G. & D.

CHIRLEAN, Management of the European Programmes

Chapter 1: EU AND FINANCING THROUGH PROGRAMMES

STRUCTURE OF THE COURSE 1: 1.1: What is European Union (EU)? 1.1.1.: Definition, symbols, brief history 1.1.2.: Specific structures of EU 1.1.3.: Other EU commissions and committees 1.2.: European Commission (EC): 1.2.1.: Role of EC 1.2.2.: EC structure 1.2.3.: EC mechanisms 1.3.: European Union budget and its execution by the European Commission

1.1: What is European Union (EU)?

1.1.1.: Definition, symbols, brief history 1.1.1.a.: Definition The European Union (EU) is the result of a process of cooperation and integration which began in 1951 between six countries (Belgium, Germany, France, Italy, Luxembourg and the Netherlands). After almost sixty years, with six waves of accessions, the EU today has 27 Member States: 1973: Denmark, Ireland and the United Kingdom; 1981: Greece; 1986: Spain and Portugal; 1995: Austria, Finland and Sweden; 2004: Cyprus, Estonia, Latvia, Lithuania, Malta, Poland, Czech Republic, Slovakia, Slovenia and Hungary; The sixth wave was accomplished when Romania and Bulgaria have joined the EU at 1st of January 2007. Croatia is acceding country. Turkey, Former Yugoslav Republic of Macedonia, Serbia, Montenegro and Iceland are candidate countries. Potential candidates: Albania, Bosnia and Herzegovina and Kosovo under UN Security Council Resolution 12441. In 1999, the EU decided that Albania, Bosnia-Herzegovina, Montenegro and Serbia (including Kosovo2) would eventually qualify as candidate countries of the European Union. With these countries, the EU has signed Stabilization and Association Agreements, which contain a whole system of accords intended as stepping stones to eventually opening accession negotiations. Kosovo also has accession prospects, but some EU member states do not recognize it yet. The
1 2

http://europa.eu/about-eu/countries/index_en.htm Under the UN Security Council Resolution 1244.

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Commission has proposed eventually making Kosovo eligible for a trade agreement and for an agreement liberalizing visa requirements for its citizens. In December 2008, Montenegro applied to join the EU, followed in April 2009 by Albania. The Council has asked the Commission to draft recommendations on these applications. Iceland applied for EU membership in July 2009. The Council asked the Commission that same month for its recommendations. Note: Of course there are lots of web definitions for EU, such as: is a family of democratic European countries, committed to working together for peace and prosperity (medicines.mhra.gov.uk/ourwork/licensingmeds/types/thmpd/glossary.htm) is an institutional framework of 15 countries (27 from January 2007), sharing the common institutions and policies, for the construction of a united Europe. (www.grid.unep.ch/product/publication/freshwater_europe/glos.php) is an institutional (political and economical) framework including most important European countries (formerly known as the European Community), created by Treaty of Paris (1951) and Rome Treaties (1958). (www.equanto.com/glossary/e.html) is an economic federation of 15 European countries created in 1993 in which there is free movement of goods, services, capital and labour across member countries (www.agtrade.org/glossary_search.cfm)

The European Union's mission is to organize relations between the Member States and between their peoples in a coherent manner and on the basis of solidarity. The main objectives of EU are: - to promote economic and social progress (the single market was established in 1993; the single currency was launched in 1999); - to assert the identity of the European Union on the international scene (through European humanitarian aid to non-EU countries, common foreign and security policy, action in international crises; common positions within international organizations); - to introduce European citizenship (which does not replace national citizenship but complements it and confers a number of civil and politic rights on European citizens); - to develop an area of freedom, security and justice (linked to the operation of the internal market and more particularly the freedom of movement of persons); - to maintain and build on established EU law (all the legislation adopted by the European institutions, together with the founding treaties)3. 1.1.1.b.: Symbols The symbols of the European Union are the flag, the anthem, the motto, the single currency euro and Europe Day, May 9. (Art. I-8, the Treaty establishing a Constitution for Europe)
3

More details at: http://europa.eu/documentation/legislation/index_en.htm

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The flag, with 12 yellow stars forming a circle against a blue background, means the unity and identity of the peoples of Europe. The circle symbolizes solidarity and harmony and the 12 stars stand for perfection (not for the number of EU member states, as people might believe). The history of the flag dates back to 1955. In the beginning, it was used by the Council of Europe, an international organization defending human rights and European cultural values. In 1985, EU Member States adopted it as the flag of European Communities (CEE), and since 1986 it has been used by all European Union institutions. EU Anthem It was again the Council of Europe who chose, in 1972, Beethovens Ode to joy (the last part of the 9th Symphony) as its anthem. In 1985, EU Member States adopted it as the official anthem of the European Union. By this decision, the European Union did not intend to replace the national anthems of Member States. Choosing the Ode to Joy as anthem highlights the aspiration to common values, unity in diversity and the ideals of freedom, peace and solidarity on which the European Union is built.

