the meetings. The President of the Euro Summit shall be appointed by the Heads of State or Government of the Contracting Parties whose currency is the euro by simple majority at the same time the European Council elects its President and for the same term of office. 2. Euro Summit meetings shall take place, when necessary, and at least twice a year, to discuss questions related to the specific responsibilities which the euro area Member States share with regard to the single currency, other issues concerning the governance of the euro area and the rules that apply to it, and strategic orientations for the conduct of economic policies to increase convergence in the euro area. 3. The Heads of State or Government of Member States, other than those whose currency is the euro, who have ratified this Treaty shall participate in discussions of Euro Summit meetings concerning competitiveness for the euro area, the modification of the global architecture of the euro area and the fundamental rules that will apply to it in the future, as well as, when appropriate and at least once a year, in discussions on specific issues of implementation of this Treaty on Stability, Coordination and Governance in the economic and monetary union.

AM\895611EN.doc 109/144 PE485.870v01-00 EN 4. The President of the Euro Summit shall ensure the preparation and continuity of Euro Summit meetings, in close cooperation with the President of the European Commission. The body charged with the preparation and follow up of the Euro Summit meetings shall be the Euro Group and its president may be invited to attend the Euro Summit meetings for that purpose. 5. The President of the Euro Summit shall present a report to the European Parliament after each of the meetings of the Euro Summit. 6. The President of the Euro Summit shall keep the Member States whose currency is not the euro closely informed of the preparation and outcome of the Euro Summit meetings. 7. The President of the Euro Summit shall present his priorities for the Euro Summit in a debate in the European before each Euro Summit meeting.

Or. en

Amendment 237 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 6 c (new)

Text proposed by the Commission Amendment

Article 6c Establishment of enhanced economic policy coordination framework for the common issuance of euro area sovereign debt instruments 1. In the event that Member States decide to establish a stability mechanism for the common issuance of euro area sovereign debt instruments the framework defined

PE485.870v01-00 110/144 AM\895611EN.doc EN in paragraphs 2, 3 and 4 shall apply. 2. The Council, acting by a qualified majority on a proposal from the Commission shall set out specific policy guidelines including inter alia arrangements established by euro area Member States in order to strengthen discipline, enhance the monitoring of budgetary execution, limit potential liability risks and factor contributions to the diligent and effective reimbursement of the commonly issued instruments. 3. The implementation of policy guidelines referred to in paragraph 2 shall be subject to an enhanced multilateral surveillance procedure for which purpose the Commission shall adopt opinions and recommendations addressed to Member States and the euro area as a whole on a quarterly basis assessing economic developments and progress towards the implementation of the policy guidelines referred to in paragraph 2. 4. The Council acting by a qualified majority on a proposal from the Commission shall adopt one month after the entry into force of this Regulation a decision setting a roadmap towards euro area common sovereign debt instruments as well as a decision setting an euro area counter-cyclical facility. 5. When taking the decision referred to in paragraph 2 and 4, only euro area Member States shall take part in the vote.

Or. en

Amendment 238 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Chapter 3 a – title (new)

AM\895611EN.doc 111/144 PE485.870v01-00 EN Text proposed by the Commission Amendment

Establishment of enhanced economic policy coordination framework for the common issuance of euro area sovereign debt instruments and euro summits

Or. en

Amendment 239 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 7 – paragraph 1

Text proposed by the Commission Amendment

1. When the Council decides in accordance 1. When the Council decides in accordance with Article 126(6) of the Treaty that an with Article 126(6) TFEU that an excessive deficit exists in a Member State, excessive deficit exists in a Member State the Member State concerned shall be after the entry into force of this subject to paragraphs 2 to 5 of this Article, Regulation, the Member State concerned until the abrogation of its excessive deficit shall be subject to paragraphs 2 to 5 of this procedure. Article, until the abrogation of its excessive deficit procedure.

Or. en

Amendment 240 Sławomir Witold Nitras

Proposal for a regulation Article 7 – paragraph 1

Text proposed by the Commission Amendment

1. When the Council decides in accordance 1. When the Council decides in accordance with Article 126(6) of the Treaty that an with Article 126(6) TFEU that an excessive deficit exists in a Member State, excessive deficit exists in a Member State, the Member State concerned shall be the Member State concerned shall be subject to paragraphs 2 to 5 of this Article, subject to paragraphs 1a to 6 of this until the abrogation of its excessive deficit Article, until the abrogation of its excessive

PE485.870v01-00 112/144 AM\895611EN.doc EN procedure. deficit procedure.

Or. en

Amendment 241 Sławomir Witold Nitras

Proposal for a regulation Article 7 – paragraph 1 a (new)

Text proposed by the Commission Amendment

1a. A Member State subject to an excessive deficit procedure shall put in place a budgetary and economic partnership programme including a detailed description of the structural reforms necessary to ensure an effective and durable correction of their excessive deficits.

Or. en

Justification

The proposed regulation should include the main provisions of the TSCG.

Amendment 242 Ramon Tremosa i Balcells, Olle Schmidt

Proposal for a regulation Article 7 – paragraph 1 a (new)

Text proposed by the Commission Amendment

1a. Member States subject to an excessive deficit procedure shall put in place a budgetary and economic partnership programme including a detailed description of the structural reforms necessary to ensure an effectively durable correction of their excessive deficits.

