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2006 budget: Section III, Commission

2005/2001(BUD)

PURPOSE: approval by the Council of the amending letter number 1 to the preliminary draft budget for the year 2006.

CONTENT: On 19 October 2005, the Commission forwarded to the Council Amending Letter No. 1 to the Preliminary Draft Budget for the financial year 2006. This Amending Letter concerns expenditure under Section III – Commission – of the Community budget and covers the following elements:

  • the mobilisation of new funds for an amount of EUR 40 million in commitment appropriations (c/a) and EUR 21.2 million in payment appropriations (p/a) to support the accompanying measures for Sugar Protocol ACP countries affected by the reform of the EU sugar regime during 2006;
  • the splitting of the amount in two components: EUR 1 200 000 in c/a and p/a (Item 21 01 04 02 ) for expenditure on administrative management and EUR 38 800 000 in c/a and 20 000 000 in p/a for operational expenditure (Article 21 03 19). These amounts will be included under Items 31 01 40 and 31 02 41 01 of Chapter 31 02 "Reserves for financial interventions" pending the adoption of the legal basis and
  • the updating and replacing of the existing legal basis of Article 21 03 19 by the proposed legal basis and updating of the remarks under Item 21 01 04 02 to include Article 21 03 19 in the list of articles covered.

Following conciliation with the Parliament delegation on 24 November 2005 prior to the Budget Council meeting, the Council, as part of an overall agreement with the European Parliament and the Commission involving adoption of the letter at a single reading, decided as follows:

1) to establish Amending Letter No. 1 to the Draft Budget for the financial year 2006 on the basis of the information set out above;

2) to instruct the Presidency to draw up the budgetary documents and forward them to the European Parliament.