2014-2019

Plenary sitting

A8-0374/2016

7.12.2016

***I REPORT

on the proposal for a regulation of the European Parliament and of the Council on the establishment of the Structural Reform Support Programme for the period 2017 to 2020 and amending Regulations (EU) No 1303/2013 and (EU) No 1305/2013 (COM(2015)0701 – C8-0373/2015 – 2015/0263(COD))

Committee on Regional Development

Rapporteurs: Lambert van Nistelrooij, Constanze Krehl

Rapporteur for the opinion (*): , Committee on Economic and Monetary Affairs

(*)Associated committee – Rule 54 of the Rules of Procedure

RR\1112100EN.docx PE585.523v02-00

EN United in diversityEN PR_COD_1amCom

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PE585.523v02-00 2/133 RR\1112100EN.docx EN CONTENTS

Page

DRAFT EUROPEAN PARLIAMENT LEGISLATIVE RESOLUTION ...... 5

OPINION OF THE COMMITTEE ON ECONOMIC AND MONETARY AFFAIRS (*).....39

OPINION OF THE COMMITTEE ON BUDGETS ...... 58

OPINION OF THE COMMITTEE ON EMPLOYMENT AND SOCIAL AFFAIRS ...... 67

OPINION OF THE COMMITTEE ON FISHERIES...... 108

OPINION OF THE COMMITTEE ON CULTURE AND EDUCATION ...... 112

PROCEDURE – COMMITTEE RESPONSIBLE ...... 133

(*) Associated committee – Rule 54 of the Rules of Procedure

RR\1112100EN.docx 3/133 PE585.523v02-00 EN PE585.523v02-00 4/133 RR\1112100EN.docx EN DRAFT EUROPEAN PARLIAMENT LEGISLATIVE RESOLUTION on the proposal for a regulation of the European Parliament and of the Council on the establishment of the Structural Reform Support Programme for the period 2017 to 2020 and amending Regulations (EU) No 1303/2013 and (EU) No 1305/2013 (COM(2015)0701 – C8-0373/2015 – 2015/0263(COD))

(Ordinary legislative procedure: first reading)

The European Parliament,

– having regard to the Commission proposal to Parliament and the Council (COM(2015)0701),

– having regard to Articles 294(2), 175 and 197(2) of the Treaty on the Functioning of the , pursuant to which the Commission submitted the proposal to Parliament (C8-0373/2015),

– having regard to Article 294(3) of the Treaty on the Functioning of the European Union,

– having regard to the opinion of the European Economic and Social Committee of 16 March 20161,

– having regard to the opinion of the Committee of the Regions of 7 April 20162,

– having regard to Rule 59 of its Rules of Procedure,

– having regard to the report of the Committee on Regional Development and the opinions of the Committee on Economic and Monetary Affairs, the Committee on Budgets, the Committee on Employment and Social Affairs, the Committee on Fisheries and the Committee on Culture and Education (A8-0374/2016),

1. Adopts its position at first reading hereinafter set out;

2. Calls on the Commission to refer the matter to Parliament again if it intends to amend its proposal substantially or replace it with another text;

3. Instructs its President to forward its position to the Council, the Commission and the national parliaments.

Amendment 1

Proposal for a regulation Recital 2 a (new)

1OJ C 177 of 18.5.2016, p. 47. 2 Not yet published in the Official Journal.

RR\1112100EN.docx 5/133 PE585.523v02-00 EN Text proposed by the Commission Amendment

(2a) Article 174 TFEU requires the Union to develop and pursue its actions leading to the strengthening of its economic, social and territorial cohesion and, in particular, aim at reducing regional disparities.

Amendment 2

Proposal for a regulation Recital 4

Text proposed by the Commission Amendment

(4) Reforms are by their very nature (4) Reforms are by their very nature complex processes that require a complete complex processes that require a complete chain of highly-specialised knowledge and chain of highly-specialised knowledge and skills. Addressing structural reforms in a skills, as well as multi-level cooperation variety of public policy areas is and a long-term vision. Addressing challenging since their benefits often take structural reforms in a variety of public time to materialise. Therefore, early and policy areas is challenging since their efficient design and implementation is impact often take time to materialise. crucial, be it for crisis-struck or Therefore, timely and efficient design and structurally-weak economies. In this implementation is crucial, be it for crisis- context, the provision of support by the struck or structurally-weak economies. In Union in the form of technical assistance this context, the provision of support by the has been crucial in supporting the Union in the form of technical assistance economic adjustment of Greece and has been important in supporting the Cyprus in the last years. economic adjustment of Greece and Cyprus in the last years. Ownership of structural reforms on the ground is essential for the Structural Reform Support Programme (‘the Programme’) to be successful.

Amendment 3

Proposal for a regulation Recital 5

Text proposed by the Commission Amendment

(5) Member States may benefit from (5) Member States may benefit from support in addressing challenges as regards support in addressing challenges as regards

PE585.523v02-00 6/133 RR\1112100EN.docx EN the design and implementation of structural the design and implementation of growth- reforms. These challenges may be friendly structural reforms in line with the dependent on various factors, including Union’s economic and social objectives, limited administrative and institutional including support for economic growth, capacity or inadequate application and the creation of sustainable jobs, the implementation of Union legislation. promotion of sound investment and social development. These challenges may be dependent on various factors, such as limited administrative and institutional capacity or inadequate application and/ or delayed implementation of Union legislation designed to support smart, sustainable and inclusive growth.

Amendment 4

Proposal for a regulation Recital 6

Text proposed by the Commission Amendment

(6) The Union has a long-lasting (6) The Union has a long-lasting experience on providing specific support to experience with concrete actions and national administrations and other existing funding on providing specific authorities of Member States as regards support to national administrations and capacity building and similar actions in other authorities of Member States as certain sectors (e.g. taxation, customs, regards capacity building and similar support to small and medium-sized actions in certain sectors (e.g. taxation, enterprises) and in relation to the customs, support to small and medium- implementation of cohesion policy. The sized enterprises) and especially in relation experience gained by the Union in assisting to the implementation of cohesion policy. national authorities carrying out reforms The experience gained by the Union in should be used in order to enhance the assisting national authorities carrying out capacity of the Union to provide support to reforms should be used in order to enhance Member States. Comprehensive and the capacity of the Union to provide integrated action is indeed necessary in support to Member States. Comprehensive order to provide support to those Member and integrated action exists and is indeed States that are undertaking growth- necessary in order to provide support to enhancing reforms and request assistance those Member States that are undertaking from the Union in this respect. growth-enhancing reforms and request assistance from the Union in this respect.

Amendment 5

Proposal for a regulation Recital 6 a (new)

RR\1112100EN.docx 7/133 PE585.523v02-00 EN Text proposed by the Commission Amendment

(6a) The European Court of Auditors' Special Report (19/2015) entitled 'More attention to results needed to improve the delivery of technical assistance to Greece' includes useful recommendations with respect to the provision of technical assistance by the Commission to Member States which should be taken into account in the implementation of the support under the Programme.

Amendment 6

Proposal for a regulation Recital 7

Text proposed by the Commission Amendment

(7) Against this background, it is (7) Against this background, it is necessary to establish a Structural Reform necessary to establish the Programme with Support Programme ('the Programme') the objective of strengthening the capacity with the objective of strengthening the of Member States to design and implement capacity of Member States to prepare and growth-enhancing administrative and implement growth-enhancing structural reforms and establish coherence administrative and structural reforms, with national and regional development including through assistance for the strategies including through assistance for efficient and effective use of the Union the efficient and effective use of the Union funds. The Programme is intended to funds in particular the European contribute to the achievement of common Structural and Investment Funds ('ESI goals towards obtaining economic Funds') and programmes. The Programme recovery, job creation, boosting Europe's is intended to contribute to the competitiveness and stimulating achievement of common goals towards investment in the real economy. obtaining economic recovery, economic, social and territorial cohesion, job creation, guaranteeing a high level of social welfare and high-quality health and education services, combating poverty and social exclusion and boosting Europe's competitiveness and productivity and stimulating sustainable investment in the real economy.

PE585.523v02-00 8/133 RR\1112100EN.docx EN Amendment 7

Proposal for a regulation Recital 8

Text proposed by the Commission Amendment

(8) Support under the Programme (8) Support under the Programme should be provided by the Commission should be provided by the Commission upon request by a Member State, in areas upon request by a Member State, in areas such as budget and taxation, public such as cohesion and urban policy, budget function, institutional and administrative and taxation, public function, institutional reforms, the justice system, anti-fraud, and administrative reforms, territorial anti-corruption and anti-money laundering, organisation, the justice system, anti- business environment, private sector fraud, anti-corruption and anti-money development, investment, competition, laundering, measures to counteract tax public procurement, privatization evasion, business environment, private processes, access to finance, investment, sector development, partnerships to attract trade, sustainable development, innovation, investment, competition, public education and training, labour policies, procurement, increasing public public health, asylum, migration policies, participation in enterprises and agriculture and rural development and privatization processes, where appropriate, financial sector policies. access to finance, investment, trade, sustainable development, innovation, strengthening of public education and training systems, labour policies, as well as of public health systems, asylum, migration policies, agriculture and rural development, fisheries and financial sector policies.

Amendment 8

Proposal for a regulation Recital 9

Text proposed by the Commission Amendment

(9) Member States should be able to (9) Member States should be able to request support from the Commission request support from the Commission under the Programme in relation to the under the Programme in relation to the implementation of reforms in the context design and implementation of reforms in of economic governance processes, in the context of economic governance particular of Country Specific processes, in particular of relevant Country Recommendations in the context of the Specific Recommendations in the context European Semester, to actions related to of the European Semester, to actions the implementation of Union law, as well related to the implementation of Union as in relation to the implementation of law, as well as in relation to the economic adjustment programmes. They implementation of economic adjustment

RR\1112100EN.docx 9/133 PE585.523v02-00 EN should also be able to request support in programmes. They should also be able to relation to reforms undertaken at their own request support in relation to reforms initiative, in order to achieve sustainable undertaken at their own initiative, in order investment, growth and job creation. to achieve economic, social and territorial cohesion, sustainable investment, enhance growth, job creation and competitiveness. The Commission should provide guidance as to the main elements of the request for support.

Amendment 9

Proposal for a regulation Recital 10

Text proposed by the Commission Amendment

(10) Further to a dialogue with the (10) Further to a dialogue with the requesting Member State, including in the requesting Member State, including in the context of the European Semester, the context of the European Semester, the Commission should analyse the request, Commission should analyse the request, taking into account the principles of taking into account the principles of transparency, equal treatment and sound subsidiarity, solidarity, transparency, equal financial management and determine the treatment and sound financial management support to be provided based on urgency, and determine the support to be provided breadth and depth of the problems as based on urgency, breadth and depth and identified, support needs in respect of the severity of the problems as identified, the policy areas envisaged, analysis of justification for the reform sought, socioeconomic indicators, and the general support needs in respect of the policy areas administrative capacity of the Member envisaged, analysis of socioeconomic State. The Commission should also, in indicators, and the general administrative close cooperation with the Member State capacity of the Member State. The concerned, identify the priority areas, the Member State concerned should be scope of the support measures to be responsible for the application of the provided and the global financial partnership principle. Based on this contribution for such support, taking into analysis and taking into account the account the existing actions and measures existing actions and activities financed by financed by Union funds or other Union Union funds or Union programmes, the programmes. Commission should reach an agreement with the Member State concerned on the priority areas, the objectives, an indicative timeline, the scope of the support measures to be provided and the estimated global financial contribution for such support, to be set out in a cooperation and support plan. The European Parliament should be fully informed as soon as a request for support under the Programme has been

PE585.523v02-00 10/133 RR\1112100EN.docx EN received and of the analysis undertaken by the Commission. The Commission should provide the cooperation and support plan to the European Parliament as soon as possible.

Amendment 10

Proposal for a regulation Recital 10 a (new)

Text proposed by the Commission Amendment

(10a) The Commission should be able, with the consent of the Member State wishing to receive support, to organise the provision of support in cooperation with international organisations, as defined in this Regulation.

Amendment 11

Proposal for a regulation Recital 10 b (new)

Text proposed by the Commission Amendment

(10b) The Member State wishing to receive support should be able, for a specific area or areas of support, to enter into a partnership with one or more Member States as Reform Partners to help formulate strategy, reform roadmaps, design high-quality assistance or oversee the implementation of strategy and projects. While the responsibility for the reforms lies with the Member State wishing to receive support, Reform Partners or other Member States providing support should be able to contribute to the successful implementation of the Programme. The European Parliament should be fully informed about the participation of a Reform Partner and its role in the cooperation and support plan.

RR\1112100EN.docx 11/133 PE585.523v02-00 EN Amendment 12

Proposal for a regulation Recital 11

Text proposed by the Commission Amendment

(11) The Commission Communications (11) The Commission Communications ‘The EU Budget Review’13 and ‘A budget ‘The EU Budget Review’13 and ‘A budget for Europe 2020’14 underline the for Europe 2020’14 underline the importance of focusing funding on importance of focusing funding on actions activities with clear European added value, and activities with clear European added i.e. where the Union intervention can bring value, i.e. where the Union intervention additional value compared to action of can bring additional value compared to Member States alone. Against this action of Member States alone. Against background, the support actions carried out this background, the support actions and under the Programme should ensure activities carried out under the Programme complementarity and synergy with other should ensure complementarity and programmes and policies at national, synergy with other programmes and Union and international level. The actions policies at regional, national and Union under the Programme should allow levels, as set out in the Common Strategic elaborating and implementing solutions Framework established under Regulation that address national challenges which (EU) No 1303/2013 of the European have impact on cross-border or Union-wide Parliament and of the Council, as well as challenges and achieve a consistent and the international level where appropriate. coherent implementation of Union law. In The actions and activities under the addition, they should contribute to further Programme should allow elaborating and develop trust and promote cooperation with implementing solutions that address the Commission and among Member national challenges which have impact on States. Moreover, the Union is in a better cross-border or Union-wide challenges and position than Member States to provide a achieve a consistent and coherent platform for the provision and sharing of implementation of Union law. In addition, good practices from peers as well as to they should contribute to further develop mobilise expertise. trust and promote cooperation with the Commission and among Member States. Moreover, the Union is in a position to provide a platform for the provision and sharing of good practices from peers as well as to mobilise expertise, so as to develop concrete solutions that are tailor- made to the specific situation in the requesting Member State. ______13 COM(2010)700 of 19 October 2010. 13 COM(2010)700 of 19 October 2010. 14 COM(2011)500 final of 29 June 2011. 14 COM(2011)500 final of 29 June 2011.

PE585.523v02-00 12/133 RR\1112100EN.docx EN Amendment 13

Proposal for a regulation Recital 13 a (new)

Text proposed by the Commission Amendment

(13a) This Regulation lays down a financial envelope for the entire duration of the Programme which is to constitute the prime reference amount, within the meaning of Point 17 of the Interinstitutional Agreement of 2 December 2013 between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management1a, for the European Parliament and the Council during the annual budgetary procedure. The financing of the Programme through the transfer of allocations from technical assistance at the initiative of the Commission should only be considered a one-off solution that should not constitute a precedent as regards the funding of future initiatives in this field. A possible legislative proposal for the prolongation of the Programme under the new Multiannual Financial Framework should include a separate new allocation that is earmarked specifically for the Programme. ______1a OJ C 373, 20.12.2013, p. 1.

Amendment 14

Proposal for a regulation Recital 14

Text proposed by the Commission Amendment

(14) Member States that request support (14) Member States that request support should be able to contribute to the financial should have the option to contribute to the

RR\1112100EN.docx 13/133 PE585.523v02-00 EN envelope of the Programme with additional financial envelope of the Programme with funds. Currently, Regulation (EU) additional funds. Currently, Regulation No 1303/2013 limits the possibility of a (EU) No 1303/2013 limits the possibility transfer of resources dedicated to technical of a transfer of resources dedicated to assistance at the initiative of a Member technical assistance at the initiative of a State to those Member States which face Member State to those Member States temporary budgetary difficulties. which face temporary budgetary Regulation (EU) No 1303/2013 should difficulties. Regulation (EU) No 1303/2013 therefore be amended in order to allow all should therefore be amended in order to Member States to participate financially to allow all Member States to participate the Programme. The resources transferred financially to the Programme. The to the Union budget should be used for resources transferred to the Union budget supporting actions contributing to smart, should be used for supporting actions sustainable and inclusive growth or Fund- contributing to smart, sustainable and specific purposes in the Member States inclusive growth or Fund-specific purposes concerned. in the Member States concerned through improved effectiveness and efficiency and increased absorption of the Funds. Member States should decide voluntarily whether to allocate part of the resources to support structural reforms.

Amendment 15

Proposal for a regulation Recital 15

Text proposed by the Commission Amendment

(15) This Regulation should be (15) This Regulation should be implemented in compliance with implemented in compliance with Regulation (EU, Euratom) No 966/2012 of Regulation (EU, Euratom) No 966/2012 of the European Parliament and of the the European Parliament and of the Council18 on the financial rules applicable Council18 on the financial rules applicable to the annual budget of the European to the annual budget of the European Union. The Commission should adopt Union. The Commission should adopt multi-annual work programmes that set out multi-annual work programmes that set out the political objectives pursued, the the social, political and economic expected results of the support and the objectives pursued, the expected results of funding priorities in the respective policy the support and the funding priorities in the areas. Those elements should be further respective policy areas. Those elements specified in annual work programmes should be further specified in annual work adopted by implementing acts. programmes. ______18Regulation (EU, Euratom) No 966/2012 18Regulation (EU, Euratom) No 966/2012 of the European Parliament and of the of the European Parliament and of the Council of 25 October 2012 on the Council of 25 October 2012 on the

PE585.523v02-00 14/133 RR\1112100EN.docx EN financial rules applicable to the general financial rules applicable to the general budget of the Union and repealing Council budget of the Union and repealing Council Regulation (EC, Euratom) No 1605/2002 Regulation (EC, Euratom) No 1605/2002 (OJ L 298, 26.10.2012, p. 1). (OJ L 298, 26.10.2012, p. 1).

Amendment 16

Proposal for a regulation Recital 16

Text proposed by the Commission Amendment

(16) Considering the importance of (16) Considering the importance of sustaining the efforts of Member States in sustaining the efforts of Member States in pursuing and implementing structural, pursuing and implementing structural, institutional and administrative reforms, it institutional and administrative reforms, it is necessary to allow a co-financing rate of is necessary to allow a co-financing rate 100% of the eligible costs in order to for grants of up to 100% of the eligible achieve the objectives of the Programme, costs in order to achieve the objectives of whilst ensuring compliance with the the Programme, whilst ensuring principles of co-financing and no-profit. compliance with the principles of co- financing and no-profit.

Amendment 17

Proposal for a regulation Recital 17

Text proposed by the Commission Amendment

(17) In the event of unforeseen and duly (17) In the event of unforeseen and duly justified grounds of urgency requiring justified grounds of urgency requiring immediate response, such as a serious immediate response, such as a serious disturbance in the economy or significant disturbance in the economy or significant circumstances seriously affecting the circumstances seriously affecting the economic or social conditions in a Member economic or social conditions in a Member State going beyond its control, upon State going beyond its control, upon request of a Member State, the request of a Member State wishing to Commission should be able to adopt receive support, the Commission should, special measures, for a limited proportion urgently, be able to adopt special of the annual work programme, in measures, for a limited proportion of the accordance with objectives and actions annual work programme and for a limited eligible under the Programme to support period of time of up to six months, in the national authorities in addressing the accordance with objectives and actions urgent needs. eligible under the Programme to support the national authorities in addressing the urgent needs. The European Parliament

RR\1112100EN.docx 15/133 PE585.523v02-00 EN should be fully informed about the adoption of such special measures.

Amendment 18

Proposal for a regulation Recital 18

Text proposed by the Commission Amendment

(18) In order to ensure the efficient and (18) In order to ensure the efficient, coherent allocation of funds from the coherent and transparent use of funds Union budget and the principle of sound from the Union budget and the principle of financial management, actions under this sound financial management, actions under Programme should complement and be this Programme should complement, be additional to ongoing Union programmes, additional to and coordinated with whilst avoiding double funding for the ongoing Union programmes, without same expenditure. In particular, the substituting them, whilst avoiding double Commission and the Member State funding for the same eligible cost. In concerned, in accordance with their particular, the Commission and the respective responsibilities should ensure at Member State concerned, in accordance Union and Member State levels, in all with their respective responsibilities should stages of the process, effective ensure at Union and Member State levels, coordination in order to ensure in all stages of the process, effective consistency, complementarity and synergy coordination in order to ensure between sources of funding supporting consistency, complementarity and synergy actions in the relevant Member States with between sources of funding supporting close links to this Programme, specifically actions in the relevant Member States with with measures being financed from the close links to this Programme, specifically Union funds in the Member States. with measures being financed from the Union funds and Union programmes in the Member States, in particular the ESI Funds. It is of particular importance that the Commission ensures complementarity and synergies with support provided by relevant international organisations.

Amendment 19

Proposal for a regulation Recital 19

Text proposed by the Commission Amendment

(19) The financial interests of the Union (19) The financial interests of the Union should be protected through proportionate should be protected through proportionate measures throughout the expenditure cycle, measures throughout the expenditure cycle,

PE585.523v02-00 16/133 RR\1112100EN.docx EN including the prevention, detection and including the prevention, detection and investigation of irregularities, the recovery investigation of irregularities, the recovery of funds lost, wrongly paid or incorrectly of funds lost, unduly paid or incorrectly used and, where appropriate, penalties. used and, where appropriate, administrative and financial penalties in accordance with Regulation (EU, Euratom) No 966/2012.

Amendment 20

Proposal for a regulation Recital 20

Text proposed by the Commission Amendment

(20) To facilitate the evaluation of the (20) To facilitate the evaluation of the Programme, a proper framework for Programme, a proper, transparent monitoring the results achieved by the framework for monitoring the Programme should be put in place from the implementation of actions and the results very beginning. A mid-term evaluation achieved by the Programme should be put looking at the achievement of the in place from the very beginning. An objectives of the Programme, its efficiency annual monitoring report on the and its added value at the European level implementation of the Programme, should be carried out. A final evaluation including an analysis of the application of should, in addition, deal with the long– the criteria for assessing the request for term impact and the sustainability effects support, an interim mid-term evaluation of the Programme. Those evaluations looking at the achievement of the should be based on the indicators, objectives of the Programme, its efficiency measuring the effects of the Programme. and its added value at the European level and an assessment of the Programme under the next financial programming period, including its possible renewal and alternative sources of funding, should be carried out. An ex-post evaluation should, in addition, deal with the long–term impact and the sustainability effects of the Programme. Those evaluations should be based on the indicators defined in advance, measuring the effects of the Programme.

Amendment 21

Proposal for a regulation Recital 21

RR\1112100EN.docx 17/133 PE585.523v02-00 EN Text proposed by the Commission Amendment

(21) In order to adapt the list of (21) In order to adapt the list of indicators measuring the achievement of indicators measuring the achievement of the objectives of the Programme, in the the objectives of the Programme, in the light of experience during the light of experience during the implementation of the Programme, the implementation of the Programme, and to power to adopt delegated acts in supplement this Regulation, the power to accordance with Article 290 of the Treaty adopt delegated acts in accordance with on the Functioning of the European Article 290 TFEU should be delegated to Union should be delegated to the the Commission in respect of the Commission in respect of the amendment amendment of the list and adoption of the of the list. It is of particular importance that multi-annual work programmes. It is of the Commission carries out appropriate particular importance that the Commission consultations during its preparatory work, carries out appropriate consultations during including at expert level. The Commission, its preparatory work, with different when preparing and drawing up delegated stakeholders, including at expert level, and acts, should ensure a simultaneous, timely that those consultations be conducted in and appropriate transmission of relevant accordance with the principles laid down documents to the European Parliament in the Interinstitutional Agreement of 13 and to the Council. April 2016 on Better Law-Making. In particular, to ensure equal participation in the preparation of delegated acts, the European Parliament and the Council receive all documents at the same time as Member States' experts, and their experts systematically have access to meetings of Commission expert groups dealing with the preparation of delegated acts.

Amendment 22

Proposal for a regulation Recital 22

Text proposed by the Commission Amendment

(22) In order to ensure uniform (22) In order to ensure uniform conditions for the implementation of this conditions for the implementation of this Regulation as regards the adoption of the Regulation as regards the adoption of the multi-annual and annual work annual work programmes, implementing programmes, implementing powers should powers should be conferred on the be conferred on the Commission. Commission, in accordance with Article 291 TFEU. Those powers should be exercised in accordance with Regulation (EU) No 182/2011 of the European Parliament and of the Council1a. The

PE585.523v02-00 18/133 RR\1112100EN.docx EN advisory procedure should be used for the adoption of the annual work programmes. ______1a Regulation (EU) No 182/2011 of the European Parliament and of the Council of 16 February 2011 laying down the rules and general principles concerning mechanisms for control by Member States of the Commission's exercise of implementing powers (OJ L 55, 28.2.2011, p. 13).

Amendment 23

Proposal for a regulation Recital 23

Text proposed by the Commission Amendment

(23) Since the objective of this (23) Since the objective of this Regulation, namely to contribute to the Regulation, namely to contribute to the institutional, administrative and structural institutional, administrative and structural reforms in the Member States by providing reforms decided in agreement with support to national authorities for measures Member States by providing support to aimed at reforming institutions, national authorities, as defined in this governance, administration, economic and Regulation, for measures aimed at social sectors, including through assistance reforming institutions, governance for the efficient and effective use of the structures or public administration, Union funds cannot be sufficiently economic and social sectors, including achieved by the Member States alone, but through assistance for the efficient and can rather, by reason of their scale and effective use of the Union funds cannot be effects, be better achieved at Union level, sufficiently achieved by the Member States the Union may adopt measures, in alone, but can rather, by reason of their accordance with the principle of scale and effects, be better achieved at subsidiarity as set out in Article 5 of the Union level, the Union may adopt Treaty on European Union. In accordance measures, in accordance with the principle with the principle of proportionality, as set of subsidiarity as set out in Article 5 of the out in that Article, this Regulation does not Treaty on European Union. In accordance go beyond what is necessary in order to with the principle of proportionality, as set achieve that objective, since the scope of out in that Article, this Regulation does not the support would be mutually agreed with go beyond what is necessary in order to the Member State concerned. achieve that objective, since the scope of the support would be mutually agreed with the Member State concerned.