United in diversity is the motto of the European Union. It first came into use around the year 2000 and was for the first time officially mentioned in the Treaty establishing a constitution for Europe, which was signed in 2004. The motto means that, via the EU, Europeans are united in working together for peace and prosperity, and that the many different cultures, traditions and languages in Europe are a positive asset for the continent. The motto is used in posters published for Europe's Day, in different EU languages. Some of the posters can be seen by accessing the link below: http://europa.eu/abc/symbols/9-may/gallery_en.htm

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The concept of single currency is based on the treaties which lie at the basis of the European Union. The Treaty of Rome (1957) states that the single market is one of the objectives of the European Community, which will contribute to a tighter union among Europes nations. The Treaty of the European Union (1992 - Maastricht) introduces the Economic and Monetary Union and lays the bases for the single currency. In December 1995, The European Council of Madrid decides that the single currency will be named Euro. On January 1, 2002, Euro entered circulation and in the pockets of the European citizen. In that moment, only 12 of the 15 Member States adopted it, but Greece joined them later on. The Euro became a symbol of the European Union. On February 28, 2002, national currency notes and coins of the Euro Area were withdrawn from circulation. The graphic representation of the single currency was inspired by the Greek letter epsilon, as it points both to the cradle of European civilization and to the first letter of the word Europe. The two parallel lines of the graphic symbol point to the stability of the Euro.

The day of May 9, 1950 represented the first step towards todays European Union. On that day, in Paris, Frances Foreign Affairs Minister, Robert Schuman, read for the international press a declaration by which he urged France, Germany and the other peoples of Europe to join their steel and coal productions as the first real foundation of a European federation. His proposal was aimed at creating a community whose members exert a common control on the steel and coal production as a basis of their military power with a view to avoiding the burst of a new war. The two countries particularly targeted by this challenge France and Germany used to fight each other for almost 100 years, and they were almost devastated after the second World War. In 1985, when the project of the European Construction was clearly outlined, the 10 Member States of that time decided to celebrate Europe Day on May 94. 1.1.1.c.: Brief history The History of the European Union presents the chronology of the important accomplishments of the EU and its institutions: from Robert Schuman's declaration of 1950 to the first enlargement waves in the 70's and the 80's; from the establishment of the Single Market in 1993 to the launching of the Euro on January 1st 1999 and the opening of enlargement negotiations with the countries of Eastern and Central Europe. 1950, 9 May: In a speech inspired by Jean Monnet, Robert Schuman, the French Foreign Minister, proposes that France and Germany and any other European country wishing to join
4

