2017 discharge: European Training Foundation (ETF)

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 European Training Foundation (ETF) for the financial year 2017.

The committee called on the European Parliament to grant the Director of the Foundation 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 Foundation 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 Foundation’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:

Foundation’s financial statements

The final budget of the Foundation for the financial year 2017 was EUR 20 144 089, representing a decrease of 3.62 % compared to 2016. 

Budget and financial management

Budget monitoring efforts during the financial year 2017 resulted in a high budget implementation rate of 99.93 %, representing a slight decrease of 0.06 % compared to 2016. Payment appropriations execution rate was 97.97 %, representing an increase of 0.31 % compared to the previous year.

Members noted with concern that the Foundation’s level of cancellations of carry-overs from 2016 to 2017 amounted to at EUR 42 925, still representing 9.16 % of the total amount carried over, despite of a significant decrease of 8.42 % in comparison to 2016.

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

In particular, they noted that:

-  the Foundation achieved a 93 % activity completion rate with a timely completion rate of 88 %, that it launched the forum for quality in vocational education and training (VET);

- on 31 December 2017, the establishment plan was 96.6 % executed, with 85 temporary agents appointed out of 88 temporary agents authorised under the Union budget;

- adequate staff and financial resources should be ensured in order to allow the Foundation to implement its tasks;

- an independent disclosure, advice and referral body for whistle-blowers was established by appointing the Foundation’s legal advisor as the Foundation’s ethics and integrity correspondent;

- the Foundation revised its internal control framework in 2017 and that the Governing Board adopted the Internal Control Principles;

- concerns related to the premises in Villa Gualino have been overcome and their presence in the current facilities is secure for the foreseeable future.