RR\1112100EN.docx 19/133 PE585.523v02-00 EN Amendment 24

Proposal for a regulation Article 2

Text proposed by the Commission Amendment

For the purposes of this Regulation, the For the purposes of this Regulation, the following definitions shall apply: following definitions shall apply: 1. 'Beneficiary Member State' means a 1. 'Beneficiary Member State' means a Member State that receives support from Member State that requests and receives the Union under this Programme; support from the Union under this Programme; 2. 'Union funds' means the European 2. 'Union funds' means the European Structural and Investment funds referred to Structural and Investment funds referred to in Article 1 of Regulation (EU) No in Article 1 of Regulation (EU) No 1303/2013, the Fund for the European Aid 1303/2013, the Fund for the European Aid to the Most Deprived, established by to the Most Deprived, established by Regulation (EU) No 223/2014 of the Regulation (EU) No 223/2014 of the European Parliament and of the Council19, European Parliament and of the Council19, the Asylum, Migration and Integration the Asylum, Migration and Integration Fund established by Regulation (EU) No Fund established by Regulation (EU) No 516/2014 of the European Parliament and 516/2014 of the European Parliament and of the Council20, the instrument for of the Council20, the instrument for financial support for police cooperation, financial support for police cooperation, preventing and combating crime, and crisis preventing and combating crime, and crisis management established as part of the management established as part of the Internal Security Fund, by Regulation (EU) Internal Security Fund, by Regulation (EU) No 513/2014 of the European Parliament No 513/2014 of the European Parliament and of the Council21, and the instrument for and of the Council21, and the instrument for financial support for external borders and financial support for external borders and visa established, as part of the Internal visa established, as part of the Internal Security Fund, by Regulation (EU) Security Fund, by Regulation (EU) 515/2014 of the European Parliament and 515/2014 of the European Parliament and of the Council22. of the Council22. 2a. 'National authority' means one or more national authorities, including authorities at regional and local levels, functioning in accordance with the Member State's institutional and legal framework and in accordance with the partnership principle as set out in the European code of conduct on partnership in the framework of the European Structural and Investment Funds22a.

PE585.523v02-00 20/133 RR\1112100EN.docx EN 2b. 'International organisation' means international public-sector organisation set up by an international agreement, as well as specialised agencies set up by such an organisation, within the meaning of point (c) (ii) of Article 58(1) of the Financial Regulation. ______19Regulation (EU) No 223/2014 of the 19Regulation (EU) No 223/2014 of the European Parliament and of the Council of European Parliament and of the Council of 11 March 2014, on the Fund for European 11 March 2014, on the Fund for European Aid to the Most Deprived (OJ L 72, Aid to the Most Deprived (OJ L 72, 12.3.2014, p. 1). 12.3.2014, p. 1). 20Regulation (EU) No 516/2014 of the 20Regulation (EU) No 516/2014 of the European Parliament and of the Council of European Parliament and of the Council of 16 April 2014 establishing the Asylum, 16 April 2014 establishing the Asylum, Migration and Integration Fund, amending Migration and Integration Fund, amending Council Decision 2008/381/EC and Council Decision 2008/381/EC and repealing Decisions No 573/2007/EC and repealing Decisions No 573/2007/EC and No 575/2007/EC of the European No 575/2007/EC of the European Parliament and of the Council and Council Parliament and of the Council and Council Decision 2007/435/EC (OJ L 150, Decision 2007/435/EC (OJ L 150, 20.5.2014, p. 168). 20.5.2014, p. 168). 21Regulation (EU) No 513/2014 of the 21Regulation (EU) No 513/2014 of the European Parliament and of the Council of European Parliament and of the Council of 16 April 2014 establishing, as part of the 16 April 2014 establishing, as part of the Internal Security Fund, the instrument for Internal Security Fund, the instrument for financial support for police cooperation, financial support for police cooperation, preventing and combating crime, and crisis preventing and combating crime, and crisis management and repealing Council management and repealing Council Decision 2007/125/JHA (OJ L 150, Decision 2007/125/JHA (OJ L 150, 20.5.2014, p. 93). 20.5.2014, p. 93). 22Regulation (EU) No 515/2014 of the 22Regulation (EU) No 515/2014 of the European Parliament and of the Council of European Parliament and of the Council of 16 April 2014 establishing, as part of the 16 April 2014 establishing, as part of the Internal Security Fund, the instrument for Internal Security Fund, the instrument for financial support for external borders and financial support for external borders and visa and repealing Decision No visa and repealing Decision No 574/2007/EC (OJ L 150, 20.5.2014, p. 574/2007/EC (OJ L 150, 20.5.2014, p. 143). 143). 22a Commission Delegated Regulation (EU) No. 240/2014 of 7 January 2014 on the European code of conduct on partnership in the framework of the European Structural and Investment Funds (OJ L 74, 14.3.2014, p. 1).

RR\1112100EN.docx 21/133 PE585.523v02-00 EN Amendment 25

Proposal for a regulation Article 3

Text proposed by the Commission Amendment

1. The Programme shall finance 1. The Programme shall finance actions with European added value. To that actions and activities with European added effect, the Commission shall ensure that value. To that effect, the Commission shall actions selected for funding are likely to ensure that actions and activities selected produce results with European added value for funding produce results which, in and shall monitor whether European added accordance with the principle of value is actually achieved. subsidiarity, have European added value and shall monitor whether European added value is actually achieved. 2. Actions and activities of the 2. Actions and activities of the Programme shall ensure European added Programme shall ensure European added value in particular through: value in particular through: (a) the development and (a) the development and implementation of solutions that address implementation of solutions that address national challenges which have impact on local, regional and national challenges cross-border or Union-wide challenges; which have impact on cross-border or Union-wide challenges, and that contribute to social, economic and territorial cohesion; (b) their complementarity and synergy (b) their complementarity and synergy with other Union programmes and policies with other Union programmes and policies at national, Union and international level; at regional, national and Union level as set out in the Common Strategic Framework established under Regulation (EU) No 1303/2013, as well as at international level where appropriate; (c) their contribution to the consistent (c) their contribution to the consistent and coherent implementation of Union law; and coherent implementation of Union law and policies, as well as the promotion of European values, in particular solidarity and respect for fundamental rights; (d) their contribution to the sharing of (d) their contribution to the sharing of good practices and to building a Union- good practices with a view to increasing wide platform and network of expertise; the visibility of the Union’s reform programmes and to building a Union-wide platform and network of expertise; (e) the promotion of mutual trust (e) the promotion of mutual trust between Beneficiary Member States and between Beneficiary Member States and

PE585.523v02-00 22/133 RR\1112100EN.docx EN the Commission and cooperation among the Commission and cooperation among Member States. Member States.

Amendment 26

Proposal for a regulation Article 4

Text proposed by the Commission Amendment

The general objective of the Programme The general objective of the Programme shall be to contribute to institutional, shall be to contribute to institutional, administrative and structural reforms in the administrative and growth-friendly Member States by providing support to structural reforms in the Member States by national authorities for measures aimed at providing support to national authorities reforming institutions, governance, for measures aimed at reforming and administration, economic and social sectors strengthening institutions, governance, in response to economic and social public administration, economic and social challenges with a view to enhancing sectors in response to economic and social competitiveness, growth, jobs, and challenges with a view to enhancing investment, in particular in the context of economic, social and territorial cohesion, economic governance processes, including competitiveness, productivity of Union through assistance for the efficient and enterprises, sustainable growth, job effective use of the Union funds. creation, and investment, in the context of economic governance processes, or through assistance for the efficient, effective and transparent use of the Union funds, in particular the ESI Funds.

Amendment 27

Proposal for a regulation Article 5

Text proposed by the Commission Amendment

1. To achieve the general objective set 1. To achieve the general objective set out in Article 4, the Programme shall have out in Article 4, the Programme shall have the following specific objectives: the following specific objectives that shall be pursued in close cooperation with beneficiary Member States: (a) to assist the initiatives of national (a) to assist the initiatives of national authorities to design their reforms authorities to design and implement their according to priorities, taking into account reforms according to their priorities, taking initial conditions and expected socio- into account initial conditions and expected economic impacts; socio-economic and territorial impacts, as

RR\1112100EN.docx 23/133 PE585.523v02-00 EN well as the need to contribute to the objective of the Union strategy for smart, sustainable and inclusive growth; (b) to support the national authorities to (b) to support the national authorities to enhance their capacity to formulate, enhance their capacity to plan and develop and implement reform policies and formulate, develop and implement reform strategies and pursue an integrated policies and strategies and pursue an approach ensuring consistency between integrated approach ensuring consistency goals and means across sectors; between priorities at national and where appropriate regional level goals and means across sectors; (c) to support the efforts of national (c) to support the efforts of national authorities to define and implement authorities to define and implement appropriate processes and methodologies appropriate processes and methodologies by taking into account good practices and by taking into account best practices and lessons learned by other countries in lessons learned by other countries in addressing similar situations; addressing similar situations; (d) to assist the national authorities to (d) to assist the national authorities to enhance the efficiency and effectiveness of enhance the efficiency and effectiveness of human resources management, where human resources management, by appropriate, through definition of clear strengthening professional knowledge and responsibilities and increase of skills, as well as of social dialogue. professional knowledge and skills. These objectives shall be pursued in close cooperation with Beneficiary Member States. (da) to assist national authorities as well as economic and social partners to improve their administrative and operational capacities to implement Union Funds, in particular the ESI Funds. 2. The specific objectives set out in 2. The specific objectives set out in paragraph 1 shall refer to policy areas paragraph 1 shall refer to policy areas related to competitiveness, growth, jobs related to economic, social and territorial and investment, in particular to the cohesion, competitiveness, innovation, following: smart, sustainable, and inclusive growth, jobs and investment, in particular to the following: (a) public financial management, (a) public financial management, budget process, debt management and budget process, debt management and revenue administration; revenue administration; (b) institutional reform and efficient (b) institutional reform and efficient and service-oriented functioning of public and service-oriented functioning of public administration, effective rule of law, administration, including through reform of the justice system and simplification of rules, effective rule of

PE585.523v02-00 24/133 RR\1112100EN.docx EN reinforcement of anti-fraud, anti-corruption law, reform of the justice system and and anti-money laundering; reinforcement of anti-fraud, anti-corruption and anti-money laundering; (c) business environment, private (c) business environment, re- sector development, investment, industrialisation, private sector privatization processes, trade and foreign development, financial and administrative direct investment, competition and public assistance to SMEs, investment, procurement, sustainable sectoral increasing public participation in development and support for innovation; enterprises and privatization processes, where appropriate, trade and foreign direct investment, competition and public procurement, sustainable sectoral development and support for innovation and digitalisation; (d) education and training, labour (d) cohesion, education and training, market policies, social inclusion, social labour market policies for the creation of security and social welfare systems, public jobs, fight against poverty and promotion health and healthcare systems, asylum, of social inclusion, social security and migration and borders policies; social welfare systems, public health and healthcare systems, asylum, migration and borders policies; (e) policies for the agricultural sector (e) policies for implementing climate and the sustainable development of rural action and promoting energy efficiency, areas; achieving energy diversification, as well as for the agricultural sector, fisheries and the sustainable development of rural areas; (f) financial sector policies and access (f) financial sector policies, including to finance. the promotion of financial literacy, financial stability, access to finance and lending to the real economy; the production, provision and quality monitoring of data and statistics; and policies aiming at combating tax evasion.

Amendment 28

Proposal for a regulation Article 6

Text proposed by the Commission Amendment

With a view to pursuing the objectives set With a view to pursuing the objectives set out in Articles 4 and 5, the Programme out in Articles 4 and 5 and achieving may finance in particular the following tailor-made solutions, the Programme may types of action: finance in particular the following types of action:

RR\1112100EN.docx 25/133 PE585.523v02-00 EN (a) expertise related to policy advice, (a) expertise related to policy advice, policy change, and legislative, policy change, formulation of strategies institutional, structural and administrative and reform roadmaps, as well as to reforms; legislative, institutional, structural and administrative reforms at national, regional and local level where appropriate; (b) the provision of expert(s) (b) the provision of expert(s) (including resident experts), for a short or (including resident experts), for a short or long period, to perform tasks in specific long period, to perform tasks in specific domains or to carry out operational domains or to carry out operational activities, where necessary with activities, where necessary with interpretation, translation and cooperation interpretation, translation and cooperation support, administrative assistance and support, administrative assistance and infrastructure and equipment facilities; infrastructure and equipment facilities; (c) institutional, administrative or (c) institutional, administrative or sectoral capacity building and related sectoral capacity building and related supporting actions, notably: supporting actions including empowering civil society, as well as reforms at all governance levels notably: (i) seminars, conferences and (i) seminars, conferences and workshops; workshops; (ii) working visits to relevant Member (ii) working visits to relevant Member States or a third country to enable officials States or a third country to enable officials to acquire or increase their expertise or to acquire or increase their expertise or knowledge in relevant matters; knowledge in relevant matters; (iii) training actions and the (iii) training actions and the development of online or other training development of online or other training modules to support the necessary modules to support the necessary professional skills and knowledge relating professional skills and knowledge relating to the relevant reforms; to the relevant reforms; (d) collection of data and statistics; (d) collection of data and statistics; development of common methodologies development of common methodologies and, where appropriate, indicators or and, where appropriate, indicators or benchmarks; benchmarks; (e) organisation of local operational (e) organisation of local operational support in areas such as asylum, migration, support in areas such as asylum, migration, border control; border control; (f) IT capacity building: development, (f) IT capacity building for the maintenance, operation and quality control development, maintenance, operation and of the IT infrastructure and applications quality control of the IT infrastructure and needed to implement the relevant reforms; applications needed to implement the relevant reforms, and programmes geared towards the digitalisation of public services;

PE585.523v02-00 26/133 RR\1112100EN.docx EN (g) studies, researches, analyses and (g) studies, researches, analyses and surveys; evaluations and impact surveys; evaluations and impact assessments; elaboration and publication of assessments; elaboration and publication of guides, reports and educational material; guides, reports and educational material; (h) communication projects: learning, (h) communication projects in the cooperation, awareness raising, context of the reforms proposed for dissemination activities, and exchange of learning, cooperation, awareness raising, good practices; organisation of awareness- dissemination activities, and exchange of raising and information campaigns, media good practices; organisation of awareness- campaigns and events, including corporate raising and information campaigns, media communication; campaigns and events, including corporate communication and communication through social networks, where appropriate; (i) compilation and publication of (i) compilation and publication of materials to disseminate information as materials to disseminate information as well as results of the Programme: well as results of the Programme, development, operation and maintenance including through the development, of systems and tools using information and operation and maintenance of systems and communication technologies; tools using information and communication technologies; (j) any other activity in support of the (j) any other relevant activity in general and specific objectives set out in support of the general and specific Articles 4 and 5. objectives set out in Articles 4 and 5.

Amendment 29

Proposal for a regulation Article 7

Text proposed by the Commission Amendment

1. A Member State wishing to receive 1. A Member State wishing to receive support under the Programme shall submit support under the Programme shall submit a request for support to the Commission, a request for support to the Commission, identifying the policy areas and the identifying the policy areas and the priorities for support within the scope of priorities for support within the scope of the Programme as set out in Article 5(2). the Programme as set out in Article 5(2). This request shall be submitted at the latest This request shall be submitted at the latest by 31 October of each calendar year. by 31 October of each calendar year. The Commission shall provide guidance as to the main elements included in the request for support to be submitted by the Member State. 2. Taking into account the principles 2. Taking into account the principles of transparency, equal treatment and sound of subsidiarity, solidarity, transparency,

RR\1112100EN.docx 27/133 PE585.523v02-00 EN financial management, further to a equal treatment and sound financial dialogue with the Member State, including management, further to a dialogue with the in the context of the European Semester, Member State, including in the context of the Commission shall analyse the request the European Semester, the Commission for support referred to in paragraph 1 based shall analyse the request for support on the urgency, breadth and depth of the referred to in paragraph 1 based on the problems identified, support needs in urgency, breadth and depth of the problems respect of the policy areas concerned, identified, support needs in respect of the analysis of socioeconomic indicators and policy areas envisaged, analysis of general administrative capacity of the socioeconomic indicators and general Member State. Taking into account the administrative capacity of the Member existing actions and measures financed by State. Based on this analysis and taking Union funds or other Union programmes, into account the existing actions and the Commission in close cooperation with activities financed by Union funds or other the Member State concerned shall identify Union programmes, the Commission and the priority areas for support, the scope of the Member State concerned shall agree on the support measures to be provided and the priority areas for support, the the global financial contribution for such objectives, an indicative timeline, the support. scope of the support measures to be provided and the estimated global financial contribution for such support in a cooperation and support plan. 2a. The Commission shall keep the European Parliament fully informed as soon as a request for support has been received under the Programme and on the analysis undertaken by the Commission. The Commission shall also provide the cooperation and support plan to the European Parliament as soon as possible. 3. The request for support may be 3. The request for support may be submitted regarding the following: submitted regarding the following: (a) the implementation of reforms in (a) the implementation of reforms by the context of economic governance Member States, undertaken at their own processes, in particular of the relevant initiative, in particular to achieve Country Specific Recommendations sustainable economic growth and job issued in the context of the European creation; semester or of relevant actions related to the implementation of Union law; (b) the implementation of economic (b) the implementation of economic adjustment programmes for Member States adjustment programmes for Member States that receive Union financial assistance that receive Union financial assistance under existing instruments, in particular in under existing instruments, in particular in accordance with Regulation (EU) No accordance with Regulation (EU) No 472/2013 of the European Parliament and 472/2013 of the European Parliament and of the Council23 for the euro area Member of the Council23 for the euro area Member States and Council Regulation (EC) No States and Council Regulation (EC) No

PE585.523v02-00 28/133 RR\1112100EN.docx EN 332/200224 for non-euro area Member 332/200224 for non-euro area Member States; States;

(c) the implementation of reforms by (c) the implementation of sustainable Member States, undertaken at their own reforms in the context of economic initiative, notably to achieve sustainable governance processes, in particular of the investment, growth and job creation. relevant Country Specific Recommendations issued in the context of the European semester or of relevant actions related to the implementation of Union law. ______23 Regulation (EU) No 472/2013 of the 23 Regulation (EU) No 472/2013 of the European Parliament and of the Council of European Parliament and of the Council of 21 May 2013 on the strengthening of 21 May 2013 on the strengthening of economic and budgetary surveillance of economic and budgetary surveillance of Member States in the euro area Member States in the euro area experiencing or threatened with serious experiencing or threatened with serious difficulties with respect to their financial difficulties with respect to their financial stability (OJ L 140, 27.5.2013, p. 1). stability (OJ L 140, 27.5.2013, p. 1). 24 Council Regulation (EC) No 332/2002 of 24 Council Regulation (EC) No 332/2002 of 18 February 2002 establishing a facility 18 February 2002 establishing a facility providing medium-term financial providing medium-term financial assistance for Member States' balances of assistance for Member States' balances of payments (OJ L 53, 23.2.2002, p. 1). payments (OJ L 53, 23.2.2002, p. 1).

(In paragraph 3, points (a) and (c) in the Commission text have become points (c) and (a) respectively in Parliament’s amendment. And both are also amended.)

Amendment 30

Proposal for a regulation Article 8

Text proposed by the Commission Amendment

Organisation of support Organisation of support and Reform Partners 1. The Commission may define the 1. The Commission may, with the support envisaged for Beneficiary Member consent of the Beneficiary Member State, States in cooperation with other Member organise the support in cooperation with States or international organisations. other Member States or international organisations.

RR\1112100EN.docx 29/133 PE585.523v02-00 EN 2. The Beneficiary Member State, in 2. The Beneficiary Member State, in coordination with the Commission, may coordination with the Commission, may enter into partnership with one or more enter into partnership with one or more other Member States which shall act as other Member States which shall act as Reform Partners in respect of specific areas Reform Partners in respect of specific areas of reform. A Reform Partner shall, in of reform. A Reform Partner shall, in coordination with the Commission, help coordination with the Commission and on formulate strategy, reform roadmaps, the basis of a mutual understanding with design high-quality assistance or oversee the Beneficiary Member State and the implementation of strategy and projects. Commission, help formulate strategy, reform roadmaps, design high-quality assistance or oversee implementation of strategy and projects. The Commission shall keep the European Parliament fully informed about the participation of a Reform Partner and its role in the cooperation and support plan.

Amendment 31

Proposal for a regulation Article 9

Text proposed by the Commission Amendment

1. The financial envelope for the 1. The financial envelope for the implementation of the Programme shall be implementation of the Programme shall be up to EUR 142 800 000. EUR 142 800 000 in current prices. 2. The financial allocation of the 2. The financial allocation of the Programme may also cover expenses Programme may also cover expenses pertaining to preparatory, monitoring, pertaining to preparatory, monitoring, control, audit and evaluation activities control, audit and evaluation activities which are required for the management of which are required for the management of the Programme and the achievement of its the Programme and the achievement of its objectives, in particular studies, meetings objectives, in particular studies, meetings of experts, information and communication of experts, information and communication actions, including corporate actions, as far as they are related to the communication of the political priorities general objectives of this Regulation, of the Union, as far as they are related to expenses linked to IT networks focusing on the general objectives of this Regulation, information processing and exchange, expenses linked to IT networks focusing on together with all other technical and information processing and exchange, administrative assistance expenses incurred together with all other technical and by the Commission for the management of administrative assistance expenses incurred the Programme. by the Commission for the management of the Programme. 3. The budgetary authority shall 3. The annual appropriations shall

PE585.523v02-00 30/133 RR\1112100EN.docx EN authorise the available annual be authorised by the European appropriations within the limits of the Parliament and the Council within the Multiannual Financial Framework limits of the multiannual financial established by Regulation (EU, Euratom) framework. No 1311/2013.

Amendment 32

Proposal for a regulation Article 10 – paragraph 1

Text proposed by the Commission Amendment

1. In addition to the financial envelope 1. In addition to the financial envelope set out in Article 9, the Programme may be set out in Article 9, the Programme may be financed through additional contributions financed through additional voluntary from Member States. contributions from Member States.

Amendment 33

Proposal for a regulation Article 12

Text proposed by the Commission Amendment

1. The Commission shall implement 1. The Commission shall implement the Programme in accordance with the Programme in accordance with Regulation (EU, Euratom) No 966/2012. Regulation (EU, Euratom) No 966/2012. 2. The measures of the Programme 2. The measures of the Programme may be implemented either directly by the may be implemented either directly by the Commission or indirectly, by entities and Commission or indirectly, by entities and persons other than Member States in persons other than Member States in accordance with Article 60 of Regulation accordance with Article 60 of Regulation (EU, Euratom) No 966/2012. In particular, (EU, Euratom) No 966/2012. In particular, Union financial support for actions Union financial support for actions provided for in Article 6 of this Regulation provided for in Article 6 of this Regulation shall take the form of: shall take the form of: (d) grants (including grants to the (d) grants (including grants to the Member States' national authorities); Member States' national authorities); (e) public procurement contracts; (e) public procurement contracts; (f) reimbursement of costs incurred by (f) reimbursement of costs incurred by external experts; external experts, including experts of either the national, regional or local authorities of Member States providing support;

RR\1112100EN.docx 31/133 PE585.523v02-00 EN (g) contributions to trust funds; (g) contributions to trust funds set up by international organisations; and; (h) actions carried out in indirect (h) actions carried out in indirect management. management. 3. Grants may be awarded to Member 3. Grants may be awarded to Member States' national authorities, the European States' national authorities, the European Investment Bank group, international Investment Bank group, international organisations, public and/or private bodies organisations, public and/or private bodies and entities legally established in any of and entities legally established in any of the following: the following: (a) Member States; (a) Member States; (b) European Free Trade Agreement (b) European Free Trade Agreement countries which are party to the European countries which are party to the European Economic Area Agreement, in accordance Economic Area Agreement, in accordance with the conditions laid down in the EEA with the conditions laid down in the EEA Agreement. Agreement. The co-financing rate for grants shall be up The co-financing rate for grants shall be up to 100 % of the eligible costs, without to 100 % of the eligible costs, without prejudice to the principles of co-financing prejudice to the principles of co-financing and no-profit. and no-profit. 4. Support may also be provided by 4. Support may also be provided by individual experts who may be invited to individual experts who may be invited to contribute to selected activities organised contribute to selected activities organised under the Programme wherever that is under the Programme wherever that is necessary for the achievement of the necessary for the achievement of the specific objectives set out in Articles 5. specific objectives set out in Article 5. 5. In order to implement the 5. The Commission is empowered to Programme, the Commission shall adopt, adopt delegated acts in accordance with by way of implementing acts, multi-annual Article 16 in order to supplement this work programmes. Multi-annual work Regulation by establishing multi-annual programmes shall set out the policy work programmes. Multi-annual work objectives pursued through the envisaged programmes shall set out the policy support and the expected results, as well as objectives pursued through the envisaged funding priorities in the relevant policy support and the expected results, as well as areas. The multi-annual work programmes funding priorities in the relevant policy shall be further specified in annual work areas. The multi-annual work programmes programmes, adopted by way of shall be further specified in annual work implementing acts, identifying the programmes, adopted by way of measures needed for their implementation, implementing acts, identifying the together with all the elements required by measures needed for their implementation, Regulation (EU, Euratom) No 966/2012. together with all the elements required by Regulation (EU, Euratom) No 966/2012.