More details at: http://europa.eu/abc/symbols/9-may/index_en.htm

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them pool their Coal and Steel resources together ("Schuman Declaration"); 1951, 18 April: The Six (Belgium, France, Germany, Italy, Luxembourg, Netherlands) sign the Treaty of Paris establishing the European Coal and Steel Community (ECSC); 1953, 10 February: The Common Market for coal and iron ore is set into place. The Six remove custom duties and quantitative restrictions on these raw materials; 1954, 30 August: The French National Assembly rejects the European Defence Community Treaty; 1957, 25 March: The Treaties establishing the European Economic Community (EEC) and the European Atomic Energy Community (Euratom) are signed by the Six (Belgium, France, Germany, Italy, Luxembourg, Netherlands) in Rome; they entered into force on 1 January 1958 and will be referred to as the "Treaties of Rome"; 1967, 1 July: The Merger Treaty, fusing the Executives of the European Communities (ECSC, EEC, Euratom), enters into force. From now on the European Communities will have a single Commission and a single Council. However, both continue to act in accordance with the rules governing each of the Communities; 1987, 1 July: The Single European Act enters into force; 1993, 1 November: All ratification procedures are completed; the Treaty on the European Union enters into force; 1997, 16 July: The Commission presents the "Agenda 2000 - for a stronger and wider Europe" and its opinions on the applications of 10 Central European countries; 1998, 4 November: The Commission adopts the regular reports assessing progress of countries applying for accession; 1999, 1 January: The Euro is officially launched. Austria, Belgium, Finland, France, Germany, Ireland, Italy, Luxembourg, The Netherlands, Portugal and Spain adopt the Euro as their official currency; 1999, 1 May: The Amsterdam Treaty enters into force; 2000, 15 January: The opening session of the Ministerial Intergovernemental Conferences for accession negotiations of Malta, Romania, Slovakia, Latvia, Lithuania and Bulgaria, is held in Brussels, Belgium. The candidate countries reminded of the importance of: - the formal transposal and putting into practice of Community acquis; - ensuring a good functioning of both the internal market and EU policies, agriculture, justice and home affairs and the environmental ones in particular; - the alignment with the EU on matters regarding relations with third countries and international organizations; They were also confirmed that each application would be evaluated based on its own merits. The candidate countries presented their strategical objectives alongside their political, cultural and socio-economic aspirations into accession. 2000, 14 February: The Intergovernmental Conference on institutional reform opens in Brussels, Belgium; 2000, 9 May: The European Institutions celebrate the 50th anniversary of the "Schuman Declaration"; 2000, 8 November, The Commission delivers to the Council the overall report on enlargement, consisting of progress reports assessing the preparation of the candidate countries; 2000, 7-11 December; The European Council meeting, held in Nice, confirms that it welcomes the stepping up of accession negotiations with the candidate countries and appreciates the efforts made by such countries to establish the conditions for adoption, implementation and practical application of the acquis. The Council also discusses about the European security and defence policy, it approves the European Social Agenda, it discusses innovation and knowledge in Europe, coordination of economic policies, consumer health and safety, maritime safety, the Page 5 of 19

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environment, services of general interest, security of supplies of certain products, freedom, security and justice, culture, outermost regions and external relations. The Intergovernmental Conference comes to an end with a political agreement on the Treaty of Nice; 2001, 2 January: Greece becomes the 12th member of the euro zone; 2001: 26 February: Treaty of Nice received final approval by the governments of the EU Member States. The Treaty will enter into force after ratification by all Member States' national parliaments; 2001, 15-16 June: Outcome of the Gothenburg European Council summit, regarding enlargement and accession process, is that "Special efforts will be devoted to assisting Bulgaria and Romania"; 2001, 21 September 21: A special European Council is held in Brussels, Belgium, to assess the international situation in the wake of the terrorist attacks on 11 September in New York and Washington, USA, and to set the guidelines for the response of the EU; 2001, 13 November 13: The European Commission adopts the Regular Reports on the candidate countries progress towards accession and reviews the Accession Partnerships. Ten candidate countries aim to complete negotiations in 2002; 2001, 14-15 December 14-15: The European Council in Laeken, Belgium decides to convene a Convention on the future of the EU, chaired by Valry Giscard d'Estaing; 2002, 1 January: The euro coins and notes enter into circulation in the twelve participating Member States: Austria, Belgium, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg, the Netherlands, Portugal and Spain; 2002, 28 February: The euro becomes the sole currency within the twelve participating Member States, as the period of dual circulation comes to an end. The opening session of the Convention on the Future of Europe is held in Brussels; 2004, 1 May: Enlargement Day. 10 countries join the European Union (Cyprus, Estonia, Latvia, Lithuania, Malta, Poland, Czech Republic, Slovakia, Slovenia and Hungary); 2005, 25 April: Romania, Bulgaria and the 25 Member Stated sign the Accession Treaty to the European Union; 2005, 29 May: France rejects the proposed European Constitution in a referendum; 2005, 1 June: The people of the Netherlands choose to say no to the ratification of the Constitutional Treaty; 2005, 3 October: The European Union gives green light to the opening of the accession talks with Turkey and Croatia; 2005, 21 October: the Commission recommends the opening of negotiations on an Stabilisation and Association Agreement with Bosnia and Herzegovina; 2005, 25 October: the first ever multilateral treaty in South East Europe, establishing an Energy Community, was signed in Athens; 2005, 9 November: the European Commission releases an overall enlargement strategy for the candidate countries, Croatia and Turkey and the potential candidate countries in the Western Balkans; 2005, 9 November: 16th anniversary of the Fall of the Berlin Wall; 2005, 15-16 December: A European Council is held in Brussels, Belgium; 2006, 1st of January, Austria takes over the EU Presidency; 2006, 1st of February, European Commission launches a Communication policy White Paper Debating Europe - involving citizens as the foundation of a European Union Communication Policy; 2006, 23-24 March, European Council held in Brussels; 2007, 1 January: Romania and Bulgaria became members of the EU. Slovenia became a member of the Euro Area. Page 6 of 19

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2007, 13 December: The 27 EU countries sign the Treaty of Lisbon, which amends the previous Treaties. It is designed to make the EU more democratic, efficient and transparent, and thereby able to tackle global challenges such as climate change, security and sustainable development.