Or. en

AM\895611EN.doc 113/144 PE485.870v01-00 EN Amendment 243 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 7 – paragraph 2

Text proposed by the Commission Amendment

2. The Member State subject to closer 2. The Member State subject to closer monitoring shall without delay carry out a monitoring shall without delay carry out a comprehensive assessment of in-year comprehensive assessment of in-year budgetary execution for the general budgetary execution for the general government and its sub-sectors. The government and its sub-sectors. The financial risks associated to government- financial risks associated to government- owned entities and government contracts owned entities and government contracts, shall also be covered by the assessment to as defined in Article 14(3) of Council the extent that they may contribute to the Directive 2011/85/EU, shall also be existence of an excessive deficit. The result covered by the assessment to the extent of this assessment shall be included in the that they may contribute to the existence of report submitted in accordance with Article an excessive deficit. The result of this 3(4a) or 5(1a) of Regulation (EC) No assessment shall be included in the report 1467/97 on action taken to correct the submitted in accordance with Article 3(4a) excessive deficit. or 5(1a) of Regulation (EC) No 1467/97 on action taken to correct the excessive deficit. In the event of a severe economic downturn or significant downside correction of forecasts the Member State will adopt an updated adjustment path towards the medium term budgetary objective to be agreed with the Commission taking proper account of pro-cyclical effects of consolidation measures as well as reviewed forecasts.

Or. en

Amendment 244 Burkhard Balz

Proposal for a regulation Article 7 – paragraph 2

PE485.870v01-00 114/144 AM\895611EN.doc EN Text proposed by the Commission Amendment

(2) The Member State subject to closer (2) The Member State subject to closer monitoring shall without delay carry out a monitoring shall without delay carry out a comprehensive assessment of in-year comprehensive assessment of in-year budgetary execution for the general budgetary execution for the general government and its sub-sectors. The government and its sub-sectors. The financial risks associated to government- financial risks associated with contingent owned entities and government contracts liabilities with potentially large impacts on shall also be covered by the assessment to public budgets, as defined in Article 14(3) the extent that they may contribute to the of Council Directive 2011/85/EU, shall existence of an excessive deficit. The result also be covered by the assessment to the of this assessment shall be included in the extent that they may contribute to the report submitted in accordance with Article existence of an excessive deficit. The result 3(4a) or 5(1a) of Regulation (EC) No of this assessment shall be included in the 1467/97 on action taken to correct the report submitted in accordance with Article excessive deficit. 3(4a) or 5(1a) of Regulation (EC) No 1467/97 on action taken to correct the excessive deficit.

Or. de

Amendment 245 Ramon Tremosa i Balcells

Proposal for a regulation Article 7 – paragraph 2

Text proposed by the Commission Amendment

2. The Member State subject to closer 2. The Member State subject to closer monitoring shall without delay carry out a monitoring shall without delay carry out a comprehensive assessment of in-year comprehensive assessment of in-year budgetary execution for the general budgetary execution for the general government and its sub-sectors. The government and its sub-sectors, that financial risks associated to government- assessment shall be carried out on a owned entities and government contracts semestral basis. The financial risks shall also be covered by the assessment to associated to government-owned entities the extent that they may contribute to the and government contracts shall also be existence of an excessive deficit. The result covered by the assessment to the extent of this assessment shall be included in the that they may contribute to the existence of report submitted in accordance with Article an excessive deficit. The result of this 3(4a) or 5(1a) of Regulation (EC) No assessment shall be included in the report 1467/97 on action taken to correct the submitted in accordance with Article 3(4a) excessive deficit. or 5(1a) of Regulation (EC) No 1467/97 on

AM\895611EN.doc 115/144 PE485.870v01-00 EN action taken to correct the excessive deficit.

Or. en

Amendment 246 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 7 – paragraph 3 – subparagraph 1

Text proposed by the Commission Amendment

Member State shall report regularly to the Member State shall report regularly to the Commission and to the Economic and Commission and to the Economic and Financial Committee or any sub-committee Financial Committee, the Employment it will designate for that purpose, for the Committee and the Euro working group general government and its sub-sectors, the or any sub-committee it will designate for in-year budgetary execution, the budgetary that purpose, for the general government impact of discretionary measures taken on and its sub-sectors, the in-year budgetary both the expenditure and the revenue side, execution, the budgetary and redistributive targets for the government expenditure and impact of discretionary measures taken on revenues, as well as information on the both the expenditure and the revenue side, measures adopted and the nature of those targets for the government expenditure and envisaged to achieve the targets. The report revenues, including sub-sectors and shall be made public. categories identified in Article 5 as well as information on the measures adopted and the nature of those envisaged to achieve the targets. The report shall be made public. The Commission shall be empowered to adopt delegated acts in accordance with Article 10b specifying the content of the report referred to in this paragraph.

Or. en

Amendment 247 Carl Haglund

Proposal for a regulation Article 7 – paragraph 3 – subparagraph 1

PE485.870v01-00 116/144 AM\895611EN.doc EN Text proposed by the Commission Amendment

Member State shall report regularly to the The Member State shall report regularly to Commission and to the Economic and the Commission and to the Economic and Financial Committee or any sub-committee Financial Committee or any sub-committee it will designate for that purpose, for the it will designate for that purpose, for the general government and its sub-sectors, the general government and its sub-sectors, the in-year budgetary execution, the budgetary in-year budgetary execution, the budgetary impact of discretionary measures taken on impact of discretionary measures taken on both the expenditure and the revenue side, both the expenditure and the revenue side, targets for the government expenditure and targets for the government expenditure and revenues, as well as information on the revenues, as well as information on the measures adopted and the nature of those measures adopted and the nature of those envisaged to achieve the targets. The report envisaged to achieve the targets. The shall be made public. Member State shall also report on the implementation of the budgetary and economic partnership programme and the structural reforms necessary to ensure an effective and durable correction of its excessive debt. The report shall be made public.