PE585.523v02-00 32/133 RR\1112100EN.docx EN 6. To ensure timely availability of 6. To ensure timely availability of resources, the annual work programme resources, the annual work programme may indicate that in the event of may indicate that in the event of unforeseen and duly justified grounds of unforeseen and duly justified grounds of urgency requiring an immediate response, urgency requiring an immediate response, including a serious disturbance in the including a serious disturbance in the economy or significant circumstances economy or significant circumstances seriously affecting the economic or social seriously affecting the economic or social conditions in a Member State going conditions in a Member State going beyond its control, the Commission may, beyond its control, the Commission may, on request by a Member State, adopt on request by a Member State wishing to special measures in accordance with the receive support, adopt urgent special objectives and actions defined in this measures, initially not included in the Regulation to support the national annual work programme, in accordance authorities in addressing urgent needs. with the objectives and actions defined in Such special measures may account only this Regulation to support the national for a limited proportion of the annual work authorities in addressing urgent needs. programme and shall not be subject to the Such special measures are interim in conditions set out in Article 7. nature, may account only for a limited proportion of the annual work programme and shall not be subject to the conditions set out in Article 7. The special measures shall end within six months and may be replaced by support in accordance with the conditions set out in Article 7. The Commission shall keep the European Parliament fully informed as to the special measures adopted on the basis of this Article.

Amendment 34

Proposal for a regulation Article 13

Text proposed by the Commission Amendment

The Commission and the Beneficiary The Commission and the Beneficiary Member States, within their respective Member States, within their respective responsibilities, shall foster synergies and responsibilities, shall foster synergies and ensure effective coordination between the ensure effective coordination between the Programme and other Union programmes Programme and other Union programmes and instruments, and in particular with and instruments, and in particular with measures financed by the Union funds. To measures financed by the Union funds. To this end, they shall: this end, they shall: (a) ensure complementarity and (a) ensure complementarity and synergy between different instruments at synergy between different instruments at

RR\1112100EN.docx 33/133 PE585.523v02-00 EN Union and national levels, in particular in Union, national and regional levels, in relation to measures financed by Union particular in relation to measures financed funds, both in the planning phase and by Union funds, both in the planning phase during implementation; and during implementation, in particular in relation to the ESI Funds; (b) optimise mechanisms for (b) optimise mechanisms for coordination to avoid duplication of effort; coordination to avoid duplication of effort and cost; (c) ensure close cooperation between (c) ensure close cooperation between those responsible for implementation at those responsible for implementation at Union and national level to deliver Union, national and regional level to coherent and streamlined support actions. deliver coherent and streamlined support actions. The relevant multi-annual and annual work The relevant multi-annual and annual work programmes may serve as the coordination programmes may serve as the coordination framework, where support is envisaged in framework, where support is envisaged in any of the areas referred to in Article 5(2). any of the areas referred to in Article 5(2). The Commission shall ensure complementarity and synergies with support provided by relevant international organisations.

Amendment 35

Proposal for a regulation Article 14 – paragraph 1

Text proposed by the Commission Amendment

1. The Commission shall take 1. The Commission shall take appropriate measures ensuring that, when appropriate measures ensuring that, when actions financed under this Regulation are actions financed under this Regulation are implemented, the financial interests of the implemented, the financial interests of the Union are protected by the application of Union are protected by the application of preventive measures against fraud, preventive measures against fraud, corruption and any other illegal activities, corruption and any other illegal activities, by effective checks and, if irregularities are by effective checks and, if irregularities are detected, by the recovery of the amounts detected, by the recovery of the amounts wrongly paid and, where appropriate, by unduly paid or incorrectly used and, effective, proportionate and deterrent where appropriate, by effective, penalties. proportionate, administrative and financial penalties in accordance with Regulation (EU, Euratom) No 966/2012.

PE585.523v02-00 34/133 RR\1112100EN.docx EN Amendment 36

Proposal for a regulation Article 15

Text proposed by the Commission Amendment

1. The Commission shall monitor the 1. The Commission shall monitor the implementation of the actions financed by implementation of the actions financed by the Programme and measure the the Programme and measure the achievement of the specific objectives achievement of the general objective in referred to in Article 5(1) in accordance Article 4 and the specific objectives with indicators set out in the Annex. referred to in Article 5(1) in accordance with indicators set out in the Annex. The Commission shall be empowered to The Commission shall be empowered to adopt delegated acts in accordance with adopt delegated acts in accordance with Article 16 concerning amendments to the Article 16 concerning amendments to the list of indicators set out in the Annex. list of indicators set out in the Annex. 2. The Commission shall provide the 2. The Commission shall provide the European Parliament and the Council with European Parliament and the Council with an interim evaluation report, by mid of an annual monitoring report on the 2019, at the latest, and an ex-post implementation of the Programme, evaluation report by end of December including an analysis of the application of 2021. the criteria referred to in Article 7(2) for assessing the requests for support submitted by Member States, an interim evaluation report, by mid of 2019, at the latest, and an ex-post evaluation report by end of December 2021. 3. The interim evaluation report shall 3. The interim evaluation report shall include information on the achievement of include information on the achievement of the Programme's objectives, the efficiency the Programme's objectives, the efficiency of the use of resources and the of the use of resources and the Programme’s European added value and Programme’s European added value and assessment on whether funding in areas assessment on whether funding in areas covered by the Programme needs to be covered by the Programme needs to be adapted or extended after 2020. It shall adapted, suspended or re-established also address the continued relevance of all under the next financial framework with objectives and actions. The ex-post a dedicated financial envelope. It shall evaluation report shall include information also address the continued relevance of all on the longer-term impact of the objectives and actions. The ex-post Programme. evaluation report shall assess the Programme as a whole and include information on its longer-term impact.

RR\1112100EN.docx 35/133 PE585.523v02-00 EN Amendment 37

Proposal for a regulation Article 16

Text proposed by the Commission Amendment

1. The power to adopt delegated acts 1. The power to adopt delegated acts is conferred on the Commission subject to is conferred on the Commission subject to the conditions laid down in this Article. the conditions laid down in this Article. 2. The power to adopt delegated acts 2. The power to adopt delegated acts referred to in the second subparagraph of referred to in Article 12(5) and the second Article 15(1) shall be conferred on the subparagraph of Article 15(1) shall be Commission for a period of four years conferred on the Commission for a period from 1 January 2017. of four years from 1 January 2017. 3. The delegation of power referred to 3. The delegation of power referred to in the second subparagraph of Article 15(1) in Article 12(5) and the second may be revoked at any time by the subparagraph of Article 15(1) may be European Parliament or by the Council. A revoked at any time by the European decision to revoke shall put an end to the Parliament or by the Council. A decision to delegation of the power specified in that revoke shall put an end to the delegation of decision. It shall take effect on the day the power specified in that decision. It shall following publication in the Official take effect on the day following Journal of the European Union or at a later publication in the Official Journal of the date specified therein. It shall not affect the European Union or at a later date specified validity of any delegated acts already in therein. It shall not affect the validity of force. any delegated acts already in force. 3a. Before adopting a delegated act, the Commission shall consult experts designated by each Member State in accordance with the principles laid down in the Interinstitutional Agreement of 13 April 2016 on Better Law-Making. 4. As soon as it adopts a delegated act, 4. As soon as it adopts a delegated act, the Commission shall notify it the Commission shall notify it simultaneously to the European Parliament simultaneously to the European Parliament and to the Council. and to the Council. 5. A delegated act adopted pursuant to 5. A delegated act adopted pursuant to the second subparagraph of Article 15(1) Article 12(5) and the second subparagraph shall enter into force only if no objection of Article 15(1) shall enter into force only has been expressed either by the European if no objection has been expressed either Parliament or by the Council within a by the European Parliament or by the period of two months of the notification of Council within a period of two months of that act to the European Parliament and the the notification of that act to the European Council or if, before the expiry of that Parliament and the Council or if, before the period, the European Parliament and the expiry of that period, the European Council have both informed the Parliament and the Council have both

PE585.523v02-00 36/133 RR\1112100EN.docx EN Commission that they will not object. That informed the Commission that they will period shall be extended by two months at not object. That period shall be extended the initiative of the European Parliament or by two months at the initiative of the of the Council. European Parliament or of the Council.

Amendment 38

Proposal for a regulation Article 17 – point 3 Regulation (EU) No 1303/2013 Article 91 – paragraph 3

Text proposed by the Commission Amendment

3. 0,35% of the global resources after 3. 0,35% of the global resources after the deduction of the support to the CEF the deduction of the support to the CEF referred to in Article 92(6), and to the aid referred to in Article 92(6), and to the aid for the most deprived referred to in Article for the most deprived referred to in Article 92(7) shall be allocated to technical 92(7) shall be allocated to technical assistance at the initiative of the assistance at the initiative of the Commission, of which up to EUR 112 233 Commission, of which up to EUR 112 233 000 shall be allocated to the Structural 000 in current prices shall be allocated to Reform Support Programme for use within the Structural Reform Support Programme the scope and purpose of that Programme. for use within the scope and purpose of that Programme

Amendment 39

Proposal for a regulation Article 18 Regulation (EU) No 1305/2013 Article 51 – paragraph 1 – subparagraph 1

Text proposed by the Commission Amendment

In accordance with Article 6 of Regulation In accordance with Article 6 of Regulation (EU) No 1306/2013 the EAFRD may use (EU) No 1306/2013 the EAFRD may use up to 0,25 % of its annual allocation to up to 0,25 % of its annual allocation to finance the tasks referred to in Article 58 finance the tasks referred to in Article 58 of Regulation (EU) No 1303/2013, of Regulation (EU) No 1303/2013, including the costs for setting up and including the costs for setting up and operating the European network for rural operating the European network for rural development referred to in Article 52 of development referred to in Article 52 of this Regulation and the EIP network this Regulation and the EIP network referred to in Article 53 of this Regulation referred to in Article 53 of this Regulation at the Commission's initiative and/or on its at the Commission's initiative and/or on its behalf, of which up to EUR 30 567 000 behalf, of which up to EUR 30 567 000 in

RR\1112100EN.docx 37/133 PE585.523v02-00 EN shall be allocated to the Structural Reform current prices shall be allocated to the Support Programme for use within the Structural Reform Support Programme for scope and purpose of that Programme. use within the scope and purpose of that Programme.

PE585.523v02-00 38/133 RR\1112100EN.docx EN 23.11.2016

OPINION OF THE COMMITTEE ON ECONOMIC AND MONETARY AFFAIRS (*)

for the Committee on Regional Development on the proposal for a regulation of the European Parliament and of the Council on the establishment of the Structural Reform Support Programme for the period 2017 to 2020 and amending Regulations (EU) No 1303/2013 and (EU) No 1305/2013 (COM(2015)0701 – C8-0373/2015 – 2015/0263(COD))

Rapporteur (*): Costas Mavrides

(*) Associated committee - Rule 54 of the Rules of Procedure)

AMENDMENTS

The Committee on Economic and Monetary Affairs calls on the Committee on Regional Development, as the committee responsible, to take into account the following amendments:

Amendment 1

Proposal for a regulation Recital 3

Text proposed by the Commission Amendment

(3) Several Member States have been (3) Several Member States have been undergoing and continue to undergo undergoing and continue to undergo adjustment processes to correct adjustment processes to correct macroeconomic imbalances accumulated in macroeconomic imbalances accumulated in the past and many are facing the challenge the past and many are facing the challenge of low potential growth. The Union has of low potential growth and high identified the implementation of structural unemployment. The Union has identified reforms among its policy priorities to set the need for the implementation of the recovery on a sustainable path, unlock growth-friendly structural reforms, among the growth potential to strengthen the its policy priorities to create the conditions adjustment capacity, and support the to achieve a sustainable growth path, process of convergence. unlock the growth potential to strengthen the adjustment capacity, and support the process of convergence and an increase in investment.

RR\1112100EN.docx 39/133 PE585.523v02-00 EN Amendment 2

Proposal for a regulation Recital 4

Text proposed by the Commission Amendment

(4) Reforms are by their very nature (4) Reforms are by their very nature complex processes that require a complete complex processes that require a complete chain of highly-specialised knowledge and chain of highly-specialised knowledge and skills. Addressing structural reforms in a skills as well as a long-term vision. The variety of public policy areas is implementation of sustainable structural challenging since their benefits often take reforms in a variety of public policy areas time to materialise. Therefore, early and is challenging since their benefits often efficient design and implementation is take time and a continued commitment to crucial, be it for crisis-struck or materialise, and therefore measures need structurally-weak economies. In this to be taken to discourage policy-making context, the provision of support by the with a short-term perspective. In Union in the form of technical assistance particular, early and efficient design and has been crucial in supporting the implementation is crucial, including for economic adjustment of Greece and crisis-struck or structurally-weak Cyprus in the last years. economies. In this context, the provision of support by the Union in the form of technical assistance has been crucial in supporting the economic adjustment of Greece and Cyprus in the last years, and can serve as a useful precedent for a s programme to support structural reform. Ownership of structural reforms and political will in the Members States, including local and regional authorities, where appropriate, and the social partners, is essential for such a programme to be successful.

Amendment 3

Proposal for a regulation Recital 5

Text proposed by the Commission Amendment

(5) Member States may benefit from (5) Member States may benefit from support in addressing challenges as regards support in addressing challenges as regards the design and implementation of structural the design and implementation of growth- reforms. These challenges may be friendly structural reforms. These dependent on various factors, including challenges may be dependent on various limited administrative and institutional factors, including the inadequate design of

PE585.523v02-00 40/133 RR\1112100EN.docx EN capacity or inadequate application and reforms, limited administrative and implementation of Union legislation. institutional capacity or inadequate application and implementation of Union legislation.

Amendment 4

Proposal for a regulation Recital 6

Text proposed by the Commission Amendment

(6) The Union has a long-lasting (6) The Union has a long-lasting experience on providing specific support to experience with the provision of specific national administrations and other support to national administrations and authorities of Member States as regards other authorities of Member States as capacity building and similar actions in regards capacity building and similar certain sectors (e.g. taxation, customs, actions in certain sectors (e.g. taxation, support to small and medium-sized customs, support to small and medium- enterprises) and in relation to the sized enterprises) and in relation to the implementation of cohesion policy. The implementation of cohesion policy. The experience gained by the Union in policy experience and capacity of the assisting national authorities carrying out Union institutions should serve as a basis reforms should be used in order to for providing comprehensive and enhance the capacity of the Union to integrated action in supporting those provide support to Member States. Member States that are undertaking Comprehensive and integrated action is growth-enhancing reforms and request indeed necessary in order to provide assistance from the Union in this respect. support to those Member States that are Consequently, an integrated and cross- undertaking growth-enhancing reforms and sectorial approach should be adopted, in request assistance from the Union in this order to ensure coherence of the policy respect. landscape.

Amendment 5

Proposal for a regulation Recital 6 a (new)

Text proposed by the Commission Amendment

(6a) The European Court of Auditors' Special Report (19/2015) entitled 'More attention to results needed to improve the delivery of technical assistance to Greece' includes useful recommendations with respect to the provision of technical assistance by the Commission to Member

RR\1112100EN.docx 41/133 PE585.523v02-00 EN States which should be taken into account in the implementation of the support under the Structural Reform Support Programme.

Amendment 6

Proposal for a regulation Recital 6 b (new)

Text proposed by the Commission Amendment

(6b) Efforts for growth-enhancing structural reforms should be continued with determination in order to ensure the effectiveness of such reforms and to build on the progress made.

Amendment 7

Proposal for a regulation Recital 7

Text proposed by the Commission Amendment

(7) Against this background, it is (7) Against this background, it is necessary to establish a Structural Reform necessary to establish a Structural Reform Support Programme ('the Programme') Support Programme (‘the Programme’) with the objective of strengthening the with the objective of strengthening the capacity of Member States to prepare and capacity of Member States to design and implement growth-enhancing implement growth-enhancing administrative and structural reforms, administrative and structural reforms, including through assistance for the including through assistance for the efficient and effective use of the Union efficient and effective use of the Union funds. The Programme is intended to funds. The Programme constitutes contribute to the achievement of common significant additional support for better goals towards obtaining economic and faster implementation of reforms recovery, job creation, boosting Europe's intended to contribute to the achievement competitiveness and stimulating of common goals towards obtaining investment in the real economy. convergence, economic recovery, job creation, boosting Europe’s cohesion, competitiveness and productivity and stimulating investment in the real economy.

PE585.523v02-00 42/133 RR\1112100EN.docx EN Amendment 8

Proposal for a regulation Recital 8

Text proposed by the Commission Amendment

(8) Support under the Programme (8) Support under the Programme should be provided by the Commission should be provided by the Commission upon request by a Member State, in areas upon request by a Member State, in areas such as budget and taxation, public such as budget and taxation, public function, institutional and administrative function, institutional and administrative reforms, the justice system, anti-fraud, reforms, the justice system, anti-fraud, anti-corruption and anti-money laundering, anti-corruption and anti-money laundering, business environment, private sector business environment, private sector development, investment, competition, development, investment, competition, public procurement, privatization public procurement, public participation in processes, access to finance, investment, enterprises, access to finance, investment, trade, sustainable development, innovation, trade, sustainable development, innovation, education and training, labour policies, education and training, labour policies, public health, asylum, migration policies, public health, asylum, migration policies, agriculture and rural development and agriculture and rural development and financial sector policies. financial sector policies.

Amendment 9

Proposal for a regulation Recital 9

Text proposed by the Commission Amendment

(9) Member States should be able to (9) Member States should be able to request support from the Commission request support from the Commission under the Programme in relation to the under the Programme in relation to the implementation of reforms in the context design and implementation of reforms in of economic governance processes, in the context of economic governance particular of Country Specific processes, in particular to improve the Recommendations in the context of the implementation of Country Specific European Semester, to actions related to Recommendations in the context of the the implementation of Union law, as well European Semester, to actions related to as in relation to the implementation of the appropriate implementation of Union economic adjustment programmes. They law, as well as in relation to the should also be able to request support in implementation of economic adjustment relation to reforms undertaken at their own programmes. They should also be able to initiative, in order to achieve sustainable request support in relation to reforms investment, growth and job creation. undertaken at their own initiative, in order to achieve sustainable investment, enhance growth and job creation, competitiveness,

RR\1112100EN.docx 43/133 PE585.523v02-00 EN and territorial cohesion.

Amendment 10

Proposal for a regulation Recital 10

Text proposed by the Commission Amendment

(10) Further to a dialogue with the (10) Further to a dialogue with the requesting Member State, including in the requesting Member State, including in the context of the European Semester, the context of the European Semester, the Commission should analyse the request, Commission should analyse the request, taking into account the principles of taking into account the principles of transparency, equal treatment and sound transparency, subsidiarity, equal treatment financial management and determine the and sound financial management and support to be provided based on urgency, determine the support to be provided based breadth and depth of the problems as on urgency, breadth and depth of the identified, support needs in respect of the problems as identified, support needs in policy areas envisaged, analysis of respect of the policy areas envisaged, socioeconomic indicators, and the general analysis of socioeconomic indicators, and administrative capacity of the Member the general administrative capacity of the State. The Commission should also, in Member State. The Commission should close cooperation with the Member State also, in close cooperation with the Member concerned, identify the priority areas, the State concerned, identify the priority scope of the support measures to be actions for effective support, the type and provided and the global financial the scope of the support measures, to be contribution for such support, taking into provided and the global financial account the existing actions and measures contribution for such support, taking into financed by Union funds or other Union account the existing actions and measures programmes. financed by Union funds or other Union programmes.

Amendment 11

Proposal for a regulation Recital 10 a (new)

Text proposed by the Commission Amendment

(10a) The Commission should be able, with the consent of the Member State wishing to receive support, to organise the provision of support in cooperation with international organisations or other Member States that may agree to act as reform partners. The Member State

PE585.523v02-00 44/133 RR\1112100EN.docx EN wishing to receive support should be able, for a specific area of support, to enter into a partnership with one or more Member States as reform partners to help formulate strategy, reform roadmaps, design assistance or oversee the implementation of strategy and projects. While the responsibility for the delivery of the reforms lies with the Member State wishing to receive support, reform partners or other Member States providing support should be able to contribute to the successful implementation of the Programme.

Amendment 12

Proposal for a regulation Recital 11

Text proposed by the Commission Amendment

(11) The Commission Communications (11) The Commission Communications ‘The EU Budget Review’1 and ‘A budget ‘The EU Budget Review’1 and ‘A budget for Europe 2020’2 underline the importance for Europe 2020’2 underline the importance of focusing funding on activities with clear of focusing funding on activities with clear European added value, i.e. where the European added value, i.e. where the Union intervention can bring additional Union intervention can bring additional value compared to action of Member States value compared to action of Member States alone. Against this background, the support alone. Against this background, the support actions carried out under the Programme actions carried out under the Programme should ensure complementarity and should ensure complementarity and synergy with other programmes and synergy with other programmes and policies at national, Union and policies at national, Union and international level. The actions under the international level. The actions under the Programme should allow elaborating and Programme should allow elaborating and implementing solutions that address implementing solutions that address national challenges which have impact on national challenges which have impact on cross-border or Union-wide challenges and cross-border or Union-wide challenges and achieve a consistent and coherent achieve a consistent and coherent implementation of Union law. In addition, implementation of Union law. In addition, they should contribute to further develop they should contribute to further develop trust and promote cooperation with the trust of citizens in the European project Commission and among Member States. and promote cooperation with the Moreover, the Union is in a better position Commission and among Member States. than Member States to provide a platform Moreover, the Union is in a better position for the provision and sharing of good than Member States to provide a platform practices from peers as well as to mobilise for the provision and sharing of good

RR\1112100EN.docx 45/133 PE585.523v02-00 EN expertise. practices from peers as well as to mobilise expertise, so that proposals are able to be tailored to the specific situation in the requesting Member States. ______1COM(2010)700 of 19 October 2010. 1COM(2010)700 of 19 October 2010. 2COM(2011)500 final of 29 June 2011. 2COM(2011)500 final of 29 June 2011.

Amendment 13

Proposal for a regulation Recital 23

Text proposed by the Commission Amendment

(23) Since the objective of this (23) Since the objective of this Regulation, namely to contribute to the Regulation, namely to contribute to the institutional, administrative and structural institutional, administrative and structural reforms in the Member States by providing reforms in the Member States by providing support to national authorities for measures support to national authorities for measures aimed at reforming institutions, aimed at reforming institutions, the governance, administration, economic and territorial governance structure at social sectors, including through assistance national, regional and local level, for the efficient and effective use of the administration, economic and social Union funds cannot be sufficiently sectors, including through assistance for achieved by the Member States alone, but the efficient and effective use of the Union can rather, by reason of their scale and funds, cannot be sufficiently achieved by effects, be better achieved at Union level, the Member States alone, but can rather, by the Union may adopt measures, in reason of their scale and effects, be better accordance with the principle of achieved at Union level, the Union may subsidiarity as set out in Article 5 of the adopt measures, in accordance with the Treaty on European Union. In accordance principle of subsidiarity as set out in with the principle of proportionality, as set Article 5 of the Treaty on European Union. out in that Article, this Regulation does not In accordance with the principle of go beyond what is necessary in order to proportionality, as set out in that Article, achieve that objective, since the scope of this Regulation does not go beyond what is the support would be mutually agreed with necessary in order to achieve that the Member State concerned. objective, since the scope of the support would be mutually agreed with the Member State concerned.

PE585.523v02-00 46/133 RR\1112100EN.docx EN Amendment 14

Proposal for a regulation Article 2 – title

Text proposed by the Commission Amendment

Definitions Definitions and principles

Amendment 15

Proposal for a regulation Article 2 – paragraph 1 – introductory part

Text proposed by the Commission Amendment

For the purposes of this Regulation, the For the purposes of this Regulation, the following definitions shall apply: following definitions and principles shall apply:

Amendment 16

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

Text proposed by the Commission Amendment

1. 'Beneficiary Member State' means a 1. 'Beneficiary Member State' means a Member State that receives support from Member State that requests and receives the Union under this Programme; support from the Union under this Programme;

Amendment 17

Proposal for a regulation Article 3 – paragraph 2 – point a

Text proposed by the Commission Amendment

(a) the development and (a) the development and implementation of solutions that address implementation of solutions that address national challenges which have impact on national challenges which have arise from cross-border or Union-wide challenges; or impact on cross-border or Union-wide challenges, and that contribute to social and economic cohesion;

RR\1112100EN.docx 47/133 PE585.523v02-00 EN Amendment 18

Proposal for a regulation Article 3 – paragraph 2 – point c

Text proposed by the Commission Amendment

(c) their contribution to the consistent (c) their contribution to the consistent and coherent implementation of Union law; and coherent implementation of Union law and policies;

Amendment 19

Proposal for a regulation Article 4

Text proposed by the Commission Amendment

The general objective of the Programme The general objective of the Programme shall be to contribute to institutional, shall be to contribute to institutional, administrative and structural reforms in the administrative and growth friendly Member States by providing support to structural reforms in the Member States by national authorities for measures aimed at providing support to national and, where reforming institutions, governance, applicable, regional and local authorities administration, economic and social for measures aimed at reforming and sectors in response to economic and social strengthening or establishing institutions, challenges with a view to enhancing governance, administration in response to competitiveness, growth, jobs, and economic and social challenges with a investment, in particular in the context of view to enhancing cohesion, economic governance processes, including competitiveness, productivity, sustainable through assistance for the efficient and growth, quality job creation, and effective use of the Union funds. investment, including through assistance for the efficient and effective use of the Union funds.