1.1.2.: Specific structures of EU The unique features of the European construction are visible first and foremost in the institutional set up. The countries that make up the EU (its "member states") pool their sovereignty into common institutions established by the founding treaties, with consecutive updates. The purpose of these institutions is to ensure a democratic participation in the EU decision making process. In present the functioning of EU is based on five major institutions: the European Parliament (elected by the peoples of the Member States); the Council of the European Union (representing the governments of the Member States); the European Commission (the executive and the body having the right to initiate legislation); the European Communities Court of Justice (ensuring compliance with the law); the European Court of Auditors (responsible for auditing the accounts).

Note: The Constitutional treaty integrates the European Council among its main institutions.

In addition to these, other 5 institutions (financial, advisory bodies, etc.) support the proper functioning of the EU: - European Central Bank; - European Investment Bank; - European Economic and Social Committee; - Committee of the Regions; - European Ombudsman.

1.1.2.a.:European Parliament The European Parliament represents, in the words of the 1957 Treaty of Rome, the peoples of the States brought together in the European Community. The European Parliament is elected by direct universal suffrage since June 1979 and at subsequent five year intervals. They are elected under a system of proportional representation. Beginning with 2004, 338 millions electors from the 25 Member States of the European Union have voted for 732 representatives in The European Parliament (this number was set by the Nice Treaty). Today the total number of members of the European Parliament is 754. They are elected once every five years by voters right across the 27 Member States of the European Union on behalf of its over 500 million citizens. The current President of the EP is Mr. Martin Schulz. The European Parliament, which derives its legitimacy from direct universal suffrage and is elected every five years, has steadily acquired greater influence and power through a series of treaties. These treaties, particularly the 1992 Maastricht Treaty and the 1997 Amsterdam Treaty, have transformed the European Parliament from a purely consultative assembly into a legislative parliament, exercising powers similar to those of the national parliaments. More details at: http://www.europarl.europa.eu/portal/en Page 7 of 19

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1.1.2.b.: Council of the European Union Under the Treaty establishing the European Community, the main responsibilities of the Council are the following: - the Council is the Community's legislative body; for a wide range of Community issues, it exercises that legislative power in co-decision with the European Parliament; - the Council coordinates the general economic policies of the Member States; - the Council concludes, on behalf of the Community, international agreements between the latter and one or more States or international organisations; - the Council and the European Parliament constitute the budgetary authority that adopts the Community's budget. Under the Treaty on European Union: - the Council takes the decisions necessary for defining and implementing the common foreign and security policy, on the basis of general guidelines established by the European Council; - coordinates the activities of Member States and adopts measures in the field of police and judicial cooperation in criminal matters. The Council is presided over for a period of six months by each Member State in turn, in accordance with a pre-established rota. The Council is assisted by a General Secretariat which prepares the Council's work and ensures that it runs smoothly at every level. Mr Uwe Corsepius is currently Secretary-General of the Council of the European Union, who entered office on 26 June 2011. The Council appointed Uwe Corsepius on 22 December 2009 for the period from 26 June 2011 to 30 June 2015. Note: European Council meetings are essentially summits where EU leaders meet to decide on broad political priorities and major initiatives. Typically, there are around 4 meetings a year, chaired by a permanent president. Herman Van Rompuy is the President of the European Council. His term of office began on 1 December 2009 and runs until 31 May 2012. On 1 March 2012 Herman Van Rompuy was reelected by the heads of state or government of the 27 EU member states. His second term is set to last two and a half years, from 1 June 2012 to 30 November 2014. More details at: http://europa.eu/about-eu/institutions-bodies/council-eu/index_en.htm 1.1.2.c.: European Commission The European Commission is effectively the EU's civil service. It has powers of initiative, implementation, management and control. It is the guardian of the Treaties and the embodiment of the interests of the Community. It is composed of 27 Commissioners (one from each EU member state), including a President and seven Vice Presidents. It is appointed for a five year term by the Council, subject to a vote of approval by the European Parliament, to which it is answerable5.