Or. en

Amendment 248 Sylvie Goulard, Ramon Tremosa i Balcells

Proposal for a regulation Article 7 – paragraph 3 – subparagraph 1

Text proposed by the Commission Amendment

Member State shall report regularly to the Member State shall report regularly to the Commission and to the Economic and Commission and to the Economic and Financial Committee or any sub-committee Financial Committee or any sub-committee it will designate for that purpose, for the it will designate for that purpose, for the general government and its sub-sectors, the general government and its sub-sectors, the in-year budgetary execution, the budgetary in-year budgetary execution, the budgetary impact of discretionary measures taken on impact of discretionary measures taken on both the expenditure and the revenue side, both the expenditure and the revenue side, targets for the government expenditure and targets for the government expenditure and revenues, as well as information on the revenues, as well as information on the measures adopted and the nature of those measures adopted and the nature of those envisaged to achieve the targets. The report envisaged to achieve the targets. The report shall be made public. shall be made public.

AM\895611EN.doc 117/144 PE485.870v01-00 EN The competent committee of the European Parliament may offer the opportunity to the Member State concerned to participate in an exchange of views.

Or. en

Amendment 249 Burkhard Balz

Proposal for a regulation Article 7 – paragraph 3 – subparagraph 1

Text proposed by the Commission Amendment

Member State shall report regularly to the The Member State subject to closer Commission and to the Economic and monitoring shall report regularly to the Financial Committee or any sub-committee Commission and to the Economic and it will designate for that purpose, for the Financial Committee or any sub-committee general government and its sub-sectors, the it will designate for that purpose, for the in-year budgetary execution, the budgetary general government and its sub-sectors, the impact of discretionary measures taken on in-year budgetary execution, the budgetary both the expenditure and the revenue side, impact of discretionary measures taken on targets for the government expenditure and both the expenditure and the revenue side, revenues, as well as information on the targets for the government expenditure and measures adopted and the nature of those revenues, as well as information on the envisaged to achieve the targets. The report measures adopted and the nature of those shall be made public. envisaged to achieve the targets. The report shall be made public.

Or. de

Amendment 250 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 7 – paragraph 6 – introductory part

Text proposed by the Commission Amendment

6. On request and within the deadline set 6. On request and within the deadline set by the Commission, the Member State by the Commission, the Member State

PE485.870v01-00 118/144 AM\895611EN.doc EN subject to closer monitoring shall: subject to closer monitoring and a Council notice under Article 126(9) TFEU shall:

Or. en

Amendment 251 Burkhard Balz

Proposal for a regulation Article 7 – paragraph 6 – introductory part

Text proposed by the Commission Amendment

(6) On request and within the deadline set (6) On request and within the deadline set by the Commission, the Member State by the Commission, the Member State in subject to closer monitoring shall: an excessive deficit procedure shall take the following action:

Or. de

Amendment 252 Sharon Bowles

Proposal for a regulation Article 7 – paragraph 6 – introductory part

Text proposed by the Commission Amendment

6. On request and within the deadline set 6. On request and within the deadline set by the Commission, the Member State by the Commission, the Member State subject to closer monitoring shall: subject to closer monitoring shall, without undue delay:

Or. en

Amendment 253 Ramon Tremosa i Balcells

Proposal for a regulation Article 7 – paragraph 6 – point a

AM\895611EN.doc 119/144 PE485.870v01-00 EN Text proposed by the Commission Amendment

(a) carry out and report on a (a) carry out and report on a comprehensive independent audit of the comprehensive independent audit of the accounts of the general government accounts of the general government conducted in coordination with national conducted in coordination with national supreme audit institutions, aiming at supreme audit institutions, aiming at assessing the reliability, completeness and assessing the reliability, completeness and accuracy of these public accounts for the accuracy of these public accounts for the purposes of the excessive defiocit purposes of the excessive defiocit procedure. In this context, the Commission procedure. In this context, the Commission (Eurostat) shall assess the quality of data (Eurostat) shall assess the quality of data reported by the Member State concerned in reported by the Member State concerned in accordance with Regulation (EC) No accordance with Regulation (EC) No 679/2010; 679/2010; if necessary Member States shall reform their national supreme audit institutions in order to fulfil those obligations;

Or. en

Justification

Some Member States don't have a national court of auditors controlling public expenditure

Amendment 254 Marianne Thyssen

Proposal for a regulation Article 7 – paragraph 6 – point a

Text proposed by the Commission Amendment

(a) carry out and report on a (a) carry out and report on a comprehensive independent audit of the comprehensive independent audit of the accounts of the general government accounts of the general government and its conducted in coordination with national subsectors conducted in coordination with supreme audit institutions, aiming at national supreme audit institutions, aiming assessing the reliability, completeness and at assessing the reliability, completeness accuracy of these public accounts for the and accuracy of these public accounts for purposes of the excessive defiocit the purposes of the excessive deficit procedure. In this context, the Commission procedure. In this context, the Commission (Eurostat) shall assess the quality of data (Eurostat) shall assess the quality of data reported by the Member State concerned in reported by the Member State concerned in accordance with Regulation (EC) No accordance with Regulation (EC) No