Amendment 20

Proposal for a regulation Article 5 – paragraph 1 – introductory part

Text proposed by the Commission Amendment

1. To achieve the general objective set 1. To achieve the general objective set out in Article 4, the Programme shall have out in Article 4, the Programme shall have the following specific objectives: the following specific objectives that shall be pursued in close cooperation with beneficiary Member States:

PE585.523v02-00 48/133 RR\1112100EN.docx EN Amendment 21

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

Text proposed by the Commission Amendment

(a) to assist the initiatives of national (a) to assist the initiatives of national authorities to design their reforms authorities to design and implement their according to priorities, taking into account sustainable reforms according to priorities initial conditions and expected socio- and the principle of subsidiarity, taking economic impacts; into account initial conditions and expected socio-economic impacts

Amendment 22

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

Text proposed by the Commission Amendment

(b) to support the national authorities to (b) to support the national authorities to enhance their capacity to formulate, enhance their capacity to plan and develop and implement reform policies and formulate, develop and implement reform strategies and pursue an integrated policies and strategies and pursue an approach ensuring consistency between integrated approach ensuring consistency goals and means across sectors; between goals and means across sectors;

Amendment 23

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

Text proposed by the Commission Amendment

(c) to support the efforts of national (c) to support national authorities to authorities to define and implement design and implement appropriate appropriate processes and methodologies processes and methodologies by taking into by taking into account good practices and account good practices and lessons learned lessons learned by other countries in by other countries in addressing similar addressing similar situations; situations;

RR\1112100EN.docx 49/133 PE585.523v02-00 EN Amendment 24

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

Text proposed by the Commission Amendment

(d) to assist the national authorities to (d) to assist the national authorities to enhance the efficiency and effectiveness of enhance the efficiency and effectiveness of human resources management, where social dialogue, human resources appropriate, through definition of clear management, where appropriate, through responsibilities and increase of definition of clear responsibilities and professional knowledge and skills. increase of professional knowledge and skills.

Amendment 25

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

Text proposed by the Commission Amendment

These objectives shall be pursued in close deleted cooperation with Beneficiary Member States

Amendment 26

Proposal for a regulation Article 5 – paragraph 2 – introductory part

Text proposed by the Commission Amendment

2. The specific objectives set out in 2. The specific objectives set out in paragraph 1 shall refer to policy areas paragraph 1 shall refer to policy areas related to competitiveness, growth, jobs related to cohesion, competitiveness, and investment, in particular to the innovation, sustainable growth, jobs and following: investment, in particular to the following:

PE585.523v02-00 50/133 RR\1112100EN.docx EN Amendment 27

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

Text proposed by the Commission Amendment

(b) institutional reform and efficient (b) institutional reform and efficient and service-oriented functioning of public and service-oriented functioning of public administration, effective rule of law, administration, effective rule of law, reform of the justice system and including the correct application of Union reinforcement of anti-fraud, anti-corruption law and policies, reform of the justice and anti-money laundering; system and reinforcement of anti-fraud, anti-corruption and anti-money laundering;

Amendment 28

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

Text proposed by the Commission Amendment

(c) business environment, private (c) business environment, private sector development, investment, sector development, investment, public privatization processes, trade and foreign participation in enterprises, trade and direct investment, competition and public foreign direct investment, competition and procurement, sustainable sectoral public procurement, sustainable sectoral development and support for innovation; development and support for innovation;

Amendment 29

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

Text proposed by the Commission Amendment

(e) policies for the agricultural sector (e) policies for implementing climate and the sustainable development of rural action, promoting energy efficiency, areas; achieving energy diversification and ending energy isolation of Member States and regions, as well as for the agricultural sector and the sustainable development of rural areas;

RR\1112100EN.docx 51/133 PE585.523v02-00 EN Amendment 30

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

Text proposed by the Commission Amendment

(f) financial sector policies and access (f) financial sector policies, including to finance. the promotion of financial literacy, financial stability, access to finance and lending to the real economy; the production, provision and quality monitoring of data and statistics; and policies aiming at combating tax evasion.

Amendment 31

Proposal for a regulation Article 7 – paragraph 1

Text proposed by the Commission Amendment

1. A Member State wishing to receive 1. A Member State wishing to receive support under the Programme shall submit technical support under the Programme a request for support to the Commission, shall submit a request for technical support identifying the policy areas and the to the Commission, identifying the policy priorities for support within the scope of areas and the priorities for support within the Programme as set out in Article 5(2). the scope of the Programme as set out in This request shall be submitted at the latest Article 5(2). This request shall be by 31 October of each calendar year. submitted at the latest by 31 October of each calendar year.

Amendment 32

Proposal for a regulation Article 7 – paragraph 2

Text proposed by the Commission Amendment

2. Taking into account the principles 2. Taking into account the principles of transparency, equal treatment and sound of transparency, equal treatment, financial management, further to a subsidiarity, respect for social partners dialogue with the Member State, including and sound financial management, further to in the context of the European Semester, a dialogue with the Member State, the Commission shall analyse the request including in the context of the European for support referred to in paragraph 1 based Semester, the Commission shall analyse on the urgency, breadth and depth of the the request for support referred to in

PE585.523v02-00 52/133 RR\1112100EN.docx EN problems identified, support needs in paragraph 1 based on the urgency, breadth respect of the policy areas concerned, and depth of the problems identified, analysis of socioeconomic indicators and support needs in respect of the policy areas general administrative capacity of the concerned, analysis of socioeconomic Member State. Taking into account the indicators and general administrative existing actions and measures financed by capacity of the Member State. Taking into Union funds or other Union programmes, account the existing actions and measures the Commission in close cooperation with financed by Union funds or other Union the Member State concerned shall identify programmes, in particular European the priority areas for support, the scope of Structural and Investment Funds (ESIF) the support measures to be provided and and EFSI, the Commission in close the global financial contribution for such cooperation with the Member State support. concerned shall identify the priority actions for effective support, the particular objectives for that Member State based on Article 5 of this Regulation, a timeline, the scope of the support measures to be provided and the estimated global financial contribution for such support.

Amendment 33

Proposal for a regulation Article 7 – paragraph 3

Text proposed by the Commission Amendment

3. The request for support may be 3. The request for support may be submitted regarding the following: submitted regarding the following: (a) the implementation of reforms in (a) the implementation of sustainable the context of economic governance reforms by Member States, undertaken at processes, in particular of the relevant their own initiative, notably to achieve Country Specific Recommendations economic growth, job creation. issued in the context of the European Semester or of relevant actions related to the implementation of Union law; (b) the implementation of economic (b) the implementation of economic adjustment programmes for Member States adjustment programmes for Member States that receive Union financial assistance that receive Union financial assistance under existing instruments, in particular in under existing instruments, in particular in accordance with Regulation (EU) No accordance with Regulation (EU) No 472/2013 of the European Parliament and 472/2013 of the European Parliament and of the Council23 for the euro area Member of the Council23 for the euro area Member States and Council Regulation (EC) No States and Council Regulation (EC) No 332/200224 for non-euro area Member 332/200224 for non-euro area Member States; States;

RR\1112100EN.docx 53/133 PE585.523v02-00 EN (c) the implementation of reforms by (c) the implementation of sustainable Member States, undertaken at their own reforms in the context of economic initiative, notably to achieve sustainable governance processes, in particular of the investment, growth and job creation. relevant Country Specific Recommendations issued in the context of the European Semester or of relevant actions related to the implementation of Union law; ______23 Regulation (EU) No 472/2013 of the 23 Regulation (EU) No 472/2013 of the European Parliament and of the Council of European Parliament and of the Council of 21 May 2013 on the strengthening of 21 May 2013 on the strengthening of economic and budgetary surveillance of economic and budgetary surveillance of Member States in the euro area Member States in the euro area experiencing or threatened with serious experiencing or threatened with serious difficulties with respect to their financial difficulties with respect to their financial stability (OJ L 140, 27.5.2013, p. 1). stability (OJ L 140, 27.5.2013, p. 1). 24 Council Regulation (EC) No 332/2002 of 24 Council Regulation (EC) No 332/2002 of 18 February 2002 establishing a facility 18 February 2002 establishing a facility providing medium-term financial providing medium-term financial assistance for Member States' balances of assistance for Member States' balances of payments (OJ L 53, 23.2.2002, p. 1). payments (OJ L 53, 23.2.2002, p. 1).

(Points (a) and (c) in the Commission text have become points (c) and (a) respectively in Parliament’s amendment. And both are also amended.)

Amendment 34

Proposal for a regulation Article 8 – title

Text proposed by the Commission Amendment

Organisation of support Organisation of technical support

Amendment 35

Proposal for a regulation Article 8 – paragraph 1

Text proposed by the Commission Amendment

1. The Commission may define the 1. The Commission may define the support envisaged for Beneficiary Member technical support envisaged for States in cooperation with other Member Beneficiary Member States in cooperation with other Member States or international

PE585.523v02-00 54/133 RR\1112100EN.docx EN States or international organisations. organisations.

Amendment 36

Proposal for a regulation Article 8 – paragraph 2

Text proposed by the Commission Amendment

2. The Beneficiary Member State, in 2. The Beneficiary Member State, in coordination with the Commission, may cooperation with the Commission, may enter into partnership with one or more enter into partnership with one or more other Member States which shall act as other Member States which shall act as Reform Partners in respect of specific areas Reform Partners in respect of specific areas of reform. A Reform Partner shall, in of reform. A Reform Partner shall, in coordination with the Commission, help cooperation with the Commission, help formulate strategy, reform roadmaps, formulate strategy, reform roadmaps, design high-quality assistance or oversee design high-quality assistance or oversee implementation of strategy and projects. implementation of strategy and projects.

Amendment 37

Proposal for a regulation Article 10 – paragraph 1

Text proposed by the Commission Amendment

1. In addition to the financial envelope 1. In addition to the financial envelope set out in Article 9, the Programme may be set out in Article 9, the Programme may be financed through additional contributions financed through additional voluntary from Member States. contributions from Member States.

Amendment 38

Proposal for a regulation Article 15 – paragraph 2

Text proposed by the Commission Amendment

2. The Commission shall provide the 2. The Commission shall report European Parliament and the Council with annually to the European Parliament and an interim evaluation report, by mid of the Council on the implementation of the 2019, at the latest, and an ex-post programme and shall provide an ex-post evaluation report by end of December evaluation report by end of December 2021. 2021. The annual report shall include information on the achievement of the

RR\1112100EN.docx 55/133 PE585.523v02-00 EN Programme's objectives, a justification on any decision to grant or to refuse support to Member States, the efficiency of the use of resources, the Programme’s European added value and an assessment on whether funding in areas covered by the Programme needs to be adapted or extended after 2020. It shall also address the continued relevance of all objectives and actions. The ex-post evaluation report shall include information on the longer- term impact of the Programme.

Amendment 39

Proposal for a regulation Article 15 – paragraph 3

Text proposed by the Commission Amendment

3. The interim evaluation report shall deleted include information on the achievement of the Programme's objectives, the efficiency of the use of resources and the Programme’s European added value and assessment on whether funding in areas covered by the Programme needs to be adapted or extended after 2020. It shall also address the continued relevance of all objectives and actions. The ex-post evaluation report shall include information on the longer-term impact of the Programme.

Amendment 40

Proposal for a regulation Annex I – paragraph 1 – point i a (new)

Text proposed by the Commission Amendment

(ia) the number of objectives in the support plan that have been reached by the beneficiary Member State

PE585.523v02-00 56/133 RR\1112100EN.docx EN PROCEDURE – COMMITTEE ASKED FOR OPINION

Title Establishment of the Structural Reform Support Programme for the period 2017 to 2020 References COM(2015)0701 – C8-0373/2015 – 2015/0263(COD)

Committee responsible REGI Date announced in plenary 2.12.2015

Opinion by ECON Date announced in plenary 2.12.2015 Associated committees - date announced 12.5.2016 in plenary

Rapporteur Costas Mavrides Date appointed 12.5.2016

Discussed in committee 13.7.2016 10.10.2016

Date adopted 10.11.2016

Result of final vote +: 40 –: 8 0: 1

Members present for the final vote Pervenche Berès, , , Anneliese Dodds, , , Neena Gill, Roberto Gualtieri, Danuta Maria Hübner, Barbara Kappel, Alain Lamassoure, Sander Loones, , Olle Ludvigsson, Ivana Maletić, Costas Mavrides, Bernard Monot, Luděk Niedermayer, Stanisław Ożóg, Dimitrios Papadimoulis, Pirkko Ruohonen-Lerner, , Molly Scott Cato, , , Renato Soru, Theodor Dumitru Stolojan, , , Ernest Urtasun, Marco Valli, Tom Vandenkendelaere, Cora van Nieuwenhuizen, Jakob von Weizsäcker, Pablo Zalba Bidegain, Marco Zanni Substitutes present for the final vote Ashley Fox, Doru-Claudian Frunzulică, Ildikó Gáll-Pelcz, Sophia in ‘t Veld, Ramón Jáuregui Atondo, Verónica Lope Fontagné, Eva Paunova, Romana Tomc Substitutes under Rule 200(2) present Andrea Bocskor, Franc Bogovič, Hans-Olaf Henkel, Sandra Kalniete, for the final vote Agnieszka Kozłowska-Rajewicz

RR\1112100EN.docx 57/133 PE585.523v02-00 EN 10.11.2016

OPINION OF THE COMMITTEE ON BUDGETS

for the Committee on Regional Development

on the proposal for a regulation of the European Parliament and of the Council on the establishment of the Structural Reform Support Programme for the period 2017 to 2020 and amending Regulations (EU) No 1303/2013 and (EU) No 1305/2013 (COM(2015)0701 – C8-0373/2015 – 2015/0263(COD))

Rapporteur: Jan Olbrycht

AMENDMENTS

The Committee on Budgets calls on the Committee on Regional Development, as the committee responsible, to take into account the following amendments:

Amendment 1

Proposal for a regulation Recital 7

Text proposed by the Commission Amendment

(7) Against this background, it is (7) Against this background, it is necessary to establish a Structural Reform necessary to establish a Structural Reform Support Programme ('the Programme') Support Programme ('the Programme') with the objective of strengthening the with the objective of strengthening the capacity of Member States to prepare and capacity of Member States to prepare and implement growth-enhancing implement growth-enhancing administrative and structural reforms, administrative and structural reforms, including through assistance for the including through assistance for the efficient and effective use of the Union efficient and effective use of the Union funds. The Programme is intended to funds. The Programme is intended to contribute to the achievement of common contribute to the achievement of common goals towards obtaining economic goals towards obtaining economic recovery, job creation, boosting Europe's recovery, job creation, boosting Europe's competitiveness and stimulating competitiveness and stimulating investment in the real economy. sustainable investment in the real economy.

PE585.523v02-00 58/133 RR\1112100EN.docx EN Amendment 2

Proposal for a regulation Recital 10

Text proposed by the Commission Amendment

(10) Further to a dialogue with the (10) Further to a dialogue with the requesting Member State, including in the requesting Member State, including in the context of the European Semester, the context of the European Semester, the Commission should analyse the request, Commission should analyse the request, taking into account the principles of taking into account the principles of transparency, equal treatment and sound transparency, equal treatment and sound financial management and determine the financial management and determine the support to be provided based on urgency, support to be provided based on urgency, breadth and depth of the problems as breadth and depth of the problems as identified, support needs in respect of the identified, support needs in respect of the policy areas envisaged, analysis of policy areas envisaged, analysis of socioeconomic indicators, and the general socioeconomic indicators, and the general administrative capacity of the Member administrative capacity of the Member State. The Commission should also, in State. The Commission should also, in close cooperation with the Member State close cooperation with the Member State concerned, identify the priority areas, the concerned, identify the priority areas, the scope of the support measures to be scope of the support measures to be provided and the global financial provided and the global financial contribution for such support, taking into contribution for such support, taking into account the existing actions and measures account the existing actions and measures financed by Union funds or other Union financed by Union funds or other Union programmes. programmes. The Commission should further enrich the pool of available external experts who could be dispatched in an ad hoc way to work on supporting projects in Member States.

Amendment 3

Proposal for a regulation Recital 11

Text proposed by the Commission Amendment

(11) The Commission Communications (11) The Commission Communications ‘The EU Budget Review’13 and ‘A budget ‘The EU Budget Review’13 and ‘A budget for Europe 2020’14 underline the for Europe 2020’14 underline the importance of focusing funding on importance of focusing funding on activities with clear European added value, activities with clear European added value, i.e. where the Union intervention can bring i.e. where the Union intervention can bring additional value compared to action of additional value compared to action of

RR\1112100EN.docx 59/133 PE585.523v02-00 EN Member States alone. Against this Member States alone. Against this background, the support actions carried out background, the support actions carried out under the Programme should ensure under the Programme should ensure complementarity and synergy with other complementarity and synergy with other programmes and policies at national, programmes and policies at regional, Union and international level. The actions national, Union and international level. The under the Programme should allow actions under the Programme should allow elaborating and implementing solutions elaborating and implementing solutions that address national challenges which that address national challenges which have impact on cross-border or Union-wide have impact on cross-border or Union-wide challenges and achieve a consistent and challenges and achieve a consistent and coherent implementation of Union law. In coherent implementation of Union law. In addition, they should contribute to further addition, they should contribute to further develop trust and promote cooperation with develop trust and promote cooperation with the Commission and among Member the Commission and among Member States. Moreover, the Union is in a better States. Moreover, the Union is in a better position than Member States to provide a position than Member States to provide a platform for the provision and sharing of platform for the provision and sharing of good practices from peers as well as to good practices from peers as well as to mobilise expertise. mobilise expertise. ______13 COM(2010)700 of 19 October 2010. 13 COM(2010)700 of 19 October 2010. 14 COM(2011)500 final of 29 June 2011. 14 COM(2011)500 final of 29 June 2011.

Amendment 4

Proposal for a regulation Recital 13 a (new)

Text proposed by the Commission Amendment

(13 a) This Regulation lays down a financial envelope for the entire duration of the Programme which is to constitute the prime reference amount, within the meaning of Point 17 of the Interinstitutional Agreement between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management, for the European Parliament and the Council during the annual budgetary procedure.

PE585.523v02-00 60/133 RR\1112100EN.docx EN Amendment 5

Proposal for a regulation Recital 13 b (new)

Text proposed by the Commission Amendment

(13 b) The financing of the Programme through the transfer of allocations from technical assistance at the initiative of the Commission could only be considered as a one-off solution that should not create a precedent as regards the funding of future initiatives in this field. A possible legislative proposal for the prolongation of the Programme under the new Multiannual Financial Framework would be to include a separate new allocation that is earmarked specifically for the Programme.

Amendment 6

Proposal for a regulation Recital 16

Text proposed by the Commission Amendment

(16) Considering the importance of (16) Considering the importance of sustaining the efforts of Member States in sustaining the efforts of Member States in pursuing and implementing structural, pursuing and implementing structural, institutional and administrative reforms, it institutional and administrative reforms, it is necessary to allow a co-financing rate of is necessary to allow a co-financing rate of 100% of the eligible costs in order to up to 100% of the eligible costs in order to achieve the objectives of the Programme, achieve the objectives of the Programme, whilst ensuring compliance with the whilst ensuring compliance with the principles of co-financing and no-profit. principles of co-financing and no-profit.

Amendment 7

Proposal for a regulation Recital 20

Text proposed by the Commission Amendment

(20) To facilitate the evaluation of the (20) To facilitate the evaluation of the Programme, a proper framework for Programme and the achievement of

RR\1112100EN.docx 61/133 PE585.523v02-00 EN monitoring the results achieved by the defined objectives, a proper framework for Programme should be put in place from the monitoring the results achieved by the very beginning. A mid-term evaluation Programme should be put in place from the looking at the achievement of the very beginning. That framework should objectives of the Programme, its efficiency also take note of the lessons learned in the and its added value at the European level process. An annual monitoring report on should be carried out. A final evaluation the implementation of the Programme, should, in addition, deal with the long– including an analysis of the application of term impact and the sustainability effects the criteria for assessing the request for of the Programme. Those evaluations support, an interim evaluation looking at should be based on the indicators, the achievement of the objectives of the measuring the effects of the Programme. Programme, its efficiency and its added value at the European level, and an assessment on the future of the Programme under the next financial programming period, should be carried out. An ex-post evaluation should, in addition, deal with the long–term impact and the sustainability effects of the Programme. Those evaluations should be based on the indicators, measuring the effects of the Programme.

Amendment 8

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

Text proposed by the Commission Amendment

1a. The financial allocation of the Programme may also cover expenses pertaining to preparatory, monitoring, control, audit and evaluation activities which are required for the management of the Programme and the achievement of its objectives, in particular studies, meetings of experts, information and communication actions, including corporate communication of the political priorities of the Union, as far as they are related to the general objectives of this Regulation, and expenses linked to IT networks focusing on information processing and exchange, together with all other technical and administrative assistance expenses incurred by the Commission for the management of the

PE585.523v02-00 62/133 RR\1112100EN.docx EN Programme.

Amendment 9

Proposal for a regulation Article 9 – paragraph 1

Text proposed by the Commission Amendment

1. The financial envelope for the 1. The financial envelope for the implementation of the Programme shall be implementation of the Programme is set at up to EUR 142 800 000. EUR 142 800 000.

Amendment 10

Proposal for a regulation Article 9 – paragraph 2

Text proposed by the Commission Amendment

2. The financial allocation of the deleted Programme may also cover expenses pertaining to preparatory, monitoring, control, audit and evaluation activities which are required for the management of the Programme and the achievement of its objectives, in particular studies, meetings of experts, information and communication actions, including corporate communication of the political priorities of the Union, as far as they are related to the general objectives of this Regulation, expenses linked to IT networks focusing on information processing and exchange, together with all other technical and administrative assistance expenses incurred by the Commission for the management of the Programme.

Amendment 11

Proposal for a regulation Article 15 – paragraph 2

RR\1112100EN.docx 63/133 PE585.523v02-00 EN Text proposed by the Commission Amendment

2. The Commission shall provide the 2. The Commission shall provide the European Parliament and the Council with European Parliament and the Council with an interim evaluation report, by mid of an annual monitoring report on the 2019, at the latest, and an ex-post implementation of the Programme, evaluation report by end of December including an analysis of the application of 2021. the criteria referred to in Article 7(2) for assessing the requests for support submitted by Member States, an interim evaluation report, by end of 2018, at the latest, and an ex-post evaluation report by end of December 2021.

Amendment 12

Proposal for a regulation Article 15 – paragraph 3

Text proposed by the Commission Amendment

3. The interim evaluation report shall 3. The interim evaluation report shall include information on the achievement of include information on the achievement of the Programme's objectives, the efficiency the Programme's objectives, the efficiency of the use of resources and the of the use of resources and the Programme’s European added value and Programme's European added value and assessment on whether funding in areas assessment on whether funding in areas covered by the Programme needs to be covered by the Programme needs to be re- adapted or extended after 2020. It shall established under the next financial also address the continued relevance of all framework with a dedicated financial objectives and actions. The ex-post envelope. It shall also address the evaluation report shall include information continued relevance of all objectives and on the longer-term impact of the actions. The ex-post evaluation report shall Programme. include information on the longer-term impact of the Programme.

Amendment 13

Proposal for a regulation Article 17 – point 3 Regulation (EU) No 1303/2013 Article 91 – paragraph 3

Text proposed by the Commission Amendment

3. 0,35% of the global resources after 3. 0,35% of the global resources after

PE585.523v02-00 64/133 RR\1112100EN.docx EN the deduction of the support to the CEF the deduction of the support to the CEF referred to in Article 92(6), and to the aid referred to in Article 92(6), and to the aid for the most deprived referred to in Article for the most deprived referred to in Article 92(7) shall be allocated to technical 92(7) shall be allocated to technical assistance at the initiative of the assistance at the initiative of the Commission, of which up to EUR 112 233 Commission, of which up to EUR 112 233 000 shall be allocated to the Structural 000 in current prices shall be allocated to Reform Support Programme for use within the Structural Reform Support Programme the scope and purpose of that Programme. for use within the scope and purpose of that Programme

Amendment 14

Proposal for a regulation Article 18 – paragraph 1 Regulation (EU) No 1305/2013 Article 51 – paragraph 1 – subparagraph 1

Text proposed by the Commission Amendment

In accordance with Article 6 of Regulation In accordance with Article 6 of Regulation (EU) No 1306/2013 the EAFRD may use (EU) No 1306/2013 the EAFRD may use up to 0,25 % of its annual allocation to up to 0,25 % of its annual allocation to finance the tasks referred to in Article 58 finance the tasks referred to in Article 58 of Regulation (EU) No 1303/2013, of Regulation (EU) No 1303/2013, including the costs for setting up and including the costs for setting up and operating the European network for rural operating the European network for rural development referred to in Article 52 of development referred to in Article 52 of this Regulation and the EIP network this Regulation and the EIP network referred to in Article 53 of this Regulation referred to in Article 53 of this Regulation at the Commission's initiative and/or on its at the Commission's initiative and/or on its behalf, of which up to EUR 30 567 000 behalf, of which up to EUR 30 567 000 in shall be allocated to the Structural Reform current prices shall be allocated to the Support Programme for use within the Structural Reform Support Programme for scope and purpose of that Programme. use within the scope and purpose of that Programme.

