Explanatory Memorandum to COM(2013)731 - Extension of the Agreement for scientific and technological cooperation between the EC and the Government of the USA

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1. CONTEXT OF THE PROPOSAL

The Agreement on cooperation in science and technology between the European Community and the Government of the United States of America was signed in Washington on 5 December 1997 and entered into force on 14 October 1998. Article 12(b) of the Agreement provides as follows: 'This Agreement is concluded for an initial period of five years. Subject to review by the Parties in the final year of each successive period, the Agreement may be extended with possible amendments, thereafter for additional period of five years by mutual written agreement by the Parties'.

By Council Decision 2009/306/EC of 30 March 2009, the Agreement was extended for a further period of five years. The Agreement is due to expire on 14 October 2013.

Extension of the Agreement would be in the interest of both Parties so as to maintain continuity in the scientific and technological relations between the US and the European Union leading to socio-economic benefits for both Parties.

1.

RESULTS OF CONSULTATIONS WITH THE INTERESTED PARTIES AND IMPACT ASSESSMENTS



The Commission published in June 2013 a review of the Agreement in 2012-2013 conducted by independent experts.

Both sides confirmed their interest in extending the Agreement in order to continue to facilitate cooperation between the Union and the United States of America in common science and technology areas.

However, during exploratory talks and an exchange of letters with Dr Kerri-Ann Jones, Assistant Secretary of State for Oceans and International Environmental and Scientific Affairs, the USA made the extension of the current Agreement conditional upon negotiation of some amendments. In a letter from 19 March 2013, Dr Jones identified the intellectual property rights annex as a potential area for negotiation. The USA is preparing an official note identifying all the areas which they would like to negotiate.

Considering that engagement in negotiations could lead to a lengthy process, which would most certainly go beyond the expiration date of the current Agreement, it was commonly decided to proceed on two parallel tracks:

start by extending the current Agreement under its existing provisions, in order to avoid any disruptions;

In parallel, the two parties will engage in a process which will lead to the negotiation of an amended Agreement. Such negotiations will require the Council to adopt a decision authorising the opening of negotiations in accordance with Article 218 of the TFEU upon the Commission's recommendation.[1]

2.

LEGAL ELEMENTS OF THE PROPOSAL



The material content of the extended Agreement will be identical to that of the current Agreement.

3.

BUDGETARY IMPLICATION



The Legislative Financial Statement presented with this decision sets out the indicative budgetary implications. The provisions of the Decision shall ensure that the financial interests of the Union are protected.

In the light of the above considerations, the Commission requests the Council:

– To approve, on behalf of the Union, and following the consent of the European Parliament, the extension of the Agreement for scientific and technological cooperation between the European Community and the Government of the United States of America for an additional period of five years;

– To authorise the President of the Council to designate the person(s) empowered to notify the Government of the United States of America that the Union has completed its internal procedures necessary for the entry into force of this extended Agreement.