PE485.870v01-00 120/144 AM\895611EN.doc EN 679/20103 ; 679/20103 ;

Or. en

Amendment 255 Elisa Ferreira

Proposal for a regulation Article 7 – paragraph 6 – point a

Text proposed by the Commission Amendment

(a) carry out and report on a (a) carry out and report on a comprehensive independent audit of the comprehensive independent audit of the accounts of the general government accounts of the general government conducted in coordination with national conducted in coordination with national supreme audit institutions, aiming at supreme audit institutions, aiming at assessing the reliability, completeness and assessing the reliability, completeness and accuracy of these public accounts for the accuracy of these public accounts for the purposes of the excessive defiocit purposes of the excessive deficit procedure. procedure. In this context, the Commission In this context, the Commission (Eurostat) (Eurostat) shall assess the quality of data shall assess the quality of data reported by reported by the Member State concerned in the Member State concerned in accordance accordance with Regulation (EC) No with Regulation (EC) No 479/2010 679/2010 ; (amended 679/2010);

Or. en

Amendment 256 Sylvie Goulard, Ramon Tremosa i Balcells

Proposal for a regulation Article 7 – paragraph 6 a (new)

Text proposed by the Commission Amendment

6a. The competent committee of the European Parliament may offer the opportunity to the Member State concerned by the closer monitoring referred to in paragraph 6 to participate in an exchange of views.

Or. en

AM\895611EN.doc 121/144 PE485.870v01-00 EN Amendment 257 Elisa Ferreira

Proposal for a regulation Article 7 a (new)

Text proposed by the Commission Amendment

Article 7a Economic partnership programmes 1. Where the Council decides in accordance with Article 126(6) TFEU that an excessive deficit exists in a Member State, the Member State concerned shall present to the Commission and to the Council an economic partnership programme describing the policy measures and structural reforms that are needed to ensure an effectively durable correction of the excessive deficit, as a detailed development of the Stability Programmes and the national reform programmes and fully taking into account the Council recommendations on the implementation of the integrated guidelines for the economic and employment policies of the Member State concerned. 2. The economic partnership programme shall be fully compatible with the policies referred to in Article 1. 3. In the event of a severe economic downturn that leads the Council to extend the deadline for the correction of the excessive deficit in accordance with Article 5 of Regulation (EC) No 1467/97, the economic partnership programme shall reflect that decision. 4. The economic partnership programme shall be presented at the same time as the reports provided for in Article 3(4a) and Article 5(1a) of Regulation (EC) No 1467/97.

PE485.870v01-00 122/144 AM\895611EN.doc EN 5. The Council, acting by qualified majority on a proposal from the Commission, shall adopt an opinion on the economic partnership programme. 6. If a corrective action plan exists in accordance with Article 8(1) of Regulation (EU) No 1176/2011, the measures referred to in paragraph 1 shall be included in the plan. 7. The implementation of the programme, and the annual budgetary plans consistent with it, shall be monitored by the Commission and by the Council.

Or. en

Amendment 258 Roberto Gualtieri

Proposal for a regulation Article 7 a (new)

Text proposed by the Commission Amendment

AM\895611EN.doc 123/144 PE485.870v01-00 EN downturn, the economic partnership programme shall, following a proposal from the Commission, include a slower adjustment path towards the medium-term budgetary objective, taking into account, specifically pro-cyclical effects of consolidation measures, in accordance with Article 6(3) of Regulation (EC) No 1466/97 and the debt rule shall be coherently adjusted. 4. The economic partnership programme shall be presented at the same time as the reports provided for in Article 3(4a) and Article 5(1a) of Regulation (EC) No 1467/97. 5. The Council, acting by qualified majority on a proposal from the Commission, and with the consent of the European Parliament, shall adopt an opinion on the economic partnership programme. 6. A corrective action plan submitted by a Member State in accordance with Article 8(1) of Regulation (EU) No 1176/2011 shall be deemed to replace an economic partnership programme established under this Article. 7. The implementation of the programme, and the annual budgetary plans consistent with it, shall be monitored by the Commission and by the Council.

Or. en

Amendment 259 Burkhard Balz

Proposal for a regulation Article 8 - paragraph 2

Text proposed by the Commission Amendment

2. In case of risks of non-compliance with 2. In case of risks of non-compliance with the deadline to correct the excessive the deadline to correct the excessive

PE485.870v01-00 124/144 AM\895611EN.doc EN deficit, the Commission shall address a deficit, the Commission shall address a recommendation to the Member State recommendation to the Member State concerned for adoption of further measures concerned for adoption of further measures within a timeframe consistent with the within a timeframe consistent with the deadline for the correction of its excessive deadline for the correction of its excessive deficit referred to in paragraph 1. The deficit referred to in paragraph 1. The recommendation by the Commission shall Commission opinion shall be made public be made public, and, at the request of the and presented to the Eurogroup. At the Parliament of the Member State request of the Parliament of the Member concerned, shall be presented by the State concerned, it shall be presented by Commission to the Parliament concerned. the Commission to the Parliament concerned.