A new Commission is appointed every five years, within six months of the elections to the European Parliament. The procedure is as follows: The Member State governments agree together on who to designate as the new Commission President. The Commission President-designate is then approved by Parliament.

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The Commissioners are assisted by an administration made up of Directorates General and specialised departments. Negotiations are taking place during the current intergovernmental conference over the future composition of the Commission. The convention responsible for drawing up a draft Treaty has suggested having a Commission made up of 15 full Commissioners and 15 Deputies who would not have voting rights, though a system where each Member State has one Commissioner seems more likely to be approved6. The current President of the European Commission is Jos Manuel Barroso who began his second term of office in February 2010. More details at: http://europa.eu/about-eu/institutions-bodies/europeancommission/index_en.htm 1.1.2.d.: European Communities Court of Justice The Court of Justice, as the judicial institution of the Community, is the backbone of that system of safeguards. Its judges must ensure that Community law is not interpreted and applied differently in each Member State, that as a shared legal system it remains a Community system and that it is always identical for all in all circumstances. In order to fulfil that role, the Court of Justice has jurisdiction to hear disputes to which the Member States, the Community institutions, undertakings and individuals may be parties. The Court of Justice is composed of one judge per member state, so that all 27 of the EUs national legal systems are represented. For the sake of efficiency, however, the Court rarely sits as the full court. It usually sits as a Grand Chamber of just 13 judges or in chambers of five or three judges. The Court is assisted by eight advocates-general. Their role is to present reasoned opinions on the cases brought before the Court. They must do so publicly and impartially. The judges and advocates general are appointed by common accord of the governments of the Member States and hold office for a renewable term of six years. They are chosen from jurists whose independence is beyond doubt and who are of recognized competence. The judges select one of their number to be President of the Court for a renewable term of three years. The judges deliver, in open court and with complete impartiality and independence, opinions on the cases brought before the Court. Their duties should not be

6

The Commission President-designate, in discussion with the Member State governments, chooses the other Members of the Commission. The Council adopts the list of nominees by qualified majority and communicates it to the European Parliament for approval. Parliament then interviews each nominee and votes its opinion on the whole team. Following Parliaments vote of approval, the new Commission is formally appointed by the Council, acting by qualified majority.

A Commission with too many members will not work properly and, at present, there is one commissioner from each EU country. Since Bulgaria and Romania joined the European Union, the number has grown to 27 commissioners. This number was fixed by the Council by unanimous decision. But from the next Commission (i.e. in principle as of November 2009), following the accession of the 27th member state, the number of commissioners should be reduced. The final figure remains to be determined by a Council decision. Commissioners will then be appointed by rotation with care being taken to ensure that countries are represented fairly. The aim will be to ensure a clear reflection of the demographic and geographical range of all the Member States.

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confused with those of a prosecutor or similar official - that is the role of the Commission, as guardian of the Community's interests. More details at: http://europa.eu/institutions/inst/justice/index_en.htm

1.1.2.e.: European Court of Auditors The Treaty establishing the European Community confers upon the European Court of Auditors the main task of auditing the accounts and the implementation of the budget of the European Union with the dual aim of improving financial management and the reporting to the citizens of Europe on the use made of public funds by the authorities responsible for their management. The Court of Auditors was set up in 1975. It is based in Luxembourg. The Courts job is to check that EU funds, which come from the taxpayers, are properly collected and that they are spent legally, economically and for the intended purpose. Its aim is to ensure that the taxpayers get maximum value for their money, and it has the right to audit any person or organisation handling EU funds. The Court has one member from each EU country, thus 27 members, appointed by the Council for a renewable term of six years. The members elect one of their number as President for a renewable term of three years. The members are independent and have specific experience in the audit of public finances. The Court of Auditors has approximately 800 highly qualified staff, who come from the 27 countries of the European Union. The staff includes translators and administrators as well as auditors. The auditors are divided into audit groups. They prepare draft reports on which the Court takes decisions. The Court of Auditors examines whether EU budgetary revenue has been received and the corresponding expenditure incurred in a legal and regular manner. It places a particular emphasis on examining whether the financial management has been sound, i.e. it checks whether management objectives have been met while assessing to what extent and at what cost this has been done. The European Court of Auditors thus helps to guarantee the citizens of Europe that the EU budget has been managed and implemented regularly and as effectively as possible. More details at: http://europa.eu/institutions/inst/auditors/index_en.htm 1.1.3.: Other commissions and committees Along with the above mentioned institutions, the daily functioning of EU is supported by organisms fulfilling specialized tasks: the Economic and Social Committee; the Committee of the Regions (advisory bodies which help to ensure that the positions of the EU's various economic and social categories and regions respectively are taken into account); the European Ombudsman (dealing with complaints from citizens concerning maladministration at European level); the European Investment Bank (EU financial institution); the European Central Bank (responsible for monetary policy in the euro-area) etc. In order to offer you a coherent image of the specialized bodies and organisms supporting the EU institutions, we rendered below a chart in which they are categorized and classified: EU main institutions: Page 10 of 19

