2017 discharge: Translation Centre for the Bodies of the European Union (CdT)

The Committee on Budgetary Control adopted the report by Petri SARVAMAA (EPP, FI) on discharge in respect of the implementation of the budget of the Translation Centre for the Bodies of the European Union (CdT) for the financial year 2017.

The committee called on the European Parliament to grant the Director of the Centre discharge in respect of the implementation of the agency’s budget for the financial year 2017.

Noting that the Court of Auditors stated that it had obtained reasonable assurance that the annual accounts of the Centre for the financial year 2017 were reliable and that the underlying transactions were legal and regular, Members called on Parliament to approve the closure of the Centre’s accounts.

They made, however, a number of recommendations that needed to be taken into account when the discharge is granted, in addition to the general recommendations that appear in the draft resolution on performance, financial management and control of EU agencies:

Centre’s financial statements

Members noted that the final budget of the Centre for the financial year 2017 was EUR 49 429 100, representing a decrease of 2.27 % compared to 2016.

Budget and financial management

The budget monitoring efforts during the financial year 2017 resulted in a budget implementation rate of 93.12 %, representing an increase of 3.75 % compared to the previous year. Payment appropriations execution rate was 85.40 %, representing an increase of 3.21% compared to the previous year.

Members noted the relatively high level of cancelled carryovers in 2017 amounting to EUR 317 986.20 and still representing 8.76 % of the total amount carried over, despite a decrease of 1.34 % in comparison to 2016.

Members also made a series of observations regarding performance, staff, procurement and internal controls.

In particular, they noted that:

- the implementation rate of the Centre’s amended work programme for 2017 was 87.7 %;

- the new pricing structure for the translation of documents was appreciated;

- on 31 December 2017, the establishment plan was 96.9 % executed, with 189 officials or temporary agents appointed out of 195 temporary agents and officials authorised under the Union budget;

- the Centre adopted a policy on preventing harassment;

- although the Centre is not fee financed, it depends on revenue received from its clients, who are represented on the Centre’s management board, and that there is therefore a risk of conflicts of interests regarding the pricing of the Centre’s products which could be solved if the Commission collected the fees on behalf of the Centre’s clients and would prompt the Centre to be mainly funded from the Union budget. The Centre is called on to report to the discharge authority on measures taken in order to mitigate such a risk.