Or. de

Amendment 260 Anneli Jäätteenmäki, Sari Essayah

Proposal for a regulation Article 8 – paragraph 2

Text proposed by the Commission Amendment

2. In case of risks of non-compliance with 2. In case of risks of non-compliance with the deadline to correct the excessive the deadline to correct the excessive deficit, the Commission shall address a deficit, the Commission shall address a recommendation to the Member State recommendation to the Member State concerned for adoption of further measures concerned for adoption of further measures within a timeframe consistent with the within a timeframe consistent with the deadline for the correction of its excessive deadline for the correction of its excessive deficit referred to in paragraph 1. The deficit referred to in paragraph 1. The recommendation by the Commission shall Commission opinion shall be made public. be made public, and, at the request of the At the request of the Parliament of the Parliament of the Member State concerned, Member State concerned, the Commission shall be presented by the Commission to shall present it to the Parliament the Parliament concerned. concerned, giving detailed reasons for the measures called for.

Or. fi

Amendment 261 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

AM\895611EN.doc 125/144 PE485.870v01-00 EN Proposal for a regulation Article 8 – paragraph 2

Text proposed by the Commission Amendment

2. In case of risks of non-compliance with 2. In case of risks of non-compliance with the deadline to correct the excessive the deadline to correct the excessive deficit, the Commission shall address a deficit, the Commission shall address a recommendation to the Member State recommendation to the Member State concerned for adoption of further measures concerned for adoption of further measures within a timeframe consistent with the within a timeframe consistent with the deadline for the correction of its excessive deadline for the correction of its excessive deficit referred to in paragraph 1. The deficit referred to in paragraph 1. The recommendation by the Commission shall recommendation by the Commission shall be made public, and, at the request of the be made public, and, at the request of the Parliament of the Member State concerned, Parliament of the Member State concerned shall be presented by the Commission to or the European Parliament, shall be the Parliament concerned. presented by the Commission to the Parliament concerned.

Or. en

Amendment 262 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 8 – paragraph 2 a (new)

Text proposed by the Commission Amendment

2a. Where negative spill-over effects generated by other Member States create a risk of non-compliance for the concerned Member State the Council, on a recommendation from the Commission, may address, in accordance with the procedure laid down in Article 121(2) TFEU, the necessary recommendations to the Member States having been identified as being at the origin of negative spill- over effects. The Commission shall be empowered to adopt delegated acts in accordance with Article 10b specifying the relevant criteria for assessing whether compliance with the

PE485.870v01-00 126/144 AM\895611EN.doc EN deadline to correct the excessive deficit, as established by the current Council recommendation under Article 126(7) TFEU or Council notice under Article 126(9) TFEU, is at risk.

Or. en

Amendment 263 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 8 – paragraph 3

Text proposed by the Commission Amendment

3. Within the timeframe set by the 3. Within the timeframe set by the Commission recommendation referred to Commission recommendation referred to in paragraph 2, the Member State in paragraph 2, the Member State concerned shall report to the Commission concerned shall report to the Commission on measures adopted in response to this on measures adopted in response to this recommendation together with the reports recommendation together with the reports provided for in Article 7(3). The report provided for in Article 7(3). The report shall include the budgetary impact of all shall include the budgetary and discretionary measures taken, targets for redistributive impact of all discretionary the government expenditure and revenues, measures taken, targets for the government information on the measures adopted and expenditure and revenues, information on the nature of those envisaged to achieve the the measures adopted and the nature of targets, as well as information on the other those envisaged to achieve the targets actions being taken in response to the referred to in Article 5, as well as Commission recommendation. The report information on the other actions being shall be made public. taken in response to the Commission recommendation. The report shall be made public.

Or. en

Amendment 264 Sharon Bowles, Carl Haglund

Proposal for a regulation Article 8 – paragraph 3 a (new)

AM\895611EN.doc 127/144 PE485.870v01-00 EN Text proposed by the Commission Amendment

3a. The Eurogroup and the Council shall discuss the adequacy of the measures taken by the Member State and, if necessary, the Council shall propose further measures, including the adjustment of the Member State's sovereign risk-weighting, to ensure compliance with the deadline to correct the excessive deficit or an adjustment of the budgetary and economic partnership programme. If the Member State does not implement such further measures, the European Council shall discuss the situation and propose any further action which it considers necessary.

Or. en

Amendment 265 Carl Haglund

Proposal for a regulation Article 8 – paragraph 3 a (new)

Text proposed by the Commission Amendment

3a. The Eurogroup and the Council shall discuss the adequacy of the measures taken by the Member State and, if necessary, the Council shall propose further measures to ensure compliance with the deadline to correct the excessive deficit or an adjustment of the budgetary and economic partnership programme. If the Member State does not implement such further measures, the European Council shall discuss the situation and propose any further action which it considers necessary.

Or. en

PE485.870v01-00 128/144 AM\895611EN.doc EN Amendment 266 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 8 – paragraph 5

Text proposed by the Commission Amendment

5. On the basis of the report referred to in 5. On the basis of the report referred to in paragraph 3, the Commission shall assess paragraph 3 and the discussion referred to whether the Member State has complied in paragraph 4, the Commission shall with the recommendation made in assess whether the Member State has accordance with paragraph 2. complied with the recommendation made in accordance with paragraph 2.