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European Parliament Council of the European Union European Commission Court of First Instance Court of Justice of the European Communities European Court of Auditors EU regular institutions: EU Presidency Delegation of the European Commission in Romania (replaced at 1st of January 2007 by EC Representation in Romania) European Anti-Fraud Office (OLAF) EuropeAid Cooperation Office European Ombudsman European Data Protection Supervisor Financial bodies: European Central Bank European Investments Bank (EIB); European Investment Fund Advisory bodies: Economic and Social Committee Committee of the Regions Inter-institutional Bodies: Office for Official Publications of the European Communities (EUR-OP) European Personnel Selection Office (EPSO) European Administrative School (EAS) Decentralized bodies (agencies): (a) 20 specialized Agencies of the European Communities (the first pillar): European Aviation Safety Agency (EASA) European Agency for the Evaluation of Medicinal Products (EMEA) European Environment Agency (EEA) European Training Foundation (ETF) European Agency for Reconstruction (EAR) Community Plant Variety Office (CPVO) European Agency for Safety and Health at Work (OSHA) European Maritime Safety Agency (EMSA) European Centre for Development of Vocational Training (CEDEFOP) European Food Safety Authority (EFSA) European Foundation for the Improvement of Living and Working Conditions (E. FOUND) European Monitoring Centre for Drugs and Drugs Addiction (EMCDDA) European Monitoring Centre on Racism and Xenophobia (EUMC) Office for Harmonization in the Internal Market (OHIM) Translation Centre for Bodies in the European Union European Network and Information Security Agency (ENISA) Page 11 of 19

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European Centre for Disease Prevention and Control (ECDC) European Railway Agency (ERA) European Agency for the Management of Operational Cooperation at the External Borders (FRONTEX) European Chemicals Agency (ECHA) (b) Agencies of the Common Foreign and Security Policy (second pillar): European Defence Agency (EDA) European Institute for Security Studies (ISS) European Union Satellite Centre (EUSC) (c) Agencies of the Police and Judicial Cooperation in Criminal Matters (third pillar): European Police College (CEPOL) European body for the enhancement of judicial co-operation (Eurojust) European Police Office (EUROPOL). Detailed information about each of the above institutions and bodies may be found on: the EC web page at: http://ec.europa.eu on the EC Representation in Romania web page at: http://ec.europa.eu/romania/index_ro.htm ; on the Europa European Union Institutions and other bodies web page at: http://europa.eu/agencies/index_en.htm

1.2: European Commission (EC):

1.2.1.: Role of EC The Commission fulfils three main functions. 1. Right of initiative: its role as the source of policy initiatives is unique. In addition to its power of proposal, the Commission acts as the EU executive body and guardian of the Treaties. It represents the common interest and embodies, to a large degree, the personality of the Union. Its main concern is to defend the interests of Europe's citizens. The members of the Commission are drawn from the EU countries, but they each swear an oath of independence. 2. In its second function, the Commission acts as the guardian of the EU treaties to ensure that EU legislation is applied correctly by the Member States and that all citizens and participants in the single market can benefit from the level playing field that has been created. 3. In its third function, the Commission is the executive body of the Union responsible for implementing and managing policy. One of its executive functions is managing the Union's annual budget and running its Structural Funds, whose main purpose is to even out economic disparities between the richer and poorer parts of the Union. 1.2.2.: EC structure As mentioned in the previous paragraph when describing it, the European Commission is composed of 27 Commissioners (one from each EU member country), including a President and seven Vice Presidents. It is appointed for a five year term by the Council, subject to a vote of approval by the European Parliament, to which it is answerable. Page 12 of 19