RR\1112100EN.docx 65/133 PE585.523v02-00 EN PROCEDURE – COMMITTEE ASKED FOR OPINION

Title Establishment of the Structural Reform Support Programme for the period 2017 to 2020 References COM(2015)0701 – C8-0373/2015 – 2015/0263(COD)

Committee responsible REGI Date announced in plenary 2.12.2015

Opinion by BUDG Date announced in plenary 2.12.2015

Rapporteur Jan Olbrycht Date appointed 18.1.2016

Date adopted 10.11.2016

Result of final vote +: 23 –: 6 0: 1

Members present for the final vote Jean Arthuis, Richard Ashworth, Reimer Böge, Lefteris Christoforou, Jean-Paul Denanot, Gérard Deprez, José Manuel Fernandes, Rubial, , Esteban González Pons, , Vladimír Maňka, Ernest Maragall, Clare Moody, Siegfried Mureşan, Liadh Ní Riada, Jan Olbrycht, Paul Rübig, Patricija Šulin, Indrek Tarand, Isabelle Thomas, Inese Vaidere, Monika Vana, Daniele Viotti, Marco Zanni, Auke Zijlstra Substitutes present for the final vote Stanisław Ożóg, Nils Torvalds, Tomáš Zdechovský Substitutes under Rule 200(2) present John Stuart Agnew for the final vote

PE585.523v02-00 66/133 RR\1112100EN.docx EN 10.11.2016

OPINION OF THE COMMITTEE ON EMPLOYMENT AND SOCIAL AFFAIRS

for the Committee on Regional Development on the proposal for a regulation of the European Parliament and of the Council on the establishment of the Structural Reform Support Programme for the period 2017 to 2020 and amending Regulations (EU) No 1303/2013 and (EU) No 1305/2013 (COM(2015)0701 – C8-0373/2015 – 2015/0263(COD))

Rapporteur: Csaba Sógor

SHORT JUSTIFICATION

As a consequence of the economic crisis, the need for structural reforms has emerged stronger and more urgent than ever in the European Union. In June 2010, the Heads of State and Government of all EU Member States subscribed to the Europe 2020 strategy for smart, sustainable and inclusive growth. The strategy recognised that the economic downturn had exposed structural weaknesses in Europe's economy. The response the EU collectively decided to devise did not only aim to return to the pre-crisis situation; instead, it stressed that the Member States and the EU should upgrade efforts to implement the necessary structural reforms, which would restore growth and secure a sustainable path for the European economy, helping the EU emerge from the crisis stronger than ever. Six years after the launch of the Europe 2020 strategy, this pledge is far from being met. The Organisation for Economic Cooperation and Development (OECD) shares the view that most EU Member States can afford no more delays in delivering ambitious reforms. In its 2016 Going for growth report, the OECD noted that “global growth prospects remain clouded in the near term, with world trade slowing down and the recovery in advanced economies being dragged down by persistently weak investment. The case for structural reforms, combined with supporting demand policies, remains strong to sustainably lift productivity and the job creation that will promote improvements in equity. [...] Against the background of subdued global economic prospects, there is a good case for prioritising reforms that in addition to stimulate employment and productivity, can best support activity in the short term”. The process of properly designing and implementing reforms can be very arduous and requires strong analytical, planning and managing capacities, as well as access to information and adequate human resources. Evaluation of the experience gained with the Task force for Greece suggests that the availability of technical support can be key in driving reforms, but its impact can be seriously hindered by a lack of a clear strategy. This experience also shows that

RR\1112100EN.docx 67/133 PE585.523v02-00 EN technical support should not only be available in times of crisis. In your rapporteur’s opinion, it is best used to create structurally sound and resilient economies that can withstand future challenges. Against this background, the Commission proposal to establish the Structural Reform Support Programme providing assistance for a broad spectrum of reforms is a welcome initiative, as all EU Member States should be offered the possibility to ask and receive support for moving forward on the way of reforms that can create a healthy economic environment, boost growth and employment and improve the living standards of their citizens. The Commission has identified cohesion policy, more specifically the resources devoted to technical assistance at the initiative of the Commission, as the source of funding for the new Programme. This choice raises concerns that must be taken into consideration, as it is far from proven that Member States’ needs in terms of capacity building for effectively and efficiently managing the Funds within the new, more complex regulatory framework will eventually turn out to be lower than originally expected. To counter-balance this, it should not be neglected that the type of reforms targeted by the Programme would per se contribute to creating the favourable environment that can help Member States fully benefit from cohesion policy investments both in hard and in soft assets, including by improving absorption rates. Considering the disparities in the levels of development of Member States, as well in the availability of high quality expertise for the design and implementation of deep structural reforms, some countries will have the opportunity to benefit more from this support than others. However, all successful reforms will eventually lead to increased social, economic and territorial cohesion in the EU.

AMENDMENTS

The Committee on Employment and Social Affairs calls on the Committee on Regional Development, as the committee responsible, to take into account the following amendments:

Amendment 1

Proposal for a regulation Recital 1

Text proposed by the Commission Amendment

(1) In accordance with Article 9 of the deleted Treaty on the Functioning of the European Union, in defining and implementing its policies and activities, the Union shall take into account requirements linked to the promotion of a high level of employment, the guarantee of adequate social protection, the fight against social exclusion, and a high level of education, training and protection of

PE585.523v02-00 68/133 RR\1112100EN.docx EN human health. In addition, as set out in Article 11 of the of the Treaty on the Functioning of the European Union, environmental protection requirements must be integrated in the Union policies with a view to promoting sustainable development.

Amendment 2

Proposal for a regulation Recital 2 a (new)

Text proposed by the Commission Amendment

(2 a) Articles 5 and 148 of the Treaty on the Functioning of the European Union provide that the Council, on a proposal from the Commission and after consulting the European Parliament, is required to draw up guidelines each year for the coordination of the employment policies of the Member States.

Amendment 3

Proposal for a regulation Recital 3

Text proposed by the Commission Amendment

(3) Several Member States have been (3) Several Member States have been undergoing and continue to undergo undergoing and continue to undergo adjustment processes to correct adjustment processes to correct macroeconomic imbalances accumulated in macroeconomic and social imbalances the past and many are facing the challenge accumulated in the past and many are of low potential growth. The Union has suffering from low potential growth, high identified the implementation of structural unemployment rates, a severe crisis reforms among its policy priorities to set affecting their main production systems, the recovery on a sustainable path, unlock widening social disparities and an the growth potential to strengthen the increased risk of poverty among the adjustment capacity, and support the population. There is therefore a need for process of convergence. socially responsible, smart, sustainable and inclusive structural reforms which meet the requirements laid down in Article 9 TFEU. The Union has therefore identified the implementation of such

RR\1112100EN.docx 69/133 PE585.523v02-00 EN structural reforms among its policy priorities to set the recovery on a sustainable path, unlock the growth potential to strengthen the adjustment capacity, boost growth, create jobs, foster investment and support the process of upward convergence.

Amendment 4

Proposal for a regulation Recital 4

Text proposed by the Commission Amendment

(4) Reforms are by their very nature (4) Reforms are by their very nature complex processes that require a complete complex processes that require political chain of highly-specialised knowledge and will, the ability to engage in dialogue and skills. Addressing structural reforms in a multi-level cooperation, budgetary and variety of public policy areas is administrative resources and a complete challenging since their benefits often take chain of highly-specialised knowledge and time to materialise. Therefore, early and skills. Addressing structural reforms in a efficient design and implementation is variety of public policy areas is crucial, be it for crisis-struck or challenging since their results often take structurally-weak economies. In this time to materialise. Therefore, early and context, the provision of support by the efficient design and implementation is Union in the form of technical assistance crucial, be it for crisis-struck or has been crucial in supporting the structurally-weak economies. In this economic adjustment of Greece and context, the provision of support by the Cyprus in the last years. Union in the form of technical assistance has been important in supporting the fiscal consolidation process and structural reforms in recent years, especially in the Member States covered by the economic adjustment programmes. Therefore the Union should take into account the lessons learned from the programmes that aimed to support the economic adjustment of Greece and Cyprus in the last years. Stakeholder involvement in the design of reforms, impact assessment and ownership of those reforms by the Member States, including by regional and local authorities, the social partners and civil society, are also essential for support programmes to succeed.

PE585.523v02-00 70/133 RR\1112100EN.docx EN Amendment 5

Proposal for a regulation Recital 4 a (new)

Text proposed by the Commission Amendment

(4a) As part of the European Semester, the European Parliament has defined1a socially responsible reforms as reforms based on solidarity, integration, social justice and a fair distribution of wealth, i.e. a model able to ensure equality and social protection, protect vulnerable groups and improve the living standards of all citizens. ______1a European Parliament resolution of 25 February 2016 on European Semester for economic policy coordination: Employment and Social Aspects in the Annual Growth Survey 2016 (Texts adopted, P8_TA(2016)0059).

Amendment 6

Proposal for a regulation Recital 5

Text proposed by the Commission Amendment

(5) Member States may benefit from (5) Member States may benefit from support in addressing challenges as regards support in addressing challenges as regards the design and implementation of structural the design and implementation of reforms. These challenges may be sustainable structural reforms in line with dependent on various factors, including the Union's economic and social limited administrative and institutional objectives, including support for economic capacity or inadequate application and growth, the creation of sustainable and implementation of Union legislation. decent jobs, the promotion of sound public investment and social development. These challenges may be dependent on various factors, including limited administrative and institutional capacity or inadequate application and implementation of Union legislation, which could lead to inadequately designed reforms that are incapable of meeting those objectives.

RR\1112100EN.docx 71/133 PE585.523v02-00 EN Such facts in turn could affect the long- term growth potential of some Member States with knock-on effects for social welfare provision and job creation.

Amendment 7

Proposal for a regulation Recital 6

Text proposed by the Commission Amendment

(6) The Union has a long-lasting (6) The Union institutions and bodies experience on providing specific support to have a long-lasting experience in providing national administrations and other specific support to national and/or authorities of Member States as regards subnational authorities of Member States capacity building and similar actions in as regards capacity building and similar certain sectors (e.g. taxation, customs, actions in certain sectors (e.g. taxation, support to small and medium-sized customs, support to small and medium- enterprises) and in relation to the sized enterprises) and in relation to the implementation of cohesion policy. The implementation of cohesion policy. The experience gained by the Union in experience gained by the Union assisting national authorities carrying out institutions and bodies in assisting national reforms should be used in order to enhance and regional authorities designing and the capacity of the Union to provide carrying out inclusive and sustainable support to Member States. Comprehensive reforms should be used in order to enhance and integrated action is indeed necessary the capacity of the Union to provide in order to provide support to those support to interested Member States to Member States that are undertaking help improve their growth potential and growth-enhancing reforms and request social cohesion through measures aimed assistance from the Union in this respect. at increasing employment rates, combating exclusion and poverty and raising the accessibility and quality of healthcare and education services. Those support measures should be based on a comprehensive and integrated approach that takes into account the links between the different areas covered by reforms and the ability of all levels of government to work together as partners, while respecting each Member State’s institutional framework and also involving all stakeholders.

PE585.523v02-00 72/133 RR\1112100EN.docx EN Amendment 8

Proposal for a regulation Recital 6 a (new)

Text proposed by the Commission Amendment

(6 a) The European Court of Auditors' Special Report No 19/2015 entitled 'More attention to results needed to improve the delivery of technical assistance to Greece' recognises that the delivery of technical assistance to Member States should be based on a strategy with well-defined objectives. That report also provides useful recommendations, which should be taken into account, on how the Commission can improve its support to Member States, including through increasing the ownership and effectiveness of reforms.

Amendment 9

Proposal for a regulation Recital 7

Text proposed by the Commission Amendment

(7) Against this background, it is (7) Against this background, it is necessary to establish a Structural Reform necessary to establish a Structural Reform Support Programme ('the Programme') Support Programme ('the Programme') with the objective of strengthening the with the objective of strengthening the capacity of Member States to prepare and capacity of Member States to design and implement growth-enhancing implement sustainable growth-enhancing administrative and structural reforms, administrative and structural economic and including through assistance for the social reforms, including through efficient and effective use of the Union assistance for the efficient and effective funds. The Programme is intended to use of the Union funds, in particular the contribute to the achievement of common European Structural and Investment goals towards obtaining economic Funds. The Programme is intended to recovery, job creation, boosting Europe's contribute to the achievement of common competitiveness and stimulating goals towards obtaining economic investment in the real economy. recovery, boosting Europe's competitiveness, creating stable and sustainable jobs, increasing productivity, stimulating sustainable investment in the real economy, and towards guaranteeing

RR\1112100EN.docx 73/133 PE585.523v02-00 EN high quality health and education services, combating poverty and social exclusion and, ultimately, strengthening economic, social and territorial cohesion in the Union.

Amendment 10

Proposal for a regulation Recital 7 a (new)

Text proposed by the Commission Amendment

(7 a) In accordance with Article 9 of the Treaty on the Functioning of the European Union, in designing and implementing the Programme, the Union is required to take into account requirements linked to the promotion of a high level of employment, the guarantee of adequate social protection, the fight against social exclusion, and a high level of education, training and protection of human health. In addition, as set out in Article 11 of the of the Treaty on the Functioning of the European Union, environmental protection requirements are required to be integrated in Union policies with a view to promoting sustainable development. In order to promote good governance and ensure the participation of civil society, Article 15 of the Treaty on the Functioning of the European Union sets out that the Union institutions, bodies, offices and agencies are required to conduct their work as openly as possible.

Amendment 11

Proposal for a regulation Recital 8

Text proposed by the Commission Amendment

(8) Support under the Programme (8) Support under the Programme should be provided by the Commission should be provided by the Commission

PE585.523v02-00 74/133 RR\1112100EN.docx EN upon request by a Member State, in areas upon request by a Member State, in areas such as budget and taxation, public where specific needs have been identified function, institutional and administrative by the Member States, such as budget and reforms, the justice system, anti-fraud, taxation, public function, institutional and anti-corruption and anti-money laundering, administrative reforms, the justice system, business environment, private sector anti-fraud, anti-corruption and anti-money development, investment, competition, laundering, action against undeclared public procurement, privatization work and letterbox companies, business processes, access to finance, investment, environment, private sector development, trade, sustainable development, innovation, investment, competition, public education and training, labour policies, procurement, privatization processes, public health, asylum, migration policies, access to finance, investment, trade, agriculture and rural development and sustainable development, innovation, financial sector policies. education and training, labour and social policies, combating poverty and promoting social inclusion, public health, asylum, migration policies, agriculture and rural development and financial sector policies.

Amendment 12

Proposal for a regulation Recital 8 a (new)

Text proposed by the Commission Amendment

(8a) It is necessary to set out the eligible actions through which the objective of the Programme is to be achieved.

Amendment 13

Proposal for a regulation Recital 9

Text proposed by the Commission Amendment

(9) Member States should be able to (9) Member States should be able to request support from the Commission request support from the Commission under the Programme in relation to the under the Programme in relation to the implementation of reforms in the context implementation of their reforms in the of economic governance processes, in context of economic governance processes, particular of Country Specific in particular of relevant Country Specific Recommendations in the context of the Recommendations in the context of the European Semester, to actions related to European Semester, to actions related to

RR\1112100EN.docx 75/133 PE585.523v02-00 EN the implementation of Union law, as well the implementation of Union law, policies as in relation to the implementation of and strategies, as well as in relation to the economic adjustment programmes. They implementation of economic adjustment should also be able to request support in programmes. They should also be able to relation to reforms undertaken at their own request support in relation to reforms initiative, in order to achieve sustainable undertaken at their own initiative, in order investment, growth and job creation. to achieve sustainable investment, job creation, inclusive growth, social inclusion and cohesion, as well as adequate social protection. In order for the reforms pursued to have a wide level of support, Member States wishing to benefit from the Programme should consult, in the process of drawing up applications, relevant stakeholders, such as local and regional authorities, the economic and social partners and civil society, in line with the relevant provisions of the code of conduct on partnership under cohesion policy, as well as national parliaments.

Amendment 14

Proposal for a regulation Recital 10

Text proposed by the Commission Amendment

(10) Further to a dialogue with the (10) Further to a dialogue with the requesting Member State, including in the requesting Member State, including in the context of the European Semester, the context of the European Semester, the Commission should analyse the request, Commission should analyse the request, taking into account the principles of taking into account the principles of transparency, equal treatment and sound subsidiarity, transparency, partnership, financial management and determine the autonomy of the social partners, equal support to be provided based on urgency, treatment and sound financial management breadth and depth of the problems as and determine the support to be provided identified, support needs in respect of the based on the urgency, breadth and depth of policy areas envisaged, analysis of the problems as identified, the justification socioeconomic indicators, and the general for the reform, including the results of administrative capacity of the Member relevant stakeholder and partner State. The Commission should also, in consultations, support needs in respect of close cooperation with the Member State the policy areas envisaged, analysis of concerned, identify the priority areas, the socioeconomic indicators, the general scope of the support measures to be administrative capacity of the Member provided and the global financial State, while also taking into account contribution for such support, taking into existing actions and measures financed by

PE585.523v02-00 76/133 RR\1112100EN.docx EN account the existing actions and measures Union funds or other Union programmes financed by Union funds or other Union and instruments. The decision to provide programmes. support under the Programme should take the form of a technical assistance agreement in which, based on the specific needs identified by the Member State concerned, the Commission and the Member State should agree on the priority areas, the scope and the indicative timeline of the support measures to be provided as well as the global financial contribution for such support. In so doing, the Commission and the Member State concerned should take into account existing divisions of powers between the different levels of government, as well as the fact that some Country Specific Recommendations are addressed to local and regional authorities.

Amendment 15

Proposal for a regulation Recital 11

Text proposed by the Commission Amendment

(11) The Commission Communications (11) The Commission Communications ‘The EU Budget Review’13 and ‘A budget 'The EU Budget Review'13 and 'A budget for Europe 2020’14 underline the for Europe 2020'14 underline the importance of focusing funding on importance of focusing funding on activities with clear European added value, activities with clear European added value, i.e. where the Union intervention can bring i.e. where the Union intervention can bring additional value compared to action of additional value compared to action of Member States alone. Against this Member States alone as laid down in background, the support actions carried out Regulation (EU, Euratom) No 966/2012 under the Programme should ensure of the European Parliament and of the complementarity and synergy with other Council14a and its rules of application. programmes and policies at national, Against this background, the support Union and international level. The actions actions carried out under the Programme under the Programme should allow should ensure complementarity and elaborating and implementing solutions synergy, at local, regional, national, Union that address national challenges which and international level, with other have impact on cross-border or Union- programmes and policies. The actions wide challenges and achieve a consistent under the Programme should allow and coherent implementation of Union elaborating and implementing solutions law. In addition, they should contribute to that address national challenges with a further develop trust and promote cross-border or Union-wide impact and

RR\1112100EN.docx 77/133 PE585.523v02-00 EN cooperation with the Commission and improve implementation of Union law, among Member States. Moreover, the policies and strategies. Moreover, the Union is in a better position than Member Union is in a better position than Member States to provide a platform for the States to provide a platform for the provision and sharing of good practices provision and sharing of good practices from peers as well as to mobilise expertise. from peers as well as to mobilise expertise so as to develop solutions tailored to the specific situation in the requesting Member States. ______13 COM(2010)700 of 19 October 2010. 13 COM(2010)700 of 19 October 2010. 14 COM(2011)500 final of 29 June 2011. 14 COM(2011)500 final of 29 June 2011. 14a Regulation (EU, Euratom) No 966/2012 of the European Parliament and of the Council of 25 October 2012 on the financial rules applicable to the general budget of the Union and repealing Council Regulation (EC, Euratom) No 1605/2002 (OJ L 298, 26.10.2012, p. 1).

Amendment 16

Proposal for a regulation Recital 13 a (new)

Text proposed by the Commission Amendment

(13a) The funding source for the Programme should not constitute a precedent for any future proposals. As part of the mid-term review, it is necessary for the Commission and the Court of Auditors to conduct a rigorous analysis of the relevance of the Programme, its European added value and whether other sources of funding can be considered.

Amendment 17

Proposal for a regulation Recital 14

PE585.523v02-00 78/133 RR\1112100EN.docx EN Text proposed by the Commission Amendment

(14) Member States that request support (14) Member States that request support should be able to contribute to the financial should have the option to contribute to the envelope of the Programme with additional financial envelope of the Programme with funds. Currently, Regulation (EU) No additional funds. Currently, Regulation 1303/2013 limits the possibility of a (EU) No 1303/2013 limits the possibility transfer of resources dedicated to technical of a transfer of resources dedicated to assistance at the initiative of a Member technical assistance at the initiative of a State to those Member States which face Member State to those Member States temporary budgetary difficulties. which face temporary budgetary Regulation (EU) No 1303/2013 should difficulties. Regulation (EU) No 1303/2013 therefore be amended in order to allow all should therefore be amended in order to Member States to participate financially to allow all Member States to participate the Programme. The resources transferred financially to the Programme. The to the Union budget should be used for resources transferred to the Union budget supporting actions contributing to smart, should be used for supporting actions sustainable and inclusive growth or Fund- contributing to smart, sustainable and specific purposes in the Member States inclusive growth or Fund-specific purposes concerned. in the Member States concerned through improved effectiveness and efficiency and increased absorption of the Funds.

Amendment 18

Proposal for a regulation Recital 15

Text proposed by the Commission Amendment

(15) This Regulation should be (15) This Regulation should be implemented in compliance with implemented in compliance with Regulation (EU, Euratom) No 966/2012 of Regulation (EU, Euratom) No 966/2012. the European Parliament and of the The Commission should be empowered to Council18 on the financial rules adopt by delegated acts multi-annual work applicable to the annual budget of the programmes that set out the social and European Union. The Commission should economic objectives pursued, the expected adopt multi-annual work programmes that results of the support and the funding set out the political objectives pursued, the priorities in the respective policy areas. expected results of the support and the The multi-annual work programmes funding priorities in the respective policy should also set transparent criteria so as areas. Those elements should be further to determine which measures under the specified in annual work programmes Programme are to be prioritised and how adopted by implementing acts. available resources are to be allocated. Those elements should be further specified in annual work programmes adopted by

RR\1112100EN.docx 79/133 PE585.523v02-00 EN implementing acts. ______18 Regulation (EU, Euratom) No 966/2012 of the European Parliament and of the Council of 25 October 2012 on the financial rules applicable to the general budget of the Union and repealing Council Regulation (EC, Euratom) No 1605/2002 (OJ L 298, 26.10.2012, p. 1).

Amendment 19

Proposal for a regulation Recital 16

Text proposed by the Commission Amendment

(16) Considering the importance of (16) Considering the importance of sustaining the efforts of Member States in sustaining the efforts of Member States in pursuing and implementing structural, pursuing and implementing socially institutional and administrative reforms, it responsible and sustainable structural, is necessary to allow a co-financing rate of institutional and administrative reforms, it 100% of the eligible costs in order to is necessary to allow a co-financing rate of achieve the objectives of the Programme, up to 100% of the eligible costs in order to whilst ensuring compliance with the achieve the objectives of the Programme, principles of co-financing and no-profit. whilst ensuring compliance with the principles of co-financing and no-profit.

Amendment 20

Proposal for a regulation Recital 17

Text proposed by the Commission Amendment

(17) In the event of unforeseen and duly (17) In the event of unforeseen and duly justified grounds of urgency requiring justified grounds of urgency requiring immediate response, such as a serious immediate response, such as a serious disturbance in the economy or significant disturbance in the economy or significant circumstances seriously affecting the circumstances seriously affecting the economic or social conditions in a Member economic or social conditions in a Member State going beyond its control, upon State, upon request of a Member State, the request of a Member State, the Commission and the Member State should Commission should be able to adopt be able to agree on the adoption of special special measures, for a limited proportion measures, for a limited proportion of the

PE585.523v02-00 80/133 RR\1112100EN.docx EN of the annual work programme, in annual work programme, in accordance accordance with objectives and actions with objectives and actions eligible under eligible under the Programme to support the Programme to support the national the national authorities in addressing the authorities in addressing the urgent needs. urgent needs.

Amendment 21

Proposal for a regulation Recital 18

Text proposed by the Commission Amendment

(18) In order to ensure the efficient and (18) In order to ensure the efficient and coherent allocation of funds from the coherent allocation of funds from the Union budget and the principle of sound Union budget and the principle of sound financial management, actions under this financial management, actions under this Programme should complement and be Programme should complement and be additional to ongoing Union programmes, additional to ongoing Union programmes, whilst avoiding double funding for the whilst avoiding double funding for the same expenditure. In particular, the same expenditure. In particular, the Commission and the Member State Commission and the Member State concerned, in accordance with their concerned, in accordance with their respective responsibilities should ensure at respective responsibilities should ensure at Union and Member State levels, in all Union and Member State levels, in all stages of the process, effective stages of the process, effective coordination in order to ensure coordination in order to ensure consistency, complementarity and synergy consistency, complementarity and synergy between sources of funding supporting between measures being financed from the actions in the relevant Member States Union funds, programmes and with close links to this Programme, instruments and support from other specifically with measures being financed relevant international organisations. from the Union funds in the Member States.

Amendment 22

Proposal for a regulation Recital 19

Text proposed by the Commission Amendment

(19) The financial interests of the Union (19) The financial interests of the Union should be protected through proportionate should be protected through proportionate measures throughout the expenditure cycle, measures throughout the expenditure cycle, including the prevention, detection and including the prevention, detection and investigation of irregularities, the recovery investigation of irregularities, the recovery

RR\1112100EN.docx 81/133 PE585.523v02-00 EN of funds lost, wrongly paid or incorrectly of funds lost, unduly paid or incorrectly used and, where appropriate, penalties. used and, where appropriate, administrative and financial penalties in accordance with Regulation (EU, Euratom) No 966/2012.

Amendment 23

Proposal for a regulation Recital 20

Text proposed by the Commission Amendment

(20) To facilitate the evaluation of the (20) To facilitate the evaluation of the Programme, a proper framework for Programme, a proper framework for monitoring the results achieved by the monitoring the implementation of actions Programme should be put in place from the and the results achieved by the Programme very beginning. A mid-term evaluation should be put in place from the very looking at the achievement of the beginning. An external mid-term objectives of the Programme, its efficiency evaluation looking at the achievement of and its added value at the European level the objectives of the Programme, its should be carried out. A final evaluation efficiency and its added value, including, should, in addition, deal with the long– but not limited to, policy areas related to term impact and the sustainability effects competitiveness, growth, jobs and of the Programme. Those evaluations investment at the European level should be should be based on the indicators, carried out. A final evaluation should, in measuring the effects of the Programme. addition, deal with the long–term impact and the sustainability effects of the Programme. Those evaluations should be based on the indicators, measuring the effects of the Programme. On an annual basis, the Commission should also publish information on the implementation of the annual work programmes, including information on the beneficiaries of the technical assistance, the technical assistance providers, the objectives and priorities of the reforms pursued through the assistance and allocated funds.

