Explanatory Memorandum to COM(2020)190 - Amending budget N° 4 to the budget 2020 accompanying the proposal: to mobilise the EU Solidarity Fund to provide assistance to Portugal, Spain, Italy and Austria

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dossier COM(2020)190 - Amending budget N° 4 to the budget 2020 accompanying the proposal: to mobilise the EU Solidarity Fund to provide assistance ...
source COM(2020)190 EN
date 30-04-2020


1. Introduction

Draft Amending Budget (DAB) No 4 for the year 2020 accompanies the proposal to mobilise the European Union Solidarity Fund (EUSF) for an amount of EUR 278 993 814 to provide assistance to Portugal, Spain, Italy and Austria following natural disasters that took place in these Member States in the course of 2019:

• Portugal: damage resulting from the hurricane Lorenzo in the Azores in October 2019;

• Spain: flooding i n the reg i ons of Va l en ci a, M u rc i a, Cast i l l a- La Man cha and Anda l uci a i n Septem ber 2019;

• Italy and Austria: extreme weather events resulting in flooding and landslides that affected most of the Italian territory (culminating in Venice flooding) as well as Carynthia and Eastern Tyrol in Austria in the autum n of 2019.

1.

DAB No 4/2020 proposes to enter the necessary appropriations in the general budget 2020, both in commitments and payments, after having deducted the advances already paid out to Portugal and Spain


(EUR 6 495 606).

2. Financing

In accordance with Article 10(1) of the Council Regulation (EU, EURATOM) No 1311/2013 of 2 December 2013 laying down the multiannual financial framework for the years 2014-20207 (hereafter "the MFF regulation ), the total amount available for the mobilisation of the EUSF at the beginning of 2020 was EUR 1 150 524 045, being the sum of the 2020 allocation of EUR 597 546 284, plus the 2019 allocation of EUR 552 977 761 that remained unspent and was carried over to 2020.

T he amount that may be mobilised at this stage of the year 2020 is EUR 1 001 137 474. T his corresponds to the total amount available for the mobilisation of the EUSF at the beginning of 2020 (EUR 1 150 524 045), minus the retained amount of EUR 149 386 571 in order to respect the obligation of keeping aside 25 % of the 2020 annual allocation until 1 October 2020 as stipulated by Article 10(1) of the MFF regulation.

EUSF financing summary tableAmount EUR
2019 allocation carried forward to 2020552 977 761
2020 allocation597 546 284
Total available at the beginning of 20201 150 524 045
Minus 25% of the 2020 allocation retained-149 386 571
Maximum amount currently available (2019+2020 allocations)1 001 137 474
Total amount of aid proposed to be mobilised for Portugal, Spain, Italy and Austria- 278 993 814
Remaining availabilities until 1 October 2020722 143 660

3.

Appropriations requested in the budget of 2020

On the basis of the applications from Portugal, Spain, Italy and Austria, the calculation of the financial contribution from the EUSF, based on the estimate of total direct damages, is set at EUR 278 993 814.

Considering the amount of EUR 6 495 606 that was already paid for these EUSF cases as advance, the Commission proposes to amend the budget 2020 by increasing budget line 13 06 01 by EUR 272 498 208 both in commitment and payment appropriations (see table below).

Amounts in EUR

Budget lineNameCommitment appropriationsPayment appropriations
13 06 01Assistance to Member States in the event of a major natural disaster with serious repercussions on living conditions, the natural environment or the economy272 498 208272 498 208
Total272 498 208272 498 208

4.

Summary table by MFF heading

In EUR

HeadingBudget 2020Budget 2020
(in c l. AB 1-2 & DAB3/2020)Draft Amending Budget 4/2020(in c l. AB 1-2 & DAB3&4/2020)
CAPACAPACAPA
1. Smart and inclusive growth
83 930 597 83772 353 828 44283 930 597 83772 353 828 442
Ceiling83 661 000 00083 661 000 000
Margin
1a Competitiveness for growth and jobs25 284 773 98222 308 071 59225 284 773 98222 308 071 592
Of which under global margin for commitments93 773 98293 773 982
Ceiling25 191 000 00025 191 000 000
Margin
1b Economic social and territorial cohesion58 645 823 85550 045 756 85058 645 823 85550 045 756 850
Of which under global margin for commitments175 823 855175 823 855
Ceiling58 470 000 00058 470 000 000
Margin
2. Sustainable growth: natural resources
59 907 021 05157 904 492 43959 907 021 05157 904 492 439
Ceiling60 421 000 00060 421 000 000
Margin513 978 949513 978 949
Of which: European Agricultural Guarantee Fund (EAGF) — Market related expenditure and direct payments43 410 105 68743 380 031 79843 410 105 68743 380 031 798
Sub-ceiling43 888 000 00043 888 000 000
Rounding difference excluded from margin calculation888 000888 000
EAGF Margin477 006 313477 006 313
3. Security and citizenship
7 152 374 4895 278 527 1417 152 374 4895 278 527 141
Of which under Flexibility Instrument1 094 414 1881 094 414 188
Of which under global margin for commitments2 392 402 1632 392 402 163
Of which under Contingency margin714 558 138714 558 138
Ceiling2 951 000 0002 951 000 000
Margin
4. Global Europe
10 406 572 2398 944 061 19110 406 572 2398 944 061 191
Ceiling10 510 000 00010 510 000 000
Margin103 427 761103 427 761
5. Administration
10 271 193 49410 274 196 70410 271 193 49410 274 196 704
Ceiling11 254 000 00011 254 000 000
Of which offset against Contingency margin- 966 558 138
- 966 558 138
Margin16 248 36816 248 368
Of which: Administrative expenditure of the institutions7 955 303 1327 958 306 3427 955 303 1327 958 306 342
Sub-ceiling9 071 000 0009 071 000 000
Of which offset against Contingency margin- 966 558 138
- 966 558 138
Margin149 138 730149 138 730
Total171 667 759 110154 755 105 917171 667 759 110154 755 105 917
Of which under Flexibility Instrument1 094 414 1881 017 029 4441 094 414 1881 017 029 444
Of which under global margin for commitments2 662 000 0002 662 000 000
Of which under Contingency margin714 558 138714 558 138
Ceiling168 797 000 000172 420 000 000168 797 000 000172 420 000 000
Of which offset against Contingency margin- 966 558 138
- 966 558 138
Margin633 655 07818 681 923 527633 655 07818 681 923 527
Other special Instruments587 763 000418 500 000272 498 208272 498 208860 261 208690 998 208
Grand Total172 255 522 110155 173 605 917272 498 208272 498 208172 528 020 318155 446 104 125