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The Commissioners are assisted by an administration made up of Directorates General and specialised departments. (a) The President Actual President of the European Commission is Mr Jos Manuel Barroso (born in Lisbon on 23 March 1956). The President of the Commission is appointed by the governments of the Member States, and then approved by the European Parliament. This dual legitimacy gives the President political authority, which he exercises in a variety of ways. The President must try to provide forward movement for the European Union and to give a sense of direction both to his fellow Commissioners and, more broadly, to the Commission as a whole. This role was strengthened by the Amsterdam Treaty: The Commission shall work under the political guidance of its President (Article 219). He calls and chairs meetings of the Members of the Commission, and can assign responsibility for specific activities to them or set up working groups. Lastly, he represents the Commission. In this capacity, he takes part in meetings of the European Council and of the Group of seven leading industrialized countries and Russia (G8), as well as in the major debates of the European Parliament and the Council of Ministers of the European Union. So, although the work of the Commission is based on the principle of collective responsibility, the President is much more than a first among equals. The President of the Commission serves a five-year term. The Maastricht Treaty brought the terms of office of the European Parliament and the Commission into close alignment: Colleges serve a five-year term and take up office six months after European Parliament elections, which are held on a fixed basis in the June of years ending in four and nine. The President appoints his fellow Commissioners in agreement with the governments of the Member States. He each entrusts them with particular policy responsibilities. After a series of individual hearings before Parliamentary committees, the candidate-Commissioners are subject as a body to a vote of approval by the European Parliament. The President and the other Members of the Commission are then appointed by the Council. (b) The Commissioners Since the enlargement of the European Union on 1 January 2007, the College counts 27 Commissioners. They are each in charge of particular policy areas and meet collectively as the College of Commissioners. Before the last enlargement of the EU, the larger countries had two Commissioners and the remaining countries each had one. For practical reasons, each country now has only one Commissioner. The President can ask a Commissioner to resign, because the Treaty of Nice gives the President, among other things, the power to reallocate responsibilities to Members of the Commission during its term of office or to ask them to resign. The Secretariat General is responsible for the practical organization of the Commission's work and of its relations with the other institutions, as well as for coordination between the various Commission departments.

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(c) Directorates-general (DGs) Speaking about the structure, the European Commission is divided into 26 directoratesgeneral (DGs) and seven general services and twelve internal services, which are in turn divided into directorates and directorates into units. You can contact Commission services and staff by consulting the contact page at http://ec.europa.eu/about/ds_en.htm . Extra structures can be set up when needed. In order to ensure the effectiveness and collegiality of Commission action, the DGs are required to work together closely and to coordinate in the preparation and the implementation of the College's decisions. The EC Directorates-General and Services are: Agriculture and Rural Development Climate action Competition Economic and Financial Affairs Education and Culture Employment, Social Affairs and Equal Opportunities Energy Enterprise and Industry Environment Executive agencies Home affaires Maritime affairs and fisheries Mobility and transport Health and Consumer Protection Information Society and Media Internal Market and Services Justice Regional policy Research Taxation and custom unions Development Enlargement EuropeAid - Co-operation Office External Relations Humanitarian Aid Trade General Services: Communication European Anti-Fraud Office Eurostat Historical archives Joint Research Center Publications Office Secretariat General

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Internal Services: Budget Bureau of European Policy Advisers European Commission Data Protection Officer Human Resources and Security Informatics Infrastructures and Logistics - Brussels Infrastructures and Logistics - Luxembourg Internal Audit Service Interpretation Legal Service Office For Administration And Payment Of Individual Entitlements Translation More details at: http://ec.europa.eu/about/ds_en.htm 1.2.3.: EC mechanisms We will try to briefly present below the Commission's role in the European legislative process and the mechanisms through which it is functioning. The European Commission was created to represent the European interest common to all Member States of the Union. So that it can play its role as guardian of the Treaties and defender of the general interest, the Commission has been given a right of initiative in the legislative process, proposing the legislation on which the European Parliament and the Council decide. The Commission is also responsible for implementing common policies (like the common agricultural policy); it administers the budget and manages the Union's programmes. Although the Commission has the right to take any initiative it considers appropriate to attain the objectives of the Treaties, most proposals are a response to legal obligations, technical requirements or to a specific request for action from another institution, a Member State or from the interested parties. A Commission proposal must have the European interest at heart and it must respect the principles of subsidiarity (whenever there is no exclusive Community competence) and proportionality. What does this mean? The Commission works for the good of the EU as a whole and not for the benefit of any one Member State or interest group. It consults extensively so that the parties concerned by the legislation have a say in its preparation. An assessment of the economic, environmental and social impacts of the proposed legislative initiative is often drawn up and made publicly available together with the proposal. Finally the principles of subsidiarity and proportionality must be respected meaning that the Commission shall only propose legislation if it is more effective to do so on the EU level and with the intensity necessary to achieve the desired objectives. If it would be more effective if done on a national, regional or local level, the Commission shall not propose the piece of legislation. Decision-making in the European Union Decision-making at European Union level involves various European institutions, in particular the European Commission, the European Parliament (EP), the Council of the European Union. In general, it is the European Commission that proposes new legislation, but it is the Council and Parliament that pass the laws. In some cases, the Council can act alone. Other institutions also have roles to play.