Amendment 24

Proposal for a regulation Recital 21

PE585.523v02-00 82/133 RR\1112100EN.docx EN Text proposed by the Commission Amendment

(21) In order to adapt the list of (21) In order to adopt multi-annual indicators measuring the achievement of work programmes and to adapt the list of the objectives of the Programme, in the indicators measuring the achievement of light of experience during the the objectives of the Programme, in the implementation of the Programme, the light of experience during the power to adopt delegated acts in implementation of the Programme, the accordance with Article 290 of the Treaty power to adopt acts in accordance with on the Functioning of the European Union Article 290 of the Treaty on the should be delegated to the Commission in Functioning of the European Union should respect of the amendment of the list. It is of be delegated to the Commission in respect particular importance that the Commission of the adoption of multi-annual work carries out appropriate consultations during programmes and the amendment of the its preparatory work, including at expert list. It is of particular importance that the level. The Commission, when preparing Commission carries out appropriate and drawing up delegated acts, should consultations during its preparatory work, ensure a simultaneous, timely and including at expert level, and that those appropriate transmission of relevant consultations be conducted in accordance documents to the European Parliament with the principles laid down in the and to the Council. Interinstitutional Agreement on Better Law-Making of 13 April 2016. In particular, to ensure equal participation in the preparation of delegated acts, the European Parliament and the Council receive all documents at the same time as Member States' experts, and their experts systematically have access to meetings of Commission expert groups dealing with the preparation of delegated acts.

Amendment 25

Proposal for a regulation Recital 22

Text proposed by the Commission Amendment

(22) In order to ensure uniform (22) In order to ensure uniform conditions for the implementation of this conditions for the implementation of this Regulation as regards the adoption of the Regulation as regards the adoption of the multi-annual and annual work annual work programmes, implementing programmes, implementing powers should powers should be conferred on the be conferred on the Commission. Commission.

RR\1112100EN.docx 83/133 PE585.523v02-00 EN Amendment 26

Proposal for a regulation Recital 23

Text proposed by the Commission Amendment

(23) Since the objective of this (23) Since the objective of this Regulation, namely to contribute to the Regulation, namely to contribute to institutional, administrative and structural sustainable institutional, administrative reforms in the Member States by providing and structural reforms in the Member support to national authorities for States by providing technical assistance, measures aimed at reforming institutions, including through assistance for the governance, administration, economic efficient and effective use of the Union and social sectors, including through funds, cannot be sufficiently achieved by assistance for the efficient and effective the Member States alone, but can rather, by use of the Union funds cannot be reason of their scale and effects, be better sufficiently achieved by the Member States achieved at Union level, the Union may alone, but can rather, by reason of their adopt measures, in accordance with the scale and effects, be better achieved at principle of subsidiarity as set out in Union level, the Union may adopt Article 5 of the Treaty on European Union. measures, in accordance with the principle In accordance with the principle of of subsidiarity as set out in Article 5 of the proportionality, as set out in that Article, Treaty on European Union. In accordance this Regulation does not go beyond what is with the principle of proportionality, as set necessary in order to achieve that out in that Article, this Regulation does not objective. go beyond what is necessary in order to achieve that objective, since the scope of the support would be mutually agreed with the Member State concerned.

Amendment 27

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

Text proposed by the Commission Amendment

1 a. 'national authorities' means Member State authorities, including authorities at regional and local levels in accordance with national law;

Amendment 28

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

PE585.523v02-00 84/133 RR\1112100EN.docx EN Text proposed by the Commission Amendment

1b. ‘technical assistance agreement’ means a document agreed between the Commission and the Beneficiary Member State which sets out the terms for the provision of support under the Programme and which specifies among others the priority areas, the scope and indicative timeline of the support measures, as well as the financial contribution from the Programme;

Amendment 29

Proposal for a regulation Article 3 – paragraph 1

Text proposed by the Commission Amendment

1. The Programme shall finance 1. The Programme shall finance actions with European added value. To that actions with European added value. To that effect, the Commission shall ensure that effect, the Commission shall ensure that actions selected for funding are likely to actions selected for funding can be produce results with European added value expected to produce results with European and shall monitor whether European added added value and shall monitor whether value is actually achieved. European added value is actually achieved.

Amendment 30

Proposal for a regulation Article 3 – paragraph 2 – introductory part

Text proposed by the Commission Amendment

2. Actions and activities of the 2. Actions of the Programme shall Programme shall ensure European added ensure European added value in particular value in particular through: through:

Amendment 31

Proposal for a regulation Article 3 – paragraph 2 – point a

RR\1112100EN.docx 85/133 PE585.523v02-00 EN Text proposed by the Commission Amendment

(a) the development and (a) the development and implementation of solutions that address implementation of solutions that address national challenges which have impact on national challenges with a possible cross- cross-border or Union-wide challenges; border or Union-wide impact;

Amendment 32

Proposal for a regulation Article 3 – paragraph 2 – point b

Text proposed by the Commission Amendment

(b) their complementarity and synergy (b) their complementarity and synergy with other Union programmes and policies with other Union programmes and policies at national, Union and international level; at local, regional, national, Union and international level;

Amendment 33

Proposal for a regulation Article 3 – paragraph 2 – point c

Text proposed by the Commission Amendment

(c) their contribution to the consistent (c) their contribution to the and coherent implementation of Union implementation of Union law; law;

Amendment 34

Proposal for a regulation Article 3 – paragraph 2 – point d

Text proposed by the Commission Amendment

(d) their contribution to the sharing of (d) their contribution to the sharing of good practices and to building a Union- good practices and/or to building a Union- wide platform and network of expertise; wide platform and network of expertise;

PE585.523v02-00 86/133 RR\1112100EN.docx EN Amendment 35

Proposal for a regulation Article 3 – paragraph 2 – point d a (new)

Text proposed by the Commission Amendment

(da) the promotion of European values, in particular solidarity and respect for fundamental rights.

Amendment 36

Proposal for a regulation Article 3 – paragraph 2 – point e

Text proposed by the Commission Amendment

(e) the promotion of mutual trust deleted between Beneficiary Member States and the Commission and cooperation among Member States.

Amendment 37

Proposal for a regulation Article 4

Text proposed by the Commission Amendment

The general objective of the Programme The general objective of the Programme shall be to contribute to institutional, shall be to contribute to institutional, administrative and structural reforms in the administrative and structural reforms Member States by providing support to carried out in a socially responsible way national authorities for measures aimed at in the Member States by providing reforming institutions, governance, technical support to national authorities for administration, economic and social designing and implementing measures sectors in response to economic and social aimed at enhancing competitiveness, challenges with a view to enhancing inclusive and sustainable growth, decent competitiveness, growth, jobs, and and sustainable jobs, productivity and investment, in particular in the context of sustainable investment, at reinforcing the economic governance processes, including fight against poverty and social exclusion, through assistance for the efficient and at promoting a high level of education effective use of the Union funds. and training and at enhancing economic, social and territorial cohesion, in particular in the context of economic governance processes, including through

RR\1112100EN.docx 87/133 PE585.523v02-00 EN assistance for the efficient and effective use of the Union funds.

Amendment 38

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

Text proposed by the Commission Amendment

(a) to assist the initiatives of national (a) to assist the initiatives of national authorities to design their reforms authorities to design reforms according to according to priorities, taking into account their priorities, taking into account initial initial conditions and expected socio- conditions and expected socio-economic economic impacts; impacts and the objectives to contribute to delivering the Union strategy for smart, sustainable and inclusive growth and promote social cohesion;

Amendment 39

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

Text proposed by the Commission Amendment

(b) to support the national authorities to (b) to support the national authorities to enhance their capacity to formulate, enhance their capacity to formulate, develop and implement reform policies and develop and implement reform policies and strategies and pursue an integrated strategies connected with growth and approach ensuring consistency between social cohesion and pursue an integrated goals and means across sectors; approach ensuring consistency between goals and means across sectors;

Amendment 40

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

Text proposed by the Commission Amendment

(ba) to support the national authorities to harmonise national legislation with Union law and to implement Union law;

PE585.523v02-00 88/133 RR\1112100EN.docx EN Amendment 41

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

Text proposed by the Commission Amendment

(c) to support the efforts of national (c) to support the efforts of national authorities to define and implement authorities, in close cooperation with appropriate processes and methodologies stakeholders, to define and implement by taking into account good practices and appropriate processes and methodologies lessons learned by other countries in by taking into account good practices and addressing similar situations; lessons learned by other countries addressing similar situations;

Amendment 42

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

Text proposed by the Commission Amendment

These objectives shall be pursued in close These objectives shall be pursued in full cooperation with Beneficiary Member cooperation with Beneficiary Member States States and with due respect for Member States’ priorities and for dialogue with the social partners.

Amendment 43

Proposal for a regulation Article 5 – paragraph 2 – introductory part

Text proposed by the Commission Amendment

2. The specific objectives set out in 2. The specific objectives set out in paragraph 1 shall refer to policy areas paragraph 1 shall refer to policy areas related to competitiveness, growth, jobs related to competitiveness, inclusive and investment, in particular to the growth, sustainable jobs, investment and following: social cohesion, in particular to the following:

Amendment 44

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

RR\1112100EN.docx 89/133 PE585.523v02-00 EN Text proposed by the Commission Amendment

(b) institutional reform and efficient (b) institutional reform and efficient, and service-oriented functioning of public quality and service-oriented functioning of administration, effective rule of law, public administration, effective rule of law, reform of the justice system and reform of the justice system and reinforcement of anti-fraud, anti-corruption reinforcement of anti-fraud, anti- and anti-money laundering; corruption, anti-money laundering, as well as policies aiming at combating tax avoidance and tax evasion;

Amendment 45

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

Text proposed by the Commission Amendment

(c) business environment, private (c) business environment, sector development, investment, reindustrialisation, changes in production privatization processes, trade and foreign systems, energy sectors, private sector direct investment, competition and public development, investment, economically procurement, sustainable sectoral and socially duly justified privatization development and support for innovation; processes, trade and foreign direct investment, competition and public procurement, sustainable sectoral development and support for innovation and digitalisation;

Amendment 46

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

Text proposed by the Commission Amendment

(d) education and training, labour (d) education and training, labour market policies, social inclusion, social market policies for the creation of security and social welfare systems, public sustainable jobs, fight against poverty and health and healthcare systems, asylum, promotion of social inclusion, social migration and borders policies; security and social welfare systems, public health and healthcare systems;

PE585.523v02-00 90/133 RR\1112100EN.docx EN Amendment 47

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

Text proposed by the Commission Amendment

(da) asylum, migration and borders policies;

Amendment 48

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

Text proposed by the Commission Amendment

2a. The Member State shall, in consultation with regional authorities where applicable, identify the policy areas it wishes to tackle in accordance with its specific needs.

Amendment 49

Proposal for a regulation Article 6 – paragraph 1 – point a

Text proposed by the Commission Amendment

(a) expertise related to policy advice, (a) expertise related to legislative, policy change, and legislative, institutional, structural and administrative institutional, structural and administrative reforms; reforms;

Amendment 50

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

Text proposed by the Commission Amendment

(ia) formulation of strategies and reform roadmaps, drafting of legislative and non-legislative acts;

RR\1112100EN.docx 91/133 PE585.523v02-00 EN Amendment 51

Proposal for a regulation Article 6 – paragraph 1 – point d

Text proposed by the Commission Amendment

(d) collection of data and statistics; (d) collection of data and statistics; development of common methodologies development of common methodologies and, where appropriate, indicators or and, where appropriate, indicators and/or benchmarks; benchmarks;

Amendment 52

Proposal for a regulation Article 6 – paragraph 1 – point e

Text proposed by the Commission Amendment

(e) organisation of local operational (e) organisation of local operational support in areas such as asylum, support; migration, border control;

Amendment 53

Proposal for a regulation Article 6 – paragraph 1 – point f

Text proposed by the Commission Amendment

(f) IT capacity building: development, (f) IT capacity building for the maintenance, operation and quality control development, maintenance, operation and of the IT infrastructure and applications quality control of the IT infrastructure and needed to implement the relevant reforms; applications needed to implement the relevant reforms;

Amendment 54

Proposal for a regulation Article 6 – paragraph 1 – point h

Text proposed by the Commission Amendment

(h) communication projects: learning, (h) communication projects in the cooperation, awareness raising, context of the reforms pursued: learning, dissemination activities, and exchange of cooperation, awareness raising,

PE585.523v02-00 92/133 RR\1112100EN.docx EN good practices; organisation of awareness- dissemination activities, and exchange of raising and information campaigns, media good practices; organisation of awareness- campaigns and events, including corporate raising and information campaigns, media communication; campaigns and events;

Amendment 55

Proposal for a regulation Article 6 – paragraph 1 – point i

Text proposed by the Commission Amendment

(i) compilation and publication of (i) compilation and publication of materials to disseminate information as materials to disseminate information as well as results of the Programme: well as results of the Programme, development, operation and maintenance including through the development, of systems and tools using information and operation and maintenance of systems and communication technologies; tools using information and communication technologies;

Amendment 56

Proposal for a regulation Article 7 – paragraph 1

Text proposed by the Commission Amendment

1. A Member State wishing to receive 1. A Member State wishing to receive support under the Programme shall submit support under the Programme shall submit a request for support to the Commission, a request for support to the Commission, identifying the policy areas and the identifying the policy areas and the priorities for support within the scope of priorities for support within the scope of the Programme as set out in Article 5(2). the Programme as set out in Article 5(2). This request shall be submitted at the latest This request shall be submitted at the latest by 31 October of each calendar year. by 31 October of each calendar year. Before submitting a request, Member States shall involve their Parliament and, in line with the partnership principle as referred to in Article 5 of Regulation (EU) No 1303/2013, their partners from regional and local authorities, social partners and representatives of civil society.

RR\1112100EN.docx 93/133 PE585.523v02-00 EN Amendment 57

Proposal for a regulation Article 7 – paragraph 2

Text proposed by the Commission Amendment

2. Taking into account the principles 2. Taking into account the principles of transparency, equal treatment and sound of subsidiarity, transparency, equal financial management, further to a treatment and sound financial management, dialogue with the Member State, including further to a dialogue with the Member in the context of the European Semester, State, including in the context of the the Commission shall analyse the request European Semester, the Commission shall for support referred to in paragraph 1 based analyse the request for support referred to on the urgency, breadth and depth of the in paragraph 1 based on the urgency, problems identified, support needs in breadth and depth of the problems as respect of the policy areas concerned, identified, the justification for the reform, analysis of socioeconomic indicators and including the results of relevant general administrative capacity of the stakeholder and partner consultations, Member State. Taking into account the support needs in respect of the policy areas existing actions and measures financed by envisaged, analysis of socioeconomic Union funds or other Union programmes, indicators, the general administrative the Commission in close cooperation with capacity of the Member State, while also the Member State concerned shall identify taking into account existing actions and the priority areas for support, the scope of measures financed by Union funds or other the support measures to be provided and Union programmes and instruments. the global financial contribution for such support. The decision to providing support under the Programme shall take the form of a technical assistance agreement in which, based on the specific needs identified by the Member State concerned, the Commission and the Member State shall agree on the priority areas, the scope and the indicative timeline of the support measures to be provided as well as the global financial contribution for such support.

Amendment 58

Proposal for a regulation Article 7 – paragraph 3 – point c

Text proposed by the Commission Amendment

(c) the implementation of reforms by (c) the implementation of reforms by

PE585.523v02-00 94/133 RR\1112100EN.docx EN Member States, undertaken at their own Member States, undertaken at their own initiative, notably to achieve sustainable initiative, notably to achieve sustainable investment, growth and job creation. investment and job creation, inclusive growth and competitiveness.

Amendment 59

Proposal for a regulation Article 7 – paragraph 3 a (new)

Text proposed by the Commission Amendment

3 a. Once assistance for a Member State has been approved, the national authorities of the Beneficiary Member State shall inform the national parliament, the corresponding advisory committees and the social partners on the technical assistance agreement concluded, in full compliance with applicable national legislation.

Amendment 60

Proposal for a regulation Article 8 – paragraph 1

Text proposed by the Commission Amendment

1. The Commission may define the 1. The Commission may, with the support envisaged for Beneficiary Member agreement of the Beneficiary Member States in cooperation with other Member State, define the support envisaged for States or international organisations. Beneficiary Member States in cooperation with other Member States or international organisations.

Amendment 61

Proposal for a regulation Article 8 – paragraph 2

Text proposed by the Commission Amendment

2. The Beneficiary Member State, in 2. The Beneficiary Member State, in coordination with the Commission, may coordination with the Commission, may enter into partnership with one or more enter into partnership with one or more

RR\1112100EN.docx 95/133 PE585.523v02-00 EN other Member States which shall act as other Member States which shall act as Reform Partners in respect of specific areas Reform Partners in respect of specific areas of reform. A Reform Partner shall, in of reform on the basis of a reciprocal coordination with the Commission, help agreement. A Reform Partner shall, in formulate strategy, reform roadmaps, coordination with the Commission and the design high-quality assistance or oversee Beneficiary Member State, help formulate implementation of strategy and projects. strategy, reform roadmaps, design high- quality assistance or oversee implementation of strategy and projects.

Amendment 62

Proposal for a regulation Article 9 – paragraph 2

Text proposed by the Commission Amendment

2. The financial allocation of the 2. The financial allocation of the Programme may also cover expenses Programme may also cover expenses pertaining to preparatory, monitoring, pertaining to preparatory, monitoring, control, audit and evaluation activities control, audit and evaluation activities which are required for the management of which are required for the management of the Programme and the achievement of its the Programme and the achievement of its objectives, in particular studies, meetings objectives, in particular studies, meetings of experts, information and communication of experts, information and communication actions, including corporate actions, as far as they are related to the communication of the political priorities general objectives of this Regulation, of the Union, as far as they are related to expenses linked to IT networks focusing on the general objectives of this Regulation, information processing and exchange, expenses linked to IT networks focusing on together with all other technical and information processing and exchange, administrative assistance expenses incurred together with all other technical and by the Commission for the management of administrative assistance expenses incurred the Programme. by the Commission for the management of the Programme.

Amendment 63

Proposal for a regulation Article 10 – paragraph 3

Text proposed by the Commission Amendment

3. These additional contributions 3. These additional contributions referred to in paragraph 1 shall be used to referred to in paragraph 1 shall be used to support actions which contribute to support actions which contribute to delivering the Union strategy for smart, delivering the Union strategy for smart,

PE585.523v02-00 96/133 RR\1112100EN.docx EN sustainable and inclusive growth. A sustainable and inclusive growth. A contribution made by a Beneficiary contribution made by a Beneficiary Member State in accordance with Member State in accordance with paragraph 2 shall be used exclusively in paragraph 2 shall be used exclusively for that Member State. technical assistance provided for that Member State.

Amendment 64

Proposal for a regulation Article 12 – paragraph 2 – point g

Text proposed by the Commission Amendment

(g) contributions to trust funds; (g) contributions to trust funds for the provision of support by international organisations;

Amendment 65

Proposal for a regulation Article 12 – paragraph 3 – introductory part

Text proposed by the Commission Amendment

3. Grants may be awarded to Member 3. Grants may be awarded to Member States' national authorities, the European States' national authorities, the European Investment Bank group, international Investment Bank group, international organisations, public and/or private bodies organisations, and public bodies and and entities legally established in any of entities legally established in any of the the following: following:

Amendment 66

Proposal for a regulation Article 12 – paragraph 4

Text proposed by the Commission Amendment

4. Support may also be provided by 4. Individual experts may also be individual experts who may be invited to invited to contribute to selected activities contribute to selected activities organised organised under the Programme wherever under the Programme wherever that is that is necessary for the achievement of the necessary for the achievement of the specific objectives set out in Articles 5. specific objectives set out in Articles 5.

RR\1112100EN.docx 97/133 PE585.523v02-00 EN Amendment 67

Proposal for a regulation Article 12 – paragraph 5

Text proposed by the Commission Amendment

5. In order to implement the 5. The Commission shall adopt Programme, the Commission shall adopt, delegated acts in accordance with Article by way of implementing acts, multi-annual 16 concerning the adoption of multi- work programmes. Multi-annual work annual work programmes. Multi-annual programmes shall set out the policy work programmes shall set out the policy objectives pursued through the envisaged objectives pursued through the envisaged support and the expected results, as well as support and the expected results, as well as funding priorities in the relevant policy funding priorities in the relevant policy areas. The multi-annual work programmes areas. The multi-annual work programmes shall be further specified in annual work shall be further specified in annual work programmes, adopted by way of programmes, adopted by way of implementing acts, identifying the implementing acts, identifying the measures needed for their implementation, measures needed for their implementation, together with all the elements required by together with all the elements required by Regulation (EU, Euratom) No 966/2012. Regulation (EU, Euratom) No 966/2012.

Amendment 68

Proposal for a regulation Article 12 – paragraph 6

Text proposed by the Commission Amendment

6. To ensure timely availability of 6. To ensure flexibility and timely resources, the annual work programme availability of resources in unforeseen may indicate that in the event of circumstances, the annual work unforeseen and duly justified grounds of programme shall also allow the possibility urgency requiring an immediate response, for special measures initially not included including a serious disturbance in the in the annual work programme. economy or significant circumstances Therefore, in the event of unforeseen and seriously affecting the economic or social duly justified grounds of urgency requiring conditions in a Member State going an immediate response, including a serious beyond its control, the Commission may, disturbance in the economy or significant on request by a Member State, adopt circumstances seriously affecting the special measures in accordance with the economic or social conditions in a Member objectives and actions defined in this State going beyond its control, the Regulation to support the national Commission may, on request by a Member authorities in addressing urgent needs. State, adopt special measures in Such special measures may account only accordance with the objectives and actions

PE585.523v02-00 98/133 RR\1112100EN.docx EN for a limited proportion of the annual work defined in this Regulation to support the programme and shall not be subject to the national authorities in addressing urgent conditions set out in Article 7. needs. Such special measures may account only for a limited proportion of the annual work programme and shall not be subject to the conditions set out in Article 7.

Amendment 69

Proposal for a regulation Article 13 – paragraph 1 – point c

Text proposed by the Commission Amendment

(c) ensure close cooperation between (c) ensure close cooperation between those responsible for implementation at those responsible for implementation at Union and national level to deliver Union and local, regional and national coherent and streamlined support actions. level to deliver coherent and streamlined support actions.

Amendment 70

Proposal for a regulation Article 14 – paragraph 1

Text proposed by the Commission Amendment

1. The Commission shall take 1. The Commission shall take appropriate measures ensuring that, when appropriate measures ensuring that, when actions financed under this Regulation are actions financed under this Regulation are implemented, the financial interests of the implemented, the financial interests of the Union are protected by the application of Union are protected by the application of preventive measures against fraud, preventive measures against fraud, corruption and any other illegal activities, corruption and any other illegal activities, by effective checks and, if irregularities are by effective checks and, if irregularities are detected, by the recovery of the amounts detected, by the recovery of the amounts wrongly paid and, where appropriate, by unduly paid or incorrectly used and, effective, proportionate and deterrent where appropriate, by effective, penalties. proportionate, administrative and financial penalties in accordance with Regulation (EU, Euratom) No 966/2012.

Amendment 71

Proposal for a regulation Article 15 – paragraph 1 – subparagraph 1

RR\1112100EN.docx 99/133 PE585.523v02-00 EN Text proposed by the Commission Amendment

The Commission shall monitor the The Commission shall monitor the implementation of the actions financed by implementation of the actions financed by the Programme and measure the the Programme and measure the achievement of the specific objectives achievement of the specific objectives referred to in Article 5(1) in accordance referred to in Article 5(1) in accordance with indicators set out in the Annex. with the indicators set out in the Annex and additional specific indicators agreed upon by the Commission and the Beneficiary Member State for each request for support.

Amendment 72

Proposal for a regulation Article 15 – paragraph 2

Text proposed by the Commission Amendment

2. The Commission shall provide the 2. On an annual basis, the European Parliament and the Council with Commission shall publish information on an interim evaluation report, by mid of the implementation of the annual work 2019, at the latest, and an ex-post programmes, including information on evaluation report by end of December the beneficiaries of the technical 2021. assistance, the technical assistance providers, and the objectives and priorities of the reforms pursued through the assistance and allocated funds. The Commission shall provide the European Parliament and the Council with an external interim evaluation report, by mid of 2019, at the latest, and an ex-post evaluation report by end of December 2021.

Amendment 73

Proposal for a regulation Article 15 – paragraph 3

Text proposed by the Commission Amendment

3. The interim evaluation report shall 3. The interim evaluation report shall include information on the achievement of include information on the achievement of the Programme's objectives, the efficiency the Programme's objectives, the efficiency of the use of resources and the of the use of resources and the

PE585.523v02-00 100/133 RR\1112100EN.docx EN Programme’s European added value and Programme’s European added value and assessment on whether funding in areas assessment on whether funding in areas covered by the Programme needs to be covered by the Programme needs to be adapted or extended after 2020. It shall extended after 2020, if necessary with the also address the continued relevance of all appropriate adaptations. It shall also objectives and actions. The ex-post address the continued relevance of all evaluation report shall include information objectives and actions. The ex-post on the longer-term impact of the evaluation report shall include information Programme. on the longer-term impact of the Programme.