Or. en

Amendment 267 Elisa Ferreira, Pervenche Berès, Liem Hoang Ngoc

Proposal for a regulation Article 9 – paragraph 1 – subparagraph 1 a (new)

Text proposed by the Commission Amendment

A Member State facing a situation of economic downturn such as the contraction of its GDP and/or a significant increase of its unemployment rate shall benefit from a suspension of its excessive deficit procedure.

Or. en

Justification

The current legislation includes a procyclical bias; therefore, Member States should be temporarily exempted from financial sanctions in bad times. To this respect, the implementation of this legislation should be carefully carried out through the whole economic cycle.

Amendment 268 Philippe Lamberts, Sven Giegold, Bas Eickhout

AM\895611EN.doc 129/144 PE485.870v01-00 EN on behalf of the Verts/ALE Group

Proposal for a regulation Article 9 – paragraph 1 – point a

Text proposed by the Commission Amendment

(a) the Commission when conducting a (a) the Commission when conducting a report under Article 126(3) of the Treaty report under Article 126(3) of the Treaty and when recommending the imposition of and when recommending the imposition of a non-interest bearing deposit in a non-interest bearing deposit in accordance with Article 5 of Regulation accordance with Article 5 of Regulation (EC) No XXX/2011; (EC) No 1173 /2011;

Or. en

Amendment 269 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 9 a (new)

Text proposed by the Commission Amendment

Article 9a Economic partnership programmes 1. When the Council decides in accordance with Article 126(6) TFEU that an excessive deficit exists in a Member State, the Member State concerned shall present to the Commission an economic partnership programme describing the structural reforms that are assessed as being required complements needed to ensure an effectively durable correction of the excessive deficit. This economic partnership programme shall amend, as appropriate, National Reform Programmes in consistency with Articles 5 and 5a of this Regulation. 2. This economic partnership programme shall be presented at the same time as the reports provided for in Article 3(4a) and

PE485.870v01-00 130/144 AM\895611EN.doc EN 5(1a) of Regulation No 1467/97. The economic partnership programme shall identify and select a number of specific budgetary priorities aiming at stabilising aggregated demand, enhancing sustainable growth and addressing structural weaknesses in the Member State. The Member State, in close coordination with the Commission, shall prepare a report outlining the selected programmes and projects including an action plan aiming at identifying, frontloading and mobilising financial resources, including EIB credit lines as well as relevant Union financial instruments. The report referred above shall be updated on an annual basis. The Commission shall define by ...* a performance mechanism aiming at proposing positive financial incentives for Member States fulfilling on a systematic basis monitoring requirements as referred to in Article 5 as well as commitments related to paragraph 2 of this Article. 3. The Council, acting by qualified majority on a proposal from the Commission, shall adopt an opinion on the economic partnership programme. 4. If a corrective action plan exists in accordance with Article 8(1) of Regulation (EU) No 1176/2011, this plan may be amended, as appropriate, in conformity with provisions of paragraphs 1 and 2 of this Article and in accordance with Article 9(4) of Regulation (EU) No 1176/2011 to replace the economic partnership programme envisaged by this Article. ______* OJ please insert date: one year after entry into force of this Regulation.

Or. en

AM\895611EN.doc 131/144 PE485.870v01-00 EN Amendment 270 Marianne Thyssen

Proposal for a regulation Article 9 a (new)

Text proposed by the Commission Amendment

Article 9a Economic partnership programmes 1. A Member State that is subject to an excessive deficit procedure shall present to the Commission and the Council an economic partnership programme with a detailed description of the structural reforms which must be put in place and implemented to ensure an effective and durable correction of the excessive deficit. 2. This economic partnership programme shall be presented at the same time as the reports provided for in Article 3(4a) and 5(1a) of Regulation (EC) No 1467/97. 3. The Council, acting on a proposal from the Commission, shall adopt an opinion on the economic partnership programme. The proposal shall be deemed to be adopted by the Council unless it decides, by qualified majority, to reject it within 10 days of its adoption by the Commission. 4. If a corrective action plan exists in accordance with Article 8(1) of Regulation (EU) No 1176/2011, this plan may be amended, as appropriate, in accordance with Article 9(4) of Regulation (EU) No 1176/2011 to replace the economic partnership programme envisaged by this Article.

Or. en

Justification

Updating the draft regulation according to the Treaty on Stability, Coordination and Governance in the Economic and Monetary Union.

PE485.870v01-00 132/144 AM\895611EN.doc EN Amendment 271 Elisa Ferreira

Proposal for a regulation Article 10 – paragraph 1 a (new)

Text proposed by the Commission Amendment

Member States in the euro area shall submit annually to the Commission and to the Eurogroup a draft sovereign debt issuance schedule; coordination of issuance timelines and conditions shall optimise the financing conditions of sovereign debt issuance.

Or. en

Amendment 272 Elisa Ferreira

Proposal for a regulation Article 10 – paragraph 1 b (new)

Text proposed by the Commission Amendment

On entry into force of this Regulation, the Commission shall publish a concrete roadmap for the implementation of stability bonds in accordance with its Green Paper of 23 November 2011 on the feasibility of introducing Stability Bonds and shall immediately establish a redemption fund.