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The main forms of EU law are directives and regulations. The rules and procedures for EU decision-making are laid down in the treaties. Every proposal for a new European law is based on a specific treaty article, referred to as the legal basis of the proposal. This determines which legislative procedure must be followed. The three main procedures are consultation, assent and co-decision. Co-decision This is the procedure now used for most EU law-making. In the co-decision procedure, Parliament does not merely give its opinion: it shares legislative power equally with the Council. If Council and Parliament cannot agree on a piece of proposed legislation, it is put before a conciliation committee, composed of equal numbers of Council and Parliament representatives. Once this committee has reached an agreement, the text is sent once again to Parliament and the Council so that they can finally adopt it as law. Conciliation is becoming increasingly rare. Most laws passed in co-decision are, in fact, adopted either at the first or second reading as a result of good cooperation between the three institutions. The diagram below shows the co-decision procedure in greater detail.

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Assent The assent procedure means that the Council has to obtain the European Parliament's assent before certain very important decisions are taken. The procedure is the same as in the case of consultation, except that Parliament cannot amend a proposal: it must either accept or reject it. Acceptance (assent) requires an absolute majority of the vote cast. The assent procedure is mostly used for agreements with other countries, including the agreements allowing new countries to join the EU. Consultation The consultation procedure is used in areas such as agriculture, taxation and competition. Based on a proposal from the Commission, the Council consults Parliament, the European Economic and Social Committee and the Committee of the Regions. Parliament can: approve the Commission proposal, reject it, or ask for amendments. If Parliament asks for amendments, the Commission will consider all the changes Parliament suggests. If it accepts any of these suggestions it will send the Council an amended proposal. The Council examines the amended proposal and either adopts it or amends it further. In this procedure, as in all others, if the Council amends a Commission proposal it must do so unanimously.

1.3: European Union budget and its execution by the European Commission
The budget is executed by the specialized directorates (DGs) through programmes specific to each of them. During the present course we will focus on those programmes which are of immediate and major interest for: - education in Romania; - socio-economical environment. In the next chapters, we will analyze the development, implementation and management of the international projects taking into consideration the following fields of interest: - education and culture; - social environment and economy. and the following programmes: Sectoral Program Comenius (under Lifelong Learning Programme) Sectoral Program Erasmus (under Lifelong Learning Programme) Sectoral Program Leonardo da Vinci (under Lifelong Learning Programme) Sectoral Program Grundtvig (under Lifelong Learning Programme) Culture Programme Youth in Action PHARE (Poland Hungary Aid for Reconstruction of the Economy) ISPA (Instrument for Structural Policies for Pre-Accession) SAPARD (Special Pre-Accession Programme for Agriculture and Rural Development) ERDF (European Regional Development Fund) ESF (European Social Fund) Page 18 of 19

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CF (Cohesion Fund) EAFRD (European Agricultural Fund for Rural Development) EFF (European Fisheries Fund) Bibliography: 1. Europa: Gateway to the European Union, http://europa.eu/index_en.htm 2. Candidate and Potential Candidate Countries, http://ec.europa.eu/environment/enlarg/enlargement_en.htm 3. EU legislation and treaties, http://europa.eu/documentation/legislation/index_en.htm 4. Europes Day, http://europa.eu/abc/symbols/9-may/index_en.htm 5. History of the EU, http://europa.eu/about-eu/eu-history/index_en.htm 6. Institutions and bodies of the EU, http://europa.eu/institutions/index_en.htm

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