Explanatory Memorandum to COM(2011)610 - Clarification, simplification and improvement of the establishment and implementation of European groupings of territorial cooperation (EGTC) - Main contents
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| dossier | COM(2011)610 - Clarification, simplification and improvement of the establishment and implementation of European groupings of territorial ... |
|---|---|
| source | COM(2011)610  |
| date | 06-10-2011 |
The proposal is the second part of the fulfilment by the Commission of the obligation imposed by Article 17 of Regulation (EC) No 1082/2006. On 29 July 2011, the Commission transmitted a Report on the application of the Regulation[1]. The report identified areas that could be improved and this draft amending Regulation embodies the specific changes that will effect those improvements.
The philosophy behind the changes can be expressed in three keywords: Continuity; Clarity; Flexibility.
– Continuity: because the basic nature of an EGTC will not be changed and no existing EGTC should need to change its statutes or ways of operating;
– Clarity: because the Regulation will be modified (a) to take account of the Lisbon Treaty, (b) to simplify and clarify certain aspects that have been shown to cause confusion and (c) to ensure more visibility and communication on the formation and operation of EGTCs;
– Flexibility: by opening up EGTCs to any aspect of territorial cooperation (and not ‘primarily’ the managing of ERDF-funded programmes and projects) and by providing legal bases for the participation of authorities and regions from third countries to participate as members.
Contents
This Regulation draws on extensive consultation with stakeholders, including Member States, regions and members of existing and planned EGTCs. The Committee of the Regions, which operates a ‘Platform’ for the exchange of information on EGTCs[2], has been a particularly valuable partner. Among the specific events that have contributed to the findings of the Report and the content of the present proposals are: a wide consultation of all stakeholders conducted in cooperation with the Committee of the Regions on the operation and added value of the EGTC instrument i, the European Conference on European Groupings of Territorial Cooperation (EGTCs) on 27 and 28 January 2011, the Conference on EGTC and Multi-level Governance organised by the Hungarian Presidency on 21-23 March 2011 and a number of meetings with committees and groups of the European Parliament, most recently on 22 June 2011.
The message from all groups, and most especially the active EGTCs and those under preparation, was clear: the instrument is useful and has potential going beyond its anticipated functions, but the procedures for operating and especially setting up EGTCs are more complex and uncertain than they should be.
While the Committee of the Regions in its opinion adopted in January 2011 i suggested that financial and other incentives might be used to promote usage of EGTCs, and some active groupings endorsed this, the Commission is of the opinion that recourse to an EGTC should be a free and unbiased choice of the parties concerned, without specific incentives beyond the inherent utility of the instrument.
Article 175 of the Treaty on the Functioning of the European Union (TFEU) invites the Council to adopt such specific actions as may be necessary to promote economic, social and territorial cohesion.
Articles 209 and 212 allow the European Parliament and Council to adopt measures allowing cooperation, whether for development purposes or not, with third countries.
The EGTC Regulation is not a financial regulation and carries no budgetary implications for the Union or for Member States. EGTCs may be funded by local, regional or national funds and may carry out actions that are co-funded by European funds.
5. SUMMARY OF CONTENT OF THE REGULATION
This amending Regulation makes changes, on the one hand, to respect the terminology introduced by the Treaty on the Functioning of the European Union and on the other hand in response to the weaknesses and areas of potential improvement identified in the Report referred to above.
These changes concern the Membership, the content of the Convention and Statutes of an EGTC, its purpose, the process of approval by national authorities, applicable law for employment and for procurement, approach for EGTCs whose members have different liability for their actions and more transparent procedures for communication.
On Membership, new legal bases are employed to permit regions and bodies in non-Member States to be members of an EGTC, whether the other members are from one or many Member States. The eligibility of membership of bodies under private law is also clarified.
The convention and statutes of an EGTC are re-defined and the distinction in approval procedure underlined.
The criteria for approval or rejection by national authorities are specified, and a limited time for examination proposed (this is the single most frequently heard complaint from existing and planned EGTCs).
Solutions, in line with the acquis of the Union, are proposed for tax and social security regimes for employees of an EGTC, who may be employed in any of the Member States whose territories comprise the EGTC. A similar approach is proposed for procurement rules.
And for liability, where some local or regional bodies are required by their national laws to have limited liability and others, in different Member States, are required to have unlimited liability, an insurance-based solution modelled on that used for European Research Infrastructure Consortia (ERIC)[5] is proposed.
Finally, Member States will be required to inform the Commission of any provisions adopted to implement the EGTC Regulation, as amended, and each newly established EGTC should inform the Commission of its purpose and membership, for publication in the Official Journal (C Series).