Budgetary discipline and sound financial management as well as financial perspectives 2007-2013

 The committee adopted the report by Sérgio SOUSA PINTO (PES, PT) on the conclusion of the Interinstitutional Agreement (IIA) on budgetary discipline and sound financial management. MEPs in the committee approved the agreement, saying that it fully respected Parliament's budgetary prerogatives. They added that, although the agreement did not seem to conflict with Parliament's Rules of Procedure, it might be appropriate to modify those Rules, in particular Annex IV thereto, "to enable Parliament to participate in the specific procedures provided for in the agreement under the best possible conditions".

The report also welcomed the fact that the European Council had invited the Commission to undertake a wide-ranging review of all aspects of EU spending and resources. It insisted that, as the budgetary partner of the Council, Parliament would take part in this review with the aim of reaching agreement on a new comprehensive financial system "which is fair, buoyant, progressive and transparent and which equips the Union with the ability to match its aspirations with own resources rather than contributions by the Member States". MEPs reiterated their belief that all future financial frameworks should be established for a period of 5 years, compatible with the mandates of Parliament and the Commission. 

Lastly, the committee pointed out that "secure transitional arrangements" would have to be introduced should the Constitutional Treaty come into force before the end of the new financial framework.