Budgetary discipline

The committee adopted a report by Mr Ioannis AVEROFF (EPP, GR) amending the Commission proposal. The first amendment proposed that the act to be adopted should be a Council decision and not a regulation as envisaged by the Commission. The committee also wanted changes to be made to the proposed text to bring it into line with the Interinstitutional Agreement (IIA) of 6 May on budgetary discipline. It stressed that the measures designed to make savings in agriculture should be taken in accordance with the budgetary powers of the respective institutions. To increase transparency the Commission should report annually to the budgetary authority on measures taken. The Commission should use its management powers in accordance with the treaty and the relevant regulations. The report also said that the institutions should apply the procedures laid down in the IIA to reach agreement on the budgetary impact of any measures proposed. If there is any risk of exceeding the ceilings laid down for subcategories 1a (market expenditure) or 1b (rural development), the IIA provides for the Commission to propose a revision of the Financial Perspective. Lastly, the report pointed out in an amendment that unutilised appropriations may be carried over to the following financial year and will not be handed back to the Member States and that the Commission may make a proposal on this when drawing up the preliminary draft budget.