Explanatory Memorandum to COM(2016)778 - Amendment of Regulation (EU) No 1303/2013 as regards specific measures to provide additional assistance to Member States affected by natural disasters - Main contents
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This page contains a limited version of this dossier in the EU Monitor.
| dossier | COM(2016)778 - Amendment of Regulation (EU) No 1303/2013 as regards specific measures to provide additional assistance to Member States ... |
|---|---|
| source | COM(2016)778  |
| date | 30-11-2016 |
1. CONTEXT OF THE PROPOSAL
• Reasons for and objectives of the proposal
The recent earthquakes in Italy have had a devastating effect on the people living in the region. Large scale reconstruction works will be required, notably to restore the cultural heritage of the affected areas. Europe needs to be able to quickly provide additional, effective support from the European Regional Development Fund (ERDF) to Member States and regions hit by major or regional natural disasters, complementing the means available under the European Union Solidarity Fund.
In order to provide such additional assistance to Member States affected by natural disasters, the Commission proposes to introduce the possibility of a separate priority axis for reconstruction operations supported by the ERDF within an operational programme. Given the potential magnitude of the impact of such natural disasters, it is proposed to provide the possibility to finance such operations fully from the ERDF, without the need for national co-financing. Operations to be financed within this priority axis are those linked to reconstruction in response to major or regional natural disasters as defined in Council Regulation (EC) No 2012/2002 establishing the European Union Solidarity Fund.
Specific provisions for the starting date of eligibility of expenditure are furthermore proposed to ensure that expenditure is eligible for reimbursement from the date of the disaster.
• Consistency with existing policy provisions in the policy area
The proposal is consistent with the overall legal framework established for the European Structural and Investment Funds (ESI) Funds and is limited to a targeted amendment of Regulation (EC) 1303/2013. The proposal complements the type of support available under Council Regulation (EC) No 2012/2002 establishing the European Union Solidarity Fund.
• Consistency with other Union policies
The proposal is limited to a targeted amendment of Regulation (EC) 1303/2013 and maintains consistency with other Union policies.
2. LEGAL BASIS, SUBSIDIARITY AND PROPORTIONALITY
• Legal basis
It is proposed to introduce an additional paragraph in Article 120 of Regulation (EU) No 1303/2013 to provide for the creation of a separate priority axis with a co-financing rate of up to 100% to support, under ERDF investment priorities, operations selected by managing authorities in response to major or regional disasters as defined in Council Regulation (EC) No 2012/2002 establishing the European Union Solidarity Fund.
• Subsidiarity (for non-exclusive competence)
The proposal to provide additional assistance to Member States affected by natural disasters by providing the possibility to finance reconstruction works by the ERDF with a co-financing rate of up to 100% from the EU budget requires an amendment of Regulation (EU) No 1303/2013. The same result cannot be achieved through action at national level.
• Proportionality
The proposal is a limited and targeted change not going beyond what is necessary to achieve the objective of providing additional assistance to Member States affected by natural disasters.
3. RESULTS OF EX-POST EVALUATIONS, STAKEHOLDER CONSULTATIONS AND IMPACT ASSESSMENTS
••Ex post-evaluations/fitness checks of existing legislation
N/A
••Stakeholder consultations
N/A
••Collection and use of expertise
N/A
••Impact assessment
An impact assessment has been carried out to prepare the proposal for Regulation (EU) No 1303/2013. This limited and targeted change does not require a separate impact assessment.
• Regulatory fitness and simplification
N/A
•• Fundamental rights
N/A
4. BUDGETARY IMPLICATIONS
The proposed modification does not imply any changes in the Multiannual Financial Framework annual ceilings for commitments and payments as per Annex I of Regulation (EU) No 1311/2013.
It remains within the limits of the overall allocation for the period 2014-2020 and is therefore budgetary neutral. The increased co-financing rate up to 100% will lead to a partial front-loading of payments, followed by lower payments at a later stage as the overall envelope is unchanged.
5. OTHER ELEMENTS
• Implementation plans and monitoring, evaluation and reporting arrangements
The implementation of the measure will be monitored and reported upon in the framework of the general reporting mechanisms established in Regulation (EU) No 1303/2013.
• Explanatory documents (for directives)
N/A
• Detailed explanation of the specific provisions of the proposal
In order to provide additional assistance to Member States affected by natural disasters, the possibility of introducing a separate priority axis with a co-financing rate of up to 100% within an operational programme is proposed for the ERDF. The operations that may be co-financed under this separate priority axis are those linked to reconstruction in response to major or regional natural disasters as defined in Council Regulation (EC) No 2012/2002 establishing the European Union Solidarity Fund.
For operations under this separate priority axis, a derogation to the rule concerning the starting date of eligibility of expenditure as a result of an amendment of a programme is proposed. This would ensure that following the amendment of the programme expenditure incurred as from the date of the disaster can be declared for reimbursement.
A provision has also been included to cover the case of expenditure declared for measures taken by Member State authorities directly after the disaster occurred, and before the operational programme is amended, and reimbursed at the existing co-financing rate. The higher co-financing rate would then be applied through the necessary adjustments to the next payment application and, where appropriate, to the next accounts, once the programme has been amended to include the separate priority axis.