Amendment 74

Proposal for a regulation Article 16 – paragraph 2

Text proposed by the Commission Amendment

2. The power to adopt delegated acts 2. The power to adopt delegated acts referred to in the second subparagraph of referred to in Article 12(5) and in the Article 15(1) shall be conferred on the second subparagraph of Article 15(1) shall Commission for a period of four years be conferred on the Commission for a from 1 January 2017. period of four years from 1 January 2017.

Amendment 75

Proposal for a regulation Article 16 – paragraph 3

Text proposed by the Commission Amendment

3. The delegation of power referred to 3. The delegation of power referred to in the second subparagraph of Article 15(1) in Article 12(5) and in the second may be revoked at any time by the subparagraph of Article 15(1) may be European Parliament or by the Council. A revoked at any time by the European decision to revoke shall put an end to the Parliament or by the Council. A decision to delegation of the power specified in that revoke shall put an end to the delegation of decision. It shall take effect on the day the power specified in that decision. It shall following publication in the Official take effect on the day following Journal of the European Union or at a later publication in the Official Journal of the date specified therein. It shall not affect the European Union or at a later date specified validity of any delegated acts already in therein. It shall not affect the validity of force. any delegated acts already in force.

RR\1112100EN.docx 101/133 PE585.523v02-00 EN Amendment 76

Proposal for a regulation Article 16 – paragraph 5

Text proposed by the Commission Amendment

5. A delegated act adopted pursuant to 5. A delegated act adopted pursuant to the second subparagraph of Article 15(1) Article 12(5) or to the second shall enter into force only if no objection subparagraph of Article 15(1) shall enter has been expressed either by the European into force only if no objection has been Parliament or by the Council within a expressed either by the European period of two months of the notification of Parliament or by the Council within a that act to the European Parliament and the period of two months of the notification of Council or if, before the expiry of that that act to the European Parliament and the period, the European Parliament and the Council or if, before the expiry of that Council have both informed the period, the European Parliament and the Commission that they will not object. That Council have both informed the period shall be extended by two months at Commission that they will not object. That the initiative of the European Parliament or period shall be extended by two months at of the Council. the initiative of the European Parliament or of the Council.

Amendment 77

Proposal for a regulation Article 17 – paragraph 1 – point 1 – point b Regulation (EU) No 1303/2013 Article 25 – paragraph 1

Text proposed by the Commission Amendment

“1. On the request of a Member State “1. On the request of a Member State pursuant to Article 10 of Regulation (EU) pursuant to Article 10 of Regulation (EU) 2015/ XXX of the European Parliament 2015/ XXX of the European Parliament and the Council(*), a part of the resources and the Council(*), a part of the resources provided for under Article 59 of this provided for under Article 59 of this Regulation and programmed in accordance Regulation and programmed in accordance with Fund-specific rules may, in agreement with Fund-specific rules may, in agreement with the Commission, be transferred to with the Commission, be transferred to technical assistance at the initiative of the technical assistance at the initiative of the Commission for implementation of Commission for implementation of measures in relation to the Member State measures in relation to the Member State concerned in accordance with point (l) of concerned in accordance with point (l) of the third subparagraph of Article 58(1) of the third subparagraph of Article 58(1) of this Regulation through direct or indirect this Regulation through direct or indirect management." management. The resources transferred in accordance with these provisions shall be

PE585.523v02-00 102/133 RR\1112100EN.docx EN utilised to increase the efficiency and effectiveness of the use of the specific Funds concerned. "

Amendment 78

Proposal for a regulation Article 17 – paragraph 1 – point 1 – point c Regulation (EU) No 1303/2013 Article 25 – paragraph 3 – subparagraph 1

Text proposed by the Commission Amendment

“A Member State shall request the transfer “A Member State shall request the transfer referred to in paragraph 1 for a calendar referred to in paragraph 1 for a calendar year by 31 January of the year in which a year by 31 January of the year in which a transfer is to be made. The request shall be transfer is to be made. The request shall be accompanied by a proposal to amend the accompanied by a proposal to amend the programme or programmes from which the programme or programmes from which the transfer will be made. Corresponding transfer will be made. Corresponding amendments shall be made to the amendments shall be made to the Partnership Agreement in accordance with Partnership Agreement in accordance with Article 30(2) which shall set out the total Article 30(2) which shall set out the total amount transferred each year to the amount transferred each year to the Commission.” Commission. In assessing the request, the Commission shall verify compliance with Article 92(4) of Regulation (EU) No 1303/2013.”

Amendment 79

Proposal for a regulation Annex – paragraph 1 – introductory part

Text proposed by the Commission Amendment

The achievement of the specific objectives The implementation of the actions referred to in Article 5(1) shall be financed by the Programme shall be measured on the basis of the following monitored on the basis of the following indicators: indicators:

Amendment 80

Proposal for a regulation Annex – paragraph 1 – point a

RR\1112100EN.docx 103/133 PE585.523v02-00 EN Text proposed by the Commission Amendment

(a) the number and type of national (a) the number and type of national, authorities, administration services and regional and local authorities, other public entities such as national administration services and other public ministries or regulatory authorities, by entities such as national ministries or Beneficiary Member State to which regulatory authorities, by Beneficiary support under the Programme was Member State to which support under the provided; Programme was provided;

Amendment 81

Proposal for a regulation Annex – paragraph 1 – point c – point d

Text proposed by the Commission Amendment

(d) support recipients from the (d) support recipients from the Beneficiary Member State such as national Beneficiary Member State such as national, authorities. regional or local authorities.

Amendment 82

Proposal for a regulation Annex – paragraph 1 – point g

Text proposed by the Commission Amendment

(g) the feedback from national deleted authorities, administration services and other public entities having received support under the Programme as well as (if available) other stakeholders/participants on the results and/or impact of the actions under the Programme by specific objective, policy area and Beneficiary Member State, supported where available by quantitative or empirical data;

Amendment 83

Proposal for a regulation Annex – paragraph 1 – point h

PE585.523v02-00 104/133 RR\1112100EN.docx EN Text proposed by the Commission Amendment

(h) the feedback from support deleted providers on the results and/or impact of the support that they have provided under the Programme in the specific objective and policy area in which they have been active, by Beneficiary Member State, supported where available by quantitative or empirical data;

Amendment 84

Proposal for a regulation Annex – paragraph 1 – point i

Text proposed by the Commission Amendment

(i) the evolution of the views of deleted relevant stakeholders regarding the contribution of the Programme to the achievement of the reforms by specific objective, policy area, and Beneficiary Member State, supported where available, by appropriate quantitative or empirical data.

Amendment 85

Proposal for a regulation Annex – paragraph 1 a (new)

Text proposed by the Commission Amendment

The achievement of the specific objectives referred to in Article 5(1) shall be measured on the basis of the following indicators: (a) the feedback from national, regional or local authorities, administration services and other public entities having received support under the Programme as well as, if available, feedback from other stakeholders or participants on the results and/or impact

RR\1112100EN.docx 105/133 PE585.523v02-00 EN of the actions under the Programme by specific objective, policy area and Beneficiary Member State, supported where available by quantitative or empirical data; (b) the feedback from support providers on the results and/or impact of the support that they have provided under the Programme in the specific objective and policy area in which they have been active, by Beneficiary Member State, supported where available by quantitative or empirical data; (c) the evolution of the views of relevant stakeholders regarding the contribution of the Programme to the achievement of the reforms by specific objective, policy area, and Beneficiary Member State, supported where available, by appropriate quantitative or empirical data.

Amendment 86

Proposal for a regulation Annex – paragraph 2

Text proposed by the Commission Amendment

These indicators shall be used according to These indicators shall be used according to data and information available (including data and information available (including appropriate quantitative or empirical data). appropriate quantitative or empirical data). They shall be complemented by additional specific indicators agreed upon by the Commission and the Beneficiary Member State for each request for support.

PE585.523v02-00 106/133 RR\1112100EN.docx EN PROCEDURE – COMMITTEE ASKED FOR OPINION

Title Establishment of the Structural Reform Support Programme for the period 2017 to 2020 References COM(2015)0701 – C8-0373/2015 – 2015/0263(COD)

Committee responsible REGI Date announced in plenary 2.12.2015

Opinion by EMPL Date announced in plenary 2.12.2015

Rapporteur Csaba Sógor Date appointed 12.4.2016

Discussed in committee 16.6.2016 31.8.2016 13.10.2016

Date adopted 8.11.2016

Result of final vote +: 42 –: 10 0: 0

Members present for the final vote Laura Agea, Guillaume Balas, , Vilija Blinkevičiūtė, Enrique Calvet Chambon, David Casa, Ole Christensen, Martina Dlabajová, Lampros Fountoulis, , Marian Harkin, Danuta Jazłowiecka, , Rina Ronja Kari, Jan Keller, Ádám Kósa, Jean Lambert, Patrick Le Hyaric, Jeroen Lenaers, Verónica Lope Fontagné, Javi López, Morten Løkkegaard, Thomas Mann, Dominique Martin, Anthea McIntyre, Joëlle Mélin, Elisabeth Morin-Chartier, Emilian Pavel, João Pimenta Lopes, Georgi Pirinski, Marek Plura, , Sofia Ribeiro, Maria João Rodrigues, Claude Rolin, Anne Sander, , Siôn Simon, , Yana Toom, Renate Weber, Tatjana Ždanoka, Jana Žitňanská Substitutes present for the final vote Daniela Aiuto, Georges Bach, Sergio Gutiérrez Prieto, Csaba Sógor, Helga Stevens, Neoklis Sylikiotis, Tom Vandenkendelaere, Flavio Zanonato Substitutes under Rule 200(2) present David Coburn for the final vote

RR\1112100EN.docx 107/133 PE585.523v02-00 EN 16.6.2016

OPINION OF THE COMMITTEE ON FISHERIES

for the Committee on Regional Development

on the proposal for a regulation of the European Parliament and of the Council on the establishment of the Structural Reform Support Programme for the period 2017 to 2020 and amending Regulations (EU) No 1303/2013 and (EU) No 1305/2013 (COM(2015)0701 – C8-0373/2015 – 2015/0263(COD))

Rapporteur: Alain Cadec

SHORT JUSTIFICATION

The aim of the Structural Reform Support Programme is to contribute to the Member States' institutional, administrative and structural reforms by providing support through part of the technical assistance provided for in the structural funds. The dedicated financial envelope for the implementation of the programme will amount to EUR 142.8 million over four years. These funds will be deducted from the resources allocated to technical assistance at the initiative of the Commission, within a limit of 0.35% of the total. In addition, the Member States may decide to add funds by transferring to the programme part of the resources available under technical assistance at the initiative of the Member States. In the case of the Common Fisheries Policy, technical assistance at the initiative of the Member States may be up to 6% of the total amount of an operational programme financed by the European Maritime and Fisheries Fund (EMFF).

Your rapporteur is concerned about the possible use of the EMFF to finance structural reforms not related to fishing, as there would be nothing to prevent a Member State reallocating part of the technical assistance under the EMFF to other issues. Your rapporteur therefore proposes that any EMFF contribution be strictly earmarked for implementation of structural reforms relating to the implementation of the Common Fisheries Policy.

Member States are having serious difficulties in fulfilling the landing obligation and this mechanism could help them. Other objectives are enhancing controls and improving the collection of scientific data. The EMFF is a dedicated fisheries fund and must remain so.

AMENDMENTS

The Committee on Fisheries calls on the Committee on Regional Development, as the committee responsible, to take into account the following amendments:

PE585.523v02-00 108/133 RR\1112100EN.docx EN Amendment 1

Proposal for a regulation Recital 14 a (new)

Text proposed by the Commission Amendment

(14a) Given that the European Maritime and Fisheries Fund has limited financial resources compared to other EU funds, any transfer of its resources allocated to technical assistance at the initiative of a Member State should be used exclusively to support structural reforms connected with the implementation of the Common Fisheries Policy, including control and collection of scientific data.

Justification

The EMFF contribution to the Structural Reform Support Programme should be earmarked exclusively for implementation of the Common Fisheries Policy.

Amendment 2

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

Text proposed by the Commission Amendment

(e) policies for the agricultural sector (e) policies for the agricultural sector, and the sustainable development of rural the sustainable development of rural areas areas; and the implementation of the Common Fisheries Policy;

Justification

A reference to implementation of the Common Fisheries Policy is needed to allow any EMFF contribution to be earmarked for this objective.

Amendment 3

Proposal for a regulation Article 10 – paragraph 3 a (new)

Text proposed by the Commission Amendment

3a. Resources referred to in paragraph 2 which come from the European Maritime and Fisheries Fund

RR\1112100EN.docx 109/133 PE585.523v02-00 EN shall be used exclusively to support actions which contribute to the implementation of the Common Fisheries Policy, including as regards control and the collection of scientific data.

Justification

The EMFF contribution to the Structural Reform Support Programme should be earmarked exclusively for implementation of the Common Fisheries Policy.

PE585.523v02-00 110/133 RR\1112100EN.docx EN PROCEDURE – COMMITTEE ASKED FOR OPINION

Title Establishment of the Structural Reform Support Programme for the period 2017-2020 References COM(2015)0701 – C8-0373/2015 – 2015/0263(COD)

Committee responsible REGI Date announced in plenary 2.12.2015

Opinion by PESH: Date announced in plenary 2.12.2015

Rapporteur: Alain Cadec Date appointed 10.12.2015

Discussed in committee 17.2.2016

Date adopted 15.6.2016

Result of final vote +: 16 –: 1 0: 0

Members present for the final vote Marco Affronte, Clara Eugenia Aguilera García, Renata Briano, Alain Cadec, Linnéa Engström, João Ferreira, Ian Hudghton, Carlos Iturgaiz, , António Marinho e Pinto, Gabriel Mato, , Remo Sernagiotto, Isabelle Thomas, Ruža Tomašić, Jarosław Wałęsa Substitutes present for the final vote José Blanco López

RR\1112100EN.docx 111/133 PE585.523v02-00 EN 11.11.2016

OPINION OF THE COMMITTEE ON CULTURE AND EDUCATION

for the Committee on Regional Development

on the proposal for a regulation of the European Parliament and of the Council on the establishment of the Structural Reform Support Programme for the period 2017 to 2020 and amending Regulations (EU) No 1303/2013 and (EU) No 1305/2013 (COM(2015)0701 – C8-0373/2015 – 2015/0263(COD))

Rapporteur: Curzio Maltese

SHORT JUSTIFICATION

The Commission proposal aims to establish a structural reform support programme which includes intervention in numerous areas, including education and training. Against a background in which intervention is geared to economic recovery, your rapporteur draws attention to the specific features of education, training, access to culture and to the cultural heritage, since the goals of these sectors cannot be determined by the economic objectives of the European Union.

As Article 14 of the Charter of Fundamental Rights of the European Union also points out, education is a fundamental human right which everyone should be able to enjoy. It seeks the comprehensive development of the human dimension and, as pointed out by the EU ministers of education in the Paris Declaration of 17 March 2015, the 'primary purpose of education is not only to develop knowledge, skills, competences and attitudes, but also to help young people to become active, responsible, open-minded members of society'. Your rapporteur considers it vital to support all measures which aim to improve systems and policies in the field of education, training and access to culture, which should be high-quality, public, free and universal. He therefore takes the view that the success of these policies cannot be measured through parameters which take into consideration the possible short-term economic impact.

In order to ensure that people can exercise their right to education in full, it has to be inclusive: every individual has to be able to have access to quality education, regardless of their social and economic background. In countries which have already received the technical assistance which the Commission has proposed to extend to all Member States, such as Greece and Cyprus, the economic adjustment programmes launched have repeatedly called for a reduction in spending on education and training, leading to the marginalisation of students from disadvantaged groups and thus undermining the guarantee of actual access to the right to education. This has been amply demonstrated also by a study carried out for the

PE585.523v02-00 112/133 RR\1112100EN.docx EN European Parliament, entitled 'The impact of the crisis on fundamental rights across Member States of the EU'.

Your rapporteur expresses concern over the transfer of resources already allocated or committed to the sectors of education, training and culture to other Union funds and thus proposes that these funds be excluded from the programme's financial envelope.

In addition, in keeping with the opinion expressed by the European Economic and Social Committee (ECO/398), your rapporteur stresses the importance of involving the social partners and all civil society stakeholders in the process of activating, supervising and monitoring the Structural Reform Support Programme.

AMENDMENTS

The Committee on Culture and Education calls on the Committee on Regional Development, as the committee responsible, to take into account the following amendment

Amendment 1

Proposal for a regulation Citation 1 a (new)

Text proposed by the Commission Amendment

Having regard to the Charter of Fundamental Rights of the European Union, in particular Articles 13, 14 and 15 thereof,

Amendment 2

Proposal for a regulation Recital 1

Text proposed by the Commission Amendment

(1) In accordance with Article 9 of the (1) In accordance with Article 9 of the Treaty on the Functioning of the European Treaty on the Functioning of the European Union, in defining and implementing its Union, in defining and implementing its policies and activities, the Union shall take policies and activities, the Union shall take into account requirements linked to the into account requirements linked to the promotion of a high level of employment, promotion of a high level of employment, the guarantee of adequate social protection, the guarantee of adequate social protection, the fight against social exclusion, and a the fight against social exclusion, and a high level of education, training and high level of education, training and protection of human health. In addition, as protection of human health, taking into set out in Article 11 of the of the Treaty on account the respect of cultural diversity.

RR\1112100EN.docx 113/133 PE585.523v02-00 EN the Functioning of the European Union, In addition, as set out in Article 11 of the environmental protection requirements of the Treaty on the Functioning of the must be integrated in the Union policies European Union, environmental protection with a view to promoting sustainable requirements are to be integrated in the development. Union policies with a view to promoting sustainable development.

Amendment 3

Proposal for a regulation Recital 7

Text proposed by the Commission Amendment

(7) Against this background, it is (7) Against this background, it is necessary to establish a Structural Reform necessary to establish a Structural Reform Support Programme ('the Programme') Support Programme ('the Programme') with the objective of strengthening the with the objective of strengthening the capacity of Member States to prepare and capacity of national and regional implement growth-enhancing authorities to prepare and implement administrative and structural reforms, growth-enhancing administrative and including through assistance for the structural reforms, including through efficient and effective use of the Union assistance for the efficient and effective funds. The Programme is intended to use of the Union funds. The Programme is contribute to the achievement of common intended to contribute to the achievement goals towards obtaining economic of common goals towards obtaining recovery, job creation, boosting Europe's economic recovery, job creation, boosting competitiveness and stimulating Europe's competitiveness and stimulating investment in the real economy. sustainable investment in the real economy.

Amendment 4

Proposal for a regulation Recital 10

Text proposed by the Commission Amendment

(10) Further to a dialogue with the (10) Further to a dialogue with the requesting Member State, including in the requesting Member State, subject to the context of the European Semester, the involvement context of the social partners Commission should analyse the request, and civil society, the Commission should taking into account the principles of analyse the request, taking into account the transparency, equal treatment and sound principles of subsidiarity, transparency, financial management and determine the equal treatment and sound financial support to be provided based on urgency, management and determine the support to breadth and depth of the problems as be provided based on urgency, breadth and

PE585.523v02-00 114/133 RR\1112100EN.docx EN identified, support needs in respect of the depth of the problems as identified, support policy areas envisaged, analysis of needs in respect of the policy areas socioeconomic indicators, and the general envisaged, analysis of socioeconomic administrative capacity of the Member indicators, and the general administrative State. The Commission should also, in capacity of the Member State. The close cooperation with the Member State Commission should also, in close concerned, identify the priority areas, the cooperation with the Member State scope of the support measures to be concerned, identify the priority areas, the provided and the global financial scope of the support measures to be contribution for such support, taking into provided and the global financial account the existing actions and measures contribution for such support, taking into financed by Union funds or other Union account the existing actions and measures programmes. financed by Union funds or other Union programmes.

Amendment 5

Proposal for a regulation Recital 10 a (new)

Text proposed by the Commission Amendment

(10a) In accordance with Article 14 of the Charter of Fundamental Rights of the European Union, education is a fundamental human right and a common good. Therefore it needs to be high- quality, inclusive and access to all is required to be guaranteed. Consequently, the priority given to economic recovery has to be balanced with the need to give special attention to the sector of education. The function of education, in accordance with the Universal Declaration of Human Rights and in particular with Article 26 thereof, is geared to the full development of the human personality; accordingly, its goals cannot be determined by the economic objectives of the Union alone. In order to create an appropriate socio-economic framework, fostering employability and improving access to education, support should not be measured exclusively in financial terms but also in terms of citizenship and personal development.

RR\1112100EN.docx 115/133 PE585.523v02-00 EN Amendment 6

Proposal for a regulation Recital 13

Text proposed by the Commission Amendment

(13) The financial envelope of the (13) The financial envelope of the Programme should consist of financial Programme should consist of financial resources deducted from allocations for resources deducted from allocations for technical assistance at the initiative of the technical assistance at the initiative of the Commission under Regulation (EU) No Commission under Regulation (EU) No 1303/2013 of the European Parliament and 1303/2013 of the European Parliament and of the Council16 and Regulation (EU) No of the Council16 and Regulation (EU) No 1305/2013 of the European Parliament and 1305/2013 of the European Parliament and of the Council17 . In order to allow such of the Council17 . In order to allow such deduction, it is necessary to amend those deduction, it is necessary to amend those Regulations. Regulations. The financing of the Programme should not constitute a precedent for any future initiatives by the Commission to be financed from cohesion policy. ______16 Regulation (EU) No 1303/2013 of the 16 Regulation (EU) No 1303/2013 of the European Parliament and of the Council of European Parliament and of the Council of 17 December 2013 laying down common 17 December 2013 laying down common provisions on the European Regional provisions on the European Regional Development Fund, the European Social Development Fund, the European Social Fund, the Cohesion Fund, the European Fund, the Cohesion Fund, the European Agricultural Fund for Rural Development Agricultural Fund for Rural Development and the European Maritime and Fisheries and the European Maritime and Fisheries Fund and laying down general provisions Fund and laying down general provisions on the European Regional Development on the European Regional Development Fund, the European Social Fund, the Fund, the European Social Fund, the Cohesion Fund and the European Maritime Cohesion Fund and the European Maritime and Fisheries Fund and repealing Council and Fisheries Fund and repealing Council Regulation (EC) No 1083/2006 (OJ L 347, Regulation (EC) No 1083/2006 (OJ L 347, 20.12.2013, p. 320). 20.12.2013, p. 320). 17 Regulation (EU) No 1305/2013 of the 17 Regulation (EU) No 1305/2013 of the European Parliament and of the Council of European Parliament and of the Council of 17 December 2013 on support for rural 17 December 2013 on support for rural development by the European Agricultural development by the European Agricultural Fund for Rural Development (EAFRD) and Fund for Rural Development (EAFRD) and repealing Council Regulation (EC) No repealing Council Regulation (EC) No 1698/2005 (OJ L 347, 20.12.2013, p. 487). 1698/2005 (OJ L 347, 20.12.2013, p. 487).

PE585.523v02-00 116/133 RR\1112100EN.docx EN Amendment 7

Proposal for a regulation Recital 17

Text proposed by the Commission Amendment

(17) In the event of unforeseen and duly (17) In the event of unforeseen and duly justified grounds of urgency requiring justified grounds of urgency requiring immediate response, such as a serious immediate response, such as a serious disturbance in the economy or significant disturbance in the economy or significant circumstances seriously affecting the circumstances seriously affecting the economic or social conditions in a Member economic or social conditions in a Member State going beyond its control, upon State going beyond its control, upon request of a Member State, the request of a Member State, the Commission should be able to adopt Commission should be able to adopt special measures, for a limited proportion special measures, for a limited proportion of the annual work programme, in of the annual work programme, in accordance with objectives and actions accordance with objectives and actions eligible under the Programme to support eligible under the Programme to support the national authorities in addressing the the local, regional and national authorities urgent needs. in addressing the urgent needs.

Justification

One of the key points of the EESC opinion stresses that the programme must be open to local and regional authorities, which must be directly involved in putting together the structural reform project in question, when concerned.

Amendment 8

Proposal for a regulation Recital 20

Text proposed by the Commission Amendment

(20) To facilitate the evaluation of the (20) To facilitate the evaluation of the Programme, a proper framework for Programme, a proper framework for monitoring the results achieved by the monitoring the results achieved by the Programme should be put in place from the Programme should be put in place from the very beginning. A mid-term evaluation very beginning. A mid-term evaluation looking at the achievement of the looking at the achievement of the objectives of the Programme, its efficiency objectives of the Programme, its efficiency and its added value at the European level and its added value at the European level should be carried out. A final evaluation should be carried out. A final evaluation should, in addition, deal with the long– should, in addition, deal with the long– term impact and the sustainability effects term impact and the sustainability effects of the Programme. Those evaluations of the Programme. Those evaluations

RR\1112100EN.docx 117/133 PE585.523v02-00 EN should be based on the indicators, should be based on the indicators, measuring the effects of the Programme. measuring the effects of the Programme. The implementation of the Programme should be subject to annual monitoring as well as to independent interim and ex-post evaluation on the basis of which the possible suspension after 2020 could be decided. Therefore, output indicators should be permitted to be added to the proposed set of indicators.