Or. en

Amendment 273 Ramon Tremosa i Balcells, Sylvie Goulard, Philippe De Backer, Carl Haglund

Proposal for a regulation Article -11 (new)

AM\895611EN.doc 133/144 PE485.870v01-00 EN Text proposed by the Commission Amendment

Article -11 European Redemption Fund 1. A European redemption fund (ERF), based on joint liability and strict fiscal discipline is established with the aim of reducing excessive debt over a period of maximum 25 years after which the ERF will be wound up. 2. Member States whose currency is the euro and who are not under an assistance or adjustment programme shall: (a) transfer debt amounts above 60 % of GDP to the ERF over a roll-in period of five years; (b) implement a budget rule with a lower limit of a structural deficit of 0,5 % of GDP in their national constitution; (c) implement a fiscal consolidation strategy and a structural reform agenda; (d) lodge guarantees to cover their liabilities in the form of international currency reserves and tax revenues which accrue directly to the ERF; (e) reduce their structural deficit during the roll-in period to comply with the budget rule in point (b). 3. The Commission shall ensure the setting up and day-to-day management of the ERF. It shall, in particular: (a) set up a Board of Governors composed of one member of government who is responsible for finance from each participating Member State and chaired by the Member of the European Commission in charge of economic and monetary affairs; (b) propose to the Board of Governors the technical terms for the functioning of the ERF based on paragraph 1 and 2;

PE485.870v01-00 134/144 AM\895611EN.doc EN (c) establish a fiscal consolidation strategy including a binding target of medium term government expenditure and a binding structural reform agenda for each participating Member State; (d) set the conditions for the interest and redemption payments for the participating Member States; (e) suspend a Member States' participation if the Member State does not comply with one of the criteria in Article 11(2); (f) provide the ERF with sufficient human resources in the form of a secretariat. 4. The decisions of the Board of Governors shall be taken by qualified majority. The Board of Governors shall make in particular the following decisions: (a) approve the technical terms for the functioning of the ERF proposed by the Commission; (b) approve the participation of Member States; (c) appoint and end the term of a Managing Director from among candidates having the nationality of an ERF Member, relevant international experience and a high level of competence in economic and financial matters. Whilst holding office, the Managing Director shall not be a Governor. The Managing Director shall be the head of the ERF secretariat. 5. Participation in the ERF shall be open to other Member States as from the entry into force of the decision of the Council of the European Union taken in accordance with Article 140(2) TFEU to abrogate their derogation from adopting the euro. Admittance of new Members shall be approved by the Board of Governors. 6. Member States shall implement

AM\895611EN.doc 135/144 PE485.870v01-00 EN provisions in national law to ensure winding up and terminating the ERF after a maximum of 25 years.

Or. en

Amendment 274 Diogo Feio

Proposal for a regulation Article -11 (new)

Text proposed by the Commission Amendment

Article -11 Economic Dialogue In order to enhance the dialogue between the Union institutions, in particular the European Parliament, the Council and the Commission, and to ensure greater transparency and accountability, the competent committee of the European Parliament may invite the President of the Council, the Commission and, where appropriate, the President of the European Council or the President of the Eurogroup to appear before the committee to discuss decisions taken pursuant to Article 5(5), Article 6(4), Article 7(5), Article 8(4) and Article 9(3). The competent committee of the European Parliament may offer the opportunity to the Member State concerned by such decisions to participate in an exchange of views.

Or. en

Justification

Consistency with the economic and governance package should be kept in all steps of the way.

PE485.870v01-00 136/144 AM\895611EN.doc EN Amendment 275 Philippe De Backer

Proposal for a regulation Article -11 (new)

Text proposed by the Commission Amendment

Article -11 Economic Dialogue 1. In order to enhance the dialogue between the institutions of the Union, in particular the European Parliament, the Council and the Commission, and to ensure greater transparency and accountability, the competent committee of the European Parliament may invite the President of the Council, the Commission and, where appropriate, the President of the European Council or the President of the Eurogroup to appear before the committee to discuss the opinions and recommendations taken pursuant to this Regulation. 2. The competent committee of the European Parliament may offer the opportunity to participate in an exchange of views to the Member State which is the subject of an opinion or recommendation under this Regulation. 3. Representatives of the Commission may be invited to participate to an exchange of views by the Parliament of the Member State, which is the subject of an opinion or recommendation under this Regulation. 4. The Council and the Commission shall regularly inform the European Parliament of the results of the application of this Regulation.

Or. en

AM\895611EN.doc 137/144 PE485.870v01-00 EN Amendment 276 Philippe Lamberts, Sven Giegold, Bas Eickhout, Emilie Turunen on behalf of the Verts/ALE Group

Proposal for a regulation Article -11 (new)

Text proposed by the Commission Amendment

Article -11 Involvement of social partners and civil society Organisations representing the economic and the social partners as well as of civil society organisations shall be given the possibility to express their views on Commission's public recommendations and opinions referred to in this Regulation.

