2019 discharge: European Union Agency for Railways (ERA)
The European Parliament decided by 635 votes to 59, with 4 abstentions, to grant discharge to the Executive Director of the European Union Agency for Railways in respect of the implementation of the Agency's budget for the financial year 2019 and to approve the closure of the accounts for that year.
Noting that the Court of Auditors stated that it had obtained reasonable assurance that the Agency's annual accounts for the financial year 2019 were reliable and that the underlying transactions were legal and regular, Parliament adopted, by 624 votes to 58 with 9 abstentions, a resolution containing a series of recommendations which form an integral part of the discharge decision and which complement the general recommendations contained in the resolution on the performance, financial management and control of EU agencies.
Agency’s financial statements
The Agency's final budget for the financial year 2019 was EUR 27 139 347, which represents a decrease of 5.74% compared to 2018.
Budgetary and financial management
Parliament welcomed the budget monitoring efforts during the financial year 2019, which resulted in a budget implementation rate of 99.98 %, equal to the implementation rate in 2018. Payment appropriations execution rate was 92.22 %, representing an increase of 3.27 % compared to 2018.
Due to the expansion of the Agency's mandate under its new Regulation, the Agency started in 2019 to collect fees and charges for certification tasks. The increase in revenue from fees is offset by a decrease in the subsidy to the Agency. Members regretted that the increase in activity was not considered by the Commission as a reason to increase the subsidy.
Parliament called for an increase in the Agency's budget to give it the means to act effectively as an authority and to carry out its tasks, including those related to enhancing competitiveness, improving safety and cross-border interoperability.
The Agency is also invited to break the trend of increasing ex-post non-nonconformities and to emphasise preventive measures.
Other comments
Members also made a series of observations concerning performance, staff policy, procurement, conflicts of interest and internal controls.
In particular, they noted that:
- the Agency has achieved a satisfactory rate of achievement for its key performance indicators and output targets. It is invited to provide the KPI scores and to extend cooperation with all EU agencies;
- on 31 December 2019, the establishment plan was 93.92 % executed, with 139 temporary agents appointed out of 148 temporary agents authorised under the Union budget. Of particular concern is the lack of gender balance in senior management (89% men and 11% women) and the Management Board (70% men and 30% women);
- the Agency needs to further develop a long-term human resources policy framework covering work-life balance, lifelong guidance and career development, gender balance, teleworking, geographical balance and the recruitment and integration of people with disabilities;
- the Agency failed to formally appoint at least one member of an evaluation committee of a procurement procedure, jeopardising the transparency of the procurement procedure. Members noted the measures taken by the Agency to prevent this failure from recurring;
- the Agency's exposure to conflicts of interest increased from 16 June 2019, when the Agency became an authority with significant decision-making powers. The Management Board adopted a framework of good administrative behaviour in May 2019 which contains strict measures on the management of conflicts of interest for those involved in the implementation of the fourth railway package;
- since 16 June 2019, the Agency has successfully started to fulfil its role as the EU authority responsible for issuing marketing authorisations for railway vehicles, single safety certificates for railway undertakings and approvals for trackside equipment in the framework of the European Rail Traffic Management System (ERTMS). These missions were carried out in conjunction with the eight Member States that had transposed the technical pillar of the fourth railway package in 2019.