Amendment 9

Proposal for a regulation Recital 21

Text proposed by the Commission Amendment

(21) In order to adapt the list of (21) In order to adapt the list of indicators measuring the achievement of indicators measuring the achievement of the objectives of the Programme, in the the objectives of the Programme, in the light of experience during the light of experience during the implementation of the Programme, the implementation of the Programme, the power to adopt delegated acts in power to adopt delegated acts in accordance with Article 290 of the Treaty accordance with Article 290 of the Treaty on the Functioning of the European Union on the Functioning of the European Union should be delegated to the Commission in should be delegated to the Commission in respect of the amendment of the list. It is of respect of the amendment of the list. It is of particular importance that the Commission particular importance that the Commission carries out appropriate consultations carries out appropriate consultations during during its preparatory work, including at its preparatory work, including at expert expert level. The Commission, when level, in accordance with the principles preparing and drawing up delegated acts, laid down in the Interinstitutional should ensure a simultaneous, timely and Agreement of 13 April 2016 on Better appropriate transmission of relevant Law-Making. In particular, to ensure documents to the European Parliament equal participation in the preparation of and to the Council. delegated acts, the European Parliament and Council receive all documents at the same time as Member States' experts, and their experts systematically have access to meetings of Commission expert groups dealing with the preparation of delegated acts.

PE585.523v02-00 118/133 RR\1112100EN.docx EN Amendment 10

Proposal for a regulation Recital 23

Text proposed by the Commission Amendment

(23) Since the objective of this (23) Since the objective of this Regulation, namely to contribute to the Regulation, namely to contribute to the institutional, administrative and structural institutional, administrative and structural reforms in the Member States by providing reforms in the Member States by providing support to national authorities for measures support to local, regional and national aimed at reforming institutions, authorities for measures aimed at governance, administration, economic and reforming institutions, governance, social sectors, including through assistance administration, economic and social for the efficient and effective use of the sectors, including through assistance for Union funds cannot be sufficiently the efficient and effective use of the Union achieved by the Member States alone, but funds cannot be sufficiently achieved by can rather, by reason of their scale and the Member States alone, but can rather, by effects, be better achieved at Union level, reason of their scale and effects, be better the Union may adopt measures, in achieved at Union level, the Union may accordance with the principle of adopt measures, in accordance with the subsidiarity as set out in Article 5 of the principle of subsidiarity as set out in Treaty on European Union. In accordance Article 5 of the Treaty on European Union. with the principle of proportionality, as set In accordance with the principle of out in that Article, this Regulation does not proportionality, as set out in that Article, go beyond what is necessary in order to this Regulation does not go beyond what is achieve that objective, since the scope of necessary in order to achieve that the support would be mutually agreed with objective, since the scope of the support the Member State concerned. would be mutually agreed with the Member State concerned.

Justification

One of the key points of the EESC opinion stresses that the programme must be open to local and regional authorities, which must be directly involved in putting together the structural reform project in question, when concerned.

Amendment 11

Proposal for a regulation Article 3 – paragraph 1

Text proposed by the Commission Amendment

1. The Programme shall finance 1. The Programme shall finance actions with European added value. To that actions with European added value. To that effect, the Commission shall ensure that effect, the Commission shall ensure that

RR\1112100EN.docx 119/133 PE585.523v02-00 EN actions selected for funding are likely to actions selected for funding are likely to produce results with European added value produce results with European added value and shall monitor whether European added and shall monitor whether European added value is actually achieved. value is actually achieved. Action should be closely monitored and feedback should be taken into account and implemented accordingly.

Justification

Some precision is needed on how and when the actions should be monitored before the interim and ex-post evaluation. This could be helpful to take the right decisions for the following actions and projects and bring the desired European added value.

Amendment 12

Proposal for a regulation Article 3 – paragraph 2 – point b

Text proposed by the Commission Amendment

(b) their complementarity and synergy (b) their complementarity and synergy with other Union programmes and policies with other Union programmes and policies at national, Union and international level; at national, regional, local, Union and international level;

Amendment 13

Proposal for a regulation Article 3 – paragraph 2 – point e a (new)

Text proposed by the Commission Amendment

(ea) the promotion of European values, in particular the solidarity which has been the base for all regional policies, including the empowerment of all citizens in regional and local decision-making processes.

PE585.523v02-00 120/133 RR\1112100EN.docx EN Amendment 14

Proposal for a regulation Article 3 – paragraph 2 – point e b (new)

Text proposed by the Commission Amendment

(eb) the promotion of intercultural dialogue through the education, training and creative sectors.

Amendment 15

Proposal for a regulation Article 4

Text proposed by the Commission Amendment

The general objective of the Programme The general objective of the Programme shall be to contribute to institutional, shall be to contribute to institutional, administrative and structural reforms in the administrative and structural reforms in the Member States by providing support to Member States by providing support to national authorities for measures aimed at national, local and regional authorities for reforming institutions, governance, measures aimed at reforming institutions, administration, economic and social sectors governance, administration, economic and in response to economic and social social sectors in response to economic and challenges with a view to enhancing social challenges with a view to enhancing competitiveness, growth, jobs, and competitiveness, sustainable growth, jobs, investment, in particular in the context of investment and economic, social and economic governance processes, including territorial cohesion, including through through assistance for the efficient and assistance for the efficient and effective effective use of the Union funds. use of the Union funds.

Amendment 16

Proposal for a regulation Article 5

Text proposed by the Commission Amendment

1. To achieve the general objective set 1. To achieve the general objective set out in Article 4, the Programme shall have out in Article 4, the Programme shall have the following specific objectives: the following specific objectives. (a) to assist the initiatives of national (a) to assist the initiatives of national, authorities to design their reforms regional and local authorities to design their according to priorities, taking into account reforms according to priorities, taking into initial conditions and expected socio- account initial conditions and expected

RR\1112100EN.docx 121/133 PE585.523v02-00 EN economic impacts; socio-economic impacts; (b) to support the national authorities to (b) to support the national regional and enhance their capacity to formulate, local authorities to enhance their capacity develop and implement reform policies and to formulate, develop and implement strategies and pursue an integrated reform policies and strategies and pursue approach ensuring consistency between an integrated approach ensuring goals and means across sectors; consistency between goals and means across sectors; (ba) to support competent authorities to improve systems and policies in the field of education, training and access to culture, which should be universal, of high quality, sustainable, inclusive, promote excellence, research and development at every level; (c) to support the efforts of national (c) to support the efforts of national, authorities to define and implement regional and local authorities to define and appropriate processes and methodologies implement appropriate processes and by taking into account good practices and methodologies by taking into account good lessons learned by other countries in practices and lessons learned by other addressing similar situations; countries in addressing similar situations; (d) to assist the national authorities to (d) to assist the national, regional and enhance the efficiency and effectiveness of local authorities to enhance the efficiency human resources management, where and effectiveness of human resources appropriate, through definition of clear management, where appropriate, through responsibilities and increase of definition of clear responsibilities and professional knowledge and skills. increase of professional knowledge and skills. (da) to encourage the involvement of citizens in decision-making through consultations and to strengthen citizenship through participatory elements. These objectives shall be pursued in close These objectives shall be pursued upon the cooperation with Beneficiary Member request of Beneficiary Member States and States. in close cooperation with them. 2. The specific objectives set out in 2. The Member State shall, in paragraph 1 shall refer to policy areas consultation with its competent related to competitiveness, growth, jobs authorities, where applicable with its and investment, in particular to the regional authorities, determine the policy following: areas it wishes to tackle in accordance with specific national and regional needs. (a) public financial management, budget process, debt management and revenue administration;

PE585.523v02-00 122/133 RR\1112100EN.docx EN (b) institutional reform and efficient and service-oriented functioning of public administration, effective rule of law, reform of the justice system and reinforcement of anti-fraud, anti- corruption and anti-money laundering; (c) business environment, private sector development, investment, privatization processes, trade and foreign direct investment, competition and public procurement, sustainable sectoral development and support for innovation; (d) education and training, labour market policies, social inclusion, social security and social welfare systems, public health and healthcare systems, asylum, migration and borders policies; (e) policies for the agricultural sector and the sustainable development of rural areas; (f) financial sector policies and access to finance.

Amendment 17

Proposal for a regulation Article 6 – paragraph 1 – point b

Text proposed by the Commission Amendment

(b) the provision of expert(s) (b) the provision of expert(s) (including resident experts), for a short or (including resident experts), for a short or long period, to perform tasks in specific long period, to perform tasks in specific domains or to carry out operational domains or to carry out operational activities, where necessary with activities, where necessary with interpretation, translation and cooperation interpretation, translation and cooperation support, administrative assistance and support, administrative assistance and infrastructure and equipment facilities; infrastructure and equipment facilities. Combining foreign with local experts can help maximize effectiveness, by making it easier to understand problems and design tailor-made solutions to the specific situation in the requesting Member States;

RR\1112100EN.docx 123/133 PE585.523v02-00 EN Amendment 18

Proposal for a regulation Article 7 – paragraph 1

Text proposed by the Commission Amendment

1. A Member State wishing to receive 1. A Member State wishing to receive support under the Programme shall submit support under the Programme shall submit, a request for support to the Commission, after consulting the social partners identifying the policy areas and the concerned and civil society, a request for priorities for support within the scope of support to the Commission, identifying the the Programme as set out in Article 5(2). policy areas and the priorities for support This request shall be submitted at the latest within the scope of the Programme as set by 31 October of each calendar year. out in Article 5. This request shall be submitted at the latest by 31 October of each calendar year.

Amendment 19

Proposal for a regulation Article 7 – paragraph 2

Text proposed by the Commission Amendment

2. Taking into account the principles 2. Taking into account the principles of transparency, equal treatment and sound of subsidiarity, transparency, equal financial management, further to a treatment and sound financial management, dialogue with the Member State, including further to a dialogue with the Member in the context of the European Semester, State, including in the context of the the Commission shall analyse the request European Semester, the Commission shall for support referred to in paragraph 1 based analyse the request for support referred to on the urgency, breadth and depth of the in paragraph 1 based on the urgency, problems identified, support needs in breadth and depth of the problems respect of the policy areas concerned, identified, support needs in respect of the analysis of socioeconomic indicators and policy areas concerned, analysis of general administrative capacity of the socioeconomic indicators and general Member State. Taking into account the administrative capacity of the Member existing actions and measures financed by State. Taking into account the existing Union funds or other Union programmes, actions and measures financed by Union the Commission in close cooperation with funds or other Union programmes, the the Member State concerned shall identify Commission in close cooperation with the the priority areas for support, the scope of Member State concerned shall identify the the support measures to be provided and priority areas for support, the scope of the the global financial contribution for such support measures to be provided and the support. global financial contribution for such support. The Programme shall remain voluntary for Member States and shall not involve compulsory and stigmatizing

PE585.523v02-00 124/133 RR\1112100EN.docx EN procedures.

Amendment 20

Proposal for a regulation Article 7 – paragraph 3 – point c

Text proposed by the Commission Amendment

(c) the implementation of reforms by (c) the implementation of reforms by Member States, undertaken at their own Member States, undertaken at their own initiative, notably to achieve sustainable initiative, notably to achieve sustainable investment, growth and job creation. investment, growth, high quality education, research, training and job creation.

Amendment 21

Proposal for a regulation Article 8 – paragraph 1

Text proposed by the Commission Amendment

1. The Commission may define the 1. The Commission may define the support envisaged for Beneficiary Member support envisaged for Beneficiary Member States in cooperation with other Member States in cooperation with other Member States, or international organisations. States, the social partners concerned, civil society or international organisations.

Amendment 22

Proposal for a regulation Article 8 – paragraph 2

Text proposed by the Commission Amendment

2. The Beneficiary Member State, in 2. The Beneficiary Member State, in coordination with the Commission, may coordination with the Commission, may enter into partnership with one or more enter into partnership with one or more other Member States which shall act as other Member States which shall act as Reform Partners in respect of specific areas Reform Partners in respect of specific areas of reform. A Reform Partner shall, in of reform. A Reform Partner shall, in coordination with the Commission, help coordination with the Beneficiary Member formulate strategy, reform roadmaps, State and the Commission, help formulate design high-quality assistance or oversee strategy, reform roadmaps, design high- implementation of strategy and projects. quality assistance or oversee implementation of strategy and projects.

RR\1112100EN.docx 125/133 PE585.523v02-00 EN Amendment 23

Proposal for a regulation Article 9 – paragraph 3

Text proposed by the Commission Amendment

3. The budgetary authority shall 3. The budgetary authority shall authorise the available annual authorise the available annual appropriations within the limits of the appropriations within the limits of the Multiannual Financial Framework Multiannual Financial Framework established by Regulation (EU, Euratom) established by Regulation (EU, Euratom) No 1311/2013. No 1311/2013, which shall guarantee appropriate resources in actions, plans, programmes and projects in education, training and culture.

Amendment 24

Proposal for a regulation Article 12

Text proposed by the Commission Amendment

1. The Commission shall implement 1. The Commission shall implement the Programme in accordance with the Programme in accordance with Regulation (EU, Euratom) No 966/2012. Regulation (EU, Euratom) No 966/2012. 2. The measures of the Programme 2. The measures of the Programme may be implemented either directly by the may be implemented either directly by the Commission or indirectly, by entities and Commission or indirectly, by entities and persons other than Member States in persons other than Member States in accordance with Article 60 of Regulation accordance with Article 60 of Regulation (EU, Euratom) No 966/2012. In particular, (EU, Euratom) No 966/2012. In particular, Union financial support for actions Union financial support for actions provided for in Article 6 of this Regulation provided for in Article 6 of this Regulation shall take the form of: shall take the form of: (d) grants (including grants to the (d) grants (including grants to the Member States' national authorities); Member States' local, regional and national authorities); (e) public procurement contracts; (e) public procurement contracts; (f) reimbursement of costs incurred by (f) reimbursement of costs incurred by external experts; external experts; (g) contributions to trust funds; (g) contributions to trust funds; (h) actions carried out in indirect (h) actions carried out in indirect

PE585.523v02-00 126/133 RR\1112100EN.docx EN management. management. 3. Grants may be awarded to Member 3. Grants may be awarded to Member States' national authorities, the European States' local, regional and national Investment Bank group, international authorities, the European Investment Bank organisations, public and/or private bodies group, international organisations, public and entities legally established in any of and/or private bodies and entities legally the following: established in any of the following: (a) Member States; (a) Member States; (b) European Free Trade Agreement (b) European Free Trade Agreement countries which are party to the European countries which are party to the European Economic Area Agreement, in accordance Economic Area Agreement, in accordance with the conditions laid down in the EEA with the conditions laid down in the EEA Agreement. Agreement. The co-financing rate for grants shall be up The co-financing rate for grants shall be up to 100 % of the eligible costs, without to 100 % of the eligible costs, without prejudice to the principles of co-financing prejudice to the principles of co-financing and no-profit. and no-profit. 4. Support may also be provided by 4. Support may also be provided by individual experts who may be invited to individual experts who may be invited to contribute to selected activities organised contribute to selected activities organised under the Programme wherever that is under the Programme wherever that is necessary for the achievement of the necessary for the achievement of the specific objectives set out in Articles 5. specific objectives set out in Article 5 and a follow up to the monitoring activities/ procedures of their contribution should be duly envisaged. 5. In order to implement the 5. The Commission shall be Programme, the Commission shall adopt, empowered to adopt delegated acts in by way of implementing acts, multi- accordance with Article 16, with a view to annual work programmes. Multi-annual supplementing this Regulation by work programmes shall set out the policy establishing multi-annual work objectives pursued through the envisaged programmes. Multi-annual work support and the expected results, as well as programmes shall set out the policy funding priorities in the relevant policy objectives pursued through the envisaged areas. The multi-annual work programmes support and the expected results, as well as shall be further specified in annual work funding priorities in the relevant policy programmes, adopted by way of areas. The multi-annual work programmes implementing acts, identifying the shall be further specified in annual work measures needed for their implementation, programmes, adopted by way of together with all the elements required by implementing acts, identifying the Regulation (EU, Euratom) No 966/2012. measures needed for their implementation, together with all the elements required by Regulation (EU, Euratom) No 966/2012. 5a. In order to plan the programmes, the relevant social partners and civil society be involved. The support activation

RR\1112100EN.docx 127/133 PE585.523v02-00 EN process cannot be launched without consulting the relevant social partners and civil society. 6. To ensure timely availability of 6. To ensure timely availability of resources, the annual work programme resources, the annual work programme may indicate that in the event of may indicate that in the event of unforeseen and duly justified grounds of unforeseen and duly justified grounds of urgency requiring an immediate response, urgency requiring an immediate response, including a serious disturbance in the including a serious disturbance in the economy or significant circumstances economy or significant circumstances seriously affecting the economic or social seriously affecting the economic or social conditions in a Member State going conditions in a Member State going beyond its control, the Commission may, beyond its control, the Commission may, on request by a Member State, adopt on request by a Member State, adopt special measures in accordance with the special measures in accordance with the objectives and actions defined in this objectives and actions defined in this Regulation to support the national Regulation to support the national regional authorities in addressing urgent needs. and local authorities in addressing urgent Such special measures may account only needs. Such special measures may account for a limited proportion of the annual work only for a limited proportion of the annual programme and shall not be subject to the work programme and shall not infringe conditions set out in Article 7. point (ba) of Article 5 (1).

Amendment 25

Proposal for a regulation Article 13

Text proposed by the Commission Amendment

The Commission and the Beneficiary Without prejudice to point (ba) of Article Member States, within their respective 5 (1) the Commission and the Beneficiary responsibilities, shall foster synergies and Member States, within their respective ensure effective coordination between the responsibilities, shall foster synergies and Programme and other Union programmes ensure effective coordination between the and instruments, and in particular with Programme and other Union programmes measures financed by the Union funds. To and instruments, and in particular with this end, they shall: measures financed by the Union funds. To this end, they shall: (a) ensure complementarity and (a) ensure complementarity and synergy between different instruments at synergy between different instruments at Union and national levels, in particular in Union and national, regional and local relation to measures financed by Union levels, in particular in relation to measures funds, both in the planning phase and financed by Union funds, both in the during implementation; planning phase and during implementation; (b) optimise mechanisms for (b) optimise mechanisms for

PE585.523v02-00 128/133 RR\1112100EN.docx EN coordination to avoid duplication of effort; coordination to avoid duplication of effort and cost; (c) ensure close cooperation between (c) ensure close cooperation between those responsible for implementation at those responsible for implementation at Union and national level to deliver Union and national, regional and local coherent and streamlined support actions. level to deliver coherent and streamlined support actions. The relevant multi-annual and annual work The relevant multi-annual and annual work programmes may serve as the coordination programmes may serve as the coordination framework, where support is envisaged in framework, where support is envisaged in any of the areas referred to in Article 5(2). any of the areas referred to in Article 5 and shall not infringe point (ba) of Article 5 (1).

Amendment 26

Proposal for a regulation Article 15

Text proposed by the Commission Amendment

1. The Commission shall monitor the 1. The Commission shall monitor the implementation of the actions financed by implementation of the actions financed by the Programme and measure the the Programme and measure the achievement of the specific objectives achievement of the specific objectives referred to in Article 5(1) in accordance referred to in Article 5(1) in accordance with indicators set out in the Annex. with indicators set out in the Annex. The Commission shall be empowered to The Commission shall be empowered to adopt delegated acts in accordance with adopt delegated acts in accordance with Article 16 concerning amendments to the Article 16 concerning amendments to the list of indicators set out in the Annex. list of indicators set out in the Annex. 2. The Commission shall provide the 2. The Commission shall provide the European Parliament and the Council with European Parliament and the Council with an interim evaluation report, by mid of annual monitoring report and an interim 2019, at the latest, and an ex-post evaluation report, by 31 December 2018, at evaluation report by end of December the latest, and an ex-post evaluation report 2021. by end of December 2021. 3. The interim evaluation report shall 3. The interim evaluation report shall include information on the achievement of include information on the achievement of the Programme's objectives, the efficiency the Programme's objectives, the efficiency of the use of resources and the of the use of resources and the Programme’s European added value and Programme’s European added value and assessment on whether funding in areas assessment on whether funding in areas covered by the Programme needs to be covered by the Programme needs to be adapted or extended after 2020. It shall adapted or extended after 2020. It shall also address the continued relevance of all also address the continued relevance of all

RR\1112100EN.docx 129/133 PE585.523v02-00 EN objectives and actions. The ex-post objectives and actions. The ex-post evaluation report shall include information evaluation report shall include information on the longer-term impact of the on the longer-term impact of the Programme. Programme and shall assess the Programme as a whole, both its weaknesses and its strengths. 3a. The implementation of the Programme shall be subject to annual monitoring as well as to independent interim and ex-post evaluation on the basis of which the possible suspension after 2020 could be decided. Therefore, output indicators maybe added to the proposed set of indicators.

Amendment 27

Proposal for a regulation Article 16 – paragraph 2

Text proposed by the Commission Amendment

2. The power to adopt delegated acts 2. The power to adopt delegated acts referred to in the second subparagraph of referred to in Article 12(5) and the second Article 15(1) shall be conferred on the subparagraph of Article 15(1) shall be Commission for a period of four years conferred on the Commission for a period from 1 January 2017. of four years from 1 January 2017.

Amendment 28

Proposal for a regulation Article 16 – paragraph 3

Text proposed by the Commission Amendment

3. The delegation of power referred to 3. The delegation of power referred to in the second subparagraph of Article 15(1) in Article 12(5) and in the second may be revoked at any time by the subparagraph of Article 15(1) may be European Parliament or by the Council. A revoked at any time by the European decision to revoke shall put an end to the Parliament or by the Council. A decision to delegation of the power specified in that revoke shall put an end to the delegation of decision. It shall take effect on the day the power specified in that decision. It shall following publication in the Official take effect on the day following Journal of the European Union or at a later publication in the Official Journal of the date specified therein. It shall not affect the European Union or at a later date specified validity of any delegated acts already in therein. It shall not affect the validity of force. any delegated acts already in force.

PE585.523v02-00 130/133 RR\1112100EN.docx EN Amendment 29

Proposal for a regulation Article 16 – paragraph 5

Text proposed by the Commission Amendment

5. A delegated act adopted pursuant to 5. A delegated act adopted pursuant to the second subparagraph of Article 15(1) Article 12(5) and the second subparagraph shall enter into force only if no objection of Article 15(1) shall enter into force only has been expressed either by the European if no objection has been expressed either Parliament or by the Council within a by the European Parliament or by the period of two months of the notification of Council within a period of two months of that act to the European Parliament and the the notification of that act to the European Council or if, before the expiry of that Parliament and the Council or if, before the period, the European Parliament and the expiry of that period, the European Council have both informed the Parliament and the Council have both Commission that they will not object. That informed the Commission that they will period shall be extended by two months at not object. That period shall be extended the initiative of the European Parliament or by two months at the initiative of the of the Council. European Parliament or of the Council.

RR\1112100EN.docx 131/133 PE585.523v02-00 EN PROCEDURE – COMMITTEE ASKED FOR OPINION

Title Establishment of the Structural Reform Support Programme for the period 2017 to 2020 References COM(2015)0701 – C8-0373/2015 – 2015/0263(COD)

Committee responsible REGI Date announced in plenary 2.12.2015

Opinion by CULT Date announced in plenary 4.2.2016

Rapporteur Curzio Maltese Date appointed 23.2.2016

Discussed in committee 20.6.2016

Date adopted 8.11.2016

Result of final vote +: 20 –: 4 0: 3

Members present for the final vote Dominique Bilde, Andrea Bocskor, Silvia Costa, Mircea Diaconu, Angel Dzhambazki, Jill Evans, María Teresa Giménez Barbat, Giorgos Grammatikakis, , Andrew Lewer, Svetoslav Hristov Malinov, Curzio Maltese, Luigi Morgano, Momchil Nekov, Michaela Šojdrová, Yana Toom, Helga Trüpel, Julie Ward, Theodoros Zagorakis, Bogdan Andrzej Zdrojewski, Milan Zver, Krystyna Łybacka Substitutes present for the final vote Therese Comodini Cachia, Santiago Fisas Ayxelà, Emma McClarkin Substitutes under Rule 200(2) present David Coburn, Ángela Vallina for the final vote

PE585.523v02-00 132/133 RR\1112100EN.docx EN PROCEDURE – COMMITTEE RESPONSIBLE

Title Establishment of the Structural Reform Support Programme for the period 2017 to 2020 References COM(2015)0701 – C8-0373/2015 – 2015/0263(COD)

Date submitted to Parliament 18.11.2015

Committee responsible REGI Date announced in plenary 2.12.2015

Committees asked for opinions BUDG ECON EMPL ENVI Date announced in plenary 2.12.2015 2.12.2015 2.12.2015 2.12.2015 ITRE AGRI PECH CULT 2.12.2015 2.12.2015 2.12.2015 4.2.2016 LIBE 2.12.2015 Not delivering opinions ENVI ITRE AGRI LIBE Date of decision 22.12.2015 28.1.2016 11.1.2016 14.12.2015 Associated committees ECON Date announced in plenary 12.5.2016

Rapporteurs Lambert van Constanze Date appointed Nistelrooij Krehl 14.1.2016 14.1.2016

Discussed in committee 25.5.2016 8.9.2016

Date adopted 29.11.2016

Result of final vote +: 29 –: 11 0: 0

Members present for the final vote Pascal Arimont, Franc Bogovič, Steeve Briois, Rosa D’Amato, Michela Giuffrida, Krzysztof Hetman, Ivan Jakovčić, Marc Joulaud, Constanze Krehl, Andrew Lewer, Louis-Joseph Manscour, , Iskra Mihaylova, Jens Nilsson, Younous Omarjee, Konstantinos Papadakis, Mirosław Piotrowski, Stanislav Polčák, Julia Reid, Terry Reintke, Liliana Rodrigues, Fernando Ruas, Maria Spyraki, Olaf Stuger, Ruža Tomašić, Ramón Luis Valcárcel Siso, Ángela Vallina, Matthijs van Miltenburg, Lambert van Nistelrooij, Derek Vaughan, Substitutes present for the final vote Daniel Buda, James Carver, Elena Gentile, Ivana Maletić, , James Nicholson, Bronis Ropė Substitutes under Rule 200(2) present Vladimir Urutchev, Boris Zala for the final vote Date tabled 7.12.2016

RR\1112100EN.docx 133/133 PE585.523v02-00 EN