Or. en

Amendment 277 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article -11 a (new)

Text proposed by the Commission Amendment

Article -11a Exercise of the delegation 1. The power to adopt delegated acts is conferred on the Commission subject to the conditions laid down in this Article. 2. The delegation of power referred to in Article 6a shall be conferred on the Commission for period of three years from the date of entry into force of this Regulation. The Commission shall draw up a report in respect of the delegation of power not later than nine months before the end of the three-year period. The

PE485.870v01-00 138/144 AM\895611EN.doc EN delegation of power shall be tacitly extended for periods of an identical duration, unless the European Parliament or the Council opposes such extension not later than three months before the end of each period. 3. The delegation of powers referred to in Article 6a may be revoked at any time by the European Parliament or by the Council. A decision of revocation shall put an end to the delegation of the power specified in that decision. It shall take effect the day following the publication of the decision in the Official Journal of the European Union or at a later date specified therein. It shall not affect the validity of any delegated acts already in force. 4. As soon as it adopts a delegated act, the Commission shall notify it simultaneously to the European Parliament and to the Council. 5. A delegated act adopted pursuant to Article 6a shall enter into force only if no objection has been expressed either by the European Parliament or the Council within a period of two months of notification of that act to the European Parliament and the Council or if, before the expiry of that period, the European Parliament and the Council have both informed the Commission that they will not object. That period shall be extended by two months at the initiative of the European Parliament or the Council.

Or. en

Amendment 278 Philippe Lamberts, Sven Giegold, Bas Eickhout on behalf of the Verts/ALE Group

Proposal for a regulation Article 11 – paragraph 1 – subparagraph 1

AM\895611EN.doc 139/144 PE485.870v01-00 EN Text proposed by the Commission Amendment

By [same date as in Article 13 of By 1 January 2015 and every five years sanctions Regulation] and every five years thereafter, the Commission shall publish a thereafter, the Commission shall publish a report on the application of this Regulation. report on the application of this Regulation.

Or. en

Amendment 279 Marianne Thyssen

Proposal for a regulation Article 11 – paragraph 1 – subparagraph 2 – point b

Text proposed by the Commission Amendment

(b) the progress in ensuring closer (b) the progress in ensuring closer coordination of economic policies and coordination of economic and budgetary sustained convergence of economic policies and sustained convergence of performances of the Member States in economic performances of the Member accordance with the Treaty. States in accordance with the Treaty.

Or. en

Amendment 280 Elisa Ferreira

Proposal for a regulation Article 11 – paragraph 1 – subparagraph 2 – point b a (new)

Text proposed by the Commission Amendment

(ba) the contribution of this Regulation to the achievement of the Union's strategy for growth and jobs.

Or. en

Amendment 281 Philippe Lamberts, Sven Giegold, Bas Eickhout

PE485.870v01-00 140/144 AM\895611EN.doc EN on behalf of the Verts/ALE Group

Proposal for a regulation Article 11 – paragraph 1 – subparagraph 2 – point b a (new)

Text proposed by the Commission Amendment

(ba) the contribution of this Regulation to the achievement of the 'Jobs and growth strategy'.

Or. en

Amendment 282 Burkhard Balz

Proposal for a regulation Article 11 – paragraph 1 – subparagraph 2 – point b a (new)

Text proposed by the Commission Amendment

(ba) the contribution this Regulation makes to guaranteeing budgetary discipline.

Or. de

Amendment 283 Diogo Feio, Rodi Kratsa-Tsagaropoulou

Proposal for a regulation Article 11 a (new)

Text proposed by the Commission Amendment

Article 11a Commission report Three months upon entry into force of this Regulation, the Commission shall put forward a report, and if necessary a proposal, to the European Parliament and to the Council, with a detailed plan of how coordination and ex ante discussion

AM\895611EN.doc 141/144 PE485.870v01-00 EN among Member States of any major economic and fiscal policy reform plans with potential spill-over effects operate, in what format will the discussions take place, which are the policies contemplated, and what will be the political consequences to the Member States and national parliaments of decisions that may come out of such coordination and ex ante discussion.

Or. en

Amendment 284 Diogo Feio

Proposal for a regulation Article 11 b (new)

Text proposed by the Commission Amendment

Article 11b Additional Commission proposals 1. The Commission shall, where appropriate, come with proposals to address decisively the current sovereign debt crisis, such as the European redemption fund. 2. The Commission shall, where appropriate, issue a concrete roadmap for the implementation of stability bonds.

Or. en

Amendment 285 Diogo Feio

Proposal for a regulation Article 11 c (new)

PE485.870v01-00 142/144 AM\895611EN.doc EN Text proposed by the Commission Amendment

Article 11 c European debt authority By ...*, the Commission shall put forward a report, and if necessary a proposal, to the European Parliament and to the Council, evaluating the possibility of the creation of a European debt authority, which would be responsible to manage and coordinate all issues related with the annual debt issuance plan of the Member States, the renewal of their outstanding debt and the assessment of the sustainability of all Member States governments debt, as well as a annual publication of data related to Member States public debt, deficit and other macroeconomic indicators. ______* OJ please insert date: three months after entry into force of this Regulation.

Or. en

Amendment 286 Elisa Ferreira

Proposal for a regulation Article 12 – paragraph 1

Text proposed by the Commission Amendment

1. This Regulation shall apply to the 1. This Regulation shall apply to the Member States that are already subject to Member States that are already subject to an excessive deficit procedure at the time an excessive deficit procedure at the time of the entry into force of this Regulation. of the entry into force of this Regulation, in accordance with Article 10(1b)

Or. en

AM\895611EN.doc 143/144 PE485.870v01-00 EN Amendment 287 Pervenche Berès, Liem Hoang Ngoc

Proposal for a regulation Article 12 – paragraph 3

Text proposed by the Commission Amendment

3. Member States shall comply with deleted Article 4 at the latest by [6 months after adoption of this Regulation].

Or. en

Justification

PE485.870v01-00 144/144 AM\895611EN.doc EN